2.c.v below.
ii. Final Awards of Costs that do not exceed seventy-five thousand dollars ($75,000.00) will be paid next in priority after the Special Master’s approved invoices.
iii. Final Awards of Costs in excess of seventy-five thousand dollars ($75,000.00) will be paid proportionally from the funds remaining in that year’s Annual Payment. iv. Any claim for Costs that is not paid in full will be allocated against the next year’s distribution from the CA Subdivision Fund, until all approved claims for Costs are paid in full.
v. In no event will more than 50% of the total CA Subdivision Fund received in any year be used to pay Costs or the Special Master’s approved invoices. vi. In no event shall more than $28 million of the total CA Subdivision Funds paid pursuant to the Walmart Settlement Agreement, Teva Settlement Agreement, Allergan Settlement Agreement, Distributor Settlement Agreement, CVS Settlement Agreement, Janssen Settlement Agreement, and the Walgreens Settlement Agreement be used to pay Costs.
DocuSign Envelope ID: 62527754-3392-4CEE-9F2C-36944FE4570D 1 9
d) Collateral Source Payments and Third-Party Settlement. i. In the event a Plaintiff Subdivision is awarded compensation, in whole or in part, by any source of funds created as a result of litigation against an Opioid Defendant for its reasonable Costs, it will reduce its claim for Costs from the CA Subdivision Fund by that amount. If a Plaintiff Subdivision has already received a final award of Costs from the CA Subdivision Fund, it will repay the fund up to the prior award of Costs via a payment to the Settlement Fund Administrator or notify the Settlement Fund Administrator that its allocation from the next and subsequent Annual Payments should be reduced accordingly. If the Plaintiff Subdivision is repaying any prior award of Costs, that repayment will occur as soon as is feasible after the Plaintiff Subdivision’s receipt of Cost funds from the collateral source, but no more than 90 days after its receipt from the collateral source. The Settlement Fund Administrator will add any repaid Costs to the CA Subdivision Fund. Any Plaintiff Subdivision that has submitted for reimbursement to any national fund and has not received a final determination by the First Claims Date may request that the settlement administrator withhold some or all of its payment from the CA Subdivision Fund in order to avoid repayment.
ii. In the event a Plaintiff Subdivision reaches a monetary settlement or compromise against any Opioid Defendant outside of the National Opioid Settlement, the monetary portion of such settlement, net of fees paid to outside contingency fee counsel and of funds earmarked strictly for abatement, will be credited against its Costs and the subdivision will be ineligible to recover those credited Costs from the CA Subdivision Fund. Plaintiff Subdivisions negotiating monetary settlements or compromises against any Opioid Defendant outside of the National Opioid Settlement will negotiate for funds to repay any Costs it previously received from the CA Subdivision Fund or for Costs it otherwise might be eligible to claim from the CA Subdivision Fund. If such a settlement is paid after all final approved claims for Costs by all Plaintiff Subdivisions are satisfied in full, the settling subdivision will reimburse the CA Subdivision Fund in that amount by making payment to the Settlement Fund Administrator to add to the CA Subdivision Fund in a manner consistent with the repayments described in section 2.d.i above.
DocuSign Envelope ID: 62527754-3392-4CEE-9F2C-36944FE4570D 1 APPENDIX 3
CALIFORNIA-SUBDIVISION BACKSTOP AGREEMENT
On August 6, 2021, Judge Polster of the US District Court for the Northern District of Ohio issued an Order (the Order), docket number 3814, in In Re National Prescription Opiate Litigation, MDL 2804, addressing contingent attorney fee contracts between political subdivisions eligible to participate in the Walmart Settlement and their counsel.
In light of the Order, and at the request of [SUBDIVISION], the [SUBDIVISION], its counsel [COUNSEL], and the California Attorney General, on behalf of the State of California, are entering into this California-Subdivision Backstop Agreement (Backstop Agreement). [SUBDIVISION] and [COUNSEL] intend this Backstop Agreement to constitute a State BackStop Agreement as that term is used in the Order and in Exhibit R (Agreement on Attorneys’ Fees, Costs, and Expenses) of the Walmart Settlement Agreement.
