Hanford City Council
July 2, 2024

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 07-02: South Gate Addition, Greenbrier Gardens, and Live Oak North The parcels assessed in this District (totaling 129 lots) include, but are not limited to Tracts 811, 876, and 902. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 29,440 square feet of designated landscape improvement area. These improvements are maintained at Service L evel A. The assessments for this District also fund in whole or in part, the thirteen (13) street lights identified within the District boundaries.

District 09-01: Victory Estates
The parcels assessed in this District (totaling 14 lots) include but are not limited to Tract 877. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 7,077 square feet of designated landscape improvement area. These improvements are maintained at Service Level A. The assessments for this District also fund, in whole or in part, the two (2) street lights identified within the District boundaries.

District 09-02: Independence Units 1 and 2
The parcels assessed in this District (totaling 121 lots) include but are not limited to Tract 843.

The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 56,252 square feet of designated landscape improvement area. These improvements are maintained at Service L evel B including the 20,558 square feet of park area. The assessments for this District also fund, in whole or in part, the eighteen (18) street lights identified within the District boundaries.

District 14-01: Independence Units 3 and 4
The parcels assessed in this District (totaling 175 lots) include but are not limited to Tract 843.

The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 76,555 square feet of designated landscape improvement area. These improvements are maintained at Service L evel A. The assessments for this District also fund, in whole or in part, the twenty-nine ( 29) street lights identified within the District boundaries.

District 15-01: Silver Oaks Addition III Units 1 and 2, Lennar Homes Units 1 and 2, and Lennar Homes
The parcels assessed in this District (totaling 468 lots) include, but are not limited to Tracts 887, 887-2, 922, and 927. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 412,396 square feet of designated landscape improvement area. These improvements are maintained at Service Level A. The assessments for this District also fund in whole or in part, the ninety-four (94) street lights identified within the District boundaries.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 15-02: The Greens II
The parcels assessed in this District (totaling 34 lots) include but are not limited to Tract 823. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 16,416 square feet of designated landscape improvement area. These improvements are maintained at Service L evel B. The assessments for this District also fund, in whole or in part, the eight (8) street lights identified within the District boundaries.

District 16-01: Woodside Homes
The parcels assessed in this District (totaling 60 lots) include but are not limited to Tract 917. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 25,206 square feet of designated landscape improvement area. These improvements are maintained at Service L evel A. The assessments for this District also fund, in whole or in part, the nineteen (19) street lights identified within the District boundaries.

District 16-02: Mynderup Units 1 and 2
The parcels assessed in this District (totaling 113 lots) include but are not limited to Tracts 914 and 914-2. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 31,363 square feet of designated landscape improvement area. These improvements are maintained at Service Level C. The assessments for this District also fund in whole or in part, the sixteen (16) street lights identified within the District boundaries.

District 18-01: Bella Vista Units 1 through 4
The parcels assessed in this District (totaling 267 lots) include but are not limited to Tracts 918 and 919. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 185,001 square feet of designated landscape improvement area. These improvements are maintained at Service Level A. The assessments for this District also fund in whole or in part, the fifty-four (54) street lights identified within the District boundaries.

District 19-01: Pacific Grove Addition II
The parcels assessed in this District (totaling 22 lots) include but are not limited to Tract 916. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 13,128 square feet of designated landscape improvement area. These improvements are maintained at Service L evel A. The assessments for this District also fund, in whole or in part, the eight (8) street lights identified within the District boundaries.

District 19-02: The Enclave
The parcels assessed in this District (totaling 66 lots) include but are not limited to Tract 915. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 16,466 square feet of designated landscape improvement area. These improvements are maintained at Service Level A.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 20-01: Woodside Homes
The parcels assessed in this District (totaling 81 lots) include but are not limited to Tract 928. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 143,413 square feet of designated landscape improvement area. These improvements are maintained at Service Level A. The assessments for this District also fund, in whole or in part, the twenty-four ( 24) street lights identified within the District boundaries.

District 21-01: San Joaquin Valley Homes
The parcels assessed in this District (totaling 52 lots) include but are not limited to Tract 929. The properties within this District proportionately share and receive special benefit from the maintenance, servicing, and operation of an estimated 134,540 square feet of designated landscape improvement area. These improvements are maintained at Service Level A. The assessments for this District also fund, in whole or in part, the twenty-three ( 23) street lights identified within the District boundaries.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Part II - Method of Apportionment
Legislative Requirements for Assessments
The estimated costs to provide the proposed improvements for fiscal year 2024/2025 have been identified and allocated to properties within the Districts based on special benefit, consistent with the requirements of the 1972 Act and the assessment provisions of Proposition 218 (being contained in Article XIII D of the California Constitution). The improvements provided by th ese Districts and for which properties are assessed include local parks, basins, landscaping, and lighting improvements, as well as related amenities . The formula s used for calculating assessments within the designated Districts herein reflect the composition of parcels and the improvements and services to be provided and fairly apportion the cost of providing those improvements based on a determination of the proportional special benefits to each parcel.

Provisions of the 1972 Act
The 1972 Act permits the establishment of assessment districts by agencies for the purpose of providing certain public improvements, including the acquisition, construction, installation and servicing of landscape improvements and related facilities. The 1972 Act requires that the cost of these improvements be levied according to benefit rather than assessed value.

Section 22573 defines the net amount to be assessed as follows:
“The net amount to be assessed upon lands within an assessment district may be apportioned by any formula or method which fairly distributes the net amount among all assessable lots or parcels in proportion to the estimated benefits to be received by each such lot or parcel from the improvements.”
Provisions of the California Constitution
In addition to the provisions of the 1972 Act, the Article XIII D of the California Constitution outlines specific requirements regarding assessments including the following:

Article XIII D Section 2d defines District as follows:
“District” means an area determined by an agency to contain all parcels which will receive a special benefit from a proposed public improvement or property-related service;” Article XIII D Section 2i defines Special Benefit as follows:
“Special benefit ” means a particular and distinct benefit over and above general benefits conferred on real property located in the district or to the public at large. General enhancement of property value does not constitute “special benefit.” Article XIII D Section 4a defines proportional special benefit assessments as follows:
“An agency which proposes to levy an assessment shall identify all parcels which will have a special benefit conferred upon them and upon which an assessment will be imposed. The proportionate special benefit derived by each identified parcel shall be deter mined in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the property related service being provided. No assessment shall be imposed on any parcel which exceeds the reasonable cost of the proportional special benefit conferred on that parcel.”

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Benefit Analysis
Special Benefits
Landscaping Special Benefit
The ongoing maintenance of landscaped areas within the various Districts addressed in this Report provides aesthetic benefits to the properties and a more pleasant environment to walk, drive, live , and/or work. The primary function of these landscape improvements and related amenities is to serve as an aesthetically pleasing enhancement and green space for the benefit of the immediately surrounding properties and developments for which the improvements were constructed and installed and/or were facilitated by the development or potential development of properties within each respective District. These landscape improvements are an integral part of the physical environment associated with the parcels in each District and while some of the improvements may in part be visible to properties outside the District, collectively if the District improvements are not properly maintained, it is the parcels within the District that would be aesthetically burdened. Additionally, many of the landscaped areas being maintain ed in these Districts serve as both a physical buffer as well as a sound reduction buffer between the roadways and/or railroad and the properties within the District , and also serve as a pleasant aesthetic amenity that enhances the approach to the parcels. In some Districts, the landscaped areas may include green space areas (neighborhood parks, park/basins, greenbelts, open space and/or trails) that may provide a physical buffer between properties, overall open space within a development, and/or recreational areas that serve as an extension of the physical attributes of the parcels being assessed. Thus, the maintenance of these landscape improvements and the related amenities provide particular and distinct benefit s to the properties and developments associated with those improvements within each District.

Street Lighting Special Benefit
The street lighting (localized street lighting) is primarily useful for illuminating the sidewalks and parking lanes on the streets used specifically to access the properties and/or is adjacent to those properties that comprise each particular District. This lighting is distinct from lights that may be installed that serve in large part to enhance traffic safety, such as traffic signals and intersection safety lights or the more sporadic lighting found on major thoroughfares outside the more concentrated development areas. These localized street lights tend to be more closely spaced and of a lower intensity than street lights installed primarily for traffic safety. These low -level, lower-intensity street lights within a designated District provide three main special benefits: (i) property security benefit, (ii) pedestrian safety benefit, and (iii) parkway/roadway egress benefit.

Because traffic to and from these parcels is largely limited to the residents and residents’ guests, it is reasonable to assume that essentially all pedestrians and parking vehicles in the lit areas will, after dark, be directly associated with the properties in th at District and that the vehicular traffic on those streets is primarily for accessing the properties within that area. Therefore, street lighting on such streets is entirely a special benefit to those properties.

In addition, the street lights for which properties within the District s may be assessed, are consistent with the City’s typical intensity and spacing standards for areas zoned for residential development and each parcel to be assessed is served directly by the system of street lights providing appropriate lighting within these respective development areas. Furthermore, the cost of maintaining and operating each light is substantially the same, regardless of its location within the District. Consequently, w e conclude that each parcel to be assessed for street lighting receives substantially similar benefit from the street light improvements and the only notable distinctions in proportional special benefit to each parcel is related to the specific quantity of lights associated with each District.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

General Benefit
Landscaping General Benefit
In reviewing the location and extent of the specific landscaped areas and improvements to be funded by each District’s assessments and the proximity and relationship to properties to be assessed in each District, it is evident these improvements were primarily installed in connection with the development of properties therein or are improvements that would otherwise be shared by and required for development of properties in each respective District. It is also evident that the maintenance of these improvements and the level of maintenance provided has a direct and particular impact (special benefit) only on those properties in proximity to those improvements .

Furthermore, such maintenance beyond that which is required to ensure the safety and protection of the general public and property in general, has no quantifiable benefit to the public at large or properties outside each respective District.

In the absence of a special funding district, the City would typically provide only limited (as needed) tree management, weed abatement, rodent control, and erosion control services for the landscape areas currently maintained within each District. This baseline level of service would typically provide for periodic servicing of the improvement areas on an as -needed basis, but typically not more than twice annually. This baseline level of service provides for public safety and essential property protection to avoid negative impacts on adjacent roadways and vehicles traveling on those roadways and potential property damage resulting from erosion or fire hazards but results in a far less visually pleasing environment than is created with the enhanced levels of services associated with the regular landscape maintenance provided in the various Districts. For most agencies, the cost to provide this baseline level of service for mostly flat or moderately- sloped street landscaped areas (landscaping within the street right-of way) is less than $560 per acre (approximately $0.01285 per square foot) including medians, parkway and streetscape side panels; less than $448 per acre (approximately $0.01028 per square foot) for non -street public areas such as parks, park/basins, greenbelts, and trail areas; and less than $ 224 per acre (approximately $0.00514 per square foot) for natural open space areas or other limited access areas such as enclosed basin areas . This baseline servicing, unlike the enhanced aesthetic services funded through the District assessments, would provide benefits to the general public and to the properties both within and outside of the specific Districts. The cost of providing this baseline service along with a five percent (5%) cost factor for City overhead and administration is treated as the cost of general benefit from landscape maintenance services. Therefore, for mostly flat or moderately-sloped street landscaped areas a rate of $0.01349 per square foot ($0.01285 + 5%) is applied to calculate the general benefit costs for the assessed improvements; for non - street public areas a rate of $0.01079 per square foot ($0.01028 + 5%) is applied to calculate the general benefit costs for the assessed improvements; and for non -street public areas a rate of $0.00540 per square foot ($0.00514 + 5%) is applied to calculate the general benefit costs for the assessed improvements. Collectively these baseline general benefit costs are funded by the City and excluded from the potential assessment funding and are shown in the District budgets (Part III of this Report) as “General Benefit.”

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Street Lighting General Benefit
For fiscal year 2024/2025, not all Districts are assessed for street light improvements. While potentially, some street lights associated with a given District, may be located at the entryway or on the perimeter of the development(s) within the District and may arguably provide some illumination that extends beyond the boundaries of the developments and parcels being assessed, and may indirectly enhance the safety of members of the public unassociated with the assessed parcel s (illuminating traffic lanes and/or parking on those perimeter streets), such benefits are considered an indirect consequence of the special benefits to properties within the Districts. Furthermore, if the properties within the Districts were not developed , any street lights that may be located at the entryways or on the perimeter of the developments would not have been installed. Clearly these street lights exist solely because of the development of assessed parcels, and the primary purpose of these lights is to provide illumination to access the assessed parcels, Therefore we conclude that the cost of providing the street lights within the existing Districts are entirely a special benefit to the properties being assessed in each District and there is no quantifiable general benefit to properties outside the Districts or the public at large.

Assessment Methodology
To assess benefits equitably it is necessary to calculate each property’s proportionate special benefits conferred by the funded improvements and service. The Equivalent Benefit Unit (EBU) method of assessment apportionment is commonly utilized for assessment districts formed under the 1972 Act, as the benefit to each parcel from the improvements may be apportioned as a function of comparable property characteristics which utilizes a basic unit (base value) of benefit and then calculates the benefit derived by each asses sed parcel either at that base unit or as a multiple (or a fraction) of that basic unit. In accordance with the provisions of the California Constitution and the 1972 Act, the proportionate special benefit derived by each identified parcel within the vario us Districts shall be determined in relationship to the entirety of the cost to maintain, operate and service the improvements within each District. Consistent with the method of apportionment established at the formation of each District, it has been determined that the developments and/or planned development of the properties within each District required or facilitated the installation of the improvements to be funded in whole or in part by the District assessments, and that such improvements (both lands caping and lighting) would otherwise not be necessary and those improvements benefit each lot/parcel equally. Therefore, collectively the particular and distinct benefits to each lot/parcel within each respective District are equally shared and one hundred percent (100%) of the fiscal year 2024/2025 special benefit expenses is proportionately and equally allocated and shared by each development lot and each of these parcels/lots are assigned one (1.0) EBU, excluding parcels or lots that may be part of the improvement areas being maintained.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Calculation of Assessments
An assessment amount per Lot or Equivalent Benefit Unit (EBU) in each District is calculated in the following manner.

Taking the “Total Annual Expenses” (Total Budgeted Costs) and subtracting the “General Benefit ” (Expenses Funded by the City), to establish the “Special Benefit Expenses;” Total Annual Expenses - General Benefit = Special Benefit Expenses To the resulting “Special Benefit Expenses,” various “Funding Adjustments” may be applied that may include, but are not limited to:
➢ “Reserve Fund Collection or (Transfer),” represents an amount being collected and added to the Reserve Fund or available existing Reserve Funds being applied (“Transferred”) to pay a portion of the Special Benefit Expenses for the fiscal year. ➢ “City Loan and/or Service Reductions,” represents a further adjustment that addresses the funding gap between the amount budgeted to provide the improvements and services (“Special Benefit Expenses”); and the amount that will be collected through the assessments. This funding gap may be addressed by an additional City contribution, reductions in service and service expenses, or a combination of the two. If the City provides an additional City Contribution to support the operation and maintenance for a given fiscal year, that contribution is carried forward as a deficit applied to the Beginning Fund Balance in the next fiscal year.

These adjustments to the Special Benefit Expenses result in the net special benefit amount to be assessed “Balance to Levy;”
Special Benefit Expenses +/- Funding Adjustments = Balance to Levy The amount identified as the “Balance to Levy” is divided by the total number of Lots or EBUs for the parcels that receive special benefit to establish the “Assessment Rate” for the fiscal year. This Rate is then applied back to each parcel’s individual EBU to calculate the parcel’s proportionate special benefit and assessment for the improvements.

Balance to Levy / Total Lots/EBUs = Assessment Rate (for the fiscal year) Assessment Rate x Parcel’s EBU = Parcel Assessment Amount

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Part III - Estimate of Costs
Annual Inflationary Adjustment (Assessment Range Formula) Pursuant to Article XIII D of the California Constitution (Proposition 218), any “new or increased assessments” require certain noticing and balloting requirements. However, Government Code Section 54954.6(a) provides that a “new or increased assessment” does not include “ an assessment which does not exceed an assessment formula or range of assessments...previously adopted by the agency or approved by the voters in the area where the assessment is imposed.” This definition of a new or increased assessment is reaffirmed in the Proposition 218 Omnibus Implementation Act, Government Code Section 53753.5.

Currently, the maximum assessment rates identified in this Report for Districts 90 -01, 90 -02, 90-03, 90-04, 91-01, 92-01, 92-02, 93-01, 94-01, 94-02, 94-03, 97-01, 97-02, 97-03, 98-01, and 98-02 are fixed maximum assessment rates that do not include any inflationary adjustment.

However, either at the time of formation or in a subsequent proceeding the maximum assessments for Districts 93-02, 01-01, 01-02, 01-03, 01-04, 02-01, 03-01, 04-01, 04-02, 04-03, 04-04, 05 -01, 05 -02, 06 -01, 07-02, 09-01, 09 -02, 14 -01, 15 -01, 15 -02, 16 -01, 16 -02, 18-01, 19-01, 19-02, 20-01, and 21-01 were balloted for a new or increased assessment s that include an inflationary adjustment (assessment range formula).

As previously adopted and approved by the City Council for the Districts with an inflationary adjustment, each fiscal year the maximum assessment rate established for the improvements in the previous fiscal year for each District may be adjusted by the percentage increase in the Local Consumer Price Index (CPI). The Consumer Price Index used for the inflationary adjustment shall be for Urban Wage Earners and Clerical Workers, San Francisco -Oakland-San Jose Area, as developed by U.S. Bureau of Labor Statistics. The CPI used shall be as determined by the Bureau of Labor Statistics for a similar period of time.

January 1, of each calendar year (“Adjustment Date”), the City shall identify the percentage change in the CPI, using the difference over a 12-month period between the current year and of the previous year as of the Adjustment Date (typically December to December). This percentage difference shall then establish the range of increase to the maximum assessment rates allowed.

If the percentage change in the CPI is negative, the maximum assessment rates shall not be adjusted from the previous fiscal year (unchanged). Should the Bureau of Labor Statistics revise such index or discontinue the preparation of such index, the Bureau of Labor Statistics will be the sole judge of the comparability of successive indexes, but if the Bureau of Labor Statistics fail to supply indexes it deems comparable or if no succeeding index is published, the City shall determine an appropriate published price index as approved by the City Council for determining fluctuations in the cost of living.

The annual change in CPI from December 20 22 to December 202 3 as reported by the U.S.

Bureau of Labor Statistics was 2.8 percent. Therefore, the maximum assessment rates for fiscal year 2023/2024 will be increased by 2.8 percent for fiscal year 2024/2025 in those Districts with a previously approved inflationary adjustment including, Districts 93-02, 01-01, 01-02, 01-03, 01- 04, 02-01, 03-01, 04-01, 04-02, 04-03, 04-04, 05-01, 05-02, 06-01, 07-02, 09-01, 09-02, 14-01, 15-01,15-02,16-01,16-02, 18-01, 19-01, 19-02, 20-01, and 21-01.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

This assessment range formula or inflationary adjustment provides for the District maximum assessment rate applicable for the prior fiscal year to be increased each subsequent fiscal year which is consistent with the California Constitution and the above-referenced Government Code sections.

The adoption of the maximum assessment rates and the Assessment Range Formula does not mean that the annual assessments will necessarily increase each fiscal year, nor does it absolutely restrict the assessments to the annually adjusted maximum assessment rate. Although the maximum assessment rate that may be levied shall be increased by this assessment range formula for each applicable District each fiscal year, the actual amount to be assessed will be based on the Balance to Levy for that fiscal year. If the calculated assessment rate is less than the adjusted maximum assessment rate, then the calculated assessment rate may be approved by the City Council for collection. If the calculated assessment rate (based on the proposed budget) is greater than the adjusted maximum assessment rate for that fiscal year, then the assessment would be considered an increased assessment and would require property owner approval through a protest ballot proceeding before imposing such an increase. Otherwise, it would be nec essary to reduce the budget or provide funding from other sources to the City to reduce the Balance to Levy to an amount that can be supported by an assessment rate less than or equal to the adjusted maximum assessment rate authorized for that fiscal year.

Annual District Budgets
The following budget pages outline the estimated costs to maintain and service the various landscaping and lighting improvements described in this Report for fiscal year 2024/2025.

The budgeted expenses outlined in the following pages for each District reflect the estimated annual expenses required to support and maintain the improvements to be provided for fiscal year 2024/2025. T he Total Annual Expenses minus the general benefit expenses (expenses not assessed and identified as the City’s financial obligation to support the improvements) plus any Reserve Fund Collection result in the amount of funding the property owners should reasonably be assessed to fully fund their proportional special benefit from those improvements . Negative Funding Adjustments (Reserve Fund Transfers or City Loan and/or Service Reductions) represent additional funding that is required from either the existing Reserve Funds or from the City to fully support the maintenance and servicing of the improvements.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Budgets for Fund Numbers 0240 through 0261 (Districts 90-01 through 02-01)

Fund No. District
No.

