Los Altos Hills City Council
April 21, 2022

1 City Council Regular Meeting Agenda
April 21, 2022

NOTICE TO PUBLIC
Any writings or documents provided to a majority of the City Council regarding any item on the open session portion of this agenda will be made available for public inspection in the City Clerk’s office located at 26379 Fremont Road, Los Altos Hills, California during normal business hours. These materials will also be made available on the City website at www.losaltoshills.ca.gov subject to Staff’s ability to post the documents before the meeting.

NOTE: To protect our constituents, Town officials, and Town staff, the Town requests all members of the public follow the guidance of the California Department of Health Services', and the County of Santa Clara Health Officer Order, to help control the spread of COVID-19. Additional information regarding COVID-19 is available on the City's website at www.losaltoshills.ca.gov This City Council meeting will be conducted pursuant to the provisions of Assembly Bill 361 and Government Code Section 54953(e) (and without compliance with section 54953(b)(3)) related to conducting public meetings during the COVID-19 pandemic. The City Council, staff and members of the public may participate in the meeting virtually via Zoom Video Conference or in person at Town Hall, 26379 Fremont Road, Los Altos Hills, California.

The City Council meeting will be live-streamed on the Town’s website and via zoom at the following location:

Link: https://bit.ly/April21CCMeetingLAH
Webinar ID: 853 1441 8455
Passcode: 94022
Phone: 669 900 6833
Members of the public may attend the meeting in person at the Los Altos Hills City Council Chambers. If attending in person, face coverings for persons who are not vaccinated, and physical distancing will be required until further notice. Public comment will also be accepted via email at [email protected] prior to the start of the meeting. Written comments will be posted on the website and distributed to the Council. If you choose to email your comments, please indicate in the subject line “FOR PUBLIC COMMENT” and indicate the item number.

Public testimony will be taken at the direction of the Mayor and members of the public may only comment during times allotted for public comments.

Town of Los Altos Hills
City Council Regular Meeting Agenda
Thursday, April 21, 2022 at 5:30 p.m.

Council Chambers, 26379 Fremont Road
Los Altos Hills, California

2 City Council Regular Meeting Agenda
April 21, 2022

1. CALL TO ORDER (5:30 P.M.)
A. Roll Call

2. CLOSED SESSION TO DISCUSS THE FOLLOWING:

A. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Significant exposure to litigation pursuant to Government Code Section 54956.9(d)(2):

One Case

3. PUBLIC COMMENT ON CLOSED SESSION (Public Comment is Limited to the Closed Session Item)

4. ADJOURN CLOSED SESSION

5. CALL TO ORDER (6:00 P.M.) OPEN SESSION
A. Roll Call
B. Pledge of Allegiance

6. AGENDA REVIEW AND REPORT OUT OF CLOSED SESSION

7. PRESENTATIONS AND APPOINTMENTS
A. Appointment to the Los Altos/Los Altos Hills Senior Commission B. Presentation on the Other Post Employment Benefit (OPEB) Actuarial Report for Fiscal Year Ending June 30, 2021

8. PRESENTATIONS FROM THE FLOOR
Persons wishing to address the Council on any subject not on the agenda may do so now. Please complete a Speaker Card located on the back table of the Council Chambers and submit it to the City Clerk. Comments are limited to two (2) minutes per speaker. California law prohibits the Council from acting on items that do not appear on the agenda. Under a Resolution previously adopted by the Council, such items can be referred to staff for appropriate action, which may include placement on the next available agenda.

9. CONSENT CALENDAR
A. Approval of City Council Special Meeting Minutes: March 17, 2022 B. Approval of City Council Regular Meeting Minutes: March 17, 2022 C. Approval of Special Joint City Council/Planning Commission Meeting Minutes: March 24, 2022
D. Review of Disbursements: March 1-31, 2022 $1,072,103.27

3 City Council Regular Meeting Agenda
April 21, 2022
E. Motion to Re-Authorize Remote Teleconference Meetings of the Town of Los Altos Hills, Including the Planning Commission and Committees, due to the Imminent Risks to the Health and Safety of Attendees and Making Related Findings Pursuant to AB 361 (Staff: S. Mattas)
F. Resolution Authorizing the City Manager to Enter into Agreement with Eaton & Associates for Information Technology Services in an amount not to exceed $153,000 (Staff: S. Revillar)
G. Accepting the Biennial Other Post Employment Benefit Plan Actuarial Report for Fiscal Year Ending June 30, 2021 (Staff: S. Revillar)
H. Resolution Approving Employee Enhancements to Attract and Retain Town Staff and Resolution Approving the FY 2021-22 Salary Schedule (Staff: S. Revillar) I. Resolution Approving Amendment No. 10 to the Agreement for City Attorney Services Between Meyers Nave and the Town of Los Altos Hills (Staff: P. Pirnejad) J. Resolution Authorizing the City Manager to Enter into a One-Year Agreement with Ann Hepenstal for Emergency Management Consultant Services not to exceed $90,000 (Staff:

C. Einfalt)
K. Resolution Authorizing the City Manager to Execute an Amendment to the Landscape Maintenance Services Agreement Between the Town of Los Altos Hills and Bayscape Landscape Management in an amount not to exceed $93,000 annually (Staff: O. Antillon) L. Resolution Adopting a Revised Sewer Connection Fee Schedule (Staff: O. Antillon) M. Resolution Authorizing the City Manager to Execute Agreement for Replacing Two Existing Sewer Pumps at the O’Keefe Pump Station (Staff: O. Antillon) N. Resolution Authorizing the City Manger to Execute Agreements for Installing New EV Charging Stations, Underground Raceway, wiring and Electric Subpanel at Town Hall (Staff: O. Antillon)
O. Resolution Approving Addendum #1 to the Service Agreement with 4LEAF, Inc. to Expand the Scope of Services to Include Streamlining Permitting Process for the Electrification Program for the Building Department (Staff: S. Mangalam) P. Resolution Accepting an Agreement for an Open Space Easement at 26070 Newbridge Drive; Lands of Mousavi; File #SD21-0043 (Staff: J. Loh) Q. Resolution Authorizing the City Manager to Enter into an Agreement with Full Circle Catering for Town Picnic Lunches (Staff: S. Robustelli)

4 City Council Regular Meeting Agenda
April 21, 2022
R. Resolution Approving a Site Plan Design for the Dedicated Art Sculpture in the Roundabout of the Town Hall Parking Lot and Authorizing the City Manager to Engage with a Contractor for Related Installation Work not to exceed $60,000 (Staff: C. Einfalt) S. Proclamation Recognizing Challenge Team 35th Annual Youth Champions (Staff: D.

Padovan)

10. NEW BUSINESS
A. Resolution Appropriating $45,000 from the Unreserved General Fund for a Supplemental Deputy of the Sheriff’s Office to Work During Peaks Hours of the day for the Remainder of the 2021-22 Fiscal Year (Staff: C. Einfalt)
B. Review and Consider Updating the City Council Summer Meeting Schedule to Potentially Cancel the July City Council Meeting (Staff: D. Padovan) C. Appointing Mayor Tyson as a Council Liaison to the Valley Transportation Authority Group 2 and Policy Advisory Committee (Staff: D. Padovan)

11. PUBLIC HEARINGS
 City Council Ex Parte Contacts Policy Disclosure
A. Request for a Map Adjustment Permit to Remove a Recorded Conservation Easement, Remove a Five-Foot Public Utility Easement, and Record a New Segment of Ten-Foot Public Utility Easement on a Portion of Lot 2 of Tract 6527, now part of 26070 Newbridge Drive (Staff: S. Mangalam)
B. Appeal of the Planning Commission Imposed Conditions of Approval for a Zoning Permit for new Fencing at 28001 Elena Road (Resolution #TBD) (Staff: S. Mangalam)

12. STAFF REPORTS
A. City Manager
B. City Attorney
C. City Clerk
D. Planning/Building Director
E. Administrative Services Director
F. Public Works Director

13. REPORTS FROM COMMITTEES, SUB-COMMITTEES, AND COUNCIL MEMBERS ON

OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Request by Councilmember Schmidt to Sunset the Fire Taskforce Subcommittee (Councilmember Schmidt)

5 City Council Regular Meeting Agenda
April 21, 2022
C. Report from the Council Subcommittee on Community Surveys (Councilmember Schmidt)
D. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities

14. COUNCIL INITIATED
A. Request to Rename the Emergency Communications Committee to the Emergency Preparedness and Response Committee with an Updated Charter and Membership (Councilmember Schmidt)
B. Request to Direct Staff to Update the Hybrid Meeting Policy to allow Committees to hold Hybrid Meetings after AB 361 Expires (Vice Mayor Swan)
C. Request to Form a Council Ad Hoc Committee Focused on Broadband (Councilmember Mok)
D. Request to add Three Additional ALPR Cameras to Cover all Entrances into Town (Vice Mayor Swan)

15. ADJOURN
Pursuant to Ordinance No. 506, the Council Meeting shall adjourn no later than 10:00 p.m., unless otherwise approved by a majority of the Councilmembers present.

ASSISTANCE FOR PERSONS WITH DISABILITIES
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in the meeting, please contact the City Clerk at 650-941-7222. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Copies of all agenda reports and supporting data are available for inspection at Town Hall, 26379 Fremont Road 72 hours in advance of the meeting.

A complete agenda can be found on the Town’s webpage: http://www.losaltoshills.ca.gov. A complete packet of information is available for inspection during the meeting at the table to the back of the Council Chambers and online. Council may take action on any agendized matter in any manner deemed appropriate by Council.

TOWN OF LOS ALTOS HILLS

MEMORANDUM
DATE: April 21, 2022
TO: Honorable Mayor and Members of the Council
FROM: Deborah Padovan, City Clerk
RE: Appointment to the Los Altos/Los Altos Hills Senior Commission Attached for your review and consideration is an application from Sharvari Dixit for appointment to the Los Altos/Los Altos Hills Senior Commission.

The term would run four years, beginning in April 2021 and end April 2025.

The Senior Commission advises both the Los Altos and Los Altos Hills City Councils in all matters pertaining to seniors. Its purpose includes gathering information from the senior community; assisting in recommending, planning, and promoting programs, services and resources for seniors; and creating opportunities for seniors to make significant contributions to the community.

The town is allotted two seats on the Los Altos Senior Commission and there is currently one opening. With this appointment, the Senior Commission would not have any Los Altos Hills vacancies.

AGENDA ITEM #7.A
D.P.

From: [email protected]
To: Deborah Padovan; Chris Knopf; Sarah Robustelli
Subject: Online Form Submittal: Town Committee/Planning Commission Application Form Date: Tuesday, April 5, 2022 1:24:36 PM
Town Committee/Planning Commission Application Form
Town of Los Altos Hills
26379 Fremont Road
Los Altos Hills, CA 94022
Phone: 650-941-7222
Fax: 650-941-3160
About this Application
Town citizens are encouraged to apply at any time to serve on the Town’s committees, and certain special appointed positions. Applications are reviewed when openings are available; qualified applicants will then be invited to interview with the City Council. This application is intended to assist the City Council to learn more about you and your interests in serving on one of the Town’s committees.

Preference for Serving
On:

Senior Commission
Name Sharvari Dixit
Registered Voter Yes
Address 25625 OKeefe Ln
Home Phone 4083135348
Work Phone 4083135348
Cell Phone 4083135348
Email Address [email protected]
Number of Years Town
Resident
23 (Section Break)
What motivated you to
apply to serve on the
Committee /
Commission?
I do a lot of work with seniors of Los Altos Hills and Los Altos.

These seniors are mostly of Indian ethnicity and I wanted to engage with the large group of seniors to facilitate friendships and cultural exchange
How many meetings
have you attended of
1

the Committee /
Commission for which
you are applying?
Please describe your
involvement in
community activities,
civic services, and
volunteer
organizations.

I am presently serving a term as Library Commissioner from Los Altos Hills. I am also a volunteer with the Los Altos Community Center, the South Asian Heart Center, Indian Community Center and a member of Naatak the bay area Indian theater. I am also a musician and an adjunct with CSU.

What skills and / or
attributes will you bring
to the Committee /
Commission you are
applying for?
Interest, care, wanting to help.

What particular area of
responsibility on this
Committee /
Commission interests
you?
Cultural exchange
Education Background
and Professional
Activities
I have a PhD and usually work as an adjunct faculty for california State University system.

Please state reasons
why you want to
become a member of
this Committee /
Commission, including
what specific objectives
you would be working
toward as a member.

Building frienships and cultural exchange.

Are you aware of any
existing or proposed
Town or private
projects or personal
relationships that may
create a conflict of
interest that could
affect your decisions?
No
If "Yes", please explain NA
Are you aware of any
issues now or
No

proposed that might
require you to recuse
yourself?
If "Yes", please explain NA
Membership on
standing Committees /
Commissions often
entails meetings
throughout the year,
and most Committees /
Commissions meet at
least once monthly.

Can you be available
for these meetings?
Yes
I voluntarily submit this application to the Town of Los Altos Hills Standing Committees/Planning Commission, and verify that the information contained in this application is correct.

Please check the box I have read the Code of Conduct for Appointed Persons Signature Sharvari Dixit
Date 4/5/2022
(Section Break)
Please let us know how
you heard about the
Town's Committees
and Membership
Application.

Other
If other, please explain. From the Los Altos Community Center (Section Break)
Please Note
Please note that your appointment will be posted on the Town’s website as a Standing Committee member. Your signed application is public record and will be available on request.

Online Resources Town of Los Altos Hills Website
Questions?
Questions and additional information regarding the selection process should be directed to the City Clerk at 650-941-7222.

Thank you for your interest in serving your community!

Email not displaying correctly? View it in your browser.

AGENDA ITEM #7.B

7. PRESENTATIONS AND APPOINTMENTS
B. Presentation on the Other Post Employment Benefit (OPEB) Actuarial Report for Fiscal Year Ending June 30, 2021
The item will be presented at the City Council meeting.

1 City Council Special Meeting Minutes
March 17, 2022

Present: Mayor George Tyson, Vice Mayor Linda Swan, Councilmember Stanley Q. Mok, Councilmember Lisa H. Schmidt, Councilmember Kavita Tanka

Absent: None
Staff: City Attorney Steve Mattas, City Manager Peter Pirnejad, Administrative Services Director Sarina Revillar, City Clerk Deborah Padovan (left the meeting at 5:03 p.m.)
PUBLIC COMMENT (Public Comment is Limited to Items which are the Subject of the Special Meeting)
There was no public comment.

The City Council adjourned to Closed Session at 5:02 p.m. to consider the following:

A. CONFERENCE WITH LABOR NEGOTIATOR
(Pursuant to Government Code Section 54957.6)
Unrepresented Employee: City Attorney
Agency Designated Representative: Peter Pirnejad, City Manager B. CLOSED SESSION - CONFERENCE WITH LABOR NEGOTIATORS
(Pursuant to Government Code Section 54957.6)
Agency Designated Representative: Peter Pirnejad
Unrepresented Employees: All employees except City Manager

REPORTABLE ACTION
There was no reportable action.

The meeting adjourned at 5:52 p.m.

Respectfully submitted,
Deborah Padovan
City Clerk
AGENDA ITEM #9.A
Town of Los Altos Hills
City Council Special Meeting Minutes
Thursday, March 17, 2022 – 5:00 p.m.

Council Chambers, 26379 Fremon t Road, Los Altos Hills, California

CALL TO ORDER, ROLL CALL
This meeting was conducted virtually pursuant to the provisions of Assembly Bill 361 and Government Code Section 54953(e) related to conducting public meetings during the COVID-19 pandemic. Mayor Tyson called the City Council Special Meeting to order at 5:02 p.m.

DRAFT

1 City Council Regular Meeting Minutes
March 17, 2022
This meeting was conducted virtually pursuant to the provisions of Assembly Bill 361 and Government Code Section 54953(e) related to conducting public meetings during the COVID-19 pandemic. Mayor Tyson called the City Council Special Meeting to order at 5:55 p.m.

Present: Mayor George Tyson, Vice Mayor Linda Swan, Councilmember Stanley Q.

Mok, Councilmember Lisa Schmidt, Councilmember Kavita Tankha

Absent: None
Staff: City Manager Peter Pirenjad, City Attorney Steve Mattas, Planning and Building Director Sofia Mangalam, Public Works Director Oscar Antillon, Administrative Services Director Sarina Revillar, Principal Planner Steve Padovan, Management Analyst II Cody Einfalt, City Clerk Deborah Padovan

1. CALL TO ORDER (5:30 P.M.)
Mayor Tyson called the closed session meeting to order at 5:55 p.m.

For the record, City Attorney Mattas abstained for the closed session portion as it relates to him.

2. CLOSED SESSION TO DISCUSS THE FOLLOWING:

A. PUBLIC COMMENT ON CLOSED SESSION -There was no public comment on the Closed Session Item)

CONFERENCE WITH LABOR NEGOTIATOR
(Pursuant to Government Code Section 54957.6)
Unrepresented Employee: City Attorney and Department Directors Agency Designated Representative: Peter Pirnejad, City Manager

3. ADJOURN CLOSED SESSION
The closed session adjourned at 6:07 and Mayor Tyson opened the meeting at 6:09 p.m.

4. OPEN SESSION (6:00 P.M.)
A. Roll Call
B. Pledge of Allegiance
C. Moment of Silence
Town of Los Altos Hills
City Council Regular Meeting Minutes
Thursday, March 17, 2022 – 5:30 p.m.

Council Chambers, 26379 Fremont Road, Los Altos Hills, California AGENDA ITEM #9.B
DRAFT

2 City Council Regular Meeting Minutes
March 17, 2022

Mayor Tyson asked for a moment of silence in support of the brave people in the country of Ukraine.

5. AGENDA REVIEW AND REPORT OUT OF CLOSED SESSION

There were no changes to the agenda and no reportable action arising out of closed session.

6. PRESENTATIONS AND APPOINTMENTS

A. Reappointment to the Los Altos Hills Environmental Design and Protection Committee

City Clerk Padovan presented the application.

MOTION MADE AND SECONDED: Councilmember Tankha moved to reappoint Buvana Dayanandum to the Los Altos Hills Environmental Design and Protection Committee for a second, four-year term. The motion was seconded by Councilmember Schmidt.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
B. Reappointment to the Los Altos Hills Open Space Committee

City Clerk Padovan presented the reappointment request.

MOTION MADE AND SECONDED: Councilmember Tankha moved to reappoint Peter Brown to the Los Altos Hills Open Space Committee for a second, four-year term. The motion was seconded by Councilmember Schmidt.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
C. Reappointment to the Los Altos Hills History Committee

DRAFT

3 City Council Regular Meeting Minutes
March 17, 2022
City Clerk Padovan presented the reappointment request of Sylvia Jensen.

Sylvia Jensen expressed her interest in serving. She has enjoyed her first term on the committee and would like to continue.

MOTION MADE AND SECONDED: Vice Mayor Swan moved to reappoint Sylvia Jensen to the Los Altos Hills History Committee for a second, four-year term. The motion was seconded by Councilmember Tankha.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
D. Report and Information on the Los Altos Hills County Fire District’s Upcoming Vegetation/Evacuation Route Hardening Project on Altamont Road Captain Denise Gluhan, Los Altos Hills County Fire District, presented the LAHCFD upcoming vegetation route hardening project on Altamont Road.

The Council received the report. No action was taken.

E. Report on the Status of Los Altos Hills Community Fiber Project

Gautam Agrawal, Los Altos Hills Community Fiber, presented a report on the activites of the fiber project in town.

The Council asked questions of Dr. Agrawal and received his responses. No action was taken.

7. PRESENTATIONS FROM THE FLOOR
There were no presentations from the floor.

8. CONSENT CALENDAR

MOTION MADE AND SECONDED: Councilmember Tankha moved to approve the Consent Calendar. The motion was seconded by Councilmember Mok.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
DRAFT

4 City Council Regular Meeting Minutes
March 17, 2022
ABSENT: None
Mayor Tyson commented on Item 8.D that we are following the law and will be looking at returning to in person/hybrid meetings in the near future.

A. Approval of Special City Council Meeting Minutes – February 17, 2022

B. Approval of Regular City Council Meeting Minutes – February 17, 2022

C. Review of Disbursements for February 1-28, 2022 $1,087,539.99

D. Motion to Re-Authorize Remote Teleconference Meetings of the Town of Los Altos Hills, Including the Planning Commission and Committees, due to the Imminent Risks to the Health and Safety of Attendees and Making Related Findings Pursuant to AB 361 (Staff: S. Mattas)

E. Approval of the Change in Regular Meeting Schedule for the Los Altos Hills Environmental Initiatives Committee (Staff: D. Padovan)

F. Request by the Los Altos Hills History Committee to Host and Advertise a History Walk on Saturday, April 30, 2022 (History Committee)
G. Resolution 26-22 Authorizing the City Manager to Enter into an Agreement with MIG, Inc. for a Community Facility Needs Assessment (Staff: S. Robustelli) H. Receive Report on the Los Altos Hills 2022 Summer Internship Program (Staff: C.

Einfalt)

I. Notification of Fast Track Approval: 25959 Alicante Lane; File #SD21-0088; Lands of Liu; Site Development Permit for a new 5,338 square-foot two-story residence with a 2,757 square-foot basement, an attached 583 square-foot accessory dwelling unit (ADU), a 271 square-foot cabana, a 1,131 square-foot swimming pool and a 5,897 square-foot tennis court. (Staff: J. Loh) Appeal Deadline: March 23, 2022 by 5:00 p.m.

9. ONGOING BUSINESS
A. Review of the Automatic License Plate Reader (ALPR) Pilot Program and Resolution 27-22 Accepting the Continued use of the ALPR System in Town (Staff:

C. Einfalt)

Management Analyst Cody Einfalt presented the staff report.

Captain Rich Urena, Santa Clara County Office of the Sheriff, commented on recent burglaries in town. He suggested if you have an alarm, use it. If you are going out of town, please let your neighbors know.

DRAFT

5 City Council Regular Meeting Minutes
March 17, 2022
Council discussion ensued.

Mayor Tyson said he will talk to the City Manager about overtime for an additional deputy.

Public Comment
Anand Ranganathan, Los Altos Hills, asked that every camera have a note for residents on how to opt out.

City Manager Pirenjad said there are 38 cameras are installed and we have two left that need to be installed. He suggested working with the sheriff to determine where the last two cameras should be installed. Mayor Tyson agreed with that suggestion.

Rajiv Bhateja, Los Altos Hills, said there are additional entrances in the town today that are not covered. He requested that the town administration deploy cameras at every feasible location to maximize the coverage so all entrances to town are covered.

MOTION MADE AND SECONDED: Vice Mayor Swan moved to adopt Resolution 27-22 Accepting the Continued use of the ALPR System in Town. The motion was seconded by Councilmember Mok.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None

10. PUBLIC HEARINGS
Ex Parte Communications: None

A. Consideration of Heritage Tree Designation for two (2) Heritage Oak Trees at Byrne Preserve (Staff: J. Loh)
Planning Director Sofia Mangalam presented the staff report.

Mayor Tyson opened the Public Hearing. Seeing no one wishing to speak, Mayor Tyson closed the Public Hearing.

MOTION MADE AND SECONDED: Vice Mayor Swan moved to adopt Resolution 28-22 Designating Two Valley Oak Trees at Byrne Preserve as Heritage Trees. The motion was seconded by Councilmember Schmidt.

DRAFT

6 City Council Regular Meeting Minutes
March 17, 2022
MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
B. Resolution 29-22 Approving an Update to the Town’s Existing Outdoor Lighting Policy to Provide Additional Guidelines, Clarifications, and Definitions (Staff: J.

Loh)

Principal Planner Steve Padovan presented the staff report.

Council discussion ensued.

Mayor Tyson opened the Public Hearing.

Birgitta Indaco, Los Altos Hills, thanked the planning staff and the Environmental Design and Protection Committee for the numerous hours and hard work on this project. She thanked the Council for considering this topic.

Mayor Tyson closed the Public Hearing.

MOTION MADE AND SECONDED: Councilmember Tankha moved to approve Resolution 29-22 Approving an Update to the Town’s Existing Outdoor Lighting Policy to Provide Additional Guidelines, Clarifications, and Definitions. The motion was seconded by Vice Mayor Swan.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
C. 27210 Altamont Road – File #CUP21-0003 – ATC Sequoia LLC/Lands of Town of Los Altos Hills; Resolution 30-22 to Approve a Ten (10) Year Renewal of the Conditional Use Permit for the existing wireless telecommunications facility at 27210 Altamont; CEQA review: Categorical Exemption per Sections 15301(b) (Staff: S.

Padovan)
Principal Planner Steve Padovan presented the report.

Council asked questions of staff and received responses.

DRAFT

7 City Council Regular Meeting Minutes
March 17, 2022
Mayor Tyson opened the Public Hearing.

John Merritt, American Tower, thanked the Council for hearing the item. He said the ALPR cameras are supported by the tower.

Mayor Tyson closed the Public Hearing.

MOTION MADE AND SECONDED: Vice Mayor Swan moved to approve Resolution 30-22 to Approve a Ten (10) Year Renewal of the Conditional Use Permit for the existing wireless telecommunications facility at 27210 Altamont; CEQA review: Categorical Exemption per Sections 15301(b). The motion was seconded by Councilmember Mok.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
D. 2021 Annual Progress Report. Review of the 2021 General Plan Annual Progress Report and 2021 Housing Element Annual Progress Report; and Authorize transmittal of the reports to the Office of Planning and Research (OPR) and Department of Housing and Community Development (HCD) (Staff: S. Mangalam)

Director Mangalam presented the staff report. She thanked Assistant Planner Areli Perez for putting the report together.

The town has met its RHNA goal for very-low, Low, and Above-Moderate (market rate) income units.

The town has met its overall RHNA allocation of 121 units for the planning period 2015-2023; however, the town still need to meet its obligation for moderate housing units.

The ADU regulations enacted by the State and the ADU ordinance adopted by the City Council have significantly increased ADU production in the town. The increased production over the next few years will be beneficial to the town in meeting its RHNA goals for the next housing cycle as well.

Staff recommends that the City Council approve the report and direct staff to forward the report to OPR and HCD.

Council asked questions of staff and received responses.

Mayor Tyson opened the Public Hearing. Seeing no one wishing to speak, Mayor DRAFT

8 City Council Regular Meeting Minutes
March 17, 2022
Tyson closed the Public Hearing.

MOTION MADE AND SECONDED: Councilmember Schmidt moved to approve the report and direct staff to forward the report to the Office of Planning and Research (OPR) and Department of Housing and Community Development (HCD). The motion was seconded by Councilmember Mok.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
Recess: 8:07 p.m.

Reconvene to Open Session: 8:14 p.m.

11. NEW BUSINESS
A. Resolution 31-22 Authorizing Subapplication for the State of California Governor’s Office of Emergency Service Hazard Mitigation Grant Program Funds and Appropriating $200,000 from the Unreserved General Fund for the 25% Match Needed for the Grant (Staff: C. Einfalt)
Management Analyst II Cody Einfalt presented the staff report.

Council discussion ensued.

Public Comment
Allan Epstein, Los Altos Hills, complimented Mr. Einfalt on an outstanding job putting this grant together. The consultant suggested keeping the number low. He felt that by demonstrating success with the program, we would be more likely to be eligible. He suggested ways of determining the criteria for homes eligible for the program.

Jitze Couperus, Los Altos Hills, commented that we have had a requirement in our codes for a class A roof, which is not a shake roof. There may be an old, abandoned house that has a shake roof. He would be surprised if there were more than a few shake roofs.

City Manager Pirnejad complimented Allan Epstein for doing the “lion’s share” of the work to get this grant.

MOTION MADE AND SECONDED: Councilmember Tankha moved to approve Resolution 31-22 Authorizing Subapplication for the State of California Governor’s DRAFT

9 City Council Regular Meeting Minutes
March 17, 2022
Office of Emergency Service Hazard Mitigation Grant Program Funds and Appropriating $200,000 from the Unreserved General Fund for the 25% Match Needed for the Grant. The motion was seconded by Councilmember Mok.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
B. Resolution 32-22 Declaring the Intention to Increase Sewer Service Charges in Both Palo Alto and Los Altos Sewer Basins, Setting a Public Hearing and Directing Staff to Mail Notices to all Sewer Users (Staff: O. Antillon) Public Works Director Oscar Antillon presented the staff report along with Rick Simonson and Geoff Michalczyk with HF&H Consultants.

Council discussion ensued.

MOTION MADE AND SECONDED: Vice Mayor Swan moved to approve Resolution 32-22 Declaring the Intention to Increase Sewer Service Charges in Both Palo Alto and Los Altos Sewer Basins, Setting a Public Hearing and Directing Staff to Mail Notices to all Sewer Users. The motion was seconded by Councilmember Schmidt.

MOTION PASSED 5-0:

AYES: Tyson, Swan, Mok, Schmidt, Tankha
NOES: None
ABSTAIN: None
RECUSE: None
ABSENT: None
Vice Mayor Swan mentioned that the Council, during their 2023 Goal Setting Session, should consider reviewing the allocation of charges for sewer treatment and conveyance between the town of Los Altos Hills, Los Altos and Palo Alto.

12. REPORTS FROM COMMITTEES, SUB-COMMITTEES, AND

COUNCILMEMBERS ON OUTSIDE AGENCIES

A. Report by the Undergrounding Subcommittee (Mayor Tyson)

Mayor Tyson presented the undergrounding report. He and Public Works Director Antillon were continuing to reach out to PG&E contacts. He had also reached out to the CPUC contact to see how we can get better support in terms of incentives for utility undergrounding.

DRAFT

10 City Council Regular Meeting Minutes
March 17, 2022
Council received the report. No action was taken.

B. Request by Councilmember Schmidt to Rename the Fire Taskforce Subcommittee to the Public Safety Subcommittee (Councilmember Schmidt)
Councilmember Schmidt presented the report.

Council discussion ensued.

Public Comment
Rajiv Bhateja, Los Altos Hills, said this is a really important and valuable direction.

There was a general consensus for support.

C. Report from the Council Subcommittee on Community Surveys (Councilmember Schmidt)

Councilmember Schmidt presented the report. Residents have expressed a strong for desire for more communication with governments. The town has contracted with FlashVote for a series of scientific surveys.

Individuals can sign up at www.flashvote.com/LosAltosHills. The goal is to have 200+ residents participating in the surveys. The first survey will focus on common space needs and inform the Council on the general sentiment of the community. A consultant has been contacted on doing community outreach.

There will be four or five surveys between now and August.

Council discussion ensued.

Public Comment
John Swan, Los Altos Hills, emphasized the importance of including input from the Parks and Recreation Committee in the decision-making process.

No action was taken.

D. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities

Mayor Tyson commented on the previous Education Committee. He listened and heard concerns. He had a series of meetings with LASD Superintendent Jeff Baier and talked about Los Altos Hills needs and the future. Based on his suggestion, he then reached out to Fred Gallagher on the Los Altos Citizen Advisory for finance. He also met with the president of Los Altos School District Steve DRAFT

11 City Council Regular Meeting Minutes
March 17, 2022
Taglio. He suggested asking staff to add an annual meeting of the Mayor and the president of the school district on the calendar.

He also reported that he met with the GM and President of Purissima Hills Water District. Attended the Peninsula League of California Cities event and also the Los Altos Little League day last week.

Councilmember Mok said that he can no longer serve on the Valley Transportation Authority (VTA) due to conflicts of interest.

13. STAFF REPORTS
A. City Manager
City Manager Pirnejad reported that the community survey mailer has been sent and he encouraged everyone to sign up to take the surveys. Now that the Council approved the internships, the openings will be on CalOpps tomorrow (March 18th).

He further reported on the action of council subcommittees including the legacy giving, Greenwaste, town facility needs, and the ad hoc on the sheriff’s contract. Further, a roundtable has been scheduled with committee chairs, the City Manager, and Mayor to discuss collaboration between committees and any unmet needs. The Technology Committee has met twice this month and he complimented their dedication.

B. City Attorney
No report.

C. City Clerk
City Clerk Padovan reported that the State of the Cities luncheon is scheduled for Friday, March 25th. Those wishing to sign up should visit the Los Altos Chamber of Commerce website.

D. Planning Director
Director Mangalam reminded everyone that the Joint City Council/Planning Commission Housing Element Workshop is set for Thursday, March 24th.

E. Administrative Services Director - Report on Licenses and Permits and Charges for Service
Director Revillar talked about licenses and permits and charges for services.

F. Public Works Director
DRAFT

12 City Council Regular Meeting Minutes
March 17, 2022
Director Antillon reported that the Public Works Department is now fully staffed. He commented that the landscape contract will extend for another year as the council approved a 2-year program. A year from now we will go out to bid and combine the two landscape contracts. We will also be doing an inventory program for the signs in town.

14. COUNCIL INITIATED ITEMS

A. Possible Action on Hosting a Roundtable with the Community on Public Safety (Councilmember Tankha)
Councilmember Tankha presented the item. She suggested having small meetings with residents along with the sheriff. She requested having the sheriff at these meetings.

There was Council consensus to allow Councilmember Tankha to continue having a series of community roundtables with the sheriff’s office present to provide information on how residents can protect themselves from residential burglaries. She agreed to report back to the council.

15. ADJOURN
The meeting adjourned at 9:45 p.m.

Respectfully submitted,
Deborah Padovan
City Clerk
DRAFT

1 City Council/Planning Commission
Joint Special Meeting Minutes
March 24, 2022
This meeting was conducted virtually pursuant to the provisions of Assembly Bill 361 and Government Code Section 54953(e) related to conducting public meetings during the COVID-19 pandemic. Vice Mayor Swan called the Joint City Council/Planning Commission Special Meeting to order at 6:00 p.m.

