Milpitas City Council
August 13, 2024

August 13, 2024 Milpitas City Council Agenda Page 1

SPECIAL MEETING OF THE MILPITAS

CITY COUNCIL
AGENDA
TUESDAY, AUGUST 13, 2024

MILPITAS COMMUNITY CENTER AUDITORIUM
457 E. CALAVERAS BLVD, MILPITAS, CA
5:30 PM
For assistance in the following languages, you may call:

Đối với Việt Nam, gọi 408-586-2400
Para sa Tagalog, tumawag sa 408-586-3051
Para español, llame 408-586-3072
* To access written translation during the meeting, scan the QR Code.

The City Council meeting is held in the Milpitas Community Center Auditorium, 457 E. Calaveras Blvd., Milpitas and via teleconference/Zoom webinar.

You may watch the Council meeting without providing public comment by accessing it via links here.

Meeting shall be livestreamed - Go to:

Facebook: https://www.facebook.com/CityofMilpitas/
YouTube: https://www.milpitas.gov/youtube
Web Streaming: https://www.milpitas.gov/webstreaming

PUBLIC COMMENT INSTRUCTIONS
Oral public comments may only be provided live during the City Council meeting in person, unless the City Council approves remote public comment. All comments provided shall be limited to three minutes or less as determined by the Mayor. All members of the public will be limited to one comment per agenda item, and one comment for non-agenda items. Members of the public may submit written comments by email to [email protected] The meeting will be streamed via Zoom for viewing purposes only unless the City Council approves remote public comment. To watch via Zoom, please register at:
https://ci-milpitas-ca-gov.zoom.us/webinar/register/WN_JcGKwIqeTUGDQeogbIXuuQ NOTE: If a member of the public wishes to share any presentation materials for Council consideration, they must be submitted to the Clerk’s Office by email to [email protected] by 12:00 p.m. on the day of the meeting. No presentations will be accepted in person in the Council Chambers.

MILPITAS CITY COUNCIL CODE OF CONDUCT
• Be respectful and courteous (words, tone, and body language). • Model civility.
• Avoid surprises.
• Praise publicly and criticize privately.
• Focus on the issue, not the person.
• Refrain from using electronic devices while on the Council dais. • Disclose conflicts of interest and affiliations related to agenda items. • Separate governing from campaigning.
• The Council speaks with one voice after making policy on issues. • Respect the line between policy and administration.
• Council will hold one another accountable to comply with this Code of Conduct.

August 13, 2024 Milpitas City Council Agenda Page 2
CALL MEETING TO ORDER by Mayor and ROLL CALL by City Clerk (5:30 PM)

ADJOURN TO CLOSED SESSION
(a) CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code Section 54957.6
Agency designated representative: Rick Bolanos, LCW
Bargaining unit: LIUNA, UPEC (Pro-Tech, MEA, MidCon), IAFF, MPOA (b) PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to California Government Code Section 54957
Position: City Attorney
(c) PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to California Government Code Section 54957
Position: City Manager
CLOSED SESSION ANNOUNCEMENT:

Report on action taken in Closed Session, if required per Government Code Section 54957.1, including the vote or abstention of each member present.

PLEDGE OF ALLEGIANCE
INVOCATION (Councilmember Barbadillo)
PRESENTATIONS (6:30 PM)
● National Night Out Commendations for Police Chief, Fire Chief and Block Captains ● American Muslim Appreciation & Awareness Month (Proclamation) PUBLIC FORUM (6:35 PM)
Members of the public are invited to speak on any item that does not appear on today’s agenda. Comments will be limited to three minutes or less at the Mayor’s discretion. When called to speak, you are encouraged to state your name for the record.

As an item not listed on the agenda, no action can be taken, however the City Council may instruct the City Manager to place the item on a future meeting agenda.

ANNOUNCEMENT OF CONFLICT OF INTEREST AND CAMPAIGN CONTRIBUTIONS

READING OF THE CITY COUNCIL CODE OF CONDUCT

APPROVAL OF AGENDA
CONSENT CALENDAR (6:45 PM)
Consent calendar items are considered to be routine and will be considered for adoption by one motion. There will be no separate discussion of these items unless a City Councilmember, member of the audience or staff requests the Council to remove an item from (or be added to) the consent calendar. Any person desiring to speak on any item on the consent calendar should ask to have that item removed from the consent calendar.

C1. Receive City Council Calendar of Meetings for August 2024 (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Recommendation: Receive City Council Calendar of Meetings for August 2024.

August 13, 2024 Milpitas City Council Agenda Page 3
C2. Approve City Council Meeting Minutes of June 18, 2024 (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Recommendation: Approve City Council Meeting minutes of June 18, 2024.

C3. Receive the Preview List of Anticipated Items for the Next Regular City Council Meeting (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Recommendation: Receive the list of anticipated agenda items for the next regular City Council meeting.

C4. Receive and Review the List of Agenda Items Requested by City Councilmembers (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Recommendation: Review the list of items that have been requested by City Councilmembers and provide direction to staff as necessary. No substantive discussion about any specific item shall occur and the City Council shall hold all debate about the item until it is scheduled as a full agenda item.

C5. Approve Report of Actions Taken by the City Manager During the City Council Summer Recess from June 18 through August 13, 2024 (Staff Contact: Matt Cano, Assistant City Manager, 408- 586-3012)
Recommendation: Approve report of actions taken by the City Manager during the City Council Summer Recess from June 18 through August 13, 2024.

C6. Consider the Recommendation from Mayor Montano for Appointments to City Commissions and to the Santa Clara Valley Transportation Authority Bicycle and Pedestrian Advisory Committee (Contact: Mayor Montano, 408-586-3024)
Recommendation: (1) Receive the recommendation from Mayor Montano and approve appointments to City Commissions; and (2) Appoint Milpitas Resident Ricky Davis as the Milpitas Representative to the Santa Clara Valley Transportation Authority’s Bicycle and Pedestrian Advisory Committee (BPAC) for a two-year term.

C7. Authorize the City Attorney and City Manager to Execute a Contract with Meyers Nave for Contracted Outside Litigation Services (Staff Contact: Michael Mutalipassi, City Attorney, 408- 586-3040)
Recommendation: Authorize the City Attorney and City Manager to execute a contract with Meyers Nave for contracted outside litigation services.

C8. Approve Additions to the City Naming Lists for New Streets (Staff Contact: Renee Lorentzen, Recreation and Community Services Director, 408-586-3409) Recommendation: Approve the addition of Passage, Escapade, and Voyage to the City’s Naming List for Streets.

C9. Approve Updates to the Community Advisory Commission Bylaws, and Approve Changing the Commission Name (Staff Contact: Robert Musallam, Housing Official, 408-586-3275; and Sarah Balcha, Senior Administrative Analyst 408-586-3268)
Recommendation: (1) Approve updates to the Community Advisory Commission Bylaws; and (2) approve Commission name change to the Community Housing Commission.

C10. Receive Report on Rent Relief Program, Approve an Agreement with FORWARD to Administer

August 13, 2024 Milpitas City Council Agenda Page 4
the Program, and Approve Programmatic Updates (Staff Contact: Robert Musallam, Housing Official, 408-586-3275)
Recommendation: (1) Receive report on Rent Relief Program, (2) approve transfer of $763,000 from the State Budget for Homelessness Prevention and Unhoused Services to the Rent Relief Program; (3) authorize the City Manager to execute a Professional Services Agreement, approved by the City Attorney, with FORWARD to administer the Rent Relief Program in an amount not-to-exceed $763,000, and (4) approve Rent Relief Programmatic updates.

C11. Approve an Agreement with Peninsula Pump & Equipment Inc. for Wet Well Cleaning Services (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602) Recommendation: Approve and authorize the City Manager to execute an agreement with Peninsula Pump & Equipment Inc. for a five-year term in an amount not-to-exceed $324,060 to provide wet well cleaning services, subject to the annual appropriation of funds.

C12. Adopt a Resolution to Accept the Grant Award from the Metropolitan Transportation Commission and Approve an Agreement with O’Dell Engineering, Inc. for Consultant Services Related to the Innovation District Parks and Trails Master Plan (Staff Contact: Jay Lee, Planning Director, 408-586-3077)
Recommendation: Adopt a resolution to accept a grant award of $200,000 from the Metropolitan Transportation Commission, award RFP No. 24-126, and authorize the City Manager to execute a Professional Services Agreement with O’Dell Engineering, Inc. for consultant services related to the Innovation District Parks and Trails Master Plan in the amount of $198,178.

C13. Approve the Final Map and Authorize the City Manager to Execute the Subdivision Improvement Agreement between the City of Milpitas and Toll West Coast, LLC for a Residential Project at 1951 Tarob Court and 675 Trade Zone Boulevard (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602; Michael Silveira, City Engineer, 408-586-3303) Recommendation: (1) Approve Final Map, Tract No. 10614, including all offers of dedications as stated and depicted on the final map upon completion and acceptance of improvements; and (2) Approve and authorize the City Manager to execute the Subdivision Improvement Agreement between the City of Milpitas and Toll West Coast, LLC, for a Residential Project at 1951 Tarob Court and 675 Trade Zone Boulevard.

C14. Consider Fee Waiver Requests from the Filipino American Real Estate Professional Association and Saint Elizabeth Church (Staff Contact: Renee Lorentzen, Recreation and Community Services Director, 408-586-3409)
Recommendation: (1) Approve a Fee Waiver of $1,500 for the Filipino American Real Estate Professional Association Crossroads of Culture Dinner and Fundraiser at the Community Center Auditorium on August 22, 2024; and (2) Approve a Fee Waiver of $1045.27 for the St. Elizabeth Church Family Festival at the St. Elizabeth Church Parking Lot on September 22, 2024.

C15. Approve 2024 Youth Advisory Commission Scholarship Awards (Staff Contact: Renee Lorentzen, Recreation and Community Services Director, 408-586-3409) Recommendation: Approve three Youth Advisory Commission Community Service Scholarships of $750 each and authorize a budget appropriation of $2,250 from the Youth Holding Account to the Recreation and Community Services Department operating budget.

C16. Approve a Milpitas StoryWalk Initiative Installation at Murphy Park and Authorize the City Manager to Execute a Memorandum of Understanding with Santa Clara County Library District

August 13, 2024 Milpitas City Council Agenda Page 5
for the Initiative Partnership (Staff Contact: Renee Lorentzen, Recreation and Community Services Director, 408-586-3409)
Recommendation: Approve a Milpitas StoryWalk Initiative Installation at Murphy Park at no cost to the City and Authorize the City Manager to Execute a Memorandum of Understanding, approved as to form by the City Attorney, with Santa Clara County Library District for the Initiative Partnership.

PUBLIC HEARINGS (7:00 PM)
Members of the public may be allotted up to three (3) minutes or less at the Mayor’s discretion, to comment on any public hearing item. Applicants/Appellants and their representatives may be allotted up to a total of ten (10) minutes for opening statements and up to a total of five (5) minutes maximum for closing statements. Items requested/recommended for continuance are subject to Council’s consent at the meeting.

17. Conduct a Public Hearing, Adopt Resolutions Approving a Site Development Permit, Conditional Use Permit, and Environmental Assessment, and Introduce an Ordinance Establishing a Development Agreement to Allow the Development of a New Private Middle/High School at 1323 Great Mall Drive (Staff Contact: Jay Lee, Planning Director, 408-586-3077) Recommendation: (1) Conduct a public hearing; (2) Consider Initial Study/Mitigated Negative Declaration pursuant to CEQA Guidelines Section 15064 and Public Resources Code Sections 21080(d) and 21082.2(d); (3) City Attorney shall read aloud title of the Ordinance; (4) Move to waive the first reading beyond the title and introduce Ordinance 38.856 approving a Development Agreement between the City of Milpitas and Store Master Funding IV, LLC; (5) Adopt a resolution to approve Conditional Use Permit No. UP23-0008, including Exhibit 1 to the resolution: Conditions of Approval; and (6) Adopt a resolution to approve Site Development Permit No. SD23-0012, including Exhibit 1 to the resolution: Conditions of Approval and Environmental Assessment No. EA24-0001, to approve an Initial Study/Mitigated Negative Declaration pursuant to CEQA Guidelines Section 15064 and Public Resources Code Sections 21080(d) and 21082.2(d), including Exhibit 2 to the resolution: Mitigation Monitoring and Reporting Program (MMRP).

ANNOUNCEMENTS AND FUTURE AGENDA ITEMS (8:00 PM)
Members of the City Council or City Manager may make brief announcements at this time. Members of the City Council may also suggest future agenda items. For future agenda items, the City Council shall not debate the topic or engage in discussion but shall simply state a “yes” or “no” as whether to move the item forward. If a majority of the City Council agrees to move the item forward, the City Manager shall place the item on a future agenda.

ADJOURNMENT (8:05 PM)

KNOW YOUR RIGHTS UNDER THE OPEN GOVERNMENT ORDINANCE
Government’s duty is to serve the public, reaching its decisions in full view of the public. Commissions and other City agencies exist to conduct the people’s business. This ordinance assures that deliberations are conducted before the people and City operations are open to the people’s review. For more information on your rights under the Open Government Ordinance or to report a violation, contact the City Attorney’s office at Milpitas City Hall, 455 E. Calaveras Blvd., Milpitas, CA 95035 e-mail:[email protected] / Phone: 408-586-3040
The Open Government Ordinance is codified in the Milpitas Municipal Code as Title I Chapter 310 and is available online at the City’s website www.milpitas.gov by selecting the Milpitas Municipal Code link.

Materials related to an item on this agenda submitted to the City Council after initial distribution of the agenda packet are available for public inspection at the City Clerk’s office at Milpitas City Hall, 3rd floor 455 E. Calaveras Blvd., Milpitas and on City website. City Council agendas and related materials can be viewed online: www.milpitas.gov/government/council/agenda_minutes.asp (select meeting date)

August 13, 2024 Milpitas City Council Agenda Page 6

APPLY TO SERVE ON A CITY COMMISSION
Commission application forms are available online at www.milpitas.gov or at Milpitas City Hall.

Contact the City Clerk’s Office at 408-586-3001 for more information.

If you need assistance, per the Americans with Disabilities Act, for any City of Milpitas public meeting, please call the City Clerk at 408-586-3001 or send an e-mail to [email protected] prior to the meeting. You may request a larger font agenda.

Milpitas City Council Calendar
August 2024
Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2:30 PM-1000 Hillview Ct.
stakeholders Group Meeting (CM/EC)
5:30 PM-Milpitas Chamber of
Commerce Board (GB)
5:30 PM-Santa Clara VTA Board of
Directors (CM)
2 3
4 5
5:30 PM- Special Council Meeting
7:00 PM-Parks, Recreation & Cultural
Resources Commission (HL)
6 National Night Out – Citywide
Neighborhood Events
7 5:30 PM-Veterans Commission (CM)
7:00 PM-Community Advisory
Commission (EC)
8 4:00 PM-Treatment Plant Advisory
Committee (CM) (San Jose)
4:00 PM-Santa Clara VTA Policy
Advisory Committee (EC)
5:30 PM-CASCC Legislative Action
Committee (CM)
6:00 PM-Youth Advisory Commission
(HL)
7:00 PM-Cities Assoc of SCC (CM)
9 10
11 12
4:30 PM-Economic Development and
Trade Commission (CM)
13 5:30 PM-Special Council Meeting
14 7:00 PM-Silicon Valley Clean Energy
Board of Directors (EC) (Cupertino)
7:00 PM-Planning Commission
15 10:00 AM-VTA Congestion Mgmt
Program & Planning Committee (CM)
3:00 PM-CASCC Appt: Recycling and
Waste Reduction Commission (CM)
6:00 PM-India Independence Day
Flag-Raising Event (Cesar Chavez
Plaza)
16 17
18 19 20
6:00 PM-Closed Session
7:00 PM-City Council
21 6:00 PM-Energy and Environmental
Sustainability Commission (EC)
22 23 24
25 26
6:00 PM-HOD Community Meeting
27 12:00 PM-Special Council / Executive
Team Leadership Strategic Workshop
1:30 PM-Senior Advisory Commission
(CM)
28 7:00 PM-Planning Commission
29 30 31
July 2024

S M T W T F S
1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31
September 2024

S M T W T F S
1 2 3 4 5 6 7
8 9 10 11 12 13 14
15 16 17 18 19 20 21
22 23 24 25 26 27 28
29 30
June 18, 2024 Milpitas City Council Minutes Page 1

REGULAR MEETING OF THE MILPITAS

CITY COUNCIL AND HOUSING AUTHORITY

MINUTES
TUESDAY, JUNE 18, 2024
The City Council of the City of Milpitas convened on the regular City Council meeting day in a Joint Meeting of the Milpitas City Council and Housing Authority on June 18, 2024, in the City Council Chamber, 455 E.

Calaveras Blvd, Milpitas, CA, and via teleconference/Zoom webinar.

CALL MEETING TO ORDER by Mayor and ROLL CALL by City Clerk Mayor Montano called the Regular City Council meeting to order at 5:31 PM. Roll Call was taken by City Clerk Guzzetta.

PRESENT: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo (5:36 PM), Councilmember Lien, Councilmember Phan (5:32 PM)
ABSENT: None.

Assistant City Attorney Creech briefed the City Council on the items on the Closed Session agenda.

The City Council adjourned to Closed Session at 5:33 PM.

ADJOURN TO CLOSED SESSION
(a) CONFERENCE WITH LABOR NEGOTIATORS
Pursuant to Government Code Section 54957.6
Agency designated representative: Rick Bolanos, LCW
Bargaining unit: LIUNA, UPEC (Pro-Tech, MEA, MidCon), IAFF, MPOA (b) PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Pursuant to California Government Code Section 54957
Position: City Attorney
The City Council reconvened at 7:48 PM.

CLOSED SESSION ANNOUNCEMENT:

Assistant City Attorney Creech noted there was nothing to report out.

PLEDGE OF ALLEGIANCE
Mayor Montano led the pledge of allegiance.

INVOCATION
Councilmember Lien provided the invocation.

PRESENTATIONS
Mayor Montano, joined by the City Council, presented a proclamation in recognition of Parks and Recreation Month.

June 18, 2024 Milpitas City Council Minutes Page 2

PUBLIC FORUM
There were the following public speakers:

1. Victor Robles

2. Pujitha Jammula

3. Voltaire Montemayor

4. Amy Chen

5. Jaria Jaug

6. Rahul Peravali

7. Ankit Gosalia

8. Prashanth

9. Amit Banjara

10. Sidarshan Kandaswamy

11. Naveen Bojjireddy

12. Vineet Pai

13. Pallavi Pandit

14. Carol Chang

15. Sreeja Pavulari

ANNOUNCEMENT OF CONFLICT OF INTEREST AND CAMPAIGN CONTRIBUTIONS Assistant City Attorney Creech asked the Mayor and City Councilmembers if they had any personal conflicts of interest. By roll call, there were no conflicts of interest. Assistant City Attorney Creech asked the Mayor and City Councilmembers if they had any reportable campaign contributions. By roll call, there were no reportable campaign contributions.

READING OF THE CITY COUNCIL CODE OF CONDUCT
Vice Mayor Chua read the City Council Code of Conduct.

APPROVAL OF AGENDA
After discussion, motion: to approve the agenda.

Motion/Second: Vice Mayor Chua / Councilmember Lien
Motion carried by the following:

AYES: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo, Councilmember Lien, Councilmember Phan
NOES: None

CONSENT CALENDAR
There were no public speakers.

After discussion, motion: to approve the Consent Calendar.

Motion/Second: Vice Mayor Chua / Councilmember Barbadillo Motion carried by the following:

AYES: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo, Councilmember Lien, Councilmember Phan
NOES: None

June 18, 2024 Milpitas City Council Minutes Page 3

1. Receive City Council Calendar of Meetings for June, July and August 2024 (Staff Contact:

Suzanne Guzzetta, City Clerk, 408-586-3001)
Received City Council Calendar of Meetings for June, July, and August 2024.

2. Approve City Council City Council Meeting Minutes of May 21, June 4, and June 11, 2024 (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Approved City Council Meeting minutes of May 21, June 4, and June 11, 2024.

3. Receive the Preview List of Anticipated Items for the Next Regular City Council Meeting (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Received the list of anticipated agenda items for the next regular City Council meeting.

4. Receive and Review the List of Agenda Items Requested by City Councilmembers (Staff Contact: Suzanne Guzzetta, City Clerk, 408-586-3001)
Reviewed the list of items that have been requested by City Councilmembers and provided direction to staff as necessary.

5. Consider the Recommendation from Mayor Montano for Appointments to City Commissions (Contact: Mayor Montano, 408-586-3024)
Received the recommendation from Mayor Montano and approved appointments to City Commissions:

Economic Development and Trade Commission

1. Appointed Jacob Sanchez to the Real Estate representative position with a term ending April 30, 2027.

6. Adopt a Resolution Delegating Authority to the City Manager or Designee to Approve and Execute Project-Related Documents and Urgent Administrative Items During the City Council Summer Recess (Staff Contact: Matt Cano, Assistant City Manager, 408-586-3012) Adopted Resolution No. 9342 / HA 34 delegating authority to the City Manager, or their designee, to approve and execute project-related documents, including contract documents, and urgent administrative items during the City Council and City of Milpitas Housing Authority summer recess from the last City Council meeting held in June through August 13, 2024.

7. Approve a Community Investment Fund Grant for Milpitas Unified School District Adult Education for Workforce Development and Educational Services (Staff Contact: Alex Andrade, Director of Economic Development, 408-586-3046; Margaret Tamisiea, Senior Special Projects Associate, 408-586-3047)
Approved a Community Investment Fund grant that provides workforce development and educational services in the amount of $29,000 for Milpitas Unified School District Adult Education to support the early childhood education paraprofessional training program.

8. Approve an Amendment to the Agreement with Housekeys to Execute a One-Year Extension for Administration of the Below Market Rate Homeownership Program (Staff Contact: Alex Andrade, Economic Development Director, 408-586-3046; and Robert Musallam, Housing and Neighborhood Services Administrator, 408-586- 3275)
Accepted and approved a budget appropriation of $150,000 from the Housing Authority Fund and authorized the City Manager or designee to execute an amendment to the agreement with Housekeys

June 18, 2024 Milpitas City Council Minutes Page 4
exercising a one-year contract option for administration of the Below Market Rate Homeownership Program.

9. Approve an Agreement with WeHOPE for Homeless Outreach, Assessment, and Case Management Services (Staff Contact: Alex Andrade, Economic Development Director 408-586- 3046; and Robert Musallam, Housing Division Manager 408-586-3275) (1) Approved a one-year professional services agreement with WeHOPE in the amount of $199,933 for Homeless Outreach, Assessment, and Case Management Services; (2) authorized the appropriation of $6,597.74 from the Housing Authority Fund; and (3) authorized the City Manager, and/or designee, to execute the contract with WeHOPE.

10. Approve an Amendment to the Professional Services Agreement with Ascent Environmental for Consultant Services Related to Preparation of the Gateway-Main St. Specific Plan (Staff Contact:

Jay Lee, Planning Director, 408-586-3077)
(1) Approved an amendment to the Professional Services Agreement with Ascent Environmental for consultant services related to preparation of the Gateway-Main St. Specific Plan, extending the contract timeline for professional services without incurring any additional costs; and (2) Authorized the City Manager to execute the amended agreement.

11. Waive the Second Reading and Adopt Ordinance No. 38.855 Amending the Zoning Ordinance (Title XI, Chapter 10 of the Milpitas Municipal Code) and the Zoning Map to create the new Business Park Research and Development Zone and Metro Area Zones (Staff Contact: Jay Lee, Planning Director, 408-586-3077)
(1) Determined that the EIR Addendum adequately analyzes the potential environmental impacts associated with the proposed Zoning Amendments and is in compliance pursuant to CEQA Guidelines §15162 and §15164; and (2) Waived the second reading and adopted Ordinance No. 38.855 approving Zoning Text and Zoning Map Amendment No. ZA24-0002 to create the new Business Park Research and Development Zone and Metro Area Zones.

12. Approve an Agreement with Rexel for Variable Frequency Drive Preventative Maintenance Services (Statt Contact: Christian Di Renzo, Public Works Director, 408-586-2602) Approved and authorized the City Manager to execute a Maintenance Services Agreement with Rexel for variable frequency drive preventative maintenance services in the amount of $252,263.59 for a fiveyear period, subject to the annual appropriation of funds.

13. Approve the Santa Clara Countywide Food Recovery Program Memorandum of Understanding (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602; and Elaine Marshall, Deputy Public Works Director, 408-586-2603)
Authorized the City Manager to sign a Memorandum of Understanding between the Santa Clara County Recycling and Waste Reduction Technical Advisory Committee member jurisdictions establishing ongoing management and operation of the edible food recovery program to comply with the requirements of Senate Bill 1383 (California’s Short-Lived Climate Pollutant Reduction Strategy).

14. Approve and Authorize the City Manager to Execute an Amended Stormwater Management Facilities Operation and Maintenance Agreement for Toll West Coast, LLC for the Parkside Project at 1980 and 1992 Tarob Court and 551 Lundy Place (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602; and Michael Silveira, City Engineer, 408-586-3303) Approved and authorized the City Manager to execute an amendment to the Stormwater Management Facilities Operation and Maintenance Agreement for Toll West Coast, LLC for the Parkside Project at

June 18, 2024 Milpitas City Council Minutes Page 5
1980 and 1992 Tarob Court and 551 Lundy Place.

15. Adopt a Resolution to Approve Project Conceptual Design and Authorize a Cooperative Purchase Agreement with Williams Scotsman, Inc., through a Cooperative Procurement Contract Solicited by Region 4 Educational Service Center, for Fire Station No.1 Modular Building, Project No. 3465 (Staff Contact: Christian Di Renzo, Public Works Director; 408-586- 2602; and Michael Silveira, City Engineer, 408-586-3303) Adopted Resolution No. 9343 to (1) approve project conceptual design; (2) authorize the City Manager to execute a cooperative purchase agreement with Williams Scotsman, Inc., through a cooperative procurement contract solicited by Region 4 Educational Service Center, in an amount not-to-exceed $818,894; and (3) authorize the Public Works Director to negotiate and execute contract change order(s) in an aggregate amount not to exceed $100,000 for Fire Station No.1 Modular Building, Project No. 3465.

16. Approve the Final Map, Tract No. 10622, and Approve a Subdivision Improvement Agreement between the City of Milpitas and Pulte Home Company, LLC for a Residential Project at 1355 California Circle (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602; and Michael Silveira, City Engineer, 408-586-3303)
(1) Approved the Final Map, Tract No. 10622, including all offers of dedications as stated and depicted on the final map upon completion and acceptance of improvements; and (2) Approved and authorized the City Manager to execute the Subdivision Improvement Agreement between the City of Milpitas and Pulte Home Company, LLC, for a Residential Project at 1355 California Circle.

17. Consider Fee Waiver Requests from Show Up and Love and SHEKonnect (Staff Contact: Renee Lorentzen, Recreation and Community Services Director, 408-586-3409) (1) Approved a fee waiver of $945 for the Show Up and Love 2nd Annual BBQ Cookoff for Love on July 14, 2024; and (2) Approved a fee waiver of $282 for the SHEKonnect Teen Girls Living Skills Workshop.

