Los Altos Hills City Council
October 20, 2022

26 Billing
As part of GreenWaste’ s commitment to being green, Service Recipients are encouraged to participate in both electronic billing and automatic payments. When CSRs set up an account for a Service Recipient, they explain the invoicing options that GreenWaste offers:

Traditional paper invoicing
Electronic invoicing with a link to the Service Recipient’ s eTower account Both a paper invoice and a link to the Service Recipient’ s eTower account GreenWaste will offer Service Recipients the option to pay their bills as follows:

Pay by mail
Pay by phone (through credit card)
Pay online (through online bill pay via the GreenWaste website) Pay in-person (at GreenWaste’ s San Jose office)
Ultimately, GreenWaste aims to handle all calls and address all issues in a timely and efficient manner. Customer satisfaction, including an effective billing system, is a key to the success of refuse and recycling programs, and GreenWaste’ s established Customer Service and billing programs will continue to effectively serve the community.

27 7 Environmental Considerations
GreenWaste and its family of companies have always thought outside of the box when considering what new opportunities for innovation the companies could vision and execute regarding the management of solid waste. Through the use of alternativefueled vehicles, state-of-the-art organics recovery and recycling facilities, and progressive sustainability programs, GreenWaste integrates sustainability into all aspects of business.

7.a Processing and Associated Operations
Processing All Material Collected
GreenWaste uniquely offers the Town the ability to collect and process all material collected in the Town, maximizing diversion from landfill and therefore reducing methane generation associated with placing decomposable organics in the landfill. After initial processing at the GreenWaste MRF, all organic and compostable material is sent to Z-Best Composting Facility, GreenWaste’ s sister facility. Z-Best is located in Gilroy, and generates organic compost, landscape compost, mulch, and other products all made from material that is brought from the GreenWaste MRF.

Innovative Markets and End-Products
GreenWaste’ s marketing strategy includes the use of local, regional, and domestic markets for commodities recovered from Recyclable Materials. Under National Sword, it has become more challenging to locate and secure dependable markets for recovered materials. The MRF is currently sending select material types to domestic markets and is constantly developing trial loads of various materials to see if the MRF grade quality is acceptable. At this time, with the state of recycling, innovation is particularly important. GreenWaste’ s most recent innovative market includes a partnership with BioCellection, a local startup developing advanced technologies to transform difficult to recycle plastics into renewable chemical compounds. These chemicals are introduced back into the supply chain, suitable for making automotive parts, apparel, paints and more.

Sustainable MRF Operations
The GreenWaste MRF’s stormwater strategy includes a Stormwater Pollution Prevention Plan, a Spill Prevention Control and Containment Plan, an onsite infiltration system and an advanced biological wastewater treatment system, which collects and treats all onsite stormwater, prior to being discharged to the San Jose Santa Clara Regional Wastewater Treatment Facility.

GreenWaste also received a letter of commendation in 2016 from BayKeeper, a non-profit organization that has initiated litigation against Material Recovery Facilities throughout the San Francisco Bay region, recognizing our company as a “leader in stormwater management”.

In addition to stormwater and litter management, GreenWaste has also taken on innovative energy-related measures in its MRF Operations. Upon completion of the new MRF in 2015, GreenWaste made significant strides in reducing emissions by installing 1,552 dual-array solar panels that generate more than 400 kW-hours of zero-emission electricity.

7.b Reuse Organization Support
Goodwill, Freecycle, and Hope Services
GreenWaste encourages re-use of items within the community. GreenWaste always attempts to re-use or donate an item before it is recycled. The following are ways in which GreenWaste helps promote re-use:

Links on the GreenWaste website on more information specific to each area on way to re-use.

Inclusion of Goodwill, Freecycle and Hope Services information in GreenWaste education and outreach collateral to remind Service Recipients that reusables should not be disposed of, but instead donated.

28 Good Karma Bikes
GreenWaste supports and encourages residents to reduce, reuse, and recycle items they no longer need throughout all its service areas. GreenWaste has partnered with Good Karma Bikes located in San Jose, CA to collect and reuse bicycles as part of the Cleanup program. This partnership was implemented in January 2019. Good Karma Bikes focuses on helping at risk youth and low-income residents who are in need of transportation. GreenWaste will donate working and broken bicycles to Good Karma Bikes, where the bicycles will either fixed for reuse or disassembled for parts.

7.c Environmental Stewardship
Climate Action Planning
GreenWaste publicly reports all greenhouse gas (GHG) emissions to reveal the climate impact of collection and processing operations, and to help develop strategies towards becoming a more environmentally sustainable company. Edgar & Associates, an environmental engineering firm who has collected and analyzed GreenWaste’ s greenhouse gas emissions inventories for many years, has prepared an analysis of GreenWaste GHG emissions for years 2009 to 2016. The analysis evidences GreenWaste’ s outstanding commitment to the environment in that GreenWaste was 26x Carbon Negative.

GreenWaste minimizes its fleet emissions by utilizing 100% renewable biodiesel in collection vehicles servicing the Town of Los Altos Hills. Vehicle sizes and types have carefully been chosen to maximize collection efficiency and minimize environmental impacts. Advanced route optimization will also increase collection efficiencies, reducing vehicle passes on streets, decreasing emissions and mitigating any potential noise concerns. 2017 Recycling Excellence Award - Gold
The GreenWaste MRF received the highly acclaimed and coveted Gold Excellence Award in the Recycling System category from the Solid Waste Association of North America ( SWANA) in 2017 for the new single-stream recyclable materials processing line. SWANA’ s Excellence Awards Program recognizes outstanding solid waste programs and facilities that advance the practice of environmentally and economically sound solid waste management through their commitment to utilizing effective technologies and processes in system design and operations, advancing worker and community health and safety, and implementing successful public education and outreach programs. Programs also must demonstrate that they are fiscally and environmentally responsible through their compliance with all applicable federal, state and local regulations. This is the second time the GreenWaste MRF has been awarded the Gold Excellence Award, the first was in 2009 for its multifamily municipal solid waste processing system with the City of San Jose.

Green Business Certification
The GreenWaste Headquarters in San Jose is Green Business Certified, which involves a commitment to environmentally sound office practices such as using recycled content supplies, increasing energy efficiency, reducing internal waste, conserving water, and using non-toxic products. GreenWaste incorporates its green business practices into all offices and facilities it operates, whether or not those locations are able to become Green Business Certified due to some limitations placed on facilities that conduct maintenance operations.

Environmentally Preferable Purchasing Policy
GreenWaste established an Environmentally Preferable Purchasing Policy in 2011 to institute practices that reduce waste by increasing product efficiency and effectiveness. GreenWaste strives to purchase products that minimize environmental impacts, toxics, pollution and hazards to workers and community safety. When possible, GreenWaste purchases products that include recycled content, are durable and long-lasting, conserve energy and water.

EXHIBIT J: NEW PROGRAM ROLL-OUT

DATE MATERIAL/EVENT DESCRIPTION
June 18/19 Customer Service &
Outreach Training
GOAL: Ensure GreenWaste Recovery (GWR) staff understand and are fully-equipped to answer all questions related to internal and external communications.

DELIVERABLE: Train and educate GWR staff on details of new program, including what is changing and what is remaining the same.

AUDIENCE: GWR staff (direct) -> All Los Altos Hills (LAH) Service Recipients (indirect) June 21 FAQs GOAL: Ensure all GWR and Town staff can answer questions that may be asked and provide standard and consistent responses to residents.

DELIVERABLE: Anticipate and consolidate likely questions from customers in a comprehensive FAQ worksheet that can be parsed and used 1) internally by GWR Customer Service and the Town and 2) adapted into a public document for outreach and educational purposes, including online applications.

Include on GWR and LAH websites
Make available to GWR staff
Hard-copies available at outreach events & Town Hall
AUDIENCE: GWR/ Town Staff ( internal) and all LAH Service Recipients June 21 Dedicated webpage GOAL: Provide opportunity for Service Recipients to access information and make service requests online.

DELIVERABLE: Develop and launch an informative and easy-to-use dedicated page (or pages) that Service Recipients can use to understand the changes and modify or preserve their existing service level.

Includes details on:

Base Rates and services
Rates for Additional and Special Services
FAQs
Illustrations of new sorting and set-out methodology
Cart Selection form – will be sent to dedicated [email protected] email Map and query function and/or list to aid in deciphering Curbside (where Yard Trimmings must always be placed) vs. Hard-to-Service Areas (private roads and/or driveways that are shared by >3 Service Recipients).

AUDIENCE: All LAH Service Recipients
June 21 Driver training GOAL: Ensure GWR drivers understand the new program and phase-in/roll-out implementation timeline.

DELIVERABLE: Provide entire operations team with training during morning meetings, including provision of applicable cart tags.

AUDIENCE: GWR staff ( direct) -> All LAH Service Recipients ( indirect) June 24-26 New Service
Postcard
GOAL: Ensure all Service Recipients are made aware of changes that impact all Service Recipients, without providing too much information or information that would confuse Service Recipients. Provide resources for Service Recipients to obtain more information.

DELIVERABLE: Design, print and mail full-color postcard, succinctly alerting Service Recipients to changes.

Will reference:

New rates (rates not actually on postcard but will be provided in subsequent communications) Yard trimmings must be curbside
Material must be in GWR containers
Announcement of Workshop dates
AUDIENCE: All LAH Service Recipients
June 24 –
July 14
Digital
Communications
GOAL: Ensure Service Recipients know how and where to access GWR staff for questions and provide links to digital resources.

DELIVERABLE: Brief, catchy and informative digital communications via 1) Email to GWR’ s e-billing customers, 2) LAH’s Nextdoor, and 3) LAH’s Facebook
AUDIENCE: All LAH Service Recipients
June 29 Workshop #1 GOAL: Deliver comprehensive and succinct information on changes to services and new rate structure. Answer all general questions, assist with and secure completed Cart Selection Guides and obtain contact information for Service Recipients that may need answers based on individual circumstances.

DELIVERABLE: Host workshop, inclusive of an interactive presentation, Q&A session, and one-on-one conversations.

Held at Town Hall
GWR staff will have computer to walk Service Recipients through online cart selection guide, as requested AUDIENCE: All LAH Service Recipients
July 1 Base Rates & OnPremise Rates, as
recorded in Tower,
applied
GOAL: Start transitioning Service Recipients from the old rate structure to the new rate structure.

DELIVERABLE:

Bring Service Recipients up to current Base Rates reflective of their then-current garbage subscription level.

Service Recipients will be billed at the new rates for the July 1 – Sept. 30 billing period for services they were receiving as of the billing date that includes their Garbage ( now Mixed Compostables) rate and the Drive-on distance charge for their the- current set- out location as recorded in Tower. Charges will not be applied for Drive-on Services of 11’ – 100’ ( until January 1st) or Walk-on Services (until August 1st).

Service Recipients that request Bulky-item Collections will be charged when the service is provided.

Service Recipients that increase Drive-on Services and begin setting out in a new location will be billed based on the date GWR can guarantee the modified services will be provided.

As to not penalize Service Recipients that proactively right-size their service level that would normally increase their costs, GWR will implement the following roll-out/Phase- in of charges and services:
o Service Recipients that modify their service level and increase Base Service cart size and/or requested additional monthly services (i.e. more Mixed Compostables, Yard Trimmings and/or Recyclable Materials carts) will not be billed for these additional recurring services until the date services were actually provided or October 1, whichever is later ( note, some additional services provided will be charged during the month of September during GWR’ s Enforcement Tagging process explained below).

AUDIENCE: All LAH Service Recipients
July 1-
July 31
Review of 0’ – 100’
Service Recipients
and/ or Hard- toService Area
GOAL: Gather needed data and create needed resources re. On-Premise and/or Hard-to-Service Area Service Recipients.

DELIVERABLE: Assemble comprehensive maps that illustrate area and related service options, as well as custom forms to allow Service Recipients to provide GWR detailed information on service location.

AUDIENCE: Service Recipients with On-Premise services and/or Service Recipients in new Hard-to-Service Area July 8-12 Cart Selection
Guide
GOAL: Reinforce changes in service and rates, encourage active participation from Service Recipients & collect and update all Service Recipient subscriptions.

DELIVERABLE: Design and print trifold mailer with tear-off, pre-paid return-mail form. Include explanation of the new Base Services (what services are included/excluded) and provide Service Recipients with a convenient way to determine the cost of their services.

Provide accessible menu of choices
Communicate availability of the workshop and other ways to contact GWR AUDIENCE: All LAH Service Recipients

July 14 Workshop #2 GOAL: Deliver comprehensive and succinct information on changes to services and new rate structure. Answer all general questions, assist with and secure completed Cart Selection Guides and obtain contact information for Service Recipients that may need answers based on individual circumstances.

DELIVERABLE: Host workshop, inclusive of an interactive presentation, Q&A session, and one-on-one conversations.

Held at Town Hall
GWR staff will have computer to walk Service Recipients through online cart selection guide, as requested AUDIENCE: All LAH Service Recipients
July 20 Fire Prevention
Event
GOAL: Be as accessible to Service Recipients as possible in order to answer questions and provide clarity regarding the service changes.

DELIVERABLE: GWR outreach staff to be available on-site during existing operational event.

AUDIENCE: LAH Service Recipients attending event
July 27 Clean Up Event GOAL: Be as accessible to Service Recipients as possible in order to answer questions and provide clarity regarding the service changes.

DELIVERABLE: GWR outreach staff to be available on-site during existing operational event.

AUDIENCE: LAH Service Recipients attending event
Aug 1-
September
30 Targeted Education
and Service
Assistance for 11’-
100’ Service
Recipients and/or
Hard-to-Service
Area
GOAL: Work individually with subsections of the community to educate on set-out requirements in relation to OnPremise vs. Hard-to-Service standards as adopted by Council. Confirm GWR records of true Curbside service vs. 11’ 100’. Gather updated On-Premise service subscriptions.

DELIVERABLE: Package of resources, including maps, illustrations and subscription forms, customized based on Service Recipient’ s needs. Community events and/or site visits to provide customized information. Completed subscriptions gathered by October 31, 2019 to allow for accurate, updated billing as of January 1, 2020.

Should Service Recipient request to reduce Drive-on Service before January 1 implementation date (see below), they will do so under the pre-Hard-to-Service structure. January 1 rate will reflect updated On-Premise charges.

AUDIENCE: Service Recipients with On-Premise services and/ or Service Recipients in new Hard- to-Service Area Aug 1 Updated Recycle
Guide available
online
GOAL: Provide a detailed explanation of what materials go in the different carts based on a specific Service Recipients set-out location(s).

DELIVERABLE: Update Recycle Guide to match new service offerings.

Recycle guide will be temporarily pulled from site will update is being done. However, supplemental information on the site will answer all pertinent questions.

AUDIENCE: All LAH Service Recipients
Aug 1 Environmental
Initiative Com.

GOAL: Ensure the Committee understands the new program and can serve as ambassadors in the community.

DELIVERABLE: Update committee and status and learn from them any specific questions or concerns that are out in the community
AUDIENCE: Committee (direct) -> All LAH Service Recipients (indirect) Aug 1 Newsletter GOAL: Reinforce new program guidelines and ensure follow-up communication throughout program rollout.

DELIVERABLE: Use existing communication means to provide an update on the program and answer top FAQs.

AUDIENCE: All LAH Service Recipients
Aug 12 -30 Cart delivery GOAL: Supply Service Recipients with needed tools for new service program.

DELIVERABLE: Deliver and/or remove carts in a timely fashion.

Carts will be staged at Foothills College
All Yard Trimmings carts and all carts that are part of cluster points will be nearly marked with address upon delivery, on back side of cart. Carts already onsite will be systematically marked with address, as needed.

Carts will be delivered to houses, not cluster points.

Service Recipients will only receive included 2nd Yard Trimmings cart ifthey’ ve requested it.

Note: Service Recipient may choose to keep previous hauler’ s cart for use of extra Yard Trimmings only ( and extra Yard Trimmings must be set-out curbside, if set-out On-Premise they will be collected and charged at the Mixed Compostables rate)
AUDIENCE: All LAH Service Recipients that require additional GWR carts, GWR carts be removed, and/ or cartswaps based on service levels and elimination of garbage container Sept 1 Yard Trimmings
Vouchers
GOAL: Provide Service Recipients with the opportunity to have extra Yard Trimmings collected curbside (to address concerns expressed by the Council about stockpiling of Yard Trimmings and seasonal fluctuations) DELIVERABLE: Develop and distribute four (4) vouchers to each Service Recipient to set out extra Yard Trimmings curbside for no additional charge (all Service Recipients in good standing will receive these vouchers annually) Precedent will be set that extra Yard Trimming vouchers will be received in early September AUDIENCE: All LAH Service Recipients
Sept 2 Enforcement
tagging
GOAL: Assign appropriate service levels to Service Recipients that have not proactively subscribed to services.

DELIVERABLE: Design and print eye-catching cart tags. Drivers to tag carts to push Service Recipients that have not subscribed to add-ons, but are using add-ons, to subscribe to desired services. 1st tag: Tag and collect
2nd tag: Tag and collect
3rd tag: Tag and leave material
4th tag +: Tag & charge the Service Recipient
AUDIENCE: LAH Service Recipients that have not subscribed to the add-on services they are using Oct 1 Apply add-on
service charges for
those that have
subscribed
GOAL: Continue phasing in new rates by applying charges for increased Base Services and/or Additional Carts.

Encourage Service Recipients to “right-size” themselves proactively without feeling like they would be penalized for this proactive participation.

DELIVERABLE:

FINAL ROLLOUT TBD
Apply charges that have been requested/submitted but have not yet been charged for increased waste capacity, including increased Mixed Compostable volume and/or Additional Carts.

Service Recipients that have notified GWR that they desire to downgrade their Base Service cart size and/or requested the removal of Additional Carts will be billed at the downgraded service level on the date GWR can provide the modified service, no later than one (1) month after the requested change in service has been received by GWR.

AUDIENCE: LAH Service Recipients that have completed Cart Selection Guide or who have otherwise communicated with GWR the service add-ons they would like Jan 1,
2020
Apply updated OnPremise charges, as
applicable
GOAL: Complete phase-in of new rates by applying updated charges for On-Premise Service based on new measurements. Convert existing distance related charges to appropriate Drive-on rate.

DELIVERABLE:

FINAL ROLLOUT TBD
Bill Service Recipients based on set-out location data gathered and confirmed targeted On-Premise/Hard-to-Service education. Bill will be received in February for January – March billing cycle and will include first instances of new Drive-on charges based on updated measurements.

AUDIENCE: On-Premise and/or Hard-to-Service Area Service Recipients

EXHIBIT K: CURBSIDE AND SMALL-TRUCK-ONLY AREAS
Pursuant to Section 1.10 “Curbside Area” and Section 1.25 “Small-Truck-Only Area” and to serve the best interest of Service Recipients that may present unique circumstances regarding their Set- out Locations and particular roads or road segments, the City Manager and Franchisee mutually agree to finalize the following list of Curbside and Small-Truck-Only Areas by January 1, 2020.

Curbside Areas:

Streets not listed as Exclusively or Partially Small-Truck-Only Areas are considered Curbside Areas as defined in Section 1.10 of the Agreement. Franchisee can service streets considered Curbside Areas using a large collection vehicle. On-Premise collection service distances in Curbside Areas will be measured pursuant to Sections 1.18 and 1.49 of the Agreement.

Streets that are Exclusively Small- Truck- Only Areas:

Franchisee can only service these streets considered Small-Truck-Only Areas, as defined in Section 1.25 of the Agreement, using a small collection vehicle. On-Premise collection service distances in SmallTruck- Only Areas will be measured pursuant to Sections 1.18, 1.37 and 1.49 of the Agreement. Yard Trimmings will not be collected on these streets.

Alta Ln
Altamont Ct
Avila Ct
Baker Ln
Bella Ladera Dr
Blandor Way
Blue Oaks Pl
Brendel Dr
Buena Vista Dr
Calle Del Sol
Camino Hermoso Dr
Camino Medio Ln
Campo Vista Ln
Cantata Way
Casa Mia Way
Central Dr
Chaparral Way
Chardonnay Ln
Cortez Ln
Darling Ln
Dezahara Way
Dori Ln
El Caminito Rd
El Monte Ave
Elsie Way
Encinal Ct
Estralita Pl
Gerth Ln
Hidden Springs Ct
Hooper Ln
Jabil Ln
Josefa Ln
Lennox Way
Lomita Linda Ct
Loan Oak Ln
Maria Ln
Mora Ln
Nicole Ln
Northcrest Ln
Old Trace Ln
Padre Ct
Red Rock Rd
Ridgewood Ln
Rolly Rd
Sherlock Way
Sherlock Rd
Sherlock Ct
Silent Hills Ln
Sundown Canyon
Way
Sunset Dr (East and
West)
Tanglewood Ln
Thendora Ln
Toyonita Rd
Vista Del Valle Ct
Voorhees Dr
Wildcrest Dr
Wildflower Ln
Wright Way
Streets that are Partially Small-Truck-Only Areas
Franchisee can only service part of these streets using a small collection vehicle. On-Premise collection service distances in Small- Truck- Only Areas will be measured pursuant to Sections 1.18, 1.37 and 1.49 of the Agreement.. For street segments of that fall in the Small-Truck-Only Area, Yard Trimmings will not be collected on these streets.

Anacapa Dr
Arroyo Oaks Dr
Beatrice Lane
Black Mountain Rd
Burke Ln
Byrd Ln

Country Way
El Monte Rd
Fernhill Dr
Fremont Pines Ln
Hillpark Ln
Hilltop Dr
La Cresta Dr
La Loma Dr
Moody Rd
Natoma Rd
Old Page Mill Rd
Ravensbury Ave
Robleda Rd
Via Ventana Way
Vinedo Ln

FIRST AMENDMENT TO FRANCHISE AGREEMENT BETWEEN THE TOWN OF LOS ALTOS HILLS AND GREENWASTE RECOVERY, INC. FOR

COLLECTION AND PROCESSING OF MIXED COMPOSTABLE MATERIALS,

RECYCLABLE MATERIALS AND YARD TRIMMINGS
THIS FIRST AMENDMENT is made and entered into on this 14 day of July 2020, by and between the Town of Los Altos Hills (" Town") and GreenWaste Recovery, Inc., a California corporation (" Franchisee").

RECITALS:

WHEREAS, on June 28, 2019, Town and Franchisee entered into an agreement titled Franchise Agreement Between the Town of Los Altos Hills and GreenWaste Recovery, Inc. for Collection and Processing of Mixed Yard Trimmings, Recyclable Materials and Yard Trimmings" (" Franchise Agreement"); and
WHEREAS, the title of the Franchise Agreement incorrectly referenced Yard Trimmings twice notwithstanding that the first reference should have read Mixed Compostable Materials and the whereas the title has been corrected in this First Amendment; and WHEREAS, the Franchise Agreement includes a fifteen year term beginning July 1, 2019 and ending on June 30, 2034; and
WHEREAS, the parties stipulated in section 13. 2 of the Franchise Agreement to annual rate adjustments for each year of the agreement' s term, including four rate increases of nine percent ( 9%) in fiscal years 2020- 2021, 2021- 2022, 2022- 2023, and 2023- 2024, and further adjustments to reflect changes in the Consumer Price Index for the remainder ofthe Franchise Agreement term; and
WHEREAS, section 12. 4 of the Franchise Agreement indicated that on July 1, 2023, when Franchisee is required to begin remitting Franchise Fees to the Town, Franchisee shall add to all then current rates a Franchise Fee that would permit Franchisee to remit to the Town a

7. 52 percent ( 7. 52%) Franchise Fee; and
WHEREAS, the parties intended the stipulated nine percent ( 9%) rate increase on July 1, 2023 would be inclusive of the 7. 52 percent ( 7. 52%) Franchise Fee that would be remitted to the Town; and
WHEREAS, as a result of economic hardships associated with the SARS- CoV- 2 virus that has caused the COVID- 19 pandemic the Town requested Franchisee consider deferring the nine percent ( 9%) rate increase that was to become effective July 1, 2020; and WHEREAS, in the spirit of partnership and recognition of the challenges facing rate payers in the Town, Franchisee agreed to reduce the first scheduled rate increase on July 1, 2020, from nine percent ( 9%) to 2.45 percent ( 2.45%) to reflect the current change in the Consumer Price Index; and
3557836, 1
Attachment 3

WHEREAS, in return for the reduction in the rate increase on July 1, 2020 the parties agree to change the rate increase beginning on July 1, 2024, from a Consumer Price Index adjusted rate to a rate increase of nine percent ( 9%); and WHEREAS, Franchisee has recently moved its corporate office to a new location and as such, the new address for providing notices in Section 18. 3 is being updated; and NOW, THEREFORE, in consideration of this First Amendment, the mutual promises, covenants, and stipulations herein contained, the parties hereto agree to amend the Franchise Agreement as follows:

FIRST AMENDMENT;
The following portions and sections of the Franchise Agreement are hereby amended to read as follows, with additions in italics and deletions in strikethrough text:

Franchise Agreement Title
The title of the Franchise Agreement is hereby amended to read as follows: " Franchise Agreement Between the Town of Los Altos Hills and GreenWaste Recovery, Inc. for Collection and Processing of Mixed Yard Trimer Compostable Materials, Recyclable Materials and Yard Trimmings"
Section 12.4:

12. 4 Payments to Town —Beginning July 1, 2019 and through June 30, 2023, Franchisee shall not charge not be required to remit any Franchisee Fee to Town. Unless otherwise directed by the Town and authorized by the City Council, beginning on July 1, 2023 and annually thereafter, Franchisee shall, in partial consideration for granting the exclusive franchise granted to Franchisee, add to all theii eurretat rates a Franchise Fee that will perffiit Franehisee to shall remit to the Town a seven acid fiftytwo7.52 percent (7. 52%) Franchise Fee, then adj st the i!ates set based on the formula provided in Section 13. 2 of this Agreement.

