Hemet City Council
March 10, 2026

9.F.

failure will result in a long-term outage. An outage of these systems would include data loss, negatively impacting the library's ability to provide services to the public.

Internal Evaluation:

In October 2021, the City of Hemet contracted with ClientFirst Technology Consulting LLC (ClientFirst) to assist with a vendor-agnostic review of our Hewlett Packard Enterprise (HPE) server and storage systems. That assessment at our Police Department and City Hall facilities uncovered several gaps in restoration, scalability, and maintenance of those systems.

Armed with that information, ClientFirst assisted the City of Hemet with the creation and publication of a request for proposal (RFP) for a Hyper-Converged Infrastructure (HCI) solution to replace existing systems and address the uncovered gaps.

A total of four integrators reselling Dell, Hewlett Packard Enterprise, Nutanix, and DataOn servers and storage responded to that RFP. All integrators provided their best recommended solutions to replace that aged hardware.

Server and Storage Solution: Nutanix Hyper-Converged Infrastructure (HCI) On March 14, 2023, City Council approved the replacement of existing Hewlett-Packard (HPE) servers and storage located at our City Hall and Police facilities. A Nutanix Hyper-converged infrastructure (HCI) system from SHI International was selected to replace these servers due to its cost-effectiveness, scalability, simplicity, resiliency, and software management. Five-year terms covering maintenance, support, parts, and software licensing were all included in that purchase.

The proposed Hemet Public Library server and storage solution aligns with the same HCI solution approved in 2023. It has been right-sized to address the sole needs of the Hemet Public Library. As Public Library servers and storage are used exclusively by the public, they cannot be merged with our existing production HCI system. That separation ensures alignment with security and legal requirements.

SHI provided a quote for an HCI solution based on contract pricing, OMNIA Partners IT Solutions - Contract #: 2024056-02, eliminating the need for a formal request for bid process.

Veeam Local Backup Solution:

In 2023, City Council approved the purchase of a dedicated local backup hardware solution for the Hyper-covered infrastructure (HCI) system located at City Hall. The proposed solution for the Hemet Public Library will share that resources capabilities to ensure it can quickly and efficiently recover and rebuild their systems and data.

Licensing to backup library data to the existing dedicated backup hardware solution has been included in the proposed solution. SHI provided a quote for this licensing based on contract pricing, OMNIA Partners IT Solutions - Contract #: 2024056-02, eliminating the need for a formal request for bid process.

Connectivity Solution: Top of Rack Network Switch

9.F.

This solution connects the proposed SHI Nutanix server and storage hardware to the Public Library's network. To ensure the greatest level of compatibility, the same top-of-rack switch manufacturer used in the 2023 HCI system replacement was selected for this project. SHI provided a quote for this solution based on contract pricing, OMNIA Partners IT Solutions - Contract #: 2024056-02, eliminating the need for a formal request for bid process.

Battery Backup Solution: APC UPS Battery Backup Hardware This solution provides temporary battery backup power to the proposed Nutanix server and storage hardware, as well as the top-of-rack network switch. This solution consists of two units to provide the highest level of redundant backup power during brief power outages. SHI provided a quote for this solution based on contract pricing, OMNIA Partners IT Solutions - Contract #: 2024056-02, eliminating the need for a formal request for bid process.

In total, the recommended server and storage solution consists of:

Solution Vendor Cost
Nutanix Server and Storage Hardware SHI $ 339,647.84
Veeam Backup Software License SHI $ 15,808.88
HPE Aruba Network Top of Rack Switch SHI $ 67,588.14
APC UPS Battery Backup Hardware SHI $ 18,887.04
Shipping: $ 2,000.00
Tax: $ 20,013.49
Subtotal: $ 463,945.39
5 Percent Contingency: $ 23,197.27
Total Cost: $ 487,142.66
ANALYSIS:

The server and storage systems recommended for replacement form the technology foundation used at the Hemet Public Library. This foundation is necessary to provide essential public services to our community.

As servers and storage age, they become prone to hardware failure. Replacement parts become increasingly difficult to obtain. When equipment fails and parts are no longer available, delivery of City services is impacted. To prevent this, it is critical for the City to replace these systems before they fail, ensuring the availability of replacement hardware and services.

The following chart contrasts the City's existing server and storage solutions with the recommended server and storage solution.

Existing Server & Storage Solution Recommended Server & Storage Solution

9.F.

 Dedicated rack at Hemet Public
Library
 Dedicated rack at Hemet Public
Library
 Life expectancy 5 to 7 years.  Life expectancy 5 to 7 years.  Age of Library server/storage: 7
years.
 Library is experiencing hardware
failure on this solution (servers and
battery backup).
 New redundant servers/storage
 New top of rack network switch.
 New redundant battery backup units.
 Five year warranty.
 Individual backup for Library.
 Backup solution located on site.
 Managed separately.
 Solution depends on production
equipment to perform file recovery.
 Leverages existing consolidated
backup environment located at City
Hall.
 Increases file backup and restoration
capabilities to meet cyber insurance
guidelines.
 Backup servers and storage operate
on equipment independent of public
library production environment.
 Limited backup and disaster recovery
capabilities.
 Provides for future cloud-based
disaster recovery as a service
(DRaaS) capabilities.
 Provides system restoration
capabilities to meet cyber insurance
guidelines.

9.F.

 Physical separation between
production and disaster recovery
environments limit the impact on public
service operations and delivery.
 Provides continuity of operations in the
event of natural, man-made or
technological disasters.

Equally important is the need to re-evaluate the server infrastructure and ensure that it meets the City’s business needs.

Within the past decade, the Hemet Public Library has transitioned many on-premise/on-site services to vendor hosted (a.k.a. ‘Cloud’) solutions. While moving those systems to the cloud has created a reduction in server hardware needs, it has underscored the importance of servers the library continues to operate on-premise/on-site. Every cloud-based solution the library utilizes depends on a server, located at the library, in order to operate. The on-premise/on-site servers provide the integration and interface between cloud services and solutions. This need is often due to competition between vendors.

The Hemet Public Library intends to consolidate its local backup solution by leveraging the existing Nutanix backup system located at City Hall. As a result, the library can reduce power, cooling, and software costs by consolidating hardware. Consolidation also improves security by reducing the number of potential vulnerabilities, making patch management and security updates easier to manage.

Several local government entities have fallen victim to ransomware attacks in recent years. These attacks have resulted in the temporary shutdown of essential services, loss of sensitive information, and financial losses. As those attacks have increased, their impact on insurance companies has also increased. An increased backup strategy is also necessary to ensure the City's ability to obtain cyber insurance over the next five years.

The need for both local backups and "Disaster Recovery as a Service" (DRaaS) is critical to ensure continuity of operations in the event of a disaster. Local backups provide a quick and easy way to restore data in the event of data loss. In contrast, DRaaS delivers a comprehensive solution for disaster recovery. While not included with the proposed solution for the Public Library, DRaaS can be easily added and configured to the proposed Nutanix system at a future date. Together, these solutions will ensure that the library can quickly and effectively restore its systems and return to normal operations in the event of a disaster.

DISCUSSION:

The decision to move away from the existing single HPE ProLiant server in favor of a new Hyperconverged infrastructure (HCI) system aligns the same concerns and advantages addressed in 2023.

Those advantages are:

1. Cost-effectiveness: HCI systems are typically based on industry-standard hardware, which makes them more cost-effective to upgrade or replace. This can result in significant savings over time.

2. Scalability: HCI systems are highly scalable and allows businesses to easily add or remove resources as needed to support changing business requirements, allowing them to adapt to

9.F.

changing business needs. With a single server solution, our only option is to remove and replace the entire server environment.

3. Simplicity: HCI systems combine compute, storage, and networking into a single entity, making it simpler to manage and scale. This can result in reduced Information Technology (I.T.) administration costs and less operational complexity.

4. Resiliency: HCI systems often come with built-in resiliency features such as automatic failover and disaster recovery. This can help protect against outages and other disruptions and ensure business continuity.

5. Software management: HCI systems often include software that can automate tasks such as resource allocation, backups, and disaster recovery. This can make management much simpler and more efficient.

The next decision was the length of coverage for a new system. The existing server and storage were purchased with five-year terms covering maintenance, support, parts, and software licensing.

This ensures the entirety of the system is covered for the life expectancy of the hardware. This coverage can often be extended; however, after year five, many hardware manufacturers begin to retire support for their hardware. These manufacturer actions often lead to compliance requirement concerns. Operating systems no longer supported by their manufacturer can also place the City of Hemet in violation of its insurance agreements. For those reasons, any proposals for new systems need to cover the City of Hemet for a five-year term.

The SHI Nutanix solution offers a local Hyper-Converged Infrastructure (HCI) solution, future Disaster recovery as a service (DRaaS) capability, and also provides the highest level of automation. With these attributes, this solution will provide the Hemet Public Library with a reliable five-year server and storage solution.

STRATEGIC PLAN INTEGRATION:

GOAL FIVE: ORGANIZATIONAL EFFECTIVENESS
To identify the work needed inside the City organization to effectively provide services to the community and ensure financial stability.

Objective 2: Evaluate existing practices to ensure continuity with industry best practices.

To identify the work needed inside the City organization to effectively provide services to the community and ensure financial stability.

The proposed action aligns with Council adopted Strategic Action Item: Evaluate the IT function and future needs.

FISCAL IMPACT:

The itemized recommended solution is as follows:

Solution Vendor Cost
Nutanix Server and Storage Hardware SHI $ 339,647.84
Veeam Backup Software License SHI $ 15,808.88
HPE Aruba Network Top of Rack Switch SHI $ 67,588.14
APC UPS Battery Backup Hardware SHI $ 18,887.04
Shipping: $ 2,000.00
Tax: $ 20,013.49
Subtotal: $ 463,945.39

9.F.

5 Percent Contingency: $ 23,197.27
Total Cost: $ 487,142.66
Funding for this project in the amount of $325,000 was included in the FY2025-26 Adopted Budget in the Library Facilities DIF Fund (Account 363-08-1000-65400). Additional funding for this project in the amount of $162,142.66 will come from the Information Technology fund balance (Fund No. 680). Staff recommends a supplemental appropriation of $487,142.66 in Fund No. 680, along with an operating transfer of $325,000 from Library Facilities DIF Fund 363 to Information Technology Fund 680.

As a result of the recommended action, the available Information Technology fund balance (Fund No. 680) of $1.1M will be reduced by $162,142.66, resulting in a remaining available fund balance of approximately $937,000.

In late December, ClientFirst reviewed the city's proposal and advised the Library does not qualify for Federal E-Rate funding due to the complexity of the city's needs.

ATTACHMENT(S):

Attachment 1: Resolution Library Server
Attachment 2: SHI International Professional Services Agreement - Server Replacement at Library - 2026-049
Attachment 3: SHI Quote-27197502

9.F.

CITY OF HEMET RESOLUTION NO. 2026-XXX 1
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28

CITY OF HEMET

HEMET, CALIFORNIA
RESOLUTION NO. 2026-xxx

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEMET, CALIFORNIA, FOR THE APPROVAL OF THE

PUBLIC LIBRARY SERVER AND STORAGE

REPLACEMENT BY EXECUTING AGREEMENTS WITH

SHI INTERNATIONAL CORPORATION FOR A NEW

HYPER-CONVERGED INFRASTRUCTURE (HCI)

SYSTEM, VEEAM BACKUP SOFTWARE, NETWORKING

EQUIPMENT AND UNINTERRUPTIBLE POWER SUPPLY
(UPS) IN THE AMOUNT OF $463,945.39; APPROVE A

FIVE PERCENT CONTINGENCY IN THE AMOUNT OF
$23,197.27; AUTHORIZE THE ADMINISTRATIVE

SERVICES DIRECTOR TO RECORD A SUPPLEMENTAL
APPROPRIATION IN THE AMOUNT OF $487,142.66; AND

AUTHORIZE THE CITY MANAGER TO EXECUTE ALL

AGREEMENTS, PURCHASE ORDERS, AND ALL OTHER

SUPPORTING DOCUMENTS RELATED TO THESE

AGREEMENTS
The City Council of the City of Hemet, California (hereafter referred to as the “City Council”) does resolve as follows:

WHEREAS, the Hemet Public Library utilizes a single Hewlett Packard (HPE) ProLiant server to support its infrastructure and operations; and WHEREAS, for file backup and restoration, the Hemet Public Library relies on Veeam Backup software and a separate network-attached storage appliance (NAS) for backup storage; and
WHEREAS, both of these solutions were purchased in January 2019 and have exceeded their life expectancy, support, warranty, and licensing; and

9.F.

CITY OF HEMET RESOLUTION NO. 2026-XXX 2
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
WHEREAS, an outage of these systems would include data loss, negatively impacting the library's ability to provide services to the public; and WHEREAS, during a recent assessment of the City’s server, storage, and network connectivity at the Police Department and City Hall facilities, several gaps in restoration, scalability, and maintenance were identified; and WHEREAS, similar gaps exist in the library’s server and storage solution; and WHEREAS, in 2023, City Council approved a Hyper-Converged Infrastructure (HCI) solution that addressed those gaps; and
WHEREAS, the proposed solution aligns with the same HCI solution approved in 2023. It has been right-sized to address the sole needs of the Hemet Public Library; and
WHEREAS, utilizing the Partners IT Solutions - Contract #: 2024056-02 secures pricing and terms for purchases by participating in public entities through publicly bid master agreements, eliminating the need for a formal request for bid process; and WHEREAS, ensuring the continued operation of these systems is essential to maintaining the Hemet Public Library’s ability to deliver reliable services to the community.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HEMET FINDS, DETERMINES, ORDERS, AND RESOLVES AS FOLLOWS:

SECTION 1. FINDINGS – The recitals set forth above are hereby adopted as findings in support of this Resolution.

SECTION 2. DETERMINES – The City Council hereby approves the Public Library Server and Storage Replacement by Executing Agreements with SHI

9.F.

CITY OF HEMET RESOLUTION NO. 2026-XXX 3
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
International Corporation for a New Hyper-Converged Infrastructure (HCI) System, Veeam Backup Software, Networking Equipment, and Uninterruptible Power Supply (UPS) in the amount of $463,945.39 and approves a five percent contingency in the amount of $23,197.27.

SECTION 3. ORDERS – The City Council hereby authorizes the City Manager to execute the Agreement, Purchase Orders and all Other Supporting Documents Related to the Agreement, and Authorizes the Administrative Services Director to Record a Supplemental Appropriation in the Amount of $487,142.66 in Fund 680 Information Technology and an operational transfer of $325,000 from Fund 363 Library Facilities to Fund 680 Information Technology.

SECTION 4. EFFECTIVE DATE – This Resolution shall become effective on March 10, 2026.

9.F.

CITY OF HEMET RESOLUTION NO. 2026-XXX 4
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
PASSED, APPROVED, AND ADOPTED this 10th day of March, 2026. ____________________________
Linda Krupa, Mayor
ATTEST:
_____________________________
Jane Halstead, Interim City Clerk

9.F.

CITY OF HEMET RESOLUTION NO. 2026-XXX 5
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
19 20
21 22
23 24
25 26
27 28
State of California )
County of Riverside )
City of Hemet )
I, Jane Halstead, Interim City Clerk of the City of Hemet, do hereby certify that the foregoing resolution was adopted by the Hemet City Council on the 10th day of March, 2026, and was passed by the following vote:

AYES: Council Members:

NOES: Council Members:

ABSTAIN: Council Members:

ABSENT: Council Members:
_____________________________
Jane Halstead, Interim City Clerk

9.F.

00091740.2

PROFESSIONAL SERVICES AGREEMENT

BY AND BETWEEN

THE CITY OF HEMET

A CALIFORNIA MUNICIPAL CORPORATION
AND
SHI INTERNATIONAL, CORP.

A NEW JERSEY CORPORATION
AGREEMENT # 2026-049

9.F.

PROFESSIONAL SERVICES AGREEMENT

FOR SERVER REPLACEMENT AT HEMET PUBLIC LIBRARY

BETWEEN THE CITY OF HEMET AND SHIINTERNATIONAL, CORP
THIS PROFESSIONAL SERVICES AGREEMENT (“Agreement”) is made and entered into this 11th day of March, 2026 (“Effective Date”), by and between the CITY OF HEMET (“City”), a California municipal corporation and SHI International, Corp, a New Jersey corporation (“Consultant”). For the purposes of this Agreement City and Consultant are sometimes hereinafter referred to as “Party” and hereinafter collectively referred to as the “Parties.”

RECITALS

1. In compliance with federal, state and City procurement regulations, the City obtained competitive pricing for the Server Replacement at Hemet Public Library, as described in Section 2, “Scope of Services” using the OMNIA Cooperative Agreement with Consultant, contract # 2024056-02, dated July 2, 2024 (the “Cooperative Agreement”). The Cooperative Agreement is incorporated by reference herein and its terms and conditions are binding upon the parties as if fully set forth herein.

2. Consultant was selected by City to perform those services.

3. Consultant was selected by City on the basis of Consultant’s demonstrated competence and the professional qualifications necessary for the satisfactory performance of the services required.

4. City has authority to enter into this Agreement and the City Manager has authority to execute this Agreement.

5. The Parties desire to formalize the selection of Consultant for performance of those services defined and described particularly in Section 2 “Scope of Services” of this Agreement and desire that the terms of that performance be as particularly defined and described herein.

OPERATIVE PROVISIONS
NOW, THEREFORE, for and in consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:

SECTION 1. TERM OF AGREEMENT
Subject to the provisions of Section 21 "Termination of Agreement" of this Agreement, the Term of this Agreement is through March 10, 2031, commencing on the Effective Date, unless otherwise extended by written agreement of the Parties.

9.F.

00092061.2
(a) The City Manager may, in his or her sole discretion, unilaterally exercise an option to extend the Agreement on a month-to-month basis following expiration on the same terms and conditions, including compensation as set forth in Section 4 “Compensation.” (b) Consultant acknowledges that the Agreement term may extend over multiple City fiscal years, and that the work and compensation under this Agreement is contingent on the City Council appropriating funding for and authorizing such work and compensation for those fiscal years. This Agreement may be terminated by the City Manager at the end of a fiscal year when sufficient funding is not appropriated and authorized for the subsequent fiscal year, upon thirty (30) days’ prior written notice to Consultant. City is not obligated to pay Consultant for any amounts not duly appropriated and authorized by the City Council.

SECTION 2. SCOPE OF SERVICES
Subject to this Agreement, all addendums and exhibits attached and incorporated hereto, Consultant agrees to perform the services and tasks set forth in Exhibit “A,” “Scope of Services” (hereinafter, the “Services”), and the City agrees to retain and does hereby retain Consultant for the Services.

SECTION 3. ADDITIONAL SERVICES
Consultant shall not be compensated for any work rendered in connection with its performance of this Agreement that is in addition to or outside of the Services unless such additional services are authorized in advance and in writing in accordance with Section 25 “Administration and Implementation” or Section 27 “Amendment” of this Agreement. If and when such additional work is authorized, such additional work shall be deemed to be part of the Services.

SECTION 4. COMPENSATION
(a) Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in Exhibit “B” “Compensation” attached hereto and made a part of this Agreement by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed Four Hundred and Sixty-Three Thousand Nine Hundred and Forty-Five Dollars and Thirty-Nine Cents ($463,945.39) (“Not to Exceed Amount”) unless additional compensation is approved in writing by the City Manager or City Council, as applicable based on the City Manager’s contracting authority, in accordance with Section 25 “Administration and Implementation” or Section 27 “Amendment” of this Agreement. (b) All City vendors and consultants receiving new contracts, contract renewals, or contract extensions must sign up to receive electronic payments through the City's Automated Clearing House (ACH) payments service/provider within thirty (30) days of contract execution. Electronic payments are processed bi-weekly and are safe and secure. To enroll

9.F.

