Cities Index.
Agenda packet

McFarland City Council
October 14, 2026

Document
Agenda packet
Meeting
October 14, 2026
Body
McFarland City Council
Pages
300
Original file
34.6 MB
Text extracted from the city's file for reading and search. Open the original on mcfarlandca.api.civicclerk.com. That file is the official record.

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waives any claim Contractor may have to any such rights.

4.3 Project Manager.

The “Project Manager” for the City shall be the City Engineer or any other person as may be designated by the Project Manager. It shall be the Contractor’s responsibility to assure that the Project Manager is kept informed of the progress of the performance of the services and the Contractor shall refer any decisions which must be made by City to the Project Manager. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Project Manager. The Project Manager shall have authority, if specified in writing by the City Manager, to sign all documents on behalf of the City required hereunder to carry out the terms of this Agreement.

4.4 Independent Contractor.

Neither the City nor any of its employees shall have any control over the manner, mode or means by which Contractor, its agents or employees, perform the services required herein, except as otherwise set forth herein. City shall have no voice in, or authority over, the selection, discharge, supervision or control of Contractor’s employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. Contractor shall perform all services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Contractor shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. City shall not in any way or for any purpose become or be deemed to be a partner of Contractor in its business or otherwise or a joint venturer or a member of any joint enterprise with Contractor.

4.5 Prohibition Against Subcontracting or Assignment.

The experience, knowledge, capability and reputation of Contractor, its Principals and employees were a substantial inducement for the City to enter into this Agreement. Therefore, Contractor shall not contract with any other entity to perform in whole or in part the services required hereunder without the express written approval of the City. All subcontractors shall obtain, at its or Contractor’s expense, such licenses, permits, registrations and approvals (including from the City) as may be required by law for the performance of any services or work under this Agreement. In addition, neither this Agreement nor any interest herein may be transferred, assigned, conveyed, hypothecated or encumbered voluntarily or by operation of law, whether for the benefit of creditors or otherwise, without the prior written approval of City. Transfers restricted hereunder shall include the transfer to any person or group of persons acting in concert of more than twenty five percent (25%) of the present ownership and/or control of Contractor, taking all transfers into account on a cumulative basis. In the event of any such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. No approved transfer shall release the Contractor or any surety of Contractor of any liability hereunder without the express consent of City.

ARTICLE 5. INSURANCE, INDEMNIFICATION AND BONDS

5.1 Insurance Coverages.

Without limiting Contractor’s indemnification obligation to the City (as set forth below), and prior to commencement of any services under this Agreement, Contractor shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and, in a form, satisfactory to City.

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(a) General liability insurance. Contractor shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. (b) Automobile liability insurance. Contractor shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 01 covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with Services to be performed under this Agreement, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident. (c) Professional liability (errors & omissions) insurance. Contractor shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Contractor agrees to maintain continuous coverage through a period no less than three (3) years after completion of the services required by this Agreement.
(d) Workers’ compensation insurance. Contractor shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). (e) Builder’s Risk Insurance. Contractor shall maintain Builder’s Risk (Course of Construction) insurance utilizing an “All Risk” (Special Perils) coverage form, with limits equal to the completed value of the Project and no coinsurance penalty provisions or provisional limit provisions.

The policy must include: (1) coverage for any ensuing loss from faulty workmanship, nonconforming work, omission or deficiency in design or specifications; (2) coverage against machinery accidents and operational testing; (3) coverage for removal of debris, and insuring the buildings, structures, machinery, equipment, materials, facilities, fixtures and all other properties constituting a part of the Project; (4) ordinance or law coverage for contingent rebuilding, demolition, and increased costs of construction; (5) transit coverage (unless insured by the supplier or receiving contractor), with sub-limits sufficient to insure the full replacement value of any key equipment item; (6) ocean marine cargo coverage insuring any Project materials or supplies, if applicable; (7) coverage with sub-limits sufficient to insure the full replacement value of any property or equipment stored either on or off the Project site or any staging area.
(f) Pollution Liability Insurance. Contractor shall maintain Environmental Impairment Liability insurance, written on a Contractor’s Pollution Liability form or other form acceptable to City providing coverage for liability arising out of sudden, accidental, and gradual pollution and remediation.

The policy limit shall be no less than $1,000,000 per claim and in the aggregate. All activities contemplated in this Agreement shall be specifically scheduled on the policy as “covered operations.” The policy shall provide coverage for the hauling of waste from the Project site to the final disposal location, including non-owned disposal sites.

5.2 General Insurance Requirements.
(a) Subcontractors. Contractor shall include all subcontractors as insureds under its policies or shall furnish separate certificates and certified endorsements for each subcontractor. All coverages for subcontractors shall include all of the requirements stated herein.

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(b) Proof of Insurance. Contractor shall provide certificates of insurance to City as evidence of the insurance coverage required herein, along with a waiver of subrogation endorsement for workers’ compensation. Insurance certificates and endorsements must be approved by City’s Risk Manager prior to commencement of performance. Current certification of insurance shall be kept on file with City at all times during the term of this Agreement. City reserves the right to require complete, certified copies of all required insurance policies, at any time. (c) Duration of Coverage. Contractor shall procure and maintain for the duration of this Agreement insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the services hereunder by Contractor, its agents, representatives, employees or subcontractors.
(d) Primary/noncontributing. Coverage provided by Contractor shall be primary and any insurance or self-insurance procured or maintained by City shall not be required to contribute with it.

The limits of insurance required herein may be satisfied by a combination of primary and umbrella or excess insurance. Any umbrella or excess insurance shall contain or be endorsed to contain a provision that such coverage shall also apply on a primary and non- contributory basis for the benefit of City before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured. (e) City’s Rights of Enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, City has the right but not the duty to obtain the insurance it deems necessary, and any premium paid by City will be promptly reimbursed by Contractor or City will withhold amounts sufficient to pay the premium from any payments due to the Contractor. In the alternative, City may cancel this Agreement. (f) Waiver of Subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against City, its elected or appointed officers, agents, officials, employees and volunteers or shall specifically allow Contractor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Contractor hereby waives its own right of recovery against City and shall require similar written express waivers and insurance clauses from each of its subcontractors. (g) Enforcement of Contract Provisions (non-estoppel). Contractor acknowledges and agrees that any actual or alleged failure on the part of the City to inform Contractor of non-compliance with any requirement imposes no additional obligations on the City nor does it waive any rights hereunder.
(h) Requirements Not Limiting. Requirements of specific coverage features or limits contained in this Section are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any Party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type. If the Contractor maintains higher limits than the minimums shown above, the City requires and shall be entitled to coverage for the higher limits maintained by the Contractor. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to the City.
(i) Notice of Cancellation. Contractor agrees to oblige its insurance agent or broker and insurers to provide to City with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage.

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(j) Additional Insured Status. General liability policies shall provide or be endorsed to provide that City and its officers, officials, employees, and agents, and volunteers shall be additional insureds under such policies. This provision shall also apply to any excess/umbrella liability policies. (k) Prohibition of Undisclosed Coverage Limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. (l) Separation of Insureds. A severability of interests provision must apply for all additional insureds ensuring that Contractor’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions. (m) Pass Through Clause. Contractor agrees to ensure that its subconsultants, subcontractors, and any other Party involved with the Project who is brought onto or involved in the Project by Contractor, provide the same minimum insurance coverage and endorsements required of Contractor. Contractor agrees to monitor and review all such coverage and assumes all responsibility for ensuring that such coverage is provided in conformity with the requirements of this Section. Contractor agrees that upon request, all agreements with consultants, subcontractors, and others engaged in the Project will be submitted to City for review.
(n) Agency’s Right to Revise Specifications. The City reserves the right at any time during the term of this Agreement to change the amounts and types of insurance required by giving the Contractor ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Contractor, the City and Contractor may renegotiate Contractor’s compensation. (o) Self-Insured Retentions. Any self-insured retentions must be declared to and approved by City. City reserves the right to require that self-insured retentions be eliminated, lowered, or replaced by a deductible. Self-insurance will not be considered to comply with these specifications unless approved by City.
(p) Timely Notice of Claims. Contractor shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Contractor’s performance under this Agreement, and that involve or may involve coverage under any of the required liability policies. (q) Additional Insurance. Contractor shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection and prosecution of the work.

5.3 Indemnification.

Contractor shall indemnify, defend with legal counsel approved by City, and hold harmless City, its officers, officials, employees, agents, representatives, and volunteers (collectively, “Indemnitees”) from and against all liability, loss, damage, expense, cost (including, without limitation, reasonable legal counsel fees, expert fees and all other costs and fees of litigation) of every nature arising out of or in connection with Contractor’s (or its employees’, officers’, agents’, or subcontractor’s) performance of the work hereunder or its failure to comply with any of its obligations contained in this Agreement, including any injuries to or death of any person (including, but not limited to, workers and the public), or damage to property resulting from the construction of the work or by or in consequence of any

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negligence regarding the work, use of improper materials or equipment in construction of the work, negligence or refusal of Contractor to faithfully perform the work and all of Contractor's obligations under this Agreement, or by or on account of any act or omission by the Contractor (or it employees /agents) or its subcontractors (or their employees / agents) during the progress of the work or at any time before the completion and final acceptance of the Project by the City, except with respect to any loss or damage which is caused by the sole or active negligence or willful misconduct of the City as determined by a court of competent jurisdiction. Should conflict of interest principles preclude a single legal counsel from representing both City and Contractor, or should City otherwise find Contractor’s legal counsel unacceptable, then Contractor shall reimburse the City its costs of defense, including, without limitation, reasonable attorneys’ fees, expert fees and all other costs and fees of litigation. Contractor shall promptly pay any final judgment rendered against the City (and its officers, officials, employees and volunteers) with respect to claims determined by a trier of fact to have been the result of the Contractor’s negligent, reckless or wrongful performance. It is expressly understood and agreed that the foregoing provisions are intended to be as broad and inclusive as is permitted by the law of the State of California and will survive termination or expiration of this Agreement.

Contractor’s obligations under this Section apply regardless of whether or not such claim, charge, damage, demand, action, proceeding, loss, stop notice, cost, expense, judgment, civil fine or penalty, or liability was caused in part or contributed to by the City or any Indemnitees. In instances where City or its Indemnitees is shown to have been actively negligent and where City’s active negligence accounts for only a percentage of the liability involved, the obligation of Contractor will be for that entire portion or percentage of liability not attributable to the active negligence of the City.

5.4 Notification of Third-Party Claims.

City shall timely notify Contractor of the receipt of any third-Party claim relating to the work under this Agreement. City shall be entitled to recover from Contractor its reasonable costs incurred in providing such notification.

5.5 Performance and Labor Bonds.

Concurrently with execution of this Agreement Contractor shall deliver to the City, the following in the form required under the Contract Documents or otherwise by the City Clerk:
(a) A performance bond in the amount of the Contract Sum of this Agreement, which secures the faithful performance of this Agreement (“Performance Bond”). (b) A labor and materials bond in the amount of the Contract Sum of this Agreement, which secures the payment of all persons furnishing labor and/or materials in connection with the work under this Agreement (“Payment Bond”).
(c) A warranty bond, guaranteeing the Contractor’s warranty under Section 1.11 of this Agreement, in an amount not less than 5% of the Contract Sum.

The bonds shall contain the original notarized signature of an authorized officer of the surety and affixed thereto shall be a certified and current copy of his/her power of attorney. The bonds shall be unconditional and remain in force during the entire term of this Agreement.

City shall release the Performance Bond and Payment Bond when the following have occurred: (a) Contractor has made a written request for release and provided evidence of satisfaction of all other

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requirements under Article 5 of this Agreement, (b) the work for the Project has be finally accepted by the City, and (c) after passage of the time within which lien claims are required to be made pursuant to applicable laws; if lien claims have been timely filed, City shall hold the Payment Bond until such claims have been resolved, Contractor has provided statutory bond, or otherwise as required by applicable law.

5.6 Sufficiency of Insurer or Surety.

Insurance and bonds required by this Agreement shall be satisfactory only if issued by companies qualified to do business in California, rated “A” or better in the most recent edition of Best’s Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better, unless such requirements are waived by the Risk Manager of the City (“Risk Manager”) due to unique circumstances. If this Agreement continues for more than 3 years duration, or in the event the Risk Manager determines that the work or services to be performed under this Agreement creates an increased or decreased risk of loss to the City, the Contractor agrees that the minimum limits of the insurance policies and the performance bond required under Article 5 of this Agreement may be changed accordingly upon receipt of written notice from the Risk Manager.

ARTICLE 6. RECORDS, REPORTS, AND RELEASE OF INFORMATION

6.1 Records.

Contractor shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies, certified and accurate copies of payroll records in compliance with all applicable laws, or other documents relating to the disbursements charged to City and services performed hereunder (the “books and records”), as shall be necessary to perform the services required by this Agreement and enable the Project Manager to evaluate the performance of such services. Any and all such documents shall be maintained in accordance with generally accepted accounting principles and shall be complete and detailed. The Project Manager shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts from such records. Such records shall be maintained for a period of 3 years following completion of the services hereunder, and the City shall have access to such records in the event any audit is required. In the event of dissolution of Contractor’s business, custody of the books and records may be given to City, and access shall be provided by Contractor’s successor in interest. Notwithstanding the above, the Contractor shall fully cooperate with the City in providing access to the books and records if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.

6.2 Reports.

Contractor shall periodically prepare and submit to the Project Manager such reports concerning the performance of the services required by this Agreement as the Project Manager shall require. Contractor hereby acknowledges that the City is greatly concerned about the cost of work and services to be performed pursuant to this Agreement. For this reason, Contractor agrees that if Contractor becomes aware of any facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services contemplated herein or, if Contractor is providing design services, the cost of the project being designed, Contractor shall promptly notify the Project Manager of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto.

6.3 Ownership of Documents.

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All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (the “documents and materials”) prepared by Contractor, its employees, subcontractors and agents in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Project Manager or upon the termination of this Agreement, and Contractor shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership use, reuse, or assignment of the documents and materials hereunder. Any use, reuse, or assignment of such completed documents for other projects and/or use of uncompleted documents without specific written authorization by the Contractor will be at the City’s sole risk and without liability to Contractor, and Contractor’s guarantee and warranties shall not extend to such use, reuse, or assignment. Contractor may retain copies of such documents for its own use. Contractor shall have an unrestricted right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents or materials prepared by them, and in the event Contractor fails to secure such assignment, Contractor shall indemnify City for all damages resulting therefrom. Moreover, Contractor with respect to any documents and materials that may qualify as “works made for hire” as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed “works made for hire” for the City.

6.4 Confidentiality and Release of Information.
(a) Information gained or work product produced by Contractor in its performance of this Agreement shall be considered confidential unless such information is in the public domain or already known to Contractor. Contractor shall not release or disclose any such information or work product to persons or entities other than City without prior written authorization from the Project Manager. (b) Contractor, its officers, employees, agents, or subcontractors, shall not, without prior written authorization from the Project Manager or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered "voluntary" provided Contractor gives City notice of such court order or subpoena.
(c) If Contractor, or any officer, employee, agent, or subcontractor of Contractor, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Contractor for any damages, costs and fees, including attorneys’ fees, caused by or incurred as a result of Contractor’s conduct. (d) Contractor shall promptly notify City should Contractor, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any Party regarding this Agreement and the work performed with respect to the Project.

City retains the right, but has no obligation, to represent Contractor or be present at any deposition, hearing or similar proceeding. Contractor agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Contractor. However, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.

ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7.1 California Law.

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This Agreement shall be interpreted, construed, and governed both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Fresno, State of California, or any other appropriate court in such county, and Contractor covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S. District Court, venue shall lie exclusively in the Central District of California, in the County of Fresno, State of California.

7.2 Termination.

The City may terminate this Agreement and be relieved of the payment of any consideration to Contractor should Contractor fail to perform the covenants herein contained or contained in the Specifications at the time and in the manner as required. In the event of such termination, the City may proceed with the work in any manner deemed proper by the City. The cost to the City shall be deducted from any sum due the Contractor under this Agreement, and the balance, if any, shall be paid to the Contractor upon demand.

7.3 Dispute Resolution Process.
(a) Section 20104 et seq. of the California Public Contract Code prescribes a process utilizing informal conferences, non-binding judicial-supervised mediation, and judicial arbitration to resolve disputes on construction claims of $375,000 or less. Additionally, Section 9204 of the Public Contract Code prescribes a process for negotiation and mediation to resolve disputes on construction claims. The intent of this Section is to implement Sections 20104 et seq. and Section 9204 of the California Public Contract Code. This Section shall be construed to be consistent with said statutes. (b) For purposes of these procedures, “claim” means a separate demand by the Contractor, after the City has denied Contractor’s timely and duly made request for payment for extra work and/or a time extension, for (A) a time extension, (B) payment of money or damages arising from work done by or on behalf of the Contractor pursuant to this Agreement and payment of which is not otherwise expressly provided for or the Contractor is not otherwise entitled to, or (C) an amount the payment of which is disputed by the City.
(c) The following requirements apply to all claims to which this Section applies:
i. Claim Submittal. The claim shall be in writing and include the documents necessary to substantiate the claim. Claims governed by this procedure must be filed on or before the date of final payment. Nothing in this Section is intended to extend the time limit or supersede notice requirements otherwise provided in this Agreement for the filing of claims, including all requirements pertaining to compensation or payment for extra work, disputed work, and/or changed conditions.

Failure to follow such contractual requirements shall bar any claims or subsequent lawsuits for compensation or payment thereon.
ii. Supporting Documentation. The Contractor shall submit all claims in the following format:

1. Summary of the claim, including references to the specific Bid Document provisions or provisions under this Agreement upon which the claim is based.

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2. List of documents relating to claim: (a) Specifications, (b) Drawings, (c) Clarifications (Requests for Information), (d) Schedules, and (e) Other.

3. Chronology of events and correspondence related to the claim.

4. Statement of grounds for the claim.

5. Analysis of the claim’s cost, if any.

6. Analysis of the claim’s time/schedule impact, if any. (d) City’s Response. Upon receipt of a claim pursuant to this Section, City shall conduct a reasonable review of the claim and, within a period not to exceed 45 days, shall provide the Contractor a written statement identifying what portion of the claim is disputed and what portion is undisputed. Any payment due on an undisputed portion of the claim will be processed and made within 60 days after the City issues its written statement.
i. If the City needs approval from the City Council to provide the Contractor a written statement identifying the disputed portion and the undisputed portion of the claim, and the City Council does not meet within the 45 days or within the mutually agreed to extension of time following receipt of a claim sent by registered mail or certified mail, return receipt requested, the City shall have up to three days following the next duly publicly noticed meeting of the City Council after the 45-day period, or extension, expires to provide the Contractor a written statement identifying the disputed portion and the undisputed portion.
ii. Within 30 days of receipt of a claim, the City may request in writing additional documentation supporting the claim or relating to defenses or claims the City may have against the Contractor. If additional information is thereafter required, it shall be requested and provided pursuant to this subdivision, upon mutual agreement of City and the Contractor. iii. The City’s written response to the claim, as further documented, shall be submitted to the Contractor within 30 days (if the claim is less than $50,000, within 15 days) after receipt of the further documentation, or within a period of time no greater than that taken by the Contractor in producing the additional information or requested documentation, whichever is greater. (e) Meet and Confer. If the Contractor disputes the City’s written response, or the City fails to respond within the time prescribed, the Contractor may so notify the City, in writing, either within 15 days of receipt of the City’s response or within 15 days of the City’s failure to respond within the time prescribed, respectively, and demand an informal conference to meet and confer for settlement of the issues in dispute. Upon receipt of a demand, the City shall schedule a meet and confer conference within 30 days for settlement of the dispute.
(f) Mediation. Within 10 business days following the conclusion of the meet and confer conference, if the claim or any portion of the claim remains in dispute, the City shall provide the Contractor a written statement identifying the portion of the claim that remains in dispute and the portion that is undisputed. Any payment due on an undisputed portion of the claim shall be processed and made within 60 days after the City issues its written statement. Any disputed portion of the claim, as identified by the contractor in writing, shall be submitted to nonbinding mediation, with the City and the Contractor sharing the associated costs equally. The City and Contractor shall mutually agree to a mediator within ten (10) business days after the disputed portion of the claim has been identified in