1. CALL TO ORDER FOR CITY COUNCIL AND PLANNING COMMISSION (6:00 P.M.)
►City Council Ex Parte Contacts Policy Disclosure
A. Roll Call of the City Council and Planning Commission

Present: Vice Mayor Linda Swan, Councilmember Stanley Q. Mok, Councilmember Lisa Schmidt, Councilmember Kavita Tankha, Planning Commission Chair Birgitta Indaco, Vice Chair Jim Waschura, Commissioner Couperus, Commissioner Patel, Commissioner Smith

Absent: Mayor George Tyson
Staff: City Manager Peter Pirnejad, Planning and Building Director Sofia Mangalam, Principal Planner Steve Padovan, Management Analyst II Cody Einfalt, City Clerk Deborah Padovan
B. Pledge of Allegiance

2. STUDY SESSION
A. Housing Element Update 2023-2031: Presentation by Michael Baker International, Inc. Consultant Team and Staff to the City Council, the Planning Commission, and the Community to include the following:
• An update on progress on the Housing Element update
• State requirements for sites selection
• Discuss sites inventory for RHNA allocation of 489 housing units • Seek input on housing sites
• Next steps
Town of Los Altos Hills
City Council/Planning Commission Special Meeting
Minutes
Thursday, March 24, 2022 – 6:00 p.m.

Council Chambers, 26379 Fremont Road, Los Altos Hills, California AGENDA ITEM #9.C
Posted 4/20/22
DRAFT

2 City Council/Planning Commission
Joint Special Meeting Minutes
March 24, 2022
Planning Director Sofia Mangalam introduced Aaron Barrall and Dan Wery of Michael Baker International who provided an update on the housing element.

The overview included the state-mandated schedule: 8-year cycle (2023 – 2031); the adoption deadline of January 31, 2023; the review and certification by the State Housing and Community Development Department (HCD) to determine compliance with state law. It was also stated that the Housing Element must plan for accommodating a jurisdiction’s Regional Housing Needs Allocation (RHNA).

Councilmember Schmidt asked if senior communities count in the identified area.

Mr. Wery responded yes, but there are limitations on what the town could require. She also asked about the site identified and if they have made initial inquires with the owners. Director Mangalam said that the work is in progress.

Councilmember Mok asked if it was possible to have one of the plots on the Foothill College campus location dedicated towards students and the other for staff? With respect to the median income, does it need to be a family of four that lives there? Mr. Barrall replied yes, you can designate some for-student housing and others for staff. If it would meet the definition of a unit (including a kitchen and bathroom), then it would count. A dorm would not count towards the RHNA numbers based on state law. A family of four is a baseline, but anyone could live there. The median income does scale for individuals living there.

Councilmember Mok also asked about the penalties for the town not reaching the RHNA goals?
Mr. Barrall replied that a plan needs to be adopted. If a plan is not adopted, there are many issues and the state attorney general has the authority to sue the town and there are many escalating actions, but the state does have the jurisdiction to write the housing element itself.

Councilmember Mok further inquired if there is any credit for infrastructure? Mr. Barrall replied that most cities have sewer service, but if the town doesn’t, it might limit the viability of the site. There is no state funding to provide infrastructure, but there may be some creative ways to support infrastructure improvements. Infrastructure grant funding to support affordable housing.

Councilmember Tankha asked to the extent that the town is required to meet its RHNA obligations, is it good enough to show intent to build low- or moderateincome housing or do the units have to be built? Mr. Wery replied that we need to demonstrate upfront that we have the capacity, zoning, infrastructure for each site to show it is possible to meet the RHNA. That can DRAFT

3 City Council/Planning Commission
Joint Special Meeting Minutes
March 24, 2022
help get your housing element adopted and certified. What actually gets constructed is also monitored. We have to submit an annual progress to show we are meeting our annual goals.

Chair Indaco asked about the 20% buffer that has been added to our RHNA numbers.

Mr. Barrall respond that state law requires the town to maintain capacity. If a site is planned for ten units, but a developer only builds three, the town has to make up the seven. That is why the 20% is built in.

Chair Indaco expressed concern about the water resources and sewer systems. In terms of water units, new units are very efficient, and it could be end up not adding that much in the way of water requirements. We must increase efficiency or conservation. The water agencies will need to help the town make room for it. She asked if there are ways of creating room rentals with a bathroom and kitchenette..

Would that count?
Mr. Barrall said there is potential do that and we would need to find evidence. It is not impossible, but there is also no guarantee as there is no specified methodology to do that.

Commissioner Couperus asked about the Foothill College options and said he understood that educational institutions are different from the town. Would the RHNA numbers benefit the town if an endowment was created? Mr. Barrall said if it is in the town, the units could be counted. The college does not have a RHNA obligation, but the town does, and if they are in the town limits, the town would get credit.

Commissioner Patel asked how one categorizes low income and median income. Is it dependent on the rent charged for the unit? Density per acre depending on the price of the land? How does that translate into very low-income units? What if a developer proposes building a low-income project and then rents it for higher? What can the town do to remedy the situation?
Mr. Barrall responded that categories for income are contingent on the rental payment. The rent on that unit would be capped so that a very low-income household could afford such a unit or 30% of gross household income on housing expenses. The density per acre is set in state law and it needs to be at least 20 units an acre. This will be challenging in Los Altos Hills.

Commissioner Waschura asked about requirements (20% overage on the RHNA numbers). Is that a hard requirement written into law? Or a guideline for us to follow? Or are we simply trying to write an element that gets through the first time? DRAFT

4 City Council/Planning Commission
Joint Special Meeting Minutes
March 24, 2022
Mr. Barrall responded that the buffer requirement is not written into law. The only requirement is the town’s legal obligation to meet the 489 units. HCD still has the ability to interpret the law and can determine if we are satisfactory or not. Regardless of whether it is in the government code text itself, HCD is taking the position that a buffer is needed.

Commissioner Smith asked if we are going to commit subdivision and make halfacre and third-acre lots, would there be a similar change in setback regulations as a result?
Mr. Wery replied that that would be a new zone and appropriate standards would need to be adopted. The town’s setback requirements would have to be updated.

3. PUBLIC COMMENT (PUBLIC COMMENT IS LIMITED TO ITEMS WHICH

ARE THE SUBJECT OF THE SPECIAL MEETING)
Bernardo Ferrari, Los Altos Hills, suggested that the Foothill College soccer facility, the maintenance yard and abandoned Griffith house, the Poor Clare’s property on Natoma and Westwind Barn as possible sites for units. He asked about the Daughters of Charity and said that a document exists that specifically precludes that the Poor Clare’s property cannot be used for development.

Betty Kayton, Los Altos Hills, suggested that we could get another 200 units for illegal garage units. There is a lot of political effort in Sacramento to overturn these rules, and she believes that the rules will be overturned. She encouraged the Council to not take any action that would prevent us from undoing this in the future.

Sasha Zbrozek, Los Altos Hills, said he has provided a letter with suggestions. Has that been forwarded? Changing our rules to use more objective standards could make it possible for us to meet our numbers.

Jason Guowei You, Los Altos Hills, spoke on behalf of the student government at Foothill College. He said that 2% of Foothill students are experiencing homelessness.

Angelina Li, Los Altos Hills, said she went to Foothill College and students have experienced homelessness and asked for assistance.

Vice Mayor Swan asked about the Fenwick property and for a property like the Daughters of Charity, what is their incentive?
Director Mangalam said the first step is to get the housing element adopted by the Council and then certified by the HCD. Then the rezoning will happen. We will have to update our general plan to add the multifamily zoning. The work does not end next year, it will only be halfway done. The other half will be rezoning and development standards. The 20% buffer is a requirement, but it is something related to “no net loss” DRAFT

5 City Council/Planning Commission
Joint Special Meeting Minutes
March 24, 2022
for that, HCD came up with a technical memo; they recommended a buffer from 15 to 30%. Cities are using a buffer.

Mr. Barrall thanked everyone for their engagement. Director Mangalam thanked everyone for taking the housing element survey. They have had 480 responses and encouraged more participation.

Duffy Price, Los Altos Hills, thanked the Council for the discussion and said we shouldn’t move too quickly, but wait to see what unfolds in the future.

Mr. Wery replied said he looked forward to looking at that in more detail. They have spent more time scrutinizing the site, versus the housing needs.

No action was taken at this meeting. It was an informational session for the Los Altos Hills City Council and the Planning Commission.

4. ADJOURN
The meeting adjourned at 7:55 p.m.

Respectfully submitted,
Deborah L. Padovan
Deborah Padovan
City Clerk
DRAFT

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: March 2022 DISBURSEMENT LISTING
FROM: Sarina Revillar, Administrative Services Director APPROVED: Peter Pirnejad, City Manager
Please find attached the detailed listing of disbursements by vendor for the month of March 2022.

The disbursements totaled $ 825,044.44 and Electronic Fund Transfers totaled $ 247,058.83 with a grand total of $ 1,072,103.27. The summarized information shown below for payroll and related benefits, as well as other individual items greater than $10,000.

The payments itemized below total $ 916,355.74 or approximately 85% of total disbursements by check or electronic fund transfer for the month.

Amounts Vendors Description of Payments
$ 178,651.98 ADP- Payroll Services Primarily relates to the biweekly payroll ($68,859.15) and related payroll taxes ($22,282.89) for the pay date

03.11.22; and biweekly payroll ($66,500.94) and related payroll taxes ($21,009.00) for the pay date 03.25.22.
113,252.23 CalPERS (retirement and
health), MetLife (dental), and
ICMA (deferred comp
Employer contributions and employee withholdings related to payroll benefits
11,360.48 Accountemps Accounting Service-Accounts Payable 67,400.00 C2R Engineering Inc CIP WWB Feeding Pasture
158,707.55 City of Los Altos Treatment Plant
42,037.69 CSG Consultants Bldg Inspection, Code Enforcement & Billable Charges 13,530.85 D&L Supply Co Inc Manhole Cover & Gasket
59,404.15 Meyers Nave City Attorney Services
34,925.00
Michael Baker International
Inc.

CIP Housing Element
162,065.08 Santa Clara Sheriff's Dept Law Enforcement Services 25,000.00 Stoller Studio Inc Lah Helix Sculpture
28,590.43 West Bay Sanitary District Sewer Maintenance Services 21,430.30 Misc. Recipients Refund deposits
$ 916,355.74 Total Payroll and Related Benefits and Individually Significant Items > $10,000 Attachment 1: March 2022 Disbursements Report by Vendor Report Prepared by: Jocelyn Misola
AGENDA ITEM #9.D
S.R.

P.P.

Amount
3/28/2022 10:33:14 AM Page 1 of 12
AT&T 000015434516 03/04/2022 WWB FIRE ALARM LINE 011-5300-6362 $ 42.65 AT&T 000015434517 03/04/2022 HERITAGE HOUSE DSL SVC 021-6100-6362 $ 228.77 AT&T 000015434518 03/04/2022 26379 FREMONT ROAD 061-1480-6362 $ 233.23 AT&T 000015434513 03/04/2022 HERITAGE HOUSE ALARM 021-6100-6362 $ 22.72 AT&T 000015434514 03/04/2022 26379 FREMONT RD 061-1480-6362 $ 377.27 AT&T 000015434515 03/04/2022 26379 FREMONT RD-CHAMBERS061-1480-6362 $ 22.17 AT&T 000015434422 03/04/2022 T-1 PBX/PRI TELEPHONES DATA 061-1480-6362 $ 166.16 AT&T 000015434509 03/04/2022 PURISSIMA/ELENA PUMP STATION051-4800-6362 $ 20.58 AT&T 000015434512 03/04/2022 ALTERNATEEOC-FIRE STATON 021-6100-6362 $ 63.15 Vendor ANIMAL95037 - ANIMAL DAMAGE MANAGEMENT Total: $ 325.00 Vendor: AT&T PO9011 - AT&T
AT&T 000015434520 03/02/2022 12863 LA CRESTA EOC HAM RADIO021-6100-6362 $ 24.81 AT&T 000015434521 03/02/2022 28002 PURISSIMA RD-SANITARY SEWER 051-4800-6362 $ 22.72 AT&T 000015434522 03/02/2022 27400 PURISSIMA RD- CORP YARD061-4300-6362 $ 43.78 Vendor AMAZON30353 - AMAZON Total: $ 4,704.39
Vendor: AMERIGAS91109 - AMERIGAS PROPANE INC.

AMERIGAS PROPANE INC. 3133700478 03/18/2022 PROPANE TANK - 27400 PURISSIMA ROAD 061-4300-6365 $ 3,518.08 Vendor AMERIGAS91109 - AMERIGAS PROPANE INC. Total: $ 3,518.08 Vendor: ANIMAL95037 - ANIMAL DAMAGE MANAGEMENT
ANIMAL DAMAGE MANAGEMENT 228870 03/18/2022 MONTHLY PEST CONTROL 011-5100-6130 $ 325.00 AMAZON 7488944443574 03/18/2022 STICKERS FOR TOWN HALL CARS061-1480-6398 $ 92.80 AMAZON 765695354754 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 23.67 AMAZON 937875689356 03/18/2022 PILOT FINE POINT BLUE INK PENS - FOR CITY CLERK 011-1300-6301 $ 41.22 AMAZON 587665763743-03/02/22 03/04/2022 MAST UP HD VIDEO AND AUDIO CONFERENCING SYSTEM 061-1480-6398 $ 749.68 AMAZON 438947933494 03/18/2022 WEBCAM WITH BUILT IN MICROPHONE 011-1000-6398 $ 33.96 AMAZON 467353633698 03/18/2022 APEXDESK ARTSONICE 54- INCH DUAL 011-3100-6398 $ 54.55 AMAZON 446843539565-03/02/22 03/04/2022 CONFERENCE ROOM KEYBOARD061-1480-6398 $ 34.91 AMAZON 449645756887-03/02/22 03/04/2022 AIR PURIFIER 061-1480-6398 $ 115.71 AMAZON 473356863483-03/02/22 03/04/2022 CONFERNCE ROOM TV STAND & USB ADAPTER 061-1480-6398 $ 204.04 Vendor ALECK01 - ALECK WILSON ARCHITECTS INC Total: $ 720.00 Vendor: AMAZON30353 - AMAZON
AMAZON 686496593746-03/02/22 03/02/2022 CONFERENCE ROOM TV 061-1480-6398 $ 870.81 AMAZON 969757596676-03/02/22 03/02/2022 CONFERENCING SYSTEM 061-1480-6398 $ 2,144.31 AMAZON 443887545695-03/02/22 03/04/2022 AIR PURIFIER 061-1480-6398 $ 338.73 ACCOUNTEMPS 59564109 03/18/2022 T.RAMOS - WEEK-ENDED 03/04/22011-1400-6111 $ 1,494.80 ACCOUNTEMPS 59609192 03/18/2022 T.RAMOS - WEEK-END 03/11/22011-1400-6111 $ 1,195.84 Vendor ACCOUNTEMPS90074 - ACCOUNTEMPS Total: $ 11,360.48 Vendor: ALECK01 - ALECK WILSON ARCHITECTS INC
ALECK WILSON ARCHITECTS INCP24909-03/14/22 03/18/2022 REFUND DEPOSIT - P24909 - 13000 LA CRESTA DR 011-0000-2301 $ 720.00 ACCOUNTEMPS 59410164 03/04/2022 T.RAMOS-WEEK-ENDED 02/11/2022 011-1400-6111 $ 1,494.80 ACCOUNTEMPS 59469408 03/04/2022 T.RAMOS-WEEK-ENDED 02/18/2022 011-1400-6111 $ 1,494.80 ACCOUNTEMPS 59502669 03/18/2022 T.RAMOS - WEEK-ENDED 02/25/22011-1400-6111 $ 1,195.84 Vendor 200PROPERTY01 - 200 PROPERTY MANAGEMENT CORP. Total: $ 4,122.00 Vendor: ACCOUNTEMPS90074 - ACCOUNTEMPS
ACCOUNTEMPS 59182793 03/04/2022 T.RAMOS-WEEK-ENDED 01/07/2022 011-1400-6111 $ 1,494.80 ACCOUNTEMPS 59322236 03/04/2022 T.RAMOS-WEEK-ENDED 01/28/2022 011-1400-6111 $ 1,494.80 ACCOUNTEMPS 59367292 03/04/2022 T.RAMOS-WEEK-ENDED 02/04/2022 011-1400-6111 $ 1,494.80 200 PROPERTY MANAGEMENT CORP. EP22-0016 03/04/2022 REFUND DEPOSIT-EP22-0016-25431 ADOBE LN 011-0000-2301 $ 500.00 200 PROPERTY MANAGEMENT CORP. EP22-0016 03/04/2022 REFUND DEPOSIT-EP22-0016-25431 ADOBE LN 011-0000-2303 $ 3,000.00 200 PROPERTY MANAGEMENT CORP. EP22-0016 03/04/2022 REFUND DEPOSIT-EP22-0016-25431 ADOBE LN 046-0000-4673 $ 400.00 Expense Approval Report
Town of Los Altos Hills By Vendor Name
Payment Dates 03/01/2022 - 03/31/2022
Vendor Name Payable Number Post Date Description (Item) Account Number Vendor: 200PROPERTY01 - 200 PROPERTY MANAGEMENT CORP.
200 PROPERTY MANAGEMENT CORP. EP22-0016 03/04/2022 REFUND DEPOSIT-EP22-0016-25431 ADOBE LN 011-0000-2301 $ 222.00

Amount
CINTAS CORPORATION 4110946592 03/04/2022 UNIFORMS & SUPPLIES 061-1480-6123 $ 146.18 3/28/2022 10:33:14 AM Page 2 of 12
Vendor: CHEVRON28272 - CHEVRON AND TEXACO CARD SERVICES CHEVRON AND TEXACO CARD SERVICES 79291175 03/18/2022 FUEL PURCHASES - 02/15/22-03/07/22 061-4400-6342 $ 605.99 Vendor CHEVRON28272 - CHEVRON AND TEXACO CARD SERVICES Total: $ 605.99 Vendor: CINTAS- UNIFORMS - CINTAS CORPORATION
CINTAS CORPORATION 4110250437 03/04/2022 UNIFORMS & SUPPLIES 061-1480-6123 $ 146.18 CINTAS CORPORATION 4110250437 03/04/2022 UNIFORMS & SUPPLIES 061-4300-6324 $ 184.48 CAPITOL KIA 9803-03/17/22 03/18/2022 ACT # 2215089803 2022 KIA NIO EV MONTHLY PAYMENT 041-6910-6616 $ 361.06 Vendor CAPITOL01 - CAPITOL KIA Total: $ 722.12
Vendor: CHARGEPOINT95008 - CHARGEPOINT, INC.

CHARGEPOINT, INC. IN130339 03/04/2022 CHARGEPOINT LAH TOWN HALL- 01/31/22 - 01/31/23 061-1480-6398 $ 1,446.00 Vendor CHARGEPOINT95008 - CHARGEPOINT, INC. Total: $ 1,446.00 Vendor: CALWATER95194 - CALIFORNIA WATER SERVICE CO.

CALIFORNIA WATER SERVICE CO. 3534-03/15/22 03/18/2022 ACCT ENDING 3534 - SRVS 01/21/22-02/17/22 011-5100-6364 $ 51.11 CALIFORNIA WATER SERVICE CO. 4444-03/15/22 03/18/2022 ACT ENDING 4444 - SRVS 01/21/22-02/17/22 011-5100-6364 $ 51.11 Vendor CALWATER95194 - CALIFORNIA WATER SERVICE CO. Total: $ 102.22 Vendor: CAPITOL01 - CAPITOL KIA
CAPITOL KIA 9147-03/17/22 03/18/2022 ACT # 2215089147 -2022 KIA NIRO EV MONTHLY PAYMENT 041-6910-6616 $ 361.06 BELLECCI & ASSOCIATES INC 20065-O 03/18/2022 UUD EL MONTE FIRE STATION - SRV 02/01/22-02/28/22 041-6900-6206 $ 300.00 Vendor BELLECCI01 - BELLECCI & ASSOCIATES INC Total: $ 2,729.50 Vendor: C2R94043 - C2R ENGINEERING INC.

C2R ENGINEERING INC. C4140A 03/18/2022 FULL CONTRACT AMOUNT-IMPROV OF FEEDING PASTURE FEN 043-6900-6622 $ 67,400.00 Vendor C2R94043 - C2R ENGINEERING INC. Total: $ 67,400.00 BEAR ELECTRICAL SOLUTIONS, INC. 15082 03/18/2022 TRAFFIC SIGNAL MAINTENANCE SRVS - FEBRUARY 2022 011-4600-6145 $ 714.00 BEAR ELECTRICAL SOLUTIONS, INC. 15083 03/18/2022 TRAFFIC SIGNAL MAINTENANCE - FEBRUARY 2022 011-4600-6145 $ 551.25 Vendor BEAR95002 - BEAR ELECTRICAL SOLUTIONS, INC. Total: $ 6,765.25 Vendor: BELLECCI01 - BELLECCI & ASSOCIATES INC
BELLECCI & ASSOCIATES INC 20065-N 03/04/2022 SRVS 01/01/22-01/31/22 - UUD EL MONTE FIRE STATION 041-6900-6206 $ 2,429.50 BAYSCAPE MANAGEMENT, INC.24978 03/18/2022 EDITH PARK 011-5100-6122 $ 750.00 BAYSCAPE MANAGEMENT, INC.24978 03/18/2022 WESTWIND COMMUNITY BARN 011-5300-6122 $ 1,500.00 Vendor BAYSCAPE01 - BAYSCAPE MANAGEMENT, INC. Total: $ 7,750.00 Vendor: BEAR95002 - BEAR ELECTRICAL SOLUTIONS, INC.

BEAR ELECTRICAL SOLUTIONS, INC. 14963 03/18/2022 TRAFFIC SIGNAL LOOPS@ EL MONTE RD AT VOORHEES DR 011-4600-6145 $ 5,500.00 Vendor AWDISHO01 - AWDISHO, EDWARD OR BELL Total: $ 155.00 Vendor: BAYSCAPE01 - BAYSCAPE MANAGEMENT, INC.

BAYSCAPE MANAGEMENT, INC.24978 03/18/2022 FREMONT ROAD PATH 011-4740-6125 $ 3,000.00 BAYSCAPE MANAGEMENT, INC.24978 03/18/2022 ATRASTRADERO PATH 011-4740-6125 $ 600.00 BAYSCAPE MANAGEMENT, INC.24978 03/18/2022 FOOTHILL COLLEGE & EL MONTE PEDESTRAIN & BIKE PATH 011-4740-6125 $ 1,900.00 AT&T 17873607 03/18/2022 27400 PURISSIMA RD - CORP YARD061-4300-6362 $ 44.56 AT&T 17874078 03/18/2022 O'KEEFE LN AT NORMANDY LN 051-4800-6362 $ 23.04 Vendor AT&T PO9011 - AT&T Total: $ 2,694.03
Vendor: AWDISHO01 - AWDISHO, EDWARD OR BELL
AWDISHO, EDWARD OR BELL P3307-03/14/22 03/18/2022 REFUND DEPOSIT - P3307 - 12234 TEPA WAY 011-0000-2301 $ 155.00 AT&T 17873604 03/18/2022 HERITAGE HOUSE OES NEW 021-6100-6362 $ 43.44 AT&T 17873605 03/18/2022 12863 LA CRESTA EOC HAM 021-6100-6362 $ 25.22 AT&T 17873606 03/18/2022 28002 PURISSIMA RD-SANITARY051-4800-6362 $ 23.12 AT&T 17873600 03/18/2022 26379 FREMONT ROAD 061-1480-6362 $ 22.56 AT&T 17873601 03/18/2022 WWB FIRE ALARM LINE 011-5300-6362 $ 43.44 AT&T 17873602 03/18/2022 HERITAGE HOUSE DSL SVC 021-6100-6362 $ 229.56 AT&T 17873597 03/18/2022 ALTERNATE EOC - FIRE STATION 021-6100-6362 $ 64.32 AT&T 17873598 03/18/2022 HERITAGE HOUSE ALARM 021-6100-6362 $ 23.12 AT&T 17873599 03/18/2022 26379 FREMONT ROAD 061-1480-6362 $ 392.81 AT&T 17873603 03/17/2022 26379 FREMONT ROAD 061-1480-6362 $ 237.50 AT&T 17873507 03/18/2022 T-1 PBX/PRI TELEPHONES 061-1480-6362 $ 167.08 AT&T 17873594 03/18/2022 PURISSIMA/ELENA PUMP STATION051-4800-6362 $ 20.92 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number AT&T 000015434519 03/04/2022 HERITAGE HOUSE OES NEW PHONE 021-6100-6362 $ 42.65 AT&T 000015434993 03/04/2022 O'KEEFE LN AT NORMANDY LN 051-4800-6362 $ 22.68

Amount
3/28/2022 10:33:14 AM Page 3 of 12
Vendor: ENGEO94583 - ENGEO INCORPORATED
ENGEO INCORPORATED 270019 03/04/2022 PROFESSIONAL SRVS THR 02/13/22-NATOMA RD BRIDGE SI 045-6900-6206 $ 1,215.50 ENGEO INCORPORATED 270124 03/18/2022 PROF SERVICES THRU FEB 20,2022 - MATADERO CREEK 045-6900-6206 $ 636.00 Vendor ENGEO94583 - ENGEO INCORPORATED Total: $ 1,851.50 Vendor: FARAHYAR01 - FARAHYAR, AYOUB
FARAHYAR, AYOUB 03/02/22-P15417-EP 03/04/2022 REFUND DEPOSIT- P15417-EP- I HR INSPECTION 011-0000-2301 $ 139.00 Vendor: DLSUPPLY01 - D&L SUPPLY CO INC
D&L SUPPLY CO INC 0000126171 03/18/2022 MANHOLE COVERS AND GASKET048-6900-6398 $ 13,530.85 Vendor DLSUPPLY01 - D&L SUPPLY CO INC Total: $ 13,530.85 Vendor: DIAMOND01 - DIAMOND QUALITY PRINTING INC.

DIAMOND QUALITY PRINTING INC. 39952 03/18/2022 ACTIVITY GUIDE BOOKLET + MAILIING/POSTAGE 011-1100-6304 $ 6,737.89 Vendor DIAMOND01 - DIAMOND QUALITY PRINTING INC. Total: $ 6,737.89 CSG CONSULTANTS INC B220091 03/04/2022 BILLING PLAN REVIEW SERVICES-01/01/22-01/31/22 011-3200-6114 $ 40,477.69 Vendor CSG94404 - CSG CONSULTANTS INC Total: $ 42,037.69 Vendor: CURTIS95126 - CURTIS HORTICULTURE, INC.

CURTIS HORTICULTURE, INC. 19522 03/18/2022 FEBRUARY 2022 LANDSCAPE MAINTENANCE - TOWN HALL 061-1480-6122 $ 1,860.00 Vendor CURTIS95126 - CURTIS HORTICULTURE, INC. Total: $ 1,860.00 CSG CONSULTANTS INC 41856 03/04/2022 01/22 PASSTHRU REV CONTRACT SVCS-BLD21-0308 011-3300-6175 $ (1,120.00) CSG CONSULTANTS INC 41856 03/04/2022 01/22 PASSTHRU EXP CONTRACT SVCS-SD21-0048 011-3300-6175 $ 440.00 CSG CONSULTANTS INC 41856 03/04/2022 01/22 PASSTHRU EXP CONTRACT SVCS-BLD21-0308 011-3300-6175 $ 1,120.00 CSG CONSULTANTS INC 41856 03/04/2022 01/22 ADMIN FEE RECOG CONTRACT SVCS-SD21-0048 011-0000-4685 $ (44.00) CSG CONSULTANTS INC 41856 03/04/2022 01/22 ADMIN FEE RECOG CONTRACT SVCS-BLD21-0308 011-0000-4685 $ (112.00) CSG CONSULTANTS INC 41856 03/04/2022 01/22 PASSTHRU REV CONTRACT SVCS-SD21-0048 011-3300-6175 $ (440.00) CSG CONSULTANTS INC 41856 03/04/2022 01/22 ADMIN FEE CONTRACT SVCS-BLD21-0308 011-0000-2301 $ 112.00 CSG CONSULTANTS INC 41856 03/04/2022 01/22 BILLABLE CONTRACT SVCS-SD21-0048 011-0000-2301 $ 440.00 CSG CONSULTANTS INC 41856 03/04/2022 01/22 BILLABLE CONTRACT SVCS-BLD21-0308 011-0000-2301 $ 1,120.00 Vendor: CORELOGIC75284 - CORELOGIC INFORMATION SOLUTIONS, INC.

CORELOGIC INFORMATION SOLUTIONS, INC. 30595106 03/18/2022 RQ2 FLAT FEE LIMITED PACKAGE - 02/01/22-02/28/22 011-3100-6338 $ 100.00 CORELOGIC INFORMATION SOLUTIONS, INC. 30595106 03/18/2022 RQ2 FLAT FEE LIMITED PACKAGE - 02/01/22-02/28/22 011-3200-6338 $ 100.00 Vendor CORELOGIC75284 - CORELOGIC INFORMATION SOLUTIONS, INC. Total: $ 200.00 Vendor: CSG94404 - CSG CONSULTANTS INC
CSG CONSULTANTS INC 41856 03/04/2022 01/22 ADMIN FEE CONTRACT SVCS-SD21-0048 011-0000-2301 $ 44.00 COMCAST 7176-03/25/22 03/18/2022 ACT # 8155 20 016 0017176 - SRV 03/08-04/07/22 061-1480-6362 $ 187.47 Vendor COMCAST LOCAL ACCTS - COMCAST Total: $ 437.04
Vendor: COOPER01 - COOPER, CLAIRE ELIZABETH
COOPER, CLAIRE ELIZABETH 02/28/22 03/18/2022 CITY COUNCIL MINUTES PREPARATION - FEB 17,2022 011-1300-6209 $ 320.00 Vendor COOPER01 - COOPER, CLAIRE ELIZABETH Total: $ 320.00 Vendor RWC94064 - CITY OF REDWOOD CITY Total: $ 5,221.70 Vendor: COMCAST19380 - COMCAST BUSINESS
COMCAST BUSINESS 140778038 03/18/2022 ACT # 980056897 MARCH 1,2022061-1480-6362 $ 951.25 Vendor COMCAST19380 - COMCAST BUSINESS Total: $ 951.25
Vendor: COMCAST LOCAL ACCTS - COMCAST
COMCAST 6749-03/11/22 03/18/2022 ACT# 8455 20 01 0016749 SRVS - 02/27/22-03/26/22 061-1480-6310 $ 249.57 Vendor CINTAS- UNIFORMS - CINTAS CORPORATION Total: $ 1,653.30 Vendor: LOSALTOS94022 - CITY OF LOS ALTOS
CITY OF LOS ALTOS IN100806 03/04/2022 TOWN OF LAH FY21/22 OBLIGATION OUTSTANDING QTR 2 051-4800-6120 $ 158,707.55 Vendor LOSALTOS94022 - CITY OF LOS ALTOS Total: $ 158,707.55 Vendor: RWC94064 - CITY OF REDWOOD CITY
CITY OF REDWOOD CITY 38004 03/18/2022 MONTHLY IT SUPPORT - 02/01/22-02/28/22 061-1480-6208 $ 5,221.70 CINTAS CORPORATION 4111621965 03/18/2022 UNIFORMS & SUPPLIES 061-4300-6324 $ 184.48 CINTAS CORPORATION 4112997987 03/18/2022 UNIFORMS & SUPPLIES 061-1480-6123 $ 146.18 CINTAS CORPORATION 4112997987 03/18/2022 UNIFORMS & SUPPLIES 061-4300-6324 $ 184.48 CINTAS CORPORATION 4112306758 03/14/2022 UNIFORMS & SUPPLIES 061-1480-6123 $ 146.18 CINTAS CORPORATION 4112306758 03/14/2022 UNIFORMS & SUPPLIES 061-4300-6324 $ 184.48 CINTAS CORPORATION 4111621965 03/18/2022 UNIFORMS & SUPPLIES 061-1480-6123 $ 146.18 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number CINTAS CORPORATION 4110946592 03/04/2022 UNIFORMS & SUPPLIES 061-4300-6324 $ 184.48

Amount
LOS ALTOS HARDWARE INC 12669 /1 03/04/2022 TOWN HALL TOILET REPAIR 061-1480-6118 $ 21.81 LOS ALTOS HARDWARE INC 12700 /1 03/04/2022 TOOLS FOR LIGHT REPLACEMENT061-4300-6614 $ 10.90 3/28/2022 10:33:14 AM Page 4 of 12
Vendor KCI01 - KCI Total: $ 10,000.00
Vendor: KNOWBE401 - KNOWBE4 INC.

KNOWBE4 INC. INV168919 03/04/2022 SECUIRTY AWARENESS TRAINING SUBS.01/24/22-01/23/25 011-1400-6338 $ 1,652.40 Vendor KNOWBE401 - KNOWBE4 INC. Total: $ 1,652.40
Vendor: LAHARDWARE94022 - LOS ALTOS HARDWARE INC
LOS ALTOS HARDWARE INC 12330 /1 03/04/2022 2" COMB PADLOCK 061-4300-6398 $ 36.00 Vendor: JOY01 - JOY, ROBIN OR PAMELA COLSTON
JOY, ROBIN OR PAMELA COLSTON03/16/2022 03/18/2022 REFUND DEPOSIT - P19006 - 26680 ST FRANCIS 011-0000-2301 $ 521.25 JOY, ROBIN OR PAMELA COLSTON03/16/22 03/18/2022 REFUND DEPSIT - P28499 - 25599 FERNHILL DR 011-0000-2303 $ 5,000.00 Vendor JOY01 - JOY, ROBIN OR PAMELA COLSTON Total: $ 5,521.25 Vendor: KCI01 - KCI
KCI SD18-0059 03/04/2022 REFUND DEPOSIT- SD18-0059 - 26303 ESPERANZA DR 011-0000-2301 $ 10,000.00 Vendor INTERSTATE94070 - INTERSTATE TRAFFIC CONTROL PRODUCTS, INC. Total: $ 901.25 Vendor: JAROS01 - JAROS, ROBERT & DIANE
JAROS, ROBERT & DIANE 03/16/2022 03/18/2022 REFUND DEPOSIT - EP19-087 - 13521 WILDCREST DR 011-0000-2301 $ 348.50 JAROS, ROBERT & DIANE 03/16/22 03/18/2022 REFUND DEPOSIT - EP21-0087 - 13521 WILDCREST DR 011-0000-2303 $ 2,000.00 Vendor JAROS01 - JAROS, ROBERT & DIANE Total: $ 2,348.50 ICMA Retirement Corp (Vantage Pt) PD-03/11/22 03/18/2022 ICMA 401A ER & 40A DEDUCTION - PLAN #100276 061-0000-2204 $ 1,253.84 Vendor ICMA - ICMA Retirement Corp (Vantage Pt) Total: $ 33,384.44 Vendor: INTERSTATE94070 - INTERSTATE TRAFFIC CONTROL PRODUCTS, INC.

