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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, November 12, 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
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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, programs, or activities. For more information, please visit the City of Modesto website at - 2 -
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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: Pat Nagle, Redeemer
City Clerk’s Announcements
Declaration of Conflicts of Interest
Reports from Closed Session
OATH OF OFFICE
1. Administer the Oath of Office to reelected Mayor Sue Zwahlen (Funding Source: Not Applicable)
Administer the Office pursuant to the Section 600 of the City Charter. The Mayor shall hold office for a term of four-years from and after the first Tuesday following the November Council election.
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected]
ACKNOWLEDGEMENTS AND PRESENTATIONS
2. Proclamation declaring November 30th as Small Business Saturday. (Funding Source:
Not Applicable)
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected]
MISCELLANEOUS
Legislation, Appointments, Other
3. Consider approving the appointment of Edward Rubalcaba to the Downtown Improvement District Board of Directors for a four-year term ending December 31, 2028. (Funding Source: Not Applicable)
Staff Recommendation:
Resolution approving the appointment of Edward Rubalcaba to the Downtown Improvement District Advisory Board for a four-year term ending December 31, 2028.
CED; Sean Rando, 209-577-5473, [email protected]
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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
4. Consider approving the minutes for the November 5, 2024 Council Meeting. (Funding Source: Not Applicable)
Staff Recommendation:
Motion approving the minutes for the November 5, 2024 Council Meeting.
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] Consent
5. Consider approving an Agreement for Engineering Design Services for the Downtown Revitalization Project to Westwood Professional Services, Inc., Plano, TX, for a total amount not to exceed $194,315. (Funding Source: California Department of Transportation Clean California Grant)
Staff Recommendation:
Resolution approving the Award of Proposal and Agreement for Engineering Design Services for the Downtown Revitalization Project to Westwood Professional Services, Inc., Plano, TX, for a total amount not to exceed $194,315, and authorizing the City Manager, or his designee, to execute the Agreement.
CED; Sean Rando, 209-577-5473, [email protected]
Consent
6. Consider approving an Agreement with Stanislaus Equity Partners from Modesto, - 4 -
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California for an Affordable Housing Trust Fund Program that supports the production and preservation of affordable housing for a total amount not to exceed $500,000. (Funding Source: American Rescue Plan Act)
Staff Recommendation:
Resolution approving an Agreement with Stanislaus Equity Partners from Modesto, California for an Affordable Housing Trust Fund Program that supports the production and preservation of affordable housing for a total amount not to exceed $500,000; and authorizing the City Manager, or his designee, to negotiate and execute the Agreement.
CED; Edgar Garcia, 209-571-5101, [email protected] Consent
7. Consider approving a First Amendment to the Residential Rehabilitation Loan Agreement with Charles Mark Matteri for health and safety repairs to the residential property located at 1710 Idylwood Court, Modesto, CA 95350 for an additional $11,564 for a total project cost of $110,068. (Funding Source: Community Development Block Grant Funds)
Staff Recommendation:
Resolution approving a First Amendment to the Residential Rehabilitation Loan Agreement with Charles Mark Matteri for health and safety repairs to the residential property located at 1710 Idylwood Court, Modesto, CA 95350 for an additional $11,564, for a total project cost of $110,068, and authorizing the City Manager to execute the Agreements.
CED; Edgar Garcia, 209-571-5101, [email protected] Consent
8. Consider approving the First Amendment to the Modesto Forward Agreement for the continued operations of a low-barrier Safe Sleeping Program with the Modesto Gospel Mission, Modesto, California increasing the Agreement amount by $100,000 for a total amount not to exceed $200,000. (Funding Source: American Rescue Plan Act) Staff Recommendation:
Resolution approving a First Amendment to the Modesto Forward Agreement for the continued operations of a low-barrier Safe Sleeping Program with the Modesto Gospel Mission, Modesto, California increasing the Agreement amount by $100,000 for a total amount not to exceed $200,000 until program funds are fully expended and authorizing the City Manager, or his designee, to execute the Amendment.
CED; Edgar Garcia, 209-571-5101, [email protected] Consent
9. Consider approving the summary vacation of Wagner Way (approximately 39,451 square feet) right-of-way, public utility easement, and planting easement. (Funding Source: Not Applicable)
Staff Recommendation:
Resolution approving the summary vacation of Wagner Way (approximately 39,451 square feet) right-of-way, public utility easement, and planting - 5 -
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easement.
ENGINEERING SERVICES; Jaspreet Mangat, 209-577-5253,
[email protected]
Consent
10. Consider approving an Agreement for Circle Clamps, Gaskets, Pipe Couplings and Tapping Sleeves with Ferguson Waterworks, Modesto, CA and Pace Supply, Stockton, CA, for a combined total amount not to exceed $3,357,737 over five years. (Funding Source: Water and Wastewater Funds)
Staff Recommendation:
Resolution approving the Award of Bid and Agreement for the purchase of Circle Clamps, Gaskets, Pipe Couplings and Tapping Sleeves to Ferguson Waterworks, Modesto, CA and Pace Supply Company, Stockton, CA for a twoyear Agreement with three one-year extension options, for an annual estimated amount of $640,000 and authorizing the Director of Finance, or her designee, to adjust financial amounts between both providers for a total amount not to exceed $3,357,737 over five years; and authorizing the City Manager, or his designee to execute the Agreements.
FINANCE DEPARTMENT; Dianne Love, 209-571-5164, [email protected] Consent
11. Consider accepting the Fiscal Year 2024-2025 Cal Fire Volunteer Fire Capacity (VFC) Program Grant Award in the amount of $20,000, with a 50% Local Match, for the Procurement of Wildland Personal Protective Equipment. (Funding Source: General Fund)
Staff Recommendation:
Resolution accepting the Fiscal Year 2024-2025 Cal Fire Volunteer Fire Capacity (VFC) Program Grant Award in the amount of $20,000, with a 50% Local Match, for the Procurement of Wildland Personal Protective Equipment and authorizing the City Manager, or his designee, to execute the Grant Agreement.
FIRE DEPARTMENT; Kevin Wise, 209-572-9590, [email protected] Consent
12. Consider approving an Amendment to the City of Modesto Classification Plan and Position Allocation Plan to allocate one Multimedia Designer to the City Manager’s Office, one Laboratory Quality Control Analyst in the Utilities Department, one Operations Supervisor in the Public Works Department; and reclassify one Operations Crewleader to one Operations Supervisor and two Tree Trimmer Crewleaders to two Senior Tree Trimmers in Public Works; and move the Parks Planning Division from the Parks, Recreation, and Neighborhoods Department to the Engineering Services Department; and moving the Water and Wastewater Division Managers from range 452 to range 453 within Utilities. (Funding Source: Various Funds) Staff Recommendation:
Resolution amending the Classification Plan for the City of Modesto to create new classifications and amend existing classifications. - 6 -
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Resolution amending the Position Allocation for Fiscal Year 2024-25 as adopted in the Operating Budget.
Resolution amending the Fiscal Year 2024-25 Annual Operating Fund budgets in the amount of $251,544 to appropriate the funds for the approved Classification and Position Allocation amendments and authorizing the City Manager, to take the necessary steps to implement the provisions of this resolution.
HUMAN RESOURCES; Christina Alger, 209-571-5126, [email protected] Consent
13. Consider approving a Fourth Amendment to the Agreement with Employee Relations, Glendale, CA to conduct Pre-Employment Background Checks for a revised Agreement total amount not to exceed $100,000. (Funding Source: Various Funds) Staff Recommendation:
Resolution approving the Fourth Amendment to the Agreement with Employee Relations, Glendale, CA for conducting pre-employment background checks to increase amount by $35,100 from $64,900 to a new total amount not to exceed $100,000 and authorizing the City Manager, or his designee, to execute the Amendment.
HUMAN RESOURCES; Dawn Kelley, 209-577-5490, [email protected] Consent
14. Consider approving the Plans and Specifications for Downey Shade Structure and Parking Lot Replacement Project, accepting the Bid and Awarding a Construction Contract to Westside Landscape & Concrete, Inc. of Newman, CA., in the amount of $572,393, plus $45,791 for contingency (if needed), for a total payment amount not to exceed $618,184. (Funding Source: Various Funds)
Staff Recommendation:
Resolution approving the Plans and Specifications for Downey Shade Structure and Parking Lot Replacement Project, accepting the Bid and Awarding a Construction Contract to Westside Landscape & Concrete, Inc. of Newman, CA., in the amount of $572,393 authorizing $45,791 for contingency (if needed), for a total payment amount not to exceed $618,184, and authorizing the City Manager, or his designee, to execute the Agreement. Resolution approving the City’s Pandemic Recovery Strategy, Modesto Forward, for the reallocation of American Rescue Plan Act Funds for the Downey Shade Structure and Parking Lot Replacement Project and authorizing the City Manager, or his designee, to carry out the necessary steps to implement the programs and funding allocation.
Resolution amending the Fiscal Year 2024-25 Capital Improvement Program budget to fund Project #100922 (Downey Shade Structure) in an amount not to exceed $141,802 in transfers, revenue, and to budget expenditures to fund the project, and authorizing the City Manager, or his designee, to implement the provisions of this resolution.
PRN; Ken Peterson, 209-571-5573, [email protected] - 7 -
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Consent
15. Consider rejecting all bids received for the Virginia Corridor Phase 7 Project and authorizing staff to readvertise the project for bids at a future date. (Funding Source:
Non-Motorized Local Transportation Funds, Parks & Air Qualify CFF, and Various Grants)
Staff Recommendation:
Resolution rejecting all bids for the Virginia Corridor Phase 7 Project, and authorizing staff to re-advertise the project for bids at a future date.
PRN; Ken Peterson, 209-571-5573, [email protected] Consent
16. Consider approving a Second Amendment with Williams Scotsman, Inc., Fresno, California, for the Modular Building at Dryden Golf Course increasing the Agreement amount by $35,000 and extending the term of the Agreement from December 28, 2024 to June 14, 2026. (Funding Source: Golf Fund)
Staff Recommendation:
Resolution approving the Second Amendment with Williams Scotsman, Inc., Fresno, California, for the Modular Building at Dryden Golf Course increasing the Agreement amount by $35,000 to a new total amount of $130,000 and extending the term of the Agreement from December 28, 2024 to June 14, 2026; and authorizing the City Manager or his designee to execute the Amendment.
PRN; Jessica Franco, 209-577-5278, [email protected] Consent
17. Consider approving an Engineering Services Agreement with Westwood Professional Services (formerly O’Dell Engineering), of Modesto, CA, for the Sonoma Sewer Trunk Phase 4b Project in an amount not to exceed $80,300. (Funding Source: Wastewater Fund)
Staff Recommendation:
Resolution approving an Engineering Services Agreement with Westwood Professional Services (formerly O’Dell Engineering), of Modesto, CA, for the Sonoma Sewer Trunk Phase 4b Project in the amount of $73,000, plus $7,300 in additional services, if needed, for a total amount not to exceed $80,300 and authorizing the City Manager, or his designee, to execute the Agreement. Resolution approving an amendment to the Fiscal Year 2024-25 Capital Improvement Program Budget in the amount of $2,005,300 to be transferred into the Project from Wastewater Reserves to fund the Sonoma Sewer Trunk Phase 4b Project and authorizing the City Manager to take the necessary steps to implement the provisions of this Resolution.
UTILITIES; Cristian Ciotau, 209-571-5175, [email protected] Consent
18. Consider approving the First Amendment with AERC Acquisition Corporation, Hatboro, PA, for the Removal and Recycling of Universal Waste increasing the Agreement amount by $95,000 to a revised total amount of $135,000 over five years. - 8 -
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(Funding Source: Various Funds)
Staff Recommendation:
Resolution approving the First Amendment to the Agreement with AERC Acquisition Corporation, Hatboro, PA, for the Removal and Recycling of Universal Waste, increasing the Agreement amount by $95,000 to a new total amount of $135,000 over five years and authorizing the City Manager, or his designee to execute the Amendment.
UTILITIES; Manuel Martinez, 209-342-4592, [email protected] Consent
19. Consider approving a Third Amendment to the City Clerk Employment Agreement with Diane Nayares-Perez adjusting terms of the contract regarding compensation as a result of the 2023 City-wide Labor Market Study. (Funding Source: General Fund) Staff Recommendation:
Resolution approving a Third Amendment to the City Clerk Employment Agreement with Diane Nayares-Perez adjusting terms of the contract regarding compensation as a result of the 2023 City-wide Labor Market Study.
HUMAN RESOURCES; Christina Alger, 209-571-5126, [email protected] Consent
20. Consider approving a Third Amendment to the City Manager Employment Agreement with Joseph P. (“Joe”) Lopez adjusting terms of the contract regarding Management Leave and Severance as a result of the delivery of a positive performance evaluation. (Funding Source: General Fund)
Staff Recommendation:
Resolution approving a Third Amendment to the City Manager Employment Agreement with Joseph P. (“Joe”) Lopez adjusting terms of the contract regarding Management Leave and Severance.
HUMAN RESOURCES; Christina Alger, 209-571-5126, [email protected]
COUNCIL COMMENTS & REPORTS
CITY MANAGER COMMENTS & REPORTS
HEARINGS
Published in the Modesto Bee on November 1, 2024.
21. Hearing to consider adopting an Ordinance amending various Sections and Tables within Title 10 of the Modesto Municipal Code relating to Accessory Dwelling Units and approving an Agreement with Valley First Credit Union Modesto, California for Accessory Dwelling Units (ADU) Revolving Loan Fund to increase the development of ADUs in the community for a total amount not to exceed $450,000. (Funding Source: Measure H Fund)
Staff Recommendation:
Motion introducing and waiving the first reading of the Ordinance amending various Sections and Tables within Title 10 of the Modesto Municipal Code - 9 -
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relating to Accessory Dwelling Units.
Resolution approving an Agreement with Valley First Credit Union Modesto, California for Accessory Dwelling Unit (ADU) Revolving Loan Fund to increase the development of ADUs in the community for a total amount not to exceed $450,000 and authorizing the City Manager, or his designee, to negotiate and execute the Agreement.
CED; Jessica Hill, 209-577-5211, [email protected]
Published in the Modesto Bee on November 1, 2024.
22. Hearing to consider the adoption of an Urgency Ordinance, extending the temporary moratorium on the establishment of new and relocation or physical expansion of existing tobacco retailer businesses, also known as smoke shops, within the City of Modesto, for a period of ten (10) months and fifteen (15) days, to become effective immediately. (Funding Source: Not Applicable)
Staff Recommendation:
Motion adopting an Urgency Ordinance of the City of Modesto making findings and extending the temporary moratorium on the establishment of new and relocation or physical expansion of existing tobacco retailer businesses, also known as smoke shops, within the City of Modesto for a period of ten (10) months and fifteen (15) days, to become effective immediately.
CITY ATTORNEY; Jose Sanchez, 209-577-5284, [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, NOVEMBER 12, 2024 AT 4:45 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
CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
One Case (Pursuant to Section 54956.9(d)(1) of the Government Code) Name of Case: Bay Cities Paving & Grading v. City of Modesto Arbitration Case No.: A-0012-2024, BCP Job 4030
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 at by
date time signature
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 3, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Downtown Improvement District Board Appointment CONTACT: Sean Rando, Business Analyst,
[email protected], 209-577-5473
DESCRIPTION:
Consider approving the appointment of Edward Rubalcaba to the Downtown Improvement District Board of Directors for a four-year term ending December 31, 2028. (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 Downtown Improvement District (DID) Advisory Board consists of nine (9) members that make recommendations on how and when the DID mill tax should be spent. Each year DID executes a small number of high-impact projects that are strategic for downtown businesses and the overall downtown. Modesto Downtown Improvement District promotes a positive atmosphere in the downtown by caring for physical space. Their mission also includes attracting and retaining business, employees, residents, and visitors to Downtown Modesto.
However, pursuant to section 6-3.11 of the Modesto Municipal Code, the DID advisory board shall consist of nine (9) members to be appointed by the Mayor with the concurrence of the Council, and the members are required to be persons who have businesses within the business improvement area subject to an additional levy of license tax.
Generally, appointments to citizen advisory groups are initially brought forward to the Appointments Committee for consideration and an overall recommendation to the City Council for approval and each member may serve a maximum of two (2) terms. However, on February 28, 2014, by Resolution No. 2014-56, Council approved a policy revision for City Council policy
1.008 Citizen Advisory Group Appointments which allows members of the DID Advisory Board to be reappointed for an unlimited number of terms due to the inherently limited candidate pool. #3..
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City Council, November 12, 2024
Downtown Improvement District Board Appointment
Each term length may be up to four (4) years pursuant to Article XI, Section 1102, of the City of Modesto Charter. City Council policy 1.008 also states that appointments to the DID Advisory Board shall be taken directly to the Council in accordance with section 6-3.11 of the Modesto.
DISCUSSION:
DID is currently seeking to fill one vacancy following the expiration of Charles Doll’s term on January 1, 2024, and although board members may seek to be reappointed, Mr. Doll has indicated that he will not seek reappointment to the DID Advisory Board at this time. Given the overall limitation of the candidate pool for potential new board members, DID follows the following recruitment strategies:
1. A seated DID board member or DID staffer may recommend a downtown business owner to apply; or
2. DID staff can send out an invitation to the downtown business community to apply.
On August 12, 2024, DID received an application from Edward Rubalcaba to serve on the Advisory Board. Edward Rubalcaba was recommended to apply by David Boring who is currently a sitting DID board member as approved by Council on February 8, 2022, by Resolution No. 2022-071. Mr. Rubalcaba is the current owner of Pure Grind Coffee and Juice Bar located at 1006 H St. DID members have reviewed the application and fully recommend the appointment of Edward Rubalcaba. Mr. Rubalcaba qualifies for this position as a business owner within the DID boundaries which pays an additional levy of license tax as provided for by Municipal Code Chapter 6-3.11 Advisory Board.
FISCAL IMPACT:
There is no fiscal impact related to this action.
COMMITTEE RECOMMENDATION:
This item is not required to be reviewed by Council Committee due to provisions of Council Policy 1.008 which allows for the appointments of DID Advisory Board members to be taken directly to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving the appointment of Edward Rubalcaba to the Downtown Improvement District Advisory Board for a four-year term ending December 31, 2028.
Approved by:
Jessica Hill,
Director of Community and Economic Development
Joseph P. Lopez, City Manager
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Downtown Improvement District Board Appointment
Attachments:
1. Resolution
2. DID By-Laws
3. Board Application
4. Council Policy Catalog 1.008 Citizen Advisory Groups #3..
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11/12/2024/CED/Srando/Item 2 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING THE APPOINTMENT OF EDWARD
RUBALCABA TO THE DOWNTOWN IMPROVEMENT DISTRICT ADVISORY BOARD FOR A FOUR-YEAR TERM ENDING DECEMBER 31, 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, Modesto Downtown Improvement District promotes a positive atmosphere in the downtown by caring for physical space, with the mission to attract and retain business, employees, residents, and visitors to downtown Modesto; and WHEREAS, pursuant to Modesto Municipal Code Section 6-3.11, the Downtown Improvement District Advisory Board consists of 9 members to be appointed by the Mayor with the concurrence of the Council; and WHEREAS, the Board Members are required to be persons who have businesses within the business improvement area subject to an additional levy of additional mill taxes; and
WHEREAS, the Downtown Improvement District members have reviewed the application and fully recommend the appointment of Edward Rubalcaba, a business owner subject to the additional mill tax, to a term ending December 31, 2028.
NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Modesto that it hereby approves the appointment of Edward Rubalcaba to the Downtown Improvement District Advisory Board for a four-year ending December 31, 2028. #3..
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11/12/2024/CED/Srando/Item 2 2 2024-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November, 2024, by, who moved its adoption, which motion being duly seconded by. 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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ADVISORY BOARD APPLICATION
Applicants must have a business within the DID boundaries to apply.
NAME ________________________________________________________________________________________ HOME ADDRESS_______________________________________________ ZIP CODE _________________________ YRS RESIDED IN MODESTO____________________ YRS RESIDED IN COUNTY _______________________________ (BEST) PHONE NUMBER: _________________________________________________________________________ EMAIL ADDRESS ________________________________________________________________________________ BUSINESS NAME ________________________________________________________________________________ BUSINESS ADDRESS _____________________________________________________________________________ NATURE OF BUSINESS ____________________________________________________________________________ HOW LONG IN BUSINESS? ___________________TITLE ________________________________________________ DOWNTOWN PROPERTY OWNER? _________IF SO, ADDRESS ___________________________________________ EDUCATION ___________________________________________________________________________________ _____________________________________________________________________________________________ PRESENT AND PAST COMMUNITY AND PUBLIC SERVICE ________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ORGANIZATION(S) YOU ARE CURRENTLY ASSOCIATED WITH ____________________________________________ ______________________________________________________________________________________________ THE DID BOARD MEETS ON THE 2nd WEDNESDAY OF EVERY OTHER MONTH FROM 4:00-6:00PM. WOULD YOU BE ABLE TO ATTEND THESE MEETINGS REGULARLY? _____________________________________________________
WHAT ARE YOUR SPECIAL INTERESTS IN DOWNTOWN AND WHY DO YOU WISH TO SERVE ON THE MODESTO DOWNTOWN IMPROVEMENT DISTRICT BOARD? ______________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ ______________________________________________________________________________________________ _______________________________________
DATE________________________ SIGNATURE
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Legislative History: Po licy No. 1.008
Motion (234/68), 81-298, Motion 3/17/87, Reso 2009-486, Ord 3598-C.S., Reso 2014-56, Reso 2014-275
CITY OF MODESTO
CITY COUNCIL POLICY
ORIGINAL EFFECTIVE DATE: 07/24/1979
POLICY NUMBER: 1.008
CITY DEPARTMENT: City Manager
SUBJECT: Citizen Advisory Group Appointments
PURPOSE:
It is the duty of the City Council to appoint persons to the various Citizen Advisory Groups (CAG) of the City of Modesto. This policy establishes procedures for appointing persons to the City’s Citizen Advisory Groups.
BACKGROUND:
10/13/2009 updated policy for Boards, Commissions & Committees (now referred to as Citizen Advisory Groups). 01/28/2014 final adoption of Ordinance 3598-C.S. adding Appointments Committee to review and recommend appointments to City Boards, Commissions and Committees. 2/25/2014 eliminated term limits for Downtown Improvement District.
POLICY:
The City Council's Appointments Committee has been charged with evaluating existing advisory groups, making recommendations for dissolution / consolidation / reorganization of groups, and reviewing and making recommendations regarding the appointment or reappointment to all CAGs except the Entertainment Commission which is the responsibility of the Safety and Communities Committee. A listing of all Citizen Advisory Groups is attached as Exhibit 1.
It is the intent of the Appointments Committee to interview all candidates for the Planning Commission and the Board of Zoning Adjustment, including both new applicants and those seeking reappointment. In most other cases, Appointments Committee members will review the applications and make appointments without formal interviews.
PROCESS:
Citizen Advisory Group appointments and reappointments are managed by the Executive Assistant to the Mayor and Council in conjunction with the departmental staff liaisons to the various groups.
CAG members covered by this Policy may complete a maximum of two four-year terms*. A partial term of three or more years is considered a full term. Applications for appointment are kept on file for one year.
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LEGISLATIVE HISTORY: POLICY NO. 1.008
Motion (234/68), 81-298, Motion 3/17/87, Reso 2009-486, Ord 3598-C.S., Reso 2014-56, Reso 2014-275 * Members of the Downtown Improvement District board of Directors have no term limits; however, the selection and appointment of these board members are still subject to the process outlined below. (per MMC Section 6-3.11, Downtown Improvement District Advisory Board appointments go directly to Council for approval.
WHEN VACANCY OCCURS: Responsibility
City Clerk and the Council’s Executive Assistant are provided with an electronic copy of the resignation letter and a Resolution accepting the resignation. Staff Liaison
Post resignation on the agenda for Council acceptance. City Clerk Once Council action is taken to accept the resignation, a letter is prepared from the Mayor thanking the member for their service.
Council Executive
Assistant
Master List of Citizens Advisory Groups and City website updated to reflect vacancy.
Council Executive
Assistant
Applications are submitted and acknowledgements sent as applications come in.
Council Executive
Assistant
MAKING A CAG APPOINTMENT:
Council Executive Assistant is advised of need for appointment. Staff Liaison Committee is scheduled to review and recommend appointments.
Council Executive
Assistant
Notifications are sent to candidates advising of eligibility, opportunity and interview time.
Council Executive
Assistant
Committee convenes and reviews resumes and conducts interviews (Interviews held with Planning Commission/BZA are required, all others are optional). Selection made at next meeting if necessary.
Staff Liaison,
Council Executive
Assistant,
Appointments
Committee
Appointments Committee makes recommendation to Council for appointment.
Appointments
Committee
Council agenda is prepared seeking Council acceptance of Appointments Committee recommendation. Staff Liaison
Letter to applicants from Appointments Committee Chair informing them of the Appointments Committee recommendations and when the City Council will consider the recommendations.
Council Executive
Assistant
Council action taken on Appointments Committee recommendation. City Council Letter to new CAG member prepared for Mayor’s signature and sent to staff liaison along with copy of member’s application.
Council Executive
Assistant
Council resolution, letter from mayor, and other pertinent documents provided to new CAG member. Staff Liaison
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Legislative History: Po licy No. 1.008
Motion (234/68), 81-298, Motion 3/17/87, Reso 2009-486, Ord 3598-C.S., Reso 2014-56, Reso 2014-275 EXHIBIT 1
Citizen Advisory Group Names
Airport Advisory Committee
Board of Building Appeals
Board of Zoning Adjustment
Charter Review Committee
Citizens Advisory Committee on Recycling
Citizens Districting Commission
Citizens Housing & Community Development Committee
Citizen's Salary Setting Commission
City of Modesto Blue Ribbon Commission on Homelessness
Culture Commission
Disabled Access Appeals Board
Downtown Improvement District Advisory Board
Entertainment Commission
Equal Opportunity/Disability Commission
Golf Courses Advisory Committee
Housing Rehabilitation Loan Committee
Human Relations Commission
Landmark Preservation Commission
Local Cable Programming Committee
Planning Commission
Tuolumne River Regional Park Citizens Advisory Committee Youth Commission
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11/5/2024 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, November 05, 2024 at 5:30 PM
Roll Call - Present: Councilmembers Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen
Absent: None
Pledge of Allegiance to the Flag
Invocation: Cindy Marks, Pray Modesto
City Clerk’s Announcements: None.
Declaration of Conflicts of Interest: None.
Reports from Closed Session: City Attorney Jose Sanchez reported at todays Closed session under anticipated litigation, the City Council unanimously authorized entering into a Service Termination Agreement and Release Agreement with Reworld, formerly known as “Covanta Stanislaus”, for the early closure of the Waste to Energy Facility located at the Fink Road Landfill. The Agreement requires Reworld to pay a total of $4 Million to the City and the County for the early closure of the Facility.
ACKNOWLEDGEMENTS AND PRESENTATIONS
1. Proclamation declaring November 11th as Veteran's Day. (Funding Source: Not Applicable)
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] #4..
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11/5/2024 5:30:00 PM
ACTION: Mayor Zwahlen presented proclamation declaring November 11th as Veteran's Day.
PUBLIC COMMENT IN PERSON
Natasha Leyva spoke regarding Protecting Health and Slamming Tobacco (PHAST) which is a youth coalition of about 936 students from 65 schools across Stanislaus County. The group educates peers about the health risks of tobacco, nicotine, and marijuana, aiming to help students make healthier choices through prevention and education. Natasha shared her personal experience witnessing peers in middle and high school increasingly using nicotine products. She noted that many students in the area start smoking or vaping as early as age 14. Natasha joined PHAST to support her peers in avoiding nicotine addiction and urged local leaders to consider youth experiences when making policy decisions.
Nathan Cabrera, a Grayson Davis High School student, and member of the PHAST coalition, shared his personal experience with tobacco, noting his father's long struggle with smoking since a young age. Concerned about his father's health, Nathan joined PHAST to support him and others dealing with tobacco addiction. He urged local leaders to consider the impact of tobacco use when making policy decisions. Lavanya Bansal, a junior at Modesto High School and PHAST coalition member, shared her concerns about the prevalence of vaping among youth in Stanislaus County.
She described frequent encounters with smoke in school bathrooms and noted peer pressure's role in tobacco use. Lavanya cited statistics showing that 87% of tobacco retailers are within half a mile of schools, with 35% selling illegal flavored products, making it easier for youth to start using. She urged local leaders to consider youth perspectives when shaping policies on tobacco regulation. Sabrina Toor, a junior at Modesto High School and PHAST coalition member, addressed the Council to advocate for a tobacco retail license policy to reduce youth access to tobacco in Modesto. She expressed gratitude for the recently adopted moratorium on flavored tobacco and urged continued efforts to protect youth from addiction. Sabrina highlighted PHAST's commitment to supporting healthier communities through education and local data, calling on the Council to prioritize youth health in future policies.
Derek Castle expressed both appreciation and concern regarding the City’s efforts to address homelessness. He commended the success of the Family Bridge Housing Program, where families recently moved in, but expressed disappointment over the lack of progress in establishing a location for cabins funded a year ago. Derek noted that if a small church could overcome challenges to set up housing, the City should be able to secure land for these cabins. He and others identified a potential property and urged the City to act promptly.
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Kevin McClarty from Modesto’s District 1 thanked Councilmember Escutia-Braaton and candidate John Gunderson for signing the Code of Fair Campaign Practices Form, which is a commitment to run a fair and clean campaign. He expressed disappointment over another candidate, who did not sign the form and was complicit in the distribution of a negative flyer. Kevin condemned the introduction of "dirty politics" into Modesto’s City Council races and encouraged all candidates to maintain ethical campaign practices.
CONSENT ITEMS – ROLL CALL VOTE REQUIRED
ACTION CONSENT ITEMS: (2-9 Wright/Alvarez; 7/0)
CONSENT
Consent
2. Consider approving the minutes for the October 22, 2024 Council Meeting. (Funding Source: Not Applicable)
Motion approving the minutes for the October 22, 2024 Council Meeting.
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] ACTION: (Wright/Alvarez; 7/0) Motion approving the minutes for the October 22, 2024 Council Meeting.
Consent
3. Consider approving Final Adoption of Ordinance 3786-C.S. authorizing the levy of special taxes within the City Of Modesto held within City Of Modesto Community Facilities District No. 2024-2 (Fairview Village #2). (Funding Source: Not Applicable) Motion approving Final Adoption of Ordinance 3786-C.S. authorizing the levy of special taxes within the City Of Modesto held within City Of Modesto Community Facilities District No. 2024-2 (Fairview Village #2).
CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] ACTION: (Wright/Alvarez; 7/0) Motion approving Final Adoption of Ordinance 3786-C.S. authorizing the levy of special taxes within the City Of Modesto held within City Of Modesto Community Facilities District No. 2024-2 (Fairview Village #2).
Consent
4. Consider accepting an Informational Report for the September 2024 Accounts Payable Payment Register and Void Report. (Funding Source: Not Applicable) Motion accepting an Informational Report for the September 2024 Accounts Payable Payment Register and Void Report.
FINANCE DEPARTMENT; Maria Garnica, 209-577-5249,
[email protected]
ACTION: (Wright/Alvarez; 7/0) Motion accepting an Informational Report for the September 2024 Accounts Payable Payment Register and Void Report. #4..
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11/5/2024 5:30:00 PM
Consent
5. Consider accepting the Monthly Investment Report for August 2024. (Funding Source:
Various Funds)
Motion accepting the Monthly Investment Report for August 2024.
FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
ACTION: (Wright/Alvarez; 7/0) Motion accepting the Monthly Investment Report for August 2024.
Consent
6. Consider approving a Second Amendment to the Cell Tower Site Lease Agreement at Downey Park with NCWPCS MPL 26 - Year Sites Tower Holdings LLC, extending the maximum term of the Agreement through June 30, 2056. (Funding Source: Cell Tower Facility Rental Revenue)
Resolution approving a Second Amendment to the Cell Tower Site Lease Agreement at Downey Park with NCWPCS MPL 26 - Year Sites Tower Holdings LLC, extending the maximum term of the Agreement through June 30, 2056, and authorizing the City Manager, or his designee, to execute the Amendment.
PRN; Ken Peterson, 209-571-5573, [email protected] ACTION: (Wright/Alvarez; 7/0) Resolution 2024-401 approving a Second Amendment to the Cell Tower Site Lease Agreement at Downey Park with NCWPCS MPL 26 - Year Sites Tower Holdings LLC, extending the maximum term of the Agreement through June 30, 2056, and authorizing the City Manager, or his designee, to execute the Amendment.
Consent
7. Consider approving a First Amendment to the Parking Lease with Tesla, Inc., of Austin, TX extending the term of the Agreement from October 31, 2024, to October 31, 2025, with two one-year extension options. (Funding Source: Airport Fund) Resolution approving a First Amendment to the Parking Lease with Telsa Inc., a Texas Corporation (formally a Delaware Corporation) extending the term of the Agreement from October 31, 2024, to October 31, 2025, with two one-year extension options and authorizing the City Manager, or his designee, to execute the Amendment.
PUBLIC WORKS; Marisol Navarro, 209-577-5319, [email protected] ACTION: (Wright/Alvarez; 7/0) Resolution 2024-402 approving a First Amendment to the Parking Lease with Telsa Inc., a Texas Corporation (formally a Delaware Corporation) extending the term of the Agreement from October 31, 2024, to October 31, 2025, with two one-year extension options and authorizing the City Manager, or his designee, to execute the Amendment.
Consent
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11/5/2024 5:30:00 PM
8. Consider approving an Agreement with Eagle Aerial Solutions, of Irvine, CA for a WaterView Software as a Service (Saas) subscription for a total amount not to exceed $495,000 over five years. (Funding Source: Water Fund)
Resolution approving the Agreement with Eagle Aerial Solutions, of Irvine, CA for the WaterView SaaS for a five-year Agreement, for an initial cost of $134,600 and an estimated annual amount of $90,100, for a total amount not to exceed $495,000 over five years; and authorizing the City Manager, or his designee, to execute the Agreement.
UTILITIES; Manuel Martinez, 209-342-4592, [email protected] ACTION: (Wright/Alvarez; 7/0) Resolution 2024-403 approving the Agreement with Eagle Aerial Solutions, of Irvine, CA for the WaterView SaaS for a five-year Agreement, for an initial cost of $134,600 and an estimated annual amount of $90,100, for a total amount not to exceed $495,000 over five years; and authorizing the City Manager, or his designee, to execute the Agreement.
Consent
9. Consider approving an Agreement for the Purchase of Variable Frequency Drive Units to Wille Electric Supply Company, Inc. of Modesto, CA, for a total amount not to exceed $796,515 over five years. (Funding Source: Water Fund, Sewer Operations Fund)
Resolution approving the Award of Bid and Agreement for the Purchase of Variable Frequency Drive Units to Wille Electric Supply Company, Inc., Modesto, CA, for a two year Agreement with three one-year extension options, for an estimated annual amount of $150,000 and a total amount not to exceed $796,515 over five years and authorizing the Director of Finance, or her designee to execute the Agreement.
UTILITIES; Manuel Martinez, 209-342-4592, [email protected] ACTION: (Wright/Alvarez; 7/0) Resolution 2024-404 approving the Award of Bid and Agreement for the Purchase of Variable Frequency Drive Units to Wille Electric Supply Company, Inc., Modesto, CA, for a two year Agreement with three one-year extension options, for an estimated annual amount of $150,000 and a total amount not to exceed $796,515 over five years and authorizing the Director of Finance, or her designee to execute the Agreement.
COUNCIL COMMENTS & REPORTS
Councilmember Ricci expressed appreciation for the Modesto CED Department's efforts to address the City's housing crisis, highlighting the development of 5,000 new units, nearly half of which are multifamily or affordable housing. He acknowledged that while progress takes time, Modesto is making strides in tackling the issue. Ricci also agreed with Derek Castle's call for more aggressive action on homelessness and emphasized the need for faster progress. He concluded by wishing everyone well on election night.
Councilmember Williams thanked City staff and consultants for their efforts in organizing #4..
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the 2050 workshops across all six districts, including downtown. He expressed appreciation for the citizens who participated and shared their thoughts on expanding Modesto's sphere of influence. Councilmember Williams also thanked the staff for their consistent involvement in the workshops, noting he attended at least four himself to gain a better understanding of the community's views on the city's future.
Councilmember Escutia-Braaton expressed gratitude for the staff and community members who participated in the district workshops for the general plan. She emphasized the value of community engagement in shaping policies that affect housing, jobs, and businesses. Councilmember Escutia-Braaton shared her positive experiences attending two school events: Mark Twain's Career Day, where students asked insightful questions, and the ribbon-cutting at Agnes Baptist, which celebrated new classrooms and resources for students. She highlighted the importance of providing better educational resources to ensure a positive future for students.
Mayor Zwahlen announced the San Joaquin Regional Rail Commission is applying for a $25 million grant for the Modesto and Ceres Station trackwork project, which includes improvements like platforms, pedestrian pathways, and public infrastructure. This project aims to enhance mobility, connectivity, and air quality, while connecting Stanislaus County to the expanded ACE network. StanCOG has secured funding for the initiative.
Additionally, the Mayor attended school events, police promotions, and the Impala Club event, and encouraged citizens to vote on Election Day.
CITY MANAGER COMMENTS & REPORTS
None.
MATTERS TOO LATE FOR THE AGENDA
None.
ADJOURNMENT
This meeting adjourned at 6:11 P.M.
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11/5/2024 5:30:00 PM
All Closed Session matters heard prior to the meeting.
CLOSED SESSION
CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
One Case (Pursuant to Section 54956.9(d)(2) of the Government Code) CONFERENCE WITH LEGAL COUNSEL — ANTICIPATED LITIGATION
One Case (Pursuant to Section 54956.9(d)(4) of the Government Code) CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
One Case (Pursuant to Section 54956.9(d)(1) of the Government Code) Name of Case: City of Modesto v. Shell Oil Company, et al.
Superior Court of California- County of San Bernadino
Case No.: SCVSS120627
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
ACTION: City Attorney Jose Sanchez reported at todays Closed session under anticipated litigation, the City Council unanimously authorized entering into a Service Termination Agreement and Release Agreement with Reworld, formerly known as “Covanta Stanislaus”, for the early closure of the Waste to Energy Facility located at the Fink Road Landfill. The Agreement requires Reworld to pay a total of $4 Million to the City and the County for the early closure of the Facility.