Franchisee shall remit to Town, within ten ( 10) days of the end of each month, a Franchise Fee in the amount of seven and fifty two 7.52 percent ( 7. 52%) of all revenues received in the prior month relating to the performance of this Agreement, including but not limited to Service Rates and Extra Services fees. This payment to Town shall be accompanied by sufficient documentation to identify the source of all revenues. This documentation shall include, at a minimum, specifics for each account, the amount billed, the amount collected, a listing of accounts which received Extra Services and the amount of Extra Services provided, and a listing of accounts which are delinquent.

Franchise Fees will be due on any revenues received from the performance of this Agreement following the termination of this Agreement.

Section 13. 1:
3557836. 1 2

13. 1 Franchisee' s Rate Revenue— Franchisee shall retain all revenues received from this Agreement, except the seveii aiid fifty two 7.52 percent ( 7. 52%) Franchise Fee that Franchisee shall begin remitting to Town on services rendered beginning July 1, 2023." Section 13. 2:

13. 2 Annual Adjustments — Franchisee and Town have stipulated to prescriptive annual rate adjustments to Franchisee' s rates in
EXHIBIT B °
o 40 of the
easfollows:
a) For the secondyear ofthe contract, the rates shall increase by 2.45percent (2.4501o) on July 7, 2020;
b) For the third, fourth, fifth, and sixthyears ofthe contract, the rates shall increase annually by nine percent (9%) on July 1, 2021, July 1, 2022, July 9, 2023, and July 1, 2024; c) Beginning July /, 2025 and on each July 9 thereafter for the remainder of the Term, Franchisee' s rates shall increase ( or decrease) annually by 100% oj' the change in the Consumer Price Index ( U) forAllltemsfor the San .Francisco .Bay Area, to adjust for changes in the cost of doing business.

The annual adjustment, that will be applied to the effective rates from the subsequent Contract Year ( July 1 to June 30), will be based on increases or decreases for the period of January 1 to December 31 of the prior calendar year.

Starting July 1, 2019, Franchisee shall pay its driver employees providing service in Town at least a minimum wage of forty dollars ($ 40. 00) per hour in addition to all standard benefits provided to company employees. The minimum driver employee wage shall be adjusted annually based eii the ' by 700% ofthe change in the Consumer Price Index ( U) forAllltems for the San Francisco .Bay Area."
Section 18. 13:

18. 13 Notices — All notices and other communications required or which may be given under this Agreement shall be deemed given when deposited in the United States mail or when personally delivered to the parties as specified in this Section. In the case of a notice or communication by facsimile or other electronic means, a written copy shall be mailed or personally delivered within the three ( 3) days of the transmittal of the facsimile or other electronic means. All notices or other communications sent by mail shall be sent postage prepaid to the address specified below:

To Town: City Manager
Town of Los Altos Hills
3557836. 1

26379 Fremont Road
Los Altos Hills, CA 94022
City Manager can be reached by phone at 650- 941- 7222, or by fax at 650- 941- 3160.

To Franchisee: General Manager
GreenWaste Recovery, Inc.
1500Bergir- BiiFFe 610 E. Gish Road
San Jose, CA, 95122
General Manager can be reached by phone at 408- 938- 4902, or by fax at 408- 287- 3108." GENERAL PROVISIONS OF THE FIRST AMENDMENT:

The following general provisions shall govern this First Amendment to the Franchise Agreement:

A. Except as modified hereby, the terms and provisions of the Franchise Agreement shall remain unmodified and in full force and effect.

S. Capitalized terms not otherwise defined herein shall have the same meaning as set forth in the Franchise Agreement.

C. In case of any conflict between any term or provision of this Amendment and any term of provision of the Franchise Agreement, the term or provision of this Amendment shall govern.

This Amendment may be executed in one or more counterparts, each of which shall be deemed an original, but all of which when taken together shall constitute one agreement.

SIGNATURE PAGE FOLLOWS]
3557836. 1 4

IN WITNESS WHEREOF, this Amendment has been executed as of the date set forth above.

Town of Los Altos Hills
A California municipal corporation
AGREED:
1 Carl
1 Cahill
XqX (A
City Manager
ATTESTED:
6)60ko& 4=
City Clerk
APPROVED AS TO FORM:

City Attorney
3557836. 1
GreenWaste Recovery, Inc.

A California corporation
AGREED:

Tracy dams
Co -Chief Executive Officer

IN WITNESS WHEREOF, this Amendment has been executed as of the date set forth above.

Town of Los Altos Hills
A California municipal corporation
AGREED:

CA
Carl Cahill
City Manager
ATTESTED:

City Clerk
APPROVED AS TO FORM:

City Attorney
3557836. 1
GreenWaste Recover Inc,
A California corporation
AGREED:
7`racy dams
Co -Chief Executive Officer

TOWN OF LOS ALTOS HILLS November 18, 2021
Staff Report to the City Council
SUBJECT: CONSENT TO TRANSFER OF A CONTROLLING PERCENTAGE OF GREENWASTE RESOURCES, INC. CAPITAL STOCK TO MIP V

WASTE, LLC AND SECOND AMENDMENT TO FRANCHISE

AGREEMENT BETWEEN THE TOWN OF LOS ALTOS HILLS AND
GREENWASTE RECOVERY, INC. FOR COLLECTION AND

PROCESSING OF MIXED COMPOSTABLE MATERIALS,

RECYCLABLE MATERIALS AND YARD TRIMMINGS
FROM: Peter Pirnejad, City Manager
Cody Einfelt, Management Analyst
Steve Mattas, City Attorney
John Bakker, Special Counsel
RECOMMENDATION: That the City Council:

Approve the proposed Consent and Second Amendment to Franchise Agreement for Collection and Processing of Mix Compostable Mater, Recyclable Materials and Yard Trimmings.

BACKGROUND:

On July 1, 2019, the Town of Los Altos Hills entered into a 15-year exclusive Franchise Agreement with GreenWaste Recovery, Inc. (GWR) for the collection of yard trimmings, recycling and compostable materials generated in the Town. It was amended in July 2020 to reduce the scheduled rate adjustment on July 1, 2020 from 9% to 2.45%, in exchange for adding a scheduled 9% rate adjustment on July 1, 2024.

GWR has entered into an agreement with MIP V Waste, LLC, in which MIP V Waste, LLC will acquire a majority of GWR’s capital stock. Under the terms of the Franchise Agreement, the transaction requires the Town’s consent.

DISCUSSION:

Over the last year, GWR and the Town have engaged in negotiations in an attempt to resolve certain rate and service-related issues. The parties had not been able to resolve those issues when the Town received GWR’s request for consent on September 10, 2021.

MIP V Waste, LLC is a subsidiary of Macquarie Group, Ltd., an international financial group that trades on the Australian Securities Exchange. Among Macquaries’s operations are private equity investments focused on infrastructure. Macquarie’s subsidiaries have acquired controlling stakes in a number of waste companies in the United States, and the GWR investment is similar. GWR indicated in its request for consent that it expects no P.P
Attachment 4

2 changes to the management team, that it would continue to perform all of its obligations under the contract, and that it is confident that the Town would not experience any changes to the services it is accustomed to receiving.

Sections 18.3 and 18.4 of the Franchise Agreement permit assignments and other transfers only with the prior consent of Town, which consent the Town may withhold at its sole discretion. Section 18.4 deems a sale or transfer of a controlling percentage of capital stock to be an assignment, and therefore the transaction requires the Town’s consent.

In discussions with GWR, Town staff expressed concerns about the proposed transaction.

In particular, staff is concerned about GWR converting from a closely held local company to one controlled by an international financial group. It also expressed significant concerns about consenting to the transaction without first resolving the stillpending rate and service-related issues. During the course of the parties’ discussions, GWR reassured Town staff that GWR operations will continue unaffected by the ownership structure, specifically noting that Tracy Adams would continue in his role as Chief Executive Officer.

GWR has agreed—in conjunction with the Town’s consent to the transaction—to a Consent and Second Amendment that would resolve the rate and service-related issues.

In particular, the proposed Consent and Second Amendment would:

1. Alter the scheduled July 1, 2022 9% rate adjustment to a CPI increase (based on the January 2021 and December 2021 period).

2. Alter the scheduled July 1, 2023 9% rate adjustment to 7.52% plus CPI increase (based on the January 2022 and December 2022 period) not to exceed a total increase of 9%.

3. Commit the parties to negotiate in good faith toward revising the manner in which GWR provides collection services. The Franchise Agreement changed in the manner in which services were provided in Los Altos Hills due to anticipated changes in law. The anticipated changes in law did not fully occur as anticipated, and GWR and the Town have an opportunity to revise the service structure to be consistent with the manner in which services had been provided previous to the 2019 Franchise Agreement. In particular, GWR would provide customers with three carts and allow them to be placed at a location of their choosing, whether On-Premise, On-Street and/or Curbside or some combination thereof. These changes may impose various new or different costs on GWR (and perhaps reduce others), and the Consent and Second Amendment includes a framework for the parties to work toward a revised collection program beginning July 1, 2023. Any revision to the Franchise Agreement that results from this process would be subject to approval of the City Council. Also, if the parties are not able to reach an agreement, the increase authorized for July 1, 2024 would be limited to an CPI increase.

4. Add six street segments (Aric Lane, La Paloma Road, Mora Drive, Page Mill Road, Ravensbury Avenue, and West Loyola Drive) to the Street Sweeping List.

5. Beginning reporting revenues monthly beginning January 2020 (not scheduled to begin until July 2023.)

3 6. Granting the Town five additional opportunities to obtain current billing account, level of service information and route maps.

Staff believes that the proposed Consent and Second Amendment includes reasonable modifications to address, at least in party, the pending issues between the parties and therefore is recommending City Council approval.

FISCAL IMPACT:

There is no Fiscal Impact to the Town associated with this recommendation.

ATTACHMENTS

1. Consent and Second Amendment to the Franchise Agreement between the Town and GreenWaste.

2. Letter from GreenWaste Recovery, Inc., dated September 10, 2021, regarding Notification in Change in Control and Request for Consent.

3. Franchise Agreement between Town and GreenWaste Recovery and First Amendment Thereto.

Attachment 1

[REVISED] EXHIBIT G: STREET SWEEPING
The following street segments shall be swept once each month:

Road/section
Estimated
Linear Feet
1 Altamont Road, from Moody Road to Page Mill Road 11,506 2 Anacapa Drive, from Visciano Road to Ascension Drive 1,300 3 Arastradero Road, from Page Mill Road north to Town Boundary 1,430 4 Arastradero Road, from Horseshoe Lane to Stirrup Way 1,900 5 Black Mountain Road, from Natoma Road to Altamont Road 2,816 6 Blandor Way, from Magdelena Avenue to Olive Tree Lane 850 7 Briones Way, from Altamont Road to Via Ventana 1,600
8 Canario Way, from Visciano Road north to end 950
9 Conception Road, from Fremont Road to Purissima Road 4,604 10 Corte Madera Lane, from Conception Road west to end 580 11 Dawson Drive, from Magdelena Avenue west to end 2,555 12 Dianne Drive, from O’Keefe Lane north to end 1,200
13 Duval Way, from Robleda Road southwest to end 1,200
14 Edith Road from Fremont Road to end of bridge 500
15 El Monte Avenue, from Summerhill Avenue to Elena Road 14,066 16 Elena Road from Purissima Road to El Monte Road 14,230 17 Aric Lane, from Fremont to end. 940
18 Esperanza Drive 2,674
19 Fawn Creek Court, from Page Mill Road east to end 695 20 Foothill Lane, from Elena Road north to end 1,014
21 Fremont Pines Lane, from Fremont Road south to end 600 22 Fremont Road, from Arastradero Road to end 11,843
23 Horseshoe Court, from Arastradero Road south to end 465 24 Horseshoe Lane, Horseshoe Court west to end 828
25 La Barranca Road, from Purissima Road to Elena Road 2,080 26 La Cresta Court, from La Cresta Drive to end 870
27 La Cresta Drive, from south end to Arastradero Road 7,020 28 La Paloma Road from Fremont Road to Purissima Road 5,465 29 Liddicoat Drive & Circle 3,451
30 Lupine Road, from Page Mill Road west to end 1,179
31 Magdelena Avenue, from Eastbrook Avenue to Camino Hermoso 8,210 32 Manuella Road, from Fremont Road to Rancho Manuella Road 3,415 33 Moody Road, from Elena Road to Tanglewood Lane 7,130 34 Mora Drive, from Town Boundary to Town Boundary 1,491 35 Murietta Lane, from Moody Road south to end 870
36 Natoma Road, from Elena Road to Altamont Road 6,159
37 Newbridge Drive, from La Paloma east to end 780
38 Nina Place, from La Cresta Drive west to end 785
39 O’Keefe Lane, from El Monte Road west to end 4,444
40 Page Mill Road, from Berry Hill Court to 935' north of Altamont Road 11,317

41 Paseo del Roble, from Page Mill Road to Page Mill Road 3,745 42 Purissima Road, from Robleda Road to Arastradero Road 9,558 43 Ravensbury Ave, from Magdalena Road to West Loyola 4,514 44 RobLe laedera 1,840
45 Roble Veneno Lane, from Conception Road west to end 330 46 Robleda Road, from Fremont Road to Elena Road 7,685
47 Stonebrook Drive, from El Monte Road to Teresa Drive 3,740 48 Story Hill Lane, from Page Mill Road southwest to end 1,603 49 Summerhill Avenue, from El Monte Road to Nicole Lane 900 50 Taaffe Road, from Elena Road to Altamont Road 4,692
51 Via Ventana, from Page Mill Road east to end 2,062
52 Viscaino Court 1,110
53 Viscaino Road, from Conception Road to Purissima Road 3,456 54 Via Serena, from O’Keefe Lane north to end 750
55 West Loyola Drive, from Eastbook Ave to Ravensbury Ave 4,762 56 Westwind Way, from Conception Road to La Paloma Road 1,070 Totals 196,829

Attachment 2

TOWN OF LOS ALTOS HILLS

MEMORANDUM
DATE: February 17, 2022
TO: Honorable Mayor and Councilmembers
FROM: Cody Einfalt, Management Analyst II
APPROVED: Peter Pirnejad, City Manager
RE: Discussion and Possible Action to Form a Council Ad Hoc Committee to Review and Make Recommendations on the Town’s Solid Waste Franchise Agreement with GreenWaste Recovery Inc.

At the November 18, 2021 City Council meeting, the City Council approved of a Second Amendment to the Town’s 15 year franchise agreement with GreenWaste Recology for the collection and processing of mixed compostable materials, recyclable materials, and yard trimmings. The Staff report from that meeting can be found in Attachment 1.

Amongst several contractual and service changes that benefit the residents of the Town, the Second Amendment committed the parties to negotiate in good faith toward revising the manner in which GreenWaste provides collection services.

Specifically, section three of the Second Amendment states that:
“Negotiations to Explore Reverting to Prior Collection Program: Franchisee and Town agree to enter into good faith negotiations in calendar year 2022 to explore reverting to the collection program that was in place as-of June 30, 2019, wherein Residential Service Recipients were permitted to participate in a three-stream collection system generally placing Carts at a location of their choosing, whether On-Premise, On-Street and/or Curbside or some combination thereof.

Beginning in January 2022, Franchisee and Town shall begin discussing options to revise the scope of services provided to Residential and Non-Residential Service Recipients. Within 60- days of being provided a finalized scope(s) of work from the Town. Franchisee shall provide the Town with a corresponding cost proposal(s) that shall first utilize existing labor and capital according to Franchisee's current route labor requirements and depreciation schedule, then shall identify additional labor requirements, inclusive of changes to off-route demands resulting from the new and/or modified services, and /or additional capital required to perform the new and/or modified services that shall be depreciated over the remaining Term of the Agreement, and shall also incorporate adjustments to processing costs resulting from the new and/or modified collection AGENDA ITEM #6.D
C.E.

P.P.

Attachment 5

programs, as applicable. Once the scope(s) of service and cost-proposal(s) have been sufficiently refined, Franchisee and Town shall work collaboratively to develop corresponding rate structure(s) for the City Council's consideration that will generate the revenue required to cover Franchisee's revenue requirement.

Franchisee and Town are committed to finalize negotiations in calendar year 2022 with the goal of rolling out new and/or modified collection programs and rates on July 1, 2023.”
Further, it should be noted that if the two parties are not able to reach an agreement as they explore changes to collection services in Town, the rate increase authorized for July 1, 2024 would be limited to the Consumer Price Index (CPI) Specifically, section two of the Second Amendment states that:
“Unless otherwise agreed upon in writing, beginning July 1, 2024 (Sixth Contract Year) and on each July 1 thereafter for the remainder of the Term, Franchisee's rates shall increase (or decrease) annually by one hundred (100%) of the change in the CPI Index between January 1 and December 31 of the prior calendar year.” In January of this year, Town staff met with the GreenWaste team to begin the conversation of revisiting the agreement. GreenWaste requested that the Town gather its recommendations on changes to the agreement no later than May 2022. This would give GreenWaste enough time to calculate the costs and potential changes to the rate structure and return to the Town Council before the end of the calendar year to receive consensus on whether these changes will be implemented on July 1, 2023.

Staff recommends that the City Council form an Ad Hoc Committee of two members of the Council and three other residents of the Town to advise staff in the negotiations with GreenWaste as the two parties explore reverting back to the prior collection program.

This Ad Hoc Committee will meet between February and May to compile recommendation for GreenWaste to consider.

ATTACHMENTS:

1. November 18, 2021 Staff Report to City Council (See Attachment 4 above)

Idea Benefits Drawbacks Relative Cost Alternatives or Notes 1a) Return to three cart setout, where Green carts can be collected anywhere.
(green separate)
• Increases equity of
service
• More convenient set-out
location for broader user
base
• Maximize material
collected for highest and
best use as organic
compost
• Second vehicle servicing on-premise
locations (assuming green is collected
on-prem as source-separated material)
$$$$ Would need two (2) additional single
compartment trucks and drivers
ESTIMATES:

Two (2) Trucks = $450,000 1x
Two (2) Drivers = $320,000 per year
1b) Return to three cart setout, where Green carts can be collected anywhere.
(gray and green mixed
within truck anywhere
inaccessible to clean green
truck)
• Most similar to prior
service
• More convenient set-out
location for broader user
base
• Increased amount of Gray Cart material
collected = lower diversion and
increased processing costs
• Rates for Green Carts would need to
increase to reflect increased processing
cost / If same rates are charged for
green regardless of location, people
with green curbside would be
subsidizing the customers whose green
carts are processed as gray
• There would be education /
communication challenges associated
with clean Green being combined with
Gray
$$$ Would need one (1) additional split-body truck
and driver, and all mixed green & gray tonnage
would be processed at the MSW rate. Note –
Green Cart would need to remain Yard
Trimmings only regardless of collection
methodology for rate-setting purposes.

ESTIMATES:

Truck = $250,000 1x
Driver = $160,000 per year
Processing = $60,000 more per year
2) Update definition of
Drive-On so that it is only
applicable for true
driveways
• Increases equity of
service
• Reduces operational efficiencies $ GreenWaste would need to conduct an assessment of current Drive-on Service to
understand what would become “Curbside”
and how current distances would be affected
3) Allow every-other-week
garbage collection to reduce
bills
• Putrescible waste must be collected weekly per 14 CCR 17331 Residents can reduce to 20-gal cart for minimal service. Note, the cost for this 20-gal Cart
includes 1 Blue Cart and 2 Green Carts.
4) Assign GreenWaste SB
1383 compliant “Route
Reviews”
• Town achieves
component of 1383
regulatory compliance
• n/a $ GreenWaste is working to provide a quote.

Likely ~ $10,000 per year.
5) Enable electronic bills • n/a - we already provide this capability. 935 customers have signed up (32%) GreenWaste can work with the Town on a plan to better publicize the availability of this
service.
6) Show cost breakdown on
individual bills
• This is not feasible with billing program GreenWaste can assemble an educational piece (see City of Palo Alto example).
7) Free Manure Pick-up • Lower expenses for those
that currently subscribe
to manure service
• Increases customer-to-customer
subsidization, with those lacking manure
Town could take on the charges for this
service, but GreenWaste is uncomfortable with
the risk
Attachment 6

service subsidizing those with manure
service
• Risk GreenWaste is unwilling to
assume: 1) Unknown number of people
utilizing Mixed Compostable and/or
Yard Trimmings service for Manure, so
likely not capturing the true scope of
users, 2) Unknown number of people
managing manure through an
alternative means, 3) Unknown future
subscribers to Manure service
8) Remove street sweeping
cost from individual bills
and have the Town pay for it
• Reduces cost to individual
rate payers
• Reduces customer-tocustomer subsidization
since not all residents
enjoy street sweeping on
their streets
• Town would need to identify proper
funding for this service
Shift in cost GreenWaste will work to isolate this cost if this is something the Town is open to assuming
9) Revert back to 100 feet of
driveway free (rather than
first 10 feet)
• Residents will enjoy
greater convenience
when setting out their
containers for service
• Reduces operational efficiencies,
especially when a driver cannot turn
around on property
• Increases the number of Green Carts
potentially collected as Gray Cart
material
• Increases customer-to-customer
subsidization, with those setting out at
“true curbside” subsidizing those setting
out at 100 ft for no additional charge
• Increases liability for private driveway
damage
$$$ Would need to add at minimum one (1)
additional split-body truck and driver (see
estimates above).

GreenWaste purchased equipment to match
new agreement, which assumed curbside
materials. Further, curbside routes are running
long daily, so existing curbside routes cannot
be shifted to on-prem.

Important to note that on-prem service (free
tier) would increase exponentially: 1) There
would be new visibility into the program and
therefore increased participation, and 2) 100 ft
was measured differently in the past. The
measurement initiated at property line along
the route, meaning that the 100 ft mark was
true curbside in some situations
METHODS TO REDUCE COSTS:
• Extend Agreement so new costs are spread out over time • Reduce Franchise Fee set to commence July 1, 2023 (7.52%) (or use this funding to offset expenses of above alterations)

600 accounts with Swap Program
2 96YT carts needed and remove MC cart Costs per year
Cost of carts: $114,717.00 16,388
Cost for new truck and one-time start-up: $214,920 30,703 Driver Labor costs per year: $174,000 174,000
Route Reviews: $1,000 1,000
Cost for print materials: $5,000 417
Processing Costs per year: $60,000 60,000
Interest 12,895
Truck maintenance 21,188
G&A 43,171
Total cost $ 359,762.44
New Drive on Definition 22 Homes Affected
Per Month Annual
Loss of Drive on Charge $ 390.00 $ 4,680.00
Extra Free Distance $ 660.00 $ 7,920.00
Total $ 12,600.00
Route Reviews 376 per year
Per Home
3rd Party "Lid Flip" Survey $ 2.70 $ 1,015.20
Travel & Lodging Cost $ 2,500.00
Report Preparation $ 750.00
G&A $ 500.00
Total $ 4,265.20
GreenWaste Recovery, LLC
Los Altos Hills Proposal
Attachment 7

Attachment 8

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: RESOLUTION APPROVING A POLICY AND PROCEDURE FOR

CEREMONIAL AND COMMEMORATIVE FLAG DISPLAYS ON FLAG

POLES IN TOWN
FROM: Steve Mattas, Legal Council
APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION:

That the City Council consider and adopt a resolution approving a Policy and Procedure for ceremonial and commemorative flag displays on Display Flag Poles throughout the Town of Los Altos Hills.

DISCUSSION:

The Town of Los Altos Hills does not currently have a policy or procedure related to the display of ceremonial and commemorative flags on Town-owned flagpoles (“Display Flag Poles”). In a special City Council meeting held on May 25, 2022, City Council directed staff to propose procedures related to the display of ceremonial and commemorative flags on Display Flag Poles.

The Town’s Display Flag Poles are not intended to serve as forums for free speech or expression by the public, but rather are only to display ceremonial and commemorative flags that express the official sentiment of the City Council.

To ensure the proper administration and display of flags on Display Flag Poles and to establish that the Town does not intend to open a public forum on the Display Flag Poles, staff recommend that City Council approve a Display Flag Poles Policy and Procedures, included as Attachment 1, establishing the City Council’s role in requesting and approving which commemorative and ceremonial flags will be flown on Display Flag Poles as an expression of the Town’s official sentiment.

FISCAL IMPACT:

There is no anticipated fiscal impact for the adoption of the attached resolution.

ATTACHMENTS

1. Proposed Resolution Approving Policy and Procedures

2. Display Flag Poles Policy and Procedures
AGENDA ITEM #6.A
P.P.

RESOLUTION NO._____

A RESOLUTION OF THE CITY COUNCIL OF THE

TOWN OF LOS ALTOS HILLS APPROVING A POLICY AND PROCEDURE

FOR CEREMONIAL AND COMMEMORATIVE FLAG DISPLAYS ON

DISPLAY FLAG POLES
WHEREAS, the Town of Los Altos Hills does not currently have a policy for the display of all ceremonial and commemorative flags on Town-owned flagpoles (“Display Flag Poles”); and WHEREAS, City Council of the Town desires to display ceremonial and commemorative flags on Display Flag Poles as an expression of the City Council’s official sentiments; and WHEREAS, the Town’s Display Flag Poles are not intended to serve as forums for free speech or expression by the public, and are intended only to display ceremonial and commemorative flags that express the official sentiment of the City Council; and WHEREAS, to ensure the proper administration and display of flags on Display Flag Poles and to establish that the Town does not intend to open a public forum on the Display Flag Poles, the City Council wishes to approve Display Flag Poles Policy and Procedures, establishing the City Council’s role in requesting and approving which commemorative and ceremonial flags will be flown on Display Flag Poles as an expression of the Town’s official sentiment.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills, does RESOLVE as follows:

1. The above recitals are true and correct and hereby incorporated into this Resolution.

2. The Display Flag Poles Policy and Procedures, included as Attachment 1, is hereby approved.

3. The City Manager is authorized to execute the approved Display Flag Poles Policy and Procedures, and to take any other related action reasonably necessary to carry out the intent of this Resolution.

