the implementation of the management district plan, attached as Exhibit B subject to any non-substantive changes approved by the City Attorney.
PASSED, APPROVED AND ADOPTED, this 17th day of October 2022, by the following vote:
AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAINING: Councilmembers: ( )
SO ORDERED: ATTEST:
________________________________ ______________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk
6.G.a
Packet Pg. 130 Attachment: Resolution (3796 : HTID Management Plan Contract) 1 AGREEMENT BETWEEN THE CITY OF HEALDSBURG AND THE
HEALDSBURG CHAMBER OF COMMERCE REGARDING
MANAGEMENT OF THE HEALDSBURG TOURISM IMPROVEMENT
DISTRICT
AGREEMENT
This Agreement is made and entered into this ____ day of October, 2023, by and between the City of Healdsburg, a California Municipal Corporation, 401 Grove Street, Healdsburg, California, 95448, hereinafter referred to as "City," and Healdsburg Chamber of Commerce, a California 501(c)6 nonprofit organization, 217 Healdsburg Avenue, Healdsburg, California, 95448, hereinafter referred to as “Chamber." The City and the Chamber are referred to collectively herein as the “Parties.”
RECITALS
WHEREAS, in early 2022, lodging operators in the City submitted petitions and a draft management plan to the City Council requesting the renewal of an assessment district pursuant to the Property and Business Improvement District Law of 1994 (Cal. Strts. & Hwys Code §§ 36600 et seq.) (“Act”); and
WHEREAS, on October 17, 2022, after reviewing and considering the petitions and draft management plan and complying with all required procedural steps, the City Council adopted an ordinance renewing the Healdsburg Tourism Improvement District (“HTID”) and approved a final management plan entitled the “Healdsburg Tourism Improvement District Management District Plan” (“Plan”); and
WHEREAS, the Plan designates the Chamber as the “owners’ association” that will implement the programs and activities described in the Plan; and WHEREAS, pursuant to Section 36651 of the Act, the City is required to contract with the owners’ association designated by the Plan;
WHEREAS, the Chamber represents and warrants that it is fully qualified to implement the programs and activities in the Plan by virtue of specialized experience and training, education and expertise of its principals and employees. Chamber further represents that it is willing to accept responsibility for implementing the programs and services in accordance with the terms and conditions of the Plan and as set forth in this Agreement; and
WHEREAS, on October 17, 2022, by Resolution No.___-2022, the Healdsburg City Council authorized execution of this Agreement on behalf of the City.
NOW, THEREFORE, City and Chamber, for the consideration hereinafter described, mutually agree as follows:
6.G.b
Packet Pg. 131 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 2 1. DESCRIPTION OF SERVICES OR SCOPE OF WORK
The services to be performed under this Agreement (the “Services”) are as follows: to provide general administrative support for the HTID and implement the programs and activities identified in the Plan. The Services are further described in the Plan, which is attached to and made a part of this Agreement as Exhibit A.
2. TERM
The Agreement term will commence on January 1, 2023 and expire on December 31, 2032 unless the Agreement term by mutual agreement of the Parties is amended or the Agreement is terminated in accordance with its terms.
3. ASSESSMENTS AND OPERATIONS
A. Distribution. City agrees to forward assessments collected under the Act to the Chamber on a monthly basis in accordance with the following terms and conditions:
1. Delinquency Retention Fund. The Parties agree that the City shall establish a fund (“Retention Fund”) to reimburse the City for the costs of collecting any delinquent assessments including, but not limited to, the costs of conducting hearings and appeals and any legal action, including attorneys’ fees, required to enforce the Act (“Collection Costs”). The Retention Fund shall be funded solely from assessments collected by the City under the Act. The City shall deposit into the Retention Fund the initial $5,000 (Five Thousand Dollars) collected from assessments under the Act and shall draw upon the Fund as necessary to reimburse the City for its Collection Costs. Each month the City shall deposit into the Retention Fund assessments equal to any amounts withdrawn from the previous month for Collection Costs so as to maintain a balance in the Fund equal to $5,000. Upon disestablishment of the HTID, amounts remaining in the Retention Fund shall be distributed as provided by Section 36670 of the Act.
2. City Collection Costs. The City shall retain an amount equal to 1.2% (one point two percent) of the assessments due each month to reimburse the City for the costs of administering the HTID (“Collection Costs”).
3. Transient Occupancy Tax. Lodging operators subject to the Act will be required to submit assessments at the same time, and for the same time periods, as provided for under the City’s Transient Occupancy Tax ordinance. Amounts submitted by lodging operators for the Tax and the assessment shall first be deemed as payment of all amounts due the City under its Transient Occupancy Tax ordinance for the applicable time period with the remainder being deemed as assessments to be distributed as provided in Paragraph 3.A.4 below.
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Packet Pg. 132 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 3 3. Distribution Priority. Each month, assessments collected by the City shall pay the City its Collection Costs, with the remainder distributed to the Chamber for the costs of implementing the Services.
B. Audits. Chamber must maintain adequate records to permit inspection and audit of Chamber's records under this Agreement. Chamber will make such records available to City during normal business hours upon reasonable notice. In accordance with California Government Code Section 8546.7, this Agreement and the Chamber’s books and records related to this Agreement shall be subject to the examination and audit of the State Auditor, at the request of City or as part of any audit of the City, for a period of three (3) years after final payment under the Agreement.
C. Governance. The Chamber board of directors shall be responsible for overseeing the Chamber’s implementation of the Services. As required by Section 36614.5 of the Act, the Chamber shall comply with the Ralph M. Brown Act at all times when matters within the subject matter of the HTID are heard, discussed, or deliberated, and with the California Public Records Act, for all documents relating to activities of the HTID.
4. TIME OF COMPLETION
Chamber shall devote such time to the implementation of the Services as may be reasonably necessary to meet the standards of performance provided in Section 7 below and to satisfy Chamber’s obligations hereunder.
5. INDEPENDENT CONTRACTOR
Chamber and City agree that the Chamber will perform the Services as an independent contractor and not as an employee or agent of the City. Persons employed or utilized by Chamber in the performance of the Services will not be employees or agents of the City.
Chamber is solely responsible for the payment of employment taxes incurred under this Agreement and any similar federal or state taxes.
6. SUBCONTRACTING
Chamber may subcontract portions of the Services. The Chamber will be solely responsible for payment for such subcontract services. No contractual relationship will exist between any such subcontractors of the Chamber and the City.
7. STANDARD OF PERFORMANCE
A. Chamber will perform the Services in the manner and according to the standards observed by a competent practitioner of the profession in which Chamber is engaged in the geographical area in which Chamber practices its profession and will prepare all work products required by this Agreement in accordance with those standards.
Chamber will comply with all federal, state and local laws and regulations applicable to
6.G.b
Packet Pg. 133 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 4 performance of the Services, including, but not limited to, the Americans with Disabilities Act, and any copyright, patent or trademark law. Chamber’s failure to comply with any law(s) or regulation(s) applicable to the implementation of the Services hereunder shall constitute a breach of contract.
B. Chamber shall assign only competent personnel to implement the Services.
8. OTHER GOVERNMENTAL REGULATIONS
To the extent that this Agreement may be funded by fiscal assistance from another governmental entity, Chamber and any subcontractors shall comply with all applicable rules and regulations to which City is bound by the terms of such fiscal assistance program.
9. USE OF RECYCLED PRODUCTS
Chamber shall endeavor to prepare all reports, written studies, and other printed material on recycled paper to the extent it is available at equal or less cost than virgin paper.
10. INDEMNITY
To the maximum extent permitted by law, Chamber shall, at its own expense, indemnify, defend with counsel acceptable to the City, (which acceptance will not be unreasonably withheld), and hold harmless City and its officers, officials, employees, agents and volunteers ("Indemnitees") from and against any and all liability, loss, damage, claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, civil penalties and fines, expenses and costs (including, without limitation, claims expenses, attorney's fees and costs and fees of litigation) (collectively, "Liability") of every nature, whether actual, alleged or threatened, arising out of or in connection with the Services or Chamber's failure to comply with any of the terms of this Agreement, regardless of any fault or alleged fault of the Indemnitees.
The Chamber's obligation to indemnify, defend and hold harmless under this provision shall not be excused because of the Chamber's inability to evaluate Liability, or because the Chamber evaluates Liability and determines that the Chamber is not or may not be liable. The Chamber must respond within 30 calendar days to any tender for defense and indemnity by the City, unless the time for responding is extended by an authorized representative of the City in writing. If the Chamber fails to accept tender of defense and indemnity within 30 calendar days, in addition to any other remedies authorized by law, so much of the money due or that may become due the Chamber under this Agreement as shall reasonably be considered necessary by the City, may be retained by the City until disposition has been made of the matter subject to tender, or until the Chamber accepts the tender, whichever occurs first.
6.G.b
Packet Pg. 134 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 5 The Chamber waives any and all rights to express or implied indemnity against the Indemnitees concerning any Liability of the Chamber arising out of or in connection with the Services or Chamber's failure to comply with any of the terms of this Agreement .
Notwithstanding the foregoing, to the extent that the Services include design professional services subject to Cal. Civil Code § 2782.8, as amended from time to time, Chamber's duty to indemnify shall only be to the maximum extent permitted by Civil Code § 2782.8.
In the event that Chamber or any employee, agent, or subcontractor of Chamber providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (“PERS”) to be eligible for enrollment in PERS as an employee of City, Chamber shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Chamber or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.
11. INSURANCE
A. Before commencing performance of the Services, Chamber, at its own cost and expense, must: (1) procure "occurrence coverage" insurance of the kinds and in the amounts specified below against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the Services hereunder by the Chamber or its agents, representatives, employees, or subcontractors; and (2) submit to the City certificates of insurance and endorsements evidencing insurance coverage that meets the requirements of this section. Chamber must maintain the insurance policies required by this section throughout the Agreement term. The cost of such insurance must be borne by the Chamber. Chamber may not allow any subcontractor to commence work on the Services until Chamber and/or the subcontractor(s) as obtained all insurance required by this Agreement for the subcontractor(s) and submitted certificates of insurance and endorsements evidencing such coverage to the City.
B. Chamber must, at its sole cost and expense, maintain Statutory Workers’ Compensation Insurance and Employer’s Liability Insurance for any and all persons employed directly or indirectly by Chamber. The Statutory Workers’ Compensation Insurance coverage must be for Statutory Limits and Employer’s Liability Insurance must be provided with limits of not less than ONE MILLION DOLLARS ($1,000,000.00) per occurrence. The insurance must be endorsed to waive all rights of subrogation against the City and its officials, officers, employees, and volunteers for loss arising from or related to the Services.
C. Chamber, at its own cost and expense, must maintain commercial general and automobile liability insurance for the term of this Agreement in an amount not less than TWO MILLION DOLLARS ($2,000,000.00) per occurrence, combined single limit coverage for risks associated with Services. If a Commercial General Liability Insurance or an Automobile Liability form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the Services or the general aggregate
6.G.b
Packet Pg. 135 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 6 limit shall be at least twice the required occurrence limit. Such coverage shall include but shall not be limited to, protection against claims arising from bodily and personal injury, including death resulting therefrom, and damage to property resulting from activities contemplated under this Agreement, including the use of owned and non-owned automobiles.
D. Required commercial general coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 (ed. 11/88) or Insurance Services Office form number GL 0002 (ed. 1/73) covering comprehensive General Liability and Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General Liability. Automobile coverage must be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (ed. 12/90) Code 1 (“any auto”). No endorsement may be attached limiting the coverage.
E. Except for Workers' Compensation Insurance and professional liability insurance, all other insurance coverages required pursuant to this Agreement must include or be endorsed to include the following:
1. City and its officials, officers, employees, agents, and volunteers shall be covered as insureds with respect to each of the following: liability arising out of activities performed by or on behalf of Chamber, products and completed operations of Chamber; premises owned, occupied, or used by Chamber; and automobiles owned, leased, or used by the Chamber. The coverage may contain no special limitations on the scope of protection afforded to City or its officials, officers, employees, agents, or volunteers.
2. Required insurance coverage must be primary insurance with respect to the City and its officials, officers, employees and volunteers. No insurance or self-insurance maintained by the City may be called upon to contribute to a loss under the coverage.
3. Any failure of Chamber to comply with reporting provisions of the policy shall not affect coverage provided to City and its officers, employees, agents, and volunteers.
4. Required insurance coverage may not be suspended, voided, canceled, reduced in coverage or in limits, except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City.
F. All insurance required under this Agreement must be placed with insurers with a Bests' rating of no less than A:VII unless otherwise approved by the City.
G. The City may approve a variation in the foregoing insurance requirements, upon a determination that the coverages, scope, limits, and forms of such insurance are either not commercially available, or that the City interests are otherwise fully protected.
6.G.b
Packet Pg. 136 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 7 12. NON-DISCRIMINATION
During the performance of this Agreement, Chamber will not discriminate against any employee of the Chamber or applicant for employment because of race, religion, creed, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation. Chamber will take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, religion, creed, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation.
13. LICENSES AND PERMITS
A. BUSINESS LICENSE
To the extent the business license requirements of the Healdsburg Municipal Code apply, Chamber and any subcontractors subject to the requirements must acquire at their sole expense a business license from City in accordance with the Code. Such licenses must be kept valid throughout the Agreement term.
B. OTHER LICENSES AND PERMITS
Chamber represents and warrants to City that Chamber and its employees, agents, and any subcontractors have all licenses, permits, qualifications, and approvals of whatsoever nature that are legally required to practice in their respective professions. Chamber expressly represents and warrants to City that Chamber and its employees, agents, and any subcontractors shall, at their sole cost and expense, keep in effect at all times during the term of this Agreement any licenses, permits, and approvals that are legally required to practice their respective professions.
14. OWNERSHIP OF WORK PRODUCTS AND TREATMENT OF DOCUMENTS All plans, specifications, reports, designs and other documents prepared by Chamber pursuant to this Agreement shall be and remain the property of the City. Any modification or reuse of such documents by the City without Chamber's prior written consent will be at the City’s sole risk. Except as may be otherwise required by law, Chamber will disclose no data, plans, specifications, reports or other documents pertaining to the Services without the prior written consent of the City.
15. ALTERNATIVE DISPUTE RESOLUTION
If any dispute arises between the parties that cannot be settled after engaging in good faith negotiations, City and Chamber agree to resolve the dispute in accordance with the following:
A. Each party shall designate a senior management or executive level representative to negotiate any dispute.
6.G.b
Packet Pg. 137 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 8 B. The representatives shall attempt, through good faith negotiations, to resolve the dispute by any means within their authority.
C. If the issue remains unresolved after ten (10) days of good faith negotiations, the parties shall attempt to resolve the disagreement by negotiation between legal counsel. If the above process fails, the parties shall resolve any remaining disputes through mediation to expedite the resolution of the dispute.
D. The mediation process shall provide for the selection within 15 days of both parties of a disinterested third person as mediator, shall be commenced within 30 days, and shall be concluded within 15 days from the commencement of the mediation.
E. The parties shall equally bear the costs of any third party mediator in any alternative dispute resolution process.
F. The alternative dispute resolution process is a material condition to this Agreement and must be exhausted as an administrative remedy prior to either party initiating legal action. This alternative dispute resolution process is not intended to, nor shall be construed to, change the time periods for filing claims or action specified by Government Code section 900, et seq.
16. TERMINATION AND REMEDIES
A. This Agreement shall terminate upon the earlier of (i) the City Council’s approval of a request by the Chamber to terminate the Agreement pursuant to a modification of the Plan under Section 36635 of the Act, (ii) disestablishment of the HTID pursuant to the Act, or (iii) December 31, 2032. City may terminate this Agreement in the event Chamber materially breaches any term of the Agreement as provided in Section
16.B below.
B. If Chamber materially breaches any term of this Agreement, in addition to any other remedies the City may have at law or equity, the City may:
1. Terminate the Agreement by notice to the Chamber specifying the termination effective date;
2. Retain, and/or recover from the Chamber at no additional cost to the City, the plans, specification, drawings, reports and other design documents and work products prepared by Chamber, whether or not completed;
3. Complete the unfinished Services itself or have the unfinished Services completed, and/or;
4. Charge Chamber or deduct from monies that may be due or become due the Chamber under this Agreement, the difference between the cost of completing
6.G.b
Packet Pg. 138 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 9 the unfinished Services pursuant to this Agreement and the amount that would otherwise be due Chamber had Chamber completed the Services in accordance with this Agreement.
17. BINDING EFFECT AND ASSIGNMENT PROHIBITION
This Agreement is binding upon City, Chamber, and their successors. Except as otherwise provided herein, neither City nor Chamber may assign, sublet or transfer its interest in this Agreement or any part thereof without the prior written consent of the other, and any purported assignment without such consent will be void.
18. REPRESENTATIVES
A. City representative for purposes of this Agreement will be Jeffrey Kay, City Manager. Chamber representative for purposes of this Agreement will be the Executive Director. The parties' designated representative will be the primary contact person regarding the performance of the Services. The parties intend that their designated representatives will cooperate in all matters regarding this Agreement and in such a manner so as to achieve performance of the Services in a timely and expeditious fashion.
Chamber shall not substitute or replace primary representative without approval of the City.
B. Notices:
Any written notice to Chamber shall be sent to:
Executive Director
Chamber of Commerce
217 Healdsburg Avenue
Healdsburg, CA 95448
Any written notice to City shall be sent to:
Jeffrey Kay, City Manager
City of Healdsburg
401 Grove Street
Healdsburg, CA 95448
19. INTEGRATION AND AMENDMENT
This Agreement represents the entire and integrated agreement between City and Chamber and supersedes all prior negotiations, representations or agreements, whether written or oral. If a discrepancy, disagreement, ambiguity, inconsistency or difference in interpretation of terms arises as to terms or provisions of this Agreement and any Exhibit(s) attached to this Agreement, this Agreement shall control and shall be deemed to reflect the intent of the Parties with respect to the subject matter hereof. This
6.G.b
Packet Pg. 139 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 10 Agreement may only be amended by a writing signed by a representative authorized to bind the Chamber and a representative authorized to bind the City.
20. CONFLICT OF INTEREST PROHIBITION
City and Chamber will comply with the requirements of the City’s Conflict of Interest Code adopted pursuant to the provisions of California Government Code Section 87300 and following, the Political Reform Act (California Government Code Section 81000 and following), the regulations promulgated by the Fair Political Practices Commission (Title 2, Section 18110 and following of the California Code of Regulations), California Government Code Section 1090 and following, and any other ethics laws applicable to the performance of the Services and/or this Agreement. Chamber may be required to file with the City Clerk a completed Form 700 before commencing performance of the Services unless the City Clerk determines that completion of a Form 700 is not required, pursuant to the City’s Conflict of Interest Code. Form 700 forms are available from the City Clerk.
The Chamber may not perform Services for any other person or entity that, pursuant to any applicable law or regulation, would result in a conflict of interest or would otherwise be prohibited with respect to the Chamber’s obligations pursuant to this Agreement. The Chamber agrees to cooperate fully with the City and to provide any necessary and appropriate information requested by the City or any authorized representative concerning potential conflicts of interest or prohibitions concerning the Chamber’s obligations pursuant to this Agreement.
Chamber may not employ any City official, officer or employee in the performance of the Services, nor may any official, officer or employee of the City have any financial interest in this Agreement that would violate California Government Code Section 1090 and following. Chamber hereby warrants that it is not now, nor has it been in the previous twelve (12) months, an employee, agent, appointee, or official of the City. If Chamber was an employee, agent, appointee, or official of the City in the previous twelve months, Chamber warrants that it did not participate in any manner in the forming of this Agreement. Chamber understands that, if this Agreement is made in violation of Government Code Section 1090 and following, the entire Agreement is void and Chamber will not be entitled to any compensation for Chamber’s performance of the Services, including reimbursement of expenses, and Chamber will be required to reimburse the City for any sums paid to the Chamber under this Agreement. Chamber understands that, in addition to the foregoing, penalties for violating Government Code Section 1090 may include criminal prosecution and disqualification from holding public office in the State of California.
Any violation by the Chamber of the requirements of this provision will constitute a material breach of this Agreement, and the City reserves all its rights and remedies at law and equity concerning any such violations.
21. APPLICABLE LAW AND VENUE
6.G.b
Packet Pg. 140 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 11 The laws of the State of California shall govern the rights, obligations, duties and liabilities of the parties to this Agreement and the interpretation of this Agreement. Any action or proceeding that is initiated or undertaken to enforce or interpret any provision, performance, obligation or covenant set forth in this Agreement shall be brought in a state court in Sonoma County.
22. RECOVERY OF ATTORNEY’S FEES
If a party to this Agreement brings any action, including an action for declaratory relief, to enforce or interpret any term of this Agreement, the prevailing party will be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled. The court may set such fees in the same action or in a separate action brought for that purpose.
23. SEVERABILITY
If a court of competent jurisdiction finds or rules that any provision of this Agreement is invalid, void, or unenforceable, the provisions of this Agreement not so adjudged will remain in full force and effect. The invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision of this Agreement.
24. COUNTERPARTS
This Agreement may be executed in multiple counterparts, each of which shall be an original and all of which together shall constitute one agreement.
IN WITNESS HEREOF, the parties have caused their authorized representative to execute this Agreement on this 1st day of January, 2023.
City CHAMBER
By: ___________________________ By: ________________________ Jeffrey Kay, City Manager Tallia Hart, Executive Director ATTEST:
By: ________________________________
Raina Allan, City Clerk
6.G.b
Packet Pg. 141 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) 12 APPROVED AS TO FORM:
By: ________________________________
Samantha Zutler, City Attorney
Exhibits: Exhibit A – Healdsburg Tourism Improvement District Management District Plan
6.G.b
Packet Pg. 142 Attachment: Owners Association Agreement (3796 : HTID Management Plan Contract) TBD
2023-2032
HEALDSBURG TOURISM
IMPROVEMENT DISTRICT
MANAGEMENT DISTRICT PLAN
September 21, 2022 Prepared pursuant to the Property and Business Improvement District Law of 1994, Streets and Highways Code section 36600 et seq.
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Packet Pg. 143 Attachment: Management Plan (3796 : HTID Management Plan Contract)
CONTENTS
I. OVERVIEW ........................................................................................................................................2 II. BACKGROUND ................................................................................................................................3 III. ACCOMPLISHMENTS.....................................................................................................................4 IV. BOUNDARY.......................................................................................................................................6 V. ASSESSMENT BUDGET AND SERVICES................................................................................7 A. Annual Service Plan .............................................................................................................................7 B. Annual Budget......................................................................................................................................9 C. California Constitutional Compliance.............................................................................................10 D. Assessment..........................................................................................................................................11 E. Penalties and Interest.........................................................................................................................12 F. Time and Manner for Collecting Assessments..............................................................................12 VI. GOVERNANCE...............................................................................................................................13 A. Owners’ Association..........................................................................................................................13 B. Brown Act and California Public Records Act Compliance........................................................13 C. Annual Report ....................................................................................................................................13 APPENDIX 1 – LAW....................................................................................................................................14 APPENDIX 2 – ASSESSED BUSINESSES .............................................................................................25 Prepared by
Civitas
(800)999-7781
www.civitasadvisors.com
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Packet Pg. 144 Attachment: Management Plan (3796 : HTID Management Plan Contract) HTID Management District Plan 2
September 21, 2022
I. OVERVIEW
Developed by the Healdsburg Chamber of Commerce (the Chamber), the Healdsburg Tourism Improvement District (HTID) is an assessment district proposed to provide specific benefits to payors, by funding marketing and sales promotion efforts and district development programs for assessed businesses. The HTID was formed in 2013 for a five (5) year term; and subsequently renewed in 2018 for another five (5) year term. The Chamber and Healdsburg businesses now wish to renew the HTID for an additional ten (10) years.
Location: The renewed HTID includes all lodging businesses (including all lodging businesses located on the premises of a winery) located within the boundaries of the City of Healdsburg, as shown on the map in Section IV.
Services: The HTID is designed to provide specific benefits directly to payors by increasing room night sales. Marketing and sales promotions and district development programs will increase overnight tourism and market payors as tourist, meeting and event destinations, thereby increasing demand for room night sales.
Budget: The total HTID annual assessment budget for the initial year of its ten (10) year operation is anticipated to be approximately $1,500,000. A similar assessment budget is expected to apply to subsequent years, but this budget is expected to fluctuate as room sales do, and if the assessment rate is decreased pursuant to this Plan.
Cost: The annual assessment rate is two percent (2%) of gross short-term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; stays by any federal or state officer or employee when on official business; stays by any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays by any person who has signed an agreement in writing for occupancy in a lodging business for more than thirty (30) days. During the ten (10) year term, the assessment rate may be decreased annually by the HTID Owners’ Association by a maximum of one half of one percent (0.5%) of gross room rental revenue per year, as described in Section V. The total assessment rate may not be less than one half of one percent (0.5%).
Collection: The City will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each lodging business located in the boundaries of the HTID. The City shall take all reasonable efforts to collect the assessments from each assessed lodging business.
Duration: The renewed HTID will have a ten (10) year life, beginning January 1, 2023 through December 31, 2032, or as soon as possible thereafter, and end ten (10) years from its start date. Once per year, beginning on the anniversary of HTID renewal, there is a 30-day period in which owners paying more than fifty percent (50%) of the assessment may protest and initiate a City Council hearing on HTID termination.
Management: The Healdsburg Chamber of Commerce will continue to serve as the HTID’s Owners’ Association. The Owners’ Association is charged with managing funds and implementing programs in accordance with this Plan, and must provide annual reports to the City Council.
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Packet Pg. 145 Attachment: Management Plan (3796 : HTID Management Plan Contract) HTID Management District Plan 3
September 21, 2022
II. BACKGROUND
TIDs are an evolution of the traditional Business Improvement District. The first TID was formed in West Hollywood, California in 1989. Since then, over 100 California destinations have followed suit. In recent years, other states have begun adopting the California model – Montana, South Dakota, Washington, Colorado, Texas and Louisiana have adopted TID laws. Several other states are in the process of adopting their own legislation. The cities of Wichita, Kansas and Newark, New Jersey used an existing business improvement district law to form a TID. And, some cities, like Portland, Oregon and Memphis, Tennessee have utilized their home rule powers to create TIDs without a state law.
California’s TIDs collectively
raise over $300 million annually
for local destination marketing.
With competitors raising their
budgets, and increasing rivalry
for visitor dollars, it is
important that Healdsburg
lodging businesses continue to
invest in stable, lodging-specific
marketing programs.
TIDs utilize the efficiencies of
private sector operation in the
market-based promotion of tourism districts. TIDs allow lodging business owners to organize their efforts to increase demand for room night sales. Lodging business owners within the TID pay an assessment and those funds are used to provide services that increase demand for room night sales.
In California, most TIDs are formed pursuant to the Property and Business Improvement District Law of 1994. This law allows for the creation of a benefit assessment district to raise funds within a specific geographic area. The key difference between TIDs and other benefit assessment districts is that funds raised are returned to the private non-profit corporation governing the district.
There are many benefits to TIDs:
• Funds must be spent on services and improvements that provide a specific benefit only to those who pay;
• Funds cannot be diverted to general government programs; • They are customized to fit the needs of payors in each destination; • They allow for a wide range of services;
• They are designed, created and governed by those who will pay the assessment; and • They provide a stable, long-term funding source for tourism promotion. 1 2 4 6 9 12 19 25 29 32 38 46
61 64 70 75
88 95 99101104109110
0 20
40 60
80 100
120
19891995200020012002200320042005200620072008200920102011201220132014201520162017201820192020 Number of Districts Operating in
California
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Packet Pg. 146 Attachment: Management Plan (3796 : HTID Management Plan Contract) HTID Management District Plan 4
September 21, 2022
III. ACCOMPLISHMENTS
HTID Recent Accomplishments
• 8,614,755,116 total earned media impressions
• 264 total online media placements
• 41 total print media placements
• 35 Curated Media Visits
• Press Hit Examples:
o Food & Wine – The article by Ray Isle highlights Healdsburg as a small town that offers a variety of dining and wine tasting options along with newly built modern hotels. 8.6M readers
o Orange Coast Magazine – Allan Gibbons describes the perfect getaway to Healdsburg that includes listening to music on the downtown plaza, savory and sweet gourmet wine and food pairings, picnics, downtown hotels, and dining - all with hometown flavor. 56k readers
o Travel + Leisure - Kathryn Romeyn outlines her post-baby family-friendly trip to Healdsburg that included wine tasting, outdoor adventures, along with hotel and dining recommendations. 5.5M viewers
o Conde Nast Traveler – Carey Jones writes about California weekend getaways that featured Healdsburg as a wine, food and bakery destination with a charming identity.
2.8M viewers
o 7x7 – Amber Turpin describes her 3-day Healdsburg weekend that included a stay at Montage, biking, art, wine tasting, cocktails, lounging, shopping, dining and her plans to come back again. 130k viewers
o Country Living – Lauren Smith McDonough showcases 35 American “European-like” towns, including Healdsburg, that she compares to Tuscany. 12M viewers o Decanter – Jess Lander outlines the perfect 3-day trip to Healdsburg to experience small town charm and luxury - all at the same time. 366k viewers o Forbes - Katie Chang showcases the pleasures of a visit to Healdsburg that included art galleries, dining, day spa’s - all without drinking any wine. 66.5M viewers o Locale Magazine – The article by Taylor Gorski features some of Healdsburg’s newest hotels, classic wineries, art galleries, and culinary suggestions. 100k viewers o Marie Claire – Featured in the Instagram Guide to Sonoma, Healdsburg is highlighted for wine tasting and dining. 13M viewers
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o PaperCity – Georgie Miller documented a charming visit to Healdsburg that included modern hotels, unique retail shops and art galleries, along with fine dining. 204k viewers
o The Zoe Report – Nicole Kliest highlights Healdsburg as an American city that should not be missed during the Fall; offering many hotel options, outdoor activities, and a variety of wine tasting venues. 2.4M viewers
o Thrillist – Daisy Barringer and Margot Seeto describe Healdsburg as a perfect road trip from San Francisco to experience lunch at a winery, food and wine pairings, creative cocktails, farm-fresh dining and stylish hotel rooms. 8.4M viewers o Yahoo! News – This article considered Healdsburg as one of the most wine-friendly towns where you can experience a variety of excellent dining options, modern hotels, along with new and established wineries. 2.1B viewers
o MSN – Daisy Barringer and Margot Seeto suggest Healdsburg as a top fall destination to enjoy wonderful eating and drinking. 69.5M viewers o House Beautiful – Lauren Smith McDonough and Janaya Wecker suggest travelers will enjoy Healdsburg as much as Italy based on the food and wine. 6.7M viewers o Forbes – Laurie Werner highlights Napa and Sonoma County and suggests visiting Healdsburg to sample dishes prepared by many local culinary stars. 66.5M viewers
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IV. BOUNDARY
The HTID will include all lodging businesses (including all lodging businesses located on the premises of a winery), existing and in the future, available for public occupancy within the boundaries of the City of Healdsburg.
Lodging business means: any structure or any portion of any structure that is occupied or intended or designed for occupancy by transients for sleeping purposes, including any inn, home or house, motel, studio hotel, bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location, or other similar structure or portion thereof that is used for occupancy by transients, even if such use is on a part-time basis.
The term “winery” as used herein means: A business that is commercial growing and/or processing of wine grapes; and/or must have a valid state license and/or federal permit to process or sell wine at retail locations within the boundaries of the HTID.
The boundary, as shown in the map below, currently includes thirty (30) lodging businesses. A complete listing of lodging businesses within the renewed HTID can be found in Appendix 2.
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V. ASSESSMENT BUDGET AND SERVICES
A. Annual Service Plan
Assessment funds will be spent to provide specific benefits conferred or privileges granted directly to the payors that are not provided to those not charged, and which do not exceed the reasonable cost to the City of conferring the benefits or granting the privileges. The privileges and services provided with the HTID funds are sales and marketing programs available only to assessed businesses.
A service plan assessment budget has been developed to deliver services that benefit the assessed businesses. A detailed annual assessment budget will be developed and approved by the Chamber.
The table below illustrates the initial annual assessment budget allocations. The total initial assessment budget is $1,500,000.
Although actual revenues will fluctuate due to market conditions, the proportional allocations of the budget shall remain the same. However, the City and the Chamber shall have the authority to adjust budget allocations between the categories by no more than fifteen percent (15%) of the total budget per year. A description of the proposed improvements and activities for the initial year of operation is below. The same activities are proposed for subsequent years. In the event of a legal challenge against the HTID, any and all assessment funds may be used for the costs of defending the HTID.
Each budget category includes all costs related to providing that service. For example, the sales and marketing budget includes the cost of staff time dedicated to overseeing and implementing the sales and marketing program. Staff time dedicated purely to administrative tasks is allocated to the administrative portion of the budget. The staffing levels necessary to provide the services below will be determined by the Chamber on an as-needed basis.
Sales and Marketing
A sales and marketing program will promote assessed businesses as tourist, meeting, and event destinations. The sales and marketing program will have a central theme of promoting Healdsburg as a desirable place for overnight visits. The program will have the goal of increasing overnight visitation and room night sales at assessed businesses, and may include the following activities:
• Internet marketing efforts to increase awareness and optimize internet presence to drive Sales & Marketing,
$1,032,000 , 68.8%
District Development,
$225,000 , 15%
Administration and
Operations,
$150,000 , 10%
Contingency/
Reserve,
$75,000 , 5%
City Collection Fee,
$18,000, 1.2%
Initial Annual Assessment Budget- $1,500,000
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overnight visitation and room sales to assessed businesses; • Print ads in magazines and newspapers, television ads, and radio ads targeted at potential visitors to drive overnight visitation and room sales to assessed businesses; • Attendance of trade shows to promote assessed businesses; • Sales blitzes for assessed businesses;
• Familiarization tours of assessed businesses;
• Preparation and production of collateral promotional materials such as brochures, flyers and maps featuring assessed businesses;
• Attendance of professional industry conferences and affiliation events to promote assessed businesses;
• Lead generation activities designed to attract tourists and group events to assessed businesses; • Director of Sales and General Manager meetings to plan and coordinate tourism promotion efforts for assessed businesses;
• Development and maintenance of a website designed to promote assessed businesses; and • Education of hospitality staff on service and safety (related to alcohol and food) designed to create a visitor experience that will bring repeat visits to assessed businesses; and • Education of lodging businesses management and the Owners’ Association on marketing strategies best suited to meet Healdsburg’s needs designed to increase overnight visitation and room night sales and assessed businesses.
District Development
District Development (DD) projects will be designed to improve the visitor experience in an effort to increase overnight visitation at assessed lodging businesses. As the total number of rooms sold and room prices increase over time, the amount of available funds for DD projects will increase. During the ten (10) year term of the HTID, a minimum of fifteen percent (15%) of the annual assessment budget shall be used for DD projects. Working collaboratively with the City, the Chamber will develop specific DD funding criteria. The City and the Chamber staff shall have equal input to make recommendations to the Chamber for final project approval. The award of any public works contract for an approved DD project must be done in accordance with Municipal Code requirements. Policies and procedures acceptable to both the Chamber and the City will be developed. DD projects may include:
• Services designed to improve the visitor experience, such as but not limited to, transportation and parking solutions;
• Improvements designed to improve the visitor experience, such as but not limited to, benches, restrooms, and lighting improvements; and
• Activities designed to improve the visitor experience, such as but not limited to, Tuesday Music on the Plaza, Healdsburg Farmers Market, Healdsburg Center to the Arts, and/or creation of new Arts, Cultural and Educational activities.
Administration and Operations
The administration and operations portion of the budget shall be utilized for administrative staffing costs, office costs, advocacy, and other general administrative costs such as insurance, legal, and accounting fees. Ten percent (10%) of the annual assessment budget shall be used for administration and operations.
City Administration Fee
The City of Healdsburg shall retain 1.2% percent of the amount of assessment collected, to cover its costs of collection and administration. Any amount of the City Administration Fee in excess of the
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actual cost of collecting and administering the assessment shall be forwarded to the Owners’ Association to be used for HTID programs.
Contingency/Reserve
The budget includes a contingency line item to account for uncollected assessments, if any. If there are contingency funds collected, they may be held in a reserve fund or utilized for other program, administration or renewal costs at the discretion of the Owners’ Association. Policies relating to contributions to the reserve fund, the target amount of the reserve fund, and expenditure of monies from the reserve fund shall be set by the Board of Directors of the Owners’ Association.
Contingency/reserve funds may be spent on HTID programs or administrative and renewal costs in such proportions as determined by the Owners’ Association. The reserve fund may be used for the costs of renewing the HTID. The contingency/reserve portion of the budget may also be utilized for expenditures relating to unforeseen circumstances, including but not limited to those arising out of natural disaster, pandemic, or economic crisis.
B. Annual Budget
The total ten (10) year improvement and service plan budget is projected at approximately $1,500,000 annually, or approximately $17,195,819 through 2032. A similar budget is expected to apply to subsequent years, but this budget is expected to fluctuate as room sales do, and if the assessment rate is decreased pursuant to this Plan.
The initial annual assessment rate is two percent (2%) of gross room rental revenue. The Owners’ Association may decrease the assessment rate by a maximum of one half of one percent (0.5%) per year. The assessment rate shall never be less than one half of one percent (0.5%).
The table below demonstrates the estimated maximum annual improvement and service plan budget during the HTID’s ten (10) year term. A three percent (3%) annual increase in the total budget is shown to account for estimated increased room night sales as a result of HTID efforts. This three percent (3%) increase is a conservative estimate based on the effects of similarly sized TID budgets, not an increase in the HTID assessment.
Estimated Maximum Annual Assessment Budget
2023-2032
Year
Sales &
Marketing
District
Development
Admin. and
Operations
Contingency
/Reserve
City Collection
Fee Total
2023 $1,032,000 $225,000 $150,000 $75,000 $18,000 $1,500,000 2024 $1,158,750 $231,750 $154,500 $77,250 $18,540 $1,545,000 2025 $1,193,513 $238,703 $159,135 $79,568 $19,096 $1,591,350 2026 $1,229,318 $245,864 $163,909 $81,955 $19,669 $1,639,091 2027 $1,266,197 $253,239 $168,826 $84,413 $20,259 $1,688,263 2028 $1,304,183 $260,837 $173,891 $86,946 $20,867 $1,738,911 2029 $1,343,309 $268,662 $179,108 $89,554 $21,493 $1,791,078 2030 $1,383,608 $276,722 $184,481 $92,241 $22,138 $1,844,811 2031 $1,425,116 $285,023 $190,016 $95,008 $22,802 $1,900,155 2032 $1,467,870 $293,574 $195,716 $97,858 $23,486 $1,957,160 Total $12,803,864 $2,579,373 $1,719,582 $859,791 $206,350 $17,195,819
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C. California Constitutional Compliance
The HTID assessment is not a property-based assessment subject to the requirements of Proposition 218. Courts have found Proposition 218 limited the term ‘assessments’ to levies on real property.1 Rather, the HTID assessment is a business-based assessment, and is subject to Proposition
26.Pursuant to Proposition 26 all levies are a tax unless they fit one of seven exceptions. Two of these exceptions apply to the HTID, a “specific benefit” and a “specific government service.” Both require that the costs of benefits or services do not exceed the reasonable costs to the City of conferring the benefits or providing the services.