Direct
Maintenance
Expenses
Incidental
Expenses
(Admin.)
Total Annual
Expenses
General
Benefit
Special
Benefit
Expenses
Reserve Fund
Collection or
(Transfer)
City Loan
and/or Service
Reductions
Balance to Levy EBUs
FY 2024/2025
Assessment
Rate
Maximum
Assessment
Rate
Beginning
Fund Balance
Fund Balance
Additions or
Deficits
Estimated
Ending Fund
Balance
0240 90-01 33,984$ 4,794$ 38,778$ (883)$ 37,895$ 11,208$ -$ 49,103$ 352 $139.50 $139.50 56,917$ 11,208$ 68,125$ 0241 90-02 2,819$ 591$ 3,409$ (116)$ 3,293$ 1,053$ -$ 4,346$ 53 $82.00 $82.00 4,875$ 1,053$ 5,928$ 0242 90-03 3,676$ 940$ 4,616$ (222)$ 4,394$ -$ (270)$ 4,125$ 84 $49.10 $49.10 (3,137)$ (270)$ (3,407)$ 0243 90-04 1,045$ 158$ 1,203$ (19)$ 1,184$ -$ (312)$ 872$ 14 $62.30 $62.30 (1,880)$ (312)$ (2,191)$ 0244 91-01 4,173$ 2,171$ 6,344$ (142)$ 6,202$ -$ (986)$ 5,216$ 285 $18.30 $18.30 (2,126)$ (986)$ (3,112)$ 0245 92-01 4,321$ 973$ 5,294$ (259)$ 5,036$ -$ (1,073)$ 3,962$ 78 $50.80 $50.80 (7,879)$ (1,073)$ (8,952)$ 0246 92-02 2,030$ 881$ 2,911$ (158)$ 2,753$ 60$ -$ 2,813$ 98 $28.70 $28.70 111$ 60$ 171$ 0247 93-01 3,309$ 489$ 3,797$ (140)$ 3,658$ 802$ -$ 4,460$ 29 $153.80 $153.80 5,154$ 802$ 5,956$ 0248 93-02 5,053$ 1,525$ 6,579$ (201)$ 6,377$ 1,803$ -$ 8,180$ 169 $48.40 $48.42 (4,043)$ 1,803$ (2,240)$ 0249 94-01 4,142$ 1,028$ 5,171$ (66)$ 5,104$ -$ (2,130)$ 2,975$ 114 $26.10 $26.10 (12,556)$ (2,130)$ (14,685)$ 0250 94-02 38,837$ 7,766$ 46,603$ (1,488)$ 45,114$ 871$ -$ 45,985$ 541 $85.00 $85.00 (7,885)$ 871$ (7,014)$ 0251 94-03 20,335$ 4,292$ 24,627$ (1,255)$ 23,371$ -$ (7,322)$ 16,049$ 272 $59.00 $59.00 (32,890)$ (7,322)$ (40,212)$ 0252 97-01 1,290$ 429$ 1,718$ (85)$ 1,633$ 624$ -$ 2,257$ 44 $51.30 $51.30 (530)$ 624$ 94$ 0253 97-02 1,322$ 318$ 1,640$ (63)$ 1,577$ -$ (296)$ 1,281$ 30 $42.70 $42.70 (3,374)$ (296)$ (3,670)$ 0254 97-03 12,226$ 2,821$ 15,048$ (626)$ 14,422$ 1,253$ -$ 15,674$ 250 $62.70 $62.70 (9,409)$ 1,253$ (8,156)$ 0255 98-01 5,454$ 1,257$ 6,711$ (195)$ 6,516$ -$ (1,729)$ 4,787$ 126 $38.00 $38.00 (6,943)$ (1,729)$ (8,672)$ 0256 98-02 8,392$ 1,864$ 10,255$ (418)$ 9,837$ 4,581$ -$ 14,418$ 162 $89.00 $89.00 19,626$ 4,581$ 24,207$ 0257 01-01 4,221$ 1,303$ 5,524$ (135)$ 5,389$ (469)$ -$ 4,920$ 148 $33.24 $49.30 14,839$ (469)$ 14,369$ 0258 01-02 6,023$ 2,046$ 8,069$ (291)$ 7,779$ 1,928$ -$ 9,707$ 199 $48.78 $48.79 2,728$ 1,928$ 4,657$ 0259 01-03 3,237$ 864$ 4,100$ (159)$ 3,941$ (176)$ -$ 3,765$ 86 $43.78 $69.08 16,561$ (176)$ 16,385$ 0260 01-04 27,160$ 5,741$ 32,901$ (1,289)$ 31,612$ 6,049$ -$ 37,660$ 489 $77.02 $77.03 12,449$ 6,049$ 18,498$ 0261 02-01 16,753$ 2,865$ 19,618$ (862)$ 18,756$ 4,614$ -$ 23,369$ 182 $128.40 $128.41 6,255$ 4,614$ 10,869$

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Budgets for Fund Numbers 0262 through 0282 (Districts 03-01 through 21-01)

Fund No. District
No.

Direct
Maintenance
Expenses
Incidental
Expenses
(Admin.)
Total Annual
Expenses
General
Benefit
Special
Benefit
Expenses
Reserve Fund
Collection or
(Transfer)
City Loan
and/or Service
Reductions
Balance to Levy EBUs
FY 2024/2025
Assessment
Rate
Maximum
Assessment
Rate
Beginning
Fund Balance
Fund Balance
Additions or
Deficits
Estimated
Ending Fund
Balance
0262 03-01 7,301$ 1,594$ 8,896$ (236)$ 8,659$ (27)$ -$ 8,632$ 128 $67.44 $83.48 29,117$ (27)$ 29,090$ 0263 04-01 7,183$ 2,112$ 9,296$ (290)$ 9,005$ (781)$ -$ 8,225$ 233 $35.30 $47.63 48,996$ (781)$ 48,216$ 0264 04-02 17,980$ 2,251$ 20,231$ (793)$ 19,438$ 236$ -$ 19,674$ 75 $262.32 $269.67 34,105$ 236$ 34,341$ 0265 04-03 45,880$ 7,405$ 53,285$ (1,893)$ 51,392$ 17,181$ -$ 68,573$ 445 $154.10 $154.11 38,536$ 17,181$ 55,718$ 0266 04-04 7,149$ 685$ 7,834$ (206)$ 7,628$ (99)$ -$ 7,529$ 20 $376.44 $539.35 21,605$ (99)$ 21,506$ 0267 05-01 2,638$ 434$ 3,072$ (46)$ 3,026$ (210)$ -$ 2,816$ 38 $74.10 $143.37 13,123$ (210)$ 12,913$ 0268 05-02 10,708$ 2,090$ 12,798$ (595)$ 12,203$ (155)$ -$ 12,048$ 150 $80.32 $121.99 25,673$ (155)$ 25,519$ 0269 06-01 27,792$ 4,389$ 32,181$ (1,317)$ 30,864$ 1,571$ -$ 32,435$ 144 $225.24 $225.25 (4,790)$ 1,571$ (3,219)$ 0272 07-02 6,269$ 2,386$ 8,655$ (397)$ 8,258$ (827)$ -$ 7,431$ 265 $28.04 $154.11 83,343$ (827)$ 82,516$ 0270 09-01 2,089$ 290$ 2,378$ (95)$ 2,283$ (139)$ -$ 2,143$ 14 $153.10 $288.94 10,187$ (139)$ 10,048$ 0271 09-02 19,940$ 2,520$ 22,460$ (703)$ 21,756$ 3,533$ -$ 25,289$ 121 $209.00 $224.74 33,734$ 3,533$ 37,267$ 0273 14-01 30,510$ 3,652$ 34,162$ (1,033)$ 33,130$ 2,319$ -$ 35,448$ 175 $202.56 $264.71 56,460$ 2,319$ 58,779$ 0274 15-01 152,558$ 16,142$ 168,700$ (5,563)$ 163,137$ 32,648$ -$ 195,785$ 467 $419.24 $502.83 208,875$ 32,648$ 241,522$ 0275 15-02 9,283$ 890$ 10,173$ (221)$ 9,951$ (1,338)$ -$ 8,613$ 34 $253.32 $253.33 2,142$ (1,338)$ 803$ 0276 16-01 12,475$ 1,294$ 13,769$ (340)$ 13,429$ (1,012)$ -$ 12,417$ 54 $229.94 $229.95 (6)$ (1,012)$ (1,018)$ 0277 16-02 9,713$ 1,624$ 11,337$ (423)$ 10,914$ (1,125)$ -$ 9,788$ 113 $86.62 $173.51 28,045$ (1,125)$ 26,920$ 0278 18-01 72,920$ 7,812$ 80,732$ (2,496)$ 78,236$ 15,028$ -$ 93,264$ 267 $349.30 $532.51 162,804$ 15,028$ 177,831$ 0279 19-01 10,638$ 830$ 11,467$ (177)$ 11,290$ 937$ -$ 12,227$ 22 $555.78 $581.62 9,150$ 937$ 10,086$ 0280 19-02 7,396$ 1,002$ 8,398$ (222)$ 8,176$ 3,878$ -$ 12,054$ 66 $182.64 $481.57 5,770$ 3,878$ 9,648$ 0281 20-01 42,399$ 4,598$ 46,997$ (1,935)$ 45,062$ 8,466$ -$ 53,528$ 80 $669.10 $708.41 39,406$ 8,466$ 47,872$ 0282 21-01 47,574$ 4,560$ 52,134$ (1,815)$ 50,319$ 5,662$ -$ 55,981$ 56 $999.66 $1,131.54 64,457$ 5,662$ 70,119$ District Totals 760,193$ 113,674$ 873,867$ (29,869)$ 843,998$ 119,945$ (14,117)$ 949,826$ 6,772 957,596$ 105,828$ 1,063,424$

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Part IV - District Diagrams
The following pages contain an Overview LLMD D iagram showing the general location of the Districts within the City of Hanford for fiscal year 2024/2025 described within this Report as well as individual District Diagrams for each of the individual Districts, which incorporates the parcels determined to receive special benefits from the various District improvements. All parcels that will receive a special benefit from the improvements provided within each District consist of all lots, parcels and subdivisions of land within the boundaries of those Districts as depicted by th ese diagrams and the lines and dimensions of those lots, parcels and subdivisions of land shall be those lines and dimensions shown on the current Kings County Assessor’s parcel maps and by reference the Kings County Assessor’s parcel maps are incorporated herein and made part of this Report. This diagram along with the Assessment Roll incorporated in this Report constitute the District Assessment Diagram for each District for fiscal year 2024/2025.

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Overview LLMD Diagram

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 90-01: Pinecastle Addition Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 90-02: Park Monterey Units 1 and 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 90-03: Mansionette Units 7 and 8

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 90-04: Hyde Park

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 91-01: Sierra Vista & New Dimensions Units 1 through 5

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 92-01: Portofino Unit Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 92-02: Cielo En Tierra Units 1 through 5

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 93-01: Vintage Estates

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 93-02: Walnut Forest Units 1 through 3

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 94-01: Gateway Estates

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 94-02: Stonecrest Units 1 through 9

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 94-03: Quail Run Estates Units 1 through 5

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 97-01: Rosewood Estates Units 1 & 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 97-02: Summer Field Addition #2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 97-03: Country Crossing Units 1 through 5

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 98-01: Crystal Springs Units 1 through 3

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 98-02: Mountain View Estates Units 1 through 6

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 01-01: Pacific Grove Units 1 through 3 and N. Pointe Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 01-02: Cambridge Homes Units 1 through 3

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 01-03: Poppy Hills Units 1 & 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 01-04: Silver Oaks Units 1 through 5

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 02-01: Ashton Park Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 03-01: Le Parc Units 1 through 3

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 04-01: Sidonia Units 1 & 2 and Sidonia Estates II

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 04-02: Cambridge Homes/Majesty II

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 04-03: Cambridge Homes - Majesty II #2, Cambridge Homes Units 1 through 6, Cambridge Homes-Vineyards Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 04-04: Sierra Heights Units 1 and 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 05-01: Mission Park

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 05-02: Copper Valley

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 06-01: Quail Park Subdivision

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 07-02: South Gate Addition, Greenbrier Gardens, & Live Oak North

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 09-01: Victory Estates

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 09-02: Independence Units 1 & 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 14-01: Independence Units 3 & 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 15-01: Silver Oaks Addition III Units 1 and 2, Lennar Homes Units 1 and 2, and Lennar Homes

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 15-02: The Greens II

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 16-01: Woodside Homes

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 16-02: Mynderup Units 1 & 2

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 18-01: Bella Vista Units 1 through 4

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 19-01: Pacific Grove Addition II

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 19-02: The Enclave

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 20-01: Woodside Homes

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

District 21-01: San Joaquin Valley Homes

Hanford Landscaping and Lighting Assessment Districts
Engineer’s Annual Report
Fiscal Year 2024/2025

Part V - Assessment Rolls
Due to the number of parcels in the Districts, the Assessment Roll for fiscal year 2024/2025 has been filed with the City Clerk in an electronic format and is, by reference, made part of this Report.

The Assessment Roll identifie s the parcels within each District that are assessed for special benefits and their corresponding assessment amount for fiscal year 2024/2025. Each parcel listed on the Assessment Roll is currently shown and illustrated on the County Assessor's Roll and the County Assessor’s Parcel Number Maps (APN maps). These records are by reference, made part of this Report and shall govern for all details concerning the description of the lots or parcels. All assessments presented on the as sessment roll are subject to change as a result of parcel changes made by the County including parcel splits, parcel merges or development changes that occur prior to the County Assessor's Office securing the final roll and generating tax bills for fiscal year 2024/2025.

The proposed Assessment Roll shall be available for public inspection in the City Clerk’s Office during normal office hours.

13.A.

AGENDA

STAFF REPORT

MEETING DATE: 7/2/2024 AGENDA SECTION: GENERAL BUSINESS

SUBJECT:

Authorization for the City Manager, with the concurrence of the City Attorney, to enter Into an Agreement with Badger Meters for the Citywide Purchase and Installation of Water Meters, in an Amount Not to Exceed $16.5 million, to be funded out of the Water Fund.

RECOMMENDATION:

Recommendation: The Hanford City Council, by motion, authorize the City Manager with concurrence by the City Attorney to Enter Into an Agreement with Badger Meters to Provide and Install Water Meters Citywide in an Amount Not to Exceed $16.5 million.

Recommended Motion: I move to authorize the City Manager with concurrence by the City Attorney to Enter Into an Agreement with Badger Meters to Provide and Install Water Meters Citywide in an Amount Not to Exceed $16.5 million.

BACKGROUND:

The City's existing water services are metered (Zenner) with a fixed network Advanced Meter Infrastructure (AMI), but most of the meters are more than 15 years old and need to be replaced. The City circulated a Request for Proposals to replace all existing water meters serving City connections with a fixed network Advanced Meter Infrastructure (AMI) system on all connections served by the City. The key purposes of the system‐wide water meter replacements are to improve water conservation and water use efficiency; improve system reliability; reduce on-going operational costs; and improve availability of meter parts.

The City received proposals from the following firms: Aqua Metric, Badger Meter, Core & Main, Ferfuson Waterworks, Hyrdrpro Solutions and Master Meter, Mueller, and Zenner USA. Each written proposal was reviewed and scored by the City's evaluation committee and the top four firms were interviewed to further evaluate their qualifications and experience. Based on the City's adopted scoring criteria, Badger Meters proposal received the highest score.

Badger's proposed a "turnkey" approach that includes the AMI infrastructure and project installation.

Badger's proposed scope includes the following items:

1. Pre-construction and Integration
Includes project kickoff, staging, known project materials ordered, and master audit.

2. BEACON Setup and Integration

Begin integration of BEACON software (SaaS client-side software and customer portal), review audit results, and place additional material orders

3. Full Deployment
Installation of meters and equipment and staff training.

4. Project Closeout
Inventory reconciliation and project closeout.

Information regarding the tentative project schedule is included as Attachment A and the proposed budget is included as Attachment A. The listed contract amount of $15,354,030 (Summarized in Attachment B) does not include taxes, staff has estimated taxes (7.25% on taxable items) and contingency costs of approximately $1,100,000 bringing the total amount to approximately $16.5 million. There are ongoing costs to service the water meter units as installed, those costs are called "ongoing maintenance costs" in the attachment and will be included as operating costs for the division as those are regular ongoing costs to operate the meter system.

The timeline proposed by Badger includes a kickoff this summer and the meter auditing process commencing in the Fall. Once the auditing process is completed, installation will begin in the Summer of 2025. The City expects the audit, hardware installation, and software deployment to take approximately 30-36 months, resulting in a project completion date by 2027.

The “Audit Process” mentioned above, includes an initial “pre-installation survey” phase during which the location of each meter will be inspected to confirm meter sizes, quantities, etc., and to identify any unusual site conditions that must be addressed when the water meters will be replaced. The pre- installation survey will develop useful data to inform subsequent phases of the project.

Staff will return to City Council following the audit and prior to installation to provide a construction phasing plan, information regarding the installation process, and details regarding customer expectations both during and following installation so that Hanford residents are kept informed during each phase of the project.

FISCAL IMPACT:

Approximately $16.5 million paid by the City's Water Fund of which $15.4 million has been planned for in the most recent rate adjustments approved in December 2023. The overage of $1.1 million will mean deferment of other capital needs to maintain a positive fund balance in future capital improvement plans to allow for the higher than anticipated cost. Final costs of the project after water meter audit and evaluation may lead to cost savings, or cost increases. If needed, staff will return to City Council for additional authorization. There is no impact to the General Fund.

ATTACHMENTS:

1. Attachment A - Hanford External SOV - Master 05-07-2024 Forecast

2. Attachment B Badger Meter Proposal _ 06-25-2024

CONTRACTOR'S PAY REQUEST
ITEM BMI Description QUANTITY

PER CONTRACT

QUANTITY PER
CHANGE
ORDERS

UPDATED
QUANTITY (After
Change Orders)

TOTAL UNIT PRICE

IN CONTRACT -

EXCL TAX

ORIGINAL TOTAL

EXT PRICE IN

CONTRACT EXCL
TAX

TOTAL EXT PRICE IN

CONTRACT EXCL TAX
- w/ Change Orders
Change Orders
Dollar Impact QTY TO DATE % COMPLETED UNITS REMAINING TOTAL PROJECT TO DATE ($)