Attest: ___________________________
Diane Nayares-Perez, City Clerk
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 22, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Downtown Revitalization Engineering Agreement
CONTACT: Sean M. Rando, Business Analyst,
[email protected], 209-577-5473
DESCRIPTION:
Consider approving an Agreement for Engineering Design Services for the Downtown Revitalization Project to Westwood Professional Services, Inc., Plano, TX, for a total amount not to exceed $194,315. (Funding Source: California Department of Transportation Clean California Grant).
STRATEGIC PLAN ELEMENT:
The recommended action supports the City’s Strategic Plan Area of Focus: Quality of Life, Goal B: “Increase pride in Modesto’s diverse neighborhoods and business districts through beautification efforts and by investing in community assets and amenities”.
BACKGROUND:
In 2019, the City of Modesto conducted citywide community surveys which identified blights as one of the most pressing issues for residents. On December 10, 2019, Council approved by Resolution 2019-555 the 2020-2025 Blight Abatement Strategy, developed through collaborations with community members, local partnerships, other agencies, and internal City departments. The strategy outlines initiatives for blight abatement on public and private property, encourages public and private partnerships, and further action to minimize and mitigate blight.
The California Department of Transportation (CalTrans) Clean California Local Grant Program1 is a competitive statewide fund created to enhance communities and improve spaces for public use, including beautification and cleaning of local streets, roads, tribal lands, parks, pathways, transit centers and other public spaces. The Program is part of the nearly $1.1 billion Clean California initiative and approximately $100 million is allocated for local communities as part of the Program Cycle 2 announced in 2022.
1 Clean California Local Grant Program webpage: https://cleancalifornia.dot.ca.gov/local-grant-program #5..
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City Council, November 12, 2024
Downtown Revitalization Engineering Agreement
The Program aims to achieve the following goals:
Reduce the amount of waste and debris within public rights-of-way, pathways, parks, transit centers and other public spaces.
Enhance, rehabilitate, restore or install measures to beautify and improve public spaces and mitigate the urban heat island effect.
Enhance public health, cultural connections and community placemaking by improving public spaces for walking and recreation; and
Advance equity for underserved communities.
On February 14, 2023, by Resolution No. 2023-058, Council authorized the submittal of application(s) to the CalTrans Clean California Local Grant Program. The City of Modesto applied for the Program Cycle 2 grant with a project titled Downtown Revitalization that addresses blight concerns and revitalization efforts in Downtown Modesto. On November 7, 2023, CalTrans notified the City of their plans to issue an award of $3,129,000 in grant funds for this project. Following this notification, the City Council formally accepted the award on February 27, 2024, by Resolution No. 2024-078. The Program operates as a reimbursement and the grant project period ranges from September 15, 2023, through June 30, 2026.
DISCUSSION:
The CalTrans grant will fund a Downtown Revitalization project which will be primarily focused on the area known locally as Mural Alley located near the intersections of J street and 10th street in Downtown Modesto. The project proposes to reinvigorate the City’s mural culture by increasing lighting, resurfacing the space and adding pavers to make the space more welcoming and accessible for the public to enjoy the public art. To kickstart this process the City initiated a request for proposals (RFP) process to search for a qualified civil engineering consulting firm to prepare all plans, specifications, and estimates (PS&E) necessary to receive bids for the formal construction of identified improvements.
RFP 2324-93 was issued on May 31, 2024, with proposals being due on July 29, 2024. The RFP was posted to the City’s publicly available PlanetBids website on May 31, 2024. The Authorization to Purchase was fully approved by City Manager on September 18, 2024. 571 vendors viewed the request for proposal, seven (7) firms downloaded the document, however no proposals were received via Planet Bids. Three (3) proposals were subsequently received via mail. The review panel, which included City staff and a community member, evaluated each proposal based on the criteria further outlined in the RFP (Attachment 3).
Community and Economic Development finalized the RFP evaluation on September 17, 2024.
The consultants were ranked in the following order from highest to lowest scores:
1. O’Dell Engineering, Inc. (O’Dell)
2. Alta Planning + Design, Inc.
3. BFK Engineers
O’Dell Engineering, Inc. is a Modesto based business located at 1165 Scenic Drive; however, their parent company, Westwood Professionals, Inc., is incorporated in Texas. The overall scope of work will include project management, topographic surveys, preliminary architectural conceptual designs, the creation of a roadway improvement plan, technical assistance, geotechnical investigations, utility coordination, the development of a mural master plan, and #5..
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City Council, November 12, 2024
Downtown Revitalization Engineering Agreement
construction administration for an amount not to exceed $194,315. Following the completion of the initial approved designs O’Dell will assist the City in coordinating the construction of the improvements to mural alley which will include coordinating the competitive bidding process and administrative oversite assistance through the construction phase of this project. Based on initial timelines, subject to change, construction is projected to begin in the second quarter of 2025.
Modesto Municipal Code Section 8-3.203 generally requires all purchases, which meet or exceed $100,000 for material, equipment, or contractual services to follow the formal bid procedures. An Award of Proposal and Agreement for engineering design services for the Community and Economic Development Department use to O’Dell Engineering, Inc., a subsidiary of Westwood Professional Services, Inc., Plano, TX, conforms to the Modesto Municipal Code because the City complied with the formal bid procedures and O’Dell was the highest ranked proposal based on the evaluation criteria.
FISCAL IMPACT:
The anticipated contract cost of $194,315 will be funded through the grant award from CalTrans under the Clean California Local Grants Program within project number 101584. Costs are recovered on a reimbursable basis through CalTrans.
Task Anticipated Agreement Cost
Project Management $11,875
Surveys and Topographic Mapping $23,870
Preliminary Engineering $8,765
Roadway Improvement Plans $56,805
Additional Technical Assistance $22,103
Geotechnical Investigation $16,997
Utility Coordination $7,620
Mural Master Plan $34,500
Construction Administration $11,780
Total cost $194,315
COMMITTEE RECOMMENDATION:
The Finance Committee considered the Agreement on October 21, 2024, and a motion was passed recommending forwarding the Agreement to Council for approval.
CEQA REQUIREMENTS:
CEQA review is not required for the engineering design phase of this project.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving the Award of Proposal and Agreement for Engineering Design Services for the Downtown Revitalization Project to Westwood Professional Services, Inc., Plano, TX, for a total amount not to exceed $194,315, and authorizing the City Manager, or his designee, to execute the Agreement.
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City Council, November 12, 2024
Downtown Revitalization Engineering Agreement
Approved by:
Jessica Hill, Director of Community and Economic
Development
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. Agreement
3. Exhibit A-Scope of Services
4. Exhibit B-Hourly Rates
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11/12/2024/CED/Srando/Item X 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING THE AWARD OF PROPOSAL AND
AGREEMENT FOR ENGINEERING DESIGN SERVICES FOR THE
DOWNTOWN REVITALIZATION PROJECT TO WESTWOOD
PROFESSIONAL SERVICES, INC., PLANO, TX, FOR A TOTAL AMOUNT NOT TO EXCEED $194,315, AND AUTHORIZING THE CITY MANAGER, OR
HIS DESIGNEE, TO EXECUTE THE AGREEMENT
WHEREAS, in 2019, the City of Modesto conducted citywide community surveys which identified blights as one of the most pressing issues for residents; and WHEREAS, on December 10, 2019, Council approved by Resolution 2019-555 the 2020-2025 Blight Abatement Strategy, developed through collaborations with community members, local partnerships, other agencies and internal City departments.
The strategy outlines initiatives for blight abatement on public and private property, encourages public and private partnerships and further action to minimize and mitigate blight; and
WHEREAS, the California Department of Transportation (CalTrans) Clean California Local Grant Program is a competitive statewide fund created to enhance communities and improve spaces for public use, including beautification and cleaning of local streets, roads, tribal lands, parks, pathways, transit centers and other public spaces; and
WHEREAS, on November 7, 2023, CalTrans notified the City of their plans to issue an award of $3,129,000 in grant funds for this project. Following this notification, the City Council formally accepted the award on February 27, 2024, by Resolution No. 2024-078. The Program operates on a reimbursement basis and the grant project period ranges from September 15, 2023, through June 30, 2026; and #5..
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11/12/2024/CED/Srando/Item X 2 2024-XX
WHEREAS, the CalTrans grant will fund a Downtown Revitalization project which will be primarily focused on the area known locally as Mural Alley located near the intersections of J street and 10th street in Downtown Modesto; and WHEREAS, Request For Proposals (RFP) 2324-93 was issued on May 31, 2024, with proposals being due on July 29, 2024. The RFP was posted to the City’s publicly available PlanetBids website on May 31, 2024. 571 vendors viewed the request for proposal, seven (7) firms downloaded the document, however no proposals were received via Planet Bids. Three (3) proposals were subsequently received via mail; and WHEREAS, an evaluation committee determined that O’Dell Engineering, Inc. a Modesto based business located at 1165 Scenic Drive, owned by Westwood Professionals, Inc. of Plano Texas, to be the most qualified firm for the proposed project based on the evaluation criteria outlined in the RFP document; and WHEREAS, Modesto Municipal Code Section 8-3.203 generally requires all purchases, which meet or exceed $100,000 for material, equipment, or contractual services to follow the formal bid procedures. An Award of Proposal and Agreement for engineering design services for the Community and Economic Development Department use to O’Dell Engineering, Inc., a subsidiary of Westwood Professional Services, Inc., Plano, TX, conforms to the Modesto Municipal Code because the City complied with the formal bid procedures and O’Dell was the highest ranked proposal based on the evaluation criteria; and
WHEREAS, the overall scope of work will include project management, topographic surveys, preliminary architectural conceptual designs, the creation of a roadway improvement plan, technical assistance, geotechnical investigations, utility #5..
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11/12/2024/CED/Srando/Item X 3 2024-XX
coordination, the development of a mural master plan and construction administration for an amount not to exceed $194,315.
NOW, THEREFORE, BE IT RESOLVED, by the Council of the City of Modesto that it hereby approves the Award of Proposal and Agreement for Engineering Design Services for the Downtown Revitalization Project to Westwood Professional Services, Inc., Plano, TX, for a total amount not to exceed $194,315.
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’s Office.
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November, 2024, by, who moved its adoption, which motion being duly seconded by 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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STANDARD AGREEMENT
FOR CONSULTANT SERVICES
THIS AGREEMENT, made and entered into in the City of Modesto, State of California, this day of , 2024, (“Effective Date”) by and between the CITY OF MODESTO, a municipal corporation of the State of California, hereinafter referred to as "City", and WESTWOOD PROFESSIONAL SERVICES, Inc,, a Texas corporation, hereinafter referred to as "Consultant".
This Agreement is made with regard to the following recitals:
A. The City has determined that there is a need for engineering design services to initiate a downtown revitalization project.
B. Consultant represents that it is qualified, willing, and able to provide the services to prepare said document(s).
NOW, THEREFORE, in consideration of this agreement, and the mutual promises, covenants, and stipulations hereinafter contained, the parties agree as follows:
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1. SCOPE OF SERVICES.
Consultant shall undertake and complete the scope of work as set forth and described in the documents attached hereto and referred to as Exhibit "A" or "Project".
2. TERM OF AGREEMENT.
This Agreement is effective as of the date first written above and will continue in effect until City’s acceptance of and payment for all services authorized by City and Performed by Consultant, unless terminated earlier in accordance with the provisions of the termination clause in this Agreement.
Requests for price increases shall be submitted by CONSULTANT in writing, sixty (60) days prior to the annual anniversary date of the agreement to be effective for the subsequent year and shall not exceed the Consumer Price Index (CPI) for West Urban Area in any one agreement year and shall be negotiated through the Purchasing Division.
3. COMPENSATION.
Consultant agrees to accept a sum not to exceed $194,315 (maximum compensation) as full remuneration for performing all services and furnishing all staffing and materials for Modesto in accordance with Exhibit "A", except that additional services may be compensated as described below.
The Compensation shall be paid pursuant in the manner and at the times set forth below:
City shall pay Consultant on a time and materials basis for Consultant’s actual costs for all work called for in Exhibit “A” to this Agreement. All work to be performed under this Agreement shall be billed at the hourly rates set forth in Exhibit “B” attached hereto. Consultant shall submit monthly invoices to City which include detailed tasks, hours worked, and billable rates for all #5..
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work completed, and detailed receipts for any reimbursable expenses paid by Consultant and identified in Exhibit “B” or approved by the City in writing.
City shall pay Consultant Net 45 Days via manual check.
4. OBLIGATIONS OF CONSULTANT.
Throughout the term of this Agreement, Consultant shall possess, or secure all licenses, permits, qualifications and approvals legally required to conduct business. Consultant warrants that it has all of the necessary professional capabilities and experience, as well as all tools, instrumentalities, facilities, and other resources necessary to provide the City with the services contemplated by this Agreement. Consultant further warrants that it will follow the current, generally accepted, and professional practices to make findings, render opinions, prepare factual presentations, and provide professional advice and recommendations regarding this project.
5. PERFORMANCE BY KEY EMPLOYEE.
Consultant has represented to City that Chad Kennedy will be the person primarily responsible for the performance of the services referred to in this Agreement. The project manager responsible for daily coordination of the project will be Jesse Grafton. City has entered into this Agreement in reliance on that representation by Consultant. Consultant therefore agrees that twenty-five percent (25%) or more of the time to be devoted to the project that is the subject of this Agreement will be that of the above-named person.
6. OWNERSHIP OF DOCUMENTS/TITLE TO DATA.
Ownership of Documents
All reports, drawings, designs, graphics, working papers and other incidental work or materials furnished hereunder shall become and remain the property of the City, upon final payment for services rendered, and may be used by City as it may require without any additional cost to #5..
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City. No reports shall be used by the Consultant for purposes other than this contract without the express prior written consent of City.
Title to Data
If, as a part of the agreement, Consultant is required to produce data such as, but not limited to, drawings, plans, specifications, calculations, models, flow diagrams, visual aids and other related materials, the originals of all such data generated under this agreement will be delivered to City upon the final payment for services rendered under the contract. It is understood and agreed that the documents and other materials, including but not limited to those described above, prepared pursuant to this Agreement are prepared specifically for the City and are not necessarily suitable for any future or other use. Any reuse or modification by City without the engagement of Consultant shall be at City’s sole risk and without legal exposure or liability to Consultant.
All materials, documents, data, or information obtained from the City data files or any City medium furnished to Consultant in the performance of this Agreement will at all times remain the property of the City. Such data or information may not be used or copied for direct or indirect use by Consultant after termination of this Agreement without written consent of the City.
7. NEWS AND INFORMATION RELEASE.
Consultant agrees that it will not issue any news releases in connection with either the award of this Agreement, or any subsequent amendment of or efforts under this Agreement, without first obtaining review and approval of said news releases from the City Manager.
8. CONFLICT OF INTEREST.
Consultant warrants that it presently has no interest and shall not acquire any interest, direct or indirect, which would create a “conflict of interest”, as that term is defined in the Political Reform Act (Gov. Code § 81000 et seq), for the Consultant in the performance of this Agreement.
Consultant warrants that, in performance of this Agreement, Consultant shall not employ any person #5..
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having any such interest. Consultant understands that, if this Agreement is made in violation of Government Code § 1090 et seq., the entire Agreement is void and Consultant will not be entitled to any compensation for services performed. Consultant agrees to file a Statement of Economic Interests with the City Clerk at the start and end of this contract if so required at the option of City.
9. AMENDMENTS.
This Agreement, including the Exhibits attached hereto, may be amended only by a writing signed by both Parties. City will not be responsible to pay any charges Consultant may incur in performing services not identified in Exhibit ‘A’ unless first authorized by the City in writing
10. INDEPENDENT CONTRACTOR.
All acts of Consultant, its agents, officers, and employees and all others acting on behalf of Consultant relating to the performance of this Agreement, shall be performed as independent contractors and not as agents, officers, or employees of City. Except as City may specify in writing, Consultant has no authority to bind or incur any obligation on behalf of City. Consultant has no authority or responsibility to exercise any rights or power vested in the City. It is understood by both Consultant and City that this Agreement shall not under any circumstances be construed or considered to create an employer-employee relationship or a joint venture. Consultant, its agents, officers and employees are and, at all times during the terms of this Agreement, shall represent and conduct themselves as independent contractors and not as employees of City.
Consultant shall determine and control the method, details and means of performing the work and services to be provided by Consultant under this Agreement. Consultant shall be responsible to City only for the requirements and results specified in this Agreement, and, except as expressly provided in this Agreement, shall not be subjected to City's control with respect to the physical action or activities of the Consultant in fulfillment of this Agreement. Consultant is permitted to provide services to others during the same period service is provided to City under this Agreement. If necessary, #5..
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Consultant has the responsibility for employing other persons or firms to assist Consultant in fulfilling the terms and obligations under this Agreement.
If in the performance of this Agreement any third persons are employed by Consultant, such persons shall be entirely and exclusively under the direction, supervision, and control of Consultant. All terms of employment including hours, wages, working conditions, discipline, hiring, and discharging or any other term of employment or requirement of law shall be determined by the Consultant.
It is understood and agreed that as an independent contractor and not an employee of City neither the Consultant or Consultant's assigned personnel shall have any entitlement as a City employee, right to act on behalf of the City in any capacity whatsoever as an agent, or to bind the City to any obligation whatsoever. It is further understood and agreed that Consultant must issue W-2 forms or other forms as required by law for income and employment tax purposes for all of Consultant's personnel.
11. ASSIGNMENT.
Neither this Agreement nor any portion thereof shall be subcontracted or assigned, other than noted in Exhibit ‘A’, without the express prior written consent of the City in each and every instance.
12. PATENT/COPYRIGHT MATERIALS.
Unless otherwise expressly provided in the contract, Consultant shall be solely responsible for obtaining the right to use any patented or copyrighted materials in the performance of this Agreement. Consultant shall furnish a warranty of such right to use to City at the request of City.
13. NOTICES.
Notice required by this Agreement shall be given in writing and shall be deemed given and effective upon delivery provided that such are delivered in accordance with the provisions of #5..
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this Section. Notices shall be delivered either by: (a) personal delivery; (b) overnight courier service which obtains confirmation of delivery; or (c) certified mail, return receipt requested, if delivery is confirmed by a return receipt; or (d) by electronic transmission subject to reasonable proof that the notice was both transmitted and received. Each such notice shall be sent to the parties at the address respectively set forth below or to such other address as a party may designate by written notice given in accordance with the provisions of this Section:
FOR CONSULTANT: Name: Westwood Professional Services, Inc.
Address: 2805 North Dallas Parkway Suite 150
Plano, TX 75093
Attention:Westwood Professional Services, Inc. General
Counsel
email: [email protected]
FOR CITY: Name: City of Modesto
Address: P.O. Box 642
Modesto, CA 95353
Attention: Jessica Hill
Phone: (209) 577-5321
14. INSURANCE REQUIREMENTS.
The Consultant shall provide at its own expense and maintain at all times the following insurance with insurance companies authorized to do business 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 and ten (10) days prior if cancellation due to nonpayment of premium, notices of same shall be given to the Risk Manager of the City via PINS Advantage Insurance Program, for all of the following stated insurance policies.
