Agenda packet — Laguna Woods City Council, December 17, 2025 (part 1 of 2)

CITY of LAGUNA WOODS

CITY COUNCIL
AGENDA
Regular Meeting
Wednesday, December 17, 2025
2:00 p.m.

Laguna Woods City Hall
24264 El Toro Road
Laguna Woods, CA 92637
Annie McCary
Mayor Pro Tem
Cynthia Conners
Councilmember
Shari L. Horne
Mayor
Pearl Lee
Councilmember
Carol Moore
Councilmember
Welcome to a meeting of the Laguna Woods City Council!
This meeting may be recorded, televised, and made publicly available.

Public Comments/Testimony: Public comments/testimony are accepted in-person and in writing. For more information, please refer to page three of this agenda.

Americans with Disabilities Act (ADA): It is the intention of the City of Laguna Woods to comply with the ADA. If you need assistance to participate in this meeting, please contact either the City Clerk’s Office at (949) 639-0500 or the California Relay Service at (800) 735- 2929/TTY (800) 735-2922. The City of Laguna Woods requests at least two business days’ notice in order to effectively facilitate the provision of reasonable accommodations.

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REGULAR MEETING SCHEDULE
The Laguna Woods City Council meets regularly on the third Wednesday of each month at 2 p.m.

AGENDA POSTING AND AVAILABILITY
Regular and Adjourned Regular Meetings: Pursuant to California Government Code Section 54954.2, the City of Laguna Woods posts agendas at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; on the City of Laguna Woods’ website (www.cityoflagunawoods.org); and, at other locations designated by Resolution No. 24-08, at least 72 hours in advance of regular and adjourned regular meetings. Agendas and agenda materials are available at Laguna Woods City Hall during normal business hours and on the City of Laguna Woods’ website. Printed copies of agendas and agenda materials are provided at no charge in advance of meetings. After meetings have occurred, a per page fee is charged for printed copies except when prohibited by law.

Special and Emergency Meetings: Agenda posting and availability for special and emergency meetings is conducted pursuant to all applicable provisions of California Government Code.

AGENDA DISTRIBUTION LISTS
Electronic Distribution: The City of Laguna Woods provides notification of agenda posting and availability via email. To sign up for email notifications, visit www.cityoflagunawoods.org/emailnotifications, email [email protected], or contact the City Clerk’s Office at (949) 639- 0500. Please note that the City of Laguna Woods is not responsible for, and makes no guaranties or warranties related to, the transmission or receipt of email notifications.

Mail Distribution: The City of Laguna Woods is able to mail agendas and/or agenda materials if provided with advance payment for postage and printing (if applicable). To request mail distribution, please email [email protected] or contact the City Clerk’s Office at (949) 639-0500.

FOR ADDITIONAL INFORMATION
For additional information regarding this agenda, please contact the City Clerk’s Office at (949) 639- 0500, [email protected], or 24264 El Toro Road, Laguna Woods, CA 92637.

AFFIDAVIT OF POSTING

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, Yolie Trippy, City Clerk, City of Laguna Woods, hereby certify under penalty of perjury that this agenda was posted at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637; on the City’s website (www.cityoflagunawoods.org); and, at other locations designated by Resolution No. 24-08, pursuant to California Government Code Section 54954.2. /s/ Yolie Trippy 12/12/25
YOLIE TRIPPY, CMC, City Clerk Date
Laguna Woods City Council Agenda  12/17/2025 Regular Page 3 of 14

OPTIONS FOR PUBLIC COMMENTS/TESTIMONY

1. In Person
Members of the public wishing to address the City Council on items appearing on this agenda are advised to indicate their interest in doing so by submitting a speaker card to City staff or proceeding to the podium, one-by-one, at the time an item is considered.

Members of the public wishing to address the City Council on items not appearing on this agenda may do so during Item V.

Each speaker will have the opportunity to speak for up to three minutes once per agenda item, unless otherwise allowed by the City Council.

To ensure each speaker is provided with an uninterrupted opportunity to speak for the full time allotted, members of the City Council and City staff are asked to reserve any responses they wish to make to public comments until after each speaker has completed their comments.

Speakers are requested, but not required, to identify themselves, both on any speaker cards and in comments/testimony. Speakers are advised that their names and any information submitted on speaker cards or otherwise provided in writing to the City may be disclosed or become a matter of public record. No speaker should expect privacy of such information.

2. In Writing
Written public comments/testimony should be clearly marked as such and may be mailed or delivered to Laguna Woods City Hall (24264 El Toro Road, Laguna Woods, CA 92637) or sent via email ([email protected]) provided that they are received by the City of Laguna Woods prior to 2:00 p.m. on the day of this meeting.

Written public comments/testimony will be provided to the Laguna Woods City Council and included in the City Clerk’s written record of this meeting.

Parties submitting written public comments/testimony are requested, but not required, to identify themselves. Parties are advised that their names, email addresses, and any information submitted in writing to the City of Laguna Woods may be disclosed or become a matter of public record. No party should expect privacy of such information.

REMOTE VIEWING AND/OR LISTENING OPPORTUNITIES
The City of Laguna Woods plans to offer the following remote viewing and/or listening opportunities as a courtesy for this meeting. These opportunities are not guaranteed to be operable, technically feasible, or uninterrupted. The instructions provided are not guaranteed to be correct or all-inclusive as Zoom and YouTube may modify interfaces and interfaces may differ by device or application. Members of the public who wish to ensure that they are able to view and/or listen to this meeting should attend in person.

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1. Zoom (on a computer)
The City of Laguna Woods plans to live stream this meeting on Zoom (audio and/or video). Public comments/testimony will not be accepted via Zoom.
• Visit www.zoomgov.com
• Click on “Join” (if given an option select “by meeting ID”) • Enter the following meeting ID: 161 548 2089
• Click on “Join”
• Open the Zoom application following the on-screen prompts • Enter the following meeting passcode: 24264
• Follow any additional prompts and enter information as required by Zoom Parties are advised that information they provide to Zoom may be publicly visible and/or visible to the City of Laguna Woods and others. No party should expect privacy of such information.

2. Zoom (on a telephone)
The City of Laguna Woods plans to live stream this meeting on Zoom (audio and/or video). Public comments/testimony will not be accepted via Zoom.
• Call (669) 216-1590
• Follow the prompts and provide the information required by Zoom • When prompted for a meeting ID enter 161 548 2089
• There is no participant ID; follow prompts to bypass
• If asked for a passcode enter 24264
Parties are advised that their telephone number and information provided to Zoom may be publicly visible and/or visible to the City of Laguna Woods and others. No party should expect privacy of such information.

3. YouTube
The City of Laguna Woods plans to live stream this meeting on YouTube (audio and/or video).

Public comments/testimony will not be accepted via YouTube. • Visit www.youtube.com/@cityoflagunawoods
• Click on “Live”
• Click on “Laguna Woods Channel 3”
Parties are advised that information they provide to YouTube may be publicly visible and/or visible to the City of Laguna Woods and others. No party should expect privacy of such information.

4. Cable Television
The City of Laguna Woods plans to broadcast this meeting on cable television Channel 3 within Laguna Woods Village (audio and/or video). Public comments/testimony will not be accepted via cable television Channel 3.

Laguna Woods City Council Agenda  12/17/2025 Regular Page 5 of 14 I. CALL TO ORDER
Introductory Notes: Members of the public wishing to address the City Council on items appearing on this agenda are advised to indicate their interest in doing so by submitting a speaker card to City staff or proceeding to the podium, oneby-one, at the time an item is considered.

Members of the public wishing to address the City Council on items not appearing on this agenda may do so during Item V.

Each speaker will have the opportunity to speak for up to three minutes once per agenda item, unless otherwise allowed by the City Council.

II. ROLL CALL
III. PLEDGE OF ALLEGIANCE
IV. PRESENTATIONS AND CEREMONIAL MATTERS

4.1 Marcia Milchiker – 40th Anniversary, South Orange County Community College District Board of Trustees
(agendized by Mayor Horne)
Recommendation: Approve and present the commendation.

V. PUBLIC COMMENTS ON NON-AGENDA ITEMS
About Public Comments on Non-Agenda Items: This is the time and place for members of the public to address the City Council on items not appearing on this agenda. As a reminder, each speaker will have the opportunity to speak once for up to three minutes, unless otherwise allowed by the City Council.

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Please note that, pursuant to state law, the City Council is unable to take action on items not appearing on this agenda, but may ask clarifying questions of the speaker, engage in brief discussion, refer items to City staff, and/or schedule items for consideration at future meetings.

VI. CITY TREASURER’S REPORT

6.1 City Treasurer’s Report
Recommendation: Receive and file the City Treasurer’s Report for the month of November 2025.

VII. CONSENT CALENDAR
About the Consent Calendar: All items appearing on the Consent Calendar are considered by the City Manager to be routine and will be enacted by one vote.

There will be no separate discussion of these items unless a member of the City Council or City staff requests that specific items be removed from the Consent Calendar for separate discussion and consideration of action.

Members of the public may address the City Council on any item appearing on the Consent Calendar at the time the item is considered, regardless of whether or not the item has been removed from the Consent Calendar.

Items that are removed from the Consent Calendar will be considered after the items remaining on the Consent Calendar.

7.1 City Council Minutes
Recommendation: Approve the City Council meeting minutes for the regular meeting on November 19, 2025.

7.2 Payment Register
Recommendation: Approve the payment register dated December 17, 2025 in the amount of $924,033.44.

Laguna Woods City Council Agenda  12/17/2025 Regular Page 7 of 14

7.3 Fiscal Years 2025-27 Budget Adjustments
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

APPROPRIATIONS TO RETURN (TRANSFER) UNSPENT FUNDS TO THE

GENERAL FUND AND UNASSIGNING THE UNSPENT FUNDS

7.4 Solid Waste Handling Services
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, APPROVING AND AUTHORIZING THE

EXECUTION OF A FIFTH AMENDMENT OF THE AGREEMENT WITH

CR&R INCORPORATED FOR SOLID WASTE HANDLING SERVICES,

AND DETERMINING AND CERTIFYING THAT THE FIFTH AMENDMENT

IS EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT

7.5 Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope

1. Approve the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” specifications as prepared by the project engineer.

AND

2. Approve a notice of exemption for the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorize the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND

3. Award a contract agreement to Bear Electrical Solutions, LLC for the

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construction of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope”, including all four alternative bid items included in the bid solicitation, in the amount of $180,775.00, plus authorized change orders not to exceed 20% ($36,155.00) of the base amount; and authorize the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

7.6 Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway)

1. Approve the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) specifications as prepared by the project engineer.

AND

2. Approve a notice of exemption for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorize the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND

3. Approve a cooperative agreement for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) with the City of Laguna Hills, and authorize the City Manager to execute the cooperative agreement, subject to approval as to form by the City Attorney.

AND

4. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, AMENDING AND ADOPTING THE FISCAL
YEARS 2025-27 BUDGET AND WORK PLAN FOR FISCAL YEAR 2025-26 COMMENCING JULY 1, 2025 AND ENDING JUNE 30, 2026, AND
FISCAL YEAR 2026-27 COMMENCING JULY 1, 2026 AND ENDING
JUNE 30, 2027, INCREASING GENERAL FUND AND CAPITAL
Laguna Woods City Council Agenda  12/17/2025 Regular Page 9 of 14 PROJECTS FUND APPROPRIATIONS FOR THE “PAVEMENT

MANAGEMENT PLAN PROJECT (EASTBOUND SANTA MARIA AVENUE
BETWEEN SANTA VITTORIA DRIVE AND MOULTON PARKWAY)”
AND

5. Award a contract agreement to Hardy & Harper, Inc. for the construction of the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway), including all six alternative bid items included in the bid solicitation, in the amount of $467,200.00, plus authorized change orders not to exceed 20% ($93,440.00) of the base amount; and authorize the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

7.7 Measure M2 (OC Go) Expenditure Report
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, ADOPTING AND CONCERNING THE
MEASURE M2 EXPENDITURE REPORT FOR FISCAL YEAR 2024-25
COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025
VIII. PUBLIC HEARINGS

8.1 Conditional Use Permit CUP-2025-0003, a request by The Camino School/St. Nicholas Catholic Church for approval of a conditional use permit amending Conditional Use Permit CUP-291 to allow for the establishment of an educational institution use, alternative provisions to off-street parking regulations resulting in a reduction in available offstreet parking stalls during certain hours, and installation of an outdoor shed at the property located at 24252 El Toro Road, Laguna Woods, CA 92637
Recommendation: Cancel the public hearing.
(Note: This item will instead be considered at the City Council’s meeting on January 21, 2026 at 2 p.m. at Laguna Woods City Hall 24264 El Toro Road, Laguna Woods, CA 92637.)

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8.2 Community Development Block Grant (CDBG) Public Facilities & Improvements Project Proposals
Recommendation:

1. Receive staff report.

AND

2. Open public hearing.

AND

3. Receive public testimony.

AND

4. Close public hearing.

AND

5. Ratify the City Manager’s submittal of a proposal to the County of Orange requesting $500,000 in Community Development Block Grant (CDBG) funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012-000089- NC) to support the “Pedestrian Accessibility Improvement Project:

Phase 10”, which generally consists of:
• A $250,000 primary project involving the reconstruction of two driveway crossings (one on Moulton Parkway generally south of the Mobil Station and one on Moulton Parkway south of The Coffee Bean and Tea Leaf before Laguna Country United
Methodist Church); and
• A $250,000 waitlist/expanded scope project involving the installation of two new safety lights at two intersections (El Toro Road/Canyon Wren Lane and El Toro Road/Calle Corta).

AND

6. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, RATIFYING THE SUBMITTAL OF A PROPOSAL Laguna Woods City Council Agenda  12/17/2025 Regular Page 11 of 14

TO THE COUNTY OF ORANGE FOR COMMUNITY DEVELOPMENT

BLOCK GRANT (CDBG) FUNDS, PROSPECTIVELY ACCEPTING THE

AWARD OF SUCH CDBG FUNDS, MAKING RELATED
AUTHORIZATIONS RELATED TO THE FISCAL YEAR 2026-27 PUBLIC

FACILITIES & IMPROVEMENTS GRANT PROGRAM (COUNTY OF
ORANGE RFA #012-000089-NC), AND DETERMINING AND

CERTIFYING THAT THE SUBMITTAL OF A PROPOSAL AND

ACCEPTANCE OF THE AWARD OF FUNDS IS EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
IX. CITY COUNCIL BUSINESS

9.1 Fiscal Year 2024-25 Annual Comprehensive Financial Report and Various Fiscal Year 2024-25-related Reports and Statements from Independent Auditors/Accountants
Recommendation: Receive and file the following documents pertaining to Fiscal Year 2024-25:
• Annual Comprehensive Financial Report for the Fiscal Year Ended June 30, 2025 (Fiscal Year 2024-25); and
• Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and
• Independent Auditor’s Statements on Auditing Standards 114 Letter: The Auditor’s Communication with Those Charged with Governance; and
• Independent Accountants’ Report on Agreed-Upon Procedures Applied to Appropriations Limit Worksheet No. 6 for the Fiscal Year Ended June 30, 2025; and
• Independent Accountants’ Report on the Alternative Compliance Examination Engagement for Recipients That Would Otherwise be Required to Undergo a Single Audit or Program-Specific Audit as a Result of Receiving Coronavirus State and Local Fiscal Recovery Funds for the Fiscal Year Ended June 30, 2025.

9.2 California Employers’ Pension Prefunding Trust Fund Recommendation:

1. Approve a contribution of $262,828 to the California Employers’

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Pension Prefunding Trust Fund (“CEPPT”) for investment in the CEPPT Strategy 1 portfolio and authorize the City Manager and Administrative Services Director/City Treasurer to cause such contribution to be made and to execute agreements, documents, and certifications necessary to do so.

AND

2. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, AMENDING AND ADOPTING THE FISCAL
YEARS 2025-27 BUDGET AND WORK PLAN FOR FISCAL YEAR 2025-26 COMMENCING JULY 1, 2025 AND ENDING JUNE 30, 2026, AND
FISCAL YEAR 2026-27 COMMENCING JULY 1, 2026 AND ENDING
JUNE 30, 2027, INCREASING GENERAL FUND APPROPRIATIONS FOR A CONTRIBUTION TO THE CALIFORNIA EMPLOYERS’ PENSION
PREFUNDING TRUST FUND (“CEPPT”), AND MAKING RELATED

AUTHORIZATIONS

9.3 Public Safety Grant Program
Recommendation: Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 5.1

PERTAINING TO THE ESTABLISHMENT OF A PUBLIC SAFETY GRANT

PROGRAM AND RELATED FUNDING PROGRAMS, AND ALLOCATING
EXISTING FISCAL YEARS 2025-26 AND 2026-27 GENERAL FUND

BUDGET APPROPRIATIONS TO FUNDING PROGRAMS

9.4 Potential lease of a portion of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637
Recommendation: Approve a ground lease agreement with the Orange County Fire Authority for the lease of a portion of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637 (Orange County Assessor’s Parcel Number 616-012-18) to the Orange County Fire Authority for the construction, operation, and maintenance of a new fire station and for public safety purposes, and authorize the City Manager to execute the ground lease agreement, subject to approval as to form by the City Attorney.

Laguna Woods City Council Agenda  12/17/2025 Regular Page 13 of 14

9.5 City Council Salary
(agendized by Mayor Horne)
Recommendation: Direct staff to draft an ordinance for future consideration by the City Council that would – if adopted by the City Council – increase the salary that each member of the City Council is eligible to receive beginning with salaries paid for January 2027.

X. CITY COUNCIL REPORTS AND COMMENTS
About City Council Reports and Comments: This is the time and place for members of the City Council to provide reports on meetings attended including, but not limited to, meetings of regional boards and entities to which they have been appointed to represent the City of Laguna Woods and meetings attended at the expense of the City of Laguna Woods pursuant to California Government Code Section 53232.3. Members of the City Council may also make other comments and announcements.

10.1 Coastal Greenbelt Authority
Mayor Pro Tem McCary, First Alternate: Councilmember Lee, Second Alternate: Councilmember Conners

10.2 Orange County Fire Authority
Mayor Horne

10.3 Orange County Library Advisory Board
Councilmember Moore; Alternate: Mayor Pro Tem McCary

10.4 Orange County Mosquito and Vector Control District Councilmember Lee

10.5 San Joaquin Hills Transportation Corridor Agency
Councilmember Conners; Alternate: Councilmember Lee

10.6 South Orange County Watershed Management Area
Councilmember Moore; Alternate: Mayor Pro Tem McCary

10.7 Liaisons to Laguna Woods Community Bridge Builders Mayor Horne and Mayor Pro Tem McCary

10.8 Other Comments and Reports

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[THE CITY COUNCIL WILL TAKE A BRIEF RECESS.]
XI. CITY COUNCIL BUSINESS

11.1 City Council Organization – Office of the Mayor
Recommendation: Appoint a member of the City Council to serve as Mayor effective immediately through December 2026.

11.2 City Council Organization – Office of the Mayor Pro Tem Recommendation: Appoint a member of the City Council to serve as Mayor Pro Tem effective immediately through December 2026.

11.3 City Council Meeting Schedule
Recommendation:

1. Schedule an adjourned regular meeting of the City Council for December 22, 2025 at 2 p.m. at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637.

AND

2. Approve a new City Council meeting schedule for January 2026 through June 2027.

XII. CLOSED SESSION
Closed Session Note: While members of the public are not permitted to attend closed session, prior to convening in closed session, the City Council will accept public comments on items appearing on the closed session agenda.

XIII. CLOSED SESSION REPORT
XIV. ADJOURNMENT
Next Regular Meeting: Wednesday, January 21, 2026 at 2 p.m.

Laguna Woods City Hall
24264 El Toro Road, Laguna Woods, CA 92637

4.1 MARCIA MILCHIKER – 40TH ANNIVERSARY,

SOUTH ORANGE COUNTY COMMUNITY

COLLEGE DISTRICT BOARD OF TRUSTEES
(AGENDIZED BY MAYOR HORNE)
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MARCIA MILCHIKER
40th Anniversary
South Orange County Community College District
Board of Trustees
On behalf of the City of Laguna Woods, it is an honor and a pleasure to extend this commendation to Marcia Milchiker in recognition of her 40 years of service as a member of the South Orange County Community College District Board of Trustees. Your dedication to your post and commitment to lifelong learning and education, including your continuing support for the Saddleback College Emeritus Institute, is deeply appreciated.

Commendation
Dated this 17th day of December 2025
City of Laguna Woods
________________________________
Shari L. Horne
Mayor
________________________________
Attest: Yolie Trippy
City Clerk
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6.1 CITY TREASURER’S REPORT
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Notes: The City of Laguna Woods uses a modified accrual basis of accounting, which generally means that revenues are recognized when a transaction occurs, and expenditures are recognized when obligations are created. As such, this monthly financial snapshot reflects only revenue known and expenditures paid for the month referenced as of the date prepared. In some cases, financial statements from financial dealers, depositories, and institutions may not have been received as of the date prepared and, therefore, some revenue and expenditures may not be reflected. Certificates of deposit may also have accrued interest that is not reflected because it is not yet vested. For more information on the specific information included in this monthly financial snapshot, please refer to the full City Treasurer’s Report.

Financial Assets IN THE BANK as of November 30, 2025

BY INVESTMENT TYPE
Cash and
Cash Equivalents
$
710,937

5.19% of portfolio
Pooled Money
Investment Accounts
$
6,182,382

45.09% of portfolio
This includes investments in a state
government investment pool and in the
California Asset Management Program pool.

Investments -
Earning
$
6,816,866

49.72% of portfolio
This includes certificates of deposit.

BY FUND
General Fund (Operating) $
5,941,939
General Fund (Reserves) $
4,651,600
The General Fund is the City of Laguna Woods’ primary operating fund and is used to account for the proceeds of revenue sources that are not legally restricted or committed to expenditures for specified purposes. Reserves for paid leave, self-insurance, and general contingencies are also included in the General Fund.

Special Revenue Funds $
3,116,646
These funds are used to account for the proceeds of revenue sources that are legally restricted or committed to expenditures for specified purposes.

Most of these funds are legally restricted for public street purposes.

Financial Assets HELD IN TRUST FUNDS as of November 30, 2025

C I T Y O F L A G U N A W O O D S
City Treasurer’s Report
Monthly Financial Snapshot
November 2025
(prepared 12/11/25)
California Employers’
Pension Prefunding Trust Fund
(CEPPT)
$
315,666
• New Contributions $
0 • Gain/(Loss) from
Month Prior
$
1,905
The CEPPT is used to prefund employee pension obligations.

California Employers’
Retiree Benefit Trust Fund
(CERBT)
• New Contributions
• Gain/(Loss) from
Month Prior
The CERBT is used to prefund statutorily required retiree medical benefits. $
159,948
$
0 $
922
Total (All Funds) $
13,710,185 Total (All Funds) $
13,710,185
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7.0 CONSENT CALENDAR SUMMARY
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ITEM 7.0
CC  12-17-2025 RM Consent Calendar Summary – AR Page 1 of 4 City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Consent Calendar Summary
Recommendation
Approve all proposed actions on the December 17, 2025 Consent Calendar by single motion and City Council action.

Background
All items appearing on the Consent Calendar are considered by the City Manager to be routine and will be enacted by one vote. There will be no separate discussion of these items unless a member of the City Council or City staff requests that specific items be removed from the Consent Calendar for separate discussion and consideration of action.

Items that are removed from the Consent Calendar will be considered after the items remaining on the Consent Calendar.

Summary
The December 17, 2025 Consent Calendar contains the following items:

7.1 Approval of the City Council meeting minutes for the regular meeting on ITEM 7.0
Consent Calendar Summary – AR Page 2 of 4 CC  12-17-2025 RM November 19, 2025.

7.2 Approval of the payment register dated December 17, 2025 in the amount of $924,033.44. A list of payments is included in the agenda packet; detailed information about individual payments is available at or from City Hall.

7.3 Adoption of a resolution amending and adopting the Fiscal Years 2025-27 Budget and Work Plan for Fiscal Year 2025-26 commencing July 1, 2025 and ending June 30, 2026, and Fiscal Year 2026-27 commencing July 1, 2026 and ending June 30, 2027, increasing Capital Projects Fund appropriations to return (transfer) unspent funds to the General Fund and unassigning the unspent funds. The proposed resolution would unassign and return to the General Fund balance $153,767 in funds that were appropriated but unspent for a capital improvement project that is now complete.

7.4 Adoption of a resolution approving and authorizing the execution of a fifth amendment of the agreement with CR&R Incorporated for solid waste handling services, and determining and certifying that the fifth amendment is exempt from the California Environmental Quality Act. The proposed amendment would remove the requirement for CR&R Incorporated to procure and maintain Cyber Technology Errors and Omissions insurance, which the California Joint Powers Insurance Authority (“CJPIA”) has advised is unnecessary due to the services provided.

7.5 [1] Approval of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” specifications as prepared by the project engineer.

AND
[2] Approval of a notice of exemption for the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND
ITEM 7.0
CC  12-17-2025 RM Consent Calendar Summary – AR Page 3 of 4 [3] Award of a contract agreement to Bear Electrical Solutions, LLC for the construction of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope”, including all four alternative bid items included in the bid solicitation, in the amount of $180,775.00, plus authorized change orders not to exceed 20% ($36,155.00) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

An agenda report is included with additional information.

7.6 [1] Approval of the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) specifications as prepared by the project engineer.

AND
[2] Approval of a notice of exemption for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND
[3] Approval of a cooperative agreement for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) with the City of Laguna Hills, and authorization for the City Manager to execute the cooperative agreement, subject to approval as to form by the City Attorney.

AND
[4] Adoption of a resolution amending and adopting the Fiscal Years 2025- 27 Budget and Work Plan for Fiscal Year 2025-26 commencing July 1, 2025 and ending June 30, 2026, and Fiscal Year 2026-27 commencing July 1, 2026 and ending June 30, 2027, increasing General Fund and Capital Projects Fund appropriations for the “Pavement Management Plan Project ITEM 7.0
Consent Calendar Summary – AR Page 4 of 4 CC  12-17-2025 RM (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway).”
AND
[5] Award of a contract agreement to Hardy & Harper, Inc. for the construction of the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway), including all six alternative bid items included in the bid solicitation, in the amount of $467,200.00, plus authorized change orders not to exceed 20% ($93,440.00) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

An agenda report is included with additional information.

7.7 Adoption of a resolution adopting and concerning the Measure M2 Expenditure Report for Fiscal Year 2024-25 commencing July 1, 2024 and ending June 30, 2025. The City is required to annually report on Measure M2 net revenues, developer/traffic impact fees, and funds expended to meet Maintenance of Effort requirements. The annual report must be submitted to the Orange County Transportation Authority (“OCTA”) within six months of each fiscal year in order for the City to remain eligible to receive Measure M2 funds. The proposed report has been reviewed by OCTA staff.

7.1 CITY COUNCIL MINUTES
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.1
November 19, 2025 1 City Council Regular Meeting Minutes

CITY OF LAGUNA WOODS CALIFORNIA

CITY COUNCIL MINUTES

REGULAR MEETING
November 19, 2025
2:00 P.M.

Laguna Woods City Hall
24264 El Toro Road
Laguna Woods, California 92637

I. CALL TO ORDER
Mayor Horne called the Regular Meeting of the City Council of the City of Laguna Woods to order at 2:02 p.m.

II. ROLL CALL
COUNCILMEMBER: PRESENT: Conners, Moore, McCary, Horne
ABSENT: Lee
All councilmembers participated in-person at the meeting location.

STAFF PRESENT: City Manager Macon, City Attorney Patterson, Administrative Services Director/City Treasurer Torres, City Clerk Trippy All staff participated in-person at the meeting location.

III. PLEDGE OF ALLEGIANCE
Mayor Horne led the pledge of allegiance.

IV. PRESENTATIONS AND CEREMONIAL MATTERS

4.1 Family Caregivers Month – November 2025
(agendized by Mayor Horne)
City Clerk Trippy read the proclamation.

Councilmembers made comments.

Moved by Councilmember Conners, seconded by Councilmember Moore, and carried on a 4-0 vote with Councilmember Lee absent, to approve and present the proclamation.

V. PUBLIC COMMENTS ON NON-AGENDA ITEMS
Vicki Johnson, resident, commented on the Orange County Power Authority and community ITEM 7.1
November 19, 2025 2 City Council Regular Meeting Minutes choice aggregation.

Mike Raugh, resident, commented on the Orange County Power Authority and community choice aggregation. Mr. Raugh provided a handout to the City Council.

