Agenda Packet — Hayward City Council, December 3, 2024 (part 1 of 2)

Tuesday, December 3, 2024
7:00 PM

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
Council Chambers
City Council
Agenda

December 3, 2024City Council Agenda

CITY COUNCIL MEETING
777 B Street, Hayward, CA 94541
City Hall, Council Chambers
NOTICE: The City Council will hold a hybrid meeting in the Council Chambers and virtually via Zoom

PUBLIC PARTICIPATION
How to observe the Meeting:

1. Comcast TV Channel 15

2. Live stream https://hayward.legistar.com/Calendar.aspx

3. YouTube Live stream: https://www.youtube.com/user/cityofhayward How to submit written Public Comment:

1. Use eComment on the City's Meeting & Agenda Center webpage at:
https://hayward.legistar.com/Calendar.aspx. eComments are directly sent to the iLegislate application used by City Council and City staff. Comments received before 3:00 p.m. the day of the meeting will be exported into a report, distributed to the City Council and staff, and published on the City's Meeting & Agenda Center under Documents Received After Published Agenda.

2. Send an email to [email protected] by 3:00 p.m. the day of the meeting. Please identify the Agenda Item Number in the subject line of your email. Emails will be compiled into one file, distributed to the City Council and staff, and published on the City's Meeting & Agenda Center under Documents Received After Published Agenda. Documents received after 3:00 p.m. through the adjournment of the meeting will be included as part of the meeting record and published the following day.

How to provide live Public Comment during the City Council Meeting:

Participate in the Council Chambers or click link below to join the meeting:
https://hayward.zoom.us/j/87197958358?pwd=sKEsD8wehiOs0ZeaYl0h3DpDLxymEE.1 Meeting ID: 871 9795 8358
Password: 12/3CC@7pm
or
Dial: +1 669 900 6833 or +1 646 931 3860
Meeting ID: 871 9795 8358
Password: 9072362554
CALL TO ORDER: Mayor Salinas
Pledge of Allegiance: Council Member Bonilla Jr.

AB 2449 TELECONFERENCE NOTIFICATIONS AND CONSIDERATION

ROLL CALL

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December 3, 2024City Council Agenda

CLOSED SESSION ANNOUNCEMENT

PRESENTATION
Keep Hayward Clean and Green Task Force
Beautiful Yard Contest Award Presentation

PUBLIC COMMENTS
The Public Comments section provides an opportunity to address the City Council on items not listed on the agenda or Informational Staff Presentation items. The Council welcomes comments and requests that speakers present their remarks in a respectful manner, within established time limits, and focus on issues which directly affect the City or are within the jurisdiction of the City. As the Council is prohibited by State law from discussing items not listed on the agenda, items will be taken under consideration and may be referred to staff. The City Council welcomes comments, including criticism, about the policies, procedures, programs, or services of the City, or of the acts or omissions of the City Council. Speakers shall not use threatening, profane, or abusive language which disrupts, disturbs, or otherwise impedes the orderly conduct of a City Council. The City is committed to maintaining a workplace free of unlawful harassment and is mindful that City staff regularly attend Council meetings. Discriminatory statements or conduct that is hostile, intimidating, oppressive, or abusive – are per se disruptive to a meeting and will not be tolerated . ration and may be referred to staff.

CITY MANAGER’S COMMENTS
An oral report from the City Manager on upcoming activities, events, or other items of general interest to Council and the Public.

ACTION ITEMS
The Council will permit comment as each item is called for the Consent Calendar, Public Hearings, and Legislative Business. In the case of the Consent Calendar, a specific item will need to be pulled by a Council Member in order for the Council to discuss the item or to permit public comment on the item. Please notify the City Clerk any time before the Consent Calendar is voted on by Council if you wish to speak on a Consent Item.

CONSENT
Approve the City Council Minutes of the Meeting on November 19, 2024
MIN 24-1261.

Attachments: Attachment I Draft Minutes of 11/19/2024
Adopt a Resolution Accepting the Resignation of Task Force Member Leah Madonich Martinez from the Keep Hayward
Clean and Green Task Force, Effective Immediately
CONS 24-6232.

Attachments: Attachment I Staff Report
Attachment II Resolution
Attachment III Resignation Letter

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December 3, 2024City Council Agenda
Adopt a Resolution Accepting the Resignation of Member
Jadesola Edwards from the Personnel Commission, Effective Immediately
CONS 24-6243.

Attachments: Attachment I Staff Report
Attachment II Resolution
Attachment III Resignation Letter
Adopt a Resolution Accepting Transmittal of the Annual
Mitigation Fee Act Report (AB 1600)
CONS 24-6114.

Attachments: Attachment I Staff Report
Attachment II Resolution
Attachment III Annual Report of Development Fees
Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Amendment to an Agreement with Allied
Universal Technology to Integrate Additional Facilities for Purchase and Phase III Implementation of a Consolidated Access Control System in an Increase of $660,000 and an Amount Not to Exceed $2,305,588.24
CONS 24-6195.

Attachments: Attachment I Staff Report
Attachment II Resolution
Adopt a Resolution Authorizing the City Manager to Execute an Agreement with Iteris, Inc., in an Amount of $132,814 to Purchase Video Detection Systems for Tennyson & Winton
Signal Timing Upgrade Project No. 05342
CONS 24-6206.

Attachments: Attachment I Staff Report
Attachment II Resolution
Adopt a Resolution Approving the Reallocation of Unobligated ARPA Funds to the General Fund
CONS 24-6257.

Attachments: Attachment I Staff Report
Attachment II Resolution

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December 3, 2024City Council Agenda
Adopt a Resolution Authorizing the City Manager to Execute Professional Service Agreements with Kittelson & Associates, Inc., Hexagon Transportation Consultants, Inc., and
Kimley-Horn & Associates, Inc., for On-call Public Works Transportation Consulting Services
CONS 24-6268.

Attachments: Attachment I Staff Report
Attachment II Resolution
Adopt a Resolution Approving the Terms of the Employee
Home Loan Program
CONS 24-6279.

Attachments: Attachment I Staff Report
Attachment II Resolution
Adopt a Resolution Appropriating Funds from the Wastewater Operating Fund to 1) Prepay the 2016 Clean Water State
Revolving Fund Loan Related to the Financing of the Recycled Water Project in a Not-to-Exceed Amount of $14.1 million and 2) Establish an Interfund Loan to Finance the Prepayment CONS 24-63310.

Attachments: Attachment I Staff Report
Attachment II Resolution
Adopt a Resolution Approving the Plans and Specifications and Call for Bids for the Water Resource Recovery Facility’s (WRRF) New Administration and Laboratory Project, Project No. 07786
CONS 24-63211.

Attachments: Attachment I Staff Report
Attachment II Resolution for Plans and Specifications
Attachment III Resolution for Sole Source Products

WORK SESSION
Work Session items are non -action items. Although the Council may discuss or direct staff to follow up on these items, no formal action will be taken. Any formal action will be placed on the agenda at a subsequent meeting in the action sections of the agenda.

Recommended FY 2026 to FY 2030 Sewer Rates and
Connection Fees (Report from Public Works Director Ameri) WS 24-03712.

Attachments: Attachment I Staff Report
Attachment II Executive Summary

PUBLIC HEARING

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December 3, 2024City Council Agenda
Tenant Relocation Assistance Ordinance: Introduction of an Ordinance Amending Chapter 12, Article 2 of the Hayward Municipal Code Simplifying Requirements for Relocation
Assistance; Adopt a Resolution Amending the FY 2025 Master Fee Schedule; and Adopt a Resolution Appropriating Revenue Funds Received from Landlords Reimbursing the City for
Relocation Assistance Cases (Report from Development
Services Director Buizer)
PH 24-04613.

Attachments: Attachment I Staff Report
Attachment II TRAO Summary
Attachment III Amended TRAO
Attachment IV Resolution Master Fee Amendment
Attachment V Resolution Appropriating Revenue
Attachment VI Amended TRAO Redlines

COUNCIL REPORTS AND ANNOUNCEMENTS
Council Members can provide oral reports on attendance at intergovernmental agency meetings, conferences, seminars, or other Council events to comply with AB 1234 requirements (reimbursable expenses for official activities).

COUNCIL REFERRALS
Council Members may bring forward a Council Referral Memorandum (Memo) on any topic to be considered by the entire Council. The intent of this Council Referrals section of the agenda is to provide an orderly means through which an individual Council Member can raise an issue for discussion and possible direction by the Council to the appropriate Council Appointed Officers for action by the applicable City staff.

ADJOURNMENT
NEXT SPECIAL MEETING, December 10, 2024, 7:00 PM

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December 3, 2024City Council Agenda

PUBLIC COMMENT RULES
Any member of the public desiring to address the Council shall limit their comments to three (3) minutes unless less or further time has been granted by the Presiding Officer or in accordance with the section under Public Hearings. The Presiding Officer has the discretion to shorten or lengthen the maximum time members may speak. Speakers will be asked for their name before speaking and are expected to honor the allotted time.

PLEASE TAKE NOTICE
That if you file a lawsuit challenging any final decision on any public hearing or legislative business item listed in this agenda, the issues in the lawsuit may be limited to the issues that were raised at the City's public hearing or presented in writing to the City Clerk at or before the public hearing.

PLEASE TAKE FURTHER NOTICE
That the City Council adopted Resolution No. 87-181 C.S., which imposes the 90-day deadline set forth in Code of Civil Procedure section 1094.6 for filing of any lawsuit challenging final action on an agenda item which is subject to Code of Civil Procedure section 1094.5. ***Materials related to an item on the agenda submitted to the Council after distribution of the agenda packet are available for public inspection in the City Clerk ’s Office, City Hall, 777 B Street, 4th Floor, Hayward, during normal business hours. An online version of this agenda and staff reports are available on the City ’s website. Written comments submitted to the Council in connection with agenda items will be posted on the City ’s website. All Council Meetings are broadcast simultaneously on the City website, Cable Channel 15 - KHRT, and YouTube. ***
Assistance will be provided to those requiring accommodations for disabilities in compliance with the Americans with Disabilities Act of 1990. Interested persons must request the accommodation at least 48 hours in advance of the meeting by contacting the City Clerk at (510) 583-4400 or [email protected].

Assistance will be provided to those requiring language assistance. To ensure that interpreters are available at the meeting, interested persons must request the accommodation at least 48 hours in advance of the meeting by contacting the City Clerk at (510) 583-4400.

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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: MIN 24-126
DATE: December 3, 2024
TO: Mayor and City Council
FROM: City Clerk Lens

SUBJECT
Approve the City Council Minutes of the Meeting on November 19, 2024

RECOMMENDATION
That the City Council approves the City Council meeting minutes of November 19, 2024.

SUMMARY
The City Council held a meeting on November 19, 2024.

ATTACHMENTS
Attachment I Draft Minutes of 11/19/2024
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 1
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CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

The City Council/Hayward Geological Hazard Abatement District (GHAD) Board meeting was called to order by Mayor/GHAD Chair Salinas at 7:00 p.m. The City Council/GHAD Board held a hybrid meeting in Council Chambers and virtually via Zoom.

Pledge of Allegiance: Council Member/GHAD Member Andrews

Present: COUNCIL/GHAD MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR/GHAD CHAIR Salinas

Absent: None

The Hayward Geological Hazard Abatement District (GHAD) Board adjourned its meeting at approximately 7:12 p.m. and reconvened into the City Council meeting.

CLOSED SESSION ANNOUNCEMENTS

The City Council convened in closed session on October 21, 2024, at 11:45 a.m., with all members present and no public speakers, regarding public employment pursuant to Government Code Section 54957 to consider the appointment or employment of the City Manager. City Attorney Lawson indicated that the Council met, but took no reportable action.

The City Council convened in closed session on October 22, 2024, at 12:00 p.m., with all members present and no public speakers, regarding two items: 1) public employment pursuant to Government Code section 54957 to consider the appointment or employment of the City Manager; and 2) conference with legal counsel pursuant to Government Code section 54956.9(d)(1), pending litigation, Alina Shinwary v. City of Hayward, et al. Alameda County Superior Court Case No. 23CV037683. City Attorney Lawson indicated that the Council met regarding both matters, took no reportable action regarding Item 1 , and authorized a settlement in the amount of $125,000 regarding Item 2.

The City Council convened in closed session on November 12, 2024, at 5:30 p.m., with all members present and no public speakers, regarding two items: 1) public employment pursuant to Government Code Section 54957 to consider the appointment or employment of the City Manager; and 2) conference with legal counsel pursuant to Government Code Section 54956.9(d)(2) to consider anticipated litigation (one case). City Attorney Lawson indicated that the Council met, but took no reportable action related to both matters.

PROCLAMATIONS
Mayor Salinas read a proclamation declaring November 11, 2024, as Veterans Day in the City of Hayward. Hector Villasenor, Hayward Librarian; Alfredo Rodriguez Jr., commander for

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

DISTRICT (GHAD) BOARD AND CITY COUNCIL
777 B Street, Hayward, CA 94541
Council Chambers and Zoom
https://hayward.zoom.us/j/83639328548?pwd=ZUdDZE5lM2R1dHNFbVJoVXJBckdmQT09 Tuesday, November 19, 2024, 7:00 p.m.
the American Legion Post 68 and Building Commissioner of Hayward Veterans Memorial Hall; Eric Wick, Suicide Prevention Trainer with Swords to Plowshares ; and Jayanti Addleman, Library Director , accepted the proclamation on behalf of their respective organizations.

Council Member Bonilla Jr. requested that Hayward consider participating in Operation Green Light shining a green light at City Hall next year.

PUBLIC COMMENTS
Evelyn Oliveira, president of SEIU 1021 Clerical Chapter, expressed disapproval of the Council's decision to approve a CalPERS contribution increase in September 2024, which she stated violated prior agreements to delay the increase until January 2025; and urged Council to reconsider the implications of the action taken.

The following individuals urged the Council to implement a 100% smoke -free multi -unit housing policy, highlighting its benefits for air quality, fire risk reduction, community health including pets , and alignment with the City's 2024 Strategic Priorities; noted readiness among community partners to support drafting, implementation, and evaluation of the policy; and highlighted the impact of secondhand smoke on vulnerable populations.

Andrea Narayan, Youth Advisory Council member
Trinity Sines, Eden Youth and Family Center Policy Coordinator Shavya Gudhalar, Foothill High School student and Youth Advisory Council member Julia Patel, Hayward Youth Commissioner and Youth Advisory Council member Icela Velazquez, Mt. Eden High School student and Youth Advisory Council member Gurpreet Bhella, James Logan High School student and Youth Advisory Council member CITY MANAGER’S COMMENTS
Interim City Manager Claussen made two announcements: 1) the November 20, 2024 Capital Corridor Joint Powers Authority Board meeting in Oakland to consider an environmental impact review for station relocations, including a proposal to remove a station from Hayward, which the City has strongly opposed in writing; and 2) the annual "Light of the Season" event on December 7, 2024, in Hayward, featuring ice skating and fun activities.

CONSENT CALENDAR

Mayor Salinas announced that staff had requested to remove Item 16 from the Consent Calendar and bring it back in December. Consent Item 4 was removed for comment. There were comments on Items 8, 9, and 10.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

1. Approve the Minutes of the City Council Meeting on October 15, 2024 MIN 24-122 It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously, to approve the City Council meeting minutes of October 15, 2024.

2. Adopt a Resolution to Execute a Side Letter of Agreement Amending the Memoranda of Understanding (MOU), Section 5.13 C - Retiree Medical Trust between the City of Hayward (“City”) and the Hayward Fire Chief’s Association (HFCA), to Amend Employee Contributions CON 24-557
Staff report submitted by Human Resources Director Frye dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

Resolution 24 -219, “ Resolution Approving and Authorizing the City Manager to Execute the Side Letter Agreement Amending the Memorandum of Understanding (MOU), Section 5.13 C Retiree Medical Trust Between the City of Hayward and the Hayward Fire Chiefs’ Association (HFCA), to Set the Retiree Medical Trust Employee Contribution Amount”

3. Adopt a Resolution to Execute a Side Letter of Agreement Amending the Memoranda of Understanding (MOU), Article 12.03 Longevity Pay between the City of Hayward (“City”) and the Hayward Fire Chiefs Association (HFCA), to Amend the Effective Date for All Eligible Members CONS 24-558
Staff report submitted b y Human Resources Director Frye, dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24 -220, “ Resolution Approving and Authorizing the City Manager to Execute the Side Letter Agreement Amending the Memorandum of Understanding (M OU), Section 12.03 Longevity Pay Between the City of Hayward and the Hayward Fire Chiefs’ Association (HFCA), to Correctly Reflect the Longevity Pay Provision For H FCA Members”

4. Adopt a Resolution Authorizing the City Manager to Execute a Funding Agreement with AC Transit to Help Fund Bus Shelter Maintenance CONS 24-561 Staff report submitted b y Public Works Director Ameri, dated November 19, 2024, was filed.

Council Member Andrews requested that AC Transit representatives and City staff explore standards for bus shelter maintenance and consider implementing a policy or point system to improve bus shelters; and emphasized the need for equitable infrastructure across the community, highlighting bus shelter inconsistencies in areas such as Twin Bridges, Mission Boulevard, and West Tennyson.

Council Member Bonilla Jr. suggested that staff explore partnerships with AC Transit to manage ongoing maintenance while the City focuses on initial investments such as building benches or shelters.

Council Member Syrop clarified that AC Transit covers most of the costs associated with the City's bus shelters, with delays in improvements due to the need to secure an advertising partner to subsidize repair costs; highlighted that during the City's bus bench pilot, AC Transit funded an accessibility study while the City covered materials and labor for the benches, illustrating a partnership with shared responsibilities; and noted he would voice feedback at the next AC Transit meeting.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-221, “Authorizing the City Manager to Execute A Funding Agreement with Ac Transit to Help Fund Shelter Maintenance in an Amount Not to Exceed $39,361 Annually Over the Five-Year Contract Term”

5. Adopt a Resolution Authorizing the City Manager to Execute a Professional Services Agreement with Fehr & Peers in a Not -to-Exceed Amount of $210,000, for the Speed Management Plan, Project No. 06943 CONS 24-562
Staff report submitted by Public Works Director Ameri,
November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24 -222, “ Authorizing the City Manager to Execute a Professional Services Agreement with Fehr & Peers for Consulting Services for the Speed Management Plan, Project No. 06943 in an Amount Not-To-Exceed $210,000”

6. Adopt a Resolution Authorizing the City Manager to Increase the Total Construction Contract Not-to-Exceed Amount to $16,373,134 Due to an Increase in Contingency from $855,050 to $1,078,184 CONS 24-563
Staff report submitted by Public Works Director Ameri, dated November 19, 2024, was filed.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-223, “Resolution Authorizing the City Manager to Increase the Total Construction Contract Amount Not to Exceed $16,373,134 Due to Increase in Contingency from $855,050 To $1,078,184”

7. Adopt a Resolution Approving Plans and Specifications, and Calling for Bids for the Hesperian Frontage Road Improvement Project No. 05742 CONS 24-569 Staff report submitted by Public Works Director Ameri , dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-224, “Resolution Approving Plans and Specifications and Call for Bids for Hesperian Frontage Road Improvement Project, Project No. 05742”

8. Adopt a Resolution Accepting the Resignation of Commissioner Collin Thormoto from the Community Services Commission, Effective Immediately CONS 24-573 Staff report submitted by City Clerk Lens, dated November 19, 2024, was filed.

Council Member Bonilla Jr. thanked Commissioner Thormoto for his service and wished him well into his next service with the community.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

Council Member Syrop expressed gratitude to Commissioner Thormoto for his long-standing service on the Community Services Commission and acknowledged he served as parliamentary well.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-225, “Resolution Accepting the Resignation of Mr. Collin Thormoto from the Community Services Commission”

9. Adopt a Resolution Accepting the Resignation of Task Force Member Margaret Barton from the Keep Hayward Clean and Green Task Force, Effective Immediately CONS 24- 574
Staff report submitted by City Clerk Lens, dated November 19, 2024, was filed.

Council Member Bonilla Jr., Council Member Andrews, and Council Member Syrop thanked Task Force Member Barton for her service and wished her well in her next service with the community.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24 -226, “ Resolution Accepting the Resignation of Ms.

Margaret Barton from the Keep Hayward Clean and Green Task Force”

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

10. Adopt a Resolution Releasing Jessica Stanley from the Keep Hayward Clean and Green Task Force, Effective Immediately CONS 24-575
Staff report submitted by the City Clerk Lens , dated November 19, 2024, was filed.

Council Member Bonilla Jr., Council Member Andrews, and Council Member Syrop thanked Task Force Member Stanley for her service and wished her well in her next service with the community.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-227, “ Resolution Releasing Ms. Jessica Stanley from the Keep Hayward Clean and Green Task Force”

11. Adopt a Resolution to Approve Final Map of Tract 8429, a One Lot Subdivision for Condominium Purposes at 420 Smalley Avenue (Assessor Parcel No. 431 -0008-020-00) to Allow the Construction of Eight (8) Attached Townhouse Condominium Units and Related Site Improve ments; Applicant/Owner: MF Smalley Hayward, LLC., Application No. FM-23-0003 CONS 24-556
Staff report submitted by Development Services Director Buizer, dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

Resolution 24-228, “Resolution Approving the Final Map of Tract 8429, Accepting the Easements Dedicated Thereon for Public Use and Authorizing the City Manager to Negotiate and Execute the Subdivision Improvement Agreement and Related Other Documents”

12. Adopt a Resolution to Approve Final Map of Tract 8670, a 12-Lot Residential Subdivision at 24764 and 24656 Mohr Drive (Assessor’s Parcel Numbers 441-0074-009-00 and 441- 0074-009-00; Eden Village III), to Allow the Construction of Twelve (12) Single -Family Small Lot Detached Residential Units and Related Site Improvements; Applicant/Owner:

Jason Creek Ventures, LLC, Application No. MTA-23-0001 CONS 24-578 Staff report submitted by the Development Services Director Buizer, November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-229, “Resolution Approving the Final Map of Tract 8670, Accepting the Easements and Mohr Drive Right of Way Dedicated Thereon for Public Use and Authorizing the City Manager to Negotiate and Execute the Subdivision Improvement Agreement and Related Other Documents”

13. Adopt a Resolution Authorizing the City Manager to Execute Amendment No. 2 to the Professional Services Agreement with Schaaf & Wheeler, and Increase the Contract Amount by $60,000, for a Total Not -to-Exceed Amount of $260,000 for Engineering Design Services for the Arf Avenue Trash Capture Project CONS 24-580 Staff report submitted by Public Works Director Ameri , dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-230, “Resolution Authorizing the City Manager to Execute Amendment No. 2 to the Professional Services Agreement with Schaaf & Wheeler, and Increase the Contract Amount by $60,000, for a Total Not- To-Exceed Amount of $380,000 for Engineering Design Services for the Arf Avenue Trash Capture Project”

14. Adopt a Resolution Authorizing the City Manager to Appropriate $45,000 from the Asset Forfeiture Fund (265) to the General Fund (100) to Purchase New Equipment for the Hayward Police Department’s Wellness Center CONS 24-584

Staff report submitted by Chief of Police Matthews, dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolutions.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24 -231, “ Resolution Authorizing the City Manager to Appropriate $45,000 from the Asset Forfeiture Fund (265) to the General Fund (100) to Purchase New Equipment for the Hayward Police Department’s Wellness Center”

15. Adopt a Resolution Approving an Exception to the 180-Day Wait Period Requirement for Two Retired CalPERS Annuitants to Work Within the Hayward Communications Center CONS 24-585
Staff report submitted by Chief of Police Matthews, dated November 19, 2024, was filed.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

It was moved by Council Member Bonilla Jr. seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None
Resolution 24-232, “Authorizing Resolution Authorizing the Exception to the 180 -Day Waiting Period Requirement for up to Two (2) Retired CALPERS Annuitants to Work as City of Hayward Communications Operators”

16. Adopt a Resolution to Execute a Side Letter of Agreement Amending the Memorandum of Understanding, Section 10.01- Defined Benefit Retirement Program between the City of Hayward and the Service Employees International Union, Local 1021 - Maintenance and Operations Union to Clarify Employee Pension Cost -Share Requirements for all Eligible Classic and PEPRA Members CONS 24-591
Mayor Salinas noted that staff requested to remove the item from the Consent Calendar

17. Adopt a Resolution Authorizing the City Manager to Amend the Contract with EBA Engineering by $60,000 for the Removal of Underground Fuel Storage Tanks for a Not - to-Exceed Amount of $222,343 for the Mission Boulevard Corridor Improvements Phase 3 Project, Project No. 05287 CONS 24-593
Staff report submitted by Public Works Director Ameri, dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

Resolution 24-233, “Resolution Authorizing the City Manager to Execute an Amendment to the Contract with EBA Engineering for Underground Storage Tank Removal Services for the Mission Boulevard Corridor Improvements Phase 3 Project.”

18. Adopt a Resolution Authorizing the City Manager to Award a Construction Contract to Bhogal Brother Construction Inc., for the Weekes Branch Library Improvement Project, Project No. BD051 in the Amount of $379,600, Approve an Administrative Change Order Budget of $75,920, and Close the Weekes Branch Library During Renovations CONS 24- 598
Staff report submitted by Assistant City Manager Youngblood and Director of Library Services Addleman, dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

Resolution 24-234, “Resolution Authorizing the City Manager to Award a Construction Contract to B hogal Brother Construction Inc., for the Weekes Branch Library Improvement Project, Project No. BD051 in the Amount of $379,600, Approve an Administrative Change Order Budget of $75,920, and Close the Weekes Branch Library During Renovations”

19. Adopt a Resolution Authorizing the City Manager to Execute a Lease Agreement with Montecito Development LLC, for Property Located at the Hayward Executive Airport CONS 24-605
Staff report submitted by Public Works Director Ameri , dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

Resolution 24-235, “Resolution of the City Council of the City of Hayward Authorizing the City Manager to Negotiate and Execute a New Lease Agreement with Montecito Development LLC for Property Located at the Hayward Executive Airport for the Development at the Former California Air National Guard (CANG) Site”

20. Adopt a Resolution Authorizing the Interim City Manager to Amend the Professional Services Agreement with Dewberry Architects, Inc., by $338,000 for a Not -to-Exceed Amount of $868,000; and Appropriate Additional Funds in the Amount of $338,000 from Capital Projects (Governmental) - Fund 405 for the Hayward Police Department Locker Room and Communications Center Building, Project No. 07420 CONS 24-607 Staff report submitted by Public Works Director Ameri , dated November 19, 2024, was filed.

It was moved by Council Member Bonilla Jr., seconded by Council Member Syrop, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None
ABSTAIN: None

Resolution 24-236, “Resolution Authorizing the City Manager to Execute Amendment No. 2 to Increase the Professional Services Agreement with Dewberry Architects, Inc. for the Design of the Hayward Police Department Locker Room and Communications Center Project in an Amount of $338,000 for A Not-To-Exceed Amount of $868,000, Project No. 07420 and to Appropriate $338,000 from Capital Projects (Governmental) - Fund 405 to the Hayward Police Department Locker Room & Communications Center, Project No. 07420”

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

WORK SESSION

21. American Rescue Plan Act (ARPA) Analysis and Review WS 24-036 Staff report submitted by Director of Finance Gonzales, dated November 19, 2024, was filed.

Mayor Salinas noted the item was heard in the Council Budget and Finance Committee where Council Members Bonilla Jr., Syrop and himself serve, and waived staff’s oral presentation.

Council Member Andrews expressed gratitude to the Economic Development team for their creativity in maximizing limited resources; acknowledged the impactful effort through social media and small business programs ; and thanked all departments for effectively utilizing funds to keep the City moving forward.

Council Member Bonilla Jr. echoed earlier remarks, highlighting the City’s effective use of over $38 million in American Rescue Plan Act funds; emphasized the Council's commitment to rebuilding reserves to prepare for future emergencies; supported staff’s recommendation, approved by the Council Budget and Finance Committee (CBFC), to allocate funds for this purpose; and expressed gratitude to staff and CBFC for their efforts in ensuring the City's financial resilience.

Council Member Syrop highlighted the importance of allocating $4 million to rebuild City reserves; noted that transferring funds to the General Fund not only replenishes reserves but also provides greater flexibility by removing time constraints on their use ; and acknowledged that $2 million of the funds originally came from a housing program and urged the Council to prioritize housing needs and homelessness solutions with these funds in future projects.

There being no public speakers, Mayor Salinas opened and closed public comment at 7:50 p.m.