Pursuant to this Backstop Agreement, [SUBDIVISION] may, subject to the limitations of the Walmart Settlement Agreement and CA Walmart Allocation Agreement, as well as any other limitations imposed by law, use funds that it receives from the Walmart Settlement CA Subdivision Fund to pay a contingent fee to [COUNSEL]. Any such payment from [SUBDIVISION] to [COUNSEL], together with any contingency fees that [COUNSEL] may receive from the national Attorney Fee Fund, will not exceed a total contingency fee of [PERCENTAGE NOT TO EXCEED 15%] of the total gross recovery of [SUBDIVISION] from the Walmart Settlement.
[COUNSEL] certify that they first sought fees and costs from the Attorney Fee Fund created under the Walmart Settlement Agreement before seeking or accepting payment under this backstop agreement. [COUNSEL] further certify that they are not seeking and will not accept payment under this backstop agreement of any litigation fees or costs that have been reimbursed through prior settlements or judgments.
The Attorney General is executing this agreement solely because the definition of “State BackStop Agreement” in Exhibit R of the Walmart Settlement Agreement requires such agreements to be between “a Settling State” and private counsel for a participating subdivision. Neither the California Attorney General nor the State of California have any obligations under this Backstop Agreement, and this Backstop Agreement does not require the payment of any state funds to [SUBDIVISION], [COUNSEL], or any other party.
[DATE] [SUBDIVISION SIGNATURE BLOCK]
[DATE] [COUNSEL SIGNATURE BLOCK]
[DATE] [ATTORNEY GENERAL SIGNATURE BLOCK]
DocuSign Envelope ID: 62527754-3392-4CEE-9F2C-36944FE4570D
REPORT TO THE CITY COUNCIL
Approved by: Council Meeting of: April 5, 2023
_________________________________ Agenda Number: _______ Will Tackett, Community Development Director
_________________________________
Arnoldo Rodriguez, City Manager
SUBJECT:
Informational Report on the City’s Cannabis Program
BACKGROUND:
This report is submitted for informational purposes only and there is no action requested from the City Council (Council).
SUMMARY:
Per previous adopted ordinances staff has been working on the implementation of the City’s Cannabis Program. The following is an update of previous and future actions. The Council established a previous goal of awarding 6 standard or microbusiness cannabis business permits and 2 social equity cannabis business permits. City staff kicked off the process by holding 2 informational Zoom meetings and notified over 100 interested parties on a city listserv to notify them of the meeting. The application filing period opened on April 15, 2022, and the informational Zoom meetings were held on April 19 and April 21, 2022. Dozens of interested parties joined both meetings. The deadline to submit applications was June 20, 2022 Phase I application process
Phase I of the process involved city staff issuing zoning verification letters and answering further questions by email or phone. The city received twenty-six Standard and (2) Social Equity applications by the application deadline. Hdl verified applications for completeness and the application guidelines gave applicants 5 days to “cure” incomplete applications. After the completeness review and the 5-day cure period, all 28 applications were deemed complete.
E-1
Phase II application process
The 28 applications were scored by HdL pursuant to evaluation criteria in the application procedures and guidelines. Applicants had to score 90 percent or higher to be able to continue in the process. All but one of the 26 standard applications scored over 90 percent. Both social equity applicants scored over 90 percent.
All applicants were notified of their Phase II scores. The Application Guidelines state that the City will advance a minimum of 10 of the highest scored applications to a Phase III meeting.
The guidelines further state the City has the option of advancing more than 10 applicants to the Phase III meeting. The City invited the top 18 scored Standard applicants and 2 Social Equity applicants to a future Phase III meeting by email and first class certified mail. Eight applicants were notified they would not be advancing to the Phase III meeting by email and first-class certified mail and were advised of their appeal rights.