18. Adopt Resolutions of the Milpitas Housing Authority and City Council of the City of Milpitas Authorizing a Subordination Agreement for the 355 Sango Court Permanent Loan Conversion (Staff Contact: Robert Musallam, Housing and Neighborhood Services Administrator, 408-586- 3275)
(1) Adopted Resolution No. HA 35 of the Milpitas Housing Authority authorizing a Subordination Agreement for the 355 Sango Court Permanent Loan Conversion; and (2) Adopted Resolution No. 9344 of the City Council of the City of Milpitas authorizing a Subordination Agreement for the 355 Sango Court Permanent Loan Conversion.

PUBLIC HEARINGS

19. Conduct a Public Hearing and Adopt a Resolution on the 2024 Weed Abatement Assessments (Staff Contact: Arthur Belton, Deputy Fire Chief / Fire Marshal, 408-586-3384) City Manager Thomas introduced the item. Deputy Fire Chief / Fire Marshal Belton presented the report.

Councilmember Phan left the meeting at 8:19 PM.

Mayor Montano opened the public hearing.

June 18, 2024 Milpitas City Council Minutes Page 6
There were the following public speakers:

1. Carol Chang

2. Voltaire Montemayor
Mayor Montano closed the public hearing.

After discussion, motion: to adopt Resolution No. 9345 confirming the 2024 Weed Abatement Assessment Report and the Assessment List to be entered into the tax assessment rolls.

Motion/Second: Councilmember Lien / Councilmember Barbadillo Motion carried by the following:

AYES: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo, Councilmember Lien NOES: None
ABSENT: Councilmember Phan

20. Conduct a Public Hearing to Approve the Allocations for the FY2024-25 Community Development Block Grant, and the Corresponding Annual Action Plan (Staff Contact: Alex Andrade, Economic Development Director, 408-586-3046; and Robert Musallam, Housing Division Manager, 408-586-3275)
City Manager Thomas introduced the item. Economic Development Director Andrade provided preliminary remarks and Housing Administrator Robert Musallam presented the report.

Mayor Montano opened the public hearing.

There were the following public speakers:

1. Angelica Holguin

2. Erica Villa

3. Cynthia Melchor

4. Alaina Schroeder

5. Michelle Schroeder

6. Marina Sanchez

7. Samantha Pimentel

8. Carol Conn

9. Michele Lew

10. Voltaire Montemayor
Mayor Montano closed the public hearing.

Vice Mayor Chua questioned Project Sentinel regarding the number of individuals served. Project Sentinel clarified that the lower number was due to the proposed funding. The Vice Mayor asked staff about the availability of $30,000 in old coronavirus funds. Housing Official Musallam explained that until regulatory clarity is achieved, the funds should remain untouched to avoid risks. He also suggested that reallocating these funds should be directed towards economic development or capital projects, as the city is already maxed out on the 15% cap for social services funding, with high demand exceeding available funds. He provided additional context on Project Sentinel, explaining that changes in HUD requirements now separate funding for landlord-tenant services and fair housing, leading to Project Sentinel competing for the same limited funds as other public services. Vice Mayor Chua advised revisiting the issue in August, when additional community development funds might be available.

Councilmember Barbadillo inquired about the micro enterprise grant assistance program. Economic Development Director Andrade provided background information on the program, highlighted its impact,

June 18, 2024 Milpitas City Council Minutes Page 7
and offered detail on program monitoring.

Vice Mayor Chua praised the success of the microenterprise grant program, noting its positive impact on small businesses in Milpitas. She spoke on concerns from struggling childcare businesses due to layoffs and transitional kindergarten issues and urged developing a strategy to support them directly.

Economic Development Director Andrade suggested the possibility of replicating the ARPA-funded program that prioritized daycare centers, emphasizing the need to ensure income qualifications. Vice Mayor Chua appreciated the response and urged quick action.

Mayor Montano questioned the lack of funding for PRAGNYA, which serves children with neurological disorders. Housing Official Musallam noted that PRAGNYA, now based in San Jose, is a young nonprofit needing more time to comply with CDBG requirements, so funding was paused to work with them offline. The Mayor requested allocating $5,000 to PRAGNYA through CDBG funds, emphasizing the importance of supporting educational services for parents of children with special needs.

Vice Mayor Chua suggested the request to allocate $5,000 to PRAGNYA would impact the public service funding cap. Housing Official Musallam confirmed that and noted it would require taking funds from another allocation. The Vice Mayor suggested addressing this during the Community Investment Fund discussions instead of reallocating existing funds, and the Mayor agreed.

Councilmember Barbadillo inquired about the Mayor's request asked and the staff response. Mayor Montano confirmed the funding request would be revisited during the Community Investment Fund discussions in August. City Manager Thomas noted that discussion would be held in August.

Councilmember Barbadillo then asked to consider, at the same time, the Knights of Columbus funding request, highlighting their long-term community service in Milpitas, particularly their annual Thanksgiving dinner.

Vice Mayor Chua made a motion: to Adopt the FY2024-25 Annual Action Plan with recommended allocation amounts; Authorize the City Manager, or designee, to make any necessary changes to the approved FY2024-25 Annual Action Plan as needed to comply with CDBG submission guidelines; and Authorize the City Manager, or designee, to execute CDBG agreements with the approved subrecipients, and amend the CDBG agreements as needed to comply with CDBG guidelines.

Motion/Second: Vice Mayor Chua/Councilmember Lien
Motion carried by the following:

AYES: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo, Councilmember Lien NOES: None
ABSENT: Councilmember Phan
Vice Mayor Chua asked to include Project Sentinel, Pragnya, and the Knight's of Columbus funding requests as part of consideration for funding through the Community Investment Fund, clarifying that the request was not part of the motion.

21. Adopt a Resolution Approving the Fiscal Year 2024-25 User and Regulatory Fee Schedule (Staff Contact: Luz Cofresí-Howe, Finance Director, 408-586-3111) City Manager Thomas introduced the item. Finance Director Cofresí-Howe presented the report.

Mayor Montano opened the public hearing.

There were the following public speakers:

1. Voltaire Montemayor

June 18, 2024 Milpitas City Council Minutes Page 8
Mayor Montano closed the public hearing.

After discussion, motion: to adopt Resolution No. 9346 approving the Fiscal Year 2024-25 User and Regulatory Fee Schedule..

Motion/Second: Councilmember Barbadillo/Councilmember Lien Motion carried by the following:

AYES: Mayor Montano, Vice Mayor Chua, Councilmember Barbadillo, Councilmember Lien NOES: None
ABSENT: Councilmember Phan

ANNOUNCEMENTS AND FUTURE AGENDA ITEMS
City Manager Thomas announced the City Council Chamber would be upgraded over the legislative break.

Mayor Montano asked to include an advertisement for the Stars and Strides Community Run on the display.

She also announced the Annual State of the City address on June 27, 2024.

ADJOURNMENT
Mayor Montano adjourned the meeting at 9:26 PM.

Draft meeting minutes submitted by City Clerk, Suzanne Guzzetta

TENTATIVE CITY COUNCIL AGENDA ITEM LIST
as of 8/8/2024
August 20, 2024 – Regular Meeting

CLOSED SESSION
INVOCATION (Councilmember Barbadillo)

PRESENTATION
• Women’s Equality Day (Proclamation)

CONSENT CALENDAR

1. Receive City Council calendar for August and September 2024 (City Clerk)

2. Approve City Council meeting minutes of August 5 and 13, 2024 (City Clerk)

3. Preview list of items for September 3, 2024 (City Clerk)

4. Councilmember Request List (City Clerk)

5. NeoGov Contract (Finance / Human Resources)

6. Stratford School Expansion – 2nd Reading (Planning)

7. Emergency Declaration Update – Main Sewer Lift Station Security Measures (Public Works)

8. Public Works Staffing Reallocation (Public Works)

9. City / School Indoor Spaces Joint Use Agreement (Recreation)

LEADERSHIP AND SUPPORT SERVICES

10. Library Renaming Process and Feedback (City Manager)

11. Investment Policy (Finance)

MILPITAS CITY COUNCIL

AGENDA ITEM REQUESTS

OPEN ITEMS
Request
No. Topic Submitted by:

Date
Requested
STATUS and/or DATE scheduled on City
Council meeting agenda:
1 Bring back information on the process and steps
required for renaming the Milpitas library after
former Mayor Jose S. Esteves, including
consultation with the library JPA and the naming
subcommittee, for discussion at the August 20th
council meeting. Barbadillo 8/5/2024 No status update at this time. 2 Prepare commendations or keys to the city for
local Olympians representing Milpitas at the
Olympics, to be presented after the conclusion of
the Olympic games. Montano 8/5/2024 No status update at this time. 3 Return with a ceremonial resolution on childcare Phan 8/5/2024 No status update at this time. 4 Send a letter signed by the Mayor and City Council
to the County Administrator and Supervisor Lee,
asking the county to investigate the treatment of
horses by Chaparral Corporation at Ed Levine Park
and the adjacent Chaparral Ranch Chua 5/21/2024
This letter was sent to the County on June 7,
2024.

ACTIVE ITEMS
Request
No. Topic Submitted by:

Date
Requested
STATUS and/or DATE scheduled on City
Council meeting agenda:
5 Conduct a traffic study on Escuela Parkway to
address circulation concerns Montano 5/7/2024
Approved for prioritization at 6/11/24
meeting
6 Explore the possibility of augmenting the Planning
Commission stipend Barbadillo 4/16/2024
Approved for prioritization at 6/11/24
meeting
7 Explore changing or enhancing the focus of the
community advisory commission to add housing Chua 4/2/2024 Approved for prioritization at 6/11/24
meeting
8 Request that the Arts Commission explore
alternatives for future of statue in front of City Hall Phan 1/30/2024 An update was included in the 6/11/24
prioritization report.
9 Update the Commissioner Handbook to include an
option for outgoing commissioners to make
presentations to other commissions Chua 1/23/2024
An update was included in the 6/11/24
prioritization report.
10 Workshop for retailers focusing on best practices
and safety with plans for quarterly sessions Chua 1/23/2024 An update was included in the 6/11/24
prioritization report.
11 Explore possibility of naming the County library on
Main Street Phan 1/23/2024
An update was included in the 6/11/24
prioritization report.
12 Consideration of the 20% Low Income Below
Market Rate Housing Montano 12/5/2023
An update was included in the 6/11/24
prioritization report.
13 Bring back Bingo and the Tour at the Senior
Center Chua 11/7/2023
An update was included in the 6/11/24
prioritization report.
14 Referral for utility infrastructure cost on Main Street from Carlo to Corning Streets Montano 10/17/2023
An update was included in the 6/11/24
prioritization report.
15 Consider a possible ordinance or policy regarding
solicitations at home Barbadillo 10/3/2023
An update was included in the 6/11/24
prioritization report.
16 Main Street International Festival Lien 10/3/2023
An update was included in the 6/11/24
prioritization report.
17 Have the Police Chief direct staff to complete an
analysis in partnership with the County to
determine if it would be beneficial to have a
location where residents can pickup Narcan Chua 9/5/2023 An update was included in the 6/11/24
prioritization report.
18 Explore taking steps towards becoming a Charter
City Phan 9/5/2023
An update was included in the 6/11/24
prioritization report.

NOTE: Deferred and Completed Items are not listed

MILPITAS CITY COUNCIL

AGENDA ITEM REQUESTS
19 Human Resources Director to conduct a job fair
specific to the job openings at City Hall Chua 5/2/2023 An update was included in the 6/11/24
prioritization report.
20 Pickleball Pilot Project Chua 2/28/2023
An update was included in the 6/11/24
prioritization report.
21 Main Street Infrastructure Projects Montano 2/28/2023 An update was included in the 6/11/24
prioritization report.
22 Main Street Flooding at Library Chua 2/28/2023
An update was included in the 6/11/24
prioritization report.
23 Satellite Consulate Office Montano 2/28/2023
An update was included in the 6/11/24
prioritization report.
24 Have the City look into the possibility of a Citywide Senior Discount Barbadillo 2/7/2023
An update was included in the 6/11/24
prioritization report.
25 City Manager to look into defining either a
standalone teen center or updating information to
indicate the Senior Center also functions as a Teen
Center Chua 9/20/2022
An update was included in the 6/11/24
prioritization report.
26 Discuss converting vacant lot that was a basketball
court into a community garden at Vasona and
Adobe Montano 8/16/2022
An update was included in the 6/11/24
prioritization report.
27 City Manager look into implementing a workshop
for small businesses on the bidding process for
projects in the city Chua 8/9/2022
An update was included in the 6/11/24
prioritization report.
28 Quarterly or Monthly crime statistics on Homekey
Project Chua 6/7/2022
An update was included in the 6/11/24
prioritization report.
29 Memorial Plaque in honor of youth skateboarder
that passed away Montano 6/7/2022
An update was included in the 6/11/24
prioritization report.
30 Evaluate reopening the childcare center with a nonprofit organization running the center Montano 2/1/2022An update was included in the 6/11/24 prioritization report.
31 Staff to look into mural Art on Great Mall Parkway
on the VTA owned Light rail pillars Montano 11/16/2021
An update was included in the 6/11/24
prioritization report.
32 Have a picture of Albert Vogel Sr. put up in the
Senior Center Montano 10/19/2021
An update was included in the 6/11/24
prioritization report.
33 Include a bust of Maria Lemire on the Mural in front of the Senior Center Montano 8/17/2021
An update was included in the 6/11/24
prioritization report.
34 Consider Community Museum and Park on Main
St. Phan 8/20/2019
Discussions with the property owner of this
site are ongoing.

ACTIVE ITEMS
Request
No. Topic Submitted by:

Date
Requested
STATUS and/or DATE scheduled on City
Council meeting agenda:

NOTE: Deferred and Completed Items are not listed

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Approve Report of Actions Taken by the City Manager During the City Council and City of Milpitas Housing Authority Summer Recess from June 18 through August 13, 2024 (Staff Contact: Matt Cano Assistant City Manager, 408-586- 3012)
Category: Consent Calendar-Leadership and Support Services Meeting Date: 8/13/2024
Recommendation: Approve Report of Actions Taken by the City Manager During the City Council and City of Milpitas Housing Authority Summer Recess from June 18 through August 13, 2024.

BACKGROUND:

On June 18, 2024, City Council and the City of Milpitas Housing Authority adopted a resolution delegating authority to the City Manager, or their designee, to approve and execute project-related documents, including documents and urgent administrative items during the City Council and City of Milpitas Housing Authority summer recess from the last City Council meeting held in June through August 13, 2024.

ANALYSIS:

The purpose of this agenda report is to provide the City Council and City of Milpitas Housing Authority with a list of items upon which this authority was used.

There were no items during the Summer Recess from June 18 through August 13, 2024 upon which this authority was used.

POLICY ALTERNATIVE(S):

Not Applicable
FISCAL IMPACT:

No fiscal impact as no actions were taken.

California Environmental Quality Act (CEQA):

This item is not a project under the California Environmental Quality Act (CEQA) Guideline 15378(b).

RECOMMENDATION:

Approve Report of Actions Taken by the City Manager During the City Council and City of Milpitas Housing Authority Summer Recess from June 18 through August 13, 2024.

Attachment(s):

None

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Consider the Recommendation from Mayor Montano for Appointments to City Commissions and to the Santa Clara Valley Transportation Authority Bicycle and Pedestrian Advisory Commission (Contact: Mayor Montano, 408-586-3024) Category: Consent Calendar-Leadership and Support Services Meeting Date: 8/13/2024
Recommendation: (1) Receive the recommendation from Mayor Montano and approve appointments to City Commissions; and (2) Appoint Milpitas Resident Ricky Davis as the Milpitas Representative to the Santa Clara Valley Transportation Authority’s Bicycle and Pedestrian Advisory Commission (BPAC) for a two-year term.

Background:

The City of Milpitas has 13 Commissions, including the Measure F Oversight Committee, with members appointed by the Mayor and confirmed by the City Council. These Commissions provide advice to Milpitas elected officials on various community interests and policy areas.

Residents interested in serving on a City Commission must complete a Commission Application and submit it to the City Clerk. Applications are then forwarded to the Mayor for consideration. According to Government Code 40605, in a general law city where the Mayor is an elective office, the Mayor, with City Council approval, makes all appointments to boards, commissions, and committees, unless otherwise specified by statute.

Current Commissioners may seek reappointment at the end of their term, but it is not automatic. Those seeking reappointment must contact the City Clerk and the Mayor to express their interest. Reappointment requires the Mayor's recommendation and City Council confirmation.

The Santa Clara Valley Transportation Authority (VTA) Bicycle and Pedestrian Advisory Commission (BPAC) offers expertise and guidance to the Board of Directors on enhancing non-motorized transportation throughout Santa Clara County and serves as a liaison between VTA and the Member Agency. As a VTA Member Agency, the City of Milpitas has one voting position on this committee.

Ricky Davis, a resident of Milpitas and a Parks, Recreation, and Cultural Resources Commissioner, has volunteered to represent Milpitas on the BPAC for a two-year term. This seat was previously held by Kristal Caidoy, whose term expired in 2022.

Analysis:

Mayor Montano is making the following recommendations for appointment:

Additional commission appointment recommendations from Mayor Montano may be transmitted separately as an additional attachment to the agenda.

Valley Transportation Agenda Bicycle Pedestrian Advisory Committee (BPAC):

1. Appoint Milpitas Resident Ricky Davis as the Milpitas Representative to the Santa Clara Valley Transportation Authority’s Bicycle and Pedestrian Advisory Commission (BPAC) for a two-year term.

All recommended Commissioner appointments have been reviewed and confirmed by the City Clerk’s office.

Fiscal Impact:

There is no fiscal impact associated with this item.

California Environmental Quality Act (CEQA):

The action is continuing administrative or maintenance activity and is not a project pursuant to Cal. Code Regs., tit. 14, §15378.

Recommendation:
(1) Receive the recommendation from Mayor Montano and approve appointments to City Commissions; and (2) Appoint Milpitas Resident Ricky Davis as the Milpitas Representative to the Santa Clara Valley Transportation Authority’s Bicycle and Pedestrian Advisory Commission (BPAC) for a two-year term.

Attachments:

None.

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Authorize the City Attorney and City Manager to Execute a Contract with Meyers Nave for Contracted Outside Litigation Services (Staff Contact: Michael Mutalipassi, City Attorney, 408-586-3040)
Category: Consent Calendar-Leadership and Support Services Meeting Date: 8/13/2024
Recommendation: Authorize the City Attorney and City Manager to execute a contract with Meyers Nave for contracted outside litigation services.

BACKGROUND:

Former City Manager Steve McHarris concluded his service with the City on June 3, 2023, upon the expiration of his employment contract. On or around May 1, 2023, Mr. McHarris filed a government tort claim alleging seven potential claims against the City: (1) breach of contract, (2) violation of the Milpitas Municipal Code, (3) defamation. (4) constructive discharge, (5) intentional and negligent infliction of emotional distress, (6) age discrimination and (7) hostile work environment. On June 15, 2023, the Claim was denied by the City. Mr.

McHarris eventually filed a lawsuit on December 12, 2024, limiting the lawsuit to only four causes of action: (1) breach of written employment contract; (2) violation of Labor Code section 1102.5; (3) constructive termination and (4) wrongful termination against public policy. An independent firm undertook an independent investigation on behalf of the City. The City retained Nadia Burmudez at Meyers Nave to defend the City’s interest. On August 5, 2024, the Council received a closed session update regarding the litigation and investigation.

ANALYSIS:

The proposed contract continues the funding for the defense of the McHarris matter. The contract will allow Ms. Burmudez to continue to advocate for and defend the City in accordance with the direction given by the City Council. The rates set forth in the contract are commensurate with like attorneys.

POLICY ALTERNATIVE(S):

Alternative: To not amend the Meyers Nave contract for increased services.

Pros: None.

Cons: Will not meet Council’s transition goals.

Reason not recommended: Will not meet the Council’s transition goals.

FISCAL IMPACT:

There is sufficient funding in the City Attorney Office operating budget to absorb this contract.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

The action is an organizational or administrative activity of the City government that will not result in direct or indirect physical changes in the environment and is not a project pursuant to Cal. Code of Regs., tit. 14, 15378.

RECOMMENDATION:

Authorize the City Attorney and City Manager to execute a contract with Meyers Nave for contracted outside litigation services.

ATTACHMENT(S)
Letter Agreement dated August 6, 2024

555 Capitol Mall, Suite 1200
Sacramento, California 95814
tel (916) 556-1531
fax (916) 556-1516
www.meyersnave.com
Adam U. Lindgren
[email protected]

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO August 6, 2024

VIA ELECTRONIC MAIL ONLY

PERSONAL & CONFIDENTIAL
Michael Mutalipassi
City Attorney
City of Milpitas
455 E. Calaveras Blvd.

Milpitas, CA 95035
[email protected]
Re: Engagement of Legal Services
Dear Mr. Mutalipassi:

Thank you for retaining Meyers Nave (“Meyers Nave”) to perform legal services in connection with City of Milpitas (“Client”) of which you are City Attorney. We appreciate the opportunity to serve as your lawyers and look forward to working with you.

This letter sets forth our agreement concerning the legal services we will provide and our fee arrangements for those services. Please read this entire agreement before signing and returning it to us.

1. Scope of Engagement. We will provide the legal services reasonably required to represent and advise you in connection with continued litigation services related to McHarris v. City of Milpitas, Superior Court of California County of Santa Clara, Case No.:
23CV427505, and assisting the City in employment matters related to the former City Manager’s transition. Our work is limited to such services. We will also provide legal services for additional matters that you request of us, provided we agree to perform that additional work. A letter confirming such additional work shall bring such work within the scope of this agreement.

2. Fees and Personnel. As compensation for our services, our fees will be based on our current standard billing rate for the personnel performing services under this agreement at the time such services are rendered. Our standard billing rates for attorneys and paralegals are attached as Attachment 1.

Michael Mutalipassi
August 6, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO I will be the principal in charge of representing your interests. If other attorneys and/or paralegals are assigned to work on your matter, the then current hourly rates of those individuals will be utilized. This agreement retains the legal services of our law firm and not of a particular attorney. Hourly rates are subject to reasonable change, usually at the beginning of each year.

3. Retainer. As discussed, the Firm will not require a retainer to commence services related to this matter. However, the Firm reserves the right to require a retainer in the future if it determines that circumstances warrant.

4. Disbursements and Expenses. In addition to hourly fees, we may incur out-ofpocket expenses related to your representation. Our Statement of Fee and Billing Information, which sets forth the details of our disbursement and expense policy, is attached as Attachment 2.

5. Billing and Payment Responsibilities. We will send monthly statements which are due within 30 days of receipt. If you have any questions about an invoice, please promptly telephone or write me so that we may discuss these matters. Our Statement of Fee and Billing Information sets forth the details of our fee and billing policy.

6. Termination of Services. You may terminate our services at any time by written notice. After receiving such notice, we will cease providing services. We will cooperate with you in the orderly transfer of all related files and records to your new counsel.

We may terminate our services at any time with your consent or for good cause. Good cause exists if (a) any statement is not paid within 60 days of its date; (b) you fail to meet any other obligation under this agreement and continue in that failure for 15 days after we send written notice to you; (c) you have misrepresented or failed to disclose material facts to us, refused to cooperate with us, refused to follow our advice on a material matter, or otherwise made our representation unreasonably difficult; or (d) any other circumstance exists in which ethical rules of the legal profession mandate or permit termination, including situations where a conflict of interest arises. If we terminate our services, you agree to execute a substitution of attorneys promptly and otherwise cooperate in effecting that termination.

Termination of our services, whether by you or by us, will not relieve the obligation to pay for services rendered and costs incurred before our services formally ceased.

7. Insurance. During the term of this engagement, this law firm shall take out and maintain general liability and property damage insurance in amounts not less than $1,000,000; professional errors and omissions insurance, in amounts not less than $2,000,000 per occurrence; and $4,000,000 aggregate, which insurance may not be canceled or reduced in required limits of liability unless at least ten days advance written notice be given to you.

Michael Mutalipassi
August 6, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO

8. No Guarantee of Outcome. Any comments made by us about the potential outcome of this matter are expressions of opinion only and are not guarantees or promises about any outcome or results.

9. Dispute Resolution. In the event you become dissatisfied with any aspect of our relationship, we encourage you to bring such concerns to our attention immediately. If we are unable to resolve any dispute, either arising out of or in connection with this Agreement or relating to the services performed by our firm or any of its attorneys, to our mutual satisfaction, our firm will first comply with any mandatory dispute resolution procedures that may apply to any such dispute.

If we are unable to resolve any dispute, and after mandatory dispute resolution procedures have been waived or exhausted, the parties shall submit such dispute to mediation in Santa Clara County, California before the American Arbitration Association, pursuant to its then prevailing rules, unless the parties agree in writing to a different arbitration method or forum.

By signing this agreement, you acknowledge and agree that you have read and understand this arbitration provision. You understand that by agreeing to arbitration we each give up the right to present our claims or defenses for trial by a judge or jury, and we also give up the right to an appeal. The initial resort to the courts by either party shall not be considered a waiver of that party’s right to compel binding arbitration under this provision. This agreement shall be governed by and construed in accordance with the laws of the State of California without regard to principles of conflicts of laws.

10. Document Retention. In the course of the Firm’s representation of City of Milpitas, you may provide us with and we may obtain documents that are relevant to the representation. Some of those documents may be important to you and so that there is no confusion we find that it is useful at the inception of the representation for us to communicate our Document Retention Policy. Meyers Nave is committed to using less paper and eliminating unnecessary copies of documents. Documents of Record can be either hard copies or digital, regardless of the form they took originally when created or received by the Firm. Whenever it is proper and practicable, the Firm prefers Documents of Record (official version) to be in a digital format. Further, if record is stored electronically, then paper copies may be deemed duplicative and may be purged. This helps us manage information, helps the environment and helps us control costs. The materials pertaining to this matter belong to you and you may access them or have duplicates provided to you at any time during your representation with the exception of certain Meyers Nave Firm and accounting information.

At the conclusion of this matter, no further representation will be provided and we recommend that you make arrangements to retrieve all original documents.

It is the Firm’s general policy that we maintain records for a period of seven (7) years after conclusion of the matter, although due to certain practical considerations that is not always possible. Additionally, while we take steps to ensure that all records are held in strict

Michael Mutalipassi
August 6, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO confidence and maintained in a secure location, we cannot guarantee that something beyond our control will not occur resulting in damage to client records.

Thus, if in the course of our representation you provide us with original documents that you consider important or desire to keep, we recommend that, first, you inform us in writing that the documents are important. And second, we ask that you take immediate possession of such documents upon the conclusion of our representation. If we do not hear from you, we will generally retain only the documents and materials pertaining to this matter which we designate as vital for a period of seven (7) years. After which such documents will be destroyed unless, before that time, you notify us in writing that you wish to take possession of them.

11. Entire Agreement; Full Understanding; Modifications in Writing. This letter contains our entire agreement about our representation. Any modifications or additions to this letter agreement must be made in writing.

12. Joint Representation. Our firm maintains of counsel agreements with certain legal specialists. Because these individuals are deemed independent contractors under the applicable provisions of the tax laws and not employees of our firm, it is necessary that you consent to dual representation by our firm and the specialist in the event the matter which you have engaged us to handle requires the use of that specialist. This arrangement has no effect whatsoever on the cost of your legal services, rather it is an ethical requirement that we disclose this fact and that you consent. You are consenting by signing this letter.

