Modesto City Council
February 24, 2026

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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, February 24, 2026 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 California Government Code section 54953.8.3.
*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 Senate Bill 707, California Government Code section 54953.8.3. 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.

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Joining the City Council meeting via Telephone
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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 https://www.modestogov.com/865/Americans-with-Disabilities-Act-ADA - 2 -
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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
City Clerk’s Announcements
Declaration of Conflicts of Interest
Reports from Closed Session

MISCELLANEOUS
Legislation, Appointments, Other

1. Consider accepting the resignation of Abimael Chavez-Hernandez from the Citizens’ Salary Setting Commission and approving the appointment of Seth Simas to the Citizens’ Salary Setting Commission to serve a partial unexpired term expiring on December 31, 2028. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution accepting the resignation of Abimael Chavez-Hernandez from the Citizens’ Salary Setting Commission.
 Resolution appointing Seth Simas to serve an unexpired partial term with an expiration of December 31, 2028 to serve on the Citizens’ Salary Setting Commission.

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

2. Consider approving the appointment of Margie Johnson as the Citizen’s Housing and Community Development Committee (CH&CDC) Representative to the Housing Rehabilitation Loan Committee (HRLC), with a term expiration of December 31, 2026. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving the appointment of Margie Johnson to the Housing Rehabilitation Loan Committee as a Citizen’s Housing and Community Development (CH&CDC) Representative with a term expiration of December 31, 2026.

CED; Edgar Garcia, 209-571-5101, [email protected] - 3 -
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PUBLIC COMMENT PERIOD
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 Council member.

Consent

3. Consider approving the Minutes for the February 10, 2026 Council Meeting. (Funding Source: Not Applicable)
Staff Recommendation:
 Motion approving the Minutes for the February 10, 2026 Council Meeting.

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

4. Consider approving Final Adoption of Ordinance 3806-C.S. approving Tivoli Specific Plan Amendment No. 6 to Amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six lane arterial streets to four lane arterial streets, and to amend text in Chapter 9 relative to specific plan administration, and to reaffirm prior major amendments to the Tivoli Specific Plan adopted by City Council Resolution. (Funding Source: Not Applicable) Staff Recommendation:
 Motion approving Final Adoption of Ordinance 3806-C.S. approving Tivoli Specific Plan Amendment No. 6 to Amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six lane arterial streets to four lane arterial streets, and to amend text in Chapter 9 relative to specific plan administration, and to reaffirm prior major amendments to the Tivoli Specific Plan adopted by City Council Resolution.

CITY CLERK; Diane Nayares-Perez, 209-577-5397, [email protected] - 4 -
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Consent

5. Consider approving the sale of 10,000 square feet of surplus exempt property identified as Assessor’s Parcel Number 133-001-026 located at Frazine Rd. in the amount of $75,000, and the sale of 2,474 square feet of surplus exempt property identified as Assessor’s Parcel Number 029-012-050 located at Carpenter Rd. in the amount of $10,000. (Funding Source: Water Fund)
Staff Recommendation:
 Resolution approving the sale of 10,000 square feet of surplus exempt property identified as Assessor’s Parcel Number 133-001-026, located at Frazine Rd. in the amount of $75,000 to Troy Nolan Wells and authorizing the City Manager, or his designee, to execute the Purchase and Sale Agreement and all related documents required to complete the transaction.
 Resolution approving the sale of 2,474 square feet of surplus exempt property identified as Assessor’s Parcel Number 029-012-050 located at Carpenter Rd. in the amount of $10,000 to Jason Schlarb and authorizing the City Manager, or his designee, to execute the Purchase and Sale Agreement and all related documents required to complete the transaction.

CITY MANAGER; Scotty Douglass, 209-577-9149, [email protected] Consent

6. Consider approving the Fiscal Year 2024-25 Write-off and Adjustment Reports through Fiscal Year-End June 30, 2025, in the total amount of $113,621. (Funding Source: Various Funds)
Staff Recommendation:
 Resolution approving the Fiscal Year 2024-25 Write-off and Adjustments Report through Fiscal Year-End June 30, 2025 in the total amount of $113,621 and directing a report of disposition to be filed with the City Clerk.

CED; Edgar Garcia, 209-571-5101, [email protected] Consent

7. Consider approving a Second Amendment with Kosmont Companies to expand the scope of services to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project. (Funding Source:

American Rescue Plan Act (ARPA) Funds)
Staff Recommendation:
 Resolution approving a Second Amendment with Kosmont Companies to expand the scope of services to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project, and authorizing the City Manager, or designee, to execute the Second Amendment.

CED; Taranjot Khehra, 209-577-5239, [email protected] - 5 -
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Consent

8. Consider granting two non-exclusive easements to Modesto Irrigation District for electrical utility access on a portion of César E. Chávez Park (APN 103-018-001). (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving two non-exclusive easements to Modesto Irrigation District for electrical utility access on a portion of César E. Chavez Park (APN 103-018-001) and authorizing the City Manager, or his designee, to execute the easements.

ENGINEERING SERVICES; Nathan Houx, 209-571-5526, [email protected] Consent

9. Consider dedication and acceptance of a Public Utility Easement and Irrigation Easement on City-owned parcel (APN 085-003-093) near the northwest corner of Briggsmore Avenue and Claus Road. (Funding Source: Not Applicable) Staff Recommendation:
 Resolution approving the dedication and acceptance of a Public Utility Easement and Irrigation Easement on City-owned property (Assessor’s Parcel Number 085-003-093) near the northwest corner of Briggsmore Avenue and Claus Road, and authorizing the City Manager, or his designee, to execute and record the necessary documents.

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

10. Consider approving an additional payment of $70,150 for a total amount not to exceed $350,872 to Pacific Gas & Electric for Relocation of Gas Line Infrastructure for the State Route 132 Phase 1 Project. (Funding Source: Capital Facility Fees) Staff Recommendation:
 Resolution approving an additional payment of $70,150 for a total amount not to exceed $350,872 to Pacific Gas & Electric for Relocation of Gas Line Infrastructure for the State Route 132 Phase 1 Project.

ENGINEERING SERVICES; Toby Wells, 209-571-5542, [email protected] Consent

11. Consider an Agreement for the furnishing of City-Wide Shredding Services to Pacific Storage Company, Modesto, CA for a total amount not to exceed $165,000 over five years. (Funding Source: Various Funds)
Staff Recommendation:
 Resolution approving the Award of Bid and Agreement for City-Wide Shredding Services to Pacific Storage Company, Modesto, CA for a two-year agreement with three one-year extension options, for an estimated annual amount of $33,000 and a total amount not to exceed $165,000 over five years; and authorizing the City Manager or his designee, to execute the Agreement.

FINANCE DEPARTMENT; Dianne Love, 209-571-5164, [email protected] - 6 -
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Consent

12. Consider approving the use of proceeds, credits, or reimbursements, from the sale or recycling of expended brass shell casings, with any vendor providing such services, including the existing credit of $16,990 with Miwall Corporation, Grass Valley, CA, to be applied toward the purchase of new ammunition for the Modesto Police Department. (Funding Source: Not Applicable)
Staff Recommendation:
 Resolution approving the use of proceeds, credits, or reimbursements, from the sale or recycling of expended brass shell casings, with any vendor providing such services, including the existing credit of $16,990 with Miwall Corporation, Grass Valley, CA, to be applied toward the purchase of new ammunition for the Modesto Police Department.

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

13. Consider approving the Purchasing Agreement for the purchase of Transmission Parts and Repair Services with AG Transmission Repair, Oakdale, CA, Valley Transmission, Modesto, CA and Mello Transmission Company, Inc., Modesto, CA for a total amount not to exceed $750,000 over five years. (Funding Source: Fleet Fund, Outside Service Agreements)
Staff Recommendation:
 Resolution approving the Purchasing Agreements with AG Transmission Repair, Oakdale, CA, Valley Transmission, Modesto, CA and Mello Transmission Company, Inc., Modesto, CA for Transmission Parts and Repair Services 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 $750,000 over five years; and authorizing the Director of Finance to adjust agreement totals between agreements and department’s needs, ensuring the combined total amount does not change; and authorizing the City Manager, or his designee, to execute the Agreements.

PUBLIC WORKS; Gabe daSilva, 209-342-2281, [email protected] Consent

14. Consider approving the First Amendment with California Material Inc. for Material Hauling Services, increasing the Agreement amount by $621,746 to a new total amount not to exceed $1,246,746 over the term of the Agreement. (Funding Source: Compost Fund)
Staff Recommendation:
 Resolution approving the First Amendment with California Materials Inc., for Material Hauling Services, increasing the Agreement amount by $621,746, to a new estimated annual amount of $280,437, with a new total amount not to exceed $1,246,746 over the term of the Agreement, and authorizing the City Manager, or his designee, to execute the Amendment.

PUBLIC WORKS; John Chavez, 209-577-5453, [email protected] - 7 -
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Consent

15. Consider approving the Plans and Specifications for the Highway 99 Water Main Crossings Improvements Project, accepting the Bid and Awarding a Construction Contract to Rolfe Construction Inc., of Atwater, CA in the amount of $1,436,035, authorizing 20% in contingency (if needed), for a total payment amount not to exceed $1,723,242. (Funding Source: Water Fund)
Staff Recommendation:
 Resolution approving the Plans and Specifications for the Highway 99 Water Main Crossings Improvements Project, accepting the Bid and awarding a Construction Contract to Rolfe Construction Inc., of Atwater, CA in the amount of $1,436,035, authorizing the Director of Engineering Services to approve Change Orders up to the cumulative amount of $287,207, 20% of the original Contract price, for a total payment amount not to exceed $1,723,242 and authorizing the City Manager, or his designee, to execute the Contract.  Resolution amending the Fiscal Year 2025-26 Capital Improvement Program Budget in the amount of $1,849,505 to fund the Construction Phase of the Highway 99 Water Main Crossings Improvements Project and authorizing the City Manager, or his designee, to implement the provision of the Resolution.

UTILITIES; David Felix, 209-577-5488, [email protected]

COUNCIL COMMENTS & REPORTS

CITY MANAGER COMMENTS & REPORTS

NEW BUSINESS

16. Consider accepting Mayor Sue Zwahlen's Budget Message per Charter Section 1302.1 for the upcoming Fiscal Year 2026-27 budget year. (Funding Source: All City Funds) Staff Recommendation:
 Motion to accept Mayor Sue Zwahlen's Budget Message per Charter Section 1302.1 for the upcoming Fiscal Year 2026-27 budget year.

BUDGET; Stephan Christensen, 209-577-5390, [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
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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2/24/2026

CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: February 10, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Diane Nayares-Perez, City Clerk
SUBJECT: Citizens’ Salary Setting Commission Resignation and Appointment CONTACT: Diane Nayares-Perez, City Clerk, [email protected], 209-577-5396
DESCRIPTION:

Consider accepting the resignation of Abimael Chavez-Hernandez from the Citizens’ Salary Setting Commission and approving the appointment of Seth Simas to the Citizens’ Salary Setting Commission to serve a partial unexpired term expiring on December 31, 2028. (Funding Source: Not Applicable)
STRATEGIC PLAN ELEMENT:

This recommended action supports the City’s 2025-2026 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:

On February 5, 2008, voters approved Measures M (Accountability in City Hall) an amendment to the City’s Charter. Measure M called for the establishment of a Citizens’ Salary Setting Commission to consider and make recommendations regarding the Mayor and Council salaries.

Section 703(b)1 of the City of Modesto’s Charter added the formation of a Citizens’ Salary Setting Commission whose function is to recommend compensation for the Mayor and members of the Council. According to the Charter, the Commission shall meet between March 1 st and April 30th of every even-numbered year.

Commission Requirements
The Citizens’ Salary Setting Commission shall consist of five qualified electors residing within the City and shall be appointed by the City Council pursuant to the provisions below:

Strong consideration shall be given to composing the Commission of:
1 https://library.municode.com/ca/modesto/codes/code_of_ordinances?nodeId=CHTR_ARTVIITHCO_S703COELOF #1..
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City Council, February 24, 2026
Citizens’ Salary Setting Commission Resignation and Appointment

1. A retired Stanislaus County judge to serve as chairperson;

2. One member of a bona fide local taxpayer’s association with tax exempt status under relevant Internal Revenue Service (IRS) code;

3. One member from a bona fide local non-partisan political organization with tax-exempt status under IRS Section 501 (c)(3), dedicated to encouraging informed and active participation in government;

4. One member from a former civil grand jury who has served in that role within the last five years;

5. Additional members who have demonstrated civic involvement and a capacity to serve in an honest, independent, and impartial fashion.

Section 1102 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards and Commissions with the recommendation of the City’s Appointments Committee.

DISCUSSION:

On November 7, 2023, by Resolution No 2023-482, Abimael Chavez-Hernandez was appointed to serve on the Citizens’ Salary Setting Commission with a term expiration date of December 31, 2028. On February 2, 2026, Mr. Hernandez formally resigned from the Citizens’ Salary Setting Commission.

The Citizens’ Salary Setting Commission has one unexpired vacancy at this time due to the resignation of Commissioner Abimael Chavez-Hernandez leaving a vacancy with an unexpired term end date of December 31, 2028. Three (3) applications were received.

On February 9, 2026, the Appointments Committee reviewed all qualifying applications and unanimously recommended the appointment of Seth Simas to serve on the Salary Setting Commission. Mr. Simas would serve with qualifications of a member of a bona fide local taxpayer’s association with tax exempt status under relevant Internal Revenue Service (IRS) code.

FISCAL IMPACT:

There is no fiscal impact.

COMMITTEE RECOMMENDATION:

This item was presented to the Appointments Committee on February 9, 2026, and the Committee recommended forwarding the item to Council for approval.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution accepting the resignation of Abimael Chavez-Hernandez from the Citizens’ Salary Setting Commission.

Resolution appointing Seth Simas to serve an unexpired partial term with an expiration of December 31, 2028 to serve on the Citizens’ Salary Setting Commission. #1..
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City Council, February 24, 2026
Citizens’ Salary Setting Commission Resignation and Appointment

Approved by:

Diane Nayares-Perez, City Clerk
Joseph P. Lopez, City Manager
Attachments:

1. Resolutions (2)

2. Abimael Chavez-Hernandez Resignation Letter

3. Bylaws

4. Redacted Application (1)
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02/24/2026/CCO/DNPerez/Item XX 1 2026-XX

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-XX
RESOLUTION ACCEPTING THE RESIGNATION OF ABIMAEL CHAVEZHERNANDEZ FROM THE CITIZENS’ SALARY SETTING COMMISSION WHEREAS, the Citizens’ Salary Setting Commission was established to recommend compensation for the Mayor and members of the City Council; and WHEREAS, pursuant to the City of Modesto’s Charter, Section 703(a), the Citizens’ Salary Setting Commission convenes March 1st through April 30th of evennumbered years; and WHEREAS, the Commission consists of five members and will this March; and WHEREAS, on November 7, 2023, by Resolution No. 2023-482, Abimael Chavez-Hernandez was appointed to serve as a member of the Citizens’ Salary Setting Commission, and
WHEREAS, Abimael Chavez-Hernandez tendered his resignation from the Citizens’ Salary Setting Commission, effective February 2, 2026.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby accepts the resignation of Abimael Chavez-Hernandez from the Citizens’ Salary Setting Commission with regret.
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02/24/2026/CCO/DNPerez/Item XX 2 2026-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 24th day of February 2026, 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 votes:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:
(SEAL)
APPROVED AS TO FORM:

ATTEST:

DIANE NAYARES-PEREZ, CMC,
City Clerk
BY: _______________________________
JOSE M. SANCHEZ, City Attorney
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02/24/2026/CC/DNPerez/Item XX 1 2026-XX

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-XX

RESOLUTION APPOINTING SETH SIMAS TO SERVE AN UNEXPIRED
PARTIAL TERM WITH AN EXPIRATION OF DECEMBER 31, 2028 TO SERVE ON THE CITIZENS’ SALARY SETTING COMMISSION
WHEREAS, Section 703(b) of the City of Modesto’s Charter established the formation of a Citizens’ Salary Setting Commission whose function is to recommend the compensation for the Mayor and members of the Council. According to the Charter, the Commission shall meet between March 1st and April 30th of every even-numbered year; and
WHEREAS, Section 1102 of the Charter of the City of Modesto authorizes the City Council to appoint members to various Boards, Commissions, and Committees with the recommendation of the City’s Appointments Committee; and WHEREAS, the Citizens’ Salary Setting Commission shall consist of five qualified electors residing within the City; and
WHEREAS, Commissioner Abimael Chavez-Hernandez resigned in February 2, 2026 leaving a vacancy with an unexpired term end date of December 31, 2028; and WHEREAS, the Appointments Committee met on February 9, 2026, and recommended the appointment of Seth Simas to serve an unexpired partial term with an expiration of December 31, 2028 to serve on the on the Citizens’ Salary Setting Commission.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the appointment Seth Simas to serve an unexpired partial term with an expiration of December 31, 2028 to serve on the Citizens’ Salary Setting Commission.
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02/24/2026/CC/DNPerez/Item XX 2 2026-XX
BE IT FURTHER RESOLVED that the City Clerk is hereby directed to transmit a copy of this resolution to the appointed member of the Citizens’ Salary Setting Commission, thereof.

The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 24th day of February, 2026, 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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CITIZENS’ SALARY SETTING COMMISSION
BYLAWS
Article I
Definitions
Section 1 There is created a Committee to be known and designated as the Citizens’ Salary Setting Commission.

Section 2 As used in these Bylaws, unless a different meaning clearly appears from the context:

A. "Member" shall mean a member of the Citizens’ Salary Setting Commission.

B. "Citizens’ Salary Setting Commission" and "Commission" shall mean the Citizens’ Salary Setting Commission.

Article II
Objectives
Section 1 The function of the Commission shall be to recommend the compensation it deems appropriate for the Mayor and members of the Council, subject to this guidance:

A. The salary of the Mayor shall not be more than fifty percent (50%) of the salary for a Superior Court Judge in Stanislaus County.

B. The salary of a Councilmember shall not be more than fifty percent (50%) of the median family income for the Modesto Metropolitan Statistical Area as reported by the United States Census Bureau. The salary of all Councilmembers shall be the same.

Article III
Membership
Section 1 The Citizens’ Salary Setting Commission shall consist of 5 qualified electors.

Section 2 The Members of the Commission shall reside within the city limits of the City of Modesto at the time of appointment and must maintain residence within the City at all times during their service on the Commission.

Section 3 No member of the Commission shall be an employee of the City, nor any bargaining unit for employees of the City, nor a person who receives Revised February 27, 2024 by Resolution No. 2024-051 #1.. - 17 -
compensation from the City or from bargaining units of the City in any manner, including retirement benefits.

Section 4 Strong consideration shall be given to composing the Commission of:
 A retired Stanislaus County judge as chairperson;
 One member from a bona fide local taxpayer’s association with taxexempt status under the relevant provisions of the Internal Revenue Code;
 One member from a bona fide local non-partisan political organization with tax-exempt status under Section 501(c)(3) of the Internal Revenue Code, dedicated to encouraging informed and active participation in government;
 One member from a former Civil Grand Jury who has served in that role within the previous five years;
 Additional members who have demonstrated civic involvement and a capacity to serve in an honest, independent, and impartial fashion.

Section 5 All appointments shall be approved by a majority vote of the City Council.

Section 6 No member of the Commission shall be a lobbyist or other person with business before the City that represents an economic interest in excess of the limit for material financial effect as established by local ordinance for the time periods established by local ordinance.

Section 7 No member of the Commission shall be a relative by blood or marriage within the third degree of the Mayor, Councilmember, Charter Officer, or any department director or deputy department director.

Article IV
Terms of Office
Section 1 The initial five Members of the Commission shall be appointed during the month of March 2008.

Section 2 Of the initial five Members, two shall be appointed for a term expiring on December 31, 2010 and three Members, including the initial chairperson, shall be appointed for a term expiring on December 31, 2012.

Section 3 Commencing December 2010, new appointments shall be made during the month of December of each even-numbered year to fill the offices of the members whose terms are expiring as the end of such even-numbered years.

Section 4 Such appointments shall be for regular terms of four years commencing on the January 1 of the following odd-numbered year and expiring on December 31 of the second even-numbered year thereafter.

Section 5 Members may be re-appointed after their initial term, but in no event shall any person who has served two consecutive terms on the Commission be eligible for re-appointment to the Commission.
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Section 6 Serving any portion of an unexpired term shall not be counted as service of one term. Members not eligible for re-appointment may continue to serve until their successors are appointed and meet all of the qualifications outlined in Article III Membership of these bylaws. No member shall serve more than eight consecutive years, with the exception of those who are serving until their successors are appointed.

Section 7 The Members of the Commission shall receive no compensation for the performance of their official duties
Section 8 Appointments to fill vacancies on the Commission shall be handled in the same manner as original appointments. When a vacancy occurs during a term, the appointment to fill such vacancy shall be for the unexpired portion of the term.

Section 9 Members of the Commission may be removed by a majority vote of the City Council after a recommendation by the Commission chairperson for the following reasons:

A. Misconduct, inefficiency, or willful neglect in the performance of their duties providing the Council first states in writing the reasons for such removal and gives the member the opportunity to be heard before the Council in their own defense.

B. Refusal to resign from the Commission when no longer a resident of the City of Modesto.

Article V
Attendance at Meetings
Section 1 It shall be the responsibility of each Member to know the dates and times of all meetings of the Commission. If a Member knows he or she will not be able to attend a regularly scheduled meeting, it shall be his or her responsibility to notify the Commission Chair at least forty-eight hours before the meeting, in order for the absence to be recorded as an excused absence.

Section 2 The minutes of each meeting will list those Members in attendance, those who are excused and those who are unexcused.

Section 3 Timely attendance at meetings is expected and necessary to carry out the mission of the Commission.

Article VI
Officers and Their Duties
Section 1 Officers shall consist of Chair, which shall be a retired Stanislaus County Judge, and Vice-chair, elected by a majority vote of the Members of the Commission. Officers shall serve a four-year term.
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Section 2 If a retired Stanislaus County judge is not on the Commission, the Chair shall be elected by a Majority vote of the Members of the Commission.

Section 3 All officers shall exercise all privileges of membership, including the making of motions, seconding and debate.

Section 4 The Chair shall not serve more than two consecutive four-year terms.

The Vice-chair shall not serve more than two consecutive four-year terms.

Section 5 The Chair shall preside at all meetings, shall appoint all ad-hoc committees, and shall ensure that the bylaws, rules and regulations as adopted by the Commission are properly enforced.

Section 6 The Vice-chair shall assist the Chair in his/her duties and in the absence of the Chair shall perform all duties usually performed by the Chair.

Section 7 The Office of the City Clerk shall provide a staff member to serve as secretary.

He/she shall keep a record of the minutes of all meetings and such other duties as are usually performed by a secretary. He/she shall supply the Members of the Commission with copies of all records taken within three days after a meeting takes place. He/she shall also assist in publicity releases concerning Commission activities. In the absence of both the Chair and ViceChair, the secretary may call a meeting to order, whereupon a temporary chair shall be elected by a majority vote of the Members of the Commission present at the meeting.

Article VII
Meetings
Section 1 The Commission shall conduct sufficient number of meetings during the months of March and April in even-numbered years to assure the Objectives as outlined in Article II are achieved.

Section 2 Special meetings shall be called by the Chair as necessary.

Section 3 Notices of all meetings, including an agenda, shall be given to all members of the Commission, to the City Clerk, to the City Manager, and to all others as provided by law. All such notices shall be furnished to the Commission in writing at least seventy-two hours prior to the time of such meeting.

Section 4 All meeting agendas will be posted at Tenth Street Place and will be available at the following public facilities: Tenth Street Place and at the Main Branch of the Stanislaus County Free Library.

Section 5 All meetings shall comply with the requirements of the Ralph M. Brown Act.

Section 6 A quorum is necessary for the Commission to transact any business. A quorum shall be defined as a simple majority of active Commission members.

Section 7 All meetings of the Commission shall be open to the public and shall be held at #1..
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a public facility, which is accessible in accordance with the regulations of the Americans with Disabilities Act.

Article VIII
Order of Proceedings
Section 1 Section 2-1.10 “Procedural Rules for Council Meetings” of Title 2 “Administration,” of Chapter 1 “City Council Organization and Procedure” of the Modesto Municipal Code shall be the guide for parliamentary procedures in the conduct of Commission meetings.

