Modesto City Council
June 25, 2024

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Via Teleconference
Councilmember Escutia-Braaton
Atlanta Marriott Marquis Hotel
265 Peachtree Center Avenue, NE
Atlanta, GA. 30303

MODESTO CITY COUNCIL
www.modestogov.com
AGENDA
City of Modesto

CITY COUNCIL MEETING
Chambers, Basement Level
Tenth Street Place, 1010 10th Street
Modesto, California
Tuesday, June 25, 2024 at 5:30 PM
Roll Call - Councilmembers Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen
* Public Comment will only be in-person. Members of the public who wish to address the Council, by providing public comment, during the meeting must do so in-person in the Council Chambers.

As an alternative, members of the public may also provide written public comment submitted via email as indicated in the Submitting Comments by Email instructions on this agenda. Zoom will still be available for viewing and Wordly translation.
*Members of the public will be allowed to provide public comment through Zoom if a Councilmember is participating remotely pursuant to the provisions of Assembly Bill 2449. *Effective March 1, 2023, if a technical issue arises with Zoom or the phone dial-in option, the Council meeting will continue unless the meeting is being held pursuant to the provisions of Assembly Bill 2449. Alternative viewing options are listed below, and the meeting is physically open to the public.
“Wordly” can translate into 25+ different languages! To access written translation during the meeting, please scan the QR Code or click this link https://attend.wordly.ai/join/RJDY-6364.
"Wordly" puede traducir a más de 25 idiomas diferentes! Para acceder a la traducción durante la reunión, por favor escanee el código QR o haga clic en el enlace https://attend.wordly.ai/join/RJDY-6364.
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You may observe a livestream of the meeting at http://media.modestogov.com. You may also view or listen to the meeting as indicated below.

THE MEETING CAN BE VIEWED BY ZOOM VIDEO

CONFERENCING OR TELEPHONE
Joining the City Council meeting via Zoom
The City of Modesto is now offering the ability to view Council meetings via telephonic conferencing via “Zoom” video conferencing computer technology. The meeting may be accessed through the use of Zoom using the following options:
 Enter the following link into an Internet Browser
https://us02web.zoom.us/j/86945970570,
 Enter the following link into an Internet Browser https://zoom.us/ and using the Webinar ID 869 4597 0570
 Passcode 84326
To use Zoom, please visit: https://zoom.us/ and either sign-up for a free Zoom account or continue as a guest. Once you have downloaded the app onto your mobile device, joined from your web browser, or downloaded the Zoom software on your computer you will be ready for the upcoming Council meeting.

Joining the City Council meeting via Telephone
If you don’t have a smart phone or computer to access the meeting via Zoom, you can listen by phone, by calling 1-877-853-5257 (Toll Free) or 1-888-475-4499 (Toll Free) and enter the Webinar ID 869 4597 0570 Passcode 84326

SUBMITTING COMMENTS BY E-MAIL
Written comments may be submitted via email to: [email protected] (include Agenda Item Number in the subject line). All comments will be shared with the Councilmembers and placed in the record but will not be read aloud during the meeting. Written comments must be received two hours before the meeting.

This Agenda is on file in the City Clerk’s Office, Sixth Floor, 10th Street Place, Posting Board at entry of 10th Street Place, and is available on the City’s Web site at www.modestogov.com.

Materials related to an item on this Agenda submitted to the Council after distribution of the agenda packet are available for public inspection in the Clerk’s office during normal business hours. Such documents are also available online, subject to staff’s ability to post the documents before the meeting, at the following website https://www.modestogov.com/council-meetings In accordance with the requirements of Title II of the Americans with Disabilities Act (“ADA”) of 1990, the Fair Employment & Housing Act (“FEHA”), the Rehabilitation Act of 1973 (as amended), Government Code section 11135 and other applicable codes, the City of Modesto (“City”) will not discriminate against individuals on the basis of disability in the City’s services, - 2 -
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programs, or activities. For more information, please visit the City of Modesto website at https://www.modestogov.com/865/Americans-with-Disabilities-Act-ADA In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk (209) 577-5396. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.

Pledge of Allegiance to the Flag
Invocation: Carlos Gonzalez, City Ministry Network
City Clerk’s Announcements
Declaration of Conflicts of Interest
Reports from Closed Session

ACKNOWLEDGEMENTS AND PRESENTATIONS

1. Poem by outgoing Poet Laureate Sal Salerno. (Funding Source: Not Applicable) PRN; Diane Sheatsley, 209-577-5418, [email protected]

2. Youth Commission Presentation (Funding Source: Not Applicable) PRN; Valerie Garcia, 209-571-5576, [email protected]

MISCELLANEOUS
Legislation, Appointments, Other

3. Consider approving the appointments for David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the Board of Building Appeals for a four-year term with a term expiration of January 01, 2027. (Funding Source: Not Applicable) Staff Recommendation:
 Resolution approving the appointments of David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the City of Modesto Board of Building Appeals to a fouryear term, with a term expiration of January 01, 2027.

CED; Oscar Diaz, 209-577-5232, [email protected]

4. Consider approving the appointments of Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028. (Funding Source: Not Applicable) Staff Recommendation:
 Resolution approving the appointments of Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028.

ENGINEERING SERVICES; Toby Wells, 209-571-5542, [email protected] - 3 -
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PUBLIC COMMENT IN PERSON
Three-minute time limit per speaker.

Only interested persons in the audience may present these matters. Under State law, Councilmembers may respond to matters being presented under this item only as follows:
a. Briefly respond to statements made or questions raised. b. Ask a question for clarification.
c. Provide a reference to staff or other resources for factual information. d. Request staff to report back at a subsequent meeting. e. Finally, a Councilmember or the Council itself may take action to direct staff to place a matter of business on a future agenda.

CONSENT ITEMS – ROLL CALL VOTE REQUIRED
Information concerning the consent items listed below has been forwarded to each Councilmember prior to this meeting for study. Unless some member of the audience or Councilmember has a question concerning an item and asks that it be withdrawn from the consent list, the Council approves the items at one time. The action taken by the Council in approving consent items is set forth in the explanation of this individual item.

CONSENT
An item may be removed from consent and discussed at the request of an audience member or Councilmember.

Consent

5. Consider approving the minutes for the June 11, 2024 Council Meeting. (Funding Source: Not Applicable)
Staff Recommendation:
 Motion approving the minutes for the June 11, 2024 Council Meeting.

CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] Consent

6. Consider approving the State of California Homekey Resolution authorizing a joint application to and participation in the Homekey program for the development at 710 N. 9th Street. (Funding Source: Homekey 3 Funds)
Staff Recommendation:
 Resolution of the Governing Body of the City of Modesto authorizing joint application to and participation in the Homekey Program for the development at 710 N. 9th Street.

CED; Edgar Garcia, 209-577-5211, [email protected] Consent

7. Consider approving the Second Amendment increasing the Agreement amount with 4- LEAF, Inc. for Professional Services for Plan Review and Inspection Services for a total amount not to exceed $642,000 over five years for the Rental Housing Safety - 4 -
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Program. (Funding Source: Measure H)
Staff Recommendation:
 Resolution approving the Second Amendment to the Professional Services Agreement with 4-LEAF, Inc. for Inspection Services by $30,000 from $53,000 to $83,000 for the fifth year with a revised total amount not to exceed $642,000 from $612,000 over five years and authorizing the City Manager, or his designee, to execute the Amendment.

CED; Oscar Diaz, 209-571-5885, [email protected]
Consent

8. Consider approving a Modesto Forward Grant Agreement with Stanislaus Community Foundation, to support in-home childcare entrepreneurship, for a total amount not to exceed $156,758. (Funding Source: American Rescue Plan Act Funds) Staff Recommendation:
 Resolution approving a Modesto Forward Grant Agreement with Stanislaus Community Foundation to support in home childcare entrepreneurship for a total amount not to exceed $156,758; and authorizing the City Manager, or his designee, to execute the Agreement.

CED; Trevin Barber, 209-571-5566, [email protected] Consent

9. Consider approving a Modesto Forward Grant Agreement with United Way of San Joaquin County for the implementation a Workforce Development Program by HealthForce Partners Northern San Joaquin Valley, for a total amount not to exceed $500,000 over two and a half years. (Funding Source: American Rescue Plan Act Funds)
Staff Recommendation:
 Resolution approving a Modesto Forward Grant Agreement with United Way of San Joaquin County for the implementation of a Workforce Development Program by HealthForce Partners Northern San Joaquin Valley, for a total amount not to exceed $500,000 over two and a half years, and authorizing the City Manager, or his designee to execute the Agreement.

CED; Trevin Barber, 209-571-5566, [email protected] Consent

10. Consider approving the summary vacation of an existing 60 feet wide by approximately 192 feet long (11,505.95 square feet) road right-of-way located at APN 033-089-037. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving the summary vacation of an existing 60 feet wide by approximately 192 feet long (11,505.95 square feet) road right-of-way located at APN 033-089-037.

ENGINEERING SERVICES; Jaspreet Mangat, 209-577-5253,
[email protected]
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Consent

11. Consider accepting the Jennings Command Center and Hahn Lift Station Restroom Project as complete, releasing securities, releasing payments totaling $568,374 to Harris Builders, Inc., of Hilmar, CA, and authorizing the City Clerk to file a Notice of Completion (Funding Source: Wastewater Fund)
Staff Recommendation:
 Resolution accepting the Jennings Command Center and Hahn Lift Station Restroom Project as complete, releasing securities, releasing payments totaling $568,374 to Harris Builders, Inc., of Hilmar, CA., and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] Consent

12. Consider approving the updates to the City’s Debt Management Policy. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving the updates to the City’s Debt Management Policy.

FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
Consent

13. Consider approving the updates to the City’s Investment Policy. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving the updates to the City’s Investment Policy.

FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
Consent

14. Consider accepting the Monthly Investment Report for April 2024. (Funding Source:

Various Funds)
Staff Recommendation:
 Motion accepting the Monthly Investment Report for April 2024.

FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
Consent

15. Consider accepting an informational report on the March and April 2024 grant applications and awards (Funding Source: Not Applicable) Staff Recommendation:
 Motion accepting an informational report for the March and April 2024, grant applications and awards.

FINANCE DEPARTMENT; Maria Garnica, 209-577-5249,
[email protected]
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Consent

16. Consider accepting an informational report for the May 2024 Accounts Payable Payment Register and Void Report. (Funding Source: Not Applicable) Staff Recommendation:
 Motion accepting an informational report for the May 2024 Accounts Payable Payment Register and Void Report.

FINANCE DEPARTMENT; Maria Garnica, 209-577-5249,
[email protected]
Consent

17. Consider approving an Automatic Aid Agreement with Woodland Avenue Fire Protection District (WFPD) for Modesto Fire Department (MFD) to provide firerelated emergency response to County "Islands" surrounded by the Modesto City limits. (Funding Source: General Fund)
Staff Recommendation:
 Resolution approving an Automatic Aid Agreement with Woodland Avenue Fire Protection District (WFPD) for Modesto Fire Department (MFD) to provide fire-related emergency response to County "Islands" surrounded by the Modesto City limits and authorizing the City Manager, or his designee, to execute the Agreement.

FIRE DEPARTMENT; Kevin Wise, 209-572-9590, [email protected] Consent

18. Consider approving the proposed Bylaw Amendments for the City of Modesto Youth Commission to increase Commission Members from nine to seventeen and extend the appointment term from one year to two years. (Funding Source: Not Applicable) Staff Recommendation:
 Resolution approving the proposed Bylaw Amendments for the City of Modesto Youth Commission to increase Commission Members from nine to seventeen and extend the appointment term from one year to two years.

PRN; Jeremy Rogers, 209-577-5347, [email protected] Consent

19. Consider approving the First Amendment with Adamson Police Products, Los Alamitos, CA, for Ballistic Vests increasing the Agreement amount by $113,416 and extending the term of the Agreement from June 30, 2024, to June 30, 2025. (Funding Source: General Fund)
Staff Recommendation:
 Resolution approving the First Amendment with Adamson Police Products, for Ballistic Vests, increasing the Agreement amount by $113,416 to a new total amount of $427,416 and extending the term of the Agreement from June 30, 2024, to June 30, 2025; and authorizing the City Manager, or his designee to execute the Amendment.

POLICE DEPARTMENT; Jessica Smart, 209-572-9500, [email protected] - 7 -
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Consent

20. Consider approving two Engineering Services Agreements with Carollo Engineers, of Walnut Creek, CA, for the Downtown Sewer Trunk Rehabilitation and the Santa Rosa Sewer Trunk Rehabilitation Projects, in the amount of $935,326, plus $93,534 in additional services, if needed, for a combined amount not to exceed $1,028,860. (Funding Source: Wastewater Fund)
Staff Recommendation:
 Resolution approving an Engineering Services Agreement with Carollo Engineers, of Walnut Creek, CA, for the Downtown Sewer Trunk Rehabilitation Project in the amount of $497,892, plus $49,790 in additional services, if needed, for an Agreement total amount not to exceed $547,682; and authorizing the City Manager, or his designee, to execute the Agreement.  Resolution approving an Engineering Services Agreement with Carollo Engineers, of Walnut Creek, CA, for the Santa Rosa Sewer Trunk Rehabilitation Project in the amount of $437,434, plus $43,744 in additional services, if needed, for an Agreement total amount not to exceed $481,178; and authorizing the City Manager, or his designee, to execute the Agreement.  Resolution approving an amendment to the Fiscal Year 2023-24 Multi-Year Program Budget in the amount of $8,431,782 from Wastewater Reserves to fund the Downtown Sewer Trunk Rehabilitation and Santa Rosa Sewer Trunk Rehabilitation Projects.

UTILITIES; Cristian Ciotau, 209-577-5260, [email protected] Consent

21. Consider approving an On-Call Electrical Engineering Design Services Agreement with Pezzoni Engineering, Inc, of Modesto, CA for a total amount not to exceed $300,000 over three years, and an On-Call Architectural Design Services Agreement with Red Inc. Architects, of Modesto, CA, for a total amount not to exceed $300,000 over three years. (Funding Source: Various Capital Improvement Program Projects) Staff Recommendation:
 Resolution approving an On-Call Electrical Engineering Design Services Agreement with Pezzoni Engineering, Inc., of Modesto, CA for a one-year Agreement with two one-year extension options, for an annual estimated amount of $100,000, and a total amount not to exceed $300,000 over three years; and authorizing the City Manager, or his designee, to execute the Agreement.
 Resolution approving an On-Call Architectural Design Services Agreement with Red Inc. Architects, of Modesto, CA for a one-year Agreement with two one-year extension options, for an annual estimated amount of $100,000, and a total amount not to exceed $300,000 over three years; and authorizing the City Manager, or his designee, to execute the Agreement.

UTILITIES; Edgar Vargas, 209-577-5424, [email protected] Consent

22. Consider approving an Agreement with Hach Company, Loveland, CO, for Field Services and Parts for a total amount not to exceed $389,405 over three years. - 8 -
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(Funding Source: Sewer Operations Fund)
Staff Recommendation:
 Resolution approving the Sole Source Agreement with Hach Company, Loveland, CO, for Field Services and Parts for a three year Agreement, for an estimated annual amount of $123,134, and a total amount not to exceed $389,405 over three years and authorizing the Director of Finance, or her designee, the ability to add parts based on the department’s needs, ensuring the total amount does not exceed the authorized total; and authorizing the City Manager, or his designee, to execute the Agreement
UTILITIES; Jeff Daniels, 209-577-6255, [email protected]

COUNCIL COMMENTS & REPORTS

CITY MANAGER COMMENTS & REPORTS

NEW BUSINESS

23. Consider approving a Right of Entry Agreement with DignityMoves for the development of a 42-unit bridge housing project on a City-owned parcel located on the corner of 9th and E Street and approving a three-year Lease Agreement with Modesto BHBH LP in the amount of $1 per year for the operation of the Bridge Housing project. (Funding Source: Stanislaus County Funds)
Staff Recommendation:
 Resolution approving a Right of Access Agreement with DignityMoves for the development of a 42-unit bridge housing project on a City-owned parcel located on the corner of 9th and E Street and authorizing the City Manager, or his designee, to negotiate and execute the Agreement.
 Resolution approving a three-year lease with Modesto BHBH, LP in the amount of $1 per year for the operations of a 42-unit bridge housing project on a City-owned parcel located on the corner of 9th and E Street and authorizing the City Manager, or his designee, to negotiate and execute the Agreement.

CED; Edgar Garcia, 209-577-5211, [email protected]

MATTERS TOO LATE FOR THE AGENDA
These may be presented by members of the City Council and staff upon determination by a majority vote that an emergency exists, as defined by State law, or by a 2/3 vote that (1) there is a need to take immediate action, and (2) that the need for action came to the City’s attention after the agenda was posted.

ADJOURNMENT
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CLOSED SESSION
Please take notice that a special Closed Session meeting of the Council of the City of Modesto has been called pursuant to Section 2-1.02 of the Modesto Municipal Code to be convened on TUESDAY, JUNE 25, 2024 AT 4:30 PM
and after the regularly scheduled meeting in the Tenth Street Place, Chambers Conference Room, Basement Level, 1010 Tenth Street, Modesto, California. Any and all of the following agenda items are subject to action being taken by the Modesto City Council.

The business to be considered at said City Council meeting shall consist of a Closed Session concerning the following:

CLOSED SESSION

1. Consider appointing Real Property Negotiator Joseph P. Lopez, City Manager for Properties: APN: 102-012-001 and 102-012-004
Motion appointing Real Property Negotiator Joseph P. Lopez, City Manager for Properties: APN: 102-012-001 and 102-012-004
City Attorney, Jose M. Sanchez, 577-5284, [email protected] CONFERENCE WITH REAL PROPERTY NEGOTIATORS:
(Pursuant to Section 54956.8 of the Government Code)
Property: 601 Neece Dr., Modesto, CA 95351; APN: 102-012-001 and 102-012-004 Property Owners: City of Modesto
Negotiating Parties:

For City: Joseph P. Lopez, City Manager
For Lessee: The Baseball Club of Modesto, LLC
Under Negotiation: Price and Terms of Lease
Posted pursuant to Government Code Section 54954.2 on the bulletin board at Tenth Street Place on
at by
date time signature
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: June 4, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Appointments to the Board of Building Appeals
CONTACT: Oscar Diaz, Chief Building Official
[email protected], 209-577-5232
DESCRIPTION:

Consider approving the appointments for David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the Board of Building Appeals for a four-year term with a term expiration of January 01, 2027. (Funding Source: Not Applicable)
STRATEGIC PLAN ELEMENT:

This action supports the City’s Strategic Commitment, “Build Community trust in City Government through Responsive, Transparent and Efficient Service Delivery. Goal I. Promote Trust and Engagement between the Community and the City”.

BACKGROUND:

The Board of Building Appeals was established to hear appeals from any person questioning an order of the City’s Chief Building Official related to building, plumbing, mechanical, electrical, dangerous building, or housing codes. Additionally, the Board recommends changes to the building codes as appropriate. The members are appointed to four-year terms with no limit to the number of terms they may serve.

Section 11021 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards and Commissions with the recommendation of the City’s Appointments Committee.

DISCUSSION:

Board Members Savannah Williams and Sebastian Jones completed their terms on December 31, 2023 and Board Member Nand Kishore passed away unexpectedly in January 2023. This has opened up three vacancies over the last year on the Board of Building Appeals, with now only two active members serving on the Board. Per Modesto Municipal Code section 9-1.1101, these vacancies should be filled by candidates who are qualified by experience to pass upon matters pertaining to building construction.
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Appointments to the Board of Building Appeals

Outreach for the Board of Building Appeals included posting the vacancy in the Modesto Bee, and through the City of Modesto’s Social Media accounts. City staff also notified the public through emails to those who have applied for Building permits.

The Appointments Committee received eighteen (18) applications for the Board of Building Appeals. Eleven (11) candidates have experience in construction.

FISCAL IMPACT:

There is no fiscal Impact related to this action.

COMMITTEE RECOMENDATION:

This item was presented to the Appointment Committee on June 5, 2024, and David Harter, Huelon “Herk” Usrey, and Jesse Wiggins were recommended to move forward to Council for appointment to the Board of Building Appeals.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the appointments of David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the City of Modesto Board of Building Appeals to a four-year term, with a term expiration of January 01, 2027.

Approved by:

Jessica Hill, Director of Community
and Economic Development
Joseph P. Lopez, City Manager
Attachments:

1. Resolution

2. Board of Building Appeals Bylaws
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MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX

RESOLUTION APPROVING THE APPOINTMENTS OF DAVID HARTER,
HUELON “HERK” USREY, AND JESSE WIGGINS TO THE CITY OF

MODESTO BOARD OF BUILDING APPEALS TO A FOUR-YEAR TERM,
WITH A TERM EXPIRATION OF JANUARY 01, 2027
WHEREAS, Section 1102 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards and Commissions, and WHEREAS, Board of Building Appeals members Savannah Williams and Sebastian Jones completed their terms on December 31, 2023 and Board Member Nand Kishore passed away unexpectedly in January 2023, and
WHEREAS, the Appointments Committee met on June 5, 2024, and after reviewing the 18 applications, recommended the appointment of David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the Board of Building Appeals.

NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Modesto that it hereby approves the appointment of David Harter, Huelon “Herk” Usrey, and Jesse Wiggins to the Board of Building Appels to a four-year term, with a term expiration of January 01, 2027.

BE IT FURTHER RESOLVED, that City Clerk is hereby directed to transmit a copy of this resolution to the appointed member of the Board of Building Appeals, and the Secretary thereof.

The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 25th day of June, 2024, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:
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AYES: Councilmembers:

NOES: Councilmembers
ABSENT: Councilmembers

ATTEST:_________________________

DIANE NAYARES-PEREZ, CMC,
City Clerk
(SEAL)
APPROVED AS TO FORM:

BY: _________________________________
JOSE M. SANCHEZ, City Attorney
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Revised 01/26/2012

RULES AND REGULATIONS
OF

BOARD OF BUILDING APPEALS
ARTICLE I.

ORGANIZATION
Section 1.1 Establishment
The Board of Building Appeals of the City of Modesto hereafter called "The Board," is established pursuant to the provisions of Title IX Chapter(s) 1,2,3, 7 and 8 of the Modesto Municipal Code.

ARTICLE II.

POWERS AND DUTIES
Section 2.1 Enumerated.

The Board shall have the following powers and duties:
a. Hear and determine appeals from any person aggrieved by any order of the Chief Building Official issued pursuant to the Building Maintenance Code of the City of Modesto. b. Hear and determine appeals from any person aggrieved by an interpretation by the Chief Building Official of any of the adopted Building, Electrical, Plumbing, Mechanical, and Building Maintenance Codes per Title IX of Modesto Municipal Code c. Determine the suitability of alternative materials and methods of construction d. Provide reasonable interpretations of any of the adopted Building, Electrical, Plumbing, Mechanical, and Building Maintenance Codes per Title IX of Modesto Municipal Code e. Render decisions affirming, modifying, or reversing orders of the Chief Building Official. f. Make recommendations to the City Council for new legislation consistent with the intent of any of the adopted Building, Electrical, Plumbing, Mechanical, and Building Maintenance Codes per Title IX of Modesto Municipal Code Consult with and advise the Chief Building Official, his staff and other City departments on matters concerning any of the adopted Building, Electrical, Plumbing, Mechanical, and Building Maintenance Codes per Title IX of Modesto Municipal Code ARTICLE III.

MEETINGS
Section 3.1 Regular Meetings.

The regular meetings of the Board shall be held at 4 p.m. on the fourth Thursday of each calendar month. If a regular meeting day falls on a holiday, as defined by the Government Code of the State of California, the meeting shall be held on the next business day. If all members are absent from any regular or adjourned meeting, the Secretary may declare the meeting adjourned to a stated time and place. If so, the Secretary shall cause written notice of the adjournment to be given in the same manner provided for in Section 3.2 hereof for special meetings, unless the notice is waived as provided for special meetings. Whenever a regular or adjourned regular meeting is adjourned as provided in this section, the resulting adjourned regular meeting is a regular meeting for all purposes. When an order of #3..
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Revised 01/26/2012
adjournment of any meeting fails to state the hour at which the adjourned meeting shall be held,it shall be held at the hour specified for the regular meeting which was adjourned.

Section 3.2 Special Meetings.

A special meeting may be called at any time by the Chairperson of the Board whenever, in the Chair's opinion, the public business may require it, or upon the written request of two (2) members of the Board. Whenever a special meeting shall be called, written notice of such meeting shall be delivered personally or by mail by the office of the Secretary of the Board to each member of the Board and to each local newspaper of general circulation, radio or television station requesting notice in writing. Such notice must be delivered at least twenty-four (24) hours before the time of such meeting as specified in the notice. The notice shall specify the time and place of the special meeting and the business to be transacted. No other business shall be considered at such meetings by the Board. The written notice may be dispensed with as to any member of the Board who, at or prior to the time the meeting convenes, files with the Secretary a written notice of waiver. Waiver may be given by telegram. The written notice may also be dispensed with as to any member who is actually present at the meeting at the time it is convened.

Section 3.3 Place of Meetings.

All meetings shall be held in the Official Council Chambers of the City of Modesto or in such other location in the City as may be designated by the Board
Section 3.4 Quorum.

A majority of the members of the Board shall constitute a quorum for the transaction of business, but a less number than a quorum may adjourn from time to time.

Section 3.5 Meeting to be Public.

All meetings of the Board shall be open to the public except that executive sessions may be called for personnel matters.

Section 3.6 Roll Call Vote.

A roll call vote shall be taken upon all decisions and be entered upon the journal of the proceedings of the Board. All other determinations of the Board may be by voice vote except where otherwise provided by law. Upon the request of any member, a roll call vote shall be taken and recorded on any vote.

Whenever a roll call vote of the Board is in order, the names of the members shall be called in alphabetical order except that the name of the presiding officer shall be called last. All members present shall be required to vote. The affirmative or negative vote of a majority of the entire membership of the Board shall be necessary for it to take action.

Section 3.7 Attendance.

Regular attendance at all meetings of the Board is required of all members to enable the Board to discharge the duties imposed upon it by law. If a member absents himself from three (3) regular meetings of the Board consecutively, without securing the permission of the Board expressed in its official minutes, the Secretary shall notify the City Council of this absence in writing. #3..
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Revised 01/26/2012
Section 3.8 Agenda and Reports.

In order to facilitate the orderly conduct of the business of the Board, the Secretary shall arrange an agenda of the matters to be considered by the Board at its next meeting in accordance with the order of business, together with a report outlining all known facts in each case to be considered by the Board, with such analysis as is necessary, including recommended action when appropriate. The agenda and all reports shall be delivered or mailed to each member of the Board, the City Manager and the City Attorney prior to the Board meeting at which they are to be considered, as far as possible in advance of the meeting as time will permit. No matter not included on the agenda may be presented to the Board without obtaining the unanimous consent of the members of the Board present at the meeting.

Section 3.9 Road Trips.

In all cases where, in the opinion of the Board, a review of the premises will assist in making a decision, a field trip shall be arranged at the meeting at which the case is being heard. Such field trips shall be at a specified time and day set by the Board.

Section 3.10 Order of Business.

The order of business for all meetings shall be:
 Roll Call.
 Approval of Minutes.
 Oral Communications.
 Conflict of Interest Declaration.
 Business.
 Matters Too Late For The Agenda.
 Matters For Future Agendas.
 Adjournment.

Section 3.11 Reading of the Minutes.

The Secretary shall furnish each member of the Board with a copy of the minutes of all Board meetings and unless the reading of the minutes of the previous Board meeting is requested by a member of the Board, such minutes may be approved without reading.

Section 3.12 Parliamentary Procedure.

Except as otherwise provided in these rules and regulations, all meetings of the Board shall be conducted in accordance with the latest edition of Sturgis Standard Code of Parliamentary Procedure.

Section 3.13 Annual Meeting.

As soon as practical following the first day of January of each year, the Board shall hold an annual meeting at which time it shall elect a Chairperson and Vice-Chairperson. The annual meeting may consist of the first regular meeting of the Board held in January of each year.

ARTICLE IV.

OFFICERS
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Revised 01/26/2012
Section 4.1 Enumerated.

The officers of the Board shall be:
 A Chairperson, whose duties shall be to preside at all meetings; and  A Vice-Chairperson, who shall, in the absence of the Chairperson, perform the duties of the Chairperson.
 A Secretary, who shall keep written records of all business transacted by the Board, notify Board members of meetings, and keep the official records of the Board. Upon the direction of the Board, the Secretary shall perform such other secretarial duties as the Board may require. The Chief Building Official shall act as Secretary pursuant to Section 105 of the Building Code of the City of Modesto.

Section 4.2 Election of Officers.

