Los Banos City Council
February 5, 2025

LOsBanos
At the Crossroads of California
www.losbanos.org
AGENDA

CITY COUNCIL MEETING

CITY HALL COUNCIL CHAMBERS
520 J Street
Los Banos, California
FEBRUARY 5, 2025 - 6:00 PM
Live stream on YouTube at:
https://www.youtube.com/@losbanos406
If you require special assistance to attend or participate in this meeting, please call the City Clerk's Office @ (209) 827-7000 at least 48 hours prior to the meeting.

The City of Los Banos complies with the Americans with Disabilities Act (ADA) of 1990. * * * * * * * ** * * * * * * *
Si requiere asistencia especial para atender o participar en esta junta por favor /lame a la oficina de la Secretaria de la ciudad al (209) 827-7000 a lo menos de 48 horas previas de la junta.

La Cuidad de Los Banos cumple con la Acta de Americanos con Deshabilidad (ADA) de 1990.

Any writings or documents provided to a majority of the City Council regarding any item on this agenda will be made available for public inspection at the meeting and in the City Clerk's office located at City Hall, 520 J Street, Los Banos, California during normal business hours. In addition, such writings and documents may be posted on the City's website at www.losbanos.org.
* * * * * * * ** * * * * * * *
Cualquier escritura o los documentos proporcionaron a una mayorfa def Ayuntamiento respecto a cualquier artfculo en este orden def dia sera hecho disponible para la inspecci6n publica en la reunion yen la oficina de la Secretaria de la ciudad en City Hall, 520 J Street, Los Banos,
California durante horas de oficina normales. Ademas, tales escrituras y los documentos pueden ser anunciados en el website de la ciudad en www.losbanos.org.

Please note: The Brown Act provides the public with an opportunity to make public comment at any public meeting. As an alternative for in-person comments, written public comment may be made by e-mail to [email protected] or delivered to the City Clerk at City Hall, 520 J Street three (3) hours prior to the scheduled time of the meeting. Comments received will be duly noted at the meeting, distributed to the City Council via e-mail, and added to the agenda packet on the City's website for public review. Agenda packets can be found OIJ. t_h_e_ Qi_ty's w~bsit~ at th~ _foll9wing 'link: _ https://losbanos. org/category/city-cou ncil/
Los Banos City Council Agenda - February 5, 2025 Page 1 of4 1 1. CALL TO ORDER - February 5, 2025 6:00 PM

2. PLEDGE OF ALLEGIANCE.

3. ROLL CALL: (City Council Members)
__ [vacant] - District 1
Marcus Chavez - District 3
__ Michael Amabile - Mayor
Evan Sanders - District 2
Deborah Lewis - District 4

4. CONSIDERATION OF APPROVAL OF AGENDA.

Recommendation: Adopt the agenda as submitted.

5. PRESENTATION.

A. City Council Resolution No. 6871 - A Resolution of Commendation to Kenneth Lambert.

Recommendation: Adopt the resolution as submitted.

B. Certificate of Recognition - Carlos Campos, Pacheco High School.

C. Certificate of Recognition - Employee of the Month for January 2025 - Jeremy Sterling, Code Enforcement Officer / Police Department.

6. PUBLIC FORUM. (Members of the public may address the City Council Members on any item of public interest that is within the jurisdiction of the City Council; includes agenda and non-agenda items. No action will be taken on non-agenda items. Speakers are limited to a five (5) minute presentation. Detailed guidelines are posted on the Council Chamber informational table.)

7. CONSIDERATION OF APPROVAL OF CONSENT AGENDA. (Items on the Consent Agenda are considered to be routine and will be voted on in one motion unless removed from the Consent Agenda by a City Council Member.) A. Check Register for #249433 - #249726 in the Amount of $3,273,104.04.

Recommendation: Approve the check register as submitted.

B. Second Quarter Investment Report for 2024/2025.

Recommendation: Accept the report as submitted.

C. Minutes for the January 2, 2025 City Council Meeting.

Recommendation: Approve the minutes as submitted.

Los Banos City Council Agenda - February 5, 2025 Page 2 of 4 pgs. 1-4
pgs. 5-6
pgs. 7-8
pgs. 9-10
pgs. 11-16
pgs. 17-22
pgs. 23-26
2 D. Minutes for the January 8, 2025 Special City Council Meeting.

Recommendation: Approve the minutes as submitted.

E. City Council Resolution No 6872 - Authorizing the Acting City Manager to Execute a Purchase Agreement with Motorola Solutions for Motorola APX 8000 Radios in the Amount of $312,765.05.

Recommendation: Adopt the resolution as submitted.

F. City Council Resolution No 6873 - Accepting the 2025 Street Rehabilitation Project as Complete and Authorizing the Filing of a Notice of Completion with the Merced County Recorder.

Recommendation: Adopt the resolution as submitted.

8. PENINSULA CLEAN ENERGY PRESENTATION.

Recommendation: Informational item only, no action to be taken.

9. APPROVAL OF RESPONSE LETTERS FROM THE LOS BANOS CITY COUNCIL

AND THE ACTING CITY MANAGER REGARDING MERCED COUNTY CIVIL GRAND JURY FINAL REPORT 2023-2024 REGARDING THE AMERICAN RESCUE PLAN ACT (ARPA).

Recommendation: Receive staff report and approve the letters as submitted.

10. CONSIDERATION OF ORDINANCE NO. 1206 - AMENDING SECTION 2-3.126 OF ARTICLE 1 CHAPTER 3 TO TITLE 2 OF THE LOS BANOS MUNICIPAL CODE RELATING TO CITY MANAGER. (First Reading & Introduction) Recommendation: Receive staff report, waive the first reading, and introduce the ordinance as submitted.
11 . CONSIDERATION OF OPTIONS TO FILL THE CITY OF LOS BANOS COUNCIL MEMBER VACANCY IN DISTRICT 1.

Recommendation: Receive staff report and direction on how to proceed.

12. ADVISEMENT OF PUBLIC NOTICES. (No Reports)
Recommendation: Informational item only, no action to be taken.

13. CITY MANAGER REPORT.

A. Report Pursuant to Government Code Section 54953(c)(3) Executive Compensation: Parks & Recreation Director, Police Chief, and Community & Economic Development Director.

Recommendation: Informational item only, no action to be taken.

Los Banos City Council Agenda - February 5, 2025 Page 3of4 pgs. 27-28
pgs. 29-40
pgs. 41-46
pgs. 47-48
pgs. 49-86
pgs. 87-90
pgs. 91-93
3 14. REPORT/UPDATE ON MERCED COUNTY ASSOCIATION OF GOVERNMENTS (MCAG), PENINSULA CLEAN ENERGY (PCE), MEASURE V COMMITTEE, AND

SAN JOAQUIN VALLEY AIR POLLUTION CONTROL DISTRICT (SJVAPCD),

AND LOS BANOS DOWNTOWN PROPERTY & BUSINESS IMPROVEMENT
DISTRICT (LBDPBID).

Recommendation: Informational item only, no action to be taken.

15. CITY COUNCIL MEMBER REPORTS.

A. [vacant] - District 1
B. Evan Sanders - District 2
C. Marcus Chavez - District 3
D. Deborah Lewis - District 4
E. Michael Amabile - Mayor

16. CLOSED SESSION.

A. Conference with Labor Negotiators, Pursuant to Government Code Section 54957.6, Agency Designated Representatives: Acting City Manager Tualla, City Attorney Vaughn, Human Resources Director Mallonee, Legal Counsel Tuffo, Financial Consultant Kuhn; Employee Organizations: Los Banos Police Officers Association (LBPOA), Los Banos Police Sergeants Association (LBPSA), Los Banos Fire Fighters Association (LBFFA), Los Banos Police Dispatchers/Community Services Officers Association (LBPDCSOA), Los Banos Public Employees Union (Public Works) Local 1/AFSCME, Los Banos Police Middle Managers Association (LBPMMA) and Unrepresented Miscellaneous Employees.

B. Public Employment; Title: Interim City Manager/City Manager, Pursuant to Government Code Section 54957(b).

17. ADJOURNMENT.

I hereby certify under penalty of perjury under the laws of the State of California that the foregoing agenda was posted on the City Hall bulletin board not less than 72 hours prior to the meeting. i.~ f_ . )(a.,.~ • q__.

Lucille L. Mallonee City Clerk Dated this 31st day of January 2025 Los Banos City Council Agenda - February 5, 2025 Page 4 of 4 4 LOsBanos
At the Crossroads of California
RESOLUTION NO.

A RESOLUTION OF COMMENDATION TO

KENNETH LAMBERT
WHEREAS, KENNETH LAMBERT was elected as Council Member for District 1 of Los Banos on December 16, 2020; and
WHEREAS, KENNETH LAMBERT has faithfully served the City of Los Banos and its City Council for four years as Council Member for District 1; and WHEREAS, by his devotion to his duties KENNETH LAMBERT has greatly contributed to the governmental process of the City of Los Banos.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Los Banos that it hereby expresses its sincere gratitude and appreciation to KENNETH LAMBERT for his service to the City of Los Banos in his capacity of Council Member for District 1.

BE IT FURTHER RESOLVED that an embossed copy of this resolution be presented to KENNETH LAMBERT.

The foregoing Resolution was adopted at a regular meeting of the City Council of the City of Los Banos held on the 5th day of February 2025 by the following affirmative vote:

APPROVED:

Michael S. Amabile, Mayor
Evan Sanders
Council Member - District 2
Marcus Chavez
Council Member - District 3
Deborah Lewis
Council Member - District 4
ATTEST:

Lucille L. Mallonee, City Clerk
Paul Tualla, Acting City Manager
ITEM 5A
5 THIS PAGE IS INTENTIONALLY LEFT BLANK
6 CERTIFICATE OF RECOGNITION
Presented <To
Carlos Campos
Pacheco High School
In recognition of your fiard worland dedication in organizing tfie 5th Jlnnua( 4x._4x._48 Cfia(fenge to raise funds for tfie <Pacfieco Jltfi{etic <E.x_re([ence Scfiofarsfiip :Jvf icnae{ S. }Ima6ife, :Jvfayor
<Datec[; Pe6ruary 5, 2025
LOsBanos
.. At the Crossroads of California
ITEM 5B
7 THIS PAGE IS INTENTIONALLY LEFT BLANK
8 CERTIFICATE OF RECOGNITIOl\T
<Presented <To
Jeremy Sterling
Code Enforcement Officer - Police Department
In recognition of your outstanaing peiformance
and deaicated service to tlie City of Los (J3anos and
for 6eing named "P,mpfoyee of tlie <Jvlontfi"for January 2025.

Jvf.ichae{ S. jlma6ife, :Mayor
(J)ated: <Fe6ruary 5, 2025
LOsBanos
At the Crossmads of California
ITEM 1A
9 THIS PAGE IS INTENTIONALLY LEFT BLANK
10 CK# 249433 - # 249726 02/05/2025 $3,273,104.04
Check Report Los Banos
Check By Date .\1 tllf' c,ms,oads of C:ali/ornra
Check Number Payment Date Vendor Module Payment Type Payment Amount 249433 01/10/2025 Ronny's Inc. Accounts Payable Check 64353.44 249435 01/10/2025 Sara Blevins Accounts Payable Check 922.50 249436 01/10/2025 Central Valley Cardiovascular Group Inc. Accounts Payable Check 200.00 249437 01/10/2025 CSJVRMA Accounts Payable Check 548380.00 249438 01/10/2025 Employment Development Dept Accounts Payable Check 26S4.48 249439 01/10/2025 Fernando Garcia Accounts Payable Check 675.94 249440 01/10/2025 Amanda Hale Accounts Payable Check 141.00 249441 01/10/2025 Brent Kuhn Accounts Payable Check 20625.00 249442 01/10/2025 Merced County Auditor Controller Accounts Payable Check 500.00 249443 01/10/2025 PG&E Company Accounts Payable Check 149075.36 249444 01/10/2025 Ronny's Inc. Accounts Payable Check 62506.05 249447 01/10/2025 Samantha Alison Tova Accounts Payable Check 635.00 249448 01/10/2025 Windecker Inc Accounts Payable Check 26175.78 249449 01/10/2025 Youth Evolution Activites Accounts Payable Check 760.50 249450, 01/10/2025 AAA Business Supplies Accounts Payable Check 470.31 249451 01/10/2025 American Society of Composers,Authors & Publishers Accounts Payable Check 445.00 249452 01/10/2025 Anthony Gomes Accounts Payable Check 4369.40 249453 01/10/2025 Dorothy June Baker Accounts Payable Check 147.60 249454 01/10/2025 Bound Tree medical LLC Accounts Payable Check 1048.00 249455 01/10/2025 Broadcast Music, Inc Accounts Payable Check 11.00 24945§ 01/10/2025 BSK Associates Accounts Payable Check 1962.75 249457 01/10/2025 California Gang Task Force Accounts Payable Check 150.00 249458 01/10/2025 Callander Associates Landscape Architecture, Inc. Accounts Payable Check 2119.19 249459 01/10/2025 Capital One Accounts Payable Check 1575.26 249460 01/10/2025 Central Sanitary Supply, LLC Accounts Payable Check 429.03 249461 01/10/2025 Coffee Break Service Inc. Accounts Payable Check 224.95 249462 01/10/2025 Comcast Accounts Payable Check 254.76 249463 01/10/2025 D & D Pest Control Accounts Payable Check 163.00 249464 01/10/2025 Dos Palos Publishing Company Accounts Payable Check 120.00 249465 01/10/2025 Elk Grove Auto Group, Inc. Accounts Payable Check 309913.25 249466 01/10/2025 F S Rod Inc Accounts Payable Check 1890.00 249467 01/10/2025 Halcyon Creek Inc. Accounts Payable Check 86.83 249468 01/10/2025 Hilmar Lumber Inc. Accounts Payable Check 1018.13 249469 01/10/2025 Imperial Bag & Paper Co LLC Accounts Payable Check 1022.48 249470 01/10/2025 Mark Thomas & Company. Inc. Accounts Payable Check 25430.48 249471 01/10/2025 Marfab Inc Accounts Payable Check 428.65 249472 01/10/2025 Merced County Regional Waste Management Authority Accounts Payable Check 3385.08 249473 01/10/2025 Merced County Weights & Measures Accounts Payable Check 176.40 249474 01/10/2025 Merced Truck & Trailer Inc Accounts Payable Check 644.37 249475 01/10/2025 Municipal Maintenance Equipment, Inc. Accounts Payable Check 1041.98 249476 01/10/2025 Daniel Martinez Accounts Payable Check 625.00 249477 01/10/2025 Arvindselvan Mohanaselvan Accounts Payable Check 600.00 249478 01/10/2025 NDN International LLC Accounts Payable Check 242.46 249479 01/10/2025 O'Dell Engineering Accounts Payable Check 7038.75 249480 01/10/2025 O'Reilly Auto Parts Accounts Payable Check 1288.21 249483 01/10/2025 Phoenix Group Information Systems Accounts Payable Check 1914.99 249484 01/10/2025 Pitney Bowes Inc Accounts Payable Check 144.41 249485 01/10/2025 Precision Civil Engineering, Inc Accounts Payable Check 3520.00 249486 01/10/2025 Provost and Pritchard Engineering, Inc. Accounts Payable Check 6418.00 249487 01/10/2025 Purchase Power Inc Accounts Payable Check 3044.99 ITEM 7A
11 249488 01/10/2025 Riggs Ambulance Service Accounts Payable Check 7.00 249489 01/10/2025 Ronny's Inc. Accounts Payable Check 3314.17 249491 01/10/2025 Sample Traps LLC Accounts Payable Check 675.00 249492 01/10/2025 Save Mart Supermarkets Accounts Payable Check 16.16 249493 01/10/2025 SIJ Holdings, Inc Accounts Payable Check 102.67 249494 01/10/2025 Sorensens True Value Accounts Payable Check 502.33 249495 01/10/2025 Terryberry Company LLC Accounts Payable Check 127.46 249496 01/10/2025 TeamCalifornia Economic Development Corp. Accounts Payable Check 1300.00 249497 01/10/2025 Thirkettle Corporation Accounts Payable Check 7775.57 249498 01/10/2025 Traffic Logix Corp. Accounts Payable Check 14592.37 249499 01/10/2025 Cal Mat Co. Accounts Payable Check 24413.44 249500 01/10/2025 Tyler Technologies, Inc. Accounts Payable Check 8030.00 249501 01/10/2025 Vestis Group, Inc. Accounts Payable Check 86.71 249502 01/10/2025 Vestis Accounts Payable Check 881.71
249503 01/10/2025 Verizon Wireless Accounts Payable Check 79.96 249504 01/10/2025 Williams Scotsman, Inc. Accounts Payable Check 1854.46 249505 01/10/2025 Windecker Inc Accounts Payable Check 3811.87 249506 01/10/2025 Young's Air Conditioning Accounts Payable Check 126.00 249507 01/10/2025 ZW USA Inc. Accounts Payable Check 1931.11 249508 01/10/2025 Charlene J King Utility Billing Check 108.99 249509 01/10/2025 Wesley A. Wong Utility Billing Check 118.75 249510 01/10/2025 Raul Romero Ceja Utility Billing Check 52.39 249511 01/10/2025 Lorenzo Salas Utility Billing Check 52.39 249512 01/10/2025 Dina Maria Donahue Utility Billing Check 52.39 2495:Ll 01/10/2025 Annissa Martinez Utility Billing Check 52.39 249514 01/10/2025 Martha Meza Utility Billing Check 38.97 J,49515 01/10/2025 D.R. Horton Utility Billing Check 159.17 249520 01/17/2025 Aflac-Customer Service Accounts Payable Check 186.93 J19521 01/17/2025 AFSCME District Council 57 Accounts Payable Check 1409.14 249522 01/17/2025 Empower Annuity Ins. Co of America Accounts Payable Check 1143.01 249523 01/17/2025 Empower Annuity Ins. Co of America Accounts Payable Check 2917.00 249524 01/17/2025 Franchise Tax Board Accounts Payable Check 306.28 249525 01/17/2025 Los Banos Fitness & Racquet Club Accounts Payable Check 175.00 J19526 01/17/2025 Los Banos Police Assn Accounts Payable Check 980.00 249527 01/17/2025 Los Banos Police Assn. Accounts Payable Check 280.00 249528 01/17/2025 Merced County Sheriff Accounts Payable Check 11.29 249529 01/17/2025 MissionSquare Accounts Payable Check 550.00 249530 01/17/2025 MissionSquare Accounts Payable Check 9262.50 249531 01/17/2025 Nationwide Retirement Solutions Accounts Payable Check 4790.82 249532 01/17/2025 Professional Fire Fighter of Los Banos Local 4703 Accounts Payable Check 735.15 2495:§ 01/17/2025 State Disbursement Unit Accounts Payable Check 1298.50 249534 01/17/2025 U S Department of the Treasury Accounts Payable Check 221.10 ;M9535 01/17/2025 Agile Occupational Medicine PC Accounts Payable Check 265.00 ~9536 01/17/2025 Apex Annex Health Center, Inc. Accounts Payable Check 681.00 ;249537 01/17/2025 Central Valley Cardiovascular Group Inc. Accounts Payable Check 230.00 24953Jl 01/17/2025 Brandon Dorenbush Accounts Payable Check 18.47 249539 01/17/2025 Krazan & Associates Accounts Payable Check 7800.00 249540 01/17/2025 Lucille L Mallonee Accounts Payable Check 584.73 249541 01/17/2025 Merced County Tax Collector Accounts Payable Check 160.06 249542 01/17/2025 Juan Ramirez Accounts Payable Check 100.00 249543 01/17/2025 Ronny's Inc. Accounts Payable Check 306142.25 249544 01/17/2025 Alhambra Accounts Payable Check 35.95 249545 01/17/2025 Amerigas Propane, LP Accounts Payable Check 727.96 249546 01/17/2025 Anthony Gomes Accounts Payable Check 1365.78 249547 01/17/2025 Ascent Aviation Group, Inc. Accounts Payable Check 25213.80 249548 01/17/2025 AT&T Mobility Accounts Payable Check 783.03 249549 01/17/2025 AT&T Accounts Payable Check 3167.22
249550 01/17/2025 Backflow Apparatus & Valve Co. Accounts Payable Check 171.99 12 249551 01/17/2025 BJ's Consumers Choice Pest Control Inc. Accounts Payable Check 460.00 249552 01/17/2025 Blueglobes LLC Accounts Payable Check 401.95 249553 01/17/2025 Brinks Inc. Accounts Payable Check 963.50 249554 01/17/2025 Stericycle Inc Accounts Payable Check 229.47 249555 01/17/2025 BSK Associates Accounts Payable Check 1081.36 249556 01/17/2025 Cen-Cal Air Accounts Payable Check 423.91 249557 01/17/2025 CENCAL Machine & Fabrication Inc. Accounts Payable Check 397.77 249558 01/17/2025 Cintas Corporation No.2 Accounts Payable Check 547.38 249559 01/17/2025 Central Sanitary Supply, LLC Accounts Payable Check 357.87 249560 01/17/2025 Clark Pest Control Inc Accounts Payable Check 114.00 249561 01/17/2025 Coffee Break Service Inc. Accounts Payable Check 481.01 249562 01/17/2025 Comcast Accounts Payable Check 422.58 249563 01/17/2025 Cook's Communications Corp. Accounts Payable Check 7705.86 249564 01/17/2025 Copy Shipping Solutions Accounts Payable Check 291.12 249565 01/17/2025 CSG Consultants Inc. Accounts Payable Check 1612.50 249566 01/17/2025 David Cummins Accounts Payable Check 50.00 249567 01/17/2025 City of Los Banos Utility Accounts Payable Check 7350.79 249568 01/17/2025 Double D Towing, LLC Accounts Payable Check 551.25 249569 01/17/2025 Electric Drives Inc Accounts Payable Check 5075.38 249570 01/17/2025 Federal Express Corporation Accounts Payable Check 33.17 249571 01/17/2025 Gallagher Benefit Services, Inc. Accounts Payable Check 12500.00 249572 01/17/2025 Galvin Preservation Associates, Inc. Accounts Payable Check 12837.14 24957J 01/17/2025 Gladwell Governmental Services, Inc. Accounts Payable Check 700.00 249574 01/17/2025 GoTo Communications, Inc. Accounts Payable Check 3868.04 249572 01/17/2025 Halcyon Creek Inc. Accounts Payable Check 292.20 249576 01/17/2025 IIMC Accounts Payable Check 275.00
249577 01/17/2025 lnfoSend Inc. Accounts Payable Check 8856.94 249578 01/17/2025 Patricia lnsunsa Accounts Payable Check 425.00 249579 01/17/2025 J.J.R. Enterprises Inc. Accounts Payable Check 2122.88 24958Q 01/17/2025 Kalmikov Enterprises, Inc Accounts Payable Check 675.07 249581 01/17/2025 Kully Supply, Inc. Accounts Payable Check 198.50 249582 01/17/2025 Language Line Services Accounts Payable Check 2.82 249583 01/17/2025 Los Banos Veterinary Services Accounts Payable Check 8364.04 249584 01/17/2025 Mark Thomas & Company. Inc. Accounts Payable Check 52038.20 249585 01/17/2025 Marfab Inc Accounts Payable Check 236.38