1. Specific Benefit
Proposition 26 requires that assessment funds be expended on, “a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege.”2The services in this Plan are designed to provide targeted benefits directly to assessed lodging businesses, and are intended only to provide benefits and services directly to those businesses paying the assessment. These services are tailored not to serve the general public, businesses in general, or parcels of land, but rather to serve the specific lodging businesses within the HTID. The activities described in this Plan are specifically targeted to increase room night sales for assessed lodging businesses within the boundaries of the HTID, and are narrowly tailored. HTID funds will be used exclusively to provide the specific benefit of increased room night sales directly to the assessees.
Assessment funds shall not be used to feature non-assessed lodging businesses in HTID programs, or to directly generate sales for non-assessed businesses. The activities paid for from assessment revenues are business services constituting and providing specific benefits to the assessed businesses.
The assessment imposed by this HTID is for a specific benefit conferred directly to the payors that is not provided to those not charged. The specific benefit conferred directly to the payors is an increase in room night sales. The specific benefit of an increase in room night sales for assessed lodging businesses will be provided only to lodging businesses paying the district assessment, with marketing and sales programs promoting lodging businesses paying the district assessment. The marketing and sales programs will be designed to increase room night sales at each assessed lodging businesses.
Because they are necessary to provide the marketing and sales programs that specifically benefit the assessed lodging businesses, the administration and contingency services also provide the specific benefit of increased room night sales to the assessed lodging businesses.
Although the HTID, in providing specific benefits to payors, may produce incidental benefits to nonpaying businesses, the incidental benefit does not preclude the services from being considered a specific benefit.The legislature has found that, “A specific benefit is not excluded from classification as a ‘specific benefit’ merely because an indirect benefit to a nonpayor occurs incidentally and without cost to the payor as a consequence of providing the specific benefit to the payor.”3
2. Specific Government Service
The assessment may also be utilized to provide, “a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the 1 Jarvis v. the City of San Diego 72 Cal App. 4th 230
2 Cal. Const. art XIII C § 1(e)(1)
3 Government Code § 53758(a)
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reasonable costs to the local government of providing the service or product.”4The legislature has recognized that marketing and promotions services like those to be provided by the HTID are government services within the meaning of Proposition 265.Further, the legislature has determined that “a specific government service is not excluded from classification as a ‘specific government service’ merely because an indirect benefit to a nonpayor occurs incidentally and without cost to the payor as a consequence of providing the specific government service to the payor.”6
3. Reasonable Cost
HTID services will be implemented carefully to ensure they do not exceed the reasonable cost of such services.The full amount assessed will be used to provide the services described herein. Funds will be managed by the Chamber, and reports submitted on an annual basis to the City. Only assessed lodging businesses will be featured in marketing materials, receive sales leads generated from district-funded activities, be featured in advertising campaigns, and benefit from other district-funded services. Nonassessed lodging businesses will not receive these, nor any other, district-funded services and benefits.
The HTID -funded programs are all targeted directly at and feature only assessed businesses. It is, however, possible that there will be a spill over benefit to non-assessed businesses. If non-assessed lodging businesses receive incremental room nights, that portion of the promotion or program generating those room nights shall be paid with non- HTID funds. HTID funds shall only be spent to benefit the assessed businesses, and shall not be spent on that portion of any program which directly generates incidental room nights for non-assessed lodging businesses.
D. Assessment
The annual assessment rate is two percent (2%) of gross short-term room rental revenue. Based on the benefit received, assessments will not be collected on: stays of more than thirty (30) consecutive days; stays by any federal or state officer or employee when on official business; stays by any officer or employee of a foreign government who is exempt by reason of express provision of federal law or international treaty; and stays by any person who has signed an agreement in writing for occupancy in a lodging business for more than thirty (30) days. During the ten (10) year term, the assessment rate may be decreased annually by the HTID Owners’ Association by a maximum of one half of one percent (0.5%) of gross room rental revenue per year. The total assessment rate may not be less than one half of one percent (0.5%).
The term “gross room rental revenue” as used herein means: the actual consideration charged, whether or not received, for the occupancy of space in a lodging business valued in money, whether to be received in money, goods, labor or otherwise, including all receipts, cash, credit and property and services of any kind or nature without any deduction therefrom whatsoever. Gross room rental revenue shall not include any federal, state or local taxes collected, including but not limited to transient occupancy taxes.
The assessment is levied upon and a direct obligation of the assessed lodging business. However, the assessed lodging business may, at its discretion, pass the assessment on to transients. The amount of assessment, if passed on to each transient, shall be disclosed in advance and separately stated from the amount of rent charged and any other applicable taxes, and each transient shall receive a receipt for payment from the business. The assessment shall be disclosed as the “HTID Assessment.” The assessment is imposed solely upon, and is the sole obligation of the assessed lodging business even if 4 Cal. Const. art XIII C § 1(e)(2)
5 Government Code § 53758(b)
6 Government Code § 53758(b)
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it is passed on to transients. The assessment shall not be considered revenue for any purposes, including calculation of transient occupancy taxes.
Bonds shall not be issued.
E. Penalties and Interest
The HTID shall reimburse the City of Healdsburg for any costs associated with collecting unpaid assessments. If sums in excess of the delinquent HTID assessment are sought to be recovered in the same collection action by the City, the HTID shall bear its pro rata share of such collection costs.
Assessed businesses which are delinquent in paying the assessment shall be responsible for paying:
1. Original Delinquency: Any lodging business which fails to remit any assessment imposed within the time required shall pay a penalty of ten percent (10%) of the amount of the assessment owning in addition to the amount of the assessment
2. Continued Delinquency: Any lodging business which fails to remit any delinquent remittance on or before a period of thirty (30) days following the date on which the remittance first became delinquent shall pay a second delinquency penalty of ten percent (10%) of the amount of the assessment in addition to the amount of the assessment and the ten percent (10%) penalty first imposed.
3. Fraud: If the City determines that the nonpayment of any remittance due was willful, a penalty of fifty percent (50%) of the amount of the assessment shall be added thereto in addition to the penalties stated in subsection (1) and (2) of the section.
4. Interest: In addition to the penalties imposed, any lodging business which fails to remit any assessment imposed shall pay interest at the rate of one-half of one percent (0.5%) per month or fraction thereof on the amount of the assessment, exclusive of penalties, from the date on which the remittance first became delinquent until paid.
5. Penalties Merged with Assessment: Every penalty imposed and such interest as accrues under the provisions of this section shall become a part of the assessment herein required to be paid.
F. Time and Manner for Collecting Assessments
The renewed HTID will have a ten (10) year life, beginning January 1, 2023 through December 31, 2032, or as soon as possible thereafter, and end ten (10) years from its start date.The City will be responsible for collecting the assessment on a monthly basis (including any delinquencies, penalties and interest) from each lodging business .The City shall take all reasonable efforts to collect the assessments from each lodging business. The City shall forward the assessments collected to the Owners’ Association.
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VI. GOVERNANCE
A. Owners’ Association
The City Council, through adoption of this Management District Plan, has the right, pursuant to Streets and Highways Code §36651, to identify the body that shall implement the proposed program, which shall be the Owners’ Association of the HTID as defined in Streets and Highways Code §36612.The City Council has determined that the Healdsburg Chamber of Commerce (the Chamber) will continue to serve as the Owners’ Association for the HTID.
B. Brown Act and California Public Records Act Compliance An Owners’ Association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. The Owners’ Association is, however, subject to government regulations relating to transparency, namely the Ralph M. Brown Act and the California Public Records Act. These regulations are designed to promote public accountability. The Owners’ Association acts as a legislative body under the Ralph M. Brown Act (Government Code §54950 et seq.).Thus, meetings of the Chamber board and certain committees must be held in compliance with the public notice and other requirements of the Brown Act. The Owners’ Association is also subject to the record keeping and disclosure requirements of the California Public Records Act. Accordingly, the Owners’ Association shall publicly report any action taken and the vote or abstention on that action of each member present for the action.
C. Annual Report
The Chamber shall present an annual report at the end of each year of operation to the City Council pursuant to Streets and Highways Code §36650 (see Appendix 1).The annual report shall include:
• Any proposed changes in the boundaries of the improvement district or in any benefit zones or classification of businesses within the district.
• The improvements and activities to be provided for that fiscal year. • An estimate of the cost of providing the improvements and the activities for that fiscal year. • The method and basis of levying the assessment in sufficient detail to allow each business owner to estimate the amount of the assessment to be levied against his or her business for that fiscal year.
• The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
• The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.
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APPENDIX 1 – LAW
*** THIS DOCUMENT IS CURRENT THROUGH THE 2021 SUPPLEMENT *** (ALL 2020 LEGISLATION)
STREETS AND HIGHWAYS CODE
DIVISION 18. PARKING
PART 7. PROPERTY AND BUSINESS IMPROVEMENT DISTRICT LAW OF 1994 CHAPTER 1. General Provisions
ARTICLE 1. Declarations
36600. Citation of part
This part shall be known and may be cited as the “Property and Business Improvement District Law of 1994.” 36601. Legislative findings and declarations; Legislative guidance The Legislature finds and declares all of the following:
(a) Businesses located and operating within business districts in some of this state’s communities are economically disadvantaged, are underutilized, and are unable to attract customers due to inadequate facilities, services, and activities in the business districts.
(b) It is in the public interest to promote the economic revitalization and physical maintenance of business districts in order to create jobs, attract new businesses, and prevent the erosion of the business districts. (c) It is of particular local benefit to allow business districts to fund business related improvements, maintenance, and activities through the levy of assessments upon the businesses or real property that receive benefits from those improvements.
(d) Assessments levied for the purpose of conferring special benefit upon the real property or a specific benefit upon the businesses in a business district are not taxes for the general benefit of a city, even if property, businesses, or persons not assessed receive incidental or collateral effects that benefit them. (e) Property and business improvement districts formed throughout this state have conferred special benefits upon properties and businesses within their districts and have made those properties and businesses more useful by providing the following benefits:
(1) Crime reduction. A study by the Rand Corporation has confirmed a 12-percent reduction in the incidence of robbery and an 8-percent reduction in the total incidence of violent crimes within the 30 districts studied.
(2) Job creation.
(3) Business attraction.
(4) Business retention.
(5) Economic growth.
(6) New investments.
(f) With the dissolution of redevelopment agencies throughout the state, property and business improvement districts have become even more important tools with which communities can combat blight, promote economic opportunities, and create a clean and safe environment. (g) Since the enactment of this act, the people of California have adopted Proposition 218, which added Article XIII D to the Constitution in order to place certain requirements and restrictions on the formation of, and activities, expenditures, and assessments by property-based districts. Article XIII D of the Constitution provides that property-based districts may only levy assessments for special benefits. (h) The act amending this section is intended to provide the Legislature’s guidance with regard to this act, its interaction with the provisions of Article XIII D of the Constitution, and the determination of special benefits in property-based districts.
(1) The lack of legislative guidance has resulted in uncertainty and inconsistent application of this act, which discourages the use of assessments to fund needed improvements, maintenance, and activities in property-based districts, contributing to blight and other underutilization of property. (2) Activities undertaken for the purpose of conferring special benefits upon property to be assessed inherently produce incidental or collateral effects that benefit property or persons not assessed.
Therefore, for special benefits to exist as a separate and distinct category from general benefits, the incidental or collateral effects of those special benefits are inherently part of those special benefits. The
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mere fact that special benefits produce incidental or collateral effects that benefit property or persons not assessed does not convert any portion of those special benefits or their incidental or collateral effects into general benefits.
(3) It is of the utmost importance that property-based districts created under this act have clarity regarding restrictions on assessments they may levy and the proper determination of special benefits.
Legislative clarity with regard to this act will provide districts with clear instructions and courts with legislative intent regarding restrictions on property-based assessments, and the manner in which special benefits should be determined.
36602. Purpose of part
The purpose of this part is to supplement previously enacted provisions of law that authorize cities to levy assessments within property and business improvement districts, to ensure that those assessments conform to all constitutional requirements and are determined and assessed in accordance with the guidance set forth in this act. This part does not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes.
36603. Preemption of authority or charter city to adopt ordinances levying assessments Nothing in this part is intended to preempt the authority of a charter city to adopt ordinances providing for a different method of levying assessments for similar or additional purposes from those set forth in this part. A property and business improvement district created pursuant to this part is expressly exempt from the provisions of the Special Assessment Investigation, Limitation and Majority Protest Act of 1931 (Division 4 (commencing with Section 2800)). 36603.5. Part prevails over conflicting provisions
Any provision of this part that conflicts with any other provision of law shall prevail over the other provision of law, as to districts created under this part.
36604. Severability
This part is intended to be construed liberally and, if any provision is held invalid, the remaining provisions shall remain in full force and effect. Assessments levied under this part are not special taxes.
ARTICLE 2. Definitions
36606. “Activities”
“Activities” means, but is not limited to, all of the following that benefit businesses or real property in the district:
(a) Promotion of public events.
(b) Furnishing of music in any public place.
(c) Promotion of tourism within the district.
(d) Marketing and economic development, including retail retention and recruitment. (e) Providing security, sanitation, graffiti removal, street and sidewalk cleaning, and other municipal services supplemental to those normally provided by the municipality. (f) Other services provided for the purpose of conferring special benefit upon assessed real property or specific benefits upon assessed businesses located in the district. 36606.5. “Assessment”
“Assessment” means a levy for the purpose of acquiring, constructing, installing, or maintaining improvements and providing activities that will provide certain benefits to properties or businesses located within a property and business improvement district.
36607. “Business”
“Business” means all types of businesses and includes financial institutions and professions. 36608. “City”
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“City” means a city, county, city and county, or an agency or entity created pursuant to Article 1 (commencing with Section 6500) of Chapter 5 of Division 7 of Title 1 of the Government Code, the public member agencies of which includes only cities, counties, or a city and county, or the State of California. 36609. “City council”
“City council” means the city council of a city or the board of supervisors of a county, or the agency, commission, or board created pursuant to a joint powers agreement and which is a city within the meaning of this part. 36609.4. “Clerk”
“Clerk” means the clerk of the legislative body.
36609.5. “General benefit”
“General benefit” means, for purposes of a property-based district, any benefit that is not a “special benefit” as defined in Section 36615.5.
36610. “Improvement”
“Improvement” means the acquisition, construction, installation, or maintenance of any tangible property with an estimated useful life of five years or more including, but not limited to, the following:
(a) Parking facilities.
(b) Benches, booths, kiosks, display cases, pedestrian shelters and signs. (c) Trash receptacles and public restrooms.
(d) Lighting and heating facilities.
(e) Decorations.
(f) Parks.
(g) Fountains.
(h) Planting areas.
(i) Closing, opening, widening, or narrowing of existing streets. (j) Facilities or equipment, or both, to enhance security of persons and property within the district. (k) Ramps, sidewalks, plazas, and pedestrian malls.
(l) Rehabilitation or removal of existing structures.
36611. “Management district plan”; “Plan”
“Management district plan” or “plan” means a proposal as defined in Section 36622. 36612. “Owners’ association”
“Owners’ association” means a private nonprofit entity that is under contract with a city to administer or implement improvements, maintenance, and activities specified in the management district plan. An owners’ association may be an existing nonprofit entity or a newly formed nonprofit entity. An owners’ association is a private entity and may not be considered a public entity for any purpose, nor may its board members or staff be considered to be public officials for any purpose. Notwithstanding this section, an owners’ association shall comply with the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5 of the Government Code), at all times when matters within the subject matter of the district are heard, discussed, or deliberated, and with the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code), for all records relating to activities of the district.
36614. “Property”
“Property” means real property situated within a district. 36614.5. “Property and business improvement district”; “District” “Property and business improvement district,” or “district,” means a property and business improvement district established pursuant to this part.
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36614.6. “Property-based assessment”
“Property-based assessment” means any assessment made pursuant to this part upon real property. 36614.7. “Property-based district”
“Property-based district” means any district in which a city levies a property-based assessment. 36615. “Property owner”; “Business owner”; “Owner”
“Property owner” means any person shown as the owner of land on the last equalized assessment roll or otherwise known to be the owner of land by the city council. “Business owner” means any person recognized by the city as the owner of the business. “Owner” means either a business owner or a property owner. The city council has no obligation to obtain other information as to the ownership of land or businesses, and its determination of ownership shall be final and conclusive for the purposes of this part. Wherever this part requires the signature of the property owner, the signature of the authorized agent of the property owner shall be sufficient. Wherever this part requires the signature of the business owner, the signature of the authorized agent of the business owner shall be sufficient. 36615.5. “Special benefit”
“Special benefit” means, for purposes of a property-based district, a particular and distinct benefit over and above general benefits conferred on real property located in a district or to the public at large. Special benefit includes incidental or collateral effects that arise from the improvements, maintenance, or activities of property-based districts even if those incidental or collateral effects benefit property or persons not assessed. Special benefit excludes general enhancement of property value.
36616. “Tenant”
“Tenant” means an occupant pursuant to a lease of commercial space or a dwelling unit, other than an owner.
ARTICLE 3. Prior Law
36617. Alternate method of financing certain improvements and activities; Effect on other provisions This part provides an alternative method of financing certain improvements and activities. The provisions of this part shall not affect or limit any other provisions of law authorizing or providing for the furnishing of improvements or activities or the raising of revenue for these purposes. Every improvement area established pursuant to the Parking and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500) of this division) is valid and effective and is unaffected by this part.
CHAPTER 2. Establishment
36620. Establishment of property and business improvement district A property and business improvement district may be established as provided in this chapter. 36620.5. Requirement of consent of city council
A county may not form a district within the territorial jurisdiction of a city without the consent of the city council of that city. A city may not form a district within the unincorporated territory of a county without the consent of the board of supervisors of that county. A city may not form a district within the territorial jurisdiction of another city without the consent of the city council of the other city.
36621. Initiation of proceedings; Petition of property or business owners in proposed district (a) Upon the submission of a written petition, signed by the property or business owners in the proposed district who will pay more than 50 percent of the assessments proposed to be levied, the city council may initiate proceedings to form a district by the adoption of a resolution expressing its intention to form a district. The
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amount of assessment attributable to property or a business owned by the same property or business owner that is in excess of 40 percent of the amount of all assessments proposed to be levied, shall not be included in determining whether the petition is signed by property or business owners who will pay more than 50 percent of the total amount of assessments proposed to be levied.
(b) The petition of property or business owners required under subdivision (a) shall include a summary of the management district plan. That summary shall include all of the following:
(1) A map showing the boundaries of the district.
(2) Information specifying where the complete management district plan can be obtained. (3) Information specifying that the complete management district plan shall be furnished upon request. (c) The resolution of intention described in subdivision (a) shall contain all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property or businesses within the district, a statement as to whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements do not need to be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities, and the location and extent of the proposed district. (2) A time and place for a public hearing on the establishment of the property and business improvement district and the levy of assessments, which shall be consistent with the requirements of Section 36623.
36622. Contents of management district plan
The management district plan shall include, but is not limited to, all of the following:
(a) If the assessment will be levied on property, a map of the district in sufficient detail to locate each parcel of property and, if businesses are to be assessed, each business within the district. If the assessment will be levied on businesses, a map that identifies the district boundaries in sufficient detail to allow a business owner to reasonably determine whether a business is located within the district boundaries. If the assessment will be levied on property and businesses, a map of the district in sufficient detail to locate each parcel of property and to allow a business owner to reasonably determine whether a business is located within the district boundaries. (b) The name of the proposed district.
(c) A description of the boundaries of the district, including the boundaries of benefit zones, proposed for establishment or extension in a manner sufficient to identify the affected property and businesses included, which may be made by reference to any plan or map that is on file with the clerk. The boundaries of a proposed property assessment district shall not overlap with the boundaries of another existing property assessment district created pursuant to this part. This part does not prohibit the boundaries of a district created pursuant to this part to overlap with other assessment districts established pursuant to other provisions of law, including, but not limited to, the Parking and Business Improvement Area Law of 1989 (Part 6 (commencing with Section 36500)). This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with another business assessment district created pursuant to this part. This part does not prohibit the boundaries of a business assessment district created pursuant to this part to overlap with a property assessment district created pursuant to this part.
(d) The improvements, maintenance, and activities proposed for each year of operation of the district and the maximum cost thereof. If the improvements, maintenance, and activities proposed for each year of operation are the same, a description of the first year’s proposed improvements, maintenance, and activities and a statement that the same improvements, maintenance, and activities are proposed for subsequent years shall satisfy the requirements of this subdivision.
(e) The total annual amount proposed to be expended for improvements, maintenance, or activities, and debt service in each year of operation of the district. If the assessment is levied on businesses, this amount may be estimated based upon the assessment rate. If the total annual amount proposed to be expended in each year of operation of the district is not significantly different, the amount proposed to be expended in the initial year and a statement that a similar amount applies to subsequent years shall satisfy the requirements of this subdivision. (f) The proposed source or sources of financing, including the proposed method and basis of levying the assessment in sufficient detail to allow each property or business owner to calculate the amount of the assessment to be levied against his or her property or business. The plan also shall state whether bonds will be issued to finance improvements.
(g) The time and manner of collecting the assessments.
(h) The specific number of years in which assessments will be levied. In a new district, the maximum number of years shall be five. Upon renewal, a district shall have a term not to exceed 10 years. Notwithstanding these limitations, a district created pursuant to this part to finance capital improvements with bonds may levy
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assessments until the maximum maturity of the bonds. The management district plan may set forth specific increases in assessments for each year of operation of the district. (i) The proposed time for implementation and completion of the management district plan. (j) Any proposed rules and regulations to be applicable to the district. (k) (1) A list of the properties or businesses to be assessed, including the assessor’s parcel numbers for properties to be assessed, and a statement of the method or methods by which the expenses of a district will be imposed upon benefited real property or businesses, in proportion to the benefit received by the property or business, to defray the cost thereof.
(2) In a property-based district, the proportionate special benefit derived by each identified parcel shall be determined exclusively in relationship to the entirety of the capital cost of a public improvement, the maintenance and operation expenses of a public improvement, or the cost of the activities. An assessment shall not be imposed on any parcel that exceeds the reasonable cost of the proportional special benefit conferred on that parcel. Only special benefits are assessable, and a property-based district shall separate the general benefits, if any, from the special benefits conferred on a parcel. Parcels within a property-based district that are owned or used by any city, public agency, the State of California, or the United States shall not be exempt from assessment unless the governmental entity can demonstrate by clear and convincing evidence that those publicly owned parcels in fact receive no special benefit. The value of any incidental, secondary, or collateral effects that arise from the improvements, maintenance, or activities of a property-based district and that benefit property or persons not assessed shall not be deducted from the entirety of the cost of any special benefit or affect the proportionate special benefit derived by each identified parcel. (l) In a property-based district, the total amount of all special benefits to be conferred upon the properties located within the property-based district.
(m) In a property-based district, the total amount of general benefits, if any. (n) In a property-based district, a detailed engineer’s report prepared by a registered professional engineer certified by the State of California supporting all assessments contemplated by the management district plan. (o) Any other item or matter required to be incorporated therein by the city council. 36623. Procedure to levy assessment
(a) If a city council proposes to levy a new or increased property assessment, the notice and protest and hearing procedure shall comply with Section 53753 of the Government Code. (b) If a city council proposes to levy a new or increased business assessment, the notice and protest and hearing procedure shall comply with Section 54954.6 of the Government Code, except that notice shall be mailed to the owners of the businesses proposed to be assessed. A protest may be made orally or in writing by any interested person. Every written protest shall be filed with the clerk at or before the time fixed for the public hearing. The city council may waive any irregularity in the form or content of any written protest. A written protest may be withdrawn in writing at any time before the conclusion of the public hearing. Each written protest shall contain a description of the business in which the person subscribing the protest is interested sufficient to identify the business and, if a person subscribing is not shown on the official records of the city as the owner of the business, the protest shall contain or be accompanied by written evidence that the person subscribing is the owner of the business or the authorized representative. A written protest that does not comply with this section shall not be counted in determining a majority protest. If written protests are received from the owners or authorized representatives of businesses in the proposed district that will pay 50 percent or more of the assessments proposed to be levied and protests are not withdrawn so as to reduce the protests to less than 50 percent, no further proceedings to levy the proposed assessment against such businesses, as contained in the resolution of intention, shall be taken for a period of one year from the date of the finding of a majority protest by the city council.
(c) If a city council proposes to conduct a single proceeding to levy both a new or increased property assessment and a new or increased business assessment, the notice and protest and hearing procedure for the property assessment shall comply with subdivision (a), and the notice and protest and hearing procedure for the business assessment shall comply with subdivision (b). If a majority protest is received from either the property or business owners, that respective portion of the assessment shall not be levied. The remaining portion of the assessment may be levied unless the improvement or other special benefit was proposed to be funded by assessing both property and business owners.
36624. Changes to proposed assessments
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At the conclusion of the public hearing to establish the district, the city council may adopt, revise, change, reduce, or modify the proposed assessment or the type or types of improvements, maintenance, and activities to be funded with the revenues from the assessments. Proposed assessments may only be revised by reducing any or all of them. At the public hearing, the city council may only make changes in, to, or from the boundaries of the proposed property and business improvement district that will exclude territory that will not benefit from the proposed improvements, maintenance, and activities. Any modifications, revisions, reductions, or changes to the proposed assessment district shall be reflected in the notice and map recorded pursuant to Section 36627.
36625. Resolution of formation
(a) If the city council, following the public hearing, decides to establish a proposed property and business improvement district, the city council shall adopt a resolution of formation that shall include, but is not limited to, all of the following:
(1) A brief description of the proposed improvements, maintenance, and activities, the amount of the proposed assessment, a statement as to whether the assessment will be levied on property, businesses, or both within the district, a statement on whether bonds will be issued, and a description of the exterior boundaries of the proposed district, which may be made by reference to any plan or map that is on file with the clerk. The descriptions and statements need not be detailed and shall be sufficient if they enable an owner to generally identify the nature and extent of the improvements, maintenance, and activities and the location and extent of the proposed district.
(2) The number, date of adoption, and title of the resolution of intention. (3) The time and place where the public hearing was held concerning the establishment of the district. (4) A determination regarding any protests received. The city shall not establish the district or levy assessments if a majority protest was received.
(5) A statement that the properties, businesses, or properties and businesses in the district established by the resolution shall be subject to any amendments to this part. (6) A statement that the improvements, maintenance, and activities to be conferred on businesses and properties in the district will be funded by the levy of the assessments. The revenue from the levy of assessments within a district shall not be used to provide improvements, maintenance, or activities outside the district or for any purpose other than the purposes specified in the resolution of intention, as modified by the city council at the hearing concerning establishment of the district. Notwithstanding the foregoing, improvements and activities that must be provided outside the district boundaries to create a special or specific benefit to the assessed parcels or businesses may be provided, but shall be limited to marketing or signage pointing to the district. (7) A finding that the property or businesses within the area of the property and business improvement district will be benefited by the improvements, maintenance, and activities funded by the proposed assessments, and, for a property-based district, that property within the district will receive a special benefit.
(8) In a property-based district, the total amount of all special benefits to be conferred on the properties within the property-based district.
(b) The adoption of the resolution of formation and, if required, recordation of the notice and map pursuant to Section 36627 shall constitute the levy of an assessment in each of the fiscal years referred to in the management district plan.
36627. Notice and assessment diagram
Following adoption of the resolution establishing district assessments on properties pursuant to Section 36625, the clerk shall record a notice and an assessment diagram pursuant to Section 3114. No other provision of Division 4.5 (commencing with Section 3100) applies to an assessment district created pursuant to this part. 36628. Establishment of separate benefit zones within district; Categories of businesses The city council may establish one or more separate benefit zones within the district based upon the degree of benefit derived from the improvements or activities to be provided within the benefit zone and may impose a different assessment within each benefit zone. If the assessment is to be levied on businesses, the city council may also define categories of businesses based upon the degree of benefit that each will derive from the improvements or activities to be provided within the district and may impose a different assessment or rate of assessment on each category of business, or on each category of business within each zone.
36628.5. Assessments on businesses or property owners
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The city council may levy assessments on businesses or on property owners, or a combination of the two, pursuant to this part. The city council shall structure the assessments in whatever manner it determines corresponds with the distribution of benefits from the proposed improvements, maintenance, and activities, provided that any property-based assessment conforms with the requirements set forth in paragraph (2) of subdivision (k) of Section 36622. 36629. Provisions and procedures applicable to benefit zones and business categories All provisions of this part applicable to the establishment, modification, or disestablishment of a property and business improvement district apply to the establishment, modification, or disestablishment of benefit zones or categories of business. The city council shall, to establish, modify, or disestablish a benefit zone or category of business, follow the procedure to establish, modify, or disestablish a property and business improvement district. 36630. Expiration of district; Creation of new district If a property and business improvement district expires due to the time limit set pursuant to subdivision (h) of Section 36622, a new management district plan may be created and the district may be renewed pursuant to this part.
CHAPTER 3. Assessments
36631. Time and manner of collection of assessments; Delinquent payments The collection of the assessments levied pursuant to this part shall be made at the time and in the manner set forth by the city council in the resolution levying the assessment. Assessments levied on real property may be collected at the same time and in the same manner as for the ad valorem property tax, and may provide for the same lien priority and penalties for delinquent payment. All delinquent payments for assessments levied pursuant to this part may be charged interest and penalties.
36632. Assessments to be based on estimated benefit; Classification of real property and businesses; Exclusion of residential and agricultural property
(a) The assessments levied on real property pursuant to this part shall be levied on the basis of the estimated benefit to the real property within the property and business improvement district. The city council may classify properties for purposes of determining the benefit to property of the improvements and activities provided pursuant to this part.
(b) Assessments levied on businesses pursuant to this part shall be levied on the basis of the estimated benefit to the businesses within the property and business improvement district. The city council may classify businesses for purposes of determining the benefit to the businesses of the improvements and activities provided pursuant to this part.
(c) Properties zoned solely for residential use, or that are zoned for agricultural use, are conclusively presumed not to benefit from the improvements and service funded through these assessments, and shall not be subject to any assessment pursuant to this part.
36633. Time for contesting validity of assessment
The validity of an assessment levied under this part shall not be contested in an action or proceeding unless the action or proceeding is commenced within 30 days after the resolution levying the assessment is adopted pursuant to Section 36625.
An appeal from a final judgment in an action or proceeding shall be perfected within 30 days after the entry of judgment. 36634. Service contracts authorized to establish levels of city services The city council may execute baseline service contracts that would establish levels of city services that would continue after a property and business improvement district has been formed. 36635. Request to modify management district plan
The owners’ association may, at any time, request that the city council modify the management district plan. Any modification of the management district plan shall be made pursuant to this chapter. 36636. Modification of plan by resolution after public hearing; Adoption of resolution of intention
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(a) Upon the written request of the owners’ association, the city council may modify the management district plan after conducting one public hearing on the proposed modifications. The city council may modify the improvements and activities to be funded with the revenue derived from the levy of the assessments by adopting a resolution determining to make the modifications after holding a public hearing on the proposed modifications.
If the modification includes the levy of a new or increased assessment, the city council shall comply with Section 36623. Notice of all other public hearings pursuant to this section shall comply with both of the following:
(1) The resolution of intention shall be published in a newspaper of general circulation in the city once at least seven days before the public hearing.
(2) A complete copy of the resolution of intention shall be mailed by first class mail, at least 10 days before the public hearing, to each business owner or property owner affected by the proposed modification.
(b) The city council shall adopt a resolution of intention which states the proposed modification prior to the public hearing required by this section. The public hearing shall be held not more than 90 days after the adoption of the resolution of intention.
36637. Reflection of modification in notices recorded and maps Any subsequent modification of the resolution shall be reflected in subsequent notices and maps recorded pursuant to Division 4.5 (commencing with Section 3100), in a manner consistent with the provisions of Section 36627.
CHAPTER 3.5. Financing
36640.Bonds authorized; Procedure; Restriction on reduction or termination of assessments (a)The city council may, by resolution, determine and declare that bonds shall be issued to finance the estimated cost of some or all of the proposed improvements described in the resolution of formation adopted pursuant to Section 36625, if the resolution of formation adopted pursuant to that section provides for the issuance of bonds, under the Improvement Bond Act of 1915 (Division 10 (commencing with Section 8500)) or in conjunction with Marks-Roos Local Bond Pooling Act of 1985 (Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1 of the Government Code). Either act, as the case may be, shall govern the proceedings relating to the issuance of bonds, although proceedings under the Bond Act of 1915 may be modified by the city council as necessary to accommodate assessments levied upon business pursuant to this part. (b) The resolution adopted pursuant to subdivision (a) shall generally describe the proposed improvements specified in the resolution of formation adopted pursuant to Section 36625, set forth the estimated cost of those improvements, specify the number of annual installments and the fiscal years during which they are to be collected. The amount of debt service to retire the bonds shall not exceed the amount of revenue estimated to be raised from assessments over 30 years.
(c) Notwithstanding any other provision of this part, assessments levied to pay the principal and interest on any bond issued pursuant to this section shall not be reduced or terminated if doing so would interfere with the timely retirement of the debt.
CHAPTER 4. Governance
36650. Report by owners’ association; Approval or modification by city council (a) The owners’ association shall cause to be prepared a report for each fiscal year, except the first year, for which assessments are to be levied and collected to pay the costs of the improvements, maintenance, and activities described in the report. The owners’ association’s first report shall be due after the first year of operation of the district. The report may propose changes, including, but not limited to, the boundaries of the property and business improvement district or any benefit zones within the district, the basis and method of levying the assessments, and any changes in the classification of property, including any categories of business, if a classification is used.
(b) The report shall be filed with the clerk and shall refer to the property and business improvement district by name, specify the fiscal year to which the report applies, and, with respect to that fiscal year, shall contain all of the following information:
(1) Any proposed changes in the boundaries of the property and business improvement district or in any benefit zones or classification of property or businesses within the district. (2) The improvements, maintenance, and activities to be provided for that fiscal year.
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(3) An estimate of the cost of providing the improvements, maintenance, and activities for that fiscal year.
(4) The method and basis of levying the assessment in sufficient detail to allow each real property or business owner, as appropriate, to estimate the amount of the assessment to be levied against his or her property or business for that fiscal year.
(5) The estimated amount of any surplus or deficit revenues to be carried over from a previous fiscal year.
(6) The estimated amount of any contributions to be made from sources other than assessments levied pursuant to this part.
(c) The city council may approve the report as filed by the owners’ association or may modify any particular contained in the report and approve it as modified. Any modification shall be made pursuant to Sections 36635 and 36636.
The city council shall not approve a change in the basis and method of levying assessments that would impair an authorized or executed contract to be paid from the revenues derived from the levy of assessments, including any commitment to pay principal and interest on any bonds issued on behalf of the district. 36651. Designation of owners’ association to provide improvements, maintenance, and activities The management district plan may, but is not required to, state that an owners’ association will provide the improvements, maintenance, and activities described in the management district plan. If the management district plan designates an owners’ association, the city shall contract with the designated nonprofit corporation to provide services.
CHAPTER 5. Renewal
36660. Renewal of district; Transfer or refund of remaining revenues; District term limit (a) Any district previously established whose term has expired, or will expire, may be renewed by following the procedures for establishment as provided in this chapter. (b) Upon renewal, any remaining revenues derived from the levy of assessments, or any revenues derived from the sale of assets acquired with the revenues, shall be transferred to the renewed district. If the renewed district includes additional parcels or businesses not included in the prior district, the remaining revenues shall be spent to benefit only the parcels or businesses in the prior district. If the renewed district does not include parcels or businesses included in the prior district, the remaining revenues attributable to these parcels shall be refunded to the owners of these parcels or businesses.
(c) Upon renewal, a district shall have a term not to exceed 10 years, or, if the district is authorized to issue bonds, until the maximum maturity of those bonds. There is no requirement that the boundaries, assessments, improvements, or activities of a renewed district be the same as the original or prior district.
CHAPTER 6. Disestablishment
36670. Circumstances permitting disestablishment of district; Procedure (a) Any district established or extended pursuant to the provisions of this part, where there is no indebtedness, outstanding and unpaid, incurred to accomplish any of the purposes of the district, may be disestablished by resolution by the city council in either of the following circumstances:
(1) If the city council finds there has been misappropriation of funds, malfeasance, or a violation of law in connection with the management of the district, it shall notice a hearing on disestablishment. (2) During the operation of the district, there shall be a 30-day period each year in which assessees may request disestablishment of the district. The first such period shall begin one year after the date of establishment of the district and shall continue for 30 days. The next such 30-day period shall begin two years after the date of the establishment of the district. Each successive year of operation of the district shall have such a 30-day period. Upon the written petition of the owners or authorized representatives of real property or the owners or authorized representatives of businesses in the district who pay 50 percent or more of the assessments levied, the city council shall pass a resolution of intention to disestablish the district. The city council shall notice a hearing on disestablishment. (b) The city council shall adopt a resolution of intention to disestablish the district prior to the public hearing required by this section. The resolution shall state the reason for the disestablishment, shall state the time and place of the public hearing, and shall contain a proposal to dispose of any assets acquired with the revenues of the assessments levied within the property and business improvement district. The notice of the hearing on
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disestablishment required by this section shall be given by mail to the property owner of each parcel or to the owner of each business subject to assessment in the district, as appropriate. The city shall conduct the public hearing not less than 30 days after mailing the notice to the property or business owners. The public hearing shall be held not more than 60 days after the adoption of the resolution of intention. 36671. Refund of remaining revenues upon disestablishment or expiration without renewal of district; Calculation of refund; Use of outstanding revenue collected after disestablishment of district (a) Upon the disestablishment or expiration without renewal of a district, any remaining revenues, after all outstanding debts are paid, derived from the levy of assessments, or derived from the sale of assets acquired with the revenues, or from bond reserve or construction funds, shall be refunded to the owners of the property or businesses then located and operating within the district in which assessments were levied by applying the same method and basis that was used to calculate the assessments levied in the fiscal year in which the district is disestablished or expires. All outstanding assessment revenue collected after disestablishment shall be spent on improvements and activities specified in the management district plan. (b) If the disestablishment occurs before an assessment is levied for the fiscal year, the method and basis that was used to calculate the assessments levied in the immediate prior fiscal year shall be used to calculate the amount of any refund.