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writing, unless the Parties agree to select a mediator at a later time. i. If the Parties cannot agree upon a mediator, each Party shall select a mediator and those mediators shall select a qualified neutral third Party to mediate with regard to the disputed portion of the claim. Each Party shall bear the fees and costs charged by its respective mediator in connection with the selection of the neutral mediator.
ii. For purposes of this Section, mediation includes any nonbinding process, including, but not limited to, neutral evaluation or a dispute review board, in which an independent third Party or board assists the Parties in dispute resolution through negotiation or by issuance of an evaluation. Any mediation utilized shall conform to the timeframes in this Section. iii. Unless otherwise agreed to by the City and the Contractor in writing, the mediation conducted pursuant to this Section shall excuse any further obligation under Public Contract Code Section 20104.4 to mediate after litigation has been commenced. iv. All unresolved claims shall be considered jointly in a single mediation, unless a new unrelated claim arises after mediation is completed. (g) City’s Responses. The City’s failure to respond to a claim from the Contractor within the time periods described in this Section or to otherwise meet the time requirements of this Section shall result in the claim being deemed rejected in its entirety. A claim that is denied by reason of the City’s failure to have responded to a claim, or its failure to otherwise meet the time requirements of this Section, shall not constitute and adverse finding with regard to the merits of the claim or the responsibility of qualifications of the Contractor. City’s failure to respond shall not waive City’s rights to any subsequent procedures for the resolution of disputed claims. (h) Government Code Claims. If following the mediation, the claim or any portion remains in dispute, the Contractor must comply with the claim procedures set forth in Government Code Section 900 et seq. prior to filing any lawsuit against the City. Such Government Code claims and any subsequent lawsuit based upon the Government Code claims shall be limited to those matters that remain unresolved after all procedures pertaining to extra work, disputed work, construction claims, and/or changed conditions, including any required mediation, have been followed by Contractor. If no such Government Code claim is submitted, or if the prerequisite contractual requirements are not satisfied, no action against the City may be filed. A Government Code claim must be filed no earlier than the date that Contractor completes all contractual prerequisites to filing a Government Code claim, including any required mediation. A Government Code claim shall be inclusive of all unresolved claims unless a new unrelated claim arises after the Government Code claim is submitted. For purposes of Government Code Section 900 et seq., the running of the period of time within which a claim must be filed shall be tolled from the time the Contractor submits his or her written claim to the City until the time the claim is denied, including any period of time utilized by the meet and confer conference or mediation that does not result in a complete resolutions of all claims. (i) Civil Actions for Claims of $375,000 or Less. The following procedures are established for all civil actions filed to resolve claims totaling $375,000 or less:
i. Within 60 days, but no earlier than 30 days, following the filing or responsive pleadings, the court shall submit the matter to non-binding mediation unless waived by mutual stipulation of both Parties or unless mediation was held prior to commencement of the action in accordance with Public Contract Code Section 9204 and the procedures in this Section. The mediation

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process shall provide for the selection within 15 days by both Parties of a disinterested third person as mediator, shall be commenced within 30 days of the submittal, and shall be concluded within 15 days from the commencement of the mediation unless a time requirement is extended upon a good cause showing to the court.
ii. If the matter remains in dispute, the case shall be submitted to judicial arbitration pursuant to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, notwithstanding Section 1141.11 of that code. The Civil Discovery Act of 1986 (Article 3 (commencing with Section 2016) of Chapter 3 of Title 3 of Part 4 of the Code of Civil Procedure) shall apply to any proceeding brought under this subdivision consistent with the rules pertaining to judicial arbitration.
iii. Upon stipulation of the Parties, arbitrators appointed for these purposes shall be experienced in construction law, and, upon stipulation of the Parties, mediators and arbitrators shall be paid necessary and reasonable hourly rates of pay not to exceed their customary rate, and such fees and expenses shall be paid equally by the Parties, except in the case of arbitration where the arbitrator, for good cause, determines a different division.
iv. In addition to Chapter 2.5 (commencing with Section 1141.10) of Title 3 of Part 3 of the Code of Civil Procedure, any Party who after receiving an arbitration award requests a trial de novo but does not obtain a more favorable judgment shall, in addition to payment of costs and fees under that chapter, pay the reasonable attorneys’ fees of the other Party arising out of the trial de novo.

7.4 Waiver.

Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Contractor shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement.

7.5 Rights and Remedies are Cumulative.

Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

7.6 Unfair Business Practices Claims.

Pursuant to Public Contract Code Section 7103.5, in entering into this Agreement, Contractor offers and agrees to assign to the City all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. § 15) or under the Cartwright Act (Chapter 2, (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services or materials related to this Agreement. This assignment shall be made and become effective at the time the City tenders final payment to the Contractor without further

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acknowledgment by the Parties.

ARTICLE 8. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION

8.1 Non-liability of City Officers and Employees.

No officer or employee of the City shall be personally liable to the Contractor, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Contractor or to its successor, or for breach of any obligation of the terms of this Agreement.

8.2 Conflict of Interest.

Contractor covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Contractor’s performance of services under this Agreement. Contractor further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of the Project Manager. Contractor agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement.

No officer or employee of the City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to this Agreement which effects his financial interest or the financial interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. The Contractor warrants that it has not paid or given and will not pay or give any third Party any money or other consideration for obtaining this Agreement.

8.3 Covenant Against Discrimination.

Contractor covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class in the performance of this Agreement. Contractor shall take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, gender, sexual orientation, marital status, national origin, ancestry, or other protected class.

8.4 Unauthorized Aliens.

Contractor hereby promises and agrees to comply with all of the provisions of the Federal Immigration and Nationality Act, 8 U.S.C. § 1101 et seq., as amended, and in connection therewith, shall not employ unauthorized aliens as defined therein. Should Contractor so employ such unauthorized aliens for the performance of work and/or services covered by this Agreement, and should any liability or sanctions be imposed against City for such use of unauthorized aliens, Contractor hereby agrees to and shall reimburse City for the cost of all such liabilities or sanctions imposed, together with any and all costs, including attorneys' fees, incurred by City.

ARTICLE 9. MISCELLANEOUS PROVISIONS

9.1 Provisions Required By Law.

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-24-
Each and every provision of law and clause required by law to be inserted in this Agreement shall be deemed to be inserted herein, and this Agreement shall be read and enforced as though it were included herein. If through mistake or otherwise any such provision is not inserted, or is not correctly inserted, then upon application of either Party, this Agreement shall forthwith be amended to make such insertion or correction.

9.2 Notices.

Any notice, demand, request, document, consent, approval, or communication either Party desires or is required to give to the other Party or any other person shall be in writing and either served personally or sent by prepaid, first-class mail, in the case of the City, to the City Manager and to the attention of the Project Manager (with her/his name and City title), City of McFarland, 401 W Kern Ave, McFarland, CA 93250, and in the case of the Contractor, to the person at the address designated on the execution page of this Agreement. Either Party may change its address by notifying the other Party of the change of address in writing. Notice shall be deemed communicated at the time personally delivered or in seventy-two (72) hours from the time of mailing if mailed as provided in this Section. All correspondence relating to this Agreement shall be serialized consecutively.

9.3 Interpretation.

The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either Party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply.

9.4 Counterparts.

This Agreement may be executed in counterparts, each of which shall be deemed to be an original, and such counterparts shall constitute one and the same instrument.

9.5 Integration; Amendment.

This Agreement, together with the documents incorporated herein (including the Standard Specifications and the Contract Documents) and the exhibits attached hereto constitutes the entire, complete, and exclusive expression of the understanding of the Parties with respect to the subject matter hereof. It is understood that there are no oral agreements between the Parties hereto affecting this Agreement and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements, and understandings, if any, between the Parties, and none shall be used to interpret this Agreement. No amendment to or modification of this Agreement shall be valid unless made in writing and approved by the Contractor and by the City Council. The Parties agree that this requirement for written modifications cannot be waived and that any attempted waiver shall be void.

9.6 Severability.

In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by a valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement which are hereby declared as severable and shall be interpreted to carry out the intent of the parties hereunder unless the invalid provision is so material that its invalidity deprives either Party of the basic benefit of their bargain or renders this

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-25-
Agreement meaningless.

9.7 Warranty & Representation of Non-Collusion.

No official, officer, or employee of City has any financial interest, direct or indirect, in this Agreement, nor shall any official, officer, or employee of City participate in any decision relating to this Agreement which may affect his/her financial interest or the financial interest of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any corporation, partnership, or association in which (s)he is directly or indirectly interested, or in violation of any State or municipal statute or regulation. The determination of “financial interest” shall be consistent with State law and shall not include interests found to be “remote” or “non-interests” pursuant to Government Code Sections 1091 or 1091.5. Contractor warrants and represents that it has not paid or given, and will not pay or give, to any third Party including, but not limited to, any City official, officer, or employee, any money, consideration, or other thing of value as a result or consequence of obtaining or being awarded any agreement. Contractor further warrants and represents that (s)he/it has not engaged in any act(s), omission(s), or other conduct or collusion that would result in the payment of any money, consideration, or other thing of value to any third Party including, but not limited to, any City official, officer, or employee, as a result of consequence of obtaining or being awarded any agreement.

Contractor is aware of and understands that any such act(s), omission(s) or other conduct resulting in such payment of money, consideration, or other thing of value will render this Agreement void and of no force or effect.

9.8 Corporate Authority.

The persons executing this Agreement on behalf of the parties hereto warrant that (i) such Party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said Party, (iii) by so executing this Agreement, such Party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which said Party is bound. This Agreement shall be binding upon the heirs, executors, administrators, successors and assigns of the parties.
[SIGNATURES ON FOLLOWING PAGE]

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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year firstabove written.

CITY:

CITY OF MCFARLAND, a municipal
corporation
Saul Ayon, Mayor
ATTEST:

Erika De La Cruz, City Clerk
APPROVED AS TO FORM:

HODGES LAW GROUP
By:

Nathan M. Hodges, City Attorney
CONTRACTOR:

CEN-CAL CONSTRUCTION
By:

Name:

By:

Name:

Address:

Two corporate officer signatures required when Contractor is a corporation, with one signature required from each of the following groups: 1) Chairman of the Board, President or any Vice President; and 2) Secretary, any Assistant Secretary, Chief Financial Officer or any Assistant Treasurer. CONTRACTOR’S SIGNATURES SHALL BE DULY NOTARIZED, AND

APPROPRIATE ATTESTATIONS SHALL BE INCLUDED AS MAY BE REQUIRED BY THE

BYLAWS, ARTICLES OF INCORPORATION, OR OTHER RULES OR REGULATIONS APPLICABLE TO CONTRACTOR’S BUSINESS ENTITY.

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PAGE LEFT BLANK INTENTIONALLY

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EXHIBIT A
CONTRACTOR’S BID

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EXHIBIT B

SPECIAL REQUIREMENTS

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PERFORMANCE BOND
WHEREAS, the CITY OF MCFARLAND, (“City”), has awarded to , as Contractor (“Principal”), a Contract for the work entitled and described as follows:

WHEREAS, the Contractor is required under the terms of said Contract to furnish a bond for the faithful performance of the Contract;
NOW, THEREFORE, we the undersigned Contractor and Surety, are held and firmly bound unto the City in the sum of ($ ) this amount being not less
than one hundred percent (100%) of the total Contract price, lawful money of the United States of America, for payment of which sum well and truly be made we bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents. In case suit is brought upon this bond, the Surety will pay a reasonable attorney’s fee to the City in an amount to be fixed by the court.

THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if the hereby bound Contractor, or its heirs, executors, administrators, successors, or assigns, shall in all things stand and abide by, well and truly keep and perform all undertakings, terms, covenants, conditions, and agreements in the said Contract and any alteration thereof, made as therein provided, all within the time and in the manner designated and in all respects according to their true intent and meaning, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect.

FURTHER, the said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of such change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder.

Executed on , 2026 PRINCIPAL
By:
(Seal Of Corporation) Name:

Title:
(Attach Acknowledgment of Authorized Representative of Principal) ;

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Any claims under this bond may be addressed to:

Name and address of Surety:

Name and address of Surety's agent for service of process in California, if different from above:

Telephone number of Surety’s Agent in California:
(Attach Acknowledgment)
SURETY
By:
(Attorney-in-Fact)
APPROVED:
(Attorney for CITY)
NOTICE:

No substitution or revision to this bond form will be accepted. Sureties must be authorized to do business in and have an agent for service of process in California. Certified copy of Power of Attorney must be attached.

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PAYMENT BOND
(Labor and Material Bond)
WHEREAS, the CITY OF MCFARLAND, (“City”), has awarded to , as Contractor (“Principal”), a Contract for the work entitled and described as follows:

WHEREAS, said Contractor is required to furnish a bond in conjunction with said Contract, to secure the payment of claims of laborers, mechanics, material men, and other persons as provided by law; NOW, THEREFORE, we the undersigned Contractor and Surety, are held and firmly bound unto the City in the sum of ($ ), this amount being not
less than one hundred percent (100%) of the total Contract price, lawful money of the United States of America, for payment of which sum well and truly be made we bind ourselves, our heirs, executors, administrators, and successors, jointly and severally, firmly by these presents. In case suit is brought upon this bond, the Surety will pay a reasonable attorney’s fee to the City in an amount to be fixed by the court.

THE CONDITION OF THIS OBLIGATION IS SUCH THAT, if said Contractor, its heirs, executors, administrators, successors, assigns, or subcontractor fails to pay: (1) for any work, materials, services, provisions, provender, or other supplies, or for the use of implements of machinery, used in, upon, for, or about the performance of the work to be done, or for any work or labor thereon of any kind; (2) for work performed by any of the persons named in Civil Code Section 9100; (3) for any amounts due under the Unemployment Insurance Code with respect to work or labor performed under the contract; and/or (4) for any amounts required to be deducted, withheld, and paid over to the Employment Development Department from the wages of employees of the Contractor and/or its subcontractors pursuant to Section 13020 of the Unemployment Insurance Code with respect to such work and labor, then the Surety herein will pay for the same in an amount not exceeding the sum specified in this bond, otherwise the above obligation shall be void.

This bond shall inure to the benefit of any of the persons named in Civil Code Section 9100 so as to give a right of action to such persons or their assigns in any suit brought upon the bond. Moreover, if the City or any entity or person entitled to file stop payment notices is required to engage the services of an attorney in connection with a lawsuit concerning the enforcement of this bond, Contractor / Principal and surety shall pay City or any entity or person reasonable attorney’s fees incurred, but in no event shall the surety be liable in the aggregate for more than the penal sum of this Payment Bond.

Said Surety, for value received, hereby stipulates and agrees that no change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder shall in any way affect its obligations on this bond, and it does hereby waive notice of such change, extension of time, alteration, or modification of the Contract Documents or of the work to be performed thereunder. ///
///
///
;

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Executed on , 2026 PRINCIPAL
By:
(Seal Of Corporation) Name:

Title:
(Attach Acknowledgment of Authorized Representative of Principal) Any claims under this bond may be addressed to:

Name and address of Surety:

Name and address of Surety's agent for service of process in California, if different from above:

Telephone number of Surety’s Agent in California:
(Attach Acknowledgment)
SURETY
By:
(Attorney-in-Fact)
APPROVED:
(Attorney for CITY)
NOTICE:

No substitution or revision to this bond form will be accepted. Sureties must be authorized to do business in and have an agent for service of process in California. Certified copy of Power of Attorney must be attached.

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WORKERS COMPENSATION INSURANCE CERTIFICATE
Description of Contract: City of McFarland
Project:

Type of Insurance: Workers' Compensation and Employers' Liability Insurance THIS IS TO CERTIFY that the following policy has been issued by the below-stated company in conformance with the requirements of Article 5 of the Contract and is in force at this time, and is in a form approved by the Insurance Commissioner.

The Company will give at least 30 days' written notice to the City and Engineer/Architect prior to any cancellation of said policy.

POLICY NUMBER EXPIRATION DATE LIMITS OF LIABILITY
Workers' Compensation: Statutory Limits Under
the Laws of the State of California
Employers' Liability:
$ Each Accident
$ Disease - Policy Limit
$ Disease - Each Employee
Named Insured (Contractor) Insurance Company
Street Number Street Number
City and State City and State
By:
(Company Representative)
(SEE NOTICE ON NEXT PAGE)
TDA Article 3 Sidewalk In-Fill Improvements –
Various Locations

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Insurance Company Agent for
Service of Process in California:

Name
Agency
Street Number
City and State
Telephone Number
This certificate is issued as a matter of information only and confers no rights upon the certificate holder. This certificate does not amend, extend, or alter the coverage afforded by the policy listed herein.

This is to certify that the policy has been issued to the named insured for the policy period indicated, notwithstanding any requirement, term, or condition of any contract or other document with respect to which this certificate may be issued or may pertain, the insurance afforded by the policy described herein is subject to all the terms, exclusions, and conditions of such policy.

NOTICE:

No substitution or revision to the above certificate form will be accepted. If the insurance called for is provided by more than one insurance company, a separate certificate in the exact above form shall be provided for each insurance company.

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GUARANTEE
CITY OF McFARLAND, Department of Public Works, McFarland, California:

In accordance with the terms of the Contract for the ,
between the City of McFarland (hereinafter referred to as City), and the undersigned which Contract provides for the installation of improvements per the plans and specifications for the above referenced project.

When the project is completed and accepted, we guarantee the same to be free from imperfect workmanship and/or materials and we agree to repair and/or replace at our own cost and expense, any and all such work and/or materials which may prove defective in workmanship or materials within a period of one year from the date of acceptance of the above named construction project, ordinary wear and tear or neglect excepted. We also agree to repair and/or replace at our own cost and expense any work and/or materials that we may disturb or displace in making good such defects.

Within twenty-four (24) hours after being notified in writing by the City or the City's representative, or the agent of either of them of any defects in said work or materials we agree to commence and prosecute with due diligence all work necessary to fulfill the terms of this guarantee and to complete the work within a reasonable period of time and in the event of our failure to so comply we collectively and expressly do hereby authorize the City and/or the City's representative, or the agent of either of them to proceed to have such work done at our expense and we will honor and pay the cost and charges therefore upon demand.

This guarantee is made expressly for and runs to the benefit of both the City of the above mentioned construction project and the City's representative and shall be enforceable by either of them.

Signature Date:

Printed Name / Title
Company
Contractor’s License Number / Expiration Date

CERTIFICATE OF ACKNOWLEDGEMENT
State of California
City/County of SS
On this day of in the year 20 before me
, personally appeared ,
Attorney-in-fact
personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to this instrument as the attorney-in-fact of , and acknowledged to me that he (she) subscribed the name of the said company thereto as surety, and his (her) own name as attorney-in-fact. (SEAL)
Notary Public

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GENERAL LIABILITY SPECIAL ENDORSEMENT (Exhibit 1)
GENERAL LIABILITY SPECIAL ENDORSEMENT Endorsement No. Effective:

PRODUCER POLICY INFORMATION:

Insurance Company:

Policy Number:

Policy Period:

Telephone:
 Deductible  Self-Insured (check which) of $
NAMED INSURED: APPLICABILITY. This insurance pertains to the operation and/or tenancy of the named insured under all written agreements and permits in force with the City checked here  in which case, only the following specific agreements and permits with the City are covered:

ENTITY AGREEMENTS/PERMITS

TYPE OF INSURANCE
 Commercial General Policy
 Business General Policy
 Other
OTHER PROVISIONS:

LIMIT OF LIABILITY
$ per accident for bodily injury and property

LOSS ADJUSTMENT EXPENSE
 Included in limits  In Addition to limits
Claims: Underwriter’s representative for claims pursuant to this insurance.

Name:

Address:

Telephone:

In consideration of the premium charged and notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any endorsement now or hereafter attached thereto, it is agreed as follows:

1. INSURED. The City, its officers, officials, employees, consultants and volunteers are included as insured.

2. CONTRIBUTION NOT REQUIRED. As respects work performed by the Named Insured for or on behalf of the City, the insurance afforded by this policy (a) be primary insurance as respects the City, its officers, officials, employees, consultants and volunteers; or (b) stand in an unbroken chain of coverage excess of Insured’s primary coverage. Any insurance or self-insurance maintained by the City, its offices, officials, employees, and volunteers shall be excess of the Insured’s insurance and not contribute with it.

3. CANCELLATION NOTICE. The Company will give at least ten (10) days’ written notice to the City prior to cancellation of this policy for nonpayment of premium and thirty (30) days’ written notice to the City prior to cancellation of this policy for any other reason.

4. SCOPE OF COVERAGE. This policy, if primary, affords coverage at least as broad as:
(1) Insurance Services Office Commercial General Liability Coverage, “occurrence” form CG0001 (Ed.11/88); or (2) If excess, affords coverage which is at least as broad as the primary insurance form referenced in the preceding section (1).

Except as stated above, nothing herein shall be held to waive, alter, or extend any of the limits, conditions, agreements, or exclusions of the policy to which this endorsement is attached.

ENDORSEMENT HOLDER
ENTITY
City of McFarland
401 West Kern Ave.

McFarland, CA 93250

AUTHORIZED REPRESENTATIVE
 Broker/Agent  Underwriter 
I (print/type name), warrant that
I have authority to bind the above mentioned insurance company and by my signature heron do so bind this company to this endorsement.

Signature:
(original signature required)
Telephone: Date Signed:

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COMMERCIAL GENERAL LIABILITY INSURANCE (Exhibit 1-A)
INSURER:

POLICY NUMBER:

INSURANCE COMPANY:

THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. --ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS-- This endorsement modifies insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART.

SCHEDULE
Name of Organization
(If no entry appears above, the information required to complete this endorsement will be shown in the Declarations as applicable to this endorsement).

WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of "your work" for that insured by or for you.

Modifications to ISO form CG 20 10 11 85:

1. The insured scheduled above includes the Insured's officers, officials, employees and volunteers.

2. This insurance shall be primary as respects the insured shown in the schedule above, or if excess, shall stand in an unbroken chain of coverage excess of the Named Insured's scheduled underlying primary coverage. In either event, any other insurance maintained by the Insured scheduled above shall be in excess of this insurance and shall not be called upon to contribute with it.