LEGISLATIVE BUSINESS

22. FY 2025 Salary Plan Amendment: Adopt a Resolution Approving an Amendment to the City of Hayward Salary Plan for Fiscal Year 2025) (Report from Human Resources Director Frye) LB 24-024
Staff report submitted by Human Resources Director Frye, dated November 19, 2024, was filed.

Mayor Salinas forwent the staff’s oral presentation.

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

There being no speakers, Mayor Salinas opened and closed the public hearing at 7:52 p.m.

It was moved by Council Member Bonilla Jr., seconded by Council Member Zermeño, and carried unanimously by the following roll call vote, to approve the resolution.

AYES: COUNCIL MEMBERS Andrews, Bonilla Jr., Goldstein, Roche, Syrop, Zermeño
MAYOR Salinas
NOES: None
ABSENT: None

Resolution 24-237, “Resolution Approving the Amended Fiscal Year 2025 Salary Plan Designating Positions of Employment in the City of Hayward and Salary Range; and Superseding Resolution No. 24 -200 and all Amendments Thereto”

COUNCIL REPORTS AND ANNOUNCEMENTS
There were none.

COUNCIL REFERRALS

23. City Council Referral: StackPass Education Discount Program (Referral from Council Members Syrop and Andrews) RPT 24-089
Staff report submitted by Council Members Syrop and Andrews, dated November 19, 2024, was filed.

Council Member Syrop highlighted the idea of a StackPass Education Discount Program, an inclusive citywide discount program for students from various educational institutions, including colleges, vocational schools, and apprenticeship programs, was to stimulate Hayward’s economy and reinforce its identity as an education city; emphasized the untapped potential of engaging students and their families as customer s; raised concerns about the staff's analysis, arguing it overcomplicated the project, which was a simpler request requiring fewer resources ; defended the role of members of City Council in engaging businesses for initiatives and shared positive feedback from business owners; and noted he would continue to find a way to develop the idea independently.

Council Member Andrews expressed support for the discount program, commending its inclusivity of businesses across the city and its recognition of diverse educational institutions, including apprenticeship programs ; noted she was interested in reviewing the alternatives identified by staff; and encouraged revisiting the program during the City’s

CONCURRENT MEETING OF HAYWARD GEOLOGIC HAZARD ABATEMENT

Strategic Roadmap discussions and advocated for collaboration with labor partners and educational institutions to promote creative solutions for economic development.

Mayor Salinas thanked Council Members Syrop and Andrews for the referral and looked forward to the item coming back in some form of iteration in the future.

ADJOURNMENT

Mayor Salinas adjourned the meeting at 8:02 p.m., noting the next meeting will be on December 3, 2024.

APPROVED

__________________________________________________________ Mark Salinas
Mayor, City of Hayward

ATTEST:

__________________________________________________________ Miriam Lens
City Clerk, City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-623
DATE: December 3, 2024
TO: Mayor and City Council
FROM: City Clerk

SUBJECT
Adopt a Resolution Accepting the Resignation of Task Force Member Leah Madonich Martinez from the Keep Hayward Clean and Green Task Force, Effective Immediately

RECOMMENDATION
That the City Council adopts a resolution (Attachment II) accepting the resignation of Task Force Member Leah Madonich Martinez from the Keep Hayward Clean and Green Task Force, effective immediately.

SUMMARY
Task Force Member Leah Madonich Martinez was appointed to the Keep Hayward Clean and Green Task Force on September 21, 2021, and reappointed on September 12, 2023. Ms. Leah Madonich Martinez’s resignation becomes effective immediately, per her resignation letter (Attachment III).

Ms. Martinez’s vacated position will be filled as part of the annual appointment process for the City’s appointed officials to Commissions and Keep Hayward Clean and Green Task Force.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Resignation Letter
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 1
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: City Clerk

SUBJECT Adopt a Resolution Accepting the Resignation of Task Force Member Leah Madonich Martinez from the Keep Hayward Clean and Green Task Force , Effective Immediately

RECOMMENDATION

That the City Council adopts a resolution (Attachment II) accepting the resignation of Task Force Member Leah Madonich Martinez from the Keep Hayward Clean and Green Task Force, effective immediately.

SUMMARY AND DISCUSSION

Task Force Member Leah Madonich Martinez was appointed to the Keep Hayward Clean and Green Task Force on September 21, 2021, and reappointed on September 12, 2023. Ms. Leah Madonich Martinez’s resignation becomes effective immediately, per her resignation letter (Attachment III).

Ms. Martinez’s vacated position will be filled as part of the annual appointment process for the City’s appointed officials to Commissions and Keep Hayward Clean and Green Task Force.

FISCAL IMPACT

There is no fiscal impact associated with this action.

STRATEGIC INITIATIVES

The agenda item is a routine operational item and does not relate to one of the Council’s Strategic Initiatives.

Prepared and Recommended by: Miriam Lens, City Clerk

Page 2 of 2 ends

Approved by:

Dustin Claussen, Interim City Manager

ATTACHMENT II

HAYWARD CITY COUNCIL

RESOLUTION No. 24-______

Introduced by Council Member ________________

RESOLUTION ACCEPTING THE RESIGNATION OF MS. LEAH MADONICH

MARTINEZ FROM THE KEEP HAYWARD CLEAN AND GREEN TASK FORCE

WHEREAS, Ms. Leah Madonich Martinez was appointed to the Keep Hayward Clean and Green Task Force on September 21, 2021; and

WHEREAS, Ms. Leah Madonich Martinez was reappointed to the Keep Hayward Clean and Green Task Force on September 12, 2023; and

WHEREAS, Ms. Leah Madonich Martinez submitted a resignation letter on October 18, 2024.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hayward that the Council hereby accepts the resignation of Ms. Leah Madonich Martinez; and commends her for her civic service to the City.

IN COUNCIL, HAYWARD, CALIFORNIA, ________________________

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward

ATT ACHMENT III
From: Leah Madonich
Sent: Friday, October 18, 2024 8:37 AM
To: CityClerk <[email protected]>
Cc: Colleen Kamai <[email protected]>
Subject: resignation from Keep Hayward Clean & Green Task Force Good morning,

Please accept this email as my resignation from the Keep Hayward Clean & Green Task Force.

Due to some changes in responsibility at work, I will be unable to finish out my term. This experience has been incredibly fulfilling and I am so grateful for the efforts of my fellow task members as well as City of Hayward staff that I was fortunate enough to work with in this role.

Please let me know if you need anything else from me!
Leah
Leah Madonich Martinez

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-624
DATE: December 3, 2024
TO: Mayor and City Council
FROM: City Clerk Lens

SUBJECT
Adopt a Resolution Accepting the Resignation of Member Jadesola Edwards from the Personnel Commission, Effective Immediately

RECOMMENDATION
That the City Council adopts a resolution (Attachment II) accepting the resignation of Member Jadesola Edwards from the Personnel Commission, effective immediately.

SUMMARY
Member Jadesola Edwards was appointed to the Personnel Commission on September 20, 2022. Ms.

Jadesola Edwards’ resignation becomes effective immediately, per her resignation letter (Attachment III).

Ms. Jadesola Edwards’vacated position will be filled as part of the annual appointment process for the City’s appointed officials to Commissions and Keep Hayward Clean and Green Task Force.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Resignation Letter
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 1
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: City Clerk

SUBJECT Adopt a Resolution Accepting the Resignation of Member Jadesola Edwards from the Personnel Commission, Effective Immediately

RECOMMENDATION

That the City Council adopts a resolution (Attachment II) accepting the resignation of Member Jadesola Edwards from the Personnel Commission, effective immediately.

SUMMARY AND DISCUSSION

Member Jadesola Edwards was appointed to the Personnel Commission on September 20, 2022. Ms. Jadesola Edwards’ resignation becomes effective immediately, per her resignation letter (Attachment III).

Ms. Jadesola Edwards’ vacated position will be filled as part of the annual appointment process for the City’s appointed officials to Commissions and Keep Hayward Clean and Green Task Force.

FISCAL IMPACT

There is no fiscal impact associated with this action.

STRATEGIC INITIATIVES

The agenda item is a routine operational item and does not relate to one of the Council’s Strategic Initiatives.

Prepared and Recommended by: Miriam Lens, City Clerk

Approved by:

Dustin Claussen, Interim City Manager

ATTACHMENT II

HAYWARD CITY COUNCIL

RESOLUTION No. 24-______

Introduced by Council Member ________________

RESOLUTION ACCEPTING THE RESIGNATION OF MS. JADESOLA EDWARDS

FROM THE PERSONNEL COMMISSION

WHEREAS, Ms. Jadesola Edwards was appointed to the Personnel Commi ssion on September 20, 2022; and

WHEREAS, Ms. Jadesola Edwards submitted a resignation letter on November 14 , 2024.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hayward that the Council hereby accepts the resignation of Ms. Jadesola Edwards; and commends her for her civic service to the City.

IN COUNCIL, HAYWARD, CALIFORNIA, ________________________

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward

ATT ACHMENT III

From: Jadesola Edwards
Sent: Thursday, November 14, 2024 1:00 PM
To: Miriam Lens <[email protected]>
Subject: Fwd: Confirm Availability for Regular Personnel Commission Meeting - 12/12/24 - Resignation

Hi Miriam,
Unfortunately, I am going to need to resign from the Personnel Commission, effective immediately. With work and my toddler and another on the way, I have too much going on to maintain this commitment.

It has been a pleasure to work on this commission and I hope to re-engage in public service again one day.

All the best,
Jadesola Edwards

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-611
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Finance

SUBJECT
Adopt a Resolution Accepting Transmittal of the Annual Mitigation Fee Act Report (AB 1600)

RECOMMENDATION
That Council adopts the annual Mitigation Fee Act (AB 1600) report prepared to satisfy Government Code Subsection 66006(b)(1).

SUMMARY
The AB 1600 (Cortese) portion of the Mitigation Fee Act applies to fees charged in connection with the approval of development projects to defray the cost of public facilities. AB 1600 was enacted by the State Legislature in 1987, and applies to developer fees established, increased, or imposed on or after January 1, 1989. This legislation requires an annual report on the status of all eligible fees pursuant to the Mitigation Act to satisfy Government Code Subsection 66006(b)(1) requirements. This annual report includes the required eight items that the City must address for each impact or connection fee satisfy in order to comply with the Mitigation Fee Act.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
Attachment III Annual Report of Development Fees
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 1
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Finance

SUBJECT: Adopt a Resolution Accepting Transmittal of the Annual Mitigation Fee Act Report (AB 1600)

RECOMMENDATION

That Council adopts the annual Mitigation Fee Act (AB 1600) report prepared to satisfy Government Code Subsection 66006(b)(1).

SUMMARY

The AB 1600 (Cortese) portion of the Mitigation Fee Act applies to fees charged in connection with the approval of development projects to defray the cost of public facilities. AB 1600 was enacted by the State Legislature in 1987, and applies to developer fees established, increased, or imposed on or after January 1, 1989. This legislation requires an annual report on the status of all eligible fees pursuant to the Mitigation Act to satisfy Government Code Subsection 66006(b)(1) requirements. This annual report includes the required eight items that the City must address for each impact or connection fee satisfy in order to comply with the Mitigation Fee Act.

BACKGROUND

It is common for local agencies to charge fees on new development to fund construction of capital facilities that will serve the development. The AB 1600 (Cortese) portion of the Mitigation Fee Act applies to fees charged in connection with the approval of development projects to defray the cost of public facilities. AB 1600 was enacted by the State Legislature in 1987, and applies to developer fees established, increased, or imposed on or after January 1, 1989. This legislation also requires an annual report on the status of all eligible fees pursuant to the Mitigation Act.

DISCUSSION

To comply with the Mitigation Fee Act the City must provide an annual report on the adopted Impact and Connection Fees. The report must consist of each separate impact/connection fee and make available to the public the findings within 180 days of the last fiscal day close and contain the following eight components:

Page 2 of 3 ends

1. A brief description of the type of fee.

2. The amount of the fee.

3. The beginning and ending balance of the account or fund.

4. The amount of the fees collected and the interest earned.

5. An identification of each public improvement on which the fees were expended, including the amount and percentage that was funded by the fee.

6. The approximate date that construction of the public project will commence if we have determined sufficient funds.

7. Descriptions of interfund transfer or loans made from the fund, including the public improvement will be expended.

8. Amount of any refunds due.

To comply with these eight requirements the City has prepared the AB 1600 annual reports for the following fees in Attachment III:
 Sewer Connection Fees
 Water Connection Fees
 Park Impact Fees
 Traffic Impact Fees – No fees have been collected to date.

The Mitigation Fee Act, at Government Code section 66001(d), requires specific findings to be made with respect to unspent impact fees five years after the initial deposit into the fund and every five years thereafter, otherwise the unspent fees must be refunded, with the exception of water or sewer connection fees or capacity charges, which are specifically exempted from refunds by the Act. No findings are required to be made for unspent Park Impact Fees or Traffic Impact Fees at this time. Park Impact fees were first deposited with the City in FY 2022. The City has not collected any Traffic Impact Fees during the relevant reporting period.

ECONOMIC IMPACT

Compliance with AB 1600 allows the City to hold development deposits for future improvements to the community to offset the impacts of these new developments.

FISCAL IMPACT

No fiscal impact is associated with this report. Attachment III provides a summary of the applicable fees pursuant to the Mitigation Act for FY 2024.

This report is prepared annually in compliance with Assembly Bill 1600.

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PUBLIC CONTACT

A public notice was published in The Daily Review on November 15, 2024, announcing the date, time, location, and subject matter of this report.

Prepared by: Shannon Collins, Accounting Manager

Recommended by: Nicole Gonzales, Director of Finance

Approved by:

_____________________________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-_____

Introduced by

RESOLUTION ACCEPTING THE REPORT AND ADOPTING FINDINGS RELATED

TO FEES COLLECTED FOR THE DEVELOPMENT PROJECTS SUBJECT TO THE

REQUIREMENTS OF THE MITIGATION FEE ACT

WHEREAS, Government Code section 66006, part of the Mitigation Fee Act, which is sometimes referred to as Assembly Bill 1600, requires the City to make findings each fiscal year describing the continuing need t o retain fees collected from developers, but which remain unexpended and/or uncommitted after a period of five years; and

WHEREAS, the funds maintained for such period of time must be refunded if the requisite findings cannot be made; and

WHEREAS, the City has unexpended fees that it needs to retain for future expenditures; and

WHEREAS, the Mitigation Fee Act, at Government Code section 66001(d), requires specific findings to be made with respect to unspent impact fees five years after the initial deposit into the fund and every five years thereafter, otherwise the unspent fees m ust be refunded, with the exception of water or sewer connection fees or capacity charges, which are specifically exempted from refunds by the Act; and

WHEREAS, no findings are required to be made for unspent Park Impact Fees or Traffic Impact Fees at th is time. Park Impact fees were first deposited with the City in FY 2022. The City has not collected any Traffic Impact Fees during the relevant reporting period.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward hereby accepts the report of the Director of Finance dated December 3, 2024, and adopts the findings contained therein, copy of which is attached hereto as Attachment III.

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

ATTACHMENT III

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City of Hayward
Annual Report on Development Impact Fees, Per Government Code 66000 AB 1600 Statement
Sewer System Connection Charges and Fees
Municipal Code, Chapter 11, Article 3, Section 11-3.255 authorizes the City to assess connection fees to any customer (new or existing) who installs new or additional fixtures, processes, or equipment, or otherwise causes an increase in wastewater discharge into the City sewer. Residential users shall be assessed for each unit. Commercial, Industrial, Institutional and Other Users will be calculated in accordance with the number of gallons of daily capacity required to serve the customers and the pounds per year of carbonaceous biochemical oxygen demand and suspended solids. https://www.hayward-ca.gov/your-government/documents/master-fee-schedule Beginning Balance, 7/1/2023 $ 32,277,944

REVENUES
Fees 3,275,991
Interest income 1,102,702
Miscellaneous 92,707
Transfer in 270,000
Total revenues 4,741,400

EXPENDITURES
Percent
Financed with
Fees
WPCF Solid Pumping Improvements (07559) 111,279 100%
WPCF Headworks Bar Screen (07567) 336,808 100%
WPCF New Admin Building & Lab Proj (07786) 1,289,353 21% WPCF Phase II Improvement Project (07760) 4,127,424 100% Trash capture implementation (07746) 1,336,014 100%
Co-Generation System Maintenance Contract (07679) 63,525 37% WPCF Primary Effluent Flow Equalization (07749) 947,995 100% Sewer Main Install 880/WILLIMET (07717) 40,552 100%
Switchgear Rehabilitation Project (07656) 688,840 100% Harder Rd Sewer System (07624) 28,215 100%
Utilities Lab Info Mgmt/Data Entry (07519) 8,395 100%
GIS Data Development & Conversion (07177) 101,299 100% Recycled Water Mas (07709) 14,267 100%
Advertising & Public Notices - 100%
Transfer out 2,157,314 100%
Total Expenditures 11,251,281
Excess of revenues over/(under) expenditures (6,509,881) Ending balance, 6/30/24 $ 27,768,063
Note:
*Transfer out in the amount of $1,747,314 was for debt service payments to fund Solar project and WPCF Improvement project Phase I.
*Transfer out in the amount of $410,000 was for capital projects. *No refunds are due at this time.

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City of Hayward
Annual Report on Development Impact Fees, Per Government Code 66000 AB 1600 Statement
Water System Facilities Fees
Municipal Code, Chapter 11, Article 2, Section 11-2.05 authorizes the City to impose a Water System Facilities Fee upon every applicant for a new water service. The facilities fee will be based on the water meter size. https://www.hayward-ca.gov/your-government/documents/master-fee-schedule Beginning Balance, 7/1/2023 $ 53,073,817

REVENUES
Fees 2,706,167
Interest income 2,067,895
Miscellaneous 30,920
Transfer in 410,000
Total revenues 5,214,982

EXPENDITURES
Percent
Financed with
Fees
250 Zone for PRS at DeCoto (07074) 40,262 100%
Groundwater Sustainability plan imp (07191) 27,759 100% GIS Data Development & Conversion (07177) 101,299 100% Water Line Improvement (07093) 1,681,679 100%
New 0.75 MG Tank – Garin Reservoir (07183) 100,000 100% Garin Ladder Cage Project (07195) 14,758
Weather Based Irrigation Controller (07017) 7,729 100% Total Expenditures 1,973,486
Loan to Fund 612 for Solar Project:

Original Loan Amount (4,100,000.00)
Previous Repayments 1,640,000.00
FY2023 Payment 410,000.00
Outstanding Loan to be paid FY24-29 @$410,000/year 2,050,000.00 -

Excess of revenues over/(under) expenditures 3,241,496
Ending balance, 6/30/24 $ 56,315,313
Notes:
*Future year expenditure projected costs total over $87 million through FY2034. These can be found in detail in the City's FY2025 Adopted Capital Improvement Plan.
*No refunds are due at this time.

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City of Hayward
Annual Report on Development Impact Fees, Per Government Code 66000 AB 1600 Statement
Park-in-Lieu Fees
Municipal Code, Chapter 10, Article 16, as amended by Ordinance 20-02 requires all residential subdivisions and all other development of land in the City for residential and industrial purposes to pay impact fees to provide for park and recreational facilities serving the City.
https://www.hayward-ca.gov/your-government/documents/master-fee-schedule Beginning Balance, 7/1/2023 $ 18,697,344

REVENUES

Fees - mitigation act 156,280

Fees - quimby act 1,025,363

Interest income -

Miscellaneous -

Total revenues 1,181,643

EXPENDITURES

Percent
Financed with
Fees
-

Total Expenditures -

Excess of revenues over/(under) expenditures 1,181,643

Ending balance, 6/30/24 $ 19,878.987

Future Projects for Unexpended Funds:

La Vista Park Project (06914) FY2023 $ 5,730,000.00
Note:
*In addition to the budgeted expenses for La Vista Park the Park Fees will assist in acquiring and developing other parks not yet budgeted.
*No refunds are due at this time.

The Annual Mitigation Fee Act Report will be available for review by contacting the Office of the City Clerk, (510) 583- 4400 and will be posted on the City’s website at http://www.hayward-ca.gov/discover/news starting Friday, November 29, 2024.

Formal adoption of the Annual Mitigation Fee Act (AB 1600) Report is scheduled for December 3, 2024, and the report will be available for review starting on November 29, 2024, by contacting the Office of the City Clerk, and on the City’s website at https://hayward.legistar.com/Calendar.aspx. Persons interested in the above are invited to attend the meeting to speak or offer written evidence for or against this proposal.

Dated: November 15, 2024
Miriam Lens, City Clerk
City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-619
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Maintenance Services

SUBJECT
Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Amendment to an Agreement with Allied Universal Technology to Integrate Additional Facilities for Purchase and Phase III Implementation of a Consolidated Access Control System in an Increase of $660,000 and an Amount Not to Exceed $2,305,588.24

RECOMMENDATION
That Council adopts resolution (Attachment II) authorizing the City Manager to negotiate and execute an agreement with Allied Universal Technology to integrate additional facilities in the Access Control System, in an amount not to exceed $2,305,588.24

SUMMARY
That security of City-owned buildings is vital to the security of City assets and safety of staff. Currently, the city utilizes multiple types of building access control systems within various city facilities that do not communicate with one another. The City sought to implement a single complete network Access Control System (ACS) for all existing city facilities specified in the request for proposals. Given the dire state of the current fragmented ACS, staff recommended signing a contract for the implementation of a new and consolidated ACS. The project was awarded in FY 2022, and the initial two phases are now complete and operational. Consistent with the Phase I & II implementation, the proposed project scope for the third and final phase includes a suite of security enhancements that includes new ACS readers and video surveillance cameras for both the interior and exterior of City Hall and security gates at the Corporation yard and the Enterprise Transfer Site. Additional ACS and surveillance cameras will be added to all publicly accessible elevators owned and maintained by the City. This third and final phase will integrate all remaining locations in need of ACS and video surveillance that were identified in the citywide security assessment.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 2
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File #:CONS 24-619
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Todd Rullman, Director of Maintenance Services

SUBJECT: Adopt a Resolution Authorizing the City Manager to Negotiate and Execute an Amendment to an Agreement with Allied Universal Technology to Integrate Additional Facilities for Purchase and Phase III Implementation of a Consolidated Access Control System in an Increase of $660,000 and an Amount Not to Exceed $2,305,588.24

RECOMMENDATION

That the Council adopts a resolution (Attachment II) authorizing the City Manager to negotiate and execute an agreement with Allied Universal Technology to integrate additional facilities in the Access Control System, in an amount not to exceed $2,305,588.24.

SUMMARY

The security of City-owned buildings is vital to the security of City assets and safety of staff.

Currently, the city utilizes multiple types of building access control systems within various city facilities that do not communicate with one another. The City sought to implement a single complete network Access Control System (ACS) for all existing city facilities specified in the request for proposals. Given the dire state of the current fragmented ACS, staff recommended signing a contract for the implementation of a new and consolidated ACS. The project was awarded in FY 2022, and the initial two phases are now complete and operational. Consistent with the Phase I & II implementation, the proposed project scope for the third and final phase includes a suite of security enhancements that includes new ACS readers and video surveillance cameras for both the interior and exterior of City Hall and security gates at the Corporation yard and the Enterprise Transfer Site. Additional ACS and surveillance cameras will be added to all publicly accessible elevators owned and maintained by the City. This third and final phase will integrate all remaining locations in need of ACS and video surveillance that were identified in the citywide security assessment.

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BACKGROUND

The City’s current multi-site ACS is disjointed, lacks integration, and the solution at all locations has reached or exceeded their respective end of useful life cycle. To resolve the problem, staff determined a single complete network Access Control System would provide the best solution. Staff conducted research regarding technology changes in security access and created an inter-departmental working group to identify requirements of the ACS. Staff wanted one integrated security suite with web access to allow for a single view that allows each location to manage its own permissions.

An integrated ACS will help organize permissions in a consistent manner throughout all city facilities and will support a safe and more secure working environment through consolidated and managed access. The ACS will serve as the backbone of the City’s physical security. The ACS integrates with the current independent video monitoring system to allow for a “single dashboard” view for the security system and the visitor management system. Once fully installed and operable, the ACS can be expanded to support staff’s desire to fully integrate with the City’s Building Management System, Intrusion Alarm System, Fire Alarm Systems, and a Panic Button system.

Staff conducted an assessment and analysis of all City-owned and staff-occupied facilities to determine an appropriate scope of work for replacing the current building access system and installing controlled access at all necessary facilities.

Building on the successful implementation of Phase I & II, Phase III of the project will include new ACS readers and video surveillance cameras for both the interior and exterior of City Hall, ACS readers for all security gates at the Corporation yard and the Enterprise Transfer Site.

Additional ACS and surveillance cameras will be added to all publicly accessible elevators owned and maintained by the City.

DISCUSSION

From this assessment, staff prepared a detailed request for proposals (RFP) to award one vendor a contract to procure, design, install, and configure a complete network access control system for the City facilities for Phase I with the intention to include Phase II and III in an amendment at a future date. The RFP was advertised as required and staff conducted direct outreach to possible vendors. A mandatory pre-bidders meeting was conducted on July 14, 2020, and was attended by eighteen (18) companies. A total of eight (8) companies provided proposals.

A panel of staff members who were identified from various city facilities convened to review and evaluate the proposals and participate in virtual interviews with the applicants. To be

Page 3 of 4 ends

considered for evaluation, the proposal for the ACS was to allow departments to manage their own accessibility and hardware platform must be capable of connecting and managing remote electronic access readers at the various COH Department properties. Access authorization should be managed and controlled remotely through any COH network via login by designated user administrator responsible for their respective controlled building locations.

The ACS reader should activate on contact with FOB or proximity card. Additionally, functionality and capability, such as smartphone app, non-touch proximity technology and integration with our current video surveillance system were preferred

STRATEGIC ROADMAP

This agenda item supports the strategic priority outlined in the Strategic Roadmap related to Improving Organizational Health through expanded and standardized physical security.

FISCAL IMPACT

The proposed amendment to the agreement with Allied Universal Technology, including Phase III, reflects a total project cost of $2,305,588.24.

Phase III of the project is estimated to cost $660,000. There is sufficient budget in the Facilities Capital Fund (Fund 726) to complete Phase III of the project.

726 – Facilities Capital

Facilities Project Phase Project Cost
Phase III 600,000

Contingency Cost 60,000

Total Phase III

660,000

NEXT STEPS

If Council approves the attached resolution staff will finalize the agreement with the awarded vendor and cause the agreement to be executed.

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Prepared by: Liz Moran, Management Analyst II

Recommended by: Todd Rullman, Director of Maintenance Services

Approved by:

______________________________________________
Dustin Claussen, Interim City Manager

Page 1 of 2 ends

HAYWARD CITY COUNCIL
RESOLUTION NO. 24-_______
Introduced by Council Member

RESOLUTION AUTHORIZI NG THE CITY MANAGER TO NEGOTIATE AND

EXECUTE AN AMENDMENT TO AN AGREEMENT WIT H ALLIED UNIVERSAL

TECHNOLOGY TO INTEGR ATE ADDITIONAL FACIL ITIES FOR PURCHASE A ND

PHASE III IMPLEMENTATION OF A CONSOLIDATED ACCESS CONTROL SYSTEM IN AN INCREASE OF $660,000 AND AN AMOUNT NOT TO EXCEED $2,305,588.24

WHEREAS, the security of City-owned buildings is vital to the security of City assets and safety of staff; and

WHEREAS, the City seeks to implement a single network Access Control System (ACS) for all existing City facilities; and

WHEREAS, on June 18, 2020 , the City issued request for proposals (RFP) to award a contract to procure, design, install and configure a complete network access control system for the City facilities; and

WHEREAS, in response to the RFP, the City received eight (8) proposals; and

WHEREAS, based on an objective evaluation of the proposals, the City interviewed five vendors; and

WHEREAS, the City selected the best qualified vendor to implement the City-wide ACS.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hayward that the City Manager is hereby authorized to negotiate and execute an amendment to the agreement with Allied Universal Technology to purchase and implement Phase 3 of the Access Control System, in an amount of $660,000, for a total contract amount not-to-exceed amount of $2,305,588.24, in a form to be approved by the City Attorney.

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-620
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Public Works

SUBJECT
Adopt a Resolution Authorizing the City Manager to Execute an Agreement with Iteris, Inc., in an Amount of $132,814 to Purchase Video Detection Systems for Tennyson & Winton Signal Timing Upgrade Project No. 05342

RECOMMENDATION
That Council adopts a resolution (Attachment II) authorizing the City Manager to execute an agreement with Iteris, Inc., (Iteris) to purchase video detection systems for a total of 6 intersections on Tennyson Road and Winton Ave corridors as part of Tennyson & Winton Signal Timing Upgrade Project No. 05342.