The Chairperson and Vice-Chairperson of the Board shall be elected annually as provided by Section 3.13 hereof.
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: June 5, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Toby Wells, Director of Engineering Services Department/City Engineer SUBJECT: Measure L Citizen’s Transportation Sales Tax Commission Appointments CONTACT: Toby Wells, Director of Engineering Services Department/City Engineer, [email protected], 209-571-5542
DESCRIPTION:

Consider approving the appointments of Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028. (Funding Source: Not Applicable)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City’s 2020-2025 Strategic Plan Service and Delivery Goals and Strategies – Goal I: “Promote trust and engagement between the community and the City.”
BACKGROUND:

Section 1102 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards and Commissions with the recommendation of the City’s Appointments Committee. The purpose of the Measure L Citizen’s Transportation Sales Tax Commission is to provide oversight of the collection and spending of tax revenue generated by Measure L (Ordinance No. 3656-C.S.).

Pursuant to Citizen’s Transportation Sales Tax Commission Ordinance 3656-C.S. and adopted Bylaws, the Commission shall consist of eleven (11) qualified city residents. Strong consideration shall be given to composing the Commission of:
• Two members from any bona fide local taxpayer’s association, • One member from any bona fide local nonpartisan political organization, • Two members from bona vide Modesto Neighborhood Associations, • One member from any bona fide association representing business, • One member from a large business located in the City, • One member from a small business located in the City, • One members from a bona fide labor union with members residing in the City, #4..
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Council Meeting, June 25, 2024
Measure L Citizen’s Transportation Sales Tax Commission Appointments

• One member from a former Stanislaus County Civil Grand Jury who has served in that role within the previous five years of his or her appointment.

On April 11, 2023, City Council approved Resolution No. 2023-169 adopting the Bylaws for the Measure L Citizen’s Transportation Sales Tax Commission. The adopted Bylaws provide the terms of office and allow for the reappointment for up to two terms.

DISCUSSION:

Citizen’s Transportation Sales Tax Commission has several seats open for new appointments.

A summary of the current filled and vacant seats, by representation, is listed and explained below:

Seat Representing Status
1 Local Taxpayer's Association Incumbent
2 Local Taxpayer's Association Vacant
3 Local Nonpartisan Political Organization Incumbent
4 Modesto Neighborhood Association Incumbent
5 Modesto Neighborhood Association Incumbent
6 Association Representing Business Incumbent
7 Large Business Vacant
8 Small Business Incumbent
9 Labor Union Incumbent
10 Labor Union Vacant
11 Stanislaus County Civil Grand Jury Vacant
There are currently four seats that remain vacant due to lack of applicants. Staff continue to post the vacancies on social media, the City website and send emails to potential applicants.

The current commission representatives have also actively shared information and outreach to recruit applicants. As a result, we have received two new applications with no previous applications on file. The two applicants, Craig Lewis and Tim Ragsdale, if appointed, would fill the vacant seats Large Business and Local Taxpayer’s Association, respectively.

FISCAL IMPACT:

There is no fiscal impact associated with the appointment action.

COMMITTEE RECOMMENDATION:

The two applications were reviewed by the Appointments Committee on June 5, 2024 and recommended to City Council for approval.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the appointments of Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028.
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Council Meeting, June 25, 2024
Measure L Citizen’s Transportation Sales Tax Commission Appointments

Approved by:

Toby Wells, Director of Engineering Services/City
Engineer
Joseph P. Lopez, City Manager
Attachments:

1. Resolution

2. By-Laws
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6/25/2024/ESD/twells 1 2023-?

MODESTO CITY COUNCIL
RESOLUTION NO. 2024-

RESOLUTION APPROVING THE APPOINTMENTS OF CRAIG LEWIS
AND TIM RAGSDALE TO THE CITIZEN’S TRANSPORTATION SALES

TAX COMMISSION FOR A FOUR-YEAR TERM WITH A TERM FROM
JULY 1, 2024 TO JUNE 30, 2028
WHEREAS, Section 1102 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards and Commissions; and WHEREAS, on April 11, 2023, by Resolution No. 2023-169, Council adopted the Bylaws for the Measure L Citizen’s Transportation Sales Tax Commission (the “Commission”); and
WHEREAS, there are currently four seats that remain vacant on the Commission due to lack of applicants. Staff continue to post the Commission vacancies on social media, the City website and send emails to potential applicants; and WHEREAS, the current Commissioners have also actively shared information and outreach to recruit applicants. As a result, the Commission received two new applications with no previous applications on file; and
WHEREAS, the two applicants, Craig Lewis and Tim Ragsdale, would fill seats Large Business and Local Taxpayer’s Association, respectively; and WHEREAS, on June 5, 2024, the Appointments Committee recommended appointing Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby appoints Craig Lewis and Tim Ragsdale to the Citizen’s Transportation Sales Tax Commission for a four-year term with a term from July 1, 2024 to June 30, 2028.
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6/25/2024/ESD/twells 2 2023-?
BE IT FURTHER RESOLVED that the City Clerk is hereby directed to transmit a copy of this resolution to the appointed members of the Citizens’ Transportation Sales Tax Commission, thereof.

The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 25th day of June, 2024, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ATTEST:

DIANE NAYARES-PEREZ,
CMC, City Clerk
APPROVED AS TO FORM:

BY:

JOSE M. SANCHEZ, City Attorney
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Exhibit A

CITIZENS' TRANSPORTATION SALES TAX COMMISSION
BYLAWS
(Approved by City Council: April 11, 2023, Resolution No. 2023-169) #4..
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Article I. Definitions
Section 1.01 The City Council established a Commission known and designed as the Citizens’ Transportation Sales Tax Commission.

Section 1.02 As used in these Bylaws, unless a different meaning clearly appears from the context:
(a) “Member” shall mean a member of the Citizens’ Transportation Sales Tax Commission.
(b) “Commission” shall mean the Citizens’ Transportation Sales Tax Commission.

Article II. Duties
Section 2.01 Pursuant to MMC 8-10.101(a):
“A Citizen’s Transportation Sales Tax Commission, hereinafter “Commission,” is hereby established for the purpose of providing oversight of the collection and spending of tax revenue from any local transportation sales tax. For purposes of this chapter, a “local transportation sales tax” is defined as a sales tax imposed on City residents for purposes of generating funds to specifically fund the City’s transportation plan; any local tax used to fund general services in the City is not a “local transportation sales tax.” The first such Commission shall be appointed by the Council no later than ninety (90) days from the effective date of the passage of any local dedicated tax imposed for transportation purposes. The Commission shall regularly meet and make recommendations to the Council to provide oversight of any transportation tax then in effect.” Section 2.02 Pursuant to MMC 8-10.101 (b):
“The duties of the Commission shall include, but not be limited to, the following:
(1) Reviewing the annual work plan and priorities for revenue derived from any transportation sales tax then in effect; #4..
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(2) Analyzing and commenting on any proposed items in the City budget that would lessen the City’s its commitment to road and street funding from sources of revenue other than any transportation sales tax then in effect;
(3) Reviewing any policies, standards or similar measures that the City uses to set priorities for where revenues from any transportation sales tax then in effect are to be spent; (4) Reviewing any proposals for the City to use bond or similar financing secured by revenues from any transportation sales tax then in effect;
(5) Reviewing any policies, standards or similar measures that the City uses to determine whether work funded by the tax shall be done “in-house” or through outside contracts; and,
(6) Reviewing any other matter the Council deems appropriate related to any local transportation sales tax. The Council shall appropriate adequate funds for the work of the Commission.” Article III. Membership of Commission
Section 3.01 Pursuant to MMC 8-10.102:
“The Commission shall consist of eleven (11) qualified electors residing within the City and shall be appointed by the City Council by resolution pursuant to the provisions below:
(a) Strong consideration shall be given to composing the Commission of:
(1) Two (2) members from any bona fide local taxpayer’s association with tax-exempt status under the relevant
provisions of the Internal Revenue Code;
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(2) One (1) member from any bona fide local nonpartisan political organization, with tax-exempt status under
Section 501(c)(3) of the Internal Revenue Code,
dedicated to encouraging informed and active
participation in government;
(3) Two (2) members from bona fide Modesto
Neighborhood Associations or organizations with
similar purposes with tax-exempt status under Section
501(c)(3) of the Internal Revenue Code;
(4) One (1) member from any bona fide association
representing business such as a chamber of commerce;
(5) One (1) member from a large business located in the City;
(6) One (1) member from a small business located in the City;
(7) Two (2) members from a bona fide labor union with
members residing in the City; and,
(8) One (1) member from a former Stanislaus County Civil Grand Jury who has served in that role within the
previous five (5) years of his or her appointment.”
(b) No member of the Commission shall be a relative by blood or marriage within the second degree of the Mayor, a member of the Council, any Charter officer, or any department head or deputy department head.
(c) No member of the Commission shall be an employee of the City nor any bargaining unit for employees of the City, nor be a person who receives compensation from the City or from bargaining units of the City in any manner, including
retirement benefits.
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(d) No member of the Commission shall be a lobbyist or other person with business before the City that represents an economic interest in excess of the limit for material financial effect as established by state law.
(e) Members of the Commission shall serve without
compensation.
(f) One-half of the Commissioners for the Commission in 2017 shall be appointed to two year terms and one-half shall be appointed to four year terms. Thereafter, each Commissioner shall be appointed to a four year term unless the appointment is to fill a vacancy.

Section 3.02 All Members must complete a Statement of Economic Interest (Form 700) and AB 1234 ethics training by April 1 of each year and when assuming or leaving Commission membership.

Article IV. Terms of Office
No Commissioner shall serve more than two consecutive four year terms on the Commission.

Article V. Attendance at Meetings
Section 5.01 Timely attendance at meetings is expected and necessary to carry out the mission of the Commission. It shall be the responsibility of each Member to know the dates and times of all Commission meetings. If a Member knows he or she will not be able to attend a regularly scheduled meeting, it shall be his or her responsibility to notice the Commission Secretary at least forty-eight (48) hours in advance of the meeting, in order for the absence to be recorded as an excused absence.

Section 5.02 The minutes of each meeting will list those Members in attendance, those who are excused and those who are unexcused.
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Article VI. Officers and Their Duties
Section 6.01 The Commission shall elect from among its membership a Chairperson, and a Vice Chairperson. The term of office shall be one year.

Section 6.02 All officers shall exercise all privileges of membership, including the making of motions, seconding and debate.

Section 6.03 The Chairperson shall preside at all meetings, shall appoint, with the consent of the Commission, all ad-hoc Commissions, and shall ensure that the bylaws, rules and regulations as adopted by the Commission are properly enforced.

Section 6.04 The Vice Chairperson shall assist the Chairperson in his/her duties and in the absence of the Chairperson shall perform all duties usually performed by the Chairperson.

Section 6.05 The Commission Secretary shall be a City staff member, appointed by the Community & Economic Development Department, to serve as secretary to the Commission. The Commission Secretary shall keep a record of the minutes of all Commission meetings and such other duties as are usually performed by a secretary. An audio recording shall be made at all meetings, retained pursuant to the City’s record retention policies, and shall be made available to all Commissioners by request.

Article VII. Meetings
Section 7.01 Regular meetings of the Commission shall be held not less than at least quarterly, at Tenth Street Place, 1010 Tenth Street Modesto, California.

Section 7.02 Special meetings shall be called by the Chairperson as necessary, in consultation and coordination with the Commission Secretary.

Section 7.03 Meetings may be cancelled by agreement of the Chairperson and Vice Chairperson in coordination with the Commission Secretary.

Section 7.04 Notices of all meetings, including agendas, shall be given to all Members of the Commission, to the City Clerk, to the City Manager, and to all others as provided by law.
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Section 7.05 All meeting agendas will be posted at Tenth Street Place.

Section 7.06 All meetings shall comply with the requirements of the Ralph M. Brown Act.

Section 7.07 A quorum is necessary for the Commission to transact any business. A quorum is six (6) members.

Section 7.08 All meetings of the Commission shall be open to the public and shall be held at a public facility, which is accessible in accordance with the regulations of the Americans with Disabilities Act.

Article VIII. Order of Proceedings
Section 8.01 The Standard Code of Parliamentary Procedure shall be the guide for the parliamentary procedures in the conduct of Commission meetings.

Section 8.02 The order of proceedings of all meetings shall be as follows, subject to majority vote of the members present:
(a) Roll Call
(b) Declaration of Conflict of Interest
(c) Public Comment Period
(d) Consent Items
(e) Old Business
(f) New Business
(g) Commission Comments & Reports
(h) Matters Too Late For the Agenda
(i) Adjournment
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Article IX. Amendments
Section 9.01 The Bylaws and any future amendments shall be subject to the approval of the City Council and shall not and are not intended to go beyond any of the powers and duties given to the Commission by the City Council nor contradict MMC 8-10. 2981909.4
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6/11/2024 5:30:00 PM

MODESTO CITY COUNCIL
www.modestogov.com

MINUTES
City of Modesto

CITY COUNCIL MEETING
Chambers, Basement Level
Tenth Street Place, 1010 10th Street
Modesto, California
Tuesday, June 11, 2024 at 5:30 PM
Roll Call – Present: Councilmembers Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen
Pledge of Allegiance to the Flag
Invocation: Mark Hammond, Celebration Center
City Clerk’s Announcements
Declaration of Conflicts of Interest: Items 7 & 9 – Councilmember Escutia-Braaton recused due to a conflict. Item 21 – Councilmember Williams recused due to a conflict.

Reports from Closed Session: No reportable action.

ACKNOWLEDGEMENTS AND PRESENTATIONS

1. Proclamation declaring June 19th as Juneteenth. (Funding Source: Not Applicable) CITY COUNCIL; Ariana Harbottle-Jarrett, 209-571-5597,
[email protected]
ACTION: Mayor Zwahlen presented proclamation declaring June 19th as Juneteenth. #5..
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6/11/2024 5:30:00 PM

MISCELLANEOUS

2. Consider approving the appointment of Dewey Bedford as the Culture Commission representative to the Landmark Preservation Commission for 2024, with a term expiration of December 31, 2024. (Funding Source: Not Applicable) Staff Recommendation:
 Resolution approving the appointment of Dewey Bedford as the 2024 Culture Commission representative to the Landmark Preservation Commission with a term expiration of December 31, 2024.

PRN; Diane Sheatsley, 209-577-5418, [email protected] ACTION: (Alvarez/Ricci; 7/0) Resolution 2024-199 approving the appointment of Dewey Bedford as the 2024 Culture Commission representative to the Landmark Preservation Commission with a term expiration of December 31, 2024.

PUBLIC COMMENT IN PERSON
 Danielle Morgan, speaking on behalf of Assemblyman Juan Alaniz, provided an update on legislative activities in Sacramento. She mentioned that Assemblyman Alaniz has been busy with various bills, including 15 currently in the Senate. These bills cover a range of topics from education to retail theft, with one specifically addressing cattle industry protections against losses (AB 2436). Morgan emphasized the importance of critical industries like cattle and offered assistance from their office for any questions or concerns.
 Derek Castle expressed his excitement about finding solutions for families experiencing homelessness but also voiced concern for those sleeping on the streets downtown and in parks. He noted the delays in moving forward with bridge housing approved seven months prior and suggested thinking more creatively to address the issue. Castle referenced Yuba City's use of inexpensive tough sheds to provide shelter and proposed a similar approach for Modesto, highlighting the affordability and immediate impact. He also suggested placing tough sheds inside warehouses to mitigate extreme weather conditions, emphasizing the cost-effectiveness of this solution compared to traditional bridge housing. Castle urged action and emphasized the need for determination in addressing homelessness in Modesto.  Todd Aaronson, CEO of Visit Modesto, provided an update on tourism activities in 2024, expressing gratitude for support. He highlighted successful events like the Almond Blossom Cruise, which garnered significant media attention and increased visitor traffic despite a dip in hotel occupancy statewide. Aaronson mentioned the success of Modesto's first citywide Garage Fest, which surpassed expectations with 260 registered garages and notable visitor spending. He also shared experiences from business trips to LA and Japan, where Modesto gained attention from international media and travel operators interested in including it in future itineraries. Despite challenges in California's travel demand, Aaronson remained optimistic about Modesto's tourism prospects, citing promising leads and a bright future ahead. #5..
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6/11/2024 5:30:00 PM
 Jonathan Williams spoke regarding the deaths of Paul Chavez and Trevor Seever in Modesto, accusing the city of attempting to cover up the incidents. He described Paul Chavez's encounter with law enforcement, highlighting Paul's non-threatening behavior during a moment of distress. Williams, who has struggled with mental health issues himself, questioned why he wasn't met with lethal force during his own encounters despite wielding weapons and making threats. He expressed sorrow over the loss of lives and their impact on families, including the recent loss of Paul Chavez’s wife Brittoni Estrella Chavez.
 Patrick expressed frustration and anger towards the Council. He called out Councilmember Bavaro for his previous treatment of Brittoni and accused the Council of ignoring her cries for help, leading to her eventual death. Patrick played an audio recording of a past Father's Day message from his best friend, Paul, highlighting the loss caused by the actions of Modesto's police. He expressed disbelief and sorrow over the deaths of both Paul and Brittoni, blaming the city for their tragedies. Patrick concluded by expressing his disappointment in the Council and emphasized the pain caused by their inaction.
 Steve expressed frustration over disrespect, harassment, and abuse he's received while advocating for victims of police violence. He criticized the Council's handling of issues and mentioned a past incident where a Councilmember threatened him without consequence. Steve accused the Council of not caring about community members like Brittoni, who passed away. He referenced a poem by John Dunn as a reflection of community sentiment. Steve concluded by dedicating a moment of silence to Brittoni Estrella Chavez.
 Teresa Clutter expressed immense pain and grief over the recent loss of her daughter, and the loss of her son-in-law, who was killed by the police. She described the devastating impact on her family, particularly her grandsons who are now without parents. Theresa criticized the lack of accountability and support from the Council, urging them to take action to prevent similar tragedies in the future. She pleaded for change and justice, quoting scriptures and emphasized the need for the Council to do better for others, as they failed to do so for her family.  Dayanara Estrella spoke regarding her niece, Brittoni Estrella. She highlighted Brittoni’s passionate voice and her tendency to speak from the heart, even if it led to disagreement. She shared her own conflicted feelings about law enforcement due to family members in both Modesto and Stockton. She reflected on Brittoni’s internal struggle, torn between her love for her father, who was in law enforcement, and her own experiences that caused pain and frustration. Dayanara emphasized the confusion and heartbreak Brittany endured, urging the Council to consider the complexities of her situation. She concluded by pledging to continue being Brittoni’s voice and wished her niece to rest in peace.
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6/11/2024 5:30:00 PM
 Ramon Rodriguez expressed frustration over the lack of action from the Council following incidents of misconduct and brutality of the Police Department, including the deaths of Trevor Seever and Paul Chavez. He also spoke regarding another case of police violence involving Alonzo Nunez and criticized the city's failure to hold officers accountable. Ramon accused the Council of ignoring calls for justice from advocates like Brittoni, who faced insults and threats while pushing for change. He condemned the Council's inaction on various community issues, such as economic struggles and infrastructure problems. Ramon blamed Officer Muncy for causing further trauma and loss, urging the Council to take responsibility and enact meaningful reforms.  Giancarlo expressed appreciation to the Mayor and City Manager for meeting with them but called out other Councilmembers who failed to follow up on previous discussions about police brutality. He cited instances where promises to follow up were not kept, and emails requesting meetings were ignored or received copy-and-paste responses. Giancarlo criticized the Council for their intentional disconnect from residents and their failure to address issues like police brutality, which directly impacted Brittoni’s family. He condemned the neglect and avoidance of certain Councilmembers and called for accountability. Giancarlo concluded by observing a moment of silence for Brittoni.
 Manuela spoke about meeting Brittoni and her family and expressed sadness over her passing and determination to continue fighting for justice on behalf of Brittoni, Paul, and Trevor Seever. She condemned the pattern of police violence in Modesto and criticized the Council for not taking appropriate action. Manuela emphasized the need for reallocation of funds from law enforcement to address community issues like homelessness and mental health. She highlighted the lack of de-escalation training and understanding of mental health situations within the police department, which led to unnecessary deaths. Manuela concluded by urging the Council to take action and ensure justice for victims like Brittoni, Paul, and Trevor.  Alyssa Leira, a mental health coordinator with Stockton Stands, addressed the Council, acknowledging a previous meeting with the City Manager, City Attorney, and Mayor.

She noted a breach of the Brown Act by Councilmember Alvarez during the public comments and questioned the Council's ability to maintain protocol and keep the community safe if they couldn't hold their own members accountable. Alyssa concluded by paying respects to Brittoni, who had passed away.  Kevin McClarty expressed concerns about the delayed opening of the Transit Center due to underground wire issues. He posed several questions: why the wires were causing the delay, why it would take until 2030 to fix them, who was responsible for the oversight, whether the city would recoup costs, and if a temporary station under the Needham Overpass was planned and its cost. Kevin also questioned whether Modesto would be bypassed again for important projects and urged the Council to adopt a more proactive approach to City Planning.
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6/11/2024 5:30:00 PM
 Sebastian Jones expressed condolences to the family of Brittoni and Paul Chavez and emphasized the emotional and challenging aspects of their situation. Sebastian also asked for forgiveness from Councilmember Wright for misspeaking about an article two years ago. Mr. Jones then redirected his remarks towards a historical and personal perspective, referencing the naming of a building after Dr. Martin Luther King Jr. He criticized the Council for what he perceived as disrespect towards Dr. King's legacy and urged action to rectify this by putting the issue on the agenda.  Sebastian Cervantes expressed frustration and disappointment over the lack of justice for Brittoni and others affected by police violence in Modesto. He criticized the Councilmembers for what he perceived as their indifference and insincerity towards the community's struggles, highlighting empty seats at the meeting as symbolic of their disregard for the working class. Sebastian accused some Councilmembers of being indifferent to the grief and suffering of families affected by police brutality, contrasting their actions with the pain felt by those like Steve. He concluded by calling for a moment of silence to honor Brittoni, Paul, and all families impacted by systemic oppression.

CONSENT ITEMS – ROLL CALL VOTE REQUIRED
ACTION CONSENT ITEMS: 1-6, 8, 10-20, 22 (Wright/Ricci; 7/0)

CONSENT
Consent

3. Consider approving the minutes for the June 4, 2024 Council Meeting. (Funding Source: Not Applicable)
 Motion approving the minutes for the June 4, 2024 Council Meeting.

CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] ACTION: (Wright/Ricci; 7/0) Motion approving the minutes for the June 4, 2024 Council Meeting.

Consent

4. Consider approving an Agreement with AmeriNational Community Services, LLC (dba AmeriNat) to manage the City’s loan portfolio for loans funded through State and Federal programs for a total amount not to exceed $434,000 over five (5) years. (Funding Source: Community Development Block Grant Funds, Permanent Local Housing Allocation, HOME Investment Partnership Funds)
 Resolution approving the Award of Proposal and Purchasing Agreement with AmeriNational Community Services LLC (dba AmeriNat), to manage the City’s loan portfolio for loans funded through State and Federal programs for a three (3) year Agreement with two (2) one-year extension options, for an annual estimated amount of $86,800, and a total amount not to exceed $434,000 over five years; and authorizing the City Manager, or his designee, to execute the Agreement.

CED; Edgar Garcia, 209-577-5211, [email protected] #5..
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6/11/2024 5:30:00 PM
ACTION: (Wright/Ricci; 7/0) Resolution 2024-200 approving the Award of Proposal and Purchasing Agreement with AmeriNational Community Services LLC (dba AmeriNat), to manage the City’s loan portfolio for loans funded through State and Federal programs for a three (3) year Agreement with two (2) one-year extension options, for an annual estimated amount of $86,800, and a total amount not to exceed $434,000 over five years; and authorizing the City Manager, or his designee, to execute the Agreement.

Consent

5. Consider approving On-Call Agreements for Construction Inspection Services, with Dillon and Murphy Engineering, West Yost & Associates, and TRC Engineering, Inc., for a one-year Agreement with two one-year extension options, for an estimated annual amount of $74,500 per consultant, and a total amount not to exceed $223,500 per consultant over three years. (Funding Source: Various Capital Improvement Projects)  Resolution approving On-Call Agreements for Construction Inspection Services with Dillon and Murphy Engineering, TRC Engineering, Inc., and West Yost & Associates for a one-year Agreement with two one-year extension options, for an estimated annual amount of $74,500 per consultant, and a total amount not to exceed $223,500 per consultant over three years and authorizing the City Manager, or his designee, to execute the Agreement.

ENGINEERING SERVICES; Pete Kambel, 209-577-5444, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-201 approving On-Call Agreements for Construction Inspection Services with Dillon and Murphy Engineering, TRC Engineering, Inc., and West Yost & Associates for a one-year Agreement with two one-year extension options, for an estimated annual amount of $74,500 per consultant, and a total amount not to exceed $223,500 per consultant over three years and authorizing the City Manager, or his designee, to execute the Agreement.

Consent

6. Consider accepting the Highway Village Strengthen & Replace Water Mains Project as complete, releasing securities, releasing payments totaling $3,909,585 to Rolfe Construction Inc., of Atwater, CA., and authorizing the City Clerk to file a Notice of Completion. (Funding Source: Water Fund)
 Resolution accepting the Highway Village Strengthen & Replace Water Mains Project as complete, releasing securities, releasing payments totaling $3,909,585 to Rolfe Construction Inc., of Atwater, CA., and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-202 accepting the Highway Village Strengthen & Replace Water Mains Project as complete, releasing securities, releasing payments totaling $3,909,585 to Rolfe Construction Inc., of Atwater, CA., and authorizing the City Clerk to file a Notice of Completion. #5..
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Councilmember Escutia-Bratton recused due to conflict.

Consent

7. Consider accepting the Pelandale Neighborhood Pavement Maintenance and Virginia Corridor Trail Maintenance Project as complete, releasing securities, releasing payments totaling $1,956,556 to American Pavement Systems, Inc., of Modesto, California, and authorizing the City Clerk to file a Notice of Completion. (Funding Source: Local Measure L Funds)
 Resolution accepting the Pelandale Neighborhood Pavement Maintenance and Virgina Corridor Trail Maintenance Project as complete, releasing securities, releasing payments totaling $1,956,556 to American Pavement Systems, Inc., of Modesto, California, and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Ricci; 6/0; Escutia-Braaton recused) Resolution 2024-203 accepting the Pelandale Neighborhood Pavement Maintenance and Virgina Corridor Trail Maintenance Project as complete, releasing securities, releasing payments totaling $1,956,556 to American Pavement Systems, Inc., of Modesto, California, and authorizing the City Clerk to file a Notice of Completion.

Consent

8. Consider accepting the Rebid Upgrade Traffic Signals 2017 CML-5059 (222) Project as complete, releasing securities, releasing payments totaling $857,281 to St. Francis Electric, LLC, of San Leandro CA., and authorizing the City Clerk to file a Notice of Completion. (Funding Source: Congestion Mitigation Air Quality Grant)  Resolution accepting the Rebid Upgrade Traffic Signals 2017 CML-5059 (222) Project as complete, releasing securities, releasing payments totaling $857,281 to St. Francis Electric, LLC., of San Leandro, CA., and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-204 accepting the Rebid Upgrade Traffic Signals 2017 CML-5059 (222) Project as complete, releasing securities, releasing payments totaling $857,281 to St. Francis Electric, LLC., of San Leandro, CA., and authorizing the City Clerk to file a Notice of Completion.

Councilmember Escutia-Bratton recused due to conflict.

Consent

9. Consider accepting the Briggsmore Avenue and Orangeburg Avenue Pavement Rehabilitation Project as complete, releasing securities, releasing payments totaling $7,712,644 to United Pavement Maintenance, Inc., of Hughson, CA., and authorizing the City Clerk to file a Notice of Completion. (Funding Source: Local Measure L Funds)
 Resolution accepting the Briggsmore Avenue and Orangeburg Avenue Pavement Rehabilitation project as complete, releasing securities, releasing #5..
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payments totaling $7,712,644 to United Pavement Maintenance, Inc., of Hughson, CA., and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Ricci; 6/0; Escutia-Braaton recused) Resolution 2024-205 accepting the Briggsmore Avenue and Orangeburg Avenue Pavement Rehabilitation project as complete, releasing securities, releasing payments totaling $7,712,644 to United Pavement Maintenance, Inc., of Hughson, CA., and authorizing the City Clerk to file a Notice of Completion.

Consent

10. Consider accepting the Monthly Investment Report for March 2024. (Funding Source:

Various Funds)
 Motion accepting the Monthly Investment Report for March 2024.

FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
ACTION: (Wright/Ricci; 7/0) Motion accepting the Monthly Investment Report for March 2024.

Consent

11. Consider accepting an Informational Report for the April 2024 Accounts Payable Payment Register and Void Report. (Funding Source: Not Applicable)  Motion accepting an Informational Report for the April 2024 Accounts Payable Payment Register and Void Report.

FINANCE DEPARTMENT; Maria Garnica, 209-577-5249,
[email protected]
ACTION: (Wright/Ricci; 7/0) Motion accepting an Informational Report for the April 2024 Accounts Payable Payment Register and Void Report.