INTERSTATE TRAFFIC CONTROL PRODUCTS, INC. 249074 03/18/2022 SIGNS 011-4600-6341 $ 656.25 INTERSTATE TRAFFIC CONTROL PRODUCTS, INC. 249074 03/18/2022 DECALS FOR FLEET 061-4400-6117 $ 245.00 Vendor: ICMA - ICMA Retirement Corp (Vantage Pt)
ICMA Retirement Corp (Vantage Pt) PD- 02/25/22 03/04/2022 ICMA RC DEDUCTION & SCU DEDUCTION-PLAN#304465 061-0000-2204 $ 15,437.24 ICMA Retirement Corp (Vantage Pt) PD-02/25/22 03/04/2022 ICMA 401 A ER & 40A-PLAN#100276 061-0000-2204 $ 1,253.84 ICMA Retirement Corp (Vantage Pt) PD - 03/11/22 03/18/2022 ICMA - RC & SCU DEDUCTION 061-0000-2204 $ 15,439.52 Vendor: HAYWARD93901 - HAYWARD LUMBER
HAYWARD LUMBER 37289260-00 03/04/2022 SUPPLIES-PEELER CORE 042-6900-6126 $ 2,272.94 Vendor HAYWARD93901 - HAYWARD LUMBER Total: $ 2,272.94
Vendor: HDL91765 - HDL COREN & CONE
HDL COREN & CONE SINO14404 03/04/2022 CONTRACT SERVICES PROPERTY TAX: JANUARY-MARCH 2022 011-1400-6199 $ 1,505.63 Vendor HDL91765 - HDL COREN & CONE Total: $ 1,505.63
GREENWASTE RECOVERY INC 029467 03/18/2022 YARDWASTE - BILLING FOR FEB 2022 011-0000-1110 $ 4,561.63 Vendor GREEN95112 - GREENWASTE RECOVERY INC Total: $ 9,140.35 Vendor: GRIMM01 - GRIMM, MICHAEL OR BRIGIT
GRIMM, MICHAEL OR BRIGIT 03/02/22-P25016 03/04/2022 REFUND DEPOSIT- HARDSCAPE- P25016- 28060 LAURA CT 011-0000-2301 $ 1,063.50 Vendor GRIMM01 - GRIMM, MICHAEL OR BRIGIT Total: $ 1,063.50 GRAINGER 9226116730 03/18/2022 NEW LIGHTS FOR POOL VEHICLE061-4400-6117 $ 241.32 GRAINGER 9226116748 03/18/2022 SUPPLIES FOR CORP YARD 061-4300-6399 $ 95.35 Vendor GRAINGER60038 - GRAINGER Total: $ 723.91
Vendor: GREEN95112 - GREENWASTE RECOVERY INC
GREENWASTE RECOVERY INC 029352 03/01/2022 YARDWASTE-BILLING FOR JANUARY 2022 011-0000-1110 $ 4,578.72 Vendor: GRAINGER60038 - GRAINGER
GRAINGER 9226116706 03/15/2022 LIGHTS FOR NEW POOL VEHICLE061-4400-6117 $ 241.32 GRAINGER 9226116714 03/18/2022 GRAFFITI REMOVER 061-4300-6399 $ 35.79 GRAINGER 9226116722 03/18/2022 DEGREASER HAND SOAP FOR CORP YARD 061-4300-6123 $ 110.13 Vendor: GARDENLAND95008 - GARDENLAND CENTER INC.

GARDENLAND CENTER INC. 918096 03/18/2022 TREE TRIMMING SUPPLIES 061-4300-6398 $ 2,057.78 Vendor GARDENLAND95008 - GARDENLAND CENTER INC. Total: $ 2,057.78 Vendor: GLOBAL90030 - GLOBALSTAR INC.

GLOBALSTAR INC. 000000022222982-03/03/22 03/04/2022 GALAXY 1800 PLAN - SATELITE PHONES 021-6100-6362 $ 2,551.62 Vendor GLOBAL90030 - GLOBALSTAR INC. Total: $ 2,551.62
Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number FARAHYAR, AYOUB 03/15/22 03/18/2022 REFUND DEPOSIT - P6316-SPR - 11475 SUMMITWOOD DR 011-0000-2301 $ 417.00 Vendor FARAHYAR01 - FARAHYAR, AYOUB Total: $ 556.00

Amount
MEYERS NAVE, A PROFESSIONAL CORPORATION 188700 03/18/2022 10758 MORA DR - PERMIT PA21-0102 - CR 011-1500-6112 $ 267.80 3/28/2022 10:33:14 AM Page 5 of 12
MEYERS NAVE, A PROFESSIONAL CORPORATION 188691 03/18/2022 CITY ATTORNEY SERVICES-RENDERED THRU JAN 31,2022 011-1500-6201 $ 11,000.00 MEYERS NAVE, A PROFESSIONAL CORPORATION 188694 03/18/2022 SB 9 IMPLEMENTATION ORDINANCE-RENDERED THRU JAN 31 011-1500-6112 $ 61.80 MEYERS NAVE, A PROFESSIONAL CORPORATION 188699 03/18/2022 10728 MORA DRIVE - PERMIT NO. PA 21-0101 - CR 011-1500-6112 $ 301.28 MEYERS NAVE, A PROFESSIONAL CORPORATION 188703 03/04/2022 LINEBARGER, FORREST V. LOS ALTOS,TOWN-JAN 31,2022 011-1500-6112 $ 11,991.78 MEYERS NAVE, A PROFESSIONAL CORPORATION 189677-REPLACING INVOICE#186984 03/0/2022 CITY ATTORNEY SRV-THIS INV IS TO REPLACE INV186984 011-1500-6201 $ 11,000.00 MEYERS NAVE, A PROFESSIONAL CORPORATION 188691 03/18/2022 CITY ATTORNEY SERVICES-RENDERED THRU JAN 31,2022 011-1500-6112 $ 51.17 MEYERS NAVE, A PROFESSIONAL CORPORATION 188698 03/04/2022 01/22 PASSTHRU REV LEGAL SVCS-ZP21-0047 011-3100-4702 $ (3,046.23) MEYERS NAVE, A PROFESSIONAL CORPORATION 188698 03/04/2022 01/22 PASSTHRU EXP LEGAL SVCS-ZP21-0047 011-3100-6177 $ 3,046.23 MEYERS NAVE, A PROFESSIONAL CORPORATION 188702 03/04/2022 LABOR AND PERSONNEL MATTERS - JAN 31,2022 011-1500-6112 $ 8,157.60 MEYERS NAVE, A PROFESSIONAL CORPORATION 188698 03/04/2022 01/22 ADMIN FEE LEGAL SVCS-ZP21-0047 011-0000-2301 $ 304.62 MEYERS NAVE, A PROFESSIONAL CORPORATION 188698 03/04/2022 01/22 BILLABLE LEGAL SVCS-ZP21-0047 011-0000-2301 $ 3,046.23 MEYERS NAVE, A PROFESSIONAL CORPORATION 188698 03/04/2022 01/22 ADMIN FEE RECOG LEGAL SVCS-ZP21-0047 011-0000-4685 $ (304.62) MEYERS NAVE, A PROFESSIONAL CORPORATION 188693 03/04/2022 SEWER LEGAL SERVICES- JAN 31,2022 051-4800-6201 $ 339.90 MEYERS NAVE, A PROFESSIONAL CORPORATION 188695 03/04/2022 LANDS OF STERLING - 193-14-TM-CR- JAN 31.2022 011-1500-6112 $ 66.95 MEYERS NAVE, A PROFESSIONAL CORPORATION 188696 03/04/2022 LAH FIBER FRANCHISE AGREEMENT- JAN 31,2011 011-1500-6112 $ 1,328.70 MEYERS NAVE, A PROFESSIONAL CORPORATION 186989-03/03/22 03/04/2022 LABOR AND PERSONNEL MATTERS- DEC 31,2021 011-1500-6112 $ 1,359.60 MEYERS NAVE, A PROFESSIONAL CORPORATION 186990-03/03/22 03/04/2022 LINEBARGER,FORREST V. LOS ALTOS,TOWN- DEC31,2021 011-1500-6112 $ 1,372.48 MEYERS NAVE, A PROFESSIONAL CORPORATION 188692 03/04/2022 SOLID WASTE FRANCHISE RFP AND CONTRACT-JAN 31,2022 011-1500-6112 $ 2,842.80 Vendor METLIFE64180 - METROPOLITAN LIFE INSURANCE COMPANY Total: $ 11,460.94 Vendor: MEYERS94607 - MEYERS NAVE, A PROFESSIONAL CORPORATION MEYERS NAVE, A PROFESSIONAL CORPORATION 186986-03/03/22 03/03/2022 SB 9 IMPLEMENTATION ORDINANCE- DEC 31,2021 011-1500-6112 $ 3,708.00 MEYERS NAVE, A PROFESSIONAL CORPORATION 186987 03/04/2022 RAVENSBURY SEWER AGREEMENT - DEC 31, 2021 051-4800-6201 $ 234.33 MEYERS NAVE, A PROFESSIONAL CORPORATION 186988-03/03/22 03/04/2022 LAH FIBER FRANCHISE AGREEMENT-DEC 31,2021 011-1500-6112 $ 2,039.40 Vendor SIGNIFICANT95125 - MARQUETTE COMMERCIAL FINANCE Total: $ 6,100.45 Vendor: METRO94002 - METRO MOBILE COMMUNICATIONS INC.

METRO MOBILE COMMUNICATIONS INC. 220322 03/18/2022 METRONET VHF REPEATER SERVICE- MARCH MONTHLY SRVS 061-4300-6362 $ 160.00 Vendor METRO94002 - METRO MOBILE COMMUNICATIONS INC. Total: $ 160.00 Vendor: METLIFE64180 - METROPOLITAN LIFE INSURANCE COMPANY METROPOLITAN LIFE INSURANCE COMPANY TS05957300-02/14/22 03/04/2022 DENTAL INSURANCE-02/14/22 061-0000-2233 $ 11,460.94 MARQUETTE COMMERCIAL FINANCE 109259 03/18/2022 JANITORIAL SRVS FOR MARCH -LITTLE LEAGUE RESTROOMS 011-5100-6123 $ 395.00 MARQUETTE COMMERCIAL FINANCE 109260 03/18/2022 MARCH JANITORIAL SRVS- PARKS & REC BUILDING -2X WK 061-1480-6123 $ 1,979.00 MARQUETTE COMMERCIAL FINANCE 109261 03/18/2022 JANITORIAL SERVICES - MARCH -WWB 011-5300-6123 $ 405.00 MARQUETTE COMMERCIAL FINANCE 109011 03/04/2022 JANITORIAL SERVICES FEB - PARKS & REC BUILDING 061-1480-6123 $ 1,979.00 MARQUETTE COMMERCIAL FINANCE 109012 03/04/2022 JANITORIAL SERVICES FEBRUARY- WESTWIND COMM. BARN 061-1480-6123 $ 405.00 MARQUETTE COMMERCIAL FINANCE 109182 03/18/2022 SUPPLIES DELIVERED FEB 23 & FEB 24, 2022 061-1480-6123 $ 542.45 Vendor CRIER94022 - LOS ALTOS TOWN CRIER Total: $ 400.00 Vendor: LYNX95010 - LYNX TECHNOLOGIES, INC.

LYNX TECHNOLOGIES, INC. 9558 03/04/2022 GIS CONSULTING SERVICES IN JANUARY 011-3100-6199 $ 750.00 Vendor LYNX95010 - LYNX TECHNOLOGIES, INC. Total: $ 750.00 Vendor: SIGNIFICANT95125 - MARQUETTE COMMERCIAL FINANCE MARQUETTE COMMERCIAL FINANCE 109010 03/04/2022 JANITORIAL SRVS FEBRUARY - LITTLE LEAGUE RESTROOMS 011-5100-6123 $ 395.00 LOS ALTOS HARDWARE INC 208187/1 03/18/2022 MATADERO CREEK PATHWAY REPAIR 042-6900-6126 $ 494.11 Vendor LAHARDWARE94022 - LOS ALTOS HARDWARE INC Total: $ 1,886.88 Vendor: CRIER94022 - LOS ALTOS TOWN CRIER
LOS ALTOS TOWN CRIER 66708 03/04/2022 AD - LEGALS: 1X15" 035-T 011-1300-6207 $ 187.50 LOS ALTOS TOWN CRIER 66872 03/18/2022 AD - LEGALS; 1X17" 052-T 011-1300-6207 $ 212.50 LOS ALTOS HARDWARE INC 13009 /1 03/04/2022 SUPPLIES-WORK BOX,NYL PLATE,CLAMP CONNECTOR 061-4300-6117 $ 11.20 LOS ALTOS HARDWARE INC 13026 /1 03/04/2022 SUPPLIES-PAINT 061-4300-6117 $ 58.89 LOS ALTOS HARDWARE INC 12992 /1 03/18/2022 SCREWS FOR ROBLEDA/LA PALOMA BRIDGE PROJECT 042-6900-6126 $ 643.84 LOS ALTOS HARDWARE INC 12901 / 03/04/2022 LIGHTS FOR CORP YARD 061-4300-6118 $ 43.63 LOS ALTOS HARDWARE INC 12919 /1 03/04/2022 LIGHTS FOR CORP YARD 061-4300-6118 $ 70.89 LOS ALTOS HARDWARE INC 12991 /1 03/04/2022 CLIPS FOR FLAGS AT CORP YARD061-4300-6118 $ 17.42 LOS ALTOS HARDWARE INC 12751 / 03/04/2022 LIGHT BALLAST FOR CORP YARD 061-4300-6118 $ 44.73 LOS ALTOS HARDWARE INC 12755 /1 03/04/2022 PARTS FOR PURISSIMA PARK IRRIGATION 011-5100-6398 $ 39.15 LOS ALTOS HARDWARE INC 12896 /1 03/04/2022 NEW BALLAST FOR LIGHT AT CORP YARD 061-4300-6118 $ 99.82 Vendor Name Payable Number Post Date Description (Item) Account Number LOS ALTOS HARDWARE INC 12720 /1 03/04/2022 TOILET REPAIR 061-4300-6118 $ 163.63 LOS ALTOS HARDWARE INC 12742 /1 03/04/2022 BULB FOR CORP YARD 061-4300-6398 $ 130.86 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022

Amount
PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 BUILDING 011-3200-4301 $ 4,782.00 3/28/2022 10:33:14 AM Page 6 of 12
Vendor PACIFIC02 - PACIFIC PENINSULA CUSTOM GROUP Total: $ 1,904.40 Vendor: PETE01 - PETE MOFFAT CONSTRUCTION
PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 SMIP RESIDENTIAL 011-0000-2002 $ 66.30 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 SB1473 011-0000-2004 $ 21.00 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 FINAL DEPOSIT 011-0000-2303 $ 4,590.00 P G & E 01/07/22-02/14/22 03/04/2022 27400 PURISSIMA ROAD-CORP YARD 061-4300-6363 $ 34.88 P G & E 01/07/22-02/14/22 03/04/2022 27400 PURISSIMA ROAD-CORP YARD 061-4300-6363 $ 125.15 Vendor PGE95899 - P G & E Total: $ 3,748.24
Vendor: PACIFIC02 - PACIFIC PENINSULA CUSTOM GROUP
PACIFIC PENINSULA CUSTOM GROUP MISC-0018 03/04/2022 REFUND DEPOSIT- MISC21-0018 -13505 BURKE ROAD 011-0000-2301 $ 1,904.40 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD-CITY HALL061-1480-6363 $ 475.33 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD-NEMEXPM METERING 061-1480-6363 $ 1,143.19 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD- CITY HALL OFFICE 061-1480-6363 $ 84.51 P G & E 01/07/22-02/14/22 03/04/2022 26375 FREMONT ROAD 061-1480-6363 $ 280.61 P G & E 01/07/22-02/14/22 03/04/2022 26375 FREMONT ROAD-SV CLEAN ENERGY 061-1480-6363 $ 317.97 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD-CITY HALL OFFICE 061-1480-6363 $ 7.43 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD 061-1480-6363 $ 9.04 P G & E 01/07/22-02/14/22 03/04/2022 26375 FREMONT ROAD 061-1480-6363 $ 65.15 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD 061-1480-6363 $ 263.49 P G & E 01/07/22-02/14/22 03/04/2022 O'KEEFE LN @ DOVER CT 051-4800-6363 $ 51.16 P G & E 01/07/22-02/14/22 03/04/2022 O'KEEFE LN @ DOVER CT 051-4800-6363 $ 7.43 P G & E 01/07/22-02/14/22 03/04/2022 26375 FREMONT ROAD 061-1480-6363 $ 32.45 P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL SERVICE @ EL MONTE AV 011-4600-6363 $ 18.83 P G & E 01/07/22-02/14/22 03/04/2022 28002 PURISSIMA ROAD-LIFT STATION 051-4800-6363 $ 404.15 P G & E 01/07/22-02/14/22 03/04/2022 28002 PURISSIMA ROAD-LIFT STATION 051-4800-6363 $ 117.73 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD 011-4600-6363 $ 54.31 P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL @ STONEBROOK AV 011-4600-6363 $ 49.29 P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL SERVICE-EL MONTE AV 011-4600-6363 $ 7.02 P G & E 01/07/22-02/14/22 03/04/2022 26379 FREMONT ROAD 011-4600-6363 $ 85.53 P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL-FOOTHILL COLLEGE ENT 011-4600-6363 $ 34.01 P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL SERVICE @ EL MONTE AV 011-4600-6363 $ 67.33 Vendor OAK95031 - OAK ALARM CO Total: $ 75.00
Vendor: OREILLY - O'REILLY AUTOMOTIVE, INC.

O'REILLY AUTOMOTIVE, INC. 2553-481539 03/18/2022 TIRE TUBE 061-4400-6117 $ 12.32 Vendor OREILLY - O'REILLY AUTOMOTIVE, INC. Total: $ 12.32 Vendor: PGE95899 - P G & E
P G & E 01/07/22-02/14/22 03/04/2022 TRAFFIC CONTROL @ STONEBROOK AV 011-4600-6363 $ 12.25 Vendor MRG94526 - MUNICIPAL RESOURCE GROUP, LLC Total: $ 1,000.00 Vendor: NOLL01 - NOLL & TAM ARCHITECTS
NOLL & TAM ARCHITECTS 0059592 02/04/2022 PROF.SRVS FROM DEC1,2021-FEB17,2022-TOWNHALL ADDIT 041-6900-6206 $ 7,787.00 Vendor NOLL01 - NOLL & TAM ARCHITECTS Total: $ 7,787.00 Vendor: OAK95031 - OAK ALARM CO
OAK ALARM CO 26299 03/18/2022 OUARTERLY MONITORING-OKEEFE LN LIFT STATION ALARM 051-4800-6118 $ 75.00 Vendor LANG91361 - MICHAEL LANG DESIGN Total: $ 2,500.00 Vendor: MUNICIPAL95818 - MUNICIPAL MANAGEMENT ASSOCIATION OF NORTHERN CALIFORNIA MUNICIPAL MANAGEMENT ASSOCIATION OF NORTHERN CALIFORNIA 5618 03/18/2022 MEMBERSHIP RENEWAL - APRIL 13.2023 011-1200-6302 $ 75.00 Vendor MUNICIPAL95818 - MUNICIPAL MANAGEMENT ASSOCIATION OF NORTHERN CALIFORNIA Total: $ 75.00 Vendor: MRG94526 - MUNICIPAL RESOURCE GROUP, LLC
MUNICIPAL RESOURCE GROUP, LLC 03-22-74 03/04/2022 CULTURAL ASSESMENT- DEC 2021 & JAN 2022 011-1200-6199 $ 1,000.00 Vendor MEYERS94607 - MEYERS NAVE, A PROFESSIONAL CORPORATION Total: $ 59,404.15 Vendor: MICHAEL01 - MICHAEL BAKER INTERNATIONAL INC.

MICHAEL BAKER INTERNATIONAL INC. 1141353 03/18/2022 PROFESSIONAL SRVS THRU JAN31,2022-LAH HOUSING ELEM 041-6900-6199 $ 34,925.00 Vendor MICHAEL01 - MICHAEL BAKER INTERNATIONAL INC. Total: $ 34,925.00 Vendor: LANG91361 - MICHAEL LANG DESIGN
MICHAEL LANG DESIGN 4723 03/04/2022 LAH - SPRING/SUMMER ACTIVITY GUIDE 2022 011-1000-6304 $ 2,500.00 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number MEYERS NAVE, A PROFESSIONAL CORPORATION 188701 03/18/2022 27101 MOODY ROAD - PERMIT NO.SD21-0107 - CR 011-1500-6112 $ 234.33

Amount
STAPLES BUSINESS CREDIT 7349159582-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 54.95 STAPLES BUSINESS CREDIT 7349403364-0-1 03/18/2022 OFFICE SUPPLIES 011-3300-6399 $ 56.72 3/28/2022 10:33:14 AM Page 7 of 12
STAPLES BUSINESS CREDIT 7347525551-0-1 03/04/2022 PREMIUM MEMBERSHIP-01/06/22061-1480-6398 $ 326.28 STAPLES BUSINESS CREDIT 7348501356-0-1 03/04/2022 OFFICE SUPPLIES 061-1480-6398 $ 68.06 STAPLES BUSINESS CREDIT 7347482823-0-2 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 14.93 STAPLES BUSINESS CREDIT 7347482823-0-3 03/04/2022 OFFICE SUPPLIES 061-1480-6398 $ 8.04 STAPLES BUSINESS CREDIT 7347482823-0-4 03/04/2022 OFFICE SUPPLIES 061-1480-6398 $ 20.64 STAPLES BUSINESS CREDIT 7347482823-0-5 03/04/2022 OFFICE SUPPLIES 061-1480-6398 $ 38.10 Vendor: STAPLES30348 - STAPLES BUSINESS CREDIT
STAPLES BUSINESS CREDIT 734256157-0-1 03/04/2022 OFFICE SUPPLIES 061-1480-6301 $ 213.34 STAPLES BUSINESS CREDIT 7347220103-0-1 03/04/2022 OFFICE SUPPLIES 061-1480-6301 $ 69.47 STAPLES BUSINESS CREDIT 7347482823-0-1 03/04/2022 OFFICE SUPPLIES 061-1480-6398 $ 197.67 Vendor: SCCSHERIFF - SANTA CLARA COUNTY SHERIFF'S DEPT
SANTA CLARA COUNTY SHERIFF'S DEPT 1800080403 03/04/2022 ADVANCE FOR LAW ENFORCEMENT SVS - FEB 2022 011-2100-6152 $ 162,065.08 Vendor SCCSHERIFF - SANTA CLARA COUNTY SHERIFF'S DEPT Total: $ 162,065.08 Vendor: SIERRA95009 - SIERRA PACIFIC TURF SUPPLY INC
SIERRA PACIFIC TURF SUPPLY INC0616141-IN 03/18/2022 TURFACE MOUND CLAY - PURISSIMA PARK PITCHING MOUND 011-5100-6122 $ 647.11 Vendor SIERRA95009 - SIERRA PACIFIC TURF SUPPLY INC Total: $ 647.11 REDDY, SRINIVAS BLD20-0212 03/04/2022 REFUND DEPOSIT-BLD20-0212-12663 CORTE MADERA LN 011-0000-2303 $ 3,933.00 Vendor REDDY01 - REDDY, SRINIVAS Total: $ 1,632.90
Vendor: ROBERT03 - ROBERT BELL AND ASSOCIATES
ROBERT BELL AND ASSOCIATES22006 03/04/2022 PHASE 2 & 3 MEETING FACILITATION & FINAL REPORT 011-1100-6199 $ 8,181.25 Vendor ROBERT03 - ROBERT BELL AND ASSOCIATES Total: $ 8,181.25 Vendor V0980 - PURISSIMA HILLS WATER Total: $ 147.30
Vendor: RALPH01 - RALPH LEWIS CONSTRUCTION INC
RALPH LEWIS CONSTRUCTION INC 03/02/22-SD18-0010 03/02/2022 REFUND DEPOSIT-SD18-0010-12791 NORMANDY LN 011-0000-2301 $ 1,112.50 Vendor RALPH01 - RALPH LEWIS CONSTRUCTION INC Total: $ 1,112.50 Vendor: REDDY01 - REDDY, SRINIVAS
REDDY, SRINIVAS BLD20-0212 03/04/2022 REFUND DEPOSIT-SD20-0014-12663 CORTE MADERA LN 011-0000-2301 $ (2,300.10) Vendor PITNEY15250 - PITNEY BOWES INC Total: $ 430.03
Vendor: V0980 - PURISSIMA HILLS WATER
PURISSIMA HILLS WATER MARCH-2496 03/18/2022 26379 FREMONT ROAD - LAH 061-1480-6364 $ 85.00 PURISSIMA HILLS WATER MARCH-2498 03/18/2022 26379 FREMONT ROAD - HERITAGE HOUSE 061-1480-6364 $ 53.80 PURISSIMA HILLS WATER MARCH-3112 03/18/2022 ELENA & PURISSIMA SEWER LIFT STATION 051-4800-6364 $ 8.50 PETTY CASH PETTY CASH-02/25/22 03/04/2022 PETER - LUNCH WITH SARAH-- RE-ENTRY&WORKPLAN 061-1480-6398 $ 63.80 PETTY CASH PETTY CASH-02/25/22 03/04/2022 HECTOR - QT ROYAL EXT LTX PAINT 061-4300-6399 $ 16.88 Vendor PETTY03 - PETTY CASH Total: $ 573.83
Vendor: PITNEY15250 - PITNEY BOWES INC
PITNEY BOWES INC 3105346954 03/18/2022 DIGITAL MAILING SYSTEM - 12/30/21-03/29/22 061-1480-6303 $ 430.03 PETTY CASH PETTY CASH-02/25/22 03/04/2022 CODY - SAFEWAY BREAKFAST NEW EMPLOYEE 061-1480-6398 $ 26.97 PETTY CASH PETTY CASH-02/25/22 03/04/2022 CODY - POSH BAGELS - EMPLOYEE EVENT 061-1480-6398 $ 40.29 PETTY CASH PETTY CASH-02/25/22 03/04/2022 STEVE - BIRTHDAY CAKE 061-1480-6398 $ 60.45 PETTY CASH PETTY CASH-02/25/22 03/04/2022 MIRANDA - PW DIRECTOR RECUITMENT LUNCH 061-1480-6332 $ 63.46 PETTY CASH PETTY CASH-02/25/22 03/04/2022 KEREN - LIVE PLANT - GIFT EMPLOYEE CONTEST 061-1480-6398 $ 14.18 PETTY CASH PETTY CASH-02/25/22 03/04/2022 CODY- STARBUCKS - EXECUTIVE MEETING WITH FRANK 061-1480-6398 $ 17.95 PETTY CASH PETTY CASH-02/25/22 03/04/2022 DANIEL- LIVE SCAN REIMB 061-1480-6332 $ 87.00 PETTY CASH PETTY CASH-02/25/22 03/04/2022 PETER - LIVE SCAN REIMB 061-1480-6332 $ 74.00 PETTY CASH PETTY CASH-02/25/22 03/04/2022 BRAIN - LIVE SCAN REIMB 061-1480-6332 $ 71.00 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 SDCC 011-3200-4614 $ 675.00 Vendor PETE01 - PETE MOFFAT CONSTRUCTION Total: $ 11,430.30 Vendor: PETTY03 - PETTY CASH
PETTY CASH PETTY CASH-02/25/22 03/04/2022 DEBORAH - SC CLERK RECORDER011-1300-6209 $ 15.00 PETTY CASH PETTY CASH-02/25/22 03/04/2022 AVERY - MILAGE REIMB. MTG WITH RESIDENT 011-3300-6307 $ 22.85 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 MECHANICAL 011-3200-4303 $ 185.00 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 PLUMBING 011-3200-4304 $ 185.00 PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 PLA RETENTION FEE 011-3200-4311 $ 741.00 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number PETE MOFFAT CONSTRUCTIONBLD19-0602 03/04/2022 ELECTRICAL 011-3200-4302 $ 185.00

Amount
3/28/2022 10:33:14 AM Page 8 of 12
VERIZON WIRELESS 9900248767 03/18/2022 MAINTENANCE SUPERINTENDENT061-4300-6362 $ 48.66 VERIZON WIRELESS 9900248767 03/18/2022 MAINTENANCE WORKER 061-4300-6362 $ 32.85 VERIZON WIRELESS 9900248767 03/18/2022 MAINTENANCE WORKER 061-4300-6362 $ 32.85 VERIZON WIRELESS 9900248767 03/18/2022 PUBLIC WORKS DIRECTOR 011-3300-6362 $ 38.66 VERIZON WIRELESS 9900248767 03/18/2022 PUBLIC WORKS TABLET 011-3300-6362 $ 28.51 VERIZON WIRELESS 9900248767 03/18/2022 MIFI 061-1480-6362 $ 40.13 VERIZON WIRELESS 9900248767 03/18/2022 BUILDING INSPECTOR 011-3200-6362 $ 58.66 VERIZON WIRELESS 9900248767 03/18/2022 PUBLIC WORKS TABLET 011-3300-6362 $ 40.01 VERIZON WIRELESS 9900248767 03/18/2022 PUBLIC WORKS TABLET 011-3300-6362 $ 40.01 VERIZON WIRELESS 9900248767 03/18/2022 PLANNING IPAD 011-3100-6362 $ 40.01 VERIZON WIRELESS 9900248767 03/18/2022 PLANNING DIRECTOR 011-3100-6362 $ 38.66 VERIZON WIRELESS 9900248767 03/18/2022 BUILDING IPAD 011-3200-6362 $ 40.01 Vendor USBANK63179 - US BANK EQUIPMENT FINANCE Total: $ 724.26 Vendor: VERIZON75266 - VERIZON WIRELESS
VERIZON WIRELESS 9900248767 03/18/2022 CITY MANAGER 011-1200-6362 $ 58.66 VERIZON WIRELESS 9900248767 03/18/2022 CITY CLERK 011-1300-6362 $ 58.66 VERIZON WIRELESS 9900248767 03/18/2022 ADMIN SERVICES DIRECTOR 011-1400-6362 $ 58.66 UNITED SITE SERVICES INC 114-12719710 03/18/2022 TOWN HALL-DELUX WITH SINK-WEEKLY SERVICE-COMPLIANC 041-6900-6398 $ 81.34 UNITED SITE SERVICES INC 114-12855274 03/18/2022 STANDARD RESTROOM & WEEKLY SERVICE - WWB 011-5300-6398 $ 70.91 Vendor UNITED85072 - UNITED SITE SERVICES INC Total: $ 223.16 Vendor: USBANK63179 - US BANK EQUIPMENT FINANCE
US BANK EQUIPMENT FINANCE466488376 03/18/2022 CONTRACT PAYMENT & EQUIPMENT - 02/25/22-3/25/22 061-1480-6402 $ 724.26 UNITED CRAFTSMEN INC 11758 03/18/2022 PRINTING 0F 200 GAS METER APPROVAL STICKERS 011-3200-6304 $ 163.70 UNITED CRAFTSMEN INC 11762 03/18/2022 PRINTING&MAILING 3063 POSTCARDS-HOUSING ELEMENT 041-6900-6304 $ 2,041.82 Vendor CRAFTSMEN95119 - UNITED CRAFTSMEN INC Total: $ 9,087.26 Vendor: UNITED85072 - UNITED SITE SERVICES INC
UNITED SITE SERVICES INC 114-12778982 03/04/2022 STANDARD RESTROOM & WEEKLY SERVICE 011-5300-6398 $ 70.91 UNION SECURITY INSURANCE COMPANY 925773-0001-02/14/2 03/04/2022 LONG TERM DISABILITY-BENEFIT LTD-B 061-0000-2226 $ 1,330.38 Vendor SUN64180 - UNION SECURITY INSURANCE COMPANY Total: $ 2,362.53 Vendor: CRAFTSMEN95119 - UNITED CRAFTSMEN INC
UNITED CRAFTSMEN INC 11745 03/04/2022 PRINTING & MAILING POSTCARDS-HOUSING ELEMENT SURV. 041-6900-6304 $ 2,041.82 UNITED CRAFTSMEN INC 11744 03/18/2022 PRINING OF3180 'OUR TOWN' NEWSLETTERS - MARCH 2022 011-1700-6207 $ 4,839.92 Vendor: SUN64180 - UNION SECURITY INSURANCE COMPANY
UNION SECURITY INSURANCE COMPANY 925773-0001-02/14/2 03/04/2022 EMPLOYEE LIFE-EE LIF 061-0000-2225 $ 883.19 UNION SECURITY INSURANCE COMPANY 925773-0001-02/14/2 03/04/2022 EMPLOYEE LIFE 061-0000-2225 $ 35.00 UNION SECURITY INSURANCE COMPANY 925773-0001-02/14/2 03/04/2022 EMPLOYEE AD&D-EE ADD 061-0000-2225 $ 113.96 STEVENS CREEK QUARRY 980847 03/18/2022 MATERIALS AND DUMPING 042-6900-6399 $ 188.70 Vendor STEVENS95014 - STEVENS CREEK QUARRY Total: $ 606.28 Vendor: STOLLER01 - STOLLER STUDIO INC
STOLLER STUDIO INC 10425 03/18/2022 LAH HELIX SCULPTURE - SECOND PAYMENT- 25% 01/2/22 071-0510-6399 $ 25,000.00 Vendor STOLLER01 - STOLLER STUDIO INC Total: $ 25,000.00 Vendor STAPLES30348 - STAPLES BUSINESS CREDIT Total: $ 1,739.07 Vendor: STATCOMM01 - STATCOMM INC
STATCOMM INC W19461 03/04/2022 FIRE ALARM SERVICE - TECHNICIAN REPLACED PANEL 061-4300-6118 $ 4,024.74 Vendor STATCOMM01 - STATCOMM INC Total: $ 4,024.74
Vendor: STEVENS95014 - STEVENS CREEK QUARRY
STEVENS CREEK QUARRY 978180 03/04/2022 MATERIALS & DUMPING-4X8 ROCK061-4300-6399 $ 417.58 STAPLES BUSINESS CREDIT 7350073952-0-3 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 8.27 STAPLES BUSINESS CREDIT 7350073952-0-4 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 5.45 STAPLES BUSINESS CREDIT 7351091839-0-2 03/18/2022 OFFICE SUPPLIES 061-1480-6301 $ 104.79 STAPLES BUSINESS CREDIT 7349802951-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6301 $ 98.82 STAPLES BUSINESS CREDIT 7350073952-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6301 $ 67.72 STAPLES BUSINESS CREDIT 7350073952-0-2 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 8.17 STAPLES BUSINESS CREDIT 7349449671-0-2 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 135.69 STAPLES BUSINESS CREDIT 7349449671-0-3 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 57.15 STAPLES BUSINESS CREDIT 7349554467-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 58.87 Vendor Name Payable Number Post Date Description (Item) Account Number STAPLES BUSINESS CREDIT 7349403364-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 56.73 STAPLES BUSINESS CREDIT 7349449671-0-1 03/18/2022 OFFICE SUPPLIES 061-1480-6398 $ 69.21 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022