Section 2 The order of proceedings of all meetings shall be as follows, subject to majority vote of the Members present:

1. Call to order

2. Approval of Minutes

3. Written Communications

4. Old Business

5. New Business

6. Oral Communications

7. Matters Too Late for the Agenda

8. Adjournment
Section 3 Members of the public shall not speak unless recognized by the Chair and shall state their names and addresses before making any statement, which shall become a part of the public record. The Chair may remove any person who refuses to follow these rules or the decision of the Chair.

Article IX
Report to the City
Section 1 The Commission’s recommendation will be made to the City Council by April 30 of every even-numbered year to be effective for a two-year period commencing not before July 1 of that even-numbered year.

Section 2 Failure of the Commission to make a recommendation in any even-numbered year within the prescribed time shall be deemed to be a recommendation that no change be made to existing compensation levels.

Article X
Amendments
Section 1 The Bylaws and any future amendments shall be subject to the final approval of the City Council and shall not and are not intended to go beyond any of the #1..
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powers and duties given to the Commission by the City Council. #1..
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Boards, Commissions and Committees Application
11/09/2025 4:45 PM (PST)
Advisory Boards and Commissions Application
City of Modesto

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.

Salary Setting Commission
The function of the Citizen's Salary Setting Commission is to recommend compensation for the Mayor and members of the City Council, pursuant to Modesto Municipal Code Section 703(b).

Please note that this committee requires a financial disclosure statement (Statement of Economic Interests - Form 700) under State of California laws.

Membership Requirements: Qualified electors residing within the City of Modesto. See Modesto Municipal Code, Section 703(b).

Read full ByLaws, membership requirements and view current members and vacancies.

Vacant seat (expires Dec, 2026) or any new vacancy with a long-term term.

No
No

Yes

i.

Citizens Districting Commission
09/28/2021
03/08/2022
Submission ID: 86cc4553-a875-4bff-bcea-702838026591 Page 1/6 #1..
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Qualifications
Yes

Modesto City Schools - History / Social Sciences Teacher, August 2014 to present University of California, Merced - Teacher Preparation Program, August 2023 to present

I am the board secretary for the Stanislaus County Taxpayers Association. The board president forwarded this information about the vacancy to all board members.

I am the board secretary for the Stanislaus County Taxpayers Association. In this role, I contribute to topics of discussion, specifically how we want to pursue taxpayer issues we find in the community. Additionally, I contribute ideas for the association to educate the local taxpayers.

I volunteer almost monthly with Operation 9-2-99 by clearing trash and debris along the Tuolumne River.

I am a board member for a local board of the Selective Service System (since 2009) - in this role, I am trained and ready to guide a potential draft for our local community and this country.

I believe that local taxpayer's dollars need oversight and salaries are an important topic in any community. I want to make sure that salaries are fairly recommended, as stated in my cover letter.

I have sat on various committees with Modesto City Schools as well as in the community. I understand the legal process and Robert's Rule of Law. I have an analytical lens when looking at data and providing thoughtful and critical thinking questions to consider when recommending action.

No

Yes

Yes

No
Submission ID: 86cc4553-a875-4bff-bcea-702838026591 Page 4/6 #1..
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Questionnaire

Other (Please specify)
Stanislaus County Taxpayers Association President
Submission ID: 86cc4553-a875-4bff-bcea-702838026591 Page 5/6 #1..
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Signature Agreement
11/09/2025
Application Disclosure
Members of the City Advisory Groups must disclose financial interests, including investments, businesses, and rental properties. Members are required to file Statements of Economic Interest when they assume office, annually, and upon leaving office.

Please confirm that you acknowledge the above responsibilities and understand that your application is a public document and may be disclosed.

Yes, I confirm and acknowledge the above responsibilities and understand that my application is a public document and may be disclosed upon request.

Thank you for providing this information. After clicking ‘Submit’ you will receive a Submission ID number that can be retained for future reference.

You will be updated by our staff as your submission is processed.

Have a great day!
Submission ID: 86cc4553-a875-4bff-bcea-702838026591 Page 6/6 #1..
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SET H K. SIMAS

EDUCATION

California State University, Stanislaus
 Doctorate, Educational Leadership (Ed.D), May 2020
 Master’s in Education, School Administration, December 2014  Multiple Subjects Credential, December 2013
 Social Sciences Credential, December 2011
 BA in Social Sciences, December 2010

TEACHING EXPERIENCE

Certificated Teacher
Modesto City Schools, Modesto, CA
 Permanent 100% (History / Social Sciences) at Peter Johansen High School (Aug. 2016- present)
 Probationary 100% (History / Social Sciences & English) at Evelyn Hanshaw Middle School (Aug. 2014-May 2016)
 Temporary 80% (History / Social Sciences & English) at Joseph Gregori High School (January 2014- May 2014)
 Substitute Teacher – Long Term at El Vista Elementary, 4th grade (Spring 2013) and Joseph Gregori High School (Fall 2013).
 Student Teacher, Thomas Downey High School (2011)
 Ongoing collaboration with fellow teachers on instructional strategies, state standards and learning objectives, common formal assessments & activities, and discussion on intentional and systematic intervention.
 Formative assessments of student learning including homework, essays, projects, and checks for understandings.
 Incorporate differentiated instruction in lesson plans and promote critical inquiry through document-based questions and analysis of primary sources  Adapt instruction for English Language Learners, students with IEPs and 504 plans, and at-risk students.
 Other duties have included Extended Summer School and Summer School.  Courses taught: 12th grade College Prep Government & Economics, 11th grade College Prep U.S. history, 10th grade College Prep World History, 9th grade AP Human Geography, 9th grade World Geography and World Religions, Freshman Seminar, 8th grade U.S. history, 8th grade English/Language-Arts, 7th grade World history
 Club advisor: Joho 4 Change Sustainability Club, Class of 2020 leadership advisor, Class of 2024 leadership advisor, Class of 2028 leadership advisor.

College Instructor
University of California, Merced; Merced, CA
 Part-Time, Teacher Preparation Program (August 2023 to present)  Provide college-level instruction to students in the teacher preparation program.
 Plan and implement lessons on topics relevant to course including #1..
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research and equity mindset.
 Provide ongoing feedback on research presentations and papers.  Provide instructional and social-emotional strategies for new teachers.  Courses taught: Research Methods in Education (EDUC X400), Secondary Reading for Understanding (EDUC X314), Single Subject Methods: History and Social Sciences (EDUC X316)
 Course developer / author
 Develop three modified course outlines (in-person, live synchronous online, and asynchronous online) for EDUC X316 Single Subject Methods – History & Social Science.
 Develop course materials, including assignments, rubrics, course modules, and Canvas (learning management system) course shells for each of the three modified courses.
 Complete and submit Academic Senate Course Proposal and Online approval requests with required documentation.

RELATED EXPERIENCES
Professional Growth Opportunities and Committee Assignments Modesto City Schools
 Induction Mentor (2016/17 to 2023/2024) – mentor and support new history/social science teachers through the induction process and their 2-year probationary process.  Multi-tiered systems of support (MTSS) committee / curricular team (2023/2024 to 2024/2025) – formed as the result of implementation of an intervention time slot for the 2023-2024 school year. The main objectives include creating and modifying schoolwide expectations curriculum for the beginning of the school year and to acquire and report feedback on the intervention time slot.  Curriculum Adoption Committee – evaluated and implemented different curriculum platforms during adoption trial; decided on the publisher to adopt: U.S. history (2019) and AP Human Geography (2022)
 Connecting Grading Reform through the PLC Process (2022-2023) – selected by the principal to attend a series of professional development to discuss the Professional Learning Community (PLC) process, grading practices, and equity, and answering the third PLC question, “How will we respond when some students do not learn?”  School Site Council, Johansen High School, staff representative (2017/18 to 2020/2021; 2023/24 to 2024/2025) – discussed and developed a SSPA and use of federal Title I funds (two 1-year terms & two 2-year terms).  Sheltered Instruction Observation Protocol (SIOP) (2023-2024) – attended 4 trainings for an overview on the SIOP model and how to incorporate strategies into the classroom to assist English Language Learners in their acquisition of necessary skills.

Learned about the ELPAC test including the type of questions that are asked.  Advanced Placement (AP) Reader (2024-2025) – through College Board, participated in training and alignment, read assigned caseloads of student responses for the AP Human Geography Test. Experience provided me with insight on how the responses are scored and how rubrics are developed and used. Attended daily meetings with assigned group to discuss rubrics and issues during the reading and scoring.  Ed Tech Site Liaison, Johansen High School (2024/2025 to present) – attend trainer monthly meetings and host professional development opportunities for certificated staff at Johansen. These trainings include how to access data programs, use educational-related technology in the classroom, and answer questions teachers have. #1..
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Stanislaus County Office of Education
 Region 6 HSS Virtual Lesson Study (2021) – collaborated with two other teachers in Modesto City Schools on state standards for 10th grade World History. Through collaboration and use of the CLIC Focus Framework, we developed and delivered a lesson on fascism ideology as a lesson leading into the rise of totalitarianism while connecting it to the end of World War I. Since we were all using the distance learning format, we recorded and shared our lesson delivery with each other. Then we discussed through reflection what went well and where could improvements be made.

Civic engagement
 City of Modesto Districting Commission (October 2021 – March 2022) – met and discussed with representatives from the different council districts on revisions to the city’s voting district map. After meeting with and acquiring feedback from stakeholders in different voting districts, and looking at data from the 2020 census, the commission created and recommended a revised district map to the City of Modesto city council.  Local Board Member, Selective Service System (June 30, 2009 – present) – trained on the law regarding the Selective Service System and the roles and responsibilities of a local board member. Appointed to serve Stanislaus County in the event of a draft and hear appeals from citizens and residents who may be drafted.  Joho 4 Change Sustainability Club / Sustainability Committee (2023 – present) – appointed as site sustainability coordinator; began a sustainability club with former AP Human Geography students leading the way; volunteer in the community – cleaning and beautifying the Johansen campus, spreading awareness of environmental issues, planting native plant gardens, and helping Operation 9-2-99 with their monthly clean-ups along the Tuolumne River. Member of MCS Sustainability Committee – helped develop action plan for school district to adopt sustainability principles.
 Stanislaus County Taxpayer Association (2025 – present) – approved in the role as Secretary. In this role, agendas and minutes are created. As a board member, offers ideas to educate local taxpayers.

Past work experience
 Recreation Leader II
City of Modesto-Parks, Recreation, & Neighborhood (2009 - 2014)  Worked directly with children 1st to 8th grade in After School Programs  Collaborated with other After School Program staff in planning.  Implemented grade appropriate and enriching activities.  Planned and worked day camps during school breaks.
 Director/Program Head
Hidden Villa Summer Camp (Summers 2009, 2010, 2012, 2013, 2014, 2015)  Supervised Leadership Team and contributed to Leadership Team training; collaborated with other directors (2015)
 Managed Day Camp (2009), Tipi Camp (2010), Youth Leadership (2012, 2013) and Kinder Camp (2014) programs; seasonal director of summer camp programs (2015)  Collaborated and planned inaugural Kinder Camp program.  Collaborated with a co-program head (2009, 2010)
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 Trained and developed an intentional program for Assistant Counselors in Training  Supervised counseling staff and all campers
 Served as part of the all-camp management staff.
 Created and led camp activities (Camp Counselor, 2006-2008, 2011)

PUBLICATIONS & PRESENTATIONS
 Simas, S. K. (2014). The Impact of Attrition of Principals on Student Academic Achievement (Master’s Thesis, California State University Stanislaus).  Simas, S. K. (2020). Teacher Induction Policy: A Case Study of Implementation in a County Office of Education (Doctoral dissertation, California State University, Stanislaus).  Simas.S. & Mayer. A. (2021) Leveraging Expertise: Local Implementation of California’s Teacher Induction Policy. AERA Annual Meeting, Division L, Paper Session, April 9-11, 2021.

ACCOMPLISHMENTS, SKILLS, AND SERVICE

Credentials
 Certificate of Eligibility, Administrative Services Credential  Social Sciences Single Subject with CLAD (clear)
 English Single-Subject Added Authorization (clear)
 Multiple Subjects (clear)
Certifications
 DBQ Project Lead – trained to help other teachers incorporate document-based question units with instruction and use online platform.  Eagle Scout, Boy Scouts of America, Troop 49 (2006).

Technology Skills
 Microsoft Innovated Educator (MIE)—Office 365—Word, Excel, Power Point, Sway, One Note
 Schoology (Learning Management System), Nearpod, Kahoot, Kami  Google Apps: Drive, Word, Sheets, Slides, Forms, Jamboard #1..
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: January 13, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Citizen’s Housing and Community Development Representative Appointment to the Housing Rehabilitation Loan Committee
CONTACT: Edgar Garcia, Community Development Manager,
[email protected], 209-571-5101
DESCRIPTION:

Consider approving the appointment of Margie Johnson as the Citizen’s Housing and Community Development Committee (CH&CDC) Representative to the Housing Rehabilitation Loan Committee (HRLC), with a term expiration of December 31, 2026. (Funding Source: Not Applicable)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City of Modesto’s 2025-2026 Strategic Plan, Goal B:

Enhance pride in Modesto’s diverse neighborhoods and business districts by actively addressing blight and ensuring that community assets and amenities are well-maintained and preserved.

BACKGROUND:

The Modesto Citizen’s Housing and Community Development Committee (CH&CDC) consists of 11 members appointed by the City Council. The CH&CDC serves as an advisory group to the City Council on matters related to housing and community development.

This committee provides an overall review of the City’s housing and homelessness initiatives and making policy and funding recommendations which may include Community Development Block Grant (CDBG), Emergency Solution Grant (ESG), HOME Investment Partnerships (HOME), and other local, State, and Federal funded programs to the City Council.

The Housing Rehabilitation Loan Committee (HRLC) is responsible for reviewing and approving loans issued as part of the City’s Homeowner Rehabilitation Program. The HRLC includes seven (7) members that are appointed by the City Council for a 4-year term, with one (1) alternate member from the Citizens Housing and Community Development Committee (CH&CDC). #2..
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City Council, February 24, 2026
Citizen’s Housing and Community Development Representative Appointment to the Housing Loan Rehabilitation Committee

DISCUSSION:

In accordance with the CHCDC Bylaws Section 3.06, “One Member of the Committee shall be appointed as an alternate to the Housing Rehabilitation Loan Committee by the Committee Chairperson.” By a majority vote of the CHCDC, the Chair is recommending the appointment of Margie Johnson to serve as an alternate to the HRLC. If approved, Margie Johnson will serve as the CHCDC representative on the HRLC for calendar year 2026. This position is appointed annually and will expire December 31, 2026.

FISCAL IMPACT:

There is no fiscal impact associated with this item.

COMMITTEE RECOMMENDATION:

The Citizen’s Housing and Community Development Committee met on January 8, 2026, and recommended the appointment of Margie Johnson as its representative to the Housing Rehabilitation Loan Committee (HRLC) for this calendar year.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the appointment of Margie Johnson to the Housing Rehabilitation Loan Committee as a Citizen’s Housing and Community Development (CH&CDC) Representative with a term expiration of December 31, 2026.

Approved by:

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

1. Resolution

2. CHCDC Bylaws

3. HRLC Bylaws
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02/24/2026/CED/Garcia/Item X 1 2026-

MODESTO CITY COUNCIL
RESOLUTION NO. 2025-

RESOLUTION APPROVING THE APPOINTMENT OF MARGIE JOHNSON TO THE HOUSING REHABILITATION LOAN COMMITTEE AS A CITIZEN’S

HOUSING AND COMMUNITY DEVELOPMENT (CH&CDC)
REPRESENTATIVE, WITH A TERM EXPIRATION OF DECEMBER 31, 2026 WHEREAS, Modesto’s Citizen’s Housing and Community Development Committee (CH&CDC) consists of 11 members appointed by the City Council. The CH&CDC serves as an advisory group to the City Council on matters related to housing and community development; and
WHEREAS, this committee provides an overall review of the City’s housing and homelessness initiatives and making policy and funding recommendations which may include Community Development Block Grant (CDBG), Emergency Solution Grant (ESG), HOME Investment Partnerships (HOME), and other local, State, and Federal funded programs to the City Council; and
WHEREAS, according to Section 3.06 of Article III of the Citizen’s Housing and Community Development Committee bylaws, one member of this committee shall be appointed as an alternate to the Housing Rehabilitation Loan Committee (HRLC) by the Committee Chairperson; and
WHEREAS, HRLC Committee includes seven (7) members that are appointed by the City Council for a 4-year term, with one (1) alternate member from the Citizens Housing and Community Development Committee (CH&CDC); and WHEREAS, to ensure adequate representation on HRLC, City staff is recommending the appointment of a current CH&CDC committee member to be its representative to the HRLC; and
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02/24/2026/CED/Garcia/Item X 2 2026-
WHEREAS, by a majority vote of the CH&CDC, it is recommended that the appointment of Margie Johnson to serve as a representative to the HRLC; and WHEREAS, if approved, Margie Johnson will serve as the CH&CDC representative on the HRLC for calendar year 2026 with a term expiration date of December 31, 2026.

NOW, THEREFORE, BE IT HEREBY RESOLVED by the Council of the City of Modesto that it hereby approves the appointment of Margie Johnson to the Housing Rehabilitation Loan Committee as a Citizen’s Housing and Community Development (CH&CDC) representative, with a term expiration of December 31, 2026.

BE IT FURTHER RESOLVED, the City Clerk is hereby directed to transmit a copy of this resolution to the appointed members of the Citizens’ Housing and Community Development Committee, and the Secretary thereof. #2..
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02/24/2026/CED/Garcia/Item X 3 2026-
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 24th of February, 2026 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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CH & CDC Bylaws Page 1 of 6 Amended: January 14, 2025
Resolution No. 2025-23

CITIZENS' HOUSING & COMMUNITY DEVELOPMENT COMMITTEE
BYLAWS
(Amended by Resolution 2025-23)
Article I. Definitions
Section 1.01 There is a Committee created to be known and designed as the Citizens’ Housing and Community Development Committee.

Section 1.02 As used in these Bylaws, unless a different meaning clearly appears from the context:
(a) “Member” shall mean a member of the Citizen’s Housing & Community Development Committee.
(b) “Citizens’ Housing & Community Development Committee” and “Committee” shall mean the Citizens’ Housing & Community Development Committee.

Article II. Objectives
Section 2.01 The Committee shall be responsible for providing overall review of the City of Modesto’s (City) housing and homelessness initiatives and making policy and funding recommendations which may include Community Development Block Grant (CDBG), Emergency Solution Grant (ESG), HOME Investment Partnerships (HOME), and other local, State, and Federal funded programs to the City Council.

Article III. Membership
Section 3.01 The Citizens’ Housing & Community Development Committee shall consist of eleven (11) qualified persons and one (1) alternate Councilmember, who may serve in place of any standing member in the event there is an absence or vacancy. The Committee should be comprised of the following:

Seat Designation Term
Councilmember (appointed by the Mayor) 4 years
Councilmember (appointed by the Mayor) 4 years
Councilmember (alternate) 4 years
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CH & CDC Bylaws Page 2 of 6 Amended: January 14, 2025
Resolution No. 2025-23
City Planning Commission Representative Annually
Human Relations Commission Representative Annually
Citizen-at-Large 4 years
Citizen-at-Large 4 years
Citizen-at-Large 4 years
Citizen-at-Large 4 years
Citizen-at-Large 4 years
Citizen-at-Large 4 years
Section 3.02 The Members of the Committee shall reside within the City limits of the City at the time of appointment and must maintain residence within the City at all times during their service on the Committee.

Section 3.03 No Member of the Committee shall be an employee of the City, nor any bargaining unit for employees of the City, nor a person who receives compensation from the City.

Section 3.04 All appointments shall be made by the City’s Appointments Committee.

Section 3.05 No Member of the Committee shall be a relative, by blood, marriage, within the third degrees of the Mayor, Councilmember, Charter Officer, or any department director or deputy department director.

Section 3.06 One Member of the Committee shall be appointed as an alternate to the Housing Rehabilitation Loan Committee by the Committee Chairperson.

Section 3.07 All Members must complete a Statement of Economic Interest (Form 700) by April 1 of each year and when assuming or leaving Committee membership.

Article IV. Terms of Office
Section 4.01 Members may serve no more than two (2) consecutive terms.

Section 4.02 Full terms are four (4) years in duration.

Section 4.03 A partial term of two (2) or more years shall be considered a full term for purposes of Section 4.01.

Section 4.04 Full term appointments begin on January 1 and expire on December 31 four (4) years subsequent.
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CH & CDC Bylaws Page 3 of 6 Amended: January 14, 2025
Resolution No. 2025-23
Section 4.05 Members may be reappointed after their initial term. Members serving two (2) consecutive terms may be reappointed after a break in service of twelve (12) months.

Section 4.06 The Members of the Committee shall receive no compensation for the performance of their official duties.

Section 4.07 Appointments to fill vacancies on the Committee shall be handled in the same manner as original appointments. When a vacancy occurs during a term, the appointment to full such vacancy shall be for the unexpired portion of the term.

Section 4.08 Members of the Committee may be removed by a majority vote of the City Council after a recommendation by the Committee Chairperson for the following reasons:
(a) Misconduct, inefficiency, or willful neglect in the performance of their duties providing the member is first provided in writing the reasons for such removal and gives the member the opportunity to be heard before the City Council in their own defense.
(b) Refusal to resign from the Committee when no longer a resident of the City or when a conflict of interest exists.
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CH & CDC Bylaws Page 4 of 6 Amended: January 14, 2025
Resolution No. 2025-23
(c) Failure to attend Committee meetings in accordance with Article V of these Bylaws.

Article V. Attendance at Meetings
Section 5.01 It shall be the responsibility of each Member to know the dates and times of all Committee meetings. If a Member knows he or she will not be able to attend a regularly scheduled meeting, it shall be his or her responsibility to notify the Committee Secretary at least forty-eight (48) hours before the meeting, in order for the absence to be recorded as an excused absence. Failure to provide notice of an absence under this Article shall constitute an unexcused absence.

Section 5.02 The minutes of each meeting will list those Members in attendance, those who are excused and those who are unexcused.

Section 5.03 Attendance at meetings is expected and necessary to carry out the mission of the Committee. Three or more consecutive unexcused absences are grounds for removal from the Committee by the City Council.

Section 5.04 The process for recording excused and unexcused absences shall be consistent with Citywide policies and procedures, including the Board and Commission Liaison Handbook.

Article VI. Officers and Their Duties
Section 6.01 Officers shall consist of a Chairperson and a Vice-chairperson, elected by a majority vote of the members of the Committee. Officers shall serve a four-year term.

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

Section 6.03 The Chairperson shall preside at all meetings, shall appoint all ad-hoc committees, and shall ensure that the bylaws, rules and regulations as adopted by the Committee are properly enforced
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CH & CDC Bylaws Page 5 of 6 Amended: January 14, 2025
Resolution No. 2025-23
Section 6.04 The Vice-chairperson shall assist the Chairperson in his/her duties and in the absence of the Chairperson shall perform all duties usually performed by the Chairperson.

Section 6.05 The Committee Secretary shall be a City staff member, appointed by the Community & Economic Development Department, to serve as secretary to the Committee. The Committee Secretary shall keep a record of the minutes of all Committee meetings and such other duties as are usually performed by a secretary.

Article VII. Meetings
Section 7.01 Special meetings shall be called by the Chairperson as necessary.

Section 7.02 Notices of all meetings, including agendas, shall be given to all Members of the Committee, to the City Clerk, to the City Manager, and to all others as provided by law. All such notices shall be furnished to the Committee in writing at least seventy-two (72) hours prior to the time of such meeting.

Section 7.03 All meeting agendas will be posted at Tenth Street Place.

Section 7.04 All meetings shall comply with the requirements of the Ralph M. Brown Act.

Section 7.05 A quorum is necessary for the Committee to transact any business. A quorum shall be defined as a simple majority of the total number of Committee members which is one-half of the Committee members plus one. Vacant seats on the Committee shall not be factored into calculating the number of members needed for a quorum.

Section 7.06 All meetings of the Committee shall be open to the public and shall be held at a public facility, which is accessible in accordance with the regulations of the Americans with Disabilities Act.
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CH & CDC Bylaws Page 6 of 6 Amended: January 14, 2025
Resolution No. 2025-23
Article VIII. Order of Proceedings
Section 8.01 Section 2-1.10 “Procedural Rules for Council Meetings” of Title 2 “Administration,” of Chapter 1 “City Council Organization and Procedure” of the Modesto Municipal Code shall be the guide for parliamentary procedures in the conduct of Committee meetings.