Consent

12. Consider approving the purchase of a New Public Bidding Solution Subscription with OpenGov Inc., San Francisco, CA in the amount of $276,136 over three years. (Funding Source: General Fund, Capital Improvement Fund, and Utility Funds)  Resolution approving the purchase of a New Public Bidding Solution Subscription with OpenGov Inc., San Francisco, CA in the amount of $276,136 over three years; and authorizing the City Manager or his designee to execute the Agreement.

FINANCE DEPARTMENT; Dianne Love, 209-571-5164, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-206 approving the purchase of a New Public Bidding Solution Subscription with OpenGov Inc., San Francisco, CA in the amount of $276,136 over three years; and authorizing the City Manager or his designee to execute the Agreement.
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Consent

13. Consider approving an Automatic Aid Agreement with Westport Fire Protection District to provide fire-related emergency response to the Regional Water Recycling Facility Jennings Campus located at 7007 Jennings Rd. and authorizing the City Manager, or his designee, to execute the Agreement. (Funding Source: General Fund)  Resolution approving an Automatic Aid Agreement with Westport Fire Protection District to provide fire-related emergency response to the Regional Water Recycling Facility Jennings Campus located at 7007 Jennings Rd. and authorizing the City Manager, or his designee, to execute the Agreement.

FIRE DEPARTMENT; Kevin Wise, 209-572-9590, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-207 approving an Automatic Aid Agreement with Westport Fire Protection District to provide fire-related emergency response to the Regional Water Recycling Facility Jennings Campus located at 7007 Jennings Rd. and authorizing the City Manager, or his designee, to execute the Agreement.

Consent

14. Consider approving a First Amendment to the Agreement with LDA Partners, Inc., for additional tasks related to construction documentation for the Dryden Clubhouse Renovation Project, for a new total amount not to exceed $621,500. (Funding Source:

American Rescue Plan Act (ARPA), Golf Fund)
 Resolution approving a First Amendment to the Agreement with LDA Partners, Inc. for additional tasks related to construction documentation for the Dryden Clubhouse Renovation Project, increasing the Agreement amount by $270,000, for a new contract amount of $565,000, plus $56,500 in additional services (if needed), for a new total amount not to exceed $621,500 and authorizing the City Manager, or his designee, to execute the Amendment.

PRN; Nathan Houx, 209-571-5526, [email protected]
ACTION: (Wright/Ricci; 7/0) Resolution 2024-208 approving a First Amendment to the Agreement with LDA Partners, Inc. for additional tasks related to construction documentation for the Dryden Clubhouse Renovation Project, increasing the Agreement amount by $270,000, for a new contract amount of $565,000, plus $56,500 in additional services (if needed), for a new total amount not to exceed $621,500 and authorizing the City Manager, or his designee, to execute the Amendment.

Consent

15. Consider approving the Second Amendment increasing the Agreement amount with BrightView Golf Maintenance, Inc., in partnership with KemperSports Management, for Golf Management and Maintenance Services, by $175,202 from $13,987,536 to a new total amount of $14,162,738. (Funding Source: Golf Fund)  Resolution approving the Second Amendment increasing the Agreement amount with BrightView Golf Maintenance, Inc., in partnership with KemperSports Management, for Golf Management and Maintenance Services, #5..
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by $175,202 from $13,987,536 to a new total amount of $14,162,738; and authorizing the City Manager, or his designee to execute the Amendment.

PRN; Jessica Franco, 209-577-5278, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-209 approving the Second Amendment increasing the Agreement amount with BrightView Golf Maintenance, Inc., in partnership with KemperSports Management, for Golf Management and Maintenance Services, by $175,202 from $13,987,536 to a new total amount of $14,162,738; and authorizing the City Manager, or his designee to execute the Amendment.

Consent

16. Consider approving the Agreement for Polygraph Examination Services to Assurance Polygraph, LLC, Castro Valley, CA, a total amount not to exceed $538,260 over five years. (Funding Source: General Fund)
 Resolution approving the Award of Bid and Agreement for Polygraph Examination Services to Assurance Polygraph, LLC, Castro Valley, CA, for a two (2) year Agreement with three (3) one-year extension options, for an annual estimated amount of $96,250, plus up to $57,010 for contingency, if needed, for an Agreement total amount not to exceed $538,260 over five years, and authorizing the City Manager, or his designee, to execute the Agreement.

POLICE DEPARTMENT; Jessica Smart, 209-572-9500, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-210 approving the Award of Bid and Agreement for Polygraph Examination Services to Assurance Polygraph, LLC, Castro Valley, CA, for a two (2) year Agreement with three (3) one-year extension options, for an annual estimated amount of $96,250, plus up to $57,010 for contingency, if needed, for an Agreement total amount not to exceed $538,260 over five years, and authorizing the City Manager, or his designee, to execute the Agreement.

Consent

17. Consider approving an Agreement with Sigma Tactical Wellness, Austin, Texas, for Comprehensive Heart Health Assessments for First Responders for a total not to exceed $115,464. (Funding Source: Byrne Justice Assistance Grant)  Resolution approving an Agreement with Sigma Tactical Wellness, Austin, Texas, for Comprehensive Heart Health Assessments for First Responders for a total amount not to exceed $115,464; and authorizing the City Manager, or his designee, to execute the Agreement.

POLICE DEPARTMENT; Chris Adams, 209-572-9500, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-211 approving an Agreement with Sigma Tactical Wellness, Austin, Texas, for Comprehensive Heart Health Assessments for First Responders for a total amount not to exceed $115,464; and authorizing the City Manager, or his designee, to execute the Agreement. #5..
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Consent

18. Consider approving the submission of grant applications to the State Water Resources Control Board’s Small Community Funding Program: Clean Water/Wastewater and Safe and Affordable Funding for Equity and Reliance Program for the Stanislaus Elementary School Water and Sewer Line Extension Projects. (Funding Source: Water and Sewer Fund)
 Resolution approving the submission of a Safe and Affordable Funding for Equity and Reliance Program grant application to the State Water Resources Control Board to fund the Kiernan Avenue Water Main Extension Project (Stanislaus Elementary School 123-TCP Mitigation Project), authorizing the City Manager, or his designee, to enter into the associated Grant Agreement and execute all related documents.
 Resolution approving the submission of a Small Community Funding Program:

Clean Water/Wastewater grant application to the State Water Resources Control Board to fund the Carver Road Sewer Extension Project (Stanislaus Elementary School Sewer Main Project), authorizing the City Manager, or his designee, to enter into the associated Grant Agreement and execute all related documents.

UTILITIES; Jim Alves, 209-571-5557, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-212 approving the submission of a Safe and Affordable Funding for Equity and Reliance Program grant application to the State Water Resources Control Board to fund the Kiernan Avenue Water Main Extension Project (Stanislaus Elementary School 123-TCP Mitigation Project), authorizing the City Manager, or his designee, to enter into the associated Grant Agreement and execute all related documents.

ACTION: (Wright/Ricci; 7/0) Resolution 2024-213 approving the submission of a Small Community Funding Program: Clean Water/Wastewater grant application to the State Water Resources Control Board to fund the Carver Road Sewer Extension Project (Stanislaus Elementary School Sewer Main Project), authorizing the City Manager, or his designee, to enter into the associated Grant Agreement and execute all related documents.

Consent

19. Consider accepting the Emergency Bypass for Screw Pumps Repairs as complete, and authorizing all payments to Rain for Rent, Stockton, CA, for a total cost of $204,628. (Funding Source: Sewer Operations Fund)
 Resolution accepting the Emergency Bypass for Screw Pumps repairs as complete, and authorizing all payments to Rain for Rent, Stockton, CA, for a total cost not to exceed $204,628, and authorizing the City Manager, or his designee, to implement the provisions of this Resolution.

UTILITIES; Jeff Daniels, 209-577-6255, [email protected], ACTION: (Wright/Ricci; 7/0) Resolution 2024-214 accepting the Emergency Bypass for Screw Pumps repairs as complete, and authorizing all payments to Rain for Rent, #5..
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Stockton, CA, for a total cost not to exceed $204,628, and authorizing the City Manager, or his designee, to implement the provisions of this Resolution.

Consent

20. Consider approving the Plans and Specifications for the Well 312 Treatment & Flushline Improvements Project; accepting the Bid and Awarding a Construction Contract to TSI Engineering, Inc., of North Highlands, CA, in the amount of $4,060,786, authorizing $487,295 (12%) in contingency (if needed), for a total payment amount not to exceed $4,548,081. (Funding Source: Water Fund)  Resolution approving the Plans and Specifications for the Well 312 Treatment & Flushline Improvements Project; accepting the Bid and Awarding a Construction Contract to TSI Engineering, Inc., of North Highlands, CA, in the amount of $4,060,786, authorizing the Director of Engineering Services to approve Change Orders up to the cumulative amount of $487,295, 12% of the original contract price, for a total payment amount not to exceed $4,548,081 and authorizing the City Manager, or his designee, to execute the Contract.  Resolution amending the Fiscal Year 2023-24 Capital Improvement Program Budget in the amount of $3,722,218 to be transferred into the Project from Water Fund Reserves in order to fund the Construction Phase of the Well 312 Treatment & Flushline Improvements Project.

UTILITIES; Edgar Vargas, 209-577-5424, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-215 approving the Plans and Specifications for the Well 312 Treatment & Flushline Improvements Project; accepting the Bid and Awarding a Construction Contract to TSI Engineering, Inc., of North Highlands, CA, in the amount of $4,060,786, authorizing the Director of Engineering Services to approve Change Orders up to the cumulative amount of $487,295, 12% of the original contract price, for a total payment amount not to exceed $4,548,081 and authorizing the City Manager, or his designee, to execute the Contract.

ACTION: (Wright/Ricci; 7/0) Resolution 2024-216 amending the Fiscal Year 2023- 24 Capital Improvement Program Budget in the amount of $3,722,218 to be transferred into the Project from Water Fund Reserves in order to fund the Construction Phase of the Well 312 Treatment & Flushline Improvements Project.

Councilmember Williams recused due to conflict.

Consent

21. Consider approving an Engineering Services Agreement with BKF Engineers, of Modesto, CA, for the Final Design of the Highway 99 Water Main Crossings Improvements Project, in the amount of $491,321, plus $49,132 in additional services, if needed, for an Agreement total not to exceed $540,453. (Funding Source: Water Fund)
 Resolution approving an Engineering Services Agreement with BKF Engineers, of Salida, CA, for the Final Design of the Highway 99 Water Main Crossings Improvements Project in the amount of $491,321, plus $49,132 in additional services, if needed, for an Agreement total amount not to exceed $540,453 and #5..
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authorizing the City Manager, or his designee, to execute the Agreement.  Resolution approving an amendment to the Fiscal Year 2023-24 Capital Improvement Program Budget in the amount of $3,047,541 to be transferred into the Project from Water Fund Reserves to fund the Highway 99 Water Main Crossings Improvements Project.

UTILITIES; Edgar Vargas, 209-577-5424, [email protected] ACTION: (Escutia-Braaton/Wright; 6/0; Williams recused) Resolution 2024-217 approving an Engineering Services Agreement with BKF Engineers, of Salida, CA, for the Final Design of the Highway 99 Water Main Crossings Improvements Project in the amount of $491,321, plus $49,132 in additional services, if needed, for an Agreement total amount not to exceed $540,453 and authorizing the City Manager, or his designee, to execute the Agreement.

ACTION: (Escutia-Braaton/Wright; 6/0; Williams recused) Resolution 2024-218 approving an amendment to the Fiscal Year 2023-24 Capital Improvement Program Budget in the amount of $3,047,541 to be transferred into the Project from Water Fund Reserves to fund the Highway 99 Water Main Crossings Improvements Project.

Consent

22. Consider approving an Engineering Services Agreement with Carollo Engineers, Inc., of Sacramento, CA, for the Regional Water Recycling Facility - Sutter Campus Master Plan Relocation Project, in an amount not to exceed $1,966,703. (Funding Source:

Wastewater Fund)
 Resolution approving an Engineering Services Agreement with Carollo Engineers, of Sacramento, CA, for the Regional Water Recycling Facility - Sutter Campus Master Plan Relocation Project in the amount of $1,787,912, plus $178,791 in additional services, if needed, for an Agreement total amount not to exceed $1,966,703 and authorizing the City Manager, or his designee, to execute the Agreement.
 Resolution approving an amendment to the Fiscal Year 2023-24 Multi-Year Program Budget in the amount of $2,045,000 to be transferred into the Project from Wastewater Reserves to fund the Regional Water Recycling Facility - Sutter Campus Master Plan Relocation Project.

UTILITIES; Juan Ochoa, 209-577-5423, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-219 approving an Engineering Services Agreement with Carollo Engineers, of Sacramento, CA, for the Regional Water Recycling Facility - Sutter Campus Master Plan Relocation Project in the amount of $1,787,912, plus $178,791 in additional services, if needed, for an Agreement total amount not to exceed $1,966,703 and authorizing the City Manager, or his designee, to execute the Agreement.

ACTION: (Wright/Ricci; 7/0) Resolution 2024-220 approving an amendment to the Fiscal Year 2023-24 Multi-Year Program Budget in the amount of $2,045,000 to be transferred into the Project from Wastewater Reserves to fund the Regional Water #5..
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Recycling Facility - Sutter Campus Master Plan Relocation Project.

COUNCIL COMMENTS & REPORTS
Vice Mayor Alvarez spoke during the meeting, beginning with positive remarks about a recent Graffiti event and thanking organizers for their efforts. He then addressed comments made by Steve Allen, Giancarlo Serna, and Sebastian regarding alleged misinformation and defamation directed at him and his colleagues on social media.

Alvarez clarified that he and some Councilmembers decline meetings with this group due to what he described as their nefarious tactics in public communication, particularly regarding matters affecting black and brown communities. He emphasized his willingness to engage with constituents on district and city issues but asserted that he cannot discuss ongoing legal proceedings. Alvarez defended the Council's commitment to addressing police brutality, noting the diversity among Councilmembers as evidence of their dedication to community welfare despite criticisms they receive.

Councilmember Ricci praised Modesto's recent Graffiti event, echoing Vice Mayor Alvarez's positive remarks. He emphasized community involvement in driving government decisions, citing the opening of Graceada pool on weekends by Parks and Rec as an example. Ricci discussed plans from a meeting with the College Area Neighborhood Association to improve parks, especially addressing safety issues at Enslen Park with increased patrols and community activities. He also noted the Council's efforts in police reform through accountability measures and expressed optimism for ongoing progress and collaboration with residents for positive citywide changes.

Councilmember Escutia-Bratton began by highlighting several community events she attended. She mentioned an event at Vintage Faire Mall celebrating Jerry Givens as the winner of an almond blossom photo contest, emphasizing the beauty of Modesto's almond blossoms. Bratton also expressed joy about participating in the Graffiti Parade, praising the community spirit and thanking volunteers for their efforts. She then discussed attending a police ceremony where seven new officers were sworn in, noting their qualifications and eagerness to serve Modesto. Lastly, she joined other officials at a groundbreaking for an outpatient facility by the Center for Human Services, emphasizing the partnership between public and private sectors to enhance mental health and substance use treatment for youth in the community.

Councilmember Williams began by recalling recent community events. First, he mentioned the Legends of the Cruise event on 10th Street Plaza, where the Council received an award from the Legends of the Cruise Committee. He expressed gratitude for the recognition and praised the committee for their efforts. He then shifted to the Kiwanis event, expressing thanks to the City of Modesto for their ongoing partnership. He reported 1372 registrants, with additional participants over the weekend, totaling around 11,000 attendees. He thanked the community, participants, spectators, and law enforcement for their support in ensuring the event's success and safety. Lastly, he invited everyone to the upcoming Juneteenth celebration at Graceada Park, highlighting it as a commemoration of the Emancipation Proclamation with food, music, and cultural activities, emphasizing that #5..
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it's a free event open to all.

Mayor Zwahlen shared updates on recent events and initiatives in Modesto. She began with the Modesto Police Department's welcoming and promotion ceremony, noting the addition of two new Rangers and two CHAT officers alongside seven sworn officers. She highlighted positive feedback from the Clergy Council regarding the professionalism of Rangers at Graceada Park. The Mayor also praised the new outpatient center for 0 to 25- year-olds by the Center for Human Services, emphasizing its impact on youth facing challenges like substance use disorder and mental illness, and recognizing Cindy Duenas for her long-standing service as the Executive Director. Additionally, she reported on her ongoing attendance at San Joaquin Regional Rail Commission meetings, focusing on efforts to bring rail to Modesto, including outreach initiatives for students and seniors, and accommodations for special events like 49ers games and trips to Great America.

CITY MANAGER COMMENTS & REPORTS
None.

Recessed: 6:57 p.m.

Reconvened: 7:02 p.m.

HEARINGS
Published in the Modesto Bee on May 31, 2024.

23. Hearing to consider approving Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 1 for Dry Creek Meadows Subdivisions Nos. 1-6. (Funding Source: Landscape Maintenance District No. 1)
 Resolution approving the Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 1 for Dry Creek Meadows Subdivisions Nos. 1-6.

CED; Edgar Garcia, 209-577-5211, [email protected] ACTION: (Williams/Alvarez; 7/0) Resolution 2024-221 approving the Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 1 for Dry Creek Meadows Subdivisions Nos. 1-6.

Published in the Modesto Bee on May 31, 2024.

24. Hearing to consider approving Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 2 for Dry Creek Meadows Subdivisions Nos. 7-10, Creekwood Meadows Subdivision and Yosemite Meadows Subdivisions Units 1 and 2. (Funding Source: Landscape Maintenance District No. 2)
 Resolution approving the Fiscal Year 2024-25 Diagram and Annual #5..
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Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 2 for Dry Creek Meadows Subdivisions Nos. 7-10, Creekwood Meadows Subdivision, and Yosemite Meadows Subdivision Units 1 and 2.

CED; Edgar Garcia, 209-577-5211, [email protected] ACTION: (Wright/Ricci; 7/0) Resolution 2024-222 approving the Fiscal Year 2024- 25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Landscape Maintenance Assessment District No. 2 for Dry Creek Meadows Subdivisions Nos. 7-10, Creekwood Meadows Subdivision, and Yosemite Meadows Subdivision Units 1 and 2.

Published in the Modesto Bee on May 31, 2024.

25. Hearing to consider approving Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Shackelford Landscape and Lighting District. (Funding Source: Shackelford Landscape and Lighting District)  Resolution approving the Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Shackelford Landscape and Lighting District.

CED; Edgar Garcia, 209-577-5211, [email protected] ACTION: (Escutia-Braaton/Williams; 7/0) Resolution 2024-223 approving the Fiscal Year 2024-25 Diagram and Annual Assessment and ordering the Levy and Collection of Charges within Shackelford Landscape and Lighting District.

Published in the Modesto Bee on May 31, 2024.

26. Hearing to consider the annexation of Assessor Parcel Numbers (APNs) 077-008-039 and 077-008-040 totaling approximately 33.694 acres, to the City of Modesto Community Facilities District (CFD) No. 2004-1 (Village One #2), authorizing the levy of special taxes therein; calling a special election; and declaring the results of the June 11, 2024 election. (Funding Source: Developer Deposit)  Resolution calling a special election for the Annexation of additional territory to City of Modesto Community Facilities District No. 2004-1 (Village One #2).  Resolution declaring the results of the June 11, 2024 special election and ordering the Annexation of the additional territory to City of Modesto Community Facilities District No. 2004-1 (Village One #2).

CED; Edgar Garcia, 209-577-5211, [email protected] ACTION: (Wright/Williams; 7/0) Resolution 2024-224 calling a special election for the Annexation of additional territory to City of Modesto Community Facilities District No. 2004-1 (Village One #2).

ACTION: (Bavaro/Ricci; 7/0) Resolution 2024-225 declaring the results of the June 11, 2024, special election and ordering the Annexation of the additional territory to City of Modesto Community Facilities District No. 2004-1 (Village One #2). #5..
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MATTERS TOO LATE FOR THE AGENDA
None

ADJOURNMENT
This meeting adjourned at 7:17 P.M.

All Closed Session matters heard prior to the meeting.

CLOSED SESSION
CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
One Case (Pursuant to Section 54956.9(d)(1) of the Government Code) Name of Case: Brittoni Estrella, et al. v. City of Modesto et al.

United States Eastern District
Case No.: 1:22-cv-00921
Attest:____________________________
Diane Nayares-Perez, City Clerk
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: May 24, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Amending State of California Resolution for 710 N. 9th Street, Traveler’s Motel CONTACT: Edgar Garcia, Community Development Manager,
[email protected], 209-571-5211
DESCRIPTION:

Consider approving the State of California Homekey Resolution authorizing a joint application to and participation in the Homekey program for the development at 710 N. 9th Street. (Funding Source: Homekey 3 Funds)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City’s 2020-2025 Strategic Plan, Goal C: Develop a Homelessness and Housing Plan.

BACKGROUND:

As an Entitlement community, the City receives funding regularly from the U.S. Department of Housing and Urban Development (HUD) which requires the City, to develop an Annual Action Plan that describes proposed funding priorities for activities funded by Community Development Block Grant (CDBG), HOME Investment Partnerships (HOME), and American Rescue Plan HOME Investment Partnerships (HOME-ARP).The City additionally qualifies for an annual allocation from the State of California from the Permanent Local Housing Allocation (PLHA), all of which are designated to fund components of the development of affordable housing.

On May 2, 2023, by Resolution 2023-212 and 2023-210 the City committed the allocation of $2,274,923 and the commitment of $1,775,077 from the Community System of Care (CSOC), both allocations intended to fill the gap needed to support the development of the project contingent on the award of Homekey funding in partnership with RHCB Development LP.

On September 26, 2023, the City was notified of the Homekey Round 3 award to the City and Modesto Homekey, LP Development in the amount of $16,059,562. The mission of the Homekey funding is to prevent homelessness by rapidly housing individuals through the provision of coordinated, compassionate, and high-quality services. #6..
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City Council, June 25, 2024
Amending State of California Resolution for 710 N. 9th Street, Traveler’s Motel

DISCUSSION:

On January 23, 2024, by Resolution Number 2024-027, the City accepted the Homekey Round 3 award in partnership with Modesto Homekey, LP and RHCB Development LP in the amount of $16,059,562. Per the State of California’s Homekey 3 application rules the State of California’s Resolution must reflect the total amount not to exceed $34,000,000.

In the finalization of the Homekey Standard Agreement with the State of California, the State has requested that the application include supporting documentation for a number of items. In the review, the total award amount was to be updated to $15,784,562. This update to the grant amount will be covered by the developer, and no additional funds are being requested from the City. Additionally, when the project application was submitted, the co-applicant had been reflected as only RHCB Development LP, and it was determined that Modesto Homekey LP also needs to be reflected in the resolution.

In order for the State to issue the Homekey 3 Standard Agreement to fund the development as awarded, it has been requested that a new Resolution be issued adding the Co-Applicant as Modesto Homekey LP to the original Resolution.

FISCAL IMPACT:

The City of Modesto was awarded $15,784,562 from the State of California from the Homekey 3 program. The approval of this item would make necessary corrections to the State required resolution, which would allow for the release of the Agreement from the State to the City that includes the award amount for the project. There will be no impact on the General Fund.

COMMITTEE RECOMMENDATION:

This item was presented to the Citizen Housing and Community Development Committee on November 9, 2023, and recommended forwarding to Council for acceptance.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution of the Governing Body of the City of Modesto authorizing joint application to and participation in the Homekey Program for the development at 710 N. 9th Street.

Approved by:

Jessica Hill, Director of Community and Economic Development Joseph P. Lopez, City Manager
Attachments:

Resolution – State Homekey Resolution
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AUTHORIZING RESOLUTION
RESOLUTION NO. 2024-

A RESOLUTION OF THE GOVERNING BODY OF THE CITY OF MODESTO

AUTHORIZING JOINT APPLICATION TO AND PARTICIPATION IN THE HOMEKEY PROGRAM FOR THE DEVELOPMENT AT 710 N. 9TH STREET.

WHEREAS:

A. The Department of Housing and Community Development (“Department”) has issued a Notice of Funding Availability, dated March 29, 2023 (“NOFA”), for the Homekey Program (“Homekey” or “Program”). The Department has issued the NOFA for Homekey grant funds pursuant to Health and Safety Code section 50675.1.3 (Assem. Bill No. 140 (2021-2022 Reg. Sess.), § 20.).

A. City of Modesto (“Public Entity”) desires to jointly apply for Homekey grant funds with RHCB Development LP, a California limited partnership and with Modesto Homekey LP, a California limited partnership (collectively, the “Co-Applicant”).

Therefore, Public Entity is joining Co-Applicant ]in the submittal of an application for Homekey funds (“Application”) to the Department for review and consideration.

B. The Department is authorized to administer Homekey pursuant to the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675) of Part 2 of Division 31 of the Health and Safety Code). Homekey funding allocations are subject to the terms and conditions of the NOFA, the Application, the Department-approved STD 213, Standard Agreement (“Standard Agreement”), and all other legal requirements of the Homekey Program.

THEREFORE, IT IS RESOLVED THAT:

1. Co-Applicant is hereby authorized and directed to submit a joint Application to the Department in response to the NOFA, and to jointly apply for Homekey grant funds in a total amount not to exceed $34,000,000.

2. If the Application is approved, Co-Applicant is hereby authorized and directed to enter into, execute, and deliver a Standard Agreement in a total amount not to exceed $34,000,000, any and all other documents required or deemed necessary or appropriate to secure the Homekey funds from the Department and to participate in the Homekey Program, and all amendments thereto (collectively, the “Homekey Documents”).

3. Co-Applicant acknowledges and agrees that it shall be subject to the terms and conditions specified in the Standard Agreement, and that the NOFA and Application will be incorporated in the Standard Agreement by reference and made a part thereof. Any and all activities, expenditures, information, and timelines represented in the Application are enforceable through the Standard Agreement. Funds are to be used for the allowable expenditures and activities #6..
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identified in the Standard Agreement.

4. City Manager, or his designee, is authorized to execute the Application and the Homekey Documents on behalf of Co-Applicant for participation in the Homekey Program.

PASSED AND ADOPTED this 25TH day of June 2024, by the following vote:

AYES: [ #_] NAYES: [ #_] ABSTAIN: [ #_] ABSENT: [ #_]
The undersigned, Diane Nayares-Perez of Co-Applicant, does hereby attest and certify that the foregoing is a true and full copy of a resolution of the governing body adopted at a duly convened meeting on the date above-mentioned, and that the resolution has not been altered, amended, or repealed.

SIGNATURE: ________________________ DATE: _____________________ NAME: ____Diane Nayares-Perez_______ TITLE: ____City Clerk___ #6..
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: May 28, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Second Amendment to Inspection Services Agreement with 4-LEAF, Inc. for the Rental Housing Safety Program
CONTACT: Oscar Diaz, Chief Building Official
[email protected] , 209-571-5885
DESCRIPTION:

Consider approving the Second Amendment increasing the Agreement amount with 4-LEAF, Inc. for Professional Services for Plan Review and Inspection Services for a total amount not to exceed $642,000 over five years for the Rental Housing Safety Program. (Funding Source:

Measure H.)
STRATEGIC PLAN ELEMENT:

This item is consistent with Modesto City Council’s Strategic Commitment: Goal B, “Invest in Beautification Efforts”, Strategy 1 Evaluate the City’s property maintenance and nuisance abatement codes as well as the code compliance process by striving to ensure that buildings and properties are safeguarded against becoming blighted.

BACKGROUND:

On September 24, 2019, by Resolution No. 2019-411, Council approved the award of proposal and contracts for the furnishing of on-call plan check and inspection services to 4-LEAF Inc. and Interwest Consultants. The contracts were for two (2) years with three (3) one-year extension options. The agreements had an annual limit of $53,000 and a total limit not to exceed $265,000 over the five years.

On September 24, 2019, by Ordinance No. 3703- C.S., the Council adopted the Rental Housing Safety Program. The purpose of the program is to address rental housing safety issues. The goal is to safeguard housing from falling below the minimum standards set in Modesto’s Building Maintenance Code. As part of the Program, Staff is required to audit up to 10% of rental properties. The Building Safety Division’s dependence on consultants for this work has grown due to the increased audit inspections for the Rental Housing Safety Program. #7..
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City Council, June 25, 2024
Second Amendment to Inspection Services Agreement with 4-LEAF, Inc for the Rental Housing Safety Program

On October 5, 2021, by Resolution No. 2021-397, the Council approved a First amendment to the 4-LEAF Inc. and Interwest Consultants contracts increasing the annual estimated amount by $347,000 from $53,000 to $400,000 for the third year with a total amount not to exceed $612,000, due to the retirement of three Building Inspectors.

DISCUSSION:

The Division has service agreements in place for plan review and inspection services that will need to be increased in funding due to the additional inspection workload associated with audit inspections conducted as required by the Rental Housing Safety Program. One such agreement is in place with 4LEAF, Inc. An increase in the limit of the contract with 4LEAF is needed to accommodate the retainment of two inspectors to conduct the audits of 10% of rental housing units. At this time, there are 11,200 units registered in the Rental Housing Safety Program, but the program is still in an awareness phase, and it is anticipated there will eventually be an additional 28,800 units added to the program.