00092061.2
in ACH electronic payments contact [email protected].
(c) Payment to Consultant for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Consultant.
(d) If this Agreement is extended pursuant to Section 1 “Term of Agreement,” the City shall pay the same rates specified in Exhibit “B” “Compensation.” SECTION 5. METHOD OF PAYMENT AND INVOICING
(a) Payment shall be made in accordance with City’s usual accounting procedures upon receipt and approval of an itemized invoice setting forth the services performed. The invoices shall be emailed to [email protected]. Under no circumstances shall the total amount paid to Consultant under this Agreement exceed the City Manager’s authority without approval by the City Council.
(b) Consultant shall submit within thirty (30) days of the end of each month a complete and accurate written itemized invoice for services performed and/or goods provided. The invoice must be in a format approved by City. In order to receive payment, Consultant shall submit to City an itemized invoice, on a monthly basis, for services performed pursuant to this Agreement. Each itemized invoice shall identify at the top of the first page, the Not to Exceed Amount (as set by Section 4(a) above), the total amount billed to date, the services rendered during the billing period, and the amount due for the invoice for which reimbursement is sought. The invoice shall detail charges by the following categories: labor (by sub-category), travel, materials, equipment, supplies, and subconsultant contracts. Sub consultant charges shall be detailed by the following categories: labor, travel, materials, equipment and supplies. If the compensation set forth in Section 4(a) and Exhibit “B” include payment of labor on an hourly basis (as opposed to labor and materials being paid as a lump sum), the labor category in each invoice shall include detailed descriptions of tasks performed and the amount of time incurred for or allocated to that task. City shall independently review each invoice submitted by the Consultant to determine whether the work performed and expenses incurred are in compliance with the provisions of this Agreement. In the event that no charges or expenses are disputed, the invoice shall be approved and paid according to the terms set forth in subsection (c). In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Consultant for correction and resubmission within fifteen (15) days of receipt, with a written explanation of the disputed items.
(c) Except as to any charges for work performed or expenses incurred by Consultant which are disputed by City, City will use its best efforts to cause Consultant to be paid within forty-five (45) days of receipt of Consultant’s correct and undisputed invoice. (d) The Parties estimate that performance of this Agreement will be accomplished without an increase in the Not to Exceed Amount. Consultantshall notify the City in writing whenever

9.F.

00092061.2
it has reason to believe that the costs the Consultant expects to incur under this Agreement in the following sixty (60) days, when added to all costs previously incurred, will exceed eighty percent (80%) of the Not to Exceed Amount specified herein. As part of the notification, the Consultant shall provide the City with a revised estimate of the total cost of performing this Agreement.

SECTION 6. INSPECTION AND FINAL ACCEPTANCE
City may inspect and accept or reject any of Consultant’s work under this Agreement, either during performance or when completed. City shall reject or finally accept Consultant’s work within sixty (60) days after submitted to City. City shall reject work by a timely written explanation, otherwise, Consultant’s work shall be deemed to have been accepted. City’s acceptance shall be conclusive as to such work except with respect to latent defects, fraud, and such gross mistakes as amount to fraud. Acceptance of any of Consultant’s work by City shall not constitute a waiver of any of the provisions of this Agreement including, but not limited to, Section 17 “Indemnification” and Section 18 “Insurance.”
SECTION 7. OWNERSHIP OF DOCUMENTS
All original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files and other documents prepared, developed, or discovered by Consultant in the course of providing the Services pursuant to this Agreement shall become the sole property of City and may be used, reused or otherwise disposed of by City without the permission of the Consultant. Upon completion, expiration, or termination of this Agreement, Consultant shall turn over to City all such original maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files, and other documents.

If and to the extent that City utilizes for any purpose not related to this Agreement any maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files, or other documents prepared, developed, or discovered by Consultant in the course of providing the Services pursuant to this Agreement, Consultant’s guarantees and warranties in Section 11 “Standard of Performance” of this Agreement shall not extend to such use of the maps, models, designs, drawings, photographs, studies, surveys, reports, data, notes, computer files, files or other documents.

SECTION 8. INTELLECTUAL PROPERTY RIGHTS ASSIGNMENT
For no additional compensation, Consultant hereby assigns to City all of Consultant’s rights, title, and interest in and to the content of all deliverable materials created by Consultant or its employees, agents, or sub consultants, including copyrights, in connection with the Services performed under this Agreement. Consultant shall promptly execute and deliver and shall cause its employees, agents, and sub consultants to promptly execute and deliver, upon request by the City or any of its successors or assigns at any time and without further compensation of any kind, any power of attorney, assignment, application for copyright, patent, trademark or other

9.F.

00092061.2
intellectual property right protection, or other papers or instruments which may be necessary or desirable to fully secure, perfect or otherwise protect to or for the City, its successors, and assigns, all right, title and interest in and to the content of the deliverable materials. For purposes of this section deliverable materials include all works, tangible or not, created under this Agreement including, without limitation, documents, material, data, reports, manuals, specifications, artwork, drawings, sketches, computer programs and databases, schematics, photographs, video and audiovisual recordings, sound recordings, marks, logos, graphic designs, notes, website, domain names, inventions, processes, formulas matters and combinations thereof, and all forms of intellectual property. The provisions of this paragraph are binding on the successors, assigns and heirs of Consultant and shall survive the termination of Consultant’s Services under this Agreement.

SECTION 9. CONSULTANT’S BOOKS AND RECORDS
(a) Consultant shall maintain any and all documents and records demonstrating or relating to Consultant’s performance of the Services. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, or other documents or records evidencing or relating to work, services, expenditures, and disbursements charged to City pursuant to this Agreement. Any and all such documents or records shall be maintained in accordance with generally accepted accounting principles and shall be sufficiently complete and detailed so as to permit an accurate evaluation of the Services provided by Consultant pursuant to this Agreement. Any and all such documents or records shall be maintained for three (3) years from the date of execution of this Agreement and to the extent required by laws relating to audits of public agencies and their expenditures. (b) Any and all records or documents required to be maintained pursuant to this section shall be made available for inspection, audit, and copying, at any time during regular business hours, upon request by City or its designated representative. Copies of such documents or records shall be provided directly to the City for inspection, audit and copying when it is practical to do so; otherwise, unless an alternative is mutually agreed upon, such documents and records shall be made available at Consultant’s address indicated for receipt of notices, “Section 23,” of this Agreement.
(c) Where City has reason to believe that any of the documents or records required to be maintained pursuant to this section may be lost or discarded due to dissolution or termination of Consultant’s business, City may, by written request, require that custody of such documents or records be given to the City. Access to such documents and records shall be granted to City, as well as to its successors in interest and authorized representatives.

SECTION 10. INDEPENDENT CONTRACTOR

9.F.

00092061.2
(a) Consultant is and shall at all times remain a wholly independent contractor and not an officer, employee, or agent of City. Consultant shall have no authority to bind City in any manner, nor to incur any obligation, debt, or liability of any kind on behalf of or against City, whether by contract or otherwise, unless such authority is expressly conferred under this Agreement or is otherwise expressly conferred in writing by City. (b) The personnel performing the Services under this Agreement on behalf of Consultant shall at all times be under Consultant’s exclusive direction and control. Neither City, nor any elected or appointed boards, officers, officials, employees or agents of City, shall have control over the conduct of Consultant or any of Consultant’s officers, employees, sub consultants or agents except as set forth in this Agreement. Consultant shall not at any time or in any manner represent that Consultant or any of Consultant’s officers, employees, or agents are in any manner officials, officers, employees or agents of City. (c) Neither Consultant, nor any of Consultant’s officers, employees or agents, shall obtain any rights to retirement, health care or any other benefits which may otherwise accrue to City’s employees. Consultant expressly waives any claim Consultant may have to any such rights.

SECTION 11. STANDARD OF PERFORMANCE
Consultant represents and warrants that it has the qualifications, experience, and facilities necessary to properly perform the Services required under this Agreement in a thorough, competent, and professional manner. Consultant shall at all times faithfully, competently, and to the best of its ability, experience, and talent, perform all Services. In meeting its obligations under this Agreement, Consultant shall employ, at a minimum, generally accepted standards and practices utilized by persons engaged in providing services similar to the Services required of Consultant under this Agreement, and shall use such skill, prudence, and diligence as other members of Consultant’s profession commonly possess and exercise. In addition to the general standards of performance set forth in this section, additional specific standards of performance and performance criteria may be set forth in Exhibit “A” “Scope of Services” that shall also be applicable to Consultant’s work under this Agreement. Where there is a conflict between a general and a specific standard of performance or performance criteria, the specific standard or criteria shall prevail over the general.

SECTION 12. COMPLIANCE WITH APPLICABLE LAWS; PERMITS AND LICENSES Consultant shall keep itself informed of and comply with all applicable federal, state, and local laws, statutes, codes, ordinances, regulations, and rules in effect during the term of this Agreement. Consultant shall at all times observe and comply with all such laws, ordinances, and regulations, and shall be solely responsible for any failure to comply with all applicable laws, ordinances, and regulations. Consultant represents and warrants that Consultant has obtained or shall promptly obtain all necessary licenses to perform the Services set forth in this Agreement

9.F.

00092061.2
and that such licenses are in good standing, including but not limited to obtaining a City business license. Consultant further represents and warrants that the services provided herein shall conform to all ordinances, policies, and practices of the City. Neither City nor any elected or appointed boards, officers, officials, employees or agents of City, shall be liable, at law or in equity, as a result of any failure of Consultant to comply with this section.

SECTION 13. PREVAILING WAGE LAWS
Consultant acknowledges and agrees to comply with the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., (“Prevailing Wage Laws”), which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects. If the Services under this Agreement constitute “public works” or “maintenance” as defined under the Prevailing Wage laws, Consultant shall: (1) pay prevailing wages to all workers employed in the performance of the Services; (i) comply with all posting, reporting, and recordkeeping requirements; and (iii) ensure that all subconsultants comply with the Prevailing Wage Laws. Consultant shall defend, indemnify, and hold the City, its elected officials, officers, employees, and agents free and harmless from any claim or liability arising out of any failure or alleged failure of Consultant to comply with the Prevailing Wage Laws.

SECTION 14. NONDISCRIMINATION
Consultant and subconsultants shall not unlawfully discriminate, harass, or allow harassment against any person because of sex, sexual orientation, gender, gender identity, gender expression, reproductive health decision-making, race, color, religious creed, marital status, ancestry, national origin, medical condition, genetic information, age, disability (mental and physical), or military or veteran status in connection with or related to the performance of this Agreement. Consultant and subconsultants shall comply with the provisions of the Fair Employment and Housing Act (Gov. Code, § 12900 et seq.) and the applicable regulations promulgated thereunder (Cal. Code of Regs, tit. 2, § 7285.0 et seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code, § 12990 (a)- (f), are incorporated into this Agreement by reference and made a part hereof as set for in full (Cal.

Code of Regs, tit. 2, § 7285.0, et seq.). Consultant shall include the non-discrimination and compliance provisions of this section in all subcontracts to perform work under this Agreement.

SECTION 15. CONFLICTS OF INTEREST
(a) Consultant covenants that neither it nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Consultant’s performance of the Services. Consultant further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or

9.F.

00092061.2
subcontractor without the express written consent of the City Manager. Consultant agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. (b) City understands and acknowledges that Consultant is, as of the date of execution of this Agreement, independently involved in the performance of services for other governmental agencies and private parties that are unrelated to the Services of this Agreement. Consultant represents that, as of the date of execution of this Agreement, itis unaware of any stated position of City relative to such projects that would create a conflict of interest. Any future position of City on such unrelated projects shall not be considered a conflict of interest for the purposes of this section, provided that Consultant promptly discloses to City any circumstances that could reasonably be perceived as creating a conflict of interest. (d) City understands and acknowledges that Consultant will, perform non-related services for other governmental agencies and private parties following the completion of the Services under this Agreement. Any such future service shall not be considered a conflict of interest for purposes of this section.

SECTION 16. CONFIDENTIAL INFORMATION; RELEASE OF INFORMATION (a) All information gained or work product produced by Consultant in performance of this Agreement shall be considered confidential unless such information: (i) is in the public domain through no breach of this Agreement by Consultant; (ii) was already known to Consultant prior to disclosure by city, as evidenced by Consultant’s written records; (iii) is independently developed by Consultant without use of City’s confidential information; or (iv) is rightfully obtained by Consultant from a third party without breach of any confidentiality obligation.. Consultant shall not release or disclose any such confidential information or work product to persons or entities other than City without prior written authorization from the City Manager, except as may be required by law. If disclosure is required by law Consultant shall provide City with prompt written notice of such requirement prior to disclosure to allow City the opportunity to seek a protective order or other appropriate remedy.
(b) Consultant, its officers, employees, agents, or sub consultants, shall not, without prior written authorization from the City Manager or unless requested by the City Attorney of City, voluntarily provide declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Consultant gives City prompt written notice of such court order or subpoena, and such notice is provided sufficiently in advance of the response deadline to allow City a reasonable opportunity to seek a protective order or other relief. Consultant shall provide such notice within two (2) business days of receipt of the subpoena or court order, or as soon as reasonably practicable.

9.F.

00092061.2
(c) If Consultant, or any officer, employee, agent, or sub consultant of Consultant, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Consultant for any damages, costs, and fees, including attorney’s fees, caused by or incurred as a result of Consultant’s conduct. (d) Consultant shall promptly notify City should Consultant, its officers, employees, agents, or sub consultants be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party regarding this Agreement and the work performed thereunder. City retains the right but has no obligation, to represent Consultant or be present at any deposition, hearing, or similar proceeding. Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant. However, this right to review any such response does not imply or mean the right of City to control, direct, or rewrite said response.

SECTION 17. INDEMNIFICATION
(a) To the fullest extent permitted by law, Consultant shall indemnify, protect, defend (with legal counsel reasonably selected by the City) and hold harmless City and any and all of its elected and appointed officials, officers, employees, representatives and agents (“Indemnified Parties”) from and against any and all claims, actions and proceedings (whether at law or equity, administrative or judicial), demands, orders, judgments, losses, injuries (including, without limitation, injury to or death of an employee of Consultant or sub consultants), liabilities of every kind (including, without limitation, incidental and consequential damages, court costs, and litigation expenses, and fees of expert consultants or expert witnesses incurred in connection therewith and cost of investigation), damages, costs and expenses, including attorney’s fees and costs, (collectively "Claims") that arise out of, pertain to, or relate to, directly or indirectly, in whole or in part, performance of Services by Consultant, its officers, agents, employees, representatives, sub consultants, anyone directly or indirectly employed by any of them, or anyone that they control.

Consultant’s duty to indemnify, protect, defend, and hold harmless Indemnified Parties, shall not include any Claims arising from the sole negligence or willful misconduct of the Indemnified Parties.
(b) Consultant agrees to obtain executed indemnity agreements with provisions substantially similar to those set forth in this section from each and every subconsultant, subcontractor, or any other person or entity involved by, for, with, or on behalf of Consultant in the performance of this Agreement naming the Indemnified Parties as additional indemnitees.

Consultant shall provide City with copies of such indemnity agreements upon request. In the event Consultant fails to obtain such indemnity obligations from others as required here, Consultant agrees to be fully responsible according to the terms of this section.

Failure of City to monitor compliance with these requirements imposes no additional obligations on City and will in no way act as a waiver of any rights hereunder. This

9.F.

00092061.2
obligation to indemnify and defend City as set forth herein is binding on the successors, assigns, or heirs of Consultant and shall survive the termination of this Agreement and this section.

SECTION 18. INSURANCE
Consultant agrees to obtain and maintain in full force and effect during the Term of this Agreement the insurance policies set forth in Exhibit “C” “Insurance” and made a part of this Agreement. All insurance policies shall be subject to approval by City as to form and content.

These requirements are subject to amendment or waiver if so approved in writing by the City Manager. Consultant agrees to provide City with copies of required policies upon request.

SECTION 19. ASSIGNMENT
The expertise and experience of Consultant are material considerations for this Agreement.

City has an interest in the qualifications and capability of the persons and entities who will fulfill the duties and obligations imposed upon Consultant under this Agreement. In recognition of that interest, Consultant shall not assign or transfer this Agreement or any portion of this Agreement or the performance of any of Consultant’s duties or obligations under this Agreement without the prior written consent of the City, which may be given in the sole and absolute discretion of the City Manager. Any attempted assignment without City’s Prior written consent shall be ineffective, null, and void, and shall constitute a material breach of this Agreement entitling City to any and all remedies at law or in equity, including immediate termination of this Agreement pursuant to Section 21 “Termination of Agreement.” City acknowledges, however, that Consultant, in the performance of its duties pursuant to this Agreement, may utilize sub consultants.

If in the performance of its duties Consultant utilizes subconsultants or subcontractors, Consultant covenants that all subcontracts shall contain provisions making subconsultants or subcontractors subject to all applicable provisions stipulated in this Agreement, including without limitation, the insurance obligations set forth in Section 18 “Insurance,” the indemnification obligations set forth in Section 17 “Indemnification,” and the confidentiality obligations set forth in Section 16 “Confidential Information; Release of Information.” The Consultant acknowledges and agrees that the City is an intended beneficiary of any work performedby any sub consultant or subcontractor for purposes of establishing a duty of care between any sub consultant or subcontractor and the City.

SECTION 20. CONTINUITY OF PERSONNEL
Consultant shall make every reasonable effort to maintain the stability and continuity of Consultant’s staff and subcontractors / subconsultants, if any, assigned to perform the Services.

Consultant shall provide City with written notice of any changes in Consultant’s key personnel and subcontractors/subconsultants, assigned to perform the Services at least five (5) business days

9.F.

00092061.2
prior to such change, or immediately upon learning of an unexpected change. City reserves the right to approve or reject any proposed replacement personnel or subconsultants if such personnel are identified as key to the Services in Exhibit “A.”
SECTION 21. TERMINATION OF AGREEMENT
(a) City may terminate this Agreement in its sole and absolute discretion, with or without cause, at any time by giving written notice of termination to Consultant. In the event such notice is given, Consultant shall cease immediately all work in progress. (b) Consultant may terminate this Agreement for cause at any time upon thirty (30) days’ prior written notice of termination to City, provided that such notice specifies in detail the cause(s) for termination and City fails to cure such cause(s) within the thirty (30) day notice period.
(c) If either Consultant or City fail to perform any material obligation under this Agreement, then, in addition to any other remedies, either Consultant, or City may terminate this Agreement immediately upon written notice.
(d) Upon termination of this Agreement by either Consultant or City, all property belonging exclusively to City which is in Consultant’s possession shall be returned to City. Consultant shall furnish to City a final invoice for work performed and expenses incurred by Consultant, prepared as set forth in Section 5 “Method of Payment and Invoicing” of this Agreement. This final invoice shall be reviewed and paid in the same manner as set forth in Section 5 “Method of Payment and Invoicing” of this Agreement. (e) Upon written notice, City may suspend all or any portion of Consultant’s performance under this Agreement at its sole option and for its convenience for a reasonable period of time not to exceed six (6) months. City will pay to Consultant a sum equivalent to the reasonable value of the services satisfactorily provided up to the date of suspension. City may rescind the suspension prior to or at six (6) months by providing Consultant with written notice of the rescission, at which time Consultant would be required to resume performance in compliance with the terms and provisions of this Agreement. Consultant will be entitled to an extension of time to complete performance under this Agreement equal to the length of the suspension unless otherwise agreed to in writing by the Parties.

SECTION 22. EXCUSABLE DELAYS
Neither Party shall be liable for damages, including liquidated damages, if any, caused by delay in performance or failure to perform due to causes beyond the control of either Party. Such causes include, but are not limited to, acts of God, acts of the public enemy, acts of federal, state or local governments, acts of City, court orders, fires, floods, epidemics, strikes, embargoes, and unusually severe weather. The term and price of this Agreement shall be equitably adjusted for any delays due to such causes.

9.F.

00092061.2
SECTION 23. NOTICES.

All notices required or permitted to be given under this Agreement shall be in writing and shall be personally delivered, or sent by telecopier or certified mail, postage prepaid and return receipt requested, addressed as follows:

To City: City of Hemet
Attn: City Manager
445 E. Florida Ave.

Hemet, CA 92543
To Consultant: SHI International, Corp.

Attn: Alex Coleman
290 Davidson Ave.

Somerset, NJ 08873
Notice shall be deemed effective on the date personally delivered or transmitted by facsimile or, if mailed, three (3) days after deposit of the same in the custody of the United States Postal Service.

SECTION 24. AUTHORITY TO EXECUTE.

The person or persons executing this Agreement on behalf of Consultant represents and warrants that he/she/they has/have the authority to so execute this Agreement and to bind Consultant to the performance of its obligations hereunder.

SECTION 25. ADMINISTRATION AND IMPLEMENTATION.

This Agreement shall be administered and executed by the City Manager or his or her designated representative. The City Manager shall have the authority to issue interpretations and to make amendments to this Agreement, including amendments that commit additional funds, consistent with Section 27 “Amendment” and the City Manager’s contracting authority under the Hemet Municipal Code.

SECTION 26. BINDING EFFECT.

This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the Parties.

SECTION 27. AMENDMENT.

9.F.