13. Conflicts. Our firm represents many public agencies in California, Nevada and Arizona. Since 1986, we have represented over seven hundred public clients, including numerous cities, redevelopment agencies, special districts, counties and other public entities, and we are accepting new engagements all the time. It is virtually inevitable that we will work on projects from other clients having different governmental or political objectives, beliefs or views from City of Milpitas.

In view of the fact that City of Milpitas is a City, this letter confirms that the services which we are rendering to you are limited in scope and for the benefit of City of Milpitas only.

Meyers Nave performs a variety of professional services for its clients and it is possible that we will represent public agency clients which are adverse to you on other matters. To avoid potential problems, you agree that you expressly waive any actual or potential conflicts that might arise from such representation, that you will not attempt to disqualify Meyers Nave on such matters, and that our firm is free to represent its clients on such matters.

By signing this letter and returning it to us, you acknowledge that we have discussed these matters and you confirm that City of Milpitas does not object to our representation of clients on matters where their legal, governmental or political objectives and/or positions may be different from or adverse to those of City of Milpitas, and that City of Milpitas waives any conflict of interests with respect to our representation of such clients with differing legal,

Michael Mutalipassi
August 6, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO governmental or political interests. You further confirm that City of Milpitas will not assert any conflict of interest concerning such representation or attempt to disqualify this firm from representing such clients notwithstanding such adversity. While you would certainly be free to terminate our relationship, you agree that this firm nonetheless would be free to represent such clients even on those matters which you consider adverse, and that you waive any conflict of interest in connection therewith.

Needless to say, these acknowledgments do not permit our firm to represent another client in opposing the specific project for which you engage us without your specific written consent.

You may wish, and we encourage you, to consult legal counsel regarding the effect of this conflict waiver.

We would request that you review this letter carefully and, if it is consistent with your understanding of our respective responsibilities, please so indicate by returning a signed copy of this letter to me at your earliest convenience. Enclosed is an additional copy of this letter which you should retain for your records. Again, we thank you for allowing us the opportunity to serve as your lawyers.

Very truly yours,
Adam U. Lindgren
AUL:BQ
Enclosures
c: Conflicts Department
Billing Department

Michael Mutalipassi
August 6, 2024

A PROFESSIONAL CORPORATION OAKLAND LOS ANGELES SACRAMENTO SAN DIEGO These terms are accepted and agreed to as of the date of this letter.

By:

City of Milpitas
Michael Mutalipassi
City Attorney
By:

City of Milpitas
Ned P. Thomas
City Manager
5771837.1

ATTACHMENT 1

MEYERS NAVE

RATE SHEET
Sr. Principal $525
Principal $490
Sr. Of Counsel $455
Jr. Of Counsel $430
Sr. Associate $400
Mid-level Associate $370
Junior Associate $340
Sr. Paralegal $225
Paralegal $205
Law Clerk $220
Litigation Support Spec $270
Case Assistance $205
Our rates adjust every January 1st by the greater of 3% or the relevant local CPI increase over the prior 12-month period, rounded to the nearest $5.

ATTACHMENT 2

MEYERS NAVE

STATEMENT OF FEE AND BILLING INFORMATION
The following is a general description of our fee and billing policies. These general policies may be modified by the specific engagement letter or agreement to which this summary is attached.

Professional Fees. Our fees for professional services are based on the fair value of the services rendered. To help us determine the value of our services, our attorneys and paralegals maintain time records for each client and matter. Our attorneys and paralegals are assigned hourly rates which are based on years of experience, specialization, training and level of professional attainment. We adjust our rates periodically (usually at the beginning of each year) to take into account inflation and the increased experience of our professional personnel.

To keep professional fees at a minimum, legal work that does not require more experienced attorneys will be performed, where feasible, by attorneys with lower billing rates. Of course, the quality of the work is paramount, and we do not sacrifice quality to economy.

Before undertaking a particular assignment, we will, if requested, provide you with a fee estimate to the extent possible. Estimates are not possible for some matters, however, and cannot be relied on in many others because the scope of our work will not be clear at the outset. When a fee estimate is given, it is only an estimate; it is not a maximum or minimum fee quotation. The actual fee may be more or less than the quoted estimate.

Retainer. Our normal practice is to require a retainer to cover a portion of the anticipated attorneys’ fees and costs. Any retainer will be placed in the firm’s trust account. At the conclusion of our services, we will return to our client any unapplied retainer, after deducting payment for charges billed or to-be-billed for services and any remaining out-of-pocket expenses.

Billing And Payment Procedures. Unless other arrangements are made at the time of the engagement, invoices will be sent monthly. Invoices for outside services exceeding $100 may be billed separately. Occasionally, however, we may defer billing for a given month or months if the accrued fees and costs do not warrant current billing or if other circumstances would make it appropriate to defer billing.

Our invoices contain a brief narrative description of the work performed; if requested, the initials of the attorney who performed the work will appear on the statement. The invoice will include a line item reflecting in-house administrative costs. The firm’s in-house administrative costs include, but are not limited to, duplicating, facsimile charges, telephone charges, E-mail, postage, mileage and other administrative expenses. We have determined that the most effective method of accounting for these administrative costs is to charge a flat 5% of the professional fees incurred.

The firm will be reimbursed for all outside services incurred in the course of providing legal services to our client(s). Outside services will include, but are not limited to, all third-party expenses, delivery charges, travel expenses, outside research services, filing fees, expert witness and expert consultant fees. To defray the firm’s costs for administering these services, there will be an additional cost advance charge of 2% for all outside services of $100 or more.

If you have any questions regarding an invoice, the Finance Director or Executive Director is available to answer your questions. For any unresolved matters, the Bar Association has an arbitration mechanism that can be used to resolve such matters.

Late Payments. Statements for services are payable upon presentation and, in all events, within thirty (30) days after receipt. Occasionally a client has difficulty in making timely payments. To avoid burdening those clients who pay their statements promptly with the added costs we incur as a result of late payments, a late charge will be assessed on statements not paid within thirty (30) days. The maximum monthly late payment charge will be 1.5% per month. In the unlikely event we are required to institute legal proceedings to collect fees and costs, the prevailing party will be entitled to reasonable attorneys’ fees and other costs of collection.

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Approve Additions to the City Naming Lists for New Streets (Staff Contact:

Renee Lorentzen, Recreation and Community Services Director, 408-586-3409) Category: Consent Calendar-Leadership and Support Services Meeting Date: 8/13/2024
Recommendation: Approve the addition of Passage, Escapade, and Voyage to the City’s Naming List for Streets.

BACKGROUND:

The Milpitas City Council Ad Hoc Naming Subcommittee (Subcommittee) was formed to review and recommend the naming of City streets, parks and facilities for final City Council approval.

On September 25, 2023, the Subcommittee reviewed and recommended three (3) new names for the Naming List for Streets.

ANALYSIS:

Per the City of Milpitas Naming Policy, the process for naming of new streets, parks or facilities is:
• Recommendations shall be brought to the City Council Ad Hoc Naming Subcommittee for recommendation to the City Council.
• Naming recommendations shall be from the City Council approved List of Names. • Proposed names for new City streets, parks, and facilities should be considered during the entitlement process prior to the final map approval.
• Names being considered for streets shall be reviewed by the City and County emergency services dispatch and Post Office to discourage names too similar or confusing that may hinder emergency response or are otherwise inappropriate for public safety purposes.

On September 25, 2023, the Subcommittee reviewed proposed new street names for the Toll Brothers Geomax Development Project located at 675 Trade Zone Blvd., with frontage on 1951 Tarob Court. Proposed street names included Passage, Escapade, and Voyage. The three new street names are proposed to be consistent and create a theme with existing street names Journey and Trade Zone, which will be streets continued into the new residential development.

Per the City Streets, Parks and Facilities Naming Policy, the names qualify under Policy section:

2.7.1. Neighborhood or geographical identification, such as street, school, or other descriptive names; The City Council Ad Hoc Naming Subcommittee recommends:
1) Adding Passage, Escapade, and Voyage to the Naming List under 2.7.1, due to the existing street names and neighborhood theme consistency, for City Council final approval; and 2) Approving proposed street names for Geomax development for City Council final approval which is done through separate City Council action during the Geomax Development final map approval.

POLICY ALTERNATIVE(S):

Alternative 1: Not Approve the addition of names to the Naming List Pros: None

Cons: Proposed names, Passage, Escapade, and Voyage, qualify under the Naming Policy and will create a theme for street names and neighborhood identity.

Reason for Not Recommending: Proposed names qualify under the Naming Policy.

FISCAL IMPACT:

There is no fiscal impact associated with adding names to the City’s Naming Lists.

California Environmental Quality Act:

By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, this action does not qualify as a “project” for the purpose of CEQA.

RECOMMENDATION:

Approve the addition of Passage, Escapade, and Voyage to the City’s Naming List for Streets.

Attachment(s):
(a) City Council Ad Hoc Naming Subcommittee Meeting Minutes – September 25, 2023 (b) City Streets, Parks, and Facilities Naming Policy
(c) City Naming List for Streets

City of Milpitas

M I N U T E S
Ad Hoc Naming Subcommittee
Minutes: Ad Hoc Naming Subcommittee
Date of Meeting: September 25, 2023
Place of Meeting: Milpitas City Hall, 1st Floor Committee Conference Room A. Call to Order: Mayor Montano called the meeting to order at 4:00 p.m.

B. Flag Salute: The Subcommittee conducted the Flag Salute C. Public Forum None
D. Roll Call: City Council Present:

Carmen Montano – Mayor
Evelyn Chua – Vice Mayor
City Staff Present:

Renee Lorentzen - Director of Recreation and Community Services Brian Petrovic – Associate Civil Engineer
Roberto Alonzo – Public Works Manager
Ned Thomas – City Manager
Matt Cano – Deputy City Manager
Michael Mutalipassi – City Attorney
Justin Yount – Senior Public Services Assistant
E. Approval of Agenda
MOTION to approve the Agenda for September 25, 2023.

M/S: Montano/Chua Ayes: All
F. Approval of Minutes
MOTION to approve the Minutes from March 3, 2023, as submitted M/S: Chua/Montano Ayes: All
G. Discussion Items

1. Geomax Development Street Names
Associate Civil Engineer Brian Petrovic presented PowerPoint slides on the Geomax Development which included three (3) new and proposed street names: Passage Street, Escapade Street, and Voyage Court which staff are recommending to be added to the Naming List.

MOTION to recommend adding Passage, Escapade, and Voyage to the Naming List.

M/S: Montano/Chua Ayes: All

MOTION to recommend proposed street names for Geomax development for City Council final approval.

M/S: Montano/Chua Ayes: All
H. Future Agenda Items
Fallen Veterans, New list, Themes
I. Adjournment
With there being no further business, the meeting was adjourned at 4:25 p.m.

CITY OF MILPITAS Revision Date
Original 04/21/2006
6/21/2022

CITY COUNCIL POLICY

1. PURPOSE

1.1. This Policy establishes the guidelines, criteria, and processes for naming City streets, parks, and other facilities.

1.2. This Policy is consistent with Milpitas Municipal Code, Title XI-1000 and Government Code Section 34093.

2. POLICY

2.1. The City shall have the sole authority and the City Council shall have the final authority to approve names of City Streets, Parks, and other Facilities.

2.2. The City Council Ad Hoc Naming Subcommittee shall evaluate names of City streets, parks and facilities, and shall make recommendations to the City Council.

2.3. Although the City will have full control and final decision-making authority on any names selected, public input will be received, and other names may be raised and requested to be considered by the City Council.

2.4. From time to time, the City Council shall approve names to be added to a list(s) of names suitable for streets, parks, and facilities.

2.5. No duplication of names within an asset type (i.e., park, facility, plaza) will be approved.

2.6. A deliberative process by City staff will be conducted to ensure that renaming of a street, park, and facility will not diminish the original justification for the name of the prior contributors. Parks and facilities named after individuals shall not be changed unless it is found that because of the individual’s character the continued use of their name would not be in the best interest of the community. Parks that have been named by deed restriction shall not be considered for renaming.

2.7. The following criteria and factors shall be considered with naming or renaming a street, park, or facility:

2.7.1. Neighborhood or geographical identification, such as street, school, or other descriptive names;

2.7.2. Natural or geological features of the area;

2.7.3. Historical or cultural significance: the name of a historical figure can be considered, if the figure had a significant and extraordinary historical influence on the area, state, national, or international level;
Policy No:

Click or tap here to enter
text.

CITY STREETS, PARKS AND

FACILITIES NAMING POLICY
Effective Date:
6/21/2022
Revision No:
1 Policy Administrator:

Recreation and Community Services
Next Review Due:

As needed
Related Policies and
Procedures:

Incorporates and
replaces SOP 1.3
Approved by:

Click or tap here to enter text.

Council meeting date, agenda item #, and
vote
Date Approved:
6/21/2022

CITY OF MILPITAS Revision Date
Original 04/21/2006
CITY STREETS, PARKS, AND FACILITIES NAMING POLICY / POLICY #

2.7.4. The name of any person or family that has made a significant impact in the community and/or in development of the street, park, or facility;

2.7.5. An individual or organization that contributed significantly to the acquisition or development of the park or facility to be named. This can include either a deed or substantial monetary contribution, or contribution toward the acquisition, and/or development of the park of facility. (Naming rights are not guaranteed if the donation is a dedication as required by the subdivision.)

2.7.6. The articulated preference of residents of the neighborhood surrounding the street, park, facility;

2.7.7. A name should represent community values and consider future generations and ethnic diversity;

2.7.8. If the name of an individual or family is to be considered, the use of such name shall have the approval of the individual (or his/her surviving family) or family when reasonably possible;

2.7.9. No seated elected official shall have their name added to a naming list or have a street, park or facility named after them while serving on the City Council.

2.7.10. Avoid confusing or similar sounding names (Public Safety Dispatch test);

2.7.11. Avoid changing street names along any continuous alignment (Continuity test).

2.8. Naming of parks and facilities near schools shall be coordinated with the Milpitas Unified School District as much as possible.

2.9. All naming and/or renaming of a park or facility will be set forth by a Council Resolution.

2.10. Should policy conflict with any City Ordinance, Code or other laws and regulations, the respective City Ordinance, Code or other laws and regulations shall prevail.

3. PROCEDURE

3.1. Maintaining a List of Names for Naming Streets, Parks, and Facilities.

3.1.1. The Recreation and Community Services Department shall maintain a List of Names for Naming Streets, Parks, and Facilities.

3.1.2. As needed, the Director of Recreation and Community Services shall bring additions to the List of Names for Naming Streets, Parks, and Facilities to Council for approval at any regular or special meeting.

3.2. Naming of Streets, Parks, and Facilities

3.2.1. City street, park and facilities naming recommendations shall be brought to the City Council Ad Hoc Naming Subcommittee for recommendation to the City Council and may be considered at any regular or special City Council meeting.”.

3.2.2. Naming recommendations shall be from the City Council approved List of Names available from the Director of Recreation and Community Services.

3.3. Proposed names for new City streets, parks, and facilities should be considered during the entitlement process prior to the final map approval.

3.4. Names being considered for streets shall be reviewed by the City and County emergency services dispatch and Post Office to discourage names that are too similar or confusing that may hinder emergency response; or are otherwise inappropriate for public safety purposes.

CITY OF MILPITAS
Revision Date
Original 04/21/2006
CITY STREETS, PARKS, AND FACILITIES NAMING POLICY / POLICY #

3.5. The following City Departments will contribute to the establishment and maintenance of databases for named streets, parks, and facilities:

3.5.1. Information and Technology Department – Maintain database of all City assets (streets, parks, and facilities)

3.5.2. Recreation and Community Services Department – Maintain Naming Lists, information about historical references, person’s full names, ancestry, dates of birth and death, and other information of interest about the person or group, and the significance of their name to Milpitas’ history and/or to that particular named asset.

3.5.3. Planning Department – Coordinate Street Naming related to new development, prepare, and maintain GIS databases for mapping of new facilities.

3.6. Renaming of a street, park, or facility

3.6.1. The renaming of a street, park, or facility may be initiated by City Council, City Commission, City staff, a group, or individuals.

3.6.2. The initiation of renaming by non-City organizations or individuals shall be made by participating during Public Forum at the appropriate advisory City Commission or City Council meeting.

3.6.3. The City Commission may place the request on the agenda for review of the proposed name(s), taking of public comment, and discussion of the renaming proposal consistent with this Policy.

3.6.4. When a City Commission considers the renaming proposal of a street, park, or facility, staff shall notify the surrounding neighborhood in a ¼ mile radius.

3.6.5. If the City Commission supports the renaming proposal, it will make a recommendation to the City Council for Council consideration.

3.7. The name of a park or facility that is sold, transferred to non-city ownership, or otherwise deemed to no longer be a City of Milpitas property, should be transferred to another location eligible for naming. Should there not be an appropriate location, the name shall be added to the appropriate Naming List for future use.

City of Milpitas
Facilities, Streets & Park Naming Subcommittee
Naming List – California Native Plants, Flowers, Trees
Approved for: Streets

1. Maple Maple Ave./N. Abbott Ave.

2. Paprika

3. Pomegranate

4. Terracotta Terracotta Ct./Dogwood Ct.

5. Beacon Beacon Dr./Canton Dr.

6. Chamise

7. Fern Family
a. Fernleaf Dr. Fernleaf Dr./ Sandisk Dr.

8. Snapdragon

9. Manzanita Manzanita Court/Blue Spruce Way

10. Poppy Family
a. Poppy Lane Poppy Ln./E. Calaveras Blvd.
b. Poppy Court Poppy Ct./Poppy Ln.

11. Sagebrush Sage Brush St./Milkweed

12. Finnis

13. Milkweed

14. Butterfly Weed

15. California Aster

16. Pacific Aster

17. Desert Holly

18. Coyote Brush

19. Chuparosa

20. Barberry

21. Goldenstar

22. Lily Family

23. Camas

24. Harebell

25. Berkeley Sedge

26. Anemone

27. Purple Owls Clover

28. Lilac

29. Redbud

30. Willow Willow Ave./N. Abbott Ave.

31. Rabbit Brush

32. Thistle Thistle Pl./Clover Cir.

33. Clarkia

34. Chinese Houses

35. Dogwood Dogwood Ct./Terracotta Ct.

NAME EXISTING STREET LOCATION

36. Sacred Thorn

37. Dichondra

38. Shooting Star

39. Bleeding Heart

40. Candleholder

41. Lance Leaf

42. Cactus

43. Canyon Prince

44. Desert Tea

45. Stream Orchid

46. Rabbit Brush

47. Yerba Santa

48. Buckwheat

49. St. Catherine's Lace

50. Golden Yarrow

51. Lizard Tail

52. Fremontea

53. Bush Family

54. Bedstraw

55. Snapdragon

56. Sunrose Sunrose Ct./Joshu Tree Ct.

57. Toyon

58. Coral Bells

59. Alumroot

60. Cardinal

61. Bridget Bloom

62. Wooly Rose

63. Desert Lavender – “Lavender” Lavender Loop/Currant Rd.

64. Iris

65. Scarlet Gilia

66. Walnut Walnut Dr./N. Abbott Ave.

67. Chuparosa

68. Goldfields

69. Mallow Family

70. Tidy Tips

71. El Tigre

72. Sage Sage Ct/Tarob Ct.

73. Tiger Lily Tiger Lily St./Sunflower Ln.

74. Western Flax

75. Bitterroot

76. Cardinal Flower

77. Honeysuckle

78. Water Primrose

79. Lupine

NAME EXISTING STREET LOCATION

80. Chamisso Bush

81. Catalina Ironwood

82. Laurel

83. Blazing Star

84. Wishbone Bush

85. Mustang Mint – “Mint” Mint Way/Cherry Cir.

86. Myrtle Myrtle Ln./Clover Cir.

87. Needlegrass

88. Beavertail

89. Pricklypear

90. Cactus

91. Clover Clover Cir/Myrtle Ln.

92. Redwood Sorrel

93. Palo Verde

94. Peony

95. Scarlet Bugler

96. Desert Bluebell

97. Fiesta Flower

98. Pine
a. Pinewood Way Pinewood Way/Fallen Leaf Dr.
b. Pinewood Court Pinewood Way/Pinewood Ct.
c. Pinehurst Court Pinehurst Ct./Tularcitos Dr.

99. Sycamore Sycamore Dr./Barber Ln.
100. Cottonwood Cottonwood Dr./Barber Ln.
101. Desert Peach
102. Desert Almond
103. Cherry Cherry Cir./Mint Way
104. Coffee Berry Coffee Berry Ln./Wild Rose Ln.
105. Red Berry Red Berry Ln./Sunflower Ln.
106. Lemonade Berry
107. Sugar Bush
108. Currant Family
a. Currant Currant Rd./Lavender Loop
109. Matilija Poppy
110. Wild Rose
111. Baja Rose
112. Chia
113. Sage Family
a. Sagemeadow Court Sagemeadow Ct./ Beresford Ct.
114. Mexican Elderberry
115. Checker
116. Catchfly
117. Grass Family

NAME EXISTING STREET LOCATION

118. Goldenrod
119. La Luna
120. Aster Family
121. Clover Clover Cir & Clover Ct.
122. Southern Cattail
123. Sunflower Sunflower Ln./S. Main St.
124. Wild Grape
125. Joshua Tree Joshua Tree Cir./Lundy Rd.
126. Nightshade Nightshade Rd./Garden St.
127. Oak
a. Oakhurst Way Oakhurst Way/Sandhurst Way
b. Oak Ridge Road Oak Ridge Rd./Calaveras Blvd.

NAME EXISTING STREET LOCATION

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Approve Updates to the Community Advisory Commission Bylaws Addendum, and Approve Changing the Commission Name (Staff Contact: Robert Musallam, Housing Official, 408-586-3275)
Category: Consent Calendar-Community Development
Meeting Date: 8/13/2024
Recommendation: (1) Approve updates to the Community Advisory Commission Bylaws Addendum; and (2) Approve the Commission name change to the Community Housing Commission.

BACKGROUND:

The Community Advisory Commission (CAC) serves as an advisory body on matters affecting Milpitas residents, especially those relating to community improvement. The CAC also evaluates and makes recommendations to the City Council on diverse issues including City-wide beautification, which includes community and neighborhood clean-ups and reviewing issues related to neighborhood abatement. CAC also advises City Council on recommended funding for the annual Community Development Block Grant program.

The City of Milpitas has 13 Commissions and Committees, appointed by the Mayor and City Council. Each Commission follows the guidelines set by the Commissioner Handbook, Standardized Commission Bylaws, individual Commission Bylaws Addendums, and annual Work Plans. Additionally, each Commission has a staff liaison available to provide staff support and work closely with the respective Chair to develop meeting agendas and any information gathered for the benefit of the Commissioners.

On August 21, 2018 the City Council approved the Commissioner Handbook (Handbook). The Handbook includes rules and procedures for Commissioners and Alternates, rules for attendance, protocols to be followed during a meeting, and annual work plans.

On April 16, 2019 the City Council approved standardized Bylaws and Individual Commission Bylaws Addendums. The Addendums capture each respective Commission’s advisory area, meeting date, time, and location, and any special membership requirements or recommended areas of interest. As needed, revisions to the Commissioner Handbook, Standardized Bylaws, and Bylaws Addendums are brought to the City Council for approval.

On October 17, 2023, the City Council approved the Community Advisory Commission’s Fiscal Year (FY) 2023-2024 Work Plan.

On April 2, 2024 Vice Mayor Evelyn Chua review changing the name and workplan of the CAC to focus more on housing items.

On June 11, 2024 the City Council directed staff to work on the potential name and workplan change as part of the quarterly priority setting city council item.

ANALYSIS:

The Community Advisory Commission (CAC) met 11 times during FY 2023-2024. As the longest running Commission, the CAC has advocated for Milpitas residents since July 20, 1954.

To align with city council direction from June 11, 2024, staff recommends amending the CAC Bylaws Addendum (Attachment 1). This amendment would include a change of the advisory area from “matters affecting Milpitas residents, especially those relating to community improvement, beautification, and Community Development Block Grant program funding” to “matters related to housing and social services.”

In conjunction with the above recommended change in the CAC Bylaws Addendum, staff recommends changing both the name and meeting frequency of the Commission. Staff recommends the name of the Community Advisory Commission be changed to the Community Housing Commission. Currently, the Commission meets on the 1st Wednesday of every month except July, for a total of 11 meetings per year. The Office of Housing is proposing changing the frequency to the 1st Wednesday of February, April, June, August, October, and December, for a total of 6 meetings per year.

Of the City’s 13 commissions, 5 of them meet 5 to 6 times a year. These commissions are the Senior Advisory, Veterans, Arts, Library and Education, and Public Safety and Emergency Preparedness. When looking at the City’s commission advisory areas, the CAC is more aligned with commissions that meet 5 to 6 times a year.

The Office of Housing also believes the reduction in meetings allows the Commission more time to connect with the community to better advise Housing staff and City Council on matters related to housing and social services.

POLICY ALTERNATIVE(S):

Alternative 1: Approve Commission name change, but do not approve updates to the Community Advisory Commission Bylaws.

Pros: The Community Advisory Commission name will reflect the change to a more Housing focused Commission workplan.

Cons: The advisory area will not be within the scope of work of the Office of Housing.

Reason not recommended: Aligning the CAC Advisory Area to the Office of Housing work plan creates a more effectively operating Commission.

FISCAL IMPACT:

There is no fiscal impact.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This item is not a project under the California Environmental Quality Act (CEQA) Guideline 15378(b) and the recommendations have no potential for causing a significant effect on the environment and are exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3).

RECOMMENDATION:

1. Approve Updates to the Community Advisory Commission Bylaws.

2. Approve Commission Name Change to Community Housing Commission ATTACHMENT(S):
(a): Community Advisory Commission Bylaws Addendum Change

CITY OF MILPITAS

COMMISSION
BYLAWS
Addendum: Community Housing Commission
The Community Advisory Commission was established by the Milpitas City Council on July 20, 1954. Effective August 13, 2024, the Commission will be renamed the Community Housing Commission.

Advisory Area
This Commission will advise Council on matters related to housing and social services.

Meetings
The Community Housing Commission shall hold meetings the 1st Wednesday of February, March, May, June, September, and December, at 7:00 PM at the Committee Conference Room in City Hall, or another designated location.

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Receive Report on Rent Relief Program, Approve an Agreement with FORWARD to Administer the Program, and Approve Programmatic Updates (Staff Contact: Robert Musallam, Housing Official, 408-586-3275) Category: Consent Calendar-Community Development
Meeting Date: 8/13/2024
Recommendation: (1) Receive report on Rent Relief Program, (2) approve transfer of $763,000 from the State Budget for Homelessness Prevention and Unhoused Services to the Rent Relief Program; (3) authorize the City Manager to execute a Professional Services Agreement, approved by the City Attorney, with FORWARD to administer the Rent Relief Program in an amount not-to-exceed $763,000, and (4) approve Rent Relief Programmatic updates.

BACKGROUND:

This report provides City Council a comprehensive overview of the City’s Rent Relief Program and seeks guidance on the next phase.