SUMMARY
The City was awarded $515,000 from the Bay Area Air Quality Management District under the Transportation Fund for Clean Air (TFCA) to implement adaptive signal control technology and other related infrastructure improvements to the Winton Avenue/D Street and Tennyson Road corridors. Iteris video detection systems are recommended to be installed along these corridors to supplement adaptive signal control technology.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Public Works

SUBJECT: Adopt a Resolution Authorizing the City Manager to execute an agreement with Iteris, Inc., in the amount of $132,814 to purchase video detection systems for Tennyson & Winton Signal Timing Upgrade Project No. 05342

RECOMMENDATION

That Council adopts a resolution (Attachment II) authorizing the City Manager to execute an agreement with Iteris, Inc., (Iteris) to purchase video detection systems for a total of 6 intersections on Tennyson Road and Winton Ave corridors as part of Tennyson & Winton Signal Timing Upgrade Project No. 05342.

SUMMARY

The City was awarded $515,000 from the Bay Area Air Quality Management District under the Transportation Fund for Clean Air (TFCA) to implement adaptive signal control technology and other related infrastructure improvements to the Winton Avenue/D Street and Tennyson Road corridors. Iteris video detection systems are recommended to be installed along these corridors to supplement adaptive signal control technology.

BACKGROUND

In August of 2023, City staff applied for TFCA funding for an amount of $515,000 with a local contribution of $297,000 for a total of $812,000. The project scope includes adaptive signal control systems, fiber communications, and video detection technology on Winton Ave/D Street from Santa Clara Street to Atherton Street and Tennyson Road from Sleepy Hollow Road to Dixon Sreet. This project, along with the TFCA 2023-24 program, was approved by the Alameda County Transportation Commission (ACTC) on December 7, 2023. On December 12, 20231, Council adopted a resolution to execute a funding agreement between the City and ACTC.

1 https://hayward.legistar.com/LegislationDetail.aspx?ID=6448361&GUID=B59E9DC5-130D-4037-A00A- 4440CF1CD42E&Options=&Search=

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DISCUSSION
To support the adaptive signal control system, video detection technology was selected to be implemented on Winton Avenue at Santa Clara Street, Amador Street, and Myrtle Street, as well as on Tennyson Road at Dixon St, Tampa Avenue, and Sleepy Hollow Avenue. These intersections were chosen to be upgraded from loop induction detectors to video detection to ensure the adaptive system will detect vehicles accurately and that the adaptive signal technology will work as intended.

Iteris video detection systems were chosen for this project due to the City staff’s existing familiarity with the equipment and that it is the only video detection system that has been implemented in the City. Installation is scheduled to be in two phases. The first phase is for the three Tennyson Road intersections, which was completed in September 2024. The second phase is for the three Winton Avenue intersections. The three quotes for Iteris video detection systems were received for the first phase, with details below:

 Iteris, Inc.: $66,406.81
 DC Electric Group, Inc.: $101.430
 Jam Services, Inc.: $88,200

Iteris was chosen for the first phase based on the lowest pricing, and the video detection systems have been purchased and installed at the three Tennyson Road intersections. For the second phase, Iteris also provided a quote at the same pricing, resulting in a total cost of $132,814 for six intersections on Winton Ave and Tennyson Road. As this cumulative total cost is over the threshold of $100,000, Council approval is requested to execute an agreement with Iteris, Inc. to purchase video detection systems for the remaining three Winton Avenue intersections.

ECONOMIC IMPACT

The video detection system will support adaptive signal controls, which optimize signal timing and reduce travel times. This technology will improve mobility, and reduce congestion, thus maintaining the region’s economic competitiveness for the residents and employees in the City.

FISCAL IMPACT

There is no impact to the General Fund. On December 12, 20232, Council accepted and appropriated grant funding from the Alameda County Transportation Commission for the Winton Ave/D Street and Tennyson Road Corridors Signal Timing Project, and for the

2 https://hayward.legistar.com/LegislationDetail.aspx?ID=6448361&GUID=B59E9DC5-130D-4037-A00A- 4440CF1CD42E&Options=&Search=

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construction of Traffic Signal Infrastructure and implementation of Adaptive Signal Timing.

The previously accepted and appropriated funding will cover the cost of this system.

STRATEGIC ROADMAP

This agenda item supports the Strategic Priority of Combat Climate Change. This item is not specifically identified in the Strategic Roadmap. However, adaptive signal timing has been shown to reduce greenhouse gas emissions.

SUSTAINABILITY FEATURES

The video detection system does not have sustainability features. However, it will support the adaptive signal control which will result in smoother traffic flow and reduced vehicle idling along Winton Ave/D Street and Tennyson Road corridors, resulting in reduced fuel consumption and reduced greenhouse gas emissions.

PUBLIC CONTACT

No public contact has been made related to this agenda item.

NEXT STEPS

If Council approves this request, the City Manager will execute an agreement with Iteris, Inc., in the amount of $132,814 to purchase video detection systems.

Prepared by: Jade Kim, Assistant Transportation Engineer Byron Tang, Senior Transportation Engineer
Hugh Louch, Deputy Director of Public Works - Transportation

Recommended by: Alex Ameri, Director of Public Works

Approved by:

____________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN
AGREEMENT WITH ITERIS , INC. , IN THE AMOUNT OF $132,814 TO

PURCHASE VIDEO DETECTION SYSTEMS FOR THE TENNYSON AND WINTON SIGNAL TIMING UPGRADE, PROJECT NO. 05342

WHEREAS, by resolution on December 12, 2023, the City Council authorized the City Manager to accept funds from the Alameda County Transportation Commission for the Winton Avenue/D Street and Tennyson Road Corridors Signal Timing Project, Project No. 05342 to construct traffic signal infrastructure and implement adaptive signal timing; and WHEREAS, the project will add adaptive signal control capabilities to 7 intersections on Winton Avenue/D Street and 10 intersections on Tennyson Road; and WHEREAS, to support the adaptive signal control system, video detection technology is being implemented first on Tennyson Road at Dixon St, Tampa Avenue, and Sleepy Hollow Avenue, followed by Winton Avenue at Santa Clara Street, Amador Street, and Myrtle Street; and
WHEREAS, three quotes were received for the Iteris video detection systems and Iteris, Inc. provided the lowest rate at $132,814 for a total of six intersections on Winton Ave and Tennyson Road.

NOW, THEREFORE, BE IT RESOLVED, the City Manager is hereby authorized to execute an agreement with Iteris, Inc., to purchase video detection systems in the amount of $132,814 for the Tennyson and Winton Signal Timing Upgrade Project.

ATTACHMENT II

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IN COUNCIL, HAYWARD, CALIFORNIA , 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-625
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Finance

SUBJECT
Adopt a Resolution Approving the Reallocation of Unobligated ARPA Funds to the General Fund

RECOMMENDATION
That the Council adopts a resolution (Attachment II) approving the transfer and appropriation ARPA Funds to the General Fund.

SUMMARY
On March 11, 2021, the federal stimulus package, the American Rescue Plan Act (ARPA), was signed into law, providing $1.9 trillion in economic stimulus to address impacts due to the COVID-19 crisis.

Specifically, federal relief provided over $65 billion in direct funding to cities to address the economic and fiscal impacts of the pandemic and to assist in the recovery of local communities. The City of Hayward was awarded an allocation of $38.4 million in ARPA dollars.

To meet funding requirements, all ARPA funding must be obligated by December 31, 2024, and fully expended by December 31, 2026. If Council adopts the resolution approving the reallocation of up to $3.6 million in ARPA funds, including an additional $0.4 million in earned interest to the General Fund, staff will commence with transferring and appropriating the unobligated funds to the General Fund.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Finance

SUBJECT: Adopt a Resolution Approving the Reallocation of Unobligated ARPA Funds to the General Fund

RECOMMENDATION

That the Council adopts a resolution (Attachment II) approving the transfer and appropriation ARPA Funds to the General Fund.

SUMMARY

On March 11, 2021, the federal stimulus package, the American Rescue Plan Act (ARPA), was signed into law, providing $1.9 trillion in economic stimulus to address impacts due to the COVID-19 crisis. Specifically, federal relief provided over $65 billion in direct funding to cities to address the economic and fiscal impacts of the pandemic and to assist in the recovery of local communities. The City of Hayward was awarded an allocation of $38.4 million in ARPA dollars.

BACKGROUND & DISCUSSION

The City of Hayward was awarded an allocation of approximately $38.4 million in relief funds from the federal government to address the internal and external needs of the organization and Hayward community associated with the pandemic.

On July 13, 20211, the City Council adopted the City of Hayward Federal Stimulus Expenditure Plan for $38.4 million in federal stimulus funding. Annual budget appropriation of ARPA

1 Hayward City Council Meeting – July 13, 2021 (www.legistar.com)

funded projects has been included in the annual budget process beginning in FY 2022 through FY 2024.

In December 20232, the Council Budget and Finance Committee received an update on the status of ARPA fund projects, including a list of potential projects that could be funded through the use of the reallocation of any unobligated ARPA dollars.

On October 29, 20243, the Council Budget and Finance Committee received another update on the status of ARPA fund projects and unobligated ARPA dollars. Staff recommended reallocating unobligated funds to the General Fund to account for lost revenue due to the pandemic and ensure federal compliance with the December 31, 2024 obligation date.

At the November 19, 20244 Council meeting, City staff recommended reallocating unobligated ARPA funds to the General Fund, including any interested earned. Council supported staff recommendation.

ECONOMIC IMPACT

Receiving the Federal Stimulus funding (ARPA), the City has be able to respond and provide relief to both the City programs rand local community members who experienced adverse economic impacts related to the pandemic. Beginning in July 2021, the adopted Federal Stimulus Expenditure Plan identified several projects and programs that provided funding that has made a substantial difference in helping the local economy recover from the pandemic; the reallocation of unobligated ARPA funds continues the City’s recovery from the pandemic.

STRATEGIC ROADMAP

This agenda item supports several of the Strategic Priorities in the City’s approved Strategic Roadmap.

FISCAL IMPACT

The City of Hayward has $3,590,072 in unspent and/or unobligated ARPA dollars and $415,455 of earned interest on received ARPA dollars. The total reallocation of previously appropriated ARPA dollars to the General Fund amounts to $4,005,527 and will be utilized to account for lost revenue due to the pandemic and ensure federal compliance with the December 31, 2024, obligation date.

PUBLIC CONTACT

This agenda item was published in accordance with all Brown Act requirements.

2 Hayward Council Budget and Finance Committee Meeting - December 6, 2023 (www.legistar.com) 3 Hayward Council Budget and Finance Committee Meeting - October 29, 2024 (www.legistar.com) 4 Hayward City Council Meeting - November 19, 2024 (www.legistar.com)

NEXT STEPS

Upon Council adopts the resolution approving transfer and appropriation of up to $4.1 million in unobligated ARPA funds and interest earned to the General Fund, staff will transfer and appropriate the funds immediately.

Prepared by: Nicholas Mullins, Senior Management Analyst Nicole Gonzales, Director of Finance

Recommended by: Nicole Gonzales, Director of Finance

Approved by:

____________________________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION AUTHORIZING THE TRANSFER AND APPROPRIATION OF $4,005,527 DOLLARS OF UNOBLIGATED AMERICAN RESCUE PLAN ACT (ARPA) FUNDS TO THE GENERAL FUND

WHEREAS, on March 11, 2021the American Rescue Plan Act (ARPA) was signed into law, providing $1.9 trillion in economic stimulus to address impacts due to the COVID -19 crisis; and

WHEREAS, the City of Hayward was awarded an allocation of $38.4 million in ARPA dollars; and

WHEREAS, to meet funding requirements, all ARPA funding must be obligated by December 31, 2024, and fully expended by December 31, 2026; and

WHEREAS, the City has $3 .6 in unobligated ARPA funds and $415,455 of earned interest on received ARPA dollars; and

NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Hayward hereby authorization to the transfer and appropriate of up to $4.1 million from the ARPA fund to the General Fund.

BE IT FURTHER RESOLVED, the Council of the City of Hayward that Resolution No. 24-111, as amended, the Budget Resolution for the City of Hayward Operating Budget for Fiscal Year 2025, is hereby by amended by approving the transfer and appropriation of up to $4.1 million from the ARPA Fund to the General Fund.

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-626
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Public Works

SUBJECT
Adopt a Resolution Authorizing the City Manager to Execute Professional Service Agreements with Kittelson & Associates, Inc., Hexagon Transportation Consultants, Inc., and Kimley-Horn & Associates, Inc., for On-call Public Works Transportation Consulting Services

RECOMMENDATION
That Council adopts the attached resolution (Attachment II) authorizing the City Manager to execute three-year Professional Services Agreements (PSA) with Kittelson & Associates, Inc (Kittelson); Hexagon Transportation Consultants, Inc., (Hexagon); and Kimley-Horn & Associates, Inc., (Kimley-Horn) for on- call Public Works Transportation Consulting services related to development applications under City review.

SUMMARY
The Department of Public Works & Utilities routinely uses on-call transportation consultants to prepare transportation impact assessments and studies (“TIAs”) in order to assist Public Work’s staff in comprehensively evaluating development applications. TIAs assist staff in evaluating the effects of the development on the City’stransportation network and make determinations regarding their compliance with City’s goals, objectives and adopted policies related to transportation.

Currently, the Department of Public Works has four on-call transportation consultants used to prepare TIAs. The current PSAs are scheduled to expire in January 2025. This item would authorize the City Manager to execute new three-year professional services agreements with Kittelson, Hexagon, and Kimley-Horn.

When work is needed, one or more of the consultants from the on-call list will be selected by staff and the costs associated with the work will be paid for by the project applicant or developer through developer deposits.

CITY OF HAYWARD Printed on 11/25/2024Page 1 of 2
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File #:CONS 24-626

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Public Works

SUBJECT: Adopt a Resolution Authorizing the City Manager to Execute Professional Service Agreements with Kittelson & Associates, Inc., Hexagon Transportation Consultants, Inc., and Kimley-Horn & Associates, Inc., for On- call Public Works Transportation Consulting Services

RECOMMENDATION

That Council adopts the attached resolution (Attachment II) authorizing the City Manager to execute three-year Professional Services Agreements (PSA) with Kittelson & Associates, Inc (Kittelson); Hexagon Transportation Consultants, Inc., (Hexagon); and Kimley-Horn & Associates, Inc., (Kimley-Horn) for on-call Public Works Transportation Consulting services related to development applications under City review.

SUMMARY

The Department of Public Works & Utilities routinely uses on-call transportation consultants to prepare transportation impact assessments and studies (“TIAs”) in order to assist Public Work’s staff in comprehensively evaluating development applications. TIAs assist staff in evaluating the effects of the development on the City’s transportation network and make determinations regarding their compliance with City’s goals, objectives and adopted policies related to transportation.

The selected consultants will be placed on the Public Works transportation consulting services on-call list and may be called upon from time-to-time by Staff to prepare transportation impact assessments and studies for development applications under City review on an as-needed and project-by-project basis. When work is needed, one or more of the consultants from the on-call list will be selected by staff and the costs associated with the work will be paid for by the project applicant or developer through developer deposits.

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BACKGROUND

The Department of Public Works & Utilities, Transportation Division routinely reviews development applications, including residential, commercial and industrial projects, to assess their compliance with city standards and adopted policies related to transportation.

From time-to-time, Staff determines that a development project may require additional analysis in the form of a TIA or study in order to comprehensively assess the project’s potential impacts to the City’s transportation network and identify mitigation measures.

To assist staff with preparation of transportation impact assessments or studies in a transparent, timely and efficient manner, the Public Works Transportation Division maintains an on-call consultant list of pre-qualified consultants that were approved in 2021 and whose professional services agreements are set to expire in January 2025.

DISCUSSION

This item authorizes the City Manager to execute new three-year PSAs with Kittelson, Hexagon, and Kimley-Horn in order to maintain the on-call consultant list.

To maintain responsiveness and timely processing of development applications, the City needs to have multiple consultants on-call and staff recommends executing agreements with all consultants who demonstrated the ability to successfully complete this work.

The consultants were selected through competitive process Request for Qualifications (RFQ) #25-027: On-Call Transportation Services which was released on OpenGov, the City’s online procurement portal, on October 24, 2024. The City received six statement of qualifications.

Staff reviewed each qualification and ranked the statement of qualifications based on the pre-determined evaluation criteria awarding up to 60 points in total, which included project management, appropriateness of cost, project understanding, approach, qualifications of the firm/team and responsiveness . Based on the scoring criteria, r esulting rankings were as follows:

1. Kittelson & Associates, Inc. (score of 58 out of 60)

2. Hexagon Transportation Consultants, Inc. (score of 58 out of 60)

3. Kimley-Horn & Associates, Inc. (score of 56 out of 60)

4. DKS Associates (score of 54 out of 60)

5. Fehr & Peers (score of 54 out of 60)

6. Whitlock & Weinberger Transportation, Inc. (W-Trans) (score of 54 out of 60)

Based on the resulting rankings, three consultants were selected and will be placed on the Public Works transportation consulting services on-call list and may be called upon from time-to-time by Public Works staff to prepare transportation impact assessments and studies for development projects on an as-needed and project-by-project basis.

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ECONOMIC IMPACT

Development projects foster economic activity and contribute to the City’s economic vitality. This item will assist staff in timely evaluation of developments, such as new housing or commercial/industrial developments and ensure their compliance with city goals and objectives.

FISCAL IMPACT
This item will have no impact on the General Fund or any of the Transportation funds . This item will place the selected consultants on a pre-qualified on-call list. When work is needed, one or more of the consultants from the on -call list will be selected by staff and the costs associated with the work will be paid for by the project appl icant or developer through developer deposits.

STRATEGIC ROADMAP
This agenda item is a routine operational item and does not relate to one of the Council’s six Strategic Priorities.

SUSTAINABILITY FEATURES

There are no sustainability features associated with this item.

PUBLIC CONTACT

The RFQ was publicly posted on the City’s website1 on October 24, 2024.

NEXT STEPS

If Council authorizes these contract services, the City Manager will execute three-year Professional Services Agreements with each firm.

1 https://www.hayward-ca.gov/business/doing-business-with-hayward/rfps-rfqs

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Prepared by: Steven Chang, Senior Transportation Planner Hugh Louch, Deputy Public Works Director - Transportation

Recommended by: Alex Ameri, Director of Public Works

Approved by:

____________________________
Dustin Claussen, Interim City Manager

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member _________

RESOLUTION AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND

EXECUTE PROFESSIONAL SERVICES AGREEMENTS WITH KITTELSON & ASSOCIATES, INC.; HEXAGON TRANSPORTATION CONSULTANTS, INC.; AND KIMLEY-HORN & ASSOCIATES, INC. , FOR THREE YEARS FOR ON -CALL TRANSPORTATION CONSULTING SERVICES.

WHEREAS, the Department of Public Works & Utilities routinely requires services for on-call transportation consulting services to support the evalu ation of development projects; and

WHEREAS, on-call consultants are required to m aintain operations without disruption; and

WHEREAS, the City released a Request for Qualifications on October 24, 2024 and received 6 valid proposals on November 15, 2024; and

WHEREAS, staff evaluated the proposals on November 20, 2024 and recommend executing agreements with three qualified consultants to provide these services , including with Kittelson & Associates, Inc.; Hexagon Transportation Consultants, Inc.; and Kimley-Horn & Associates, Inc.; and

WHEREAS, the work completed by these consultants as part of these on -call agreements will be paid for by developers, project applicants and permit holders.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hayward that the City Council hereby authorizes the City Manager to execute professional services agreements with KITTELSON & ASSOCIATES, INC.; HEXAGON TRANSPORTATION CONSULTANTS, INC.; AND KIMLEY -HORN & ASSOCIA TES, INC. , for a term of three years for on-call transportation consulting services, in a form to be approved by the City Attorney.

ATTACHMENT II

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-627
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Finance

SUBJECT
Adopt a Resolution Approving the Terms of the Employee Home Loan Program

RECOMMENDATION
That the Council adopts a resolution (Attachment II) approving the Terms of the Employee Home Loan Program.

SUMMARY
In May of 2017, City Council expressed a desire to encourage City of Hayward employees to live within City limits and City of Hayward employees expressed interest in an employee home loan assistance program. After reviewing existing home loan assistance programs in other California jurisdictions, staff recommended establishing a home loan program for all employees in partnership with a financial service organization. On April 9, 2019, Council approved the adoption of a pilot Employee Home Loan Program.

Staff developed a partnership with a local financial institution to assist eligible employees with the home purchasing process and the creation of loan terms.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
CITY OF HAYWARD Printed on 11/25/2024Page 1 of 1
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Finance

SUBJECT: Adopt a Resolution Approving the Terms of the Employee Home Loan Program

RECOMMENDATION

That the Council adopts a resolution (Attachment II) approving the Terms of the Employee Home Loan Program.

SUMMARY

In May of 2017, City Council expressed a desire to encourage City of Hayward employees to live within City limits and City of Hayward employees expressed interest in an employee home loan assistance program. After reviewing existing home loan assistance programs in other California jurisdictions, staff recommended establishing a home loan program for all employees in partnership with a financial service organization. On April 9, 20191, Council approved the adoption of a pilot Employee Home Loan Program. Staff developed a partnership with a local financial institution to assist eligible employees with the home purchasing process and the creation of loan terms.

BACKGROUND & DISCUSSION

Council approved the creation of Employee Home Loan Program on April 9, 2019. After approval, staff entered an agreement with Land Home Financial Services (LHFS) to act as a financial partner and assist staff with the home buying process. The program was scheduled to launch in March 2020; however the program was delayed due to the onset of the COVID-19 pandemic.

Staff and LHFS revisited the program in May 2022 and entered a loan provider agreement with LHFS in July 2022. Staff, in conjunction with LHFS, created eligibility requirements and loan terms based on previous recommendations made to Council in June 2023; loan terms were finalized in June 2024.

1 Council and Budget Finance Committee Meeting - April 9, 2019 (www.legistar.com)

Eligibility Requirements and Key Loan Terms are as follows:

Eligibility Requirements:
 Non-probationary employee;
 Full-time employee in good standing;
 Applicants are required to complete a homeowner/home buying course with one of the City’s financial partners;
 Eligible properties must be located in City limits and include: single-family, townhomes, condominium;
 Unit purchased must be primary residence; and
 Purchased property may not be used for short-term rentals

Loan Terms:
 Home purchase price cap of $1,000,000;
 Applicant must provide a down payment of at least 2.5% of the total purchase price;  The City will contribute a maximum of 17.5% of the total purchase price, with a total not-to-exceed dollar amount of $150,000;
 30 year term;
 The interest rate is fixed for five years at 1% above the City’s portfolio interest rate.

The interest rate for years six through thirty of the loan will be set annually and shall accrue at a rate equal to the “Yield at Market” achieved by the City’s Managed Portfolio for the quarter ended on June 30 of the previous calendar year, plus 100 basis points or 1%, but shall not exceed 6% and will not increase at a rate of more than 2% in any given calendar year
 Principal payments deferred during the first 5 years of the loan  Outstanding loan balance due at refinance, sale property, or conversion to rental  Employment separation within the first five years of the loan term will result in principal payments beginning the month following separation; hardship provisions are in place for terminations based on medical or other reasons

ECONOMIC IMPACT

There is no direct economic impact associated with this item.

STRATEGIC ROADMAP

There is no direct impact on the Strategic Roadmap.

FISCAL IMPACT

While the City committed $1,000,000 to fund the program, the funds will be returned to the City, with interest, in the form of regularly scheduled loan payments and/or loan repayments in full. Proceeds from the loan will be returned to the General Fund.

PUBLIC CONTACT

This agenda item was published in accordance with all Brown Act requirements.

NEXT STEPS

Staff will continue to administer the Employee Home Loan Program in accordance with terms outlined in the resolution.

Prepared by: Nicholas Mullins, Senior Management Analyst

Recommended by: Nicole Gonzales, Director of Finance

Approved by:

____________________________
Dustin Claussen, Interim City Manager

ATT ACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24 -______

Introduced by Council Member _____________

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF HAYWARD

APPROVING THE EMPLOYEE HOME LOAN PROGRAM LOAN AGREEMENT

AND SETTING THE TERMS FOR REPAYMENT

WHEREAS, in 2019, the City of Hayward approved an Employee Home Loan program; and

WHEREAS, in 2024, City Council authorized and appropriated $1,000,000 in funding for the Employee Home Loan Program; and

WHEREAS the City recognizes the benefits associated with City of Hayward employees living within City limits; and

WHEREAS funds loaned to participants of the Employee Home Loan Program will be returned to the City, with interest, in the form of regularly scheduled loan payments or loan repayments in full; and

WHEREAS proceeds from the loan will be returned to the General Fund.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward hereby approves the Employee Home Loan Program as outlined in the Staff Report.

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IN COUNCIL, HAYWARD, CALIFORNIA December 3, 2024.

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: _______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-633
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Public Works

SUBJECT
Adopt a Resolution Appropriating Funds from the Wastewater Operating Fund to 1) Prepay the 2016 Clean Water State Revolving Fund Loan Related to the Financing of the Recycled Water Project in a Not-to -Exceed Amount of $14.1 million and 2) Establish an Interfund Loan to Finance the Prepayment

RECOMMENDATION
That Council adopts a resolution (Attachment II):

1. Appropriating funds from the Wastewater Operating Fund 610 and approving prepayment of the 2016 Clean Water State Revolving Loan (2016 SRF Loan) related to financing the Recycled Water Project in an amount not-to-exceed $14.1 million.

2. Establishing an interfund loan to finance the prepayment.

SUMMARY
The City’sWastewater Enterprise periodically pursues loans to finance major capital projects. In 2016, the City sought a low interest loan through the Clean Water State Revolving (SRF) Loan program to finance the construction of a new recycled water system. Payments on the 2016 SRF Loan, secured by the Wastewater Enterprise, are paid by the newly established Recycled Water Enterprise. The 2016 SRF Loan has a current balance of approximately $14.1 million.

The City is now pursuing a loan through the federal Water Infrastructure Finance and Innovation Act (WIFIA) program to finance a set of wastewater capital projects, collectively known as the Water Resource Recovery Facility Improvements - Phase II Project (Phase II Project). The City seeks to maintain flexibility to operate the recycled water improvements, financed by the 2016 SRF loan, either as a separate enterprise or as part of the City’sWater Enterprise in the future. As such, staff is recommending that the Wastewater Enterprise pay off the remainder of the 2016 SRF Loan to remove its debt obligation related to the Recycled Water Enterprise. Staff is also recommending the establishment of an interfund loan for the Recycled Water Enterprise to repay the Wastewater Enterprise, with interest, over a period of twenty years.

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ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Public Works and Utilities

SUBJECT: Adopt a Resolution Appropriating Funds from the Wastewater Operating Fund to 1) Prepay the 2016 Clean Water State Revolving Fund Loan Related to the Financing of the Recycled Water Project in an Amount Not-to-Exceed $14.1 million and 2) Establish an Interfund Loan to Finance the Prepayment

RECOMMENDATION

That Council adopts a resolution (Attachment II):

2. Establishing an interfund loan to finance the prepayment.

SUMMARY

The City’s Wastewater Enterprise periodically pursues loans to finance major capital projects.

In 2016, the City sought a low interest loan through the Clean Water State Revolving (SRF) Loan program to finance the construction of a new recycled water system. Payments on the 2016 SRF Loan, secured by the Wastewater Enterprise, are paid by the newly established Recycled Water Enterprise. The 2016 SRF Loan has a current balance of approximately $14.1 million.

The City is now pursuing a loan through the federal Water Infrastructure Finance and Innovation Act (WIFIA) program to finance a set of wastewater capital projects, collectively known as the Water Resource Recovery Facility Improvements – Phase II Project (Phase II Project). The City seeks to maintain flexibility to operate the recycled water improvements, financed by the 2016 SRF loan, either as a separate enterprise or as part of the City’s Water Enterprise in the future. As such, staff is recommending that the Wastewater Enterprise pay off the remainder of the 2016 SRF Loan to remove its debt obligation related to the Recycled Water Enterprise. Staff is also recommending the establishment of an interfund loan for the Recycled Water Enterprise to repay the Wastewater Enterprise, with interest, over a period of twenty years.