00092061.2
No amendment to or modification of this Agreement shall be valid unless made in writing and approved by Consultant and by City. The City Manager shall have the authority to approve any amendment to this Agreement if the total compensation under this Agreement, as amended, would not exceed the City Manager’s contracting authority. All other amendments shall be approved by the City Council. The Parties agree that the requirement for written modifications cannot be waived and that any attempted waiver shall be void.

SECTION 28. WAIVER.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision nor a waiver of any subsequent breach or violation of any provision of this Agreement.

Acceptance by City of any work or services by Consultant shall not constitute a waiver of any of the provisions of this Agreement.

SECTION 29. LAW TO GOVERN; VENUE.

This Agreement shall be interpreted, construed and governed according to the laws of the State of California. In the event of litigation between the Parties, venue in state trial courts shall lie exclusively in the County of Riverside, California. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in Riverside.

SECTION 30. ATTORNEY’S FEES, COSTS AND EXPENSES.

In the event litigation or other proceeding is required to enforce or interpret any provision of this Agreement, the prevailing Party in such litigation or other proceeding shall be entitled to an award of reasonable attorney’s fees, costs and expenses, in addition to any other relief to which it may be entitled.

SECTION 31. ENTIRE AGREEMENT.

This Agreement, including the attached exhibits and addendums, along with any amendments thereto, is the entire, complete, final and exclusive expression of the Parties with respect to the matters addressed therein and supersedes all other agreements or understandings, whether oral or written, or entered into between Consultant and City prior to the execution of this Agreement. No statements, representations or other agreements, whether oral or written, made by any Party which are not embodied herein shall be valid and binding.

SECTION 32. SEVERABILITY.

If any term, condition or covenant of this Agreement is declared or determined by any court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions of this

9.F.

00092061.2
Agreement shall not be affected thereby and the Agreement shall be read and construed without the invalid, void or unenforceable provision(s).

SECTION 33. INCORPORATION AND CONFLICTING TERMS.
(a) The following documents are incorporated and made part of this Agreement by this reference:

1. All exhibits and addendums

2. All amendments

3. Consultant’s proposal, if any

4. Any laws, regulations, requirements, or restrictions, applicable to the funding source used by City to pay Consultant for any portion of work done under Agreement (“Funding Restrictions”)
(b) The documents listed above shall be referred to collectively as the “Agreement Documents.” The Agreement Documents are intended to be complementary, and a requirement in one Document is effective as if it appeared in all the Documents. In the event of a conflict between any of the Agreement Documents, the Documents shall be given effect in the following order: Funding Restrictions, Amendments (most recent first), this Agreement, Insurance requirements, exhibits and addendums, and Consultant’s proposal. Where the requirements of one Document are more stringent then another the more stringent shall govern.

SECTION 34. TIME OF THE ESSENCE.

Time is of the essence for each and every provision of this Agreement. [SIGNATURE PAGE FOLLOWS]

9.F.

00091740.2
Signature Page

PROFESSIONAL SERVICES AGREEMENT

FOR SERVER REPLACEMENT AT HEMET PUBLIC LIBRARY

BETWEEN THE CITY OF HEMET AND SHI INTERNATIONAL, CORP
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the date and year first-above written.

CITY OF HEMET
___________________________
Mark Prestwich
City Manager
ATTEST:

CITY CLERK
By: ___________________________
APPROVED AS TO FORM:

CITY ATTORNEY
By: ____________________________

CONSULTANT
By:

Its:

9.F.

00091740.2
Exhibit A – Scope of Services
Page | 1
EXHIBIT “A”

SCOPE OF SERVICES
SHI International Corp. is to supply and deliver the following items to the City of Hemet’s satisfaction:

Item # Manufacturer Part # Product Quantity
1 Nutanix S-HW-PRD 24/7 Production Level HW Support for Nutanix HCI appliance 3 2 Nutanix SUPPORT-TERM Support Term in Months 60
3 Nutanix S-HW-PRD 24/7 Production Level HW Support for Nutanix HCI appliance 2 4 Nutanix SUPPORT-TERM Support Term in Months 60
5 Nutanix PLATFORM

INTEGRATION
Platform Integration Fee 1
6 Nutanix PLATFORM

INTEGRATION
Platform Integration Fee 1
7 Nutanix NX-8155AS-G10-
A9255-CM
NX-8155AS-G10, 1 Node; 1x AMD EPYC A9255 processor
(3.2GHz/ 24-core/ 200W, Turin) per node
3 8 Nutanix C-MEM-64GB-6400-
CM
64GB Memory Module (6400MHz DDR5 RDM) 12
9 Nutanix C-NVM-15.36TBAB1A-CM15.36 TB NVMe SSD - PCIe Gen5 (U.2) 24 10 Nutanix C-LOM-10G2B1BTCMLOM Module: SMC 10GbE 2-port Base-T & 2-port SFP+ NIC Intel X710
3 11 Nutanix C-NIC-25G2A2-CM Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included
6 12 Nutanix C-PWR-4FC13C14BCMC13/C14, 15A, 4ft Power cord 6 13 Nutanix C-TPM-2.0-U-C-CM TPM 2.0 Module Unprovisioned 3 14 Nutanix NX-1175S-G10-
6527P-CM
NX-1175S-G10, 1 Node; 1x Intel Xeon 6527P processor (3.0 GHz/24-core/ 255W, Granite Rapids SP) per node
2 15 Nutanix C-MEM-64GB-6400-
CM
64GB Memory Module (6400MHz DDR5 RDM) 8
16 Nutanix C-NVM-7.68TB-AB1ACM7.68 TB NVMe SSD - PCIe Gen5 (U.2) 4 17 Nutanix C-NIC-25G2A2-CM Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included
2 18 Nutanix C-PWR-4FC13C14ACMC13/C14, 10A, 4ft Power cord 4 19 Nutanix C-TPM-2.0-U-C-CM TPM 2.0 Module Unprovisioned 2 20 Nutanix SW-NUS-STR-PR Subscription, Nutanix Unified Storage (NUS) Starter Software License & Production Software Support Service for 1 TiB of data stored
73 21 Nutanix TERM-MONTHS Term in months 64
22 Nutanix SW-NCI-PRO-PR Subscription, Nutanix Cloud Infrastructure (NCI) Pro Software License & Production Software Support Service for 1 CPU Core 48

9.F.

00091740.2
Exhibit A – Scope of Services
Page | 2
23 Nutanix TERM-MONTHS Term in months 64
24 Nutanix CNS-NUS-A-SVCDEP-ESS-OBJService, Nutanix Unified Storage Deployment Essential Edition for Objects
1 25 Nutanix CNS-INF-A-SVCDEP-ONP-AHVService, Infrastructure Deployment - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased, deployment is limited to 1 node. A maximum of 64 nodes distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a
3 26 Nutanix CNS-INF-A-SVC-EXPONP-AHVService, Infrastructure Expansion - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased, expansion is limited to 1 node. A maximum of 64 nodes distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a s
2 27 Nutanix CNS-INF-A-SVC-MIGVMS-VIRTService, Virtual Machine Migration with Virtual Delivery. For each purchased, migration of all VM packs is limited to a single migration event and each pack is limited to migration of 5VMs or 2.5TiB of total data.
2 28 Veeam
Software
P-ADVVUL-0I-SU5YP00 VEEAM DATA PLATFORM ADVANCED UNIVERSAL SUBSCRIPTION LICENSE. INCLUDES ENTERPRISE PLUS
EDITION FEATURES. 10 INSTANCE PACK. 5 YEARS
2 29 APC by
Schneider
Electric
SRT6KRMXLT APC Smart-UPS On-Line, 6kVA/6kW, Rackmount 4U, 208V, 2x L6- 20R+3x L6-30R NEMA outlets, Network Card+SmartSlot, Extended runtime, W/ rail kit - 3 years warranty
2 30 APC by
Schneider
Electric
AP7811B SCHNEIDER ELECTRIC AP7811B - Power Distribution Unit - RackMountable - Input Voltage: 200 V/208 V/230 V - Input Connector(s):

NEMA L6-30P - Output Connector(s): 12 IEC 60320 C13; 4 IEC 60320 C19 - 30A - FCC Part 15 class A, ICES-003, UL 60950 - 2 years r
2 31 Hewlett Packard
Enterprise
JL624A#ABA HPE Aruba 8325-48Y8C - Switch - L3 - managed - 48 x 10/25 Gigabit SFP+ / SFP28 + 8 x 40/100 Gigabit QSFP+ / QSFP28 - front to back airflow - rack-mountable - TAA Compliant
1 32 Hewlett Packard
Enterprise
HC7H8E HPE Foundation Care 4-Hour Exchange Service - Extended service agreement - replacement - 5 years - shipment - 24x7 - response time: 4 h - for P/N: JL624A, JL624AR, JL624AR#ABA, JL625A, JL625AR, JL625AR#ABA, JL857A, JL858A
1 33 Hewlett Packard
Enterprise
JL482C HPE Aruba X472 2-post Rack Kit - Switch mounting kit - 2-post - rack mountable
1 34 Hewlett Packard
Enterprise
J9150D HPE Networking Instant On - SFP+ transceiver module - 10GbE - 10GBase-SR - SFP+ / LC multi-mode - up to 300 m - for HPE Aruba 2930F 12, 2930M 40, 6200F 12, 6200M 24, 6300, 6405 48, 6405 96, 64XX; CX 8360
6 35 Hewlett Packard
Enterprise
JL484A HPE Aruba - SFP28 transceiver module - 25 Gigabit Ethernet - 25GBase-SR - LC multi-mode - up to 100 m - for HPE Aruba 8325- 48Y8C; CX 8360-12C V2, 8360-16Y2C V2
10 36 Hewlett Packard
Enterprise
JL448A HPE Aruba X2C2 Console Cable - Network cable - RJ-45 (M) to DB9 (F) - for FlexNetwork 5510 24, 5510 48; HPE Aruba 2530, 2930M 24, 2930M 48, 3810M 24, 3810M 48, 8325
1

9.F.

00091740.2
Exhibit B – Compensation
Page | 1
EXHIBIT “B”

COMPENSATION
Compensation for the Services shall not exceed Four Hundred and Sixty-Three Thousand Nine Hundred and Forty-Five Dollars and Thirty-Nine Cents ($463,945.39).

Item # Manufacturer Part # Product Quantity Discount % Your Price Total 1 Nutanix S-HW-PRD 24/7 Production Level HW Support for Nutanix HCI appliance 3 19.73072 $5,982.10 $17,946.30 2 Nutanix SUPPORT-TERM Support Term in Months 60 $0.00 $0.00 3 Nutanix S-HW-PRD 24/7 Production Level HW Support for Nutanix HCI appliance 2 19.73064 $2,212.97 $4,425.94 4 Nutanix SUPPORT-TERM Support Term in Months 60 $0.00 $0.00 5 Nutanix PLATFORM

INTEGRATION
Platform Integration Fee 1 100.00000 $0.00 $0.00
6 Nutanix PLATFORM

INTEGRATION
Platform Integration Fee 1 100.00000 $0.00 $0.00
7 Nutanix NX-8155AS-G10-
A9255-CM
NX-8155AS-G10, 1 Node; 1x AMD EPYC A9255 processor
(3.2GHz/ 24-core/ 200W, Turin) per node
3 10.42389 $10,601.87 $31,805.61
8 Nutanix C-MEM-64GB-6400-
CM
64GB Memory Module (6400MHz DDR5 RDM) 12 10.42411 $874.61 $10,495.32 9 Nutanix C-NVM-15.36TBAB1A-CM15.36 TB NVMe SSD - PCIe Gen5 (U.2) 24 10.42398 $3,239.66 $77,751.84 10 Nutanix C-LOM-10G2B1BTCMLOM Module: SMC 10GbE 2-port Base-T & 2-port SFP+ NIC Intel X710
3 10.42442 $514.97 $1,544.91
11 Nutanix C-NIC-25G2A2-CM Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included
6 10.42368 $524.12 $3,144.72
12 Nutanix C-PWR-4FC13C14BCMC13/C14, 15A, 4ft Power cord 6 10.38576 $15.10 $90.60 13 Nutanix C-TPM-2.0-U-C-CM TPM 2.0 Module Unprovisioned 3 10.42781 $70.35 $211.05 14 Nutanix NX-1175S-G10-
6527P-CM
NX-1175S-G10, 1 Node; 1x Intel Xeon 6527P processor (3.0 GHz/24-core/ 255W, Granite Rapids SP) per node
2 10.42382 $8,037.59 $16,075.18
15 Nutanix C-MEM-64GB-6400-
CM
64GB Memory Module (6400MHz DDR5 RDM) 8 10.42411 $874.61 $6,996.88

9.F.

00091740.2
Exhibit B – Compensation
Page | 2
16 Nutanix C-NVM-7.68TB-AB1ACM7.68 TB NVMe SSD - PCIe Gen5 (U.2) 4 10.42354 $1,623.00 $6,492.00 17 Nutanix C-NIC-25G2A2-CM Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included
2 10.42368 $524.12 $1,048.24
18 Nutanix C-PWR-4FC13C14ACMC13/C14, 10A, 4ft Power cord 4 10.42277 $21.40 $85.60 19 Nutanix C-TPM-2.0-U-C-CM TPM 2.0 Module Unprovisioned 2 10.42781 $70.35 $140.70 20 Nutanix SW-NUS-STR-PR Subscription, Nutanix Unified Storage (NUS) Starter Software License & Production Software Support Service for 1 TiB of data stored
73 30.11076 $656.26 $47,906.98
21 Nutanix TERM-MONTHS Term in months 64 $0.00 $0.00
22 Nutanix SW-NCI-PRO-PR Subscription, Nutanix Cloud Infrastructure (NCI) Pro Software License & Production Software Support Service for 1 CPU Core
48 30.11084 $1,696.21 $81,418.08
23 Nutanix TERM-MONTHS Term in months 64 $0.00 $0.00
24 Nutanix CNS-NUS-A-SVCDEP-ESS-OBJService, Nutanix Unified Storage Deployment Essential Edition for Objects
1 5.84887 $6,261.05 $6,261.05
25 Nutanix CNS-INF-A-SVCDEP-ONP-AHVService, Infrastructure Deployment - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased,
deployment is limited to 1 node. A maximum of 64 nodes
distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a
3 5.84884 $3,238.80 $9,716.40
26 Nutanix CNS-INF-A-SVC-EXPONP-AHVService, Infrastructure Expansion - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased, expansion is limited to 1 node. A maximum of 64 nodes distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a s 2 5.84875 $4,519.26 $9,038.52
27 Nutanix CNS-INF-A-SVC-MIGVMS-VIRTService, Virtual Machine Migration with Virtual Delivery. For each purchased, migration of all VM packs is limited to a single migration event and each pack is limited to migration of 5VMs or 2.5TiB of total data.
2 5.84887 $3,525.96 $7,051.92
28 Veeam
Software
P-ADVVUL-0I-SU5YP00 VEEAM DATA PLATFORM ADVANCED UNIVERSAL SUBSCRIPTION LICENSE. INCLUDES ENTERPRISE PLUS
EDITION FEATURES. 10 INSTANCE PACK. 5 YEARS
2 7.06126 $7,904.44 $15,808.88
29 APC by
Schneider
Electric
SRT6KRMXLT APC Smart-UPS On-Line, 6kVA/6kW, Rackmount 4U, 208V, 2x L6-20R+3x L6-30R NEMA outlets, Network
Card+SmartSlot, Extended runtime, W/ rail kit - 3 years warranty
2 35.71593 $8,273.36 $16,546.72

9.F.

00091740.2
Exhibit B – Compensation
Page | 3
30 APC by
Schneider
Electric
AP7811B SCHNEIDER ELECTRIC AP7811B - Power Distribution Unit - Rack-Mountable - Input Voltage: 200 V/208 V/230 V - Input Connector(s): NEMA L6-30P - Output Connector(s): 12 IEC 60320 C13; 4 IEC 60320 C19 - 30A - FCC Part 15 class A, ICES-003, UL 60950 - 2 years r
2 34.99111 $1,170.16 $2,340.32
31 Hewlett Packard
Enterprise
JL624A#ABA HPE Aruba 8325-48Y8C - Switch - L3 - managed - 48 x 10/25 Gigabit SFP+ / SFP28 + 8 x 40/100 Gigabit QSFP+ / QSFP28 - front to back airflow - rack-mountable - TAA
Compliant
1 31.92965 $34,291.80 $34,291.80
32 Hewlett Packard
Enterprise
HC7H8E HPE Foundation Care 4-Hour Exchange Service - Extended service agreement - replacement - 5 years - shipment - 24x7 - response time: 4 h - for P/N: JL624A, JL624AR,
JL624AR#ABA, JL625A, JL625AR, JL625AR#ABA, JL857A,
JL858A
1 11.44718 $15,632.23 $15,632.23
33 Hewlett Packard
Enterprise
JL482C HPE Aruba X472 2-post Rack Kit - Switch mounting kit - 2- post - rack mountable
1 27.25197 $92.39 $92.39
34 Hewlett Packard
Enterprise
J9150D HPE Networking Instant On - SFP+ transceiver module - 10GbE - 10GBase-SR - SFP+ / LC multi-mode - up to 300 m - for HPE Aruba 2930F 12, 2930M 40, 6200F 12, 6200M 24, 6300, 6405 48, 6405 96, 64XX; CX 8360
6 19.43948 $1,171.35 $7,028.10
35 Hewlett Packard
Enterprise
JL484A HPE Aruba - SFP28 transceiver module - 25 Gigabit Ethernet - 25GBase-SR - LC multi-mode - up to 100 m - for HPE
Aruba 8325-48Y8C; CX 8360-12C V2, 8360-16Y2C V2
10 28.28522 $1,038.43 $10,384.30
36 Hewlett Packard
Enterprise
JL448A HPE Aruba X2C2 Console Cable - Network cable - RJ-45 (M) to DB-9 (F) - for FlexNetwork 5510 24, 5510 48; HPE Aruba 2530, 2930M 24, 2930M 48, 3810M 24, 3810M 48, 8325
1 27.25114 $159.32 $159.32
Subtotal $441,931.90
Shipping $2,000.00
*Tax $20,013.49
Total $463,945.39

9.F.

EXHIBIT “C”

INSURANCE
(A)INSURANCE REQUIREMENTS. Consultant shall provide and maintain insurance, acceptable to the City, in full force and effect throughout the Term of this Agreement, against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Services by Consultant, its agents, representatives or employees.

Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII. Consultant shall provide the following scope and limits of insurance:

1. MINIMUM SCOPE OF INSURANCE. Consultant shall maintain the following types and limits of insurance.

2. MINIMUM LIMITS OF INSURANCE.

GENERAL LIABILITY INSURANCE. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.

AUTOMOBILE LIABILITY INSURANCE. Consultant shall maintain automobile liability insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Services to be performed under this Agreement, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $2,000,000 combined single limit for each accident.

Consultant shall provide City with certificate of insurance and endorsements evidencing such coverage prior to commencing work under this Agreement. City, its officers, officials, employees, agents, and volunteers shall be named as additional insureds under such policy.

WORKERS’ COMPENSATION INSURANCE. Consultant shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000 per accident, $1,000,000 per employee for disease, and $1,000,000 policy limit for disease).

Consultant shall submit to City, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of City, its officers, agents, employees, and volunteers.

UMBRELLA OR EXCESS LIABILITY INSURANCE. [Optional depending on limits required]. As an option to meet the limits of insurance required by this Agreement, Consultant may obtain and maintain an umbrella or excess liability insurance policy with limits that will provide bodily injury, personal injury and property damage liability coverage at least as broad as the primary coverages set forth above, including commercial general liability, automobile liability, and employer’s liability. Such policy or policies shall include the following terms and conditions:

9.F.

1. A drop-down feature requiring the policy to respond if any primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason;

2. Pay on behalf of wording as opposed to reimbursement;

3. Concurrency of effective dates with primary policies;

4. Policies shall “follow form” to the underlying primary policies; and

5. Insureds under primary policies shall also be insureds under the umbrella or excess policies.
(B) OTHER PROVISIONS. Each insurance policy required by this Agreement shall be endorsed to state the coverage shall not be suspended, voided, canceled by the insurer reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to City. If the insurer provides notice of nonrenewal, such notice shall be provided to City at least thirty (30) days prior to the policy expiration date. Notwithstanding the foregoing, notice of cancellation for non-payment of premium may be provided with ten (10) days’ notice in accordance with California Insurance Code Section 677.4.
(C) OTHER REQUIREMENTS. Consultant agrees to deposit with City, at or before the effective date of this Agreement, certificates of insurance necessary to satisfy City that the insurance provisions of this contract have been complied with. The City Attorney may require that Consultant furnish City with copies of original endorsements effecting coverage required by this Section. The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. City reserves the right to inspect complete, certified copies of all required insurance policies, at any time.