TOTAL PROJECT
REMAINING ($)
Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Qty Dollars Badger Product (Billed Upon Shipment)
1 E-Series EP, 1"(10-3/4), Thk Wshr, Enc, 4CXN2 ORION, 9D-0.01 17,761 0 17,761 200.00$ 3,552,200.00$ 3,552,200.00$ -$ -$ -$ 1,500 300,000.00$ 1,500 300,000.00$ 1,231 246,200.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ 1,230 246,000.00$ -$ -$ -$ -$ -$ -$ 17,761 100.00% 0 3,552,200.00$ -$ 2 E-Series SS, 1-1/2" EL(13), Enc, 4CXN2 ORION, 9D-0.1 Gal, SN Yr 24 0 24 585.36$ 14,048.64$ 14,048.64$ -$ -$ -$ -$ -$ 24 14,048.64$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 24 100.00% 0 14,048.64$ -$ 3 E-Series SS 2" EL(17) Enc 4CXN2 ORION 9D-0 1 Gal SN Yr 9D 856 0 856 777.24$ 665,317.44$ 665,317.44$ -$ -$ -$ -$ -$ 214 166,329.36$ 214 166,329.36$ 214 166,329.36$ 214 166,329.36$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 856 100.00% 0 665,317.44$ -$ 4 E-Series B-Alloy, 3" RND(17), TP Prsr, Enc, 4CXN2 ORION, 9D-0.1 88 0 88 2,170.72$ 191,023.36$ 191,023.36$ -$ -$ -$ -$ -$ -$ -$ 22 47,755.84$ 22 47,755.84$ 22 47,755.84$ 22 47,755.84$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 88 100.00% 0 191,023.36$ -$ 5 E-Series B-Alloy 4" RND(20) TP Prsr Enc 4CXN2 ORION 9D-0 1 106 0 106 2,705.44$ 286,776.64$ 286,776.64$ -$ -$ -$ -$ -$ -$ -$ 27 73,046.88$ 27 73,046.88$ 26 70,341.44$ 26 70,341.44$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 106 100.00% 0 286,776.64$ -$ 6 E-Series B-Alloy 6"x24" RND Prsr Enc 4CXN2 ORION 9D-1 Gal 22 0 22 4,210.44$ 92,629.68$ 92,629.68$ -$ -$ -$ -$ -$ -$ -$ 11 46,314.84$ -$ 11 46,314.84$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 22 100.00% 0 92,629.68$ -$ 7 E-Series B-Alloy 8"x20" RND TP Prsr Enc 4CXN2 ORION 9D-1 41 0 41 4,958.12$ 203,282.92$ 203,282.92$ -$ -$ -$ -$ -$ -$ -$ 11 54,539.32$ 10 49,581.20$ 10 49,581.20$ 10 49,581.20$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 41 100.00% 0 203,282.92$ -$ 8 EP Only For Enc ORION CELL HLD Thru Ld Instl Kit TT-8in 18,898 0 18,898 132.00$ 2,494,536.00$ 2,494,536.00$ -$ -$ -$ 1,500 198,000.00$ 1,500 198,000.00$ 1,469 193,908.00$ 1,444 190,608.00$ 1,515 199,980.00$ 1,503 198,396.00$ 1,299 171,468.00$ 1,288 170,016.00$ 1,230 162,360.00$ 1,230 162,360.00$ 1,230 162,360.00$ 1,230 162,360.00$ 1,230 162,360.00$ 1,230 162,360.00$ -$ -$ -$ -$ -$ -$ 18,898 100.00% 0 2,494,536.00$ -$ 9 IR COMMUMNICATION DEVICE KIT - LTE 14 0 14 118.00$ 1,652.00$ 1,652.00$ -$ -$ -$ -$ 14 1,652.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 14 100.00% 0 1,652.00$ -$ Third Party Product (Billed Upon Shipment)
10 Nicor B9C Rectangular Lid (9 875"x"15 25"x1 625") 661 0 661 39.45$ 26,076.45$ 26,076.45$ -$ -$ -$ -$ -$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 50 1,972.50$ 11 433.95$ -$ -$ -$ -$ 661 100.00% 0 26,076.45$ -$ 11 Nicor B16 Rectangular Lid (10 5"x20 625"x2 0") 17,000 0 17,000 57.39$ 975,630.00$ 975,630.00$ -$ -$ -$ -$ -$ 650 37,303.50$ 748 42,927.72$ 850 48,781.50$ 1,050 60,259.50$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,040 59,685.60$ 1,079 61,923.81$ 1,100 63,129.00$ 1,100 63,129.00$ 1,100 63,129.00$ 1,100 63,129.00$ 18,137 106.69% -1,137 1,040,882.43$ (65,252.43)$ 12 Nicor B30 Rectangular Lid (13 75"23 125"x2 0") 50 0 50 132.94$ 6,647.00$ 6,647.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ 5 664.70$ -$ -$ -$ 50 100.00% 0 6,647.00$ -$ 13 Nicor B36 Rectangular Lid (17 5"x30 5"x2 0") 50 0 50 83.15$ 4,157.50$ 4,157.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ 5 415.75$ -$ -$ -$ 50 100.00% 0 4,157.50$ -$ Installation Labor - Audit (Survey) Phase
14 Small Meter Audit (5/8" to 1") 17,761 0 17,761 34.96$ 620,924.56$ 620,924.56$ -$ 4,440 155,222.40$ 4,440 155,222.40$ 4,440 155,222.40$ 4,441 155,257.36$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 17,761 100.00% 0 620,924.56$ -$ 15 Intermediate Meter Audit (1 5" to 2") 880 0 880 58.07$ 51,101.60$ 51,101.60$ -$ 220 12,775.40$ 220 12,775.40$ 220 12,775.40$ 220 12,775.40$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 880 100.00% 0 51,101.60$ -$ 16 Large Meter Audit (3"-8") 257 0 257 88.88$ 22,842.16$ 22,842.16$ -$ 65 5,777.20$ 65 5,777.20$ 65 5,777.20$ 62 5,510.56$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 257 100.00% 0 22,842.16$ -$ 17 Line Material Survey (5/8" to 2" Only) 18,641 0 18,641 36.14$ 673,685.74$ 673,685.74$ -$ 4,725 170,761.50$ 4,725 170,761.50$ 4,725 170,761.50$ 4,466 161,401.24$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 18,641 100.00% 0 673,685.74$ -$ 18 GPS Coordinate Capture (Sub-Meter Accuracy) 18,898 0 18,898 3.56$ 67,276.88$ 67,276.88$ -$ 4,725 16,821.00$ 4,725 16,821.00$ 4,725 16,821.00$ 4,723 16,813.88$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 18,898 100.00% 0 67,276.88$ -$ 19 CUS Project Management - Audit Phase (Monthly) 4 0 4 5,332.50$ 21,330.00$ 21,330.00$ -$ 1 5,332.50$ 1 5,332.50$ 1 5,332.50$ 1 5,332.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4 100.00% 0 21,330.00$ -$ 20 Mobilization - Audit Phase 1 0 1 16,590.00$ 16,590.00$ 16,590.00$ -$ 1 16,590.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 16,590.00$ -$ 21 WOMS - Programming and Setup 1 0 1 8,437.50$ 8,437.50$ 8,437.50$ -$ 1 8,437.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 8,437.50$ -$ 22 WOMS - Integration 1 0 1 8,437.50$ 8,437.50$ 8,437.50$ -$ 1 8,437.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 8,437.50$ -$ 23 WOMS - Implementation and Data Capture (Audit Phase) 18,898 0 18,898 1.36$ 25,701.28$ 25,701.28$ -$ 4,725 6,426.00$ 4,725 6,426.00$ 4,725 6,426.00$ 4,723 6,423.28$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 18,898 100.00% 0 25,701.28$ -$ 24 Optional Adder: Audit Capture per Meter in Vault 0 0 0 118.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ 25 Optional Adder: Audit Capture per Meter in Backyard, Alleway, and Indoor 0 0 0 17.78$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ Installation Labor - Installation (Full Deployment) Phase 26 Small (5/8"and 1") Meter Replacement 17,761 0 17,761 155.31$ 2,758,460.91$ 2,758,460.91$ -$ -$ -$ -$ -$ 700 108,717.00$ 798 123,937.38$ 776 120,520.56$ 1,000 155,310.00$ 974 151,271.94$ 974 151,271.94$ 960 149,097.60$ 960 149,097.60$ 960 149,097.60$ 960 149,097.60$ 1,074 166,802.94$ 1,074 166,802.94$ 1,076 167,113.56$ 1,084 168,356.04$ 1,091 169,443.21$ 1,100 170,841.00$ 1,100 170,841.00$ 1,100 170,841.00$ 17,761 100.00% 0 2,758,460.91$ -$ 27 1 5"-2" Meter Installation 880 0 880 386.31$ 339,952.80$ 339,952.80$ -$ -$ -$ -$ -$ -$ -$ 124 47,902.44$ 100 38,631.00$ 100 38,631.00$ 100 38,631.00$ 114 44,039.34$ 114 44,039.34$ 114 44,039.34$ 114 44,039.34$ -$ -$ -$ -$ -$ -$ -$ -$ 880 100.00% 0 339,952.80$ -$ 28 3" Meter Installation 88 0 88 1,061.76$ 93,434.88$ 93,434.88$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 10 10,617.60$ 8 8,494.08$ -$ -$ -$ -$ -$ 88 100.00% 0 93,434.88$ -$ 29 4" Meter Installation 106 0 106 1,535.76$ 162,790.56$ 162,790.56$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 10 15,357.60$ 6 9,214.56$ -$ -$ -$ 106 100.00% 0 162,790.56$ -$ 30 6" Meter Replacement 22 0 22 3,852.44$ 84,753.68$ 84,753.68$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ 2 7,704.88$ -$ -$ -$ 22 100.00% 0 84,753.68$ -$ 31 8" Meter Replacement 41 0 41 5,037.44$ 206,535.04$ 206,535.04$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 4 20,149.76$ 1 5,037.44$ -$ -$ -$ 41 100.00% 0 206,535.04$ -$ 32 Meter Pit Lid Replacement - B9C and B16 (Up to 23"x 13 5"x 1 75") - Labor Only - Per Instance 17,661 0 17,661 11.26$ 198,862.86$ 198,862.86$ -$ 0 -$ 0 -$ 0 -$ 0 -$ 700 7,882.00$ 798 8,985.48$ 900 10,134.00$ 1,100 12,386.00$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,090 12,273.40$ 1,100 12,386.00$ 1,100 12,386.00$ 1,100 12,386.00$ 1,100 12,386.00$ 18,798 106.44% -1,137 211,665.48$ (12,802.62)$ 33 Meter Pit Lid Replacement - B30 and B36 (Up to 26 5" x15"x 1 75") - Labor Only - Per Instance 100 0 100 15.11$ 1,511.00$ 1,511.00$ -$ 0 -$ 0 -$ 0 -$ 0 -$ 0 -$ 0 -$ 0 -$ 0 -$ 0 -$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 10 151.10$ 0 -$ 0 -$ 0 -$ 100 100.00% 0 1,511.00$ -$ 34 Lid Drilling - Plastic 0 0 0 11.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100.00% 0 -$ -$ 35 Lid Drilling - Concrete 0 0 0 57.50$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 100.00% 0 -$ -$ 36 Pre-Installation Postcard (1/Account) 18,898 0 18,898 2.31$ 43,654.38$ 43,654.38$ -$ 0 -$ 0 -$ 0 -$ 0 -$ 700 1,617.00$ 798 1,843.38$ 900 2,079.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 1,100 2,541.00$ 18,898 100.00% 0 43,654.38$ -$ 37 Post Install Door Hanger (3 5" x 8 5") (1/Account) 18,898 0 18,898 1.13$ 21,354.74$ 21,354.74$ -$ 0 -$ 0 -$ 0 -$ 0 -$ 700 791.00$ 798 901.74$ 900 1,017.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 1,100 1,243.00$ 18,898 100.00% 0 21,354.74$ -$ 38 CUS Project Management - Deployment Phase (Monthly) 24 0 24 18,960.00$ 455,040.00$ 455,040.00$ -$ -$ -$ -$ -$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 1 18,960.00$ 18 75.00% 6 341,280.00$ 113,760.00$ 39 Mobilization - Deployment Phase (Monthly) 1 0 1 40,527.00$ 40,527.00$ 40,527.00$ -$ -$ -$ -$ 1 40,527.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 40,527.00$ -$ 40 Call Center (English) - Deployment Phase Only (Monthly) 24 0 24 2,133.00$ 51,192.00$ 51,192.00$ -$ -$ -$ -$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 1 2,133.00$ 19 79.17% 5 40,527.00$ 10,665.00$ 41 WOMS - Implementation and Data Capture (Installation) 18,898 0 18,898 1.93$ 36,473.14$ 36,473.14$ -$ 0 -$ 0 -$ 0 -$ 0 -$ 700 1,351.00$ 798 1,540.14$ 900 1,737.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 1,100 2,123.00$ 18,898 100.00% 0 36,473.14$ -$ 42 Optional Adder - Modify or Replace Domestic Vault Lids (Labor Only) - Per Hour 0 0 0 177.75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ 43 Optional Adder - Modify or Replace Fire Vault Lids (Labor Only) - Per Hour 0 0 0 177.75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ 44 Optional Adder - Replacement of Meter Box (Labor Only Per Hour) 0 0 0 177.75$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ Other Services
45 BEACON Engagement Fee (One Time Fee) 1 0 1 16,000.00$ 16,000.00$ 16,000.00$ -$ -$ -$ 1 16,000.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 16,000.00$ -$ 46 BEACON Integration 1 0 1 8,453.00$ 8,453.00$ 8,453.00$ -$ -$ -$ 1 8,453.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1 100.00% 0 8,453.00$ -$ 47 Training (per Day) 6 0 6 3,045.00$ 18,270.00$ 18,270.00$ -$ -$ -$ 2 6,090.00$ 2 6,090.00$ 2 6,090.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 6 100.00% 0 18,270.00$ -$ 48 Optional Adder: BEACON Single-Sign On (SSO) Integration 0 0 0 5,000.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ 49 Optional Adder: Eye On Water (Utility Branded) 0 0 0 5,000.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 100.00% 0 -$ -$ 50 Badger Meter Project Management 30 0 30 26,215.32$ 786,459.60$ 786,459.60$ -$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 1 26,215.32$ 22 73.33% 8 576,737.04$ 209,722.56$ Service Units
51 BEACON Managed Solution Service Unit Pricing - Year 1 102,049 0 102,049 0.76$ 77,557.24$ 77,557.24$ -$ -$ -$ -$ 0 -$ 700 532.00$ 1,498 1,138.48$ 2,398 1,822.48$ 3,498 2,658.48$ 4,598 3,494.48$ 5,698 4,330.48$ 6,798 5,166.48$ 7,898 6,002.48$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 33,086 32.42% 68,963 25,145.36$ 52,411.88$ 52 BEACON Managed Solution Service Unit Pricing - Year 2 226,776 0 226,776 0.76$ 172,349.76$ 172,349.76$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 8,998 6,838.48$ 10,098 7,674.48$ 11,198 8,510.48$ 12,298 9,346.48$ 13,398 10,182.48$ 14,498 11,018.48$ 15,598 11,854.48$ 16,698 12,690.48$ 17,798 13,526.48$ 18,898 14,362.48$ 139,480 61.51% 87,296 106,004.80$ 66,344.96$ 53 BEACON Managed Solution Service Unit Pricing - Year 3 226,776 0 226,776 0.76$ 172,349.76$ 172,349.76$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 0 0.00% 226,776 -$ 172,349.76$ Total Total Sell Price per Above 15,776,287.20$ 15,776,287.20$ -$ 18,905 432,796.32$ 18,902 399,331.32$ 21,906 927,874.32$ 21,655 938,131.54$ 7,843 834,050.32$ 9,177 833,492.50$ 10,831 1,117,241.04$ 13,107 1,105,542.08$ 13,779 1,005,835.40$ 14,877 960,136.11$ 15,861 788,871.63$ 16,961 789,707.63$ 18,061 790,543.63$ 19,161 791,379.63$ 20,261 765,881.63$ 21,361 766,717.63$ 20,001 357,380.73$ 21,101 351,664.79$ 22,221 333,216.44$ 23,301 312,261.80$ 24,401 313,097.80$ 25,501 313,933.80$ Note: There is no tax included in the contract and SOV but tax will be charged on invoicing Total - Original Contracted (excl Service Units) 15,097,937.93$ 256,092.51$ Total Contract w/ Service Units Billed 15,229,088.09$ 547,199.11$ Total Sell Price per Contract - Original 15,776,287.20$ - variance
Forecast Summary
Badger Product -$ -$ 498,000$ 499,652$ 620,486$ 602,937$ 833,966$ 781,109$ 631,461$ 583,694$ 408,360$ 408,360$ 408,360$ 408,360$ 408,360$ 408,360$ -$ -$ -$ -$ -$ -$ 7,501,467$ Lids Product -$ -$ -$ -$ 39,276$ 44,900$ 50,754$ 62,232$ 61,658$ 62,739$ 62,739$ 62,739$ 62,739$ 62,739$ 62,739$ 62,739$ 62,739$ 63,438$ 64,209$ 63,129$ 63,129$ 63,129$ 1,077,763$ Installation (Audit Phase) 406,581$ 373,116$ 373,116$ 363,514$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,516,327$ Installation (Deployment Phase) -$ -$ -$ 42,660$ 141,451$ 158,301$ 204,483$ 233,327$ 283,006$ 283,157$ 286,391$ 286,391$ 286,391$ 286,391$ 260,057$ 260,057$ 258,244$ 250,993$ 230,937$ 210,227$ 210,227$ 210,227$ 4,382,921$ Other Services 26,215$ 26,215$ 56,758$ 32,305$ 32,305$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 26,215$ 619,460$ Service Units -$ -$ -$ -$ 532$ 1,138$ 1,822$ 2,658$ 3,494$ 4,330$ 5,166$ 6,002$ 6,838$ 7,674$ 8,510$ 9,346$ 10,182$ 11,018$ 11,854$ 12,690$ 13,526$ 14,362$ 131,150$ Total 432,796$ 399,331$ 927,874$ 938,132$ 834,050$ 833,493$ 1,117,241$ 1,105,542$ 1,005,835$ 960,136$ 788,872$ 789,708$ 790,544$ 791,380$ 765,882$ 766,718$ 357,381$ 351,665$ 333,216$ 312,262$ 313,098$ 313,934$ 15,229,088$ - - - - - - - - - - - - - - - - - - - - - - June 2026December 2024 May 2026January 2025 February 2025 March 2025 April 2025 May 2025September 2024 October 2024 November 2024 June 2025 July 2025 August 2025 September 2025 October 2025 November 2025 March 2026 April 2026December 2025 January 2026 February 2026 City of Hanford, CA
Customer PO: x

&267352326$/

Quantity Description Extended Amount
1 Badger Meter Products Total 7,501,466.68$
1 Badger Meter Software Total 42,723.00$
1 Installation (If requested) 7,023,381.16$
1 Badger Meter Project Management 786,459.60$
15,354,030.44$
Year 1 Total: 15,431,587.68$
Quantity Description Amount Extended Amount
102,049 BEACON Managed Solution Service Unit Pricing - Year 1 0.76$ 77,557.24$ 226,776 BEACON Managed Solution Service Unit Pricing - Year 2 0.76$ 172,349.76$ 226,776 BEACON Managed Solution Service Unit Pricing - Year 3 0.76$ 172,349.76$ 3 Years of Service Units 422,256.76$
Any fees for professional services that are identified as a "Monthly" fee are based on the estimated schedule. Monthly fees will be levied over the length of the project. If the project is completed ahead of schedule or extends past the anticipated duration, the fees will be charged accordingly.

After the initial one-year term, Badger Meter reserves the right to increase pricing for our products at the time of renewal.

If applicable, sales tax and freight will be calculated based on rates and tax status in effect at the time of invoicing. *See installation tab and submitted SOW, section 1.7 for a listing of relevant project assumptions

SUMMARY
Initial Product, Software and Labor Expenses Total
Ongoing Maintenance Fees
Total Ongoing O&M costs (Service Units) will be determined by the number of installed endpoints at the time of billing. Monthly Service Unit Fee includes the following: ORION® Network as a Service, BEACON® Software as a Service, BEACON® Utility Software, EyeOnWater® Consumer Portal, EyeOnWater® Smartphone App, 24/7 Technical Support, Local Field Support and Cellular Communication. Badger Meter reserves the right to increase Service Unit pricing limited to 1% annually beginning in Year 4 through 10. Years 11-20 are subject to standard pricing.

Clarifications:

Initial Product and Labor Expenses - Breakdown on Tabs below

QTY UNITPRICE EXTENDED AMOUNT Notes
1 17,761 200.00$  3,552,200.00$   Cableshieldavailable=add$7.00/ea 2 24 585.36$  14,048.64$   Cableshieldavailable=add$7.00/ea 3 856 777.24$  665,317.44$   Cableshieldavailable=add$7.00/ea 4 88 2,170.72$ 191,023.36$   Cableshieldavailable=add$7.00/ea 5 106 2,705.44$ 286,776.64$   Cableshieldavailable=add$7.00/ea 6 22 4,210.44$ 92,629.68$   Cableshieldavailable=add$7.00/ea 7 41 4,958.12$ 203,282.92$   Cableshieldavailable=add$7.00/ea 8 18,898 132.00$  2,494,536.00$   Cableshieldavailable=add$2.50/ea 9 14 118.00$  1,652.00$  ProductTotal 7,501,466.68$
QTY UNITPRICE EXTENDED AMOUNT Notes
1 466.00$  466.00$   Optional.Alternatetorequested1"ASV 1 183.00$  183.00$   Alternatetonumber1(Polymer) 1 282.95$  282.95$   Alternatetonumber1(Pressure) 1 2,136.72$ 2,136.72$   Alternatetonumber4(LayLength12") 1 2,671.44$ 2,671.44$   Alternatetonumber5(LayLength14") 1 3,989.44$ 3,989.44$   Alternatetonumber6(LayLength18") 1 2.50$  2.50$   Adderforcableshield 1 7.00$  7.00$   Adderforcableshield ProductTotal 9,739.05$
OptionalProducts
EͲSeriesPlusBrz,3/4"(7Ͳ1/2),ThkWshr,Enc,4CXN2ORION,9DͲ0.01Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesBͲAlloy,1"(10Ͳ3/4),ThkWshr,Enc,4CXN2ORION,9DͲ0.01Gal,TSͲ766,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesBͲAlloy,3"RND(12),TPPrsr,Enc,4CXN2ORION,9DͲ0.1Gal, BaseOffering
EͲSeriesBͲAlloy,8"x20"RND,TPPrsr,Enc,4CXN2ORION,9DͲ1Gal,SNYr9D&PBB,TTͲ5',BMISTD, EPOnly,ForEnc,ORIONCELLHLD,ThruLdInstlKit,TTͲ8in,Grnd/OceanͲPause,BMISTD,24PACK IRCOMMUMNICATIONDEVICEKITͲLTE
PRODUCTDESCRIPTION
EͲSeriesEP,1"(10Ͳ3/4),ThkWshr,Enc,4CXN2ORION,9DͲ0.01Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesBͲAlloy,6"x24"RNDPrsr,Enc,4CXN2ORION,9DͲ1Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesSS,1Ͳ1/2"EL(13),Enc,4CXN2ORION,9DͲ0.1Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesSS,2"EL(17),Enc,4CXN2ORION,9DͲ0.1Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesBͲAlloy,3"RND(17),TPPrsr,Enc,4CXN2ORION,9DͲ0.1Gal,SNYr9D&PBB,TTͲ5',BMISTD EͲSeriesBͲAlloy,4"RND(20),TPPrsr,Enc,4CXN2ORION,9DͲ0.1Gal,SNYr9D&PBB,TTͲ5',BMISTD, EͲSeriesBͲALLOY,1"(10Ͳ3/4),THKWSHR,PRSR,ENCEBͲECAͲPXTPͲE5ͲCAͲ19AEͲK3Y2ͲXXTFͲXXͲB0A CableShieldͲ8in.forORIONendpoints
CableShieldͲ5ft.formeters
EͲSeriesBͲAlloy,4"RND(14),TPPrsr,Enc,4CXN2ORION,9DͲ0.1Gal, EͲSeriesBͲAlloy,6"x18"RNDPrsr,Enc,4CXN2ORION,9DͲ1Gal,SNYr9D&PBB,TTͲ5',BMISTD, PRODUCTDESCRIPTION

QTY UNIT PRICE EXTENDED
AMOUNT Notes
1 16,000.00$ 16,000.00$
1 8,453.00$ 8,453.00$
6 3,045.00$ 18,270.00$ Additional Sessions Charged at Unit Rate 42,723.00$

QTY UNIT PRICE EXTENDED
AMOUNT Notes
1 5,000.00$ 5,000.00$
1 5,000.00$ 5,000.00$
Product Total 10,000.00$

PRODUCT DESCRIPTION
BEACON Engagement Fee (One Time Fee)
BEACON Integration
Training Per Day
Base Software Offering
Optional Products

PRODUCT DESCRIPTION
BEACON Single Sign On (SSO) Integration
EyeOnWater (Utility Branded)
Badger Meter AMI FAN (BEACON)

Quantity Description Price Extended Price
17,761 Small Meter Audit (5/8" to 1") $ 34.96 $ 620,924.56 880 Intermediate Meter Audit (1.5" to 2") $ 58.07 $ 51,101.60 257 Large Meter Audit (3"-8") $ 88.88 $ 22,842.16 18,641
Line Material Survey (5/8" to 2"
Only) $ 36.14 $ 673,685.74 18,898
GPS Coordinate Capture (Sub-Meter
Accuracy) $ 3.56 $ 67,276.88 4 Installation Management - Audit
Phase (Monthly) $ 5,332.50 $ 21,330.00 1 Mobilization - Audit Phase $ 16,590.00 $ 16,590.00 1 WOMS - Programming and Setup $ 8,437.50 $ 8,437.50 1 WOMS - Integration $ 8,437.50 $ 8,437.50 18,898
WOMS - Implementation and Data
Capture (Audit) $ 1.36 $ 25,701.28 Subtotal $ 1,516,327.22
Quantity Description Price Extended Price
17,761
Small (5/8"and 1") Meter
Replacement $ 155.31 $ 2,758,460.91 880 1.5"-2" Meter Installation $ 386.31 $ 339,952.80 88 3" Meter Installation $ 1,061.76 $ 93,434.88 106 4" Meter Installation $ 1,535.76 $ 162,790.56 22 6" Meter Replacement $ 3,852.44 $ 84,753.68 41 8" Meter Replacement $ 5,037.44 $ 206,535.04 17,661
Meter Pit Lid Replacement (Up to
23"x 13.5"x 1.75") - Labor Only - Per
Instance $ 11.26 $ 198,862.86 100
Meter Pit Lid Replacement (Up to

26.5" x15"x 1.75") - Labor Only - Per
Instance $ 15.11 $ 1,511.00 17,000
Nicor B16 Rectangular Lid
(10.5"x20.625"x2.0") $ 57.39 $ 975,630.00 50 Nicor B36 Rectangular Lid
(17.5"x30.5"x2.0") $ 132.94 $ 6,647.00 50 Nicor B30 Rectangular Lid
(13.75"23.125"x2.0") $ 83.15 $ 4,157.50 661
Nicor B9C Rectangular Lid
(9.875"x"15.25"x1.625") $ 39.45 $ 26,076.45 Base Installation Work
Phase 1 - Meter Audit
Phase 2 - Full Deployment*

18,898 Pre-Installation Postcard (1/Account) $ 2.31 $ 43,654.38 18,898
Post Install Door Hanger (3.5" x 8.5")
(1/Account) $ 1.13 $ 21,354.74 24 CUS Project Management -
Deployment Phase (Monthly) $ 18,960.00 $ 455,040.00 1 Mobilization - Deployment Phase
(Monthly) $ 40,527.00 $ 40,527.00 24 Call Center (English) - Deployment
Phase Only (Monthly) $2,133.00 $ 51,192.00 18,898
WOMS - Implementation and Data
Capture (InstallaƟon) $1.93 $ 36,473.14 Subtotal $ 5,507,053.94
Installation Totals $ 7,023,381.16
Quantity Description Price Extended Price
1 Adder: Audit Capture per Meter in
Vault $ 118.50 $ 118.50 1 Adder: Audit Capture per Meter in
Backyard, Alleway, and Indoor $ 17.78 $ 17.78 Subtotal $ 136.28
Quantity Description Price Extended Price
1 Modify or Replace Domestic Vault
Lids (Labor Only) - Per Hour $ 177.75 $ 177.75 1 Modify or Replace Fire Vault Lids
(Labor Only) - Per Hour $ 177.75 $ 177.75 1 Replacement of Meter Box (Labor
Only, Per Hour) $ 177.75 $ 177.75 Subtotal $ 533.25
Optioal Installation Totals $ 669.53
Phase 1A - Optional or Additional Work for Meter Audit
Phase 2A - Optional or Additional Work for Full Deployment Optional/Additional Installation Work

Installation and Audit pricing is valid for one year from the date of the quotation. If kickoff of the project commences post-year 1, pricing will increase annually.