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BACKGROUND

2016 SRF Loan (Financing the Recycled Water Project)
In 2016, the City sought financial assistance from the State Water Resources Control Board (Water Board), through the SRF loan program, to construct a new recycled water system. The Recycled Water Project included the construction of a storage tank and pump station at the wastewater treatment facility, as well as the installation of distribution pipelines and customer connections. Since the Recycled Water Enterprise did not yet exist, the City pledged net revenues from the Wastewater Enterprise Fund to secure the SRF Loan and construct the recycled water system. The City uses funds from the Recycled Water Enterprise to make payments on the loan. The 2016 SRF Loan, amended in 2018, currently has a balance of approximately $14.1 million.

Anticipated WIFIA Loan (Financing the Phase II Project) In 2019, the San Francisco Regional Water Quality Board announced new nutrient reduction requirements for the 3rd Nutrient Watershed Permit (Order No. R2-2024-0013, adopted in July 2024). The City’s Water Resource Recovery Facility (WRRF) must undergo significant upgrades to meet these new regulatory requirements. As such, the City is designing a set of capital projects, collectively referred to as the Phase II Project, mainly to meet the new mandates for reducing nutrient discharge into the San Francisco Bay by approximately 50% by May 1, 2034.

The City plans to fund the Phase II Project using a mix of cash, revenue bonds, and a federal loan through the WIFIA program, which is administered by the U.S. Environmental Protection Agency. In July 2024, the City submitted the WIFIA Loan Application to borrow $243.7 million, with plans to pledge net revenues from the Wastewater Enterprise for the loan. The City initially anticipated that the WIFIA loan would be issued on a senior lien basis, on parity with the 2016 SRF Loan that finances the Recycled Water Project.

DISCUSSION

The WIFIA Loan, as well as future revenue bonds, are all expected to be issued on a senior lien basis, secured by the same wastewater net revenues as the 2016 SRF Loan. In order to improve the City’s creditworthiness, remove concerns about the Recycled Water Enterprise benefiting from the Wastewater Enterprise, and preserve the City’s ability to operate the recycled water improvements as a separate enterprise (or as part of the City’s Water Enterprise in the future, if it so chooses) , staff is recommending that the City prepay the loan from the Wastewater Operating Fund prior to securing additional financing for the Phase II Project.

The Wastewater Operating Fund 610 currently has approximately $56.8 million available in working capital. While the balance decreases over the next several years, a sufficient amount would remain available in the Fund. The balance on the 2016 SRF Loan is approximately $14.1 million. There is no penalty for prepaying the remaining balance on the 2016 SRF Loan.

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Additionally, staff is recommending the establishment of an interfund loan so that the Recycled Water Enterprise can repay the Wastwater Enterprise with interest. The interest rate will be equal to the City’s investment earnings rate to ensure that the Wastewater Operating Fund will not forego any investment earnings as a result of the loan.

ECONOMIC IMPACT

This agenda item has no economic impact.

FISCAL IMPACT

The Wastewater Enterprise Fund will benefit from removing this debt service obligation prior to issuing revenue bonds and closing the WIFIA loan (both planned for spring 2025). The Wastewater Operating Fund has a working capital of approximately $56.8 million, which is sufficient to prepay the outstanding balance on the 2016 SRF Loan while maintaining appropriate levels of reserves in the Wastewater Enterprise. While the balance decreases over the next several years, a sufficient amount would remain available in the Fund.

The Recycled Water Enterprise Fund will not be significantly impacted by this action. The annual payment on the 2016 SRF Loan, funded by the Recycled Water Operating Fund, is approximately $612,000. If the City establishes an interfund loan so that the Recycled Water Enterprise repays the Wastewater Enterprise over a twenty-year period, then the annual payments will be similar to the current annual debt service payments.

STRATEGIC ROADMAP

This agenda item supports the Strategic Priority of Invest in Infrastructure. Specifically, this item relates to the implementation of the following project:

Project N22: Design Water Pollution Control Facility Phase II upgrade

SUSTAINABILITY FEATURES

There are no Sustainability Features directly associated with this item.

PUBLIC CONTACT

No public contact is required for this item.

NEXT STEPS

If approved by Council, staff will initiate the prepayment process for the full remaining balance on the 2016 SRF Loan, using funds from the Wastewater Operating Fund 610.

Additionally, staff will establish an interfund loan from the Wastewater Operating Fund 610 to the Recycled Water Operating Fund 630, to finance the prepayment over a twenty-year period.

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Prepared by: Sharon Hu, Management Analyst II

Recommended by: Alex Ameri, Director of Public Works

Approved by:

_____________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION APPROPRIATING FUNDS FROM WASTEWATER OPERATING FUND TO 1) PREPAY THE 2016 CLEAN WATER STATE REVOLVING FUND

LOAN RELATED TO THE FINANCING OF THE RECYCLED WATER PROJECT IN AN AMOUNT NOT -TO-EXCEED $14 .1 MILLION AND 2) ESTABLISH AN

INTERFUND LOAN TO FINANCE THE PREPAYMENT

WHEREAS, in 2016, the City sought financial assistance from the State Water Resources Control Board, through the Clean Water State Revolving Fund (SRF) program, for the Recycled Water Project, to construct a new recycled water system; and

WHEREAS, the Recycled Water Project includes construction of a new storage tank and pump station at the wastewater treatment facility, as well as the installation of new distribution pipelines and customer connections; and

WHEREAS, the 2016 SRF Loan agreement was executed on May 31, 2017, amended on November 19, 2018, approving the City to borrow up to $27,058,436; and

WHEREAS; the City began repayments on the 2016 SRF Loan in FY 2021 using funds from the Recycled Water Enterprise; and

WHEREAS, the current balance on the 2016 SRF Loan is approximately $14.1 million; and

WHEREAS, the City is now pursuing a loan through the federal Water Infrastructure Finance and Innovation Act (WIFIA) program to finance upgrades to the wastewater treatment facility, which are necessary for meeting nutrient reduction regulatory requirements; and

WHEREAS, the City intends to pledge net revenues from the Wastewater Enterprise for the WIFIA Loan on a senior lien basis, which would be on parity with the 2016 SRF Loan that finances the Recycled Water Project; and

WHEREAS, the City seeks flexibility in operating the recycled water improvements as a separate enterprise or as part of the City’s Water Enterprise in the future, so it should choose; and

ATTACHMENT II

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WHEREAS, City’s Wastewater Operating Fund 610 has sufficient working capital to prepay the outstanding balance on the 2016 SRF Loan, while maintaining appropriate levels of reserves, per City reserves policies, in the Wastewater Enterprise; and

WHEREAS, prepayment of the 2016 SRF Loan and removal of debt obligation related to the Recycled Water Enterprise will benefit the Wastewater Enterprise as the City pursues additional financing for the Phase II Project.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward approves the appropriation of funds, interfund transfer, and loan prepayment as follows:

1. Appropriate funds from Wastewater Operating Fund 610 and approve prepayment of the remaining balance of the 2016 SRF Loan related to financing the Recycled Water Project (SRF Project No. C-06-8091-110), in an amount equal to the remaining balance on the loan, not-to-exceed $14.1 million.

2. Establish an interfund loan from the Wastewater Operating Fund to the Recycled Water Operating Fund for the prepayment of the 2016 SRF Loan so that the Recycled Water Operating Fund 630 repays the Wastewater Operating Fund over a twenty -year period . The interest rate paid by the Recycled Water Operating Fund will equal the City’s investment earnings rate to ensure that the Wastewater Operating Fund will not forego any investment earnings as a result of this loan.

ATTACHMENT II

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: CONS 24-632
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Public Works

SUBJECT
Adopt a Resolution Approving the Plans and Specifications and Call for Bids for the Water Resource Recovery Facility’s (WRRF) New Administration and Laboratory Project, Project No. 07786

RECOMMENDATION
That Council adopts the attached resolutions (Attachments II and Attachment III) 1) Approving the plans and specifications for the Water Resource Recovery Facility’s(WRRF) New Administration Building and Laboratory Project, Project No. 07786, and calling for construction bids to be received on January 28, 2025; and
2) Approving the use of certain sole source products in the plans and specifications for the WRRF New Administration Building and Laboratory Project

SUMMARY
The Water Resource Recovery Facility (WRRF) treats an average flow of approximately eleven million gallons per day (MGD) and meets current requirements to discharge treated effluent to the deep waters of the San Francisco Bay. The existing Administration and Laboratory Building at the WRRF is obsolete and is no longer adequate to house WRRF staff. In June of 2020, the Phase II Facilities Plan Recommended Replacement of the Existing Administration Building and Laboratory. The deficiencies of the existing building are expected to be further exacerbated by the Regional Water Quality Control Board’s issuance in July 2024 of the Regional Watershed Permit, which is projected to eventually trigger further increases in staffing needs at the WRRF.

The WRRF New Administration Building and Laboratory Project includes the construction of a two-story operations and laboratory building with a solar carport parking lot in the footprint of the old administration building and parking lot. Design is currently at 100% and ready to be advertised for bidding. To comply with the California Environmental Quality Act (CEQA), an Initial Study/Mitigated Negative Declaration (IS/MND) was prepared that outlines mitigations which have been incorporated into the bid documents.

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The IS/MND and Site Plan Review were Approved by the Planning Director on September 30, 2024.

ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution for Plans and Specifications
Attachment III Resolution for Sole Source Products
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DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Public Works

SUBJECT: Adopt a Resolution Approving the Plans and Specifications and Calling for Bids for the Water Resource Recovery Facility’s (WRRF) New Administration and Laboratory Project, Project No. 07786

RECOMMENDATION

That Council adopts the attached resolutions (Attachments II and Attachment III)

1) Approving the plans and specifications for the Water Resource Recovery Facility’s (WRRF) New Administration Building and Laboratory Project, Project No. 07786, and calling for construction bids to be received on January 28, 2025; and 2) Approving the use of certain sole source products in the plans and specifications for the WRRF New Administration Building and Laboratory Project

SUMMARY

The Water Resource Recovery Facility (WRRF) treats an average flow of approximately eleven million gallons per day (MGD) and meets current requirements to discharge treated effluent to the deep waters of the San Francisco Bay. The existing Administration and Laboratory Building at the WRRF is obsolete and is no longer adequate to house WRRF staff. In June of 2020, the Phase II Facilities Plan Recommended Replacement of the Existing Administration Building and Laboratory. The deficiencies of the existing building are expected to be further exacerbated by the Regional Water Quality Control Board’s issuance in July 2024 of the Regional Watershed Permit, which is projected to eventually trigger further increases in staffing needs at the WRRF.

The IS/MND and Site Plan Review were Approved by the Planning Director on September 30, 2024.

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As this project’s design and CEQA document are complete, staff are recommending that the drawings and specifications be approved for and advertised for bidding.

The specifications include provisions to allow sole-sourcing of specific brands of several items including card readers for site and building access, key switch system for emergency Fire Department access, programmable logic controllers for control of plant equipment, and variable frequency drives.

BACKGROUND

The existing Administration Building was originally constructed in 1970, which at the time included offices for the plant superintendent and laboratory supervisor, an operations center, locker rooms, and a small laboratory. In 1981, the building was modified to include a breakroom/training room. It expanded again in 1994 to accommodate increased laboratory space requirements. Since it was last modified, the WRRF has seen increased staffing levels due to increasing regulatory requirements. Consequently, the existing facilities can no longer efficiently accommodate the space needs and functional requirements of daily operations.

Engineering staff are currently housed in a temporary trailer at the WRRF site. Staffing levels are anticipated to continue to increase with the recycled water system as well as the expansion of the treatment process to incorporate nutrient reduction.

In June of 2020 Black and Veatch completed the Phase II Facilities Plan, which recommended a number of improvements to the WRRF, including the replacement of the existing Administration Building and Laboratory. On July 5, 20221, Council Authorized an Agreement with Brown and Caldwell for design services for the Phase II Improvements Projects, which consists of significant upgrades throughout the WRRF, including replacement of the Administration Building and Laboratory. On December 6, 20222, Council authorized to Amend the PSA with B&C for final design services for the Administration and Laboratory Building.

The WRRF New Administration Building and Laboratory Project includes the construction of a 21,600 square foot two-story administration and laboratory building and a new parking lot.

The design is at the 100% design stage and the Consultant is currently incorporating final review comments from the City, construction management team, building department, and planning department into the final bid documents. To comply with CEQA, an IS/MND was prepared and posted for public comment on July 26, 2024. The CEQA document was adopted by the City of Hayward Planning Director on September 30, 2024, and a notice of determination was filed with the County on October 3, 2024, The Site Plan Review was also approved by the Planning Director on September 30, 2024. The mitigations outlined in the IS/MND have been incorporated into the bid documents, and the project will comply with the Conditions of Approval issued by the Planning Director.

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Staff have applied for building permits and grading permits and anticipate receiving these permits before the start of construction. The project is scheduled to advertise bid documents in December 2024 and receive bid proposals by January 28, 2025. Construction is anticipated to start around March 2025 and to last around 27 months.

The project is eligible under the WIFIA funding program, which will finance 49% of the project cost. For the remaining 51% of the project cost, the staff will look to the option of financing through other sources such as municipal bonds, which require further analysis of the rate and fee impacts.

On November 15, 20163, Council passed a resolution authorizing a Community Workforce Agreement (CWA) with the Alameda County Building Trades Council (BTC), which applies to City projects with construction costs of $1,000,000 or more. The agreement requires contractors to use local union hiring halls, encourages contractors to employ Hayward residents or Hayward Unified School District graduates, and requires hired workers to pay union dues and other benefit trust fund contributions, etc. The CWA agreement applies to this Project because the construction cost estimate is more than $1,000,000.

When this project began, the WRRF was named the Water Pollution Control Facility (WPCF).

As such, some supporting project documentation, such as the plans, specifications and CEQA document, continue to refer to the facility as the WPCF. One component of the project is to update site and building signage to reflect the recent name change.

DISCUSSION

PROJECT SCOPE

The WRRF New Administration Building and Laboratory Project, Project No. 07786, includes the construction of a new 21,600 square foot two-story administration and laboratory building and a new parking lot on the footprint of the existing administration building and existing parking lot. The existing facility has reached the end of its useful life. The new building will house management, administration, operations, maintenance, engineering, and laboratory functions.

The project includes the following components:

 Interior Floor Plan: The new Administration Building and Laboratory project will include a waiting and reception area, sample receiving room, laboratory rooms, mud room, men’s and women’s lockers with showers, laboratory gas storage, and work rooms on the first floor. The second floor includes a control room, office spaces, meeting rooms, breakroom and training room, and storage spaces. The designed floor plan and equipment layout were coordinated with the City’s current operations and maintenance team.

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 Structure: The steel-framed structure has a spread footing foundation with architectural metal cladding and window wall systems on the exterior. The building reaches about 32 feet high.

 Exterior Features and Landscaping: The new project will add a new trash enclosure, bike lockers and racks, automatic gate entryway, and amphitheater seating. A bus parking and drop-off area is included for visitors. Installation of new fencing and camera is included at both automatic entrance gates for additional security. The new landscaping and planting areas around the perimeter of the building will be irrigated with recycled water. Three existing trees at the site will be removed and replaced with 27 new trees.

 Parking Lot: The parking lot has a total of sixty-two (62) parking spaces with thirteen (12) spots dedicated to electric vehicle (EV) charging station spaces. Nineteen (19) parking spaces will be EV charging stations ready for potential future developments.

Twenty-three (23) of the compact parking spaces will be under a 75kW solar array canopy to generate renewable energy. The parking lot has five (5) accessible parking spaces with EV charging station capabilities for two (2) of the accessible parking spaces.

 Lab Dedication: Farid Ramezanzadeh served as the City’s Laboratory Supervisor from April 2003 until his passing in an accident in September 2022, only a few months shy of his planned retirement. Farid was actively involved in the planning stage of the laboratory portion of the Administration Building, and the laboratory layout. On December 5, 20234, the Council approved to dedicate the new laboratory facility to Farid to commemorate his life and many accomplishments that he achieved throughout his nearly 20 years of service to the City of Hayward as well as his dedication to advancing the water industry.

 LEED Certification: The building is designed for LEED Silver certification and will be of all-electric design. It does not utilize any natural gas for heating appliances.

Notice to proceed will be issued following the bid opening in January 2025. Construction is anticipated to begin in March 2025 and is estimated to take approximately 27 months to complete. After the new administration building is occupied, the demolition of the old building and installation of the new parking lot can begin.

SOLE SOURCE ITEMS

As this project is a City facility, some items will be specified with no equal so as to match other City facilities as well as other components on site . The Public Contract Code prohibits “calling for a designated material, product, thing, or service by specific brand or trade name unless the specification is followed by the words “or equal.” This ensures competitive bidding

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and potentially lower cost to taxpayers. The Public Contract Code Section 3400(c) allows a particular material, pro duct, thing, or service to be designated by specific brand or trade name for the following purpose(s):

(1) In order that a field test or experiment may be made to determine the product’s suitability for future use.

(2) In order to match other products in use on a particular public improvement either completed or in the course of completion.

(3) In order to obtain a necessary item that is only available from one source.

(4) In order to respond to an emergency declared by a local agency.

The majority of the materials, products, and services specified for this project are ei ther performance based or include specific brands and follow by the “or equal” clause; however, there are several products and services that will be specified with specific brands only without the “or equal” clause since these are essential to the project. The following items will be sole sourced so that brands other than the ones specified below will not be considered:

 Card readers for wireless entry shall be Schlage Allegion, so as to ensure consistency and compatibility with other City facilities.
 Key switch for Fire Department gate access shall be Knox Box for consistency with other City facilities.
 Programmable logic controllers (PLCs) shall be Allen Bradley ControlLogix to ensure consistency with other SCADA components on the site of the WRRF.  Variable frequency drives (VFDs) shall be Allen Bradley Powerflex 755 so as to match other variable frequency drives at the WRRF site

ECONOMIC IMPACT

The new Administration Building and Laboratory will accommodate a projected increase in staff levels due to increasing regulatory requirements at the WRRF and increase in future wastewater flows. The new Administration Building and Laboratory will support the overall Phase II Improvements Project, which will keep the WRRF incompliance with regulations and accommodate future population growth throughout Hayward.

The construction cost of the overall Phase II Project, including the Administration Building and Laboratory, is estimated to up to $309 million. It is anticipated that these improvements will substantially impact rates, resulting in increases over the current sewer rates over the next ten years, and the sewer connection fees.

FISCAL IMPACT
Staff have applied for a loan from the United States Environmental Protection Agency (EPA) through the Water Infrastructure Financing and Innovation Act (WIFIA) to assist in

Page 6 of 8 ends

paying for the Phase II Project in the amount of 49% of the total project costs. Staff are anticipating finalization of the loan in Spring of 2025. The remainder of the project would primarily be funded through tax exempt municipal bonds, which are not yet issued. Staff continue to monitor if applying for a State Revolving Fund (SRF) loan is feasible and are seeking grants as well. Budget adjustments will be brought forward to the Council through the annual budget approval process. The WRRF Administration Building and Laboratory Project is eligible for funding through the WIFIA loan, and any municipal bonds would be sized to accommodate the funding of the Administration Building and Laboratory.

The FY 2025 through FY 2034 Capital Improvement Project (CIP) includes funding for Project 07786 New Administration Building and Laboratory Project described in the Sewer Improvement Fund (Fund 612). Table 1 shows the project as described in the approved CIP.

Table 1. Sewer Improvements Funding
Fund Project
No.

Description Budget
612 07786 WRRF New Administration Building and Laboratory Project
$44,979,000

The breakdown for project costs is as follows for Project No. 07786:

Total Project Cost
Engineering Services (Consultant) $4,705,159
Preconstruction and Construction Management (Consultant) $3,547,923 Construction Contract (Estimated) $36,600,000
Construction Contingency (10% of Construction Contract) $3,660,000 Total $48,513,082

The construction cost shown above is an estimate and is less than what is currently being considered in the WIFIA loan documents. This number is somewhat higher than what was previously presented to Council5, and is also higher than the current number listed in the CIP once contingency and soft costs are included. This is primarily due to updates in the cost estimate of some construction materials, most notably structural steel. Should the construction cost exceed the funds currently allocated in the CIP, staff will request that additional funds be appropriated to cover the additional cost.

STRATEGIC ROADMAP
This agenda item supports the various goals of Council’s Strategic Roadmap. The Administration Building and Laboratory Project is an integral part of the Phase II Improvements Project, which will address infrastructure needs and improvements to increase the reliability of the City’s treatment plant, construct process improvements to

5 https://hayward.legistar.com/MeetingDetail.aspx?ID=1183909&GUID=FBDD3A2F-4A84-4DC6-BD35- 679484D6AAD9&Options=info|&Search=

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meet more stringent nutrient limits in accordance with upcoming regulatory requirements, and prepare the WRRF for projected sea level rise, while supporting the goals of Council.

Specifically, this item relates to the implementation of the following projects:

Confront Climate Crises & Champion Environmental Justice.

Mitigate Climate Crisis Impacts through Resilient Design and Community Engagement Project C14b: Implement Shoreline Master Plan, including mitigating sea level rise in the industrial corridor through building requirements and outreach

Invest in Infrastructure.

Invest in Water Supplies, Sanitation Infrastructure & Storm Sewers Project N19: Update Water Pollution Control Facility Phase II Plan

SUSTAINABILITY FEATURES

This project will help the City’s maintenance staff and engineers to conduct testing and maintain the equipment needed to treat wastewater efficiently and adequately before discharging into San Francisco Bay.

The Administration Building and Laboratory design will meet State and local requirements related to sustainability (i.e., California Building Code, California Energy Code, Hayward Reach Code, etc.) which require certain levels of energy efficiency, resource conservation, material recycling, etc. In addition, the building has been designed to meet Leadership in Energy and Environmental Design (LEED) standards for a Silver Certification, or better.

The Administration Building and Laboratory will also include a 75kW solar array in the parking lot to generate renewable energy. The new landscaping around the building will consist of low maintenance, low water use plantings and will be irrigated with recycled water from the WRRF.

PUBLIC CONTACT

As part of the funding process, an environmental study (Initial Study and Mitigated Negative Declaration) was posted for public review and comment.

There is currently a website hosted on the City’s website that posts periodic updates throughout the multi-year duration of the project. This will continue.

NEXT STEPS

If the Council approves the project, staff will advertise the construction project for public bidding and turn to the Council for the award of the construction contract after construction bids have been received and reviewed.

Page 8 of 8 ends

The following schedule has been developed for this project:

Receive Bids January 28, 2025
Award Construction Contract February 28, 2025
Notice to Proceed March 2025
Construction Completion May 2027

The project is anticipated to be completed in May 2027. Staff aims to issue the notice to proceed in March 2025 to begin the material procurement to accommodate for any long lead times for the building and start mobilization . Staff will turn to the Council for the award of the construction services after bids are received and reviewed.

Prepared by: Nancy Tran, Assistant Civil Engineer
Reviewed by: Kyle Carbert, Senior Utilities Engineer
Recommended by: Alex Ameri, Director of Public Works

Approved by:

____________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

Page 1 of 2 ends

HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION APPROVING THE PLANS AND SPECIFICAT IONS FOR THE WATER RESOURCE RECOVERY FACILITY’S (WRRF) NEW ADMINISTRATION BUILDING AND LABORATORY PROJECT, PROJECT NO. 07 786, AND CALLING FOR BIDS TO BE RECEIVED BY JANUARY 28, 2025

WHEREAS, the City of Hayward (City) owns and operates the Water Recourses Recovery Facility (W RRF), which treats an average flow of approximately eleven million gallons per day; and

WHEREAS, the existing Administration Building, originally constructed in 1970, was modified twice in 1981 and 1994 to accommodate increased laboratory space requirements; and

WHEREAS, Since the existing Administration Building was last modified, the WRRF has seen increased staffing levels due to increasing regulatory requirements, and consequently, the existing facilities can no longer efficiently accommodate the space needs and functional requirements of daily operations; and

WHEREAS, the Water Pollution Control Facility Phase II Facilities Plan identified the need for a new Administration Building and Laboratory; and

WHEREAS, on July 5, 2022, Council authorized preliminary design se rvices for the WRRF Phase II Project and the with Brown and Caldwell, which includes the Administration Building and Laboratory; and

WHEREAS, on December 6, 2022, the Council authorized the awarding of final design services to B&C for the Administration and Laboratory Building; and

WHEREAS, and Initial Study/Mitigated Negative Declaration (IS/MND)was prepared for this project to comply with the California Environmental Quality Act, which outlines mitigations that have been incorporated into the project plans and specifications; and

WHEREAS, the IS/MND and Site Plan Review were Approved by the Planning Director on September 30, 2024.

ATTACHMENT II

Page 2 of 2 ends

NOW, THEREFORE, BE IT RESOLVED, those certain plans and specifications for the WRRF New Administration Building and Laboratory, Project No. 07786 , on file in the Office of the City Clerk, are hereby adopted as plans and specifications for the project; and

BE IT FURTHER RESOLVED, the City Clerk is hereby directed to cause a notice calling for bids for the required work and material to be made in the form and manner provided by law; and

BE IT FURTHER RESOLVED, sealed bids therefore will be received by the City Clerk’s Office at City Hall, 777 B Street, Hayward, California 94541, up to the hour of 2 :00 p.m. on Tuesday, January 28, 2025, and immediately thereafter publicly opened and declared by the City Clerk in the Rotunda, City Hall, Hayward, California; and

BE IT RESOLVED that the City Council will consider a report on the bids at a regular meeting following the aforesaid opening and declaration of same.

IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: ___________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

ATTACHMENT III

Page 1 of 2 ends

HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member _________

RESOLUTION APPROVING THE USE OF CERTAIN SOLE SOURCE PRODUCTS IN

THE PLANS AND SPECIFICAT IONS FOR THE WATER RESOURCE RECOVERY FACILITY’S (W RRF) NEW ADMINISTRATION B UILDING AND LABORATO RY PROJECT, PROJECT NO. 07786

WHEREAS, the Public Contract Code Section 3400 (c) allows a particular material, product, thing or service to be designated by specific brand or trade name in order to match other products in use on a particular improvement either completed or in the course of completion; and

WHEREAS, the City of Hayward intends to sole source Schlage Allegion card readers for site security; and

WHEREAS, Schlage Allegion card readers are installed at most City facilities, and a consistent card reader system allows for a universal employee badge system throughout the City; and

WHEREAS, the City of Hayward intends to sole source Knox Box key switch system; and

WHEREAS, The Knox Box key switch system is required by the Hayward Fire Department for streamlined emergency access at all commercial facilities; and

WHEREAS, the City of Hayward intends to sole source Allen Bradley ControlLogix programmable logic controllers (PLC); and

WHEREAS, Allen Bradley ControlLogix PLC s are currently in use at the WRRF, and their continued use allows for operational consistency and efficiency; and

WHEREAS, the City of Hayward intends to sole source Allen Bradley Powerflex 755 Variable Frequency Drives (VFDs); and

WHEREAS, Allen Bradley Powerflex 755 VFDs are currently in use at the WRRF, and their continued use allows for operational consistency and efficiency.

ATTACHMENT III

Page 2 of 2 ends

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hayward that hereby approves the sole sourcing of the before mentioned products in the plans and specifications and no other brands or manufacturers will be considered for the WRRF New Administration Building and Laboratory, Project No. 07786.

IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: _____________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward

CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: WS 24-037
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Public Works

SUBJECT
Recommended FY 2026 to FY 2030 Sewer Rates and Connection Fees (Report from Director of Public Works Ameri)

RECOMMENDATION
That Council reviews and comments on this report.

SUMMARY
Cost-of-service analyses have been prepared for sewer service to City residents and businesses to calculate appropriate sewer rates and service charges for FY 2026 to FY 2030. This report provides an overview of cost-of-service considerations, revenue requirements, and recommended FY 2026 to FY 2030 sewer service rates. The analyses were prepared by Water Resources Economics (WRE), a consulting firm that specializes in financial advising for utilities and public agencies. Staff is bringing the proposed rates to Council to obtain comments. After receiving and addressing Council’scomments, staff will implement appropriate and required public noticing procedures in accordance with state law prior to a public hearing, currently scheduled for February 4, 2025. If adopted, annual sewer rate adjustments will go into effect on July 1 of each fiscal year from FY 2026 through FY 2030.

The Sewer Rate Study documents the City’s sewer cost-of-service requirements for FYs 2026 to 2030, which will increase up to 12% annually. Staff recommend an overall increase to the total rate revenue up to 12% annually across all customer classes from FY 2026 through FY 2030, including all commercial and industrial customers. The recommended rate adjustments will allow the City to keep pace with the cost of sewer service collection, treatment, and disposal, as well as develop reserves to pay for upcoming capital costs, and ensure that costs are recovered equitably.

Sewer connection fee analyses have also been prepared by WRE. Connection fees are typically paid when a new development requests a new service connection. The sewer connection fees were last adjusted in September 2024. Based on WRE’sanalyses, staff is recommending a 10% annual increase to the sewer connection fee for FY 2026 and FY 2027.