Amount
Vendor WESTBAY94025 - WEST BAY SANITARY DISTRICT Total: $ 28,590.43 Grand Total: $ 825,044.44
3/28/2022 10:33:14 AM Page 9 of 12
Vendor: WALATKA - WALATKA, PAM
WALATKA, PAM 02/14/22 03/04/2022 FLEX PASSES 011-4110-6111 $ 85.00 WALATKA, PAM 02/14/22 03/04/2022 WINTER SESSION 011-4110-6111 $ 900.00 Vendor WALATKA - WALATKA, PAM Total: $ 985.00
Vendor: WESTBAY94025 - WEST BAY SANITARY DISTRICT
WEST BAY SANITARY DISTRICT 2021/22-076 03/18/2022 MAINTENANCE SERVICES AGREEMENT JANUARY 2022 051-4800-6140 $ 28,590.43 Vendor VDE94041 - VICTORIA DYE EQUESTRIAN, LLC Total: $ 9,646.25 Vendor: VSP94145 - VISION SERVICE PLAN INSURANCE CO
VISION SERVICE PLAN INSURANCE CO 814472018 03/04/2022 MARCH 2022 VISION COVERAGE - COBRA 061-0000-2233 $ 47.96 VISION SERVICE PLAN INSURANCE CO 814472020 03/04/2022 MARCH 2022 VISION COVERAGE061-0000-2233 $ 601.57 Vendor VSP94145 - VISION SERVICE PLAN INSURANCE CO Total: $ 649.53 Vendor: VDE94041 - VICTORIA DYE EQUESTRIAN, LLC
VICTORIA DYE EQUESTRIAN, LLC2/16/22 03/04/2022 MARCH 2022 MANAGEMENT FEE011-5300-6199 $ 3,300.00 VICTORIA DYE EQUESTRIAN, LLC03/01/22 03/18/2022 SKI WEEK RIDING CAMP SKI WEEK CAMP 011-5300-6111 $ 5,962.50 VICTORIA DYE EQUESTRIAN, LLC8879 03/18/2022 WATER REIMBURSEMENT - 50% - JAN & FEB 2022 011-5300-6364 $ 383.75 Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Vendor Name Payable Number Post Date Description (Item) Account Number VERIZON WIRELESS 9900248767 03/18/2022 MAINTENANCE WORKER 061-4300-6362 $ 32.85 Vendor VERIZON75266 - VERIZON WIRELESS Total: $ 687.85

011-3200-6362 Telephone $ 98.67
011-3300-6175 Contract Services - Billable $ -
3/28/2022 10:33:14 AM Page 10 of 12
011-3200-4304 Plumbing Permits $ 185.00
011-3200-4311 Plan Retention Fees $ 741.00
011-3200-4614 Site Development Compliance $ 675.00
011-3200-6114 Contract Plan Checks $ 40,477.69
011-3200-6304 Printing, copying & scanning $ 163.70
011-3200-6338 Data Service Subscriptions $ 100.00
011-3100-6338 Data Service Subscriptions $ 100.00
011-3100-6362 Telephone $ 78.67
011-3100-6398 Other General Expense $ 54.55
011-3200-4301 Building Permits $ 4,782.00
011-3200-4302 Electrical Permits $ 185.00
011-3200-4303 Heating Permits $ 185.00
011-1500-6201 Legal - City Attorney $ 22,000.00
011-1700-6207 Advertising/Publishing $ 4,839.92
011-2100-6152 Law Enforcement $ 162,065.08
011-3100-4702 Attorney's Fees $ (3,046.23)
011-3100-6177 Attorney Fees - Billable $ 3,046.23
011-3100-6199 Other Contract Services $ 750.00
011-1300-6362 Telephone $ 58.66
011-1400-6111 Contract Personnel $ 11,360.48
011-1400-6199 Other Contract Services $ 1,505.63
011-1400-6338 Data Service Subscriptions $ 1,652.40
011-1400-6362 Telephone $ 58.66
011-1500-6112 Legal - Special Projects $ 33,783.69
011-1200-6199 Other Contract Services $ 1,000.00
011-1200-6302 City Membership $ 75.00
011-1200-6362 Telephone $ 58.66
011-1300-6207 Advertising/Publishing $ 400.00
011-1300-6209 Other Program & Proj Consult $ 335.00
011-1300-6301 Office Supplies $ 41.22
011-0000-2303 Bond Deposits $ 18,523.00
011-0000-4685 Administrative Charge $ (460.62)
011-1000-6304 Printing, copying & scanning $ 2,500.00
011-1000-6398 Other General Expense $ 33.96
011-1100-6199 Other Contract Services $ 8,181.25
011-1100-6304 Printing, copying & scanning $ 6,737.89
Grand Total: $ 825,044.44
Account Summary
Account Number Account Name Payment Amount
011-0000-1110 Receivable - Miscellaneous $ 9,140.35
011-0000-2002 Strong Motion Impl Payable $ 66.30
011-0000-2004 SB 1473 - Fee Payable $ 21.00
011-0000-2301 Planning Deposits $ 19,869.90
041 - GENERAL CIP FUND $ 50,328.60
042 - PATHWAYS CIP $ 3,599.59
043 - WESTWIND BARN CIP ADMIN $ 67,400.00
045 - DRAINAGE CIP $ 1,851.50
046 - STREET CIP $ 400.00
048 - SEWER FUND CIP $ 13,530.85
051 - SEWER FUND $ 188,669.24
061 - GENERAL SERVICE FUND $ 89,627.10
071 - SPECIAL DONATIONS $ 25,000.00
Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Report Summary
Fund Summary
Fund Payment Amount
011 - GENERAL FUND $ 381,318.18
021 - COPS FUND $ 3,319.38

061-1480-6402 Office Mach & Furniture Rental $ 724.26
061-4300-6117 Equipment Maint & Repair $ 70.09
061-4300-6118 Facility Maint & Security $ 4,464.86
3/28/2022 10:33:14 AM Page 11 of 12
061-1480-6310 On-Line Service $ 249.57
061-1480-6332 Town Recruitment $ 295.46
061-1480-6362 Telephone $ 2,797.63
061-1480-6363 Electric $ 2,679.17
061-1480-6364 Water $ 138.80
061-1480-6398 Other General Expense $ 7,372.51
061-1480-6118 Facility Maint & Security $ 21.81
061-1480-6122 Lawncare/Landscaping $ 1,860.00
061-1480-6123 Housekeeping $ 5,636.35
061-1480-6208 Programming & Computer $ 5,221.70
061-1480-6301 Office Supplies $ 554.14
061-1480-6303 Postage $ 430.03
051-4800-6363 Electric $ 580.47
051-4800-6364 Water $ 8.50
061-0000-2204 Deferred Comp Payable $ 33,384.44
061-0000-2225 Life Insurance Payable $ 1,032.15
061-0000-2226 Long Term Disability Payable $ 1,330.38
061-0000-2233 Dental & Vision Insurance Payable $ 12,110.47 048-6900-6398 Other General Expense $ 13,530.85
051-4800-6118 Facility Maint & Security $ 75.00
051-4800-6120 Los Altos Treatment Plant $ 158,707.55
051-4800-6140 Sewer Maintenance Work $ 28,590.43
051-4800-6201 Legal - City Attorney $ 574.23
051-4800-6362 Telephone $ 133.06
041-6910-6616 Vehicles & Accessories $ 722.12
042-6900-6126 Pathway Construction $ 3,410.89
042-6900-6399 Other Supplies/Materials $ 188.70
043-6900-6622 Site Improvements $ 67,400.00
045-6900-6206 Engineering Consultants $ 1,851.50
046-0000-4673 Streets Encroachment Fees $ 400.00
011-5300-6398 Other General Expense $ 141.82
021-6100-6362 Telephone $ 3,319.38
041-6900-6199 Other Contract Services $ 34,925.00
041-6900-6206 Engineering Consultants $ 10,516.50
041-6900-6304 Printing & Copying $ 4,083.64
041-6900-6398 Other General Expense $ 81.34
011-5300-6111 Contract Personnel $ 5,962.50
011-5300-6122 Lawncare/Landscaping $ 1,500.00
011-5300-6123 Housekeeping $ 405.00
011-5300-6199 Other Contract Services $ 3,300.00
011-5300-6362 Telephone $ 86.09
011-5300-6364 Water $ 383.75
011-4740-6125 Pathways Maintenance $ 5,500.00
011-5100-6122 Lawncare/Landscaping $ 1,397.11
011-5100-6123 Housekeeping $ 790.00
011-5100-6130 Pest Control $ 325.00
011-5100-6364 Water $ 102.22
011-5100-6398 Other General Expense $ 39.15
011-3300-6362 Telephone $ 147.19
011-3300-6399 Other Supplies/Materials $ 56.72
011-4110-6111 Contract Personnel $ 985.00
011-4600-6145 Traffic Signal Maintenance $ 6,765.25
011-4600-6341 Signs $ 656.25
011-4600-6363 Electric $ 328.57
Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Account Summary
Account Number Account Name Payment Amount
011-3300-6307 Mileage Reimbursement $ 22.85

3/28/2022 10:33:14 AM Page 12 of 12
P6316-SPR $ 417.00
SD18-0010 $ 1,112.50
SD18-0059 $ 10,000.00
SD20-0014 $ (2,300.10)
SD21-0048 $ 484.00
SR22-0002 $ 222.00
ZP21-0047 $ 3,350.85
Grand Total: $ 825,044.44
EP22-0016 $ 500.00
EP22-0016-PB $ 3,000.00
MISC21-0018 $ 1,904.40
P15417-EP $ 139.00
P19006 $ 521.25
P24909 $ 720.00
P25016 $ 1,063.50
P28499 $ 5,000.00
P3307 $ 155.00
427913 $ 188.70
437307-22 $ 67,400.00
467209 $ 2,345.61
487918-22 $ 13,530.85
Art0000-Exp $ 25,000.00
BLD19-0602-FD $ 4,590.00
BLD20-0212-FD $ 3,933.00
BLD21-0308 $ 1,232.00
EP19-0087 $ 2,348.50
Project Account Summary
Project Account Key Payment Amount
**None** $ 620,823.20
111711 $ 4,839.92
410213 $ 7,868.34
410216 $ 2,729.50
410220 $ 39,008.64
427906 $ 643.84
427908 $ 2,272.94
061-4300-6399 Other Supplies/Materials $ 565.60
061-4300-6614 Tools & Equipment $ 10.90
061-4400-6117 Equipment Maint & Repair $ 739.96
061-4400-6342 Gas and Oil $ 605.99
071-0510-6399 Other Supplies/Materials $ 25,000.00
Grand Total: $ 825,044.44
061-4300-6123 Housekeeping $ 110.13
061-4300-6324 Uniforms $ 922.40
061-4300-6362 Telephone $ 395.55
061-4300-6363 Electric $ 160.03
061-4300-6365 Gas $ 3,518.08
061-4300-6398 Other General Expense $ 2,224.64
Expense Approval Report Payment Dates: 03/01/2022 - 03/31/2022 Account Summary
Account Number Account Name Payment Amount

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: MOTION TO RE-AUTHORIZE REMOTE TELECONFERENCE

MEETINGS OF THE LEGISLATIVE BODIES OF THE TOWN OF LOS

ALTOS HILLS, INCLUDING ALL ASSOCIATED COMMITTEES,

DUE TO THE IMMINENT RISKS TO THE HEALTH AND SAFETY

OF ATTENDEES AND MAKING RELATED FINDINGS PURSUANT
TO AB 361
FROM: Steve Mattas, City Attorney
RECOMMENDATION:

It is recommended that the City Council of the Town of Los Altos Hills (“Council”), on behalf of itself and Town Committees make a motion, pursuant to the authority set forth in AB 361 (Government Code Section 54953[e][1]), to re-authorize remote teleconference meetings of all legislative bodies of the Council, including all associated agencies, authorities, and committees, and make related findings pursuant to AB 361.

BACKGROUND:

On September 16, 2021 the Council approved a motion to continue conducting all legislative body meetings through teleconference and made required findings pursuant to AB 361 [Government Code Section 54953(e)(1)]. On October 21, 2021 the Council approved a resolution to continue conducting Council meetings, and all associated committee meetings, remotely due to an ongoing state of emergency and imminent risks to the health or safety of attendees if the meetings are held in person. The Council made findings that the requisite conditions exist for the legislative bodies of the Commission to conduct remote teleconference meetings without compliance with paragraph (3) of subdivision (b) of section 54953.

Pursuant to Government Code Section 54953(e)(3), in order for all legislative bodies to continue meeting remotely, the Board must declare every 30 days that:

1. The legislative body has reconsidered the circumstances of the state of emergency; and

2. Either the state of emergency continues to directly impact the ability of the members to meet safely in person, or State or local officials continue to impose or recommend measures to promote social distancing.

Emergency conditions persist in Santa Clara County and throughout the state. The Governor’s State of Emergency, declared on March 4, 2020, is ongoing. The local proclamation of emergency, made by the Santa Clara County Board of Supervisors on February 10, 2020 ratifying the Santa Clara County Health Officer’s declaration of a AGENDA ITEM #9.E

2 local health emergency due to COVID-19, continues to exist until its termination is proclaimed by the Santa Clara County Board of Supervisors. On March 19, 2020, the Council proclaimed a local emergency due to the COVID-19 pandemic and has continued to confirm the existence of a local emergency.

Due to the continued threat of COVID-19, the Council continues to implement multiple layers of protection against COVID-19, including physical distancing, for the safety of employees and members of the public. The Centers for Disease Control and Prevention (“CDC”) continues to recommend physical distancing of at least six (6) feet from others outside of the household. Because of the rise in cases due to the Delta variant of COVID19, the Council is concerned about the health and safety of all individuals who intend to attend meetings of the Town’s legislative bodies, including City Council and advisory body and committee meetings. The ongoing state of emergency related to COVID-19, as declared by the Governor, the County Board of Supervisors, and Council, continues to directly impact the ability of members of the legislative bodies of the Council to meet safely in person, due to imminent risks to the health and safety of attendees if the meetings are held in person.

DISCUSSION:

It is recommended that the Council, on behalf of itself and its committees, make a motion, pursuant to the authority set forth in AB 361 (Government Code Section 54953[e][1]), to re-authorize remote teleconference meetings of all legislative bodies of the Council, including all associated advisory bodies, agencies, authorities, and committees, due to the ongoing state of emergency and imminent risks to the health and safety of attendees if the meetings are held in person.

FISCAL IMPACT:

There is no additional fiscal impact to continue remote teleconference meetings.

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: RESOLUTION AUTHORIZING THE CITY MANAGER TO

EXECUTE AN AGREEMENT BETWEEN THE TOWN AND

EATON & ASSOCIATES TO PROVIDE INFORMATION
TECHNOLOGY (IT) SERVICES NOT TO EXCEED $153,000
FROM: Sarina Revillar, Administrative Services Director APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Adopt resolution authorizing the City Manager to execute an agreement between the Town and Eaton & Associates for IT Services through fiscal year June 30, 2023, in the amount not to exceed $153,000.

BACKGROUND:

In November 2021, the City of Redwood City notified the Town they are unable to renew the agreement for IT Services due to several retirements and IT projects. The Town has used the City of Redwood City since 2008 for IT Services. The City of Redwood City also provided IT Services to the Town of Portola Valley. Staff reached out to Portal Valley to recommend sharing IT Services, unfortunately, Portola Valley chose to pursue their own IT Services.

The City of Redwood City and the Technology Committee, at their March 16 Meeting (Attachment 2), reviewed the proposals from Eaton & Associates and Stepford, Inc. and both came to the same conclusion and recommended Eaton & Associates for the Town’s IT Services. The staff did talk to a 3rd company, ZAG, but they chose not to submit a proposal.

DISCUSSION:

Staff recommends that the City Council authorize the City Manager to execute the agreement with Eaton & Associates, Exhibit A, for IT services in the amount not to exceed $153,000.

Since there are only two months remaining before the City of Redwood City agreement expires, they have agreed to assist Eaton & Associates with the transition. Eaton & Associates has agreed to provide additional services that the City of Redwood City did not, such as, supporting the Planning Commission and City Council zoom or hybrid meetings.

Also, the staff has engaged Jonathan Reichental & Associates to develop a 3-year IT Strategic Plan to support the goals of the City Council. Once the IT Strategic Plan is completed, staff can re-evaluate the Town’s technology needs.

AGENDA ITEM #9.F
S.R.

P.P.

Staff Report to City Council Page 2
IT Services Agreement
April 21, 2022
Both the Eaton & Associates and Jonathan Reichental & Associates contracts were brought to the Technology Committee. The Committee supported staff in both contracts and provided recommendations and feedback about both proposals.

ENVIRONMENTAL REVIEW:

The proposed project is exempt from California Environmental Quality Act (CEQA) pursuant to Sections 15061(b)(3) of the CEQA Guidelines. 2022 CITY COUNCIL STRATEGIC PRIORITIES:

Promoting emerging technologies to improve efficiency of administrative procedures through the use of technology is identified as one of the Council’s priorities for 2022.

FISCAL IMPACT:

The additional cost for the new contract through the end of the fiscal year is approximately $15,000. There are adequate funds in the Town Center budget to cover for the delta in remaining fiscal year 2021-22. The additional expense for IT Services includes additional technology services and additional hours. The agreement in the amount of $153,000 will be included in the FY2022-23 Operating Budget.

ATTACHMENTS:

1. Resolution

2. Proposed Agreement

3. Technology Minutes for March 16, 2022

Resolution ___-22 Page 1
RESOLUTION -22

RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE AN

AGREEMENT BETWEEN THE TOWN AND EATON & ASSOCIATES TO PROVIDE

IT SERVICES
WHEREAS, the City Council of the Town of Los Altos Hills has read and considered that certain Agreement (“Agreement”) between the Town and Eaton & Associates; and WHEREAS, engaging Eaton & Associates for IT Services through fiscal year June 30, 2023 in the amount not to exceed $153,000; and
NOW THEREFORE, resolved by the City Council of the Town of Los Altos Hills hereby authorizes the City Manager on behalf of the Town to execute the agreement with Eaton & Associates for IT Services.

The above and foregoing Resolution was passed and adopted by the City Council of the Town of Los Altos Hills at a regular meeting held on the 21st day of April 2022 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

BY: _______________________________
George Tyson, Mayor
ATTEST:
______________________________
Deborah Padovan, City Clerk
Attachment 1

Town of Los Altos Hills Page 1 of 4 Short form
Updated 4/23/10

AGREEMENT
THIS AGREEMENT is made and entered into on the 21st day of April 2022 by and between the TOWN OF LOS ALTOS HILLS (hereinafter referred to as "TOWN") and Eaton & Associates (hereinafter referred to as "CONTRACTOR"). In consideration of their mutual covenants, the parties hereto agree as follows:

1. CONTRACTOR. Shall provide or furnish the following specified services and/or materials:

Exhibit A

2. EXHIBITS. The following attached exhibits are hereby incorporated into and made a part of this Agreement:

Proposal from CONTRACTOR dated April 4, 2022

3. TERMS. The services and/or materials furnished under this Agreement shall commence April 28, 2022 and shall be completed by June 30, 2023, unless terminated pursuant to Section 5(f).

4. COMPENSATION. For the full performance of this Agreement:
a. TOWN shall pay CONTRACTOR an amount not to exceed Twelve Thousand and Seven Hundred Seventeen dollars and no cents ($12,717/month) within thirty (30) days following receipt of invoice and completion/delivery of services/goods as detailed in Sections 1, 2, and 3 of this Agreement and only upon satisfactory delivery/completion of goods/services in a manner consistent with professional/industry standards for the area in which CONTRACTOR operates. TOWN is not responsible for paying for any work done by CONTRACTOR or any subcontractor above and beyond the not to exceed amount.
b. Town shall not reimburse for any of CONTRACTOR's costs or expenses to deliver any services/goods. Town shall not be responsible for any interest or late charges on any payments from Town to CONTRACTOR.
c. CONTRACTOR is responsible for monitoring its own forces/employees/agents/ subcontractors to ensure delivery of goods/services within the terms of this Agreement. TOWN will not accept or compensate CONTRACTOR for incomplete goods/services.

Attachment 2

Town of Los Altos Hills Page 2 of 4 Short form
Updated 4/23/10

5. GENERAL TERMS AND CONDITIONS.
a. HOLD HARMLESS. CONTRACTOR agrees to indemnify, defend and hold harmless the TOWN, its officers, agents and employees from any and all demands, claims or liability of personal injury (including death) and property damage of any nature, caused by or arising out of the performance of CONTRACTOR under this Agreement. With regard to CONTRACTOR’S work product, CONTRACTOR agrees to indemnify, defend and hold harmless the TOWN, its officers, agents and employees from any and all demands, claims or liability of any nature to the extent caused by the negligent performance of CONTRACTOR under this Agreement.
b. INSURANCE. CONTRACTOR shall file with the TOWN a certificate of insurance before commencing any services under this Agreement as follows:
i. WORKERS COMPENSATION INSURANCE: Minimum statutory
limits.
ii. COMMERCIAL GENERAL LIABILITY AND PROPERTY DAMAGE
INSURANCE: General Liability and Property Damage Combined. $1,000,000.00 per occurrence including comprehensive form, personal injury, broad form personal damage, contractual and premises/operation, all on an occurrence basis. If an aggregate limit exists, it shall apply separately or be no less than two (2) times the occurrence limit.
iii. AUTOMOBILE INSURANCE: $1,000,000.00 per occurrence. iv. ERRORS AND OMISSIONS INSURANCE: $1,000,000.00 aggregate. v. NOTICE OF CANCELLATION: The City requires 30 days written notice of cancellation. Additionally, the notice statement on the certificate should not include the wording "endeavor to" or "but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representatives.”
vi. CERTIFICATE OF INSURANCE: Prior to commencement of services, evidence of insurance coverage must be shown by a properly executed certificate of insurance and it shall name "The Town of Los Altos Hills, its elective and appointed officers, employees, and volunteers" as additional insureds.
vii. To prevent delay and ensure compliance with this Agreement, the insurance certificates and endorsements must be submitted to:

Town of Los Altos Hills
26379 Fremont Road

Town of Los Altos Hills Page 3 of 4 Short form
Updated 4/23/10
Los Altos Hills, CA 94022
c. NON-DISCRIMINATION. No discrimination shall be made in the employment of persons under this Agreement because of the race, color, national origin, age, ancestry, religion or sex of such person.
d. INTEREST OF CONTRACTOR. It is understood and agreed that this Agreement is not a contract of employment and does not create an employer-employee relationship between the TOWN and CONTRACTOR. At all times CONTRACTOR shall be an independent contractor and CONTRACTOR is not authorized to bind the TOWN to any contracts or other obligations without the express written consent of the TOWN. In executing this Agreement, CONTRACTOR certifies that no one who has or will have any financial interest under this Agreement is an officer or employee of TOWN. e. CHANGES. This Agreement shall not be assigned or transferred without advance written consent of the TOWN. No changes or variations of any kind are authorized without the written consent of the City Manager. This Agreement may only be amended by a written instrument signed by both parties. f. TERMINATION. This Agreement may be terminated by TOWN upon seven (7) days written notice to CONTRACTOR. Monies owed for work satisfactorily completed shall be paid to CONTRACTOR within 14 days of termination. g. RECORDS. All reports, data, maps, models, charts, studies, surveys, calculations, photographs, memoranda, plans, studies, specifications, records, files, or any other documents or materials, in electronic or any other form, that are prepared or obtained pursuant to this Agreement and that relate to the matters covered hereunder shall be the property of the TOWN. CONTRACTOR hereby agrees to deliver those documents to the TOWN at any time upon demand of the TOWN. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the TOWN and are not necessarily suitable for any future or other use. Failure by CONTRACTOR to deliver these documents to the TOWN within a reasonable time period or as specified by the TOWN shall be a material breach of this Agreement. TOWN and CONTRACTOR agree that until final approval by TOWN, all data, plans, specifications, reports and other documents are preliminary drafts not kept by the TOWN in the ordinary course of business and will not be disclosed to third parties without prior written consent of both parties. All work products submitted to the TOWN pursuant to this Agreement shall be deemed a "work for hire.” Upon submission of any work for hire pursuant to this Agreement, and acceptance by the TOWN as complete, non-exclusive title to copyright of said work for hire shall transfer to the TOWN. The compensation recited in Section 4 shall be deemed to be sufficient consideration for said transfer of copyright.

CONTRACTOR retains the right to use any project records, documents and materials for marketing of their professional services.

Town of Los Altos Hills Page
4 of 4 Short form
Updated 4/23/10

Town of Los Altos Hills Page 5 of 4 Short form
Updated 4/23/10
h. ENTIRE AGREEMENT. This Agreement represents the entire agreement between the Parties. Any ambiguities or disputed terms between this Agreement and any attached Exhibits shall be interpreted according to the language in this Agreement and not the Exhibits.

6. INVOICING. Send all invoices to the contract coordinator at the address below.

This Agreement shall become effective upon its approval and execution by TOWN. In witness whereof, the parties have executed this Agreement the day and year first written above.

CONTRACT COORDINATOR and
representative for TOWN: CONTRACTOR:

Sarina Revillar
Administrative Services Director
Town of Los Altos Hills By:
26379 Fremont Road Signature Date
Los Altos Hills, CA 94022
Print name, Title
TOWN OF LOS ALTOS HILLS:

By:

Peter Pirnejad, City Manager Date

IT Managed Services
Proposal
The Town of Los Altos Hills
2022

Statement of Work
Elevate-IT® Managed Services

Eaton & Associates Background .................................................................................................................. 2 An Invitation from Eaton & Associates........................................................................................................ 3 Taking Your Organization to the Next Level ................................................................................................ 3 Statement of Work ...................................................................................................................................... 4 Section 1: Governance............................................................................................................................. 4 Section 2: Scope of Services..................................................................................................................... 4 Section 3: Service Levels.......................................................................................................................... 6 Section 3-A: Service Level Matrix............................................................................................................. 6 Section 3-B: Service Level Objectives....................................................................................................... 7 Section 3-C: Escalation Path for Issue Resolution.................................................................................... 7 Section 4: Implementation Requirements............................................................................................... 9 Section 4-A: Client Locations in Scope for On-Site Support..................................................................... 9 Section 4-B: Exclusions from Scope ....................................................................................................... 10 Section 5: Additional Services (“Project Work”).................................................................................... 11 Section 5.1: Potential Projects (“Roadmap”)......................................................................................... 11 Section 6: Total Monthly Pricing and Setup Fees................................................................................... 12 Section 7: Signatures ............................................................................................................................. 15 Appendix A: Elevate-IT® Standard Monthly Fee Schedule..................................................................... 16 Appendix B: Elevate-IT® Professional Services Fee Schedule ................................................................ 17

Statement of Work
Elevate-IT® Managed Services

Eaton & Associates Background
Thank you for considering Eaton & Associates as your team’s go-forward IT partner. We know how important it is for you to have a reliable, long-term technology partner that is proactive, strategic, consultative and cost conscious. We’d like to be that partner.

We have been serving the Bay Area since 1989, and we have extensive experience working with a wide variety of
institutions. We take immense pride in providing IT services to our customers in the educational, non-profit, and
government sectors, and in industries such as banking,
hospitality, advertising, design, bio-tech, and more.

Over the past 30-years, we have delivered a wide variety of IT services in addition to network monitoring and
maintenance (aka Managed Services). Many of our
competitors cannot boast this deep experience. Eaton &
Associates has the vision, experience, and technical expertise to understand and evaluate your organization’s needs, and provide you with the most fitting, cost effective service.

We specialize in hardware and software consulting, sales, maintenance, and training for technical and non-technical organizations. We are experts in network design,
virtualization and management, and we can provide
uninterrupted network flow for a cross-platform
environment. Our engineers and staff have certifications from leading industry partners including Cisco/Meraki,
HP/Aruba, Microsoft, VMware, Citrix, HP, Dell, Compellent, Apple, PMI and others. Additionally, we follow PMP and ITIL project management methodologies to ensure our projects produce top customer satisfaction.

We would value an opportunity to become your organization’s trusted IT partner. Thank you for your consideration.

Benefits of Partnering
with Eaton & Associates
§ Northern CA and Central Coast
Teams supporting your
organization.
§ We are your end-to-end,
comprehensive IT Services
Partner.
§ Our engineering team has an
extensive and overlapping
knowledge base.
§ We have an open-door policy, and
welcome customers to join us for
meetings and demos.
§ We can design, build, stage and
test your equipment at our facility
before installing it on premise.
§ We can handle your procurement
and inventory management.
§ We can handle your repairs in our
depot.
§ We can help you hire engineering
and project management staff for
internal placements or contracts.

Statement of Work
Elevate-IT® Managed Services

An Invitation from Eaton & Associates
Thank you for considering Eaton & Associates as your organization’s IT partner. We know how important it is for you to have a reliable, long-term technology partner that is proactive, strategic, consultative and cost conscious. We take our responsibility as that partner seriously, and are always looking for new ways to demonstrate value to our customers. If you have questions, or feedback about our programs and the ways we can support your organization, please let us know.

Warmly,
John Eaton
President
Taking Your Organization to the Next Level
Together, we can leverage technology to improve and enhance your organization and the experience of those you serve. Here are some of the many ways we can work alongside your team:

Ø Virtual CIO Services (strategic and tactical directives/initiatives and road mapping).

Ø Professional Services delivery (IT project work; Infrastructure design and build out).

Ø Proactive technology support.
o 24x7x365 Infrastructure monitoring & maintenance.
o End-user help desk services or your team.
o Employee onboarding & off-boarding flows (e.g., setting up/readying new equipment).

Ø Remote and on-site technology coaching for staff.

Ø Vendor escalation management of ISP, VoIP, MDM & software partners.

Ø Procurement & logistics (staging, warehousing services).

Ø Drone detection solutions (fully managed or standalone).

Ø IT Staffing / Recruitment services.

Statement of Work
Elevate-IT® Managed Services

Statement of Work
Parties entering into this Statement of Work (hereafter referred to as “SOW”):

Eaton & Associates (hereafter referred to as “E&A”)
20 N. Railroad Ave
San Mateo, CA 94010
Los Altos Hills (hereafter referred to as “Client”)
26379 Fremont Rd,
Los Altos Hills, CA 94022
Service Start Date: April, 15th 2022
Section 1: Governance
This SOW is an extension of – and governed by – the Master Agreement (hereafter referred to as “Agreement”) entered into between E&A and Client, and effective as of the SOW Effective Date noted above. To the degree that there are any conflicts or inconsistencies between this SOW and the Agreement, the Agreement shall take precedence over this SOW.

Section 2: Scope of Services.

E&A will provide Elevate-IT® Network Monitoring and Maintenance, and Helpdesk Services to Client – in accordance with this SOW and the Master Agreement – in the form of the services outlined below:
• 24x7x365 Infrastructure Support (Firewalls, Switches, Servers, Access Points, etc.) o 24x7x365 remote monitoring & maintenance of network appliances, including but not limited to firewalls, routers, servers, domain controllers, switches, access points. o Documented inventory of supported network appliances and networking gear (devices connected to the network via Ethernet or Wi-Fi connections). o Server Operating System and application scheduled maintenance (including security patches, bug fixes, updates, etc.)
• Optional: 24x7x365 Remote Help Desk Services for your team. o 24x7x365 end user support via chat, phone, and email with web ticketing system. o Documented inventory of all supported workstations and endpoint devices. o PC workstation patch management for Windows-based Operating Systems and certain applications (including security patches, bug fixes, updates, etc.).