Section 8.02 The order of proceedings of all meetings shall be as follows, subject to majority vote of the members present:
(a) Roll Call
(b) Conflict of Interest Declaration
(c) Public Comment Period
(d) Consent Items
(e) Old Business
(f) New Business
(g) Committee Comments & Reports
(h) Matters Too Late For the Agenda
(i) Adjournment
Section 8.03 Members of the public shall not speak unless recognized by the Chairperson and may state their names before making any statement, which shall become a part of the public record. The Chairperson may remove any person who refuses to follow time limits set for public comment, or other rules or decisions of the Chairperson.

Article IX. Amendments
Section 9.01 The Bylaws and any future amendments shall be subject to the final approval of the City Council and shall not and are not intended to go beyond any of the powers and duties given to the Committee by the City Council. #2..
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HRLC Bylaws Page 1 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Housing Rehabilitation Loan Committee
BYLAWS
Article I. Definitions
Section 1.01 There is a Committee created to be known and designated as the Housing Rehabilitation Loan Committee.

Section 1.02 As used in these Bylaws, unless a different meaning clearly appears from the context:
(a) "Member" shall mean a member of the Housing Rehabilitation Loan Committee. (b) "Housing Rehabilitation Loan Committee" and "Committee" shall mean the Housing Rehabilitation Loan Committee.

Article II. Objectives
Section 2.01 The Committee shall be responsible for reviewing and approving the City of Modesto’s (City) housing rehabilitation loans, homebuyers' assistance loans, and for reviewing policy and procedures for both programs.

Article III. Membership
Section 3.01 The Housing Rehabilitation Loan Committee shall consist of seven (7) qualified persons and one (1) alternate comprised of the following:

Seat Designation Term
Councilmember (appointed by the Mayor)
Financial Institution - Representative 4 years
Service Provider - Representative 4 years
General Contractor (active or retired) - Representative 4 years Stanislaus Regional Housing Authority - Representative 4 years Citizen-at-Large 4 years
Citizen-at-Large 4 years
Citizens’ Housing and Community Development Committee – Representative (Alternate)
Annual
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HRLC Bylaws Page 2 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Section 3.02 The Members of the Committee shall reside within the City limits of Modesto at the time of appointment and must maintain residence within the City at all times during their service on the Committee with the exception of the appointed representative of the Stanislaus Regional Housing Authority.

Section 3.03 No Member of the Committee shall be an employee of the City, nor any bargaining unit for employees of the City, nor a person who receives compensation from the City.

Section 3.04 All appointments shall be approved by the City’s Appointments Committee, with the exception of the representation recommended by the Stanislaus Regional Housing Authority and Citizens’ Housing and Community Development Committee. The Stanislaus Regional Housing Authority shall appoint an employee to serve on the committee, and the Citizens’ Housing and Community Development Committee shall appoint a representative to the HRLC via a majority vote.

Section 3.05 No Member of the Committee shall be a relative by blood or marriage within the third degree of the Mayor, Councilmember, Charter Officer, or any department director or deputy department director.

Section 3.06 One Member of the Committee shall be appointed as an alternate to the Citizen Housing and Community Development Committee by a majority vote of the Committee.

Section 3.07 All Members must complete Statement of Economic Interest (Form 700) by April 1st of each year and when assuming or leaving Committee membership.

Section 3.08 All seats designated for representatives, including the Financial Representative, Service Provider Representative, and General Contractor Representative may be filled with a Citizen At-Large by a majority vote of the Appointments Committee in the event that the positions have been solicited and recruitments have been unsuccessful in yielding an eligible candidate. #2..
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HRLC Bylaws Page 3 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Article IV. Terms of Office
Section 4.01 Members may serve no more than two (2) consecutive terms. Full terms are four (4) years in duration.

Section 4.02 A partial term of two (2) or more years shall be considered a full term for purposes of Section 4.01.

Section 4.03 Full term appointments begin on January 1 and expire on December 31 four (4) years subsequent.

Section 4.04 Members may be reappointed after their initial term. Members serving two (2) consecutive terms may be reappointed after a break in service of 12 months.

Section 4.05 The Members of the Committee shall receive no compensation for the performance of their official duties.

Section 4.06 Appointments to fill vacancies on the Committee shall be handled in the same manner as original appointments. When a vacancy occurs during a term, the appointment to fill such vacancy shall be for the unexpired portion of the term.

Section 4.07 Members of the Committee may be removed by a majority vote of the City Council after a recommendation by the Committee Chairperson for the following reasons:
(a) Misconduct, inefficiency, or willful neglect in the performance of their duties providing the member is first provided in writing the reasons for such removal and gives the member the opportunity to be heard before the Council in their own defense.
(b) Refusal to resign from the Committee when no longer a resident of the City or when a conflict of interest exists.
(c) (c) Failure to attend Committee meetings in accordance with Article V of these Bylaws.
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HRLC Bylaws Page 4 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Article V. Attendance at Meetings
Section 5.01 It shall be the responsibility of each Member to know the dates and times of all Committee meetings. If a Member knows he or she will not be able to attend a regularly scheduled meeting, it shall be his or her responsibility to notify the Committee Secretary at least forty-eight (48) hours before the meeting, in order for the absence to be recorded as an excused absence. Failure to provide adequate notice as provided in this section shall constitute an unexcused absence.

Section 5.02 The minutes of each meeting will list those Members in attendance, those who are excused and those who are unexcused.

Section 5.03 Attendance at meetings is expected and necessary to carry out the mission of the Committee. Three or more consecutive unexcused absences are grounds for removal from the Committee by the City Council.

Section 5.04 The process for recording excused and unexcused absences shall be consistent with Citywide policies and procedures, including the Board and Commission Liaison Handbook.
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HRLC Bylaws Page 5 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Article VI. Officers and Their Duties
Section 6.01 Officers shall consist of a Chairperson, and a Vice-chairperson, elected by a majority vote of the members of the Committee. Officers shall serve as Chairperson or Vice-chairperson for the duration of their term, or for a period of four years if the Committee member is not subject to a term.

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

Section 6.03 The Chair shall preside at all meetings, shall appoint all ad-hoc committees, and shall ensure that the bylaws, rules and regulations as adopted by the Committee are properly enforced.

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

Section 6.05 In the absence of both the Chair and Vice-Chair, the secretary may call a meeting to order, whereupon a temporary chair shall be elected by a majority vote of the Members of the Commission present at the meeting.

Section 6.06 The Committee Secretary shall be a City staff member, appointed by the Community & Economic and Development Department, to serve as secretary. The Committee Secretary shall keep a record of the minutes of all Committee meetings and such other duties as are usually performed by a secretary.

Article VII. Meetings
Section 7.01 Special meetings shall be called by the Chairperson as necessary.

Section 7.02 Notices of all meetings, including agendas, shall be given to all Members of the Committee, to the City Clerk, to the City Manager, and to all others as provided by law. All such notices shall be furnished to the Committee in writing at least seventy-two hours prior to the time of such meeting.

Section 7.03 All meeting agendas will be posted at Tenth Street Place.

Section 7.04 All meetings shall comply with the requirements of the Ralph M. Brown Act.
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HRLC Bylaws Page 6 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Section 7.05 A quorum is necessary for the Committee to transact any business. A quorum shall be defined as a simple majority of the total number of Committee members which is one-half of the members plus one. Vacancies shall not be counted toward the total number of members for purposes to calculating a quorum.

Section 7.06 All meetings of the Committee shall be open to the public and shall be held at a public facility, which is accessible in accordance with the regulations of the Americans with Disabilities Act.

Article VIII. Order of Proceedings
Section 8.01 Section 2-1.10 “Procedural Rules for Council Meetings” of Title 2 “Administration,” of Chapter 1 “City Council Organization and Procedure” of the Modesto Municipal Code shall be the guide for parliamentary procedures in the conduct of Committee meetings.

Section 8.02 The order of proceedings of all meetings shall be as follows, subject to majority vote of the members present:
(a) Roll Call
(b) Conflict of Interest Declaration
(c) Public Comment Period
(d) Consent Items
(e) Old Business
(f) New Business
(g) Committee Comments & Reports
(h) Matters Too Late for the Agenda
(i) Adjournment
Section 8.03 Members of the public shall not speak unless recognized by the Chairperson. The Chairperson may remove any person who refuses to follow time limits set for public comment, or rules or decisions of the Chairperson.

Article IX. Amendments
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HRLC Bylaws Page 7 of 7 Amended: January 14, 2025
Resolution No. 2025-24
Section 9.01 The Bylaws and any future amendments shall be subject to the final approval of the City Council and shall not and are not intended to go beyond any of the powers and duties given to the Committee by the City Council. #2..
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2/10/2026 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, February 10, 2026 at 5:30 PM
Special City Council – Closed Session Meeting 3:30 p.m.

Roll Call: Present: Councilmembers Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen

Absent: None
Regular City Council Meeting 5:30 p.m.

Roll Call: Present: Councilmembers Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen

Absent: None
Pledge of Allegiance to the Flag
Invocation: Pastor Mark Krieger, Modesto Covenant Church.

City Clerk’s Announcements: None.

Declaration of Conflicts of Interest: None
Reports from Closed Session
ACTION: (Escutia-Braaton/Bavaro; 7/0) Item 1 - Motion appointing Real Property Negotiator Joseph P. Lopez, City Manager for Properties: 105-025-002, 105-025-003, 105-025-004 and 105-025-005.

No other reportable action.
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PUBLIC COMMENT PERIOD
 Danielle Morgart, representing Assemblyman Juan Alanis’s office, provided a Legislative Update. She reported that Assemblyman Alanis has introduced eight bills so far. Two recently introduced bills include AB 1765, which proposes a fee waiver for disabled veteran license plates, and AB 1814, which would expand field sobriety test training for police officers assigned to traffic enforcement duties. She concluded by offering the office’s assistance with legislative questions or issues involving state agencies.
 Lucas proposed a potential change to the City’s Waste Management System. He submitted a letter requesting that the City review and consider a pilot contract with TerraCycle to address items not typically recyclable within existing waste streams. He stated that the program could help reduce blight, remove unwanted garbage from transportation infrastructure, and lower carbon emissions. He acknowledged the need to comply with State, Federal, and Municipal regulations, as well as budgetary and procurement standards. He noted that while the program would not eliminate most plastic waste by weight, it could capture a significant portion of non-recyclable plastic packaging that currently lacks a recycling pathway. He asked the City to evaluate the proposal, consider whether a public discussion is appropriate, and provide guidance on next steps or available public resources.
 Julianne Phillips provided a Legislative update on behalf of Senator Alvarado-Gil's office, she stated that the most pressing legislative issue generating calls is AB 1421, which would extend the study of a per-mile tax. The bill has moved to the Senate, and Senator Alvarado-Gil has issued a statement expressing opposition to it. She also shared recent district activities, including two meet-and-greet events held in Salida and Riverbank. She announced upcoming mobile office hours in Modesto at the Law Library on February 26 from 10 a.m. to noon to assist constituents with State Agency matters. She added that she hopes to host additional mobile office hours in March ahead of a future Council meeting.
 Sebastian Jones expressed appreciation and apologized if any past remarks had caused offense. He acknowledged prior disagreements but called for unity moving forward.

He advocated for installing statues of Cesar Chavez and Dr. Martin Luther King Jr. at a new soccer or baseball field, stating that such a project would honor their legacies and create a lasting historical impact for the City. He mentioned having gathered over 5,000 signatures in support of related efforts in the past and emphasized the potential to seek Federal funding connected to Dr. King’s legacy. He called for a coalition of community members and Council support to move the proposal forward, encouraging collaboration and setting aside differences. He concluded by expressing faith-based sentiments, appreciation for the Council, and hope that the project would leave a meaningful legacy for future generations.
 Harlan Divan commended the Council for their roles in recent community initiatives, including the award for Jenny’s Place and the development of Hope Works, a United #3..
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Way and Gospel Mission project. She noted an upcoming ribbon-cutting event for Hope Works and expressed appreciation for the Council’s involvement. She also brought attention to Stockton’s recently passed “Compassionate City Resolution,” adopted on January 13. She explained that the resolution differs from a sanctuary city designation and does not create new policies, but instead restates existing city policies related to immigrant protections, such as not reporting immigration status when residents call 911 and not holding individuals solely on civil immigration holds. She said the resolution affirms respect for federal law and the role of immigration authorities while emphasizing community protections. She stated that similar resolutions are being considered or adopted in other cities and described the issue as timely, citing concerns within immigrant communities. She encouraged the Modesto City Council to review the resolution and consider taking similar action and said she would provide additional information by email.
 Todd distributed walnuts from his family’s farm in Wood Colony and briefly shared the history of his family’s farming presence in the area, dating back to 1905. He then addressed recent discussion and media coverage regarding Wood Colony and potential disputes about its definition and boundaries. Referring to a historical book available to the City, he explained that Wood Colony began with an original 1,760-acre tract, known as the Wood Tract, but argued that this acreage represented only the beginning of the colony’s development. Citing specific pages from the book, he noted references to the expansion of the name beyond the original acreage, the development of additional parcels, and historical figures associated with the area. He suggested that Wood Colony encompasses more than the initial 1,760 acres and encouraged the Council to review the historical text for a fuller understanding. He concluded by offering to return with additional information.
 Kevin McClarty thanked City staff member Patrick Crowley for designating two parking spaces and installing a bench at the Modesto Airport for individuals who wish to observe planes taking off and landing. He explained that after Tesla leased the entire parking lot, he raised concerns about the lack of public parking. In response, the City reserved two spaces for plane observers. He expressed appreciation for the City’s responsiveness to residents.
 Written General Public Comments Received. (Funding Source: Not Applicable) CITY CLERK; City Clerk, 209-577-5396, [email protected] CONSENT ITEMS – ROLL CALL VOTE REQUIRED
ACTION CONSENT ITEMS: 1-8 (Wright/Bavaro;7/0)

CONSENT
Consent

1. Consider approving the Minutes for the January 27, 2026 Council Meeting. (Funding Source: Not Applicable)
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 Motion approving the Minutes for the January 27, 2026 Council Meeting.

CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] ACTION: (Wright/Bavaro; 7/0) Motion approving the Minutes for the January 27, 2026 Council Meeting.

Consent

2. Consider approving the revised 2026 City Council Liaison Committees assignments. (Funding Source: Not Applicable)
 Motion approving the appointments to the Revised 2026 City Council Liaison Committees Assignments.

CITY CLERK; Diane Nayares-Perez, 209-577-5396, [email protected] ACTION: (Wright/Bavaro; 7/0) Motion approving the appointments to the Revised 2026 City Council Liaison Committees Assignments.

Consent

3. Consider approving the recommended budget adjustments to Fiscal Year 2025-26 Annual Operating and Capital Improvement Program Budgets. (Funding Source:

Various Funds)
 Resolution amending Fiscal Year 2025-26 Annual Operating and Capital Improvement Project Fund Budgets and authorizing the City Manager, to take the necessary steps to implement the provisions of this Resolution.

BUDGET; Kaceey Culbertson, 209-571-5855, [email protected] ACTION: (Wright/Bavaro; 7/0) Resolution 2026-031 amending Fiscal Year 2025- 26 Annual Operating and Capital Improvement Project Fund Budgets and authorizing the City Manager, to take the necessary steps to implement the provisions of this Resolution.

Consent

4. Consider accepting the Sonoma Trunk Extension and Lift Station and Sylvan Water Main Upgrade Project as complete, releasing securities, releasing payments totaling $8,253,657 to Mozingo Construction, Inc, of Oakdale, CA, and authorizing the City Clerk to file a Notice of Completion. (Funding Source: Wastewater and Water Fund)  Resolution accepting Sonoma Trunk Extension and Lift Station and Sylvan Water Main Upgrade Project as complete, releasing securities, releasing payments totaling $8,253,657 to Mozingo Construction Inc, of Oakdale, CA, and authorizing the City Clerk to file a Notice of Completion.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Bavaro; 7/0) Resolution 2026-032 accepting Sonoma Trunk Extension and Lift Station and Sylvan Water Main Upgrade Project as complete, releasing securities, releasing payments totaling $8,253,657 to Mozingo Construction Inc, of Oakdale, CA, and authorizing the City Clerk to file a Notice of Completion. #3..
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Consent

5. Consider approving a First Amendment to the existing On-Call Agreements for Construction Inspection Services, to extend the term of the agreements through June 30, 2027, and increase the existing total amount of $149,000 to a not to exceed $300,000 for each of the three consultants. (Funding Source: Various Capital Improvement Projects)
 Resolution approving a First Amendment to the existing On-Call Agreements for Construction Inspection Services, to extend the term of the agreements through June 30, 2027, and increase the existing total amount of $149,000 to a not to exceed $300,000 for each of the three consultants; and authorizing the City Manager, or his designee to execute the Amendments.

ENGINEERING SERVICES; Peter Kambel, 209-577-5444, [email protected] ACTION: (Wright/Bavaro; 7/0) Resolution 2026-033 approving a First Amendment to the existing On-Call Agreements for Construction Inspection Services, to extend the term of the agreements through June 30, 2027, and increase the existing total amount of $149,000 to a not to exceed $300,000 for each of the three consultants; and authorizing the City Manager, or his designee to execute the Amendments.

Consent

6. Consider accepting the Monthly Investment Report for October 2025. (Funding Source: Various Funds)
 Motion accepting the Monthly Investment Report for October 2025.

FINANCE DEPARTMENT; Calogero Maniscalco, 209-577-5219,
[email protected]
ACTION: (Wright/Bavaro; 7/0) Motion accepting the Monthly Investment Report for October 2025.

Consent

7. Consider accepting the Audited Financial Statements and various Audit Reports for Fiscal Year 2024-2025, audited by external auditor Vasquez & Company, LLP. for the City’s Annual Comprehensive Financial Report (ACFR), thirteen (13) Community Facilities Districts (CFDs), Measure H, Single Audit, and various Joint Powers Agencies. (Funding Source: Not Applicable)
 Resolution accepting the Audited Financial Statements and various Audit Reports for Fiscal Year 2024-2025 audited by external auditors Vasquez & Company, LLP. for the City’s Annual Comprehensive Financial Report (ACFR), thirteen (13) Community Facilities Districts (CFDs), Measure H and various Joint Powers Agencies (JPAs).
 Resolution accepting the audited Fiscal Year 2024-2025 Federal Single Audit report for the City of Modesto from external auditors Vasquez & Company, LLP.

FINANCE DEPARTMENT; Maria Garnica, 209-577-5249,
[email protected]
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ACTION: (Wright/Bavaro; 7/0) Resolution 2026-034 accepting the Audited Financial Statements and various Audit Reports for Fiscal Year 2024-2025 audited by external auditors Vasquez & Company, LLP. for the City’s Annual Comprehensive Financial Report (ACFR), thirteen (13) Community Facilities Districts (CFDs), Measure H and various Joint Powers Agencies (JPAs).

ACTION: (Wright/Bavaro; 7/0) Resolution 2026-035 accepting the audited Fiscal Year 2024-2025 Federal Single Audit report for the City of Modesto from external auditors Vasquez & Company, LLP.

Consent

8. Consider approving a Memorandum of Understanding (MOU) with Yosemite Community College District (YCCD) for development and use of the Classroom (Portable 101) located at 1220 Fire Science Lane. (Funding Source: General Fund)  Resolution approving a Memorandum of Understanding (MOU) with Yosemite Community College District (YCCD) for development and use of the Classroom (Portable 101) located at 1220 Fire Science Lane., and authorizing the City Manager or his designee to execute the Agreement.

FIRE DEPARTMENT; Darin Jesberg, 209-572-9590, [email protected] ACTION: (Wright/Bavaro; 7/0) Resolution 2026-036 approving a Memorandum of Understanding (MOU) with Yosemite Community College District (YCCD) for development and use of the Classroom (Portable 101) located at 1220 Fire Science Lane., and authorizing the City Manager or his designee to execute the Agreement.

COUNCIL COMMENTS & REPORTS
 Vice Mayor Williams reported on a recent MLK event hosted by MJC and the Modesto Peace/Life Center. The keynote speaker was Dr. Shabazz, one of Malcolm X’s six daughters, who spoke about her father’s legacy and her family’s experiences. He described the event as positive and expressed appreciation for her visit to Modesto. He also recognized recipients of the MLK Legacy Award. Odessa Johnson, noted as the first African American in her role within Modesto City Schools, was acknowledged for her service and is now retired and living in Los Angeles. Additionally, he shared that Gladys Williams, a past MLK Legacy Award recipient, former MTA member, past NAACP president, and community advocate, passed away on November 27. Her service will be held on February 20 at 11:00 a.m. at Revival Church, 825 Seventh Street. He also announced that three new police officers were recently sworn in and offered congratulations to them. He also shared that he attended a biennial quilt show in Modesto, typically attended by the Mayor. The event featured approximately 200 quilts, along with additional quilt-related displays and vendors, and was held at the car museum over two days. He described the event as well organized and well attended. He noted that the selected quilt award recipient had never previously won and became emotional upon receiving the recognition, expressing gratitude to the Mayor and the City for hosting the event. Vice Mayor Williams also noted that February is Black History Month and highlighted several upcoming events, mentioning that the council #3..
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would not meet again before some of them occur. He announced that Sankofa, Modesto’s first African American theater company, will celebrate its 13th year with a production titled Perilous Victorious at the Gallo Center from February 12 through 14.

He encouraged the community to attend and support the performances. He also shared that a Black History Month program will be held at the Senior Center on February 28 at 5:00 p.m., possibly with a donation requested.
 Council Member Ricci provided several updates and comments. He announced that, thanks to a State grant, a mural will be installed in an alley off 10th and J Street to improve a struggling downtown area. He expressed hope that the city, in coordination with the Fire Department, could also create safe event spaces in the area to support cultural activities, gatherings, music, food, and art. He then recognized a new neighborhood being developed in Modesto that honors firefighters who served the community, thanking DR. Horton, the Modesto Fire Department, and the city for this memorial project. Finally, he addressed a governance issue involving MID, noting that the board had previously voted to stop investigating alleged water abuse issues related to a board member, who had also voted against the investigation. He reported that the California Fair Political Practices Commission agreed to review potential issues with that vote and emphasized the importance of transparency and impartiality in government.
 Council Member Escutia-Bratton shared updates on recent developments in healthcare within Modesto. She noted attending the ribbon-cutting for a new Kaiser Medical facility in District One, which provides adult and pediatric care, includes a pharmacy, and employs nearly 400 people. She reflected on Modesto’s history as a medical hub and highlighted other recent projects, including the $380 million Memorial Cancer Center, which employs over 5,600 people. She also emphasized that these facilities address the community’s need for accessible, affordable medical services, provide job opportunities, and contribute to the local economy. She expressed gratitude to medical professionals and the institutions investing in the area and reaffirmed the importance of continuing to strengthen healthcare services in Modesto.  Mayor Zwahlen provided several community updates and reflections. She noted attending two recent police academy graduations, including one in Stockton with Council Member Wright, and greeting new Modesto Police Department officers and other City employees during a City Hall tour. She also attended Stanislaus State University’s Spring 2026 welcome address, praising the campus, students, and the university president, Britt Rios-Ellis, for a well-organized event. Additionally, she participated in a City Ministry Network meeting, where residents gather monthly to discuss city and county issues, highlighting a report from Marianne Cannon on the Community Foundation. She also emphasized the active engagement of residents in community activities and highlighted upcoming events, including: the Colorado Rouse groundbreaking for infrastructure projects, the Hope Works ribbon-cutting, Modesto’s Night to Shine event, and the Dryden Clubhouse groundbreaking on February 17. She concluded by noting the many positive developments and community initiatives are taking place in Modesto.
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CITY MANAGER COMMENTS & REPORTS
None.

HEARINGS
Published in the Modesto Bee on January 21, 2026.