On October 15, 2019, City Council authorized the creation of a Pilot Rent Relief Program. The program was established to serve low- and moderate-income residents, families with dependent children, seniors, disabled individuals, victims of domestic violence, emancipated foster youth, and any resident occupying a subsidized unit. Each family can access up to $5,000 in rent relief, per year, for items such as rent, security deposit, domestic violence relocation, child and family homelessness relief, and Section 8 good faith deposits. As the COVID-19 pandemic began to impact the community in spring 2020, the City had already created the program and established processes, which provided much needed assistance to at-risk residents in Milpitas.

On June 15, 2021, City Council approved the fiscal year 2021-2022 Community Development Block Grant (CDBG) funding which allocated a total of $327,696 in rent relief funding to the Silicon Valley Independent Living Center (SVILC) as they were the administrator of the Pilot Rent Relief Program. By September 2021, the City allocated a total of $1,010,696 for rent relief since October 2019 from the Affordable Housing Fund, CDBG funding, and the competitive grant awards secured from the Santa Clara County Emergency Food and Shelter Program (EFSP). The initial rent relief program provided aid to over 100 Milpitas families and over 300 individuals.

On September 7, 2021, City Council authorized the modification of the Rent Relief Program to the Rent and Mortgage Relief Program funded by the American Rescue Plan Act. Of the $1,100,000 appropriated, $150,000 is being utilized to partially fund a 3-year limited term Administrative Analyst within the Housing Division. Of the remaining $950,000, $85,500 was used to fund FORWARD as the City’s program administrator. Per City Council direction, the remaining balance after program administration costs were accounted for, was split with 75% ($648,375) for rent relief and 25% ($216,125) for mortgage relief.

On April 16, 2024, City Council approved the transfer of mortgage relief funds to rent relief. The mortgage relief portion closed due to only receiving 12 mortgage relief applications by April 2024 and no disbursement of payment due to ineligibility. Ineligibility was due to households being current on payments, requesting more than the maximum payment allowed, or not being Milpitas residents. The City’s maximum of $15,000 in mortgage relief funds was created with the knowledge that the California Mortgage Relief Program is still open and provides up to $80,000 in mortgage relief.

In March 2022, the City requested support of one-time funding as part of the Fiscal Year 2022-2023 State budget through Assemblymember Alex Lee’s Office (Attachment 1). The funding request included establishing

a Milpitas resource center as a 2-year pilot program ($500,000), supporting the continuation and expansion of the City’s mobile shower and laundry services, twice a week, for a period of 3 years ($300,000), and providing rent relief to vulnerable Milpitas residents ($700,000). In fall 2022, the City received notification of the award of state funding, through Assemblymember Lee’s Office, in the amount of $1,500,000 for housing related programs and services, which was incorporated into the City’s Fiscal Year 2023-2024 Budget On September 6, 2022, the City Council accepted the Homelessness Prevention and Unhoused Services grant awarded by the Office of Assemblymember Alex Lee through the Fiscal Year 2022-2023 State budget. The City received the funding in March 2023.

On June 6, 2023, through the Adopted FY23-24 Budget, City Council approved $150,000 of the $1,500,000 to continue WeHOPE’s weekly mobile shower and laundry services. The approval was done through the City’s budget process.

On October 3, 2023, staff brought City Council preliminary research on the various homelessness prevention and unhoused services options to meet the intent of the initial funding request. This included discussion about a day/worker center vs a navigation center, a safe parking program, and interim housing. The purpose of the meeting was to inform City Council of potential options for the unused Homelessness Prevention and Unhoused Services grant monies in addition to getting feedback and direction on a new housing program known as the Workforce Housing Rental Assistance Program. No direction on the use of the remaining Homelessness Prevention and Unhoused Services grant was given.

ANALYSIS:

In December 2022, the City’s rent relief portion of its newly revamped Rent and Mortgage relief program began accepting referrals and applications.

Current Rent Relief Requirements

1. Milpitas households are eligible to receive up to $5,000 per calendar year.

2. Applicants must prove they have been negatively impacted by the COVID-19 pandemic, unless exempted by City staff.

3. Have been a resident of Milpitas for at least six (6) months.

4. Must be located within the city limits of Milpitas, California (address cannot be a PO Box or an address that leads to a shipping center as their physical location). Verified using the City’s Geographic Information System (GIS).

5. Is at or below 120% of the Area Median Income (AMI) using the United States Department of Housing and Urban Development.

6. Eligible Use of Funds:
a. Rent/Deposit Relief
b. Eviction Prevention:
c. Domestic Violence Relocation:
d. Child & Family Homelessness Relief:
e. Section 8 Good Faith Deposits:

Recommended Policy Changes

1. Remove the requirement that households must be negatively impact by the COVID-19 pandemic

2. Allow households seeking emergency relief flexibility in demonstrating residency qualification has been met.
a. The City’s current program specifies that a PO box cannot be used as an address. For some of our Milpitas residents, they are seeking rent relief post eviction. Flexibility allows the program administrator and City staff to seek other methods for demonstrating residency such as Department of Motor Vehicle issued license or identification card, Santa Clara Homeless Management Information System history, and proof of children under 18 being registered in a Milpitas school.

3. Change Income Area Median Income (AMI) requirements from 120% of the AMI as defined by the United States Department of Housing and Urban Development (HUD) to 120% of the AMI as defined by the California Housing and Community Development (HCD).

a. Current Rent Relief Program is funded through the American Rescue Plan Act, whereas the new funding was allocated from the state budget.
b. Utilizing HCD’s income limits instead of HUD will have minimal impacts. However, the change will allow more people to be eligible. Please see Tables 1 and 2 below for the AMI differences.

4. Recategorize Child and Homelessness Relief to Homeless Relief for vulnerable persons identified below:
a. This category would allow rent relief funds to provide temporary housing to our most vulnerable residents, as the City works with households to find a permanent solution b. Eligible households include:
i. Families with children under 18 who are experiencing homelessness, at-risk homelessness, or have a foster child
ii. Households with pregnant individuals
iii. Disabled Individuals
iv. Emancipated Foster Youth
v. Households comprised solely of adults 50 years of age or older, which aligns with the Senior Center definition of Seniors.

Table 1: United States Department of Housing and Urban Development 2024 Santa Clara County 120% Area Median Income Limits
Household Size 1 2 3 4 5 6
120% AMI $153,450 $175,350 $197,250 $219,150 $236,700 $254,250 Table 2: California Department of Housing and Community Development 2024 Santa Clara County 120% Area Median Income Limits
Household Size 1 2 3 4 5 6
120% AMI $154,800 $176,900 $199,050 $221,150 $238,850 $256,550 Tenant Data
Of the 157 households that have received rent relief as part of the Rent and Mortgage Relief Program, 80% are considered extremely low or very low- income households, as defined by HUD. The average household who received rent relief was a household of 3, with an average income of $52,209.43. The average amount of rent relief received was $3,743.41. For a family of 3, the average household would be considered very lowincome. The table below provides the maximum allowable income, by the number of persons in the household, for each extremely low and very low-income household.

Persons in Household 3 4
Extremely Low $49,800 $55,300
Very Low $82,950 $92,150
HUD defines a household as rent-burdened when they spend 30% or more of their gross income on housing.

For households that spend 50% or more of their gross income on housing, they are considered severely rent burdened. The table below shows the average rent of varying unit sizes and what a rent burdened and severely rent burdened household’s income would be.

Unit Size Average Cost Rent Burdened
Income Range
Severely Rent Burdened
Income Range
1BR $2,698 $107,920 or less $64,752 or less
2BR $3,500 $140,000 or less $84,000 or less
3BR $3,900 $156,000 $93,600 or less
Source: https://www.zillow.com/rental-manager/market-trends/milpitas-ca/?bedrooms=0 The two tables above demonstrate that the average Milpitas rent relief recipient (a household of 3 and income of $52,209.43) is severely rent burdened.

Of the 157 households who received rent relief, approximately 78% lived in apartments while the remaining 22% lived-in single-family homes. The actual cost, household size, income, and average assistance across unit sizes can be seen in the table below. While the number does not total to 157, this is due to some households living in a studio or a greater unit size than a 3-bedroom. Staff would also like to note while there can be a variance in the price between an apartment and a house of the same bedroom size, staff believes the averages listed here are representative of the costs incurred to rent each unit size.

Unit Size Average
Cost
Average
Household
Size
Number of
Households
Average
Income
Average
Assistance
Amount
1BR $1,983.75 2 50 $38,148.41 $3,883.99
2BR $2,199.73 3 73 $50,876.60 $4,146.95
3BR $2,219.75 4 32 $72,061.12 $4,139.62
Note: the number does not total 159 due to household outliers living in units with no bedrooms and 4+bedrooms The information indicates that the average household receiving rent relief lives in a unit with below average rent compared to the average cost of a unit with an equivalent number of same bedrooms. The information also underscores that 78% of Milpitas rent relief recipients live in a one- or two-bedroom unit and the average household in either of those units are severely rent burdened meaning they pay over 50% of their gross monthly income on housing costs. In other words, despite paying less than the average rental rates for their unit, most of these tenants are still rent burdened.

It is important to note that due to the unaffordable cost of housing, many families are forced to live in less common living situations such as garages, renting single or multiple rooms within a home, converted garages, ADUs, and other alternative living accommodations, including but not limited to RVs and vehicles. Additionally, many households experience things such as overcrowding. One methodology used to measure overcrowding is assessing the number of persons per bedroom (PPB) residing in each unit. PPB determines that overcrowding occurs when there are more than 2 people per bedroom residing in a unit.1 The table below demonstrates what the average household size is per the three most common unit sizes and the highest reported occupants for each unit size.

Unit Size Average
Household Size
Highest Reported
Occupants
1BR 2 4
2BR 3 6
3BR 4 6
Next Steps
The data provided above demonstrates that Milpitas households continue to need rental relief. The City Council’s continual investment in rent relief through different sources of funding has been a lifeline for many families. Staff provided the table below to demonstrate the total households who received rent relief through the Rent and Mortgage Relief Program. While the 2023 and partial 2024 numbers indicate a total of 211 households, 54 were households that needed rent relief in more than one calendar year. This means that 157 unduplicated Milpitas households needed rent relief, and that approximately 34% of all recipients needed rent relief the following calendar year.
2023 January 1 2024 –
July 31 2024
Total Duplicated Total Unduplicated
Total
Recipients
99 112 54 58
Average
Rental
Assistance
$3,456.46 $3,561.00 $3,221.58 $3,877.02
1 https://www.huduser.gov/publications/pdf/measuring_overcrowding_in_hsg.pdf

Total
Assistance
Provided
$359,720.33 $421,229.82 $180,549.45 $237,323.34
Please note: all unduplicated households are households that came back for more rent relief the following calendar year To ensure the program continues to benefit the most at-risk residents, staff is recommending the following programmatic updates:

1. Remove the Mortgage Relief portion of the program name

2. Remove the requirement that households must be negatively impact by the COVID-19 pandemic

3. Allow households seeking emergency relief flexibility in demonstrating residency qualification has been met.

4. Change Area Median Income (AMI) requirements from 120% of the AMI as defined by the United States Department of Housing and Urban Development (HUD) to 120% of the AMI as defined by the California Housing and Community Development (HCD).

5. Recategorize Child and Homelessness Relief to Homeless Relief for vulnerable persons identified below:
a. Families with children under 18 who are experiencing homelessness, at-risk homelessness, or have a foster child
b. Households with pregnant individuals
c. Disabled Individuals
d. Emancipated Foster Youth
e. Households comprised solely of adults 50 years of age or older, which aligns with the Senior Center definition of Seniors.

Additionally, staff recommends keeping the maximum eligible relief amount at $5,000 per household per year.

While the average rent assistance of $3,741 may be lower than the $5,000 maximum, around 40% of recipients, on average, need more than the maximum. Reducing the eligible maximum would increase the staff time spent on administering the program with FORWARD.

Staff also recommends continuing its partnership with FORWARD to administer the program. FORWARD has been successful in monitoring the program, determining eligibility, updating staff, and sending out payments.

Lastly, as of July 30, 2024, over $750,000 in rent relief funds has been distributed through the City’s Rent and Mortgage Relief Program. Even with the additional mortgage relief program funding approved by Council in April 2023, the current rent relief program has approximately $50,000 left. Rent Relief trends indicate that the City issues approximately $45,000 every month with an expectancy of all current rent relief funds to be spent by October 2024.

The ability to distribute rent relief is dependent on funding. While the program is permanent, available funding may not be. As such, staff is recommending allocating $763,000 of the $1,500,000 in Assemblymember Alex Lee grant funding to rent relief. The breakdown in costs would be $700,000 for direct rent relief and $63,000 to compensate FORWARD as program administrator. Staff anticipate the additional $700,000 would provide over 15 months of funding and should fund households through December 2025. If City Council decides to allocate $763,000 to rent relief, then the state grant will have a remaining unallocated total of $587,000.

POLICY ALTERNATIVE(S)
Alternative 1: Approve rent relief programmatic updates, but do not approve allocation of funds from the Homelessness Prevention and Unhoused Services grant.

Pros: Funding allocated for this service can be reallocated to other programs and/or initiatives.

Cons: The City is projected to run out of rent relief funds and no other funding source has been identified.

Reason not Recommended: Rent relief is an effective homeless prevention strategy that affords household the emergency financial support needed to minimize the likelihood of becoming homeless.

FISCAL IMPACT:

If this item is approved, the fiscal impact to the City will be $763,000 in Homelessness Prevention and Unhoused Services grant funds. With this expenditure, the remaining balance of the grant received from the Office of Assemblymember Alex Lee will be $587,000.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This item is not a project under the California Environmental Quality Act (CEQA) Guideline 15378(b) and the recommendations have no potential for causing a significant effect on the environment and are exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3).

RECOMMENDATION(S):

1. Receive Report on Rent Relief Program.

2. Approve Transfer of $763,000 from the State Budget for Homelessness Prevention and Unhoused Services to Rent Relief Program.

3. Authorize City Manager to Execute a Professional Services Agreement, approved by the City Attorney, with FORWARD with a to not exceed amount of $763,000.

4. Approve Rent Relief Programmatic Updates.

ATTACHMENT(S):
(a) One-Time State Funding Request Letter for Homelessness Prevention and Unhoused Services Grant (b) Budget Change Form

455 EAST CALAVERAS BOULEVARD, MILPITAS, CALIFORNIA 95035-5479 PHONE: 408-586-3059, www.ci.milpitas.ca.gov
March 28, 2022
Honorable Assemblymember Alex Lee via E-mail:
1313 North Milpitas Boulevard [email protected]
Suite #255
Milpitas, CA 95035
RE: City of Milpitas’ One-Time State Funding Requests
Honorable Assemblymember Lee,
Per our conversation, and on behalf of the City of Milpitas, I am requesting your support of onetime funding as part of the FY 2022-23 State budget for the following three projects.

Cardoza Park Softball Fields Improvement
The Milpitas North Valley Police Athletic League Softball League, formerly known as Milpitas North Valley Bobby Sox, has offered inclusive softball activities for 400 Milpitas youth annually for 24 years focusing on giving young girls in our community the confidence and leadership skills to succeed in life, while also being active and healthy using the fundamentals of athletics.

For most of the program’s life, it was held at the Russell Middle School Bobby Sox fields, owned the Milpitas Unified School District (MUSD). In 2021, MUSD started to renovate the Russel Middle School fields for multi-use play with a track, soccer field, and small softball field. To support the continuation of softball league activities, the City temporarily transitioned the PAL Softball Program to Dixon Landing Park Sports fields. Aside from the youth players and their families, thousands of interleague players and spectators stretching from San Lorenzo to the Central Valley, visit Milpitas for team play, scrimmages, and tournaments.

In December 2021, the City Council approved the City’s Parks Master Plan, which provides for four softball fields to ensure a permanent home for Milpitas softball activities. As part of the FY 2023-2027 Capital Improvement Program, the City Council will allocate $500,000 to fund the design of the project. The cost for construction is estimated at $7 million. The City requests support for all or a portion of the estimated construction cost.

Bike Lane Facilities Enhancement
The City Council is scheduled to approve the City of Milpitas Climate Action Plan in June 2022.

In 2019, approximately 60% of Green House Gas emissions were related to on-road vehicle traffic. To encourage greater mode shift from motorized vehicle travel, the city desires improving existing bicycle facilities to promote multi-modal nature of roadways and increase bicyclist comfort. The City maintains stripping for approximately 26 miles of bike lanes (Class II bike lanes); however, the vast majority of these lanes do not have the green-colored pavement

C ITY OF M ILPITAS

O FFICE OF M AYOR R ICH T RAN

City of Milpitas’ One-Time State Funding Requests Page 2 of 2 March 28, 2022
identifying potential areas of conflict, which are typically close to intersections, or other protective measures.

In order to support safer bicycle traffic, the City requests funding in the amount of $1,000,000.

This allocation would support upgrading existing bike lane infrastructure with green-colored pavement at intersections and through conflict areas, establish green-colored intersection bike boxes, buffered bike lanes, and/or separated bikeways marked with bollards, posts, or on-street parking.

Homelessness Prevention and Unhoused Services
Affordable Housing policies and programs and services for the unhoused are a high priority for the City Council. On March 1, 2022, the City Council provided input on the recently completed Homelessness Task Force report and individual members of the Council expressed interest in several items such as a homelessness help center, safe parking areas, prevention programs, a day worker center, a feasibility study for a navigation center, a dumpster or trash cans and expansion of the City’s mobile shower and laundry services. The City also contracts with Santa Clara County to provide outreach and assessment services to the unhoused population in Milpitas. Some of the services currently funded by the City draw upon various one-time funding sources. In order to continue to serve those at risk of homelessness and the unhoused population, the City requests funding in the amount of $1,500,000. This allocation would support continuing and expanding the City’s mobile shower and laundry services, twice a week, for a period of 3 years ($300,000), establish a Milpitas Resource Center as a 2-year pilot program ($500,000), and provide rent relief to vulnerable Milpitas residents ($700,000).

On behalf of the City of Milpitas and its residents, I appreciate your consideration and support for the three funding requests. For questions regarding these requests, please contact Ashwini Kantak, Assistant City Manager, at [email protected] or 408-586-3053 or Walter C.

Rossmann, Deputy City Manager, at [email protected] or 408-586-3012.

Sincerely,
Rich Tran, Mayor
City of Milpitas
C: Milpitas City Council
Steve McHarris, City Manager
Ashwini Kantak, Assistant City Manager
Walter C. Rossmann, Deputy City Manager

City of Milpitas, California

BUDGET CHANGE FORM
From (Credit) To (Debit)
Type of Change
Account Amount Account Amount
Check one:
 Budget
Appropriation
 Budget Transfer
218-3561 $763,000 218-118-4237 $763,000
Recommendation: (1) Receive report on Rent Relief Program, (2) approve transfer of $763,000 from the State Budget for Homelessness Prevention and Unhoused Services to the Rent Relief Program; (3) authorize the City Manager to execute a Professional Services Agreement with FORWARD to administer the Rent Relief Program in an amount not-toexceed $763,000, and (4) approve Rent Relief Programmatic updates.

BACKGROUND:

This report provides City Council a comprehensive overview of the City’s Rent Relief Program and seeks guidance on the next phase.

On October 15, 2019, City Council authorized the creation of a Pilot Rent Relief Program. The program was established to serve low- and moderate-income residents, families with dependent children, seniors, disabled individuals, victims of domestic violence, emancipated foster youth, and any resident occupying a subsidized unit. Each family can access up to $5,000 in rent relief, per year, for items such as rent, security deposit, domestic violence relocation, child and family homelessness relief, and Section 8 good faith deposits. As the COVID-19 pandemic began to impact the community in spring 2020, the City had already created the program and established processes, which provided much needed assistance to at-risk residents in Milpitas.

On June 15, 2021, City Council approved the fiscal year 2021-2022 Community Development Block Grant (CDBG) funding which allocated a total of $327,696 in rent relief funding to the Silicon Valley Independent Living Center (SVILC) as they were the administrator of the Pilot Rent Relief Program. By September 2021, the City allocated a total of $1,010,696 for rent relief since October 2019 from the Affordable Housing Fund, CDBG funding, and the competitive grant awards secured from the Santa Clara County Emergency Food and Shelter Program (EFSP) The initial rent relief program provided aid to over 100 Milpitas families and over 300 individuals.

On September 7, 2021, City Council authorized the modification of the Rent Relief Program to the Rent and Mortgage Relief Program funded by the American Rescue Plan Act. Of the $1,100,000 appropriated, $150,000 is being utilized to partially fund a 3-year limited term Administrative Analyst within the Housing Division. Of the remaining $950,000, $85,500 was used to fund FORWARD as the City’s program administrator. Per City Council direction, the remaining balance after program administration costs were accounted for, was split with 75% ($648,375) for rent relief and 25% ($216,125) for mortgage relief.

On April 16, 2024, City Council approved the transfer of mortgage relief funds to rent relief. The mortgage relief portion closed due to only receiving 12 mortgage relief applications by April 2024 and no disbursement of payment due to ineligibility. Ineligibility was due to households being current on payments, requesting more than the maximum payment allowed, or not being Milpitas residents. The City’s maximum of $15,000 in mortgage relief funds was created with the knowledge that the California Mortgage Relief Program is still open and provides up to $80,000 in mortgage relief.

In March 2022, the City requested support of one-time funding as part of the Fiscal Year 2022-2023 State budget through Assemblymember Alex Lee’s Office (Attachment 1). The funding request included establishing a Milpitas resource center as a 2-year pilot program ($500,000), supporting the continuation and expansion of the City’s mobile

shower and laundry services, twice a week, for a period of 3 years ($300,000), and providing rent relief to vulnerable Milpitas residents ($700,000). In fall 2022, the City received notification of the award of state funding, through Assemblymember Lee’s Office, in the amount of $1,500,000 for housing related programs and services, which was incorporated into the City’s Fiscal Year 2023-2024 Budget.

On September 6, 2022 the City Council accepted the Homelessness Prevention and Unhoused Services grant awarded by the Office of Assemblymember Alex Lee through the Fiscal Year 2022-2023 State budget. The City received the funding in March 2023.

On June 6, 2023, through the Adopted FY23-24 Budget, City Council approved $150,000 of the $1,500,000 to continue WeHOPE’s weekly mobile shower and laundry services. The approval was done through the City’s budget process.

On October 3, 2023, staff brought City Council preliminary research on the various homelessness prevention and unhoused services options to meet the intent of the initial funding request. This included discussion about a day/worker center vs a navigation center, a safe parking program, and interim housing. The purpose of the meeting was to inform City Council of potential options for the unused Homelessness Prevention and Unhoused Services grant monies in addition to getting feedback and direction on a new housing program known as the Workforce Housing Rental Assistance Program. No direction on the use of the remaining Homelessness Prevention and Unhoused Services grant was given.

ANALYSIS:

In December 2022, the City’s rent relief portion of its newly revamped Rent and Mortgage relief program began accepting referrals and applications.

Current Rent Relief Requirements

1. Milpitas households are eligible to receive up to $5,000 per calendar year.

2. Applicants must prove they have been negatively impacted by the COVID-19 pandemic, unless exempted by City staff.

3. Have been a resident of Milpitas for at least six (6) months.

4. Must be located within the city limits of Milpitas, California (address cannot be a PO Box or an address that leads to a shipping center as their physical location). Verified using the City’s Geographic Information System (GIS).

5. Is at or below 120% of the Area Median Income (AMI) using the United States Department of Housing and Urban Development.

6. Eligible Use of Funds:
a. Rent/Deposit Relief
b. Eviction Prevention:
c. Domestic Violence Relocation:
d. Child & Family Homelessness Relief:
e. Section 8 Good Faith Deposits:

Recommended Policy Changes

1. Remove the requirement that households must be negatively impact by the COVID-19 pandemic

2. Allow households seeking emergency relief flexibility in demonstrating residency qualification has been met.
a. The City’s current program specifies that a PO box cannot be used as an address. For some of our Milpitas residents, they are seeking rent relief post eviction. Flexibility allows the program administrator and City staff to seek other methods for demonstrating residency such as Department of Motor Vehicle issued license or identification card, Santa Clara Homeless Management Information System history, and proof of children under 18 being registered in a Milpitas school.

3. Change Income Area Median Income (AMI) requirements from 120% of the AMI as defined by the United States Department of Housing and Urban Development (HUD) to 120% of the AMI as defined by the California Housing and Community Development (HCD). a. Current Rent Relief Program is funded through the American Rescue Plan Act, whereas the new funding was allocated from the state budget.
b. Utilizing HCD’s income limits instead of HUD will have minimal impacts. However, the change will allow more people to be eligible. Please see Tables 1 and 2 below for the AMI differences.

4. Recategorize Child and Homelessness Relief to Homeless Relief for vulnerable persons identified below:
a. This category would allow rent relief funds to provide temporary housing to our most vulnerable residents, as the City works with households to find a permanent solution b. Eligible households include:
i. Families with children under 18 who are experiencing homelessness, at-risk homelessness, or have a foster child
ii. Households with pregnant individuals
iii. Disabled Individuals
iv. Emancipated Foster Youth
v. Households comprised solely of adults 50 years of age or older, which aligns with the Senior Center definition of Seniors.

Table 1: United States Department of Housing and Urban Development 2024 Santa Clara County 120% Area Median Income Limits
Household Size 1 2 3 4 5 6
120% AMI $153,45
0 $175,350 $197,250 $219,150 $236,700 $254,250
Table 2: California Department of Housing and Community Development 2024 Santa Clara County 120% Area Median Income Limits
Household Size 1 2 3 4 5 6
120% AMI $154,80
0 $176,900 $199,050 $221,150 $238,850 $256,550
Tenant Data
Of the 150+ households that have received rent relief as part of the ARPA funded Rent and Mortgage Relief Program, 80% are considered extremely low or very low- income households, as defined by HUD. The average household who received rent relief was a household of 3, with an average income of $52,209.43. The average amount of rent relief received was $3,743.41. For a family of 3, the average household would be considered very low-income. The table below provides the maximum allowable income, by the number of persons in the household, for each extremely low and very low-income household.

Persons in Household 3 4
Extremely Low $49,800 $55,300
Very Low $82,950 $92,150
HUD defines a household rent-burdened when they spend 30% or more of their gross income on housing. For households that spend 50% or more of their gross income on housing, they are considered severely rent burdened. The table below shows the average rent of varying unit sizes and what a rent burdened and severely rent burdened household’s income would be.

Unit Size Average Cost Rent Burdened
Income Range
Severely Rent Burdened
Income Range
1BR $2,698 $107,920 or less $64,752 or less
2BR $3,500 $140,000 or less $84,000 or less
3BR $3,900 $156,000 $93,600 or less
Source: https://www.zillow.com/rental-manager/market-trends/milpitas-ca/?bedrooms=0 The two tables above demonstrate that the average Milpitas rent relief recipient (a household of 3 and income of $52,209.43) is severely rent burdened.

Of the 159 households who received rent relief, approximately 122 lived in apartments and 34 lived-in single-family homes. The actual cost, household size, income, and average assistance across unit sizes can be seen in the table

below. And while there can be a variance in the price between an apartment and a house of the same bedroom size, staff believes the averages listed here are representative of the costs incurred to rent each unit size.

