McFarland City Council
November 12, 2025

City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 12.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: November 12,
2025
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Paul Saldaña , Economic Development Manager
SUBJECT: Approval of Resolution No. 2025-147 A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF MCFARLAND ACCEPTING AWARD FOR THE

JOBS FIRST CATALYST GRANT, RATIFY MEMORANDUM OF

UNDERSTANDING WITH KERN COMMUNITY COLLEGE DISTRICT AND

MAKING AN APPROPRIATION THEREOF
SUMMARY:

The Kern Coalition Jobs First Catalyst grant program is a regional initiative under California’s Jobs First strategy, offering $9 million in funding to support economic development projects in Kern County. The process involves community engagement, project eligibility criteria, and strategic investment in key industries.

The City of McFarland prepared a grant application entitled "North Kern Innovation Hub" which is designed to advance workforce equity and job creation through the creation of an Ag-Tech innovation hub which would be anchored in the City's industrial area and serve as a regional center for the growing ag-tech industry. The concept for the hub was generated from the North Kern project planning sessions and received support from other North Kern cities. The City submitted an application prior to the April 30, 2025 deadline.

The Kern Community College District (KCCD), the fiscal agent for the Catalyst fund, issued a notice in September that the all the applications would be re-scored, following an initial scoring that was completed in August. The re-scoring was conducted by the Kern Coalition,which is the regional collaborative formed to lead the local implementation of the California Jobs First initiative.

On October 23, 2025, KCCD/Kern Coalition published a list of 16 organizations deemed eligible for preliminary Catalyst grants. These eligible applications requested approximately $13 million of the $9 million in available funding. These were selected from 43 original applicants, meaning only 37% made the cut. The City of McFarland's application received a score of 83.8, the highest score of all 43 applications. During the week of October 27, city staff worked with KCCD staff to finalize the application process, including reducing the budget and scope of work.

Under the scope of work, the City will develop the business plan for the innovation hub which will develop strategy for development and attraction of businesses in ag-tech and advance manufacturing. The project would include analyzing the skill set of farmworkers and develop

strategies for careers in these growing industries. The City will partner with Mujeres Activas, ag-tech universities (UC Riverside, Cal Poly, UC Davis), local ag-tech companies like Bloom Fresh, and surrounding cities. The project will help anchor the City's industrial area and align with the specific plan that is under development.

The budget will cover 50% of the the Economic Development Manager salary and benefits, reimbursable costs to city for grant management/administration, and will allow the city to contract for subject matter experts to assist in the development of the Innovation Hub strategy.

Funding is also included to support Mujeres Activas who will lead the community engagement process, data acquisition and other services needed for the project.

FINANCIAL IMPACT:

The grant award is $327,733 and will increase associated revenue and expenses in the administration budget.

RECOMMENDATION:

City Council adopt Resolution No. 2025-147
ATTACHMENTS:

1. MOU with KCCD

RESOLUTION NO. 2025-147

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND ACCEPTING

AWARD FOR THE JOBS FIRST CATALYST GRANT, RATIFYING MEMORANDUM OF

UNDERSTANDING AGREEMENT WITH KERN COMMUNITY COLLEGE DISTRICT AND

MAKING AN APPROPRIATION THEREOF
WHEREAS, Kern Coalition Jobs First Catalyst grant program is a regional initiative under California’s Jobs First strategy, offering $9 million in funding to support economic development projects in Kern County; and
WHEREAS, the City of McFarland prepared a grant application entitled "North Kern Innovation Hub" which is designed to advance workforce equity and job creation through the creation of an Ag-Tech innovation hub which would be anchored in the City's industrial area and serve as a regional center for the growing ag-tech industry; and
WHEREAS, the City application was determined eligible for funding and an award from the Kern Community College District in the amount of $327,733 is pending approval of the KCCD Governing Board; and
WHEREAS, it is the desire of the City to accept the funds and pursue the project outlined in the City's proposal, as amended,
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of McFarland that it hereby finds and determines as follows:

1. City Council accept award of Catalyst Grant in the amount of $327,733 and ratify approval of Memorandum of Understanding.

2. City Council appropriate $327,733 to Fund 01 Division 100 (City Administration) budget.

3. City Council authorize City Manager to execute necessary agreements related to the grant and grant implementation.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on November 12, 2025 by the following vote:

Aye Nae Abstain Absent
Saul Ayon
Ricardo Cano

Anita Gonzalez
María T. Pérez
Martin Gutierrez

CITY OF MCFARLAND
____________________________
Saul Ayon, Mayor
ATTEST:
_____________________________
Erika De La Cruz, City Clerk
I, _________________________, City Clerk of the City of McFarland, California, DO HEREBY CERTIFY that the foregoing resolution is a true and accurate copy of the Resolution passed and adopted by the City Council of the City of McFarland on the date and by the vote indicated herein.

APPROVED AS TO FORM:
_____________________________
Nathan Hodges, City Attorney

City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 13.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: November 12,
2025
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Megan Snyder, Community Development Director
SUBJECT: Approval of Resolution No. 2025-146 A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF MCFARLAND APPROVING A SERVICE

AGREEMENT WITH GHD DIGITAL FOR CITY WEBSITE MANAGEMENT

SERVICES
SUMMARY:

Over the last year, we have added more emphasis on communications and public outreach. The City of McFarland website is a key platform for information sharing, resources and public engagement.

Currently, the site is hosted by Civic Plus, which has served us for over a decade. Over time, several challenges have emerged:
• Rising costs without proportional service improvements. • Very costly additions to make the site meet our needs, with limited access for our team to modify in-house.
• Accessibility barriers for regulatory compliance under ADA . • Limited community interaction tools.

In response, staff conducted a review of alternative hosting providers to identify options offering improved service, cost-effectiveness, and features that align with the organization’s goals.

Key Findings:
• Cost Savings: The proposed provider offers comparable or superior service at a lower total cost. • Improved Customization: The new hosting company allows more ability to tailor our city site to our needs and allows community members much easier maneuverability. • Enhanced Accessibility: The new platform supports accessibility standards, ensuring inclusivity for people with disabilities.
• Community Engagement Tools: Enhanced features—we have not previously had. • Scalability: The proposed hosting provider supports future growth and integration with additional tools or applications.

Upgrading to a new website hosting company will modernize our online presence, improve accessibility and engagement, and deliver better value for money. This transition supports the Council’s goal of promoting an efficient and effective government that delivers high quality services to the community.

FINANCIAL IMPACT:

Transitioning to GHD Digital will cost approximately $16,755.30 for initial setup, migration, and design updates. The transition, while keeping the beneficial CivicPlus modules, affords the City of McFarland a $55,263.92 reduction compared to the current provider over the next five years. The costs for the CivicPlus website management and modules are budgeted in the current FY budget. The remaining first year cost of $4,103.82 is unbudgeted; however, the professional services budget has sufficient capacity to absorb this cost, and no budget adjustment is requested at this time.

GHD Digital - GovStack Website Costs per provided quote:
• One-time implementation cost: $16,755.30
• Annual subscription: $5,659.60 (rate held for first 3 years) Modules retained from CivicPlus:
• AMMS Pro: $6,239.36 per year
• NextRequest: $6,601.77 per year
• Codification: $2,389.12 per year
Total modules cost: $15,230.25 per year (+5% annually)
Cost Breakdown:

Year 1 Total: $37,645.15
Year 2 Total: $21,651.36
Year 3 Total: $22,450.95
Year 4 Total: $23,573.49
Year 5 Total: $24,752.17
Five-Year Total Cost with GovStack plus CivicPlus modules: $130,073.12 Five-Year Financial Impact
• CivicPlus 5-Year Total: $185,337.04
• GovStack + Modules 5-Year Total: $130,073.12
Net Savings Over Five Years: $55,263.92
RECOMMENDATION:

That the City Council of the City of McFarland approves the transition of website management, the service agreement with GHD Digital, and the timeline of implementation on or before March 1, 2026.

ATTACHMENTS:

1. Digital Services Agreement - City of McFarland - GSA

RESOLUTION NO. 2025-146

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND APPROVING A

SERVICE AGREEMENT WITH GHD DIGITAL FOR WEBSITE MANAGEMENT AND

HOSTING SERVICES
WHEREAS, the City of McFarland recognizes the importance of maintaining an accessible, user-friendly, and modern online presence to effectively serve the community; and WHEREAS, the current website hosting and management platform has reached the limits of its functionality, resulting in reduced efficiency, limited accessibility features, and outdated design capabilities, meanwhile necessitating extensive additional costs to modify; and WHEREAS, after review and evaluation of available vendors, GHD Digital has been identified as the preferred provider to deliver comprehensive website management and hosting services that meet the organization’s technical, financial, and service quality requirements; and WHEREAS, upgrading to a new website hosting company will modernize the city's online presence, improve accessibility and engagement, and deliver better value for money; and WHEREAS, this transition aligns with the city's strategic goals of transparency, inclusivity, and digital transformation, ensuring that information and services are readily available to all members of the community;
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of McFarland that it hereby finds and determines as follows:

1. The City Council approves the service agreement with GHD Digital for website management and hosting services. A true and correct copy of the Agreement is attached hereto and incorporated herein by reference.

2. The City Manager is authorized to execute the service agreement, including any related documents, on behalf of the City.

3. Staff is authorized to proceed with implementation and migration with a target completion date of March 1, 2026.

4. Funds for this agreement shall be expended as outlined in the Financial Impact section of the staff report.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on November 12, 2025 by the following vote:

Aye Nae Abstain Absent
Saul Ayon
Ricardo Cano
Anita Gonzalez
María T. Pérez
Martin Gutierrez

CITY OF MCFARLAND
____________________________
Saul Ayon, Mayor
ATTEST:
_____________________________
Erika De La Cruz, City Clerk
I, _________________________, City Clerk of the City of McFarland, California, DO HEREBY CERTIFY that the foregoing resolution is a true and accurate copy of the Resolution passed and adopted by the City Council of the City of McFarland on the date and by the vote indicated herein.

APPROVED AS TO FORM:
_____________________________
Nathan Hodges, City Attorney

Transform the way
you serve and connect
with your community

PRODUCT
Digital Solution
2025
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

A scalable platform
that puts the control
into your hands
→ Transform for good.

Public sector organizations need to keep pace with the demands of their residents for online information and service delivery, especially in the face of rapid community growth. They also need to provide up-to-date information, but don’t always have the technical resources to do this.

Digital Solution
2025
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions v.5 (5.21.25) Govstack.com Digital Solution
2025
Introducing Govstack®,
a platform built for the
public sector.

Govstack is a modular and scalable digital platform that enables you to engage, inform, serve, and connect with your community online, while cutting down on the cost and resources necessary to do so.

Govstack® Content Management System (CMS), a robust
website CMS that puts you in control of the way your content is presented.

Govstack® Events, an interactive tool to easily manage your events both paid and free. Create multiple calendars, aggregate them for a single master view, plan and publish in collaboration with other departments.

Govstack® products →
Govstack®
Govstack® Forms, a customizable forms integration that cuts your operating costs by digitally collecting feedback, and allowing your residents to transact business online.

Govstack® Citizen Portal, a personalized, citizen engagement portal that provides quick access to key information and services tailored to the unique needs of your residents, wherever and whenever they need it.