The Executive Summary prepared by WRE, included as an attachment to this report, provides CITY OF HAYWARD Printed on 11/25/2024Page 1 of 2
powered by Legistar™
File #:WS 24-037
The Executive Summary prepared by WRE, included as an attachment to this report, provides information regarding all the recommended rates and fee adjustments.

ATTACHMENTS
Attachment I Staff Report
Attachment II Executive Summary
CITY OF HAYWARD Printed on 11/25/2024Page 2 of 2
powered by Legistar™

Page 1 of 8 ends

DATE: December 3, 2024

TO: Mayor and City Council

FROM: Director of Public Works

SUBJECT: Recommended FY 2026 to FY 2030 Sewer Rates and Connection Fees (Report from Director of Public Works Ameri)

RECOMMENDATION

That Council reviews and comments on this report.

SUMMARY

Cost-of-service analyses have been prepared for sewer service to City residents and businesses to calculate appropriate sewer rates and service charges for FY 2026 to FY 2030.

This report provides an overview of cost-of-service considerations, revenue requirements, and recommended FY 2026 to FY 2030 sewer service rates. The analyses were prepared by Water Resources Economics (WRE), a consulting firm that specializes in financial advising for utilities and public agencies. Staff is bringing the proposed rates to Council to obtain comments. After receiving and addressing Council’s comments, staff will implement appropriate and required public noticing procedures in accordance with state law prior to a public hearing, currently scheduled for February 4, 2025. If adopted, annual sewer rate adjustments will go into effect on July 1 of each fiscal year from FY 2026 through FY 2030.

Sewer connection fee analyses have also been prepared by WRE. Connection fees are typically paid when a new development requests a new service connection. The sewer connection fees were last adjusted in September 2024. Based on WRE’s analyses, staff is recommending a 10% annual increase to the sewer connection fee for FY 2026 and FY 2027.

Page 2 of 8 ends

The Executive Summary prepared by WRE, included as an attachment to this report, provides information regarding all the recommended rates and fee adjustments.

BACKGROUND

Sewer Service Charges
Sewer service charges are established to pay for the cost of collecting, treating, and disposing of wastewater. Calculations are consistent with industry practices to ensure that sufficient revenues are collected to operate and maintain the system and cover all obligations of the Wastewater Operating Fund. Sewer service charges are billed as standard fixed amounts for residential customers. For non-residential customers, sewer service charges are calculated as a cost per hundred cubic feet (CCF) of water consumed, based on the strength of the discharged wastewater. Sewer service rates were last adjusted two years ago, which resulted in a 7% increase in residential rates in FY 2024 and FY 2025, effective October 2023 and 2024, respectively.

Sewer Connection Fees
The City collects sewer connection fees to connect new services to the existing sewer system.

These fees fund the expansion of the system necessary to accommodate development, defray the expenses paid by customers for improvements to the system, and incrementally cover the cost of future expansion and improvements. The connection fees are developed using standard procedures to ensure that costs are allocated fairly to new developments. Sewer connection fees were last adjusted in September 2024, resulting in an overall increase of 25%.

Wastewater Treatment Plant Capital Improvements
In response to growing concerns about the impacts of nutrients entering the Bay, the San Francisco Bay Regional Water Quality Control Board (Regional Water Board) has substantially increased regulatory requirements for 40 wastewater treatment facilities, including the City’s Water Resource Recovery Facility (WRRF). Under the 3rd Nutrient Watershed Permit Order No.

R2-2024-0013 (adopted July 2024), the City of Hayward, along with four other members of the East Bay Dischargers Authority, must reduce nutrients discharged into the Bay by 53% by 2034. As a result, the City is designing the WRRF Improvements - Phase II Project to meet these requirements, which are estimated to cost approximately $488 million.

As part of the financing strategy for the WRRF Improvements – Phase II Project, the City is pursuing a loan through the Water Infrastructure Finance and Innovation Act (WIFIA) and also plans to issue revenue bonds. One of the factors that significantly impacts credit rating is the predictability of future revenue and ability to meet debt obligations. To make revenues from sewer service charges more predictable and stable, the City’s financial advisor has recommended adopting rates for a longer five-year rate cycle from FY 2026 to FY 2030, rather than the typical two-year cycle.

DISCUSSION

The City entered into an agreement with WRE to prepare the Wastewater Rate and Connection Fee Study, including development of a long-term financial plan, cost-of-service analysis, and

Page 3 of 8 ends

rate recommendations consistent with industry standards and in compliance with Proposition 218, a California constitutional amendment which, among other provisions, requires that property-related fees be commensurate with the cost of providing services.

The agreement consisted of five main tasks:

1. Developing a long-term financial plan that documents the sewer utility’s revenue requirements, including operations and maintenance (O&M) expenses and the capital improvement program (CIP), while adequately funding reserves in accordance with industry best practices and the City’s historical practices.

2. Conducting a cost-of-service (COS) analysis that establishes a nexus between the cost to serve customers and the fees charged to each customer class, in compliance with Proposition 218 and based on industry standards.

3. Reviewing the current sewer rate structure and evaluating potential rate structure modifications, customer classes, and fixed and variable revenue recovery.

4. Developing five years of sewer rates that comply with Proposition 218 and ensuring financial sufficiency to fund operating, maintenance and capital costs over the study period.

5. Developing sewer connection fees to ensure new development fairly and adequately contributes to the cost of existing and planned infrastructure and compliance with Proposition 26.

The Executive Summary for the Wastewater Rate and Connection Fee Study, attached to this report, serves as an in-depth discussion of the recommended wastewater rates from FY 2026 to FY 2030 and connection fees for FY 2026 and FY 2027, including the current and recommended rates and fees for the next five years and comparisons with other wastewater agencies (Attachment II).

Sewer Service Charge

The recommended sewer rates for FY 2026 take into account the total rate revenue increase up to 12%, which is in large part attributed to the WRRF Improvements – Phase II Project, global supply chain issues and inflation, and escalating cost of supplies and services, such as chemicals for wastewater treatment. Staff is recommending a total rate revenue increase up to 12% annually in sewer rates for all customer classes in each of the five years.

As a result of these recommended changes, Standard Residential , Economy, and Lifeline customers, would see a monthly increase of $4.56, $2.18, and $1.42 in their respective sewer bills. Economy and Lifeline rates are not related to household income; rather, they are applied automatically to single-family residential bills when water usage in a billing period is 0-4 CCF or 5-8 CCF respectively, compared with an estimated average water usage of 14 CCF from single-family homes. These reduced rates are intended to encourage water conservation and reward customers who use low amounts of water.

For large industrial users, staff use actual and anticipated sampling data to measure their impact and calculate appropriate rates based on their impact on the wastewater system.

Appropriate fees for other business customers, such as restaurants, are based on water

Page 4 of 8 ends

consumption and standard waste strengths. Examples of maximum calculated impacts on common businesses are illustrated in Table 1 below.

Table 1
Customer Type
(without separate
irrigation)
Current
Rate/ CCF
of Water
Proposed
FY 2026
Proposed
FY 2027
Proposed
FY 2028
Proposed
FY 2029
Proposed
FY 2030
Restaurants (no grease
interceptor) $13.52 $18.36 $20.57 $23.04 $25.81 $28.91
Restaurants (with grease
interceptor) $10.44 $13.34 $14.95 $16.75 $18.76 $21.02
Commercial Laundry $8.07 $10.41 $11.66 $13.06 $14.63 $16.39 Offices and Retail Stores $7.99 $8.07 $9.04 $10.13 $11.35 $12.72

Comparisons with Other Wastewater Agencies
As shown in Figure A below, the recommended FY 2026 rates would place Hayward in the mid- range compared to other nearby agencies with the majority of their current rates. It must be noted that unlike the overwhelming majority of other sewer agencies, the City not only provides a lower rate for multi-family and mobile home units, but also in effect offers tiered sewer rates to all single- family customers, based on water usage.

Figure A

*City of Oakland includes the City's sewer collection system fee and EBMUD’s treatment service fee.

$79.10
$53.20 $50.97 $48.75 $45.89 $44.19 $43.02 $40.55
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
$80.00
$90.00
City of
Oakland*
(CY 2023)
City of San
Leandro
(Current)
Union
Sanitary
District
(Current)
Hayward
(Proposed)
Castro
Valley SD
(Current)
Hayward
(Current)
Dublin San
Ramon SD
(Current)
Oro Loma
SD
(FY 2026)
Single-Family Residential Sewer Service Bill

Page 5 of 8 ends

Figure B below compares Hayward with other local agencies that are also currently implementing a project to reduce nutrients by 2034.

Figure B

Sewer Connection Fees

Capacity fee analyses have also been prepared for sewer connection fees, which are the fees typically paid at the time a new development requests sewer service. Based on the Connection Fee Study, prepared by WRE, staff recommend implementing a 10% annual increase for sewer connection in FY 2026 and FY 2027.

$67.95
$63.80
$55.93
$50.97 $48.75
$44.19
$0.00
$10.00
$20.00
$30.00
$40.00
$50.00
$60.00
$70.00
$80.00
City of
Sunnyvale
(Current)
City of San
Mateo
(Current)
City of Palo Alto
(Current)
Union Sanitary
District
(Current)
Hayward
(Proposed)
Hayward
(Current)
Single-Family Residential Sewer Service Bill

Page 6 of 8 ends

Comparisons with Other Agencies

Figure C below shows how Hayward’s recommended sewer connection fees compare to other agencies. With the 10% recommended increase to the sewer connection fee, Hayward is still in the mid-range compared to other agencies.

Figure C

(1) EBMUD Sewer Connection Fee for treatment services only

ECONOMIC IMPACT

A single-family residential customer will see the annual increase to monthly sewer rates over the next five years shown in Table 3 below.

Table 3
Fiscal Year
Increase to Monthly Sewer
Rate
2026 $4.56
2027 $5.85
2028 $6.56
2029 $7.34
2030 $8.22

Most commercial and industrial customers will likewise see increases in their utility bills.

While staff recognize the importance of minimizing the impacts of rate increases on customers, it is also critical that the City comply with increased regulatory requirements, as well as maintain reliable and robust wastewater infrastructure in the interest of economic viability, quality of life, and maintaining public health. $17,966
$15,518
$13,234 $12,307 $12,031
$4,608
$3,130
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
$18,000
$20,000
DSRSD Castro
Valley
Sanitary
District
Hayward
(Proposed)
Union
Sanitary
District
Hayward
(Current)
City of San
Leandro
EBMUD (1)
Sewer Connection Fee
Single Family Residential

Page 7 of 8 ends

FISCAL IMPACT

The Wastewater Funds each maintain a working capital balance, or fund balance, in order to manage emergencies, maintain positive cash flows and the fund’s credit worthiness. At times, the working capital is also needed to smooth out the needed rate adjustments for customers who would otherwise see sharp increases in rates. Sewer connection fees support Capital Improvement Program (CIP) projects in the Sewer Improvement Fund. There are no impacts on the General Fund related to sewer rate adjustments or connection fees.

Fund Reserves

Wastewater Operating Fund and Sewer Replacement Fund
Given the stringent current and anticipated regulations, the onset of the impacts of the climate crisis, and the cost of operating and maintaining a wastewater treatment facility, it is also appropriate to maintain a reserve target equal to 100% of a four-year average rate funding Capital Improvement Project in the Wastewater Operating and Sewer Replacement Funds.

Staff anticipate that ongoing rate revenue adjustments in the range not-to-exceed 12% will be needed to maintain sufficient working capital balances and the recommended level of reserves.

Sewer Improvement Fund
All revenues derived from Sewer Connection Fees are deposited in the Sewer Capital Improvement Fund and used only for planned existing and future capital projects related to expansion of the sewer system, such as the WRRF Improvements – Phase II Project.

STRATEGIC ROADMAP

The proposed rate adjustments align with the City’s Strategic Priority of improved infrastructure by providing the funding necessary to maintain the wastewater collection and treatment system. Reliable utility services support other priorities such as housing and economic growth. Specifically, this item relates to the implementation of the following project:

Project N21: Design Water Pollution Control Facility Phase II upgrade

SUSTAINABILITY FEATURES

The recommended sewer rates will allow the City to continue to operate and maintain the sewer collection system and WRRF in a manner to meet all legal and regulatory requirements to protect public health and the environment. This includes supporting the upcoming WRRF Improvements – Phase II Project, which will enhance the quality of the wastewater discharged and protect the health of the San Francisco Bay. The revenue derived from the recommended rates will also enable the City to continue funding the existing green and renewable energy generation systems at the WRRF and their expansion over time.

ENVIRONMENTAL REVIEW

The California Environmental Quality Act (CEQA) includes an exemption of environmental review for revisions to rates and charges that are for the purpose of 1) meeting operating

Page 8 of 8 ends

expenses; 2) purchasing or leasing supplies, equipment, and materials; 3) meeting financial reserve requirements; or 4) obtaining funds for capital projects necessary to maintain services and system reliability within existing service areas. No additional CEQA review is required.

PUBLIC CONTACT

Following Council’s comments on the recommended rates, staff will incorporate any required modifications and implement the legal notice of Proposition 218, which mandates written notice of the proposed rates to all affected property owners at least forty-five days in advance of the public hearing, currently scheduled for February 4, 2025. In instances where a party other than the property owner, such as a tenant, is the account holder of record, notice will also be sent to that party. The notice describes the proposed adjustments and recommended rates for FY 2026 to FY 2030 and their impact on various customer classes. Proposed sewer rates and impacts on residential and non-residential customers are also described. The notice will also discuss the property owners’ right to protest the rates. Council may not take action on the rates if a majority of affected property owners file written protests. Staff will also post the information on the City’s website and publish the required notice in the newspaper.

Connection fees, also referred to as capacity charges, are one-time fees that were included in the connection fee study and are shown on Attachment II. They are not subject to Proposition 218 requirements and will not be included in the Proposition 218 notice, but staff will post the information on the City’s website1 and publish notice of the proposed adjustment.

NEXT STEPS

Council is scheduled to consider the rate adjustments and hold a public hearing at its February 4, 2025, meeting. If adopted, sewer rate adjustments would be effective annually from July 1, 2025, through July 1, 2029, and the connection fee adjustments would be effective annually from September 1, 2025, through September 1, 2026. Council has traditionally used October 1 as an effective date for all utility rates, rather than July 1 when the wholesale rate adjustment takes effect in order to avoid increasing rates during the summer period when water use is highest.

Prepared by: Trang Nguyen, Management Analyst

Recommended by: Alex Ameri, Director of Public Works

Approved by:

____________________________
Dustin Claussen, Interim City Manager

1 https://www.hayward-ca.gov/residents/utilities/water-and-sewer-rates

City of Hayward

2024 Sewer Rate and Connection Fee Study
Draft Executive Summary – November 2024

Prepared by: Water Resources Economics, LLC

This page intentionally left blank

November 25, 2024

Alex Ameri
Public Works Director
City of Hayward
777 B Street
Hayward, CA 94541

Subject: City of Hayward Sewer Rate and Connection Fee Study

Dear Mr. Ameri,

Water Resources Economics, LLC (WRE) is pleased to submit the 2024 Sewer Rate and Connection Fee Study to the City of Hayward (City). This executive summary provides an overview of the results and recommendations of the City’s study.

The goal of the study was to develop a five-year rate schedule of sewer rates and updated sewer connection fees. The resulting rates and fees will allow the City to sufficiently fund its operating and capital requirements, meet its financial performance targets, and comply with cost-of-service principles over the study period.

This study utilized industry-standard rate-setting methodology in accordance with guidelines developed by the Water Environment Federation. Our project team has a proven track record of developing fair and equitable rates for numerous public utility agencies in California over the past 25 years. We are confident in our ability to develop sewer rates that satisfy the requirements of Proposition 218.

It has been a pleasure assisting the City, and we appreciate the support provided by yourself, Ms. Trang Nguyen, the City Council, and other City staff during this study.

Sincerely,

Nancy Phan
Principal Consultant

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City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
i

TABLE OF CONTENTS

1. Executive Summary ........................................................................................................ 2

1.1 Rate Study Overview .................................................................................................... 2

1.2 Legal Requirements ...................................................................................................... 2

1.3 Rate-Setting Methodology ............................................................................................ 2

1.4 Additional Information and Disclaimers ......................................................................... 3

1.5 Current Sewer Rates .................................................................................................... 3

1.6 Financial Plan ............................................................................................................... 5

1.7 Cost-of-Service Analysis ............................................................................................... 9

1.8 Proposed sewer Rates................................................................................................ 10

1.9 Customer Impacts ....................................................................................................... 12

1.10 Connection Fee Methodology ..................................................................................... 13

1.11 Proposed Sewer COnnection Fees ............................................................................ 15

LIST OF TABLES
Table 1-1: Current Residential Sewer Rates ........................................................................... 3 Table 1-2: Current Commercial Sewer Rates (w/ Irrigation Meter) .......................................... 4 Table 1-3: Current Commercial Sewer Rates (w/o Irrigation Meter) ........................................ 4 Table 1-4: Current Industrial Sewer Rates .............................................................................. 5 Table 1-5: Reserve Policy Targets .......................................................................................... 6 Table 1-6: Financial Plan Scenario (Status Quo)..................................................................... 6 Table 1-7: Financial Plan Scenario (Proposed) ....................................................................... 8 Table 1-8: Proposed Residential Sewer Rates ...................................................................... 10 Table 1-9: Proposed Commercial Sewer Rates (w/ Irrigation Meter) ..................................... 10 Table 1-10: Proposed Commercial Sewer Rates (w/o Irrigation Meter) ................................. 11 Table 1-11: Proposed Industrial Sewer Rates ....................................................................... 11 Table 1-12: Residential Customer Impacts ............................................................................ 12 Table 1-13: Commercial Customer Impacts .......................................................................... 13 Table 1-14: Sewer Connection Fee Calculation .................................................................... 14 Table 1-15: Proposed Sewer Connection Fees (WRE Recommended) ................................ 15 Table 1-16: Proposed Sewer Connection Fees (Staff Recommended) ................................. 15

LIST OF FIGURES
Figure 1-1: Projected Fund Balances (Status Quo) ................................................................. 7 Figure 1-2: Projected Debt Coverage (Status Quo) ................................................................. 8 Figure 1-3: Projected Fund Balances (Proposed).................................................................... 9 Figure 1-4: Projected Debt Coverage (Proposed) ................................................................... 9 Figure 1-5: Single Family Bill Comparisons (Nearby Agencies) ............................................ 12 Figure 1-6: Single Family Bill Comparisons (Nutrient Removal Projects) .............................. 13 Figure 1-7: Single Family Sewer Connection Fee Comparisons ........................................... 16

City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
2 1. EXECUTIVE SUMMARY

1.1 RATE STUDY OVERVIEW
Public retail utility agencies in California typically conduct a cost-of-service study every five years to ensure that customers are appropriately charged for sewer service and to reestablish the cost-of-service nexus that is required by Proposition 218. The City’s existing sewer rate structure was developed in 2021. Every two years, the City adopts updated sewer rates based on the cost-of-service rate structure developed in 2021 with additional rate increases to meet financial targets.

The City engaged Water Resources Economics, LLC (WRE) in 2024 to conduct a comprehensive sewer rate and connection fee study, with the following objectives:
 Develop a five-year sewer rate schedule for Fiscal Year (FY) 20261 through FY 2030  Conduct a cost-of-service analysis based on most recent data and customer use characteristics
 Evaluate financial plan scenarios to meet financial targets for FY 2025 to FY 2030  Calculate updated sewer connection fees based on most recent cost estimates

1.2 LEGAL REQUIREMENTS
Legal considerations relating to retail sewer rates in California focus heavily on Proposition 218, which was enacted in 1996 and is now reflected in Article XIII C and Article XIII D of the California Constitution. Proposition 218 states that “property related fees and charges” (which include sewer rates) may not exceed the proportional cost of providing the service to the customer and may not be used for any purpose other than providing said service. The practical implication is that public retail utility agencies in California must demonstrate a sufficient nexus between the costs incurred by the agency to provide sewer service and the rates charged to customers. The primary means by which retail sewer agencies address this requirement is by conducting a “cost-of-service analysis.”

Proposition 218 also affects the rate adoption process by requiring agencies to hold a public hearing to adopt rates. The agency must mail public hearing notices to all customers no fewer than 45 days prior to the public hearing. The public hearing notices must clearly show all proposed rate changes, provide information on the public hearing date/time/location, and provide instructions on how customers may protest the proposed rate changes. If a majority of customers submit a protest, the proposed rate changes cannot be adopted.

1.3 RATE-SETTING METHODOLOGY
This study was conducted using industry-standard methodology outlined by the Water Environment Federation (WEF) in its Manual of Practice No. 27, Financing and Charges for Wastewater Systems.

The rate study process includes the following steps:

1. Financial Plan: Annual revenues and expenses are projected over the rate-setting period to determine the magnitude of rate increases needed to maintain financial

1 FY 2026 is the year starting July 1, 2025 and ending June 30, 2026.

City of Hayward Sewer Rate and Connection Fee Study
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3 sufficiency. Financial policies, such as reserve targets, are also evaluated and updated if necessary.

2. Cost-of-Service Analysis: Costs are allocated to customers in proportion to the use of and burden on the sewer system. The overall goal is to establish a robust nexus between the costs incurred by an agency and the rates charged to customers, as required by Proposition 218.

3. Rate Design: The existing rate structure is evaluated, and potential changes are identified. A multi-year proposed rate schedule is then calculated directly from the results of the financial plan and cost-of-service analysis.

4. Rate Study Documentation: A rate study report is developed to document the proposed rate development process. This provides transparency and enhances legal defensibility in light of Proposition 218 requirements. This document serves as the report for this rate study.

1.4 ADDITIONAL INFORMATION AND DISCLAIMERS
This report summarizes the data, analyses, processes, and results of the City’s sewer rate and connection fee study. Some important information to keep in mind when reading the report includes the following:
 All study projections are based on the best available data as of November 2024.  All table values are rounded to the nearest digit shown, unless stated otherwise.

However, all calculations are based on precise values. Attempting to manually recreate the calculations described in this report from the values displayed in tables may therefore produce slightly different results.
 All current and proposed rates in this report are shown on a monthly basis.  All current and proposed connection fees in this report are shown on an annual basis.

1.5 CURRENT SEWER RATES
The City’s current sewer rate structure is based on the most recently adopted two-year plan.

The current sewer rates were effective on October 1, 2023 and October 1, 2024.

The monthly residential sewer service charges (Table 1-1) include charges per residential unit for Standard Residential, Multi-Family, and Mobile Home customers. Residential customers that use less water each month are eligible for the Economy or Lifeline rates, which are sewer service charges for customers that use under 8 hundred cubic feet (ccf) of water (Economy) or under 4 ccf of water (Lifeline).

Table 1-1: Current Residential Sewer Rates
Line Monthly Sewer Service Charges
(Residential)
Adopted
10/1/2023
Adopted
10/1/2024
1 Standard Residential, per unit $41.29 $44.19
2 Multi-Family, per unit $36.75 $39.33
3 Mobile Home, per unit $28.91 $30.94
City of Hayward Sewer Rate and Connection Fee Study
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4 4 Economy, 5 to 8 units of water
usage $19.34 $20.70
5 Lifeline, 0 to 4 units of water usage $9.68 $10.36

The monthly commercial sewer service charges (Table 1-2 and Table 1-3) include charges per ccf of water use for various customer categories, with and without a separate irrigation meter. Customers that do not have a separate irrigation meter are assumed to have a wastewater return factor of approximately 90%.

Table 1-2: Current Commercial Sewer Rates (w/ Irrigation Meter) Line Monthly Sewer Service Charges
(Commercial w/ Irrigation Meter)
Adopted
10/1/2023
Adopted
10/1/2024
1 Per ccf of water use
2 Commercial/Government $7.46 $7.99
3 Restaurant w/ Grease Interceptor $9.75 $10.44
4 Restaurant w/o Grease Interceptor $12.63 $13.52
5 Commercial Laundry $7.54 $8.07
6 Bakery $12.86 $13.77
7 Industrial Laundry $11.71 $12.53
8 Beverage Bottling $7.61 $8.15
9 Food Manufacturing $28.35 $30.34
10 Meat Products $14.36 $15.37
11 Slaughterhouse $16.53 $17.69
12 Dairy Product Processors $11.85 $12.68
13 Canning and Packing $8.44 $9.04
14 Grain Mills $11.12 $11.90
15 Fats and Oils $8.01 $8.58
16 Pulp and Paper Manufacturing $9.76 $10.45
17 Inorganic Chemicals $13.56 $14.51
18 Paint Manufacturing $21.14 $22.62
19 Leather Tanning $27.84 $29.79
20 Fabricated Metal $4.03 $4.32

Table 1-3: Current Commercial Sewer Rates (w/o Irrigation Meter) Line Monthly Sewer Service Charges
(Commercial w/o Irrigation Meter)
Adopted
10/1/2023
Adopted
10/1/2024
1 Per ccf of water use
2 Commercial/Government $6.72 $7.20
3 Restaurant w/ Grease Interceptor $8.78 $9.40
4 Restaurant w/o Grease Interceptor $11.37 $12.17
5 Commercial Laundry $6.78 $7.26
City of Hayward Sewer Rate and Connection Fee Study
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5 6 Bakery $11.57 $12.38
7 Industrial Laundry $10.53 $11.27
8 Beverage Bottling $6.85 $7.33
9 Food Manufacturing $25.51 $27.30
10 Meat Products $12.93 $13.84
11 Slaughterhouse $14.88 $15.93
12 Dairy Product Processors $10.66 $11.41
13 Canning and Packing $7.59 $8.13
14 Grain Mills $10.01 $10.72
15 Fats and Oils $7.21 $7.72
16 Pulp and Paper Manufacturing $8.78 $9.40
17 Inorganic Chemicals $12.21 $13.07
18 Paint Manufacturing $19.03 $20.37
19 Leather Tanning $25.04 $26.80
20 Fabricated Metal $3.63 $3.89

The monthly industrial sewer service charges (Table 1-4) include charges per ccf of wastewater discharge, per pound of carbonaceous biochemical oxygen demand (CBOD), and per pound of suspended solids (SS). Customers that do not have a separate irrigation meter are assumed to have a wastewater return factor of approximately 90%.

Table 1-4: Current Industrial Sewer Rates
Line Monthly Sewer Service Charges
(Critical/Industrial Users)
Adopted
10/1/2023
Adopted
10/1/2024
1 Flow, per ccf of wastewater $3.4516 $3.6932
2 CBOD, per lb of CBOD $0.8230 $0.8806
3 SS, per lb of SS $1.1060 $1.1835
4 Return Factor (w/o Irrigation Meter) 90% 90%

1.6 FINANCIAL PLAN
WRE worked closely with City staff to determine the financial plan scenario that best suits the City’s needs over the study period (FY 2025 to FY 2030). The results and recommendations of the sewer rate study are driven by the City’s projected financial performance, input and direction from City staff, and debt issuance and debt service projections from the City’s financial advisor, NHA advisors.

FACTORS AFFECTING FINANCIAL PERFORMANCE
The sewer system’s financial performance is driven by the ability of the current sewer rates to meet the City’s funding needs. To maintain financial sufficiency, sewer rates must fully fund operations and maintenance (O&M) costs and capital improvement plan (CIP) expenditures.

Sewer rates should also allow the City to meet all relevant financial policies, which include reserve policy targets and debt coverage requirements.

The City’s capital plan is categorized between maintenance and expansion-related projects.

The financial plan analyzes the Sewer Operating and Replacement funds (Funds 610 and 611) and recovers costs related to maintenance CIP. The sewer connection fee study, which is discussed in a separate section of the report, analyzes the Sewer Improvement fund (Fund City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
6 612) and recovers costs related to expansion CIP. Proposed debt issuances and debt service to fund the capital program are also categorized based on maintenance and expansion CIP and are accounted for in the financial plan/sewer rates and the sewer connection fees, respectively.

The key factors affecting financial performance include:
 Substantial capital investment needs over the next five years: The cost of planned capital maintenance projects over the study period (FY 2025 through FY 2030) totals approximately $372 million. Approximately $244 million of capital maintenance projects will be funded with new debt. Major projects include the Water Resource Recovery Facility (WRRF) Administration Building and Phase II Improvement Projects.  Debt coverage requirements: The City plans to issue approximately $244 million in new debt to fund maintenance CIP. Annual debt service payments relating to new debt total approximately $1.6 million (FY 2026) to $8.4 million (FY 2030). The City must maintain a debt coverage ratio of 110% to meet debt coverage requirements2.  Reserve policy targets: The City’s current reserve policy, which is shown in Error! Reference source not found., includes targets for operating, rate stabilization, and capital replacement reserves. The reserve policy in place allows the City to maintain cash on hand to meet short-term cash flow requirements, to execute CIP projects, and to respond to unexpected emergencies.

