Agenda packet — Half Moon Bay City Council, June 20, 2023 (part 1 of 2)

CITY COUNCIL AGENDA

REGULAR MEETING

CITY OF HALF MOON BAY
TUESDAY, JUNE 20, 2023

HYBRID MEETING (SEE NEXT PAGE)

ADCOCK COMMUNITY CENTER
535 KELLY AVENUE
HALF MOON BAY, CA 94019
Deborah Penrose, Mayor
Joaquin Jimenez, Vice Mayor
Robert Brownstone, Councilmember
Harvey Rarback, Councilmember
Debbie Ruddock, 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.

Comments on Consent Calendar items should be made during the Public Forum section of the agenda. Those wishing to speak on a Business or Public Hearing matter will be called forward at the appropriate time during that item’s 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 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 HYBRID MEETING PARTICIPATION PROTOCOLS
This meeting will be held in-person and via Zoom for public participation. Public comments may be made in-person or remotely via Zoom, and interpretation will be available. All Councilmembers and staff will participate in person. 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/87674804231 or join by phone at 669-900-9128, using Webinar ID 876-7480-4231. If joining by phone, use *9 to raise your hand, *6 to mute and unmute.

ROLL CALL / PLEDGE OF ALLEGIANCE

APPROVAL OF AGENDA

PROCLAMATIONS AND PRESENTATIONS

MIDCOAST COMMUNITY COUNCIL UPDATE

MAYOR'S ANNOUNCEMENTS OF COMMUNITY ACTIVITIES AND COMMUNITY SERVICE

REPORT OUT FROM RECENT CLOSED SESSION MEETINGS

CITY MANAGER UPDATES TO COUNCIL

PUBLIC FORUM

1. CONSENT CALENDAR

1.A WAIVE READING OF RESOLUTIONS AND ORDINANCES

1.B WARRANTS FOR THE MONTH OF MAY 2023
Staff Recommendation: Accept the warrants list for the month of May 2023.

STAFF REPORT

ATTACHMENT

1.C SHORT-TERM VACATION RENTAL AND HOME OCCUPATION ORDINANCE -

SECOND READING
Staff Recommendation: Waive second reading and adopt an ordinance amending portions of Chapter 18 (Zoning) and Chapter 3 (Revenue and Finance) of the Half Moon Bay Municipal Code to establish Short-Term Vacation Rental regulations and update the Home Occupation regulations to conform with the California Coastal Commission’s conditional certification.

STAFF REPORT

ORDINANCE
2 1.D AGREEMENT WITH ABUNDANT GRACE FOR THE FY 2023-24 COASTAL CLEANUP PROGRAM Staff Recommendation: Adopt a resolution authorizing the City Manager to execute a new program services agreement with Abundant Grace for coastal cleanup services, expanding the program through June 30, 2024.

STAFF REPORT

RESOLUTION

1.E FINAL ACCEPTANCE OF THE PELICAN POINT GENERATOR REPLACEMENT PROJECT (CIP NO. 1284)
Staff Recommendation: By resolution, authorize the City Manager or his designee to file a Notice of Completion for the Pelican Point Generator Replacement Project (Project) and release the Project Retention Funds and Project Performance Bond and Labor and Materials Bond thirty (30) days after recordation of the Notice of Completion.

STAFF REPORT

RESOLUTION

1.F FIRST AMENDMENT TO THE CONSULTANT SERVICES AGREEMENT WITH SWCA ENVIRONMENTAL CONSULTANTS, INC. FOR ENVIRONMENTAL SERVICES FOR THE

PILARCITOS CREEK RESTORATION AND REMEDIATION PROJECT
Staff Recommendation: Adopt a resolution authorizing the City Manager to execute a First Amendment to the Consultant Services Agreement with SWCA Environmental Consultants, Inc. in the amount of $13,267 for environmental and entitlement services associated with the Pilarcitos Creek Restoration and Remediation Project.

STAFF REPORT

RESOLUTION

1.G POPLAR STREET TRAFFIC CALMING AND SAFETY PROJECT - PHASE I (CIP PROJECT NO. 0593) - CALTRANS PROGRAM SUPPLEMENT AGREEMENT
Staff Recommendation: Adopt a resolution authorizing the City Manager, or his designee, to execute a Program Supplement Agreement with the State of California Department of Transportation (Caltrans) to accept funds in the amount of $1,202,000 for the construction of the Poplar Street Traffic Calming and Safety Project – Phase I (CIP Project No. 0593).

STAFF REPORT
ATTACHMENT 1
3 ATTACHMENT 2

1.H SMCTA FUNDING AGREEMENT EASTSIDE TRAIL - NORTH SEGMENT 4 (CIP NO. 619)
Staff Recommendation: Adopt a resolution authorizing the City Manager to execute the construction funding agreement with the San Mateo County Transportation Authority (SMCTA) to accept Measure A funds in the amount of $980,000 for the construction of Pacific Coast Bicycle Connectivity North Project (Eastside Trail Segment 4).

STAFF REPORT
ATTACHMENT 1
ATTACHMENT 2

1.I ANNUAL RENEWAL OF COMMUNITY DEVELOPMENT CONTRACTS
Staff Recommendation: Adopt resolutions authorizing the City Manager to execute professional service agreements through June 30, 2024 with:

1. 4LEAF, Inc. (4Leaf) for building plan check and inspection services in an amount of $318,997

2. Metropolitan Planning Group (M-Group) for contract planning services in an amount of $137,500

STAFF REPORT
ATTACHMENT 1
ATTACHMENT 2

1.J 555 KELLY AVENUE AFFORDABLE HOUSING DEVELOPMENT - EXTENSION OF THE TERM OF

THE EXCLUSIVE NEGOTIATIONS AGREEMENT WITH MERCY HOUSING Staff Recommendation: Adopt a Resolution authorizing the City Manager to execute an amendment to the Exclusive Negotiations Agreement (ENA) between the City and Mercy Housing (Developer) to extend the negotiation period of the ENA to May 3, 2024, and establish initial terms of a ground lease on City-owned land at 535 and 555 Kelly Avenue (the Site).

STAFF REPORT

RESOLUTION
ATTACHMENT 2
4 1.K SALARY SCHEDULE FOR THE INTERNATIONAL UNION OF OPERATING ENGINEERS STATIONARY LOCAL 39, AFL-CIO; REPRESENTED MANAGEMENT TEAM MEMBERS, AND

NON-REPRESENTED EMPLOYEES
Staff Recommendation: Adopt a resolution approving the FY 2023-24 salary schedule representing a 3.0-percent increase to the base salary for the International Union of Operating Engineers Stationary Local 39 AFL-CIO, Represented Management Team Members, Confidential, and Non-Represented Employees, effective as per the terms of Memoranda of Understanding.

STAFF REPORT

RESOLUTION

1.L PROPOSED CLASSIFICATION AND COMPENSATION CHANGES
Staff Recommendation: Adopt a resolution authorizing the changes to certain job classifications and salary schedules as follows:
1) Create a new position under Public Works titled Public Works Supervisor. 2) Reclassify the City Engineer to Public Works Supervisor. 3) Reclassify one Senior Maintenance Worker to Public Works Supervisor.

STAFF REPORT

RESOLUTION

1.M CASELLE, INC. PROFESSIONAL SERVICES AGREEMENT
Staff Recommendation: Adopt a resolution authorizing the City Manager to execute a professional services agreement through June 30, 2024, with Caselle Inc. for Enterprise Resource Planning (ERP) software in the amount of $47,580.

STAFF REPORT

RESOLUTION

1.N AUTHORIZE THE CITY MANAGER TO WAIVE SPECIAL EVENT PERMIT FEES FOR RESIDENTS

WHO HOST BLOCK PARTIES ON NATIONAL NIGHT OUT
Staff Recommendation: Adopt a resolution authorizing the City Manager to waive Special Event Permit Fees for residents who host block parties on National Night Out, an annual event to be held on August 1, 2023.

STAFF REPORT

RESOLUTION
5 1.O ON-CALL PROFESSIONAL SERVICES AGREEMENT WITH WOOD CONSULTING SERVICES Staff Recommendation: Adopt a resolution authorizing the City Manager to execute an oncall Professional Services Agreement with Wood Consulting Services for project support in the following areas including, but not limited to, economic and business development and Coastside Recovery Initiative project implementation, with a not-to-exceed amount of $80,000.

STAFF REPORT

RESOLUTION

ATTACHMENT

1.P ANNUAL RENEWAL OF PUBLIC WORKS CONTRACTS
Staff Recommendation: Adopt resolutions authorizing the City Manager to execute professional service agreements with:

1. 4Leaf, Inc. for Public Works Construction Inspection services in the amount of $191,000;

2. American Debris Box to provide portable toilet services Citywide in the amount of $85,000;

3. Impec Group for janitorial services in the amount of $217,020;

4. Loral Landscaping for median maintenance in the amount of $49,920;

5. Mark Thomas to provide operational assistance for the Fats Oils and Grease (FOG) program and CCTV inspections in the amount of $79,175;

6. Peninsula Municipal Engineering, Inc. (PME) for project management of grant funded projects Pacific Coast Bikeway North Project (aka: Eastside Parallel Trail Segment 4 (0619) and the Highway 1 Safety – North (0538) in the amount of $245,000;

7. W. Housen & Associates for engineering services related to sewers in the amount of $150,000; and

8. West Coast Arborists (WCA) to provide tree trimming and tree removal services in the amount of $150,000.

STAFF REPORT
ATTACHMENT 1
ATTACHMENT 2
ATTACHMENT 3
ATTACHMENT 4
ATTACHMENT 5
6 ATTACHMENT 6
ATTACHMENT 7
ATTACHMENT 8

1.Q AGREEMENT WITH EL CENTRO DE LIBERTAD FOR COMMUNITY RESPONDER PROGRAM (CARES)
Staff Recommendation: Adopt a resolution authorizing the City Manager to finalize and execute an agreement with El Centro de Libertad for a Community Responder program, at a cost not-to-exceed $549,944, for a term beginning July 1, 2023, and ending June 30, 2024, including options for up to four annual renewals, conditional upon available funding.

STAFF REPORT

RESOLUTION

2. ORDINANCES AND PUBLIC HEARINGS

2.A RESOLUTION ASSESSING THE LEVY FOR THE HALF MOON BAY BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2023-24
Staff Recommendation: Conduct a public hearing, consider any oral or written protests, and adopt a resolution assessing the levy for the Half Moon Bay Business Improvement District for Fiscal Year 2023-24

STAFF REPORT

RESOLUTION

ATTACHMENT

3. RESOLUTIONS AND STAFF REPORTS

3.A ACQUISITION OF ACCESS LICENSE AND EASEMENT LOCATED AT 20 STONE PINE ROAD

FOR THE CARTER PARK IMPROVEMENT PROJECT
Staff Recommendation: Adopt a resolution authorizing the City Manager to execute the Agreement to Acquire Temporary Construction Access License and Permanent Pathway Easement over real property owned by Bahram Abolmoluki and Zohreh Abolmoluki, located at 20 Stone Pine Road in Half Moon Bay California (San Mateo County APN: 056- 391-010), including 1) a nonexclusive 12-month Temporary Construction Access License, 2) an exclusive 12-month Temporary Construction Access License, and 3) a Permanent Pathway Easement (collectively, Access).
7 STAFF REPORT

RESOLUTION
ATTACHMENT 2

3.B AGREEMENT FOR LAW ENFORCEMENT SERVICES WITH COUNTY OF SAN MATEO SHERIFF’S OFFICE - AMENDMENT FIFTEEN
Staff Recommendation: Authorize the City Manager to negotiate and execute Amendment Fifteen to the Agreement for Law Enforcement Services with the County of San Mateo Sheriff’s Office, continuing services under the current Rates/Payments schedule, through September 30, 2023.

STAFF REPORT

RESOLUTION

3.C HALF MOON BAY SEWER COLLECTION SYSTEM MAINTENANCE - SEWER AUTHORITY

MID-COASTSIDE
Staff Recommendation: Adopt a resolution approving the FY 2023-24 Sewer Authority MidCoastside (SAM) Collections Budget and authorizing the City Manager to execute Amendment No. 6 to the sewer collection system maintenance professional services agreement with the Sewer Authority Mid-Coastside (SAM) establishing the FY 2023-24 annual cost at $263,824 and extending the Agreement for one (1) additional year (expiration of June 30, 2024).

STAFF REPORT

RESOLUTION

3.D SEWER AUTHORITY MID-COASTSIDE FISCAL YEAR 2023-24 OPERATIONS AND

MAINTENANCE (GENERAL) BUDGET
Staff Recommendation: Adopt a resolution conditionally approving the General Budget of SAM for FY 2023-24 (included as Exhibit A to the resolution) as follows:

1. The City approves $3,449,957, which is the full budgeted amount less 61.5% of the $3.5 million FY 23-24 budgeted amount for the Montara Force Main infrastructure replacement project; and

2. The City approves the full $9,109,686, of which the City’s flow-based allocation for all costs is $5,602,457 (61.5% of total) to be paid under protest but directs the Mayor and City Manager to refrain from delivering the resolution to SAM and paying, under protest, 61.5% of the Montara Force Main replacement project until all parties have executed the Stipulation Regarding Expenses and Assessments of Sewer Authority Mid-Coastside for 2023-24 Fiscal Year (“Stipulation”) including 8 any non-substantive changes as the City Attorney may approve. If this approval becomes effective, and the resolution is signed and delivered, it will supersede the partial approval of SAM’s budget specified in paragraph 1 above.

STAFF REPORT

RESOLUTION

3.E FISCAL YEAR 2023-2024 RECOMMENDED BUDGET
Staff Recommendation: Review the Recommended FY 2023-24 Budget document and adopt resolutions to: 1) establish the GANN Appropriation Limit for FY 2023-24; 2) approve the City’s Review of the Investment Policy; and 3) adopt the FY 2023-24 Annual Operating and Capital Budget.

STAFF REPORT
ATTACHMENT 2
ATTACHMENT 3
ATTACHMENT 4
ATTACHMENT 5

FOR FUTURE DISCUSSION / POSSIBLE AGENDA ITEMS

CITY COUNCIL REPORTS

ADJOURNMENT
9 BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
From: Lisa Lopez Rossi, Administrative Services Director TITLE: WARRANTS FOR THE MONTH OF MAY 2023
______________________________________________________________________________ RECOMMENDATION:

Accept the warrants list for the month of May 2023.

STRATEGIC ELEMENT:

This recommendation supports the Fiscal Sustainability and Inclusive Governance Element.

DISCUSSION:

During this month, the City processed 7 check runs. The table below outlines each check run and their individual totals:

The City processed payments related to 16 capital improvement projects, in a total amount of $364,143. These projects include Highway 1 Safety - North, Carter Park, Emergency Response Program, LCP Implementation Project, Green Infrastructure And Storm, Corporate Yard Improvements, Ada Transition Plan Program, Pilarcitos Creek Restoration A, Poplar Beach Gateways Plan, Climate Action And Adaptation, Equipment Replacement Program, Smith Field Site Assessment, Magnolia/Seymour Park, Mac Dutra, Kehoe/Pilarcitos Outfall Repair, Bicycle And Pedestrian Master.

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

Check Run Date Amount
May 03 159,849
May 04 56,976
May 10 187,043
May 17 615,786
May 24 300,370
May 25 5,414
May 31 216,504
TOTAL 1,541,943
10 OVER $30,000
Check # Payee Check Date Amount Description
52645 EL CENTRO DE LIBERTAD 5/3/2023 $ 33,990 CARES PROGRAM 52667 WICKMAN DEVELOPMENT AND
CONSTRUCTION 5/3/2023 $ 36,718 CARTER PARK IMPROVEMENTS PROJECT 52668 ANDREINI BROTHERS INC. 5/10/2023 $ 53,533 ADA TRANSITION PLAN PROGRAM 52706 4LEAF INC. 5/17/2023 $ 37,261 BUILDING/PLANNING SERVICES 52708 ANDREINI BROTHERS INC. 5/17/2023 $ 42,469 HIGHWAY 1 SAFETY - NORTH 52727 PENINSULA MUNICIPAL
ENGINEERING INC. 5/17/2023 $ 46,754 PROJECT MANAGEMENT SERVICES FOR CIP 52731 SEWER AUTHORITY MID-COASTSIDE 5/17/2023 $ 427,146 FY 22-23 SEWER COLLECTIONS 52735 BLACK & VEATCH CORPORATION 5/24/2023 $ 38,422 NPDES STORMWATER SERVICES 52745 FREYER & LAURETA INC. 5/24/2023 $ 46,317 CONCEPT LAYOUT FOR RESIDENTIAL UNITS
52766 SAN MATEO COUNTY PUBLIC
SAFETY COMMUNICA 5/24/2023 $ 66,943 PUBLIC SAFETY COMMUNICATIONS 52774 WICKMAN DEVELOPMENT AND
CONSTRUCTION 5/24/2023 $ 51,394 CARTER PARK IMPROVEMENTS PROJECT 52778 4LEAF INC. 5/31/2023 $ 47,895 BUILDING/PLANNING SERVICES 52782 BAIRD & DRISKELL 5/31/2023 $ 30,719 AFFORDABLE HOUSING PROGRAM

ASSISTANCE
52792 EL CENTRO DE LIBERTAD 5/31/2023 $ 32,279 CARES PROGRAM ATTACHMENTS:

Check Disbursement List by Check Date
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13 14
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Page 1 of 1 ends

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Jessica Blair, Communications Director / City Clerk TITLE: SHORT-TERM VACATION RENTAL AND HOME OCCUPATION ORDINANCE –

SECOND READING
______________________________________________________________________________ RECOMMENDATION:

Waive second reading and adopt an ordinance amending portions of Chapter 18 (Zoning) and Chapter 3 (Revenue and Finance) of the Half Moon Bay Municipal Code to establish Short-Term Vacation Rental regulations and update the Home Occupation regulations to conform with the California Coastal Commission’s conditional certification.

FISCAL IMPACT:

There is no fiscal impact associated with the adoption of this ordinance.

STRATEGIC ELEMENT:

This action supports Public Health and Safety Element of the Strategic Plan.

DISCUSSION:

On June 6, 2023, the City Council introduced the ordinance following the conduct of a dulynoticed public hearing. As required by law, the ordinance appears for second reading and adoption at a regular meeting more than five days past introduction.

ATTACHMENT:

Ordinance amending Chapter 18
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ORDINANCE NO. C-2023-______

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AMENDING CHAPTER 18.06.025 “USE REGULATIONS” AND RELATED PROVISIONS OF THE

ZONING AND REVENUE AND FINANCE TITLES OF THE HALF MOON BAY MUNICIPAL CODE

RELATED TO SHORT-TERM VACATION RENTALS AND HOME OCCUPATIONS THE CITY COUNCIL OF THE CITY OF HALF MOON BAY DOES ORDAIN AS FOLLOWS:

Section 1. Findings. The City Council of the City of Half Moon Bay hereby amends Chapter

18.06.025 “Use regulations” and related provisions of the Zoning and Revenue and Finance Titles of the Half Moon Bay Municipal Code related to Short-Term Vacation Rentals and Home Occupations (“Short Term Vacation Rental and Home Occupation Ordinance” or “Ordinance”).

The City Council finds and declares as follows:
a) The City of Half Moon Bay is located fully within the California Coastal Zone. b) The City of Half Moon Bay’s certified Local Coastal Program includes an implementation plan which is in part comprised of the Zoning Ordinance. c) Half Moon Bay is a highly desirable destination for coastal tourism. The City has nearly 600 existing rooms in hotel and motel establishments and over 200 campsites accommodating campers and recreational vehicles.
d) Half Moon Bay also has the highest rate of employed residents who work from home in San Mateo County and home occupations are an important means of employment in the City.
e) The City Council seeks to support lower-cost visitor serving uses, including accommodations, and coastal access pursuant to the California Coastal Act and its Local Coastal Program, while also providing opportunities for income generating uses in areas that are already developed.
f) The City Council further seeks to protect neighborhood integrity. g) The City Council has identified affordable housing as a multi-year priority and directed that existing housing stock be preserved for residential use. h) More than one hundred short-term vacation rentals have operated within the city limits without benefit of compatible use regulations and registration requirements. i) Short-term vacation rental use has in some cases eliminated residential use of dwelling units, especially those used as “whole house” or unhosted operations, and thereby reduced housing stock.
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j) The operation of some short-term vacation rentals has caused significant disruption within various neighborhoods and required repeated code enforcement efforts; however, absent compatible use regulations and registration requirements, enforcement has not always resulted in sustained improvement.
k) City research of the short-term vacation rentals operating within the city limits concludes that short-term vacation rentals with direct oversight from the property owner and/or long-term tenant operate more compatibly within their surrounding neighborhood and tend to be lower-cost.
l) Short-term vacation rentals and home occupations can be conducted so as to safeguard neighborhood integrity, promote coastal access, and protect coastal resources. m) Many other cities, including cities within the coastal zone, have implemented short-term vacation rental regulations by imposing a primary residence requirement to ensure better local oversight and neighborhood compatibility.
n) Many other cities, including cities within the coastal zone, have implemented short-term vacation rental regulations that limit the number of overnight stays per year for “whole house” or unhosted short-term vacation rental operations because unlimited and/or predominate use of residential dwelling units as unhosted short-term vacation rentals diminishes, and in some cases leads to discontinuance of, the primary use of the residence as a dwelling unit and thereby reduces local housing stock. o) Many other cities, including cities within the coastal zone, have implemented short-term vacation rental regulations that do not limit the number of overnight stays for hosted short-term vacation rental operations in part because hosted short-term vacation rentals are maintained as residential dwelling units which is the intended primary use for residential development and maintenance of local housing stock. p) The San Mateo County 21 Elements collaborative group supports housing policy in San Mateo County and has identified that primary residence requirements and disallowing short-term rental use of accessory dwelling units are effective regulations for preserving housing stock for residential use.
q) The Ordinance is consistent with the California Coastal Act and Half Moon Bay’s certified Local Coastal Land Use Plan which includes policies addressing residential land use compatibility, the preservation of housing stock, short-term vacation rentals, home occupations, and coastal access provisions relative to infrastructure capacity and the need for lower cost visitor serving accommodations, specifically:

Policy 2-7. Housing Stock Preservation. Safeguard existing housing stock so that it is preserved and used as full-time housing through the establishment of programs and ordinances.
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Policy 2-72. Residential Land Use Compatibility. Ensure that development, including a change in intensity of use, in residential land use designations avoids impacts on the residential living environment and the adjacent land uses, including proximate agricultural and agricultural compatible land uses, with respect to noise, lighting, parking, loading, and aesthetics. Consider other aspects of non-residential uses permitted in residential land use designations that may be impactful on a neighborhood setting or the adjacent land uses and require strategies to avoid such impacts.

Policy 2-75. Home Occupations. Permit home occupations within residences for business types and activities that are compatible with the residential living environment and subservient to the primary residential use of each property.

Establish performance standards in the IP for traffic, parking, noise, and other considerations with respect to home occupations.

Policy 2-76. Short-Term Rentals. Allow short-term rental businesses within the established neighborhoods. Short-term rental uses should be subordinate to primary residential uses such that residential units continue to be used for longterm residential occupancy. Establish land use regulations in the IP with performance standards necessary to protect coastal resources and the residential living environment of the neighborhoods, such as standards for property management, traffic, parking, noise, and trash. Short-term rental businesses shall pay transient occupancy tax to the City. Non-permanent housing such as for seasonal farmworker housing and short-term boarding for researchers and others employed or otherwise affiliated with agricultural uses are not short-term transient lodging facilities or uses and are not subject to transient occupancy tax.

Policy 5-1. Maximum Coastal Access and Recreational Opportunities. Provide maximum coastal access and recreational opportunities for all people consistent with public safety needs and the need to protect public rights, rights of property owners, and natural resource areas from overuse.

Policy 5-70. New Overnight Accommodations. Consider the carrying capacity of the coast, visitor demand over a range of affordability levels for various accommodation types, and consistency with all applicable LCP and General Plan policies before approving any new overnight accommodation development proposals. Prioritize lower-cost visitor-serving accommodations over higher-cost lodging.
r) The Ordinance is further consistent with Half Moon Bay’s certified Local Coastal Land Use Plan which requires careful oversight of infrastructure capacity and resource management.
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s) The Ordinance is further consistent with Half Moon Bay’s certified Local Coastal Land Use Plan which provides for accessory uses in residential development in substantially developed Planned Development areas including home occupations. t) The Ordinance is further consistent with the California Coastal Act and Half Moon Bay’s certified Local Coastal Land Use Plan, in that it includes mechanisms to ensure protection of coastal resources.
u) The Ordinance is consistent with the City of Half Moon Bay certified Housing Element, which contains programs to preserve housing stock.
v) The Ordinance supports short-term vacation rental operations throughout the City as one of many available accommodation types. The City currently has significant visitorserving capacity, including camping, RV parks, and hotels of every class, from economy to luxury. Short-term vacation rentals, as part of this broader portfolio of accommodations, will continue to support lower-income visitors as well as visitors seeking diversity with respect to accommodation type and location.
w) The Ordinance supports lower cost visitor serving accommodations through broad allowances for hosted short-term vacation rentals, which have been found through review of rental listings to offer some of the lowest cost lodging rates in Half Moon Bay, as explained in the materials; while continuing to provide for higher cost accommodations for un-hosted and higher occupancy short-term vacation rentals that conform to the Local Coastal Land Use Plan policies as implemented through the standards contained in the ordinance for these more intense uses of residential properties. x) The City Council conducted a duly noticed public hearing on the Short Term Rental and Home Occupation Ordinance on August 17, 2021, at which time all those desiring to be heard on the matter were given an opportunity to be heard, and continued the hearing to September 7, 2021, a date certain, to allow staff to conduct additional research and return with a revised ordinance for a first reading; and y) On September 7, 2021, the City Council conducted a duly noticed public hearing on the Short Term Rental and Home Occupation Ordinance, at which time all those desiring to be heard on the matter were given an opportunity to be heard, and introduced the ordinance; and
z) The City Council waived the second reading and adopted the Short Term Rental and Home Occupation Ordinance at a duly noticed public hearing on September 21, 2021; and aa) The City submitted an application to the California Coastal Commission for an amendment to the certified Local Coastal Program for the Short Term Rental and Home Occupation Ordinance; and
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bb)On March 21, 2023, the California Coastal Commission conducted a duly noticed public hearing on the Local Coastal Program Amendment for the Short Term Rental and Home Occupation Ordinance and approved the proposed amendments to the ordinance with modifications related primarily to grandfathering, minimum lot size, and parking pursuant to the resolution of certification on LCP-2-HMB-21-0078-2; and cc) The City of Half Moon Bay revised the Short Term Rental and Home Occupation Ordinance to incorporate the Coastal Commission modifications and (a) acknowledges receipt of the Coastal Commission’s resolution of certification, including the suggested modifications for final certification, (b) accepts and agrees to the modifications and takes this formal action to satisfy the modification through readoption and implementation of this Ordinance with said modifications, (c) agrees to administer the Short Term Rental and Home Occupation Ordinance throughout the City subject to the approved amendment; and
Section 2. Amendments. The following sections of the Municipal Code are amended as specified below and in Attachment A. Attachment A generally shows additions with underlined text and deletions with strike out text.

Municipal Code
Provision
Action
Section 18.06.025 Amendments as shown in Attachment A
Section 18.02.040 Definitions shown in Attachment A to be inserted in alphabetical order Section 18.06.020 Amendments as shown in Attachment A
Section 18.07.020 Amendments as shown in Attachment A
Section 18.07.025 Amendments as shown in Attachment A
Section 18.08.020 Amendments as shown in Attachment A
Section 18.08.025 Amendments as shown in Attachment A
Section 18.15.025 Amendments as shown in Attachment A
Section 18.16.025 Amendments as shown in Attachment A
Section 18.16.030 Amendments as shown in Attachment A
Section 3.12.020 Amendments as shown in Attachment A
Section 3. Severability. If any section, sentence, clause or phrase of this Ordinance is for any reason held to be invalid or unconstitutional by a decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance. The City Council herby declares that it would have passed this Ordinance and adopted this Ordinance and each section, sentence, clause or phrase thereof, irrespective of the fact that any one or more section, subsections, sentences, clauses or phrases be declared invalid or unconstitutional.

Section 4. CEQA. The City Council finds that the Ordinance is exempt from CEQA under CEQA Guidelines sections 15301 (existing facilities), 15305 (minor alterations to land use limitations) 22 6
and 15061(b)(3) (common sense exemption). The City currently permits short-term vacation rentals and home occupations to operate in the City. Prior to restrictions resulting from the COVID-19 pandemic, approximately 80-100 short-term vacation rentals were operating in the City. The City would expect these short-term vacation rentals to return as pandemic-related restrictions ease. During COVID-19 restrictions, home occupations have likely increased. The proposed amendments restrict and regulate short-term vacation rental uses. Consequently, a modest decrease in short-term vacation rental activity, as well as any related environmental effects, is reasonably anticipated as a result of these amendments. The amendments to the Home Occupation provisions do not involve a change in land use or density. As it can be seen with certainty that there is no possibility that the amendments may have a significant effect on the environment, the common sense exemption applies.

Section 5. Regular Reviews. In order to ensure monitoring and management of the potential depletion of housing stock and impacts on neighborhood integrity that may be caused by shortterm vacation rentals, the City of Half Moon Bay shall evaluate the number of short-term rentals operating in each neighborhood and in the City as a whole twelve (12) months after final acknowledgement of the Ordinance by the California Coastal Commission, and annually thereafter.

Section 6. Publication. The City Clerk of the City of Half Moon Bay is hereby directed to publish this Ordinance pursuant to Government Code section 36933.

Section 7. Effective date. This Ordinance shall take effect and be in force on the thirtieth (30th) day from and after its final passage and upon acknowledgement by the California Coastal Commission.