Learn more
Govstack®
CMS
Website content
management made easy
Learn more
Govstack®
Forms
Conveniently deliver your
municipal services
Learn more
Govstack®
Events
Create community
interactions
Learn more
Govstack®
Citizen Portal
Provide personalized access
to your services
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions v.5 (5.21.25) Govstack.com Digital Solution
2025
Tailored to meet your
unique needs
Why Govstack®?
Powerful flexible intuitive Content Management System
Self-serve CMS with low code / no code site builder
Create subsites, landing pages, control CSS and brand
Easy to update and publish content with workflows and
rollbacks
Powerful and flexible forms
Timely updates, Notification and Alerts system
Secure, reliable and accessible WCAG 2.1 Level AA
➀ Grow as you go
Evolve with the needs of your community and your
organization
➁ Power with one password
Increase efficiency and centralize your systems on a
single platform to deliver city services to your residents through secure, single sign-on (SSO) access.
➂ Increase transparency and improve trust
Provide your residents with timely information,
automated email notifications and feedback forms to
enhance trust and foster connection.
➃ Reduce your inquiry cost methods
We understand the pressures and expectations for
Council to provide faster, easier, and cost-effective
services to the public. And we also recognize the labor shortages that challenge the public sector. That’s why
we made Govstack, value-driven platform that helps you
optimize your workforce and reduce costs, while meeting the online service expectations of your community.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions v.5 (5.21.25) Govstack.com Digital Solution
2025
Features of the platform
→ Subsites
→ Multilingual support
→ Accessibility
→ Responsive on all devices
→ Website themes
→ Website advanced search
→ Upcoming calendar events feed
→ Events calendar
→ Recent news
→ News listing page
→ News article detail page
→ Contact Directory
→ Alert banners & pop-ups
→ Embedded social media feeds
→ News subscriptions
→ Forms
→ CMS access with single sign-on
→ Site builder
→ Preview mode editable across multiple device screens
→ Calendar events widget
→ News widget
→ News article
→ News subscriptions
→ Alerts
→ Contact Directory management
→ Landing pages
→ Search engine optimization (SEO)
General
Figure 1.2 - Govstack template
CMS
CMS Back Office (Admin view)
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions v.5 (3.15.23) Govstack.com Part 3
Part 2
Part 1

ACCEPTANCE CRITERIA

PURPOSE

DIGITAL SOLUTIONS AGREEMENT

DELIVERY SCHEDULE
Schedule will be provided upon approval of this Statement of Work.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C Please see quote.

Looks and functions like the selected theme and has been updated based on the logo and brand guidelines provided by the customer. Is responsive to different screen sizes and orientations. Is developed following the practices and guidelines outlined by the WCAG 2.1 level AA standard. All included products and AddOns are installed and configured based on the preferences confirmed by the customer during initiation. Blank pages and navigation based on the approved sitemap are setup. Training was provided for the CMS and all included products and AddOns. A GoLive Plan has been provided to the customer.

Products & Services
Name Billing
Frequency
Quantity Unit Price Total
1 Govstack Starter Plan (CMS +
Events) - Implementation
One-Time 1 $12,443.00  $11,198.70
2 Govstack Forms Standard -
Implementation
One-Time 1 $1,659.00  $1,493.10
3 Govstack Services - Sitemap
Development
One-Time 1 $4,515.00  $4,063.50
4 Govstack Starter (CMS +
Events) - Subscription
Annually 1 $4,431.00
/ year
$3,987.90 / year
5 Govstack Forms Standard -
Subscription
Annually 1 $1,313.00
/ year
$1,181.70 / year
6 UserWay AI Accessibility Widget
by Level Access - 100k page
views/mo
Annually 1 $490.00
/ year
$490.00 / year
7 Govstack Media Manager Annually 1 $1,050.00
/ year
$0.00 / year
8 Govstack Design Node Annually 1 $3,150.00
/ year
$0.00 / year
Part 4 PRODUCTS & SERVICES
after 10% discount
for 3 years
after 10% discount
for 3 years
after 10% discount
for 3 years
after 10% discount
for 3 years
after 10% discount
for 3 years
after 100% discount
for 3 years
after 100% discount
for 1 year
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Annual subtotal $5,659.60
One-time subtotal $16,755.30
Total $22,414.90
Customer: City of Mcfarland, CA
Contact: Megan Snyder, Community Development Director, [email protected], (661) 792-3091 ext. 1006
Address: 401 W Kern Ave , McFarland California, United States 93250 License Term: 36 months
Payment Terms: Net 30 days, USD*Applicable taxes and annual increase the greater of 5% and Inflationary Index not included
Quote Expiry Date: November 14, 2025
Additional Terms:

This contract is valid if you can purchase off the GSA schedule: GSA eLibrary Contractor Information Design Node free for the first 12 months of the contract. If you wish to continue with the Design Node, the cost is $3,150 annually.

Questions? Contact me
Mike Skufca
[email protected]
+15193404453
Statement of Work

1. Govstack Starter Plan (CMS + Events)
Implementation:

This service provides the implementation of a new Govstack website with Content Management System (CMS) and Events functionality, based on the selected theme's default layout. after $4,774.40 discount
after $1,861.70 discount
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Scope:

Installation and Configuration: Installation and basic configuration of a new Govstack website utilizing the default layout of the client's chosen theme.

Local Identity Management: Configuration of Govstack's local identity management system for user accounts, providing single sign-on access to all Govstack applications. (Note: Azure AD integration for SSO is available as a separate AddOn.)
Delivery Coordination: Includes a kickoff meeting, a post-training meeting, and a closeout meeting to facilitate communication and project management.

Sample Sitemap and Navigation Tips: Provision of a sample sitemap from a similar organization and a tip sheet outlining best practices for site navigation.

Pre-recorded Training Video: Access to a pre-recorded "Writing for the Web" training video.

Training Webinars: Unlimited registration for regularly scheduled Govstack training webinars for users within the client's organization domain.

Learning Centre Access: Access to the Govstack online Learning Centre, containing product documentation and resources.

Go Live Activities: Support for go-live activities, with the website launch scheduled within four (4) months of the project kickoff meeting.

Exclusions:

Custom design or layout modifications beyond the selected theme's default.

Content creation or migration for the website.

Integration with third-party systems (except for optional Azure AD SSO).

On-site training or support (all training is virtual or via the Learning Centre).

Customization of the training webinars.

Go-live activities occurring beyond four (4) months of the kickoff meeting.

Deliverables:

A new Govstack website with CMS and Events functionality, based on the selected theme's default layout.

Configured local identity management system.

Sample sitemap and site navigation tip sheet.

Access to the pre-recorded "Writing for the Web" training video.

Access to regularly scheduled Govstack training webinars.

Access to the Govstack online Learning Centre.

Support for go-live activities within the specified timeframe.

Assumptions:

The client will select a website theme from the available Govstack options.

The client will provide necessary information for website setup and configuration.

The client will manage their own content creation and migration.

The client will utilize the provided training resources.

The client will be ready for go-live within four months of the kickoff meeting.

Note: This implementation plan provides a foundational Govstack website with CMS and Events capabilities, leveraging a theme-based approach and offering comprehensive training resources to get you started.

2. Govstack Forms Standard
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Implementation:

This service provides the implementation of the Govstack Forms Standard module for your organization.

Scope:

Setup and Configuration: Installation and basic configuration of the Govstack Forms Standard module within your Govstack environment.

Project Management: Coordination and management of the implementation process, including communication and progress tracking.

Training Webinars: Unlimited registration for regularly scheduled Govstack training webinars for users within your organization's domain, focusing on the Govstack Forms Standard module.

Go Live Activities: Support for the initial launch and deployment of the Govstack Forms Standard module.

Exclusions:

Custom form design or development beyond the standard features of Govstack Forms.

Integration with third-party systems (unless explicitly specified and quoted separately).

Data migration or import into Govstack Forms.

On-site training or support (all training is virtual via webinars).

Customization of the training webinars.

Ongoing support and maintenance of the Govstack Forms module (this is typically covered under a separate support agreement).

Deliverables:

A functional Govstack Forms Standard module within your Govstack environment.

Project management and coordination throughout the implementation process.

Access to regularly scheduled Govstack training webinars for Forms.

Support for initial go-live activities of the Forms module.

Assumptions:

Your organization has an existing Govstack environment or is implementing one concurrently.

Your team will participate in the training webinars.

Your organization will manage the design and creation of your specific forms.

Go-live readiness will be determined collaboratively.

Note: This implementation service provides the foundational setup and launch of the Govstack Forms Standard module, empowering your organization to begin creating and managing online forms with access to comprehensive training resources.

3. Govstack Services
Sitemap Development:

This service provides expert information architecture services to design an effective and user-friendly sitemap for your website. GHD's experienced Information Architect will create an initial draft sitemap based on a comprehensive review of your website analytics, your existing website structure, and established best practices in website navigation and user experience (UX). This process ensures that your website is organized logically, making it easy for users to find the information they need.

Scope:

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Analytics Review: Analysis of your website analytics data to understand user behavior, popular content, and potential navigation pain points.

Existing Website Review: Examination of your current website structure and content organization.

Navigation and UX Best Practices: Application of industry-leading best practices in website navigation, information hierarchy, labeling, and overall user experience to inform the sitemap design.

First Draft Sitemap Creation: Development of an initial draft sitemap outlining the proposed structure and organization of your website content.

Staff Presentation: One (1) virtual presentation to your staff to present the draft sitemap, including an overview of the key principles of effective website navigation and user experience that underpin the proposed structure.

Sitemap Revisions: Collaboration with you to refine the draft sitemap. GHD's Information Architect will work through your feedback and implement revisions, with up to three (3) rounds of revisions included to reach a final, approved sitemap.

4. Govstack Starter (CMS) Subscription: Azure AD SSO (max 20 MAU), 50GB storage, theme/builder, enterprise Azure hosting (99.95% uptime, security), standard support (portal, knowledge base, priority after-hours).

5. Govstack Forms Standard
Subscription:

This service provides a subscription to the Govstack Forms Standard module, offering a range of features for creating and managing online forms.

Scope:

Forms: Ability to create and manage up to fifty (50) individual forms.

Submissions: Allowance for up to twenty thousand (20,000) total form submissions per year across all active forms.

Reports: Access to reporting features for analyzing form submission data.

Workflow Automation: Functionality to automate processes based on form submissions.

Status Tracking: Tools for tracking the status of form submissions.

Exclusions:

Creation or design of the 50 included forms (this is managed by the subscriber).

Submission volume exceeding 20,000 per year (additional submission bundles may be available).

Custom report generation or integration with external reporting tools (beyond standard reporting features).

Advanced workflow automation requiring custom development.

Integration with third-party systems (unless explicitly specified and potentially available as add-ons).

Ongoing support and maintenance of the Govstack Forms module (this is typically covered under a separate support agreement).

Deliverables:

Subscription access to the Govstack Forms Standard module with the specified limits and features.

Assumptions:

Your organization has an existing Govstack environment or is implementing one concurrently.

Your team will be responsible for creating and managing the forms within the 50-form limit.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

The annual submission volume will remain within the 20,000 limit.

The standard reporting and workflow automation features will meet your needs.

Note: This subscription provides a robust platform for managing online forms, suitable for organizations with a moderate volume of forms and submissions, offering essential features for data collection and process automation.

6. The UserWay Accessibility Widget is designed to improve usability and support efforts towards creating a more inclusive online experience. With its intuitive interface and robust features, the widget can serve as a valuable resource in working towards alignment with WCAG 2.1 AA guidelines and other global accessibility standards, such as the ADA and Section 508. Up to 100k Pages views/month. Usage Statistics, Translation, and menu modification are extra. Cost is per domain/subdomain.

Organization must agree to the UserWay terms of service and end user license agreement:
~ Terms of Use: https://userway.org/terms/
~ End User License Agreement: https://userway.org/eula/ Additional third party fees and terms may apply

7. Govstack CMS Media Manager Add-on:

This service provides the implementation and configuration of the Media Manager add-on for the Govstack CMS, enabling enhanced control and organization of media files (documents, images, videos, etc.).

Scope:

Installation and configuration of the Media Manager add-on within the client's Govstack CMS environment.

Configuration of custom meta information fields for media files, allowing for detailed descriptions and categorization.

Setup of media file categories for improved organization and discoverability.

Implementation of media listings, providing easy access to important files and information on designated website pages.

Exclusions:

Migration of existing media files or metadata.

Custom development or modification of the Media Manager add-on beyond the standard configuration.

Integration with external media storage or management systems.

Content creation or editing of media files.

Deliverables:

Installed and configured Media Manager add-on within the Govstack CMS.

Configured custom meta information fields and media file categories.

Implementation of media listings on designated website pages.

Assumptions:

The client has an existing Govstack CMS environment.

The client will provide information on desired meta information fields and media file categories.

The client will designate the pages where media listings should be implemented.

Note: This service focuses on the setup and configuration of the Media Manager add-on, empowering the client to better organize and manage their website's media files.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

8. Govstack Design Node:

This service provides access to the Govstack Design Node, a powerful tool for advanced customization of your website's look and feel.