VI. CITY TREASURER’S REPORT

6.1 City Treasurer’s Report
Administrative Services Director/City Treasurer Torres made a presentation.

Moved by Councilmember Conners, seconded by Councilmember Moore, and carried on a 4-0 vote with Councilmember Lee absent, to receive and file the City Treasurer’s Report for the month of October 2025.

6.2 Quarterly Financial Report
Administrative Services Director/City Treasurer Torres made a presentation.

Vicki Johnson, resident, asked about cannabis business tax revenue.

Councilmembers and City Manager Macon briefly responded to Ms. Johnson’s comments.

Councilmembers discussed the item and staff responded to questions.

Jim Hopkins, resident, briefly responded to a question from Councilmember Moore.

Moved by Councilmember Moore, seconded by Mayor Pro Tem McCary, and carried on a 4-0 vote with Councilmember Lee absent, to receive and file the Quarterly Financial Report for the first quarter of Fiscal Year 2025-26.

VII. CONSENT CALENDAR
Moved by Councilmember Moore, seconded by Mayor Pro Tem McCary, and carried on a 4-0 vote with Councilmember Lee absent, to approve Consent Calendar items 7.1-7.8.

7.1 City Council Minutes
Approved the City Council meeting minutes for the regular meeting on October 15, 2025.

7.2 Payment Register
Approved the payment register dated November 19, 2025, in the amount of $1,260,471.63.

7.3 Advanced Transportation Management Solution
ITEM 7.1
November 19, 2025 3 City Council Regular Meeting Minutes Approved an amendment to the agreement with Econolite System, Inc. for Centracs® Mobility services and authorized the City Manager to execute the amendment, subject to approval as to form by the City Attorney.

7.4 Circulation Improvement Project – Fiscal Year 2024-25

1. Approved the final record plans and specifications reflecting completion of the “Circulation Improvement Project – Fiscal Year 2024-25” as prepared by the project engineer.

AND

2. Accepted project completion of the contract agreement with Bear Electrical Solutions, LLC for the construction of the “Circulation Improvement Project – Fiscal Year 2024- 25” and authorized the City Manager to execute and record, or cause to be executed and recorded, a notice of completion with the County of Orange.

AND

3. Authorized the City Manager to release the contract retention payment withheld per state law, and exonerate project posted bonds, for the “Circulation Improvement Project – Fiscal Year 2024-25,” 35 days following recordation of the notice of completion with the County of Orange, to the extent allowed by state law.

7.5 Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project:

Phase 9B

1. Approved the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9B” specifications as prepared by the project engineer.

AND

2. Approved a notice of exemption for the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9B” finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorized the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND

3. Awarded a contract agreement to Hardy & Harper, Inc. for the construction of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9B”, including all six alternative bid items included in the bid solicitation, in the amount of $83,578.00, plus authorized change orders not to exceed 20% ($16,715.60) of the base amount; and authorized the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract ITEM 7.1
November 19, 2025 4 City Council Regular Meeting Minutes agreement as to form by the City Attorney.

7.6 Circulation Improvement Project – Fiscal Year 2025-26

1. Approved the “Circulation Improvement Project – Fiscal year 2025-26” specifications as prepared by the project engineer.

AND

2. Approved a notice of exemption for the “Circulation Improvement Project – Fiscal Year 2025-26” finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorized the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND

3. Awarded a contract agreement to Bear Electrical Solutions, LLC for the construction of the “Circulation Improvement Project – Fiscal Year 2025-26”, in the amount of $126,535.00, plus authorized change orders not to exceed 15% ($18,980.25) of the base amount; and authorized the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

7.7 Public Nuisance – 24351 Moulton Parkway, Laguna Woods, CA 92637 Adopted a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, FINDING AND DECLARING CONDITIONS
PRESENT AT 24351 MOULTON PARKWAY, LAGUNA WOODS, CA
92637 TO BE A PUBLIC NUISANCE AND ORDERING THE

ABATEMENT THEREOF PURSUANT TO THE CALIFORNIA CIVIL

CODE AND THE LAGUNA WOODS MUNICIPAL CODE

7.8 League of California Cities (Cal Cities) Policy Committee Travel Authorized expenditures from the City’s existing City Council Department budget for airfare to and from John Wayne Airport and Sacramento International Airport, and taxi or other ground transportation to and from Sacramento International Airport and the Sacramento Convention Center, for Mayor Pro Tem McCary to participate in the League of California Cities’ Community Services Policy Committee meeting on January 22, 2026, in a total amount not to exceed $600.

VIII. PUBLIC HEARINGS

8.1 2025 California Building Standards Code and Local Amendments ITEM 7.1
November 19, 2025 5 City Council Regular Meeting Minutes City Manager Macon made a presentation.

Public testimony resumed for the public hearing that was continued from the regular meeting of the City Council on October 15, 2025.

Mike Raugh, resident, commented on electric transmission lines and the importance of coordinating with electric utilities.

There being no other requests to speak, the public hearing was closed.

City Manager Macon responded to comments from Mayor Pro Tem McCary.

Moved by Mayor Pro Tem McCary, seconded by Councilmember Conners, and carried on a 4-0 vote with Councilmember Lee absent, to:

1. Approve second reading and adopt an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAGUNA WOODS, CALIFORNIA, AMENDING TITLE 10 OF THE

LAGUNA WOODS MUNICIPAL CODE (BUILDINGS AND
CONSTRUCTION) AND ADOPTING BY REFERENCE THE 2025

EDITION OF THE CALIFORNIA BUILDING STANDARDS CODE
(CALIFORNIA CODE OF REGULATIONS, TITLE 24), CONSISTING
OF THE 2025 CALIFORNIA ADMINISTRATIVE CODE, 2025
CALIFORNIA BUILDING CODE, 2025 CALIFORNIA RESIDENTIAL
CODE, 2025 CALIFORNIA ELECTRICAL CODE, 2025 CALIFORNIA
MECHANICAL CODE, 2025 CALIFORNIA PLUMBING CODE, 2025
CALIFORNIA ENERGY CODE, 2025 WILDLAND-URBAN
INTERFACE CODE, 2025 CALIFORNIA HISTORICAL BUILDING
CODE, 2025 CALIFORNIA FIRE CODE, 2025 CALIFORNIA
EXISTING BUILDING CODE, 2025 CALIFORNIA GREEN BUILDING
STANDARDS CODE, AND 2025 CALIFORNIA REFERENCED
STANDARDS CODE; AND DETERMINING AND CERTIFYING

THAT THE ORDINANCE IS EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
AND

2. Approve second reading and adopt an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAGUNA WOODS, CALIFORNIA, AMENDING TITLE 10
(BUILDINGS AND CONSTRUCTION) OF THE LAGUNA WOODS

MUNICIPAL CODE TO ADOPT CERTAIN AMENDMENTS,
ITEM 7.1
November 19, 2025 6 City Council Regular Meeting Minutes ADDITIONS, AND DELETIONS TO THE 2025 CALIFORNIA FIRE
CODE (CALIFORNIA CODE OF REGULATIONS, TITLE 24, PART 9);

AND DETERMINING AND CERTIFYING THAT THE ORDINANCE IS

EXEMPT FROM THE CALIFORNIA ENVIRONMENTAL QUALITY
ACT
AND

3. Approve second reading and adopt an ordinance – read by title with further reading waived – titled:

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
LAGUNA WOODS, CALIFORNIA, AMENDING TITLE 10
(BUILDINGS AND CONSTRUCTION) OF THE LAGUNA WOODS

MUNICIPAL CODE TO ADOPT CERTAIN AMENDMENTS,
ADDITIONS, AND DELETIONS TO THE 2025 CALIFORNIA

WILDLAND-URBAN INTERFACE CODE (CALIFORNIA CODE OF
REGULATIONS, TITLE 24, PART 7); AND DETERMINING AND

CERTIFYING THAT THE ORDINANCE IS EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT

8.2 Conditional Use Permit CUP-2023-0004, a request by Philip Bellafaire for approval of a conditional use permit amending Conditional Use Permit CUP-559 to allow for outdoor storage and alternative provisions to off-street parking regulations resulting in a reduction in off-street parking stalls at the property located at 23252 Via Campo Verde, Laguna Woods, CA 92637
City Manager Macon made a presentation.

Mayor Horne opened the public hearing.

Philip Bellafaire, Saddleback Golf Carts, commented on his request.

Vicki Johnson, resident, commented on the lack of a sidewalk on Via Campo Verde.

City Manager Macon briefly responded to Ms. Johnson’s comments.

With no other requests to speak, the public hearing was closed.

Councilmember Conners made comments.

Moved by Councilmember Conners, seconded by Mayor Pro Tem McCary, and carried on a 4-0 vote with Councilmember Lee absent, to approve a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT
ITEM 7.1
November 19, 2025 7 City Council Regular Meeting Minutes CUP-2023-0004 TO AMEND CONDITIONAL USE PERMIT CUP-559

TO ALLOW FOR OUTDOOR STORAGE AND ALTERNATIVE

PROVISIONS TO OFF-STREET PARKING REGULATIONS

RESULTING IN A REDUCTION IN OFF-STREET PARKING STALLS
AT THE PROPERTY LOCATED AT 23252 VIA CAMPO VERDE,
LAGUNA WOODS, CA 92637, AND DETERMINING THAT THE

CONDITIONAL USE PERMIT IS CATEGORICALLY EXEMPT FROM

THE CALIFORNIA ENVIRONMENTAL QUALITY ACT PURSUANT
TO SECTION 15301 OF TITLE 14 OF THE CALIFORNIA CODE OF

REGULATIONS

8.3 Conditional Use Permit CUP-2025-0002, a request by Temple Judea of Laguna Hills for approval of a conditional use permit amending Conditional Permit CP-1531 and any applicable prior approvals to allow for the establishment of a small group learning and tutoring services use at the property located at 24512 Moulton Parkway, Laguna Woods, CA 92637
City Manager Macon made a presentation.

Mayor Horne opened the public hearing.

With no requests to speak, the public hearing was closed.

Mayor Pro Tem McCary made comments.

Moved by Mayor Pro Tem McCary, seconded by Councilmember Conners, and carried on a 4-0 vote with Councilmember Lee absent, to approve a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, APPROVING CONDITIONAL USE PERMIT
CUP-2025-0002 TO AMEND CONDITIONAL PERMIT CP-1531 AND

ANY APPLICABLE PRIOR APPROVALS TO ALLOW FOR THE

ESTABLISHMENT OF A SMALL GROUP LEARNING AND

TUTORING SERVICES USE AT THE PROPERTY LOCATED AT
24512 MOULTON PARKWAY, LAGUNA WOODS, CA 92637, AND

DETERMINING THAT THE CONDITIONAL USE PERMIT IS

CATEGORICALLY EXEMPT FROM THE CALIFORNIA
ENVIRONMENTAL QUALITY ACT PURSUANT TO TITLE 14 OF

THE CALIFORNIA CODE OF REGULATIONS
IX. CITY COUNCIL BUSINESS

9.1 Potential lease of a portion of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637 Mayor Horne recused herself from this item and left the meeting. (“I serve as the City’s ITEM 7.1
November 19, 2025 8 City Council Regular Meeting Minutes designated representative on the Orange County Fire Authority’s Board of Directors. This item involves a lease for a new fire station that must be approved by both this City Council and the Orange County Fire Authority. Out of an abundance of caution, I am recusing myself. Although I have no financial interest in this lease, I do not want to be in a position where I am responsible for voting on an agreement on behalf of both parties to the agreement. I plan to recuse myself if this lease comes before the Orange County Fire Authority's Board of Directors, as well.”)
City Manager Macon made a presentation.

Councilmembers discussed the item and staff responded to questions.

Mike Raugh, resident, asked for clarification on the potential fire station location.

City Manager Macon and Councilmember Conners briefly responded to Mr. Raugh’s comments.

Vicki Johnson, resident, asked questions regarding the Orange County Fire Authority.

City Manager Macon and councilmembers briefly responded to Ms. Johnson’s comments.

Councilmembers discussed the item and staff responded to questions.

Moved by Councilmember Moore, seconded by Councilmember Conners, and carried on a 3-0 vote with Mayor Horne recused and Councilmember Lee absent, to adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, DECLARING THE PORTION OF THE REAL

PROPERTY COMMONLY KNOWN AS CITY CENTRE PARK
LOCATED AT 24121 MOULTON PARKWAY, LAGUNA WOODS, CA
92637 (ORANGE COUNTY ASSESSOR’S PARCEL NUMBER 616-012-
18) THAT WOULD BE LEASED TO THE ORANGE COUNTY FIRE

AUTHORITY FOR THE CONSTRUCTION, OPERATION, AND

MAINTENANCE OF A NEW FIRE STATION AND FOR PUBLIC
SAFETY PURPOSES TO BE “EXEMPT PUBLIC LAND” AS THAT

PHRASE IS DEFINED IN THE CALIFORNIA SURPLUS LAND ACT
Mayor Horne returned to the meeting at 3:45 p.m.

9.2 Objective Design and Development Regulations
(agendized by Councilmember Moore)
Councilmember Moore introduced the item.

City Manager Macon made a presentation.

ITEM 7.1
November 19, 2025 9 City Council Regular Meeting Minutes Kathyn Freshley, resident, spoke in support of the development of objective design and development regulations. She spoke favorably of the Valencia Center’s architecture and critically of the recently approved changes to the Mobil Station.

Councilmember Moore briefly responded to Ms. Freshley’s comments.

Mike Raugh, resident, asked for clarification regarding this item’s applicability to Laguna Woods Village.

City Manager Macon and Councilmembers briefly responded to Mr. Raugh’s comments.

This item pertains only to commercial properties.

Vicki Johnson, resident, spoke in support of the development of objective design and development regulations and asked questions regarding cost.

City Manager Macon briefly responded to Ms. Johnson’s comments.

Councilmembers discussed the item and staff responded to questions.

X. CITY COUNCIL REPORTS AND COMMENTS

10.1 Coastal Greenbelt Authority
Mayor Pro Tem McCary provided a report.

10.2 Orange County Fire Authority
Mayor Horne provided a report.

10.3 Orange County Library Advisory Board
Councilmember Moore provided a report.

10.4 Orange County Mosquito and Vector Control District No report

10.5 San Joaquin Hills Transportation Corridor Agency
Councilmember Conners briefly responded to Mayor Pro Tem McCary’s Coastal Greenbelt Authority report, briefly commented on the Laguna Woods OC Public Library, and provided a report on the San Joaquin Hills Transportation Corridor Agency.

10.6 South Orange County Watershed Management Area
No report. Councilmember Moore stated that she would provide a report on water issues ITEM 7.1
November 19, 2025 10 City Council Regular Meeting Minutes at a later time.

10.7 Liaisons to Community Bridge Builders
Mayor Horne provided a report.

Councilmember Conners made comments.

10.8 Other Comments and Reports
Councilmember Conners and Mayor Horne commented on their recent participation in a resident’s 100th birthday celebration.

City Manager Macon expressed a need to revisit Item 9.1.

IX. CITY COUNCIL BUSINESS

City Manager Macon stated that, based on an email received from California Department of Housing and Community Development staff during this City Council meeting, there is a need to add an additional sentence to the resolution. He proposed adding the following sentence to the end of Section 3 of the resolution: “None of the characteristics listed under California Government Code Section 54221(f)(2) apply to the Premises.” City Manager Macon explained California Government Code Section 54221(f)(2).

Moved by Councilmember Moore, seconded by Councilmember Conners, and carried on a 3-0 vote with Mayor Horne recused and Councilmember Lee absent, to rescind the resolution previously adopted as part of Item 9.1 of today’s meeting and adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, DECLARING THE PORTION OF THE REAL

AUTHORITY FOR THE CONSTRUCTION, OPERATION, AND

MAINTENANCE OF A NEW FIRE STATION AND FOR PUBLIC
SAFETY PURPOSES TO BE “EXEMPT PUBLIC LAND” AS THAT

PHRASE IS DEFINED IN THE CALIFORNIA SURPLUS LAND ACT
as amended to add the following sentence to the end of Section 3: “None of the ITEM 7.1
November 19, 2025 11 City Council Regular Meeting Minutes characteristics listed under California Government Code Section 54221(f)(2) apply to the Premises.”
Mayor Horne returned to the meeting at 4:49 p.m.

XI. CLOSED SESSION – None
XII. CLOSED SESSION REPORT – None
XII. ADJOURNMENT
The meeting was adjourned at 4:49 p.m. The next regular meeting will be at 2:00 p.m. on Wednesday, December 17, 2025 at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637.
__________________________________
YOLIE TRIPPY, CMC, City Clerk
Approved: December 17, 2025
__________________________________
SHARI L. HORNE, Mayor
This page is intentionally blank.

7.2 PAYMENT REGISTER
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

7.3 FISCAL YEARS 2025-27 BUDGET

ADJUSTMENTS
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.3
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

APPROPRIATIONS TO RETURN (TRANSFER) UNSPENT FUNDS TO

THE GENERAL FUND AND UNASSIGNING THE UNSPENT FUNDS
WHEREAS, the Fiscal Years 2025-26 Budget (“Budget”) was adopted by the City Council on June 25, 2025 (Resolution No. 25-18); and WHEREAS, per City Administrative Policy 2.9, increases in adopted fundlevel Budget appropriations require City Council approval; and Unspent Capital Projects Funds
WHEREAS, the following funds remain unspent, having been previously transferred from the General Fund to the Capital Projects Fund to support capital improvement projects that are now complete (“Unspent Capital Projects Funds”):

Project Amount
Unspent
Ridge Route Drive Drainage Repair Project $153,767
TOTAL $153,767
; and
WHEREAS, the City Council wishes to unassign the Unspent Capital Projects Funds (thereby making them available for other uses) and return (transfer) the same to the unassigned General Fund balance; and
WHEREAS, the Capital Projects Fund has sufficient funds to accommodate the increased appropriations; and
WHEREAS, increased appropriations in the Capital Projects Fund would be used to transfer that same amount to the unassigned General Fund balance.

ITEM 7.3
R 25-XX 2 XX-XX-2025

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Section 2 of Resolution No. 25-18, as previously amended by Resolution Nos. 25-28 and 25-34, is hereby amended, in its entirety, to read as follows:

The budget appropriations authorized, on a fund level, are:

Fiscal Year
2025-26
Adopted
Budget
Fiscal Year
2024-25
Carryover
Appropriations
Fiscal Year
2025-26
Budget
Amendments
Fiscal Year
2025-26
Amended
Budget
General Fund $10,814,328
(includes
transfers to
Capital
Projects Fund
of $1,860,000
and to the
Senior
Mobility Fund
of $406,052)
$64,902 $346,954A,B
$11,226,184
(includes
transfers to
Capital
Projects Fund
of $2,190,607
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $1,860,000 $687,100 $484,374B,C $3,031,474 Fuel Tax $404,557 - - $404,557
Road Maintenance &
Rehabilitation Program $515,824 $14,993 - $530,817
Measure M2 (OC Go) $267,780 - - $267,780
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,000 - - $10,000
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $652,598 - - $652,598
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 $233,233 - $233,233
State of California
Grants $0 $274,924 - $274,924
ITEM 7.3
R 25-XX 3 XX-XX-2025
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($2,266,052) - ($330,607)B ($2,596,659)
TOTAL $13,005,935 $1,275,151 $500,721 $14,781,807
A Fund Budget Adjustment CC-25/26-01: City Manager Agreement, +$16,347 (R 25-28) B Fund Budget Adjustment CC-25/26-02: Woods End Project, +$330,607 (R 25-34) C Fund Budget Adjustment CC-25/26-03: Unspent Capital Projects Funds, +$153,767 (R 25-XX) Fiscal Year
2026-27
Adopted
Budget
Fiscal Year
2025-26
Carryover
Appropriations
Fiscal Year
2026-27
Budget
Amendments
Fiscal Year
2026-27
Amended
Budget
General Fund $9,611,466
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
- $19,674A
$9,631,140
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $350,000 - - $350,000
Fuel Tax $439,580 - - $439,580
Road Maintenance &
Rehabilitation Program $529,206 - - $529,206
Measure M2 (OC Go) $284,878 - - $284,878
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,500 - - $10,500
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $686,906 - - $686,906
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 - - $0
State of California
Grants $0 - - $0
ITEM 7.3
R 25-XX 4 XX-XX-2025
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($756,052) - ($0) ($756,052)
TOTAL $12,309,436 $0 $19,674 $12,329,110
A Fund Budget Adjustment CC-26/27-01: City Manager Agreement, +$19,674 (R 25-28) The budget appropriations authorized by this section reflect the Fiscal Years 2025- 26 adopted budgets, plus authorized budget adjustments approved between July 1, 2025 and the date of this amendment. The budget appropriations authorized by this section also include carryovers of approved, but unspent, budget appropriations from prior fiscal years. Such carryovers were approved by the City Council with the adoption of the current budget and/or pursuant to Administrative Policy 2.9.

SECTION 2. The Unspent Capital Projects Funds shall be unassigned to the capital improvement projects for which they were previously assigned, effective with the passage and adoption of this resolution.

SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 7.3
R 25-XX 5 XX-XX-2025

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

CITY OF LAGUNA WOODS )
I, YOLIE TRIPPY, City Clerk of the City of Laguna Woods, do HEREBY CERTIFY that the foregoing Resolution No. 25-XX was duly adopted by the City Council of the City of Laguna Woods at a regular meeting thereof, held on the XX day of XX 2025, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
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7.4 SOLID WASTE HANDLING SERVICES
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.4 – Attachment A
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, APPROVING AND AUTHORIZING THE

EXECUTION OF A FIFTH AMENDMENT OF THE AGREEMENT

WITH CR&R INCORPORATED FOR SOLID WASTE HANDLING

SERVICES, AND DETERMINING AND CERTIFYING THAT THE

FIFTH AMENDMENT IS EXEMPT FROM THE CALIFORNIA

ENVIRONMENTAL QUALITY ACT
WHEREAS, on October 14, 2021, the City Council approved an exclusive franchise agreement with CR&R Incorporated for solid waste handling services, the term of which began on January 1, 2022 (“Agreement”); and WHEREAS, on December 15, 2021, the City Council approved the first amendment of the Agreement; and
WHEREAS, on February 9, 2022, the City Council approved the second amendment of the Agreement; and
WHEREAS, on April 29, 2024, the City Council approved the third amendment of the Agreement; and
WHEREAS, on September 17, 2025, the City Council approved the third amendment of the Agreement; and
WHEREAS, the City and CR&R Incorporated mutually desire to amend the Agreement as described in Exhibit A attached hereto (“Amendment”); and WHEREAS, California Public Resources Code Section 49300 requires the City Council to approve contracts for the collection and disposal of solid waste by either resolution or ordinance.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council hereby determines and certifies that it can ITEM 7.4 – Attachment A
R 25-XX 2 XX-XX-2025
be seen with certainty that the Amendment does not have a possibility of having a significant effect on the environment. Therefore, the adoption of the Amendment is not a project subject to the California Environmental Quality Act (“CEQA”) pursuant to Section 15061(b)(3) of Title 14 of the California Code of Regulations.

SECTION 3. The City Council hereby approves the Amendment with CR&R Incorporated, subject to the terms and conditions set forth in this resolution and the Amendment, which is attached hereto as Exhibit A and incorporated herein by reference, and authorizes the Mayor to execute the Amendment, subject to approval as to form by the City Attorney.

SECTION 4. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
This page is intentionally blank.
-1-
ITEM 7.4 – Exhibit A to Attachment A

FIFTH AMENDMENT TO THE AGREEMENT BETWEEN CITY OF

LAGUNA WOODS AND CR&R INCORPORATED FOR SOLID WASTE HANDLING

SERVICES

THIS FIFTH AMENDMENT TO THE AGREEMENT BETWEEN CITY OF LAGUNA

WOODS AND CR&R INCORPORATED FOR SOLID WASTE HANDLING SERVICES ("Amendment No. 5") is made and entered into as of ______ day of December, 2025 ("Effective Date"), by and between the CITY OF LAGUNA WOODS ("City"), and CR&R INCORPORATED ("Contractor").

R E C I T A L S
A. On or about January 1, 2022, City and Contractor entered into that certain Agreement between City of Laguna Woods and CR&R Incorporated for Solid Waste Handling Services ("Agreement"), pursuant to which City agreed to provide to Contractor an exclusive franchise for Solid Waste Handling Services within the City of Laguna Woods.

B. Subsequent to the adoption of the Agreement, City and Contractor identified the need to modify certain insurance requirements originally included in the Agreement. City and Contractor now wish to amend the Agreement to revise the applicable insurance provisions accordingly.

A M E N D M E N T
In consideration of the foregoing Recitals, which are incorporated herein by this reference, and the covenants and promises hereinafter contained, and for good and valuable consideration, the sufficiency and receipt of which are hereby acknowledged, the parties hereto agree to amend the Agreement as follows:

1. Amendment. The Agreement is hereby amended as set forth in Exhibit A.

2. Effect of Amendment. Except as expressly provided in this Amendment No. 5, all of the terms, conditions, and provisions set forth in the Agreement shall remain in full force and effect.

3. Effective Date. The effective date of this Amendment No. 5 shall be the latter of the dates set forth next to the signatures of the parties hereto, after both parties hereto have signed this Amendment No. 5, which date shall be inserted into the preamble to this Amendment No. 5.

4. Representations. The persons executing this Amendment No. 5 on behalf of each party hereto warrant that (a) they are duly authorized to execute this Amendment on behalf of the party for whom they sign, and (b) by so executing this Amendment No. 5, the party for whom they sign is formally bound to the provisions of this Amendment No. 5.

5. Counterparts. This Amendment No. 5 may be executed in counterparts, each of which, when both parties hereto have signed this Amendment No. 5, shall be deemed an original. -2-
ITEM 7.4 – Exhibit A to Attachment A
IN WITNESS WHEREOF, City and Contractor have caused this instrument to be executed on their behalf by their respective officers or agents herein duly authorized as of the date first written above.
“City”

CITY OF LAGUNA WOODS
By: Date:

Shari L. Horne, Mayor
ATTEST:

By:

Yolie Trippy, CMC, City Clerk
APPROVED AS TO FORM:

By:

Alisha Patterson, City Attorney
“Contractor”

CR&R INCORPORATED
By: Date:

Cliff Ronenberg, Chairman and
Chief Executive Officer
[END OF SIGNATURES]
-3-
ITEM 7.4 – Exhibit A to Attachment A
EXHIBIT A TO AMENDMENT NO. 5
Section 15.2.5 of the Table of Contents is amended to read as follows and with the correct page numbers inserted in place of “XX” (additions shown in underlining and deletions shown with strikethrough):

15.2 Minimum Limits of Insurance XX

15.2.1 Commercial General Liability XX

15.2.2 Automobile Liability XX

15.2.3 Workers’ Compensation and Employers Liability XX

15.2.4 Cyber Security and Privacy Liability XX

15.2.5 Cyber Technology Errors and OmissionsRESERVED XX Section 15.2.5 (“Cyber Technology Errors and Omissions”) is amended to read as follows (additions shown in underlining and deletions shown with strikethrough):

15.2.5 Cyber Technology Errors and OmissionsRESERVED
Contractor shall procure and maintain Cyber Technology Errors and Omissions insurance with limits of One Million Dollars ($1,000,000 per occurrence/loss, Two Million Dollars ($2,000,000) aggregate which shall include the following coverage:
(A) Liability arising from the theft, dissemination and/or use of confidential or personally identifiable information, including credit monitoring and regulatory fines arising from such theft, dissemination or use of the confidential information.
(B) Network security liability arising from the unauthorized use of, access to, or tampering with computer systems.
(C) Liability arising from the failure of technology products (software) required under the contract for Contractor to properly perform the services intended. (D) Claims alleging the failure of computer security that result in the transmission of malicious code, deletion, destruction or alteration of data, or the denial of service
(E) Electronic media liability arising from personal injury, plagiarism or misappropriation of ideas, domain name infringement or improper deep-linking or framing, and infringement or violation of intellectual property rights. (F) Liability arising from the rendering, or failure to render, professional services.
(G) If coverage is maintained on a claims-made basis, Contractor shall maintain such coverage for an additional period of three (3) years following termination of the contract. Required endorsements include a thirty (30) day notice of cancellation.

This page is intentionally blank.

7.5 AMERICANS WITH DISABILITIES ACT (ADA)

PEDESTRIAN ACCESSIBILITY IMPROVEMENT
PROJECT: PHASE 9 – EXPANDED SCOPE
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.5
CC  12-17-2025 RM ITEM 7.5 – AR Page 1 of 4
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope
Recommendation

1. Approve the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope” specifications as prepared by the project engineer.