Table 1-5: Reserve Policy Targets
Line Reserve Policy Policy Targets FY 2025
1 Sewer Operating 25% of O&M expenses $5,742,911
2 Rate Stabilization 25% of rate revenues $7,817,387
3 Sewer Replacement 5-year avg. cash funded
CIP $18,742,376
4 Combined Target (Funds 610 and
611)
$32,302,673
5 6 Projected Reserves (Before
Increases)
$36,069,526

STATUS QUO FINANCIAL PLAN
The first step in evaluating the City’s financial performance is to develop a “status quo financial plan,” which is the scenario in which the City does not increase its sewer rate revenues. This exercise is to determine whether the City’s current sewer rates are sufficient to meet key financial performance metrics. This section shows two important metrics: fund balance and debt coverage.

Table 1-6: Financial Plan Scenario (Status Quo)
Line Fiscal Year Revenue
Adjustments
CIP
Execution
Rate
Debt
Proceeds
for CIP
1 2026 0% 100% $38,573,543

2 Debt coverage is calculated for the entire sewer utility (Replacement and Improvement funds combined).

City of Hayward Sewer Rate and Connection Fee Study
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7 2 2027 0% 100% $131,201,096
3 2028 0% 100% $31,341,627
4 2029 0% 100% $33,484,410
5 2030 0% 100% $0

Figure 1-1 shows the projected fund balances under the status quo scenario. The green bars represent the ending fund balances for the Operating and Replacement reserves (Funds 610 and 611), and the dashed line represents the reserve policy targets. In this scenario, the City will not meet its reserve targets starting in FY 2025. Projected fund balances will be negative starting in FY 2028. Without additional rate revenues, the City is constrained by its fund balances.

Figure 1-1: Projected Fund Balances (Status Quo)

Figure 1-2 shows the projected debt coverage under the status quo scenario. The City’s existing and proposed debt service has a required coverage of 110%. Debt coverage is calculated by dividing the net operating revenue (revenues less O&M expenses) by annual debt service payments. In this scenario, the City is not able to meet its debt coverage requirements starting in FY 2029.

City of Hayward Sewer Rate and Connection Fee Study
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8 Figure 1-2: Projected Debt Coverage (Status Quo)

PROPOSED REVENUE ADJUSTMENTS AND DEBT ISSUANCES
Overall annual increases in sewer rate revenues resulting from rate increases are referred to as “revenue adjustments.” WRE worked with City staff to determine the most appropriate financial plan scenario, which is shown in Table 1-7. The proposed financial plan scenario includes five years of revenue adjustments, which are required to maintain financial sufficiency and resiliency, and a CIP execution rate of 95%. Typically, retail agencies do not execute 100% of planned CIP each year, due to scheduling or other types of delays.

PROPOSED FINANCIAL PLAN
The proposed financial plan applies the revenue adjustments and CIP execution rate, shown in Table 1-7, to reevaluate financial performance based on the same two metrics: fund balance and debt coverage.

Table 1-7: Financial Plan Scenario (Proposed)
Line Fiscal Year Revenue
Adjustments
CIP
Execution
Rate
Debt
Proceeds
for CIP
1 2026 12% 95% $38,573,543
2 2027 12% 95% $131,201,096
3 2028 12% 95% $31,341,627
4 2029 12% 95% $33,484,410
5 2030 12% 95% $0

Figure 1-3 shows the projected fund balances under the proposed scenario. In this scenario, the City will meet its reserve targets for all years of the planning period.

City of Hayward Sewer Rate and Connection Fee Study
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9 Figure 1-3: Projected Fund Balances (Proposed)

Figure 1-4 shows the projected debt coverage under the proposed scenario. In this scenario, the City will meet its debt coverage requirements for all years of the planning period.

Figure 1-4: Projected Debt Coverage (Proposed)

1.7 COST-OF-SERVICE ANALYSIS
A cost-of-service analysis is a technical process used to determine the cost of providing sewer service to the City’s customers based on each customer’s use of and burden on the sewer system. The cost-of-service analysis is the basis of the nexus between the costs incurred by the utility to provide sewer service and the sewer rates charged to customers, which is a requirement of Proposition 218.

City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
10 COST-OF-SERVICE METHODOLOGY
The cost-of-service methodology is based on industry standards set forth by WEF. The overall goal of the cost-of-service analysis is to develop “unit costs,” which provide the basis from which proposed rates are directly calculated from. Note that although the study period spans three years, the cost-of-service analysis is limited to a single representative year referred to as the “test year.” The test year in this study is FY 2025.

The key steps in conducting a cost-of-service analysis are outlined below:
 Revenue requirement determination: The total rate revenue requirement for the test year is determined based on the results of the proposed financial plan and divided into primary sub-components (operating, capital, etc.).
 Cost functionalization: Operating and capital costs are evaluated and assigned to “functional categories” in the sewer system (e.g., flow, treatment, billing, etc.). This provides a proportional breakdown of system costs by functional category.  Revenue requirement allocation to cost causation components: Functionalized costs are allocated to “cost causation components” (e.g., flow, CBOD, SS, billing, etc.), which is used to attribute customers’ use of the system to the City’s incursion of costs.  Unit cost development: The allocation of rate revenue requirements for each individual cost causation component is divided by the appropriate units of service to establish unit costs for the test year. Unit costs provide the basis from which proposed rates are calculated.

1.8 PROPOSED SEWER RATES
The proposed five-year sewer rate schedule in this section are based on the updated cost-of- service analysis and the proposed revenue adjustments in the five-year period. The rate schedule shows the proposed sewer rates to be implemented in July 2025 through July 2029.

Table 1-8, Table 1-9, Table 1-10, and Table 1-11 show the proposed monthly sewer service charges for residential customers, commercial customers with separate irrigation meters, commercial customers without separate irrigation meters, and industrial users, respectively.

Table 1-8: Proposed Residential Sewer Rates
Line Monthly Sewer Service Charges
(Residential)
Proposed
7/1/2025
Proposed
7/1/2026
Proposed
7/1/2027
Proposed
7/1/2028
Proposed
7/1/2029
1 Standard Residential, per unit $48.75 $54.60 $61.16 $68.50 $76.72 2 Multi-Family, per unit $44.18 $49.49 $55.43 $62.09 $69.55 3 Mobile Home, per unit $32.85 $36.80 $41.22 $46.17 $51.72 4 Economy, 5 to 8 units of water
usage $22.88 $25.63 $28.71 $32.16 $36.02
5 Lifeline, 0 to 4 units of water usage $11.78 $13.20 $14.79 $16.57 $18.56 Table 1-9: Proposed Commercial Sewer Rates (w/ Irrigation Meter) Line Monthly Sewer Service Charges
(Commercial w/ Irrigation Meter)
Proposed
7/1/2025
Proposed
7/1/2026
Proposed
7/1/2027
Proposed
7/1/2028
Proposed
7/1/2029
1 Per ccf of water usage
2 Commercial/Government $8.07 $9.04 $10.13 $11.35 $12.72 3 Restaurant w/ Grease Interceptor $13.34 $14.95 $16.75 $18.76 $21.02 City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
11 4 Restaurant w/o Grease Interceptor $18.36 $20.57 $23.04 $25.81 $28.91 5 Commercial Laundry $10.41 $11.66 $13.06 $14.63 $16.39 6 Bakery $26.06 $29.19 $32.70 $36.63 $41.03
7 Industrial Laundry $33.56 $37.59 $42.11 $47.17 $52.84 8 Beverage Bottling $13.32 $14.92 $16.72 $18.73 $20.98 9 Food Manufacturing $56.99 $63.83 $71.49 $80.07 $89.68 10 Meat Products $28.93 $32.41 $36.30 $40.66 $45.54 11 Slaughterhouse $19.82 $22.20 $24.87 $27.86 $31.21 12 Dairy Product Processors $14.21 $15.92 $17.84 $19.99 $22.39 13 Canning and Packing $16.91 $18.94 $21.22 $23.77 $26.63 14 Grain Mills $13.33 $14.93 $16.73 $18.74 $20.99
15 Fats and Oils $9.61 $10.77 $12.07 $13.52 $15.15
16 Pulp and Paper Manufacturing $11.71 $13.12 $14.70 $16.47 $18.45 17 Inorganic Chemicals $16.26 $18.22 $20.41 $22.86 $25.61 18 Paint Manufacturing $34.64 $38.80 $43.46 $48.68 $54.53 19 Leather Tanning $33.37 $37.38 $41.87 $46.90 $52.53 20 Fabricated Metal $4.17 $4.68 $5.25 $5.88 $6.59

Table 1-10: Proposed Commercial Sewer Rates (w/o Irrigation Meter) Line Monthly Sewer Service Charges
(Commercial w/o Irrigation Meter)
Proposed
7/1/2025
Proposed
7/1/2026
Proposed
7/1/2027
Proposed
7/1/2028
Proposed
7/1/2029
1 Per ccf of water usage
2 Commercial/Government $7.27 $8.15 $9.13 $10.23 $11.46 3 Restaurant w/ Grease Interceptor $12.00 $13.44 $15.06 $16.87 $18.90 4 Restaurant w/o Grease Interceptor $16.52 $18.51 $20.74 $23.23 $26.02 5 Commercial Laundry $9.38 $10.51 $11.78 $13.20 $14.79 6 Bakery $23.48 $26.30 $29.46 $33.00 $36.96
7 Industrial Laundry $12.63 $14.15 $15.85 $17.76 $19.90 8 Beverage Bottling $12.02 $13.47 $15.09 $16.91 $18.94 9 Food Manufacturing $30.58 $34.25 $38.36 $42.97 $48.13 10 Meat Products $26.20 $29.35 $32.88 $36.83 $41.25 11 Slaughterhouse $17.85 $20.00 $22.40 $25.09 $28.11 12 Dairy Product Processors $12.78 $14.32 $16.04 $17.97 $20.13 13 Canning and Packing $15.19 $17.02 $19.07 $21.36 $23.93 14 Grain Mills $12.01 $13.46 $15.08 $16.89 $18.92
15 Fats and Oils $32.25 $36.12 $40.46 $45.32 $50.76 16 Pulp and Paper Manufacturing $10.63 $11.91 $13.34 $14.95 $16.75 17 Inorganic Chemicals $14.64 $16.40 $18.37 $20.58 $23.05 18 Paint Manufacturing $22.82 $25.56 $28.63 $32.07 $35.92 19 Leather Tanning $30.02 $33.63 $37.67 $42.20 $47.27 20 Fabricated Metal $3.76 $4.22 $4.73 $5.30 $5.94
Table 1-11: Proposed Industrial Sewer Rates
Line Monthly Sewer Service Charges
(Critical/Industrial Users)
Proposed
7/1/2025
Proposed
7/1/2026
Proposed
7/1/2027
Proposed
7/1/2028
Proposed
7/1/2029
1 Flow, per ccf of wastewater $3.2283 $3.6157 $4.0496 $4.5356 $5.0799 2 CBOD, per lb of CBOD $1.2167 $1.3628 $1.5264 $1.7096 $1.9148 3 SS, per lb of SS $0.8198 $0.9182 $1.0284 $1.1519 $1.2902 City of Hayward Sewer Rate and Connection Fee Study
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12 4 Return Factor (w/o Irrigation Meter) 90% 90% 90% 90% 90%

1.9 CUSTOMER IMPACTS
Table 1-12 shows the customer impacts to residential customers based on the first year of proposed sewer rates. Standard Residential, which makes up approximately 38% of all customer bills, will see a monthly impact of $4.56 due to the proposed sewer rates.

Table 1-12: Residential Customer Impacts
Line Monthly Customer
Impacts
Current
Bill
Proposed
Bill
Difference
($)
Difference
(%)
1 Standard Residential $44.19 $48.75 $4.56 10%
2 Multi-Family $39.33 $44.18 $4.85 12%
3 Mobile Home $30.94 $32.85 $1.91 6%
4 Economy $20.70 $22.88 $2.18 11%
5 Lifeline $10.36 $11.78 $1.42 14%

Figure 1-5 shows the single family bill comparisons between the City and other nearby agencies. With the proposed sewer rates, the City is within the middle range of single family bills in the region.

Figure 1-5: Single Family Bill Comparisons (Nearby Agencies)

Figure 1-6 shows the single family bill comparisons between the City and other agencies that are also currently implementing a project to reduce nutrients by 2034. With the proposed sewer rates, the City is on the lower end of comparable bills.

City of Hayward Sewer Rate and Connection Fee Study
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13 Figure 1-6: Single Family Bill Comparisons (Nutrient Removal Projects)

Table 1-13 shows the customer impacts to general commercial and restaurant customers based on the first year of proposed sewer rates. Commercial/Government with a separate irrigation meter (Line 2) makes up approximately 34% of all commercial bills and will see a monthly impact of $1.28 based on 16 ccf of median water use. Commercial/Government without a separate irrigation meter (Line 7) makes up approximately 60% of all commercial bills and will see a monthly impact of $0.49 based on 7 ccf of median water use.

Table 1-13: Commercial Customer Impacts
Line Monthly Customer Impacts Water
Use (ccf)
Current
Bill
Proposed
Bill
Difference
($)
Difference
(%)
1 With Separate Irrigation Meter
2 Commercial/Government 16 $127.84 $129.12 $1.28 1% 3 Restaurant w/ Grease Interceptor 42 $438.48 $560.28 $121.80 28% 4 Restaurant w/o Grease
Interceptor 40 $540.80 $734.40 $193.60 36%
5 6 Without Separate Irrigation Meter
7 Commercial/Government 7 $50.40 $50.89 $0.49 1%
8 Restaurant w/ Grease Interceptor 65 $611.00 $780.00 $169.00 28% 9 Restaurant w/o Grease
Interceptor 26 $316.42 $429.52 $113.10 36%

1.10 CONNECTION FEE METHODOLOGY
New customer connections to the City’s sewer system are subject to a sewer connection fee, which is necessary to ensure that existing users are not unfairly burdened by costs incurred to provide capacity for new users. The overall purpose of a connection fee is to equitably recover capital costs incurred by the agency to provide system capacity to new users.

Wastewater capacity charges in California are typically developed based on one of three common methodologies outlined by the American Water Works Association (AWWA) in its

City of Hayward Sewer Rate and Connection Fee Study
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14 Manual of Water Supply Practices M1: Principles of Water Rates, Fees and Charges, Seventh Edition.

The three methodologies include:

1. Buy-in Method: The Buy-in Method establishes connection based on the value of the system’s existing capital assets and is typically most appropriate when a system’s current capacity is sufficient to serve both short-term and long-term projected demands. The rationale underlying the Buy-in Method is that new customers should pay to “buy-in” to existing system capacity funded by past and current users.

2. Incremental Cost Method: The Incremental Cost Method establishes connection fees based on the cost of planned capital expenditures required to expand system capacity and is typically most appropriate when a system’s current capacity is already fully utilized by existing users. The rationale underlying the Incremental Cost Method is that new users should fund planned capital projects that are necessary to accommodate growth in the service area.

3. Hybrid Method: The Hybrid Method3 establishes capacity charges based on a combination of the Buy-in Method and the Incremental Cost Method. The Hybrid Method is typically most appropriate when some existing capacity is available to new users, but capacity expansion is still necessary to accommodate long-term demands.

WRE recommends the Hybrid Method for the City’s sewer connection fees. The existing system has some capacity to serve new customers, and the City will be investing in additional capacity over the next several years. Table 1-14 shows the sewer connection fee calculation based on the Hybrid Method. Buy-In costs are allocated to the current system; Incremental costs are allocated to the future system. The proposed sewer connection fee per equivalent dwelling unit (EDU) is the sum of current system and future system unit costs (Line 10), which represents an increase of approximately 22% to the current sewer connection fees.

Table 1-14: Sewer Connection Fee Calculation
Line Connection Fee Calculation Current
System
Future
System Total
1 Buy-In $55,777,458 $0 $55,777,458
2 Incremental - Expansion CIP $0 $3,594,517 $3,594,517 3 Incremental - WRRF Phase II Project Costs $0 $202,384,455 $202,384,455 4 Incremental - WRRF Financing Costs $0 $13,518,644 $13,518,644

3 The Hybrid Method is referred to by the AWWA as the “Combined Cost Approach.” City of Hayward Sewer Rate and Connection Fee Study
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15 5 Total Value $55,777,458 $219,497,617 $275,275,075 6 7 Estimated Wastewater Flow (gpd) per EDU 135 135
8 Estimated EDUs Served 89,146 15,600
9 10 Proposed Connection Fee per EDU $626 $14,070 $14,696 11 Current Connection Fee per EDU $12,031
12 Difference ($) $2,665
13 Difference (%) 22%

1.11 PROPOSED SEWER CONNECTION FEES
Table 1-15 shows the proposed sewer connection fees (WRE recommended) based on the results of the sewer connection fee study. The second year of proposed connection fees assumes a 4% increase based on the Construction Cost Index. Sewer connection fees for commercial, industrial, and other customers (Lines 6-10) are calculated based on an updated EDU definition derived from the most recent sewer customer data.

Table 1-15: Proposed Sewer Connection Fees (WRE Recommended) Line Proposed Sewer Connection Fees
(WRE Recommended)
Proposed
9/1/2025
Proposed
9/1/2026
1 Residential
2 Single Family, Low Density Residential $14,696 $15,284 3 Multi-Family, High Density Residential (per unit) $13,082 $13,606 4 Accessory Dwelling Unit (per unit) $5,880 $6,116
5 6 Commercial, Industrial, Other
7 Wastewater capacity (per gpd) $36.62 $38.09
8 CBOD (per lb per year) $37.88 $39.40
9 SS (per lb per year) $24.80 $25.80
10 Minimum Charge $14,696 $15,284

Table 1-16 shows the proposed sewer connection fees (staff recommended) based on a lower increase of 10% applied over two years, which is recommended by staff to smooth out impacts to the sewer connection fee. Sewer connection fees for commercial, industrial, and other customers (Lines 6-10) are calculated based on an updated EDU definition derived from the most recent sewer customer data.

Table 1-16: Proposed Sewer Connection Fees (Staff Recommended) Line Proposed Sewer Connection Fees
(Staff Recommended)
Proposed
9/1/2025
Proposed
9/1/2026
1 Residential
2 Single Family, Low Density Residential $13,235 $14,559 3 Multi-Family, High Density Residential (per unit) $11,781 $12,960 4 Accessory Dwelling Unit (per unit) $5,295 $5,825
5 6 Commercial, Industrial, Other
City of Hayward Sewer Rate and Connection Fee Study
Water Resources Economics
16 7 Wastewater capacity (per gpd) $32.98 $36.28
8 CBOD (per lb per year) $34.11 $37.53
9 SS (per lb per year) $22.34 $24.58
10 Minimum Charge $13,235 $14,559

Figure 1-7 shows the single family connection fee comparisons between the City and other agencies based on the staff recommended fees.

Figure 1-7: Single Family Sewer Connection Fee Comparisons

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CITY OF HAYWARD
Hayward City Hall
777 B Street
Hayward, CA 94541
www.Hayward-CA.gov
File #: PH 24-046
DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Development Services

SUBJECT
Tenant Relocation Assistance Ordinance: Introduction of an Ordinance Amending Chapter 12, Article 2 of the Hayward Municipal Code Simplifying Requirements for Relocation Assistance; Adopt a Resolution Amending the FY 2025 Master Fee Schedule; and Adopt a Resolution Appropriating Revenue Funds Received from Landlords Reimbursing the City for Relocation Assistance Cases

RECOMMENDATION
That the City Council:

1. Holds a public hearing to obtain input on proposed amendments to the Tenant Relocation Assistance Ordinance and associated amendment to the FY 2025 Master Fee Schedule; and

2. Introduces an ordinance (Attachment III) amending Chapter 12, Article 2 of the Hayward Municipal Code simplifying requirements for relocation assistance; and

3. Adopts a resolution (Attachment IV) amending Resolution No. 24-197 FY 2025 Master Fee schedule approved on October 8, 2024; and

4. Adopts a resolution (Attachment V) appropriating $29,858 in revenue funds received from Landlords Reimbursing the City for Relocation Assistance Cases.

SUMMARY
On June 4, 2024, the City Council adopted the FY 2025 Strategic Plan, which includes a proposed special project to simplify the Tenant Relocation Assistance Ordinance. The current Tenant Relocation Assistance Ordinance (TRAO) has layers of complexities that have made the ordinance difficult for stakeholders to understand and for staff to administer. Through this report, staff have outlined several areas within the ordinance for simplification. Staff recommend making the following modifications to the TRAO:
· Modifying the temporary relocation assistance from per diem requirements to a one-time flat rate of three times the Fair Market Rate (FMR) (prorated if relocation lasts fewer than 30 days) · Explicitly stating that relocation assistance for governmental agency’s order to vacate requires relocation assistance required by state law in addition to City’s requirements · Aligning the timeframes for relocation assistance based on a governmental agency’s order to CITY OF HAYWARD Printed on 11/25/2024Page 1 of 2
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File #:PH 24-046
· Aligning the timeframes for relocation assistance based on a governmental agency’s order to vacate with state law
· Cross referencing defined terms shared by the Residential Rent Stabilization and Tenant Protection Ordinance (RRSO) and the TRAO
· Changing timeframes references to consistently indicate “calendar days” · Implementing a penalty fee of $1,000 for Landlords who do not provide relocation assistance in a timely manner for cases relating to a governmental agency’s order to vacate · Implementing a fee for appeal hearings except in cases of hardship and modifying the assessment process to only conduct hearings upon request consistent with these processes referenced elsewhere in the Hayward Municipal Code (HMC)
Attachment VI shows these changes with redlines to the existing TRAO.

Additionally, staff recommends appropriating $29,858 in funds received from landlords who reimbursed the City after the City disbursed funds to tenants for relocation assistance due to a governmental agency’s order to vacate.

ATTACHMENTS
Attachment I Staff Report
Attachment II TRA Ordinance Summary
Attachment III Amended TRA Ordinance
Attachment IV Resolution Master Fee Amendment
Attachment V Resolution Appropriating Revenue
Attachment VI Amended TRA Ordinance Redlines
CITY OF HAYWARD Printed on 11/25/2024Page 2 of 2
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DATE: December 3, 2024
TO: Mayor and City Council
FROM: Director of Development Services
SUBJECT: Tenant Relocation Assistance Ordinance: Introduction of an Ordinance Amending Chapter 12, Article 2 of the Hayward Municipal Code Simplifying Requirements for Relocation Assistance; and Adopt a Resolution Amending the FY 2025 Master Fee Schedule; and Adopt a Resolution Appropriating Revenue Funds Received from Landlords Reimbursing the City for Relocation Assistance Cases

RECOMMENDATION
That the City Council:

1. Holds a public hearing to obtain input on proposed amendments to the Tenant Relocation Assistance Ordinance and associated amendment to the FY 2025 Master Fee Schedule; and

2. Introduces an ordinance (Attachment III) amending Chapter 12, Article 2 of the Hayward Municipal Code clarifying and streamlining requirements for relocation assistance; and

3. Adopts a resolution (Attachment IV) amending Resolution No. 24-197 FY 2025 Master Fee schedule approved on October 8, 2024; and

4. Adopts a resolution (Attachment V) appropriating $29,858 in revenue funds received from Landlords Reimbursing the City for Relocation Assistance Cases.

SUMMARY
On June 4, 2024, the City Council adopted the FY 2025 Strategic Plan, which includes a proposed special project to simplify the Tenant Relocation Assistance Ordinance.1 The current Tenant Relocation Assistance Ordinance (TRAO) has layers of complexities that have made the ordinance difficult for stakeholders to understand and for staff to

1 June 4, 2024 City Council Staff Report and Materials:
https://hayward.legistar.com/LegislationDetail.aspx?ID=6712541&GUID=FC1C8272-3788-4EEE-B855- 19B21D44EFAE&Options=&Search=

administer. Through this report, staff have outlined several areas within the ordinance for simplification. Staff recommend making the following modifications to the TRAO:
 Modifying the temporary relocation payment from per diem requirements to a one- time flat rate of three times the Fair Market Rate (FMR) (prorated if relocation lasts fewer than 30 days)
 Explicitly stating that relocation assistance for governmental agency’s order to vacate requires relocation assistance required by state law in addition to City’s requirements
 Aligning the timeframes for relocation assistance based on a governmental agency’s order to vacate with state law
 Cross referencing defined terms shared by the Residential Rent Stabilization and Tenant Protection Ordinance (RRSO) and the TRAO
 Changing timeframes references to consistently indicate “calendar days”  Implementing a penalty fee of $1,000 for Landlords who do not provide relocation assistance in a timely manner for cases relating to a governmental agency’s order to vacate
 Implementing a fee for appeal hearings except in cases of hardship and modifying the assessment process to only conduct hearings upon request consistent with these processes referenced elsewhere in the Hayward Municipal Code (HMC) Attachment VI shows these changes with redlines to the existing TRAO.

BACKGROUND
On July 14, 2020, the City Council adopted the TRAO to ensure Hayward residents had the same protections that were afforded under California’s Tenant Protection Act (TPA).2 The TRAO requires that landlords pay permanent relocation in cases of no-fault termination of tenancy consistent with state law, temporary relocation if the unit has to be vacated to complete repairs or required to be vacated by the City. The TRAO also authorizes the City, when orders to vacate are issued and the landlord fails to pay relocation assistance, to pay relocation assistance to the tenant and recover the cost from the landlord. Attachment II includes a detailed summary of the current TRAO. Furthermore, on July 13, 2021, the City Council authorized the use of $250,000 of American Rescue Plan Act (ARPA) stimulus funds

2 July 14, 2020 City Council Staff Report and Materials:
https://hayward.legistar.com/LegislationDetail.aspx?ID=4590663&GUID=ADB12ECB-15EB-4DB2-B096- 5A6D9877359A&Options=&Search=

to help with relocation assistance for emergency relocation assistance (e.g., displacement due to natural disasters like fires and floods or landlord’s failure to pay relocation assistance when there is a City issued notice to vacate).3 On September 19, 2024,4 the Housing Policy & Resource Committee (HPRC) discussed the proposed modifications committee members and agreed with staff’s proposals to simplify the ordinance but provided additional considerations to include.

DISCUSSION
Staff propose simplifying the TRAO along two premises: (1) simplifying the TRAO’s payment structure and clarifying relocation assistance requirements related to a governmental agency’s order to vacate and (2) improving the TRAO’s consistency with other City’s processes, the Residential Rent Stabilization and Tenant Protection Ordinance (RRSO), state law, and Hayward Municipal Code (HMC).

Simplifying Payments & Clarifying Relocation Assistance Requirements

Temporary Relocation Assistance
Staff recommend simplifying the provisions for the Temporary Relocation Payment to be a flat rate of three times the FMR based on the unit size (e.g., one-bedroom, two-bedroom, three-bedroom, four-bedroom). A flat rate based on this amount would be the equivalent to one-month of per-diem payment schedule. Moreover, the flat rate would eliminate the monitoring for ongoing payment, in which there is no guarantee that a landlord would pay obligated relocation assistance. Importantly, if the duration of the temporary relocation lasts fewer than 30 days, the landlord would be responsible for paying the prorated flat rate based on the number of days the tenant is displaced. Tenants would have no obligation to pay rent during the time they are displaced and the amount of money provided is estimated to be sufficient to cover hotel costs for a short-term displacement or establish a new temporary tenancy for longer-term displacement. Furthermore, staff recommend removing provision that requires landlords to pay permanent relocation assistance in addition to temporary relocation assistance if the tenant chooses to permanently relocate because the proposed flat rate amount would provide tenants with sufficient funds to find alternative, permanent housing. Additionally, the compounding benefit has caused confusion regarding

3 July 13, 2021 City Council Staff Report and Materials:
https://hayward.legistar.com/LegislationDetail.aspx?ID=5028015&GUID=E0215022-6A47-486F-81C4- 9BFB2583AE10&Options=&Search=

4 September 19, 2024 HPRC Meeting Agenda and Materials:
https://hayward.legistar.com/LegislationDetail.aspx?ID=6864691&GUID=CEAEEB8B-A6F0-42E5-B437- 28426E9EF1EF&Options=&Search=

the amount owed and when. Table 2 provides the amount of temporary relocation assistance based on 2025 Fair Market Rents.