1. Upon request from the City, Consultant shall furnish certificates and endorsements from each subcontractor identical to those Consultant provides.

2. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of City, either the insurer shall reduce or eliminate such deductibles or self-insured retentions with respect to City or its respective elected or appointed officers, officials, employees, and volunteers or the Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration, defense expenses and claims.

3. The procuring of such required policy or policies of insurance shall not be construed to limit Consultant’s liability hereunder nor to fulfill the indemnification provisions and requirements of this Agreement.

4. Coverage provided by Consultant shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it. The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance.

9.F.

Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non-contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.

5. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Consultant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Consultant hereby waives its own right of recovery against City, and shall require similar written express waivers and insurance clauses from each of its sub consultants.

6. General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies.

9.F.

Pricing Proposal
Quotation #: 27197502
Created On: 2/20/2026
Valid Until: 3/20/2026
CA-City of Hemet Inside Account Executive
Scott Underwood
445 E. Florida Ave
Hemet, CA 92543
United States
Phone: 9517652348
Fax: (951) 765-2336
Email: [email protected]
Alex Coleman
290 Davidson Ave.

Somerset, NJ 08873
Phone: 732-667-2788
Email: [email protected]
All Prices are in US Dollar (USD)
Product Qty Your Price Total
1 24/7 Production Level HW Support for Nutanix HCI appliance Nutanix - Part#: S-HW-PRD
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
3 $5,982.10 $17,946.30
2 Support Term in Months
Nutanix - Part#: SUPPORT-TERM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
60 $0.00 $0.00
3 24/7 Production Level HW Support for Nutanix HCI appliance Nutanix - Part#: S-HW-PRD
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
2 $2,212.97 $4,425.94
4 Support Term in Months
Nutanix - Part#: SUPPORT-TERM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
60 $0.00 $0.00
5 Platform Integration Fee
Nutanix - Part#: PLATFORM INTEGRATION
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
1 $0.00 $0.00

9.F.

6 Platform Integration Fee
Nutanix - Part#: PLATFORM INTEGRATION
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
1 $0.00 $0.00
7 NX-8155AS-G10, 1 Node; 1x AMD EPYC A9255 processor (3.2GHz/ 24-core/ 200W, Turin) per node
Nutanix - Part#: NX-8155AS-G10-A9255-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
3 $10,601.87 $31,805.61
8 64GB Memory Module (6400MHz DDR5 RDM)
Nutanix - Part#: C-MEM-64GB-6400-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
12 $874.61 $10,495.32
9 15.36 TB NVMe SSD - PCIe Gen5 (U.2)
Nutanix - Part#: C-NVM-15.36TB-AB1A-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
24 $3,239.66 $77,751.84
10 LOM Module: SMC 10GbE 2-port Base-T & 2-port SFP+ NIC Intel X710 Nutanix - Part#: C-LOM-10G2B1BT-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
3 $514.97 $1,544.91
11 Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included Nutanix - Part#: C-NIC-25G2A2-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
6 $524.12 $3,144.72
12 C13/C14, 15A, 4ft Power cord
Nutanix - Part#: C-PWR-4FC13C14B-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
6 $15.10 $90.60
13 TPM 2.0 Module Unprovisioned
Nutanix - Part#: C-TPM-2.0-U-C-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
3 $70.35 $211.05
14 NX-1175S-G10, 1 Node; 1x Intel Xeon 6527P processor (3.0 GHz/24-core/ 255W, Granite Rapids SP) per node
Nutanix - Part#: NX-1175S-G10-6527P-CM
2 $8,037.59 $16,075.18

9.F.

Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
15 64GB Memory Module (6400MHz DDR5 RDM)
Nutanix - Part#: C-MEM-64GB-6400-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
8 $874.61 $6,996.88
16 7.68 TB NVMe SSD - PCIe Gen5 (U.2)
Nutanix - Part#: C-NVM-7.68TB-AB1A-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
4 $1,623.00 $6,492.00
17 Mellanox 25/10GbE, 2-port, NIC (Mellanox CX6);transceiver not included Nutanix - Part#: C-NIC-25G2A2-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
2 $524.12 $1,048.24
18 C13/C14, 10A, 4ft Power cord
Nutanix - Part#: C-PWR-4FC13C14A-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
4 $21.40 $85.60
19 TPM 2.0 Module Unprovisioned
Nutanix - Part#: C-TPM-2.0-U-C-CM
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HARDWARE
2 $70.35 $140.70
20 Subscription, Nutanix Unified Storage (NUS) Starter Software License & Production Software Support Service for 1 TiB of data stored
Nutanix - Part#: SW-NUS-STR-PR
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
73 $656.26 $47,906.98
21 Term in months
Nutanix - Part#: TERM-MONTHS
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
64 $0.00 $0.00
22 Subscription, Nutanix Cloud Infrastructure (NCI) Pro Software License & Production Software Support Service for 1 CPU Core
Nutanix - Part#: SW-NCI-PRO-PR
Contract Name: OMNIA Partners IT Solutions, Products & Services 48 $1,696.21 $81,418.08

9.F.

Contract #: 2024056-02
Note: SOFTWARE
23 Term in months
Nutanix - Part#: TERM-MONTHS
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
64 $0.00 $0.00
24 Service, Nutanix Unified Storage Deployment Essential Edition for Objects Nutanix - Part#: CNS-NUS-A-SVC-DEP-ESS-OBJ
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
1 $6,261.05 $6,261.05
25 Service, Infrastructure Deployment - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased, deployment is limited to 1 node. A maximum of 64 nodes distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a Nutanix - Part#: CNS-INF-A-SVC-DEP-ONP-AHV
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
3 $3,238.80 $9,716.40
26 Service, Infrastructure Expansion - On-Premises NCI Cluster - Nutanix AHV. For each quantity purchased, expansion is limited to 1 node. A maximum of 64 nodes distributed in up to 4 on-premises NCI clusters of a single hypervisor type at a s Nutanix - Part#: CNS-INF-A-SVC-EXP-ONP-AHV
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
2 $4,519.26 $9,038.52
27 Service, Virtual Machine Migration with Virtual Delivery. For each purchased, migration of all VM packs is limited to a single migration event and each pack is limited to migration of 5VMs or 2.5TiB of total data.

Nutanix - Part#: CNS-INF-A-SVC-MIG-VMS-VIRT
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: SOFTWARE
2 $3,525.96 $7,051.92
28 VEEAM DATA PLATFORM ADVANCED UNIVERSAL SUBSCRIPTION LICENSE.

INCLUDES ENTERPRISE PLUS EDITION FEATURES. 10 INSTANCE PACK. 5 YEARS
Veeam Software - Part#: P-ADVVUL-0I-SU5YP-00
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: VEEAM
2 $7,904.44 $15,808.88
29 APC Smart-UPS On-Line, 6kVA/6kW, Rackmount 4U, 208V, 2x L6-20R+3x L6-30R NEMA outlets, Network Card+SmartSlot, Extended runtime, W/ rail kit - 3 years warranty
APC by Schneider Electric - Part#: SRT6KRMXLT
Contract Name: OMNIA Partners IT Solutions, Products & Services 2 $8,273.36 $16,546.72

9.F.

Contract #: 2024056-02
Note: APC
30 SCHNEIDER ELECTRIC AP7811B - Power Distribution Unit - Rack-Mountable - Input Voltage: 200 V/208 V/230 V - Input Connector(s): NEMA L6-30P - Output Connector(s): 12 IEC 60320 C13; 4 IEC 60320 C19 - 30A - FCC Part 15 class A, ICES-003, UL 60950 - 2 years r
APC by Schneider Electric - Part#: AP7811B
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: APC
2 $1,170.16 $2,340.32
31 HPE Aruba 8325-48Y8C - Switch - L3 - managed - 48 x 10/25 Gigabit SFP+ / SFP28 + 8 x 40/100 Gigabit QSFP+ / QSFP28 - front to back airflow - rack-mountable - TAA Compliant
Hewlett Packard Enterprise - Part#: JL624A#ABA
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
1 $34,291.80 $34,291.80
32 HPE Foundation Care 4-Hour Exchange Service - Extended service agreement - replacement - 5 years - shipment - 24x7 - response time: 4 h - for P/N: JL624A, JL624AR, JL624AR#ABA, JL625A, JL625AR, JL625AR#ABA, JL857A, JL858A Hewlett Packard Enterprise - Part#: HC7H8E
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
1 $15,632.23 $15,632.23
33 HPE Aruba X472 2-post Rack Kit - Switch mounting kit - 2-post - rack mountable Hewlett Packard Enterprise - Part#: JL482C
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
1 $92.39 $92.39
34 HPE Networking Instant On - SFP+ transceiver module - 10GbE - 10GBase-SR - SFP+ / LC multi-mode - up to 300 m - for HPE Aruba 2930F 12, 2930M 40, 6200F 12, 6200M 24, 6300, 6405 48, 6405 96, 64XX; CX 8360
Hewlett Packard Enterprise - Part#: J9150D
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
6 $1,171.35 $7,028.10
35 HPE Aruba - SFP28 transceiver module - 25 Gigabit Ethernet - 25GBase-SR - LC multi-mode - up to 100 m - for HPE Aruba 8325-48Y8C; CX 8360-12C V2, 8360- 16Y2C V2
Hewlett Packard Enterprise - Part#: JL484A
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
10 $1,038.43 $10,384.30
36 HPE Aruba X2C2 Console Cable - Network cable - RJ-45 (M) to DB-9 (F) - for FlexNetwork 5510 24, 5510 48; HPE Aruba 2530, 2930M 24, 2930M 48, 3810M 24, 3810M 48, 8325
1 $159.32 $159.32

9.F.

Hewlett Packard Enterprise - Part#: JL448A
Contract Name: OMNIA Partners IT Solutions, Products & Services Contract #: 2024056-02
Note: HPE ARUBA
Subtotal $441,931.90
Shipping $2,000.00
*Tax $20,013.49
Total $463,945.39
*Tax is estimated. Invoice will include the full and final tax due.

Additional Comments
Please Note: APC has a zero returns policy.

Due to ongoing global component shortages affecting memory, storage, and other critical hardware, OEMs have implemented updated policies allowing for price adjustments up until the time of shipment. Accordingly, quoted prices and lead times are subject to change prior to shipment. We remain committed to keeping you informed of any changes and will communicate promptly as updates occur.

Please Note: Hewlett Packard Enterprise has a zero returns policy on custom build machines.For these products, orders are noncancellable and non-returnable from point of order.

Veeam has a no returns policy.

Due to ongoing global component shortages affecting memory, storage, and other critical hardware, quoted prices and lead times may fluctuate. We are committed to keeping you informed of any changes as supply conditions evolve.

Due to ongoing global component shortages affecting memory, storage, and other critical PC hardware, quoted prices and lead times may fluctuate. We are committed to keeping you informed of any changes as supply conditions evolve.

Nutanix has a no returns policy.

The following EULA applies to all Nutanix items on this quote:

Your use of the software is subject to the Nutanix customer agreement at https://www.nutanix.com/legal/eula

1. By issuing a purchase order or acknowledging this quote, when applicable, Customer certifies that employees at each of their locations adhere to all applicable export and re-export control laws and regulations covering the distributed products purchased and/or received by the Customer.

2. By issuing a purchase order or acknowledging this quote, and when applicable, Customer understands that the commodities, software and/or technology (“Itemsâ€) it purchases or receives under this quote may be subject to export, re-export, or other restrictions. Customer agrees to comply with all applicable laws and regulations relating to the export and re-export of such Items obtained by Customer.

Thank you for choosing SHI International Corp! The pricing offered on this quote proposal is valid through the expiration date listed above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order. For any additional information including Hardware, Software and Services Contracts, please contact an SHI Inside Sales Representative at (888) 744-4084. SHI International Corp. is 100% Minority Owned, Woman Owned Business. TAX ID# 22-3009648; DUNS# 61-1429481; CCR# 61-243957G; CAGE 1HTF0 Thank you for choosing SHI International Corp! The pricing offered on this quote proposal is valid through the expiration date set above. To ensure the best level of service, please provide End User Name, Phone Number, Email Address and applicable Contract Number when submitting a Purchase Order.

9.F.

SHI International Corp. is 100% Minority Owned, Woman Owned Business.

TAX ID# 22-3009648; DUNS# 61-1429481; CCR# 61-243957G; CAGE 1HTF0 The products offered under this proposal are resold in accordance with the terms and conditions of the Contract referenced under that applicable line item.

9.F.

City of Hemet
City Council Meeting

STAFF REPORT
Meeting: City Council Meeting - Mar 10 2026
Department: Administration
Submitted by: Mark Prestwich, City Manager
Tiffany Barnett, Administrative Services Director;
☐ Receive and File ☐ Consent Calendar ☒ Business Item ☐ Public Hearing TITLE:

Consideration of Allocations for Program Year 2026 Community Development Block Grant Funding RECOMMENDED ACTION:

It is respectfully recommended that the City Council:

Review, discuss and confirm the City Council Ad Hoc Committee's recommended allocations of the Community Development Block Grant (CDBG) estimated Program Year 2026 funding in the amount of $894,066.

BACKGROUND:

The City of Hemet is an entitlement city of the Community Development Block Grant (CDBG) program and, as such, receives annual grants on a formula basis from the U.S. Department of Housing and Urban Development (HUD). The purpose of the CDBG program is to carry out a wide range of community development activities directed toward revitalizing neighborhoods, economic development, and providing improved community facilities and services, with maximum feasible priority given to activities benefiting low and moderate-income persons. The City is responsible for developing its own programs and funding priorities within CDBG and HUD requirements, as well as monitoring sub-recipients of the funds awarded under this grant.

During this year's annual CDBG funding process, the City received 17 applications requesting over $1.7 million in grant funds from City of Hemet Departments (4) and non-profit agencies (13). The City Administration and Planning of CDBG activities does not require an application. All applications were reviewed to ensure HUD's established criteria were met.

On February 9, 2026, the City Council Ad Hoc Committee (Ad Hoc), comprised of Mayor Pro Tem Joe Males and Council Member Connie Howard-Clark, reviewed applications with City Staff and a consultant from the Ramsay Group to provide funding recommendations for full Council consideration. On February 23, 2026, the group visited High Expectations Development to gain clarity on their operations and funding request.

10.A.

The Annual Action Plan (AAP) is a short-range (one-year) planning document that addresses the City’s annual needs, goals, and objectives by allocating funds to eligible activities. CDBG allocation funding for Program Year 2026 will be incorporated into the AAP draft. The AAP draft will be available for 30 days for public review and comment prior to a City Council Public Hearing, tentatively scheduled for April 14, 2026, before final approval and submission to HUD. The final AAP must be submitted to HUD no later than May 15, 2026.

ANALYSIS:

At the time of the Ad Hoc Committee funding allocations, the HUD CDBG entitlement allocations had not been announced to Grantees due to the federal budget not being approved yet. These allocations are estimates and may be increased or decreased based on the published 2026 CDBG grant allocation from HUD.

DISCUSSION:

The City's CDBG Ad Hoc Committee met on February 9, 2026, to discuss the Program Year 2026 CDBG funding allocations. The Ad Hoc Committee was provided with a list of the applicants and their requested funding (Attachment 1). The applications are sorted by project type into three categories:

Administration, Public Services, and Economic Development / Housing / Public Facilities.

ADMINISTRATION
HUD guidelines allow for a maximum of 20% of a program year's funding to be allocated for CDBG administration. The estimated allocation for Administration in Program Year 2026 is $178,766. The committee recommends splitting this amount between the Fair Housing Council of Riverside ($49,000) and the City of Hemet Administrative Services ($129,766). It is further recommended that the allocation to the City of Hemet change if the final allocation from HUD changes from the estimate of $894,066.

PUBLIC SERVICES
HUD guidelines allow for a maximum of 15% of a program year's funding to be allocated for Public Services. The estimated allowance for Public Services in Program Year 2026 is $134,000, and there are twelve (12) applicants seeking funding.

The committee prioritized supporting youth-based services. Additionally, because of the limited funding in this category, the committee recommends aiding activities for agencies that do not receive a lot of assistance from other organizations/governments. Eight activities were selected for funding based on these criteria.

It is further recommended that if the final allocation from HUD changes from the estimate of $894,066, then the change will be applied evenly across all activities (rounded to the nearest hundred, with the difference going to Police Explorers).

ECONOMIC DEVELOPMENT AND HOUSING/PUBLIC FACILITIES
There is no funding cap for this category. The estimated allocation for Economic Development and Housing/Public Facility projects in Program Year 2026 is $581,300. In addition, any unexpended funds from prior program years resulting from canceled or completed projects are restricted for use within this category. The City does not plan to utilize prior-year unexpended funds during Program Year 2026, as a substantial amount was allocated in Program Year 2025. Staff will assess any

10.A.

remaining balances upon completion of those projects and anticipate programming eligible unused funds in Program Year 2027.

The Ad Hoc Committee recommends funding two of the four proposed activities, allocating the larger share ($389,589) to the Accessible Sidewalks and ADA Ramps project administered by the City’s Public Works Department, and the remaining $191,711 to the Senior Citizen and/or Disabled Home Repair Program administered by the City’s Community Development Department. Public Works submitted two sidewalk project applications (Acacia and Charlton), but advised the Committee that completing one project in full would be more effective than partially funding two. The recommended allocation will complete the Acacia sidewalk project, which began with prior-year CDBG funding but remains unfinished due to insufficient funds. Public Works identified $389,589 as the amount required to fully complete this project. The remaining balance is recommended for the Home Repair Program, which provides health and safety–related repairs for senior and disabled households. Although this program has an extensive waitlist, it did receive substantial funding in Program Year 2025.

It is further recommended that if the final allocation from HUD changes from the estimate of $894,066, then the change will be applied to the Senior Citizen and/or Disabled Home Repair Program.

SUMMARY
The funding recommendations presented in Attachment 1 are a result of furthering the City's Strategic Plan goals using the City of Hemet's estimated Program Year 2026 CDBG Allocation of $894,066.

The HUD allocation of $894,066 is an estimate based on the Program Year 2025 funding of $894,066. Once the 2026 allocation is published, the distribution to sub-recipients will either increase or decrease based on the recommendations above.

The Council is being asked to consider the Ad Hoc Committee's funding recommendation, approve the recommendations as presented, provide alternatives, or request the Ad Hoc Committee provide a revised CDBG funding recommendation based on Council feedback.

STRATEGIC PLAN INTEGRATION:

GOAL ONE: QUALITY OF LIFE:

To ensure that Hemet is safe, clean, attractive and comfortable for all who live, work, and visit.

The proposed action aligns with Council Adopted Objective under Quality of Life.

Objective 1: Enhance the visual appearance of the community to make it attractive and reduce blight.

Objective 2: Explore and implement homelessness solutions for the City of Hemet.

GOAL THREE: COMMUNITY ENGAGEMENT
To connect and participate in a constant dialogue between members of the community, City staff, and elected officials to promote togetherness and positivity.

The proposed action aligns with Council Adopted Objective under Community Engagement.

Objective 3: Increase the community's pride within the City.

GOAL FOUR: PARTNERSHIP & COLLABORATION
To pursue partnerships that will increase the opportunities available to the community, including our businesses, unemployed, and youth populations.

The proposed action aligns with Council Adopted Objective under Partnership and Collaboration.

Objective 1: Develop concepts and programs to increase opportunities for youth recreation.

Objective 2: Develop concepts and programs to enhance the quality of life services.

Objective 3: Develop programs to offer support to the community's businesses

10.A.

FISCAL IMPACT:

The attachment to this report summarizes the Ad Hoc funding recommendations.

ALTERNATIVE(S):

The City Council may choose not to approve these recommendations and consider adjustments to recommended funding levels.

ATTACHMENT(S):

Attachment 1: CDBG Program Year 2026 Recommended Allocations

10.A.