Installation Services are warrantied against leaks for a period of 1 year from the work order completion date, as recorded through the work order management system and completed work order installation data. The warranty applies only to the area of work performed by the Contractor, as documented by data and photos within the work order management system, and reasonably attributed to the installation process. *All 'Phase 2" pricing is budgetary until the results of the "Phase 1 Audit are complete" this permits providing the most accurate and complete solution to the City of Hanford.

Installation Partner Assumptions and Exclusions
Any permit fees are excluded and will be assessed on a case-by-case basis All labor pricing includes prevailing wage rates.

Demobilization/Remobilization/Stand Down Contingency: The project mobilization and demobilization is assumed for a single-phase move on and move off for installation and deployment. If demobilization and remobilization occur during the project due to reasons beyond Badger Meter’s control (e.g., lack of materials and inventory, lack of data or account information), additional contingency fees will be assessed.

It is assumed that a secure staging/warehousing facility will be provided by the Owner for the use of the Contractor for the duration of the project. Such a facility to be of appropriate size, type, and security for the work contemplated.

Meter installation pricing includes all labor, tools, washers, vehicles, and fuel. All plumbing appurtences that may be required (such as spuds, couplings, compression fittings, backflow prevention devices, etc.) are not in scope Hazardous material disposal is not included
Any box replacement pricing provided excludes work in concrete or hardscape areas. *See submitted SOW, section 1.7 for a listing of additional relevant project assumptions

Quantity Description Price Extended Price Notes
30 Badger Meter Project Management 26,215.32 $ 786,459.60 $ Project Management Fee includes: Contract Review,
Project Planning, Kickoff and Preconstruction
meetings, All required travel, Project Execution and
Control, weekly status meetings and issue resolution,
Project Administration, Data Analyst and Project
Closeout tasks totaling # months of full deployment.
1 Bonding -$ Bonding Can Be Provided Upon Award if Required 786,459.60$ PM and Bonding Total
Base Project Management Offering

QUANTITY UNIT PRICE EXTENDED PRICE
102,049 0.76$ 77,557.24$
226,776 0.76$ 172,349.76$
226,776 0.76$ 172,349.76$
3 Years of Service
Units 422,256.76$
Clarifications:

DESCRIPTION
Base Ongoing/Maintenance Offering
Total Ongoing O&M costs (Service Units) will be determined by the number of installed endpoints at the time of billing.

Monthly Service Unit Fee includes the following: ORION® Network as a Service, BEACON® Software as a Service, BEACON® Utility Software, EyeOnWater® Consumer Portal, EyeOnW ater® Smartphone App, 24/7 Technical Support, Local Field Support and Cellular Communication. Badger Meter reserves the right to increase Service Unit pricing limited to 1% annually beginning in Year 4 through 10. Years 11-20 are subject to standard pricing.

BEACON Managed Solution Service Unit Pricing - Year 2
BEACON Managed Solution Service Unit Pricing - Year 3
BEACON Managed Solution Service Unit Pricing - Year 1

13.B.

AGENDA

STAFF REPORT

MEETING DATE: 7/2/2024 AGENDA SECTION: GENERAL BUSINESS

SUBJECT:

Authorization to Execute an Agreement with Perkins & Will, for an Amount Not to Exceed $649,528, for the Kings-Tulare HSR Station TOD & Connectivity Plan & CVC Rail Service Planning, Funded via a Sustainable Communities Grant, which Council previously approved the application and acceptance of.

RECOMMENDATION:

Recommended Motion: That the City Council, by motion, Authorize the City to Enter into an Agreement with Perkins & Will for an Amount Not to Exceed $649,528 for the Kings-Tulare HSR Station TOD & Connectivity Plan & CVC Rail Service Planning BACKGROUND:

In February 2023, Council authorized Staff to apply for the 2023-24 Sustainable Transportation Planning Grant Application. The City applied for a project, led by the City of Hanford in partnership with San Joaquin Joint Powers Authority (SJJPA), the California High-Speed Rail Authority (CHSRA), Kings County Association of Governments (KCAG), Tulare County Association of Governments (TCAG), Fresno Council of Governments (Fresno COG), Kings County Area Public Transit Agency (KCAPTA), and Tulare County Regional Transit Agency (TCRTA), that will result in a plan guiding station-area transit-oriented development (TOD) and a connectivity plan for the Kings-Tulare HSR station area and the Cross Valley Corridor (CVC) Rail Project between Porterville and Huron.

Goals for the plan include reducing potential sprawl, preserving agricultural land, and promoting TOD surrounding and associated with the Kings-Tulare HSR Station, as well as increasing connectivity to the Downtown Hanford Core and communities throughout Kings County, Tulare County, and portions of Fresno County. The Project will result in a planning document that enables the City of Hanford to promote TOD, economic development, encourage revitalization in areas surrounding the Kings- Tulare HSR Station. The Project will support enhancing connections to transit, equitable design, and the advancement of CVC Phase 1 bus service implementation. The project will involve stakeholder and the community to develop a vision that is comprehensive of local and regional mobility needs.

The Project will also include CVC Rail station siting analysis, high-level environmental constraints review, UPRR coordination, phasing strategy, and an implementation plan. This effort will provide the planning needed to continue to move the implementation the future CVC Rail Project forward.

In May, City Staff circulated a Request for Proposal to identify a consultant to prepare the aforementioned TOD and CVC planning documents and received proposals from the following firms:

Ardurra, Perkins & Will, PlaceWorks, Crandall Arambula, and Torti Gallas & Partners, Inc. The scoring committee reviewed each proposal and the top three firms were interviewed to further

evaluate their qualifications and experience. Based on the established scoring criteria, Perkins & Will received the highest average score. Staff is requesting authorization to enter into an agreement with Perkins & Will to provide services for the Kings-Tulare HSR Station TOD & Connectivity Plan & CVC Rail Service Planning.

FISCAL IMPACT:

Project funding is from a State Sustainable Communities Grant with a staff time in-lieu match from the City.

ATTACHMENTS:

1. Perkins & Will Cost Proposal

2. Project Timeline

May 9, 2024
City of Hanford RFP #2024-16
Planning Services for the Kings-
Tulare High Speed Rail Station
Transit-Oriented Development and
Connectivity Plan and Cross Valley
Corridor Rail Service Planning
Cost Proposal

0.1 Finalize Scope of Work 1,080.00$ -$ -$ -$ -$ -$

0.2 Kick-Off Workshop & Field Visit 9,640.00$ -$ -$ 3,080.00$ -$ 2,960.00$

0.3 Core Team Meetings (Bi-weekly) 29,520.00$ -$ -$ 5,610.00$ -$ 7,640.00$ 40,240.00$
-$
-$
8,690.00$
-$
10,600.00$
59,530.00$

1.1 Purpose & Need Memorandum 5,040.00$ -$ -$ -$ -$ -$

1.2 Existing Conditions Report and Literature Review 11,800.00$ 9,520.00$ -$ 5,300.00$ -$ 4,130.00$

1.3 Project Vision Statement / Goals and Objectives 7,920.00$ -$ -$ -$ -$ -$

1.4 Draft Study Area Boundary 2,360.00$ -$ -$ -$ -$ -$

1.5 Draft Land Use and Connectivity Concepts 43,860.00$ 3,930.00$ -$ 4,440.00$ -$ 3,820.00$

1.6 Draft Land Use and Transportation Consistency Review 4,160.00$ 2,385.00$ -$ -$ -$ -$ 75,140.00$
15,835.00$
-$
9,740.00$
-$
7,950.00$
108,665.00$

2.1 Public Engagement Plan -$ 3,225.00$ -$ -$ -$ -$

2.2 Stakeholder Working Group (SWG) Selection 2,520.00$ 1,125.00$ -$ -$ -$ -$

2.3 Stakeholder Working Group (SWG) Meetings (3) and Summaries 21,600.00$ 1,545.00$ -$ 3,330.00$ -$ -$

2.4 Project Website and Online Engagement 2,160.00$ 15,185.00$ -$ -$ -$ -$

2.5 Community Workshops (2) and Materials 14,400.00$ 20,535.00$ -$ 3,330.00$ -$ -$ 40,680.00$
41,615.00$
-$
6,660.00$
-$
-$
88,955.00$

3.1 State and Federal DAC Definitions Maps 12,880.00$ -$ -$ -$ -$ -$

3.2 Displacement Analysis and Mitigations -$ -$ -$ 10,990.00$ -$ -$ 12,880.00$
-$
-$
10,990.00$
-$
-$
23,870.00$

4.1 Station Siting Analysis 15,880.00$ -$ -$ -$ 11,800.00$ 7,960.00$

4.2 UPRR and CVC Rail Service Stakeholder Coordination 4,320.00$ -$ -$ 7,688.00$ -$

4.3 CVC Rail Service Environmental Screening -$ -$ 30,152.00$ -$ -$ -$ 20,200.00$
-$
30,152.00$
-$
19,488.00$
7,960.00$
77,800.00$

5.1 Multimodal Access, Circulation, and Connectivity Analysis 11,800.00$ 4,965.00$ -$ -$ -$ 9,980.00$

5.2 Land Use and Zoning Overlay Assessment and Recommendations 21,560.00$ -$ -$ -$ -$ -$

5.3 Concept Land Use, Circulation, and Preservation Plan 24,800.00$ 3,685.00$ -$ 20,880.00$

5.4 Parking Analysis -$ -$ -$ 11,520.00$

5.5 Economic Development Plan -$ -$ 17,970.00$ -$

5.6 Refined Land Use and Connectivity Concepts 13,080.00$ 16,830.00$ -$ 3,000.00$

5.7 Final Land Use and Transportation Consistency Review 6,520.00$ 1,545.00$ -$ -$

5.8 Recommended Final Alternative 4,080.00$ 1,545.00$ -$ -$ -$ -$ 81,840.00$
28,570.00$
-$
17,970.00$
-$
45,380.00$
173,760.00$

6.1 Financial and Economic Development Plan -$ -$ -$ 15,160.00$ -$ -$

6.2 Implementation and Phasing Plan 4,360.00$ -$ -$ 13,920.00$ -$ -$ 4,360.00$
-$ -$ 29,080.00$ -$ -$ 33,440.00$

7.1 Administrative Draft Kings-Tulare HSR TOD and Connectivity Plan 35,480.00$ -$ -$ 3,380.00$ -$ -$

7.2 CVC Rail Service Summary Report -$ -$ -$ -$ 8,668.00$ -$ 35,480.00$
-$
-$
3,380.00$
8,668.00$
-$
47,528.00$

8.1 Final Kings-Tulare TOD and Connectivity Plan 12,160.00$ -$ -$ -$ -$ -$

8.2 Final CVC Rail Service Summary Report 1,080.00$ -$ -$ -$ -$ -$

8.3 City Council Presentation 5,040.00$ -$ -$ 2,720.00$ -$ -$

8.4 Final Plan Presentations 2,160.00$ -$ -$ 2,720.00$ -$ -$ 20,440.00$
-$
-$
5,440.00$
-$
-$
25,880.00$
331,260 86,020 30,152 91,950 28,156 71,890 639,428.00$
$3,000.00 $0.00 $0.00 -$ $0.00 $0.00
$3,000.00 $2,500.00 $0.00 200.00$
$0.00 $800.00
$0.00 $0.00 $0.00 600.00$ $0.00 $0.00
6,000.00$
2,500.00$
-$
800.00$
-$
$800.00 10,100.00$
337,260.00$ 88,520.00$ 30,152.00$ 92,750.00$ 28,156.00$ 72,690.00$ 649,528.00$ S
ubtotal labor S
ubtotal laborS
ubtotal labor
TASK 2: STAKEHOLDER & PUBLIC ENGAGEMENT
TASK 8: FINAL KINGS-TULARE HSR STATION TOD AND CONNECTIVITY PLAN AND FINAL CVC RAIL SERVICE PLANNING SUMMARY Task Total
TASK 5: KINGS-TULARE HSR STATION TOD LAND USE AND CONNECTIVITY ANALYSIS Task Total
Task Total
S
ubtotal labor
TASK 1: EXISTING CONDITIONS, LITERATURE REVIEW, VISIONING, AND SCENARIO DEVELOPMENT TASK 3: EQUITY AND DISPLACEMENT ANALYSIS
TASK 4: CVC RAIL SERVICE DEVELOPMENT PLAN STATION SITING ANALYSIS, UPRRC COORDINATION, ENVIRONMENTAL SCREENING

FEE MATRIX
S
ubtotal labor
Perkins&Will TEAM
8-May-24
Kings-Tulare HSR Station TOD & Connectivity Plan & CVC Rail Service Planning TASK 0: PROJECT MANAGEMENT
Task Total
Task Total
Task Total

TOTAL LABOR AND EXPENSES
Total
Expenses Total

SUBTOTAL LABOR
Task Total
Miscellaneous
Transportation
Printing For SWGs & Workshops
TASK 7: DRAFT KINGS-TULARE HSR STATION TOD AND CONNECTIVITY PLAN AND DRAFT CVC RAIL SERVICE PLANNING SUMMARY Task Total
Reimbursable expenses
TASK 6: KINGS-TULARE HSR STATION TOD AND CONNECTIVITY PROJECT IMPLEMENTATION STRATEGY AND PHASING PLAN Task Total
Subtotal labor

MOMONTH 3MONTH 1 MONTH 2 MONTH 4 MONTH 5 MONTH 6TASKS
TASK 0: PROJECT MANAGEMENT
TASK 1: EXISTING CONDITIONS
TASK 2: STAKEHOLDER & PUBLIC ENGAGEMENT
TASK 3: EQUITY & DISPLACEMENT ANALYSIS
TASK 4: CVC RAIL SERVICE
TASK 5: LAND USE & CONNECTIVITY ANALYSIS
TASK 6: IMPLEMENTATION & PHASING
TASK 7: DRAFT PLAN & REPORT
TASK 8: FINAL PLAN & REPORT
- Finalize Scope
-K i c k o f f W o r k s h o p
- Field Visit
-T e a m M e e t i n g s
- Purpose & Need
-E x i s t i n g C o n d i t i o n s R e p o r t
- Vision & Goals
-S t u d y A r e a
- Land Use & Connectivity Analysis
- Public Engagement Plan
-S W G S e l e c t i o n
-S W G M e e t i n g s ( 3 )
-P r o j e c t W e b s i t e
- Community Workshop (2)
- State & Federal
- Displacement Analysis
-S t a t i o n S i t i n g
- UPPR & CVC Rail Service
- CVC Environmental Screening
- Multimodal Access
- Land Use & Zoning
-C o n c e p t L a n d U s e
- Parking Analysis
- Economic Development
-R e f i n e d L a n d U s e
- Final Land Use
- Financial & Economics Development Plan
-P h a s i n g P l a n
- Administrative Draft
-D r a f t
- Final Draft
- Final
- City Council Approval
City Review
City Review

1. Listening 2. Collaboration

1. Site Analysis/
Opportunities
and Constraints
Mapping/
Visioning
Online
Survey
MONTH 9ONTH 7 MONTH 8 MONTH 10 MONTH 11 MONTH 13 MONTH 15 MONTH 17MONTH 12 MONTH 14 MONTH 16 Bi-Weekly Meetings until Month 12
City Review
City Review
City Review
City Review
City Review

2. Recommendations

3. Presentation
Online
Survey

13.C.

AGENDA

STAFF REPORT

MEETING DATE: 7/2/2024 AGENDA SECTION: GENERAL BUSINESS

SUBJECT:

Approval of an additional Appropriation of $905,066 in the General Fund and $7,875,773 across all Other Funds for the Mid-Cycle Amendment to the 2024-25 Fiscal Year Budget

RECOMMENDATION:

Recommendation: Staff recommends, by motion, the City Council approve an additional appropriation of $905,066 in the General Fund and $7,875,773 across all Other Funds for the mid- cycle amendment to the 2024-25 Fiscal Year Budget.

Recommended Motion: I move to approve an additional appropriation of $905,066 in the General Fund and $7,875,773 across all Other Funds for the mid-cycle amendment to the 2024-25 Fiscal Year Budget.

BACKGROUND:

Council adoption of the City’s biennial balanced budgets for FY24 & 25 occurred on June 20th, 2023.

A Mid-cycle review (after the first fiscal year) allows for Council to make amendments to the second year of the biennial budget, based on a review of the most recent actual activity of the current fiscal year and department requests based on anticipated activity. Consideration of the current economic climate, as well as alignment with Council’s goals and objectives, are important aspects of the review process.

This update continues the principles that were established by Resolution 20-29-R for a balanced budget adoption but, in order to achieve a balanced budget, substantial reductions are proposed to fleet reserve contributions. This will leave a large deferred need in the proposed amount of $454,640 for the City to manage in future budgets . New requests for services or positions in the General Fund are generally not recommended by staff during this time unless offset by increased revenues and/or cost reductions. New requests for services or positions across all other Funds are reviewed on a fund-by-fund basis to ensure fund balance availability and/or the request is offset by an increase in projected revenues or expenditure savings. Proprietary (Enterprise) funds have their expenses recovered by rates collected from customers in order to carry out operations.

REVIEW OF GENERAL FUND REVENUES:

The highest contributors of revenue for the General Fund (GF) are property and sales tax. As we approach the year end for FY24, property tax revenues are expected to be slightly better than budgeted overall. Property taxes tend to be stable unless there is significant development occurring within the city. In particular, there is a significant increase in the vehicle license fee in lieu tax

dispersed from the DMV. The FY25 budget was conservatively increased from FY24 and should be realized based on prior trends.

It is highly anticipated that sales tax for FY24 may come in under budget based on recent receipts of sales tax and a decreased estimate from our sales tax audit consultant. Estimations are received on a quarterly basis. During budget preparation, staff used the best estimate available at the time based on current trends. This would be the first decrease in sales tax realized by the City since at least FY20. Current sales tax forecasting for FY25 shows the City could come in under budget by approximately $2 million (this would be a slight increase from FY24).

Despite these projections, there is no recommended change to budgeted revenues for sales tax and property tax. With the large fluctuations of estimated sales tax revenue, there is a possibility that estimations could improve. Staff recommends keeping revenue projections ‘as is’ and in the worst case, assume budget savings from unfilled (vacant) positions to cover a large portion or all of the sales tax budget gap.

SUMMARY OF CHANGES:

FY25 amendment review provided challenges as it was not possible to adjust core GF revenues to offset the additional costs. In order to adhere to a balanced budget, per Resolutions 20-29-R and 22- 20-R, the City needs to defer the setting aside of certain reserves or reduce other operating expenses. Building capital/equipment reserves were already deferred during the recent biennial budget adoption.

Below, staff has included two scenarios for Council review. The first scenario includes recommended amendments that are considered essential operationally, or immediate health/safety concerns for the staff or the public, cost increases due to inflation, or departmental revenue offset items. The second scenario includes all items from ‘Scenario 1’ plus additional deferred departmental requests. Both would be offset by deferring reserves. Moreover, there were additional deferred requests that Finance staff did not include at this time due to an inability to do so and have a balanced budget.

Additionally, including them could bring the City into a deficit budget position. All deferred requests may be reconsidered and presented to City Council during the next mid-year review and/or during

the next biennial budget adoption process, in order for staff and the Council to take a comprehensive look at the budget future in hopes of reaching a structurally balanced budget.

Scenario 1 – Summary of proposed amendments (Recommended)

• Balanced budget with an additional reduction of fleet reserve contributions (not including Police) by 71% or $454,640.

Additional appropriation in the amount of $905,066 in the GF is proposed plus other revenue and allocation amendments. In total, the approximate amount of building capital/equipment replacement, fleet and computer reserve contribution deferrals would amount to almost $805,000 for 'Scenario 1' which at some point will need to be paid.

An additional appropriation in the amount of $7,875,773 across all Other Funds is proposed.

Scenario 2 – Summary of amendments (recommended to defer)

• Includes the changes in Scenario 1 plus $233,450 in additional requests made by the departments in the GF.
• Balanced budget due to a reduction of fleet reserve contributions (not including Police) by 85% or $544,290 and completely reducing computer replacement reserves by 100% or $94,550 for a total offset of $638,840.
• Other Funds appropriation remains the same.

The deferred scenario would include an additional appropriation in the amount of $954,316 in the GF and $7,875,773 across all other Funds. However, this scenario would defer an additional almost

$185,000 in cuts to fleet and computer replacement reserves, on top of approximately $450,000 already deferred in "Scenario 1" for over $1 million in deferral of reserves for future vehicles and IT equipment. Staff believes the recommendation already includes substantial deferrals that are compounding what was deferred in the original budget adoption and will eventually come back to create a deeper burden on the City.

FISCAL IMPACT:

Staff's recommendation proposes an additional appropriation of $905,066 in the General Fund and $7,875,773 across all other Funds which will be paid for by a combination of reducing fleet reserve contributions, cost allocation increases, department revenue increases and fund balances available.

The General Fund would maintain a balanced budget, but only due to substantial deferrals and offsetting revenue increases.

For detailed line items of proposed amendments and total budget change by department, see Attachment “A”.