Staff is recommending an increase to the 4LEAF Inc. agreement to ensure continuity of services for inspections for the Rental Housing Safety Program. The increase will ensure that inspections will continue to take place while staff brings forward new on-call agreements for the plan check and inspection services.

Modesto Municipal Code Section 8-3.203 generally requires all purchases, which meet or exceed $100,000 for material, equipment, or contractual services, to be formally bid. The original agreement was issued based on the Purchasing Division administered Request for Proposal process and contracts were awarded to Interwest Consulting Group and 4LEAF Inc.

The increase in authorized funding amounts of the agreement for professional services for plan review and inspection services to 4LEAF Inc. conforms to the Modesto Municipal Code.

FISCAL IMPACT:

The annual cost of the on-call contract did not exceed $53,000 for the first two years and did not exceed $400,000 for the third year. The current contract limit of years four and five will be increased by $30,000 from $53,000 to $83,000 for the last year for a total limit of $642,000 for the 4-LEAF Inc. contract. There are still sufficient funds in the Interwest contract.

The costs for the 4-LEAF, Inc. contract are partially funded through inspection fees built into the Rental Housing Safety Program. The audit fee is $100 per inspection and must be paid before a certificate of compliance is issued for an audited rental unit. It is estimated that each of the two inspectors will be able to audit 1,325 dwelling units per year, which will generate revenue and offset the program costs by $132,500 per inspector for a total of $265,000 per year. $451,200 in Measure H funding was approved as part of the FY 2022-23 Measure H Spending Plan and will be used to fund the balance of the Rental Housing Safety Program inspection activities.

Contract Year 4-LEAF Agreement Limit 4-LEAF Actual Expenses 9/24/19 - 9/23/20 $53,000 $12,160
9/24/20 - 9/23/21 $53,000 $41,474
9/24/21-9/23/22 $400,000 $125,670
9/24/22-9/23/23 $53,000 $136,800
9/24/23-9/23/24 $83,000 $291,528*
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City Council, June 25, 2024
Second Amendment to Inspection Services Agreement with 4-LEAF, Inc for the Rental Housing Safety Program

TOTAL $642,000 $607,632*
* It is estimated that $15,000 in services will be used in May 2024 COMMITTEE RECOMMENDATION:

Due to time constraints this item went directly to Council for approval.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the Second Amendment to the Professional Services Agreement with 4- LEAF, Inc. for Inspection Services by $30,000 from $53,000 to $83,000 for the fifth year with a revised total amount not to exceed $642,000 from $612,000 over five years and authorizing the City Manager, or his designee, to execute the Amendment.

Approved by:

Jessica Hill, Director of Community and Economic
Development
Joseph P. Lopez, City Manager
Attachments:

1. Resolution

2. 4-LEAF, Inc. Second Amendment

3. 4-LEAF, Inc. Signed First Amendment

4. 4-LEAF, Inc. Original Signed Agreement

5. Resolution 2019-411

6. Resolution 2021-397
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6/25/2024/CED/ODiaz/Item? 2024-?

MODESTO CITY COUNCIL
RESOLUTION NO. 2024-?

RESOLUTION APPROVING THE SECOND AMENDMENT TO THE
PROFESSIONAL SERVICES AGREEMENT WITH 4-LEAF INC. FOR
INSPECTION SERVICES, BY $30,000 FROM $53,000 TO $83,000 FOR THE FIFTH YEAR WITH A REVISED TOTAL AMOUNT NOT TO EXCEED $642,000 FROM $612,000 OVER FIVE YEARS AND AUTHORIZING THE CITY

MANAGER OR HIS DESIGNEE, TO EXECUTE THE AMENDMENT
WHEREAS, by Resolution No. 2019-411, Council approved the award of proposal and contracts for professional assistance with plan review and inspection services to 4LEAF Inc. and Interwest Consulting Group, and WHEREAS, by Resolution No. 2021-397, Council approved a first amendment to the contracts to increase the annual estimated amount of each contract by $347,000 to $400,000 for the third year with a total amount not to exceed $612,000 per contract over five years, and
WHEREAS, staff is requesting to increase the annual estimated amount of the 4- LEAF contract by $30,000 from $53,000 to $83,000 for the fifth year with a total amount not to exceed $642,000 over five years to prevent regulatory or compliance issues that may impact the safety of the community.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a Second Amendment to the Professional Services Agreement with 4-LEAF, Inc. for Inspection Services $30,000 from $53,000 to $83,000 for the fifth year with a revised total amount not to exceed $642,000 from $612,000 over five years.

BE IT FURTHER RESOLVED that the City Manager, or his designee, is hereby authorized to execute the Amendment, in a form approved by the City Attorney. #7..
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6/25/2024/CED/ODiaz/Item? 2024-?
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 25th day of June, 2024, by Councilmember ?, who moved its adoption, which motion being duly seconded by Councilmember ?, was upon roll call carried and the resolution adopted by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ATTEST: ______________________________

DIANE NAYARES-PEREZ, CMC,
City Clerk
(SEAL)
APPROVED AS TO FORM:

BY: _________________________________
JOSE M. SANCHEZ, City Attorney
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SECOND AMENDMENT TO

STANDARD CONSULTANT AGREEMENT
This Second Amendment to Agreement made and entered into in the City of Modesto, State of California, this ___ day of _______, 2024, by and between the CITY OF MODESTO, a municipal subdivision of the State of California, hereinafter referred to as "CITY", and 4-LEAF INC, a California corporation, hereinafter referred to as “CONSULTANT”.

This Second Amendment to Agreement is made with reference to the following recitals:

A. An Agreement was entered into by and between CITY and CONSULTANT on the 24th day of September 2019 for plan check and building inspection services.

B. A First Amendment to the Agreement was entered into by and between CITY and CONSULTANT on the 5th day of October, 2021, amending the provisions of said Agreement to increase the annual limit by $347,000 from $53,000 to an annual limit of $400,000 for the third year.

C. CITY and CONSULTANT desire to amend the provisions of said Agreement to increase the annual limit by $30,000 from $53,000 to a new annual limit of $83,000 for the fifth year with a total limit not to exceed $642,000 over five years.

NOW, THEREFORE, the parties hereto mutually agree that paragraph 3(c) and 19 of said Agreement be amended to include the following:

3. Compensation
c. Compensation not to exceed $83,000 per year for the fifth year.

19. ENTIRE AGREEMENT
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Except as modified and amended by this Second Amendment to Agreement, all other provisions of the Consultant’s Agreement shall remain unchanged and in full force and effect.

IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement for Consultant Services by its City Manager and attestation by its City Clerk on the _____ day of ____, 2024 and by its City Manager and attestation by its City Clerk under authority of Resolution No. 2024-??? , adopted by the Council of the City of Modesto on the ___ day of ____, 2024, and 4-LEAF INC, has caused this Agreement to be duly executed in as of the Effective Date. #7..
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AGREEMENT TRANSMITTAL SHEET
Subject of Agreement:

Vendor Name: Division:

Contact Person: Extension:

Attorney Reviewer Name:

The attached agreement is the final agreement approved by Council on and pulled from Unity for routing via DocuSign.

The attached agreement is the final version approved through the under $50,000 Unity Workflow review and pulled from Unity for routing via DocuSign.

PINS Approval Business License
Council Agenda Report 700 Form (for Consultants)
Signed or Unsigned Resolution W-9
Council Meeting Minutes (Only if unsigned
Resolution is provided)
DocuSign Envelope ID: F1208DFA-7733-482D-8F20-BDBB8ABDCAEA Building Safety 4LEAF, INC.

Not Applicable
X
First Amendment to Standard Consultant Agreement
75270
X
X
X
X
Erica Hunt
October 5, 2021
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FIRST AMENDMENT TO

STANDARD CONSULTANT AGREEMENT
This First Amendment to Agreement made and entered into in the City of Modesto, State of California, this ___ day of _______, 2021, by and between the CITY OF MODESTO, a municipal subdivision of the State of California, hereinafter referred to as "CITY", and 4LEAF, Inc., a California corporation, hereinafter referred to as “CONSULTANT”.

This First Amendment to Agreement is made with reference to the following recitals:

A. An Agreement was entered into by and between CITY and CONSULTANT on the 24th day of September 2019 for plan check and building inspection services.

B. CITY and CONSULTANT desire to amend the provisions of said Agreement to increase the annual limit by $347,000 from $53,000 to a new annual limit of $400,000 for the third year with a total limit not to exceed $612,000 over five years.

NOW, THEREFORE, the parties hereto mutually agree that paragraph 3(c) and 19 of said Agreement be amended to include the following:

3. Compensation
c. Compensation not to exceed $400,000 per year for the third year.

19. ENTIRE AGREEMENT
Except as modified and amended by this First Amendment to Agreement, all other provisions of the Consultant’s Agreement shall remain unchanged and in full force and effect.

DocuSign Envelope ID: F1208DFA-7733-482D-8F20-BDBB8ABDCAEA 5th October
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IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement in duplicate by its City Manager and attestation by its City Clerk under authority of Resolution No. 2021- , adopted by the Council of the City of Modesto on the ___ day of ____, 2021, and CONSULTANT, has caused this agreement to be duly executed in duplicate as of the Effective Date
DocuSign Envelope ID: F1208DFA-7733-482D-8F20-BDBB8ABDCAEA 5th
397
October
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CITY OF MODESTO,
a municipal corporation
BY: ____________________________
JOSEPH P. LOPEZ, City Manager
ATTEST:
(Seal)
BY: ____________________________
DANA SANCHEZ, Interim City Clerk
________________________________
BY: ____________________________
By _____________________________
Name Title
BY: ____________________________
By _____________________________
Name Title
APPROVED AS TO FORM:

BY: ____________________________
JOSE M. SANCHEZ, City Attorney
APPROVED AS TO FORM:

BY: ____________________________
CHRISTINA D. ALGER
Director of Human Resources (Risk)
Federal ID # ___________
DocuSign Envelope ID: F1208DFA-7733-482D-8F20-BDBB8ABDCAEA 4LEAF, Inc.
94-3393574
Kevin Duggan President
3/10/2022
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10/05/2021/CED/ODiaz/Item 6 1 2021-397

MODESTO CITY COUNCIL
RESOLUTION NO. 2021-397

RESOLUTION APPROVING A FIRST AMENDMENT TO THE CONTRACTS

FOR PROFESSIONAL ASSISTANCE FOR PLAN REVIEW AND INSPECTION SERVICES WITH INTERWEST CONSULTING GROUP AND 4-LEAF INC., TO

INCREASE THE ANNUAL ESTIMATED AMOUNT OF EACH CONTRACT BY $347,000 FROM $53,000 TO $400,000 FOR THE THIRD YEAR WITH A TOTAL AMOUNT NOT TO EXCEED $612,000 PER CONTRACT OVER FIVE YEARS

AND AUTHORIZING THE CITY MANAGER, OR HIS DESIGNEE, TO

EXECUTE THE AMENDMENTS
WHEREAS, by Resolution No. 2019-411, Council approved the award of proposal and contracts for professional assistance with plan review and inspection services to 4LEAF Inc., Bureau Veritas, CSG Consultants and Interwest Consulting Group, and
WHEREAS, staff is requesting to increase the annual estimated amount of each contract by Three Hundred Forty-Seven Thousand Dollars ($347,000) from Fifty-Three Thousand Dollars ($53,000) to Four Hundred Thousand Dollars ($400,000) with a total amount not to exceed One Million Three Hundred Six Thousand Dollars ($1,306,000) per contract over five years to prevent regulatory or compliance issues that may impact the safety of the community.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby authorizes a first amendment to the contracts for professional assistance for plan review and inspection services with Interwest Consulting Group and 4-Leaf Inc. to increase the annual estimated amount of each contract by $347,000 from $53,000 to $400,000 for the third year with a total amount not to exceed $612,000 per contract over five years.
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: June 5, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Agreement with Stanislaus Community Foundation, to Support In-Home Childcare Entrepreneurship
CONTACT: Trevin Barber, Economic Development Manager
[email protected], 209-571-5566
DESCRIPTION:

Consider approving a Modesto Forward Grant Agreement with Stanislaus Community Foundation to support in-home childcare entrepreneurship, for a total amount not to exceed $156,758. (Funding Source: American Rescue Plan Act Funds)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City’s 2020-2025 Strategic Plan Goal E. Drive Economic Vitality: Drive the success of a vibrant and economically sustainable business climate.

BACKGROUND:

American Rescue Plan Act (ARPA)
On March 11, 2021, President Joe Biden signed the American Rescue Plan Act (ARPA) into law.

The City of Modesto received approximately $45.8 million in ARPA funds in two tranches to help address the continued impact of the COVID-19 pandemic on the economy, public health, individuals, and businesses.

The City of Modesto may use ARPA funds to address a number of areas, including:

1. Replace revenue that was lost, delayed, or decreased as determined based on the projections as of January 27, 2020 as a result of the COVID-19 emergency.

2. Respond to the COVID-19 emergency and address its economic effects, including through aid to households, small businesses, nonprofits, and industries such as tourism and hospitality.

3. Cost overruns incurred as a result of the COVID-19 emergency On May 25, 2021, the City Council approved Resolution No. 2021-194 approving the Pandemic Recovery Strategy, Modesto Forward, and the associated spending plan for the American Rescue Plan funds; and authorizing the City Manager to carry out the necessary steps to implement the #8..
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City Council, June 25, 2024
Agreement with Stanislaus Community Foundation to support in-home childcare entrepreneurship

strategy and spending plan. The Modesto Forward plan allocated $1,000,000 in funding to support the “Small biz support with expansion and retention.”
Pandemic Exacerbates Childcare Shortage
Modesto, a vibrant city in California’s Central Valley, and 9th largest City in California faces significant challenges related to childcare availability. In 2002 there were 769 home-based childcare businesses and 144 childcare centers. Compared to 2023 with 320 home-based childcare businesses and 132 childcare centers. This represents a consistent two-decade decline in childcare services, and more specifically a decline in home-based care1.

The childcare industry’s struggle is not just a local issue but a national concern, with four out of every five childcare centers reporting staffing shortages, and 15% experiencing a “major shortage” of workers. Most of California is a childcare desert with only one licensed space for every four children. The shortage is greatest for children under two years old. The COVID-19 pandemic exacerbated this trend. This shortage limits the capacity to serve families, directly impacting the nation’s economic progress and the well-being of its future generations.

According to research report from the Small Business Majority2, 59% of small business owners affirm that barriers to childcare access are preventing them from growing their business, with about a quarter of founders noting that they’ve had to shutter their company entirely and return to the broader workforce that offers more flexibility, because of childcare problems.

DISCUSSION:

One of the key areas of focus in Stanislaus 2030 is the expansion of childcare, recognizing its role in supporting working families. The initiative is also working on small business supports, governance and capacity building, talent development, and traded sector development. Childcare entrepreneurship done right offers family sustaining income. By supporting new childcare businesses with technical assistance and start up grants, the community can make an impact on the childcare worker shortage while also creating high-road jobs.

Stanislaus 2030 approached City staff to support a new partnership with Nurture, a non-profit organization dedicated to the expansion of in-home childcare entrepreneurship. This partnership was initiated in 2023 to address the childcare shortage in Stanislaus County, specifically focusing on the need for licensed infant and toddler care. Of the seven most high-demand low-income communities, four are within Modesto.

The partnership launched an In-Home Childcare Expansion Project, which aims to increase the supply of home-based childcare businesses. The project is part of Stanislaus 2030's broader efforts to tackle the county's childcare crisis and support the local workforce.

The collaboration with Nurture is data-driven and innovative. It includes extensive research and the development of practical solutions to transform work in the childcare economy into a path to economic security. The anticipated results of this partnership include incubating 1,000 new home 1 Stanislaus County Office of Education (2024). Child and Family Services. 2 Small Business Majority. (2024). Small Business Majority Survey Report. Retrieved from https://smallbusinessmajority.org/our-research/workforce/opinion-poll-small-businesses-support-policysolutions-address-our-nation-s-childcare-challenges#overlay-context=user #8..
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City Council, June 25, 2024
Agreement with Stanislaus Community Foundation to support in-home childcare entrepreneurship

childcare businesses, expanding 500 existing childcare facilities, and creating 12,000 permanent, licensed childcare spaces.

Jennifer Brooks, the Founder and CEO of Nurture, brings 25 years of experience in microenterprise, workforce development, financial security, asset-building, and childcare to this partnership. She is passionate about women’s economic self-determination and committed to equitably building and scaling practical solutions to make jobs in the care economy paths to financial security.

The City of Modesto has been actively coordinating with Stanislaus 2030 on a proposal to fund their partnership with Nurture. Stanislaus Community Foundation has been identified as an ideal sub-recipient by Stanislaus 2030 and the Nurture team. The proposed funding amount is $156,758, which is part of the American Rescue Plan Act (ARPA) funding. Allocations will be used to fund $5,000 start-up grants for 31 new childcare businesses $2,500 would be utilized to help fund the curriculum, and $2,500 would be utilized as a grant to start the childcare facility in the home. This collaboration aims to address the childcare shortage in Modesto. The anticipated results of this partnership include incubating new home childcare businesses, expanding existing childcare facilities, and creating permanent, licensed childcare spaces in Modesto. This initiative is a testament to the city's commitment to supporting the local workforce and contributing to the county's economic development.

FISCAL IMPACT:

The project is currently budgeted in the Modesto Forward ARPA grant allocation for Small Business Development, Project Number 101553 which was $188,222 as of June 5, 2024. The proposed Grant Agreement will not exceed $156,758.

COMMITTEE ACTION:

On June 3, 2024, the Economic Development Committee recommended forwarding to Council for approval the Modesto Forward Grant Agreement to support in home childcare entrepreneurship for a total amount not to exceed $156,758 and forwarding to Council for approval.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving a Modesto Forward Grant Agreement with the Stanislaus Community Foundation to support in home childcare entrepreneurship for a total amount not to exceed $156,758; and authorizing the City Manager, or his designee, to execute the Agreement.

Approved by:

Jessica Hill, Director Community and Economic
Development
Joseph P. Lopez, City Manager
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City Council, June 25, 2024
Agreement with Stanislaus Community Foundation to support in-home childcare entrepreneurship

Attachments:

1. Resolution Funding Stan2030

2. Modesto Forward Grant Agreement

3. Stanislaus Childcare Report
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06/25/2024/CED/JHill/Item # 1 2024-XX

MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX

RESOLUTION APPROVING A MODESTO FORWARD GRANT AGREEMENT
WITH THE STANISLAUS COMMUNITY FOUNDATION TO SUPPORT INHOME CHILDCARE ENTREPRENEURSHIP, FOR A TOTAL AMOUNT NOT TO EXCEED $156,758 AND AUTHORIZING THE CITY MANAGER OR HIS

DESIGNEE TO EXECUTE THE AGREEMENT
WHEREAS, on March 11, 2021, President Joe Biden signed the American Rescue Plan Act (ARPA) into law. The City of Modesto received approximately $45.8 million in ARPA funds in two tranches to help address the continued impact of the COVID-19 pandemic on the economy, public health, individuals, and businesses; and WHEREAS, the City of Modesto may use ARPA funds to address a number of areas, including:

1. Replace revenue that was lost, delayed, or decreased as determined based on the projections as of January 27, 2020 as a result of the COVID-19 emergency,

2. Respond to the COVID-19 emergency and address its economic effects, including through aid to households, small businesses, nonprofits, and industries such as tourism and hospitality,

3. Cost overruns incurred as a result of the COVID-19 emergency; and WHEREAS, on May 25, 2021, the City Council approved Resolution No. 2021- 194 approving the Pandemic Recovery Strategy, Modesto Forward, and the associated spending plan for the American Rescue Plan funds; and authorizing the City Manager to carry out the necessary steps to implement the strategy and spending plan. The Modesto Forward plan allocated $1,000,000 in funding to support the “Small biz support with expansion and retention”; and
WHEREAS, Modesto is a vibrant city in California’s Central Valley, and 9th #8..
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largest City in California faces significant challenges related to childcare availability. In 2002 there were 769 home-based childcare businesses and 144 childcare centers.

Compared to 2023 with 320 home-based childcare businesses and 132 childcare centers.

This represents a consistent two-decade decline in childcare services, and more specifically a decline in home-based care; and
WHEREAS, the childcare industry’s struggle is not just a local issue but a national concern, with four out of every five childcare centers reporting staffing shortages, and 15% experiencing a “major shortage” of workers. Most of California is a childcare desert with only one licensed space for every four children. The shortage is greatest for children under two years old. The COVID-19 pandemic exacerbated this trend. This shortage limits the capacity to serve families, directly impacting the nation’s economic progress and the well-being of its future generations; and WHEREAS, one of the key areas of focus in Stanislaus 2030 is the expansion of childcare, recognizing its role in supporting working families. The initiative is also working on small business supports, governance and capacity building, talent development, and traded sector development; and
WHEREAS, Stanislaus 2030 approached City staff to support a new partnership with Nurture, a non-profit organization dedicated to the expansion of in-home childcare entrepreneurship. This partnership was initiated in 2023 to address the childcare shortage in Stanislaus County, specifically focusing on the need for licensed infant and toddler care. Of the seven most high-demand low-income communities, four are within Modesto; and
WHEREAS, the partnership launched an In-Home Child Care Expansion Project, which aims to increase the supply of home-based child-care businesses. The project is #8..
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part of Stanislaus 2030's broader efforts to tackle the county's childcare crisis and support the local workforce; and
WHEREAS, the collaboration with Nurture is data-driven and innovative. It includes extensive research and the development of practical solutions to transform work in the childcare economy into a path to economic security. The anticipated results of this partnership include incubating 1,000 new home childcare businesses, expanding 500 existing childcare facilities, and creating 12,000 permanent, licensed childcare spaces; and
WHEREAS, the City of Modesto has been actively coordinating with Stanislaus 2030 on a proposal to fund their partnership with Nurture. Stanislaus Community Foundation, has been identified as an ideal sub-recipient by Stanislaus 2030 and the Nurture team. The proposed funding amount is $156,758, which is part of the American Rescue Plan Act (ARPA) funding. Allocations will be used to fund $5,000 start-up grants for 31 new childcare businesses $2,500 would be utilized to help fund the curriculum, and $2,500 would be utilized as a grant to start the childcare facility in the home.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a Modesto Forward Grant Agreement with the Stanislaus Community Foundation to support in home childcare entrepreneurship for a total amount not to exceed $156,758.

BE IT FURTHER RESOLVED, that the City Manager or his designee is authorized to execute the agreement, in a form approved by the City Attorney.

The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 25th day of June, 2024, by Councilmember , who moved its #8..
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adoption, which motion being duly seconded by , was upon roll call carried and the resolution adopted by the following vote:

AYES: Councilmembers: None
NOES: Councilmembers: None
ABSENT: Councilmembers: None
ATTEST: _____________________________

DIANE NAYARES-PEREZ, CMC,
City Clerk
(SEAL)
APPROVED AS TO FORM:

BY: ________________________________
JOSE M. SANCHEZ, City Attorney
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

CITY OF MODESTO PANDEMIC RECOVERY STRATEGY

MODESTO FORWARD GRANT AGREEMENT
This Modesto Forward Grant Agreement (“Agreement”) is entered into in the City of Modesto, State of California, this ____ day of __________ 2024 (“Effective Date”) by and between the City of Modesto, a California municipal corporation (“City”), and the Stanislaus Community Foundation, a subdivision of a California municipal corporation (“Recipient”). The City and Recipient shall be collectively referred to hereinafter as the “Parties”.

This Agreement is made with regard to the following recitals:

WHEREAS, the City of Modesto received an allotment of funds from the United States Department of Treasury through the Coronavirus Local Fiscal Recovery Fund established by the American Rescue Plan Act (“ARPA”); and WHEREAS, on May 25, 2021, by Resolution No. 2021-194, the Council of the City of Modesto approved the Pandemic Recovery Strategy – Modesto Forward, hereinafter referred to as “Modesto Forward”, to support local recovery from the pandemic; and
WHEREAS, in alignment with the City’s 5-Year Strategic Plan, Modesto Forward includes three post pandemic funding initiatives to help the community exit the pandemic period and focused on Economic Vitality, Governance and Service Delivery, and Quality of Life; and
WHEREAS, Economic Vitality initiatives are intended to improve the economic vitality of the community; Governance and Service Delivery initiatives are intended to improve the organization and service delivery for residents; and Quality of Life initiatives are intended to improve the quality of life for residents; and WHEREAS, Modesto Forward includes a comprehensive spending plan, which includes ARPA funding, to programs and services for economic recovery initiatives, Economic Vitality, of which includes Job and Career Training; and WHEREAS, Stanislaus 2030 serves as a public private partnership geared towards achieving improved economic prosperity for Stanislaus County; and WHEREAS, one of the key areas of focus in Stanislaus 2030 is the expansion of childcare, recognizing its role in supporting working families, and they have identified the Recipient as an ideal ARPA recipient to support in home childcare entrepreneurship.

NOW THEREFORE, the City and Recipient agree as follows:

1. Term
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Modesto Forward Grant Agreement – Stanislaus Community Foundation The term of this Agreement (the “Term”) shall commence upon the effective date.

Scope of Work (Exhibit A) deliverables must be completed by December 31, 2026; the Agreement shall terminate upon fulfillment of Federal reporting requirements (Exhibit B), no later than January 15, 2027.

2. Grant Award
A. The City shall provide Recipient with a grant of One Hundred Fifty-Six Thousand Seven Hundred and Fifty-Eight Dollars ($156,758) (the “Grant”) for the purposes and activities further specified in Exhibit A, attached hereto and incorporated by referenced (the “Activities”). Disbursement of the Grant is dependent upon Recipient providing all records and documentation reasonably required by the City.

B. Recipient shall expend the Grant solely on the Activities, as specified in Exhibit A, and shall be held responsible to the requirements outlined in Exhibit A. Recipient shall not use the Grant for any other purpose or activity without the prior written consent of the City.

C. The Recipient shall operate within the territorial limits of the City of Modesto and the beneficiaries, if any, of the Activities shall be the residents of the City of Modesto.

D. Recipient shall expend the entirety of the Grant by no later than December 31, 2026. Any portion of the Grant that has not been expended by December 31, 2026 shall be returned to the City no later than January 10, 2027.

3. Recipient’s Obligations
A. Throughout the term of this Agreement, the Recipient shall obtain and maintain all licenses, permits, qualifications and approvals legally required to conduct business. The Recipient warrants that it has all of the necessary professional capabilities and experience, as well as all tools, instrumentalities, facilities and other resources necessary to perform the Activities specified by this Agreement. Recipient shall perform the Activities requires pursuant to this Agreement according to the standards observed by a competent practitioner of the profession in which Recipient is engaged.

B. The Recipient shall provide appropriate acknowledgement of the Grant by using the City’s logo or making a written acknowledgement in its publicity, promotional materials, information materials, press materials, at public occasions relating to the Activities, and on any website maintained by the Recipient.

4. Quarterly Reporting Requirements
Recipient shall submit quarterly reports to the City on the form attached hereto as Exhibit D, and incorporated herein by reference, or on such other form as required by the City.
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

5. Annual Reporting Requirements
Recipient shall submit an annual report, in accordance with the requirements set forth in Exhibit C, attached hereto and incorporated herein, to the City within 180 days of the end of the Recipient’s fiscal year in a form approved by the City. The annual report shall be in addition to the reporting required by Section 4, and shall include, but not limited to:

A. Summary of activities and accomplishments, mandate and/or mission of the organization;
B. List of Board Directors with title, contact information and mandate term of each Director;
C. Organizational Chart;
D. Project/Program Expenditures-to-date (including receipts); E. Any other information reasonably requested by the City.

6. Audit Requirements
A. In addition to all other reports and records required by this Agreement, the Recipient shall keep and make available proper books of account and records of the financial management of the Grant provided under this agreement, in accordance with generally accepted business and accounting practices. Such records shall include, but not be limited to, records providing a full description and accounting of each activity undertaken.

B. Recipient agrees to keep all necessary books and records required by this Agreement for five (5) years following the end of this Agreement, and shall document all transactions so that all expenditures may be properly audited.

C. Recipient agrees that City or any authorized representative has access to and the right to examine all records, books, papers, or documents related to the project. Recipient shall allow the City or any authorized representative access to all records, books, papers, or documents related to the project within forty-eight (48) hours of a request to examine.

7. Preservation of Assets
Any assets purchased with the Grant, the cost of which exceed $5,000, shall be preserved by the Recipient and shall not be sold, leased, given away or otherwise disposed of prior to the end of the useful life of the asset without prior written consent of the City.

8. Termination, Suspension and/or Repayment of Grant
The City may terminate, suspend and/or require repayment of the Grant in the event of any of the following circumstances, after notice from the City and a reasonable opportunity to cure:

A. The Recipient fails to provide the Activities, or any portion of the Activities, described in Exhibit A of this Agreement or substandard performance of the Activities;
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Modesto Forward Grant Agreement – Stanislaus Community Foundation B. The Recipient suspends or fails to carry on and continuously conduct its operations, or there is a disruption on the performance of the Activities; C. The Recipient has a partisan political affiliation and/or participates in partisan political activities.