3. The insurance afforded by this policy shall not be canceled except after thirty (30) days prior written notice by certified mail return receipt requested has been given to the City.

Signature - Authorized Representative
Address
CG 20 10 11 85 Insurance Services Office, Inc. Form (Modified)

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AUTOMOBILE LIABILITY SPECIAL ENDORSEMENT (Exhibit 2)
AUTOMOBILE LIABILITY SPECIAL ENDORSEMENT Endorsement No. Effective:

PRODUCER
Telephone:

POLICY INFORMATION:

Insurance Company:

Policy Number:

Policy Period:
 Deductible  Self-Insured (check which) of $
NAMED INSURED: APPLICABILITY. This insurance pertains to the operations of automobiles owned by or on behalf of the named insured under all written agreements and permits in force with the City checked here  in which case, only the following specific agreements and permits with the City are covered:

ENTITY AGREEMENTS/PERMITS

TYPE OF INSURANCE
 Business General Policy
 Other
OTHER PROVISIONS:

LIMIT OF LIABILITY
$ per accident for bodily injury and property

LOSS ADJUSTMENT EXPENSE
 Included in limits  In Addition to limits
Claims: Underwriter’s representative for claims pursuant to this insurance.

Name:

Address:

Telephone:

In consideration of the premium charged and notwithstanding any inconsistent statement in the policy to which this endorsement is attached or any endorsement now or hereafter attached thereto, it is agreed as follows:

1. INSURED. The City, its officers, officials, employees, and volunteers are included as insured with regard to damages and defense of claims arising from the ownership, operation, maintenance, use loading or unloading of any auto owned, leased, hired, or borrowed by the Named insured, or for which the Named Insured is responsible.

2. CONTRIBUTION NOT REQUIRED. As respects work performed by the Named Insured for or on behalf of the City, the insurance afforded by this policy shall (a) be primary insurance as respects the City, its officers, officials, employees, consultants and volunteers; or (b) stand in an unbroken chain of coverage excess of the Named Insured's primary coverage. Any insurance or self-insurance maintained by the City, its officers, officials, employees, consultants and volunteers shall be excess of the Named Insured's insurance and not contribute with it.

3. CANCELLATION NOTICE. The Company will give at least ten (10) days’ written notice to the City prior to cancellation of this policy for nonpayment of premium and thirty (30) days’ written notice to the City prior to cancellation of this policy for any other reason.

4. SCOPE OF COVERAGE. This policy, if primary, affords coverage at lease as broad as:
(1) If primary, Insurance Services Office form number CA0001 (Ed.6/92), Code 1 ("any auto"); or (2) If excess, affords coverage which is at lease as broad as the primary insurance forms referenced in the preceding section (1).

Except as stated above, nothing herein shall be held to waive, alter, or extend any of the limits, conditions, agreements, or exclusions of the policy to which this endorsement is attached.

ENDORSEMENT HOLDER
ENTITY
City of McFarland
401 West Kern Ave.

McFarland, CA 93250

AUTHORIZED REPRESENTATIVE
 Broker/Agent  Underwriter 
I (print/type name), warrant that
I have authority to bind the above mentioned insurance company and by my signature heron do so bind this company to this endorsement.

Signature:
(original signature required)
Telephone: Date Signed:

Page 183 of 300 ends

WORKERS COMPENSATION AND EMPLOYER’S LIABILITY (Exhibit 3) WORKERS COMPENSATION AND EMPLOYER’S LIABILITY
FOR THE CITY OF McFARLAND Endorsement No.

Effective Date
PRODUCER POLICY INFORMATION: This special endorsement is attached to and forms a part of the following insurance policy.

Insurance Company:

Policy Number:

Telephone:

Policy Period:

NAMED INSURED OTHER PROVISIONS
Claims: Underwriter’s representative for claims pursuant to this insurance.

EMPLOYERS LIABILITY LIMITS
$ Each Accident
Name:
$ Disease - Policy Limit
Address:
$ Disease - Each Employee
Telephone:

In consideration of the premium charged and not withstanding any inconsistent statement in the policy to which this endorsement is attached of any endorsement now or hereafter attached thereto, it is agreed as follows:

1. CANCELLATION NOTICE. The Company will give at least ten (10) days’ written notice to the City prior to cancellation of this policy for nonpayment of premium and thirty (30) days’ written notice to the City prior to cancellation of this policy for any other reason.

2. WAIVER OF SUBROGATION. This Insurance Company agrees to waive all rights of subrogation against the City, its officers, officials, employees, consultants and volunteers for losses paid under the terms of this policy which arise from the work performed by the Named Insured for the City.

Except as stated above, nothing herein shall be held to waive, alter, or extend any of the limits, conditions, agreements, or exclusions of the policy to which this endorsement is attached.

ENDORSEMENT HOLDER
ENTITY
City of McFarland
401 West Kern Ave.

McFarland, CA 93250

AUTHORIZED REPRESENTATIVE
 Broker/Agent  Underwriter 
I (print/type name), warrant that
I have authority to bind the above mentioned insurance company and by my signature heron do so bind this company to this endorsement.

Signature:
(original signature required)
Telephone: Date Signed:

Page 184 of 300 ends

CERTIFICATE OF INSURANCE (Exhibit 4)
CERTIFICATE OF INSURANCE Issue Date:

PRODUCER This certificate of insurance is not an insurance policy and does not amend extend or alter the coverage afforded by the polices below.

Companies Best’s Rating
Company
Letter A
Company
Letter B
Company
Letter C

INSURED
This is to certify that the policies of insurance listed below have been issued to the insured named above for the policy period indicated. Notwithstanding any requirement, term or condition of any contract or other document with respect to which this certificate may be used or may be issued or may pertain. The insurance afforded by the policies described herein is subject to all the terms, exclusions and conditions of such policies, limits shown may have been reduced by paid claims.

CO
LTR
Type of Insurance Policy Number Policy Effective
date (mm/dd/yy)
Policy Expiration
Date (mm/dd/yy)
All units in thousands
General Liability
Commercial General
Liability
Claims Made Occur.

Owners & Contractor’s
Other
General Aggregate $
Products-Comp/Op Agg $
Personal & Adv. Injury $
Each Occurrence $
Fire Damage (any one fire) $
Med. Exp. (any one person) $
Automobile Liability
Any Auto
All Owned Autos
Scheduled Autos
Hired Autos
Non-Owned Autos
Garage Utility
Combined Single Limit $
Bodily Injury (per person) $
Bodily Injury (per accident) $
Property Damage $
Excess Liability
Umbrella Form
Other Than Umbrella
Each Occurrence $
Aggregate $
Worker’s Compensation
and
Employer’s Liability
Statutory $
Each Accident $
Disease Policy Limit $
Disease Each Employee $
Other Amount of Insurance $
Description of operations/locations/vehicles/restrictions/special items:

THE FOLLOWING PROVISIONS APPLY:

1. CANCELLATION NOTICE. The Company will give at least ten (10) days’ written notice to the City prior to cancellation of this policy for nonpayment of premium and thirty (30) days’ written notice to the City prior to cancellation of this policy for any other reason.

2. The City, its officials, officers, employees, consultants and volunteers are added as insured on all liability insurance policies listed above.

3. It is agreed that any insurance or self-insurance maintained by the City will apply in excess of and not contribute with the insurance described above.

4. The City is named a loss payee on the property insurance policies described above, if any.

5. All rights of subrogation under the property insurance policy listed above have been waived against the City.

6. The workers’ compensation insurer named above, if any, agrees to waive all rights of subrogation against the City for injuries to employees of the insured resulting from work for the City or use of the City’s premises or facilities.

CERTIFICATE HOLDER/ADDITIONAL INSURED:

City of McFarland
401 West Kern Ave.

McFarland, CA 93250

AUTHORIZED REPRESENTATIVE
Signature
Title
Phone No.

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INSURANCE REQUIREMENTS FOR CONTRACTORS (Exhibit 6)
(with Construction Risks)
Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by the Contractor, his agents, representatives, employees or subcontractors.

Minimum Scope of Insurance
Coverage shall be at lease as broad as:

1. Insurance Services Office Commercial General Liability form CG 00 01.

2. Insurance Services Office form number CA 00 01 (Ed. 1/78) covering Automobile Liability, Code 1 "any auto" and endorsement CA 0025.

3. Workers' Compensation Insurance as required by the State of California and Employer's Liability Insurance.

4. Course of Construction insurance covering for all risks of loss.

5. Pollution Liability Insurance.

Minimum Limits of Insurance
Contractor shall maintain limits no less than:

1. General Liability: $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage.

2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and property damage.

3. Employer's Liability: $1,000,000.00 per accident for bodily injury or disease.

4. Course of Construction: Completed value of the project.

5. Pollution Liability Insurance: $1,000,000 per claim and in the aggregate Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either:
the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its officers, officials, employees and volunteers; or the Contractor shall provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration and defense expenses.

Other Insurance Provisions
The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions:

1. The City, its officers, officials, employees, and volunteers are to be covered as insured’s with respect to liability arising out of automobiles owned, lease, hired or borrowed by or on behalf of the contractor; and with respect to liability arising out of work or operations performed by or on behalf of the Contractor including materials, parts or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Contractor's insurance, or as a separate owner's policy.

2. For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the City, it officers, officials, employees, or volunteers shall be excess of the Contractor's insurance and shall not contribute with it.

3. CANCELLATION NOTICE. The Company will give at least ten (10) days’ written notice to the City prior to cancellation of this policy for nonpayment of premium and thirty (30) days’ written notice to the City prior to cancellation of this policy for any other reason.

Course of construction policies shall contain the following provisions:

1. The City shall be named as loss payee.

2. The insurer shall waive all rights of subrogation against the City.

Acceptability of Insurers
Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A: - VII.

Verification of Coverage
Contractor shall furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on forms provided by the City or on other than the City's forms, provided those endorsements or policies conform to the requirements. All certificates and endorsements are to be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications at any time Subcontractors
Contractor shall include all subcontractors as insured under its policies or shall furnish separate certificates and endorsements for each subcontractor. All coverage’s for subcontractors shall be subject to all the requirements stated herein.

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UNDERWRITER/BROKER CERTIFICATION (Exhibit 11)
City:

City project identification:

Contractor providing contractual services:

Insurer(s):

Best rating(s):

Name and title of underwriter, broker, or agent completing certification:

I, the undersigned insurance underwriter, insurance broker, or agent do hereby certify that I have examined the insurance requirements prepared by the City for the above referenced project and have attached herewith certificates of insurance and all endorsements specified in the insurance requirements on forms provided by the City.

I further certify that the coverage’s provided to the Contractor and described in the certificates of insurance conform in all respects to the requirements set forth in the insurance requirements, including, but not limited to the following considerations:

1. The scope of insurance is at least as broad as the minimum requirements identified in the insurance requirements;

2. The minimum occurrence limits and aggregate limits of insurance are consistent with those set forth in the insurance requirements;

3. All deductibles and/or self-insured retentions have been declared;

4. All required endorsements identified in the insurance requirements have been provided and copies have been attached to the appropriate certificate of insurance;

5. All policies of insurance have been placed with insurers with a current rating from the A.M. Best Company of not less than A:
-VII;

6. All endorsements have been signed by a person authorized by the insurer to bind coverage on its behalf.

The coverage’s provided to the Contractor do not conform in all respects to the requirements set forth in the insurance requirements. An explanation of each and every variance from the requirements and an evaluation of the relative risk exposures and protections to the City and the Contractor are attached.

I understand that the City will not authorize the Contractor to initiate work on behalf of the City until this certification has been fully executed and returned to the City.

Signature
Date
Name of Company
Business Address and Phone Number

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APPENDIX A – QUALITY ASSURANCE PROGRAM

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CITY OF McFARLAND DEPARTMENT OF PUBLIC WORKS PROJECT PLANS FOR TDA ARTICLE-3 SIDEWALK IN-FILL IMPROVEMENTS VARIOUS LOCATIONS Project ID: T3-25-05 GENERAL NOTES VICINITY MAP NTS CONTACT INFORMATION Know what's below Call 811 before you dig BHT01 PROJECT SITE GARZOLI AVE W. SHERWOOD AVE W. PERKINS AVE
SECOND ST.

FIFTH ST. SHEET INDEX

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MATCH LINE 1 SIXTH STREET VICINITY MAP NTS BHT02
MATCH LINE 1

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0301 5TH STREET VICINITY MAP NTS BHT03

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0401 0402 BHT04 W. SHERWOOD AVE VICINITY MAP NTS

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0602 0601 0501 2nd STREET VICINITY MAP NTS BHT05

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VICINITY MAP NTS BHT06 2nd STREET

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SIGN SUPPORT RECEIVER ASSEMBLY BHT07

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City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 17.

Section: PUBLIC HEARINGS
Meeting Date: October 14,
2026
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Brianahi De Leon, Senior City Planner
SUBJECT: Approval of Initial Study and Negative Declaration, Pre-Zoning Ordinance (Ordinance No. 9-2026), approve initiation of proceedings for Annexation 22 (Resolution No. 2026-116) with the Local Agency Formation Commission of the Kern County, and a Sphere of Influence Amendment (Resolution No. 2026- 118)
SUMMARY:

The City of McFarland received an application from Max Bacerra and Lynn Chao requesting the proceedings of a proposed Annexation 22. Annexation 22 is made up of 326 acres (gross) generally located South of Whisler Avenue, East of Hwy-99, and West of Driver Road. It is also identified as APN 060-250-02. Concurrent with the annexation application, the applicant submitted a request to amend the City's Zoning Map to Pre-Zone the proposed annexation site to M-2. During the application review, City staff found that the subject territory was outside the existing Sphere of Influence (SOI) of the City of McFarland. Due to this finding an SOI amendment will also be required.

The City of McFarland does not foresee an increase in City water utility usage as the applicant will be required to install an approved water well prior to approving any development site plans.

If the Pre-Zoning Map is approved, it will be consistent with both the General Plan Land Use Map and the development that the applicant is proposing.

Environmental
Pursuant to the California Environmental Quality Act (CEQA), the City prepared an Initial Study/Negative Declaration (IS/ND) for the project. This IS/ND has been completed and is to be approved alongside the Pre-Zoning (Ordinance No. 9-2026), approve initiation of proceedings for Annexation 22 (Resolution No. 2026-116), and approve a Sphere of Influence Amendment (Resolution No.2026-118).

FINANCIAL IMPACT:

Project is fully funded by the applicant; therefore, any foreseeable fees are considered passthrough costs.

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RECOMMENDATION:

City staff recommends the City Council approve an adoption of an Initial Study and Negative Declaration, Pre-Zoning Ordinance (Ordinance No.9-2026), approve initiation of proceedings for Annexation 22 (Resolution No.2026-116), and approve a Sphere of Influence Amendment (Resolution No.2026-118).

ATTACHMENTS:

1. EXHIBIT A: ENVIRONMENTAL STUDY

2. EXHIBIT B: SITE PROPOSAL

3. EXHIBIT C: PRE-ZONING MAP_Redacted

4. EXHIBIT D: LAND USE MAP

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1 CITY OF MCFARLAND
Initial Study and Negative Declaration for
Amendment to General Plan & Annexation #22
City of McFarland
Submitted by the City of McFarland
6/30/2026

Prepared by:

De Lapide & Associates, Inc. [email protected]

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2 Acknowledgments City Council
Saul Ayon, Mayor
Ricardo Cano, Vice Mayor
Anita Gonzalez, Councilmember
Maria Perez, Councilmember
Martin Gutierrez, Councilmember
Planning Commission
David Soto, Commissioner
Jim White, Member
Jose "Jay" Hernandeza, Member
Victor Oropeza, Member
Juan Munguia, Member
City Staff
Diego Viramontes, City Manager
Brianahi De Leon, Senior City Planner

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3 Contents
Acknowledgments ......................................................................................................................................... 2 City Council ............................................................................................................................................... 2 Planning Commission ................................................................................................................................ 2 City Staff .................................................................................................................................................... 2 Figures ........................................................................................................................................................... 5 Tables ............................................................................................................................................................ 5 Preamble ....................................................................................................................................................... 6 Summary of Project Information .................................................................................................................. 7

1.0 Project Information ................................................................................................................................. 8

1.1. Project ................................................................................................................................................ 8

1.2. Lead Agency ....................................................................................................................................... 8

1.3. Contact Person & Phone .................................................................................................................... 8

1.4. Project Location ................................................................................................................................. 8

1.5. Applicant ............................................................................................................................................ 8

1.6. General Plan Designation ................................................................................................................... 8

1.7. Zoning................................................................................................................................................. 8

1.8. Project Location and Setting .............................................................................................................. 8

1.8.1 The City of McFarland .................................................................................................................. 8

1.8.2 Annexation #22 Project Location ............................................................................................... 11

1.9. Project Description ........................................................................................................................... 12

1.9.1 Annexation #22: Multi-Use Development Plan Proposal .......................................................... 12

1.9.2 Annexation #22: Parcels and Land Use Designations ................................................................ 13

1.9.3 Annexation #22: Distribution of Land Uses ............................................................................... 17

1.9.4 Compatibility of Proposed Land Uses in Annexation #22 Area with McFarland General Plan .. 17

1.9.5 Modifications to City Boundary and Land Uses in Annexation #22 Area .................................. 19

1.10. Other Required Agency Approvals ................................................................................................. 21

1.11. Native American Consultation ....................................................................................................... 21

1.12. Summary Of Environmental Factors Potentially Affected ............................................................. 21

2.0 Evaluation of Environmental Impacts ................................................................................................... 22

2.1 Aesthetics .......................................................................................................................................... 23

2.2 Agricultural Resources ...................................................................................................................... 24

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4 2.3 Air Quality ......................................................................................................................................... 26

2.4 Biological Resources .......................................................................................................................... 28

2.5 Cultural: Archeological and Historical Resources ............................................................................. 30

2.6 Geology and Soils .............................................................................................................................. 31

2.7 Greenhouse Gas Emissions ............................................................................................................... 34

2.8 Hazards and Hazardous Materials .................................................................................................... 35

2.9 Hydrology and Water Quality ........................................................................................................... 38

2.10 Land Use and Planning .................................................................................................................... 41

2.11 Mineral Resources .......................................................................................................................... 42

2.12 Noise ............................................................................................................................................... 43

2.13 Population and Housing .................................................................................................................. 45

2.14 Public Facilities ................................................................................................................................ 46

2.15 Recreation ....................................................................................................................................... 48

2.16 Transportation ................................................................................................................................ 49

2.17 Utilities ............................................................................................................................................ 51

2.18 Energy ............................................................................................................................................. 53

2.19 Tribal Cultural Resources ................................................................................................................ 54

2.20 Wildfire ........................................................................................................................................... 56

2.21 Mandatory Findings of Significance ................................................................................................ 58

3.0 Certification ........................................................................................................................................... 59

3.1 Preparers ........................................................................................................................................... 59

3.2 Determination ................................................................................................................................... 59

3.3 De Minimis Fee Determination ......................................................................................................... 59

3.4 Environmental Determination .......................................................................................................... 60 References .................................................................................................................................................. 61 Appendices .................................................................................................................................................. 62 Appendix A: Boundaries of Proposed Annexation #22 Area .................................................................. 62 Appendix B: Aerial View of Existing Land Use in Vicinity of Annexation #22 Area ................................. 63 Appendix C: Permitted Uses in M-3 Zones ............................................................................................. 64 M-3 Zones ........................................................................................................................................... 64

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5 Figures
Figure 1: Location of McFarland within California and Kern County ............................................................ 9 Figure 2: Proposed Land Use in the 2040 McFarland General Plan ........................................................... 10 Figure 3: Location of Annexation #22 Area in McFarland .......................................................................... 11 Figure 4: Proposed General Plan Land Use in Annexation #22 Area .......................................................... 12 .................................................................................. 13 ............................... 15
Figure 7: Types of Farmlands in McFarland's Sphere of Influence ............................................................. 16 Figure 8: Modified McFarland City Boundary and SOI on General Plan Land Use Map ............................. 20 Tables
Table 1: Parcel Size with Land Use in Annexation #22 Area ....................................................................... 14

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6 Preamble
The California Office of Planning and Research (OPR) issued the CEQA Technical Advice Series (OPR, December 2004 Edition) to clarify aspects of the California Environmental Quality Act. According to the Technical Advice [https://lci.ca.gov/docs/MND_Publication_2004.pdf]:

CEQA Guidelines § 15152 and § 21083.3 of the Public Resources Code allow a Negative Declaration to be adopted when an EIR has previously been prepared for a program, policy, plan or ordinance. The later project must be consistent with that program or other action and must not result in any significant effects which were not examined in that previous EIR. In order to tier from an EIR, the later project must be consistent with the general plan and zoning of the applicable city or county.