9. Hearing to consider approval of an amendment to the Circulation Element of the Modesto Urban Area General Plan, and approval of Specific Plan Amendment No. 6 to the Street Hierarchy Diagram of the Tivoli Specific Plan, to reclassify Oakdale Road between Scenic Drive and Claratina Avenue, and Claratina Avenue between McHenry Avenue and Claus Road from six-lane Principal Arterial Streets to four-lane Principal Arterial Streets, together with text amendments to Chapter 9 of the Tivoli Specific Plan relative to major Specific Plan amendment policies. (Funding Source: Not Applicable)  Resolution approving an amendment to the Circulation Element of the Modesto Urban Area General Plan to change the designation of Oakdale Road between Scenic Drive and Claribel Avenue from six-lane Principal Arterial Street to four-lane Arterial Street, and to change the designation of Claratina Avenue between McHenry Avenue and Claus Road from six-lane Principal Arterial Street to four-lane arterial street.
 Resolution finding that the following subsequent project is exempt from review under the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines: Amendment to the Circulation Element of the Modesto Urban Area General Plan to change the designation of Oakdale Road between Scenic Drive and Claribel Road from six-lane Principal Arterial Street to four-lane Arterial Street, and to change the designation of Claratina Avenue and between McHenry Avenue and Claus Road from six-lane Principal Arterial Street to four-lane Arterial Street, together with Specific Plan Amendment No. 6 to the Tivoli Specific Plan to amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six-lane arterial streets to four-lane arterial streets, and to amend text in Chapter 9 relative to Specific Plan administration, and to reaffirm prior major amendments to the Specific Plan adopted by City Council Resolution.  Motion introducing and waiving the first reading of an Ordinance approving Tivoli Specific Plan Amendment No. 6, to amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six lane arterial streets to four lane arterial streets, and to amend text in Chapter 9 relative to Specific Plan administration, and to reaffirm prior major amendments to the Tivoli Specific Plan adopted by City Council Resolution.

CED; Jessica Hill, 209-577-5367, [email protected]
ACTION: (Williams/Wright; 7/0) Resolution 2026-037 approving an amendment to the Circulation Element of the Modesto Urban Area General Plan to change the designation of Oakdale Road between Scenic Drive and Claribel Avenue from six-lane Principal Arterial Street to four-lane Arterial Street, and to change the designation of #3..
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Claratina Avenue between McHenry Avenue and Claus Road from six-lane Principal Arterial Street to four-lane arterial street.

ACTION: (Wright/Escutia-Braaton; 7/0) Resolution 2026-038 finding that the following subsequent project is exempt from review under the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines: Amendment to the Circulation Element of the Modesto Urban Area General Plan to change the designation of Oakdale Road between Scenic Drive and Claribel Road from six-lane Principal Arterial Street to four-lane Arterial Street, and to change the designation of Claratina Avenue and between McHenry Avenue and Claus Road from six-lane Principal Arterial Street to four-lane Arterial Street, together with Specific Plan Amendment No. 6 to the Tivoli Specific Plan to amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six-lane arterial streets to four-lane arterial streets, and to amend text in Chapter 9 relative to Specific Plan administration, and to reaffirm prior major amendments to the Specific Plan adopted by City Council Resolution.

ACTION: (Bavaro/Alvarez; 7/0) Motion introducing and waiving the first reading of an Ordinance 3806-C.S. approving Tivoli Specific Plan Amendment No. 6, to amend the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six lane arterial streets to four lane arterial streets, and to amend text in Chapter 9 relative to Specific Plan administration, and to reaffirm prior major amendments to the Tivoli Specific Plan adopted by City Council Resolution.

MATTERS TOO LATE FOR THE AGENDA
None.

ADJOURNMENT
This meeting adjourned at 6:41 P.M.

Attest:____________________________
Diane Nayares-Perez, City Clerk
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EFFECTIVE DATE: March 26, 2026
ORDINANCE NO. 3806-C.S.

AN ORDINANCE APPROVING TIVOLI SPECIFIC PLAN AMENDMENT NO. 6, TO AMEND THE CHAPTER 3 STREET HIERARCHY DIAGRAM TO CHANGE THE

CLASSIFICATION OF OAKDALE ROAD AND CLARATINA AVENUE FROM SIX

LANE ARTERIAL STREETS TO FOUR LANE ARTERIAL STREETS, AND TO AMEND TEXT IN CHAPTER 9 RELATIVE TO SPECIFIC PLAN ADMINISTRATION, AND TO

REAFFIRM PRIOR MAJOR AMENDMENTS TO THE TIVOLI SPECIFIC PLAN

ADOPTED BY CITY COUNCIL RESOLUTION (CITY OF MODESTO)
WHEREAS, Government Code Section 65450 et. seq. permits cities and counties to adopt Specific Plans for the systematic implementation of the General Plan and to provide for greater level of detail in planning sites or areas of special interest or value, and WHEREAS, on February 26, 2008, the City Council by Ordinance No. 3479-C.S. approved the Tivoli Specific Plan to allow the development of approximately 454 acres, and WHEREAS, Government Code Section 65453 permits the amendment of specific plans as often as deemed necessary by the legislative body, and
WHEREAS, on September 7, 2016 by Ordinance No. 3654-CS the City Council approved Amendment No. 1 to the Tivoli Specific Plan to include minor land use adjustments regarding the relocation of the school site with the overall density and intensity remaining essentially the same, minor internal street alignment adjustments, removal of four roundabouts, and various clean-up and technical changes to the Specific Plan, and
WHEREAS, on March 21, 2022 the Director of Community and Economic Development administratively approved Amendment No. 2 to the Tivoli Specific Plan as allowed by Section #4..
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EFFECTIVE DATE: March 26, 2026

9.3.4.1 of the Specific Plan, to amend and update street cross section details with associated minor text changes, and
WHEREAS, on November 1, 2022 by Resolution No. 2022-450 the City Council approved Amendment No. 3 to the Tivoli Specific Plan to amend the Land Use Diagram to amend 25 acres from Regional Serving Commercial 1 (RSC-1) to Low Density Residential 13 (LDR-13) and 27 acres from Medium Density Residential 2 (MDR-2) to Low Density Residential 15 (LDR-15), and WHEREAS, on May 13, 2025 by Resolution No. 2025-165 the City Council approved Amendment No. 4 to the Tivoli Specific Plan to amend the Land Use Diagram to amend 19.95 acres from Medium-High Density Residential and Regional Serving Commercial (RSC) to Medium Density Residential (MDR) with associated text amendments, and to amend Chapter 4 Development Standards to amend certain design standards to allow reduced setbacks and lot sizes, and
WHEREAS, on May 13, 2025 the Director of Community and Economic Development administratively approved Amendment No. 5 to the Tivoli Specific Plan as allowed by Section

9.3.4.1 of the Specific Plan, to amend Section 5.7.1.2 Community Walls Along Arterial Streets, to allow for seven-foot-high walls with conditions, and
WHEREAS, the City of Modesto has initiated an amendment to the Chapter 3 Street Hierarchy Diagram of the Tivoli Specific Plan to change the designation of Oakdale Road and Claratina Avenue from six-lane arterial streets to four lane arterial streets; and #4..
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EFFECTIVE DATE: March 26, 2026
WHEREAS, the City of Modesto also proposes to concurrently amend Chapter 9 text of the Tivoli Specific Plan relative to policies for adoption of major Specific Plan amendments, and to reaffirm prior major amendments to the Tivoli Specific Plan previously adopted by Resolution rather than Ordinance; and
WHEREAS, a public hearing was held by the Planning Commission on January 5, 2026, in Chambers, Tenth Street Place, 1010 Tenth Street, Modesto, California, at which hearing evidence both oral and documentary was received and considered, and WHEREAS, after considering public comments, the Planning Commission, by Resolution No. 2026-03, recommended to the City Council approval of the proposed Tivoli Specific Plan Amendment No. 6 to, in addition to amending the Chapter 3 Street Hierarchy Diagram, amend Chapter 9 text relative to policies for adoption of major amendments to the specific plan, and to reaffirm prior major amendments to the specific plan previously adopted by Resolution rather than Ordinance, and
WHEREAS, said matter was set for a public hearing of the City Council of the City of Modesto to be held on February 10, 2026 at 5:30 p.m., in the Tenth Street Place Chambers located at 1010 Tenth Street, Modesto, California, and
WHEREAS, a duly noticed public hearing to consider said recommendations of the Planning Commission was held at the time and time above mentioned, and WHEREAS, the Specific Plan amendment is exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines, which exempts projects where it can be seen with certainty #4..
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EFFECTIVE DATE: March 26, 2026
that there is no possibility of a significant effect on the environment. The amendment meets the criteria by being an administrative and regulatory action.

NOW, THEREFORE, the Council of the City of Modesto does ordain as follows:

SECTION 1. COUNCIL FINDINGS. After a public hearing held on February 10, 2026 this Council finds and determines:

1. The proposed amendment to the Tivoli Specific Plan is consistent with the General Plan, because the amendment to Chapter 9 of the to the classification of Oakdale Road and Claratina Avenue would maintain sufficient levels of service to the roadways and accommodate the area’s anticipated growth, and would provide clear policy direction regarding the adoption of future major amendments to the Tivoli Specific Plan.

2. The proposed amendment is exempt from CEQA pursuant to Section 15061(b)(3) of the CEQA Guidelines, which exempts projects where it can be seen with certainty that there is no possibility of a significant effect on the environment. The amendments meet the criteria by being an administrative and regulatory action.

SECTION 2. COUNCIL ACTION. The Council of the City of Modesto hereby approves Tivoli Specific Plan Amendment No. 6, thereby amending the Chapter 3 Street Hierarchy Diagram to change the classification of Oakdale Road and Claratina Avenue from six lane arterial streets to four lane arterial streets, as shown on Exhibit “A” which is on file in the office of the Community and Economic Development Department and incorporated herein by reference; reaffirms the previous Specific Plan amendments adopted by City Council Resolutions No. 2022-450 and 2025- 165 by this Ordinance; and approves text amendments to Chapter 9 of the Specific Plan, thereby allowing for major Specific Plan amendments to be henceforth be adopted by City Council Resolution, as shown on Exhibit “B” which is on file in the office of the Community and Economic #4..
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EFFECTIVE DATE: March 26, 2026
Development Department and incorporated herein by reference.

SECTION 4. EFFECTIVE DATE. This ordinance shall go into effect and be in full force and operation from and after thirty (30) days after its final passage and adoption.

SECTION 5. PUBLICATION. At least two (2) days prior to its final adoption, copies of this ordinance shall be posted in at least three (3) prominent and distinct locations in the City; and a notice shall be published once in The Modesto Bee, the official newspaper of the City of Modesto, setting forth the title of this ordinance, the date of its introduction and the places where this Ordinance is posted.
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EFFECTIVE DATE: March 26, 2026
The foregoing Ordinance was introduced at a regular meeting of the Council of the City of Modesto held on the 10th day of February 2026, by Councilmember Bavaro, who moved its introduction and passage to print, which motion being duly seconded by Councilmember Alvarez, was upon roll call carried and ordered printed and published by the following vote:

AYES: Councilmembers: Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams Wright, Mayor Zwahlen
NOES: Councilmembers: None
ABSENT: Councilmembers: None
APPROVED: __________________________
SUE ZWAHLEN, Mayor
ATTEST:

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

By: __________________________________
JOSE SANCHEZ, City Attorney
APPROVED AS TO DESCRIPTION:

By:

Community & Economic Development
Department, Planning Division
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EFFECTIVE DATE: March 26, 2026

FINAL ADOPTION CLAUSE
The foregoing Ordinance, having been published as required by the Charter of the City of Modesto, and coming on for final consideration at the regular meeting of the Council of the City of Modesto held on the 24th day of February 2026, Councilmember ___moved its final adoption, which motion being duly seconded by Councilmember___, was upon roll call carried and the Ordinance adopted by the following vote:

AYES: Councilmembers: Alvarez, Bavaro, Escutia-Braaton, Ricci, Williams, Wright, Mayor Zwahlen
NOES: Councilmembers: None
ABSENT: Councilmembers: None
APPROVED: _________________________
SUE ZWAHLEN, Mayor
ATTEST:

By: __________________________________
DIANE NAYARES-PEREZ, City Clerk
(SEAL)
Effective Date: March 26, 2026
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July 2, 2025

OAKDALE CLARATINA

TRAFFIC ANALYSIS STUDY
Modesto, CA
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Inside front cover
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Oakdale Claratina Traffic
Analysis Study
Modesto, CA
Prepared for:

Tamorah Bryant
Harris & Associates
Michael Sacuskie
City of Modesto
Prepared by:

Kittelson & Associates, Inc.
155 Grand Avenue, Suite 505
Oakland, CA 94612
510.839.1742
Project Team:

Dhawal Kataria, AICP, RSP1
Mychal Loomis, PE, TE, PTOE, RSP1
TJ Hribar
Mike Aronson, PE
Mike Alston TE, RSP1
Project Number 30299
July 2, 2025
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CONTENTS
Introduction.................................................................................................................................................1 Background..............................................................................................................................................1 Study Scenarios......................................................................................................................................1 Study Area................................................................................................................................................2 Roadway Network.....................................................................................................................................6 Pedestrian Network..............................................................................................................................6 Bicycle Facilities......................................................................................................................................6 Transit System ........................................................................................................................................8 Roadway Configuration ................................................................................................................... 10 Intersection Configurations............................................................................................................ 12 Traffic Operations................................................................................................................................... 15 Intersection Analysis ......................................................................................................................... 15 Roadway Segment Analysis ........................................................................................................... 28 Travel Time............................................................................................................................................ 30 Vehicle Miles Traveled Assessment............................................................................................. 32 Summary.................................................................................................................................................... 33 #4..
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July 2, 2025 List of Figures
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LIST OF FIGURES
Figure 1: Study Area ............................................................................................................................................................................ 4 Figure 2: Bicycle Network .................................................................................................................................................................. 7 Figure 3: Transit Network .................................................................................................................................................................. 9 Figure 4: Proposed Oakdale Road Cross Section ................................................................................................................. 10 Figure 5: Claratina Avenue Cross Section ................................................................................................................................ 11 Figure 6: North County Corridor Phase 1 Project - Conceptual Exhibit ...................................................................... 12 Figure 7: Coffee Road and Claratina Avenue Planned Roundabout ............................................................................. 13 Figure 8: Existing Lane Configuration and Traffic Control ................................................................................................ 17 Figure 9: Existing Conditions - AM Peak Hour Traffic Volumes ...................................................................................... 18 Figure 10: Existing Conditions - PM Peak Hour Traffic Volumes .................................................................................... 18 Figure 11: Future (2046) Planned Conditions Intersection Lane Configuration ....................................................... 20 Figure 12: Future (2046) Planned Conditions - AM Peak Hour Traffic Volumes ...................................................... 21 Figure 13: Future (2046) Planned Conditions - PM Peak Hour Traffic Volumes ...................................................... 21 Figure 14: Future (2046) Adjusted Conditions Lane Configuration and Traffic Controls...................................... 23 Figure 15: Future (2046) Adjusted Conditions - AM Peak Hour Traffic Volumes .................................................... 23 Figure 16: Future (2046) Adjusted Conditions - PM Peak Hour Traffic Volumes ..................................................... 24 Figure 17: Oakdale Road and Sylvan Avenue - Conceptual Roundabout .................................................................. 25 #4..
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July 2, 2025 List of Tables
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LIST OF TABLES
Table 1: Study Intersections and Intersection Control........................................................................................................... 2 Table 2: Roadway Segments .............................................................................................. Error! Bookmark not defined.

Table 3: StanRTA Bus Routes ........................................................................................................................................................... 8 Table 4: Level of Service Definition for Intersections .......................................................................................................... 16 Table 5: Existing Conditions LOS Results ................................................................................................................................. 19 Table 6: Future (2046) Planned Conditions LOS Summary ............................................................................................... 22 Table 7: Future (2046) Adjusted Conditions LOS Summary ............................................................................................. 24 Table 8: Oakdale Road and Sylvan Avenue Intersection LOS Summary ..................................................................... 26 Table 9: Roadway Segment Threshold and LOS Relationship ......................................................................................... 29 Table 10: Roadway Segment Analysis Summary .................................................................................................................. 30 Table 11: Travel Time Summary - Existing Conditions ....................................................................................................... 31 Table 12: Travel Time Summary - Future Conditions .......................................................................................................... 31 Table 13: VMT Summary ................................................................................................................................................................. 32

APPENDICES
Appendix A: Traffic Counts Summary
Appendix B: Existing Conditions LOS Worksheets
Appendix C: Future (2046) Planned Conditions LOS Worksheets Appendix D: Future (2046) Adjusted Conditions LOS Worksheets

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Introduction
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Introduction
The Oakdale Claratina Traffic Analysis Study (Study) aims to assess the following:
x Whether the planned classifications of Oakdale Road (from Claribel Avenue to Scenic Drive) and Claratina Avenue (from Oakdale Road to McHenry Avenue) could be reduced from six lanes to four lanes and accommodate anticipated future growth in the study area. This is primarily assessed based on the intersection and roadway segment operations, changes in travel time, and other relevant indicators.
x The feasibility and anticipated operations of using roundabout control at the intersections at Oakdale Road and Claratina Avenue; Oakdale Road and Mable Avenue; Oakdale Road and Bridgewood Way; and Oakdale Road and Sylvan Avenue.

BACKGROUND
The City of Modesto General Plan and Tivoli Specific Plan designate Oakdale Road (from Claribel Road to Scenic Drive) as a six-lane Principal Arterial but note that it is constrained between Sylvan Avenue and Scenic Drive. Claratina Avenue is classified as an Expressway west of Oakdale Road and as a six-lane Principal Arterial east of Oakdale.1
Since the General Plan's adoption, changes to the planned roadway network have occurred, including the reduction of the reclassification of a road parallel to Oakdale Road, Claus Road, from six lanes to four lanes, and the programming of the North County Corridor Phase 1 east of Oakdale Road.2 The City of Modesto (city) seeks an analysis of Oakdale Road and Claratina Avenue to determine whether a six-lane facility remains necessary to meet the area’s transportation needs. The city is considering reclassifying these roads as four lanes. This study provides a data-driven evaluation to guide stakeholders—including the city, Stanislaus County, the development community, the Stanislaus Council of Governments (StanCOG), and nearby landowners—on whether the proposed reclassification can effectively accommodate the movement of people.

STUDY SCENARIOS
The study evaluated the following scenarios under existing and future (2046) conditions:
„ Existing Conditions: Represents the current roadway network, assessed using observed traffic counts.
„ Future (2046) Planned Conditions: Represents the future roadway network outlined in the General Plan, which includes expanding Oakdale Road and Claratina Avenue to six lanes, assessed using 2046 volumes estimated by the Stanislaus County travel demand model as modified for the 1 City of Modesto General Plan (March 2019). Chapter V. Transportation. Retrieved from https://www.modestogov.com/DocumentCenter/View/15012/GPA-10-001-DOC-Chapter-V-3-6-19-PDF 2 Stanislaus County. North County Corridor Phase 1 Project. Retrieved from https://northcountycorridorphase1.com/ #4..
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Modesto General Plan and current plans for the North County Expressway Phase 1 and the planned road network for the Tivoli Specific Plan.
„ Future (2046) Adjusted Conditions: Evaluates an alternative future roadway network scenario where the study corridors are reduced to four lanes and assessed using volumes estimated by a projected 2046 traffic volumes from the travel demand model as modified to include the four lane segments.

STUDY AREA
Figure 2 illustrates the study intersections and roadway segments analyzed in this study. Table 1 presents the roadway segments analyzed, along Oakdale Avenue and Claratina Avenue, which are being considered for reclassification from six lanes to four. Table 2 lists the seven intersections identified through discussions with city staff.

Table 1: Roadway Segments
# Roadway Segment Existing
Conditions
Future
(2046)
Planned
Conditions
Future (2046)
Adjusted
Conditions
1 Oakdale Rd between Claribel Rd & Claratina Ave 2 lanes 6 lanes 4 lanes 2 Oakdale Rd between Claratina Ave & Mable Ave 2 lanes 6 lanes 4 lanes 3 Oakdale Rd between Mable Ave & Bridgewood Way 3 lanes 6 lanes 4 lanes 4 Oakdale Rd between Bridgewood Way & Sylvan Ave 2 lanes 6 lanes 4 lanes 5 Claratina Ave between McHenry Ave & Coffee Rd 2 lanes 6 lanes 4 lanes 6 Claratina Ave between Coffee Rd & Oakdale Rd 2 lanes 6 lanes 4 lanes Source: Kittelson & Associates, Inc. 2025
Table 2: Study Intersections and Intersection Control
No Intersection Name Existing
Conditions
Future (2046)
Planned
Conditions
Future (2046)
Adjusted
Conditions
1 McHenry Ave & Palandale Ave/Claratina Ave Signal Signal Signal 2 Coffee Rd & Claratina Ave Roundabout13 Roundabout23 Roundabout23 3 Oakdale Rd & Claratina Ave Signal Signal Roundabout23 4 Oakdale Rd & Claribel Ave Signal Signal Signal
5 Oakdale Rd & Mable Ave Signal Signal Roundabout2
6 Oakdale Rd & Bridgewood Way Two-way Stop Signal Roundabout1 7 Oakdale Rd & Sylvan Ave Signal Signal Roundabout23
Source: Kittelson & Associates, Inc. 2025
Note: 1
single circulating lane roundabout; 2dual circulating lane roundabout; 3includes bypass lanes Kittelson conducted turning movement and tube counts at these locations in June 2024. A summary of the traffic count data is provided in Appendix A.
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Understanding Roundabouts
A roundabout is a circular intersection form in which traffic travels counterclockwise around a central island and entering traffic must yield to circulating traffic. Figure 1 shows a roundabout annotated with common features including a bypass lane and circulatory lane.

Figure 1: Common Roundabout Features
Source: NCHRP 1043; Edited by Kittelson & Associates, Inc.

The circulatory roadway is the portion of a roundabout where vehicles travel counterclockwise around the central island. In multilane roundabouts, this roadway may include two or more circulating lanes, which should not be confused with bypass lanes.

Bypass lanes, also known as channelized turn lanes or slip lanes can be added to roundabouts to improve capacity for specific turning movements. However, their implementation requires careful consideration of potential conflicts with pedestrians and bicyclists, as well as operational impacts such as reverse traffic patterns during opposing peak periods.3

Currently, Modesto has multilane roundabouts along Sylvan Avenue at Roselle Avenue and Millbrook Avenue but none of them feature a bypass lane.
3 National Academies of Sciences, Engineering, and Medicine. 2023. Guide for Roundabouts. Washington, DC: The National Academies Press. https://doi.org/10.17226/27069. #4..
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Figure 2: Study Area
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Existing Conditions
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Oakdale Claratina Traffic Analysis Study Roadway Network Kittelson & Associates, Inc. Page 6
Roadway Network
The following section outlines the existing and planned roadway conditions in the study area, covering pedestrian network, bicycle facilities, transit system, and roadway network.

PEDESTRIAN NETWORK
There are parks, schools, and retail stores located near the study intersections and segments that contribute to pedestrian activity in the area. Marked crosswalks are provided at all study intersections except for Oakdale Road and Bridgewood Way. Due to the predominantly undeveloped nature of the area, sidewalks are limited and are present only along the west side of Oakdale Road between Claratina Avenue and Sylvan Avenue.

BICYCLE FACILITIES
Figure 3 illustrates the existing bicycle network within the study area. Class II bike lanes are present on Claribel Road (between McHenry Avenue and Oakdale Road), Sylvan Avenue (between McHenry Avenue and Oakdale Road), and Coffee Road (south of Montana Drive). Beyer Park Drive and Keller Street are designated as Class III shared bicycle routes.

According to the City of Modesto Non-Motorized Transportation Plan, Class IV separated bikeways are proposed for Sylvan Avenue, Oakdale Road, Mable Avenue, and Coffee Road. Additionally, Sylvan Meadows Drive, Beyer Park Drive, and Keller Street are planned to be upgraded to Class IIIB Bicycle Boulevards.
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Figure 3: Bicycle Network
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TRANSIT SYSTEM
The study area is served by several StanRTA routes which serve Oakdale Road, Sylvan Avenue, Mable Avenue and McHenry Avenue. Figure 4 and Table 3 describe the routes that directly serve the study area.

Table 3: StanRTA Bus Routes
Route
Number
Description Frequency Days and Times
23 Travels between the Modesto Transit Center
and Kiernan along McHenry. Stops of interest
include McHenry Village and Walmart.

Every 30 Minutes
(Weekdays and
Saturdays) and Every
1 Hour on Sundays
Weekdays (6 AM –
10 PM) and
Weekends (reduced
times)
32 Travels between the Modesto Transit Center
and Beyer High School neighborhoods via I St.,
Scenic, Coffee, Mable, Oakdale, and
Sylvan. Stops of interest include the Health
Department, Downey High School, Memorial
Medical Center, Beyer High School, and Beyer
Park.

Every 30 Minutes on
Weekdays and Every
1 Hour on Weekends
Weekdays (6 AM –
10 PM) and
Weekends (reduced
times)
60 Travels between the Modesto Transit Center
and Oakdale through Riverbank via Sunrise,
Floyd, Oakdale Rd, Patterson, and Hwy
108. Stops of interest include Gladys Lemon
Senior Center, daycare centers, schools, local
government buildings, the post office, and
grocery stores.