AND

3. Award a contract agreement to Bear Electrical Solutions, LLC for the construction of the “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope”, including all four alternative bid items included in the bid solicitation, in the amount of $180,775.00, plus authorized change orders not to exceed 20% ($36,155.00) of the base amount; and authorize the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

ITEM 7.5
ITEM 7.5 – AR Page 2 of 4 CC  12-17-2025 RM
Background
The Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 (“base project”) is included in the Fiscal Years 2025-36 Capital Improvement Program. Due to lower than anticipated costs and the City receiving funding for its waitlist/expanded scope project, the base project has been split into three phases – 9, 9B, and Expanded Scope – all funded by a federal grant. • Phase 9 involves the reconstruction of the following driveway crossings: (1) El Toro Road adjacent to the Lutheran Church of the Cross and (2) Santa Maria Avenue adjacent to Polly’s Pies Restaurant & Bakery. A contract agreement to construct Phase 9 was awarded by the City Council on September 25, 2025; construction is currently underway. • Phase 9B involves removing and constructing concrete sidewalk panels, as well as traffic control, adjusting utility manholes and water valves to grade, re-establishing survey monuments, and replacing impacted existing pavement, painted striping, and pavement markings. A contract agreement to construct Phase 9B was awarded by the City Council on November 19, 2025; the notice to proceed will be issued in January 2026. • Expanded Scope involves installing push button assemblies, Accessible Pedestrian Signals (“APS”), and conduit, as well as removing and constructing concrete sidewalk panels.

The base project is intended to improve the ease and safety of pedestrian travel, while also promoting compliance with the federal Americans with Disabilities Act of 1990, Architectural Barriers Act of 1968, and Rehabilitation Act of 1973. The improvements are also called for in the General Plan Housing Element as part of Goal H-3 (Administer housing and community development programs and activities in a manner to affirmatively further fair housing for all persons) and Policy Objective H-3.1 (Enhance access to housing).

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope (“project”).

ITEM 7.5
CC  12-17-2025 RM ITEM 7.5 – AR Page 3 of 4
Staff recommends that the City Council take the following three actions to allow construction to proceed:

Recommendation 1
Approval of the project plans and specifications as prepared by the project engineer (Iteris, Inc.). The project plans and specifications are available for review at or from the City Clerk’s Office, Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637. Telephone: (949) 639-0500. Email:
[email protected].

Recommendation 2
Approval of a notice of exemption for the project (Attachment A) finding that the project is categorically exempt from the California Environmental Quality Act (“CEQA”) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law. For additional CEQA information, please refer to the Environmental Review section of this agenda report.

Recommendation 3
Award of a contract agreement to Bear Electrical Solutions, LLC for the construction of the project, including all four alternative bid items included in the bid solicitation, in the amount of $180,775.00, plus authorized change orders not to exceed 20% ($36,155.00) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

Bids to construct the project were solicited from October 16, 2025 through November 13, 2025. No bids were received during the solicitation.

Subsequent to the unsuccessful bid solicitation, staff obtained informal bids to construct the project, outside of the standard California Public Contract Code process, as allowed by California Public Contract Code Section 20166. Staff notified three contractors of the informal bid opportunity and accepted informal bids from November 13, 2025 through December 7, 2025.

Two informal bids were received by December 7, 2025 (see Table 1). After review, Bear Electrical Solutions, LLC is the lowest cost responsive bidder.

ITEM 7.5
ITEM 7.5 – AR Page 4 of 4 CC  12-17-2025 RM
The recommendation includes the base bid and all four alternative bids.

Table 1: Bids Received
Bidder Base Bid Amount Alternative Bid Amounts*
Bear Electrical Solutions,
LLC
$122,700.00 1: $9,430.00
2: $14,260.00
3: $14,375.00
4: $20,010.00
Total: $58,075.00
Crosstown Electrical & Data,
Inc.
$197,200.00 1: $17,250.00
2: $22,080.00
3: $24,150.00
4: $24,840.00
Total: $88,320.00
* The Alternative Bid Amounts are for various sidewalk replacements.

It is anticipated that construction would be complete within 30 calendar days of the date the City issues a Notice to Proceed to the selected contractor. Staff anticipates issuing the Notice to Proceed in January 2026.

Environmental Review
The project is categorically exempt from CEQA pursuant to California Code of Regulations, Title 14, Section 15301. For additional information, refer to the proposed notice of exemption (Attachment A).

Fiscal Impact
Sufficient funds to support this project are included in the City’s Community Development Block Grant (CDBG) Fund budget for Fiscal Year 2025-26.

Report Prepared With: April Baumgarten, Public Works Administrator Attachment: A – Proposed Notice of Exemption
Recording requested by City of Laguna Woods
When recorded, mail to City of Laguna Woods,
24264 El Toro Road, Laguna Woods, CA 92637.
(949) 639-0500
Exemption Code 6103

Page 1 of 3 ends

NOTICE OF EXEMPTION
To: County of Orange
Orange County Clerk-Recorder
P.O. Box 238
Santa Ana, CA 92701
From: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Title: Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9 – Expanded Scope
Project Applicant: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Location – Specific: The project is located within the City of Laguna Woods’ public right-of-way in the following locations:
• Intersection of El Toro Road/Calle Sonora
• Intersection of El Toro Road/Home Depot & Town Centre • Intersection of El Toro Road/Moulton Parkway
• Intersection of Moulton Parkway/Laguna Woods Village Gates 12 & 16 • Intersection of Moulton Parkway/Via Campo Verde
• Intersection of Santa Maria Avenue/Moulton Parkway
• Intersection of El Toro Road/Lutheran Church & Catholic Church • Intersection of El Toro Road/Canyon Wren Lane
• Intersection of El Toro Road/Calle Corta
• Intersection of Moulton Parkway/Calle Cortez
• Intersection of Moulton Parkway/Via Iglesia
• Intersection of Moulton Parkway/Calle Aragon
• Eastbound El Toro Road between the signalized intersection at Home Depot/Town Center and Moulton Parkway
Project Location – City: Laguna Woods, California Project Location – County: Orange Description of Nature, Purpose, and Beneficiaries of Project: The project involves installing push button assemblies, Accessible Pedestrian Signals (“APS”), and conduit. The work also includes removing and constructing concrete sidewalk panels.

ITEM 7.5 - Attachment A

NOTICE OF EXEMPTION

AMERICANS WITH DISABILITIES ACT (ADA) PEDESTRIAN ACCESSIBILITY IMPROVEMENT PROJECT: PHASE 9 – EXPANDED SCOPE

CITY OF LAGUNA WOODS

Page 2 of 3 ends

The project is intended to improve accessibility for pedestrians and other users of the public sidewalk system. By improving accessibility, the project will facilitate better management of the public right of way and protect public safety and welfare.

The project is also intended to improve the ease and safety of pedestrian travel, while promoting compliance with the federal Americans with Disabilities Act of 1990, Architectural Barriers Act of 1968, and Rehabilitation Act of 1973.

The improvements are also called for in the General Plan Housing Element as part of Goal H-3 (Administer housing and community development programs and activities in a manner to affirmatively further fair housing for all persons) and Policy Objective H-3.1 (Enhance access to housing).

Name of Public Agency Approving Project: City of Laguna Woods Name of Person or Agency Carrying Out Project: City of Laguna Woods Exempt Status:

X Categorical Exemption (Sec. 15301)
Declared Emergency (Sec. 21080(b)(3); 15269(a))
Emergency Project (Sec. 21080(b)(4); 15269(b)(c))
Ministerial (Sec. 21080(b)(1); 15268)
Statutory Exemption
Not Subject to CEQA (Sec. 15061(b)(3))
Reasons Why Project is Exempt: The project is categorically exempt from the California Environmental Quality Act (“CEQA”) pursuant to California Code of Regulations, Title 14 (the State CEQA Guidelines) Section 15301 (Class 1, Existing Facilities). Section 15301 exempts from environmental review the “the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” Subsection (c) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities,” “Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety, and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes).” Subsection (d) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety, unless it is determined that the damage was substantial and resulted from an environmental hazard such as earthquake, landslide, or flood.”
ITEM 7.5 - Attachment A

NOTICE OF EXEMPTION

AMERICANS WITH DISABILITIES ACT (ADA) PEDESTRIAN ACCESSIBILITY IMPROVEMENT PROJECT: PHASE 9 – EXPANDED SCOPE

CITY OF LAGUNA WOODS

Page 3 of 3 ends

Subsection (f) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Addition of safety or health protection devices for use during construction of or in conjunction with existing structures, facilities, or mechanical equipment, or topographical features including navigational devices.”
The project consists only of repair, maintenance, and minor alteration work within the City of Laguna Woods’ public right-of-way for existing public streets and arterial highways. The project does not expand the existing or former use of any public street or arterial highway. Push button assemblies and APS will be installed only where crosswalks already exist; no new crosswalks will be added. Concrete sidewalk panels will be removed and constructed where concrete sidewalks already exist. No new sidewalks will be added. The push button assemblies and APS are intended to improve ease of use and safety for individuals in wheelchairs, scooters, golf carts, and similar modes of transportation, as well as individuals with access and functional needs. The project will enhance the accessibility of existing facilities for the purpose of protecting public safety and welfare.

Based on the scope of work, the project meets the criteria for Class 1 categorical exemption.

Lead Agency Contact Person:

Signature: Date:

Justin Faylona
Senior Planner
City of Laguna Woods
Date Received for Filing at OPR:

Authority cited: Sections 21083 and 21110, Public Resources Code.

Reference: Sections 21108, 21152, and 21152.1, Public Resources Code.

ITEM 7.5 - Attachment A
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7.6 PAVEMENT MANAGEMENT PLAN PROJECT
(EASTBOUND SANTA MARIA AVENUE

BETWEEN SANTA VITTORIA DRIVE AND

MOULTON PARKWAY)
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.6
CC  12-17-2025 RM ITEM 7.6 – AR Page 1 of 6
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) Recommendation

1. Approve the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) specifications as prepared by the project engineer.

AND

2. Approve a notice of exemption for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) finding that the project is categorically exempt from the California Environmental Quality Act (CEQA) and authorization for the City Manager to cause the notice of exemption to be filed pursuant to applicable law.

AND

AND
ITEM 7.6
ITEM 7.6 – AR Page 2 of 6 CC  12-17-2025 RM

4. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

CAPITAL PROJECTS FUND APPROPRIATIONS FOR THE
“PAVEMENT MANAGEMENT PLAN PROJECT (EASTBOUND

SANTA MARIA AVENUE BETWEEN SANTA VITTORIA DRIVE AND
MOULTON PARKWAY)”
AND

Background
The Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) (“project”) is included in the Fiscal Years 2025-36 Capital Improvement Program and involves asphalt concrete pavement cold milling and repaving. The work also includes, but is not limited to, traffic control, adjusting utility manholes and water valves to grade, re-establishing survey monuments, painting striping and legends, applying pavement markings, and installing new illuminated street name signs and vehicle traffic signal heads.

Pavement Rehabilitation
• Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway, including the Santa Maria Drive/Moulton Parkway intersection Vehicle Traffic Signal Head Replacements (including backplates and visors) • El Toro Road/Moulton Parkway
ITEM 7.6
CC  12-17-2025 RM ITEM 7.6 – AR Page 3 of 6
• Moulton Parkway/Santa Maria Avenue
Illuminated Street Sign Replacements
• El Toro Road/Moulton Parkway
• Moulton Parkway/Santa Maria Avenue
A portion of the pavement rehabilitation work occurs on a portion of Santa Maria Avenue that is located in the City of Laguna Hills.

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway).

Staff recommends that the City Council take the following five actions to allow construction to proceed:

Recommendation 1
Approval of the project plans and specifications as prepared by the project engineer (NV5 Global, Inc.). The project plans and specifications are available for review at or from the City Clerk’s Office, Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637. Telephone: (949) 639-0500. Email:
[email protected]. The project plans are also included in Attachment B.

Recommendation 3
Approval of a cooperative agreement for the project with the City of Laguna Hills, and authorization for the City Manager to execute the cooperative agreement, subject to approval as to form by the City Attorney. The proposed cooperative ITEM 7.6
ITEM 7.6 – AR Page 4 of 6 CC  12-17-2025 RM
agreement would allow pavement rehabilitation work to occur on a portion of Santa Maria Avenue that is located in the City of Laguna Hills. The City of Laguna Hills would reimburse the City for the work within its jurisdiction.

Recommendation 4
Adoption of a resolution amending and adopting the Fiscal Years 2025-27 Budget and Work Plan for Fiscal Year 2025-26 commencing July 1, 2025 and ending June 30, 2026, and Fiscal Year 2026-27 commencing July 1, 2026 and ending June 30, 2027, increasing General Fund and Capital Projects Fund appropriations for the “Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway).” The proposed resolution would increase appropriations by $8,700 based on a new estimate for the City of Laguna Hills’ reimbursement for the work to occur on a portion of Santa Maria Avenue in Laguna Hills (previously $85,000, now $93,700 – an increase of $8,700).

Recommendation 5
Award of a contract agreement to Hardy & Harper, Inc. for the construction of the “Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway)”, including all six alternative bid items included in the bid solicitation, in the amount of $467,200.00, plus authorized change orders not to exceed 20% ($93,440.00) of the base amount; and authorization for the City Manager to execute a contract agreement and approve change orders, subject to approval of the contract agreement as to form by the City Attorney.

Bids to construct the project were solicited from October 16, 2025 through November 13, 2025. Five bids were received (see Table 1). After review, Hardy & Harper, Inc. is the lowest cost responsible bidder1
.

Table 1: Bids Received
Bidder Base Bid Amount Alternative Bid Amounts*
All American Asphalt $505,389.86
(Laguna Woods:
1: $1,250.00
2: $3,500.00
3: $9,040.50
1 In accordance with California Public Contract Code Section 20103.8, the lowest cost responsible bidder was identified based on the lowest base bid amount without consideration of the alternative bid amounts.

ITEM 7.6
CC  12-17-2025 RM ITEM 7.6 – AR Page 5 of 6
$357,126.80,
Laguna Hills:
$148,263.06)
4: $26,520.00
5: $3,900.00
6: $1,650.00
Total: $45,860.50
Hardy & Harper, Inc. $384,700.00
(Laguna Woods:
$293,000.00,
Laguna Hills:
$91,700.00)
1: $2,750.00
2: $19,537.00
3: $12,915.00
4: $39,468.00
5: $2,880.00
6: $4,950.00
Total: $82,500.00
Onyx Paving Company, Inc. $432,000.00
(Laguna Woods:
$315,000.00,
Laguna Hills:
$117,000.00)
1: $2,000.00
2: $13,385.00
3: $12,915.00
4: $31,200.00
5: $1,500.00
6: $4,000.00
Total: $65,000.00
Palp, Inc. DBA Excel Paving
Company
$483,596.52
(Laguna Woods:
$398,761.60,
Laguna Hills:
$84,834.92)
1: $2,400.00
2: $12,000.00
3: $25,830.00
4: $40,404.00
5: $3,900.00
6: $5,000.00
Total: $89,534.00
R.J. Noble Company $402,929.82
(Laguna Woods:
$299,181.00,
Laguna Hills:
$103,748.82)
1: $3,500.00
2: $11,000.00
3: $23,247.00
4: $55,848.00
5: $21,000.00
6: $6,000.00
Total: $120,595.00
* The Alternative Bid Amounts are for pavement rehabilitation work involving the Santa Maria Avenue/Moulton Parkway intersection.

It is anticipated that construction would be complete within 40 working days of the date the City issues a Notice to Proceed to the selected contractor. The City would issue the Notice to Proceed no later than January 26, 2026.

ITEM 7.6
ITEM 7.6 – AR Page 6 of 6 CC  12-17-2025 RM
Environmental Review
The project is categorically exempt from CEQA pursuant to California Code of Regulations, Title 14, Section 15301. For additional information, refer to the proposed notice of exemption (Attachment A).

Fiscal Impact
Sufficient funds to support this project are included in the City’s General Fund/Capital Projects Fund and Road Maintenance & Rehabilitation Program Fund budgets for Fiscal Year 2025-26. The City of Laguna Hills would reimburse the City for the work within its jurisdiction.
(The amounts in the proposed resolution assume approval of the recommendation for Item 7.3 on today’s agenda.)
Report Prepared With: April Baumgarten, Public Works Administrator Attachments: A – Proposed Notice of Exemption
B – Proposed Cooperative Agreement
C – Proposed Resolution
Recording requested by City of Laguna Woods
When recorded, mail to City of Laguna Woods,
24264 El Toro Road, Laguna Woods, CA 92637.
(949) 639-0500
Exemption Code 6103

Page 1 of 3 ends

NOTICE OF EXEMPTION
To: County of Orange
Orange County Clerk-Recorder
P.O. Box 238
Santa Ana, CA 92701
From: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Title: Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway)
Project Applicant: City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
(949) 639-0500
Project Location – Specific: The project is located within the City of Laguna Woods’ public right-of-way on eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway, and at the intersection of Santa Maria Avenue and Moulton Parkway. The project
location also includes the City of Laguna Hills’ public right-ofway on eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway. The cities of Laguna Woods and Laguna Hills are located in California, County of Orange.

Project Location – City: Laguna Woods, California Project Location – County: Orange Description of Nature, Purpose, and Beneficiaries of Project: The project consists of but not limited to, asphalt concrete pavement cold milling and repaving. The work also includes, but is not limited to, traffic control, adjusting utility manholes and water valves to grade, re-establishing survey monuments, painting striping and legends, applying pavement markings, and installing new illuminated street name signs and vehicle traffic signal heads.

The project is part of the Fiscal Years 2024-34 Pavement Management Plan to extend the useful life and improve the quality of pavement on street sections rated at a Pavement Condition Index (“PCI”) below 80. Ongoing pavement management helps to minimize the prolonged and more impactful work that typically accompanies projects involving significantly degraded pavement. As of October 2023, the specified street section in Laguna Woods had a blended PCI of 81.6 for all segments; the lowest segment PCI was 77.

ITEM 7.6 - Attachment A

NOTICE OF EXEMPTION

PAVEMENT MANAGEMENT PLAN PROJECT (EASTBOUND SANTA MARIA

AVENUE BETWEEN SANTA VITTORIA DRIVE AND MOULTON PARKWAY)

CITY OF LAGUNA WOODS

Page 2 of 3 ends

By repairing, replacing, and maintaining deteriorated infrastructure, the project will facilitate better management of the public right of way and protect public health, safety, and welfare.

Name of Public Agency Approving Project: City of Laguna Woods The City of Laguna Hills is participating in this project via a cooperative agreement with the City of Laguna Woods.

Name of Person or Agency Carrying Out Project: City of Laguna Woods The City of Laguna Hills is participating in this project via a cooperative agreement with the City of Laguna Woods.

Exempt Status:

X Categorical Exemption (Sec. 15301)
Declared Emergency (Sec. 21080(b)(3); 15269(a))
Emergency Project (Sec. 21080(b)(4); 15269(b)(c))
Ministerial (Sec. 21080(b)(1); 15268)
Statutory Exemption
Not Subject to CEQA (Sec. 15061(b)(3))
Reasons Why Project is Exempt: The project is categorically exempt from the California Environmental Quality Act (“CEQA”) pursuant to California Code of Regulations, Title 14 (the State CEQA Guidelines) Section 15301 (Class 1, Existing Facilities). Section 15301 exempts from environmental review the “the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use.” Subsection (c) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Existing highways and streets, sidewalks, gutters, bicycle and pedestrian trails, and similar facilities (this includes road grading for the purpose of public safety, and other alterations such as the addition of bicycle facilities, including but not limited to bicycle parking, bicycle-share facilities and bicycle lanes, transit improvements such as bus lanes, pedestrian crossings, street trees, and other similar alterations that do not create additional automobile lanes).” Subsection (d) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Restoration or rehabilitation of deteriorated or damaged structures, facilities, or mechanical equipment to meet current standards of public health and safety, unless it is determined that the damage was substantial and resulted from an environmental hazard such as earthquake, landslide, or flood.”
Subsection (f) of Section 15301 provides the following as non-exclusive examples of types of “existing facilities”: “Addition of safety or health protection devices for use during construction ITEM 7.6 - Attachment A

NOTICE OF EXEMPTION

PAVEMENT MANAGEMENT PLAN PROJECT (EASTBOUND SANTA MARIA

AVENUE BETWEEN SANTA VITTORIA DRIVE AND MOULTON PARKWAY)

CITY OF LAGUNA WOODS

Page 3 of 3 ends

of or in conjunction with existing structures, facilities, or mechanical equipment, or topographical features including navigational devices.”
The project consists only of repair, maintenance, and minor alteration work within the City of Laguna Woods’ and City of Laguna Hills’ public right-of-way for an existing public street and arterial highway (Santa Maria Avenue). The project does not expand the existing or former use of Santa Maria Avenue. The deterioration that the project seeks to address is not the result of an environmental hazard such as earthquake, landslide, or flood. The project is designed substantially consistent with the California Manual of Uniform Traffic Control Devices, which constitute current standards of public safety. The project includes traffic control for the safety of the general public and workers during construction, as well as the addition of painted striping and legends, pavement markings, illuminated street name signs, and vehicle traffic signal heads that will serve public safety purposes in conjunction with the use and operation of Santa Maria Avenue.

Based on the scope of work, the project meets the criteria for Class 1 categorical exemption.

Lead Agency Contact Person:

Signature: Date:

Justin Faylona
Senior Planner
City of Laguna Woods
Date Received for Filing at OPR:

Authority cited: Sections 21083 and 21110, Public Resources Code.

Reference: Sections 21108, 21152, and 21152.1, Public Resources Code.

ITEM 7.6 - Attachment A
This page is intentionally blank.

ITEM 7.6 – Attachment B

Page 1 ends

COOPERATIVE AGREEMENT FOR THE

PAVEMENT MANAGEMENT PLAN PROJECT (EASTBOUND SANTA MARIA

AVENUE BETWEEN SANTA VITTORIA DRIVE AND MOULTON PARKWAY) This Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) Cooperative Agreement (“Agreement”) is made and entered into as of ____________, 2025 (“Effective Date”) by and between the CITY OF LAGUNA HILLS, a California municipal corporation organized and existing under the laws of the State of California (“Laguna Hills”), and the CITY OF LAGUNA WOODS, a California municipal corporation organized and existing under the laws of the State of California, (“Laguna Woods”). Laguna Hills and Laguna Woods are sometimes referred to herein individually as a “Party” or collectively as the “Parties”.

RECITALS
A. Laguna Woods in cooperation with Laguna Hills is working to complete the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) (“Project”), which involves pavement rehabilitation and related work on Santa Maria Avenue. The subject work is located partially within the jurisdiction of Laguna Woods and partially within the jurisdiction of Laguna Hills.

B. Laguna Hills has elected to designate Laguna Woods as the Lead Agency of this Project, and Laguna Woods agrees to act as Lead Agency in order to implement and carry out the Project.

C. The Project’s construction drawings are set forth in Attachment A, which is attached hereto and is incorporated herein by reference.

D. Laguna Woods contracted with NV5, Inc. to design the Project and provide bidding support, and incurred related costs in the amount of at least Seventeen Thousand Dollars and 00/100 ($17,000.00) (“Design Costs”). Laguna Hills agrees to reimburse Laguna Woods in an amount equal to Two Thousand Dollars and 00/100 ($2,000.00) of the Design Costs (“Laguna Hills Design Costs”).

E. Laguna Woods has competitively bid the Project and awarded the contract for construction of the Project to the lowest responsive bidder, Hardy & Harper, Inc. (“Contractor”), in the amount of Four Hundred Sixty-Seven Thousand Two Hundred Dollars and 00/100 ($467,200.00) (“Construction Costs”). Laguna Hills agrees to reimburse Laguna Woods in an amount equal to Ninety-One Thousand Seven Hundred Dollars and 00/100 ($91,700.00) (“Laguna Hills Construction Costs”), which represents the portion of the separately itemized bid schedule attributable to the work located within the jurisdiction of Laguna Hills.

F. In the event the cost of the contract for construction of the Project exceeds the Laguna Hills Construction Costs, the Parties agree to meet and determine revisions to the Project to satisfy the budget(s) or revised funding proposal(s) by the Parties, which shall be documented and submitted in writing as an amendment to this Agreement.

ITEM 7.6 – Attachment B

Page 2 ends

G. Laguna Woods and Laguna Hills agree to separately fund any inspection and/or construction management costs that each may incur as a result of the Project, with the exception of those included in the Laguna Hills Design Costs.

H. The Parties desire to enter into this Agreement to extend the useful life and improve the quality of pavement on eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway.

I. This Agreement defines the specific terms, conditions, and funding responsibilities between the Parties necessary for the implementation of the Project.

AGREEMENT
NOW, THEREFORE, in consideration of the above recitals and the mutual covenants set forth below, Laguna Hills and Laguna Woods agree as follows:

1. Complete Agreement
A. This Agreement, including Attachment A attached hereto and incorporated herein and made applicable by reference, constitutes the complete and exclusive statement of the terms and conditions of this Agreement between Laguna Hills and Laguna Woods and it supersedes all prior representations, understandings, and communications between the Parties. The abovereferenced Recitals are true and correct and are incorporated by reference herein.

B. Laguna Hills’ failure to insist on any instance(s) of Laguna Woods’ performance of any term(s) or condition(s) of this Agreement shall not be construed as a waiver or relinquishment of Laguna Hills right to such performance or to future performance of such term(s) or condition(s), and Laguna Woods’ obligation in respect thereto shall continue in full force and effect.

C. Changes to any portion of this Agreement shall not be binding upon Laguna Hills except when specifically confirmed in writing by an authorized representative of Laguna Hills by way of a written amendment to this Agreement and issued in accordance with the provisions of this Agreement.

D. Laguna Woods’ failure to insist on any instance(s) of Laguna Hills’ performance of any term(s) or condition(s) of this Agreement shall not be construed as a waiver or relinquishment of Laguna Woods’ right to such performance or to future performance of such term(s) or condition(s), and Laguna Hills obligation in respect thereto shall continue in full force and effect.

E. Changes to any portion of this Agreement shall not be binding upon Laguna Woods except when specifically confirmed in writing by an authorized ITEM 7.6 – Attachment B

Page 3 ends

representative of Laguna Woods by way of a written amendment to this Agreement and issued in accordance with the provisions of this Agreement.

2. Scope of Agreement
This Agreement specifies the respective roles and responsibilities of the Parties as they pertain to the subjects and Project addressed herein. Both Laguna Hills and Laguna Woods agree that each will fully cooperate and coordinate with the other in all activities covered by this Agreement and any other supplemental agreements that may be required to facilitate purposes thereof.

3. Responsibilities of Laguna Woods as Project Lead Agency The Laguna Woods as the Lead Agency agrees to the following responsibilities for the implementation of the Project:

A. To manage, procure, and complete the Project as identified in Attachment A, which is attached hereto and incorporated herein by reference.

B. To invoice Laguna Hills for amounts due, as set forth in this Agreement, at the end of construction.

C. For purposes of the California Environmental Quality Act, (Public Resources Code §§ 21000 et seq.; 14 Cal. Code Regs., §§ 15000 et seq.) Laguna Woods will act as the lead agency for the Project. (Public Resources Code § 21067.)
D. To require its Contractor to obtain a Laguna Hills Encroachment Permit prior to performing any work for the Project in Laguna Hills public right-of-way.

E. Upon invoicing Laguna Hills for the final billing of the Project, to provide copies to Laguna Hills in electronic format record construction drawings, Contractor submittals and certified payroll reports, and such Project correspondence with its Contractor as Laguna Hills may request and Laguna Woods may have in its possession.

4. Responsibilities of Laguna Hills
Laguna Hills agrees to the following responsibilities for implementation and funding of the Project:

A. To authorize and cooperate with Laguna Woods to manage, procure, and implement all aspects of the Project.

B. To issue any permits to Contractor at no fee which may be necessary for Contractor to perform work within Laguna Hills’ jurisdiction and to perform any and all inspection which may be required to enforce such permits.

ITEM 7.6 – Attachment B

Page 4 ends

C. Laguna Hills shall pay Laguna Woods Project-related invoices within 30 days of receipt.

D. Laguna Hills’ total funding obligation amount is $91,700.00.

5. Delegated Authority
The actions required to be taken by Laguna Woods in the implementation of this Agreement are delegated to its City Manager or designee, and the actions required to be taken by Laguna Hills in the implementation of this Agreement are delegated to its City Manager or designee. Laguna Woods acknowledges this designation of authority is authorized under their respective local rules and regulations.