In preparation for the adoption of the 2040 McFarland General Plan, The City of McFarland prepared a Draft Program EIR, filed it with the State Clearinghouse, received comments, addressed the comments, and filed a Final EIR. The 2040 General Plan is separated into thematic elements. All elements must be consistent with each other. Seven elements are required for all General Plans in California, with two further elements required for communities meeting certain criteria that exist in McFarland. Optional elements may also be included and carry the same legal force and status as the required elements. The General Plan includes five optional elements. The fourteen elements are:

Required: Land Use, Circulation, Housing, Safety, Conservation, Open Space, and Noise Required in San Joaquin Valley Air Pollution Control District: Air Quality Required in Disadvantaged Communities: Environmental Justice Optional: Economic Development, Health, Community Design, Public Facilities, and Sustainable Agriculture
This project involves a general plan amendment and annexation into City limits of one parcel to the immediate south of Whisler Road, between California State Highway 99 (SR 99) on its west and Driver Road on its east, while its southwestern corner touches Phillips Road. The development application for Annexation #22 involves the parcel hitherto identified as APN 060-250-02 (with Lynn Chao listed as owner). The northern boundary of the parcel coincides with the southern limits of the City, making for continuity upon annexation. It is noteworthy that the parcel lays right outside the City limits, which also coincides with along that boundary. The initial development proposal is to pre-zone the parcel totaling 326 acres of vacant land via the annexation application to M3 (General Manufacturing or Heavy Industrial, which includes an array of permitted uses).

Consistent with the Technical Advice, this Initial Study & Negative Declaration tiers upon the Program EIR of the General Plan. Annexation Area #22 was under temporary agricultural use a decade ago but has since then remained fallow. Laying long-range planning area, the parcel is pending future need to expand the physical development envelope of the City. Its pre-zoning proposal is consistent with the General Plan and it contains no new proposals which would result in any significant effects that were not examined in the General Plan EIR.

Both the 2040 General Plan and the Final General Plan EIR are available to the General Public. The electronic copies of the documents are accessible at : www.mcfarlandcity.org; hard copies are available at City Hall: City of McFarland, 401 West Kern Ave., McFarland, CA 93250.

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7 Summary of Project Information
Project Title General Plan Amendment and Annexation #22, South McFarland Lead Agency City of McFarland
401 West Kern Ave.

McFarland, CA 93250
Contact Person & Phone Brianahi De Leon, Senior City Planner 661-792-3091
[email protected]
Project Location Parcel APN 060-250-02 - property south of Whisler Road in McFarland. SR 99 demarcates its western boundary and Driver Rd demarcates its eastern boundary.

Applicant Max Bacerra
General Plan Designation Industrial use
Zoning Pre-zoning for M-3 (General Manufacturing or Heavy Industrial) Surrounding Land Use Residential and commercial (to the northwest); Industrial (to the north and south); Agriculture (to the east)
Description of Project General Plan Amendment and Annexation of Parcel APN 060-250- 02 to the immediate South of McFarland into City limits and conversion of the approximately 326-acre property into an M-3 district, which permits an array of manufacturing and industrial uses.

Other Approving Agencies Kern County LAFCO
Native American Consultation With assistance from the Native American Heritage Commission, the City identified and contacted nineteen Native American Tribes in 2021 during preparation of the Program EIR on the 2040 McFarland General Plan. Responses indicate the project area (consisting of the City of McFarland and its sphere of influence) is outside ancestral homes for which the Tribes did not request consultation.

Other Information Consistent with the CEQA Technical Advice (OPR, December 2004 Edition), this Initial Study & Negative Declaration tiers upon the Program EIR of the 2040 McFarland General Plan.

Compatibility of Project The annexation of the area, which is contiguous to the City, and the potential mixture of land uses are consistent with the vision and policies of the 2040 McFarland General Plan.

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8 1.0 Project Information

1.1. Project: General Plan Amendment and Annexation #22, South McFarland

1.2. Lead Agency: City of McFarland, 401 West Kern Ave. McFarland, CA 93250

1.3. Contact Person & Phone: Brianahi De Leon, Senior City Planner, 661-792-3091. [email protected].

1.4. Project Location: To the immediate south of the McFarland City limits and its coterminous sphere of influence, comprising parcel APN 060-250-02 south of Whisler Rd., McFarland. Streets that demarcate the boundaries of the project area include Whisler Rd on the north, SR 99 on the west, and Driver Rd on the east. Its southwestern corner touches Phillips Rd.

1.5. Applicant: Max Bacerra

1.6. General Plan Designation: Industrial use

1.7. Zoning: Pre-zoning for M-3 (which permits compatible industrial or manufacturing uses)

1.8. Project Location and Setting

1.8.1 The City of McFarland
Figure 1 displays the location of McFarland in relation to the State of California and Kern County. The City is located along Highway 99, approximately 25 miles north of Bakersfield and approximately seven 2022 boundaries encompass approximately three-square miles of and the surrounding area are primarily under agricultural use. Figure 2 displays the proposed land uses in the 2040 McFarland General Plan.

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9 Figure 1: Location of McFarland within California and Kern County

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10 Figure 2: Proposed Land Use in the 2040 McFarland General Plan

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11 1.8.2 Annexation #22 Project Location
The proposed Annexation #22 area covers one parcel (APN 060-250-02) south of Whisler Road in southern McFarland. Phillips Road marks the boundary of the area on its southwestern corner, with SR 99 on the west, and Driver Road on the east. The project area is right outside both the City limits and its coterminous sphere of influence . Figure 3 (also showing as Appendix A) identifies the location of the annexation area on the southern edge of the City. Figure 4 identifies land use proposals under the General Plan within the annexation area and its environs. The General Plan designates the parcel for future expansion of industrial activities as Figure 4 and Figure 2 show. Figure 2 also shows a complete legend for land use designations under the General Plan.

Figure 3: Location of Annexation #22 Area in McFarland

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12 Figure 4: Proposed General Plan Land Use in Annexation #22 Area

1.9. Project Description 1.9.1 Annexation #22: Multi-Use Development Plan Proposal The project involves a general plan amendment and annexation into City limits of parcel APN 060-250-02 in South McFarland. The proposal is to develop the annexation area (outlined in Figure 3 and Figure 4) into a Multi-Use Development Plan area with an array of permitted land uses under the M-3 designation.

Figure 4 shows that the northern boundary of Annexation #22 area adjoins McFarland City limits.

Appendix B is an aerial view depicting existing uses of land in the vicinity of the project area. The project area and surroundings are mostly undeveloped lands.

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13 1.9.2 Annexation #22: Parcels and Land Use Designations Figure 5 is a ap for the parcel that constitutes the Annexation #22 area. Figure 6 confirms that the parcel is not under Williamson Act contract. Its previous use for agriculture (a decade ago) was therefore temporary, pending the expansion of the City into those parcels intended for future urban development under the 2040 General Plan. Figure 7 reveals further that the parcels were not designated prime farmland, unique farmland, or farmland of statewide importance.

Figure 5: in Annexation #22 Area
Source: Kern County GIS
The proposed project area covers approximately 326 gross acres. Table 1 identifies the within the proposed annexation area. The table also shows the original land use designation in the General Plan and the proposed land use under pre-zoning of parcel APN 060-250-02. Overall, there is good consistency in land use designations between the General Plan and proposed uses on the parcel.

Indeed, t
Plan. This maintains consistency between the General Plan and the proposed project. The most noticeable changes are: (a) the conversion of land into its intended future urban use under the General Plan with the M-3 zoning designation and (b) the modification to the boundary of the city limits and sphere of influence consequent to the annexation.

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14 Table 1: Parcel Size with Land Use in Annexation #22 Area Assessor's
Parcel Number
(APN)
Acreage General Plan Land Use
Designation
General Plan Land Use
Designation [Amended for
Annexation #22]
PreZoning
060-250-02 326 Heavy Industrial
Heavy Industrial or General
Manufacturing M-3
Total 326 Acreage includes future internal road rights-of-way Under the City of zoning code, M-3 designates a General Manufacturing or Heavy Industrial district. It is the most intensive type of industrial zone, which allows for heavy manufacturing, chemical processing, large-scale warehousing, and similar activities that involve intensive industrial operations.

Chapter 17 of the McFarland Municipal Code identifies an array of permitted land uses in M-3 zoning districts. According to section 17.152.030(8) of the municipal code, M-3 zones permit the following uses (Ord. No. 0004-2023, § 5, 5-11-23):

A. Commercial stockyards and animal slaughter.

B. Dairies and livestock feed yards.

C. Dumps and refuse disposal areas.

D. Dwellings.

E. Junk, salvage or auto wrecking yards.

F. Sewer farms or sewage disposal plants.

Appendix C has additional details covering the list of uses permitted under the M-3 district.

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15 Figure 6: Williamson Act Lands within and around Sphere of Influence Source: Kern County GIS
Annexation #22 Area

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16 Figure 7: Types of Farmlands in McFarland's Sphere of Influence Source: Kern County GIS
Annexation #22 Area

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17 1.9.3 Annexation #22: Distribution of Land Uses
The proposed project is envisioned to be developed within a zoning district Code. It is anticipated that multiple forms of compatible industrial operations may be implemented to be consistent with the provisions of the Municipal Code. However, the exact combination of uses and sizes are to be determined in the future. The pre-zoning has assigned to the parcel zoning designation that would become applicable following annexation of the area. This is consistent with the Cortese-Knox- which requires that parcels proposed for - 1.9.4 Compatibility of Proposed Land Uses in Annexation #22 Area with McFarland General Plan The vision for the proposed development in Annexation #22 Area (which its pre-zoning reflects) will be compatible with the industrial and manufacturing land uses within the part of the city limit that the proposed development project area adjoins. The following are noteworthy:

Annexation #22 will adjoin existing City boundary thereby avoiding leap-frog development. -up
area. However, it is prudent to maintain some separation between the industrial land use intended for the parcel and the residential areas of the City to the northwest of the project location. This would avoid the problem of incompatible uses being too close to each other.

Review for intended vs. historic use of land reveal the following:

Agricultural lands in McFarland are important in that they provide commodities that generate local jobs and income, contribute to the local character of the City, and create habitat for wildlife. McFarland recognizes the economic and cultural importance of agriculture for the community and continues to actively preserve and protect farmland, particularly Williamson Act Parcels.

The parcel in the Annexation #22 area was partially under temporary agricultural use a decade ago but has been fallow since then. However, the parcel is neither under Williamson Act contract, as Figure 6 shows, nor is it designated prime farmland, unique farmland, or farmland of statewide importance as Figure 7 shows. Consequently, Annexation #22 parcel has prior intended use for urban development as are other parcels in its immediate vicinity. Therefore, conversion of the parcel to urban uses is consistent with the long-term intent for use of the land to accommodate the needs of a growing population thereby also contributing potentially to jobs in the State.

Reviews for compatibility with the McFarland General Plan reveal the following:

Annexation #22 adjoins an industrial area according to the Land Use Map of the 2040 General Plan. Refer to Figure 2 for the citywide land use map and Figure 4 for a close-up of project area land use designations under the General Plan. The parcel to be annexed (APN 060-250-02), is to accommodate a variety of compatible industrial and manufacturing uses including commercial stockyards and animal slaughter; dairies and livestock feed yards; dumps and refuse disposal

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18 areas; dwellings; junk, salvage or auto wrecking yards; as well as sewer farms or sewage disposal plants. Development review in the future would assure that land uses would be compatible with each other.

Annexation #22 Area adjoins but is wholly outside the 2022 City limits and McFarland s sphere of influence. Refer to Figure 2 and Figure 4. This would require modification to the boundaries of the city limits via the proposed annexation process.

Since the project area falls within a section of the City that already has similar and compatible land use designations, the EIR for the 2040 General Plan covers the area of proposed development.
o The development proposal would not trigger a need for change to area land uses in the General Plan since they are appropriate, compatible land uses. o The circumstances qualify for tiering the environmental documentation for the annexation off the General Plan EIR for a Negative Declaration for the proposed development.

The primary land uses pre-zoning are consistent with the 2040 McFarland General Plan. Specifically, they are directly compatible with or offer the potential to meet the following policies among others:

Objective LU 1.3: Provide vibrant commercial and industrial development along Highway 99.

Policy LU 1.3.1: Develop compatible industrial, commercial, and other uses along Highway 99.

Program LU 1.3.1.1: Work with landowners to assemble parcels near the highway for new development.

Program LU 1.3.1.2: Extend infrastructure.

Program LU 1.3.1.3: Create and implement a specific plan for the job expansion area along Highway 99.

Policy LU 1.3.2: Promote new industrial development along Highway 99.

Program LU 1.3.2.1: Establish a list of administerial approved Industrial uses along the Highway 99 corridor.

Objective ED 1.1: Develop and maintain a diversity of businesses.

Policy ED 1.1.1: Balance industrial, commercial, agricultural, and residential needs.

Program ED 1.1.1.2: Expedite plan review and permitting processes to facilitate commercial development along Highway 99.

Program ED 1.1.1.3: Provide a licensing process for construction of temporary worker housing and migrant farmworker housing in suitable areas.

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19 Goal NOI 4: New economic and commercial activity in noise-appropriate areas.

Objective NOI 4.1: Favor proposed new commercial and industrial development in noise-appropriate areas, especially along Highway 99.

Policy NOI 4.1.1: Reserve undeveloped noise-impacted areas primarily for compatible commercial and industrial development.

Program NOI 4.1.1.1: Demarcate areas along Highway 99 for commercial and industrial activities with the highest noise tolerance and generation.

1.9.5 Modifications to City Boundary and Land Uses in Annexation #22 Area Figure 8 shows the General Plan Land Use Map with a two-in-one modification of boundary lines: (a) to City boundaries on the south side to include Annexation #22 Area; and (b) for a coterminous boundary OI).

Table 1 identified land uses between the original land use map of the General Plan and the proposed project. The following are noteworthy from that table and the modified land use map for the General Plan:

The parcels of the annexation area have been lying fallow for a decade.

The pre-zoning for the project exactly matches the land use vision that the General Plan articulated for the area.

Upon the amendment to the General Plan and annexation, the new City boundary and coterminous SOI would wrap around the Annexation #22 parcels as Figure 8 depicts.

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20 Figure 8: Modified McFarland City Boundary and SOI on General Plan Land Use Map Modified City Boundary for Annexation #19 Area
Modified City Boundary for Annexation #20 Area
Modified City Boundary for Annexation #21 Area
Modified City Boundary & SOI for Annexation #22 Area

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21 1.10. Other Required Agency Approvals
Externally, the City will consult with Kern County LAFCO for approval. Besides LAFCO, no other external agency is required to approve the annexation project.

Internally, pertinent departments of the McFarland city government will conduct reviews of the application in accordance with established procedures of the City and make recommendations to the Planning Commission. Ultimately, the City Council will act with consideration of input from the Planning Commission in giving authorization to initiate annexation.

1.11. Native American Consultation
Consistent with regulations of the State of California (e.g., SB 18, AB 52, et al), the project team initiated consultation with Native American Tribes likely to be traditionally and culturally affiliated with the project area as part of the General Plan EIR process. With assistance from the Native American Heritage Commission, the project team identified nineteen Native American Tribes and contacted each via a letter in 2021. The Appendix to section 1.6 of the Final Program EIR on the 2040 McFarland General Plan includes a list of Tribes contacted and responses received, if any, as well as copies of the letters sent to the Tribes. Overall, responses indicate the project area is outside ancestral homes for which the Tribes did not request consultation.

1.12. Summary Of Environmental Factors Potentially Affected In accordance with Section 15125 of the CEQA Guidelines, the Program EIR on the 2040 McFarland General Plan analyzed the programmatic and cumulative environmental impacts that would possibly result from the adoption of the 2040 McFarland General Plan, which includes the long-term vision, policies, and programs for housing. This section identifies the required topics of discussion. Subsections of the next section summarize the respective impacts of the proposed Plan under these topics. Specific environmental conditions relate to individual topics and detailed discussion of impacts are available in sections 4.1 through 4.20 of the Final EIR. The topics include the following:
o Aesthetics
o Agricultural Resources
o Air Quality
o Biological Resources
o Cultural
o Geology and Soils
o Greenhouse Gas Emissions
o Hazards and Hazardous
Materials
o Hydrology and Water
Quality
o Land Use and Planning
o Mineral Resources
o Noise
o Population and Housing
o Public Facilities
o Recreation
o Transportation
o Utilities
o Energy
o Tribal Cultural Resources
o Wildfire
o Mandatory Findings of
Significance

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22 2.0 Evaluation of Environmental Impacts
This section presents a summary of the analyses on the potential environmental impacts that may result from the proposed project. For the evaluation of potential impacts, the questions in the Initial Study Checklist (Section 1.1 through 1.9) are stated and answers are provided according to the analysis -term impacts
(construction-related), and its operational or day-to-day impacts. For each question, there are four possible responses, which are listed in increasing order of severity; they are:

1. No Impact
measurable environmental impact on the environment and no additional analysis is required.

2. Less than Significant Impact. The development associated with project implementation will have the potential to impact the environment; these impacts, however, will be less than the levels or thresholds that are considered significant and no additional analysis is required.

3. Potentially Significant Unless Mitigated. The development will have the potential to generate impacts which may be considered as a significant effect on the environment, although reduce these impacts to levels that are less than significant.

4. Potentially Significant Impact. Future implementation will have impacts that are considered significant, and additional analysis is required to identify mitigation measures that could reduce these impacts to less than significant levels.

The summary tables that follow list the four possible responses in decreasing order of severity for each of the required topics of discussion.

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23 2.1 Aesthetics Would the proposed plan: Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Have a substantial adverse
effect on a scenic vista?
X

2. Substantially damage scenic
resources including, but not
limited to, trees, rock
outcroppings, and historic
buildings within a state scenic
highway?
X

3. In non-urbanized area,
substantially degrade the
existing visual character or
quality of public views of the
site and its surroundings?
If the project is in an urbanized
area, would the project conflict
with applicable zoning and
other regulations governing
scenic quality?
X

4. Create a new source of
substantial light or glare which
would adversely affect day or
nighttime views in the area?
X
AE 1: There are no officially designated scenic vistas or viewsheds in the City of McFarland. As a result, the Annexation #22 project (Project) will have no effect on scenic vistas.

AE 2: There are no officially designated State scenic highways in the City of McFarland nor are there any National or California Historic Landmarks in the City. The closest eligible place is the Friant-Kern Canal, which is eligible for National Register of Historic Places (NRPH). The Project will have no effect on any scenic highways or historic landmarks.

AE 3: The proposed developments in the Project would be contiguous to the City and the development review process will assure preservation of the visual character of the City. The Project will have no negative effect on the visual character of the City.

AE 4: Build-out of developments from the Project would create new, but minor sources of glare and light. Any new lighting installed under the Project would increase safety and security for residents and visitors and result in a less than significant impact.

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24 2.2 Agricultural Resources Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Convert Prime Farmland, Unique Farmland,
or Farmland of Statewide Importance
(Farmland), as shown on the maps
prepared pursuant to the Farmland
Mapping and Monitoring Program of the
California Resources Agency, to nonagricultural use?
X

2. Conflict with existing zoning for agricultural
use, or a Williamson Act contract? X

3. Conflict with existing zoning for, or cause
rezoning of, forest land (as defined in Public
Resources Code section 12220(g)),
timberland (as defined by Public Resources
Code section 4526), or timberland zoned
Timberland Production (as defined by
Government Code section 51104(g))?
X

4. Result in the loss of forest land or
conversion of forest land to non-forest use? X

5. Involve other changes in the existing
environment which, due to their location or
nature, could result in conversion of
Farmland, to non-agricultural use or
conversion of forest land to non-forest use?
X
AG 1: Agricultural lands in McFarland are important in that they provide commodities that generate local jobs and income, contribute to the local character of the City, and create habitat for wildlife. While some designated urban land under temporary agricultural use may be converted to urban land uses under the Annexation #22 project (Project), the parcels of land under consideration are not under Williamson Act contract nor are they designated prime farmland, unique farmland, or farmland of statewide importance. Overall, use of the land for its intended urban purpose would result in a less than significant effect.

AG 2: McFarland recognizes the economic and cultural importance of agriculture for the community and continues to actively preserve and protect farmland, particularly, Williamson Act Parcels.

Annexation #22 project area is not under contract and thus its conversion to housing in order to accommodate the growing population in the long term would not result in loss of Williamson Act land.

Therefore, the Project will have a less than significant impact on zoning and Williamson Act Parcels.

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25 AG 3: There is no forest land or timberland zoned for timberland production within the City of McFarland. The Project will have no impact on forest or timberland.

AG 4: There is no forest land within the City of McFarland. The Project would have no impact on the loss of forest land to non-forest use.

AG 5: Agricultural resources are directly threatened by urban development as well as urban growth.

McFarland is committed to preserving its agricultural resources; however, while long term buildout of housing may impact the agricultural environment by changing the activities occurring on adjacent properties, Annexation #22 parcels have prior designation for urban development as are many of the parcels in the immediate vicinity. This would cause the overall impact to be less than significant.

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26 2.3 Air Quality Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Conflict or obstruct
implementation of the
applicable air quality?
X

2. Result in a cumulatively
considerable net increase of
any criteria pollutant for
which the project region is
non-attainment under an
applicable federal or state
ambient air quality standard?
X 3. Expose sensitive receptors to
substantial pollutant
concentrations?
X

4. Result in other emissions
(such as those leading to
odors) adversely affecting a
substantial number of
people?
X AQ 1: McFarland, like the rest of the San Joaquin Valley area, is in attainment with the federal PM 10 standard, but not with the federal PM 2.5 standard, and the area is not in attainment with state PM 10 or PM 2.5 standards, making the area not in attainment with federal nor with state ozone standards.