Every 30 Minutes on
Weekdays and Every
1 Hour on Weekends
Weekdays (5 AM –
10 PM) and
Weekends (reduced
times)
Source: StanRTA, 2025
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Figure 4: Transit Network
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ROADWAY CONFIGURATION
Oakdale Road is a north-south arterial that connects SR 132 (Yosemite Boulevard) in the south to SR 108 (Patterson Road) in the north. The segment between Claribel Road and Claratina Avenue is a two-lane undivided roadway, primarily surrounded by undeveloped agricultural land. Between Claratina Avenue and Sylvan Avenue, residential developments line the west side of the roadway. The southbound direction of this segment provides two travel lanes with left-turn pockets at major intersections. The posted speed limit for the segment is 45 mph.

Figure 5 shows the proposed Oakdale Road cross section from the Tivoli Specific Plan, which proposes widening the road to three lanes in each direction. The proposed cross section includes 6 feet wide bike lanes and 8 feet wide sidewalks in each direction. Additionally, it includes a landscaped strip acting as a buffer between the paved road and sidewalk and another landscaped lot and public utility easement. The total right-of-way (ROW) is approximately 136 feet.

Figure 5: Proposed Oakdale Road Cross Section
Source: Tivoli Specific Plan, 2008
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Claratina Avenue within the study area is an east-west, two-lane undivided roadway connecting SR 108 (McHenry Avenue) to Oakdale Road. The north side of the segment is primarily agricultural, except near the intersection with McHenry Avenue, where a used car dealership and a church are located. The south side is predominantly residential. The posted speed limit for this segment is 45 mph.

Figure 6 shows the proposed Claratina Avenue cross section east of Oakdale Road included in the Tivoli Specific Plan, which proposes widening of the roadway to six lanes. Pedestrian pathways are included in both directions and a Class I Bike path is proposed on the north side. The total right-of-way is approximately 126 feet.

Figure 6: Claratina Avenue Cross Section
Source: Tivoli Specific Plan, 2008
Besides the two study segments, the other major cross streets include Claribel Road, Sylvan Avenue, and Mable Avenue. For the purpose of this study, it is anticipated that there will be no changes in numbers of travel lanes on the cross streets.
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INTERSECTION CONFIGURATIONS
Oakdale and Claribel Road
The planned intersection geometry for Oakdale Road and Claribel Road was obtained from the North County Corridor Phase 1 project, as shown in Figure 7. An additional southbound through lane and northbound left-turn pockets will be added to the existing intersection. Additionally, the westbound through lane will be converted into a left-turn trap lane, and a new westbound right-turn pocket will be added.

The Oakdale Road intersection at the North County Corridor identified in the exhibit was included in the future road network for traffic forecasts, but its operations were not evaluated in this study.

Figure 7: North County Corridor Phase 1 Project - Conceptual Exhibit Source: North County Corridor Phase 1 Project, 2024
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Coffee Road and Claratina Avenue
Figure 8 illustrates the planned roundabout at Coffee Road and Claratina Avenue, which will convert the existing single-lane roundabout into a multilane roundabout, with two circulating lanes on all approaches, and with yield-controlled right-turn bypass lanes on the eastbound (west leg) and southbound (north leg) approaches.

Figure 8: Coffee Road and Claratina Avenue Planned Roundabout Source: City of Modesto, 2024
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Traffic Operations
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Traffic Operations
The following section evaluates the traffic operations at the study intersections and roadway segments.

INTERSECTION ANALYSIS
The study intersections were evaluated using the methodologies of the Transportation Research Board’s (TRB) Highway Capacity Manual (HCM) 7th Edition. Traffic signal timing data was obtained from the City of Modesto, City of Riverbank, and Stanislaus County. Roundabout configuration was based on feasible implementation and coordination with City staff. The analysis was implemented using the PTV VISTRO traffic analysis software package.

Intersection operations results are based on intersection control delay (in seconds) and correspond to a Level of Service (LOS). LOS is a qualitative measure of the effect of a number of factors, including speed and travel time, traffic interruptions and delay, freedom to maneuver, driving comfort, and convenience.

The operational LOS are given letter designations from A to F, with A representing free-flow (underutilized) operating conditions and F representing severely congested flow (over-capacity) with high delays
Table 4 presents the relationship between the average delay to LOS for both signalized, roundabout and unsignalized intersections from the HCM 7th edition. Although the HCM recommends evaluating roundabouts using unsignalized delay thresholds, this study, in consultation with City staff, has applied the signalized criteria to roundabouts to enable a more equitable comparison. #4..
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Table 4: Level of Service Definition for Intersections
Signalized Intersection and
Roundabout LOS
Description of Traffic
Conditions
Unsignalized
Intersection
Average Delay Per Vehicle
(Seconds)
Average Delay Per
Vehicle (Seconds)
≤10.0 A Free flowing. Most vehicles do
not have to stop.
≤10.0
>10.0 and ≤20.0 B Minimal delays. Some vehicles
have to stop, although waits
are not bothersome.
>10.0 and ≤15.0
>20.0 and ≤35.0 C Acceptable delays. Significant
numbers of vehicles have to
stop because of steady, high
traffic volumes. Still, many
pass without stopping.
>15.0 and ≤25.0
>35.0 and ≤55.0 D Tolerable delays. Many
vehicles have to stop. Drivers
are aware of heavier traffic.

Cars may have to wait through
more than one red light.

Queues begin to form, often
on more than one approach.
>25.0 and ≤35.0
>55.0 and ≤80.0 E Significant delays. Cars may
have to wait through more
than one red light. Long
queues form, sometimes on
several approaches.
>35.0 and ≤50.0
>80.0 F Excessive delays. Intersection
is jammed. Many cars have to
wait through more than one
red light, or more than 60
seconds. Traffic may back up
into “up-stream” intersections.
>50.0
Source: Transportation Research Board, Highway Capacity Manual 7th Edition As per the City of Modesto General Plan, LOS standard is LOS “D” or better for all intersections. Under Policy V.A.6, on roadways where the LOS is expected to be level F, mitigation measures other than road widening, such as the addition of bicycle lanes, improved pedestrian access, improved transit service, and the establishment of walkable development patterns to improve the quality of service for all travel modes are to be considered.

The study intersections LOS analysis results are presented below under each study scenario. #4..
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Existing Conditions
Figure 9 shows the existing lane configuration and traffic control for each study intersection. Kittelson conducted weekday morning (7:00 AM to 9:00 AM) and weekday evening (4:00 AM to 6:00 PM) peak periods turning movement counts at the study intersections in June 2024. A summary of the traffic count data is provided in Appendix A.

Figure 10 and Figure 11 summarizes the AM and PM Peak Hour traffic volumes, respectively. The intersection operation results for the AM and PM peak hours are shown in Table 5. Detailed LOS worksheets are available in Appendix B.

Figure 9: Existing Lane Configuration and Traffic Control Source: Kittelson & Associates, Inc. 2025
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Figure 10: Existing Conditions - AM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
Figure 11: Existing Conditions - PM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
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Table 5: Existing Conditions LOS Results
No. Intersection Name Control Type Peak
Hour
Existing Conditions
V/C Delay LOS
1 McHenry Ave & Palandale Ave/Claratina Ave Signalized AM 0.610 25.8 C PM 0.672 50.3 D
2 Coffee Rd & Claratina Ave Roundabout13 AM NA 8.8 A
PM NA 27.6 D
3 Oakdale Rd & Claratina Ave Signalized AM 0.645 12 B
PM 0.828 35.3 D
4 Oakdale Rd & Claribel Ave Signalized AM 0.399 24.7 C
PM 0.638 131.4 F
5 Oakdale Rd & Mable Ave Signalized AM 0.421 18.4 B
PM 0.565 64.5 E
6 Oakdale Rd & Bridgewood Way Two-way Stop AM 0.020 20.3 C PM 0.026 52.6 F
7 Oakdale Rd & Sylvan Ave Signalized AM 0.402 62.2 E
PM 0.587 52 D
Notes:

AM = weekday a.m. peak hour; PM = weekday p.m. peak hour; V/C = volume/capacity ratio; LOS = Level of Service; Delay reported in seconds per vehicle; No. = intersection number.
1 single circulating lane roundabout; 2dual circulating lane roundabout; 3includes bypass lanes Bold text indicates operations below the LOS standard.

Source: Highway Capacity Manual 7th Edition; Kittelson & Associates, 2025 Under existing conditions, four intersections operate below acceptable LOS thresholds during at least one of the peak hours. However, none of the intersections are operating over capacity (V/C greater than 1.00).

Future (2046) Planned Conditions
The Future (2046) Planned Conditions represents the future roadway network outlined in the General Plan, which includes expanding Oakdale Road and Claratina Avenue to six lanes. Figure 12 shows the lane configuration and traffic control for each study intersection under planned conditions. The Oakdale Road and Bridgewood Way intersection was evaluated as a signalized intersection. #4..
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Figure 12: Future (2046) Planned Conditions Intersection Lane Configuration Source: Kittelson & Associates, Inc. 2025
Traffic volumes were extracted using the Stanislaus Council of Governments (StanCOG) 2022 Regional Transportation Plan (RTP) Travel Demand Model. The StanCOG travel demand model forecasts traffic volumes considering inputs such as land uses, population characteristics, and roadway capacities. The model was updated to include the most recent plans for the North County Corridor and the roads within the Tivoli Specific Plan.

The model provides traffic estimates for a pre-COVID base year (2019) and a future horizon year (2046).

The base year model reasonably reflects transportation demand conditions for the Existing Conditions scenario, and the Year 2046 horizon year model generally reflects transportation conditions with expected regional growth consistent with the city’s General Plan land use pattern and transportation system.

Figure 13 and Figure 14 summarizes the 2046 AM and PM Peak Hour traffic volumes, respectively. The intersection operation results for the 2046 AM and PM peak hours are shown in Table 6. Detailed LOS worksheets are available in Appendix C.
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Figure 13: Future (2046) Planned Conditions - AM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
Figure 14: Future (2046) Planned Conditions - PM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
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Table 6: Future (2046) Planned Conditions LOS Summary
No
.

Intersection Name Control Type Peak
Hour
2046 Planned (6 Lane)
V/C Delay LOS
1 McHenry Ave & Palandale Ave/Claratina
Ave
Signal AM 0.572 32.86 C
PM 0.890 167.00 F
2 Coffee Rd & Claratina Ave Roundabout23 AM NA 14.36 B
PM NA 61.43 E
3 Oakdale Rd & Claribel Ave Signal AM 0.298 25.91 C
PM 0.660 70.76 E
4 Oakdale Rd & Claratina Ave Signal AM 1.138 125.34 F
PM 0.970 137.22 F
5 Oakdale Rd & Mable Ave Signal AM 0.463 17.57 B
PM 0.470 17.20 B
6 Oakdale Rd & Bridgewood Way Signal AM 0.380 14.48 B
PM 0.440 14.57 B
7 Oakdale Rd & Sylvan Ave Signal AM 0.702 45.73 D
PM 0.780 95.40 F
Notes:

AM = weekday a.m. peak hour; PM = weekday p.m. peak hour; V/C = volume/capacity ratio; LOS = Level of Service; Delay reported in seconds per vehicle; No. = intersection number. 1 single circulating lane roundabout; 2dual circulating lane roundabout; 3includes bypass lanes Bold text indicates operations below the LOS standard.

Source: Highway Capacity Manual 7th Edition; Kittelson & Associates, 2025 Traffic signal timings were optimized to balance the volume and capacity on each of the signalized intersection. Under Future (2046) Planned Conditions, five intersections operate below acceptable LOS thresholds during at least one of the peak hours. However, only Oakdale Road and Claratina Avenue intersection is operating over capacity.

Future (2046) Adjusted (Reduced Classification) Conditions The Future (2046) Adjusted Conditions represents the future roadway network which evaluates an alternative scenario where the study corridors are classified as four lanes instead of six lanes. Additionally, the intersections at Oakdale Road and Claratina Avenue; Oakdale Road and Mable Avenue; Oakdale Road and Bridgewood Way; and Oakdale Road and Sylvan Avenue were evaluated as roundabouts as shown in Figure 15.

The traffic volumes were projected using the StanCOG travel demand model by updating the number of lanes to represent the reclassified four-lane segments, which resulted in a slight decrease in volumes as presented in Figure 16 and Figure 17.

The intersection operation results for the AM and PM peak hours are shown in Table 7. Detailed LOS worksheets are available in Appendix D.
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Figure 15: Future (2046) Adjusted Conditions Lane Configuration and Traffic Controls Source: Kittelson & Associates, Inc. 2025
Figure 16: Future (2046) Adjusted Conditions - AM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
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Figure 17: Future (2046) Adjusted Conditions - PM Peak Hour Traffic Volumes Source: Kittelson & Associates, Inc. 2025
Table 7: Future (2046) Adjusted Conditions LOS Summary
No. Intersection Name Control Type 2046 Adjusted (4 Lane) Change From
Planned
V/C Delay LOS
1 McHenry Ave & Palandale Ave/Claratina Ave Signalized 0.565 46.7 D 13.84

0.857 76.4 E -90.6
2 Coffee Rd & Claratina Ave Roundabout23 NA 16.8 C 2.44 NA 67.8 E 6.37
3 Oakdale Rd & Claribel Ave Signalized 0.382 34.46 C 8.55

0.78 69.2 E -1.56
4 Oakdale Rd & Claratina Ave Roundabout23 NA 15.7 B -109.64 NA 34.8 C -102.42
5 Oakdale Rd & Mable Ave Roundabout2 NA 7.3 A -10.27
NA 11.2 B -6
6 Oakdale Rd & Bridgewood Way Roundabout1 NA 6.8 A -7.68 NA 9.4 A -5.17
7 Oakdale Rd & Sylvan Ave Signalized 0.599 42.3 D -3.43

0.787 94.5 F -0.9
Notes:

AM = weekday a.m. peak hour; PM = weekday p.m. peak hour; V/C = volume/capacity ratio; LOS = Level of Service; Delay reported in seconds per vehicle; No. = intersection number.
1 single circulating lane roundabout; 2dual circulating lane roundabout; 3includes bypass lanes Bold text indicates operations below the LOS standard.

Source: Highway Capacity Manual 7th Edition; Kittelson & Associates, 2025 #4..
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Traffic signal timings were optimized to balance the volume and capacity on each approach of the signalized intersections. Under future (2046) adjusted conditions, four intersections would operate below acceptable LOS thresholds during at least one peak hour. However, none of the intersections would operate over capacity. In most locations, the delay would decrease from the Future (2046) Planned Conditions except for Coffee Road and Claratina Avenue. The intersection is an existing roundabout and with the planned growth is expected to continue to operate at LOS E.

Oakdale Road / Sylvan Avenue
Figure 18 shows the conceptual roundabout at Oakdale Road and Sylvan Avenue, which includes two circulating lanes at every approach, dual right-turn bypass lanes on the westbound approach, and single right turn bypass lanes on the northbound and southbound approach. Kittelson evaluated this roundabout using both VISTRO and SIDRA software. The HCM does not provide a methodology for analyzing a dual bypass lane, but both Vistro and SIDRA use proprietary methodologies to produce results. The Kittelson team compared the results of each analysis from both models to what supported by research and documented in HCM7 about one- versus two-lane roundabout approaches. Kittelson then selected the most appropriate results for inclusion in this study.

Figure 18: Oakdale Road and Sylvan Avenue - Conceptual Roundabout Source: City of Modesto, 2024
Table 8 summarizes the LOS and delay at the Oakdale Road and Sylvan Avenue intersection under both signalized and roundabout scenarios for the Future (2046) Adjusted Conditions. During the AM peak hour, the roundabout would perform better than the signal. In the PM peak hour, the VISTRO analysis shows higher delay for the roundabout compared to the signal. However, Kittelson conducted a supplemental analysis using SIDRA, and found that the roundabout would result in lower average delays than the signal. #4..
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Kittelson also evaluated the intersection with a single bypass right-turn lane and found minimal change in delay, indicating that the additional bypass lane may not provide any additional capacity benefit Table 8: Oakdale Road and Sylvan Avenue Intersection LOS Summary No. Intersection Name Control Type Software Peak
Hour
2046 Buildout (4 Lane)
V/C Delay LOS
7 Oakdale Rd & Sylvan Ave Signal VISTRO
AM 0.599 42.3 D
PM 0.787 94.5 F
7 Oakdale Rd & Sylvan Ave
Roundabout – Dual
Right Turn Bypass
Lanes
VISTRO
AM NA 13.55 B
PM NA 127.48 F
7 Oakdale Rd & Sylvan Ave
Roundabout – Dual
Right Turn Bypass
Lanes
SIDRA
AM 0.796 16 B
PM 1.154 59.9 E
7 Oakdale Rd & Sylvan Ave
Roundabout – Single
Right Turn Bypass
Lanes
SIDRA PM 1.154 60.2 E
Notes:

AM = weekday a.m. peak hour; PM = weekday p.m. peak hour; V/C = volume/capacity ratio; LOS = Level of Service; Delay reported in seconds per vehicle; No. = intersection number.

Bold text indicates operations below the LOS standard.

Source: Highway Capacity Manual 7th Edition; Kittelson & Associates, 2025 Other Considerations for Roundabouts
The Future (2046) Adjusted scenario changes four intersections along Oakdale Road from signalized to roundabout control. The Future (2046) Planned scenario showed signal operations not being able to efficiently handle the volumes resulting in high delays at some intersections, even with six through lanes on the study corridors. Reducing the through lanes from three to two in each direction would only worsen the delays if remaining under signalized control. However, the proposed roundabouts can provide similar or lower delays with two lanes in each direction. Further, there are other considerations where roundabouts may provide benefits at these locations.

Safety Benefits
Roundabouts are an FHWA Proven Safety Countermeasure because they can substantially reduce crashes that result in serious injury or death. In comparison to signalized intersections, roundabouts have been shown to result in reductions of up to 78% of fatal and injury crashes.4 Right-of-Way Constraints
Kittelson's comparison between roundabouts and traffic signals is based solely on operational analysis.

However, it is important to also consider right-of-way (ROW) constraints and potential acquisition costs 4 FHWA Highway Safety Programs. Retrieved from https://highways.dot.gov/safety/proven-safetycountermeasures/roundabouts #4..
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associated with implementing roundabouts. The City of Modesto has developed conceptual exhibits overlaying roundabout layouts with property lines to assess whether they can be constructed within existing city ROW. The proposed roundabout configurations fit within the existing right-of-way, as the number of approach lanes is able to be reduced using a roundabout compared to a signal. As explained in Section 2.4.3 of NCHRP Research Report 1043: Guide for Roundabouts, the following spatial considerations apply to roundabouts in comparison to other intersection control types:
„ Roundabouts may be larger at the intersection than other control types because of their size and shape.
„ Roundabouts may be able to be spaced more closely to one another than traffic signals because of shorter queue lengths (less chance of queue spillback). „ Roundabouts may serve similar or more capacity with fewer total lanes (e.g., no dedicated left- or right-turn lanes) than signals—meaning the roadway between intersections can be narrower.

Additional detailed design work will be necessary to confirm the constructability of the roundabouts.

Site Access
As with any intersection form and control type, site access in the immediate vicinity of an intersection creates challenges. A few considerations for roundabouts include:
„ Roundabouts provide safe and efficient U-turn opportunities which allows for full access points to be converted to right-in, right-out or left-in, right-out. This allowance removes the most difficult and riskiest movements at an access point (left-out movements) by converting them to U-turns. „ Because roundabouts may allow for fewer lanes on the approach compared to signalized intersection, they are conducive to access management (with a median taking the place of what could have been a turn lane in a signalized alternative). „ Access is strongly discouraged within 50 feet of the circulatory roadway (between the entry and pedestrian crosswalk). This location complicates the pedestrian ramp and creates wayfinding challenges for people with vision disabilities, and also introduces new conflicts in a challenging location for drivers.
„ Access is best avoided along the splitter island of a roundabout approach; however, if it is unavoidable, then right-in, right-out access can be provided with a U-turn at the intersection as previously described. 5 Additionally, access could be accommodated by shortening a splitter island to allow for left turns to and from a driveway, although doing so introduces more conflict points.6 Roundabouts may offer the ability to provide access to adjacent properties closer to the intersection than signalized intersections without the associated degradation in operations and safety associated with nearby access at signals.
5 MassDOT and Kittelson & Associates. Guidelines for the Planning and Design of Roundabouts. 5.9.6 Access Management. Retrieved from https://www.mass.gov/doc/massdot-guidelines-for-the-planning-and-design-ofroundabouts/download 6 Modern Roundabout Intersections: When To Use Them? A Comparison with Signalized Intersections. Retrieved from https://www.mvcommission.org/sites/default/files/docs/Roundabout___comparison_with_signals.pdf #4..
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Corridor Operations
Roundabouts located along a corridor provide advantages over signalized corridors or corridors with a mix of control types. Because roundabouts serve similar or greater capacity than comparable signals with shorter queue lengths than comparable signalized intersections and without producing platoons.

Roundabout operations result in randomized flow rather than platoons. Roundabout operations are typically better with a random arrival pattern than with a platooned flow; mixing signals and roundabouts may result in platoons arriving at a roundabout from a nearby signal and creating queueing.

As a result, when considering roundabouts, consistency along the corridor is beneficial for driver expectations and for operational performance should be considered to allow drivers to develop a sense of predictability and help optimize the traffic flow.7 Consistency along Oakdale Road is recommended for operational efficiency.

ROADWAY SEGMENT ANALYSIS
Traffic volumes on roadway segments are used to determine the overall usage and congestion. Under existing conditions, the roadway segment analysis is based on traffic counts taken at a single location or link, which is intended to be representative of the entire segment.

LOS for roadway segments is assessed based on the volume in relationship to the capacity threshold as presented in the HCM 2010 edition and adopted by the City of Modesto as shown in Table 9. 7 TDOT Roundabout Design Refence Guide. Retrieved from https://www.tn.gov/content/dam/tn/tdot/roadwaydesign/documents/training/Roundabout%20Design%20Reference%20Guide.pdf#:~:text=Roundabouts%20result%20i n%20randomized%2C%20un%2Dplatooned%20flow%20along,in%20a%20corridor%20with%20coordinated%20signal %20progression.&text=Roundabout%20corridors%20can%20also%20provide%20for%20design,adjust%20where%20r ight%2Dof%2Dway%20impacts%20occur%20at%20intersections. #4..
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Table 9: Roadway Segment Threshold and LOS Relationship Table 10 includes roadway segment analysis summary under each study scenario. Under existing conditions with two lanes, Oakdale Rd between Claribel Rd & Claratina Ave operates at LOS D with a volume-to-capacity (V/C) ratio at 0.90. Traffic volumes for future conditions are based on the StanCOG travel demand model as explained in the earlier sections. Under both Future (2046) Planned Conditions #4..
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and Future (2046) Adjusted Conditions, all roadway segments would operate at LOS A. Given that a V/C ratio near 1.0 indicates optimal capacity utilization, the low ratios in the Future (2046) Planned Conditions represents overbuilt conditions.