6. Audit and Inspection
Laguna Hills and Laguna Woods shall maintain a complete set of records in accordance with generally accepted accounting principles. Upon reasonable notice, Laguna Hills shall permit the authorized representative of Laguna Woods to inspect and audit all work, materials, payroll, books, accounts, and other data and records of Laguna Hills relevant to this Agreement and the Project for a period of four (4) years after expiration or termination of this Agreement or until any on-going audit is completed. Upon reasonable notice, Laguna Woods shall permit the authorized representatives of the Laguna Hills to inspect and audit all work, materials, payroll, books, accounts, and other data and records of Laguna Woods relevant to this Agreement and the Project for a period of four (4) years after expiration or termination of this Agreement or until any on-going audit is completed.

For purposes of audit, the date of completion of this Agreement shall be the date of Laguna Hills’ payment of Laguna Woods’ final billing (so noted on the invoice) under this Agreement. The Parties shall have the right to reproduce any such books, records, and accounts relevant to this Agreement. The above provision with respect to audits shall extend to and/or be included in contracts with consultants and contractors hired by Laguna Hills. The only work, materials, payroll, books, accounts, and other data and records which may be audited or inspected pursuant to this section are those that are relevant to this Agreement and the Project.

7. Indemnification
A. Laguna Woods shall indemnify, defend and hold harmless Laguna Hills, its officers, directors, employees and agents from and against any and all claims (including attorney’s fees and reasonable expenses for litigation and settlement) for any loss or damages, bodily injuries, damage to, or loss of property caused by the negligent acts, omissions or willful misconduct by Laguna Woods, its officers, directors, employees or agents in connection or arising out of the performance of this Agreement including damage to property and/or injury to person as a result of traffic accidents within Laguna Woods’ jurisdiction. For the avoidance of doubt, the indemnification obligation for traffic accidents only applies to traffic accidents that are caused by, or result from, the negligent acts, omissions or willful misconduct ITEM 7.6 – Attachment B

Page 5 ends

by Laguna Woods, its officers, directors, employees or agents in connection or arising out of the performance of work on the Project.

B. Laguna Woods shall maintain adequate levels of insurance, or selfinsurance to assure full indemnification of Laguna Hills. Laguna Woods shall provide Laguna Hills evidence and/or documentation of said insurance upon execution of this Agreement.

C. Laguna Hills shall indemnify, defend and hold harmless Laguna Woods, its officers, directors, employees and agents from and against any and all claims (including attorney’s fees and reasonable expenses for litigation and settlement) for any loss or damages, bodily injuries, damage to, or loss of property caused by the negligent acts, omissions or willful misconduct by Laguna Hills, its officers, directors, employees or agents in connection or arising out of the performance of this Agreement including damage to property and/or injury to person as a result of traffic accidents within Laguna Hills jurisdiction. For the avoidance of doubt, the indemnification obligation for traffic accidents only applies to traffic accidents that are caused by, or result from, the negligent acts, omissions or willful misconduct by Laguna Hills, its officers, directors, employees or agents in connection or arising out of the performance of work on the Project.

D. Laguna Hills shall maintain adequate levels of insurance, or self-insurance to assure full indemnification of Laguna Woods. Laguna Hills shall provide Laguna Woods evidence and/or documentation of said insurance upon execution of this Agreement.

8. California Environmental Quality Act.

Laguna Woods, as lead agency, has determined that the Project is an activity subject to the California Environmental Quality Act (“CEQA”). The Project, however, qualifies for the following CEQA exemption: Class 1 (Existing Facilities) (Cal. Code Regs., tit. 14, § 15301.). Laguna Woods shall cause a Notice of Exemption to be filed and posted accordingly. (Cal. Code Regs., tit. 14, § 15062.)

9. Additional Provisions
A. Term of Agreement. This Agreement shall continue in full force and effect until June 30, 2026, or until the Parties’ ongoing obligations under sections 3 and 4 have terminated, whichever is later. This Agreement may be extended or amended at the mutual consent of all Parties hereto. No amendment shall have any force or effect unless executed in writing and approved as to form by the Laguna Woods City Attorney and the Laguna Hills City Attorney.

B. Disputes. The Parties agree to work together in good faith, using reasonable efforts to resolve any unforeseen issues and disputes arising out of the performance of this Agreement.

ITEM 7.6 – Attachment B

Page 6 ends

C. Permits. The Parties shall waive any fees for permits required by either Laguna Hills or Laguna Woods for the Project.

D. Corporate Authority. The Parties hereto consent that they are authorized to execute this Agreement on behalf of said Parties and that, by so executing this Agreement, the Parties hereto are formally bound to the provisions of this Agreement.

E. Severability. If any term, provision, covenant or condition of this Agreement is held to be invalid, void or otherwise unenforceable, to any extent, by any court of competent jurisdiction, the remainder of this Agreement shall not be affected thereby, and each term, provision, covenant or condition of this Agreement shall be valid and enforceable to the fullest extent permitted by law.

F. Counterparts. This Agreement may be executed and delivered in any number of counterparts, each of which, when executed and delivered shall be deemed an original and all of which together shall constitute the same Agreement. Facsimile signatures will be permitted.

G. Compliance with All Laws. The Parties shall comply with all applicable federal, state and local laws, statutes, ordinances and regulations of any governmental authority having jurisdiction over the Project.

H. Force Majeure. Either Party shall be excused from performing its obligations under this Agreement during the time and to the extent that it is prevented from performing by an unforeseeable cause beyond its control, including but not limited to; any incidence of fire, flood, acts of God, epidemics, pandemics, quarantine restrictions, commandeering of material, products, plants or facilities by the federal, state or local government; national fuel shortage; or a material act or omission by the other Party; when satisfactory evidence of such cause is presented to the other Party, and provided further that such nonperformance is unforeseeable, beyond the control and is not due to the fault or negligence of the Party not performing.

I. Assignment. Neither this Agreement, nor any of the Parties’ rights, obligations, duties, or authority hereunder may be assigned in whole or in part by any Party without the prior written consent of the other Party hereto in its sole and absolute discretion. Any such attempt of assignment shall be deemed void and of no force and effect. Consent to one (1) assignment shall not be deemed consent to any subsequent assignment, nor the waiver of any right to consent to such subsequent assignment.

J. Obligations to Comply with Law. Nothing herein shall be deemed or construed to authorize or require any Party to issue bonds, notes or other evidences of indebtedness under the terms, in amounts, or for purposes other than as authorized by local, state or federal law.

ITEM 7.6 – Attachment B

Page 7 ends

K. Governing Law. The laws of the State of California and applicable local and federal laws, regulations and guidelines shall govern this Agreement. Any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange, State of California.

L. Attorneys’ Fees. In the event of any dispute or legal action arising under this Agreement, the prevailing party shall not be entitled to attorney’s fees.

M. Third-Party Beneficiaries. Except as otherwise provided in this Agreement, no provision of this Agreement is intended, nor shall be interpreted, to provide or create any third-party beneficiary rights or any other rights of any kind in any third party, and all provisions hereof shall be solely between the Parties hereto.

N. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which shall constitute one and the same instrument.

O. Notices. Any notice, demand, request, consent, approval or communication under this Agreement shall be in writing and either served personally or sent by prepaid, first-class mail to the address set forth below. Either Party may change its address by notifying the other Party of the change of address in writing. Notice shall be deemed given (a) upon personal delivery or (b) fortyeight (48) hours from deposit of such notice in the United States mail, postage prepaid.

To City of Laguna Hills:

City of Laguna Hills
24035 El Toro Road
Laguna Hills, CA 92653
Attention: City Manager
To City of Laguna Woods:

City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
Attention: City Manager
[SIGNATURES ON NEXT PAGE]
ITEM 7.6 – Attachment B

Page 8 ends

IN WITNESS WHEREOF, the Parties hereto have caused this Agreement to be executed on the date first set forth above.

CITY OF LAGUNA HILLS CITY OF LAGUNA WOODS, a California municipal corporation
By: _________________________
Bob Wingenroth,
City Manager
By:

Christopher Macon,
City Manager
ATTEST: ATTEST:

By:

Jennifer Lee,
City Clerk
By:

Yolie Trippy,
City Clerk
APPROVED AS TO FORM:

CITY ATTORNEY’S OFFICE
APPROVED AS TO FORM:

CITY ATTORNEY’S OFFICE
By:

Gregory E. Simonian,
City Attorney
By:

Alisha Patterson,
City Attorney
Dated: ___________________________ Dated: ___________________________ ITEM 7.6 – Attachment B

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ATTACHMENT A

CONSTRUCTION DRAWINGS
(7 pages follow)

VICINITY MAP

COAST NEW
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1 UTILITY CONTACTS: LOCATION MAP NOT TO SCALE NOTE: TITLE SHEET, INDEX & GENERAL NOTES (EASTBOUND SANTA MARIA AVENUE BETWEEN SANTA VITTORIA DRIVE AND MOULTON PARKWAY) 7 PAVEMENT MANAGEMENT PLAN PROJECT CITY OF LAGUNA WOODS R No. 51209 GERA LD
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LEGEND
ITEM 7.6 - Attachment B
ITEM 7.6 – Attachment C
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

CAPITAL PROJECTS FUND APPROPRIATIONS FOR THE
“PAVEMENT MANAGEMENT PLAN PROJECT (EASTBOUND

SANTA MARIA AVENUE BETWEEN SANTA VITTORIA DRIVE AND
MOULTON PARKWAY)”
WHEREAS, the Fiscal Years 2025-26 Budget (“Budget”) was adopted by the City Council on June 25, 2025 (Resolution No. 25-18); and WHEREAS, per City Administrative Policy 2.9, increases in adopted fundlevel Budget appropriations require City Council approval; and Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway)
WHEREAS, the “Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway)” is included in the Capital Improvement Program; and
WHEREAS, appropriations for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) were established in an amount estimated as of April 2025, subject to the completion of design documents, construction drawings, and competitive bidding; and
WHEREAS, appropriations for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) include $85,000 in General Fund monies, representing the estimated cost of the work to occur on a portion of Santa Maria Avenue in Laguna Hills and reimbursed by the City of Laguna Hills; and
WHEREAS, design documents, construction drawings, and bidding for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between ITEM 7.6 – Attachment C
R 25-XX 2 XX-XX-2025
Santa Vittoria Drive and Moulton Parkway) are now complete; and WHEREAS, staff estimates that the City of Laguna Hills’ reimbursement for the work to occur on a portion of Santa Maria Avenue in Laguna Hills will total $93,700, an increase of $8,700 over existing appropriations; and WHEREAS, the City Council wishes to increase Fiscal Year 2025-26 appropriations for the Capital Projects Fund for the Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) in the amount of $8,700; and
WHEREAS, the unassigned General Fund balance has sufficient funds to accommodate the increased appropriations; and
WHEREAS, the increased appropriations in the General Fund would be used to transfer that same amount to the Capital Projects Fund; Capital Projects Fund appropriations would be increased accordingly; and WHEREAS, with the proposed Budget adjustment, the total Pavement Management Plan Project (Eastbound Santa Maria Avenue between Santa Vittoria Drive and Moulton Parkway) budget would be $440,482 ($93,700 Capital Projects Fund, $346,782 in Road Maintenance & Rehabilitation Program Fund).

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Section 2 of Resolution No. 25-18, as previously amended by Resolution Nos. 25-28, 25-34, and 25-XX, is hereby amended, in its entirety, to read as follows:
[CONTINUED ON NEXT PAGE]
ITEM 7.6 – Attachment C
R 25-XX 3 XX-XX-2025
The budget appropriations authorized, on a fund level, are:

Fiscal Year
2025-26
Adopted
Budget
Fiscal Year
2024-25
Carryover
Appropriations
Fiscal Year
2025-26
Budget
Amendments
Fiscal Year
2025-26
Amended
Budget
General Fund $10,814,328
(includes
transfers to
Capital
Projects Fund
of $1,860,000
and to the
Senior
Mobility Fund
of $406,052)
$64,902 $355,654A,B,D
$11,234,884
(includes
transfers to
Capital
Projects Fund
of $2,199,307
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $1,860,000 $687,100 $493,074B,C,D $3,040,174 Fuel Tax $404,557 - - $404,557
Road Maintenance &
Rehabilitation Program $515,824 $14,993 - $530,817
Measure M2 (OC Go) $267,780 - - $267,780
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,000 - - $10,000
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $652,598 - - $652,598
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 $233,233 - $233,233
State of California
Grants $0 $274,924 - $274,924
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($2,266,052) - ($339,307)B,D ($2,605,359)
TOTAL $13,005,935 $1,275,151 $509,421 $14,790,507
A Fund Budget Adjustment CC-25/26-01: City Manager Agreement, +$16,347 (R 25-28) B Fund Budget Adjustment CC-25/26-02: Woods End Project, +$330,607 (R 25-34) C Fund Budget Adjustment CC-25/26-03: Unspent Capital Projects Funds, +$153,767 (R 25-XX) ITEM 7.6 – Attachment C
R 25-XX 4 XX-XX-2025
D Fund Budget Adjustment CC-25/26-04: Pavement Project FY 2025-26, +$8,700 (R 25-XX) Fiscal Year
2026-27
Adopted
Budget
Fiscal Year
2025-26
Carryover
Appropriations
Fiscal Year
2026-27
Budget
Amendments
Fiscal Year
2026-27
Amended
Budget
General Fund $9,611,466
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
- $19,674A
$9,631,140
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $350,000 - - $350,000
Fuel Tax $439,580 - - $439,580
Road Maintenance &
Rehabilitation Program $529,206 - - $529,206
Measure M2 (OC Go) $284,878 - - $284,878
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,500 - - $10,500
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $686,906 - - $686,906
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 - - $0
State of California
Grants $0 - - $0
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($756,052) - ($0) ($756,052)
TOTAL $12,309,436 $0 $19,674 $12,329,110
A Fund Budget Adjustment CC-26/27-01: City Manager Agreement, +$19,674 (R 25-28) The budget appropriations authorized by this section reflect the Fiscal Years 2025- ITEM 7.6 – Attachment C
R 25-XX 5 XX-XX-2025
26 adopted budgets, plus authorized budget adjustments approved between July 1, 2025 and the date of this amendment. The budget appropriations authorized by this section also include carryovers of approved, but unspent, budget appropriations from prior fiscal years. Such carryovers were approved by the City Council with the adoption of the current budget and/or pursuant to Administrative Policy 2.9.

SECTION 2. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
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7.7 MEASURE M2 (OC GO) EXPENDITURE REPORT
For additional information on this item,
please refer to Item 7.0 (Consent Calendar Summary).

This page is intentionally blank.

ITEM 7.7
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, ADOPTING AND CONCERNING THE
MEASURE M2 EXPENDITURE REPORT FOR FISCAL YEAR 2024-25
COMMENCING JULY 1, 2024 AND ENDING JUNE 30, 2025
WHEREAS, local jurisdictions are required to meet eligibility requirements and submit eligibility verification packages to the Orange County Transportation Authority (“OCTA”) in order to remain eligible to receive Measure M2 funds; and WHEREAS, local jurisdictions are required to adopt an annual Measure M2 Expenditure Report as part of one of the Measure M2 eligibility requirements; and WHEREAS, local jurisdictions are required to account for Net Revenues, developer/traffic impact fees, and funds expended by local jurisdiction in the Measure M2 Expenditure Report that satisfy the Measure M2 Maintenance of Effort requirements; and
WHEREAS, the Measure M2 Expenditure Report is required to include all Net Revenue fund balances, interest earned, and expenditures identified by type and program or project; and
WHEREAS, the Measure M2 Expenditure Report is required to be adopted and submitted to the OCTA each year within six months of the end of each local jurisdiction’s fiscal year to be eligible to receive Net Revenues as part of Measure M2.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. That the Measure M2 Expenditure Report for the Fiscal Year ended June 30, 2025, attached hereto as Exhibit A, is in conformance with the template provided in the Measure M2 Eligibility Guidelines and accounts for Net Revenues, including interest earned, expenditures during the fiscal year, and balances at the end of the fiscal year.

SECTION 2. That the Measure M2 Expenditure Report for the Fiscal Year ended June 30, 2025, attached hereto as Exhibit A, is hereby adopted by the City of ITEM 7.7
R 25-XX 2 XX-XX-2025
Laguna Woods.

SECTION 3. That the City of Laguna Woods’ Administrative Services Director/City Treasurer is hereby authorized to sign and submit the Measure M2 Expenditure Report to the OCTA for the Fiscal Year ended June 30, 2025, acting in the capacity of the City of Laguna Woods’ Director of Finance.

SECTION 4. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
City of Laguna Woods
M2 Expenditure Report
Fiscal Year Ended June 30, 2025
Beginning and Ending Balances
Schedule 1
Line
No.

Amount Interest
A-M Freeway Projects 1 $ - $ -
O Regional Capacity Program (RCP) 2 $ - $ -
P Regional Traffic Signal Synchronization Program (RTSSP) 3 $ (3,109.56) $ 1,035.00 Q Local Fair Share 4 $ 298,832.58 $ -
R High Frequency Metrolink Service 5 $ - $ -
S Transit Extensions to Metrolink 6 $ - $ -
T Convert Metrolink Station(s) to Regional Gateways that connect Orange County with High-Speed Rail Systems 7 $ - $ - U Senior Mobility Program or Senior Non-Emergency Medical Program
8 $ 98,581.86 $ -
V Community Based Transit/Circulators 9 $ - $ -
W Safe Transit Stops 10 $ - $ -
X Environmental Cleanup Program (Water Quality) 11 $ - $ - Other* 12 $ - $ -
13 $ 394,304.88 $ 1,035.00
Monies Made Available During Fiscal Year 14 $ 408,521.65 $ 18,469.12 15 $ 802,826.53 $ 19,504.12
Expenditures During Fiscal Year 16 $ 405,294.73 $ 18,469.12 A-M Freeway Projects 17 $ - $ -
O Regional Capacity Program (RCP) 18 $ - $ -
P Regional Traffic Signal Synchronization Program (RTSSP) 19 $ (3,109.56) $ 1,035.00 Q Local Fair Share 20 $ 400,641.36 $ -
R High Frequency Metrolink Service 21 $ - $ -
S Transit Extensions to Metrolink 22 $ - $ -
T Convert Metrolink Station(s) to Regional Gateways that connect Orange County with High-Speed Rail Systems 23 $ - $ - U Senior Mobility Program or Senior Non-Emergency Medical Program
24 $ - $ -
V Community Based Transit/Circulators 25 $ - $ -
W Safe Transit Stops 26 $ - $ -
X Environmental Cleanup Program (Water Quality) 27 $ - $ - Other* 28 $ - $ -
* Please provide a specific description
The Senior Mobility Program (Project U) beginning balance was adjusted by $119,270, due to the finding noted during the Agreed Upon Procedures conducted in January 2025.

Balances at End of Fiscal Year
Balances at Beginning of Fiscal Year
Balances at Beginning of Fiscal Year
Description
Total Monies Available (Sum Lines 13 & 14)
ITEM 7.7 - Exhibit A to Attachment A
City of Laguna Woods M2 Expenditure Report
Fiscal Year Ended June 30, 2025
Sources and Uses
Schedule 2
Line
No.

Amount Interest
A-M Freeway Projects 1 $ - $ -
O Regional Capacity Program (RCP) 2 $ - $ -
P Regional Traffic Signal Synchronization Program (RTSSP) 3 $ - $ - Q Local Fair Share 4 $ 309,405.85 $ 15,648.59
R High Frequency Metrolink Service 5 $ - $ -
S Transit Extensions to Metrolink 6 $ - $ -
T Convert Metrolink Station(s) to Regional Gateways that connect Orange County with High-Speed Rail Systems 7 $ - $ -
U Senior Mobility Program or Senior Non-Emergency Medical Program 8 $ 99,115.80 $ 2,820.53 V Community Based Transit/Circulators 9 $ - $ -
W Safe Transit Stops 10 $ - $ -
X Environmental Cleanup Program (Water Quality) 11 $ - $ - Other* 12 $ - $ -
13 $ 408,521.65 $ 18,469.12
A-M Freeway Projects 14 $ - $ -
O Regional Capacity Program (RCP) 15 $ - $ -
P Regional Traffic Signal Synchronization Program (RTSSP) 16 $ - $ - Q Local Fair Share 17 $ 207,597.07 $ 15,648.59
R High Frequency Metrolink Service 18 $ - $ -
S Transit Extensions to Metrolink 19 $ - $ -
T Convert Metrolink Station(s) to Regional Gateways that connect Orange County with High-Speed Rail Systems 20 $ - $ -
U Senior Mobility Program or Senior Non-Emergency Medical Program 21 $ 197,697.66 $ 2,820.53 V Community Based Transit/Circulators 22 $ - $ -
W Safe Transit Stops 23 $ - $ -
X Environmental Cleanup Program (Water Quality) 24 $ - $ - Other* 25 $ - $ -
26 $ 405,294.73 $ 18,469.12
27 $ 3,226.92 $ -
* Please provide a specific description
TOTAL BALANCE (Subtract line 26 from 13)
TOTAL EXPENDITURES (Sum lines 14 to 25)
Description
Revenues:

TOTAL REVENUES (Sum lines 1 to 12)
Expenditures:

ITEM 7.7 - Exhibit A to Attachment A
City of Laguna Woods
M2 Expenditure Report
Fiscal Year Ended June 30, 2025
Streets and Roads Detailed Use of Funds
Schedule 3
Line
No. MOE Developer /
Impact Fees+ O O
Interest P P Interest Q QInterest X XInterest
Other
M22
Other
M2
Interest
Other* TOTAL
1 $ - $ - $ - $ - $ - $ - $ 682.00 $ - $ - $ - $ - $ - $ - $ 682.00 New Street Construction 2 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Street Reconstruction 3a $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Street Reconstruction - Pavement 3b $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Signals, Safety Devices, & Street Lights 4 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Pedestrian Ways & Bikepaths 5 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Storm Drains 6 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Storm Damage 7a $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Storm Damage - Pavement 7b $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 8 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Right of Way Acquisition 9 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - 10 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Patching 11 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Overlay & Sealing 12 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Street Lights & Traffic Signals 13 $ - $ - $ - $ - $ - $ - $ 206,915.07 $ 15,648.59 $ - $ - $ - $ - $ - $ 222,563.66 Storm Damage 14 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Other Street Purpose Maintenance 15a $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - Other Street Purpose Maintenance - Pavement 15b $ 132,895.76 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 197,697.66 $ 2,820.53 $ - $ 333,413.95 16 $ 132,895.76 $ - $ - $ - $ - $ - $ 206,915.07 $ 15,648.59 $ - $ - $ 197,697.66 $ 2,820.53 $ - $ 555,977.61 17 $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ - $ -
18 $ 132,895.76 $ - $ - $ - $ - $ - $ 207,597.07 $ 15,648.59 $ - $ - $ 197,697.66 $ 2,820.53 $ - $ 556,659.61 19 1 Includes direct charges for staff time Legend
2 Other M2 includes A-M, R,S,T,U,V, and W Project
+ Transportation related only A-M
* Please provide a specific description O
P
Q
R
S
T
U
V
W
X
Type of Expenditure
Indirect and/or Overhead
Construction & Right-of-Way
Total Construction1 (Sum Lines 2 to 7b)
Total Construction & Right-of-Way (Sum Lines 8 & 9)
Description
Freeway Projects
Regional Capacity Program (RCP)
Regional Traffic Signal Synchronization Program (RTSSP) Maintenance
Total Maintenance1 (Sum Lines 11 to 15b)
Other
GRAND TOTALS (Sum Lines 1, 10, 16, 17)
Finance Director Confirmation
Any California State Constitution Article XIX streets and road eligible expenditure may be “counted” in local jurisdictions’ calculation of MOE if the activity is supported (funded) by a local jurisdictions’ discretionary funds (e.g. general fund). The California State Controller also provides useful information on Article XIX and the Streets and Highways Code eligible expenditures in its “Guidelines Relating to Gas Tax Expenditures for Cities and Counties”.

I have reviewed and am aware of these guidelines and their applicability in calculating and reporting on Maintenance of Effort expenditures.

Finance Director initial: _______________
Environmental Cleanup Program (Water Quality)
Local Fair Share
High Frequency Metrolink Service
Convert Metrolink Station(s) to Regional Gateways that connect Orange County with High-Speed Rail Systems
Senior Mobility Program or Senior Non-Emergency Medical Program Community Based Transit/Circulators
Safe Transit Stops
Transit Extensions to Metrolink
ITEM 7.7 - Exhibit A to Attachment A
City of Laguna Woods
M2 Expenditure Report
Fiscal Year Ended June 30, 2025
Local Fair Share Project List
Schedule 4

PROJECT NAME TYPE OF EXPENDITURE AMOUNT INTEREST
Measure M2 Fair Share Expenditures:

Street Lighting - Public Right-of-Way Maintenance - Street Lights & Traffic Signals $ 16,185.05 $ 15,648.59 Contract - Traffic Engineering Maintenance - Street Lights & Traffic Signals $ 102,351.04 Contract - Traffic Signal Maintenance Maintenance - Street Lights & Traffic Signals $ 88,378.98 Allowable Overhead Costs Indirect and/or Overhead $ 682.00 TOTAL PROJECT Q EXPENDED $ 207,597.07 $ 15,648.59
GRAND TOTAL PROJECT Q EXPENDED $ 223,245.66
ITEM 7.7 - Exhibit A to Attachment A
City of Laguna Woods
M2 Expenditure Report
Fiscal Year Ended June 30, 2025
Signature Page
Date
11 Jurisdictions are encouraged to submit MOE eligible expenditures higher than their MOE benchmark, so that should certain expenses be ruled ineligible during an MOE audit, the local jurisdiction still has sufficient MOE expenditures to demonstrate continued achievement of the MOE benchmark.

I hereby certify that:
 All the information attached herein and included in schedules 1 through 4 is true and accurate to the best of my knowledge;
 The interest earned on Net Revenues allocated pursuant to the Ordinance shall be expended only for those purposes for which the Net Revenues were allocated;
 The City of Laguna Woods is aware of the State Controller’s “Guidelines Relating to Gas Tax Expenditures for Cities and Counties”, which is a guide for determining MOE Expenditures for M2 Eligibility purposes;  The City’s Expenditure Report is in compliance with direction provided in the State Controller’s “Guidelines Relating to Gas Tax Expenditures for Cities and Counties;” and  The City of Laguna Woods has expended in this fiscal year an amount of local discretionary funds for streets and roads purposes at least equal to or exceeding the FY 2024-25 MOE benchmark dollar amount 11.

Director of Finance (Print Name)
Signature
Elizabeth Torres
ITEM 7.7 - Exhibit A to Attachment A
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8.1 CONDITIONAL USE PERMIT CUP-2025-0003, A
REQUEST BY THE CAMINO SCHOOL/ST.

NICHOLAS CATHOLIC CHURCH FOR

APPROVAL OF A CONDITIONAL USE PERMIT
AMENDING CONDITIONAL USE PERMIT CUP291 TO ALLOW FOR THE ESTABLISHMENT OF

AN EDUCATIONAL INSTITUTION USE,

ALTERNATIVE PROVISIONS TO OFF-STREET

PARKING REGULATIONS RESULTING IN A

REDUCTION IN AVAILABLE OFF-STREET

PARKING STALLS DURING CERTAIN HOURS,

AND INSTALLATION OF AN OUTDOOR SHED
AT THE PROPERTY LOCATED AT 24252 EL
TORO ROAD, LAGUNA WOODS, CA 92637
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ITEM 8.1
CC  12-17-2025 RM ITEM 8.1 – AR Page 1 of 1
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Conditional Use Permit CUP-2025-0003, a request by The Camino School/St. Nicholas Catholic Church for approval of a conditional use permit amending Conditional Use Permit CUP-291 to allow for the establishment of an educational institution use, alternative provisions to off-street parking regulations resulting in a reduction in available off-street parking stalls during certain hours, and installation of an outdoor shed at the property located at 24252 El Toro Road, Laguna Woods, CA 92637
Recommendation
Cancel the public hearing.
(Note: This item will instead be considered at the City Council’s meeting on January 21, 2026 at 2 p.m. at Laguna Woods City Hall 24264 El Toro Road, Laguna Woods, CA 92637.)
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8.2 COMMUNITY DEVELOPMENT BLOCK GRANT
(CDBG) PUBLIC FACILITIES & IMPROVEMENTS

PROJECT PROPOSALS
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ITEM 8.2
CC  12-17-2025 RM ITEM 8.2 – AR Page 1 of 5
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Community Development Block Grant (CDBG) Public Facilities & Improvements Project Proposals
Recommendation

1. Receive staff report.

AND

2. Open public hearing.

AND

3. Receive public testimony.

AND

4. Close public hearing.

AND

5. Ratify the City Manager’s submittal of a proposal to the County of Orange requesting $500,000 in Community Development Block Grant (CDBG) funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012-000089-NC) to support the “Pedestrian Accessibility Improvement Project: Phase 10”, which generally consists of:

ITEM 8.2
ITEM 8.2 – AR Page 2 of 5 CC  12-17-2025 RM
• A $250,000 primary project involving the reconstruction of two driveway crossings (one on Moulton Parkway generally south of the Mobil Station and one on Moulton Parkway south of The Coffee Bean and Tea Leaf before Laguna Country United Methodist Church); and • A $250,000 waitlist/expanded scope project involving the installation of two new safety lights at two intersections (El Toro Road/Canyon Wren Lane and El Toro Road/Calle Corta).