Statement of Work
Elevate-IT® Managed Services

• Business Hours (7:00am-7:00pm Pacific Monday-Friday) Remote Help Desk Services. o Business hours end user support via phone and email with web ticketing system. o No additional charge for on-site visits to resolve high priority issues that cannot be resolved remotely.
o Webroot end point protection included at no additional cost (optional). o LogMeIn remote access module included at no additional cost (optional). o Documented inventory of all supported workstations and endpoint devices. o Workstation patch management for Windows-and Mac based Operating Systems and certain applications (including security patches, bug fixes, updates, etc.). • Scheduled on-site Network Maintenance and Help Desk Services for proactive network maintenance and end-user assistance with issues that should be addressed in-person. This will include 8 hours per week of routine service and 8 hours a week to support Council and Planning Department meetings on the first and third Thursdays of the month. The hours can be adjusted as needed.
• Strategic Planning and Services.
o Quarterly Business Review meetings to review:
§ Service reports with Client.
§ Hardware and software procurement and life cycle management, including end of warranty and/or end of life concerns.
§ IT roadmaps (based on Client’s budget/spend parameters). § Ad hoc projects/proposals as they arise for Client.
§ Total number of devices managed.
• Onboarding & offboarding workflow for new hires.
o All remote support included at no additional cost.
o On-site support at Client locations will be queued for on-site visit; no additional cost. • Vendor escalation management for ISP, VOIP and Printer partners, including working with them if we need their help resolving an issue reported to E&A. • Procurement and Logistics Services. Eaton & Associates is available to provide competitive quotes and procure technology equipment such as networking equipment, laptops, and other workstations as well as other equipment and accessories.

Statement of Work
Elevate-IT® Managed Services

Section 3: Service Levels
In an effort to align E&A’s Elevate-IT® service delivery offering with industry best practices – specifically the “Service Operation” standards outlined by the Information Technology Infrastructure Library (ITIL®) – E&A has developed a number of processes governed by a Service Level Matrix (“SLM”) and a set of Service Level Objectives (“SLOs”) to identify incidents (i.e., alerts and/or events), define each incident’s priority level (defined by that incident’s urgency and impact), respond to incidents in order of priority, and ultimately resolve incidents as quickly as possible, sometimes by way of escalating to increasingly higher level resources.

Section 3-A: Service Level Matrix
Incident Priority Definition
P1 – Critical Typically, an emergency incident affecting all or most users and that is halting the use of critical “line of business” applications and/or access to the network. Examples: Email server(s) not sending/receiving email, Internet connection down, database server appears offline, etc.

P2 – Important Likely affecting multiple users and impairing access to one or more critical business applications, though, not resulting in a complete stoppage of work. Examples: Slow/intermittent Internet connectivity, backup failures, imminent server crash due to lack of hard disk space, etc.

P3 – Normal Typically affecting between 1 and 5 users and generally non-critical in nature. Workarounds are likely available. Examples: User cannot print to a network printer, user’s domain account locked due to unsuccessful password entries, a user has deleted an email by accident and wants it restored, etc.

P4 – Low The problem affects no more than a few users and is typically nonbusiness impacting. Workarounds available. Examples: User has some “dead pixels” on her monitor, user application displaying persistent error messages with no impact to use of the application, occasional static heard on a particular VoIP phone, etc.

Statement of Work
Elevate-IT® Managed Services

Section 3-B: Service Level Objectives
The table below outlines the SLOs for all incidents – based on priority level (as described above) – whether they are generated by system alert/failure or by end-user request.

Action P1 – Critical P2 – Important P3 – Normal P4 – Low Availability 24x7x365 24x7x365 24x7x365 24x7x365
Acknowledgement 15 minutes 15 minutes 30 minutes 30 minutes Status Updates 30 minutes 2 hours 8 hours 12 hours
Plan of Resolution < 4 hours < 8 hours < 8 hours/NBD < 3 days Action P1 – Critical P2 – Important P3 – Normal P4 – Low Availability- NOC 24x7x365 24x7x365 24x7x365 24x7x365
Availability- Helpdesk 8:30am-5:30pm Pacific Time Monday-Friday Acknowledgement 15 minutes 15 minutes 30 minutes 30 minutes Status Updates 30 minutes 2 hours 8 hours 12 hours
Plan of Resolution < 4 hours < 8 hours < 8 hours/NBD < 3 days Section 3-C: Escalation Path for Issue Resolution
Your Account Manager at Eaton & Associates is:

Gabrielle Nelson
[email protected]
Your Technical Account Manager at Eaton & Associates is:

Dion Nelson
[email protected]

Statement of Work
Elevate-IT® Managed Services

If you need to escalate a technical, financial, procurement, or other matter at Eaton and you have been unable to reach your account manager or prefer to speak with a different individual, we are happy to make ourselves available to you for a discussion. Here are your escalation contacts.

Type Escalation Title Name Phone Technical
1st Help Desk Help Desk 415-282-1188 x999
2nd Help Desk Manager Dion Nelson 415-521-1320
3rd CTO, VP Professional Services Mohamed Shalabi 415-400-7672 4th CEO John Eaton 415-400-7661
Financial
1st Account Manager Gabrielle Nelson 415-521-1698
2nd Controller Lynda Malone 415-590-3111
3rd CFO Patricia Eaton 415-299-8641
4th CEO John Eaton 415-400-7661
Procurement
1st Help Desk Manager Dion Nelson 415-521-1320
2nd Account Manager Gabrielle Nelson 415-521-1698
3rd VP Operations James Finley 415-400-7665
4th CEO John Eaton 415-400-7661

Statement of Work
Elevate-IT® Managed Services

Section 4: Implementation Requirements
For E&A to support your organization fully, the following service implementation requirements should be met:
• Confirmation of assumptions with respect to network infrastructure (network assessment).
• Administrator access level permissions to all supported platforms (software and services).
• Administrative permissions for all supported technology partners (e.g., ISP & VoIP providers).
• Access to at least one Microsoft Active Directory Domain Controller server, if applicable. • Internal IT services, such as DNS and DHCP.

Section 4-A: Client Locations in Scope for On-Site Support E&A will provide Client the above-mentioned Services (Section 2) and optional Additional Services (Section 5) at the following Client site locations:

Location Name Site Address Site Contact Name
Town Hall 26379 Fremont Rd, Los Altos
Hills, CA 94022
Sarina Revillar
Heritage House 26379 Fremont Rd, Los Altos
Hills, CA 94022
Sarina Revillar
Corp Yard TBD TDB

Statement of Work
Elevate-IT® Managed Services

Section 4-B: Exclusions from Scope
Anything not specifically specified in “Section 2: Scope of Services” is considered “Out of Scope”.

Additionally, the following servers, devices, equipment applications and/or services are considered exclusions from scope:
• N/A.

Statement of Work
Elevate-IT® Managed Services

Section 5: Additional Services (“Project Work”)
Any support services that E&A provides at Client’s request but that are NOT in scope (see “Section 2: Scope of Services” above) may incur additional service fees. If additional fees are applicable, this constitutes “project work” and will usually require either written authorization (such as an email), or a separate SOW for more complex projects. E&A reserves the right to decide which agreement instrument to use.

Section 5.1: Potential Projects (“Roadmap”)
The following is a list of identified potential projects which will require a separate Statement of Work (SOW) to document the project scope, schedule, resources, budget, and timeline:
• Implementation of Multifactor Authentication
• Security Camera System Upgrade
• Extension of Wi-Fi Services to Heritage House
• Cloud Migration efforts for identified workloads
• E&A proposes a preapproval of a block of hours for services such as:
o Webmaster Services (Website technical support services – No content development) o Required infrastructure upgrades to support 3rd party software, such as TrackIT.

Operational support and vendor management is included.

We are here for you every step of the way.

E&A is available to perform the following types of project work for your organization. This work will entail a unique SOW and will incur an additional cost:
• Scoping and implementing new and ad-hoc network infrastructure projects (e.g., network expansion; new office build-out).
• Implementing Mobile Device Management for smart phones or tablets. • Creation of Disaster Recovery (DR) / Business Continuity Plan (BCP). (Note: once DR is in place, fail over testing will be considered “in-scope” for our ongoing services.)

Statement of Work
Elevate-IT® Managed Services

Section 6: Total Monthly Pricing and Setup Fees
Total Monthly Pricing
The following tables contain the monthly Elevate-IT® pricing breakdown and total for the work efforts and associated costs that are in scope for this SOW:

Elevate-IT® Service Module Recurring Monthly Fee
Elevate-IT® Service Monthly Fee: $12,717
In-Scope Devices and Services Count / Itemization
Servers and VMs 11 servers, Itemized @ $175 ea. per month Workstations 40 workstations, Itemized @ $75 ea. per
month
Network Devices Included
On-site Engineer – Proactive Maintenance
(We may wish to propose more time for
the first quarter)
8 hours a week (approximately 32hrs/month)
of onsite is included
On-site Engineer – Meeting Support
(This line item is subject to removal upon
client’s request)
8 hours a month (1st & 3rd Thursday of each
month to support Planning & Council
Meetings, approximately 4 hours per meeting)
On-site Engineer – Support Escalations Included
The estimated quantities of servers, workstations and network devices will be trued up monthly or quarterly to reflect the actual number of devices in scope. For example, the number of workstations will likely decrease as the staff are migrated to laptops with docking stations.

Setup Fees
The following table contains applicable 1-time “setup fees”:

Setup Tasks
Onboarding Visits & Familiarization
Assessment and Documentation of Current Systems & Network Installation of Remote Monitoring Agents on Workstations & Servers Total 1-Time Setup Fee: 50% of the first month will be focused on onboarding and documentation tasks

Statement of Work
Elevate-IT® Managed Services

Onboarding Workflow
First 30 Days First 60 Days First 100 Days
• Onboarding Visits • Leadership check-in • Leadership check-in • Familiarization with client
Systems
• Relationship review • Ongoing Status reporting
• Validation of assumptions • Action Plan and SOW progress review
• Project planning and prioritization
• E&A Resource ramp up and
engineer cross-training
• Budget development and
approval
• Relationship and workflow review
• Documentation of client network
and resources
• Review initial plans and adjust as
appropriate
• Monthly and quarterly reviews
• Documentation of support
process
During the first 30 days we will refresh the audit and review the documentation to ensure our information is current. We will then work with the Client in putting together a list of tasks to facilitate the onboarding process including setting up the monitoring of the in scope servers, network devices and end-user devices. We would also provide the end users appropriate information on how to request support and expectations around priorities, escalations and Service Level Objectives (SLOs). If possible, we would like to participate in an “all hands” or “management” type meeting to be introduced to the Client and have the opportunity to answer any questions.

Within the first 60 days we would like to prepare and present a high-level security audit and address anything deemed critical. We would also have regular check-in meetings with IT team to review progress and to address any questions or concerns during the onboarding period.

These are typically weekly then go to monthly and are in addition to our Quarterly Business Review meetings. We would anticipate doing this work in coordination with the creation of the Client’s Strategic IT Plan.

Onboarding & Discovery
Period Transition Period Business as Usual

Statement of Work
Elevate-IT® Managed Services

The key deliverables during this period are:
• Ensure we have all information required to provide timely support • Ensure the City has a stable, secure environment with minimal security exposure • That we have support agents on all the appropriate devices • There is extensive communication so that all parties know what to expect and how to request support, and escalate if required
• Eaton highly recommends using this time to launch a comprehensive MFA program

Statement of Work
Elevate-IT® Managed Services

Section 7: Signatures
Signed by and on behalf of (and with the “SOW Effective Date” noted above)… Eaton & Associates Town of Los Altos Hills
Date: Date:

Signature: Signature:

Name: Mohamed S. Shalabi Name:

Title: CTO, VP Professional Services Title:

Statement of Work
Elevate-IT® Managed Services

Appendix A: Elevate-IT® Standard Monthly Fee Schedule
“Managed” users and hardware are those users/devices covered under this SOW. Additional users/device will be added (usually) on a quarterly basis to “true up” the existing Agreement.

The standard rates below will be applied:

Units Per Unit Monthly Fee
Managed Servers $175/server
Managed Network Devices TBD
Managed Users $75/user

Statement of Work
Elevate-IT® Managed Services

Appendix B: Elevate-IT® Professional Services Fee Schedule Hourly Engineering Rates
The following rate table describes your negotiated rates for Additional Services (“Project Work”), which will be evaluated and agreed to on a per-project basis, and detailed in a separate Statement of Work, as described in Section 5:

Resource Rate
Workstation / Desktop Support Engineer $75-135/hour
Server / Network Engineer $135-235/hour
Architect/CTO $235-265/hour
Project Manager $150/hour
All services are billed at a two-hour minimum; billed in quarter hour increments thereafter.

Service Hours & Overtime Calculations
Work performed by Eaton & Associates outside the normal duration of 8 hours a day, on weekends or holidays will be billed at the appropriate overtime rates. Overtime rates are calculated as follows:

Service Type Service Delivery Rate
Regular Service 8 hours Monday - Friday Standard Hourly Rate After Hours Service 9th to 12th hours Monday – Friday
All hours Saturday, Sunday

1.5 times Hourly Rate
Extended After-Hours Service 13th and more, Holidays 2.0 times Hourly Rate

Technology Committee Special Meeting Minutes
Meeting Location: City Council Chambers 26379 Fremont Road Los Altos Hills, California Date & Time: March 16, 2022 at 5:00 p.m.

Agenda

1. Call to Order
a. Roll Call – All Present

2. Approval of Minutes from March 9, 2022 Regular Meeting

3. Appointment of Associate Members (John Swan and Andreas Bibl)

4. Review of proposals for the IT Master Plan & LAH IT Software and Hardware (List)

5. LAHCF Overview Discussion Review and discussion of the JVSV Proposal Related to Broadband (Comments from LAHCF)
Minutes:

1. Call to Order (roll call)
Members Present:
(i) Rajiv Bhateja
(ii) Scott Vanderlip
(iii) Bill Coughran (arrived at 5:06 p.m.)
(iv) Annie Ju (online)
(v) George Lee
(vi) Sasha Zborek
(vii)Ameesh Divatia (online)
Town Staff:
(i) Peter Pirnejad
(ii) Cody Einfalt (online)
(iii) Sarina Revillar (online)
(iv) Deborah Padovan

2. Approval of Minutes
a. Move: Sasha Zbrozek
b. Second: Bill Coughran
c. Vote Yes: Bhateja, Vanderlip, Coughran, Ju, Lee, Divatia, Zbrozek No: None

3. Appointment of Associate Members (John Swan)
a. Move: Sasha Zbrozek
b. Second: Bill Coughran
c. Vote Yes: Bhateja, Vanderlip, Coughran, Ju, Lee, Divatia, Zbrozek No: None

4. Appointment of Associate Members (Andreas Bibl)
a. Move: Bill Coughran
b. Second: Sasha Zbrozek
Attachment 3

c. Vote Yes: Bhateja, Vanderlip, Coughran, Ju, Lee, Divatia, Zbrozek No: None

5. IT Master plan
a. Peter provided background on why this is needed.
i. What is needed now?
ii. 3 yr plan

1. Remote work

2. Cloud transition

3. Desktop to Laptop transition

4. DFA
b. Town staff contacted Redwood City for a transition plan for contract expires June 30, 2022
i. Proposals received:

1. IT Svcs (Stepford & Eaton & Associates)

2. Standalone IT Strategic Plan (Stepford, Eaton & Associates, Reichental & Associates)
c. Dicar Networks may be an option because they service Monte Sereno - Ameesh d. Eaton Associates – Sasha feels that it is more complete and the recommendations are valid
e. Bill is asking if the JVSV plan is related – it is not f. Suggest to split the two initiatives – short term and strategic – Ameesh g. George feels that the two proposals are not the same h. Eaton has another SoW that they have submitted for IT Svcs – Rajiv i. Discussion around whether both should come from the same provider j. Jonathan Reichental Associates proposal for strategic plan – Peter i. Much more comprehensive
ii. 3 aspects of IT
iii. This committee needs to see the proposal
k. Need to get references for Eaton from other city govts l. Q for Peter: Do we have references for Reichental? – Rajiv i. Have professionally worked with Jonathan and would recommend him ii. For short term would want someone with local experience – Stepford m. Have we interviewed the IT Svcs vendors – Rajiv for Sarina i. Yes
ii. One more vendor – Zag
iii. Eaton did not have a quick reference of city govt available iv. Stepford did have a list of references including Redwood City v. Like the fact that you have redundancy with a vendor rather than an in-house individual
n. Should have a short-term contract for IT svcs - Sasha o. Recommendations: Rajiv
i. Press Eaton for references
ii. Tech depth assessment for each vendor
iii. Town staff to make the decision
iv. For the strategic plan, need to evaluate the best way to find a resource

1. Is this a less urgent need? Not quite, coming to the end of the FY, we should get a sense of budget for next year – Peter
v. Do we have an urgent need for anything now – Stan

1. Yes, we need an IT Svcs plan - Peter

2. Cybersecurity - Stan

3. Offsite backup – Rajiv

4. Need to budget for hw/sw needed for strategic plan - Peter

6. Question from public – Allan Epstein
a. Cybersecurity review – insurance broker, Sedgwick
b. John Paulson from Sedgwick offered that option
c. Sarina will follow up with him

7. JVSV proposal
a. Committee Members Vanderlip and Zbrozek recused themselves from the discussion on LAHCF and left the meeting.
b. Town being asked to participate and partner with LAHCF c. ARPA(American Rescue Plan Act) funds to LAHCF
i. $2M received ($800K to support broadband and LAHCF)
ii. Very strict in how they allocate the funds (25Mbps/5Mbps speeds for underserved areas). Question raised about whether we will be eligible d. Peter has talked with Cruz.io(similar to Next Level Fiber), City of San Bruno e. Cody has contacted 5 vendors – JVSV, Magellan advisors (do not have the bandwidth), Entrypoint (consulting firm pushing municipal fiber only), Cruz.io(did they send a proposal?), Ting Internet (has not responded) f. The Town needs the expertise to answer questions like(Peter) i. Can the Town take over the LAHCF facilities if they were to offer it? g. George
i. Happy that the Town is interested in providing broadband ii. Comcast and AT&T providing services but do not guarantee service h. Bill
i. What is the value of the rights of way?
i. Stan
i. 3 pronged attack

1. AT&T, Comcast

2. Community fiber

3. Point to point radio links
ii. Light a fire under AT&T
j. George
i. Fiber the only choice if latency is a concern

1. 15 ms with cable

2. Sub 10 ms with fiber
k. Allan Epstein
i. Committee should look at the needs of the entire community and not just those served by LAHCF. Reach out to the providers as to what their plans are to provide services in the Town

8. Adjournment

The meeting adjourned at 6:45 p.m.

Respectfully submitted by Ameesh Divatia
The minutes were approved as presented at the April 4, 2022 Technology Committee Meeting.

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: ACCEPTING THE BIENNIAL OTHER POST EMPLOYMENT BENEFIT PLAN ACTUARIAL REPORT FOR FISCAL YEAR ENDING JUNE 30, 2021 FROM: Sarina Revillar, Administrative Services Director APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Receive and accept the biennial Other Postemployment Benefit Plan actuarial report for fiscal year ending June 30, 2021.

BACKGROUND
In addition to pension benefits, the Town of Los Altos Hills offers other postemployment benefits (OPEB) to employees hired prior to October 11, 2007, and retires directly from the Town (Tier 1).

The benefit offered to eligible retirees is healthcare coverage up to the annual medical contribution the Town pays for active employees. Employees hired after October 11, 2007, and retires from the Town (Tier 2) are only eligible for reimbursement for the Public Employees’ Medical & Hospital Care Act (PEMHCA) portion of the medical premium.

For Calendar Year 2021, the Town’s maximum monthly contribution is as followed:

Employee Only $ 813.64
Employee plus one $1,545.92
Employee plus dependents $1,985.28
PEMHCA Only $ 143.00
In 2004, the Government Accounting Standards Board (GASB), the organization that sets generally accepted accounting principles (GAAP) for public sector entities, issued a statement (GASB 45) that requires public employers to produce actuarial valuations for their OPEB, and to report these liabilities in their financial reports. The Town, in compliance with GASB 45, produces actuarial valuations every two years. The last actuarial report was completed for fiscal year ending June 30, 2019.

The Town contracted MacLeod Watts to review and prepare the Town’s June 30, 2021 GASB 45 Actuarial Valuation Report. The report was completed and presented to the Town’s Finance and Investment Committee (FIC) on April 4, 2022. MacLeod Watts was also at the FIC meeting to present the report and answer any questions.

AGENDAI ITEM #9.G
S.R.

P.P.

Staff Report to City Council Page 2
OPEB Actuarial Report
April 21, 2022

DISCUSSION
The actuarial report provides the Town a projected present value of future OPEB obligations. It also provides information on unfunded liability and required contribution for the next two years.

To estimate total OPEB obligation, MacLeod Watts made certain assumptions in accordance with actuarial guidelines and best practices. These include the following:
• Active employees and retiree demographics and turnover rate • Pre-fund OPEB obligations through CERBT, the Town’s irrevocable OPEB trust • Discount rate set at 6%
• OPEB Trust assets remain in CERBT Asset Allocation Strategy 1 • Minimum increase in PEMHCA portion of the total medical insurance cost by 4.10% in the medical care component, is currently at $143 per enrollee • Medical insurance cost increase as follow for both Medicare and Non-Medicare recipients Effective
January 1
Premium
Increase
Effective
January 1
Premium
Increase
2022
2023
2024
2025-2026

5.8%

5.6%

5.4%

5.2%
2027-2028
2029-2037
2038
& later

5.1%

5.0%

4.9%

5.0%
• Maximum Town contribution will increase at the same rate as medical insurance • City council member assumed to be ineligible for retiree healthcare benefits • Mortality rate is the same as CalPERS’
OPEB Obligations to the Town create one or more of the following types of OPEB liabilities:
• Explicit subsidy refers to the Town’s contribution directly toward retiree medical and vision plan premiums.
• Implicit subsidy refers to the disparity of medical cost between active employees and retirees, where active employees are paying a premium for the same medical coverage while retirees are receiving a corresponding discount.

RESULT
The Town’s OPEB trust earned a compound annual return of approximately 11.16% over the 2- year period 2019-2021. The higher return and the Town continued contribution resulted in an improved plan funded status. As of June 30, 2021, the plan assets represent about 125.3% of the actuarial accrued liability and 102.1% of the present value of all projected benefits for current employees and retirees.

Staff Report to City Council Page 3
OPEB Actuarial Report
April 21, 2022
2022 CITY COUNCIL STRATEGIC PRIORITIES:

This report was not specifically identified as one of the Council’s priorities for 2022, but it is a form of financial transparency. The actuarial valuation report is required to be completed every 2 years and it is part of the annual audit.

ENVIRONMENTAL REVIEW:

The proposed project is exempt from California Environmental Quality Act (CEQA) pursuant to Sections 15061(b)(3) of the CEQA Guidelines.

FISCAL IMPACT
There is no fiscal impact in accepting this report.

ATTACHMENT

1. June 30, 2021 Actuarial Valuation of Other Post-Employment Benefit Programs

Portland, OR • 503.419.0466 • www.macleodwatts.com
April 7, 2022
Sarina Revillar
Administrative Services Director
Town of Los Altos Hills
26379 Fremont Road
Los Altos Hills, CA 94022
Re: June 30, 2021 Actuarial Valuation: Determination of OPEB Funding Contributions Dear Ms. Revillar:

We are pleased to enclose our report providing the results of the June 30, 2021, actuarial funding valuation of other post‐employment benefit (OPEB) liabilities for the Town of Los Altos Hills. The report’s text describes our analysis and assumptions in detail. This report is being released in draft form. Once any questions have been resolved, we will issue our final report.

The primary purposes of this report are to:

1. Value plan liabilities as of June 30, 2021, and reconcile plan liabilities to those in the Town’s prior 2019 valuation,

2. Develop Actuarially Determined Contributions through June 30, 2024 to support plan funding and to be reported in the Town’s financial statements in compliance with GASB 75, in accordance with the Town’s prefunding strategy, and

3. Provide a report to be submitted to the California Employers’ Retiree Benefit Trust (CERBT) to satisfy filing requirements for the trust.

Separate annual GASB 75 reports will be provided to assist with financial reporting requirements.

Exhibitsin the body of the reportreflect the Town’s current OPEB Funding Policy of contributing 100% or more of the ADC each year. We assumed OPEB trust assets remain in CERBT Asset Allocation Strategy 1 and that the future long‐term rate of return on trust assets will be 6.0%.

We have based our valuation on employee data and plan information provided by the Town, including the most recent bargaining agreements and PEMHCA resolutions on file with CalPERS. Please review Supporting Information Section K.subsection 2 to ensure that we have summarized the plan’s benefit provisions correctly.

We appreciate the opportunity to work on this analysis and thank you and other Town staff for their time and assistance. Please let us know if we can be of further assistance.

Sincerely,
Catherine L. MacLeod, FSA, FCA, EA, MAAA
Principal & Consulting Actuary

Town of Los Altos Hills
Actuarial Valuation of Other
Post- Employment Benefit Programs
Development of OPEB Funding Contributions
As of June 30, 2021
Submitted April 2022

Other Post‐Employment Benefit Program of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021 for Plan Funding

Table of Contents
A. Executive Summary ..................................................................................................................... 1 B. Types of OPEB Liabilities.............................................................................................................. 3 C. Valuation Process ........................................................................................................................ 4 D. Choosing the Valuation Discount Rate......................................................................................... 6 E. Development of Actuarial Value of Assets................................................................................... 7 F. Valuation Results as of June 30, 2021.......................................................................................... 8 Changes Since the Prior Valuation ........................................................................................ 11 G. OPEB Funding Policy .................................................................................................................. 12 Paying Down the UAAL ......................................................................................................... 12 Funding and Prefunding of the Implicit Subsidy.................................................................... 12 H. Development of Actuarially Determined Contributions............................................................. 14 I. Historical Information................................................................................................................ 16 J. Certification............................................................................................................................... 20 K. Supporting Information ............................................................................................................. 21 Section 1 ‐ Summary of Employee Data ................................................................................ 21 Section 2 ‐ Summary of Retiree Benefit Provisions............................................................... 24 Section 3 – Actuarial Methods and Assumptions.................................................................. 25 Addendum 1: MacLeod Watts Age Rating Methodology .................................................................. 32 Addendum 2: MacLeod Watts Mortality Projection Methodology ................................................... 33 Glossary............................................................................................................................................. 34

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
1 A. Executive Summary
This report presents the results of the June 30, 2021, actuarial valuation of the Town of Los Altos Hills (the Town) defined benefit other post‐employment benefit (OPEB) program. The primary purpose of this valuation is to assess the defined benefit OPEB liabilities of the Town and develop contribution levelsforthe funding of these benefits. OPEB information relevant to reporting in the Town’sfinancial statements will be provided in separate annual reports.

Trust assets are currently invested in the CERBT with Asset Allocation Strategy 1. Based on future Town‐specific benefit cash flows and investment return information published by CalPERS, we developed a weighted expected trust return of 6.12%, net of expected trust administrative fees.1 The Town is continuing to apply the slightly more conservative assumed return of 6.0% be applied to develop the contribution levels for this program. Please recognize that the discount rate applied is an assumption and is not a guarantee of future investment performance.

This report reflects the valuation of different types of OPEB liability, which are described in the next section. Exhibits presented in this report apply the results of this June 30, 2021, valuation to develop the Actuarially Determined Contributions (ADCs) for the Town’s use in the funding of this benefit program. These ADCs will also be reflected in the Town’sfinancial disclosures under GASB 75 for fiscal years ending June 2022 through June 2024.

The plan funded status as of June 30, 2021 is compared to the June 30, 2019 valuation below. The funded ratio has increased from 110% in 2019 to 125% in 2021. Current valuation results are compared to prior valuation results in Section F.

The Actuarially Determined Contributions for fiscal years ending June 30, 2022, June 30, 2023, and June 30, 2024, are shown below. Detailed results are shown in Section H. 1 This rate reflects updated trust return information approved by the CalPERS Board in March 2022. Under the prior CalPERS capital market assumptions, the return was projected to be 6.6%.

Valuation Date
Discount Rate 6.00% 6.00%
Actuarial Accrued Liability (AAL)
Explicit Liability $ 1,900,020       $ 1,817,154
Implicit Liability          346,181          334,679
Total AAL $ 2,246,201       $ 2,151,833
Actuarial Value of Assets         2,469,723      2,696,444 Unfunded Actuarial Accrued Liability (surplus)        (223,522)        (544,611) Funded % (ratio of Assets to AAL) 110.0% 125.3%
6/30/2019 6/30/2021
Fiscal Year End
Actuarially Determined Contribution (ADC) $ 20,926         $ 13,703         $ 7,736 Less current implicit subsidy       (33,950)       (38,773)       (24,083) Additional payments needed to meet ADC $ (13,024)        $ (25,070)        $ (16,347) Estimated Town‐paid retiree benefits (explicit)      105,665      110,017      110,154 Estimated contribution to (refund from) trust $ (118,689)      $ (135,087)      $ (126,501) 6/30/2022 6/30/2023 6/30/2024

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
2 Executive Summary
(Concluded)
The liabilitiesshown in the report reflect assumptions regarding continued future employment, rates of retirement and survival, and elections by future retireesto elect coverage for themselves and their dependents. This valuation has been prepared on a closed group basis; no provision is generally made for new employees until the valuation date following their employment.

This valuation involves a complex, long term projection, using many assumptions. Future results may be different. Future differences may arise for many reasons, including but not limited to 1) changes in the number of covered plan members; 2) unexpected changes in medical premiums or claims; 3) plan changes; 4) longer life expectancies than assumed; 5) asset returns different than assumed.

Details of our valuation process are provided on the following pages. Key terms used in the report are described throughout the report and in the Glossary. Certain actuarial terms used for plan funding have parallel terms with different names when used for GASB 75 reporting (see table at the end of Section C.). This can be confusing when comparing results from an actuarial report providing funding information compared to one prepared for accounting purposes.

The next actuarial valuation is scheduled to be prepared as of June 30, 2023. If there are any significant changes in the employee data, benefits provided or the funding policy, please contact us to discuss whether an earlier valuation is appropriate.

Important Notices
This report is intended to be used only to present the actuarial information relating to the Town’s other postemployment benefits and to provide the annual contribution information with respect to the Town’s current OPEB funding policy. The results of this report may not be appropriate for other purposes, including financial reporting purposes under GASB 75, where other assumptions, methodology and/or actuarial standards of practice may be required or more suitable. Some issues in this report may involve analysis of applicable law or regulations. The Town should consult counsel on these matters; MacLeod Watts does not practice law and does not intend anything in this report to constitute legal advice.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
3 B. Types of OPEB Liabilities
General Types of OPEB
Post‐employment benefits other than pensions (OPEB) comprise a part of compensation that employers offerforservicesreceived. The most common OPEB are medical, prescription drug, dental, vision, and/or life insurance coverage. Other OPEB may include outside group legal, long‐term care, or disability benefits outside of a pension plan. OPEB does not generally include COBRA, vacation, sick leave (unless converted to defined benefit OPEB), or other direct retiree payments.

This valuation includes these 3 different sources or types of OPEB liability. 1) An explicit subsidy: A direct employer payment toward the cost of OPEB benefits 2) An implicit subsidy: An indirect employer subsidy that occurs when the claims experience of employees and retirees are pooled when determining premiums. As is the nature of group premium rate structures, at some ages retirees may be expected to experience higher claims than the premiums they pay, where at other ages the reverse may be true. When this occurs, premiums charged for active employees typically subsidize retiree claims and are said to “implicitly subsidize” retirees. Actuarial Standards of Practice generally require an implicit subsidy of retiree premium rates be valued as an OPEB liability. 3) Other subsidies: In pooled plans that do not blend active and retiree claims experience to develop premiums, there may be some cross‐subsidy between retirees and other employers within the pool.  An Actuarial Practice note clarifies that pool subsidies between employers and retirees should be quantified and included in plan liabilities.2 Such subsidies tend to be small if an employer’s retirees reasonably match the age and gender composition of the entire pool.

OPEB Obligations of the Town
The Town provides continuation of health insurance coverage to its retiring employees, which may create one or more of the following types of OPEB liabilities:
 Explicit subsidy liabilities: The Town contributes directly toward retiree medical and vision plan premiums, as described in Supporting Information, Section K. subsection 2. Liabilities for these benefits are included in this valuation.
 Implicit subsidy liabilities:  In the CalPERS medical program, the claims experience is blended, and the same monthly premiums are charged for active employees and for pre‐Medicare retirees.

We determine the implicit rate subsidy for pre‐Medicare retirees as the projected difference between (a) retiree medical claim costs by age and (b) premiums charged for retiree coverage.

For more information see Section K. Subsection 3 and Addendum 1: MacLeod Watts Age Rating Methodology.
 Other subsidy liabilities: In the CalPERS medical program, premium rates for Medicare retirees are based only on retiree claims experience. While there is no implicit subsidy to (or from) active members, we did value a liability for an expected subsidy between Medicare retirees of other employersin the pool. Any such liability isincluded with the implicitsubsidy liability in thisreport. 2 Exceptions exist for  1) Medicare Advantage Plans, treated as if their premiums are age‐based due to the nature of the Federal subsidies paid to these plans, and 2) when employer explicit subsidies to Medicare‐covered retirees are low  and no part of any potential pool subsidy is expected to be paid by the employer.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
4 C. Valuation Process
This valuation is based on employee census data and benefits initially submitted to us by the Town and clarified in various related communications. A summary of the employee data is provided in Section K. Subsection 1 and a summary of the benefits provided under the Plan is provided in Section K. Subsection 2. While individual employee records have been reviewed to verify that they are reasonable in various respects, the data has not been audited and we have otherwise relied on the Town as to its accuracy. The valuation described below has been performed in accordance with the actuarial methods and assumptions described in Section K. Subsection 3 and is consistent with our understanding of Actuarial Standards of Practice.

Projecting Plan Benefits and Liabilities
In projecting benefit values and liabilities, we first determine an expected premium or benefitstream over each current retiree’s or active employee’s future retirement. Benefits may include both direct employer payments (explicit subsidies) and any implicit subsidies arising when retiree premiums are expected to be partially subsidized by premiums paid for active employees. The projected benefit streams reflect assumed trends in the cost of those benefits and assumptions as to the expected dates when benefits will end. We also apply important assumptions regarding the probability that each employee willremain in service to receive benefits, ifso, when they will begin, and the likelihood the employee will elect coverage for themselves and their dependents.