4. This Resolution shall take effect immediately upon its passage 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 20th day of October, 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
26379 Fremont Road
Los Altos Hills, CA 94022
Phone: (650) 941-7222
www.losaltoshills.ca.gov
Display Flag Poles Policy & Procedures
Approved by City Council: _________________

1. Purpose
The purpose of this document is to establish the policy and procedures to be followed by all Town employees regarding the display of ceremonial or commemorative flags on the flag poles throughout the Town (“Display Flag Poles”).

2. Policy
All flags shall be displayed in accordance with federal and state regulations, including Title 4, Chapter 1 of the United States Code, and Sections 430 through 439 of the California Government Code. Display Flag Poles are not intended to be a forum for free expression by the public.

Ceremonial or commemorative flags shall be displayed as an expression of the Town’s official sentiments. Ceremonial and commemorative flags elected for display will reflect the Town’s speech, not that of an individual community member or group, and therefore must be approved by City Council resolution.

The display of ceremonial or commemorative flags other than the flags of the United States of America, State of California, and Town of Los Altos Hills must be supported by at least one Council member for Council consideration. The Council will not review proposals for the display of ceremonial or commemorative flags from third parties directly, nor will the Town use its Display Flag Poles to sponsor the expression of a third party. Flag raising ceremonies shall be conducted in accordance with all applicable provisions of federal and state laws.

3. Procedures
The Town will authorize the display of ceremonial or commemorative flags on Display Flag Poles as an expression of the Town’s official sentiments upon adoption of City Council resolution:

A. A councilmember who wishes to propose the display of ceremonial or commemorative flags will contact the City Manager to request a draft resolution be presented to City Council.

B. Town staff will draft and present a resolution to City Council including a proposed date of flag-raising, the length of flag display, and expression of the Town’s official sentiments regarding the proposed flag.

Attachment 2

Draft Flag Display Policy and Procedures

C. The resolution must be approved by a majority of City Council members to be adopted.

B. Upon adoption of the City Council Resolution to display a ceremonial or commemorative flag, Town staff will follow the following guidelines:
a. The procurement of the flags for each Display Flag Pole shall be the responsibility of the Town.
b. Any flag-raising ceremony will not be allowed to take place in the street or in any other way block the public right of way.
c. Speakers may be permitted to speak on the Town’s behalf to present background information on the flag display.

C. Any exceptions to these guidelines must be approved by resolution of City Council.

D. If any of these guidelines are not followed, the Office of the City Manager has the right to suspend or cancel a flag-raising ceremony.
5171557.2

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: APPROVAL OF THE CANCELLATION OF THE REGULAR CITY COUNCIL MEETING OF JANUARY 19, 2023 AND THE

SCHEDULING OF A SPECIAL CITY COUNCIL MEETING ON
JANUARY 24, 2023 DUE TO THE LEAGUE OF CALIFORNIA CITIES

NEW MAYOR AND COUNCILMEMBERS ACADEMY
FROM: Deborah Padovan, City Clerk
APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Cancel the regularly scheduled City Council meeting on January 19, 2023 and schedule a Special Meeting to convene on January 24, 2023.

BACKGROUND:

The League of California Cities 2023 “New Mayors and Council Members Academy” is scheduled for Wednesday, January 18 through Friday, January 20, 2023. The academy provides critical training on important, fundamental topics for local government taught by subject matter experts and seasoned elected officials. Los Altos Hills City Council Members that have attended the program in the past have found the conference to be very beneficial. Staff has polled the Council, and the amended schedule does not present a scheduling conflict for any of the members.

DISCUSSION:

Upon approval of the January meeting schedule, staff will calendar and circulate the new date.

ENVIRONMENTAL REVIEW:

This action does not qualify as a “Project” as defined in California Government Code Section 15378(b) of the Guidelines for California Environmental Quality Act. 2022 CITY COUNCIL STRATEGIC PRIORITIES:

This action was not identified under the current Council priorities. This is covered by the majority of work staff does that is “under the water line,” which represents our day-today operational activities.

AGENDA ITEM #6.B
D.P.

P.P.

Staff Report Page 2
January City Council Meeting
October 20, 2022
2 FISCAL IMPACT:

There is no fiscal impact associated with this action.

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: CONSIDERATION TO ADOPT THE AMENDED RESOLUTION

ESTABLISHING STANDING COMMITTEES AND THE CODE OF

CONDUCT FOR STANDING COMMITTEES
FROM: Peter Pirnejad, City Manager
Steve Mattas, City Attorney
RECOMMENDATION That the City Council:

Adopt the amended resolution establishing standing committees and the Code of Conduct for Standing Committees (See Attachment 1 – Resolution for Adoption).

BACKGROUND
The City Council values the role the Town’s standing committees serve in providing advice to the Council. In effort to promote consistency in protocols among all committees the City Manager identified the need to review the current standing committee resolution and the code of conduct for committee members.

To assist with the review, a consultant (MRG) was engaged to work with the City Manager and City Clerk. MRG has experience working in the areas of City governance and has knowledge of best practices for municipal advisory committees. MRG proposed committee protocols for the City Manager and City Clerk to consider with the goal of establishing consistent practices among the City’s committees and to provide clear expectations regarding the roles and responsibilities for committee members.

Several steps were taken in developing the protocols including:
• Sending a survey administered by the consultant to all committee members requesting input on a number of subjects and received a 57% response rate; • Organized and facilitated a roundtable meeting of all chairs of all the committees to get feedback on the committee process;
• Reviewing the Town’s existing standing committee protocols and practices; • Assessing practices and gathering examples and protocols followed by other cities, including Bozeman, Corvalis, and Sunnyvale; and
• Seeking input from staff that support the standing committees.

DISCUSSION
The Town’s eleven standing committees are an important part of the Town’s governance structure. Supporting the committees to make sure that Town regulations and applicable AGENDA ITEM #6.C
P.P.

Staff Report Page 2
Code of Conduct
October 20, 2022
State laws are adhered to and provide direct staff assistance requires considerable time on the part of staff. To standardize how committees operate, improve alignment with council goals, and best use staff resources, changes to the resolution establishing the committees and a Code of Conduct for Standing Committees is being proposed. The proposed Code of Conduct for Standing Committees would incorporate previously drafted protocols, procedures and rules into one Code of Conduct document, and will also include additional rules recommended by MRG in that same document, to help the committees work in a more efficient manner and clarify the roles and responsibilities of committee members across all the committees (See Attachment 2).

The proposed Code of Conduct for Standing Committees includes, but is not limited to, the following areas:
• Requirements upon appointment;
• Meeting operating protocols;
• Training;
• Minutes;
• Workplans;
• Committee member interactions with Town staff, Town vendors the public and the Council;
• Norms of behavior;
• General Code of Conduct.

It is important to note that the proposed Code of Conduct for Standing Committees includes both additions and clarifications on existing practices, some of which were previously laid out in the Resolution Establishing Standing Committees.

The City Attorney has reviewed the proposed changes to the existing resolution and the draft Code of Conduct for Standing Committees.

Upon review of these proposed changes, if Council requests more time to review or that the community need more time to process the changes, the Council may direct staff to return at the Council meeting of November 17th to request that the City Council adopt the changes to the Resolution Establishing Standing Committees and the Code of Conduct for Standing Committees.

In this same agenda for the October 20, 2022 City Council meeting is a companion agenda item on the consent calendar, titled “Amending the Standing Committee Resolution to Update Charter of the Emergency Preparedness and Response Committee”. If that agenda item is also approved, then Town staff will take administrative action to prepare a final version of the Resolution incorporating all amendments to the Standing Committee Resolution.

Staff Report Page 3
Code of Conduct
October 20, 2022
ENVIRONMENTAL REVIEW:

This action does not qualify as a “Project” as defined in California Government Code Section 15378(b) of the Guidelines for California Environmental Quality Act. 2022 CITY COUNCIL STRATEGIC PRIORITIES:

The Council identified, “Increase Effective Use of Committees” as one of their Key Projects under the Value areas of, “Increase Effective Service Delivery and Governance.” Under this key project the Council identified three milestones; “Standardize Committees and Create Meeting Norms”, “Hold an annual Committee Roundtable”, and “Hold an Annual City Council meeting with Committees.” This action is the culmination of all three milestones as well as the Key Project identified in the City Council’s 2022 Strategic Priorities.

FISCAL IMPACT:

There are sufficient funds in the Adopted Budget for FY22-23 in the amount of $11,500 to cover the expenses for MRG through the end of June 2023. The Town has incurred approximately $3,900 in expenses thus far for MRG from July 1 to October 3, 2022

ATTACHMENT

1. Amended Resolution Establishing Standing Committees and Adopting General and Special Rules Pertaining Thereto.

2. Draft Standing Committee Code of Conduct

Resolution Page 1

RESOLUTION

RESOLUTION OF THE TOWN OF LOS ALTOS HILLS

ESTABLISHING STANDING COMMITTEES AND

ADOPTING GENERAL AND SPECIAL RULES PERTAINING THERETO AND

ADOPTING THE CODE OF CONDUCT FOR STANDING COMMITTEES
WHEREAS, the City Council of the Town of Los Altos Hills wishes to establish standing volunteer committees to assist the Council with various issues; WHEREAS, the City Council also wishes to adopt a Code of Conduct for Standing Committees that standing committee members are required to abide by; NOW, THEREFORE, the City Council of the Town does RESOLVE that the following standing committees are established, and the following general and special rules pertaining to standing volunteer committees are hereby adopted, including the Code of Conduct for Standing Committees:

Section 1. Committees Established. The following are hereby constituted as the regular Standing Committees of the Town:
a) Community Relations Committee
b) Emergency Preparedness and Response Committee
c) Environmental Design and Protection Committee
d) Finance and Investment Committee
e) Parks and Recreation Committee
f) Pathways Committee
g) Open Space Committee
h) Environmental Initiatives Committee
i) History Committee
j) Public Art Committee
k) Technology Committee
Section 2. General Powers and Duties
Each of the Standing Committees shall have the general power and duty to render advice and make recommendations to the City Council, Planning Commission, or the City Manager and other Town bodies designated by the City Council on all aspects of its particular sphere of interest.

Each Standing Committee shall make regular oral reports to the Council, in addition to any specific reports and recommendations requested by the City Council or deemed necessary by a majority of the members of the Standing Committee.

Each Standing Committee shall meet with the City Council, once a year at the Council’s request, to discuss and report on its goals, projects, accomplishments, and concerns.

Each Standing Committee shall study its own structure, specific charges and direction, and recommend any changes, if needed, to the City Council.

Attachment 1

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The City Council shall advise Standing Committees of any evaluation made of the Standing Committee’s actions and direction, and any proposed action to amend the Standing Committees charges.

Each Standing Committee is encouraged to send a representative to City Council and Planning Commission meetings whenever possible.

Section 3. Appointment of Committees. The following general rules shall be applicable to the qualifications of members and associate members of Standing Committees, and their appointment and removal;
The members of each Standing Committee shall be appointed with the approval of a majority of the City Council.

Each Committee member shall:
(1) Be a resident of the Town at the time of their appointment and for so long as they serve. (2) Serve at the pleasure of the Council, without compensation or payment of mileage, for a term of four {4} years. In the case of the Councilmembers serving on a Standing Committee as voting members, their terms shall not exceed their terms of elected office. Upon leaving elected office the City Council shall appoint other members of Council to those committees with Councilmember participating as voting members. (3) Be eligible for reappointment upon application to the City Council, but the City Council shall encourage new applicants in order to promote widespread community involvement. To achieve this, the City Council will generally not appoint an applicant who has served for two {2} consecutive terms as a member of that Committee, within a period of two {2} years from the expiration of their most recent term. These term limits do not constrain a resident from being appointed as an associate member of that Committee, nor from applying for appointment to any other Town Committee. (4) A Committee member’s record of attendance at the Committee’s meetings may be a factor in determining whether that member should be reappointed to the Committee. (5) Notwithstanding the foregoing, the City Council retains the ability to appoint anyone that it may select by majority vote for membership on a Town Committee. (6) Not serve as a member (as distinguished from an associate member) on more than one of the following committees concurrently: Pathways Committee; Open Space Committee; and Environmental Design and Protection Committee. Individual committee members currently serving as members on more than one of these committees are grandfathered in and may continue to serve on more than one of these committees until their respective term ends on one of these committees. (7) Be considered to have resigned in the event of three consecutive absences from the meetings of their Committee, unless the Chairperson of the Committee shall have excused the member’s absence and informed the other Committee members of the exception at the third consecutive meeting missed.

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(8) The associate members of each Standing Committee shall be appointed by a majority vote of their respective committees. Each Associate Committee member shall:
(i) serve at the pleasure of the Committee without compensation or payment of mileage for a term not to exceed four {4} years.
(ii) have non-voting membership status.
(iii) be of assistance to their respective committees with their charges and duties on an as-needed basis. Residency and regular meeting attendance is not required.
(iv) be unlimited in number based on the needs of each committee. (v) the appointment of associate members of the Environmental Design and Protection Committee, Pathways Committee, and Open Space Committee shall be subject to the approval of the City Council. Notwithstanding the foregoing, if the duties of the associate members of those committees do not include site visits, City Council approval shall not be required.

Notification of resignations or terminations of committee members shall be submitted to the City Council in writing. Notification of appointments and resignations of associate members shall be submitted to the City Clerk in writing. Vacancies in the membership of any Standing Committee with the exception of the Councilmembers serving as voting members on any Standing Committee shall be filled in the following manner:
(1) The City Clerk shall post in three {3} public places in the Town a notice of the fact that a vacancy has occurred and that the applications will be received prior to a date stated in the notice.
(2) All persons interested in serving shall submit to the City Clerk a written request for appointment containing such information on their background and qualifications as they deem appropriate. The City Clerk shall notify all applicants of the Council meeting at which their application shall be considered. (3) The City Council shall, during a public meeting, appoint Standing Committee members by selecting appointees from a roster of persons offered by individual Council members and applications from candidates. The City Council shall endeavor to appoint the best qualified persons.
(4) One member of the City Council shall be designated by the Mayor as a liaison for each Standing Committee with the exception of the Finance and Investment Committee which shall include two council liaison members (Mayor/ViceMayor). The designated Council liaison(s) may attend meetings of the Standing Committee to which he or she is assigned, and shall try to do so at least quarterly, but shall not vote. The Council liaison shall contact each member of the Standing Committee to which he or she has been assigned at least once annually to determine any problems which may exist and to receive information for use in Council evaluations of Standing Committee actions and direction.

Section 4. Organization of Standing Committees. The following general rules shall be applicable to the organization and conducting of business by each Standing Committee:

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(1) Each Standing Committee shall establish a time and place for its regular meetings.

Once the Standing Committee has established a time and place for its regular meetings, the Standing Committee shall request the City Council to approve the time and place of the regular meeting. The City Clerk shall cause notice of the schedule of regular meetings to be posted on the bulletin board at Town Hall. The agenda shall be set by the Chairperson, but upon the request of any Standing Committee member an item shall be placed on the agenda. Agendas of meetings shall be posted in compliance with the provisions of the Ralph M. Brown Act (commencing with Government Code Section 54950), as hereafter amended. No Standing Committee meeting shall be considered to have been held unless notice of the time and date of the meeting shall have been properly available pursuant to the Ralph M. Brown Act, as hereafter amended, and unless a quorum shall have been present. Special meetings of a Standing Committee may only be called by the Standing Committee Chairperson, Mayor or City Manager and must be called in accordance with the Ralph M. Brown Act.
(2) The quorum is a majority of the currently appointed membership. (3) A committee may be required to participate in property site visits. Site visits must be performed by only current committee members and are permissible as long as any group of committee members does not contain a quorum of current members.

In the event a site visit is necessary, a Standing Committee chair shall inform Town staff at least one week in advance of any visit. Town staff shall send the homeowner(s) a courtesy postcard notifying them that a site visit will be taking place within a defined time period. The postcard shall be sent a minimum of 72 hours in advance of any visit.
(4) At its first regular meeting in July of each year, each Standing Committee shall elect, by a simple majority of the members present, from its membership a Chairperson, Vice Chairperson, Secretary, and such other officers as the Standing Committee deems advisable, who shall not serve for more than two {2} consecutive one {1} year terms. If at the time of the election, it is determined that there are no viable nominations for the slate of officers including the Chairperson, the Committee may request an exemption of the general rule pertaining to the term(s) for the Officers/Chairperson from the City Council. At the July meeting, any subcommittees deemed advisable by the Standing Committee for specific activities within the purview of the Standing Committee shall be appointed by the members. At any other meeting an officer may be replaced. However, at any meeting other than the first regular meeting in July, a vote of the majority of the Standing Committee is necessary to replace or elect an officer. (5) All committee leadership (chairperson and vice-chairperson) shall attend annual training before taking their seats as chair or vice-chair, or as soon after appointment as possible, to insure they are well versed in managing meetings in an effective, fair, open, and transparent manner in compliance with the Brown Act and Rosenberg’s Rules of Order. Once the training has been completed, the Chair and Vice-Chair are not required to repeat the training annually. The Chair will also be responsible for: addressing compliance to these principles both before and after the meeting; assuring all agenda items describe the topic sufficiently to promote proper discussion; making reasonable efforts to ensure that project

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applicants and residents are given a reasonable opportunity to present and respond to questions raised during the meeting; assuring the committee does not react or respond to comments on topics that have not been agendized; and assuring that items raised by speakers during presentations from the floor that are not on the agenda are discussed to seek clarification only or to provide public information about prior relevant actions of the committee or the Town. (6) The duties of the Chairperson shall be consistent with those of a presiding officer as they pertain to the conduct of the Committee meetings and adherence to the general powers and duties, organization of Standing Committees, Committee charges and duties and procedures as set forth in this resolution. (7) The Chairperson shall be responsible for monitoring the attendance of committee members and shall meet with any committee member who the Chairperson believes is negatively impacting the operation of the Standing Committee due to absences from committee meetings to discuss a plan to eliminate future absences.

If following the meeting, the Chairperson does not believe the committee member will be able to attend the future meetings and will therefore continue to negatively impact the operation of the Standing Committee, the Chairperson may recommend that the City Council either remove the person from the Standing Committee or recommend that the Standing Committee vote to convert the person to Associate membership status on the Committee
(8) Each Standing Committee shall keep minutes of its meetings, which shall include its determinations, recommendations, attendance of members and an indication of who prepared the minutes. The minutes shall be reviewed by the City Manager who, in consultation with the City Council liaison to the particular committee, shall determine which items need to be agendized for a City Council meeting.

The minutes shall also be public records.

Section 5. Code of Conduct for all Committee Members:
a) Appointees on Committees are volunteers who desire to provide their time, service, and expertise to the Town.
b) Appointment to any Los Altos Hills Town Committee or Commission is contingent upon each prospective appointee’s acceptance of the Code of Conduct for Standing Committees. The Code of Conduct for Standing Committees, attached hereto, is designed as both an informational tool for committee use and sets forth the rules committee members are required to abide by.
c) Appointees agree that their service is intended for the greater benefit of the Town and not for any private, commercial, or personal interest.

Section 6. Special Powers and Duties. Each Standing Committee shall be empowered and obligated as follows:
a) Community Relations Committee.
i) The membership of this Committee shall consist of a maximum of seven (7) members appointed whenever feasible from different geographical areas of the Town.
ii) The charges to and duties of this Committee shall be:

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a. To encourage communication and participation between residents and Town government, and study and identify means of assuring continued cooperation among different groups;
b. Conduct a coordinated program for welcoming new residents to the Town that may include mailing welcome and information packets, personal visitations, telephone calls, and/or invitations to a dedicated welcoming event or special recognition at any regular event(s);
c. Coordinate and sponsor regular Town events including an annual Town Picnic and other special events as the Committee may recommend. d. Inform Los Altos Hills residents of community activities through written communication, articles and/or reports in “Our Town,” and/or other appropriate methods such as information tables at events. e. To assist other Committees, in implementation of special projects; f. To actively seek interested volunteers to serve on Town committees and commissions.
b) Emergency Preparedness and Response Committee
i) The membership of this Committee shall consist of a minimum of five (5) members and a maximum of nine (9) members.
ii) The charges to and duties of this Committee shall be:
a. Identify safety issues related to natural disasters. b. Research and recommend mitigation strategies to reduce the impact of a natural disaster.
c. Research and recommend emergency response protocols to natural disasters.
d. Recommend and review annually protocols to provide emergency communication services between the Los Altos Hills Emergency Operation Center (EOC) facility and:
1) The Santa Clara County Office of Emergency Services
(OES).
2) Operations located at any Town-operated Incident
Command (IC) location for the purposes of communicating between the EOC and the Town IC.
3) Surrounding area municipal emergency communication
facilities, hospitals, and emergency service groups such as the Red Cross, or other volunteer emergency response
agencies.
e. Periodically review emergency communication services to keep current the list and types of communication protocols necessary to serve the Town most effectively.
f. Recommend and review annually protocols and procedures for maintaining support radio and related equipment that support EOC operations. Review document annually.
g. Maintain a list of community members trained in effective emergency communication strategies and technologies.
h. Maintain the Emergency Communications Subcommittee of licensed amateur radio communicators experienced in emergency radio traffic to:
i. Support periodic “simulated disaster” emergency communication drills and participate in similar drills organized by the Amateur

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Radio Emergency System (ARES) District Emergency Coordinator (DEC), the CERT organization serving the Town and appropriate others including the Disaster Council.
j. Participate in opportunities available from County OES and ARES-related various local area communication readiness/training nets and offered courses.
k. Provide as needed occasional non-emergency communication services for any Town sanctioned group, as requested and when possible and practical.
l. Coordinate and periodically review activation, training, mutual aid, and operating procedure with other appropriate emergency groups and agencies in Santa Clara County OES. and as requested by the Town Council or the Director of Emergency Services. iii) Other responsibilities:
a. Recommend activity and technical protocols. Monitor and recommend technical equipment maintenance and upgrade needs for EOC radio room as well as for town field operations. b. Provide support to the City Manager for continuing
established procedures for monitoring EOC radio room equipment inventory log, and identifying needed updates, acquisitions, and item retirement.
c. Facilitate ongoing training per ARES protocol standards.

Develop and train according to Town emergency communications requirements a group of amateur radio operators within the Town and surrounding areas who will be available in a time of need to assist the Committee in the performance of its duties.
d. Support preparation guidelines of County and District ARES (Amateur Radio Emergency Services) protocol.
e. Provide occasional non-emergency communication
services for other Town sanctioned groups as requested and when possible and practical.
c) Environmental Design and Protection Committee.
i) The membership of this committee shall consist of a minimum of five {5} members and a maximum of eight {8} members
including, whenever feasible, professionals in the fields of landscape design and construction, environmental science, and pollution control.
ii) The charges to and duties of this Committee shall be:
a. To work for the beautification of the Town and the protection of its resources;
b. To assist staff in implementation of the Town landscape policy through recommendations at subdivision, site development, Planning Commission and City Council meetings, and through review and inspection of required plantings;
c. To study and make recommendations relating to landscaping and protection of public property, such as park lands, and treatment of riparian habitat and open space within the Town;
d. To identify nuisance problems and sources of pollution and recommend actions for abatement; and

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e. To prepare educational materials for residents outlining Town ordinances and enforcement with regard to landscape design and protection of the environment.
f. When requested to make recommendations to staff on proposed new development including new homes, remodels, secondary dwellings, and auxiliary structures as to impact on site specific and the surrounding neighboring sites reviewed by the Site Development Plans and Field visits. Such impacts would include topography, vegetation, drainage, lighting, skylights, riparian habitat, and conservation easements. g. To attend all Fast Track/Site Development meetings to support committee and staff recommendations.
d) Finance and Investment Committee.
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of nine {9} members. The Mayor and ViceMayor shall serve as non-voting Council liaisons. Members shall meet at least one of the following qualifications: {1} five years accounting and financial experience in a public corporation, municipal government or privately held business; {2} financial officer of a public corporation with five years’ experience; {3} investment officer of a F.D.I.C. member institution with five years’ experience; {4} money manager who specializes in corporate or government agency issues with a minimum of five years’ experience; or {5} five years’ experience in investment banking, venture capital and/or general management.
ii) The charges to and duties of this Committee shall be:
a. To serve as an advisory body to the City Council on financial and investment matters and operations related thereto;
b. To review five-year capital budgets and revenue projections and make recommendations to the City Council;
c. To review the annual budget and make recommendations to the City Council;
d. To review the annual audit and make recommendations to the City Council;
e. To advise the Council on change and selection of auditors; f. To study all fiscal issues and recommend possible improvements and economies;
g. To develop and recommend an investment Policy that protects to monitor investment performance and recommend changes as appropriate. All such recommendations shall be approved by the City Council. The City Manager shall execute any approved investment decisions. h. To monitor pension and OPEB obligations and recommend appropriate mitigation and reserve policies.
e) Parks and Recreation Committee.
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of ten {10} members, including whenever feasible, residents who are parents of young children.
ii) The charges to and duties of this Committee shall be:
a. To serve as an advisory body to the Council on matters related to year-round recreational programs and activities, including, but not limited

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to, recreational programs and activities to serve children and adults; and b. To develop new recreational programs and activities and study all recreational facilities available within the Town and make recommendations regarding their status, consistent with the General Plan. f) Pathways CommitteeU.
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of nine {9} members.
ii) The charges to and duties of this Committee shall be:
a. To work for the preservation and enhancement of the pathways within the Town for the use and enjoyment of all residents;
b. To review and recommend changes to the Master Path Plan and the Bicycle Plan of the Town;
c. To make recommendations at subdivision, site development, Planning Commission and City Council meetings regarding pathway easements; d. To meet regularly with the City Manager or the Manager’s designee to render advice on pathway activities, priorities, and necessary maintenance;
e. To communicate to residents the concepts and locations of paths and trails within the Town as approved by the City Council;
f. To study and recommend ordinances and resolutions relating to acquisition, construction, maintenance and use of public trails and pathways;
g. To communicate Town policies and procedures regarding pathways if advised to do so by the City Council; and
h. To make recommendations to the City Council regarding both the maintenance and capital improvements budgets with regard to pathways. g) Open Space CommitteeU.
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of nine {9} members.
ii) The charges to and duties of this Committee shall be:
a. To advise and assist the City Council, Planning Commission, and staff in implementing the policies and goals of the General Plan, specifically with respect to acquisition and maintenance, and protection of voluntary conservation, open space easements and open space;
b. To make recommendations at subdivision, site development, Planning Commission and City Council meetings regarding the acquisition, maintenance and protection of conservation easements, open space easements and open space;
c. To advise and assist the work for the preservation, restoration and enhancement of the environment and natural resources within the Town;
d. To study and recommend ordinances and resolutions relating to acquisition, restoration, maintenance and use of conservation easements, open space easements and open space within the Town; e. To communicate Town policies and procedures regarding conservation easements, open space easements, and open space following standard Town communication policies;

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f. To provide educational material and informational forums and programs to the public regarding natural resources (e.g., wildlife, creeks, native plants, and wildlife habitat) following standard Town communication policies; and
g. To develop relationships with other Town committees, neighboring municipalities, and regional entities to collaborate on environmental issues following standard Town communication policies.
h) Environmental Initiatives Committee
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of eleven {11} members.
ii) The charges to and duties of this Committee shall be:
a. To assist the Town in the development of and refinement of the Council’s Environmental Strategic Goals for Town-owned property; b. To recommend a set of initiatives that would lead to the progress and achievement of these goals; and
c. To review other environmental initiatives to be proposed to the City Council, subject to the appropriate hearings, that would affect other aspects of Town policy including residential development and Town infrastructure.
i) History Committee
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of nine {9} members. The mission of the Historical Committee shall be the preservation of the Los Altos Hills heritage.
ii) The charges to and duties of this Committee shall be:
a. To implement policies that preserve the historic and cultural fabric of the Town;
b. To protect the historic and cultural resources from inappropriate destruction;
c. To preserve community input into the policy-making process; d. To research and document best practices and model preservation policies; e. To organize and make available to the public the historic artifacts that have been preserved and to continue to collect historic artifacts for future generations.
iii) Nothing in the aforementioned charges and duties shall be interpreted as authorizing the mandatory historic preservation of private residences or require property owners to submit their pending site development plans before the Committee.
j) Public Art Committee
i) The membership of this Committee shall consist of a minimum of five {5} and a maximum of nine {9} members appointed whenever feasible from different geographical areas of the Town.
ii) The charges to and duties of this Committee shall be (in order):
a. Work with art consultants and/or others to find or create appropriate art for display.
b. Propose appropriate sites for the recommended art.