Table 2. FY 2025 FMRs and Proposed Flat Rate Temporary Relocation Assistance Unit Type Per Diem Proposed Flat Rate Proposed Flat Rate (Daily)*
Efficiency $194 $5,811 $194
1-Bed $194-$226 $6,603 $220
2-Bed $258 $8,046 $268
3-Bed $258-$290 $10,296 $343
4-Bed $322 $12,231 $408
*Values are rounded to the nearest dollar
However, a landlord can avoid paying relocation assistance under the TRAO if they are able to provide a comparable rental unit (e.g., similar in size or larger, same number of bedrooms or more, and similar amenities).5 Staff do not recommend making any changes to the TRAO’s provisions for a comparable unit to continue to allow alternative means of compliance.

Governmental Agency’s Order to Vacate
Under the TRAO, Governmental Agency’s Order to Vacate is a type of temporary relocation that the City directly enforces to ensure that tenants displaced due to habitability concerns have resources to find immediate emergency housing. Tenants that are eligible for relocation assistance under this section are also eligible for relocation assistance under state law, which requires that landlords pay the tenants two times the FMR, a utility deposit and the tenants’ deposit. The relocation assistance obligated by both the City and the State is necessary to provide tenants with the financial resources needed to quickly relocate. Staff recommend making an explicit reference to requirements under state law, as is the current practice, to clarify that both City and State relocation is required to be paid to the tenant.

Additionally, to simplify the implementation, staff also recommend using the same deadlines established in state law for consistency.

Improving TRAO’s Consistency

Definitions

Currently, the ordinance relies on some definitions established in the RRSO to interpret the TRAO. Staff recommend adding an explicit cross reference to the defined terms shared by the RRSO and the TRAO.

5 Sec. 12-2.04(e) of the Tenant Relocation Assistance Ordinance:
https://library.municode.com/ca/hayward/codes/municipal_code?nodeId=HAYWARD_MUNICIPAL_CODE _CH12HO_ART2TEREAS_S12-2.04TEREAS

Timeframes

Currently, the Ordinance prescribes timeframes for certain obligations for the landlord, tenant, and staff. These timeframes vary by the nature of the action, and they can cause confusion for staff to enforce. For instance, some areas of the ordinance clarify a deadline contingent on “calendar days” whereas other areas discuss “business days” or simply “days” . Thus, staff are proposing changing these deadlines to consistently mention “calendar days” (adjusting the number of days as appropriate). The following list includes major timeframes and deadlines that staff proposes modifying:
 Allowing the Hearing Office to provide a written appeal decision to the City within 30 calendar days unless otherwise agreed to by all parties to the City as opposed to mailing the decision within 20 days of the conclusion of the hearing.  If applicable, including an additional 14 calendar days to mail out a translated appeal decision after mailing out the original decision Administrative Hearings
Appeal Hearing
Under the TRAO, landlords can appeal the City’s determination that relocation assistance is required, and tenants can appeal the decision that relocation assistance is not required.

There is no corresponding fee for this appeal hearing; however, this is inconsistent with other sections of the HMC. Staff recommend modifying the TRAO to be consistent with other sections of the HMC. Staff would propose using the Code Enforcement Administrative Hearing Fee established in the Master Fee Schedule.6 To address concerns related to accessibility, a hardship policy could be implemented to ensure that the cost would not deny access to due process.

Assessment Hearing
When the City pays relocation assistance on behalf of the landlord because of a landlord’s failure to pay, staff are required to hold an administrative hearing before initiating cost recovery through an assessment. This process is inconsistent with other City cost recovery processes that require the property owner to request a hearing and pay the applicable hearing fee. Staff recommend making the process consistent with other City collection processes and only conducting the hearing upon request.

Feedback from the HPRC
HPRC members agreed with staff’s proposals to simplify the TRAO and provided additional considerations to include. It was recommended to include a penalty for landlords who do

6 Adopted FY 2025 Master Fee Schedule:
https://www.hayward-ca.gov/sites/default/files/documents/fs-adopted-fy2025-master-fee-schedule.pdf

not comply with the relocation requirements in a timely manner to disincentivize non- payment which increases city costs to enforce the TRAO. Based on HPRC recommendation, staff proposes adding a $1000 penalty to the master fee schedule to be collected if a landlord fails to pay relocation assistance in a timely manner, recovering 95% of staff costs associated with case management and collections.

Another HPRC member suggested that the City considers providing financial assistance to help landlords address habitability concerns. There was some support for this proposal if the funds could be used to create restricted affordable units. However, there is no current funding source that could contribute to such a program. If the full Council would like to explore such a program, the HPRC could add the topic as a future agenda item for discussion.

Appropriating Revenue from Relocation Assistance Reimbursements Staff recommend appropriating $29,858 in funds for relocation assistance. These funds are reimbursements from landlords to the City, following the City’s disbursement of relocation assistance who vacated due to a governmental agency’s order to vacate and the landlord’s failure to pay. The relocation assistance fund is close to being fully expended. Thus, appropriating these funds may provide tenants displaced from a governmental agency’s order to vacate relief in finding alternative housing.

Conclusion
Staff have proposed modifying the TRAO to simplify components while maintaining the level of benefit that tenants are entitled to under the current TRAO. The following changes pertain to payments, definitions, timeframes, and administrative hearings:
 Modifying the temporary relocation payment from per diem requirements to a one- time flat rate of three times the Fair Market Rate (FMR) (prorated if relocation lasts fewer than 30 days)
 Explicitly stating that relocation assistance for governmental agency’s order to vacate requires relocation assistance required by state law in addition to City’s requirements
 Aligning the timeframes for relocation assistance based on a governmental agency’s order to vacate with state law
 Cross referencing defined terms shared by the Residential Rent Stabilization and Tenant Protection Ordinance (RRSO) and the TRAO
 Changing timeframes references to consistently indicate “calendar days”  Implementing a penalty fee of $1,000 for landlords who do not provide relocation assistance in a timely manner for cases relating to a governmental agency’s order to vacate
 Implementing a fee for appeal hearings except in cases of hardship and modifying the assessment process to only conduct hearings upon request consistent with these processes referenced elsewhere in the Hayward Municipal Code (HMC) Finally, staff recommend appropriating $29,858 in reimbursements for relocation assistance.

ECONOMIC IMPACT
There is an expected economic impact to landlords who may be required to pay temporary or permanent relocation assistance.

STRATEGIC ROADMAP
This agenda item supports the Strategic Priority of Preserve, Protect & Produce Housing.

Specifically, this item relates to the implementation of the following project:

Project HP10: Simplify the Relocation Assistance Ordinance to improve compliance and increase funding for Emergency Relocation Assistance

FISCAL IMPACT
This public hearing report does not propose any changes that would create a fiscal impact on the City’s General Fund.

Staff recommends appropriating $29,858 in revenue funds received from landlords reimbursing the City for relocation assistance cases.

PUBLIC CONT ACT
The Housing Division has proposed these changes based on feedback received and experiences in day-to-day implementation of the TRAO. Staff receives inquiries from tenants and landlords regarding the provisions of the ordinance. No additional stakeholder engagement has been conducted.

NEXT STEPS
If the proposed legislation is approved, the second reading will take place on December 17, 2024 and take effect thirty days after adoption.

Prepared by: Ayush Patel, Management Analyst I

Recommended by: Sara Buizer, AICP, Director of Development Services Christina Morales, Deputy Director of Development Services

Approved by:

_________________________________
Dustin Claussen, Interim City Manager

ATTACHMENT II

Page 1 of 6 ends

Tenant Relocation Assistance Ordinance Summary

The proposed Tenant Relocation Assistance Ordinance creates Article 2 of Chapter 12 of the Hayward Municipal Code. Chapter 12, Article 1, contains the Residential Rent Stabilization and Tenant Protection Ordinance, enacted by City Council on July 25th, 2019. Table 2 summarizes each section of the proposed Tenant Relocation Assistance Ordinance.

Permanent Relocation Assistance

Requires that a landlord pay relocation assistance within 15 days of servicing notice to terminate tenancy to a tenant displaced as the result of a no-fault eviction. Landlords may do one of the following:
 Provide a direct payment in the amount of one month’s rent  Waive the payment of the final month’s rent

If landlords do not provide the required relocation assistance for no-fault just cause evictions, the termination notice they issue will be void.

If a tenant does not leave the unit after the notice to terminate expires, the landlord can recover assistance payments as damages.

Temporary Relocation Assistance

Requires that a landlord pay temporary relocation assistance within 3 days of servicing notice that tenant will be temporarily displaced as the result of:
 Substantial repairs being made to the unit, or
 A governmental agency (e.g., Code Enforcement) orders the tenant to vacate or the tenant vacates due to health/safety conditions

If a tenant does not agree to leave the unit, landlords may act to temporarily terminate the tenancy. In that case, tenants are still eligible for temporary relocation assistance.

Alternately, the landlord can offer a comparable housing unit. Landlords must still pay moving assistance.

Payment of temporary relocation assistance. Tenants may choose to receive relocation payments and continue paying rent, or to not receive relocation payments and not pay rent.

Temporary relocation assistance is provided on a per diem basis, meaning payments are to be made for every day a tenant household is displaced. Council may periodically change the per diem rates by resolution. Current proposed rates are:
 Hotel or motel - $161, per day per household
 Meal expenses - $32, per day per person
 Laundry - $1, per day per household
 Pet - $31 for cat, $56 for dog, per day per animal

ATTACHMENT II

Page 2 of 6 ends

Payment of temporary relocation assistance when displacement exceeds 60 days. When tenants are temporarily vacated due to substantial repairs and repairs are not made within 60 days, tenants who opted to not receive payments shall begin receiving payments and will be required to pay rent again. When repairs are not made within 120 days, the landlord must make rent differential payments and tenants will not be required to pay rent. Rent differential payments are the difference between a tenant’s rent at the time of displacement and the fair market rent. Error! Reference source not found. lists the current Department of Housing and Urban Development (HUD) fair market rents for Alameda County.

Table 1. Fiscal Year 2025 Alameda County Fair Market Rents (FMRs) by Unit Bedrooms Efficiency One-
Bedroom
Two-
Bedroom
Three-
Bedroom
Four-
Bedroom
$1,937 $2,201 $2,682 $3,432 $4,077

Landlords are not liable for temporary relocation payments:
 If a governmental agency determines a unit needs to be vacated because of a natural disaster, such as a fire, flood, or earthquake.
 If a governmental agency determines that the tenant or guest of the tenant caused or substantially contributed to the damage, the landlord is not required to pay assistance.

Appeals. Landlords can file an appeal with the Rent Review Officer for the following decisions:
 Whether or not the landlord caused or contributed to conditions leading to an order to vacate
 Whether or not a tenant or guest of the tenant caused or contributed to the conditions leading to an order to vacate
 The Rent Review Officer’s determination of if there are health or safety conditions necessitating the tenant to vacate without an order to do so  If a comparable unit qualifies as comparable under the ordinance  If a tenant has good cause to vacate a comparable unit after 120 days

Noticing

Landlords must provide the tenants within 30 days of the effective date of the new ordinance a copy of the Tenant Relocation Assistance Ordinance or a summary prepared by the City.

Any time a landlord provides a tenant with a notice to terminate, the landlord is required to notify tenants that they may be eligible for relocation assistance.

ATTACHMENT II

Page 3 of 6 ends

The following table provides a section-by-section summary of the entire Tenant Relocation Assistance Ordinance, which includes both permanent and temporary relocation assistance.

Table 2. Tenant Relocation Assistance Ordinance Summarized by Section No. Title Summary
12-2.01 Title  The Ordinance is titled and can be referred to as the Tenant Relocation Assistance Ordinance
12-2.02 Definitions
 Some key definitions introduced in this section include:
o Health or safety conditions: Conditions, not caused by the tenant that would reasonably affect tenant health or safety
o Qualified tenant household: Households with a tenant displaced for eligible reasons who is a senior (62 and older), disabled, has at least one child under 18, resides in a lower income household, or has a terminal disease and is displaced through owner move-in
o Rent differential payment: The difference between a tenant’s rent at the time of displacement and the fair market rent as established by the Section 8 Housing Choice Voucher Program
12-2.03 Permanent Relocation
Assistance
 Written to align with the permanent relocation assistance provided for in the Tenant Protection Act (TPA), requires landlords to pay relocation assistance for no-fault just cause evictions as outlined in the RRSO or in state or federal law  Landlords may choose to provide payments in the form of:
o Direct payment of one month’s rent
o Waiver of the final month’s rent
 Landlords issuing a no-fault just cause eviction must notify the tenant of their right to relocation assistance and must pay assistance within 15 days of notice  Assistance payments may be recovered as damages if the tenant fails to vacate after expiration of the notice to terminate
 If a landlord fails to comply with this section, the notice of termination is void 12-2.04 Temporary Relocation
Assistance
 This section outlines three scenarios in which a landlord must pay temporary relocation assistance:

ATTACHMENT II

Page 4 of 6 ends

No. Title Summary
o (a) Temporary vacation to undertake substantial repairs and the tenant agrees to vacate
o (b) Temporary vacation to undertake substantial repairs and the tenant does not agree to vacate
o (c) A Governmental Agency Order to Vacate or a tenant vacates due to health or safety conditions
 In both (a) and (b) the landlord must pay temporary relocation payments immediately. If tenants choose to accept relocation payments, they must continue paying rent; however, they may choose not to receive payments and in that case are not required to pay rent until they re-occupy the unit. o If tenants were not receiving payments, landlords are required to make the payments after 60 days of work and tenants must begin paying rent again. o If work is not complete after 120 days, landlords must make rent differential payments to the tenant until the tenant re-occupies the unit or finds other permanent housing. Tenants are not obligated to pay rent when receiving rent differential payments.
o In the case of (b), the landlord may take action to terminate the tenancy temporarily.
 In (c), if work takes longer than 60 days the landlord must make rent differential payments to the tenant until the tenant re-occupies the unit or finds other permanent housing.
 Landlords are not liable for payments if a tenant must be vacated due to a natural disaster or if the tenant or a guest caused or substantially contributed to condition
 Landlords may offer a comparable unit in lieu of making temporary relocation payments. In this instance, landlords must pay reasonable and documented moving expenses and must make relocation payments until the tenant occupies the comparable unit. Tenants may vacate the comparable unit after 120 days and landlords are obligated to make rent differential payments.  12-2.04(g) describes a detailed appeals process for the above subsections.

ATTACHMENT II

Page 5 of 6 ends

No. Title Summary
12-2.05 Notice of Entitlement to
Payment
 Notice to terminate a tenancy temporarily must be accompanied by notice that tenants are entitled to temporary relocation assistance o Landlords must provide a temporary relocation payment form, a rent differential payment form, and a permanent relocation form  Relocation payments must be made within two business days of a tenant’s vacating the unit
12-2.06 Amount of Relocation
Payment
 Temporary relocation assistance payment and rent differential payment amounts will be determined periodically by Council Resolution
o Current proposed amounts for temporary relocation payments are:
 Hotel or motel - $161, per day per household
 Meal expenses - $32, per day per person
 Laundry - $1, per day per household
 Pet - $31 for cat, $56 for dog, per day per animal
o Council may adopt greater relocation payment amounts for a qualified tenant household
12-2.07 Distribution of Relocation
Payment to Eligible Tenants
 For permanent relocation payments, the landlord must pay half of the payment within three business days after the tenant informs in writing that they will vacate and the other half after the tenant has vacated
 For temporary relocation payments, the landlord must make cumulative per diem payments every four weeks that a tenant is displaced
12-2.08
Prohibition Against
Agreements and Waiver of
Rights Under this Article
 Landlords are not allowed to enter into an agreement with that limits or prevents the tenant from communicating with the City
 Landlords are not allowed to secure a waiver from the tenant of any part of the ordinance
12-2.09 Coordination with Other
Relocation Requirements
 If a tenant gets relocation assistance from another government agency, that amount will be credited against the amount owed by the landlord 12-2.10 Remedies  This section outlines the options for landlords and tenants who believe provisions of the ordinance have been violated
12-2.11 Recovery of Costs
 If the Rent Review Officer provides relocation payments in place of a landlord, then the City may place the payments on the landlord’s property tax rolls after giving warning notice. Section 12-2.11 details this process, including provision of

ATTACHMENT II

Page 6 of 6 ends

No. Title Summary
a hearing to determine if an assessment or lien should be imposed on the landlord’s property.
12-2.12 Exceptions
 12-2.03 does not apply to properties exempted under section 1946.2(e) of the State’s Tenant Protection Act
 12-2.04 does not apply to rental units exempted under 12-1.04(v) 1-3 of the revised RRSO
12-2.13 Notice of Ordinance  Landlords must notify all current tenants of this ordinance within 30 days of its effective date and must provide notice prior to re-renting a unit 12-2.14 Administrative Regulations
 The Rent Review Officer may add or change regulations for the administration and implementation of the Ordinance and may create any forms to facilitate its administration

ATTACHMENT III

ORDINANCE NO. 24-__

AN ORDINANCE OF THE CITY OF HAYWARD, CALIFORNIA AMENDING CHAPTER 12, ARTICLE 2 OF THE HAYWARD MUNICIPAL CODE RELATING TO

TENANT RELOCATION ASSISTANCE

THE CITY COUNCIL OF THE CITY OF HAYWARD DOES ORDAIN AS FOLLOWS:

Section 1. Chapter 12, Article 2 of the Hayward Municipal Code is hereby repealed in its entirety and replaced as follows:

SEC. 12-2.01 TITLE

This Article shall be known and may be referred to and cited as the Tenant Relocation Assistance Ordinance.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.02 DEFINITIONS

(a) "Disabled" has the same meaning as in Section 12955.3 of the Government Code. (b) “Fair Market Rent” means the amount of money that would cover gross Rents (Rent and utility expenses), adjusted by unit size, on forty (40) percent of the Rental housing units in an area as defined in 24 CFR 5.100 and published by HUD for Alameda County. (c) "Health or safety conditions" means conditions in a Rental Unit, not caused by a Tenant, the occupants of the Rental Unit or the invitees/guests of the Tenant, such as flooding, fire damage or smoke damage, that reasonably would affect the health or safety of the Tenant if the Tenant were occupy the Rental Unit while the conditions exist.
(d) “Housing Services” means a service provided by the Landlord related to the use o r occupancy of a Rental Unit, including but not limited to, insurance, repairs, replacement, maintenance, painting, lighting, heat, water, elevator service, laundry facilities, janitorial service, refuse removal, furnishings, parking, security service, and employee services.
(e) "Landlord" means any owner, lessor, or sublessor of real Property who receives or is entitled to receive Rent for the use or occupancy of any Rental Unit or portion thereof in the City of Hayward, and the designated representative, agent, or successor of such owner, lessor, or sublessor.
(f) "Relocation Payment" means the payment required to be paid by a Landlord for any of the reasons set forth in Section 12 -2.03 or 12 -2.04 of this Code, separate from any security or other refundabl e deposits as defined in California Civil Code Section 1950.5.

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(g) “Rent” means the total consideration, including any bonus, benefit, gratuity, demanded or received by a Landlord for or in connection with the use or occupancy of a Rental Unit, or the ass ignment of a lease for such a unit, including Housing Services or subletting, but excluding a Security Deposit.
(h) "Rent Review Officer" means the person or persons and/or entity designated by the City Manager to administer and enforce the provisions of this ordinance. (i) “Rental Unit” means any building, structure, or part thereof, or appurtenant thereto, or any other Rental Property rented or offered for Rent for living or dwelling purposes, including houses, apartments, rooming or boarding house units , and other real properties used for living or dwelling purposes, together with all Housing Services connected with the used or occupancy of such property. For purposes of this ordinance, a Rental Unit shall not include the following:
(1) A mobile home or mobile home space;
(2) Accommodations in any hospital, extended care facility, convalescent home, nonprofit home for the aged, or dormitory owned and operated by either an educational institution or a private organization which offers spaces in rooms for Rent in conjunction with the providing of services such as meals, cleaning services, and social programs;
(3) Accommodations in motels, hotels, inns, tourist houses, rooming houses, and boarding houses; provided that such accommodations are not occupied by the same Tenant for thirty (30) or more continuous days.
(j) "Security Deposit" means any payment, fee, deposit or charge, including but not limited to an advance payment of Rent, used or to be used for any purpose, including but not limited to, any of the following:
(1) Compensation of a Landlord for a Tenant's default in the payment of Rent; (2) The repair of damages to the premises caused by the Tenant beyond ordinary wear and tear;
(3) The cleaning of the Rental Unit, if necessary, upon termination of tenancy; provided, however, that the term Security Deposit shall not include any fee or charge pursuant to any mutual agreement for the Landlord at the request of the Tenant to make any structural, decorative, furnishing, or other similar alterations as long as such alterations are other than that cleaning or repairing for which the Landlord may charge the previous Tenant under California law. (k) "Senior citizen" means any person aged 62 and older. (l) "Temporary Relocation Payment" means the payment required to be paid to a Tenant by any Landlord pursuant to Section 12-2.04 of this Code. (m) “Temporary Relocation Assistance” means making a Temporary Relocation Payment for a temporary, short-term, displacement or the offer of a comparable unit pursuant to Section 12-2.04 of this Code.

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(n) “Tenant” means a Tenant, subtenant, lessee, or sublessee, or any other person entitled by written or oral agreement to the use or occupancy of any Rental Unit or Covere d Rental Unit
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.03 PERMANENT RELOCATION ASSISTANCE.

(a) For a tenancy for which just cause is required to terminate the tenancy under Section 12-1.13 of this Code, if a Landlord issues a termination notice based on a no-fault just cause described in paragraph (8), (9), or (10) of Section 12 -1.13(b), or based on one or more grounds for no-fault eviction authorized by state or federal law, the Landlord shall, regardless of the Tenant's income, at the owner's option, do one of the following:
(1) Assist the Tenant to relocate by providing a direct payment to the Tenant as described in Section 12-2.03(b).
(2) Waive in writing the payment of Rent for the final month of the tenancy, prior to the Rent becoming due.
(b) If a Landlord issues a notice to terminate a tenancy for no -fault just cause described in paragraph (8), (9), or (10) of Section 12-1.13(b), or based on one or more grounds for no-fault eviction authorized by state or federal law, the La ndlord shall notify the Tenant of the Tenant's right to relocation assistance or Rent waiver pursuant to this section. If the Landlord elects to waive the Rent for the final month of the tenancy as provided in Section 12 -2.03(a)(2), the notice shall state the amount of Rent waived and that no Rent is due for the final month of the tenancy. (1) The amount of relocation assistance or Rent waiver shall be equal to one month of the Tenant's Rent that was in effect when the Landlord issued the notice to terminate the tenancy. Any relocation assistance shall be provided within fourteen (14) calendar days of service of the notice.
(2) If a Tenant fails to vacate after the expiration of the notice to terminate the tenancy, the actual amount of any relocation assistance or Rent waiver provided pursuant to this subdivision shall be recoverable as damages in an action to recover possession.
(3) The relocation assistance or Rent waiver required by this subdivision shall be credited against any other relocation assistance required by any other law. (d) Notwithstanding Section 12-2.03(a), if a Landlord issues a termination notice based on a no -fault just cause described in Section 12 -1.13(b)(8) for the purpose of demolishing the existing Rental Units in order to build new residential units, a Landlord must also comply with relocation requirements set forth in California Civil Code section 66300.6.
(e) A Landlord's failure to strictly comply with this section shall render the notice of termination void.

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(f) A Landlord shall within seven (7) calendar days of providing a Tenant with a permanent Relocation Payment as described in Section 12 -2.03(a) and Section 12 -

2.03(b), file with the Rent Review Officer proof of payment setting forth the time, date, and amount of payment.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.04 TEMPORARY RELOCATION ASSISTANCE.

(a) This Section applies when the Landlord, after having obtained all necessary permits from the City of Hayward, seeks in good faith to undertake substantial repairs and where such repairs cannot be completed while the Tenant resides on the premises. (b) Notice of Entitlement to Temporary Relocation Assistance (1) Any notice to terminate a tenancy temporarily which is served by a Landlord to a Tenant for any of the reasons set forth in this Section shall be accompanied by the appropriate completed Notice of Entitlement to a Temporary Relocation Assistance form available on the Rent program website. As to any Tenant who vacates a Rental Unit for any of the reasons set forth in Section 12 -2.05(a), the Landlord must provide to the Tenant within seven (7) calendar days of receipt of the order to vacate the appropriate completed Notice of Entitlement to a Temporary Relocation Assistance, available on the Rent program website. (2) A Notice of Entitlement to a Temporary Relocation Assistance form shall include a written statement of the rights and obligations of Tenants and Landlords under this Article, a summary of the repairs to be undertaken and the estimated duration of relocation. The Landlord shall notify the Tenant when repairs are completed and provide the Tenant with the first right of refusal to re-occupy the unit pursuant to Section 12-1.13(b)(7) of this Code. If the estimated duration of relocation changes, the Landlord shall provide the Tenant with at least seven (7) calendar days' advance notice of such a change.
(3) All Landlords shall be required to file with the Rent Review Officer a copy of the notice of entitlement described in this Sectio n 12 -2.04 within thirty (30) calendar days of serving the Tenant such notice. A proof of service with time and date of service of such notice shall be included with the copy of such notice filed with the Rent Review Officer.
(4) Nothing in this section shall relieve the Landlord of the Landlord's obligation to serve any notice that would otherwise be required pursuant to federal, state or local law.
(c) Temporary Relocation Payment. A Temporary Relocation Payment for displacement of thirty (30) days or lon ger shall be equivalent to three (3) times the current Fair Market Rent. For displacement fewer than thirty (30) days, the Landlord shall make a Temporary Relocation Payment prorated based on the number of days the Tenant is displaced.

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(1) If the Tenant re-occupies the Rental Unit following termination of the displacement, the Tenant shall pay the lawful Rent that was in effect when the Landlord served the notice of temporary termination of tenancy, plus any adjustments as permitted Pursuant to Chapter 12 , Article 1 of the Municipal Code.
(2) If the unit is unavailable to be reoccupied within the anticipated time frame, the Landlord will be required to provide additional prorated Temporary Relocation Payment not to exceed the Temporary Relocation Payment described in Section 12-2.04(c). If the Tenant re -occupies the Rental Unit, the Tenant shall pay the lawful Rent that was in effect when the Landlord served the notice of temporary termination of tenancy, plus any adjustments as permitted under Chapter 12, Article 1 of the Municipal Code.
(3) Payment is due based upon the one of the following conditions: (i) if the Tenant agrees to vacate the Rental Unit, payment is due immediately upon the Tenant’s acceptance to vacate the Rental Unit, or (ii) if the Tenant does not agree to vacate the Rental Unit, payment is due immediately upon Tenant’s vacation of the Rental Unit.
(4) A Landlord shall within seven (7) calendar days of providing a Tenant with a Temporary Relocation Payment as described in this subsection, file with the Rent Review Officer proof of payment with the time, date, and amount of payment.
(d) Offer of a Comparable Unit. A Landlord, in lieu of making temporary Relocation Payments, may offer the Tenant a comparable Rental Unit in Hayward while the work on the displaced Tenant's Rental Unit is being completed and the Tenant. For purposes of this subsection, a comparable Rental Unit shall mean a Rental Unit that is similar in size or larger, has the same number of bedrooms or additional bedroom(s), is located in the same geographic area of the City, has similar amenities in the Rental Unit, such as cable television or a washer/dryer, has similar amenities on the Rental Unit property, such as on-site parking, covered parking, laundry facilities or exercise facilities, allows pets if the displaced Tenant has a pet, and, as to a Tenant who is disabled, is disability accessible and ADA compliant.
(1) The Tenant, in the Tenant's sole discretion may waive any of these factors in deciding whether the Rental Unit is comparable. If the Tenant accepts the offer and occupies the comparable Rental Unit, the Tenant shall pay no more than the lawful Rent the Tenant was paying at the time the Tenant was served with the notice to temporarily terminate the tenancy or at the time the Tenant vacated the Rental Unit if a governmental agency ordered the Rental Unit vacated or due to health or safety conditions, and no notice of temporary termination of tenancy was served. If the Tenant accepts the offer, the Landlord shall p ay the Tenant's reasonable and documented moving expenses to the comparable Rental Unit and from the comparable Rental Unit to the Tenant's Rental Unit.

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(2) Good Cause to Vacate a Comparable Unit. If a Tenant has good cause to vacate the comparable Rental Unit, the Tenant shall thereafter receive a Temporary Relocation Payment from the Landlord.
(e) If the Landlord provides the Tenant with Temporary Relocation Assistance compliant with Sections 12-2.04(c) or 12-2.04(d), and the Tenant finds alternative, p ermanent housing, the Landlord is not obligated to provide permanent Relocation Payment to the Tenant.