We then calculate a present value of these future benefit streams by discounting the value of each future expected employer payment, multiplied by the probability of payment, back to the valuation date using the discount rate. This present value is called the Present Value of Projected Benefits (PVPB) and represents the current value of all expected future plan payments to current retirees and current active employees. Note that this long‐term projection does not anticipate entry of future employees.

The next step in the valuation process splits the Present Value of Projected Benefits into 1) the value of benefits already earned by prior service of current employees and retirees and 2) the value of benefits expected to be earned by future service of current employees. Actuaries employ an “attribution method” to divide the PVPB into prior service liabilities and future service liabilities.  For this valuation we used the Entry Age Normal attribution method. This is the most common method used by public agencies for plan funding and is the only attribution method allowed for financial reporting under GASB 75.
*
Normal cost ‐‐
current year's
earned benefits
Surplus
Assets exceed AAL
Current year's amortization credit for
assets exceeding liabilities
Actuarial Value of Assets (AVA)
Value of assets set aside to pay future benefits
Valuation Date
Benefits earned by prior service Benefits earned by future service Present Value of Projected Benefit (PVPB)
Present value as of the valuation date of all future benefits expected to be paid to current and former employees Future Earned Benefits
Present value of benefits expected to be earned
by future service of current employees
*
Actuarial Accrued Liability  (AAL)
Present value as of the valuation date of all benefits deemed earned by prior service of current employees and retirees.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
5 Valuation Process
(Concluded)
We call the value of benefits deemed earned by prior service the Actuarial Accrued Liability (AAL).

Benefits deemed earned by service of active employees in a single year is called the Normal Cost of benefits. The present value of all future normal costs (PVFNC) plus the Actuarial Accrued Liability will equal the Present Value of Projected Benefits (i.e. PVPB = AAL + PVFNC).

Further discussion about these various components and a summary of the June 30, 2021, valuation results are discussed in Section F.

Some actuarial terms and GASB 75 terms may be used interchangeably; a few are in the table below.

Incorporating Plan Assets
Funds set aside for future benefits may be considered contributions to an OPEB plan only if the account established for holding the accumulated assets are separate from and independent of the control of the employer and legally protected from its creditors. Furthermore, the sole purpose of the account should be to provide benefits and/or pay expenses of the plan. These conditions generally require the establishment of a legal trust, such as the Town’s trust account with CERBT.

Trust assets and earnings accumulate so that the trust can make benefit payments to retirees or reimburse the employer for making those payments directly. The portion of the AAL (or TOL) not covered by assets is referred to as the unfunded actuarial accrued liability (or UAAL in actuarial terminology), or Net OPEB Liability (in GASB terminology). A plan is generally considered “fully funded” when the UAAL is zero, i.e., when the accumulated prior service costs and plan assets are in equilibrium.  In this plan, trust assets exceed the plan liability, resulting in a surplus or Net OPEB Asset.

Variation in Future Results
Please note that projections of future benefits over such long periods (frequently 60 or more years) which are dependent on numerous assumptions regarding future economic and demographic variables are subject to revision as future events unfold. While we believe that the assumptions and methods used in this valuation are reasonable for the purposes of this report, the costs to the Town reflected in this report may change in the future, perhaps materially. Demonstrating the range of potential future plan costs was beyond the scope of our assignment.

Actuarial Terminology GASB 75 Terminology
Present Value of Projected Benefits  (PVPB) No equivalent term Actuarial Accrued Liability  (AAL) Total OPEB Liability (TOL) Market Value of Assets (MVA) Fiduciary Net Position
Actuarial Value of Assets (AVA) No equivalent term
Unfunded Actuarial Accrued Liability (UAAL) Net OPEB Liability Normal Cost Service Cost

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
6 D. Choosing the Valuation Discount Rate
We derived the expected long‐term return on CERBT trust assets from new capital market assumptions (CMAs) and updated expected returns approved by the CalPERS Board in March 2022.

CalPERS determined its returns using a building‐block method and best‐estimate ranges of expected future real rates of return for each major asset class (expected returns, net of OPEB plan investment expense and inflation). The target allocations and best estimates of geometric real rates of return published by CalPERS for Strategy 1 for each major class are summarized in this chart.

Currently, CalPERS’ expected returns are split for years 1 through 5 and years 6 through 20.  To derive the expected return specific to the Town, we projected plan benefits in each future year. Then applying the plan specific projected benefit payments to CalPERS’ bifurcated return expectations, we determined the single equivalent long‐term rate of return equivalent to the bifurcated return expectations.  Thatsingle equivalent long‐term rate of return was 6.12%.3 The Town isless optimistic
about future returns and approved a net long term return of 6.0%, as was used in the prior valuation.

The valuation discount rate is then set equal to the long‐term return expected to be earned by the trust.  This methodology of setting the valuation discount rate equal to the long‐term trust return is consistent with the “level cost actuarial methodology” recommended by the California Actuarial Advisory Panel.   Level cost funding “… is characterized by economic assumptions based on the long term expected experience of the plan … in contrast to a ‘market based actuarial methodology’ where economic assumptions are based on current market observations…”4 3 This rate reflects updated trust return information approved by the CalPERS Board in March 2022. Under the prior CalPERS capital market assumptions, the return was projected to be 6.6%. 4 See “Actuarial Funding Policies and Practices for Public Pension and OPEB Plans”, November 2015, California Actuarial Advisory Panel.

Major Asset Classification Target
Allocation
General
Inflation
Rate
Assumption
1‐5 Year
Expected
Real Rate of
Return
Compound
Return
Yrs 1‐5
General
Inflation
Rate
Assumption
6‐20 Year
Expected
Real Rate
of Return
Compound
Return
Years 6‐20
Global Equity 49% 2.40% 4.40% 6.80% 2.30% 4.50% 6.80%
Fixed Income 23% 2.40% ‐1.50% 0.90% 2.30% 0.40% 2.70%
Global Real Estate(REITs) 20% 2.40% 3.00% 5.40% 2.30% 3.70% 6.00% Treasury Inflation Protected Securities   5% 2.40% ‐1.80% 0.60% 2.30% 0.50% 2.80% Commodities 3% 2.40% 0.80% 3.20% 2.30% 1.10% 3.40%
Volatility 12.10% weighted * 5.31% weighted * 6.31%
* preliminary estimate, pending confirmation by CalPERS.

CERBT Strategy 1 Years 1‐5 Years 6‐20

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
7 E. Development of Actuarial Value of Assets
The Town’s plan assets are invested in the California Employers’ Retiree Benefits Trust (CERBT).

CERBT reported the value of Town’s trust assets as of June 30, 2021:

Market Value of Trust Assets, 6/30/2021     $3,106,652
This value is appropriate for use in GASB 75 financial reporting (i.e. Fiduciary Net Position).

Deriving the Actuarial Value of Assets
The Town uses a smoothed asset value, the Actuarial Value of Assets (AVA), when determining Actuarially Determined Contributions.  Smoothed asset values attempt to reduce the impact ofshort‐ term asset volatility to stabilize employer contributions while maintaining a close relationship to the market value of assets.  Thissmoothing is accomplished by phasing in differences between actual and expected returns over time.  The methodology approved by the Town is to:
 Calculate both the actual investment return and the “expected” investment return. The latter based on the assumed discount rate in effect during that prior year.  Determine the difference between actual and expected investment return for the year.  Spread each year’s difference over a 5 year period; 20% is recognized immediately, followed by an additional 20% per year for each of the subsequent 4 years. At the end of the 5 year recognition period, that investment gain or loss component will be fully recognized.

The following exhibit develops the Actuarial Value of Assets as of June 30, 2021. The AVA is used to offset the Actuarial Accrued Liability (AAL) to derive the Unfunded Actuarial Accrued Liability (UAAL). * The expected return each year is based on the discount rate assumption at the beginning of each year.

For each of 5 consecutive years, if the actual investment return exactly equaled the expected return, then the market value of plan assets would be equal to the actuarial value of plan assets. a. Market Value of Assets on June 30, 2021 $          3,106,652 b. Excess of actual return, net of expenses, over expected return* during fiscal year:

Deferred Gain/(Loss):

Assumed
Rate From To Original

6.0% July 1, 2017 June 30, 2018 41,848 $            20% 8,370 $

6.0% July 1, 2018 June 30, 2019 3,105 $               40% 1,242 $

6.0% July 1, 2019 June 30, 2020 (61,829) $           60% (37,098) $

6.0% July 1, 2020 June 30, 2021 547,118 $          80% 437,694 $ c. Total Remaining Deferred Asset Gain/(Loss): $             410,208 d. 80% of Market Value of Assets $          2,485,322
e. 120% of Market Value of Assets $          3,727,982
f. $          2,696,444
Calculation of Actuarial Value of Assets as of June 30, 2021 Remaining Deferred Asset Gain
(Loss)
Actuarial Value of Assets on June 30, 2021
(a. minus c., but not less than d. or more than e.):

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
8 F. Valuation Results as of June 30, 2021
This section presents the basic results of our recalculation of the OPEB liability using the updated employee data, plan provisions and asset information provided to usfor the June 30, 2021, valuation.

We described the general process for projecting all future benefits to be paid to retirees and current employees in Section C. Expected annual benefits have been projected on the basis of the actuarial assumptions outlined in Supporting Information, Section K. subsection 3.

Lifetime healthcare benefits (described in Section K.) are paid for qualifying Town retirees. The graph below illustrates the annual Other post‐employment benefits projected to be paid on behalf of current retirees and current employees expected to retire from the Town.

Annual OPEB payments to current retirees and current employees assumed to retire from the Town in the future are expected to steadily increase from about $140,000 in 2022 to about $221,00 in 2032 before gradually declining thereafter.

The amounts shown in green reflect the expected payment by the Town toward retiree medical premiums. Those in yellow reflect the implicit subsidy benefits (i.e., the excess of pre‐Medicare retiree medical and prescription drug claims over the premiums expected to be charged during the year for retirees’ coverage) which are subsidized by active members. The projections in gray reflect increases in benefit levels if healthcare trend were 1% higher.

The first 15 years of benefit payments from the graph above are shown in tabular form on the following page.
$‐
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
2022202520282031203420372040204320462049205220552058206120642067207020732076207920822085208820912094209721002103210621092112 OPEB Payments
Projected to be Paid During Retirement to Current Employees and Retirees Explicit Payments Implicit Payments Trend +1%

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
9 Valuation Results as of June 30, 2021
(Continued)
The Explicit Subsidy benefits reflect the expected payment by the Town toward retiree medical premiums in each of the years shown. The amounts are shown separately, and in total, for current retirees and those current employees expected to retire from the Town afterthe valuation date. Note the explicit subsidy benefit amount shown for FYE 2022 is currently an estimate.

The amounts shown in the Implicit Subsidy table reflect the expected excess of pre‐Medicare retiree medical and prescription drug claims over the premiums expected to be charged during the year for retirees’ coverage for those currently retired and those expected to retire in the future. The Town is expected to provide these pre‐Medicare implicit subsidy benefits to retirees in the form of higher active employee premiums than would be charged if no retirees were pooled with the active members.

The projections shown above do not include any benefits expected to be paid on behalf of current active employees prior to retirement, nor do they include any benefitsfor potential future employees (i.e., those who might be hired in future years).

Current
Retirees
Future
Retirees Total
Current
Retirees
Future
Retirees Total
2022 103,586 $    $       2,079 $   105,665 $     32,777 $       1,173 $     33,950 $   139,615 2023 105,176                 4,841      110,017        35,707           3,066        38,773      148,790 2024 102,054                 8,100      110,154        17,941           6,142        24,083      134,237 2025 104,945              14,135      119,080        20,310        11,181        31,491      150,571 2026 101,761              20,513      122,274        11,030        17,751        28,781      151,055 2027 97,933                27,392       ‐ 125,325                       26,612        26,612      151,937 2028 99,645                34,615       ‐ 134,260                       37,987        37,987      172,247 2029 101,023              41,513       ‐ 142,536                       48,564        48,564      191,100 2030 102,021              45,693       ‐ 147,714                       49,140        49,140      196,854 2031 102,589              52,679       ‐ 155,268                       53,465        53,465      208,733 2032 102,697              59,872       ‐ 162,569                       58,694        58,694      221,263 2033 102,337              55,163       ‐ 157,500                       56,581        56,581      214,081 2034 101,463              60,086       ‐ 161,549                       46,555        46,555      208,104 2035 100,060              54,979       ‐ 155,039                       32,487        32,487      187,526 2036 98,126                58,846       ‐ 156,972                       41,047        41,047      198,019 Fiscal Year
Ending
June 30
Explicit Subsidy
Projected Annual Benefit Payments
Implicit Subsidy
Total

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
10 Valuation Results as of June 30, 2021(Continued)The following chart compares the results of the June 30, 2021, valuation of OPEB liabilities to the results of the June 30, 2019 valuation.

Discount rate
ActivesRetireesTotal Participants
OPEB Subsidy Type
Actives $ 732,009 $ 523,192 $ 1,255,201 $ 733,606 $ 469,771 $ 1,203,377 Retirees 1,455,484 149,982 1,605,466 1,332,951 105,112 1,438,063Total APVPB 2,187,493 673,174 2,860,667 2,066,557 574,883 2,641,440 Actives 444,536 196,199 640,735 484,203 229,567 713,770 Retirees 1,455,484 149,982 1,605,466 1,332,951 105,112 1,438,063Total AAL 1,900,020 346,181 2,246,201 1,817,154 334,679 2,151,833 Actuarial Value of Assets     ‐ 2,469,723 2,469,723     ‐ 2,696,444 2,696,444 Unfunded AAL (UAAL) (569,703) 346,181 (223,522) (879,290) 334,679 (544,611) 32,551 34,278 66,829 29,896 27,171 57,067
Percent of ABVBP funded 130.5% 230.8% 86.3% 136.3% 318.4% 102.1% Percent of AAL Funded 110.0% 125.3%
Reported covered payroll 43,931,639 43,931,639 2,364,255                 ‐ ‐ 2,929,250 UAAL as percent of payroll 5.6% 0.0% ‐9.5% #DIV/0! #DIV/0! ‐18.6% Actuarial Present Value of Projected Benefits
Actuarial Accrued Liability (AAL)
Normal Cost
For the next 12 months following the valuation date
Explicit Implicit Total Explicit Implicit Total

6.00% 6.00%
Number of Covered Employees
25 2014 1439 34
Valuation Date 6/30/2019 6/30/2021

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
11 Valuation Results as of June 30, 2021
(Concluded)
Changes Since the Prior Valuation
The Town’s OPEB trust earned a compound annual return of approximately 11.16% over the 2‐year period 2019‐2021. That higher return, combined with continued Town contributions and lower than expected actuarial accrued liability, resulted in an improved plan funded status. The plan is now in a surplus position with respect to the ABVBP. As of June 30, 2021, plan assets represent about 125.3% of the actuarial accrued liability and 102.1% of the present value of all projected benefits for current employees and retirees.

The chart below summarizes the primary differences between the actual and the expected UAAL.

As of June 30, 2019 Funding Valuation
@ 6.0% discount rate $     2,246,201 $     2,469,723 $       (223,522) Changes During the 2019‐2020 Period:

Service Cost 66,829                            66,829
Interest Cost 134,496                        134,496
Benefit Payments (142,864)                     ‐ (142,864) Employer Contributions 59,226                           (59,226) Investment Income 89,421                           (89,421) Trust Expenses (1,219)                               1,219 Asset smoothing adjustment 58,231                           (58,231) As of June 30, 2020 $     2,304,662 $     2,532,518 $       (227,856) Changes During the 2020‐2021 Period:

Service Cost 68,834                            68,834
Interest Cost 137,420                        137,420
Benefit Payments (166,338)                     ‐ (166,338) Employer Contributions 60,918                           (60,918) Investment Income 694,774                      (694,774) Trust Expenses (954)                                     954 Asset smoothing adjustment (424,474)                      424,474 Plan experience (gain) loss:

Premiums and estimated claims other than expected (85,853)                          (85,853) Other plan experience (44,991)                          (44,991) Assumption changes:

Change in mortality projection scale 3,519                                3,519 Change medical trend model (22,411)                          (22,411) Decrease in assumed future retiree spouse coverage (18,450)                          (18,450) Change in assumed retiree participation rate (24,559)                          (24,559) As of June 30, 2021 Funding Valuation
@ 6.0% discount rate $     2,151,833 $     2,696,444 $       (544,611) Funding Valuation Reconciliation Actuarial
Accrued
Liability
Actuarial
Value
of Assets
Unfunded
Actuarial
Accrued
Liability

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
12 G. OPEB Funding Policy
The employer’s OPEB funding policy and level of contributions to an irrevocable OPEB trust directly affects the discount rate which is used to calculate the OPEB liability to be reported in the employer’s financial statements. Prefunding (setting aside funds to accumulate in an irrevocable OPEB trust) has certain advantages, one of which is the ability to (potentially) use a higher discount rate in the determination of liabilities for GASB 75 reporting purposes. Prefunding also improves the security of benefits for current and potential future recipients and contributes to intergenerational taxpayer equity by better matching the cost of the benefits to the service years in which they are “earned” and which correspond to years in which taxpayers benefit from those services.

Paying Down the UAAL
Once an employer decides to prefund, a decision must be made about how to pay for benefits related to accumulated prior service that have not yet been funded (the UAAL5 ). This is most often, though not
always, handled through structured amortization payments. The period and method chosen for amortizing this unfunded liability can significantly affect the Actuarially Determined Contribution (ADC) or other basis selected for funding the OPEB program.

When the AAL exceeds plan assets, choosing a longer amortization period to pay off the UAAL means smaller payments, but the payments will be required for more years; plan investments will have less time to work toward helping reduce required contribution levels. When the plan is in a surplus position, the reverse is true, and a longer amortization period is often preferable.

There are several ways the amortization payment can be determined. The most common methods are calculating the amortization payment as a level dollar amount or as a level percentage of payroll. The employer might also choose to apply a shorter period when the UAAL only when it is positive, i.e., when trust assets are lower than the AAL, but opt for a longer period or to exclude amortization of a negative UAAL, when assets exceed the AAL. The entire UAAL may be amortized as one single component or may be broken into multiple componentsreflecting the timing and source of each change,such asthose arising from assumption changes, benefit changes and/or liability or investment experience.

The amortization period(s) should not exceed the number of years which would allow current trust assets plus future contributions and earnings to be sufficient to pay all future benefits and trust expenses each year. Prefunding of OPEB is optional and contributions at any level are permitted.

However, if trust sufficiency is not expected, a discount rate other than the assumed trust return will likely be required for accounting purposes.

Funding and Prefunding of the Implicit Subsidy
An implicitsubsidy liability is created when retiree medical claims are expected to exceed the premiums charged for retiree coverage. Recognition of the estimated implicit subsidy each year is handled by an accounting entry, reducing the amount paid for active employees and shifting that amount to be treated as a retiree healthcare expense/contribution (see Sample Journal Entries). The implicit subsidy is a true benefit to the retiree but can be difficult to see when medical premiums are set as a flat rate for both actives and pre‐Medicare retirees.
5 We use actuarial, rather than accounting, terminology to describe the components used to develop the ADCs.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
13 OPEB Funding Policy
(Concluded)
This might lead some employers to believe the benefit is not real or is merely an accounting construct, and thus to forgo prefunding of retiree implicit benefits.

Consider what would happen if the retiree premiums were based only on expected retiree claims experience. Almost certainly, retiree premiums would increase while premiums for active employees would go down if the active premiums no longer had to help support the higher retiree claims. Who would pay the increases in retiree premiums? Current plan documents and bargaining agreements would have to be consulted. Depending on circumstances, the increase in retiree premiums might remain the responsibility of the employer, pass entirely to the retirees, or some blending of the two.

The answer would determine whether separate retiree‐only premium rates would result in a higher or lower employer OPEB liability. In the current premium structure, with blended active and pre‐Medicare retiree premiums, the employer is clearly, though indirectly, paying the implicit retiree cost.

The prefunding decision is complex.  OPEB materiality, budgetary concerns, desire to use the full trust rate in developing the liability for GASB 75, and other factors must be weighed by each employer.  Since prefunding OPEB benefits is not required, each employer’s OPEB prefunding strategy will depend on how they balance these competing perspectives.

Development of the Actuarially Determined Contributions The Town has approved development of ADCs based on the following two components, which are then adjusted with interest to each fiscal year end:
 The amounts attributed to service performed in the current fiscal year (the normal cost) and  Amortization of the negative unfunded actuarial accrued liability (a surplus)6 over an open 30‐ year period with payments determined with level dollar payments.

Actuarially Determined Contributions developed as described above for the Town’s fiscal years ending June 30, 2022, 2023 and 2024 are shown in Section H. These ADCs include both explicit (cash benefit) and implicit subsidy benefit liabilities. Contributions credited toward meeting the ADC include:
1) direct paymentsto insurerstoward retiree premiums, to the extent notreimbursed to the Town by the trust; plus
2) each year’s implicit subsidy payment; and
3) contributions to the OPEB trust.

The Town’s OPEB Funding Policy
The Town’s current OPEB Funding Policy is to contribute 100% or more of the ADC each year. ADCs determined on this basis should provide for trust sufficiency, based on the current plan provisions and census data, provided all assumptions are exactly realized and if the Town contributes 100% or more of the ADC each year. Trust sufficiency cannot be guaranteed to a certainty, however, because of the non‐trivial risk that the assumptions used to project future benefit liabilities may not be realized. 6 See “Actuarial Funding Policies and Practicesfor Public Pension and OPEB Plans”, November 2015, California Actuarial Advisory Panel.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
14 H. Development of Actuarially Determined Contributions Actuarially Determined Contributions are developed from the results of the 2021 valuation for the Town’s fiscal years ending June 30, 2023 and June 30, 2024, as shown on the following page. We have also included the ADC for the fiscal year ending June 30, 2022, as developed from the results of the 2019 valuation.

Because the Unfunded Actuarial Accrued Liability is negative (indicating a surplus), the ongoing ADC levels are now less than each year’s normal cost. In addition, current retiree benefit payments (explicit and implicit subsidy benefits) are expected to exceed each year’s ADC. We have assumed the Town will request a reimbursement of the excess of total benefits paid over the ADC. If this occurs, the net Town OPEB contributions would exactly equal each year’s ADC. If you prefer that we illustrate a different approach in any year, please let us know.

GASB 75 Calculations: Calculations and exhibitsfor presentation in the Town’sfinancialstatements will be provided in separate reports each year.

Employees reflected in future years’ costs: The counts of active employees and retirees shown in the report reflect the status of plan membersreported to usfor the valuation. While we do not adjust these counts for future years shown in this report, the liabilities and costs developed for those years do anticipate the likelihood that some active employees may leave employment forfeiting benefits, some may retire and elect benefits and coverage forsome of the retired employees may cease. We willreflect employment status changes in the next valuation.

In addition, because this valuation has been prepared on a closed group basis, no potential future employees are included. We will incorporate any new employeesin the next valuation, in the same way we included new employees hired after June 2019 in this June 2021 valuation.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
15 Development of Actuarially Determined Contributions
(continued)
This table develops Actuarially Determined Contributions for the Town’s fiscal years ending June 30, 2022, June 30, 2023, and 2024 based on the June 2021 valuation results and funding policy described earlier.

The chart below estimates each of the 3 sources of OPEB contributions for these years. The sum of implicit and explicit benefits is projected to exceed the ADC. We have illustrated the approximate excess which the Town may request to be reimbursed each year.  If actual retiree benefit (premium) payments are different than estimated, the reimbursement from the trust should be adjusted so that total OPEB contributions equal or exceed the ADC each year.

Discount rate
Actives
Retirees
Total Participants
For fiscal year ending
2,641,440 $ 2,656,122       $ 2,662,236
Actives 713,770                  813,738         916,724 Retirees 1,438,063            1,383,892      1,321,816
Total AAL 2,151,833            2,197,630      2,238,540 Actuarial Value of Assets (projected)      2,696,444      2,866,641      3,015,429 Unfunded AAL (UAAL)            (544,611)        (669,011)        (776,889) UAAL Amortization method Level Dollar Level Dollar Level Dollar Remaining amortization period (years) 30                                      30                   30 Amortization Factor 14.5907                  14.5907         14.5907 Normal Cost $ 57,067            $ 58,779            $ 60,543 Amortization of UAAL (37,326)                    (45,852)          (53,245) Interest to fiscal year end 1,185                              776                 438 20,926           13,703             7,736

6.00%
20 14
0 6/30/2022 6/30/2023 6/30/2024
Actuarially Determined Contribution (ADC)
Total ADC (not less than $0)
Valuation date 6/30/2021
Actuarial Present Value of  Projected Benefits
Actuarial Accrued Liability (AAL)
Number of Covered Employees
1 Implicit subsidy contribution $ 33,950            $ 38,773            $ 24,083 Additional payments needed to meet ADC (13,024)                    (25,070)          (16,347) 2 Projected agency paid premiums for retirees 105,665                  110,017         110,154 3 Expected agency contribution to OPEB trust (118,689)                (135,087)        (126,501) Total Expected Employer Contributions (1+2+3) $ 20,926            $ 13,703            $ 7,736

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
16 I. Historical Information
In this section, we provide a review of key components of valuation results from 2007 through 2021.

Significant changes during this period include:
 June 30, 2011: Discount rate decreased substantially, from 7.75% to 6.0%, increasing the AAL.  June 30, 2015: First time recognition of the implicit subsidy liability relating to retiree medical coverage.
 June 30, 2019: Town contributions exceeded the ADCs in the prior two years and asset returns exceeded assumed 6%; liability decreased primarily from lower than projected medical premiums and higher than expected employee turnover.
 June 30, 2021: Plan experience and several assumption changes reduced the AAL; higher than expected asset returns increased assets more than expected. The Town’s assets are now exceeding the Present Value of Future Benefits for current plan members.

Actuarial
Valuation Date
Actuarial Value
of Assets
(a)
Actuarial
Accrued
Liability
(b)
Unfunded
Actuarial
Accrued
Liability
(b‐a)
Funded
Ratio
(a/b)
Covered
Payroll
(c)
UAAL as a
Percentage of
Covered Payroll
((b‐a)/c)
6/30/2007 $                  ‐ $      1,594,000 $      1,594,000 0.0% 1,398,000 $     114.0% 6/30/2009 345,000 $           $      1,472,000 $      1,127,000 23.4% 1,554,000 $     72.5% 6/30/2011 703,000 $           $      2,624,000 $      1,921,000 26.8% 1,512,000 $     127.1% 6/30/2013 1,213,000 $       $      2,229,000 $      1,016,000 54.4% 1,640,000 $     62.0% 6/30/2015 1,663,000 $       $      2,559,000 $          896,000 65.0% 1,571,000 $     57.0% 6/30/2017 2,189,539 $       $      2,499,244 $          309,705 87.6% 1,856,292 $     16.7% 6/30/2019 2,469,723 $       $      2,246,201 $        (223,522) 110.0% 2,435,183 $     ‐9.2% 6/30/2020 2,696,444 $       $      2,151,834 $        (544,610) 125.3% 2,929,250 $     ‐18.6% Schedule of Funding Progress

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
17 Historical Information(Continued)The chart below provides a history of the OPEB contribution levels developed in valuations prepared from 2007 through 2021.

Projected retiree benefit payments for fiscal year end 2022 and later are expected to exceed the ADC. Town should consider taking some reimbursement from the trust, for the excess of benefits paid over the ADC. 07/08 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 Amortization $125 $125 $89 $92 $151 $149 $85 $78 $79 $82 $44 $39 $(8) $(8) $(37) $(46) $(53)Normal Cost $78 $78 $65 $67 $66 $65 $40 $40 $53 $54 $59 $61 $67 $69 $57 $59 $61ADC $203 $203 $154 $159 $217 $214 $125 $118 $132 $136 $103 $100 $59 $61 $21 $14 $8 $(100)
$(50)
$‐
$50
$100$150$200$250
Actuarially Determined Contributions (amountsin thousands) AmortizationNormal Cost

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
18 Historical Information(Continued)OPEB Trust Asset History: The following two charts summarize the market value and actuarial values of OPEB trust assets accumulated since the trust was established. Information shown in years prior to 2013 was taken from prior valuation reports, shown rounded to the nearest thousand ($000).

Market values shown for year beginning in 2013 were taken from trust asset statements. For details on how actuarial value of assets is developed, please see Section E.

Asset values and estimated returns shown above are presented graphically on the following page.

FYE June 30 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Beginning Of Year $ 737,000 $ 932,369 $ 1,249,706 $ 1,598,286 $ 1,711,190 $ 1,859,551 $ 2,195,160 $ 2,368,717 $ 2,513,945 $ 2,518,632 Contributions 195,000 209,065 120,900 119,000 132,000         ‐ 136,000                  ‐ 59,226 60,918 Benefits Paid                  ‐ ‐                  ‐                  ‐                  ‐                  ‐                  ‐                  ‐ (142,864) (166,338) Expenses (1,000) (1,524) (1,889) (1,604) (1,411) (1,690) (1,977) (2,019) (2,149) (2,458) Investment Return 1,000 109,795 229,569 (4,493) 17,773 201,298 175,535 147,247 90,473 695,898 End of Year 932,369 1,249,706 1,598,286 1,711,190 1,859,551 2,195,160 2,368,717 2,513,945 2,518,632 3,106,652 Estimated Return 0.00% 11.60% 18.22% ‐0.38% 0.95% 10.44% 7.91% 6.13% 3.53% 28.43% Market Value of Assets
FYE June 30 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Beginning Of Year $ 703,000 $ 938,000 $ 1,213,000 $ 1,445,000 $ 1,663,000 $ 1,918,587 $ 2,189,539 $ 2,339,384 $ 2,469,723 $ 2,532,518 Contributions 195,000 209,000 121,000 119,000 132,000         ‐ 136,000                  ‐ 59,226 60,918 Benefit Paid                  ‐ ‐                  ‐                  ‐                  ‐                  ‐                  ‐                  ‐ (142,864) (166,338) Return 40,000 66,000 111,000 99,000 123,587 134,952 149,845 130,339 146,433 269,346 End of Year 938,000 1,213,000 1,445,000 1,663,000 1,918,587 2,189,539 2,339,384 2,469,723 2,532,518 2,696,444 Estimated Return 5.80% 7.00% 9.20% 6.80% 7.43% 7.03% 6.84% 5.57% 5.93% 10.64% Actuarial Value of Assets

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
19 Historical Information   (Concluded)
Information shown below is taken from the charts on the preceding page. For an explanation of the asset corridor please refer to Section D.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
20 J. Certification
The purpose of this report is to provide actuarial information and potential contribution levels in conformity with the Town of Los Altos Hills (the Town) funding policy for the Town’s defined benefit other post‐employment benefits. The Town is not required to contribute the contributions developed in this report and we make no representation that the Town will in fact fund the OPEB trust at any particular level.

In preparing this report we relied without audit on information provided by the Town. This information includes, but is not limited to, plan provisions, census data, and financial information. We summarized the benefits in this report and our calculations were based on our understanding of the benefits as described herein. A limited review of this data was performed, and we found the information to be reasonably consistent. The accuracy of this report is dependent on this information and if any of the information we relied on is incomplete or inaccurate, then the results reported herein will be different from any report relying on more accurate information.

We consider the actuarial assumptions and methods used herein to be individually reasonable based on reasonable expectations of plan experience and the funding methodology adopted by the Town.

Expected returns used to develop the valuation discount rate were selected by the Town based on information provided by CERBT. The results, and the assumptions on which they depend, provide an estimate of the plan’s financial condition at one point in time. Future actuarial results may be significantly different for many reasons including, but not limited to, demographic and economic assumptions differing from future plan experience, changes in plan provisions, changes in applicable law, or changes in the value of plan benefits relative to other alternatives available to plan members.

Alternative assumptions may also be reasonable; however, demonstrating the range of potential plan funding patterns based on alternative assumptions was beyond the scope of our assignment.  Results based on other assumptions or funding strategies may be materially different and present materially different funding patterns.

This report is prepared solely for the use and benefit of the Town and may not be provided to third parties without prior written consent of MacLeod Watts. Exceptions: The Town may provide copies of this report to their professional accounting and legal advisors who are subject to a duty of confidentiality, to CERBT, and to any party if required by law or court order.  No part of this report should be used asthe basisfor any representations or warrantiesin any contract or agreement without the written consent of MacLeod Watts.

The undersigned actuaries are unaware of any relationship that might impair the objectivity of this work. Nothing within this report is intended to be a substitute for qualified legal or accounting counsel.

Both actuaries are members of the American Academy of Actuaries and meet the qualification standards for rendering this opinion.

Signed: April 7, 2022
___________________________________ ___________________________________ Catherine L. MacLeod, FSA, FCA, EA, MAAA J. Kevin Watts, FSA, FCA, MAAA

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
21 K. Supporting Information
Section 1 ‐ Summary of Employee Data
Active employees: The Town reported 20 active employees in the data provided to us for the June 30, 2021, valuation. Of these, 15 were currently enrolled in the medical program while 5 employees were waiving coverage on the valuation date.

Retirees: There are also 14 retirees currently
receiving benefits. Their ages are summarized
in the chart below.