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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 Consultant 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 Consultant 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) General Liability insurance with a 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; vicarious liability for independent consultants and subcontractors; products and completed operations as applicable. (b) Automobile Liability insurance with 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.
(c) Worker's Compensation - in compliance with the statutes of the State of California, plus employer's liability with a limit of liability of $1,000,000. (d) Professional Liability insurance with a limit of $1,000,000 per claim and policy aggregate. If coverage is on a claim made basis it shall be maintained for at least three (3) years following completion of the work.
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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 Consultant 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 Consultant 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 Consultant to obtain and/or maintain any required insurance shall not relieve the Consultant from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the Consultant 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 Consultant for the City. The Consultant'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 Consultant must deliver certificates evidencing existence of the insurance listed above to the City prior to the time the contract is signed.
CONSULTANT 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, CONSULTANT 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 CONSULTANT’S insurance coverage shall be primary insurance as respects the Entity, its officers, officials, employees, and volunteers except for worker’s compensation and professional liability coverages. Any insurance or self-insurance #5..
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maintained by the Entity, its officers, officials, employees, or volunteers shall be excess of the CONSULTANT’S insurance and shall not contribute with it.
15. TERMINATION OF AGREEMENT.
Termination for Default
In the event either party fails to perform under this AGREEMENT or breaches any condition contained herein, the other party shall notify in writing the breaching party of the nonperformance. Within 10 days after receipt of notification, the breaching party shall correct any nonperformance to the reasonable satisfaction of the non-breaching party, or such other time as may be identified in the notice. Failure to correct any non-performance shall allow the non-breaching party to terminate this AGREEMENT for cause.
Termination by City for Convenience
City may cancel this Agreement at any time, with or without cause, upon written notification to Consultant.
Post-Termination Procedure
Upon receipt of a written notice of termination, the Consultant shall:
a. Cease its work as directed in the notice of termination as of the termination date and see to it that its employees, subconsultants and agents are notified of such termination and act as specified in the notice of termination;
b. Terminate all orders and Subcontractors except as necessary to complete any portion of the work that is not terminated;
c. If directed in writing by the City to do so, assign all right, title and interest in subcontracts and materials in progress to City, in which case the City will have the right at its discretion to settle, or pay any or #5..
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all claims arising out of the termination of such subconsultants, but in no event shall recovery by any Consultant or subconsultant include lost profits for portions of the work not completed or undertaken, including materials not delivered;
d. Deliver or otherwise make available to the City all data, drawings, specifications, reports, estimates, summaries and such other information and material as may have been accumulated by the Consultant in performing the work whether completed or in process;
e. Settle outstanding liabilities and claims, subject to the approval of City; f. Complete performance of such part of the Project as has not been terminated;
g. Take such other actions as may be necessary, or as may be directed by the City for the protection and preservation of the Project and/or property related to the Project;
h. If City so requests, and at City's cost, Consultant shall provide sufficient oral or written status reports to make City reasonably aware of the status of Consultant's work on the project.
i. The Consultant understands and agrees that City may, in City's sole discretion, refuse to pay Consultant for that portion of Consultant's services which were performed by Consultant on the project prior to the termination date and which remain unacceptable and/or not useful to City as of the termination date.
City will pay Consultant for work actually completed prior to the receipt of the termination notice or otherwise completed in accordance with the notice of termination. The final #5..
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payment to the Consultant after termination for convenience shall be limited to amounts due and owing under the Agreement at time of termination, including the following:
a. The cost of settling and paying valid claims arising out of the termination of the Work such as subconsultant agreements or contracts for materials;
b. The Agreement price allocable to the portion of the Work properly performed or goods supplied to the work site by the Consultant as of the date of termination, as determined in accordance with the notice of termination, reduced by any sums previously paid to the Consultant.
16. INDEMNITY.
The Consultant shall hold the City, its officers, agents and employees, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages arising from third parties, including but not limited to injury to person or property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, to the proportional extent caused by any negligent or intentional act or omission of Consultant, or its agents, officers, employees, or volunteers relating to or during the performance of its obligations under this Agreement except for professional liability claims, for which Consultant shall have no reimbursement obligation for defense of professional liability claims. In no event shall the cost to defend charged to the Consultant exceed the design professional’s proportionate percentage of fault. Notwithstanding the previous sentence, in the event one or more defendants is unable to pay its share of defense costs due to bankruptcy or dissolution of the business, the Consultant shall meet and confer with other parties regarding unpaid defense costs.
Consultant's obligation to defend, indemnify, and hold the City, its agents, officers, and employees harmless under the provisions of this paragraph is not limited to or restricted by any requirement in this Agreement for Consultant to procure and maintain a policy of insurance. #5..
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In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.
17. DISPUTE RESOLUTION.
Venue for 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 in the Superior Court of Stanislaus County or the United States District Court for the Eastern District of California.
18. ATTORNEYS’ FEES.
If a party to this AGREEMENT brings any action, including an action for declaratory relief, to enforce or interpret the provision of this AGREEMENT, the prevailing party shall be entitled to reasonable attorneys’ fees in addition to any other relief to which that party may be entitled.
The court may set such fees in the same action or in a separate action brought for that purpose. A “prevailing party” need not assert affirmative claims to be considered a prevailing party, and a party that successfully defends against a claim in relative terms to the amount of the claim asserted shall be considered a prevailing party for the purposes of this section. In claims for money damages, the total amount of recoverable attorney’s fees, expenses, and costs shall not exceed the net monetary award or judgment of the prevailing party, if the prevailing party was the party seeking a monetary award or judgement.
19. ENTIRE AGREEMENT.
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This Agreement and its exhibits contain the entire understanding between Consultant and City. All previous proposals, offers and communications relative to this Agreement, whether oral or written, are hereby superseded except to the extent that they have been incorporated into this Agreement.
20. PARTIAL INVALIDITY.
If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions shall nevertheless continue in full force without being impaired or invalidated in any way.
21. WAIVER.
The waiver by any party to this Agreement of a breach of any provision hereof shall be in writing and shall not operate or be construed as a waiver of any other or subsequent breach hereof unless specifically stated in writing.
22. AUDIT.
The City's duly authorized representative shall have access at all reasonable times to all reports, contract records, contract documents, contract files, and personnel necessary to audit and verify Consultant's charges to City under this Agreement.
Consultant agrees to retain reports, records, documents, and files related to charges under this Agreement for a period of two (2) years following the date of final payment for Consultant services. City's representative shall have the right to reproduce any of the aforesaid documents.
23. GOVERNING LAW.
This Agreement shall be governed according to the laws of the State of California.
24. HEADINGS NOT CONTROLLING.
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Headings used in the Agreement are for reference purposes only and shall not be considered in construing this Agreement.
25. COMPLIANCE WITH LAWS.
Consultant shall insure compliance with all safety and hourly requirements for employees, in accordance with federal, state, and county safety and health regulations and laws.
Consultant shall fully comply with all applicable federal, state, and local laws, ordinances, regulations and permits.
26. CITY BUSINESS LICENSE.
Consultant shall have a City of Modesto business license. #5..
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IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement 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 Westwood Professional Services, Inc. has caused this agreement to be duly executed as of the Effective Date.
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Project Approach & Scope of Services
What Will We Do?
Task 1: Project Management
Project management is a crucial part of keeping scope of work, schedule, and budget running smoothly and will require frequent, thorough, and concise communication with the City and the design team. A well-run organizational meeting at the beginning of the project will clear up any unexpected issues before they arise. A meeting will be held with staff, during which our proprietary client communication program is started and the following typical items are discussed:
• Introduce staff and project partners.
• Review objectives of the project, scope of services,
deliverable expectations, project schedule, and milestones. • Confirm project parameters and limits of work.
• Collect available data and published material.
• Establish meeting and presentation schedules and
communication channels with all parties involved.
• Review and list all applicable design/planning standards, opportunities, and/or challenges anticipated.
• Coordinate with City departments, other agencies, and stakeholders.
• Review project budget and billing requirements.
• 1.1 Complete custom client communications program.
The following management responsibilities will be coordinated:
• 1.2 Project schedule at kick-off and after each project deliverable throughout duration of project.
• 1.3 Project kick-off meeting with City and design team. • 1.4 Site investigations.
• 1.5 Progress meetings, following each milestone submittal (35%, 60%, 90%, and 100% PS&E).
Deliverables
• PDF Exhibits, Meeting Agenda, and Meeting Minutes
Task 2: Topographic Survey
• 2.1 Temporary benchmarks will be set around the site, in locations with minimal risk of being demolished during
construction.
• 2.2 Perform cross-section survey of linear corridor at 25-foot intervals.
• 2.3 Perform topographic survey of all hardscape and
softscape, including grade breaks, high points, low points.
In flat areas, measure spot elevations in a grid pattern at 10-foot intervals.
• 2.4 Locate surface-visible utility features and improvements, such as signs, fences, walls, buildings, striping, driveways, walkways, drainages, structures, lights, poles, bollards, general limits of vegetated or landscaped areas, USA
markings, vaults, valves, meters, boxes, pedestals,
cleanouts, manholes, drain inlets, catch basins, culverts, outfalls, standpipes, and the delineation of concrete,
asphalt, and brick surfaces. In addition to measuring the project site with traditional survey equipment, the site will be scanned with a terrestrial laser scanner, minimizing the need for supplemental trips to recover topography.
• 2.5 Trees 6” in diameter or larger will be located.
• 2.6 At manholes and accessible structures, measure invert elevation of all gravity storm drains and sewer pipes.
Annotate topographic survey drawing with invert elevation, approximate diameter, and orientation of each pipe visible at the time of the survey. Where access is not practical, O’Dell Engineering shall indicate by notation on the
mapping deliverable.
• 2.7 Potholing of existing utilities.
• 2.8 Create existing ground Civil 3D TIN surface model. • 2.9 Prepare topographic survey base map drawing at a 1” = 20’ scale.
Deliverables
• Digital Copy of the Topographic Survey Base Map Drawing in AutoCAD Civil 3D 2022
• PDF of Topographic Survey on O’Dell Title Block
• Points File in PNEZD Format
Task 3: Preliminary Engineering (35%)
Preparation of preliminary conceptual design will be led by an O’Dell licensed landscape architect. The design team will prepare a conceptual layout for City review and comment that is anticipated to include the following items: Proposed project limits, ADA improvements, preliminary striping, arch locations and design, and site amenities. Conceptual documents may include the following graphics and exhibits:
• 3.1 Conceptual site design in full color
• 3.2 Conceptual section/elevations of arch and alley
• 3.3 Precedent imagery
• 3.4 ROM cost estimate
Deliverables
• Electronic copies in PDF (Hard copies available upon request) Task 4: Roadway Improvement Plans
Following approval of the 35% conceptual design layout, O’Dell will lead the design team in the creation of the project improvement plans. Submittals are intended for the 60%, 90%, and 100% Final.
Plans for this project are intended to include the following, including routine information normally required by the City, which includes:
• 4.1 Cover Sheet with Project Data
• 4.2 Notes Sheet
• 4.3 Existing Conditions Plan
• 4.4 Demolition Plan(s) Based off Topographic Survey Base File
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Project Approach & Scope of Services
• 4.5 Erosion Control Plan(s)
• 4.6 Grading and Drainage Plan(s)
• 4.7 Signage and Striping Plan(s)
• 4.8 Layout and Horizontal Control Plan(s)
• 4.9 Construction Details Including City Standard Reference Details, Custom Arch Details for One Arch Design, Standard Construction Details, Roadway Section/Elevations
• 4.10 Electrical Site Plan(s), Plan Specifications, & Calculations • 4.11 Structural Foundation Plans
• 4.12 Structural Framing Plans/Elevations, Details, Notes, and Plan Specifications
• 4.13 Preliminary Cost Estimates at 60% & 90%, and Bid Estimate for Final Submittal
• 4.14 Technical Specifications Including Table of Contents Spec Outline (60% Submittal), Full Technical Specifications (90% and 100% Submittal (Excluding Division 00), and Bid Item List and Descriptions
• 4.15 Includes One Complete Revision at the 60% Submittal to Address Composite Plan Check from City
• 4.16 Stormwater Quality Control Plan
• 4.17 QA/QC at each submittal
Deliverables
• PDF and ACAD Formats and Hard Copies (Up to 5 Sets)
Task 5: Additional Technical Assistance
at City Request
• 5.1 Additional design/supporting exhibits as requested by the City in writing prior.
• 5.2 Pre-Construction Monument Preservation
» Perform a field survey to locate monuments that may
be disturbed by construction.
» Establish durable reference ties to monuments located outside of the presumed construction limits.
» Prepare and submit a Record of Survey map or
corners records to Stanislaus County, allowing the
public agency to comply with the pre-construction
monument preservation requirements Section 8771 of
the Professional Land Surveyors’ Act.
• 5.3 Optional geotechnical percolation testing two (2) test and percolation comments on the infiltration characteristics of the subgrade soil of percolation tests.
• 5.4 PG&E applicant design
Deliverables
• PDF Copy of Final Record of Survey Map or Corner Records • Updated Digital Copy of the Topographic Survey Base
Map Drawing in AutoCAD Civil 3D 2022 with the Location
of the Potholed Utilities
• Updated PDF of Topographic Survey on O’Dell Title Block with the Location of the Potholed Utilities
• Points File of Potholed Utilities in PNEZD Format
Task 6: Geotechnical Investigation
• 6.1 The Geotechnical Engineer will obtain an encroachment permit, prepare and coordinate traffic control, and contact USA. A field exploration site visit will be conducted by a licensed drilling subcontractor to perform borings/cores utilizing hollow stem auger techniques to a depth of 2 to 3 feet within the project area. Boring log data will be captured. • 6.2 Geotechnical lab test will be performed to review stability characteristics of the pavement subgrade and R-values.
• 6.3 The Geotechnical Report will include the following:
» A description of the investigation, including a site plan showing the locations of the exploration points.
» A description of the site surface and subsurface
conditions encountered during our field investigation,
including boring logs.
» A summary of the field exploration and laboratory
testing programs.
» Comments on subsurface soil and groundwater
conditions encountered and potential impact on
design and construction.
» Summary of measured pavement structural section
thicknesses and subsurface conditions encountered
during the field investigation.
» Recommendations for demolition, reuse of concrete
grindings, site preparation, and earthwork grading to
support new pavement.
» Recommendations for over-excavation of unsuitable
soils (i.e., loose random fills, soft subgrade soils,
expansive clay soils, etc.), as applicable.
» Recommendations for soil stabilization, as applicable. » Recommendations to aid in design of a concrete paver
structural section.
Deliverables
• Draft and Final Report in PDF
Task 7: Utility Coordination
• 7.1 Generate and send out utility “A” letters including the following:
» Exhibit “A” plan of project area
» Record information request and notice to all utility
owners affected by project.
» Continued coordination of all utility agencies through completion of final design
Deliverables
• Utility “A” Letters and Exhibit
• As-Built Plans from Utility Providers in PDF
Task 8: Mural Master Plan
• 8.1 In coordination with the City and stakeholders, the architect will develop a comprehensive Mural Master Plan with the following approach:
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Project Approach & Scope of Services
• 8.2 Three (3) 2-Hour In-Person Workshops Guided by
ARCHITECHNICA with Draft Master Plan
• 8.3 Creation of a “Mural Action Plan” or MAP that will be an Updated Version of the “Historic Resources” Map
Provided in the RFP and Will Identify the Location of Existing Murals, Public Art Installations, and Traffic Light Utility Boxes • 8.4 Final Master Plan
Deliverables
• Electronic/Printed Copies of Mural Master Plan, Meeting Notes, and the MAP
Task 9: Construction Administration/
Consulting
• 9.1 Assist City with bidding process.
• 9.2 Attend pre-construction meeting.
• 9.3 Assist City with review and approve contractor’s
schedule, RFIs, and submittals/shop drawings.
• 9.4 Assist City with review contractor change orders. • 9.5 Construction site visits with follow-up memos (Up to 3 visits).
• 9.6 Punchwalk with follow-up memorandum (1 site visit).
Deliverables
• Submittal and RFI Responses in PDF
• Site Observation Memorandums in PDF
• As-built Drawings in PDF and ACAD
Client to Provide
• Client to provide fees.
• Client to provide site access.
• Client to provide USA requests.
• Existing utility records, including as-builts, record drawings, plans, or GIS information, knowingly possessed by or
available to client.
Assumptions
• CAD deliverables will be prepared using the software noted above. Client shall verify compatibility prior to the start of work.
Additional charges and delays may apply if changes are
requested after the preparation of deliverables has begun. • Survey deliverables will be based on the City of Modesto horizontal datum (per 22-S-051) and the NAVD88 vertical datum using City of Modesto benchmarks. A survey control statement will be provided, including the location, elevation, and description of the benchmark utilized, as well as a horizontal survey coordinate table with the point number, northing, easting, and description for at least three (3) points. • Obstructed or inaccessible areas may not be mapped.
• Assumes improvement plan is one phase and will not be broken into additional phases.
• Assume additional parking studies/design efforts within Clients existing property limits only.
• Pricing subject to increase based on PGE Globals provided after application and JT Intent and Form A
• Assumes geotechnical field work will be performed during daylight hours between 7 a.m. and 4 p.m.
Exclusions
• Mapping of small trees, shrubs, or other minor vegetation • Research, mapping, potholing, locating, or any other form of subsurface utility investigation or verification (unless accepted under task 5)
• Fees, permits, or processing of permits
• Survey monument preservation as defined and required by Section 8771 of the Professional Land Surveyors’ Act (unless accepted under task 5)
• Boundary surveying as defined in Section 8726(c) of the Professional Land Surveyors’ Act
• Preparation of land description packages or other
property/right-of-way acquisition documents
• Special title research, preparation of chain-of-title, and research of documents not maintained in the records of the County Surveyor or County Clerk and Recorder
• Preparation of a record-of-survey map or corner record • Mapping of small trees, shrubs, or other minor vegetation • Modifying/Updating City standard details
• Utility extensions beyond 100 feet from the project site • Utility designs beyond connections/meters located outside of buildings
• Field supervision of construction forces
• Preparation of environmental documents
• Off-site utility analysis
• Off-site improvement plans, studies, or investigations • Traffic control plan and traffic signal design
• Structural, mechanical, and other engineering design
• Dust control plan
• Construction staking
• SWPPP development and QSP services
• PG&E applicant design/PG&E design for gas (unless
accepted under Task 5)
• Street lighting photometric studies
• Traffic signal design
• Temporary electric service for construction trailer
Note
• Land surveyors, civil engineers, landscape architects, geotechnical engineers, electrical engineers, structural engineers, and architects are licensed by the State of
California.
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 11, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Affordable Housing Trust Fund Program
CONTACT: Edgar Garcia, Community Development Manager, [email protected], 209-571-5101
DESCRIPTION:
Consider approving an Agreement with Stanislaus Equity Partners from Modesto, California for an Affordable Housing Trust Fund Program that supports the production and preservation of affordable housing for a total amount not to exceed $500,000. (Funding Source: American Rescue Plan Act).
STRATEGIC PLAN ELEMENT:
This item supports the City of Modesto’s 2020-2025 Strategic Plan Goal C: Develop a Homelessness and Housing Plan.