Scope:

Activation and configuration of the Govstack Design Node within your Govstack CMS environment.

Access to advanced options for configuring website layout, including header and footer structures.

Ability to create and manage multiple color options for website content, ensuring brand consistency and visual appeal.

Functionality to create distinct visual styles for specific sections or pages of your website.

An easy-to-use interface for writing and implementing custom CSS and JavaScript code.

Exclusions:

Custom design or development services beyond the features provided by the Design Node.

Content creation or editing.

Integration with external design tools or platforms.

Training on advanced CSS or JavaScript coding.

Deliverables:

Activated and configured Govstack Design Node within your CMS environment.

Access to all Design Node features as outlined in the scope.

Assumptions:

The client has an existing Govstack CMS environment.

The client has basic understanding of website design principles.

The client understands the capabilities and limitations of the Design Node.

Note: The Govstack Design Node empowers power users to customize their website's appearance through advanced configuration and coding options.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions v.5 (3.15.23) Govstack.com Digital Solution Agreement 2024
Part 5 EXCLUSIONS, ASSUMPTIONS, AND ADDITIONAL TERMS

1. Exclusions
→ Content writing, editing, or maintenance by GHD
→ Sitemap creation or revisions by GHD unless included in quote → User set-up and permission configuration by GHD
→ Integrations into third-party software not identified in scope → Additional products, modules, or features that are not included in the selected Govstack plan, or as Add Ons under this quote
→ Website clean-up assistance such as adding/editing images, photo galleries, tables, accordions, and alt text, or fixing broken links, spelling mistakes, or content-related accessibility errors.

2. Assumptions
→ Customer will choose from the library of available Govstack themes, and the website will be delivered with the standard homepage and interior page layout for that theme. → Customer will use GHD’s Identity Provider for user accounts → Customer will be responsible for ensuring all content is accessible, including uploaded documents
→
→ Close Out will be within 6 months of Kickoff
→ If content migration see Schedule A

3. Additional terms
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C City of McFarland may terminate this agreement with 90 day’s written notice to GHD, in accordance with other provisions of this Agreement.
https://www.govstack.com/learning-centre/onboarding/content-migration/ Delivery will include no more than 10 meetings between customer and GHD [Standard only]

Govstack Terms and Conditions v.5 (3.15.23) Govstack.com Part 7
Part 6 PAYMENT SCHEDULE

CHANGE REQUESTS

1. An invoice will be issued to the Customer by GHD for all Implementation or One-Time fees

2. An invoice will be issued to the Customer by GHD for Year’s Annual fees *DSA does not include applicable taxes.

The fees quoted are based on GHD executing the services on a specific, mutually agreed upon, schedule that allows both GHD and Customer reasonable time to perform their tasks. Any deviation from the scope or schedule could result in corresponding changes to the estimated price, dates, responsibilities, or other provisions of the project. Changes that have material impact to any of the foregoing will be accommodated with a Change Order form or a separate Statement of Work as deemed appropriate by both parties. GHD will make reasonable efforts to mitigate the costs associated with the change, with Customer bearing only that portion of costs that cannot be mitigated or otherwise avoided.

GHD’s our attached Terms and Conditions are applicable to this Digital Solutions Agreement and incorporated herein by reference. The offer to perform the Statement of Work for the fees quoted shall expire if not accepted and signed by an authorized representative of Customer on Quote Expiry Date.

IN WITNESS WHEREOF, GHD and Customer have caused this Agreement to be executed by their authorized representatives as of the date of last signature below (“Effective Date”).

Customer GHD digital
Ali Carden, PMP | A GHD Principal
Vice President & Global Practice Director,
Products and Platforms
Digital Solution Agreement 2024
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C 1 30% on signing, 60% CMS Handoff, 10% on Go-Live
12 weeks following Effective Date of this Agreement.

Govstack Terms and Conditions GSAv.1 (1.6.24) Govstack.com Digital Solution Agreement
Terms and Conditions
2025

1. Products. (a) GHD Digital (hereinafter “GHD”), subject to this Agreement, shall grant the Customer as identified in the Digital Solutions Agreement (“DSA”) a limited, nonexclusive license to use or access GHD’s digital solutions (hereinafter the “Product(s)”) which are identified and described by the DSA. The DSA shall be governed by these terms and conditions, any Third Party Terms, and any documents incorporated by reference (the “Terms”; together with the DSA, the “Agreement”) “GHD” together with Customer, shall be referred individually as a “Party” and jointly as the “Parties”). (b) Customer acknowledges GHD may utilize vendors or third parties to process data or provide Third Party Content or additional functionality to Products. “GHD vendors” as used herein means the third parties contracted with GHD to provide any portion of the Products subject to these Terms. “Authorized End Users” shall mean Administrative Users and Public Users. “Administrative Users” shall mean any of Customer’s employees, representatives, consultants, contractors, or agents who are authorized to use the Product and have been supplied user identifications and passwords by Customer or on Customer’s behalf to use or otherwise access the Products in the manner permitted by this Agreement. “Public Users” shall mean any individuals not affiliated with Customer, such as members of the public, authorized by Customer to use or otherwise access the Products in the manner permitted by this Agreement. “Third Party Terms” shall mean any terms and conditions of third parties and/or GHD vendors which are applicable to the use or access of the Product.

2. Proprietary Rights. (a) “IP” means all intellectual property throughout the world, including: copyrights, derivative software and products, graphical user interfaces, screen layouts, trade secrets, trademarks and service marks (including all goodwill), domain names, social media sites, patents, inventions, modifications, improvements, customizations, bug fixes, upgrades, designs, logos and trade dress, moral rights, publicity rights, and privacy rights. “Intellectual Property Rights” means all rights in the IP whether existing under statute or at common law or equity, now or hereafter recognized and any application or right to apply for any of the rights referred to herein and all renewals, extensions, and restorations of the foregoing. (b) Each Party shall retain ownership of their IP and Intellectual Property Rights existing as of the Effective Date, developed or acquired independently of this Agreement, or created during the term of this Agreement, and nothing in this Agreement shall assign any ownership thereof to the other Party. (c) Customer retains all ownership of any IP owned by Customer prior to the date of this Agreement or created by Customer during the term of this Agreement. (d) Customer acknowledges that, unless otherwise specified in this Agreement or the Product, all IP in the Products other than the IP provided by Customer is the property of GHD and that all, GHD domains, designs, templates, formats, pricing, documentation, manuals, software listings, source code, or object code relating to the Products may constitute trade secret, proprietary and/or confidential information of GHD. Any IP such as information, text, graphics, data, links, or other materials appearing in the Product (“Third Party Content”) which is not owned by GHD or Client is subject to Third Party Terms. GHD grants to Customer and Authorized End Users a nonexclusive, non-assignable, nontransferable, nonsublicensable, revocable license to use and access the Products, pursuant to the terms of this Agreement and the End User License Agreement, as applicable. (e) Unless authorized by this Agreement, Customer shall not (i) license, grant, sell, resell, transfer, assign, distribute or otherwise commercially exploit or make available the Products in any way to any third party, other than an Authorized End User; (ii) modify or make derivative works based upon the Products, disassemble, reverse compile, or reverse engineer any part of the Products; or (iii) create Internet “links” to the Products or “frame” or “mirror” any part of the Products, including any content contained in the Products. (f) Customer’s exposure to the Products may result in Customer developing or suggesting IP or other improvements or changes related to the Products (“Feedback”). Customer grants to GHD a worldwide, perpetual, irrevocable, royalty-free license to use, distribute, disclose, and make and incorporate into its services any suggestion, enhancement request, recommendation, correction, or other Feedback provided by Customer or Authorized End Users relating to the operation of the Products. (g) With Customer’s prior written consent, GHD may use Customer’s name, logo, and/or trademark in connection with certain promotional materials, including brochures, websites, press releases, advertising, and other materials promoting the Products, which GHD may disseminate to the public to the extent permitted by the General Services Acquisition Regulation (GSAR) 552.203-71 . Customer may withdraw authorization for such use at any time by providing thirty (30) days written notice as provided in Section 23 below.

3. Data Use. (a) As between the Parties, Customer owns all right, title, and Govstack Terms and Conditions GSAv.1 (1.6.24) Digital Solution Agreement - 2025 Terms and Conditions interest, including all Intellectual Property Rights, in and to Customer Data. “Customer Data” shall mean Customer information, data, and other content, in any form or medium, that is submitted, posted, or otherwise transmitted by or on behalf of a Customer or Authorized End Users. Customer shall be responsible for, and GHD may rely upon, the accuracy and completeness of all requirements, programs, instructions, reports, data, and other information furnished by Customer to GHD pursuant to this Agreement.

As necessary to provide Product to Customer, Customer grants to GHD a non-exclusive, royalty- free, perpetual, irrevocable, worldwide license to access, revise, reproduce, distribute, host, store, manage, process, display, and otherwise use Customer Data and perform all acts with respect to Customer Data, as necessary to provide the Products to Customer, prevent or address Customer’s technical problems with the Products, and meet all other purposes for Customer set forth herein. GHD shall have no obligation to validate any content of the Customer Data for content, correctness, usability, or for any other purpose. Customer shall comply with any reasonable demand by GHD to correct, discontinue, or remedy any violation of applicable laws or regulations pertaining to the Customer Data. (b) Customer agrees that GHD may use Customer Data to add insight, analytics, and data science to the Products and/or to provide or suggest additional solutions and services to Customer. (c) Notwithstanding anything to the contrary in this Agreement, Client authorizes GHD to compile Aggregated Data, and such Aggregated Data shall be proprietary to GHD. “Aggregated Data” means any non-personally identifiable, technical, statistical, or analytical data, including Customer Data, gathered, or generated directly by the Product or by use of the Product, that GHD collects, gathers, and aggregates periodically as part of its ordinary business operations. Aggregated Data may be used by GHD for any reason, including, on a non-attributed basis to monitor and improve its products and services, for benchmarking purposes of providing additional products and services, or to provide customized services or technologies to its customers.

To the extent an assignment of aggregated or de-identified Customer Data is needed to permit GHD to obtain ownership of the right, title, and interest in, to or under, any or all of the aggregated or de-identified Customer Data, Client hereby assigns and transfers the right, title, and interest in, to, and under such aggregated and de-identified Customer Data to GHD. (d) Customer agrees Customer Data stored by GHD will remain within the Customer’s country of origin. Third Parties may Process (as defined herein) Customer Data as set forth in the applicable Third Party Terms. To facilitate user login, Customer acknowledges and agrees that limited encrypted Customer Data consisting of name, username, and/or email address, may be Processed and stored in Canada, regardless of Customer location. (e) Customer’s bandwidth and disk usage shall be limited to the service levels set forth in the DSA. Any exceedance of these levels by Customer shall be subject to additional fees.

4. Data Protection, Privacy, and Cookies. (a) Customer agrees that GHD may store some or all Customer Data on systems which may run on a third party cloud storage provider, including but not limited to Azure Cloud. (b) For purposes of data privacy and protection laws, GHD is the data processor and Customer is the data controller of Customer Data and Authorized End Users’ information. Customer represents and warrants that it has complied and will comply with all applicable local, state, national, and foreign laws related to data privacy and the transmission of technical or personal data, including personally identifiable information, and has obtained and/or owns all rights, permissions, and consents necessary in the Customer Data and Authorized End Users’ information necessary to meet all purposes and relevant obligations set forth herein. Customer is responsible for providing privacy notices in relation to data privacy and protection laws to Authorized End Users. (c) If GHD receives, has possession or custody of, access to, or control over, any Customer Data which includes Personal Information then GHD will comply with all applicable laws and regulations in connection with its receipt, use, handling, Processing, access to and storage of Personal Information. “Personal Information” means information Customer (directly or indirectly, including through another party) shares with, discloses to, allows, or provides access to GHD, that identifies, relates to, describes, is capable of being associated with, or could reasonably be linked, directly or indirectly, with a particular individual or household, or as Personal Information may otherwise be defined by law. “Processed” or “Processing” means any operation or set of operations that are performed on data or on sets of data, whether or not by automated means. (d) The Product may include cookies on services and use them to recognize user when returning to the Product. Authorized End Users may set their browser so that it does not accept cookies.