D. The Recipient uses the Grant for a purpose or activity other than those specified in Exhibit A.

E. The Recipient becomes bankrupt or insolvent, goes into receivership or becomes subject to the provisions of any bankruptcy, insolvency, or any other Act for the benefit of creditors, or makes a general assignment for the benefit of its creditors or otherwise acknowledges its insolvency; F. The Recipient fails to provide to the City with any report, record, or documentation required by this Agreement, or fails to provide any documentation requested by the City in accordance with the terms of this agreement;
G. The Recipient has made any material misrepresentation to the City or its representatives with respect to any of the matters contained herein and/or in the Recipient’s funding submission/proposal/application for the Grant, or which have been made or may be made in the future surrounding these matters;
H. The Recipient breaches any term of this Agreement, after notice from the City and a reasonable opportunity to cure the breach;

9. Compliance with Applicable Laws
Recipient shall carry out, and cause its contractors, consultants, employees and agents to carry out, the Activities, in compliance all applicable federal, state and local laws, rules, ordinances, orders, and regulations, including without limitation and to the extent applicable, the prevailing wage provisions of the federal DavisBacon Act and implementing rules and regulations and state prevailing wages pursuant to Labor Code Section 1770 et seq. Without limiting the foregoing, Recipient shall comply with ARPA, the regulations implement ARPA (31 CFR Part 35), any interpretative guidance issued by the United Stated Department of Treasury, and those Grant terms and conditions attached hereto as Exhibit B, and incorporated herein.

10.Non-Assignment
The Recipient shall not assign this Agreement, the Grant, or any part thereof, without the Prior written consent of the City. Any assignment in violation of this section shall require an immediate repayment of the Grant to City by the Recipient.

11. Indemnity and Liability
A. The Recipient shall indemnify , defend with counsel acceptable to City, and hold harmless the City, its officials, officers, employees, and agents (“Indemnitees”) from and against all liability, loss, cost, expense (including without limitation attorneys’ fees and costs of litigation), claim, demand, action, suit, judicial or administrative proceeding, penalty, deficiency, fine, order, and damage (all of the foregoing collectively “Claims”) which, #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation directly or indirectly, arises out of or relates to this Agreement or the performance of the Activities, except to the extent the Claims arise from the gross negligence or willful misconduct of City.

B. The City shall not be liable to the Recipient or any other party in relation to the Grant and/or the services provided by the Recipient pursuant to the terms of this agreement. The Recipient shall be solely responsible for the payment of any individuals employed, engaged or retained by the Recipient for the purpose of assisting it in the fulfilment of its obligations under this agreement.

12.Insurance
The Recipient shall provide at its own expense and maintain at all times the following insurance with insurance companies licensed in the State of California and shall provide evidence of such insurance to the City as may be required by the Risk Manager of the City. The policies or certificates thereof shall provide that, thirty (30) days prior to cancellation or material change in the policy, notices of same shall be given to the Risk Manager of the City by certified mail, return receipt requested, for all of the following stated insurance policies.

In the event the certificates of insurance required hereunder do not provide for notice of cancellation to the certificate holder and/or additional insureds, the Recipient shall provide, and shall require its subcontractors to provide, as an express condition precedent to payment hereunder, an endorsement from their insurers providing that the additional insureds identified herein shall be provided 30 days’ notice of the cancellation on the policies of insurance required hereunder (10 days’ notice if the policies are cancelled for non-payment of premium). In addition, the named insured on all such policies shall provide to the additional insureds identified herein any notices of cancellation of said insurance policies within 5 business days of receipt of such notice. The Recipient shall, as a further express condition precedent to payment for work performed, affirm under penalty of perjury that the required insurance on the project remains in place and said insurance has not been cancelled.
(a) Worker's Compensation - in compliance with the statutes of the State of California, plus employer's liability with a minimum limit of liability of $1,000,000.
(b) General Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. This insurance shall indicate on the certificate of insurance the following coverages and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent The Recipients #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation and subcontractors; products and completed operations as applicable.
(c) Automobile Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and property damage .

This insurance shall cover any automobile for bodily injury and property damage.
(d) Professional Liability insurance with a minimum limit of $1,000,000 per claim and policy aggregate. If coverage is on a claims made basis it shall be maintained for at least three (3) years following completion of the work.

If at any time any of said policies shall be unsatisfactory to the City, as to form or substance, or if a company issuing such policy shall be unsatisfactory to the City, the Recipient shall promptly obtain a new policy, submit the same to the Risk Manager for approval and submit a certificate thereof as hereinabove provided.

Upon failure of the Recipient to furnish, deliver or maintain such insurance and certificates as above provided, this Agreement, at the election of the City, may be forthwith declared suspended or terminated. Failure of the Recipient to obtain and/or maintain any required insurance shall not relieve the Recipient from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the Recipient concerning indemnification. The City, its agents, officers, employees, and volunteers shall be named as an additional insured on all insurance policies required herein, except Workers' Compensation and Professional Liability. The Workers' Compensation insurer shall agree to waive all rights of subrogation against the City, its agents, officers, employees, and volunteers for losses arising from work performed by The Recipient for the City. The Recipient's insurance policy(ies) shall include a provision that the coverage is primary as respects the City; shall include no special limitations to coverage provided to additional insured; and, shall be placed with insurer(s) with acceptable Best's rating of A:VII or with approval of the Risk Manager. The Recipient must deliver certificates evidencing existence of the insurance listed above to the City prior to the time the contract is signed.

THE RECIPIENT shall provide CITY with separate endorsements evidencing proof of the CITY’s additional insured status as to both the general liability and automobile liability insurance policies. In addition, THE RECIPIENT shall provide CITY with a Workers Compensation subrogation waiver by way of a separate endorsement. All endorsements referenced above must include the applicable policy number.

For any claims related to this project, the RECIPIENT’S insurance coverage shall be primary insurance as respects the Entity, its officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the RECIPIENT’S insurance and shall not contribute with it.
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

13.Non-Discrimination
Recipient shall not discriminate, on the basis of a person’s race, religion, color, national origin, age, physical or mental handicap or disability, medical condition, marital status, sex, or sexual orientation, against any employee, applicant for employment, subcontractor, bidder for a subcontract, or participant in, recipient of, or applicant for any services or programs provided by Recipient under this Agreement. Recipient shall comply with all applicable federal, state, and local laws, policies, rules, and requirements related to equal opportunity and nondiscrimination in employment, contracting, and the provision of any services that are the subject of this Recipient, including but not limited to the satisfaction of any positive obligations required of Recipient thereby.

14.NOTIFICATION
Any notice, communication, amendment, addition or deletion to this Agreement, including change of address of either Party during the term of this Agreement, which Recipient or City shall be required or may desire to make shall be in writing and may be personally served or, alternately, sent by prepaid first class mail to the respective Parties as follows:

To City:

City of Modesto
Attn: Jessica Hill, Director of Community and Economic Development 1010 10th Street
Modesto, CA 95354
To Recipient:

Stanislaus Community Foundation
Attn: Marian Kaanon, President/CEO
100 Sycamore Avenue, Ste.200
Modestom CA 95354
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

15.SEVERABILITY
If any portion of this Agreement or application thereof to any person or circumstance shall be declared invalid by a court of competent jurisdiction or if it is found in contravention of any federal, state or City statute, ordinance or regulation; the remaining provisions of this Agreement or the application thereof shall not be invalidated thereby and shall remain in full force and effect to the extent that the provisions of this Agreement are severable.

16.DISPUTE RESOLUTION
All claims, controversies, or disputes arising out of, or relating to the formation of this Agreement, or the breach, termination execution, enforcement, interpretation, or validity of this Agreement, including the determination of the scope or applicability of this contract provision shall be determined by binding arbitration in Modesto, California by one arbitrator, except as otherwise specified in this Agreement. The American Arbitration Association shall administer the arbitration under its Arbitration Rules then in effect, subject to the modifications of those rules contained in this paragraph. This agreement to arbitrate shall be specifically enforceable under the prevailing law of any court having jurisdiction, and the award rendered by the arbitrator may be entered in any court having jurisdiction. The appropriate venue for any arbitration or court proceeding relating to or arising out of this provision shall be in Stanislaus County, California.

This paragraph is not intended to and does not waive the claim filing requirements found in California Government Code section 900 et seq. In the event that a timely and legally sufficient, arbitrable claim is filed by the Recipient with City, and the claim is rejected in whole or in part by City, this paragraph shall result in the conclusive, final, and binding resolution of all the issues presented in the claim by The Recipient so long as any issues presented by the claim are arbitrable. Claims rejected by City or by operation of law, shall be submitted by the Recipient to arbitration pursuant to the Arbitration Rules of the American Arbitration Association within ninety (90) days after mailing of the written rejection by City to the Recipient. Otherwise, the claim or claims shall be deemed waived in their entirety.

The “fast track’ rules of the American Arbitration Association shall apply to any claim or counterclaim less than ONE HUNDRED FIFTY THOUSAND AND 00/100 ($150,000.00) DOLLARS. In arbitration not proceeding under the “fast track” rules, the arbitrator shall have the power to order that depositions be taken and other discovery be made. Both City and the Recipient shall have the right, upon written notice, to take no more than three (3) depositions of the other as a matter of right in an arbitration proceeding under the “fast track” rules.

Whether or not City and the Recipient may be engaged in interstate commerce, any controversy or dispute mentioned above shall be determined by, and the parties shall be bound by, the substantive law of the State of California, and not the Federal Arbitration Act at 9 USC Section 1 et seq.
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Modesto Forward Grant Agreement – Stanislaus Community Foundation The arbitrator may grant any remedy or relief deemed by the arbitrator just and equitable under the circumstances, whether or not such relief could be awarded in a court of law. The arbitrator shall be empowered to award monetary sanctions against a party for failure of cooperation in the arbitration. The arbitrator shall, in written award, allocate all the costs of the arbitration, including the fees of the arbitrator and the reasonable attorney fees of the prevailing party, against the party who did not prevail. The prevailing party shall be the party in whose favor the majority of the central issues in the case are resolved.

Notwithstanding anything in this provision to the contrary, the arbitrator shall have no power to award punitive damages or other damages not measured by the party’s actual damages (excluding litigation costs and fees) against any party.

This limitation of the arbitrator’s powers under this Agreement shall not operate as an exclusion of the issue of punitive damages from this Agreement to Arbitrate sufficient to vest jurisdiction in a court with respect to that issue.

The Recipient shall include in all subcontracts a specification whereby the subcontractor consents to being joined in an arbitration between City and The Recipient involving the work of the subcontractor to be joined. The Recipient’s failure to do so shall be a breach of this Agreement.

The parties hereby waive any rights provided by Title 9.2 of the California Code of Civil Procedure, Section 1296. The arbitrator’s award shall be deemed final, conclusive and binding to the fullest extent allowed by California law.

17.INDEPENDENT PARTIES
Nothing in this Agreement is intended to or shall establish the Parties as partners, co-venturers, or principal and agent with one another. At all times during the term of this Agreement, Recipient and City shall be independent parties, and Recipient shall not be an employee of the City. Except as Recipient may specify in writing, Recipient shall have no authority, express or implied, to act on behalf of City in any capacity whatsoever as an agent. Recipient shall have no authority, express or implied, pursuant to this Agreement to bind City to any obligation whatsoever. At all times during the term of this Agreement, Recipient and
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

18.ENTIRE AGREEMENT
This Agreement, including the exhibits attached hereto, represents the entire and integrated agreement between City and Recipient and supersedes all prior negotiations, representations, or agreements, either written or oral. No amendment of any of the terms or provisions of the Agreement shall be deemed valid unless it is in writing and signed by both Parties.

19.GENERAL PROVISIONS
A. Binding Agreement. This agreement shall be binding on and inure to the benefit of the City, the Recipient and their respective successors and assigns. Nothing contained in this Agreement is intended to or shall be deemed to confer upon any person, other than the Parties and their respective successors and assigns, any rights or remedies hereunder.

B. Severability. Any provision of this agreement, which is or becomes prohibited or unenforceable in any jurisdiction, shall not invalidate or impair the remaining provisions of this agreement which shall be deemed severable from the prohibited or unenforceable provision and any prohibition or unenforceability in any jurisdiction shall not invalidate or render unenforceable that provision in any other jurisdiction.

C. Waiver. The fact that the City refrains from exercising a remedy it is entitled to exercise under this agreement shall not be considered to be a waiver of such right and, furthermore, partial or limited exercise of a right conferred upon the City shall not prevent the City in any way from later exercising any other right or remedy under this agreement or other applicable law. No waiver of any breach of any covenant or provision of this Agreement shall be deemed a waiver of any other covenant or provision hereof, and no waiver shall be valid unless in writing and executed by the waiving Party
D. Business License. Recipient will have a valid City of Modesto Business License.

E. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California, excluding chose of law rules.

F. Construction of Agreement. The section headings and captions used herein are solely for convenience and shall not be used to interpret this Agreement. The Parties acknowledge that this Agreement is the product of negotiation and compromise on the part of both Parties, and the Parties agree, that since all of the Parties have participated in the negotiation and drafting of this Agreement, this Agreement shall not be construed as if prepared by one of the Parties, but rather according to its fair meaning as a whole, as if all Parties had prepared it.

G. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be an original and all of which taken #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation together shall constitute one instrument. The persons executing this Agreement on behalf of Parties have been duly authorized to do so.

IN WITNESS WHEREOF, the Parties have executed this Agreement as of the effective date set forth above.
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Modesto Forward Grant Agreement – Stanislaus Community Foundation EXHIBIT A – SCOPE OF WORK
The Stanislaus Community Foundation will provide Economic Development services to the City of Modesto in the form of an entrepreneurial development program to facilitate creation and stabilization of at-home childcare businesses, strengthen Modesto’s economic infrastructure and economic recovery from COVID-19, and provide “healthy childhood environments” for Modesto youth.

All Scope of Work deliverables must be completed by, and all expenses for performance of the Scope of Work must be incurred before December 31, 2026.

Stanislaus Community Foundation (Recipient) services to be provided:
 Implementation of the In-Home Child Care Expansion Project o $5,000 start-up grants for 31 new childcare businesses  Reports submitted to Modesto in concurrence with Section 4 and 5 of this agreement, and Exhibit C and Exhibit D for Reporting on State and Local Fiscal Recovery Funds (SLFRF)
Groups to be served:
 Modesto-based small businesses especially including underserved and BIPOC Number of Participants to be served: 31 new childcare businesses and/or +/- 300 children depending on staff child ratio.

City of Modesto

1. The City will keep the Recipient informed of City policy and regulatory changes affecting economic development.

2. The City will attend quarterly meetings with Recipient staff to discuss, share and coordinate activities.

3. The City will advance all funds upon execution of the agreement in good faith to facilitate rapid mobilization of resources.
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

EXHIBIT B
U.S. DEPARTMENT OF THE TREASURY

CORONAVIRUS LOCAL FISCAL RECOVERY FUND

AWARD TERMS AND CONDITIONS

1. Use of Funds.
a. Recipient understands and agrees that the funds disbursed under this award may only be used in compliance with section 603(c) of the Social Security Act (the Act), U.S. Department of Treasury’s (“Treasury”) regulations implementing that section, and guidance issued by Treasury regarding the foregoing. b. Recipient will determine prior to engaging in any project using this assistance that it has the institutional, managerial, and financial capability to ensure proper planning, management, and completion of such project.

2. Period of Performance. The period of performance for this award begins on the date hereof and ends on December 31, 2026. As set forth in Treasury’s implementing regulations, Recipient may use award funds to cover eligible costs incurred during the period that begins on March 3, 2021, and ends on December 31, 2026.

3. Reporting. Recipient agrees to comply with any reporting obligations established by Treasury as they relate to this award.

4. Maintenance of and Access to Records
a. Recipient shall maintain records and financial documents sufficient to evidence compliance with section 603(c) of the Act, Treasury’s regulations implementing that section, and guidance issued by Treasury regarding the foregoing. b. The Treasury Office of Inspector General and the Government Accountability Office, or their authorized representatives, shall have the right of access to records (electronic and otherwise) of Recipient in order to conduct audits or other investigations.
c. Records shall be maintained by Recipient for a period of five (5) years after all funds have been expended or returned to Treasury, whichever is later.

5. Pre-award Costs. Pre-award costs, as defined in 2 C.F.R. § 200.458, may not be paid with funding from this award.

6. Administrative Costs. Recipient may use funds provided under this award to cover both direct and indirect costs.

7. Cost Sharing. Cost sharing or matching funds are not required to be provided by Recipient.

8. Conflicts of Interest. Recipient understands and agrees it must maintain a conflict of interest policy consistent with 2 C.F.R. § 200.318(c) and that such conflict of interest policy is applicable to each activity funded under this award. Recipient and subrecipients must disclose in writing to Treasury or the pass-through entity, as appropriate, any #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation potential conflict of interest affecting the awarded funds in accordance with 2 C.F.R. § 200.112.

9. Compliance with Applicable Law and Regulations.
a. Recipient agrees to comply with the requirements of section 602 of the Act, regulations adopted by Treasury pursuant to section 602(f) of the Act, and guidance issued by Treasury regarding the foregoing. Recipient also agrees to comply with all other applicable federal statutes, regulations, and executive orders, and Recipient shall provide for such compliance by other parties in any agreements it enters into with other parties relating to this award. b. Federal regulations applicable to this award include, without limitation, the following:
i. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards, 2 C.F.R. Part 200, other than such provisions as Treasury may determine are inapplicable to this Award and subject to such exceptions as may be otherwise provided by Treasury.

Subpart F – Audit Requirements of the Uniform Guidance, implementing the Single Audit Act, shall apply to this award.
ii. Universal Identifier and System for Award Management (SAM), 2 C.F.R.

Part 25, pursuant to which the award term set forth in Appendix A to 2 C.F.R. Part 25 is hereby incorporated by reference.
iii. Reporting Subaward and Executive Compensation Information, 2 C.F.R.

Part 170, pursuant to which the award term set forth in Appendix A to 2 C.F.R. Part 170 is hereby incorporated by reference.
iv. OMB Guidelines to Agencies on Governmentwide Debarment and Suspension (Nonprocurement), 2 C.F.R. Part 180, including the requirement to include a term or condition in all lower tier covered transactions (contracts and subcontracts described in 2 C.F.R. Part 180, subpart B) that the award is subject to 2 C.F.R. Part 180 and Treasury’s implementing regulation at 31 C.F.R. Part 19.
v. Recipient Integrity and Performance Matters, pursuant to which the award term set forth in 2 C.F.R. Part 200, Appendix XII to Part 200 is hereby incorporated by reference.
vi. Governmentwide Requirements for Drug-Free Workplace, 31 C.F.R. Part

20. vii. New Restrictions on Lobbying, 31 C.F.R. Part 21. viii. Uniform Relocation Assistance and Real Property Acquisitions Act of 1970 (42 U.S.C. §§ 4601-4655) and implementing regulations. ix. Generally applicable federal environmental laws and regulations. #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation c. Statutes and regulations prohibiting discrimination applicable to this award include, without limitation, the following:
i. Title VI of the Civil Rights Act of 1964 (42 U.S.C. §§ 2000d et seq.) and Treasury’s implementing regulations at 31 C.F.R. Part 22, which prohibit discrimination on the basis of race, color, or national origin under programs or activities receiving federal financial assistance; ii. The Fair Housing Act, Title VIII of the Civil Rights Act of 1968 (42 U.S.C. §§ 3601 et seq.), which prohibits discrimination in housing on the basis of race, color, religion, national origin, sex, familial status, or disability; iii. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794), which prohibits discrimination on the basis of disability under any program or activity receiving federal financial assistance; iv. The Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101 et seq.), and Treasury’s implementing regulations at 31 C.F.R. Part 23, which prohibit discrimination on the basis of age in programs or activities receiving federal financial assistance; and
v. Title II of the Americans with Disabilities Act of 1990, as amended (42 U.S.C. §§ 12101 et seq.), which prohibits discrimination on the basis of disability under programs, activities, and services provided or made available by state and local governments or instrumentalities or agencies thereto.

10. Remedial Actions. In the event of Recipient’s noncompliance with section 602 of the Act, other applicable laws, Treasury’s implementing regulations, guidance, or any reporting or other program requirements, Treasury may impose additional conditions on the receipt of a subsequent tranche of future award funds, if any, or take other available remedies as set forth in 2 C.F.R. § 200.339. In the case of a violation of section 602(c) of the Act regarding the use of funds, previous payments shall be subject to recoupment as provided in section 602(e) of the Act and any additional payments may be subject to withholding as provided in sections 602(b)(6)(A)(ii)(III) of the Act, as applicable.

11. Hatch Act. Recipient agrees to comply, as applicable, with requirements of the Hatch Act (5 U.S.C. §§ 1501-1508 and 7324-7328), which limit certain political activities of State or local government employees whose principal employment is in connection with an activity financed in whole or in part by this federal assistance.

12. False Statements. Recipient understands that making false statements or claims in connection with this award is a violation of federal law and may result in criminal, civil, or administrative sanctions, including fines, imprisonment, civil damages and penalties, debarment from participating in federal awards or contracts, and/or any other remedy available by law.

13. Publications. Any publications produced with funds from this award must display the following language: “This project [is being] [was] supported, in whole or in part, by federal award number SLFRP2096 awarded to County of Stanislaus by the U.S.

Department of the Treasury.”
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

14. Debts Owed the Federal Government.
a. Any funds paid to Recipient (1) in excess of the amount to which Recipient is finally determined to be authorized to retain under the terms of this award; (2) that are determined by the Treasury Office of Inspector General to have been misused; or (3) that are determined by Treasury to be subject to a repayment obligation pursuant to sections 602(e) and 603(b)(2)(D) of the Act and have not been repaid by Recipient shall constitute a debt to the federal government. b. Any debts determined to be owed the federal government must be paid promptly by Recipient. A debt is delinquent if it has not been paid by the date specified in Treasury’s initial written demand for payment, unless other satisfactory arrangements have been made or if the Recipient knowingly or improperly retains funds that are a debt as defined in paragraph 14(a). Treasury will take any actions available to it to collect such a debt.

15. Disclaimer.
a. The United States expressly disclaims any and all responsibility or liability to Recipient or third persons for the actions of Recipient or third persons resulting in death, bodily injury, property damages, or any other losses resulting in any way from the performance of this award or any other losses resulting in any way from the performance of this award or any contract, or subcontract under this award. b. The acceptance of this award by Recipient does not in any way establish an agency relationship between the United States and Recipient.

16. Protections for Whistleblowers.
a. In accordance with 41 U.S.C. § 4712, Recipient may not discharge, demote, or otherwise discriminate against an employee in reprisal for disclosing to any of the list of persons or entities provided below, information that the employee reasonably believes is evidence of gross mismanagement of a federal contract or grant, a gross waste of federal funds, an abuse of authority relating to a federal contract or grant, a substantial and specific danger to public health or safety, or a violation of law, rule, or regulation related to a federal contract (including the competition for or negotiation of a contract) or grant. b. The list of persons and entities referenced in the paragraph above includes the following:
i. A member of Congress or a representative of a committee of Congress; ii. An Inspector General;
iii. The Government Accountability Office;
iv. A Treasury employee responsible for contract or grant oversight or management;
v. An authorized official of the Department of Justice or other law enforcement agency;
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Modesto Forward Grant Agreement – Stanislaus Community Foundation vi. A court or grand jury; or
vii. A management official or other employee of Recipient, contractor, or subcontractor who has the responsibility to investigate, discover, or address misconduct.
c. Recipient shall inform its employees in writing of the rights and remedies provided under this section, in the predominant native language of the workforce.

17. Increasing Seat Belt Use in the United States. Pursuant to Executive Order 13043, 62 FR 19217 (Apr. 18, 1997), Recipient should encourage its contractors to adopt and enforce on-the-job seat belt policies and programs for their employees when operating company-owned, rented or personally owned vehicles.

18. Reducing Text Messaging While Driving. Pursuant to Executive Order 13513, 74 FR 51225 (Oct. 6, 2009), Recipient should encourage its employees, subrecipients, and contractors to adopt and enforce policies that ban text messaging while driving, and Recipient should establish workplace safety policies to decrease accidents caused by distracted drivers.

ASSURANCES OF COMPLIANCE WITH CIVIL RIGHTS REQUIREMENTS ASSURANCES OF COMPLIANCE WITH TITLE VI OF THE CIVIL RIGHTS ACT OF 1964 As a condition of receipt of federal financial assistance from the Department of the Treasury, the recipient named below (hereinafter referred to as the “Recipient”) provides the assurances stated herein. The federal financial assistance may include federal grants, loans and contracts to provide assistance to the Recipient’s beneficiaries, the use or rent of Federal land or property at below market value, Federal training, a loan of Federal personnel, subsidies, and other arrangements with the intention of providing assistance. Federal financial assistance does not encompass contracts of guarantee or insurance, regulated programs, licenses, procurement contracts by the Federal government at market value, or programs that provide direct benefits.

The assurances apply to all federal financial assistance from or funds made available through the Department of the Treasury, including any assistance that the Recipient may request in the future.

The Civil Rights Restoration Act of 1987 provides that the provisions of the assurances apply to all of the operations of the Recipient’s program(s) and activity(ies), so long as any portion of the Recipient’s program(s) or activity(ies) is federally assisted in the manner prescribed above.

1. Recipient ensures its current and future compliance with Title VI of the Civil Rights Act of 1964, as amended, which prohibits exclusion from participation, denial of the benefits of, or subjection to discrimination under programs and activities receiving federal financial assistance, of any person in the United States on the ground of race, color, or national origin (42 U.S.C. § 2000d et seq.), as implemented by the Department of the Treasury Title VI regulations at 31 CFR Part 22 and other pertinent executive orders such as Executive Order 13166, directives, circulars, policies, memoranda, and/or guidance documents.

2. Recipient acknowledges that Executive Order 13166, “Improving Access to Services for Persons with Limited English Proficiency,” seeks to improve access to federally assisted programs and activities for individuals who, because of national origin, have Limited English proficiency (LEP). Recipient understands that denying a person access to its programs, services, and activities because of LEP is a form of national origin #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation discrimination prohibited under Title VI of the Civil Rights Act of 1964 and the Department of the Treasury’s implementing regulations. Accordingly, Recipient shall initiate reasonable steps, or comply with the Department of the Treasury’s directives, to ensure that LEP persons have meaningful access to its programs, services, and activities.

Recipient understands and agrees that meaningful access may entail providing language assistance services, including oral interpretation and written translation where necessary, to ensure effective communication in the Recipient’s programs, services, and activities.

3. Recipient agrees to consider the need for language services for LEP persons when Recipient develops applicable budgets and conducts programs, services, and activities.

As a resource, the Department of the Treasury has published its LEP guidance at 70 FR 6067. For more information on taking reasonable steps to provide meaningful access for LEP persons, please visit http://www.lep.gov.

4. Recipient acknowledges and agrees that compliance with the assurances constitutes a condition of continued receipt of federal financial assistance and is binding upon Recipient and Recipient’s successors, transferees, and assignees for the period in which such assistance is provided.

5. Recipient acknowledges and agrees that it must require any sub-grantees, contractors, subcontractors, successors, transferees, and assignees to comply with assurances 1-4 above, and agrees to incorporate the following language in every contract or agreement subject to Title VI and its regulations between the Recipient and the Recipient’s subgrantees, contractors, subcontractors, successors, transferees, and assignees:

The sub-grantee, contractor, subcontractor, successor, transferee, and assignee shall comply with Title VI of the Civil Rights Act of 1964, which prohibits recipients of federal financial assistance from excluding from a program or activity, denying benefits of, or otherwise discriminating against a person on the basis of race, color, or national origin (42 U.S.C. § 2000d et seq.), as implemented by the Department of the Treasury’s Title VI regulations, 31 CFR Part 22, which are herein incorporated by reference and made a part of this contract (or agreement). Title VI also includes protection to persons with “Limited English Proficiency” in any program or activity receiving federal financial assistance, 42 U.S.C. § 2000d et seq., as implemented by the Department of the Treasury’s Title VI regulations, 31 CFR Part 22, and herein incorporated by reference and made a part of this contract or agreement.

6. Recipient understands and agrees that if any real property or structure is provided or improved with the aid of federal financial assistance by the Department of the Treasury, this assurance obligates the Recipient, or in the case of a subsequent transfer, the transferee, for the period during which the real property or structure is used for a purpose for which the federal 6 6. 7. 8. 9. 10. financial assistance is extended or for another purpose involving the provision of similar services or benefits. If any personal property is provided, this assurance obligates the Recipient for the period during which it retains ownership or possession of the property.