AND

6. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, RATIFYING THE SUBMITTAL OF A

PROPOSAL TO THE COUNTY OF ORANGE FOR COMMUNITY

DEVELOPMENT BLOCK GRANT (CDBG) FUNDS, PROSPECTIVELY

ACCEPTING THE AWARD OF SUCH CDBG FUNDS, MAKING

RELATED AUTHORIZATIONS RELATED TO THE FISCAL YEAR
2026-27 PUBLIC FACILITIES & IMPROVEMENTS GRANT PROGRAM
(COUNTY OF ORANGE RFA #012-000089-NC), AND DETERMINING

AND CERTIFYING THAT THE SUBMITTAL OF A PROPOSAL AND

ACCEPTANCE OF THE AWARD OF FUNDS IS EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
Background
As allowed by federal law, Orange County cities with populations less than 50,000 may choose to compete for Community Development Block Grant (“CDBG”) funds through programs administered by the State of California or the County of Orange.

Laguna Woods and the cities of Brea, Cypress, Dana Point, Laguna Beach, Laguna Hills, La Palma, Los Alamitos, Seal Beach, Stanton, and Villa Park compete for CDBG funds through the Orange County Urban County CDBG Program administered by the County of Orange.

Under the Orange County Urban County CDBG Program, the County of Orange accepts proposals for Public Facilities and Improvements (“PF&I”) grants, annually.

A public hearing is required as part of the proposal process.

For the Orange County Urban County CDBG Program’s Fiscal Year 2026-27 PF&I ITEM 8.2
CC  12-17-2025 RM ITEM 8.2 – AR Page 3 of 5
application cycle, the City is able to submit one proposal requesting funding for one primary project and one waitlist/expanded scope project. Projects must address one or more of the County of Orange’s high priorities:

1. Parks and recreation facilities;

2. Senior centers;

3. Homeless facilities;

4. Neighborhood facilities;

5. Water/sewer improvements;

6. Street and lighting improvements; and

7. Sidewalk improvements.

All proposals must be submitted for public facilities. Previously, the City of Seal Beach submitted a proposal for street, sidewalk, and solar improvements located within Leisure World Seal Beach. United States Department of Housing and Urban Development (“HUD”) staff ultimately determined that the proposal was ineligible as the work would have occurred within a gated community.

Recent CDBG funding awards for the City have included:
• Fiscal Year 2017-18: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 1” – $145,700
• Fiscal Year 2018-19: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 2” – $145,700
• Fiscal Year 2019-20: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 3” – $145,700
• Fiscal Year 2020-21: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 4” – $150,000
• Fiscal Year 2021-22: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 5” – $150,000 [subsequent to the award, an additional $200,000 was awarded for a total of $350,000; as with all previous ADA Project awards, no match by City funds was required] • Fiscal Year 2022-23: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 6” – $150,000 [subsequent to the award, an additional $200,000 was awarded for a total of $350,000; as with all previous ADA Project awards, no match by City funds was required] • Fiscal Year 2023-24: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 7” – $150,000
• Fiscal Year 2024-25: “Americans with Disabilities Act (ADA) Pedestrian ITEM 8.2
ITEM 8.2 – AR Page 4 of 5 CC  12-17-2025 RM
Accessibility Improvement Project: Phase 8” – $250,000
• Fiscal Year 2025-26: “Americans with Disabilities Act (ADA) Pedestrian Accessibility Improvement Project: Phase 9” – $500,000 [this award consisted of $250,000 for the primary project and $250,000 for the waitlist/expanded scope project; as with all previous ADA Project awards, no match by City funds was required]

TOTAL FUNDING AWARDED TO THE CITY SINCE THE BEGINNING OF THE ANNUAL ADA PROJECT: $2,087,100
Discussion
At today’s meeting, the City Council will conduct a public hearing regarding CDBG funding, as such funding is authorized under Title 1 of the Housing and Community Development Act of 1974, as amended. During the public hearing, residents and members of the public are encouraged to provide input on community needs and project priorities related to public facilities and improvements, including on the City’s potential projects and the City’s submittal of proposals for CDBG funding to the County of Orange for consideration as part of the Orange County Urban County Program. Following the public hearing, the City Council will consider taking actions regarding the submittal of such proposals.

Staff recommends that the City Council ratify the City Manager’s submission of a proposal requesting $500,000 in CDBG funds to support the “Pedestrian Accessibility Improvement Project: Phase 10” (“Project”). The Project includes:
• A $250,000 primary project involving the reconstruction of two driveway crossings (one on Moulton Parkway generally south of the Mobil Station and one on Moulton Parkway south of The Coffee Bean and Tea Leaf before Laguna Country United Methodist Church); and
• A $250,000 waitlist/expanded scope project involving the installation of two new safety lights at two intersections (El Toro Road/Canyon Wren Lane and El Toro Road/Calle Corta).

The City may receive funding for only the primary project or both the primary project and the waitlist/expanded scope project.

The Project is included in the Fiscal Years 2025-37 Capital Improvement Program as a planned project for Fiscal Year 2026-27, contingent on the receipt of external funding. The Capital Improvement Program anticipates that the City will apply for CDBG funding for the Project. The scope of work conceptualized in the Fiscal Years ITEM 8.2
CC  12-17-2025 RM ITEM 8.2 – AR Page 5 of 5
2025-37 Capital Improvement Program differs from the scope of work described in this agenda report due to further assessment by staff regarding project feasibility, readiness, and strategies to best leverage CDBG funding.

The County of Orange anticipates awarding funding in spring 2026 with grant terms beginning and ending in Fiscal Year 2026-27. The County of Orange may award funding for waitlist/expanded scope projects in winter 2026 or early 2027.

Environmental Review
The City Council is asked to find that this action has no possibility of having a significant effect on the environment. The action relates only to the submittal of funding proposals and prospective acceptance of the award of funds. The action would not authorize any construction nor physical change or improvement. The environmental review of potential future projects, were funding to be received, would occur during those project design and development processes. Therefore, the submittal of funding proposals and prospective acceptance of the award of funds is not a project subject to the California Environmental Quality Act (“CEQA”) pursuant to sections 15378(b)(4) and 15061(b)(3) of Title 14 of the California Code of Regulations.

Fiscal Impact
Funds received under the Orange County Urban County CDBG Program in amounts of $250,000 or less per fiscal year, per project, are not required to be matched by City funds. For the match requirement, the primary project and the waitlist/expanded scope project are considered separate projects.

Grant funds would be received on a reimbursement basis, meaning that the City would be required to make expenditures in advance of receiving offsetting revenue from the County of Orange. Sufficient funds are available within the unassigned General Fund balance for such temporary “loans,” which are explicitly permitted by Administrative Policy 2.9 (Budgeting, Reserves, and Reporting).

Grant funds would be administered by existing staff.

Report Prepared With: April Baumgarten, Public Works Administrator Attachment: A – Proposed Resolution
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ITEM 8.2 – Attachment A
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, CALIFORNIA, RATIFYING THE SUBMITTAL OF A

PROPOSAL TO THE COUNTY OF ORANGE FOR COMMUNITY

DEVELOPMENT BLOCK GRANT (CDBG) FUNDS, PROSPECTIVELY

ACCEPTING THE AWARD OF SUCH CDBG FUNDS, MAKING

RELATED AUTHORIZATIONS RELATED TO THE FISCAL YEAR
2026-27 PUBLIC FACILITIES & IMPROVEMENTS GRANT PROGRAM
(COUNTY OF ORANGE RFA #012-000089-NC), AND DETERMINING

AND CERTIFYING THAT THE SUBMITTAL OF A PROPOSAL AND

ACCEPTANCE OF THE AWARD OF FUNDS IS EXEMPT FROM THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, the City participates in the Urban County Program administered by the County of Orange, which allows the City to compete for Community Development Block Grant (“CDBG”) funds; and
WHEREAS, the County of Orange began accepting proposals for CDBG funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012-000089-NC) on November 5, 2025, which provided the City with insufficient time to notice the required public hearing for the City Council’s regular meeting on November 19, 2025; and WHEREAS, proposals for CDBG funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012- 000089-NC) were due to the County of Orange on December 5, 2025 and the City Council had no regular meetings scheduled between November 19, 2025 and December 5, 2025; and
WHEREAS, the City Manager submitted a proposal for CDBG funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012-000089-NC) to support the “Pedestrian Accessibility Improvement Project: Phase 9”, prior to the December 5, 2025 deadline; and WHEREAS, on December 17, 2025, the City Council, after giving notice thereof as required by law, held a public hearing regarding the matter described in this resolution and accompanying agenda report; and
WHEREAS, the City Council has carefully considered all pertinent ITEM 8.2 – Attachment A
R 25-XX 2 XX-XX-2025
testimony, as well as all information contained in the agenda report prepared for the matter described in this resolution, as presented at the public hearing; and WHEREAS, the City desires to ratify the City Manager’s submission of the proposal for CDBG funds described in this resolution, prospectively accept the award of CDBG funds described in this resolution and authorize the execution of related agreements, contracts, amendments, and other documentation.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

SECTION 2. The City Council ratifies the City Manager’s submission of a proposal for CDBG funds under the Fiscal Year 2026-27 Public Facilities & Improvements grant program (County of Orange RFA #012-000089-NC) to support the “Pedestrian Accessibility Improvement Project: Phase 10.” SECTION 3. The City prospectively accepts the award of up to $500,000 in CDBG funds through the County of Orange’s Urban County CDBG Program under County of Orange RFA #012-000089-NC, which will be used to support the City’s Public Facilities & Improvements Project titled “Pedestrian Accessibility Improvement Project: Phase 10.”
SECTION 4. The City Manager or his/her/their designee is authorized to execute, for and on behalf of the City, the necessary agreement(s) and/or any other documents or instruments required by the County or Orange and/or the United States Department of Housing and Urban Development for participation in the Urban County CDBG Program and/or for acceptance and administration of CDBG funds awarded under County of Orange RFA #012-000089-NC.

SECTION 5. After reviewing the entire project record, the City Council hereby determines and certifies that this action has no possibility of having a significant effect on the environment. The action relates only to the submittal of funding proposals and prospective acceptance of the award of funds. The action does not authorize any construction nor physical change or improvement. The environmental review of potential future projects, were funding to be received, would occur during those project design and development processes. Therefore, the submittal of funding proposals and prospective acceptance of the award of ITEM 8.2 – Attachment A
R 25-XX 3 XX-XX-2025
funds is not a project subject to the California Environmental Quality Act (“CEQA”) pursuant to sections 15378(b)(4) and 15061(b)(3) of Title 14 of the California Code of Regulations.

SECTION 6. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
This page is intentionally blank.

9.1 FISCAL YEAR 2024-25 ANNUAL

COMPREHENSIVE FINANCIAL REPORT AND
VARIOUS FISCAL YEAR 2024-25-RELATED

REPORTS AND STATEMENTS FROM

INDEPENDENT AUDITORS/ACCOUNTANTS
This page is intentionally blank.

ITEM 9.1
CC  12-17-2025 RM ITEM 9.1 – AR Page 1 of 4
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
Elizabeth Torres, Administrative Services Director/City Treasurer FOR: December 17, 2025 Regular Meeting
SUBJECT: Fiscal Year 2024-25 Annual Comprehensive Financial Report and Various Fiscal Year 2024-25-related Reports and Statements from Independent Auditors/Accountants
Recommendation
Receive and file the following documents pertaining to Fiscal Year 2024-25:
• Annual Comprehensive Financial Report for the Fiscal Year Ended June 30, 2025 (Fiscal Year 2024-25); and
• Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and
• Independent Auditor’s Statements on Auditing Standards 114 Letter: The Auditor’s Communication with Those Charged with Governance; and • Independent Accountants’ Report on Agreed-Upon Procedures Applied to Appropriations Limit Worksheet No. 6 for the Fiscal Year Ended June 30, 2025; and
• Independent Accountants’ Report on the Alternative Compliance Examination Engagement for Recipients That Would Otherwise be Required to Undergo a Single Audit or Program-Specific Audit as a Result of Receiving Coronavirus State and Local Fiscal Recovery Funds for the Fiscal Year Ended June 30, 2025.

ITEM 9.1
ITEM 9.1 – AR Page 2 of 4 CC  12-17-2025 RM
Background
CliftonLarsonAllen LLP (“CLA”) has served as the City’s independent auditor since April 1, 2024 (for Fiscal Year 2023-24) and principally provides services to the City from its Irvine office. CLA’s Irvine office provides or has provided similar services for cities, special districts, and other local governments, including:

Table 1: CliftonLarsonAllen LLP Partial Government Client List CliftonLarsonAllen LLP
Partial Government Client List
City of Alhambra City of Santa Fe Springs
City of Burbank City of Temple City
City of Camarillo City of Victorville
City of Cerritos City of Westminster
City of Chino Camrosa Water District
City of Colton Casitas Municipal Water District
City of Covina Coachella Valley Water District
City of Del Mar El Toro Water District
City of El Monte Encina Wastewater Authority
City of El Segundo Fallbrook Public Utility District
City of Escondido Granada Community Services District
City of Fillmore Inland Empire Utilities Agency
City of Glendale La Habra Heights County Water District City of Hesperia Metro Wastewater Joint Powers Authority City of Irvine Midway City Sanitary District
City of La Cañada Flintridge Monterey Peninsula Regional Park District City of La Habra Moulton Niguel Water District
City of Lake Forest Orange County Mosquito & Vector Control District
City of Lancaster Orange County Superintendent of Schools City of Norco Placentia Library District
City of Palos Verdes Estates Public Agency Retirement Services City of Pico Rivera South Coast Water District
City of Placentia Valley-Wide Recreation & Park District City of Rancho Palos Verdes Ventura Port District
City of San Buenaventura Western Municipal Water District City of Santa Ana Western Riverside County Regional Wastewater City of Santa Barbara Authority
ITEM 9.1
CC  12-17-2025 RM ITEM 9.1 – AR Page 3 of 4
Additional information on CLA is available on their website www.claconnect.com and www.claconnect.com/en/locations/california/offices/cla-irvine.

On May 21, 2025, the City Council appointed councilmembers Conners and Lee to an Ad Hoc Audit Committee to work with the City’s independent auditors on matters related to the Fiscal Year 2024-25 audit.

Discussion
Today’s meeting is an opportunity for City Council discussion, as well as public input, regarding the Fiscal Year 2024-25 Annual Comprehensive Financial Report (“ACFR”) (Attachment A) and various Fiscal Year 2024-25-related reports and statements from independent auditors/accountants (attachments B, C, D, and E).

Fiscal Year 2024-25 is the 11th year for which an ACFR has been prepared with each of the sections prescribed by the Governmental Accounting Standards Board (“GASB”). Preparation of an ACFR includes a broader presentation of financial statements than required by law and is optional, but encouraged, by GASB.

CLA concluded, based on their independent audit, that there was a reasonable basis for rendering an unmodified opinion that the financial statements for Fiscal Year 2024-25 were fairly presented in conformity with Generally Accepted Accounting Principles. No material weaknesses or significant deficiencies were identified in the City’s internal control structure.

A representative from CLA will make a presentation and be available to answer questions at today’s meeting.

Fiscal Impact
Sufficient funds to support this work are included in the City’s budget.

Attachments: A – Annual Comprehensive Financial Report for the Fiscal Year Ended June 30, 2025 (Fiscal Year 2024-25)
B – Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards C – Independent Auditor’s Statements on Auditing Standards 114 Letter: The Auditor’s Communication with Those Charged with Governance
D – Independent Accountants’ Report on Agreed-Upon Procedures Applied to Appropriations Limit Worksheet No. 6 for the Fiscal Year Ended June 30, 2025 E – Independent Accountants’ Report on the Alternative Compliance Examination ITEM 9.1
ITEM 9.1 – AR Page 4 of 4 CC  12-17-2025 RM
Engagement for Recipients That Would Otherwise be Required to Undergo a Single Audit or Program-Specific Audit as a Result of Receiving Coronavirus State and Local Fiscal Recovery Funds for the Fiscal Year Ended June 30, 2025.

ITEM 9.1 – Attachment A
Attachment A
Annual Comprehensive Financial Report for the Fiscal Year Ended June 30, 2025 (Fiscal Year 2024-25)

TO VIEW THIS DOCUMENT ONLINE, PLEASE VISIT
https://www.cityoflagunawoods.org/audit-reports/

THIS DOCUMENT CAN ALSO BE OBTAINED BY CONTACTING
THE CITY CLERK’S OFFICE AT (949) 639-0500 OR
[email protected]
This page is intentionally blank.

ITEM 9.1 – Attachment B
Attachment B
Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards

TO VIEW THIS DOCUMENT ONLINE, PLEASE VISIT
https://www.cityoflagunawoods.org/audit-reports/

THIS DOCUMENT CAN ALSO BE OBTAINED BY CONTACTING
THE CITY CLERK’S OFFICE AT (949) 639-0500 OR
[email protected]
This page is intentionally blank.

ITEM 9.1 – Attachment C
Attachment C
Independent Auditor’s Statements on Auditing Standards 114 Letter: The Auditor’s Communication with Those Charged with Governance

TO VIEW THIS DOCUMENT ONLINE, PLEASE VISIT
https://www.cityoflagunawoods.org/audit-reports/

THIS DOCUMENT CAN ALSO BE OBTAINED BY CONTACTING
THE CITY CLERK’S OFFICE AT (949) 639-0500 OR
[email protected]
This page is intentionally blank.

ITEM 9.1 – Attachment D
Attachment D
Independent Accountants’ Report on Agreed-Upon Procedures Applied to Appropriations Limit Worksheet No. 6 for the Fiscal Year Ended June 30, 2025

TO VIEW THIS DOCUMENT ONLINE, PLEASE VISIT
https://www.cityoflagunawoods.org/audit-reports/

THIS DOCUMENT CAN ALSO BE OBTAINED BY CONTACTING
THE CITY CLERK’S OFFICE AT (949) 639-0500 OR
[email protected]
This page is intentionally blank.

ITEM 9.1 – Attachment E
Attachment E
Independent Accountants’ Report on the Alternative Compliance Examination Engagement for Recipients That Would Otherwise be Required to Undergo a Single Audit or Program-Specific Audit as a Result of Receiving Coronavirus State and Local Fiscal Recovery Funds for the Fiscal Year Ended June 30, 2025

TO VIEW THIS DOCUMENT ONLINE, PLEASE VISIT
https://www.cityoflagunawoods.org/audit-reports/

THIS DOCUMENT CAN ALSO BE OBTAINED BY CONTACTING
THE CITY CLERK’S OFFICE AT (949) 639-0500 OR
[email protected]
This page is intentionally blank.

9.2 CALIFORNIA EMPLOYERS’ PENSION

PREFUNDING TRUST FUND
This page is intentionally blank.

ITEM 9.2
CC  12-17-2025 RM ITEM 9.2 – AR Page 1 of 6
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
Elizabeth Torres, Administrative Services Director/City Treasurer FOR: December 17, 2025 Regular Meeting
SUBJECT: California Employers’ Pension Prefunding Trust Fund Recommendation

1. Approve a contribution of $262,828 to the California Employers’ Pension Prefunding Trust Fund (“CEPPT”) for investment in the CEPPT Strategy 1 portfolio and authorize the City Manager and Administrative Services Director/City Treasurer to cause such contribution to be made and to execute agreements, documents, and certifications necessary to do so.

AND

2. Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

APPROPRIATIONS FOR A CONTRIBUTION TO THE CALIFORNIA
EMPLOYERS’ PENSION PREFUNDING TRUST FUND (“CEPPT”),

AND MAKING RELATED AUTHORIZATIONS
ITEM 9.2
ITEM 9.2 – AR Page 2 of 6 CC  12-17-2025 RM
Background
Like many local governments in California, the City of Laguna Woods contracts with the California Public Employees’ Retirement System (“CalPERS”) to provide defined pension benefits for employees.

Qualified employees hired prior to January 1, 2013, or otherwise eligible pursuant to the Public Employees’ Pension Reform Act of 2013 (“PEPRA”), are considered “classic” pension plan members. Classic members are enrolled in a pension plan with a “2% at age 55” retirement formula. Though not required by law, classic members contribute 7% of their annual covered salary to their pension plan.

Qualified employees hired on or after January 1, 2013, and not otherwise eligible for “classic” pension plan enrollment, are considered “PEPRA” pension plan members. PEPRA members are enrolled in a pension plan with a “2% at age 62” retirement formula. PEPRA members contribute a variable percentage of their annual covered salary to their pension plan in an amount calculated in accordance with state law (8% for Fiscal Year 2025-26).

The City is required to make employer contributions to its pension plans that are based on a variety of assumptions including, but not limited to, rates of return on pooled investments managed by CalPERS. The difference between the sum of the City’s accumulated pension plan assets and the total projected cost of earned pension benefits is referred to as “unfunded accrued liability.” Paying Off Unfunded Accrued Liability
City Administrative Policy 2.9 (Budgeting, Reserves, and Reporting) contains the following provision related to unfunded accrued liabilities:
“The City shall maintain an irrevocable Internal Revenue Code Section 115 trust fund to prefund employer contributions to California Public Employees’ Retirement System (CalPERS) pension plans.

The City shall consider making lump sum payments to reduce unfunded accrued liability (UAL) for CalPERS pension plans at least as frequently as each biennial budget development process. The City shall strive to maintain an at least 80% funded level for all CalPERS pension plans.”
ITEM 9.2
CC  12-17-2025 RM ITEM 9.2 – AR Page 3 of 6
Since May 2017, the City Council has approved lump sum payments to reduce unfunded accrued liability for CalPERS pension plans totaling $1,155,108.

Table 1: History of Lump Sum Payments to CalPERS
Date of City Council Approval
of Lump Sum Payments
Total Lump Sum Payments
(all CalPERS pension plans)
May 17, 2017 $483,218
September 26, 2018 $137,455
October 16, 2019 $101,092
October 21, 2020 $29,970
October 18, 2023 $306,925
September 18, 2024 $96,448
Note: No lump sum payments were necessary between the lump sum payments approved on October 21, 2020 and October 18, 2023, or after the lump sum payments approved on September 18, 2024, due to the City’s total liability being more than fully funded as a result of investment performance and prior contributions.

Prefunding Employer Contributions
In accordance with California Government Code Section 21711(a), the California Employers’ Pension Prefunding Trust (“CEPPT”) has been established in the State of California’s Treasury for the purpose of allowing eligible public agencies to prefund required pension contributions. The CEPPT is an Internal Revenue Code Section 115 Irrevocable Trust similar to the California Employers’ Retiree Benefit Trust (“CERBT”) that the City has participated in since 2016 to prefund statutorily required retiree medical benefits. The CalPERS Board of Directors is responsible for the administration and investment of both the CEPPT and CERBT.

The CEPPT offers two investment portfolios that are concurrently available for investment by public agencies – a more aggressive and historically higher-yielding CEPPT Strategy 1 (Attachment C) and a more conservative and historically loweryielding CEPPT Strategy 2 (Attachment D). As of October 31, 2025, the expected rates of return range from 5.4% in Strategy 1 to 4.9% in Strategy 2.

At the adjourned regular meeting on April 7, 2021, the City Council adopted two resolutions (Resolution Nos. 21-13 and 23-14) that enabled the City’s participation in the CEPPT. Thereafter, an agreement to participate was entered into by the City and CalPERS with an effective date of April 20, 2021.

ITEM 9.2
ITEM 9.2 – AR Page 4 of 6 CC  12-17-2025 RM
City Administrative Policy 2.9 (Budgeting, Reserves, and Reporting) contains the following provision related to pension prefunding:
“The City shall maintain an irrevocable Internal Revenue Code Section 115 trust fund to prefund pension liability incurred as a result of participation in CalPERS.

The City shall strive to maintain a minimum balance of $670,000 in the trust fund (the sum of the five most recent lump sum payments made by the City to pay off the entirety of its then-current UAL, as of January 1, 2025, rounded to the nearest ten thousand). After reaching a minimum balance of $670,000, the City Council shall consider establishing new goals for the trust fund.

To reach a minimum balance of $670,000, the City shall consider making at least annual contributions to the trust fund equal to 50% of the audited increase in the General Fund fund balance at the end of each fiscal year, beginning with Fiscal Year 2024-25. For fiscal years when there is no increase in the audited General Fund fund balance, the City shall consider contributing an alternative amount.

Contributions to the trust fund require approval of the City Council. Expenditures from the trust fund shall be made in a manner approved by the City Council.” Since January 2024, the City Council has approved contributions to the CEPPT to prefund required pension contributions totaling $268,045.

Table 2: History of Contributions to CEPPT
Date of City Council Approval
of Contributions
Total Contributions CEPPT Strategy
Invested In
January 31, 2024 $163,555 Strategy 1
December 18, 2024 $104,490 Strategy 1
As of November 30, 2025, the City’s CEPPT investments, including both principal and earnings, totaled $315,666.28 (of that amount, earnings total $47,621.28).

Staff monitors and reports on the performance of CEPPT investments in each monthly City Treasurer’s report.

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on a proposed contribution to the CEPPT. Staff recommends making a contribution ITEM 9.2
CC  12-17-2025 RM ITEM 9.2 – AR Page 5 of 6
in order to further diversify the City’s investment portfolio and pursue investment earnings to offset the City Council’s regular practice of making lump sum payments to reduce unfunded accrued liability for CalPERS pension plans.

Approval of the proposed resolution (Attachment A) would result in a contribution of $262,828 to the CEPPT, which would be invested in CEPPT Strategy 1. The proposed contribution is equal to 50% of the $525,656 increase in the General Fund balance at the end of the previous fiscal year (i.e., 50% of Fiscal Year 2024- 25’s General Fund revenue over expenditures) and would increase the City’s CEPPT investments to $578,494.28, based on the value of the CEPPT investments as of November 30, 2025 (the actual amount would vary based on investment performance between November 30, 2025 and the date of the contribution).

Staff recommends investing the proposed contribution in CEPPT Strategy 1, rather than CEPPT Strategy 2, based on historical performance and the strength of the City’s current financial position to accept greater investment risk.

While City Administrative Policy 2.2 (Investment of Financial Assets) does not apply to funds invested separately with independent fiduciaries, investing in the CEPPT would nevertheless further diversify the City’s overall investment portfolio which would help avoid incurring unreasonable and avoidable risk associated with concentrating investments in unvaried investment types, maturity segments, or financial depositories and institutions.

Fiscal Impact
Sufficient funds to make the proposed contribution to the CEPPT are available within the unassigned General Fund balance, which currently totals approximately $6.9 million. The proposed resolution would increase General Fund appropriations in the Fiscal Year 2025-26 Budget by $262,828.