Table 10: Roadway Segment Analysis Summary
# Roadway Segment
Existing Conditions Future (2046) – Planned
Conditions
Future (2046) – Adjusted
Conditions
Volume Daily
V/C LOS Volume Daily V/C LOS Volume Daily V/C LOS
1 Oakdale Rd between
Claribel Rd & Claratina Ave 19,100 0.90 D 20,100 0.32 A 17,600 0.41 A 2 Oakdale Rd between
Claratina Ave & Mable Ave 24,000 0.75 C 29,500 0.46 A 25,400 0.60 A 3 Oakdale Rd between Mable
Ave & Bridgewood Way 24,900 0.78 C 29,360 0.46 A 25,300 0.60 A 4 Oakdale Rd between
Bridgewood Way & Sylvan
Ave
25,400 0.79 C 29,500 0.46 A 25,400 0.60 A
5 Claratina Ave between
McHenry Ave & Coffee Rd 14,100 0.75 C 23,150 0.41 A 22,700 0.60 A 6 Claratina Ave between
Coffee Rd & Oakdale Rd 9,670 0.52 A 19,000 0.34 A 19,800 0.53 A Source: Kittelson & Associates, Inc. 2025

TRAVEL TIME
Table 11 represents the travel time analysis summary for the study corridor under existing conditions and Table 12 represents projected travel time for the study corridor under both the Planned and Adjusted conditions. Under the Adjusted conditions, travel times are expected to decrease by 0.6 – 2.6 minutes compared to Planned conditions. There are two cases in which travel times are projected to increase under Adjusted conditions, both by 0.1 minutes. The existing conditions travel times were determined through Ggoogle Maps data, while the planned and adjusted were determined by adding the delays at intersections along the corridor to the travel time between each intersection. #4..
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Table 11: Travel Time Summary - Existing Conditions
Roadway Route Movement Weekday
(min)
Weekday
Peak (min)
Monday -
Friday
(min)
Monday -
Friday
Peak (min)
Avg StD Avg StD Avg StD Avg StD
Claratina
Avenue
CA 108 to
Oakdale Road Eastbound 3.3 0.3 29.7 2.9 3.3 0.3 3.9 0.1 Claratina
Avenue
Oakdale Road to
CA 108
Westbound 3.1 0.2 34.7 1.0 3.1 0.2 3.5 0.0
Oakdale
Road
Sylvan Avenue to
Claribel Avenue Northbound 3.2 0.6 23.6 2.0 3.3 0.8 4.7 0.7 Oakdale
Road
Claribel Avenue to
Sylvan Avenue Southbound 3.2 0.7 21.7 2.0 3.4 1.0 5.5 1.1 Note: StD – Standard Deviation
Source: Kittelson & Associates, Inc. 2025
Table 12: Travel Time Summary - Future Conditions
Roadway Route Movement 2046 Planned
(min)
2046 Adjusted
(min)

AM PM AM PM
Claratina
Avenue
CA 108 to Oakdale Road Eastbound 3.8 8.1 3.3 5.5
Claratina
Avenue
Oakdale Road to CA 108 Westbound 4.4 5.0 3.4 4.4
Oakdale Road Sylvan Avenue to Claribel
Avenue
Northbound 4.0 6.9 4.1 6.4
Oakdale Road Claribel Avenue to Sylvan
Avenue
Southbound 4.4 5.6 3.8 5.7
Source: Kittelson & Associates, Inc. 2025
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VEHICLE MILES TRAVELED ASSESSMENT
Table 13 summarizes the Vehicle Miles Traveled (VMT) assessment for the three study scenarios. The total VMT in Stanislaus County was calculated using the StanCOG travel demand model. Under the Future (2046) Adjusted Conditions, the total VMT is expected to decrease slightly compared to Future (2046) Planned Conditions. This is likely due to less induced demand because of the reduction in travel lanes.

Table 13: VMT Summary
Scenario Stanislaus County
Total VMT
Existing Conditions 11,056,945
Future (2046) Planned Conditions 13,395,154
Future (2046) Adjusted Conditions 13,395,008
Change with Adjusted Conditions -147
Source: Kittelson & Associates, Inc. 2025
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Summary
The Study findings and conclusions are provided below by corridor.

Oakdale Road
The Study confirms that Oakdale Road (from Claribel Avenue to Scenic Drive) can be reclassified from their planned six-lane classification to four lanes, while still accommodating the area’s anticipated future growth to the 2046 horizon year.

Further, the operational analysis confirms that the following intersections would perform more efficiently as roundabouts rather than signalized intersections.
o Oakdale Rd & Claratina Ave
o Oakdale Rd & Mable Ave
o Oakdale Rd & Bridgewood Way
o Oakdale Rd & Sylvan Ave
The findings and conclusions from the traffic operational analysis by scenario are summarized below:
„ Existing Conditions: The following four intersections operate below acceptable LOS thresholds during at least one of the peak hours. However, none of the intersections are operating over capacity.
o Oakdale Rd & Claribel Ave – PM Peak Hour
o Oakdale Rd & Claratina Ave – PM Peak Hour
o Oakdale Rd & Mable Ave – PM Peak Hour
o Oakdale Rd & Bridgewood Way – PM Peak Hour
o Oakdale Rd & Sylvan Ave – AM Peak Hour
„ Future (2046) Planned Conditions: The following five intersections would operate below acceptable LOS thresholds during at least one of the peak hours. However, only Oakdale Road and Claratina Avenue intersection would operate over capacity. o Oakdale Rd & Claribel Ave
o Oakdale Rd & Claratina Ave
o Oakdale Rd & Sylvan Ave
„ Future (2046) Adjusted Conditions: The following four intersections would operate below acceptable LOS thresholds during at least one of the peak hours. However, none of the intersections would operate over capacity.
o Oakdale Rd & Claribel Ave
o Oakdale Rd & Sylvan Ave
For all locations the average delay would decrease from the Future (2046) Planned Conditions, as shown in Table 14.
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.

Intersection Name Control
Type
Peak Hour
Existing Conditions 2046 No Build 2046 Buildout (6 Lane) Control Type 2046 Buildout (4 Lane) Change V/C Delay LOS V/C Delay LOS V/C Delay LOS V/C Delay LOS 4 Oakdale Rd &
Claratina Ave
Signalized AM 0.548 53.3 D 1.234 284.47 F 1.138 125.3
4 F Roundabout23 NA 15.7 B -109.64
PM 0.86 76.9 E 10.04 1,351.5 F 0.97 137.2
2 F NA 34.8 C -102.42
5 Oakdale Rd & Mable
Ave
Signalized AM 0.44 30.5 C 0.75 71.55 E 0.463 17.57 B Roundabout 2 NA 7.3 A -10.27 PM 0.813 70.8 E 0.90 341.03 F 0.47 17.20 B NA 11.2 B -6 6 Oakdale Rd &
Bridgewood Way
Signalized AM Currently No Signal Currently No Signal 0.386 14.48 B Roundabout1 NA 6.8 A -7.68 PM 0.44 14.57 B NA 9.4 A -5.17
7 Oakdale Rd & Sylvan
Ave
Signalized AM 0.45 102.4 F 0.599 42.54 D 0.702 45.73 D Roundabout23 0.796 16 B -29.73 PM 0.606 87.7 F 0.79 106.17 F 0.78 95.40 F 1.154 59.9 E -35.5 Notes: AM = weekday a.m. peak hour; PM = weekday p.m. peak hour; V/C = volume/capacity ratio; LOS = Level of Service; Delay reported in seconds per vehicle; No. = intersection number. 1single circulating lane roundabout; 2dual circulating lane roundabout; 3includes bypass lanes Bold text indicates operations below the LOS standard. Source: Highway Capacity Manual 7th Edition; Kittelson & Associates, 2025 #4..
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Claratina Avenue
The Study confirms that Claratina Avenue (from Oakdale Road to McHenry Avenue) can be reclassified from their planned six-lane classification to four lanes, while still accommodating the area’s anticipated future growth to the 2046 horizon year.

The findings and conclusions from the traffic operational analysis by scenario are summarized below:
„ Existing Conditions: The following four intersections operate below acceptable LOS thresholds during at least one of the peak hours. However, none of the intersections are operating over capacity.
o McHenry Ave & Palandale Ave/Claratina Ave
„ Future (2046) Planned Conditions: The following five intersections would operate below acceptable LOS thresholds during at least one of the peak hours. However, only Oakdale Road and Claratina Avenue intersection would operate over capacity. o McHenry Ave & Palandale Ave/Claratina Ave
o Coffee Rd & Claratina Ave
„ Future (2046) Adjusted Conditions: The following four intersections would operate below acceptable LOS thresholds during at least one of the peak hours. However, none of the intersections would operate over capacity.
o McHenry Ave & Palandale Ave/Claratina Ave
o Coffee Rd & Claratina Ave
In most locations, average delay would decrease from the Future (2046) Planned Conditions except for Coffee Road and Claratina Avenue. The intersection is an existing roundabout and with the planned growth in expected to continue to operate at LOS E.

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CITY OF MODESTO
ORDINANCE NO. 3806-C.S.

The following Ordinance was introduced by the City Council of the City of Modesto at the meeting of February 10, 2026:

AN ORDINANCE APPROVING TIVOLI SPECIFIC PLAN AMENDMENT NO. 6, TO AMEND THE CHAPTER 3 STREET HIERARCHY DIAGRAM TO CHANGE THE

CLASSIFICATION OF OAKDALE ROAD AND CLARATINA AVENUE FROM SIX

LANE ARTERIAL STREETS TO FOUR LANE ARTERIAL STREETS, AND TO AMEND TEXT IN CHAPTER 9 RELATIVE TO SPECIFIC PLAN ADMINISTRATION,

AND TO REAFFIRM PRIOR MAJOR AMENDMENTS TO THE TIVOLI SPECIFIC

PLAN ADOPTED BY CITY COUNCIL RESOLUTION (CITY OF MODESTO) Copies of the above-mentioned ordinance are posted at the following locations:
 Tenth Street Place, 1010 10th Street
 Neighborhood Center at Marshall Park, 420 Chicago Ave.  Senior Citizen Center, 211 Bodem Street
Diane Nayares-Perez
City Clerk
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: January 26, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Scotty Douglass, Deputy City Manager
SUBJECT: Sale of Surplus Properties: Frazine Rd. (APN # 133-001-026) and Carpenter Rd. (APN # 029-012-050)
CONTACT: Scotty Douglass, Deputy City Manager,
[email protected], 209-577-9149
DESCRIPTION:

Consider approving the sale of 10,000 square feet of surplus exempt property identified as Assessor’s Parcel Number 133-001-026 located at Frazine Rd. in the amount of $75,000, and the sale of 2,474 square feet of surplus exempt property identified as Assessor’s Parcel Number 029-012-050 located at Carpenter Rd. in the amount of $10,000. (Funding Source: Water Funds)
STRATEGIC PLAN ELEMENT:

The recommended action supports the City’s 2025-2026 Strategic Plan Element Goal B:

Enhance pride in Modesto’s diverse neighborhoods and business districts by actively addressing blight and ensuring that community assets and amenities are well-maintained and preserved.

BACKGROUND:

The Surplus Land Act (SLA)1 requires all local agencies to prioritize affordable housing, parks, and open space when disposing of surplus land. The legislation requires that before a local agency take any action to dispose of land, the land must be declared as either surplus land or exempt surplus land and supported by written findings.

In August of 2024, the City of Modesto inventoried the real property assets owned by the City and the City of Modesto Redevelopment Successor Agency (“Successor Agency”).

On August 27, 2024, by Resolution No. 2024-309, the City Council declared certain properties as “surplus land” to continue the process of evaluating surplus and/or underutilized properties in its portfolio, and to commence the process for the conveyance of those properties. Furthermore, on September 23, 2025, by Resolution No. 2025-334, the City Council declared certain properties from the “surplus land” list as exempt surplus 1 Final Updated Surplus Land Act Guidelines 2024
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City Council, February 24, 2026
Sale of Surplus Properties: Frazine Rd. (APN # 133-001-026) and Carpenter Rd. (APN # 029-012-050)

so that the City may begin the process to sell or lease such properties through the Surplus Land Act Process.

DISCUSSION:

Since the adoption of Resolution No. 2025-334, declaring certain properties as exempt surplus land, staff has begun the process of selling and disposing of those properties.

Accordingly, this item brings forward the sale agreements for the exempt surplus properties located on Frazine Road (APN 133-001-026) and Carpenter Road (029-012- 050).

A broker’s opinion of value was prepared by PMZ Real Estate to establish an appropriate sale price, which has been met by the prospective buyers. Any proceeds from the sale of surplus properties will be deposited into the fund from which the property was originally purchased.

Following City Council approval of these sale agreements, staff will submit the City’s Notice of Exemption determination to the State Department of Housing and Community Development in compliance with state law, which requires notification at least 30 days prior to final disposition of the properties.

Notice of Exemption Determination
Government Code section 54221 (f)(1)(B) defines land that is less than 21,780 square feet in area (1/2 acre) and is not contiguous to land owned by a local agency that is used for open-space or low- and moderate-income housing purposes as exempt surplus land. The parcels proposed to be declared exempt surplus land all fall within this exception.

The property located a Frazine Road (Assessor’s Parcel Number 133-001-026) is approximately 10,000 square feet. This property will be sold for $75,000 to Troy Nolan Wells. The property located at Carpenter Road (Assessor’s Parcel Number 029-012-050) is approximately 2,474 square feet. This property will be sold for $10,000 to Jason Schlarb.

FISCAL IMPACT:

The two properties will be sold for a combined purchase price of $85,000. As part of the sale, the City has agreed to cover all of the closing costs, will be paid for out of the purchase price proceed. Closing costs are estimated not to exceed a combined amount of $3,000. The properties are both owned by the Water Enterprise, and the proceeds of sale (less closing costs) will be deposited into the Water Fund. In addition, the City will no longer need to pay maintenance costs and other costs associated to keep the properties.

COMMITTEE RECOMMENDATION:

This item was presented to the Finance Committee on August 25, 2025, and the City Council subsequently approved disposing of these properties on September 3, 2025.

Therefore, this item is not required to be reviewed by a Council Committee.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the sale of 10,000 square feet of surplus exempt property identified as Assessor’s Parcel Number 133-001-026, located at Frazine Rd. in the amount of $75,000 to Troy Nolan Wells and authorizing the City Manager, or his designee, to execute the Purchase #5..
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City Council, February 24, 2026
Sale of Surplus Properties: Frazine Rd. (APN # 133-001-026) and Carpenter Rd. (APN # 029-012-050)

and Sale Agreement and all related documents required to complete the transaction.

Resolution approving the sale of 2,474 square feet of surplus exempt property identified as Assessor’s Parcel Number 029-012-050 located at Carpenter Rd. in the amount of $10,000 to Jason Schlarb and authorizing the City Manager, or his designee, to execute the Purchase and Sale Agreement and all related documents required to complete the transaction.

Approved by:

Scotty Douglass, Deputy City Manager
Joseph P. Lopez, City Manager
Attachments:

1. Resolution Frazine

2. Resolution Carpenter

3. Purchase and Sale Agreement Frazine Rd.

4. Purchase and Sale Agreement Carpenter Rd.
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1 Meeting Date/Dept/Contact/Item # 2026-xxx

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-XX
RESOLUTION APPROVING THE SALE OF 10,000 SQUARE FEET OF
SURPLUS EXEMPT PROPERTY IDENTIFIED AS ASSESSOR’S PARCEL NUMBER 133-001-026 LOCATED AT FRAZINE RD. IN THE AMOUNT OF $75,000 TO TROY NOLAN WELLS AND AUTHORIZING THE CITY

MANAGER, OR HIS DESGINEE, TO EXECUTE THE PURCHASE AND SALE

AGREEMENT AND ALL RELATED DOCUMENTS REQUIRED TO

COMPLETE THE TRANSACTION
WHEREAS, the City of Modesto has completed the process of inventorying its real estate property assets. The City wishes to continue the process of evaluating and selling surplus and/or underutilized properties in its portfolio; and WHEREAS, the Surplus Land Act (Government Code sections 54220-54234; “SLA”) requires local agencies to offer surplus land for sale or lease to affordable housing developers and certain other entities through a process described therein before selling or leasing the land or engaging in negotiations to dispose of the land; and WHEREAS, the City Staff has identified various properties as potential surplus property which are exempt and non-exempt. While the City is permitted to negotiate with multiple entities on the same property at the same time, given the limited staff resources, and variety in size, shape, topography and development potential of each property, it is expected that once the properties are declared surplus, they will follow individual schedules for property negotiation, rezoning and ultimately disposition; and WHEREAS, on September 23, 2025, by Resolution No. 2025-334, the City Council declared certain properties from the “surplus land” list as exempt surplus so that the City may begin the process to sell or lease such properties through the Surplus Land Act Process; and
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2 Meeting Date/Dept/Contact/Item # 2026-xxx
WHEREAS, the City has determined that the property identified as Assessor’s Parcel Number 133-001-026 located at Frazine Rd. is exempt surplus property pursuant to Government Code section 54221(f)(1)(B) because it is only 10,000 square feet; and WHEREAS, a broker’s opinion of value was prepared by PMZ Real Estate to establish an appropriate sale price, which has been met by the prospective buyer. Any proceeds from the sale of this surplus property will be deposited into the fund from which the property was originally purchased; and
WHEREAS, following City Council approval of this sale agreement, staff will submit the City’s Notice of Exemption determination to the State Department of Housing and Community Development in compliance with state law, which requires notification at least 30 days prior to final disposition of the property.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the sale of the 10,000 square feet of surplus exempt property identified assessor’s parcel number 133-001-026 located at Frazine Rd. in the amount of $75,000 to Troy Nolan Wells.

BE IT FURTHER RESOLVED, that the City Manager, or his designee is hereby authorized to execute the Purchase and Sale Agreement and all related documents required to complete the transaction, in a form approved by the City Attorney.

The foregoing resolution was introduced in a regular meeting of the Council of the City of Modesto held on the 24th day of February 2026, by Councilmember ________, who moved its adoption, which motion being duly seconded by Councilmember ______, was upon roll call carried and the resolution adopted by the following vote:
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3 Meeting Date/Dept/Contact/Item # 2026-xxx
AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

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

BY: _______________________________________
JOSE M. SANCHEZ, City Attorney
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1 Meeting Date/Dept/Contact/Item # 2026-xxx

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-XX
RESOLUTION APPROVING THE SALE OF 2,474 SQUARE FEET OF
SURPLUS EXEMPT PROPERTY IDENTIFIED AS ASSESSOR’S PARCEL NUMBER 029-012-050 LOCATED AT CARPENTER RD. IN THE AMOUNT OF $10,000 TO JASON SCHLARB AND AUTHORIZING THE CITY MANAGER,

OR HIS DESGINEE, TO EXECUTE THE PURCHASE AND SALE

AGREEMENT AND ALL RELATED DOCUMENTS REQUIRED TO

COMPLETE THE TRANSACTION
WHEREAS, the City of Modesto has completed the process of inventorying its real estate property assets. The City wishes to continue the process of evaluating and selling surplus and/or underutilized properties in its portfolio; and WHEREAS, the Surplus Land Act (Government Code sections 54220-54234; “SLA”) requires local agencies to offer surplus land for sale or lease to affordable housing developers and certain other entities through a process described therein before selling or leasing the land or engaging in negotiations to dispose of the land; and WHEREAS, the City Staff has identified various properties as potential surplus property which are exempt and non-exempt. While the City is permitted to negotiate with multiple entities on the same property at the same time, given the limited staff resources, and variety in size, shape, topography and development potential of each property, it is expected that once the properties are declared surplus, they will follow individual schedules for property negotiation, rezoning and ultimately disposition; and WHEREAS, on September 23, 2025, by Resolution No. 2025-334, the City Council declared certain properties from the “surplus land” list as exempt surplus so that the City may begin the process to sell or lease such properties through the Surplus Land Act Process; and
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2 Meeting Date/Dept/Contact/Item # 2026-xxx
WHEREAS, the City has determined that the property identified as Assessor’s Parcel Number 029-012-050 located at Carpenter Rd. is exempt surplus property pursuant to Government Code section 54221(f)(1)(B) because it is only 2,474 square feet; and WHEREAS, a broker’s opinion of value was prepared by PMZ Real Estate to establish an appropriate sale price, which has been met by the prospective buyer. Any proceeds from the sale of this surplus property will be deposited into the fund from which the property was originally purchased; and
WHEREAS, following City Council approval of this sale agreement, staff will submit the City’s Notice of Exemption determination to the State Department of Housing and Community Development in compliance with state law, which requires notification at least 30 days prior to final disposition of the property.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the sale of the 2,474 square feet of surplus exempt property identified assessor’s parcel number 029-012-050 located at Carpenter Rd. in the amount of $10,000 to Jason Schlarb.

BE IT FURTHER RESOLVED, that the City Manager, or his designee is hereby authorized to execute the Purchase and Sale Agreement and all related documents required to complete the transaction, in a form approved by the City Attorney.

The foregoing resolution was introduced in a regular meeting of the Council of the City of Modesto held on the 24th day of February 2026, by Councilmember ________, who moved its adoption, which motion being duly seconded by Councilmember ______, was upon roll call carried and the resolution adopted by the following vote:
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3 Meeting Date/Dept/Contact/Item # 2026-xxx
AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

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

BY: _______________________________________
JOSE M. SANCHEZ, City Attorney
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PURCHASE AND SALE AGREEMENT

AND JOINT ESCROW INSTRUCTIONS

THIS PURCHASE AND SALE AGREEMENT AND JOINT ESCROW
INSTRUCTIONS (the “Agreement”) is entered into as of ____________, 2026 (the “Effective Date”), by and between the City of Modesto, a California municipal corporation (“City”), and Troy Wells, Jr. (“Purchaser”). City and Purchaser are collectively referred to herein as the “Parties.”

RECITALS
A. City is owner of that certain real property located at Frazine Rd., Modesto, California (the “Property”). The Property is designated as Stanislaus County Assessor’s Parcel Number 133-001-026, and more particularly described in Exhibit A attached hereto and incorporated herein.

B. The Property is approximately 0.23 acres in size.

C. The City Council has made a finding that the Property is “exempt surplus land” pursuant to Government Code Section 54221(f)(1)(B) of the Surplus Land Act, as it is surplus land that is less than one-half acre in area and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes.

D. Purchaser agrees to purchase the Property, and City desires to sell the Property to Purchaser, subject to the terms and conditions of this Agreement.

NOW, THEREFORE, for and in consideration of the mutual covenants and agreements contained in this Agreement, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by the parties, City and Purchaser hereby agree as follows:

1. Incorporation of Recitals and Exhibits. The Recitals set forth above and the Exhibits attached to this Agreement are each incorporated into the body of this Agreement as if set forth in full.

2. Purchase and Sale.

2.1 Agreement to Buy and Sell Property. Subject to the terms and conditions set forth herein, City agrees to sell the Property to Purchaser, and Purchaser hereby agrees to acquire the Property from City.

2.2 Purchase Price. The purchase price for the Property to be paid by Purchaser to City (the “Purchase Price”) is Seventy-Five Thousand Dollars ($75,000). The Purchase Price shall be paid in immediately available funds at the Closing to the City.

2.3 Deposit. Purchaser shall deposit into the Escrow the sum of Three Thousand Seven Hundred Fifty Dollars ($3,750.00) (the “Deposit”) within three days of the opening of Escrow. The Deposit shall be applicable toward the Purchase Price. Purchaser shall be entitled to a refund of the Deposit if this Agreement is terminated prior to the Close of #5..
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Escrow, and the Closing does not actually occur, for any reason other than the Default of Purchaser.

3. Escrow.

3.1 Escrow Account. Purchaser has opened an escrow account (the “Escrow”) maintained by _____________________________ (the “Escrow Holder”). Escrow Holder shall perform all escrow and title services in connection with this Agreement.

3.2 Opening of Escrow. Within five (5) business days after the Effective Date, the Parties will deposit into Escrow the fully executed Agreement, or executed counterparts thereto. The date such fully executed Agreement is received by Escrow Holder will be deemed the “Opening of Escrow,” and Escrow Holder will give written notice to the Parties of such occurrence.

3.3 Satisfaction of Due Diligence Contingency. Purchaser will have thirty (30) days from Opening of Escrow (the “Due Diligence Contingency Period”) to complete physical inspections of the Property and due diligence related to the purchase of the Property. City shall provide to Purchaser copies of all reasonably available and known documents relating to the ownership and use of the Property, including but not limited to plans, permits and reports (such as environmental, engineering and land surveys) that City has in its possession not later than ten (10) days following the execution and delivery of this Agreement.

3.4 Due Diligence Inspections. During the Due Diligence Contingency Period, Purchaser and its agents, contractors and employees shall have the right to enter upon the Property for the purpose of making inspections or to perform environmental testing, at Purchaser’s sole risk, cost and expense. All of such entries upon the Property shall be during normal business hours and after at least twenty-four (24) hours prior notice to City, and City or City’s agent shall have the right to accompany Purchaser during any activities performed by Purchaser on the Property. At City’s request, Purchaser shall provide City with a copy of the results of any environmental tests and inspections made by Purchaser, at no cost to City. If any inspection or test disturbs the Property, Purchaser will restore the Property to the substantially the same condition as existed before the inspection or test. Purchaser shall defend, indemnify and hold City and the Property harmless from and against any and all losses, costs, damages, claims or liabilities, including but not limited to, mechanic’s and materialmen’s’ liens, arising out of or in connection with Purchaser’s inspection of the Property as allowed pursuant to this Section 3.4.

3.5 Termination Upon Due Diligence Disapproval. Purchaser shall have the right, in its sole discretion, to terminate this Agreement for any reason (or no reason) by written notice to City prior to the expiration of the Due Diligence Contingency Period (as it may be extended). If Purchaser timely sends such a termination notice, this Agreement shall terminate, the Deposit shall be returned to the Purchaser, and neither party shall have any further rights or obligations hereunder except those which expressly survive the termination hereof. In the event of Purchaser’s termination of this Agreement pursuant to this Section 3.5, Purchaser shall be responsible for the costs of Escrow and any cancellation fees. #5..
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4. Property Disclosure Requirements.