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c. Identify any funds that may be required to acquire recommended works of art.
d. Then present applications for new art work(s), including siting recommendations, to the Council for approval. If approved, the Town shall, with the Committee’s support, acquire the proposed art work(s). e. Work with the artist or consultant, Town and donor regarding installation, security, and lighting.
f. Be available for problem solving of maintenance and other issues. g. Maintain a public resource for all installed and displayed works of art (including artist statements, description of the art, donor information, etc.).

Note: The Town is the only entity that can accept a donation of funds or any other item(s). The Public Art Committee cannot accept donations intended for Town usage (See Section 6(b)).
iii) The committee shall meet as necessary when called by the Chairperson. k) Technology Committee
i) The membership of this Committee shall consist of a minimum of five {5} members and a maximum of seven {7} members.
ii) The charges to and duties of this Committee shall be:
a. Advise the Council and staff on policies, initiatives, and practices related to innovation and technology that could enhance services to the public and increase efficiencies
b. Assist staff in evaluating emerging trends and technologies, and make recommendations for implementing new systems and improving existing services
c. Provide policy guidance on the implementation of "Smart City" policies focusing on areas such as cyber security, promoting digital inclusion, improving mobility, enhancing public safety, and developing communication tools
d. Assist with following legislative developments, funding opportunities, and evaluating agreements and proposals
Section 7. Procedures.
a) Committees are cautioned to limit expenditures from the personal funds of the members without prior approval by the Town.
b) Committees may not enter into contracts or agreements on behalf of the Town.
c) Any correspondence involving the use of Town letterhead must first be approved by the City Council before distribution. Any outside correspondence (excluding intra-town memos) should be submitted in draft to the City Clerk.
d) All press releases and announcements relating to the Town or Townsponsored events are to be pre-approved by the City Council. Sufficient time should be allowed to obtain necessary approvals or make necessary changes.
e) Itemized budgets must be submitted in advance for projects involving a group or series of purchases.
f) Vendors for purchases shall be those which are identified and approved by the Town.

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g) Funds which are budgeted for a specific use must still be approved prior to expenditure.
h) Written bids may be submitted for consideration by the Town. In this case, three or more bids are required.
i) Any new programs, projects, or expenditures beyond what has previously been approved by the City Council shall first be submitted to vote by the Standing Committee. The recommendation and supporting minutes shall then be forwarded to the City Council for consideration prior to any obligations being made.
j) Priorities and deadlines are set by the City Council and can be changed only by the City Council.

Section 9. Repeals. This Resolution hereby repeals and supersedes all previous resolutions regarding standing committees, including, without limitation, Resolution Nos. 11- 22, 20 -22, and 58-22.

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 20th of October 2022 by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

By:

George Tyson, Mayor
ATTEST:
________
Deborah L. Padovan, City Clerk
5206665.2

Approved by the City Council
_______________, 2022

CODE OF CONDUCT FOR STANDING

COMMITTEES
Attachment 2

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TABLE OF CONTENTS
Page
I. INTRODUCTION................................................................................................................................ 2 II. GENERAL POWERS AND DUTIES ...................................................................................................... 2 III. APPOINTMENT AND REMOVAL OF COMMITTEE MEMBERS ........................................................... 2 IV. REQUIREMENTS UPON APPOINTMENT OR SPECIFIC TIME FRAME ESTABLISHED .......................... 5

1. Oath of Office...................................................................................................................... 5

2. Code of Conduct ................................................................................................................. 5

3. Training ............................................................................................................................... 5

4. Form 700............................................................................................................................. 5

5. New Committee Member Orientation ............................................................................... 5 V. ORGANIZATION OF STANDING COMMITTEES ................................................................................. 5 VI. MEETINGS ........................................................................................................................................ 6

1. QUORUM ............................................................................................................................ 7

2. AGENDAS ............................................................................................................................ 7

3. REGULAR MEETINGS........................................................................................................... 7

4. SPECIAL MEETINGS ............................................................................................................. 7

5. COMMUNICATIONS BETWEEN STANDING COMMITTEE MEMBERS .................................. 7

6. ROLE AND RESPONSIBILITIES OF THE CHAIR AND VICE CHAIR ........................................... 8

7. MEETING OPERATING PROTOCOLS .................................................................................... 9

8. MEETING MINUTES........................................................................................................... 11 VII. COMMITTEE WORKPLAN REQUIREMENTS .................................................................................... 11 VIII. RULES FOR COMMITTEE MEMBER INTERACTIONS WITH TOWN STAFF, TOWN VENDORS, THE PUBLIC AND THE COUNCIL ..................................................................................................... 12

1. Interaction with Town Staff .............................................................................................. 12

2. Interaction with Town Vendors........................................................................................ 12

3. Interaction with the Public Outside of Committee or Board Meetings............................ 12

4. Interaction and Communication with the City Council..................................................... 13 IX. NORMS OF BEHAVIOR.................................................................................................................. 144 X. GENERAL CODE OF CONDUCT...................................................................................................... 144

Approved by the City Council
__________, 2022
I. INTRODUCTION
The City Council has established a number of standing committees to review Town programs, projects and community issues. These committees provide greater community participation and input into local government and facilitated informed decisions by the City Council. Standing committees play an important role in Town government by assisting and making recommendations to the City Council. The Town of Los Altos Hills standing committees have been established by resolution with the exception of the Planning Commission, which was established by ordinance.

Additionally, the Senior Commission was established by an ordinance of the City of Los Altos.

This Code of Conduct, as adopted by the City Council, is designed as both an informational tool for committee use and sets forth the rules committee members are required to abide by.

II. GENERAL POWERS AND DUTIES
a) Each committee shall have the general power and duty to render advice and make recommendations to the City Council, Planning Commission, or the City Manager and other Town bodies designated by the City Council on all aspects of its particular sphere of interest, as explicitly identified in the most recently adopted Standing Committee Resolution. The Committee Chair shall make a formal request to the City Manager to be added to an available City Council agenda.
b) Each committee shall make annual oral reports to the Council as scheduled by the City Manager, in addition to any specific reports and recommendations requested by the City Council or deemed necessary by a majority of the members of the committee.
c) Each committee shall meet with the City Council, once a year at the Council’s request, to discuss and report on its goals, projects, accomplishments, and concerns.
d) Each committee shall study its own structure, specific charges and direction, and recommend any changes, if needed, to the City Council. e) The City Council shall advise committees of any evaluation made of the committee’s actions and direction, and any proposed action to amend the committee’s charges.
f) Each committee is encouraged to send a representative to City Council and Planning Commission meetings whenever possible.

III. APPOINTMENT AND REMOVAL OF COMMITTEE MEMBERS
The following general rules shall be applicable to the qualifications of members and associate members of standing committees, and their appointment and removal.

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a) Appointment and Reappointment
The members of each standing committee shall be appointed with the approval of a majority of the City Council. Each committee member shall:
i) Be a resident of the Town at the time of their appointment and for so long as they serve.
ii) Serve at the pleasure of the Council, without compensation or payment of mileage, for a term of four {4} years. In the case of the councilmembers serving on a standing committee as voting members, their terms shall not exceed their terms of elected office.

When each councilmember leaves their elected office, the City Council shall appoint other members of Council to those committees, with the councilmembers participating as voting members.
iii) Be eligible for reappointment upon application to the City Council, but the City Council shall encourage new applicants in order to promote widespread community involvement. To achieve this, the City Council will generally not appoint an applicant who has served for two [2] consecutive terms as a member of that committee, within a period of two [2] years from the expiration of their most recent term. These term limits do not constrain a resident from being appointed as an associate member of that committee, nor from applying for appointment to any other Town committee.
a) A committee member’s record of attendance at the
committee’s meetings may be a factor in determining
whether that member should be reappointed to the
committee.
b) Notwithstanding the foregoing, the City Council retains the ability to appoint anyone that it may select by majority vote for membership on a Town committee.
iv) Not serve as a member (as distinguished from an associate member) on more than one of the following committees concurrently:
• Pathways Committee;
• Open Space Committee; and
• Environmental Design and Protection Committee.

Individual committee members currently serving as members on more than one of these committees are grandfathered in and may continue to serve on more than one of these committees until their respective term ends on one of these committees.

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b) Associate Member Appointment
The associate members of each Standing Committee shall be appointed by a majority vote of their respective committees. Residency and regular meeting attendance is not required. Each Associate Committee member shall:
i) Serve at the pleasure of the Committee without compensation or payment of mileage for a term not to exceed four {4} years; ii) Have non-voting membership status;
iii) Be of assistance to their respective committees with their charges and duties on an as-needed basis;
iv) Be unlimited in number based on the needs of each committee; v) The appointment of associate members of the Environmental Design and Protection Committee, Pathways Committee, and Open Space Committee shall be subject to the approval of the City Council.

Notwithstanding the foregoing, if the duties of the associate members of those committees do not include site visits, City Council approval shall not be required.
c) Resignation
i) Each committee member shall be considered to have resigned in the event of three consecutive absences from the meetings of their committee, unless the chairperson of the committee shall have excused the member’s absence and informed the other committee members of the exception at the third consecutive meeting missed. ii) Notification of resignations or terminations of committee members shall be submitted to the City Council in writing. Notification of appointments and resignations of associate members shall be submitted to the City Clerk in writing. Vacancies in the membership of any standing committee with the exception of the councilmembers serving as voting members on any standing committee shall be filled in the following manner:
a) The City Clerk shall post in three [3] public places in the Town a notice of the fact that a vacancy has occurred and that the applications will be received prior to a date stated in the notice.
b) All persons interested in serving shall submit to the City Clerk a written request for appointment containing such information on their background and qualifications as they deem appropriate. The City Clerk shall notify all applicants

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of the Council meeting at which their application shall be considered.
c) The City Council shall, during a public meeting, appoint standing committee members by selecting appointees from a roster of persons offered by individual Council members and applications from candidates. The City Council shall
endeavor to appoint the best qualified persons.

IV. REQUIREMENTS UPON APPOINTMENT OR SPECIFIC TIME FRAME

ESTABLISHED

1. OATH OF OFFICE
Each member, upon appointment, will be administered the Oath of Office by the City Clerk either in-person or virtually and with the signing of a document.

2. CODE OF CONDUCT
Each new member is required to sign a form confirming that they have reviewed this Code of Conduct.

3. TRAINING
Each committee member shall attend each of the following trainings:
i. Brown Act training
ii. Local ethics training
iii. Sexual harassment training
iv. Parliamentary Training

4. FORM 700
Committee members shall file FPPC Form 700s when required by State law or as designated in the Town’s Conflict of Interest Code.

5. NEW COMMITTEE MEMBER ORIENTATION
Each committee member shall attend a new committee member orientation. Orientations will be scheduled bi-annually.

V. ORGANIZATION OF STANDING COMMITTEES
The following general rules shall be applicable to the organization and conducting of business by each standing committee:
a) Meeting Time and Place
Each standing committee shall establish a time and place for its regular meetings. Once the standing committee has established a time and place for its regular meetings, the standing committee shall request the City Council to approve the time and place of the regular meeting. The City Clerk shall

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cause notice of the schedule of regular meetings to be posted on the bulletin board at Town Hall.
b) Elections
At its first regular meeting in July of each year, each standing committee shall elect, by a simple majority of the members present, from its membership a Chairperson, Vice Chairperson, Secretary, and such other officers as the standing committee deems advisable, who shall not serve for more than two [2] consecutive one [1] year terms. If at the time of the election, it is determined that there are no viable nominations for the slate of officers including the Chairperson, the Committee may request an exemption of the general rule pertaining to the term(s) for the Officers/Chairperson from the City Council. At the July meeting, any subcommittees deemed advisable by the standing committee for specific activities within the purview of the standing committee shall be appointed by the members. At any other meeting an officer may be replaced. However, at any meeting other than the first regular meeting in July, a vote of the majority of the standing committee is necessary to replace or elect an officer.
c) Council Liaison
One member of the City Council shall be designated by the majority of the City Council as a liaison for each standing committee with the exception of the Finance and Investment Committee which shall include two Council liaison members (Mayor/Vice-Mayor). The designated Council liaison(s) may attend meetings of the standing committee to which he or she is assigned, and shall try to do so at least quarterly, but shall not vote. The Council liaison shall contact each member of the standing committee to which he or she has been assigned at least once annually to determine any problems which may exist and to receive information for use in Council evaluations of standing committee actions and direction. d) Site Visits
A committee may be required to participate in property site visits. Site visits must be performed by only current committee members and are permissible as long as any group of committee members does not contain a quorum of current members. In the event a site visit is necessary, a standing committee chair shall inform Town staff at least one week in advance of any visit.

Town staff shall send the homeowner(s) a courtesy postcard notifying them that a site visit will be taking place within a defined time period. The postcard shall be sent a minimum of 72 hours in advance of any visit.

VI. MEETINGS
Meetings of legislative bodies, including standing committees, shall be open to the public. The California law governing open meetings is found in the California Government Code,

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(commencing with Government Code Section 54950) and is commonly referred to as the “Brown Act.”

1. QUORUM
At any meeting of a standing committee, a majority of those members currently appointed shall constitute a quorum for purposes of conducting business, and unless otherwise posted, a majority vote of those present and voting shall be sufficient to adopt motions.

2. AGENDAS
Agendas of meetings shall be posted in compliance with the provisions of the Brown Act, as hereafter amended. The Brown Act requires that an agenda for each standing committee be posted at least 72 hours prior to a regular meeting (24 hours for a special meeting). The chairperson of the committee is responsible to prepare the meeting agenda and provide it to the City Clerk’s office for distribution and posting prior to the 72 (or 24) hour deadline. No standing committee meeting shall be considered to have been held unless notice of the time and date of the meeting shall have been properly available pursuant to the Brown Act, as hereafter amended, and unless a quorum shall have been present.

3. REGULAR MEETINGS
Regular meetings are held at the time and place specified in the resolution establishing standing committees and adopting general and special rules pertaining thereto.

4. SPECIAL MEETINGS
Special meetings may be held at a different time or place to discuss specific issues as noted on the meeting agenda, as long as the meeting has been properly noticed.

5. COMMUNICATIONS BETWEEN STANDING COMMITTEE MEMBERS
i. A “meeting” is considered to take place any time that a quorum of committee members meet to discuss committee business. The Brown Act prohibits a quorum from meeting privately. The Brown Act specifically prohibits “any use of direct communication, personal intermediaries or technological device employed by a majority of the members of the legislative body to develop a collective concurrence as to action to be taken on any item by the members of the legislative body.” Therefore, the prohibition extends not only to personal contacts of the standing committee members themselves outside the public meeting, but it also prohibits “serial” meetings whereby information is ultimately exchanged among a quorum of advisory body members whether or not simultaneously in one another’s presence.
ii. As email communication can ultimately lead to the exchange of information intended to, or which may create collective concurrence among a quorum of

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standing committee members, email communication between standing committee members related to committee business, should be avoided. While two members of a five-member body, for example, may appropriately communicate with one another by way of email, the “forwarding” of such an email message to a third, or subsequent member, would result in a Brown Act violation.

6. ROLE AND RESPONSIBILITIES OF THE CHAIR AND VICE CHAIR i. All committee leadership (chairperson and vice-chairperson) shall attend annual training before taking their seats as chair or vice-chair, or as soon after appointment as possible, to ensure they are well versed in managing meetings in an effective, fair, open, and transparent manner in compliance with the Brown Act and Rosenberg’s Rules of Order. Once the training has been completed, the chair and vice-chair are not required to repeat the training annually. The chair will also be responsible for:
a) Addressing compliance to these principles both before and after the meeting;
b) Assuring all agenda items describe the topic sufficiently to promote proper discussion;
c) Making reasonable efforts to ensure that project applicants and residents are given a reasonable opportunity to present and respond to questions raised during the meeting;
d) Assuring the committee does not react or respond to comments on topics that have not been agendized; and
e) Assuring that items raised by speakers during presentations from the floor that are not on the agenda are discussed to seek clarification only or to provide public information about prior relevant actions of the committee or the Town.
ii. The duties of the chairperson shall be consistent with those of a presiding officer as they pertain to the conduct of the committee meetings and adherence to the general powers and duties, organization of standing committees, committee charges and duties and procedures.
iii. The chairperson shall be responsible for monitoring the attendance of committee members and shall meet with any committee member who the Chairperson believes is negatively impacting the operation of the standing committee due to absences from committee meetings to discuss a plan to eliminate future absences.

If following the meeting, the chairperson does not believe the committee member will be able to attend the future meetings and will therefore continue to negatively impact the operation of the standing committee, the chairperson may recommend that the City Council either remove the person from the standing committee or recommend that the standing committee vote to convert the person to associate membership status on the committee.

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7. MEETING OPERATING PROTOCOLS
It is the Chair’s role to facilitate meeting protocol. The duties of the Chair shall be consistent with those of a presiding officer as they pertain to the conduct of the committee meetings and adherence to the general powers and duties as set forth in the most updated Standing Committee Resolution. i. Agenda
a) Agendas will be prepared by the Chair (and where appropriate in conversation with Town staff) in the format approved by the City Clerk and will be provided to the City Clerk’s Office for distribution and posting at least 72 hours prior to the meeting for regular meetings and at least 24 hours prior to a special meeting.

Items and attachments intended to be discussed at the meeting will be distributed with the agenda.
b) The chair of each committee shall ensure that items on the agenda are in alignment with the City Council approved workplan for the relevant committee. Should the chair and the City Clerk (or designated staff liaison) disagree regarding the agenda, the City Manager shall have the final authority subject to appeal to the City Council. The City Manager shall have the ability to add any item in alignment with the City Council approved workplan to a committee agenda.
c) The Brown Act requires that any writings of public record relating to an agenda item for a regular meeting of a legislative/advisory body (City Council as well as Town committees) that are distributed to the majority of that body less than 72 hours prior to the meeting or are distributed at the meeting must be made available for public inspection at the same time. Each committee must either hand deliver, or scan and e-mail a copy of any materials provided to a majority of members, either from staff or a member of the public, to the City Clerk as soon as they become available.

In addition, any material provided to a majority of the committee after the distribution of the agenda, should be made available for public review at the meeting.
ii. Committee Members Questions On Agenda Items Prior to Meeting Committee members should direct any question to the appropriate Town Staff as soon as possible after the agenda is released and at least 24 hours prior to the meeting in order that staff may be able to answer the question at the meeting.
iii. Actions of the Committee at Meetings
a) All actions and recommendations are by majority vote of the Committee taken at legally noticed meetings. Said actions and recommendations should be clear and include the entirety of the

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action and be captured in a motion. Once approved by the committee said motion should be recorded in the minutes. b) The Committee Secretary will prepare the minutes according to a template provided by the City Clerk’s Office for each meeting that include a record of attendance, brief record of matters discussed, and actions taken by agenda item.
c) All votes must state who is voting affirmatively or dissenting. The minutes will also list the full names (if available, but shall not be required to be provided) speaking during the public comment period.
iv. Preparing Motions
When a member wishes to propose an action on a particular item on the agenda for the committee to consider, the member makes a motion. A motion goes through the following steps:
i. The member asks to be recognized by the Chair.
ii. After being recognized, the member makes the motion: “I move that we (state the motion).” The chair should announce the name of the member of the committee who makes the motion.
iii. Another member seconds the motion: “I second that motion.” The Chair should announce the name of the member of the committee who seconds the motion.
iv. The Chair restates the motion and asks for discussion. v. When the Chair determines that there has been enough discussion, the debate may be closed with: “Is there any further discussion?” vi. If no one asks for permission to speak, the Chair then puts the question to a vote.
vii. The Chair should announce the result of the vote and what action was taken. The minutes should reflect the members who voted in favor, and the members who voted against.

Properly phrasing a motion can be difficult and rephrasing may be necessary before it is acted upon. Only motions that are voted on will appear in the minutes.
v. Rules for Committee Proceedings
a) Start the meeting on time. Keep the agenda in mind in order to give each item the appropriate time.
b) Committee members should refrain from asking members of the public to identify themselves at committee meetings. When a member of the public provides public comment, the City Clerk or Chair may let the individual know that they may identify themselves if they wish to.

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c) Announce at the start of the meeting if the order of agenda items are to be rearranged either for convenience, response to those attending only for certain items, or for better pacing of the agenda. d) Let the Chair run the meeting.
e) Be fair, impartial, and respectful of the public, staff and each other.

Give your full attention when others speak.
f) Trust your own good judgment on decisions.
g) Keep in mind that people may be attending a meeting for the first time and may be unfamiliar with the standing committee’s procedures. In your discussion, either avoid or explain technical terms or verbal shorthand.
h) Listen to the audience concerns.
i) Don’t engage in side conversations or otherwise be distracted. j) Don’t engage the public in debate.
k) Remember that your committee exists to take actions. It is not simply a discussion group or debating society.
l) End the meeting at a reasonable hour.

8. MEETING MINUTES
i. Each standing committee shall keep minutes of its meetings, which shall include its determinations, recommendations, attendance of members and an indication of who prepared the minutes. The minutes shall be reviewed by the City Manager who, in consultation with the City Council liaison to the particular committee, shall determine which items need to be agendized for a City Council meeting. The minutes shall also be public records.
ii. The Secretary will have the responsibility of providing the draft minutes via email to the Clerk’s Office within 5 days of the meeting for approval at the next committee meeting. Once approved by the Committee, the Chair or the secretary shall send to the City Clerk the day following the approval. Approved minutes of each committee meeting will be placed on the next Council meeting agenda in a designated section of the Council agenda. If Council wishes to discuss an item raised by a committee, it will be referenced at the Council meeting and the City Manager will notify Council of the future agenda placement.

VII. COMMITTEE WORKPLAN REQUIREMENTS

1. Each committee will annually prepare a workplan by the end of the calendar year and it will be presented to and approved by the City Council at the beginning of the following calendar year.

2. Deviation from the approved workplan must be approved by the City Manager (via communication with the Chair) or the City Council, in cases where the Council has requested that the Committee provide advice on a matter after the workplan has been approved.

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3. Ideally the approved committee workplan will align with staff’s workplan, the Council’s priorities, and eventually the approved budget.

4. Committees are free to work on items in the name of research or exploration provided they meet an intended purpose shared with the City Council and do not utilize staff /vendor time or budget.

VIII. RULES FOR COMMITTEE MEMBER INTERACTIONS WITH TOWN

STAFF, TOWN VENDORS, THE PUBLIC AND THE COUNCIL

1. INTERACTION WITH TOWN STAFF
i. Committee members acting in their official capacity as committee members may not direct or request staff to undertake any research or attain information for them. The Chair, on behalf of the committee and with the consent of the committee, may request or authorize a committee member to request that staff assigned to the committee provide information consistent with the committee’s approved workplan and needs. Said request should either: (1) be made through the chair at a scheduled and noticed committee meeting, and if the committee agrees to add it to the agenda it should be agendized at the next available committee meeting, or (2) staff may agree to place it on the agenda for discussion at the next available committee meeting.
ii. Items not on the workplan should be discussed with staff and elevated to the Council for direction. By majority vote, the council can direct the City Manager and allocation of budget authorization and prioritize as compared to the established workplan. The committee’s main role is to help advance those goals proposed by the committee at the beginning of the year, approved and budgeted by the Council. Any items that deviate from that workplan should be discussed with staff and the Council liaison. iii. All information requests shall come from the committee chair, shall be made during a noticed meeting and shall support the workplan approved by the Council. Individual committee members shall not issue public record requests in their official capacity on items within the jurisdiction of the committee, but instead may work through the committee chair to request documents that support the established goals of the committee.