Once funds are contributed to the CEPPT, disbursements can only be made for pension contribution costs, subject to the terms of the City’s CEPPT participation agreement. In addition to future lump sum payments to reduce unfunded accrued liability, disbursements could be made to pay annual employer contributions. (The amounts in the proposed resolution assume approval of the recommendations for items 7.3 and 7.6 on today’s agenda.)
ITEM 9.2
ITEM 9.2 – AR Page 6 of 6 CC  12-17-2025 RM
Attachments: A – Proposed Resolution
B – CEPPT Program Informational Flyer
C – CEPPT Fund Facts – Strategy 1 dated October 31, 2025 D – CEPPT Fund Facts – Strategy 2 dated October 31, 2025 ITEM 9.2 – Attachment A
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA

APPROPRIATIONS FOR A CONTRIBUTION TO THE CALIFORNIA
EMPLOYERS’ PENSION PREFUNDING TRUST FUND (“CEPPT”),

AND MAKING RELATED AUTHORIZATIONS
WHEREAS, the Fiscal Years 2025-26 Budget (“Budget”) was adopted by the City Council on June 25, 2025 (Resolution No. 25-18); and WHEREAS, per City Administrative Policy 2.9, increases in adopted fundlevel Budget appropriations require City Council approval; and California Employers’ Pension Prefunding Trust Contribution WHEREAS, the City contracts with the California Public Employees’ Retirement System (“CalPERS”) to provide pension benefits for employees; and WHEREAS, in accordance with California Government Code Section 21711(a), the California Employers’ Pension Prefunding Trust (“CEPPT”) has been established in the State of California’s Treasury for the purpose of allowing eligible public agencies to prefund required pension contributions; and WHEREAS, at the adjourned regular meeting on April 7, 2021, the City Council adopted two resolutions (Resolution Nos. 21-13 and 23-14) that enabled the City’s participation in the CEPPT; and
WHEREAS, an agreement for the City to participate in CEPPT was entered into by the City and CalPERS with an effective date of April 20, 2021; and WHEREAS, staff recommends that the City contribute $262,828 to the CEPPT for investment in the CEPPT Strategy 1 portfolio; and WHEREAS, contributing to the CEPPT would further diversify the City’s investment portfolio and pursue investment earnings to offset the City Council’s ITEM 9.2 – Attachment A
R 25-XX 2 XX-XX-2025
regular practice of making lump sum payments to reduce unfunded accrued liability for CalPERS pension plans; and
WHEREAS, it is necessary for the City Council to increase Fiscal Year 2025-26 appropriations for the General Fund in the amount of $262,828, with the appropriation drawn from the unassigned General Fund balance, to allow for the contribution to the CEPPT; and
WHEREAS, the unassigned General Fund balance has sufficient funds to accommodate the increased appropriations.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Section 2 of Resolution No. 25-18, as previously amended by Resolution Nos. 25-28, 25-34, 25-XX, and 25-XX, is hereby amended, in its entirety, to read as follows:

The budget appropriations authorized, on a fund level, are:

Fiscal Year
2025-26
Adopted
Budget
Fiscal Year
2024-25
Carryover
Appropriations
Fiscal Year
2025-26
Budget
Amendments
Fiscal Year
2025-26
Amended
Budget
General Fund $10,814,328
(includes
transfers to
Capital
Projects Fund
of $1,860,000
and to the
Senior
Mobility Fund
of $406,052)
$64,902 $618,482A,B,D,E
$11,497,712
(includes
transfers to
Capital
Projects Fund
of $2,199,307
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $1,860,000 $687,100 $493,074B,C,D $3,040,174 Fuel Tax $404,557 - - $404,557
Road Maintenance &
Rehabilitation Program $515,824 $14,993 - $530,817
Measure M2 (OC Go) $267,780 - - $267,780
Service Authority for
Abandoned Vehicles $0 - - $0
ITEM 9.2 – Attachment A
R 25-XX 3 XX-XX-2025
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,000 - - $10,000
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $652,598 - - $652,598
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 $233,233 - $233,233
State of California
Grants $0 $274,924 - $274,924
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($2,266,052) - ($339,307)B,D ($2,605,359)
TOTAL $13,005,935 $1,275,151 $772,249 $15,053,335
A Fund Budget Adjustment CC-25/26-01: City Manager Agreement, +$16,347 (R 25-28) B Fund Budget Adjustment CC-25/26-02: Woods End Project, +$330,607 (R 25-34) C Fund Budget Adjustment CC-25/26-03: Unspent Capital Projects Funds, +$153,767 (R 25-XX) D Fund Budget Adjustment CC-25/26-04: Pavement Project FY 2025-26, +$8,700 (R 25-XX) E Fund Budget Adjustment CC-25/26-05: CEPPT Contribution, +$262,828 (R 25-XX) Fiscal Year
2026-27
Adopted
Budget
Fiscal Year
2025-26
Carryover
Appropriations
Fiscal Year
2026-27
Budget
Amendments
Fiscal Year
2026-27
Amended
Budget
General Fund $9,611,466
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
- $19,674A
$9,631,140
(includes
transfers to
Capital
Projects Fund
of $350,000
and to the
Senior
Mobility Fund
of $406,052)
Capital Projects Fund $350,000 - - $350,000
Fuel Tax $439,580 - - $439,580
Road Maintenance &
Rehabilitation Program $529,206 - - $529,206
Measure M2 (OC Go) $284,878 - - $284,878
ITEM 9.2 – Attachment A
R 25-XX 4 XX-XX-2025
Service Authority for
Abandoned Vehicles $0 - - $0
Supplemental Law
Enforcement Services $231,600 - - $231,600
Mobile Source
Reduction $10,500 - - $10,500
PEG/Cable Television $15,000 - - $15,000
Senior Mobility $686,906 - - $686,906
Community
Development
Block Grant (CDBG)
$500,000 - - $500,000
Federal Grants $0 - - $0
State of California
Grants $0 - - $0
Miscellaneous Special
Revenue $0 - - $0
Laguna Woods Civic
Support Fund $300 - - $300
Less: Transfer to Other
Funds ($756,052) - ($0) ($756,052)
TOTAL $12,309,436 $0 $19,674 $12,329,110
A Fund Budget Adjustment CC-26/27-01: City Manager Agreement, +$19,674 (R 25-28) The budget appropriations authorized by this section reflect the Fiscal Years 2025- 26 adopted budgets, plus authorized budget adjustments approved between July 1, 2025 and the date of this amendment. The budget appropriations authorized by this section also include carryovers of approved, but unspent, budget appropriations from prior fiscal years. Such carryovers were approved by the City Council with the adoption of the current budget and/or pursuant to Administrative Policy 2.9.

SECTION 2. The increased General Fund appropriations adopted as part of this resolution shall be considered “non-operating” and shall be used to make a $262,828 to the CEPPT for investment in the CEPPT Strategy 1 portfolio. The City Manager and Administrative Services Director/City Treasurer are hereby authorized to cause such contribution to be made and to execute agreements, documents, and certifications necessary to do so.

SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof. [SIGNATURES ON NEXT PAGE]
ITEM 9.2 – Attachment A
R 25-XX 5 XX-XX-2025
PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
This page is intentionally blank.
580% Growth
In Employer Participation From
Inception to FY 2024-25
The California Employers’
Pension Prefunding Trust
Prefund future pension costs with a CalPERS trust fund
The CEPPT is designed to give public agencies who offer defined benefit pensions the opportunity to save money by investing now for their future pension contributions.
102
Participating Employers
$312.6 million
Assets Under Management
Choice of Asset Allocation Strategies
- Expected Rate
of Return | Standard Deviation | Risk LevelLess Conservative g More Conservative Strategy 1 5.4% | 8.4% |
Strategy 2 4.9% | 5.9% |
Figures as of June 30, 2025
The CEPPT program gives us
a powerful tool to help ensure the
stabilization and sustainability of our
long-term retirement benefits. With its
low fees, flexibility, risk diversification, and
professional staff, it is the perfect program
to save money for our agency and the
ratepayers we serve.
– Robert Housley, General Manager
Midway City Sanitary District, Orange
“
”
ITEM 9.2 - Attachment B
Consistent Growth of CEPPT Fund Assets Since Inception
Portfolio Managed by CalPERS
• Fiduciary responsibility assumed
by the CalPERS Board
• Investment management by experts at
CalPERS and internationally renowned
consultants
• Two investment strategy options with
varying risk levels
• All public market securities
Learn more at www.calpers.ca.gov/ceppt
Contact us at [email protected]
Call us at (916) 795-8454
Figures as of June 30, 2025

How can you use the CEPPT?
• Prefund normal cost contributions and
unfunded liability payments
• Make additional discretionary payments
• As a contingency fund for future volatility
Advantages of Participating in CEPPT
The CEPPT is designed to save you money and stabilize
your budget by offering:
• CalPERS investment management
• Low total participation costs
• Efficient and effective customer outreach and support • Simple and streamlined account transactions

August 2025
ITEM 9.2 - Attachment B
California Employers' Pension Prefunding Trust (CEPPT)
CEPPT Strategy 1
October 31, 2025
Asset Class Target
Allocation
Target
Range Benchmark
Global Equity 37% ± 5% MSCI All Country World
Index IMI (Net)
Fixed Income 44% ± 5% Bloomberg US Aggregate
Bond Index
Treasury Inflation-Protected
Securities ("TIPS") 5% ± 3% Bloomberg US TIPS Index,
Series L
Real Estate Investment
Trusts ("REITs") 14% ± 5% FTSE EPRA/NAREIT
Developed Index (Net)
Cash - + 2% ICE BofA US 3-Month
Treasury Bill Index
Assets Under Management
As of the specified reporting month-end:

CEPPT Strategy 1 Annual Expense Ratio
$257,884,255 0.25%
CEPPT Strategy 1 Performance as of October 31, 2025
SKHD Since Inception*
1 Month 3 Months Fiscal YTD 1 Year 3 Years* 5 Years* 10 Years* (October 1, 2019) Gross Return 1,3 0.84% 5.08% 5.33% 11.76% 11.63% 6.16% - 6.03% Net Return 2,3 0.82% 5.02% 5.25% 11.51% 11.37% 5.92% - 5.79% Benchmark Return 0.83% 5.05% 5.28% 11.57% 11.45% 6.00% - 5.91% Standard Deviation 4 - - - - 9.18% 10.11% - 10.29%
* Returns for periods greater than one year are annualized. 1 Gross returns are net of State Street Investment Management operating expenses. 2 Net returns are net of State Street Investment Management operating expenses, investment management, administrative and recordkeeping fees. 3 Expenses are described in more detail on page 2 of this document. 4 Standard deviation is based on gross returns and is reported for periods greater than 3 years.

Objective
The CEPPT Strategy 1 portfolio seeks to provide capital appreciation and income consistent with its strategic asset allocation. There is no guarantee that the portfolio will achieve its investment objective.

Strategy
The CEPPT Strategy 1 portfolio is invested in various asset classes that are passively managed to an index. CalPERS periodically adjusts the composition of the portfolio in order to match the target allocations. Generally, equities are intended to help build the value of the employer's portfolio over the long term while bonds are intended to help provide income and stability of principal. Also, strategies invested in a higher percentage of equities seek higher investment returns (but assume more risk) compared with strategies invested in a higher percentage of bonds.

Compared with CEPPT Strategy 2, this portfolio has a higher allocation to equities than bonds. Historically, equities have displayed greater price volatility and, therefore, this portfolio may experience greater fluctuation of value. Employers that seek higher investment returns, and are able to accept greater risk and tolerate more fluctuation in returns, may wish to consider this portfolio.

CalPERS Board may change the list of approved asset
classes in composition as well as targeted allocation
percentages and ranges at any time.

Composition
Asset Class Allocations and Benchmarks
The CEPPT Strategy 1 portfolio consists of the following asset classes and corresponding benchmarks:

Portfolio Benchmark
The CEPPT Strategy 1 benchmark is a composite of underlying asset class market indices, each assigned the target weight for the asset class it represents.

Target vs. Actual Asset Class Allocations
The following chart shows policy target allocations compared with actual asset allocations as of the specified reporting month-end. CalPERS may temporarily deviate from the target allocation for a particular asset class based on market, economic, or other considerations.

ITEM 9.2 - Attachment C
California Employers' Pension Prefunding Trust (CEPPT)
October 31, 2025
Asset Class Target Allocations Strategy 1 Strategy 2
Global Equity 37% 21%
Fixed Income 44% 61%
Treasury-Inflation Protected Securities 5% 9%
Real Estate Investment Trusts 14% 9%
CEPPT Strategy 1
General Information
Information Accessibility
The CEPPT Strategy 1 portfolio consists of assets managed internally by CalPERS and/or by external managers. Since it is not a mutual fund, a prospectus is not available and daily holdings are not published. CalPERS provides a quarterly statement of the employer's account and other information about the CEPPT. For total market value, detailed asset allocation, investment policy and performance information, please visit our website at www.calpers.ca.gov.

Portfolio Manager Information
The CalPERS Board, through its Investment Committee, directs the CEPPT investment strategy based on policies approved by the Board of Administration. State Street Investment Management manages all underlying investments for CEPPT, which include: Global Equity, Fixed Income, Real Estate Investment Trusts, and Treasury Inflation-Protected Securities.

Custodian and Record Keeper
State Street Bank serves as custodian for the CEPPT. Northeast Retirement Services serves as recordkeeper.

Expenses
CEPPT is a self-funded trust in which participating employers pay for all administrative and investment expenses. Expenses reduce the gross investment return by the fee amount. The larger the expenses, the greater reduction of investment return. Currently, CEPPT expense ratios are 0.25%.

This equates to $2.50 per $1,000 invested. The expenses consist of administrative expenses borne by CalPERS to administer and oversee the Trust assets, investment management and administrative fees paid to State Street Investment Management to manage all asset classes, and recordkeeping fees paid to Northeast Retirement Services to administer individual employer accounts. The expenses described herein are reflected in the net asset value per unit. The expense ratio is subject to change at any time and without prior notification due to factors such as changes to average fund assets or market conditions. CalPERS reviews the operating expenses annually and changes may be made as appropriate. Even if the portfolio loses money during a period, the expenses will still be charged.

What Employers Own
Each employer invested in CEPPT Strategy 1 owns units of this portfolio, which invests in pooled asset classes managed by CalPERS and/or external advisors. Employers do not have direct ownership of the securities in the portfolio.

Price
The value of the portfolio changes daily based upon the market value of the underlying securities. Just as prices of individual securities fluctuate, the portfolio's value also changes with market conditions.

Principal Risks of the Portfolio
The CEPPT fund is a trust fund dedicated to prefunding employer contributions to defined benefit pension plans for eligible state and local agencies. CEPPT is not, however, a defined benefit plan. There is no guarantee that the portfolio will achieve its investment objectives or provide sufficient funding to meet employer obligations.

An investment in the portfolio is not a bank deposit, nor is it insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC), CalPERS, the State of California or any other government agency.

There are risks associated with investing, including possible loss of principal. The portfolio's risk depends in part on the portfolio's asset class allocations and the selection, weighting and risks of the underlying investments. For more information about investment risks, please see the document entitled "CEPPT Principal Investment Risks" located at www.calpers.ca.gov.

Fund Performance
Performance data shown on page 1 represents past performance and is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that an employer's units, when redeemed, may be worth more or less than their original cost. Current performance may be higher or lower than historical performance data shown. For current performance information, please visit www.calpers.ca.gov and follow the links to California Employers' Pension Prefunding Trust.

CEPPT Strategy Risk Levels
CalPERS offers employers the choice of one of two investment strategies. Projected risk levels among risk strategies vary, depending upon the target asset class allocations. Generally, equities carry more risk than fixed income securities.

ITEM 9.2 - Attachment C
California Employers' Pension Prefunding Trust (CEPPT)
CEPPT Strategy 2
October 31, 2025
Asset Class Target
Allocation
Target
Range Benchmark
Global Equity 21% ± 5% MSCI All Country World
Index IMI (Net)
Fixed Income 61% ± 5% Bloomberg US Aggregate
Bond Index
Treasury Inflation-Protected
Securities ("TIPS") 9% ± 3% Bloomberg US TIPS Index,
Series L
Real Estate Investment
Trusts ("REITs") 9% ± 5% FTSE EPRA/NAREIT
Developed Index (Net)
Cash - + 2% ICE BofA US 3-Month
Treasury Bill Index
Assets Under Management
As of the specified reporting month-end:

CEPPT Strategy 2 Annual Expense Ratio
$90,095,831 0.25%
CEPPT Strategy 2 Performance as of October 31, 2025
SKHE Since Inception*
1 Month 3 Months Fiscal YTD 1 Year 3 Years* 5 Years* 10 Years* (January 1, 2020) Gross Return 1,3 0.71% 4.17% 4.21% 9.42% 8.98% 3.26% - 3.45% Net Return 2,3 0.69% 4.11% 4.12% 9.17% 8.73% 3.03% - 3.21% Benchmark Return 0.70% 4.11% 4.13% 9.20% 8.87% 3.14% - 3.33% Standard Deviation 4 - - - - 7.78% 8.02% - 7.86%
* Returns for periods greater than one year are annualized. 1 Gross returns are net of State Street Investment Management operating expenses. 2 Net returns are net of State Street Investment Manaagement operating expenses, investment management, administrative and recordkeeping fees. 3 Expenses are described in more detail on page 2 of this document. 4 Standard deviation is based on gross returns and is reported for periods greater than 3 years.

Objective
The CEPPT Strategy 2 portfolio seeks to provide capital appreciation and income consistent with its strategic asset allocation. There is no guarantee that the portfolio will achieve its investment objective.

Strategy
The CEPPT Strategy 2 portfolio is invested in various asset classes that are passively managed to an index. CalPERS periodically adjusts the composition of the portfolio in order to match the target allocations. Generally, equities are intended to help build the value of the employer's portfolio over the long term while bonds are intended to help provide income and stability of principal. Also, strategies invested in a higher percentage of equities seek higher investment returns (but assume more risk) compared with strategies invested in a higher percentage of bonds.

Compared with CEPPT Strategy 1, this portfolio has a lower allocation to equities and a higher allocation to bonds. Historically, funds with a lower percentage of equities have displayed less price volatility and, therefore, this portfolio may experience comparatively less fluctuation of value. Employers that seek greater stability of value, in exchange for possible lower investment returns, may wish to consider this portfolio.

CalPERS Board may change the list of approved asset classes in composition as well as targeted allocation percentages and ranges at any time.

Composition
Asset Class Allocations and Benchmarks
The CEPPT Strategy 2 portfolio consists of the following asset classes and corresponding benchmarks:

Portfolio Benchmark
The CEPPT Strategy 2 benchmark is a composite of underlying asset class market indices, each assigned the target weight for the asset class it represents.

ITEM 9.2 - Attachment D
California Employers' Pension Prefunding Trust (CEPPT)
October 31, 2025
Asset Class Target Allocations Strategy 1 Strategy 2
Global Equity 37% 21%
Fixed Income 44% 61%
Treasury-Inflation Protected Securities 5% 9%
Real Estate Investment Trusts 14% 9%
CEPPT Strategy 2
General Information
Information Accessibility
The CEPPT Strategy 2 portfolio consists of assets managed internally by CalPERS and/or by external managers. Since it is not a mutual fund, a prospectus is not available and daily holdings are not published. CalPERS provides a quarterly statement of the employer's account and other information about the CEPPT. For total market value, detailed asset allocation, investment policy and performance information, please visit our website at www.calpers.ca.gov.

Custodian and Record Keeper
State Street Bank serves as custodian for the CEPPT. Northeast Retirement Services serves as recordkeeper.

0.25%. This equates to $2.50 per $1,000 invested. The expenses consist of administrative expenses borne by CalPERS to administer and oversee the Trust assets, investment management and administrative fees paid to State Street Investment Management to manage all asset classes, and recordkeeping fees paid to Northeast Retirement Services to administer individual employer accounts. The expenses described herein are reflected in the net asset value per unit. The expense ratio is subject to change at any time and without prior notification due to factors such as changes to average fund assets or market conditions. CalPERS reviews the operating expenses annually and changes may be made as appropriate. Even if the portfolio loses money during a period, the expenses will still be charged.

What Employers Own
Each employer invested in CEPPT Strategy 2 owns units of this portfolio, which invests in pooled asset classes managed by CalPERS and/or external advisors. Employers do not have direct ownership of the securities in the portfolio.

ITEM 9.2 - Attachment D

9.3 PUBLIC SAFETY GRANT PROGRAM
This page is intentionally blank.

ITEM 9.3
CC  12-17-2025 RM ITEM 9.3 – AR Page 1 of 3
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Public Safety Grant Program
Recommendation
Adopt a resolution titled:

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 5.1

PERTAINING TO THE ESTABLISHMENT OF A PUBLIC SAFETY

GRANT PROGRAM AND RELATED FUNDING PROGRAMS, AND
ALLOCATING EXISTING FISCAL YEARS 2025-26 AND 2026-27

GENERAL FUND BUDGET APPROPRIATIONS TO FUNDING

PROGRAMS
Background
The Fiscal Years 2025-27 Budget & Work Plan includes the following significant work plan item, as well as corresponding budgets of $250,000 for Fiscal Year 2025-26 and $250,000 for Fiscal Year 2026-27.

ID Description Priority Alignment
21 Public Safety Grant Program – Develop and launch a grant program to financially incentivize (1) early implementation of the California Board of Forestry and Fire Protection’s forthcoming Zone 0 defensible space regulations and (2) registration and integration of security cameras with the Orange County Sheriff’s Department.

Healthy and safe
ITEM 9.3
ITEM 9.3 – AR Page 2 of 3 CC  12-17-2025 RM
Lead Department: Public Safety Services
Scheduling Consideration: -
Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on a proposed administrative policy that would establish a public safety grant program (referred to as the “First in Public Safety” Grant Program) and related funding programs (Attachment A). Staff recommends adopting the proposed administrative policy to support the City’s efforts to reduce the risk of disasters and incidence of crime.

The initial proposed funding programs are as follows:
• Zone 0 Compliance Accelerator Program – This funding program would incentivize early implementation of the California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations. $470,000 of the existing Fiscal Years 2025-27 budgets for the public safety grant program would be allocated to this funding program. Eligible applicants would include non-governmental owners of buildings and structures that are located in Laguna Woods’ Very High Fire Hazard Severity Zone (i.e., Golden Rain Foundation of Laguna Woods and Third Laguna Hills Mutual). For more information, please refer to page 6 of the proposed administrative policy. • Connect Orange County Incentives Program – This funding program would incentivize registration and integration of security cameras with the Orange County Sheriff’s Department. $30,000 of the existing Fiscal Years 2025-27 budgets for the public safety grant program would be allocated to this funding program. Eligible applicants would include non-governmental owners and tenants of properties that are located in Laguna Woods (e.g., businesses, homeowners’ associations, and places of worship). For more information, please refer to page 7 of the proposed administrative policy.

On November 12, 2025, staff provided a preliminary draft of the proposed administrative policy to Village Management Services (“VMS”) staff to review on behalf of the Golden Rain Foundation of Laguna Woods and Third Laguna Hills Mutual. No concerns were expressed, and no substantive changes have been made to the proposed administrative policy since that date.

ITEM 9.3
CC  12-17-2025 RM ITEM 9.3 – AR Page 3 of 3
Fiscal Impact
The Fiscal Years 2025-27 Budget & Work Plan established General Fund budgets for the public safety grant program in the amounts of $250,000 for Fiscal Year 2025-26 and $250,000 for Fiscal Year 2026-27. The proposed administrative policy would allocate those budgets to specific funding programs.

Staff views the public safety grant program as an ongoing initiative and anticipates recommending that the City Council approve additional budget allocations in the future, based on demand for new and continuing funding programs.

Attachment: A – Proposed Resolution
Exhibit A – Proposed Administrative Policy
This page is intentionally blank.

ITEM 9.3 – Attachment A
R 25-XX 1 XX-XX-2025
RESOLUTION NO. 25-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAGUNA
WOODS, CALIFORNIA, ADOPTING ADMINISTRATIVE POLICY 5.1

PERTAINING TO THE ESTABLISHMENT OF A PUBLIC SAFETY

GRANT PROGRAM AND RELATED FUNDING PROGRAMS, AND
ALLOCATING EXISTING FISCAL YEARS 2025-26 AND 2026-27

GENERAL FUND BUDGET APPROPRIATIONS TO FUNDING

PROGRAMS
WHEREAS, public safety is critically important to Laguna Woods residents and businesses, as well as a reason many individuals decide to relocate to Laguna Woods; and
WHEREAS, the City Council wishes to establish a public safety grant program (the “First in Public Safety” Grant Program) to support the City’s efforts to reduce the risk of disasters and incidence of crime; and WHEREAS, the “First in Public Safety” Grant Program will provide financial incentives for activities undertaken by non-governmental parties that advance mitigation and preparedness efforts related to natural hazards and crime; and
WHEREAS, staff has drafted Administrative Policy 5.1, which would establish the “First in Public Safety” Grant Program and related funding programs, for consideration by the City Council; and
WHEREAS, Administrative Policy 5.1 includes the allocation of existing fiscal years 2025-26 and 2026-27 General Fund budget appropriations to funding programs as set forth in Exhibit B thereto; and
WHEREAS, the funding programs described within Administrative Policy

5.1 would provide public benefits including, but not necessarily limited, to those set forth therein.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAGUNA

WOODS, DOES HEREBY RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. The above recitals are true and correct.

ITEM 9.3 – Attachment A
R 25-XX 2 XX-XX-2025
SECTION 2. The administrative policy attached hereto as Exhibit A is adopted and is a statement of the City’s “First in Public Safety” Grant Program policy. The administrative policy attached hereto as Exhibit A replaces and supersedes all previous versions of Administrative Policy 5.1.

SECTION 3. The Mayor shall sign this resolution and the City Clerk shall attest and certify to the passage and adoption thereof.

PASSED, APPROVED AND ADOPTED on this XX day of XX 2025. _______________________________
SHARI L. HORNE, Mayor
ATTEST:
________________________________
YOLIE TRIPPY, CMC, City Clerk

STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss.

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:
_________________________________
YOLIE TRIPPY, CMC, City Clerk
ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 1 of 7
ADMINISTRATIVE POLICY 5.1
“FIRST IN PUBLIC SAFETY” GRANT PROGRAM

5.1.01. Statement of Purpose.

Public safety is critically important to Laguna Woods residents and businesses, as well as a reason many individuals decide to relocate to Laguna Woods. The “First in Public Safety” Grant Program provides financial incentives for activities undertaken by non-governmental parties that advance mitigation and preparedness efforts related to natural hazards and crime. In doing so, the “First in Public Safety” Grant Program supports the City of Laguna Woods’ efforts to reduce the risk of disasters and incidence of crime.

5.1.02. Funding Programs.

The City Council may establish funding programs as part of the “First in Public Safety” Grant Program by amending Exhibit B to this Administrative Policy to include information related to the purpose, public benefit, structure, and implementation of each funding program. The information included in Exhibit B shall be used and supplemented by the City Manager to develop calls for projects and funding program guidelines.

Funding programs may be established at the City Council’s discretion but should generally relate to current or emerging public safety priorities and specifically focus on activities that private parties might not undertake as quickly, or at all, absent financial incentivization.

5.1.03. General Implementation Process.

Funding programs that are part of the “First in Public Safety” Grant Program shall generally be implemented in accordance with the process set forth below.

1. The City of Laguna Woods issues a call for projects and funding program guidelines setting forth eligibility requirements, deadlines, and other pertinent information.

2. Applicants submit applications to the City of Laguna Woods in forms and containing such information as the City Manager deems to be necessary or advantageous to the implementation of the funding program. Staff shall make reasonable efforts to ensure that application requirements are not unduly burdensome.

ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 2 of 7

3. Staff and, at the City Manager’s discretion, one or more representatives of the City of Laguna Woods’ public safety partners (e.g., City of Laguna Beach, Orange County Fire Authority, and Orange County Sheriff’s Department), evaluate applications received and recommend funding awards to the City Council.

4. The City Council receives funding award recommendations from staff and approves funding awards and associated grant agreements, in an open and publicly noticed meeting. Staff’s recommendations are advisory only and do not limit the City Council’s ability to approve fundings awards or associated grant agreements at its discretion.

5. Recipients complete the activities required by their grant agreements and submit completion reports and requests for payment to the City of Laguna Woods in forms and containing such information as the City Manager deems necessary or advantageous to the implementation of the funding program. When applicable, recipients are required to submit certified payroll records as an attachment to their completion reports.

6. Staff reviews completion reports and requests for payment. If staff determines that all activities required by a recipient’s grant agreement have been completed and all required documentation and deliverables have been received by the City of Laguna Woods (“completeness determination”), payments are made to recipients. Staff shall make reasonable efforts to issue payments to recipients within 15 calendar days of the completeness determination. When activities required by grant agreements include construction or other observable activities, staff shall conduct an on-site inspection to confirm all such activities have been completed prior to any payments being made.

5.1.04. Treatment of Construction as a Public Work.

Though construction undertaken by recipients in connection with their grant agreements does not constitute a “public project” as that term is defined in California Public Contract Code Section 20161, out of an abundance of caution, the City of Laguna Woods chooses to treat such construction as a “public work” as that term is defined in California Labor Code Section 1720(a)(1) due to it being “paid for in whole or in part out of public funds.”

5.1.05. Public Works Contractor Registration Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be registered as a public works contractor with the CaliforniaDepartment of Industrial Relations (“DIR”) prior to beginning any work. Contractors shall maintain the validity of their DIR registrations at all times while completing work, until all work is completed.

This section does not require registration as a public works contractor for work for which the DIR has not made a prevailing wages determination.

ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 3 of 7

5.1.06. Prevailing Wages and Certified Payroll Records Required.

Individuals that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall be paid at least the prevailing wages determined by the DIR, according to the type and location of work.

To substantiate compliance with this section, all contractors that provide labor associated with a recipient’s grant agreement shall submit certified payroll records to the California Labor Commissioner via the DIR’s Public Works Website Services using a DIR project number provided by the City of Laguna Woods. The same records that are submitted via the DIR’s Public Works Website Services shall also be submitted to the City of Laguna Woods, without redaction, prior to the City of Laguna Woods making any payments1.