4.1 Condition of Title/Preliminary Title Report. Escrow Holder shall deliver a Preliminary Title Report for the Property (the “Preliminary Report”) to Purchaser within ten (10) days after the Opening of Escrow. Purchaser shall have thirty (30) days from receipt of the Preliminary Report to approve or disapprove the condition of title to the Property; provided that all existing deeds of trust, mechanic’s liens and other financial liens and encumbrances, if any, shall be paid off and removed from title concurrently with or prior to the Closing. If there are any changes to the Preliminary Report prior to Closing, Purchaser shall have five (5) days after receipt of the revised Preliminary Report to approve or disapprove such changes.

4.2 Environmental and Natural Hazards Disclosure. City agrees to make any necessary disclosures relating to hazardous substances located on or beneath the Property and natural hazards affecting the Property, as required by law. City shall provide Purchaser with all documents reasonably known to City pertaining to the environmental condition of the Property.

4.3 Surplus Land Act Compliance. Not later than thirty (30) days prior to the scheduled Closing, City shall submit to the California Department of Housing and Community Development (“HCD”) a notice of City’s determination, together with the written findings regarding Surplus Land Act compliance made by City in connection with the approval of this Agreement and such other findings as City shall deem appropriate, that the sale of the Property to Purchaser is exempt from, in compliance with, and/or is not subject to, the requirements of the Surplus Land Act, Government Code Section 54220, et seq. City shall take all other actions required pursuant to the Surplus Land Act and the Surplus Land Act Guidelines which are required, if any, for the sale of the Property to Purchaser pursuant to this Agreement.

5. Closing and Payment of Purchase Price.

5.1 Closing. The closing (the “Closing” or “Close of Escrow”) will occur no later than thirty (30) days after the expiration of the Due Diligence Contingency Period, as it may be extended (“Closing Date”), or such other date that the Parties agree in writing. In the event that Closing has not occurred on or prior to the Closing Date, either Party not then in default may, upon five (5) days advance written notice to the other Party, terminate this Agreement and the Escrow.

As long as neither Party so elects to terminate this Agreement and the Escrow, Escrow Holder shall close the Escrow as soon as possible. Upon any such termination of this Agreement, neither Party shall have any further rights or obligations hereunder; except for the rights and obligations expressly provided to survive termination of this Agreement.

5.2 Purchaser’s Conditions to Closing. Purchaser's obligation to purchase the Property is subject to the satisfaction of all of the following conditions or Purchaser's written waiver thereof (in Purchaser’s sole discretion) on or before the Closing Date:
(a) Purchaser has not sent a notice of termination to City prior to the end of the Due Diligence Contingency Period.
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(b) City has deposited into the Escrow a fully executed “Grant Deed” and all other documents to be submitted by City pursuant to this Agreement, all duly executed by City.
(c) City has performed all obligations to be performed by City pursuant to this Agreement.
(d) City’s representations and warranties herein are true and correct in all material respects as of the Closing Date.
(e) The Title Company is irrevocably committed to issue a CLTA or ALTA standard coverage title insurance policy to Purchaser, together with such endorsements as are requested by Purchaser, effective as of the Closing Date, insuring title to Purchaser in the full amount of the Purchase Price, subject only to those exceptions to title which have been approved by Purchaser.
(f) There shall be no litigation or administrative proceeding pending with respect to the Property as of the Closing.

5.3 City’s Conditions to Closing. The Close of Escrow and City’s obligation to sell and convey the Property to Purchaser are subject to the satisfaction of the following conditions or City’s written waiver (in City’s sole discretion) of such conditions on or before the Closing Date:
(a) Purchaser has deposited into the Escrow the full amount of the Purchase Price, and all other costs required by this Agreement to be paid by Purchaser. (b) Purchaser has deposited into the Escrow all documents to be submitted by Purchaser pursuant to this Agreement, all duly executed by Purchaser. (c) Purchaser has performed all obligations to be performed by Purchaser pursuant to this Agreement before the Closing Date. (e) Purchaser's representations and warranties set forth herein are true and correct in all material respects as of the Closing Date. (f) City shall have timely made all submissions to HCD pursuant to Section 4.3 hereof, and shall have resolved to the satisfaction of City any objection or challenge by HCD regarding compliance with the Surplus Land Act as set forth in Section 4.3 hereof, and there shall be no outstanding notice of violation of the Surplus Land Act from HCD.

5.4 Conveyance of Title and Possession. City will deliver marketable fee simple title to Purchaser at the Closing, subject only to the exceptions to title which have been approved by Purchaser. At Closing, City shall deliver sole and exclusive possession of the Property to Purchaser.
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5.5 Deliveries at Closing.
(a) Deliveries by City. City shall deposit into the Escrow for delivery to Purchaser at Closing a grant deed, substantially in the form attached hereto as Exhibit C (“Grant Deed”), and all other documents reasonably required to complete the Closing. (b) Deliveries by Purchaser. No less than one (1) business day prior to the close of escrow, Purchaser shall deposit into Escrow immediately available funds in the amount equal to the Purchase Price (less the Deposit), and Purchaser’s share of the Escrow fees and cost of the Title Policy.
(c) Closing. Upon Closing, Escrow Holder shall: (i) record the Grant Deed; (ii) disburse to City the Purchase Price; (iii) charge the City for documentary transfer taxes and governmental conveyance fees; (iv) deliver to Purchaser a certified copy of the executed Grant Deed; (v) pay any commissions and other expenses payable through Escrow; and (vi) distribute to itself the payment of Escrow fees and expenses required hereunder. (d) Closing Costs. City and Purchaser will each pay one-half of all Escrow fees. City will pay recording fees and documentary transfer taxes. City will pay the portion of the Title Policy costs equal to the premium of a CLTA policy in the amount of the Purchase Price, and Purchaser will pay any additional costs of ALTA coverage or endorsements. (e) No Prorations. As the Property is currently owned by a public agency, no prorations of property taxes and assessments will be required.

6. As Is Conveyance. Notwithstanding anything to the contrary in this Agreement, this sale is made and will be made without representation, covenant, or warranty of any kind by City. As a material part of the consideration for this Agreement, Purchaser agrees to accept the Property on an “as is” and “where is” basis, with all faults, and without any representation or warranty, all of which City hereby disclaims. No warranty or representation is made by City as to fitness for any particular purpose, merchantability, design, quality, condition, operation or income, compliance with drawings or specifications, absence of defects, absence of hazardous or toxic substances, hazardous materials, hazardous wastes, absence of faults, flooding, or compliance with laws and regulations including, without limitation, those relating to health, safety, and the environment. Purchaser acknowledges that it has entered into this Agreement with the intention of making and relying upon its own investigation of the physical, environmental, economic use, compliance, and legal condition of the Property and that Purchaser is not now relying, and will not later rely, upon any representations and warranties made by City or anyone acting or claiming to act, by, through or under or on City’s behalf concerning the Property. The provisions of this Section 6 shall survive indefinitely any closing or termination of this Agreement. .

7. Remedies.
(a) City Default. In the event of a breach or default under this Agreement by City, if such breach or default occurs prior to Close of Escrow, Purchaser reserves #5..
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the right to either seek specific performance from Seller or to do any of the following: (i) to waive the breach or default and proceed to close as provided herein; (ii) to extend the time for performance and the Closing until City is able to perform; or (iii) to terminate this Agreement upon written notice to City, whereupon City shall cause Escrow Holder to return to Purchaser the Deposit and any and all sums placed into the Escrow by Purchaser, and except for the rights and obligations expressly provided to survive termination of this Agreement, neither Party shall have any further obligations or liabilities hereunder.
(b) City. IN THE EVENT OF A BREACH OR DEFAULT

HEREUNDER BY PURCHASER AND THE CLOSING DOES NOT OCCUR SOLELY DUE TO SUCH DEFAULT, CITY’S SOLE REMEDY SHALL BE TO RETAIN THE DEPOSIT AND ALL INTEREST ACCRUED THEREON, AS LIQUIDATED DAMAGES. THE PARTIES

AGREE THAT IN SUCH INSTANCE, THE DEPOSIT AND ALL INTEREST ACCRUED THEREON REPRESENTS A REASONABLE APPROXIMATION OF CITY’S DAMAGES

AND IS NOT INTENDED AS A FORFEITURE OR PENALTY BUT RATHER AN

ENFORCEABLE LIQUIDATED DAMAGES PROVISION PURSUANT TO CALIFORNIA CIVIL CODE SECTION 1671, ET SEQ. IN NO EVENT SHALL EITHER PARTY BE

ENTITLED TO LOST PROFITS OR CONSEQUENTIAL DAMAGES AS A RESULT OF THE OTHER PARTY’S BREACH OF THIS AGREEMENT.

Purchaser’s Initials City’s Initials

8. Brokers. Each Party represents that no real estate broker has been retained by it in the procurement of the Property or negotiation of this Agreement. Each Party shall indemnify, hold harmless and defend the other Party from any and all claims, actions and liability and any commission, finder’s fee, or similar charges from such Party’s broker, and its respective employees, agents, consultants and contractors.

9. Assignment. Absent an express signed written agreement between the Parties to the contrary, neither City nor Purchaser may assign its rights or delegate its duties under this Agreement without the express written consent of the other. No permitted assignment of any of the rights or obligations under this Agreement shall result in a novation or in any other way release the assignor from its obligations under this Agreement.

10. Miscellaneous.

10.1 Attorneys’ Fees. If any party employs counsel to enforce or interpret this Agreement, including the commencement of any legal proceeding whatsoever (including insolvency, bankruptcy, arbitration, mediation, declaratory relief or other litigation), the prevailing party shall be entitled to recover its reasonable attorneys’ fees and court costs (including the service of process, filing fees, court and court reporter costs, investigative fees, expert witness fees, and the costs of any bonds, whether taxable or not) and shall include the right to recover such fees and costs incurred in any appeal or efforts to collect or otherwise enforce any judgment in its favor in addition to any other remedy it may obtain or be awarded. Any judgment or final order issued in any legal proceeding shall include reimbursement for all such attorneys’ fees and costs. In any #5..
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legal proceeding, the “prevailing party” shall mean the party determined by the court to most nearly prevail and not necessarily the party in whose favor a judgment is rendered.

10.2 Survival. All indemnities, covenants, representations and warranties contained in this Agreement shall survive Close of Escrow.

10.3 Successors. Except as provided to the contrary in this Agreement, this Agreement shall be binding on and inure to the benefit of the Parties and their successors and assigns.

10.4 Governing Law. This Agreement shall be construed and interpreted in accordance with the laws of the State of California.

10.5 Integrated Agreement; Modifications. This Agreement contains all the agreements of the Parties concerning the subject hereof, and cannot be amended or modified except by a written instrument executed and delivered by the parties. There are no representations, agreements, arrangements or understandings, either oral or written, between or among the parties hereto relating to the subject matter of this Agreement that are not fully expressed herein. In addition there are no representations, agreements, arrangements or understandings, either oral or written, between or among the Parties upon which any party is relying upon in entering this Agreement that are not fully expressed herein.

10.6 Severability. If any term or provision of this Agreement is determined to be illegal, unenforceable, or invalid in whole or in part for any reason, such illegal, unenforceable, or invalid provisions or part thereof shall be stricken from this Agreement, any such provision shall not be affected by the legality, enforceability, or validity of the remainder of this Agreement.

If any provision or part thereof of this Agreement is stricken in accordance with the provisions of this Section, then the stricken provision shall be replaced, to the extent possible, with a legal, enforceable and valid provision this is in keeping with the intent of the Parties as expressed herein.

10.7 Notices. Any delivery of this Agreement, notice, modification of this Agreement, collateral or additional agreement, demand, disclosure, request, consent, approval, waiver, declaration or other communication that either party desires or is required to give to the other party or any other person shall be in writing. Any such communication may be served personally, or by nationally recognized overnight delivery service (e.g., Federal Express) which provides a receipt of delivery, or sent by prepaid, first class mail, return receipt requested to the party’s address as set forth below:

To City: City of Modesto
1010 10th Street
Modesto, California 95354
Attention: Scotty Douglass, DCM
With Copy to: City Attorney
To Purchaser: CVE Properties, LLC
12368 Pioneer Ave
Oakdale, CA 95361
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Attention: Troy Wells
If to Escrow Holder: Chicago Title Company
1700 Standiford Avenue Suite 110
Modesto, CA 95350
Attn: Laura Saippa, Escrow Officer
Any such communication shall be deemed effective upon personal delivery or on the date of first refusal to accept delivery as reflected on the receipt of delivery or return receipt, as applicable. Any party may change its address by notice to the other party. Each party shall make an ordinary, good faith effort to ensure that it will accept or receive notices that are given in accordance with this section and that any person to be given notice actually receives such notice.

10.8 Time. Time is of the essence to the performance of each and every obligation under this Agreement.

10.9 Days of Week. If any date for exercise of any right, giving of any notice, or performance of any provision of this Agreement falls on a Saturday, Sunday or holiday, the time for performance will be extended to 5:00 p.m. on the next business day.

10.10 Reasonable Consent and Approval. Except as otherwise provided in this Agreement, whenever a party is required or permitted to give its consent or approval under this Agreement, such consent or approval shall not be unreasonably withheld or delayed. If a party is required or permitted to give its consent or approval in its sole and absolute discretion or if such consent or approval may be unreasonably withheld, such consent or approval may be unreasonably withheld but shall not be unreasonably delayed.

10.11 Further Assurances. The Parties shall at their own cost and expense execute and deliver such further documents and instruments and shall take such other actions as may be reasonably required or appropriate to carry out the intent and purposes of this Agreement.

10.12 Waivers. Any waiver by any party shall be in writing and shall not be construed as a continuing waiver. No waiver will be implied from any delay or failure to take action on account of any default by any party. Consent by any party to any act or omission by another party shall not be construed to be consent to any other subsequent act or omission or to waive the requirement for consent to be obtained in any future or other instance.

10.13 Signatures/Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Any one of such completely executed counterparts shall be sufficient proof of this Agreement.

10.14 Date and Delivery of Agreement. Notwithstanding anything to the contrary contained in this Agreement, the Parties intend that this Agreement shall be deemed effective, and delivered for all purposes under this Agreement, and for the calculation of any #5..
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statutory time periods based on the date an agreement between the Parties is effective, executed, or delivered, as of the Effective Date.

10.15 Approvals. Whenever this Agreement calls for City approval, consent, extension or waiver, the written approval, consent, or waiver of the City, the City Manager or his or her designee(s) shall constitute the approval, consent, extension or waiver of the City, without further authorization required from the City Council. City hereby authorizes the City Manager and her designee(s) to deliver any such approvals, consents, or extensions or waivers as are required by this Agreement, or that do not otherwise reduce City’s rights under this Agreement, and to waive requirements under this Agreement, on behalf of the City. #5..
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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

CITY:

CITY OF MODESTO
By: _______________________________
Joseph Lopez
City Manager
ATTEST:

By: _______________________________
Diane Nayares-Perez, City Clerk
APPROVED AS TO FORM:

By: _______________________________
Jose Sanchez
City Attorney
BUYER:

By: _______________________________
Troy Nolan Wells Jr.

Managing Member
By: _______________________________
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EXHIBIT A

LEGAL DESCRIPTION
That real property in the City of Modesto, County of Stanislaus, State of California, described as follows:
[To Be Inserted]
APN: 133-001-026
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EXHIBIT B
Recording Requested by
and When Recorded, Return to:

EXEMPT FROM RECORDING FEES PER
GOVERNMENT CODE §§6103, 27383, 27387.1

GRANT DEED
For valuable consideration, receipt of which is hereby acknowledged, as of _________________, 202__, the City of Modesto, a California municipal corporation, hereby grants to __________________________, all that real property located in the City of Modesto, County of Stanislaus, State of California and more particularly described in Attachment No. 1 hereto and incorporated in this Grant Deed by this reference.

By: _______________________________
Joseph Lopez, City Manager
ATTEST:

By: _______________________________
Diane Nayares-Perez, City Clerk
APPROVED AS TO FORM:

By: _______________________________
Jose Sanchez, City Attorney
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Attachment No. 1 to Grant Deed

LEGAL DESCRIPTION
Real property in the City of Modesto, County of Stanislaus, State of California, described as follows:
[To Be Inserted]
APN: 133-001-026
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A notary public or other officer completing
this certificate verifies only the identity of the
individual who signed the document to which
this certificate is attached, and not the
truthfulness, accuracy, or validity of that
document.

State of California )
) ss.

County of _____________ )
On_____________________, 20____ before me, _____________________, a Notary Public, in and for said State and County, personally appeared _______________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.
_______________________________

NOTARY PUBLIC
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PURCHASE AND SALE AGREEMENT

AND JOINT ESCROW INSTRUCTIONS

THIS PURCHASE AND SALE AGREEMENT AND JOINT ESCROW
INSTRUCTIONS (the “Agreement”) is entered into as of ____________, 2026 (the “Effective Date”), by and between the City of Modesto, a California municipal corporation (“City”), and Jason Schlarb. (“Purchaser”). City and Purchaser are collectively referred to herein as the “Parties.”

RECITALS
A. City is owner of that certain real property located at Carpenter Rd., Modesto, California (the “Property”). The Property is designated as Stanislaus County Assessor’s Parcel Number 029-012-050, and more particularly described in Exhibit A attached hereto and incorporated herein.

B. The Property is approximately 0.06 acres in size.

C. The City Council has made a finding that the Property is “exempt surplus land” pursuant to Government Code Section 54221(f)(1)(B) of the Surplus Land Act, as it is surplus land that is less than one-half acre in area and is not contiguous to land owned by a state or local agency that is used for open-space or low- and moderate-income housing purposes.

D. Purchaser agrees to purchase the Property, and City desires to sell the Property to Purchaser, subject to the terms and conditions of this Agreement.

NOW, THEREFORE, for and in consideration of the mutual covenants and agreements contained in this Agreement, and other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by the parties, City and Purchaser hereby agree as follows:

1. Incorporation of Recitals and Exhibits. The Recitals set forth above and the Exhibits attached to this Agreement are each incorporated into the body of this Agreement as if set forth in full.

2. Purchase and Sale.

2.1 Agreement to Buy and Sell Property. Subject to the terms and conditions set forth herein, City agrees to sell the Property to Purchaser, and Purchaser hereby agrees to acquire the Property from City.

2.2 Purchase Price. The purchase price for the Property to be paid by Purchaser to City (the “Purchase Price”) is Ten Thousand Dollars ($10,000). The Purchase Price shall be paid in immediately available funds at the Closing to the City.

2.3 Deposit. Purchaser shall deposit into the Escrow the sum of Five Hundred Dollars ($500.00) (the “Deposit”) within three days of the opening of Escrow. The Deposit shall be applicable toward the Purchase Price. Purchaser shall be entitled to a refund of the Deposit if #5..
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this Agreement is terminated prior to the Close of Escrow, and the Closing does not actually occur, for any reason other than the Default of Purchaser.

3. Escrow.

3.1 Escrow Account. Purchaser has opened an escrow account (the “Escrow”) maintained by _____________________________ (the “Escrow Holder”). Escrow Holder shall perform all escrow and title services in connection with this Agreement.

3.2 Opening of Escrow. Within five (5) business days after the Effective Date, the Parties will deposit into Escrow the fully executed Agreement, or executed counterparts thereto. The date such fully executed Agreement is received by Escrow Holder will be deemed the “Opening of Escrow,” and Escrow Holder will give written notice to the Parties of such occurrence.

3.3 Satisfaction of Due Diligence Contingency. Purchaser will have thirty (30) days from Opening of Escrow (the “Due Diligence Contingency Period”) to complete physical inspections of the Property and due diligence related to the purchase of the Property. City shall provide to Purchaser copies of all reasonably available and known documents relating to the ownership and use of the Property, including but not limited to plans, permits and reports (such as environmental, engineering and land surveys) that City has in its possession not later than ten (10) days following the execution and delivery of this Agreement.

3.4 Due Diligence Inspections. During the Due Diligence Contingency Period, Purchaser and its agents, contractors and employees shall have the right to enter upon the Property for the purpose of making inspections or to perform environmental testing, at Purchaser’s sole risk, cost and expense. All of such entries upon the Property shall be during normal business hours and after at least twenty-four (24) hours prior notice to City, and City or City’s agent shall have the right to accompany Purchaser during any activities performed by Purchaser on the Property. At City’s request, Purchaser shall provide City with a copy of the results of any environmental tests and inspections made by Purchaser, at no cost to City. If any inspection or test causes damage to the Property, and the purchase contemplated by this Agreement is not consummated, Purchaser will restore the Property to the substantially the same condition as existed before the inspection or test. Purchaser shall defend, indemnify and hold City and the Property harmless from and against any and all losses, costs, damages, claims or liabilities, including but not limited to, mechanic’s and materialmen’s’ liens, arising out of or in connection with Purchaser’s inspection of the Property as allowed pursuant to this Section 3.4.

3.5 Termination Upon Due Diligence Disapproval. Purchaser shall have the right, in its sole discretion, to terminate this Agreement for any reason (or no reason) by written notice to City prior to the expiration of the Due Diligence Contingency Period (as it may be extended). If Purchaser timely sends such a termination notice, this Agreement shall terminate, the Deposit shall be returned to the Purchaser, and neither party shall have any further rights or obligations hereunder except those which expressly survive the termination hereof. In the event of Purchaser’s termination of this Agreement pursuant to this Section 3.5, Purchaser shall be responsible for the costs of Escrow and any cancellation fees. #5..
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4. Property Disclosure Requirements.

4.1 Condition of Title/Preliminary Title Report. City shall cause Escrow Holder to deliver a Preliminary Title Report for the Property (the “Preliminary Report”) to Purchaser within ten (10) days after the Opening of Escrow. Purchaser shall have thirty (30) days from receipt of the Preliminary Report to approve or disapprove the condition of title to the Property; provided that all existing deeds of trust, mechanic’s liens and other financial liens and encumbrances, if any, shall be paid off and removed from title concurrently with or prior to the Closing. If there are any changes to the Preliminary Report prior to Closing, Purchaser shall have five (5) days after receipt of the revised Preliminary Report to approve or disapprove such changes.

4.2 Environmental and Natural Hazards Disclosure. City agrees to make any necessary disclosures relating to hazardous substances located on or beneath the Property and natural hazards affecting the Property, as required by law or within its actual knowledge. City shall provide Purchaser with all documents reasonably known to City pertaining to the environmental condition of the Property.

4.3 Surplus Land Act Compliance. Not later than thirty (30) days prior to the scheduled Closing, City shall submit to the California Department of Housing and Community Development (“HCD”) a notice of City’s determination, together with the written findings regarding Surplus Land Act compliance made by City in connection with the approval of this Agreement and such other findings as City shall deem appropriate, that the sale of the Property to Purchaser is exempt from, in compliance with, and/or is not subject to, the requirements of the Surplus Land Act, Government Code Section 54220, et seq. City shall take all other actions required pursuant to the Surplus Land Act and the Surplus Land Act Guidelines which are required, if any, for the sale of the Property to Purchaser pursuant to this Agreement.

5. Closing and Payment of Purchase Price.

5.1 Closing. The closing (the “Closing” or “Close of Escrow”) will occur no later than thirty (30) days after the expiration of the Due Diligence Contingency Period, as it may be extended (“Closing Date”), or such other date that the Parties agree in writing. In the event that Closing has not occurred on or prior to the Closing Date, either Party not then in default may, upon five (5) days advance written notice to the other Party, terminate this Agreement and the Escrow.

As long as neither Party so elects to terminate this Agreement and the Escrow, Escrow Holder shall close the Escrow as soon as possible. Upon any such termination of this Agreement, neither Party shall have any further rights or obligations hereunder; except for the rights and obligations expressly provided to survive termination of this Agreement.

5.2 Purchaser’s Conditions to Closing. Purchaser's obligation to purchase the Property is subject to the satisfaction of all of the following conditions or Purchaser's written waiver thereof (in Purchaser’s sole discretion) on or before the Closing Date:
(a) Purchaser has not sent a notice of termination to City prior to the end of the Due Diligence Contingency Period.
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(b) City has deposited into the Escrow a fully executed “Grant Deed” and all other documents to be submitted by City pursuant to this Agreement, all duly executed by City.
(c) City has performed all obligations to be performed by City pursuant to this Agreement.
(d) City’s representations and warranties herein are true and correct in all material respects as of the Closing Date.
(e) The Title Company is irrevocably committed to issue a CLTA or ALTA standard coverage title insurance policy to Purchaser, together with such endorsements as are requested by Purchaser, effective as of the Closing Date, insuring title to Purchaser in the full amount of the Purchase Price, subject only to those exceptions to title which have been approved by Purchaser.
(f) There shall be no litigation or administrative proceeding pending with respect to the Property as of the Closing.