Features within the Annexation #22 project (Project) would be consistent with the General Plan, which promotes contiguous growth with intensification of development, thus increasing the use of alternatives to the auto like walking, biking, and transit causing the overall impact to be less than significant. AQ 2: The SJVAPCD has published two state implementation plans (SIPs) which address ozone and particulate matter, for which the Basin fails to meet attainment standards. Housing Elements are typically considered consistent with SIPs if they do not increase population or VMT above that projected in the Regional Transportation Plan/ Sustainable Communities Strategy (RTP/SCS). The Project does not exceed these growth assumptions. The SJVAPCD also published a CEQA assistance document, the (GAMAQI) which provides specific
mitigation measures to be applied to projects in the Basin. Projects in the City, such as subdivisions will undergo project level CEQA review and are subject to the provisions of the GAMAQI. Overall, the Project will have a less than significant impact.

AQ 3: The Project could contribute to the existing violation of several air quality standards or contribute to an existing or projected air quality violation; however, the air basin covers a large region

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27 and includes many large agricultural operations and major urban areas including the City of Fresno. The Project will conform with several policies and actions in the General Plans that can help to mitigate future air pollutant emissions and protect sensitive residential receptors such as nursing homes. Overall, the Project will have a less than significant impact.

AQ 4: Considering the small size and rural location of the City of McFarland and the separation of incompatible uses, the Project will not have a significant impact on the exposure of substantial numbers of people to emissions.

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28 2.4 Biological Resources Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant
With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Have a substantial adverse effect,
either directly or through habitat
modifications, on any species identified
as a candidate, sensitive, or special
status species in local or regional plans,
policies, or regulations, or by the
California Department of Fish and
Game or U.S. Fish and Wildlife Service? X

2. Have a substantial adverse effect on
any riparian habitat or other sensitive
natural community identified in local or
regional plans, policies, regulations or
by the California Department of Fish
and Game or US Fish and Wildlife
Service?
X

3. Have a substantial adverse effect on
state or federally protected wetlands
(including, but not limited to, marsh,
vernal pool, coastal, etc.) through
direct removal, filling, hydrological
interruption, or other means?
X

4. Interfere substantially with the
movement of any native resident or
migratory fish or wildlife species or
with established native resident or
migratory wildlife corridors, or impede
the use of native wildlife nursery sites?
X 5. Conflict with any local policies or
ordinances protecting biological
resources, such as a tree preservation
policy or ordinance?
X

6. Conflict with the provisions of an
adopted Habitat Conservation Plan,
Natural Community Conservation Plan,
or other approved local, regional, or
state habitat conservation plan?
X BIO 1: McFarland is home to a few species that have been historically protected under federal and state regulations. Four species that have been on and off the endangered and threatened species lists

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29 over the past years include the Swainson's hawk (Buteo swainsoni), Burrowing owl (Athene cunicularia), Tricolored Blackbird (Agelaius tricolor), and the San Joaquin Kit Fox (Vulpes macrotis mutica). Impacts to these species will be mitigated from the federal and state regulations. Furthermore, the Annexation #22 project (Project) does not propose development in existing wildlife or natural habitat areas. While, infill development is prioritized, new development will avoid sensitive areas, and areas of the City that are environmentally sensitive are intended to be preserved resulting in a less than significant impact to protected species.

BIO 2: There are no wetlands or riparian habitats or other sensitive natural communities in McFarland; therefore, the Project will have no impact on any riparian habitat or other sensitive natural community.

BIO 3: The City is nearly surrounded by croplands and Williamson Act lands and the policy is to preserve prime farmland, which controls the development envelope. Otherwise, the regional geography poses low fire risk to McFarland, the City lacks wetlands, forested areas, or other sensitive habitat that might hinder development. While there is a slight potential for interruption of the hydrological cycle with impervious surfaces that come with urban development, the impact will be less than significant. BIO 4: The Project could result in some impact if new development would interfere with movement of species through corridors, migration patterns, or affect their ability to reach breeding locations, but any impact would be less than significant.

BIO 5: The Project will not conflict with any local policies or ordinances protecting biological resources.

BIO 6: There are no adopted Habitat Conservation Plans, Natural Community Conservation Plans, or other approved local, regional, or state habitat conservation plans that are relevant in this context. Even unforeseen possibilities are considered less than significant.

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30 2.5 Cultural: Archeological and Historical Resources Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant Impact
No Impact

1. Cause a substantial adverse
change in the significance of
a historical resource
pursuant to § 15064.5?
X

2. Cause a substantial adverse
change in the significance of
an archeological resource
pursuant to 15064.5?
X 3. Disturb any human remains,
including those interred
outside of formal
cemeteries?
X
CULT 1: McFarland does not have any officially designated historic resources leading to a conclusion of no impact. Furthermore, the Annexation #22 project (Project) seeks to preserve non-designated historic resources.

CULT 2: Construction activities associated with buildout of the Project could cause a significant impact to archaeological resources in the plan area by potentially damaging or disturbing as yet undiscovered archaeological deposits through the placement of fill and soil compression. Therefore, the potential for encountering archeological resources could exist but is unknown in some sections of the City. Based in know facts, the Project overall is likely to cause a less than significant impact.

CULT 3: Historically, Native Americans inhabited the region, and historically significant sites within the region have been discovered. There exists the potential of significant impacts if there were unknown sites of human remains discovered during the build-out of the Project. There are no known such sites in key growth areas (which include the Project area), resulting in a less than significant impact. If any were to be discovered, impacts would both be significant and unavoidable. In the event human remains are discovered during the build-out of the Project, construction must be stopped, and a qualified coroner must be contacted to determine if the remains are of Native American origin. If the coroner makes this determination, the coroner should contact the Native American Heritage Commission within 24 hours.

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31 2.6 Geology and Soils Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant
With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Directly or indirectly cause potential
substantial adverse effects, including the
risk of loss, injury, or death involving
rupture of a known earthquake fault, as
delineated on the most recent AlquistPriolo Earthquake Fault Zoning Map issued by the State Geologist for the
area or based on other substantial
evidence of a known fault?
X

2. Directly or indirectly cause potential
substantial adverse effects, including the
risk of loss, injury, or death involving
strong seismic ground shaking?
X 3. Directly or indirectly cause potential
substantial adverse effects, including the
risk of loss, injury, or death involving
seismic related ground failure, including
liquefaction?
X

4. Directly or indirectly cause potential
substantial adverse effects, including the
risk of loss, injury, or death involving
landslides?
X 5. Result in substantial soil erosion or the
loss of topsoil? X

6. Be located on a geologic unit or soil that
is unstable, or that would become
unstable as a result of the project, and
potentially result in on- or off-site
landslide, lateral spreading, subsidence,
liquefaction, or collapse?
X 7. Be located on expansive soil, as defined
in Table 18-1-B of the Uniform Building
Code (1994), creating substantial direct
or indirect risks to life or property?
X

8. Have soils incapable of adequately
supporting the use of septic tanks or
alternative wastewater disposal systems
where sewers are not available for the
disposal of wastewater?
X

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32 9. Directly or indirectly destroy a unique
paleontological resource or site or
unique geological feature?
X
GEO 1: Seismic hazard mapping shows that the City has a low seismic hazard potential yet it is at moderate risk for earthquake vulnerability. The closest active fault is six miles west while the closest active and potentially hazardous fault zone is White Wolf Fault Zone, located 55 miles south of McFarland. The White Wolf Fault Zone last erupted in 1952. Therefore, the Annexation #22 project (Project) has a less than significant effect.

GEO 2: Seismic hazard mapping shows that the City has a low seismic hazard potential yet it is at moderate risk for earthquake vulnerability. McFarland has a 25% to 30% chance of experiencing an earthquake greater than magnitude 5.0 within the next 20 years and a 50% to 60% chance of experiencing an earthquake greater than magnitude 5.0 within the next 30 years. Therefore, the Project would place few to no properties in danger of collapse or lives at risk due to ground shaking, causing a less than significant impact.

GEO 3: Liquefaction is the conversion of soil into a fluid-like state. McFarland is not within an area identified as having the potential for liquefaction. Therefore, the probability of loss of life or property due to liquefaction is less than significant. GEO 4: Earthquake-induced landslide and slope failure occurs when steep slopes composed of weak materials fail because of ground shaking caused by an earthquake. McFarland is not in an area identified as having the potential for earthquake-induced landslide or slope failure. Therefore, the Project will create less than significant risk of landslides.

GEO 5:
outside the built-up area of McFarland, the Project would create less than significant loss of topsoil.

GEO 6: McFarland is not in an area identified as having the potential for earthquake-induced landslide or slope failure or as having the potential for liquefaction. Subsidence typically occurs due to the withdrawal of groundwater, oil, natural gas, or other resource extractive activities. The nearby City of Delano experienced subsidence caused largely by groundwater pumping of the deep aquifer system during the 1950s and 1960s. Although McFarland is at some risk for future ground failure as it is affected by subsidence with seismic ground shaking due to historic water withdrawal, and existing subsidence conditions less than significant. GEO 7: Soils susceptible to expansion are high in clay content as they are able to absorb and retain water leading to volume disparities between wet and dry states. The City of McFarland contains sandy soils with little or no clay content (Olive et al., 1989) which will not expand when inundated with water.

Therefore, the Project creates less than significant risk of loss of life or building damage due to location on expansive soils.

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33 GEO 8: The City of McFarland relies primarily on the collection and treatment of wastewater through a city-wide sewer system. The City does not rely heavily on the use of septic tanks. In the event that septic tanks are needed to collect wastewater, the nature of the soil in McFarland would adequately support septic tank infrastructure, resulting in a less than significant impact.

GEO 9: McFarland is not known to have paleontological resources. However, construction activities associated with buildout of the Project could result in unearthing paleontological resources.

In anticipation of this slim eventuality, the City of McFarland has adopted the policy that in the event that archeological or paleontological resource is unearthed or otherwise discovered during construction related activities associated with the Project, all work must be suspended until a qualified archeologist is consulted Thus, the Project has a less than significant impact.

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34 2.7 Greenhouse Gas Emissions Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Generate GHG emissions,
either directly or indirectly,
that may have a significant
impact on the environment?
X

2. Conflict with an applicable
plan, policy, or regulation
adopted for the purpose of
reducing the emission of
GHGs?
X
GHG 1: The Annexation #22 project (Project) is envisioned to increase development density which can reduce per capita greenhouse gas emissions resulting in a less than significant effect.

GHG 2: The Project remains consistent with the 2040 General Plan and other relevant policies and plans related to the regulation of GHG emissions. Therefore, the Project results in a less than significant impact.

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35 2.8 Hazards and Hazardous Materials
Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Create a significant hazard to the public or
the environment through the routine
transport, use, or disposal of hazardous
materials?
X

2. Create a significant hazard to the public or
the environment through reasonably
foreseeable upset and accident conditions
involving the release of hazardous
materials into the environment?
X

3. Emit hazardous emissions or handle
hazardous or acutely hazardous materials,
substances, or waste within one-quarter
mile of an existing or proposed school?
X

4. Be located on a site which is included on a
list of hazardous materials sites compiled
pursuant to Government Code Section
65962.5 and, as a result, would it create a
significant hazard to the public or the
environment?
X

5. For a project located within an airport
land use plan or, where such a plan has
not been adopted, within two miles of a
public airport or public use airport, would
the project result in a safety hazard or
excessive noise for people residing or
working in the project area?
X

6. Impair implementation of or physically
interfere with an adopted emergency
response plan or emergency evacuation
plan?
X

7. Expose people or structures, either
directly or indirectly, to a significant risk of
loss, injury or death involving wildland
fires?
X
HAZ 1: The transport, use, and disposal of hazardous materials are primarily associated with industry.

The Annexation #22 project (Project) focuses primarily on industrial and manufacturing activities and supporting uses Plan provide directions on how to deal with such situations, providing guidance to the development of the Annexation 22 area. Therefore P impact would be less than significant.

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36 HAZ 2: Certain industrial and commercial land uses have the potential to create a significant hazard in upset or accident conditions if they involve the use, production, or transport of hazardous materials; however, the Project would be developed according to policies of the General Plan and result in a less than significant impact on the environment.

Furthermore, this project is not the type to require CEQA review and mitigation of impacts associated with hazardous materials. In the case that the release of hazardous materials occurs, the City should collaborate with the County, following protocol from the Hazardous Materials Area Plan to carry out a study to evaluate the nature and extent of the contamination, and the potential threat to public health and/or the environment.

HAZ 3: Most existing and proposed schools are located beyond the quarter-mile threshold from anticipated land uses. The Project focuses on uses that are in the same vicinity with other anticipated industrial uses resulting in a less than significant impact on the environment HAZ 4: According to an EnviroStor search conducted in 2019, there were three DTSC cleanup sites within City limits and one cleanup site to the south of McFarland. The Project will not change the existing land uses on the contamination sites without mitigation. Additionally, there is a potential for aerially deposited lead (ADL) soil contamination along Highway 99. Projects associated with development along Highway 99 should include soil sampling to test for ADL. Other projects (but not this project) might require CEQA review and mitigation of impacts associated with hazardous materials.

Therefore, the Project will create less than significant hazard to the public or the environment.

HAZ 5: While four airports fall within the relative vicinity of McFarland, only three are relatively providing a constraint to potential development north of that area. However, Delano Municipal Airport (DLO) is an uncontrolled, general aviation airport with a record of low-activity; it primarily serves local light aviation, including flight training and private aircraft, rather than commercial traffic thereby posing little to no conflict with the project area. There is no private airstrip within the Project Area. While no training or other significant military flightpaths cross over McFarland, Edwards Air Force Base, the nearest military installation, has some potential to impact safety in McFarland. Naval Air Warfare Station China Lake could also potentially effect aircraft hazards. The Project will not impact airport use.

HAZ 6: The Project aligns with the General Plan which ensures collaboration with Kern County on the development and implementation of a Disaster and Emergency Preparedness Plan (ERP) as well as supports efforts outlined in the existing McFarland Local Hazard Mitigation Plan. The Project does not impact implementation of or physically interfere with an adopted emergency response plan or emergency evacuation plan.

HAZ 7: McFarland is not included in Local, State or Federal Responsibility Areas or the projected Sphere of Influence within the Fire Hazard Severity Zones. While the City does not lie within a recognized Fire Hazard Severity Zone of CAL FIRE, urban structure fires remain a concern and steps to prepare for an emergency can benefit all residents. Additionally, the City of McFarland sits on land designated as Wildland-Urban Interface by the USGS, or the area where significant vegetation or fuel sources lie near

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37 human activity. The Sequoia National Forest lies approximately 30 miles to the east of McFarland, and that eastern half of Kern County qualifies as a significant fuel source and an area of significant fire probability, with many areas falling in a High or Very High Fire Hazard Zone. Although large wildfires are unlikely near McFarland, caution is still warranted due to significant potential fuel sources in the area including agricultural waste, liquid fuel, gaseous accelerants, and other significant local point sources of impact in a city of its size. The Project will expose people or structures, either directly or indirectly to a less than significant risk of loss, injury, or death involving wildland fires.

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38 2.9 Hydrology and Water Quality Would The Proposed Plan Potentially Significant Impact
Less Than
Significant
With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Violate any water quality standards or
waste discharge requirements or
otherwise substantially degrade surface
or ground water quality?
X

2. Substantially decrease groundwater
supplies or interfere substantially with
groundwater recharge such that the
project may impede sustainable
groundwater management of the basin?
X

3. Substantially alter the existing drainage
pattern of the site or area, including
through the alteration of the course of a
stream or river or through the addition of
impervious surfaces, in a manner which
would result in substantial erosion or
siltation on- or off-site?
X

4. Substantially alter the existing drainage
pattern of the site or area, including
through the alteration of the course of a
stream or river or through the addition of
impervious surfaces, in a manner which
would substantially increase the rate or
amount of surface runoff in a manner
which would result in flooding on- or offsite?
X

5. Substantially alter the existing drainage
pattern of the site or area, including
through the alteration of the course of a
stream or river or through the addition of
impervious surfaces, in a manner which
would create or contribute runoff water
which would exceed the capacity of
existing or planned stormwater drainage
systems or provide substantial additional
sources of polluted runoff?
X

6. Substantially alter the existing drainage
pattern of the site or area, including
through the alteration of the course of a
stream or river or through the addition of
X

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39 impervious surfaces, in a manner which
would impede or redirect flood flows?

7. In flood hazard, tsunami, or seiche zones,
risk release of pollutants due to project
inundation?
X

8. Conflict with or obstruct implementation
of a water quality control plan or
sustainable groundwater management
plan?
X
HY 1: Future development associated with the buildout of the Annexation #22 project (Project) could negatively affect the quality of surface waters. Construction activities, which include grading, excavation, and other earthmoving activities, could expose soils, which can be eroded and deposited into nearby water sources. Increased sedimentation and turbidity from storm water runoff could lead to lower oxygen levels and increased algal growth, which could harm aquatic life. Post-construction impacts to water quality and waste discharge are due to an increase of impervious surfaces creating changes to storm water amount and quality. An increase of impervious surfaces also could lead to an increase of pollutants that enter storm water runoff. Urban runoff can potentially carry oil and grease, metals, sediment, pesticide, and chemical residues from roadways, parking lots, and rooftops, depositing them into nearby waterways. Development from the Project is required to comply with State and local water quality regulations that are designed to protect water quality during construction.

Complying with the standards and regulations will prevent the Project from violating any water quality standards related to waste discharge. less than significant. HY 2: The future development in the Project area would result in an increase in impervious surfaces which may interfere with groundwater recharge. However, regulations for stormwater require various measures that aim to improve on-site retention and drainage improvements, which when adhered to should result in a less than significant impact.

HY 3: Development of the Project would involve vegetation removal, earth excavation and grading, and the construction of new structures. These activities could have an impact on the drainage pattern through an increase in erosion from construction activities and an increase in impervious surfaces.

However, erosion control measures are to be implemented and regulated for any proposed project greater than one acre resulting in a less than significant level. Individual projects are also to mitigate any on-site or off-site erosion impacts.

HY 4: Build-out of the Project will increase the number of impervious surfaces within the City. Drainage patterns have the potential to be altered through an increase in the rate and volume of stormwater runoff due to the increase in impervious surfaces. McFarland owns nine sump basins for flood and storm control; however, additional sump basins have been identified for future development. This would help to alleviate potential runoff from developments to a less than significant level.

HY 5: An increase in impervious surfaces from the development of the Project could result in an increase in stormwater runoff and pollutants within the stormwater. The increased pollutants include oil

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40 and grease, metals, sediments, and pesticides from the increase in roadways, parking lots, rooftops, and other impervious surfaces. The water quality from stormwater runoff is regulated by the Central Valley Regional Water Quality Control Board (CVWQCB) and the municipal stormwater requirements in the McFarland Storm Drain Master Plan. These requirements and design features aid in offsetting the potential increase in stormwater from increase in impervious surfaces to a less than significant level.

HY 6: An increase in development under the Project could result in alterations to water courses as retention walls, fences, and other structures are situated on land. However, site grading and design guidelines are meant to guard against unnecessary redirection of natural flow patterns, call for creation of retention basins, and preservation of streams and creeks, resulting in an overall less than significant impact. Furthermore, individual projects are to undergo project-level analysis to determine if they impede or redirect flood flows and mitigate them, as necessary.

HY 7: McFarland does not fall within tsunami or seiche zones. However, assess parcel data indicates approximately 457 parcels exist within the 100-year floodplain and 1,081 parcels exist within the 500- year floodplain. These properties account for 55% of homes in McFarland. Approximately 2,380 people live within the 100-year floodplain and 5,540 live within the 500-year floodplain. The Project also falls within the 500-year flood plain. However, with the appropriate mitigation programs in the General Plan, this Project can result in a less than significant impact.

HY 8: An increase in development under the Project could increase surface runoff, its pollution, and subsequent degradation of water supply sources. McFarland is in a region with perennial shortage of water and a depleting groundwater aquifer. Growth in people and activities is likely to exacerbate the situation. CVWQCB regulates water quality while Southern San Joaquin Municipal Utility District (SSJMUD) protects and manages groundwater for sustainability less than significant. The Project also remains consistent with SSJMUD Sustainable Ground Water Management Plan.

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41 2.10 Land Use and Planning Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Physically divide an
established community? X

2. Cause a significant
environmental impact due
to a conflict with any land
use plan, policy, or
regulation adopted for the
purpose of avoiding or
mitigating an environmental
effect?
X
LU 1: The Annexation #22 project (Project) does not include expansion of growth on both sides of -town character
and preserve open space, the Project is contiguous to existing development. The proposal in the General Plan to create neighborhood centers and mixed-use arterials, enhanced mobility options for all modes of transportation, and increasing connectivity in the area and throughout the City, would result in a less than significant impact.

LU 2: The Project does not conflict with existing land use plans. The Project remains consistent with the 2040 General Plan and updated Zoning Ordinance and Zoning Map.