ATTACHMENTS:

1. Attachment A

GENERAL FUND‐DETAIL OF CHANGES (SCENARIO 1-RECOMMENDED) ORG OBJECT ACCT  DESCRIPTION 2025 BUDGET
2025 AMENDED
BUDGET NET CHANGE
0001‐11000000 CITY COUNCIL
11000000 749500 PROF  AND SPEC SERVICES         222,000  349,060  127,060 11000000‐TOTAL 222,000  349,060  127,060
0001‐11100000 CITY MANAGER ‐ CITY CLERK
11100000 745000 PUBLICATIONS  AND DUES          5,500  39,100  33,600 11100000 760000 SPECIAL  DEPARTMENTAL EXP       1,500  3,215  1,715 11100000‐TOTAL 7,000  42,315  35,315
0001‐12010000 FINANCE ‐ ACCOUNTING
12010000 749500 PROF  AND SPEC SERVICES         222,000  242,000  20,000 12010000‐TOTAL 222,000  242,000  20,000
0001‐13000000 CITY ATTORNEY
13000000 749000 CONTRACTED  LEGAL SERVICES      300,000  400,000  100,000 13000000 751900 LIABILITY  RISK MANAGEMENT      155,000  190,000  35,000 13000000‐TOTAL 455,000  590,000  135,000
0001‐14110000 PLANNING OPERATIONS
14110000 749500 PROF  AND SPEC SERVICES         20,000  115,000  95,000 14110000‐TOTAL 20,000  115,000  95,000
0001‐15110000 POLICE ‐ SUPPORT SERVICE
15110000 760300 SWAT  EXPENSES 25,900  43,400  17,500
15110000 760000 SPECIAL  DEPARTMENTAL EXP       72,430  57,430  (15,000) 15110000‐TOTAL 98,330  100,830  2,500
0001‐15130000 POLICE ‐ OPERATIONS
15130000 570200 TRANSFERS  IN ‐   (27,552)  (27,552)
15130000 741300 SOFTWARE  MAINTENANCE           70,000  260,000  190,000 15130000 749500 PROF  AND SPEC SERVICES         10,000  31,000  21,000 15130000‐TOTAL 80,000  263,448  183,448
0001‐15180000 POLICE ‐ ANIMAL CONTROL
15180000 420400 ANIMAL  CONT REVENUE            (5,600)  (10,400)  (4,800) 15180000 760000 SPECIAL  DEPARTMENTAL EXP       4,100  8,900  4,800 15180000‐TOTAL (1,500)  (1,500)  ‐
0001‐16100000 FIRE ‐ ADMIN/SUPPRESSION
16100000 543100 FIRE/TRAINING  REIM             (1,800)  (8,500)  (6,700) 16100000 732000 COMMUNICATIONS                  239,000  287,000  48,000 16100000 741000 FLEET  REPLACEMENT RESERVES 342,380  99,290  (243,090) 16100000 799500 OPERATIONAL  CAPITAL OUTLAY     55,000  75,000  20,000 16100000‐TOTAL 634,580  452,790  (181,790)
0001‐16110000 FIRE ‐ FIRE PREVENTION
16110000 494002 LIFE/SAFETY/BLDG  INS FEE       (15,000)  (45,000)  (30,000) 16110000 494003 FIRE  PLAN CHECKING FEES        (30,000)  (40,000)  (10,000) 16110000 494300 FIRE  INSPECTN & OTHR FEES      (230,000)  (275,000)  (45,000) 16110000 701300 PART ‐TIME EMPLOYEES            52,000  92,000  40,000 16110000 744000 OFFICE  EXPENSE MISC            800  8,000  7,200 16110000 749500 PROF  AND SPEC SERVICES         48,792  10,000  (38,792) 16110000 760000 SPECIAL  DEPARTMENTAL EXP       5,000  10,000  5,000 16110000 777000 TRAINING/TRAVEL/MEETING         5,000  15,000  10,000 16110000‐TOTAL (163,408)  (225,000)  (61,592)

ATTACHMENT A

GENERAL FUND‐DETAIL OF CHANGES (SCENARIO 1-RECOMMENDED) ORG OBJECT ACCT  DESCRIPTION 2025 BUDGET
2025 AMENDED
BUDGET NET CHANGE
0001‐17100000 PARKS & COMM SERV ‐ ADMIN
17100000 701300 PART ‐TIME EMPLOYEES            ‐   22,000  22,000 17100000‐TOTAL ‐   22,000  22,000
0001‐17110000 PARKS & COMM SERV ‐ SPORTS
17110000 4* FIELD PERMIT ‐   (33,158)  (33,158)
17110000‐TOTAL ‐   (33,158)  (33,158)
0001‐17190000 PARKS & COMM SERV ‐ YOUTH/ADULT/SPC SERVICES 17190000 767601 B&GC  01 SALARIES & BEN PROP64 ‐   34,902  34,902 17190000 767602 B&GC  02 SERV & SUPPLIES PROP64 ‐   25,740  25,740 17190000 767603 B&GC  03 PROFESS SVC PROP64 ‐   19,275  19,275 17190000 767604 B&GC  04 NGO CONTRACTS PROP64 ‐   331,311  331,311 17190000 767605 BG&C  05 EQUIP PROP64 ‐   90,000  90,000 17190000 767607 B&GC  07 PROGRAM EVAL PROP64 ‐   5,000  5,000 17190000 767609 B&GC  09 OTHER PROP64 ‐   800  800
17190000 767611 B&GC  11 INDIRECT COSTS PROP64 ‐   44,704  44,704 17190000‐TOTAL ‐   551,732  551,732
0001‐17220000 PARKS & COMM SERV ‐ PARKS
17220000 701300 PART ‐TIME EMPLOYEES            66,000  44,000  (22,000) 17220000 732000 COMMUNICATIONS                  3,000  8,650  5,650 17220000 741000 FLEET  REPLACEMENT RESERVES 122,340  35,480  (86,860) 17220000 749500 PROF  AND SPEC SERVICES         12,000  3,600  (8,400) 17220000 765000 CHEMICAL  AND CHEMICAL SUPP     30,000  36,000  6,000 17220000 778000 UTILITIES ‐ELECTRICITY          17,000  21,000  4,000 17220000‐TOTAL 250,340  148,730  (101,610)
0001‐20100000 PW ‐ ADMINISTRATION & ENGR
20100000 701000 REGULAR  EMPLOYEES              1,569,320  1,604,504  35,184 20100000 701800 INCENTIVE  PAY 34,920  51,783  16,863
20100000 703600 CAR  ALLOWANCE ‐   6,000  6,000
20100000 707110 RETIREMENT               269,945  275,179  5,234 20100000 707149 OTHER  PERSONNEL BENEFITS       55,000  57,557  2,557 20100000 708601 INSURANCE ‐MEDICAL              120,280  132,136  11,856 20100000 708602 INSURANCE ‐DENTAL     12,310  13,257  947 20100000 741000 FLEET  REPLACEMENT RESERVES 11,860  3,440  (8,420) 20100000‐TOTAL 2,073,635  2,143,856  70,221
0001‐20110000 PW ‐ STREET MAINTENANCE
20110000 7410000 FLEET  REPLACEMENT RESERVES 163,770  47,500  (116,270) 20110000‐TOTAL 163,770  47,500  (116,270)
SCENARIO 1 747,856

ATTACHMENT A

OTHER FUNDS‐ SUMMARY OF CHANGES (SCENARIO 1 OR 2-RECOMMENDED) ORG OBJEC T ACCT DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
0044‐26650000 GAS TAX ‐ 2103
0044 26650000 8* GARDNER  & GOLITA ‐   615,647  615,647 0044 26650000 8* GRANGEVILLE  MEDIAN AT HARRIS STREET ‐   674,540  674,540 0044 26650000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   40,000  40,000 26650000‐T ‐   1,330,187  1,330,187
0181‐21810000 TRANSPORTN FACLTY IMP FEE
0181 21810000 820640 12TH  AV WID/SPRINGCREST‐SW ‐   475,075  475,075 0181 21810000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   80,000  80,000 21810000‐T ‐   555,075  555,075
0300‐11102020 AIRPORT OPERATIONS
0300 11102020 743300 FUEL  AND LUBE MAINTENANCE 165,000  215,000  50,000 11102020‐T 165,000  215,000  50,000
0306‐20310000 REFUSE OPERATIONS
0306 20310000 732000 COMMUNICATIONS 3,000  10,000  7,000 0306 20310000 760000 SPECIAL  DEPARTMENTAL EXP 15,000  20,000  5,000 0306 20310000 799500 OPERATIONAL  CAPITAL OUTLAY ‐   30,000  30,000 0306 20310000 823008 AUTOMATED  REFUSE CONTAINERS 225,000  ‐   (225,000) 0306 20310000 824001 COMMERCIAL/RECYCLE DUMPSTERS 150,000  400,000  250,000 0306 20310000 824002 AUTOMATED  REFUSE CONTAINERS 96GA 225,000  259,000  34,000 20310000‐T 618,000  719,000  101,000
0306‐20320000 REFUSE STREET CLEANING
0306 20320000 701000 REGULAR  EMPLOYEES 235,820  ‐   (235,820) 0306 20320000 701500 OVERTIME 1,421  ‐   (1,421)
0306 20320000 702000 HOLIDAY ‐IN‐LIEU 290  ‐   (290)
0306 20320000 702300 DIFFERENTIAL 2,110  ‐   (2,110)
0306 20320000 707110 RETIREMENT 33,110  ‐   (33,110)
0306 20320000 707149 OTHER  PERSONNEL BENEFITS 3,420  ‐   (3,420) 0306 20320000 707160 RETIREMENT ‐DEF COMP  3,910  ‐   (3,910) 0306 20320000 707169 WORKERS'  COMP INSURANCE 20,337  ‐   (20,337) 0306 20320000 708601 INSURANCE ‐MEDICAL 12,070  ‐   (12,070) 0306 20320000 708602 INSURANCE ‐DENTAL 1,890  ‐   (1,890) 0306 20320000 708603 INSURANCE ‐VISION 260  ‐   (260)
0306 20320000 708604 INSURANCE ‐LIFE 1,040  ‐   (1,040) 0306 20320000 730000 UNIFORM  EXPENSE 1,800  ‐   (1,800) 0306 20320000 740000 FLEET  MAINTENANCE 246,110  ‐   (246,110) 0306 20320000
741000 FLEET  REPLACEMENT RESERVE 147,310  ‐   (147,310) 0306 20320000 742000 BUILDING  MTCE OVERHEAD 5,600  ‐   (5,600) 0306 20320000 742100 BLDG  CPTL/EQPT REPL RSRVE 939  ‐   (939) 0306 20320000 749500 PROF  AND SPEC SERVICES ‐   869,290  869,290 0306 20320000 749600 GRP  INSUR ADM EXPENSE 3,990  ‐   (3,990) 0306 20320000 760000 SPECIAL  DEPARTMENTAL EXP 150  ‐   (150) 0306 20320000 778800 UTILITIES ‐WATER 650  ‐   (650)
20320000‐T 722,227  869,290  147,063
0307‐20370000 REFUSE CAPITAL & RESERVES
0307 20370000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   10,000  10,000 20370000‐T ‐   10,000  10,000
0358‐20610000 STORM DRAINAGE OPERATIONS
0358 20610000 765000 CHEMICAL  AND CHEMICAL SUPP ‐   5,000  5,000 20610000‐T ‐   5,000  5,000
0359‐20620000 STORM DRAINAGE CAPITAL
0359 20620000 8* STORM  DRAIN VAC TRUCK ‐   453,880  453,880 0359 20620000 8* 8TH  & IRWIN FLOOD CONTROL IMPROV ‐   500,000  500,000 0359 20620000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   30,000  30,000

ATTACHMENT A

OTHER FUNDS‐ SUMMARY OF CHANGES (SCENARIO 1 OR 2-RECOMMENDED) ORG OBJEC T ACCT DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
20620000‐T ‐   983,880  983,880
0361‐20710000 WASTEWATER OPERATIONS
0361 20710000 757000 RENTS ‐WELL IMPROVEMENTS ‐   118,600  118,600 0361 20710000 765000 CHEMICAL  AND CHEMICAL SUPP 435,000  530,000  95,000 0361 20710000 777000 TRAINING/TRAVEL/MEETING 500  3,500  3,000 0361 20710000 778000 UTILITIES ‐ELECTRICITY 470,000  600,000  130,000 0361 20710000 795500 TAXES 47,500  53,000  5,500
20710000‐T 953,000  1,305,100  352,100
0362‐20730000 WASTEWATER CAPITAL & RESV
0362 20730000 8* WWTP  3RD INTERNAL LIFT ADDITION ‐   1,500,000  1,500,000 0362 20730000 8* EMERGENCY  LIFT PUMP INSTALLATION ‐   200,000  200,000 0362 20730000 8* CONFINED  SPACE EQUIPMENT ‐   15,000  15,000 0362 20730000 8* BREATHING  APPARATUS ‐   20,000  20,000 0362 20730000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   20,000  20,000 20730000‐T ‐   1,755,000  1,755,000
0390‐12100000 FINANCE‐UTILITY BILLING
0390 12100000 749500 PROF  AND SPEC SERVICES 20,000  53,000  33,000 12100000‐T 20,000  53,000  33,000
0390‐20810000 WATER OPERATIONS
0390 20810000 743300 FUEL  AND LUBE MAINTENANCE ‐   7,000  7,000 0390 20810000 749500 PROF  AND SPEC SERVICES 45,000  135,000  90,000 0390 20810000 760000 SPECIAL  DEPARTMENTAL EXP 7,000  10,000  3,000 0390 20810000 765000 CHEMICAL  AND CHEMICAL SUPP 300,000  350,000  50,000 0390 20810000 8* WELL  MEDIA FILTRATION ‐   250,000  250,000 20810000‐T 352,000  752,000  400,000
0391‐29100000 WATER CAPITAL & RESERVE
0391 29100000 8* ENGINEERING  STANDARDS SPECIFICATIO ‐   20,000  20,000 29100000‐T ‐   20,000  20,000
0409‐13090000 LIABILITY INSURANCE
0409 13090000 733000 LIABILITY  INSURANCE 900,000  2,047,107  1,147,107 13090000‐T 900,000  2,047,107  1,147,107
0416‐17502100 BUILDING MAINTENANCE
0416 17502100 758000 RENTS  AND LEASES‐EQUIP 500  2,000  1,500 0416 17502100 777000 TRAINING/TRAVEL/MEETING 500  2,500  2,000 0416 17502100 800184 MISC  EQUIP‐BLD MAINT ‐   4,000  4,000 17502100‐T 1,000  8,500  7,500
0447‐20400000 FLEET MAINTENANCE OPER
0447 20400000 743300 FUEL  AND LUBE MAINTENANCE 1,060,000  1,166,000  106,000 0447 20400000 743400 TIRES  AND TUBES 275,000  297,000  22,000 0447 20400000 749500 PROF  AND SPEC SERVICES 174,450  188,450  14,000 0447 20400000 760000 SPECIAL  DEPARTMENTAL EXP 632,400  682,000  49,600 0447 20400000 777000 TRAINING/TRAVEL/MEETING 1,500  6,000  4,500 0447 20400000 8* SHOP  LIFT ‐   70,000  70,000
0447 20400000 8* SHOP  EQUIPMENT ‐   25,500  25,500
0447 20400000 8* SMOG  EQUIPMENT ‐   7,000  7,000
20400000‐T 2,143,350  2,441,950  298,600
0448‐20500000 FLEET REPLACEMENT RESERVE
0448 20500000 8* STORM  DRAIN VAC TRUCK ‐   346,120  346,120 0448 20500000 8* MOWER  TO REPLACE UNIT 207 ‐   25,979  25,979 20500000‐T ‐   372,099  372,099
0451‐15110100 POLICE CAP/EQUIP REPL RES
0451 15110100 945000 TRANSFERS  OUT ‐   27,552  27,552

ATTACHMENT A

OTHER FUNDS‐ SUMMARY OF CHANGES (SCENARIO 1 OR 2-RECOMMENDED) ORG OBJEC T ACCT DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
15110100‐T ‐   27,552  27,552
0518‐05181500‐COPS
0518 05181500 701000 REGULAR  EMPLOYEES ‐   185,848  185,848 0518 05181500 701500 OVERTIME ‐   20,000  20,000
0518 05181500 701800 INCENTIVE ‐   2,000  2,000
0518 05181500 702000 HOLIDAY ‐IN‐LIEU ‐   3,952  3,952
0518 05181500 702700 VACATION  PAYOUT ‐   2,960  2,960
0518 05181500 703300 UNIFORM  ALLOWANCE ‐   2,400  2,400 0518 05181500 707110 RETIREMENT ‐   28,296  28,296
0518 05181500 707149 OTHER  PERSONNEL BENEFITS ‐   2,696  2,696 0518 05181500 707160 RETIREMENT ‐DEF COMP ‐   3,912  3,912 0518 05181500 708601 INSURANCE ‐MEDICAL ‐   12,072  12,072 0518 05181500 708602 INSURANCE ‐DENTAL ‐   1,894  1,894 0518 05181500 708603 INSURANCE ‐VISION ‐  258  258
0518
05181500 708604 INSURANCE ‐LIFE ‐   522  522
0518 05181500 759000 RENTS  & LEASES ‐ VEHICLES ‐   13,800  13,800 0518‐TOTAL ‐   280,610  280,610
SCENARIO 1 OR 2 7,875,773

ATTACHMENT A

GENERAL FUND‐DETAIL OF CHANGES (SCENARIO 2)
ORG OBJECT ACCT  DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
0001‐11000000 CITY COUNCIL
11000000 743100 COMPUTER  REPLACEMENT RESERVES 1,290 ‐ (1,290) 11000000 749500 PROF  AND SPEC SERVICES         222,000  349,060  127,060 11000000‐TOTAL 223,290  349,060  125,770
0001‐11100000 CITY MANAGER ‐ CITY CLERK
11100000 743100 COMPUTER  REPLACEMENT RESERVES 5,220 ‐ (5,220) 11100000 745000 PUBLICATIONS  AND DUES          5,500 39,100  33,600 11100000 760000 SPECIAL  DEPARTMENTAL EXP       1,500 3,215 1,715 11100000‐TOTAL 12,220  42,315  30,095
0001‐11110000 HUMAN RESOURCES
11110000 743100 COMPUTER  REPLACEMENT RESERVES 1,220 ‐ (1,220) 11110000‐TOTAL 1,220 ‐ (1,220)
0001‐12010000 FINANCE ‐ ACCOUNTING
12010000 743100 COMPUTER  REPLACEMENT RESERVES 4,090 ‐ (4,090) 12010000 749500 PROF  AND SPEC SERVICES         222,000  242,000  20,000 12010000‐TOTAL 226,090  242,000  15,910
0001‐13000000 CITY ATTORNEY
13000000 749000 CONTRACTED  LEGAL SERVICES      300,000  400,000  100,000 13000000 751900 LIABILITY  RISK MANAGEMENT      155,000  190,000  35,000 13000000‐TOTAL 455,000  590,000  135,000
0001‐14110000 PLANNING OPERATIONS
14110000 743100 COMPUTER  REPLACEMENT RESERVES 1,540 ‐ (1,540) 14110000 749500 PROF  AND SPEC SERVICES         20,000  115,000  95,000 14110000‐TOTAL 21,540  115,000  93,460
0001‐14120000 BUILDING INSPECTIONS
14110000 743100 COMPUTER  REPLACEMENT RESERVES 3,130 ‐ (3,130) 14120000‐TOTAL 3,130 ‐ (3,130)
0001‐15110000 POLICE ‐ SUPPORT SERVICE
15110000 743100 COMPUTER  REPLACEMENT RESERVES 3,060 ‐ (3,060) 15110000 760300 SWAT  EXPENSES 25,900  43,400  17,500
15110000 760000 SPECIAL  DEPARTMENTAL EXP       72,430  57,430  (15,000) 15110000‐TOTAL 101,390  100,830  (560)
0001‐15121000 POLICE ‐ RECORDS
15121000 743100 COMPUTER  REPLACEMENT RESERVES 1,830 ‐ (1,830) 15121000‐TOTAL 1,830 ‐ (1,830)
0001‐15122000 POLICE ‐ COMMUNICATIONS
15122000 743100 COMPUTER  REPLACEMENT RESERVES 1,910 ‐ (1,910) 15122000‐TOTAL 1,910 ‐ (1,910)
0001‐15130000 POLICE ‐ OPERATIONS
15130000 570200 TRANSFERS  IN ‐ (27,552)  (27,552)
15130000 741300 SOFTWARE  MAINTENANCE           70,000  260,000  190,000 15130000 743100 COMPUTER  REPLACEMENT RESERVES 41,490  ‐ (41,490) 15130000 749500 PROF  AND SPEC SERVICES         10,000  31,000  21,000 15130000‐TOTAL 121,490  263,448  141,958
0001‐15140000 POLICE ‐ TRAFFIC ENFORCEMENT
15140000 743100 COMPUTER  REPLACEMENT RESERVES 540 ‐ (540) 15140000‐TOTAL 540 ‐ (540)
0001‐15160000 POLICE ‐ SCHOOL OFFICER PRG
15160000 743100 COMPUTER  REPLACEMENT RESERVES 330 ‐ (330) 15160000‐TOTAL 330 ‐ (330)

ATTACHMENT A

GENERAL FUND‐DETAIL OF CHANGES (SCENARIO 2)
ORG OBJECT ACCT  DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
0001‐15170000 POLICE ‐POP PROGRAM
15170000 743100 COMPUTER  REPLACEMENT RESERVES 730 ‐ (730) 15170000‐TOTAL 730 ‐ (730)
0001‐15180000 POLICE ‐ ANIMAL CONTROL
15180000 420400 ANIMAL  CONT REVENUE            (5,600)  (10,400)  (4,800) 15180000
760000 SPECIAL  DEPARTMENTAL EXP       4,100 8,900 4,800 15180000‐TOTAL (1,500)  (1,500)  ‐
0001‐15190000 POLICE ‐HART
15190000 743100 COMPUTER  REPLACEMENT RESERVES 750 ‐ (750) 15190000‐TOTAL 750 ‐ (750)
0001‐16100000 FIRE ‐ ADMIN/SUPPRESSION
16100000 543100 FIRE/TRAINING  REIM             (1,800)  (8,500)  (6,700) 16100000
732000 COMMUNICATIONS                  239,000  287,000  48,000 16100000
741000 FLEET  REPLACEMENT RESERVES 342,380  51,360  (291,020) 16100000
741200 EQUIPMENT  MAINTENANCE          36,850  50,000  13,150 16100000
741400 BUILDING  MTCE INTERNAL COSTS 5,000 20,000  15,000 16100000
743100 COMPUTER  REPLACEMENT RESERVES 5,390 ‐ (5,390)
16100000
747000 PRINTING 3,800 6,000 2,200
16100000 749500 PROF  AND SPEC SERVICES         52,970  75,970  23,000 16100000
777000 TRAINING/TRAVEL/MEETING         24,400  45,000  20,600 16100000
799500 OPERATIONAL  CAPITAL OUTLAY     55,000  75,000  20,000 16100000‐
TOTAL 762,990  601,830  (161,160)
0001‐16110000 FIRE ‐ FIRE PREVENTION
16110000 494002 LIFE/SAFETY/BLDG  INS FEE       (15,000)  (45,000)  (30,000) 16110000
494003 FIRE PLAN  CHECKING FEES        (30,000)  (40,000)  (10,000) 16110000
494300 FIRE INSPECTN  & OTHR FEES      (230,000) (275,000) (45,000) 16110000
701300 PART ‐TIME EMPLOYEES            52,000  92,000  40,000 16110000
743100 COMPUTER  REPLACEMENT RESERVES 3,220 ‐ (3,220)
16110000
744000 OFFICE  EXPENSE MISC            800 8,000 7,200
16110000 749500 PROF  AND SPEC SERVICES         48,792  10,000  (38,792) 16110000
760000 SPECIAL  DEPARTMENTAL EXP       5,000 10,000  5,000 16110000
777000 TRAINING/TRAVEL/MEETING         5,000 15,000  10,000 16110000‐