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APPENDIX 2 – ASSESSED BUSINESSES
Business Name Address
Bella Luna 530 Healdsburg Avenue, Healdsburg, CA 95448
Bella Villa Messina 316 Burgundy Road, Healdsburg, CA 95448 Belle de Jour Inn 16276 Healdsburg Avenue, Healdsburg, CA 95448 Best Western Dry Creek Inn 198 Dry Creek Road, Healdsburg, CA 95448 Calderwood Inn 25 West Grant Street, Healdsburg, CA 95448 Camellia Inn 211 North Street, Healdsburg, CA 95448
Cottages at Healdsburg 425 Foss Street, Healdsburg, CA 95448 Cypress House and Studio 410 Grater Street, Healdsburg, CA 95448 Duchamp Hotel 421 Foss Street, Healdsburg, CA 95448
Fairview Inn and Suites 74 Healdsburg Avenue, Healdsburg, CA 95448 Grandma's Victorian Cottage 607 Johnson Street, Healdsburg, CA 95448 Grape Leaf Inn 539 Johnson Street, Healdsburg, CA 95448 h2hotel 219 Healdsburg Avenue, Healdsburg, CA 95448
Harmon Guest House 414 Healdsburg Avenue, Healdsburg, CA 95448 Healdsburg Contemporary Cottage 225 Piper Street, Healdsburg, CA 95448 Healdsburg Cottage 602 College Street, Healdsburg, CA 95448 Healdsburg Inn on the Plaza 112 Matheson Street, Healdsburg, CA 95448 Honor Mansion 891 Grove Street, Healdsburg, CA 95448
Hotel Healdsburg 25 Matheson Street, Healdsburg, CA 95448 Hotel Les Mars 27 North Street, Healdsburg, CA 95448
Hotel Trio 110 Dry Creek Road, Healdsburg, CA 95448
Hotel Vinea 178 Dry Creek Rd, Healdsburg, CA 95448
Inspirato 223 Center Street, Healdsburg, CA 95448
L & M Motel 70 Healdsburg Ave., Healdsburg, CA 95448
Montage Healdsburg 100 Montage Way, Healdsburg, CA 95448 River Belle 68 Front Street, Healdsburg, CA 95448
Rock House Suites 115 Mill St, Healdsburg, CA 95448
Single Thread Farm Inn 131 B North Street, Healdsburg, CA 95448 The Roost 340 East Street, Healdsburg, CA 95448
Two Thirty Five 235 Healdsburg Avenue, Healdsburg, CA 95448 Bella Luna 530 Healdsburg Avenue, Healdsburg, CA 95448
Bella Villa Messina 316 Burgundy Road, Healdsburg, CA 95448
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CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: Resolution to Approve a Loan with Eden Mill District, LP for the Randall Apartments
PREPARED BY: Stephen Sotomayor, Housing Director
STRATEGIC INITIATIVE(S):
Expand Affordable Housing Opportunities
RECOMMENDED ACTION(S):
Adopt a Resolution approving a $250,000 loan to Eden Mill District, LP, from the City of Healdsburg affordable housing fund for a term of twenty (20) years and authorizing the City Manager to execute the agreement and take any related actions necessary to complete the transaction.
COMMUNITY ENGAGEMENT/OUTREACH:
This item will be considered at a public meeting where time will be provided for public comment on the proposed loan. The development of the affordable housing on Lot 7 of the Mill District project, now named the Randall, has been the subject of many community and public meetings in which time for public comment was provided.
BACKGROUND:
In 2018, Replay Healdsburg, LLC submitted an application to the City of Healdsburg for development of a mixed-use project, the Mill District Project, on a 9.59-acre site located at 146 and 164 Healdsburg Avenue. The Planning Commission held several community workshops on the Project prior to conducting a public hearing and approving a Master Conditional Use Permit (CUP 2017-02) in January 2019.
In March 2019, the City Council conducted a public hearing and approved a tentative map (TM 2017-01) for the Project and in April 2019, the City Council adopted a Development Agreement for the Project. In June 2019, the Planning Commission conducted a public hearing and approved a Design Review permit (DR 2019-10) for a 41-unit affordable housing development on Lot 7 of the Mill District. In February 2020, the Planning Commission conducted a public hearing and approved a revision to DR 2019-10.
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On April 6, 2020, the Healdsburg City Council approved an Affordable Housing Regulatory Agreement and Declaration of Restrictive Covenants between the City of Healdsburg and Replay Healdsburg, LLC for the Mill District Project (Lot 7) to stipulate the parties’ obligations to provide 41 units of affordable housing.
The Apartments on Lot 7, now known as the Randall, are currently under construction after having received over $17M through the State of California Tax Credit Allocation Committee (TCAC) and funding from project-based Section 8 vouchers.
The Randall will provide 41 units of affordable housing for those that make less than 60% of Area Median Income (AMI) The mix of units at the Randall include, 19 one-bedroom units, 11 two-bedroom units, and 11 three-bedroom units. The Randall is expected to be fully occupied in the first half of 2023.
DISCUSSION/ANALYSIS:
Staff is recommending that the City Council adopt a resolution to approve a loan in the amount of $250,000 to Eden Mill District, LP for a term of 20 years. Staff also recommends the Council authorize the City Manager to execute the loan agreement and take any related actions necessary to complete the transaction. for Low-Income Housing Tax Credits (LIHTC) through the State of California Tax Credit Allocation Committee (TCAC). Eden Housing was successful in securing over $17M in TCAC funding. After TCAC approved the funding, the City discovered an error in calculating the fees. There is now a gap between what was submitted for funding and what the actual fees are.
Affordable Housing projects, such as the Randall, operate on very thin margins. The rents that can be charged versus the cost of construction usually require that the units be subsidized.
LIHTC programs are designed to bridge this gap by providing capital through tax credit equity, however, once awarded, there are few remedies to cover unexpected project costs. In this case, Eden Housing’s application reflected a fee structure that both the City and Eden believed to be accurate at that time, but it was later determined to be lower than the actual costs.
The proposed loan would ensure that the project can close on time and the project’s primary construction loan can convert to permanent financing. Eden is currently in the process of leasing units in the Randall, and the proposed loan will allow them to complete the project within the required timeframes.
By structuring this assistance as a loan from the Measure S fund, the City ensures that all impact fees required to support City infrastructure are paid to the appropriate funds prior to occupancy of the project.
Proposed Loan
Staff proposes that the City provide a $250,000 loan to the Eden Mill District, LP, from the City’s Affordable Housing Fund, Measure S, to cover the gap in the project’s financing. The
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recommended loan would have a 20-year term at 2.25% interest that will compound annually.
Annual payments of $15,661 are based on residual receipts with interest being paid first.
Residual receipt loans are based on a project’s cash flow; therefore, payments are not guaranteed unless the project’s Gross Operating Revenue exceeds that of the Annual Operating Expenses.
However, regardless of the payment structure, the loan is due and payable, complete with all interest, in 20 years. The loan is secured against the property.
Staff is recommending that Council approve the loan, as the demand for the 41 units of affordable housing being provided by the Randall is needed in the community and is needed for the City to meet its Regional Housing Needs Allocations (RHNA).
The Secured Promissory Note and Subordinate Deed of Trust are attached as Exhibits A and B, respectively.
ENVIRONMENTAL STEWARDSHIP:
There is no direct correlation between this loan and environmental stewardship.
ALTERNATIVES:
The Council may choose to not approve the loan to Eden Mill District, LP or propose modifications to the terms of the loan agreement.
If the Council chooses an alternate action, staff will need further direction as the need for the loan is time sensitive.
FISCAL IMPACT:
The proposed loan of $250,000 was included in the adopted FY 22-23 Budget for the Affordable Housing Fund, Measure S. Eden has proposed base annual payments in the amount of $15,661 through residual receipts, or when Gross Operating Revenue exceeds Annual Operating Expenses. The entire unpaid principal balance of this proposed loan together with all accrued and unpaid interest, shall be due and payable on the maturity date.
ENVIRONMENTAL ANALYSIS:
Pursuant to Title 14, the California Code of Regulations, Section 15302(c) of the California Environmental Quality Act (“CEQA”) guidelines, the proposed action is an administrative activity of the City that will not result in direct or indirect physical changes to the environment.
ATTACHMENT(S):
Resolution
Mill District_ City Development Fee Promissory Note
Mill District_ Subordinate Deed of Trust
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CITY OF HEALDSBURG
RESOLUTION NO. -___ 2022
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG APPROVING A $250,000 LOAN TO EDEN
MILL DISTRICT, LP, FROM THE CITY OF HEALDSBURG
AFFORDABLE HOUSING FUND, FOR A TERM OF TWENTY
(20) YEARS AND AUTHORIZING THE CITY MANAGER TO
EXECUTE THE AGREEMENT AND TAKE ANY RELATED
ACTIONS NECESSARY TO COMPLETE THE TRANSACTION
WHEREAS, In 2018, Replay Healdsburg, LLC submitted an application to the City of Healdsburg for development of a mixed-use project, the Mill District Project, on a 9.59-acre site located at 146 and 164 Healdsburg Avenue. The Planning Commission held several community workshops on the Project prior to conducting a public hearing and approving a Master Conditional Use Permit (CUP 2017-02) in January 2019; and
WHEREAS, In March 2019, the City Council conducted a public hearing and approved a tentative map (TM 2017-01) for the Project and in April 2019, the City Council adopted a Development Agreement for the Project. In June 2019, the Planning Commission conducted a public hearing and approved a Design Review permit (DR 2019-10) for a 41-unit affordable housing development on Lot 7 of the Mill District. In February 2020, the Planning Commission conducted a public hearing and approved a revision to DR 2019-10; and WHEREAS, On April 6, 2020, the Healdsburg City Council approved an Affordable Housing Regulatory Agreement and Declaration of Restrictive Covenants between the City of Healdsburg and Replay Healdsburg, LLC for the Mill District Project (Lot 7) to codify Replay Healdsburg’s obligations to provide 40 units of affordable housing and one manager’s unit; and WHEREAS, Eden Housing is the developer of the affordable housing units, which are apartments on Lot 7, now known as the Randall, and the Randall is currently under construction after having received over $17M through the State of California Tax Credit Allocation Committee and funding from Project-Based Section 8 vouchers; and
WHEREAS, The Randall will provide 40 units of affordable housing for those that make less than 60% of Area Median Income with one manager’s unit; the mix of unit sizes includes, 19 one-bedroom units, 11 two-bedroom units, 11 three-bedroom units and is expected to be fully occupied in the first half of 2023;
WHEREAS, the City initially made an error in calculating development fees on the Project.
Eden Housing used that figure on its application for Low Income Housing Tax Credits for the project. Eden Housing has requested that the City provide a loan in the amount of $250,000 to cover the gap between development fees submitted at the time of its application for Low Income Housing Tax Credits and the actual amount of the fees;
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Packet Pg. 172 Attachment: Resolution (3799 : Randall Apartments Loan) Resolution No. -2022
WHEREAS, Eden Mill District, LP will make payments to the City as outlined in the terms of a Secured Promissory Note and Subordinate Deed of Trust, attached hereto as Exhibits A and B; and
WHEREAS, the funding for the loan was included in the FY 22-23 Budget for Measure S, adopted by the Council.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg approves a $250,0000 loan, from the City’s Affordable Housing Fund, to Eden Mill District, LP, consistent with the provisions of the Secured Promissory Note and Subordinate Deed of Trust, attached hereto as Exhibits A and B, for a term of twenty (20) years, subject to any necessary revisions from the City Attorney, and authorizes the City Manager to execute the agreement and take any related actions necessary to complete the transaction.
PASSED, APPROVED AND ADOPTED by the City Council of the City of Healdsburg, this 17th day of October 2022, by the following vote:
AYES: Councilmembers: ()
NOES: Councilmembers: ()
ABSENT: Councilmembers: ()
ABSTAINING: Councilmembers: ()
SO ORDERED: ATTEST:
___________________________________ ____________________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk
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Packet Pg. 173 Attachment: Resolution (3799 : Randall Apartments Loan)
SECURED PROMISSORY NOTE
$250,000 Healdsburg, California
____, 202__
FOR VALUE RECEIVED, Eden Mill District, LP, a California limited partnership (“Borrower”), hereby promises to pay to the order of the City of Healdsburg, a municipal corporation (“Lender” and collectively with Borrower, the “Parties”), whose address is 401 Grove Street, Healdsburg, California 95448, Attention: City Manager, the principal amount of Two Hundred Fifty Thousand Dollars ($250,000) and all interest accrued thereon. The obligation of Borrower to Lender hereunder shall be secured by that certain Subordinated Deed of Trust (the “Deed of Trust”) executed by Borrower, encumbering Borrower's fee estate in certain real property located in the City of Healdsburg, California (the “City”), as set forth more fully in Exhibit A attached to the Deed of Trust (the “Property”). Borrower shall pay interest at the rates, in the amounts and at the times hereinafter provided.
1. The Loan. Borrower is the developer of that certain forty-one (41) unit affordable housing development located on the Property commonly known as the Mill District Family Apartments (the “Project”). To facilitate the development of the Project and to further the supply of affordable housing in the City, Lender has agreed to allow Borrower to pay certain development fees otherwise now due to the City, over a period of twenty (20) years as more fully set forth in this Secured Promissory Note (the “Note”). The repayment obligations evidenced by this Note shall be the “Loan”. The Note, the Deed of Trust and any other document executed by the Parties in connection with the Loan shall constitute the “Loan Documents”.
2. Interest. Interest shall accrue on the outstanding principal amount at a rate of [2.25%] per annum, compounded annually.
3. Residual Receipts. While the Parties desire to fully amortize the loan over the term of the Loan, Borrower's obligation to make payments under this Note is limited to the extent of One Hundred Percent (100%) of Residual Receipts. For purposes hereof, the following terms shall have the designated meanings:
(i) “Annual Operating Expenses” means, without limitation: (1) all direct costs and expenses actually incurred for the operation and maintenance of the Project to the extent that they are consistent with an annual independent audit performed by a certified public accountant using generally accepted accounting principles necessary to operate the Project in a particular calendar year; (2) property management fees and reimbursements and resident services fees and reimbursements; (3) debt service on any loans secured by the Project (excluding debt service due from residual receipts); (4) payment to reserves as required by senior lenders and pursuant to Borrower's partnership agreement (the “Partnership Agreement”); (5) deferred developer fee; (6) annual partnership management and asset management fees in an annual maximum total amount not to exceed ($43,500) increased by 3% annually payable to Borrower’s general partners and/or limited partners (which fees may accrue if unpaid in any
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Packet Pg. 174 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) year and which may be voluntarily deferred by a general partner or limited partner); (7) repayment of any loans to Borrower from a general partner or limited partner thereof; and (8) the amount of any downward tax credit adjusters pursuant to the Partnership Agreement.
(ii) “Annual Payment Amount” means the Base Annual Payment Amount plus any outstanding Base Annual Payment Amount which was not paid in any prior year because Borrower did not have sufficient Residual Receipts to make such payment and all accrued interest thereon.
(iii) “Base Annual Payment Amount” means [Fifteen Thousand Six Hundred SixtyOne Dollars ($15,661)]. (iv) “Gross Revenue” means, with respect to a particular calendar year, all revenue, income, receipts, and other consideration actually received from operation and leasing of the Project. “Gross Revenue” shall include, but not be limited to: all rents, fees and charges paid by tenants, Section 8 payments or other rental subsidy payments received for the dwelling units, deposits forfeited by tenants, all cancellation fees, price index adjustments and any other rental adjustments to leases or rental agreements; proceeds from vending and laundry room machines; the proceeds of business interruption or similar insurance; the proceeds of casualty insurance to the extent not utilized to repair or rebuild the Project (or applied toward the cost of recovering such proceeds); and condemnation awards for a taking of part or all of the Project for a temporary period. “Gross Revenue” shall also include the fair market value of any goods or services provided in consideration for the leasing or other use of any portion of the Project. “Gross Revenue” shall not include tenants' security deposits, loan proceeds, capital contributions, casualty or condemnation proceeds, or similar advances. (v) “Residual Receipts” in a particular calendar year shall mean the amount by which Gross Revenue exceeds Annual Operating Expenses.
4. Maturity. The entire unpaid principal balance of this Note, together with all accrued and unpaid interest, shall be due and payable on ____, 20__ (the “Maturity Date”).
5. Prepayment. The principal of this Note may be voluntarily prepaid at any time, in its entirety or in any partial amount, without penalty.
6. Timing of Payments/Residual Receipts Reports. On or before May 1, 20__, and on or before May 1st every year thereafter so long as the Loan remains unpaid, Borrower shall pay to Lender, solely from Residual Receipts, an amount equal to the lesser of (i) the then applicable Annual Payment Amount or (ii) one hundred percent (100%) of Residual Receipts.
To the extent one hundred percent (100%) of Residual Receipts for any given year is less than the Annual Payment Amount, said difference shall remain outstanding. All payments made to Lender under this Note shall be accompanied by a report, prepared by a certified public accountant, setting forth the calculation of Residual Receipts (“Residual Receipts Report”) in accordance with the terms of this Note. Such Residual Receipt Reports shall be delivered to
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Packet Pg. 175 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) Lender annually on or before the 1st day of May (the “Residual Receipt Due Date”) whether or not any payment is made or due under this Note for that particular year. As used in this Note, the term “business day” shall mean a day other than a Saturday, Sunday or a day on which banking institutions in the State of California are authorized or required by law to close. If the due date for any payment is not a business day, such due date shall be deemed for all purposes to fall on the next business day, and any such extension shall be included in the computation of interest payments.
7. Events of Default. The occurrence of any of the following, whatever the reason therefor, shall constitute an “Event of Default” hereunder:
(a) Borrower fails to make any regularly scheduled payment of principal or interest hereunder when due, to the extent there are Residual Receipts (a “Required Payment”) or fails to deliver to Lender any Residual Receipt Report, in either case within thirty (30) days of receipt by Borrower of written notice of such failure; provided, that if Borrower fails to make a Required Payment prior to the expiration of such thirty (30) day cure period, Borrower shall be obligated to pay to Lender a late fee equal to four percent (4%) of the Required Payment then due and unpaid; or
(b) Borrower fails to pay any other amount owing to Lender under any Loan Document, or fails to perform any other obligation under any Loan Document, the breach of which can be cured by the payment of money, within thirty (30) days after receipt by Borrower of written notice thereof; or
(c) Borrower fails to perform any obligation under any Loan Document (other than obligations the breach of which can be cured by the payment of money) within thirty (30) days after notice; provided, however, that, if cure cannot reasonably be effected within such thirty (30) day period, there shall be no Event of Default under this subparagraph (c) so long as Borrower promptly commences cure and thereafter diligently prosecutes such cure to completion; or
(d) Borrower is dissolved, liquidated or terminated, or all or substantially all of the assets of Borrower are sold or otherwise transferred without Lender's prior written consent; or
(e) Borrower is the subject of an order for relief by a bankruptcy court, or is unable or admits its inability to pay its debts as they mature, or makes an assignment for the benefit of creditors; or Borrower applies for or consents to the appointment of any rehabilitator or similar officer for it or any part of its property; or any receiver, trustee, custodian, conservator, liquidator, rehabilitator or similar officer is appointed without the application or consent of Borrower and the appointment continues undischarged or unstayed for one hundred twenty (120) days; or Borrower institutes or consents to any bankruptcy, insolvency, reorganization, arrangement, readjustment or debt, dissolution, custodianship, conservatorship, liquidation, rehabilitation or similar proceeding relating to it or any part of its property; or any similar proceeding is instituted without the consent of Borrower, as the case may be, and continues undismissed or unstayed for one hundred twenty (120) days; or any judgment, writ, warrant or attachment or execution, or similar process is issued or levied against any property of Borrower
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Packet Pg. 176 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) and is not released, vacated or fully bonded within one hundred twenty (120) days after its issue or levy.
Notwithstanding anything to the contrary contained herein, prior to declaring any default or taking any remedy permitted hereunder or under applicable law based upon an alleged default under this Note, Lender shall give a written notice to the limited partner of Borrower at the notice address set forth herein and the limited partner shall have a period of not less than thirty (30) days to cure such alleged default; provided, however, if in order to cure such default the limited partner reasonably believes that it must remove the General Partner of Borrower pursuant to the provisions contained in the Partnership Agreement of Borrower, the limited partner shall so notify Lender and so long as the limited partner is diligently attempting to so remove the General Partner, the limited partner shall have until the date thirty (30) days after the effective date of the removal of the General Partner to cure such default.
8. Acceleration and Other Remedies. Upon the occurrence of any Event of Default, the holder of this Note may, at its option, declare the outstanding principal balance of this Note, together with all accrued interest thereon, to be immediately due and payable. All rights and remedies provided to the holder of this Note are cumulative and shall be in addition to all other rights and remedies of the holder under other documents, at law or in equity, and all such rights and remedies may be exercised singly, successively and/or concurrently. Failure to exercise any right or remedy shall not be deemed a waiver of such right or remedy.
9. Application of Payments. All payments made hereunder shall be applied first to interest due and then in reduction of the principal balance. If more than one annual payment remains unpaid, amounts received shall be applied to such payments in reverse chronological order.
10. Expenses/Attorneys' Fees. If this Note is not paid when due, whether at each scheduled payment date, at maturity or by acceleration, Borrower promises to pay all costs of collection, including, but not limited to, reasonable attorneys' fees and all expenses incurred in connection with the protection or realization of the collateral securing the payment hereof or enforcement of any guarantee, incurred by Lender on account of such collection, whether or not suit is filed hereon.
11. Waivers. Except as expressly set forth in this Note, Borrower hereby waives presentment, demand, protest, notice of dishonor, notice of protest and all other notices and demands of every kind that would otherwise be available in connection with this Note.
12. Notice. All notices and other communications provided for in this Note shall be in writing and be delivered by messenger, overnight air courier or registered or certified U.S. mail with return receipt requested to the appropriate party at its address as follows:
If to Borrower: Eden Mill District, LP.
c/o Eden Housing
22645 Grand Street
Hayward, CA 94541
Attention: President
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Packet Pg. 177 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) With a copy to: Wells Fargo Affordable Housing Community Development Corporation
One Wachovia Center
301 South College Street
MAC: D1053-170
Charlotte, North Carolina 28288
Attention: Director of Tax Credit Asset Management and Timothy J. McCann, Managing Director
If to Lender: City of Healdsburg
401 Grove Street
Healdsburg, California 95448
Attention: City Manager
Addresses for notice may be changed from time to time by written notice to the other party.
Communications by mail shall be effective upon the earlier of (a) 96 hours after deposit in the U.S. mail with postage prepaid, (b) one day after deposit with a reputable national overnight courier service, or (c) actual receipt, as indicated by the return receipt; and communications by messenger shall be effective when delivered.
13. Nonrecourse. The Loan and all obligations under this Note and the Deed of Trust are nonrecourse obligations of Borrower. Except as expressly set forth herein or in the Deed of Trust, neither Borrower, nor any partner of Borrower, shall have any personal liability for the repayment of the Loan or any other obligations hereunder or under the Deed of Trust. Lender's sole recourse shall be to realize against the collateral described in the Deed of Trust.
14. Miscellaneous. Time is of the essence hereof. All payments hereunder shall be made in lawful money of the United States of America. This Note shall be governed by the laws of the State of California. Neither this Note nor any term hereof may be waived, amended, discharged, modified, changed or terminated orally; nor shall any waiver of any provision hereof be effective except by an instrument in writing signed by Borrower and Lender. No delay or omission on the part of Lender in exercising any right hereunder shall operate as a waiver of such right or of any other right under this Note.
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Packet Pg. 178 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) IN WITNESS WHEREOF, the undersigned has executed this Secured Promissory Note as of the date first above written.
EDEN MILL DISTRICT, LP,
a California limited partnership
By: Eden Mill District, LLC,
a California limited liability company,
its managing general partner
By: Eden Investments, Inc.,
a California nonprofit public benefit corporation,
its manager
By: ________________________________
Name: __________________________
Title: __________________________
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Packet Pg. 179 Attachment: Mill District_ City Development Fee Promissory Note (3799 : Randall Apartments Loan) 1 50294444.2
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
City of Healdsburg
401 Grove Street
Healdsburg, California 95448
Attention: City Manager
SUBORDINATE DEED OF TRUST
WITH ABSOLUTE ASSIGNMENT OF LEASES AND RENTS,
SECURITY AGREEMENT AND FIXTURE FILING
THE PARTIES TO THIS SUBORDINATE DEED OF TRUST WITH ABSOLUTE
ASSIGNMENT OF LEASES AND RENTS, SECURITY AGREEMENT AND FIXTURE FILING (this “Deed of Trust”), made as of _________, 202__, are EDEN MILL DISTRICT, LP, a California limited partnership (“Trustor”), FIRST AMERICAN TITLE INSURANCE COMPANY (“Trustee”), and the CITY OF HEALDSBURG, and its successors and assigns (“Beneficiary”).
A. Trustor owns a fee interest in the real property more fully described in Exhibit A, attached hereto and incorporated herein by reference (the “Real Property”).
B. Pursuant to that certain Secured Promissory Note dated as of even date herewith made by Trustor to the order of Beneficiary (the “Note”), Beneficiary, as lender, made a loan in the principal amount of $250,000 (the “Loan”) to Trustor, as borrower. Trustor shall use the proceeds of the Loan in connection with the construction, development, financing and operation of a forty-one (41)-unit multifamily housing development located on the Real Property (the “Project”).
C. As an inducement for Beneficiary to make the Loan, Trustor has agreed to execute this Deed of Trust in order to grant and assign to Beneficiary all of Trustor’s right, title and interest in, to and under the Subject Property (as hereinafter defined) in order to secure Trustor’s obligations under the Loan Documents.
Capitalized terms used above and elsewhere in this Deed of Trust without definition have the meanings given them in the Note.
ARTICLE 1. GRANT IN TRUST
1.1 GRANT. For the purposes of and upon the terms and conditions in this Deed of Trust, Trustor irrevocably grants, conveys and assigns to Trustee, in trust for the benefit of Beneficiary, with power of sale and right of entry and possession, all of Trustor’s present
6.H.c
Packet Pg. 180 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan) 2 50294444.2
and future rights, title and interest in, to and under each of the following (including, without limitation, all option, first refusal and similar rights, if any) (collectively, the “Subject Property”):
(a) the Real Property;
(b) all streets, ways, roads, and alleys used in connection with or pertaining to the Real Property;
(c) all development rights or credits, air rights, water, water rights and water stock related to the Real Property;
(d) all minerals, oil and gas, and other hydrocarbon substances in, on or under the Real Property;
(e) all appurtenances, easements, rights and rights of way appurtenant or related thereto, pertaining to the Real Property;
(f) all buildings, other improvements and fixtures now or hereafter located on the Real Property, including, but not limited to, all apparatus, equipment, and appliances used in the operation or occupancy of the Real Property, it being intended by the parties that all such items shall be conclusively considered to be a part of the Real Property, whether or not attached or affixed to the Real Property (the “Improvements”); and
(g) all interest or estate which Trustor may hereafter acquire in the property described above, and all additions and accretions thereto, and the proceeds of any of the foregoing. The listing of specific rights or property shall not be interpreted as a limit of general terms.
1.2 ADDRESS. As of the date of recordation of this Deed of Trust, the address of the Subject Property is 111 Saw Mill Circle, Healdsburg, California 95448. However, neither the failure to designate an address nor any inaccuracy in the address designated shall affect the validity or priority of the lien of this Deed of Trust on the Subject Property.
ARTICLE 2. OBLIGATIONS SECURED
2.1 OBLIGATIONS SECURED. Trustor makes this Deed of Trust for the purpose of securing the following obligations (collectively, “Secured Obligations”):
(a) Payment to Beneficiary of all sums at any time owing under the Note and all amendments, modifications, extensions, restatements and renewals thereof; and (b) Payment and performance of all covenants and obligations of Trustor under this Deed of Trust; and
(c) Payment and performance of all future advances and other obligations that the then record owner of all or part of the Subject Property may agree to pay and/or perform
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Packet Pg. 181 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan) 3 50294444.2
(whether as principal, surety or guarantor) for the benefit of Beneficiary, when such future advance or obligation is evidenced by a writing which recites that it is secured by this Deed of Trust; and
(d) All modifications, extensions and renewals of any of the obligations secured hereby, however evidenced, including, without limitation: (i) modifications of the required principal payment dates or interest payment dates or both, as the case may be, deferring or accelerating payment dates wholly or partly; or (ii) modifications, extensions or renewals at a different rate of interest whether or not in the case of a note, the modification, extension or renewal is evidenced by a new or additional promissory note or notes.
2.2 OBLIGATIONS. The term “obligations” is used herein in its broadest and most comprehensive sense and shall be deemed to include, without limitation, all interest and charges, prepayment charges (if any), late charges and loan fees at any time accruing or assessed on any of the Secured Obligations.
2.3 INCORPORATION. All terms of the Secured Obligations and the documents evidencing such obligations are incorporated herein by this reference. All persons who may have or acquire an interest in the Subject Property shall be deemed to have notice of the terms of the Secured Obligations and to have notice, if provided therein, that: (a) the Note may permit borrowing, repayment and re borrowing so that repayments shall not reduce the amounts of the Secured Obligations; and (b) the rate of interest on one or more Secured Obligations may vary from time to time.
ARTICLE 3. ASSIGNMENT OF LEASES AND RENTS
3.1 ASSIGNMENT. Trustor hereby irrevocably assigns to Beneficiary all of Trustor’s right, title and interest in, to and under: (a) all leases of the Subject Property or any portion thereof, and all other agreements of any kind relating to the use or occupancy of the Subject Property or any portion thereof, whether now existing or entered into after the date hereof (“Leases”); and (b) the rents, revenue, income, issues, deposits and profits of the Subject Property, including, without limitation, all amounts payable and all rights and benefits accruing to Trustor under the Leases (“Payments”). The term “Leases” shall also include all guarantees of and security for the lessees’ performance thereunder, and all amendments, extensions, renewals or modifications thereto which are permitted hereunder. This is a present and absolute assignment, not an assignment for security purposes only, and Beneficiary’s right to the Leases and Payments is not contingent upon, and may be exercised without possession of, the Subject Property.
3.2 GRANT OF LICENSE. Beneficiary confers upon Trustor a license (“License”) to collect and retain the Payments as they become due and payable, until the occurrence of a Default (as hereinafter defined). Upon the occurrence and continuation of a Default, the License shall be automatically revoked and Beneficiary may collect and apply the Payments pursuant to Section 6.4 without notice and without taking possession of the Subject Property. Trustor hereby irrevocably authorizes and directs the lessees under the Leases to rely upon and comply with any notice or demand by Beneficiary for the payment to
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Packet Pg. 182 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan) 4 50294444.2
Beneficiary of any rental or other sums which may at any time become due under the Leases, or for the performance of any of the lessees’ undertakings under the Leases, and the lessees shall have no right or duty to inquire as to whether any Default has actually occurred or is then existing hereunder. Trustor hereby relieves the lessees from any liability to Trustor by reason of relying upon and complying with any such notice or demand by Beneficiary.
3.3 EFFECT OF ASSIGNMENT. The foregoing irrevocable assignment shall not cause Beneficiary to be: (a) a mortgagee in possession; (b) responsible or liable for the control, care, management or repair of the Subject Property or for performing any of the terms, agreements, undertakings, obligations, representations, warranties, covenants and conditions of the Leases; or (c) responsible or liable for any waste committed on the Subject Property by the lessees under any of the Leases or any other parties; for any dangerous or defective condition of the Subject Property; or for any negligence in the management, upkeep, repair or control of the Subject Property resulting in loss or injury or death to any lessee, licensee, employee, invitee or other person. Beneficiary and Trustee shall not directly or indirectly be liable to Trustor or any other person as a consequence of: (i) the exercise or failure to exercise by Beneficiary or Trustee, or any of their respective employees, agents, contractors or subcontractors, any of the rights, remedies or powers granted to Beneficiary or Trustee hereunder; or (ii) the failure or refusal of Beneficiary to perform or discharge any obligation, duty or liability of Trustor arising under the Leases.
3.4 REPRESENTATIONS AND WARRANTIES. Trustor represents and warrants that: (a) the Schedule of Leases delivered to Beneficiary is, as of the date hereof, a true, accurate and complete list of all Leases; (b) all existing Leases are in full force and effect and are enforceable in accordance with their respective terms, and no breach or default, or event which would constitute a breach or default after notice or the passage of time, or both, exists under any existing Leases on the part of any party; (c) no rent or other payment under any existing Lease has been paid by any lessee for more than one (1) month in advance; and (d) none of the lessor’s interests under any of the Leases has been transferred or assigned.
3.5 COVENANTS. Trustor covenants and agrees at Trustor’s sole cost and expense to: (a) perform the obligations of lessor contained in the Leases and enforce by all available remedies performance by the lessees of the obligations of the lessees contained in the Leases; (b) give Beneficiary prompt written notice of any material default by the lessor which occurs with respect to any of the Leases, whether the default be that of the lessee or of the lessor; (c) exercise Trustor’s best efforts to keep all portions of the Subject Property that are capable of being leased at rental rates pursuant to the terms of all applicable regulatory agreements with encumber the Subject Property; (d) deliver to Beneficiary fully executed, counterpart original(s) of each and every Lease if requested to do so; and (e) execute and record such additional assignments of any Lease or specific subordinations (or subordination, attornment and non-disturbance agreements executed by the lessor and lessee) of any Lease to the Deed of Trust, in form and substance acceptable to Beneficiary, as Beneficiary may reasonably request.
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3.6 ESTOPPEL CERTIFICATES. Within thirty (30) days after written request by Beneficiary, Trustor shall deliver to Beneficiary and to any party designated by Beneficiary estoppel certificates executed by Trustor, in recordable form, certifying (if such be the case): (a) that the foregoing assignment and the Leases are in full force and effect; (b) the date of each lessee’s most recent payment of rent; (c) that there are no defenses or offsets outstanding, or stating those claimed by Trustor or lessees under the foregoing assignment or the Leases, as the case may be; and (d) any other information reasonably requested by Beneficiary.
ARTICLE 4. SECURITY AGREEMENT AND FIXTURE FILING
4.1 SECURITY INTEREST. Trustor hereby grants and assigns to Beneficiary as of the date hereof a security interest, to secure payment and performance of all of the Secured Obligations, in all present and future right, title and interest of Trustor in and to all “goods” and “general intangibles”, as those terms are defined in the California Uniform Commercial Code, as amended or recodified from time to time (the “UCC”), in which a security interest may be created under the UCC (the “Personal Property”), located or used in connection with the Real Property or the Subject Property, all as contemplated in Section 1.1 above, together with all of the following described personal property in which Trustor now or at any time hereafter has any interest (collectively, the “Collateral”):
All goods, building and other materials, supplies, inventory, work in process, equipment, machinery, fixtures, furniture, furnishings, signs and other personal property and embedded software included therein and supporting information, wherever situated, which are or are to be incorporated into, used in connection with, or appropriated for use on (i) the Real Property described on Exhibit A attached hereto and incorporated by reference herein (to the extent the same are not effectively made a part of the Real Property pursuant to Section 1.1 above) or (ii) any existing or future Improvements on the Real Property; together with all rents and security deposits derived from the Subject Property, issues and profits of the Subject Property (to the extent, if any, they are not subject to Article 3); all inventory, accounts, cash receipts, deposit accounts, accounts receivable, contract rights, all rights to low-income housing tax credits allocated, or to be allocated under Section 42 of the Internal Revenue Code, as permitted under applicable law (provided, however, notwithstanding anything to the contrary herein contained, Beneficiary acknowledges and agrees that no remedies may be exercised hereunder with respect to the low-income housing tax credits unless and until Beneficiary has foreclosed upon the Subject Property (and applicable cure periods have expired) or the Subject Property has otherwise been transferred to Beneficiary or its designee or that such remedies may only be exercised simultaneously with the foreclosure of the Subject Property or a transfer in lieu of such foreclosure), license agreements, general intangibles, payment intangibles, software, chattel paper (whether electronic or tangible), instruments, documents, promissory notes, drafts, letters of credit, letter of credit rights, supporting obligations, insurance policies, insurance and condemnation awards and
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proceeds, proceeds of the sale of promissory notes, any other rights to the payment of money, trade names, trademarks and service marks arising from or related to the ownership, management, leasing or operation, sale or disposition of the Subject Property or any business now or hereafter conducted thereon by Trustor; all development rights and credits, any and all permits, consents, approvals, licenses, authorizations and other rights granted by, given by or obtained from, any governmental entity with respect to the Subject Property; all water and water rights, wells and well rights, canals and canal rights, ditches and ditch rights, springs and spring rights and reservoirs and reservoir rights appurtenant to or associated with the Subject Property, whether decreed or undecreed, tributary, non-tributary or not non-tributary, surface or underground or appropriated or unappropriated, and all shares of stock in water, ditch, lateral and canal companies, well permits and all other evidences of any such rights; all deposits or other security now or hereafter made with or given to utility companies by Trustor with respect to the Subject Property; all advance payments of insurance premiums made by Trustor with respect to the Subject Property; all plans, drawings and specifications relating to the Subject Property; all loan funds held by Beneficiary, whether or not disbursed; all funds deposited with Beneficiary pursuant to any loan agreement; all reserves, deferred payments, deposits, accounts, refunds, cost savings and payments of any kind related to the Subject Property or any portion thereof; all of Trustor’s right, title and interest, now or hereafter acquired, to the payment of money from Beneficiary to Trustor under any Swap Agreement; together with all replacements and proceeds of, and additions and accessions to, any of the foregoing; together with all books, records and files relating to any of the foregoing.
The Collateral includes, without limitation, the following:
(a) All machinery, apparatus, fittings, appliances, furniture, vehicles, furnishings, fixtures and equipment, and articles of personal property of every kind and nature whatsoever, now or hereafter located in or upon the Subject Property or any part thereof or used or usable in connection with any present or future use, operation and occupation of the Subject Property, and the buildings now or hereafter erected thereon, and now or hereafter acquired by the Trustor; and all of the right, title and interest of the Trustor in and to any equipment which may be subject to any title retention or security agreement.
(b) All the improvements now located on the Subject Property and all bonuses and royalties on the Subject Property and all rents, royalties, profits, revenues, incomes and other benefits arising from the use or enjoyment of all the Subject Property or from any contract pertaining to such use or enjoyment.