2. INTERACTION WITH TOWN VENDORS
Committee members may not contact Town vendors requesting information. Any request to the Town vendor must be made through Town staff.

3. INTERACTION WITH THE PUBLIC OUTSIDE OF COMMITTEE OR BOARD MEETINGS

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i. Members shall represent the official policy or position of their Board or Committee when speaking or interacting with the public in their role as a committee member.
ii. Members do not have the authority to speak for the Town unless authorized to do so by the City Council.
iii. Members may express their individual opinions and positions to other committees, the Planning Commission or City Council regarding items that have not come before the committee or board of which they are a member. When stating their own opinion, the member must state that they are not speaking as a member of the committee, board, or the Town but as a member of the public. iv. Pursuant to FPPC Regulation 18704(d), a committee member (hereinafter “official”) is authorized to appear as a member of the general public before an agency, such as City Council, in the course of the agency’s prescribed governmental function if the official is appearing on matters related solely to the official’s personal interests, including interests in:
a) Real property owned entirely by the official, members of the official’s immediate family, or the official and members of the official’s immediate family;
b) A business owned entirely by the official, members of the official’s immediate family, or the official and members of the official’s immediate family; or
c) A business over which the official, members of the official’s immediate family, or the official and members of the official’s immediate family solely or jointly exercise full direction and control.
v. Each committee and board will be provided a webpage on the Town’s website, and the updating of the site with information relevant to the committee’s charter, will be handled by the City Clerk’s Office. Requests for updates should be provided to the Clerk’s Office.

4. INTERACTION AND COMMUNICATION WITH THE CITY COUNCIL
i. Communication with the Council on behalf of the committee or board will be provided through the Chair, scheduled by the City Manager for the next available Council meeting, who will speak to motions that were taken up by the committee and accompany minutes from the meeting.
ii. The Council liaisons will attend committee and board meetings as they are able.

It is the liaison’s role to update the committee on past actions taken by the Council as well as update the Council on substantive or relevant actions taken by the committees.
iii. Meeting minutes serve to keep the Council informed on the work of the Committee or Board. Motions made by the committee serve as the official direction of the committee.
iv. When speaking in their official capacity as a committee member, on a matter within the purview of the committee, an individual committee member shall express the viewpoint as agreed upon by the committee. When speaking in their personal capacity, as a resident of the Town of Los Altos Hills and not in their

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official capacity as a committee member, the member may express their personal viewpoint.
v. The Council and City Manager will hold one meeting annually with all committee and board chairs and vice-chairs to hear their progress on the previous year’s goals and recommendations for the following year’s goals. Each committee or board will provide Council with a written update on its workplan twice a year or alternatively include the update in the January meeting of the committee.

IX. NORMS OF BEHAVIOR

1. Committee or board members may collaborate on an issue or project within the purview of the committee or board outside of formal meetings, provided that less than a majority of the membership of the committee or board participates, in compliance with the Brown Act, and the project is consistent with the committee’s purpose and workplan.

2. Any direction given to staff must be: (1) within the jurisdiction of the committee, and (2) provided as direction by the committee as a whole, and not from individual committee members.

3. A committee member must not attempt to pressure or influence discussions, recommendations, workloads, schedules, or department priorities outside of a committee meeting.

4. A member of a Town committee may attend related trainings and/or conferences in their official capacity, provided that the subject matter pertains directly to the function of the committee and that funds for this purpose have been budgeted by the City Council and the training or conference are approved by the City Manager.

Additionally, the set budgeted amount will include funds for small committee gatherings with prior approval from the City Manager.

X. GENERAL CODE OF CONDUCT
In addition to the procedures and rules explicitly laid out in this Code of Conduct, appointees agree to:

1. Abide by the laws of the Federal, State or County and the Town’s regulations and ordinances and to follow the direction of legal authorities.

Accept and follow Town Council defined charters, objectives, and requirements and to provide their service, advice, and recommendations to the Council and, if approved by the Council, to others.

2. Not disclose confidential information that they may discover during their service unless legally authorized to do so. Such confidential information shall not be used to advance the personal, financial, or private interests of themselves or others.

3. Recuse themselves if or when a situation arises in which a member could be perceived to have a conflict of interest.

4. All discussions, decisions and votes must be made in public and shall

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follow the provisions of the Brown Act. Appointees shall also complete biannual Ethics and Brown Act training.

5. Keep official discussions within the body's charter.

6. Consider issues that come before the body by using an objective, responsible and equitable process.

7. Treat all persons in a courteous, dignified, and professional manner. i) Confront Ideas and Issues – but not People.
ii) A Personal attack, in any form, by an appointee to any other person(s) is unacceptable behavior.

8. Use Town bestowed titles or positions only when conducting Town business, for information purposes or to qualify their background and expertise and not for personal gain or to promote ideas that their committee have not approved.

9. Reject any form of gifts or compensation from any entity or person for their service except when authorized by the Town Council.

10. Respect and follow established channels of communication with Town staff.

11. Use Town equipment, supplies, personnel, or facilities for approved Town activities only.

12. Care should be exercised when requesting Town staff services.

13. Satisfy all participation requirements that the Town or the body may impose upon its members.

14. Respect others by being on time and properly prepared to conduct the body’s business.

SIGNATURE ON FOLLOWING PAGE

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Code of Conduct for Standing Committees Signature Page
__________________________ _____________
Committee Member Signature Date
5207581.1

Roy B. Woolsey
Los Altos Hills, CA 94022
17 October 2022
Los Altos Hills City Council
26379 Fremont Road
Los Altos Hills, CA 94022
Dear Mayor and Members of the City Council:

As a member for many years of the Community Relations Committee, I am writing to express my concern regarding agenda item # 6.C on the Council agenda for October 20, 2022 City Council meeting.

I am very concerned that many of our wonderful volunteers in Town will consider a number of provisions in the proposed amended resolution establishing Town standing committees and the proposed code of conduct for standing committees to be quite onerous and grounds for ceasing to be volunteers for the Town. Some examples follow, and more could be cited if I took the time to write a longer letter.

Some standing committees in Town have more serious impacts on Town residents than other standing committees, and the subject documents should probably distinguish among Town committees. Certainly for the Community Relations Committee much of the training is probably not necessary, including particularly sexual harassment training, local ethics training and parliamentary training. And I’m not sure Brown Act training is really necessary for a committee like the Community Relations Committee.

Filing Form 700 is simply not necessary for a volunteer on most Town committees, and certainly not for the Community Relations Committee. I do not want to expose any details of my personal financial interests to others in Town or to the public. Let me be very clear in stating that I will retire from the Community Relations Committee and not be involved in any Town committees rather than file this form.

It is preposterous to require that committee members not contact Town vendors requesting information.

In order to organize the annual Town Picnic, Committee members need to talk with a variety of entertainers, concessionaires, and other vendors to gather information on services provided and costs of those services to present to the Committee so the Committee can make decisions and recommend the best vendors for each year’s Town Picnic. Town Staff can then negotiate contracts and finalize details once the Committee has made decisions based on the information its members gather.

So I would recommend the Council send the draft documents in agenda item # 6.C back to Town Staff for further work to address issues such as those noted above to make volunteering for the Town less onerous.

Yours very truly,
Roy B. Woolsey
Supplemental No. 1
AGENDA ITEM #6.C
Distributed 10/17/22

Page number Descripiton
2 Proposed new MRG rules Please highlight changes.

Attachment 1
1 Resolution Please provide a red lined copy in order to identify changes. 1 Section 2 Please define "Regular oral reports" as compared to annual reporting obligation? 2 Section 3 (3) Term limits - if literally enforced, "institutional history" will be lost that will impair effectivness. 2 Section 3 (4) A defintion of "attendance'' is needed. Committee members sometimes arrive late, leave and return during a meeting, and leave early. Years ago I asked Deborah for an "attendance" definiton. She said if a member attended (any part) of a meeting, refer to him (her) as present. 2 Section 3 (5) Can City Council appoint a non resident to a Committee? 4 Section 4 (1) "any Standing Member" may add an Agenda item." To be practical, this should explain when this is appropriate, and add "only if it complies with other requirements for an Agenda item." 5 Section 4 (7) Same comment regarding meeting attendance as Section (3) 4, above 8 (d) FIC g wording garbled - change to: …an investment policy that protects to monitor(s)… (d) FIC -addition suggest adding "Review of insurance coverages is perfromed every three years for adequacy of coverage, appropriate deductibles, financial strength of insurers, and alternative providers.

Attachment 2
12 Code of Cond't, Section 9 As written, this repeals the Resolution above. - Introduction City of Los Altos s/b Town of Los Altos Hills II General Powers 2 a Requires Committees to get City Manager approval for adding an Agenda item to a Council Agenda. This is defacto veto for the City Manager. What is recourse for Committee Chair? I suggest providing an appeal procedure to the Council member(s) assigned to the committee.

II 3 Appointment and Reappointment a) iii) b) Does this mean a non resident can be appointed to a Committee? 4 Resignation How often can Chairman excuse serial absence? 5, IV 3. Training i) and iv.) Don't Brown Act Training and Parliamentary Training overlap? 6, V d) Site visits 3 days notice for residents is not enough eg. out of town travel 7 2. AGENDAS "unless quorum present" - see definiton of attendance, above - Attach. 1, pg 2, Section 3, (4). 8 VI. Meetings 5. Communications Between Standing Committee Members i. : Volunteer dinner? Sub Committee meetings? ii. "email between standing committee members should be avoided" To organize a meeting, there is routine email traffic between the Chair(s) and Secretary to set the Agenda, confirm a quorum, and pre review minutes. An exception is needed.
11 VI. MEETINGS 8. ii. Minutes: The draft minutes are reviewed (in serial fashion) by the Chair, and Staff before they are presented to the Committee at large for approval. Without this level of review, the minutes would lose their value.

Frequently delays are caused by technical problems with the meeting recording. Ten days is reasonable. 11 VII. COMMITTEE WORKPLAN REQUIREMENTS
13 4. Interaction and Communication with the City Council i. Differences in view between the Committee and the City Manager have occurred regarding urgency.

The Committee Chair needs an alternative if consensus with the City Manager can not be achieved.

Suggest providing appeal procedure to the Council member(s) assigned to the committee. ii. Word "board" as in board meetings should be replaced with the word "council". page 1 of 1
---
Comment
Town of Los Altos Hills October 20, 2022 Council Meeting - Agenda Item 6c (pages 656-688/790) - Staff Report Comments by R Sloss, Co Chair and Secretary of the FIC (10/17/22)

STAFF REPORT
Supplemental No. 2
AGENDA ITEM #6.C
Distributed 10/17/22

Dorothy Duffy Price
Los Altos Hills, CA 94022
Email:

October 18, 2022
Town Council City of Los Altos Hills
Subject: October 20, 0222 Agenda Item #6 C
Dear Mayor and Members of the City Council:

I am writing to express my deep concern for the agenda #6 C for October 20, 2022, City Council Meeting.

The draft recommendation to adopt the amended resolution establishing standing Committees and Code of Conduct for Standing Committees, while done with good intentions – is too heavy handed for this community of outstanding volunteers.

This draft obviously seeks to limit and control committees. If the goal were to stifle feedback and participation, I would say that you have achieved the intended consequences.

After serving for over thirty plus years in various volunteer roles – i.e., Community Relations Committee, Editor of the Town Newsletter, 16 years and as appointed Los Altos Hills Fire Commissioner and Board President (16 years) – I have a great appreciation and understanding of the need to have resident input on all issues. While at times, it can be difficult to deal with the volume of resident ideas and feedback – it would be much worse to have none.

Specifically, staff has always been most cooperative and able to handle their supportive role to committees. If for any reason staff is overburdened and overwhelmed, then at the time of the occurrence, I would urge immediate discussion with council committee liaison be called upon to assist resolving issues.

The new proposed rules for Agendas, Workplans, Town Staff Interactions, and any deviations from workplans needs to be understood and commented on by the committee members. Further, the need to hire a consulting firm to assist in this process is worrisome. The new city manager is highly skilled and should be able to manage the process without hiring costly consultants.

We have always had active participation from the residents because of their willingness to offer services at a very elevated level of expertise. They willingly provide strategic services at no cost to the Town.

Therefore, I recommend that this draft agenda Item# 6 C not be voted on until it is returned to all the committees for further discussion and written comments are received on the proposed draft.

Kind thanks,
Duffy
Duffy Price
Supplemental No. 3
AGENDA ITEM #6.C
Distributed 10/18/22

To: Members of City Council 10/18/2022
Fm: Jitze Couperus
Sj: AGENDA ITEM #6.C - Town Council Meeting, OCT 20,2022 - Code of Conduct for Standing Committees
When I initially looked at the substance of the subject agenda item, my first inclination was to ask “Who requested this? Who thought it was necessary, how did it even make it onto the agenda, and was it ever discussed by the Town Council beforehand in an open meeting as to its necessity or even desirability? How could this travesty make it this far and take up valuable council time?
My next reaction was to critique it point by point – but instead of micro-examining it, I shall take a more macro view as befits the attention of the formal governing body of this town. I will address myself to the elephant rather than his fleas. (Ancient Swahili expression) The stated goal for the proposed changes is to “standardize how committees operate, improve alignment with council goals, and best use staff resources.” Sounds like an admirable goal. But in practical result, it will most assuredly sound the death-knell of the way our Town has been run so successfully since its inception. It could not have been designed better to de-motivate the volunteers and de-populate the committees that are the lifeblood that shapes our Town.

Around a year or so ago, when we were interviewing the candidates on the short list for the job of City Manager – including the present incumbent – I and a number of my colleagues on the panel made an express point to the candidates – to ensure they understood and were comfortable with the idea that Los Altos Hills is very different from the typical larger suburban towns that neighbor it in the wider Bay Area. And “managing” it cannot be done by commonlyaccepted formulaic methods.

It is a small town with a relatively small population – but the demographics of that population are heavily skewed towards Leaders of Industry, Technology Innovators, Outside-of-the-box Thinkers and Tinkerers, Innovators and Disruptors, Futurists, Passionate Champions for certain ideas and ideals, and so on.

The resulting very high proportion of “Type A” active and smart residents has resulted in a style and mode of government in our town that is very different. Our committees have played a far larger role (formally and informally) in the evolution of our town over the last 65+ years – to where it is today (and has been for many years) one of the most desirable and sought-after places to live in Silicon Valley – the Bay Area – The United States – and is known, and written about, and talked about, all over the world.

Supplemental No. 4
AGENDA ITEM #6.C
Distributed 10/18/22

As such our committee structure and the accompanying formal/informal interchange amongst the wide variety of volunteers, operate and thrive within a certain ecology. One that was carefully nurtured in a balance between constraining rules of conduct while simultaneously encouraging initiative and pro-active behavior to get optimum results for the community. A cooperative symbiosis of individuals and committees in ever ongoing interchange in pursuit of a common goal.

And into this mix we now suggest bringing tight controls, strict adherence to work plans, multiple layers of hierarchical approval required to ensure squelching any discussion outside the static limits of borders that were predefined in some previous “Strategic Plan” So thus my initial reaction – asking who in their right mind would propose this kind of thoughtless “manage the drones” text-book management as espoused in the Business Schools that begat the demise of some of the greatest institutions of the last century and before.

Or did we hire YAC (Yet Another Consultant) to advise us in how to conduct ourselves in this most basic endeavor of running our town – based no doubt on case studies bearing no relation to the spectacular success that has been wrought in our town and proven to thrive further as it evolved carefully and was nurtured over the last five or six decades. A consultant perhaps who was not privy to the discussions we had during the hiring process we went through a little while back.

I urge you to consign this proposal to the recycling bin so that at least the paper it was written on was not a complete waste.

Jitze Couperus
Los Altos Hills, CA 94022

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: REVIEW AND REPORT ON BUILDING PERMIT FEES BY CONSULTANT FROM: Sofia Mangalam, Planning Director
APPROVED: Peter Pirnejad, City Manager

RECOMMENDATIONS
It is recommended that the Council direct staff to perform the following actions:

1. Complete during Calendar Year 2023 an audit of building permits issued since the adoption of the current fee schedule.

2. Based on the results of the audit, issue refunds, as necessary, to completed new construction permits referenced above based on collection of full cost recovery.

3. Recommend adjustments to fees on a go-forward basis for calculating Town permit fees to be closer to full cost recoverable until a full cost allocation and fee study can be completed.

4. Conduct a new Cost Allocation and User Fee study in the FY 2023-24.

5. Direct staff to update the Finance & Investment Committee (FIC) upon completion of the Draft Audit findings, Cost Allocation Plan and User Fee Study before returning to Council with recommended actions.

BACKGROUND
In April 2020, the Matrix Consulting Group submitted a final report for Cost Allocation and User Fee Study (See Attachment 1). On April 16, 2020, City Council adopted a revised master fee schedule for building and planning fees. There were a few minor revisions to the adopted fee schedule approved on June 17, 2021 (See Attachment 4 – Adopted Fee Schedule), and staff has been collecting building permit fees based on the adopted master fee schedule since then.

However, earlier this year, a discussion ensued related to potential overcharging of the building permit fees. Subsequent to this, staff entered into a contract with Capital Accounting Partners to help review/evaluate this issue (see Attachment 2 for agreement).

Dan Edds, of Capital Accounting Partners studied the User Fee study and Cost Allocation study along with budget/revenue information and met Town staff numerous times to evaluate the issue.

A presentation of the initial findings was made to the FIC in August 2022 (see Attachment 3 – Minutes and Presentation from FIC). Staff continued to monitor and discuss this matter with the consultant leading up to and in preparation for the October 20 City Council meeting.

AGENDA ITEM #6.D
S.M.

P.P.

Staff Report to the City Council
Building Permit Fees
October 20, 2022

The consultant has made the following findings:

1. The consultant noted that the User fee study (dated April 2020) discussed six (6) modifications to building fees schedule including:
• Elimination of fees and deposits that do not have a clear nexus, are rarely used or are redundant with other fees, such as the New Dwelling Deposit or the per square foot fee charged for Additions.
• Valuation of New Dwellings or Additions has been changed from stating a specific valuation per square footage to referencing the most recent version of the International Code Council (ICC) table for structures, with the qualification of a regional modifier.
• Consolidation of Permit Fees for All Projects and New Residences into one fee category based upon a base fee and percentage of valuation. All of these categories have the same current fee and as such were combined into one category. • Removal of Small Projects and Other Projects under the Permit Fee category, as these types of projects would now be grouped under the All Projects category. • Removal of Mechanical, Electrical and Plumbing (MEP) Permit Fees for New Residential Structures, as the effort associated with those activities will now be captured in the permit fee for new residences assessed under ‘All Projects.’ • Removal of the specific permit types such as Reroofs and Termite Repair Permits as these types of projects would be assessed based on valuation under the ‘All Projects’ category.

However, the two (2) recommendations bolded above were not adopted/implemented in the City Council adopted fee schedule. First, the note was added under permit fees to say that “Project valuation amounts will no longer be fixed – valuation information will be provided by applicants or contractors and verified by staff”. Second, in spite of the fact that the User Fee study specifically noted not to combine ‘MEP’ and ‘All Projects’ fees, MEP fees were included in the adopted fee schedule.

Table 1: User Fee Study recommendation and adopted fee schedule Matrix Recommendation What Was Adopted by Council
Combine structural permits and MP&E
permits into a single fee of .9% of
valuation.

Two separate fees of .9% each.
• A structural permit of .9% and
• An MP&E permit of .9%.

Valuation was to be calculated by a
standard cost per SF as established by the
International Code Council (ICC) table.

Valuation is established by the given
construction cost as provided by the
applicant.

Thus, this led to the building permit fees collection inconsistent with the recommendations of the User Fee study.

Staff Report to the City Council
Building Permit Fees
October 20, 2022

2. Building permit fees also include ‘Plan Review Fee’ which is 65% of the permit fees paid by the homeowner/applicant and this is calculated based on both ‘All Projects’ and ‘MEP’ fees adding further to the discrepancy.

3. The issue is not only limited to charging of the fees (User fee study) but also Cost Allocation Study, which seems incomprehensive. The study failed to provide any explanation as to the methodology used in calculating the 0.9% multiplier for purposes of fee calculation. Furthermore, in reviewing the Cost Allocation Plan, it is unclear if all the Town’s costs were included in the study.

After numerous discussions with the consultant, staff concluded that there are many issues with the adopted fee schedule and is requesting that the City Council direct staff to take further steps as outlined below to ensure that building fees are charged correctly based on full cost recovery.

DISCUSSION
The issues discussed above may impact the Town in three (3) ways:
1) Valuation provided by the applicant (as per adopted fee schedule) can be significantly different from the valuation calculated by the ICC table (recommended by User Fee study).

For example, in 2021, the Town permitted a new home (Permit #BLD21-0396). Given construction value is $2,000,000. However, using the ICC table, this same project could have been valued at approximately $1,014,915. And the fact that our permit fees are based on valuation, the calculated fees will vary significantly. 2) According to the adopted fee schedule the plan check and subsequent permit fee is based on .9% of the given valuation for the Building Plan Check as well as the Mechanical, Electrical, and Plumbing Plan Check. This was inconsistent with the Matrix Fee Study but consistent with the adopted Fee Schedule. Meanwhile, the ultimate fees collected from applicants seemed to be high and lead to this review of our permit fee structure. In staff’s capacity to interpret the fees and in consultation with the fee consultant, we have discontinued this practice and would ask that council support this decision on a go forward basis until we complete an audit and determine what, if any, refunds might be returned to the permit holders. Regardless, upon completion of our audit of permit revenue and Town expenditures, permit holders will be issued a refund if one is due to them. 3) The Matrix report provides no analysis of the .9% multiplier applied to the ICC Valuation of projects. This calculation generates the majority of City Building revenues, so with no demonstrated analysis, we are unsure if the .9% multiplier is accurate. Furthermore, calculating this multiplier requires extensive project-by-project research and there is no evidence this was completed. However, a rough approximation of revenue and costs lead us to believe that while .9% multiplier applied to given valuation applied to both MEP and

Staff Report to the City Council
Building Permit Fees
October 20, 2022

Building Permit fees may be too high and may lead to over collection. At the same time, a .9% multiplier applied to the ICC Valuation of either the Building Permit or the MEP Fee would result in revenues far too low to recover costs of providing Town services. 4) In addition, it takes, on average, 29.5 months to complete a new residential construction project. This means that revenue which is received in August of 2021 (for example) for permitting services would be applied to expenses that may be incurred through January or February of 2023. Because of this, month-to-month comparisons of total revenues vs. total expenditures is of little value. Even year-over-year comparisons is inadequate to calculate total net revenues fully. Instead, the cost allocation and fee analysis need to review the entire project cycle from the date of the permit issuance through final approval of the completed project.

In order to determine if the city overcharged for plan check and building inspection services staff recommends that we first identify our approximate costs of providing building services and then do an audit of all the permits since the adoption of the last fee schedule to ensure we are not over collecting.

Also, as a bridge between our current fee schedule and our ultimate revised fee schedule, staff in consultation with the consultant, discontinued the practice of collecting both the MEP and the Building Permit fee based on .9% of given valuation. Instead, the staff has been collecting one or the other. As part of the council motion, we would ask that council support this decision on a go forward basis. This effort will not replace the audit or the ultimate Cost Allocation Plan and Fee Study. Ultimately, staff is suggesting that the council direct staff to audit said building fees and determine what, if any, refunds might be returned to the permit holders.

Finally, next year, as part of the FY23/24 budget, with council approval, staff will plan for and execute both a Cost Allocation Plan and Fee Study and bring to council a proposed revised fee schedule. Said analysis will take at least a full calendar year from when we start and as a result will require staff to allocate the necessary time and budget to complete this work. This work will be reflected in the 2023 Council Priorities and our proposed FY23/24 budget.

In the meanwhile, staff will update the FIC upon completion of the Draft Audit findings, Cost Allocation Plan and Fee Study before returning to Council. Staff will need to stay focused on this activity and ask that council and FIC support our efforts by giving us the opportunity to complete our process to vet the most qualified and responsive vendor for the job, budget for the work and allocate appropriate staff time and resources to complete this work.

Thus, staff recommend the following steps:

1. In Calendar year 2023, staff would complete an audit of the building permits issued since the adoption of the current fee schedule.

Staff Report to the City Council
Building Permit Fees
October 20, 2022

2. Based on the results of the audit, issue refunds, as necessary, to completed new construction permits referenced above based on collection of full cost recovery.

3. Recommend adjustments on a go-forward basis for calculating Town permit fees to be closer to full cost recoverable until a full cost allocation and fee study can be completed.

4. Conduct a new Cost Allocation and User Fee study in the FY 2023-24.

5. Direct staff to update the FIC upon completion of the Draft Audit findings, Cost Allocation Plan and User Fee Study before returning to Council.

ENVIRONMENTAL REVIEW
The proposed project does not qualify as a “Project” as defined in California Government Code Section 15378(b) of the California Environmental Quality Act (CEQA). 2022 CITY COUNCIL STRATEGIC PRIORITIES
This is not part of our adopted Council Strategic Priorities but will likely be prioritized for next year.

FISCAL IMPACT
Dan Edds, of Capital Accounting Partners, was awarded a contract for $21,955 for his preliminary work on the fees to determine a path forward which included a review of exiting fees and potential refunds as well as recommendations on next steps to adopt a defensible fee schedule. The staff will need to come back to council for a contract to complete the permit audit, cost allocation and fee study.