2.49586 01/17/2025 McCrometer Inc. Accounts Payable Check 442.00 249587 01/17/2025 Merced Truck & Trailer Inc Accounts Payable Check 316.83 249588 01/17/2025 Madera Uniform & Accessories Accounts Payable Check 213.10 249589 01/17/2025 O'Reilly Auto Parts Accounts Payable Check 561.94 249590 01/17/2025 Pace Supply Corp. Accounts Payable Check 721.41 24959! 01/17/2025 Plan It Geo LLC Accounts Payable Check 4600.00 249592 01/17/2025 Provost and Pritchard Engineering, Inc. Accounts Payable Check 58997.29 249593 01/17/2025 Quad Knopf, Inc. Accounts Payable Check 4142.30 249594 01/17/2025 Rolfe Construction Inc. Accounts Payable Check 138296.44 249595 01/17/2025 SJVAPCD Accounts Payable Check 1288.00 249596 01/17/2025 Safe T Lite of Modesto, Inc. Accounts Payable Check 11632.01 24959;'. 01/17/2025 Yuri Sagastume Accounts Payable Check 750.00 i49~Jl 01/17/2025 Save Mart Supermarkets Accounts Payable Check 218.40 249599 01/17/2025 Sherwin Williams Co Accounts Payable Check 2959.30 249600 01/17/2025 Frank Silveria Accounts Payable Check 660.00 249601 01/17/2025 SNG & Associates, Inc. Accounts Payable Check 13495.00 249602 01/17/2025 Sorensens True Value Accounts Payable Check 1898.62 249605 01/17/2025 SRPSTC Accounts Payable Check 292.00
249606 01/17/2025 Stommel, Inc. Accounts Payable Check 2382.80 249607 01/17/2025 Strategic Mechanical Inc. Accounts Payable Check 2178.80 249608 01/17/2025 Strobes N More Accounts Payable Check 1989.52 249609 01/17/2025 SWRCB Accounting Office Accounts Payable Check 120400.84 2496-1.Q 01/17/2025 T-Mobile USA Inc. Accounts Payable Check 115.00 13 249611 01/17/2025 Telstar Instruments Accounts Payable Check 3644.72 249612 01/17/2025 Technicon Engineering Services, Inc. Accounts Payable Check 768.50 24961~ 01/17/2025 Terryberry Company LLC Accounts Payable Check 219.66 249614 01/17/2025 Tractor Supply Credit Plan Accounts Payable Check 554.48 249615 01/17/2025 CalMat Co. Accounts Payable Check 702.09 249616 01/17/2025 Tyler Technologies, Inc. Accounts Payable Check 26822.50 249617 01/17/2025 Uline, Inc. Accounts Payable Check 255.61 249618 01/17/2025 Vanir Construction Management, Inc. Accounts Payable Check 5290.00 249619 01/17/2025 Vestis Group, Inc. Accounts Payable Check 1536.47 249621 01/17/2025 Vestis Accounts Payable Check 1181.01 249622 01/17/2025 Verizon Wireless Accounts Payable Check 409.08 249623 01/17/2025 Westside Veterinary Service, Inc. Accounts Payable Check 352.37 249624 01/17/2025 Westside Water Conditioning Accounts Payable Check 332.45 249625 01/17/2025 Williams Scotsman, Inc. Accounts Payable Check 2831.94 249626 01/17/2025 Windecker Inc Accounts Payable Check 8734.27 249627 01/17/2025 Young's Air Conditioning Accounts Payable Check 2968.12 249628 01/17/2025 Zoom Recreation, Inc. Accounts Payable Check 43477.95 249629 01/17/2025 Westhill Property Mgmt Utility Billing Check 173.17 249630 01/17/2025 Ming Jean Fan Utility Billing Check 147.16 249631 01/17/2025 Erik Valdez Utility Billing Check 82.59 249632 01/17/2025 Edgar Guerrero Utility Billing Check 82.59 24963~ 01/17/2025 Ivan Garduno Utility Billing Check 89.29 I4.~G34 01/17/2025 David R Valencia Utility Billing Check 28.90 249635 01/17/2025 Jasmine Saavedra Utility Billing Check 11.59 249636 01/17/2025 Home Sweet Home Property Management Co. Utility Billing Check 129.54 249637 01/17/2025 UC Construction Utility Billing Check 153.77 249639 01/21/2025 David Martinez Accounts Payable Check 625.00 249640 01/24/2025 Apex Annex Health Center, Inc. Accounts Payable Check 41.00 249641 01/24/2025 Sara Blevins Accounts Payable Check 77.00 24964i 01/24/2025 Reymundo Castillo Jr. Accounts Payable Check 98.00 249643 01/24/2025 Central Valley Cardiovascular Group Inc. Accounts Payable Check 200.00 249644 01/24/2025 Marcus Chavez Accounts Payable Check 124.00 249645 01/24/2025 City of Gustine Accounts Payable Check 160.00 249646 01/24/2025 Cornflower Farms Accounts Payable Check 527.44 249647 01/24/2025 Eddie Drum Accounts Payable Check 184.00 f.19648 01/24/2025 Gouveia Engineering Inc. Accounts Payable Check 2077.43 249649 01/24/2025 Ivan Mendez Accounts Payable Check 98.00 249650 01/24/2025 Mission Merced Incorporated Accounts Payable Check 10412.90 249651 01/24/2025 Juan Ramirez Accounts Payable Check 450.00 24962l 01/24/2025 Yuri Sagastume Accounts Payable Check 3000.00 249653 01/24/2025 Sally Swanson Architects, Inc. Accounts Payable Check 20000.00 249654 01/24/2025 Evan Sanders Accounts Payable Check 124.00 24965~ 01/24/2025 US Bank Corp Pymt System Accounts Payable Check 51176.84 249656 01/24/2025 Law Offices of William A Vaughn Accounts Payable Check 40898.60 249658 01/24/2025 Westamerica Bank- Cafeteria Plan Accounts Payable Check 102979.09 249659 01/24/2025 AT&T Accounts Payable Check 300.45
249660 01/24/2025 Dorothy June Baker Accounts Payable Check 27.41 249661 01/24/2025 Beam Insurance Administrators LLC Accounts Payable Check 22450.11 249662 01/24/2025 Bryce Consulting Inc. Accounts Payable Check 950.00 249663 01/24/2025 BSK Associates Accounts Payable Check 19541.43 249664 01/24/2025 Cal Traffic Accounts Payable Check 691.43 249665 01/24/2025 CENCAL Machine & Fabrication Inc. Accounts Payable Check 116.74 249666 01/24/2025 Clark Pest Control Inc Accounts Payable Check 307.00 249667 01/24/2025 Copy Shipping Solutions Accounts Payable Check 761.25 249668 01/24/2025 CSG Consultants Inc. Accounts Payable Check 35746.18 249669 01/24/2025 Casey Curtin Accounts Payable Check 89399.75 249670 01/24/2025 Adolfo Canela Accounts Payable Check 350.00 249671 01/24/2025 Fast Track Car Wash Accounts Payable Check 465.50 14 249672 01/24/2025 Granite Construction Inc Accounts Payable Check 2707.88 249673 01/24/2025 Grainger Parts Operations Accounts Payable Check 35.24 249674 01/24/2025 Halcyon Creek Inc. Accounts Payable Check 1013.36 249675 01/24/2025 Helena Chemical Co Inc Accounts Payable Check 1364.81 249676 01/24/2025 Hilmar Lumber Inc. Accounts Payable Check 113.08 249677 01/24/2025 Hillyard, Inc Accounts Payable Check 650.54 249678 01/24/2025 Home Depot Accounts Payable Check 3254.76 249680 01/24/2025 ICC Codification, Inc. Accounts Payable Check 1245.00 249681 01/24/2025 Jerry Witt Accounts Payable Check 2389.00 249682 01/24/2025 Killingsworth Gear Accounts Payable Check 321.00 249683 01/24/2025 League of California Cities Accounts Payable Check 18477.47 249684 01/24/2025 Marfab Inc Accounts Payable Check 97.22 249685 01/24/2025 Matson Alarm Co Inc Accounts Payable Check 215.00 249686 01/24/2025 Madera Uniform & Accessories Accounts Payable Check 426.19 249687 01/24/2025 Mid-Valley Disposal LLC Accounts Payable Check 301449.27 249688 01/24/2025 Alheli Oliveras Accounts Payable Check 2387.50 249689 01/24/2025 O'Reilly Auto Parts Accounts Payable Check 217.69 249690 01/24/2025 PG&E Company Accounts Payable Check 34.89 249691 01/24/2025 Pace Supply Corp. Accounts Payable Check 512.23 249692 01/24/2025 Pacific Landscape Supply, Inc. Accounts Payable Check 7506.00 249693 01/24/2025 PlaceWorks, Inc. Accounts Payable Check 5780.85 249694 01/24/2025 Provost and Pritchard Engineering, Inc. Accounts Payable Check 26229.50 249695 01/24/2025 Protech Security & Electronics, Inc. Accounts Payable Check 234.00 249696 01/24/2025 Kate Quintero Accounts Payable Check 350.00 ;/4969.l 01/24/2025 Razzari Ford Accounts Payable Check 14.72 ;/49698 01/24/2025 Reliance Standard Life Insurance Company Accounts Payable Check 6640.36 249700 01/24/2025 Riggs Ambulance Service Accounts Payable Check 740.00 249701 01/24/2025 Rincon Consultants, Inc. Accounts Payable Check 3405.50 249702 01/24/2025 RMGY Inc. Accounts Payable Check 163.93 749703 01/24/2025 Ronny's Inc. Accounts Payable Check 12693.25 249704 01/24/2025 Della Ramos Accounts Payable Check 600.00 249705 01/24/2025 Save Mart Supermarkets Accounts Payable Check 82.45 249706 01/24/2025 Kenneth D Schmidt Accounts Payable Check 998.26 249707 01/24/2025 Sherwin Williams Co Accounts Payable Check 761.69 249708 01/24/2025 Robert & Susan Hansen Accounts Payable Check 1419.19 249709 01/24/2025 Sorensens True Value Accounts Payable Check 1014.27 249711 01/24/2025 Stantec Consulting Services, Inc. Accounts Payable Check 110971.95 249712 01/24/2025 Superior Pool Products, LLC Accounts Payable Check 5457.37 249713 01/24/2025 Telstar Instruments Accounts Payable Check 1346.00 249714 01/24/2025 Tango Tango, Inc. Accounts Payable Check 747.50 249715 01/24/2025 Technicon Engineering Services, Inc. Accounts Payable Check 8938.00 249716 01/24/2025 Terryberry Company LLC Accounts Payable Check 254.79 249717 01/24/2025 Uline, Inc. Accounts Payable Check 364.55 249718 01/24/2025 Stephanie Pereira Accounts Payable Check 18.03 249719 01/24/2025 Vanir Construction Management, Inc. Accounts Payable Check 5241.89 249720 01/24/2025 Vestis Group, Inc. Accounts Payable Check 50.31 249721 01/24/2025 Vestis Accounts Payable Check 372.01
249722 01/24/2025 Verizon Wireless Accounts Payable Check 1953.66 249723 01/24/2025 Williams Scotsman, Inc. Accounts Payable Check 3266.94 249724 01/24/2025 Windecker Inc Accounts Payable Check 3159.18 249725 01/24/2025 Young's Air Conditioning Accounts Payable Check 793.56 249726 01/28/2025 Brent Kuhn Accounts Payable Check 15840.00 Break in check sequence due to the following: Payment Type Check #249434 (Manual Void) Regular Checks 276 3,273,104.04 Check #249445 - #249446 (Manual Void) Manual Voids 0 0.00 Check #249481- #249482 (Manual Void) Voided Checks 0 0.00 Check #249490 (Manual Void) 3,273,104.04
15 Check #249516 - #249519 (Payroll)
Check #249603 - #249604 (Manual Void)
Check #249620 (Manual Void)
Check #249638 (Payroll)
Check #249657 (Manual Void)
Check #249679 (Manual Void)
Check #249699 (Manual Void)
Check #249710 (Manual Void)
16 LOsBanos
\t tlu· Cros!)rocuh oJ C alifon1w
Agenda Staff Report
TO:

FROM:

DATE:

Mayor Amabile and City Council Members
Brent Kuhn, Financial Consultant
February 5, 2025
TYPE OF REPORT: Consent Agenda
SUBJECT: 2nd Quarter Investment Report for 2024/2025
Recommendation:

To accept the quarterly investment report as submitted.