INTRODUCED at a regular meeting of the City Council of the City of Half Moon Bay, California, held on the 6th of June, 2023.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Half Moon Bay, California, held on the 20th of June, 2023, by the following vote:

Ayes, Councilmembers:

Noes, Councilmembers:

Absent, Councilmembers:

Abstain, Councilmembers:

ATTEST: APPROVED:
________________________________ ______________________________ Jessica Blair, City Clerk Deborah Penrose, Mayor

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ATTACHMENT A
Chapter 18.06 Residential Land Use (R-1, R-2, R-3)

18.06.025 Use regulations.

Additional regulations for permitted uses in each residential district shall be met for the following uses:

A. – E. [Intentionally omitted. No changes to these subsections are proposed] F. Home Occupations. Home occupations are permittedallowed in all residential districts and shall comply with the following:

1. Eligible EmployeesResident Only. No one other than a rResidents of the dwelling and one non-resident employee mayshall be employed on site or report to work at the site of a home occupation. This limitationprohibition also applies to independent contractors.

2. No Inconsistent Activity. There shall be no interior or exterior activity related to the home occupation that interferes with or is detrimental to residential use of adjacent property inconsistent with or interfering with residential use of the property or detrimental to property in the vicinity.

3. Entirely Within. A home occupation shall be conducted entirely within a building, either the main residence or an accessory building, and shall occupy no more than five hundred square feet of floor area. No outdoor storage of materials or supplies shall be allowedpermitted in conjunction with the home occupation.

4. No Visibility. The existence of a home occupation shall not be apparent beyond the boundaries of the site, and no home occupation shall involve the use of a sign, nor the display of products visible from the street.

5. No On-site Retail. The home occupation shall not involve on-site retail business, interior or exterior alterations, nor construction features not normally found in dwellings. Retail business operating entirely by mail are permitted.

6. No Traffic. A home occupation shall not create pedestrian, automobile, or truck traffic detrimental to property in the vicinity. Visitor vehicle trips to the home occupation such as for customers, clients, vendors, or suppliers, are limited to one visitor vehicle at a time, with no more than two occurrences per day. Incidental traffic associated with deliveries may take place.

7. Parking. Parking shall be provided on site for any employee of the home occupation.

8. Non-Priority Use. Home occupations shall not be considered Coastal Act Priority Uses, as that term is defined in the Local Coastal Land Use Plan. 24 8

9. Business LicenseSubmittal Required. Prior to the issuance of a business license for a home occupation, the applicant shall submit to the community development director a written description of the operational characteristics of the proposed home occupation. The community development director shall determine that the proposed home occupation complies with the requirements of this section. Decisions of the community development director may be appealed to the planning commission by the applicant or by any interested party.
108. ViolationsComplaints. Violations of the provisions of this section or other city requirements shall be enforced according to Title 4 of the Municipal Code. Nothing in Chapter 18.06.025 limits the City’s authority to enforce violations of the Municipal Code pursuant to Title 4 of the Municipal Code. In the event a complaint is received regarding a home occupation, the community development director shall refer the issue to the planning commission to review the operational characteristics of the use.

Both the complaining party and the operator of the home occupation shall be notified of the time, place, and date of the planning commission meeting. In the event it is determined that the home occupation is detrimental to the neighborhood, the planning commission may impose any conditions necessary to maintain consistency with the provisions of this chapter.

G. Short-term vacation rentals. Short-term vacation rentals are allowed as accessory uses to residential dwelling units subject to this section:

1. Short-Term Vacation Rental Registration and Compliance Review Required. No person shall offer any short-term vacation rental unless the short-term vacation rental is registered and found to be in compliance with this chapter.

2. Application. Prior to operation of a short-term vacation rental, the operator shall submit an application that includes all of the following:
a. Name and contact information of the operator. All adults for whom the property is a permanent residence shall be listed as operator. b. A written description of the proposed short-term vacation rental’s compliance with this section on a form prepared by the community development director.
c. Site plan showing location of all existing buildings and location and dimensions of on-site parking.
d. Floor plan showing all rooms with each room labeled as to room type. e. Description of rooms or dwelling unit to be used for the short-term vacation rental.
f. If the operator is not the property owner, the property owner’s written consent to the short-term vacation rental use.
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g. If the property is subject to a homeowner's association (HOA), the HOA's written consent to the short-term vacation rental use.
h. Proof of primary residence. The operator shall provide documentation that the property where the short-term vacation rental use is to be conducted is the operator’s primary residence, if required by this section. i. Consent to inspection. Consent to physical inspection(s) by City staff, contractors, or representatives for the purpose of verifying compliance with this Chapter during regular business hours (7:30 a.m. to 5:30 p.m.) or if in response to a complaint, regardless of the time. Consent to provide records of compliance to the City within one (1) week upon request. j. Municipal services. The short-term vacation rental property shall have an adequate water and sewer connections and shall be served by local utility agencies for water and sewer service. In the event that the short-term vacation rental property is served by a well for potable water and/or by a private sewage treatment system such as a septic system, the short-term vacation rental operator shall provide written proof of safe yield and/or adequate capacity by San Mateo County Environmental Health Services or other applicable oversight agency. Short-term vacation rental use shall not qualify for priority infrastructure service.
k. Water use. For any renewal or registration of an existing short-term vacation rental, the operator shall provide documentation of the water use at the property for the prior year during the period in which the property was used as a short-term vacation rental.
l. Proof of Rental Nights. For any renewal, the operator shall provide documentation of the number of nights the unit was rented during the prior year, including whether the unit was used as a hosted short-term rental or an unhosted short-term rental.
m. Fee. The operator shall pay a registration fee prescribed by City Council resolution, no part of which shall be returnable to the operator. The City Council may establish fees that are different for initial registration of a new short-term vacation rental and renewals or registrations of existing short-term vacation rentals.
n. Additional materials as deemed necessary by the community development director.

3. Registration Requirements. The community development director shall register short-term vacation rentals that comply with all of the requirements of this Section

18.06.025 (G), including:
a. Building and Fire Code Inspection. There shall be no outstanding building, electrical, plumbing, fire, health, housing, police, or planning code violations 26 10
or enforcement actions, including any notices of violation, notices to cure, orders of abatement, cease and desist orders, or correction notices related to the property on which the short-term vacation rental is to be located. b. Indemnification. The property owner and any separate operator shall jointly and severally agree to indemnify, hold harmless and defend the City and its officials, employees, and agents from any and all liability, actions, claims, damages, costs and expenses, including reasonable attorney’s fees and costs, which may be asserted by any person or entity arising from or related to the issuance of the short-term vacation rental registration or its operation. c. Insurance. The operator shall file a certificate of insurance showing the maintenance of insurance in the amount appropriate to cover any liability of the operator for property damage and injuries to persons in connection with short-term vacation rental activities.
d. Business License. The operator shall obtain a City of Half Moon Bay business license.
e. Transient Occupancy Tax. Evidence of compliance with the provisions of transient occupancy tax, Chapter 3.12 including registration certificate. For short-term vacation rentals operating prior to the date of application, payment of all taxes, penalties, and interest due is also required. f. Notification. The operator shall have notified neighbors within 100 feet of the short-term vacation rental property, posted a temporary sign for thirty (30) days on the property indicating intent to register as a short-term vacation rental. The notification and signage shall include the contact information of the responsible party designated to respond to a complaint pursuant to Section 18.06.025 (G)(5)(g).
g. Water Use. If the water use documentation demonstrates short-term vacation rental water use exceeding an average of 300 gallons per day, the operator shall include strategies to reduce water use to below an average of 300 gallons per day during the next year. If such strategies are ineffective, the registration shall not be renewed.
h. Compliance. The property on which the short-term vacation rental will be located has not had two (2) or more violations of the Section 18.06.025 within the last twelve (12) months from registration submittal and has not been denied registration or had registration revoked within the preceding twelve (12) months. The operator has not had two (2) or more violations of the Section 18.06.025 within the last twelve (12) months from registration submittal related to any short-term vacation rental, has not been denied registration for any other short-term vacation rental within the preceding twelve (12) months, and has not had a short-term vacation rental registration revoked at any time.
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i. Nuisance. Operation of the short-term vacation rental would not a public nuisance or threat to the public health, safety, or welfare.

4. Registration Term. The initial short-term vacation rental registration is valid for one (1) year and renewable through an administrative review by the community development director thereafter, if in good standing. Registration renewals shall comply with subsection (3), except for the inspection and notification provisions.

Registrations are not nontransferable to another property or operator.

5. Operation Requirements.
a. Residential Unit Type.
i. Single-family and residential condominium dwelling unit: One shortterm vacation rental may operate as an accessory use to a singlefamily unit or residential condominium dwelling unit. ii. Duplexes and triplexes: Short-term vacation rentals may operate from duplexes and triplexes under limited conditions as follows:

1. At least one unit within the duplex or triplex is the primary residence of the property owner; and

2. No more than one unit in a duplex or triplex may be
registered and operated for short-term vacation rental use. iii. Mixed-use development: In the Commercial-Downtown, CommercialGeneral, and Commercial-Visitor Serving Zoning Districts, in mixed-use developments with at least two dwelling units, no more than one unit may be registered and operated for short-term vacation rental use. iv. Prohibited: Short-term vacation rentals may not operate from mobile homes, recreational vehicles, multi-family developments with four or more units, any mixed-use or residential development containing one or more units restricted to be affordable to lower income households, farmworker housing, accessory dwelling units except pursuant to Chapter 18.33, in the Open Space Reserve (OS-R) or Urban Reserve (UR) zoning districts, or in the substantially undeveloped Planned Developments in Chapter 2 of the Land Use Plan.
b. Primary Residence. No dwelling unit shall be operated for short-term vacation rental use unless the dwelling is the primary residence of the operator. Short-term vacation rentals permitted to operate in the CommercialDowntown, Commercial-General, or Commercial-Visitor Serving Zoning District pursuant to subsection (a)(i) or (a)(iii) are exempt from this primary residence requirement.
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c. Maximum Number of Rental Nights. An unhosted short-term vacation rental shall be operated no more than sixty (60) nights per calendar year. There are no rental night limitations for hosted short-term vacation rentals. i. An unhosted short-term vacation rental is defined as a short-term vacation rental use where no resident is present during the course of the rental.
ii. A hosted short-term vacation rental is defined as a short-term vacation rental use where a resident, who is the operator and acting as a host, occupies one or more bedrooms in a dwelling unit while other areas of the unit are rented for the purpose of transient overnight lodging.
iii. Short-term vacation rentals permitted to operate in mixed-use developments in the Commercial-Downtown, Commercial-General, or Commercial-Visitor Serving Zoning Districts and all other short-term vacation rentals permitted to operate in the Commercial-Visitor Serving Zoning District are exempt from the limitation on unhosted rental nights.
d. Maximum Number of Short-Term Vacation Rentals per Operator. The maximum number of short-term vacation rentals per operator within the city limits is one.
e. Maximum Number of Short-Term Vacation Rentals per Site. The maximum number of short-term vacation rentals is one per assessor’s parcel number, one short-term vacation rental per residential condominium dwelling unit, or one short-term vacation rental per site developed with a duplex or triplex. An operator may register different areas of a site for use as a short-term vacation rental, but only one short-term vacation rental may be operated at a time. f. Maximum Number of Rental Agreements. Only one rental agreement may be in effect for a short-term vacation rental at any one time. g. Responsible Party. For hosted short-term vacation rentals, the operator shall be the host and the responsible party. For unhosted short term-term vacation rentals, the responsible party may be the property owner, operator, or the operator’s agent. In all cases, the responsible party shall be a local contact person; who shall meet all of the following minimum qualifications:
i. Be available twenty-four hours per day and seven days per week when the short-term vacation rental is in operation; and ii. Be accessible and able to respond in person at the short-term vacation rental within a reasonable time (approximately twenty (20) minutes) to any complaint regarding the condition, operation, or conduct of occupants of the dwelling; and
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iii. Be responsive to take remedial action necessary to resolve any violations of the requirements of this section.
h. Maximum Overnight Occupancy. Overnight occupancy for short-term vacation rentals shall be limited to a maximum of up to two (2) persons per bedroom. For a hosted short-term vacation rental, the bedroom(s) occupied by the host shall not be used in determining the maximum overnight occupancy for guests.
i. Record Keeping. The operator shall retain records documenting the compliance with this section for a period of three (3) years after any shortterm vacation rental, including, but not limited to, records indicating the history of all short-term vacation rental reservations on the subject property from the hosting platform or otherwise, records indicating the payment of any and all transient occupancy taxes, length of stay per reservation, and number of persons per reservation. Upon reasonable notice, the operator shall provide any such documentation to the City.

6. Performance Standards. There shall be no interior or exterior activity related to the short-term vacation rental that interferes with or is detrimental to residential use of adjacent property. The following performance standards apply to short-term vacation rentals:
a. Notification of City Registration. The operator shall ensure that all advertising, including, but not limited to, in any written publication or on any online website, or any other medium that lists or offers the availability or existence of the short-term vacation rental property, includes the city-issued short-term vacation rental registration number.
b. Notification of City Requirements. The operator shall prepare a manual of City requirements and standards for short-term vacation rentals. The operator shall provide the manual to all guests in conjunction with any booking as well as prominently displayed in the short-term vacation rental. The manual shall include the contact information for the responsible party and standard language available from the community development director. c. No Visibility. The existence of a short-term vacation rental shall not be apparent beyond the boundaries of the site, and no short-term vacation rental shall involve the use of a sign, nor the display of products visible from the street.
d. Traffic. A short-term vacation rental shall not create pedestrian, automobile, or truck traffic detrimental to property in the vicinity or neighborhood parking impacts. The property address shall be clearly marked.
e. Parking. Parking for short-term vacation rental users shall be provided at a rate of at least one off-street parking space per bedroom, which shall be dedicated and available to guests during the period of the rental. No vehicles 30 14
shall be used for overnight occupancy. Parking exceptions may be considered by the planning commission subject to Section 18.36.085; provided that the planning commission shall consider whether a prior parking exception was previously granted for the property. In the Commercial-Downtown zoning district, exceptions must also comply with Section 18.07.045. f. Noise Limits. All short-term vacation rental use shall be required to follow the following standards set forth in Chapter 9.23.
g. Building and Fire Codes. All properties on which short-term vacation rental use is occurring shall remain compliant with all applicable building and fire codes.
h. State and Local Laws and Orders. All short-term vacation rental use shall comply with all applicable state and local laws and orders, including any public health order.
i. Special Events. Short-term vacation rentals shall not be concurrently used for any commercial purpose (such as a corporate retreat or conference) or any event that is likely to result in a violation of traffic, parking, noise, or other standards regulating the residential use and character of the neighborhood.

Such events include most weddings, concerts, and parties. Home occupations conducted by the primary resident compliant with Section 18.06.025 (F) are allowed provided that parking and all other requirements for both the shortterm vacation rental and the home occupation are met. j. Trash and Recycling Management. Short-term vacation rental use shall comply with trash and recycling requirements and scheduled solid waste pickup days at least once per week. Trash and recycling containers shall be located to be readily accessible for servicing, but shall not be placed within the limits of any street, road, avenue, way, alley, public place or any other places as to constitute a nuisance.

7. Hosting Platform Regulations.
a. Record Keeping. Hosting platforms shall retain records documenting the compliance with this section for a period of three (3) years after any shortterm vacation rental, including, but not limited to, records indicating the history of all short-term vacation rental reservations on the subject property from the hosting platform, the payment of any and all transient occupancy taxes (including via a hosting platform on behalf of a host), the length of stay per reservation, and the number of persons per reservation. b. Registration Required for Platform Listings. Hosting platforms shall be required to prompt hosts to include the City-issued registration number in their listing(s), in a format designated by the City. Upon notice from the City that a listing is non-compliant, hosting platforms shall cease any short-term vacation rental booking transactions for said listing(s) within five business 31 15
days. A hosting platform shall not complete any booking transaction for any residential property or unit subject to a City notice, until notified by the City that the residential property or unit is in compliance with the local registration requirement.
c. Safe Harbor. A hosting platform operating exclusively on the Internet, which operates in compliance with subsections (a) and (b) shall be presumed to be in compliance with this Chapter.
d. The provisions of this section shall be interpreted in accordance with otherwise applicable State and Federal law(s) and will not apply if determined by the City to be in violation of, or preempted by, any such law(s).

8. Revocation.
a. Revocation of registration. A short-term vacation rental registration may be revoked for the following reasons:
i. That the registration was obtained by misrepresentation, false statement or fraud;
ii. That the short-term vacation rental activity is being conducted in violation of local or state law;
iii. That two (2) violations of Section 18.06.025(G) have occurred on the property on which the short-term vacation rental is located within the preceding twelve (12) months;
iv. That the short-term vacation rental activity has caused or is causing a serious threat to human health or public safety; or
v. That consent to an inspection is not provided.
vi. As used in this Section 18.06.025(G), the term “violation” shall mean any violation of the Section 18.06.025(G), as evidenced by a City-issued citation, unresolved notice of violation, unresolved ceaseand-desist order, or other appropriate documentation. Each unique violation of Section 18.06.025(G) shall constitute one (1) violation. b. Process: In any case where substantial evidence indicates that the conditions in subsection (a) exist, revocation proceedings shall occur as follows:
i. The City Manager or his or her designee may issue either a notice of pending revocation or a notice of suspension pending revocation, the latter of which shall require immediate suspension of all short-term vacation rental activity pending a final determination regarding revocation. Any notice of suspension shall explain why the short-term vacation rental activity presents an immediate, serious threat to 32 16
human health or public safety. The notice shall detail the grounds for potential revocation of the permit and allow thirty calendar (30) days for submission of a written statement and/or supporting documentation disputing such grounds.
ii. The City Manager’s or his or her designee’s determination shall be made not more than thirty calendar (30) days after the deadline for submittal of documentation provided on the notice.
iii. All notices and determinations shall be mailed to the operator, the property owner (if applicable), and the responsible party (if applicable). iv. The community development director is authorized to issue administrative guidelines to further define procedures for making revocation determinations.
c. Appeals: If the registration is revoked, the operator shall have the right to appeal the decision as follows:
i. The appellant must file a notice of appeal with the City Clerk within fourteen (14) calendar days of the date of the revocation decision. ii. The matter shall be scheduled for hearing before an independent hearing officer selected by the City Manager or his or her designee no more than thirty (30) calendar days from the receipt of the appeal. iii. The appellant shall be served with notice of the time and place of hearing, as well as any relevant materials, at least seven calendar days prior to the hearing.
iv. The hearing may be continued from time to time upon mutual consent. At the time of the hearing, the appealing party and the City Manager or his or her designee may present such relevant evidence as he or she may have relating to the determination from which the appeal is taken.
v. Based upon the submission of such evidence and the review of the city's files, the hearing officer shall issue a written notice and order upholding, modifying or reversing the determination from which the appeal is taken. The notice shall be given within a reasonable time after the conclusion of the hearing and shall state the reasons for the decision. The notice shall be mailed to appellant, and if different from the appellant, the operator, the property owner, and the responsible party (if applicable). The notice shall specify that the decision is final and subject only to judicial review in accordance with law.

9. Violations. Violations of the provisions of this Section shall be enforced according to Title 4 of the Municipal Code. Nothing in Chapter 18.06.025 limits the City’s 33 17
authority to enforce violations of the Municipal Code pursuant to Title 4 of the Municipal Code.

10. Existing Short-Term Vacation Rentals.
a. Short-term vacation rentals in operation for at least three (3) months at the time of the effective date of this ordinance and with proof of payment of all applicable transient occupancy taxes, shall have six (6) months from the effective date of this Ordinance to register. For approved unhosted short-term vacation rental operations, the annual calendar during which up to sixty (60) days of unhosted operations may occur commences on the date of registration issuance.
b. Short-term vacation rentals are not required to meet the primary residence requirement if all of the following conditions are met:
i. The short-term vacation rental does not currently meet the primary residency requirement and was in operation and in good standing with the City (i.e., had obtained a business license and had paid all required TOT) as of October 14, 2022.
ii. The short-term vacation rental has paid all applicable transient occupancy tax owed between October 14, 2022 and the date of registration.
iii. The short-term vacation rental is within a single-family or residential condominium unit. No accessory dwelling units qualify for this exemption.

This primary residence exemption shall no longer be valid for a property if ownership of the property is transferred, if short-term vacation rental use is discontinued for twelve (12) or more months, or if the short-term vacation rental registration is revoked.

GH. Parking Areas. Surfaced parking areas to support commercial uses adjacent to residential districts may be approved by use permit. Any such support parking area shall be subject to review and recommendations by any city council appointed advisory committee or commission prior to consideration by the planning commission of a use permit application.

HI. Swimming Schools. Swimming schools may be approved by use permit in R-1 and R-2 districts on sites having a minimum of six thousand square feet.

IJ. Commercial Filming. Commercial filming is permitted in all residential districts upon securing all necessary permits and licenses required by this code.

JK. Personal Property Sales. Personal property sales such as garage sales are limited to a maximum of three weekends per calendar year for each site in the R-1 districts and per dwelling unit in the R-2 and R-3 districts.
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KL. Construction Trailer. For purposes of this section, a construction trailer is defined as a mobile or temporary office facility for the use of the contractor during the construction of a residential structure or structures. The construction trailer shall be removed from the site within ten days of issuance of a certificate of occupancy or the final building inspection, whichever occurs first. The construction trailer may be converted to a sales office upon approval of a use permit in each case.

LM. Large family day care is allowed incidental to a residential use in all residential zoning districts subject to a determination by the community development director that the large family day care conforms to all of the following:

1. Concentration of Uses. No more than one large family day care shall be permitted within three hundred linear feet of the property line of any existing large family day care.

2. Parking. On-site parking beyond that required for the residential use shall not be required.

3. Passenger Loading. In addition to available on-street loading, a minimum of one passenger loading space shall be provided on the site during pick-up and drop-off periods.

4. Noise. Operation of a large family day care shall conform to the noise limitations of Chapter 9.23.

5. Screening of Outdoor Play Areas. A solid fence in conformance with the requirements of this chapter shall be provided to screen outdoor play areas located in the rear yard.

6. Residency. The operator of a large family day care must be a full-time resident of the dwelling unit in which the day care is located.

7. Garage. No portion of a garage providing “required” parking shall be utilized for the day care.

8. Fire and Building Code Requirements. Large family day care shall conform to the requirements of the State Fire Marshall.

9. State and Other Licensing. Large family day care shall be state licensed and operated according to all applicable state and local regulations. 35 19
Chapter 18.02 Definitions
Section 18.02.040 Definitions
The following definitions shall be inserted in alphabetical order:
“Hosting Platform” means a person, legal entity, or an association of individuals that provide a means, which may or may not be internet-based, through which a short-term vacation rental is offered to the public, in exchange for a fee or other compensation. A hosting platform generally has the following attributes: allows a host to advertise a short-term vacation rental, and provides a means to arrange and enter into agreements to occupy short-term vacation rentals, whether payment of rent is made directly to the host or through the hosting platform.
“Primary residence” means residential property at which a person resides a majority of the time, carries on basic living activities, and the place he or she usually returns to, in the event of travel. Evidence, such as motor vehicle registration, voter registration, a homeowner’s exemption on the property tax bill, long-term lease of the residential property, or other similar documentation, may be required by the City to determine whether the property is the primary residence. For a renter-occupied property, a long-term tenant must have resided for a majority of time on the property for at least two years prior to initiating short-term vacation rental use.
“Short-term vacation rental” means a residential or mixed-use property that contains a dwelling unit or habitable portion thereof that is offered for hire for transient occupancy for periods of thirty days or less. In residential zoning districts, short-term vacation rental use is incidental to the principal residential use of a dwelling unit or property. Non-permanent housing such as for seasonal farmworker housing and short-term boarding for researchers and others employed or otherwise affiliated with agricultural uses are not short-term vacation rental facilities.
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Chapter 18.06 Residential Land Use (R-1, R-2, R-3)
Section 18.06.020 Schedule of Uses.

Table A-4 is amended as follows:

Table A-4

SCHEDULE OF ACCESSORY USES
Accessory Uses Allowed by Zoning
With a
Use Permit
Additional
Regulations
Accessory dwelling units
Home occupation
Short-term vacation rental
All R
All R
All R
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Chapter 18.07 Commercial Land Use (C-D, C-R)
Section 18.07.020 Permitted Uses.

Table 18.07.020E is amended as follows:

Table 18.07.020E

ACCESSORY USES
C-D Commercial-downtown zoning district
C-R Commercial-residential zoning district
C-D (Heritage Main Street) commercial-downtown zoning
district--Main Street between Pilarcitos Creek and Correas Street, first fifty feet of frontage depth on ground floor OK = Allowed without permit UP = Use permit required
NO = Not allowed UPCC = Use permit required under certain circumstances
CDD = Requires community development director determination if use qualifies as active ground-floor dependent use or as ancillary to a permitted use Key Accessory Uses
C-D
Zoning
C-R
Zoning
C-D Heritage
Main Street
E-1 Accessory Use or Structure OK OK CDD
E-2 Accessory Dwelling Unit OK OK OK
E-3
E-4
E-5
Mixed Commercial and Residential
Home Occupation
Short-Term Vacation Rental
UP
OK
OK
UP
OK
OK
OK
NO
NO
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Section 18.07.025 Use regulations.

Subsection E is amended as follows:

E. Accessory Uses.

E-1 Accessory Use or Structure. Accessory uses and structures are permitted when they are incidental to the principal permitted or conditionally permitted use or structure on a site and are customarily found on the same site. Accessory uses to a residential use would include home occupations and garage sales. Accessory uses for retail or office uses would include storage incidental to a permitted use. Accessory structures such as garages or storage and maintenance sheds are permitted. For uses in the first fifty feet of frontage depth on the ground floor of Heritage Main Street, accessory uses or structures shall be ancillary to a permitted use on Heritage Main Street.

E-2 Accessory Dwelling Unit. No additional regulations specified.

E-3 Mixed Commercial and Residential. No additional regulations specified.

E-4 Home Occupation. Home occupations are allowed subject to the requirements of Section 18.06.025 (F).

E-5 Short Term Vacation Rentals. Short-Term Vacation Rentals are allowed subject to the requirements of Section 18.06.025 (G).
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Chapter 18.08 Commercial Land Use (C-VS, C-G)
Section 18.08.020 Permitted Uses.

Table 18.08.020E is amended as follows:

Table 18.08.020E

ACCESSORY USES
C-VS Visitor-serving commercial zoning district
C-G General commercial zoning district
OK = Allowed without permit UP = Use permit required
NO = Not allowed UPCC = Use permit required under certain circumstances
Key Accessory Uses
C-VS
Zoning
C-G
Zoning
E-1 Accessory Use or Structure OK OK
E-2 Accessory Dwelling Unit OK OK
E-3
E-4
E-5
Mixed Commercial and Residential
Home Occupations
Short-Term Vacation Rentals
UP
OK
OK
OK
OK
OK
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Section 18.08.025 Use regulations.

Subsection E is amended as follows:

E. Accessory Uses.

E-2 Accessory Dwelling Unit. No additional regulations specified.

E-3 Mixed Commercial and Residential. No residential uses are permitted as part of mixeduse development in the C-VS district unless ancillary to a permitted use and upon the approval of a use permit in each case. In the C-G district, no additional regulations specified.

E-4 Home Occupation. Home occupations are allowed subject to the requirements of Section 18.06.025 (F).

E-5 Short Term Vacation Rentals. Short-Term Vacation Rentals are allowed subject to the requirements of Section 18.06.025 (G).
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Chapter 18.15 Planned Development Land Use (PUD)

18.15.025 Permitted land uses.

Only the following uses shall be permitted on any site within a planned unit development district:

A. Uses Consistent with the General Plan, Adopted Planned Unit Development Plan, Specific Plan or Precise Plan. Permitted uses, densities, and intensities shall be consistent with those established in the land use plan, general plan or an approved planned unit development plan or specific plan, for the site.

B. Continuation of Existing Uses. The continuation of an existing land use prior to the adoption of a planned unit development plan as provided for in this chapter may be incorporated into the overall development plan if the existing use is consistent with the general plan and this chapter, or the existing use shall terminate in accordance with a specific abatement schedule approved as a part of a planned unit development plan for the site.

C. Interim or Temporary Uses. Interim or temporary uses and structures when approved by the community development director or the planning commission when consistent with the general plan and will not impact the health, safety, and general welfare of persons working or residing in the vicinity of the proposed temporary use or building, and any other ordinances or policies of the city, subject to the following conditions:

1. Temporary Uses and Structures Not to Exceed Ninety Days. The community development director may authorize the temporary use of structures and land in any planned unit development district for a period of time not to exceed ninety days.

Prior to taking action on a request for temporary uses and/or structures, the community development director shall inform the planning commission and any other party requesting such information of the request. The action of the community development director may be appealed pursuant to the provisions of Section

18.22.200.

2. Temporary Uses and Structures in Excess of Ninety Days. The planning commission may authorize the temporary use of structures or land in any planned unit development district for periods of time in excess of ninety days, subject to the review and approval of a use permit in each case. In approving a use permit for the temporary use of structures or land, the planning commission may impose whatever conditions deemed necessary to assure that the purpose and intent of the general plan and this chapter are carried out. The use permit shall establish a specific point in time when the temporary use is to be terminated and the site restored. The planning commission may authorize additional extensions of time for temporary use permits at a duly noticed public hearing.

D. Home Occupations. Home occupations are allowed subject to the requirements of Section

18.06.025 (F).
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E. Short Term Vacation Rentals. Short-Term Vacation Rentals are allowed subject to the requirements of Section 18.06.025 (G).
43 27
Chapter 18.16 Dykstra Ranch

18.16.025 Permitted uses.

The following uses are permitted within the Dykstra Ranch planned unit development:

A. Single-family residences on separate lots;
B. Accessory uses which are directly related to and incidental to the primary residential use of the property, including but not limited to living quarters for persons employed as service to the residents;
C. Public parks and recreational facilities as shown on the Dykstra Ranch planned unit development plan;
D. Private parks and open space as shown on the Dykstra Ranch planned unit development plan;
E. Community centers, tennis courts, and other private recreational facilities owned and operated by the homeowners association for the use and enjoyment of the residents; F. Public utility structures and facilities required for the service of the development; G. Temporary sales centers, construction yards and structures, signs and other facilities required for the development and marketing of the property. All signs and any temporary structures or construction yard sites intended to exist for more than one year shall be subject to the approval of the community development director; H. Home occupations are allowed subject to the requirements of Section 18.06.025 (F).