TOTAL (
160,188) (225,000) (64,812)
0001‐17100000 PARKS & COMM SERV ‐ ADMIN
17100000 701300 PART ‐TIME EMPLOYEES            ‐ 22,000  22,000 17100000
743100 COMPUTER  REPLACEMENT RESERVES 1,040 ‐ (1,040)
17100000‐
TOTAL 1,040 22,000  20,960
0001‐17110000 PARKS & COMM SERV ‐ SPORTS
17110000 4* FIELD  PERMIT ‐ (33,158)  (33,158)
17110000
743100 COMPUTER  REPLACEMENT RESERVES 280 ‐ (280)
17110000‐TOTAL 280 (33,158)  (33,438)
0001‐17160000 PARKS & COMM SERV ‐ FACILITIES
17160000 743100 COMPUTER  REPLACEMENT RESERVES 980 ‐ (980) 17160000‐TOTAL 980 ‐ (980)
0001‐17190000 PARKS & COMM SERV ‐ YOUTH/ADULT/SPC SERVICES 17190000 767601 B&GC  01 SALARIES & BEN PROP64 ‐ 34,902  34,902 17190000
767602 B&GC  02 SERV & SUPPLIES PROP64 ‐ 25,740  25,740 17190000
767603 B&GC  03 PROFESS SVC PROP64 ‐ 19,275  19,275
17190000
767604 B&GC  04 NGO CONTRACTS PROP64 ‐ 331,311  331,311 17190000
767605 BG&C  05 EQUIP PROP64 ‐ 90,000  90,000
17190000
767607 B&GC  07 PROGRAM EVAL PROP64 ‐ 5,000 5,000
17190000 767609 B&GC  09 OTHER PROP64 ‐ 800 800

ATTACHMENT A

GENERAL FUND‐DETAIL OF CHANGES (SCENARIO 2)
ORG OBJECT ACCT  DESCRIPTION 2025  BUDGET
2025 AMENDED
BUDGET NET  CHANGE
17190000 767611 B&GC  11 INDIRECT COSTS PROP64 ‐ 44,704  44,704 17190000‐
TOTAL ‐ 551,732  551,732
0001‐17220000 PARKS & COMM SERV ‐ PARKS
17220000 701300 PART ‐TIME EMPLOYEES            66,000  44,000  (22,000) 17220000
732000 COMMUNICATIONS                  3,000 8,650 5,650 17220000 741000 FLEET  REPLACEMENT RESERVES 122,340  18,350  (103,990) 17220000
743100 COMPUTER  REPLACEMENT RESERVES 930 ‐ (930)
17220000 749500 PROF  AND SPEC SERVICES         12,000  3,600 (8,400) 17220000
765000 CHEMICAL  AND CHEMICAL SUPP     30,000  36,000  6,000 17220000
778000 UTILITIES ‐ELECTRICITY          17,000  21,000  4,000 17220000
778800 UTILITIES ‐WATER                190,000  260,000  70,000 17220000‐
TOTAL 441,270  391,600  (49,670)
0001‐20100000 PW ‐ ADMINISTRATION & ENGR
20100000 701000 REGULAR  EMPLOYEES              1,569,320 1,604,504 35,184 20100000
701300 PART ‐TIME EMPLOYEES            16,000  51,000  35,000 20100000
701800 INCENTIVE  PAY 34,920  51,783  16,863
20100000
703600 CAR  ALLOWANCE ‐ 6,000 6,000
20100000 707110 RETIREMENT               269,945  275,179  5,234 20100000
707149 OTHER  PERSONNEL BENEFITS       55,000  57,557  2,557 20100000
708601 INSURANCE ‐MEDICAL              120,280  132,136  11,856 20100000
708602 INSURANCE ‐DENTAL     12,310  13,257  947
20100000
741000 FLEET  REPLACEMENT RESERVES 11,860  1,780 (10,080) 20100000
743100 COMPUTER  REPLACEMENT RESERVES 14,920  ‐ (14,920) 20100000
749500 PROF  AND SPEC  SERVICES         25,000  40,000  15,000 20100000
777000 TRAINING/TRAVEL/MEETING         2,500 10,000  7,500 20100000‐
TOTAL 2,132,055 2,243,196 111,141
0001‐20110000 PW ‐ STREET MAINTENANCE
20110000 701300 PART ‐TIME EMPLOYEES            30,000  45,000  15,000 20110000
7410000 FLEET  REPLACEMENT RESERVES 163,770  24,570  (139,200) 20110000
743100 COMPUTER  REPLACEMENT RESERVES 660 ‐ (660)
20110000 760000 SPECIAL  DEPARTMENTAL EXP       70,000  87,000  17,000 20110000‐
TOTAL 264,430  156,570  (107,860)
SC
ENARIO 2 797,106

ATTACHMENT A

13.D.

AGENDA

STAFF REPORT

MEETING DATE: 7/2/2024 AGENDA SECTION: GENERAL BUSINESS

SUBJECT:

Council: Adoption of Resolution 2024-21-R calling for the holding of a general municipal election to be consolidated with the statewide general election to be held on Tuesday, November 5, 2024; Introducing an ordinance enacting a 1 cent transactions and use (sales) tax to be administered by the State Department of Tax and Fee Administration; and ordering the submittal of the ordinance to the voters at the general election.

RECOMMENDATION:

Recommendation: Adoption of Resolution 2024-21-R calling for the holding of a general municipal election to be consolidated with the statewide general election to be held on Tuesday, November 5, 2024; Introducing an ordinance enacting a 1 cent transactions and use (sales) tax to be administered by the State Department of Tax and Fee Administration; and ordering the submittal of the ordinance to the voters at the general election.

Recommended Motion: I move to adopt Resolution 2024-21-R calling for the holding of a general municipal election to be consolidated with the statewide general election to be held on Tuesday, November 5, 2024: Introducing an ordinance enacting a 1 cent transactions and use (sales) tax to be administered by the State Department of Tax and Fee Administration; and ordering the submittal of the ordinance to the voters at the general election.

BACKGROUND:

Overview
Revenue and Taxation Code Section 7285.9 authorizes city councils to levy a transactions and use tax for general revenue purposes via an ordinance approved by a two-thirds vote of all members of the City Council and if approved by a majority vote of the qualified voters of the city voting in an election on the issue.

The resolution and proposed Municipal Code amendments, including the proposed ballot language amendments, are included with this staff report.

Attached is Resolution 2024-21-R for adoption which encapsulates all materials reviewed with City Council previously. This will allow for submission of the ballot language and necessary papers to be filed with the Kings County Elections Office by the requested deadline of July 15, 2024.

Draft Ballot Language
The draft ballot language, included in the draft resolution, was formulated based on input and priorities provided by the Revenue Measure Committee, information from community surveys and

polling, Staff review, input from Randle Communications, and direction from City Council.

The draft ballot language includes funding categories consistent with the draft expenditure plan, a transactions and use tax rate that would cover the expenses outlined in the draft expenditure plan (1%), the establishment of citizen's oversight, audit requirements, a statement indicating that the funds would remain local and that the measure could be ended by voters.

The draft language is provided below:

PROPOSITION " ": Essential City Services Protection Measure

To provide funding that would remain local and cannot be taken by the State to preserve/improve essential city services including, police, fire, 911 emergency response, neighborhood police patrols, crime prevention; maintain city streets and parks; address homelessness; improve youth/senior programs; retain local jobs; and other general services, shall City of Hanford enact a 1¢ Transaction and Use Tax (Sales Tax), providing approximately $19,200,000 annually, until ended by voters; requiring annual independent audits and citizens’ oversight?

Resolution
If approved, the attached resolution would call for an election that includes the full text of the Measure's ballot language (above), approve the introduction of the City of Hanford Transaction and Use Tax Ordinance of 2024, authorize the preparation of an impartial analysis of the measure, and request that Kings County render election services including the proposed measure.

Draft City of Hanford Transactions and Use Tax Ordinance of 2024 The draft resolution would authorize the introduction of the City of Hanford Transaction and Use Tax Ordinance of 2024. The Ordinance includes the proposed transactions and use tax rate (1%), a provision giving voters the authority to end the levy of the tax, a provision allowing the Council, by a four-fifths vote to temporarily suspend the tax, and authorization to amend the Hanford Municipal Code to include accountability measures for the sales and use tax.

Draft Sales and Use Tax Accountability Measures
If a sales and use tax were to be passed by Council and voters, the City could amend the Hanford Municipal Code to include specific accountability measures. A draft version of Chapter 3.60 Sales and Use Tax Accountability Measures is attached with this agenda. The language in the draft amendment includes the following accountability measures:

1. Requirements for an expenditure plan that outlines implementation of the sales and use tax for the fiscal year

2. Requirements that any changes to the expenditure plan require a resolution adopted by the majority of Council following the recommendation by the Sales Tax Oversight Board and a public hearing.

3. The initial expenditure plan, annual budgets, and amendments to the expenditure plan are made publicly available.

4. The initial expenditure plan shall dedicate fifteen percent (15%) of budgeted revenues for the initial year of the plan to establish an economic uncertainty fund, which may only be accessed in times of fiscal emergencies. Council may direct that the economic uncertainty fund be accessed in order to fund the remainder of the plan in the case of a fiscal emergency, as determined by 4/5ths vote of the City Council as a whole.

5. Each expenditure plan shall fund department activities as may be recommended from time to time by the Board and approved by the City Council within the parameters approved by the

voters.

6. The Council will appoint a standing oversight committee to constitute the Sales Tax Oversight Board (Board) as approved by Resolution.

7. Each member of the Board shall be a Hanford resident.

8. The City shall provide an annual independent audit that accounts for the tax revenues received and expenditures made. The audits will be made available to the public.

After feedback from City Council at the June 18th meeting, City Attorney review and final staff and Randle Consulting review, a red-line version of the draft resolution and ordinances are attached to this report for review. Minor formatting changes are not shown, but edits and additions to wording are shown. A 'clean' final version of the proposed resolution and ordinances are also included.

Next Steps
With authorization from City Council, a resolution calling for a general municipal election; introducing an ordinance enacting a transaction and use tax; and submittal of the ordinance to voters will be submitted to the Kings County Election Office for inclusion on the November 2024 ballot.

FISCAL IMPACT:

Should a revenue measure be approved by voters, an Expenditure Plan will serve as the basis for how revenues will be spent. A one (1) cent/percent Transactions and Use (Sales) Tax is projected to bring in approximately $19 million annually with all funds to remain local. Any future changes will be reviewed by an Oversight Board, at a Public Hearing and approved by the City Council at public meetings.

ATTACHMENTS:

1. Measure Hanford 10 year plan adopted cc 6.18.24

2. Draft Resolution 7.2.24 mtg clean

3. Draft Resolution 7.2.24 mtg redline

Attachment 'A' - Update 1

CITY OF HANFORD
Initial Spending Plan With Maintenance and Emerging Needs All Amounts in Thousand
Growth Rate 2%
Year
Revenue
Forecast Units
Total
Expenditures
Net
gain/(loss)
Economic Uncertainty
(15% of revenues,
$2,900 min.)
1 19,200
4 Police Officers: Patrol 640 3 Firefighters 330 Road Rehabilitation/Pavement Pres 6,000 2 Park Maintenance Employees * 260 2 Code Compliance Officers * 320 4 Homeless Assistance: 1 Park Resource Officer (PRO) 660 Station #4 Design 600 and associated costs * Equipment/Vehicles * Equipment/Vehicles 3 Homeless Assistance Resource Team (HART) 1 Professional Staff (Analyst) 110 8 Police Cars and Equipment 840 Station Improvements/Equipment 100 1 Recreation Coordinator (Youth programs) 90 Community Cleanup/Abatement for Code Compliance
100
3 Professional Staff * 300 Communications Equipment 825 Existing Parks Additional Maintenance 160 City Owned Building Maintenance 151 Professional Staff Cars and Equipment* 180 Existing Parks Additional Improvements 280 * Dispatchers, Records and CSO Officers
Public Safety Building Land/Reserve 6,550
Subtotals 9,170 1,965 6,000 790 571 18,496 704 704 2 19,584
Public Safety Building Design 3,000 Station #4 Construction Reserve 295 1 Fire Engine 1,200
4 Police Officers: Patrol 653 3 Firefighters 337 Road Rehabilitation/Pavement Preserv 6,180 2 Park Maintenance Employees 163 2 Code Compliance Officers 184 4 Homeless Assistance: 3 HART, 1 PRO 673 Station Improvements/Equipment 100 * and associated costs 1 Recreation Coordinator 92 Community Cleanup/Abatement for Code Com 100 8 Police Cars and Equipment - exp 165 1 Professional Staff 112 3% annual increase Existing Parks Additional Maintenance 162 City Owned Building Maintenance 299 3 Professional Staff 306 Existing Parks Additional Improvements 283 Public Safety Building Reserve 4,000
Subtotals 8,797 2,044 6,180 699 582 18,303 1,281 1,985 3 19,976
Station #4 Construction 6,825 1 Park Maintenance Employee 80 * Equipment/Vehicles 60
4 Police Officers: Patrol 666 3 Firefighters 343 Road Rehabilitation/Pavement Preserv 6,365 2 Park Maintenance Employees 250 2 Code Compliance Officers 187 4 Homeless Assistance: 3 HART, 1 PRO 686 Station Improvements/Equipment 100 * and associated costs 1 Recreation Coordinator 94 Community Cleanup/Abatement for Code Com 100 8 Police Cars and Equipment - exp 165 1 Professional Staff 104 3% annual increase Existing Parks Additional Maintenance 163 City Owned Building Maintenance 307 3 Professional Staff 312 Existing Parks Additional Improvements 286 Public Safety Building Reserve 3,000
Subtotals 4,829 7,372 6,365 932 594 20,093 (117) 1,868 4 20,375
Public Safety Building Furnishings 2,000 1 Firefighter 110 Public Safety Building Completion * 4,600 9 Station #4 Staffing 1,800 * debt payment Station #4 Furnishings/Equipment 1,000
8 Police Officers 678 3 Firefighters 350 Road Rehabilitation/Pavement Preserv 6,556 3 Park Maintenance Employees 254 2 Code Compliance Officers 191 4 Homeless Assistance: 3 HART, 1 PRO 700 Station Improvements/Equipment 100 * and associated costs 1 Recreation Coordinator 95 Community Cleanup/Abatement for Code Com 100 8 Police Cars and Equipment - exp 165 1 Professional Staff 106 3% annual increase Existing Parks Additional Maintenance 165 City Owned Building Maintenance 315 3 Professional Staff 318 Existing Parks Additional Improvements 288 Subtotals 8,461 3,466 6,556 803 606 19,892 483 2,351 5 20,783
4 Police Officers 691 1 Ladder Truck 2,400
Police Cars and Equipment (new & replacements 870
Professional Staff vehicle replacements (2) 160
2 Professional Staff 200
4 Police Officers 691 4 Firefighters 475 Road Rehabilitation/Pavement Preserv 6,753 3 Park Maintenance Employees 254 2 Code Compliance Officers 194 4 Homeless Assistance: 3 HART, 1 PRO 713 9 Station #4 Staffing 1,800 * and associated costs 1 Recreation Coordinator 95 Community Cleanup/Abatement for Code Com 100 8 Police Cars and Equipment - exp 45 Station Improvements/Equipment 110 3% annual increase Existing Parks Additional Maintenance 165 City Owned Building Maintenance 324 3 Professional Staff 324 1 Professional Staff 108 Existing Parks Additional Improvements 288 Public Safety Building debt payment 4,600
Subtotals 8,294 4,893 6,753 803 618 21,362 (579) 1,772 39,551 19,740 31,855 4,027 2,972 98,145
Average Per Year 7,910 3,948 6,371 805 594 19,629
40% 20% 32% 4% 3%
6 21,198
Fire Engine Replacement 1,250 2 Park Maintenance Employees 271 Training Facility - Station #2 750 * Equipment/Vehicles Replacements 8 Police Officers 1,408 4 Firefighters 484 Road Rehabilitation/Pavement Preserv 6,956 3 Park Maintenance Employees 274 2 Code Compliance Officers 198 4 Homeless Assistance: 3 HART, 1 PRO 726 9 Station #4 Staffing 1,938 * and associated costs 1 Recreation Coordinator 97 Community Cleanup/Abatement for Code Com 100 12 Police Cars and Equipment - exp 245 Station Improvements/Equipment 110 3% annual increase Existing Parks Additional Maintenance 166 City Owned Building Maintenance 332 5 Professional Staff 550 1 Professional Staff 110 Existing Parks Additional Improvements 291 Public Safety Building debt payment 5,000
Subtotals 7,929 4,642 6,956 1,100 630 21,257 (59) 1,713 Continuing Elements
New Elements
Continuing Elements
5 Year Totals
New Elements
Continuing Elements
New Elements
New Elements
Continuing Elements
New Elements
Continuing Elements
New Elements
Plan Elements
Police Fire Streets Parks and Community Services Maintenance & Emerging Needs @ 3%

Attachment 'A' - Update 1

CITY OF HANFORD
Initial Spending Plan With Maintenance and Emerging Needs All Amounts in Thousand
Growth Rate 2%
Year
Revenue
Forecast Units
Total
Expenditures
Net
gain/(loss)
Economic Uncertainty
(15% of revenues,
$2,900 min.)
N El
Plan Elements
Police Fire Streets Parks and Community Services Maintenance & Emerging Needs @ 3% 7 21,622
8 Police Officers 1,434 4 Firefighters 493 Road Rehabilitation/Pavement Preserv 7,164 5 Park Maintenance Employees 440 2 Code Compliance Officers 202 4 Homeless Assistance: 3 HART, 1 PRO 739 9 Station #4 Staffing 1,976 * and associated costs 1 Recreation Coordinator 99 Community Cleanup/Abatement for Code Com 100 12 Police Cars and Equipment - exp 245 Station Improvements/Equipment 110 3% annual increase Existing Parks Additional Maintenance 168 City Owned Building Maintenance 341 5 Professional Staff 560 1 Professional Staff 112 Existing Parks Additional Improvements 294 Public Safety Building debt payment 6,400
Subtotals 9,378 2,691 7,164 1,001 643 20,877 745 2,459 8 22,055
1 Firefighter 120
Small Truck - Type 6 Apparatus Replacem 500
8 Police Officers 1,459 4 Firefighters 502 Road Rehabilitation/Pavement Preserv 7,379 5 Park Maintenance Employees 448 2 Code Compliance Officers 205 4 Homeless Assistance: 3 HART, 1 PRO 752 9 Station #4 Staffing 2,014 * and associated costs 1 Recreation Coordinator 101 Community Cleanup/Abatement for Code Com 100 12 Police Cars and Equipment - exp 245 Station Improvements/Equipment 100 3% annual increase Existing Parks Additional Maintenance 171 City Owned Building Maintenance 151 5 Professional Staff 570 1 Professional Staff 114 Existing Parks Additional Improvements 300 Public Safety Building debt payment 6,400
Subtotals 9,427 3,350 7,379 1,020 456 21,631 424 2,882 9 22,496
Fire Engine Replacement 1,250
8 Police Officers 1,485 5 Firefighters 638 Road Rehabilitation/Pavement Preserv 7,601 5 Park Maintenance Employees 456 2 Code Compliance Officers 209 4 Homeless Assistance: 3 HART, 1 PRO 766 9 Station #4 Staffing 2,052 * and associated costs 1 Recreation Coordinator 103 Community Cleanup/Abatement for Code Com 100 12 Police Cars and Equipment - exp 245 Station Improvements/Equipment 200 3% annual increase Existing Parks Additional Maintenance 173 City Owned Building Maintenance 160 5 Professional Staff 580 1 Professional Staff 116 Existing Parks Additional Improvements 302 Public Safety Building debt payment 6,400
Subtotals 9,475 4,256 7,601 1,034 469 22,835 (339) 2,543 10 22,946
Police Vehicles and Equipment (replacements) 1,480
Professional Staff vehicle replacements (3) 240
8 Police Officers 1,510 5 Firefighters 649 Road Rehabilitation/Pavement Preserv 7,829 5 Park Maintenance Employees 464 2 Code Compliance Officers 212 4 Homeless Assistance: 3 HART, 1 PRO 779 9 Station #4 Staffing 2,090 * and associated costs 1 Recreation Coordinator 104 Community Cleanup/Abatement for Code Com 100 12 Police Cars and Equipment - exp 245 Station Improvements/Equipment 200 3% annual increase Existing Parks Additional Maintenance 174 City Owned Building Maintenance 170 5 Professional Staff 600 1 Professional Staff 118 Existing Parks Additional Improvements 305 Public Safety Building debt payment 6,400
Subtotals 11,254 3,057 7,829 1,048 482 23,670 (724) 1,819 5 Year Totals for Years 6-10 47,463 17,995 36,928 5,203 2,681 110,271 Average Per Year 9,493 3,599 7,386 1,041 536 22,054
Total Years 1-10 87,014 37,735 68,783 9,230 5,653 208,416 Total 210,235 42% 18% 33% 4% 3% 99%
10 Year Results
8 Police Officers: Patrol 5 New Firefighters Road Rehabilitation/Pavement Preservation * 5 Park Maintenance Employees 2 Code Compliance Officers 4 Homeless Assistance: 3 HART, 1 PRO 1 Professional Staff * and associated costs 1 Recreation Coordinator Equipment and Vehicles 12 Police Cars and Equipment 9 Station #4 Staffing (PCI to 65) Equipment and Vehicles Community Cleanup/Abatement for Code Compliance 5 Professional Staff Station #4 Equipment and Vehicles Replacements City Owned Building Maintenance Police Vehicle and Equipment Replacements Station Improvements/Equipment Existing Parks Additional Maintenance Public Safety Building Communications Equipment Existing Parks Additional Improvements 1 SWAT, special vehicle Training Facility
Fire Engine (New)
Ladder Truck (replacement)
Fire Engine (replacements - 2)
Small Truck - Type 6 Apparatus Replacement
Continuing Elements
New Elements
Continuing Elements
New Elements
Continuing Elements
New Elements
New Elements
Continuing Elements
Police Fire Roads Parks and Community Services Maintenance and Emerging Needs