BACKGROUND:
On August 17, 2022, the Stanislaus Council of Governments (StanCOG) adopted the Cycle 6 (2023-2031) Regional Housing Needs Allocation (RHNA). The Regional Housing Needs Allocation (RHNA) is a state-mandated process that ensures local governments have enough zoned capacity to accommodate future housing demand for households at all income levels. In addition to demonstrating enough zoned capacity to accommodate the total number of allocated units, each jurisdiction must also demonstrate adequate capacity for a certain percentage of units affordable to households earning below 80% of the area median income.
The Stanislaus Council of Governments estimates Modesto’s 2023-2031 Regional Housing Needs Allocation (RHNA) at 11,248 units and requires that 4,750 are affordable units and serve households at or below the 80% area median income.
The housing insecurity and instability that results from the lack of housing affordability impacts people and communities in countless ways, including harming physical and mental health, limiting education outcomes, restricting access to good jobs and economic opportunity, and damaging #6..
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City Council, November 12, 2024
Affordable Housing Trust Fund Program
the environment. Establishing an affordable housing trust fund signals a community’s readiness to address its housing needs.
Additionally, the State has also launched a Local Housing Trust Fund (LHTF) program that provides matching funds to local and regional housing trust funds dedicated to the creation, rehabilitation, or preservation of affordable housing, transitional housing, and emergency shelters.
The LHTF program offers dollar for dollar matching funds to local trust funds on an ongoing basis from both private and public contributions. Local funding may not otherwise be restricted in use under federal or state law for use in housing programs.
To meet the rising need for affordable housing in the community, the City intends to launch an Affordable Housing Trust Fund in partnership with Stanislaus Equity Partners (STEP). Stanislaus Equity Partners (STEP), a Community Development Corporation (CDC), was founded in 2021 to connect neighbors, resources, and opportunities, empowering Stanislaus County residents with access to asset-building opportunities through housing, small business services, and connecting low-to-moderate income communities with access to capital and affordable lending.
As a nonprofit organization and Community Development Corporation, STEP may leverage the matching funds from the State LHTF program and leverage additional private sources to continue to bolster the fund to help it grow in perpetuity.
DISCUSSION:
The Affordable Housing Trust Fund is intended to assist with the financing of affordable housing development, provide resources to support housing developers, and to produce affordable housing within the City of Modesto. Staff is recommending an agreement with STEP to establish an affordable housing trust fund. STEP will facilitate the program implementation, assist with fund management, provide operational and administration support, and program oversight.
The proposed Affordable Housing Trust Fund will support flexible gap financing and bridge loans to preserve and expand affordable housing in the City for low-to-moderate income residents by providing a flexible source of capital for the acquisition and construction of affordable housing.
The program will include the following terms:
Terms:
Land acquisition, rehabilitation or new construction
Gap financing
Interest - Up to 2 points below market interest rate
Project must serve 60%-120% Area Median Income
Loan Term: Not to exceed 10 years
Lien on Property until paid in full.
Funds Revolve upon project or completion or buyout.
As loans are repaid it is a requirement of the Housing Trust Fund to revolve so that the principal and interest being paid are returned to create new opportunities for affordable housing.
In administering the program, STEP will require the following information from any potential partners who want to utilize the funding:
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City Council, November 12, 2024
Affordable Housing Trust Fund Program
Application Requirements:
Project Application
Project Description
Pro-Forma
Proof of Ownership / Title Report
Loan to Value to not exceed 100%
Funding sources identified.
Promissory Note if applicable.
Regulatory Agreement to covenant.
As this loan program continues to grow, STEP will proceed with the following process to grow and sustain the program.
Fund Process Steps:
1. Identify and Secure Key Partners – Developer, Service Providers, Property Managers.
2. Acquire properties which will meet the outcome requirements and the unique needs of the specific community.
3. Concept Design with developers, architects, service providers, and jurisdictions to create a conceptual project plan.
4. Identify and Secure Project Long-term / Permanent Financing (which revolves acquisition funds back to Fund)
The City will work with STEP to identify potential projects. STEP will connect with property owners and partners to identify potential projects, facilitate flexible financing, and provide oversight to streamline affordable housing development within the City.
By partnering with STEP, the City can leverage the local non-profit’s unique capabilities and partner relationships to establish an efficient and streamlined affordable housing trust fund program that supports the production and preservation of affordable housing. Therefore, staff recommends the Affordable Housing Trust Fund to produce and preserve affordable housing through an agreement with STEP.
FISCAL IMPACT:
The Modesto Forward strategy, and the associated spending plan for the American Rescue Plan funds was approved by Resolution 2021-194 on May 25, 2021, that allocated $500,000 in ARPA funding specifically for the establishment of a Housing Trust Fund. There is no impact to the General Fund.
COMMITTEE RECOMMENDATION:
This project was presented to the Citizens’ Housing and Community Development Committee on October 10, 2024, and was recommended to forward to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
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City Council, November 12, 2024
Affordable Housing Trust Fund Program
Resolution approving an Agreement with Stanislaus Equity Partners from Modesto, California for an Affordable Housing Trust Fund Program that supports the production and preservation of affordable housing for a total amount not to exceed $500,000; and authorizing the City Manager, or his designee, to negotiate and execute the Agreement.
Approved by:
________________________________________
Jessica Hill, Director Community and Economic
Development
________________________________________
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. Agreement with Stanislaus Equity Partners
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11/12/2024/CED/EGarcia/Item X 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING AN AGREEMENT WITH STANISLAUS EQUITY
PARTNERS FROM MODESTO, CALIFORNIA FOR AN AFFORDABLE
HOUSING TRUST FUND PROGRAM THAT SUPPORTS THE PRODUCTION
AND PRESERVATION OF AFFORDABLE HOUSING FOR A TOTAL
AMOUNT NOT TO EXCEED $500,000; AND AUTHORIZING THE CITY
MANAGER, OR HIS DESIGNEE, TO NEGOTIATE AND EXECUTE THE
AGREEMENT
WHEREAS, on August 17, 2022, the Stanislaus Council of Governments (StanCOG) adopted the Cycle 6 (2023-2031) Regional Housing Needs Allocation (RHNA); and
WHEREAS, the Regional Housing Needs Allocation (RHNA) is a state-mandated process that ensures local governments have enough zoned capacity to accommodate future housing demand for households at all income levels; and WHEREAS, in addition to demonstrating enough zoned capacity to accommodate the total number of allocated units, each jurisdiction must also demonstrate adequate capacity for a certain percentage of units affordable to households earning below 80% of AMI; and
WHEREAS, the Stanislaus Council of Governments estimates Modesto’s 2023- 2031 Regional Housing Needs Allocation (RHNA) at 11,248 units and requires that 4,750 are affordable units and serve households at or below the 80% area median income; and WHEREAS, the State has also launched a Local Housing Trust Fund (LHTF) program that provides matching funds to local and regional housing trust funds dedicated to the creation, rehabilitation, or preservation of affordable housing, transitional housing, and emergency shelters; and
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11/12/2024/CED/EGarcia/Item X 2 2024-XX
WHEREAS, the LHTF program offers dollar for dollar matching funds to local trust funds on an ongoing basis from both private and public contributions; and WHEREAS, to meet the rising need for affordable housing in the community, the City intends to launch an Affordable Housing Trust Fund in partnership with Stanislaus Equity Partners (STEP) who is a Community Development Corporation (CDC), which was founded in 2021 to connect neighbors, resources, and opportunities, empowering Stanislaus County residents with access to asset-building opportunities through housing, small business services, and connecting low-to-moderate income communities with access to capital and affordable lending; and
WHEREAS, staff is recommending an agreement with Stanislaus Equity Partners to establish an affordable housing trust fund, wherein STEP will facilitate the program implementation, assist with fund management, provide operational and administration support, and program oversight; and
WHEREAS, the Affordable Housing Trust Fund is intended to assist with the financing of affordable housing development, provide resources to support housing developers, and to produce affordable housing within the City of Modesto; and WHEREAS, the proposed Affordable Housing Trust Fund will support flexible gap financing and bridge loans to preserve and expand affordable housing in the City for lowto-moderate income residents by providing a flexible source of capital for the acquisition and construction of affordable housing; and
WHEREAS, by partnering with STEP, the City can leverage the local non-profit’s unique capabilities and partner relationships to establish an efficient and streamlined #6..
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11/12/2024/CED/EGarcia/Item X 3 2024-XX
affordable housing trust fund program that supports the production and preservation of affordable housing; and
WHEREAS, staff recommends the Affordable Housing Trust Fund to produce and preserve affordable housing through an agreement with Stanislaus Equity Partners.
In addition, staff recommends an exemption for STEP from the formal bidding procedures in accordance with Modesto Municipal Code 8-3.204(c) supported by STEP’s proven track record and specialized knowledge in housing development, land banking, and project development loans; and
WHEREAS, the Modesto Forward strategy, and the associated spending plan for the American Rescue Plan funds was approved by Resolution 2021-194 on May 25, 2021, that allocated $500,000 in ARPA funding specifically for the establishment of a Housing Trust Fund; and
WHEREAS, this project was presented to the Citizens’ Housing and Community Development Committee on October 10, 2024, and was recommended to forward to Council for approval.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves an Agreement with Stanislaus Equity Partners from Modesto, California for an Affordable Housing Trust Fund program that supports the production and preservation of affordable housing for a total amount not to exceed $500,000.
BE IT FURTHER RESOLVED, that the City Manager, or his designee, is authorized to negotiate and execute the Agreement, in a form approved by the City Attorney.
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11/12/2024/CED/EGarcia/Item X 4 2024-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November, 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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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
CITY OF MODESTO
AFFORDABLE HOUSING TRUST FUND AGREEMENT
This City of Modesto Affordable Housing Trust Fund Agreement (“Agreement”) is entered into in the City of Modesto, State of California, this ______ day of _______________ 20____ (“Effective Date”) by and between the City of Modesto, a California municipal corporation (“City”), and the Stanislaus Equity Partners, a California nonprofit organization (“Recipient”). The City and the Recipient shall be collectively referred to hereinafter as the “Parties”.
This Agreement is made with regard to the following recitals:
WHEREAS, the City 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 June 22, 2021, by Resolution No. 2021-194, Council approved the Pandemic Recovery Strategy, to support local recovery from the pandemic; and WHEREAS, in alignment with the City’s 5-Year Strategic Plan, the Parties collaborative initiatives aim to develop and implement a comprehensive housing and homeless action plan focused on Governance and Service Delivery and Quality of Life; and WHEREAS, 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, the City desires to contract with the Recipient for special services necessary to meet the needs of affordable housing for residents in the City of Modesto; and WHEREAS, the purpose of the Agreement is to ensure that the funds are used for the acquisition, creation, preservation and support of community housing; and WHEREAS, on November 7, 2023, the City Council adopted Resolution No. 2023-497, awarding a grant of Five Hundred Thousand Dollars ($500,000) under Homeless Support Program to Recipient for the purposes set out in Exhibit A, subject to the terms and conditions set out in this agreement.
NOW THEREFORE, the City and Recipient agree as follows:
1. Term
The term of this Agreement (the “Term”) shall commence upon the effective date and continue upon Recipient’s completion of all requirements of this agreement, unless #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners terminated sooner, in accordance with the section entitled “Termination, Suspension and/or Repayment of Grant”, as set forth elsewhere in this Agreement.
2. Agreement Allocation
A. The amount allocated for the purposes of this agreement shall be in the amount of Five-Hundred Thousand Dollars ($500,000) (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 Funds solely on the Activities, as specified in Exhibit A.
Recipient shall not use the Funds 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 Funds by no later than December 31, 2026. Any portion of the Funds 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 Funds 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.
5. Annual Reporting Requirements
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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:
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 Funds 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 Funds, 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 Funds
The City may terminate, suspend and/or require repayment of the Funds 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;
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; #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners C. The Recipient has a partisan political affiliation and/or participates in partisan political activities.
D. The Recipient uses the Funds 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 it 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 Funds, 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 Davis-Bacon 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 implements ARPA (31 CFR Part 35), any interpretative guidance issued by the United Stated Department of Treasury, and those 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, 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. #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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 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 #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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.
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, #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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: Edgar R. Garcia, Housing and Urban Development Supervisor 1010 10th Street
Modesto, CA 95353
To Recipient:
Stanislaus Equity Partners
Attn: Kevin Smith
820 H Street
Modesto, CA 95350
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 #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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.
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.
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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, coventurers, 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
18. ENTIRE AGREEMENT
This Agreement, including the exhibits attached hereto, represents the entire and integrated agreement between City and Recipient ant 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 #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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 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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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
EXHIBIT A
SCOPE OF WORK
STEP REVOLVING ACQUISITION FUND
PURPOSE
Access to flexible and affordable capital for land and existing property acquisition is a major impediment to housing development and preservation in Stanislaus County.
In response, STEP is developing a Revolving Acquisition Fund. The purpose of the fund is to preserve and expand quality attainable housing for Stanislaus County’s low-to-moderate income residents by providing a flexible source of capital for the acquisition and preservation of attainable housing.
BENEFITS OF A REVOLVING ACQUISITION FUND
Provides needed seed capital for land acquisition therefore lowering overall costs to affordable housing developers.
Revolving: As the properties are sold or refinanced though developers & external financing, the funds are then available to purchase and secure other properties. Smoother and quicker pre-development process.
Access to flexible capital and gap financing for land acquisition and eligible projects.
PROGRAM PROCESS
Land is purchased through STEP’s Revolving Acquisition Fund. Land is secured and covenanted as “affordable”.
Land can then be sold to affordable housing developers or land banked depending on application specifications.
Property is developed by for-profit, non-profit, or public agency developers of attainable housing within Stanislaus County that serve low-to-moderate income residents. Potential Gap Financing for eligible projects.
REQUIREMENTS
Revolving Loan Details
o Land acquisition (or gap financing).
o Long-term affordability by covenant.
o 1-2 points below market interest rate.
o Project must serve 60%-120% AMI.
o Loan Term: Not to exceed 10 years.
o Lien on property until paid in full.
o Funds Revolve upon project completion or buyout.
Application Requirements (projects)
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners o Project Application
o Project Description
o Pro-Forma
o Proof of Ownership / Title Report
o Loan to Value to not exceed 100%
o Funding sources identified.
o Promissory Note if applicable.
o Regulatory Agreement to covenant.
TARGETED FUNDING SOURCES
Jurisdictions
CDFI’s
Other Financial Institutions
Philanthropy
STEPS ROLES / RESPONSIBILITIES
Program Buildout
Fiscal Sponsor of Revolving Acquisition Fund
Fund Management
Operational and Administrative Support
Oversight / Compliance / Accountability
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
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 #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners Treasury or the pass-through entity, as appropriate, any 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 (Non procurement), 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. c. Statutes and regulations prohibiting discrimination applicable to this award include, without limitation, the following:
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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.”
14. Debts Owed the Federal Government.
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners 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 #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners because of LEP is a form of national origin 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 sub-grantees, 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.
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
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 noncompliance 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.
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
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
2 July 1, 2024 – June 30, 2025 July 15, 2025
3 July 1, 2025 – June 30, 2026 July 15, 2026
4 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-andReporting-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. #6..
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Affordable Housing Trust Fund Contribution Agreement – Stanislaus Equity Partners
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:
Project Name:
Reporting Period Start Date:
Reporting Period End Date:
Expenditure Category:
3.11 Housing Support: Services for Unhoused Persons* ^
Please provide a brief description of the activities conducted:
Category Cumulative
Expenditures to
date ($)
Cumulative
Obligations to
date ($)
Current Period
Expenditures
Current Period
Obligations
7 Administrative
7.2 Services for Unhoused Persons
[PLEASE SELECT ONE]
5073279.1
PROJECT
EXPENDITURES
PROJECT STATUS
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 8, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Homeowner Rehabilitation Loan for 1710 Idylwood Court, Modesto, CA 95350 CONTACT: Edgar Garcia, Community Development Manager
[email protected], (209) 571-5101
DESCRIPTION:
Consider approving a First Amendment to the Residential Rehabilitation Loan Agreement with Charles Mark Matteri for health and safety repairs to the residential property located at 1710 Idylwood Court, Modesto, CA 95350 for an additional $11,564 for a total project cost of $110,068. (Funding Source: Community Development Block Grant Funds) STRATEGIC PLAN ELEMENT:
This item supports the City of Modesto’s 2020-2025 Strategic Plan Initiative: Develop a Homelessness and Housing Plan.
BACKGROUND:
The Homeowner Rehabilitation Loan Program is designed to repair or eliminate health and safety hazards in residential properties for qualifying low-income households whose income is 80% or below the Area Median Income. Eligible improvements include roofing, weatherization, heating and cooling systems, plumbing, electrical, ramps, handrails and widening of doorways. Financial assistance is available in the form of low interest loans, secured by Deeds of Trust and recorded against equity qualifying owner-occupied properties. The Housing Rehabilitation Loan Committee (HRLC) is authorized to approve loans up to $99,999; loans more than this amount require City Council approval.
The City’ Housing and Urban Development Policy and Procedures Manual1 established by Resolution No. 2016-425. Each Section of the Policy is updated to maintain program compliance and Section 6 Homeowner Rehabilitation Program Policy lasted amended by Resolution No. 2024-276 is designed to address health and safety concerns in residential properties for qualifying low-income households whose income is 80% or below the Area Median Income. Eligible Improvements include upgrading or replacement of heating, ventilating, 1City of Modesto Housing and Urban Development Policy and Procedure Manual https://www.modestogov.com/1943/Housing-and-Urban-Development-Policy-Man #7..
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City Council, November 12, 2024
Homeowner Rehabilitation Loan for 1710 Idylwood Court, Modesto, CA 95350
Section 6 Homeowner Rehabilitation Program Policy
https://www.modestogov.com/ArchiveCenter/ViewFile/Item/4084 and air conditioning systems; replacement of windows, water heaters, doors, fans; insulation, and leaking roofs. Financial assistance is available in the form of a grant with a maximum award of $10,000 for owner occupied single-family residential units and $25,000 for Modular Homes.
Technical assistance is provided for both programs and includes preparation of work specifications, preparation and review of cost estimates, bidding assistance and coordination with local contractor(s) to ensure work is completed pursuant to applicable Federal & State regulations.
On April 9, 2024, by Resolution No. 2024-111, Council approved an $98,504 Homeowner Rehabilitation Loan and Grant in accordance with the Section 6 Homeowner Rehabilitation Program Policy, for Charles Mark Matteri for health and safety repairs at the residential property located at 1710 Idylwood Court, Modesto, CA 95350.The full project total approved included a twelve percent contingency..
DISCUSSION:
The Homeowner Rehabilitation Program was created to assist with low-income homeowners in need of rehabilitation and health and safety concerns of their property. To ensure quality work, city staff facilitates with procurement of the contractor and oversight of the project. City staff oversees the project to verify timelines and that workmanship standards are adhered toas part of this program the City is responsible for providing funding and project oversight; the homeowner enters into a direct agreement with the awarded contractor.
As part of the City’s role in facilitating and project oversight, these projects are sent out to bid following the City’s already established procurement practices. This project was advertised on Planet Bids on January 22, 2024, and advertised in the Modesto Bee on January 30, 2024. Five general contractors submitted sealed bid packets to the City Clerk. On February 27, 2024, the City Clerk facilitated the bid opening.
The Intent to Award was sent to Garcia Septic & Construction Inc. as the lowest bidder for project 1710 Idylwood Court for $98,504 including a 12% contingency.