I. Short-Term Vacation Rentals are allowed subject to the requirements of Section

18.06.025 (G).

JH. Other uses which in the opinion of the community development director are consistent with the intent and purpose of this planned unit development plan. 44 28

18.16.030 Prohibited uses.

Any retail, office, or commercial activity or use is prohibited in the Dykstra Ranch planned unit development, including any home occupation that would require deliveries to the residence, or any employees, patrons, visitors to the residence with the express intent of participating in the business activity.
45 29
Chapter 3.12 Transient Occupancy Tax
Section 3.12.020 Definitions
Subsection A is amended as follows:

A. “Hotel” means any structure or facility, or any portion of any structure or facility, which is occupied or intended or designed for occupancy by transients for dwelling, lodging or sleeping purposes, and includes any hotel, inn, tourist home or house (including any shortterm vacation rental), motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location, campground or other similar structure or facility, or portion thereof, wherein overnight accommodations are offered for hire.
1633548.3
46

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

PROGRAM
______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing the City Manager to execute a new program services agreement with Abundant Grace for coastal cleanup services, extending the program through June 30, 2024.

FISCAL IMPACT:

Funding is included in the Recommended City Operating Budget for FY 2023-24. The total cost of the program to the City in FY 2023-24 $125,000 in FY 2023-24.

STRATEGIC ELEMENT:

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

BACKGROUND:

In November 2017, the City Council and community identified litter cleanup, primarily at Poplar Beach and along the Coastal Trail, as a critical community need.

On December 5, 2017, the City Council considered a plan put forth by staff to address coastal clean-up through a collaboration with Abundant Grace Coastside Worker (http://abundantgracecw.org). At this meeting, the City Council directed staff to enter negotiations for a one-year pilot program for Abundant Grace to provide clean-up services along the Coastal Trail and beach between Seymour Bridge and Kelly Avenue. The scope of work includes emptying trash cans, cleaning and clearing the area around the trash cans, removing graffiti, and picking up trash on the beach and trail. 47

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On November 20, 2018, per the City Manager’s authority, staff executed Amendment No. 1 to that agreement. This amendment included: 1) extension of the agreement to June 30, 2020; and 2) expansion of services to include portions of Poplar Street, Kelly Avenue, Pilarcitos Avenue, and the area adjacent to Pilarcitos Creek near the Strawflower Shopping Center.

Due to the program’s overall success and positive response from the community, staff brought Amendment No. 2 to Council on June 4, 2019. Council approved this amendment, increasing the program budget to $80,000 for FY 2019-20. This increase allowed for expansion of services and the ability to offer work opportunities to a greater number of candidates.

On June 16, 2020, a new agreement was approved by Council retaining the scope and cost basis as in FY 2021-22.

On May 4, 2021, Council approved the Amendment No. 1 to the new agreement to allow for an increase in budget to $110,000 annually. This change allowed the number of Clean Team workers to increase from 4-5 individuals to 6-8 individuals per session and provide more scheduling regularity. The program remains successful and offers work opportunities to many individuals who are unhoused or extremely low-income.

On June 21, 2022, Council approved the Amendment No. 2 allowed for an increase in budget to $115,000 annually to account for increased costs due to inflation.

DISCUSSION:

Abundant Grace’s work has been beneficial to the City as both an enhancement to the City’s maintenance operations and as a social service. The work of Abundant Grace is supplemental to work of the Public Works Maintenance and the scope of work has been developed to ensure limited or no duplication of efforts. The work includes litter clean-up in areas impacted by beachgoers and schools; areas that are not typically covered by City staff due to the limits of staffing, prioritization of life safety and health issues, and regular maintenance and repair of City parks and facilities. The Clean Team program is one of a number of programs run by Abundant Grace focused on workforce development activities.

Abundant Grace continued to demonstrate considerable impact through Coastal Clean Team program throughout FY 2022-23. In 2022, the Coastal Clean Team and Encampment Clean Up Program provided employment opportunities to 126 unhoused or extremely low-income individuals and has removed over 139,000 pounds of trash together with the encampment cleanup program from City beaches, neighborhoods, coastal trail, and encampments. Between July 2022 and April 2023, 12 participants in the program have moved into temporary housing, eight have been moved into permanent housing, nine have become employed elsewhere, and three have entered addiction recovery programs.

Abundant Grace requested additional funding to cover increasing costs as well as supporting the growing program and additional administrative costs. The new Program Services 48

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Agreement for the Coastal Clean Team increases the total funding to $125,000 and extends the program through June 30, 2024.

ATTACHMENT:

Resolution
49 RESOLUTION NO. C-2023-__

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROGRAM SERVICES AGREEMENT WITH

ABUNDANT GRACE FOR THE COASTAL CLEAN-UP PROGRAM
IN THE AMOUNT OF $125,000
WHEREAS, on February 6, 2018, the City Council authorized staff to execute a professional services agreement with Abundant Grace to provide a one-year Coastal Clean-Up Pilot Program for Poplar Beach and the Coastal Trail; and
WHEREAS, the City Council authorized staff to allocate $80,000 in the FY 2019-20 and FY 2020-21 Operating Budgets to continue the Coastal Clean-Up Program; and WHEREAS, on May 4, 2021, the City Council authorized the City Manager to execute Amendment No. 1 to the professional services agreement to increase the amount of contract from $80,000 to $110,000 for FY 2020-21; and
WHEREAS, the City Council authorized staff to allocate $110,000 in the FY 2021-22 Operating Budget to continue the Coastal Clean-Up Program; and WHEREAS, the City Council authorized staff to allocate $115,000 in the FY 2022-23 Operating Budget to continue the Coastal Clean-Up Program; and WHEREAS, Abundant Grace has asked for additional funding in FY 2023-24 to offset rising costs for a total of $125,000; and
WHEREAS, the City Council continues to value this program and believes that continuing to fund an expanded program is desirable and warranted; and WHEREAS, the Recommended City Operating Budget includes funding for the Coastal Clean-Up Program in the amount of $125,000; and
NOW, THEREFORE, BE IT RESOLVED THAT the City Council authorizes the City Manager to execute a Program Services Agreement with Abundant Grace in the amount of $125,000 for continuation of the Coastal Clean-Up Program in FY 2023-24. 50 ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th of June, 2023 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 Deborah Penrose, Mayor
51

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: JUNE 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Maz Bozorginia, Public Works Director/City Engineer Denice Hutten, Associate Civil Engineer
TITLE: FINAL ACCEPTANCE OF THE PELICAN POINT GENERATOR REPLACEMENT PROJECT (CIP NO. 1284)
______________________________________________________________________________ RECOMMENDATION:

By resolution, authorize the City Manager or his designee to file a Notice of Completion for the Pelican Point Generator Replacement Project (Project) and release the Project Retention Funds and Project Performance Bond and Labor and Materials Bond thirty (30) days after recordation of the Notice of Completion.

FISCAL IMPACT:

The approved contract award is $140,470. Authorized contingency funds provide a total amount of $154,517 for the Project. The total cost of the Project was $137,620. There are sufficient funds in the Capital Budget under CIP Project No. 1284 to cover the cost of the project.

STRATEGIC ELEMENT:

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

BACKGROUND:

On December 15, 2020, by Resolution C-2020-105, the City Council awarded a construction contract to Yupana Inc. of Concord, California, in the amount of $140,470 for the Pelican Point Generator Project.

The Project consisted of removing and replacing the existing generator with a new soundenclosed generator, replacing the automatic transfer switch, installing new wiring and transducers, repairing the underground telephone line, repairing, and painting the existing metal electrical enclosure and replacing fence slats.
52

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Project work was to be completed in 140 working days—completion by September 7, 2021--to allow time for Bay Area Air Quality Control Board permitting and for generator order and delivery. Unfortunately, covid supply chain shortages pushed out delivery of equipment parts.

The generator was not installed and operational until January 25, 2022; the transducer was not delivered and installed until November 29, 2022.

Compounding Project completion was the fouling of the generator fuel system due to delivery of contaminated fuel. As a result, the Contractor was required to clean the fuel tanks, replace the diesel fuel with clean fuel and bring a Cummins technician to the site to replace the fuel pumps, fuel filters and fuel injectors.

Finally, on March 29, 2023, the new generator fuel system was completely repaired. The generator has since run smoothly and dependably.

DISCUSSION:

The Contractor has now completed the work to the satisfaction of the City Engineer. The Contractor has agreed to pay “pass-through” invoices from SAM for the additional site visits required due to the bad fuel delivered to the generator. The Contractor has also agreed to discount their final invoice by $2,000 to provide cost recovery to the City due to additional site visits and delay caused by repair of the generator fuel system.

The Contractor has provided a one-year warranty bond for the work. Total cost of construction was $137,620. This project is complete, and the one-year warranty bond is adequate to ensure the work products perform as expected for the next year.

Staff recommends City Council authorize the City Manager or his designee to file a Notice of Completion and release the Project Retention Funds and the Performance and Labor and Materials Bonds thirty (30) days after recordation of the Notice of Completion.

ATTACHMENT:

Resolution
53 Resolution No. C-2023-____

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

CITY MANAGER OR HIS DESIGNEE TO FILE A NOTICE OF COMPLETION FOR THE PELICAN POINT

GENERATOR REPLACEMENT (PROJECT), AND RELEASE THE PROJECT RETENTION FUNDS AND PROJECT PERFORMANCE AND LABOR AND MATERIALS BONDS THIRTY (30) DAYS AFTER

RECORDATION OF THE NOTICE OF COMPLETION
WHEREAS, on December 15, 2020, the City Council adopted Resolution C-2020-105 to award a construction contract for CIP No. 1284, the “Pelican Point Generator Replacement Project” (Project) to Yupana, Inc., in the amount of $140,470; and WHEREAS, Resolution C-2020-105 also authorized contingency funding in the amount of 10% ($14,047) of the contract award for the Project; and WHEREAS, the Contractor has completed all improvements in compliance with the contract documents for a total amount of $137,620; and
WHEREAS, the Contractor has provided a one-year maintenance bond for the work executed under the construction contract.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager or his designee to accept the Pelican Point Generator Replacement Project as complete and file a Notice of Completion, and also authorizes staff to release the Project retention funds and the Performance and Labor and Material Bonds thirty (30) days after recordation of the Notice of Completion. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
54

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Maz Bozorginia, Public Works Director/City Engineer Todd Seeley, Public Works Superintendent
TITLE: FIRST AMENDMENT TO THE CONSULTANT SERVICES AGREEMENT WITH SWCA ENVIRONMENTAL CONSULTANTS, INC. FOR ENVIRONMENTAL SERVICES FOR THE

PILARCITOS CREEK RESTORATION AND REMEDIATION PROJECT
RECOMMENDATION:

Adopt a resolution authorizing the City Manager to execute a First Amendment to the Consultant Services Agreement with SWCA Environmental Consultants, Inc. in the amount of $13,267 for environmental and entitlement services associated with the Pilarcitos Creek Restoration and Remediation Project.

FISCAL IMPACT:

The consultant services costs are included in the Capital Improvement Program as part of the project contingency and allocated in the FY 2022-23 Capital Budget.

STRATEGIC ELEMENT:

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

BACKGROUND:

Pilarcitos Creek is a 13.5-mile-long coastal stream of which approximately 11,000 linear feet is located within the City limits of Half Moon Bay. The creek is an area of significant ecological diversity which includes endangered and threatened species of flora and fauna. The watershed is considered an Environmentally Sensitive Habitat Area (ESHA) under the City’s Local Coastal Program. The creek and the abutting riparian habitat are subject to potential oversight and consultation of various State and Federal regulatory agencies.

In recent years, the creek and abutting areas near the Strawflower Village Shopping Center have been the site of habitation by unhoused individuals. This habitation, including the accumulation of trash and debris, is likely contributing to impacts to the water quality of the 55

Page 2 of 2 ends

Pilarcitos Creek which negatively impact the natural functioning of the watershed and habitat for wildlife. In May of 2018, the City implemented Phase 1 of the Pilarcitos Creek Restoration Project, which included the collaborative and compassionate removal of more than 40 unhoused individuals and their property from within the riparian corridor, removal of debris, and installation of temporary fencing along the border of the Shopping Center and the riparian area of Pilarcitos Creek.

At the time of the original work, staff had envisioned replacing the temporary fencing with permanent fencing. Due to financial and staffing impacts related to the COVID-19 pandemic, this phase of the project was never implemented. Today, the area is once again seeing an influx of unhoused individuals, which, albeit on a smaller scale, are resulting in many of the same deleterious impacts to the Pilarcitos Creek and watershed.

Staff is currently working on details of design for the fencing project. As envisioned, a fence would be constructed in the rear area of the Safeway Market (adjacent to the existing parking lot) and extend easterly along the edge of the existing sidewalk to near the pedestrian bridge.

The City is working in collaboration with the owner of the Strawflower Shopping Center and will further develop the plans and specifications in consultation with the environmental consultant and City planning staff.

On December 6, 2022, the City Council authorized the City Manager to execute a Consultant Services Agreement with SWCA Environmental Consultants, Inc. to provide a Biological Resources Evaluation (BRE), California Environmental Quality Act (CEQA) studies, biological monitoring, and Coastal Development Permit (CDP) preparation. The amount of work included in the original contract did not include additional areas that were identified as a result of the winter storms of 2022 and 2023 and require further analysis and support.

The City is continuing to work with FEMA and CalOES on funding of storm related damage to the Pilarcitos Creek. This project is separate and not directly related to that clean-up effort.

DISCUSSION:

Staff is requesting approval of an amendment to the Consultant Services Agreement with SWCA Environmental Consultants, Inc. (SWCA). SWCA was initially contracted for a clearly defined area of work that has since changed and requires additional studies. These areas require a larger BRE, increases in cultural records searches and assistance in document preparation to ensure compliance with local and state agencies.

The addition of these services will allow SWCA to properly observe and document all necessary activities related to the project, while keeping the City compliant with all applicable laws and regulations related to potentially disturbing ground in known culturally sensitive areas.

ATTACHMENTS:

Resolution
56 RESOLUTION NO. C-2023-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 1 TO THE CONSULTANT SERVICES AGREEMENT WITH SWCA ENVIRONMENTAL CONSULTANTS, INC. IN THE AMOUNT OF $13,267 FOR ENVIRONMENTAL AND ENTITLMENT SERVICES ASSOCIATED WITH THE

PILARCITOS CREEK RESTORATION AND REMEDIATION PROJECT
WHEREAS, On December 6, 2022, the City Council authorized the City Manager to execute a Consultant Services Agreement with SWCA Environmental Consultants Inc. to provide environmental and document preparation services for the Pilarcitos Creek Restoration and Remediation Project; and
WHEREAS, SWCA has been a reliable and responsive vendor that has assisted the City with numerous projects requiring highly technical work; and WHEREAS, the City needs to amend the Consultant Services Agreement with SWCA, Inc. to facilitate the preparation of a more detailed Biological Resources Evaluation, and to allow increases in cultural records searches and assistance in document preparation to ensure compliance with local and state agencies in known culturally sensitive areas.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute Amendment No. 1 to the Consultant Services Agreement with SWCA, Inc. for environmental, biological, and cultural support, and document preparation is support of the Pilarcitos Creek Restoration and Remediation Project in the amount of $13,267.
***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
57 May 19, 2023
Todd Seeley
Department of Public Works
501 Main Street
Half Moon Bay, CA, 94019
Re: Amendment No. 1: City of Half Moon Bay Safeway Fencing Environmental Services Project / SWCA Project Number 71765
Dear Mr. Seeley:

SWCA Environmental Consultants (SWCA) is pleased to submit Amendment No. 1 to provide an updated scope of work and cost estimate for environmental services for the City of Half Moon Bay Safeway Fencing Project located in Half Moon Bay, California.

The cost to complete the additional tasks, as described in the attached scope of work, is a time-and-materials budget not to exceed without client approval of $13,267. The cost estimate is valid for 90 days, after which time we reserve the right to create a new cost estimate.

Thank you for providing us with the opportunity to work with you. If the scope of work and cost estimate are acceptable to you, please return an Amendment to the Professional Services Agreement for our review. Please feel free to contact me at (805) 712-8794 if you have any questions regarding this proposal.

Sincerely,
Jessie Brinton-McBean
Senior Biologist/Project Manager
58 City of Half Moon Bay Safeway Fencing Environmental Services Project Page | 1

SCOPE OF WORK
SWCA Environmental Consultants (SWCA) assumed that the project would include installation of chain-link fencing along the edge of the riparian corridor associated with Pilarcitos Creek, starting behind Safeway in Half Moon Bay, and continuing for approximately 1,000 feet to Pilarcitos Creek Bridge. However, it’s SWCA’s understanding that the City intends to install an additional 400 feet of fencing along the east side of Pilarcitos Ave, requiring the additional tasks outlined below.

PHASE 1. PROJECT MANAGEMENT AND COORDINATION
SWCA assumed up to 34 hours of project management time. However, due to the additional scope of work, additional project management time will be required to continuing supporting the project.

Phase 1 Assumptions
• SWCA assumes up to 8 hours of project management time.

PHASE 2. BIOLOGICAL RESOURCES EVALUATION
NEW TASK 3. ADDITIONAL FIELD SURVEY
SWCA assumed up to 1 day to conduct the survey of the existing biological conditions. However, due to the new project footprint, an additional survey will be required.

NEW TASK 4. UPDATES TO THE BRE
SWCA assumed the project area would not change after the Draft BRE was prepared. Due to the analysis of the additional project area, updates to the BRE report are required.

Phase 2 Assumptions
• SWCA assumes up to one 8-hour day for one biologist, inclusive of travel time, will be required to complete the field survey.
• SWCA assumes up to 20 hours for updates to the BRE.
• SWCA assumes that one round of consolidated comments will be responded to for the report. Up to 4 hours have been included to address comments. Should additional revisions be necessary following review; response to additional comments can be provided at an additional cost.

PHASE 3. CULTURAL RESOURCES
TASK 1. CULTURAL RESOURCES RECORDS SEARCH AND OUTREACH
SWCA will request a California Historical Resources Information System (CHRIS) records search of the updated project area and a ¼-mile buffer from the Northwest Information Center (NWIC) located at Sonoma State University.

The primary purpose of the records search is to identify any previously recorded cultural resources known to exist within the project area. The records search will also reveal the geographic extent of any cultural resources work previously conducted within the project area. SWCA will conduct desktop review of current and historic aerials in order to identify built environment resources which may be historic in age. 59 City of Half Moon Bay Safeway Fencing Environmental Services Project Page | 2
SWCA follow up with an additional phone call to all Native American contacts provided by the NAHC to update them on the new project area. The results of this coordination will be provided in the memorandum.

TASK 2. FIELD SURVEY AND MEMORANDUM
SWCA assumed up to one (1) four (4)-hour day to conduct the intensive archaeological pedestrian survey to examine any previously unpaved areas within the project area. However, due to the new project footprint, an additional survey will be required.

SWCA will conduct an intensive archaeological pedestrian survey of the 400-foot extension to examine any previously unpaved areas within the project area. One SWCA archaeologist will carefully inspect the ground surface for evidence of artifacts, landforms, structures, buildings, ruins, linear features (roads, trails), or other cultural features. No testing or excavation will be conducted, nor will any artifacts, samples, or specimens be collected during the survey.

SWCA will summarize the results of the records search, SLF, and cultural desktop review and field survey in a brief confidential memorandum, as well as in the Initial Study Checklist outlined in Phase 5 below.

Phase 3 Assumptions
• SWCA assumes that no archaeological sites will be identified and recorded or updated during the survey. • SWCA assumes up to one (1) archaeologist for one (1) four (4)-hour day inclusive of travel, will be required for the field survey.
• SWCA assumes NWIC will complete the records search requests on a first-come/first-served basis. SWCA assumes a standard records search schedule, and that the cost for the records search will not exceed $600.00. Charges in excess of these limits may require a change order or conversation to standard rates. • SWCA assumes that there are no previously recorded resources in the project area. • SWCA assumes that one round of consolidated comments will be responded to for the report. Up to 2 hours have been included to address comments.
• SWCA assumes that if AB 52 consultation is required, that it will be handled by the lead CEQA agency.

PHASE 6. COASTAL DEVELOPMENT PERMIT (CDP)
At the City’s request, SWCA will prepare a site plan for the Coastal Development Permit (CDP).

Phase 6 Assumptions:
• A total of 10 staff hours have been added to this phase to prepare the site plan in support of the CDP.

COST ESTIMATE AND ASSUMPTIONS
Based on thoughtful consideration of the project requirements and a thorough estimate of the required labor and direct costs, SWCA proposes a time-and-materials budget not to exceed without client approval of $13,267 to complete the project as presented in Table 1. This will bring the total contract value to $65,340 (Table 2).

To accommodate project changes and scheduling, it is assumed that SWCA will be able to use the overall project funding and will not be held to phase and task limits so long as the overall budget is not exceeded. 60 City of Half Moon Bay Safeway Fencing Environmental Services Project Page | 3
SWCA will utilize its current rate schedule from the City of Half Moon Bay On-Call Environmental Support 2022-2023 agreement. Staff will bill at their proposed rate for the duration of the project, which is anticipated to be complete by December 2023. Should the project extend past December 2023, rates may be escalated by 3%. This cost estimate is valid for 90 days from the date of the proposal.

TABLE 1: AMENDMENT NO. 1 SUMMARY

PHASE/TASK FEE TYPE
UNIT
RATE LABOR HOURS NTE TOTAL $
Phase 1. Project Management T&M Hourly 8.00 $1,336.00
Phase 2. Biological Resources Evaluation T&M Hourly 32.00 $5,398.00 Phase 3. Cultural Resources T&M Hourly
Task 1. Cultural Resources Records Search and Outreach T&M Hourly 8.00 $1,718.00 Task 2. Field Survey and Memorandum T&M Hourly 24.00 $3,515.00 Phase 6. Coastal Development Permit T&M Hourly 10.00 $1,300.00 PROJECT TOTAL 82.00 $13,267.00
TABLE 2: PROJECT SUMMARY

PHASE/TASK
FEE
TYPE
UNIT

RATE QTY

ORGINAL
CONTRACT $ AMENDMENT NO. 1
NTE
TOTAL $
Phase 1. Project Management T&M Hourly $5,391 $1,336.00 $6,727 Phase 2. Biological Resources Evaluation T&M Hourly $9,066 $5,398.00 $14,464 Phase 3. Cultural Resources T&M Hourly
Task 1. Cultural Resources Records Search T&M Hourly $927 $1,718.00 $2,645 Task 2. Field Survey and Memorandum T&M Hourly $4,136 $3,515.00 $7,651 Phase 4. Agency Consultation T&M Hourly $4,299 $4,299
Phase 5. CEQA Notice of Exemption / Initial Study
Checklist
T&M Hourly $7,606 $7,606
Phase 6. Coastal Development Permit T&M Hourly $7,433 $1,300.00 $8,733 Phase 7. Biological Monitoring T&M
Task 1. Worker Environmental Awareness Training Unit $715 1 $715 $715 Task 2. Biological Monitoring Unit
Full Day Up to 8 hours Unit $1,250 10 $12,500 $12,500
Half Day Up to 4 hours Unit $650
24-hour cancellation fee Unit $650
PROJECT TOTAL $52,073 $13,267 $65,340
61 City of Half Moon Bay Safeway Fencing Environmental Services Project Page | 4

GLOBAL ASSUMPTIONS
For budgeting purposes, we are making the following assumptions because some of these items are beyond SWCA’s control and because these factors could significantly affect project schedule and cost:
• Unless otherwise noted, the original assumptions still apply. • Staff working on the project will be billed based on their current City of Half Moon Bay On-Call Environmental Support 2022-2023 title and default rate at the time the work is completed. • SWCA field staff will have full right of entry/access to all survey areas. • SWCA will not provide focused or protocol wildlife surveys for special-status species or nesting bird surveys, or formal wetland delineations under this scope of work. Additional focused surveys or delineations can be provided at an additional cost.
• All reports will be submitted electronically via email. 62

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Maz Bozorginia, Public Works Director/City Engineer Jonathan Woo, Assistant Engineer
TITLE: POPLAR STREET TRAFFIC CALMING AND SAFETY PROJECT – PHASE I (CIP PROJECT NO. 593) – CALTRANS PROGRAM SUPPLEMENT AGREEMENT ______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing the City Manager, or his designee, to execute a Program Supplement Agreement with the State of California Department of Transportation (Caltrans) to accept funds in the amount of $1,202,000 for the construction of the Poplar Street Traffic Calming and Safety Project – Phase I (CIP Project No. 593).

FISCAL IMPACT:

Approving the Caltrans Program Supplement Agreement will give the City access to grant funds in the amount of $1,202,000 that were previously awarded construction of this project under the One Bay Area Grant (OBAG) program. Staff will return to council for approval of a construction contract following formal advertisement and solicitation of bids.

STRATEGIC ELEMENT:

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

BACKGROUND:

In 2017, the City received a grant in the amount of $1,202,000 from the One Bay Area Grant (OBAG) program. The grant funds were directed to improving connectivity along Poplar Street from Main Street to Railroad Avenue; notably, constructing an accessible path of travel for pedestrians, including seniors, to and from Poplar Beach and for school children heading east and west to local public/private schools. Following award and acceptance of the grant funds, the City created the Poplar Street Traffic Calming and Safety Project in the Capital Improvement Program (CIP). Poplar Street is a designated Primary Coastal Access Route in the Certified Local Coastal Plan which acknowledges the regional coastal serving access role the Poplar Street plays.
63

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On February 8, 2022, the Planning Commission unanimously (3-0) approved a Coastal Development Permit (CDP) for the Poplar Project. The Planning Commission approval included design changes which will improve the aesthetics of the project. CDP issuance represented a significant milestone in the process as it allows Public Works to proceed with design plans and bid documents.

On November 15, 2022, the City Council adopted a resolution that splits the Project into two phases, Main Street to Highway 1 (Phase 1), and Highway 1 to Railroad Avenue (Phase 2).

DISCUSSION:

The City has a master program agreement with Caltrans, which is required to access transportation grant funding that is administered through the State. A program supplement agreement (PSA) is also required to be authorized for each grant funded project. The proposed PSA has been reviewed and accepted as to form by the City Attorney.

Staff is recommending for the City Council to adopt a resolution authorizing the City Manager, or his designee, to execute a Program Supplement Agreement with the State of California Department of Transportation (Caltrans) to accept funds in the amount of $1,202,000 for the construction of the Poplar Street Traffic Calming and Safety Project – Phase I (CIP Project No. 0593).

ATTACHMENTS:

1. Resolution

2. Attachment 2 – Program Supplement Agreement
64 RESOLUTION NO. C-2023-__

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

CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE A PROGRAM SUPPLEMENT AGREEMENT WITH CALTRANS TO ACCEPT FUNDS IN THE AMOUNT OF $1,202,000 FOR CONSTRUCTION OF THE POPLAR STREET TRAFFIC CALMING AND SAFETY PROEJCT – PHASE I (CIP PROJECT NO. 593)
WHEREAS, in 2017, the City received a grant in the amount of $1,202,000 from the One Bay Area Grant (OBAG) program to fund the construction of street and access improvements through Poplar Street from Railroad Avenue to Main Street; and WHEREAS, on February 8, 2022, the Planning Commission unanimously (3-0) approved a Coastal Development Permit (CDP) for the Poplar Project that included design changes that approve aesthetics of the project; and
WHEREAS, on November 15, 2022, the City Council adopted a resolution that splits the Project into two phases, Main Street to Highway 1 (Phase 1), and Highway 1 to Railroad Avenue (Phase 2); and
WHEREAS, the City has a master program agreement with Caltrans; WHEREAS, Caltrans requires a program supplement agreement for each grant funded project.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager, or his designee, to execute a Program Supplement Agreement with the State of California Department of Transportation (Caltrans) to accept funds in the amount of $1,202,000 for the construction of the Poplar Street Traffic Calming and Safety Project – Phase I (CIP Project No. 593)
******************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
65 F007
FOR FEDERAL-AID PROJECTS NO 04-5357F15
0420000230
March 03, 2023
04-SM-0-HMBY
CML-5357(011)
5357
This Program Supplement hereby adopts and incorporates the Administering Agency-State Agreement for Federal Aid which was entered into between the Administering Agency and the State on 06/11/2018 and is subject to all the terms and conditions thereof. This Program Supplement is executed in accordance with Article I of the aforementioned Master Agreement under authority of Resolution No. approved by the Administering Agency on (See copy attached).

The Administering Agency further stipulates that as a condition to the payment by the State of any funds derived from sources noted below obligated to this PROJECT, the Administering Agency accepts and will comply with the special covenants or remarks set forth on the following pages.

Phase 1: Poplar St from Main St to Hwy 1
Implement Complete Street Improvements 0.0(MILES)
Estimated Cost Federal Funds Matching Funds
Y003 $1,202,000.00

CITY OF HALF MOON BAY
By ________________________________ By ________________________________ Title _______________________________
Date _______________________________
Attest _______________________________ Date _______________________________ Division of Local Assistance
I hereby certify upon my personal knowledge that budgeted funds are available for this encumbrance:

Accounting Officer _______________________ Date _______________ PROGRAM SUPPLEMENT NO.
to

ADMINISTERING AGENCY-STATE AGREEMENT
Adv. Project ID Date:

Location:

Project Number:

E.A. Number:

Locode:

PROJECT LOCATION:

TYPE OF WORK: LENGTH:

LOCAL OTHER
$1,701,076.78 $499,076.78 $0.00
Chief, Office of Project Implementation

STATE OF CALIFORNIA
Department of Transportation
$1,202,000.00
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1. A. The ADMINISTERING AGENCY will advertise, award and administer this project in accordance with the current published Local Assistance Procedures Manual.