Background:

The City of Los Banos follows its investment policy to assure that it invests all surplus inactive monies in a manner which ensures a maximum return consistent with safety on such investments while maintaining the integrity of such surplus and inactive funds. A quarterly investment report provides proof that City funds are invested in such a manner. It includes all investments except funds held by the City's trustees. Funds held by trustees include bond reserve funds, deferred compensation plans, and other post retirement benefit funds.

Fiscal Impact:

Informational only, no fiscal impact.

Paul Tualla, Acting City Manager
Attachments:

December 31, 2024 Investment Report
LAIF Statement December 31, 2024-Attachment A
Wells Fargo Securities Statement December 31, 2024 -Attachment B ITEM 7B
17 LOsBanos
At the Crossroads of California
In accordance with Government Code Section 53646 and the City of Los Banos Investment Policy, the following shall constitute the quarterly report of investments on behalf of the City of Los Banos:

Investment Balances
As of December 31, 2024
Amount Annual
Type of Investment Issuer Maturity Invested Percentage
Yield
LAlF (Local Agency State of Daily $54,578,781 4.434%
Investment Fund) California effective yield
Money Market Funds Wells Fargo Daily $113,748,019 4.480% Securities simple yield
Investment Balance: $168,326,800

1. As of the date of this report, the majority of the City of Los Banos funds are invested in the Wells Fargo Securities money market funds, Therefore, as provided by Governmental Code Section 53646 (e) attached are the most recent statement(s) received by the City of Los Banos.

2. As of the date of this report, the remainder of the City of Los Banos' funds are invested in the State of California Local Agency Investment Fund (LAIF), in accordance with section 16429.1 of the Governmental Code attached are the most recent statement received by the City of Los Banos.

3. The portfolio of the City of Los Banos is in compliance with the City of Los Banos' Investment Policy.

4. The investment balances are reconciled monthly to the General Ledger by the Finance Department.

5. It is expected that the City will be able to meet its projected expenditure requirements for the next six months.
18 California State Treasurer
Fio a Ma~ CPA
Local Agency Investment Fund
P.O. Box 942809
Sacramento, CA 94209-0001
(916) 653-3001

CITY OF LOS BANOS

CITY TREASURER
520JSTREET
LOS BANOS, CA 93635
Account Number: 98-24-490
December 2024 Statement
Account SummarY.

Total Deposit:

Total Withdrawal:

January 08, 2025
LAIF Home
PMIAAverage Monthly:

Yields
.Im!lIY.Re Definitions

0.00 Beginning Balance:

0.00 Ending Balance:

Attachment A
54,578,780.79
54,578,780.79
19 ■ Wells Fargo Bank, N.A.
333 MARKET ST
SAN FRANCISCO CA 94105

WILLIAMS/LEWIS
1-415-644-9152
Attachment B

Bank Account Statement
Wells Fargo Bank, N.A.

Statement Period
12/01/2024 - 12/31/2024
CITY
Account

OF LOS BANOS
Value Summary uso
~ This summary does not reflect the
------------------------------------value of unpriced securities.

Amount Last Amount This % Repurchase agreements are reflectec Statement Period Statement Period Portfolio at par value.

Cash $ 0.00 $ 0.00 0%
Money Market Mutual Funds 113,317,959.83 113,748,018.71 100% Bonds 0.00 0.00 0%
Stocks 0.00 0.00 0%
Total Account Value $ 113,317,959.83 S 113,748,018.71 100% Value Change Since Last Statement Period
Percent Increase Since Last Statement Period
Value Last Year-End
Percent Increase Since Last Year-End
Income Summary uso
Interest
Dividends/Capital Gains
Money Market Mutual Funds Dividends
Other
Income Total
Interest Charged uso
Description
Debit Interest For December2-024
Total Interest Charged
$
$
$ 430,058.88
0%
$ 108,078,955.20
5%
This Period

0.00 0.00
430,058.88

0.00 430,058.88
Year-To-Date
$ 0.00

0.00 5,669,063.51

0.00 $ 5,669,063.51
This Period

0.00 $ 0.00
Money Market Mutual Funds Summary uso
Description
Opening Balance
Deposits and Other Additions
Distributions and Other Subtractions
Dividends Reinvested
Change in Value
Closing Balance
Amount
$ 113,317,959.83

0.00 0.00
430,058.88

0.00 $ 113,74B;OH[71
20 CITY OF LOS BANOS
Money Market Fund Activity
Goldman FS Gov Inst 465
*As of December 31, 2024
USO
Transaction
Date
12/02/24
Activi1y
Beginning Balance
Reinvest
Ending Balance
Dividend paid
this period
430,058.88
Shares Price

1.0000
430,058.88000

1.0000
7day•
simple yield

4.370%
Market Value ($)
113,317,959.83
113,748,018.71
Attachment B Continued

Statement Ending: December 31, ,2024
30 day•
simple yleld

4.480%
Dividend Amount Share Balance
113,317,959.83000
430,058.88 113,748,018.71000
113,748,018.71000
21 THIS PAGE IS INTENTIONALLY LEFT BLANK
22 CITY OF LOS BANOS

CITY COUNCIL MEETING MINUTES
JANUARY 2, 2025
ACTION MINUTES - These minutes are prepared to depict action taken for agenda items presented to the City Council. For detail of this meeting refer to the electronic media (CD and/or audio) kept as a permanent record.

CALL TO ORDER: Mayor Amabile called the City Council Meeting to order at the hour of 6:01 p.m.

PLEDGE OF ALLEGIANCE: Acting Police Chief Melden led the pledge of allegiance.

ROLL CALL - MEMBERS OF THE CITY COUNCIL PRESENT: Council Members Kenneth Lambert - District 1, Deborah Lewis - District 4, Mayor Michael Amabile, District 2- vacant, District 3- vacant; ABSENT: None
STAFF MEMBERS PRESENT: Acting Police Chief Melden, City Attorney Vaughn, City Manager Pinheiro, City Clerk/Human Resources Director Mallonee, Community & Economic Development Director Souza Elms, Parks & Recreation Director Heim CONSIDERATION OF APPROVAL OF AGENDA: Motion by Lambert, seconded by Lewis to approve the agenda as submitted. The motion carried by the affirmative action of all Council Members present.

ROLL CALL: MEMBERS OF THE CITY COUNCIL PRESENT: Council Members Kenneth Lambert, Deborah Lewis, Mayor Michael S. Amabile; District 2 - vacant, District 3 - vacant. Absent: None.

PRESENTATIONS - CERTIFICATE OF RECOGNITION - EMPLOYEE OF THE MONTH FOR DECEMBER 2024 - JENNIFER LOA, HOMELESS OUTREACH COORDINATOR / COMMUNITY & ECONOMIC DEVELOPMENT DEPARTMENT.

Mayor Amabile presented the Employee of the Month certificate to Jennifer Loa who was present to accept.

PUBLIC FORUM: MEMBERS OF THE PUBLIC MAY ADDRESS THE CITY COUNCIL

MEMBERS ON ANY ITEM OF PUBLIC INTEREST THAT IS WITHIN THE JURISDICTION OF THE CITY; INCLUDES AGENDA AND NON-AGENDA ITEMS. NO ACTION WILL BE TAKEN ON NON-AGENDA ITEMS. SPEAKERS ARE LIMITED TO A FIVE (5) MINUTE PRESENTATION. DETAILED GUIDELINES ARE POSTED ON THE COUNCIL CHAMBER INFORMATIONAL TABLE. Mayor Amabile invited the public to come forward to speak. ANTHONY ALONZO, P G & E Representative, introduced himself and spoke to electric and gas rates and what effects the rates, how he looks forward to coming back to Council to give updates on what is happening in Los Banos and the surrounding area, he will reach out to the City Manager and staff to set up meetings; BLANCHE JORGE, lives in the downtown area, spoke to how our city has progressed when it comes to our animals, thanks to our Police Department and support ITEM 7C
23 from other City departments, spoke to the grants and services they have provided, the animal shelter and all the great things happening out there, all the hard work the staff is doing, asked the Mayor and Council to continue to support and make sure we have funding to continue the progress we are making, how important it is to do things for the animals up front with the special events and the importance of dog licensing. No one else came forward to speak and the public forum was closed.

CONSIDERATION OF APPROVAL OF CONSENT AGENDA. Motion by Lewis, seconded by Lambert to approve the consent agenda as follows: Check Register for #249056-#249355 in the Amount of $2,301,280.60; Minutes for the December 18, 2024 City Council Meeting. The motion carried by the affirmative action of all Council Members present.

CONSIDERATION OF NEXT STEPS IN FILLING THE LOS BANOS CITY COUNCIL MEMBER VACANCIES IN DISTRICTS 2 & 3. City Attorney Vaughn presented the staff report.

Council Member Lambert feels in order to get this done a little quicker, he likes Alternative 1, as there are only 3 of us, we can eliminate and possible pick on the first vote, doesn't like having to worry about 1st, 2nd , 3rd choice and having points, likes having to pick one and maybe we pick the same and move on from there. Mayor Amabile stated that the issue that he thought about is the district that has 7 people applying for it, you are trying to get the number down to a manageable number, he thinks that the district that has 4 to do the rating, and the district with 7 to rate them by points to bring the number down to 4 and then continue on with that. The 3-2-1 points was done last time and it is really important that we decide what will happen if it is a tie, pick a name out of a hat or flip a coin. Mr. Lambert wondered if we can vote a different way with the larger group for which City Attorney Vaughn responded that there is no standard way of doing this, these alternatives pull together what other cities have done and what the Los Banos has done it the past, you can choose one of these alternatives or change it up, just remember whatever you do the ballots will be public and it takes a minimum of 2 votes to select one of the applicants, in terms of a tie to repeat the voting process until an applicant is chosen.

Mr. Amabile that for the district that has 7, we would each vote for 1 person and the chances that we vote a different people is high. Mayor Pro Tern Lewis stated that Alternative 3 seems to be the most reasonable and equitable for both groups. Mr.

Lambert still wants Alternative 1. Mr. Vaughn stated that he's not sure Alternative 3 will work for the 4 applicants and explains why. Ms. Lewis suggested changing the number to be brought forward be changed to 3 instead of 4 after the first vote. Mr. Amabile added that he is more partial to Alternative 3 and change the number to go to round 2 to be 3 candidates. Ms. Lewis stated that we need to clarify tonight so we don't hassle on the night of interviews and Mr. Amabile agrees that we need to decide tonight how we are going to vote. Mr. Vaughn stated that from what he is hearing, Mr. Lambert likes Alternative 1, Ms. Lewis likes Alternative 3, and Mr. Amabile like Alternative 3; and that Alternative 3 will work if you change the number that goes to round 2 from 4 to 3. Mr.

Amabile inquired as to what happens if there is a tie and Mr. Vaughn explained that we may need to wait to decide on how to break a tie until we get there, as there are many variations as to how this could work out.
24 In review, Mr. Vaughn stated that it looks like Alternative 3 is the process we will use with the change from 4 to 3 people that go to the second round and he will have the Alternative ready if you need to make a change. Mr. Lambert stated that he doesn't think we will have a tie with Alternative 1 and explained why; he would like to Alternative 1 for the small group and Alternative 3 for the large group as he feels Alternative 1 is the easier one and how he doesn't feel that the point system will work and explained his reasoning for wanting to use Alternative 1. Mr. Vaughn asked how much time you wanted to allow for each applicant, is 15 minutes the amount of time you want to allow for each. Ms. Lewis stated that 2 minutes for each question plus up to 5-minute intro for each candidate works for her. Mr. Lambert stated that allowing up to 3 minutes for intro would be he suggestion.

By consensus it was decided to allow 3 minutes for intro and 2 minutes for each question, for a total of 15 minutes for each candidate. Mr. Amabile asked when the candidates would be sworn in; for which City Clerk Mallonee stated that we have sworn appointed candidates in the past the same night and she can prepare the agenda so that the are sworn in after the process is over and made note that this meeting tonight will be adjourned to the interview date instead of having to call a special meeting.

APPOINTMENT OF COMMISSIONERS TO THE FOLLOWING COMMISSION:

PLANNING COMMISSION: ONE (1) FOUR (4) YEAR TERM IN DISTRICT 1 - EXPIRING DECEMBER 31 , 2028. Motion by Lambert, seconded by Lewis, to appoint Christopher Perrecone to the Planning Commission for District 1 for a Four (4) Year Term Expiring December 31, 2028. The motion carried by the affirmative action of all Council Members present.

ADVISEMENT OF PUBLIC NOTICES. (No Report).

CITY MANAGER REPORT. City Manager Pinheiro hoped everyone had a happy holiday and New Year.

REPORT/UPDATE ON MERCED COUNTY ASSOCIATION OF GOVERNMENTS (MCAG), PENINSULA CLEAN ENERGY (PCE). MEASURE V COMMITTEE, AND SAN

JOAQUIN VALLEY AIR POLLUTION CONTROL DISTRICT (SJVAPCD), AND LOS

BANOS DOWNTOWN PROPERTY & BUSINESS IMPROVEMENT DISTRICT (LBDPBID). Ms. Lewis stated that at the last SJVAPCD they recognized employees under the STAR system and explained what that was all about and thinks it a wonderful thing and would like to see something like that happen for our City employees in the future, each year the SJVAPCD board puts out a calendar with drawings from children and one was from Merced County for the month of March, how she would like to attend our School Board meeting and encourage our school children to submit drawings for the calendar so that Los Banos can be chosen in the future, spoke to the SJVAPCD appropriations received for class 6 and class 7 zero truck emissions and the many jurisdictions that put in proposals and received the matching grant, spoke regarding the Bus grants for zero emission and all the monies that have been expended and hopefully more funds will become available. Mr. Amabile stated that the next MCAG meeting is on January 6, 2025, with PCE later in January, along with Measure V and making note that he was on the Measure V Committee and the City will need to find someone to take his place.
25 CITY COUNCIL MEMBER REPORTS:

DISTRICT 2: Vacant
DISTRICT 3: Vacant
KENNETH LAMBERT - DISTRICT 1: Congratulated Jennifer Loa on being recognized as Employee of the Month, thanked all the department heads for last year as we got a lot done, condolences to the traffic deaths on New Year's Day in New Orleans.

DEBORAH LEWIS - DISTRICT 4: Reported that on January 11, 2024 Mid Valley Disposal will be having its Annual Fall Clean Up event and spoke to all that is being accepted, how she had the opportunity to attend Coco with the Popo and it was a really nice event and thanked our Police Department with the continued community outreach.

MICHAELS. AMABILE - MAYOR: Wished all a happy New Year and hopes 2025 will be a good year for our city and residents, even though there are only two Council Meetings a month there are a lot of other meetings going on with staff and other agencies, now we will be adjourning this meeting to January 8, 2025 to interview and choose two new Council Members and wish all them all the best.