CDBG PROGRAM YEAR 2026 RECOMMENDED ALLOCATION
Organization Name Program/Project Name Project Type Staff Recommended
Amount
Requested
Ramsay
Recommendation
Ad Hoc
Recommended
Fair Housing Fair Housing Administration Yes 49,000 49,000 49,000 COH Administration Admin/Planning Administration Yes 129,766 129,766 129,766 Black Voices of the Valley Job Shadowing & Mentorship Public Service No 50,000 - - COH Police Department Police Explorers Post 910 Public Service Yes 15,000 15,000 15,000 Green Coalition of San Jacinto Valley Juanita Street Public Service No 80,000 - - High Expectation Development Corp Housing Services Public Service Yes 60,000 22,500 15,000 Mrs. B's Table Essential Support & Stability Services Public Service No 15,000 - - Tatis Tots Generation of Breakout Fit Foundation Breakout Wellness Project Public Service Yes 10,000 10,000 - Together on Disabilities Kevi 10 Sponsors 30/3 Day Activity Camp Public Service Yes 15,000 15,000 15,000 Valley Resource Center dba EXCEED Art in the Park Public Service Yes 21,000 15,000 10,000 Valley Restart Shelter Valley Restart Shelter Public Service Yes 47,250 22,500 22,500 Valley-Wide Recreation and Park District Youth Scholarship Program Public Service Yes 10,000 10,000 10,000 Voices for Children Court Appointed Special Advocate (CASA) Program Public Service Yes 12,000 12,000 12,500 Youth for Truth International dba My City Youth Community Food Program Public Service Yes 40,000 12,000 34,000 COH Community Development Senior Home Repair and ADA Housing Program Housing/Public Facilities Yes 570,000 191,711 191,711 COH Public Works Department Accessible Sidewalks & ADA Ramps (Charlton) Housing/Public Facilities No 400,864 - COH Public Works Department Accessible Sidewalks & ADA Ramps (Acacia) Housing/Public Facilities Yes 278,589 389,589 389,589 The Rose of Sharon 7 Divine Intervention Recovery Housing/Public Facilities No 100,000 - 1,903,469 894,066 894,066
Project Type
Estimated
Program Year 2026
HUD Allocation
Prior Program Year
Rollover Funding
Total Funding
to Allocate
Administration 178,766 - 178,766
Public Services 134,000 - 134,000
Econ Dev/Housing/Pub Fac 581,300 - 581,300
Total 894,066 - 894,066
NOTES:

1. Administration - Limited to 20% of Estimated Program Year HUD Allocation. Prior year funds are not allowed to allocate to this project type. ▪ Fair Housing is considered an administrative program. The remaining allocation is used to fund the City of Hemet's administration of the CDBG program. ▪ When the final amount of the Program Year 2026 allocation is determined by HUD, the changes will be made in the City of Hemet Administration.

2. Economic Development/Housing/Public Facilities - No allocation limit. Prior year funds are only allowed to allocate to these project types. ▪ The Ad Hoc Committee's priority for these funds is to help Hemet's Seniors, Disabled, and Veterans. ▪ When the final amount of the Program Year 2026 allocation is determined by HUD, any increase or decrease will go to the Senior/ADA Home Rehabilitation

3. Public Services - Limited to 15% of Estimated Program Year HUD Allocation. Prior year funds are not allowed to allocate to this project type. ▪ The Ad Hoc Committee's priority for these funds is youth based services. ▪ The agencies with no allocations were identified as receiving support from other groups/governments. ▪ When the final amount of the Program Year 2026 allocation is determined by HUD, the changes will equally distribute among the programs (rounded to the nearest hundredth, with the difference going to Police).

10.A.

From: Bernardino Chavez
To: City Clerk Staff
Date: Thursday, March 5, 2026 1:41:55 PM
Warning: This email originated from outside the City of Hemet. Think before you click!
I support the Hemet warehouse program.

From: George Hague
To: City Clerk Staff
Cc: Monique Alaniz-Flejter
Subject: Thoughts on the the proposed Revised Simpson warehouse Date: Tuesday, March 10, 2026 1:05:55 AM
Warning: This email originated from outside the City of Hemet. Think before you click!
Good morning Hemet council member ,
More and more warehouses are reducing their workforce because of automation, robotics and AI. Some are even transitioning into “Dark Warehouses” which means they can turn off lights because they have no workers on some shifts. PLEASE DO NOT ACCEPT Simpson Warehouse developer PROMISE OF JOBS AND IT IS SAD THAT

UNION WORKERS ARE WANTING JOBS FOR A FEW MONTHS IN EXCHANGE FOR PUTING FAMIES HEALTH AT RISK FOR YEARS/DECADES.

THE PROJECT WILL ADD 451 DAILY DIESEL TRUCK TRIPS EVERY DAY OR ABOUT 19 TRIPS EVERY HOUR 24 HOURS EVERY DAY = ALMOST ONE TOXIC DIESEL TRUCK EVERY 3 MINUTES 24 HOURS EVER DAY/NIGHT.

DENTY THE REVISED SIMPSON WAREHOUSE
I know the developer of the Revised Simpson Warehouse project is spending money to promise the city many things to influence your vote, but fails to address the following:

The following are Significant Unavoidable Impacts of the 60 foot (six story) tall warehouse that will operate 24 hours a day 7 days a week in the staff report:

Loss of Prime Farmland (Agriculture and Forestry Resources) Exceedance of Greenhouse Gas Emissions thresholds
Significant Noise impacts at nearby sensitive receptors Excessive Vehicle Miles Traveled (VMT) not meeting CEQA thresholds I know based on your background that we cannot keep losing our best farmland if we are going to feed our local and world’s growing population
As Greenhouse Gas Emissions rise so does surface temperatures, more severe storms, increased drought and more frequent wildfires among other problems Significant Noise impacting nearby sensitive receptors like family homes 24 hours/day and 7 days/week This means no one is going to want to build more homes near this warehouse.

Therefore only more warehouses will eventually become its neighbors resulting more of these Significant Unavoidable Impacts. This will probably happen with the project’s Parcels 2 and 3 which are currently being postponed to gain your vote, but their zoning is changed to later accommodate more warehousing.

Too many miles of 80,000 pound toxic Diesel Trucks traveling on and impacting the roads of Hemet’s. These special roads for trucks will need to be made twice as thick at major tax payer expense in the future to handle this project's impacts and all the other warehouses that will eventually be built next to the Simpson warehouse.

The State of California’s CalEnviroScreen 4.0 score for the proposed warehouse's census tract. Shows the following:

The results for each indicator range from 0-100 and represent the percentile ranking
of census tract 6065042723 relative to other census tracts.

Ozone Exposure 91% = means only 9 % of state is worse off to this asthma producing pollution
Asthma 54% = means this area in Hemet has more Asmtha than most of California
Cardiovascular Disease 70% = means only 30% of state has worse cardiovascular disease.

How can you approve a warehouse that will lead to more warehouses adding to even more health problems.

Please vote No on the Revised Simpson warehouse project, Sincerely,
George Hague
P.S. I AM A LIFE LONG AFL-CIO MEMBER - EVEN IN RETIREMENT.

From: Jean Faenza
To: City Clerk Staff
Cc: Jane Halstead
Subject: Public Hearing on 3/10/2026
Date: Monday, March 9, 2026 3:16:19 PM
Attachments: Faenza Pub Hearing Commentary FINAL.pdf
Newland Kirby Edgar.pdf
Warning: This email originated from outside the City of Hemet. Think before you click!
Ms. Halstead:

Please post these two (2) documents as a matter of Public Record for the Public Hearing scheduled for March 10, 2026.

Welcome to our beautiful City of Hemet!
Jean Faenza
Resident
March 10, 2026
Good evening Mayor and Council members:

Tonight’s decision is not simply about approving another warehouse. It is about deciding what kind of city Hemet will become.

The residents of Hemet are not asking for anything extraordinary. →We are asking you to protect the health, safety, and property values of the people who already live here.
→We pay taxes here.
→We live here.
→We raise our families here. Our children and grandchildren go to school here. →We go to church in this valley,
→We support local businesses and contribute to the life of this community. →We are not anti-business.
→We are pro smart development.
→We are pro-environment.
→We are pro-health and safety.
→We are pro-roads and infrastructure that can handle the demands placed upon them. →And most importantly, we are pro-Hemet and its future
Will we remain a community of neighborhoods and families who chose this valley for its quality of life? Or will we become another logistics corridor where massive warehouses and constant diesel truck traffic surround our homes?
The project before you moves Hemet one step closer to that industrial future, and that is why so many residents are here tonight.

Your own City mission states that Hemet should be a model of excellence in local government — a safe, well-planned community with equal opportunity for all.

Your adopted goals emphasize quality of life: a city that is safe, clean, attractive, and comfortable for the people who live, work, and visit here.

Yet the warehouse projects proposed along the Domenigoni Corridor move us in the opposite direction.

Instead of improving quality of life, they introduce heavy truck traffic, noise, pollution, and industrial development directly adjacent to residential communities.

Instead of strengthening the long-term economic future of the city, they risk undermining the stability of the neighborhoods that already support Hemet’s tax base.

And instead of creating a balanced and diversified economy, the logistics warehouse industry brings significant environmental and infrastructure costs.

Council members, this issue is not only about a single project. It is also about consistency with Hemet’s own planning policies.

The City’s General Plan and adopted goals emphasize protecting quality of life, maintaining safe and well-planned neighborhoods, and encouraging balanced economic development.

The Domenigoni Corridor has historically been envisioned as a gateway area for commercial tourism, recreation, and tourism associated with Diamond Valley Lake and the surrounding valley.

Placing massive logistics warehouses immediately adjacent to residential communities moves the corridor away from that vision and toward heavy industrial use.

CEQA Land use compatibility is a fundamental planning principle. Residential neighborhoods and large-scale logistics operations are fundamentally different land uses with very different impacts.

When industrial development begins to surround residential communities, the long-term result is often land-use conflict, declining property values, and pressure for further industrial expansion.

Planning decisions should protect existing neighborhoods, not place them at risk.

For that reason, approving warehouses of this scale in close proximity to more than one thousand two hundred existing homes and many more planned within a short proximity raising serious questions about consistency with the long-term vision established in Hemet’s own planning policies.

The three major issues with this project: environmental impacts, economic impacts, and the longterm character of Hemet.

Environmental impacts.

When we talk about warehouses, we often hear the phrase “jobs, jobs, jobs.” We now know the Kirby project failed our City in regard to jobs.

But the reality residents experience is something very different.

Residents experience roads, roads, roads.

They experience trucks, trucks, trucks.

We experience pollution, pollution, pollution.

We experience noise, vibration, and congestion.

And we worry about their children, their families, and their health.

The warehouse proposed near Simpson and Warren is located extremely close to residential neighborhoods that already exist. Within a short distance are approximately 1,200 homes across the Saddle Point, Solera Diamond Valley, and Morgan Crossing communities.

These homes are not industrial buffers.

They are neighborhoods where families live, where retirees have invested their life savings, and where people expected to enjoy a safe and peaceful residential environment.

Under the CEQA, land use compatibility is a fundamental issue.

Industrial projects of this scale placed immediately adjacent to residential communities raise serious compatibility concerns.

The Environmental Impact Report itself acknowledges that several impacts from this project remain significant and unavoidable.

These include air quality impacts, noise impacts, traffic congestion, infrastructure degradation, and community character impacts.

When impacts remain significant and unavoidable, CEQA requires decision-makers to carefully weigh whether the benefits of the project truly outweigh the harms to the community.

And that brings us to the issue of air quality.

Logistics warehouses depend on heavy diesel truck traffic.

Diesel trucks emit pollutants including nitrogen oxides and particulate matter that are known to cause respiratory illness, cardiovascular disease, and other serious health problems.

Passenger vehicles do not produce the same levels of these harmful pollutants and do not produce NOx and P2 matters.

Truck traffic does.

The Inland Empire already suffers from some of the worst air quality in the United States, largely due to the concentration of logistics facilities throughout the region.

Approving additional mega-warehouses near residential communities adds to that cumulative burden.

Has the City conducted a cumulative study of planned mega warehouses? These impacts do not fall on abstract statistics.

They fall on real people — the residents of Hemet.

Children whose lungs and immune systems are developing.

They fall on seniors who may already have respiratory or cardiovascular conditions.

They fall on families who moved to this valley believing they were choosing a healthier environment.

ECONOMIC QUESTIONS
Next, we must consider transportation and infrastructure.

We think about the Warren Road Project that the City has $19 million in TUMF assistance. By the time this project is implemented, if approved, this cost will have accelerated.

We think about the aged Warren road bridge that is 30 plus years old and has not been constructed to meet truck traffic of this magnitude.

Heavy truck traffic places enormous stress on local roads. Not to mention the stress on the Warren Bridge. Even when a bridge is structurally sound, repeated heavy truck loads can create engineering, safety and cost impacts that are cited in the FEIR under CEQA.

BRIDGE IMPACTS
Fatigue cracking in bridge girders
Deck deterioration and potholes
Expansion Joint Damage
Increased maintenance cycles.

Reduced lifecycle.

Reduces roadway capacity
Slower Intersection clearing times
Longer signal cycle impacting LOS
Queue spillback across the bridge
TAXPAYERS EPENSE!
Engineering studies consistently show that a single heavy truck can cause as much road damage as thousands of passenger vehicles.

The result is accelerated road wear, increased maintenance costs, and additional infrastructure upgrades.

Typical infrastructure costs can include asphalt overlay projects ranging from four hundred thousand to seven hundred thousand dollars per mile.

Full roadway reconstruction can range from one million to four million dollars per mile.

Intersection reinforcement projects often cost between three hundred thousand and eight hundred thousand dollars.

Traffic signals and truck-turning improvements can cost hundreds of thousands of dollars per intersection.

These costs do not disappear.

They are ultimately paid by the public.

LET’S CONTINUE THE economic question.

Do the financial benefits of the warehouse truly outweigh the costs imposed on the community? The answer is clear. They do not.

Supporters of these projects often focus on tax revenue generated by warehouses.

But that revenue must be compared to the economic value that already exists in the surrounding residential communities.

The 1,200 homes in the Saddle Point, Solera Diamond Valley, and Morgan Crossing communities represent approximately six hundred twenty million dollars in residential property value.

At a one percent property tax rate, that generates roughly six point two million dollars annually in property tax revenue.

Using typical allocation formulas, the city receives a portion of that revenue while the remainder supports schools, county services, and regional infrastructure, 17% , per the City Atty.

These communities also contribute additional funding through Mello-Roos and other assessments that support infrastructure in the valley.

When residents shop locally, dine in local restaurants, and support local businesses, they further strengthen Hemet’s economy.

But research consistently shows that residential property values near large logistics warehouses often decline.

Studies across California indicate that homes located near major industrial facilities may experience value reductions ranging from five percent to fifteen percent due to increased traffic, noise, and pollution.

Those impacts are particularly pronounced here in the Inland Empire.

If property values decline in these neighborhoods, the economic consequences extend far beyond individual homeowners.

Lower property values mean reduced long-term tax revenue and diminished community investment.

At the same time, the direct financial benefit of a single warehouse may be relatively modest.

The financial impact provided by EPD as first proposed, $1.1 million square feet stated the net annual revenue to the city from such a project may be in the range of two hundred thousand dollars That raises a fundamental question.

Is it worth exposing more than six hundred million dollars in residential property value to potential decline in exchange for that level of revenue?
That is a serious economic risk that deserves careful consideration.

Now let us also consider employment.

It is often assumed that warehouses create large numbers of stable, high-quality jobs.

However, the logistics industry is rapidly changing.

The number of permanent jobs created by modern logistics facilities is significantly lower than many people expect. At the meeting in July it was shared that the 800 predicted jobs were 400 f/t equivalent. Kirby isn’t performing at its underwritten level of employment. In fact, it looks minimal.

Trucker drivers are owner/operators, not Rialto employees.

Logistics is declining in employment due to automation, robotics, and artificial intelligence are increasingly replacing traditional warehouse labor.

Meanwhile, other economic sectors — including healthcare, technology, and education — offer the potential for higher wages, stronger career growth, and more stable long-term economic development.

Experts from organizations (those that the Council have filed and received) including regional planning groups and academic researchers have repeatedly encouraged Hemet to pursue these diversified sectors.

Those sectors generate greater long-term economic resilience and opportunity. They could spur generational wealth that Hemet has not witnessed in a few generations.

Character and identity of Hemet itself.

The Domenigoni Corridor has long been envisioned as a gateway to recreational destinations and tourism opportunities connected to Diamond Valley Lake and the surrounding natural landscape.

A Massive logistic warehouse will fundamentally change that vision.

A building sixty feet tall covering hundreds of thousands of square feet is not simply another commercial structure.

Nearby homes are typically twenty feet tall for single-story houses and perhaps thirty feet for twostory homes.

A sixty-foot warehouse towers over those homes.

Because the valley is relatively flat, structures of this scale can be visible from long distances across the landscape.

Instead of scenic views and open space, residents and visitors may see a wall of an industrial building dominating the corridor.

Noise from truck traffic, loading operations, and constant vehicle movement further changes the environment.

Vibration, lighting, and operational noise become part of daily life for nearby residents.

These are not temporary impacts.

Once a warehouse of this scale is built, it remains part of the landscape for decades.

The decision made tonight will shape the future character of Hemet for generations.

CONCLUSION AND SUMMARY….

And that brings us to the most important point. The Newland Simpson Project does not, categorically, “check all the boxes” as suggested by my Councilmember.

It fails CEQA on several points; it requires 4 approvals outside of the City of Hemet’s policies. If the proposed tenant Rialto remains, it too will fail the City in regard to jobs promised as has the Newland Kirby project.

You have the opportunity tonight to choose a different path — a path that protects residential neighborhoods, strengthens long-term economic development, and preserves the quality of life that makes this valley special.

I respectfully urge you to put the residents of Hemet first and reject this project for a third time.

Thank you for your time.

Jean Faenza, resident
JmFl
Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 23 Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 24 Mortgage Loan No. 2 – Kirby Industrial
Mortgage Loan Information Property Information
Mortgage Loan Seller: CREFI, AREF2 Single Asset/Portfolio: Single Asset Credit Assessment (Fitch/S&P/MDBRS): NR/NR/NR Location: Hemet, CA 92545 Original Balance(1): $71,000,000 General Property Type: Industrial Cut-off Date Balance(1): $71,000,000 Detailed Property Type: Warehouse/Distribution % of Initial Pool Balance: 9.3% Title Vesting: Fee
Loan Purpose: Refinance Year Built/Renovated: 2025/NAP
Borrower Sponsors(2): Various Size: 850,640 SF
Guarantors(2): Various Cut-off Date Balance PSF(1): $120 Mortgage Rate: 6.7500% Maturity Date Balance PSF(1): $120 Note Date: 1/29/2026 Property Manager: Newland Investment Management Maturity Date: 2/6/2031 Services LLC (borrower-related) Term to Maturity: 60 months Underwriting and Financial Information Amortization Term: 0 months UW NOI: $9,428,789
IO Period: 60 months UW NCF: $8,918,405
Seasoning: 1 month UW NOI Debt Yield(1): 9.2%
Prepayment Provisions(3): L(25),D(28),O(7) UW NCF Debt Yield(1): 8.7% Lockbox/Cash Mgmt Status: Hard/Springing UW NOI Debt Yield at Maturity(1): 9.2% Additional Debt Type(1): Pari Passu UW NCF DSCR(1): 1.28x Additional Debt Balance(1): $31,000,000 Most Recent NOI(6): NAV Future Debt Permitted (Type): No (NAP) 2nd Most Recent NOI(6): NAV Reserves(4) 3rd Most Recent NOI(6): NAV
Type Initial Monthly Cap Most Recent Occupancy(6): 100.0% (3/6/2026) RE Taxes: $797,094 $132,849 NAP 2nd Most Recent Occupancy(6): NAV Insurance: $369,841 $52,834 NAP 3rd Most Recent Occupancy(6): NAV Replacement Reserve: $0 $7,089 NAP Appraised Value (as of)(7): $173,000,000 (11/12/2025) TI/LC Reserve: $0 $35,443 NAP Appraised Value PSF: $203 Other Reserves(5): $3,851,294 Springing NAP Cut-off Date LTV Ratio(1): 59.0% Maturity Date LTV Ratio(1): 59.0%
Sources and Uses
Sources Proceeds % of Total Uses Proceeds % of Total
Whole Loan Amount: $102,000,000 100.0% Loan Payoff: $92,036,855 90.2% Upfront Reserves: $5,018,228 4.9%
Closing Costs: $2,945,502 2.9%
Sponsor Equity: $1,999,415 2.0%
Total Sources: $102,000,000 100.0% Total Uses: $102,000,000 100.0% (1) The Kirby Industrial Mortgage Loan (as defined below) is part of a whole loan evidenced by five pari passu promissory notes with an aggregate original principal balance of $102,000,000. The information presented above is based on the Kirby Industrial Whole Loan (as defined below). (2) The borrower sponsors and non-recourse carveout guarantors are Ezra Danziger, as Trustee of the E Danziger Family Irrevocable Trust, dated July 15, 2022, Paul Reisz, as Investmen Trustee and General Trustee of the Reisz Family Irrevocable Trust, dated July 15, 2022, Casey Mungo and Stacina Maxine Mungo, as Trustees of the Mungo Family Trust dated Augus 14, 2020, Newland Capital Investments, LLC (“Newland Capital Investments”), O5 LE, LLC (“O5 Group”), Reuben Antebi, Ezra Danziger and Paul Reisz. (3) Defeasance of the Kirby Industrial Whole Loan is permitted at any time after the earlier to occur of (a) the end of the two-year period commencing on the closing date of th securitization of the last promissory note representing a portion of the Kirby Industrial Whole Loan to be securitized and (b) January 29, 2029. The assumed defeasance lockout perio of 25 payments is based on the anticipated closing date of the WFCM 2026-5C8 securitization in March 2026. The actual lockout period may be longer. (4) See the “Escrows and Reserves” section below for further discussion. (5) Initial Other Reserves are comprised of (i) an outstanding construction expenses reserve of approximately $1,979,142, (ii) a security deposit reserve of approximately $1,056,955, and ( a rent abatement reserve of approximately $815,197. Monthly Other Reserves are comprised of a springing construction expenses reserve. See the “Escrows and Reserves” section below for further discussion.
(6) Most recent and historical NOI and historical occupancy information are not available because the Kirby Industrial Property (as defined below) was recently constructed in 2025. (7) The appraisal also concluded to a “hypothetical as stabilized” value of $177,000,000 and a “hypothetical go dark – investor value” of $149,000,000.