B. ADMINISTERING AGENCY agrees that it will only proceed with work authorized for specific phase(s) with an "Authorization to Proceed" and will not proceed with future phase(s) of this project prior to receiving an "Authorization to Proceed" from the STATE for that phase(s) unless no further State or Federal funds are needed for those future phase(s).

C. STATE and ADMINISTERING AGENCY agree that any additional funds which might be made available by future Federal obligations will be encumbered on this PROJECT by use of a STATE-approved "Authorization to Proceed" and Finance Letter. ADMINISTERING AGENCY agrees that Federal funds available for reimbursement will be limited to the amounts obligated by the Federal Highway Administration.

D. Award information shall be submitted by the ADMINISTERING AGENCY to the District Local Assistance Engineer within 60 days of project contract award and prior to the submittal of the ADMINISTERING AGENCY'S first invoice for the construction contract.

Failure to do so will cause a delay in the State processing invoices for the construction phase.

Attention is directed to Section 15.7 "Award Package" of the Local Assistance Procedures Manual.

E. ADMINISTERING AGENCY agrees, as a minimum, to submit invoices at least once every six months commencing after the funds are encumbered for each phase by the execution of this Project Program Supplement Agreement, or by STATE's approval of an applicable Finance Letter. STATE reserves the right to suspend future authorizations/obligations for Federal aid projects, or encumbrances for State funded projects, as well as to suspend invoice payments for any on-going or future project by ADMINISTERING AGENCY if PROJECT costs have not been invoiced by ADMINISTERING AGENCY for a six-month period.

If no costs have been invoiced for a six-month period, ADMINISTERING AGENCY agrees to submit for each phase a written explanation of the absence of PROJECT activity along with target billing date and target billing amount.

ADMINISTERING AGENCY agrees to submit the final report documents that collectively constitute a "Report of Expenditures" within one hundred eighty (180) days of PROJECT completion. Failure of ADMINISTERING AGENCY to submit a "Final Report of Expenditures" within 180 days of PROJECT completion will result in STATE imposing sanctions upon ADMINISTERING AGENCY in accordance with the current Local Assistance Procedures Manual.

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F. Administering Agency shall not discriminate on the basis of race, religion, age, disability, color, national origin, or sex in the award and performance of any Federal-assisted contract or in the administration of its DBE Program Implementation Agreement. The Administering Agency shall take all necessary and reasonable steps under 49 CFR Part 26 to ensure nondiscrimination in the award and administration of Federal-assisted contracts. The Administering Agency's DBE Implementation Agreement is incorporated by reference in this Agreement. Implementation of the DBE Implementation Agreement, including but not limited to timely reporting of DBE commitments and utilization, is a legal obligation and failure to carry out its terms shall be treated as a violation of this Agreement. Upon notification to the Administering Agency of its failure to carry out its DBE Implementation Agreement, the State may impose sanctions as provided for under 49 CFR Part 26 and may, in appropriate cases, refer the matter for enforcement under 18 U.S.C. 1001 and/or the Program Fraud Civil Remedies Act of 1986 (31 U.S.C. 3801 et seq.).

G. Any State and Federal funds that may have been encumbered for this project are available for disbursement for limited periods of time. For each fund encumbrance the limited period is from the start of the fiscal year that the specific fund was appropriated within the State Budget Act to the applicable fund Reversion Date shown on the State approved project finance letter. Per Government Code Section 16304, all project funds not liquidated within these periods will revert unless an executed Cooperative Work Agreement extending these dates is requested by the ADMINISTERING AGENCY and approved by the California Department of Finance.

ADMINISTERING AGENCY should ensure that invoices are submitted to the District Local Assistance Engineer at least 75 days prior to the applicable fund Reversion Date to avoid the lapse of applicable funds. Pursuant to a directive from the State Controller's Office and the Department of Finance; in order for payment to be made, the last date the District Local Assistance Engineer can forward an invoice for payment to the Department's Local Programs Accounting Office for reimbursable work for funds that are going to revert at the end of a particular fiscal year is May 15th of the particular fiscal year. Notwithstanding the unliquidated sums of project specific State and Federal funding remaining and available to fund project work, any invoice for reimbursement involving applicable funds that is not received by the Department's Local Programs Accounting Office at least 45 days prior to the applicable fixed fund Reversion Date will not be paid. These unexpended funds will be irrevocably reverted by the Department's Division of Accounting on the applicable fund Reversion Date.

H. As a condition for receiving federal-aid highway funds for the PROJECT, the Administering Agency certifies that NO members of the elected board, council, or other key decision makers are on the Federal Government Exclusion List. Exclusions can be found at www.sam.gov.

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2. A. ADMINISTERING AGENCY shall conform to all State statutes, regulations and procedures (including those set forth in the Local Assistance Procedures Manual and the Local Assistance Program Guidelines, hereafter collectively referred to as "LOCAL ASSISTANCE PROCEDURES") relating to the federal-aid program, all Title 23 Code of Federal Regulation (CFR) and 2 CFR Part 200 federal requirements, and all applicable federal laws, regulations, and policy and procedural or instructional memoranda, unless otherwise specifically waived as designated in the executed project-specific PROGRAM SUPPLEMENT.

B. Invoices shall be formatted in accordance with LOCAL ASSISTANCE PROCEDURES.

C. ADMINISTERING AGENCY must have at least one copy of supporting backup documentation for costs incurred and claimed for reimbursement by ADMINISTERING AGENCY. ADMINISTERING AGENCY agrees to submit supporting backup documentation with invoices if requested by State. Acceptable backup documentation includes, but is not limited to, agency's progress payment to the contractors, copies of cancelled checks showing amounts made payable to vendors and contractors, and/or a computerized summary of PROJECT costs.

D. Indirect Cost Allocation Plan/Indirect Cost Rate Proposals (ICAP/ICRP), Central Service Cost Allocation Plans and related documentation are to be prepared and provided to STATE (Caltrans Audits & Investigations) for review and approval prior to ADMINISTERING AGENCY seeking reimbursement of indirect costs incurred within each fiscal year being claimed for State and federal reimbursement. ICAPs/ICRPs must be prepared in accordance with the requirements set forth in 2 CFR, Part 200, Chapter 5 of the Local Assistance Procedural Manual, and the ICAP/ICRP approval procedures established by STATE.

E. STATE will withhold the greater of either two (2) percent of the total of all federal funds encumbered for each PROGRAM SUPPLEMENT or $40,000 until ADMINISTERING AGENCY submits the Final Report of Expenditures for each completed PROGRAM SUPPLEMENT PROJECT.

F. Payments to ADMINISTERING AGENCY for PROJECT-related travel and subsistence (per diem) expenses of ADMINISTERING AGENCY forces and its contractors and subcontractors claimed for reimbursement or as local match credit shall not exceed rates authorized to be paid rank and file STATE employees under current State Department of Personnel Administration (DPA) rules. If the rates invoiced by ADMINISTERING AGENCY are in excess of DPA rates, ADMINISTERING AGENCY is responsible for the cost difference, and any overpayments inadvertently paid by STATE shall be reimbursed to STATE by ADMINISTERING AGENCY on demand within thirty (30) days of such invoice.

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G. ADMINISTERING AGENCY agrees to comply with 2 CFR, Part 200, Uniform Administrative Requirements, Cost Principles and Audit Requirement for Federal Awards.

H. ADMINISTERING AGENCY agrees, and will assure that its contractors and subcontractors will be obligated to agree, that Contract Cost Principles and Procedures, 48 CFR, Federal Acquisition Regulations System, Chapter 1, Part 31, et seq., shall be used to determine the allowability of individual PROJECT cost items.

I. Every sub-recipient receiving PROJECT funds under this AGREEMENT shall comply with 2 CFR, Part 200, 23 CFR, 48 CFR Chapter 1, Part 31, Local Assistance Procedures, Public Contract Code (PCC) 10300-10334 (procurement of goods), PCC 10335-10381 (non-A&E services), and other applicable STATE and FEDERAL regulations.

J. Any PROJECT costs for which ADMINISTERING AGENCY has received payment or credit that are determined by subsequent audit to be unallowable under 2 CFR, Part 200, 23 CFR, 48 CFR, Chapter 1, Part 31, and other applicable STATE and FEDERAL regulations, are subject to repayment by ADMINISTERING AGENCY to STATE.

K. STATE reserves the right to conduct technical and financial audits of PROJECT WORK and records and ADMINISTERING AGENCY agrees, and shall require its contractors and subcontractors to agree, to cooperate with STATE by making all appropriate and relevant PROJECT records available for audit and copying as required by the following paragraph:

ADMINISTERING AGENCY, ADMINISTERING AGENCY'S contractors and subcontractors, and STATE shall each maintain and make available for inspection and audit by STATE, the California State Auditor, or any duly authorized representative of STATE or the United States all books, documents, papers, accounting records, and other evidence pertaining to the performance of such contracts, including, but not limited to, the costs of administering those various contracts and ADMINISTERING AGENCY shall furnish copies thereof if requested.

All of the above referenced parties shall make such AGREEMENT, PROGRAM SUPPLEMENT, and contract materials available at their respective offices at all reasonable times during the entire PROJECT period and for three (3) years from the date of submission of the final expenditure report by the STATE to the FHWA.

L. ADMINISTERING AGENCY, its contractors and subcontractors shall establish and maintain a financial management system and records that properly accumulate and segregate reasonable, allowable, and allocable incurred PROJECT costs and matching funds by line item for the PROJECT. The financial management system
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of ADMINISTERING AGENCY, its contractors and all subcontractors shall conform to Generally Accepted Accounting Principles, enable the determination of incurred costs at interim points of completion, and provide support for reimbursement payment vouchers or invoices set to or paid by STATE.

M. ADMINISTERING AGENCY is required to have an audit in accordance with the Single Audit Act of 2 CFR 200 if it expends $750,000 or more in Federal Funds in a single fiscal year of the Catalogue of Federal Domestic Assistance.

N. ADMINISTERING AGENCY agrees to include all PROGRAM SUPPLEMENTS adopting the terms of this AGREEMENT in the schedule of projects to be examined in ADMINISTERING AGENCY's annual audit and in the schedule of projects to be examined under its single audit prepared in accordance with 2 CFR, Part 200.

O. ADMINISTERING AGENCY shall not award a non-A&E contract over $5,000, construction contracts over $10,000, or other contracts over $25,000 [excluding professional service contracts of the type which are required to be procured in accordance with Government Code sections 4525 (d), (e) and (f)] on the basis of a noncompetitive negotiation for work to be performed under this AGREEMENT without the prior written approval of STATE. Contracts awarded by ADMINISTERING AGENCY, if intended as local match credit, must meet the requirements set forth in this AGREEMENT regarding local match funds.

P. Any subcontract entered into by ADMINISTERING AGENCY as a result of this AGREEMENT shall contain provisions B, C, F, H, I, K, and L under Section 2 of this agreement.

3. Appendix E of the Title VI Assurances (US DOT Order 1050.2A) During the performance of this agreement, the ADMINISTERING AGENCY, ADMINISTERING AGENCY'S contractors and subcontractor, (hereinafter referred to as the "contractor") agrees to comply with the following nondiscrimination statutes and authorities; including but not limited to:

Pertinent Nondiscrimination Authorities:

A. Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq., 78 stat. 252), (prohibits discrimination on the basis of race, color, national origin); and 49 CFR Part 21.

B. The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. 4601), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects); C. Federal-Aid Highway Act of 1973, (23 U.S.C. 324 et seq.), (prohibits discrimination on the basis of sex);
D. Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. 794 et seq.), as Program Supplement 04-5357F15-F007- ISTEA Page 6 of 7
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amended, (prohibits discrimination on the basis of disability); and 49 CFR Part 27; E. The Age Discrimination Act of 1975, as amended, (42 U.S.C. 6101 et seq.), (prohibits discrimination on the basis of age);
F. Airport and Airway Improvement Act of 1982, (49 U.S.C. 4 71, Section 4 7123), as amended, (prohibits discrimination based on race, creed, color, national origin, or sex); G. The Civil Rights Restoration Act of 1987, (PL 100-209), (Broadened the scope, coverage and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms "programs or
activities" to include all of the programs or activities of the Federal-aid recipients, subrecipients and contractors, whether such programs or activities are Federally funded or not);
H. Titles II and III of the Americans with Disabilities Act, which prohibit discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing entities (42 U.S.C. 12131-12189) as implemented by Department of Transportation regulations at 49 C.F.R. parts 37 and 38; I. The Federal Aviation Administration's Nondiscrimination statute (49 U.S.C. 47123) (prohibits discrimination on the basis of race, color, national origin, and sex); J. Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations, which ensures nondiscrimination against minority populations by discouraging programs, policies, and activities with disproportionately high and adverse human health or environmental effects on minority and low-income populations; K. Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency, and resulting agency guidance, national origin discrimination includes discrimination because of limited English proficiency (LEP). To ensure compliance with Title VI, you must take reasonable steps to ensure that LEP persons have meaningful access to your programs (70 Fed. Reg. at 74087 to 74100);
L. Title IX of the Education Amendments of 1972, as amended, which prohibits you from discriminating because of sex in education programs or activities (20 U.S.C. 1681 et seq).

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Maz Bozorginia, Public Works Director/City Engineer TITLE: SMCTA FUNDING AGREEMENT EASTSIDE TRAIL – NORTH SEGMENT 4 (CIP NO. 619)
______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing the City Manager to execute the construction funding agreement with the San Mateo County Transportation Authority (SMCTA) to accept Measure A funds in the amount of $980,000 for the construction of Pacific Coast Bicycle Connectivity North Project (Eastside Trail Segment 4).

FISCAL IMPACT:

There are sufficient funds in the adopted FY 2022-23 capital budget to fund the City’s contribution of $35,000 for the construction of the Project. There is an additional $350,000 in approved funding from MTC for a total funding match of $385,000.

STRATEGIC ELEMENT:

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

BACKGROUND:

The City’s Five-Year Capital Improvements Program includes projects to extend the parallel trails to the north and the south City limits adjacent to Hwy 1. The City previously completed the construction of the multi-modal trail from Roosevelt Blvd to the north and to Wavecrest Road to the south; a total distance of 3 miles.

The County of San Mateo recently completed construction of a Multimodal Trail Project extending from Granada Elementary School to the City limit. The County Project, a twodirectional bicycle and pedestrian commuter trail, enhances safety, meets local mobility needs and connects regional trails, communities, town centers, schools, and recreation destinations on the San Mateo County coast.
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On March 1, 2018, the SMCTA’s Board of Directors programmed and allocated $315,000 from the New Measure A Pedestrian and Bicycle Program for the Planning, Preliminary Engineering and Environmental, Plans, Specifications and Estimates (PS&E), Right-of-Way, and Construction of the Project through approval of Resolution 2018-7 for the “Pacific Coast Bicycle Connectivity North” project.

On July 17, 2018, the City adopted a resolution authorizing the Interim City Manager to execute a funding agreement with San Mateo County Transportation Authority (SMCTA) accepting up to $315,000 in Measure A funds for the design, environmental clearance, and construction of Pacific Coast Bikeway Connectivity North Project - extension of the Naomi Patridge Trail from Roosevelt Blvd to Mirada Road, connecting to the County’s new segment.

On March 25, 2020, in response to the City’s funding application, the Metropolitan Transportation Commission (MTC) approved an allocation of Transportation Development Act (TDA) funds to the City in an amount of $350,000 for the Project.

On June 13, 2023, the Planning Commission approved a CDP for this project. The City is proceeding with addressing mitigation and permitting from regulatory agencies.

DISCUSSION:

On August 4, 2022, SMCTA issued the 2022 Cycle 6 Pedestrian and Bicycle Program Call for Projects; and in response to the call for projects, the City requested that SMCTA provide a total of $980,000 in funds for the Pacific Coast Bicycle Connectivity North Project towards the total project cost of $1,365,000 for design, environmental clearance, permitting and construction of the project.

On December 1, 2022, the TA’s Board of Directors programmed and allocated up to $980,000 of New Measure A funds from the Pedestrian and Bicycle Program Category for the Construction phase of the Project through Resolution 2022-39.

Per the proposed agreement, the City will contribute $385,000 in local, state, federal, or other grant matching funds for a total Project scope of work cost of $1,365,000. The City’s contribution includes $35,000 from the City’s General Fund (currently programmed in the CIP) and $350,000 from the previously approved MTC/TDA funding. This funding already is programmed in the FY 2022-23 Capital Budget.

The project is currently in the final environmental approval phase and regulatory agency permitting. Caltrans coordination for the design of the 40 ft bridge is in progress and expected approval by later this year. Construction of the project is expected to begin in Fall 2023. The proposed SMCTA funding agreement has been reviewed and accepted as to form by the City Attorney.

ATTACHMENT:

1. Resolution
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2. SMCTA Measure A Bicycle and Pedestrian Program Funding Agreement (Final Draft) 75 RESOLUTION NO. C-2023-_

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

CITY MANAGER TO EXECUTE AN AGREEMENT WITH SAN MATEO COUNTY TRANSPORTATION AUTHORITY TO ACCEPT MEASURE A FUNDS IN THE AMOUNT OF $980,000 FOR

CONSTRUCTION OF PACIFIC COAST BICYCLE CONNECTIVITY NORTH PROJECT (CIP PROJECT NO. 619)
WHEREAS, on November 2, 2004, the voters of San Mateo County approved the continuation of the collection and distribution by the TA of the Measure A half-cent transaction and use tax for 25 years to implement the 2004 Transportation Expenditure Plan, beginning January 1, 2009 (New Measure A); and
WHEREAS, on August 4, 2022, the TA issued the 2022 Cycle 6 Pedestrian and Bicycle Program Call for Projects; and
WHEREAS, in response to the call for projects, the City requested that the TA provide a total of $980,000 in funds for the Pacific Coast Bicycle Connectivity North Project; and WHEREAS, the Project meets the intent of the 2004 Transportation Expenditure Plan and the TA’s Strategic Plan 2020-2024; and
WHEREAS, on December 1, 2022, the TA’s Board of Directors programmed and allocated up to $980,000 of New Measure A funds from the Pedestrian and Bicycle Program Category for the Construction phase of the Project through Resolution 2022-39; and WHEREAS, the City will contribute a total of $385,000 in local, state, federal, or other grant matching funds for a total Project scope of work cost of $1,365,000; and WHEREAS, the TA and Sponsor desire to enter into this Agreement to establish the process, terms and conditions governing the allocation and expenditure of New Measure A Funds on the Project.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the agreement with SMCTA to accept Measure A funding in the amount of $980,000 for the construction of the Pacific Coast Bicycle Connectivity North Project (CIP No. 619)
******************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:
76 ABSENT, Councilmembers:

ABSTAIN, Councilmembers:

ATTEST: APPROVED:
______________________________ _______________________________ Jessica Blair, City Clerk Deborah Penrose, Mayor
77 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2

FUNDING AGREEMENT

SAN MATEO COUNTY TRANSPORTATION AUTHORITY MEASURE A

PEDESTRIAN AND BICYCLE PROGRAM FUNDS

PACIFIC COAST BICYCLE CONNECTIVITY NORTH PROJECT
This Funding Agreement (Agreement) is made _____________________ (Execution Date) by and between the San Mateo County Transportation Authority (TA) and the City of Half Moon Bay (Sponsor), each of which is referred to herein individually as "Party" and jointly as "Parties."

RECITALS
WHEREAS, on November 2, 2004, the voters of San Mateo County approved the continuation of the collection and distribution by the TA of the Measure A half-cent transaction and use tax for 25 years to implement the 2004 Transportation Expenditure Plan, beginning January 1, 2009 (New Measure A); and
WHEREAS, the New Measure A Transportation Expenditure Plan designates three percent of New Measure A funds for Pedestrian and Bicycle projects throughout the County; and WHEREAS, the TA Strategic Plan 2020-2024 reconciled the requirements of both Measures and created a consolidated program to guide funding decisions; and WHEREAS, on August 4, 2022, the TA issued the 2022 Cycle 6 Pedestrian and Bicycle Program Call for Projects; and
WHEREAS, in response to the call for projects, Sponsor requested that the TA provide $980,000 in funds for the Pacific Coast Bicycle Connectivity North Project (Project), as described in Exhibits A and B; and
WHEREAS, the Project meets the intent of the 2004 Transportation Expenditure Plan and the TA’s Strategic Plan 2020-2024; and
WHEREAS, on December 1, 2022, the TA’s Board of Directors programmed and allocated up to $980,000 of New Measure A funds from the Pedestrian and Bicycle Program Category for the Construction phase of the Project (Scope of Work) through Resolution 2022-39; and WHEREAS, the Sponsor will contribute $385,000 in local, state, federal, or other grant matching funds for a total Project scope of work cost of $1,365,000; and WHEREAS, the TA and Sponsor desire to enter into this Agreement to establish the process, terms and conditions governing the allocation and expenditure of New Measure A Funds on the Project.

Now therefore, the Parties agree as follows:
78 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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19478701.2
SECTION 1: Scope of Work Oversight and Reporting

1.1 Sponsor Oversight; Work Plan. Sponsor is responsible for the completion of the Scope of Work as described in Exhibit A, "Scope of Work Information," and further detailed in Exhibit B, "Excerpts from the Project’s Cycle 6 Measures A and W Pedestrian and Bicycle Program Funding Application." Exhibits A and B are attached to this Agreement and incorporated herein by this reference. In the event that Exhibit A and Exhibit B conflict, Exhibit A will control. Sponsor is responsible for procuring and administering any professional service and/or other contracts entered into in connection with the Scope of Work. Sponsor will oversee completion of the Scope of Work.

Sponsor may appoint a designee or engage contractor(s) to perform work necessary for Scope of Work completion, but Sponsor remains responsible to the TA for the completion of the Scope of Work.

1.2 Required Approvals. Prior to commencement of the Scope of Work, Sponsor or its designee (e.g., a consultant) will obtain all applicable local, state and federal approvals and permits for the Scope of Work. In addition, Sponsor must comply with all applicable federal, state and local laws and regulations applicable to the Project. Any right-of-way activities involving property on the Caltrans right-of-way must be conducted in accordance with the current version of the Caltrans Right-of-Way manual, and must be based upon appraisals developed in compliance with USPAP.

1.3 Contract Award and Change Orders. Sponsor must comply with state and local agency requirements for the award of any contract(s) for the performance of the Scope of Work and any change orders. As the Scope of Work proceeds, Sponsor must advise the TA of any contracts awarded and change orders as part of the regular progress reporting requirements (Section 1.4). Notice of any contracts and change orders provided to the TA will not constitute approval by the TA of the contracts and change orders nor obligate the TA to provide funds in excess of its maximum contribution stated in Section 2.1 of this Agreement.

1.4 Progress Reports. Sponsor will prepare and submit to the TA quarterly progress reports during the entire term of the Scope of Work and covering all Scope of Work activities for work completed during the previous month using the template in Exhibit C.

The reports must describe:
a) The current status of, and any changes in, scope, schedule, budget, and funding plans of the Scope of Work and the Project;
b) Any risk factors;
c) The work performed during the previous quarter and projected for the next three months;
d) Scope of Work Costs (as defined in Section 2.1, below) projected to be expended during the next three months; and
79 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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19478701.2
e) Any other information requested by the TA.

1.5 Final Report. Within ninety (90) days of Sponsor’s final acceptance of the Scope of Work and all incidental work, Sponsor must prepare and submit to the TA a final report detailing the following and all other relevant information:
a) A description of the Project, including a statement detailing the overall progress and success of the Scope of Work and the Project, a compilation of any data collected during the active phase(s) of the Project, and changes/additions to the scope of the Project.
b) Total costs for the Scope of Work, including an accounting of all New Measure A Funds expended in connection with the Scope of Work, and reflecting any unexpended New Measure A Funds.
c) An explanation and the status of any outstanding obligations or potential obligations related to the Scope of Work.
d) A discussion of any pertinent issues or problems that arose during the implementation of the Scope of Work.
e) Any copies of press articles, press releases, newsletter articles and any other publicity materials regarding the Project.
f) A Project Close-out form that no further reimbursements associated with the Scope of Work are anticipated and that all draw-down requests have been made. g) Photographs for all construction projects that satisfactorily demonstrate: 1) site conditions before the project was implemented; 2) work in progress; and 3) completed improvements and/or photographs of any events related to programmatic requests.

1.6 Access to Records and Record Retention. At all reasonable times, Sponsor will permit the TA access to all reports, designs, drawings, plans, specifications, schedules and other materials prepared, or in the process of being prepared, for the Scope of Work by Sponsor or any contractor or consultant of Sponsor. Sponsor will also make available to the TA upon request any professional service agreements, change orders and any other agreements that are related to the Scope of Work. Sponsor will provide copies of any documents described in this Section to the TA upon request. Sponsor will retain all records pertaining to the Scope of Work for at least three years after completion of the Project.
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1.7 Audits.
a) The TA, or its authorized agents, may, at any reasonable time during business hours, conduct an audit of Sponsor’s performance under this Agreement. Sponsor will permit the TA, or its authorized agents, to examine, inspect, make excerpts from, transcribe or photocopy books, documents, papers and other records of Sponsor which the TA reasonably determines to be relevant to this Agreement. b) Sponsor will transmit to the TA the Independent Auditor’s Report prepared for Sponsor’s Comprehensive Annual Financial Report within thirty (30) days of receipt by Sponsor and highlight the section that pertains to the New Measure A Funds.

SECTION 2: Funding and Payment - Sponsor provides match for this Scope of Work; pro rata applies to each expenditure.

2.1 Funding Commitment. The TA allocates to Sponsor up to $980,000 for reimbursement of expenditures related to the Scope of Work (Scope of Work Costs) as provided in this Section 2. Sponsor will contribute, or provide for the contribution of, the entire amount in excess of $980,000 needed to complete the Scope of Work and must provide at least 28.21% of the Scope of Work Costs. The TA’s funding commitment under this Agreement in no way establishes a right for Sponsor to receive additional funding from the TA. All funding obligations of the TA under this Agreement are subject to downward adjustment based on actual sales tax receipts for the fiscal years indicated.

Sponsor will assess and confirm its ability to complete the Scope of Work within budget as part of the quarterly reporting requirements established in Section 1.4, above. Sponsor must further notify the TA between reporting cycles if Sponsor determines that the budget will not be sufficient to complete the Scope of Work. The TA reserves the right to suspend its funding obligation as set forth in Section 3.4 of this Agreement upon such notice, and until Sponsor develops a credible funding plan acceptable to the TA to fund and complete the Scope of Work.

2.2 Use of Funds.
a) New Measure A Funds shall be used only for direct eligible costs to complete the Scope of Work. The Sponsor is responsible for demonstrating to the TA that the expenses incurred were necessary to deliver the Scope of Work. b) The following costs are not eligible for reimbursement:
i. Sponsor’s costs which are unrelated to the Scope of Work; ii. Costs for entering into this Agreement;
iii. Maintenance, rehabilitation, routine operations of the Project or other facilities or programs; and
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iv. Development of proposals, applications or agreements for New Measure A, Measure W, or other funding programs.
c) Sponsor agrees that it shall use funds provided pursuant to this Agreement to supplement existing revenue. Sponsor will not use New Measure A Funds to replace other local taxes or revenues already programmed and available for use for the same purpose. Sponsor will use funds provided pursuant to this Agreement only for the Scope of Work.

If the TA determines that Sponsor has used New Measure A Funds other than for the approved Scope of Work, the TA will notify Sponsor of its determination. Within thirty (30) days of notification Sponsor will either (a) repay such funds to the TA, or (b) explain in writing how the funds in question were spent for the approved Scope of Work. The TA will respond to Sponsor's written explanation within thirty (30) days of receipt. Unless otherwise stated in the response, the TA's response will be final, and Sponsor will repay any funds used other than for the approved Scope of Work within thirty (30) days.

2.3 Reimbursement Basis. Sponsor may seek pro rata reimbursement for Scope of Work Costs incurred on or after the Execution Date. Scope of Work Costs must be incurred and paid by Sponsor prior to requesting pro rata reimbursement from the TA. Sufficient documentation must accompany all requests for pro rata reimbursement, including the submittal of all due monthly progress reports.

2.4 Accounting and Request for Reimbursement Procedures. Sponsor, in coordination with and to the satisfaction of the TA, will establish procedures for Scope of Work accounting and requests for reimbursement. These procedures will track and reflect the accumulation of the TA’s pro rata share of Scope of Work Costs. Sponsor will detail the TA’s pro rata share of Scope of Work costs for all work funded under this Agreement with each “Reimbursement Claim Form,” which is attached to this Agreement as Exhibit D and incorporated herein. Sponsor will maintain all necessary books and records in accordance with generally accepted accounting principles.

2.5 Invoices; Payments.
a) Sponsor must prepare and submit billing statements consistent with the Reimbursement Claim Form with all required supporting documentation.