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(c) All proceeds or sums payable in lieu of or as compensation for the loss of or damage to (i) any property covered hereby, or (ii) the Subject Property upon which any property covered hereby is or may be located, and all rights in and to all pertinent present and future fire, hazard, earthquake or other insurance policies covering any of the Collateral or Subject Property; all awards made by any public body or decreed by any court of competent jurisdiction for a taking or for degradation of value in any eminent domain proceeding; all of Trustor’s interest and rights as lessor in and to all leases now or hereafter affecting the Subject Property or any part thereof and/or all rental income, whether payable pursuant to any lease now or hereafter entered into affecting the Subject Property, or otherwise growing out of any occupancy or use thereof.
(d) All Trustor’s right, title and interest in and to any and all agreements, now existing or hereinafter entered into (and all rights of Trustor thereunder), with any managing concern with respect to the management, development, construction, rehabilitation, maintenance and/or operation of the Subject Property.
(e) Cash and non-cash proceeds of the foregoing and the documents pertaining thereto, together with whatever is receivable or received when the foregoing or proceeds are sold, collected, exchanged or otherwise disposed of, whether such disposition is voluntary or involuntary, including, without limitation, all rights to payment with respect to any cause of action affecting or relating to the foregoing.
This Deed of Trust constitutes a fixture filing under Sections 9102 and 9502 of the UCC, and is acknowledged and agreed to be a “construction mortgage” under the UCC. This Deed of Trust as fixture filing covers the Personal Property that is or is to become fixtures on the Subject Property or Real Property. “Fixtures” include all articles of Personal Property now or hereafter attached to, placed upon or used for an indefinite term or used in connection with said Subject Property and/or Real Property, together with all property that is or at any time becomes so related to the Subject Property that an interest in them arises under real estate law.
This Deed of Trust also constitutes a Security Agreement (this “Security Agreement”) between Trustor as the “Debtor” and Beneficiary as the “Secured Party” with respect to all items of Collateral, a security interest in all such Collateral being hereby transferred, pledged, assigned, set over, conveyed and granted to Beneficiary by Trustor as security for the payment of the Note and all sums becoming due and owing thereunder or under any other Loan Document and the observance and performance by Trustor of all of the terms, covenants and provisions of the Loan Documents on the part of Trustor to be observed and performed (said indebtedness, interest and all other sums which may or shall become due under, and said
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obligation to observe and perform terms, covenants and provisions of the Loan Documents are collectively part of the Secured Obligations.
4.2 REPRESENTATIONS AND WARRANTIES. Trustor represents and warrants that: (a) Trustor has, or will have, good title to the Collateral; (b) except in connection with the Subordinate Loans, Trustor has not previously assigned or encumbered the Collateral, and no financing statement covering any of the Collateral has been delivered to any other person or entity; (c) Trustor’s principal place of business is located at the address shown in Section 7.12; and (d) Trustor’s legal name is exactly as set forth on the first page of this Deed of Trust and all of Trustor’s organizational documents or agreements delivered to Beneficiary are complete and accurate in every respect.
4.3 COVENANTS. Trustor agrees: (a) to execute and deliver such documents as Beneficiary reasonably deems necessary to create, perfect and continue the security interests contemplated hereby; (b) not to change its name, and as applicable, its chief executive office, its principal residence or the jurisdiction in which it is organized and/or registered without giving Beneficiary prior written notice thereof; (c) to cooperate with Beneficiary in perfecting all security interests granted herein and in obtaining such agreements from third parties as Beneficiary reasonably deems necessary, proper or convenient in connection with the preservation, perfection or enforcement of any of its rights hereunder; and (d) that Beneficiary is authorized to file financing statements in the name of Trustor to perfect Beneficiary’s security interest in Collateral.
4.4 RIGHTS OF BENEFICIARY. In addition to Beneficiary’s rights as a “Secured Party” under the UCC, Beneficiary may, but shall not be obligated to, at any time without notice and at the expense of Trustor: (a) give notice to any person of Beneficiary’s rights hereunder and enforce such rights at law or in equity; (b) insure, protect, defend and preserve the Collateral or any rights or interests of Beneficiary therein; (c) inspect the Collateral; and (d) endorse, collect and receive any right to payment of money owing to Trustor under or from the Collateral. Notwithstanding the above, in no event shall Beneficiary be deemed to have accepted any property other than cash in satisfaction of any obligation of Trustor to Beneficiary unless Beneficiary shall make an express written election of said remedy under UCC § 9620, or other applicable law.
4.5 RIGHTS OF BENEFICIARY ON DEFAULT. Upon the occurrence of a Default (hereinafter defined) under this Deed of Trust, then in addition to all of Beneficiary’s rights as a “Secured Party” under the UCC or otherwise at law:
(a) Beneficiary may (i) upon written notice, require Trustor to assemble any or all of the Collateral and make it available to Beneficiary at a place designated by Beneficiary; (ii) without prior notice, enter upon the Subject Property or other place where any of the Collateral may be located and take possession of, collect, sell, lease, license and dispose of any or all of the Collateral, and store the same at locations acceptable to Beneficiary at Trustor’s expense; (iii) sell, assign and deliver at any place or in any lawful manner all or any part of the Collateral and bid and become the purchaser at any such sales;
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(b) Beneficiary may, for the account of Trustor and at Trustor’s expense: (i) operate, use, consume, sell, lease, license or dispose of the Collateral as Beneficiary deems appropriate for the purpose of performing any or all of the Secured Obligations; (ii) enter into any agreement, compromise, or settlement, including insurance claims, which Beneficiary may deem desirable or proper with respect to any of the Collateral; and (iii) endorse and deliver evidences of title for, and receive, enforce and collect by legal action or otherwise, all indebtedness and obligations now or hereafter owing to Trustor in connection with or on account of any or all of the Collateral; and
(c) In disposing of Collateral hereunder, Beneficiary may disclaim all warranties of title, possession, quiet enjoyment and the like. Any proceeds of any disposition of any Collateral may be applied by Beneficiary to the payment of expenses incurred by Beneficiary in connection with the foregoing, including reasonable attorneys’ fees, and the balance of such proceeds may be applied by Beneficiary toward the payment of the Secured Obligations in such order of application as Beneficiary may from time to time elect.
Notwithstanding any other provision hereof, Beneficiary shall not be deemed to have accepted any property other than cash in satisfaction of any obligation of Trustor to Beneficiary unless Trustor shall make an express written election of said remedy under UCC § 9620, or other applicable law. Trustor agrees that Beneficiary shall have no obligation to process or prepare any Collateral for sale or other disposition.
4.6 POWER OF ATTORNEY. Trustor hereby irrevocably appoints Beneficiary as Trustor’s attorney in fact (such agency being coupled with an interest), and as such attorney in fact Beneficiary may, without the obligation to do so, in Beneficiary’s name, or in the name of Trustor, prepare, execute and file or record financing statements, continuation statements, applications for registration and like papers necessary to create, perfect or preserve any of Beneficiary’s security interests and rights in or to any of the Collateral, and, upon a Default hereunder, take any other action required of Trustor; provided, however, that Beneficiary as such attorney in fact shall be accountable only for such funds as are actually received by Beneficiary.
4.7 POSSESSION AND USE OF COLLATERAL. Except as otherwise provided in this Section, so long as no Default exists under this Deed of Trust or any of the Loan Documents, Trustor may possess, use, move, transfer or dispose of any of the Collateral in the ordinary course of Trustor’s business.
ARTICLE 5. RIGHTS AND DUTIES OF THE PARTIES
5.1 TITLE. Trustor represents and warrants that, except as disclosed to Beneficiary in a writing which refers to this warranty, Trustor lawfully holds and possesses fee simple title to the Subject Property and the Collateral and the right to encumber the Subject Property and the Collateral, and that this Deed of Trust is a first and prior lien on the Subject Property and the Collateral, subject only to exceptions approved by Lender.
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5.2 TAXES AND ASSESSMENTS. Subject to Trustor’s rights to contest payment of taxes, Trustor shall pay prior to delinquency all taxes, assessments, levies and charges imposed by any public or quasi public authority or utility company which are or which may become a lien upon or cause a loss in value of the Subject Property, the Collateral or any interest therein. Trustor shall also pay prior to delinquency all taxes, assessments, levies and charges imposed by any public authority upon Beneficiary by reason of its interest in any Secured Obligation or in the Subject Property or the Collateral, or by reason of any payment made to Beneficiary pursuant to any Secured Obligation (such taxes, assessments, fee, levies and charges are hereinafter referred to as “Impositions”); provided, however, Trustor shall have no obligation to pay taxes which may be imposed from time to time upon Beneficiary and which are measured by and imposed upon Beneficiary’s net income.
5.3 RESERVED.
5.4 PERFORMANCE OF SECURED OBLIGATIONS. Trustor shall promptly pay and perform each Secured Obligation when due.
5.5 LIENS, ENCUMBRANCES AND CHARGES. Trustor shall immediately discharge any lien not approved by Beneficiary in writing that has or may attain priority over this Deed of Trust. Trustor shall pay when due all obligations secured by or which may become liens and encumbrances which shall now or hereafter encumber or appear to encumber all or any part of the Subject Property or Collateral, or any interest therein, whether senior or subordinate hereto.
5.6 DAMAGES; INSURANCE AND CONDEMNATION PROCEEDS. In the event of any fire or other casualty to the Project or eminent domain proceedings resulting in condemnation of the Project or any part thereof, Trustor shall have the right to rebuild the Project, and to use all available insurance or condemnation proceeds therefor.
5.7 MAINTENANCE AND PRESERVATION OF THE SUBJECT PROPERTY. Trustor covenants: (a) to insure the Subject Property and Collateral against such risks as Beneficiary may require and, at Beneficiary’s request, to provide evidence of such insurance to Beneficiary, and to comply with the requirements of any insurance companies providing such insurance; (b) to keep the Subject Property and Collateral in good condition and repair; (c) not to remove or demolish the Subject Property or Collateral or any part thereof, not to alter, restore or add to the Subject Property or Collateral and not to initiate or acquiesce in any change in any zoning or other land classification which affects the Subject Property without Beneficiary’s prior written consent; (d) to complete or restore promptly and in good and workmanlike manner the Subject Property and Collateral, or any part thereof which may be damaged or destroyed; (e) to comply with all laws, ordinances, regulations and standards (collectively, “Laws”), and all covenants, conditions, restrictions and equitable servitudes (collectively, “Other Requirements”), whether public or private, of every kind and character which affect the Subject Property or Collateral and pertain to acts committed or conditions existing thereon, including, without limitation, any work, alteration, improvement or demolition mandated by such laws, covenants or requirements; (f) not to commit or permit waste of the Subject Property or Collateral; and (g) to do all
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other acts which from the character or use of the Subject Property or Collateral may be reasonably necessary to maintain and preserve its value.
5.8 DEFENSE AND NOTICE OF LOSSES, CLAIMS AND ACTIONS. At Trustor’s sole expense, Trustor shall protect, preserve and defend the Subject Property and Collateral and title to and right of possession of the Subject Property and Collateral, the security hereof and the rights and powers of Beneficiary and Trustee hereunder against all adverse claims.
Trustor shall give Beneficiary and Trustee prompt notice in writing of the assertion of any claim, of the filing of any action or proceeding, of the occurrence of any damage to the Subject Property or Collateral and of any condemnation offer or action.
5.9 ACCEPTANCE OF TRUST; POWERS AND DUTIES OF TRUSTEE.
(a) Trustee accepts this trust when this Deed of Trust is recorded. Except as may be required by applicable law, Trustee or Beneficiary may from time to time apply to any court of competent jurisdiction for aid and direction in the execution of the trust hereunder and the enforcement of the rights and remedies available hereunder, and may obtain orders or decrees directing or confirming or approving acts in the execution of said trust and the enforcement of said remedies. (b) Trustee shall not be required to take any action toward the execution and enforcement of the trust hereby created or to institute, appear in, or defend any action, suit, or other proceeding in connection therewith where, in Trustee’s opinion, such action would be likely to involve Trustee in expense or liability, unless requested so to do by a written instrument signed by Beneficiary and, if Trustee so requests, unless Trustee is tendered security and indemnity satisfactory to Trustee against any and all cost, expense, and liability arising therefrom. Trustee shall not be responsible for the execution, acknowledgment, or validity of the Loan Documents, or for the proper authorization thereof, or for the sufficiency of the lien and security interest purported to be created hereby, and Trustee makes no representation in respect thereof or in respect of the rights, remedies, and recourses of Beneficiary.
(c) With the approval of Beneficiary, Trustee shall have the right to take any and all of the following actions: (i) to select, employ, and advise with counsel (who may be, but need not be, counsel for Beneficiary) upon any matters arising hereunder, including the preparation, execution, and interpretation of the Loan Documents, and shall be fully protected in relying as to legal matters on the advice of counsel, (ii) to execute any of the trusts and powers hereof and to perform any duty hereunder either directly or through Trustee’s agents or attorneys, (iii) to select and employ, in and about the execution of Trustee’s duties hereunder, suitable accountants, engineers and other experts, agents and attorneys in fact, either corporate or individual, not regularly in the employ of Trustee, and Trustee shall not be answerable for any act, default, negligence, or misconduct of any such accountant, engineer or other expert, agent or attorney in fact, if selected with reasonable care, or for any error of judgment or act done by Trustee in good faith, or be otherwise responsible or accountable under any circumstances whatsoever,
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except for Trustee’s gross negligence or bad faith, and (iv) any and all other lawful action as Beneficiary may instruct Trustee to take to protect or enforce Beneficiary’s rights hereunder. Trustee shall not be personally liable in case of entry by Trustee, or anyone entering by virtue of the powers herein granted to Trustee, upon the Subject Property for debts contracted for or liability or damages incurred in the management or operation of the Subject Property. Trustee shall have the right to rely on any instrument, document, or signature authorizing or supporting any action taken or proposed to be taken by Trustee hereunder, believed by Trustee in good faith to be genuine. Trustee shall be entitled to reimbursement for expenses incurred by Trustee in the performance of Trustee’s duties hereunder and to reasonable compensation for such of Trustee’s services hereunder as shall be rendered. TRUSTOR WILL, FROM TIME TO TIME, PAY THE
COMPENSATION DUE TO TRUSTEE HEREUNDER AND REIMBURSE
TRUSTEE FOR, AND INDEMNIFY AND HOLD HARMLESS TRUSTEE
AGAINST, ANY AND ALL LIABILITY AND EXPENSES WHICH MAY BE INCURRED BY TRUSTEE IN THE PERFORMANCE OF TRUSTEE’S
DUTIES.
(d) All moneys received by Trustee shall, until used or applied as herein provided, be held in trust for the purposes for which they were received, but need not be segregated in any manner from any other moneys (except to the extent required by applicable law) and Trustee shall be under no liability for interest on any moneys received by Trustee hereunder.
(e) Should any deed, conveyance, or instrument of any nature be required from Trustor by any Trustee or substitute Trustee to more fully and certainly vest in and confirm to the Trustee or substitute Trustee such estates, rights, powers, and duties, then, upon request by the Trustee or substitute Trustee, any and all such deeds, conveyances and instruments shall be made, executed, acknowledged, and delivered and shall be caused to be recorded and/or filed by Trustor. (f) By accepting or approving anything required to be observed, performed, or fulfilled or to be given to Trustee pursuant to the Loan Documents, including without limitation, any deed, conveyance, instrument, officer’s certificate, balance sheet, statement of profit and loss or other financial statement, survey, appraisal, or insurance policy, Trustee shall not be deemed to have warranted, consented to, or affirmed the sufficiency, legality, effectiveness, or legal effect of the same, or of any term, provision, or condition thereof, and such acceptance or approval thereof shall not be or constitute any warranty or affirmation with respect thereto by Trustee.
5.10 COMPENSATION; EXCULPATION; INDEMNIFICATION.
(a) Trustor shall pay Trustee’s fees and reimburse Trustee for expenses in the administration of this trust, including reasonable attorneys’ fees. Trustor shall pay to Beneficiary reasonable compensation for services rendered concerning this Deed of Trust, including without limit any statement of amounts owing under any
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Secured Obligation. Beneficiary shall not directly or indirectly be liable to Trustor or any other person as a consequence of (i) the exercise of the rights, remedies or powers granted to Beneficiary in this Deed of Trust; (ii) the failure or refusal of Beneficiary to perform or discharge any obligation or liability of Trustor under any agreement related to the Subject Property or Collateral or under this Deed of Trust; or (iii) any loss sustained by Trustor or any third party resulting from Beneficiary’s failure (whether by malfeasance, nonfeasance or refusal to act) to lease the Subject Property or Collateral after a Default (hereinafter defined) or from any other act or omission (regardless of whether same constitutes negligence) of Beneficiary in managing the Subject Property or Collateral after a Default unless the loss is caused by the gross negligence or willful misconduct of Beneficiary and no such liability shall be asserted against or imposed upon Beneficiary, and all such liability is hereby expressly waived and released by Trustor.
(b) TRUSTOR INDEMNIFIES TRUSTEE AND BENEFICIARY AGAINST,
AND HOLDS TRUSTEE AND BENEFICIARY HARMLESS FROM, ALL
LOSSES, DAMAGES, LIABILITIES, CLAIMS, CAUSES OF ACTION, JUDGMENTS, COURT COSTS, ATTORNEYS’ FEES AND OTHER
LEGAL EXPENSES, COST OF EVIDENCE OF TITLE, COST OF
EVIDENCE OF VALUE, AND OTHER EXPENSES, EXCEPT THOSE
ARISING FROM THE GROSS NEGLIGENCE OR WILLFUL
MISCONDUCT OF TRUSTEE, WHICH EITHER MAY SUFFER OR
INCUR: (i) BY REASON OF THIS DEED OF TRUST; (ii) BY REASON OF
THE EXECUTION OF THIS DEED OF TRUST OR IN PERFORMANCE
OF ANY ACT REQUIRED OR PERMITTED HEREUNDER OR BY LAW;
(iii) AS A RESULT OF ANY FAILURE OF TRUSTOR TO PERFORM
TRUSTOR’S OBLIGATIONS; OR (iv) BY REASON OF ANY ALLEGED OBLIGATION OR UNDERTAKING ON BENEFICIARY’S PART TO
PERFORM OR DISCHARGE ANY OF THE REPRESENTATIONS,
WARRANTIES, CONDITIONS, COVENANTS OR OTHER
OBLIGATIONS CONTAINED IN ANY OTHER DOCUMENT RELATED
TO THE SUBJECT PROPERTY OR THE COLLATERAL. THE ABOVE
OBLIGATION OF TRUSTOR TO INDEMNIFY AND HOLD HARMLESS
TRUSTEE AND BENEFICIARY SHALL SURVIVE THE RELEASE AND
CANCELLATION OF THE SECURED OBLIGATIONS AND THE
RELEASE AND RECONVEYANCE OR PARTIAL RELEASE AND
RECONVEYANCE OF THIS DEED OF TRUST.
(c) Trustor shall pay all amounts and indebtedness arising under this Section 5.10 immediately upon demand by Trustee or Beneficiary together with interest thereon from the date the indebtedness arises at the Note Rate or Default Rate (as those terms are defined in the Note), whichever is in effect.
5.11 SUBSTITUTION OF TRUSTEES. From time to time, by a writing, signed and acknowledged by Beneficiary and recorded in the Office of the Recorder of the County in which the Subject Property is situated, Beneficiary may appoint another trustee to act in the place and stead of Trustee or any successor. Such writing shall set forth any
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information required by law. The recordation of such instrument of substitution shall discharge Trustee herein named and shall appoint the new trustee as the trustee hereunder with the same effect as if originally named Trustee herein. A writing recorded pursuant to the provisions of this Section 5.11 shall be conclusive proof of the proper substitution of such new Trustee.
5.12 DUE ON SALE OR ENCUMBRANCE. If the Subject Property or Collateral or any interest therein shall be sold, transferred, mortgaged, assigned, further encumbered or leased, whether directly or indirectly, whether voluntarily, involuntarily or by operation of law, without the prior written consent of Beneficiary, THEN Beneficiary, in its sole discretion, may declare all Secured Obligations immediately due and payable.
Notwithstanding anything to the contrary contained in this Deed of Trust or any other Loan Document, a Permitted Transfer shall not constitute a Default hereunder. Notwithstanding the foregoing, no transfer which would violate the provisions of the Restrictions shall be deemed a Permitted Transfer.
Provided that the interests conveyed by each of the following are and remain junior and subordinate in lien and right of payment to this Deed of Trust, the Loan and Loan Documents, on terms and conditions satisfactory to Beneficiary, the following shall be permitted: (i) the execution, delivery and recording of the Subordinate Deeds of Trust; and (ii) leases of units of the Project in compliance with all Restrictions and the Loan Documents (provided that no separate subordination agreement shall be required for such leases). Each transferor in a transfer permitted pursuant to this Section shall reimburse Beneficiary for all of Beneficiary’s reasonable out-of-pocket expenses incurred in connection with any such transfer.
5.13 RELEASES, EXTENSIONS, MODIFICATIONS AND ADDITIONAL SECURITY.
Without notice to or the consent, approval or agreement of any persons or entities having any interest at any time in the Subject Property and Collateral or in any manner obligated under the Secured Obligations (“Interested Parties”), Beneficiary may, from time to time, release any person or entity from liability for the payment or performance of any Secured Obligation, take any action or make any agreement extending the maturity or otherwise altering the terms or increasing the amount of any Secured Obligation, or accept additional security or release all or a portion of the Subject Property and Collateral and other security for the Secured Obligations. None of the foregoing actions shall release or reduce the personal liability of any of said Interested Parties, or release or impair the priority of the lien of and security interests created by this Deed of Trust upon the Subject Property and Collateral.
5.14 RECONVEYANCE. Upon Beneficiary’s written request, and upon surrender to Trustee for cancellation of this Deed of Trust or a certified copy thereof and any note, instrument, or instruments setting forth all obligations secured hereby, Trustee shall reconvey, without warranty, the Subject Property or that portion thereof then held hereunder. To the extent permitted by law, the reconveyance may describe the grantee as “the person or persons legally entitled thereto” and the recitals of any matters or facts in any reconveyance executed hereunder shall be conclusive proof of the truthfulness thereof. Neither Beneficiary nor Trustee shall have any duty to determine the rights of persons claiming to
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be rightful grantees of any reconveyance. When the Subject Property has been fully reconveyed, the last such reconveyance shall operate as a reassignment of all future rents, issues and profits of the Subject Property to the person or persons legally entitled thereto.
5.15 SUBROGATION. Beneficiary shall be subrogated to the lien of all encumbrances, whether released of record or not, paid in whole or in part by Beneficiary pursuant to the Loan Documents or by the proceeds of any loan secured by this Deed of Trust.
5.16 RIGHT OF INSPECTION. Beneficiary, its agents and employees, may enter the Subject Property at any reasonable time for the purpose of inspecting the Subject Property and Collateral and ascertaining Trustor’s compliance with the terms hereof.
5.17 ASSESSMENTS AND COMMUNITY FACILITIES DISTRICTS. Without Beneficiary’s prior written consent, Trustor shall not cause to become effective or otherwise consent to the formation of any assessment district or community facilities district which includes all or any part of the Subject Property and Project pursuant to: (i) the Mello-Roos Community Facilities Act of 1982; (ii) the Municipal Improvement Act of 1913; or (iii) any other comparable or similar statute or regulation. Trustor shall not cause or otherwise consent to the levying of special taxes or assessments against the Subject Property and Project by any such assessment district or community facilities district.
ARTICLE 6. DEFAULT PROVISIONS
6.1 DEFAULT. For all purposes hereof, the term “Default” shall mean (a) at Beneficiary’s option, the failure of Trustor to make any payment of principal or interest on the Note or to pay any other amount due hereunder or under the Note when the same is due and payable, whether at maturity, by acceleration or otherwise; (b) the failure of Trustor to perform any non-monetary obligation hereunder, or the failure to be true of any representation or warranty of Trustor contained herein and the continuance of such failure for thirty (30) days after notice, or within any longer grace period, if any, allowed in the Note for such failure, or (c) the existence of any Default as defined in the Note. Notwithstanding anything to the contrary contained herein, Beneficiary hereby agrees that any cure of any Default made or tendered by one or more of the Trustor’s limited partners shall be deemed to be a cure by Trustor and shall be accepted or rejected on the same basis and if made or tendered by Trustor.
6.2 RIGHTS AND REMEDIES. At any time after Default, Beneficiary and Trustee shall each have all the following rights and remedies, in addition to Beneficiary’s rights under the other Loan Documents or under any Swap Agreement between Trustor and Beneficiary:
(a) With or without notice, to declare all Secured Obligations (other than any Swap Agreement) immediately due and payable;
(b) Pursuant to the terms of any Swap Agreement between Trustor and Beneficiary, terminate such Swap Agreement;
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(c) With or without notice, and without releasing Trustor from any Secured Obligation, and without becoming a mortgagee in possession, to cure any breach or Default of Trustor and, in connection therewith, to enter upon the Subject Property and do such acts and things as Beneficiary or Trustee deem necessary or desirable to protect the security hereof, including, without limitation: (i) to appear in and defend any action or proceeding purporting to affect the security of this Deed of Trust or the rights or powers of Beneficiary or Trustee under this Deed of Trust; (ii) to pay, purchase, contest or compromise any encumbrance, charge, lien or claim of lien which, in the sole judgment of either Beneficiary or Trustee, is or may be senior in priority to this Deed of Trust, the judgment of Beneficiary or Trustee being conclusive as between the parties hereto; (iii) to obtain insurance; (iv) to pay any premiums or charges with respect to insurance required to be carried under this Deed of Trust; or (v) to employ counsel, accountants, contractors and other appropriate persons.
(d) To commence and maintain an action or actions in any court of competent jurisdiction to foreclose this instrument as a mortgage or to obtain specific enforcement of the covenants of Trustor hereunder, and Trustor agrees that such covenants shall be specifically enforceable by injunction or any other appropriate equitable remedy and that for the purposes of any suit brought under this subparagraph, Trustor waives the defense of laches and any applicable statute of limitations;
(e) To apply to a court of competent jurisdiction for and obtain appointment of a receiver of the Subject Property and/or Collateral as a matter of strict right and without regard to the adequacy of the security for the repayment of the Secured Obligations, the existence of a declaration that the Secured Obligations are immediately due and payable, or the filing of a notice of default, and Trustor hereby consents to such appointment;
(f) To enter upon, possess, manage and operate the Subject Property and/or Collateral or any part thereof, to take and possess all documents, books, records, papers and accounts of Trustor or the then owner of the Subject Property and/or Collateral, to make, terminate, enforce or modify Leases of the Subject Property and/or Collateral upon such terms and conditions as Beneficiary deems proper, and to make repairs, alterations and improvements to the Subject Property and/or Collateral as necessary, in Trustee’s or Beneficiary’s sole judgment, to protect or enhance the security hereof;
(g) To execute a written notice of such Default and of its election to cause the Subject Property and/or Collateral to be sold to satisfy the Secured Obligations. As a condition precedent to any such sale, Trustee shall give and record such notice as the law then requires. When the minimum period of time required by law after such notice has elapsed, Trustee, without notice to or demand upon Trustor except as required by law, shall sell the Subject Property and/or Collateral at the time and place of sale fixed by it in the notice of sale, at one or several sales, either as a whole or in separate parcels and in such manner and order, all as Beneficiary in its
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sole discretion may determine, at public auction to the highest bidder for cash, in lawful money of the United States, payable at time of sale. Neither Trustor nor any other person or entity other than Beneficiary shall have the right to direct the order in which the Subject Property and/or Collateral is sold. Subject to requirements and limits imposed by law, Trustee may from time to time postpone sale of all or any portion of the Subject Property and/or Collateral by public announcement at such time and place of sale. Trustee shall deliver to the purchaser at such sale a deed and/or other instrument conveying the Subject Property and/or Collateral, or portion thereof so sold, but without any covenant or warranty, express or implied.
The recitals in any such deed or other instrument of any matters or facts shall be conclusive proof of the truthfulness thereof. Any person, including Trustee, Trustor or Beneficiary may purchase at the sale all the Subject Property and/or Collateral or any portion thereof;
(h) To resort to and realize upon the security hereunder and any other security now or later held by Beneficiary concurrently or successively and in one or several consolidated or independent judicial actions or lawfully taken non judicial proceedings, or both, and to apply the proceeds received upon the Secured Obligations all in such order and manner as Trustee and Beneficiary, or either of them, determine in their sole discretion; and
(i) Upon sale of the Subject Property at any judicial or non-judicial foreclosure, Beneficiary may credit bid (as determined by Beneficiary in its sole and absolute discretion) all or any portion of the Secured Obligations. In determining such credit bid, Beneficiary may, but is not obligated to, take into account all or any of the following: (i) appraisals of the Subject Property and/or Collateral as such appraisals may be discounted or adjusted by Beneficiary in its sole and absolute underwriting discretion; (ii) expenses and costs incurred by Beneficiary with respect to the Subject Property and/or Collateral prior to foreclosure; (iii) expenses and costs which Beneficiary anticipates will be incurred with respect to the Subject Property and/or Collateral after foreclosure, but prior to resale, including, without limitation, costs of structural reports and other due diligence, costs to carry the Subject Property and/or Collateral prior to resale, costs of resale (e.g. commissions, attorneys’ fees, and taxes), costs of any hazardous materials clean-up and monitoring, costs of deferred maintenance, repair, refurbishment and retrofit, costs of defending or settling litigation affecting the Subject Property and/or Collateral, and lost opportunity costs (if any), including the time value of money during any anticipated holding period by Beneficiary; (iv) declining trends in real property values generally and with respect to properties similar to the Subject Property and/or Collateral; (v) anticipated discounts upon resale of the Subject Property and/or Collateral as a distressed or foreclosed property; (vi) the fact of additional collateral (if any), for the Secured Obligations; and (vii) such other factors or matters that Beneficiary (in its sole and absolute discretion) deems appropriate. In regard to the above, Trustor acknowledges and agrees that: (w) Beneficiary is not required to use any or all of the foregoing factors to determine the amount of its credit bid; (x) this Section does not impose upon Beneficiary any additional obligations that are not imposed by law at the time the credit bid is made; (y) the
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amount of Beneficiary’s credit bid need not have any relation to any loan-to-value ratios specified in the Loan Documents or previously discussed between Trustor and Beneficiary; and (z) Beneficiary’s credit bid may be (at Beneficiary’s sole and absolute discretion) higher or lower than any appraised value of the Subject Property and/or Collateral.
6.3 APPLICATION OF FORECLOSURE SALE PROCEEDS. After deducting all costs, fees and expenses of Trustee, and of this trust, including, without limitation, cost of evidence of title and attorneys’ fees in connection with sale and costs and expenses of sale and of any judicial proceeding wherein such sale may be made, Trustee shall apply all proceeds of any foreclosure sale: (a) to payment of all sums expended by Beneficiary under the terms hereof and not then repaid, with accrued interest at the rate of interest specified in the Note to be applicable on or after maturity or acceleration of the Note; (b) to payment of all other Secured Obligations; and (c) the remainder, if any, to the person or persons legally entitled thereto.
6.4 APPLICATION OF OTHER SUMS. All sums received by Beneficiary under Section
6.2 or Section 3.2, less all costs and expenses incurred by Beneficiary or any receiver under Section 6.2 or Section 3.2, including, without limitation, attorneys’ fees, shall be applied in payment of the Secured Obligations in such order as Beneficiary shall determine in its sole discretion; provided, however, Beneficiary shall have no liability for funds not actually received by Beneficiary.
6.5 NO CURE OR WAIVER. Neither Beneficiary’s nor Trustee’s nor any receiver’s entry upon and taking possession of all or any part of the Subject Property and Collateral, nor any collection of rents, issues, profits, insurance proceeds, condemnation proceeds or damages, other security or proceeds of other security, or other sums, nor the application of any collected sum to any Secured Obligation, nor the exercise or failure to exercise of any other right or remedy by Beneficiary or Trustee or any receiver shall cure or waive any breach, Default or notice of default under this Deed of Trust, or nullify the effect of any notice of default or sale (unless all Secured Obligations then due have been paid and performed and Trustor has cured all other defaults), or impair the status of the security, or prejudice Beneficiary or Trustee in the exercise of any right or remedy, or be construed as an affirmation by Beneficiary of any tenancy, lease or option or a subordination of the lien of or security interests created by this Deed of Trust.
6.6 PAYMENT OF COSTS, EXPENSES AND ATTORNEYS’ FEES. Trustor agrees to pay to Beneficiary immediately and without demand all costs and expenses incurred by Trustee and Beneficiary pursuant to Section 6.2 (including, without limitation, court costs and reasonable attorneys’ fees, whether incurred in litigation or not) with interest from the date of expenditure until said sums have been paid at the rate of interest then applicable to the principal balance of the Note as specified therein. In addition, Trustor shall pay to Trustee all Trustee’s fees hereunder and shall reimburse Trustee for all expenses incurred in the administration of this trust, including, without limitation, any reasonable attorneys’ fees.
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6.7 POWER TO FILE NOTICES AND CURE DEFAULTS. Trustor hereby irrevocably appoints Beneficiary and its successors and assigns, as its attorney in-fact, which agency is coupled with an interest, (a) to execute and/or record any notices of completion, cessation of labor, or any other notices that Beneficiary deems appropriate to protect Beneficiary’s interest, (b) upon the issuance of a deed pursuant to the foreclosure of the lien of this Deed of Trust or the delivery of a deed in lieu of foreclosure, to execute all instruments of assignment or further assurance with respect to the Subject Property and Collateral, Leases and Payments in favor of the grantee of any such deed or other instrument, as may be necessary or desirable for such purpose, (c) to prepare, execute and file or record financing statements, continuation statements, applications for registration and like papers necessary to create, perfect or preserve Beneficiary’s security interests and rights in or to any of the Subject Property and Collateral, and (d) upon the occurrence of an event, act or omission which, with notice or passage of time or both, would constitute a Default, Beneficiary may perform any obligation of Trustor hereunder; provided, however, that: (i) Beneficiary as such attorney in fact shall only be accountable for such funds as are actually received by Beneficiary; and (ii) Beneficiary shall not be liable to Trustor or any other person or entity for any failure to act (whether such failure constitutes negligence) by Beneficiary under this Section.
ARTICLE 7. MISCELLANEOUS PROVISIONS
7.1 ADDITIONAL PROVISIONS. The Loan Documents contain or incorporate by reference the entire agreement of the parties with respect to matters contemplated herein and supersede all prior negotiations. The Loan Documents grant further rights to Beneficiary and contain further agreements and affirmative and negative covenants by Trustor which apply to this Deed of Trust and to the Subject Property and Collateral and such further rights and agreements are incorporated herein by this reference.
7.2 MERGER. No merger shall occur as a result of Beneficiary’s acquiring any other estate in, or any other lien on, the Subject Property or Collateral unless Beneficiary consents to such a merger in writing.
7.3 OBLIGATIONS OF TRUSTOR, JOINT AND SEVERAL. If more than one person has executed this Deed of Trust as “Trustor”, the obligations of all such persons hereunder shall be joint and several.
7.4 [RESERVED].
7.5 WAIVER OF MARSHALLING RIGHTS. Trustor, for itself and for all parties claiming through or under Trustor, and for all parties who may acquire a lien on or interest in the Subject Property and Collateral, hereby waives all rights to have the Subject Property and Collateral and/or any other property, which is now or later may be security for any Secured Obligation (“Other Property”) marshalled upon any foreclosure of the lien of this Deed of Trust or on a foreclosure of any other lien or security interest against any security for any of the Secured Obligations. Beneficiary shall have the right to sell, and any court in which foreclosure proceedings may be brought shall have the right to order a sale of, the
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Subject Property and any or all of the Collateral or Other Property as a whole or in separate parcels, in any order that Beneficiary may designate.
7.6 RULES OF CONSTRUCTION. When the identity of the parties or other circumstances make it appropriate the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. The terms “Subject Property” and “Collateral” mean all and any part of the Subject Property and Collateral, respectively, and any interest in the Subject Property and Collateral, respectively.
7.7 SUCCESSORS IN INTEREST. The terms, covenants, and conditions herein contained shall be binding upon and inure to the benefit of the heirs, successors and assigns of the parties hereto; provided, however, that this Section 7.7 does not waive or modify the provisions of Section 5.12.
7.8 EXECUTION IN COUNTERPARTS. To facilitate execution, this document may be executed in as many counterparts as may be convenient or required. It shall not be necessary that the signature or acknowledgment of, or on behalf of, each party, or that the signature of all persons required to bind any party, or the acknowledgment of such party, appear on each counterpart. All counterparts shall collectively constitute a single document. It shall not be necessary in making proof of this document to produce or account for more than a single counterpart containing the respective signatures of, or on behalf of, and the respective acknowledgments of, each of the parties hereto. Any signature or acknowledgment page to any counterpart may be detached from such counterpart without impairing the legal effect of the signatures or acknowledgments thereon and thereafter attached to another counterpart identical thereto except having attached to it additional signature or acknowledgment pages.
7.9 CALIFORNIA LAW. This Deed of Trust shall be construed in accordance with the laws of the State of California, except to the extent that federal laws preempt the laws of the State of California.
7.10 SUBORDINATION. Notwithstanding anything to the contrary contained in this Deed of Trust or in any documents secured by this Deed of Trust or contained in any subordination agreement, the Beneficiary acknowledges and agrees that in the event of a foreclosure or conveyance by deed-in-lieu of foreclosure (collectively, “Foreclosure”) with respect to the Subject Property, the following rule contained in Section 42(h)(6)(E)(ii) of the Internal Revenue Code of 1986, as amended, shall apply: For a period of three (3) years from the date of Foreclosure, with respect to any unit that had been regulated by the regulatory agreement with the California Tax Credit Allocation Committee, (i) none of the tenants occupying those units at the time of Foreclosure may be evicted or their tenancy terminated (other than for good cause), (ii) nor may any rent be increased except as otherwise permitted under Section 42 of the Code.
7.11 INCORPORATION. Exhibit A, as attached, is incorporated into this Deed of Trust by this reference.
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7.12 NOTICES. All notices, demands or other communications required or permitted to be given pursuant to the provisions of this Deed of Trust shall be in writing and shall be considered as properly given if delivered personally or sent by first class United States Postal Service mail, postage prepaid, except that notice of Default may be sent by certified mail, return receipt requested, or by Overnight Express Mail or by overnight commercial courier service, charges prepaid. Notices so sent shall be effective three (3) days after mailing, if mailed by first class mail, and otherwise upon receipt at the addresses set forth below; provided, however, that non-receipt of any communication as the result of any change of address of which the sending party was not notified or as the result of a refusal to accept delivery shall be deemed receipt of such communication. For purposes of notice, the addresses of the parties shall be:
Trustor: Eden Mill District, LP
c/o Eden Investments, Inc.