The Mortgage Loan. The second largest mortgage loan (the “Kirby Industrial Mortgage Loan”) is part of a whole loan (the “Kirby Industrial Whole Loan”) evidenced by five pari passu promissory notes with an aggregate original principal amount of $102,000,000. The Kirby Industrial Whole Loan was co originated by Citi Real Estate Funding Inc. (“CREFI”) and Argentic Real Estate Finance 2 LLC (“AREF2”). The Kirby Industrial Whole Loan is secured by a first priority mortgage on a fee interest in an industrial warehouse/distribution center totaling 850,640 SF located in Hemet, California (the “Kirby Industrial Property”).

THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 25 26

THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 29 Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
TI/LC Reserve – On each monthly payment date the borrowers are required to deposit an amount equal to 1/12th of the product obtained by multiplyin $0.50 by the aggregate number of rentable SF at the Kirby Industrial Property (initially approximately $35,443) into a reserve for future tena improvements and leasing commissions.

Security Deposit Reserve – In addition to the deposit of the Initial Security Deposit Amount, the borrowers are required to deposit into the security depos account any other security deposits made under leases at the Kirby Industrial Property.

Construction Expenses Reserve – In the event that the Remaining Work is not substantially completed prior to July 29, 2026, the borrowers are required t deposit an amount equal to 125% of the costs to complete the Remaining Work, as determined by the lender, into the construction and remaining wo reserve account.

The “Remaining Work” is construction work at the Kirby Industrial Property identified in a schedule to the related Kirby Industrial Whole Loan agreemen and includes installation of 100 linear feet of storm drain connection, concrete driveway approach, asphalt pavement of approximately 40’ by 60’ in tw separate locations and final inspections and punch list by the City of Hemet. The borrowers have represented that as of the origination date of the Kirb Industrial Whole Loan, the total of the unpaid costs related to the Remaining Work is approximately $417,389.

Lockbox and Cash Management. The Kirby Industrial Whole Loan is structured with a hard lockbox and springing cash management. The borrowers wer required at origination of the Kirby Industrial Whole Loan to deliver direction letters to the sole tenant at the Kirby Industrial Property, 5 Star Kids, directi it to pay rent and other sums due to the lender-controlled lockbox account. Without limiting the foregoing, if the borrowers or property manager recei any rents, they are required to deposit them into the lender-controlled lockbox account within two business days after receipt. All funds deposited into t lockbox account are required to be transferred daily to the borrowers’ operating account unless a Cash Management Period (as defined below) exists, which case all such funds will be required to be swept daily to a cash management account under the control of the lender to be applied and disbursed accordance with the Kirby Industrial Whole Loan documents, and all excess cash flow funds remaining in the cash management account after the application of such funds in accordance with the Kirby Industrial Whole Loan documents are required to be deposited in an excess cash flow reserve account as additional collateral for the Kirby Industrial Whole Loan; provided that so long as no event of default exists; (i) if a Lease Sweep Period continuing, the borrowers will have the right, subject to the lender’s reasonable approval, to reallocate funds from the excess cash flow reserve to the TI/LC reserve, and (ii) at the borrowers’ request, the funds in the excess cash flow reserve account may be applied to pay budgeted monthly expenses and approved additional expenses. Upon the cure of the applicable Cash Management Period, so long as no other Cash Management Period exists, t lender is required to return any amounts remaining on deposit in the excess cash flow reserve account to the borrowers. Upon an event of default under the Kirby Industrial Whole Loan documents, the lender may apply funds to the debt in such priority as it may determine.

A “Cash Management Period” means a period (A) commencing upon the occurrence of any of the following (i) the occurrence and continuance of a event of default under the Kirby Industrial Whole Loan documents, (ii) the commencement of a Lease Sweep Period or (iii) the borrowers failing to deliv to the lender reasonably satisfactory evidence that the Remaining Work has been completed by January 29, 2027; and (B) expiring upon (x) with regard clause (i) above, the cure (if applicable) of such event of default under the Kirby Industrial Whole Loan documents, the lender’s acceptance of such cure (the lender has no obligation to accept a cure of an event of default) and no other event of default has occurred and is continuing, (y) with regard clause (ii) above, the Lease Sweep Period ceasing to exist or (z) with regard to clause (iii) above, the borrowers deliver reasonably satisfactory eviden that the Remaining Work has been completed.

A “Lease Sweep Period” will commence upon the occurrence of any of the following:
(i) any Lease Sweep Lease (as defined below), or any material portion thereof, is surrendered, cancelled or terminated prior to its then curre expiration date (including, without limitation, a rejection of a Lease Sweep Lease in any bankruptcy of similar insolvency proceeding) or an Lease Sweep Lease fails to be in full force and effect; (ii) any tenant under a Lease Sweep Lease gives written notice of its intention to terminate, surrender or cancel its Lease Sweep Lease (or an material portion thereof);
(iii) any tenant under a Lease Sweep Lease fails to operate in and be in actual, physical possession of the space demised under the Lease Swee Lease (unless such portion of the premises is being renovated and/or repaired, with the tenant planning to re-occupy upon completion of th same);
(iv) the occurrence of (x) a monetary default under any Lease Sweep Lease by the applicable tenant beyond any applicable notice and cu periods or (y) a material non-monetary default under any Lease Sweep Lease by the applicable tenant beyond any applicable notice and cu periods and such material non-monetary default would permit the borrowers to terminate the Lease Sweep Lease; (v) the occurrence of certain bankruptcy or insolvency events with respect to a tenant under a Lease Sweep Lease, its parent entity or its leas guarantor; provided, however, a Lease Sweep Period will not be deemed to commence if such event was caused by or on account of one or mo of the O5 Guarantors (as defined below) that are then a debtor in a bankruptcy proceeding (each, a “BK Lease Guarantor” and collectively, the BK Lease Guarantors”) and (a) such BK Lease Guarantor(s) contributed in the aggregate 10% or less of the O5 Lease Guarantor EBITDA (as define below) , calculated as of the most recent May 31 using trailing 12-month income and trailing 12-month expenses (provided, however, in the eve the initial May 31 during the term of the Kirby Industrial Whole Loan has not yet occurred, such calculation will be based on the financial statements provided to the lender in connection with origination of the Kirby Industrial Whole Loan), (b) the O5 Lease Guarantor EBITDAR Rat (as defined below) is greater than 6.0x, as of the most recent calendar quarter using trailing 12-month income and trailing 12-month expense (c) the O5 Lease Guarantor Debt to EBITDA Ratio (as defined below) is less than 4.0x, as calculated as of the most recent calendar quarter usin trailing 12-month income and trailing 12-month expenses and (d) this was the first occurrence of such a bankruptcy or insolvency event caused by or on account of one or more of the O5 Guarantors;
(vi) the tenant under the 5 Star Lease or any replacement lease failing to be in physical possession of 75% of the rentable SF demised under th 5 Star Lease as of December 31, 2026, as certified in an officer’s certificate delivered by the borrowers; (vii) the failure of the O5 Guarantors to maintain an O5 Lease Guarantor EBITDAR Ratio of 4.0x or greater, as calculated on each May 31 usin trailing 12-month income and trailing 12-month expenses; (viii) the failure of the O5 Guarantors to maintain an O5 Lease Guarantor Debt to EBITDA Ratio equal to or less than 5.50x, as calculated on eac May 31 using trailing 12-month income and trailing 12-month expenses; (ix) at all times from and after February 6, 2030, unless the O5 Guarantors have maintained (x) an O5 Lease Guarantor EBITDAR Ratio of 6.0x greater and (y) an O5 Lease Guarantor Debt to EBITDA Ratio of less than 4.0x, each as calculated as of the most recent calendar quarter usin trailing 12-month income and trailing 12-month expenses; or THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 30 From: Jean Faenza
To: Jane Halstead; City Clerk Staff
Subject: Newland Kirby/Newland Simpson
Date: Monday, March 9, 2026 3:24:02 PM
Attachments: Newland Kirby Edgar.pdf
Warning: This email originated from outside the City of Hemet. Think before you click!
Ms. Halstead:

Please include this email and the attachment in the Public Record for the Newland Simpson Public Hearing scheduled for
March 10, 2026.

Thank you!
Jean Faenza
Resident
---------- Forwarded message ---------
From: Jean Faenza
Date: Mon, Mar 9, 2026, 11:12 AM
Subject: Newland Kirby/Newland Simpson
To: Tom Lodge <[email protected]>
Good morning Councilmember!
This document has been sent to each Councilmember.

We now know the jobs committed to Hemet via the job fair for Newland Kirby we never intended for Rialto Distribution at all.

Newland Simpson is the next Kirby if approved.

As you read in this securities document:

1. Rialto is no longer the tenant having subleased to 5 Kids, LLC.

See The Property and Sole Tenant
section of this document.

2. The securities document also denotes the risk that 5 Kids, LLC may not assume occupancy.

3. What happens to employment and jobs if they DO NOT assume occupancy. NO JOBS AND A VACANT WAREHOUSE! Does our fair City team know about this?

4. Rialto is managing the warehouse management system platform and operational leadership.

5. Ask the question, who do the staff work for? Why has this business not brought the jobs to Hemet? Why the false Job Fair in April of 2025?
Applicants have been saying they get no response to the applications from last year.

6. Rialto utilizes owner/operator trucks. These are contract labor and often park throughout the City.

This ruse about jobs is just that and this City and we, the residents, deserve much more.

The document attached can be found on www.edgar.gov.

Respectfully,
Jean Faenza
Resident
Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 23 Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 24 Mortgage Loan No. 2 – Kirby Industrial
Mortgage Loan Information Property Information
Mortgage Loan Seller: CREFI, AREF2 Single Asset/Portfolio: Single Asset Credit Assessment (Fitch/S&P/MDBRS): NR/NR/NR Location: Hemet, CA 92545 Original Balance(1): $71,000,000 General Property Type: Industrial Cut-off Date Balance(1): $71,000,000 Detailed Property Type: Warehouse/Distribution % of Initial Pool Balance: 9.3% Title Vesting: Fee
Loan Purpose: Refinance Year Built/Renovated: 2025/NAP
Borrower Sponsors(2): Various Size: 850,640 SF
Guarantors(2): Various Cut-off Date Balance PSF(1): $120 Mortgage Rate: 6.7500% Maturity Date Balance PSF(1): $120 Note Date: 1/29/2026 Property Manager: Newland Investment Management Maturity Date: 2/6/2031 Services LLC (borrower-related) Term to Maturity: 60 months Underwriting and Financial Information Amortization Term: 0 months UW NOI: $9,428,789
IO Period: 60 months UW NCF: $8,918,405
Seasoning: 1 month UW NOI Debt Yield(1): 9.2%
Prepayment Provisions(3): L(25),D(28),O(7) UW NCF Debt Yield(1): 8.7% Lockbox/Cash Mgmt Status: Hard/Springing UW NOI Debt Yield at Maturity(1): 9.2% Additional Debt Type(1): Pari Passu UW NCF DSCR(1): 1.28x Additional Debt Balance(1): $31,000,000 Most Recent NOI(6): NAV Future Debt Permitted (Type): No (NAP) 2nd Most Recent NOI(6): NAV Reserves(4) 3rd Most Recent NOI(6): NAV
Type Initial Monthly Cap Most Recent Occupancy(6): 100.0% (3/6/2026) RE Taxes: $797,094 $132,849 NAP 2nd Most Recent Occupancy(6): NAV Insurance: $369,841 $52,834 NAP 3rd Most Recent Occupancy(6): NAV Replacement Reserve: $0 $7,089 NAP Appraised Value (as of)(7): $173,000,000 (11/12/2025) TI/LC Reserve: $0 $35,443 NAP Appraised Value PSF: $203 Other Reserves(5): $3,851,294 Springing NAP Cut-off Date LTV Ratio(1): 59.0% Maturity Date LTV Ratio(1): 59.0%
Sources and Uses
Sources Proceeds % of Total Uses Proceeds % of Total
Whole Loan Amount: $102,000,000 100.0% Loan Payoff: $92,036,855 90.2% Upfront Reserves: $5,018,228 4.9%
Closing Costs: $2,945,502 2.9%
Sponsor Equity: $1,999,415 2.0%
Total Sources: $102,000,000 100.0% Total Uses: $102,000,000 100.0% (1) The Kirby Industrial Mortgage Loan (as defined below) is part of a whole loan evidenced by five pari passu promissory notes with an aggregate original principal balance of $102,000,000. The information presented above is based on the Kirby Industrial Whole Loan (as defined below). (2) The borrower sponsors and non-recourse carveout guarantors are Ezra Danziger, as Trustee of the E Danziger Family Irrevocable Trust, dated July 15, 2022, Paul Reisz, as Investmen Trustee and General Trustee of the Reisz Family Irrevocable Trust, dated July 15, 2022, Casey Mungo and Stacina Maxine Mungo, as Trustees of the Mungo Family Trust dated Augus 14, 2020, Newland Capital Investments, LLC (“Newland Capital Investments”), O5 LE, LLC (“O5 Group”), Reuben Antebi, Ezra Danziger and Paul Reisz. (3) Defeasance of the Kirby Industrial Whole Loan is permitted at any time after the earlier to occur of (a) the end of the two-year period commencing on the closing date of th securitization of the last promissory note representing a portion of the Kirby Industrial Whole Loan to be securitized and (b) January 29, 2029. The assumed defeasance lockout perio of 25 payments is based on the anticipated closing date of the WFCM 2026-5C8 securitization in March 2026. The actual lockout period may be longer. (4) See the “Escrows and Reserves” section below for further discussion. (5) Initial Other Reserves are comprised of (i) an outstanding construction expenses reserve of approximately $1,979,142, (ii) a security deposit reserve of approximately $1,056,955, and ( a rent abatement reserve of approximately $815,197. Monthly Other Reserves are comprised of a springing construction expenses reserve. See the “Escrows and Reserves” section below for further discussion.
(6) Most recent and historical NOI and historical occupancy information are not available because the Kirby Industrial Property (as defined below) was recently constructed in 2025. (7) The appraisal also concluded to a “hypothetical as stabilized” value of $177,000,000 and a “hypothetical go dark – investor value” of $149,000,000.

The Mortgage Loan. The second largest mortgage loan (the “Kirby Industrial Mortgage Loan”) is part of a whole loan (the “Kirby Industrial Whole Loan”) evidenced by five pari passu promissory notes with an aggregate original principal amount of $102,000,000. The Kirby Industrial Whole Loan was co originated by Citi Real Estate Funding Inc. (“CREFI”) and Argentic Real Estate Finance 2 LLC (“AREF2”). The Kirby Industrial Whole Loan is secured by a first priority mortgage on a fee interest in an industrial warehouse/distribution center totaling 850,640 SF located in Hemet, California (the “Kirby Industrial Property”).

THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 25 26

THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 29 Industrial – Warehouse/Distribution Loan #2 Cut-off Date Balance: $71,000,000 609 South Kirby Street Kirby Industrial Cut-off Date LTV: 59.0% Hemet, CA 92545 UW NCF DSCR: 1.28x
UW NOI Debt Yield: 9.2%
TI/LC Reserve – On each monthly payment date the borrowers are required to deposit an amount equal to 1/12th of the product obtained by multiplyin $0.50 by the aggregate number of rentable SF at the Kirby Industrial Property (initially approximately $35,443) into a reserve for future tena improvements and leasing commissions.

Security Deposit Reserve – In addition to the deposit of the Initial Security Deposit Amount, the borrowers are required to deposit into the security depos account any other security deposits made under leases at the Kirby Industrial Property.

Construction Expenses Reserve – In the event that the Remaining Work is not substantially completed prior to July 29, 2026, the borrowers are required t deposit an amount equal to 125% of the costs to complete the Remaining Work, as determined by the lender, into the construction and remaining wo reserve account.

The “Remaining Work” is construction work at the Kirby Industrial Property identified in a schedule to the related Kirby Industrial Whole Loan agreemen and includes installation of 100 linear feet of storm drain connection, concrete driveway approach, asphalt pavement of approximately 40’ by 60’ in tw separate locations and final inspections and punch list by the City of Hemet. The borrowers have represented that as of the origination date of the Kirb Industrial Whole Loan, the total of the unpaid costs related to the Remaining Work is approximately $417,389.

Lockbox and Cash Management. The Kirby Industrial Whole Loan is structured with a hard lockbox and springing cash management. The borrowers wer required at origination of the Kirby Industrial Whole Loan to deliver direction letters to the sole tenant at the Kirby Industrial Property, 5 Star Kids, directi it to pay rent and other sums due to the lender-controlled lockbox account. Without limiting the foregoing, if the borrowers or property manager recei any rents, they are required to deposit them into the lender-controlled lockbox account within two business days after receipt. All funds deposited into t lockbox account are required to be transferred daily to the borrowers’ operating account unless a Cash Management Period (as defined below) exists, which case all such funds will be required to be swept daily to a cash management account under the control of the lender to be applied and disbursed accordance with the Kirby Industrial Whole Loan documents, and all excess cash flow funds remaining in the cash management account after the application of such funds in accordance with the Kirby Industrial Whole Loan documents are required to be deposited in an excess cash flow reserve account as additional collateral for the Kirby Industrial Whole Loan; provided that so long as no event of default exists; (i) if a Lease Sweep Period continuing, the borrowers will have the right, subject to the lender’s reasonable approval, to reallocate funds from the excess cash flow reserve to the TI/LC reserve, and (ii) at the borrowers’ request, the funds in the excess cash flow reserve account may be applied to pay budgeted monthly expenses and approved additional expenses. Upon the cure of the applicable Cash Management Period, so long as no other Cash Management Period exists, t lender is required to return any amounts remaining on deposit in the excess cash flow reserve account to the borrowers. Upon an event of default under the Kirby Industrial Whole Loan documents, the lender may apply funds to the debt in such priority as it may determine.

A “Cash Management Period” means a period (A) commencing upon the occurrence of any of the following (i) the occurrence and continuance of a event of default under the Kirby Industrial Whole Loan documents, (ii) the commencement of a Lease Sweep Period or (iii) the borrowers failing to deliv to the lender reasonably satisfactory evidence that the Remaining Work has been completed by January 29, 2027; and (B) expiring upon (x) with regard clause (i) above, the cure (if applicable) of such event of default under the Kirby Industrial Whole Loan documents, the lender’s acceptance of such cure (the lender has no obligation to accept a cure of an event of default) and no other event of default has occurred and is continuing, (y) with regard clause (ii) above, the Lease Sweep Period ceasing to exist or (z) with regard to clause (iii) above, the borrowers deliver reasonably satisfactory eviden that the Remaining Work has been completed.