Unit Size Average
Cost
Average
Household
Size
Number of
Households
Average
Income
Average
Assistance
Amount
1BR $1,983.75 2 50 $38,148.41 $3,883.99
2BR $2,199.73 3 73 $50,876.60 $4,146.95
3BR+ $2,219.75 4 32 $72,061.12 $4,139.62
Note: the number does not total 159 due to household outliers living in units with no bedrooms and 4+bedrooms The information indicates that the average household receiving rent relief lives in a unit with below average rent compared to the average cost of a unit with an equivalent number of same bedrooms. The information also underscores that 78% of Milpitas rent relief recipients live in a one- or two-bedroom unit and the average household in either of those units are severely rent burdened meaning they pay over 50% of their gross monthly income on housing costs. In other words, despite paying less than the average rental rates for their unit, most of these tenants are still rent burdened.

It is important to note that due to the unaffordable cost of housing, many families are forced to live in less common living situations such as garages, renting single or multiple rooms within a home, converted garages, ADUs, and other alternative living accommodations, including but not limited to RVs and vehicles. Additionally, many households experience things such as overcrowding. One methodology used to measure overcrowding is assessing the number of persons per bedroom (PPB) residing in each unit. PPB determines that overcrowding occurs when there are more than 2 people per bedroom residing in a unit.1 The table below demonstrates what the average household size is per the three most common unit sizes and the highest reported occupants for each unit size.

Unit Size Average
Household Size
Highest Reported
Occupants
1BR 2 4
2BR 3 6
3BR 4 6
Next Steps
The data provided above demonstrates that Milpitas households continue to need rental relief. The City Council’s continual investment in rent relief through different sources of funding has been a lifeline for many families. Of the 159 households that received rent relief assistance, 59 separate households have asked for over $5,000 in assistance. This means while the average rental assistance given was $3,743.41, over 37% of the total recipients needed more than the maximum assistance of $5,000 per calendar year.

As the City has partnered with FORWARD to administer the program for approximately the last 2 years, the City has identified 46 households have utilized the rent relief program in 2 separate calendar years. Out of the 46 total, 33 households had previously received less than $5,000 in rent relief. This means they did not hit the max available in the previous year. However, 11 of the 46 households, did reach the maximum in 2023 and sought rent relief in 2024.

To ensure the program continues to benefit the most at-risk residents, staff is recommending the following programmatic updates:

1. Remove the Mortgage Relief portion of the program name

2. Remove the requirement that households must be negatively impact by the COVID-19 pandemic

3. Allow households seeking emergency relief flexibility in demonstrating residency qualification has been met.

4. Change Area Median Income (AMI) requirements from 120% of the AMI as defined by the United States Department of Housing and Urban Development (HUD) to 120% of the AMI as defined by the California Housing and Community Development (HCD).

5. Recategorize Child and Homelessness Relief to Homeless Relief for vulnerable persons identified below:
1 https://www.huduser.gov/publications/pdf/measuring_overcrowding_in_hsg.pdf

a. Families with children under 18 who are experiencing homelessness, at-risk homelessness, or have a foster child
b. Households with pregnant individuals
c. Disabled Individuals
d. Emancipated Foster Youth
e. Households comprised solely of adults 50 years of age or older, which aligns with the Senior Center definition of Seniors.

Additionally, staff recommends keeping the maximum eligible relief amount at $5,000 per household per year. While the average rent assistance of $3,741 may be lower than the $5,000 maximum, around 40% of recipients, on average, need more than the maximum. Reducing the eligible maximum would increase the staff time spent on administering the program with FORWARD.

Staff also recommends continuing its partnership with FORWARD to administer the program. FORWARD has been successful in monitoring the program, determining eligibility, updating staff, and sending out payments.

Lastly, as of July 30, 2024, over $750,000 in rent relief funds has been distributed through the City’s Rent and Mortgage Relief Program. Even with the additional mortgage relief program funding approved by Council in April 2023, the current rent relief program has approximately $50,000 left. Rent Relief trends indicate that the City issues approximately $45,000 every month with an expectancy of all current rent relief funds to be spent by Q2 of fiscal year 2024-2025.

The ability to distribute rent relief is dependent on funding. While the program is permanent, available funding may not be. As such, staff is recommending allocating $763,000 of the $1,500,000 in Assemblymember Alex Lee grant funding to rent relief. The breakdown in costs would be $700,000 for direct rent relief and $63,000 to compensate FORWARD as program administrator. Staff anticipate the additional $700,000 would provide over 15 months of funding and should fund households through December 2025. If City Council decides to allocate $763,000 to rent relief, then the state grant will have a remaining unallocated total of $587,000.

POLICY ALTERNATIVE(S)
Alternative 1: Approve rent relief programmatic updates, but do not approve allocation of funds from the Homelessness Prevention and Unhoused Services grant.

Pros: Funding allocated for this service can be reallocated to other programs and/or initiatives.

Cons: The City is projected to run out of rent relief funds and no other funding source has been identified.

Reason not Recommended: Rent relief is an effective homeless prevention strategy that affords household the emergency financial support needed to minimize the likelihood of becoming homeless.

FISCAL IMPACT:

The City will utilize $763,000 from in Homelessness Prevention and Unhoused Services grant funds awarded by the Office of Assembly member Alex Lee. With this expenditure, the remaining balance of the grant received from the Office of Assemblymember Alex Lee will be $587,000.

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

This item is not a project under the California Environmental Quality Act (CEQA) Guideline 15378(b) and the recommendations have no potential for causing a significant effect on the environment and are exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3).

RECOMMENDATION(S):TReceive Report on Rent Relief Program.

1. Approve Transfer of $763,000 from the State Budget for Homelessness Prevention and Unhoused Services to Rent Relief Program.

2. Authorize City Manager to Execute a Professional Services Agreement with FORWARD with a to not exceed amount of $763,000.

3. Approve Rent Relief Programmatic Updates.

ATTACHMENT(S):
(a) One-Time State Funding Request Letter for Homelessness Prevention and Unhoused Services Grant (b) Budget Change Form

 Check if City Council Approval required. Meeting: August 13, 2024 Requested by: Department Head: Robert Musallam Date: August 13, 2024 Reviewed by: Finance Director: Luz Cofresí-Howe Date: August 13, 2024 Approved by: City Manager: Ned Thomas Date: August 13, 2024 Date approved by City Council, if required: Confirmed by:

FI/24786/V Form 30-222 (Rev. 1/92)

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Approve an Agreement with Peninsula Pump & Equipment Inc. for Wet Well Cleaning Services (Staff Contact: Christian Di Renzo, Public Works Director, 408-586-2602)
Category: Consent Calendar-Community Services and Sustainable Infrastructure Meeting Date: 8/13/2024
Recommendation: Approve and authorize the City Manager to execute an agreement with Peninsula Pump & Equipment Inc. for a five-year term in an amount not-to-exceed $324,060 to provide wet well cleaning services, subject to the annual appropriation of funds.

BACKGROUND:

The City operates and maintains seven (7) wet wells on its stormwater system. These wet wells are used as holding tanks for gravity-flow stormwater systems. Stormwater enters and is held in the wet well. Once set water levels are reached, pumps are triggered to engage and pump the stormwater out of the wet well and into nearby creeks and waterways. Solid material, dirt, and debris will often accumulate in the bottom of the wet well, which affects the performance of the stormwater system.

Annual maintenance services performed on City wet wells are essential to remove excessive sediment buildup to prevent pump failures and infrastructure damage, storm overflows and backups, and flooding. The services to be performed for each wet well encompass the complete removal of accumulated sediment and cleaning of storm pump station wet well floors and walls of unwanted materials, including debris, sand, trash, rubbish, and scum, including the off-haul and disposal of all materials cleaned out at the City’s storm pump stations.

On July 1, 2019, the City executed a contract with Peninsula Pump & Equipment Inc. to perform annual wet well maintenance services for a five-year contract term. The contract expired on June 30, 2024. To provide continued services, an Invitation to Bid (IFB) was issued to solicit bids from qualified contractors.

The proposed agreement would be for a five (5) year period, fixed-price contract for annual wet well cleaning services. By executing the agreement, all City wet wells will be well-maintained to prevent pump failure and infrastructure damage, storm overflows and backups, and flooding.

ANALYSIS:

On June 28, 2024, the Finance-Purchasing Division issued Invitation for Bid (IFB) 24-141 for Wet Well Cleaning Services. The IFB was publicly noticed in accordance with City Municipal code and advertised on the City’s website. A voluntary bid walk was held on July 10, 2024, with three (3) contractors in attendance. There were two bids received at the bid close on July 19, 2024. The bid from Peninsula Pump & Equipment Inc. was within the City’s estimate for these services and was determined to be the lowest responsive and responsible bidder.

Bidding Contractor Base Bid
Peninsula Pump & Equipment Inc. $324.060.00
Abel Septic Tank Service $941,141.54
The proposed agreement is for wet well rehabilitation and annual maintenance services for the City’s wet wells at the following pump stations:

1. Bellew Storm Pump Station - 481 Murphy Ranch Drive

2. McCarthy Ranch Storm Pump Station - 1001 North McCarthy Boulevard

3. Murphy Ranch Storm Pump Station - 801 Murphy Ranch Drive

4. Oak Creek Storm Pump Station - 1521 McCarthy Boulevard

5. Jurgens Storm Pump Station - 345 Jurgens Drive

6. Manor Storm Pump Station - 345 Marylinn Drive

7. Wrigley Ford Storm Pump Station - 75 Marylinn Drive
Staff recommends authorizing the City Manager to execute an agreement with Peninsula Pump & Equipment Inc. for a five-year agreement not-to-exceed $324,060 to provide wet well cleaning services.

POLICY ALTERNATIVE(S):

Alternative 1: Do not approve and authorize the City Manager to execute a maintenance service agreement with Peninsula Pump & Equipment Inc.

Pros: None.

Cons: Debris may build up from the rainy season, resulting in rising water levels in the wet wells. In addition, the City’s wet wells may experience costly emergency cleaning and a decrease in reliability supporting critical City facilities.

Reason for Not Recommending: Not proceeding with annual wet well cleaning services would affect the City’s seven (7) storm pump stations. By executing the agreement, all the wet wells will be well-maintained to prevent pump failure and infrastructure damage, storm overflows and backups, and flooding.

FISCAL IMPACT:

Sufficient funding is budgeted for wet well cleaning services in the FY 2024-25 Public Works Operating Budget.

Funding for the remaining years of this contract will be subject to appropriation of funds by Council during the annual budget process.

Contract Term Amount
Year 1 $62,880
Year 2 $62,880
Year 3 $65,400
Year 4 $65,400
Year 5 $67,500
Not-to-Exceed Amount $324,060
CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

The project entails the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public or private structures, facilities, mechanical equipment, or topographical features, involving negligible or no expansion of existing or former use and is exempt from CEQA pursuant to Cal. Code Regs., tit. 14, § 15301.

RECOMMENDATION:

Approve and authorize the City Manager to execute an agreement with Peninsula Pump & Equipment Inc. for a five-year agreement not-to-exceed $324,060 to provide wet well cleaning services, subject to annual appropriation of funds.

ATTACHMENT(S):

Agreement with Peninsula Pump & Equipment Inc. for Wet Well Cleaning Services

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1 CITY OF MILPITAS

MAINTENANCE SERVICES AGREEMENT
CONTRACT NO. 24-141

1. PARTIES AND DATE.

This Agreement is made and entered into this day of __________________ by and between the City of Milpitas, a municipal corporation organized under the laws of the State of California with its principal place of business at 455 E. Calaveras Boulevard, Milpitas, California 95035 (“City”) and Peninsula Pump & Equipment Inc., a California corporation with its principal place of business at 713 South Claremont Street, San Mateo, CA 94402 (“Contractor”). City and Contractor are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

2. RECITALS.

2.1 Contractor.

Contractor desires to perform and assume responsibility for the provision of certain maintenance services required by the City on the terms and conditions set forth in this Agreement. Contractor represents that it is experienced in providing Wet Well Cleaning Services to public clients, that it and its employees or subcontractors have all necessary licenses and permits to perform the Services in the State of California, and that is familiar with the plans of City. Contractor shall not subcontract any portion of the work required by this Agreement, except as expressly stated herein, without prior written approval of City. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement.

2.2 Project.

City desires to engage Contractor to render such services for the Wet Well Cleaning Services project (“Project”) as set forth in this Agreement.

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Contractor promises and agrees to furnish to the City all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply the professional Wet Well Cleaning Services maintenance services necessary for the Project (“Services”). The Services are more particularly described in Exhibit “A” attached hereto and incorporated herein by reference. All Services shall be subject to, and performed in accordance with, this Agreement, the exhibits attached hereto and incorporated herein by reference, and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term.

The term of this Agreement shall be from the Date First written above to August 30, 2029, unless earlier terminated as provided herein. The City reserves the right to review the Contractor’s performance at the end of each year and cancel all or part of the Agreement.

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2 Contractor shall perform its services in a prompt and timely manner and shall commence performance upon the Effective Date. Contractor shall complete the services required hereunder.

3.2 Responsibilities of Contractor.

3.2.1 Control and Payment of Subordinates; Independent Contractor. The Services shall be performed by Contractor or under its supervision. Contractor will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Contractor on an independent contractor basis and not as an employee. Contractor retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Contractor shall also not be employees of City and shall at all times be under Contractor’s exclusive direction and control. Contractor shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Contractor shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers’ compensation insurance.

3.2.2 Schedule of Services. Contractor shall perform the Services expeditiously, within the term of this Agreement, and in accordance with the Schedule of Services set forth in Exhibit “B” attached hereto and incorporated herein by reference. Contractor represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Contractor’s conformance with the Schedule, City shall respond to Contractor’s submittals in a timely manner. Upon request of City, Contractor shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services.

3.2.3 Conformance to Applicable Requirements. All work prepared by Contractor shall be subject to the approval of City.

3.2.4 City’s Representative. The City hereby designates Elaine Marshall, or his or her designee, to act as its representative for the performance of this Agreement (“City’s Representative”).

City’s Representative shall have the power to act on behalf of the City for all purposes under this Agreement. Contractor shall not accept direction or orders from any person other than the City’s Representative or his or her designee.

3.2.5 Contractor’s Representative. Contractor hereby designates Mark Victory, or his or her designee, to act as its representative for the performance of this Agreement (“Contractor’s Representative”). Contractor’s Representative shall have full authority to represent and act on behalf of the Contractor for all purposes under this Agreement. The Contractor’s Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Services under this Agreement.

3.2.6 Coordination of Services. Contractor agrees to work closely with City staff in the performance of Services and shall be available to City’s staff, consultants and other staff at all reasonable times.

3.2.7 Standard of Care; Performance of Employees. Contractor shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Contractor represents and maintains that it is skilled in the professional calling necessary to perform the Services.

Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to

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3 perform the Services assigned to them. Finally, Contractor represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the term of this Agreement. As provided for in the indemnification provisions of this Agreement, Contractor shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Contractor’s failure to comply with the standard of care provided for herein. Any employee of the Contractor or its sub-contractors who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City, shall be promptly removed from the Project by the Contractor and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.8 Period of Performance and Liquidated Damages. Contractor shall perform and complete all Services under this Agreement within the term set forth in Section 3.1.2 above (“Performance Time”). Contractor shall perform the Services in strict accordance with any completion schedule or Project milestones described in Exhibits “A” or “B” attached hereto, or which may be provided separately in writing to the Contractor. Contractor agrees that if the Services are not completed within the aforementioned Performance Time and/or pursuant to any such completion schedule or Project milestones developed pursuant to provisions of this Agreement, it is understood, acknowledged and agreed that the City will suffer damage.

3.2.9 Disputes. Should any dispute arise respecting the true value of any work done, of any work omitted, or of any extra work which Contractor may be required to do, or respecting the size of any payment to Contractor during the performance of this Agreement, Contractor shall continue to perform the Work while said dispute is decided by the City. If Contractor disputes the City’s decision, Contractor shall have such remedies as may be provided by law.

3.2.10 Laws and Regulations; Employee/Labor Certifications. Contractor shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with Services. If the Contractor performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the City, Contractor shall be solely responsible for all costs arising therefrom. City is a public entity of the State of California subject to certain provisions of the Health & Safety Code, Government Code, Public Contract Code, and Labor Code of the State. It is stipulated and agreed that all provisions of the law applicable to the public contracts of a municipality are a part of this Agreement to the same extent as though set forth herein and will be complied with. These include but are not limited to the payment of prevailing wages, the stipulation that eight (8) hours' labor shall constitute a legal day's work and that no worker shall be permitted to work in excess of eight (8) hours during any one calendar day except as permitted by law. Contractor shall defend, indemnify and hold City, its officials, officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

3.2.10.1 Employment Eligibility; Contractor. By executing this Agreement, Contractor verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time. Such requirements and restrictions include, but are not limited to, examination and retention of documentation confirming the identity and immigration status of each employee of the Contractor. Contractor also verifies that it has not committed a violation of

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4 any such law within the five (5) years immediately preceding the date of execution of this Agreement, and shall not violate any such law at any time during the term of the Agreement. Contractor shall avoid any violation of any such law during the term of this Agreement by participating in an electronic verification of work authorization program operated by the United States Department of Homeland Security, by participating in an equivalent federal work authorization program operated by the United States Department of Homeland Security to verify information of newly hired employees, or by some other legally acceptable method. Contractor shall maintain records of each such verification, and shall make them available to the City or its representatives for inspection and copy at any time during normal business hours. The City shall not be responsible for any costs or expenses related to Contractor’s compliance with the requirements provided for in Section 3.2.10 or any of its sub-sections.

3.2.10.2 Employment Eligibility; Subcontractors, Sub-subcontractors and Consultants. To the same extent and under the same conditions as Contractor, Contractor shall require all of its subcontractors, sub-subcontractors and consultants performing any work relating to the Project or this Agreement to make the same verifications and comply with all requirements and restrictions provided for in Section 3.2.10.1.

3.2.10.3 Employment Eligibility; Failure to Comply. Each person executing this Agreement on behalf of Contractor verifies that they are a duly authorized officer of Contractor, and understands that any of the following shall be grounds for the City to terminate the Agreement for cause:
(1) failure of Contractor or its subcontractors, sub-subcontractors or consultants to meet any of the requirements provided for in Sections 3.2.10.1 or 3.2.10.2; (2) any misrepresentation or material omission concerning compliance with such requirements (including in those verifications provided to the Contractor under Section 3.2.10.2); or (3) failure to immediately remove from the Project any person found not to be in compliance with such requirements.

3.2.10.4 Labor Certification. By its signature hereunder, Contractor certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers’ Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.

3.2.10.5 Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such nondiscrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

3.2.10.6 Air Quality. Contractor must fully comply with all applicable laws, rules and regulations in furnishing or using equipment and/or providing services, including, but not limited to, emissions limits and permitting requirements imposed by the California Air Resources Board (CARB).

Contractor shall specifically be aware of the CARB limits and requirements application to “portable equipment”, which definition is considered by CARB to include any item of equipment with a fuel-powered engine. Contractor shall comply with the CARB’s regulation regarding the use of off-road diesel fueled fleets, sections 2449, 2449.1, and 2449.2 of Title 13 of the California Code of Regulations. Contractor shall provide the City with a Certificate of Reported Compliance for all applicable vehicles used by Contractor or any subcontractor with diesel-fueled or alternative diesel fueled off-road compression-ignition engines with a maximum power of 25 horsepower or greater provided the vehicles cannot be registered and driven safely on-road or were not designed to be driven on-road, even if they have been modified so that they can be driven safely on road. Noncompliant fleets are prohibited from being used on the Project. Contractor shall indemnify City against any fines or penalties imposed by CARB, or any other governmental or

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5 regulatory agency for violations of applicable laws, rules and/or regulations by Contractor, it subcontractors or others for whom Contractor is responsible under its indemnity obligations provided for in this Agreement.

3.2.10.7 Water Quality.
(A) Management and Compliance. To the extent applicable, Contractor’s Services must account for, and fully comply with, all local, state and federal laws, rules and regulations that may impact water quality compliance, including, without limitation, all applicable provisions of the Federal Water Pollution Control Act (33 U.S.C. §§ 1300); the California Porter-Cologne Water Quality Control Act (Cal Water Code §§ 13000-14950); laws, rules and regulations of the Environmental Protection Agency and the State Water Resources Control Board; the City’s ordinances regulating discharges of storm water; and any and all regulations, policies, or permits issued pursuant to any such authority regulating the discharge of pollutants, as that term is used in the Porter-Cologne Water Quality Control Act, to any ground or surface water in the state. (B) Liability for Non-Compliance. Failure to comply with the laws, regulations and policies described in this Section is a violation of law that may subject Contractor or City to penalties, fines, or additional regulatory requirements. Contractor shall defend, indemnify and hold the City, its officials, officers, employees, volunteers and agents free and harmless, pursuant to the indemnification provisions of this Agreement, from and against any and all fines, penalties, claims or other regulatory requirements imposed as a result of Contractor’s non-compliance with the laws, regulations and policies described in this Section, unless such non-compliance is the result of the sole established negligence, willful misconduct or active negligence of the City, its officials, officers, agents, employees or authorized volunteers.
(C) Training. In addition to any other standard of care requirements set forth in this Agreement, Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them without impacting water quality in violation of the laws, regulations and policies described in this Section. Contractor further warrants that it, its employees and subcontractors will receive adequate training, as determined by City, regarding the requirements of the laws, regulations and policies described in this Section as they may relate to the Services provided under this Agreement. Upon request, City will provide Contractor with a list of training programs that meet the requirements of this paragraph.

3.2.11 Insurance. Contractor shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under Exhibit “D” (Insurance Requirements), attached hereto and incorporated herein by this reference. In addition, Contractor shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required therein.

3.2.12 Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Contractor shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and lifesaving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

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6 3.2.13 Bonds.

3.2.13.1Performance Bond. If required by law or otherwise specifically requested by City in Exhibit “D” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Performance Bond in the amount of the total, not-toexceed compensation indicated in this Agreement, and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until it has been received and approved by the City.

3.2.13.2Payment Bond. If required by law or otherwise specifically requested by City in Exhibit “D” attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Payment Bond in the amount of the total, not-to-exceed compensation indicated in this Agreement, and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until it has been received and approved by the City.

3.2.13.3Bond Provisions. Should, in City’s sole opinion, any bond become insufficient or any surety be found to be unsatisfactory, Contractor shall renew or replace the affected bond within 10 days of receiving notice from City. In the event the surety or Contractor intends to reduce or cancel any required bond, at least thirty (30) days prior written notice shall be given to the City, and Contractor shall post acceptable replacement bonds at least ten (10) days prior to expiration of the original bonds. No further payments shall be deemed due or will be made under this Agreement until any replacement bonds required by this Section are accepted by the City. To the extent, if any, that the total compensation is increased in accordance with the Agreement, the Contractor shall, upon request of the City, cause the amount of the bonds to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the City. To the extent available, the bonds shall further provide that no change or alteration of the Agreement (including, without limitation, an increase in the total compensation, as referred to above), extensions of time, or modifications of the time, terms, or conditions of payment to the Contractor, will release the surety. If the Contractor fails to furnish any required bond, the City may terminate this Agreement for cause.

3.2.13.4Surety Qualifications. Only bonds executed by an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120, shall be accepted. The surety must be a Californiaadmitted surety with a current A.M. Best’s rating no less than A:VIII and satisfactory to the City. If a California-admitted surety insurer issuing bonds does not meet these requirements, the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City.

3.2.14 Accounting Records. Contractor shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Contractor shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement.

Contractor shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three (3) years from the date of final payment under this Agreement.

3.3 Fees and Payments.

3.3.1 Compensation. Contractor shall receive compensation, including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit “C” attached hereto and incorporated herein by reference. The total compensation shall not exceed Three Hundred Twenty-Four Thousand Sixty Dollars and Zero Cents ($324,060.00) without written approval of City

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7 Manager. Extra Work may be authorized, as described below, and if authorized, will be compensated at the rates and manner set forth in this Agreement.

3.3.2 Payment of Compensation. Contractor shall submit to City a monthly itemized statement which indicates work completed and hours of Services rendered by Contractor. The statement shall describe the amount of Services and supplies provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the statement. City shall, within forty-five (45) days of receiving such statement, review the statement and pay all approved charges thereon.

3.3.3 Reimbursement for Expenses. Contractor shall not be reimbursed for any expenses unless authorized in writing by City.

3.3.4 Extra Work. At any time during the term of this Agreement, City may request that Contractor perform Extra Work. As used herein, “Extra Work” means any work which is determined by City to be necessary for the proper completion of the Project, but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Contractor shall not perform, nor be compensated for, Extra Work without written authorization from City’s Representative.

3.3.5 California Labor Code Requirements
a. Contractor is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require the payment of prevailing wage rates and the performance of other requirements on certain “public works” and “maintenance” projects (“Prevailing Wage Laws”). If the Services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. Contractor shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the Contractor and all subcontractors to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1). The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4.
b. If the Services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Contractor and all subcontractors performing such Services must be registered with the Department of Industrial Relations.

Contractor shall maintain registration for the duration of the Project and require the same of any subcontractors, as applicable. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.
c. This Agreement may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Contractor’s sole responsibility to comply with all applicable registration and labor compliance requirements. Any stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor that affect Contractor’s

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8 performance of Services, including any delay, shall be Contractor’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Contractor caused delay and shall not be compensable by the City. Contractor shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Contractor or any subcontractor.

3.4 Termination of Agreement.

3.4.1 Grounds for Termination. City may, by written notice to Contractor, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Contractor of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Contractor shall be compensated only for those services which have been adequately rendered to City, and Contractor shall be entitled to no further compensation.

Contractor may not terminate this Agreement except for cause.

3.4.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Contractor to provide all finished or unfinished Documents and Data and other information of any kind prepared by Contractor in connection with the performance of Services under this Agreement.

Contractor shall be required to provide such document and other information within fifteen (15) days of the request.

3.4.3 Additional Services. In the event this Agreement is terminated in whole or in part as provided herein, City may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.4.4 Agreement Subject to Appropriation of Funds. The Contractor understands and accepts that at all times; the Agreement is subject to appropriation of funds by the Milpitas City Council.

The Agreement may terminate without penalty, liability or expense of any kind to the City at the end of any fiscal year if funds are not appropriated for the next succeeding fiscal year. If funds are appropriated for a portion of the fiscal year, the Agreement will terminate, without penalty, liability or expense of any kind at the end of the term for which funds are appropriated. The City has no obligation to make appropriations for the Agreement in lieu of appropriations for new or other agreements. City budget decisions are subject to the discretion of the Mayor and City Council. Contractor’s assumption of risk of possible non-appropriation is a part of the consideration for the Agreement. This section controls against any and all other provisions of the Agreement

3.5 General Provisions.

3.5.1 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Contractor:

Peninsula Pump & Equipment Inc.
713 South Claremont Street
San Mateo, CA 94402
Attn: Mark Victory
City:

City of Milpitas

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9 455 E. Calaveras Boulevard
Milpitas, California 95035
Attn: Christian Di Renzo, Public Works Director
Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

3.5.2 Indemnification.

3.5.2.1 Scope of Indemnity. To the fullest extent permitted by law, Contractor shall defend, indemnify and hold the City, its officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any alleged acts, errors or omissions of Contractor, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Contractor’s Services, the Project or this Agreement, including without limitation the payment of all consequential damages, expert witness fees and attorneys’ fees and other related costs and expenses. Notwithstanding the foregoing, to the extent Contractor's Services are subject to Civil Code Section 2782.8, the above indemnity shall be limited, to the extent required by Civil Code Section 2782.8, to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Contractor.