ATTACHMENTS

1. April 16, 2020, City Council staff report and resolution

2. Agreement with Capital Accounting Partners

3. August 2022 FIC minutes and presentation by Capital Accounting Partners

4. Master Fee Schedule

Due to large size of the document, please use this link to access the file:
https://civicclerk.blob.core.windows.net/stream/LOSALTOSHILLSCA/2d50a0d7-dd3c-4f28-8514- 39c7e9403aee.pdf?sv=2018-03-
28&sr=b&sig=dF0XK%2FPps9rcquCgHmxlb%2Ft2rJXlfL1nW2BW8jtYin4%3D&st=2022-10- 13T22%3A07%3A37Z&se=2023-10-13T22%3A12%3A37Z&sp=r

Due to large size of the document, please use this link to access the file:
https://civicclerk.blob.core.windows.net/stream/LOSALTOSHILLSCA/36e2bbcd-9794-4ce4-b3d3- c8f2706bdfb8.pdf?sv=2018-03-
28&sr=b&sig=5nlDkYfGoihUzCTVh95WFLAMld6DNYgWTbS3aiRjiuM%3D&st=2022-10- 13T22%3A07%3A37Z&se=2023-10-13T22%3A12%3A37Z&sp=r

Finance and Investment Committee Special Meeting Minutes Town of Los Altos Hills – August 8, 2022
Members present Nate Blair, Allan Epstein, Cheryl Evans, Kjell Karlsson, Medha Rishi and Roddy Sloss
Members absent: Susan Mason and Chris Nam
Associate members: Jim Lai, present; Frank Lloyd, present Council present: George Tyson, Mayor and Linda Swan, Vice Mayor Staff present: Peter Pirnejad, City Manager; Sarina Revillar, Administrative Services Director; Oscar Antillon, Public Works Director: Sofia Mangalam, Planning and Building Director
Public present: Dan Edds, consultant; Olawale Kajopaiye, Senior Managing Consultant, PFM Asset Management
Meeting handouts: Meeting handouts can be viewed on the Town’s website:
https://www.losaltoshills.ca.gov/AgendaCenter/FinanceInvestmentCommittee Mr. Epstein, Chairperson, called the meeting to order at 4 pm and called roll. Meeting Agenda attachments on the Town’s website were used as exhibits at this meeting. The meeting recording link is at the end of the minutes.

Public comments - None
Approval of Minutes – Allan Epstein
Minutes of the July 11, 2022, meeting was approved as presented by all attending members present at that meeting.

Building Fees review – Dan Edds
Mr. Pirnejad introduced Mr. Edds and his preliminary verbal report on Building Fees. Mr. Pirnejad, as background, noted that discrepancies were noted in the Town’s Building Permit Fees and Mr. Edds, who is experienced in this area, was engaged to investigate. Mr. Edds work is not complete, and this is an interim report, and a similar report is planned for the September Council meeting along with inputs from this meeting.

Mr. Edds noted he was engaged to look at Total Cost of Service and determine if any refunds are due permit holders. He reported that the Town has been collecting fees consistent with the Master Fee Schedule but not consistent with the Matrix Study. Matrix Study completed April 2020 said valuation for the purpose of establishing permit fees based on ICC property table was not being used and the Town is using a valuation based on applicant supplied project valuation in accordance with the Master Fee Schedule. The differences between the two are significant. A summary graph was presented for the period from July 2020 through June 2022 showing monthly permit net revenue (permit fees collected less departmental cost incurred) and the number of new houses permitted each month. The graph exhibited an unusually large number of building Continue
Attachment 3

August 8, 2022, FIC, minutes, continued page 2.
permits granted in August and September 2021 (13 new home permits vs 1.4/month on average), which Mr.

Edds believed accounted for the unusual disparity between revenue and costs reported in the Town’s books during this period. (It was noted that costs are incurred and reported are from months to years after the related permit fee revenue is reported since on average it takes 2-1/2 years to complete a new home.) Mr.

Edds suggested that if it were not for the excessive number of permits in August and September, we would not be having this conversation.

Mr. Epstein inquired whether Mr. Edds considered an observation addressed in the July 2022 FIC meeting related to the effective “double” billing because MEP fees were being billed on the total building valuation.

Mr. Edds stated he is aware that in effect the Town is charging the permit fee twice and considers it “pretty odd” but did not know the intent of the city council. He suggested the fee schedule could be made clearer, but it did not look to them that there was anything inappropriate.

Mr. Tyson stated that based on what he has heard in this meeting that there has not been a gross mistake, that probably the surge in revenue prompted the concern and that there would be a net deficit over time as the Town completes the inspection effort on these homes. He does not believe there is sufficient urgency to prioritize continuing this work over other planned priorities.

Ms. Swan asked, when the FIC recommended the fee schedule to the Council, had the FIC intended for the fee to be based on the valuation charged twice? Mr. Epstein responded stating he believed the FIC assented to using the results of the Matrix Fee study, as presented by the staff, as a basis for Building Permit Fees and with respect to MEP fees, the Matrix Study specifically excluded using MEP fees on new buildings.

Mr. Epstein believes there is a disconnect between the intent and the fee implementation and more investigation is needed to conclude on this issue. He also believes the fee amount being charged is extreme and unfair and based on the FY’21 audited financial statement total revenue far exceeds related costs.

Ms. Swan then inquired about the ‘disconnect’ described earlier by Mr. Edds between the Matrix Fee Study and the Master Fee Schedule. Mr. Edds stated he believed it is “pretty clear” there is a disconnect but could not comment on the Town’s intent.

The Matrix Study recommended referencing the most recent ICC data versus the prior fixed square footage valuation method as a basis for the new fees. Mr. Pirnejad stated that had the Town used the fees recommended by the Matrix Study the revenue generated would be about 1/4 or 1/5 of what they were, about $9,000, which would be far too little to cover the Town’s costs over the 29-month average build period for a new residence. Mr. Pirnejad agreed there was a disconnect but actual costs won’t be known until projects are completed. Cost should not be looked at on a permit-by-permit basis or a fee- by-fee basis but over a five-year period. He believed further work should be deferred until next year.

Messrs. Epstein and Edds addressed Mr. Pirnejad ‘s comment above by using an example from the new homes permitted in September 2021. Mr. Edds reported over $85,000 in fees were paid for a $2 million valuation and agreed with Mr. Epstein that the $60,000 paid for base fee, plan check and inspection sounded like “a lot of money” for that size project. Recognizing the time and preliminary nature of the report, Mr.

Epstein suggested a special committee be formed from the FIC to work with Mr. Edds to review the issues raised and advise the FIC of the results.

Several other comments and questions were received regarding the completeness, support, and lucidity of the information presented, clarifying historical conclusions reached, timing of related work going forward, estimating the impact of errors made, and the most efficient means for proceeding. Based on the continued

August 8, 2022, FIC, minutes, continued page 3.
information presented, the Committee members observed it was difficult to reach a conclusion on the question of whether building permit fees were implemented as intended or are at the correct levelThe Chairman called for a motion provided by Mr. Sloss who recommended additional work be performed to clarify impact of major errors discussed to clarify and prioritize further work to be performed and related timing.

Resolution:

Dan Edds should be requested to calculate the Building Department revenue used in his study in conformity with the Matrix Study methods and calculate related costs after considering corrections noted by Town Manager, Peter Pirnejad, (compensating for the timing difference between recording the revenue and incurring the costs) and present the results to the FIC and Town Council for further consideration before concluding on the next steps to be taken.

Attending members voted in favor except Ms. Rishi who abstained because she was absent during a portion of the discussion.

PFM Quarterly Investment Report – Olawale Kajopaiye
Mr. Kajopaiye referred to a report included with meeting attachments, described report highlights and responded to questions including a question from Mr. Blair regarding gains and losses calculated after amortization was considered. Mr. Kajopaiye stated he did not have that data but believed it was considered and said he would report back to the Committee.

Report on Engineering Matters – Oscar Antillon:

Mr. Antillon presented the current Sewer Tax Roll process and procedure as a chart on screen (and as an attachment), described background information related to timing and procedures for the addition of new homes, ADU’s, and sewer connect fees to the sewer roll. Mr. Antillon stated he was unable to find the procedure developed by the council ad hoc committee in 2018 and that he and Mr. Liang had developed this procedure. Mr. Antillon responded to questions from Messrs., Epstein and Sloss on 1) website publication of ADU sewer fees, 2) criteria and source information used for adding new homes and ADU’s to the sewer tax roll and 3) use of plumbing fixtures to determine connect fees for ADU’s. Mr. Antillon agreed to investigate and follow-up with the committee on questions related to the properties listed on the email Mr. Epstein sent to Mr. Pirnejad on June 29, 2022 (agenda attachment), identifying 10 properties that should be considered for inclusion in this year’s Sewer Roll as well as 15 other properties whose sewer system use was unclear from available public records. Mr. Karlsson inquired about ‘Junior ADU’ sewer fees. After discussion, Mr. Antillon will look further into whether “Junior ADU” fees are charged, their definition and billing procedures.

Mr. Pirnejad inquired about whether formal procedures should be adopted for FIC review of annual additions to the sewer roll. After an explanation of the review history and discussion, the consensus of comments made is that while individual FIC members provide recurring services such as Sewer Roll review to the Town, it is an informal FIC activity since it relies on extensive, detailed, record reviews and availability of an FIC member and as such should not be part of the FIC’s formal procedures. continued

August 8, 2022, FIC, minutes, continued page 4.

Report on Financial Policies – Sarina Revillar:

Ms. Revillar described plans to formalize documentation of Town financial policies and provided similar documents from three neighboring Agencies. This project is separate from another project documenting desk procedures presently in use. She will send a draft to FIC members requesting their comments.

Quarterly Report on Financial Controls and Cash and Investment Summary Worksheet – Sarina Revillar:

Ms. Revillar presented the Quarterly Controls report included in meeting handouts noting all items were completed in a timely manner. Ms. Revillar stated periodic physical inventories of personal property were performed and results were submitted to the auditors. The cash and investments report was included as a meeting handout.

City Manager Report – Peter Pirnejad:

Mr. Pirnejad noted that progress on staff annual goals would be presented to Council in the August 18, 2022, meeting.

Council Report – George Tyson:

Nothing to report.

Next meeting date:

The next meeting date discussed was tentatively identified as September 12, 2022.

Adjournment: As there were no further comments, the meeting adjourned at 5:55 pm.

Recording:
https://losaltoshillsca.portal.civicclerk.com/event/2694/video Respectfully submitted:

Roddy Sloss, Committee Secretary
---

Capital Accounting Partners, LLC
We give you a product we are PROUD to put our name on!
Los Altos Hills
Preliminary Results
August 2022
1

Project Scope and Objectives
2 1. Calculate Total Cost of Service

2. Determine if Refunds Are Justified, Based on
Total City Cost

3. Review process for calculating fees and the
implementation of the recent fee study.

Preliminary Results and Narrative
3 Observation:

1. The City has been collecting Building fees
consistent with the Master Fee Schedule

Monthly Net Revenues (Q 1 FY 20 - Q4 FR
22)
$107,922
$122,419
($47,464)
$155,376
$9,540
($101,809)
$21,655
$30,278
$22,471
($426)
$134,029
$142,769
$252,256
$386,460
$440,761
($195,882)
$123,519
$16,170
($36,096)
$93,059
($102,233)
$55,454
($820)
($132,908)
3 2 2
4 0 0 0 0 0 0
2 2
0 5
8 2
0 2
1 1
0 0 0 0
-6
-4
-2
0 2
4 6
8 10
($300,000)
($200,000)
($100,000)
$0
$100,000
$200,000
$300,000
$400,000
$500,000
Comparison of Net Revenue Vs. New Residential Permits
Net Revenue Residential Permits
13 New
SFR
Permits in
2 Months

Preliminary Results and Narrative
5 Observation:

2. It takes on average, 29.5 months to
complete a new residential home.

Therefore, total City cost can only be
determined until February or March of
2023.

Thank You!
6

1 Building Department Fee Schedule FY 2021/22
Adopted via Resolution No. 42-21 – Effective Date: August 23, 2021 Applications and Permits Fee
Building Permit Fees
All Projects Base Fee $240
All Projects - Modifier 0.9% of project valuation
The project valuation is provided by the applicant at time of submittal and confirmed by Building Dept staff during initial plan review.

Mechanical, Electrical and Plumbing Permits
All Projects Base Fee $180
All Projects - Modifier 0.9% of project valuation
The project valuation is provided by the applicant at time of submittal and confirmed by Building Dept staff during initial plan review.

Furnace $82
Gas Lines $82
Water Heater $82
Reroof (< $50,000 valuation) $375
Reroof (≥ $50,000 valuation) $375 + 0.9% of project
valuation over $50,000
Solar Panels (set by State law) $450 + $15/kW (above
15kW)
This fee is set per California Government Code Section 66015.

Demolition $180
Plan Review Fee 65% of Permit Fee
Plan Retention Fee $25/page
Plan Retention Fee (electronic plans) $75
Planning and Engineering Review and Inspection Fees
Site Development Review $830
Site Development Compliance Inspections $980
ADU Plan Review $725
ADU Compliance Inspections $830
These review and inspection fees are assessed to all building permits that are subject to Planning and Engineering review and compliance inspections. If more than three reviews are required to issue a permit or more than six inspections required final a permit, additional review/inspections fees may be assessed.

Green Building Fee
$4/$100,000 of assessed
valuation, (Minimum
$1/$25,000 of valuation)
This fee is set per California Health and Safety Code Section 18931.6 and goes into the Building Standards Administration Special Revolving Fund established under Section 19831.7.

2 Applications and Permits, continued Fee
Strong Motion Instrumentation & Seismic Hazard Mapping Fee $0.13/$1,000 of assessed
valuation (Minimum fee is
$0.50)
Energy Fee (State Imposed)
Formula = 1.65 x (0.15 x building permit fee)
15% of Building Permit
This fee is set by the State of California under Title 24 Part 2 Energy and Accessibility Code and Regulations.

Inspections Fees
Inspection Request, when no permit is needed
During normal business hours $210
After normal business hours $240
Reinspection $210
Inspection for which no fee is otherwise indicated $210 Code Compliance Inspection $300
Other Permit Fees
Extension of Building Permit $180
Replacement of Inspection Card $80
Additional Plan Review $350
This fee is applied when an application requires more than three plan checks to be completed.

Temporary Certificate of Occupancy $500
Approval by the Planning and Building Director is required to issue a Temporary Certificate of Occupancy and the project must demonstrate special circumstances.

Street Address Change $650
Work Without a Permit Up to 4x Permit Fee
The violation fee is set per Municipal Code sections 8-8.05 and 10-2.1318, with the specific amount determined by the Planning and Building Director based on the nature of the violation Performance Deposits
Building Permit Final Deposit (refunded after permit finaled) Less than $50,000 $0
$50,000 or more 0.9% of valuation
Early Meter Release Utility Deposit (refunded after permit finaled) Gas $20,000
Electric $40,000
Planned Drainage Facilities (per Muni Code Title 8, Chapter 7, 8-7.05) Impermeable Structure (per sq ft of development area added) $0.96/sq ft This fee set per Municipal Code Section 8-7.05.

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: INTRODUCTION OF AN ORDINANCE OF THE TOWN OF LOS ALTOS HILLS AMENDING CHAPTER 1.10 (GREEN BUILDING
STANDARDS CODE) OF TITLE 8 (BUILDING REGULATIONS) OF

THE LOS ALTOS HILLS MUNICIPAL CODE AND ADOPT BY

REFERENCE REGULATIONS THAT REQUIRE THE

ELECTRIFICATION OF NEW RESIDENTIAL BUILDINGS BASED

ON SPECIAL LOCAL CONDITIONS AND ADOPT REGULATIONS

TO REQUIRE EV READY CONSTRUCTION FOR NEW

RESIDENTIAL BUILDINGS AND ESTABLISH ELECTRIC VEHICLE

PERMIT STREAMLINING PROCESS AND TIMELINES
FROM: Sofia Mangalam, Planning Director
APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Waive reading and introduce the Ordinance (Attachment 1) to amend Chapter 1.10 (Green Building Standards Code) of Title 8 of the Los Altos Hills Municipal Code and adopt by reference local amendments that require the electrification of new residential buildings and require EV ready construction for new residential buildings based on special local conditions. Additionally, adopt a new Chapter 11 of Title 8 to establish electric vehicle permit streamlining processes and timelines.

BACKGROUND
While the State of California updates the building code every three (3) years, and all jurisdictions must adopt this code at a minimum, cities and counties may also choose to adopt local building codes that “reach” above and beyond the State minimum. A local jurisdiction can choose to adopt a reach code in order to achieve additional health, safety, and environmental benefits such as increased energy and emissions savings.

Reach Codes are amendments to the Energy and/or Green Building Standards Codes to reduce greenhouse gas emissions (GHGs). Adopting Reach Codes create opportunities for local governments to lead initiatives on climate change solutions, clean air, and renewable energy.

Reach Codes establish higher standards for new construction to provide environmental and health benefits to the community.

In the last cycle of updates, on January 16, 2020, the City Council voted 4-1 to introduce an ordinance to amend the Town’s Building Code regulations to include “reach code” amendments to the 2019 California Energy Code requiring all-electric space and water heating systems in new residential buildings. Gas fueled cooking appliances, clothes dryers and fireplaces are permitted, AGENDA ITEM #7.A
S.M.

P.P.

Staff Report to the City Council
2022 Green Building Standards Reach Code Amendments
October 20, 2022

but pre-wiring for these appliances is required (see Attachment 2). The next code cycle will be effective January 1, 2023, and it is time for the Town to adopt Reach Codes to the California Energy Code (Title 24, Part 6) and the California Green Building Standards (Title 24, part 11) codes in 2022. Even if the Town has no updates to its Reach Code, we must readopt existing Reach Codes so that they are not voided.

In addition, Assembly Bill (AB) 1236 and AB 970 have established that local jurisdictions must adopt an ordinance establishing electrical vehicle charging station (EVCS) permit streamlining process and timelines.

NOTICE/PUBLIC OUTREACH
The public was advised of this Public Hearing in the following ways:
• Newspaper notice – October 8, 2022
• Public Posting Places – October 7, 2022
• Town Website: www.losaltoshills.ca.gov – October 14, 2022

DISCUSSION
The California Energy Commission (CEC) is the State’s primary energy policy and planning agency with a mission to lead the State to a 100 percent clean energy future. The CEC develops policies to reduce energy usage and costs, limit the environmental impacts of energy generation and use, and ensure a safe, resilient, and reliable supply of energy. Cities and counties can adopt reach codes that set conditions above the minimum state code requirements. However, these reach codes must be filed with the California Building Standards Commission.

As California’s energy policy agency, the CEC was mandated by the Warren Alquist Act to periodically update and adopt building standards to increase the energy efficiency of buildings and reduce GHGs. Part 6 of Title 24 implemented this mandate so that every three years, the CEC presents Building Energy Efficiency Standards (Energy Code) updates for new construction and renovations to existing buildings. After the CEC adopts these standards, they are submitted to the California Building Standards Commission for approval and inclusion with other changes to the building code. If local amendments require energy efficiency or conservation measures, such as higher performance envelope or battery storage, the California Energy Commission (CEC) requires that the amendments be supported by a cost-effectiveness study and filed as amendments to the Energy Code (Title 24, Part 6). A cost-effectiveness study and filing with the CEC is not required for amendments that do not require efficiency or conservation, such as only requiring electrification, and the amendments can be made to the Green Building Standards Code (Title 24, Part 11, also known as CALGreen).

The proposed 2022 Green Building Standards Code Updates focuses on four (4) key areas in the new construction of homes and businesses:
• Encouraging electric heat pump technology and use

Staff Report to the City Council
2022 Green Building Standards Reach Code Amendments
October 20, 2022

• Establishing electric-ready requirements when natural gas is installed • Expanding solar photovoltaic (PV) system and battery storage standard • Strengthening ventilation standards to improve indoor air quality How does the 2022 Energy Code affect new homes?
• Establishes energy budgets based on efficient heat pumps for space or water heating to encourage builders to install heat pumps over gas-fueled HVAC units. • Requires homes to be electric-ready, with dedicated 240-volt outlets and space (with plumbing for water heaters) so electric appliances can eventually replace installed gas appliances. • Increases minimum kitchen ventilation requirements so that fans over cooktops have higher airflow or capture efficiency to better exhaust pollution from gas cooking and improve indoor air quality.
• Allows exceptions to existing solar PV standards when roof area is not available (such as for smaller homes).
• The 2022 California Green Building Code update (Title 24, Part 11) increased requirements for electric vehicle charging infrastructure in new construction; including:
o New one- and two-family dwellings and townhouses with attached private garages:
must be Level 2 EV-capable
As stated earlier, cities and counties may choose to adopt local building codes that “reach” above and beyond the State minimums. The Reach Code options were discussed at the September 15, 2022 City Council meeting.

September 15, 2022, Staff memo to City Council
On September 15, 2022, staff presented a memo (see Attachment 3) to the City Council regarding potential future council action, including:

1. Readopt the existing Reach Codes

2. Readopt the existing Reach codes with a few additions- • ‘New Construction’ all electrification with exceptions for cooktop and outdoors. • EV ready

3. Add ‘Substantial Remodel and Additions’ per EIC’s recommendations

4. Electrify all remodels and additions.

At the meeting, Councilmember Mok, under Council initiated items, discussed recommendations from the Environmental Initiatives Committee (EIC) regarding Reach Codes. The discussion included addition of laundry and ovens to “must electrify” list and requiring all New Construction Group R-3 units to be Level 2 EV ready for one parking space per dwelling unit (the new building code requires to be EV capable). Staff noted that this implies that ‘New Construction’ will be all electric with exceptions for cooktops and outdoor gas fired appliances. Furthermore, all new residents shall be EV ready.

Staff Report to the City Council
2022 Green Building Standards Reach Code Amendments
October 20, 2022

It was also discussed that EIC recommended addressing “Substantial Remodels and Additions” in “New Construction.” However, it was noted that this significant change will require community meetings and so on before adopting more aggressive Reach Codes, thus, this could be part of Town’s 2023 goal settings.

Finally, City Council directed staff to proceed with the Ordinance to include all electrification and EV ready for new construction with the exception of cooktop and outdoors (see meeting minutes, Agenda item #4A).

EVCS Permit Streamlining Process and Timelines
Earlier this year in May, a representative from California Energy Commission reached out to staff noting that Town of Los Altos Hills has not yet implemented the provisions of AB 1236. It also noted that Cities and counties with a population of less than 200,000 residents are required to adopt an ordinance codifying the AB 1236 and AB 970 by January 1, 2023.

AB 1236 codified in Government Code Section 65850.7, requires all California cities and counties to develop an expedited, streamlined permitting process for EVCS. AB 970, codified in Government Code Section 65850.71, adds specific binding timelines to that review period based on the size of the project and clarifies parking requirements.

PROPOSED ORDINANCE
The proposed ordinance (Attachment 1) modifies language in sections of the Green Building Standards Code related to low-rise residential buildings and adopts language from a Green Building Code Appendix chapter requiring all new residential buildings be all-electric and EV Ready. No code changes are proposed for non-residential buildings since this is not applicable to Los Altos Hills.

The ordinance language contains the following:
• Outlines the sections in the Green Building Standards Code that are applicable to the new regulations.
• Requires that new residential buildings be all electric except for indoor and outdoor cooking, fireplaces and pool/spa heaters.
• Requires that all new residential building (one and two-family and townhouses) be EV Ready.
• Adopts permit process and timeline requirements for electric vehicle charging stations.

The draft ordinance language was developed by staff using model reach code language developed by Silicon Valley Clean Energy (SVCE). The regulations require that all new residential buildings be all electric with the exception of indoor and outdoor cooking, fireplaces and pool/spa heaters.

Staff Report to the City Council
2022 Green Building Standards Reach Code Amendments
October 20, 2022

It is widely known that availability of EV charging infrastructure is a critical component to EV adoption. Meanwhile, it is significantly more expensive to install charging infrastructure as a retrofit than it is during new construction. As such, ensuring that newly constructed residential parking has ample EV charging capability will reduce long-term retrofit costs of EV infrastructure installation, while helping to increase EV adoption and decrease transportation-related greenhouse gas emissions.

The proposed ordinance additionally requires that all new low-rise residential buildings be EV Ready. These regulations require that new low-rise residential buildings including single family homes be provided with a full 40-amp circuit clearly identified as “EV Ready” i.e. being used for EV charging stations. The language for EV Ready requirements is adopted from 2022 California Green Building Standards Code Appendix Chapter A4.

Finally, the draft ordinance establishes a streamlining process and timelines for EV charging station permits in accordance with AB1236 and AB 970.

ENVIRONMENTAL REVIEW
The proposed ordinance amendments are exempt from California Environmental Quality Act (CEQA) pursuant to "general exemptions" described in Section 15061(b)(3) of the CEQA Guidelines, since the ordinance amendments would not have any significant effects on the environment.

FISCAL IMPACT
Although there is no fiscal impact to the Town associated with adoption of the reach codes, the cost of construction would increase with the implementation of these energy code amendments.