Supporting documentation may include, but is not limited to, copies of vendor invoices, timesheets, backup documentation, checks, and payment advice, and must include an accounting of the TA’s share of costs for the Scope of Work as contemplated by this Agreement.
b) For any property acquisitions for which Sponsor seeks reimbursement from the TA, Sponsor must provide the following supporting documentation for each property:
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i. Copies of the final real estate appraisal and any appraisal review conducted on behalf of Sponsor;
ii. For any right-of-way activities involving property on the Caltrans right-ofway, written confirmation that the acquisition process was conducted in accordance with the then-current version of the Caltrans Right-of-Way manual;
iii. A Phase One Environmental Assessment and any recommended additional testing (unless waived by the TA);
iv. Copy of the offer package provided to the property owner(s); v. Copy of the Notice of Exemption or other required document for environmental clearance under CEQA/NEPA for the purchase of the property, and evidence of the date of filing such Notice; and vi. Written justification acceptable to the TA of any settlement at an amount higher than the offer.
c) For each voluntary real property transaction, Sponsor must also provide:
i. Copy of the fully executed purchase and sale agreement; ii. Copy of an executed and recorded deed[, in a form consistent with the requirements set forth in the then-current Caltrans Right-of-Way manual]; iii. Copy of the Policy of Title insurance; and
iv. Copy of the final closing statement from the escrow. d) For each real property acquisition undertaken through condemnation, Sponsor must also provide:
i. Copy of the recorded Final Order of Condemnation; and ii. Copy of the litigation guarantee issued by a title insurer. e) Sponsor must detail the tasks performed, associated costs, and pro rata share of Scope of Work Costs to be borne by the TA with each reimbursement request. f) The TA will endeavor to disburse reimbursements for approved Scope of Work Costs within thirty (30) days after the TA's approval of each claim, subject to the limits on the TA's maximum contribution as established in Section 2.1. The TA's obligation to reimburse Scope of Work Costs to Sponsor as provided in this section is conditioned upon the TA’s prompt receipt of monthly progress reports from Sponsor pursuant to Section 1.4 above.
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g) Invoices may be submitted, no more frequently than once a quarter, by mail to:

Accounts Payable
San Mateo County Transportation Authority
1250 San Carlos Avenue
San Carlos, CA 94070
Or by e-mail to: [email protected] and the designated TA Project Manager at [email protected] .

SECTION 3: Term

3.1 Term. The term of this Agreement will commence on Execution Date and conclude upon the earliest of: (a) the TA’s final reimbursement to Sponsor for work performed hereunder, (b) termination by Sponsor or the TA pursuant to this Section 3, or (c) three (3) years and six (6) months after the Execution Date of this Agreement.

3.2 Sponsor's Right to Terminate; Repayment upon Termination. Sponsor may at any time terminate the Scope of Work by giving ten (10) days’ written notice to the TA of its election to do so. Upon such termination, Sponsor will not be reimbursed for any further Scope of Work Costs and will reimburse the TA for all monies paid by the TA and costs incurred by the TA in connection with the Scope of Work as well as all reasonable costs and expenses incurred to effect such termination within ninety (90) days of the TA’s submission to Sponsor of a detailed statement of such payments and costs.

3.3 Termination by the TA. The TA may terminate this Agreement, with or without cause, by giving ten (10) days’ written notice of such termination. If the TA terminates the Agreement for Sponsor’s default, Sponsor will reimburse the TA for all funds paid to Sponsor in connection with the Scope of Work, and for all costs incurred by the TA in connection with the Scope of Work as well as all reasonable costs and expenses incurred to effect such termination, within ninety (90) days of the TA’s submission to Sponsor of a detailed statement of such payments and costs. If the TA terminates the Agreement for convenience, the TA is obligated to pay to Sponsor all costs and expenses incurred by Sponsor up to the date of notice of termination, as well as all reasonable costs and expenses incurred to effect such termination.

3.4 Expiration/Suspension of TA's Financial Obligations. Any and all financial obligations of the TA pursuant to this Agreement expire upon the expenditure of TA’s maximum contribution to the Scope of Work as established in Section 2.1 above or the conclusion of the Term as defined in Section 3.1, whichever occurs first. The TA reserves the right to suspend its financial obligation, with ten (10) days’ advance notice, if Sponsor identifies a risk of not being able to complete the Scope of Work within budget.

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within budget, failure to report such risk to the TA constitutes default and is cause for termination under Section 3.3.

3.5 Time of Performance. The Scope of Work must be completed no later than three (3) years after the Execution Date.

3.6 Time Extension. If the Scope of Work cannot be completed within the Time of Performance as defined in Section 3.5, Sponsor must submit a request in writing to the TA no later than six (6) months before the Time of Performance for an extension for the Time of Performance. The TA will review the request, and grant the extension if it is justified in TA’s sole and complete discretion. Costs incurred for the Scope of Work after the Time of Performance are at risk of denial for reimbursement by the TA. The unreimbursed portion of the New Measure A allocation will be retained by the TA for the Pedestrian and Bicycle Program.

SECTION 4: Indemnification and Insurance

4.1 Indemnity by Sponsor.

Sponsor shall indemnify, keep and save harmless the TA and its directors, officers, agents and employees against any and all suits, claims or actions related to the performance of the Scope of Work or the Project including, but not limited to, those arising out of any of the following:
a) Any injury to persons or property that may occur, or that may be alleged to have occurred, arising from the performance of the Project or implementation of this Agreement; or
b) Any allegation that materials or services developed, provided or used for the Project infringe or violate any copyright, trademark, patent, trade secret, or any other intellectual-property or proprietary right of any third party.

Sponsor further agrees to defend any and all such actions, suits or claims and pay all charges of attorneys and all other costs and expenses of defenses as they are incurred. If any judgment is rendered, or settlement reached, against the TA or any of the individuals enumerated above in any such action, Sponsor shall, at its expense, satisfy and discharge the same. This indemnification shall survive termination or expiration of the Agreement.

4.2 Insurance. For the purposes of this Insurance section, "Entity" is defined as any entity designing, approving designs and/or performing the Scope of Work funded by this Agreement. Entities may include Sponsor, a contractor of Sponsor, another body on behalf of which Sponsor submitted its funding application, and/or a contractor of such other body.

All Entities will provide the appropriate insurance covering the work being performed.

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suppliers, temporary workers, independent contractors, leased employees, or any other persons, firms or corporations (hereinafter collectively referred to as “Agents”) working on the Project. If Sponsor itself is an Entity, Sponsor must also provide its own insurance meeting the requirements of this Section.
a) Minimum Types and Scope of Insurance. Each Entity is required to procure and maintain at its sole cost and expense insurance subject to the requirements set forth below. Such insurance will remain in full force and effect throughout performance of the Scope of Work. All policies will be issued by insurers acceptable to the TA (generally with a Best’s Rating of A-10 or better). Each Entity is also required to assess the risks associated with work to be performed by Agents and to require that Agents maintain adequate insurance coverages with appropriate limits and endorsements to cover such risks. To the extent that its Agent does not procure and maintain such insurance coverage, an Entity is responsible for and assumes any and all costs and expenses that may be incurred in securing said coverage or in fulfilling Entity’s indemnity obligations as to itself or any of its Agents in the absence of coverage. Entities may self-insure against the risks associated with the Scope of Work, but in such case, waive subrogation in favor of the TA respecting any and all claims that may arise. i. Workers’ Compensation and Employer’s Liability Insurance. Worker's Compensation coverage must meet statutory limits and Employer’s Liability Insurance must have minimum limits of $1 (one) million.

Insurance must include a Waiver of Subrogation in favor of the TA. ii. Commercial General Liability Insurance. The limit for Commercial General Liability Insurance in each contract and subcontract cannot be less than $1 (one) million. Commercial General Liability Insurance must be primary to any other insurance, name the TA as an Additional Insured, include a Separation of Interests endorsement and include a Waiver of Subrogation in favor of the TA.
iii. Business Automobile Liability Insurance. The limit for Business Automobile Liability Insurance in each contract and subcontract cannot be less than $1 (one) million. Insurance must cover all owned, non-owned and hired autos, and include a Waiver of Subrogation in favor of the TA. iv. Property Insurance. Property Insurance must cover an Entity’s and/or Agent’s own equipment as well as any materials to be installed. Property Insurance must include a Waiver of Subrogation in favor of the TA. v. Professional Liability Insurance. If deemed appropriate by Sponsor or an Entity in consideration of the work required for the Project, insurance should cover each Entity's and any Agent’s professional work on the Project. The limit for Professional Liability Insurance in each appropriate contract and subcontract should not be less than $1 million. 86 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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vi. Contractors’ Pollution Liability Insurance and/or Environmental Liability Insurance. If deemed appropriate by Sponsor or an Entity in consideration of the work required for the Project, insurance should cover potential pollution or environmental contamination or accidents. The limit for Pollution and/or Environmental Liability Insurance in each appropriate contract and subcontract should not be less than $1 million. Such insurance must name the TA as an Additional Insured and include a Waiver of Subrogation in favor of the TA.
vii. Railroad Protective Liability Insurance. Insurance is required if the Project will include any construction or demolition work within 50 feet of railroad tracks. The limit for Railroad Protective Liability Insurance in each appropriate contract and subcontract cannot be less than $2 million per occurrence and $6 million annual aggregate.
b) Excess or Umbrella Coverage. Sponsor and/or any other Entity may opt to procure excess or umbrella coverage to meet the above requirements, but in such case, these policies must also satisfy all specified endorsements and stipulations for the underlying coverages and include provisions that the policy holder's insurance is to be primary without any right of contribution from the TA. c) Deductibles and Retentions. Sponsor must ensure that deductibles or retentions on any of the above insurance policies are paid without right of contribution from the TA. Deductible and retention provisions cannot contain any restrictions as to how or by whom the deductible or retention is paid. Any deductible or retention provision limiting payment to the named insured is unacceptable.

In the event that any policy contains a deductible or self-insured retention, and in the event that the TA seeks coverage under such policy as an additional insured, Sponsor will ensure that the policy holder satisfies such deductible to the extent of loss covered by such policy for a lawsuit arising from or connected with any alleged act or omission of the Entity or Agents, even if neither the Entity nor Agents are named defendants in the lawsuit.
d) Claims Made Coverage. If any insurance specified above is provided on a claimmade basis, then in addition to coverage requirements above, such policy must provide that:
i. Policy retroactive date coincides with or precedes the Entity's start of work (including subsequent policies purchased as renewals or replacements).
ii. Entity will make every effort to maintain similar insurance for at least three (3) years following Project completion, including the requirement of adding all additional insureds.
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iii. If insurance is terminated for any reason, each Entity agrees to purchase an extended reporting provision of at least three (3) years to report claims arising from work performed in connection with this Agreement. iv. Policy allows for reporting of circumstances or incidents that might give rise to future claims.
e) Failure to Procure Adequate Insurance. Failure by any Entity to procure sufficient insurance to financially support Section 4.1, Indemnity by Sponsor, of this Agreement does not excuse Sponsor from meeting all obligations of Section

4.1 and the remainder of this Agreement, generally.

Prior to beginning work under this Agreement, Sponsor must obtain, and produce upon request of the TA, satisfactory evidence of compliance with the insurance requirements of this section.

SECTION 5: Miscellaneous

5.1 Notices. All notices required or permitted to be given under this Agreement, excluding progress reports, the final report, and invoices, must be in writing and mailed postage prepaid by certified or registered mail, return receipt requested, or by personal delivery or overnight courier, to the appropriate address indicated below or at such other place(s) that either Party may designate in written notice to the other. Notices are deemed received upon delivery if personally served, one (1) day after mailing if delivered via overnight courier, or two (2) days after mailing if mailed as provided above.

To TA: San Mateo County Transportation Authority
1250 San Carlos Avenue
P.O. Box 3006
San Carlos, CA 94070-1306
Attn: Dora Seamans
District/TA Secretary
To City of Half Moon Bay: Half Moon Bay
501 Main Street
Half Moon Bay, CA 94019
Attn: City Manager

5.2 No Waiver. No waiver of any default or breach of any covenant of this Agreement by either Party will be implied from any omission by either Party to take action on account of such default if such default persists or is repeated. Express waivers are limited in scope and duration to their express provisions. Consent to one action does not imply consent to any future action.
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5.3 Assignment. Parties are prohibited from assigning, transferring or otherwise substituting their interests or obligations under this Agreement without the written consent of all other Parties.

5.4 Governing Law. This Agreement is governed by the laws of the State of California as applied to contracts that are made and performed entirely in California.

5.5 Compliance with Laws. In performance of this Agreement, the Parties must comply with all applicable Federal, State and local laws, regulations and ordinances.

5.6 Modifications. This Agreement may only be modified in a writing executed by both Parties.

5.7 Attorneys' Fees. In the event legal proceedings are instituted to enforce any provision of this Agreement, the prevailing Party in said proceedings is entitled to its costs, including reasonable attorneys' fees.

5.8 Relationship of the Parties. It is understood that this is an Agreement by and between Independent Contractors and does not create the relationship of agent, servant, employee, partnership, joint venture or association, or any other relationship other than that of Independent Contractor.

5.9 Ownership of Work. All reports, designs, drawings, plans, specifications, schedules, studies, memoranda, and other documents assembled for or prepared by or for, in the process of being assembled or prepared by or for, or furnished to Sponsor under this Agreement, are the joint property of the TA and Sponsor, and will not be destroyed without the prior written consent of the TA. The TA is entitled to copies and access to these materials during the progress of the Project and upon completion or termination of the Project or this Agreement. Sponsor may retain a copy of all material produced under this Agreement for its use in its general activities. This Section does not preclude additional shared ownership of work with other entities under contract with Sponsor for funding of the Project.

5.10 Non-discrimination. Sponsor and any contractors performing services on behalf of Sponsor will not discriminate or permit discrimination against any person or group of persons on the basis of race, color, religion, national origin or ancestry, age, sex, sexual orientation, marital status, pregnancy, childbirth or related conditions, medical condition, mental or physical disability or veteran’s status, or in any manner prohibited by federal, state or local laws.

5.11 Accessibility of Services to Persons with Disabilities. The Project implementation must comply with, and not subject the TA or Sponsor to liability under, the Americans with Disabilities Act, the California Disabled Persons Act, or any other state or federal laws protecting the rights of persons with disabilities. 89 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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5.12 Warranty of Authority to Execute Agreement. Each Party to this Agreement represents and warrants that each person whose signature appears hereon is authorized and has the full authority to execute this Agreement on behalf of the entity that is a Party to this Agreement.

5.13 Severability. If any portion of this Agreement, or the application thereof, is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining portions of this Agreement, or the application thereof, will remain in full force and effect.

5.14 Counterparts. This Agreement may be executed in counterparts.

5.15 Electronic Signatures. This Agreement may be executed through the use of digital or electronic signatures in accordance with Government Code Section 16.5. The presence of an electronic signature on this Agreement will be construed as the Parties’ consent to do business electronically.

5.16 Attribution to the TA. Sponsor must include attribution that indicates work was funded with Measure A Funds from the TA. This provision applies to any project, or publication, that was funded in part or in whole by New Measure A Funds. Acceptable forms of attribution include TA branding on Project-related documents, construction signs, public information materials, and any other applicable documents.

5.17 Entire Agreement. This Agreement constitutes the entire agreement between the Parties pertaining to its subject matter and supersedes any prior or contemporaneous written or oral agreement between the Parties on the same subject. 90 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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IN WITNESS WHEREOF, the Parties have hereunder subscribed their names on the Execution Date.

CITY OF HALF MOON BAY
By:

Name: Matthew Chidester
Its: City Manager
Approved as to Form:

Legal Counsel for City of Half Moon Bay

SAN MATEO COUNTY TRANSPORTATION

AUTHORITY
By:

Name: April Chan
Its: Executive Director
Approved as to Form:

Legal Counsel for the TA
Exhibit A: Scope of Work Information
Exhibit B: Excerpts from the Project’s Cycle 6 Measure A/W Pedestrian and Bicycle Program Funding Application (i.e. location maps, design plans, detailed scope of work, etc.)
Exhibit C: Progress Reporting Template
Exhibit D: Reimbursement Claim Form
Exhibit E: Final Report
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EXHIBIT A: SCOPE OF WORK INFORMATION
Pacific Coast Bikeway North Project
Sponsoring Agency: City of Half Moon Bay
Lead/Implementing Agency: City of Half Moon Bay
Contact: Ray Razavi, Transportation Engineer
(650) 483-1618
[email protected]
501 Main Street
Half Moon Bay, CA 94019
Project Description and Scope of Work:

The Scope or Work includes the design and construction of a Class I multi-use path that will be 10 feet wide on the east side of Highway 1 (between Roosevelt Blvd and Mirada Rd) in the City of Half Moon Bay. This Project is the northern extension of the existing multi-use Class I path in Half Moon Bay. The proposed path is approximately 0.3 miles and will connect to the multi-use path San Mateo County is constructing to the County line. This is the last link of bicycle pedestrian Class I trail connecting El Granada with downtown and schools in Half Moon Bay.

Project Schedule:

Begin End _
Program or Planning 6/18 1/19
PE/Environmental 8/19 6/23
PS&E 8/19 6/23
Right-of-Way 2/21 6/23
Construction 10/23 10/24
Project Budget/ Source of Funding:

Include funding plan for project defined above, including use of TA staff support if applicable List Fund Source Amount
Construction $980,000 City of HMB $385,000 $1,365,000
Total: $980,000 $385,000 $1,365,000
Measure A/W Other Sources*
Funding Amount Phase Total**
* The other fund sources are provided for informational purposes. **Total costs listed by each task/activity are best estimates and may be subject to change within the overall total amount for the awarded phase of the Project Scope of Work during the course of the Project. 92 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
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Measure A/W Project Cash Flow Projection
The cash flow projection is provided for informational purposes only. 1st Quarter
(Jul 1-Sept 30)
2nd Quarter
(Oct 1-Dec 31)
3rd Quarter
(Jan 1-Mar 31)
4th Quarter
(Apr 1-Jun 30)
1st Quarter
(Jul 1-Sept 30)
2nd Quarter
(Oct 1-Dec 31)
3rd Quarter
(Jan 1-Mar 31)
4th Quarter
(Apr 1-Jun 30)
$0 $250,000 $250,000 $500,000
$0 $0
$0 $0
$0 $0 $0 $0 $0 $0 $0 $250,000 $250,000 $500,000
$0 $0 $0 $0 $0 $0 $250,000 $500,000
1st Quarter
(Jul 1-Sept 30)
2nd Quarter
(Oct 1-Dec 31)
3rd Quarter
(Jan 1-Mar 31)
4th Quarter
(Apr 1-Jun 30)
$250,000 $230,000 $480,000 $0 $980,000
$0 $0 $0
$0 $0 $0
$250,000 $230,000 $0 $0 $480,000 $0 $0 $0 $0 $980,000
Cumulative to Date $750,000 $980,000 $980,000 $980,000 $980,000 $980,000 $980,000 Total
FY24 FY25
Subtotal
for
FY23-FY25
Project
Total
Construction
Subtotal
FY25 FY23
Total
Cumulative to Date
Phase/Activity
(e.g. Planning, PSE,
Construction)
FY25
Subtotal
FY24
Construction
Phase/Activity
(e.g. Planning, PSE,
Construction)
FY23
Subtotal
FY23
FY24
Operating Responsibility: City of Half Moon Bay
Maintenance Responsibility: City of Half Moon Bay
Project Implementation Responsibility: City of Half Moon Bay Project Oversight Responsibility: Caltrans
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Exhibit B: Excerpts from the Project’s Cycle 6 Measures A and W Pedestrian and Bicycle Program Funding Application (i.e. location maps, design plans, detailed scope of work, etc.)
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EXHIBIT C: PROGRESS REPORTING TEMPLATE

SMCTA QUARTERLY REPORT
For Quarter of: [Month – Month Year]
SMCTA Project # 00XXX – [Project Title]
Contact: [Name, Title, Phone, email, address]
1) Scope:
[Describe project here, specify project limits, phases of project and Measure W funded component] Project Status Summary: [Provide Status]
Issues: [List any issues, i.e. potential scope changes] ________________________________________________________________________________________________________ 2) Schedule: Original Baseline Current Baseline Current Forecast Major Milestones: Start Finish Start Finish Start Finish [Activity] MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY [Activity] MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY [Activity] MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY [Activity] MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY MM/DD/YY Progress This Quarter:
[Describe progress and activities]
Measure A Funds Expended This Quarter: $
Future Activities, Next Quarter:
[Describe planned future activities]
Projected Measure A Funds Expenditure Next Quarter: $
Issues: [List any issues, such as impacts to schedule]
________________________________________________________________________________________________ 3) Scope of Work Total Budget:
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A B C D E F
Original Budget (per
Funding Agreement)
Current Cost
Estimate/Budget
Total Change from
Approved (B-A)
Total Expended
to date
% of Current Budget
expended (D/B)
% of Work
Completed
0 #DIV/0!
0 #DIV/0!
0 #DIV/0!
Total Scope of Work $0 $0 $0 $0 #DIV/0!
Phase/Activity
4) Scope of Work Measure A Budget:

A B C D E F
Original Measure A
allocation (per Funding
Agreement)
Current Measure A
allocation
Change in Measure A
allocation from
Approved/Funding Agmt (BA)
Total Measure A
Expended to date
% of current Measure A
allocation expended
(D/B)
% of Work
Completed
0 #DIV/0!
0 #DIV/0!
0 #DIV/0!
Total Scope of Work $0 $0 $0 $0 #DIV/0!
Phase/Activity
Issues: [List any issues, i.e. potential cost increases] _________________________________________________________________________________________________________ 5) Funding: [List additional sources as needed, Fill out the following matrix for each phase. i.e. environmental, design, etc.] SMCTA (Measure A/W) #DIV/0! #DIV/0! #DIV/0!
Others:

Federal (specify) #DIV/0! #DIV/0! #DIV/0!
State (specify) #DIV/0! #DIV/0! #DIV/0!
Other (specify) #DIV/0! #DIV/0! #DIV/0!
Total - #DIV/0! - #DIV/0! - #DIV/0!
[Insert Phase] Contribution [Insert Phase] Contribution [Insert Phase] Contribution Issues: [List any issues such as changes in non-W funding] [Carry over to additional pages as necessary]
Submit Progress Reports to Patrick Gilster at: [email protected] 96 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2
Exhibit E. San Mateo County Measure A/W
97 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2
Pedestrian and Bicycle Program
Final Report
VERSION: 5 REVISION DATE: 08-23-17
Approval of the Project Closeout Report indicates an understanding and formal agreement that the project is ready to be closed. By signing this deliverable, each individual agrees all administrative, financial, and logistical aspects of the project should be concluded, executed, and documented as described herein.

Agency/ Dept. Approver Name Title Signature Date
Sponsor:

Project Manager
Sponsor:

Director or City Mgr
Section 1. General Information
Project Name SMCTA Project No.

Sponsor Agency
Contact Phone Email
Mailing Address
Section 2. Project Scope (Complete Project or Project phases which were funded by Measure A) Attach pages with your response if applicable.

2.1 Project Start Date Project Completion Date Duration (months) 98 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2

2.2 Project Description (include actions taken, milestones and achievements)

2.3 Describe the pertinent issues, successes and/or lessons learned from implementing the project

2.4 Compilation of any data collected before and after project implementation

2.5 Description of changes/additions/reductions to the scope of the Project 99 PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2
Section 3. Funding Information
Primary TA Fund Source: [Measure A or Measure W]
Attach pages with your response if applicable. Add rows if necessary Measure A/W
Amount Spent
Total $ -
Types of Project Costs
All Fund Sources
If funds from other sources were used for this project, indicate how much. In listing the fund source, please be specific. For example, if you name FTA as fund source please state whether those funds were 5307 or 5308, etc.

Fill out the following columns accordingly.
• In column A, input Original Amount listed in the application • In column B, input amount actually expended.
• Column C is an auto-calculation indicating the Actual Expenditures as a Percentage of the Total Project.

Add rows if necessary.

Phase or Task
Original Cost
Estimate
(per Fund.

Agmt.)
Final Cost
Measure A/W
$ Allocated
(per Fund.

Agmt)
Measure A/W
$ Expended
Other $
Funds
Allocated
Other $
Funds
Expended
Total $ $0 $0 $0 $0 $0 $0
Total % 100% 100% #DIV/0! #DIV/0! #DIV/0! #DIV/0!
Final Balance of M easure A/W Funds (Unexpended) $0
100
PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2
Original Amount
from Application
Actual
Expenditures % of Final Cost
Fund Source A B C
#DIV/0!
#DIV/0!
#DIV/0!
#DIV/0!
Total $0 $0 #DIV/0!
Section 4. Closeout Details
Attach additional pages with your response if applicable.

4.1 Last
Invoice/Claim
Date
Last Invoice/Claim # Last Invoice/Claim Amount Request for Reimbursement

4.2 Explanation and status of potential and/or outstanding obligations

4.3 If Measure A/W funds were used for Completion/Construction of a Capital Project, has the sponsor accepted:

Operation/Maintenance Responsibilities
Yes No N/A
Project Completion
Yes No N/A

4.4 Confirmation that no further requests for reimbursement are anticipated and that all draw-down requests have been made
Yes No N/A
101
PED/BIKE PROGRAM 2022 CALL FOR PROJECTS
San Mateo County Transportation Authority/City of Half Moon Bay Pacific Coast Bikeway North Project
19478701.2
Section 5. Publicity Material
List any press releases, media articles, outreach materials, etc,. Attach copies of materials if applicable.

Resource Link Date
102

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Mathew Chidester, City Manager
FROM: Jill Ekas, Community Development Director
TITLE: ANNUAL RENEWAL OF COMMUNITY DEVELOPMENT AGREEMENTS ______________________________________________________________________________ RECOMMENDATION:

Adopt resolutions authorizing the City Manager to execute professional service agreements through June 30, 2024 with:

1. 4LEAF, Inc. (4Leaf) for building plan check and inspection services in an amount of $318,997; and

2. Metropolitan Planning Group (M-Group) for contract planning services in an amount of $137,500
FISCAL IMPACT:

These contracts have been included in the Recommended Community Development Department Operating Budget and CIP for FY 2023-24. The Building and Code Enforcement budget will cover the cost of the (4Leaf) contract. Revenues from building permit plan check and inspection fees will offset most of the cost of the 4Leaf contract. The M-Group contract funding is included in the professional services budget and may include some offsets from application related fees.

STRATEGIC ELEMENT:

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

BACKGROUND:

The City has utilized contract services to support Community Development functions for many years. In alignment with the annual budget approval, agreements for these services are updated annually to ensure alignment with workload and economic conditions. All of the City’s plan check and building inspection services are provided through a contractor. Most planning services are provided directly by City staff; however, supplemental support is needed for both routine and special projects.
103

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DISCUSSION:
4Leaf: In June 2018, under the City Manager’s purchasing authority, the City entered into an agreement with 4Leaf for $30,000. This agreement initiated immediately needed on-call public works/construction inspection services. Subsequently, in July 2018, the City circulated a request for proposals (RFP) for consultant services for management support of the Capital Improvement Program (CIP). From six proposals, 4Leaf was determined to be the best qualified candidate to support City staff on public works inspections of capital, development, and utility projects.

Subsequently, in 2019, the City Council approved contract services from 4Leaf for building plan check and inspection services. These services had been provided previously by contract as well.

The current requested budget of $318,997 will utilize funds included in the FY 2023-24 Community Development Building and Code Enforcement budget. The scope includes 30 hours per week for building inspections, budget to cover hours for the mandatory building official position including one full day each week for over-the-counter permit oversight, as well as hours for a senior permit technician to back up staff from time to time. The budget also covers plan check services. Plan check and inspection services are almost fully covered by the building permit fees paid by applicants.

M-Group: On June 18, 2013, the City Council approved a professional services agreement with M-Group to provide planning staff and services for an initial term of three years, expiring June 30, 2016. M-Group’s services have varied significantly since that time, always adjusting to the needs of the Department and community. In 2018, the City Council authorized funding and positions to hire in-house planning staff narrowing M-Group’s scope of services. Despite this, their support remains vital to meeting the needs and demands of the Planning Division, especially for special projects (e.g. in past years, the Land Use Plan; currently, the Housing Element and implementation zoning), GIS, permits, and public hearings.

Planning workload remains heavy and M-Group is well suited to continue to supplement some staff functions. As proposed, M-Group will continue to provide a part-time planning analyst to support Community Development Department staff primarily with the Planning Commission, Architectural Advisory Committee, and Community Development Director hearings and meetings. Presently, M-Group planners are supporting City staff’s work on the Housing Element. Going forward into the next the next fiscal year, M-Group is well suited to assist staff with zoning implementation work. Since 2013, M-Group has provided the City with excellent staff who have been committed to customer service and professionalism. They have institutional knowledge of the City and their continued support helps serve the Department’s needs. Their $137,500 budget for the next fiscal year is the same as this year’s budget.

These professional service providers continue to serve the City well. 4Leaf and M-Group work with staff support enhanced service levels, remain highly responsive to requests for support on a wide range of projects, and otherwise maintain excellent coordination with City staff and through interdepartmental collaboration.
104

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ATTACHMENTS:

1. Resolution for Professional Services Agreement with 4LEAF Inc.

2. Resolution for Professional Services Agreement with Metropolitan Planning Group 105
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE THE PROFESSIONAL SERVICES AGREEMENT THROUGH JUNE 30, 2024 WITH 4LEAF, INC. FOR BUILDING CONTRACT SERVICES IN AN AMOUNT OF $318,997
WHEREAS, 4LEAF, Inc. (4Leaf) has provided building inspection services and building plan check services for five years during which their contract staff have gained extensive knowledge about the City and provided for all of the City’s building plan check and inspection services; and WHEREAS, the amended agreement with 4Leaf will expire June 30, 2023; and WHEREAS, the Community Development Director has determined that continuation of current service levels is necessary; and
WHEREAS, 4Leaf provided a scope of work, budget, and an hourly rate schedule for a new one-year agreement totaling $318,997 for the needed services; and WHEREAS, adequate funds are available in the City’s proposed FY 2023-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute a Professional Services Agreement with 4LEAF, Inc. for Building contract services in the amount of $318,997 through June 30, 2024. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
106
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT THROUGH JUNE 30, 2024 WITH METROPOLITAN PLANNING GROUP FOR CONTRACT PLANNING SERVICES IN AN AMOUNT OF $137,500
WHEREAS, the Metropolitan Planning Group (M-Group) has provided contract planning services to the City of Half Moon Bay for over ten years during which their contract staff have gained extensive knowledge about the City and have assisted in many projects; and WHEREAS, and the current agreement with M-Group will expire on June 30, 2023, and WHEREAS, the Community Development had determined that supplemental planning services provided by M-Group are necessary to maintain service levels for public meetings and hearings, GIS mapping, Land Use Plan and Housing Element implementation, and additional support functions; and
WHEREAS, M-Group provided a scope of work, budget, and an hourly rate schedule for a new one-year agreement totaling $137,500 for the needed services; and WHEREAS, adequate funds are available in the City’s proposed FY 2023-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute a Professional Services Agreement with Metropolitan Planning Group (M-Group) for limited contract planning services to support the Community Development Department at a cost of $137,500 through June 30, 2024. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 202e 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 Deborah Penrose, Mayor
107

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Jill Ekas, Community Development Director
Mike Noce, Housing Coordinator
TITLE: 555 KELLY AVENUE AFFORDABLE HOUSING DEVELOPMENT – EXTENSION OF

THE TERM OF THE EXCLUSIVE NEGOTIATIONS AGREEMENT WITH MERCY

HOUSING
______________________________________________________________________________ RECOMMENDATION:

Adopt a Resolution authorizing the City Manager to execute an amendment to the Exclusive Negotiations Agreement (ENA) between the City and Mercy Housing (Developer) extending the negotiation period of the ENA to May 3, 2024, and establish initial terms of a ground lease to be executed for City-owned land at 535 and 555 Kelly Avenue (the Site).