CLOSED SESSION - CONFERENCE WITH LABOR NEGOTIATORS, PURSUANT TO GOVERNMENT CODE SECTION 54957.6, AGENCY DESIGNATED
REPRESENTATIVES: CITY MANAGER PINHEIRO, CITY ATTORNEY VAUGHN, HUMAN RESOURCES DIRECTOR MALLONEE, LEGAL COUNSEL TUFFO:

EMPLOYEE ORGANIZATIONS: LOS BANOS POLICE OFFICERS ASSOCIATION (LBPOA), LOS BANOS POLICE SERGEANTS ASSOCIATION (LBPSA), LOS BANOS

FIRE FIGHTERS ASSOCIATION (LBFFA), LOS BANOS POLICE

DISPATCHERS/COMMUNITY SERVICES OFFICERS ASSOCIATION (LBPDCSOA), LOS BANOS PUBLIC EMPLOYEES UNION (PUBLIC WORKS) LOCAL 1/AFSCME,

LOS BANOS POLICE MIDDLE MANAGERS ASSOCIATION (LBPMMA) AND UNREPRESENTED MISCELLANEOUS EMPLOYEES. Advisement to staff only, no reportable action.

ADJOURNMENT. The meeting was adjourned at 9:02 p.m. to 6:00 p.m., Wednesday, January 8, 2025 to Conduct Interviews for Filling the Los Banos City Council Member Vacancies in Districts 2 & 3. The motion carried by the affirmative action of all Council Members present.

APPROVED:

Michael S. Amabile, Mayor
ATTEST:

Lucille L. Mallonee, City Clerk
26 CITY OF LOS BANOS

SPECIAL CITY COUNCIL MEETING MINUTES
JANUARY 8, 2025
ACTION MINUTES - These minutes are prepared to depict action taken for agenda items presented to the City Council. For greater detail of this meeting refer to the electronic media (CD and/or audio) kept as a permanent record.

CALL TO ORDER: Mayor Amabile called the City Council Meeting to order at the hour of 2:00 p.m.

PLEDGE OF ALLEGIANCE: The pledge of allegiance was led by Acting Police Chief Melden.

ROLL CALL - MEMBERS OF THE CITY COUNCIL PRESENT: Council Members Kenneth Lambert, Deborah Lewis, Mayor Michael Amabile, District 2 - vacant, District 3 - vacant; Absent: None.

STAFF MEMBERS PRESENT: City Attorney Vaughn, City Clerk/Human Resources Director Mallonee, Acting Police Chief Melden.

CONSIDERATION OF APPROVAL OF AGENDA: Motion by Lambert, seconded by Lewis to approve the agenda as submitted. The motion carried by the affirmative action of all Council Members present.

PUBLIC FORUM: MEMBERS OF THE PUBLIC MAY ADDRESS THE CITY COUNCIL

MEMBERS ON ANY ITEM OF PUBLIC INTEREST THAT IS WITHIN THE JURISDICTION OF THE CITY: INCLUDES AGENDA AND NON-AGENDA ITEMS. NO ACTION WILL BE TAKEN ON NON-AGENDA ITEMS. Mayor Amabile opened the public forum and invited the public to come forward to speak. No one came forward to speak and the public forum was closed.

CLOSED SESSION: PUBLIC EMPLOYEE PERFORMANCE EVALUATION, PURSUANT TO GOVERNMENT CODE SECTION 54957(8 ); TITLE: CITY MANAGER.

Mayor Amabile stated that this is a personnel matter and there is no reportable action.

ADJOURNMENT. The meeting was adjourned at 3:03 p.m.

APPROVED:

Michael S. Amabile, Mayor
ATTEST:

Lucille L. Mallonee, City Clerk
ITEM 7D
27 THIS PAGE IS INTENTIONALLY LEFT BLANK
28 TO:

FROM:

DATE:

LOsBanos
.--\t 11Jc 1<>'i , oa<I of< ali/onua
Agenda Staff Report
Mayor & City Council Members
Eddie Drum, Police Commander
February 5, 2025
SUBJECT: Authorizing the Acting City Manager to approve a sole source purchase agreement with Motorola Solutions for the acquisition of sixty-five (65) Motorola APX 8000 radios for the Police and Fire Departments.

TYPE OF REPORT: Consent Agenda
Recommendation:

That the City Council adopt a motion waiving the competitive bidding requirements as stated in Section 3-10.290 of the Los Banos Municipal Code, and enter into an agreement with Motorola Solutions for the purchase of sixty-five (65) Motorola APX 8000 radios and a three-year service agreement.

Background:

The Los Banos Police and Fire Departments are seeking to transition away from outdated Kenwood radios and enter into an agreement with Motorola Solutions. In light of advancements in technology and the need for seamless communication with our allied agencies, we have collaborated closely to identify the most cost-effective solution to meet the evolving needs of both departments.

After thorough research, we have identified an opportunity to purchase 65 previously demonstrated radios at a significant discount. The total cost, including a one-year service agreement, is $312,765.05. By opting for prior demo radios rather than new units, the City of Los Banos stands to save $427,038.37.

ITEM 7E
29 We also propose waiving the competitive bidding requirement under Los Banos Municipal Code Section 3-10.290, which allows for such exceptions when standardizing specific types of equipment.

Discussion:

The City of Los Banos did not allocate funds for the purchase of new radios in the 2024/2025 adopted budget. However, funding is available through measure H and is identified in its spending plan to accommodate one-time expenses to increase response times and service levels to the community. Moving to a more reliable radio platform will afford staff to communicate more effectively and increase the ability for agency inoperability with our allied counterparts. The opportunity affording staff to access this level of quality equipment is uncommon, funding can be sourced from Measure H to cover the costs associated with acquiring new radios. The allocated funds from this measure can be placed in the Measure H specialized equipment accounts for both Police and Fire. The Police and Fire Departments are seeking approval to purchase Motorola APX 8000 radios, along with a three-year maintenance agreement. This acquisition will enable both departments to replace their aging Kenwood radios, significantly enhancing communication capabilities and operational efficiency.

For the 2024-2025 Fiscal budget, the Police Department is authorized forty-eight (48) sworn officers, while the Fire Department is authorized twenty-one (21) fire personnel.

As part of this request, the Police Department will receive forty-eight (48) Motorola APX 8000 radios, and the Fire Department will receive seventeen (17) Motorola APX 8000 radios.

The total cost for this purchase, which includes radios, chargers, microphones, batteries, holsters and a three-year maintenance agreement, is as follows:

Total: $312,765.05 (not included in the current budget) Police Department: $231,211.82
Fire Department: $81,553.23
Total: $312,765.05
To expedite this purchase, the Police and Fire Departments request a waiver of the competitive bidding requirement, as outlined in Los Banos Municipal Code Section 3-

10.290. A sole-source justification is appropriate in this case, as the radios and associated services can only be obtained at a discounted rate through Motorola Solutions. This agreement will provide our first responders with upgraded communication equipment, ensuring compliance with government interoperability standards and enhancing coordination with allied agencies.

We propose City Council to allocate funds from Measure H to cover the costs of this purchase and to waive the competitive bidding process.
30 We propose City Council to allocate funds from Measure H to cover the costs of this purchase and to waive the competitive bidding process.

Some highlighted features of the equipment desired to be purchased include:

Motorola APX 8000
Multiband Connectivity: The APX 8000 supports multiple frequency bands, including VHF, UHF, 700/800 MHz, allowing for communication across various networks, which is crucial for interoperability among different agencies.

Mission Critical Audio: Features advanced audio processing to provide clear and loud voice quality, even in noisy environments. This ensures that communication is effective in high-noise situations such as at emergency scenes or during tactical operations.

Project 25 (P25) Compliance: The radio complies with P25 standards, enabling reliable communication among different public safety agencies and ensuring secure, encrypted transmissions.

Rugged Durability: Built to withstand harsh environments, the APX 8000 is MIL-STD81 0G certified for durability, including water resistance (IP68), shock resistance, and temperature extremes, making it ideal for use in extreme conditions.

Intelligent Lighting: The radio features customizable LED lights for visual alerts that can be programmed for different conditions, improving user awareness and safety in low-light conditions.

Enhanced Battery Life: With an efficient power management system, the APX 8000 ensures long-lasting battery life, important for first responders who may be working long hours in the field.

Bluetooth Connectivity: Allows users to connect wireless accessories such as headsets or remote microphones, reducing cables and offering greater mobility during operations.

Integrated GPS: Provides location tracking for personnel, which is essential for coordination and resource management during emergency responses.

Large Color Display: The APX 8000 features a high-resolution color display that makes it easier to read information, access menus, and view statuses, even under challenging conditions.
31 Advanced User Interface: Includes customizable controls and a user-friendly interface, making it easy to navigate through features and functions, even under pressure.

Over-the-Air Programming (OTAP): Enables remote configuration and updates, reducing the need for physical maintenance and ensuring radios are always up-to-date with the latest software.

Safety Features: The radio includes features like Lone Worker, Man Down, and emergency alert capabilities, which ensure user safety in dangerous situations.

Interoperability with Other Systems: The APX 8000 can seamlessly communicate with other Motorola radios and third-party systems, enhancing coordination between agencies and departments.

Expenditures:

Specialized Equipment:

Specialized Equipment:
101-421-290-753
101-422-290-753
$236,211.82 Police
$86,553.23 Fire
This funding was not previously authorized by City Council as part of the adopted 24/25 Fiscal Year budget.

Fiscal Impact:

There is no additional annual maintenance or ongoing fees associated with this project and the three-year service agreement is including in the quoted expenditures. The cost to purchase sixty-five (65) Motorola APX 8000 radios with a three-year service agreement will be paid out of Measure H Funds. Since appropriations for this purchase was not previously authorized by City Council as part of the adopted 24/25 Fiscal Year budget, staff is requesting an increase appropriation for the budgetary account lineitems 101-421-290-753 for $236,211.82 anti 101-422-290-753 for $86,553.23 to cover this cost.

Reviewed by:

B~u~I Consultant
Attachments:

Resolution
Quotation # 2948408 from Motorola Solutions
Quotation from Aker
~ alla, Acting City Manager
32 RESOLUTION NO. --

A RESOLUTION OF THE CITY OF LOS BANOS

AUTHORIZING THE ACTING CITY MANAGER TO

EXECUTE A PURCHASE AGREEMENT WITH

MOTOROLA SOLUTIONS FOR MOTOROLA APX
8000 RADIOS
WHEREAS, the Los Banos Police and Fire Departments will update the aging portable radio platform; and
WHEREAS, the Los Banos Police and Fire Departments have identified Motorola Solutions as a responsible vendor, capable of delivering a reliable portable radio system, which will provide for interoperability with other agencies using this system; and WHEREAS, the Los Banos Police and Fire Departments will proceed with Motorola Solutions and execute a purchase agreement for portable radios and services; and
WHEREAS, The Los Banos Police Department and Fire Department will increase the expenditures through Measure H Funds increasing appropriations in the budgetary account line items 101-421-290-753 by $231,211.82 (Police) and 101-422- 290-753 by $81,553.23 (Fire).

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Los Banos authorizes the Acting City Manager to execute a purchase agreement with Motorola Solutions for Motorola APX 8000 radios and service and directs staff to increase appropriations as described herein.

The foregoing Resolution was introduced at a regular meeting of the City Council of the City of Los Banos held on the 5th day of January, 2025, by Council Member_ who moved its adoption, which motion was duly seconded by Council Member _ and the Resolution adopted by the following vote:

AYES:

NOES:

ABSENT:

APPROVED:

Michael S. Amabile, Mayor
ATTEST:

Lucille L. Mallonee, City Clerk
33 Title 3. Finance
Chapter 10. Purchasing System
City of Los Banos, CA
Thursday, January 16, 2025
Article 3. METHODS OF PROCUREMENTCOMMODITIES, EQUIPMENT AND GENERAL SERVICES § 3-10.290. Cooperative procurement.
(a) Cooperative purchasing agreements. Nothing in this article prohibits the voluntary participation by the City in any cooperative purchasing agreement(s) or programs entered into between the City and the State, County, or other cities or public agencies situated within the State. The City Manager is authorized to act under the provisions of this article to procure for the City commodities, equipment and/or services in conjunction with such voluntary cooperative purchasing agreement(s) or programs as may be entered into by the City. All formal contract and bidding procedures to be followed in such cases shall be those specifically enumerated in the voluntary cooperative purchasing agreement or program.
(b) Use of another entity's contract. The City Manager may authorize the procurement of commodities, equipment and/or services through the use of a contract initiated by another governmental, public agency, provided that the original parties to the contract agree, the contract was awarded within 12 months of the date of authorization, the contract is for identical or nearly identical goods and/or services, and the contract resulted from a competitive bid using methods similar to those required by this chapter.
(§ 1, Ord. 1068, eff. February 1, 2008)
34 QUOTE-2948408
MOTOROI..A SOLUTIONS
The design, technicali,P.rlclng, and other information (·Information") furnished with this submission Is confidential proprietary information of Motorola Solutions, Inc. or the Motorola Solutions entity providing this quote\ Motorola") and is submitted with the restriction that it is to be used for evaluation purposes only. To the fullest extent allowed by applicable law, the Information is not to be disclosed publicly or in any manner to anyone other than those required to evaluate the Information without the express written permission of Motorola. MOTOROLA, MOTO, MOTOROLA SOLUTIONS, and the Stylized M Logo are trademarks or registered trademarks of Motorola Trademark Holdings, LLC and are used under license. All other trademarks are the property of their respective owners. <0 2020 Motorola Solutions, Inc. All rights reserved. 35 • MOTOROLA SOLUT/0.NS
12/27/2024

LOS BANOS, CITY OF
520 J ST
LOS BANOS, CA 93635
RE: Motorola Quote for Los Banos- PF/FD Used Radio Purchase Dear Paul Tualla,
QUOTE-2948408
Motorola Solutions is pleased to present LOS BANOS, CITY OF with thiS'quote for quality communications equipment and services. The development of this quote provided us the opportunity to ev~luate your requirements and propose a solution to best fulfill your communications needs.

This information is provided to assist you in your evaluation process. Our gQai'.s to provide LOS BANOS, CITY OF with the best products and services available in thei'COAlJfllfh'iG.ations induS1sfY. Please direct any questions to Jeffrey Wade at [email protected].

We thank you for the opportunity to provide you with pref}1tet communications and look forward to your review and feedback regarding this quote.

Sincerely,
Jeffrey Wade
36 • MOTOROLA SOLUTIONS
Billing Address:

LOS BANOS, CITY OF
520J ST
LOS BANOS, CA 93635
us
QUOTE-2948408
Los Banos- PF/FD Used Radio
Purchase
Quote Date:12/27 /2024
Expiration Date:03/27 /2025
Quote Created By:

Jeffrey Wade
Jeffrey.Wade@
motorolasolutions.com
5106602945
End Customer:

LOS BANOS, CITY OF
Paul Tualla
[email protected]
209-827-7·Q25
AGREEMENT: STATE OF CALIFORNIA
Line# !tern Number APC Description Qty List Price Sale Pnce Ext. Sale Price APX™ 8000 Series APX8000XE
H91TGD9PW6AN 0579 APX 8000 ALL BAN;D &!i $7,688.00 $0.00 $163,956.40 PORTABLE MODEL'2.5
1a Q806CB 0579 ADD: ASTRO DIGITAL CAI 65 $567.00 $186.03 $12,091.95 OPER4TION - ',
1b Q361AN 0579 ADD: P2S 9600 BAUD 65 $330.00 $108.27 $7,037.55 TRUNKING -:~ ~
1c QA02006AC 0579 EN'9~ APX8000XE RUGGED ~: 65 $880.00 $288.72 $18,766.80 RAPIO
1d QA00580AA Q57~ ADD: 1;pMA OPERATION 65 $495.00 $162.41 $10,556.65 1e Q58AL 0185 ADD: 3Y ESSENTIAL SERVICE 65 $184.00 $184.00 $11,960.00 1f QA05509AA 0579 DEL: DELETE UHF BAND 65 -$800.00 -$262.48 -$17,061.20 1g H38BS 0579 ADD: SMARTZONE 65 $1,650.00 $541.36 $35,188.40

OPERATION
1h QA09113AB 0579 ADD: BASELINE RELEASE 65 $0.00 $0.00 $0.00 SW
1 i Q629AH 0579 ENH: AES ENCRYPTION AND 65 $523.00 $171.59 $11,153.35 ADP
1j QA01427AG 0579 ALT: APX8000/XE HOUSING 65 $28.00 $9.19 $597.35 GREEN
2 NNTN8863B 0785 CHARGER, SINGLE-UNIT, 65 $186.50 $62.87 $4,086.55 IMPRES 2, 3A, 100-240VAC,

US/NA/LACR PLUG
"
Any sales transaction following Motorola's quote is based on and subject to the terms and conditions of the valid and executed written contract between Customer and Motorola (the ""Underlying Agreement""} that authorizes Customer to purchase equipment and/or services or license software (collectively ""Products""}. If no Underlying Agreement exists between Motorola and Customer, then Motorola's Standard Terms of Use and Motorola's Standard Terms and Conditions of Sales and Supply shall govern the purchase of the Products.