3.5.2.2 Additional Indemnity Obligations. Contractor shall defend, with Counsel of City's choosing and at Contractor’s own cost, expense and risk, any and all claims, suits, actions or other proceedings of every kind covered by Section 3.5.2.1 that may be brought or instituted against City or its officials, officers, employees, volunteers and agents. Contractor shall pay and satisfy any judgment, award or decree that may be rendered against City or its officials, officers, employees, volunteers and agents as part of any such claim, suit, action or other proceeding. Contractor shall also reimburse City for the cost of any settlement paid by City or its officials, officers, employees, agents or volunteers as part of any such claim, suit, action or other proceeding. Such reimbursement shall include payment for City’s attorneys’ fees and costs, including expert witness fees. Contractor shall reimburse City and its officials, officers, employees, agents, and/or volunteers, for any and all legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Contractor’s obligation to indemnify shall survive expiration or termination of this Agreement, and shall not be restricted to insurance proceeds, if any, received by the City, its officials officers, employees, agents, or volunteers.

3.5.3 Governing Law; Government Code Claim Compliance. This Agreement shall be governed by the laws of the State of California. Venue shall be in Santa Clara County, California. In addition to any and all Agreement requirements pertaining to notices of and requests for compensation or payment for extra work, disputed work, claims and/or changed conditions, Contractor must comply with the claim procedures set forth in Government Code sections 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, claims, and/or changed conditions have been followed by Contractor. If no such Government Code claim is submitted, or if any prerequisite contractual requirements are not otherwise satisfied as specified herein, Contractor shall be barred from bringing and maintaining a valid lawsuit against the City.

3.5.4 Time of Essence. Time is of the essence for each and every provision of this Agreement.

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10 3.5.5 City’s Right to Employ Other Contractors. City reserves right to employ other contractors in connection with this Project.

3.5.6 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties.

3.5.7 Assignment or Transfer. Contractor shall not assign, hypothecate or transfer, either directly or by operation of law, this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.5.8 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Contractor include all personnel, employees, agents, and subcontractors of Contractor, except as otherwise specified in this Agreement. All references to City include its officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content or intent of this Agreement.

3.5.9 Amendment; Modification. No supplement, modification or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties.

3.5.10 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel or otherwise.

3.5.11 No Third Party Beneficiaries. Except to the extent expressly provided for in Section 3.5.7, there are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.5.12 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.5.13 Prohibited Interests. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Agreement. Further, Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. Contractor further agrees to file, or shall cause its employees or subcontractors to file, a Statement of Economic Interest with the City’s Filing Officer as required under state law in the performance of the Services. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

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11 3.5.14 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Agreement.

3.5.15 Attorneys’ Fees and Costs. If any action in law or equity, including an action for declaratory relief, is brought to enforce or interpret the provisions of this Agreement, the prevailing Party shall be entitled to recover from the losing party attorney’s fees and costs in an amount determined to be reasonable by a court of competent jurisdiction.

3.5.16 Authority to Enter Agreement. Contractor has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party.

3.5.17 Counterparts. This Agreement may be signed in counterparts, each of which shall constitute an original.

3.5.18 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties.

3.5.19 Wage Theft Prevention.

3.5.19.1Contractor, and any subcontractor it employs to complete work under this Agreement, shall comply with all applicable federal, state and local wage and hour laws. Applicable laws may include, but are not limited to, the Federal Fair Labor Standards Act, the California Labor Code and the Milpitas Minimum Wage Ordinance.

3.5.19.2BY SIGNING THIS AGREEMENT, CONTRACTOR AFFIRMS THAT

IT HAS DISCLOSED ANY FINAL JUDGMENTS, DECISIONS OR ORDERS FROM A COURT OR INVESTIGATORY GOVERNMENT AGENCY, FINDING IN THE FIVE (5) YEARS PRIOR TO

EXECUTING THIS AGREEMENT THAT CONTRACTOR OR ITS SUBCONTRACTORS HAS VIOLATED ANY APPLICABLE WAGE AND HOUR LAWS. CONTRACTOR FURTHER AFFIRMS

THAT IT OR ITS SUBCONTRACTOR(S) HAS EITHER FULLY SATISFIED EACH JUDGMENT,

DECISION OR ORDER, OR, IF ANY JUDGMENT, DECISION OR ORDER HAS NOT BEEN FULLY

SATISFIED, CONTRACTOR AFFIRMS THAT IT OR ITS SUBCONTRACTOR(S) IS CURRENTLY

SATISFYING SAID JUDGMENT, DECISION OR ORDER THROUGH A PAYMENT OR

ALTERNATIVE PLAN APPROVED BY THE APPLICABLE COURT/GOVERNMENT AGENCY

AND THAT CONTRACTOR OR ITS SUBCONTRACTOR(S) ARE IN COMPLIANCE WITH SAID PLAN AS OF THE DATE OF EXECUTING THIS AGREEMENT.

3.5.19.3If at any time during the term of this Agreement, a court or investigatory government agency issues a final judgment, decision or order finding that Contractor or a subcontractor it employs to perform work under this Agreement has violated any applicable wage and hour law, or Contractor learns of such a judgment, decision, or order that was not previously disclosed in its bid/proposal, Contractor shall inform the City no more than fifteen (15) calendar days after the judgment, decision or order becomes final or from the date of learning of the final judgment, decision or order.

Contractor or its subcontractor(s) shall, within thirty (30) calendar days after notifying the City, either (i) fully satisfy any such judgment, decision, or order and provide the City with documentary evidence of satisfying said judgment, decision or order; or (ii) provide the City documentary evidence of a payment or other alternative plan approved by the court/government agency to satisfy the judgment, decision or order.

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12 If the Contractor or its subcontractor is subject to a payment or other alternative plan, the Contractor or its subcontractor shall continue to submit documentary evidence every thirty (30) calendar days during the term of the Agreement demonstrating continued compliance with the plan until the judgment, decision or order has been fully satisfied.

3.5.19.4For purposes of this Section, a "final judgment, decision, or order" refers to one for which all appeals have been exhausted or the time period to appeal has expired. Relevant investigatory government agencies include: the United States Department of Labor, the California Division of Labor Standards Enforcement, the City, or any other governmental entity or division tasked with the investigation and enforcement of wage and hour laws.

3.5.19.5Failure to comply with any part of this Section constitutes a material breach of this Agreement. Such breach may serve as a basis for immediate termination of this Agreement and/or any other remedies available under this Agreement and/or law.

3.5.19.6Notice provided to the City shall be addressed to: Attention: Finance Director, 455 E. Calaveras Blvd. Milpitas, CA 95035. The Notice provisions of this Section are separate from any other notice provisions in this Agreement and, accordingly, only notice provided to the above address satisfies the notice requirements in this Section.

3.5.20 Federal Provisions. [Reserved]
[SIGNATURES ON NEXT PAGE]

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13 SIGNATURE PAGE FOR MAINTENANCE SERVICES AGREEMENT

BETWEEN THE CITY OF MILPITAS

AND PENINSULA PUMP & EQUIPMENT INC
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

CITY OF MILPITAS
Approved By:

Ned Thomas, City Manager
Date
Approved As To Form:

Michael Mutalipassi, City Attorney

PENINSULA PUMP & EQUIPMENT INC
Signature
Name
Title
Date
Approved:

Luz Cofresí-Howe
Finance Director/Risk Manager
Approved As To Content:

Christian Di Renzo, Director of Public Works

38077.00180\29168373.12
14 EXHIBIT “A”

SCOPE OF SERVICES

1.01 Overview
The Scope of Work under this project includes, but is not limited to, the complete cleaning of seven (7) storm pump station wet well floors and walls of unwanted materials (wet and/or dry materials), including debris, sand, trash, rubbish, and scum, including the off-haul and disposal of all materials cleaned out at the City’s storm pump stations.

The quantities shown below are estimated quantities. Actual quantities are uncertain. No quantities are guaranteed and are not intended as such.

Pump Station Estimated Material Quantity of
Wet or Dry Debris Materials*

1. Bellew Pump Station 40 cubic yards

2. McCarthy Ranch Pump Station 40 cubic yards

3. Murphy Ranch Pump Station 40 cubic yards

4. Oak Creek Pump Station 40 cubic yards

5. Jurgens Pump Station 30 cubic yards

6. Manor Pump Station 30 cubic yards

7. Wrigley Ford Pump Station 30 cubic yards
The Contractor shall provide wet well cleaning services between the months of May through September for the City’s pump stations listed in this contract. The Contractor shall provide five (5) years of annual wet well cleaning services for these stations. Annual cleaning services will be scheduled at least one week in advance. Additional work provided above and beyond the contract allowance will be provided at the contract’s rates on a time-and-material basis.

The Contractor shall furnish all labor, materials, tools, required testing, equipment, off-haul and disposal, fees, taxes, licenses, permits, and any and all incidentals necessary to perform the work involved in wet well cleaning, such as removal and replacing of fencing, screens, etc. and all other work described and specified in the bid document. No payment will be made until all work involved at each location is completed and inspected to the satisfaction of the Public Works Maintenance Manager for Utilities or by his designee (heretofore referred to as “City Personnel”).

1.02 Qualifications
A. Contractor shall maintain, at a minimum, have the following qualifications:

1. The Contractor shall have a minimum of five (5) years of wet well cleaning service or other related field service experience.

2. The Contractor’s technicians shall have a minimum of three (3) years of wet well cleaning or other related field service experience.

3. The Contractor shall possess Class A, B, or C-42 license from the Contractor’s State License Board. Any contractor not so licensed shall be subject to all legal penalties imposed by law, including, but not limited to, any appropriate disciplinary action by the Contractor’s State License Board in accordance with Section 20103.5 of the Public Contract Code.

4. Entering the wet well will be necessary and it should be noted that this work is considered a “Permit Required” confined space entry requiring the contractor to provide qualified attendant and rescue personnel outside of the wet well, including all of the necessary confined space, atmospheric testing, and rescue equipment.

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15 1.03 Scope of Services
A. General

1. Annual scheduled wet well cleaning shall be performed during normal business hours between 8:00 AM and 5:00 PM. The annual scheduled cleaning shall be coordinated with City personnel at least one week in advance.

2. The Contractor shall provide all tools and equipment necessary to perform the wet well cleaning services at all of the pump stations included in this contract.

B. Service Personnel

1. All technicians dispatched by the Contractor to perform the annual wet well cleaning services shall be certified to perform the services at the pump stations included in this contract.

2. The Contractor shall not dispatch any personnel to provide wet well cleaning services that are not fully certified to provide services.

3. The Contractor’s personnel shall wear identifiable uniforms at all times on City property.

The Contractor’s personnel shall provide picture identification upon request at any time while on City property.

C. Mobilization, Demobilization, and Other Incidentals

1. The Contract shall provide, attain, ensure, or attend to all of the following:
i. Securing bonds and insurance.
ii. Mobilization of materials and equipment to the site. iii. Providing all preparatory work prior to the commencement of productive work at the sites required.
iv. Preparation of all necessary permits, submittals, notifications, and other documentation.
v. Coordination and other items required to complete the work. vi. Demobilization of all materials and equipment from the sites. vii. On-going and final site clean-up.

D. Locations

1. Wet well cleaning shall be performed at the following locations:

Location Address

1. Jurgens Pump Station 345 Jurgens Drive

2. Murphy Ranch Pump Station 801 Murphy Ranch Drive

3. Bellew Pump Station 481 Murphy Ranch Drive

4. Oak Creek Pump Station 1521 McCarthy Boulevard

5. Wrigley Ford Pump Station 75 Marylinn Drive

6. Manor Pump Station 345 Marylinn Drive

7. McCarthy Pump Station 1001 North McCarthy Boulevard
E. Provide Wet Well Cleaning

1. General
i. All work shall be performed in accordance with all California Occupational Safety and Health Administration (CAL OSHA) and the Federal Occupational Safety and Health Administration (OSHA) regulations governing confined space entry. ii. The Contractor’s technicians shall be trained in confined space entry. Lockouttagout (LOTO) procedures shall be followed and emergency procedures shall be planned, documented, and practiced in advance.

38077.00180\29168373.12
16 iii. The Contractor shall coordinate all work with City personnel prior, during, and after cleaning and when a wet well is returned to service.

2. Wet Well Cleaning
i. Pump station wet wells identified within this bid shall be completely cleaned of all solid materials within subsurface storm water pump station wet wells that are fed by gravity storm drain system, including, but not limited to, sand, soil, trash, rubbish, debris, etc. These materials may be submerged below storm water that has accumulated within the wet well due to groundwater, summer storms, or other nuisance water flows that may collect within the pump station wet wells. ii. The Contractor shall coordinate with the City Personnel to determine optimal times for wet well cleaning.
iii. Access to the wet wells is through the gates on the fence around the trash rack area of the wet wells.
iv. The wet wells shall be cleaned either manually or mechanically. The Contractor shall provide the City Personnel with a proposed plan and methodology for wet well cleaning.
v. Cleaning of the wet wells shall include, but not be limited to, the following:
a. Removal of the railing and covers from the wet well. b. Pump the wet well dry all the way down to the floor. c. Coordinate with City Personnel who will isolate the pumps. Apply LOTO. d. Use plugs/sandbags/berm to stop the flow into wet well. e. The Contractor shall remove from the wet well floors and walls unwanted materials (wet and/or dry materials), including debris, sand, trash, rubbish, and scum.
f. Wash down the entire wet well and scrape the walls, as necessary. g. Remove all tools and equipment from the wet well.
h. Remove the plugs/sandbags/berm that isolate the wet well. i. Return wet well covers and railings to their proper places.

3. Control of Water
i. The Contractor is responsible for implementing measures as needed to remove, limit, and control storm water within and or entering the wet well as required to allow for work to proceed regardless of the weather.
ii. The Contractor shall use the outfall at each station for disposal of water, if necessary.

F. Disposal of Materials (Wet and Dry)

1. The hauling and disposal of materials off the job site shall be performed by the contractor and the costs shall be included in the contract.

2. The Contractor shall be responsible for the complete and immediate disposal of the materials and no stockpile of these materials shall be permitted on any of the station sites or City property.

3. The Contractor shall be responsible for the prompt clean-up of any spilled materials during the loading and off-hauling phase.

4. The Contractor shall keep the work site clean of all waste and debris at all times, and shall maintain the worksite in a clean and swept condition at all times to the satisfaction of City personnel.

5. The Contractor will coordinate with City personnel to designate the appropriate discharge point for waste and debris materials collected.

G. Equipment

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17 1. All cleaning machines must be capable of efficient, reliable operation. All Contractors shall be expected to have and make available extension equipment on an as needed basis in order to properly clean deeper basins. Actual operation of equipment may need to be witnessed/verified by a Public Works Official upon and prior to awarding a purchase order for this requirement.

H. Annual Service

1. Starting July 1, 2024, the Contractor shall provide annual wet well cleaning services at the storm pump stations listed in the bid document.

2. Annual Maintenance shall include, but not be limited to the following: wet well cleaning of the walls, floors, bays, screens/trash racks, and as directed by the Public Works Maintenance Manager for Utilities.

1.04 Measurement and Payment
A. General

1. The total Bid price shall cover all work necessary for the proper and successful completion of the Contract. All work not specifically set forth as a pay item in the Bidder's Bid, but necessary to meet the requirements of this Contract, shall be considered a subsidiary obligation of the Contractor, and all costs in connection therewith shall be included in the prices Bid.

2. All estimated quantities stipulated in the Bid form are to be used only as a basis for estimating the probable cost of the work and/or for the purpose of comparing the Bids submitted for the work. The actual amounts of work completed under unit price items may differ from estimated quantities. The basis of payment for unit price work will be the actual amount of work completed. Contractor agrees to make no claim for damages, anticipated profits or otherwise on account of any difference in the amounts of work actually performed, and estimated amounts therefor.

3. Payment for annual wet well cleaning services will be made at the contract bid lump sum cost annually upon completion and upon approval by the City of the work

38077.00180\29168373.12
18 EXHIBIT “B”

SCHEDULE OF SERVICES
A. General

1. Annual scheduled wet well cleaning shall be performed during normal business hours between 8:00 AM and 5:00 PM. The annual scheduled cleaning shall be coordinated with City personnel at least one week in advance.

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19 EXHIBIT “C”

COMPENSATION
The total compensation shall not exceed Three Hundred Twenty-Four Thousand Sixty Dollars and Zero Cents ($324,060.00) without written approval of City Manager.

A. Annual Wet Well Cleaning Services (Year 1 through Year 5 Pricing)

1. Contractor is responsible for providing annual wet well cleaning activities as detailed in Section 1.03, Section E, Part 2 (Scope of Services – Wet Well Cleaning).

2. Contractor is responsible for the removal of all materials (wet or dry) at the interior floor of the wet wells. The table below provides the total cost for all labor, material, tools, management, travel, and equipment necessary for the cleaning of the seven (7) wet wells and the disposal of all materials (wet or dry) from the clean out.

3. Payment for annual wet well cleaning services will be made at the contract bid lump sum cost annually upon completion and upon approval by the City of the work.

Contract Term Amount
Year 1 $62,880.00
Year 2 $62,880.00
Year 3 $65,400.00
Year 4 $65,400.00
Year 5 $67,500.00
Not-to-Exceed Amount $324,060.00

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20 EXHIBIT “D”

INSURANCE REQUIREMENTS
Please refer to the insurance requirements listed below. Those that have an “X” indicated in the space before the requirement apply to Contractor’s or Consultant’s Agreement.

Contractor or Consultant shall procure and maintain for the duration of the Agreement 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 and the results of that work by the Contractor or Consultant, its agents, representatives, employees or subcontractors.

Contractor or Consultant shall provide its insurance broker(s)/agent(s) with a copy of these requirements and request that they provide Certificates of Insurance complete with copies of all required endorsements.

Contractor or Consultant shall furnish City with copies of original endorsements affecting coverage required by this Exhibit D. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements and certificates are to be received and approved by City before work commences. City has the right to require Contractor’s or Consultant’s insurer to provide complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications.

Commercial General Liability (CGL):
___ Coverage at least as broad as Insurance Services Office (“ISO”) Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $2,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. _X__ Coverage at least as broad as ISO Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $1,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.
___ Coverage at least as broad as ISO Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $5,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

Automobile Liability:
_X__ Coverage at least as broad as ISO Form Number CA 0001 covering, Code 1 (any auto), of if Contractor or Consultant has no owned autos, Code 8 (hired) and 9 (non-owned), with limits no less than $1,000,000.00 combined single limit for bodily injury and property damage.

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21 ___ Coverage at least as broad as ISO Form Number CA 0001 covering, Code 1 (any auto), with limits no less than $5,000,000.00 combined single limit for bodily injury and property damage. ___ Garage keepers’ extra liability endorsement to extend coverage to all vehicles in the care, custody and control of the Contractor or Consultant, regardless of where the vehicles are kept or driven.

Professional Liability (Errors and Omissions):
___ Insurance appropriates to the Contractor or Consultant’s profession, with limit no less than $1,000,000.00 per occurrence or claim, $2,000,000.00 aggregate. ___ (If Design/Build), with limits no less than $1,000,000.00 per occurrence or claim, and $2,000,000.00 policy aggregate.
___ Insurance appropriates to the Contractor or Consultant’s profession, with limit no less than ______ per occurrence or claim, ______ aggregate
Workers’ Compensation Insurance:
_X__ Insurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000.00 per accident for bodily injury or disease. (Not required if Contractor or Consultant provides written verification it has no employees) The Employer’s Liability policy shall be endorsed to waive any right of subrogation as respects the City, its elected and appointed officials, officers, attorneys, agents, and employees.

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. If the project does not involve new or major reconstruction, at the option of the City, an Installation Floater may be acceptable. For such projects, a Property Installation Floater shall be obtained that provides for the improvement, remodel, modification, alteration, conversion or adjustment to existing buildings, structures, processes, machinery and equipment.

The Property Installation Floater shall provide property damage coverage for any building, structure, machinery or equipment damaged, impaired, broken, or destroyed during the performance of the Work, including during transit, installation, and testing at the City’s site.

Contractor’s or Consultant’s Pollution Legal Liability:
___ Contractor’s or Consultant’s pollution legal liability and/or Asbestos Legal Liability and/or Errors and Omissions (if project involves environmental hazards) with limits no less than $1,000,000.00 per occurrence or claim and $2,000,000.00 policy aggregate.

If the Contractor or Consultant 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 or Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City.

Cyber Liability Insurance

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22 ___ Cyber Liability Insurance with limits not less than $1,000,000 per claim.

Coverage shall be sufficiently broad to respond to the duties and obligations as is undertaken by Contractor or Consultant in this Agreement and shall include, but not be limited to, claims involving infringement of intellectual property, including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, alteration of electronic information, extortion, and network security.

The policy shall provide coverage for breach response costs as well as regulatory fines and penalties, and credit monitoring expenses with limits sufficient to respond to these obligations.

Surety Bonds:

Contractor shall provide the following Surety Bonds:
____ Bid Bond
____ Performance Bond
____ Payment Bond
The Payment Bond and Performance Bond shall be in a sum equal to the contract price. Bonds shall be duly executed by a responsible corporate surety, authorized to issue such bonds in the State of California and secured through an authorized agent with an office in California.

Other Insurance Provisions:

The insurance policies are to contain, or be endorsed to contain the following provisions:
_X__ Additional Insured Status and Primary/Non-Contributory Language:

Contractor’s general liability and automobile liability policies shall be primary and shall not seek contribution from the City’s coverage and be endorsed to add the City and its elected and appointed officials, officers, attorneys, agents employees and volunteers as additional insureds under such policies using Insurance Services Office form CG 20 10 (or equivalent) on the general liability policy. For construction projects, an endorsement providing completed operations coverage for the additional insured on the general liability policy, ISO form CG 20 37 (or equivalent), is also required.

The limits of insurance required in this Agreement 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 (if agreed to in a written contract or agreement) before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
___ Loss Payee Status – Builder’s Risk/Course of Construction Insurance (applicable to Construction Contracts only)
Contractor or Consultant may submit evidence of Builder’s Risk insurance in the form of Course of Construction coverage. Such coverage shall name the City as a loss payee as their interest may appear.

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23 _X__ Notice of Cancellation, Suspension or Otherwise Voiding Policies:

Each insurance policy required above shall contain or be endorsed to contain that coverage shall not be suspended, voided, canceled or reduced in coverage or in limits except with thirty (30) days’ prior written notice by certified mail, return receipt requested to the City. _X__ Waiver of Subrogation:

Contractor or Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Contractor or Consultant may acquire against the City by virtue of the payment of any loss under such insurance. Contractor or Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. The Workers’ Compensation Policy shall be endorsed with a waiver of subrogation in favor of the City for all work performed by Contractor or Consultant, its employees, agents and subcontractors.
___ Completed Operations
For Construction Agreements, Contractor shall maintain insurance as required by this Agreement to the fullest amount allowed by law and shall maintain insurance for a minimum of five (5) years following the completion of this project. In the event Contractor fails to obtain or maintain completed operations coverage as required by this Agreement, the City at its sole discretion may purchase the coverage required and the cost will be paid by Contractor.

THE FOLLOWING PROVISIONS APPLY TO ALL AGREEMENTS
Deductibles and Self-Insured Retentions (“SIR”):

Any deductibles or self-insured retentions must be declared to and approved by City. The City may require the Contractor or Consultant to purchase coverage with a lower deductible or retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. At the option of the City, either (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its elected and appointed officials, officers, attorneys, agents, and employees; or (2) the Contractor or Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses.

All SIRs must be disclosed to Risk Management for approval and shall not reduce the limits of liability.

Policies containing any SIR provision shall provide or be endorsed to provide that the SIR may be satisfied by either the named insured or the City.

City reserves the right to obtain a full-certified copy of any insurance policy and endorsements. Failure to exercise this right shall not constitute a waiver of right to exercise later.

Acceptability of Insurers:

Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A-:VII, unless otherwise acceptable to City.

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24 Claims Made Policies: (note - should be applicable only to professional liability, see below)

1. The Retroactive Date must be shown and must be before the date of the contract or the beginning of contract work.

2. Insurance must be maintained, and evidence of insurance must be provided for at least five (5) years after completion of contract of work.

3. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the contract effective date, the Contractor or Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

4. A copy of the claims reporting requirements must be submitted to the City for review.

5. If the services involve lead-based paint or asbestos identification/remediation, the Contractor’s Pollution Liability Policy shall not contain lead-based paint or asbestos exclusions. If the services involve mold identification/remediation, the Contractors Pollution Liability Policy shall not contain a mold exclusion, and the definition of Pollution shall include microbial matter, including mold.

Subcontractors:

Contractor or Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors.

Subcontractor agrees to be bound to Contractor and City in the same manner and to the same extent as Contractor is bound to City under this Agreement and any other contract documents. Subcontractor further agrees to include the same requirements and provisions of this Agreement, including the indemnity and insurance requirements, with any sub-subcontractor to the extent they apply to the scope of the subsubcontractor’s work. A copy of the City indemnity and insurance provisions will be furnished to the subcontractor upon request.

Verification of Coverage:

Contractor or Consultant shall furnish the City with original certificates and amendatory endorsements or copies of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor or Consultant’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

Special Risks or Circumstances
City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage or other special circumstances.

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25 Failure to Comply:

Each insurance policy required above shall contain or be endorsed to contain that any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its elected and appointed officials, officers, attorneys, agents, and employees.

Applicability of Coverage:

Each insurance policy required above shall contain or be endorsed to contain that the Contractor’s or Consultant’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Adopt a Resolution to Accept the Grant Award from the Metropolitan Transportation Commission and Approve an Agreement with O’Dell Engineering, Inc. for Consultant Services Related to the Innovation District Parks and Trails Master Plan (Staff Contact: Jay Lee, Planning Director, 408- 586-3077)
Category: Consent Calendar-Community Development
Meeting Date: 8/13/2024
Recommendation: Adopt a resolution to accept a grant award of $200,000 from the Metropolitan Transportation Commission, award RFP No. 24-126, and authorize the City Manager to execute a Professional Services Agreement with O’Dell Engineering, Inc. for consultant services related to the Innovation District Parks and Trails Master Plan in the amount of $198,178.

BACKGROUND:

Following a robust, multi-year planning process, the City of Milpitas adopted the Milpitas Metro Specific Plan (Metro Plan) on February 7, 2023. The Metro Plan is an update to the Transit Area Specific Plan (TASP), adopted in 2008, and builds upon the original vision and strategy for transforming older industrial areas around the new Milpitas Transit Center into new high-density, mixed-use neighborhoods with direct access to transit.

One of the key strategies is to establish an employment-focused Innovation District to accommodate and facilitate approximately 3 million square feet of new office, research and development, and advanced manufacturing development.