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42 2.11 Mineral Resources Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Result in the loss of
availability of a known
mineral resource that would
be of value to the region
and the residents of the
state?
X

2. Result in the loss of
availability of a locallyimportant mineral resource
recovery site delineated on
a local general plan,
Residential Development
Plan, or other land use
plan?
X
MR 1: Mineral extraction operations do not exist in the City of McFarland, but there are operations within Kern County. The City has restrictions in its municipal code that do not allow mining operations within McFarland. However, expansion in physical development would require extraction of stones, gravel, and sand, which might come from other parts of the region. Therefore, buildout of the Annexation #22 project (Project) could result in a less than significant loss of known mineral resources.

MR 2: As referenced under MR-1, there are no existing mining operations in the City of McFarland.

However, the need for building stones, gravel, and sand during expansion in physical development could potentially deplete a local quarry. Therefore, buildout of the Project could result in a less than significant loss of a locally-important mineral resource recovery site.

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43 2.12 Noise Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Generation of a substantial
temporary or permanent
increase in ambient noise
levels in the vicinity of the
project in excess of
standards established in the
local general plan or noise
ordinance, or applicable
standards of other
agencies?
X

2. Result in exposure of
persons to or generation of
excessive ground-borne
vibration or ground-borne
noise levels?
X

3. For a project located within
the vicinity of a private
airstrip or an airport land
use plan or, where such a
plan has not been adopted,
within two miles of a public
airport or public use airport,
would the project expose
people residing or working
in the project area to
excessive noise levels?
X
NOISE 1: To accommodate future growth, the Annexation #22 project (Project) proposes the conversion of some vacant land to industrial and manufacturing uses. Existing noise-sensitive land uses, including open space, public facilities, and residential land uses are outside of normally or clearly acceptable ranges of noise. Furthermore, the proposed land uses do not expose existing sensitive receptors to an unacceptable range of noise. However, with growth in human activities, there is a chance that noise levels would increase. Therefore, the Project could cause less than significant generation of noise levels in excess of the established standards. Additionally, project implementation is to take this issue into consideration and mitigate any potential noise impacts.

NOISE 2: Ground-borne vibration and noise levels in McFarland are primarily associated with vehicular traffic along SR 99. The railroad is also a significant source of intermittent noise, but its 60 dB contour is entirely contained within the SR 99 60 dB contour. The Project, consistent with the 2040 General Plan,

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44 does not prioritize residential development along SR 99 and within the 60 dB contour. Sensitive land uses are located outside of the unacceptable noise ranges. However, increased activity under the Project could generate additional movement of heavy vehicles that could impact ground vibration.

Nevertheless, the Project would less than significantly expose people to, or generate, excessive groundborne vibration or ground-borne noise levels. Furthermore, implementation of the Project is to take this issue into consideration and mitigate any potential noise impacts.

NOISE 3: There are no aircraft operations, including private airstrip, public airport, or public use airport in the City of McFarland. The closest airport is the Delano Municipal Airport, just over four miles to the north. The 60 dB noise contours calculated for this airport do not extend to McFarland, nor to its planned expansion areas. Therefore, no persons residing or working in the Project area would be exposed to excessive noise levels associated with a private airstrip, public airport, or public use airport, resulting in no impact.

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45 2.13 Population and Housing Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Induce substantial
unplanned population
growth in an area, either
directly (for example, by
proposing new homes and
businesses) or indirectly (for
example, through extension
of roads or other
infrastructure)?
X

2. Displace substantial
numbers of existing people
or housing, necessitating
the construction of
replacement housing
elsewhere?
X
POP 1: The Annexation #22 project (Project), falls under the 2040 General Plan, which used the cohortcomponent method of population projection according to State of California guidelines to calculate population growth and number of households. The City of McFarland could need to accommodate up to about 4,500 additional housing units by 2040 in the five targeted key growth areas. This is to meet the needs of natural population increase and those that the target for jobs can induce by 2040 under the General Plan. The City, however, only has to meet a RHNA allocation of 244 units within the 2023-2031 cycle and can accommodate the additional housing units through a combination of infill, mixed-use, and ADU development in the downtown and vicinity plus key housing sites. This Project falls outside one of the key growth areas for new housing therefore causing no impact. POP 2: The General Plan can meet population growth and related housing needs through the reoccupation
developing new units. This Project does not necessitate the displacement of existing housing units. It does not involve redeveloping existing units in less than desirable conditions that could displace some occupants even if temporarily. Since the Project would not trigger displacement of people or existing housing units that would necessitate the construction of replacement housing elsewhere, it would have no impact.

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46 2.14 Public Facilities Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact
Result in substantial adverse physical impacts associated with the provision of new or physically altered governmental facilities, need for new or physically altered governmental facilities, the construction of which could cause significant environmental impacts, in order to maintain acceptable service ratios, response times or other performance objectives for the following:

1. Fire protection?
X

2. Police protection? X

3. Schools?
X

4. Parks? X

5. Other public facilities?
X PS 1: McFarland does not lie in any identified fire hazard severity zone. However, the Sequoia National Forest lies approximately 30 miles to the east of McFarland, and that eastern half of Kern County qualifies as a significant fuel source and an area of significant fire probability, with many areas falling in a High or Very High Fire Hazard Severity Zone.

Growth in population and activities have the potential to increase the risk of urban fires which could tax the ability of Fire Protection and Emergency Services. The building standards that the Annexation #22 project (Project) must follow are meant to reduce the risk of fire on houses in McFarland, resulting in a less than significant impact.

PS 2: Population growth has the potential to impact the ability of police services. Currently, the City of McFarland meets the FBI target of one officer per 1,000 residents and with the addition of the project, the City can maintain the standard officer-to-resident ratio. Therefore, the Project would have a less than significant impact.

PS 3: The current teacher to student ratio (1:24) is lower than the national average (1:30).

Construction of a new elementary school in 2016 increased facility capacity to 3,804. While the Project

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47 has little potential to increase population, the Project will have a less than significant effect on school capacity since other housing-focused developments allocate space for additional school facilities.

PS 4: The Project will have a less than significant impact on parks. Refer to the Recreation section (section 2.15) for more details.

PS 5: The Project has little potential to increase population which would likely increase demand for library services in excess of existing capacity. However, Mitigation PS 5a in the General Plan EIR Coordinate with Kern County
Library to address the specific needs of the community and funding sources required to build library service and other services to meet those needs. With Mitigation PS 5a, the Project would have a less than significant impact.

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48 2.15 Recreation Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Increase the use of existing
neighborhood and regional
parks or other recreational
facilities such that
substantial physical
deterioration of the facility
would occur or be
accelerated?
X

2. Include recreational
facilities or require the
construction or expansion
of recreational facilities
which might have an
adverse physical effect on
the environment?
X
REC 1: There are currently 7 parks and 35 acres of parks in McFarland. While population growth would inevitably require demand for park use, the Annexation #22 project (Project) is not expected to cause substantial increase in population to result in overuse of parks to an extent as to result in their deterioration. Therefore, the Project would have a less than significant impact.

REC 2: The Project area is to permit the development of industrial and manufacturing land uses which will not require additional recreational facilities beyond what is permitted and therefore will create no adverse physical impact.

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49 2.16 Transportation Would The Proposed Plan Potentially Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Conflict with a program,
plan, ordinance, or policy
addressing the circulation
system, including transit,
roadway, bicycle, and
pedestrian facilities?
X

2. Conflict or be inconsistent
with CEQA Guidelines
Section 15064.3, subdivision
(b)? . . . . i.e., Is VMT
exceeding an applicable
threshold of significance?
X

3. Substantially increase
hazards due to a geometric
design feature (e.g., sharp
curves or dangerous
intersections) or
incompatible uses (e.g.,
farm equipment)?
X

4. Result in inadequate
emergency access? X
TRANS 1: All development under the Annexation #22 project (Project) would be subject to policies, plans, and programs that ensure the performance and safety of users of multiple modal facilities including public transit riders, bicyclists, and pedestrians. For example, all development under the Project would have to comply with the Complete Streets Act of 2008 and the Americans with Disabilities Act of 1990. The impact of the Project on adopted policies, plans, or programs would therefore be less than significant. TRANS 2: Potential growth and development as a result of the Project can increase total vehicle miles travelled (VMT). However, anticipated focus of the Project and the keen focus of the General Plan on contiguous and mixed-use development can encourage alternatives to the auto, including nonmotorized travel, helping to reduce VMT. Consistent with statewide thresholds of significance, the proposed McFarland General Plan is assessed to produce upwards of a 50 percent reduction in per capita VMT. This is possible because the General Plan includes certain improvements to transportation and land use settings, which are projected to result in lower per capita VMT than existing and other future alternatives including the no project alternative. Therefore, the Project will have a less than significant impact on VMT.

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50 TRANS 3: All development under the Project would be subject to design and safety standards that are specified within the City of McFarland Municipal Code. The McFarland Municipal Code references, and is subject to, codes established by the State of California that ensure the safety of its citizens. As with current practice, all future roadways would be designed and reviewed in consultation with engineers to determine their compliance with these codes and regulations with regard to hazards and incompatible uses. Therefore, the Project will have no impact on hazards due to geometric design.

TRANS 4: All development under the Project would be subject to design and safety standards, specified under the City of McFarland Municipal Code, which references the California Building Code and portions of the International Fire Code. As with current practice, all future roadways would be designed and reviewed in consultation with engineers to determine their compliance with these codes and regulations with regards to adequate emergency access. Therefore, the Project will have no impact on emergency access.

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51 2.17 Utilities Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Require or result in the
relocation or construction
of new or expanded water,
wastewater treatment, or
storm water drainage,
electric power, natural gas,
or telecommunications
facilities, the construction
or relocation of which could
cause significant
environmental effects?
X

2. Have sufficient water
supplies available to serve
the project and reasonably
foreseeable future
development during
normal, dry, and multiple
dry years?
X

3. Result in a determination by
the wastewater treatment
provider which serves or
may serve the project that it
has (in)adequate capacity to
projected demand in
existing commitments?
X

4. Generate solid waste in
excess of State or local
standards, or in excess of
the capacity of local
infrastructure, or otherwise
impair the attainment of
solid waste reduction goals?
X

5. Not comply with federal,
state, and local
management and reduction
statutes and regulations
related to solid waste?
X

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52 UTIL 1: The Annexation #22 project (Project) will result in new growth and infrastructure development in an annexed area of the City of McFarland. This would result in new construction or expansion of storm water drainage facilities. The Annexation #22 area is in the eastern part of the City, which does have a history of major flood events and it is possible that projected growth could intensify this as roadway expansion, land use changes, and commercial growth and expansion could possibly increase the use of pavement and parking areas. However, programs in the General Plan address infrastructure requirements in order to efficiently capture and divert storm water to reduce the risk of urban flooding for new development and growth of the Project. Increased human activity as a result of the Project would also require the extension of electric, gas, and wastewater lines as well as telecommunication facilities. However, programs in the General Plan address increased demand for public services and proposed expansion when needed. Therefore, the Project will have a less than significant impact.

UTIL 2: The City has sufficient water supply to serve existing entitlements and resources, but water supply can be a limiting factor to growth. Continuing to monitor water quality is important as the community continues to grow. The current water supply needs to be supplemented by additional sources and continuously monitored for quality to facilitate growth. Additionally, the City of McFarland needs to reduce its water demand regardless of these impacts. Executive Order B-37-16 and Senate Bill X7-7 mandate water demand reduction which can potentially help the City offset demand associated with projected growth. With water conservation policies in the General Plan, the increased water demand as a result of the Project will have a less than significant effect on water supply.

UTIL 3: Projected increase in population and changes in land use would increase demand for the City of McFarland
requirements of the Central Coast Regional Water Quality Control Board, which mandates that all public sanitary sewer systems and treatment facilities comply with State Waste Discharge Order (WDR Order No. 2006-0003-DWQ). There is a planned expansion of the wastewater treatment plant, but due to the pipe size limitation it would only increase capacity for the west side, not where the Project site is located. The east side has considerably lower capacity for growth, as it is served by only one 8-inch pipe.

The General Plan proposed constructing a new facility on the east side of McFarland to accommodate future growth and demand. With the two expansions, the Project would have a less than significant effect on wastewater treatment facilities.

UTIL 4: The Project will result in new growth and infrastructure development in key areas within the City of McFarland and this would increase the need for solid waste collection and disposal. R&F Disposal and Recycling, Inc. would not exceed capacity at buildout. Therefore, the impact would be less than significant. UTIL 5: Projects in the City, such as subdivisions undergo project level reviews and are subject to the policies in the General Plan to assure compliance with Federal, State, and local regulations and statutes regarding solid waste. Therefore, the Project will have a less than significant impact.

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53 2.18 Energy
Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No Impact

1. Result in potentially
significant environmental
impact due to wasteful,
inefficient, or unnecessary
consumption of energy
resources, during project
construction or operation?
X

2. Conflict with or obstruct a
state or local plan for
renewable energy or energy
efficiency?
X
ENE 1: While the Annexation #22 project (Project) will result in new growth and infrastructure development in key areas within the City of McFarland, focus on contiguous, compact, and infill development
reduce VMT can further reduce energy consumption from transportation related activities. As a result of these progressive actions to conserve energy, per capita natural gas use under the Project can reduce and electricity use can decrease compared to the no project alternative, resulting in a less than significant impact.

ENE 2: All development under the Project would be subject to all applicable renewable energy and energy efficiency plans including federal, state and local regulations. The Project would also be subject to the General Plan policies and programs, which work to help McFarland meet energy conservation standards and goals set by state and local plans. Furthermore, subsequent developments under the Project will undergo City of McFarland Building Department review to ensure they comply with energy conservation standards. Therefore, impact of the Project on adopted policies, plans, or programs would be less than significant.

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54 2.19 Tribal Cultural Resources
Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Cause a substantial adverse change in
the significance of a tribal cultural
resource, defined in Public Resources
Code Section 21074 as either a site,
feature, place, cultural landscape that
is geographically defined in terms of
the size and scope of the landscape,
sacred place, or object with cultural
value to a California Native American
tribe, and that is listed or eligible for
listing in the California Register of
Historical Resources, or in the local
Register of Historical Resources as
defined in Public Resources Code
Section 5020.1(k)?
X

2. Cause a substantial adverse change in
the significance of a tribal cultural
resource, defined in Public Resources
Code Section 21074 as either a site,
feature, place, cultural landscape that
is geographically defined in terms of
the size and scope of the landscape,
sacred place, or object with cultural
value to a California Native American
tribe, and that is a resource determined
by the lead agency, in its discretion and
supported by substantial evidence, to
be significant pursuant to criteria set
forth in subdivision (c) of Public
Resources Code Section 5024.1?
X
TRIBE 1: There are no historic sites, features, places, and cultural landscapes within the City that are listed on the National Register of Historic Places (NRHP). In 2015, McFarland conducted a records search of California Historical Resource Information System (CHRIS) which includes a review of the NRHP, the California Points of Historical Interest list, the California Historical Landmarks list, the Archaeological Determinations of Eligibility list, the California State Historic Resources Inventory list, and the Office of Historic Preservation (OHP) Historic Property Directory. The records search identified 14 previously conducted studies and 14 cultural resources within the City but not the Annexation #22 project (Project) site and 200-foot buffer. All of the cultural resources are of the

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55 built-environment type and were constructed during the 20th century. Therefore, the Project would have no impact on any tribal cultural resources listed on any local or state registry.

TRIBE 2: A 2015 records search of the California Historical Resource Information System (CHRIS) including a review of the NRHP, the California Points of Historical Interest list, the California Historical Landmarks list, the Archaeological Determinations of Eligibility list, the California State Historic Resources Inventory list, and the Office of Historic Preservation (OHP) Historic Property Directory identified 14 cultural resources within the City, but not the Annexation #22 project site and 200-foot buffer. However, these resources are all of the built-environment type and were constructed during the 20th century and will not be impacted by the Project. Beyond this search, the City reached out to the 19 tribes identified by the Native American Heritage Commission to be historically or culturally associated with the geographic area of the City of McFarland for consultation. lead agency, the City of McFarland, is not aware of any tribal cultural resources that will be impacted by the Project.

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56 2.20 Wildfire
Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant
With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Substantially impair an adopted Emergency
Response Plan or Emergency Evacuation Plan? X

2. Due to slope, prevailing winds, and other
factors, exacerbate wildfire risks, and thereby
expose project occupants to pollutant
concentrations from a wildfire or the
uncontrolled spread of a wildfire?
X

3. Require the installation or maintenance of
associated infrastructure (such as roads, fuel
breaks, emergency water sources, power lines
or other utilities) that may exacerbate fire risk
or that may result in temporary or ongoing
impacts to the environment?
X

4. Expose people or structures to significant risks,
including downslope or downstream flooding
or landslides, as a result of runoff, post-fire
slope instability, or drainage changes?
X
FIRE 1: The Annexation #22 project (Project) is a part of the General Plan which includes policies to ensure collaboration with Kern County on the development and implementation of a Disaster and Emergency Preparedness Plan and supports efforts outlined in the existing McFarland Local Hazard Mitigation Plan. Proposed land uses do not interfere with any existing emergency response plans (ERPs).

Therefore, the Project will have a less than significant impact.

FIRE 2: According to CAL FIRE, McFarland (and its SOI) does not lie within a Fire Hazard Severity Zone and is at a low risk from fire hazards. The Project, as a result, does not increase exposure of any Project occupants to wildfire spread or wildfire pollutants. While the City does not lie within a CAL FIRE recognized Fire Hazard Severity Zone, urban structure fires and pollutant exposure from nearby higher remain a concern and steps to prepare for an emergency will benefit all residents. Policies in the General Plan help to mitigate that risk. Overall, the Project will have a less than significant impact.

FIRE 3: As addressed in FIRE-2, McFarland (including its SOI) does not lie within a CAL FIRE designated Fire Hazard Severity Zone and is at low risk of fire hazard. Furthermore, any subsequent subdivisions or development projects required as part of the Project are subject to CEQA review. While the City does

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57 not lie within a CAL FIRE recognized Fire Hazard Severity Zone, urban structure fires remain a concern and steps to mitigate fire risk are still important. Policies in the General Plan help to mitigate that risk.

Overall, the Project will have a less than significant impact.

FIRE 4: As addressed in FIRE-2 and 3, McFarland (including its SOI) does not lie within a CAL FIRE designated Fire Hazard Severity Zone and is at low risk of fire hazard. Due to the low risk of fire, there is an exceedingly small likelihood that any wildfire related slope instability, drainage changes, or run off caused by wildfires could occur. Thus, the Project will less than significantly impact the risk of downslope or downstream flooding or landslides caused by fire related geological events. While wildfire risk is low in McFarland, urban structure fires remain a concern and steps to mitigate fire risk are still important.

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58 2.21 Mandatory Findings of Significance
Would The Proposed Plan Potentially
Significant
Impact
Less Than
Significant
With
Mitigation
Less Than
Significant
Impact
No
Impact

1. Have the potential to degrade the quality of the
environment, substantially reduce the habitat of
a fish or wildlife species, cause a fish or wildlife
population to drop below self-sustaining levels,
threaten to eliminate a plant or animal
community, substantially reduce the number, or
restrict the range, of a rare or endangered plant
or animal, or eliminate important examples of
the major periods of California history or
prehistory?
X

2. Have impacts that are individually limited, but
cumulatively considerable? ("Cumulatively
considerable" means that the incremental effects
of a project are considerable when viewed in
connection with the effects of past projects, the
effects of other current projects, and the effects
of probable future projects.)
X

3. Have environmental effects which would cause
substantial adverse effects on human beings,
either directly or indirectly?
X
From the analyses in the foregoing sections, implementation of anticipated land uses within the Annexation #22 Project area (Project) would not result in either limited or cumulative environmental impacts as follows:

MFS-1: It will not reduce fish habitats, threaten to eliminate plant or animal communities, reduce or restrict rare or endangered plants or animals, or eliminate important examples of the major periods of California history or prehistory.

MFS-2: It will not result in impacts that are individually limited, but cumulatively considerable when viewed in connection with the effects of past projects, the effects of other current projects, and the effects of probable future projects.

MFS-3: It does not have environmental effects which would cause substantial adverse effects on human beings either directly or indirectly.

Implementation of anticipated land uses within the Annexation #22 Project area (Project) would not contribute to the set of developments required to meet McFarland Therefore, policies that would guide project implementation would not change allowed density ranges nor promote intensification of development toward the upper ranges of allowed density ranges in the City. Project implementation will consider environmental factors and adopt mitigation measures when deemed necessary.

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59 3.0 Certification

3.1 Preparers On behalf of the City of McFarland, De Lapide & Associates, Inc. prepared the Initial Study for this project.

3.2 Determination McFarland Planning and Community Development Department based on the evaluation in this Initial Study and the Final Program EIR for the 2040 McFarland General Plan [X] I find that the proposed project COULD NOT have a significant effect on the environment, and a NEGATIVE DECLARATION is hereby determined.
[ ] I find that although the proposed project could have a significant effect on the environment, there will not be a significant effect in this case because the mitigation measures described on an attached sheet have been added to the project. A MITIGATED NEGATIVE DECLARATION will be prepared. [ ] I find that the proposed project MAY have a significant effect on the environment, and an ENVIRONMENTAL IMPACT REPORT is required.
[ ] I find that the proposed project MAY
significant unless mitigated on the environment, but at least one effect (1) has been adequately analyzed in an earlier document pursuant to applicable legal standards, and (2) has been addressed by mitigation measures based on the earlier analysis as described on attached sheets, An ENVIRONMENTAL IMPACT REPORT is required, but it must analyze only the effects that remain to be addressed. [ ] I find that although the proposed project could have a significant effect on the environment, because all potentially significant effects (a) have been analyzed adequately in an earlier EIR or NEGATIVE DECLARATION pursuant to applicable standards and (b) have been avoided or mitigated pursuant to that earlier EIR or NEGATIVE DECLARATION, including revisions or mitigation measures that are imposed upon the proposed project, and nothing further is required.