RESOLUTION NUMBER 24-21-R

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HANFORD CALLING AND

PROVIDING FOR A GENERAL MUNICIPAL ELECTION TO BE CONSOLIDATED WITH

THE STATEWIDE GENERAL ELECTION TO BE HELD IN THE CITY OF HANFORD ON TUESDAY, NOVEMBER 5, 2024; INTRODUCING ORDINANCE ENACTING A

TRANSACTIONS AND USE (SALES) TAX TO BE ADMINISTERED BY THE STATE DEPARTMENT OF TAX AND FEE ADMINISTRATION; AND ORDERING THE

SUBMITTAL OF THE ORDINANCE TO THE VOTERS AT THE GENERAL ELECTION WHEREAS, Revenue and Taxation Code Sections 7251 and following provide for the establishment of transactions and use taxes by cities; and WHEREAS, under the provisions of the laws relating to general law cities in the State of California, a General Municipal Election shall be held on November 5, 2024; and WHEREAS, Revenue and Taxation Code Section 7285.9 authorizes the governing board of any city to levy a transactions and use tax for general revenue purposes as required by Sections 7251 and following, in an ordinance approved by a two-thirds vote of all members of the City Council; and WHEREAS, Section 2(b) of Article XIII C of the California Constitution, added by Proposition 218, effective November 1996, requires that a measure proposing a general tax be submitted to the voters at an election consolidated with a regularly scheduled general election for members of the governing body, except in cases of emergency declared by a unanimous vote of the governing body; and WHEREAS, the City Council is the governing body for the City of Hanford, and the November 5, 2024, statewide general election will be consolidated with a regularly scheduled general election for members of the City Council; and
WHEREAS, pursuant to California Constitution Article XIII C, Section 2(b) and Elections Code Section 10201, the City Council of the City of Hanford, California desires to submit to the voters of Hanford a measure to enact an ordinance establishing a transactions and use tax to offset state mandates and to maintain and restore essential services; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HANFORD DOES RESOLVE AND PROCLAIM AS FOLLOWS:

Section 1. Calling General Municipal Election: Pursuant to the requirements of the laws of the State of California relating to General Law Cities, the City Council hereby orders that a general municipal election in and for the City of Hanford shall be held on Tuesday, November 5, 2024 for the purpose of submitting a transaction and use (sales) tax measure. The full text of the proposed City of Hanford Transaction and Use Tax Ordinance of 2024, attached to this Resolution as Exhibit A and incorporated herein by reference, shall be available to voters upon request made to the City Clerk. The measure to be submitted to the voters shall appear and be printed on the ballot as follows:

Section 2. Introduction of Ordinance: The City Council hereby approves the Introduction of Ordinance 2024-XX, the City of Hanford Transaction and Use Tax Ordinance of 2024, attached to this Resolution as Attachment A, and approves submittal of such Ordinance to the voters of the City of Hanford. The proposed measure is a general tax as defined in Article XIIIC of the California Constitution and shall not take effect unless and until: (i) approved by a majority of the voters voting on the question at the election; and (ii) approved by a two-thirds vote of the Hanford City Council.

Section 3. Impartial Analysis: The City Attorney is hereby directed to prepare an impartial analysis of the measure pursuant to Elections Code Section 9280.

Section 4. Requesting Consolidation of Elections: Pursuant to the State of California Elections Code Sections 10400 — 10403.5, the City Council of the City of Hanford hereby requests the consolidation of the general municipal election described in Section 2 above with the statewide general election to be held on November 5, 2024. Within the City of Hanford, the election precincts, polling places, and voting booths shall in every case be the same, and there shall be only one set of election officers in each of the precincts; provided that no person not a qualified elector of the City of Hanford shall be permitted to vote for the measure placed on the ballot by the City Council. The election precincts, polling places, and election officers within the City of Hanford for the general municipal election shall be the same as those selected and designated by the Kings County Registrar of Voters. Per Elections Code Section 10403(a)(3), the consolidated election will be held and conducted in a manner prescribed in Elections Code Section 10418.

Section 5. Requesting Kings County to Render Election Services: The Board of Supervisors of Kings County is hereby requested to permit the County Registrar of Voters to render services to the City of Hanford relating to the conduct of the November 5, 2024, General Municipal Election as follows:
a. Distribute and file all papers submitted in connection with the proposed ordinance. b. Make all required publications.
c. Prepare, print and mail to the qualified electors of the City of Hanford sample ballots and voter pamphlets. Full text of the ballot measure will be made available upon request at the Hanford City Clerk’s Office.
d. Provide vote-by-mail ballots for said Municipal Election for use by the qualified electors who may be entitled to vote by mail ballots in the manner provided by law. e. Order consolidation of precincts, appoint precinct boards, designate polling places and instruct election officer concerning their duties.
f. Conduct and canvass the returns of the election and certify the votes cast for the proposed measure. g. Receive and process Vote-By-Mail voter applications. h. Prepare, print and deliver to the polling places supplies, including the official ballots and a receipt for said supplies.
i. Recount votes, if requested, in accordance with State law.

No
Yes
PROPOSITION " ": Essential City Services Protection Measure To provide funding that would remain local and cannot be taken by the State to preserve/improve essential city services including, police, fire, 911 emergency response, neighborhood police patrols, crime prevention; maintain city streets and parks; address homelessness; improve youth/senior programs; retain local jobs; and other general services, shall City of Hanford enact a 1¢ Transaction and Use Tax (Sales Tax), providing approximately $19,200,000 annually, until ended by voters; requiring annual independent audits and citizens’ oversight?

j. Conduct the above election duties in accordance with the Voting Right Act of 1975. k. Perform all other pertinent services required to perform for said election other than the requirements of the Fair Political Practices Commission, with said Fair Political Practices Commission requirements to be performed by the City Clerk.

Section 6. Application of State Law: Regarding particulars not recited in this Resolution, the election shall be held and conducted as provided by State law for the holding of municipal elections.

The City Clerk is hereby authorized and directed to transmit certified copies of this Resolution to the Board of Supervisors and to the County Registrar of Voters.

THEREFORE, BE IT FURTHER RESOLVED, the City Council of the City of Hanford hereby approves submission to the voters the question identified above relating to the establishment of the transactions and use tax described above.

Passed and adopted at a regular meeting of the City Council of the City of Hanford duly called and held on July 2, 2024, by the following vote:

AYES: ____________________________________________________ NOES: ____________________________________________________ ABSTAIN: ________________________________________________ ABSENT: _________________________________________________ PASSED, APPROVED AND ADOPTED: _______________________________

TRAVIS PADEN
Mayor
Attest: ________________________________

NATALIE CORRAL, CITY CLERK

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I, Natalie Corral, City Clerk of the City of Hanford, certify the foregoing is the full and true Resolution 2024-21-R passed and adopted by the Council of the City of Hanford at a regular meeting held on July 2, 2024.

Dated: NATALIE CORRAL, CITY CLERK

Attachment A
Ordinance 2024-XX
City of Hanford Transactions and Use Tax Ordinance of 2024

Ordinance 2024-XX
City of Hanford Transactions and Use Tax Ordinance of 2024

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HANFORD IMPOSING A

TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE STATE DEPARTMENT

OF TAX AND FEE ADMINISTRATION, SUBJECT TO ADOPTION BY THE ELECTORATE, TO PROVIDE FUNDS TO: PRESERVE/IMPROVE ESSENTIAL CITY SERVICES, INCLUDING POLICE, FIRE, 911 EMERGENCY RESPONSE, NEIGHBORHOOD POLICE PATROLS, CRIME PREVENTION; MAINTAIN CITY STREETS AND PARKS; ADDRESS HOMELESSNESS; IMPROVE YOUTH/SENIOR PROGRAMS; RETAIN LOCAL JOBS; AND

OTHER GENERAL SERVICES
WHEREAS, the City of Hanford’s prime responsibilities are to protect the public’s safety, maintain fiscal stability, and provide a high quality of life for its residents; and WHEREAS, over the last several years the State of California has gone from one financial crisis to another with no end in sight; and
WHEREAS, during each of the past several years the State of California has reduced or taken funding from cities, counties and school districts in order to fund its deficits and may continue to do so into the foreseeable future; and
WHEREAS, the State of California has shifted responsibility for many programs back to cities, like Hanford, without the necessary funds to provide the services residents need and expect; and WHEREAS, the State of California has recently changed its criminal sentencing laws thereby releasing hundreds of parolees into Kings County and negatively impacting the City of Hanford by an increase in crime, substance abuse and homelessness; and
WHEREAS, over the last decade calls to 911 have risen dramatically, and police responded to 47,000 service calls in 2023; and
WHEREAS, Hanford’s street funding is currently millions of dollars short of what it needs to properly maintain its more than 200 miles of City streets, with nearly half of Hanford’s streets rated as “poor” or worse, and without additional funding streets will continue to deteriorate and future road repairs will become more expensive; and
WHEREAS, the residents have identified their essential city services priorities such as: maintain 911 emergency response times for police and fire service calls, investigate crimes, help attract businesses and jobs, maintain streets and parks, address homelessness, and provide services for youth and seniors; and
WHEREAS, sales and property tax revenues, which have been the significant source of locally controlled funds available to pay for essential City services are limited; and WHEREAS, the City of Hanford needs dependable and local sources of revenue to fund and to support essential, necessary and appropriate general City services provided to the public; and

WHEREAS, the City’s general fund expenditures are projected to outpace revenues in the near future causing the City to be unable to maintain all levels of service and will not have capacity to fund facilities that are necessary to deliver services that the community desires; and WHEREAS, a local funding measure would provide a protected, local revenue source to limit or prevent additional cuts to essential, necessary and appropriate general City services; and WHEREAS, this measure requires compliance with the City of Hanford Sales Tax Accountability Ordinance, requiring establishment of annual expenditure plans, citizen oversight and mandatory financial audits to ensure funds will be properly spent; and WHEREAS, this measure will give the City of Hanford local control over local funds for local needs and no funds from this measure can be taken by Sacramento; and NOW THEREFORE, the City Council of the City of Hanford does ordain as follows:

Section 1. The following is added as Chapter 3.50 to the Hanford Municipal Code:

Chapter 3.50

ESSENTIAL CITY SERVICES PROTECTION MEASURES TRANSACTIONS AND

USE TAX
Sections:

3.60.010 Title.

3.60.020 Operative Date.

3.60.030 Purpose.

3.60.040 Contract with State.

3.60.050 Transactions Tax Rate.

3.60.060 Place of Sale.

3.60.070 Use Tax Rate.

3.60.080 Adoption of Provisions of State Law.

3.60.090 Limitations on Adoption of State Law and Collection of Use Tax.

3.60.100 Permit Not Required.

3.60.110 Exemptions and Exclusions.

3.60.120 Amendments.

3.60.130 Enjoining Forbidden.

3.60.140 Severability.

3.60.150 Effective Date.

3.60.160 Termination Date.

3.60.170 Coordination with Provisions of Sales Tax Accountability Measures Ordinance.

3.60.180 Conflicts and Inconsistencies.

Section 3.50.010. Title.

This ordinance shall be known as the Essential City Services Protection Measure Transactions and Use Tax Ordinance. The City of Hanford hereinafter shall be called "City." This ordinance shall be applicable in the incorporated territory of the City.

Section 3.50.020.Operative Date.
"Operative Date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below.

Section 3.50.030.Purpose.

This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A. To impose a retail transactions and use tax in accordance with the provisions of Part

1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject

to taxation under the provisions of this ordinance.

Section 3.50.040.Contract with State.

Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Section 3.50.050.Transactions Tax Rate.

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one percent (1%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.

Section 3.50.060.Place of Sale.

For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.

Section 3.50.070. Use Tax Rate.

An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one percent (1%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

Section 3.50.080.Adoption of Provisions of State Law.

Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

Section 3.50.090.Limitations on Adoption of State Law and Collection of Use Taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when:

1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California;

2. The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.

3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or; b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.

1. “A retailer engaged in business in the District” shall also include any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in this state or for delivery in the State by the retailer and all persons related to the retailer that exceeds five hundred thousand dollars ($500,000). For purposes of this section, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder.

Section 3.50.100.Permit Not Required.

If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

Section 3.50.110.Exemptions and Exclusions.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:
a.With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and b. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

Section 3.50.120.Amendments.

All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.

Section 3.50.130.Enjoining Collection Forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

Section 3.50.140.Severability.

If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 3.50.150.Effective Date.

This ordinance relates to the levying and collecting of the City transactions and use taxes and shall take effect immediately.

Section 3.50.160.Termination Date.

The authority to levy the tax imposed by this ordinance shall not expire, except as may be approved by voters to end the levy of the tax under this Ordinance. In addition, such authority shall be suspended, and no tax levied thereafter, upon the adoption of a resolution directing such suspension by the Council, by a four-fifths vote of the entire Council. The Council shall receive a report no later than ten (10) years following the Operative Date, and every ten (10) years thereafter, regarding the continuing need for the tax imposed by this Ordinance, and upon receiving such report may either take no action, in which case the authority to impose the tax shall continue uninterrupted, or adopt a resolution to suspend this Ordinance by a four-fifths vote of the entire Council. The tax collection would end at the next available quarter, except for residual payments. In any event that this Ordinance is suspended, such authority shall remain suspended unless and until the Council approves a resolution, by four-fifths vote of the entire Council, which it may consider at any time, to reinstate the authority to levy the tax authorized by this Ordinance, which if so adopted shall be effective without submission to the electorate. The collection would resume at the beginning of the next quarter.

Section 3.50.170. Coordination with Provisions of Sales Tax Accountability Measures Ordinance.

The expenditure of funds collected pursuant to the tax imposed by this Ordinance shall be subject to the provisions of Hanford Municipal Code Chapter 3.60 Sales and Use Tax Accountability Measures Ordinance.

Section 3.50.180. Conflicts and Inconsistencies.

Any provision of the Hanford Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance, except that any existing, duly adopted sales and use tax existing as of date of adoption of this Ordinance shall remain in effect and the sales and use tax imposed by this Ordinance shall be additive thereto.

Section 2. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption.

PASSED AND ADOPTED by the ______________________________________________, State of California, on ____________________________, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

APPROVED:

TRAVIS PADEN, MAYOR
ATTEST:

NATALIE CORRAL, CITY CLERK APPROVED BY CITY ATTORNEY

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I NATALIE CORRAL, City Clerk of the City of Hanford, do hereby certify the foregoing ordinance was duly introduced at a regular meeting of the City Council of the City of Hanford on the _____ day of _______________, 202__, and it was duly passed and adopted at a regular meeting of the City Council of the City of Hanford held on the ____ day of ________________, 202__.

Dated: NATALIE CORRAL, CITY CLERK

Ordinance 2024-XX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HANFORD AMENDING HANFORD MUNICIPAL CODE TITLE 3

TO ADD SALES AND USE TAX ACCOUNTABILITY MEASURES
WHEREAS, the City of Hanford voters have identified that citizen oversight is an essential element to have in place for a revenue measure; and
WHEREAS, the City of Hanford needs dependable and local sources of revenue to fund and to support essential, necessary and appropriate general City services; and WHEREAS, a local funding measure would provide a protected, local revenue source to limit or prevent additional cuts to essential, necessary and appropriate general City services; and WHEREAS, the City Council has submitted a measure to the voters of the City of Hanford that would establish a sales tax on transactions within the City of Hanford; and WHEREAS, if adopted by the voters, the City Council intends that the funds collected pursuant to such measure be subject to certain accountability measures, including planning, oversight, and audit provisions, and therefore desires to establish such accountability measures by adoption of this Ordinance.

NOW, THEREFORE, the City Council of the City of Hanford does ordain as follows:

Section 1. Hanford Municipal Code Title 3 is hereby amended to add Chapter 3.60 as follows:

Chapter 3.60

SALES AND USE TAX ACCOUNTABILITY MEASURES
Sections:

3.60.010 Title.

3.60.020 Applicability.

3.60.030 Initial and subsequent expenditure plans.

3.60.040 Sales Tax Oversight Board.

3.60.050 Annual audit.

3.60.010 Title.

This chapter shall be known as the City of Hanford Sales Tax Accountability Ordinance.

3.60.020 Applicability.

The provisions of this Chapter shall apply to the proceeds of any sales and use tax that is made specifically subject to this Chapter by the ordinance that enacts such sales and use tax.

3.60.030 Initial and subsequent expenditure plans.

A.The City Council shall, prior to the imposition of a transactions and use (sales) tax that is subject to the provisions of this Chapter, adopt, by resolution approved by a majority of the Council, an initial spending plan specifying the uses of the proceeds of the transactions and use (sales) tax. The initial expenditure plan (budget) shall cover the period between implementation of the sales and use tax and the end of the subsequent fiscal year.

B.Prior to expiration of the initial expenditure plan and as part of adoption of an annual city general fund budget, the City Council shall adopt an annual expenditure plan specifying the uses of the proceeds of the sales or use tax that is subject to the provisions of this chapter, applicable to the coming fiscal year.

C.Adoption of the initial expenditure plan, subsequent annual expenditure plans, and amendments to such plans, shall occur by resolution adopted by a majority of the Council, following:
1) submission for comment and recommendation to the Sales Tax Oversight Board as established pursuant to Section 3.60.040, and
2) public hearing occurring at a regularly scheduled and appropriately noticed meeting of the City Council.

D.Following adoption, the city shall make the initial expenditure plan, any subsequent annual expenditure plan (budget), and any amended expenditure plan (budget) publicly available.

E.The initial expenditure plan shall dedicate fifteen percent (15%) of budgeted revenues for the initial year of the plan to establish an economic uncertainty fund, which may only be accessed in times of fiscal emergencies, defined as a deficit in expected revenues such that the other features of the plan are not able to be funded as planned. The Council may direct that the economic uncertainty fund be accessed in order to fund the remainder of the plan in the case of a fiscal emergency, as determined by four-fifths (4/5ths) vote of the City Council as a whole.

Annual expenditure plans shall provide for the dedication of such budgeted funds as are necessary to maintain the economic uncertainty fund at fifteen percent (15%) of budgeted revenues and to replenish any amounts used in the event of a fiscal emergency in the prior year.

F.Each expenditure plan shall fund department activities as may be recommended from time to time by the Board and approved by the City Council within the parameters approved by the voters.

3.60.040 Sales Tax Oversight Board.

A. The Council shall appoint a standing oversight committee to constitute the Sales Tax Oversight Board (the “Board”).

B. The members of the Board shall serve terms, be selected, and appointed pursuant to a process to be adopted by Council Resolution.

C. Vacancies shall be noticed in a manner consistent with Municipal Code Section 2.20.030.

Appointment shall made at the earliest possible date for mid-term vacancies. Vacancies shall be advertised so that any interested city resident may apply.

D. City residency shall be required for all Board members and shall be confirmed by each applicant and each Board member under penalty of perjury. The city may require a Board member to confirm his or her residence throughout the member’s term.

E. Board members serve at the pleasure of the city council and may be removed for cause or no-cause. Members may be removed for cause for various reasons, including, without limitation, three (3) consecutive Board meeting absences.

F. The Board shall annually elect a chairperson and vice-chairperson from amongst its members.

G. In accordance with the public meeting laws of the state of California: (i) all meetings of the Board shall be open to the public and noticed; and (ii) minutes of Board meetings shall be kept.

H. Board members shall serve without compensation.

3.60.050 Annual audit.

The city shall provide for an annual independent audit of transactions and use tax measure funds to account for the tax revenues received and expenditures made in relation to the tax that is subject to this chapter, and to ensure consistency with the expenditure plan required by Section

3.60.030. Such audits will be provided to the Sales Tax Oversight Board and publicly available as established by Section 3.60.040.

Section 2. This Ordinance shall take effect thirty (30) days after its adoption and shall be published once in the Hanford Sentinel within fifteen (15) days after its passage or a summary of this ordinance shall be published in the Hanford Sentinel in a manner consistent with the requirements of the California Government Code.

PASSED AND ADOPTED by the ______________________________________________, State of California, on ____________________________, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

APPROVED:

TRAVIS PADEN, MAYOR
ATTEST:

NATALIE CORRAL, CITY CLERK APPROVED BY CITY ATTORNEY

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I NATALIE CORRAL, City Clerk of the City of Hanford, do hereby certify the foregoing ordinance was duly introduced at a regular meeting of the City Council of the City of Hanford on the _____ day of _______________, 202__, and it was duly passed and adopted at a regular meeting of the City Council of the City of Hanford held on the ____ day of ________________, 202__.