This action allows the Developer to expedite their application for the Joe Serna Jr. Farmworker Housing Grant Program (FWHG) for an affordable housing development project (the Project) on the Site and potentially accelerates the Project by roughly one year if the Developer is awarded grant funding.

FISCAL IMPACT:

There is no fiscal impact to the City in extending the term of the ENA with Mercy Housing.

STRATEGIC ELEMENT:

This action supports the Healthy Communities and Public Safety, and Inclusive Governance Elements of the Strategic Plan.

BACKGROUND:

Authorization for the City Manager to enter an ENA between the City and Developer was approved by City Council resolution on October 4, 2022. The agreement was then signed and executed on November 3, 2022, by the City Manager and Developer, commencing the one-year ENA term, which will therefore expire by November 3, 2023. Additional actions taken during the ENA term thus far have included, but are not limited to, approval of funding support totaling $2.5 million from the City and County of San Mateo towards predevelopment costs of the Project; Developer engagement in community outreach and conducting of two community 108

Page 2 ends

meetings; Developer submittal of a preliminary application; City initial review of a preliminary application including holding an Architectural Advisory Committee session on June 8, 2023.

Additional information and staff reports related to various project milestones is posted on the City website at this link.
1 Brief History of the Site: the property located at 555 Kelly Avenue was purchased by the City in 2017. It is a rectangular parcel located south of the City’s Ted Adcock Community Center (TACC) adjacent to Shoreline Station. The property contains a single-family home which has been vacant since prior to the City’s acquisition of the property and is currently used for storage by the City. The property is approximately 6,200 square feet and abuts the City’s parking lot located on the south side of the TACC at 535 Kelly Avenue. In early 2022, the Community Development Department prepared and released a Request for Qualifications (RFQ) to solicit affordable housing development interest for the Site. The RFQ was released on February 15, 2022, and closed on May 23, 2022.

The City received one proposal, submitted by a two-agency team comprised of Mercy Housing California and Ayudando Latinos A Soñar (ALAS). As currently proposed, the development included 40 units of affordable multi-family rental housing for senior farmworkers, as well as 2,050 square feet of space for a Farmworker Resource Center to be managed by ALAS. The Developer will coordinate the construction of the property and deliver ongoing property management and resident services. ALAS will be a vital partner throughout the development process by supporting community outreach and marketing, in addition to operating the resource center once the project is complete.

Community Engagement: On a parallel path to seeking funding support for the Project, the Developer has worked closely with ALAS to host two community meetings with a combined attendance of more than 125 members of the public (March 27 and May 17, 2023) to seek feedback on the project design and future programming. Broad community support has been expressed for the Project, and a variety of comments were received which helped inform the Developer’s updates to the building design and features.

Preliminary Planning Application: The Developer submitted a preliminary application allowing for early review by the City and other agencies, including the Coastside County Water District and Coastside Fire. On June 8, 2023, the Developer presented the preliminary project plans to the Architectural Advisory Committee (AAC) to solicit feedback on the design concept of the preliminary proposal. The preliminary project plans can be found at the previously mentioned website link.

Both community input and AAC review are vital steps to ensure the Developer submits a wellrounded and balanced project that meets the design and service needs of the Half Moon Bay community.
1 555 Kelly Avenue - Affordable Housing RFQ | Half Moon Bay, CA (half-moon-bay.ca.us) 109

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DISCUSSION:

Due to the Developer’s enthusiastic commitment to the Project, which has been further strengthened by City and community input emphasizing the need to accelerate development of the Project, the Developer is expediting its application (one year earlier than originally planned) to the Joe Serna Jr. Farmworker Housing Grant (FWHG) Program. The FWHG helps fund new construction of affordable housing for agriculture workers, with a priority for lower income households. Funding for the development of multifamily rental housing under the FWHG is awarded by the California Department of Housing and Community Development (HCD) only once a year through a competitive Notice of Funding Availability (NOFA) process. To meet this year’s deadline, the Developer must submit application materials to HCD by July 12, 2023.

During the Exclusive Negotiations Agreement (ENA) period, currently set to be completed by November 3, 2023, the City and Developer are expected to negotiate a Disposition and Development Lease Agreement (DDLA) that will facilitate a long-term ground lease of the Site to the Developer. The DDLA demonstrates that the Developer has control of the site (via a ground lease or similar property transfer) for securing critical project funding from sources such as the FWHG and tax credit financing from the State of California Tax Credit Allocation Committee (TCAC). Both sources will be pursued by the Developer; however, due to the approaching deadline of the FWHG, the Developer will need to demonstrate site control prior to the DDLA being executed. The City is proposing to assist the Developer achieve this requirement through an extension of the ENA term, which must include expected ground lease terms of the DDLA. That is the basis for the actions sought tonight.

By approving the resolution (Attachment 1), the City Council’s authorization ensures the ENA term matches required site control through the expected award of HCD funds for the FWHG.

The expected award date for the current round of the FWHG is winter of 2023/24. By extending the ENA through May 3, 2024, the Developer can demonstrate to HCD there is an existing agreement with the City at the time of the FWHG application and guarantees that the agreement will still be in place at the time of the award of funds. Further, by approving the terms of the Developer’s ground lease of the Property in advance, including the expected annual payment to the City, the threshold requirements for the FWHG application and funding eligibility will be met, thus facilitating the possibility of funds being awarded. The City and County combined committed contributions of $2.5 million toward predevelopment activities further increases the competitiveness of the Developer’s FWHG application.

The FWHG program requires a 55-year lien restriction, ensuring affordability, for a rental housing project funded by the FWHG program. This roughly corresponds with the TCAC regulatory period of a minimum 57-year ground lease for the Project to qualify for tax credits.

The lease term of 57 years aligns with City expected minimum lease term necessary for the Project. As part of the City’s commitment to long-term affordability, an option to extend the ground lease to 99 years in total will be included in the ENA amendment, along with a base rent of $1.00 per year, both of which are typical for ground leases between municipal governments and developers of affordable projects serving very low and extremely low-income populations with critical housing needs. These proposed lease terms are included in Attachment 1 and will 110

Page 4 ends

be incorporated into the authorized amendment of the ENA. Despite approving of initial ground lease terms at this stage of the Project, the City will have an opportunity to negotiate additional terms of the ground lease as part of the DDLA. Staff will work with the Developer to return to City Council by the end of 2023 to execute the DDLA. The DDLA is expected to be negotiated by the City and Developer during the ENA term as originally planned and will include far more detailed obligations beyond the lease terms contained in the ENA amendment to ensure the City’s requirements and schedule of performance are incorporated into the final lease.

The recommended actions provide critical-timing support to expedite the Project. To plan and construct affordable housing that meets the needs of the lower-income populations described above, it is typical for affordable housing developers to seek multiple sources of financing and subsidies. The Developer is assessing whether additional funding sources beyond the FWHG program that are part of HCD’s standard Super NOFA application process can be pursued; therefore, staff will return with updates should additional applications be submitted for the Project by the Developer. The Developer’s financing proforma (Attachment 2) outlines the variety of funding sources required, any additional sources would only further strengthen the Project’s financing structure. Staff will inform City Council of awarded funding for the Project as application award determinations are released. For this Project, the incomes of the resident population will be in the lowest income categories, increasing the need for the Developer to secure financial support such as FWHG, tax credits, and City and County funding.

ATTACHMENTS:

1. Resolution

2. Developer Project Financing Proforma
111
Resolution No. C-2023-____

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

CITY MANAGER TO EXECUTE AN AMENDMENT TO THE EXCLUSIVE NEGOTIATIONS

AGREEMENT WITH MERCY HOUSING CALIFORNIA TO EXTEND THE NEGOTIATING PERIOD AND

ESTABLISH INITIAL TERMS OF A GROUND LEASE
WHEREAS, the City of Half Moon Bay (the “City”) owns two parcels located at 555 Kelly Avenue and 535 Kelly Avenue. (Assessor Parcel Numbers 056-150-200 and 056-150-220); and WHEREAS, the City wishes to create an affordable housing site using the entire property located at 555 Kelly Avenue and a portion of the property located at 535 Kelly Avenue (the Site); and
WHEREAS, on February 15, 2022, the City issued a Request for Qualifications (RFQ) for the development of affordable housing on the Site that may target a range of affordable housing types and underserved populations; and
WHEREAS, Mercy Housing California (“Mercy Housing”), in partnership with Ayudando Latinos A Soñar (“ALAS”), a nonprofit organization with deep ties to the farmworker community, submitted a response to the RFQ proposing construction of an affordable farmworker housing development consisting of approximately 40 residential units and associated amenities as well as a farmworker resource center serving the local community (the “Project”); and
WHEREAS, on November 3, 2022, the City entered into an Exclusive Negotiations Agreement (ENA) with Mercy Housing to enable Mercy Housing’s affiliate, Mercy Housing California 110, L.P., a California limited partnership (the “Developer” and also “Borrower”) to carry out predevelopment and development activities associated with the Project, including seeking various funding commitments; and
WHEREAS, on February 21, 2023, the City approved a predevelopment loan for the Project using funds from the City’s Affordable Housing Fund, in an amount not to exceed One Million Dollars, to assist the Developer with necessary Project predevelopment activities; and WHEREAS, the Project will serve local farmworker households with extremely lowincome (30% of AMI) or very low-income (50% of AMI); and WHEREAS, it is typical for affordable housing developers to seek multiple sources of financing and subsidies when developing affordable housing, especially when the income of the resident population will be in the lowest income categories; and 112
WHEREAS, Mercy Housing seeks to expedite their application for the Joe Serna Jr.

Farmworker Housing Grant Program (FWHG) and potentially accelerate the Project by roughly one year if Mercy Housing is awarded FWHG funding;
WHEREAS, the City wishes to support its commitment to producing affordable housing for the Half Moon Bay community, especially for critical housing needs groups such as farmworkers,
WHEREAS, the City will further its commitment to producing affordable housing for the Half Moon Bay community by extending the negotiations period of the ENA and establishing initial terms of a ground lease of the Site so that the Developer may submit a competitive application to the 2023 FWHG Program.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay finds the above recitals to be true and correct, are a substantive part of this Resolution, and are thereby incorporated herein; and
BE IT FURTHER RESOLVED THAT, the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute an amendment to the Exclusive Negotiations Agreement between the City of Half Moon Bay and Mercy Housing California dated November 3, 2022 for an affordable housing project on City-owned property located at 555 Kelly Avenue and 535 Kelly Avenue that will include the following provisions: 1) extending the initial term of the Negotiating Period to May 3, 2024; and, 2) establishing initial terms for a Ground Lease to be separately executed at the start of the Project’s construction period that includes, among other things: (a) a ground lease term of at least fifty-seven (57) years with an option of extending the term to 99 years; and, (b) a ground lease payment of $1.00 per year. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June, 2023, 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 Deborah Penrose, Mayor
113

SOURCES AND USES
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
CONSTRUCTION SOURCES OF FUNDS Amount Per Unit % of TDC
Bank Construction Loan 26,362,173 659,054 78%
N/A - - 0%
Tax Credit Equity 3,393,374 84,834 10%
AHP - - 0%
Serna - - 0%
San Mateo County 1,500,000 37,500 4%
Half Moon Bay 2,000,000 50,000 6%
Land/Building Donation - - 0%
Expenses Paid at Conversion to Perm 501,906 12,548 1%
TOTAL CONSTRUCTION SOURCES 33,757,453 843,936 100%
PERMANENT SOURCES OF FUNDS Amount Per Unit % of TDC
Conventional Amortizing Loan 1,576,613 39,415 5%
Section 8 Backed Mortgage - - 0%
Tax Credit Equity 22,622,494 565,562 67%
AHP - 0%
Serna 4,558,346 113,959 14%
San Mateo County 1,500,000 37,500 4%
San Mateo County ARPA 1,500,000 37,500 4%
Half Moon Bay 2,000,000 50,000 6%
Land/Building Donation 0 0%
GP Contributions
Deferred Dev. Fee - 0%
GP Equity - - 0%
TOTAL PERMANENT SOURCES $ 33,757,453 $ 843,936 100%

USES OF FUNDS
Acquisition - - 0.0%
Hard Costs 21,726,186 543,155 64.4%
Architectural 1,086,309 27,158 3.2%
Engineering 150,000 3,750 0.4%
Constr. Int and Fees 2,508,330 62,708 7.4%
Permanent Financing 60,766 1,519 0.2%
Legal 60,000 1,500 0.2%
Reserves 771,072 19,277 2.3%
Contingencies 2,789,671 69,742 8.3%
Other Costs 2,305,119 57,628 6.8%
Developer Costs 2,200,000 55,000 6.5%
Syndication 100,000 2,500 0.3%
TOTAL USES 33,757,453 843,936 100.0%
SURPLUS/GAP $ (0) $ (0)

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UNIT MIX
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
MAX RENT (Gross per month; assume 1.5 persons/bdrm)
LIHTC Income Level 30% 40% 50% 60% 80% 90% 110% 120% 130% Market AMI AMI AMI AMI AMI AMI AMI AMI AMI Rents

N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A

AMI AMI AMI AMI AMI AMI AMI AMI AMI
Studio/Efficiency 978 1,304 1,631 1,957 2,609 2,935 3,588 3,914 4,240 1 Bdrm 1,048 1,398 1,748 2,097 2,796 3,146 3,845 4,195 4,544 2 Bdrm 1,258 1,677 2,097 2,516 3,355 3,774 4,613 5,032 5,452 3 Bdrm 1,453 1,938 2,423 2,907 3,876 4,361 5,330 5,815 6,299 4 Bdrm 2,521 3,362 4,203 5,043 6,724 7,565 9,246 10,087 10,927 5 Bdrm 1,789 2,386 2,983 3,579 4,772 5,369 6,562 7,159 7,755 APARTMENT MIX Sq. Ft. 30% 40% 50% 60% 80% 90% 110% 120% 130% Market Rate # of Apts Per Apt AMI AMI AMI AMI AMI AMI AMI AMI AMI Unit Type Distribution Apportionment (hide) units (hide) SRO/Efficiency 31 386 31 0 0 0 0 0 0 0 0 0 77.5% 78% 31 1 Bdrm 8 641 8 0 0 0 0 0 0 0 0 0 20.0% 22% 8
2 Bdrm 0 850 0 0 0 0 0 0 0 0 0 0 0.0% 0% 0
3 Bdrm 0 1100 0 0 0 0 0 0 0 0 0 0 0.0% 0% 0
4 Bdrm 0 0 0 0 0 0 0 0 0 0 0 0.0% 0% 0
5 Bdrm 0 0 0 0 0 0 0 0 0 0 0 0.0% 0
Manager Unit 1 641 2.5% 1
TOTAL 40 39 0 0 0 0 0 0 0 0 0 100.0% 40
% of units 100.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Avg LIHTC Affordability=30% N/A Passes Affordability Test
Target Apportionment (hide) 99% 0% 1% 0% 0% 0% 0% 100%
target units (hide) 40 0 0 -1 0 0 0 0 0 0

RENT SCHEDULE SPECIAL NEEDS UNITS / RENT SUBSIDY
Sq. Ft. Sq. Ft. Gross Util Effective Total Percent of Units 98% 39 Income Restriction Unit Type # of Apts Per Apt Total Rent Allow Rent Ann'l Rent # of Apts FMR /Contract Rent Utility Allowance Effective Contract Rent Subsidy PUPM Total Annual Subsidy 30% of AMI SRO/Efficiency 31 386 11,966 978 50 928 345,216 31 2,115 50 2,065 1,137 422,964 1 Bdrm 8 641 5,128 1,048 74 974 93,504 8 2,631 74 2,557 1,583 151,968 2 Bdrm - 850 - 1,258 66 1,192 - - 1,663 66 1,597 - -
3 Bdrm - 1,100 - 1,453 86 1,367 - - 2,231 86 2,145 - -
4 Bdrm - - - 2,521 95 2,426 - - 1,500 95 1,405 - -
5 Bdrm - - - 1,789 95 1,694 - - 1,500 95 1,405 - -
Manager Unit 1 641 641 - - Total
TOTAL 40 17,735 $38,702 $2,142 $36,560 $438,720 39 116400 574,932 $1,013,652 UNITS AT < 81% AMI (LIHTC UNITS)
UNITS AT < 81% AMI (LIHTC UNITS)
UNITS AT >81% AMI
UNITS AT >81% AMI

Page 2 of 10 ends

115

DEVELOPMENT COSTS
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS

94.0% 6.0%
unit cost Total Project Cost Residential Non-Residential Non-Basis Eligible Acquisition Constr/Rehab

ACQUISITION
Total Land Cost or Value - - -
Total Building Cost or Value - - - - -

TOTAL ACQUISITION - - - - - -

CONSTRUCTION / REHABILITATION
Off-Site Improvements 50,000 46,993 3,007 3,007 46,993
Demolition - - - -
Site Work/Landscape/Surface parking - - - - -
Structures 17,634,736 16,574,287 1,060,449 1,060,449 16,574,287 Tenant Improvements - - -
Garages/Structured Parking - - - - -
Contractor Profit 4.0% 715,618 672,585 43,033 43,033 672,585 Contractor Overhead 2.6% 465,151 437,180 27,971 27,971 437,180 Design/Escaltion Contingency 15.0% 2,860,681 2,688,657 172,024 172,024 2,688,657 TOTAL NEW CONSTRUCTION 21,726,186 20,419,702 1,306,485 1,306,485 - 20,419,702 ARCHITECTURAL FEES 5.0% 1,086,309 1,020,985 65,324 65,324 1,020,985 TOTAL SURVEY and ENGINEERING 125,000 117,483 7,517 7,517 117,483 ENVIRONMENTAL MITIGATION 25,000 23,497 1,503 1,503 23,497 CONST. INTEREST & FEES
Const. Loan Interest 1,676,415 1,575,605 100,810 616,630 1,059,785 Bond Issuance - - - -
Origination Fee 0.75% 197,716 185,827 11,889 197,716
Taxes During Construction 1.25% - - - - -
Performance Bond Premium 1.00% 217,262 204,197 13,065 13,065 204,197 Lender Inspections 15,000 14,098 902 902 14,098
Title and Recording 30,000 28,196 1,804 1,804 28,196
Builders Risk Insurance 0.50% 116,233 109,244 6,990 6,990 109,244 Contractor Insurance 1.45% 255,704 240,327 15,377 15,377 240,327 TOTAL CONST. INTEREST & FEES 2,508,330 2,357,494 150,836 852,483 - 1,655,847

PERMANENT FINANCING
Loan Origination Fee 1.00% 15,766 14,818 948 15,766
Title and Recording 20,000 18,797 1,203 20,000
Other 25,000 23,497 1,503 25,000
TOTAL PERMANENT FINANCING 60,766 57,112 3,654 60,766 - -

OTHER FINANCING RELATED
TCAC App/Alloc/Monitor Fees 4% 109,689 109,689 109,689
TOTAL OTHER FINANCING 109,689 109,689 - 109,689 - -

LEGAL FEES
Constr. Related (includes lender legal) 35,000 32,895 2,105 2,105 32,895 Perm. Related (includes lender legal) 25,000 23,497 1,503 25,000 TOTAL LEGAL FEES 60,000 56,392 3,608 27,105 - 32,895

RESERVES
Capitalized Operating 3 months 196,140 196,140 196,140
Capitalized Lease Up Reserve - -
Capitalized Section 8 Transition Reserve 574,932 574,932 574,932 Capitalized Commercial Commission/Lease Up Reserve - -
Capitalized Replacement - - -
TOTAL RESERVES 771,072 771,072 - 771,072 - -

CONTINGENCIES
Construction Contingency 10% 2,172,619 2,041,970 130,648 130,648 2,041,970 Soft Cost Contingency 10% 617,052 579,946 37,106 37,106 579,946 TOTAL CONTINGENCIES 2,789,671 2,621,917 167,754 167,754 - 2,621,917 PERMITS & GOV. FEES
school impact fee - - - - -
other impact fees 510,040 479,369 30,671 30,671 479,369 building permit, plan check, other fees 428,391 402,630 25,761 25,761 402,630 Capital Fees (utility fees & hook-up charges) 791,999 744,373 47,626 47,626 744,373 TOTAL PERMITS & FEES 1,730,430 1,626,372 104,058 104,058 - 1,626,372

THIRD PARTY REPORTS
Environmental Reports 50,000
Appraisal 25,000 23,497 1,503 1,503 23,497

COST APPORTIONMENT TAX CREDIT ELIGIBLE

Page 3 of 10 ends

116

DEVELOPMENT COSTS
Market Study 15,000
Title/Escrow/Closing 10,000 9,399 601 10,000
TOTAL THIRD PARTY REPORTS 100,000 32,895 2,105 11,503 - 23,497

OTHER OWNER COSTS
Financial Consultant 30,000 28,196 1,804 1,804 28,196
Cost Cert/Accounting 30,000 28,196 1,804 30,000
Construction Mang./Oversight/Testing 145,000 136,281 8,719 8,719 136,281 TOTAL OTHER OWNER COSTS 205,000 192,673 12,327 40,523 - 164,477

MANAGEMENT COSTS
Marketing/Leasing $1,500 60,000 56,392 3,608 3,608 56,392 Relocation Expenses - -
Site and Interior Furnishings (Mgmt Start -Up) 100,000 93,987 6,013 100,000 TOTAL MANAGEMENT COSTS 160,000 150,379 9,621 103,608 - 56,392 SUBTOTAL 31,457,453 29,557,660 1,834,793 3,629,390 - 27,763,063

DEVELOPER COSTS
Developer Fee 2,200,000 2,067,705 132,295 132,295 $0 $2,067,705 TOTAL DEVELOPER COSTS 2,200,000 2,067,705 132,295 132,295 - 2,067,705 TOTAL SYNDICATION COSTS 100,000 93,987 6,013 100,000
TOTAL PROJECT COST 33,757,453 31,719,352 1,973,102 3,861,685 - 29,830,768 GRAND TOTAL DEVELOPMENT COSTS $33,757,453

Page 4 of 10 ends

117
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
Total Project Cost County of San Mateo City of Half Moon Bay

ACQUISITION
Total Land Cost or Value
Total Building Cost or Value -

TOTAL ACQUISITION -

CONSTRUCTION / REHABILITATION
Off-Site Improvements
Demolition
Site Work/Landscape/Surface parking
Structures
Tenant Improvements
Garages/Structured Parking
Contractor Profit
Contractor Overhead
Design/Escaltion Contingency

TOTAL NEW CONSTRUCTION -
ARCHITECTURAL FEES 1,014,296 1,014,296 -
TOTAL SURVEY and ENGINEERING 60,000 60,000 -

ENVIRONMENTAL MITIGATION
CONST. INTEREST & FEES
Const. Loan Interest
Bond Issuance
Origination Fee
Taxes During Construction
Performance Bond Premium
Lender Inspections
Title and Recording
Builders Risk Insurance
Contractor Insurance
TOTAL CONST. INTEREST & FEES -

PERMANENT FINANCING
Loan Origination Fee
Title and Recording
Other

TOTAL PERMANENT FINANCING -

OTHER FINANCING RELATED
TCAC App/Alloc/Monitor Fees

TOTAL OTHER FINANCING -

Page 5 of 10 ends

PREDEVELOPMENT COSTS
118

LEGAL FEES
Constr. Related (includes lender legal) 60,000 60,000 0 Perm. Related (includes lender legal)
TOTAL LEGAL FEES 60,000 60,000 -

RESERVES
Capitalized Operating
Capitalized Lease Up Reserve
Capitalized Section 8 Transition Reserve
Capitalized Commercial Commission/Lease Up Reserve
Capitalized Replacement

TOTAL RESERVES -

CONTINGENCIES
Construction Contingency
Soft Cost Contingency 227,273 - 227,273
TOTAL CONTINGENCIES 227,273 - 227,273
PERMITS & GOV. FEES
school impact fee
other impact fees 510,040 510,040
building permit, plan check, other fees 428,391 165,704 262,687 Capital Fees (utility fees & hook-up charges) -
TOTAL PERMITS & FEES 938,431 165,704 772,727

THIRD PARTY REPORTS
Environmental Reports 50,000 50,000 -
Appraisal 25,000 25,000 -
Market Study 10,000 10,000 -
Title/Escrow/Closing 10,000 10,000 -
TOTAL THIRD PARTY REPORTS 95,000 95,000 -

OTHER OWNER COSTS
Financial Consultant 25,000 25000 -
Cost Cert/Accounting
Construction Mang./Oversight/Testing 80,000 80,000 -
TOTAL OTHER OWNER COSTS 105,000 105,000 -

MANAGEMENT COSTS
Marketing/Leasing
Relocation Expenses
Site and Interior Furnishings (Mgmt Start -Up)

TOTAL MANAGEMENT COSTS -
SUBTOTAL 2,500,000 1,500,000 1,000,000

DEVELOPER COSTS
Developer Fee

TOTAL DEVELOPER COSTS -

TOTAL SYNDICATION COSTS
TOTAL PREDEVELOPMENT COST 2,500,000 1,500,000 1,000,000

Page 6 of 10 ends

PREDEVELOPMENT COSTS
119

FINANCING
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
First Mortgage Terms
Rate 6.50%
Amortization 20
Term 20
Minimum DSCR 1.15
Maximum Debt Service 282,115
Maximum Loan Amount $3,153,226
Actual Loan Amount $1,637,389
Section 8 Mortgage Terms
Rate 6.50%
Amortization 15
Term 15
Minimum DSCR 1.15
Maximum Debt Service -
Maximum Loan Amount $0
Actual Loan Amount $0
CONSTRUCTION PERIOD INTEREST CALCULATION Construction Lease-up/Conversion Taxable Tail Lease-up/Conversion Total Development Cost 33,757,453 33,757,453
Conventional construction loan amt 26,362,173 26,362,173 - - LTC 1 -
Months outstanding 18 4 18 4
Average % outstanding 50% 100% 50% 100%
Rate 5.9% 5.9% 5.0% 5.9%
Total Interest Estimate 1,160,595 515,820 0 0
50% Bond Test CDLAC Allocation Test
Tax Exempt Financing - Total Limit 20,534,000
Depreciable Basis + Acquisition $29,830,768 Passes? Yes Ratio 0%
Constr/Rehab

TAX CREDIT EQUITY CALCULATION
Basis 29,830,768
Deduct grant amounts
Eligible Basis 29,830,768
Threshold Basis Limits # of units Basis
Studio 440,028 31 13,640,868
1 Bdrm 507,348 8 4,058,784
2 Bdrm 612,000 0 0
3 Bdrm 783,360 0 0
4 Bdrm 872,712 0 0
5 Bdrm 390,154 0 0
MGR 507,348 1 507,348
Total 40 18,207,000
Threshold Basis Limit Adjustments
Prevailing Wage 20% 3,641,400
Structured Parking 10% 0
Daycare 2% 0
100% special needs 2% 0
Elevator 10% 1,820,700
Type I Construction 15% 0
Type III Construction 10% 0
Energy efficiency/resource conservation/indoor air quality 0% 0 Seismic Upgrades or Environmental Mitigation 0%
Affordability Adjustment (4% projects only) 200% -
Add Impact Fees 479,369
Opportunity Map High or Highest Resource Area 0% -
Adjusted Theshold Basis Limits 24,148,469
Allowable Basis (Lesser of Actual or Adjusted Basis Limits) 24,148,469 Voluntary Reduction 17% 4,215,000
Effective Reduction 4,215,000
Total Requested Unadjusted Eligible Basis 19,933,469
High Cost Area Adjustment (DDA or QCT) 30% 5,980,041
Total Adjusted Eligible Basis 25,913,510
Applicable Fraction 100% 25,913,510
Total Qualified Basis 25,913,510
Credit Reduction 0% 0
Final Basis Amount 25,913,510
LIHTC Credit Rate 9.00% 9.00%
LIHTC Credit 2,332,216
10 year value 23,322,159
Net raise $/ Tax Credit 0.97 0.97
Federal Credit Equity 22,622,494
State Credit 0
State Credit $/credit 0.80
State Credit Equity 0
Total Net Equity to Project 22,622,494 Page 7 of 10
120

CASH FLOW
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
ADDRESS: 555 Kelly
HOUSING TYPE: Senior
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
Inflation
POTENTIAL GROSS INCOME Factor Per Month Per Unit 1 2 3 4 5 6 7 8 9 10 11 Resident Rent 2.5% 36,560 10,968 438,720 449,688 460,930 472,453 484,265 496,371 508,781 521,500 534,538 547,901 561,599 Rent Subsidy 2.5% 47,911 14,373 574,932 589,305 604,038 619,139 634,617 650,483 666,745 683,413 700,499 718,011 735,962 LOSP Tenant Assistance Payments - - - - - - - - - - -
Commercial 1.0% - - - - - - - - - - - - -
Other Income 2.5% 200 60 2,400 2,460 2,522 2,585 2,649 2,715 2,783 2,853 2,924 2,997 3,072 POTENTIAL GROSS INCOME 84,671 25,401 1,016,052 1,041,453 1,067,490 1,094,177 1,121,531 1,149,570 1,178,309 1,207,767 1,237,961 1,268,910 1,300,632