Motorola Solutions, Inc.: 500 West Monroe, United States - 60661 - #: 36-1115800

37 • MOTOROLA SOLUTIONS Q U OTE-2948408
Los Banos- PF/FD Used Radio
Purchase
Line # Item Number APC Description Qty List Price Sale Price Ext Sale Price 3 PMMN4154ABLK 0372 XVES00 DIV 1 REMOTE 48 $748.00 $268.92 $12,908.16

SPEAKER MIC, BLACK WITH

KNOB, UL
4 PMMN4154A 0372 XVES00 DIV 1 REMOTE 17 $748.00 $268.92 $4,571.64

SPEAKER MIC, HIGH

IMPACT GREEN WITH

KNOB, UL
5 PMNN4504A 0453 BATT IMPRES 2 LIION 92 $222.92 $75.14 $6,912.88 UL2054 DIV2 R IP68 3400T
Subtotal $282,726.48
Estimated Tax $24,738.57
Grand Total $307,465.0S(USD)
Notes:

Any sales transaction following Motorola's quote is based on and subject to the terms and conditions of the valid and executed written contract between Customer and Motorola (the ""Underlying Agreement"") that authorizes Customer to purchase equipment and/or services or license software (collectively ""Products""). If no Underlying Agreement exists between Motorola and Customer, then Motorola's Standard Terms of Use and Motorola's Standard Terms and Conditions of Sales and Supply shall govern the purchase of the Products.

Motorola Solutions, Inc.: 500 West Monroe, United States-60661 - #: 36-1115800

38 All Ploductl > .kceuories , Radio Holdels , Sw,vel R3d,o HDl'Jer flY Mo!crol; I.PX6COu Swivel Radio Holder for Motorola

APXBOOO
Duty Belt Accessory
I.~ tlB APX8000
Price: $81.40

COLOR OPTION
I ~:k vi

FINISH OPTION
I ~•n YI

QUANTITY
39 THIS PAGE IS INTENTIONALLY LEFT BLANK
40 LOsBanos
t the Crossroads of Calif o,-nia
Agenda Staff Report
TO: Mayor and City Council Members
FROM: Charles Bergson, P.E., Public Works Director/City En DATE: February 5, 2025
TYPE OF REPORT: Consent Agenda
SUBJECT: Accepting the 2025 Street Rehabilitation Project as complete and authorizing the filing of a Notice of Completion with the Merced County Recorder
Recommendation:

That the City Council adopt the Resolution to:

1. Accept the construction of 2025 Street Rehabilitation project as completed; and

2. Authorize the Acting City Manager to file the Notice of Completion with the Merced County Recorder; and

3. Authorize the Public Works Director/City Engineer to release the five (5) percent retention after the thirty-five (35) day period from the date of filing the Notice of Completion with the County Recorder.

Background:

The Streets Division staff of the Public Works Department maintains a computer software program for its pavement management system. Recently, the City participated with Merced County and the other local jurisdictions of MCAG in hiring a consultant to perform a computerized laser study (Study) which analyzed the pavement conditions for each jurisdiction in Merced County. The results of the Study produced a present-day Pavement Condition Index (PCI) of every street in the County. Every street in Los Banos was analyzed. PCI is a compiling of distress factors which gives a street a numerical rating from 0 to 100. A brand-new street with a properly designed structural section could potentially receive a PCI rating of 100. The factors which inevitably create distresses to lower the PCI are age of the street, load, weather, and reopening the street to add or repair underground utilities. The ability to perform maintenance treatment activities is the other factor of a street PCI. The Study results were downloaded into the City's pavement management system software. A review of the data currently maintained by the staff in ITEM 7F
41 Streets Division and the results of the Study confirmed the streets presently programmed into the City's Capital Improvement Plan for pavement rehabilitation work. The PCI of each street creates an overall PCI for the City's Street Infrastructure. Measure V is enabling the City to accelerate street rehabilitation activities. An infrastructure with adequate rehabilitation funding can maximize the life cycle of a street which helps maintain an acceptable overall PCI of the City's infrastructure. The higher the PCI the better the ride quality the community will experience.

Discussion:

The City's Capital Improvement Plan includes the rehabilitation of several segments of streets identified in its pavement management system. The FY 2025 Street Rehabilitations are the first phase of streets identified on the rehabilitation schedule:
• Stonewood Drive from Parkwood Dr to North End
• Willmott Avenue from Johnson Rd to Frank St
• West L Street from West I St to Iowa Ave
• Willow Way from Mulberry Dr to Mahogany Dr
• Mahogany Drive from Willow Way to Birch Ave
• N. Fallbrook Drive from Ward Rd to Snowgoose Dr
• Sorrento Street from Palermo Dr to end
• Montieri Street from Sorento St to Castellana St
• Castellana Street from Palermo Dr to pavement change
The City Council awarded the construction contract on July 17, 2024 to Consolidated Engineering, Inc. in the amount of $971,170.00 with a 10% Contingency in the amount of $97,170.00
There were three change orders for this project. Change Order #1 consisted of adding the paving of the Animal Shelter Parking Lot, in the amount of $94,105.00. Change Order #2 consisted of additional base repairs and asphalt needed on N. Fallbrook Drive, and on Stonewood Drive, in the amount of $84,793.00. Change Order #3 consisted of replacing an outdated survey monument well at Willmott Avenue/G Street, in the amount of $1,900.00. Total construction cost for this project was $1,152,505.91.

Fiscal Impact:

Funds for this project, including Change Order #2 and #3, have been programmed from the Measure Vaccount 214-430-210-715 and the Streets (S81) account 100-431-210-715 in the 2024-2025 (FY25) fiscal year budget. Change Order #1 has been programed from the ARPA Fund 206-410-100-720.

Paul Tualla, Acting City Manager
Attachments:

Resolution
Notice of Completion
Site Map
Brent Kuhn, Finance Department
42 43
RECORDING REQUESTED BY:

WHEN RECORDED RETURN TO:

CITY OF LOS BANOS
520 'J' Street
Los Banos, California 93635
NOTICE IS HEREBY GIVEN:

NOTICE OF COMPLETION
I. That the interest of estate stated in paragraph 3 below in the real property hereinafter described is owned by the following:

NAME

CITY OF LOS BANOS
STREET AND NO.
520 'J' Street
CITY
Los Banos
STATE
California
(If more than one owner of the interest stated, the name and address of each must be inserted.)

2. That the full name and address of the owner of said interest or estate, if there is only one owner, and the full names and addresses of all the co-owners who own said interest or estate as joint tenants, as tenants in common or otherwise, if there is more than one owner, are set forth in the preceding paragraph.

3. That the nature of the title of said owner, or if more than one, then of said owner and co-owner is: In Fee.

4. That on the 17th day of January, 2025, a work of improvement on the real property hereinafter described was completed.

5. That the name of the original contractor, if any, for such work of improvement was _______ _____ _ Consolidated Engineering, Inc.
(If no contractor for work of improvement as a whole, insert "No Contractor.")

6. That the real property herein referred to is situated in the _____ C=1,,..,_ ·ty--=of"""'L=o=s"-'B=an=o=s _________ _ County of Merced State of California, and is described as follows:
"Construction of2025 Street Rehabilitation"
The major work consisted of the pavement rehabilitation of several streets in the City of Los Banos using asphalt concrete overlays. The work also includes pavement digouts of failed pavement areas, asphalt concrete leveling courses, and application of pavement striping and markings.

I dee lare under penalty of perjury under the laws of the State of California that the foregoing is true and correct.

Date: CITY OF LOS BANOS
Owner
Place: Los Banos, California By: ----------------

ACKNOWLEDGMENT
44 IA
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32. TO Rrx:H THE JUt«:TION OF STAlt: HIGHWAY 152 Nill M:ST I STREET ON THE IEST SIDE or LOS tw,IOS, GO NORTHtAST ON WEST I smEET FOR 0.015 Ml TO A PA\UJ ROlll'.l LEFT. TURN UJl, SOLIM«ST, OI ~ ROAD FOR 0.25 111 TO A U>Cl([IJ ~ ON THE RIGHT. TURN Arolfl, NORTl£m, TliRIJUGH GA'IE, PASSING TO ft!Clff OF fUEl. PUilf>S, ACROSS APRON F'OA 0.05 Ml TD THE PARAU..n.. T~. TURN t.Etl, NOAnMtST, ON TAXI F'OR D.06 Ml TO THE STATION ON H IICHT. STATION MARK IS SET IN lHE TOP OF A JO-CM ROUND COHCR£TE POST FLUSH WfJH lHE GRCIUNO ON A !:U;H'T HUii' IN A IWtE ARE"A. rr 15 142.1 FT SOtrrHWEST Of' 1HE Rl.NWA'f CENTER. IOJ.3 FT NCRTHEAST Of nE EDGE CF lHE APfl~/TAXI, 26.8 FT SQlfflfl!ST or n£ SOUTH CXlRNlR OF' THE CONCRETE PAil FOR TH£ CMll'.IARD VA,g, 7lJJ n NORTHIIEST OF lHE EXTENDED SOOTH£ASl' WIili. Of A HN«lAA #ID I.J FT NtlffllfW[ST Of A Fl~ WITMESS POST.

UTILITY CONTACTS PG&E- Slt:VE MTJRPII'(
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MERCEO, CA. 9,5,J,ffl
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1116 M STR£ET MERCED, CA 95354

SIGNATURE BLOCK
IIAIN (209) 726-6338
C[ll. (209) 363-2218
MAIN (2011) 578-73&1
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•

PROJECT PLANS FOR CONSTRUCTION OF
2025 STREET REHABILITATION

INDEX OF DRAWINGS
1 LOCATICN IMP AND IIDEXOF DIIAWIN8S
2 l'l!OJECTNCJIBIANI LEOEND
r~ - , 7-T
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PROJECT No, 25ST0002

CITY OF LOS BANOS
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Call bll'ofa,ou c1g.

I
GOUVEIA ENOINBERJNG, INO. coiqum1~0 JQlfOINDRS

CITY OF LOS BANOS
2025 STREET REHABILITATION

LOCATION MAP AND INDEX OF DRAWINGS
C,.101 _Jiffl""-
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45 THIS PAGE IS INTENTIONALLY LEFT BLANK
46 TO:

FROM:

DATE:

LOsBanos
I ti,, ( 10 ,o I I (I "'''', ,,,a
Agenda Staff Report
Mayor Amabile and City Council Members
Stacy Souza Elms, Community and Economic Development Director ~ February 5, 2025
TYPE OF REPORT: Agenda Item
SUBJECT: Peninsula Clean Energy Presentation
Background:

Peninsula Clean Energy (PCE) is a Community Choice Aggregation (CCA) program that allows local municipalities to pool, or aggregate, their energy demand to purchase electricity separate from the local investor-owned utility. As a shared-service model, CCAs partner with the existing utility, Pacific Gas & Electric Company, which continues to provide power transmission, distribution, grid maintenance and billing services. PCE is a CCA program that provides electricity to all of its member cities and unincorporated areas under a Joint Powers Authority (JPA). PCE offers competitive rates and clean energy from renewable sources.

In October 2020, the Los Banos City Council voted to join Peninsula Clean Energy to bring utility savings, rebates, and clean electricity to the residents of Los Banos.

Discussion:

Shawn Marshall, CEO of Peninsula Clean Energy will be providing a presentation and update to the City Council.

Reviewed by:

Paul Tualla, Acting City Manager
I
ITEM 8
47 THIS PAGE IS INTENTIONALLY LEFT BLANK
48 TO:

FROM:

DATE:

SUBJECT:

LOsBanos
Al the Crossroad_~ of Calijornia
Agenda Staff Report
Mayor & City Council Members ~
Paul Tualla, Acting City Managv
February 5, 2025
Response Letters Regarding Merced County Civil Grand Jury Final Report 2023-2024 Regarding ARPA
TYPE OF REPORT: Regular Agenda
Recommendation:

That the City Council authorize the Acting City Manager and the Mayor on behalf of the Los Banos City Council to execute the attached two letters to the Honorable Steven K.

Slocum Presiding Judge, Superior Court of California, County of Merced, responding to the Merced County Civil Grand Jury Final Report 2023-2024 regarding the American Rescue Plan of 2021 (ARPA).

Discussion:

The Merced County Civil Grand Jury released its 2023-2024 Final Report included findings and recommendations concerning administration of the ARPA funds received by the County of Merced and the incorporated cities within Merced County. The findings and recommendations were set forth in pages 43 - 66 of the Report which are attached for your reference.

As part of the Report, the Merced County Civil Grand Jury has requested a response from the Los Banos City Council and the Los Banos City Manager pertaining to their findings and recommendations, attached for your review and approval are those response letters.

ITEM 9
49 Reviewed by:

Paul Tualla, Acting City Manager
Attachments:

Proposed Letter from the Los Banos City Council
Proposed Letter from the Los Banos Acting City Manager
Merced County Civil Grand Jury Final Report 2023-2024 (pages 43-66) 50 Proposed Letter from the Los Banos City Council
51 LOsBanos
At the Crossroads oJ Calijornia
February 7, 2025
The Honorable Steven K. Slocum
Presiding Judge of the Civil Grand Jury
Superior Court of California, County of Merced
2260 M Street
Merced, CA 95340
Re: Los Banos' Response to 2023-2024 Merced County Civil Grand Jury ReportAmerican Rescue Plan Act of 2021, Where the Money Went Recommendations/Findings Dear Judge Slocum:

This letter sets forth the Los Banos City Council Responses to recommendations and findings made in the 2023-24 Merced County Civil Grand Jury Report.

The Civil Grand Jury investigated the use of American Rescue Plan Act (ARP A) funds received by local jurisdictions and found the potential for various improvements in the guidelines and procedures related to influxes of external funding in the future.

Various findings were made by the Grand Jury concerning the ARP A funding and how the County of Merced and the cities within the County administered the funding on a local level.

In addition the Grand Jury made recommendations including developing policies and procedures for such occurrences in the future, designating one person or office to serve as a "one-stop-shop" for those wanting to access or inquire about funds, increased auditing measures, publicizing funding prominently on agency websites/social media, and keeping residents informed of expenditures.

GRAND JURY FINDINGS
Fl: "Local guidelines for the awarding of Small Business grants by the City of Los Banos were not clearly defined or adequately publicized despite numerous requests from the public. "
Response: The Los Banos Small Business Grant Program established detailed grant guidelines which included: 1) a detailed explanation of eligibility for small businesses applying for the grant; 2) a detailed description of the funding allocation levels available per the grant; 3) 1 52
a detailed description of the eligible use(s) for the small business grant funds (including a description of ineligible uses); and 4) a detailed description of the application, review, and approval process.

Public outreach included: 1) Guidelines posted on the City's website at www.losbanos.org and various City social media platforms; 2) Provided flyers and application packets at City Hall: 520 J Street, Los Banos, CA 93635; 3) email blast to all businesses with email addresses in the City's business license database; 4) Los Banos Chamber of Commerce published in weekly e-blast to business community; 5) Los Banos Downtown Association emailed to association members.

F2: "The Treasury Department issued interim guidelines which we believe created a situation where cities were unclear until the final rule was adopted. " Response: The City applied and received approximately $9.8 million of ARPA funds based on the Revenue Replacement Category. The City reviewed public input at a City Council meeting and developed spending priorities based on this input.

F3: "County and Cities often relied on their established internal control procedures which varied between cities and relied on antiquated procedures on how to track funds." Response: The City has established internal controls for Federal Programs and applied these controls to the ARP A expenditures. These controls have proven effective during the Single Audits performed by our external auditors.

F4: "Public opportunity for local input on the use of ARPA funding was inadequate." Response: In order to engage the community on how to spend the ARP A funding, the City of Los Banos initiated a public outreach campaign using the City's social media platforms and the City's website to solicit participation in a community-wide survey hosted by Survey Monkey from October 21, 2021 to November 12, 2021. The City of Los Banos received 77 responses to the survey. The results of the community survey were presented during a public ARPA workshop with the City Council on November 23, 2021 which included a detailed power point presentation by the finance department. In addition, public comment was received during the ARP A workshop, which provided an opportunity for additional comment and input from the community.

On December 15, 2021, at a public meeting the City Council discussed, considered, and provided direction on a proposed ARP A spending plan. On February 2, 2022, at a public meeting discussed, considered and formally adopted an ARP A spending plan.

Consistent with public input, ARP A funding has been budgeted toward community priorities such as parks, municipal facilities, homeless services, infrastructure, economic assistance, public safety, and premium pay for City employees.

F5: "Criteria for determining the awarding of ARPA funds were often vague and confusing. "
2 53
Response: The City applied and received ARP A funds based on the Revenue Replacement Category
F6: "Decisions about how funds were spent were solely made by the City Councils or the Board of Supervisors in accordance with the Treasury Department Final Rule Guidelines that took effect on April 1, 2022. However, these procedures were not followed consistently. " Response: The City has expended ARP A funds based on the Spending Priorities approved by the City Council. Any changes to the Spending Priorities were brought back to the City Council in order to approve these changes. The City has only used these funds in accordance with these approved Spending Priorities.