ATTACHMENTS

1. Draft Ordinance

2. Ordinance 589 (2019 Energy Code)

3. Memo to City Council, September 15, 2022

Ordinance Page 1

ORDINANCE XXX

AN ORDINANCE OF THE TOWN OF LOS ALTOS HILLS AMENDING
CHAPTER 1.10 (GREEN BUILDING STANDARDS CODE) OF TITLE 8 (BUILDING REGULATIONS) OF THE LOS ALTOS HILLS MUNICIPAL

CODE AND ADOPT REGULATIONS THAT REQUIRE THE

ELECTRIFICATION OF NEW RESIDENTIAL BUILDINGS BASED ON

SPECIAL LOCAL CONDITIONS AND ADOPT REGULATIONS TO

REQUIRE EV READY CONSTRUCTION FOR NEW RESIDENTIAL

BUILDINGS AND ESTABLISH AN ELECTRIC VEHICLE PERMIT

STREAMLINING PROCESS AND TIMELINES
WHEREAS, California Health and Safety Code section 17958 requires that cities adopt building regulations that are substantially the same as those adopted by the California Building Standards Commission and contained in the California Code of Regulations – Title 24; and WHEREAS, the 2022 California Green Building Standards Code is a part of the 2022 California Code of Regulations and implements minimum energy efficiency standards in buildings through mandatory requirements, prescriptive standards, and performances standards; and WHEREAS, AB 1236 and 970 require jurisdictions to adopt an expediated permit process and specific review timelines for Electric Vehicle Charging Station; and WHEREAS, pursuant to California Health and Safety Code Sections 17958.5, 17958.7 and 18941.5, the City Council of the Town of Los Altos Hills hereby finds that the modifications to the building standards contained in the California Code of Regulations are reasonably necessary based on the following local climatic, geological or topographical conditions:

1. Climatic: The Town is located in Climate Zone 3 as established in the 2019 California Energy Code. Climate Zone 3 incorporates communities near the coast from Marin County to southern Monterey County including Los Altos Hills. The Town experiences precipitation ranging from 18 to 22 inches per year with an average of approximately 20 inches per year. Ninety-five percent of precipitation falls during the months of November through April, leaving a dry period of approximately six months each year.

Relative humidity remains moderate most of the time and temperatures average 80 degrees the mid-50s in winter. These climatic conditions along with the greenhouse emissions generated from residential structures requires exceeding the energy standards for building construction established in the 2019 California Building Standards Code. The Town’s City Council also adopted a Climate Action Plan that has a goal of reducing greenhouse gas emissions below 1990 levels by the year 2030. In order to achieve and maintain this goal, the Town needs to adopt policies and regulations that reduce the use of fossil fuels that contribute to climate change, such as natural gas in buildings.

2. Geologic: The Town of Los Altos Hills is subject to earthquake hazard caused by its proximity to San Andreas fault. This fault runs from Hollister, through the Santa Cruz Attachment 1

Ordinance Page 2
Mountains, epicenter of the 1989 Loma Prieta Earthquake, up the San Francisco Peninsula eventually moving offshore at Daly City near Mussel Rock. This fault system is considered a major Northern California earthquake faults which may experience rupture at any time. Thus, because the City is within a seismic area which includes these earthquake faults, the modifications and changes cited herein are designed to better limit property damage as a result of seismic activity.

3. Topographic: The Town of Los Altos Hills consists of ridgelines, rolling foothills and deep wooded canyons that affect climate conditions resulting in increased use of heating and cooling systems and the trapping of potential greenhouse gases in the valley floors.

WHEREAS, in accordance with Health and Safety Code section 17958.7, the City Council hereby finds that each of the above findings is applicable to each of the modifications to the 2022 Edition of the California Building Standards Code described in this ordinance; and WHEREAS, the City Council of the Town of Los Altos Hills finds that this project is exempt from the provisions of the California Environmental Quality Act (“CEQA”), pursuant to Section 15061(b)(3) of the CEQA Guidelines, because it can be seen with certainty that there is no possibility that the ordinance will have a significant effect on the environment.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title 8, Chapter 1.10, “Green Building Standards Code,” of the Los Altos Hills Municipal Code is hereby amended. Sections not affected by this amendment are not included below and shall remain in full force and effect.

Chapter 1.10 CALIFORNIA GREEN BUILDING STANDARDS CODE
The Green Building Standards Code is amended as follows:

A. Chapter 2 Definitions is amended by adding the following definitions to read:

ALL-ELECTRIC BUILDING. A building that contains no combustion equipment or plumbing for combustion equipment serving space heating (including fireplaces), water heating (including pools and spas), cooking appliances (including barbeques), and clothes drying, within the building or building property lines, and instead uses electric heating appliances for service.

COMBUSTION EQUIPMENT. Any equipment or appliance used for space heating, water heating, cooking, clothes drying and/or lighting that uses fuel gas.

FUEL GAS. A gas that is natural, manufactured, liquefied petroleum, or a mixture of these.

Ordinance Page 3
B. Chapter 4 Residential Mandatory Measures is amended by adding the following sections to read:

DIVISION 4.1 PLANNING AND DESIGN
SECTION 4.106 SITE DEVELOPMENT

4.106.5 All-electric buildings. New construction buildings shall comply with Section

4.106.5.1 or 4.106.5.2 so that they do not use combustion equipment or are ready to accommodate installation of electric indoor cooking appliances.

4.106.5.1. New construction. All newly constructed buildings, newly constructed detached accessory dwelling units, and other newly constructed detached habitable structures shall be all-electric buildings.

Tenant improvements shall not be considered new construction.

Exceptions:

1. Indoor cooking for residential building projects is exempted from the requirements of 4.106.5.1. The applicant shall comply with Section 4.106.5.2.

2. Outdoor cooking, fireplaces, and pool/spa heaters for residential building projects are exempted from the requirements of 4.106.5.1.

4.106.5.2 Requirements for indoor cooking combustion equipment. Where indoor cooking combustion equipment is allowed per exception #1under 4.106.5.1, the construction drawings shall indicate electrical infrastructure and physical space accommodating the future installation of an electrical cooking appliance in the following ways, as certified by a registered design professional or licensed electrical contractor:

1. Branch circuit wiring, electrically isolated and designed to serve all electrical cooking appliances in accordance with manufacturer requirements and the California Electrical Code, including the appropriate voltage, phase, minimum amperage, and an electrical receptacle or junction box within five feet of the appliance that is accessible with no obstructions. Appropriately sized conduit may be installed in lieu of conductors; and

2. Labeling of both ends of the unused conductors or conduit shall be with “For Future Electrical Cooking Appliance”; and

3. Reserved circuit breakers in the electrical panel for each branch circuit, appropriately labeled (i.e “Reserved for Future Electric Cooking Appliance”), and positioned on the opposite end of the panel supply conductor connection; and

4. Connected subpanels, panelboards, switchboards, busbars, and transformers shall be sized to serve the future electrical cooking appliances. The electrical capacity

Ordinance Page 4
requirements shall be adjusted for demand factors in accordance with the California Electric Code; and

5. Physical space for future electrical cooking appliances, including equipment footprint shall be depicted on the construction drawings. The footprint necessary for future electrical cooking appliances may overlap with non-structural partitions and with the location of currently designed combustion equipment.

C. Appendix Chapter A4 Section A4.106.8 Electric Vehicle (EV) Charging for New Construction is adopted.

2. Title 8, Chapter 11, STREAMLINED PERMITTING PROCESS FOR ELECTRIC VEHICLE CHARGING STATIONS is added.
8-11.01 Purpose.

The intent of this chapter is to adopt an expedited, streamlined permitting process for electric vehicle charging stations that complies with AB 1236 (Chapter 598, Statutes 2015, Cal. Gov't Code § 65850.7) and AB 970 to achieve timely and cost-effective installations of electric vehicle charging stations. The chapter encourages the use of electric vehicle charging stations by removing unreasonable barriers, minimizing costs to property owners and the Town of Los Altos Hills, and expanding the ability of property owners to install electric vehicle charging stations. The chapter allows the Town of Los Altos Hills to achieve these goals while protecting the public health and safety. 8-11.02 Definitions.
(a) ELECTRIC VEHICLE CHARGING STATION(S) or CHARGING STATION(S) means any level of electric vehicle supply equipment station that is designed and built in compliance with California Code of Regulations, Title 24 Part 3 California Electrical Code Article 625, as it reads on the effective date of this chapter or as it may be amended, and delivers electricity from a source outside an electric vehicle into a plugin electric vehicle. (b) SPECIFIC, ADVERSE IMPACT means a significant, quantifiable, direct, and unavoidable impact, based on objective, identified, and written public health or safety standards, policies, or conditions as they existed on the date the application was deemed complete.
8-11.03 Applicability.

This chapter applies to the permitting of all electric vehicle charging stations in the Town of Los Altos Hills. Electric vehicle charging stations legally established or permitted prior to the effective date of this chapter are not subject to the requirements of this chapter unless physical modifications or alterations are undertaken that materially change the size, type,

Ordinance Page 5
or components of a small rooftop energy system in such a way as to require new permitting.

Routine operation and maintenance shall not require a permit. 8-11.04 Electric vehicle charging stations requirements. (a) All electric vehicle charging stations shall meet applicable health and safety standards and requirements imposed by the state and the Town.
(b) Electric vehicle charging stations shall meet all applicable safety and performance standards established by the California Electrical Code, the Society of Automotive Engineers, the National Electrical Manufacturers Association, and accredited testing laboratories such as Underwriters Laboratories and where applicable, rules of the Public Utilities Commission regarding safety and reliability. 8-11.05 Submittal requirements.
(a) All documents required for the submission of an electric vehicle charging station system application shall be made available on the Town of Los Altos Hills website. (b) Electronic submittal of the required permit application and associated documents for electric vehicle charging station system permits may be made by email. As an alternative an applicant may submit a permit application and associated documents at the Building Division front counter during regular business hours. (c) The Building Division shall adopt a checklist of all requirements with which the electric vehicle charging stations shall comply to be eligible for expedited review. The electric vehicle charging station permit process, standard(s) and checklist(s) shall substantially conform to recommendations for permitting, including the checklist and standards contained in the "Plug-In Electric Vehicle Infrastructure Permitting Checklist" of the "Zero-Emission Vehicles in California: Community Readiness Guidebook" published by the Office of Planning and Research.
(d) All fees prescribed for the permitting of electric vehicle charging stations shall comply with Cal. Gov't Code § 65850.55, Cal. Gov't Code § 66015, Cal. Gov't Code § 66016, and State Health and Safety Code § 17951 as set forth in the fee schedule adopted by resolution by the Town Council.
8-11.05 Plan review, permit, and inspection requirements. (a) Permit Application and Plan Review
i. Prior to submitting application
Prior to submitting an application for processing, the applicant shall verify that the installation of an electric vehicle charging station will not have a specific, adverse impact upon public health and safety and building occupants. Verification by the

Ordinance Page 6
applicant includes but is not limited to: electrical system capacity and loads; electrical system wiring, bonding and overcurrent protection; building infrastructure affected by charging station equipment and associated conduits; areas of charging station equipment and vehicle parking.
ii. Administrative Review:

The Building Division shall prepare and implement an administrative, nondiscretionary permit issuance process, in accordance with AB 970, to expedite approval of electric vehicle charging station permits within thirty (30) days of the adoption of the ordinance codified in this chapter.
iii. Complete Application:

A permit application that satisfies the information requirements in the Town’s adopted checklist shall be deemed complete and be promptly processed. Upon confirmation by the Building Official that the permit application and supporting documents meet the requirements of the Town-adopted checklist and is consistent with all applicable laws and health and safety standards, the Building Official shall, consistent with Government Code Section 65850.7, approve the application and issue all necessary permits. Such approval does not authorize an applicant to energize or utilize the electric vehicle charging station until approval is granted by the Building Division. iv. Incomplete Application:

If an application is deemed incomplete, a written correction notice detailing all deficiencies in the application and any additional information or documentation required to be eligible for expedited permit issuance shall be emailed to the applicant for resubmission.
v. Review of the Application:

Review of the permit application shall be limited to the Building Division’s review of whether the application meets local, State and Federal health and safety requirements. (b) Inspections
i. Only one inspection shall be required and performed by the Building Division for electric vehicle charging systems. During the required inspection, if it is found that the installation does not conform to the approved plans and/or comply with the current California Building Code and/or California Electrical Code requirements, then an additional follow-up inspection, or inspections, shall be required. If an electric vehicle charging station system fails inspection, a subsequent inspection is authorized.

Ordinance Page 7
ii. The Building Division inspection shall be scheduled within three (3) business days, upon request, and may include consolidated inspections.

3. Severability. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this ordinance are severable. The City Council of the Town of Los Altos Hills hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable.

4. Effective Date; Publication. This ordinance shall take effect thirty (30) days after adoption.

Within fifteen days after the passage of this ordinance the City Clerk shall cause this ordinance or a summary thereof to be published once, with the names of those City Councilmembers voting for or against it in a newspaper of general circulation in the Town of Los Altos Hills, as required by law. Prior to the effective date of this ordinance, the City Clerk shall further file a copy of the ordinance, with the California Building Standards Commission.

INTRODUCED:

PASSED:

AYES:

NOES:

ABSTENTIONS: None
ABSENT: None

Ordinance Page 8
BY:
_______________________
George Tyson, Mayor
ATTEST:
_________________________
Deborah Padovan, City Clerk
APPROVED AS TO FORM:
_________________________
Steve Mattas, City Attorney

A] Oki 11 141AL16"M

AN ORDINANCE OF THE TOWN OF LOS ALTOS HILLS AMENDING
CHAPTER 1. 6 ( ENERGY CODE) OF TITLE 8 ( BUILDING

REGULATIONS) OF THE LOS ALTOS HILLS MUNICIPAL CODE AND

ADOPT BY REFERENCE REGULATIONS THAT REQUIRE THE

ELECTRIFICATION OF SPACE AND WATER HEATING SYSTEMS IN

NEW RESIDENTIAL BUILDINGS BASED ON SPECIAL LOCAL

CONDITIONS
WHEREAS, California Health and Safety Code section 17958 requires that cities adopt building regulations that are substantially the same as those adopted by the California Building Standards Commission and contained in the California Code of Regulations — Title 24; and WHEREAS, the 2019 California Energy Code is a part ofthe 2019 California Code ofRegulations and implements minimum energy efficiency standards in buildings through mandatory requirements, prescriptive standards, and performances standards; and WHEREAS, Public Resources Code Section 25402. 1( h)2 and Section 10- 106 of the Building Energy Efficiency Standards ( Standards) establish a process which allows local adoption of energy standards that are more stringent than the statewide Standards, provided that such local standards are cost effective and the California Energy Commission finds that the standards will require buildings to be designed to consume no more energy than permitted by the 2019 California Energy Code; and
WHEREAS, the California Statewide Codes and Standards Program led the development of a cost-effectiveness study for Energy Code reach codes that examined different performance- based approaches for new construction of specific building types and determined that such modifications will result in designs that cons -Lime less energy than they would under the 2019 State Energy Code; and
WHEREAS, the City Council ofthe Town of Los Altos Hills finds that the local amendments to the California Energy Code contained in this ordinance are cost effective and will require buildings to be designed to consume no more energy than permitted by the California Energy Code; and WHEREAS, pursuant to California Health and Safety Code Sections 17958. 5, 17958. 7 and 18941. 5, the City Council of the Town of Los Altos Hills hereby finds that the modifications to the building standards contained in the California Code of Regulations are reasonably necessary based on the following local climatic, geological or topographical conditions:

I Climatic: The Town is located in Climate Zone 3 as established in the 2019 California Energy Code. Climate Zone 3 incorporates communities near the coast from Marin County to southern Monterey County including Los Altos Hills. The Town experiences precipitation ranging from 18 to 22 inches per year with an average of approximately 20 inches per year. Ninety- five percent of precipitation falls during the months of November through April, leaving a dry period of approximately six months each year.

Ordinance 589 Page 1 Page 752 of 802
Relative humidity remains moderate most of the time and temperatures average 80 degrees the mid -50s in winter. These climatic conditions along with the greenhouse emissions generated from residential structures requires exceeding the energy standards for building construction established in the 2019 California Building Standards Code. The Town' s City Council also adopted a Climate Action Plan that has a goal of reducing greenhouse gas emissions below 1990 levels by the year 2030. In order to achieve and maintain this goal, the Town needs to adopt policies and regulations that reduce the use of fossil fuels that contribute to climate change, such as natural gas in buildings.

2. Geologic: The Town of Los Altos Hills is subject to earthquake hazard caused by its proximity to San Andreas fault. This fault runs from Hollister, through the Santa Cruz Mountains, epicenter of the 1989 Loma Prieta Earthquake, up the San Francisco Peninsula eventually moving offshore at Daly City near Mussel Rock. This fault system is considered a major Northern California earthquake faults which may experience rupture at any time. Thus, because the City is within a seismic area which includes these earthquake faults, the modifications and changes cited herein are designed to better limit property damage as a result of seismic activity.

3. Topographic: The Town of Los Altos Hills consists of ridgelines, rolling foothills and deep wooded canyons that affect climate conditions resulting in increased use of heating and cooling systems and the trapping ofpotential greenhouse gases in the valley floors.

WHEREAS, in accordance with Health and Safety Code section 17958. 7, the City Council hereby finds that each of the above findings is applicable to each of the modifications to the 2019 Edition of the California Energy Code described in this ordinance; and WHEREAS, the City Council of the Town of Los Altos Hills finds that this project is exempt from the provisions of the California Environmental Quality Act (" CEQA"), pursuant to Section 15061( b)( 3) of the CEQA Guidelines, because it can be seen with certainty that there is no possibility that the ordinance will have a significant effect on the environment.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title 8, Chapter 1. 6, " Energy Code," of the Los Altos Hills Municipal Code is hereby amended to add Section 8- 1. 6.02, with additions in underline and deletions in strikethrough to reflect local amendments. Sections not affected by this amendment are not included below and shall remain in full force and effect.
8- 1. 6. 02 Amended sections of adopted. code.

Notwithstanding the provisions of Section 8- 1. 6. 01, the Energy Code is amended as follows:

Ordinance 589 Page

2 A. Section 100. 0 Scope under subsection ( e) 2. D. Low- rise residential buildings is amended to read as follows:
i. Sections applicable. Sections 150. 0 through 150. 1 apply to newly constructed low-rise residential buildings. In addition, all newly constructed residences, newly constructed detached accessory dwelling units, and other newly constructed detached habitable structures shall be electrically heated mixed -fuel buildings as defined in Section 100. 1( b).

B. Section 100. 1( b) Definitions is amended by adding or amending the following definitions to read:

All -electric building is a building that has no natural gas or propane plumbing installed within the building, and that uses electricity as the source of energy for its space heating, water heating, cooking appliances, and clothes drying appliances.

Certified energy analyst is a person registered as a Certified Energy Analyst with the California Association of Building Energy Consultants as of the date of submission of a Certificate of Compliance as required under Section 10. 103.

Electrically heated mixed -fuel building is a mixed -fuel building that uses electricity as the source of energy for its space heating and water heating appliances.

Free standing accessory dwelling unit is a detached building that is not intended for sale separate from the primary residence, on a lot that is zoned for single- family or multi -family use, located on the same lot as an existing dwelling, and does not exceed 1, 200 square feet of total living area.

Mixed -fuel building is a building that is plumbed for the use of natural gas or propane as fuel for space heating, water heating, cooking appliances and/or clothes drying appliances.

C. Section 150. 0 Mandatory Features and Devices is amended to read as follows:

Low-rise residential buildings shall comply with the applicable requirements of Sections 150( a) through 150. 0( s).

NOTE: The requirements of Sections 150. 0( a) through 150. 0( s) apply to newly constructed buildings. Sections 150. 2( a) and 150. 2( b) specify which requirements of Sections 150. 0( a) through 150. 0( s) also apply to additions or alterations.

D. Section 150. 0( h) Space -conditioning equipment is amended by adding the following:

5. Systems using gas or propane space heating equipment to serve new residences, new detached accessory dwelling units, and new detached habitable structures are not permitted.

E. Section 150. 0( n) Water heating system is amended by adding the following:

Ordinance 589 Page 3 Page 754 of 802

1. Systems using gas or propane water heaters to serve new residences, new detached accessory dwelling units, and new detached habitable structures are not permitted.

F. Section 150. 0( s) is added to read as follows:
s) Clothes Drying and Cooking. Buildings plumbed for natural gas or propane clothes drying or cooking equipment shall include the following components for each gas terminal or stub out:

1. Clothes Drying.

A. A dedicated 208/ 240 -volt, 30 -amp or greater electrical receptacle that is connected to the electric panel with conductors of adequate capacity, within 3 feet ofthe appliance and accessible with no obstructions; B. Both ends of the unused conductor shall be labeled with the words " For Future Electric Clothes Dryer" and be electrically isolated;
C. A double pole circuit breaker in the electrical panel labeled with the words " For Future Electric Clothes Dryer;" and
D. Other electrical components, including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code.

2. Cooktop.

A. A dedicated 208/ 240 -volt, 50 -amp or greater electrical receptacle that is connected to the electric panel with conductors of adequate capacity, within 3 feet ofthe appliance and accessible with no obstructions; B. Both ends of the unused conductor shall be labeled with the words " For Future Electric Range" and be electrically isolated;
C. A double pole circuit breaker in the electrical panel labeled with the words " For Future Electric Range;" and
D. Other electrical components, including conductors, receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code.

3. Stand Alone Cooking Oven.

A. A dedicated 208/ 240 -volt, 20 -amp or greater or greater receptacle within 3 feet ofthe appliance and accessible with no obstructions;
B. Both ends of the unused conductor shall be labeled with the words " For Future Electric Oven" and be electrically isolated;
C. A double pole circuit breaker in the electrical panel labeled with the words " For Future Electric Oven;" and
D. Other electrical components, including conductors,. receptacles or blank covers, related to this section shall be installed in accordance with the California Electrical Code.

2. Severability. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby ,and shall continue in full force and effect. To this end, provisions of this ordinance are severable. The City Council of the Town of Eos Altos hills hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, Ordinance 589 Page 4 Page 755 of 802
or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable.

3. Effective Date; Publication. This ordinance shall take effect thirty ( 30) days after adoption.

Within fifteen days after the passage of this ordinance the City Clerk shall cause this ordinance or a
summary thereof to be published once, with the names of those City Councilmembers voting for or against it in a newspaper of general circulation in the Town of Los Altos Hills, as required by law. Prior to the effective date of this ordinance, the City Clerk shall further file a copy of the ordinance, with the California Building Standards Commission.

INTRODUCED: January 16, 2020
PASSED: February 20, 2020
AYES: Mayor Wu, Vice Mayor Tankha, Councilmember Corrigan, Councilmember Tyson
Steve Mattas, City Attorney
Ordinance 589 Page

TOWN OF LOS ALTOS HILLS

MEMORANDUM
DATE: SEPTEMBER 15, 2022
TO: CITY COUNCIL
FROM: PETER PIRNEJAD, CITY MANANGER

SOFIA MANGALAM, PLANNING DIRECTOR
RE: REACH CODES

BACKGROUND
While the State of California updates the building code every three years and all jurisdictions must adopt this code at a minimum, cities and counties may also choose to adopt local building codes that “reach” above and beyond the State minimum. A local jurisdiction can choose to adopt a reach code in order to achieve additional health, safety, and environmental benefits such as increased energy and emissions savings.

Reach Codes are amendments to the Energy and Green Building Standards Codes to reduce greenhouse gas emissions (GHGs). Adopting Reach Codes create opportunities for local governments to lead initiatives on climate change solutions, clean air, and renewable energy. Reach Codes establish higher standards for new constructions to provide environmental and health benefits to the community.

In the last cycle of updates, on January 16, 2020, the City Council voted 4-1 to introduce an ordinance to amend the Town’s Building Code regulations to include “reach code” amendments to the 2019 California Energy Code requiring all-electric space and water heating systems in new residential buildings. Gas fueled cooking appliances, clothes dryers and fireplaces are permitted, but pre-wiring for these appliances is required (see Attachment 1).

State 2022 Energy Code Update
The California Energy Commission (CEC) is the State’s primary energy policy and planning agency with a mission to lead the State to a 100 percent clean energy future.

The CEC develops policies to reduce energy usage and costs, limit the environmental impacts of energy generation and use, and ensure a safe, resilient, and reliable supply of energy.

As California’s energy policy agency, the CEC was mandated by the Warren Alquist Act to periodically update and adopt building standards to increase the energy efficiency of Attachment 3
P.P.

buildings and reduce GHGs. Part 6 of Title 24 implemented this mandate so that every three years, the CEC presents Building Energy Efficiency Standards (Energy Code) updates for new construction and renovations to existing buildings. After the CEC adopts these standards, they are submitted to the California Building Standards Commission for approval and inclusion with other changes to the building code.

The proposed 2022 Energy Code Updates focuses on four key areas in the new construction of homes and businesses:
• Encouraging electric heat pump technology and use
• Establishing electric-ready requirements when natural gas is installed • Expanding solar photovoltaic (PV) system and battery storage standard • Strengthening ventilation standards to improve indoor air quality How does the 2022 Energy Code affect new homes?
• Establishes energy budgets based on efficient heat pumps for space or water heating to encourage builders to install heat pumps over gas-fueled HVAC units. • Requires homes to be electric-ready, with dedicated 240-volt outlets and space (with plumbing for water heaters) so electric appliances can eventually replace installed gas appliances.
• Increases minimum kitchen ventilation requirements so that fans over cooktops have higher airflow or capture efficiency to better exhaust pollution from gas cooking and improve indoor air quality.
• Allows exceptions to existing solar PV standards when roof area is not available (such as for smaller homes).

As stated earlier, cities and counties may choose to adopt local building codes that “reaches” above and beyond the State minimum. This memo outlines the options that the Town may adopt to go beyond the State minimum and associated timeline.

Timeline for Adoption
In concert with the State’s standards, the amended building code will go into effect on January 1, 2023. As per BayRen, the generalized timeline for adoption of Reach Codes is as follows:

Source: https://www.bayren.org/how-adopt-reach-code/timeline Environmental Initiatives Committee
Staff first reached out to the Environmental Initiatives Committee (EIC) on January 13, 2022, to discuss Reach Codes. Staff explained that new codes will be in effect from January 2023, and we need to scope out a community engagement process to figure out how far we can go with the Reach code (see Attachment 2 for EIC meeting minutes).

Subsequently, EIC discussed Reach Codes at its February meeting and decided to wait for the final wording of the model ordinance from Silicon Valley Clean Energy (SVCE).

On June 23, 2022, EIC formed a subcommittee to discuss Reach Codes. Staff met the subcommittee a few times (June 27, August 8 and 18) to discuss potential Reach Codes along with SVCE and/or the consultant Building Official from CSG (see Attachment 2 EIC meeting minutes).