Cookies must be enabled on the Authorized End User’s web browser, however, if user wishes to access certain personalized features of the Product. (e) GHD’s relevant policies, which are hereby incorporated into this Agreement, are attached hereto and located at:

Privacy Policy: https://www.ghd.com/en/privacy-policy.aspx Personal Information Processing Addendum:
https://www.ghd.com/en/resources/trustcenter/PersonalInformationProce ssingAddendum_1_0.pdf
(f) Customer shall be responsible to comply with all applicable laws in regard to information collected by Customer from Authorized applicable laws in regard to information collected by Customer from Authorized End Users through the use of a Customer created form within the Product.

5. Data Retention. (a) The Products are not intended to be a data retention tool.

Customer shall be responsible for compliance with any applicable data retention laws and shall maintain independent archives of data which is required to be retained by such laws. (b) During the term of this Agreement, GHD shall retain Customer Data within the Product for a minimum of one (1) year, except for Customer Data in the Events module, which shall be retained for a minimum of three (3) years. Following the expiration or termination of this Agreement, GHD shall not be required retain Customer Data and GHD shall remove such Customer Data from GHD systems within a reasonable period of time. Prior to the removal of Customer Data from GHD systems, Customer may, for an agreed upon fee, elect to download such Customer Data in a mutually agreed format or extend the data retention.

Notwithstanding the foregoing, data retention shall be extended as required by applicable laws. (c) A data destruction certificate certifying Customer Data (not including Aggregated Statistics) has been destroyed from GHD hardware and software shall be provided at the Customer’s written request at a cost of five hundred ($500) dollars, in the currency set forth in the DSA. (d) GHD maintains a daily backup of its systems for thirty (30) days. In certain circumstances, it may be possible to restore data that has been inadvertently deleted by Customer. A request to restore data can be made to Customer support. Fees may be applied to restore deleted content. (e) Provided GHD retains Customer Data for the agreed upon duration, GHD shall have no liability arising from a failure to maintain Customer Data
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions GSAv.1 (1.6.24) Govstack.com Digital Solution Agreement 2025

6. Data Security. GHD will maintain industry standard administrative, technical, and physical safeguards, including but not limited to PCI DSS and ISO 27001 compliance, to protect the security and privacy of Customer Data, in use, in transit, and at rest. These safeguards include, but are not limited to, implementation of adequate privacy and security policies and data breach response plans that comply with industry standards and the requirements of applicable laws and the regulatory agencies responsible for enforcing them. If either Party becomes aware of any unauthorized access to or breach of the Products which includes Customer Data (“Security Incident”), such Party will promptly notify the other in writing of the Security Incident and include the following information:
(i) the nature of the Personal Information compromised and how the Security Incident occurred; (ii) the timing of the Security Incident; (iii) the steps taken by the impacted Party to resolve the Security Incident; and (iv) the measures to be undertaken and implemented to prevent a reoccurrence of the Security Incident.. In the event of a Security Incident, GHD reserves the right to shut down the Product(s) to protect the Parties with reasonable notice to Customer and with no liability to GHD for these or other remedial actions.

7. Term and Payment. (a) The term of the license granted to Customer shall be set forth in the DSA and shall continue until the Agreement is terminated or expires pursuant to Section 15. Unless otherwise provided for in the DSA, upon expiration of the initial term, the term may be renewed for additional one (1) year terms by executing a written order. GHD reserves the right to non-materially update these Terms at the expiration of each term. (b)Beginning on the first- year anniversary of the Effective Date and on each succeeding anniversary of the Effective Date during the term of this agreement, and for each renewal term, GHD shall include a price increase in accordance with the Economic Price Adjustment (EPA) Clause I-FSS-969 (b)(1) will reference the highest increase as noted on the Employment Cost Index Summary by the Bureau of Labor Statistics: https:// www.bls.gov/news.release/eci.nr0.htm, which for budgeting purposes and transparency averages 5% per annum. Continued use the Product beyond the expiration date shall be considered acceptance of the Terms. (c) GHD shall invoice Customer on a periodic basis for the applicable fees as set forth in the DSA. Customer agrees to pay such invoices within thirty (30) calendar days after the receipt date of the applicable invoice. Unpaid invoices will be subject to the interest rate established by the Secretary of the Treasury as provided in 41 U.S.C. 7109, which is applicable to the period in which the amount becomes due, and then at the rate applicable for each six- month period as fixed by the Secretary until the amount is paid. (d) GHD shall provide Customer with notice of the unpaid invoices. (e) GHD shall state separately on invoices taxes excluded from the fees, and the Customer agrees either to pay the amount of the taxes (based on the current value of the equipment) or provide evidence necessary to sustain an exemption, in accordance with 552.212-4(k).

8. Customer Responsibilities. (a) Customer shall license all third party software and obtain all hardware, at Customer’s sole expense, that may be needed for Customer to operate the Products. (b) Customer shall abide by all laws, regulations, and ordinances applicable to the use of the Product, and the terms of this Agreement. Customer assumes responsibility for all acts or omissions of its Authorized End Users and agrees to indemnify and hold GHD harmless from any claim howsoever arising from the acts or omissions of its Authorized End Users. (c) Customer shall comply with any demand by GHD to correct, discontinue, or remedy any violation of applicable laws, or regulations, pertaining to Customer Data or any other content collected or used by the Products. (d) Customer may subscribe and consent to receive outage notifications, release notes, and/or other marketing material from GHD. Failure to subscribe may result in Customer not receiving information relevant to their use of the Product. (e) Unless the Customer utilizes Single Sign On (“SSO”) where Customer manages their own active directory, Customer will promptly provide to GHD a list of names and other requested information to register each Administrative User to use the Products and shall notify GHD in writing as to any changes including termination of the Administrative Users. Each Administrative User will have a unique User ID for his or her access to the Products which cannot be shared nor transferred. Customer will adopt and maintain such security precautions for User IDs to prevent their disclosure to and use by unauthorized persons and will promptly take steps to remove access for such unauthorized persons and notify GHD if the security or integrity of a User ID or password has been compromised. The number of Administrative Users licensed shall be as set forth in the DSA. Customer may permanently reassign an Administrative User license from one individual to another individual by (1) notifying GHD of the Administrative User whose use of the Products is being terminated and (2) the individual to whom the Administrative User license will be reassigned. Each additional Administrative User may require an additional fee, the amount for which is specified in the DSA.

9. Change Order. Customer may request a modification to the DSA by written request to GHD. The requested changes will become effective only when a change order which describes the scope of the changes, the timing for the performance of any Services, and any fees resulting from the changes is executed by authorized representatives of both parties (“Change Order”). Upon execution, a Change Order will become part of this Agreement.

10. Product Customization. a(i) GHD may provide services or Product customization (“Deliverables”) set forth in the DSA. (ii) In the event that the DSA provides Deliverables to Customer for evaluation or test purposes (e.g., demo, test. or trial-versions), the Customer’s right to use such version is limited to (i) internal evaluation or test purposes by Customer and, where applicable, (ii) the time period specified by GHD during implementation planning (“User Acceptance Testing” or “UAT”). Any Productive Use is strictly prohibited. “Productive Use” means an environment in which Deliverables are used for Customer’s business purposes and not for test purposes. All major upgrades, modifications, and new systems must be tested by the appropriate users prior to installation of the software in production (“Production”). UAT plans include tests of all major functions, processes, and interfacing systems. Use of the Deliverables pursuant to this section may be subject to functional restrictions and any use is at the Customer’s own risk. GHD disclaims all liability arising from use of the Deliverables during UAT. (iii) Unless otherwise provided, Customer shall inspect Deliverables and conduct an acceptance test for a period of time specified by GHD (“Acceptance Period”). Customer shall review and inspect the Deliverables and shall either (i) provide acceptance or (ii) provide GHD with notice that the Deliverables do not conform to the DSA (“Deficiency”). Within thirty (30) business days of such notice GHD will provide a response or a plan of remedial action to Customer’s notice of Deficiency and extend the Acceptance Period. Failure to provide notice of acceptance or rejection or a Deficiency statement to GHD at the end of the Acceptance Period constitutes acceptance by Customer. Upon acceptance, an invoice will be issued for any annual fees due and for any unpaid one-time implementation fees per the DSA. In the event the Customer finds the Deliverables do not conform to the DSA, within ninety (90) business days following acceptance, GHD will take commercially reasonable steps to remedy the Deliverables. After ninety (90) business days, any Deficiencies in the Deliverables will be remedied by GHD using commercially reasonable efforts at Customer’s expense to be billed on a time and material basis pursuant to a Change Order. GHD shall retain all IP and Intellectual Property Rights in the Deliverables created by GHD under this Product Customization provision.

11. Equipment. GHD will not furnish equipment or materials necessary for the Product to Customer and its Authorized End Users, except as expressly provided in the DSA (“Equipment”). If Equipment is provided to Customer by GHD, all Equipment is the sole and exclusive property of GHD. Customer agrees to promptly deliver Equipment, at Customer’s cost and risk of loss, to GHD at the end of the license term or earlier, as requested by GHD.

12. End User Terms. The Customer agrees that it’s Authorized End-Users will abide by this End User Licensing Agreement (EULA): 12.1 You are responsible for keeping your user ID, password, and account information private and confidential. The obligation of confidentiality shall survive the termination of this Agreement. 12.2 You shall not input or provide content that could be subject to government regulation, content that may require enhanced security measures, or personal data into the Website, without obtaining prior written consent or direction from the Site Owner. 12.3 You authorize the Site Owner to store, process and use Your contact information and account data for business dealings with You. 12.4 The Website is to be used solely for the legitimate purposes intended by the Site Owner. 12.5 You shall not copy, reproduce, translate, adapt, vary, modify, decompile, disassemble, or reverse engineer the Website, nor assign, license, sublicense, sell, rent, loan or otherwise provide the Website in whole or in part or in any form or variation to any person. 12.6 You acknowledge that all intellectual property rights in the Website are the property of the Site Owner or its vendors and nothing in this Agreement implies the transfer of any such rights to You. 12.7 You may not, through its own operations, circumvent user authentication or security of any host, network, or account, cause disturbances, outages or other problems which may affect the Site Owner’s network or network- based equipment, or which may adversely affect the Site Owner’s ability to provide the Website. 12.8 The Site Owner reserves the right to, at its sole determination and without notice, remove any material or data and to block the use of the network for one or more users when their use or purpose does not meet these Terms. 12.9 You may not use the Website to access any computer systems, software, data or any confidential, copyright protected or patent protected material of any other person without the knowledge and consent of such person, make unauthorized attempts to gain access to any account or computer resource not belonging to You (i.e., engage in “spoofing”) or otherwise gain unauthorized access to, alter or destroy any information of another person by any means or device. 12.10 You may not use the Website to upload, post, publish, deface, modify, transmit, reproduce, or distribute in any way, information, software, or other material which is confidential, protected by copyright or other intellectual, property or proprietary right, or related derivative works, without obtaining permission of the copyright owner or right holder.

13. Third Party Integrations Fees. Product may be used by Customer in conjunction with one or more third party services. Customer’s use of third-party services in conjunction with the Product may be subject to separate fees and Third Party Terms. The functionality of third party integrations may be limited by the availability of data sources from third parties and access to data sources from the third party’s vendors. In the event Customer requests third party services be integrated into the Product, the Services required will be addressed through a Change Order, which will be subject to a third party integration fee.