F7: "During our investigation, we discovered Dos Palos and Livingston were quick to invest in identified needs immediately, whereas other cities retained their funds until the issuance of the Final Rule. "
Response: The Capital Projects identified in the Council Approved Spending Priorities went through several changes in design and thus delayed the actual construction.

These projects are currently under construction and the ARP A Funds are anticipated to be fully expended by the December 31, 2026 Deadline.

GRAND JURY RECOMMENDATIONS
RI: The County and its incorporated cities should develop policies and procedures keeping transparency and public input first and foremost for possible future occurrences of unexpected funding. Minimal Funding required. (F 1)
Response: As a matter of process improvement, the City is continuously reviewing and updating policies and procedures to ensure transparency of the funding application process and inclusion of public input for future funding.

R2: Each Agency should designate at least one individual or office to serve as a onestop-shop for residents, small business owners, contractors, and other members of the business community. This individual(s) should provide guidance and recommendations to assist in determining eligibility for Federal, State or Local funds. Moderate funding required. (F 1) Response: ARPA funds have been managed by the City of Los Banos Administrative Department (City Manager, Finance and Community and Economic Development), and outside agencies, businesses, and members of the public were made aware of how to access information.

The overall goal was to ensure that the public had access to information regarding ARP A Funds as well as access to the Department that is programming the funds.

R3: In addition to using internal controls, ARPA funds received should be audited regularly by an outside agency to ensure accountability and transparency. Moderate funding required. (F 4)
3 54
Response: Regarding internal controls and auditing, ARP A funds were audited by the City's external auditors and are included in both the Annual Comprehensive Financial Report and the Single Audit Reports, both of which are available on the City's website.

R4: The amount of ARPA-related funding received, and its proposed usage, should be posted prominently on public agency's websites and social media sites detailing the receipt and distribution of all ARP A-related funds. Minimal funding required. (F2, F3, F5, F6,) Response: The City posted all the Council meeting regarding ARP A funds received and the proposed usage on the City's Council Meeting link on the City's main webpage. The City has posted these reports along with other program information as a link on the City's website.

R5: Cities and the County need to provide information to residents to easily track the amount of funding received and its usage including contracts awarded for ARP A related projects, progress on ARP A funded projects and the impact of the funding on their community.

Minimal funding required. (F2, F3, F4, F6)
Response: To ensure full transparency of City ARPA dollars, a link on the City's website includes all documentation, information, and periodic reporting for the City's ARP ASLFRF allocation.

Respectfully,
Michael S. Amabile, Mayor
4 55
Proposed Letter from the Los Banos Acting City Manager
56 LOsBanos
At the Crossroads of Calijornia
February 7, 2025
The Honorable Steven K. Slocum
Presiding Judge of the Civil Grand Jury
Superior Court of California, County of Merced
2260 M Street
Merced, CA 95340
Re: Los Banos' Response to 2023-2024 Merced County Civil Grand Jury ReportAmerican Rescue Plan Act of 2021, Where the Money Went Recommendations/Findings Dear Judge Slocum:

This letter encompasses the City Manager Responses to recommendations and findings made in the 2023-24 Merced County Civil Grand Jury Report and mirrors the responses of the Los Banos City Council.

The Civil Grand Jury investigated the use of American Rescue Plan Act (ARP A) funds received by local jurisdictions and found the potential for various improvements in the guidelines and procedures related to influxes of external funding in the future.

Various findings were made by the Grand Jury concerning the ARP A funding and how the County of Merced and the cities within the County administered the funding on a local level.

In addition the Grand Jury made recommendations including developing policies and procedures for such occurrences in the future, designating one person or office to serve as a "one-stop-shop" for those wanting to access or inquire about funds, increased auditing measures, publicizing funding prominently on agency websites/social media, and keeping residents informed of expenditures.

GRAND JURY FINDINGS
F 1: "Local guidelines for the awarding of Small Business grants by the City of Los Banos were not clearly defined or adequately publicized despite numerous requests from the public."
Response: The Los Banos Small Business Grant Program established detailed grant guidelines which included: 1) a detailed explanation of eligibility for small businesses applying 1 57
for the grant; 2) a detailed description of the funding allocation levels available per the grant; 3) a detailed description of the eligible use(s) for the small business grant funds (including a description of ineligible uses); and 4) a detailed description of the application, review, and approval process.

Public outreach included: 1) Guidelines posted on the City's website at www.losbanos.ore and various City social media platforms; 2) Provided flyers and application packets at City Hall: 520 J Street, Los Banos, CA 93635; 3) email blast to all businesses with email addresses in the City's business license database; 4) Los Banos Chamber of Commerce published in weekly e-blast to business community; 5) Los Banos Downtown Association emailed to association members.

F2: "The Treasury Department issued interim guidelines which we believe created a situation where cities were unclear until the final rule was adopted. " Response: The City applied and received approximately $9.8 million of ARPA funds based on the Revenue Replacement Category. The City reviewed public input at a City Council meeting and developed spending priorities based on this input.

F3: "County and Cities often relied on their established internal control procedures which varied between cities and relied on antiquated procedures on how to track funds." Response: The City has established internal controls for Federal Programs and applied these controls to the ARP A expenditures. These controls have proven effective during the Single Audits performed by our external auditors.

F 4: "Public opportunity for local input on the use of ARP A funding was inadequate. " Response: In order to engage the community on how to spend the ARP A funding, the City of Los Banos initiated a public outreach campaign using the City's social media platforms and the City's website to solicit participation in a community-wide survey hosted by Survey Monkey from October 21, 2021 to November 12, 2021. The City of Los Banos received 77 responses to the survey. The results of the community survey were presented during a public ARPA workshop with the City Council on November 23, 2021 which included a detailed power point presentation by the finance department. In addition, public comment was received during the ARP A workshop, which provided an opportunity for additional comment and input from the community.

On December 15, 2021, at a public meeting the City Council discussed, considered, and provided direction on a proposed ARP A spending plan. On February 2, 2022, at a public meeting discussed, considered and formally adopted an ARP A spending plan.

Consistent with public input, ARP A funding has been budgeted toward community priorities such as parks, municipal facilities, homeless services, infrastructure, economic assistance, public safety, and premium pay for City employees. 2 58
F5: "Criteria for determining the awarding of ARP A funds were often vague and confusing. "
Response: The City applied and received ARP A funds based on the Revenue Replacement Category
F6: "Decisions about how funds were spent were solely made by the City Councils or the Board of Supervisors in accordance with the Treasury Department Final Rule Guidelines that took effect on April 1, 2022. However, these procedures were not followed consistently. " Response: The City has expended ARPA funds based on the Spending Priorities approved by the City Council. Any changes to the Spending Priorities were brought back to the City Council in order to approve these changes. The City has only used these funds in accordance with these approved Spending Priorities.

F7: "During our investigation, we discovered Dos Palos and Livingston were quick to invest in identified needs immediately, whereas other cities retained their funds until the issuance of the Final Rule. "
Response: The Capital Projects identified in the Council Approved Spending Priorities went through several changes in design and thus delayed the actual construction.

These projects are currently under construction and the ARP A Funds are anticipated to be fully expended by the December 31, 2026 Deadline.

GRAND JURY RECOMMENDATIONS
RI: The County and its incorporated cities should develop policies and procedures keeping transparency and public input first and foremost for possible future occurrences of unexpected funding. Minimal Funding required. (FI)
Response: As a matter of process improvement, the City is continuously reviewing and updating policies and procedures to ensure transparency of the funding application process and inclusion of public input for future funding.

R2: Each Agency should designate at least one individual or office to serve as a onestop-shop for residents, small business owners, contractors, and other members of the business community. This individual(s) should provide guidance and recommendations to assist in determining eligibility for Federal, State or Local funds. Moderate funding required. (FI) Response: ARP A funds have been managed by the City of Los Banos Administrative Department (City Manager, Finance and Community and Economic Development), and outside agencies, businesses, and members of the public were made aware of how to access information.

The overall goal was to ensure that the public had access to information regarding ARP A Funds as well as access to the Department that is programming the funds. 3 59
R3: In addition to using internal controls, ARPA funds received should be audited regularly by an outside agency to ensure accountability and transparency. Moderate funding required. (F4)
Response: Regarding internal controls and auditing, ARP A funds were audited by the City's external auditors and are included in both the Annual Comprehensive Financial Report and the Single Audit Reports, both of which are available on the City's website.

R4: The amount of ARP A-related funding received, and its proposed usage, should be posted prominently on public agency's websites and social media sites detailing the receipt and distribution of all ARPA-related funds. Minima/funding required. (F2, F3, F5, F6,) Response: The City posted all the Council meeting regarding ARP A funds received and the proposed usage on the City's Council Meeting link on the City's main webpage. The City has posted these reports along with other program information as a link on the City's website.

R5: Cities and the County need to provide information to residents to easily track the amount of funding received and its usage including contracts awarded for ARP A related projects, progress on ARP A funded projects and the impact of the funding on their community.

Minima/funding required. (F2, F3, F4, F6)
Response: To ensure full transparency of City ARPA dollars, a link on the City's website includes all documentation, information, and periodic reporting for the City's ARP ASLFRF allocation.

Respectfully,
Paul Tualla, Acting City Manager
4 60
Merced County Grand Jury Final Report 2023-2024 (pages 43-66) 61 SUMMARY
American Rescue Plan Act Of 2021
Where the Money Went
The 2023-2024 Merced County Civil Grand Jury {Grand Jury) convened in July of 2023 with a commitment to fulfill the "watchdog" role ascribed to it by the California Penal Code §888- 939. 1 1
1 1
The Grand Jury fulfilled this obligation by investigating the receipt, accounting, safe-handling, transparency, and planned expenditure of millions of taxpayer dollars provided to the residents of Merced County due to federal legislation in response to the COVID-19 pandemic of 2020-2022.

For purposes of this report, the use of the term "ARPA funds" references the American Rescue Plan Act of 2021.

The Grand Jury investigated Merced County and its incorporated cities and met with city staff and elected officials, who had direct knowledge and responsibility for the management and distribution of ARPA funds.

In this report the Grand Jury submits recommendations, based on what, in the opinion of the Grand Jury, are believed to be best practices for the handling, distribution, and methods to provide transparency to residents of the use of ARPA funds for their cities.

BACKGROUND
The Merced County Civil Grand Jury received a citizen complaint which questioned the allocation of Small Business Grants with funds provided through the ARPA. The Jury has the authority to investigate, under California Penal Code §888-939.1 .l11
During this investigation, the Grand Jury broadened its scope to review how Merced County and its incorporated cities used ARPA funds. Most importantly, 43 62
the Grand Jury investigated whether Merced County and cities followed their own policies and procedures and how transparent was the process.

The 117th Congress (2021-2022) Bill H.R.1319 - American Rescue Plan Act of 2021, Public Law 117-2-Mar 11,2021, was signed into law on March 21, 2021, to support the immediate pandemic response, bring back jobs, and lay the groundwork for a strong and equitable recovery. The plan provided $1.9 trillion to states, counties, and cities (based on population) to speed the country's recovery from the economic and health effects of the COVID-19 pandemic. c 2 1
ARPA provided $350 billion dollars in the form of grant funds from the Federal Government to states, territories, Tribal governments, counties, and localities, generating a significant macroeconomic effect on the U.S. economy. The U.S.

Department of the Treasury (Treasury Department) also sought to implement the program in ways that maximized its potential benefits while minimizing its costs. It has done so by aiming to target relief in key areas according to the congressional mandate; offering clarity to states, territories, Tribal governments, and localities while maintaining their flexibility to respond to local needs; and limiting administrative burdensPI
The Treasury Department issued an interim final rule implementing the State and Local Fiscal Recovery Funds (SLFRF) program which was established by the ARPA funding on May 10, 2021. It has since disbursed over $240 billion to state, local, and Tribal governments and received over 1,500 public comments on the interim final rule. The first half of the ARPA funding was distributed on May 17, 2021. [
21 California has received over $43 billion in combined recovery funds from the American Rescue Plan Act of 2021, to mitigate the impacts of the COVID-19 Pandemic.131
The Treasury Department adopted the final rule on January 6, 2022, implementing the SLFRF program, with the effective date of April 1, 2022. On February 28, 2022, the Treasury Department released the updated Compliance and Reporting Guidance for the SLFRF program. This guidance is meant to 44 63
support recipients in complying with the final rule and provide clarification for each recipient's compliance and reporting responsibilities under the SLFRF program.

In addition to this guidance, recipients were to follow the award terms and conditions, the authorizing statute, the final rule and other regulatory and statutory requirements, including regulatory requirements under the Uniform Guidance and related Compliance Supplement.

The local funding portion is approximately $130 billion, equally divided between cities and counties. Localities will receive the funds in two tranches-the first after the U.S. Treasury Department certifies the proceeds to each jurisdiction and the second one year later.

For cities, $65 billion is divided between jurisdictions that are Community Development Block Grant (CDBG) entitlement jurisdictions and those that are not. $45.5 billion of the $65 billion will be allocated to metropolitan cities utilizing a modified CDBG formula, and the remaining amount for jurisdictions that are non-entitlement CDBG, will be allocated according to population. For the nonentitlement jurisdictions, the amount will not exceed seventy- five percent of their most recent budget as of January 27, 2020. Additionally, non-entitlement jurisdictions proceeds will be allocated through the state for redistribution to local governments.14
1 For counties, $65 billion will be allocated based on the county's population.

Counties that are CDBG recipients will receive the larger of the population or CDBG-based formula.

Eligible uses of these funds include:
• Revenue replacement for the provision of government services to the extent of the reduction in revenue due to the ARPA public health emergency, relative to revenues collected in the most recent fiscal year prior to the emergency,
45 64
• ARPA expenditures or negative economic impacts of ARPA, including assistance to small businesses, households, and hard-hit industries, and economic recovery,
• Premium pay for essential workers,
• Investments in water, sewers, and broadband infrastructure.

Restrictions on the uses of these funds include:
• Funds allocated to states cannot be used to directly or indirectly to offset tax reductions or delay a tax or tax increase.
• Funds cannot be deposited into any pension fund.

Implementation of ARPA relief package was an extensive process as new or updated guidance and FAQs were developed and released by the Treasury Department.

For example, the legislation requires each jurisdiction's designated executive to "certify" that the funds were to be used for eligible purposes.

The Government Finance Officers Association (GFOA) will provide regular updates as information becomes available. If you have specific questions or need clarification, GFOA launched an online portal to gather member questions to help shape engagement and solicit answers from the Administration For many jurisdictions, the funding provided under ARPA is substantial and could be transformational for states and local governments in their pandemic rescue and recovery efforts. Elected leaders will need to decide how to best use the additional funding consistent with the ARPA requirements, which are very broad.

Finance officers play a critical role in advising elected leaders on the prudent spending of moneys received under ARPA. Finance officers are best positioned to help ensure the long-term value of investments and financial stability of its government using this one-time infusion of resources. When considering how to best advise elected officials and plan for the prudent use of ARPA funds, we (GFOA) offer the following outline of Guiding Principles for the use of ARPA funds.f51
46 65
There are seven major categories as enumerated by Congress interim rule.

1. Public Health and Negative Economic Impacts - Public Health mitigation efforts, medical expenses, behavioral health, and other public health services.

2. Negative Economic Impacts - assistance to small businesses, households, and others negatively impacted due to the economic impacts of the ARPA pandemic.

3. Public Health-Negative Economic Impact - Public Sector Capacity to support public sector workforce and rehiring.

4. Premium Pay - Public and private sector workers performing essential work.

5. Infrastructure - Necessary investments to improve water, wastewater, stormwater, broadband and public safety projects.

6. Revenue Replacement - Provide for government services impacted by the reduction of revenue due to the COVID pandemic.

7. Administrative - Cover expenses of employees or consultants to ensure program compliance, fiscal integrity, and facility costs. [aJ ARPA funds are for temporary and non-recurring expenditures and not for ongoing financial commitment.

The first half of ARPA funding was received by most Merced County cities in the summer 2021. The second half of the funding arrived in the summer of 2022. Funding must be encumbered by Dec 31, 2024, and spent by Dec 31, 2026.

The table below shows the ARPA funding received by Merced County and its incorporated cities in its two funding disbursements.
47 66
!M.irced Co\S'lty! Atwater Dos Palos Gustine Uvrgstoo Los Banos I Meroed Ci!} I ARPA DEPOSIT 2021 S.26.968.042 $3.535.571 S!llll.088 $570.227 $1,781.720 $4.008.432 $13,713,941 ARPA DEPOSIT 2022 $26 .968 .043 $3,535.571 $!161.088 S57022B Sl.781.720 $4,908.432 S 13.713.941 f11!~t!j..!J!t'iei $17,10!
P.i:!.u:"1d11Jinr~C~j !JS.066
!TOTAL ! $53 ,930,0-85 ! S7.oa8.250 ! S 1.322.178 ! $1.140.4.45 ! $3,563.44() l Sll.851.930 ! $27 A27 .882 ! Merced County and its incorporated cities received ARPA funds consistent with federal distribution requirements and had the authority over the use of these funds, subject to ARPA regulations. In addition, these decisions were made by elected officials at council and board meetings subject to the Ralph M. Brown Act.