3.3 De Minimis Fee Determination Pursuant to Chapter 1706, Statutes of 1990-AB 3158, [X] It is hereby found that this project involves no potential for any adverse effect, either individually or cumulatively, on wildlife resources and that a "Certificate of Fee Exemption" shall be prepared for this project pending approval of the No Effect Determination.

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60 [ ] It is hereby found that this project could potentially impact wildlife, individually or cumulatively, and therefore fees shall be paid to the County Clerk in accordance with Section 711.4(d) of the Fish and Game Code.

3.4 Environmental Determination
The initial study for this project has been reviewed and the environmental determination, contained in Section 2.0 preceding, is hereby approved. _______________________________________________________ Brianahi De Leon, Senior City Planner
City of McFarland

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61 References
California Office of Planning and Research, CEQA Technical Advice Series, December 2004 Edition.

Accessible at: https://opr.ca.gov/docs/MND_Publication_2004.pdf City of McFarland. 2021, 2040 General Plan. Available at:
https://www.mcfarlandcity.org/DocumentCenter/View/3020/Final-General-Plan--2021pdf City of McFarland. 2021, FINAL ENVIRONMENTAL IMPACT REPORT on McFarland 2040 General Plan, SCH # 2021040288. Accessible via:
https://www.mcfarlandcity.org/DocumentCenter/View/2302/Vol3_DEIR_05- 16-2021
City of McFarland. 2021, Background Report for the 2040 General Plan. Available at:
https://www.mcfarlandcity.org/DocumentCenter/View/2301/Vol1_McFarland-Draft-General-Plan_May2021 City of McFarland. 2021, Sustainable Agriculture Element. Available at:
https://www.mcfarlandcity.org/DocumentCenter/View/3021/VolAG_Sustainable-Agriculture-Element_v2pdf

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62 Appendices Appendix A: Boundaries of Proposed Annexation #22 Area

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63 Appendix B: Aerial View of Existing Land Use in Vicinity of Annexation #22 Area

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64 Appendix C: Permitted Uses in M-3 Zones M-3 Zones

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65 21. Feed mills. 22. Forge plants. 23. Freight classification yards. 24. Iron, steel, brass or copper foundries or fabrication plants and heavy weight casting. 25. Lamp black manufacture. 26. Linoleum or oiled products manufacture. 27. Ore reduction. 28. Paint, oil, shellac, turpentine or varnish manufacture. 29. Paper or pulp manufacture. 30. Petroleum products storage. 31. Petroleum refining and reclaiming plants, if located more than one thousand three hundred twenty feet from any property classified other than as M-3 zone or U zone. 32. Pickle manufacture. 33. Plastic manufacture. 34. Potash works. 35. Quarry or stone mills, provided operations are not conducted closer than fifty feet to any public street or highway. 36. Railroad roundhouses and repair shops. 37. Rock, sand and gravel excavating, crushing and distribution, provided such operations are not conducted closer than fifty feet to any public street or highway. 38. Rolling mills. 39. Rubber or gutta percha manufacture. 40. Sauerkraut manufacture. 41. Saw mills. 42. Soap manufacture. 43. Sodium compounds manufacture. 44. Starch manufacture. 45. Stove or shoe polish manufacture. 46. Tar roofing or waterproofing or other tar products manufacture. 47. Wool pulling or scouring.

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66

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67

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RESOLUTION NO. 2026-116

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA

REQUESTING CITY COUNCIL APPROVE THE INITIATION OF PROCEEDINGS FOR

ANNEXATION OF TERRITORY TO THE CITY OF MCFARLAND TO BE IDENTIFIED AS ANNEXATION NO. 22
WHEREAS, Max Bacerra and Lynn Chao have filed an application proposing consideration of an annexation of the real property described in Exhibit "C" and shown on the map as Exhibit "B" (the "Annexed Area"), both as attached hereto and by this reference made a part hereto pursuant to Section 56654 of the Government Code of the State of California; and WHEREAS, the Planning Commission recommends the City Council of the City of McFarland to approve the Pre-Zoning of the Annexed Area as shown on Exhibit "C" attached hereto and by this reference made a part hereto; and
WHEREAS, pursuant to the California Environmental Quality Act (CEQA), the State Guidelines Section 15162(a) the lead agency has determined the Initial Study/Negative Declaration to adequately identify the environmental impacts of the project as reflected in Exhibit "A" and adopted by the City Council on October 14, 2026 and is deemed adequate for the annexation; and WHEREAS, pursuant to Section 15168 of the CEQA Guidelines no further environmental analysis is required; and
WHEREAS, the City has determined that is has sufficient resources to provide adequate public utilities and services to serve the Annexed Area; and
WHEREAS, a plan for providing municipal services within the Annex Area is attached hereto as Exhibit "E" and by reference made a part hereof in accordance with the provisions of Section 56653 of the Government Code and that said plan is consistent with the City's General Plan; and WHEREAS, this proposal for annexation is made pursuant to the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 and it is requested that the proceedings be authorized for annexation in accordance therewith; and

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WHEREAS, the reason for the proposed change of organization is that some of the owners of the Annexed Area desire to receive municipal services from the City and have master plans with intentions of developing within the City limits and the City desires to receive tax revenues for the benefits given and to be given to the Annexed Area; and WHEREAS, if unable to provide a will-serve letter to the applicant, the applicant understands that they will need to supply a County approved water well prior to any development site plan approvals; and
WHEREAS, the City has received consent to this annexation from all property owners on the Exhibit "B".

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 findings and recitals incorporated herein and are true and correct.

2. The City hereby proposes the annexation of the Annexed Area and requests that the Local Agency Formation Commission conduct proceedings for the proposal pursuant to the CorteseKnox-Hertzberg Local Government Reorganization Act of 2000, Government Code Sections 56000 et seq.

3. That the names of the officers of the City who are to be furnished with copies of the Executive Officer’s Report and who are to be given mailed Notice of Hearing, if any, are: Diego Viramontes, City Manager, City of McFarland and Brianahi De Leon, Senior City Planner, City of McFarland, all to be notified and sent copies at 401 West Kern Avenue, McFarland, California 93250.

4. The public necessity, general welfare, and good planning practices justify the Project.

5. The Project is compatible with the land use designations and development of surrounding properties and is internally consistent with the McFarland General Plan.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on October 14, 2026 by the following vote:

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

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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

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ORDINANCE NO. 8-2026

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF

MCFARLAND, CALIFORNIA RECOMMENDING THAT THE CITY

COUNCIL AMEND THE OFFICIAL ZONING MAP FOR ASSESSOR'S
PARCEL 060-250-02
Section 1. Recitals
WHEREAS, Max Bacerra and Lynn Chao find an application proposing to amend the City of McFarland zoning map by Pre-Zoning approximately 326 acres generally South of Whisler Avenue, West of Driver Road, and East of Hwy-99; and
WHEREAS, the Pre-Zoning Map will incorporate Heavy Industrial (M-2); and WHEREAS, the Pre-Zoning Map will include Assessor's Parcel Number 060-250-02; and WHEREAS, the City of McFarland Zoning Map is hereby amended as reflected in Exhibit "A" and attached hereto and by this reference made a part hereof.

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.

2. Pursuant to the California Environmental Quality Act (CEQA), the State Guidelines Section 15162(a) the lead agency prepared an Initial Study/Negative Declaration to adequately identify the environmental impacts of the project.

3. The public necessity, general welfare, and good planning practices justify the project.

4. The City hereby proposes the annexation of the Annexed Area and requests that the Local Agency Formation Commission conduct proceedings for the proposal pursuant to the CorteseKnox-Hertzberg Local Government Reorganization Act of 2000, Government Code Sections 56000 et seq.

Section 2. Environmental Quality Act. Pursuant to the California Environment Quality Act (CEQA), the State Guidelines Section 15162(a) the lead agency prepared an Initial Study/Negative Declaration to adequately identify the environmental impacts of the Project as reflected in Exhibit "B".

Section 3. Notice. The City Clerk shall certify the passage and adoption of this ordinance and shall cause this Ordinance to be posted within 15 days after its passage, in accordance with Section 36933 of

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the Government Code.

Section 4. Severability. If any section, subsection, sentence, clause, phrase, or word of this Ordinance is, for any reason, deemed or held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, or preempted by legislative enactment, such decision or legislation shall not affect the validity of the remaining portions of this Ordinance. The City Council of the City of McFarland hereby declares that it would have adopted this Ordinance and each section, subsection, sentence, clause, phrase, or word thereof, regardless of the fact that any one or more sections, subsections, clauses, phrases, or word might subsequently be declared invalid or unconstitutional or preempted by subsequent legislation.

Section 5. Effective Date. This Ordinance shall take effect thirty days after its adoption pursuant to California Government Code section 36937.

Section 6. Certification; Publication. The City Clerk shall certify to the passage and adoption of this INTRODUCED, at a Regular meeting of the City Council of the City of McFarland, California on 10/14/2026, by the following vote:

PASSED AND ADOPTED at a Regular meeting of the City Council of the City of McFarland on 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
I hereby certify that the foregoing Ordinance was duly and regularly adopted by the City Council of the City of McFarland by a Regular meeting thereof held on October 14, 2026.

ATTEST:
________________________________
Erika De La Cruz, City Clerk

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APPROVED AS TO FORM:
_____________________________
Nathan Hodges, City Attorney

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RESOLUTION NO. 2026-110

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA APPROVING A SPHERE OF INFLUENCE AMENDMENT FOR ANNEXATION NO. 22 AND

REQUESTING CONSIDERATION BY THE KERN COUNTY LOCAL AGENCY

FORMATION COMMISSION (LAFCO)
WHEREAS, the City of McFarland (“City”) seeks to promote orderly growth, efficient service delivery, and long-term economic development consistent with its adopted General Plan; and WHEREAS, the City has received an application for Annexation No. 22, involving Assessor’s Parcel Number 060-250-02, consisting of approximately 326 acres located south of Whisler Road, east of State Route 99, and west of Driver Road; and
WHEREAS, the subject territory is outside the existing Sphere of Influence (SOI) of the City of McFarland, and an SOI amendment is required prior to LAFCO consideration of annexation pursuant to Government Code §56375.5; and
WHEREAS, the City proposes to amend its SOI to include the territory encompassed by Annexation No. 22 in order to support future industrial development consistent with the City’s General Plan land-use designations and economic development objectives; and WHEREAS, the City prepared an Initial Study and Negative Declaration (IS/ND) for Annexation No. 22 and the associated SOI amendment, pursuant to the California Environmental Quality Act (“CEQA”) and CEQA Guidelines, which determined that the project would not result in significant environmental impacts; and
WHEREAS, the City Council, acting as Lead Agency under CEQA, reviewed and considered the IS/ND, all supporting documentation, and all public comments prior to taking action; and WHEREAS, Government Code §56425 requires LAFCO to consider and adopt written determinations regarding (1) present and planned land uses, (2) present and probable need for public facilities and services, (3) present capacity of public facilities and adequacy of public services, and (4) social and economic communities of interest; and

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WHEREAS, the City Council finds that the proposed SOI amendment satisfies each of the required determinations under Government Code §56425, as documented in the City’s application materials and Plan for Services; and
WHEREAS, the City Council desires to formally request that the Kern County Local Agency Formation Commission consider and approve the proposed SOI amendment in conjunction with Annexation No. 22.

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 hereby adopts the Negative Declaration for Annexation No. 22 and the associated SOI amendment, finds that the IS/ND was completed in compliance with CEQA, and determines that the project will not result in significant environmental impacts.

2. The City Council hereby approves the proposed amendment to the City’s Sphere of Influence to include APN 060-250-02 and the territory described in Annexation No. 22.

3. The City Council hereby requests that the Kern County Local Agency Formation Commission consider and approve the SOI amendment pursuant to Government Code §56425 and §56375.5.

4. The City Manager, or designee and City Attorney are hereby authorized and directed to submit all required materials to LAFCO, including maps, legal descriptions, CEQA documentation, Plan for Services, and supporting analyses.

5. This Resolution shall take effect immediately upon adoption.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on October 14, 2026 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

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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

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City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 18.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: October 14,
2026
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Erika De La Cruz, City Clerk
SUBJECT: CONSIDERATION AND APPROVAL OF REVISED CITY COUNCIL MEETING SCHEDULE FOR OCTOBER, NOVEMBER, AND DECEMBER 2026
SUMMARY:

The City Council currently holds its regular meetings on the second and fourth Wednesday of each month at 6:00 p.m. in the City Council Chambers located at 103 W. Sherwood Avenue.

The City’s current meeting calendar identifies regular City Council meetings on October 28, November 11, November 25, December 9, and December 23, 2026.

As the City approaches the upcoming holiday season, staff reviewed the regular meeting calendar to identify dates that may conflict with recognized holidays and other scheduled City events. The November 11, 2026 meeting falls on Veterans Day, while the November 25, 2026 meeting falls during the Thanksgiving holiday week. Additionally, the December 23, 2026 meeting falls during the Christmas holiday week.

Staff also considered the City’s upcoming Community Vigil, which is scheduled for November 12, 2026, at 6:00 p.m. As a result, rescheduling the November 11 City Council meeting to November 12 would create a scheduling conflict with the Community Vigil. Therefore, staff recommends rescheduling the November 11 meeting to Tuesday, November 10, 2026, at 6:00 p.m. This date provides an alternative that avoids both the Veterans Day holiday and the previously scheduled Community Vigil.

To minimize scheduling conflicts for Council Members, City staff, and members of the public, staff recommends the following adjustments to the regular City Council meeting calendar.

DATE: STATUS: RECOMMENDATION
Wednesday, October 28, 2026 Regular Meeting Remain as scheduled Wednesday, November 11, 2026 Veteran's Day Reschedule to Tuesday, November 10, 2026
Wednesday, November 25, 2026 Thanksgiving Week Cancel/No Meeting Wednesday, December 9, 2026 Regular Meeting Remain as scheduled Wednesday, Decmber 23, 2026 Christmas Week Cancel/No Meeting FINANCIAL IMPACT:

No Financial Impact

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RECOMMENDATION:

Staff recommends that the City Council approve the revised City Council meeting schedule for October, November, and December 2026, including rescheduling the November 11, 2026, meeting to November 10, 2026, and canceling the November 25 and December 23, 2026, regular meetings.

ATTACHMENTS:

None

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City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 19.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: October 14,
2026
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Erika De La Cruz, City Clerk
SUBJECT: Approval of Resolution No. 2026-109 A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA APPROVING A

COMMUNITY GRANT TO THE MCFARLAND COMMUNITY FOUNDATION

TO SUPPORT YOUTH PARTICIPATION IN ATHLETIC EVENTS
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 recognizes that public funds should be allocated responsibly, equitably, and with accountability. Community Grant funding provides an opportunity for the City to support organizations and initiatives that provide a public service, promote the health, safety, or welfare of the community, and provide measurable benefits to McFarland residents. Funding allocations require approval by a majority vote of the City Council.

The McFarland Community Foundation has submitted a Community Grant request in the amount of $2,000 to support the McFarland High School Boys Cross Country Team’s participation in the Portland Nike XC Cross Country Race in Oregon, scheduled for September 26, 2026, from 9:00 a.m. to 2:00 p.m. at Blue Lake Regional Park.

According to the application, approximately 10 to 15 McFarland High School student-athletes are expected to participate. The requested funding would help offset expenses associated with the trip, including hotel accommodations and team T-shirts. As part of the trip, the studentathletes are also expected to tour the University of Oregon and Portland State University, providing an opportunity to learn more about higher education and collegiate athletic programs.

The anticipated cost of the event is approximately $3,000, with the McFarland Community Foundation requesting $2,000 in Community Grant funding to assist with the associated expenses.

The proposed event provides McFarland student-athletes with an opportunity to participate in a competitive cross country event outside the region while representing the City and gaining exposure to collegiate educational and athletic opportunities. The participation of McFarland High School’s Boys Cross Country Team also supports the City’s longstanding tradition and recognition of excellence in distance running.

FINANCIAL IMPACT:

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If the request is approved, the impact to the Community Grant funds would be at the City Council's discretion.

RECOMMENDATION:

Staff recommends that the City Council approve the grant application and funding to the McFarland Community Foundation to support youth participation in athletic events. It should be noted that there is currently $5,500 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. City of McFarland Community Grant Application - McFarland Communtiy Foundation_Redacted

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RESOLUTION NO. 2026-109

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA

APPROVING A COMMUNITY GRANT TO THE MCFARLAND COMMUNITY

FOUNDATION TO SUPPORT YOUTH PARTICIPATION IN ATHLETIC EVENTS WHEREAS, 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; and WHEREAS, the Community Grants Program is intended to support programs, services, and projects that provide a public service, promote the health, safety, or welfare of the community, and provide measurable benefits to McFarland residents; and WHEREAS, the participation of McFarland High School’s Boys Cross Country Team in this event provides educational, athletic, and developmental opportunities for local student-athletes and supports the City’s longstanding tradition of excellence in distance running; and WHEREAS, the City Council finds that the proposed grant supports the objectives of the Community Grants Program and provides a benefit to McFarland residents; and WHEREAS, the McFarland Community Foundation is a registered 501(c)(3) nonprofit organization in good standing and continues to support McFarland’s student-athletes.

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 to be received by the McFarland Community Foundation to support youth participation in athletic events in the amount of $_____________.

3. The City of McFarland acknowledges that in consideration of the funding requests, the requesting organization, McFarland Community Foundation, meets the criteria for the funding approval.

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.

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

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

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7. This resolution is effective immediately.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on October 14, 2026 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

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City of McFarland
City Council Meeting

STAFF REPORT
Agenda Item No. 20.

Section: ADMINISTRATIVE
AGENDA
Meeting Date: October 14,
2026
TO: Honorable Mayor and Council Members
FROM: Diego Viramontes, City Manager
Paul Saldaña , Economic Development Manager
SUBJECT: Approval of Resolution No. 2026-112 A RESOLUTION OF THE CITY

COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA, APPROVING A

PURCHASE AND SALE AGREEMENT WITH TRIUMPH M LLC FOR THE
SALE AND DEVELOPMENT OF APPROXIMATELY 0.21 ACRES OF CITYOWNED PROPERTY LOCATED ON THIRD STREET AND AUTHORIZING

RELATED ACTIONS
SUMMARY:

Triumph M LLC proposes to purchase approximately 0.21 acres of City-owned property on Third Street for $98,593, based on the appraised value, and develop the property with multifamily residential uses. The property consists of two areas that will be established as legal parcels through the subdivision process. The proposed agreement requires a ten percent down payment of $9,859 and requires the developer to obtain issuance of the permits needed to begin construction within six months after the close of escrow.

The developer originally submitted its offer to purchase the property in April. The developer subsequently advised that it was completing other projects before proceeding with this development. During the intervening period, the City received additional expressions of interest in the property. Staff confirmed with Triumph M LLC that they plan to proceed with development and subsequently, staff recommends proceeding with Triumph M LLC because it submitted the original purchase offer and has advanced the proposed development through completion of draft site plans. Triumph M LLC has completed draft site plans and has continued to express its intent to advance the residential project.

PROPOSED TRANSACTION
• Buyer/Developer: Triumph M LLC.
• Property: Approximately 0.21 acres on Third Street in McFarland, to consist of two legal parcels following subdivision.
• Purchase Price: $98,593, based on the appraised value. • Down Payment: Ten percent, or $9,859.
• Remaining Purchase Price: $88,734, subject to customary escrow prorations and adjustments.
• Proposed Use: Multi-family residential development.
• Performance Deadline: Required construction permits must be issued within six months after the close of escrow, subject to the agreement’s provisions for City-caused delay or

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force majeure.
• City Remedy: If the developer fails to meet the permit deadline, the City may elect to reacquire the property pursuant to the repurchase provisions in the agreement. • Closing Structure: The entire property will be conveyed in one closing. The agreement does not include infrastructure credits or separate parcel closings.

Approval of the agreement would not constitute approval of the subdivision, site plan, building plans, or other discretionary or ministerial permits required for the project. The developer remains responsible for satisfying all applicable City requirements, paying required fees, and obtaining all approvals. The agreement expressly preserves the City’s regulatory authority.

Likewise, approval of the purchase and sale agreement does not approve a specific development entitlement or limit the City’s discretion under the California Environmental Quality Act. Any future discretionary approvals associated with the subdivision or multi-family project remain subject to applicable environmental review FINANCIAL IMPACT:

The City will receive gross sale proceeds of $98,593, subject to customary escrow costs, prorations, and transaction expenses allocated under the agreement. The purchase price is based on the appraised value. The developer is responsible for its development, subdivision, design, engineering, permitting, utility connection, site preparation, construction, and related project costs.