A “Lease Sweep Period” will commence upon the occurrence of any of the following:
(i) any Lease Sweep Lease (as defined below), or any material portion thereof, is surrendered, cancelled or terminated prior to its then curre expiration date (including, without limitation, a rejection of a Lease Sweep Lease in any bankruptcy of similar insolvency proceeding) or an Lease Sweep Lease fails to be in full force and effect; (ii) any tenant under a Lease Sweep Lease gives written notice of its intention to terminate, surrender or cancel its Lease Sweep Lease (or an material portion thereof);
(iii) any tenant under a Lease Sweep Lease fails to operate in and be in actual, physical possession of the space demised under the Lease Swee Lease (unless such portion of the premises is being renovated and/or repaired, with the tenant planning to re-occupy upon completion of th same);
(iv) the occurrence of (x) a monetary default under any Lease Sweep Lease by the applicable tenant beyond any applicable notice and cu periods or (y) a material non-monetary default under any Lease Sweep Lease by the applicable tenant beyond any applicable notice and cu periods and such material non-monetary default would permit the borrowers to terminate the Lease Sweep Lease; (v) the occurrence of certain bankruptcy or insolvency events with respect to a tenant under a Lease Sweep Lease, its parent entity or its leas guarantor; provided, however, a Lease Sweep Period will not be deemed to commence if such event was caused by or on account of one or mo of the O5 Guarantors (as defined below) that are then a debtor in a bankruptcy proceeding (each, a “BK Lease Guarantor” and collectively, the BK Lease Guarantors”) and (a) such BK Lease Guarantor(s) contributed in the aggregate 10% or less of the O5 Lease Guarantor EBITDA (as define below) , calculated as of the most recent May 31 using trailing 12-month income and trailing 12-month expenses (provided, however, in the eve the initial May 31 during the term of the Kirby Industrial Whole Loan has not yet occurred, such calculation will be based on the financial statements provided to the lender in connection with origination of the Kirby Industrial Whole Loan), (b) the O5 Lease Guarantor EBITDAR Rat (as defined below) is greater than 6.0x, as of the most recent calendar quarter using trailing 12-month income and trailing 12-month expense (c) the O5 Lease Guarantor Debt to EBITDA Ratio (as defined below) is less than 4.0x, as calculated as of the most recent calendar quarter usin trailing 12-month income and trailing 12-month expenses and (d) this was the first occurrence of such a bankruptcy or insolvency event caused by or on account of one or more of the O5 Guarantors;
(vi) the tenant under the 5 Star Lease or any replacement lease failing to be in physical possession of 75% of the rentable SF demised under th 5 Star Lease as of December 31, 2026, as certified in an officer’s certificate delivered by the borrowers; (vii) the failure of the O5 Guarantors to maintain an O5 Lease Guarantor EBITDAR Ratio of 4.0x or greater, as calculated on each May 31 usin trailing 12-month income and trailing 12-month expenses; (viii) the failure of the O5 Guarantors to maintain an O5 Lease Guarantor Debt to EBITDA Ratio equal to or less than 5.50x, as calculated on eac May 31 using trailing 12-month income and trailing 12-month expenses; (ix) at all times from and after February 6, 2030, unless the O5 Guarantors have maintained (x) an O5 Lease Guarantor EBITDAR Ratio of 6.0x greater and (y) an O5 Lease Guarantor Debt to EBITDA Ratio of less than 4.0x, each as calculated as of the most recent calendar quarter usin trailing 12-month income and trailing 12-month expenses; or THE INFORMATION IN THIS STRUCTURAL AND COLLATERAL TERM SHEET IS NOT COMPLETE AND MAY BE AMENDED PRIOR TO THE TIME OF SALE. THIS TERM SHEET IS NOT AN OFFER SELL THESE SECURITIES AND IT IS NOT A SOLICITATION OF AN OFFER TO BUY THESE SECURITIES IN ANY JURISDICTION WHERE THE OFFER OR SALE IS NOT PERMITTED. 30 that could not be fully mitigated, and rejecting the EIR (Environmental Impact Report) on the latter date.

Again, this project has now been voted on twice by City Council and will be voted on for a THIRD time on 09 March (even though the Planning Commission voted 5-0 against), and has: reportedly resulted in a settlement resetting the hearing, involves two councilmember recusals after prior participation, and has generated significant public volatility — including documented threats of violence, heightened law enforcement presence, and even the installation of metal detectors on February 24th at the City Council meeting. These are not minor consequences.

While primarily highlighted below, my concern is not limited to this warehouse proposal. It is centered on governance competency, risk management, and institutional accountability.

It is publicly documented that the lawsuit filed by developer Gregory Lansing against San Diego County and local community groups (Lansing v. County of San Diego, Case No. 37- 2014-00025797-CU-MC-CTL) was dismissed by San Diego Superior Court Judge John S.

Meyer on June 24, 2015, with attorney’s fees awarded to defendants. Given that history, it is reasonable to ask:
• Was sufficient due diligence conducted regarding prior litigation patterns before substantive engagement?
• Were potential litigation strategies and risk exposure analyzed at the outset? • If litigation was foreseeable, was outside counsel with specialized land use defense experience consulted?
• Were county or state-level agencies with deeper land use litigation experience invited to provide input or guidance?
• Was the decision to enter into a settlement-based procedural reset the strongest defensive posture available to protect constituents?
I'll put it more bluntly: Does everyone in charge know what they are doing? Are they doing it right?
When a city resets a hearing after two votes, alters the voting body through post-vote recusals, and proceeds in an environment of escalating public hostility, it signals potential weaknesses in governance controls.

The consequences are tangible:
• Escalated community division and hostility
• Allegations of threats directed at residents
• Waste of Taxpayer Money (Increased security costs and diversion of public safety resources) • Damage to public trust in the City’s ability to execute quasi-judicial duties competently and consistently
Land use governance requires procedural discipline and defensible execution. When decisions appear reversible under pressure or reactiveness to litigation threats, long-term risk increases.

You're demonstrating gaps and how to work the system. Therefore, it must be fixed immediately.

Without measurable and enforceable corrective actions, confidence will continue to erode and the City’s exposure to legal, financial, and reputational risk will continue to grow.

I have copied additional elected and oversight representatives on this correspondence because there appears to be a broader pattern — particularly in smaller municipalities and especially where council positions are not full-time roles — in which limited structural support, training, and institutional safeguards can increase exposure to avoidable legal risk and governance missteps. These situations can unintentionally (or intentionally) place cities in costly and destabilizing positions. My intent in broadening this communication is not to escalate conflict, but to encourage constructive oversight and higher-level support that protect constituents and taxpayers from preventable harm.

Accordingly, I respectfully request that the City provide a public response acknowledging any procedural gaps identified (primarily with this project, but with an expanded view as well) and outlining a formal corrective action plan designed to strengthen governance performance more broadly. Such a plan could include, but not be limited to:
• Strengthening transparency protocols in quasi-judicial matters • Enhancing legal risk assessment and documentation standards • Implementing structured training for Council and executive leadership regarding litigation avoidance and defensible land use decision-making
• Formalizing escalation pathways for complex matters to appropriate county or state-level entities when warranted
• Establishing measurable accountability benchmarks tied to governance performance As part of that broader corrective effort, consideration should be given to establishing an independent oversight review committee to evaluate the City’s formal proposal to improve institutional decision-making practices, risk management protocols, and transparency standards going forward. The Newland-Simpson Warehouse matter could certainly be used as a retrospective for this type of plan (i.e., lessons learned).

Again, this is not about a single project. It's about establishing the City’s demonstrated ability to execute its duties competently, compliantly, and consistently over time, and across projects and decisions.

I respectfully request a formal response, preferably publically on agenda, acknowledging these concerns as valid and outlining how the City intends to move forward constructively and responsibly.

I hope this can be accommodated because there seems to be ample resources available to oblige the Hemet Rising United annexation applicants' sudden new pet project, the De Anza trail - this is very suspicious and my eyebrows cannot raise any higher. I remain concerned with the use of taxpayer money potentially intertwining in the personal relationships between council members and city government, and the Hemet Rising United members and supporters, as well as many local "non-profits" (including the Historic Hemet Theater).

Perhaps the city was released too soon from the State Auditor’s High-Risk Local Government Audit Program.

Please do the right thing - vote down the warehouse for an unprecedented third time, and formally respond to the requests herein.

Respectfully,
Jenny Hess
Supporting References:

1. Link to Meeting 08 April 2025 with unanimous council rejection - highly recommend reviewing Public Comments and Council Comments & Vote (7:07:00) to reject the EIR and therefore end the project

2. Link to Meeting 14 July 2025 with 3-2 vote - highly recommend reviewing Public Comments and Council Comments & Vote (5:37:00)

3. Link to recent News Article, Press Enterprise

4. Link related to dismissal of Lansing San Diego Lawsuit , Agenda Item F.4.

Cc list:

Supervisor – Yxstian Gutierrez (District 5)
[email protected]
Supervisor – Chuck Washington (District 3)
[email protected]
Riverside County Executive Office – [email protected]
Riverside County Counsel – [email protected]
Riverside County Civil Grand Jury – [email protected] Senator – Rosilicie Ochoa Bogh (CA Senate District 19)
[email protected]
Assemblymember – Jeff Gonzalez (CA Assembly District 36) [email protected]
Assemblymember – Corey A. Jackson (CA Assembly District 60) [email protected]
From: Pam Nelson
To: Linda Krupa; Joe Males; Connie Howard-Clark; Jaculin Peterson; Tom Lodge; City Clerk Staff; Monique AlanizFlejter Subject: Consider Revised Simpson Warehouse Project: General Plan Amendment (GPA 22-003), Date: Saturday, March 7, 2026 3:47:21 PM
Warning: This email originated from outside the City of Hemet. Think before you click!
Dear Council, staff and others interested in protecting the quality of life for residents in Hemet,
Please vote no on the proposed Simpson Warehouse project. Increasing traffic and particularly large polluting vehicles is contrary to the needs of the population. Air quality is continually degrading in this area and effecting the lives of residents. Many respiratory-compromised people and growing children live in this area that need improved air quality, not degraded. The infrastructure, particularly in the area immediately near the site, is not capable of handling more vehicles, as well.

Agricultural lands are disappearing rapidly as developers and builders scoop them up. This area should retain these lands since they are becoming a rare commodity.

Jobs in this field need to be encouraged, not eliminated. Warehouse jobs are few and will increasingly disappear as automation takes over.

Do you want Hemet to become an industrial center rather than a more appealing place that draws residents that value a blend of agriculture, history and a quality of life for retirees and young families?
Please vote no on this project.

Pam Nelson
Frequent visitor and sister of four Hemet residents
and chair of the local Sierra Club (personal comment, though) From: Shea Millan
To: Linda Krupa; Joe Males; Jaculin Peterson; Connie Howard-Clark; Tom Lodge Cc: City Clerk Staff; Monique Alaniz-Flejter
Subject: Simpson Warehouse Project
Date: Saturday, March 7, 2026 2:52:39 PM
Warning: This email originated from outside the City of Hemet. Think before you click!
Good afternoon Hemet City Council Members,
During March 10th's city council meeting, regarding the Revised Simpson Warehouse Project:

General Plan Amendment (GPA 22-003), Conditional Use Permit (CUP 22-006), and Tentative Parcel Map 38800 (MAP 23-008), I ask that you please choose option #2 and deny the project.

As this is the third time city council will be voting on this project, it has been made abundantly clear that our citizens do not want this warehouse built in our valley. To let the developer bully the council into changing this decision, would truly be a tragedy for our community. While at this point we can't do anything about the first warehouse built on Kirby and Acacia, we need to put an end to any future warehouses in the Hemet Valley.

We cannot ignore the Significant Unavoidable Impacts located in the staff report regarding the Simpson warehouse project, including:
-Loss of prime farmland
-Exceedance of Greenhouse Gas Emissions thresholds
-Significant noise impacts at nearby sensitive receptors -Excessive vehicle miles traveled (VMT) not meeting CEQA thresholds As a young member of this community, I hope that our valley can be a safe place for families to live for generations to come. However, if we allow developers to build massive warehouses like this, clogging our roads, polluting our air, and polluting Salt Creek, this will not be a place people want to live. The promise that these warehouses will bring jobs to the valley is frankly insulting. Our community deserves better than low paying jobs at warehouses that will become automated in the near future.

My family and I ask that you please do not let this developer bully the council into allowing this warehouse project to continue. Please choose option #2 and deny this project, again.

Thank you for your time and consideration,
Shea Millan
1 SAN GORGONIO CHAPTER
Box Springs Group
Dear Honorable Hemet City Council Members, August 10, 2026 Re: Revised Simpson Warehouse Project and its Health-Impacting Toxic Diesel Trucks.

The Sierra Club appreciates this opportunity to express some of our concerns as to why you should deny this warehouse project.

The State of California’s CalEnviroScreen 4.0 score for the proposed warehouse's census tract. Shows the following:

The results for each indicator range from 0-100 and represent the percentile ranking of this Hemet proposed warehouse census tract 6065042723 relative to other census tracts in the state.

Ozone Exposure 91% = means only 9 % of state population is burdened more by this asthma producing pollution.

Asthma 54% = means this area in Hemet for the proposed
warehouse already has more Asthma than most of California.

Cardiovascular Disease 70% = means only 30% of state has worse cardiovascular disease than this warehouse project’s census tract.

How can you approve a warehouse that will lead to more warehouses adding to even more health problems. Your job is to reduce pollution burdens on Hemet’s residents and not add to them – deny the project! The Compass Danbe Centerpointe warehouse developer signed the settlement agreement you can read in the next 13 pages. It shows what are feasible warehouse mitigations in Moreno Valley to reduce a warehouse’s impact on people and the environment.

It is sad that even with this agreement the project will still negatively impact both Moreno Valley residents and the environment – just less. The Sierra Club could show other similar signed settlement agreements with even more solar required. You should not be presented a project which fails to do even more to reduce its Greenhouse Gas (GHG) which causes so many problems both locally and throughout California. Below you can read the warehouse settlement as well as the recommendations to Hemet on this warehouse project from the California Air Resources Board (CARB) and the South Coast Air Quality Management District (SCAQMD) to reduce GHG along with other environmental impacts. The city and developer have failed to include many of these feasible mitigation measures to reduce pollution burden on people as well as the environment and therefore you must deny this project.
2 3
4 5
6 7
8 9
10 11
12 13
14 15
The California Air Resources Board (CARB) wrote their Notice of Preparation (NOP) letter for the project on January 18, 2024. They provided recommendations to protect people and the environment, but the city and warehouse developer failed to incorporate many of them. Below you will find their recommendations which should have been part of the project before you vote on it – deny the project! “Conclusion
To reduce the exposure of toxic diesel PM emissions in disadvantaged communities already impacted by air pollution, the final design of the Project should include all existing and emerging zero-emission technologies to minimize diesel PM and NOx emissions, as well as the greenhouse gases that contribute to climate change. CARB encourages the City to implement the applicable measures listed in Attachment A of this letter.” (CARB NOP letter page 3) 4CALIFORNIA

AIR RESOURCES BOARD
Gavin Newsom, Governor
Yana Garcia, Cal EPA Secretary
Liane M. Randolph, Chair
Attachment A
Recommended Air Pollution Emission Reduction Measures for Warehouses and Distribution Centers
The California Air Resources Board (CARB) recommends developers and government planners use all existing and emerging zero to near-zero emission technologies during project construction and operation to minimize public exposure to air pollution. Below are some measures, currently recommended by CARB, specific to warehouse and distribution center projects. These recommendations are subject to change as new zero-emission technologies become available.

Recommended Construction Measures

1. Ensure the cleanest possible construction practices and equipment are used. This includes eliminating the idling of diesel-powered equipment and providing the necessary infrastructure (e.g., electrical hookups) to support zero and near-zero equipment and tools.

2. Implement, and plan accordingly for, the necessary infrastructure to support the zero and near-zero emission technology vehicles and equipment that will be operating on site. Necessary infrastructure may include the physical (e.g., needed footprint), energy, and fueling infrastructure for construction equipment, on-site vehicles and equipment, and medium-heavy and heavy-heavy duty trucks.

3. In construction contracts, include language that requires all off-road diesel-powered equipment used during construction to be equipped with Tier 4 or cleaner engines, except for specialized construction equipment in which Tier 4 engines are not available. In place of Tier 4 engines, off-road equipment can incorporate retrofits, such that, emission reductions achieved are equal to or exceed that of a Tier 4 engine.

4. In construction contracts, include language that requires all off-road equipment with a power rating below 19 kilowatts (e.g., plate compactors, pressure washers) used during project construction be battery powered.

5. In construction contracts, include language that requires all heavy-duty trucks entering the construction site during the grading and building construction phases be model year 2014 or later. All heavy-duty haul trucks should also meet CARB’s lowest optional low-oxides of nitrogen (NOx) standard starting in the year 2022.4 4 In 2013, CARB adopted optional low-NOx emission standards for on-road heavy-duty engines. CARB encourages engine manufacturers to introduce new technologies to reduce NOx emissions below the current mandatory on-road heavy-duty diesel engine emission standards for model-year 2010 and later. CARB’s optional low-NOx emission standard is available at: https://ww2.arb.ca.gov/our-work/programs/optional - reduced -nox-standards
5Monique Alaniz-Flejter
January 18, 2024

6. In construction contracts, include language that requires all construction equipment and fleets to be in compliance with all current air quality regulations. CARB is 16 available to assist in implementing this recommendation.

Recommended Operation Measures

1. Include contractual language in tenant lease agreements that requires tenants to use the cleanest technologies available, and to provide the necessary infrastructure to support zero-emission vehicles and equipment that will be operating on site.

2. Include contractual language in tenant lease agreements that requires all loading/unloading docks and trailer spaces be equipped with electrical hookups for trucks with transport refrigeration units (TRUs) or auxiliary power units. This requirement will substantially decrease the amount of time that a TRU powered by a fossil-fueled internal combustion engine can operate at the project site. Use of zero-emission all-electric plug-in TRUs, hydrogen fuel cell transport refrigeration, and cryogenic transport refrigeration are encouraged and can also be included in lease agreements.5

3. Include contractual language in tenant lease agreements that requires all TRUs entering the project-site be plug-in capable.

4. Include contractual language in tenant lease agreements that requires future tenants to exclusively use zero-emission light and medium-duty delivery trucks and vans.

5. Include contractual language in tenant lease agreements that requires all service equipment (e.g., yard hostlers, yard equipment, forklifts, and pallet jacks) used within the project site to be zero-emission. This equipment is widely available and can be purchased using incentive funding from CARB’s Clean Off-Road Equipment Voucher Incentive Project (CORE).6

6. Include contractual language in tenant lease agreements that requires all heavy-duty trucks entering or on the project site to be zero-emission vehicles, and be fully zero-emission. A list of commercially available zero-emission trucks can be obtained from the Hybrid and Zero-emission Truck and Bus Voucher Incentive Project (HVIP).7 Additional incentive funds can be obtained from the Carl Moyer Program and Voucher Incentive Program.8
5 CARB’s technology assessment for transport refrigerators provides information on the current and projected development of TRUs, including current and anticipated costs. The assessment is available at:
https://www.arb.ca.gov/msprog/tech/techreport/tru_07292015.pd f 6 Clean Off-Road Equipment Voucher Incentive Project. Accessible at: https://californiacore.org/how-toparticipate / 7 Zero-Emission Truck and Bus Voucher Incentive Project. Accessible at: https://californiahvip.org / 8 Carl Moyer Program and Voucher Incentive Program. https://ww2.arb.ca.gov/carl -moyer- program-appl y 6Monique Alaniz-Flejter
January 18, 2024

7. Include contractual language in tenant lease agreements that requires the tenant to be in, and monitor compliance with, all current air quality regulations for on-road trucks including CARB’s Heavy-Duty (Tractor-Trailer) Greenhouse Gas Regulation,9 Advanced Clean Trucks Regulation,10 Periodic Smoke Inspection Program (PSIP),11 and the Statewide Truck and Bus Regulation.12

8. Include contractual language in tenant lease agreements restricting trucks and support equipment from idling longer than two minutes while on site.

9. Include rooftop solar panels for each proposed warehouse to the extent feasible, with a capacity that matches the maximum allowed for distributed solar connections to the grid.

10. Include contractual language in tenant lease agreements, requiring the installing of vegetative walls13 or other effective barriers that separate loading docks and people living or working nearby.

11. Include contractual language in tenant lease agreements, requiring all emergency generators to be powered by a non-diesel fuel.