22645 Grand Street
Hayward, California 94541
Attention: President
And a copy to:
Wells Fargo Affordable Housing Community Development
Corporation
One Wells Fargo Center
301 South College Street
MAC: D1053-170
Charlotte, North Carolina 28288
Attention: Director of Tax Credit Asset Management
Beneficiary: City of Healdsburg
401 Grove Street
Healdsburg, California 95448
Attention: City Manager
Any party shall have the right to change its address for notice hereunder to any other location within the continental United States by the giving of thirty (30) days’ notice to the other party in the manner set forth hereinabove. Trustor shall forward to Beneficiary, without delay, any notices, letters or other communications delivered to the Subject Property or to Trustor naming Beneficiary, “Lender,” “Construction Lender,” or any similar designation as addressee, or which could reasonably be deemed to affect the construction of the Improvements or the ability of Trustor to perform its obligations to Beneficiary under the Note.
7.13 TAX CREDIT LIMITED PARTNER PROVISIONS.
(a) Neither the withdrawal, removal, replacement, and/or addition of a general partner of the Trustor pursuant to the terms of Trustor’s Agreement of Limited Partnership (the “Partnership Agreement”), nor the withdrawal, replacement, and/or addition
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of any of its limited partner’s general partners or managing members, shall constitute a default under any of the Loan Documents, and any such actions shall not accelerate the maturity of the Loan. In addition, Lender agrees that the interests of Borrower’s limited partners shall be transferable without the consent of Lender to (a) any affiliates thereof, and (b) to any party from and after payment in full of such limited partner’s capital contributions.
(b) Any cure of any default or Event of Default made or tendered by any limited partner of Trustor shall be deemed to be a cure by Trustor and shall be accepted or rejected on the same basis as if made or tendered by Trustor.
7.14 LIMITED RECOURSE. the personal liability of Trustor or any general partner of Trustor (if Trustor is a partnership) to pay the principal of and interest on the debt evidenced by the Note, and the other amounts due and owing under any other Loan Document or agreement evidencing Trustor’s obligations under the Loan shall be limited to (1) the Subject Property, (2) the Collateral, (3) the Payments, and (4) all other property or assets of Trustor granted to Beneficiary as security for Trustor’s obligations under the Loan Documents.
7.15 SECTION 42(H)(6)(E)(II) PROVISIONS. Notwithstanding anything to the contrary contained herein or in any documents secured by this Deed of Trust, Lender acknowledges and agrees that in the event of a foreclosure or deed-in-lieu of foreclosure (collectively, “Foreclosure”) with respect to the Property encumbered by this Deed of Trust, the following rule contained in Section 42(h)(6)(E)(ii) of the Internal Revenue Code of 1986, as amended, shall apply:
For a period of three (3) years from the date of Foreclosure, with respect to any unit that had been regulated by a regulatory agreement with the California Tax Credit Allocation Committee, (a) none of the tenants occupying such units at the time of Foreclosure may be evicted or their tenancy terminated (other than for good cause), (b) nor may any rent be increased except as otherwise permitted under Section 42 of the Code. [Remainder of Page Intentionally Left Blank]
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Packet Pg. 201 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan) S-1
Mill District: Subordinate Deed of Trust
50294444
IN WITNESS WHEREOF, Trustor has executed this Deed of Trust as of the day and year set forth above.
TRUSTOR:
EDEN MILL DISTRICT, LP,
a California limited partnership
By: Eden Mill District, LLC,
a California limited liability company,
its Managing General Partner
By: Eden Investments, Inc.,
a California nonprofit public benefit corporation,
its Manager
By:
Name:
Title:
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ACKNOWLEDGMENT
A Notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
STATE OF CALIFORNIA )
) SS.
COUNTY OF )
On , before me, , a Notary Public in
and for said State, personally appeared, , who proved
to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity(ies) upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal.
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Packet Pg. 203 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan) 50294444.2
EXHIBIT A
PROPERTY DESCRIPTION
ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE CITY OF HEALDSBURG, COUNTY OF SONOMA, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS:
LOT 7 AS SHOWN ON THAT CERTAIN FINAL MAP ENTITLED “FINAL MAP OF THE MILL DISTRICT,” FILED DECEMBER 28, 2020 IN BOOK 817 OF MAPS AT PAGES 32-47, SONOMA COUNTY RECORDS.
APN: 002-303-012-000 (PORTION) AND 002-303-013-000 (PORTION)
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Packet Pg. 204 Attachment: Mill District_ Subordinate Deed of Trust (3799 : Randall Apartments Loan)
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: 2022 Community Development Block Grant Application Authorization PREPARED BY: Stephen Sotomayor, Housing Director
STRATEGIC INITIATIVE(S):
Expand Affordable Housing Opportunities
Provide Effective Governance
RECOMMENDED ACTION(S):
Adopt a Resolution authorizing the City Manager to submit an application for the FY 2022-23 Community Development Block Grant funding in the amount of $200,000 for the L&M Village and authorizing the City Manager to execute the agreement and any other documents necessary to complete the transaction.
COMMUNITY ENGAGEMENT/OUTREACH
This item will be heard at a public meeting in which time is provided for public comment.
BACKGROUND:
Each year, the City of Healdsburg participates in the Community Development Block Grant (CDBG) program through a Joint Powers Agreement with the County of Sonoma and Sonoma County non-entitlement cities (Petaluma and Santa Rosa are entitlement cities and receive a direct allocation of CDBG funds based on population). Historically, Healdsburg has received annual CDBG funding that has been utilized for the installation of ADA sidewalk ramps and other public infrastructure improvements.
On September 1, 2022, the Sonoma County Community Development Commission released a Notice of Funding Availability (NOFA) for the following programs: CDBG, HOME Investment Partnership Program (HOME), the CDBG-CV (CARES Act), and the Low Moderate Housing Asset Fund (LMIHAF). One of the eligible uses for some of these program funds is for site improvements for new transitional housing developments.
In August of 2022, the City of Healdsburg awarded a bid for the renovation of the L&M Village.
The L&M Village will provide 22 units of interim housing through the State of California’s Project Homekey Program. The current scope of work for the L&M Village had several non6.I Packet Pg. 205
essential but desirable improvements deferred due to budget constraints with the intent that additional funding opportunities would allow them to be completed in the future.
The CDBG program, if awarded, would provide the additional capital needed to make these improvements as they are an eligible expense of the program. To apply for CDBG funding, or any of the funds outlined in the NOFA, it is necessary for the participating jurisdiction to adopt a resolution to authorize staff to submit an application
This staff report and resolution satisfy the above requirement and give staff the opportunity to apply for funding in advance of the October 20, 2022 application deadline.
DISCUSSION/ANALYSIS:
CDBG funds must be utilized for projects that benefit or reduce barriers to low- and moderateincome persons, disabled persons and/or seniors. State and local CDBG administrators develop yearly funding priorities. Some of these priorities are for projects that create or preserve affordable housing, leverage other sources of funding, and that can be completed and spent within the grant’s timeframe.
While the L&M Village received Project Homekey and County funding to make capital improvements to the site, these improvements were focused on life, safety, and ADA accessibility. Other improvements that would enhance the operational functionality of the project were placed on hold for future funding opportunities as the L&M Village capital budget needed to be prioritized around occupancy.
Provided the Council adopts this resolution, staff anticipates applying for the following items:
Item Estimated Cost
Pool Dining Area $22,000
Digital Locks & Key System $50,000
Removal of Sheds / Additional Concrete $90,000
Interior Room Paint $38,000
Totals $200,000
Pool Dining Area: The original scope of work required the pool to be filled in and compacted with fill dirt. This item would provide funding to add concrete on top of the dirt for a more accessible dining area.
Digital Locks and Key System: This item would provide the budget to add a digital lock system that would eliminate the need for physical keys and provide a higher level of security and control.
Removal of Sheds / Additional Concrete: Two of the on-site storage sheds were determined to be unusable during the course of construction. This item would allow the City to remove the sheds and add a concreate foundation for the installation of a new shed later.
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Interior Room Paint: The original scope of work requires the contractor to touch up the existing rooms but does not provide for the complete repainting of rooms.
Therefore, staff is recommending that the City Council adopt a Resolution to authorize staff to apply for CDBG or other program funding within this NOFA for the L&M Village in the Amount of $200,000.
ENVIRONMENTAL STEWARDSHIP
There is no direct correlation between this Resolution and environmental stewardship.
ALTERNATIVES:
The Council may choose to not to approve the Resolution to apply for CDBG grant funding.
Should the Council choose not to approve the resolution, staff would seek further direction and/or or would propose alternate sources of funding to complete the improvements identified in this report.
FISCAL IMPACT:
There are no matching funds required as part of the CDBG grant funding and the proposed improvements will not be completed if the grant funding is not awarded. Staff will return to council to appropriate the expenditure of grant funds at the time of award.
ENVIRONMENTAL ANALYSIS:
As part of the CDBG Grant process, the City will commission a NEPA environmental review which analyzes the potential environmental impacts of the improvements to be constructed and determines whether these improvements meet the
ATTACHMENT(S):
Resolution
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CITY OF HEALDSBURG
RESOLUTION NO. ___-2022
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG AUTHORIZING THE CITY MANAGER TO
SUBMIT AN APPLICATION FOR THE FISCAL YEAR 2022-23
COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING
IN THE AMOUNT OF $200,000 FOR THE L&M VILLAGE
AND AUTHORIZING THE CITY MANAGER TO EXECUTE
THE AGREEMENT AND ANY OTHER DOCUMENTS
NECESSARY TO COMPLETE THE TRANSACTION
WHEREAS, each year the City of Healdsburg participates in the Community Development Block Grant (CDBG) program through a Joint Powers Agreement with the County of Sonoma and the County’s non-entitlement cities; and
WHEREAS, CDBG funds must be utilized for projects that benefit low- and moderateincome persons, disabled persons and/or seniors, while reducing barriers to low- and moderateincome communities; and WHEREAS, the Sonoma County Community Development Commission has identified the provision of transitional housing improvements as an eligible use of local government sponsored capital project funding; and
WHEREAS, staff has identified improvements needed for the operation of the L&M Village which will provide 22 units of interim housing in Northern Sonoma County and desires to apply for CDBG funding as the improvements are an eligible activity of the CDBG program.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Healdsburg hereby:
1. Authorizes the City Manager to submit an application for fiscal year 2022-23 Community Development Block Grant funds in an amount of $200,000 for the L&M Village; and
2. Authorizes the City Manager to execute all applications, agreements, and other documents necessary to secure the CDBG funds.
PASSED, APPROVED AND ADOPTED this 17th day of October 2022, by the following vote:
AYES: Councilmembers: ()
NOES: Councilmembers: ()
ABSENT: Councilmembers: ()
ABSTAINING: Councilmembers: ()
SO ORDERED: ATTEST:
__________________________________ ____________________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk
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Packet Pg. 208 Attachment: Resolution (3800 : 2022 Community Development Block Grant Application Authorization)
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: Adoption of Resolution Authorizing Remote Meetings PREPARED BY: Raina Allan, City Clerk
STRATEGIC INITIATIVE(S):
Provide Effective Governance
Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):
Adopt a Resolution authorizing remote meetings of the City Council and other legislative bodies.
COMMUNITY ENGAGEMENT/OUTREACH:
The City has made and continues to engage in extensive outreach to the community regarding the City’s response to COVID-19, including updates at public meetings.
BACKGROUND:
On or about March 4, 2020, as part of the State of California’s response to address the global COVID-19 outbreak, Governor Gavin Newsom declared a State of Emergency to make additional resources available, formalize emergency actions already underway across multiple state agencies and departments, and help the state prepare for broader spread of COVID-19 following one official COVID-19 death.
When the COVID-19 pandemic started, local agency boards struggled to conduct their meetings in compliance with the Brown Act’s public accessibility requirements while still abiding by stayat-home orders. As a result, Governor Newsom signed Orders N-25-20, N-29-20, and N-35-20 to grant local agencies the flexibility to meet remotely during the COVID-19 pandemic. These orders expired on September 30, 2021.
DISCUSSION/ANALYSIS:
On September 16, 2021, Governor Newsom signed into law AB 361 – Brown Act: Remote Meetings During Emergencies. AB 361, codified at Government Code Section 54953(e)(1)(B), amended the Brown Act to allow public agencies to allow local legislative bodies to continue meeting by teleconference during a gubernatorial proclaimed state of emergency if the local
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legislative body determines, by majority vote, that as a result of the emergency, meeting entirely in person without restrictions would present imminent risks to the health or safety of attendees.
By adopting the proposed resolution, the Council would, on behalf of the City Council and all other legislative bodies formed by the Council, make the findings required by AB 361 to meet remotely. Because the Council is required to make these findings every thirty days, staff will place a version of this resolution on the consent calendar at all subsequent meetings, until the Council decides that meeting fully in person will no longer pose an imminent risk to the health or safety of attendees.
The resolution was amended at the February 22, 2022, City Council meeting and further amended at the March 21, 2022 City Council meeting, to amend public meeting protocol in response to the latest COVID-19 conditions, as directed by the City Council.
ENVIRONMENTAL STEWARDSHIP:
This section is not applicable.
ALTERNATIVES:
Because the Governor’s Order authorizing online meetings has expired, if the Council does not adopt the proposed resolution, the Council should immediately return to in-person meetings.
FISCAL IMPACT:
There is not a fiscal impact as a direct result of this action.
ENVIRONMENTAL ANALYSIS:
Pursuant to Title 14, the California Code of Regulations, Section 15378(b)(5) of the California Environmental Quality Act (“CEQA”) guidelines, the proposed action is an administrative activity of the City that will not result in direct or indirect physical changes to the environment.
ATTACHMENT(S):
Resolution
Public Meeting COVID-19 Protocols for the City of Healdsburg
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CITY OF HEALDSBURG
RESOLUTION NO. _____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG AND ON BEHALF OF COMMISSIONS AND
COMMITTEES CREATED BY THE CITY COUNCIL
PURSUANT TO CALIFORNIA GOVERNMENT CODE
SECTION 54952(b) AUTHORIZING TELECONFERENCE
MEETINGS IN COMPLIANCE WITH AB 361 (GOVERNMENT
CODE SECTION 54953(e)) TO CONTINUE TO ALLOW
MEMBERS OF THE PUBLIC TO SAFELY PARTICIPATE IN
LOCAL GOVERNMENT MEETINGS
WHEREAS, the City Council is committed to ensuring public access to observe and participate in local government meetings; and
WHEREAS, all meetings of the City Council and other legislative bodies created pursuant to Government Code Section 54952(b) are open and public, as required by the Ralph M. Brown Act, so that any member of the public may participate in local government meetings; and
WHEREAS, the recently adopted AB 361, codified at Government Code section 54953(e), makes provisions for remote teleconferencing participation in local government meetings, without compliance with the requirements 54953(b)(3), subject to the existence of certain conditions; and
WHEREAS, on March 4, 2020, Governor Newsom proclaimed a State of Emergency due to the outbreak of respiratory illness due to a novel coronavirus (now known as COVID-19) and that State of Emergency is still in effect in the State of California; and WHEREAS, the Sonoma County Public Health Officer continues to recommend teleconferencing or social distancing during public meetings of all legislative bodies to protect the community’s health against the spread of COVID-19; and WHEREAS, the City Council, acting as a legislative body pursuant to Government Code section 54952(a) and for the benefit of the commissions, committees and other bodies that were created by the City Council pursuant to Government Code section 54952(b) (collectively referred to as “Legislative Bodies”), finds that the current conditions meet the circumstances set forth in Government Code section 54953(e)(3) to allow Legislative Bodies to continue to use teleconferencing to hold open and public meetings if the Legislative Bodies comply with the requirements set forth in Government Code section 54953(e)(2) to ensure the public can safely participate in and observe local government meetings.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Healdsburg that the City Council does hereby:
1. Find that Current Conditions Authorize Teleconference Public Meetings of
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Packet Pg. 211 Attachment: Resolution (3802 : Resolution authorizing remote meetings) Resolution No. -2022
Legislative Bodies. Based on the California Governor’s continued declaration of a State of Emergency and the Sonoma County Public Health Officer’s recommendation to continue teleconferencing or social distancing during public meetings, the City Council finds that the conditions continue to exist pursuant to Government Code section 54953(e)(3) to allow Legislative Bodies to use teleconferencing to hold public meetings in accordance with Government Code section 54953(e)(2) to ensure members of the public have continued access to safely observe and participate in local government meetings.
2. Authorize Legislative Bodies to Conduct Teleconference Meetings. The Legislative Bodies are hereby authorized to take all actions necessary to carry out the intent and purpose of this Resolution, including conducting open and public meetings in accordance with Government Code section 54953(e)(2) and other applicable provisions of the Brown Act.
3. Authorize Legislative Bodies to Conduct Hybrid Meetings. The Legislative Bodies are hereby authorized to conduct meetings in a “hybrid” format, whereby members of the Body and members of the public may elect to be present in person, utilizing appropriate safety procedures, or participate by teleconferencing technology. Such meetings of the Legislative Bodies that occur using teleconferencing technology will provide an opportunity for any and all members of the public who wish to address Legislative Bodies to do so, and will otherwise occur in a manner that protects the statutory and constitutional rights of members of the public attending the meeting via teleconferencing. In-person meetings will be held consistent with the protocols described in Exhibit A to this Resolution.
PASSED and ADOPTED by the City Council of the City of Healdsburg, County of Sonoma, State of California, this 17th day of October 2022, by the following vote:
AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAINING: Councilmembers: ( )
SO ORDERED: ATTEST:
________________________________ ___________________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk
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Packet Pg. 212 Attachment: Resolution (3802 : Resolution authorizing remote meetings)
PUBLIC MEETING COVID-19 PROTOCOLS
FOR THE CITY OF HEALDSBURG
SCOPE: These protocols shall apply to all public meetings held in the Council Chamber located at Healdsburg City Hall, 401 Grove Street, Healdsburg, California, by the City Council and by any and all boards, committees and commissions created and/or appointed by the City Council.
APPLICABILITY: These protocols shall apply to all participants, including members of the public, elected officials, appointed members of all boards, committees and commissions, city staff, consultants, applicants, contractors, and any other person or individual attending or participating in a public meeting in the Council Chamber.
In addition to these protocols, the City of Healdsburg will follow all laws, regulations, policies, and orders from all relevant public agencies, including the Center for Disease Control, California Department of Public Health, CalOSHA, and the Sonoma County Public Health Officer.
PURPOSE: The City intends to implement a hybrid public meeting format to allow all participants of a public meeting in the Council Chamber to participate either in-person or remotely via teleconference in a manner consistent with provisions of the Ralph M. Brown Act. Due to the fact that all participants of a public meeting that choose to participate in-person in the Council Chamber will therefore be in a confined indoor space and, the period of confinement will more likely than not be longer than 15 minutes, the City is adopting these protocols to protect the public health, safety and general welfare and thereby limit the potential risks associated with COVID-19.
COMMITMENT TO PUBLIC PARTICIPATION: None of the protocols established herein are intended to limit public participation by participants of a public meeting in the Council Chamber in any way; indeed, the intent is to protect the statutory and constitutional rights of participants appearing before the legislative bodies of the City of Healdsburg, while protecting the public health, safety and general welfare. Any participant of a public meeting that desires to participate in-person in the Council Chamber that is unable or unwilling to comply with the inperson attendance protocol outlined below, or otherwise chooses not to participate in-person in a public meeting in the Council Chamber, will have the right and ability to participate in a public meeting in the Council Chamber remotely via teleconference in a manner consistent with provisions of the Ralph M. Brown Act.
IN-PERSON ATTENDANCE PROTOCOL:
1. Social Distancing and Occupancy Limits: The occupancy limit in the Council Chamber will be reduced by at least 50%.
a. Due to limited capacity, participants who indicate they are only interested in a specific item may be asked to wait outside the Council Chamber until their item is called on the agenda.
b. City staff will monitor occupancy within the Council Chamber to ensure proper social distancing is maintained. All participants of a public meeting permitted entry into the Council Chamber shall obey all directions from City staff provided to ensure proper social distancing is maintained. Any participant of a public meeting permitted entry into the Council Chamber who fails or refuses to obey the directions
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Packet Pg. 213 Attachment: Public Meeting COVID-19 Protocols for the City of Healdsburg (3802 : Resolution authorizing remote meetings)
from City staff provided to ensure social distancing, following one or more warning(s) from an appropriate City official, shall leave the Council Chamber upon instruction from an appropriate City official.
c. City staff and outside consultants to the City will, as appropriate or directed by the City Manager, participate in the public meeting remotely via teleconference.
2. Enforcement: In the event a participant of a public meeting in the Council Chamber refuses or fails to obey a decision, direction or instruction of an appropriate City official issued pursuant to these In-Person Attendance Protocols, the Chief of Police, or his or her designee, may in his or her discretion, or at the direction of the City Manager or the Presiding Officer of the public meeting, take appropriate and reasonable steps to enforce the decision, direction or instruction of the appropriate City official and/or remove the offending participant from the Council Chamber. Additionally, the Presiding Officer of the public meeting may, in his or her discretion, suspend and adjourn the public meeting and/or clear the Council Chamber of all participants in the event of a disturbance and/or disruption to the public meeting, and thereafter reconvene the public meeting once the matter is resolved.
CLEANING PROTOCOL: The Council Chamber shall be professionally cleaned after each public meeting. City staff will additionally use an electrostatic cleaner to disinfect the Council Chamber after each use.
AIR FILTRATION: Air control settings in the Council Chamber will be adjusted to allow for maximum fresh air flow during public meetings. When conditions allow, doors may be left open to facilitate additional fresh air circulation.
DISTRIBUTION OF PROTOCOLS TO PARTICIPANTS: A copy of these protocols shall be published and posted on the City’s website and shall be made available at the entry to the Council Chamber for distribution to all participants of a public meeting seeking to gain entry to the Council Chamber.
CHANGES TO PROTOCOL: The City Council may, from time to time, amend, modify, suspend and/or terminate and repeal all or any portion of these protocols as it may determine to be appropriate and necessary in consideration of changes in conditions or the need to protect the statutory and constitutional rights of participants appearing before the legislative bodies of the City of Healdsburg, while protecting the public health, safety and general welfare.
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Packet Pg. 214 Attachment: Public Meeting COVID-19 Protocols for the City of Healdsburg (3802 : Resolution authorizing remote meetings)
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: Various Healdsburg Municipal Code, Title 20 Land Use Code Amendments
PREPARED BY: Ellen McDowell, Senior Planner
STRATEGIC INITIATIVE(S):
Establish Proactive Policies/Programs to Continue to Promote Economic Diversity & Sustainable Growth
Provide Effective Governance
RECOMMENDED ACTION(S):
Conduct a public hearing and, by motion, introduce for first reading, by title only, an ordinance to amend Healdsburg Municipal Code Sections 20.16.150 (Number of required vehicular spaces); Section 20.08.145 (Permitted and conditionally permitted uses: PR, CD and CS Districts), Table 10; Section 20.20.075 (Alcoholic Beverage Establishments); Section 20.28.310 (Definitions); and related CEQA Exemption.
COMMUNITY ENGAGEMENT/OUTREACH:
A public hearing notice was published in the Press Democrat and posted at City Hall.
BACKGROUND:
The purpose of this report is to provide background information to the City Council regarding various Land Use Code amendments to the Healdsburg Municipal Code in order to support the City Council in making the required findings for adoption.
Parking Amendment (LUC Section 20.16.150):
In 1998, the City established a Downtown Parking Exemption Area, which exempted nonresidential uses located within a defined area from the requirement to provide off-street parking spaces, as a way to entice development and attract new businesses to the downtown area.
On January 28, 2014, a joint Planning Commission/City Council meeting was held to receive a parking study that reviewed the potential demand for parking under additional development scenarios, the potential elimination of the exemption area and potential establishment of parking
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in-lieu fees to accommodate increased parking demand in conjunction with eliminating the exemption area.
On July 7, 2014 the City Council approved General Plan Amendment No. 2014-02 and Land Use Amendment 2014-03 eliminating the exemption area, establishing a parking in-lieu fee option which allows non-commercial uses located in a specified area in downtown to satisfy parking requirements through payment of an in-lieu fee, and establishing a deposit account to be used for future parking and alternative transportation projects, including bicycle and pedestrian improvements, that may reduce demand for parking downtown by providing alternatives to driving downtown.
On January 20, 2015, the City Council and Planning Commission held a joint meeting to receive a presentation of the Downtown Parking Management Plan prepared by Walker Parking Consultants where staff was directed to return with additional information and analysis regarding: (1) how to implement paid parking, including available technology and associated costs; (2) recalculating the parking in-lieu fees; and (3) looking at feasibility of extending the InLieu Fee Area.
On March 2, 2015, the City Council held a meeting to receive additional information and analysis regarding the recalculation of the parking in-lieu fees and looking at the feasibility of extending the In-Lieu Fee Area and directed staff to return with an ordinance to (1) establish a two-tier in-lieu parking fee, and (2) to expand the In-Lieu Fee Area.
On July 6, 2015, the City Council adopted a Land Use Code Amendment to expand the Downtown Parking In-Lieu Fee Area and establish a two-tier parking in-lieu fee.
On December 3, 2018, The City Council approved an Ordinance requiring hotels to provide onsite or in close proximity parking, and no longer allowing hotels to be eligible to pay an in-lieu parking fee.
The two-tier parking in-lieu fees allow the City to collect fees for businesses that are not able to provide on-site parking by charging in-lieu fees at a rate of $17,144.66 for new development, and $7,091.08 for change of use (i.e. existing location/building with a new business). City Staff has received feedback from the community and prospective businesses indicating that the change in use fee is too high for small businesses and, in some cases, impedes the occupancy of vacant commercial spaces. City staff has since identified an opportunity to incentivize small and local businesses in the downtown area that may have otherwise been deterred due to the cost of providing in-lieu parking fees for reuse of existing commercial spaces.
Alcoholic Beverage Establishments Amendment (Section 20.20.075):
On January 26, 2016, a joint City Council and Planning Commission meeting was held, and direction was provided to staff to update the alcoholic beverage establishment regulations to address emerging trends and consider codification of a dispersion policy to limit tasting rooms within the downtown area.
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Staff presented updates to the City Council and Planning Commission on progress towards implementing direction, which included review of emerging industry trends, licensing types, and requirements of the state Alcoholic Beverage Control, and various regulations adopted in other jurisdictions that have similar wine tourism and alcoholic beverage establishment land use characteristics. On April 17, 2017, staff presented proposed changes to the City Council and received direction to prepare an ordinance for review by the Planning Commission. Changes to the Ordinance included revisions to the Land Use Code Chapter 20.08 (Land Use Tables), Section 20.20.075 (Alcohol Beverage Establishments), and Section 20.28.310 (Definitions).
On August 7, 2017, the City Council adopted Ordinance No. 1166 amending Healdsburg Municipal Code Section 20.20.075 (Alcoholic Beverage Establishments), Chapter 20.08 (Land Use Tables), and Section 20.28.310 (Definitions) that limited the number of alcoholic beverage establishments downtown to one per block face.
In January 2022, the City received an inquiry from a local, non-profit movie theater requesting to locate within a split zoned building in the Plaza Retail (PR) and Downtown Commercial (CD) zoning designations. Alcohol is a current component to that business and would currently be prohibited from locating downtown.
The current alcoholic beverage establishment section of the Land Use Code limits the number of alcoholic beverage establishments to one per block face, thus limiting the number of allowable uses with alcohol components as part of potential businesses. City Staff has identified a need to review the Alcoholic Beverage Establishment section to allow a broader range of uses in the downtown area, some of which may include the sale of alcoholic beverages as an ancillary use.
Theater and Auditorium Use (LUC Section 20.08.145 (Table 10), Section 20.28.310):
In January 2022, the City received an inquiry from a local, non-profit movie theater requesting to locate within a split zoned building in the Plaza Retail (PR) and Downtown Commercial (CD) zoning designations. In the CD zone the use is permitted, and in the PR zone the use is subject to a conditional use permit. Alcohol service to ticketed patrons is a component of their business model, similar to many theaters today. The City’s dispersion requirement for alcoholic beverage establishments would prohibit this use from locating in an identified space downtown due to the limited number of on-site consumption establishments permitted.
City staff has since identified a need to define the use of a theater and auditorium in that the use is identified within Table 10 of the Land Use Code, but not defined within the section 20.28.310 (Definitions). Staff is also recommending a change to the uses exempt from the alcoholic beverage ordinance’s dispersion requirements to support a greater variety of uses downtown.
DISCUSSION/ANALYSIS:
Overview of Land Use Code Amendments
The draft ordinance (Attachment 1) makes several amendments to the City’s Land Use Code to:
(1) amend Section 20.16.150 – Number of required vehicular parking spaces, (2) amend Section
20.08.145 – Permitted and conditionally permitted uses: PR, CD, and CS districts, (3) add a definition for Theaters and Auditoriums, and (4) amend section 20.20.075 – Alcoholic Beverage Establishments.
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Special Purposes of the Plaza Retail (PR), Service Commercial (CS) and Mixed Use (MU) districts include: (1) promote uses that are harmonious with the special character of the Plaza that are small-scale in nature, and that would not function effectively in another commercial district; (2) foster use of vacant buildings by permitting certain conditional uses; (3) allow a range of commercial uses and limited food and beverage production that serve the day-to-day needs of residents, while providing uses and activities of interest to visitors of the community.
To support the ongoing development of the downtown and encourage local businesses to locate within the downtown area, staff recommends implementing the proposed changes to the applicable parking and alcoholic beverage establishment sections of the Healdsburg Land Use Code. Analysis for each amendment identified above can be found below.
Parking Amendment (LUC Section 20.16.150):
The Land Use Code implements a two-tier parking in-lieu fee requirement for new construction and changes of use which increase the demand for parking. Currently the fees are set at $17,144.66 per parking space for new construction and $7,091.08 for change of use within an existing building. The parking in-lieu fee generates funds for the City to use for public parking, pedestrian and alternative transportation projects.
Since the two-tier parking in-lieu fee has been adopted, City staff has received several inquiries during One-Stop meetings as well as general inquiries from small scale local businesses looking to locate in the downtown area. Due to the cost of the change in use parking fees, these businesses have been deterred from occupying commercial space that require this fee.
Eliminating the change in use fee could reduce the amount of time downtown commercial spaces are vacant between tenants, thus creating greater flexibility for future tenants and potentially fewer vacancies.
The proposed changes would allow for businesses to re-occupy existing vacant commercial space in the downtown area without the requirement of change of use in-lieu parking fees. In-lieu parking fees would still be applicable for any newly added square footage or any new development within the in-lieu parking area at the new construction rate of $17,144.66. To implement this change, revisions to the Land Use Code and Resolution No. 2015-07 establishing a two-tier parking in-lieu fees are necessary. The key changes for this section are as follows:
1. Amend LUC Section 20.16.150 (4) to remove references to a two-tier system of in-lieu parking fees and add language clarifying that parking in-lieu fees apply to new development that increases floor area.
2. Amend LUC Section 20.16.150 (4) to add (a) “new tenants of existing non-residential space shall be exempt from this section.”
Alcoholic Beverage Establishments Amendment (Section 20.20.075):
Proposed changes to the alcoholic beverage establishment section of the Land Use Code would allow exceptions for Theaters and Auditoriums to allow more diverse uses within the downtown area. Currently, the Land Use Code seeks to limit alcoholic beverage establishments within the downtown area due to concerns regarding business diversity, events, increases in parking demand, and impacts to community character. Currently, the dispersion criteria apply to all
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establishments primarily intended for on-site consumption or tasting. The unintended consequence of applying these criteria to all on-site consumption establishments has a limiting effect on diversity of uses in the downtown area. The current code does not allow for uses in which alcohol would be ancillary to the primary use. The key changes for this section are as follows:
1. Amend LUC Section 20.20.075, Alcoholic Beverage Establishments, to add an exception for theaters and auditoriums.
Theater and Auditorium Use (LUC Section 20.08.145 (Table 10), Section 20.28.310):
The current code identifies “Theaters and auditoriums within buildings” as a permitted use within the CD zoning designation and a conditionally permitted use within the PR zoning designation. Proposed changes would require the theater and auditorium use to obtain a conditional use permit in both the CD and PR zoning designations. The use is currently undefined within the definitions section of the Land Use Code. To add a definition and more clearly define the use at various locations in the code, revisions to the Land Use Code are necessary. The key changes for this section are as follows:
1. Amend LUC Section 20.08.145, Table 10 to remove the language “within buildings” and change “Theater and auditorium” from Permitted to Conditionally Permitted.
2. Amend LUC Section 20.28.310, Definitions, to include a definition for Theater and Auditorium.
Planning Commission Review
The Planning Commission conducted a public hearing and considered the Land Use Code Amendments on September 3, 2022. Commissioners were generally supportive of the proposed revisions and adopted Resolution No. 2022-11 (Attachment 2) recommending approval of the ordinance with a suggestion to track changes in use for 12-24 months and potentially revisit the parking in-lieu fee changes based on findings.
APPLICABLE POLICY CONSISTENCY INFORMATION:
General Plan Consistency
The revisions to the Land Use Code are consistent with the City of Healdsburg 2030 General Plan. The amendments address the following Healdsburg 2030 General Plan policies and programs:
• LU-D-2 The City shall seek to provide a diversity of uses within the downtown that serve both residents and visitors and shall avoid an over-concentration of a single type of use. • ED-B-2 Continue to support businesses through the promotion of the downtown and working towards solutions to problems in the greater downtown area. • ED-B-3 Seek to provide a diversity of uses within the downtown that serve both residents and visitors and avoid over-concentration of a single type of use.
ALTERNATIVES:
After public comment and deliberation, the City Council may consider alternatives to address any issues raised and propose revisions to the ordinance.
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FISCAL IMPACT:
The recommended action related to Land Use Code amendments for sections 20.08.145 (Permitted and conditionally permitted uses: PR, CD and CS Districts, (Table 10), section
20.20.075 (Alcoholic Beverage Establishments), and section 20.28.310 (Definitions) will not result in a direct fiscal impact to the City. The recommended action related to Land Use Code amendment section 20.16.150 (Number of vehicular parking spaces) would reduce future in-lieu fees related to re-use of existing commercial spaces to the extent that an occupant is not proposing new development that alters the existing square footage.
ENVIRONMENTAL ANALYSIS:
The proposed amendments to the Municipal Code are exempt from CEQA pursuant to CEQA Guidelines Section 15061(b)(3) in that the proposed amendments will not allow for or encourage any more development than is already anticipated under the City’s existing General Plan, or otherwise allow for or promote physical changes in the environment and, therefore, it can be seen with certainty that there is no possibility that the proposed amendments may have a significant effect on the environment.
ATTACHMENT(S):
Att 1 CC Ordinance
Att 2 PC Resolution with Exhibit A
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ATTACHMENT 1
CITY OF HEALDSBURG
ORDINANCE NO. ____
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG AMENDING HEALDSBURG MUNICIPAL
CODE SECTIONS 20.16.150: NUMBER OF REQUIRED
VEHICULAR PARKING SPACES; 20.08.145: PERMITTED
AND CONDITIONALLY PERMITTED USES (PR, CD AND CS
DISTRICTS), TABLE 10; SECTION 20.20.075: ALCOHOLIC
BEVERAGE ESTABLISHMENTS; SECTION 20.28.310:
DEFINITIONS
WHEREAS, the City of Healdsburg Municipal Code (HMC) Chapter 20 Land Use Code (LUC) regulates allowable and development standards within the City; and WHEREAS, amendments are proposed to the Land Use Code to provide greater clarity to code sections related in lieu parking fees, permitted and conditionally permitted uses in the PR, CD and CS districts, exceptions for alcoholic beverage establishments and adding a definition for theater and auditorium; and
WHEREAS, the Planning Commission held a duly noticed public hearing on September 13, 2022, at which time it reviewed the proposed amendments and considered all public comments on the revisions and the related CEQA exemption; and WHEREAS, at the September 13, 2022 Planning Commission meeting the Planning Commission suggested that the City track changes in use for 12-24 months and potentially revisit parking in-lieu fees based on findings; and
WHEREAS, the proposed amendments will provide for and encourage a variety of local businesses that can locate in the downtown area; and
WHEREAS, the proposed amendments will not allow for, nor encourage, any more development than is already anticipated under the City’s General Plan, or otherwise allow for or promote physical changes in the environment and, therefore, it can be seen with certainty that there is not a possibility that the proposed amendments may have a significant impact on the environment; and
WHEREAS, the proposed amendments are exempt from the California Environmental Quality Act pursuant to Section 15061(b)(3) of the CEQA Guidelines; and WHEREAS, the Planning Commission made the following affirmative findings pursuant to HMC Section 20.28.282 in support of the proposed amendments:
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Packet Pg. 221 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
A. The amendments are consistent with the Healdsburg 2030 General Plan including the goals, and policies, in that no conflicts with any Goals, Policies, Programs or measures of the Healdsburg General Plan 2030 have been identified.
B. The amendments are consistent with the objectives of the Land Use Code contained in Section 20.04.010 given that: a) adoption of the proposed amendments will continue to protect and promote the public health, safety and general welfare of the community by providing updated standards; and b) the amendments will implement the goals, policies, and programs contained in the Healdsburg 2030 General Plan.
C. The Planning Commission has conducted a public hearing on the draft Land Use Code Amendments with hearing notices provided as prescribed in Land Use Code Section
20.28.080, including newspaper publication at least 10 days prior to the hearing date.
D. The amendments are exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines.
WHEREAS, based upon the Planning Commission’s findings, the staff report and presentation, and comment received at the public hearing, the City Council determines that the revisions are consistent with the General Plan including the Goals, Policies, and Implementation Measures of the Housing, Land Use, and Economic Development Elements of the adopted General Plan, and that the revisions are internally consistent with all other provisions of the Municipal Code.
NOW, THEREFORE, the City Council of the City of Healdsburg does ordain as follows:
Section 1. Findings.
The above recitals are hereby declared to be true and correct findings of the City Council of the City of Healdsburg.
Section 2. Section 20.16.150 Number of required vehicular parking spaces shall be amended to read as follows (additions underlined, deletions strikethrough):
B. Vehicular parking exceptions.
1. Covered Parking. The planning commission may waive the requirement for covered parking for senior or affordable housing developments and mixed use residential and commercial or industrial projects if this will facilitate reduced costs or improve the design of the project.
2. Senior Housing. The planning commission may reduce the parking requirements for senior housing developments.
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Packet Pg. 222 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
3. Shared Parking. The number of required parking spaces for multiple land uses on a site may be reduced by the planning and building director in the event it is determined that shared use of the same parking facilities can occur at differing times of the day and/or days of the week. Requests for shared parking reductions may be made to the planning and building department in writing and shall be accompanied by a shared parking analysis completed and signed by a registered traffic engineer indicating that no adverse effects would result from the shared use of parking spaces.