This section does not require the payment of prevailing wages or the submittal of certified payroll records for work for which the DIR has not made a prevailing wages determination.

5.1.07. Apprentice Hiring Required.

Contractors that provide labor associated with a recipient’s grant agreement, regardless of whether payment for labor is provided through such grant agreement, shall comply with the DIR’s apprentice hiring requirements.

This section does not require compliance with apprentice hiring requirements for funding awards totaling less than $30,000 (regardless of whether an individual contractor’s portion of work will be less than $30,000) or for crafts or trades that do not require apprentice hiring, as indicated in the DIR’s prevailing wage determinations.

5.1.08. Grant Agreements.

As a condition of funding awards, and prior to any payment, recipients shall enter into grant agreements with the City of Laguna Woods. Grant agreements shall be signed on behalf of the City of Laguna Woods by the City Manager and are subject to approval as to form by the City Attorney. The recipients’ signature(s) shall be notarized (acknowledgement).

Prior to executing grant agreements, recipients shall provide evidence to the City of Laguna Woods that the person or person(s) executing grant agreements on their behalf has/have the authority to do so and to bind them to obligations thereunder. For nonprofit public benefit corporations and nonprofit mutual benefit corporations, such evidence shall consist of a resolution or minute order signed by the secretary of the board of directors identifying the 1 California Assembly Bill 538 (Berman, Chapter 616, Statutes of 2025) requires cities to make certified payroll records associated with public works construction projects available for public inspection upon request. In doing so, cities are generally required to take steps to prevent the disclosure of individual names, addresses, and social security numbers.

ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 4 of 7
authorized signatories by name and title and specifying the period of validity for such authorization. The secretary’s signature shall be notarized (acknowledgement).

In addition to information regarding the activities for which grants have been awarded and the payments to be provided, grant agreements shall include, at a minimum:

1. Indemnification and insurance requirements in forms, types, and amounts determined to be necessary by the City Manager and City Attorney. Staff shall consult with the California Joint Powers Insurance Authority on this matter.

2. Assurance that recipients shall provide the City of Laguna Woods and its agents with sufficient on-site access to determine whetherthe activities required by the recipients’ grant agreements have been completed.

3. Confirmation that recipients shall ensure compliance with applicable public works contractor registration, prevailing wages and certified payroll records, and apprentice hiring requirements. For additional information, refer to sections 5.1.05, 5.1.06, and

5.1.07 of this Administrative Policy.

4. Assurance that recipients shall maintain complete and detailed records to permit an accurate evaluation of the activities required by the recipients’ grant agreements. Such records shall be maintained for a period of five years from the date of the final payment made by the City of Laguna Woods and be made available to the City of Laguna Woods and its agents, for any reason and without redaction, within 10 calendar days of written request. Financial records shall be maintained in accordance with generally accepted accounting principles, to the extent applicable principles exist.

5. An acknowledgement by recipients that the City of Laguna Woods is subject to the California Public Records Act and may be required to publicly disclose all records submitted or maintained in connection with the “First in Public Safety” Grant Program.

Recipients should not expect privacy of such information.

City Council Approval: December XX, 2025
ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 5 of 7

EXHIBIT A, GLOSSARY OF TERMS AND ACRONYMS
This Glossary of Terms and Acronyms contains information intended to provide readers with a common understanding of terms and acronyms used in this Administrative Policy. It is not intended for use outside of this Administrative Policy, is not all inclusive, and should not be treated as a substitute for professional counsel or analysis.

CALIFORNIA DEPARTMENT OF INDUSTRIAL RELATIONS (“DIR”): A department of the State of California responsible for functions including, but not limited to, the administration and enforcement of prevailing wages, apprenticeship requirements, and related workplace protections on public works construction projects.

CALIFORNIA JOINT POWERS INSURANCE AUTHORITY: The organization through which the City of Laguna Woods obtains liability and workers’ compensation coverage.

CALIFORNIA LABOR COMMISSIONER: The Division of Labor Standards Enforcement within the California Department of Industrial Relations (“DIR”).

CONTRACTOR: Any corporation, limited liability company, limited partnership, or other forprofit or nonprofit entity that provides labor associated with a recipient’s grant agreement, whether directly or in a subcontracting capacity. Recipients that provide labor associated with their own grant agreements are also considered “contractors.” ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 6 of 7

EXHIBIT B, FUNDING PROGRAMS
Funding Program 26-A
Zone 0 Compliance Accelerator
Purpose: Funding Program 26-A seeks to incentivize early implementation of the California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations.

Public Benefit: The California Board of Forestry and Fire Protection’s Zone 0 defensible space regulations are intended to result in the public safety benefits described in California Assembly Bill 3074 (Friedman, Chapter 259, Statutes of 2020) and California Senate Bill 504 (Dodd, Chapter 982, Statutes of 2024). Property owners of buildings and structures that are located in very high fire hazard severity zones and were constructed prior to 2026 have until January 1, 2029 to implement the regulations. Early implementation of the regulations will result in public safety benefits being realized sooner than they would otherwise.

Eligible Applicants: Non-governmental owners of buildings and structures that are located in the City of Laguna Woods’ Very High Fire Hazard Severity Zone are eligible to apply.

Available Funding: $220,000 – Fiscal Year 2025-26
$250,000 – Fiscal Year 2026-27
Unspent funds will automatically carryover to future fiscal years until reappropriated by the City Council or Fiscal Year 2028-29, whichever is later.

Eligible Activities: Eligible activities include design and construction costs associated with the physical modification of property to comply with the California Board of Forestry and Fire
Protection’s Zone 0 defensible space regulations.

Application Timeline: To be determined by the City Manager Other:  Grant activities must be completed within 365 calendar days of the date the grant agreement is entered into.
 Completion reports and requests for payment must be
submitted no later than 30 calendar days after the date grant activities are completed.

ITEM 9.3 – Exhibit A to Attachment A
Administrative Policy 5.1 (12/XX/2025) | Page 7 of 7
Funding Program 26-B
Connect Orange County Incentives
Purpose: Funding Program 26-B seeks to incentivize registration and integration of security cameras with the Orange County
Sheriff’s Department
Public Benefit: The Orange County Sheriff’s Department’s Connect Orange County program is intended to result in the following public safety benefits: (1) Enhance emergency preparedness by
enabling police, fire, and public safety professionals to better assess and rapidly respond to criminal activity and emergency situations; and (2) Enable investigators to easily gather evidence in case of an incident. Participation in Connect Orange County is voluntary. Participants can either choose to register or register and integrate their security cameras (“registration” involves notifying the Orange County Sheriff’s Department of the presence of security cameras, “integration” involves purchasing and installing equipment to provide the Orange County Sheriff’s Department with direct security camera feed access in case of nearby emergencies).

Encouraging participation in Connect Orange County will result in public safety benefits that might not otherwise be realized.

Eligible Applicants: Non-governmental owners and tenants of properties that are located in the City of Laguna Woods are eligible to apply.

Available Funding: $30,000 – Fiscal Year 2025-26
Eligible Activities: Eligible activities include the purchase and first year subscription costs of Axon FususCORE devices necessary to integrate the number of registered but unintegrated security cameras currently located on the property, up to a maximum of $10,000 per eligible applicant. Security cameras must be registered prior to applications being submitted.

Application Timeline: To be determined by the City Manager Other:  Funding shall be awarded on a first-come first-served basis, based on the submittal date of each complete application.  The City Manager shall approve funding awards and
associated grant applications.
 Grant activities (including the integration of all security cameras) must be completed no later than May 31, 2026.

Completion reports and requests for payment must be
submitted no later than June 30, 2026.
 Sections 5.1.05, 5.1.06, and 5.1.07 of this Administrative Policy do not apply.

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9.4 POTENTIAL LEASE OF A PORTION OF THE REAL

PROPERTY COMMONLY KNOWN AS CITY
CENTRE PARK LOCATED AT 24121 MOULTON
PARKWAY, LAGUNA WOODS, CA 92637
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ITEM 9.4
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City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: Potential lease of a portion of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637
Recommendation
Approve a ground lease agreement with the Orange County Fire Authority for the lease of a portion of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637 (Orange County Assessor’s Parcel Number 616-012-18) to the Orange County Fire Authority for the construction, operation, and maintenance of a new fire station and for public safety purposes, and authorize the City Manager to execute the ground lease agreement, subject to approval as to form by the City Attorney.

Background
Potential New Fire Station Project
On September 21, 2022, the City Council conceptually approved, in non-binding concept, a series of actions that, if implemented, would result in the long-term lease of approximately 0.32 acres of the 0.56 acre City Centre Park property (24121 Moulton Parkway, Laguna Woods, CA 92637; Orange County Assessor’s Parcel Number: 616-012-18) for use as a new Orange County Fire Authority (“OCFA”) fire station. In doing so, the City Manager and City Attorney were authorized to take actions and incur costs necessary to:
(a) Comply with applicable state laws regarding the lease of park property for ITEM 9.4
ITEM 9.4 – AR Page 2 of 8 CC  12-17-2025 RM
non-park purposes, and other state laws as may be determined to apply; (b) Unencumber the property of deed restrictions that would otherwise preclude the construction and operation of a fire station;
(c) Negotiate – for future consideration by the City Council – agreements with the OCFA for the construction and operation of a fire station including, but not limited to, a long-term land-lease agreement;
(d) Partner with the OCFA to contact surrounding property owners to discuss a potential new fire station and solicit input on factors to be considered during any future design, construction, and operation;
(e) Coordinate with the OCFA on matters affecting the design of a fire station including, but not limited to, modifications and easements related to traffic control devices, medians, sidewalks, and other City property, and public access to the remaining portion of City Centre Park; and
(f) Negotiate and enter into cost recovery agreements with the OCFA to reimburse the City for those costs associated with this project which are mutually agreed upon as the OCFA’s responsibility.

On September 30, 2023, California Senate Bill 475 (Min, Chapter 287, Statutes of 2023) (“SB 475”) was signed into law by Governor Newsom. SB 475 authorizes the City to use a portion of the City Centre Park property as a fire station and for public safety purposes. Obtaining the State’s authorization was necessary due to the property having been previously improved using grant monies from Proposition 40 (2002), the California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002. Staff notes that then-Senator Min’s authorship of SB 475 and Assemblymember Dixon’s support as a co-author were crucial in moving SB 475 forward. City Manager Macon and the OCFA’s then-Legislative Affairs Manager provided testimony in support of SB 475 at the California Senate Committee on Governance and Finance meeting in Sacramento on April 26, 2023.

As a condition of removing a portion of the City Centre Park property from park use, SB 475 requires that $212,000 in capital improvements be made to the portion of the property that would remain a park. The capital improvements are required to enhance the recreational utility of the park. As required by SB 475, the City held two community meetings (August 12 and August 15, 2024) to solicit input on the ITEM 9.4
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capital improvements. The City Council approved a conceptual plan for the capital improvements on September 18, 2024, which was submitted to the California Department of Parks and Recreation on October 17, 2024. That same day, the California Department of Parks and Recreation confirmed receipt of the conceptual plan. While the California Department of Parks and Recreation has yet to provide feedback on the conceptual plan, in the interest of time, staff has proceeded with formal design of the “City Centre Park Enhancement Project” and anticipates soliciting competitive bids for construction in January 2026.

On August 21, 2024, the City Council voted to accept a quitclaim deed from the Golden Rain Foundation of Laguna Woods conveying to the City the interest in a portion of a sewer easement at the City Centre Park property. Accepting the quitclaim deed unencumbered the City Centre Park property of a deed restriction that might otherwise complicate or preclude the potential future construction and operation of a fire station on the property. Staff notes, with appreciation, the Golden Rain Foundation of Laguna Woods and Village Management Services’ support in successfully addressing this sewer easement matter.

On December 18, 2024, the City Council voted to accept a grant of non-exclusive conditional easement from the El Toro Water District providing for use of the El Toro Water District’s existing utility roadway and driveway leading to its P-1 Pump Station in connection with the potential construction of a fire station at the City Centre Park property. The easement contemplates that future improvements to the El Toro Water District’s property may be necessary and establishes a deadline for the City and El Toro Water District to enter into a separate agreement for such improvements prior to any construction and no later than December 31, 2026. Staff notes, with appreciation, the El Toro Water District’s support in ensuring that sufficient area is available to facilitate the potential construction of a fire station.

City Manager Macon and OCFA Division Chief Summers made a presentation on the potential construction of a fire station at the City Centre Park property to the Golden Rain Foundation of Laguna Woods Board of Directors on August 5, 2025.

City Manager Macon made a similar presentation to the Third Laguna Hills Mutual Board of Directors on August 19, 2025. Both boards of directors were supportive of the potential construction of a fire station at the City Centre Park property.

Staff made several attempts to meet with Ayres Hotel management regarding the potential construction of a fire station at the City Centre Park property (due to the adjacency of their hotel) but were unsuccessful in confirming a meeting date. Staff ITEM 9.4
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remain willing to meet with Ayres Hotel management.

On November 19, 2025, the City Council (with Councilmember Lee absent and Mayor Horne voluntarily recused due to her role on OCFA’s Board of Directors) received a presentation on the proposed ground lease agreement.

California Surplus Land Act
The California Surplus Land Act (California Government Code sections 54220- 54234) sets forth regulations pertaining to land owned in fee simple by any city or other local agency for which the local agency’s governing body determines is not necessary for the local agency’s use. The California Surplus Land Act requires that cities and other local agencies declare land to be either “surplus land” or “exempt surplus land,” as supported by written findings, before taking any action to lease or otherwise dispose of such land consistent with a local agency’s policies or procedures. Land declared to be “surplus land” is generally required to be offered to other public agencies and housing sponsors first, while land declared to be “exempt public land” may be more readily disposed of.

On November 19, 2025, the City Council (with Councilmember Lee absent and Mayor Horne voluntarily recused due to her role on OCFA’s Board of Directors) adopted a resolution declaring the portion of the City Centre Park property that would be leased to OCFA to be “exempt public land” pursuant to California Surplus Land Act sections 54221(f)(1)(D) [“less than one-half acre in area and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes”] and 54221(f)(1)(D) [“local agency is transferring [such surplus land] to another local, state, or federal agency, or to a third-party intermediary for future dedication for the receiving agency’s use, or to a federally recognized California Indian tribe”].

After the November 19, 2025 City Council meeting, staff submitted the adopted resolution to the California Department of Housing and Community Development (“HCD”), as required by the California Surplus Land Act. State law provides HCD with a 30-day period to consider and make findings as to whether the proposed ground lease agreement would violate the California Surplus Land Act.

As of the date and time the agenda packet for today’s meeting was posted, the City had not yet received a findings letter from HCD. On December 12, 2025, HCD indicated to staff that the City should expect to receive the findings letter the week ITEM 9.4
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of December 15, 2025, no later than December 19, 2025.

OCFA Consideration of the Proposed Ground Lease Agreement On November 20, 2025, OCFA’s Executive Committee voted to approve and authorize execution of the proposed ground lease agreement.

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the proposed ground lease agreement with OCFA for the construction, operation, and maintenance of a new fire station and for public safety purposes at the City Centre Park property (Attachment A).

If the City receives HCD’s findings letter prior to the conclusion of today’s meeting and the finding is that the proposed ground lease agreement would not violate the California Surplus Land Act, the City Council may, if so desired, approve the proposed ground lease agreement.

If the City does not receive HCD’s findings letter prior to the conclusion of today’s meeting, staff recommends discussing this item and accepting public comments, but deferring any potential motions to a future meeting. (Note: Item

11.3 on today’s agenda provides an opportunity to schedule future meetings.) The proposed ground lease agreement has not changed since it was presented at the November 19, 2025 City Council meeting.

Key Terms of the Proposed Ground Lease Agreement
• Lease Premises: OCFA to lease approximately 0.32 acres oriented toward the Moulton Parkway side of the property (approximately 0.24 acres would remain a park). City to remain the underlying property owner. • Term: 99 years (December 23, 2025 through December 22, 2124). • Rent: None.
• Consideration (payments from OCFA to City): One-time payment for predevelopment costs: $200,000, reimbursement for up to $750,000 in costs ITEM 9.4
ITEM 9.4 – AR Page 6 of 8 CC  12-17-2025 RM
associated with the City Centre Park Enhancement Project. • Noise Control: Prohibitions of (1) testing and all other non-emergency use of sirens on the Lease Premises and (2) non-emergency, outdoor use of stereos, public address systems, and other amplified sound.
• Public Sidewalk: OCFA to construct a minimum five-foot-wide sidewalk connecting Moulton Parkway to City Centre Park. City to own and maintain the sidewalk following construction. There is insufficient space to construct a wider multimodal trail to accommodate golf cart traffic. • City Use: OCFA to construct facilities inside the fire station for use by City’s law enforcement and animal services providers (the Orange County Sheriff’s Department and City of Laguna Beach Police Department). The facilities include lockers for at least eight people, a kitchenette, a singleoccupancy accessible restroom, a janitorial closet with a floor service sink, office space, and storage, as well as the provision of all necessary utilities and services and two dedicated parking stalls. OCFA to allow City to install and maintain pole-mounted surveillance cameras on the Lease Premises to surveil the sidewalk, park, and public right-of-way.
• Landscaping: Beginning 180 days after completion of the City Centre Park Enhancement Project, OCFA to perform certain ongoing park maintenance activities related to mulch and decomposed granite surfaces. • El Toro Water District: OCFA required to comply with the easement entered into between the City and El Toro Water District. The easement is attached as Exhibit B to the proposed lease agreement.
• Insurance/Indemnification: OCFA to provide insurance and indemnification subject to terms that have been reviewed by the City Attorney’s Office and the California Joint Powers Insurance Authority (“CJPIA”). • Termination: City may terminate the ground lease agreement with 30 days’ written notice if the OCFA (1) has not obtained City’s approval of the site development permit contemplated in the ground lease agreement by June 30, 2027 or (2) has not commenced operation of a fire station on the Lease Premises by December 31, 2029.

ITEM 9.4
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• Ownership of Improvements: The fire station and other OCFA-constructed improvements remaining on the Lease Premises shall become City property upon expiration or earlier termination of the ground lease agreement.

Other Required Approvals and Permits
The proposed lease agreement would require the OCFA to obtain various other approvals and permits, including:
• Building permits, encroachment permits, grading permits, and sign permits from the City, as well as any other required approvals and permits from the City, El Toro Water District, and other agencies (Sections 7.a, 10.a, 10.c, and 10.d) [Note: Depending on the proposed signage, the OCFA may be required to obtain the City Council’s approval of a sign program (Section 10.c).] • City Manager’s approval to relocate, replace, or otherwise modify the existing irrigation controller (Section 1)
• City Engineer’s approval of the public sidewalk design and an encroachment permit for construction of the same (Section 4.d)
• City Manager’s approval of the location of, design of, and finish selections for the City’s facilities inside the fire station (Section 6.c) • City Manager and City Engineer’s approval of the construction and alteration of traffic control devices, driveways, public right-of-way, and other circulation infrastructure (including the timing and programming thereof) (Section 10.a) [Note: This would include the modification of medians and traffic signals necessary to allow fire engines to make left turns onto El Toro Road.] • City’s approval of a site development permit including, but not limited to, the design of all buildings, structures, and facilities (Section 10.a) [Note: Due to significant public interest in this project, the City Manager would defer approval of the site development permit to the City Council.]
• City Manager’s approval of a landscape documentation package concurrent with approval of the required site development permit (Section 10.b) ITEM 9.4
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Temporary Construction Fence
A temporary construction fence would be installed around the Lease Premises shortly after the effective date of the ground lease agreement until construction of the new fire station is complete. This is consistent with SB 475’s requirement for the Lease Premises to be removed from public recreation use by January 1, 2026.

Fiscal Impact
The proposed ground lease agreement would have a generally positive impact on the City’s finances. Payments from the OCFA for pre-development costs and the costs of designing and constructing the City Centre Park Enhancement Project would total as much as $950,000. The City’s maintenance responsibilities for City Centre Park would decrease due to the reduced size of the park and the OCFA’s assumption of certain maintenance responsibilities. The City would incur new costs associated with furnishing its facilities inside the fire station and providing janitorial services for the same, but those costs would be significantly less than the costs the City would have incurred to construct those facilities.

Attachment: A – Proposed Ground Lease Agreement
ITEM 9.4 – Attachment A
1 GROUND LEASE – FIRE STATION NO. 12
This Ground Lease (this “Lease”) is made and entered into this _____ day of _______________, 2025 (“Execution Date”) by and between the City of Laguna Woods, a California municipal corporation (“City”) and the Orange County Fire Authority, a California joint powers authority (“Authority”).

RECITALS
A. City is fee owner of the real property commonly known as City Centre Park located at 24121 Moulton Parkway, Laguna Woods, CA 92637 (“Park Property”); and B. City desires to lease to Authority and Authority desires to lease from City a portion of the Park Property for the construction, operation, and maintenance of a new fire station.

NOW THEREFORE, for good and valuable consideration, City hereby leases to Authority and Authority hereby leases from City a portion of the Park Property hereinafter described upon all of the following terms and conditions:

1. PREMISES. The legal description of the “Premises” and a plat map exhibit are included in Exhibit A attached hereto and incorporated herein by this reference. Any improvements existing on the Premises at the Effective Date of this Lease shall become Authority’s property; provided, however, that the irrigation controller located within the Premises shall remain City’s property, and City shall retain access and control over the use of the irrigation controller and associated wires, pipes, conduits, and tubes (“Irrigation Controller”), for use in connection with City-maintained landscaping on the Premises. If Authority needs to relocate, replace, or otherwise modify Irrigation Controller, Authority shall obtain the prior written approval of City’s City Manager. Authority may use, sell, demolish, remove, or otherwise dispose of the existing improvements, except for Irrigation Controller, following the Effective Date of this Lease. City shall receive no compensation for the improvements other than the performance of Authority’s covenants expressed in this Lease.

2. TERM. The term of this Lease shall be ninety-nine (99) years, commencing on December 23, 2025 (“Effective Date”) and ending at 11:59 p.m. on December 22, 2124.

3. CONSIDERATION.
a. One-Time Payment – Pre-Development Costs. Authority shall pay to City as consideration for the execution of this Lease and the actions taken by City, at City’s expense, to secure the legislative and easement approvals necessary to allow for the construction, operation, and maintenance of a fire station on the Premises and complete the conceptual design for City’s City Centre Park Enhancement Project, a onetime payment of Two Hundred Thousand Dollars and Zero Cents ($200,000.00) payable ITEM 9.4 – Attachment A
2 within thirty (30) calendar days following City’s approval of the site development permit contemplated in Section 10.a of this Lease.
b. One-Time Payment – City Centre Park Enhancement Project.

Authority shall reimburse City for all actions taken by City, at City’s expense, beginning January 1, 2025 and ending December 31, 2026, to design and construct the capital improvements contemplated in California Senate Bill 475 (Min, Chapter 287, Statutes of 2023) and as City deems necessary to complete its City Centre Park Enhancement Project, up to a maximum of Seven Hundred and Fifty Thousand Dollars and Zero Cents ($750,000.00) payable within thirty (30) calendar days of each invoice submitted by City to Authority, which shall be submitted no more frequently than every thirty (30) days.

Authority’s obligation to pay City’s invoices contemplated in this section shall begin on the date City approves the site development permit contemplated in Section 10.a of this Lease.

4. CERTAIN FIRE STATION AND VEHICLE REQUIREMENTS.
a. Site Security During Pre-Construction and Construction. No later than thirty (30) calendar days from the Effective Date of this Lease, Authority shall install a temporary construction fence around the Premises to prevent entry by any unauthorized persons. Such temporary construction fence shall be made of steel chain link, outfitted with a green fabric privacy windscreen in good condition, securely fastened at all corners of each fence panel, and remain locked at all times when not attended. The temporary construction fence shall be removed upon the completion of construction of the new fire station contemplated by this Lease.
b. Fire Station 12. For the duration of this Lease, Authority shall do all of the following at the fire station to be constructed on the Premises (“Fire Station 12”):
i. Exterior signage shall identify no city other than “City of Laguna Woods.”
ii. Due to the limited confines of the Premises, no public events, giveaways, or other functions that could be reasonably seen to encourage members of the public to visit the Premises shall occur including, but not limited to, open houses, toy drives, and sandbag giveaways. iii. Prohibit testing and all other non-emergency use of sirens on engines, ladder trucks, and other vehicles on the Premises. iv. Prohibit the use of stereos, public address systems, and other amplified sound outside of any fully enclosed buildings on the Premises, except as may be required for emergency use (including, but not limited to, in connection with any outdoor exercise areas).

ITEM 9.4 – Attachment A
3 v. Allow City to install and maintain poles and surveillance cameras mounted on such poles on the Premises for the purpose of surveilling the public sidewalk contemplated in Section 4.d and the public right-of-way and public park property adjacent to the Premises, free of consideration and subject only to the approval of Authority’s Fire Chief or his/her/their designee, whose approval shall not be unreasonably withheld. c. Vehicles Regularly Assigned to Fire Station 12. Before placing any vehicles regularly assigned to Fire Station 12 into service, Authority shall do all of the following:
i. For vehicle signage (text and graphics) on all engines, ladder trucks, and other vehicles regularly assigned to Fire Station 12, such signage shall identify ”City of Laguna Woods” before any other city. Vehicle signage shall be maintained in this manner for the duration of this Lease. d. Access from Moulton Parkway to City Centre Park. No later than the date City issues a certificate of occupancy to Authority for Fire Station 12, Authority shall construct a public sidewalk of at least five (5) feet in width connecting the sidewalk along the east side of Moulton Parkway to City Centre Park in accordance with County of Orange OC Public Works Department Standard Plan(s) #1204 and/or #1205 (as applicable). Authority shall obtain the written approval of City’s City Engineer prior to beginning work and shall reimburse City for its plan review and construction inspection costs of the same. Authority shall obtain an encroachment permit from City prior to the commencement of work, staging, or traffic control for the work on City property and shall pay to City all applicable fees therefore. Ownership of the sidewalk shall be as set forth by Section 13.b of this Lease.

5. TAXES AND ASSESSMENTS. All taxes and assessments which become due and payable upon the Premises shall be the full responsibility of City, and City shall cause said taxes and assessments to be paid promptly.

6. USE.
a. Authority’s Use. Subject to the provisions of this Lease and in full compliance with all applicable standards, regulations, and requirements set forth in the Laguna Woods Municipal Code, including amendments thereto, Authority shall use the Premises primarily for the construction, operation and maintenance of a fire station and may also use the Premises for fire suppression, fire prevention, and the provision of emergency medical services.
b. Noise. For the purpose of this Lease, City agrees that noise generated by Authority’s use of the Premises (including, but not limited, during the construction, operation, and maintenance of the fire station) shall not be considered a nuisance unless such noise fails to comply with applicable noise standards in the Laguna Woods Municipal Code, including amendments thereto. Notwithstanding the foregoing, ITEM 9.4 – Attachment A
4 Authority agrees to reasonably cooperate with City to monitor and evaluate noise associated with Authority’s use of the Premises including, but not limited to, allowing City to place and access noise monitors on the Premises for the purpose of evaluating compliance with the noise standards in the Laguna Woods Municipal Code. c. City Use of Premises. Authority shall allow City to use portions of the Premises within the fire station as office space for the Orange County Sheriff’s Department (or successor law enforcement provider) and City of Laguna Beach Police Department (or successor animal services provider). The gross floor area allocated to City’s use of portions of the Premises shall be no less than 515 square feet (exclusive of hallways and similar circulation space) and shall be located on the ground floor of fire station, unless otherwise approved by City’s City Manager. The location of, design of, and finish selections for the area allocated to City’s use of portions of the Premises shall be subject to the approval of City’s City Manager and shall generally include lockers for at least eight (8) persons, a kitchenette, a single-occupancy accessible restroom, a janitorial closet with a floor service sink, office space, and storage, as well as the provision of all necessary utilities and services and two (2) dedicated parking stalls.