SEC. 12 -2.05 GOVERNMENTAL AGENCY’S ORDER TO VACATE & NATURAL DISASTERS.

(a) Governmental Agency's Order to Vacate or Tenant Vacates due to health or sa fety conditions. If a Tenant has vacated a Rental Unit in compliance with a governmental agency's order to vacate affecting the health or safety of the Tenant or due to other health or safety conditions, regardless of whether the Landlord has served a notice to temporarily terminate a tenancy.
(1) The Landlord shall offer Temporary Relocation Assistance to the Tenant pursuant to Section. 12-2.04.
(2) In addition to the provisions described in subsection (1) of this section, the Landlord is required to comply with the provisions of the California Health and Safety Code sections 17975 et seq.
(3) If there is a dispute whether there are health or safety conditions and/or whether such conditions were caused by the Tenant, the occupants of the Rental Unit or the guests/invitees of the Tenant, the Rent Review Officer, after conferring with City officials or other individuals who have expertise in such matters, shall decide the dispute.
(4) Relocation Payment must be made to the Tenant within (i) 10 days after the governmental agency’s order to vacate is first mailed to the owner and posted on the premises or (ii) at least 20 days prior to the vacation date set forth in the order to vacate, whichever occurs later.
(5) If the Landlord provides the Tenant with Te mporary Relocation Assistance pursuant to Section 12 -2.04, and the Tenant finds alternative, permanent housing, the Landlord is not obligated to provide permanent Relocation Payment to the Tenant(s).
(6) If the Landlord provides the Tenant with Temporary R elocation Assistance in the form of a comparable Rent Unit and the Tenant has good cause to vacate the comparable Rental Unit, the Tenant shall thereafter receive a Temporary Relocation Payment from the Landlord. Should a dispute arise regarding the determination of good cause, the Rent Review Officer shall make such a determination.

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(7) The Landlord shall be responsible for providing Relocation Payments regardless of any past due Rent owed by the Tenant and Landlord cannot condition relocation payments on agreement to repay past due Rent (b) Natural Disasters and Tenant-caused Conditions. Notwithstanding Section 12-2.04, a Landlord shall not be liable for a Temporary Relocation Payment if the governmental agency that ordered the Rental Unit, or the structu re in which the Rental Unit is located, to be vacated determines the Rental Unit or the structure must be vacated as a result of:
(1) A fire, flood, earthquake or other natural disaster, or other event beyond the control of the Landlord and the Landlord d id not cause or contribute to the condition giving rise to the governmental agency's order to vacate. (2) Any Tenant, or the guest or invitee of any Tenant, who has caused or substantially contributed to the condition giving rise to the order to vacate.

SEC. 12-2.06 APPEALS.

(a) The following decisions may be appealed pursuant to the procedures set forth in this subsection: Whether the Landlord did not cause or contribute to the condition giving rise to the order to vacate or as to whether a Tenant, or the guest or invitee of any Tenant caused or substantially contributed to the condition giving rise to the order to vacate pursuant to Section 12 -2.05(b)(2); or whether the structure must be vacated as a result of natural disaster pursuant to Section 12 -2.05(b)(1); or whether good cause exists pursuant to section 12-2.05(a)(6)
(1) A party may appeal a decision by submitting a written request and paying an administrative hearing fee as established in the Master Fee schedule to the Rent Review Officer within fourteen (14) calendar days of receiving the decision being appealed.
(2) The Rent Review Officer shall designate a hearing officer to conduct the appeal hearing. The hearing officer shall not be a Hayward City employee. The employment, performance evalua tion, compensation, and benefits of the hearing officer, if any, shall not be directly or indirectly conditioned upon the outcome of the hearing.
(3) The appeal hearing shall be set for a date that is not more than thirty (30) calendar days from the date that the request for hearing is filed in accordance with the provisions of this chapter. The person requesting the hearing shall be notified of the time and place set for the hearing at least fourteen (14) calendar days prior to the date of the hearing.
(4) The Hearing Officer shall ensure a record of the hearing is made and shall consider all relevant evidence presented by the parties. (5) The parties shall have the opportunity to testify and present witnesses on their behalf.

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(6) After considering all of the testimony and evidence submitted at the hearing, the hearing officer shall issue a written decision. The written decision shall be prepared and provided to the City within thirty (30) calendar days of the conclusion of the hearing, unless otherwise agreed to by the parties. The City shall mail the decision to the parties within a reasonable time. The decision shall uphold or reverse the decision on appeal and shall state the reasons for that decision. The decision of the hearing officer shall be final. Should the decision of the hearing officer require translation, the City shall mail the translated decision no later than fourteen (14) calendar days after mailing out the original decision. (Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.07 PROHIBITION AGAINST AGREEMENTS AND WAIVER OF RIGHTS UNDER THIS ARTICLE.

No Landlord shall do any of the following with respect to a Tenant:
(a) Enter into an agreement or attempt to enforce an agreement with a Tenant which prohibits or limits the Tenant from participating in the City's public process, including speaking at a meeting of the City Council or any City Commission or Board, submitting written comments to the City, or otherwise communicating with City elected officials, appointed officials and employees on any subject. Any such contractual term which violates this section is against public policy and is void. (b) Unless otherwise specially authorized, no Landlord shall attempt to secure from a Tenant any waiver of any provision of this A rticle. Any agreement, whether written or oral, whereby any provision of this Article is waived, is against public policy and is void.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.08 COORDINATION WITH OTHER RELOCATION REQUIREMENTS.

Unless otherwise provided by law, if a Tenant(s) receives, as part of the termination of tenancy, relocation assistance from a governmental agency, then the amount of that relocation assistance shall operate as a credit against any Relocation Payment to be pa id to the Tenant(s) under this Article.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.09 REMEDIES.

(a) Any person or organization who believes that the provisions of this chapter have been violated shall have the right to file an action for injunctive relief and/or damages.

Whoever is found to have violated this chapter shall be subject to injunctive relief and shall be liable for damages, costs and reasonable attorney's fees. Treble damages shall be awarded for willful failure to comply with the payment obligation established by this chapter.

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(b) Nothing in this chapter shall be deemed to interfere with the right of a property owner to file an action against a Tenant or non -Tenant third party for the damage done to said owner's property.
(c) If a Landlord fails or refuses to provide Relocation Payments required by this chapter, and the Rent Review Officer through adopted regulations chooses to provide such Relocation Payments to a Tenant in the Landlord's place, the City shall have the right to recover from the Landlord as restitution in any legal action such monetary outlays, plus administrative fees, investigative costs, costs of enforcement, and reasonable attorneys' fees incurred by the City.
(d) Any person violating this chapter sh all be required to reimburse the City its full investigative costs, costs of enforcement and reasonable attorneys' fees. (e) The recovery of the costs and fees of the items set forth in subsections (c) and (d) of this section may also be recovered as provided in Section 12-2.10. (f) These remedies are not exclusive; the remedies included in Chapter 1, Article 3, Chapter 1, Article 7, and Chapter 12, Article 1 of the Municipal Code shall apply to this Article.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.10 RECOVERY OF COSTS/PENALTY CHARGES.

(a) If (i) the Rent Review Officer has chosen to provide Relocation Payments to a Tenant in place of the Landlord as set forth in Section 12-2.09(c) and (ii) such Landlord fails or refuses to pay the City for providing Relocation Payments to a Tenant and/or th e City's investigative costs, costs of enforcement, administrative fees as established by the Master Fee schedule and reasonable attorney’s fees, the Rent Review Officer shall mail the Landlord a final request for payment for the amounts owed. The final request shall include a warning notice that if these unpaid items are not paid within thirty (30) calendar days, they will be placed on the Landlord's real property tax rolls. The warning notice shall include information concerning the additional administrat ive charges that will become due if a lien is recorded against the Landlord's property, and that the Landlord's property will be assessed on the next property tax statement if these unpaid items charged to a Landlord according to the most recent property assessment rolls of the County Assessor are unpaid.
(b) If the payment is not made by the Landlord to the City within thirty (30) calendar days of the final request for payment, the Rent Review Officer shall send a notice of opportunity for a hearing.
(1) The notice shall provide an opportunity for the Landlord, within fourteen (14) calendar days of the notice’s issuance, to request a Lien/Special Assessment Hearing with a Hearing Officer. The Landlord will bear the cost of the hearing pursuant to the City’s Master Fee schedule.

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(2) The scope of the Lien/Special Assessment Hearing shall be limited to compliance with the requirements of this Section. Upon completion of the requested hearing, the Hearing Officer may make the modifications in the proposed lien/special assessment as deemed necessary and shall issue a final decision including the amount to be assessed to be assessed against the property.
(c) The City Clerk shall post a copy of the report and lien and special assessment list on the bulletin board designated for the posting of agendas for City Council meetings together with a notice of filing thereof and of the time and place when and where it will be submitted to the City Council for confirmation by way of resolution. A notice shall also be publis hed once in a newspaper of general circulation that is published and circulated with the City. The posting and first publication of the notice shall be made and completed at least ten (10) calendar days before the time the report is considered by the City Council.
(d) After City Council confirmation of the fees charged, the same shall become a lien or special assessment against the property affected. A copy of the report and lien/special assessment list shall be given to the City Finance Director, who may receive payment thereon until a list of unpaid assessments shall have been sent annual to the County Auditor for effecting collection on the tax roll at the time and in a manner of ordinary municipal taxes. The descriptions of the property reported shall be those used for the same property on the County Assessor’s map books for the current year. All laws and ordinances applicable to the levy, collection, and enforcement of City taxes are hereby made applicable to the assessment hereby imposed, and the special assessment shall have priority of the taxes with which it is collected.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.11 EXCEPTIONS.

(a) The provisions of Section 12 -2.03 shall not apply to residential real properties or residential circumstances described in Civil Code section 1946.2(e). (b) The provisions of Section 12 -2.04 shall not apply to residential real properties or residential circumstances described in Section 12-1.04(v)(1)—(3). (Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.12 NOTICE OF ORDINANCE.

(a) Within thirty (30) calendar days after the effective date of this ordinance, each Landlord shall notify all current Tenants of the applicability of this ordinance. The Landlord shall have complied with the affirmative obligation to notify a Tenant under this section by providing (1) written notice that the Rental Unit is subject to this ordinance and, (2) a current copy of this Ordinance or summary thereof provided by the City. A Landlord shall provide notice of this Article to Tenants in accordance with Sections 12-1.13(d), and 12-1.15(f) of this Code. Notice shall be given in the manner prescribed by California Code of Civil Procedure Section 1162.

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(b) Each Landlord shall notify the Tenant of the applicability of this Ordinance prior to re-Renting a Renta l Unit. The Landlord shall have complied with the affirmative obligation to notify a Tenant under this section by providing (1) written notice that the Rental Unit is subject to this Ordinance and, (2) a current copy of this Ordinance or summary thereof provided by the City.
(Amended by Ordinance 20-15, adopted July 21, 2020)

SEC. 12-2.13 ADMINISTRATIVE REGULATIONS.

The Rent Review Officer may adopt or amend regulations for the administration and implementation of this Article. The Rent Review Officer, with the approval of the City Attorney, may adopt any forms and notices specified in this Article to facilitate the administration and implementation thereof.
(Amended by Ordinance 20-15, adopted July 21, 2020)

Section 2. California Environmental Quality Act (CEQA).

The City Council independently finds and determines that this action is exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines, as an activity that is covered by the general rule that CEQA applies only to projects which have the potential for causing a significant effect on the environment. The general exemption applies in this instance because it can be seen with certainty that there is no possibility that the Attachment II 2 of 3 proposed amendments could have a significant effect on the environment, and thus are not subject to CEQA. Thus, it can be seen with certainty that the proposed project would not have a significant effect on the environment.

Section 3. If any section, subsection, paragraph or sentence of this Ordi nance, or any part thereof, is for any reason found to be unconstitutional, invalid or beyond the authority of the City of Hayward by a court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance.

Section 4. Pursuant to Section 620 of the Charter of the City of Hayward, this Ordinance shall become effective thirty (30) days from the date of its adoption by the City Council.

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INTRODUCED at a regular meeting of the City Council of the City of Hayward, held the _____ day of _____, 2024, by Council Member __________________________.

ADOPTED at a regular meeting of the City Council of the City of Hayward, held the _____ day of _____, 2024, by the following votes of members of said City Council.

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED:

_____________________________________________________
Mayor of the City of Hayward

DATE: _____________________________________________

ATTEST:

_____________________________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

_________________________________________
City Attorney of the City of Hayward

ATTACHMENT IV

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION AUTHOR IZING THE AMENDMENT TO RESOLUTION 24-197, THE RESOLUTION FOR THE CITY OF HAYWARD FISCAL YEAR 2025 MASTER FEE SCHEDULE ASSOCIATED WITH THE ADMINISTRATION OF CHAPTER 12, ARTICLE 2 OF THE HAYWARD MUNICIPAL CODE REGARDING THE TENANT

RELOCATION ASSISTANCE ORDINANCE

WHEREAS, Section 15273 of the California Environmental Quality Act (CEQA) Guidelines states that CEQA does not apply to the establishment, modification, structuring, restructuring, or approval of rates, tolls, fares, and other charges by public agencies which the public agency finds are for the purposes of:

1. Meeting operating expenses, including employee wage rates and fringe benefits;

2. Purchasing or leasing supplies, equipment, or materials;

3. Meeting financial reserve needs and requirements;

4. Obtaining funds necessary for capital projects necessary to maintain service within existing services areas; or

5. Obtaining funds necessary to maintain intra -city transfers as are authorized by city Charter; and

WHEREAS, The City Council finds and determines that this action is exempt from CEQA based on the foregoing provisions; and

WHEREAS, In November 2010, California voters approved Proposition 26, which amended Article XIII C of the State constitution regarding the adoption of fees and taxes.

Proposition 26 seeks to assure that taxes, which much be approved by the voters , are not disguised as fees, which can be approved by legislative bodies, such as a city council. The proposed amendment to the Master Fee Schedule (MFS) is compliant.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Hayward hereby adopts certain changes in the Master Fee Schedule relating to fees paid to the City by landlords for evading relocation assistance payments owned to tenants due to a governmental agency’s order to vacate related to the implementation of the Tenant Relocation Assistance Ordinance, as reflected in Exhibit A.

ATTACHMENT IV

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IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: _______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward

ATTACHMENT IV

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Exhibit A

2. TENANT RELOCATION ASSISTANCE ORDINANCE HEARINGS
b. Non-payment penalty fee $1000

ATTACHMENT V

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HAYWARD CITY COUNCIL

RESOLUTION NO. 24-____

Introduced by Council Member __________

RESOLUTION AUTHORIZING THE APPROPRIATION OF $29,858 IN REVENUE

FUNDS FROM LANDLORD REIMBURSEMENTS TO THE CITY FOR TENANT RELOCATION ASSISTANCE DUE TO A GOVERNMENTAL AGENCY’S ORDER TO VACATE AFTER LANDLORDS’ FAILURE TO PAY

WHEREAS, Chapter 12, Article 2 (Tenant Relocation Assistance Ordinance) of the Hayward Municipal Code requires that landlords provide relocation assistance to tenants when a tenant is displaced due to a no -fault eviction , to temporarily displace ten ants to complete need repairs, or in response to government order to vacate; and

WHEREAS, Chapter 12, Article 2 (Tenant Relocation Assistance Ordinance) of the Hayward Municipal Co de authorizes the City to provide tenants with relocation assistance when the landlord fails or refuses to provide relocation payments to a tenant due to a government agency’s order to vacate; and

WHEREAS, the City allocated American Rescue Plan Act funds to provide emergency relocation assistance to tenants displaced from rental units due to a governmental agency’s order to vacate or natural disaster; and

WHEREAS, the City has disbursed relocation assistance funds to tenant on behalf of landlords and received reimbursements in total of $29,858; and

WHEREAS, the City wishes to continue to provide emergency relocation assistance from the funds repaid to the City; and

NOW, THEREFORE , BE IT RESOLVED that the City Council of Hayward hereby appropriates $29,858 in revenue fun ds from landlord reimbursements for relocation assistance due to a governmental agency’s order to vacate and allocates $29,858 to the emergency relocation assistance program.

ATTACHMENT V

Page 2 of 2 ends

IN COUNCIL, HAYWARD, CALIFORNIA _______________________, 2024

ADOPTED BY THE FOLLOWING VOTE:

AYES: COUNCIL MEMBERS:

MAYOR:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ATTEST: _______________________________________
City Clerk of the City of Hayward

APPROVED AS TO FORM:

__________________________________________
City Attorney of the City of Hayward
ARTICLE 2 TENANTTENANT RELOCATION ASSISTANCE

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ARTICLE 2 TENANTTENANT RELOCATION ASSISTANCE
SEC. 12‐2.01 TITLE
This Article shall be known and may be referred to and cited as the TenantTenant Relocation Assistance Ordinance.
(Amended by Ordinance 20‐15, adopted July 21, 2020)
SEC. 12‐2.02 DEFINITIONS
(a) "Disabled" has the same meaning as in Section 12955.3 of the Government Code. (a)
(b) “Fair Market Rent” means the amount of money that would cover gross Rents (Rent and utility expenses), adjusted by unit size, on forty (40) percent of the Rental housing units in an area as defined in 24 CFR 5.100 and published by HUD for Alameda County.
(b) "Health or safety conditions" means conditions in a rental unitRental Unit, not caused by a tenantTenant, the occupants of the rental unitRental Unit or the invitees/guests of the tenantTenant, such as flooding, fire damage or smoke damage, that reasonably would affect the health or safety of the tenantTenant if the tenantTenant were occupy the rental unitRental Unit while the conditions exist. (c)
(d) “Housing Services” means a service provided by the Landlord related to the use or occupancy of a Rental Unit, including but not limited to, insurance, repairs, replacement, maintenance, painting, lighting, heat, water, elevator service, laundry facilities, janitorial service, refuse removal, furnishings, parking, security service, and employee services.
(e) "Landlord" means any owner, lessor, or sublessor of real Property who receives or is entitled to receive Rent for the use or occupancy of any Rental Unit or portion thereof in the City of Hayward, and the designated representative, agent, or successor of such owner, lessor, or sublessor. (c) "Relocation Ppayment" means the payment required to be paid by a landlordLandlord for any of the reasons set forth in Section 12‐2.03 or 12‐2.04 of this Code, separate from any security or other refundable deposits as defined in California Civil Code Se
ction 1950.5.
(f)
“Rent” means the total consideration, including any bonus, benefit, gratuity, demanded or received by a Landlord for or in connection with the use or occupancy of a Rental Unit, or the assignment of a lease for such a unit, including Housing Services or subletting, but excluding a Security Deposit."Rent differential payment" means the difference between the lawful rent that the tenant was paying at the time of displacement and the fair market rent, as established by the payment standards for the Section 8 Housing Choice Voucher Program in the City of Hayward based on rental market information published each year by the U.S. Department of Housing and Urban Development, for a comparable rental unit based on the number of bedrooms. (g)
(h) "RentRent Review Officer" means the person or persons and/or entity designated by the City Manager to administer and enforce the provisions of this ordinance. (d) “Rental Unit” means any buil
ding, structure, or part thereof, or appurtenant thereto, or any other Rental Property Rented or offered for Rent for living or dwelling purposes, including houses, apartments, rooming

ATTACHMENT VI

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or boarding house units, and other real properties used for living or dwelling purposes, together with all Housing Services connected with the used or occupancy of such property. For purposes of this ordinance, a Rental Unit shall not include the following:
(i)
(1) A mobile home or mobile home space;
(2) Accommodations in any hospital, extended care facility, convalescent home, nonprofit home for the aged, or dormitory owned and operated by either an educational institution or a private organization which offers spaces in rooms for Rent in conjunction with the providing of services such as meals, cleaning services, and social programs;
(3) Accommodations in motels, hotels, inns, tourist houses, rooming houses, and boarding houses; provided that such accommodations are not occupied by the same Tenant for thirty (30) or more continuous days.
(j) "Security Deposit" means any payment, fee, deposit or charge, including but not limited to an advance payment of Rent, used or to be used for any purpose, including but not limited to,a any of the following:
(1) Compensation of a Landlord for a Tenant's default in the p ayment of Rent; (2) The repair of damages to the premises caused by the Tenant beyond ordinary wear and tear; (3) The cleaning of the Rental Unit, if necessary, upon termination of tenancy; provided, however, that the term Security Deposit shall not include any fee or charge pursuant to any mutual agreement for the Landlord at the request of the Tenant to make any structural, decorative, furnishing, or other similar alterations as long as such alterations are other than that cleaning or repairing for which the Landlord may charge the previous Tenant under California law. (e) "Senior citizen" means any person aged 62 and older. (k)
(l) "Temporary Rrelocation pPayment" means the payment required to be paid to a Ttenant by any Llandlord (i) who takes action to terminate a tenancy pursuant to Section 12‐2.04 of this Code. (m) “Temporary Relocation Assistance” means making a Temporary Relocation PaymentRelocation Payment for a temporary, short‐term, displacement or the offer of a comparable unit pursuant to Section 12‐2.04 of this Code.
(n) “Tenant” means a Tenant, subtenant, lessee, or sublessee, or any other person entitled by written or oral agreement to the use or occupancy of any Rental Unit or Covered Rental Unit (Amended by Ordinance 20‐15, adopted July 21, 2020)
SEC. 12‐2.03 PERMANENT RELOCATION ASSISTANCE.
(a) For a tenancy for which just cause is required to terminate the tenancy under Section 12‐1.13 of this Code, if a landlordLandlord issues a termination notice based on a no‐fault just cause described in paragraph (8), (9), or (10) of Section 12‐1.13(b), or based on one or more grounds for no‐fault eviction authorized by state or federal law, the landlordLandlord shall, regardless of the tenantTenant's income, at the owner's option, do one of the following:
(1) Assist the tenantTenant to relocate by providing a direct payment to the tenantTenant as described in Section 12‐2.03(bc).
(2) Waive in writing the payment of rentRent for the final month of the tenancy, prior to the rentRent becoming due.

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(b) If a landlordLandlord issues a notice to terminate a tenancy for no‐fault just cause described in paragraph (8), (9), or (10) of Section 12‐1.13(b), or based on one or more grounds for no‐fault eviction authorized by state or federal law, the landlordLandlord shall notify the tenantTenant of the tenantTenant's right to relocation assistance or rentRent waiver pursuant to this section.  If the landlordLandlord elects to waive the rentRent for the final month of the tenancy as provided in Section 12‐2.03(a)(2), the notice shall state the amount of rentRent waived and that no rentRent is due for the final month of the tenancy. (c) (1)   The amount of relocation assistance or rentRent waiver shall be equal to one month of the tenantTenant's rentRent that was in effect when the landlordLandlord issued the notice to terminate the tenancy. Any relocation assistance shall be provided within fifteen fourteen (145) calendar days of service of the notice.
(2) If a tenantTenant fails to vacate after the expiration of the notice to terminate the tenancy, the actual amount of any relocation assistance or rentRent waiver provided pursuant to this subdivision shall be recoverable as damages in an action to recover possession. (3) The relocation assistance or rentRent waiver required by this subdivision shall be credited against any other relocation assistance required by any other law.
(d) Notwithstanding Section 12‐2.03(a) , if a landlordLandlord issues a termination notice based on a no‐fault just cause described in Section 12‐1.13(b)(8) for the purpose of demolishing the existing Rental UnitRental Units in order to build new residential units, a landlordLandlord must also comply with relocation requirements stipulated set forth in State California Civil Code section 66300.6. (e)   A landlordLandlord's failure to strictly comply with this subdivision section shall render the notice of termination void. (e) A landlord must comply with State Civil Code 66300.6 in the event of a demolition of a protected rental unit as described in Section 12‐1.13(b)(8). (f) A Landlord shall within sev en (7) calendar days of providing a Tenant with a permanent Relocation Payment as described in Section 12‐2.03(a) and Section 12‐2.03(b), file with the Rent Review Officer proof of payment with setting forth the time, date, and amount of payment. (Amended by Ordinance 20‐15, adopted July 21, 2020)
SEC. 12‐2.04 TEMPORARY RELOCATION ASSISTANCE.
(a)   This Section applies when the Landlord, after having obtai ned all necessary permits from the City of Hayward, seeks in good faith to undertake substantial repairs which are necessary to bring the property into compliance with applicable codes and laws affecting the health and safety of tenants of the buildings or where necessary under an outstanding notice of code violations affecting the health and safety of tenants of the building and where such repairs cannot be completed while the Tenant resides on the premises. (b) Temporary Relocation Assistance involves making a Temporary Relocation Payment for a displacement of thirty (30) days or longer or the offer of a comparable unit. Notice of Entitlement to Temporary Relocation Assistance
(1) Any notice to terminate a tenancy temporarily which is served by a Landlord to a Tenant for any of the reasons set forth in this Section shall be accompanied by the appropriate completed Nnotice of eEntitlement to a tTemporary rRelocation payment Assistance form available on the Rent program website. As to any Tenant who vacates a Rental Unit for any of the reasons set forth in Section 12‐

2.05(a), the Landlord must provide to the Tenant within seven (7) calendar days of receipt of the order to vacate the appropriate completed notice of entitlement to a temporary relocation paymen Notice of Entitlement to a Temporary Relocation Assistancet, available on the Rent program website. The contents of such notice shall include but are not limited to a written statement of the rights and obligations of tenants and landlords under this Article.

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(2) A Notice of Entitlement to a Temporary Relocation Assistance form shall include a written statement of the rights and obligations of tenantTenants and landlordLandlords under this Article, a summary of the repairs to be undertaken and the estimated duration of relocation. The Landlord shall notify the Tenant when repairs are completed and provide the Tenant with the first right of refusal to re‐occupy the unit pursuant to Section 12‐1.13(b)(7) of this Code. If the estimated duration of relocation changes, the Landlord shall provide the Tenant with at least seven (7) calendar days' advance notice of such a change.
(1) All Landlords shall be required to file with the Rent Review Officer a copy of the notice of entitlement described in this Section 12‐2.04 within thirty (30) calendar days of serving the Tenant such notice. A proof of service with time and date of service of such notice shall be included with the copy of such notice filed with the Rent Review Officer.
(3)
Nothing in this section shall relieve the Landlord of the Landlord's obligation to serve any notice that would otherwise be required pursuant to federal, state or local law. (4)
(cb) Temporary Relocation PaymentRelocation Payment. A Temporary Relocation Payment for displacement of thirty (30) days or longer, shall be equivalent to three (3) times the current Fair Market Rent for Alameda County. For displacement fewer than thirty (30) days, the Landlord shall make a Temporary Relocation Payment prorated based on the number of days the Tenant is displaced. (1)
(12) If the tenantTenant re‐occupies the rental unitRental Unit following termination of the displacement, the tenantTenant shall pay the lawful rentRent that was in effect when the landlordLandlord served the notice of temporary termination of tenancy, plus any adjustments as permitted Pursuant to Chapter 12, Article 1 of the Municipal Code.

(23) If the unit is unavailable to be reoccupied within the anticipated time frame, the landlordLandlord will be required to provide additional prorated Temporary Relocation PaymentRelocation Payment not to exceed the Temporary Relocation PaymentRelocation Payment described in Section 12‐2.04(a)(1c). If the tenantTenant re‐occupies the rental unitRental Unit, the tenantTenant shall pay the lawful rentRent that was in effect when the landlordLandlord served the notice of temporary termination of tenancy, plus any adjustments as permitted under Chapter 12, Article 1 of the Municipal Code.

(3) Payment is due based upon the one of the following conditi ons: (i) if the Tenant agrees to vacate the Rental Unit, payment is due immediately upon the Tenant’s acceptance to vacate the Rental Unit, or (ii) if the Tenant does not agree to vacate the Rental Unit, payment is due immediately upon Tenant’s vacation of the Rental Unit.(a) Temporary vacation in order to undertake substantial repairs and the tenant agrees to vacate. If (i) the landlord has served the tenant with a notice of a temporary termination of tenancy as provided in Sections 12‐1.13(b)(7) and 12‐1.13(c), (ii) informs the tenant in writing of the expected duration of the repairs including anticipated dates for commencement and completion of the work, and (iii) the tenant, within thirty (30) calendar days after receipt of the notice of temporary termination of tenancy, agrees in writing to vacate the rental unit during the period required to complete the work:

(4) A Landlord shall within seven (7) calendar days of providing a Tenant with a Temporary Relocation Payment as described in this subsection, file with the Rent Review Officer proof of payment with the time, date, and amount of payment. (1) For displacement lasting thirty (30) days or longer, If the

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Hayward City CouncilDecember 3, 2024

Hayward City Council
December 3, 2024