7. Recipient shall cooperate in any enforcement or compliance review activities by the Department of the Treasury of the aforementioned obligations. Enforcement may include investigation, arbitration, mediation, litigation, and monitoring of any settlement agreements that may result from these actions. The Recipient shall comply with information requests, on-site compliance reviews and reporting requirements. #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

8. Recipient shall maintain a complaint log and inform the Department of the Treasury of any complaints of discrimination on the grounds of race, color, or national origin, and limited English proficiency covered by Title VI of the Civil Rights Act of 1964 and implementing regulations and provide, upon request, a list of all such reviews or proceedings based on the complaint, pending or completed, including outcome. Recipient also must inform the Department of the Treasury if Recipient has received no complaints under Title VI.

9. Recipient must provide documentation of an administrative agency’s or court’s findings of non-compliance of Title VI and efforts to address the non-compliance, including any voluntary compliance or other agreements between the Recipient and the administrative agency that made the finding. If the Recipient settles a case or matter alleging such discrimination, the Recipient must provide documentation of the settlement. If Recipient has not been the subject of any court or administrative agency finding of discrimination, please so state.

10. If the Recipient makes sub-awards to other agencies or other entities, the Recipient is responsible for ensuring that sub-recipients also comply with Title VI and other applicable authorities covered in this document State agencies that make sub-awards must have in place standard grant assurances and review procedures to demonstrate that that they are effectively monitoring the civil rights compliance of subrecipients.

The United States of America has the right to seek judicial enforcement of the terms of this assurances document and nothing in this document alters or limits the federal enforcement measures that the United States may take in order to address violations of this document or applicable federal law.

Under penalty of perjury, the undersigned official(s) certifies that official(s) has read and understood the Recipient’s obligations as herein described, that any information submitted in conjunction with this assurances document is accurate and complete, and that the Recipient is in compliance with the aforementioned nondiscrimination requirements. #8..
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

EXHIBIT C

ANNUAL REPORTING REQUIREMENTS
Contractor shall use Exhibit C to provide an annual performance report.

The initial report will cover the period from the date the contract was executed to the following June 30, and will be due to the Recipient within 15 days after the end of the reporting period.

Thereafter, the report will cover a 12-month period and contractors will be required to submit the report to Recipient within 15 days after the end of the 12-month period (by July 15).

Notes on using this template
All contractors that are recipients of State and Local Fiscal Recovery Funds (SLFRF) awards are required to produce an Annual Report. The Annual Report provides information on the contractor’s project and how they plan to ensure program outcomes are achieved in an effective and equitable manner.

The initial Annual Report will cover the period from the date of award to the following June 30 and must be submitted to Recipient within 15 calendar days after the end of the reporting period.

Thereafter, the Annual Report will cover a 12-month period and contractors will be required to submit the report to Recipient within 15 calendar days after the end of the 12-month period (by July 15).

Annual Report Period Covered Due Date
1 Award – June 30, 2022 July 15, 2022
2 July 1, 2022 – June 30, 2023 July 15, 2023
3 July 1, 2023 – June 30, 2024 July 15, 2024
4 July 1, 2024 – June 30, 2025 July 15, 2025
5 July 1, 2025 – June 30, 2026 July 15, 2026
6 July 1, 2026 – December 31, 2026 January 15, 2027
Instructions:

Contractors should consult the SLFRF Guidance on Recipient Compliance and Reporting Responsibilities (Reporting Guidance) located at
https://home.treasury.gov/system/files/136/SLFRF-Compliance-and-Reporting-Guidance.pdf for detailed guidance on the submission of this report or contact county staff for assistance with completing this exhibit.

Recipient recommends the use of infographics, tables, charts, pictures, case studies, and other explanatory elements in describing their programs.

Text in italics represents the requirements from the Reporting Guidance and is meant to serve as a reference as contractors prepare their Annual Report. This instructions page and the text in italics should be removed before the final transmitted report is published and submitted to Recipient.

Uses of Funds
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

GENERAL OVERVIEW
Uses of Funds
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Modesto Forward Grant Agreement – Stanislaus Community Foundation

EXHIBIT D

QUARTERLY PROJECT AND EXPENDITURE REPORT REQUIREMENTS
Contractor shall use Exhibit D to provide a quarterly project and expenditure report.

The initial report will cover the period from the date the contract was executed through the end of the quarter, and will be due to the Recipient within 15 days after the end of the reporting period.

Thereafter, the report will cover one quarter and contractors will be required to submit the report to Recipient within 15 days after the end of the quarter.

ARPA QUARTERLY PROJECT AND EXPENDITURE REPORT
Reporting on State and Local Fiscal Recovery Funds (SLFRF) Name of Entity:

Stanislaus Community Foundation)
Project Name:

Modesto Forward Entreprenurial Development
Reporting Period Start Date: Reporting Period End Date:

Expenditure Category:

2.11 Healthy Childhood Environments
Please provide a brief description of the activities conducted:

In-Home Child Care Expansion Project
Category Cumulative
Expenditures
to date ($)
Cumulative
Obligations
to date ($)
Current
Period
Expenditures
Current
Period
Obligations
2 Negative Economic Impacts

2.11 Healthy Childhood
Environments
[PLEASE SELECT ONE]
5073279.1

PROJECT

EXPENDITURES

PROJECT STATUS
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Stanislaus County Home Child Care Business Expansion
Analysis, Insights and Implementation Plan

FROM CHILD CARE

DESERT TO OASIS
APRIL 2024
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Brooks, J. (2024). From Child Care Desert to Oasis,
Stanislaus County Home Child Care Expansion:

Analysis Insights and Implementation Plan.

Nurture for Stanislaus 2030.
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The Stanislaus 2030 Investment Blueprint articulated a shared vision for economic prosperity in the County and the key investments necessary to achieve that vision. The Blueprint identified child care as a critical non-skill barrier to employment. Child care is essential for economic prosperity; investing in child care both creates jobs and enables workforce participation by others.

Increasing public investment in high-quality [early care and education, (ECE)] … would stimulate growth. One impact of more funding would be to generate greater revenues for providers, sending ripples of increased activity through the region through an economic multiplier effect.

The biggest benefits of ECE expenditures, however, are the increased employment, earnings, and productivity of parents – an unrealized source of potential gains for California’s economy. (Anna Powell, 2019)
However, only 17 percent of working parents in Stanislaus County have access to licensed child care. The County needs an additional 36,000 spaces for children zero to 12 to meet demand (Stanislaus Child Development Local Planning Council, 2020). Further, two-thirds of the prime working-age adults who are sitting out of the labor force are women. In Stanislaus County, a substantially higher percentage of prime-age nonworking adults are caring for children (60 percent), compared to nationally (40 percent) (U.S. Census Bureau, 2021). The Home Child Care Business Expansion initiative is the primary strategy Stanislaus 2030 is investing in to address this shortage.

The long-term goal of the Home Child Care Business Expansion initiative is to turn Stanislaus County’s child care deserts into child care oases. In child care deserts, there are one or fewer licensed spaces for every three children who need one. The initiative intends to dramatically expand the supply of care in high-need ZIP codes, so that parents can choose from an ample supply of licensed care that is provided by caregivers who earn family-sustaining incomes.

The Home Child Care Expansion Pilot was funded in the summer of 2023 by Stanislaus County, with federal American Rescue Plan Act (ARPA) State and Local Fiscal Recovery Funds. The objective of the pilot phase was two-fold. The first objective was to test and learn from an innovative and scalable child care entrepreneurship development program.

The second was to identify system-alignment issues critical to the success of initiative implementation at scale.
01 BACKGROUND
Increasing public investment in high-quality [early care and education, (ECE)] … would stimulate growth. One impact of more funding would be to generate greater revenues for providers, sending ripples of increased activity through the region through an economic multiplier effect.

The biggest benefits of ECE expenditures, however, are the increased employment, earnings, and productivity of parents – an unrealized source of potential gains for California’s economy. (Anna Powell, 2019)
– UC Berkeley Center for Labor Research and Education
We aim to turn child care deserts into oases, where parents can find care and caregivers can earn a good living
Photo: Center for American Progress
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02 This report is divided into four sections. In the first section, we review the context for the pilot, i.e., what we knew about the child care economy at the outset of the pilot. We then review an analysis of local data to paint a picture of the child care landscape in Stanislaus County and what it will take to solve the most acute pain points.

The second section reflects on the pilot. It explains the rationale for utilizing Nurture’s unique approach, reflects on outcomes and lessons learned, and evaluates our success in preparing entrepreneurs to run successful home child care businesses.

The third section articulates the necessity for systems alignment and outlines emerging service linkages with other parts of the public sector service delivery ecosystem. It lays out a case for broad and shared ownership for addressing the shortage of licensed care in the County.

The final section of this report lays out an achievable 10-year implementation plan for closing the gap in supply of licensed care, improving job quality for caregivers, and enabling greater labor force participation among parents.

The report lays out the case for broad and shared responsibility for addressing the County’s shortage of licensed child care REPORT SUMMARY Photo: Center for American Progress
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LANDSCAPE

ANALYSIS
Fundamentals of the Child Care Economy
Why Home-Based Child Care
Shortage of Licensed Care in Stanislaus County
Where and for Whom is Shortage Most Acute
Employer and Worker Perspectives
Critical Role of Child Care Subsidies
Broadly Available Subsidies … A Game-Changer
Lack of Awareness of Available Subsidies
Concurrent Expansion of Supply and Demand
PILOT

REFLECTIONS
What is Nurture?
A Solution to Match the Scale of the Problem
Designing for Marginalized Prospective
Entrepreneurs
Pilot Experience, Lessons, and Results
Recruitment
Nurture Coursework
State Child Care Licensure
Business Starts

SYSTEMS

ALIGNMENT
Public Mandate to Support Child Care
Entrepreneurs
Public Resources to Support Child Care
Entrepreneurship
Potential Service Linkages

IMPLEMENTATION
PLAN
Theory of Change
Activities, Timeline, Outcomes
Implementation Budget
Impact Infographic

TABLE OF CONTENTS
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Child care is a market failure. Because most parents cannot afford to pay the true cost of care, wages in the sector are artificially depressed, and the supply of care lags demand. The forces that classical economic theory suggests will bring a market into equilibrium are ineffective when a market fails. Caregivers cannot raise prices high enough for child care to be an attractive profession. Parents cannot decide that, based on price, they do not “need” care.

Families who can afford to pay a premium are able to access the limited supply of privately provided quality child care. Those who cannot pay are generally left with unlicensed, informal care, which often equates with lower quality. (The supply of publicly subsidized quality care, such as Head Start, does not come close to meeting demand.) Children who miss out on quality early learning start kindergarten behind, and often stay behind. Parents who cannot find care, sit out of the workforce, and cannot contribute to the economic vitality of the region. Child care providers, who play a critical role in preparing the next generation, struggle to make ends meet.

Shoring up the fundamentals of the child care economy requires sweeping changes to the public child care system, such as reimbursement rate reform. However, even as advocates and policymakers wrangle for common ground, we should celebrate a “rose among the thorns” when we find one. Child

LANDSCAPE ANALYSIS
Fundamentals of the Child Care Economy
04 care entrepreneurship is a
bright spot in an otherwise
dysfunctional market.

Supporting the development of
home-based child care
businesses has the potential to
make a big impact for children,
parents, and caregivers. This
strategy can increase earnings
for those providing care,
improve the quality of care for
children, and increase supply of
care so that parents can work.

CHILD CARE IS A MARKET FAILURE
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WHY HOME-BASED CHILD CARE … A ROSE AMONG THE THORNS
Stanislaus County is a “child care desert” where there is one or fewer licensed space for every three children (Center for American Progress, 2020). The shortage of care, however, is not evenly distributed among children of all ages. Of the 36,000 children in the County who need licensed care, nearly half, or 17,000, are age 0 – 2 (Stanislaus Child Development Local Planning Council, 2020).

Infants and toddlers are generally cared for in home-based settings, due to both parental choice and the economics for child care centers—the required adult-child ratios make caring for this age group unprofitable. By focusing efforts on increasing the supply of home-based care, we are targeting the child care setting that is most in-demand.

Further, child care entrepreneurship provides a unique opportunity for a family-sustaining income in a sector where the median wage in California is just over $10 per hour, adjusted for cost of living (UC Berkeley Center for the Study of Child Care Employment, 2020).

Child care entrepreneurs in the Central Valley who care for children with subsidies and apply sound business practices can net, after expenses, $50,000 annually (Nurture, 2022).

Finally, licensed child care entrepreneurship has low barriers to entry for those with few other opportunities for economic security. Neither a high school diploma, legal work authorization, nor the ability to speak English is required to be licensed by the state of California. 05 #8..
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For essentially the past two decades, the supply of licensed child care in Stanislaus County has been shrinking.

The decline has been most pronounced among home-based child care programs—the setting that is more likely to meet the needs of families with infants and toddlers, as well as those who work nontraditional hours, and those who prefer care in a language other than English.

The shortage of licensed care is also more pronounced in certain geographies and for certain populations. In general, child care deserts, like those in Stanislaus County, tend to be poorer, and more rural and Latinx, compared to places with an adequate supply of licensed care (Center for American Progress, 2020).

Shortage of Child Care in Stanislaus County
06 Number of Stanislaus County Child Care Facilities
By Year, 2002 – 2023
769 in 2002
320 in 2023
Home-Based Child Care Businesses Child Care Centers
Source: Stanislaus County Office of Education, 2024
144 132
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Stanislaus County needs 150 new home child care businesses per year for the next 10 years to address the most acute shortage

WHERE AND FOR WHOM IS THE SHORTAGE OF LICENSED CARE MOST ACUTE High-Demand, Low-Income Communities
To understand which communities in Stanislaus County have the highest need, we compiled local data—with assistance from University of the Pacific researcher Thomas Pogue, Ph.D.— from the Stanislaus County Office of Education, Stanislaus County Workforce Development, and the U.S. Census Bureau.

Analyzing data on the shortage of care, numbers of workers, poverty rates, and labor force participation gaps, we identified seven high-demand, low-income ZIP codes.

We calculated that addressing the shortage of infant and toddler care in these communities will require an additional 6,000 licensed child care spaces. Factoring in capacity limits, that number translates to 1,500 new or expanded businesses. Over the next decade, Stanislaus County will need to incubate 150 new or expanded home child care businesses annually.

HIGH-DEMAND, LOW-INCOME COMMUNITIES
07 Infant/Toddler
Care Shortage,
Small Home
License
Workers
150% of
Poverty,
Individuals
Prime-Age
Employment
Gap
ZIP Code Low-Income
Neighborhood
-334 26,747 16% 26% 93507 Ceres
-330 27,878 22% 31% 95351 Rouse (Modesto)
-268 31,359 15% 26% 95350 Aurora (Modesto)
-212 26,087 19% 25% 95380 W Central
Turlock
-137 17,816 15% 29% 95358
Bret Harte,
Shackleford
(Modesto)
-137 14,262 15% 28% 95354 NE Downtown
Modesto
-91 6,036 17% 33% 95386 Waterford
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Concurrently, we fielded a survey of workers and potential workers in Stanislaus County, to which more than 700 individuals responded. The survey, which was primarily shared with workers via email from their employers, initially yielded very few Spanish speakers.

To increase representation of Spanish speakers, we supplemented data collection with inperson surveying of patrons and workers at the Ceres flea market on December 3. The low variance among the 50 Spanish in-person survey responses gives us reasonable confidence that differences between Spanish and English speakers reflect population-level differences.

Workers and potential workers reported a high demand for care, particularly Spanish speakers. Two-thirds of Spanish speakers need care in order to work; three-quarters indicated that they would use care if it were available near their home or employer.

In November 2023, we fielded a survey of
Stanislaus County employers. Seventy-one
firms, government entities and organizations,
representing more than 100,000 workers
responded to the brief survey.

The survey showed that absenteeism and
difficulty filling vacancies were—regardless of
shift—substantial pain points for employers
with 500 or more employees.

EMPLOYER AND WORKER PERSPECTIVES
Employer Pain Points
Worker and Potential Worker Needs
Large employers frequently have difficulty
filling vacancies and/or with absenteeism
08 English Spanish
High demand for child care,
particularly among Spanish speakers
Employee Need for Care and Customer Demand
68%
76%
52%
Need Care to Work Would Use Care if Available
Frequent
Large Employer Difficulty Filling
Vacancies and/or Absenteeism
59% 56% 52% 48%
8:00 AM – 5:00 PM
Early Mornings
Overnight
Late Night
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The County’s state subsidy funding
increased 10x in the past five years
Research has demonstrated not only that high-quality early education drives individual success in school and in life, but also that it creates better health, social, and economic outcomes more broadly (Heckman, 2012). Unfortunately, many children cannot access quality early learning.

Because most parents cannot afford the true cost of care, subsidies are necessary to correct the market failure. Historically, however, California has provided insufficient funding to support all those families who are income-eligible for financial assistance.

After a decade of largely flat state subsidy funding, policymakers began incrementally increasing funding to help parents pay for care beginning in fiscal year 2018-19. The Covid19 pandemic, however, put a spotlight on the essential role child care plays to a functioning economy. Policymakers responded by dramatically increasing the number of families who could receive a subsidy. In the past five years, subsidy funding in Stanislaus County has increased by a factor of 10.

While this expanded investment was more
than welcomed and long overdue, without a
corresponding investment in the supply of
care, many parents have been unable to find a
provider with space to care for their child.

Currently, there are literally hundreds of
parents in the County who have been approved
for a child care subsidy but cannot find a
provider to care for their child.

Experience from the Stanislaus County Office of Education, which enrolls parents in subsidy programs and helps them find care, illustrates the shortage, particularly for infants and toddlers. Staff have stories of heroic efforts to help parents with subsidies to find a caregiver.

Stanislaus County, like other child care deserts, lags in expending state subsidy dollars. As of February 2024, more than $10 million of FY 22-23 funding remained unallocated. Nearly $40 million in additional funding for FY 23-24 is available and has yet to be tapped.

Strategically expending state subsidy funding is necessary not only for families to access the care they need, but also for child care to be a viable career option for entrepreneurs.

I was helping a parent who qualified for a child care subsidy to find a space for her infant. I called 44 child care centers and home-based programs looking for vacancies. Only eight programs had any vacancy whatsoever. – Child Care Navigator, Stanislaus County Office of Education Critical Role of Child Care Subsidies
BROADLY AVAILABLE SUBSIDIES … A GAME-CHANGER
09 Stanislaus County Subsidy Funding
By Fiscal Year, 2005 – 2023
$4.4M, FY2017-18
Source: Stanislaus County Office of Education, 2024
$40M, FY2022-23
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Increasing the supply of licensed child care must go hand-in-hand with connecting families with the subsidies to pay for it In the face of historic underfunding, many counties logically opted to preserve their limited resources for services, rather than marketing; although many families were income-eligible, few would ultimately receive a subsidy. As a result, the current availability of financial assistance to pay for care is an unintentionally well-kept secret.

There is a profound lack of
awareness among families
that they may qualify for help
paying for child care. The
worker survey, fielded in
November 2023, showed that
only one in four Englishspeakers, and fewer than one
in five Spanish-speakers was
aware of financial assistance
available to help pay for child
car worker survey, fielded in
November 2023, showed that
only one in four Englishspeakers, and fewer than one
in five Spanish-speakers was
aware of financial assistance
available to help pay for child
care.

I didn’t know that subsidies to help pay for child care existed. Where do parents have to go to get help? What do they have to do? Who are the organizations that are
promoting this assistance? They are not at the health fairs. – Promotora
Addressing the lack of awareness among parents is as important as addressing the shortage of care. Further, we must concurrently increase the supply of care and work to enroll more families in the subsidy system.

Without subsidies, families in low-income communities cannot pay child care providers enough for the entrepreneur to stay in business.

There is a woman in my area who watches five children; she takes four to school and watches the youngest all day. The mother works six days a week and she can only pay the provider $40/day for all five children. Why would we help people like her set up a daycare if they can’t earn much income?
– Promotora

LACK OF AWARENESS OF AVAILABLE SUBSIDIES

CONCURRENT EXPANSION OF SUPPLY AND DEMAND
10 Aware Unaware Aware Unaware
26%
English Speakers
17%
Spanish Speakers
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To illustrate the critical importance of subsidies in making home-based child care entrepreneurship a good job, consider that a licensed child care entrepreneur who cares for children with subsidies—and who applies sound business administration practices—can earn more than $70,000 annually, and take home, after expenses, approximately $50,000 (Nurture, 2022). Informal caregivers who are paid through the subsidy system, by contrast, earn 30 percent less than licensed providers and have stricter limits on the number of children they may care for, further restricting their earning capacity. Informal caregivers paid directly by parents are constrained by parents’ ability to pay, which in low-income communities, can mean earning $25 – $75 per day.

Pragmatically, we must also be mindful of geography as we incubate new child care businesses and raise awareness of subsidy availability. Parents generally prefer child care that is either close to home or to work. A geographic mismatch in supply and demand could easily derail progress for both parents and child care entrepreneurs.

Further, while Stanislaus County has an immediate opportunity to fully expend its allocated state subsidy dollars, current funding is insufficient to subsidize all families in the county who are income-eligible. (As a point of reference, a two-adult, two-child family earning less than $95,000 is income-eligible to receive a child care subsidy.) While states rules dictate that families with the lowest income who have been waiting for care the longest should receive support first, in the absence of a “waiting list,” any incomeeligible family will be given a subsidy on a first-come, first-served basis. Efforts to increase awareness of subsidy availability should ensure that resources are equitably deployed to those who are furthest from opportunity.

Effectiveness and Equity
Efforts to increase awareness of subsidies must ensure resources are equitably deployed to those furthest from opportunity 11 $687 $687
$833 $833
$766 $766 $766 $766
Licensed Home Child Care
Maximum
Annual Reimbursement
$73,000
Optimized Enrollment,
Monthly Subsidy Payments
$583 $536 $481
Informal Subsidized Care
Maximum
Annual Reimbursement
$20,000
Typical Maximum Monthly
Subsidy Payments
Typical Scenario: Unsubsidized Care
in Low-Income Community
$1,065 monthly total for 5 children
Informal Care
Annual Parent Payment
$12,480
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Nurture’s sequenced content is divided into courses to
deliver highly salient information at the moment when
entrepreneurs need it. The pilot tested the Business
Start-Up track, which includes the Accelerated State
Licensing and Business Essentials courses. The 12-week
track takes prospective entrepreneurs through the state licensing process and prepares them with the essential
business skills needed to launch their business.

In each week of the coursework, entrepreneurs complete a Learning Pathway on a particular topic. They watch videos, explore resources, and reflect on how the content they are EARNING learning applies to their future business. They make decisions and commitments, which become their business plan, and create essential customized business tools, such as a budget, marketing flyer, curriculum outline, parent contract, etc., via interactive technology.

In 2021, with funding from the James Irvine Foundation, and in partnership with Merced County Worknet, Nurture engaged in its first human-centered design cycle to develop content for marginalized entrepreneurs. Nurture began delivering direct services in 2022 with funding from the Central California Small Business Development Center Network.

Building on decades of wisdom and insights from the child care, small business development, and workforce development fields, Nurture’s evolving business content is co-created with entrepreneurs. Its service delivery model is anchored by partnerships with local stakeholders.

Nurture’s financial model relies on philanthropic support for design and evaluation of new services while leveraging public funding to support ongoing service delivery.

What is Nurture?
Nurture’s mission is to equitably design, build, and scale solutions that create financial security for child care entrepreneurs and meet the demand for care in child care deserts.

Nurture is a nonprofit with fiscal sponsorship by Mission Asset Fund, a Community Development Financial Institution with deep expertise in equitably delivering innovative tech-forward services.

As a baseline for comparison, approximately 25 new home child care business per year are licensed in Stanislaus County. At that rate, it would take 60 years to increase the supply to meet demand in the County’s high-need ZIP codes. To move the needle on the shortage of licensed care in the region, the solution must match the scale of the problem.

Nurture’s approach combines scalable app-based learning content, virtual group support, proactive one-on-one coaching, and access to financial capital, to efficiently prepare diverse entrepreneurs for child care business ownership.

A SOLUTION TO MATCH THE SCALE OF THE PROBLEM

ENTREPRENEURSHIP DEVELOPMENT PILOT
12 Cost Structure and Scale
Total Cost (in millions)
Nurture Typical Brick-and-Mortar Training
0 100 200 300 400 500
$.5
$0
$1
$1.5
$2
$2.5
Annual Volume of Entrepreneurs
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Nurture is committed to equitably building and scaling practical solutions that turn child care entrepreneurship into a path to economic security. From Nurture’s inception, it has cultivated proximity to the communities for whom it advances equity—marginalized women and men, who are often low-income and immigrants, with few other opportunities to earn familysustaining incomes.

Nurture designs with and for aspiring and
struggling entrepreneurs in child care deserts,
who have been involved at every step of the
human-centered design process. All of
Nurture’s content and support is available in
Spanish and English.

A culturally and linguistically trusted coach
convenes cohorts virtually each week to foster
shared accountability, support, and
persistence. The coach monitors
entrepreneurs’ progress and quality of work
and proactively supports those who need
help mastering a concept or using
technology.

Nurture’s technology interface (smartphone
app, rather than a computer) and user
experience were developed based on
patterns of technology usage among our
target audience and refined with ongoing
user feedback and input.

Nurture defines success from the vantage
point of marginalized entrepreneurs.

Everything, from recruitment to the
technology experience and one-on-one
support, is designed—and redesigned— with
that entrepreneur’s success as its North Star.

When entrepreneurs complete the coursework and obtain a California Family Child Care Home License, they receive a $2,500-grant to cover licensing and business start-up expenses.

Nurture follows entrepreneurs for a year or more, tracking business starts and vitality, and inviting engagement with additional learning opportunities.

Nurture’s technology-forward service design enables it to nimbly expand the number of entrepreneurs supported without a one-to-one increase in costs. In fact, Nurture’s cost structure becomes more efficient as the volume of entrepreneurs increases.

The shortage of licensed child care is a regional problem, to which Nurture is taking a regional approach. The team is concurrently working to expand resources in surrounding counties, which will only serve to increase the cost-efficiency of the model.

DESIGNING FOR MARGINALIZED PROSPECTIVE ENTREPRENEURS
Do low-income and Latinx households
use technology?
While computer, tablet, and smartphone
usage is nearly ubiquitous among upperincome households in the United States, a digital divide, by both income and race &
ethnicity, persists.

The gap in technology usage, however, is
greatest for computers and broadband
access, not smartphones.

For example, 93 percent of those earning
more than $100,000 reported home
broadband access, compared to only 57
percent of those earning less than
$30,000. Differences by race and ethnicity
show that Black and Latinx adults are less
likely than White adults to report using a
computer or broadband at home.

There were, however, no reported racial or
ethnic differences in use of smartphones;
85 percent of both White and Latinx
adults, and 83 percent of Black adults,
report using a smartphone.
(Pew Research Center, 2021)
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162
A core supposition of Nurture’s service delivery model, which it sought to test in the Pilot, was whether partnerships with trusted community organizations that have relationships with marginalized County residents would be sufficient to open doors and provide credibility to engage with our target audience.

Beginning in the summer of 2023, Nurture engaged in a range of outreach activities to increase awareness of the opportunity, primarily among community organizations.

Initial activities included:

1. Meetings with staff at community organizations

2. Developing and sharing Spanish and English social media collateral

3. In-person meeting with potential entrepreneurs at West Modesto Collaborative

4..Targeted door-knocking by North Valley Central Labor Council The key metric of success for the Child Care Entrepreneurship Development Pilot was state licensure and preparation of 25 entrepreneurs with the essential skills to launch successful child care businesses. In addition to the potential direct positive impact of 25 new child care businesses in the County, however, the Pilot also sought to learn about the challenges and opportunities related to recruiting diverse prospective child care entrepreneurs. The following sections reflect on experience, lessons, and results related to recruitment, Nurture’s coursework, state licensure, and new business starts.

The first wave of outreach resulted in
more English- than Spanish-speakers.

Using language as a proxy for economic
marginalization, Nurture decided to test
additional strategies to reach a greater
number of disconnected potential
entrepreneurs.

Pilot Experience, Lessons, and Results

RECRUITMENT
How did we identify and attract diverse potential entrepreneurs? 14 #8..
163
In the fall, Nurture tried three additional strategies:

5. Meeting with one of the promotora networks

6. Engaging flea market patrons and workers in Ceres

7. Strategically hanging flyers in targeted ZIP codes
Angelica, Nurture graduate, and David, Nurture
Generalist, at the Ceres flea market
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164
Diana, Nurture graduate, and Crystal, Nurture
Coach, at CVOC farmworker fairs
We paused to reflect on effectiveness of
strategies tried to date (see appendix),
before testing three additional strategies in
January and February:

8. Incentivized outreach by Nurture
graduates (see box on page 17)

9. Partnering with the Ceres Unified School
District to reach elementary school
parents (see box on page 18)

10. Tabling at Central Valley Opportunity
Center’s farmworker fairs
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165
Emerging Sketch of Nurture
Ambassador Program

OUTREACH EXPERIMENTATION
December – January: Nurture Graduates as Outreach Ambassadors Early Results
Graduates are eager to share their experiences. Simple encouragement to share was sufficient to spur action. Spanish speakers responded particularly well to word-of mouth recruitment.