4. Parking In-Lieu Fee. Parking requirements for nonresidential, new construction (additional square footage) uses located within the area depicted here, as established by this section (Table 17) or as otherwise established by procedures under this Land Use Code, may be met by payment of a parking in-lieu fee as provided for in this section. A two tier system of in lieu parking fees is used to differentiate between new construction and changes of use in existing buildings.
a. Existing nonresidential space shall be exempt from this section. b. The parking in-lieu fee shall be a per-parking-space fee and is only applicable when a required parking space is not provided.
c. The amount per parking space of the two-tier parking in-lieu fee for new construction (additional square footage) and changes of use in existing buildings shall be as established in the City’s master fee schedule, as amended from time to time.
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Packet Pg. 223 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
d. The parking in-lieu fee shall be paid prior to the issuance of building permits. e. Funds collected by the City from parking in-lieu fee payments shall be deposited into a dedicated “parking and alternative transportation” deposit account and shall be used for parking and alternative transportation, including bicycle and pedestrian, improvements throughout the City.
f. Payment of the parking in-lieu fee shall be subject to the following:
i. In combination with the spaces provided on site, payment of the fee shall be considered full satisfaction of the off-street parking requirement, as determined by this section.
ii. The fee shall be non-refundable, and payment of the fee does not carry any other guarantees, rights, or privileges to the payer.
iii. Payment of the fee does not represent an obligation of the City to provide parking spaces within any particular proximity to the project for which the payment was made or to make available parking spaces within any particular amount of time. iv. Payment of the fee does not entitle the applicant, his or her tenants, or his or her clients to exclusive or private use of any public parking spaces. (Ord. 1149 § 1, 2015; Ord. 1139 § 1, 2014; Ord. 1106 § 2 (Exh. A § 1910), 2011.) Section 2. Section 20.20.075(B) Alcoholic Beverage Establishments shall be amended to provide an exception for theaters and auditoriums from this section as follows (additions underlined, deletions strikethrough):
B. Exceptions. The provisions of this section shall not apply to full service restaurants, theaters and auditoriums, private clubs and veteran or fraternal clubs, or the temporary sale of alcoholic beverages by a church, school or charitable group as defined by the Department of Alcoholic Beverage Control (ABC).
Section 3. Section 20.08.145 Permitted and conditionally permitted uses in the Plaza Retail, Downtown Commercial, and Service Commercial Zoning Districts shall be amended to read as follows (additions underlined, deletions strikethrough):
20.08.145 Permitted and conditionally permitted uses: PR, CD, and CS Districts The following permitted and conditionally permitted uses may be allowed in the PR, CD and CS Districts.
Chapter 20.28 HMC, Article V describes the procedures for obtaining a conditional use permit.
Table 10 Permitted and conditionally permitted uses: PR, CD and CS Districts Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Residential Uses
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Packet Pg. 224 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Day care, general -- C C
Day care, limited -- P P
Homeless shelters -- -- P
Multi-family dwellings located on the same site as a commercial use – above ground floor C P P
Multi-family dwellings located on the same site as a commercial use – any floor -- P P Residential care, general -- C C
Residential care, limited -- P P
Single room occupancy dwellings located on the same site as a commercial use – above ground floor C P P
Single room occupancy dwellings located on the same site as a commercial use – any floor -- P P
Supportive housing P P P
Transitional housing P P P
Vacation rental homes -- C --
Retail Trade and Services
Ambulance service -- -- P
Antique car display and sales -- C P
Antique sales – above ground floor P P C
Antique sales – ground floor C P C
Art galleries and picture framing with art sales P P P
Arts and crafts schools -- P P
Arts, crafts and hobby stores, including instructional classes as an accessory use P P P Automobile rentals -- -- P
Automobile washing (self-service) -- -- P
Automotive repair -- -- C
Automotive sales and service, new and used, with auto service -- -- P Automotive service stations, including smog testing, minor repair (tune-ups and brake repair only), towing services, vehicle storage and mini-markets -- -- C Automotive supply stores -- P P
Automotive upholstery shops -- -- C
Bakeries, retail P P P
Banks, savings and loans, thrift and loans, credit unions, including automated teller machines and drive-through facilities -- C C
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Packet Pg. 225 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Banks, savings and loans, thrift and loans, credit unions, including automated teller machines (no drive-through) C P P
Barber shops/beauty shops – above ground floor P P P
Barber shops/beauty shops – ground floor -- P P
Bars and cocktail lounges C* C* C*
Beer and wine sales (off-premises consumption), ancillary to mini-market retail sales contained within a service station -- -- C*
Bicycle sales and repair shops, including rentals -- P P Blueprint and photo reproduction shops -- P P
Boat sales and service -- -- P
Bookstores and newsstands – above ground floor P P P
Bookstores and newsstands – ground floor C P P
Bowling alleys -- -- P
Building material sales -- -- C
Bus depots C C C
Cabinet shops -- -- C
Card and stationers’ stores P P P
Carnivals and circuses, temporary -- -- C
Catering shops (food to go only) -- P P
Christmas tree sales lots, temporary P P P
Clothing and shoe establishments, including clothing sales (new merchandise only), tailor shops, and dressmaking establishments P P P
Computer retail sales -- P --
Consignment sales with incidental sales of used goods and clothing -- P P Contractors’ equipment rental yards & equipment rental yards -- -- C Contractors’ shops with no outdoor storage of heavy equipment -- -- P Delicatessens and gourmet food sales with incidental catering P P C Dental labs -- P P
Department stores -- P P
Dry cleaners and laundries -- P P
Electronic games centers (4 or more games) -- C C
Fabric shops P P P
Farmers markets C C C
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Packet Pg. 226 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Floor covering and drapery sales -- C P
Florists, including outdoor sales P P P
Food and cold storage lockers -- C P
Food stores over 3500 square feet in retail sales -- P P Food stores up to 3500 square feet in retail sales C P P Furniture repair -- P P
Furniture stores, retail P P P
Gift shops P P P
Glass shops (glaziers) -- -- P
Gunsmith shops, sales and repair -- P P
Hardware, paint and wallpaper stores -- P P
Health clubs, gymnasiums and dance studios -- C P
Home electronics and household appliance stores, including television, stereo, radio, telephone, computer and related sales (includes repair and installation services) -- P P Hotels, extended stay hotels and motels P P --
Ice cream parlors, soda fountains and candy stores P P P Interior furnishing and accessory shops P P P
Jewelry sales and repair, including watch and clock repair P P P Kennels -- -- C
Kitchenware shops P P P
Laboratories -- C P
Laundries – self-service -- P P
Linen supply services -- -- P
Liquor, beer and wine sales – off-premises consumption C* C* C* Live-work facilities -- P P
Locksmiths -- P P
Machinery sales, service, rental -- -- P
Manufacturing/processing – light; provided, that all of the conditions prescribed by Chapter 20.24 HMC Article I are met, and that no motor power other than electrically operated motors shall be used. The horsepower of any single motor shall not exceed five horsepower and the total horsepower of all such motors on the site shall not exceed 25 total horsepower. This does not include air conditioning equipment.
-- C C
Massage establishments – above ground floor P P P
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Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Massage establishments – any floor -- P P
Medical and dental clinics -- -- P
Mortuaries -- C C
Motorcycle sales and service -- C P
Music and dance entertainment clubs -- P C
Musical instrument sales, repair and lessons; and recorded music sales – above ground floor P P P
Musical instrument sales, repair and lessons; and recorded music sales – ground floor C P P
Nightclubs C* C* C*
Nurseries and garden supply stores -- C P
Office equipment sales and service -- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – any floor
-- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – above ground floor
P -- --
Offices – psychologist, psychiatrist, counseling and therapy -- P P Optician and optometrist shops -- P P
Outdoor vendors on private property C C --
Parking lots and parking garages C P P
Patio and garden furniture and accessories shops -- P P Pet shops, including pet grooming -- P P
Pharmacies and drug stores C P P
Photography shops, studios and photo supply stores C P P Picture framing shops -- P P
Plumbing supply shops -- C P
Pool and billiards halls -- C P
Pool and spa sales and service -- -- P
Post office and private mail services -- C P
Pottery and woodworking shops -- -- P
Printing, lithography and engraving -- C P
Public information centers – indoor P P P
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Packet Pg. 228 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) Ordinance No.
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Public utility installations, including public service pumping stations, power stations and substations, equipment buildings and installations -- C C Radio and television broadcast and recording studios -- C C Radio, television and stereo sales and service -- P P
Recreational equipment rental -- -- P
Recreational vehicle sales, services, repair and storage -- -- P Residential visitor lodging -- C C
Restaurants, cafes and eating establishments, indoor and outdoor eating, including sale of alcoholic beverages as an ancillary use and indoor music with no sound amplification
P P P
• Amplified music C C C
Restaurants, drive-in, walk-up and drive-through -- -- C Retail warehouses over 6,000 square feet of floor area -- -- C Retail warehouses under 6,000 square feet of floor area -- -- P Secondhand stores and pawn shops -- C C
Shoe repair -- P --
Sign painting -- C P
Skating rinks (within bldg) -- -- P
Spa, day -- P P
• Above ground floor C P --
• Any floor -- P --
Spa, overnight P P --
Sporting goods sales, with rental as an accessory use -- P P Supermarkets (over 3500 square feet of retail sales area) -- P P Tasting room C* C* --
Theaters and auditoriums within buildings C CP C
Tire sales, not including tire recapping -- -- P
Tobacco and pipe shops P P P
Toy stores P P --
Travel agencies – above ground floor P P P
Travel agencies – ground floor C P P
Upholstery shops -- C C
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Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Vacation timeshares -- -- --
Variety stores and dry goods -- P P
Vending machine service -- -- P
Veterinarian offices and small animal hospitals -- -- C Recreation, Education and Public Assembly
Churches and other religious institutions -- C C
Private clubs, fraternal lodges and meeting halls C C C Private museums P C --
Accessory Uses
Accessory structures and uses located on the same site as a permitted or conditional use
P P P
Section 4. Section 20.28.310 Definitions shall be amended to add a definition for Theaters and Auditoriums as follows (additions underlined, deletions strikethrough):
Theater and auditorium. An indoor facility for public assembly and group entertainment. Examples of these facilities include:
• Civic theaters, and facilities for “live” theater and concerts • Movie theaters
• Similar public assembly facilities
Section 5. Environmental Compliance.
The City Council finds that the proposed Ordinance is exempt from CEQA under section 15061(b)(3) of the CEQA Guidelines. The commonsense exemption set forth in Section 15061(b)(3) provides that CEQA only applies to projects which have the potential for causing a significant effect on the environment, and thus where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Therefore, it can be seen with certainty that adoption of the proposed Ordinance would not have any environmental effects.
Section 6. Severability
If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.
Section 7. Effective Date and Publication.
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This Ordinance of the City of Healdsburg shall be effective thirty (30) days after the date of its passage. Before expiration of fifteen (15) days after its passage, this Ordinance or a summary thereof as provided for in Government Code Section 36933, shall be published at least once in a newspaper of general circulation published and circulated in the City of Healdsburg, along with the names of the City Council members voting for and against its passage.
INTRODUCED by the City Council of the City of Healdsburg on the 17th day of October, 2022, and PASSED and APPROVED at a regular meeting of the City Council on the ____ day of ____, 2022, by the following vote:
AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAIN: Councilmembers: ( )
SO ORDERED
___________________________________ ____________________________________ Osvaldo Jimenez, Mayor Raina Allan, City Clerk
Dated: ______________________________
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Packet Pg. 231 Attachment: Att 1 CC Ordinance (3786 : Land Use Code Amendments) ATTACHMENT 1
RESOLUTION NO. 2022-11
A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF
HEALDSBURG RECOMMENDING TO THE CITY COUNCIL AMENDMENTS
TO HEALDSBURG MUNICIPAL CODE SECTIONS 20.16.150: NUMBER OF REQUIRED VEHICULAR PARKING SPACES; 20.08.145: PERMITTED AND
CONDITIONALLY PERMITTED USES (PR, CD AND CS DISTRICTS), TABLE 10; SECTION 20.20.075: ALCOHOLIC BEVERAGE ESTABLISHMENTS; SECTION 20.28.310: DEFINITIONS
WHEREAS, the City of Healdsburg Municipal Code (HMC) Chapter 20 Land Use Code (LUC) regulates allowable uses and development standards within the City; and
WHEREAS, amendments are proposed to the Land Use Code to provide greater clarity to code sections related to in-lieu parking fees, permitted and conditionally permitted uses in the PR, CD and CS districts, exceptions for alcoholic beverage establishments and adding a definition for theater and auditorium; and WHEREAS, the Planning Commission held a duly noticed public hearing on September 13, 2022, at which time it reviewed the proposed amendments and considered all public comments on the revisions and the related CEQA exemption; and WHEREAS, the proposed amendments will provide for and encourage a variety of local businesses that can locate in the downtown area; and WHEREAS, the proposed amendments will not allow for, nor encourage, any more development than is already anticipated under the City’s General Plan, or otherwise allow for or promote physical changes in the environment and, therefore, it can be seen with certainty that there is not a possibility that the proposed amendments may have a significant impact on the environment; and
WHEREAS, the proposed amendments are exempt from the California Environmental Quality Act pursuant to Section 15061(b)(3) of the CEQA Guidelines; and
WHEREAS, the Planning Commission makes the following findings pursuant to HMC Section 20.28.282 in support of the proposed amendments:
A. The amendments are consistent with the Healdsburg 2030 General Plan including the goals, and policies, in that no conflicts with any Goals, Policies, Programs or measures of the Healdsburg General Plan 2030 have been identified.
B. The amendments are consistent with the objectives of the Land Use Code contained in Section 20.04.010 given that: a) adoption of the proposed
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amendments will continue to protect and promote the public health, safety and general welfare of the community by providing updated standards; and b) the amendments will implement the goals, policies, and programs contained in the Healdsburg 2030 General Plan.
C. The Planning Commission has conducted a public hearing on the draft Land Use Code Amendments with hearing notices provided as prescribed in Land Use Code Section 20.28.080, including newspaper publication at least 10 days prior to the hearing date.
D. The amendments are exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines.
NOW, THEREFORE, BE IT RESOLVED that the City of Healdsburg Planning Commission does hereby recommend that the City Council amend Healdsburg Municipal Code Sections 20.16.150: Number of vehicular parking spaces; 20.08.145:
Permitted and conditionally permitted uses (PR, CD and CS Districts), Table 10; Section
20.20.075: Alcoholic Beverage Establishments; Section 20.28.310: Definitions, as illustrated in Exhibit A.
DULY AND REGULARLY ADOPTED by the Healdsburg Planning
Commission on the 13
th day of September, 2022, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Approved: Attest:
Chair Secretary
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Packet Pg. 233 Attachment: Att 2 PC Resolution with Exhibit A (3786 : Land Use Code Amendments)
EXHIBIT A
CITY OF HEALDSBURG
ORDINANCE NO. ____
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HEALDSBURG AMENDING HEALDSBURG MUNICIPAL CODE SECTIONS 20.16.150: NUMBER OF REQUIRED VEHICULAR PARKING SPACES; 20.08.145: PERMITTED AND CONDITIONALLY PERMITTED USES (PR, CD AND CS DISTRICTS), TABLE 10; SECTION 20.20.075: ALCOHOLIC BEVERAGE ESTABLISHMENTS; SECTION
20.28.310: DEFINITIONS
WHEREAS, the City of Healdsburg Municipal Code (HMC) Chapter 20 Land Use Code (LUC) regulates allowable and development standards within the City; and WHEREAS, amendments are proposed to the Land Use Code to provide greater clarity to code sections related in lieu parking fees, permitted and conditionally permitted uses in the PR, CD and CS districts, exceptions for alcoholic beverage establishments and adding a definition for theater and auditorium; and
WHEREAS, the Planning Commission held a duly noticed public hearing on September 13, 2022, at which time it reviewed the proposed amendments and considered all public comments on the revisions and the related CEQA exemption; and WHEREAS, the proposed amendments will provide for and encourage a variety of local businesses that can locate in the downtown area; and WHEREAS, the proposed amendments will not allow for, nor encourage, any more development than is already anticipated under the City’s General Plan, or otherwise allow for or promote physical changes in the environment and, therefore, it can be seen with certainty that there is not a possibility that the proposed amendments may have a significant impact on the environment; and
WHEREAS, the proposed amendments are exempt from the California Environmental Quality Act pursuant to Section 15061(b)(3) of the CEQA Guidelines; and
WHEREAS, the Planning Commission made the following affirmative findings pursuant to HMC Section 20.28.282 in support of the proposed amendments:
A. The amendments are consistent with the Healdsburg 2030 General Plan including the goals, and policies, in that no conflicts with any Goals, Policies, Programs or measures of the Healdsburg General Plan 2030 have been identified.
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B. The amendments are consistent with the objectives of the Land Use Code contained in Section 20.04.010 given that: a) adoption of the proposed amendments will continue to protect and promote the public health, safety and general welfare of the community by providing updated standards; and b) the amendments will implement the goals, policies, and programs contained in the Healdsburg 2030 General Plan.
C. The Planning Commission has conducted a public hearing on the draft Land Use Code Amendments with hearing notices provided as prescribed in Land Use Code Section 20.28.080, including newspaper publication at least 10 days prior to the hearing date.
D. The amendments are exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines.
WHEREAS, based upon the Planning Commission’s findings, the City Council determines that the revisions are consistent with the General Plan including the Goals, Policies, and Implementation Measures of the Housing, Land Use, and Economic Development Elements of the adopted General Plan, and that the revisions are internally consistent with all other provisions of the Municipal Code.
NOW, THEREFORE, the City Council of the City of Healdsburg does ordain as follows:
Section 1. Findings.
The above recitals are hereby declared to be true and correct findings of the City Council of the City of Healdsburg.
Section 2. Section 20.16.150 Number of required vehicular parking spaces shall be amended to read as follows (additions underlined, deletions strikethrough):
B. Vehicular parking exceptions.
1. Covered Parking. The planning commission may waive the requirement for covered parking for senior or affordable housing developments and mixed use residential and commercial or industrial projects if this will facilitate reduced costs or improve the design of the project.
2. Senior Housing. The planning commission may reduce the parking requirements for senior housing developments.
3. Shared Parking. The number of required parking spaces for multiple land uses on a site may be reduced by the planning and building director in the event it is determined that shared use of the same parking facilities can occur at differing times of the day and/or days of the week. Requests for shared parking reductions may be made to the planning and building department in writing and shall be
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accompanied by a shared parking analysis completed and signed by a registered traffic engineer indicating that no adverse effects would result from the shared use of parking spaces.
4. Parking In-Lieu Fee. Parking requirements for nonresidential, new construction (additional square footage) uses located within the area depicted here, as established by this section (Table 17) or as otherwise established by procedures under this Land Use Code, may be met by payment of a parking in-lieu fee as provided for in this section. A two tier system of in lieu parking fees is used to differentiate between new construction and changes of use in existing buildings. a. Existing nonresidential space shall be exempt from this section. b. The parking in-lieu fee shall be a per-parking-space fee and is only applicable when a required parking space is not provided. c. The amount per parking space of the two-tier parking in-lieu fee for new construction (additional square footage) and changes of use in existing buildings shall be as established in the City’s master fee schedule, as amended from time to time.
d. The parking in-lieu fee shall be paid prior to the issuance of building permits. e. Funds collected by the City from parking in-lieu fee payments shall be deposited into a dedicated “parking and alternative transportation” deposit account and shall be used for parking and alternative transportation, including bicycle and pedestrian, improvements throughout the City. f. Payment of the parking in-lieu fee shall be subject to the following:
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i. In combination with the spaces provided on site, payment of the fee shall be considered full satisfaction of the off-street parking requirement, as determined by this section.
ii. The fee shall be non-refundable, and payment of the fee does not carry any other guarantees, rights, or privileges to the payer. iii. Payment of the fee does not represent an obligation of the City to provide parking spaces within any particular proximity to the project for which the payment was made or to make available parking spaces within any particular amount of time.
iv. Payment of the fee does not entitle the applicant, his or her tenants, or his or her clients to exclusive or private use of any public parking spaces. (Ord. 1149 § 1, 2015; Ord. 1139 § 1, 2014; Ord. 1106 § 2 (Exh. A § 1910), 2011.) Section 2. Section 20.20.075(B) Alcoholic Beverage Establishments shall be amended to provide an exception for theaters and auditoriums from this section as follows (additions underlined, deletions strikethrough):
B. Exceptions. The provisions of this section shall not apply to full service restaurants, theaters and auditoriums, private clubs and veteran or fraternal clubs, or the temporary sale of alcoholic beverages by a church, school or charitable group as defined by the Department of Alcoholic Beverage Control (ABC).
Section 3. Section 20.08.145 Permitted and conditionally permitted uses in the Plaza Retail, Downtown Commercial, and Service Commercial Zoning Districts shall be amended to read as follows (additions underlined, deletions strikethrough):
20.08.145 Permitted and conditionally permitted uses: PR, CD, and CS Districts The following permitted and conditionally permitted uses may be allowed in the PR, CD and CS Districts. Chapter 20.28 HMC, Article V describes the procedures for obtaining a conditional use permit.
Table 10 Permitted and conditionally permitted uses: PR, CD and CS Districts Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Residential Uses
Day care, general -- C C
Day care, limited -- P P
Homeless shelters -- -- P
Multi-family dwellings located on the same site as a commercial use – above ground floor C P P
Multi-family dwellings located on the same site as a commercial use – any floor -- P P Residential care, general -- C C
Residential care, limited -- P P
Single room occupancy dwellings located on the same site as a commercial use – above ground floor C P P
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Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Single room occupancy dwellings located on the same site as a commercial use – any floor -- P P
Supportive housing P P P
Transitional housing P P P
Vacation rental homes -- C --
Retail Trade and Services
Ambulance service -- -- P
Antique car display and sales -- C P
Antique sales – above ground floor P P C
Antique sales – ground floor C P C
Art galleries and picture framing with art sales P P P
Arts and crafts schools -- P P
Arts, crafts and hobby stores, including instructional classes as an accessory use P P P Automobile rentals -- -- P
Automobile washing (self-service) -- -- P
Automotive repair -- -- C
Automotive sales and service, new and used, with auto service -- -- P Automotive service stations, including smog testing, minor repair (tune-ups and brake repair only), towing services, vehicle storage and mini-markets -- -- C Automotive supply stores -- P P
Automotive upholstery shops -- -- C
Bakeries, retail P P P
Banks, savings and loans, thrift and loans, credit unions, including automated teller machines and drive-through facilities -- C C
Banks, savings and loans, thrift and loans, credit unions, including automated teller machines (no drive-through) C P P
Barber shops/beauty shops – above ground floor P P P
Barber shops/beauty shops – ground floor -- P P
Bars and cocktail lounges C* C* C*
Beer and wine sales (off-premises consumption), ancillary to mini-market retail sales contained within a service station -- -- C*
Bicycle sales and repair shops, including rentals -- P P Blueprint and photo reproduction shops -- P P
Boat sales and service -- -- P
Bookstores and newsstands – above ground floor P P P
Bookstores and newsstands – ground floor C P P
Bowling alleys -- -- P
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Packet Pg. 238 Attachment: Att 2 PC Resolution with Exhibit A (3786 : Land Use Code Amendments)
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Building material sales -- -- C
Bus depots C C C
Cabinet shops -- -- C
Card and stationers’ stores P P P
Carnivals and circuses, temporary -- -- C
Catering shops (food to go only) -- P P
Christmas tree sales lots, temporary P P P
Clothing and shoe establishments, including clothing sales (new merchandise only), tailor shops, and dressmaking establishments P P P
Computer retail sales -- P --
Consignment sales with incidental sales of used goods and clothing -- P P Contractors’ equipment rental yards & equipment rental yards -- -- C Contractors’ shops with no outdoor storage of heavy equipment -- -- P Delicatessens and gourmet food sales with incidental catering P P C Dental labs -- P P
Department stores -- P P
Dry cleaners and laundries -- P P
Electronic games centers (4 or more games) -- C C
Fabric shops P P P
Farmers markets C C C
Floor covering and drapery sales -- C P
Florists, including outdoor sales P P P
Food and cold storage lockers -- C P
Food stores over 3500 square feet in retail sales -- P P Food stores up to 3500 square feet in retail sales C P P Furniture repair -- P P
Furniture stores, retail P P P
Gift shops P P P
Glass shops (glaziers) -- -- P
Gunsmith shops, sales and repair -- P P
Hardware, paint and wallpaper stores -- P P
Health clubs, gymnasiums and dance studios -- C P
Home electronics and household appliance stores, including television, stereo, radio, telephone, computer and related sales (includes repair and installation services) -- P P
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Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Hotels, extended stay hotels and motels P P --
Ice cream parlors, soda fountains and candy stores P P P Interior furnishing and accessory shops P P P
Jewelry sales and repair, including watch and clock repair P P P Kennels -- -- C
Kitchenware shops P P P
Laboratories -- C P
Laundries – self-service -- P P
Linen supply services -- -- P
Liquor, beer and wine sales – off-premises consumption C* C* C* Live-work facilities -- P P
Locksmiths -- P P
Machinery sales, service, rental -- -- P
Manufacturing/processing – light; provided, that all of the conditions prescribed by Chapter 20.24 HMC Article I are met, and that no motor power other than electrically operated motors shall be used. The horsepower of any single motor shall not exceed five horsepower and the total horsepower of all such motors on the site shall not exceed 25 total horsepower. This does not include air conditioning equipment.
-- C C
Massage establishments – above ground floor P P P
Massage establishments – any floor -- P P
Medical and dental clinics -- -- P
Mortuaries -- C C
Motorcycle sales and service -- C P
Music and dance entertainment clubs -- P C
Musical instrument sales, repair and lessons; and recorded music sales – above ground floor P P P
Musical instrument sales, repair and lessons; and recorded music sales – ground floor C P P
Nightclubs C* C* C*
Nurseries and garden supply stores -- C P
Office equipment sales and service -- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – any floor
-- P P
Offices – professional, administrative and business, including chiropractor, insurance, real estate and financial offices, but excluding medical and dental offices – above ground floor
P -- --
Offices – psychologist, psychiatrist, counseling and therapy -- P P Optician and optometrist shops -- P P
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Packet Pg. 240 Attachment: Att 2 PC Resolution with Exhibit A (3786 : Land Use Code Amendments)
Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Outdoor vendors on private property C C --
Parking lots and parking garages C P P
Patio and garden furniture and accessories shops -- P P Pet shops, including pet grooming -- P P
Pharmacies and drug stores C P P
Photography shops, studios and photo supply stores C P P Picture framing shops -- P P
Plumbing supply shops -- C P
Pool and billiards halls -- C P
Pool and spa sales and service -- -- P
Post office and private mail services -- C P
Pottery and woodworking shops -- -- P
Printing, lithography and engraving -- C P
Public information centers – indoor P P P
Public utility installations, including public service pumping stations, power stations and substations, equipment buildings and installations -- C C Radio and television broadcast and recording studios -- C C Radio, television and stereo sales and service -- P P
Recreational equipment rental -- -- P
Recreational vehicle sales, services, repair and storage -- -- P Residential visitor lodging -- C C
Restaurants, cafes and eating establishments, indoor and outdoor eating, including sale of alcoholic beverages as an ancillary use and indoor music with no sound amplification
P P P
• Amplified music C C C
Restaurants, drive-in, walk-up and drive-through -- -- C Retail warehouses over 6,000 square feet of floor area -- -- C Retail warehouses under 6,000 square feet of floor area -- -- P Secondhand stores and pawn shops -- C C
Shoe repair -- P --
Sign painting -- C P
Skating rinks (within bldg) -- -- P
Spa, day -- P P
• Above ground floor C P --
• Any floor -- P --
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Permitted (P) and Conditionally Permitted (C) Uses PR CD CS Spa, overnight P P --
Sporting goods sales, with rental as an accessory use -- P P Supermarkets (over 3500 square feet of retail sales area) -- P P Tasting room C* C* --
Theaters and auditoriums within buildings C CP C
Tire sales, not including tire recapping -- -- P
Tobacco and pipe shops P P P
Toy stores P P --
Travel agencies – above ground floor P P P
Travel agencies – ground floor C P P
Upholstery shops -- C C
Vacation timeshares -- -- --
Variety stores and dry goods -- P P
Vending machine service -- -- P
Veterinarian offices and small animal hospitals -- -- C Recreation, Education and Public Assembly
Churches and other religious institutions -- C C
Private clubs, fraternal lodges and meeting halls C C C Private museums P C --
Accessory Uses
Accessory structures and uses located on the same site as a permitted or conditional use
P P P
Section 4. Section 20.28.310 Definitions shall be amended to add a definition for Theaters and Auditoriums as follows (additions underlined, deletions strikethrough):
Theater and auditorium. An indoor facility for public assembly and group entertainment. Examples of these facilities include:
• Civic theaters, and facilities for “live” theater and concerts • Movie theaters
• Similar public assembly facilities
Section 5. Environmental Compliance.
The City Council finds that the proposed Ordinance is exempt from CEQA under section 15061(b)(3) of the CEQA Guidelines. The commonsense exemption set forth in Section 15061(b)(3) provides that CEQA only applies to projects which have the potential for
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causing a significant effect on the environment, and thus where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Therefore, it can be seen with certainty that adoption of the proposed Ordinance would not have any environmental effects.
Section 6. Severability
If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.
Section 7. Effective Date and Publication.
This Ordinance of the City of Healdsburg shall be effective thirty (30) days after the date of its passage. Before expiration of fifteen (15) days after its passage, this Ordinance or a summary thereof as provided for in Government Code Section 36933, shall be published at least once in a newspaper of general circulation published and circulated in the City of Healdsburg, along with the names of the City Council members voting for and against its passage.
INTRODUCED by the City Council of the City of Healdsburg on the ___ day of ____, 2022, and PASSED and APPROVED at a regular meeting of the City Council on the ____ day of ____, 2022, by the following vote:
AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAIN: Councilmembers: ( )
SO ORDERED
Osvaldo Jimenez, Mayor Raina Allan, City Clerk
Dated:
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Packet Pg. 243 Attachment: Att 2 PC Resolution with Exhibit A (3786 : Land Use Code Amendments)
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: 2020 Greenhouse Gas (GHG) Inventory Summary for Healdsburg PREPARED BY: Terra Sampson, Utility Conservation Analyst STRATEGIC INITIATIVE(S):
Pursue Initiatives that Promote Environmental Stewardship RECOMMENDED ACTION(S):
Receive a presentation summarizing the results and discussion of the 2020 greenhouse gas (GHG) inventory for Healdsburg.
COMMUNITY ENGAGEMENT/OUTREACH:
The Sonoma County Regional Climate Protection Authority (RCPA) presented the results of the 2020 Greenhouse Gas (GHG) Inventory to their Board of Directors on September 12, 2022 (See Attachment A). The report, presentation, and recording are available on the RCPA website. City staff recently prepared the 2021 Power Content Label, which was included in the September 19, 2022 City Council packet and has been distributed in the mail to all Healdsburg electric customers in October 2022.
BACKGROUND:
The Sonoma County Regional Climate Protection Authority (RCPA) established a baseline communitywide GHG inventory for calendar year 2010 and a back cast inventory for 1990 as part of the Climate Action 2020 and Beyond (CA2020) development process. The RCPA has since completed inventory updates for 2015, 2018, and 2020 to help track progress towards achieving the short and long-term emissions reduction goals established in CA2020 and in the Sonoma Climate Mobilization Strategy. The inventory updates provide countywide results, as well as breakouts for each of the jurisdictions.
DISCUSSION/ANALYSIS:
In September 2022, RCPA released its updated 2020 GHG Inventory for Sonoma County (See Attachment A). The County achieved a 23% overall emission reduction from the 1990 baseline.
During the period of 1990-2020, the City of Healdsburg achieved an 11% GHG reduction overall, and a 26% GHG reduction per capita (See Figure 1). Similar to the overall County
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inventory, the two main emissions sectors for Healdsburg are Transportation and Building Energy (see Figure 2).
Source: RCPA, 2020 GHG Inventory
Figure 1. 1990-2020 GHG Emission Trends by Year - Healdsburg Source: RCPA, 2020 GHG Inventory
Figure 2. Healdsburg GHG Emissions by Sector
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Building Energy
In the 2020 GHG Inventory, Healdsburg’s building emissions are up 45% compared to 1990. In 1990 the City electric sources had a very low carbon content of 0.002 metric ton/ megawatt-hour (MT/MWh) as opposed to PG&E’s 1990 emission rate of 0.257 MT/MWh. This creates a very low starting point for Healdsburg’s building emissions. If PG&E supplied Healdsburg energy in 1990 similar to the rest of the county, 1990 baseline emissions would been higher by nearly 16,000 MT. When applying PG&E’s 1990 emissions to Healdsburg’s 1990 electric usage, Healdsburg would have achieved 15% reduction with 2020 building sector emissions.
Since 1990, Healdsburg’s building square footage has increased roughly 35% with electricity usage increasing 19% over the same period. To meet these growing energy needs, the City increased purchases of unspecified market energy (typically natural gas). In 2007, through the NCPA, the City began the development of the Lodi Energy Center (LEC), a natural gas generator completed in 2012. Additionally, over the past decade the City experienced a decline in the geothermal steam fields and multiple drought years that reducing in-state hydroelectric resources (drought years impacted GHG inventories in 2015, 2018, and 2020).
In 2020, Healdsburg experienced various challenges to no and low-carbon resources, including:
• Loss of transmission from the Geysers Geothermal Plant in the early months of 2020 due to the 2019 Kincade Fire, during which time the City had to temporarily procure other electric sources with higher carbon emissions
• Reduced in-state hydroelectric resources during 2020 from low precipitation • LEC turbine failure that required additional high-carbon market purchases Each of these events increased the carbon intensity of Healdsburg energy sources in calendar year 2020. Staff believes, therefore, that both 1990 (with high levels of low-carbon energy) and 2020 (with several disruptions to our supply of low-carbon energy) were somewhat anomalous.
Looking forward, as we continue implementing planned projects to increase our supply of clean energy, we anticipate an accelerated pace of GHG emission reduction from building energy in Healdsburg. That trend is already evident in our review of energy composition post 2020.
For calendar year 2021, Healdsburg electric emissions are 12% below 2020, despite a historic drought that further reduced in-state hydroelectric resources. The reduction in emissions for 2021 is largely due to the implementation of the City’s floating solar project. In 2021 solar energy met 9% of citywide electricity needs versus pervious years of less than 1% (See Attachments C and D).
Healdsburg’s Power Content Label, used to complete RCPA’s 2020 GHG inventory, includes necessary in-state resources to support grid functions required to delivery energy 24/7. On an annualized basis, purchasing out-of-state hydroelectric power would reduce emissions reported on the Power Content Label and captured in RCPA’s GHG inventories. However, it may mislead consumers regarding the actual GHG emissions associated with delivering electricity at the time it is used. Within California, necessary in-state grid support and peak energy is currently met using natural gas fired generation plants but is not consistently represented on power content labels used to develop GHG inventories. To reduce GHG production while maintaining grid
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reliability and stable energy sources, city staff have focused on preserving existing renewable and low-carbon resources, worked to develop new in-state low and no-carbon generation, and participated in the development of transition plans to convert existing carbon-based generation to cleaner energy forms (See Attachment B). Some of these projects include:
• The late 2021 hydroelectric contract with South Feather Water and Power, which is expected to meet 6% of citywide electricity
• New Antelope Solar Project in southern California, which is now operational and expected to meet 8% of citywide electricity needs starting in 2023 • Progress towards converting the LEC’s main turbine, that failed in 2020 to include greenhydrogen generation • Potential development of utility scale batteries and micro-grids to improve Healdsburg ability to store mid-day solar energy for use later in the evening when solar generation is not available.
To maintain grid stability and the ability to meet peak and seasonal demands, the LEC has the potential of switching to green-hydrogen to reduce GHG emissions while preserving critical grid-support and to provide energy when wind, hydro, and solar are not available. The design and construction of a hydrogen-electrolyzer at the LEC will be a large part of Healdsburg’s efforts to reduced GHG emissions while building a reliable energy portfolio to meet the future’s electrification of the building and transportation sector.
Transportation
Healdsburg’s transportation section produced approximately 46,635 metric tons of emissions or roughly 55% of Healdsburg’s 2020 emissions. The 2020 GHG inventory indicates Healdsburg’s transportation emissions are down 24% compared to 1990, and down 13% compared to 2018.
This reduction will need to be monitored in the next inventory to determine if emissions begin to rebound after COVID-19 restrictions were lifted. The City continues to focus on infrastructure improvements for safe active transportation within City limits but future reductions will also be dependent upon fuel switching to reduce emissions associated with travel that begins or ends outside city limits.
Water-Related
In RCPA’s 2020 GHG inventory, Healdsburg’s water-related emissions are up 154% compared to 1990 and indicate some of the highest numbers per capita in the county. Due to regulatory obligations, Healdsburg’s water and wastewater treatment processing have significantly increased and now include microfiltration for domestic water and tertiary treatment for wastewater. These two processes require more energy to meet the drinking water and wastewater treatment regulatory requirements but are not significantly different from other Sonoma County jurisdictions. Since late 2018, all City accounts (including water and wastewater treatment) are on the Green Rate and receive 100% renewable electricity. City staff are working with RCPA to better understand RCPA’s methodology applied to the water and wastewater sector. Of note is that water-related emissions shown in RCPA’s report are less than 1% of the City’s overall emissions.
Solid Waste
In the 2020 GHG Inventory, Healdsburg’s solid waste emissions are down 57% compared to
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1990. City staff continues to work collaboratively with Recology and Zero Waste Sonoma. The City and Zero Waste Sonoma will also focus on implementing measures to comply with SB 1383 to reduce organic waste disposal by 75% by 2025 and to rescue at least 20% of currently disposed surplus food by 2025. The City also recently provided residents with hundreds of highquality countertop bins to encourage composting.
ENVIRONMENTAL STEWARDSHIP:
Reviewing the 2020 GHG Inventory for Healdsburg supports environmental stewardship of our community and the environmental goals of our region. Discussion and understanding of the results can help inform future GHG reduction projects, such as developing the Climate Mobilization Strategy.
ALTERNATIVES:
Council may wish to provide feedback and discussion related to the 2020 GHG Inventory.
FISCAL IMPACT:
There is no fiscal impact related to the recommended action.
ENVIRONMENTAL ANALYSIS:
Pursuant to California Environmental Quality Act (“CEQA”) and Title 14, the California Code of Regulations Section 15378(b)(2), continued administrative actions do not qualify as a “Project”. Therefore, no further CEQA or environmental review is required.