14. Default. Customer shall be in “Default” if (i) Customer or its Authorized End User breaches any of the terms of this Agreement, (ii) GHD has reasonable grounds to believe that Customer or an Authorized End User is in breach of this Agreement, or (iii) there is the institution by or against Customer of insolvency, receivership, bankruptcy proceedings or upon Customer ceasing to do business. If GHD reasonably believes Customer to be in Default, GHD shall provide Customer with notice of the nature of such Default.When the End User is an instrumentality of the U.S., recourse against the United States for any alleged breach of this Agreement must be brought as a dispute under the contract Disputes Clause (Contract Disputes Act). During any dispute under the Disputes Clause, GHD shall proceed diligently with performance of this Agreement, pending final resolution of any request for relief, claim, appeal, or action arising under the Agreement, and comply with any decision of the Contracting Officer.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions GSAv.1 (1.6.24) Govstack.com Digital Solution Agreement 2025
GHD shall be in Default if (i) GHD breaches any of the terms of this Agreement, or (ii) insolvency, receivership, bankruptcy proceedings initiated by GHD or upon GHD ceasing to do business. If GHD is in Default, Customer shall provide GHD with notice of the nature of such Default. If a Default, other than a breach of the Warranty obligations in Section 16 of these Terms, has not be cured by GHD within thirty (30) days of such notice, Customer shall have the right to terminate Customer’s license to access the Products without further liability for payment, provided all amounts due GHD prior to the Default have been paid.

If a Default is a breach of the Warranty obligations in Section 16 of these Terms and such Default has not been cured by GHD within one hundred twenty days (120) days of such notice, Customer shall have the right to suspend payment due GHD until such Default is cured. If GHD is unable to cure the Default, GHD shall be entitled to terminate this Agreement.

15. Termination and Suspension. The provision of the Products shall expire as set forth in the DSA. Upon expiration or earlier termination of this Agreement, Customer shall immediately discontinue use of the Product. No expiration, termination, or suspension will affect Customer’s obligation to pay all fees due pursuant to the DSA. Customer shall have no right to a refund of any previously paid fees. Any suspension of access to the Products resulting from a Default shall not constitute a termination of the Agreement.

Customer’s access to the Products shall resume upon Customer no longer being in Default, and upon payment by Customer any costs directly related to the restoration of access to the Products. GHD shall have the right to terminate this agreement as set forth in other provisions of this Agreement.

16. Warranty. (a) GHD warrants the functionality of the Product as set forth in the SLA and that the Product will meet applicable accessibility laws in place during the term of this Agreement, except that GHD has no responsibility to monitor or correct any content provided, generated, or uploaded by Customer. (b) Customer understands that the Product, or some features thereof, may be temporarily or permanently discontinued, changed, upgraded, improved, or limited, with reasonable notification to Customer. If, as a result of these changes, the Product is no longer supported by GHD, its vendors, or third parties, GHD shall have the right to terminate potions of, or the entire Agreement. (c) Customer acknowledges that use of the Products is at Customer’s own risk, except as otherwise provided herein. GHD is not responsible for protection or privacy of information transferred through the Internet or any other network Customer may utilize. Sensitive data may be protected with the use of encryption that does not violate any governing laws or regulations. Customer acknowledges that GHD has no control over and accepts no responsibility for Customer Data hosted by Customer. (D) EXCEPT AS EXPRESSLY SET OUT IN SECTION 16(a), THE PRODUCTS ARE PROVIDED “AS IS” AND WITHOUT

WARRANTIES, GUARANTIES, OR REPRESENTATIONS OF ANY KIND, EXPRESSED OR

IMPLIED, AT COMMON LAW, BY COURSE OF CONDUCT OR USAGE IN THE TRADE,

INCLUDING BUT NOT LIMITED TO ANY WARRANTIES REGARDING ACCURACY,

COMPLETENESS, MERCHANTABILITY, OR FITNESS FOR ANY PARTICULAR USE OR PERFORMANCE. GHD DOES NOT WARRANT THAT THE PRODUCTS WILL MEET ALL OF CUSTOMER’S REQUIREMENTS OR THAT IT WILL OPERATE IN ALL COMBINATIONS

WHICH MAY BE SELECTED FOR USE BY CUSTOMER OR THAT THE OPERATION OF THE

PRODUCTS WILL BE ERROR FREE OR UNINTERRUPTED OR THAT ANY DEFECTS IN

THE PRODUCTS WILL BE CORRECTED OR THAT ANY DATA IS COMPLETE OR WHOLLY

ACCURATE, OR THAT THE PRODUCTS WILL FUNCTION WITHOUT FAILURE OR INTERRUPTION. (E) UPON CUSTOMER NOTIFYING GHD OF ANY ERRORS, BUGS, OR OTHER PROBLEMS IN THE PRODUCTS, GHD’S SOLE AND EXCLUSIVE RESPONSIBILITY

WILL BE TO PROVIDE COMMERCIALLY REASONABLE EFFORTS TO CORRECT SUCH PROBLEMS TO THE EXTENT COMMERICALLY FEASIBLE. (e) The Products may contain Third Party Content. Customer acknowledges and agrees that GHD is not responsible or liable for: (i) the availability or accuracy of such Third Party Content. Links to or use of Third Party Content does not imply any endorsement by GHD of the Third Party Content.

Customer has the sole responsibility for and assumes all risk arising from Customer’s use of any such Third Party Content. Customer further acknowledges that Customer’s use of Third Party Content will be subject to the Third Party Terms applicable to such content.

17. Indemnification. (a) GHD agrees to indemnify and hold harmless Customer from and against losses, damages, liabilities, and expenses (including reasonable legal fees, court costs, and costs of investigation) to the extent they are caused by the gross negligence or willful misconduct of GHD or based on a claim that the Products infringe on any patent, copyright, trademark, or other intellectual property right of a third party; provided however, that GHD shall have no liability or obligation if the claim arises from (i) any alteration or modification to the Products by Customer or any third party not specifically authorized by GHD, (ii) any combination of the Products by Customer with other programs or data not furnished by GHD; or (iii) any use of the Products by Customer or its Authorized End Users that is prohibited by the EULA or is otherwise outside the permitted of use for which the Products are intended. Nothing contained herein shall be construed in derogation of the U.S. Department of Justice’s right to defend any claim or action brought against the U.S., pursuant to its jurisdictional statute 28 U.S.C. §516. (b) Notwithstanding anything to the contrary contained or implied herein, the GHD Indemnitees (defined below) shall have no liability for any damages, whatsoever relating to the tools, third party software, third party products, or any products or services not developed or provided by GHD. (c)Reserved.

18. Limitation of Liability. (a) TO THE MAXIMUM EXTENT PERMITTED BY LAW, FOR

ANY DAMAGE CAUSED BY NEGLIGENCE, INCLUDING ERRORS, OMISSIONS, OR OTHER ACTS; OR FOR ANY DAMAGES BASED IN CONTRACT; OR FOR ANY OTHER CAUSE OF ACTION OR THEORY OF LIABILITY; THE GHD INDEMNITEES’ LIABILITY

SHALL BE LIMITED TO THE AMOUNT ACTUALLY PAID BY CUSTOMER TO GHD DURING THE TWELVE (12) FULL CALENDAR MONTHS IMMEDIATELY PRECEDING

THE MONTH IN WHICH THE EVENT UPON WHICH LIABILITY IS PREDICATED FOR THE PRODUCTS PROVIDED BY GHD HEREUNDER. (b) EXCEPT AS EXPRESSLY SET OUT

HEREIN, THE GHD INDEMNITEES SHALL NOT BE LIABLE TO CUSTOMER, TO ANYONE

CLAIMING BY, THROUGH OR UNDER CUSTOMER, OR TO ANY THIRD PARTY FOR ANY

LIABILITY, EXPENSE, INJURY, CLAIM, PENALTY, FINE, INTEREST, OR CAUSE OF ACTION

WHATSOEVER OR HOWSOEVER ARISING, INCLUDING, WITHOUT LIMITATION, ANY

LOSS OR DAMAGE, INDIRECT, SPECIAL, INCIDENTAL, CONSEQUENTIAL, PUNITIVE,

OR EXEMPLARY, OR FOR LOSS OF PROFIT OR REVENUES, BUSINESS INTERRUPTION,

CONTRACT, GOODWILL, OR OTHER BUSINESS OR ECONOMIC LOSS, OR FOR

LOST OR DAMAGED DATA, THE AVAILABILITY OF DATA, OR DAMAGE TO NETWORK, COMPUTER, SERVER, OR THE PRODUCTS. THE FOREGOING LIMITATION OF LIABILITY SHALL NOT APPLY TO (1) PERSONAL INJURY OR DEATH RESULTING FROM LICENSOR’S NEGLIGENCE; (2) FOR FRAUD; OR (3) FOR ANY OTHER MATTER FOR WHICH LIABILITY CANNOT BE EXCLUDED BY LAW.

19. Dispute Resolution. Both Parties agree in good faith to attempt to resolve amicably, without litigation, any dispute arising out of or relating to this Agreement provided hereunder. The matter may be submitted to the judicial system set forth in Section 20.

20. Choice of Law. The Federal laws of the United States and the laws of the State of California shall apply in accordance with and to the extent consistent with GSAR Clause 552.238-114 Use of Federal Supply Schedule Contracts by Non-Federal Entities (May 2019) shall govern this Agreement, without reference to conflicts of law rules or principle.

Both GHD and Customer specifically disclaim the application of the UN Convention on Contracts for the International Sale of Goods to the interpretation or enforcement of this Agreement. Customer shall bring any action, suit, or other legal proceeding to enforce, directly or indirectly, this Agreement or any right based upon it exclusively in such courts.

21. Contracting Entity. The term GHD Digital used herein is a marketing name for the entities licensing the Product. For Customers located in the United States of America, the Product is licensed from GHD Services Inc, a Delaware corporation with offices at 2055 Niagara Falls Blvd., Niagara Falls, NY 14304, USA. For Customers located in the Canada, the Product is licensed from GHD Digital (Canada) Limited, formerly eSolutions Group Limited, an Ontario corporation with offices at 455 Phillip St., Waterloo, ON, N2L 3X2, CA.

22. Force Majeure. In accordance with GSAR 552.212-4(f), GHD will not be liable for any delay or failure to perform any obligation under this Agreement where the delay or failure results from any unforeseen or unavoidable cause reasonably beyond the affected Party’s control (“Force Majeure”). Force Majeure may include, but is not limited to natural events, pandemic, labor, or civil disruption, governmental or legislative actions, or orders of any court or agency having jurisdiction of the Party’s actions.

23. Notice. Notices pertaining to this Agreement shall be in writing and deemed to have been duly given if delivered by email to the respective Party’s contact identified in the Agreement, or at such other address as may be changed by either Party by giving written notice thereof to the other. All notices to GHD pertaining to this Agreement shall be delivered to [email protected].

24. Insurance. GHD agrees to carry throughout the Term of this Agreement insurance coverage appropriate to its Products and Services. The certificates of insurance, incorporated herein by reference, confirm GHD’s policy details for its commercial general liability, technology professional liability, and cyber liability insurance in effect at the Effective Date. Upon Customer’s request, GHD will provide certificates of insurance stating Customer as a certificate holder.

25. Service Levels. The Product will meet or exceed the minimum service level standards set out in the Service Level Agreement (“SLA”), subject to change without notice, published at https://www.ghd.com/en/resources/trustcenter/ ServiceLevelAgreement_1_0.pdf and incorporated into this Agreement.

26. Piggyback Clause. This Agreement may be used by other institutions (such as state, province, local and/or public corporations or agencies) who express an interest in piggybacking on this contract in accordance with the terms and conditions of this Agreement at the pricing offered by GHD to Customer at the time of piggybacking. GHD agrees that Customer shall bear no responsibility or liability for any agreements between GHD and the other Institution(s) who desire to exercise this option.

27. General. (a) Third Party beneficiaries. This Agreement does not and is not intended to confer any rights or remedies upon any person other than the Parties. (b) Waiver. No failure or delay by either Party in exercising any right, power or privilege hereunder will operate as a waiver thereof, nor will any single or partial exercise of any such right, power, or privilege preclude any other or further exercise thereof. (c) Successors and Assignment.

Customer may not assign, sublet, or transfer any rights under or interest (including, but without limitation, monies that are due or may become due) in this Agreement without the written consent of GHD. The obligations of the Parties under this Agreement will not terminate upon any attempted assignment that violates this Agreement. Any assignment or attempted assignment violating this Agreement is void. (d) Severability and Survival.