RECOMMENDATION:

City Council Approve Resolution No. 2026-112.

ATTACHMENTS:

1. PURCHASE AND SALE AGREEMENT Triumph

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RESOLUTION NO. 2026-112

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MCFARLAND, CALIFORNIA,

APPROVING A PURCHASE AND SALE AGREEMENT WITH TRIUMPH M LLC FOR THE SALE AND DEVELOPMENT OF APPROXIMATELY 0.21 ACRES OF CITY-OWNED

PROPERTY LOCATED ON THIRD STREET AND AUTHORIZING RELATED ACTIONS WHEREAS, the City of McFarland ("City") owns approximately 0.21 acres of real property located on Third Street in McFarland, County of Kern, California, intended to comprise two legal parcels following completion of an approved subdivision and more particularly described in the Purchase and Sale Agreement ("Property"); and
WHEREAS, the City has determined that the Property is no longer required for municipal purposes and has declared the Property surplus land in accordance with applicable law; and WHEREAS, Triumph M LLC ("Developer") submitted an original offer to purchase the Property in April and subsequently continued project planning while completing other development projects; and
WHEREAS, the purchase price is Ninety-Eight Thousand Five Hundred Ninety-Three Dollars ($98,593.00), based on the appraised value of the Property; and WHEREAS, the City Council has considered the staff report, the Purchase and Sale Agreement, any public testimony, and all other information presented in connection with this matter.

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 are incorporated into this Resolution by this reference.

2. The City Council approves the Purchase and Sale Agreement between the City of McFarland and Triumph M LLC for the sale of the Property for $98,593.00, substantially in the form presented to the City Council, subject to final approval as to form by City Attorney

3. The City Manager, or designee, is authorized to execute the Purchase and Sale Agreement and any escrow instructions, deeds, certificates, and other documents reasonably necessary to complete the transaction, provided that any revisions are nonmaterial, consistent with this Resolution, and approved as to form by City Attorney.

4. The City Manager and City Attorney are directed to preserve in the final agreement and closing documents the six-month permit deadline, the City’s repurchase or reacquisition remedy for failure to perform, and any covenant, notice, deed restriction, or other instrument reasonably

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necessary to protect and enforce the City’s rights.

5. This Resolution and the Purchase and Sale Agreement do not approve the proposed subdivision, draft site plans, building plans, or any development entitlement or permit. Developer shall obtain all approvals required by applicable law, and the City retains its full governmental and regulatory discretion.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of McFarland on October 14, 2026 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

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC

PURCHASE AND SALE AGREEMENT
between

CITY OF MCFARLAND
and

TRIUMPH M LLC
This Purchase and Sale Agreement ("Agreement") is entered into as of ____________, 2026 (the "Effective Date"), by and between the CITY OF MCFARLAND, a California municipal corporation ("City"), and TRIUMPH M LLC, a limited liability company ("Developer"). City and Developer are sometimes referred to individually as a "Party" and collectively as the "Parties."

RECITALS
A. City is the fee owner of certain real property located on Third Street in the City of McFarland, County of Kern, State of California, consisting of approximately 0.21 acres and intended to comprise two legal lots following completion of an approved subdivision, as more particularly described in Exhibit A (the "Property").

B. City has determined that the Property is no longer required for municipal purposes and has declared the Property surplus land in accordance with applicable law.

C. City desires to sell the Property, and Developer desires to purchase the Property, for the purpose of developing a multi-family residential project.

D. The Purchase Price is based on the appraised value of the Property.

E. City retains all governmental, police power, and regulatory authority, including authority under the California Environmental Quality Act and all land use and building code authority, and nothing in this Agreement limits or waives such authority.

F. Nothing in this Agreement provides any rights under a development agreement as described in Government Code sections 65864 et seq.

NOW, THEREFORE, in consideration of the mutual covenants and promises contained herein, the receipt and adequacy of which are acknowledged, the Parties agree as follows:

ARTICLE 1. DEFINITIONS

1.1 "Agreement" means this Purchase and Sale Agreement, together with Exhibit A and any written amendments executed in accordance with this Agreement.

1.2 "Approved Title Exceptions" means the title exceptions approved or deemed approved by Developer under Section 5.3.

1.3 "Closing" or "Close of Escrow" means consummation of the sale and purchase of the Property through Escrow.

1.4 "Deposit" means the ten percent (10%) down payment described in Section 4.1.

1.5 "Due Diligence Period" means the forty-five (45) day period described in Section 5.1.

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC

1.6 "Escrow" means the escrow established pursuant to Article 7.

1.7 "Escrow Holder" means Placer Title Company or another title or escrow company mutually approved in writing by the Parties.

1.8 "Permitted Use" means multi-family residential development consistent with applicable zoning, development standards, entitlements, permits, and laws.

1.9 "Project" means the multi-family residential development proposed by Developer on the Property.

1.10 "Property" means the approximately 0.21-acre property on Third Street in McFarland, intended to comprise two legal lots following an approved subdivision, as described in Exhibit A.

1.11 "Purchase Price" means Ninety-Eight Thousand Five Hundred Ninety-Three Dollars ($98,593.00).

1.12 "Surplus Land Act" means Government Code section 54220 et seq., as amended.

ARTICLE 2. PROPERTY; AGREEMENT OF PURCHASE AND SALE

2.1 Property. The Property consists of approximately 0.21 acres located on Third Street in the City of McFarland, County of Kern, California. The Property is intended to comprise two legal lots following completion of an approved subdivision. The final legal descriptions from the approved parcel map, title report, vesting deed, or survey shall be inserted into Exhibit A before Closing.

2.2 Agreement of Purchase and Sale. Subject to this Agreement, City agrees to sell and convey to Developer, and Developer agrees to purchase from City, fee title to the entire Property in a single Closing, free and clear of all liens and encumbrances other than the Approved Title Exceptions.

2.3 No Partnership or Joint Venture. Nothing in this Agreement creates a partnership, joint venture, association, or agency relationship. The relationship is solely that of seller and purchaser.

ARTICLE 3. PURCHASE PRICE

3.1 Purchase Price. The Purchase Price is Ninety-Eight Thousand Five Hundred Ninety-Three Dollars ($98,593.00), based on the appraised value of the Property.

3.2 Method of Payment. The Purchase Price, less the Deposit, shall be paid to Escrow Holder in immediately available funds no later than one (1) business day before Closing. The remaining balance after application of the Deposit is Forty-Eight Thousand Seven Hundred Thirty-Three Dollars and Seventy Cents ($88,734.00), subject to customary prorations and Closing adjustments.

ARTICLE 4. DEPOSIT; LIQUIDATED DAMAGES

4.1 Deposit. Within five (5) business days after the Effective Date, Developer shall deposit with Escrow Holder Nine Thousand Eight Hundred and Fifty Nine Dollars and Thirty Cents ($9,859.00), equal to ten percent (10%) of the Purchase Price, as the Deposit and down payment. During the Due Diligence Period, the Deposit shall be fully refundable. Upon expiration of the Due Diligence Period

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC without termination by Developer, the Deposit shall become non-refundable except as expressly provided in this Agreement.

4.2 Application of Deposit. At Closing, the Deposit shall be credited against the Purchase Price.

4.3 Liquidated Damages. THE PARTIES ACKNOWLEDGE AND AGREE THAT IF, AFTER

EXPIRATION OF THE DUE DILIGENCE PERIOD, DEVELOPER FAILS TO CLOSE AFTER

ALL CONDITIONS PRECEDENT HAVE BEEN SATISFIED OR WAIVED, OR OTHERWISE

DEFAULTS IN A MANNER THAT CAUSES THE SALE NOT TO BE CONSUMMATED, CITY'S DAMAGES WOULD BE DIFFICULT OR IMPRACTICABLE TO DETERMINE. CITY'S

RETENTION OF THE DEPOSIT SHALL CONSTITUTE LIQUIDATED DAMAGES AND NOT A PENALTY. THE PARTIES AGREE THAT THE DEPOSIT IS A REASONABLE ESTIMATE

OF CITY'S DAMAGES, INCLUDING LOSS OF BARGAIN, ADMINISTRATIVE COSTS,

DELAY, CARRYING COSTS, AND LOSS OF THE OPPORTUNITY TO SELL THE PROPERTY TO ANOTHER PURCHASER. THIS SECTION IS INTENDED TO COMPLY WITH CALIFORNIA CIVIL CODE SECTION 1671.

DEVELOPER INITIALS: ____________ CITY INITIALS: ____________ ARTICLE 5. DUE DILIGENCE; ENTRY; TITLE REVIEW

5.1 Due Diligence Period. Developer shall have forty-five (45) days after the Effective Date to inspect, test, and evaluate the Property, title, subdivision status, development feasibility, and all matters affecting the transaction. Developer may terminate this Agreement for any reason by written notice before expiration of the Due Diligence Period, in which event the Deposit shall be returned and neither Party shall have further liability except for obligations that expressly survive termination.

5.2 Entry and Testing. During the Due Diligence Period, Developer and its consultants, contractors, and agents may enter the Property at reasonable times upon prior notice to City to perform noninvasive inspections and, with City's consent, invasive testing. Developer shall restore the Property, keep it free of mechanics' liens arising from its activities, and defend, indemnify, and hold City harmless from claims arising from entry, except to the extent caused by City's gross negligence or willful misconduct. This indemnity survives termination.

5.3 Preliminary Title Report and Title Review. City shall cause a preliminary title report for the Property to be delivered to Developer within a reasonable time after the Effective Date. Developer shall object in writing to title exceptions before expiration of the Due Diligence Period. Any exception not timely objected to is deemed approved. City shall notify Developer within ten (10) days after receiving an objection whether City will remove it. If an objected exception is not removed before Closing, Developer may waive the objection and close or terminate this Agreement and receive return of the Deposit.

ARTICLE 6. CONDITION OF PROPERTY; AS-IS SALE

6.1 As-Is. Except as expressly provided in this Agreement, City makes no representation or warranty, express or implied, regarding the condition, fitness, environmental or geotechnical condition, or suitability of the Property for development. Developer acknowledges that it is acquiring the Property

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC in its existing "AS IS, WHERE IS" condition, with all faults, subject only to the express covenants, representations, and obligations in this Agreement.

6.2 Independent Investigation. Developer represents that it is a sophisticated purchaser and, except for City's express representations, is relying solely on its own investigation and judgment concerning the Property and the transaction.

ARTICLE 7. ESCROW; INTEGRATED ESCROW INSTRUCTIONS

7.1 Opening of Escrow. Escrow shall be opened when Escrow Holder receives a fully executed counterpart of this Agreement. This Agreement constitutes joint escrow instructions. The Parties shall execute customary supplemental instructions that are not inconsistent with this Agreement; this Agreement controls in the event of a conflict.

7.2 Deliveries by City. On or before Closing, City shall deposit into Escrow: (a) a grant deed for the Property in a form reasonably approved by the Parties; (b) affidavits, certificates, and evidence of authority reasonably required by Escrow Holder or the title insurer; (c) any reasonably necessary bill of sale or assignment for City-owned appurtenant rights expressly included in the sale; and (d) written Closing instructions consistent with this Agreement.

7.3 Deliveries by Developer. On or before Closing, Developer shall deposit into Escrow: (a) the balance of the Purchase Price, less the Deposit; (b) evidence of authority and entity documents reasonably required by Escrow Holder or the title insurer; and (c) written Closing instructions consistent with this Agreement.

7.4 Prorations; Costs; Charges. Real property taxes, assessments, and customary prorations shall be prorated as of Closing. Developer shall pay grant deed recording charges and title insurance costs.

City shall pay any documentary transfer tax required by law to be paid by the grantor. Each Party shall pay its own attorneys and consultants. Escrow fees shall be divided equally between City and Developer.

7.5 Conditions to Close. Escrow Holder shall not close unless all conditions to Closing have been satisfied or waived and Escrow Holder has received all required funds and documents.

7.6 Recordation. Upon satisfaction of all conditions, Escrow Holder shall record the grant deed in the Official Records of Kern County and disburse funds in accordance with this Agreement.

7.7 Failure to Close. If Closing does not occur because a condition has not been satisfied or this Agreement has been terminated, Escrow Holder shall return the Deposit and documents to the Party entitled to them under this Agreement or joint written instructions.

ARTICLE 8. DEVELOPMENT COVENANTS; PERMIT DEADLINE

8.1 Permitted Development. Developer shall use the Property solely for the Project, consisting of multi-family residential development and ancillary improvements authorized by applicable law.

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8.2 No Waiver of Regulatory Authority. Nothing in this Agreement obligates City to approve a discretionary entitlement, subdivision, variance, exception, or permit, or to issue a permit except in accordance with applicable law and satisfaction of all City requirements.

8.3 Development Responsibility. Developer shall be solely responsible, at its sole cost, for all design, subdivision processing, engineering, permitting, fees, utility connections, site preparation, construction, and performance required for the Project after acquisition of the Property.

8.4 Permit Deadline. Developer shall diligently pursue the Project and obtain issuance of all permits required to commence construction of the primary multi-family residential buildings within six (6) months after the Close of Escrow. This covenant does not require City to issue any permit unless Developer has submitted complete applications and satisfied all applicable legal, technical, fee, and regulatory requirements. The six-month period shall be extended day-for-day for delays caused solely by an unexcused delay of City or an event of Force Majeure.

8.5 Failure to Timely Obtain Permits; City Repurchase Option. If Developer fails to satisfy Section

8.4, City may, by written notice delivered within two (2) years after expiration of the permit deadline, elect to repurchase the Property. The repurchase price shall equal the Purchase Price actually paid by Developer, less City administrative costs, escrow fees, title insurance premiums, and recording fees incurred for the repurchase. City shall not reimburse Developer for architectural, engineering, entitlement, permitting, or site-work costs. This option shall be stated in the grant deed and shall survive Closing as a covenant running with the land, subject to review and approval by City legal counsel as to enforceability and priority.

ARTICLE 9. CONDITIONS PRECEDENT TO CLOSING

9.1 Conditions to Developer's Obligation. Developer's obligation to close is conditioned upon: (a) City's representations and warranties being materially true as of Closing; (b) City performing its material obligations; (c) title being conveyable subject only to Approved Title Exceptions; (d) completion or recordation of the subdivision necessary to create the two legal lots comprising the Property; and (e) City Council approval to the extent required.

9.2 Conditions to City's Obligation. City's obligation to close is conditioned upon: (a) Developer's representations and warranties being materially true as of Closing; (b) Developer performing its material obligations; and (c) Developer delivering the balance of the Purchase Price and all other required funds and documents.

9.3 Failure of Conditions. If a condition is not satisfied or waived by Closing, the Party benefiting from that condition may terminate this Agreement. Neither Party shall have further liability except for obligations that expressly survive termination; provided that a defaulting Party remains subject to Article 11.

ARTICLE 10. REPRESENTATIONS AND WARRANTIES

10.1 City Representations. City represents and warrants, as of the Effective Date and Closing, that:
(a) City is a California municipal corporation duly organized and validly existing; (b) City has authority, upon City Council approval, to execute and perform this Agreement; (c) performance will

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC not violate applicable law or, to City's knowledge, any contract binding on City with respect to the Property; and (d) City has not granted another person a purchase right that would prevent performance of this Agreement.

10.2 Developer Representations. Developer represents and warrants, as of the Effective Date and Closing, that: (a) Developer is a limited liability company duly formed and in good standing; (b) Developer has authority to execute and perform this Agreement; (c) execution and performance have been duly authorized; (d) Developer has or will have by Closing the financial capacity to complete the purchase and perform its obligations; and (e) Developer is acting for its own account and not as an undisclosed nominee or agent.

ARTICLE 11. DEFAULT AND REMEDIES

11.1 Developer Default. A Developer Default occurs if Developer fails to perform a material obligation and the failure continues for ten (10) days after written notice, or for a longer period reasonably necessary to cure if Developer begins cure within ten days and diligently completes it. No cure period applies to a failure to close after all conditions have been satisfied or waived and the Closing date has occurred.

11.2 City Default. A City Default occurs if City fails to perform a material obligation and the failure continues for ten (10) days after written notice, or for a longer period reasonably necessary to cure if City begins cure within ten days and diligently completes it.

11.3 Remedies of City. Upon Developer Default before Closing, City may terminate this Agreement and retain the Deposit as liquidated damages under Section 4.3. City may also seek injunctive relief to protect obligations that survive termination. City's post-Closing rights under Article 8 are not limited by this Section.

11.4 Remedies of Developer. Upon City Default, Developer's sole remedy is termination and return of the Deposit, except that Developer may seek specific performance to compel a contractual act capable of specific performance if Developer is otherwise ready, willing, and able to close. Nothing authorizes relief that limits City's governmental discretion.

ARTICLE 12. INDEMNITY; RISK OF LOSS; INSURANCE

12.1 Indemnity by Developer. Developer shall indemnify, defend, and hold harmless City and its officers, employees, agents, and representatives from claims, losses, liabilities, damages, costs, and reasonable attorneys' fees arising from (a) Developer's pre-Closing entry and (b) Developer's construction or use of the Project after Closing, except to the extent caused by City's gross negligence or willful misconduct. This indemnity survives termination and Closing.

12.2 Risk of Loss. Risk of loss remains with City until Closing. If a material part of the Property is damaged before Closing, Developer may terminate and receive return of the Deposit or proceed to Closing and receive assignable insurance proceeds actually received by City.

12.3 Insurance for Entry. Before entry involving contractors or invasive work, Developer shall maintain commercial general liability, workers compensation, and other insurance reasonably

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC required by City in customary amounts, naming City as an additional insured where commercially available.

ARTICLE 13. CEQA; SURPLUS LAND ACT; GOVERNMENTAL AUTHORITY

13.1 CEQA. This Agreement does not limit or predetermine City's discretion under the California Environmental Quality Act, Public Resources Code section 21000 et seq. Future discretionary approvals shall be considered in accordance with CEQA and applicable law.

13.2 Surplus Land Act. City represents that the Property has been declared surplus land and that City will satisfy, or has satisfied, applicable Surplus Land Act requirements for this disposition. Developer shall reasonably cooperate in documenting compliance.

13.3 Retention of Police Powers. Nothing in this Agreement surrenders, estops, waives, limits, or impairs City's police powers, governmental immunity, or legislative and regulatory authority.

ARTICLE 14. MISCELLANEOUS

14.1 Notices. Notices shall be in writing and deemed delivered upon personal delivery, one (1) business day after deposit with an overnight courier, or three (3) business days after deposit in United States certified mail, postage prepaid, addressed as follows, or to another address designated by notice:

If to City: City of McFarland, Attn: Diego Viramontes, City Manager, 401 W Kern Avenue, McFarland, 93250
If to Developer: Triumph M LLC, Attn: Craig Tobin, Address: P.O Box 11076, Bakersfield, CA 93389-1076

14.2 Assignment. Developer shall not assign, transfer, or encumber its rights without City's prior written consent, which may be conditioned upon the assignee assuming all obligations and demonstrating financial and managerial capacity. An unauthorized assignment is void.

14.3 Attorneys' Fees. In an action arising from this Agreement, the prevailing Party is entitled to reasonable attorneys' fees and costs, except where a remedy is expressly limited.

14.4 Time of Essence. Time is of the essence.

14.5 Entire Agreement; Amendments. This Agreement is the entire agreement concerning its subject matter and supersedes prior negotiations and understandings. It may be amended only by a written instrument approved by the City Council if required by law and executed by both Parties.

14.6 Counterparts; Electronic Signatures. This Agreement may be executed in counterparts.

Electronic and PDF signatures are effective to the fullest extent permitted by law.

14.7 Governing Law; Venue. California law governs. Exclusive venue lies in the Superior Court of California, County of Kern.

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14.8 Severability. If a provision is held invalid or unenforceable, the remaining provisions continue in effect if the material purposes can still be achieved.

14.9 City Approval. This Agreement is not effective until approved by the McFarland City Council and executed by authorized representatives of both Parties.

SIGNATURES
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective Date.

CITY OF MCFARLAND,
a California municipal corporation
By: ______________________________
Name: Diego Viramontes
Title: City Manager
ATTEST:
__________________________________
City Clerk
APPROVED AS TO FORM:
__________________________________
City Attorney

TRIUMPH M LLC,
a limited liability company
By: ______________________________
Name: ____________________________
Title: _____________________________
By: ______________________________
Name: ____________________________
Title: _____________________________

NOTARY ACKNOWLEDGMENT
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

State of California )
County of ____________ )
On __________________ before me, ______________________________________, Notary Public, personally appeared ____________________________________________________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature ____________________________________________ (Seal)

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Purchase and Sale Agreement - City of McFarland / Triumph M LLC

EXHIBIT A

PROPERTY LEGAL DESCRIPTION AND SITE MAP
Property: Approximately 0.21 acres located on Third Street in the City of McFarland, County of Kern, California, intended to comprise two legal lots following completion of an approved subdivision.

Assessor's Parcel Number(s): To be confirmed following subdivision approval and recordation.

Legal Description: To be inserted from the approved parcel map, preliminary title report, vesting deed, or survey before Closing.

Site Map: Insert approved parcel map, assessor parcel map, aerial, or site exhibit before execution of the Closing set.

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