METHODOLOGY
The Grand Jury investigated Merced County and its six incorporated cities with in-person interviews to discuss the receipt, accounting, disbursement and transparency of the uses of ARPA funds.

Grand Jury members met with finance directors, city managers, elected officials, and staff of the incorporated cities of Atwater, Dos Palos, Gustine, Livingston, Los Banos, Merced and the County of Merced, between December 2023 and March 2024 for in-depth interviews, which included discussions on the use of ARPA funds.

Members of the Grand Jury contacted Merced County and its incorporated cities for in-person interviews to discuss the receipt, accounting, disbursement, and transparency of the uses of ARPA funds.

The Grand Jury requested copies of documents regarding ARPA funding and its expenditures be sent to the Grand Jury, which included the receipt and planned allocation of ARPA funds, are as follows:

1. Copies of notices from the state of the ARPA award(s) to the City.

2. Copies of plans approved by the City Council for allocation of funds to various local programs.
48 67

3. Copies of established criteria and requirements used to determine awards and spending within the various programs.

4. A listing of each fund receipt from the ARPA

5. Listing of disbursements to date grouped by program.

6. Detail, listing by program, of commitments not yet disbursed.

7. Any internal report(s) evaluating the effectiveness of the ARPA on the City.

A request for information was sent to Merced County and the cities asking for a summary of their receipts and disbursements for ARPA funding and SLFRF reports. Whereas some cities were expedient with their requested information, others required multiple contacts to get the information requested.

DISCUSSION
The receipt, proposed use, and eventual distribution of ARPA funds has been an evolving process. To fulfill their "watchdog" responsibilities, the Grand Jury initiated contact with representatives of Merced County and its incorporated cities.

Generally, cities used ARPA funding for, public health, medical expenses, negative economic impact to small businesses, households, and others, provide premium pay to both the public and private sector workers performing essential work, infrastructure, and revenue replacement for administrative and government services due to the loss of revenue from the COVID-19 pandemic.

Merced County and its cities, like many of those across the country, were suddenly awash with millions of dollars. Federal interim guidelines as to how those funds should or could be spent were often unclear. The cities of Gustine and Los Banos used ARPA funding to provide small business grants of $5000- $25000 to their local small businesses. Local guidelines and a contact person were published on their application establishing a one stop shop for Gustine whereas Los Banos provided little to no information on theirs.

One City official from Dos Palos said the funding was an unanticipated "windfall" for their community which amounted to over a million dollars. Most cities were 49 68
concerned about how they could spend this funding. The Federal government's interim guidelines (issued in May 2021) laid out some, but not all requirements.

The Treasury Department adopted the final rule on January 6, 2022, implementing the SLFRF program, with the effective date of April 1, 2022. On February 28, 2022, the Treasury Department released the updated Compliance and Reporting Guidance for the SLFRF program. The SLFRF reporting/tracking requirements are designed to ensure that funds received as part of the SLFRF program are used for eligible purposes. There are three types of reporting requirements for SLFRF program funds:
• Interim Report
• Project and Expenditure Report
• Recovery Plan Performance Report
Recipients of the funds are required to report on how they spent or are spending the funds they received, and what the status is of ongoing projects funded by the program.

The reports will be collected through April 30, 2027. The SLFRF requires program and performance reporting to build public awareness, increase accountability, and monitor compliance of eligible uses. "We didn't want to do anything wrong and have to send the money back," said one official. This was a common situation not just in Merced County, but across the country according to media reports.

Mayors from across the U.S. pleaded for immediate action on billions of dollars targeted to shore up their finances and revive their communities. Some cities delayed investments to improve water, wastewater, stormwater, broadband and public safety projects. Dos Palos and Livingston has identified needs with water infrastructure issues.
"The cities wanted to get theirs, but we needed to be prepared." £ 61 States and cities were slow to spend federal pandemic money £ 61 so
69 According to an Associated Press news agency David A. Lieb• published (October 3, 2021) a review of the first financial reports due under law. States had spent just 2.5% of their initial allotment while large cities had spent 8.5%.

Many state and local governments reported they were still working on plans for their share of the $350 billion, which can be spent on a wide array of programs.

Though President Biden signed the law in March, the Treasury Department didn't release the money and spending guidelines until May.

Cities sometimes delayed decisions while soliciting suggestions from the public.f51
During the fall of 2021 the lack of final rules from the Treasury Department discouraged some cities from making firm decisions of how to allocate the funding as they awaited clarification regarding eligible uses.

During the pandemic of 2021 and early 2022, city halls were closed to the public with limited staff onsite and many employees worked remotely. Cities relied heavily on social media and city websites to inform businesses and residents of available ARPA funds. As might be expected, larger cities appeared to be able to communicate better than smaller cities with limited staff. As a result, Merced County and its incorporated cities developed preliminary usage lists, gathered public input from residents, held town hall meetings, and provided directions to staff. Others waited for a final determination from the Treasury Department before moving forward.

Finally, in January 2022, the Treasury Department released the final SLFRF rule "which will officially take effect on April 1, 2022. The final rule provides useful clarifications in some areas, and substantive expansions of eligible activities in others. rsJ
These are the seven major categories are monitored by the Treasury Department in the SLFRF reports final rule.
51 70

1. Public Health and Negative Economic Impacts - Public Health mitigation efforts, medical expenses, behavioral health, and other public health services.

2. Negative Economic Impacts - assistance to small businesses, households, and others negatively impacted due to the economic impacts of the ARPA pandemic. ARPA funding provided grants from $5,000- $25,000 to small businesses.

3. Public Health-Negative Economic Impact - Public Sector Capacity to support public sector workforce and rehiring.

4. Premium Pay - Public and private sector workers performing essential work.

5. Infrastructure - Necessary investments to improve water, wastewater, stormwater, broadband and public safety projects.

6. Revenue Replacement - Provide for government services impacted by the reduction of revenue due to the ARPA pandemic.

7. Administrative - Cover expenses of employees or consultants to ensure program compliance, fiscal integrity, and facility costs_r9 1 The following tables illustrate how Merced County, and its incorporated cities utilized their ARPA funds. All data in the following tables was obtained from submitted requested information, available public records, published council meeting minutes, agendas and budgets dated on or before Dec 31, 2023. 52 71
Merced County -ARPA Funds Summary
Amount received $53,936,085
IARPADEPOSIT2021 $26,968 ,042
IARPADEPOSIT2022 $26,968,043

1.Public Health $0

2. Negative Economic Impact $0

3. Public Health • Negative Economic Impact $0

4. Premium Pav $0

5. Infrastructure $0

6. Revenue Replacement $4,632,078
Project CF1 {Community Facilities 1 ) $6,663,087
Merced library Ha,-.jrails, Ballico Park Irrigation
Gustine Veterans Hall & ADA, Heooerson Pari<. Bat Removal LeGrand Community Hall. Yosemite Lake Boat Dock
LeGrand Municipal Court Roof Replacement, Courthouse Park Irrigation Santa Nella Roof Replacement, Le Grand Park Irrigation System Hot Coats Containers Courtywide, Heooerson Park Split Rail Fencill? livif'ltston Veterans Hall Water Repair, Spring Fair. Water System/Irrigation HVAC: Ballico Veterans Hat~ Yosemite lake Walking Pier
HVAC: Courthouse Museum, HVAC: W111ton Veterans Hall
HVAC: DelHaleCommunity Hall, HVAC: GerminoBuilding
HVAC: ElNidoComrm.J1ityHal~ HVAC: LeGrand Muni Court
Uvir1tston Library Public Service Counter, HVAC: LeGraooVeteransHall Los Banos Library Public Service Courter, HVAC: Planada Community Hall HVAC: WintonC ommunitv Hall, HVAC: Stevinson Veterans Halt Merced Librarv Book Elevator Replacemert, Le Grand Librarv Roof Broadway Park lrrigatiorvSidewalk/landscape
53 72
Project CF2 (Community FadUties 2) SU,059,500
HVAC:AtwaterVeterans Hall, Atwater library Plblic Service Counter HVAC: Delhi SeniorCitizensCenter, Gustine library Public Service Counter HVAC: H ilmar C omm.mitv Hal~ Hoffman Teen Center Construction HVAC: Los Banos Veterans Hall, Delhi Parkland Purchase
HVAC: Merced library, Le Grand Veterans Hall Roof
HVAC: Countv Administration Bulding, Old Courthouse Museum Roof Project CF3 (CommW1ity FadUties 3 ) $4,600,000
C omml.llity Park 42 Project
Delhi Education Park Restrooms
FrankUn Beachwood Ernironmentaland Park Design
Santa Nella Park Ernironmentaland Park Design
Germino Building Retrofit
Hagaman Park Restrooms
Project CS1 (COVID-19 Support 1 ) $302,428
EMFLA for employees
Administrative and Sick leave
Data Collection Management
Outreach eouipment
Personal protective equipment
Vaccination C lini<:s
Support costs, includiJ'll: software, s1.4>plies, janitorial service Project CS2 (COVID•19 Support 2 ) $100,000
Items included in this project are related toARPAcommunitye~ aJfemert Project CS3 (COVID-19 Support3 ) $350,000
This project was established cilril'll the 2022 reporti ll!: period as part of This project was removed as part at the ARPA tramev.ork by the Board at Project FC1 ( Black Rascal Creek Rood Control Project 1 ) $7,200,000 !Project PP1 ( Pandemic Payment 1 ) $3,ooo,ooo 1
11 $4,000,000
he County currently operates a Homeless NavigationCenterthat prOlides 54 73
!Project PS1 ( PubUc Safely 1 ) I $6,500,000
!Funds allocated under this proiect will be used towards employee salaries I !Project RD 1 (Roads 1) I $10,000,000

7. Administrative I $0
Totals I $58,407,091
Unencumbered Funds I $0
Non ARPA Funds I $4,471,006
ATWATER-ARPA Funds Summary
Amount received $7,071,142
ARPA DEPOSIT 2021 $3.535.571
ARPA DEPOSIT 2022 $3.535.571
Interest other $17.108
Grand Total $7,088,250

1.Public Health $0

2. Nee.ative Economic Impact $0

3. Public Health· Nega tive Economic Impact $0

4. Premium Pay $602,188
Premium Pav to Essential Wrkrs $409.293
COVI0 Related EmP1ovment Exo $192.895

5. Infrastructure $6,201,487
Fruitland Ave Rd lmprOiements $1.047,936
Civic Building-Civic Center #1 $1,067,889
Police Dept RemocleVRehab $340.296
Civic Buildin11;-Civic Center#2 $2,025.239
HVAC Retrofit System PD Dept $12.502
55 74
HVAC Retrofit System Youth Center $22,399
Broadwav Ave ReTaskin~Trafffc $1.000
C ftv-Wide lil!htin I! $0
City-Wide Security $67,308
Cedar and First Parking lot $150,000
Osborn Park Renovation $558,625
Third & Atwater Blvd Sidewalks $59,988
C i'tV Council Chambers lmprovmt $27,517
Palm/Bellevue ST/SLWKlmprov. $157.255
Station 41 Flooring $55,533
Ralston Park Restrooms $1.000
Third & Fourth Alley Pavement $6.000
Shaffer/Brownell .Alley Pavemern: $1,000
First Street Overlay $600,000

6. Revenue Replacement $0

17. Administrative $574,461
Drop In $30.060
Recreation & Community Events $44,218
Professional Services $112,795
Memberships & Subscriptions $7,518
Professional Services $247,912
Machinery& Equipment $131.958
Totals $7,378,136
Unencumbered Funds
Non ARPA Funds Ull,118
56 75
DOS PALOS - ARPA Funds Summary
Amount received $1,322,176
!ARPA DEPOSIT 2021 $661,088
IARPA DEPOSIT 2022 $661,088

1.Publlc Health $0

2. NeKatlve Economic Impact $0

3. PubUc Health• Negative Economic Impact $0

4. Premium Pay $0

5. Infrastructure $1,322.176
I Rehabilitate 750,000 Gallon water tank $1,322,176

6. Revenue Replacement $0

7. Administrative $0
Totals $1,322.176
Unencumbered Funds $0
Non ARPA Funds
57 76
GUSTINE - ARPA Funds Summary
Amount received $1,140,445
ARPA DEPOSIT 2021 $570.227
ARPA DEPOSIT 2022 $570.228

1.Publk Health $0

2. Negative Economic lmoact $141,176
209 Multi Media Corporation $70,000
Kennv Pham (Mimi's Nails and Spa) $2,500
Hair's the Place {Joyce M. Gaetano) $3.905
Monica M Barnes (Cornerstone Dance} $4,971
Vance L Wolf sen (Wolfs en Meat & Sausage) $2,500
Jennifer McDonald (Gustine Club) $2.500
Patricia A Test (Pat's House of Beauty $5,000
Pastime Club LLC (William R. Marsigli) $5,000
A,l!ed to Perfection (Sherri M Marsigli) $5,000
satvador Lupian Manzo (El Piscosito) $7.500
Jennler· Suzanne ViUalObos (A Crafter's Paradise) $5.000 Bazil AU Thabit (Texas Burger Drive LLC) $2,500
Me!!an Ventura (Ventura Fitness &Training) $2,500
James D Freitas {Perry's More than Piua) $5,000
Mikayla Parreira (MK Sal.on & Boutique $5,000
Kenneth M Lopes (Ken's Cobblery ) $4,800
Martin Godinez (Martin Godinez Carmona ctba MG Bakery $5,000 Jonathan Rober1 Flanaitan (Four of Hearts Screen Printin1!) $2.500

3. Public Health - Negative Economic lmoact $0

4. Premwm Pay $37,960
Payroll-Workers Pay $30,127
Payroll-Workers Taxes $6,932

15. Infrastructure $200,000
Water Sewer Line Ma ppinfl. $200,000
~. Revenue Reolacement $183..863
i7. Adrnlntstrati'ff $0
Jotals $562,099
Unencumbeied Funds $578,346
Non ARPA Funds
58 77
LIVINGSTON - ARPA Funds Summary
Amount received $3,563 ,440
ARPA DEPOSIT2021 $1,781,720
ARPA DEPOSIT2022 $1,781,720

1.Public Health $0

2. Negative Economic Impact $0

3. Public Health• Negative Economic Impact $0
-' . Premh.m Pay $344,480

15. Infrastructure $2 563,131
Wetl8A $2,000,000
Disc and Ripper Tractor- Utility Rate Study $188,131
Emergerx:y Repairs Wastewater Treatment Plant $375,000
$ . Revenue Replacement $0

7. Administrative $0
Totals $2,907,611
Unenci.mbered Funds $655,830
Non ARPA Funds
59 78
LOSBAN05-A 'A Funds 5ummary
Amount received $9,851,930
ARPADEPOSIT2021 $4 ,908,432
ARPA DEPOSIT 2022 $4.908,432
Refund from RAD Card Prow-am $35,066

1. Public Health $187,284
Young's AirConditionirl{ $108,668
The Radar Shop Inc. $540
lN Curtis & Sons $4,788
Proforce law Enforcement $30,059
Victory Tactical Gear LLC $12,332
Cook's Communications $12,434
Pen-link l TD $19,553
Truck Vault Inc $7,475
US Bank Corp $13,174
AT&T Mobility $39
Proforce law Enforcement $9,030
Penlink.Computer $5,349