Section 6 Homeowner Rehabilitation Program Policy, states in Section 14.0 Cost Reasonableness: “bids received must be not less than or greater than 15% of the Housing Rehabilitation Specialist’s cost estimate.”
On May 7, 2024, a Notice to Proceed was issued to Garcia Septic & Construction Inc. for the project located at 1710 Idylwood Court. The countertops, flooring, cabinets, and sink were initially included in the scope of work; however, the homeowner chose to remove them for budget reasons. During the project the homeowner decided he wanted to add these items back into the scope of work. The countertops are severely damaged, there are missing cabinet doors as well as possible mold and extensive dry rot, which is a result of a previous plumbing leak. The flooring is worn all the way down to the concrete slab. The contractor provided a change order that included these additional costs which City staff assessed for cost reasonableness. This adjustment will increase the total cost by $11,564 to $110,068, which includes a 12% contingency.
Due to the additional repairs required, City staff is recommending an additional $11,564 in loan funding, for Charles Mark Matteri for the property located at 1710 Idylwood Court, Modesto, CA 95350 to complete the necessary health and safety repairs. #7..
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City Council, November 12, 2024
Homeowner Rehabilitation Loan for 1710 Idylwood Court, Modesto, CA 95350
Section 6 Homeowner Rehabilitation Program Policy
https://www.modestogov.com/ArchiveCenter/ViewFile/Item/4084 The project and loan for Charles Mark Matteri for the property located at 1710 Idylwood Court, Modesto, CA 95350 was facilitated and managed in accordance with Section 6 Homeowner Rehabilitation Program Policy of the Housing and Urban Development Policy and Procedures as approved by Resolution 2024-111.
FISCAL IMPACT:
The total project cost is $110,068, which includes a $10,000 Homeowner Rehabilitation Grant and a $100,068 loan. The Homeowner Rehabilitation Program is funded through the Community Development Block Grant Revolving Loan Fund, and Community Development Block Grant Entitlement Fund. Sufficient funds are available to fund the requested project. There is no impact to the General Fund.
COMMITTEE RECOMENDATION:
This item was presented to the Housing Rehabilitation Loan Committee on January 4, 2024, and the Committee approved to forward to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving a First Amendment to the Residential Rehabilitation Loan Agreement with Charles Mark Matteri for health and safety repairs to the residential property located at 1710 Idylwood Court, Modesto, CA 95350 for an additional $11,564, for a total project cost of $110,068, and authorizing the City Manager to execute the Agreements.
Approved by:
Jessica Hill, Director of Community
and Economic Development
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. Resolution 2024-111
3. City of Modesto First Amendment to Residential Rehabilitation Loan Agreement
4. City of Modesto Amended and Restated Secured Promissory Note #7..
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11/12/2024/CED/EGarcia/Item X 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING A FIRST AMENDMENT TO THE RESIDENTIAL
REHABILITATION LOAN AGREEMENT WITH CHARLES MARK MATTERI
FOR HEALTH AND SAFETY REPAIRS TO THE RESIDENTIAL PROPERTY LOCATED AT 1710 IDYLWOOD COURT, MODESTO, CA 95350 FOR AN ADDITIONAL $11,564, FOR A TOTAL PROJECT COST OF $110,068, AND
AUTHORIZING THE CITY MANAGER TO EXECUTE THE AGREEMENTS
WHEREAS, the Homeowner Rehabilitation Program was created to assist with low-income homeowners in need of rehabilitation and health and safety concerns of their property; and
WHEREAS, to ensure quality work, city staff facilitates with procurement of the contractor and oversight of the project; and
WHEREAS, City staff oversees the project to verify timelines and workmanship standards are adhered to as part of this program the City is responsible for providing funding and project oversight; the homeowner enters into a direct agreement with the awarded contractor; and
WHEREAS, as part of the City’s role in facilitating and project oversight, these projects are sent out to bid following the City’s already established procurement practices; and
WHEREAS, the project was advertised on Planet Bids on January 22, 2024, and advertised in the Modesto Bee on January 30, 2024; and
WHEREAS, five general contractors submitted sealed bid packets to the City Clerk and on February 27, 2024, the City Clerk facilitated the bid opening, and #7..
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11/12/2024/CED/EGarcia/Item X 2 2024-XX
WHEREAS, the Intent to Award was sent to Garcia Septic & Construction Inc, as the apparent low bidder for project 1710 Idylwood Court for $98,504 inclusive of a 12% contingency; and
WHEREAS, Section 6: Homeowner Rehabilitation ProgramPolicy, , Resolution 2022-481 states in Section 14.0 Cost Reasonableness: “bids received must be not less than or greater than 15% of the Housing Rehabilitation Specialist’s cost estimate;” and WHEREAS, on May 7, 2024, a Notice to Proceed was issued to Garcia Septic & Construction Inc. for the project located at 1710 Idylwood Court; and WHEREAS, the countertops, flooring, cabinets, and sink were initially included in the scope of work; however, the homeowner chose to remove them for budget reasons; and
WHEREAS, during the project the homeowner decided he wanted to add these items back into the scope of work; and
WHEREAS, the countertops are severely damaged, there are missing cabinet doors as well as possible mold and extensive dry rot, which is a result of a previous plumbing leak, and the flooring is worn all the way down to the concrete slab; and WHEREAS, the contractor provided a change order including costs which City staff assessed for cost reasonableness and this adjustment will increase the total cost by $11,564 to $110,068, which includes a 12% contingency.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a First Amendment to the Residential Rehabilitation Loan Agreement with Charles Mark Matteri for health and safety repairs to the residential #7..
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11/12/2024/CED/EGarcia/Item X 3 2024-XX
property located at 1710 Idylwood Court, Modesto, CA 95350 for an additional $11,564, for a total project cost of $110,068.
BE IT FURTHER RESOLVED that authorizing the City Manager or his designee to execute the agreements in a form approved by the City Attorney. #7..
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11/12/2024/CED/EGarcia/Item X 4 2024-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November 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: ____________________________
DIANA NAYARES-PEREZ, CMC, City Clerk
(SEAL)
APPROVED AS TO FORM:
BY: ____________________________________
JOSE M. SANCHEZ, City Attorney
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04/09/2024/CED/EGarcia/Item 13 1 2024-111
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-111
RESOLUTION APPROVING A HOMEOWNER REHABILITATION LOAN IN THE AMOUNT OF $88,504 AND A HOMEOWNER REHABILITATION GRANT IN THE AMOUNT OF $10,000 FOR A TOTAL PROJECT COST OF $98,504 TO
CHARLES MARK MATTERI FOR HEALTH AND SAFETY REPAIRS TO THE RESIDENTIAL PROPERTY LOCATED AT 1710 IDYLWOOD COURT,
MODESTO, CA 95350 AND AUTHORIZING THE CITY MANAGER, OR HIS
DESIGNEE TO EXECUTE THE AGREEMENTS
WHEREAS, on January 4, 2024 HRLC approved a $88,504 Homeowner Rehabilitation Loan and a $10,000 Homeowner Rehabilitation Grant for Charles Mark Matteri for the property located at 1710 Idylwood Court, Modesto, CA 95350, and WHEREAS, according to Section 6 Homeowner Rehabilitation Program Policies and Procedures approved by resolution 2022-481 by City of Modesto City Council, and WHEREAS, in Modesto Municipal Code 8-3.102, the City Manager is authorized to execute agreements in an amount up to $100,000 and due to the misalignment between the Homeowner Rehabilitation Program and Procedures and the Modesto Municipal Code, staff will be making revisions to the Section 6 policy to ensure it aligns with the City Manager’s signature authority, and
WHEREAS, the project was advertised on Planet Bids on January 22, 2024 and also advertised in the Modesto Bee, and
WHERAS, four general contractors submitted sealed bid packets to the City Clerk. On February 27, 2024 the City Clerk facilitated the bid opening, and WHERAS, Garcia Septic & Construction Inc. of Modesto, California was the apparent low bidder, and
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04/09/2024/CED/EGarcia/Item 13 2 2024-111
WHEREAS, the bid analysis is as follows: number of bids received 5, number of bids in compliance with (Section 6, subsection 14.5) 2, number of bids outside compliance with (Section 6, subsection 14.5) 3, and
WHEREAS, the Intent to Award was sent to Garcia Septic & Construction Inc, as the apparent low bidder for project 1710 Idylwood Court for $98,504 inclusive of a 12% contingency, and
WHEREAS, Section 6: Homeowner Rehabilitation Program Policies & Procedures, Resolution 2022-481 states in Section 14.0 Cost Reasonableness: “bids received must be not less than or greater than 15% of the Housing Rehabilitation Specialist’s cost estimate,” and
WHEREAS, the Homeowner Rehabilitation Program was created to assist with low-income homeowners in need of rehabilitation and health and safety concerns of their property, and
WHEREAS, to ensure quality work, city staff assists with procurement of the contractor and oversight of the project, and
WHEREAS, City staff oversees the project to verify timelines and workmanship standards are adhered to, and
WHEREAS, City is responsible for funding and project oversight and the homeowner is responsible for entering into an agreement with the contractor.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a Homeowner Rehabilitation Loan in the amount of $88,504 and a Homeowner Rehabilitation Grant in the amount of $10,000 to Charles Mark Matteri for #7..
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Rehabilitation Loan Agreement
City of Modesto
FIRST AMENDMENT TO RESIDENTIAL REHABILITATION LOAN AGREEMENT This First Amendment to Residential Rehabilitation Loan Agreement (this “Amendment”) is entered into as of this __________________, 2024, ("Effective Date") by and between the City of Modesto, a California charter city (the “City”) and Mark Matteri, Trustee of Gone Fishing Trust, (“Borrower”). Borrower and City are collectively referred to as the "Parties"
RECITALS
WHEREAS, to further its goal of improving and preserving housing for low and moderate income households, the City has authorized the Residential Rehabilitation Loan Program (the “Program”) pursuant to which the City provides financial assistance to owner-occupants of single family homes to undertake needed repairs and improvements; and
WHEREAS, Borrower is the owner of that certain real property located at 1710 Idylwood Court in the City of Modesto, California (“Property”) as more particularly described in Exhibit A attached hereto and incorporated herein by this reference; and WHEREAS, Borrower and City previously entered into that certain Residential Rehabilitation Loan Agreement, dated May 7, 2024, (the “Loan Agreement”), whereby City provided a loan to Borrower the amount of Eighty-Eight Thousand Five Hundred Four Dollars and Zero Cents ($88,504.00) (the “Loan”) for the purpose of financing a portion of the costs of designing, constructing, and/or installing the improvements to the Property (“Improvements”); and
WHEREAS, Borrower also previously executed (i) a Promissory Note dated May 7, 2024, evidencing the Loan (the “Original Note”); and (ii) a Deed of Trust, Assignment of Rents, Security Agreement and Fixture Filing dated May 7, 2024, and recorded in the Official Records of Stanislaus County as Document No. 2024-0020785 (“Deed of Trust”), provided City with a security interest in the Property in the amount of the Loan; and WHEREAS, Borrower has requested, and City has agreed, to increase the amount of the Loan by Eleven Thousand Five Hundred Sixty-Four Dollars and Zero Cents ($11,564.00) (the “Supplemental Loan”) pursuant to the terms and conditions hereof for the purpose of financing a portion of the costs of designing, constructing, and/or installing the additional improvements to the Property (the “Additional Improvements”).
WHEREAS, the City has determined that (i) the Borrower meets the Program eligibility requirements, and (ii) provision of the Supplemental Loan for the Additional Improvements pursuant to the terms of this Amendment is consistent with the interests of the health, safety and welfare of the residents of the City; and WHEREAS, concurrently herewith Borrower shall execute a secured amended and restated promissory note (the “Amended and Restated Note”) evidencing the Loan as increased by the Supplemental Loan; and
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Rehabilitation Loan Agreement Amendment
City of Modesto
2 WHEREAS, the Amended and Restated Note, and the Loan Agreement as modified by this Amendment, will be secured by the Deed of Trust; and WHEREAS, the Loan Agreement as modified by this Amendment, the Amended and Restated Note, and the Deed of Trust are collectively hereinafter referred to as the “Loan Documents”; and
WHEREAS, Borrower has entered into that certain contract dated November 13, 2024, with Garcia Septic & Construction (the “Contractor”) to construct the Additional Improvements; and
WHEREAS, pursuant to this Amendment, monies disbursed from the Supplemental Loan will be sent directly to the Contractor as payment for services rendered; and
WHEREAS, Capitalized terms used but not defined herein shall have the meaning ascribed to such terms in the Loan Agreement,
NOW THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:
ARTICLE I. SUPPLEMENTAL LOAN
1.1. Amendment of Loan Amount
The parties desire to increase the Loan by Eleven Thousand Five Hundred Sixty-Four Dollars and Zero Cents ($11,564.00) for a total Loan of One Hundred Thousand Sixty-Eight Dollars and Zero Cents ($100,068.00). Section 1.1 of the Loan Agreement is hereby amended to read as follows amended as follows:
“1.1 Loan Amount. City agrees to loan Borrower, and Borrower agrees to borrow from City, a sum not to exceed One Hundred Thousand Sixty-Eight Dollars and Zero Cents ($100,068.00) (the “Loan”) upon the terms and conditions and for the purposes set forth in this Agreement. The Loan shall be evidenced by the Amended and Restated Note, substantially in the form attached hereto as Exhibit B, which shall be dated as of the Effective Date and executed by Borrower.“
1.2. Amendment of Loan Term
The parties desire to extend the Term of the Loan by 20 years. Section 1.2 of the Loan Agreement is hereby amended to read as follows amended as follows:
“1.2 Term. All principal outstanding under the Note, together with interest accrued thereon is due and payable on December 1, 2044 (the “Maturity Date”).
1.3. Amendment of Monthly Payments
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Rehabilitation Loan Agreement Amendment
City of Modesto
3 The parties desire to amend the amount of the Monthly Payments made by Borrower to reflect the increase in the Amount of the Loan. Section 1.4 of the Loan Agreement is hereby amended to read as follows amended as follows:
“1.4 Monthly Payments. Borrower agrees to a deferred loan for Twenty (20) years at three percent (3%) interest. The entire outstanding principal balance of this Amended and Restated Note, and all other sums due hereunder, is due and payable in full on the earlier of the Maturity date or upon the occurrence of an Event of Default as defined in the Agreement.”
Commencing on the date of initial disbursement of the proceeds of the Loan and continuing through the date that all indebtedness and other amounts payable under the Loan Agreement and this Note are paid in full, interest on the Loan shall accrue at the rate of three percent (3%) per annum on the unpaid principal outstanding from time to time
1.4 Use of Proceeds. Borrower shall use the proceeds of the Supplemental Loan (“Supplemental Loan Proceeds”) solely and exclusively to pay for costs billed to Borrower by third-parties in connection with the design and construction of the Additional Improvements and such other costs related to the Additional Improvements as City may approve in writing.
1.5 Disbursement of Supplemental Loan Proceeds. Provided that Borrower has satisfied the conditions set forth in Section 1.6, City shall disburse the Supplemental Loan Proceeds to Borrower in accordance with the provisions of Section 1.9 herein.
1.6 Conditions Precedent to Disbursement of Proceeds. City’s obligation to fund the Supplemental Loan and disburse the Supplemental Loan Proceeds is conditioned upon the satisfaction of all of the following conditions:
(a) Borrower’s execution and delivery to City of this Amendment, the Amended and Restated Note and any other documents reasonably requested by City; (b) Borrower’s delivery to City of evidence reasonably satisfactory to City that Borrower has obtained all necessary permits (including without limitation, building permits), licenses, and approvals required to undertake the Additional Improvements;
(c) Borrower’s delivery to City of (i) the final budget for the Additional Improvements, (ii) the construction contract, (iii) a written requisition substantially in the form attached to the Loan Agreement; (iv) detailed receipts or invoices that match the project description and final budget; (v) proof of payment and (vi) and copies of such other documents related to the Additional Improvements as City may reasonably request; #7..
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Rehabilitation Loan Agreement Amendment
City of Modesto
4 (d) Borrower’s delivery to City of a certification from the City’s Building Department in accordance with Section 2.2.
(e) Borrower’s delivery to City of the insurance certificates required under Section 3.2 of the Loan Agreement.
1.7 No Obligation to Disburse Proceeds Upon Default. Notwithstanding any other provision of this Loan Agreement, the City shall have no obligation to disburse any portion of the Supplemental Loan Proceeds if there is an occurrence of an Event of Default under the Loan Documents.
1.8 Security. The Loan Agreement, as amended by this Amendment, shall be evidence by the Amended and Restated Note, in substantially the form as attached hereto as Exhibit B. The Loan Agreement, as amended by this Amendment, shall continue to be secured by the Deed of Trust.
1.9 Disbursement of Loan Proceeds. Upon satisfaction of the conditions set forth in Section 1.6 herein, City shall make Supplemental Loan disbursements to Contractor following Borrower’s provision to City of a written requisition, in form and substance satisfactory to City as set forth in the Loan Agreement, specifying the amount and use of the requested Supplemental Loan proceeds, accompanied by copies of bills and invoices and such other documentation as City may reasonably require. Subsequent disbursements shall be made to Contractor no more than once per calendar month, upon City’s receipt of written requisitions and supporting documentation as described in this Section.
ARTICLE II
CONSTRUCTION OF THE ADDITIONAL IMPROVEMENTS
2.1 Construction Schedule. Borrower shall commence construction of the Additional Improvements within 30 days following the Effective Date. Borrower shall complete construction of the Improvements and obtain certification from the City’s Building Department in accordance with Section 2.2 no later than one hundred twenty (120) days after the commencement of construction.
2.2 Certification. Promptly after completion of the Additional Improvements, Borrower shall obtain certification from the City’s Building Department certifying that the Improvements have been completed in accordance with Applicable Laws (defined in Section 2.10) and this Amendment.
2.3 Approval of Plans and Specifications. City shall have the right to approve the plans and specifications for the Additional Improvements (“Plans and Specifications”). Borrower must obtain City's written approval of any modification to the Plans and Specifications arising prior to or during the course of construction. City must also approve any additional construction work proposed to be performed during #7..
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Rehabilitation Loan Agreement Amendment
City of Modesto
5 the construction of the Additional Improvements, whether constructed with City funds or Borrower's funds, or funds from any other source.
2.4 Inspections. Borrower shall permit the City’s agents or representatives to enter upon the Property to inspect the Additional Improvements; permit them to examine all detailed plans and shop drawings for the Improvements; and cause the general contractor and/or subcontractors to cooperate with the City in this regard, during normal business hours. If any of the work, in the reasonable opinion of the City, is not being performed in accordance with the approved Plans and Specifications, the City will provide Borrower with written notice of same. Observation by the City of construction shall be for the purpose of protecting the security of the Loan only, and such observation shall in no way be construed as an acknowledgment that the Plans and Specifications for the Additional Improvements have been complied with or that the construction is free from defect or in compliance with the terms of this Amendment.
2.5 Project Approvals. Borrower acknowledges and agrees that execution of this Amendment by City does not constitute approval for the purpose of the issuance of building permits for the Additional Improvements, does not limit in any manner the discretion of City in such approval process, and does not relieve Borrower from the obligation to apply for and obtain all necessary entitlements, approvals, and permits for the Additional Improvements, including without limitation, the approval of architectural plans, the issuance of any certificates regarding historic resources required in connection with the Improvements (if any), and the completion of any required environmental review.