The Metro Plan establishes a new Innovation District to leverage the opportunity to receive and support higherintensity employment opportunities following the opening of the Milpitas BART Station in June 2020. The Metro Plan envisions several public improvements east of South Milpitas Boulevard to enhance the recreational amenities and connections in the Innovation District and attract businesses. These improvements include two new parks and a multi-use trail adjacent to Berryessa Creek. The Metro Plan identifies these proposed amenities on a map, but conceptual designs and programming are needed to lay the foundation for constructing these open space facilities in the future.

To meet the San Francisco Bay Area’s long-range goals of reduced greenhouse gas emissions and more affordable housing for all, the Metropolitan Transportation Commission (MTC) has been offering funding and technical assistance to local jurisdictions through its Priority Development Away (PDA) Planning Program since 2007. On February 23, 2023, City staff submitted an application for grant funding to prepare the Milpitas Innovation District Parks and Trails Master Plan and was awarded $200,000.00 in funding for this work.

Further, the City has allocated this funding as part of the 2025-2029 Capital Improvement Program.

ANALYSIS:

On May 8, 2024, the City’s Purchasing Division released RFP No. 24-126 for the Innovation District Parks and Trails Master Plan project. The RFP was publicly noticed in accordance with the City’s Municipal Code, advertised on the City’s website, and emailed to companies registered with the City’s eProcurement system (procurement.opengov.com). Additionally, the RFP was published on the City’s website.

Upon release, 60 firms downloaded the RFP documents. Five firms responded to the RFP by the published closing date of June 7, 2024. The bids received were reviewed by Purchasing staff for compliance and responsiveness and all were accepted.

The five companies that continued in the selection process were Gates + Associates, MIG, Inc., O’Dell Engineering, Inc., Shubha Landscaping Design Inc., and SWA Group. Proposals submitted by these five firms were reviewed by a committee comprised of four City staff, based on the following criteria:

1. Cover Letter and Compliance with RFP Requirements

2. Company Profile

3. Execution Plan

4. References

5. Personnel Assigned

6. Proposed Compensation
Evaluations were completed on June 24, 2024. The scores given for each of the five proposals were:

PROPOSING VENDOR FINAL SCORE
Gates + Associates 79.31
MIG, Inc. 80.44
O’Dell Engineering 85.94
Shubha Landscape Design Inc. 46.5
SWA Group 71.31
The evaluation committee finalized scores and selected the top firm, O’Dell Engineering, Inc., for awarding the bid. The committee is now forwarding a recommendation for award to the City Council.

POLICY ALTERNATIVE(S):

Alternative 1: Do not execute a Professional Services Agreement with O’Dell Engineering, Inc., for the Innovation District Parks and Trails Master Plan project.

Pros: None.

Cons: The City would not be able to carry out the planned Innovation District Parks and Trails Master Plan project.

Reason for Not Recommending: Without completing the Innovation District Parks and Trails Master Plan, the City would have to design the proposed Innovation District parks and trail prior to construction. While the Transit Area Development Impact Fee (TADIF) should cover the cost of these improvements, construction of the proposed parks and trail would be delayed without a conceptual plan in place.

FISCAL IMPACT:

If approved, this Professional Services Agreement is for the not-to-exceed amount of $196,768.00. Funding for this Professional Services Agreement has been approved through the current Capitol Improvement Program (CIP). The funding source comes from the Priority Development Area (PDA) Planning Grant Program through the Metropolitan Transportation Commission (MTC).

CALIFORNIA ENVIRONMENTAL QUALITY ACT (CEQA):

Not applicable. The selection and contractual arrangement do not constitute a project in accordance with Section 15378 of the CEQA Guidelines.

RECOMMENDATION:

Adopt a resolution to accept a grant award of $200,000 from the Metropolitan Transportation Commission, award RFP No. 24-126, and authorize the City Manager to execute a Professional Services Agreement with O’Dell Engineering, Inc. for consultant services related to the Innovation District Parks and Trails Master Plan in the amount of $198,178.

ATTACHMENT(S):
(a) Resolution
(b) Professional Services Agreement with O’Dell Engineering, Inc.

RESOLUTION NO. _____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MILPITAS ACCEPTING THE GRANT AWARD OF $200,000 FROM THE METROPOLITAN TRANSPORTATION COMMISSION; AWARDING RFP NO. 24-126 AND APPROVING AND AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFSSIONAL SERVICES AGREEMENT WITH O’DELL ENGINEERING, INC., FOR CONSULTANT SERVICES RELATED TO THE INNOVATION DISTRICT PARKS AND TRAILS MASTER PLAN IN THE AMOUNT OF $198,178 WHEREAS, the City of Milpitas, California (the “City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, the Metropolitan Transportation Commission (MTC) is the designated recipient for state and federal funding assigned to the Regional Transportation Planning Agency / Metropolitan Planning Organization of the nine-county San Francisco Bay Area region for the programming of projects; and WHEREAS, MTC established the One Bay Area Grant (OBAG) program to guide how to best use federal transportation funding to address climate change; and WHEREAS, the City nominated the Transit Area Specific Plan (TASP) and MTC adopted the Metro as a PDA; and
WHEREAS, MTC offers funding and technical assistance to local jurisdictions through its PDA Planning Grant Program to meet the Bay Area’s long-range goals of reduced greenhouse gas emissions and more affordable housing for all; and
WHEREAS, on February 7, 2023, the City Council adopted the Milpitas Metro Specific Plan (Metro Plan) as an updated to the TASP; and
WHEREAS, the Metro Plan establishes an employment-focused Innovation District to leverage the opportunity to receive and support higher-intensity employment opportunities following the opening of the Milpitas Bay Area Rapid Transit (BART) Station; and WHEREAS, the Metro Plan identifies several public improvements east of South Milpitas Boulevard to enhance the recreational amenities in the Innovation District including two new parks and a multi-use trail adjacent to Berryessa Creek; and
WHEREAS, on February 23, 2023, the City submitted an application to MTC through the PDA Planning Grant Program to request funding for the Milpitas Innovation District Parks and Trails Master Plan; and
WHEREAS, on March 21, 2023, the City Council held a duly-noticed public hearing on the City’s PDA Planning Grant application, and expressed its support for the City’s application to the Metropolitan Transportation Commission to prepare a conceptual parks and trails plan for the Innovation District; and WHEREAS, on June 28, 2023, the Metropolitan Transportation Commission authorized the funding of the project at its Commission Meeting; and
WHEREAS, on May 8, 2024, the City’s Purchasing Division released RFP No. 24-126 for the Innovation District Parks and Trails Master Plan project; and

WHEREAS, the RFP was publicly noticed in accordance with the City’s Municipal Code, advertised on the City’s website, and emailed to companies registered with the City’s eProcurement system; and
WHEREAS, on June 7, 2024, five sealed bids were received; and WHEREAS, on June 24, 2024, the evaluation committee finalized scores and selected the top firm, O’Dell Engineering, Inc., for awarding the bid; and
WHEREAS, staff recommends the City Council accept the grant award and award RFP No. 24- 0126 and authorize the City Manager to execute a Professional Services Agreement with O’Dell Engineering Inc., for consultant services related to the Innovation District Parks and Trails Master Plan in the amount of $198,178; and
NOW, THEREFORE, the City Council of the City of Milpitas hereby finds, determines, and resolves as follows:

SECTION 1. Recitals
The City Council has duly considered the full record before it, which may include but is not limited to such things as the City staff report, testimony by staff and the publish, and other materials and evidence submitted or provided to the City Council. Furthermore, the recitals set forth above are found to be true and correct and incorporated herein by reference.

SECTION 2. City Council Approval
The City Council hereby accepts the grant award of $200,000 from the Metropolitan Transportation Commission and award RFP 24-126 and authorize the City Manager to execute a Professional Services Agreement with O’Dell Engineering, Inc., for consultant services related to the Innovation District Parks and Trails Master Plan in the amount of $198,178.

PASSED AND ADOPTED this 13th day of August 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

ATTEST:
___________________________
Suzanne Guzzetta, City Clerk
APPROVED:

Carmen Montano, Mayor
APPROVED AS TO FORM:

Michael Mutalipassi, City Attorney

38077.00180\29167975.12 C2
1 PROFESSIONAL SERVICES AGREEMENT

BETWEEM THE
CITY OF MILPITAS AND O’DELL ENGINEERING INC
CONTRACT NO. 24-126
This Agreement is made and entered into as of __________________, (“Effective Date”) by and between the City of Milpitas, a municipal corporation organized and operating under the laws of the State of California with its principal place of business at 455 E. Calaveras Boulevard, Milpitas, California 95035 (“City”), and O’Dell Engineering, Inc., a Westwood Company, a California corporation with its principal place of business at 1165 Scenic Drive, Suite A, Modesto, CA 95350 (hereinafter referred to as “Consultant”). City and Consultant are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement.

RECITALS
A. City is a public agency of the State of California and is in need of professional services for the following project:

Innovation District Parks and Trails
(hereinafter referred to as “the Project”).

B. Consultant is duly licensed and has the necessary qualifications to provide such services.

C. The Parties desire by this Agreement to establish the terms for City to retain Consultant to provide the services described herein.

AGREEMENT
NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. Services.

Consultant shall provide the City with the services described in the Scope of Services attached hereto as Exhibit A.

2. Compensation.
a. Subject to paragraph 2(b) below, the City shall pay for such services in accordance with the Schedule of Charges set forth in Exhibit B.
b. In no event shall the total amount paid for services rendered by Consultant under this Agreement exceed the sum of One Hundred Ninety-Six Thousand Seven Hundred Sixty-Eight Dollars and Zero Cents ($196,768.00). This amount is to cover all printing and related costs, and the City will not pay any additional fees for printing expenses. Periodic payments shall be made within thirty (30) days of receipt of an invoice which includes a detailed description of the work performed. Payments to Consultant for work performed will be made on a monthly billing basis.

3. Additional Work.

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2 If changes in the work seem merited by Consultant or the City, and informal consultations with the other party indicate that a change is warranted, it shall be processed in the following manner: a letter outlining the changes shall be forwarded to the City by Consultant with a statement of estimated changes in fee or time schedule. An amendment to this Agreement shall be prepared by the City and executed by both Parties before performance of such services, or the City will not be required to pay for the changes in the scope of work. Such amendment shall not render ineffective or invalidate unaffected portions of this Agreement.

4. Maintenance of Records.

Books, documents, papers, accounting records, and other evidence pertaining to costs incurred shall be maintained by Consultant and made available at all reasonable times during the Agreement term and for four (4) years from the date of final payment under the Agreement for inspection by City.

5. Term.

The term of this Agreement shall be from the Date first written above to August 30, 2025, unless earlier terminated as provided herein. The City reserves the right to review the Consultant’s performance at the end of each year and cancel all or part of the Agreement.

Consultant shall perform its services in a prompt and timely manner and shall commence performance upon the Effective Date.

6. Delays in Performance.
a. Neither City nor Consultant shall be considered in default of this Agreement for delays in performance caused by circumstances beyond the reasonable control of the non-performing party. For purposes of this Agreement, such circumstances include but are not limited to, abnormal weather conditions; floods; earthquakes; fire; epidemics; war; riots and other civil disturbances; strikes, lockouts, work slowdowns, and other labor disturbances; sabotage or judicial restraint. b. Should such circumstances occur, the non-performing party shall, within a reasonable time of being prevented from performing, give written notice to the other party describing the circumstances preventing continued performance and the efforts being made to resume performance of this Agreement.

7. Compliance with Law.
a. Consultant shall comply with all applicable laws, ordinances, codes and regulations of the federal, state and local government, including Cal/OSHA requirements. b. If required, Consultant shall assist the City, as requested, in obtaining and maintaining all permits required of Consultant by federal, state and local regulatory agencies. c. If applicable, Consultant is responsible for all costs of clean up and/ or removal of hazardous and toxic substances spilled as a result of his or her services or operations performed under this Agreement.

8. Standard of Care

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3 Consultant’s services will be performed in accordance with generally accepted professional practices and principles and in a manner consistent with the level of care and skill ordinarily exercised by members of the profession currently practicing under similar conditions.

9. Assignment and Subconsultant
Consultant shall not assign, sublet, or transfer this Agreement or any rights under or interest in this Agreement without the written consent of the City, which may be withheld for any reason. Any attempt to so assign or so transfer without such consent shall be void and without legal effect and shall constitute grounds for termination. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Agreement. Nothing contained herein shall prevent Consultant from employing independent associates, and subconsultants as Consultant may deem appropriate to assist in the performance of services hereunder.

10. Independent Consultant
Consultant is retained as an independent contractor and is not an employee of City. No employee or agent of Consultant shall become an employee of City. The work to be performed shall be in accordance with the work described in this Agreement, subject to such directions and amendments from City as herein provided.

11. Insurance. Consultant shall not commence work for the City until it has provided evidence satisfactory to the City it has secured all insurance required under Exhibit D (Insurance Requirements), attached hereto and incorporated herein by this reference. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has secured all insurance required therein.

12. Indemnification.
a. To the fullest extent permitted by law, Consultant shall defend (with counsel of City’s choosing), indemnify and hold the City, its officials, officers, employees, volunteers, and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury of any kind, in law or equity, to property or persons, including wrongful death, in any manner arising out of, pertaining to, or incident to any acts, errors or omissions, or willful misconduct of Consultant, its officials, officers, employees, subcontractors, consultants or agents in connection with the performance of the Consultant’s services, the Project or this Agreement, including without limitation the payment of all damages, expert witness fees and attorney’s fees and other related costs and expenses. Consultant's obligation to indemnify shall not be restricted to insurance proceeds, if any, received by Consultant, the City, its officials, officers, employees, agents, or volunteers. b. If Consultant’s obligation to defend, indemnify, and/or hold harmless arises out of Consultant’s performance of “design professional” services (as that term is defined under Civil Code section 2782.8), then, and only to the extent required by Civil Code section 2782.8, which is fully incorporated herein, Consultant’s indemnification obligation shall be limited to claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant, and, upon Consultant obtaining a final adjudication by a court of competent jurisdiction, Consultant’s liability for such claim, including the cost to defend, shall not exceed the Consultant’s proportionate percentage of fault.

13. California Labor Code Requirements.
a. Consultant is aware of the requirements of California Labor Code Sections 1720 et seq. and 1770 et seq., which require the payment of prevailing wage rates and the performance of other

38077.00180\29167975.12 C2
4 requirements on certain “public works” and “maintenance” projects (“Prevailing Wage Laws”). If the services are being performed as part of an applicable “public works” or “maintenance” project, as defined by the Prevailing Wage Laws, and if the total compensation is One Thousand Dollars and Zero Cents ($1,000.00) or more, Consultant agrees to fully comply with such Prevailing Wage Laws. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claims, liabilities, costs, penalties or interest arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. It shall be mandatory upon the Consultant and all subconsultants to comply with all California Labor Code provisions, which include but are not limited to prevailing wages (Labor Code Sections 1771, 1774 and 1775), employment of apprentices (Labor Code Section 1777.5), certified payroll records (Labor Code Sections 1771.4 and 1776), hours of labor (Labor Code Sections 1813 and 1815) and debarment of contractors and subcontractors (Labor Code Section 1777.1). The requirement to submit certified payroll records directly to the Labor Commissioner under Labor Code section 1771.4 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Section 1771.4.
b. If the services are being performed as part of an applicable “public works” or “maintenance” project, then pursuant to Labor Code Sections 1725.5 and 1771.1, the Consultant and all subconsultants performing such services must be registered with the Department of Industrial Relations.

Consultant shall maintain registration for the duration of the Project and require the same of any subconsultants, as applicable. Notwithstanding the foregoing, the contractor registration requirements mandated by Labor Code Sections 1725.5 and 1771.1 shall not apply to work performed on a public works project that is exempt pursuant to the small project exemption specified in Labor Code Sections 1725.5 and 1771.1.
c. This Agreement may also be subject to compliance monitoring and enforcement by the Department of Industrial Relations. It shall be Consultant’s sole responsibility to comply with all applicable registration and labor compliance requirements. Any stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor that affect Consultant’s performance of services, including any delay, shall be Consultant’s sole responsibility. Any delay arising out of or resulting from such stop orders shall be considered Consultant caused delay and shall not be compensable by the City. Consultant shall defend, indemnify and hold the City, its officials, officers, employees and agents free and harmless from any claim or liability arising out of stop orders issued by the Department of Industrial Relations against Consultant or any subcontractor.

14. Verification of Employment Eligibility.

By executing this Agreement, Consultant verifies that it fully complies with all requirements and restrictions of state and federal law respecting the employment of undocumented aliens, including, but not limited to, the Immigration Reform and Control Act of 1986, as may be amended from time to time, and shall require all subconsultants and sub-subconsultants to comply with the same.

15. Laws and Venue.

This Agreement shall be interpreted in accordance with the laws of the State of California. If any action is brought to interpret or enforce any term of this Agreement, the action shall be brought in a state or federal court situated in the County of Santa Clara, State of California.

16. Termination or Abandonment
a. City has the right to terminate or abandon any portion or all of the work under this Agreement by giving ten (10) calendar days written notice to Consultant. In such event, City shall be

38077.00180\29167975.12 C2
5 immediately given title and possession to all original field notes, drawings and specifications, written reports and other documents produced or developed for that portion of the work completed and/or being abandoned. City shall pay Consultant the reasonable value of services rendered for any portion of the work completed prior to termination. If said termination occurs prior to completion of any task for the Project for which a payment request has not been received, the charge for services performed during such task shall be the reasonable value of such services, based on an amount mutually agreed to by City and Consultant of the portion of such task completed but not paid prior to said termination. City shall not be liable for any costs other than the charges or portions thereof which are specified herein. Consultant shall not be entitled to payment for unperformed services, and shall not be entitled to damages or compensation for termination of work.
b. Consultant may terminate its obligation to provide further services under this Agreement upon thirty (30) calendar days’ written notice to City only in the event of substantial failure by City to perform in accordance with the terms of this Agreement through no fault of Consultant. c. The Consultant understands and accepts that at all times; the Agreement is subject to appropriation of funds by the Milpitas City Council. The Agreement may terminate without penalty, liability or expense of any kind to the City at the end of Agreement term. The City has no obligation to make appropriations for the Agreement in lieu of appropriations for new or other contracts. City budget decisions are subject to the discretion of the Mayor and City Council. Consultant’s assumption of risk of possible non-appropriation is a part of the consideration for the Agreement. This section controls against any and all other provisions of the Agreement.

17. Documents. Except as otherwise provided in “Termination or Abandonment,” above, all original field notes, written reports, Drawings and Specifications and other documents, produced or developed for the Project shall, upon payment in full for the services described in this Agreement, be furnished to and become the property of the City.

18. Organization
Consultant shall assign Karen Folsom as Project Manager. The Project Manager shall not be removed from the Project or reassigned without the prior written consent of the City.

19. Limitation of Agreement.

This Agreement is limited to and includes only the work included in the Project described above.

20. Notice
Any notice or instrument required to be given or delivered by this Agreement may be given or delivered by depositing the same in any United States Post Office, certified mail, return receipt requested, postage prepaid, addressed to:

CITY:

City of Milpitas
455 E. Calaveras Boulevard
Milpitas, California 95035
CONSULTANT:

O’Dell Engineering
1165 Scenic Drive, Suite A
Modesto, CA 95350
Attn: Karen Folsom, Project Manager

38077.00180\29167975.12 C2
6 Attn: Jay Lee, Planning and Neighborhood
Services Director
and shall be effective upon receipt thereof.

21. Third Party Rights
Nothing in this Agreement shall be construed to give any rights or benefits to anyone other than the City and the Consultant.

22. Equal Opportunity Employment.

Consultant represents that it is an equal opportunity employer and that it shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, ancestry, sex, age or other interests protected by the State or Federal Constitutions. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

23. Entire Agreement
This Agreement, with its exhibits, represents the entire understanding of City and Consultant as to those matters contained herein, and supersedes and cancels any prior or contemporaneous oral or written understanding, promises or representations with respect to those matters covered hereunder. Each party acknowledges that no representations, inducements, promises or agreements have been made by any person which are not incorporated herein, and that any other agreements shall be void. This Agreement may not be modified or altered except in writing signed by both Parties hereto. This is an integrated Agreement.

24. Severability
The unenforceability, invalidity or illegality of any provision(s) of this Agreement shall not render the provisions unenforceable, invalid or illegal.

25. Successors and Assigns
This Agreement shall be binding upon and shall inure to the benefit of the successors in interest, executors, administrators and assigns of each party to this Agreement. However, Consultant shall not assign or transfer by operation of law or otherwise any or all of its rights, burdens, duties or obligations without the prior written consent of City. Any attempted assignment without such consent shall be invalid and void.

26. Non-Waiver
None of the provisions of this Agreement shall be considered waived by either party, unless such waiver is specifically specified in writing.

27. Time
Consultant shall perform its services as expeditiously as is consistent with such professional skill and care and the orderly progress of the Project.

28. City’s Right to Employ Other Consultants

38077.00180\29167975.12 C2
7 City reserves its right to employ other consultants, including engineers, in connection with this Project or other projects.

29. Prohibited Interests
Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no director, official, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

30. Wage Theft Prevention
a. Consultant, and any subconsultant it employs to complete work under this Agreement, shall comply with all applicable federal, state and local wage and hour laws. Applicable laws may include, but are not limited to, the Federal Fair Labor Standards Act, the California Labor Code and the Milpitas Minimum Wage Ordinance.
b. BY SIGNING THIS AGREEMENT, CONSULTANT AFFIRMS THAT IT HAS

DISCLOSED ANY FINAL JUDGMENTS, DECISIONS OR ORDERS FROM A COURT OR INVESTIGATORY GOVERNMENT AGENCY, FINDING IN THE FIVE (5) YEARS PRIOR TO

EXECUTING THIS AGREEMENT THAT CONSULTANT OR ITS SUBCONSULTANTS HAS VIOLATED ANY APPLICABLE WAGE AND HOUR LAWS. CONSULTANT FURTHER AFFIRMS

THAT IT OR ITS SUBCONSULTANT(S) HAS EITHER FULLY SATISFIED EACH JUDGMENT,

DECISION OR ORDER, OR, IF ANY JUDGMENT, DECISION OR ORDER HAS NOT BEEN FULLY

SATISFIED, CONSULTANT AFFIRMS THAT IT OR ITS SUBCONSULTANT(S) IS CURRENTLY

SATISFYING SAID JUDGMENT, DECISION OR ORDER THROUGH A PAYMENT OR

ALTERNATIVE PLAN APPROVED BY THE APPLICABLE COURT/GOVERNMENT AGENCY

AND THAT CONSULTANT OR ITS SUBCONSULTANT(S) ARE IN COMPLIANCE WITH SAID PLAN AS OF THE DATE OF EXECUTING THIS AGREEMENT.
c. If at any time during the term of this Agreement, a court or investigatory government agency issues a final judgment, decision or order finding that Consultant or a subconsultant it employs to perform work under this Agreement has violated any applicable wage and hour law, or Consultant learns of such a judgment, decision, or order that was not previously disclosed in its bid/proposal, Consultant shall inform the City no more than fifteen (15) calendar days after the judgment, decision or order becomes final or from the date of learning of the final judgment, decision or order.

Consultant or its subconsultant(s) shall, within thirty (30) calendar days after notifying the City, either (i) fully satisfy any such judgment, decision, or order and provide the City with documentary evidence of satisfying said judgment, decision or order; or (ii) provide the City documentary evidence of a payment or other alternative plan approved by the court/government agency to satisfy the judgment, decision or order.

If the Consultant or its subconsultant is subject to a payment or other alternative plan, the Consultant or its subconsultant shall continue to submit documentary evidence every thirty (30) calendar days during the term of the Agreement demonstrating continued compliance with the plan until the judgment, decision or order has been fully satisfied.

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8 d. For purposes of this Section, a "final judgment, decision, or order" refers to one for which all appeals have been exhausted or the time period to appeal has expired. Relevant investigatory government agencies include: the United States Department of Labor, the California Division of Labor Standards Enforcement, the City, or any other governmental entity or division tasked with the investigation and enforcement of wage and hour laws.
e. Failure to comply with any part of this Section constitutes a material breach of this Agreement. Such breach may serve as a basis for immediate termination of this Agreement and/or any other remedies available under this Agreement and/or law.
f. Notice provided to the City shall be addressed to: Attention: Finance Director, 455 E. Calaveras Blvd. Milpitas, CA 95035. The Notice provisions of this Section are separate from any other notice provisions in this Agreement and, accordingly, only notice provided to the above address satisfies the notice requirements in this Section.
[SIGNATURES ON FOLLOWING PAGE]

38077.00180\29167975.12 C2
9 SIGNATURE PAGE FOR PROFESSIONAL SERVICES AGREEMENT

BETWEEN THE CITY OF MILPITAS
AND O’DELL ENGINEERING INC
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

CITY OF MILPITAS
Approved By:

Ned Thomas, City Manager
Date
Approved As To Form:

Michael Mutalipassi, City Attorney
Approved:

Luz Cofresí-Howe
Finance Director/Risk Manager

Approved As To Content:

Jay Lee, Planning and Neighborhood Services
Director
O’DELL ENGINEERING INC., a Westwood
Company
Signature
Chad Kennedy
Director, Landscape Architecture
Date

38077.00180\29167975.12 C2
10 EXHIBIT A
Scope of Services

3.1. VISION STATEMENT & PLAN GOALS
Open space is both a highly desired amenity and a limited resource in the Metro Area. Parks and other shared public spaces provide residents, workers, and visitors with recreation and can improve overall community health. The City’s Parks and Recreation Master Plan (2021) establishes a long-term vision and strategy for the provision and programming of parkland and other public spaces across the City. The MMSP’s vision of providing a greater variety of shared public spaces is consistent with the Parks and Recreation Master Plan’s overall vision, goals, and policies.

Within the Innovation Sub-district, a publicly accessible park is planned adjacent to Berryessa Creek and the new roadway connection to S. Milpitas Boulevard Extension. The proposed park is designed to provide recreational opportunities for workers and provide open space in a district that currently lacks park space. Although the Innovation District prioritizes office and R&D development, it allows residential development adjacent to the proposed parks to create a campus-like setting. The proposed parks will serve employees and visitors to the area as well.

Innovation District sites east of S. Milpitas Blvd. are difficult to access from the Milpitas Transit Center by walking and bicycling. The MMSP identifies a pedestrian and bicycle overcrossing on S. Milpitas Blvd. over Berryessa Creek to improve access to this future employment area. However, the Plan will consider trail improvements along Berryessa Creek to provide access further into the area for future employees who desire to use public transit.

3.2. SCOPE OF WORK
The following general description of the scope of work is not definitive and is intended as a guide to illustrate minimum project requirements. Consultants are encouraged to present their own concepts to producing a comprehensive plan.

3.3. Task 1: Project Initiation and Management
Tasks include kick-off meeting, monthly project schedule updates prepared in Gantt chart format, consultant contract management, monthly progress meetings attendance followed by meeting summary preparation, peer review for quality assurance and quality control, and utilization of e-Builder project management software for all project management documentation and correspondence.