VACANCY LOSS
Resident 5.0% (1,828) (548) (21,936) (22,484) (23,047) (23,623) (24,213) (24,819) (25,439) (26,075) (26,727) (27,395) (28,080) Rent Subsidy 5.0% (2,396) (719) (28,747) (29,465) (30,202) (30,957) (31,731) (32,524) (33,337) (34,171) (35,025) (35,901) (36,798) Commercial 25.0% - - - - - - - - - - - - -
Total Vacancy Loss (4,224) (1,267) (50,683) (51,950) (53,248) (54,580) (55,944) (57,343) (58,776) (60,246) (61,752) (63,296) (64,878) EFFECTIVE GROSS INCOME 80,447 24,134 965,369 989,504 1,014,241 1,039,597 1,065,587 1,092,227 1,119,533 1,147,521 1,176,209 1,205,614 1,235,754 OPERATING EXPENSES 3.5% (49,910) (14,973) (598,920) (619,882) (641,578) (664,033) (687,274) (711,329) (736,226) (761,993) (788,663) (816,266) (844,836)

GROUND LEASE PAYMENTS
NET OPERATING INCOME 30,537 9,161 366,449 369,621 372,663 375,564 378,313 380,898 383,307 385,527 387,546 389,348 390,919

RESERVES
Replacement Reserve (1,667) (500) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) Operating Reserve - -
Total Reserve Deposits (1,667) (500) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) INCOME BEFORE DEBT SERVICE 28,871 8,661 346,449 349,621 352,663 355,564 358,313 360,898 363,307 365,527 367,546 369,348 370,919 DEBT SERVICE 2.09 2.11 2.13 2.15 2.16 2.18 2.19 2.21 2.22 2.23 2.24 First Mortgage (12,208) (3,662) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) HCD/Other Debt Service (1,595) (479) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) Bond Monitoring Fee
Total Debt Service (13,803) (4,141) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) NET CASH FLOW 15,067 4,520 180,809 183,981 187,023 189,924 192,672 195,258 197,667 199,887 201,905 203,707 205,278

USES OF AVAILABLE CASH
Deferred Developer Fee Balance, beginning of year 3.0% - - - - - - - - - - - - - Deferr. Dev. Fee Payments - - - - - - - - - - -
Residual Cash Flow 4,520 180,809 183,981 187,023 189,924 192,672 195,258 197,667 199,887 201,905 203,707 205,278 Investor Asset Mgmt Fee 3.5% (417) (125) (5,000) (5,175) (5,356) (5,544) (5,738) (5,938) (6,146) (6,361) (6,584) (6,814) (7,053) Partnership Mgmt Fee 3.5% (2,083) (625) (25,000) (25,875) (26,781) (27,718) (28,688) (29,692) (30,731) (31,807) (32,920) (34,072) (35,265) Cash Available for Disbursements 3,770 150,809 152,931 154,886 156,662 158,247 159,627 160,789 161,719 162,401 162,820 162,960 Initial Year

Page 8 of 10 ends

121

CASH FLOW
12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 575,639 590,030 604,780 619,900 635,397 651,282 667,564 684,253 701,360 718,894 736,866 755,288 774,170 793,524 813,362 833,696 854,539 875,902 897,800 754,361 773,220 792,550 812,364 832,673 853,490 874,827 896,698 919,115 942,093 965,645 989,786 1,014,531 1,039,894 1,065,892 1,092,539 1,119,853 1,147,849 1,176,545 - - - - - - - - - - - - - - - - - - -
- - - - - - - - - - - - - - - - - - -
3,149 3,228 3,308 3,391 3,476 3,563 3,652 3,743 3,837 3,933 4,031 4,132 4,235 4,341 4,449 4,561 4,675 4,792 4,911 1,333,148 1,366,477 1,400,639 1,435,655 1,471,546 1,508,335 1,546,043 1,584,694 1,624,312 1,664,920 1,706,542 1,749,206 1,792,936 1,837,760 1,883,704 1,930,796 1,979,066 2,028,543 2,079,256 (28,782) (29,501) (30,239) (30,995) (31,770) (32,564) (33,378) (34,213) (35,068) (35,945) (36,843) (37,764) (38,708) (39,676) (40,668) (41,685) (42,727) (43,795) (44,890) (37,718) (38,661) (39,628) (40,618) (41,634) (42,674) (43,741) (44,835) (45,956) (47,105) (48,282) (49,489) (50,727) (51,995) (53,295) (54,627) (55,993) (57,392) (58,827) - - - - - - - - - - - - - - - - - - -
(66,500) (68,162) (69,867) (71,613) (73,404) (75,239) (77,120) (79,048) (81,024) (83,049) (85,126) (87,254) (89,435) (91,671) (93,963) (96,312) (98,720) (101,188) (103,717) 1,266,648 1,298,315 1,330,772 1,364,042 1,398,143 1,433,096 1,468,924 1,505,647 1,543,288 1,581,870 1,621,417 1,661,952 1,703,501 1,746,089 1,789,741 1,834,484 1,880,347 1,927,355 1,975,539 (874,405) (905,009) (936,685) (969,469) (1,003,400) (1,038,519) (1,074,867) (1,112,487) (1,151,424) (1,191,724) (1,233,435) (1,276,605) (1,321,286) (1,367,531) (1,415,395) (1,464,933) (1,516,206) (1,569,273) (1,624,198) 392,243 393,305 394,088 394,573 394,743 394,577 394,057 393,159 391,863 390,146 387,982 385,347 382,215 378,558 374,346 369,551 364,140 358,082 351,341 (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) (20,000) 372,243 373,305 374,088 374,573 374,743 374,577 374,057 373,159 371,863 370,146 367,982 365,347 362,215 358,558 354,346 349,551 344,140 338,082 331,341

2.25 2.25 2.26 2.26 2.26 2.26 2.26 2.25 2.25 19.33 19.22 19.08 18.92 18.73 18.51 18.26 17.98 17.66 17.31 (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) (146,495) - - - - - - - - - - (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (165,640) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) (19,145) 206,603 207,665 208,448 208,933 209,103 208,937 208,416 207,519 206,223 351,001 348,837 346,202 343,070 339,413 335,201 330,406 324,995 318,937 312,196 - - - - - - - - - - - - - - - - - - -
- - - - - - - - - - - - - - - - - - -
206,603 207,665 208,448 208,933 209,103 208,937 208,416 207,519 206,223 351,001 348,837 346,202 343,070 339,413 335,201 330,406 324,995 318,937 312,196 (7,300) (7,555) (7,820) (8,093) (8,377) (8,670) (8,973) (9,287) (9,613) (9,949) (10,297) (10,658) (11,031) (11,417) (11,816) (12,230) (12,658) (13,101) (13,559) (36,499) (37,777) (39,099) (40,467) (41,884) (43,350) (44,867) (46,437) (48,063) (49,745) (51,486) (53,288) (55,153) (57,083) (59,081) (61,149) (63,289) (65,504) (67,797) 162,804 162,333 161,529 160,372 158,842 156,918 154,576 151,794 148,548 291,307 287,054 282,257 276,887 270,913 264,304 257,027 249,048 240,332 230,840

Page 9 of 10 ends

122

OPERATING BUDGET
PROJECT NAME: 555 Kelly
FINANCE TYPE: 9%/Serna
HOUSING TYPE: Senior
ADDRESS: 555 Kelly
COUNTY: San Mateo
SPONSOR: Mercy Housing California/ALAS
Units 40

PAYROLL/PAYROLL TAXES
Admin Payroll 72,800 1,820 1 FTE Property Manager
Operations and Maintenance Payroll 64,480 1,612 1 FTE Maintenance Manager Other Personnel Expenses 2,400 60
Taxes and Benefits 56,048 1,401
TOTAL PAYROLL EXPENSES 195,728 4,893
ADMINISTRATIVE EXPENSE Yearly Expense PUPA Notes
Administrative Expenses 24,000 600
Advertising 1,200 30
Audit Fees 8,000 200
Bookkeeping and Accounting Fee 6,000 150
TOTAL ADMINISTRATIVE EXPENSE 39,200 630

UTILITIES EXPENSES
Electricity 4,560 114
Water 32,320 808
Gas 10,800 270
Sewer 31,080 777
TOTAL UTILITIES EXPENSES 78,760 1,969

OPERATING AND MAINTENANCE
Operating Contracts 15,000 375
Operating Supplies 15,000 280
Garbage/Trash Removal 20,000
HVAC Repairs &Contracts
Maintenance Contracts 19,000 475
Maintenance Supplies 15,000 375
TOTAL OPERATING EXPENSES 84,000 1,160
REAL ESTATE TAXES 25,000 625
INSURANCE 40,000 1,000
RESIDENT SERVICES 90,000 2,250
MANAGEMENT FEE 33,600 840
TOTAL OPERATING BUDGET 586,288 14,657

Page 10 of 10 ends

123

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Lisa Lopez Rossi, Administrative Services Director TITLE: SALARY SCHEDULE FOR THE INTERNATIONAL UNION OF OPERATING ENGINEERS STATIONARY LOCAL 39, AFL-CIO; REPRESENTED MANAGEMENT

TEAM MEMBERS, AND NON-REPRESENTED EMPLOYEES
______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution approving the FY 2023-24 salary schedule representing a 3.0-percent increase to the base salary for the International Union of Operating Engineers Stationary Local 39 AFL-CIO, Represented Management Team Members, Confidential, and Non-Represented Employees, effective as per the terms of Memoranda of Understanding.

FISCAL IMPACT:

The salary adjustments are estimated to have a total fiscal impact of $172,000. Funding for the adjustments to salary is included in the Recommended Budget for FY 2023-24.

STRATEGIC ELEMENT:

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

BACKGROUND/DISCUSSION:

In 2021, the City Council authorized the City Manager to execute five-year Memoranda of Understanding with the represented labor groups listed above that provide for a two-and-a-half (2.5%) or three percent (3.0%) wage increase effective July 1, 2020. The final amount was determined by a negotiated formula which is based on the City’s actual gross Transient Occupancy Tax (TOT) revenue for the first three quarters of Fiscal Year 2022-23 equaling or exceeding ninety percent (90%) of the FY 2021-22 TOT revenue.

The Salary Schedule includes one note: a single asterisk. A single asterisk is utilized for positions that are vacant and not currently part of the organizational and staffing structure. The positions remain on the Salary Schedule as a placeholder in the event future changes warrant inclusion of one or more of those vacant/unutilized positions.

ATTACHMENT:

Resolution with Exhibit A (Salary Schedule for FY 2023-24) 124
RESOLUTION No. C-2023-__

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

ESTABLISHING THE SALARY SCHEDULE FOR CITY OF HALF MOON BAY EMPLOYEES FOR FISCAL YEAR 2023-2024
WHEREAS, the City of Half Moon Bay Municipal Code and Personnel Rules and Regulations empower the City Council to establish a compensation plan for all classifications in the City service; and
WHEREAS, the terms of the existing Memoranda of Understanding with the International Union of Operating Engineers Stationary Local 39 AFL‐CIO, Represented Management Team Members, and Confidential and Non‐Represented Employees, provide for 2.5 to 3.0 percent salary adjustments effective July 1 of each fiscal year.

NOW, THEREFORE, BE IT RESOLVED THAT the attached salary schedule incorporated as Exhibit A to this resolution constitutes the compensation plan for all classifications in the City of Half Moon Bay and is hereby approved effective July 1, 2023. ***************************************************************** I, the undersigned, hereby certify that the forgoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
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City of Half Moon Bay
Salary Schedule
Effective July 1, 2023 (3%)
Position Class A B C D E
Exempt - Non Represented Management
City Manager 99-999 Only one step 22,083
Assistant City Manager 10-500 16,671 17,505 18,380 19,299 20,264 Public Works Director 10-520 16,671 17,505 18,380 19,299 20,264 Community Development Director 10-505 15,343 16,110 16,916 17,762 18,650 Finance Director* 10-490 15,201 15,961 16,759 17,597 18,477 Administrative Services Director 10-490 15,201 15,961 16,759 17,597 18,477 Deputy City Manager* 10-515 13,820 14,511 15,237 15,999 16,799 Communications Director/City Clerk 10-412 13,108 13,763 14,451 15,174 15,933 Contract Services Manager* 10-430 10,810 11,351 11,919 12,515 13,141 Assistant to the City Manager* 10-420 9,741 10,228 10,739 11,276 11,840 Exempt - Confidential
Finance Manager 10-485 11,139 11,696 12,281 12,895 13,540 Administrative Services Manager * 10-525 11,036 11,588 12,167 12,775 13,414 Management Analyst - Human Resources 10-721 8,261 8,674 9,108 9,563 10,041 Executive Assistant to the City Manager 10-715 7,010 7,361 7,729 8,115 8,521 Senior Accountant* 10-745 9,259 9,722 10,208 10,718 11,254 Exempt - Represented Management
City Engineer 10-750 13,467 14,140 14,847 15,589 16,368 Planning and Development Services Manager* 10-748 12,239 12,851 13,494 14,169 14,877 Senior Planner 10-724 9,680 10,164 10,672 11,206 11,766 Associate Engineer 10-746 9,539 10,016 10,517 11,043 11,595 Public Works Superintendent 10-526 11,036 11,588 12,167 12,775 13,414 Community & Economic Vitality Manager 10-527 11,036 11,588 12,167 12,775 13,414 Assistant City Clerk 10-725 9,040 9,492 9,967 10,465 10,988 Communications Specialist 10-726 9,040 9,492 9,967 10,465 10,988 Senior Management Analyst 10-727 9,040 9,492 9,967 10,465 10,988 Housing Coordinator 10-728 9,040 9,492 9,967 10,465 10,988 Associate Planner 10-729 8,261 8,674 9,108 9,563 10,041 Management Analyst 10-721 8,261 8,674 9,108 9,563 10,041 Assistant Engineer 10-719 7,718 8,104 8,509 8,934 9,381 Recreation Coordinator* 10-200 6,179 6,488 6,812 7,153 7,511 Recreation Supervisor 10-201 7,836 8,228 8,639 9,071 9,525 Non-Exempt Operating Engineers Local 39
Assistant Planner 39-159 7,684 8,068 8,471 8,895 9,340
Deputy City Clerk* 39-160 7,325 7,691 8,076 8,480 8,904 Administrative Analyst 39-157 6,861 7,204 7,564 7,942 8,339 Community Preservation Specialist 39-158 6,861 7,204 7,564 7,942 8,339 Permit Technician 39-250 6,415 6,736 7,073 7,427 7,798
Administrative Assistant 39-155 6,127 6,433 6,755 7,093 7,448 Senior Accounting Technician* 39-150 5,915 6,211 6,522 6,848 7,190 Senior Maintenance Worker 39-280 6,845 7,187 7,546 7,923 8,319 Maintenance Worker II 39-275 5,813 6,104 6,409 6,729 7,065 Maintenance Worker I 39-255 5,154 5,412 5,683 5,967 6,265 Maintenance Assistant 39-131 4,283 4,497 4,722 4,958 5,206 Accounting Technician 39-145 5,280 5,544 5,821 6,112 6,418 Office Assistant II 39-135 4,886 5,130 5,387 5,656 5,939 Office Assistant I 39-130 4,283 4,497 4,722 4,958 5,206 Recreation Leader III 39-165 3,516 3,692 3,877 4,071 4,275 Recreation Leader II 39-140 3,197 3,357 3,525 3,701 3,886 Recreation Leader I 39-115 2,829 2,970 3,119 3,275 3,439 *Approved Classifications, unbudgeted
Part-Time Pay Cd/Range
Building Attendant I 890/012 16.23 17.04 17.89 18.78 19.72 Building Attendant II 890/015 18.80 19.74 20.73 21.77 22.86 Building Attendant III 890/018 22.84 23.98 25.18 26.44 27.76 Maintenance Assistant 890/015 18.80 19.74 20.73 21.77 22.86 Intern 02-100 21.83 22.92 24.07 25.27 26.53
City Council One Step $955.00 Stipend per month (plus an additional $100.00 Auto Allowance) Steps
Monthly Salary Ranges (e)
FY 2023-24 RATES Hourly Wage Steps
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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Lisa Lopez Rossi, Administrative Services Director TITLE: PROPOSED CLASSIFICATION AND COMPENSATION CHANGES ________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing changes to certain job classifications and salary schedules as follows:
1) Create a new classification titled Public Works Supervisor. 2) Reclassify the City Engineer position to Public Works Supervisor. 3) Reclassify one Senior Maintenance Worker position to Public Works Supervisor FISCAL IMPACT:

The City Engineer classification has a higher salary than the Public Works Supervisor Position, which is higher than the Senior Maintenance Worker Classification. By reclassifying two positions to PWS, the result is a net savings of $62,304. The table below outlines the estimated fiscal impact for the cost impact (including benefits) for FY 2023-24:

STRATEGIC ELEMENTS:

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

Action Original
Position Cost New Position Cost Net Impact for FY 2023-24 Reclassification of City
Engineer to PW Supervisor $239,490 $167,335 ($72,155)
Reclassification of one Senior
Maintenance Worker to PW
Supervisor
$157,484 $167,335 $9,851
Total Cost / (Savings) $396,974 $334,670 (62,304)
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BACKGROUND:

The City is legally mandated to have a City Engineer on staff to ensure standards for public health, safety, and welfare are met. With the recent promotion of the City Engineer to Public Works Director, it is currently unnecessary to have a separate City Engineer position in the Public Works Department. Some of the duties previously held by the City Engineer remain as needs in the department, including oversight of capital improvement projects, supervising contractors, inspecting construction projects, and providing recommendations concerning process changes.

In the beginning of January 2023, the Public Works Director worked with Human Resources to review staffing of the Engineering and Maintenance Divisions within Public Works to understand how staff could be better utilized. After careful evaluation of the work required by the City and work being performed by incumbents, it was recommended the City create a Public Works Supervisor classification. The Public Works Supervisor would provide the needed level of knowledge, expertise, and experience to oversee the tasks in the Engineering and Maintenance divisions.

DISCUSSION:

The new Public Works Supervisor is an exempt classification placed within the Represented Management Team labor group. Staff is recommending the reclassification of the City Engineer position and one Senior Maintenance Worker to Public Works Supervisor. Staff believes the creation of the additional classification and subsequent restructuring of the Engineering and Facilities Maintenance Divisions will promote a more productive and efficient Public Works team to serve the current needs of the community. Staff recommends approval of the new classification.

The proposed salary of the new classification is $8,578 - $10,427 monthly. The job specification has been drafted and is attached. The current City Engineer position would then be reclassified and that newly reclassified position would be filled by recruitment, which would result in cost savings of approximately $72,155 in FY 2023-24. In addition, one Senior Maintenance Worker incumbent would be reclassified beginning July 1, which would result in an additional cost of approximately $9,851 in FY 2023-24. The net impact for these changes would be a savings of $62,304, with no change to the total number of FTE, all of which is reflected in the City’s Recommended Operating Budget for FY 2023-24.

ATTACHMENT:

Resolution, including Public Works Supervisor job classification 128
Resolution No. C‐2023A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING

CLASSIFICATION AND SALARY SCHEDULE CHANGES
WHEREAS, Chapter 2.50 of the Half Moon Bay Municipal Code establishes a personnel system and procedures for the administration of personnel matters; and WHEREAS, said Chapter requires that the City Manager, as Personnel Officer, prepare and recommend to the City Council a position classification plan, class specifications, and revisions thereto; and
WHEREAS, said Chapter requires that personnel rules and policies be adopted by resolution of the City Council; and
WHEREAS, Public Works Management, with assistance from Human Resources, examined the needs of the Engineering and Facilities Maintenance Divisions and the responsibilities being performed by incumbent staff; and WHEREAS, Human Resources completed an analysis and recommended creation of a Public Works Supervisor classification and compensation, and defunding of the City Engineer position to address the revised responsibilities being performed by the incumbent; and NOW, THEREFORE, BE IT RESOLVED THAT the Classification Plan is hereby amended by establishing the Public Works Supervisor classification; the City Council of Half Moon Bay approves the classification specifications set forth in Exhibits attached hereto and incorporated herein by this reference; and the salary schedule shall be established as follows:

Public Works Supervisor
***************************************************************** I, the undersigned, hereby certify that the forgoing Resolution was duly passed and adopted on the 20th day of June, 2023 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 Deborah Penrose, Mayor
Monthly 8,578 9,007 9,457 9,930 10,427
129

CITY OF HALF MOON BAY
Job Specification
Class Title: Public Works Supervisor
Status: Exempt
Department: Public Works
Reports to: Public Works Director or Designee
Employee Group: Represented Management
Adopted by City Council/Resolution Number:

DEFINITION
Under general direction, the Public Works Supervisor works with, coordinates, and directs the work of staff and/or contractors in connection with the construction, maintenance, installation, operation and repair of City property, facilities, and equipment. Employees in this classification may be assigned to supervise staff in the maintenance or capital improvement group/division/unit. Responsibilities may vary according to work assignment.

SUPERVISION RECEIVED/EXERCISED
Receives general direction from the Public Works Director, their designee, or another higherlevel classification within the City. Exercises general supervision over assigned staff.

DISTINGUISHING CHARACTERISTICS
Work in the class is distinguished from that of lower-level classes by the level of responsibility assumed and the complexity of duties assigned. Employees perform the most difficult and responsible types of duties, including assigning work and providing lead direction.

ESSENTIAL AND IMPORTANT DUTIES
• Works with, schedules, coordinates, and directs the work of assigned staff; provides technical assistance to assigned staff; inspects work in progress and completed work of assigned employees and contractors for accuracy, proper work methods and techniques, and compliance with applicable standards and specifications. • Monitors operations and activities of the work unit; identifies opportunities for improving service delivery methods and procedures; provides recommendations concerning process changes; reviews with appropriate management staff; implements improvements.
• Consults with, coordinates and monitors the work of contractors, including examination and evaluation of construction and maintenance work for conformance with established standards; observes work in various stages of progress to ensure compliance. 130
• Performs onsite construction inspection duties for capital projects. • Trains staff in work and safety procedures and in the operation and use of equipment and supplies; implements procedures and standards and ensures adherence to and application of established safe work practices and procedures. • Assists assigned staff with and/or performs the more difficult or unusually complex assignments; troubleshoots and resolves issues to ensure successful completion of work assignments.
• Provides information and technical assistance; responds to, investigates, and resolves complaints and service requests; determines corrective action and assigns appropriate personnel and equipment.
• Supervises the use and operation of tools, equipment, and vehicles; ensures that tools, equipment, and vehicles are safely operated, maintained, and secured when not in use; schedules the service, repair, and replacement of tools and equipment; maintains equipment records.
• Coordinates activities with other City departments, divisions, and work units and with other agencies, contractors, and consultants; may participate in and coordinate the selection of contractors and consultants.
• Supervises and mentors staff; coordinates staff training opportunities and development. • Keeps supervisor informed of field staff, work assignments, issues, or concerns. • Responds to emergency situations as necessary.
• Performs other related duties as assigned.

QUALIFICATIONS
Education and Experience:

Any combination of education and experience that would likely provide the required knowledge, skills, and abilities is qualifying. A typical way to obtain the qualification would be:

Experience: Seven years of progressively responsible experience in public works maintenance or in the maintenance/construction trades, including two years of lead or supervisory experience. Five years of progressively responsible experience as designated, in public works maintenance or in the maintenance/construction trades.

A college degree in construction management it equivalent can substitute up to two years of work experience.

Education: Completion of the twelfth grade or GED equivalent. Specialized coursework related to duty assignment is highly desirable and may include training in landscaping, arboriculture and grounds maintenance, traffic, and/or construction.

Licenses and Certifications: Possession of, or ability to obtain and maintain a valid California driver’s license. Possession of Certified Access Specialist (CASp), Backflow Prevention Assembly Tester, Combination Inspector Certificate, Certified Arborist is highly desirable. 131
Knowledge of:
• Principles and practices of employee supervision, including work planning, assignment review and evaluation, discipline, and the training of staff in work procedures. • Principles, practices, and regulatory requirements of municipal public works maintenance activities.
• Safety principles, practices, procedures, and equipment related to the work. • Applicable laws, codes, ordinances, policies, rules, and regulations; equipment, tools, materials, and work requirements associated with constructing and maintaining public works infrastructure and capital assets.
• Operation and maintenance of a variety of hand and power tools, vehicles, and power equipment.
• Techniques for providing a high level of customer service by effectively interacting with the public, vendors, contractors, and City staff.
• Computers and software programs to conduct, compile, and/or generate documentation.
• Work standards related to duty assignment which may include but are not limited to working with concrete, asphalt, grading, contouring, traffic signals and systems, traffic control devices, street signage and striping, sewer and storm drainage systems, building maintenance, painting, carpentry, landscaping, electrical/mechanical systems, automotive and mechanical repair, and other materials and equipment used in the construction, repair and maintenance of public works infrastructure and capital assets.

Ability to:
• Effectively plan, organize, and direct the activities of assigned areas; plan work schedules and monitor performance.
• Interpret and apply applicable procedural and safety requirements. • Coordinate and monitor the work of contractors.
• Estimate materials and work hours to perform a job.
• Operate specialized vehicular equipment and other related tools and equipment. • Establish and maintain accurate records.
• Communicate effectively.
• Learn and apply specialized training and maintain level of knowledge required for satisfactory job performance.
• Oversee the work of and provide training to assigned staff. • Supervise, train, and evaluate assigned staff.
• Independently organize work, set priorities, meet critical deadlines, and follow-up on assignments.
• Effectively use computer systems, software applications, and modern business equipment to perform a variety of work tasks.
• Communicate clearly and concisely, both orally and in writing. • Use tact, initiative, prudence, and independent judgment within general policy, procedural, and legal guidelines.
• Travel to various locations within and outside the City of Half Moon Bay. 132
• Establish, maintain, and foster positive and effective working relationships with those contacted in the course of work.

PHYSICAL DEMANDS
The physical demands described here are representative of those that must be met by an employee to successfully perform the essential functions of this job. Reasonable accommodations may be made to enable individuals with qualified disabilities to perform the essential functions. Employees in this class are required to use hands to manipulate, handle, feel, and operate objects, tools or controls, and reach with hands and arms. Employees in this classification are frequently required to walk, sit, climb, balance, stoop, kneel, crouch, crawl and smell. Specific vision abilities are required, including close vision, distance vision, color vision, peripheral vision, depth perception, and the ability to adjust focus. Employees in this classification must frequently lift and/or move up to 25 pounds and occasionally lift and/or move up to 100 pounds.

WORKING CONDITIONS
While performing the duties of this position, employees regularly work in outdoor weather conditions; exposed to wet and/or humid conditions. Employees in this classification are occasionally exposed to fumes and/or airborne particles, toxic and caustic chemicals. The noise level in the work environment is usually loud. Employees may be required to respond to afterhours emergency calls and work a varied schedule of hours including nights, holidays, and weekends, as required.

LICENSES, CERTIFICATES AND REGISTRATIONS
Possession of a valid Class C California Driver's License 133

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Mathew Chidester, City Manager
FROM: Lisa Lopez Rossi, Administrative Services Director Kenneth Stiles, Finance Manager
TITLE: CASELLE, INC. PROFESSIONAL SERVICES AGREEMENT
______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing the City Manager to execute a professional services agreement through June 30, 2024, with Caselle Inc. for Enterprise Resource Planning (ERP) software in the amount of $47,580.

FISCAL IMPACT:

The agreement has been included in the Recommended City Operating Budget for Fiscal Year 2023-24 as part of the Equipment Fund Budget. This budget is a part of the Internal Service Funds.

STRATEGIC ELEMENT:

This recommendation supports the Fiscal Sustainability Element of the Strategic Plan.

BACKGROUND:

The City has utilized contract services to support Administrative Services Department functions for many years. In alignment with the annual budget approval, agreements for these services are updated annually to ensure alignment with workload and economic conditions.

DISCUSSION:

Enterprise Resource Planning (ERP) refers to tools used to integrate an organization’s multiple functions to manage their resources more effectively to collect and organize data from multiple sources (e.g., purchasing, payroll, permits, etc.) into a centralized system that can be used to share information cross-departmentally and create standardized reports for the evaluation of operations and future service needs.

The City previously utilized Harris Computer Systems as its ERP system beginning in 1995 for core financial functions and payroll. While the City successfully used Harris for many years, the software was no longer meeting the City’s operational and reporting needs. 134

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In November 2017, the City entered into an agreement with Caselle Inc. to implement a new ERP system with more modern capabilities. The agreement included implementation and ongoing hosted maintenance and support. In February 2020, the new ERP system went live and operational. Since then, the department has been much more efficient in financial record keeping and reporting. The on-going maintenance costs of this software total $47,580 per year.

This agreement continues to serve the City well. The ERP System assists the department in recording and delivering timely financial information to other departments and Council.

ATTACHMENT:

Resolution
135
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT THROUGH JUNE 30, 2024 WITH CASELLE INC, FOR CITYWIDE ENTERPRISE RESOURCE PLANNING (ERP) ON-GOING SUPPORT AND MAINTENANCE IN AN AMOUNT OF $47,580 WHEREAS, the City is committed to using technology for maximum efficiency and productivity, and enhancing transparency and accountability; and WHEREAS, Caselle Inc has provided Enterprise Resource Planning (ERP) software-as-aservice, on-going maintenance, and support services to the City of Half Moon Bay since February 2020; and
WHEREAS, the Administrative Services Department had determined that these services are necessary to maintain timely financial recordkeeping, reporting and operational efficiency across citywide functions; and
WHEREAS, Caselle Inc. can continue providing such software at $3,965 per month, totaling $47,580 a year; and
WHEREAS, adequate funds are available in the City’s Recommended Operating Budget for FY 2023-24 for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the Professional Services Agreement with Caselle Inc. for ERP software-as-a-service, on-going maintenance, and support at a cost of $47,580 through June 30, 2024.
***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
136

BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: The Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: John Doughty, Assistant City Manager
Carlo Wei, Management Analyst
TITLE: AUTHORIZE THE CITY MANAGER TO WAIVE SPECIAL EVENT PERMIT FEES

FOR RESIDENTS WHO HOST BLOCK PARTIES ON NATIONAL NIGHT OUT RECOMMENDATION:

Adopt a resolution authorizing the City Manager to waive Special Event Permit Fees for residents who host block parties on National Night Out, an annual event to be held on August 1, 2023.