Borrower covenants that it shall: (i) obtain all necessary permits and approvals which may be required by City or any other governmental agency having jurisdiction over the Additional Improvements or the Property, (ii) comply with all Conditions of Approval, (iii) comply with all mitigation measures imposed in connection with any environmental review of the Additional Improvements, and (iv) not commence construction work on the Improvements prior to issuance of building permits required for such work.
2.6 Fees. Borrower shall be solely responsible for, and shall promptly pay when due, all customary and usual fees and charges of City in connection with obtaining building permits and other approvals for the Additional Improvements, including without limitation, those related to the processing and consideration of amendments, if any, to the current entitlements, any related approvals and permits, environmental review, design review, architectural review, historic review, and any subsequent approvals for the Improvements or the development of the Property.
2.7 Cost of Construction. Except as expressly set forth herein, Borrower shall be solely responsible for all direct and indirect costs and expenses incurred in connection with the design, development and construction of the Additional Improvements and compliance with the Conditions of Approval, and none of such costs and expenses shall be the obligation of the City or the City.
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Rehabilitation Loan Agreement Amendment
City of Modesto
6 2.8 Equal Opportunity. During the construction of the Additional Improvements, there shall be no discrimination on the basis of race, color, religion, creed, sex, sexual orientation, marital status, ancestry or national origin in the hiring, firing, promoting or demoting of any person engaged in construction of the Additional Improvements, and Borrower shall direct its contractors and subcontractors to refrain from discrimination on such basis.
2.9 Prevailing Wage Requirements. Borrower shall pay or cause Borrower’s contractors and subcontractors to pay prevailing wages for the construction of the Additional Improvements as those wages are determined pursuant to Labor Code Section 1720 et seq. (“Prevailing Wage Laws”) and shall comply or shall cause the contractors and subcontractors to comply with all applicable local, federal, and state labor standards and prevailing wage provisions.
Borrower shall indemnify, defend (with counsel approved by City) and hold the City and its respective elected and appointed officers, officials, employees, agents, consultants, and contractors (collectively, the “Indemnitees”) harmless 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 directly or indirectly, in whole or in part, are caused by, arise in connection with, result from, relate to, or are alleged to be caused by, arise in connection with, or relate to, the payment or requirement of payment of prevailing wages (including without limitation, all claims that may be made by contractors, subcontractors or other third party claimants pursuant to Labor Code Sections 1726 and 1781) or the requirement of competitive bidding in the construction of the Additional Improvements, the failure to comply with any state or federal labor laws, regulations or standards in connection with this Amendment, including but not limited to the Prevailing Wage Laws, or any act or omission of Borrower related to this Amendment with respect to the payment or requirement of payment of prevailing wages or the requirement of competitive bidding, whether or not any insurance policies shall have been determined to be applicable to any such Claims. It is further agreed that City does not and shall not waive any rights against Borrower which they may have by reason of this indemnity and hold harmless agreement because of the acceptance by City, or Borrower’s deposit with City of any of the insurance policies described in this Amendment. The provisions of this Section 2.9 shall survive the expiration or earlier termination of this Amendment. Borrower’s indemnification obligations set forth in this Section shall not apply to Claims arising from the gross negligence or willful misconduct of the Indemnitees.
2.10 Compliance with Laws. Borrower shall carry out and shall cause its contractors to carry out the construction of the Additional Improvements in conformity with all applicable federal, state and local laws, rules, ordinances and regulations, including without limitation, all applicable federal and state labor laws and standards, the City zoning and development standards, building, plumbing, mechanical and electrical codes, all other provisions of the City's Municipal Code, and all applicable disabled and handicapped access requirements (collectively, “Applicable Laws”). #7..
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Rehabilitation Loan Agreement Amendment
City of Modesto
7 2.11 Insurance. Borrower shall maintain, or cause to be maintained, insurance in the amounts required the Loan Agreement.
2.12 Use of Funds. Borrower covenants that it shall use the Supplemental Loan Proceeds solely for purpose of financing the construction of the Additional Improvements in accordance with this Amendment and the Loan Agreement.
ARTICLE III
MISCELLANEOUS
3.1 Application of Loan Agreement. Except as otherwise specified herein, Borrower’s used to the Supplemental Loan Proceeds to construct the Additional Improvements shall be subject to all of the terms and conditions of the Loan Agreement, including without limitations, Section 3.3 “Indemnification”, and Article 4 “Default and Remedies”.
3.2 Effect on Loan Agreement. Except as expressly provided for herein, all other provisions of the Loan Agreement shall in full force and effect.
IN WITNESS WHEREOF, the undersigned have caused this Amendment to be executed as of the date set forth above.
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Rehabilitation Loan Agreement
City of Modesto
Exhibit A
PROPERTY
The land referred to is situated in the County of Stanislaus, City of Modesto, State of California, and is described as follows:
Lot 14 in Block 6151 of Quaresma Homes Unit No. 5, according to the Official Map thereof, filed in the Office of the Recorder of Stanislaus County, California, on May 1964, in Volume 20 of Maps, at page 73.
APN: 117-001-011
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Rehabilitation Loan Agreement
City of Modesto
Exhibit B
NOTE
(Attach form of Amended and Restated Promissory Note.)
3479832.1
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3843100.1 1
AMENDED AND RESTATED SECURED PROMISSORY NOTE
City of Modesto
Residential Rehabilitation Loan Program
1710 Idylwood Court
Modesto, CA 95350
$100,068.00 _______________, 2024
FOR VALUE RECEIVED, the undersigned, and Mark Matteri, Trustee of Gone Fishing Trust, (“Borrower”), promises to pay to the City of Modesto, a California charter City (“City”), in lawful money of the United States, the principal sum of One Hundred Thousand Sixty-Eight Dollars and Zero Cents ($100,068.00). or so much thereof as may be advanced by City pursuant to the Loan Agreement referred to below, in accordance with the terms and conditions described herein.
This Amended and Restated City of Modesto Residential Rehabilitation Loan Program Secured Promissory Note (this “Amended and Restated Note”) has been executed and delivered pursuant to and in accordance with the terms and conditions of that certain First Amendment to the Residential Rehabilitation Loan Agreement dated as of the date hereof by and between Borrower and City (the “First Amendment”), which modifies that certain Residential Rehabilitation Loan Agreement dated May 7, 2024, (the “Loan Agreement”).
This Amended and Restated Note is subject to the terms and conditions of the First Amendment and Agreement, which are by this reference incorporated herein and made a part hereof. Capitalized terms used but not defined herein shall have the meaning ascribed to such terms in the Agreement, as amended. This Amended and Restated Note shall supersede that certain Residential Rehabilitation Loan Program Secured Promissory Note (“Original Note”) in the original principal sum of Eighty-Eight Thousand Five Hundred Four Dollars and Zero Cents ($88,504.00) to follow with a (Second Loan) Eleven Thousand Five Hundred Sixty-Four Dollars and Zero Cents ($11,564.00) which evidence the Agreement.
This Amended and Restated Note is secured by that certain Deed of Trust and Assignments of Rents dated May 7, 2024, and recorded a document number 2024- 0020785 in the Official Records of Stanislaus County (“Deed of Trust”), executed by Borrower and recorded against the Property in the Official Records of Stanislaus County.
1. PAYMENTS
1.1 TERM. All principal outstanding under this Amended and Restated Note, together with interest accrued thereon is due and payable on December 1, 2044, (the “Maturity Date”).Notwithstanding the foregoing, unless the City agrees otherwise in writing, the entire unpaid principal balance and all other sums accrued under this Amended and Restated Note shall be due and payable upon (i) the occurrence of an Event of Default pursuant to Section 4.1 of the Loan Agreement or (ii) the sale, lease or transfer of the Property prior to the expiration of the term of the Loan. #7..
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3843100.1 2
1.2 MONTHLY PAYMENTS. Borrower agrees to a deferred loan for Twenty (20) years at Three Percent (3%) interest. The entire outstanding principal balance of this Amended and Restated Note, and all other sums due hereunder, is due and payable in full on the earlier of the Maturity date or upon the occurrence of an Event of Default as defined in the Agreement.
1.3 INTEREST RATE. Commencing on the date of initial disbursement of the proceeds of the Loan and continuing through the date that all indebtedness and other amounts payable under the Loan Agreement and this Amended and Restated Note are paid in full, interest on the Loan shall accrue at the rate of Three percent (3%) per annum on the unpaid principal outstanding from time to time.
1.4 PREPAYMENT. Borrower may, without premium or penalty, at any time and from time to time, prepay all or any portion of the outstanding principal balance due under this Amended and Restated Note. Prepayments shall be applied first to any unpaid late charges and other costs and fees then due and then to principal. In no event shall any amount due under this Amended and Restated Note become subject to any rights of offset, deduction or counterclaim on the part of Borrower.
1.5 MANNER OF PAYMENT. All payments on this Amended and Restated Note shall be made to City at P.O. Box 642, Modesto, CA 95353, or such other place as City shall designate to Borrower in writing, or by wire transfer of immediately available funds to an account designated by City in writing.
2. DEFAULTS
2.1 EVENTS OF DEFAULT. The occurrence of any one or more of the following events shall constitute an event of default hereunder (“Event of Default”):
(a) If Borrower fails to pay when due the principal and interest payable under this Amended and Restated Note and such failure continues for ten (10) calendar days after City notifies Borrower thereof in writing.
(b) If any representation or warranty contained in the Loan and Grant Documents or any certificate furnished in connection with the foregoing or in connection with any request for disbursement of Loan Proceeds proves to have been false or misleading in any material adverse respect when made.
(c) Borrower fails to commence and complete construction and/or installation of the Improvements in accordance with Section 2.1 of the Loan Agreement. (d) If an Event of Default shall have been declared under any other Loan and Grant Document, subject to the expiration of any applicable cure period set forth in such documents.
(e) If, pursuant to or within the meaning of the United States Bankruptcy Code or any other federal or state law relating to insolvency or relief of debtors (“Bankruptcy #7..
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3843100.1 3
Law”), Borrower (i) commences a voluntary case or proceeding; (ii) consents to the entry of an order for relief against Borrower in an involuntary case; (iii) consents to the appointment of a trustee, receiver, assignee, liquidator or similar official for Borrower; (iv) makes an assignment for the benefit of its creditors; or (v) admits in writing its inability to pay its debts as they become due.
(f) If an event of default has been declared by the holder of any debt instrument secured by a mortgage or deed of trust on the Improvements or Borrower’s interest in the Property and such holder exercises a right to declare all amounts due under that debt instrument immediately due and payable, subject to the expiration of any applicable cure period set forth in such holder’s documents.
(g) If the Borrower fails to maintain insurance on the Property as required pursuant to the Loan and Grant Documents, and Borrower fails to cure such default within 60 days.
(h) Borrower, or Borrower’s heir ceases to occupy the Property as Borrower’s Principal Residence in accordance with Section 3.5 of the Loan Agreement. (i) Borrower defaults in the performance of any term, provision, covenant or agreement (other than an obligation enumerated in this Section 4.1) contained in the Loan Agreement or unless a shorter cure period for such default is specified herein, the default continues for ten (10) days in the event of a monetary default or thirty (30) days in the event of a nonmonetary default after the date upon which City shall have given written notice of the default to Borrower (or such longer time as City may agree upon in writing), provided that in each case Borrower commences to cure the default within thirty (30) days and thereafter prosecutes the curing of such default with due diligence and in good faith.
2.2 REMEDIES. Upon the occurrence of an Event of Default hereunder, City may, at its option (i) by written notice to Borrower, declare the entire unpaid principal balance of this Amended and Restated Note and all sums due hereunder, immediately due and payable regardless of any prior forbearance, (ii) foreclose on the Property, (iii) exercise any and all rights and remedies available to it under applicable law, and (iv) exercise any and all rights and remedies available to City under this Amended and Restated Note, the Deed of Trust and the Loan Agreement. Borrower shall pay all reasonable costs and expenses incurred by or on behalf of City including, without limitation, reasonable attorneys' fees, incurred in connection with City's enforcement of this Amended and Restated Note and the exercise of any or all of its rights and remedies hereunder.
3. MISCELLANEOUS
3.1 WAIVER. The rights and remedies of City under this Amended and Restated Note shall be cumulative and not alternative. No waiver by City of any right or remedy under this Amended and Restated Note shall be effective unless in writing signed by City. Neither the failure nor any delay in exercising any right, power or privilege under this Amended and Restated Note will operate as a waiver of such right, power or privilege, and no single or partial exercise of any such right, power or privilege #7..
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3843100.1 4
by City will preclude any other or further exercise of such right, power or privilege or the exercise of any other right, power or privilege. To the maximum extent permitted by applicable law (a) no claim or right of City arising out of this Amended and Restated Note can be discharged by City, in whole or in part, by a waiver or renunciation of the claim or right unless in a writing, signed by City; (b) no waiver that may be given by City will be applicable except in the specific instance for which it is given; and (c) no notice to or demand on Borrower will be deemed to be a waiver of any obligation of Borrower or of the right of City to take further action without notice or demand as provided in this Amended and Restated Note. Borrower hereby waives presentment, demand, protest, notices of dishonor and of protest and all defenses and pleas on the grounds of any extension or extensions of the time of payment or of any due date under this Amended and Restated Note, in whole or in part, whether before or after maturity and with or without notice.
3.2 NOTICES. Any notice required or permitted to be given hereunder shall be given in accordance with Section 5.1 of the Loan Agreement.
3.3 SEVERABILITY. If any provision in this Amended and Restated Note is held invalid or unenforceable by any court of competent jurisdiction, the other provisions of this Amended and Restated Note will remain in full force and effect. Any provision of this Amended and Restated Note held invalid or unenforceable only in part or degree will remain in full force and effect to the extent not held invalid or unenforceable.
3.4 GOVERNING LAW; VENUE. This Amended and Restated Note shall be governed by the laws of the State of California without regard to principles of conflicts of laws. Venue shall be Stanislaus County, California.
3.5 PARTIES IN INTEREST. This Amended and Restated Note shall bind Borrower and its successors and assigns and shall accrue to the benefit of City and its successors and assigns.
3.6 SECTION HEADINGS, CONSTRUCTION. The headings of Sections in this Amended and Restated Note are provided for convenience only and will not affect its construction or interpretation.
3.7 RELATIONSHIP OF THE PARTIES. The relationship of Borrower and City under this Amended and Restated Note is solely that of borrower and lender, and the loan evidenced by this Amended and Restated Note will in no manner make City the partner or joint venturer of Borrower.
3.8 TIME IS OF THE ESSENCE. Time is of the essence with respect to every provision of this Amended and Restated Note.
3.9. JOINT AND SEVERAL OBLIGATIONS If this Amended and Restated Note is executed by more than one person as Borrower, the obligations of each shall be joint and several.
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3843100.1 5
3.10 ASSIGNMENT BY LENDER; SUCCESSORS AND ASSIGNS. City may assign its rights to receive the proceeds under this Amended and Restated Note to any person, and upon notice to Borrower of such assignment, all payments shall be made to the assignee. The promises and agreements herein contained shall bind and inure to the benefit of, as applicable, the respective heirs, executors, administrators, successors and assigns of the parties; provided however, Borrower may not assign this Amended and Restated Note without City’s written consent except in accordance with the Loan Agreement and the Deed of Trust.
Executed as of the date first written above.
BORROWER
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 15,2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: First Amendment to the Agreement with Modesto Gospel Mission CONTACT: Edgar Garcia, Community Development Manager, [email protected], 209-571-5101
DESCRIPTION:
Consider approving the First Amendment to the Modesto Forward Agreement for the continued operations of a low-barrier Safe Sleeping Program with the Modesto Gospel Mission, Modesto, California increasing the Agreement amount by $100,000 for a total amount not to exceed $200,000. (Funding Source: American Rescue Plan Act)
STRATEGIC PLAN ELEMENT:
This item supports the City of Modesto’s 2020-2025 Strategic Plan Goal C: Develop a Homelessness and Housing Plan.
BACKGROUND:
On October 20, 2023, the City Council considered a comprehensive update on available housing and homelessness programs and explored strategic homeless response options that can be made available to meet the growing needs of the population, including additional services in the community that are low barrier.
In response to the rising need for homelessness services, the City Council approved Resolution No. 2023-497 on November 7, 2023, allocated $100,000 in American Rescue Plan Act (ARPA) funds to Modesto Gospel Mission (MGM) for the purpose of piloting a Safe Sleeping Program.
The program has made temporary sleeping arrangements available for women and children at the MGM Chapel. The services have included an assigned cot, clothing, showers, case management and referral services to other service providers in the community.
Since the program started in December 2023, the MGM Safe Sleep Program has provided services to 129 women experiencing homelessness with a safe and secure place to sleep, case management services, meals, showers, and assisted to meet many other basic needs. The program has also assisted a total of 8 individuals with transitional housing opportunities. #8..
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City Council, November 12, 2024
First Amendment to the Agreement with Modesto Gospel Mission
DISCUSSION:
For over six years MGM has maximized capacity utilizing the chapel and other spaces into temporary shelter space to accommodate women and children. MGM anticipates completing construction of Hannah’s House in the Spring of 2025 which will provide a dedicated space for women with children to increase the capacity of individuals served, enhance accommodations, and provide expanded services. As women and children transition into Hannah’s House the Safe Sleep Program will also transition to provide program services to men experiencing homelessness in the community.
As such, to continue to build on the success of the Safe Sleep Program, the City is recommending a First Amendment to increase the Agreement amount by $100,000 for a revised total not to exceed $200,000. The increase in funding will continue to support individuals experiencing homelessness with a place to sleep that is safe from the elements and other unsafe environmental factors from 8:30 pm to 6:30 am, as well as drop-in and wrap around services seven days per week.
The amended project budget, as shown below, is estimated to help support an additional 100 unduplicated individuals through May 2026.
Line Item Original Agreement First Amendment
Total Revised
Agreement
Case Manager $ 77,498 $ 40,000 $ 117,498
Security $ - $ 37,400 $ 37,400
Utilities $ 4,800 $ 5,000 $ 9,800
Food $ 2,500 $ 1,400 $ 3,900
Admin $ 4,936 $ 4,800 $ 9,736
Indirect Costs $ 2,468 $ 2,400 $ 4,868
Facility and Equipment $ 3,298 $ 4,500 $ 7,798
Repairs and Maintenance $ 4,500 $ 4,500 $ 9,000
Total $ 100,000 $ 100,000 $ 200,000
FISCAL IMPACT:
This amendment will increase the agreement amount by $100,000 for a total amount not to exceed $200,000. The project is currently budgeted in Project 101549 of the ARPA allocation for Homeless Support Programs. There is no impact to the General Fund.
COMMITTEE RECOMMENDATION:
This project was presented to the Citizens’ Housing and Community Development Committee on September 12, 2024, and was recommended to forward to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving a First Amendment to the Modesto Forward Agreement for the continued operations of a low-barrier Safe Sleeping Program with the Modesto Gospel Mission, Modesto, California increasing the Agreement amount by $100,000 for a total amount not to exceed $200,000 until program funds are fully expended and authorizing the City Manager, or his #8..
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City Council, November 12, 2024
First Amendment to the Agreement with Modesto Gospel Mission
designee, to execute the Amendment.