Task 1 Deliverables:

1.1: Kick-off meeting presentation

1.2: Kick-off meeting summary

1.3: Monthly project schedules

1.4: Monthly meeting summaries

38077.00180\29167975.12 C2
11 3.4. Task 2: Existing Conditions Analysis
Tasks include the following reports and activities to better understand the project area:
• Document review: Obtain and review all available documents from the City including:
o Record drawings, utility mapping, GIS data, base files, and City standard details and ordinances;
o Milpitas Metro Specific Plan and Innovation District Action Plan; and o Other information deemed critical to the design.
• Topographic survey: Conduct a topographic survey to include existing features and utility locations required to design the project.
• Site investigation: Conduct a site investigation and observe and photo document existing conditions.
• Geotechnical report: Develop a geotechnical report based on a site investigation along with geotechnical observations and testing performed during construction of the adjacent residential development. Perform in-situ percolation tests at two (2) locations within the project site to ascertain subsurface soil conditions.
• Soils report: Collect four (4) discrete soil samples to determine the presence of metals and noxious chemicals. Prepare a soils report summarizing findings for use to determine soil disposal requirements.
• Existing facilities: Analyze existing parks and recreational facilities in the vicinity and conduct a targeted needs assessment.

Task 2 Deliverables:

2.1: Document review summary

2.2: Topographic survey

2.3: Site investigation findings report

2.4: Geotechnical report

2.5: Soils report

2.6: Needs assessment

3.5. Task 3: Public Engagement
Tasks include the following public engagement activities to understand the community’s needs and desires and inform the development of the conceptual and preferred designs:
• Outreach plan and schedule: Prepare an outreach plan memo that documents decisions, dates, locations, roles and responsibilities to guide the planning and notification of public meetings.

Strategies to be considered include but are not limited to mailers, electronic notifications, posters, and social media. Provide well-organized and directed activities, techniques, and formats that will ensure an equitable, inclusive, open, and proactive public participation process is achieved. These methods should solicit quality input from as many people as possible, including under-resourced populations and users and non-users of the services and facilities.

38077.00180\29167975.12 C2
12 For meetings required to be held virtually, discuss how to meet the needs of community members with limited access to internet. Prepare a project schedule for the City’s review. • City review meetings: Organize and facilitate four (4) meetings with key City staff to review community meeting roles, logistics, materials, and presentations. Debrief meeting outcome, review public input results, present conceptual designs and estimates, and obtain direction on proceeding with conceptual designs. Revise materials based on City input and prepare final presentations and boards to be presented at community meetings. • Meeting noticing: Prepare meeting notification mailer in digital format for both community meetings to identify date, location, time and include a general description of the meeting agenda. Prepare draft mailer in postcard format for City review and make final version incorporating City comments. Mailers to be suitable for other methods of distribution including email blasts, e-newsletters and the City’s project website. It is assumed the City will print and mail meeting notices.
• Community meetings: Organize and facilitate two (2) community meetings to receive public feedback on the project. At the first virtual meeting, present the project scope, background, process, existing conditions, schedule, and potential park features. At the second in-person meeting, engage the community in an interactive workshop and gather input on conceptual designs and desired park features using polling activities. The layout of the workshop would include various stations spread across the project site. Workshop stations would include a welcome station, project background station, conceptual design presentation and ranking station, and drinks and snacks station. Provide written records and summaries of the results of all public processes and communications strategies that can be shared with the public. • Study sessions: Attend one (1) study session with the Parks, Recreation, and Cultural Resources Commission and one (1) study session with the City Council. Present the project background, results of the public engagement, and conceptual designs. Solicit direction on the preferred design.
• Online surveys: Prepare online surveys in advance of both community meetings to reach more members of the community. Surveys for the first community meeting will solicit input related to types of park amenities preferred by the community to be included in the conceptual designs.

Surveys for the second meeting will solicit community input on the three conceptual design alternatives developed using the input received from community meeting #1. Survey data will be collected, tabulated and summarized for presentation to the community, commission and City Council.

Task 3 Deliverables:

3.1: Outreach plan memo

3.2: City review meeting summaries

3.3: Meeting notification mailers in digital format for both community meetings

3.4: Community meeting materials including final presentations and boards

3.5: Community meeting summaries

3.6: Study session presentations and summaries

3.7: Online survey results summary

38077.00180\29167975.12 C2
13 3.6. Task 4: Conceptual Designs
Based on the input received from the community and City staff, prepare three (3) conceptual designs for the park at 1” = 20’ scale. Concepts to be labeled and color rendered. In addition to plan view concepts, prepare three (3) perspective renderings that represent each concept from a viewpoint within the project site to assist the community with visualizing proposed improvements. Provide inspiration imagery for each concept. Prepare preliminary estimate of construction costs for each of the three concepts including contingencies and soft costs. Additionally, prepare two (2) conceptual cross section and/or plan line drawings for trail improvements along Berryessa Creek to provide access further into the area for future employees who desire to use public transit.

Task 4 Deliverables:

4.1: Three (3) conceptual park designs

4.2: Three (3) perspective renderings

4.3: Inspiration imagery for each concept

4.4: Preliminary estimate of construction costs for each concept

4.5: Two (2) conceptual cross section and/or plan line drawing of planned trails

3.7. Task 5: Preferred Design
Prepare a preferred concept design based on community and city staff input. Prepare updated supplemental images the cost estimate accordingly.

Task 5 Deliverables:

5.1: Preferred concept design

5.2: Preferred conceptual cross section and/or plan line drawing of planned trails

5.3: Updated supplemental images and cost estimate

3.8. Task 6: Public Hearings
Attend one (1) meeting with the Parks, Recreation, and Cultural Resources Commission for recommendation and one (1) meeting with the City Council for approval of the preferred designs and next steps through a resolution.

Task 6 Deliverables:

6.1: Presentation for the Parks, Recreation, and Cultural Resources Commission

6.2: Updated presentation for the City Council

38077.00180\29167975.12 C2
14 EXHIBIT B
Schedule of Charges/Payments
Consultant will invoice City on a monthly cycle. Consultant will include with each invoice a detailed progress report that indicates the amount of budget spent on each task. Consultant will inform City regarding any out-of-scope work being performed by Consultant. This is a time-and-materials Agreement.

In no event shall the total amount paid for services rendered by Consultant under this Agreement exceed the sum of One Hundred Ninety-Six Thousand Seven Hundred Sixty-Eight Dollars and Zero Cents ($196,768.00).

38077.00180\29167975.12 C2
15 EXHIBIT C
Activity Schedule
[RESERVED]

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16 EXHIBIT D

INSURANCE REQUIREMENTS
Please refer to the insurance requirements listed below. Those that have an “X” indicated in the space before the requirement apply to Contractor’s or Consultant’s Agreement.

Contractor or Consultant shall procure and maintain for the duration of the Agreement 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 and the results of that work by the Contractor or Consultant, its agents, representatives, employees or subcontractors.

Contractor or Consultant shall provide its insurance broker(s)/agent(s) with a copy of these requirements and request that they provide Certificates of Insurance complete with copies of all required endorsements.

Contractor or Consultant shall furnish City with copies of original endorsements affecting coverage required by this Exhibit D. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements and certificates are to be received and approved by City before work commences. City has the right to require Contractor’s or Consultant’s insurer to provide complete, certified copies of all required insurance policies, including endorsements affecting the coverage required by these specifications.

Commercial General Liability (CGL):
___ Coverage at least as broad as Insurance Services Office (“ISO”) Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $2,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. _X__ Coverage at least as broad as ISO Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $1,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.
___ Coverage at least as broad as ISO Form CG 00 01 covering CGL on an “occurrence” basis, including products and completed operations, property damage, bodily injury and personal and advertising injury with limits no less than $5,000,000.00 per occurrence. If a general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.

Automobile Liability:
_X__ Coverage at least as broad as ISO Form Number CA 0001 covering, Code 1 (any auto), of if Contractor or Consultant has no owned autos, Code 8 (hired) and 9 (non-owned), with limits no less than $1,000,000.00 combined single limit for bodily injury and property damage. ___ Coverage at least as broad as ISO Form Number CA 0001 covering, Code 1 (any auto), with limits no less than $5,000,000.00 combined single limit for bodily injury and property damage.

38077.00180\29167975.12 C2
17 ___ Garage keepers’ extra liability endorsement to extend coverage to all vehicles in the care, custody and control of the Contractor or Consultant, regardless of where the vehicles are kept or driven.

Professional Liability (Errors and Omissions):
_X__ Insurance appropriates to the Contractor or Consultant’s profession, with limit no less than $1,000,000.00 per occurrence or claim, $2,000,000.00 aggregate. ___ (If Design/Build), with limits no less than $1,000,000.00 per occurrence or claim, and $2,000,000.00 policy aggregate.
___ Insurance appropriates to the Contractor or Consultant’s profession, with limit no less than ______ per occurrence or claim, ______ aggregate
Workers’ Compensation Insurance:
_X__ Insurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000.00 per accident for bodily injury or disease. (Not required if Contractor or Consultant provides written verification it has no employees) The Employer’s Liability policy shall be endorsed to waive any right of subrogation as respects the City, its elected and appointed officials, officers, attorneys, agents, and employees.

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. If the project does not involve new or major reconstruction, at the option of the City, an Installation Floater may be acceptable. For such projects, a Property Installation Floater shall be obtained that provides for the improvement, remodel, modification, alteration, conversion or adjustment to existing buildings, structures, processes, machinery and equipment.

The Property Installation Floater shall provide property damage coverage for any building, structure, machinery or equipment damaged, impaired, broken, or destroyed during the performance of the Work, including during transit, installation, and testing at the City’s site.

Contractor’s or Consultant’s Pollution Legal Liability:
___ Contractor’s or Consultant’s pollution legal liability and/or Asbestos Legal Liability and/or Errors and Omissions (if project involves environmental hazards) with limits no less than $1,000,000.00 per occurrence or claim and $2,000,000.00 policy aggregate.

If the Contractor or Consultant 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 or Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City.

Cyber Liability Insurance
___ Cyber Liability Insurance with limits not less than $1,000,000 per claim.

38077.00180\29167975.12 C2
18 Coverage shall be sufficiently broad to respond to the duties and obligations as is undertaken by Contractor or Consultant in this Agreement and shall include, but not be limited to, claims involving infringement of intellectual property, including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, alteration of electronic information, extortion, and network security.

The policy shall provide coverage for breach response costs as well as regulatory fines and penalties, and credit monitoring expenses with limits sufficient to respond to these obligations.

Surety Bonds:

Contractor shall provide the following Surety Bonds:
____ Bid Bond
____ Performance Bond
____ Payment Bond
The Payment Bond and Performance Bond shall be in a sum equal to the contract price. Bonds shall be duly executed by a responsible corporate surety, authorized to issue such bonds in the State of California and secured through an authorized agent with an office in California.

Other Insurance Provisions:

The insurance policies are to contain, or be endorsed to contain the following provisions:
_X__ Additional Insured Status and Primary/Non-Contributory Language:

Contractor’s general liability and automobile liability policies shall be primary and shall not seek contribution from the City’s coverage and be endorsed to add the City and its elected and appointed officials, officers, attorneys, agents employees and volunteers as additional insureds under such policies using Insurance Services Office form CG 20 10 (or equivalent) on the general liability policy. For construction projects, an endorsement providing completed operations coverage for the additional insured on the general liability policy, ISO form CG 20 37 (or equivalent), is also required.

The limits of insurance required in this Agreement 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 (if agreed to in a written contract or agreement) before the City’s own insurance or self-insurance shall be called upon to protect it as a named insured.
___ Loss Payee Status – Builder’s Risk/Course of Construction Insurance (applicable to Construction Contracts only)
Contractor or Consultant may submit evidence of Builder’s Risk insurance in the form of Course of Construction coverage. Such coverage shall name the City as a loss payee as their interest may appear. _X__ Notice of Cancellation, Suspension or Otherwise Voiding Policies:

Each insurance policy required above shall contain or be endorsed to contain that coverage shall not be suspended, voided, canceled or reduced in coverage or in limits except with thirty (30) days’ prior written notice by certified mail, return receipt requested to the City.

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19 _X__ Waiver of Subrogation:

Contractor or Consultant hereby grants to City a waiver of any right to subrogation which any insurer of said Contractor or Consultant may acquire against the City by virtue of the payment of any loss under such insurance. Contractor or Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer. The Workers’ Compensation Policy shall be endorsed with a waiver of subrogation in favor of the City for all work performed by Contractor or Consultant, its employees, agents and subcontractors.
___ Completed Operations
For Construction Agreements, Contractor shall maintain insurance as required by this Agreement to the fullest amount allowed by law and shall maintain insurance for a minimum of five (5) years following the completion of this project. In the event Contractor fails to obtain or maintain completed operations coverage as required by this Agreement, the City at its sole discretion may purchase the coverage required and the cost will be paid by Contractor.

THE FOLLOWING PROVISIONS APPLY TO ALL AGREEMENTS
Deductibles and Self-Insured Retentions (“SIR”):

Any deductibles or self-insured retentions must be declared to and approved by City. The City may require the Contractor or Consultant to purchase coverage with a lower deductible or retention or provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. At the option of the City, either (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its elected and appointed officials, officers, attorneys, agents, and employees; or (2) the Contractor or Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses.

All SIRs must be disclosed to Risk Management for approval and shall not reduce the limits of liability.

Policies containing any SIR provision shall provide or be endorsed to provide that the SIR may be satisfied by either the named insured or the City.

City reserves the right to obtain a full-certified copy of any insurance policy and endorsements. Failure to exercise this right shall not constitute a waiver of right to exercise later.

Acceptability of Insurers:

Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A-:VII, unless otherwise acceptable to City.

Claims Made Policies: (note - should be applicable only to professional liability, see below)

1. The Retroactive Date must be shown and must be before the date of the contract or the beginning of contract work.

38077.00180\29167975.12 C2
20 2. Insurance must be maintained, and evidence of insurance must be provided for at least five (5) years after completion of contract of work.

3. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the contract effective date, the Contractor or Consultant must purchase “extended reporting” coverage for a minimum of five (5) years after completion of work.

4. A copy of the claims reporting requirements must be submitted to the City for review.

5. If the services involve lead-based paint or asbestos identification/remediation, the Contractor’s Pollution Liability Policy shall not contain lead-based paint or asbestos exclusions. If the services involve mold identification/remediation, the Contractors Pollution Liability Policy shall not contain a mold exclusion, and the definition of Pollution shall include microbial matter, including mold.

Subcontractors:

Contractor or Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein, and Contractor shall ensure that City is an additional insured on insurance required from subcontractors.

Subcontractor agrees to be bound to Contractor and City in the same manner and to the same extent as Contractor is bound to City under this Agreement and any other contract documents. Subcontractor further agrees to include the same requirements and provisions of this Agreement, including the indemnity and insurance requirements, with any sub-subcontractor to the extent they apply to the scope of the subsubcontractor’s work. A copy of the City indemnity and insurance provisions will be furnished to the subcontractor upon request.

Verification of Coverage:

Contractor or Consultant shall furnish the City with original certificates and amendatory endorsements or copies of the applicable policy language effecting coverage required by this clause. All certificates and endorsements are to be received and approved by the City before work commences. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor or Consultant’s obligation to provide them. The City reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

Special Risks or Circumstances
City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage or other special circumstances.

Failure to Comply:

Each insurance policy required above shall contain or be endorsed to contain that any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its elected and appointed officials, officers, attorneys, agents, and employees.

Applicability of Coverage:

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21 Each insurance policy required above shall contain or be endorsed to contain that the Contractor’s or Consultant’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability.

CITY OF MILPITAS

AGENDA REPORT
(AR)
Item Title: Approve the Final Map and Authorize the City Manager to Execute the Subdivision Improvement Agreement between the City of Milpitas and Toll West Coast, LLC for a Residential Project at 1951 Tarob Court and 675 Trade Zone Boulevard (Staff Contact: Christian Di Renzo, Public Works Director, 408-586- 2602; and Michael Silveira, City Engineer, 408-586-3303) Category: Consent Calendar-Community Development
Meeting Date: 8/13/2024
Recommendation (1) Approve Final Map, Tract No. 10614, including all offers of dedications as stated and depicted on the final map upon completion and acceptance of improvements; and (2) Approve and authorize the City Manager to execute the Subdivision Improvement Agreement between the City of Milpitas and Toll West Coast, LLC, for a Residential Project at 1951 Tarob Court and 675 Trade Zone Boulevard.

BACKGROUND:

On February 7, 2023, the City Council approved a Site Development Permit No. SD22-0006, Conditional Use Permit No. UP22-0002, Vesting Tentative Map No. MT22-0002, Density Bonus Permit No. DB22-0001, Tree Removal Permit No. TR22-0006 and Environmental Assessment No. EA22-0003 to allow construction of a 78- unit townhome-style condominium subdivision comprised of thirteen multi-family residential buildings up to 37 feet in height (three to four stories), with 191 vehicle parking spaces, located on a 4.1 acre site at 1951 Tarob Court and 675 Trade Zone Boulevard (Development). This Project is known as “Parkside West”, and the developer is Toll West Coast, LLC (Developer).

ANALYSIS:

The Final Map, Tract No. 10614, and Subdivision Improvement Agreement (SIA) for the Development are now complete and ready for approval by the City Council pursuant to Milpitas Municipal Code, Title XI, Chapter 1, Section 5.05.

The City Engineer has examined the Final Map and determined it is substantially in conformance with the approved Vesting Tentative Map and conforms to all requirements of the State of California Subdivision Map Act and Title XI, Chapter 1, Section 5 of the Milpitas Municipal Code, and the terms and conditions of the Vesting Tentative Map. The Developer has offered required dedications to the City for public use, including easements for streets, services and utilities, and emergency vehicle access purposes, as depicted on the Final Map. Staff recommends the City Council approve the final map and accept the dedications, subject to completion and acceptance of public improvements to be installed by the Developer.

The Developer has agreed to enter into a Subdivision Improvement Agreement (SIA) with the City for the construction of off-site public improvements for the Project which will be completed with the on-site work. The public improvements will be accepted by the City after final map approval and completion of construction.

Offsite public improvements to be constructed and accepted by the City include asphalt concrete pavement, driveway approaches, landscaping, sidewalk, signing and striping, street lights, city water and sewer mains within public service utility easements and along the Project frontage, and other miscellaneous items of work identified on the improvement plans. The improvements will be completed within 1-year from the date of the SIA, and the work is guaranteed by bonds or similar securities to be posted by the Developer in the amount of $790,000. The City Engineer has reviewed the public improvement plans (2-1448) and is recommending the City Council approve the SIA to allow for the construction of public improvements after final map approval.

The parcels associated with the Final Map was annexed into the Community Facilities District No. 2008-1 (CFD 2008-1) on the June 4, 2024 City Council meeting.

POLICY ALTERNATIVE(S):

Alternative: Deny approval of Final Map and Subdivision Improvement Agreement.

Pros: None
Cons: The denial of approval of the Final Map and Subdivision Improvement Agreement will cause the lot to remain vacant and undeveloped. The City would not benefit from the addition of 78 new townhome-style condominiums.

Reason for Not Recommending: Staff recommends approval of Final Map and Subdivision Improvement Agreement to allow the Development to move forward.

FISCAL IMPACT:

The Developer has reimbursed the City for costs associated with plan review, permitting and construction inspection for off-site public improvements constructed by the Developer. The City will have perpetual ownership and maintenance responsibilities for the improvements following construction and acceptance, after the one (1) year warranty period of the Project. The Public Works Department provides funding for future maintenance of newly accepted City infrastructure through their operating budget.

California Environmental Quality Act (CEQA):

On June 3, 2008, the City Council certified an Environmental Impact Report (EIR,State Clearinghouse No. 2006032091) prepared to analyze the environmental impacts associated with the proposed Transit Area Specific Plan, and subsequently adopted the Transit Area Specific Plan (the “Metro” specific plan, formerly known as the Transit Area Specific Plan or TASP).

The Planning Division conducted an initial environmental assessment (P-EA22-0003) of the Project in accordance with the California Environmental Quality Act (CEQA). The assessment concluded the Project site is located within the TASP area and is therefore exempt from further environmental review pursuant to CEQA Guidelines Section 15182 (Residential Projects Pursuant to a Specific Plan).

The Planning Commission found and determined the Project is exempt from further CEQA review pursuant to CEQA Guidelines Section 15183.3(b) (Residential Infill); and, as separate and independent basis, the Project is exempt from further CEQA review pursuant to CEQA Guidelines Section 15182 (Projects Pursuant to a Specific Plan)
RECOMMENDATION:
(1) Approve Final Map, Tract No. 10614, including all offers of dedications as stated and depicted on the final map upon completion and acceptance of improvements; and (2) Approve and authorize the City Manager to execute the Subdivision Improvement Agreement between the City of Milpitas and Toll West Coast, LLC.

Attachment(s):
(a) Final Map, Tract No. 10614
(b) Subdivision Improvement Agreement

Order Number: 0192-6959867
Page Number: 7
First American Title

LEGAL DESCRIPTION
Real property in the City of Milpitas, County of Santa Clara, State of California, described as follows:

PARCEL ONE:

PARCEL 2 AS SHOWN ON THE PARCEL MAP FILED SEPTEMBER 20, 1993 IN BOOK 650 OF MAPS, PAGES 25 AND 26 IN THE OFFICE OF THE RECORDER OF SANTA CLARA COUNTY, STATE OF CALIFORNIA.

PARCEL TWO:

PARCEL 3 AS SHOWN ON THAT CERTAIN MAP ENTITLED, "PARCEL MAP", WHICH MAP WAS FILED FOR

RECORD IN THE OFFICE OF THE RECORDER OF THE COUNTY OF SANTA CLARA, STATE OF CALIFORNIA ON NOVEMBER 28, 1978 IN BOOK 431 OF MAPS, PAGE(S) 2 AND 3.

APN: 086-36-045 (Parcel One) and 086-36-033 (Parcel Two)

ENGINEER'S OPINION OF PROBABLE CONSTRUCTION COSTS

GEOMAX - OFFSITE IMPROVEMENT

MILPITAS, CALIFORNIA
(For Off-Site Improvements Bonding Purposes)
Jan 19, 2024
Job No. 211072

A. DEMOLITION/SITE WORK $88,150
B. ASPHALT PAVING $57,300
C. CONCRETE $119,100
D. SANITARY SEWER $20,900
E. STORM DRAIN $37,700
F. POTABLE WATER $82,700
G. MISCELLANEOUS $46,500
SUBTOTAL = $452,350
15% CONTSTRUCTION CONTINGENCY = $67,850
10% MOBILIZATION COST = $45,240
10% TRAFFIC CONTROL COST = $45,240
TOTAL ESTIMATED CONSTRUCTION COST = $611,000
Notes:

1. 2. This engineer's opinion is based on Geomax Off-Site Improvement Plans, dated Jan 17, 2024

SUMMARY
All cost figures are given as estimates only. Actual cost will be dependent on the cost figures at bidding time; the general market situation, contractor's work load, seasonal factor, labor and cost, etc. This engineering firm cannot be responsible for fluctuations in cost factors.

G:\Job2021\211072\Admin\Estimates\Geomax Off-Site Estimate

ENGINEER'S OPINION OF PROBABLE CONSTRUCTION COSTS

GEOMAX - OFFSITE IMPROVEMENT

MILPITAS, CALIFORNIA
(For Off-Site Improvements Bonding Purposes)
Jan 19, 2024
Job No. 211072

DESCRIPTION QUANTITY UNIT PRICE AMOUNT
A. DEMOLITION/SITEWORK

1. Remove and Offhaul Existing Curb, Gutter 680 LF $35.00 $23,800

2. Remove and Offhaul Existing Driveway & Sidewalk 1,525 SF $4.00 $6,100

3. Remove Existing 12" Water Line 250 LF $150.00 $37,500

4. Remove and Offhaul Existing AC Pavement 4,150 SF $5.00 $20,750 SUBTOTAL = $88,150
B. ASPHALT PAVING

1. Fine Grading 18,300 SF $1.00 $18,300

2. 12" AC Plug 900 SF $10.00 $9,000

3. Sawcut 675 LF $6.00 $4,050

4. 2" Grind and Overlay 8,650 SF $3.00 $25,950
SUBTOTAL = $57,300
C. CONCRETE

1. 6" Curb & Gutter 620 LF $45.00 $27,900

2. Sidewalk 5,600 SF $12.00 $67,200

3. Driveway/Project Entrance 1,200 SF $20.00 $24,000
SUBTOTAL = $119,100
D. SANITARY SEWER

1. 8" PVC 30 LF $180.00 $5,400

2. Manhole Structure 2 EA $6,000.00 $12,000

3. Connect to Existing Sanitary Sewer 1 EA $3,500.00 $3,500 SUBTOTAL = $20,900
E. STORM DRAIN

1. 12" RCP 20 LF $210.00 $4,200

2. 15" RCP 80 LF $225.00 $18,000

3. Manhole Structure 2 EA $6,000.00 $12,000

4. Connect to Existing Storm Water Inlet 1 EA $3,500.00 $3,500 SUBTOTAL = $37,700
ITEM
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ENGINEER'S OPINION OF PROBABLE CONSTRUCTION COSTS

GEOMAX - OFFSITE IMPROVEMENT

MILPITAS, CALIFORNIA
(For Off-Site Improvements Bonding Purposes)
Jan 19, 2024
Job No. 211072

ITEM DESCRIPTION QUANTITY UNIT PRICE AMOUNT
F. POTABLE WATER

1. Relocate Existing Fire Hydrant 1 EA $3,000.00 $3,000

2. 12" PVC 220 LF $210.00 $46,200

3. Connect to Existing Water Line 3 EA $5,000.00 $15,000

4. Adjust Ex Valve Box to Finish Grade 1 EA $1,000.00 $1,000

5. Fire Hydrant (With Lateral and Valve) 3 EA $3,500.00 $10,500

6. Abandon Existing Water Service 2 EA $2,500.00 $5,000

7. 1" Irrigation Water Service, 3/4" Meter 1 EA $2,000.00 $2,000 SUBTOTAL = $82,700
G. MISCELLANEOUS

1. Signing & Striping 1 LS $5,000.00 $5,000

2. Remove and Install New Street Monument 1 EA $500.00 $500

3. Monument 2 EA $500.00 $1,000

4. Street lights, including costs for the conduit, pole, pull box, and conductors
2 LS $20,000.00 $40,000
SUBTOTAL = $46,500
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ENGINEERS  PLANNERS  SURVEYORS
4690 CHABOT DRIVE, SUITE 200, PLEASANTON, CA 94588 T: (925) 227-9100 / F: (925) 227-9300 / www.rja-gps.com

ENGINEER'S OPINION OF PROBABLE CONSTRUCTION COSTS

GEOMAX - OFFSITE WATER LINE REPLACEMENT

MILPITAS, CALIFORNIA
(For Off-Site Improvements Bonding Purposes)
September 22, 2023
Job No. 211072

A. SITE WORK $6,000
B. POTABLE WATER $124,000
SUBTOTAL = $130,000
15% CONTSTRUCTION CONTINGENCY = $19,500
10% MOBILIZATION COST = $13,000
10% TRAFFIC CONTROL COST = $13,000
TOTAL ESTIMATED CONSTRUCTION COST = $176,000
Notes:

1. 2.

SUMMARY
All cost figures are given as estimates only. Actual cost will be dependent on the cost figures at bidding time; the general market situation, contractor's work load, seasonal factor, labor and cost, etc. This engineering firm cannot be responsible for fluctuations in cost factors.

This engineer's opinion is based on Geomax Off-Site Improvement Plans by Ruggeri-Jensen-Azar dated September 22, 2023.

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