On August 25, 2022, the EIC subcommittee presented its recommendations for Reach Code Updates to the Committee. It discussed that the Reach Code updates can have three (3) options:
• Simplify
• Readopt
• Expand
The recommendations included adding laundry and ovens to “must electrify” list and requiring all New Construction Group R-3 units to be Level 2 EV ready for one parking space per dwelling unit (the new building code requires to be EV capable). The recommendation included leaving kitchen stoves and outdoors alone. It further included defining “New Construction” clearly and addressing “Substantial Remodels and Additions” to be included in “New Construction”. It noted that staff can decide on the definitions of “new building, substantial remodel, and substantial addition”.

At the meeting, staff suggested that we hold off on adding ‘substantial remodel and addition’ to “New Construction” after staff has the chance to conduct outreach as more residents will be affected by this change. Staff also suggested further studying the potential language to add substantial remodels/additions so that it is easy to implement.

Committee expressed concerns that if ‘substantial remodels and additions’ are not included for electrification or delayed, the Town won’t be able to achieve its Climate Action Plan (CAP) goals.

Staff further noted that the Town may need to be more aggressive and add all ‘additions and remodels’ for electrification in order to achieve the said goals. However, it is important that the CAP goals are communicated to residents, contractors, architects and so on as well as the Council agrees to more aggressive goals. This will require community meetings and so on before adopting more aggressive Reach Codes. In the end, Committee made a motion to “approve the presented plan and forward to staff, for staff to modify as they see fit” (see Attachment 2 for EIC meeting minutes).

Potential Future Action Council
As noted earlier in the timeline section, that the new building code cycle will go into effect from January 1, 2023. Based on this, the Ordinance must be brought to the City Council for adoption in October, followed by the second reading in November. It must be noted that our existing reach codes, as included in the Municipal Code, must be readopted so that they are not voided.

City Council has the following options for Reach Codes:

1. Readopt the existing Reach Codes

2. Readopt the existing Reach codes with a few additions- • ‘New Construction’ all electrification with exceptions for cooktop and outdoors. • EV ready

3. Add ‘Substantial Remodel and Additions’ per EIC’s recommendations

4. Electrify all remodels and additions.

If the council agrees to make this a priority, then staff would need to accelerate a process to bring this back to Council. Of the options before the council, staff recommends that the Town selects option 2 for adoption in October as these changes only apply to “New Homes.” It must be noted that in our current Reach Codes, we require all-electric space and water heating systems in new construction and the proposed option 2 will now add ovens, laundry for electrification and EV ready to it. Keeping in mind the time constraint, staff reached out to our consultant Building official from CSG, to seek help in drafting the Ordinance. CSG will charge the Town $900 to modify the Town’s existing Reach Code ordinance in preparation for adoption (see Attachment 2).

Given the new codes come into effect in January 2023, staff understands the urgency in getting this done before November. However, given the magnitude of proposed changes that would affect the residents by applying a higher standard to substantial remodel and

additions, staff suggests that this work be assigned back to the EIC for consideration in their 2023 goals. If these priorities make it to the council’s priorities in 2023, then staff would support the effort and help facilitate the effort needed to engage the public and define a process to expand our Reach Codes during the next triannual building Code Cycle.

Attachments:

1. Meeting minutes City Council and Ordinance

2. EIC meeting minutes

3. CSG proposal

TOWN OF LOS ALTOS HILLS October 20, 2022
Staff Report to the City Council
SUBJECT: INTRODUCTION OF AN ORDINANCE AMENDING CHAPTERS 1 THROUGH 1.11 OF TITLE 8 (BUILDING REGULATIONS) OF THE LOS

ALTOS HILLS MUNICIPAL CODE AND ADOPTING BY REFERENCE THE 2022 CALIFORNIA BUILDING STANDARDS CODE, INCLUDING BUT NOT

LIMITED TO ADMINISTRATIVE, BUILDING, RESIDENTIAL BUILDING,

ELECTRICAL, MECHANICAL, PLUMBING, ENERGY, HISTORICAL

BUILDING, EXISTING BUILDING, AND REFERENCED STANDARDS,

INCLUDING LOCAL MODIFICATIONS AND AMENDMENTS TO THE
CODES
FROM: Sofia Mangalam, Planning Director
APPROVED: Peter Pirnejad, City Manager
RECOMMENDATION: That the City Council:

Waive reading and introduce the Ordinance (Attachment 1) to amend Chapters 1 through 1.11 of Title 8 of the Los Altos Hills Municipal Code and adopt by reference the 2022 California Building Standards Code with local modifications and amendments.

BACKGROUND
Every three (3) years, the California Building Standards Commission, along with other state agencies, reviews the California Building Standards Code (CBC) and adopts updates to the codes as part of Title 24 of the California Code of Regulations. The latest Building Standards Code edition (published in July 2022 and referred to as the 2022 CBC), supersedes the 2019 CBC and all locally adopted amendments, and becomes effective statewide on January 1, 2023, without any further action required by local agencies or cities.

Local jurisdictions have the option of adopting more stringent amendments to the code based upon local climatic, topographic or geologic conditions. In all previous California Building Standards Code updates, the Town has adopted local amendments and included these amendments within Title 8 of the Municipal Code. Any proposed amendments adopted after January 1, 2023, become effective on the date they are filed with the California Building Standards Commission.

The proposed ordinance (Attachment 1) for the adoption of the 2022 California Building Standards Code includes all previous code amendments that were adopted in 2019 with minor edits for dates and code sections to reflect the 2022 regulations. No new amendments are proposed at this time.

Additional Green Building Standards Code amendments are included in a separate staff report and Fire code amendments will be presented at a future meeting.

AGENDA ITEM #7.B
S.M.

P.P.

Staff Report to the City Council
2022 California Building Standards Code Update
October 20, 2022

NOTICING/PUBLIC OUTREACH
The public was advised of this Public Hearing in the following ways:
• Newspaper notice – October 8, 2022
• Public Posting Places – October 7, 2022
• Town Website: www.losaltoshills.ca.gov – October 14, 2022

DISCUSSION
On June 30, 2022, the California Building Standards Commission (CBSC) adopted a complete set of new building codes based on the latest international and national model building codes. These regulations are referred to as the California Building Standards Code and are codified in California Code of Regulations, Title 24 (Model Code). The 2022 Model Code replaces current codes and become effective on January 1, 2023. The Model Code is mandatory and must be enforced by local government agencies.

The adoption of the new Model Code is a triennial process done by the CBSC, which is responsible for reviewing, adopting, and publishing building standards for the State of California. Through the code adoption process, the CBSC selects and approves a Model Code, which participating State agencies, such as State Fire Marshal (SFM), Division of the State Architect (DSA), and California Department of Health Care Access and Information (HCAI) have an opportunity to review and amend for the occupancy groups under their respective authorities.

The State allows local agencies to adopt amendments to the Model Code and building standards as long as they are more restrictive than state standards and are based on findings justifying local restrictions based on local geologic, climatic, and topographic conditions, per California Health & Safety Code Section 17958. Amendments to administrative provisions of the Model Code do not require local findings.

In accordance with the California Building Standards Commission Information Bulleting 22- 01, all applications for building permits submitted on or after January 1, 2023, are subject to compliance with the 2022 California Building Standards Code. The 2019 California Building Standards Code remains in effect and applies to plans, specifications, and construction performed where the application for a building permit is received on or before December 30, 2022.

The 2022 Model Code includes the following specific codes/regulations:
• 2022 California Building Code Volumes 1 & 2
• 2022 California Mechanical Code
• 2022 California Plumbing Code
• 2022 California Electrical Code
• 2022 California Existing Buildings Code
• 2022 California Historical Building Code
• 2022 California Energy Code
• 2022 California Residential Code

Staff Report to the City Council
2022 California Building Standards Code Update
October 20, 2022

The code amendments adopted in 2019 have been implemented over the past three (3) years and there have been no implementation issues. There are no proposed amendments to this code cycle except for changing the reference from 2019 CBC to 2022 CBC.

Health and Safety Code Sections 17958, 17958.5 and 17958.7 require the City Council to make findings regarding local climatic, geological, and topographical conditions before adopting local amendments to the State-adopted California Building Standards Code. As discussed, staff is not proposing amendments to the State-adopted California Building Standards Code.

CONCLUSION
The Town has prepared findings that certain local amendments to the minimum building standards are necessary due to local climatic, topographic, or geologic conditions and these findings are included in the introduction of the draft ordinance.

ENVIRONMENTAL REVIEW
The proposed ordinance amendments are exempt from California Environmental Quality Act (CEQA) pursuant to "general exemptions" described in Section 15061(b)(3) of the CEQA Guidelines, since the ordinance amendments would not have any significant effects on the environment.
2022 CITY COUNCIL STRATEGIC PRIORITIES
This request was not part of the Council’s priorities for 2022. However, the proposed amendments resonate with City Council’s value/priority area, “Promote Public Safety”.

FISCAL IMPACT
Although there is no fiscal impact to the Town associated with this recommendation, the cost of construction generally increases with each update of the Building Code.

ATTACHMENTS

1. Draft Ordinance

2. Ordinance 585 and 588

Ordinance Page 1

ORDINANCE

AN ORDINANCE OF THE TOWN OF LOS ALTOS HILLS AMENDING
CHAPTERS 1 THROUGH 1.11 OF TITLE 8 OF THE LOS ALTOS HILLS

MUNICIPAL CODE WHICH ADOPTS AND AMENDS BY REFERENCE
PROVISIONS OF THE 2022 CALIFORNIA BUILDING STANDARDS CODE

AND LOCAL CODE AMENDMENTS
WHEREAS, the 2022 Edition of the California Building Standards Code has been amended and adopted by the California Building Standards Commission; and WHEREAS, the Town of Los Altos Hills (“Town”) wishes to adopt building code regulations in accordance with law and to use the most updated regulations in the processing of development in the Town; and
WHEREAS, Government Code § 50022.2 authorizes cities to enact ordinances adopting any code by reference; and
WHEREAS, because of the Town's unique climatic, topographic and geologic conditions, the Town desires to make amendments and additions to the 2022 Edition of the California Building Standards Code, as set forth herein; and
WHEREAS, pursuant to California Health and Safety Code sections 18941.5 and 17958, the City Council of the Town of Los Altos Hills hereby finds that the amendments adopted herein are reasonably necessary because of the following local climatic, topographic and geologic conditions:

1. The Town of Los Altos Hills experiences low humidity, high winds and warm temperatures during the summer months creating conditions which are particularly conducive to the ignition and spread of grass, brush and structure fires.

2. The remoteness and steepness of hillside areas in the Town significantly impacts the ability of emergency responders to extinguish or control wildland or structure fires.

These factors cumulatively mandate special provisions for Fire Department access, fire protection water supplies, automatic fire sprinklers and fire retardant roof coverings.

3. The Town of Los Altos Hills is geographically situated adjacent to active earthquake faults capable of producing substantial seismic events. Since the Town is divided by a freeway and other major traffic corridors, the occurrence of a major earthquake would significantly impact the ability of fire crews to respond to emergencies should one or more bridges collapse or be substantially damaged.

4. Fire suppression capabilities will be severely limited should the water system be extensively damaged during the seismic event.

5. Roofs that are not fire-retardant contribute to the spread of fires, and therefore pose a risk to the safety of the Town’s citizens and their property.

Attachment 1

Ordinance Page 2
WHEREAS, prior to the effective date of this ordinance, the City Clerk shall file a copy of the ordinance with the California Building Standards Commission; and WHEREAS, in accordance with Health and Safety Code section 17958.7, the City Council hereby finds that each of the above findings is applicable to each of the modifications to the 2022 Edition of the California Building Standards Code described in this ordinance; and WHEREAS, the City Council of the Town of Los Altos Hills finds that this project is exempt from the provisions of the California Environmental Quality Act (“CEQA”), pursuant to Section 15061(b)(3) of the CEQA Guidelines, because it can be seen with certainty that there is no possibility that the ordinance will have a significant effect on the environment.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby ORDAIN as follows:

1. Title VIII, Chapter 1, “California Administrative Code,” is hereby amended to read as follows:

Chapter 1 CALIFORNIA ADMINISTRATIVE CODE
8-1.01 Adoption of the 2022 California Administrative Code. a. The 2022 California Administrative Code, Part 1, a portion of the California Building Standards Code, Title 24 of the California Code of Regulations, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Administrative Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.
b. One copy of the Administrative Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby ORDAIN as follows:

1. Title VIII, Chapter 1.1, “California Building Code (Volumes 1 & 2)” is hereby amended to read as follows:

Chapter 1.1 CALIFORNIA BUILDING CODE (Volumes 1 & 2)
8-1.1.01 Adoption of 2022 California Building Code (Volumes 1 & 2). a) The 2022 California Building Code, Part 2, Volumes 1 and 2, a portion of the California Building Standards Code, Title 24 of the California Code of Regulations, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Building Code”), including all Appendices and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.

Ordinance Page 3
b) One copy of the Building Code shall be kept on file at the Town of Los Altos Hills. 8-1.1.02 Amended sections of adopted codes.

Notwithstanding the provisions of Section 8-1.1.01, the Building Code is amended as follows:

A. Section 1505.1.2 is amended to read as follows:
1505.1.3 Roof coverings within all other areas. The entire roof covering of every existing structure where more than 50 percent of the total roof area is replaced within any one-year period, the entire roof covering of every new structure, and any roof covering applied in the alteration, repair or replacement of the roof of every existing structure, shall be a fireretardant roof covering that is at least Class A.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby ORDAIN as follows:

1. Title VIII, Chapter 1.2, “California Residential Code,” is hereby amended to read as follows
Chapter 1.2 CALIFORNIA RESIDENTIAL CODE
8-1.2.01 Adoption of 2022 California Residential Code.
a) The 2022 California Residential Code, Part 2.5, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Residential Code”), including all Appendices and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein. b) One copy of the Residential Code shall be kept on file at the Town of Los Altos Hills. 8-1.2.02 Amended sections of adopted codes.

Notwithstanding the provisions of Section 8-1.2.01, the Residential Code is amended as follows:
a) Section R313.2 is amended to read:

R313.2 One- and two-family dwellings automatic fire sprinkler systems. An automatic residential fire sprinkler system shall be installed in one- and two-family dwellings as follows:

1. In all new one- and two-family dwellings.

Ordinance Page 4

2. In existing one- and two-family dwellings where during the process of a remodel and/or addition, the existing roof structure (joists, rafters, etc.) is removed over an area that exceeds 75% of the existing dwelling floor area. For any disagreement on the amount of roof structure being removed, a State of California licensed architect or structural engineer shall be utilized to calculate the percentage of the roof to be replaced.

3. In existing one- and two-family dwellings when additions are made that increase the building area by 50% or more.

4. In all attached Accessory Dwelling Units, additions or alterations to an existing oneand two-family dwelling that have an existing fire sprinkler system.

5. In all new basements and in existing basements that are expanded by more than 50%.

Exceptions: Detached Accessory Dwelling Units, provided that all of the following are met:
a) The unit meets the definition of an Accessory Dwelling Unit as defined in the Government Code Section 65852.2.
b) The existing primary residence does not have automatic fire sprinklers. c) The detached accessory dwelling unit does not exceed 1,200 square feet in size. d) The accessory dwelling unit is on the same lot as the primary residence. e) The accessory dwelling unit meets all access and water supply requirements of Chapter 5 and Appendix B and C of the 2019 California Fire Code. (b) Section R337 Materials and Construction Methods for Exterior Wildfire Exposure is hereby adopted in its entirety.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.3, “California Electrical Code,” is hereby amended to read as follows:

Chapter 1.3 CALIFORNIA ELECTRICAL CODE
8-1.3.01 Adoption of 2022 California Electrical Code.
a) The 2022 California Electrical Code, Part 3, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Electrical Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.

Ordinance Page 5
b) One copy of the Electrical Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.4, “California Mechanical Code,” is hereby amended to read as follows:

Chapter 1.4 CALIFORNIA MECHANICAL CODE
8-1.4.01 Adoption of 2022 California Mechanical Code.
(a) The 2022 California Mechanical Code, Part 4, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Mechanical Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.
(b) One copy of the Mechanical Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.5, “California Plumbing Code,” is hereby amended to read as follows:

Chapter 1.5 CALIFORNIA PLUMBING CODE
8-1.5.01 Adoption of 2022 California Plumbing Code.
a) The 2022 California Plumbing Code, Part 5, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Plumbing Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.
b) One copy of the Plumbing Code shall be kept on file at the Town of Los Altos Hills. 8-1.5.02 Amended sections of adopted code.

Notwithstanding the provisions of Section 8-1.5.01, the Plumbing Code is amended as follows:

A. Section 719.1 is amended to read:

Ordinance Page 6
719.1 Locations. Cleanouts shall be placed inside the building near the connection between the building drain and the building sewer or installed outside the building at the lower end of the building drain and extended to grade.

Additional building sewer cleanouts shall be installed at intervals not to exceed 100 feet in straight runs, for each aggregate horizontal change in direction exceeding 135 degrees, and at the property line where the private sewer system connects to the publically-maintained sanitary sewer lateral. All such cleanouts shall be extended to grade with materials and according to specifications approved by the sewer agency and shall terminate with a concrete box.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.6, “Energy Code,” is hereby amended to read as follows:

Chapter 1.6 CALIFORNIA ENERGY CODE
8-1.6.01 Adoption of 2022 California Energy Code.
a) The 2022 California Energy Code, Part 6, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Energy Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein.
b) One copy of the Energy Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.7, “California Historical Building Code,” is hereby amended to read as follows:

Chapter 1.7 CALIFORNIA HISTORICAL BUILDING CODE
8-1.7.01 Adoption of 2022 California Historical Building Code. (a) The 2022 California Historical Building Code, Part 8, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Historical Building Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein. (b) One copy of the Historic Building Code shall be kept on file at the Town of Los Altos Hills.

Ordinance Page 7
NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.9, “California Existing Building Code,” is hereby amended to read as follows:

Chapter 1.9 CALIFORNIA EXISTING BUILDING CODE
8-1.9.01 Adoption of 2022 California Existing Building Code. a) The 2022 California Existing Building Code, Part 10, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as the “Existing Building Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein. b) One copy of the Existing Building Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Title VIII, Chapter 1.11, “California Referenced Standards Code,” is hereby amended to read as follows:

Chapter 1.11 CALIFORNIA REFERENCED STANDARDS CODE
8-1.11.01 Adoption of 2022 California Referenced Standards Code. a) The 2022 California Referenced Standards Code, Part 12, Title 24 of the California Code of Regulations, a portion of the California Building Standards Code, as defined in the California State Health and Safety Code Section 18901 et seq., (hereinafter referred to as “Referenced Standards Code”), and any rules and regulations promulgated pursuant thereto are hereby adopted and incorporated by reference herein. b) One copy of the Referenced Standards Code shall be kept on file at the Town of Los Altos Hills.

NOW, THEREFORE, the City Council of the Town of Los Altos Hills does hereby further ORDAIN as follows:

1. Severability. If any provision of this ordinance or the application thereof to any person or circumstance is held invalid or unconstitutional, the remainder of this ordinance, including the application of such part or provision to other persons or circumstances shall not be affected thereby and shall continue in full force and effect. To this end, provisions of this ordinance are severable.

Ordinance Page 8
The City Council of the Town of Los Altos Hills hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause, or phrase hereof irrespective of the fact that any one or more sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases be held unconstitutional, invalid, or unenforceable.

2. Effective Date; Publication. This ordinance shall take effect thirty (30) days after adoption. Within fifteen days after the passage of this ordinance the City Clerk shall cause this ordinance or a summary thereof to be published once, with the names of those City Councilmembers voting for or against it in a newspaper of general circulation in the Town of Los Altos Hills, as required by law.

INTRODUCED:

PASSED:

AYES:

NOES:

ABSTENTIONS:

ABSENT:

BY: _________________________
George Tyson, Mayor
ATTEST:
_________________________
Deborah Padovan, City Clerk
APPROVED AS TO FORM:
_________________________
Steve Mattas, City Attorney

AGENDA ITEM #9

9. REPORTS FROM COUNCIL LIAISONS ON STANDING COMMITTEES, AD HOC

COMMITTEES, AND COUNCIL MEMBERS ON OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Report from the Council Ad Hoc Committee Focusing on Broadband (Councilmembers Mok and Tankha)
C. Report from the Greenwaste Ad Hoc Committee and Consideration to Sunset the Ad Hoc Committee (Mayor Tyson and Vice Mayor Swan)
D. Report from Ad Hoc on Our Town Newsletter Committee and Request to Form an Ad Hoc Our Town Editorial Board Committee (Councilmembers Mok and Schmidt) E. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities There are no reports for these items. They will be presented verbally.

AGENDA ITEM #9

9. REPORTS FROM COUNCIL LIAISONS ON STANDING COMMITTEES, AD HOC

COMMITTEES, AND COUNCIL MEMBERS ON OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Report from the Council Ad Hoc Committee Focusing on Broadband (Councilmembers Mok and Tankha)
C. Report from the Greenwaste Ad Hoc Committee and Consideration to Sunset the Ad Hoc Committee (Mayor Tyson and Vice Mayor Swan)
D. Report from Ad Hoc on Our Town Newsletter Committee and Request to Form an Ad Hoc Our Town Editorial Board Committee (Councilmembers Mok and Schmidt) E. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities There are no reports for these items. They will be presented verbally.

AGENDA ITEM #9

9. REPORTS FROM COUNCIL LIAISONS ON STANDING COMMITTEES, AD HOC

COMMITTEES, AND COUNCIL MEMBERS ON OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Report from the Council Ad Hoc Committee Focusing on Broadband (Councilmembers Mok and Tankha)
C. Report from the Greenwaste Ad Hoc Committee and Consideration to Sunset the Ad Hoc Committee (Mayor Tyson and Vice Mayor Swan)
D. Report from Ad Hoc on Our Town Newsletter Committee and Request to Form an Ad Hoc Our Town Editorial Board Committee (Councilmembers Mok and Schmidt) E. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities There are no reports for these items. They will be presented verbally.

AGENDA ITEM #9

9. REPORTS FROM COUNCIL LIAISONS ON STANDING COMMITTEES, AD HOC

COMMITTEES, AND COUNCIL MEMBERS ON OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Report from the Council Ad Hoc Committee Focusing on Broadband (Councilmembers Mok and Tankha)
C. Report from the Greenwaste Ad Hoc Committee and Consideration to Sunset the Ad Hoc Committee (Mayor Tyson and Vice Mayor Swan)
D. Report from Ad Hoc on Our Town Newsletter Committee and Request to Form an Ad Hoc Our Town Editorial Board Committee (Councilmembers Mok and Schmidt) E. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities There are no reports for these items. They will be presented verbally.

AGENDA ITEM #9

9. REPORTS FROM COUNCIL LIAISONS ON STANDING COMMITTEES, AD HOC

COMMITTEES, AND COUNCIL MEMBERS ON OUTSIDE AGENCIES
A. Report by the Undergrounding Subcommittee (Mayor Tyson) B. Report from the Council Ad Hoc Committee Focusing on Broadband (Councilmembers Mok and Tankha)
C. Report from the Greenwaste Ad Hoc Committee and Consideration to Sunset the Ad Hoc Committee (Mayor Tyson and Vice Mayor Swan)
D. Report from Ad Hoc on Our Town Newsletter Committee and Request to Form an Ad Hoc Our Town Editorial Board Committee (Councilmembers Mok and Schmidt) E. Status Reports from All Councilmembers on Subcommittee and Outside Agencies Activities There are no reports for these items. They will be presented verbally.

TOWN OF LOS ALTOS HILLS

MEMORANDUM
DATE: October 20, 2022
TO: Los Altos Hills City Council
FROM: Cody Einfalt, Management Analyst II
RE: Request by the Environmental Initiatives Committee for Staff to Submit an Application to Silicon Valley Clean Energy's Decarbonization Engagement Grant Opportunity
On October 14, 2022, the Environmental Initiatives Committee (EIC) held a special meeting to discuss a grant opportunity for the Town (See Attachment 1 – Draft Minutes from EIC Meeting). The Committee moved that the Town of Los Altos Hills apply for a $70,000 grant from Silicon Valley Clean Energy (SVCE) for a decarbonization community engagement project. The funds will be used to educate the public on a variety of electrification, renewable energy, EV, battery storage, microgrid and load shifting technologies already in use or soon to be implemented at the Town Hall facility on Fremont Road through the Battery Energy Storage System CIP.

The proposal for the funds is to design & build an educational kiosk and matching website explaining the benefits (and potential challenges) of these technologies, and decarbonizing buildings in general, and will be available to the entire SVCE community.

The EIC is requesting Council’s approval to direct Town staff to submit an application for this grant on behalf of the Town.

Attachments:

1. DRAFT Meeting minutes from October 14, 2022 EIC Meeting AGENDA ITEM #10.A
Posted 10/17/22

1. Call to Order (roll call)
Anand, Pat, Mike, Steve, Sasha, Vrinda
Plus Cody (management analyst for town)

2. Agenda Review
Done, no changes.

3. Public Comment
EIC Priorities: please submit ideas to Anand before our next meeting.

Please note the new Council agenda: EIC members should review, because several items are relevant.

4. SVCE Decarbonization Grants Subcommittee Report (Steve/Vrinda/Mike) Steve provided a background of the SVCE grant opportunity, and described the intent of the draft application that was created by the subcommittee (Steve, Vrinda, Mike).

Anand asked if these funds could be used for an electrification project at Town Hall, like a HPWH. Steve reported that SVCE had made it clear that this specific grant (the "engagement" grant) will not cover electrification capital projects. There is another grant that can be used for these, but it is open to a broader audience and the subcommittee decided not to apply for it.

The draft proposal is just a draft; we expect Staff may make changes before the November 4th application deadline.

Steve made a motion for Staff to Submit an Application to Silicon Valley Clean Energy's Decarbonization Engagement Grant Opportunity similar to the document produced by the subcommittee and presented at the meeting. Vrinda seconded. All voted in favor.

5. Adjournment at 4:47pm
Attachment 1