Hearing Officer and Appeal Fee City Council Resolution
On October 19, 2022 the City Council adopted a Resolution establishing appeal fees for cannabis applicants appealing denied applications to an Administrative Hearing Officer and/or City Council. On November 16, 2022 the City Council appointed Summer L. Nastich, Attorney at Law as the City’s Cannabis Administrative Hearing Officer.
Phase III Meeting and Appeals Process
There will be 2 Phase III meetings that are anticipated to be held once those that were not invited to advance to Phase III exhaust their appeal rights. As of the January 2023 deadline, three appeals had been received by the City Clerk’s Office. Staff will schedule 2 Phase III meetings (1) each for Standard and Social Equity Applicants once the appeals process is resolved.
February 8, 2023 Closed Session
At a February 8, 2023 meeting, the City Council met with the City Attorney to receive an update. The Council provided direction to Legal Counsel. No public actions have occurred since that time.
Phase IV City Council meeting
After the Phase III meeting, the City Manager will advance staff recommended applicants to the City Council for consideration of awarding Cannabis Business Permits.
ALTERNATIVES:
This report is for informational purposes only.
REPORT TO CITY COUNCIL
Approved by: Council Meeting of: April 5, 2023
_________________________________ Agenda Number: ___________ Dino Lawson, Chief of Police
_________________________________
Arnoldo Rodriguez, City Manager
SUBJECT:
Rental Housing Inspection Program Update
RECOMMENDATION:
This report is submitted for informational purposes only, and there is no action requested from the City Council (Council)
SUMMARY:
During the March 15, 2023, meeting, the City Council requested that staff schedule this item for future discussion.
Council adopted the Rental Housing Inspection Program Ordinance at its June 21, 2017 meeting to address the issues associated with substandard rental properties. This allowed Code Enforcement to inspect rental units periodically to ensure they are safe and habitable.
DISCUSSION:
The Rental Housing Inspection Ordinance requires rental housing units to be registered with the City. Registered dwellings are subject to routine inspections to ensure compliance with the Madera Municipal Code and the Health and Safety Code.
Registration
Code Enforcement researches residential rentals that have yet to comply with the City’s rules and regulations. A 30-day notice is delivered to property owners to submit applicable registration forms upon discovering noncompliance. Staff is responsible for reviewing registration forms and determining if the property is eligible for inspection or meets the exemption criteria. If property owners fail to submit the required documents within the given timeframe, they may face a $650 delinquency fee. Currently, there are 3,308 registered rental housing units in the City E-2
A recent property data search in RealQuest indicates that there may be 5,300 potential rentals, which may suggest that a large number of rentals are not registered.
It is worth noting that the City does not charge property owners to register their property, and inspection fees are $60 per hour with no minimum charge. However, property owners are required to obtain a rental business license. Presently there are 1,394 active rental business license accounts.
Exemptions
The City currently has 569 rental housing units exempt from routine inspections. Exemption program requirements include:
Units subject to routine periodic inspections by another government agency, such as the Housing Authority, where Rental Housing Units are inspected at least once every three years.
Within the past 10 years, has either been issued a certificate of occupancy or passed a final inspection performed by the City.
Self-Certification
Owners of well-maintained rental properties may apply to participate in the Self-Certification Program. Self-Certification may be accomplished per the following:
Shall comply with the requirements of the Self-Certification form. If not in compliance, the owner shall make any necessary repairs to meet the requirements of the Self-Certification form.
The Self-Certification form shall be submitted to Code Enforcement for eligibility assessment. The City will verify program compliance by inspecting a random sample of 10 percent of rental housing units.
The City has not received any Self-Certification applications from property owners.
Inspections
Code Enforcement performs monthly inspections of rental housing units built before 1990. It is noted that when adopted, in 2017, the City’s Municipal Code (§4-16.11) required initial inspections on homes built prior to 1970; in 2020 homes built pre-1980; 2023 homes built pre1990; 2026 homes constructed pre-2000; and in 2029 all residential housing.
Registered properties are notified of upcoming inspections 30 days in advance. Along with the notification, property owners are provided a sample inspection checklist and a consent to enter form, which the tenant uses if the property owner is absent during the inspection. All correspondence is disseminated in English and Spanish.