GASB 75 Summary of Counts
GASB 75 Requires the employer to report
specific plan member counts. The chart below
shows these counts as of the June 30, 2021,
valuation date:

Under 11 to 45 to 9 10 to 14 15 to 19 20 & Up
Under 25 1 1 5%
25 to 29 1 1 5%
30 to 34 4 4 20%
35 to 39 1 1 5%
40 to 44 1 1 2 10%
45 to 49 2 1 3 15%
50 to 54 1 1 1 1 4 20%
55 to 59 1 2 1 4 20%
60 to 64 0 0%
65 to 69 0 0%
70 & Up 0 0%
Total 2 11 1 4 0 2 20 100%
Percent 10% 55% 5% 20% 0% 10% 100%
Valuation June 2019
Average Attained Age for Actives   40.3 44.1
Average Years of Service 4.2 6.5
Distribution of Benefits‐Eligible Active Employees
Current
Age
Years of Service
Total Percent
June 2021
Number of active plan members 20
Number of inactive plan members
currently receiving benefits 14
Number of inactive plan members
entitled to but not receiving benefits 2
Summary of Plan Member Counts
Current Age Number Percent
Below 50 0 0%
50 to 54 0 0%
55 to 59 0 0%
60 to 64 3 21%
65 to 69 2 14%
70 to 74 5 36%
75 to 79 3 21%
80 & up 1 7%
Total 14 100%
Average Age:

On 6/30/2021 71.1
At retirement 58.4
Retirees by Age

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
22 Supporting Information
(Continued)
Section 1 ‐ Summary of Employee Data
The chart below reconciles the number of actives and retirees included in the June 30, 2019, valuation with those included in the June 30, 2021 valuation:

There has been unusually high employee turnover over the past two years. Of the 25 employees active on June 30, 2019, 8 are no longer employed; of these, 7 employees left prior to retirement and have no future vested right to retiree health benefits. The other employee retired and is currently waiving all benefits under this plan.

There were 3 new employees hired between the prior and current valuations. After offsetting for the 10 former employees, this decreased the active members to 20, a net decrease of 5. The average hire date for these new employees was about 10/24/2020, about 8 months prior to the valuation date. As such, there is little new past service liability (AAL) accumulated for these new employees as of the valuation date.

The Town’s OPEB liability varies, based on the medical plan selected, the level of coverage (i.e., single, two‐party or family) and whether or not the retiree is currently covered by Medicare. More importantly, the monthly benefit provided by the Town varies substantially for those hired prior to and those hired on/after October 11, 2007.

These charts show current medical plan elections and counts of current plan members by OPEB Tier:

Status
Covered
Actives
Waiving
Actives
Covered
Retirees
Covered
Surviving
Spouses Total
Number reported as of June 30, 2019 18 7 14 0 39
New employees 1 2 3
Separated employees (4) (3) (7)
New retiree, elected coverage 0
New retiree, waiving coverage (1) (1)
Previously covered, now waiving (1) 1 0
Previously waiving, now covered 1 (1) 0
Number reported as of June 30, 2021 15 5 14 0 34
Reconciliation of Town Plan Members Between Valuation Dates Benefit Tier Actives Retirees
Tier 1 ‐ Enhanced Benefit 2 13
Tier 2 ‐ MEC Only 18 1
Total 20 14
Coverage Level Actives
Pre‐65
Retirees
Post‐65
Retirees
Waiving 5 ‐‐
Single 6 1 5
Employee & Spoue 1 1 6
Employee & Child(ren) 1 1 ‐
Employee & Family 7 ‐‐
Total 20 3 11

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
23 Supporting Information(Continued)Section 1 ‐ Summary of Employee Data These two charts summarize historical information on active and retired plan members.

We can see that the average monthly benefit paid to current retirees has continued to decline since the June 2015 valuation. As more retirees reach Medicare age, the average cost for the Town decreases due to the lower premium rates for Medicare Supplement plans. There is now also one retiree receiving the lower PEMHCA minimum benefit as well. There are two remaining active employees who will qualify for the higher Tier 1 benefits if they retire from the Town, so the average benefit amount could increase again for a few years. However, after that, the benefit average should continue to decline as all retirees reach Medicare eligibility age and/or qualify only for the PEMHCA minimum benefit level.

Valuation Date 6/30/07 6/30/09 6/30/11 6/30/13 6/30/15 6/30/17 6/30/19 6/30/21 Hired prior to 10/11/07 18 14 9 6 4 2 2 2Hired on/after 10/11/07 ‐ 4 8 12 13 17 23 18 Total 18 18 17 18 17 19 25 20
Age on valuation date 44.4 43.2 40.6 42.3 43.1 41.4 40.3 44.1 Years of Town service 8.4 8.1 7.9 8.1 7.1 10.2 4.2 6.5
Pay per employee 79,500 $ $ 86,300 $ 89,000 $ 91,100 $ 92,400 $ 98,000 $ 112,200 $ 146,500 Total Covered Payroll $1,431,000 $1,554,000 $1,512,000 $1,640,000 $1,571,000 $1,856,000 $2,804,000 $2,929,250 ParticipantsAverages
Historical Active Statistics
Valuation Date 6/30/07 6/30/09 6/30/11 6/30/13 6/30/15 6/30/17 6/30/19 6/30/21 Hired prior to 10/11/07 7 8 11 11 12 13 13 13Hired on/after 10/11/07 ‐‐‐‐‐‐ 11 Total 7 8 11 11 12 13 14 14
Age on valuation date 64.3 65.4 65.7 65.0 66.5 67.8 69.1 71.1 Age at retirement 59.0 58.9 59.4 58.0 58.2 58.2 58.4 58.4Monthly Benefit 597 $ $ 708 $ 814 $ 743 $ 836 $ 779 $ 626 $ 622 Retiree Benefits Paid $ 36,700 $ 60,500 $ 89,658 $ 106,115 $ 97,911 $ 122,645 $ 111,476 $ 129,223 Historical Retiree Statistics
ParticipantsAverages

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
24 Supporting Information
(Continued)
Section 2 ‐ Summary of Retiree Benefit Provisions
OPEB provided: The Town reports that the only OPEB provided is retiree medical insurance.

Access to coverage: Medical coverage is currently provided through CalPERS as permitted under the Public Employees’ Medical and Hospital Care Act (PEMHCA).  This coverage requires the employee to satisfy the requirements for retirement under CalPERS: either (a) attainment of age 50 (if Classic) or 52 (if PEPRA) with 5 years of State or public agency service or (b) an approved disability retirement.

The employee must begin his or her retirement (pension) benefit within 120 days of ending their employment with the Town to be eligible to continue medical coverage through the agency and be entitled to the benefits described below. In other words, it is the timing of initiating pension benefits and not timing of enrollment in the medical program which determines whether or not a Town retiree qualifies for lifetime medical coverage and benefits.

Once eligible, coverage may be continued at the retiree’s option for his or her lifetime. If an eligible retiree is not already enrolled in the medical plan, he or she may enroll within 60 days of retirement or during any future open enrollment period. A surviving spouse and other eligible dependents may also continue coverage, though may or may not receive a benefit from the Town.

Benefits provided: As a condition of participation in the CalPERS medical program, the Town is obligated to contribute toward the cost of retiree medical coverage for the retiree’s lifetime or until coverage is discontinued. There are two benefit levels, based on the retiree’s employment date:
 Hired on or after October 11, 2007: These retirees receive the required PEMHCA minimum employer contribution. This benefit is $128 per month in 2017 and $133 per month in 2018. If a surviving spouse continues coverage and is entitled to survivor pension benefits, he or she will also receive the PEMHCA minimum benefit after the retiree’s death.  Hired prior to October 11, 2007: The Town contributes 100% of the premium for the retiree, up to but not exceeding the Kaiser Region 1 Basic Plan single premium. In addition, the Town contributes the marginal additional premiums for spouse and other covered dependents, up to but not exceeding 90% of the marginal additional Kaiser Region 1 Basic Plan premiums.

Premium rates: The 2021 CalPERS monthly medical plan ratesin Region 1 are shown in the table below.

If different rates apply where the member resides outside of this region, those rates are reflected in the valuation, but not listed here. The CalPERS administration fee is assumed to be expensed each year and has not been projected as an OPEB liability in this valuation.

Plan Ee Only Ee & 1 Ee & 2+ Ee Only Ee & 1 Ee & 2+
Anthem Traditional HMO $    1,307.86 $    2,615.72 $    3,400.44 $        383.37 $        766.74 $    1,551.46 Kaiser HMO           813.64        1,627.28        2,115.46           324.48           648.96        1,137.14 PERS Choice PPO           935.84        1,871.68        2,433.18           349.97           699.94        1,261.44 PERS Select PPO           566.67        1,133.34        1,473.34           349.97           699.94        1,039.94 PERSCare PPO        1,294.69        2,589.38        3,366.19           381.25           762.50        1,539.31 UnitedHealthcare HMO            941.17        1,882.34        2,447.04             311.56           623.12        1,187.82 Region 1 2021 Health Plan Rates
Actives and Pre‐Med Retirees     Medicare Eligible Retirees

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
25 Supporting Information
(Continued)
Section 3 – Actuarial Methods and Assumptions
The ultimate real cost of an employee benefit plan is the value of all benefits and other expenses of the plan over its lifetime. These payments depend only on the terms of the plan and the administrative arrangements adopted. The actuarial assumptions are used to estimate the cost of these benefits; the funding method spreads the expected costs on a level basis over the life of the plan.

Valuation Date       June 30, 2021
Valuation Methods
Funding Method     Entry Age Normal Cost, level percent of pay7

Asset Valuation Method   Actuarial Value of Assets
Participants Valued Only current active employees and retired participants and covered dependents are valued. No future entrants are
considered in this valuation.

Development of Age‐related
Medical Premiums Actual premium rates for retirees and their spouses were adjusted to an age‐related basis by applying medical claim cost factors developed from the data presented in the report, “Health Care Costs – From Birth to Death”, sponsored by the Society of Actuaries. A description of the use of claims cost curves can be found in MacLeod Watts’s Age Rating
Methodology provided in Addendum 2 to this report.

Monthly baseline premium costs were set equal to the active single premiumsshown in the rate chart in Section K.subsection

2. Representative age‐based claims costs for retirees derived from the dataset provided by CalPERS are shown on the
following page. Age‐based claims were applied (a) for all retirees not yet eligible for Medicare and (b) for Medicare retirees receiving benefits in excess of the PEMHCA minimum and
covered by Medicare Supplement plans.

7 The level percent of pay aspect of the funding method refers to how the normal cost is determined. Use of level percent of pay cost allocations in the funding method is separate from the determination of amortization payments.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
26 Supporting Information(Continued)Section 3 ‐ Actuarial Methods and AssumptionsMonthly age‐based medical claims at selected ages Region Medical Plan 50 53 56 59 62 65 70 75 80 85 90 95 Anthem Traditional HMO 1,150 $ $ 1,356 $ 1,575 $ 1,805 $ 2,052 $ 383 $ 383 $ 383 $ 383 $ 383 $ 383 $ 383 Kaiser HMO 829 978 1,135 1,301 1,479 324 324 324 324 324 324 324 PERS Choice PPO 831 980 1,138 1,304 1,483 299 335 364 381 376 359 356 PERS Select PPO 631 744 864 990 1,125 300 336 365 383 377 360 358 PERSCare PPO 1,009 1,189 1,381 1,583 1,800 322 361 392 411 405 387 384 UnitedHealthcare HMO 937 1,105 1,284 1,472 1,673 312 312 312 312 312 312 312 OOS PERS Choice PPO 508 599 696 798 907 299 335 364 381 376 359 356 Region Medical Plan 50 53 56 59 62 65 70 75 80 85 90 95 Anthem Traditional HMO 1,425 $ $ 1,565 $ 1,684 $ 1,820 $ 2,006 $ 383 $ 383 $ 383 $ 383 $ 383 $ 383 $ 383 Kaiser HMO 1,027 1,128 1,214 1,312 1,446 324 324 324 324 324 324 324 PERS Choice PPO 1,030 1,131 1,217 1,315 1,449 286 324 350 366 369 362 356 PERS Select PPO 782 858 924 998 1,100 287 325 352 368 371 363 357 PERSCare PPO 1,250 1,373 1,477 1,596 1,760 309 349 378 395 398 390 384 UnitedHealthcare HMO 1,162 1,276 1,373 1,484 1,636 312 312 312 312 312 312 312 OOS PERS Choice PPO 630 692 744 804 886 286 324 350 366 369 362 356 Region 1
Region 1
Expected Monthly Claims by Medical Plan for Selected Ages ‐ Male Expected Monthly Claims by Medical Plan for Selected Ages ‐ Female Non‐Medicare Retirees Medicare RetireesNon‐Medicare Retirees Medicare Retirees

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
27 Supporting Information
(Continued)
Section 3 ‐ Actuarial Methods and Assumptions
Economic Assumptions
Long Term Return on Assets   6.0%, net of plan investment and trust administrative expenses Discount Rate 6.0%
General Inflation Rate 2.5% per year
Salary Increase 3.0% per year; since benefits do not depend on salary, this is used to allocate the cost of benefits between service years and to determine the amortization component of the Actuarially Determined Contributions.

Medicare Eligibility   Absent contrary data, all individuals are assumed to be eligible for Medicare Parts A and B at age 65. Retirees over age 65 who are not currently enrolled in Medicare are assumed to remain permanently ineligible.

Healthcare Trend Monthly medical plan premiums, benefit caps and projected claims costs by age are assumed to increase once each year. The increases overthe prior year’slevels are assumed to be effective on the dates shown below:

The healthcare trend shown above was developed using the Getzen Model 2022_b published by the Society of Actuaries using the following settings:  CPI 2.5%; Real GDP Growth 1.4%; Excess Medical Growth 1.0%; Expected Health Share of GDP in 2031 19.0%; Resistance Point 20%; Year after which medical growth is limited to growth in GDP 2075.

The required PEMHCA minimum employer contribution (MEC) is assumed to increase annually by 4.0%.

Effective
January 1
Premium
Increase
Effective
January 1
Premium
Increase
2022 5.8% 2049‐2058 4.6%
2023 5.6% 2059‐2065 4.5%
2024 5.4% 2066‐2067 4.4%
2025‐2026 5.2% 2068‐2069 4.3%
2027‐2028 5.1% 2070 4.2%
2029‐2037 5.0% 2071‐2072 4.1%
2038 4.9% 2073‐2074 4.0%
2039‐2042 4.8% 2075 3.9%
2043‐2048 4.7% & later 3.9%

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
28 Supporting Information
(Continued)
Section 3 ‐ Actuarial Methods and Assumptions
Participant Election Assumptions
Participation Rate Active employees: (a) if eligible for higher (Tier 1) benefits, 100% are assumed to continue their current plan election in
retirement; (b) if eligible only for the PEMCHA minimum employer contribution, 80% of those who are currently enrolled in the medical plan and 40% of those currently waiving coverage are assumed to elect coverage in retirement.

Active employees currently waiving coverage are assumed to elect coverage in the Kaiser HMO Region 1 area rate plan at or before retirement.

Retired participants: Existing medical plan elections are assumed to be continued until retiree’s death.

Spouse Coverage   Active employees: 100% of married employees eligible for subsidized spouse coverage are assumed to elect coverage for their spouse in retirement. If eligible for the PEMHCA minimum employer contribution only, 50% of future retirees are assumed to be married and to elect coverage for their spouse in retirement. Surviving spouses are assumed to retain coverage until their death. Husbands are assumed to be 3 years older than their wives.

Retired participants: Existing elections for spouse coverage are assumed to be continued until the spouse’s death. Actual spouse ages are used, where known; if not, husbands are assumed to be 3 years older than their wives.

Dependent Coverage Current and future retirees eligible for dependent benefits: These benefits are assumed to end such coverage when the youngest currently covered dependent reaches age 26.

Demographic Assumptions
Demographic actuarial assumptions used in this valuation are based on the 2017 experience study of the California Public Employees Retirement System using data from 1997 to 2015, except for a different basis used to project future mortality improvements. Rates for selected age and service are shown below and on the following pages. The representative mortality rates were those published by CalPERS adjusted to back out 15 years of Scale MP 2016 to central year 2015.

Mortality Improvement                           MacLeod Watts Scale 2022 applied generationally from 2015 (see Addendum 2)

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
29 Supporting Information
(Continued)
Section 3 – Actuarial Methods and Assumptions
Mortality Before Retirement
(before improvement applied)
Mortality After Retirement
(before improvement applied)                            Healthy Lives                        Disabled Miscellaneous

Termination Rates
Age Male Female
15 0.00019 0.00004
20 0.00027 0.00008
30 0.00044 0.00018
40 0.00070 0.00040
50 0.00135 0.00090
60 0.00288 0.00182
70 0.00693 0.00438
80 0.01909 0.01080
CalPERS Public Agency
Miscellaneous Non‐
Industrial Deaths
Age Male Female
40 0.00070 0.00040
50 0.00431 0.00390
60 0.00758 0.00524
70 0.01490 0.01044
80 0.04577 0.03459
90 0.14801 0.11315
100 0.35053 0.30412
110 1.00000 1.00000
CalPERS Public Agency
Miscellaneous, Police &
Fire Post Retirement
Mortality
Age Male Female
20 0.00027 0.00008
30 0.00044 0.00018
40 0.00070 0.00040
50 0.01371 0.01221
60 0.02447 0.01545
70 0.03737 0.02462
80 0.07218 0.05338
90 0.16585 0.14826
CalPERS Public Agency
Disabled Miscellaneous
Post‐Retirement Mortality
Attained
Age 0 3 5 10 15 20
15 0.1812 0.0000 0.0000 0.0000 0.0000 0.0000
20 0.1742 0.1193 0.0654 0.0000 0.0000 0.0000
25 0.1674 0.1125 0.0634 0.0433 0.0000 0.0000
30 0.1606 0.1055 0.0615 0.0416 0.0262 0.0000
35 0.1537 0.0987 0.0567 0.0399 0.0252 0.0184
40 0.1468 0.0919 0.0519 0.0375 0.0243 0.0176
45 0.1400 0.0849 0.0480 0.0351 0.0216 0.0168
Years of Service
Miscellaneous Employees: Sum of Vested Terminated & Refund Rates From CalPERS Experience Study Report Issued December 2017

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
30 Supporting Information
(Continued)
Section 3 – Actuarial Methods and Assumptions
Service Retirement Rates       The following miscellaneous retirement formulas apply:

If hired prior to 1/1/2013:   2% @ 55
If hired on or after 1/1/2013, with prior PERS Service 2% @ 60 If hired on or after 1/1/2013, PEPRA:   2% @ 62
Sample rates of assumed future retirements applicable to each of these retirement benefit formulas are shown in tables below. Rates shown reflect the probability that an employee at that age and service will retire from the Town in the next 12 months.

Current Years of Service
Age 5 10 15 20 25 30
50 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000
55 0.0100 0.0190 0.0280 0.0360 0.0610 0.0960
60 0.0310 0.0510 0.0710 0.0910 0.1110 0.1380
65 0.1080 0.1410 0.1730 0.2060 0.2390 0.3000
70 0.1200 0.1560 0.1930 0.2290 0.2650 0.3330
75 & over 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000
Miscellaneous "PEPRA" Employees: 2% at 62 formula
From CalPERS Experience Study Report Issued December 2017 Current Years of Service
Age 5 10 15 20 25 30
50 0.0080 0.0130 0.0180 0.0210 0.0220 0.0330
55 0.0400 0.0400 0.0560 0.0930 0.1090 0.1540
60 0.0580 0.0750 0.0930 0.1260 0.1430 0.1690
65 0.1450 0.1730 0.2010 0.2330 0.2660 0.2890
70 0.1500 0.1710 0.1920 0.2390 0.3040 0.3300
75 & over 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000
Miscellaneous Employees: 2% at 55 formula
From CalPERS Experience Study Report Issued December 2017 Current Years of Service
Age 5 10 15 20 25 30
50 0.0200 0.0200 0.0200 0.0200 0.0200 0.1500
55 0.0190 0.0260 0.0330 0.0920 0.1360 0.1460
60 0.0700 0.0740 0.0890 0.1130 0.1370 0.1610
65 0.1400 0.1780 0.2150 0.2640 0.3210 0.3770
70 0.1400 0.1780 0.2150 0.2640 0.3210 0.3770
75 & over 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000
Miscellaneous Employees: 2% at 60 formula
From CalPERS Experience Study Report Issued December 2017

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
31 Supporting Information
(Continued)
Section 3 – Actuarial Methods and Assumptions
Disability Retirement Rates
Changes Since the Prior Valuation:

Mortality Improvement Updated from MacLeod Watts Scale 2018 (projected from base year 2015) to MacLeod Watts Scale 2022 (projected from base year 2015). See Addendum 2 for details.

Healthcare Trend Assumed healthcare trend model was updated to the Getzen Model 2021_b published by the Society of Actuaries.

Retiree Participation Rates We updated the percentage of future Tier 2 retirees (eligible for the PEMHCA MEC only) assumed to elect coverage from 70% for all to (a) 80% if the employee is currently enrolled in a CalPERS medical plan and (b) 40% if not currently enrolled. We made this change following a review of recent retiree elections in this plan and other plans with similar benefit levels.

Spouse Coverage We decreased the percentage of future retirees assumed to elect spousal coverage from 70% to 50%, based on a review of experience for recent non‐safety retiree elections.

Age Male Female
20 0.00017 0.00010
25 0.00017 0.00010
30 0.00019 0.00024
35 0.00039 0.00071
40 0.00102 0.00135
45 0.00151 0.00188
50 0.00158 0.00199
55 0.00158 0.00149
60 0.00153 0.00105
CalPERS Public Agency
Miscellaneous Disability
From Dec 2017 Experience
Study Report

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
32 Addendum 1: MacLeod Watts Age Rating Methodology
Both accounting standards (e.g., GASB 75) and actuarial standards (e.g., ASOP 6) require that expected retiree claims, not just premiums paid, be reflected in mostsituations where an actuary is calculating retiree healthcare liabilities. Unfortunately, the actuary is often required to perform these calculations without any underlying claims information. In most situations, the information is not available, but even when available, the information may not be credible due to the size of the group being considered.

Actuaries have developed methodologies to approximate healthcare claims from the premiums being paid by the plan sponsor. Any methodology requires adopting certain assumptions and using general studies of healthcare costs as substitutes when there is a lack of credible claims information for the specific plan being reviewed.

Premiums paid by sponsors are often uniform for all employee and retiree ages and genders, with a drop in premiums for those participants who are Medicare‐eligible. While the total premiums are expected to pay for the total claims for the insured group, on average, the premiums charged would not be sufficient to pay for the claims of older insureds and would be expected to exceed the expected claims of younger insureds.

An age‐rating methodology takes the typically uniform premiums paid by plan sponsors and spreads the total premium dollars to each age and gender intended to better approximate what the insurer might be expecting in actual claims costs at each age and gender.

The process of translating premiums into expected claims by age and gender generally follows the steps below.

1. Obtain or Develop Relative Medical Claims Costs by Age, Gender, or other categories that are deemed significant. For example, a claims cost curve might show that, if a 50 year old male has $1 in claims, then on average a 50 year old female has claims of $1.25, a 30 year male has claims of $0.40, and an 8 year old female has claims of $0.20. The claims cost curve provides such relative costs for each age, gender, or any other significant factor the curve might have been developed to reflect. Supporting Information, Section K. subsection 3 provides the source of information used to develop such a curve and shows sample relative claims costs developed for the plan under consideration.

2. Obtain a census of participants, their chosen medical coverage, and the premium charged for their coverage. An attempt is made to find the group of participants that the insurer considered in setting the premiums they charge for coverage. That group includes the participant and any covered spouses and children. When information about dependents is unavailable, assumptions must be made about spouse age and the number and age of children represented in the population. These assumptions are provided in Section K. subsection 3.

3. Spread the total premium paid by the group to each covered participant or dependent based on expected claims. The medical claims cost curve is used to spread the total premium dollars paid by the group to each participant reflecting their age, gender, or other relevant category. After thisstep, the actuary has a schedule of expected claims costs for each age and gender for the current premium year. It is these claims costs that are projected into the future by medical cost inflation assumptions when valuing expected future retiree claims.

The methodology described above is dependent on the data and methodologies used in whatever study might be used to develop claims cost curves for any given plan sponsor. These methodologies and assumptions can be found in the referenced paper cited as a source in the valuation report.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
33 Addendum 2: MacLeod Watts Mortality Projection Methodology Actuarial standards of practice (e.g., ASOP 35, Selection of Demographic and Other Noneconomic Assumptions for Measuring Pension Obligations, and ASOP 6, Measuring Retiree Group Benefits Obligations) indicate that the actuary should reflect the effect of mortality improvement (i.e., longer life expectancies in the future), both before and after the measurement date. The development of credible mortality improvement ratesrequires the analysis of large quantities of data over long periods of time. Because it would be extremely difficult for an individual actuary or firm to acquire and process such extensive amounts of data, actuaries typically rely on large studies published periodically by organizations such as the Society of Actuaries or Social Security Administration.

As noted in a recent actuarial study on mortality improvement, key principles in developing a credible mortality improvement model would include the following:
(1) Short‐term mortality improvement rates should be based on recent experience. (2) Long‐term mortality improvement rates should be based on expert opinion. (3) Short‐term mortality improvement rates should blend smoothly into the assumed long‐term rates over an appropriate transition period.

The MacLeod Watts Scale 2022 was developed from a blending of data and methodologies found in two published sources: (1) the Society of Actuaries Mortality Improvement Scale MP‐2021 Report, published in October 2021 and (2) the demographic assumptions used in the 2021 Annual Report of the Board of Trustees of the Federal Old‐Age and Survivors Insurance and Federal Disability Insurance Trust Funds, published August 2021.

MacLeod Watts Scale 2022 is a two‐dimensional mortality improvement scale reflecting both age and year of mortality improvement.  The underlying base scale is Scale MP‐2021 which has two segments – (1) historical improvement rates for the period 1951‐2017 and (2) an estimate of future mortality improvement for years 2018‐2020 using the Scale MP‐2021 methodology but utilizing the assumptions used in generating Scale MP‐2015.   The MacLeod Watts scale then transitions from the 2020 improvement rate to the Social Security Administration (SSA) Intermediate Scale linearly over the 10‐ year period 2021‐2030.   After this transition period, the MacLeod Watts Scale uses the constant mortality improvement rate from the SSA Intermediate Scale from 2030‐2044. The SSA’s Intermediate Scale has a final step in 2045 which is reflected in the MacLeod Watts scale for years 2045 and thereafter.  Over the ages 95 to 117, the age 95 improvement rate is graded to zero.

Scale MP‐2021 can be found at the SOA website and the projection scales used in the 2021 Social Security Administrations Trustees Report at the Social Security Administration website.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
34 Glossary
Actuarial Accrued Liability (AAL) – Total dollars required to fund all plan benefits attributable to service rendered as of the valuation date for current plan members and vested prior plan members; see “Actuarial Present Value”.

Actuarial Funding Method – A procedure which calculates the actuarial present value of plan benefits and expenses, and allocates these expenses to time periods, typically as a normal cost and an actuarial accrued liability.

Actuarial Present Value Projected Benefits (APVPB) – The amount presently required to fund all projected plan benefits in the future, it is determined by discounting the future payments by an appropriate interest rate and the probability of nonpayment.

Actuarial Value of Assets – The actuarial value of assets is the value used by the actuary to offset the AAL for valuation purposes. The actuarial value of assets may be the market value of assets or may be based on a methodology designed to smooth out short‐term fluctuations in market values.

Actuarially Determined Contribution (ADC) – A contribution level determined by an actuary that is sufficient, assuming all assumptions are realized, to (1) fully fund new employee’s expected benefits by their expected retirement date(s), (2) pay off over a sufficiently short period any unfunded liabilities current as of the date funding commences, and (3) adequately fund the trustso that the trust can meet benefit payment obligations.

CalPERS – Many state governments maintain a public employee retirement system; CalPERS is the California program, covering all eligible state government employees as well as other employees of other governments within California who have elected to join the system.

Defined Benefit (DB) – A pension or OPEB plan which defines the monthly income or other benefit which the plan member receives at or after separation from employment.

Defined Contribution (DC) – A pension or OPEB plan which establishes an individual account for each member and specifies how contributions to each active member’s account are determined and the terms of distribution of the account after separation from employment.

Discount Rate – The rate of return that could be earned on an investment in the financial markets; typically, the discount rate is based on the expected long‐term yield of investments used to finance the benefits. The discount rate is used to adjust the dollar value of future projected benefits into a present value equivalent as of the valuation date.

Entry Age Normal Cost (EANC) – An actuarial funding method where, for each individual, the actuarial present value of benefits is levelly spread over the individual’s projected earnings or service from entry age to the last age at which benefits can be paid.

Excise Tax – The Affordable Care Act created a 40% excise tax on the value of “employer sponsored coverage” that exceeds certain thresholds. The tax was repealed in December 2019.

Explicit Subsidy – The projected dollar value of future retiree healthcare costs expected to be paid directly by the Employer, e.g., the Employer’s payment of all or a portion of the monthly retiree premium billed by the insurer for the retiree’s coverage.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
35 Glossary   (Continued)
Funding Policy Contribution (FPC)– The contributions determined in accordance with the entity’s adopted funding policy. The FPC may range from “pay‐go” (i.e. only paying benefits as they come due), to prefunding all projected liabilities expected for current and former employees. An entity’s FPC may be: (1) less than the Actuarially Determined Contribution (ADC) indicating that the entity has chosen not to prefund part of the liabilities reflected in the ADC; (2) more than the ADC indicating that the entity wants to prefund benefits faster than a typical ADC; or (3) based on contributions equal to 100% of an ADC, indicating that the entity desires to prefund over the period indicated by the ADC.

Government Accounting Standards Board (GASB) – A private, not‐for‐profit organization which develops generally accepted accounting principles (GAAP) for U.S. state and local governments; like FASB, it is part of the Financial Accounting Foundation (FAF), which funds each organization and selects the members of each board
Health Care Trend – The assumed rate(s) of increase in future dollar values of premiums or healthcare claims, attributable to increasesin the cost of healthcare; contributing factorsinclude medical inflation, frequency or extent of utilization of services and technological developments.

Implicit Subsidy – The projected difference between future retiree claims and the premiums to be charged for retiree coverage; this difference results when the claims experience of active and retired employees are pooled together and a ‘blended’ group premium rate is charged for both actives and retirees; a portion of the active employee premiums subsidizes the retiree premiums.

Non‐Industrial Disability (NID) – Unless specifically contracted by the individual Agency, PAM employees are assumed to be subject to only non‐industrial disabilities.

Normal Cost – Total dollar value of benefits expected to be earned by plan members in the current year, as assigned by the chosen funding method; also called current service cost.

Other Post‐Employment Benefits (OPEB) – Post‐employment benefits other than pension benefits, most commonly healthcare benefits but also including life insurance if provided separately from a pension plan.

Pay‐As‐You‐Go (PAYGO) – Contributions to the plan are made at about the same time and in about the same amount as benefit payments and expenses coming due.

PEMHCA – The Public Employees’ Medical and Hospital Care Act, established by the California legislature in 1961, provides community‐rated medical benefits to participating public employers.

Among its extensive regulations are the requirements that a contracting Agency contribute toward medical insurance premiums for retired annuitants and that a contracting Agency file a resolution, adopted by its governing body, with the CalPERS Board establishing any new contribution.

Plan Assets – The value of cash and investments considered as ‘belonging’ to the plan and permitted to be used to offset the AAL for valuation purposes. To be considered a plan asset, (a) the assets should be segregated and restricted in a trust or similar arrangement, (b) employer contributions to the trust should be irrevocable, (c) the assets should be dedicated to providing benefits to retirees and their beneficiaries, and (d) that the assets should be legally protected from creditors of the employer and/or plan administrator. See also “Actuarial Value of Assets”.

Other Post‐Employment Benefit Programs of the Town of Los Altos Hills Actuarial Valuation as of June 30, 2021
36 Glossary   (Concluded)
Public Agency Miscellaneous (PAM) – Non‐safety public employees.

Select and Ultimate – Actuarial assumptions which contemplate rates which differ by year initially (the select period) and then stabilize at a constant long‐term rate (the ultimate rate).

Unfunded Actuarial Accrued Liability (UAAL) – The excess of the actuarial accrued liability over the actuarial value of plan assets.

Vesting – As defined by the plan, requirements which when met make a plan benefit nonforfeitable on separation of service before retirement eligibility.

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: RESOLUTION APPROVING THE EMPLOYEE ENHANCEMENTS TO

ATTRACT AND RETAIN TOWN STAFF AND RESOLUTION
APPROVING THE FY2021-22 SALARY SCHEDULE
FROM: Sarina Revillar, Administrative Services Director APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

1. Approve Resolution for the Employee Enhancements to Attract and Retain Town Staff.

2. Approve Resolution for the FY2021-22 Salary Schedule.

BACKGROUND:

In May 2021, Nadine Levine from MRG conducted an Employee Survey on behalf of the City Council. The conclusion of the report showed a very high participation from the employees and demonstrated their interest in being invited by the City Council to express their thoughts and feelings about employment with the Town. Compensation was mentioned as one of the areas that needed consideration. Later in November of 2021 staff did another employee survey and asked similar questions and again the results pointed to total comp being an area of concern. On January 26, 2022, the City Manager conducted an All Staff meeting and Nadine Levine shared the results of the employee surveys with the staff. During the Council priority setting session on January 25th, the City Council identified employee retention as one of their 2022 priorities.

Increasingly staff has come to realize that there has been a growing concern among cities that resignations are on the rise. This phenomenon is sector agnostic and has been termed, “the great resignation.” Upon further exploration staff has come to realize that total compensation is not the single determinant in employee retention, provided wages and benefits are comparable. Over the last several months staff has worked with Koff & Associates, MacLeod Watts, the FIC and in closed session with the Council to ensure that the total compensation is not a deterrent to attracting or retaining employees. In addition to total compensation, the city manager is taking considerable measure to improve corporate culture, communication, and development.

On June 17, 2021, a Total Compensation Study was completed by Koff & Associates. The results of the study showed the following:
 The Town’s base salaries, overall, in comparison to the market median are 2.6% below the market.
 The Town’s total compensation, overall, in comparison to the market median is AGENDA ITEM #9.H
S.R.

P.P.

Staff Report to City Council Page 2
Employee Enhancements
April 21, 2022

4.0% below the market.
 The Town’s benefits package puts the Town in a slightly less competitive position compared to the market and, therefore, salary decisions should be based on base salary market results. Furthermore, we recommend that the Town evaluate making potential changes to the benefits package to be more competitive in terms of total compensation.
 K&A considers a classification falling within 5% of the median to be competitive.