12. The project should be constructed to meet CalGreen Tier 2 green building standards, including all provisions related to designated parking for clean air vehicles, electric vehicle charging, and bicycle parking, and achieve a certification of compliance with LEED green building standards.
9 In December 2008, CARB adopted a regulation to reduce greenhouse gas emissions by improving the fuel efficiency of heavy-duty tractors that pull 53-foot or longer box-type trailers. The regulation applies primarily to owners of 53-foot or longer box-type trailers, including both dry-van and refrigerated-van trailers, and owners of the heavy-duty tractors that pull them on California highways. CARB’s Heavy-Duty (Tractor-Trailer) Greenhouse Gas Regulation is available at: https://ww2.arb.ca.gov/our-work/programs/ttgh g 10 On June 25, 2020, CARB approved the Advanced Clean Trucks Regulation. The regulation requires manufacturers to start the transition from diesel trucks and vans to zero-emission trucks beginning in 2024. The rule is expected to result in about 100,000 electric trucks in California by the end of 2030 and about 300,000 by 2035. CARB is expected to consider a fleet regulation in 2021 that would be compatible with the Advanced 17 Clean Trucks regulation, requiring fleets to purchase a certain percentage of zero-emission trucks and vans for their fleet operations. https://ww2.arb.ca.gov/our-work/programs/advanced -clean-truck s 11 The PSIP program requires that diesel and bus fleet owners conduct annual smoke opacity inspections of their vehicles and repair those with excessive smoke emissions to ensure compliance. CARB’s PSIP program is available at: https://www.arb.ca.gov/enf/hdvip/hdvip.ht m 12 The regulation requires that newer heavier trucks and buses must meet particulate matter filter requirements beginning January 1, 2012. Lighter and older heavier trucks must be replaced starting January 1, 2015. By January 1, 2023, nearly all trucks and buses will need to have 2010 model-year engines or equivalent. CARB’s Statewide Truck and Bus Regulation is available at: https://www.arb.ca.gov/msprog/onrdiesel/onrdiesel.ht m 13 Effectiveness of Sound Wall-Vegetation Combination Barriers as Near-Roadway Pollutant Mitigation Strategies (2017) is available at: https://ww2.arb.ca.gov/sites/default/files/classic//research/apr/past/13 - 306.pd f”
The South Coast Air Quality Management District’s (SCAQMD) January 19, 2024 NOP letter also offered many recommendations to reduce the warehouse project’s impacts on people and the environments, but just like CARB’s efforts to help Hemet too few were incorporated into what you are being asked to vote. Below are many of those recommendations – deny the warehouse.
“Mitigation Measures
In the event that the Proposed Project results in significant adverse air quality impacts, CEQA requires that all feasible mitigation measures that go beyond what is required by law be utilized to minimize these impacts. Any impacts resulting from mitigation measures must also be analyzed. Several resources to assist the Lead Agency with identifying potential mitigation measures for the Proposed Project include South Coast AQMD’s CEQA Air Quality Handbook,8 South Coast AQMD’s Mitigation Monitoring and Reporting Plan for the 2022 Air Quality Management Plan, 9 and Southern California Association of
Government’s Mitigation Monitoring and Reporting Plan for the 2020-2045 Regional Transportation Plan/Sustainable Communities Strategy.
1 .

Mitigation measures for operational air quality impacts from mobile sources that the Lead Agency should consider in the Draft EIR may include the following:
• Require zero-emissions (ZE) or near-zero emission (NZE) on-road haul trucks such as heavyduty trucks with natural gas engines that meet the CARB’s adopted optional NOx emissions standard at 0.02 grams per brake horsepower-hour (g/bhp-hr), if and when feasible. Given the state’s clean truck rules and regulations aiming to accelerate the utilization and market penetration of ZE and NZE trucks such as the Advanced Clean Trucks Rule11 and the HeavyDuty Low NOx Omnibus Regulation12, ZE and NZE trucks will become increasingly more available to use. The Lead Agency should require a phase-in schedule to incentivize the use of these cleaner operating trucks to reduce any significant adverse air quality impacts. South Coast AQMD staff is available to discuss the availability of current and upcoming truck technologies and incentive programs with the Lead Agency. At a minimum, require the use of 2010 model year13 that meet CARB’s 2010 engine emissions standards at 0.01 g/bhp-hr of particulate matter (PM) and 0.20 g/bhp-hr of NOx emissions or newer, cleaner trucks. Include environmental analyses to evaluate and identify sufficient electricity and supportive infrastructures in the Energy and Utilities and Service Systems Sections in the CEQA document, where appropriate. Include the requirement in applicable bid documents, purchase orders, and contracts. Operators shall maintain records of all trucks associated with project construction to document that each truck used meets these emission standards, and make the records available for inspection. The Lead Agency should conduct regular inspections to the maximum extent feasible to ensure compliance. • Limit the daily number of trucks allowed at the Proposed Project to levels analyzed in the Final CEQA document. If higher daily truck volumes are anticipated to visit the site, the Lead Agency should commit to re-evaluating the Proposed Project through CEQA prior to allowing this higher activity level.
• Provide electric vehicle (EV) charging stations or, at a minimum, provide electrical infrastructure and electrical panels should be appropriately sized. Electrical hookups should be provided for truckers to plug in any onboard auxiliary equipment.

Mitigation measures for operational air quality impacts from other area sources that the Lead Agency should consider in the Draft EIR may include the following:
• Maximize use of solar energy by installing solar energy arrays. • Use light colored paving and roofing materials.
• Utilize only Energy Star heating, cooling, and lighting devices, and appliances. • Use of water-based or low VOC cleaning products that go beyond the requirements of South Coast AQMD Rule 1113.” (SCAQMD NOP letter pages 2 & 3)
18 The project’s traffic analysis reads there will be 2,539 vehicle trips per day, which includes 451 diesel truck trips per day. This project’s growth inducing impacts will add even more warehouses and toxic diesel truck trips to this area causing more Greenhouse Gas and Noise impacts they cannot fully mitigate. As shown above this census tract already suffers too much pollution burdens.

The following are Significant Unavoidable Impacts of this 60 foot (six story) tall warehouse that will operate 24 hours a day 7 days a week in the staff report:
• Loss of Prime Farmland (Agriculture and Forestry Resources) • Exceedance of Greenhouse Gas (GHG) Emissions thresholds • Significant Noise impacts at nearby sensitive receptors • Excessive Vehicle Miles Traveled (VMT) not meeting CEQA thresholds Hemet city council members know that we cannot keep losing our best farmland if we are going to feed our local and world’s growing population. Do not allow this precious resource to be covered with a cement box.

As Greenhouse Gas Emissions rise so does surface temperatures, more severe storms, increased drought and more frequent wildfires among other problems
Significant Noise impacting nearby sensitive receptors like family homes 24 hours/day and 7 days/week. This means no one is going to want to build more homes near this warehouse. Therefore, only more warehouses will eventually become its neighbors resulting more of these Significant Unavoidable Impacts. This will probably happen with the project’s Parcels 2 and 3 which are currently being postponed to gain your vote, but their zoning is also being changed to later accommodate more warehousing.

Too many miles of 80,000-pound toxic Diesel Trucks traveling on and impacting the roads of Hemet’s – 451 truck trips per day or 19 trucks every hour 24 hours per day or about one toxic diesel truck every 3 minutes all day and night. These special roads for trucks will need to be made twice as thick at major tax payer expense in the future to handle this project's impacts and all the other warehouses that will eventually be built next to the Simpson warehouse.

The settlement agreement found above shows what is feasible to reduce this project’s impacts on Hemet’s families and the environment. Both CARB and SCAQMD NOP letters explained at the start of the environmental review process what should be done by the city and developer to make the project less harmful to the people of Hemet and the environment. The city and developer have failed to incorporate enough of these. They didn’t do the following which was in SCAQMD’s NOP letter:
“In the event that the Proposed Project results in significant adverse air quality impacts, CEQA requires that all feasible mitigation measures that go beyond what is required by law be utilized to minimize these impacts. Any impacts resulting from mitigation measures must also be analyzed.” Since Greenhouse Gas is listed as a significant unavoidable impact the project must implement what SCAQMD wrote.

Please keep the Sierra Club informed of all possible future meetings and documents by using this email address.

Sincerely,
George Hague
Sierra Club
Box Springs Group
Conservation Co-Chair
Printed on Recycled Paper. ....To explore, enjoy and preserve the nation’s forests, waters, wildlife, and wilderness.

From: Ms. Sonia M. Lamas
To: Sonia Lamas; Sonia Lamas; Clerk of the Board; City Clerk Staff; [email protected] Cc: [email protected]; Benigno Sandoval; Jaculin Peterson; Mark Prestwich; Joe Males; Linda Krupa Subject: PUBLIC COMMENT FOR THE RECORD CITY OF HEMET 03/10/2026 Item 7.A – Revised Simpson Rd. Warehouse Project Submitted by Sonia Lamas on behalf of Lamas Housing Project Date: Saturday, March 7, 2026 4:34:37 PM
Attachments: 88E979D925984DAC809E558D750ECB0B.png
96D4D2FD32434701B3091ABFBCFD3825.png
Warning: This email originated from outside the City of Hemet. Think before you click!
Please accept this correspondence as a formal public comment submission for the record regarding Item 7.A – Revised Simpson Rd Warehouse Project on the March 10, 2026 City Council Agenda.

My name is Sonia Lamas, and I am submitting this comment on behalf of Lamas Housing Project for inclusion in the official meeting record and for public reading, if permitted and needed donated public-sector minutes available.

Thank you for your time and consideration.

PUBLIC COMMENT FOR THE RECORD
Item 7.A – Revised Simpson Rd. Warehouse Project
Submitted by Sonia Lamas on behalf of Lamas Housing Project Good evening, Mayor, Members of the City Council, and City staff.

For the record, my name is Sonia Lamas, and I am speaking on behalf of Lamas Housing Project in support of the professionally reviewed and forward-moving consideration of Item 7.A, the Revised Simpson Rd. Warehouse Project, including General Plan Amendment GPA 22-003, Conditional Use Permit CUP 22-006, Tentative Parcel Map No. 38800 identified as MAP 23-008, the requested Building Height Exception, and the Final Environmental Impact Report under State Clearinghouse No. 2023120462. The official agenda reflects that this is a renoticed hearing for a revised project consisting of one industrial building totaling 884,760 square feet and associated site improvements.

Lamas Housing Project appears before you tonight from the standpoint of a developer engaged in community process, a nonprofit developer that understands that projects of this caliber are not evaluated by emotion alone. They are evaluated through land-use consistency, entitlement review, engineering feasibility, environmental compliance, circulation planning, parcel configuration, infrastructure capacity, and long-term community impact.

That is the lens through which we reviewed this matter.

Our due diligence did not begin and end with the agenda. It included listening to the community from multiple vantage points. We engaged seniors, because our elders hold the history and perspective of this valley. We engaged workforce participants, young adults, contractors, emerging builders, community volunteers, and those who understand what it means when a city receives a project of regional significance. We approached this with discipline because we know that serious development requires more than a concept. It requires process, technical review, and the ability to understand both the entitlement path and the human impact.

From a development standpoint, the permit structure before you is significant.

This is not a simple site-plan matter. The City is being asked to consider GPA 22-003, which addresses the General Plan framework; CUP 22-006, which authorizes the use itself; Tentative Parcel Map 38800 / MAP 23-008, which addresses the subdivision and parceling of the site; and the requested Building Height Exception, which is directly tied to the project’s physical design and operational form. The same agenda also references VAR 24-003 in the denial option, further reflecting the layered entitlement structure of the case.

That matters.

Because when a project carries this level of entitlement complexity, what the Council is evaluating is not just a building. You are evaluating a coordinated development program involving planning, engineering, land-use transition, environmental documentation, and implementation capacity.

The record also makes clear that this project has already undergone substantial public process. It was previously considered, denied, revised, and brought back following a settlement and now re-noticed de novo hearing. That history tells us this is a serious project with serious staying power, and it deserves to be reviewed accordingly.

As a non-profit Developer Lamas Housing Project recognizes what it takes to bring a project of this size through public process. It requires capital, consultants, engineering coordination, legal navigation, environmental review, and a willingness to remain at the table through challenge, redesign, and reconsideration. That is not SMALL work. That is real development work.

And from our perspective, that level of effort should be evaluated not only for what it proposes physically, but for what it introduces regionally.

Our primary focus in reviewing this project has been workforce development, regional economic sustainability, and long-term opportunity creation. We believe developments of this scale can and should be viewed as part of a broader valley conversation about how people live, work, and remain rooted in their own communities. From that standpoint, projects like this do more than create square footage. They create momentum. They create construction activity. They create longterm employment potential. They create supplier relationships, contractor access, and future opportunities for strategic collaboration tied to the valley’s next chapter. The City’s own CEQA findings state the project is expected to generate approximately 1,253 long-term labor and office jobs and 902 construction jobs, which is a material economic consideration for the region.

And that is where our support is grounded.

Not in speculation.

Not in politics.

And not in overstatement.

Our support is grounded in the belief that Hemet must continue to evaluate projects through a balanced development framework that respects public process while also understanding the economic and workforce implications of major private investment.

We believe the City should continue to lead with discipline, technical review, and long-range planning vision.

We also view projects of this scale as part of a broader economic ecosystem that can support future community-serving development opportunities, including realistic housing measures, workforce and JR workforce stability, and long-term regional sustainability.

With proven feasibility projects like the one before this council this evening we ask that you take all factors into consideration and yourself the four magic questions that always lead to the right decisions according to record finding since the year 1932 of the things we think, say and do.

Is it the TRUTH?
Is it FAIR to all concerned?
Will it build GOODWILL and BETTER FRIENDSHIPS?
Will it be BENEFICIAL to all concerned?”
Lamas Housing Project places on the record tonight that we have reviewed this matter from a community-development and development-process standpoint. We support a fact-based, professionally evaluated, and forward-moving consideration of the Revised Simpson Rd. Warehouse Project because we understand that serious projects help establish the conditions for serious regional growth.

And as this valley continues to mature, that growth must include not only jobs and infrastructure, but also the intentional planning vision necessary to support stronger families, a more stable workforce, and a more sustainable regional future.

That is the level at which we are analyzing this project.

That is the level at which we respectfully ask the City to continue evaluating it.

And that is the level of seriousness we believe Hemet deserves.

Thank you for your time, your leadership, and your service.

Respectfully submitted,
Sonia Lamas
On behalf of Lamas Housing Project
Sonia Lamas
Founder / CEO, ARMÒ

LAMAS HOUSING PROJECT
951-390-9200 Direct
951-357-2027 Office
2227 E. Florida Ave.

Hemet, CA 92544
https://calendly.com/lamashousproject/30min

LAMAS HOUSING PROJECT
[email protected]

LAMAS HOUSING PROJECT

REAL ESTATE AQUSITIONS, DEVELOPMENT, REDEVELOPMENT
LHP Advocates for housing policies through legislation, local authority, and national levels; LHP administers a range of supportive housing services programs by implementing a disciplined approach focused on innovation, racial equity, diversity, and Inclusion. Helping one family & one individual at a time.
flow.page/lamashousingproject.org
PROUD MEMBER:

From: Tina Howard
To: City Clerk Staff; Jane Halstead
Subject: No on Warehouses for March 10, 2026 City Council Meeting Date: Monday, March 9, 2026 4:16:06 PM
Warning: This email originated from outside the City of Hemet. Think before you click!
Dear Jane:

PLEASE INCLUDE THIS LETTER AS A PUBLIC RECORD FOR THE CITY COUNCIL MEETING ON TUESDAY, MARCH 10, 2026. Thank you.

I am writing to discuss why warehouse jobs are a bad idea for Hemet citizens from a healthcare point of view, and to offer a vision of how the land purchased by Mr. Lansing could be put to better use to benefit the City of Hemet and its citizens.

I have been working in the healthcare field in one role or another since the 1980s. I have worked in Staff Education, Administration and Customer Service/Scheduling for two large Clinic and Hospital Medical Centers. I have volunteered for the American Cancer Society Smoking Cessation (Great American Smokeout) and Breast Cancer Awareness Months in public relations and advertising. I have worked in Research and Development for two large pharmaceutical companies; Grants Writing, Administration and Scientific Journals for two large medical research institutions; and in Human Resources and IT for a pharmacy benefits management company. In addition, for the last 18 years I have been a Healthcare Practitioner Licensed Acupuncturist in the state of California and am currently working as a staff acupuncturist in the city of Hemet at a wellness center since 2024. Suffice it to say, I understand the healthcare system (and lack thereof) in this country, but more importantly, I know what makes a healthy, balanced, and well rounded human being. And the answer is not money. Money does not buy health, nor does it buy happiness or healthy citizens.

In my position as a Healthcare Provider, I meet and treat our lovely citizens of Hemet on a daily basis. My form of Chinese Medicine is holistic, and it is part of the intake to ask about stress, emotional and mental health, in addition to physical health concerns. I am going to share with you some real patient composites (although I have changed the first name) so that you can get an idea of what real life citizens care about and are concerned about. I will also include a conversation I had with a 20-something year old female who drew my blood at the local Hemet Labcorp last month.
1) 20-something Female, Rocio, coming in for upper back and shoulder pain. Occupation:

Warehouse stocker in Beaumont, CA. Rocio tells me that she has been forced to work 60 hour weeks in order to keep her job. When she complains to HR they tell her: go head and complain: we will fill your position in no time. Her pain is so intense she cannot sleep, and she had to drop out of community college because the pain and stress of her job is getting in the way of her studies. HR refuses to give her a Worker's Comp case so she uses her regular health insurance but that only gives her two times a month acupuncture treatments. In her condition, she should be treated 2x a week. This 20-year-old examines like she is already in her late 30s. Already showing signs of fertility aging, depression and anxiety. 2) Late 30s Male, Jorge, coming in for lower back and sciatica pain. Occupation: Truck driver for Warehouses. Jorge is married with several children, and complains of pain so intense it is hard for me to go watch his children play sports on the weekends, but they are his joy so he suffers through it. He picks up extra shifts to provide for his family, and working over 60 hours a week has been his go-to. Now he is getting older and just cannot seem to burn the candle at both ends. His MRI reveals severe disc herniation and severe arthritis not usually seen in a man his age. Jorge was born with a strong constitution and strong muscles so he forces himself to keep going. He would never mention any of this to his boss for fear of retaliation from seeing another coworker go on Worker's Comp and then soon after that is "let go" from the company.
3) Early 50s Male, Scott, coming in for severe neuropathy in bilateral feet (cannot feel his feet). Occupation: construction of warehouses, electrician for warehouses. Scott has gone on state disability because he can no longer feel his feet and therefore has vertigo after decades of picking up extra shifts and working more than 40 hours a week. After several months, there is no improvement even with many different treatment modalities. Scott is in the union but even they cannot help him now. Scott is a large boned, tall, and used to be an extremely strong individual. At 50 his work life is completely over.
4) Late 40s Female, Tiffany, coming in for headaches, neck pain and stress. Occupation:

Supervisor in Warehouse, Beaumont, CA. Tiffany started on the floor, and quickly got promoted to Supervisor/Management because of her intelligence and college degree. Tiffany has gone into early menopause, suffers from migraines and weight gain that she never had, stress at home with her teenage daughter and husband because they complain she works too much. She is often forced to take over shifts from the floor crew while still keeping her management position. Tiffany thought moving into management would alleviate her stress by giving her more money, prestige and less working hours. She is very unhappy and does not know how to get out of this cycle.
5) Late 50s Female, Matilda, coming in for pain after a car accident. Matilda tells me how proud she is of her daughter who has gone to study nursing in Seattle, Washington. Her daughter tells her mom, "I love it here, I'm never going back to Hemet. There are no opportunities for me there like there are here. My friends are stuck in this dead end town, but I want more for my life." Matilda starts to cry because she cannot move from Hemet, it is her home, and she is scared. She says my daughter will get married and raise her children away from me, and I don't blame her, but it makes me so sad because she is my best friend and I want to help her raise her children." Matilda wishes there was more for her daughter here in Hemet.
6) Late 70s Male, Juan, coming in for bilateral knee pain. Occupation: jewelry maker. Juan comes to me every two weeks for maintenance of his knee pain. He shares with me when he has spent time with his grandkids the previous weekend. They make him so happy, but he is worried when they get older and get into high school. He is worried they will get in with a bad crowd and he doesn't want that to happen to them. He and his Wife can never leave Hemet but he understands if his grandkids will one day want to move out of the town. This makes him very sad and depressed. He says he cannot understand the fate of Hemet and wishes there were more opportunities for young people here.
7) I was getting my blood drawn at the Hemet LabCorp and started talking with my phlebotomist, Celeste, a young woman in her mid-20s. I shared with her I was an acupuncturist and she shared with me how her old warehouse job at Kohl's sent her to get