Low-effort referrals surfaced some “natural” ambassadors among graduates.

Graduates are quite willing to hang flyers in
their neighborhoods, and even to drive to
other ZIP codes, especially when provided
some financial compensation.

Pairing a Nurture staff with a graduate at
tabling events effectively conveyed the
message: “If I can do it, you can too!”
Ambassador Profile
Successful Nurture graduates
in target ZIP codes
What We Did
Mailed graduates who had launched businesses a postcard and small gift—logoed shopping bag, pen, or mug—congratulating them and encouraging them to spread the word.

Asked several entrepreneurs in target ZIP codes to hang flyers in businesses they frequent.

Compensated entrepreneurs a nominal amount for hanging 10 flyers each.

Added question to onboarding process, “How did you hear about Nurture?” to capture referrals .

Identified graduates to join coach for tabling events, for which they were compensated.

Value Proposition
Engage in easy outreach activities:

Hang flyers at local businesses
Post on your own social media
Have one-on-one conversations with your
friends, family, and acquaintances
Receive incentives:

Regalitos—small gifts of appreciation
Referral incentives: Gift cards for successful
referrals
Opportunity to participate in additional
Nurture courses and workshops
Pipeline to Identify Leaders for Deeper Engagement
Paid outreach roles, e.g., representing Nurture at events Leadership roles, e.g., facilitating group Zooms
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166

OUTREACH EXPERIMENTATION
January – February: Reaching Parents via Ceres Unified School District The mothers in the community are natural promoters. They are the ones that have the most need and interest in their children.
– Promotora
Early Results
Text message traffic and web hits spiked after social media collateral were shared via Parent Square school communication app.

For two-week period after flyers and images deployed, 40 percent of all app downloads/new profiles created were from Ceres ZIP code.

More than one-quarter of the 21 entrepreneurs enrolled in the February cohort reside in the Ceres target ZIP code 95307.

What We Did
Presentation to Community Liaisons for each school.

Included eye-catching flyer in backpacks of children at two elementary schools, which were selected based on low socio-economic status of students.

Created video reel and static social media collateral, which were shared via Parent Square family communication app.

Created new Nurture orientation video series and landing page, and automated, trackable SMS Learn More/Más información message thread capability
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167
Many potential participants voiced initial skepticism—both about the ability to get a child care license and the offer of start-up grants. Misperceptions abound regarding the licensing process; two of the most common are regarding the need to own one’s home and to have legal work authorization. As Nurture heard these misperceptions, it adjusted recruitment materials to address common concerns.
“I was a little skeptical at first. I’m like, ‘Is it that easy?’ And my friend was like, ‘Yeah, all you have to do is meet once a week, and they walk you through it.’ It’s literally step-by-step; Nurture gives you what you need.”
– Rosa, Program Graduate
I have a neighbor, and another a few blocks away, who I told about the program. I said, ‘You’re already caring for children, why don’t you get your license?’ And they said, ‘No, it’s too difficult.’ I‘ve told them about the program and they don’t believe me. They think I am lying! One said that the licensing office told her that they won’t give a license to someone who doesn’t have papers.
– Josefina, Program Graduate
Ultimately, one of the most reliable strategies for recruiting participants, especially Spanish speakers, is a personal referral. To illustrate, in early January 2024, Nurture sent a request to graduates via Nurture’s WhatsApp groups asking them to “Tell your friends and family that Nurture is starting a new cohort on January 10,” and asked them to Like or Share a Facebook post.

Power of Personal Testimony
WHAT ARE WE LEARNING ABOUT RECRUITMENT?
Overcoming Initial Skepticism and Misinformation
How January Enrollees Learned About Nurture
Multiple Central California Counties
Spanish English
2 12
Someone known personally Flyer
19 2
1 6
3 1
1 1
Someone known personally
Stanislaus County Office of Ed
Worknet (Merced County)
Small Business Development Center
In-Home Supportive Services
Social media
Flyer
Nurture enrolled 28 participants (from several
Central Valley counties) within one week. More than
85% of the Spanish speakers (and a sizeable
minority of English speakers) cited an acquaintance,
family, or friend as their introduction to Nurture.
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In the six-month pilot project, Nurture raised sufficient awareness and interest to exceed targets. In fact, responding to interest, the County provided supplemental funding in November to enroll an additional 12 participants in the program.

Scaling up a brand-new program in the County, however, will require patience, flexibility, and investment. To attract the necessary number of entrepreneurs to solve the County’s child care shortage, Nurture will need to continue to raise awareness both about child care entrepreneurship in general and about this specific opportunity.

Further, to reach the most marginalized community members will take commitment, creativity, and trust. In addition to dispelling myths and making the dollars-and-cents case for licensed child care entrepreneurship, Nurture must also lean-in and respond to the lived experiences of those who have learned to expect little from government and formal services.

Nurture will need to continue to listen, experiment, and adjust if it is to change the narrative about child care entrepreneurship.

Strategies must recognize that marginalized people have learned to expect little from government and formal services
You are standing up a brand-new program in the Central Valley. Raising awareness is going to take, not just time, but a substantial financial investment. – Jorge DeNava, Central Valley Opportunity Center
Patience, Investment, and Narrative Change
20 Current Narrative
Child care
is a bad job
My landlord
would never
agree
I don’t know
where to
start
I can’t get
licensed
because I’m not
here legally
I don’t have
money for
start-up costs
Parents can’t pay
enough to make it
worth it
Net up to
$50,000
You can
run a daycare
in your
apartment
Step-by-step
guidance to
help you
Get licensed
regardless of
immigration
status
Grants to
cover start-up costs
Most parents
qualify for help
paying of care
New Storyline
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Language
English Spanish
64%
36%
Household Income
16%
Financially
Insecure
Financially
Secure
84%
A total of 26 entrepreneurs completed
Nurture’s Business Start-Up coursework
between October 2023 and January 2024.

Nine additional program participants are on
track to complete coursework by the end of
March 2024. Twenty-four participants who
started coursework in mid-February will
finish in May 2024.

The following demographic analysis reflects
only those entrepreneurs who completed
the coursework as of February 2024.

The pilot effectively targeted entrepreneurs who were
financially struggling. The majority, 84 percent, of
participants had household incomes below the SelfSufficiency Standard, adjusted for their family size.

Initial recruitment efforts resulted in more Englishthan Spanish-speakers, which is reflected in the higher percentage of English-speaking program graduates.

Of note, by adjusting recruitment tactics, we effectively flipped the percentages of Spanish- and Englishspeakers: 60 percent of those recruited in January and February are Spanish-speakers; 40 percent are Englishspeakers.

NURTURE COURSEWORK
Who completed the Business Start-Up courses? (as of February 2024) 21 Stanislaus County Participants
by Cohort Completion Month and Language
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Nurture conducted a retrospective pre- and
post-test to evaluate participants’ selfreported knowledge and skill development.

Nurture used this research design to reduce
response shift bias—the tendency for
humans to “not know what we don’t know”
and inaccurately assess pre-program
knowledge.

Most participants reported that they began
the program with little or no knowledge of
child care business administration or the
licensing process.

Ninety-six percent of participants left the
program confident that they had sufficient
knowledge to launch their child care
business.

Across all the topics covered in Nurture’s
Business Start-Up courses, participants
reported the most growth in the areas of
understanding business start-up costs,
identifying a target market, and utilizing a
parent contract and policy handbook.

Nurture made no attempt to recruit from specific ZIP codes for the pilot, as it had not yet identified the seven target communities. Organically, however, Nurture found that 36 percent of completers reside in those targeted areas.

Did entrepreneurs learn the skills they need to launch successful businesses? 22 95355 (NE Modesto)
95380 (Turlock, Chemurgic, Cortez, Hatch)
95307 (Ceres, Keyes)
95354 (Central Modesto and along Rt 132)
95358 (Modesto, Ceres, West Modesto, Parklawn, Bret Harte, Riverdale Park, Twin Rivers) 95360 (Newman, Hills Ferry, Timba)
95363 (Patterson, Westly, Grayson)
Other ZIP codes
3 5
2 6
ZIP Code
2 2
2 3
Median Knowledge Growth
All Topics, Self-Assessment Before & After Course
Enough to Start
Some
None
Before Today
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At the conclusion of the course, each entrepreneur participated in a one-on-one exit interview with a Nurture coach to ensure knowledge transfer, and for us to gain insights about program aspects that might be improved. Participants generally reported feeling “successful” as learners, and confident in their comprehensive understanding of multiple dimensions of child care entrepreneurship.

I am confident and ready to start my business knowing I have the tools Nurture provided.
– Maria, Nurture Graduate
This program is great, I do best with step-by-step guidance. Nurture really catered to my learning style.
– Kelly, Nurture Graduate
I was never really good at schooling, but the way all of the steps and information are laid out here with Nurture, I felt comfortable I was learning everything I should. – Denisse, Nurture Graduate
A few people told me I could never get my license, I still cannot believe how easy the process has been. With Nurture, I feel secure; they have my back. – Josefina, Nurture Graduate
I am ready to serve my community, and, at the same time support my household, with all of the business practices I have learned.
– Araceli, Nurture Graduate
23 Average Knowledge Growth
Self-Assessment Before & After Course
Enough to Start
Some
None
Before Course Today
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To establish a baseline, Nurture conducted in-depth interviews with four licensed home child care providers who had been operating for less than three years. Interviewees were recruited in partnership with the Stanislaus County Office of Education and were compensated for their time.

Across the board, entrepreneurs in the comparison group were less confident that they had sufficient business knowledge to run their business.

The gap was most pronounced related to financial aspects of business administration— budgeting and monitoring finances and recordkeeping, as well as understanding who their target customers were.

Comparison Group
24 As of the end of February, 80 percent of participants had received their state license. The remainder have not yet received their license for a variety of reasons, including delays with background check clearance, financial hardship, unsupportive family members, and personal preference. Nurture expects that the overwhelming majority of graduates will complete the licensing process within one to two months.

STATE CHILD CARE LICENSURE
Did entrepreneurs achieve state licensure?
Self-Assessment of Business Knowledge
Nurture Graduates & Comparison Group
Enough to Start/Run
my Business
None
Budgeting
& Monitoring
Finances
Recordkeeping Target Market Marketing &
Attracting
Customers
Child
Development
Comparison Group (n=4) Nurture Graduates (n=19)
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The licensing process was more efficient and less stressful compared to the experience of navigating the process without Nurture’s support.

Among those who followed Nurture’s schedule for submitting their license application to the Community Care Licensing agency, the total average length time to state licensure (including the steps prior to submitting application) was 12 weeks—the same duration as Nurture’s coursework. Some highly motivated participants were licensed in as few as six or nine weeks.

The timeline for those whose licensing process spanned the winter holidays was approximately two weeks longer.

Not all participants completed the process as efficiently, however. Some chose to delay submitting their application for personal reasons—aware that they might be foregoing the opportunity to receive a start-up grant. Still others, who have household members with (cleared or expunged) criminal records, continue to await resolution by the state’s Care Provider Management Bureau.

In contrast with the comparison group, Nurture’s approach was both shorter in duration and simpler. Comparison group reflections mirrored comments from other child care entrepreneurs who have shared their stories. They painted a picture of a cumbersome process that is both time-consuming and difficult to navigate.

One Nurture participant who started the licensing process independently before she joined a Nurture cohort reflected on the value she perceived of Nurture’s support through the licensing process.

Was the licensing process more efficient?
The licensing process took a very long time.
– Sara, Comparison Group
From the beginning to the day I got my license was exactly one year. – Teresa, Comparison Group
It was really hard!
– Yolanda, Comparison Group
I wish I had Nurture when I started getting my license. My process took such a long time, and I really had no idea what I was doing. With the app, everything you need is right here, at your fingertips.
– Adriana, Nurture Graduate
25 84
average
44 shortest
114
longest
Licensing Process Duration
Among Participants Who Followed Nurture Schedule
days
days
days
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Licensing agency staffing
The Department of Social Services Community Care Licensing (CCL) Regional Offices are stretched thin. For example, there is one home inspector for the entire region from Modesto to Fresno, with little staffing redundancy. Data from CCL show that, over the past three years, the agency has decreased the average time it takes to process an application by 5 percent.

However, as we significantly increase the number of licensing applicants, wait times for application processing will likely lengthen.

Obtaining a license to operate a Family Child Care Home is necessarily a bureaucratic process.

However, building relationships with the human beings who run that process reduces time and potential frustration. Nurture encourages each applicant to proactively communicate with Community Care Licensing staff to ensure their application is on track, or address issues, if it isn’t. Nurture also developed direct relationships with Regional Office staff. Further, it developed and vetted an application coversheet and checklist for Nurture entrepreneurs to clearly convey to Community Care Licensing staff any pertinent details about their application.

Structural Issues
WHAT DID WE LEARN ABOUT THE CHILD CARE STATE LICENSING PROCESS? Proactive Communication Helps
26 Already, we are hearing concerning anecdotes of
significantly longer wait-times to schedule the required home inspection. Nurture applicants who started the
licensing process in late summer 2023 were able to
schedule inspections within a few weeks of completing all other requirements. By contrast, a participant whose
application had been complete since late December 2023
was told by the Regional Office in mid-February that she would not be able to even schedule her inspection until mid- to late-March.

Need for consistency and modernization
Applicants faced a range of solvable barriers to efficiently completing the licensing process. Barriers include
inconsistent guidance, inconsistent Spanish-language
translation, and out-of-date technology.

As an example of inconsistent guidance, official licensing forms explicitly contradict the practices of Regional Office staff, leading to unnecessary delays. The licensing
application form and instructions (279A) clearly state—in CAPITALIZED, underlined, and italicized font—that
applicants should not submit Landlord Notification and
Consent forms to the Regional Office. Yet, applications are regularly rejected because those forms were not included in applicants’ submissions.
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Official correspondence from Regional Office staff to those who have submitted their applications in Spanish is regularly sent in English, creating confusion and the need for Nurture staff to translate. The Department of Social Services is aware of these issues. It affirmed its commitment to equal access to services and information, regardless of language, and noted that consistently providing multilingual materials will be a continuous effort.

Applicants are also faced with technology that does not consistently execute its basic functions. The state requires applicants to participate in a licensing orientation, either online or in-person. The user interface to register for the online orientation malfunctions for a substantial minority of applicants, requiring intervention and advocacy by Nurture staff, usually over multiple days, to resolve. (Spanish-language in-person orientations are not consistently offered at a frequency for that setting to be a viable alternative to the online orientation.) Background clearance
California’s background check process works efficiently for those with spotless records. The Department of Social Services reports a seven-day average for clearance of those with no criminal history, administrative actions, or child abuse flags. However, for any applicant or other adult in the household who has anything on their record—even if has been expunged or cleared—the clearance process takes many months. While the Department of Social Services’ website states that clearance for those with a criminal record will take up to 75 days, Nurture participant experience has been significantly longer.

Landlords
The Keeping Kids Close to Home Act (SB 234), which took effect in 2020, expanded housing protections for renters and homeowners seeking to operate home-based child care. Many landlords and housing providers, however, are unaware of the policy change.

To illustrate, among an initial pool of 35 Nurture entrepreneurs, seven experienced pushback from their landlords—including the landlord asserting that the tenant could not operate a child care, threatening eviction, or threatening to raise rents.

We empowered these entrepreneurs with resources from the Child Care Law Center. Those entrepreneurs whose landlords were unpersuaded, we connected directly to Law Center advocates to evaluate the merits of each situation. Unfortunately, however, several entrepreneurs chose to drop-out of the program rather than jeopardize their tenuous housing situation.
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Child care businesses started
to date will generate $4.6
million in economic activity in
the first year alone
Given the short duration of the pilot, it is premature to evaluate success in terms of business starts; typically, it takes six to 12 months to launch a new small business, depending on business type. However, by the beginning of March, 17 of the licensed graduates had launched their child care businesses and opened their doors to families.

These businesses translate to 136 new
permanent licensed child care spaces (or
68 infant/toddler spaces). This additional
capacity will generate $4.6 million in
economic activity in the first year alone
(Bipartisan Policy Center, 2021). This
economic impact derives from greater
labor force participation by parents who
can enter the workforce or work more,
reduced worker turnover, higher
productivity, and higher tax revenues.

An additional nine entrepreneurs are on
track to open businesses within the next
few months, which will result in a total of
208 permanent licensed spaces.

The 31 current training participants have
the potential to create nearly 250
additional licensed spaces by summer.

BUSINESS STARTS
28 Pilot Results
As of March 6, 2024
In Training
Course
Course
Complete
Licensed In Business
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Before Today
0 1
1 2
2 Licensing
Start-Up Costs
Marketing & Attracting Customers
Target Market
Budgeting & Monitoring Finances
Recordkeeping
Child Development
Parent Communication
Learning Environment
After learning about Nurture via a friend’s Facebook post, Nicole joined the first cohort that was offered as part of the Stanislaus 2030 pilot. She jumped into the coursework, applying everything she was learning to her emerging business. For example, after learning about the demographics of her potential customers, she was able to define a target market—both Spanish and English speakers who live in her neighborhood and are likely to qualify for child care subsidies.

Nicole, Child Care Entrepreneur, Turlock, CA

NURTURE GRADUATE PROFILE
It took Nicole three months to compete the
licensing process and Nurture’s coursework,
at which point she qualified for a $2,500 startup grant. Nicole shared, “I was very blessed to be able to get a lot of the things I needed
from my church, but I still needed sleeping
mats, an outdoor playset, and to stock up on
cleaning supplies.” The grant allowed her to
make those investments. By Thanksgiving,
she was ready to start enrolling children.

Amanda Silva, who was interviewed as part of
a recent story in The Modesto Bee, was the
first family Nicole enrolled. Amanda, who had
left the workforce after the birth of her third
child, was able to return to work because she
found care at Tiny Titans, Nicole’s child care
business.

Nicole has eight children enrolled—ranging from 6 months to 4 years—who attend a mix of full- and part-time. Some parents pay for care via a subsidy, while others pay out-of-pocket.

As someone who grew up in the foster care system, Nicole has always wanted to care for others. She says, “I feel like that’s where we step in, we can work alongside parents and communicate in a community to raise the next generation.” 29 Enough
None
Some
Nicole’s Knowledge Growth
Self-Assessment, Before & After Course
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Since the mid-1980s, the Child Care Initiative Project (CCIP) has provided dedicated state funding to increase capacity and improve quality in home-based child care. The amount of funding, however, is no match for the scale of the shortage of licensed care. In FY 2023-24, CCIP was funded at $5 million statewide. Of that total, the Department of Social Services allocated approximately $70,000 to Stanislaus County.

By comparison, in FY 2022-23 Stanislaus County Workforce Development spent approximately $5 million on training for adults, including entrepreneurship training.

Even funding sources that are limited to certain populations are orders-of-magnitude greater than child care-specific funding. For example, welfare-to-work training funding FY 2022-23 was more than $600,000. Training support targeted to farmworkers, as another example, totaled $3,000,000.

Funding to support small businesses—training, coaching
and other supports—totaled just over $250,000.

For illustrative purposes, allocating just 10 percent of available resources to child care entrepreneurship would fund creation of 150 new business annually.

Although child care entrepreneurship sits at the
nexus of several public systems, there has until now
been little effort to marshal disparate resources in
service of a common goal.

A core tenet of Nurture’s approach is to embed child
care entrepreneurship development into existing
systems—both to reach potential entrepreneurs and
to maximize access to public financial resources.

In addition to child care resource & referral, numerous systems, including small business development,
workforce development, safety net programs,
farmworker supports, public education, and
community colleges, all arguably have a public
mandate to support child care entrepreneurship.

SYSTEMS ALIGNMENT
Public Mandate to Support Child Care Entrepreneurs

PUBLIC RESOURCES TO SUPPORT CHILD CARE ENTREPRENEURSHIP 30 Job Training & Entrepreneurship
Funding Available in Stanislaus County
Farmworker
supports
Safety net
programs
Child care
resource &
referral
Workforce
development
Small
business
development
Public
education
Community
colleges
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Throughout the duration of the pilot, we explored a range of public funding sources, and will continue this investigation as part of the implementation phase. For example, a new area of inquiry is adult education funding, which is delivered via the Stanislaus County Office of Education (SCOE) and local school districts.

We recognize, however, that workforce development funding—both for the general population and farmworkers—is critical to scaling child care entrepreneurship. To access the core pool of workforce funding, Nurture’s coursework must be approved by the California Employment Development Department.

We have worked collaboratively, over several months, with Stanislaus County Workforce Development and SCOE’s Educational Options Division to apply for inclusion on the State’s Eligible Training Provider List under SCOE’s auspices.

Once Nurture’s training is approved by the state, we will develop a coordinated recruitment and service process to provide child care entrepreneurship training to participants who are enrolled as clients with Workforce Development and Central Valley Opportunity Center.

PATHS TO FUNDING AT SCALE
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In addition to financial resources to
directly support child care business
development, local public and
nonprofit agencies also have service
relationships with those who may be
situationally inclined toward child
care entrepreneurship.

We identified five target groups
around which to pursue service
linkages: informal caregivers, parents
of school-age children, welfare-towork parents, agricultural workers, and community college students.

We identified anchor institutions that
currently serve these groups and are
laying the groundwork for symbiotic
service relationships with these
agencies and institutions.

In the implementation phase, we
intend to further develop these and
other opportunities to recruit likely
child care entrepreneurs in a manner
that simultaneously enables
recruitment partners to meet their
own organizational mandates.

POTENTIAL SERVICE LINKAGES
Audience Agency or Institution
Family, Friend &
Neighbor Caregivers
County Office of Education
Community Services Agency
Choices for Children
Parents of Elementary
School Children Individual School Districts
Welfare-to-Work
Participants Community Services Agency
Agricultural Workers Central Valley Opportunity Center
Community College
Students Modesto Junior College
Welfare-to-Work Parents
Often single moms, required to work or
participate in education or training
Family, Friends & Neighbors
Informal caregivers paid directly by parents
or through the subsidy system
Parents of Schoolage Children
Out of the workforce to care for family
Agricultural Workers
Looking for alternative work for themselves
or their spouses
Community College Students
Often younger, seeking a good job or career
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Implementation Opportunity
If a substantial number of Welfare-to-Work participants are interested in becoming licensed child care businesses, the Community Services Agency is open to further exploration to assess whether CalWORKs funding could directly support training costs.

During the pandemic, more than half of Stanislaus County’s 4,000 CalWORKs recipients were deemed to have a “good
cause” exemption from work participation requirements. In May 2023, the state lifted the COVID-19 Public Health
Emergency, at which point counties had 60 days, or “as soon as is administratively feasible,” to reengage participants. As of the fourth quarter of 2023, the Stanislaus County Community Services Agency had a caseload of more than 2,000
participants yet to reengage.

A significant barrier to reengagement in a work activity (e.g., training, education, or a job) is lack of child care. CalWORKs participants are eligible for a subsidy to pay for care; however, the shortage of licensed care means that they may be unable to find a child care provider with whom to use that subsidy.

To test whether Welfare-to-Work
participants would be interested in
becoming licensed child care entrepreneurs,
the Community Services Agency entered
into a memorandum of understanding with
Nurture to enable information-sharing about
participants. Nurture’s coursework counts
toward Welfare-to-Work participation
requirements, which enables participants to
leverage CalWORKs funding to cover costs
associated with licensing.

We are in the early stages of testing outreach
to Welfare-to-Work participants. To date, we
have shared the opportunity with CalWORKs
managers. The Community Services Agency
is including information about Nurture on
video boards in customer service lobbies, and
we plan to coordinate a mailing to Welfareto-Work participants with young children.

The Agency has also invited Nurture to share
information at an agency-wide staff fair in
May 2024.

EMERGING SERVICE LINKAGE—COMMUNITY SERVICES AGENCY
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percent lower than licensed home child care. Unlicensed providers who care for “private pay” children receive whatever they negotiate with families. Anecdotally, we know providers in lowincome communities are paid as little as $25/day.

Over the years, Child & Family Services (CFS) has tried a variety of strategies to increase engagement with the unlicensed providers it pays through the subsidy system—both to encourage licensure, as well as to encourage participation in quality-improvement opportunities.

Generally, however, providers have not taken advantage of these opportunities. In partnership with CFS, we have begun to dive more deeply to find out why. We have had initial discussions to surface working assumptions about informal caregivers’ perceived lack of interest.

We have plans to recruit a range of informal caregivers—both those who participate in the subsidy system and those who do not—for a listening session. Based on what we learn, we will prototype and test messages and recruitment strategies, with the goal of increasing interest in becoming licensed.

Nurture Graduates
In every county, the child care resource and referral agency and subsidy administrators (which, in Stanislaus County, are CFS, Choices for Children, and the Community Services Agency) are the backbone of the public child care system. Child & Family Services refers interested license applicants to Nurture, and Nurture refers participants to CFS because of its role at the nexus of child care supply and demand. As with any large agency, however, it is sometimes confusing for customers to find the “right door” to the services they seek. To facilitate a strong connection to both the subsidy system and to the wealth of professional development opportunities CFS offers, Nurture has begun inviting CFS staff to join the final Zoom session with graduates.

Implementation Opportunity
We have laid a strong foundation during the pilot to continue deepening coordination between Nurture and SCOE services offered by CFS. Doing so will improve every aspect of this collaborative venture—from recruitment to licensing to supports for graduates.

Subsidy-Eligible Parents
Implementation Opportunity
As described in the Landscape Analysis, concurrently expanding the supply of licensed care and the enrollment of parents in the child care subsidy system is essential. In the implementation phase, CFS is committed to engaging in a collaborative design sprint to learn from and with parents and providers, rapidly ideating and testing prototyped concepts, and designing and implementing refined solutions.

Family, Friend, and Neighbor Caregivers
In the wake of the Great Recession, many home-based child care providers lost their businesses along their homes to foreclosure. More than a decade later, the total number of Family Child Care Homes is still well below pre-recession levels.

Informal care—often referred to as family, friend, and neighbor, or unlicensed care —replaced some, but by no means all, of the “supply.”
Legally, unlicensed providers may care for the children of one family in addition to their own relations. If they care for children with subsidies, they are paid at a rate 30 34 EMERGING SERVICE LINKAGES— COUNTY OFFICE OF EDUCATION #8..
183
For four weeks, in January and February, we partnered to test outreach to parents of schoolage children. Efforts included educating school community liaisons, targeting two low-socio-economic status (SES) elementary schools with flyers (1,000+ children), and digital outreach via Parent Square parent communication app (10,000+ children).

More than 50 parents either sent a text or scanned a QR code to learn more. Of the 16 parents downloaded the app, six are enrolled in the February cohort, and several more are continuing to explore child care entrepreneurship in the Nurture app.

Reflecting with CUSD and family resource center leadership, we concluded that the recruitment results warranted further engagement; CUSD has the infrastructure in place to efficiently reach large numbers of parents who are situationally inclined toward home child care entrepreneurship.

Implementation Opportunities
Refresh recruitment collateral materials and retest outreach for mid-May cohort, focusing on two other low-SES elementary schools in the District.

Follow Ceres child care entrepreneurs through Nurture course and offer opportunities to develop into Nurture Ambassadors post-graduation. Intentionally involve Ambassadors in school-based family resources center supports.

EMERGING SERVICE LINKAGE—SCHOOL DISTRICTS
Parents of Schoolage Children
Approximately 13,000 children, pre-K – 12, are enrolled in Ceres Unified School District (CUSD), which is in one of the high-demand, low-income ZIP codes targeted for implementation. The Ceres Healthy Start Program is a school-based family resource center that comprehensively serves all students and families living within CUSD’s attendance area. Its mission is to strengthen families’ ability to access services and resources that support health, wellness, and education of their children, ultimately promoting the sustainability of a healthy community.

Replicate in other school districts
thatserve high-demand, lowincome neighborhoods. Begin
exploration with Turlock Unified
School District, which has a similar
framework forengaging and
supporting families.
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EMERGING SERVICE LINKAGE—CENTRAL VALLEY OPPORTUNITY CENTER Agricultural Workers
Central Valley Opportunity Center (CVOC) is the federal- and state-designated Workforce Innovation and Opportunity Act farmworker-funded agency, serving hundreds of farmworker households annually in Stanislaus County. Nurture is a mission-aligned and trusted partner of CVOC, filling a gap by providing child care entrepreneurial support to CVOC constituents.

In fall of 2023, CVOC planned
implementation of Farmworker
Resource Fairs, funded by federal, state,
and county dollars. To date, CVOC has
hosted two well-attended Fairs— in
Grayson and Patterson. More than 200
farmworkers attended the first; over 150
attended the second. Three more are
planned—in Hughson, Riverbank and
South Modesto—for the coming months.

Nurture was one of 12 partner
organizations invited to participate in the
fairs. At each event, Nurture engaged
with an average of 150 farmworkers. The
Fairs provided an opportunity to have indepth conversations with potential entrepreneurs, answer questions, and
address common misperceptions about
home child care entrepreneurship.

Implementation Opportunity
Nurture has been collaborating with
Workforce Development and the
Stanislaus County Office of Education to
apply to be included on the state’s
Eligible Training Provider List, which is a
prerequisite for accessing training
resources through both Workforce
Development and CVOC.