The Parties agree that, in the event one or more of the provisions or a portion thereof of this Agreement should be declared void or unenforceable, the remaining provisions shall not be affected and shall continue in full force and effect. The Parties also agree that the obligations and representations, indemnifications, or limitations of liability contained within Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

Govstack Terms and Conditions GSAv.1 (1.6.24) Govstack.com Digital Solution Agreement 2025
this Agreement shall survive the termination of this Agreement. (e) Authority. Customer represents and warrants that the individual accepting this Agreement is doing so with full and complete authority to bind Customer on whose behalf they are acting to every term of this Agreement. Acceptance of this Agreement signifies that Customer has read and agrees with all terms and conditions referenced in this Agreement. (f) Entire Agreement.

The DSA, these Terms, and any documents referenced in either document constitute the complete and final agreement between GHD and Customer regarding the subject matter hereof. This Agreement supersedes all prior or contemporaneous communications, representations, undertakings, or understandings of the Parties, whether oral or written, relating to the DSA or the Products. Modifications of this Agreement shall not be binding unless made in writing and signed by an authorized representative of each Party.

Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

1 GENERAL SERVICES ADMINISTRATION
Federal Acquisition Service
Authorized Federal Supply Schedule FSS Price List
On-line access to contract ordering information, terms and conditions, up-to-date pricing, and the option to create an electronic delivery order are available through GSA Advantage!®, a menu-driven database system. The INTERNET address GSA Advantage!® is: GSAAdvantage.gov.

Multiple Award Schedule
FSC Group: Information Technology FSC Class:

Contract number: 47QTCA25D006J
Contract period: Mar 13, 2025 – Mar 12, 2030
GHD Services Inc
2055 Niagara Falls Blvd.

Niagara Falls, NY 14304
Phone: 519-340-3805
Contractor’s internet address/web site where schedule information can be found at:
https://www.gsaelibrary.gsa.gov/
Contract administration source:

Cody Petrosino
Phone: 519-340-3805
Email: [email protected]
Business size: Small Business.

For more information on ordering from Federal Supply Schedules visit the following website:
http://www.gsa.gov/schedules/
*This is the MOST RECENTLY awarded Contractor Initiated Modification and does NOT include any Mass Modifications
Prices Shown Herein are Net (discount deducted)
Docusign Envelope ID: F897ED9A-A051-4248-A3A2-D5D638E09E3C

City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 14.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: November 12,
2025
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Erika De La Cruz, City Clerk
SUBJECT: Approval of Resolution No. 2025-145 A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF MCFARLAND APPROVING FUNDS FROM THE

CITY'S COMMUNITY GRANT PROGRAM TO THE MCFARLAND FAMILY

RESOURCE CENTER
SUMMARY:

In February 2023, the McFarland City Council established the Community Grants Program to provide funding opportunities for local groups, organizations, and volunteers whose events and initiatives enhance the cultural, social, and economic well-being of the City.

The Council also recognizes that residents have the right to expect that public funds will be spent responsibly, equitably, and with full accountability. In this regard, municipal grant funding reflects the Council’s commitment to partnering with organizations that offer programs, services, or projects beneficial to the community, while also acknowledging the financial limitations that may affect the City’s capacity to support such efforts.

Community Grant requests considered by the City Council must meet the established criteria of providing a public service, promoting the health, safety, or welfare of the community, and delivering measurable benefits to McFarland residents. Funding allocations require approval by a majority vote of the City Council.

In October 2025, City staff received a funding request from the McFarland Family Resource Center in the amount of $2,500 to support its Toys for Tots event scheduled for December 17, 2025. According to the proposal, the requested funds will be used to purchase toys for children up to ten years old, providing assistance to families experiencing financial hardship during the holiday season.

This event demonstrates the City’s ongoing commitment to supporting community-based initiatives that foster goodwill, hope, and encouragement among McFarland families.

FINANCIAL IMPACT:

If the request is approved, the impact to the Community Grant funds would be $2,500.

RECOMMENDATION:

Staff recommends that the City Council approve the grant application for an amount up to

$2,500 to the McFarland Family Resource Center. It should be noted that there is currently $6,800 remaining in the Community Grant Program allocation for the remainder of the fiscal year. When determining the amount to contribute, staff encourages the Council to consider other upcoming events that may also seek funding from this program to ensure equitable distribution and support for multiple community initiatives.

ATTACHMENTS:

1. McFarland Family Resource Center - Community Grant Application_Redacted

RESOLUTION NO. 2025-145

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND APPROVING

FUNDS FROM THE CITY'S COMMUNITY GRANT PROGRAM TO THE MCFARLAND

FAMILY RESOURCE CENTER
WHEREAS, the City Council recognizes the many benefits that various groups, organizations, volunteers, and events within the City of McFarland provide by promoting and improving upon the cultural, social and economic well-being of the City; and WHEREAS, the Council also recognizes that citizens have the right to expect that tax dollars will be expended in a manner that is justifiable, fair and holds groups accessing public funds accountable for their spending; and
WHEREAS, in that regard, municipal grant funding demonstrates the Council's commitment to working with groups which provide these beneficial programs, services or projects to the community while at the same time recognizing the financial constraints impacting the City's ability to provide funding to these groups; and
WHEREAS, the Community Grants requests which can be considered by the city council require that the requests meet the criteria of providing a public service, or otherwise promoting the health, safety or welfare of the community, and benefiting the community.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of McFarland that it hereby finds and determines as follows:

1. The foregoing recitals are true and correct and incorporated herein as if set forth in full.

2. The City of McFarland (“City”) desires to approve the requests for community grant funds by the McFarland Family Resource Center for a Toys for Tots event in the amount of $2,500.00.

3. The City of McFarland acknowledges that in consideration of the funding requests, the requesting organization, McFarland Family Resource Center, meets the criteria for the funding approval; and

4. The City of McFarland acknowledges that the funding requests meet the criteria of providing a public service, or otherwise promoting the health, safety or welfare of the community; and benefiting the community; and

5. The City Manager is hereby authorized and directed to proceed with the funding requests as indicated in the resolution, and.

6. The City Clerk shall certify the passage and adoption of this resolution.

7. This resolution is effective immediately.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on November 12, 2025 by the following vote:

Aye Nae Abstain Absent
Saul Ayon
Ricardo Cano
Anita Gonzalez
María T. Pérez
Martin Gutierrez

CITY OF MCFARLAND
____________________________
Saul Ayon, Mayor
ATTEST:
_____________________________
Erika De La Cruz, City Clerk
I, _________________________, City Clerk of the City of McFarland, California, DO HEREBY CERTIFY that the foregoing resolution is a true and accurate copy of the Resolution passed and adopted by the City Council of the City of McFarland on the date and by the vote indicated herein.

APPROVED AS TO FORM:
_____________________________
Nathan Hodges, City Attorney

City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 15.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: November 12,
2025
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
SUBJECT: AUTHORIZATION TO ISSUE A LETTER OF SUPPORT FOR THE REPORT CALIFORNIA ENERGY & FUEL POLICIES: A CLEAR AND PRESENT

THREAT TO NATIONAL SECURITY AND FORCE READINESS
SUMMARY:

At the request of Mayor Saul Ayon, this item is being brought forward for Council consideration to formally support the report titled California Energy & Fuel Policies: A Clear and Present Threat to National Security and Force Readiness.

The report highlights statewide economic and national security concerns resulting from declining refinery capacity, increased reliance on foreign crude sources, and vulnerabilities in California’s fuel supply chain.

The report asserts that current energy policies have contributed to higher fuel costs, supply instability, and the closure of major refineries, which may affect both civilian and military readiness. These impacts are particularly significant for small rural communities where families are more sensitive to fuel price fluctuations and transportation costs.

DISCUSSION
McFarland relies on affordable and reliable fuel for residents to travel to work, access health and educational services, and sustain agricultural and commercial activity in the region.

Supporting this report aligns with the City’s interest in advocating for energy policies that consider the economic impacts to communities with limited resources while still supporting broader environmental goals.

The proposed Letter of Support emphasizes the importance of balancing statewide energy policy decisions with the realities faced by working-class families and rural communities. Mayor Saul Ayon is requesting Council authorization to issue a Letter of Support to acknowledge the validity of the concerns raised and encourage ongoing dialogue at the state and federal levels.

If authorized, the City will issue the Letter of Support to the report’s authors and distribute copies to relevant state and federal offices.

FINANCIAL IMPACT:

There is no fiscal impact to the General Fund associated with issuing this Letter of Support.

RECOMMENDATION:

Staff recommends that the City Council authorize the Mayor to sign and issue a Letter of Support for the report titled California Energy & Fuel Policies: A Clear and Present Threat to National Security and Force Readiness.

ATTACHMENTS:

1. 2025.11.12 Letter of Support CA Energy & Fuel Policies

2. CA Impact on Force Readiness

401 W. Kern Avenue
McFarland, CA 93250
661-792-3091 Office
661-792-3093 Fax
November 12, 2025
Mr. Stan Ellis
California State Assembly
Email: [email protected]
Professor Michael Mische
University of Southern California
Email: [email protected]
Re: Support for California Energy & Fuel Policies: A Clear and Present Threat to National Security and Force Readiness
Dear Mr. Ellis and Professor Mische,
On behalf of the City of McFarland, we wish to express our support for the findings and concerns raised in your recent report titled California Energy & Fuel Policies: A Clear and Present Threat to National Security and Force Readiness.

As a small, rural community in the heart of California’s agricultural region, McFarland is particularly vulnerable to rising fuel costs, energy policy shifts, and supply chain disruptions.

Many working-class families rely on affordable fuel for commuting, accessing essential services, and securing employment throughout the region. When fuel prices rise or supply becomes unstable, the economic strain is felt immediately and deeply.

The report highlights a concerning reduction in refinery capacity, increased reliance on foreign crude sources, and the lack of resilient domestic supply routes. Beyond the implications for national security and military readiness, these conditions place greater financial pressure on communities that already face economic barriers.

We believe that any long-term transition in the energy sector must balance environmental goals with the needs of everyday Californians. Reliable and affordable fuel remains essential for rural and agricultural regions, and public policy must ensure that communities like ours are not placed at greater economic risk.

The City of McFarland appreciates the research and analysis conducted, as it brings needed attention to the broader consequences of California’s current energy trajectory. We support continued dialogue among state and federal leaders, industry partners, and local governments to ensure California’s energy future is sustainable, secure, and economically fair for all communities.

Thank you for initiating this important conversation. We welcome opportunities to participate in further discussions that protect public safety, affordability, and the wellbeing of our residents.

Sincerely,
Saul Ayon
Mayor, City of McFarland

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 1 CALIFORNIA ENERGY & FUEL POLICIES:

A CLEAR AND PRESENT THREAT TO NATIONAL SECURITY
AND
FORCE READINESS?
by
Stan Ellis, Member, California Assembly (1)
Michael Mische, University of Southern California (1)
Michael Ariza, Petroleum Professional & U.S. Navy Veteran (1) Released October 21, 2025
Washington, D.C.
16oo Hours

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 2 EXECUTIVE SUMMARY
The purpose of this paper was to research and discuss the influence of California oil, fuels, and refining regulatory policies, statutory actions, and prevailing political attitudes on U.S. military force readiness and national security.

Our analysis has identified and addressed four major points of California created and specific vulnerabilities which can compromise U.S. military force readiness and national security: 1- Refineries, 2- Distribution (Pipelines), 3- Production, and 4- Fuel Inventories.

1.0 Introduction
Arguably, California has the most severe restrictions regulating the oil, refining, and fuels industries in the world.

California’s energy policies and regulations have not only resulted in the highest gasoline prices in the nation, and the highest taxes and fees in the nation but have led to the closure of two major refineries which now threaten essential pipelines that provide crude oil and fuel supplies to California’s surviving refineries, civilian markets, and military installations, as well as those in Arizona and Neveda.

The oil and gasoline industries in California account for around 8% of the state’s GDP…but it is, critically, the first 8% of its overall GDP. Without oil and gasoline, the other 92% would be impossible to attain. Without petroleum, asphalt can’t be made, and steel cannot be produced. Even in a state as environmentally conscious as California, fossil fuels still generate around 40% of all electricity. Without that 40%, there would be no Silicon Valley. Without gasoline and diesel fuels, California agricultural production would be a fraction of what it is today.