2. Negative Economic Impact $1,200,600
Merced County Hl.l'TianServices $200,000
US Bank Coro $2,500
law Office of William Vaughn $225
RAD Card Funding $514,375
Elaine Cory (Central Hotel) $25,000
Kenneth Lambert (Bi~ ins Texas BBQ) $25,000
IE M lnnovationEngineering Modular (Monica Herradorl $25,000 Jimmy W&{r)e Dueval (To~·s Rendezvous) $25,000
Reginald S Grimes (The Academy of Performing Arts and Fitness} $25,000 Donna Koblis ( Body Transformations) $25,000
Che my Francine Tumer(Tumer's Dance Explosion) $25,000
Los BanosChamberofCommerce (Michelle Sando.tall $25,000 Mount BrON lodli!e82 (l arrv Johnson) $25,000
Jose M Parra (RP Communication) $5,000
Ziad Husein (The Fun Zone) $15.000
BK Beauty Services Ire. ( Baijeet Kour Sirgh} $8,000
Maria T ostada (Westside E lderty Care) $6.000
Santa Martinez Ortiz (ColrtVard Mimosas} $19,000
El Behemio Sport Bar Inc. (Rafael R. Jurado) $10,000
60 79
Jenifer Correia (Crossfit Valleyview} $15,000
Crystal Martinez (Sheen Riah) $12,100
Tori D. Gonzalez (lDJ &Associates PhotOClraDhvl $5,000
Maria Lou Vierra (Lou's Beauty Salon) $15,000
Miguel Alejandre (Cofll)oundGrounds LLCJ $20,000
Patricia Reyes (Jesse's Bar} $20,000
Rav lewis Walton ( le ~ ue of United African American Citizens ILUAAC 11 $7,500 Karia Navarro Sevier (Hair by Karla) $7,500
Los Banos Elks Lodge No. 2510 $24,987
Pedro L Cintora (Pete's BarberShop) $20,000
Anthonv M Parolise IParoUse Chirooractic Office} $11,500 ChesterD Holi!ue ICentralVaHev GEEKS} $10,000
Strike Fitness LLC, (Amber Pope} $25,000
Gic,.,anni Rodrili!Uez (Giovanni Rod~ uez Hair} $15,000 Los Banos Elks Lodge No. 2510 -$25,987
C rvstat Martinez (Sheen Riahl $12,900
13 . Public Health· Negative Economic Impact $0
" . Premhn Pay $2.251 ,438
Payroll-Workers Benefits $159,438
Payroll-Workers Pay $2,092,000
5 , Infrastructure $313,993
AnthonvGomes $2,337
C aUander Assoc landscape Architect $26,388
Electro-Mech Scoreboard Co $11,800
HalcyonCreek Inc. $9,260
Law Office of William Vau2hn $563
Romy's Inc $245,054
SIJ Holdirl?s Inc $315
US Bank Corp $375
Valley Iron Inc. $2,036
I Ouad Knoof. Inc. $15,866
16 . Revenue Replacement $6,409,183

7. Adminstrative $225
LawOfficeofWilliamVaughn $225
ifotals $10,398 ,879
Unencumbered Funds
Non ARPA Funds $546,949
61 80
Merced City ARPA Funds Summary
Amount received $27,427.882
!ARPA OEPOSIT2021 $13. 713.941
!ARPA DEPOSIT 2022 $13. 713.941
t.Public Health $523.046
COVID-19City Expense $523.046

2. Negative Economic lms,Kt $0

3. Puhlic Heahh - Neeetive Economic Impact $0
~- Premium Pav $1,000,000
Stimulus Payments $1,000.000

5. Infrastructure $13,861,400
Bob Hart Square Expansion $800,000
Broadband Infrastructure $2.660,000
M alnstreet T rafficD irectional Enc ha ncem ent $750,000 Park.lets/Beautification $200,000
Water Infrastructure $2.500.000
Communiy Park#42 $4,536.400
~pplegate Zoo Reoovation/Expa nsion $2.000.000
~pplegate Restroom $425,000

6. Revenue Replacement $13,885.686
Parklets/Beautification project-CP240043 $3}3.686
Provision of Government Services $20,000
Non-Profit Support $7.500.000
UtiUty BiU Relief $1,500.000
Stimulus Payments $1,000,000
Job Traini~ Pr(l!ra m $772.000
Expanded Youth Programs $2,200.000
?.Administrative $250.000
Supplies and Services $250,000
Totals $29,520.132
Unencumbered Funds
Non ARPA Funds $2.092,250
62 81

FINDINGS
F1: Local guidelines for the awarding of Small Business grants by the city of Los Banos were not clearly defined or adequately publicized despite numerous requests from the public.

F2: The Treasury Department issued interim guidelines which we believe created a situation where cities were unclear until the final rule was adopted.

F3: County and Cities often relied on their established internal control procedures which varied between cities and relied on antiquated procedures on how to track funds.

F4: Public opportunity for local input on the use of ARPA funding was inadequate.

FS: Criteria for determining the awarding of ARPA funds were often vague and confusing.

F6: Decisions about how funds were spent were solely made by the City Councils or the Board of Supervisors in accordance with the Treasury Department Final Rule Guidelines that took effect on April 1, 2022. However, these procedures were not followed consistently.

F7: During our investigation, we discovered Dos Palos and Livingston were quick to invest in identified needs immediately, whereas other cities retained their funds until the issuance of the Final Rule.

RECOMMENDATIONS
R 1: The County and its incorporated cities should develop policies and procedures keeping transparency and public input first and foremost for 63 82
possible future occurrences of unexpected funding. Minimal Funding required. (F1)
R2: Each Agency should designate at least one individual or office to serve as a one-stop-shop for residents, small business owners, contractors, and other members of the business community. This individual(s) should provide guidance and recommendations to assist in determining eligibility for Federal, State or Local funds. Moderate funding required. (F1) R3: In addition to using internal controls, ARPA funds received should be audited regularly by an outside agency to ensure accountability and transparency. Moderate funding required. (F4)
R4: The amount of ARPA-related funding received, and its proposed usage, should be posted prominently on public agency's websites and social media sites detailing the receipt and distribution of all ARPA-related funds. Minimal funding required. (F2, F3, FS, F6,)
R5: Cities and the County need to provide information to residents to easily track the amount of funding received and its usage including contracts awarded for ARPA related projects, progress on ARPA funded projects and the impact of the funding on their community. Minimal funding required. (F2, F3, F4, F6)

REFERENCES
t
1 1 California Legislative Information, Penal Code, Part 2, Title 4, Chapter 3, Article 2, Section 925. Published 1977. Accessed March 17, 2022, from https://leginfo.legislature.ca.gov/faces/codes displaySection.xhtml?lawCode=PE N& sectionNum=925.
1 21 United States Department of Treasury Department, "Coronavirus State and Local Fiscal Recovery Funds," Final Rule. Federal Register, Vol. 87, No. 18, Rules and Regulations. Published January 27, 2022. Accessed March 21, 2022, from 2022-00292. pdf (govinfo.gov)
64 83
r
3 1 Department of Finance.ca.gov/budget/state-fiscal-recovery-fund/ State Fiscal Recovery Funds
r
4 1 AMERICAN Rescue Plan Spending: Recommended Guiding Principles from American Rescue Plan Spending: Recommended Guiding Principles (gfoa.org) rs1us Department of Treasury Management contact GFOA-Treasury and Management Best Practices
r
5 1 Associated Press, "States and cities slow to spend federal pandemic money." Published October 3, 2021. Accessed March 21, 2022, from AP: States and cities slow to spend federal pandemic money I AP News
l7l Teasury.gov/news/press-releases Treasury Issues Final Rule for State and Local Fiscal Recovery Funds Program to Support the Ongoing COVID Response I U.S. Department of the Treasury
rs1 mrsc.org/explore topics/finance/revenues/American rescue plan Interim rule MRSC -American Rescue Plan Act (ARPA)
1 9
1 https://home.treasury.gov/system/files/136/SLFRF-Final-Rule.pdf SLFRF-FinalRule.pdf (treasury.gov)

REQUESTS FOR RESPONSES
Pursuant to Penal Code Section §933.5, the following responses are required written in 60 days.
• Merced County Board of Supervisors. Response to R-1 through R-3. • Merced County CEO. Response to R-1 through R-5.
• County Councils of the incorporated cities of Atwater, Dos Palos, Gustine, Livingston, Los Banos and Merced. Responses R-1 through R-5.

The following responses are required within 90 days.
• City Managers of the aforementioned incorporated cities. 65 84
Responses are to be submitted to the Presiding Judge of the Merced County Superior Court in accordance with Penal Code Section §933.05.

DISCLAIMER
Reports issued by the Grand Jury do not identify the individuals who have been interviewed. Penal Code § 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
66 85

THIS PAGE IS INTENTIONALLY LEFT BLANK
86 LOsBanos
l tht· Crossroads of Calij,,rnia
Agenda Staff Report
TO:

FROM:

Mayor Amabile & City Council Members
William A. Vaughn, City Attorney
DATE: February 5, 2025
SUBJECT: Ordinance Relating to City Manager
TYPE OF REPORT: Regular
Recommendation:

Staff recommends that the City Council consider waiving the first reading and introduce the following ordinance:

ORDINANCE NO.

AN ORDINANCE OF THE CITY OF LOS BANOS AMENDING SECTION
2-3.126 OF ARTICLE 1 CHAPTER 3 TO TITLE 2 OF THE LOS BANOS

MUNICIPAL CODE RELATING TO CITY MANAGER
Background:

On April 19, 2023 the City Council repealed Section 2-3.126 subsection (a) of the Los Banos Municipal Code which provided that the city manager could be removed or suspended only on an affirmative vote of three members of the city council. The repealed language stated:
(a) The removal or temporary suspension of the City Manager shall be only upon an affirmative vote of three (3) or more members of the City Council in a regular or special City Council meeting, at the sole discretion of the City Council, with or without cause and without right of appeal.

ITEM 10
87 Section 2-3.126 subsection (a) was repealed to resolve the conflict between the employment Agreement of Josh Pinheiro requiring a 5-0 vote for termination and the then provisions of the Municipal Code. Currently the Municipal Code reads as follows:

Sec.2-3.126 Removal: Suspension.

The removal or temporary suspension of the City Manager shall be subject to all applicable laws and ordinances and applicable provisions of the City Manager Employment Agreement.

Discussion:

This amendment will reinstate the previously repealed language of subsection (a) as follows:

Fiscal
Sec.2-3.126 Removal: Suspension.
(a) The removal or temporary suspension of the City Manager shall be only upon an affirmative vote of three (3) or more members of the City Council in a regular or special City Council meeting, at the sole discretion of the City Council, with or without cause and without right of appeal.
(b) The removal or temporary suspension of the City Manager shall be subject to all applicable laws and ordinances and applicable provisions of the City Manager Employment Agreement.

None.

Conclusion
Staff will be available to answer any questions.

Reviewed by:

Paul Tualla,
Acting City Manager
Attachments:

Proposed Ordinance
88 ORDINANCE NO.

AN ORDINANCE OF THE CITY OF LOS BANOS AMENDING SECTION
2-3.126 OF ARTICLE 1 CHAPTER 3 TO TITLE 2 OF THE LOS BANOS

MUNICIPAL CODE RELATING TO CITY MANAGER

THE CITY COUNCIL OF THE CITY OF LOS BANOS DOES ORDAIN AS FOLLOWS:

Section 1. Section 2-3.126 of the Los Banos Municipal Code is hereby amended to read as follows:

Sec.2-3.126 Removal: Suspension.
(a) The removal or temporary suspension of the City Manager shall be only upon an affirmative vote of three (3) or more members of the City Council in a regular or special City Council meeting, at the sole discretion of the City Council, with or without cause and without right of appeal.
(b) The removal or temporary suspension of the City Manager shall be subject to all applicable laws and ordinances and applicable provisions of the City Manager Employment Agreement.

Section 2. To the extent that the terms and provisions of this Ordinance may be inconsistent or in conflict with the terms or conditions of any prior City ordinance, motion, resolution, rule or regulation governing the same subject, the terms of this Ordinance shall prevail with respect to the subject matter thereof and such inconsistent or conflicting provisions of prior ordinances, motions, resolutions, rules or regulations are hereby repealed.

Section 3. If any section, subsection, subdivision, paragraph, sentence, clause or phrase added by this Ordinance, or any part thereof, is for any reason held to be unconstitutional or invalid or ineffective by any court of competent jurisdiction, such decision shall not affect the validity or effectiveness of the remaining portions of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, clause or phrase thereof irrespective of the fact that any one or more subsections, subdivisions, paragraphs, sentences, clauses or phrases are declared unconstitutional, invalid or ineffective.

Section 4. The proposed amendments to the Los Banos Municipal Code do not propose any changes to City policies or regulations that would result in a direct or indirect physical environmental impact; therefore it has been determined that this ordinance amendment is covered by the general rule that the California Environmental Quality Act applies only to projects which have the potential for causing a significant effect on the environment pursuant to CEQA guidelines section 15601(b)(3) and is not subject to environmental review. 89 Section 5. This Ordinance shall go into effect and be in full force and operation thirty (30) days after its final passage and adoption. The City Clerk shall certify to the adoption of this Ordinance and cause the same to be posted and published once within fifteen days after passage and adoption as may be required by law; or, in the alternative the City Clerk may cause to be published a summary of this Ordinance and a certified copy of the text of this Ordinance shall be posted in the Office of the City Clerk five days prior to the date of adoption of this Ordinance; and, within fifteen days after adoption, the City Clerk shall cause to be published, the aforementioned summary and shall post a certified copy of this Ordinance, together with the vote for and against the same, in the Office of the City Clerk.

Introduced by Council Member ____ and seconded by Council Member _____ on the __ day of _ _ __ ., 2025.

Passed on the _ _ day of _ ___ ~ 2025 by the following vote:

AYES: Council Members
NOES:

ABSENT:

APPROVED:

Michael S. Amabile, Mayor
ATTEST:

Lucille L. Mallonee, City Clerk
90 TO:

FROM:

DATE:

LOsBanos
Agenda Staff Report
Mayor & Council Members
Lucy Mallonee, City Clerk ~
William A. Vaughn, City Attorney
February 5, 2025
SUBJECT: Options for Calling a Special Election to Fill the Vacancy Created by Councilmember Lambert's Resignation
TYPE OF REPORT: Regular Agenda
Recommendation:

Staff recommends that the City Council take the following actions:

1. Consider and give direction to staff regarding whether the Council prefers that the special election required to fill the vacancy left by Councilmember Lambert's resignation on January 15, 2025, be conducted on August 26, 2025, solely by mail or on November 4, 2025, with mail and in-person options.

Background:

On January 15, 2025, Councilmember Lambert resigned from the Council, effective immediately. Under the Government Code, the Council has sixty (60) days to direct the manner by which the vacancy is to be filled. The deadline for the Council to take action to fill the vacancy in District 1 is March 16, 2025.

Discussion:

In most circumstances, the Council has the option of appointing a new councilmember to fill the vacancy or calling a special election. Cal. Govt. Code§ 36512(b). However, the Government Code provides, "an appointment shall not be made to fill a vacancy on a city council if the appointment would result in a majority of the members serving on the council having been appointed." Id. at subd. (d)(1 ). In such a circumstance, the Council must call 1 ITEM 11
91 a special election "to be held on the next regularly established election date not less than 114 days after the call." Id. at subd. ( d)(2).

Currently, the two councilmembers representing Districts 2 and 3 hold their seats by means of appointment to fill vacancies resulting from the recall elections in November.

Appointment to fill Mr. Lambert's vacancy would result in a majority of the Councilmembers being appointed, so a special election is required. However, there are options regarding the timing and conduct of such elections, and staff seeks direction from the Council.

The next "regularly established election date" not less than 114 days from today is November 4, 2025. Cal. Elec. Code § 1000(e). However, because Los Banos has a population of less than 100,000, it also has the option of calling an all-mail ballot special election on August 26, 2025, pursuant to Elections Code §§ 1500(b) and 4004. An election conducted at the November date would be a traditional combination of mail and in-person voting.

Staff therefore seeks direction from the Council as to whether it wishes to order the special election to be held in August by mail Q[ in November. Staff would then bring back a resolution for the Council's adoption to call that election at the Council meeting on February 19, 2025.

Fiscal Impact:

There will be a cost associated with the conduct of the special election, as the City is required to reimburse the County for the costs of conducting the election. Based on the cost estimates provided by Merced County, the estimated costs of conducting an all-mail ballot special election in August or November would be $45,545, and the estimated costs of conducting a mail and in-person special election in November would be $76,315.

Reviewed by:

Paul Tualla, Acting City Manager
Attachment:

Quote from Merced County Registrar of Voters date January 27, 2025 2 92
i
MEfiCED~

C O U NTY

REGISTRAR OF VOTERS
January 27, 2025
Melvin E. Levey
Registrar of Voters
2222 "M" Street
Merced, CA 95340
Main: (209) 385-7541
Fax: (209) 385-7387
Toll-free: (800) 561-0619
www.mercedelections.org
Thank you for the Merced County District Election Cost Estimate request you submitted on January 22, 2025. The following is only an estimate and final calculations would be based on the number of contests on the ballot, number of active registered voters, and other factors contributing to actual costs. These may vary from the information currently available. We bill all participating Districts using a shared weighted cost factor. This allocation method fairly spreads election costs based upon the number of registered voters in a jurisdiction and how many separate candidate and/or measure contests each District has on the ballot. A stand-alone election would place all costs on the District.

We have based your estimate on the following information:
• 1 Candidate Contest Races
• Up to 4 Candidates on Ballot
• Stand Alone costs based on historic Special District Elections costs and/or current actual costs of services
• Current active registered voters in the City of Los Banos Council District 1 - 5061 • Percentage range of weighted allocation is 100% based on o No other local District participation.
• Average actual costs of the last two Statewide General Elections • All Mail Ballot election or In-Person Voting election quotes below We estimate the cost to the City of Los Banos will be $45,545.00-AII Mail Ballot or $76,315.00- ln-Person Voting Special District Election.

If you have any further questions, please reach out to our office, we will be happy to assist you.

Respectfully,
Cynffi uhr I Staff Services Analyst II
Merced County Elections
2222 M St. Merced, CA 95340
(209) 385-7541
[email protected]

STRIVING FOR EXCELLENCE
93