Dated: NATALIE CORRAL, CITY CLERK

RESOLUTION NUMBER 24-21-R

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HANFORD CALLING AND

PROVIDING FOR A GENERAL MUNICIPAL ELECTION TO BE CONSOLIDATED WITH

THE STATEWIDE GENERAL ELECTION TO BE HELD IN THE CITY OF HANFORD ON TUESDAY, NOVEMBER 5, 2024; INTRODUCING ORDINANCE ENACTING A

TRANSACTIONS AND USE (SALES) TAX TO BE ADMINISTERED BY THE STATE DEPARTMENT OF TAX AND FEE ADMINISTRATION; AND ORDERING THE

SUBMITTAL OF THE ORDINANCE TO THE VOTERS AT THE GENERAL ELECTION WHEREAS, Revenue and Taxation Code Sections 7251 and following provide for the establishment of transactions and use taxes by cities; and WHEREAS, under the provisions of the laws relating to general law cities in the State of California, a General Municipal Election shall be held on November 5, 2024; and WHEREAS, Revenue and Taxation Code Section 7285.9 authorizes the governing board of any city to levy a transactions and use tax for general revenue purposes as required by Sections 7251 and following, in an ordinance approved by a two-thirds vote of all members of the City Council; and WHEREAS, Section 2(b) of Article XIII C of the California Constitution, added by Proposition 218, effective November 1996, requires that a measure proposing a general tax be submitted to the voters at an election consolidated with a regularly scheduled general election for members of the governing body, except in cases of emergency declared by a unanimous vote of the governing body; and WHEREAS, the City Council is the governing body for the City of Hanford, and the November 5, 2024, statewide general election will be consolidated with a regularly scheduled general election for members of the City Council; and
WHEREAS, pursuant to California Constitution Article XIII C, Section 2(b) and Elections Code Section 10201, the City Council of the City of Hanford, California desires to submit to the voters of Hanford a measure to enact an ordinance establishing a transactions and use tax to offset state mandates and to maintain and restore essential services; and

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HANFORD DOES RESOLVE AND PROCLAIM AS FOLLOWS:

Section 1. Calling General Municipal Election: Pursuant to the requirements of the laws of the State of California relating to General Law Cities, the City Council hereby orders that a general municipal election in and for the City of Hanford shall be held on Tuesday, November 5, 2024 for the purpose of submitting a transaction and use (sales) tax measure. The full text of the proposed City of Hanford Transaction and Use Tax Ordinance of 2024, attached to this Resolution as Exhibit A and incorporated herein by reference, shall be available to voters upon request made to the City Clerk. The measure to be submitted to the voters shall appear and be printed on the ballot as follows:

Section 2. Introduction of Ordinance: The City Council hereby approves the Introduction of Ordinance 2024-XX, the City of Hanford Transaction and Use Tax Ordinance of 2024, attached to this Resolution as Attachment A, and approves submittal of such Ordinance to the voters of the City of Hanford. The proposed measure is a general tax as defined in Article XIIIC of the California Constitution and shall not take effect unless and until: (i) approved by a majority of the voters voting on the question at the election; and (ii) approved by a two-thirds vote of the Hanford City Council.

Section 3. Impartial Analysis: The City Attorney is hereby directed to prepare an impartial analysis of the measure pursuant to Elections Code Section 9280.

Section 4. Requesting Consolidation of Elections: Pursuant to the State of California Elections Code Sections 10400 — 10403.5, the City Council of the City of Hanford hereby requests the consolidation of the general municipal election described in Section 2 above with the statewide general election to be held on November 5, 2024. Within the City of Hanford, the election precincts, polling places, and voting booths shall in every case be the same, and there shall be only one set of election officers in each of the precincts; provided that no person not a qualified elector of the City of Hanford shall be permitted to vote for the measure placed on the ballot by the City Council. The election precincts, polling places, and election officers within the City of Hanford for the general municipal election shall be the same as those selected and designated by the Kings County Registrar of Voters. Per Elections Code Section 10403(a)(3), the consolidated election will be held and conducted in a manner prescribed in Elections Code Section 10418.

Section 5. Requesting Kings County to Render Election Services: The Board of Supervisors of Kings County is hereby requested to permit the County Registrar of Voters to render services to the City of Hanford relating to the conduct of the November 5, 2024, General Municipal Election as follows:
a. Distribute and file all papers submitted in connection with the proposed ordinance. b. Make all required publications.
c. Prepare, print and mail to the qualified electors of the City of Hanford sample ballots and voter pamphlets. Full text of the ballot measure will be made available upon request at the Hanford City Clerk’s Office.
d. Provide vote-by-mail ballots for said Municipal Election for use by the qualified electors who may be entitled to vote by mail ballots in the manner provided by law. e. Order consolidation of precincts, appoint precinct boards, designate polling places and instruct election officer concerning their duties.
f. Conduct and canvass the returns of the election and certify the votes cast for the proposed measure. g. Receive and process Vote-By-Mail voter applications. h. Prepare, print and deliver to the polling places supplies, including the official ballots and a receipt for said supplies.
i. Recount votes, if requested, in accordance with State law.

No
Yes
PROPOSITION " ": Essential City Services Protection Measure To provide funding that would remain local and cannot be taken by the State to preserve/improve essential city services including, police, fire, 911 emergency response, neighborhood police patrols, crime prevention; maintain city streets and parks; address homelessness; improve youth/senior programs; retain local jobs; and other general services, shall City of Hanford enact a 1¢ Transaction and Use Tax (Sales Tax), providing approximately $19,200,000 annually, until ended by voters; requiring annual independent audits and citizens’ oversight?

j. Conduct the above election duties in accordance with the Voting Right Act of 1975. k. Perform all other pertinent services required to perform for said election other than the requirements of the Fair Political Practices Commission, with said Fair Political Practices Commission requirements to be performed by the City Clerk.

Section 6. Application of State Law: Regarding particulars not recited in this Resolution, the election shall be held and conducted as provided by State law for the holding of municipal elections.

The City Clerk is hereby authorized and directed to transmit certified copies of this Resolution to the Board of Supervisors and to the County Registrar of Voters.

THEREFORE, BE IT FURTHER RESOLVED, the City Council of the City of Hanford hereby approves submission to the voters the question identified above relating to the establishment of the transactions and use tax described above.

Passed and adopted at a regular meeting of the City Council of the City of Hanford duly called and held on July 2, 2024, by the following vote:

AYES: ____________________________________________________ NOES: ____________________________________________________ ABSTAIN: ________________________________________________ ABSENT: _________________________________________________ PASSED, APPROVED AND ADOPTED: _______________________________

TRAVIS PADEN
Mayor
Attest: ________________________________

NATALIE CORRAL, CITY CLERK

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I, Natalie Corral, City Clerk of the City of Hanford, certify the foregoing is the full and true Resolution 2024-21-R passed and adopted by the Council of the City of Hanford at a regular meeting held on July 2, 2024.

Dated: NATALIE CORRAL, CITY CLERK

Attachment A
Ordinance 2024-XX
City of Hanford Transactions and Use Tax Ordinance of 2024

Ordinance 2024-XX
City of Hanford Transactions and Use Tax Ordinance of 2024

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HANFORD IMPOSING A

TRANSACTIONS AND USE TAX TO BE ADMINISTERED BY THE STATE DEPARTMENT

OF TAX AND FEE ADMINISTRATION, SUBJECT TO ADOPTION BY THE ELECTORATE, TO PROVIDE FUNDS TO: PRESERVE/IMPROVE ESSENTIAL CITY SERVICES, INCLUDING POLICE, FIRE, 911 EMERGENCY RESPONSE, NEIGHBORHOOD POLICE PATROLS, CRIME PREVENTION; MAINTAIN CITY STREETS AND PARKS; ADDRESS HOMELESSNESS; IMPROVE YOUTH/SENIOR PROGRAMS; RETAIN LOCAL JOBS; AND

OTHER GENERAL SERVICES
WHEREAS, the City of Hanford’s prime responsibilities are to protect the public’s safety, maintain fiscal stability, and provide a high quality of life for its residents; and WHEREAS, over the last several years the State of California has gone from one financial crisis to another with no end in sight; and
WHEREAS, during each of the past several years the State of California has reduced or taken funding from cities, counties and school districts in order to fund its deficits and may continue to do so into the foreseeable future; and
WHEREAS, the State of California has shifted responsibility for many programs back to cities, like Hanford, without the necessary funds to provide the services residents need and expect; and WHEREAS, the State of California has recently changed its criminal sentencing laws thereby releasing hundreds of parolees into Kings County and negatively impacting the City of Hanford by an increase in crime, substance abuse and homelessness; and
WHEREAS, over the last decade calls to 911 have risen dramatically, and police responded to 47,000 service calls in 2023; and
WHEREAS, Hanford’s street funding is currently millions of dollars short of what it needs to properly maintain its more than 200 miles of City streets, with nearly half of Hanford’s streets rated as “poor” or worse, and without additional funding streets will continue to deteriorate and future road repairs will become more expensive; and
WHEREAS, the residents have identified their essential city services priorities such as: maintain 911 emergency response times for police and fire service calls, investigate crimes, help attract businesses and jobs, maintain streets and parks, address homelessness, and provide services for youth and seniors; and
WHEREAS, sales and property tax revenues, which have been the significant source of locally controlled funds available to pay for essential City services are limited; and WHEREAS, the City of Hanford needs dependable and local sources of revenue to fund and to support essential, necessary and appropriate general City services provided to the public; and

WHEREAS, the City’s general fund expenditures are projected to outpace revenues in the near future causing the City to be unable to maintain all levels of service and will not have capacity to fund facilities that are necessary to deliver services that the community desires; and WHEREAS, a local funding measure would provide a protected, local revenue source to limit or prevent additional cuts to essential, necessary and appropriate general City services; and WHEREAS, this measure requires compliance with the City of Hanford Sales Tax Accountability Ordinance, requiring establishment of annual expenditure plans, citizen oversight and mandatory financial audits to ensure funds will be properly spent; and WHEREAS, this measure will give the City of Hanford local control over local funds for local needs and no funds from this measure can be taken by Sacramento; and NOW THEREFORE, the City Council of the City of Hanford does ordain as follows:

Section 1. The following is added as Chapter 3.50 to the Hanford Municipal Code:

Chapter 3.50

ESSENTIAL CITY SERVICES PROTECTION MEASURES TRANSACTIONS AND

USE TAX
Sections:

3.60.010 Title.

3.60.020 Operative Date.

3.60.030 Purpose.

3.60.040 Contract with State.

3.60.050 Transactions Tax Rate.

3.60.060 Place of Sale.

3.60.070 Use Tax Rate.

3.60.080 Adoption of Provisions of State Law.

3.60.090 Limitations on Adoption of State Law and Collection of Use Tax.

3.60.100 Permit Not Required.

3.60.110 Exemptions and Exclusions.

3.60.120 Amendments.

3.60.130 Enjoining Forbidden.

3.60.140 Severability.

3.60.150 Effective Date.

3.60.160 Termination Date.

3.60.170 Coordination with Provisions of Sales Tax Accountability Measures Ordinance.

3.60.180 Conflicts and Inconsistencies.

Section 3.50.010. TITLE.Title.

This ordinance shall be known as the Essential City Services Protection Measure Transactions and Use Tax Ordinance. The City of Hanford hereinafter shall be called "City." This ordinance shall be applicable in the incorporated territory of the City.

Section 3.50.020.OPERATIVE DATEOperative Date.
"Operative Date" means the first day of the first calendar quarter commencing more than 110 days after the adoption of this ordinance, the date of such adoption being as set forth below.

Section 3.50.030. PURPOSE.Purpose.

This ordinance is adopted to achieve the following, among other purposes, and directs that the provisions hereof be interpreted in order to accomplish those purposes:

A. To impose a retail transactions and use tax in accordance with the provisions of Part

1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefor that can be administered and collected by the California Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the California Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions

and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

Section 3.50.040. CONTRACT WITH STATE.Contract with State.

Prior to the operative date, the City shall contract with the California Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the California Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Section 3.50.050. TRANSACTIONS TAX RATE.Transactions Tax Rate.

For the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one percent (1%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in said territory on and after the operative date of this ordinance.

Section 3.50.060. PLACE OF SALE.Place of Sale.

For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the California Department of Tax and Fee Administration.

Section 3.50.070. USE TAX RATE.Use Tax Rate.

An excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one percent (1%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

Section 3.50.080.Adoption Oof Provisions Oof State Law.

Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

Section 3.50.090.Limitations Oon Adoption Oof State Law Aand Collection Oof Use Taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referred to as the taxing agency, the name of this City shall be substituted therefor. However, the substitution shall not be made when:

1. The word "State" is used as a part of the title of the State Controller, State Treasurer, State Treasury, or the Constitution of the State of California;

2. The result of that substitution would require action to be taken by or against this City or any agency, officer, or employee thereof rather than by or against the California Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this Ordinance.

3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or; b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B. The word "City" shall be substituted for the word "State" in the phrase "retailer engaged in business in this State" in Section 6203 and in the definition of that phrase in Section 6203.

1. “A retailer engaged in business in the District” shall also include any retailer that, in the preceding calendar year or the current calendar year, has total combined sales of tangible personal property in this state or for delivery in the State by the retailer and all persons related to the retailer that exceeds five hundred thousand dollars ($500,000). For purposes of this section, a person is related to another person if both persons are related to each other pursuant to Section 267(b) of Title 26 of the United States Code and the regulations thereunder.

Section 3.50.0100.Permit Not Required.

If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

Section 3.50.0110.Exemptions Aand Exclusions.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law or the amount of any state-administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:
a.With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and b. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7. "A retailer engaged in business in the City" shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

Section 3.50.0120.Amendments.

All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance.

Section 3.50.0130.Enjoining Collection Forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

Section 3.50.0140.Severability.

If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

Section 3.50.0150.Effective Date.

This ordinance relates to the levying and collecting of the City transactions and use taxes and shall take effect immediately.

Section 3.50.0160.Termination Date.

The authority to levy the tax imposed by this ordinance shall not expire, except as may be approved by voters to end the levy of the tax under this Ordinance. In addition, such authority shall be suspended, and no tax levied thereafter, upon the adoption of a resolution directing such suspension by the Council, by a four-fifths vote of the entire Council. The Council shall receive a report no later than ten (10) years following the Operative Date, and every ten (10) years thereafter, regarding the continuing need for the tax imposed by this Ordinance, and upon receiving such report may either take no action, in which case the authority to impose the tax shall continue uninterrupted, or adopt a resolution to suspend this Ordinance by a four-fifths vote of the entire Council. The tax collection would end at the next available quarter, except for residual payments. In any event that this Ordinance is suspended, such authority shall remain suspended unless and until the Council approves a resolution, by four-fifths vote of the entire Council, which it may consider at any time, to reinstate the authority to levy the tax authorized by this Ordinance, which if so adopted shall be effective without submission to the electorate. The collection would resume at the beginning of the next quarter.

Section 3.50.0170. Coordination Wwith Provisions Oof Sales Tax Accountability Measures Ordinance.

The expenditure of funds collected pursuant to the tax imposed by this Ordinance shall be subject to the provisions of Hanford Municipal Code Chapter 3.60 Sales and Use Tax Accountability Measures Ordinance.

SectionECTION 3.50.0180. Conflicts and Inconsistencies.

Any provision of the Hanford Municipal Code or appendices thereto inconsistent with the provisions of this Ordinance, to the extent of such inconsistencies and no further, is hereby repealed or modified to that extent necessary to effect the provisions of this Ordinance, except that any existing, duly adopted sales and use tax existing as of date of adoption of this Ordinance shall remain in effect and the sales and use tax imposed by this Ordinance shall be additive thereto.

SECTION 3.50.019. Section 2. The Mayor shall sign and the City Clerk shall attest to the passage of this Ordinance. The City Clerk shall cause the same to be published once in the official newspaper within 15 days after its adoption.

PASSED AND ADOPTED by the ______________________________________________, State of California, on ____________________________, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

APPROVED:

TRAVIS PADEN, MAYOR
ATTEST:

NATALIE CORRAL, CITY CLERK APPROVED BY CITY ATTORNEY

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I NATALIE CORRAL, City Clerk of the City of Hanford, do hereby certify the foregoing ordinance was duly introduced at a regular meeting of the City Council of the City of Hanford on the _____ day of _______________, 202__, and it was duly passed and adopted at a regular meeting of the City Council of the City of Hanford held on the ____ day of ________________, 202__.

Dated: NATALIE CORRAL, CITY CLERK

Ordinance 2024-XX

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HANFORD AMENDING HANFORD MUNICIPAL CODE TITLE 3

TO ADD SALES AND USE TAX ACCOUNTABILITY MEASURES
WHEREAS, the City of Hanford voters have identified that citizen oversight is an essential element to have in place for a revenue measure; and
WHEREAS, the City of Hanford needs dependable and local sources of revenue to fund and to support essential, necessary and appropriate general City services; and WHEREAS, a local funding measure would provide a protected, local revenue source to limit or prevent additional cuts to essential, necessary and appropriate general City services; and WHEREAS, the City Council has submitted a measure to the voters of the City of Hanford that would establish a sales tax on transactions within the City of Hanford; and WHEREAS, if adopted by the voters, the City Council intends that the funds collected pursuant to such measure be subject to certain accountability measures, including planning, oversight, and audit provisions, and therefore desires to establish such accountability measures by adoption of this Ordinance.

NOW, THEREFORE, the City Council of the City of Hanford does ordain as follows:

Section 1. Hanford Municipal Code Title 3 is hereby amended to add Chapter 3.60 as follows:

Chapter 3.60

SALES AND USE TAX ACCOUNTABILITY MEASURES
Sections:

3.60.010 Title.

3.60.020 Applicability.

3.60.030 Initial and subsequent expenditure plans.

3.60.040 Sales Tax Oversight Board.

3.60.050 Annual audit.

3.60.010 Title.

This chapter shall be known as the City of Hanford Sales Tax Accountability Ordinance.

3.60.020 Applicability.

The provisions of this Chapter shall apply to the proceeds of any sales and use tax that is made specifically subject to this Chapter by the ordinance that enacts such sales and use tax.

3.60.030 Initial and subsequent expenditure plans.

A.The City Council shall, prior to the imposition of a transactions and use (sales) tax that is subject to the provisions of this Chapter, adopt, by resolution approved by a majority of the Council, an initial spending plan specifying the uses of the proceeds of the transactions and use (sales) tax. The initial expenditure plan (budget) shall cover the period between implementation of the sales and use tax and the end of the subsequent fiscal year.

B.Prior to expiration of the initial expenditure plan and as part of adoption of an annual city general fund budget, the City Council shall adopt an annual expenditure plan specifying the uses of the proceeds of the sales or use tax that is subject to the provisions of this chapter, applicable to the coming fiscal year.

C.Adoption of the initial expenditure plan, subsequent annual expenditure plans, and amendments to such plans, shall occur by resolution adopted by a majority of the Council, following:
1) submission for comment and recommendation to the Sales Tax Oversight Board as established pursuant to Section 3.60.040, and
2) public hearing occurring at a regularly scheduled and appropriately noticed meeting of the City Council.

D.Following adoption, the city shall make the initial expenditure plan, any subsequent annual expenditure plan (budget), and any amended expenditure plan (budget) publicly available.

E.The initial expenditure plan shall dedicate fifteen percent (15%) of budgeted revenues for the initial year of the plan to establish an economic uncertainty fund, which may only be accessed in times of fiscal emergencies, defined as a deficit in expected revenues such that the other features of the plan are not able to be funded as planned. The Council may direct that the economic uncertainty fund be accessed in order to fund the remainder of the plan in the case of a fiscal emergency, as determined by four-fifths (4/5ths) vote of the City Council as a whole.

Annual expenditure plans shall provide for the dedication of such budgeted funds as are necessary to maintain the economic uncertainty fund at fifteen percent (15%) of budgeted revenues and to replenish any amounts used in the event of a fiscal emergency in the prior year.

F.Each expenditure plan shall fund department activities as may be recommended from time to time by the Board and approved by the City Council within the parameters approved by the voters.

3.60.040 Sales Tax Oversight Board.

A. The Council wishall appoint a seven (7) member standing oversight committee to constitute the Sales Tax Oversight Board (the “Board”).

B. The members of the Board shall serve two (2) year terms,, and may be reselected, and appointed pursuant to a process to be adopted by Council Resolution. for up to two (2) additional two (2) year terms for a total of three (3) consecutive two (2) year terms; provided however, for initial Board members who are appointed mid-year, their initial two (2) year terms shall be deemed to have started on January 1 of the following calendar year. Thereafter, at the first

council meeting in January of each year, the council shall endeavor to fill any vacancies caused by the regular expiration of Board members’ terms. Upon expiration of a member’s term, the member shall, however, continue to serve until his or her replacement is appointed. No individual, having served the maximum allowable number of consecutive terms may be reappointed to the Board for at least one (1) year from the last date served.

C. The members of the Board shall be selected in the following manner:

1. Each city council member shall select one (1) Board member from his or her district; and

2. The city council shall select two (2) members on an at-large basis.

CD. Vacancies shall be noticed in a manner consistent with Municipal Code Section 2.20.030.

Appointment shall made at the earliest possible date for mid-term vacancies. Vacancies shall be advertised so that any interested city resident may apply.

DE. City residency shall be required for all Board members and shall be confirmed by each applicant and each Board member under penalty of perjury. The city may require a Board member to confirm his or her residence throughout the member’s term.

EF. Board members serve at the pleasure of the city council and may be removed for cause or no-cause. Members may be removed for cause for various reasons, including, without limitation, three (3) consecutive Board meeting absences.

FG. The Board shall annually elect a chairperson and vice-chairperson from amongst its members.

GH. In accordance with the public meeting laws of the state of California: (i) all meetings of the Board shall be open to the public and noticed; and (ii) minutes of Board meetings shall be kept.

HI. Board members shall serve without compensation.

3.60.050 Annual audit.

The city shall provide for an annual independent audit of transactions and use tax measure funds to account for the tax revenues received and expenditures made in relation to the tax that is subject to this chapter, and to ensure consistency with the expenditure plan required by Section

3.60.030. Such audits will be provided to the Sales Tax Oversight Board and publicly available as established by Section 3.60.040.

Section 2. This Ordinance shall take effect thirty (30) days after its adoption and shall be published once in the Hanford Sentinel within fifteen (15) days after its passage or a summary of this ordinance shall be published in the Hanford Sentinel in a manner consistent with the requirements of the California Government Code.

PASSED AND ADOPTED by the ______________________________________________, State of California, on ____________________________, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

APPROVED:

TRAVIS PADEN, MAYOR
ATTEST:

NATALIE CORRAL, CITY CLERK APPROVED BY CITY ATTORNEY

STATE OF CALIFORNIA )
COUNTY OF KINGS ) ss.

CITY OF HANFORD )
I NATALIE CORRAL, City Clerk of the City of Hanford, do hereby certify the foregoing ordinance was duly introduced at a regular meeting of the City Council of the City of Hanford on the _____ day of _______________, 202__, and it was duly passed and adopted at a regular meeting of the City Council of the City of Hanford held on the ____ day of ________________, 202__.

Dated: NATALIE CORRAL, CITY CLERK

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Date Item Originator Staff Lead Date Estimate
6/4/2024 Council discussion of the process to
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Council
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Chief
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6/18/2025 Council discussion of the Warrant
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access.

Council
Direction
Mario
Cifuentez
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6/18/2024 Presentation to Council of the
conceptual development of the
additional acreage at Hidden Valley
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Council
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Bradley Albert 7/16/2024
6/18/2024 Council discussion of the process to
appoint members and other matters
related to the Advisory Board for the
Central Parking & Business
Improvement Area
Council
Direction
Various Staff 8/20/2024
6/18/2024 Presentation to Council by the
Kings/Tulare Homeless Alliance
regarding the 20245 Point in Time
count.

Council
Direction
Jason Waters 7/16/2024