The City Council did not approve a salary schedule for FY2021-22 but did include a 4% merit contingency in the FY2021-22 Operating Budget. The City Council directed the staff to bring back a recommendation for total compensation after the new City Manager was hired.

The FIC approved a subcommittee of Medha Rishi to work with the staff on the Employee Enhancements. After thorough analysis, review of the Total Compensation Study, and review of the OPEB Actuary analysis of the health benefit enhancement, staff and Medha Rishi concluded to present four (4) Employee Enhancements to the FIC Meeting held on January 11, 2022.

DISCUSSION:

During 2021 there was approximately 25% employee turnover for a variety of reasons. In order to retain and attract staff the salary and benefits needed to be reevaluated after the review of the Total Compensation Study. Staff is recommending the four following employee enhancements:

1. Update the FY2020-21 Salary Schedule to reflect Koff & Associates placement recommendations and include CPI increase of 3.8% (April 2021) for the FY2021-22 Salary Schedule.
a. The salary schedule will be reviewed at time of budget cycle and updated based on the April CPI until another Total Compensation Study is conducted in 4-5 years.

2. Increase the vacation maximum accrual to 280 hours (7 weeks) for each vacation accrual tier. Increasing the vacation maximum from 240 hours (6 weeks). The Town will allow the employees to cash out 1 week of vacation at the end of the year to reduce the Town’s liability.

3. Retiree Health for the Tier 2 employees hired after October 11, 2007, until the age 65 years of age with the following qualifiers:
a. Must work with the Town for at least 5 years.
b. Must retire from the Town. Benefit will be effective at age 60.

Staff Report to City Council Page 3
Employee Enhancements
April 21, 2022
c. Vesting schedule (see below) would be implemented based on CalPERS service and would determine the Town’s contribution towards the retiree’s health premium.
10 years 50%
11-12 years 60%
13-14 years 70%
15-17 years 85%
18-20 years 90%
20 + years 100%
Staff asked MacLeod Watts, OPEB Actuary, to project the costs of the assumptions we have listed. Currently, the Town is overfunded approximately 25%. Based on the OPEB Trust fund balance of $3,106,652 as of 6/30/21. There isn’t any additional cost that the Town would have to pay into the OPEB Trust fund. We received higher assets than expected in the Trust Fund and the actuary anticipates similar increase in the Actuarially Determined Contributions (ADC) for future employees not yet hired.

4. 401 (A) Plan- Defined Contribution. Staff is recommending this enhancement to try to bridge the gap between PEPRA maximum salary and current salary.

Currently, the PEPRA salary maximum is approximately $161,969. The staff is recommending the Town contributes 4% of the employee’s annual salary with a cap of the PEPRA salary maximum and based on the employee enrolled in the 457 Plan (flexible deferred compensation plan). The estimated cost for 2022 will be approximately $72,827 and will be dependent on the employees who are enrolled in the 457 Plan.
2022 CITY COUNCIL STRATEGIC PRIORITIES
Improving employee retention is identified as one of the Council’s priorities for 2022.

Implementing employee enhancements will assist in recruiting and maintaining good staff.

ENVIRONMENTAL REVIEW
The proposed project is exempt from California Environmental Quality Act (CEQA) pursuant to Sections 15061(b)(3) of the CEQA Guidelines.

FISCAL IMPACT:

The 401(A) Employer match up to 4% of the PEPRA salary maximum is estimated at $72,827. The impact on the salary schedule will be dependent on each employee’s performance evaluation and there is no fiscal impact on increasing the maximum vacation accrual balance.

Staff Report to City Council Page 4
Employee Enhancements
April 21, 2022

ATTACHMENTS

1. Resolution for Employee Enhancements

2. Resolution for FY2021-22 Salary Schedule

Resolution -22 Page 1
RESOLUTION -22

A RESOLUTION OF THE CITY COUNCIL OF THE TOWN OF

LOS ALTOS HILLS APPROVING THE EMPLOYEE

ENHANCEMENTS TO ATTRACT AND RETAIN TOWN
STAFF
WHEREAS, the Town of Los Altos Hills hired Nadine Levine from MRG to conduct an Employee Survey on behalf of City Council in May 2021; and
WHEREAS, On January 26, 2022 the City Manager conducted an All Staff Meeting and Nadine Levine shared the results of the employee survey; and
WHEREAS, Koff and Associates completed a Total Compensation Study and presented the results with the City Council on June 17, 2021; and
WHEREAS, According to GC 7507 as it relates to Other Post Employment Benefits, the Town acknowledges the current and future costs of the changes in benefits and the effective adoption date set to July 1, 2022; and
NOW THEREFORE, the City Council of the Town of Los Altos Hills hereby adopts the recommendations as outlined in Exhibit A and has fully complied with any and all applicable provisions of Government Code GC 7507 in electing the benefits set forth above pertaining to the OPEB benefit changes.

The above and foregoing Resolution was passed and adopted by the City Council of the Town of Los Altos Hills at a regular meeting held on the 21st day of April 2022 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

BY: _______________________________
George Tyson, Mayor
ATTEST:
______________________________
Deborah Padovan, City Clerk
Attachment 1

Resolution -22 Page 2
Exhibit A – Employee Enhancements

1. Increase the vacation maximum accrual from 240 hours annually to 280 hours for each vacation accrual tier.

2. Retiree Health for the Tier 2 employees hired after October 11, 2007, until the age 65 years of age with the following qualifiers:
a. Must work with the Town with at least 5 years.
b. Must retire from the Town. Benefit will be effective at age 60. c. Vesting schedule (see below) would be implemented based on CalPERS service and would determine the Town’s contribution towards the retiree’s health premium. 10 years 50%
11-12 years 60%
13-14 years 70%
15-17 years 85%
18-20 years 90%
20 + years 100%

3. 401 (A) Plan- Defined Contribution. The staff is recommending the Town contributes 4% of the employee’s annual salary with a cap of the PEPRA salary maximum, currently at $161,969 and based on the employee enrolled in the 457 Plan (flexible deferred compensation plan). The Town will match up to 4% of what the employee is contributing.

Resolution -22 Page 1
RESOLUTION -22

A RESOLUTION OF THE CITY COUNCIL OF THE TOWN

OF LOS ALTOS HILLS APPROVING THE FISCAL YEAR
2021-22 SALARY SCHEDULE
WHEREAS, the City Council of the Town of Los Altos Hills has received and completed its review of the proposed 2021-22 Budget; and
WHEREAS, the California Public Employees Retirement System (CalPERS) requires that the governing board of each participating agency approve the agency’s salary schedule on an annual basis; and
WHEREAS, the City Council of the Town of Los Altos Hills now desires to adjust the salary ranges based on the Koff & Associates Total Compensation Study effective July 1, 2021; and WHEREAS, Attachment 1 contains the top and bottom of the range for each position except the City Manager’s, for which the salary is set by contract; and WHEREAS, this is not a cost of living adjustment and pay increases will continue to be determined through the performance review process;
NOW THEREFORE, the City Council of the Town of Los Altos Hills does hereby resolve to approve the 2021-22 Salary Schedule.

The above and foregoing Resolution was passed and adopted by the City Council of the Town of Los Altos Hills at a regular meeting held on 21st of April 2022 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

By:

George Tyson, Mayor
ATTEST:

Deborah L. Padovan, City Clerk
Attachment 2

Minimum Maximum Minimum Maximum
City Manager-Set by Contract $ 236,000 $ 236,000
Management Analyst II $ 99,192 $ 133,910 $ 47.69 $ 64.38 Management Analyst $ 85,533 $ 115,470 $ 41.12 $ 55.51
Senior City Clerk $ 126,974 $ 171,416
City Clerk $ 109,490 $ 147,811
Admin Clerk/Technician $ 68,489 $ 92,460 $ 32.93 $ 44.45 Administrative Services Director $ 166,602 $ 224,913
Finance Manager $ 117,908 $ 159,176
Senior Accountant $ 109,490 $ 147,811
Accountant $ 89,864 $ 121,315 $ 43.20 $ 58.32
Accounting Technician $ 81,411 $ 109,906 $ 39.14 $ 52.84 Accounting Office Assistant $ 70,201 $ 94,771 $ 33.75 $ 45.56 Planning Director $ 166,602 $ 224,913
Principal Planner $ 120,856 $ 163,156
Senior Planner $ 104,214 $ 140,689
Associate Planner $ 89,864 $ 121,315 $ 43.20 $ 58.32
Assistant Planner $ 77,489 $ 104,610 $ 37.25 $ 50.29
Admin Clerk/Technician $ 68,489 $ 92,460 $ 32.93 $ 44.45 Building Official $ 109,490 $ 147,811
Senior Building Inspector $ 89,864 $ 121,315 $ 43.20 $ 58.32 Building Technician $ 71,956 $ 97,141 $ 34.59 $ 46.70
Building Inspector $ 77,489 $ 104,610 $ 37.25 $ 50.29
Public Works Director & City Engineer $ 166,602 $ 224,913 Utility Engineering Manager $ 126,974 $ 171,416
Senior Civil Engineer $ 115,033 $ 155,294
Associate Engineer $ 99,192 $ 133,910 $ 47.69 $ 64.38
Assistant Engineer $ 85,533 $ 115,470 $ 41.12 $ 55.51
Senior Maintenance Superintendent $ 120,856 $ 163,156
Maintenance Superintendent $ 104,214 $ 140,689
Maintenance Worker III $ 70,201 $ 94,771 $ 33.75 $ 45.56 Maintenance Worker II $ 60,534 $ 81,722 $ 29.10 $ 39.29 Maintenance Worker I $ 52,199 $ 70,468 $ 25.10 $ 33.88
Senior Community Services Supervisor $ 99,192 $ 133,910 Community Services Supervisor $ 85,533 $ 115,470
Recreation Specialist $ 54,841 $ 74,035 $ 26.37 $ 35.59 salary
salary
Proposed FY21-22 Salary Schedule
Annual Range Hourly Range
salary
salary
salary
salary
salar y
salary
salary
salary
salar y
salary
salary
salar y
salary
salary
salary
Proposed 4/21/22
Attachment 1 to Resolution

M E M O R A N D U M
To: Town Council cc: Deborah Padovan, Peter Prinejad, Sarina Revillar From: Roddy Sloss Roddy Sloss
Subject: Town Council meeting April 21, 2022, Agenda Item 9h, Staff Report to Council Date: April 21, 2022
This is to address the subject Staff Report to Council. Please note that even though I am a FIC member, the FIC as a matter of policy (and Charter) does not consider or vote on employee compensation including employee benefits. In my case, there is a considerable amount of additional background information needed to make this evaluation.

Regarding the subject staff report concerning a supplemental retiree health benefit to eligible staff, I have four comments:

First, the point is made that there is no (out of pocket) cost to the Town for this benefit as the Plan is overfunded. That is not correct. The overfunded sum is a) recoverable by offsetting it against future contributions, b) should the overfunding be present when the Plan terminates, the overfunded remaining balance will be returned to the Town, and c) the overfunded balance is invested returning many times more than would be earned if the Town invested the funds as simply cash more than current needs. In other words, it is more expensive to fund this benefit in the way proposed than using the Town’s bank account to fund it.

The second point, made by another member of the FIC, is that the benefit is a disincentive as the only way it can be realized by an employee is by terminating employment with the Town, contrary to the retention goal.

The third point is the original OPEB benefit initiated in 2007 had to be prospectively corrected in 2008 because it allowed a retiring employee entitled to the benefit to work at another agency while the Town paid for his/her healthcare benefits. This proposal has a similar provision in that the retiring employee is not required to retire, he/she is only required to retire from the Town.

The fourth point is that the estimated cost of this benefit is not quantified. It should be before asking you to conclude.

Thank you for your consideration.

Supplemental No. 1
AGENDA ITEM #9.H
Distributed 4/21/22

From: allan epstein
To: George Tyson; Linda Swan; Stan Mok; Lisa Schmidt; Kavita Tankha Cc: Deborah Padovan
Subject: AGENDA ITEM #9.H RESOLUTION APPROVING THE EMPLOYEE ENHANCEMENTS TO ATTRACT AND RETAIN

TOWN STAFF
Date: Thursday, April 21, 2022 3:16:01 PM
Mayor Tyson, Council Members,
SUBJECT: AGENDA ITEM #9.H: RESOLUTION APPROVING THE EMPLOYEE ENHANCEMENTS TO ATTRACT AND RETAIN TOWN STAFF AND RESOLUTION APPROVING THE FY2021-22 SALARY

SCHEDULE
The Council should pull Agenda Item 9 H from the Consent Calendar and discuss the facts supporting the recommendations. For the reasons outlined below, the justification and benefit to the Town of the proposed new Retirement Healthcare Benefit and four percent 401a Matching Contribution are insufficient to support adoption as proposed. The programs are also not clearly defined.

Town provides competitive salaries
The Koff & Associates study concluded that the Town’s salary ranges are competitive but that certain position’s salary ranges required adjustment. No information has shown that the 25% per year turnover under the prior City Manager was due to lack of competitive compensation. Town has successfully replaced three quarters of its staff in the last few years, which affirms that its compensation structure is competitive. Once the identified noncompetitive salary ranges are adjusted, an annual cost of living adjustment in the structure should be effective.

FIC did not approve
Staff report implies that the FIC approved this compensation proposal. The FIC received two presentations on the matter but was not asked and did not approve the recommendations. FIC members raised questions as to need, justification and support for parts of the recommendation.

Retiree Healthcare Benefit.

The proposal includes a new Retiree Healthcare Benefit. Staff has not provided any support or reasonable justification for this enhancement. It is unlikely to promote retention or recruitment, is not required by competitive employment conditions, is complicated, and could be expensive.

The Koff & Associates compensation study did not recommend this proposal. Offering enhanced retiree healthcare benefits fell out of favor many years ago, and few if any municipalities offer these enhanced benefits. Town eliminated its enhanced benefits in 2007. Town provides PEMCHA retiree health benefits like all other agencies. Staff report did not show that any of the 12 comparable agencies used in the Koff & Associates competitive salary study offer an additional retiree healthcare benefit, so there is no competitive justification to offer this benefit.

The staff report does not estimate the cost of providing this benefit, implying it is free since the Town’s OPEB plan Is currently overfunded. This is equivalent to suggesting that buying something costs nothing because one has money in the bank. On an actuarial basis the plan is currently over funded, but this is based on a series of assumptions about future earnings, life spans, turnover, number of employees, future healthcare cost, and inflation, none of which are fixed. Most of the current estimate of overfunding is due to changes in assumptions since the last evaluation and exceptional stock market performance in 2021. The Council should be informed of the cost of adding this benefit.

More importantly, the structure of the proposed benefit does not promote retention, it incentivizes retirement at age 60. Under the proposed plan a fully vested employee who retires at 60 would receive an estimated $55,000 payment over five years. Each year the employee delayed retirement the benefit decreases by approximately $10,000, until at age 65 the benefit has zero value. How does this promote retention? It is unclear how this proposed new benefit integrates with the required PEMCHA minimum healthcare benefit retirees currently will receive. Nothing prevents the “retired” employee from working other jobs and turning down healthcare benefits to receive additional compensation with a new employer in lieu of healthcare benefits. Should this enhanced Supplemental No. 2
AGENDA ITEM #9.H
Distributed 4/21/22

healthcare benefit be adopted by the Town, it should terminate when an employee accepts another job that offers employees healthcare benefits.
401A Plan
Government employees enjoy defined benefit pension plans, something almost eliminated in the private sector. These plans guarantee retirement income without financial risk, and after 25 years of service typically pay more than 50% of the employee’s final three-year’s average annual salary, annually, for life. In addition, the Town already provides a 457 plan which allows employees to contribute up to $20,500 of pretax compensation to be invested, much like a 401k. The proposal recommends establishing a 401a plan in addition to the 457 plan and require the Town to match the employee’s contribution in this plan up to 4% of salary. It establishes the need for this program on the statement, “to try to bridge the gap between PEPRA maximum salary and current salary.

Currently, the PEPRA salary maximum is approximately $161,969.” Excluding the City Manager, who already has a 401a plan, there are only four Town employees that exceed the PEPRA limit. What gap are they “trying to bridge”? How is this a justification for offering a 401a plan and 4% match for all employees? No information was provided on how the cost estimate was prepared.

The Koff & Associates study reported that most cities offered 457 plans, and a few offered small matches or matches to select senior employees, but none offered all employees a 4% match. Only two cities offered 401a plans, primarily to city executives, and none were at the 4% level.

Competition does not support the need to add a 401a plan as proposed. It is unclear if the 4% match applies to all dollars contributed by employees or only those contributed over the $20,500 limit.

Note on Koff & Assoc. Compensation Study
The section of the Koff & Assoc. report on page nine summarizing the competitiveness of retirement benefits is misleading. More accurate and informative information is provided below. a. “Furthermore, there are seven comparators that provide a direct or matching contribution to a deferred compensation plan (such as a 457 plan), in addition to PERS.” Actually, the number seven only applies to the City Manager’s position.
b. “… for a Director-level classification, there are five comparators that provide a direct or matching contribution averaging $413 per month.” Actually, there were four comparators for the Administrative Services Director and five for the Panning Director and Public Works Director, with the average matching contributions being $283, $397 and $413 per month, respectively. Seven of twelve comparators (58%) provide no deferred compensation matching contribution, and of the five that do the match varies from $250, to 1-2% of salary, and in the case of Portola Valley, 5% of salary.

Hope you find this helpful.

Thank you.

Best,
Allan

TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
RE: APPROVE RESOLUTION TO AMENDMENT TO AGREEMENT FOR

CITY ATTORNEY SERVICES BETWEEN MEYERS NAVE AND THE

TOWN OF LOS ALTOS HILLS
FROM: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Adopt the attached resolution approving Amendment No. 10 to the Agreement for City Attorney Services between Meyers Nave and the Town.

SUMMARY:

Meyers Nave has requested that the City Council consider an amendment to their agreement with the Town to increase the hourly rates and retainer paid by the Town for the services provided by Meyers Nave. The proposed General City Attorney Services retainer is increasing from $11,000 to $12,950 month. The proposed rates for special services for labor and personnel issues, sewer and solid waste, and telecommunications is increasing from $300 to $350 per hour. The proposed cost recovery and litigation is increasing from a flat $325 per hour to a range of $380.00 - $420.00 per hour based on litigator. The proposed rate for paralegal work is increasing from $150 to $175.00 per hour.

BACKGROUND:

The last amendment to Meyers Nave agreement was in 2018, the City Council approved the retainer of $11,000 a month and for specialized legal services including labor and personnel issues, telecommunications issues, enterprise fund work and special services beyond the level of basic general services, Town pays Meyers Nave $300.00 per hour. For legal work associated with land use applications or sewer reimbursement agreements which are subject to cost recovery by the Town, and all litigation, except tort litigation coordinated through ABAG, Town pays Meyers Nave $325.00 per hour for attorneys. Tort litigation is billed at the established ABAG rates if any work is done by Meyers Nave. Paralegal work associated with these specialized services are billed at the $150.00 per hour.

Meyers Nave has not proposed a rate increase since 2018. In light of the uncertainty associated with the pandemic, Meyers Nave did not feel it was appropriate to ask for a rate increase.

Instead, Meyers Nave waited until the effects of the pandemic could be more fully understood.

Meanwhile inflation rates since 2018 have exceeded 9% forcing their operating costs to increase.

They feel the pandemic and related circumstances have stabilized enough to where seeking an increase is appropriate.

Staff circulated a review of Meyers Nave to the Council and staff and the results were favorable.

The staff reviewed the results in closed session with the Council. The Council instructed the City AGENDA ITEM #9.I
P.P.

Staff Report to City Council Page 2
City Attorney Services
April 21, 2022
Manager to work on a proposed increase that was appropriate given the duration of the last increase and the quality of Steve Mattas’s most recent review.

DISCUSSION:

To consider the proposed increase staff used market compensation data and found most agencies use in-house attorney services. The agencies that contract attorney services had retainers range from $15,000 – $19,810 monthly. The Town of Woodside and Portola Valley use an hourly rate of $293.00 and $275.00 per hour respectively. Meyers Nave provided the proposed rates in Attachment 2 and Public Agency Rates comparison analysis in Attachment 3.

In addition, staff used a straight-line CPI comparison as seen in the below table:

Considering the rate of inflation since 2018, Meyers Nave proposed rate compared to neighboring jurisdictions, and Steve Mattas’s overall performance, staff feels that the proposed increase is appropriate and supported.

ENVIRONMENTAL REVIEW:

The proposed project is exempt from California Environmental Quality Act (CEQA) pursuant to Sections 15061 (b)(3) of the CEQA Guidelines.
2022 CITY COUNCIL STRATEGIC PRIORITIES:

This request was not part of the Council’s priorities for 2022. The last amendment to Meyers Nave agreement was in 2018 and felt it was appropriate to request an increase since the effects of the pandemic stabilized.

FISCAL IMPACT:

The additional cost for the revised contract through the end of the fiscal year is approximately $5,850. There is adequate budget in the existing City Attorney’s budget to cover for the delta in the remaining fiscal year 2021-22. The increased retainer and hourly rates will be included in the FY2022-23 Operating Budget.

ATTACHMENTS:

1. Resolution

2. Amendment No. 10

3. Proposed Rates from Meyers Nave

4. Public Agency Rate Comparison Analysis
2018 3% yearly
2019-2020
4% yearly
2020-2021
5% yearly
2021-2022
$11,000 $12,381 $12,868 $13,371
$300/hr. $338/hr. $351/hr. $365/hr.

Resolution ___-22 Page 1
RESOLUTION -22

A RESOLUTION OF THE CITY COUNCIL OF THE
TOWN OF LOS ALTOS HILLS APPROVING AMENDMENT NO 10 TO THE

AGREEMENT FOR CITY ATTORNEY SERVICES BETWEEN MEYERS

NAVE AND THE TOWN OF LOS ALTOS HILLS
WHEREAS, the City Council has previously approved a professional service agreement with Meyers Nave and nine amendments to that agreement;
WHEREAS, the City Council and Meyers Nave desire to further amend that agreement; NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby approve Amendment No. 10 to the Agreement for City Attorney Services Agreement between Meyers Nave and the Town of Los Altos Hills and also authorizes the City Manager to execute Amendment No. 10 on behalf of the Town.

The above and foregoing resolution was passed and adopted by the City Council of the Town of Los Altos Hills at a regular meeting held on the 21st day of April, 2022 by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

By_____________________
George Tyson, Mayor
ATTEST:
_____________________________
Deborah Padovan, City Clerk
Attachment 1

AMENDMENT NO. 10 TO AGREEMENT FOR CITY ATTORNEY SERVICES

BETWEEN MEYERS NAVE AND THE TOWN OF LOS ALTOS HILLS
Whereas, on August 31, 2002, the Town of Los Altos Hills (“TOWN”) and Meyers Nave (“MEYERS NAVE”) entered into the Agreement for City Attorney Services Between the Town of Los Altos Hills and Meyers Nave (“Agreement”); Whereas, Amendment No. 1 to the Agreement was approved in 2006; and, Whereas, Amendment No. 2 to the Agreement was approved in 2007; and, Whereas, Amendment No. 3 to the Agreement was approved in 2008; and, Whereas, Amendment No. 4 to the Agreement was approved in 2010; and, Whereas, Amendment No. 5 to the Agreement was approved in 2011; and, Whereas, Amendment No. 6 to the Agreement was approved in 2012; and, Whereas, Amendment No. 7 to the Agreement was approved in 2013; and, Whereas, Amendment No. 8 to the Agreement was approved in 2015; and, Whereas, Amendment No. 9 to the Agreement was approved in 2018; and Whereas, the Town estimates that it will need approximately 40 hours per month of basic general counsel services as defined herein below; and Whereas, the parties desire to amend the Agreement to set a retainer rate for the estimated amount of basic general counsel services as defined herein, an hourly rate for basic general counsel services in excess of 40 hours per month, and increase the hourly set an hourly rates for special services, cost recovery and litigation services.

Now, therefore, the parties hereby agree as follows:

1. Section 3 of the Agreement is hereby amended to read as follows:
“3. Legal Fees. TOWN shall pay MEYERS NAVE $12,950 per month of basic general counsel services as defined herein. This amount shall be inclusive of photocopy, postage, fax and travel costs for travel to and from City Council and Commission meetings.

Such basic general counsel services include the following:
• Attend all regular and special meetings of the City Council, City Council study sessions, and certain Planning Commission meetings as necessary. During those meetings, provide advice and opinions with respect to all legal matters; Attachment 2

• Attend meetings of other boards, committees or staff of the Town as deemed necessary and appropriate, or as requested by the City Council or City Manager, at which time provide advice and opinions with respect to all legal matters; • Provide legal advice, consultation and training to the City Manager and the Town staff regarding Town operations and policies to minimize risks and potential liability, thereby protecting the fiscal interests of the Town and improving the delivery of municipal services;
• Provide research, preparation or review of ordinances, resolutions, agreements and contracts, budgets, written opinions and advice letters, emails, agendas and other documents pertaining to Town business, and examine for legal sufficiency all documents that Town staff may submit for review including, but not limited to Town services, elections, land use, open meeting laws, code enforcement, public records, health and safety, and legislative procedures; • Provide legal services required in connection with (1) the routine acquisition of land or easements, (2) property disposals, (3) public improvements, (4) easement dedications, (5) right-of-way abandonment, (6) enforcement of Town Codes, and (7) land use, zoning regulations and building standards except where such services are part of land use cost recovery as set forth in the Special Services section;
• Advise the City Council, agents and Town staff on all general legal matters pertaining to the Town, including the enforcement and interpretation of State and local laws and codes. The City Attorney shall use good faith efforts to provide routine legal advice and consultation to Town staff on a “same day” basis via email, telephone, or in-person meetings, or correspondence; • Render advice and assistance in the administration of the Town’s general liability risk management and insurance programs;
• Keep the Council and City Manager informed of the status of all litigations involving the Town;
• Provide written opinions when requested by City Manager or Council members;
• Provide consultation with individual City Council members on questions regarding Town legal matters;
• When approved by the City Council or City Manager, communicate with members of the public and/or press regarding Town operations and activities of a legal nature;

• Hire and supervise activities of any legal counsel for matters requiring specialized skills or when a conflict of interests exists and makes the City Attorney’s representation of the Town inappropriate.

For specialized legal services including labor and personnel issues, telecommunications issues, enterprise fund work (e.g. sewer and storm water), and special services beyond the level of basic general services set forth herein and as approved by the City Manager or City Council, TOWN will pay MEYERS NAVE $350 per hour for attorneys. For legal work associated with land use applications or sewer reimbursement agreements which are subject to cost recovery by the Town, and all litigation, except tort litigation coordinated through ABAG, TOWN will pay MEYERS NAVE $420 per hour for Senior Principals and Senior Of Counsel, $380 per hour for Principals, Of Counsel, and Associates. Tort litigation will be billed at the established ABAG rates if the work is done by Meyers Nave. Paralegal work associated with these specialized services will be billed at the $175 per hour.”

2. Except as amended herein, all other terms of the Agreement shall remain in full force and effect.

3. This Amendment No. 10 shall take effect as of April 1, 2022.

TOWN OF LOS ALTOS HILLS
Date: __________________________________
By:_____________________________________
Peter Pirnejad, City Manager
Approved as to form:
_________________________________
Special Counsel for Town of Los Altos Hills

MEYERS NAVE
Date: _________________________________
By:____________________________________
Steven Mattas, Senior Principal
5082545.1

ATTACHMENT 3
General City Attorney Services
2018 Rate 2022 Proposed Rate
General City Attorney
Services
$11,000 per month $12,950 per month
Special Services (i.e. labor and employment, sewer, solid waste and telecommunications issues and special services approved by City Manager)
2018 Rates 2022 Proposed Rates
Principals $300 $350
Of Counsel $300 $350
Associates $300 $350
Paralegal $150 $175
Cost Recovery (i.e. cost reimbursed to the Town by the applicant/franchisee) and Litigation 2018 Rates 2022 Proposed Rates
Sr. Principal/Sr. Of Counsel $325 $420
Principals $325 $380
Of Counsel $325 $380
Associates $325 $380
Paralegal $150 $175

ATTACHMENT 4
Public Agency Rates Comparison Analysis
City General Counsel Special Services Cost Recovery and Litigation
Dublin PR: $280
OC: $280
AS: $280
PARA: $145
PR: $375-$510
OC: $350-$425
AS: $290-$315
PARA: $145
Newark PR: $356-$428
OC: $304-$382
AS: $294-$330
PARA: $181
PR: $382-$470
OC: $320-$392
AS: $304-$346
PARA: $191
PR: $433-$547
OC: $382-$387
AS: $310-$408
PARA: $181-$212
Pinole PR: $300-$470
OC: $270-$390
AS: $260-$270
PARA: $185
PR: $300-$470
OC: $270-$390
AS: $260-$270
PARA: $185
PR: $405-$470
OC: $390-$445
Union City PR: $295-$300
OC: $270-$300
AS: $245-$275
PARA: $165
PR: $320-$400
OC: $280-$365
AS: $260-$290
PARA: $175
PR: $375-$510
OC: $350-$425
AS: $300-$400
PARA: $205
Walnut Creek PR: $341-$360
OC: $311-$330
AS: $270
PARA: $170
PR: $341-$360
OC: $311-$330
AS: $270
PARA: $170
PR: $396-$420
OC: $348-$368
AS:$300
PARA: $187

1 TOWN OF LOS ALTOS HILLS April 21, 2022
Staff Report to the City Council
SUBJECT: RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO

A ONE-YEAR AGREEMENT WITH ANN HEPENSTAL FOR

EMERGENCY MANAGEMENT CONSULTANT SERVICES NOT TO
EXCEED $90,000.

FROM: Cody Einfalt, Management Analyst II
APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council should:

Adopt the attached resolution authorizing the City Manager to enter into a one-year agreement with Ann Hepenstal for emergency management consultant services not to exceed $90,000.

BACKGROUND:

For the past 10 years, the Town has received professional advice and guidance on matters pertaining to emergency management and disaster preparedness at the municipal level from a consultant, Marsha Hovey, LLC. Ms. Hovey’s services have also been used in staff training that is mandated by FEMA (Federal Emergency Management Agency).

Recently, the Town engaged in a priority setting session to plan what it would like to accomplish in the year ahead. One of the goals identified was an increase in the Town’s dedication to emergency preparedness. Staff sees the first step towards meeting this commitment as increasing the responsibilities of the Emergency Preparedness Manager in the Town.

The current ongoing work of the Emergency Preparedness Manager includes continuous staff training of new and current employees, representing the Town in all county and regional meetings, and keeping the Town’s emergency plans up to date. Examples of where staff sees an increase in the workload for this position include assistance applying for and managing grants related to emergency development, planning and running annual Town-wide tabletop emergency drills, and working one-on-one with the Town’s committees and residents (committee outreach) so that emergency knowledge can also be shared with the community and not only Town staff.

Due to this increase of responsibility, coupled with her long running career in emergency management consulting, Ms. Hovey notified the Town of her intention to step down as the Town’s lead point of contact for Emergency Preparedness. Ms. Hovey said that she would stay with the Town until her replacement was found and would allow for a few months of overlap so that the new individual could learn the ways of the Town.

Ms. Hovey first entered into contract with the Town on January 17, 2012 and has renewed her contract ever since. The current contract with Ms. Hovey was extended on January 17, 2022, and is set to expire on June 30, 2022. The City Council, Town staff, and residents of Los Altos Hills AGENDA ITEM #9.J
C.E.

P.P.

Staff Report to City Council Page 2
Emergency Manager Consultant
April 21, 2022
2 thanks Ms. Hovey for her many years of service in keeping the Town safe and prepared for all emergencies.

DISCUSSION:

In thinking of the work the new individual would provide the Town, a decision had to be made as to what level of assistance was needed (full-time or part-time) and what form of assistance would be most beneficial (consultant or employee).

Regarding the level of assistance, although the intention is to increase the amount of work being delegated to the Emergency Preparedness Manager, staff does not foresee the position taking on that of a full-time role. Staff considered delegating these tasks to an existing staff member, but soon realized that no staff member has the available bandwidth needed for this role while also managing their currently assigned work. For this reason, maintaining the Emergency Preparedness Manager as a part-time position makes sense.

Regarding the form of the assistance, staff analyzed the type and nature of the tasksto be completed by the individual and found that it would make the most sense to maintain the position as a consultant. This decision was made to comply with Assembly Bill 5, which spoke to a worker’s status on being either an employee or an independent contractor (Attachment 2).

In summary, the main differences between an employee and an independent contractor (consultant) are that an employee will have a dedicated workspace within the organization, the organization will tell an employee exactly how to do a task, and the organization will directly manage the employee’s work. On the other hand, a consultant will not have a dedicated workstation, he or she is not told how to complete a task, and he or she is not directly managed day-to-day. Further, a consultant is hired because an organization lacks a specific skill set needed to complete a task, which is the situation currently present in Town Staff. It is for these reasons that the Emergency Preparedness Manager makes sense to be maintained as a consultant.

With this framework in mind, staff set out to informally solicit proposals for a part-time consultant Emergency Manager in the Bay Area. Town staff put together an informal Request for Proposal (RFP) which was circulated amongst the Santa Clara County Office of Emergency Management network and the Santa Clara County Emergency Managers’ Association network (Attachment 3).

The RFP was circulated for two weeks, with responses due to Town staff by April 4, 2022. To date, staff has received one proposal, submitted by Ann Hepenstal (Attachment 4).

Ann Hepenstal has over 15 years of experience in emergency management in both the public and private sectors and most recently worked for the City of Los Altos as their lead consultant in emergency management planning. Ms. Hepenstal is well known in the Santa Clara County and was named 2019 Emergency Manager of the Year by the Santa Clara County Emergency Managers’ Association. Further, Ms. Hepenstal has already worked with many individuals in Town and would be able to build off her existing knowledge of the area to provide quality consulting services.