7. UTILITIES AND SERVICES.
a. Utilities. Authority shall arrange for, and pay before delinquency the expenses of, the provision of utilities to the Premises, including water, electricity and/or other power, waste management, gas, telephone, and internet access. Authority’s obligations under this section shall apply both to its use of the Premises and City’s use of portions of the Premises, unless Authority constructs separately metered utilities for City’s use of portions of the Premises, and except that the costs of installing and maintaining secure and/or dedicated internet lines required City or its law enforcement or animal services providers shall be paid for by City. Authority shall install and maintain a wireless internet network and allow City, its law enforcement and animal services providers, and its janitorial services provider, to use such network at no cost. At its sole cost and expense, Authority shall obtain all necessary permits, licenses, and other authorizations required for the lawful and proper installation and maintenance upon the Premises of wires, pipes, conduits, tubes, and other equipment and appliances for use in supplying any service to and upon the Premises.
b. Janitorial. Authority shall arrange for, and pay before delinquency, the expenses of janitorial services for the Premises. Authority’s obligations under this section shall apply only to its use of the Premises (which, for the purpose of this section only, shall be deemed to include hallways and other circulation space with shared access by Authority and City). City shall provide janitorial services for its portions of the Premises contemplated in Section 8.d, except as noted in this section. c. Landscaping. Authority shall arrange for, and pay before delinquency the expenses of, all landscaping services to the Premises as it may require, regardless of whether such services are expressly contemplated herein. Authority’s obligations under this section shall include, but not be limited to, the landscaping services identified in ITEM 9.4 – Attachment A
5 Exhibit C attached hereto and incorporated herein by this reference d. Other. Authority shall arrange for, and pay before delinquency the expenses of, all other services to the Premises as it may require, regardless of whether such services are expressly contemplated herein.

8. AS-IS, WHERE-IS CONDITION. Authority acknowledges that it has had sufficient opportunity to inspect and investigate the Premises and all aspects thereof and documents pertaining thereto and it is familiar with the Premises and the condition thereof. Authority covenants and agrees that it is relying upon its own inspections, examinations, studies, and inquiries with respect to the Premises and has not relied upon any representation, warranty, or statement of City, or its agents or employees. For purposes of this Lease, the term “Hazardous Materials” shall mean any hazardous or toxic substance, material, product, byproduct, or waste which is or shall become regulated by any governmental entity, including, without limitation, the County of Orange, the State of California, or the United States government. Authority shall, upon the execution of this Lease, be deemed to have disclaimed and waived any and all objections to the physical and environmental characteristics and conditions of the Premises, including, without limitation, any underground pipelines, underground utilities, and/or any Hazardous Materials located therein or thereon and the condition of title thereto, whether or not such conditions would be disclosed by a reasonable and diligent inspection. Authority acknowledges that neither City nor any of its officers, directors, employees, agents, or representatives has made any representations, warranties, or agreements to Authority as to any matters concerning the Premises, the present use thereof, or the existence of any Hazardous Materials thereon. Authority agrees that City shall have no responsibility for any patent or latent defect or physical or environmental condition of the Premises, whether or not known or discovered. The Premises is being leased to Authority “AS-IS,” “WHERE-IS,” “WITH ALL FAULTS” without representation or warranty expressed or implied by City, by operation of law, or otherwise. This Lease is made subject to and without liability to City because of or resulting from any of the foregoing conditions or any or any other condition of the Premises or adjacent property. City expressly disclaims, which Authority acknowledges and accepts, any implied warranty or condition, and Authority, for itself, and its officers, employees, agents, representatives, affiliates, successors, and assigns, hereby releases and forever discharges on, habitability, merchantability, or fitness for a particular purpose or use.

9. QUIET ENJOYMENT. City warrants that, subject to the terms, covenants, and conditions of this Lease (including City’s use of portions of the Premises), Authority may, upon observing and complying with all the terms, covenants, and conditions of this Lease, peaceably and quietly occupy the Premises. Authority’s use of the Premises shall not interfere with City’s right to peaceably and quietly occupy portions of the Premises as contemplated in Section 6.c.

10. IMPROVEMENTS.
a. Authority agrees to obtain a site development permit from City for the ITEM 9.4 – Attachment A
6 establishment of the fire station before initiating any demolition or construction activity on the Premises. Such site development permit shall include, but not be limited to, the design of all buildings, structures, and facilities associated with the establishment of the fire station and uses contemplated under this Lease. Authority acknowledges and agrees that the construction and alteration of property owned by the El Toro Water District is subject to separate approval of the El Toro Water District, and the construction and alteration of traffic control devices, driveways, public right-of-way, and other circulation infrastructure (including the timing and programming thereof) is subject to separate approval of City’s City Manager and City Traffic Engineer. Authority shall obtain the aforementioned separate approvals, in writing, prior to obtaining a site development permit from City and shall include all such separately approved improvements and evidence of approvals in its application to City to obtain a site development permit. Authority shall pay City’s fees for applying for and obtaining a site development permit.
b. All landscaping on the Premises shall comply with the newly installed landscape standards set forth in Laguna Woods Municipal Code Chapter 10.03 (Water Efficient Landscapes), irrespective of the applicability provisions set forth therein.

Additionally, no ornamental turf grass or decorative water features shall be included in the landscape design. Authority agrees to obtain the approval of City’s City Manager of a landscape documentation package concurrent with obtaining the site development permit contemplated in Section 10.a of this Lease. City shall waive its fees for Authority’s obligations under this Section 10.b.
c. All signage on the Premises shall comply with the sign regulations set forth in Laguna Woods Municipal Code Chapter 13.20. If Authority chooses to pursue approval of a sign program as described therein, Authority shall pay City’s fees for applying for and obtaining a sign program.
d. At its sole cost and expense, Authority agrees to obtain all approvals and permits required by law or regulation before construction or alternation of or on the Premises.
e. City shall reasonably cooperate with Authority in obtaining any approvals and permits required by law or regulation for construction or alteration of or on the Premises. Nothing herein shall constitute an approval of any permit or other entitlement.
f. For the purpose of serving only the Premises, City shall reasonably consider and process requests from public entities or public service corporations for rights-of-way or easements on or over the Premises for poles or conduits, or both, for telephone, electricity, water, sanitary or storm sewers, or both, and for other utilities and municipal or special district services, and agrees to reasonably consider and process requests to dedicate any portions of the Premises that may be required in connection with the construction or alteration of improvements and the operation and maintenance of the fire station on the Premises.

ITEM 9.4 – Attachment A
7 g. Authority shall pay or cause to be paid the total cost and expense of all works of improvement constructed by Authority pursuant to this Lease. Authority agrees that it will pay, or cause to be paid, all cost of labor, services or material supplied in the prosecution of any work done, or caused to be done, pursuant to this Lease.

Authority shall keep the Premises and all other property on which improvements are constructed free and clear of all mechanics liens and other liens on account of work done for Authority or person claiming under Authority.
h. Authority shall provide to City all “as-built” and “record” drawings for all works of improvement constructed by Authority pursuant to this Lease.

11. COMPLIANCE WITH NON-EXCLUSIVE CONDITIONAL EASEMENT.

Authority acknowledges and agrees to comply with the terms of the Grant of NonExclusive Conditional Easement recorded January 3, 2025, as Instrument No. 2025000001928 in the Official Records of Orange County, California, attached hereto as Exhibit B (the “Easement”) and incorporated herein by this reference. In addition to the indemnification provisions in Section 17, Authority shall indemnify and save harmless City and its officers, officials, agents, and employees from and against any and all claims, demands, losses or liabilities of any kind or nature which City and/or its officers, officials, agents and/or employees may sustain or incur or which may be imposed upon them or any of them for injury to or death of persons or damage to property as a result of or arising out of the negligence or willful misconduct of Authority, its officers, officials, agents, or employees, invitees, or licensees in connection with Authority’s use of the Easement Area, as that term is defined in the Easement.

12. APPLICABLE LAWS. Authority hereby covenants and warrants that Authority shall comply with all applicable laws, rules, regulations, building codes, statutes, and orders as they are applicable on the Effective Date, and as they may be subsequently amended, including, without limitation, City’s rules and regulations, in connection with its construction and operations on the Premises. Included in this provision, without limitation, is compliance with the Americans with Disabilities Act (the “ADA”) and all other federal, state, and local codes, statutes, and orders relating to disabled access as they are applicable on the Effective Date, and as they may be subsequently amended, and all regulations issued by the U.S. Attorney General or other agencies under the authorization of the ADA. City shall not be responsible for any ADA violations resulting from construction, alterations, improvements, or fixtures made or installed by Authority or the placement of Authority’s furniture, equipment, supplies, and materials.

13. OWNERSHIP OF IMPROVEMENTS.
a. On Premises. All improvements constructed on the Premises by Authority as permitted by this Lease shall be owned by Authority until expiration of the term or sooner termination of this Lease. Authority is permitted to modify improvements on the Premises in its sole discretion, provided that such modifications comply with the terms of this Lease and applicable laws. Upon termination or expiration of this Lease, the ownership of on premises improvements shall be governed by Section 27 of this Lease.

ITEM 9.4 – Attachment A
8 b. Off Premises. All improvements constructed on the Park Property or within City’s public right-of-way, except for improvements constructed entirely within the Premises, by Authority subject to Section 10.a shall become property of City upon the effective date of Authority’s notice of completion filed with the County of Orange ClerkRecorder for such work. Authority shall execute grant deeds and/or such other documentation as City may reasonably request to formally transfer ownership of such improvements from Authority to City.
c. Easement. The ownership of all improvements constructed within the Easement Area, as that term is defined in the Easement, shall be governed by the terms of the Easement.

14. ASSIGNMENT OR SUBLEASE. Authority shall not assign, sublease, or otherwise transfer Authority’s interest in this Lease to any person or entity without City’s prior written consent, which consent shall not be unreasonably withheld.

15. TITLE. No part of this Lease shall be interpreted as conveying any portion of the title to the Premises or the Park Property to Authority. Authority acknowledges and agrees to the sufficiency of a ground lease for purposes of construction and operation of a fire station. Authority acknowledges and agrees that Authority has no governmental need to hold title to any portion of the Premises or the Park Property.

16. INSURANCE.
a. Fire and Extended Coverage. Authority shall, at no cost or expense to City, insure or self-insure the fire station and all other improvements constructed upon the Premises against loss or damages by fire and risks customarily covered by an extended coverage endorsement, and vandalism and malicious mischief, in amounts not less than 90% of the actual replacement cost of said improvements, exclusive of the cost of excavations, foundations, and footings.
b. Public Liability Insurance. City and Authority shall each maintain in force throughout the term of this Lease a policy of general liability insurance or selfinsurance providing combined single limit bodily injury and property damage insurance against any liability arising out of the use, occupancy or maintenance of the Premises in an amount not less than $2,000,000 per occurrence.
c. Policies and Certificates of Insurance. All insurance provided for in this section shall be evidenced by certificates of self-insurance, or valid and enforceable policies issued by insurers of recognized responsibility, qualified to do business in California. Upon the execution of this Lease by Authority and thereafter not less than 30 calendar days prior to the expiration dates of the expiring policies furnished pursuant to this section, City and Authority shall deliver to each other certificates evidencing the insurance each party is required to carry as provided by Sections 16.a and 16.b above.

Said certificates shall provide the following:

ITEM 9.4 – Attachment A
9 i. Authority’s policies shall include City, its officers, officials, agents, employees, council members, and servants as additional
insureds; and
ii. City’s policies shall include Authority, its officers, officials, agents, employees, board and committee members, and servants as additional insureds; and
iii. Such policies shall not be cancelled or materially changed without at least thirty (30) calendar days prior written notice to the additional insureds; and
iv. Each policy shall contain a cross-liability endorsement; and v. All insurance policies pursuant to this section shall be written as primary policies and shall not contribute to or be in excess of any coverage which City or Authority may carry; and
vi. Any loss shall be payable to the additional insureds not withstanding any act or negligence of the policyholder which might otherwise result in forfeiture of said insurance.

Notwithstanding anything above to the contrary, City’s insurance obligations hereunder may be met through its participation in a risk sharing pool, or other form of self-insurance.

17. INDEMNIFICATION.
a. Notwithstanding the limits of any insurance, Authority shall indemnify and save harmless City and its officers, officials, agents, and employees from and against any and all claims, demands, losses or liabilities of any kind or nature which City and/or its officers, officials, agents and/or employees may sustain or incur or which may be imposed upon them or any of them for injury to or death of persons or damage to property as a result of or arising out of the negligence or willful misconduct of Authority, its officers, officials, agents, employees, invitees, or licensees in connection with Authority’s use of the Premises.
b. Notwithstanding the limits of any insurance, City shall indemnify and save harmless Authority and its officers, officials, agents, and employees from and against any and all claims, demands, losses or liabilities of any kind or nature which Authority and/or its officers, officials, agents and/or employees may sustain or incur or which may be imposed upon them or any of them for injury to or death of persons or damage to property as a result of or arising out of the negligence or willful misconduct of City, its officers, officials, agents, employees, invitees, or licensees in connection with City's ownership of the Premises and/or City's use of the Premises as described in Section 6.c of this Lease.

ITEM 9.4 – Attachment A
10 18. DEFAULTS AND REMEDIES.
a. Events of Default. City shall be deemed to be in default under the terms of this Lease if City fails to perform or observe any material covenant, condition, or agreement to be performed by City under this Lease and City has not commenced remedial action to cure such condition of default within thirty (30) calendar days after written notice from Authority to City specifying the type and nature of each material breach.

Likewise, Authority shall be deemed to be in default under the terms of this Lease if Authority fails to perform or observe any material covenant, condition, or agreement to be performed by Authority under this Lease and Authority has not commenced remedial action to cure such condition of default within thirty (30) calendar days after written notice from City to Authority specifying the type and nature of each material breach.
b. Remedies. In the event of material default by City, Authority shall notify City of such default in writing. If City has not commenced remedial action to cure such default within thirty (30) calendar days after receipt of said written notice, and thereafter has not diligently pursued to complete such cure, Authority may commence legal action against City seeking strict performance of all covenants and conditions contained herein.

Likewise, in the event of a material default by Authority, City shall notify Authority of such default in writing. If Authority has not commenced remedial action to cure such default within thirty (30) calendar days after receipt of said written notice, and thereafter has not diligently pursued to complete such cure, City may commence legal action against Authority seeking strict performance of all covenants and conditions contained herein.

The remedies of City and Authority as herein provided are cumulative and in addition to and not exclusive of any remedy of either party herein given or which may be permitted by law. However, neither party shall terminate this Lease as a remedy for default by the other party.

19. CONDEMNATION. If the Premises or any portion thereof are taken under the power of eminent domain or sold under the threat of the exercise of said power (collectively, “Condemnation”), this Lease shall terminate as to the part intended to be taken as of the date that is thirty (30) calendar days after a public agency submits to City a written notice of intent to have any portion of the Premises appraised or adopts a resolution of necessity regarding any portion of the Premises, whichever occurs first.

Condemnation awards and/or payments shall be the property of City, whether such award shall be made as compensation for diminution in value of the leasehold, the value of the part taken or for severance damages. Authority hereby waives any and all rights it might otherwise have pursuant to Section 1265.130 of the California Code of Civil Procedure, or any similar or successor laws.

ITEM 9.4 – Attachment A
11 20. FORCE MAJEURE. Any prevention, delay, nonperformance, or stoppage due to any of the following causes shall excuse nonperformance for a period equal to any such prevention, delay, nonperformance, or stoppage, except the obligations imposed by this Lease for the payment of rent, taxes, insurance, or obligations to pay money that are treated as rent. The causes referred to above are: Strikes, lockouts, labor disputes, failure of power, irresistible superhuman cause, acts of public enemies of this state or of the United States, riots, insurrections, civil commotion, inability to obtain labor or materials or reasonable substitutes. for either, governmental restrictions or regulations or controls (except those reasonably foreseeable in connection with the uses contemplated by this Lease), and casualties not contemplated by insurance provisions of this Lease.

21. AMENDMENT. This Lease sets forth the entire agreement between the parties hereto. Any modification to this Lease must be in the form of a written amendment duly executed by all parties.

22. NOTICE. As used in this Lease, notice includes but is not limited to the communication of notice, request, demand, approval, statement, report, acceptance, consent, waiver, and appointment. Unless the provisions of this Lease on consideration direct otherwise, consideration shall be sent in a manner provided for giving notice.

All notices must be given in writing provided no writing other than the check or other instrument representing the consideration payment itself need accompany the payment of rent.

Notice is considered given either (a) when delivered in person to the recipient named as below, or (b) on the date shown on the return receipt after deposit in the United States mail in a sealed envelope or container, either registered or certified mail, return receipt requested, postage and postal charges prepaid, addressed by name and address to the party or person intended as follows:

Notice to City: CITY OF LAGUNA WOODS
ATTN: City Manager
City of Laguna Woods
24264 El Toro Road
Laguna Woods, CA 92637
Notice to Authority: ORANGE COUNTY FIRE AUTHORITY
ATTN: Fire Chief
Orange County Fire Authority
1 Fire Authority Road
Irvine, CA 92602
With a Copy to:

OCFA General Counsel
ITEM 9.4 – Attachment A
12 c/o Woodruff & Smart
555 Anton Boulevard, Suite 1200
Costa Mesa, CA 92626
Either party may, by notice given at any time or from time-to-time, require subsequent notices to be given to another individual person, whether a party or an officer or representative, or to a different address, or both. Notices given before actual receipt of notice of change shall not be invalidated by the change. Each recipient named must be an individual person. If more than one recipient is named, delivery of notice to any one such recipient is sufficient. If none of the recipients named in the latest designation of recipient is available for delivery in person, and if the notice addressed by mail to each recipient named in the latest designation of recipient is returned to the sender undelivered, notice shall be sufficient if sent by mail as above to the party as named in this Lease, unless the name or identity of the party has changed as permitted in this Lease and proper notice of the change has been given, in which event the notice shall be sufficient if sent by mail as above to the party named in the latest notice designating the party, and the notice is considered given when the first attempt to give notice was properly made.

23. WAIVER OF RIGHTS. The failure of City or Authority to insist upon strict performance of any of the terms, conditions, and covenants in this Lease shall not be deemed a waiver of any right or remedy that City or Authority may have, and shall not be deemed a waiver of any right or remedy for a subsequent breach or default of the terms, conditions, and covenants set forth in this Lease.

24. SEVERABILITY. If any term, covenant, condition, or provision of this Lease is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions hereof shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby.

25. HOLDING OVER. In the event Authority shall continue in possession of the Premises after the term of this Lease, such possession shall not be considered a renewal of this Lease but a tenancy from month to month and shall be governed by the terms, conditions, and covenants contained in this Lease.

26. SUCCESSORS. Subject to the provisions of this Lease on assignment and subletting, each and all of the covenants and conditions of this Lease shall be binding on and shall inure to the benefit of the heirs, successors, executors, administrators, assigns, and personal representatives of the respective parties.

27. EXPIRATION AND TERMINATION. Authority may terminate this Lease at any time, with thirty (30) days’ written notice. City may terminate this Lease, with thirty (30) days’ written notice, if Authority (i) has not obtained City’s approval of the site development permit contemplated in Section 10.a of this Lease by 11:59 p.m. on June 30, 2027 or (ii) has not commenced operation of a fire station on the Premises by 11:59 p.m. on December 31, 2029; City shall reasonably cooperate with Authority in doing so ITEM 9.4 – Attachment A
13 as set forth in Section 10.e. At the expiration or earlier termination of the term, Authority shall surrender to City the possession of the Premises. All improvements constructed by Authority on the Premises shall become the property of City. Authority shall have the right to remove any or all fixtures and personal property items belonging to Authority from the Premises, including but not limited to equipment, shelving, partitions, furniture, and office equipment. If, after thirty (30) calendar days after expiration or termination of this Lease, Authority has not removed its fixtures and personal property items, any such remaining items shall become property of City, and City may thereafter use or dispose of such items.

Authority shall leave the surrendered Premises and any other property in good and broom-clean condition except as provided to the contrary in provisions of this Lease on maintenance and repair of improvements. All property that Authority is required to surrender shall become City’s property at termination of the Lease. All property that Authority is not required to surrender but that Authority does abandon by leaving on the Premises for a period of more than thirty (30) calendar days following the expiration or earlier termination of this Lease shall, at City’s election, become City’s property at termination. Authority shall execute grant deeds and/or such other documentation as City may reasonably request to formally transfer ownership of surrendered and/or abandoned improvements from Authority to City.

28. HEADINGS. The various headings in this Lease, the numbers thereof, and the organization of the Lease into separate sections and paragraphs are for purposes of convenience only and shall not be considered otherwise.

29. AUTHORIZATION. The persons executing the Lease below on behalf of Authority or City warrant that they have the power and authority to bind Authority or City to this Lease.

30. RELATIONSHIP BETWEEN THE PARTIES. It is hereby acknowledged that this Lease does not create a relationship between City and Authority of a partnership or a joint venture and that this Lease does not confer authority on either City or Authority to be the agent of the other.

31. NO THIRD-PARTY BENEFICIARIES. There are no intended third-party beneficiaries under this Lease, and no such third parties shall have any rights or obligations hereunder.

32. GOVERNING LAW AND VENUE. This Lease has been negotiated and executed in the State of California and shall be governed by and construed under the laws of the State of California. In the event of any legal action to enforce or interpret this agreement, the sole and exclusive venue shall be a court of competent jurisdiction located in Orange County, California, and the Parties hereto agree to and do hereby submit to the jurisdiction of such court, notwithstanding Code of Civil Procedure section 394.

33. COUNTERPARTS. This Lease may be executed in several counterparts, each of which shall be an original but all of which shall constitute one and the same instrument. The counterparts of this Lease may be electronically executed and/or ITEM 9.4 – Attachment A
14 delivered by electronic means and the receiving party may rely on the receipt of such document so executed and/or delivered as if the original had been received. [SIGNATURE PAGE FOLLOWS IMMEDIATELY]
ITEM 9.4 – Attachment A
15 IN WITNESS WHEREOF, the parties hereto have executed this Lease on the date first written above.

ORANGE COUNTY FIRE AUTHORITY,
a California Joint Powers Authority
By: ______________________________
Brian Fennessy
Fire Chief
Approved as to Form
By: ______________________________
David Kendig
General Counsel

CITY OF LAGUNA WOODS,
a California Municipal Corporation
By: ______________________________
Christopher Macon
City Manager
Approved as to Form
By: ______________________________
Alisha Patterson
City Attorney
ITEM 9.4 – Attachment A
16 Exhibit “A”
Legal Description of the Premises
(2 pages follow)
ITEM 9.4 – Attachment A
17 ITEM 9.4 – Attachment A
18 ITEM 9.4 – Attachment A
19 Exhibit “B”
Grant of Non-Exclusive Conditional Easement recorded January 3, 2025, as Instrument No. 2025000001928 in the Official Records of Orange County, California (11 pages follow)
ITEM 9.4 – Attachment A
20 ITEM 9.4 – Attachment A
21 ITEM 9.4 – Attachment A
22 ITEM 9.4 – Attachment A
23 ITEM 9.4 – Attachment A
24 ITEM 9.4 – Attachment A
25 ITEM 9.4 – Attachment A
26 ITEM 9.4 – Attachment A
27 ITEM 9.4 – Attachment A
28 ITEM 9.4 – Attachment A
29 ITEM 9.4 – Attachment A
30 ITEM 9.4 – Attachment A
31 Exhibit “C”
Certain Landscape Maintenance Activities
(2 pages follow)
ITEM 9.4 – Attachment A
32 The following applies to the Park Property exclusive of the Premises (i.e., the portion of the Park Property used by City as City Centre Park) (“Park”), beginning one hundred and eighty (180) calendar days after City’s City Council accepts the City Centre Park Enhancement Project as complete. City shall notify Authority, in writing, of such date, within ten (10) calendar days thereafter.

City and Authority shall coordinate to schedule the landscape maintenance activities set forth herein for mutually agreeable dates and times.

MULCH

1. For the purpose of this section, “mulch” means shredded bark, wood chips, and/or rock mulch to match treatments identified by City on the record construction drawings and/or specifications for the City Centre Park Enhancement Project. City reserves the right to require Authority to modify the specific treatments, at City’s discretion, if a product is discontinued or unavailable. City shall provide notice of such modifications to Authority in writing. Authority acknowledges and agrees that such modifications may result in increased or modified costs.

2. Authority shall apply mulch twice per year (once between each February and April, and once between each September and November) to maintain a depth of three (3) inches within shrub areas and two (2) inches within groundcover areas. City shall provide Authority with a diagram delineating shrub versus groundcover areas.

Additionally, Authority shall apply mulch in such a manner that all PVC pipes within any mulched area shall be fully covered by each mulch application, which may require applying mulch in excess of the specified depths where necessary.

3. Authority shall inspect mulch that it plans to apply prior to application to ensure it is free of disease, weed seeds, and other pests and pathogens.

4. Authority shall only apply mulch that complies with the recovered organic waste product procurement requirements set forth in California Senate Bill 1383 (Lara, Chapter 395, Statutes of 2016) (“SB 1383”). Prior to application, Authority shall provide City with documentation from the mulch supplier, in form sufficient to City, verifying that the mulch to be applied complies with SB 1383. Authority shall not commence mulch application until after City has reviewed and accepted the aforementioned compliance documentation in writing.

DECOMPOSED GRANITE SURFACES

1. For the purpose of this section, “decomposed granite” (“DG”) means decomposed granite to match treatments identified by City on the record construction drawings and/or specifications for the City Centre Park Enhancement Project. City reserves the right to require Authority to modify the specific treatments, at City’s discretion, if a product is discontinued or unavailable. City shall provide notice of such modifications to Authority in writing. Authority acknowledges and agrees that such ITEM 9.4 – Attachment A
33 modifications may result in increased or modified costs.

2. Authority shall maintain all DG surfaces in a manner that supports pedestrian safety, accessibility, and long-term durability. All DG maintenance activities shall comply with applicable Americans with Disabilities Act (“ADA”) standards and be performed using generally accepted best practices for DG surface preservation, with an emphasis on maintaining a firm, stable, and slip-resistant pedestrian surface in compliance with ADA standards.

3. Regrading and Recompaction. Authority shall regrade and recompact all DG surfaces twice per year (once between each March and May, and once between each September and November) to restore cross-slope (maximum two percent (2%)) and running-slope (less than five percent (5%)) conformity. Regraded DG shall be compacted to a minimum of ninety percent (90%) relative compaction using a weighted roller to ensure a smooth, stable surface and eliminate any ruts, depressions, or uneven transitions.

4. Topdressing. Authority shall apply DG topdressing twice per year (once between each April and May, and once between each September and November) to maintain a four (4) inch surface depth. DG topdressing shall be compacted to a minimum of ninety percent (90%) relative compaction using a weighted roller to ensure a smooth, stable surface and eliminate any ruts, depressions, or uneven transitions. DG topdressing shall be blended with existing material to produce a uniform surface appearance.

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9.5 CITY COUNCIL SALARY
(AGENDIZED BY MAYOR HORNE)
(NO REPORT)
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11.1 CITY COUNCIL ORGANIZATION –

OFFICE OF THE MAYOR
(NO REPORT)
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11.2 CITY COUNCIL ORGANIZATION –

OFFICE OF THE MAYOR PRO TEM
(NO REPORT)
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11.3 CITY COUNCIL MEETING SCHEDULE
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ITEM 11.3
CC  12-17-2025 RM ITEM 11.3 – AR Page 1 of 2
City of Laguna Woods
Agenda Report
TO: Honorable Mayor and City Councilmembers
FROM: Christopher Macon, City Manager
FOR: December 17, 2025 Regular Meeting
SUBJECT: City Council Meeting Schedule
Recommendation

1. Schedule an adjourned regular meeting of the City Council for December 22, 2025 at 2 p.m. at Laguna Woods City Hall, 24264 El Toro Road, Laguna Woods, CA 92637.

AND

2. Approve a new City Council meeting schedule for January 2026 through June 2027.

Discussion
Today’s meeting is an opportunity for City Council action, as well as public input, on the City Council meeting schedule for the remainder of Fiscal Year 2025-26, as well as the upcoming Fiscal Year 2026-27 (Attachment A). Staff recommends that the City Council approve the meeting schedule as proposed.

The proposed meeting schedule has been reviewed for potential conflicts with known conferences. As proposed, there would be no conflicts with the California Joint Powers Insurance Authority Risk Management Educational Forum (October 7-9, 2026 in Monterey) or the League of California Cities (Cal Cities) Annual Conference and Expo (September 23-25, 2026 in Anaheim).

Staff anticipates rescinding the recommendation to schedule an adjourned regular ITEM 11.3
ITEM 11.3 – AR Page 2 of 2 CC  12-17-2025 RM
meeting for December 22, 2025 at 2 p.m. if the City receives the California Department of Housing and Community Development’s findings letter pertaining to Item 9.4 on today’s agenda prior to the conclusion of today’s meeting.

Fiscal Impact
The proposed meeting schedule could be accommodated in the City’s budget.

Attachment: A – Proposed City Council Meeting Schedule
ITEM 11.3 – Attachment A

Page 1 of 2 ends

Laguna Woods City CouncilDecember 17, 2025

Laguna Woods City Council
December 17, 2025