ATTACHMENT(S):
Attachment A: RCPA Community GHG Inventory 2020
Attachment B: Healdsburg Electric Map
Attachment C: Power Content Label 2020
Attachment D: Power Content Label 2021
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Regional Climate Protection Authority 1 Greenhouse Gas Inventory – 2020 Update
SONOMA COUNTY
GREENHOUSE GAS
INVENTORY
2020 UPDATE
SEPTEMBER 6, 2022
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TABLE OF CONTENTS
Credits and Acknowledgements......................................................................................................3 Acronyms and Abbreviations ..........................................................................................................3 Executive Summary.......................................................................................................................4 KEY FINDINGS.........................................................................................................................................................5 2020 Sonoma County Emissions Profile ...........................................................................................7 BUILDING ENERGY .................................................................................................................................................9 TRANSPORTATION...............................................................................................................................................11 WATER AND WASTEWATER..................................................................................................................................14 SOLID WASTE .......................................................................................................................................................16 AGRICULTURE ......................................................................................................................................................18 Jurisdictional Emission Profiles .................................................................................................... 19 CLOVERDALE ........................................................................................................................................................20 COTATI..................................................................................................................................................................21 HEALDSBURG.......................................................................................................................................................22 PETALUMA............................................................................................................................................................23 ROHNERT PARK....................................................................................................................................................24 SANTA ROSA.........................................................................................................................................................25 SEBASTOPOL........................................................................................................................................................26 SONOMA...............................................................................................................................................................27 WINDSOR..............................................................................................................................................................28 UNINCORPORATED..............................................................................................................................................29 COUNTYWIDE .......................................................................................................................................................30 Conclusion ................................................................................................................................. 31 Appendices................................................................................................................................. 32 METHODOLOGY....................................................................................................................................................32 ACTIVITY DATA BY GHG SECTOR..........................................................................................................................34
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CREDITS AND ACKNOWLEDGEMENTS
Prepared by the Sonoma County Regional Climate Protection Authority (RCPA).
RCPA thanks its member and partner agencies for providing the data and information needed to develop this 2020 GHG Inventory Update.
ACRONYMS AND ABBREVIATIONS
• BayREN Bay Area Regional Energy Network
• CA2020 Climate Action 2020 and Beyond
• CARB California Air Resources Board
• CH4 methane
• CO2 carbon dioxide
• CO2e carbon dioxide equivalent
• EV electric vehicle
• GDP gross domestic product
• GHG greenhouse gas
• GRP Global Reporting Protocol
• ICLEI International Council for Local Environmental Initiatives • IPCC Intergovernmental Panel on Climate Change
• LGO Local Government Operations Protocol
• MMTCO2e million metric tons of carbon dioxide equivalent • MTCO2e metric tons of carbon dioxide equivalent
• N2O nitrous oxide
• PG&E Pacific Gas & Electric Company
• RCPA Regional Climate Protection Authority
• SCP Sonoma Clean Power
• SCTA Sonoma County Transportation Authority
• VMT vehicle miles traveled
• WRI World Resources Institute
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EXECUTIVE SUMMARY
Sonoma County is committed to measuring, tracking, and reporting our greenhouse gas (GHG) emissions to communicate progress and focus our actions. While our ambitious GHG reduction goals consider the critical role both regional and state entities play, our GHG inventory reflects the sectors and emissions sources that can be reduced through the actions of local governments and regional entities. The Sonoma County Regional Climate Protection Authority (RCPA) established a baseline communitywide GHG inventory for 2010 and a backcast inventory for 1990 as part of the Climate Action 2020 and Beyond1 (CA2020) development process.
Since that time, the inventory has been updated with data from 2015, 2018, and 2020.
RCPA completed this 2020 inventory update to help track progress towards achieving our short and long-term emissions reduction goals. With the adoption of the Sonoma Climate Mobilization Strategy in March 2021, RCPA set a new goal for Sonoma County to achieve carbon neutrality by 2030. This is even more ambitious than the previous goal of reaching 40 percent below 1990 levels by 2030 and will take significant effort.
Sonoma County emissions in 2020 were 3.04 million metric tons of CO2e (MTCO2e), over a 12 percent reduction from 2018 emissions of 3.48 MT CO2e (figure 1). Relative to 1990 emissions, 2020 emissions have decreased by almost 23 percent. Since the 2018 inventory update, the countywide population declined by over 2.5 percent, and gross domestic product (GDP) fell by 3.5 percent.2
The 2020 update shows that Sonoma County has made
solid progress toward countywide emissions reduction goals, but we are still far from the finish line. 1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Buildings 1,343,391 1,253,662 865,558 759,970 684,762
Transportation 1,770,119 2,133,441 1,987,569 2,104,480 1,759,184 Water 52,739 19,177 17,722 16,794 16,823
Solid Waste 383,300 193,225 218,855 207,240 189,735
Agriculture 394,451 267,573 358,331 390,316 390,782
Total 3,944,000 3,867,079 3,448,035 3,478,801 3,041,287 3,944,000 3,867,079
3,448,035 3,478,801
3,041,287
0 500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
4,500,000
MTCO2e
1990-2020 GHG Emission Trends by Year
Figure 1: 1990-2020 GHG Emission Trends by Year
1 Climate Action 2020 and Beyond Document Library, https://rcpa.ca.gov/library/#toggle-id-13 2 U.S Census Bureau American Community Survey, https://www.census.gov/programs-surveys/acs/. U.S. Bureau of Economic Analysis, https://www.bea.gov/data/gdp/gdp-county-metro-and-other-areas
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Packet Pg. 252 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 5 Greenhouse Gas Inventory – 2020 Update 1990-2020 GHG Emission Trends by Sector (MTC02e)
Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Buildings -49% 1,343,391 1,253,662 865,558 759,970 684,762 Transportation -1% 1,770,119 2,133,441 1,987,569 2,104,480 1,759,184 Water -68% 52,739 19,177 17,722 16,794 16,823
Solid Waste -50% 383,300 193,225 218,855 207,240 189,735 Agriculture -1% 394,451 267,573 358,331 390,316 390,782 Total -23% 3,944,000 3,867,079 3,448,035 3,478,801 3,041,287 Table 1: 1990-2020 GHG Emission Trends by Sector
KEY FINDINGS
Sonoma County greenhouse gas emissions have decreased 22.9 percent from 1990 (table 1). This is attributable to several key factors described throughout this report and in the findings below. While this total does not fully meet our Climate Action 2020 goal of reducing emissions by 25 percent, it shows incredible progress and long-term dedication to climate protection efforts across all our member jurisdictions, agency partners, and local community-based organizations. RCPA and its partners remain dedicated to working together to reduce our GHG emissions in the years ahead.
Emissions from energy used in buildings decreased 9.9 percent between 2018 and 2020, or 49 percent between 1990 and 2020, exceeding the short-term CA2020 goal of 27 percent by 2020. This reduction is primarily attributed to Sonoma Clean Power, created in 2014 to provide cleaner electricity to Sonoma County households and businesses. As our electricity supply has grown cleaner, emissions from natural gas have become a more significant percentage of total emissions. The next phase of our decarbonization plan is focused on phasing out natural gas for space heating, water heating, and cooking to continue reducing emissions in the building energy sector.
Transportation continues to be the largest source of emissions for the county. Nearly 60 percent of total countywide emissions were from transportation in 2020 (figure 2). Between 2018 and 2020, vehicle miles traveled by residents and employees within the county decreased by almost 17 percent, with a corresponding drop in greenhouse gas emissions of over 16 percent. This dramatic short-term reduction was mainly caused by the onset of the COVID-19 pandemic in March 2020 and the subsequent shelter-in-place orders that were enacted. As the pandemic has subsided and travel patterns have returned to more recognizable prepandemic levels, our next inventory will be critical in evaluating longer-term travel changes that have remained in place following COVID-19. We expect that emissions will continue to rise at a lower rate than vehicle miles traveled due to improvements in fuel efficiency and a shift from fossil fuel vehicles to hybrid and electric vehicles. The State of California’s recently announced requirement for 100 percent zero-emission vehicle sales by 2035 is a major step in this direction.
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Packet Pg. 253 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 6 Greenhouse Gas Inventory – 2020 Update Emissions from waste sent to landfills decreased 8.5 percent between 2018 and 2020, or 50 percent between 1990 and 2020. Local jurisdictional efforts to comply with new state waste reduction laws over the past few years have contributed to the decrease in emissions. AB 1826 (Chesbro, 2014) requires businesses that generate a specified amount of organic waste per week to arrange for recycling services for that waste and for jurisdictions to implement a recycling program to divert organic waste from businesses subject to the law. Additionally, SB 1383 (Lara, 2016) sets requirements for jurisdictions to coordinate efforts between city and county planners, waste haulers, waste processing facilities, recyclers, commercial businesses, residents, and edible food recovery organizations to reduce organic waste disposal by 75 percent by 2025 and to rescue at least 20 percent of currently disposed surplus food by 2025 for people to eat instead of being thrown away.
Between these two efforts, almost all businesses in the county producing over four cubic yards of waste per week have access to a blue and green bin for recycling and composting. Between the newly adopted requirements at the State level and better local access to waste-related resources, these efforts significantly reduce overall solid waste and waste-related emissions.
Buildings Transportation Water Solid Waste Agriculture
1990
Total 1,343,391 1,770,119 52,739 383,300 394,451
2010
Total 1,253,662 2,133,441 19,177 193,225 267,573
2015
Total 865,558 1,987,569 17,722 218,855 358,331
2018
Total 759,970 2,104,480 16,794 207,240 390,316
2020
Total 684,762 1,759,184 16,823 189,735 390,782
34%
45%
1%
10% 10%
23%
58%
1%
6%
13%
-
500,000
1,000,000
1,500,000
2,000,000
2,500,000
MTCO2e
1990-2020 GHG Emission Trends by Sector
Figure 2: 1990-2020 GHG Emission Trends by Sector
2020 GHG Emission Share by Sector (MTC02e)
Sector
2020
Total
1990
Percent
2010
Percent
2015
Percent
2018
Percent
2020
Percent
Buildings 684,762 34% 32% 25% 22% 23%
Transportation 1,759,184 45% 55% 58% 60% 58%
Water 16,823 1% 0% 1% 0% 1%
Solid Waste 189,735 10% 5% 6% 6% 6%
Agriculture 390,782 10% 7% 10% 11% 13%
Total 3,041,287 100% 100% 100% 100% 100%
Table 2: 2020 GHG Emission Share by Sector
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Packet Pg. 254 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 7 Greenhouse Gas Inventory – 2020 Update 2020 SONOMA COUNTY EMISSIONS PROFILE
The communitywide greenhouse gas (GHG) emissions inventories for Sonoma County capture the primary sources of emissions that can be reduced through the actions of local governments and regional entities:
energy use in our homes, businesses, vehicles, and off-road equipment; emissions from treating and delivering water; emissions from materials that are thrown away; and fertilizer and livestock operations. This approach is known as an “activity-based” inventory. It involves measuring or modeling the primary emissionsgenerating activities in Sonoma County and translating them into GHG emissions based on standardized or locally specific emissions factors.
3 The emissions not accounted for in RCPA’s activity-based GHG inventories include the consumption of goods and services imported into Sonoma County and air travel. Based on data from a 2015 study by the Cool Climate Network4
, Sonoma County’s total consumption-based emissions in 2015 were 7.2 million MT CO2e ― significantly higher than the approximately 3.04 million MT CO2e activity-based emissions reported for 2020.
There is some overlap in emissions accounted for in the two types of inventories. For example, the emissions from fossil fuels used to power our transportation and building sectors are included in both inventories. RCPA will share updated data on consumption-based emissions when available.
Local emissions-generating activities addressed in this report are summarized in the Appendix. The analysis of emissions includes carbon dioxide (CO2), methane (CH4), and nitrous oxide (N2O). Of these gases, CO2 emissions contribute the most to global warming internationally and locally. 5 All three gases are expressed as
metric tons of carbon dioxide equivalent (MTCO2e), based on the global warming potential of these gases relative to CO2.
2020 GHG Emission Totals by Jurisdiction (MTCO2e)
Jurisdiction 2020
Total
Building
Energy Transportation WaterRelated
Solid
Waste
Agricultural
Cloverdale 43,576 8,749 31,206 129 3,491 -
Cotati 41,449 9,193 29,233 80 2,943 -
Healdsburg 83,815 32,322 46,635 457 4,401 -
Petaluma 367,760 98,936 245,066 558 23,200 -
Rohnert Park 198,945 40,142 141,287 288 17,228 -
Santa Rosa 836,175 253,574 511,262 2,205 69,134 -
Sebastopol 53,452 13,861 36,624 49 2,919 -
Sonoma 75,085 20,790 49,934 193 4,168 -
Windsor 128,537 34,796 83,101 416 10,225 -
Unincorporated 820,612 172,399 583,739 12,449 52,025 -
Countywide 391,880 - 1,097 - - 390,782
Total 3,041,287 684,762 1,759,184 16,823 189,735 390,782 Table 3: 2020 GHG Emission Totals by Jurisdiction
3 U.S. Community Protocol for Accounting and Reporting of Greenhouse Gas Emissions, https://icleiusa.org/us-community-protocol/ 4 Cool Climate Network, https://coolclimate.berkeley.edu/index 5 U.S. EPA Greenhouse Gas Emissions, https://www.epa.gov/ghgemissions/overview-greenhouse-gases
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Packet Pg. 255 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 8 Greenhouse Gas Inventory – 2020 Update 43,576 41,449
83,815
367,760
198,945
836,175
53,452 75,085
128,537
820,612
391,880
3,041,287
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
800,000
900,000
1,000,000
MTCO2e
2020 Total GHG Emissions by Jurisdiction
Figure 3: 2020 Total GHG Emissions by Jurisdiction
1990-2020 GHG Emission Trends by Jurisdiction (MTC02e)
Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Cloverdale -24% 57,412 61,162 62,516 63,228 43,576
Cotati -20% 51,593 53,289 49,252 51,444 41,449
Healdsburg -11% 94,412 111,482 98,922 93,473 83,815
Petaluma -5% 387,816 458,442 480,866 476,289 367,760
Rohnert Park -32% 292,001 270,679 246,077 244,393 198,945 Santa Rosa -28% 1,160,607 1,105,040 955,798 893,809 836,175 Sebastopol -27% 73,350 78,684 65,561 66,243 53,452
Sonoma -23% 97,009 108,021 105,448 100,087 75,085
Windsor -4% 133,223 162,402 135,886 147,540 128,537
Unincorporated -32% 1,202,125 1,190,305 889,378 950,000 820,612 Countywide -1% 394,451 267,573 358,331 392,296 391,880
Total -23% 3,944,000 3,867,079 3,448,035 3,478,801 3,041,287 Table 4: 1990-2020 GHG Emission Trends by Jurisdiction
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Packet Pg. 256 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 9 Greenhouse Gas Inventory – 2020 Update
BUILDING ENERGY
Countywide emissions from energy used in buildings decreased 9.9 percent from 2018 to 2020. The total decrease from 1990 to 2020 of 49 percent exceeds the sector-specific emissions reduction target set in CA2020. This significant reduction in emissions results mainly from the 2014 inception of Sonoma Clean Power (SCP) – a community choice energy provider which offers Sonoma County communities the option of purchasing lower-carbon and zero-carbon electricity delivered through PG&E power lines. In 2020, Sonoma Clean Power provided approximately 78 percent of the total electricity used by Sonoma County residents, slightly decreasing from 81 percent in 2018. Electricity is also generated by PG&E (9 percent of total) and Healdsburg Electric (3 percent of total) -- an independent utility operated by the City of Healdsburg. For the remaining 10 percent of electricity categorized as Direct Access, PG&E provides the transmission and distribution services but not electricity generation.
One opportunity to further reduce emissions in this sector is to increase the percentage of Evergreen customers using 100 percent renewable electricity purchased from Sonoma Clean Power. Currently, 98 percent of the electricity purchased from Sonoma Clean Power is CleanStart, which contains a lower share of renewables at 48.7 percent compared to the 100 percent renewable mix available through Evergreen.
Another critical step is transitioning from natural gas appliances for space heating, water heating, and cooking to all electric appliances. Emissions from natural gas have become the predominant source of emissions in the building energy sector as our emissions from electricity have declined due to cleaner sources.
Additionally, the pipelines that deliver natural gas to our homes leak methane, a greenhouse gas 84 times more potent than CO2 over the first 10 years of release6 . Finally, cooking with natural gas can cause increased levels of indoor air pollution that have been shown to have numerous adverse health impacts. 7 The Sonoma Climate Mobilization includes two strategies designed to address these opportunities and achieve the necessary emission reductions in this sector:
• All-Electric Buildings Campaign – accelerate the electrification of existing buildings and electrify all new buildings
• Carbon-Free Electricity – accelerate the transition to 100 percent carbon-free electricity 6 Methane: The other important greenhouse gas, https://www.edf.org/climate/methane-crucial-opportunity-climate-fight 7 Gas Stoves: Health and Air Quality Impacts and Solutions, https://rmi.org/insight/gas-stoves-pollution-health
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Packet Pg. 257 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 10 Greenhouse Gas Inventory – 2020 Update 2020 Building Energy Emission Totals by Jurisdiction (MTCO2e) Jurisdiction 2020
Total Electricity Natural
Gas
Stationary
Sources
Minus Water
Conveyance
Cloverdale 8,749 1,582 7,095 86 (13)
Cotati 9,193 1,260 7,863 79 (8)
Healdsburg 32,322 15,337 17,220 124 (359)
Petaluma 98,936 14,773 83,645 590 (71)
Rohnert Park 40,142 7,786 31,981 435 (60)
Santa Rosa 253,574 39,754 212,227 1,722 (130)
Sebastopol 13,861 1,732 12,052 87 (11)
Sonoma 20,790 2,771 17,910 138 (29)
Windsor 34,796 4,822 29,797 237 (61)
Unincorporated 172,399 39,828 131,284 1,518 (231)
Countywide - - - - -
Total 684,762 129,645 551,074 5,016 (973)
Table 5: 2020 Building Energy Emission Totals by Jurisdiction 8,749 9,193
32,322
98,936
40,142
253,574
13,861 20,790
34,796
172,399
684,762
-
50,000
100,000
150,000
200,000
250,000
300,000
MTCO2e
2020 Building Energy Emissions by Jurisdiction
Figure 4: 2020 Building Energy Emissions by Jurisdiction
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Packet Pg. 258 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 11 Greenhouse Gas Inventory – 2020 Update 1990-2020 Building Energy Emission Trends by Jurisdiction (MTCO2e) Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Cloverdale -33% 1 2,994 18,112 12,020 9,248 8,749
Cotati -38% 1 4,765 16,527 10,746 10,039 9,193
Healdsburg 45% 2 2,231 33,862 32,654 31,429 32,322
Petaluma -27% 135,521 166,115 129,038 114,974 98,936
Rohnert Park -53% 85,603 86,353 58,998 41,766 40,142
Santa Rosa -51% 521,280 435,086 321,233 301,266 253,574 Sebastopol -37% 21,957 24,486 16,308 16,155 13,861
Sonoma -35% 31,871 37,506 26,394 23,407 20,790
Windsor 0% 34,827 55,859 31,125 37,679 34,796
Unincorporated -63% 462,343 379,756 227,042 174,007 172,399 Countywide 0% - - - - -
Total -49% 1,343,391 1,253,662 865,558 759,970 684,762
Table 6: 1990-2020 Building Energy Emission Trends by Jurisdiction
TRANSPORTATION
The transportation sector accounts for approximately 1.8 million MT CO2e, or 57.8 percent of 2020 emissions, and is the largest source of emissions for the County. This sector includes emissions from on-road driving, offroad driving and equipment, and Sonoma-Marin Area Rail Transit (SMART). Countywide emissions from the transportation sector decreased 16.4 percent from 2018 to 2020. Most emissions in this sector are from onroad driving (table 7).
SMART service started in August 2017, and its emissions were included for the first time in the 2018 inventory.
For 2020, Sonoma County’s share of SMART’s total estimated emissions was 1,097 MT CO2e or 0.1 percent of total countywide transportation emissions. Emissions decreased slightly from 2018 to 2020 due to the impact of the COVID-19 pandemic on transit ridership.
Table 7 shows each jurisdiction's total countywide emissions for on-road and off-road transportation.
Emissions decreased from 2018 to 2020 for all jurisdictions. This dramatic short-term reduction was mainly caused by the onset of the COVID-19 pandemic in March 2020 and the subsequent shelter-in-place orders that were enacted. As the pandemic has subsided and travel patterns have returned to more recognizable prepandemic levels, our next inventory will be critical in evaluating longer-term travel changes that have remained in place following COVID-19. We expect that emissions will continue to rise at a lower rate than vehicle miles traveled due to improvements in fuel efficiency and a shift from fossil fuel vehicles to hybrid and electric vehicles. The State of California’s recently announced requirement for 100 percent zero-emission vehicle sales by 2035 is a major step in this direction.
For on-road transportation, emissions are determined by multiplying an estimate of vehicle miles traveled (VMT) by an emissions factor. The emissions factor is obtained from a California Air Resources Board (CARB) emissions model, which uses Sonoma County vehicle registration data from the Department of Motor Vehicles to estimate the number of vehicles by type and fuel. Using this data, the emission factor from the CARB model reflects improvements in fuel efficiency and the shift from fossil fuel to hybrid and electric vehicles. The Appendix contains more information on the data sources used to calculate emissions.
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Packet Pg. 259 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 12 Greenhouse Gas Inventory – 2020 Update It is important to note that CARB has recently updated its Off-Road Emissions Factor database (EMFACOFFROAD) with more robust and comprehensive data. This new EMFAC data was used to recalculate off-road transportation emissions for 2010, 2015, and 2018. Our 1990 baseline remains the same as CARB did not release updated data for years before 2000. While this recalculation shows a complete picture of local emissions, it has also increased our off-road totals for past years.
The Shift Sonoma County Low Carbon Transportation Plan outlines two key strategies to reduce transportation emissions – fuel shift and mode shift. The fuel shift strategy aims to reduce petroleum use in transportation by 50 percent by 2030. This goal will be achieved through overall fleet fuel efficiency gains and by replacing internal combustion engine vehicles with electric vehicles (EVs). The Shift Plan sets a target of 100,000 EVs in Sonoma County by 2030. The Shift Plan also includes goals to transition to low-carbon forms of transportation, such as biking, walking, transit, and carpools. These 2040 goals are to reduce per capita vehicle miles traveled (VMT) by 10 percent, shift 4 percent of single occupant vehicle trips to biking or walking, increase transit ridership by 4 times, and reduce average household travel costs below 2010 levels. Currently,
44.3 percent of trips are single occupant vehicles, 47.1 percent are shared ride vehicles, 0.39 percent are transit, and 8.2 percent are walk/bike.
8 By the end of 2020, Sonoma County had 9,877 registered EVs, 2.5 percent of the total light-duty vehicle population of 397,692. Vehicle electrification is a significant component of meeting our greenhouse gas reduction goals for Sonoma County. EV sales will need to continue to accelerate if Sonoma County is to reach its goal of a 50 percent reduction in transportation emissions by 2030.
The Sonoma Climate Mobilization includes three strategies that build on the Shift Plan and are designed to achieve the necessary emission reductions in this sector:
• Drive Less Sonoma County Campaign – make it easier to get around Sonoma County without a car • EV Access for All Partnership – accelerate the transition to 100 percent electric vehicles for all transportation needs not otherwise met by biking or walking • Sonoma County Vehicle Miles Traveled Mitigation Bank – develop new funding sources for transportation projects that reduce VMT
8 SCTA Travel Model, https://scta.ca.gov/planning/forecasting-and-travel-data/
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Packet Pg. 260 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 13 Greenhouse Gas Inventory – 2020 Update 2020 Transportation Emission Totals by Jurisdiction (MTCO2e) Jurisdiction 2020
Total
On-Road
Transportation
Off-Road
Transportation
SMART
Rail
Cloverdale 31,206 29,200 2,006 -
Cotati 29,233 27,472 1,761 -
Healdsburg 46,635 43,763 2,872 -
Petaluma 245,066 231,319 13,747 -
Rohnert Park 141,287 131,135 10,152 -
Santa Rosa 511,262 471,162 40,099 -
Sebastopol 36,624 34,889 1,734 -
Sonoma 49,934 47,527 2,407 -
Windsor 83,101 76,851 6,250 -
Unincorporated 583,739 450,151 133,588 -
Countywide 1,097 - - 1,097
Total 1,759,184 1,543,470 214,617 1,097
Table 7: 2020 Transportation Emission Totals by Jurisdiction 31,206 29,233 46,635
245,066
141,287
511,262
36,624 49,934
83,101
583,739
1,097 1,759,184
-
100,000
200,000
300,000
400,000
500,000
600,000
700,000
MTCO2e
2020 Transportation Emissions by Jurisdiction
Figure 5: 2020 Transportation Emissions by Jurisdiction
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Packet Pg. 261 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 14 Greenhouse Gas Inventory – 2020 Update 1990-2020 Transportation Emission Trends by Jurisdiction (MTCO2e) Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Cloverdale -16% 3 7,123 39,683 47,491 50,805 31,206
Cotati -4% 3 0,544 34,011 35,612 37,582 29,233
Healdsburg -24% 6 1,744 68,916 54,258 53,770 46,635
Petaluma 5% 234,508 269,072 319,436 327,587 245,066
Rohnert Park -13% 162,122 171,776 174,156 186,442 141,287 Santa Rosa -2% 523,779 587,480 548,743 532,639 511,262
Sebastopol -15% 42,999 47,879 43,900 44,254 36,624
Sonoma -4% 51,976 59,491 64,265 64,786 49,934
Windsor 5% 79,106 95,019 92,263 95,194 83,101
Unincorporated 7% 546,218 760,114 607,445 709,441 583,739 Countywide 0% - - - 1,979 1,097
Total -1% 1,770,119 2,133,441 1,987,569 2,104,480 1,759,184 Table 8: 1990-2020 Transportation Emission Trends by Jurisdiction
WATER AND WASTEWATER
Countywide emissions from Water and Wastewater did not change significantly from 2018 to 2020, increasing slightly from 16,794 MT CO2e in 2018 to 16,823 MT CO2e in 2020 (table 10). Emissions result from wastewater treatment and water conveyance. Most emissions in this sector result from wastewater treatment, including various processes that release methane and nitrous oxide.
Sonoma Water manages most of the water conveyance within the county. Since 2015, Sonoma Water has had contracts to procure 100 percent of its electricity needs through renewable and carbon-free resources, thus achieving a carbon-neutral electricity supply to power Sonoma Water’s water conveyance and wastewater processing systems.9 This initiative has been the leading cause of the 68.1 percent reduction in water-related emissions between 1990 and 2020.
To further reduce these emissions, RCPA is also leading the development and implementation of BayREN’s Water Upgrades $ave program, an innovative new program that provides utility on-bill financing for water and energy-saving improvements in single-family and multifamily residences. The program currently operates in Sebastopol and Cloverdale and anticipates serving more Sonoma County jurisdictions soon. 9 Sonoma Water, https://www.sonomawater.org/climate
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Packet Pg. 262 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 15 Greenhouse Gas Inventory – 2020 Update 2020 Water-Related Totals by Jurisdiction (MTCO2e)
Jurisdiction 2020
Total
Water
Conveyance
Wastewater
Cloverdale 129 13 115
Cotati 80 8 72
Healdsburg 457 359 98
Petaluma 558 71 487
Rohnert Park 288 60 228
Santa Rosa 2,205 130 2,075
Sebastopol 49 11 38
Sonoma 193 29 164
Windsor 416 61 355
Unincorporated 12,449 231 12,218
Countywide - - -
Total 16,823 973 15,850
Table 9: 2020 Water-Related Emission Totals by Jurisdiction 129 80 457
558 288
2,205
49 193 416
12,449
16,823
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
MTCO2e
2020 Water-Related Emissions by Jurisdiction
Figure 6: 2020 Water-Related Emissions by Jurisdiction
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Packet Pg. 263 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 16 Greenhouse Gas Inventory – 2020 Update 1990-2020 Water-Related Emission Trends by Jurisdiction (MTCO2e) Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Cloverdale -83% 745 773 121 128 129
Cotati -88% 641 123 98 80 80
Healdsburg 154% 180 460 392 375 457
Petaluma -90% 5,831 994 618 590 558
Rohnert Park -92% 3,443 509 409 288 288
Santa Rosa -84% 13,487 3,291 2,441 2,174 2,205
Sebastopol -87% 388 76 78 52 49
Sonoma -94% 3,057 371 190 193 193
Windsor -81% 2,137 553 433 386 416
Unincorporated -45% 22,830 12,028 12,943 12,527 12,449
Countywide 0% - - - - -
Total -68% 52,739 19,177 17,722 16,794 16,823
Table 10: 1990-2020 Water-Related Emission Trends by Jurisdiction
SOLID WASTE
The 2020 estimated emissions from solid waste were 189,735 MT CO2e, an 8.5 percent decrease from 2018.
Local jurisdictional efforts to comply with new state waste reduction laws over the past few years have contributed to the decline in emissions. AB 1826 (Chesbro, 2014) requires businesses that generate a specified amount of organic waste per week to arrange for recycling services for that waste and for jurisdictions to implement a recycling program to divert organic waste from businesses subject to the law. Additionally, SB 1383 (Lara, 2016) sets requirements for jurisdictions to coordinate efforts between city and county planners, waste haulers, waste processing facilities, recyclers, commercial businesses, residents, and edible food recovery organizations to reduce organic waste disposal by 75 percent by 2025 and to rescue at least 20 percent of currently disposed surplus food by 2025 for people to eat instead of being throw away. Between these two efforts, almost all businesses in the county producing over four cubic yards of waste per week have access to a blue and green bin for recycling and composting. Between the newly adopted requirements at the State level and better local access to waste-related resources, these efforts significantly reduce overall solid waste and waste-related emissions.
The Sonoma Climate Mobilization includes one strategy designed to achieve the necessary emission reductions in this sector:
• Zero Waste by 2030 -- develop policies, programs, and education campaigns to eliminate waste sent to landfills
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Packet Pg. 264 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 17 Greenhouse Gas Inventory – 2020 Update 2020 Solid Waste Emission Totals by Jurisdiction (MTCO2e) Jurisdiction 2020
Total
Residential
Single Family
Residential
Multifamily Commercial Self Haul
Cloverdale 3,491 1,271 345 947 929
Cotati 2,943 1,072 290 798 783
Healdsburg 4,401 1,602 434 1,194 1,171
Petaluma 23,200 8,446 2,289 6,292 6,173
Rohnert Park 17,228 6,272 1,700 4,673 4,584
Santa Rosa 69,134 25,167 6,821 18,750 18,395
Sebastopol 2,919 1,063 288 792 777
Sonoma 4,168 1,517 411 1,130 1,109
Windsor 10,225 3,722 1,009 2,773 2,720
Unincorporated 52,025 18,939 5,133 14,110 13,843
Countywide - - - - -
Total 189,735 69,070 18,721 51,460 50,484
Table 11: 2020 Solid Waste Emission Totals by Jurisdiction 3,491 2,943 4,401
23,200
17,228
69,134
2,919 4,168
10,225
52,025
189,735
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
MTCO2e
2020 Solid Waste Emissions by Jurisdiction
Figure 7: 2020 Solid Waste Emissions by Jurisdiction
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Packet Pg. 265 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 18 Greenhouse Gas Inventory – 2020 Update 1990-2020 Solid Waste Emission Trends by Jurisdiction (MTCO2e) Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Cloverdale -47% 6,551 2,595 2,883 3,048 3,491
Cotati -48% 5,643 2,628 2,796 3,742 2,943
Healdsburg -57% 10,258 8,244 11,619 7,898 4,401
Petaluma 94% 11,955 22,262 31,773 33,137 23,200
Rohnert Park -58% 40,833 12,040 12,514 15,897 17,228
Santa Rosa -32% 102,061 79,183 83,381 57,730 69,134
Sebastopol -64% 8,006 6,242 5,275 5,782 2,919
Sonoma -59% 10,106 10,653 14,599 11,700 4,168
Windsor -40% 17,153 10,972 12,065 14,281 10,225
Unincorporated -70% 170,734 38,407 41,948 54,024 52,025 Countywide 0% - - - - -
Total -50% 383,300 193,225 218,855 207,240 189,735
Table 12: 1990-2020 Solid Waste Emission Trends by Jurisdiction
AGRICULTURE
Livestock and fertilizer emissions are the third largest source of emissions in Sonoma County. The primary emissions are generated by enteric (digestive) fermentation and manure management (figure 8). Emissions from this sector were 390,782 MT CO2e in 2020, a slight increase from 2018 emissions of 390,316 MT CO2e.
Emissions from this sector are included in the countywide inventory but not allocated to any specific jurisdiction.
While the Sonoma Climate Mobilization does not include any strategies specific to the agricultural sector, several strategies related to carbon sequestration and climate resilience will impact this sector. They will require working closely with the local agricultural industry to reduce emissions further:
• Protect Existing Carbon Stocks -- maintain the carbon that is currently held in soil and plants • Increase Carbon Stocks -- capture more carbon in soils and plants • Scale Up the Infrastructure for Sequestration -- build the physical, social, and economic capacity for successful carbon sequestration
2020 Agricultural Totals by Jurisdiction (MTCO2e)
Jurisdiction 2020
Total
Fertilizer
Application
Manure
Management
Countywide 390,782 3,869 386,913
Total 390,782 3,869 386,913
Table 13: 2020 Agricultural Emission Totals by Jurisdiction
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Packet Pg. 266 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 19 Greenhouse Gas Inventory – 2020 Update 3,869.19
386,913.22
-
50,000.00
100,000.00
150,000.00
200,000.00
250,000.00
300,000.00
350,000.00
400,000.00
450,000.00
Fertilizer Application Manure Management
MTCO2e
2020 Agriculture-Related Emissions by Sub-Sector
Figure 8: 2020 Agriculture-Related Emissions by Sub-Sector 1990-2020 Agricultural Emission Trends by Jurisdiction (MTCO2e) Jurisdiction 1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Countywide -1% 3 94,451 267,573 358,331 390,316 390,782 Total -1% 394,451 267,573 358,331 390,316 390,782
Table 14: 1990-2020 Agricultural Emission Trends by Jurisdiction
JURISDICTIONAL EMISSION PROFILES
Sonoma County continues to work towards the cleaner, more sustainable future envisioned in the Sonoma Climate Mobilization Strategy. RCPA and all Sonoma County jurisdictions adopted Climate Emergency Resolutions that recognize the urgency of taking action to address the climate crisis. Jurisdictions continue to work on existing climate action plans, update long-term policy goals, and pursue implementing GHG reduction measures outlined in the Sonoma Climate Mobilization Strategy. Each jurisdiction’s focus on climate action demonstrates the collective recognition of the need to address climate change at the local and regional levels.