If and when that process is successful,
CVOC has committed to continuing to
recruit from among its constituency and
to underwriting the cost of training for up
to 20 individuals annually who are eligible
for CVOC services.
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EMERGING SERVICE LINKAGE—MODESTO JUNIOR COLLEGE
EMERGING SERVICE LINKAGE—VALLEY SIERRA

SMALL BUSINESS DEVELOPMENT CENTER
Community College Students
Ten percent of Modesto Junior College’s (MJC) approximately 15,000 students are declared Child Development majors. In addition, MJC’s English for Life and Work program includes an innovative course that teaches English language skills specifically for those who work in an early learning environment.

We have had initial conversations with the leadership of the Child Development Department, in which we recognized our philosophical and pedagogical alignment and shared commitment to equity. As an initial step, MJC has committed to recruit for a mid-May cohort from among their Child Development and English language learner students.

Implementation Opportunity
We identified a number of ideas for further exploration in the implementation phase, including:

Creating a Business & Child Care certificate offered by MJC that leverages Nurture’s content and app platform. Development of the certificate would be a one- to two-year process.

Developing a MJC contextualized learning Child Care Business Math course that would satisfy General Ed requirements.

Completion of the math general education requirement is often a barrier to attaining an associate degree.

Entrepreneurship Support Services
The Central California Small Business Development Center (SBDC) Network, which covers 14 counties including Stanislaus, has been funding Nurture entrepreneurs since 2022. Valley Sierra, a member of the SBDC Network, provides direct support to entrepreneurs in Stanislaus County.

Whereas the Network’s funding can offset some of the overall cost of Nurture’s training, Valley Sierra’s resources can support one-on-one and group support for Nurture graduates.

As of January, Nurture is now established as a Valley Sierra business consultant. Our first foray into collaboration will be to support adoption of free financial recordkeeping software among graduates. Some Nurture entrepreneurs, particularly those who are less comfortable with technology, are reluctant to adopt digital recordkeeping practices. Yet, doing so is ultimately a critical strategy for efficiently running a profitable business. Nurture can provide augmented support to those entrepreneurs who need it with Valley Sierra’s support.

Implementation Opportunity
We will continue to identify content areas
where Nurture graduates could benefit
from enhanced and/or one-on-one support
to ensure we continue to scaffold their
development as successful business owners.
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ALIGN
Leverage existing, and new public & private resources
Coordinate with conventional & unconventional allies
Intentionally build child care supply and demand
LEARN
Utilize human-centered design cycles to improve
effectiveness
Rigorously evaluate approach to demonstrate
effectiveness
ADVOCATE Share pain-points and effective strategies with policymakers

EQUITABLY
SCALE
Define success with equity and scale as a doublebottom-line Investigate strategies to further improve child care job quality

IMPLEMENTATION NORTH STARS
In this section, we lay out an achievable 10-year implementation plan for closing the gap in the supply of licensed care, improving job quality for child care entrepreneurs, and enabling greater labor force participation among parents.

The graphic, at right,
articulates our North
Stars, which will guide
implementation.

Below, we present a
theory of change,
followed by a map of
activities, timeline and
outcomes, and proposed
implementation budget
narrative and 10-year
capital stack.

We end the report with
an infographic
summarizing the topline
impacts of an investment.

Theory of change

IMPLEMENTATION PLAN
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Activities, Timeline, Outcomes
Activities Year 1 Year 2 Year 3 Year 4 Year 5
10-Year
Cumulative
Outcomes
Incubate new businesses
Recruit, support, graduate 100 – 150/year
150 150 125 115 100
1,000 new
child care
businesses,
6,000 – 8,000
spaces
Develop Business Expansion course
Design & test course to deepen
business acumen, navigate licensing
expansion, connect to financial capital
Implement course: recruit, support, graduate 25 – 50 per year ✓
course
designed
25 35 50
500 child care
businesses
expand,
3,000 – 4,000
spaces
Subsidy system alignment design sprint
Understand user perspective, prototype
and test solutions, implement effective
strategies
Deploy 100% of subsidy funding
✓
design
sprint
$40M
state
subsidies
utilized
$40M
state
subsidies
utilized
$40M
state
subsidies
utilized
$40M
state
subsidies
utilized
Subsidies
maximized,
aligned with
expanding
supply
Annual implementation funding raised
Qualify Nurture on state Eligible
Training Provider List to access
workforce and farmworker funds
Demonstrate interest to establish
rationale for CalWORKs funding
Develop and seed donor fund
Apply for and win competitive
government and philanthropic grants
Maintain/increase public funding:
workforce, farmworker, small business
$1M
raised
$1.1M
raised
$.95M
raised
$.93M
raised
$.9M
raised
$9 million
invested to
sustain child
care business
development
Evaluate Nurture outcomes
Third-party evaluator rigorously assesses Nurture model ✓ ✓
Impact &
effectiveness
justifies
investment
State policy advocacy
Increase subsidy funding
Strengthen landlord notification of
provider rights
Increase Community Care Licensing
resources
✓ ✓ ✓ ✓
Supportive processes,
budget and
regulatory
practices
Explore strategies to improve job quality
Access to benefits, retirement savings
Homeownership
✓ ✓ ✓ ✓
Child care
entrepreneurs
build wealth
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Proposed Implementation Budget
Resources required to accomplish the activities and achieve the outcomes described in this plan total approximately $9 million over 10 years. The average annual investment is $1 million. We assume, however, that annual costs will start slightly higher and decline over the decade, driven by several factors.

First, we assume front-loaded County and City of Modesto American Rescue Plan Act (ARPA) funding in Years 1 and 2. This timing, which is consistent with federal spend-down requirements, will jumpstart the 10-year investment. Second, we have built essential systems alignment and program expansion into the early years of the timeline to reap the greatest benefits. Third, we assume that efficiency will increase over time, especially as we shift gears from focusing exclusively on new start-ups to also supporting business expansion.

The proposed capital stack would leverage ARPA funding as a jumping-off point. However, success will require that we tap permanent public funding sources to anchor the initiative for the long-run. We will also need to compete for funding—from foundations and government sources, as well as make the case to employers and individual donors. We are confident in the value proposition of the Implementation Plan and also recognize that raising these funds will require significant effort.

Costs beyond Year 5 and resource assumptions beyond Year 2 are estimates only. 40 Potential 10-Year Capital Stack
Home Child Care Business Expansion Initiative
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Home Child Care
Businesses Expanded
Annual Economic Impact
Home Child Care
Businesses Created
1,000
500
$408M
12,000
Permanent Licensed Spaces Created
IMPACT
Home Child Care Business
Expansion Initiative
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ADVISORY COMMITTEE

ANALYSIS OF OUTREACH STRATEGIES

SUMMARY OF INTERVIEWS WITH COMPARISON GROUP

THEMES OF CONVERSATION WITH PROMOTORAS

EMPLOYER AND EMPLOYEE SURVEYS

WORKS CITED

ACKNOWLEDGEMENTS
42 APPENDIX Photo: Center for American Progress
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191

ADVISORY COMMITTEE

ORGANIZATION INDIVIDUAL
Aspiranet Brianna Ligon, Mark Tiano
Center for Human Services Kaylee Brown, Paul Corona, Tamberly Stone Central California SBDC Network Kurtis Clark
Central Valley Opportunity Center Jorge De Nava
Choices for Children Elizabeth Andreini
Debrief Nancy Martinez
First 5 Stanislaus Shameram Karim
Learning Quest Yvonne Downs
Modesto Junior College Jessica Brennan, Gisele Flores
North Valley Labor Federation Will Kelly
Nurture Jennifer Brooks
Opportunity Stanislaus Brianna Taylor
Parent Resource Center Susan Beasley
Project Sentinel Ana Andrade
Sierra Vista Karina Franco, Mayra Landeros
Stanislaus 2030 Amanda Hughes
Stanislaus County Community Services Agency Ed Cuellar, Richard Daniels, Rosalia Esguerra Stanislaus County Office of Education Ronda Coito, Veronica Garcia, Heather Haubrich, Lisa Henry, Tony Jordan, Elisha Nunez, Roberto Ponce
Stanislaus County Workforce Development Sara Redd
Stanislaus Cradle to Career Megan Lowery, Mary Padraza, Ninfa Smith United Way of Stanislaus Keristopher Seryani
Valley First Credit Union Kathryn Davis
Valley Sierra SBDC German Zavalza
West Modesto Community Collaborative Blanca Marin, Reyna Perales, Perfecto Muñoz 43 #8..
192

STRATEGY INSIGHT
Partner info sessions Info may not reach frontline staff Social media Low-effort, effective only for English
In-depth orientation for orgs. Promising, follow-up is necessary Stand-alone info session Tie to events turning-out target audience Targeted door-knocking Highly targeted, though high-effort Promotora network Need intermediary to convene
Flea market tabling Needs to be regular to make impact
Elem. school engagement Effective targeting and engagement Nurture ambassadors Graduates are eager to share experiences Farmworker fair Improved effectiveness with repetition

EFFECTIVENESS
EFFORT
targeted door-knocking
flea market tabling
elementary school engagement
social media
flyers in targeted ZIPs
Nurture ambassadors
promotora network
tabling at community events
partner info session stand-alone community events
in-depth sessions with partners

HIGH EFFECTIVENESS, LOW EFFORT

LOW EFFECTIVENESS, HIGH EFFORT
Optimally, outreach strategies
should balance effort (cost)
with effectiveness, which, in
our definition, means the
strategy recruits those furthest
from opportunity (equity), and
recruits sufficient numbers of
entrepreneurs to achieve
implementation plan targets
(scale).

Midway through the pilot, we
assessed outreach strategies
tried to date. The figure, at
right, maps those strategies in
terms of effort and
effectiveness. (For this report,
we added strategies to the
figure that were tried after this
assessment was initially
conducted.)
We named and elevated
insights about the ways
strategies could be adjusted to
increase effectiveness. The
chart, at right, summarizes
those insights.

In addition to the strategies
tested in the pilot, the
implementation plan builds in
additional outreach strategies
to explore. These strategies
include a Spanish-language
radio ad-buy, earned Spanishlanguage media, and building an intentional recruitment
pipeline to Nurture from
Modesto Junior College.
44 ANALYSIS OF OUTREACH STRATEGIES
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193
In fall 2023, we interviewed four family child care providers who had been in business for less than three years to get a baseline understanding of what it was like for them to get licensed and start a homebased child care business in Stanislaus County. Three of the four had been in business for less than a year-and-a-half; the median time since receiving a state license was 16.5 months. Three of the four had household income below the Self-Sufficiency Standard in the most recent tax year, with the fourth just above that threshold. Because interviewees were recruited via the Stanislaus County Office of Education, we can assume that they are connected to the County’s established child care subsidy and resource & referral systems.

Interviewees reflected on their experience getting licensed by the California Department of Social Services. Their comments, which are consistent with anecdotal comments from other child care entrepreneurs, paint a picture of a bureaucratic system that is both time-consuming and difficult to navigate.

Interviewees accepted subsidies as well as direct payment from families. Their median monthly revenue was $6,250, or $1,100 per child, which equates to per child revenue that is higher than the County’s subsidy reimbursement rate.

We asked about their experience with the subsidy system. Their comments focused on the length of time it takes for families to enroll and for providers to be reimbursed for care. Note that it is possible that interviewees’ comments reflect experiences with the system in the past few years, rather than the present experience of providers currently participating in the subsidy system.

We asked interviewees to assess their child care business acumen. They were confident in their ability to effectively communicate with, recruit, and bill/collect payments from families.

Although their median child enrollment was 66 percent of licensed capacity, three believed they were fully enrolled, suggesting a need for tools that provide greater visibility into this aspect of business administration.

Both their self-assessment and the limited tactics reported for financial management suggest there is also a clear need for guidance and tools to enable them to budget for and monitor their revenue and expenses.

The plus side is that I automatically get paid. The downside is that it takes them a very long time to enroll families, which is not okay for the families, since they don’t know if they qualify and will have to pay out of pocket. It is pretty stressful. – Laura Getting paid every six weeks is really hard to work with. – Sara Communication from parents’ subsidy specialist was the worst. Long timelines. Lack of communication. [For example,] a call was never made to a parent that time was coming for recertification. … One program didn’t pay me for 3 months. I will never recommend them to anyone. – Teresa
The licensing process took a very long time. – Sara
From the beginning to the day I got my license was exactly one year. – Teresa It was really hard! – Yolanda
45 COMPARISON GROUP INTERVIEWS SUMMARY
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194

ADVICE ON OUTREACH STRATEGIES
Target existing groups of promotoras. Make presentations to each of the 13 communities Meeting online is better than in-person
Elementary Schools

MISCONCEPTIONS ABOUT REQUIREMENTS & OPPORTUNITIES FOR HOME CHILD CARE Need for Documentation
There is fear of engaging with formal systems when you are undocumented.

Once clarified, promotoras saw home child care entrepreneurship as good opportunity for undocumented people in their community.

Home/Space Requirements
There is a lack of understanding about the requirements to be a licensed child care provider.

There is an assumption that one needs a dedicated space, which has to be set-up like center.

LACK OF AWARENESS OF SUBSIDIES AND R&R SERVICES
I didn’t know that subsidies to help pay for child care existed. Where do parents have to go to get help? What do they have to do? Who are the organizations that are promoting this assistance? They are not at the health fairs.

It would be good if there were a directory of daycares.

The best thing would be if people could be supported to start a daycare and we, as promotoras, could promote a list of licensed programs with parents.

When we are going to look for people to care for our children, it is going to be word-of-mouth.

There are people that I work with that provide informal care. They need help in growing and responding to a child who is fighting with someone.

In October 2023, we met with one of the promotora networks at Digital Nest. The following are key themes that emerged from the meeting.
46 THEMES OF CONVERSATION WITH PROMOTORAS
Earning Potential
There is a women in my area who watches 5 children; she takes 4 to school and watches the youngest all day. The mother works 6 days a week and she can only pay $40/day for all five children. Why would we help them set up a day care if they can’t earn much income.

As promotoras, we know a lot or people. People ask us questions about everything because the see us as knowledgeable. Maybe we could share this info with the promotora groups.

The mothers in the community are natural promoters. They are the ones that have the most need and interest in their children.
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Stanislaus 2030 and Nurture fielded an employer survey from October 31 to December 6, 2023. Seventy-one employers responded, representing more than 100,000 employees. The survey, which was shared by email, included five questions:

2. Does your firm/organization have difficulty
filling vacancies or experience absenteeism?

3. Do most of your employees know
about financial assistance available
to help them pay for child care?

4. Is your firm/organization interested in helping
employees address their child care needs?
Frequent
Yes No Not sure
56%
Employee Knowledge of Subsidies
41%
4% Yes Maybe
0 20
40 60
80 100
Increase awareness
Subsidize costs
Expand nearby supply
Restructure shifts
Provide onsite care
Employer Interest in Helping
Employees Address Child Care Needs
20%
58%
46%
35%
36%
33%
38%
33%
49%
25%
47 EMPLOYER SURVEYS
Yes No

5. May we follow up with you if we
have further questions?
68%
32%

1. How many employees does your
firm or organization employ?
Firm Size
9 16 15
4 6
20 1
1,001 – 5,000
5,000+
501 – 1,000
251 – 500
51 – 250
11 – 50
1 – 10
Large Employer Difficulty Filling
Vacancies and/or Absenteeism
59% 56% 52% 48%
8:00 AM – 5:00 PM
Early Mornings
Overnight
Late Night
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From October 31 to December 6, 2023, Stanislaus 2030 and Nurture fielded a survey of workers and potential workers. 730 individuals responded. Initially, the primary means of reaching workers was via an email from their employers. Due to the low response rate among Spanish speakers, we augmented data collection with in-person surveying. On December 3, we collected 50 responses from Spanish speakers at the Ceres flea market.

Low variance among the Spanish in-person survey responses gives us reasonable confidence that differences between Spanish and English speakers reflect population-level differences. The survey included five questions:

1.Do you need child care during working hours?

2.If there were a child care provider near your home or work, would you use it?

3.How often does not having child care prevent you/your spouse from going to work?

4.What is your ZIP code?

5.What is the name of your employer? (optional)
English Spanish
67%
0 20
40 60
80 100
120
95307
95382
95355
95350
95363
95351
95380
95326
95367
95358
95354
95361
other
95356
95357
95368
95386
95360
95366
95337
95334
95206
95315
95316
95301
93735
95336
95348
95387
95388
93737
95329
95205
95320
95370
95377
95324
Employee ZIP Code
16 15
4 6
20 48

EMPLOYEE SURVEYS
Employee Need for Care and Customer Demand
68%
76%
52%
Need Care to Work Would Use Care if Available
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Anna Powell, S. T. (2019). Investing in Early Care and Education: The Economic Benefits for California.

Berkeley: UC Berkeley Center for Labor Research and Education.

Ben Wolters, A. B. (2021). The Economic Impact of America’s Child Care Gap. Washington: Bipartisan Policy Center.

Center for American Progress. (2020). Child Care Deserts Stanislaus County. Retrieved from https://childcaredeserts.org/?lat=37.60759079965581&lng=- 120.93719399999998&zm=9.564064354966124&lyr=ccpoverty
James Heckman (2012). Invest in early childhood development: Reduce deficits, strengthen the economy. Retrieved from The Heckman Equation: https://heckmanequation.org/ Jennifer Brooks. (2022). Family Child Care Income Calculator. Oakland: Nurture.

Pew Research Center. (2021, June 22). Home broadband adoption, computer ownership vary by race, ethnicity in the U.S. Retrieved from https://www.pewresearch.org/short-reads/2021/07/16/homebroadband-adoption-computer-ownership-vary-by-race-ethnicity-in-the-u-s/ Stanislaus Child Development Local Planning Council. (2020). 2020 Child Care Needs Assessment.

Modesto.

U.S. Census Bureau. (2021). American Community Survey, Employment Status (S2301). Retrieved from https://data.census.gov/tablet=Employment:Employment+and+Labor+Force+Status&g=050XX00US 06047,06077,06099&d=ACS+5-Year+Estimates+Subject+Tables&tid=ACSST5Y2021.S2301 UC Berkeley Center for the Study of Child Care Employment. (2020). Appendix-Table-2.2_2020- Index.pdf. Berkleley, California, United States: UC Berkeley. Retrieved from https://cscce.berkeley.edu/workforce-index-2020/wp-content/uploads/sites/3/2021/06/AppendixTable-2.2_2020-Index.pdf 49 WORKS CITED Photo: Center for American Progress
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This report was written by Jennifer Brooks, Founder and CEO of Nurture, for Stanislaus 2030 in spring 2024.

The author and Stanislaus 2030 Executive Director, Amanda Hughes, would like to express our deepest gratitude to the members of the advisory committee for their commitment to equitably addressing the critical shortage of child care in Stanislaus County. Their invaluable insights and collaborative spirit have helped shape the comprehensive approach outlined in this report, ensuring that it addresses the diverse needs of our community.

A special acknowledgment is due to the Stanislaus County Office of Education Children & Family Services for sharing their expertise, experience, and data on the public child care system. Their commitment to advancing quality child care and willingness to share vital information have greatly enriched the quality and depth of this report. The collaborative efforts between our team and the Child & Family Services have been pivotal in crafting evidence-based recommendations that aim to make a lasting impact on the child care landscape.
50 ACKNOWLEDGEMENTS Photo: Center for American Progress #8..
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

June 25, 2024
Date: June 5, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Agreement with HealthForce Partners for a Workforce Development Program CONTACT: Trevin Barber, Economic Development Manager
[email protected], 209-571-5566
DESCRIPTION:

Consider approving a Modesto Forward Grant Agreement with United Way of San Joaquin County for the implementation a Workforce Development Program by HealthForce Partners Northern San Joaquin Valley, for a total amount not to exceed $500,000 over two and a half years. (Funding Source: American Rescue Plan Act Funds)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City’s 2020-2025 Strategic Plan Goal E. Drive Economic Vitality: Drive the success of a vibrant and economically sustainable business climate.

BACKGROUND:

On March 11, 2021, President Joe Biden signed the American Rescue Plan Act (ARPA) into law.

The City of Modesto received approximately $45.8 million in ARPA funds in two tranches to help address the continued impact of the COVID-19 pandemic on the economy, public health, individuals, and businesses.

The City of Modesto may use ARPA funds to address a number of areas, including:

1. Replace revenue that was lost, delayed, or decreased as determined based on the projections as of January 27, 2020 as a result of the COVID-19 emergency.

2. Respond to the COVID-19 emergency and address its economic effects, including through aid to households, small businesses, nonprofits, and industries such as tourism and hospitality.

3. Cost overruns incurred as a result of the COVID-19 emergency On May 25, 2021, the City Council approved Resolution No. 2021-194 approving the Pandemic Recovery Strategy, Modesto Forward, and the associated spending plan for the American Rescue Plan funds; and authorizing the City Manager to carry out the necessary steps to implement the #9..
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strategy and spending plan. The Modesto Forward plan allocated $500,000 in funding to support the “implementation of a workforce development program.” Pandemic Exacerbates Health Worker Shortage
Modesto, a vibrant city in California’s Central Valley, and 9th largest City in California faces significant challenges related to healthcare workforce shortages. As the population grows and ages, the demand for healthcare services continues to rise. However, the availability of skilled healthcare professionals, especially in critical areas, remains insufficient. The COVID-19 pandemic exacerbated this trend with specialized care.

1. Nursing Workforce Gaps: The shortage of registered nurses (RNs) and licensed vocational nurses (LVNs) poses a significant challenge. Hospitals, clinics, and long-term care facilities face difficulties in maintaining safe nurse-to-patient ratios. The aging nursing workforce exacerbates this issue, as retirements outpace new hires.

2. Allied Health Professionals: Modesto lacks a sufficient number of allied health professionals, including medical technologists, radiologic technologists, respiratory therapists, and occupational therapists. These professionals play critical roles in diagnostics, treatment, and rehabilitation, but their scarcity hampers healthcare delivery.

3. Behavioral Health Crisis: An urgent concern is the shortage of behavioral health workers. Mental health counselors, social workers, and psychologists are essential for addressing the rising mental health needs of Modesto’s population. The lack of available services contributes to increased stress, substance abuse, and untreated mental illnesses.

Behavioral Health Worker Shortage
According to recent data, Modesto faces a severe shortage of behavioral health professionals.

The ratio of behavioral health workers to the population is alarmingly low, resulting in inadequate access to mental health services. The demand for counseling, therapy, and crisis intervention far exceeds the available workforce.

According to the California Mental Health Prevalence Estimates cited in the Mental Health Services Act (MHSA) Annual Update for Fiscal Years 2024-20251 approximately 5.74% of the population of Stanislaus County meet the criteria for serious mental illness and needs mental health services. The same study estimated that 14.48% of the population needs some type of mental health services but does not necessarily rise to the level to qualify for County Mental Health services.

The shortage of behavioral health workers affects not only individuals but also the overall wellbeing of the community. Untreated mental health conditions lead to increased emergency room visits, homelessness, and strain on law enforcement resources.

Stanislaus County Behavioral Health & Recovery Services (BHRS) contracts with the California Department of Health Care Services (DHCS) to provide specialty mental health and substance use disorder (SUD) services to Stanislaus County Medi-Cal beneficiaries and uninsured residents. Their services include an array of specialty mental health outpatient services for both children and adults, as well as an array of substance use disorder outpatient and residential 1 Stanislaus County Behavioral Health and Recovery Services. (2024). MHSA Annual Update for Fiscal Years 2024-2025. Retrieved from Stanislaus County MHSA www.stanislausmhsa.com. #9..
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treatment programs. BHRS also provides crisis services, including 24/7 mobile crisis, as well as supportive services, including employment and housing services for BHRS clients.

Recruiting and sustaining their workforce has been an ongoing challenge while the number of folks seeking services has significantly increased coming out of the pandemic. They provided clinical services/treatment to over 9,987 unique clients from January 1, 2023, to December 31, 2023. BHRS is over the capacity by about 457 clients. They currently have over 100 vacancies.

The County of Stanislaus has taken preliminary steps to address the behavioral health workforce gaps. Behavioral Health and Recovery Services (BHRS) is collaborating on a study to understand these gaps better. BHRS provides a range of services, including integrated mental health services for adults, older adults, children, and youth with serious mental illnesses or emotional disturbances. They also offer outpatient and residential alcohol and drug treatment and prevention services.

Additionally, the Mental Health Services Act (MHSA) Annual Update for Fiscal Years 2024-20252 mentions strategic initiatives and workforce development plans that include funding for mental health career pathway programs, training, technical assistance, and workforce staffing support.

This reflects a concerted effort from multiple layers of government to strengthen the behavioral health workforce in Stanislaus County.

DISCUSSION:

HealthForce Partners North San Joaquin Valley proposes to deliver a targeted workforce pipeline for behavioral health clinicians, titled the “Behavioral Health Workforce Partnership”. Modesto is seeking to join Stanislaus Community Foundation as one of many funding partners, with a $500,000 contribution from ARPA. The goal is to close the workforce shortage gap by graduating and placing 20 behavioral health clinicians a year.

HealthForce Partners is already in the community working to establish programming in Stanislaus County. Their partners include Modesto Junior College, Kaiser Permanente, Sutter Health Central Valley, Doctors Medical Center, and Behavioral Health and Recovery Services. HealthForce Partners’ Behavioral Health Workforce Partnership seeks a unique and multi-layered approach to encourage and incentivize high road job education through providing paid internships, licensure supervision, loan forgiveness, tuition assistance, and peer support stipends. The United Way of San Joaquin County serves as the fiscal sponsor for Healthforce partners, and they will be the primary recipient of the Modesto Forward Grant.

For Stanislaus County, this program replicates the partnership HealthForce Partners launched in Spring of 2023 in adjacent San Joaquin County. HealthForce Partners is already seeking additional funding from other sources for the expansion of the current San Joaquin Behavioral Health Workforce Partnership with an eye toward enhancing and sustaining its impact, as well as the introduction of a similar program in Stanislaus County.

The existing blueprint for Behavioral Health Workforce Partnership in San Joaquin allows HealthForce Partners to begin working right away with Stanislaus County partners to meet 2 Stanislaus County Behavioral Health and Recovery Services. (2024). MHSA Annual Update for Fiscal Years 2024-2025. Retrieved from Stanislaus County MHSA www.stanislausmhsa.com. #9..
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regional healthcare workforce goals while building its capacity to delineate healthcare career pathways. Since the goal is to remove these higher-skilled career building barriers, HealthForce Partners is beginning at the ground level with educators, healthcare providers, and its own residents. An example of this is immediately providing scholarships to current healthcare employees for advanced degrees leading to clinical licensure. The goal is to increase the number of current residents who are able to pursue what can be very expensive degrees. This pilot allows the region to get a jump start on workforce development solutions with these ready-to-implement programs.

Behavioral Health Workforce Partnership Summary
• Student Incentives: 40 x $5,000 Master’s Degree Scholarships • Clinical Experience: 27 x $35,000 Paid Internship Stipends • HealthForce Partners Program Support to connect Employers and Education HealthForce Partners has confirmed that funding from the City of Modesto will be sufficient to pursue developing the pipeline with the stated goals and deliverables. And, that they have the existing capacity to operate and implement the program. HealthForce Partners will also pursue grants to continue to scale their operations.

Our workforce system is infrastructure. It’s the roads that connect people to the good jobs they want and need. A key finding from the Stanislaus 2030 Investment Blueprint is, based on the composition of families in the County, jobs with an hourly wage of $28.58 would offer enough opportunity for those workers to achieve self-sufficiency and economic mobility. The implementation of the HealthForce Partners proposal would offer families enough opportunity for workers to achieve economic mobility—these are referred to as “High Road Jobs.” HealthForce Partners intends to pursue the High Road Training grants provided by the California Workforce Development Board, in partnership with Stanislaus County.

The California Workforce Development Board’s High Road Training Partnerships are industrybased, worker-focused training partnerships that build skills for California’s high road employers – firms that compete based on quality of product and public entities that strive to provide a high level of service through innovation and investment in human capital, thus generating familysupporting jobs where workers have agency and voice. High Road Training Partnerships create opportunities for populations with barriers to employment through innovation and investment in human capital, to generate family-supporting jobs where workers have agency and voice.

Filling the open positions for mental health workers at Behavioral Health and Recovery Services (BHRS) in Stanislaus County is crucial for the effectiveness of the Mobile Crisis Emergency Response Team (MCERT) with the Modesto Police Department. A complete team at BHRS ensures immediate availability of mental health professionals to accompany police officers, leading to better crisis management and care for individuals in need.

Additionally, a fully staffed BHRS can dedicate more resources to training its personnel, enhancing their readiness to collaborate with law enforcement during mental health emergencies.

Moreover, BHRS’s community outreach initiatives, which aim to connect people with supportive services, are bolstered by a robust workforce. This proactive approach helps prevent crises and supports the MCERT program’s goals. In essence, a well-resourced BHRS is vital for the MCERT #9..
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