Should the rental unit pass the initial inspection, any additional will not be scheduled for three years. However, if violations are discovered during the initial inspection, the owner is given 30 days to make the necessary corrections. If all violations are not rectified before the 30 days have expired, an Administrative Citation may be issued. The chart below visually outlines the inspection process.
During the COVID-19 pandemic, the City suspended proactive inspections of rental housing units.
There were attempts to continue conducting inspections, but due to COVID-19 concerns, owners and tenants would often refuse or reschedule. In June 2022, staff slowly reinstituted proactive inspections. The average inspection takes approximately 15 minutes, and staff finds that most property owners comply due to their proactive efforts to fix issues before the inspection. The table below provides an overview of inspection results from the last 24 months. The statistics below reflect fewer inspections due to the pandemic, but we are steadily increasing our enforcement efforts.
Table 1: Overview of inspections during the last 24 months Inspections Completed Inspections Scheduled
Not Completed Cost Recovery
Month/
Year
Pass Fail Completed Exempt Other:
·Rescheduled
·Refused
·No Show
Total Not
completed
Levied Collected
Feb-23 6 3 9 1 6 7 $297 $0
Jan-23 5 5 10 0 0 0 $0 $0
Dec-22 3 5 8 5 1 6 $0 $0
Nov-22 1 1 2 0 2 2 $0 $0
Oct-22 1 1 2 0 0 0 $0 $0
Sep-22 2 1 3 1 4 5 $1,230 $103
Aug-22 6 1 7 1 1 2 $0 $0
Jul-22 6 5 11 0 0 0 $0 $0
Jun-22 7 5 12 1 3 4 $0 $0
May-22 0 0 0 0 0 0 $0 $0
Apr-22 0 0 0 0 0 0 $0 $0
Mar-22 0 0 0 0 0 0 $0 $0 Inspection Process
Pass 3 years
Fail 30 Day NOV 2nd Inspection Pass/Fail
Pass 3 years
Fail Citation
Feb-22 0 0 0 0 0 0 $0 $0
Jan-22 1 0 1 0 4 4 $0 $0
Dec-21 2 1 3 0 0 0 $0 $0
Nov-21 5 3 8 0 0 0 $0 $0
Oct-21 3 2 5 0 1 1 $0 $0
Sep-21 0 1 1 0 0 0 $0 $0
Aug-21 4 2 6 2 4 6 $0 $0
Jul-21 2 1 3 0 0 0 $0 $0
Jun-21 1 0 1 0 0 0 $0 $0
May-21 0 0 0 0 0 0 $0 $0
Apr-21 0 0 0 0 0 0 $0 $0
Mar-21 0 0 0 0 0 0 $0 $0
Feb-21 0 0 0 0 0 0 $0 $1,592
Total 55 37 92 11 26 37 $1,527 $1,695
Penalties
Violations of this chapter are classified as misdemeanors. The City may also impose administrative penalties under Chapter 1-9 of this code and seek injunctive relief and civil penalties. These remedies are cumulative and not exclusive of any other remedies available under any other federal, state, or local laws. Recovery costs are determined by the Master Fee Schedule and are listed below:
Table 2: Rates per the Master Fee Schedule
Description Fee/Penalty
Registration $0
Registration Delinquency Fee $650
Inspection Fee $60/Hour
1st Administrative Citation $100
2nd Administrative Citation $500
3rd Administrative Citation $1,000
Subsequent Recurring Citations $1,000
FINANCIAL IMPACT:
The Rental Housing Inspection Program generates nominal revenue. However, the amount is small due to inspections occurring infrequently and the limited number of violations that are discovered.
ALTERNATIVES:
This report is for informational purposes only.
ATTACHMENTS:
None.
Madera City Council Agenda
04/05/23
Agenda Item E-3
Emergency Repairs to Avenue 13 Sewer Trunk Main at
Granada Drive – Update #5
There is no written report for this item.