FISCAL IMPACT:

The Fiscal impact will vary based upon the number of block party applications received. The special event permit fee for a street closure is $224. The City is proposing to limit the number of block parties to 30. If 30 neighborhoods participate, the maximum financial impact would be $6,720 for 2023. To date, the City has never been oversubscribed for block/street closures.

STRATEGIC ELEMENT:

This action supports the Healthy Communities and Public Safety, and Inclusive Governance Elements of the Strategic Plan.

BACKGROUND/DISCUSSION:

National Night Out is a nationwide community building campaign held annually on the first Tuesday in August to encourage neighborhood unity, awareness, safety, and police-community partnerships. This year, the event will be held on August 1st and is intended to help connect neighbors and neighborhoods with each other. The event is also an opportunity to connect neighborhoods with local public safety staff including Sheriff Patrol Officers, other Sheriff staff, Fire District staff, the CARES team, and City staff and leadership.

In the past, neighborhoods have chosen various ways to celebrate, many of which are focused on private properties or public spaces like parks. Some neighbors choose to hold events as “Block Parties” which involve street closures, triggering a Special Event Permit and a $224 fee which may deter residents who wish to participate.
137
The City wishes to encourage residents and neighborhoods to participate in the event. Each year the City Council is asked to waive the fees in hopes that more residents/neighborhoods will be encouraged to participate.

ATTACHMENT:

Resolution
138
Resolution No. C-2023-____

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

CITY MANAGER TO WAIVE SPECIAL EVENT PERMIT FEES FOR RESIDENTS TO HOST BLOCK

PARTIES ON NATIONAL NIGHT OUT
WHEREAS, National Night Out is a nationally recognized event held on the first Tuesday of August every year that encourages police/community partnership, and neighbor-to-neighbor connections; and
WHEREAS, the City of Half Moon Bay would like to encourage residents to participate in National Night Out by hosting neighborhood block parties some of which may include street closures; and,
WHEREAS, the permit fees associated with hosting a block party could be cost prohibitive and limit the support and participation of the community; and WHEREAS, the City desires to waive the Special Events Permit Fees for the residents who host a block party on National Night Out to be held on August 1, 2023.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby approves and authorizes the City Manager to waive up to 30 Special Events Permit Fees for residents hosting a block party while participating in the 2023 National Night Out event. ***************************************************************** I, the undersigned, hereby certify that the foregoing resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
139

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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Karen Decker, Economic and Community Vitality Manager TITLE: ON-CALL PROFESSIONAL SERVICES AGREEMENT WITH WOOD CONSULTING

SERVICES
______________________________________________________________________________ RECOMMENDATION:

Adopt a resolution authorizing the City Manager to execute an on-call Professional Services Agreement with Wood Consulting Services for project support in the following areas including, but not limited to, economic and business development and Coastside Recovery Initiative project implementation, with a not-to-exceed amount of $80,000.

FISCAL IMPACT:

If approved, a contract amount not to exceed $80,000 which is included in the Recommended City Operating Budget for FY 2023-24.

STRATEGIC ELEMENT:

This recommendation supports all elements of the Strategic Plan.

BACKGROUND:

The Coastside Recovery Initiative (CRI) has secured over $6M in local, state, federal, and philanthropic funding toward economic recovery projects for the Coastside region. Since the final report and the 15 recommendions was completed and released last year, the County has approved a $2.5 million funding allocation to support the Opportunity Center of the Coastside (OCC) that will serve entrepreneurs, small businesses, and job seekers. The College of San Mateo will return to the Coast with a physical site this fall. A significant philanthropic institution has funded digital navigators and a full-time staff position at an innovative, local farming cooperative. Finally, an urban design firm has been selected and is launching the Downtown Streetscapes Master Plan project including extensive community engagement and conceptual design.

Wood Consulting Services has played an integral role in the evolution of CRI, the City’s ability to diversify its revenue streams, and tap into regional opportunities and relationships. The consultant’s work with City staff over the last three years has directly resulted in a significant return on investment, clearly adding value to the City’s efforts. Given the City Council’s annual 140

Page 2 of 3 ends

priority session in April at which economic development (CRI) was identified as a continuing priority, the consultant will continue to identify and support the City in applying for relevant funding opportunities and assist with implementation of City projects that support a more equitable, vibrant, and resilient Coastside economy.

DISCUSSION:

In close collaboration with City staff, in FY 2023-24 the consultant will support implementation of CRI and other City projects such as:
a. Opportunity Center of the Coastside (OCC). The consultant will take the lead on writing and issuing Requests for Proposals in the selection of the community-based organizations who will provide both job seeker services and the small business development support that has been funded by San Mateo County. The consultant will lead the formation and implementation of the business incubator that will be co-located at the OCC. Other examples of deliverables include leading the program evaluation for the cohort comprised of three economic advancement centers (SSF, Coastside, and North Fair Oaks).
b. Initiate assessment for community lending strategy. The consultant will work on the development of a community lending strategy for small businesses. This will include organizing conversations with City leadership and local lenders (Tri-County Bank and San Mateo Credit Union) to understand loan options and terms. It will also include engaging Community Capital Advisors to undertake an assessment of small business / borrower needs and designing appropriate options.
c. Support the City’s Community Development Team on short-term strategies to increase affordable housing opportunities. The consultant may be called upon as a community member facilitator, philanthropic liaison, grant writer, or strategist regarding existing and new housing projects.
d. Support efforts toward a broader vision of regenerative agriculture on the Coastside.

The consultant proposes to promote the benefits and increase awareness of regenerative food, farming, and land use as a fundamental solution to climate change that can lead to jobs, income, and more sustainable development. Initiate development of agritourism and ecotourism strategies to enhance the Coastside visitor experience.
e. Small business assistance. Research best practices, precedent, and recent changes in legislation to inform policy recommendations related to local businesses’ ability to provide mobile vendor services in a compliant manner (e.g., food trucks, refreshment carts).
f. Community Services Financial Assistance Program. The consultant will be on call to advise City staff on the technical assistance related to the emerging cohort model. 141

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The consultant may assist City staff with cohort agendas and meeting facilitation as well as evaluation activities.
g. Implementation funding. Actively explore potential funding opportunities to support implementation and work with City staff to determine if / when to pursue these opportunities.
h. Regional collaboration. Make strategic connections to regional organizations and networks that can support CRI implementation efforts, such as the Fresno-Merced Future of Food Innovation (F3) coalition, led by the Central Valley Community Foundation, federal, state and county government, academic institutions, and venture capital community.

If approved by Council, the attached Scope of Work and Fee Schedule will be incorporated into a Professional Services agreement for FY 2023-24, with a not-to-exceed amount of $80,000.

ATTACHMENTS:

1. Resolution

2. Scope of Work and Fee Schedule
142
RESOLUTION NO. C-2023-

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

THE CITY MANAGER TO EXECUTE AN ON-CALL PROFESSIONAL SERVICES AGREEMENT

WITH WOOD CONSULTING SERVICES FOR PROJECT SUPPORT IN THE FOLLOWING AREAS

INCLUDING, BUT NOT LIMITED TO, ECONOMIC AND BUSINESS DEVELOPMENT AND

COASTSIDE RECOVERY INITIATIVE PROJECT IMPLEMENTATION, WITH A NOT-TO-EXCEED AMOUNT OF $80,000
WHEREAS, COVID-19, wildfires, severe weather storms, and inflation have threatened residents, businesses, and industries on the Coastside, the need to diversify the local economy, generate more local jobs, and create conditions for a more equitable, vibrant, and resilient Coastside economy are essential; and
WHEREAS, on March 15, 2022, a final report entitled, “Building a More Equitable, Vibrant, and Resilient Coastside Economy,” inclusive of 15 recommendations, was completed and released to the public; and
WHEREAS, the City Council convened on April 19, 2023, and confirmed Economic Recovery and Development as a Council priority as part of the Fiscal Year 2023-24 Priority Setting Workshop; and
WHEREAS, the Coastside Recovery Initiative (CRI) has secured over $6M in local, state, federal, and philanthropic funding toward economic recovery projects for the Coastside region; and
WHEREAS, Wood Consulting Services has played an integral role in the evolution of CRI and the City’s ability to diversify its revenue streams by aligning funding opportunities with “shovel-ready” projects; and
WHEREAS, further consultation and support is required to support the implementation of CRI and other city projects.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute a Professional Services Agreement with Wood Consulting Services for project support in the following areas including, but not limited to, economic and business development and Coastside Recovery Initiative project implementation, with a not-to-exceed amount of $80,000.
143
***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
144
Scope of Work and Fee Schedule
The purpose of this document is to outline the scope of services for a new, on-call Professional Services Agreement (Agreement) between the City of Half Moon Bay (City) and Wood Consulting Services (Consultant).

A new Agreement with Wood Consulting Services would support multiple city projects including the implementation phase of the Coastside Recovery Initiative, assisting with incoming and outgoing grants administration, and efforts that support a more equitable, vibrant, and resilient Coastside economy.

Description of Services
a. Opportunity Center of the Coastside (OCC). The consultant will take the lead on writing and issuing Requests for Proposals in the selection of the community-based organizations who will provide both job seeker services and the small business development support that has been funded by San Mateo County. The consultant will lead the formation and implementation of the business incubator that will be co-located at the OCC. Other examples of deliverables include leading the program evaluation for the cohort comprised of three economic advancement centers (SSF, Coastside, and North Fair Oaks).
b. Initiate assessment for community lending strategy. The consultant will work on the development of a community lending strategy for small businesses. This will include organizing conversations with City leadership and local lenders (Tri-County Bank and San Mateo Credit Union) to understand loan options and terms. It will also include engaging Community Capital Advisors to undertake an assessment of small business / borrower needs and designing appropriate options.
c. Collaborate with City’s Community Development Team on short-term strategies to increase affordable housing opportunities. The consultant may be called upon as community member facilitator, philanthropic liaison, grant writer, or strategist regarding existing and new housing projects.
d. Support efforts toward a broader vision of regenerative agriculture on the Coastside and the launch of Rancho San Benito. The consultant proposes to promote the benefits and increase awareness of regenerative food, farming, and land use as a fundamental solution to climate change that can lead to jobs, income, and more 145
2 sustainable development. Initiate development of agritourism and ecotourism strategies to enhance the Coastside visitor experience. e. Research best practices, precedent, and recent changes in legislation to inform policy recommendations related to local businesses’ ability to provide mobile vendor services in a compliant manner (e.g., food trucks, refreshment carts). f. Community Services Financial Assistance Program. The consultant will be on call to advise City staff on the technical assistance related to the emerging cohort model.

The consultant may assist City staff with cohort agendas and meeting facilitation as well as evaluation activities.
g. Actively explore potential funding opportunities to support implementation and work with City staff to determine if / when to pursue these opportunities. h. Make strategic connections to regional organizations and networks that can support CRI implementation efforts, such as the Fresno-Merced Future of Food Innovation (F3) coalition, led by the Central Valley Community Foundation, federal, state and county government, academic institutions, and venture capital community.

Fee Schedule
Consultant agrees to track all hours worked on project and will invoice the City bi-weekly for work completed at an hourly rate of $170.00 per hour. Consultant and City staff agree that the total estimated cost for this project will not exceed $80,000 (or 470 total project hours). If project activities require additional time from the consultant beyond the project cap of $80,000, Consultant and City staff will negotiate terms for a contract amendment or new contract. Out of pocket expenses, such as mileage to meetings, meeting / office supplies, refreshments, venue rentals, AV, or technology needs (e.g., zoom license) will be discussed and approved by City staff in advance of purchase. Any approved out-of-pocket expenses incurred by Consultant will be included in weekly invoices.
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BUSINESS OF THE COUNCIL OF THE CITY OF HALF MOON BAY

AGENDA REPORT
For meeting of: June 20, 2023
TO: Honorable Mayor and City Council
VIA: Matthew Chidester, City Manager
FROM: Maz Bozorginia, Public Works Director/City Engineer TITLE: ANNUAL RENEWAL OF PUBLIC WORKS CONTRACTS
______________________________________________________________________________ RECOMMENDATION:

Adopt resolutions authorizing the City Manager to execute professional service agreements with:

1. 4Leaf, Inc. for Public Works Construction Inspection services in the amount of $191,000;

2. American Debris Box to provide portable toilet services Citywide in the amount of $85,000;

3. Impec Group for janitorial services in the amount of $217,020;

4. Loral Landscaping for median maintenance in the amount of $49,920;

5. Mark Thomas to provide operational assistance for the Fats Oils and Grease (FOG) program and CCTV inspections in the amount of $79,175;

7. V.W. Housen & Associates for engineering services related to sewers in the amount of $150,000; and

8. West Coast Arborists (WCA) to provide tree trimming and tree removal services in the amount of $150,000.

FISCAL IMPACT:

These contracts and amounts are included in the Recommended City Operating Budget for FY 2023-24 as part of the Public Works Operating Budget, Sewer Operating Budget, and Capital Budget.

STRATEGIC ELEMENT:

This recommendation supports the Infrastructure and Environment and Fiscal Sustainability Elements of the Strategic Plan.
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BACKGROUND:

The Public Works Department was established in FY 2017-18 through reorganization of the former Community Development Department and merger of the Public Works-Facilities Maintenance Division from the City Manager’s Office. While the City Council has provided resources to hire in-house staff, the workload exceeds what can be handled by those staff.

Some Department duties require specialized skills and/or equipment. Completion of Department duties is reliant upon a combination of qualified in-house staff and consultant/contractor support.

The Department is requesting approval of those contracts requiring City Council approval under the City’s Purchasing Policy. These contracts are listed under “Recommendation” and discussed in greater detail under “Discussion.”
DISCUSSION:

The mission of the Public Works Department is to promote safety, livability, and sustainability through effective management of streets, parks, facilities, and utilities. The department is responsible for the maintenance, replacement, and enhancement of City infrastructure as well as the development and implementation of the City’s Five-Year Capital Improvement Program (CIP). To accomplish these goals, the Department relies heavily on outside consultants and contractors with special skills or services. Below are additional details of the eight contracts staff is seek authorization for execution.
4Leaf
In July 2018, the City issued a request for proposals (RFP) for consultant services for management support of the Capital Improvement Program (CIP). Of the six proposals, 4Leaf was determined to be the best qualified candidate to support City staff on public works inspections of capital, development, and utility projects.

The current requested budget of $191,000 will primarily be funded through the Public Works Engineering operating budget. A small portion of the costs are recovered through fees collected from private development. The scope of work includes four (4) days of inspections per week.

This contract also supports the sewer operations and capital improvements on occasion and may be charged to enterprise or capital funds if the needed.

American Debris Box
The City provides several portable toilets throughout the City at Kelly Avenue, the Ocean Colony Trailhead, Poplar Beach, and Smith Field to supplement existing permanent facilities and to address locations which do not have permanent facilities. These units are necessary for residents and visitors alike. American Debris Box was chosen to provide portable toilet services following an RFP process in 2017.
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The current requested budget for the contract is $85,000 to be funded through the Public Works Maintenance budget. This reflects the costs of maintaining the City’s current level of service and accounts for the likely increase in service needed to respond to increased beach traffic throughout the City, increased fuel costs, and additional services as needed. Executing the recommended contract will keep the current services in place while increasing both the number of units during the busy summer months as well as frequency of cleaning of the portable toilets. If additional funds are needed for this contract, staff will return to the City Council with a request to amend the contract.

Impec Group
Following solicitation via a Request for Proposals (RFP) process, the City contracted with Impec Group (Impec) in 2018 to provide janitorial services. To ensure due diligence, the City issued another RFP for janitorial services in March 2021, where Impec was ultimately chosen as the preferred firm due to their detailed implementation and execution plan and their history of performance in Half Moon Bay.

The requested budget for the contract is $217,020 and will be paid out of the Public Works Maintenance budget. This represents a 4.2% increase in cost over the previous year and reflects increases in the Consumer Price Index (CPI) and inflation levels. The scope includes routine maintenance of all the City’s buildings and daily cleaning of the City’s public restrooms.

Loral Landscaping
The City first contracted with Loral Landscaping in 2019 to maintain the City’s medians located along Highway 1 and Highway 92. New medians were added in FY 2022-23 as a result of the Highway 1 South project.

The requested budget for the contract is $49,920 and will be funded through the Public Works Maintenance budget. The scope includes weed removal and general cleaning of all Highway 1 and 92 medians.

Mark Thomas Company (MTCo)—Sewer Support
The City first entered into contract with MTCo in 2018 to provide administrative and inspection support to the of the City’s Fats Oils and Grease (FOG) program, provide CCTV inspection services, provide QA/QC of SAM sewer line cleaning, and provide monthly/quarterly inspections of the City’s three pump stations. The consultant work has been effective in significantly reducing Sanitary Sewer Overflows (SSOs) in the City system. Additionally, MTCo allows the City to schedule regular CCTV inspection of the system to identify needed repairs and I&I concerns.

City staff is recommending a significant reduction in the services provided by the consultant.

Their success along with improvements in services by SAM over the last several years offers the opportunity to reduce costs. The current requested budget for the contract is $79,175 and will be paid out of the City Sewer Fund. The budget reflects a decrease of approximately 55% over 149

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FY 2022-23, due to the elimination of QA/QC for cleaning of “Hot Spots”, as well as the elimination of pump station inspections.

Peninsula Municipal Engineering, Inc. (PME)
The City contracted with PME in 2017 to fill a need in the Engineering and Capital Projects Division, with an emphasis on managing complex, grant-funded transportation projects that required Caltrans permitting. Since coming on board, PME has supported the engineering division on transportation and traffic projects and have been instrumental in obtaining grant funding for projects such as the Eastside Parallel Trail project and Highway 1 North. Currently, PME is serving as project manager for the Highway 1 Safety – North (0538) and the Eastside Parallel Trail Expansion (0619).

The current proposed contract is for $245,000 and includes project management costs for the Pacific Coast Bikeway North (aka: Eastside Parallel Trail Segment 4) and the Highway 1 Safety and Operational Improvements – North projects. The contract allocates $245,000, equating to approximately 20 hours per week for project management of the referenced projects. Both projects are grant funded and the cost of this contract is reimbursable by those funds allocated to the projects.

V.W. Housen & Associates
The City entered into a professional services agreement with V.W. Housen & Associates in 2016 to provide engineering and technical services in support of the City sewer collection system and the SAM system. Vivian Housen has over 25 years of experience in planning, design, and management of water and wastewater infrastructure systems. Ms. Housen and her staff have been serving as the City’s Sewer Engineer and have been integral in developing and implementing the City’s sewer programs and projects. Ms. Housen has extensive knowledge of the City’s collection system as well as the sewer treatment plant and collection systems of the other member agencies of the Joint Powers Authority (JPA). The City has benefited greatly from Ms. Housen’s service and are seeking to retain her firm’s services.

Staff is seeking approval of Amendment No. 6 to the original professional services agreement contract which would extend the contract to June 30, 2024, decreasing the amount slightly to $150,000 and make minor adjustments to the scope of work to reflect anticipated needs this coming fiscal year. The scope of work for FY 2023-24 will include completion of the Sewer Master Plan update, maintenance of the hydraulic model, assistance with capital projects/capital maintenance, and other design/consultant services. This work is funded through the Sewer fund and is billed on a time and material basis and not to exceed the total allocation.

West Coast Arborists
One of Public Works’ operational responsibilities include monitoring and maintaining the trees throughout the City. The City circulated an RFP for tree services in 2017 and West Coast Arborists (WCA) was selected as the contractor for these services. WCA has provided an in150

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depth tree inventory database for City staff as part of their initial contract which is still in use, and WCA has provided excellent service and response time to the community. WCA regularly updates the City tree inventory in conjunction with trimming or tree removal. Staff is recommending executing an annual contract with West Coast Arborists to provide on-call services include tree trimming, tree removal, and tree assessments. This is considered an essential service and must be provided every year.

The requested budget for the contract is $150,000 and will be paid out of the Urban Forest Management Program (0598) of the Capital Improvement Program. The budget is needed to address much of the deferred “regular” maintenance that was preempted by the winter storms of 2023-24.

ATTACHMENTS:
1) Resolution for 4Leaf, Inc.
2) Resolution for American Debris Box
3) Resolution for Impec Group
4) Resolution for Loral Landscaping
5) Resolution for Mark Thomas;
6) Resolution for Peninsula Municipal Engineering, Inc. (PME) 7) Resolution for V.W. Housen & Associates
8) Resolution for West Coast Arborists (WCA)
151
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE THE PROFESSIONAL SERVICES AGREEMENT THROUGH JUNE 30, 2024 WITH 4LEAF, INC. PUBLIC WORKS INSPECTION SERVICES IN AN AMOUNT OF $191,000
WHEREAS, 4LEAF, Inc. (4Leaf) has provided building inspection services and building plan check services for four years during which their contact staff have gained extensive knowledge about the City and provided for all of the City’s building plan check and inspection services; and WHEREAS, the Community Development Director has determined that continuation of current service levels along with additional scope and budget for the building official to provide over-the-counter permit services; and
WHEREAS, 4Leaf provided a scope of work, budget, and an hourly rate schedule for a new one-year agreement totaling $191,000 for the needed Public Works Inspection services; and WHEREAS, adequate funds are available in the City’s proposed FY 2023-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the Professional Services Agreement with 4LEAF, Inc. for Public Works Inspection services in the amount of $191,000 through June 30, 2024. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
152
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT

WITH AMERICAN DEBRIS BOX TO PROVIDE PORTABLE TOILET SERVICES IN THE AMOUNT OF $85,000
WHEREAS, the City of Half Moon Bay Public Works provides several portable toilets in areas throughout the City at Kelly Avenue, Trailhead, Poplar Beach, and Smith Field; and WHEREAS, the City circulated a request for proposals for sanitation services for these portable toilets in 2017 and American Debris Box was selected as the contractor for these services; and
WHEREAS, the City, as a tourist destination, portable toilets are an essential part of the City’s operations; and
WHEREAS, adequate funds are available in the City’s proposed FY 2023-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the Professional Services Agreement with American Debris Box for sanitation services for portable toilets in the amount of $85,000. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
153
RESOLUTION NO. C-2023-____

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

AUTHORIZING THE INTERIM CITY MANAGER TO EXECUTE THE SECOND AMENDMENT TO THE PROFESSIONAL SERVICES AGREEMENT WITH IMPEC GROUP, INC. FOR JANITORIAL

MAINTENANCE SERVICES
WHEREAS, the City approved a professional services agreement with Impec Group, Inc. (Impec) on July 1, 2021 for janitorial maintenance services after a Request for Proposals process; and
WHEREAS, The City previously amended the professional services agreement with Impec Group, Inc. (Impec) on July 1, 2022 for an additional year of service; and WHEREAS, the City has negotiated with Impec Group, Inc. and determined that a 4.2% increase is warranted due to increased costs due to inflation and a high Consumer Price Index (CPI); and
WHEREAS, the City has been pleased with the high level of service that Impec has provided; and
WHEREAS, the City believes it is in the City’s best financial and overall interest to amend the Professional Services Agreement allowing Impec to conduct all the City’s janitorial work for one year.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby: 1) Authorizes the City Manager to execute the second amendment to the professional service agreement with Impec Group, Inc. for an additional cost of $18,085 per month, for a total contract value of $217,020 for FY 23-24.
***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 by the City Council of Half Moon Bay by the following vote:

AYES, Councilmembers:

NOES, Councilmembers:

ABSENT, Councilmembers:

ATTEST: APPROVED:
__________________________ _____________________________ 154
Jessica Blair, City Clerk Deborah Penrose, Mayor
155
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT

WITH LORAL LANDSCAPING FOR MEDIAN MAINTENANCE SERVICES
IN THE AMOUNT OF $49,920
WHEREAS, the City of Half Moon Bay Public Works Department provides median maintenance as an ongoing essential service that must be performed annually; and WHEREAS, the City recently added new median locations as a result of the Highway 1 South construction project; and
WHEREAS, Loral Landscaping has provided an excellent level of service and response time to requests for service; and
WHEREAS, adequate funds are available in the City’s proposed FY 23-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the Professional Services Agreement with West Coast Arborists for tree trimming and tree removal services in the amount of $49,920. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
156
RESOLUTION NO. C-2023-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 5

TO THE PROFESSIONAL SERVICES AGREEMENT WITH THE MARK THOMAS COMPANY

FOR FAT, OIL AND GREASE INSPECTIONS AND CLOSED-CIRCUIT TELEVISION SERVICES RELATED

TO THE SEWER COLLECTION SYSTEM
WHEREAS, the City Council entered into a professional services agreement with Mark Thomas Company (MTCo) on July 1, 2018 to provide oversight of the sewer collection system cleaning and maintenance; and
WHEREAS, the contract has been amended four previous times to reflect revised scope of work and costs; and
WHEREAS, staff has met with MTCo representatives to discuss possible revisions to the scope of services entering this fiscal year; and
WHEREAS, MTCo is willing to continue administrative and inspection support for the City’s Fats Oils and Grease (FOG) program and provide CCTV inspection services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute Amendment No. 5 to the Professional Services Agreement with Mark Thomas Company extending the expiration date to June 30, 2024 at cost of $79,175 for FY 2023-24.
***************************************************************** I, the undersigned, hereby certify that the foregoing resolution was duly passed and adopted on the 20th day of June, 2023 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 Deborah Penrose, Mayor
157
RESOLUTION NO. C-2023-___

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 11 TO THE PROFESSIONAL SERVICE AGREEMENT WITH PENINSULA MUNICIPAL ENGINEERING, INC. FOR PROJECT MANAGEMENT SERVICES FOR PACIFIC COAST BIKEWAY NORTH aka EASTSIDE PARALLEL TRAIL SEGMENT 4 (0619) AND THE HIGHWAY 1 SAFETY AND OPERATIONAL IMPROVEMENTS – NORTH (0538) PROJECTS IN AN AMOUNT OF $245,000
WHEREAS, the City of Half Moon Bay entered into contract with Peninsula Municipal engineering, INC. (PME), in 2017 to manage complex, grant-funded transportation projects that required Caltrans permitting; and
WHEREAS, PME has supported the engineering division on transportation and traffic projects and have been instrumental in obtaining grant funding to catch up on years of deferred maintenance and capital projects; and
WHEREAS, PME has been instrumental in obtaining significant grant funding for the Pacific Coast Bikeway North/Eastside Parallel Trail Expansion (0619) and the Highway 1 Safety – North (0538) projects; and
WHEREAS, PME provided a scope of work, budget, and an hourly rate schedule to provide project management for these projects totaling $245,000; and WHEREAS, the cost of this contract is reimbursable by grant funding and not City General Funds.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute Amendment 11 to Professional Services Agreement with Peninsula Municipal Engineering, Inc. for project management services for the Pacific Coast Bikeway North aka Eastside Parallel Trail Expansion (0619) and the Highway 1 Safety – North (0538) projects in an amount of $245,000.
***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
158
RESOLUTION NO. C-2023-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HALF MOON BAY AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT NO. 6 TO THE PROFESSIONAL SERVICES AGREEMENT WITH V.W. HOUSEN & ASSOCIATES
WHEREAS, the City entered into contract with V.W. Housen & Associates on July 13, 2014 for engineering services related to sewers; and
WHEREAS, the City renewed this contract on January 1, 2016 for three (3) years; and WHEREAS, in January 2017 the City requested that V.W. Housen & Associates provide increased support due to emerging critical projects and issues; and WHEREAS, the City Council has agreed to maintain a relationship with the firm and has approved extensions of time and funding through FY 2021-22; and WHEREAS, the given her unique and extensive knowledge of the City sewer system, the hydraulic model and SAM, the City agreed to continue to utilize the services of V.W. Housen and Associates in FY 2022-23; and
WHEREAS, the city requires the services related to the Sewer Master Plan update, maintenance of the hydraulic model, assistance with capital projects/capital maintenance, and other design/consultant services as needed.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute Amendment No. 6 to the Professional Services Agreement with V.W. Housen & Associates extending the expiration date to June 30, 2024 and amending scope of services at a cost of $150,000 in FY 2023-24. ***************************************************************** I, the undersigned, hereby certify that the foregoing resolution was duly passed and adopted on the 20th day of June, 2023 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 Deborah Penrose, Mayor
159
RESOLUTION NO. C-2023-___

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

AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT

WITH WEST COAST ARBORISTS FOR TREE TRIMMING AND TREE REMOVAL SERVICES IN THE AMOUNT OF $150,000
WHEREAS, the City of Half Moon Bay Public Works department provides tree monitoring and maintenance as an essential service that must be performed annually; WHEREAS, the City circulated a request for proposals for tree services and West Coast Arborists (WCA) was selected as the contractor for these services; and WHEREAS, WCA has provided an excellent level of service and response time to requests for service; and
WHEREAS, as part of their contract with the City, WCA maintains a proprietary tree management database for Half Moon Bay that has proven to be an invaluable tool especially during the winter storms of last winter; and
WHEREAS, adequate funds are available in the City’s proposed FY 23-24 budget for these services.

NOW, THEREFORE, BE IT RESOLVED THAT the City Council of the City of Half Moon Bay hereby authorizes the City Manager to execute the Professional Services Agreement with West Coast Arborists for tree trimming and tree removal services in the amount of $150,000. ***************************************************************** I, the undersigned, hereby certify that the foregoing Resolution was duly passed and adopted on the 20th day of June 2023 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 Deborah Penrose, Mayor
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Half Moon Bay City CouncilJune 20, 2023

Half Moon Bay City Council
June 20, 2023