California was once a leading producer and exporter of oil and crude oil products in the world. Much of California’s 20th-century economy was predicated on oil and gasoline production, which, in turn, provided the fuel to support its population growth, agricultural production, the defense industry, and later, the tech industries. Today, California is far from self-sufficient with respect to its energy needs. The state produces less than 23% of its own in-state petroleum needs, and imports over 65% of its crude oil from non-U.S. foreign sources, the largest of which was Iraq over the recent years.

As a result of California government policies and regulatory actions, as well as years of politicians demonizing refiners and producers as “price gougers” without economic proof, California is now facing a pending gasoline and aviation fuels crisis of potentially epic levels. In all planning scenarios, California will be increasingly dependent on non-U.S. foreign sources for gasoline. Rather than investing in its state’s resources and employment, California’s policies necessitate paying petrostates, such as Iraq and Saudi Arabia, over $60 million a day for crude oil imports.

In addition to buying crude oil, the Golden State will now be paying for non-U.S. foreign gasoline, some of which may be made from Iranian and Russian oil. In this regard, and as a direct result of its political and regulatory policies, California will be knowingly financing and, perhaps to some extent, aiding and abetting America’s potentially most menacing adversaries.

In our collective opinion, and after considerable study, we believe that California’s policies as well as its recent demonstrated inability to effectively manage the current refinery closings and in-state oil production crisis contributes to increased vulnerabilities to military fuels disruption which, in turn, can compromise U.S. force readiness and national security.

2.0 California Oil & Gasoline Consumption
California consumes around 580 to 603 million barrels or 25 to 31 billion gallons of crude oil products annually. Of that amount, approximately 97.6 million barrels of crude or 16% is associated with aviation (jet fuel) consumption.

Of the 97.6 million barrels of jet fuel consumed in 2024, around 10.0 million gallons are associated with “normal” military aviation. In times of military actions or national defense, that consumption is likely to be far higher…and California must have resiliency and redundancy in-situ; it does not. California refineries also produce aviation gasoline, commercial aviation fuel, diesel fuels, and gasoline for military consumption. As demonstrated in Operations Desert Shield and Desert Storm, military mobilization often involves personnel and material movement via commercial airliners and chartered flights, which use aviation jet fuel.

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 3 Despite having the 5th largest crude reserves in the U.S., California’s in-state crude oil production has fallen over 68% since 1991. Consequently, California is the most heavily reliant of all U.S. states on non-U.S. crude oil sources, with non-U.S. oil imports comprising over 65% of California’s needs. In 1981, California's imports from non-U.S. countries were less than 6%. While overall U.S. dependency on foreign oil has declined dramatically, California’s dependency has increased. That overdependency on foreign oil providers and foreign-flagged oil tankers contributes to U.S. military readiness concerns, as well as the potential for compromised national security.

Overall gasoline consumption in California, despite political hyperbole surrounding EV adoption, has not materially changed since 2001. In fact, it’s less than one percent annually. EV adoption rates have slowed and are far below the projections of the California Air Resources Board (CARB). Californians consumed over 317 million barrels of gasoline in 2024. Furthermore, California supplies 88% of its gasoline needs to Nevada and 33% of its needs to Arizona, or around 44.9 million barrels of gasoline annually. Furthermore, the largest growing segment of fuel consumption in California is jet fuel. As California is losing refinery capacity and, quite possibly, pipelines due to low volumes, California’s energy policies and attitudes towards its oil, gas, and refinery operators creates force readiness concerns and potential conflicts in resource allocations.

Source: M. A. Mische

3.0 California Refineries
Military aviation fuels are of the highest grades and standards and require specialized refining operations. F-18, F22, and F-35 fighter jets, heavy bombers such as the B-52, B-1, and B-2, and drones all rely on advanced aviation jet fuels. When deployed in combat or on routine missions, America’s war fighters require fuel. The logistics of resupply require precision planning and operations of the highest caliber. U.S. aircraft carriers, which exist for the sole purpose of launching military aircraft, must carry millions of gallons of jet and aviation fuels for the performance of their mission. California oil refineries and pipelines are the fountainhead of a long and complex military fuels supply chain. Any operational or policy failure along the logistical supply chain can and will compromise operations, the mission, and American lives.

Neither the U.S. nor California government own and operate oil fields or refineries. Contrary to common belief, the U.S. Strategic Petroleum Reserve (SPR), which was created in the 1970s and is located predominantly in America’s southeast, does not store gasoline or jet fuels. The SPR stores crude oil. Alarmingly, the SPR, under President Joe Biden, was drained of crude, with days’ supply plummeting 62% from 12/25/20 to 12/27/24. 0 200000000
400000000
600000000
800000000
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21

CA ESTIMATED CRUDE OIL CONSUMPTION
in

BARRELS (CY)
2026 to 2045+
Year

ALL BARRELS- GRAND TOTAL-ANNUAL
Managed Rates

AGGRESSIVE RATE

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 4 (Source: EIA)
Despite being the largest state in the Union and the 4th largest economy in the world, California has no inbound pipelines supplying crude oil, gasoline, or aviation fuels, which amplifies U.S. national security vulnerabilities.

Astonishingly, over 95% of California’s inbound crude and gasoline supplies are delivered by maritime tankers, the majority of which are not U.S.-flagged vessels, including tanker ships owned by Russia’s SCF Group and China’s Cosco Shipping Energy Transportation.

In 1991, there were over 40 refineries in California. As of October 16, 2025, there are eight refineries operating in California with a combined processing capacity of 1.467 million barrels of crude oil daily. That’s down 68% in the number of refineries since 1991. As Chevron President Andy Walz recently noted in a Fox Business interview, "I think it's been a tyranny of about 25 years to get the refining business to leave California." Consequently, it was not, as some California politicians and agency “experts” assert, that it was by intentional desire or some industry conspiracy that created industry concentration and reduced the number of refineries in the state; it was state regulations and policies that drove the refiners out.

By April 2026, there will only be seven refineries surviving in California as a result of the two most recent refinery closures (Phillips 66 and Valero). In-state gasoline production will be reduced by at least 6.2 million gallons a day, with progressively worse-case estimates totaling 9.33 million gallons a day. In addition, jet fuel production from Valero will drop by 600,000 gallons a day. By 2035, California refinery production could decline by 35% or more, placing greater pressure on shrinking supplies, increasing consumer prices past $8.00 a gallon, and forcing greater dependency on non-U.S. suppliers for fuels and crude oils and foreign shippers.

Biden Actions

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 5 Source: EIA & CEC

4.0 California: America’s Asia-Pacific Military Vanguard Since 1945, U.S. military doctrine has been founded on deterrence and “Peace Through Strength.” California’s military installations sit as the vanguard of U.S. forces with direct facing to potential nuclear adversaries such as North Korea, Russia, and the People’s Republic of China (PRC), and transnational terrorist organizations in the Philippines, Malysia, and Middle East. California is home to some 50-plus U.S. military installations, which include, but are not limited to:
• The Pacific Fleet based in San Diego, Alameda, and Point Loma. • United States Marines stationed at Camp Pendleton, Twenty-Nine Palms, Miramar, and Barstow. • U.S. Coast Guard ports and stations located inland and along the state’s 840-mile coastline, and from bases inland.
• U.S. Air Force bases, including Los Angeles, Edwards and Travis and missile bases such as Vandenberg. • The U.S. Navy Post-Graduate College located in Monterey.

California’s refinery capabilities extend to provide fuels to U.S. bases located in Arizona and Nevada. For example, California supplies Luke Air Force base, the USMC base in Yuma, and the Air National Guard based in Arizona.

California also supplies fuels to Nellis and Clark Air Force bases in Nevada, as well as military testing, proving, and training areas, which are essential for war readiness, and are also located in Arizona and Nevada.

California-based military forces are under the command of U.S. Indo-Pacific Command (USINDOPACOM) and are capable of providing lethal forces, at strength and scale, as needed, anywhere in the world within 72 hours…assuming, of course, that those forces have sufficient fuel to reach the designated theaters and threats and can prosecute continuous war operations. To help put the U.S. commitment to the Asia-Pacific Theater, two of the largest U.S. military installations are located in Japan and South Korea. Total U.S. troop strength in the Asia-Pacific Command deployed to Japan and South Korea outnumbers that of Europe.

California’s energy policies, political sentiments, and regulatory environment have become a direct threat to U.S. military force readiness on the West Coast. As has been documented in various U.S. war planning exercises and studies, America confronts a new axis of evil composed of China, Iran, North Korea, and Russia. These potential adversaries, along with the emergence of transglobal terrorism have presented the U.S. the considerable challenges for both 2.5 and 4+1 war planning scenarios. However, with diminishing refining capacity placing pressures on supply, and extreme reliance on non-U.S. crude and gasoline, as well as foreign tankers for supplies, California’s policies appear not to align with nor support the concept of self-sufficiency, and the need for force readiness. 0 5
10 15
20 25
30 35
40 45
50 198219841986198819901992199419961998
20002002200420062008
20102012201420162018
202020222024
California Number of Operable Refineries as of January 1, 1982 to January 1, 2024
CA.- 69.7% decline in the number of refineries
CA.- 36% decrease in refinery capacity

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 6 In any conflict scenario, U.S. force readiness and response plans require jet, diesel, and gasoline to prosecute war operations. As the vanguard to the Asia-Pacific Theater, the weight of U.S. Pacific readiness stands squarely on the shoulders of California and its refineries and gas and oil infrastructure. Given the current status and trajectory of California energy policy, it is not an issue of whether military fuel supplies will fail; that process has already begun.

The larger and more concerning issue is that if left unaddressed, and if left to the whims of the California Legislature and the wisdom of Governor Newsom, California’s apparent failure to fully comprehend and effectively address the current oil and gasoline crisis will only accelerate fuel, price, and supply insecurities, which could ultimately, compromise U.S. military force readiness and U.S. war doctrine.

Under Defense Fuel Support Point (DFSP) cover levels, as verified in DLA Energy Logistics Manual (3–5 days peacetime working stock and faster under surge demand), Pacific readiness begins degrading within ~72 hours.

DFPS, which maintains only minimal day’s supplies of fuel stocks, acquires its fuel from commercial refineries owned and operated by for-profit corporations and predominantly uses commercially available pipelines for the delivery of its fuel supplies. In practical terms, this means that if fuel deliveries stop, California and its neighbors begin running dry almost immediately, imperiling both civilian mobility and military operations.

The collective effect of California’s policies and regulations has created vulnerabilities to America’s war readiness, which are, undoubtedly, well-studied and well-known to our adversaries. California’s central role in National Defense extends beyond its borders and neighboring states. For example, the closure of the Red Hill Bulk Fuel Storage Facility in Hawaii eliminated the Pacific’s only hardened strategic reserve, forcing the U.S Indo-Pacific Command to adopt a dispersed fuel posture. Fuel once stored under a mountain at Red Hill is now distributed among new and expanded bulk sites in Australia (Darwin ~ 80 million gallons), Guam, Japan, Korea, and the Philippines. While this distributed model improves survivability, it multiplies dependence on California’s refinery output and tanker lift capacity to sustain forward forces. Analysts estimate that roughly 86 tankers would be required to maintain continuous supply during a major Pacific contingency; several dozen more than the U.S. fleet now controls. Every gallon that fails to leave California on schedule compresses the ~72-hour readiness window described in this report. In effect, California’s fuel network is not just a state vulnerability; it is the starting point of America’s forward defense posture, and its failure would ripple through every Pacific operational node within days.

Other than increasing reliance on oil and gasoline from non-U.S. suppliers and foreign-owned tankers for transport, California’s government and leadership have no real plan to address its pending gasoline and aviation fuels crisis.

More importantly, California leadership has woefully underestimated the implications of its actions on overall U.S. national security. For example:
• The Phillips 66 Rodeo refinery, formerly a 120 kbpd crude facility, has already transitioned to renewable diesel and no longer contributes CARB-compliant gasoline or jet fuel to the state supply. With no local reserves and only working stocks at DFSPs, every disruption must be absorbed in real time by an already strained supply chain.
• Recent incidents further illustrate the magnitude of capacity attrition. PBF Martinez sustained a maintenance fire on February 1, 2025, forcing the refinery offline until late April. It did not return to full restoration until the third quarter of 2025.
• Marathon Martinez, a 161,000 BPD refinery, was idled by a fire on November 19, 2023, and has yet to resume full crude operations and continues producing about 17,000 BPD of renewable diesel, effectively removing roughly 160,000 BPD of crude-mode capacity from the state’s system.