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Packet Pg. 267 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 20 Greenhouse Gas Inventory – 2020 Update
CLOVERDALE
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 12,994 18,112 12,020 9,248 8,749
Transportation 37,123 39,683 47,491 50,805 31,206
Water-Related 745 773 121 128 129
Solid Waste 6,551 2,595 2,883 3,048 3,491
Total 57,412 61,162 62,516 63,228 43,576
57,412 61,162 62,516 63,228
43,576
0 10,000
20,000
30,000
40,000
50,000
60,000
70,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Cloverdale
Figure 9: 1990-2020 GHG Emission Trends by Year - Cloverdale 1990-2020 City of Cloverdale GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -33% 1 2,994 18,112 12,020 9,248 8,749
Transportation -16% 3 7,123 39,683 47,491 50,805 31,206 Water-Related -83% 745 773 121 128 129
Solid Waste -47% 6 ,551 2,595 2,883 3,048 3,491
Agricultural 0% - - - - -
Total -24% 5 7,412 61,162 62,516 63,228 43,576
Table 15: 1990-2020 GHG Emission Trends for Cloverdale
1990-2020 City of Cloverdale GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -63% 2.6 2.1 1.4 1.0 1.0
Transportation -54% 7.5 4.6 5.3 5.5 3.5
Water-Related -91% 0.2 0.1 0.0 0.0 0.0
Solid Waste -71% 1.3 0.3 0.3 0.3 0.4
Agricultural 0% - - - - -
Total -59% 11.7 7.1 7.0 6.9 4.8
Table 16: 1990-2020 GHG Emission Trends per Capita for Cloverdale
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Packet Pg. 268 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 21 Greenhouse Gas Inventory – 2020 Update COTATI
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 14,765 16,527 10,746 10,039 9,193
Transportation 30,544 34,011 35,612 37,582 29,233
Water-Related 641 123 98 80 80
Solid Waste 5,643 2,628 2,796 3,742 2,943
Total 51,593 53,289 49,252 51,444 41,449
51,593 53,289
49,252 51,444
41,449
0 10,000
20,000
30,000
40,000
50,000
60,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Cotati
Figure 10: 1990-2020 GHG Emission Trends by Year - Cotati 1990-2020 City of Cotati GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -38% 1 4,765 16,527 10,746 10,039 9,193 Transportation -4% 3 0,544 34,011 35,612 37,582 29,233
Water-Related -88% 641 123 98 80 80
Solid Waste -48% 5 ,643 2,628 2,796 3,742 2,943
Agricultural 0% - - - - -
Total -20% 5 1,593 53,289 49,252 51,444 41,449
Table 18: 1990-2020 GHG Emission Trends for Cotati
1990-2020 City of Cotati GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -53% 2.6 2.3 1.5 1.3 1.2
Transportation -28% 5.3 4.7 4.8 5.0 3.9
Water-Related -91% 0.1 0.0 0.0 0.0 0.0
Solid Waste -61% 1.0 0.4 0.4 0.5 0.4
Agricultural 0% - - - - -
Total -39% 9.0 7.3 6.7 6.9 5.5
Table 19: 1990-2020 GHG Emission Trends per Capita for Cotati
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Packet Pg. 269 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 22 Greenhouse Gas Inventory – 2020 Update
HEALDSBURG
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 22,231 33,862 32,654 31,429 32,322
Transportation 61,744 68,916 54,258 53,770 46,635
Water-Related 180 460 392 375 457
Solid Waste 10,258 8,244 11,619 7,898 4,401
Total 94,412 111,482 98,922 93,473 83,815
94,412 111,482
98,922 93,473 83,815
0 20,000
40,000
60,000
80,000
100,000
120,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Healdsburg
Figure 11: 1990-2020 GHG Emission Trends by Year - Healdsburg 1990-2020 City of Healdsburg GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 45% 2 2,231 33,862 32,654 31,429 32,322 Transportation -24% 6 1,744 68,916 54,258 53,770 46,635 Water-Related 154% 180 460 392 375 457
Solid Waste -57% 1 0,258 8,244 11,619 7,898 4,401
Agricultural 0% - - - - -
Total -11% 9 4,412 111,482 98,922 93,473 83,815
Table 21: 1990-2020 GHG Emission Trends for Healdsburg
1990-2020 City of Healdsburg GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 22% 2.3 3.0 2.8 2.6 2.9
Transportation -37% 6.5 6.1 4.6 4.5 4.1
Water-Related 113% 0.0 0.0 0.0 0.0 0.0
Solid Waste -64% 1.1 0.7 1.0 0.7 0.4
Agricultural 0% - - - - -
Total -26% 10.0 9.9 8.4 7.8 7.4
Table 22: 1990-2020 GHG Emission Trends per Capita for Healdsburg
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Packet Pg. 270 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 23 Greenhouse Gas Inventory – 2020 Update
PETALUMA
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 135,521 166,115 129,038 114,974 98,936
Transportation 234,508 269,072 319,436 327,587 245,066
Water-Related 5,831 994 618 590 558
Solid Waste 11,955 22,262 31,773 33,137 23,200
Total 387,816 458,442 480,866 476,289 367,760
387,816
458,442 480,866 476,289
367,760
0 100,000
200,000
300,000
400,000
500,000
600,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Petaluma
Figure 12: 1990-2020 GHG Emission Trends by Year - Petaluma 1990-2020 City of Petaluma GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -27% 1 35,521 166,115 129,038 114,974 98,936 Transportation 5% 2 34,508 269,072 319,436 327,587 245,066 Water-Related -90% 5 ,831 994 618 590 558
Solid Waste 94% 1 1,955 22,262 31,773 33,137 23,200
Agricultural 0% - - - - -
Total -5% 387,816 458,442 480,866 476,289 367,760
Table 24: 1990-2020 GHG Emission Trends for Petaluma
1990-2020 City of Petaluma GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -47% 3.1 2.9 2.1 1.8 1.7
Transportation -25% 5.4 4.6 5.3 5.2 4.1
Water-Related -93% 0.1 0.0 0.0 0.0 0.0
Solid Waste 40% 0.3 0.4 0.5 0.5 0.4
Agricultural 0% - - - - -
Total -32% 9.0 7.9 8.0 7.6 6.1
Table 25: 1990-2020 GHG Emission Trends per Capita for Petaluma
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ROHNERT PARK
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 85,603 86,353 58,998 41,766 40,142
Transportation 162,122 171,776 174,156 186,442 141,287
Water-Related 3,443 509 409 288 288
Solid Waste 40,833 12,040 12,514 15,897 17,228
Total 292,001 270,679 246,077 244,393 198,945
292,001
270,679
246,077 244,393
198,945
0 50,000
100,000
150,000
200,000
250,000
300,000
350,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Rohnert Park
Figure 13: 1990-2020 GHG Emission Trends by Year – Rohnert Park 1990-2020 City of Rohnert Park GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -53% 8 5,603 86,353 58,998 41,766 40,142 Transportation -13% 1 62,122 171,776 174,156 186,442 141,287 Water-Related -92% 3 ,443 509 409 288 288
Solid Waste -58% 4 0,833 12,040 12,514 15,897 17,228
Agricultural 0% - - - - -
Total -32% 2 92,001 270,679 246,077 244,393 198,945
Table 27: 1990-2020 GHG Emission Trends for Rohnert Park 1990-2020 City of Rohnert Park GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -61% 2.4 2.1 1.4 1.0 0.9
Transportation -28% 4.5 4.2 4.2 4.3 3.2
Water-Related -93% 0.1 0.0 0.0 0.0 0.0
Solid Waste -65% 1.1 0.3 0.3 0.4 0.4
Agricultural 0% - - - - -
Total -44% 8.0 6.6 5.9 5.7 4.5
Table 28: 1990-2020 GHG Emission Trends per Capita for Rohnert Park
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SANTA ROSA
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 521,280 435,086 321,233 301,266 253,574 Transportation 523,779 587,480 548,743 532,639 511,262
Water-Related 13,487 3,291 2,441 2,174 2,205
Solid Waste 102,061 79,183 83,381 57,730 69,134
Total 1,160,607 1,105,040 955,798 893,809 836,175
1,160,607 1,105,040
955,798 893,809 836,175
0 200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Santa Rosa
Figure 14: 1990-2020 GHG Emission Trends by Year – Santa Rosa 1990-2020 City of Santa Rosa GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -51% 5 21,280 435,086 321,233 301,266 253,574 Transportation -2% 5 23,779 587,480 548,743 532,639 511,262 Water-Related -84% 1 3,487 3,291 2,441 2,174 2,205
Solid Waste -32% 1 02,061 79,183 83,381 57,730 69,134
Agricultural 0% - - - - -
Total -28% 1 ,160,607 1,105,040 955,798 893,809 836,175 Table 30: 1990-2020 GHG Emission Trends for Santa Rosa
1990-2020 City of Santa Rosa GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -69% 4.6 2.6 1.8 1.7 1.4
Transportation -38% 4.6 3.5 3.1 3.0 2.9
Water-Related -90% 0.1 0.0 0.0 0.0 0.0
Solid Waste -57% 0.9 0.5 0.5 0.3 0.4
Agricultural 0% - - - - -
Total -54% 10.2 6.6 5.5 5.0 4.7
Table 31: 1990-2020 GHG Emission Trends per Capita for Santa Rosa
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SEBASTOPOL
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 21,957 24,486 16,308 16,155 13,861
Transportation 42,999 47,879 43,900 44,254 36,624
Water-Related 388 76 78 52 49
Solid Waste 8,006 6,242 5,275 5,782 2,919
Total 73,350 78,684 65,561 66,243 53,452
73,350 78,684
65,561 66,243
53,452
0 10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
90,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Sebastopol
Figure 15: 1990-2020 GHG Emission Trends by Year - Sebastopol 1990-2020 City of Sebastopol GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -37% 2 1,957 24,486 16,308 16,155 13,861 Transportation -15% 4 2,999 47,879 43,900 44,254 36,624 Water-Related -87% 388 76 78 52 49
Solid Waste -64% 8 ,006 6,242 5,275 5,782 2,919
Agricultural 0% - - - - -
Total -27% 7 3,350 78,684 65,561 66,243 53,452
Table 33: 1990-2020 GHG Emission Trends for Sebastopol
1990-2020 City of Sebastopol GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -41% 3.1 3.3 2.1 2.1 1.8
Transportation -21% 6.1 6.5 5.8 5.7 4.9
Water-Related -88% 0.1 0.0 0.0 0.0 0.0
Solid Waste -66% 1.1 0.8 0.7 0.7 0.4
Agricultural 0% - - - - -
Total -32% 10.5 10.7 8.6 8.5 7.1
Table 34: 1990-2020 GHG Emission Trends per Capita for Sebastopol
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Packet Pg. 274 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 27 Greenhouse Gas Inventory – 2020 Update SONOMA
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 31,871 37,506 26,394 23,407 20,790
Transportation 51,976 59,491 64,265 64,786 49,934
Water-Related 3,057 371 190 193 193
Solid Waste 10,106 10,653 14,599 11,700 4,168
Total 97,009 108,021 105,448 100,087 75,085
97,009 108,021 105,448 100,087
75,085
0 20,000
40,000
60,000
80,000
100,000
120,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Sonoma
Figure 16: 1990-2020 GHG Emission Trends by Year - Sonoma 1990-2020 City of Sonoma GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -35% 3 1,871 37,506 26,394 23,407 20,790 Transportation -4% 5 1,976 59,491 64,265 64,786 49,934
Water-Related -94% 3 ,057 371 190 193 193
Solid Waste -59% 1 0,106 10,653 14,599 11,700 4,168
Agricultural 0% - - - - -
Total -23% 9 7,009 108,021 105,448 100,087 75,085
Table 36: 1990-2020 GHG Emission Trends for Sonoma
1990-2020 City of Sonoma GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -51% 3.9 3.5 2.4 2.1 1.9
Transportation -27% 6.4 5.6 5.9 5.8 4.6
Water-Related -95% 0.4 0.0 0.0 0.0 0.0
Solid Waste -69% 1.2 1.0 1.3 1.1 0.4
Agricultural 0% - - - - -
Total -41% 11.9 10.1 9.6 9.0 7.0
Table 37: 1990-2020 GHG Emission Trends per Capita for Sonoma
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Packet Pg. 275 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 28 Greenhouse Gas Inventory – 2020 Update
WINDSOR
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 34,827 55,859 31,125 37,679 34,796
Transportation 79,106 95,019 92,263 95,194 83,101
Water-Related 2,137 553 433 386 416
Solid Waste 17,153 10,972 12,065 14,281 10,225
Total 133,223 162,402 135,886 147,540 128,537
133,223
162,402
135,886
147,540
128,537
0 20,000
40,000
60,000
80,000
100,000
120,000
140,000
160,000
180,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Windsor
Figure 17: 1990-2020 GHG Emission Trends by Year - Windsor 1990-2020 Town of Windsor GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 0% 3 4,827 55,859 31,125 37,679 34,796
Transportation 5% 7 9,106 95,019 92,263 95,194 83,101
Water-Related -81% 2 ,137 553 433 386 416
Solid Waste -40% 1 7,153 10,972 12,065 14,281 10,225
Agricultural 0% - - - - -
Total -4% 133,223 162,402 135,886 147,540 128,537
Table 39: 1990-2020 GHG Emission Trends for Windsor
1990-2020 Town of Windsor GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -49% 2.6 2.1 1.1 1.3 1.3
Transportation -46% 5.9 3.5 3.3 3.3 3.2
Water-Related -90% 0.2 0.0 0.0 0.0 0.0
Solid Waste -70% 1.3 0.4 0.4 0.5 0.4
Agricultural 0% - - - - -
Total -51% 10.0 6.1 4.9 5.2 4.9
Table 40: 1990-2020 GHG Emission Trends per Capita for Windsor
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UNINCORPORATED
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 462,343 379,756 227,042 174,007 172,399 Transportation 546,218 760,114 607,445 709,441 583,739
Water-Related 22,830 12,028 12,943 12,527 12,449
Solid Waste 170,734 38,407 41,948 54,024 52,025
Total 1,202,125 1,190,305 889,378 950,000 820,612
1,202,125 1,190,305
889,378 950,000
820,612
0 200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Unincorporated
Figure 18: 1990-2020 GHG Emission Trends by Year – Unincorporated County 1990-2020 Unincorporated County GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -63% 4 62,343 379,756 227,042 174,007 172,399 Transportation 7% 5 46,218 760,114 607,445 709,441 583,739 Water-Related -45% 2 2,830 12,028 12,943 12,527 12,449
Solid Waste -70% 1 70,734 38,407 41,948 54,024 52,025
Agricultural 0% - - - - -
Total -32% 1 ,202,125 1,190,305 889,378 950,000 820,612 Table 42: 1990-2020 GHG Emission Trends for Unincorporated County 1990-2020 Unincorporated County GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy -59% 3.1 2.6 1.5 1.2 1.3
Transportation 17% 3.7 5.2 4.1 5.0 4.3
Water-Related -41% 0.2 0.1 0.1 0.1 0.1
Solid Waste -67% 1.2 0.3 0.3 0.4 0.4
Agricultural 0% - - - - -
Total -26% 8.2 8.2 6.0 6.7 6.1
Table 43: 1990-2020 GHG Emission Trends per Capita for Unincorporated County
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COUNTYWIDE
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Transportation - - - 1,979 1,097
Agricultural 394,451 267,573 358,331 390,316 390,782
Total 394,451 267,573 358,331 392,296 391,880
394,451
267,573
358,331
392,296 391,880
0 50,000
100,000
150,000
200,000
250,000
300,000
350,000
400,000
450,000
MTCO2e
1990-2020 GHG Emission Trends by Year - Countywide
Figure 19: 1990-2020 GHG Emission Trends by Year – Countywide (not attributed to jurisdictions) 1990-2020 Countywide GHG Emission Trends by Sector (MTCO2e) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 0% - - - - -
Transportation 0% - - - 1,979 1,097
Water-Related 0% - - - - -
Solid Waste 0% - - - - -
Agricultural -1% 3 94,451 267,573 358,331 390,316 390,782 Total -1% 394,451 267,573 358,331 392,296 391,880
Table 45: 1990-2020 GHG Emission Trends not attributed to any single jurisdiction 1990-2020 Countywide GHG Emission Trends per Capita (MTCO2e/person) Sector
1990-2020
Change
1990
Total
2010
Total
2015
Total
2018
Total
2020
Total
Building Energy 0% - - - - -
Transportation 0% - - - 0.0 0.0
Water-Related 0% - - - - -
Solid Waste 0% - - - - -
Agricultural -21% 1.0 0.6 0.7 0.8 0.8
Total -21% 1.0 0.6 0.7 0.8 0.8
Table 46: 1990-2020 GHG Emission Trends per Capita not attributed to any single jurisdiction
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CONCLUSION
The results of the 2020 inventory update show that Sonoma County reduced emissions 22.9 percent below 1990 levels, almost achieving the 2020 GHG reduction goal of 25 percent below 1990 levels established in CA 2020. However, more ambitious actions are needed to meet RCPA’s reduction goal of carbon neutrality by 2030. Sonoma County’s goal aligns with the scientific imperative to significantly reduce emissions in this decade to avoid reaching a tipping point beyond which the effects of climate change become increasingly uncontrollable. A review of past RCPA actions shows how much progress we have made but also indicates how far we must go toward carbon neutrality.
As outlined in the original Climate Action 2020 effort, Sonoma County’s regional approach to reducing GHG emissions recognizes the challenge’s shared nature and that Sonoma County communities each have a different capacity to achieve emission reductions. Additionally, statewide policies and programs to reduce GHG emissions related to building energy and transportation play a critical role.
This 2020 inventory report is an essential milestone in our work to reduce countywide emissions. RCPA will use the results from the 2020 GHG Inventory Update to inform the implementation of the Sonoma Climate Mobilization Strategy and work with its member and partner agencies to develop new climate policies and programs to achieve reductions at the speed and scale needed to respond to the climate crisis.
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APPENDICES
METHODOLOGY
This 2020 greenhouse gas (GHG) inventory update follows the US Community Protocol for Accounting and Reporting of Greenhouse Gas Emissions, which provides detailed methodologies tailored for local government jurisdictions and agencies working to track emissions in the United States. The U.S. Community Protocol was created by the International Council for Local Environmental Initiatives (ICLEI), an organization of local, regional, and national governments that have committed to reducing greenhouse gas emissions. This protocol is geared toward completing a GHG emissions inventory at the community scale in the United States and includes emissions from businesses, residents, and transportation. Over 600 local governments in the U.S. are ICLEI members utilizing the U.S. Community Protocol to inventory greenhouse gases.10 This activity-based inventory captures the primary sources of emissions within a jurisdictional boundary that can be reduced through the actions of local governments and regional entities. In contrast, a consumptionbased inventory also accounts for emissions outside a jurisdictional boundary due to activities occurring within that jurisdictional boundary. In partnership with the World Resources Institute (WRI) and C40 Cities Climate Leadership Group (C40), ICLEI has also developed the Global Reporting Protocol (GRP), which is the global counterpart to the US Community Protocol and utilizes a consumption-based approach. Cities that have signed onto voluntary global networks and initiatives focused on reporting and tracking greenhouse gas reductions and comparing across countries, such as the Global Covenant of Mayors, are encouraged to use the GRP.11
ICLEI has developed four protocols for different emissions areas and needs. In addition to the U.S. Community Protocol and the GRP, the Local Government Operations Protocol (LGO Protocol) provides details guidance on accounting for emissions from municipal buildings, facilities, and vehicles, and the Recycling and Composting Emissions Protocol guides accounting for the benefits of recycling and composting community-generated waste.
Consistent with RCPA’s 2010, 2015, and 2018 GHG inventories, this GHG inventory does not include all human activities in Sonoma County that drive an increase or decrease in atmospheric GHG emissions. Rather than trying to account for every source of emissions, this approach focuses on monitoring progress on the most significant emissions sources that local government actions can most directly influence. The emissions categories that were excluded from this inventory update include:
• Carbon sinks through biological carbon sequestration
• Consumption of goods and services imported into Sonoma County • Industrial and commercial stationary sources
• Air travel
10 U.S. Community Protocol for Accounting and Reporting of Greenhouse Gas Emissions, https://icleiusa.org/us-community-protocol/ 11 ICLEI Global Reporting Protocol, https://icleiusa.org/ghg-protocols/
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Packet Pg. 280 Attachment: Attachment A: RCPA Community GHG Inventory 2020 (3791 : 2020 GHG Inventory Summary) Regional Climate Protection Authority 33 Greenhouse Gas Inventory – 2020 Update This 2020 inventory update uses a variety of activity data sources from local jurisdictions and state and federal sources (table 47). The inventory uses the 100-year global warming potential (GWP) values from the IPCC Fifth Assessment Report12, consistent with current international and national GHG inventory practices.
In preparation for the 2020 inventory update, RCPA reviewed prior inventories and researched new methodologies to incorporate into the 2020 inventory. Where necessary to correct errors or incorporate new methodologies, RCPA recalculated emission estimates for all inventory years to maintain a consistent time series. This practice is consistent with IPCC and California Air Resources Board (CARB) inventory guidelines.
As a result of RCPA’s review, changes in estimates were made to the following sectors:
• Transportation: Updated emission factors using the latest EMFAC model, EMFAC2021. Prior inventories used earlier versions of EMFAC: EMFAC2011 and EMFAC2017. Changes were also made to the off-road inventories for 2010, 2015, and 2018 to incorporate updated emission totals from EMFAC2021 with revised off-road models. Corrected rounding errors in the calculation for SMART Rail emissions.
Methodologies for calculating GHG inventories are continually evolving and changing. The RCPA will continue to monitor and incorporate local government best practices for inventorying emissions to meet our ambitious GHG reduction goals.
12 IPCC Fifth Assessment Report, https://www.ipcc.ch/assessment-report/ar5/
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ACTIVITY DATA BY GHG SECTOR
Sector Primary Emissions Source Key Activity Data Data Sources Building Energy Production of electricity (emissions
generated at power plants)
Combustion of natural gas
Total electricity use
(megawatt hours)
Total natural gas use
(therms)
Electricity providers:
PG&E, Healdsburg
Electric, Sonoma Clean
Power
Natural gas provider:
PG&E
On-Road
Transportation
Combustion of gasoline and diesel
fuel in vehicles
Vehicle miles traveled
Fuel type and fuel economy
of countywide vehicle fleet
Travel patterns
Sonoma County
Transportation Authority
California Air Resources
Board (CARB) EMFAC2021
Emissions Inventory
Off-Road
Transportation
and Equipment
Combustion of fossil fuels in
equipment (e.g., cranes,
bulldozers, lawn mowers)
Combustion of fossil fuels in offroad vehicles (e.g., tractors, boats, ATVs)
Fuel consumption in offroad vehicles and
equipment Socioeconomic
data
California Air Resources
Board (CARB) EMFAC2021
Emissions Inventory
Solid Waste Methane emissions from
decomposition of material sent to
landfills
Tons of residential and
commercial waste sent to
landfills
Profile of waste material in
each jurisdiction (e.g., 19
percent office paper, 36
percent food waste)
Zero Waste Sonoma
CalRecycle
Wastewater
Treatment
Emissions of methane and nitrous
oxide that occur during
wastewater treatment
Population served by each
wastewater treatment plant
(WWTP)
Method of wastewater
treatment at each WWTP
Amount of digester gas
produced at each WWTP
Sonoma Water
Sanitation districts and
jurisdictions that operate
a WWTP
Water
Conveyance
Production of electricity associated
with the pumping and movement
of water from source to user
Water consumption
Water supply sources (e.g.
groundwater, recycled
water)
Urban Water
Management Plans and
water consumption data
for each jurisdiction
Sonoma Water
Livestock and
Fertilizer
Emissions of nitrous oxide from the
application of fertilizer
Emissions of methane and nitrous
oxide from livestock and manure
management
Acres and types of crops
grown in the county
Livestock populations
Sonoma County 2020
Annual Crop Report
U.S. Dept. of Ag National
Agricultural Statistics
Service
Table 47: 2020 Sonoma County Greenhouse Gas Emissions Inventory Data Sources
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Attachment: Attachment C: Power Content Label 2020 (3791 : 2020 GHG Inventory Summary)
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Attachment: Attachment D: Power Content Label 2021 (3791 : 2020 GHG Inventory Summary)
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: Kickoff for Climate Mobilization Strategy Development PREPARED BY: Andrew Sturmfels, Assistant City Manager
STRATEGIC INITIATIVE(S):
Pursue Initiatives that Promote Environmental Stewardship Provide Effective Governance
RECOMMENDED ACTION(S):
Receive a presentation on the project plan for developing a Climate Mobilization Strategy and provide feedback to staff.
COMMUNITY ENGAGEMENT/OUTREACH:
At the August 2nd, 2021, City Council Meeting, the City received a presentation from the Regional Climate Protection Authority (RCPA) on their ongoing efforts to support. During the City Council Strategic Goal Setting Meeting on March 7th, 2022, Council adopted as a goal the development of a Climate Mobilization Strategy. The City of Healdsburg has engaged residents who have expressed an interest in participating in City efforts to address climate change and climate adaptation. As part of planning for the strategy development, staff conducted early outreach activities with several individuals who are part of a variety of stakeholder groups, including Healdsburg 2040, Healdsburg Climate Action, the Healdsburg Chamber of Commerce, Corazón, and more. The Discussion/Analysis section of this report provides a roadmap for community engagement during the development of the Climate Mobilization Strategy.
BACKGROUND:
Human activities have warmed the Earth to a point that threatens climate stability, setting in motion significant threats to the Earth’s ecosystems, including droughts, floods, extreme weather events, increased heat, wildfires, species extinction, and accelerating ice mass loss that will result in sea-level rise. Restoring a safe and stable climate requires immediate and sustained action. In 2022 Assembly Bill 1279 (Muratsuchi) codified the State’s goal of achieving net-zero greenhouse gas emissions by 2045 and maintaining negative greenhouse gas emissions thereafter.
In February 2019 a Climate Emergency Mobilization Task Force was launched as a Bay Area
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Regional Partnership to mobilize the Bay Area to confront the climate crisis. In September 2019, the Sonoma County Regional Climate Protection Authority (RCPA) Board adopted a Climate Emergency Resolution, outlining the agency’s commitment to leading countywide efforts to mitigate and adapt to climate change in the decade ahead. In October 2019, the Healdsburg City Council adopted a Resolution declaring a climate emergency.
In July 2016, RCPA released a Climate Action Plan for 2020 and beyond for Sonoma County.
That plan included goals to achieve countywide GHG reductions at the following levels:
• 25% below 1990 levels by 2020
• 40% below 1990 levels by 2030
• 80% below 1990 levels by 2050
In March 2021, RCPA released a Climate Mobilization Strategy. This strategy calls for a more aggressive goal than the State of achieving carbon neutrality by 2030. For purposes of RCPA’s plan, carbon neutrality is defined as achieving GHG reductions at levels 80% below 1990 levels and achieving the ability to sequester the remaining 20% of GHG emissions. Several other communities in the region, including Santa Rosa, Sebastopol, and Windsor, have adopted Climate Mobilization Strategies, or comparable documents, that target actions each community can take to reduce GHG emissions. During the City Council Strategic Goal Setting Meeting on March 7th, 2022, Council adopted a goal to develop a Climate Mobilization Strategy and directed staff to include funding in the 2022-23 budget.
In September 2022, RCPA released its updated 2020 GHG Inventory for the County. The County achieved a 23% overall emission reduction from the 1990 baseline. While a significant accomplishment, it is important to note that the period of measurement was during the COVID19 pandemic, resulting in a significant reduction in vehicle miles traveled (VMTs) that will need to be monitored in the next inventory to determine if emissions begin to rebound. During the time period of 1990-2020, the City of Healdsburg achieved an 11% GHG reduction overall, and a 26% GHG reduction per capita (See Figure 1).
Figure 1. 1990-2020 GHG Emission Trends by Year - Healdsburg
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Source: RCPA, 2022 GHG Inventory
DISCUSSION/ANALYSIS:
The purpose of this agenda item is to kickoff the development of a Climate Mobilization Strategy (CMS) for the City of Healdsburg and receive feedback from the City Council and the community on staff’s proposed approach. The strategy will provide a framework of projects to pursue for the City to achieve GHG reductions, in support of RCPA’s goal for carbon neutrality by 2030. Proposed actions will target areas of opportunity based on the 2020 GHG Emission Inventory for Healdsburg.
Project Scope:
The following objectives are included in the project scope:
1. Draft a Climate Mobilization Strategy that identifies high priority proposed actions to reduce GHG emissions in the City of Healdsburg, supporting RCPA’s regional target of a zero net carbon outcome by 2030.
2. Conduct Community Outreach to obtain ideas on potential GHG emission reduction activities, engage the public on plan development and activity prioritization, and obtain feedback on the draft plan.
3. To the extent feasible and reasonable, complete a cost benefit analysis of high priority activities to ensure the strategy maximizes benefits based on available funding and resources.
The following objectives are not included in the project scope:
1. Completing a full Climate Action Plan – Measuring the GHG reduction value of every task.
2. Full and final approval of specific actions or changes to existing policies and practices..
3. Identifying all resources to complete strategies included in the plan.
4. Developing a detailed project implementation plan for individual actions.
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5. Reaching zero net carbon outcome solely through City discretionary actions.
Project Team:
The Project team will be led by the Assistant City Manager. The Utility Conservation Analyst will serve as the Project Coordinator. Representatives from Community Services, Community Development, Public Works, and the Utilities Department are all included on the project team.
Staff additionally tried to secure a Civic Spark fellow through the AmeriCorps Program to help support this project but were ultimately unsuccessful.
To support the project and provide technical expertise, staff are in the process of soliciting informal bid proposals form several professional organizations that specialize in the development of locally driven climate strategies. Staff will bring to Council a professional services agreement at the next council meeting to provide the needed support for this project. The scope of work will include support with the development of the Climate Mobilization Strategy document, supporting the City with community outreach and feedback, providing technical assistance on actions, and activity measurement.
Project Timeline:
Staff have already begun preliminary work on this project. The below list of milestones and dates will guide the work of the project team. Attachment A includes the draft Inventory of Existing and Planned GHG reduction strategies. This list includes projects completed in recent years, as well as projects that are being actively planned or pursued.
Milestone Target Completion Date
Develop Project Charter, Governance, Stakeholder Analysis, and Project Plan 9/26/2022 Inventory Existing and Planned GHG Reduction Strategies 11/4/2022 Complete initial stakeholder outreach to obtain GHG reduction ideas 12/31/2022 Analyze strategies based on identified criteria 2/17/2023 Obtain Public Input on potential strategies and prioritization 3/15/2023 Complete Draft CMS 3/24/2023
Obtain Community Feedback on Draft CMS 5/5/2023
Council Adoption of Final CMS 6/2/2023
Community Engagement Approach:
Staff have identified key stakeholders within the community and completed a stakeholder analysis to help inform outreach activities. The current outreach plan is as follows:
1. Public Kickoff Workshop and Ideation Phase – November-December 2022
2. Public Input on Draft Strategies and Prioritization – February/March 2023
3. Public Input on Draft Plan – May 2023
In addition to public workshops, City staff will be conducting targeted outreach with specific stakeholder groups throughout the process. The City also plans to incorporate a variety of
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engagement and feedback tools to gather ideas, input, and priorities from stakeholder groups and community members.
Evaluation, Implementation and Follow Up
To evaluate planned actions, City staff will work with the consultant to qualitatively analyze the possible actions based on a variety of criteria, including:
1. GHG reduction potential
2. Cost and cost-effectiveness
3. Equity impacts
4. Co-benefits
5. Time to implement
Using a standard rubric, actions will be evaluated on the above criteria. Actions scoring the highest will undergo further evaluation. Once an initial analysis is completed, an additional round of public input will take place to obtain community feedback and prioritization of the top strategies. Upon receiving and analyzing the additional public input, staff will complete the draft Climate Mobilization Strategy Document.
The Adoption of the Climate Mobilization Strategy will result in a list of planned and potential actions that both the City and Community can take to reduce GHG emissions in the City of Healdsburg. Post-adoption, the City Council will set priorities for implementation through the development of the annual strategic plan and the budget development process. As funding and partnerships for identified actions emerge, staff will additionally bring forward proposals to begin working on the actions.
To ensure progress is made, staff will report back annually to Council on the status of actions in the plan, updates to the City of Healdsburg GHG inventory as available from RCPA, and to propose the addition of new opportunities to ensure the Climate Mobilization Strategy becomes a living document that is actively managed.
ENVIRONMENTAL STEWARDSHIP:
Developing a Climate Mobilization Strategy for the City will support environmental stewardship of our community and the environmental goals of our region.
ALTERNATIVES:
Council may wish to provide feedback on the Climate Mobilization Strategy goals, scope, project team, project timeline, community engagement approach, and implementation and follow up plan.
FISCAL IMPACT:
City staff initially budgeted $39,000 in FY 2022-23 and 2023-24 for the addition of a Civic Spark Fellow who would support the Climate Mobilization Strategy development. Staff anticipate the professional services agreement to support the development of the plan to cost roughly $100,000. When staff brings the professional services agreement to Council, staff will also recommend budget action to support this work.
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ENVIRONMENTAL ANALYSIS:
Pursuant to Section 15378(b)(5) of the California Environmental Quality Act (“CEQA”) Guidelines, the recommended action is an administrative activity of the City and will not result in direct or indirect physical changes in the environment and is therefore not a project for purposes of CEQA.
ATTACHMENT(S):
Attachment A: Existing and Planned Projects Inventory
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Department Existing/Planned Project Title
Project Start Date
(estimated)
Project End Date
(estimated)
Relative Cost
(estimated)
GHG Impact
(estimated)
Administrative Services Completed EV Purchase Policy for light and medium duty vehicles 2021 Ongoing Low Medium Administrative Services Planned Business License Modernization 2022 2023 Low Low Administrative Services Completed
All‐electric and efficiency upgrades to City Hall/Utilities Administration/Community Development Center building 2016 2018 Low Low Citywide Existing Countywide GHG Inventory 2010 Ongoing Not applicable Supportive Citywide Completed Climate emergency ordinance 2019 2019 Not applicable SupportiveCommunity Services Existing Electric lawn equipment purchases 2022 2023 Low Low Community Services Existing Healdsburg Ridge Open Space Preserve (150 acres) 2008 Ongoing Medium High Community Services Existing Fitch Mountain Park and Open Space Preserve (170 acres) 2017 Ongoing Medium High Planning and Building Existing Expedited solar and EV charger permits 2017 Ongoing Low Supportive Planning and Building Planned Implementation of SB379, Online Residential Solar Permitting 2023 2024 Low Supportive Planning and Building Existing Electrification reach code for new construction 2019 2025 (ongoing every 3 years) Low Medium Planning and Building Planned
Various Land Use Code Amendments regarding tree planting and protection 2023 Ongoing Low Low
Planning and Building Existing
Sustainability practices encouraged within the Citywide Design Guidelines 2018 Ongoing Low Supportive
Planning and Building Planned
Building Permit plan submittal modernization (implementation of BlueBeam electronic plan submittal and review) 2023 Ongoing Low Low Planning and Building Existing Water efficient landscape ordinance adopted and enforced 2009 Ongoing Low Low Public Works Existing Compost bucket giveaway of 800+ bins 2022 2022 Low Supportive Public Works Existing Free curbside compost pickup requirement in Recology agreement 2022 Ongoing Not applicable High Public Works Existing Support Zero Waste Specialist position at Recology 2021 Ongoing Not applicable Supportive Public Works Planned E‐bike share pilot 2022 2025 Medium Low Public Works Existing Sonoma County Transit electric bus 2021 Ongoing Not applicable Medium Public Works Planned
Healdsburg Avenue Complete Streets improvements for safe activetransportation 2022 2026 (depending on grant funds
secured) High Medium
Public Works Planned
Grove Street improvements for safe active transportation and ADA compliance 2023
2025 (depending on grant funds
secured) High Low
Public Works Planned Foss Creek & Font Street connections for safe active transportation 2022 2023 Medium Low Utilities Existing E‐bike rebates (including increased rebates for low‐income customers) 2020 Ongoing Low Low Utilities Completed HUSD electric bus charging stations 2020 2021 Medium Low Utilities Existing
EV bill discounts (including increased rebates for low‐income customers) 2013 2025 Medium Medium
Utilities Existing Discounted public EV charging stations at City Hall and Senior Center 2013 Ongoing Medium Medium Utilities Existing
Rooftop solar incentives (NEM rates, high‐compensation, previous rebates, etc.) 2002 Ongoing Medium High
Utilities Existing Energy efficiency rebates (residential and commercial) 2006 Ongoing Medium MediumUtilities Existing Energy efficiency direct installation for low‐income customers 2015 Ongoing Medium Medium Utilities Existing Water conservation rebates (residential and commercial) 2015 Ongoing Medium Low Utilities Completed Retrofitted all City’s street and pathway lights to LED lighting 2014 2018 Medium Medium Utilities Completed Offset of hybrid bucket‐truck JEMS system to reduce diesel idling 2017 2017 Low Low Utilities Planned Wastewater treatment plant energy efficiency study 2022 2024 Medium Supportive
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Attachment: Attachment A: Existing and Planned Projects Inventory [Revision 1] (3761 : Climate Department Existing/Planned Project Title
Project Start Date
(estimated)
Project End Date
(estimated)
Relative Cost(estimated)
GHG Impact
(estimated)
Utilities Completed
Replaced failing gas water heater at Corporation Yard with heat pump water heater 2020 2020 Low Low
Utilities Completed Shade tree giveaway 2019 2019 Low Low Utilities Existing
Smart Living Healdsburg webpage/Facebook page to promote conservation programs 2015 Ongoing Low Supportive
Utilities Existing Power content label and energy mix information 2014 Ongoing Low Supportive Utilities Existing Green rate option with 100% renewable electricity 2012 Ongoing Low Medium Utilities Existing All City accounts on the Green rate for renewable electricity 2018 Ongoing Medium High Utilities Existing Time of Use Rates (optional rate schedule) 2012 Ongoing Low Low Utilities Completed Floating solar at Water Reclamation Facility 2020 2021 (25‐year term) High High Utilities Completed South Feather Water & Power hydropower contract 2019 2021 (10‐year term) High HighUtilities Completed Antelope Expansion 1B Solar Project 2017 2022 (20‐year term) High High Utilities Planned Lodi Energy Center Hydrogen Electrolyser 2021 Ongoing High High
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Attachment: Attachment A: Existing and Planned Projects Inventory [Revision 1] (3761 : Climate
CITY OF HEALDSBURG
CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: October 17, 2022
SUBJECT: Written Communication from Community Development Director Scott Duiven regarding Planning Commission actions taken on September 27, 2022
PREPARED BY: Shawn Sumpter, Administrative Specialist
STRATEGIC INITIATIVE(S):
Provide Effective Governance
RECOMMENDED ACTION(S):
No action required.
COMMUNITY ENGAGEMENT/OUTREACH:
Public hearing notices were sent to all property owners within 300’ of the subject properties.
The Agenda was posted on the public notice board at City Hall and the packet was posted on the website. Notice of the packet availability was provided to website subscribers in the form of emails and/or text messages.
The meeting was available for viewing live on our website and continues to be available as a video recording.
During the meeting opportunity for public input was provided.
BACKGROUND:
Since the formation of the Planning Commission, a report on actions taken at the immediately prior Commission meeting has been provided to the City Council as a way of keeping the Council informed of the matters/issues before the Commission.
This report is not required by the Healdsburg Municipal Code, City Council resolution or state law and requires no action from the City Council.
DISCUSSION/ANALYSIS:
Attached, for your information and receipt, is the report on the actions taken by the Planning Commission at its September 27, 2022 meeting.
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ENVIRONMENTAL STEWARDSHIP:
Not applicable.
ALTERNATIVES:
None.
FISCAL IMPACT:
There is no fiscal impact as a direct result from the proposed action.
ENVIRONMENTAL ANALYSIS:
Pursuant to Title 14, the California Code of Regulations, Section 15302(c) of the California Environmental Quality Act (“CEQA”) guidelines, the proposed action is an administrative activity of the City that will not result in direct or indirect physical changes to the environment.
ATTACHMENT(S):
PC Summary 20220927
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REPORT TO COUNCIL
1 of 1
SUBJECT: Actions Taken at the September 27, 2022, Planning Commission Meeting
1. ROLL CALL
Commissioners present: Breznikar, Eddinger, Hunt, Luks, McKay Commissioners absent: Brunner, Gerlach
City Staff present: Community Development Director Scott Duiven, Senior Planner Ellen McDowell, Assistant Planner Jeff Fisher, Administrative Technician Griselda Villarreal
2. ADMINISTRATIVE ACTIONS
A. The Commission voted 5-0-2 (Brunner and Gerlach absent) to approve the September 27, 2022, agenda.
B. The Commission voted 5-0-2 (Brunner and Gerlach absent) to approve the September 13, 2022, minutes.
C. Acceptance of Communications and Correspondence: Regarding Item 4B, 155 Dry Creek – Bruce Abramson
California Renters Legal Advocacy and Education Fund
Janice Watkins
D. Declarations of Conflicts of Interest: Commissioner Eddinger declared a conflict for item 4A 1520 Healdsburg Avenue.
E. Disclosures of Ex Parte Communications: None
3. PUBLIC COMMENTS: None
4. PUBLIC HEARINGS
Commissioner Eddinger left the meeting prior to item 4A.
A. The Commission voted 4-0-1-2 (Eddinger abstain, Brunner and Gerlach absent), to approve Resolution 2022-12, Major Design Review Application DR 2022-13 for construction of a 6,126 square-foot dental clinic building with associated on-site parking and landscaping at 1514 and 1520 Healdsburg Avenue.
Commissioner Eddinger rejoined the meeting following item 4A.
B. The Commission voted 4-0-2 (Brunner and Gerlach absent) to approve Resolution 2022-13 Mitigated Negative Declaration and Mitigation Monitoring and Reporting Program, and Resolution 2022-14, Major Design Review DR 2022-01, for Dry Creek Commons a 58-unit, 4- story affordable housing project and associated amenities with 104 on-site parking spaces, adding conditions regarding color, transformer location, and provision of additional laundry equipment.
5. NEW BUSINESS: None
6. COMMISSIONER AND SUBCOMMITTEE REPORTS: None
7. DIRECTOR’S REPORT: None
The meeting adjourned at approximately 8:31 PM.
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Packet Pg. 298 Attachment: PC Summary 20220927 (3788 : PC Summary 9-27-2022)