Approved by:
Jessica Hill, Director of Community
and Economic Development
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. First Amendment
3. Original Agreement
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11/12/2024/CED/EGarcia/Item X 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING A FIRST AMENDMENT TO THE MODESTO
FORWARD AGREEMENT FOR THE CONTINUED OPERATIONS OF A LOWBARRIER SAFE SLEEPING PROGRAM WITH THE MODESTO GOSPEL
MISSION, MODESTO, CALIFORNIA INCREASING THE AGREEMENT
AMOUNT BY $100,000 FOR A TOTAL AMOUNT NOT TO EXCEED $200,000
UNTIL PROGRAM FUNDS ARE FULLY EXPENDED AND AUTHORIZING
THE CITY MANAGER, OR HIS DESIGNEE, TO EXECUTE THE
AMENDMENT
WHEREAS, on November 7, 2023, City Council approved by Resolution 2023- 497, an agreement in the amount of $100,000 with Modesto Gospel Mission (MGM) to implement a low-barrier safe sleeping program for women and their children; and WHEREAS, since the program inception in December 2023, the MGM Safe Sleep program has provided 129 unique individuals experiencing homelessness with a safe and secure place to sleep, case management services, meals, showers, and assisted many other basic needs; and
WHEREAS, to continue to build on the success of the Safe Sleep Program, the City is recommending a First Amendment to increase the Agreement amount by $100,000 for a revised total not to exceed $200,000; and WHEREAS, the increase in funding will continue to support individuals experiencing homelessness with a place to sleep that is safe from the elements, and other environmental factors 8:30 pm to 6:30 am, and drop-in and wrap around services 7 days per week; and
WHEREAS, for over six years MGM has maximized capacity utilizing the chapel and other spaces into temporary shelter space to accommodate women and children; and #8..
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11/12/2024/CED/EGarcia/Item X 2 2024-XX
WHEREAS, MGM anticipates completing construction of Hannah’s House in the spring of 2025, which will provide a dedicated space dedicated to woman and children to increase the capacity of individuals served, enhance accommodations, and provide expanded services; and
WHEREAS, as women and children transition into Hannah’s House the Safe Sleep Program will also transition into provide safe sleep shelter services to men experiencing homelessness in the community.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a First Amendment to the Modesto Forward Agreement for the continued operations of a low-barrier safe sleeping program with the Modesto Gospel Mission, Modesto, California increasing the Agreement amount by $100,000 for a total not to exceed $200,000 until program funds are fully expended.
BE IT FURTHER RESOLVED, that the City Manager, or his designee, is authorized to execute the Amendment, in a form approved by the City Attorney. #8..
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11/12/2024/CED/EGarcia/Item X 3 2024-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November, 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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FIRST AMENDMENT
TO
CITY OF MODESTO PANDEMIC RECOVERY STRATEGY - MODESTO FORWARD
GRANT AGREEMENT
Reference is made to the Grant Agreement (the “Agreement”) dated December 7, 2023, by and between the CITY OF MODESTO, a California charter city ("City"), and the Modesto Gospel Mission, a California nonprofit organization, hereinafter referred to as (“Recipient”). The City and Recipient shall be collectively referred to hereinafter as the “Parties”. The Parties enter into this First Amendment as of_______________________.
WHEREAS, the Parties entered into the Agreement pursuant to which Recipient would perform duties and render services as described in the Scope of Work of the Agreement regarding the planning, implementation, or execution of such Grant Agreement Program; WHEREAS, the parties desire to increase the amount of the Agreement in order to pay for the extended term and establish a budget for the services; and WHEREAS, all other terms and conditions of the Agreement shall remain in full force and effect.
NOW THEREFORE, the Parties hereby agree to the following revisions:
1. Grant Award. Subsection (a) of Section 2, “Grant Award”, of the Agreement is hereby amended to read as follows:
“a. The City shall provide Recipient with a grant of City of Two-Hundred Thousand Dollars ($200,000) (the “Grant”) for the purposes and activities further specified in Exhibit A, attached here to and incorporated by referenced (the “Activities”). Disbursement of the Grant is dependent upon the Recipient providing all records and documentation reasonably required by the City. The Grant shall be expended in accordance with the budget set forth in Exhibit E, attached hereto and incorporated herein.”
2. Budget. Exhibit E, of the Agreement shall be the budget attached to this First Amendment as Attachment 1, attached hereto and incorporated herein.
3. Except as provided by this First Amendment, all other terms and conditions of the Agreement shall remain in full force and effect.
IN WITNESS WHEREOF, the parties have caused this First Amendment to be duly executed. #8..
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ATTACHMENT 1
EXHIBIT E
PROGRAM BUDGET
Line Item Original Agreement First Amendment
Total Revised
Agreement
Case Manager $ 77,498 $ 40,000 $ 117,498
Security $ - $ 37,400 $ 37,400
Utilities $ 4,800 $ 5,000 $ 9,800
Food $ 2,500 $ 1,400 $ 3,900
Admin $ 4,936 $ 4,800 $ 9,736
Indirect Costs $ 2,468 $ 2,400 $ 4,868
Facility and Equipment $ 3,298 $ 4,500 $ 7,798
Repairs and Maintenance $ 4,500 $ 4,500 $ 9,000
Total $ 100,000 $ 100,000 $ 200,000
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Funding Contribution Agreement – The Modesto Gospel Mission
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 _______________ 20____ (“Effective Date”) by and between the City of Modesto, a California municipal corporation (“City”), and the Modesto Gospel Mission, a California nonprofit organization (“Recipient”). The City and the Modesto Gospel Mission shall be collectively referred to hereinafter as the “Parties”.
This Agreement is made with regard to the following recitals:
WHEREAS, the City 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 June 22, 2021, by Resolution No. 2021-194, Council 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 to unhoused persons; and WHEREAS, on November 7, 2023, the City Council adopted Resolution No. 2023-497, awarding a grant of One Hundred Thousand Dollars ($100,000) under Homeless Support Program to Recipient for the purposes set out in Exhibit A, subject to the terms and conditions set out in this agreement.
NOW THEREFORE, the City and Recipient agree as follows:
1. Term
The term of this Agreement (the “Term”) shall commence upon the effective date and shall terminate upon the Recipient’s completion of all requirements of this Agreement.
2. Grant Award
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 7th December 23
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Funding Contribution Agreement – The Modesto Gospel Mission A. The City shall provide Recipient with a grant of City of One-Hundred Thousand Dollars ($100,000) (the “Grant”) for the purposes and activities further specified in Exhibit A, attached here to 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.
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.
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:
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission 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;
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.
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission 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 it 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 Davis-Bacon 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 implements 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, 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 DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission 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 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.
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission 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.
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, DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission 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: Edgar R. Garcia, Housing and Urban Development Supervisor 1010 10th Street
Modesto, CA 95353
To Recipient:
The Modesto Gospel Mission
Attn: Jason Conway
1400 Yosemite Blvd
Modesto, CA 95354
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.
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Funding Contribution Agreement – The Modesto Gospel Mission 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.
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.
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Funding Contribution Agreement – The Modesto Gospel Mission 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, coventurers, 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
18. ENTIRE AGREEMENT
This Agreement, including the exhibits attached hereto, represents the entire and integrated agreement between City and Recipient ant 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.
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Funding Contribution Agreement – The Modesto Gospel Mission 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 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 MOU as of the effective date set forth above.
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Funding Contribution Agreement – The Modesto Gospel Mission EXHIBIT A – SCOPE OF WORK
1. The Modesto Gospel Mission shall operate the Safe Sleeping Program in accordance with the following scope of work:
2. Modesto Gospel Mission will provide a place to sleep that is safe from the elements, pests, and other unsafe environmental factors. The program will include on-site security during program hours.
3. The Modesto Gospel Mission shall operate a drop in Safe Sleeping with unrestricted access from 8:30 pm to 6:30 am.
4. The program will operate 7 days per week for 12 months.
5. The Modesto Gospel Mission will serve women, and women with children regardless of gender, through the age of 18 who are experiencing homelessness. The program shall serve up to 40 individuals.
6. The Modesto Gospel Mission shall provide access to bathrooms and showers to Safe Sleeping participants
7. The Modesto Gospel Mission shall provide meals to Safe Sleeping participants.
8. .
9. The Modesto Gospel Mission shall provide on-site case management services to Safe Sleeping participants which include assessing, arranging, coordinating, and monitoring the delivery of individualized services to meet the needs of participants.
10. The case management services and activities will include but are not limited to the following:
a. Using the centralized or coordinated assessment system as required b. Counseling
c. Developing, securing, and coordinating services and obtaining Federal, State, and local benefits;
d. Monitoring and evaluating program participant progress; e. Providing information and referrals to other providers; f. Providing ongoing risk assessment and safety planning with victims of domestic violence, dating violence, sexual assault, and stalking; and g. Developing an individualized housing and service plan, including planning a path to permanent housing stability.
h. Teaching skills including those skills that can be used to secure and retain a job, including the acquisition of vocational licenses and/or certificates.
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Funding Contribution Agreement – The Modesto Gospel Mission i. Services that assist individuals in securing employment consisting of employment screening, assessment, or testing; structured job skills and job-seeking skills; special training and tutoring, including literacy training and prevocational training; books and instructional material; counseling or job coaching; and referral to community resources.
j. Services necessary to assist program participant to function independently in the community. resolving conflict, shopping for food and needed items, improving nutrition, using public transportation, parenting.
11. The Modesto Gospel Mission shall coordinate and collaborate with community partners to provide service referrals such as meals, substance abuse, mental health, legal services, fair housing services, and health services, and other services as needed by those individuals served and maintain a record of collaboration of partnerships.
12. The Modesto Gospel Mission shall complete HMIS program set-up(s) forms and enter Safe Sleeping participant enrollment, services, and exit data into the Homeless Management System (HMIS).
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Funding Contribution Agreement – The Modesto Gospel Mission
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 DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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Funding Contribution Agreement – The Modesto Gospel Mission Treasury or the pass-through entity, as appropriate, any 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. c. Statutes and regulations prohibiting discrimination applicable to this award include, without limitation, the following:
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Funding Contribution Agreement – The Modesto Gospel Mission 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.”
14. Debts Owed the Federal Government.
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Funding Contribution Agreement – The Modesto Gospel Mission 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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Funding Contribution Agreement – The Modesto Gospel Mission 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).
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Funding Contribution Agreement – The Modesto Gospel Mission because of LEP is a form of national origin 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 sub-grantees, 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.
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Funding Contribution Agreement – The Modesto Gospel Mission
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 noncompliance 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.
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Funding Contribution Agreement – The Modesto Gospel Mission
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-andReporting-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.
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Funding Contribution Agreement – The Modesto Gospel Mission The Salvation Army
202x Annual Report
GENERAL OVERVIEW
Uses of Funds
Describe in further detail contractor’s intended and actual uses of the funds, such as how contractor’s approach would help support individuals experiencing homelessness. Describe any strategies employed to maximize programmatic impact and effective, efficient, and equitable outcomes. Given the broad eligible uses of funds and the specific needs of the jurisdiction, explain how the funds would support the communities, and target population. Address how you are promoting each of the following Expenditure Categories, to the extent they apply:
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Funding Contribution Agreement – The Modesto Gospel Mission
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: Project Name:
Reporting Period Start Date: Reporting Period End Date:
Expenditure Category:
3.11 Housing Support: Services for Unhoused Persons* ^
Please provide a brief description of the activities conducted:
Category Cumulative
Expenditures to
date ($)
Cumulative
Obligations to
date ($)
Current Period
Expenditures
Current Period
Obligations
7 Administrative
7.2 Services for Unhoused Persons
[PLEASE SELECT ONE]
5073279.1
PROJECT
EXPENDITURES
PROJECT STATUS
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 #8..
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CITY OF MODESTO,
a municipal corporation
BY: ____________________________
JOSEPH P. LOPEZ, City Manager
ATTEST:
(Seal)
BY: ____________________________
DIANE NAYARES-PEREZ, CMC,
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 ALGER, Director of
Human Resources
Federal ID # ___________
DocuSign Envelope ID: 2D4822BF-D04F-4341-BADB-6890C20C36F2 Modesto Gospel Mission
94-6102833
Jason Conway CEO
John Villines COO
12/22/2023
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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 23, 2024
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Toby Wells, Director of Engineering Services/City Engineer SUBJECT: Summary Vacation of Wagner Way
CONTACT: Jaspreet Mangat, Senior Civil Engineer, [email protected], 209-577-5253
DESCRIPTION:
Consider approving the summary vacation of Wagner Way (approximately 39,451 square feet) right-of-way, public utility easement, and planting easement. (Funding Source: Not Applicable) STRATEGIC PLAN ELEMENT:
The recommended action supports the City’s 2020-2025 Strategic Goal “Ensure Safe, Efficient, and Reliable Infrastructure”.
BACKGROUND:
Kiernan Business Park Specific Plan was adopted by the City Council on April 1, 1997, by Resolution No. 97-159. City Planning Commission adopted the Mitigated Negative Declaration and approved the Mana Development and Wagner Family Properties Vesting Tentative Parcel Map VTPM-07-007 on October 15, 2007, by Resolution No. 2007-48 which was then recorded at the County Recorder’s Office as Parcel Map 56-PM-81 on September 11, 2012.
Accessor Parcel Number (APN) 078-018-021 was split into two parcels and created APN 078- 018-051 and APN 078-018-052 each approximately nine (9) acres and future Wagner Way was irrevocably offered for dedication to the City of Modesto per Document No. 2012-0113288 and Document No. 2012-0113289 on December 13, 2012. The Public Utility Easements were irrevocably offered for dedication per the Document No. 2012-0113285 and 2012-0113286. The Planting Easement was irrevocably offered for dedication as per the Document No. 2012-0113284 and 2012-0113287.
DISCUSSION:
The property owner has applied to the City for Tentative Subdivision Map (TSM-24-002) which is in review with City Staff. The preliminary review of the map requires Wagner Way to be vacated to construct the future improvements of the TSM 24-002. Wagner Way was reserved for future road construction, however the development plans for the property have now changed. There are #9..
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City Council, November 12, 2024
Summary Vacation of Wagner Way
no City utilities or other easements on Wagner Way. Therefore, Staff recommends the summary vacation of Wagner Way and related easements. Pursuant to California Streets and Highways Code - Division 9, Part 3, Chapter 4 Article 1, Section 83311, the roadway is eligible for a summary vacation.
FISCAL IMPACT:
There is no fiscal impact to the City caused by this proposed action.
COMMITTEE RECOMMENDATION:
This item was presented to the Economic Development Committee on November 4, 2024, and was recommended for forwarding to Council for approval.
RECOMMENDED COUNCIL ACTION:
Staff Recommendations:
Resolution approving the summary vacation of Wagner Way (approximately 39,451 square feet) right-of-way, public utility easement, and planting easement.
Approved by:
Toby Wells, Director of Engineering Services/
City Engineer
Joseph P. Lopez, City Manager
Attachments:
1. Resolution
2. Exhibit A & B - Legal Description for Wagner Way, Public Utility and Planting Easement 1 “The legislative body of a local agency may summarily vacate a street or highway if both of the following conditions exist:
(a) For a period of five consecutive years, the street or highway has been impassable for vehicular travel. (b) No public money was expended for maintenance on the street or highway during such period.” #9..
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11/12/2024/ESD/JMangat/ItemX 1 2024-XX
MODESTO CITY COUNCIL
RESOLUTION NO. 2024-XX
RESOLUTION APPROVING THE SUMMARY VACATION OF WAGNER
WAY (APPROXIMATELY 39,451 SQUARE FEET) RIGHT OF WAY, PUBLIC
UTILITY EASEMENT, AND PLANTING EASEMENT
WHEREAS, California Streets and Highways Code - Division 9, Part 3, Chapter 4 Article 1, Section 8331, states “The legislative body of a local agency may summarily vacate a street or highway if both of the following conditions exist: (a) For a period of five consecutive years, the street or highway has been impassable for vehicular travel. (b) No public money was expended for maintenance on the street or highway during such period”; and
WHEREAS, the City of Modesto has received the request from the Valley Development Partners, LLC and Wagner Family Properties, L.P. to summary vacate the approximately 39,451 square feet between of Wagner Way APN 078-018-051 and APN 078-018-052; and
WHEREAS, the Wagner Way, Public Utility Easement and Planting easement were irrevocably offered for dedication to the City of Modesto by the developer as per Document No. 2012-0113288, 2012-0113289, 2012-0113285, 2012-0113286, 2012- 0113284 and 2012-0113287 recorded on December 13, 2012; and WHEREAS, the Tentative Subdivision Map TSM-24-002 has submitted to the City for review; and
WHEREAS, City Staff has reviewed the proposed map and agree with the proposed summary vacation of the Wagner Way; and
WHEREAS, there are no city utilities or other easements in this area. #9..
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11/12/2024/ESD/JMangat/ItemX 2 2024-XX
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that the existing Wagner Way (approximately 39,451 square feet) located in the City of Modesto, which is more particularly described in Exhibit “A and B” attached hereto and incorporated herein by reference, is hereby summarily abandoned.
BE IT FURTHER RESOLVED that the City Clerk is hereby directed to record a certified copy of this resolution in the Stanislaus County Recorder’s Office. From and after the date this resolution is recorded, said right of way, public utility easements and planting easements shall no longer constitute to be public. #9..
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11/12/2024/ESD/JMangat/ItemX 3 2024-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 12th day of November, 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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CITY OF MODESTO
COUNCIL AGENDA REPORT
DATE OF MEETING:
November 12, 2024
Date: October 17, 2024
TO: Mayor and Council
THROUGH: Joseph P. Lopez, City Manager
FROM: DeAnna Christensen, Director of Finance
SUBJECT: Purchase of Circle Clamps, Gaskets, Pipe Couplings and Tapping Sleeves CONTACT: Dianne Love, Purchasing Manager, [email protected], (209) 571-5164 DESCRIPTION:
Consider approving an Agreement for Circle Clamps, Gaskets, Pipe Couplings and Tapping Sleeves with Ferguson Waterworks, Modesto, CA and Pace Supply, Stockton, CA, for a combined total amount not to exceed $3,357,737 over five years. (Funding Source: Water and Wastewater Funds)
STRATEGIC PLAN ELEMENT:
This item supports the City of Modesto 2020-2025 Strategic Plan focus of Governance and Service Delivery under Goal H: Achieve Financial Sustainability.
BACKGROUND:
The Finance Department, Central Stores Division inventories circle clamps, gaskets, pipe couplings and tapping sleeves for the Utilities Water Division for use in the setup and repair of water main lines and installation of residential water services and meters.
Competitively bidding and inventorying these products benefits the City in many ways including the following:
Obtaining best pricing through economies of scale
Products readily available in one location
Staff time reduction in processing one-time bids throughout the year On July 14, 2020, by Resolution 2020-306, Council approved the Award of Bid and Purchasing Agreement for the purchase of circle clamps, gaskets, pipe couplings, tapping sleeves and sewer materials with Ferguson Waterworks, Modesto, CA, for a one-year Agreement with four (4) one-year extension options for an estimated annual cost of $340,000 and a total amount not to exceed $1,700,000 over five (5) years.
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City Council, November 12, 2024
Purchase of Circle Clamps, Gaskets, Pipe Couplings and Tapping Sleeves