EIA data indicates that California and the broader West Coast have no strategic refined-fuel reserve. At any given time, the total volume of transportation fuel in transit or storage across the region equals only about two to three weeks of normal demand—roughly fourteen to twenty-one days of supply. In a national emergency, the federal government could requisition commercial fuel stocks for military-priority use, but without active resupply, even

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 7 those operational reserves would be exhausted within roughly two weeks. Replenishment would rely on longdistance imports that take additional weeks to arrive, especially as in-state production continues to shrink.

The U.S. military consumes over an estimated 100 million barrels of oil annually. The U.S. Air Force is the largest consumer of crude among the branches…Navy is second and Marines are third. To help put military consumption in perspective, according to various estimates, the USS Ronald Reagan, a Nimitz-class carrier, which posts F/A-18 Super Hornets airwings and other aircraft, maintains at least 3.4 million gallons of jet fuel as inventory to support airwing operations. An F/A-18 fighter jet carrier-based airwing is composed of 35 to 43 aircraft and consumes up to 800,000 gallons a day if operating in combat conditions and depending on fuel density and aircraft efficiencies.

A single F/A-18 Super Hornet alone can burn upwards of 1,100 gallons per hour and around 72,000 pounds per hour with full afterburners. A 2020 analysis of F/A-18F fuel consumption based on over 400,000 sorties indicated that the average fuel consumption for Asia-Pacific is 13,396.9 lbs. per sortie or about 2,000 gallons. The U.S. Air Force’s B-2 bomber holds 172,000 lbs. of fuel and burns 3,300 lbs. per hour, and America’s “The Bone” B-1 supersonic bomber carries 265,274 lbs. For comparative purposes, a Boeing 747-Bi used for commercial flight and charter transport of military personnel carries around 63,000 lbs. of fuel.

5.0 California Pipelines
California has an extensive network of pipelines within the state. However, California’s gasoline dilemma is further exasperated by the absence of any inbound pipelines from other states for oil or gasoline. As a result, California is isolated and has become increasingly dependent on foreign oil imported mostly by large maritime tankers and, to a lesser extent, rail and truck transports. Consequently, 98% of all foreign-sourced inbound crude oil is supplied to California via maritime vessels. The lack of inbound pipelines from other states isolates California from U.S. and Canadian sources and places the State in a vulnerable position with respect to oil and gasoline supplies.

California’s immediate concern is related to its major northbound pipeline which has a capacity of around 300,000 barrels of throughput daily. Since assuming office in January 2019, new oil drilling permits under Governor Newsom fell by 95%. The reduction in new drilling permits and California’s long-standing policies, which have crippled California’s in-state onshore oil production and have prohibited offshore producers from using existing pipelines to move production onshore, the northbound pipelines are susceptible to imminent closure as they require 90,000 barrels a day in production to remain operationally and economically viable. Currently, they are operating at around 17% of capacity or 50,000 barrels a day, and the owner/operators are experiencing financial losses of around $2.0 million a month. In reaction, California passed SB 237, which is intended to provide additional in-state oil production from Kern County, ostensibly to address the potential of pipeline closures. Initial research indicates that SB 237 alone will not provide sufficient production to meet California’s needs, and at prevailing lower Brent crude prices, it is questionable whether any new production will come online in time to make the northbound pipeline system economically sustainable. Stated differently, SB 237 still leaves California short in in-state oil production.

The closure of the northbound pipelines presents a direct threat to U.S. force readiness and represents a profound vulnerability in national security. For example, a technical weakness in California’s fuel network directly translates into a potential military vulnerability. If a major pipeline or terminal disruption halts deliveries of JP-8 jet fuel or diesel to regional bases, the ability of U.S. forces to project power is immediately constrained. Fighter and transport aircraft cannot launch, and Army or Marine convoys cannot deploy without JP-5, JP-8, or diesel in their tanks. The interdependence is absolute: every service branch operating in the western United States relies on the same California-linked logistics chain for refined fuels, and any disruption or interruption can compromise military mission readiness.

For any Asia-Pacific operation, California’s refinery and in-state oil production will be essential to the fighting effectiveness of U.S. forces, and any further losses will compromise U.S. force readiness. To compensate for California’s actions, the American Taxpayer will have to pay additional costs and fees to acquire, transport, and store the fuels that were once produced in California. As it currently stands, California has lost a significant portion of its gasoline production from the October 16, 2025, closure of the Los Angeles area Phillips 66 refinery. In addition, California will lose another 145,000 barrels a day of production with the closure of the Valero refinery in Northern California. Between 2023 and April 2025, California refinery production will have cumulatively dropped

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 8 by almost 22%. Any further loss in in-state oil production will most likely result in the loss of the north-south pipeline system. The loss of the pipelines will necessitate hundreds of additional trucks to be used on California’s roads to transport both crude oil and fuels predominantly to the few surviving northern refineries. Although the roads may be able to accommodate massive increases in the volume of truck traffic, the originating and receiving ports for the transported cargo have physical limitations, and road blockages, accidents, and equipment failures, will create the inevitable back-ups and delays in supplies. In the event of military mobilization, at any scale, those selfimposed California limitations will become liabilities.

Travis Air Force Base provides a simple hypothetical example of how reduced refinery capacity and pipeline disruption can influence readiness risk. The base’s resupply threshold triggers when on-hand inventory falls below roughly 8–9 million gallons, at which point Valero dispatches a jet-fuel batch from Benicia. The refinery maintains three jet-fuel storage tanks totaling about 290,000 barrels (~ 12.2 million gallons). During standard peacetime operations, Travis issues around 200,000 gallons per day, equivalent to roughly one week of cover. Under surge or contingency conditions, when heavy- lift and tanker sorties increase sharply, that stock would last fewer than three days. For example, during mobilization and extensive operations, tanker sorties increase sharply, thereby increasing overall Travis consumption to over 1.0 million gallons per day or less than three days of fuel supplies in on-hand inventory.

Travis receives its jet fuel from a private pipeline from a northern California refinery, predominantly Valero. The disruption of the pipeline and/or the closure of the refinery supplying the base would require replenishment, most likely by truck. Based on approved capacities, that would require approximately 21 trucks per day, seven days a week, 365 days a year, just to compensate for equivalent amounts lost due to refinery and pipeline closures. Looking at it differently and assuming that California will lose more refineries, and or lose the major north-south pipeline system, which has a capacity of around 300,000 barrels a day, the state would require an additional 1,333 tanker trucks per day to transport fuels and crude oil. California’s road system, bridges, and loading and receiving terminals would be overloaded and flooded with traffic and incapable of processing such volume on a daily basis. Using railroad tankers would require at least 44 more cars per day, which would still need truck support.

6.0 War Planning: Understanding The Stress Case (Multi-Point Failure War planning is a complex and sophisticated process. Multiple scenarios and an endless list of permutations and combinations are possible. For purposes of this study, we focused on a “worst-case” scenario involving multi-point failures. Specifically, and for example and discussion purposes only, a concurrent disruption, such as a major refinery casualty combined with a CalNev/SFPP East pipeline shutdown and temporary marine-terminal outage, would eliminate 70–90 percent of refined-product inflow across California and the interior Southwest for at least one week.
• Day 1: Within the first 24 hours, refineries and terminals exhaust operational buffers and activate allocation orders. DFSPs suspend all non-mission fuel activity and re-route limited deliveries to priority installations. • Days 2 & 3: Regional airports, including LAX and Phoenix, begin rationing jet fuel; interior corridors such as Las Vegas approach critical supply. Retail shortages expand rapidly, forcing fuel-priority declarations for emergency services.
• Days 4 to 7: Routine flight training ceases entirely to preserve JP-8/JP-5, hospitals and water utilities will near diesel exhaustion, and consumer panic drives queueing and sporadic unrest.

Without rapid restoration, regional readiness degrades sharply by the end of the first week. The initial marine backfill arrives only after three to six weeks (average Asia–California voyage plus terminal delay), confirming that import cadence cannot stabilize inventories before collapse. Under this stress test, a two- to four-week period of severe operational degradation emerges—a pattern consistent with DOE CESER and RAND interdependency models and observed colonial-scale disruptions. While the probability of simultaneous multi-node failure is low, correlation rises sharply under major seismic events, coordinated cyber intrusion, or deliberate sabotage. This scenario,

Not Classified. For Discussion Purposes Only
(i) © 2025. This document which has been prepared for discussion and educational purposes only, expresses the sole personal opinions and positions of the authors cited herein. The ideas, content, findings, analyses, positions, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or explicitly, the opinions, policies, positions and/or statements of the State of California, the University of Southern California, or any of the employers and/or their affiliates thereof of the authors. 9 therefore, defines the upper bound of regional vulnerability and validates the trigger thresholds established in Eq.

E10 (days-of-supply < 5, pipeline outage > 24 hours, or refinery unit loss > 40 kbpd) are the points at which immediate federal allocation, waiver, and unified-command actions must initiate.

The chart below illustrates the sequential decline of refining capacity, pipeline throughput, and fuel inventories following a multi-node outage. As illustrated, jet fuel would collapse first, which would reduce operational readiness within 72 hours. By Week 2, operational readiness falls below 40% of baseline, confirming that cascading logistics failures drive exponential loss of capability and are not linear. In this scenario, the loss will most likely accelerate, exasperating U.S. operational efficacy.

Source: Eq. E1 (Inventory with Transport Lags), Eq. E9 (Economic Loss from Shortages); EIA PADD 5 2024; CEC Petroleum Watch 2024; DLA Energy Dat

Not Classified. For Discussion Purposes Only
© 2025. This document which has been prepared for discussion and educational purposes only, expresses the personal opinions of the authors cited herein. The ideas, content, findings, analyses, and opinions expressed in this document do not reflect, represent or articulate in any way, implied or expressed, the policies, positions and statements of the State of California, the University of Southern California or any of the employers or affiliates thereof of the authors.
10 7.0. Call for Presidential Action & Immediate Relief Californians pay the highest gasoline prices and are burdened with the highest taxes and environmental program costs in the nation. Consequently, California consumers suffer at the pump. Furthermore, California, through its history of legislative actions and the consequential implications leading to the loss of in-state oil production, pipeline capacities, and refinery losses, has demonstrated its incapability to recognize and inability to preserve the national security interests of the nation, as well as the economic interests of neighboring states, with respect to energy production.

Although it was not the objective of this paper to determine the legal and political remedies to the California energy crisis and its contagion effect on the broader national interests, there are some intuitive actions that may provide POTUS with several options to mitigate the actions of California and protect the security interests of the U.S. as related to California as related to petroleum and refinery assets.

The most direct method may be for POTUS to declare California oil production pipelines, terminals, ports, refineries, and all related infrastructure as essential assets and invoke the Defense Protection Act (DPA) as provided under DPA Titles I and III, and DoD (now DoW) Directive 3020.40. This would have the effect of allowing POTUS to preserve and protect California oil production and refining assets essential to national defense. Secondly, POTUS may be able to avail himself of the national Emergencies Act to provide temporary relief to California producers, operators, and refiners. Finally, as a critical and essential national security asset, POTUS may have constitutional powers for protecting California gasoline production and other petroleum assets, potentially through operation of the Supremacy Clause of the U.S. Constitution.

California and the nation can ill afford a self-engineered and created California gasoline and aviation fuel crisis. Both the economic and national security interests are profoundly influenced, and sadly, compromised by California's political sentiment and legislative actions related to refinery operations and oil production.

The need for action is now, and the potential for a crisis caused by California’s selfish policies creating a contagion effect on U.S. force readiness is imminent. It’s time for Presidential intervention and national oversight.

For Additional Information, please contact:

Mr. Stan Ellis, Member of the California Assembly
Email: [email protected]
Professor Michael Mische, University of Southern California Email: [email protected]
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