5.3 City’s Conditions to Closing. The Close of Escrow and City’s obligation to sell and convey the Property to Purchaser are subject to the satisfaction of the following conditions or City’s written waiver (in City’s sole discretion) of such conditions on or before the Closing Date:
(a) Purchaser has deposited into the Escrow the full amount of the Purchase Price, and all other costs required by this Agreement to be paid by Purchaser. (b) Purchaser has deposited into the Escrow all documents to be submitted by Purchaser pursuant to this Agreement, all duly executed by Purchaser. (c) Purchaser has performed all obligations to be performed by Purchaser pursuant to this Agreement before the Closing Date. (e) Purchaser's representations and warranties set forth herein are true and correct in all material respects as of the Closing Date. (f) City shall have timely made all submissions to HCD pursuant to Section 4.3 hereof, and shall have resolved to the satisfaction of City any objection or challenge by HCD regarding compliance with the Surplus Land Act as set forth in Section 4.3 hereof, and there shall be no outstanding notice of violation of the Surplus Land Act from HCD.

5.4 Conveyance of Title and Possession. City will deliver marketable fee simple title to Purchaser at the Closing, subject only to the exceptions to title which have been approved by Purchaser. At Closing, City shall deliver sole and exclusive possession of the Property to Purchaser.
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5.5 Deliveries at Closing.
(a) Deliveries by City. City shall deposit into the Escrow for delivery to Purchaser at Closing a grant deed, substantially in the form attached hereto as Exhibit C (“Grant Deed”), and all other documents reasonably required to complete the Closing. (b) Deliveries by Purchaser. No less than one (1) business day prior to the close of escrow, Purchaser shall deposit into Escrow immediately available funds in the amount equal to the Purchase Price (less the Deposit), and Purchaser’s share of the Escrow fees and cost of the Title Policy.
(c) Closing. Upon Closing, Escrow Holder shall: (i) record the Grant Deed; (ii) disburse to City the Purchase Price; (iii) charge the City for documentary transfer taxes and governmental conveyance fees; (iv) deliver to Purchaser a certified copy of the executed Grant Deed; (v) pay any commissions and other expenses payable through Escrow; and (vi) distribute to itself the payment of Escrow fees and expenses required hereunder. (d) Closing Costs. City and Purchaser will each pay one-half of all Escrow fees. City will pay recording fees and documentary transfer taxes. City will pay the portion of the Title Policy costs equal to the premium of a CLTA policy in the amount of the Purchase Price, and Purchaser will pay any additional costs of ALTA coverage or endorsements. (e) No Prorations. As the Property is currently owned by a public agency, no prorations of property taxes and assessments will be required.

6. As Is Conveyance. Notwithstanding anything to the contrary in this Agreement, this sale is made and will be made without representation, covenant, or warranty of any kind by City. As a material part of the consideration for this Agreement, Purchaser agrees to accept the Property on an “as is” and “where is” basis, with all faults, and without any representation or warranty, all of which City hereby disclaims. No warranty or representation is made by City as to fitness for any particular purpose, merchantability, design, quality, condition, operation or income, compliance with drawings or specifications, absence of defects, absence of hazardous or toxic substances, hazardous materials, hazardous wastes, absence of faults, flooding, or compliance with laws and regulations including, without limitation, those relating to health, safety, and the environment. Purchaser acknowledges that it has entered into this Agreement with the intention of making and relying upon its own investigation of the physical, environmental, economic use, compliance, and legal condition of the Property and that Purchaser is not now relying, and will not later rely, upon any representations and warranties made by City or anyone acting or claiming to act, by, through or under or on City’s behalf concerning the Property. The provisions of this Section 6 shall survive indefinitely any closing or termination of this Agreement. .

7. Remedies.
(a) City Default. In the event of a breach or default under this Agreement by City, if such breach or default occurs prior to Close of Escrow, Purchaser reserves #5..
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the right to either seek specific performance from Seller or to do any of the following: (i) to waive the breach or default and proceed to close as provided herein; (ii) to extend the time for performance and the Closing until City is able to perform; or (iii) to terminate this Agreement upon written notice to City, whereupon City shall cause Escrow Holder to return to Purchaser the Deposit and any and all sums placed into the Escrow by Purchaser, and except for the rights and obligations expressly provided to survive termination of this Agreement, neither Party shall have any further obligations or liabilities hereunder.
(b) City. IN THE EVENT OF A BREACH OR DEFAULT

HEREUNDER BY PURCHASER AND THE CLOSING DOES NOT OCCUR SOLELY DUE TO SUCH DEFAULT, CITY’S SOLE REMEDY SHALL BE TO RETAIN THE DEPOSIT AND ALL INTEREST ACCRUED THEREON, AS LIQUIDATED DAMAGES. THE PARTIES

AGREE THAT IN SUCH INSTANCE, THE DEPOSIT AND ALL INTEREST ACCRUED THEREON REPRESENTS A REASONABLE APPROXIMATION OF CITY’S DAMAGES

AND IS NOT INTENDED AS A FORFEITURE OR PENALTY BUT RATHER AN

ENFORCEABLE LIQUIDATED DAMAGES PROVISION PURSUANT TO CALIFORNIA CIVIL CODE SECTION 1671, ET SEQ. IN NO EVENT SHALL EITHER PARTY BE

ENTITLED TO LOST PROFITS OR CONSEQUENTIAL DAMAGES AS A RESULT OF THE OTHER PARTY’S BREACH OF THIS AGREEMENT.

Purchaser’s Initials City’s Initials

8. Brokers. Each Party represents that no real estate broker has been retained by it in the procurement of the Property or negotiation of this Agreement. Each Party shall indemnify, hold harmless and defend the other Party from any and all claims, actions and liability and any commission, finder’s fee, or similar charges from such Party’s broker, and its respective employees, agents, consultants and contractors.

9. Assignment. Absent an express signed written agreement between the Parties to the contrary, neither City nor Purchaser may assign its rights or delegate its duties under this Agreement without the express written consent of the other. No permitted assignment of any of the rights or obligations under this Agreement shall result in a novation or in any other way release the assignor from its obligations under this Agreement.

10. Miscellaneous.

10.1 Attorneys’ Fees. If any party employs counsel to enforce or interpret this Agreement, including the commencement of any legal proceeding whatsoever (including insolvency, bankruptcy, arbitration, mediation, declaratory relief or other litigation), the prevailing party shall be entitled to recover its reasonable attorneys’ fees and court costs (including the service of process, filing fees, court and court reporter costs, investigative fees, expert witness fees, and the costs of any bonds, whether taxable or not) and shall include the right to recover such fees and costs incurred in any appeal or efforts to collect or otherwise enforce any judgment in its favor in addition to any other remedy it may obtain or be awarded. Any judgment or final order issued in any legal proceeding shall include reimbursement for all such attorneys’ fees and costs. In any #5..
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legal proceeding, the “prevailing party” shall mean the party determined by the court to most nearly prevail and not necessarily the party in whose favor a judgment is rendered.

10.2 Survival. All indemnities, covenants, representations and warranties contained in this Agreement shall survive Close of Escrow.

10.3 Successors. Except as provided to the contrary in this Agreement, this Agreement shall be binding on and inure to the benefit of the Parties and their successors and assigns.

10.4 Governing Law. This Agreement shall be construed and interpreted in accordance with the laws of the State of California.

10.5 Integrated Agreement; Modifications. This Agreement contains all the agreements of the Parties concerning the subject hereof, and cannot be amended or modified except by a written instrument executed and delivered by the parties. There are no representations, agreements, arrangements or understandings, either oral or written, between or among the parties hereto relating to the subject matter of this Agreement that are not fully expressed herein. In addition there are no representations, agreements, arrangements or understandings, either oral or written, between or among the Parties upon which any party is relying upon in entering this Agreement that are not fully expressed herein.

10.6 Severability. If any term or provision of this Agreement is determined to be illegal, unenforceable, or invalid in whole or in part for any reason, such illegal, unenforceable, or invalid provisions or part thereof shall be stricken from this Agreement, any such provision shall not be affected by the legality, enforceability, or validity of the remainder of this Agreement.

If any provision or part thereof of this Agreement is stricken in accordance with the provisions of this Section, then the stricken provision shall be replaced, to the extent possible, with a legal, enforceable and valid provision this is in keeping with the intent of the Parties as expressed herein.

10.7 Notices. Any delivery of this Agreement, notice, modification of this Agreement, collateral or additional agreement, demand, disclosure, request, consent, approval, waiver, declaration or other communication that either party desires or is required to give to the other party or any other person shall be in writing. Any such communication may be served personally, or by nationally recognized overnight delivery service (e.g., Federal Express) which provides a receipt of delivery, or sent by prepaid, first class mail, return receipt requested to the party’s address as set forth below:

To City: City of Modesto
1010 10th Street
Modesto, California 95354
Attention: Scotty Douglass, DCM
With Copy to: City Attorney
To Purchaser: Jason Schlarb
P.O. Box 642
Hughson, CA 95326
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Copy to: Tyler A. Kelly
Ogden Law Firm, PC
1535 J Street, Suite A
Modesto, CA 95354
If to Escrow Holder: Chicago Title Company
1700 Standiford Avenue Suite 110
Modesto, CA 95350
Attn: Laura Saippa, Escrow Officer
Any such communication shall be deemed effective upon personal delivery or on the date of first refusal to accept delivery as reflected on the receipt of delivery or return receipt, as applicable. Any party may change its address by notice to the other party. Each party shall make an ordinary, good faith effort to ensure that it will accept or receive notices that are given in accordance with this section and that any person to be given notice actually receives such notice.

10.8 Time. Time is of the essence to the performance of each and every obligation under this Agreement.

10.9 Days of Week. If any date for exercise of any right, giving of any notice, or performance of any provision of this Agreement falls on a Saturday, Sunday or holiday, the time for performance will be extended to 5:00 p.m. on the next business day.

10.10 Reasonable Consent and Approval. Except as otherwise provided in this Agreement, whenever a party is required or permitted to give its consent or approval under this Agreement, such consent or approval shall not be unreasonably withheld or delayed. If a party is required or permitted to give its consent or approval in its sole and absolute discretion or if such consent or approval may be unreasonably withheld, such consent or approval may be unreasonably withheld but shall not be unreasonably delayed.

10.11 Further Assurances. The Parties shall at their own cost and expense execute and deliver such further documents and instruments and shall take such other actions as may be reasonably required or appropriate to carry out the intent and purposes of this Agreement.

10.12 Waivers. Any waiver by any party shall be in writing and shall not be construed as a continuing waiver. No waiver will be implied from any delay or failure to take action on account of any default by any party. Consent by any party to any act or omission by another party shall not be construed to be consent to any other subsequent act or omission or to waive the requirement for consent to be obtained in any future or other instance.

10.13 Signatures/Counterparts. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. Any one of such completely executed counterparts shall be sufficient proof of this Agreement.
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10.14 Date and Delivery of Agreement. Notwithstanding anything to the contrary contained in this Agreement, the Parties intend that this Agreement shall be deemed effective, and delivered for all purposes under this Agreement, and for the calculation of any statutory time periods based on the date an agreement between the Parties is effective, executed, or delivered, as of the Effective Date.

10.15 Approvals. Whenever this Agreement calls for City approval, consent, extension or waiver, the written approval, consent, or waiver of the City, the City Manager or his or her designee(s) shall constitute the approval, consent, extension or waiver of the City, without further authorization required from the City Council. City hereby authorizes the City Manager and her designee(s) to deliver any such approvals, consents, or extensions or waivers as are required by this Agreement, or that do not otherwise reduce City’s rights under this Agreement, and to waive requirements under this Agreement, on behalf of the City. #5..
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IN WITNESS WHEREOF, the Parties have executed this Agreement as of the date first written above.

CITY:

CITY OF MODESTO
By: _______________________________
Joseph Lopez
City Manager
ATTEST:

By: _______________________________
Diane Nayares-Perez, City Clerk
APPROVED AS TO FORM:

By: _______________________________
Jose Sanchez
City Attorney
BUYER:

By: _______________________________
Jason Schlarb
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EXHIBIT A

LEGAL DESCRIPTION
That real property in the City of Modesto, County of Stanislaus, State of California, described as follows:
[To Be Inserted]
APN: 029-012-050
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EXHIBIT B
Recording Requested by
and When Recorded, Return to:

EXEMPT FROM RECORDING FEES PER
GOVERNMENT CODE §§6103, 27383, 27387.1

GRANT DEED
For valuable consideration, receipt of which is hereby acknowledged, as of _________________, 202__, the City of Modesto, a California municipal corporation, hereby grants to Jason Schlarb, a married man as his sole and separate property.”, all that real property located in the City of Modesto, County of Stanislaus, State of California and more particularly described in Attachment No. 1 hereto and incorporated in this Grant Deed by this reference.

By: _______________________________
Joseph Lopez, City Manager
ATTEST:

By: _______________________________
Diane Nayares-Perez, City Clerk
APPROVED AS TO FORM:

By: _______________________________
Jose Sanchez, City Attorney
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Attachment No. 1 to Grant Deed

LEGAL DESCRIPTION
Real property in the City of Modesto, County of Stanislaus, State of California, described as follows:
[To Be Inserted]
APN: 029-012-050
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A notary public or other officer completing
this certificate verifies only the identity of the
individual who signed the document to which
this certificate is attached, and not the
truthfulness, accuracy, or validity of that
document.

State of California )
) ss.

County of _____________ )
On_____________________, 20____ before me, _____________________, a Notary Public, in and for said State and County, personally appeared _______________________, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.
_______________________________

NOTARY PUBLIC
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: January 26, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: 2024-2025 Accounts Receivable Write-offs and Adjustments for Community Development
CONTACT: Edgar Garcia, Community Development Manager
[email protected], (209) 571-5101
DESCRIPTION:

Consider approving the Fiscal Year 2024-25 Write-off and Adjustment Reports through Fiscal Year-End June 30, 2025, in the total amount of $113,621. (Funding Source: Various Funds) STRATEGIC PLAN ELEMENT:

This item supports the City of Modesto 2025-2026 Strategic Plan focus of Governance and Service Delivery under Goal H: Achieve Long-Term Financial Sustainability.

BACKGROUND:

The City’s Community Development Department tracks and records funds owed to the City using a third-party vendor. It is the City’s policy to actively pursue collection of past-due accounts and write-off amounts deemed to be uncollectible. The City is an entitlement grantee under the U.S. Department of Housing and Urban Development (HUD) Office of Community Planning and Development (CPD) which allocates the following program funds to the City of Modesto through a formula-based allocation for Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) which supports a range of community initiatives in the form of a loan, including the below:
 CDBG
o Homeowner Rehabilitation
o Affordable Housing
o Small Business Assistance
 HOME
o Affordable Housing
o Down Payment Assistance Programs
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City Council, February 24, 2026
2024-2025 Accounts Receivable Write-offs and Adjustments for Community Development

On May 6, 2025, the City Manager approved Administrative Directive (AD) 7.33, Loan Management Policy for Community Development, which defines how the City reviews and manages its collection practices for the Community Development Loans. AD 7.33, outlines various reasons where an account may be deemed uncollectible after applicable collection procedures have been exhausted and/or the debt has been discharged through legal actions like bankruptcy or court judgement.

DISCUSSION:

The City has reviewed its full loan portfolio and assessed loan delinquency mitigation measures in accordance with AD 7.33. As part of the assessment, the loans outlined below are deemed uncollectible due to the transfer of title and the debtor cannot be located, nor any of the debtor’s assets, and the debtor is a company which is no longer in business.

Those listed as Small Business Assistance were part of the Small Business Assistance program during the COVID-19 pandemic where the City issued forty-two (42) forgivable loans. In order for the loan to be forgiven, each business was required to stay open for a one-year period and maintain or hire one low-income worker. Two businesses (St. Stanislaus Brewery, and North China Town) were unable to fulfill the requirements due to their closure prior to the one-year period. Accordingly, city staff has determined these to be uncollectible.

The City’s Annual Comprehensive Financial Report (ACFR) requires that the City follow Governmental Accounting Standards (GASB) which requires that the City report any write-offs.

During the 2025 year, the City identified several doubtful accounts that included a total of eleven (11) loans that were eligible to be written-off. However, upon further review, City staff has identified only six (6) loans that are eligible to be written-off, because the other five (5) remain owner-occupied with City issued liens on the property, or are City-owned property. City staff will make a correction to account for this difference and will be reported as part of the ACFR for fiscal year ending June 30, 2026. Therefore, City staff is recommending that only six (6) loans be written-off as shown below:

Write offs – Approved in accordance with Administrative Directive 7.33 Loan Category Loan ID Principal Policy Criteria
Housing Rehab
Loans- DPL
30683 $10,993 Transfer of Title
Housing Rehab
Loans- ERLF
31158 $4,044 Recorded loan loss
Down Payment
Assistance
30838 $21,584 Transfer of Title
Small Business
Assistance
14313 $10,000 Business Closure
Small Business
Assistance
14375 $10,000 Business Closure
TOTAL $56,621
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City Council, February 24, 2026
2024-2025 Accounts Receivable Write-offs and Adjustments for Community Development

Write offs – Require approval from City Council based (> $25,000) Loan Category Loan ID Principal Policy Criteria
Down Payment
Assistance
31117 $57,000 Transfer of Title
If an account has a balance in excess of $25,000, the responsible department staff along with the City Manager will be required to take the request for write-off to the Finance Committee and City Council for approval. There is currently only one loan that exceeds twenty-five thousand dollars ($25,000).

For fees or charges twenty-five thousand dollars ($25,000) or less, the City’s Write-off of Uncollectible Accounts Receivable policy, and Loan Management Policy for Community Development outline the following approval authorities:
 If an account has a balance of $5,000 or less, a request for write-off, in the form of a memo, will be prepared by the CED Department and signed by the Department Director approving the requested write-off balance. The memo and supporting documents will be provided to Accounts Receivable staff and submitted to the Director of Finance for review and approval.
 If an account has a balance excess of $5,000 and up to $25,000, a request for write-off, in the form of a memo, will be prepared by the CED Department and signed by the Department Director approving the requested write-off balance. The memo and supporting documents will be provided to Accounts Receivable staff, reviewed by the Director of Finance and submitted to the City Manager for final review and approval.

FISCAL IMPACT:

The amount to be written off is in the amount of $113,621 and will not impact recognized revenue for Fiscal Year 2024-25. This is due to an annual adjustment that is recorded on the City’s financial statements to record any revenue from uncollectible accounts.

COMMITTEE RECOMMENDATION:

This item was presented to the Finance Committee on January 26, 2026, and was recommended to forward to City Council for approval.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving the Fiscal Year 2024-25 Write-off and Adjustments Report through Fiscal Year-End June 30, 2025 in the total amount of $113,621 and directing a report of disposition to be filed with the City Clerk.
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City Council, February 24, 2026
2024-2025 Accounts Receivable Write-offs and Adjustments for Community Development

Approved by:

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

1. Resolution

2. Loan Details (Write Offs)

3. Administrative Directive 7.33
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02/24/2026/CED/EGarcia/Item X 1 2026-XX

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-
RESOLUTION APPROVING THE FISCAL YEAR 2024-25 WRITE-OFF AND ADJUSTMENT REPORTS THROUGH FISCAL YEAR-END JUNE 30, 2025, IN THE TOTAL AMOUNT OF $113,621 AND DIRECTING A REPORT OF

DISPOSITION TO BE FILED WITH THE CITY CLERK
WHEREAS, the City is an entitlement grantee under the U.S. Department of Housing and Urban Development (HUD) Office of Community Planning and Development (CPD) which allocates program funds to the City of Modesto through a formula-based allocation for Community Development Block Grant (CDBG) and HOME Investment Partnerships (HOME) which supports a range of community initiatives – including Housing Rehabilitation, Affordable Housing, Small Business Assistance, and Downpayment Assistance – in the form of a loan; and
WHEREAS, the City’s Community Development Division tracks and records funds owed to the City using a third-party vendor, and it is City’s policy to actively pursue collection of past-due accounts and write-off amounts deemed to be uncollectible; and
WHEREAS, on May 6, 2025, the City Manager approved Administrative Directive (AD) 7.33, Loan Management Policy for Community Development, which outlines various reasons where an account may be deemed uncollectible after applicable collection procedures have been exhausted and/or the debt has been discharged through legal actions like bankruptcy or court judgement; and
WHEREAS, the City has reviewed its full loan portfolio and assessed loan delinquency mitigation measures in accordance with AD 7.33; and #6..
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02/24/2026/CED/EGarcia/Item X 2 2026-XX
WHEREAS, the City’s Annual Comprehensive Financial Report (ACFR) requires that the City follow Governmental Accounting Standards (GASB) which requires that the City report any write-offs; and
WHEREAS, City staff has identified six (6) loans that are eligible to be writtenoff in accordance with AD 7.33 in the amount of $113,621; and WHEREAS, the amount to be written off of $113,621 will not impact recognized revenue for Fiscal Year 2024-25 due to an annual adjustment that is recorded on the City’s financial statements to record any revenue from uncollectible accounts.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves the Fiscal Year 2024-25 Write-off and Adjustments report through Fiscal Year-End June 30, 2025, in the total amount of $113,621.

BE IT FURTHER RESOLVED that the City Manager is directed to file a report of disposition with the City Clerk.
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02/24/2026/CED/EGarcia/Item X 3 2026-XX
The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the day of February 24, 2026 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 Loan # Loan ID Prin Balance Booking Date Maturuty Date Last Payment/Contact
Date
DPL-661 30683 $10,992.67 12/21/2004 6/1/2020 8/1/2013
ERLF-327 31158 1500 Held Dr #99 $4,043.75 4/24/2007 4/24/2027 3/11/2011 FCDPL-310 30838 $21,583.88 12/3/2002 12/1/2032 7/1/2011 2804 Keller Street $57,000.00 12/10/2007 12/1/2037 12/1/2012 N/A 14313 $10,000.00 10/14/2020 10/14/2021 10/14/2021
N/A 14375 $10,000.00 5/28/2020 5/28/2021 5/28/2021
$ 113,620.30
2101 Standiford Ave #F
Prop Address
Housing Rehab Loans DPL
1028 11th Street
Down Payment Assistance Loans
416 Maple Street
Housing Rehab Loans ERLF
Small Business Assistance
2720 Barcelona Drive
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...... • ... :, � .. V
CITYOF

MODESTO

CALIFORNIA

CITY OF MODESTO

ADMINISTRATIVE

DIRECTIVE
Original Effective Date: Not Set
Latest Revision Date: 05/06/2025
Policy Number: 7.33
Approved By: Joseph Lopez
Cit Mana er
Subject: LOAN MANAGEMENT POLICY FOR COMMUNITY DEVELOPMENT POLICY:

It is the policy of the City of Modesto (City) to actively pursue collection of past-due Community Development Loan Accounts, regularly review the status of fee collection, interest or fee adjustments, and past-due accounts to determine write-off amounts that are uncollectible. Generally Accepted Accounting Principles (GAAP) dictates the write-off of receivable for financial reporting purposes. A write-off of uncollectible accounts receivable from the City's accounting records does not constitute forgiveness of the debt or gift of public funds.

PURPOSE:

The purpose of this policy is to ensure that all reasonable diligence has been used to collect accounts receivable, improve measurement of the City's loan management and ensure the most efficient use of Community Development revenue collection resources.

SCOPE:

This policy applies to all Community Development Loan funds to include State and Federally funded loan programs administered for the Homeowner Rehabilitation Program, and Affordable Housing programs. To note, Infrastructure Finance Program loans are not subject to this policy.

PROCEDURE:

Community Development loan accounts should generally be written-off by four years from when an account is determined to be uncollectible. This is based on the State of California Time-Barred Debt statute limit of four years for filing a lawsuit to collect on debt based on a written agreement.

Subsequent collection of an account previously written-off will be treated as new revenue in the appropriate fund.

I. Community Development Loan Management Collections and Modifications Community Development staff verifies and monitors loan accounts monthly for timely payments, maturity, and forgiveness. This includes review and tracking for all documentation of collections activities. Collections will vary depending on the nature of the receivable and the terms within the loan or regulatory agreement. It is the Community Development policy to work with the borrower to ensure that all appropriate measures were considered to bring delinquencies current. The Community Development Division utilizes its a Third-Party Software to capture its Loan Database to document and track any adjustments to ensure the appropriate approval authority is in place.
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: February 18, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Jessica Hill, Director of Community and Economic Development SUBJECT: Second Amendment to Agreement with Kosmont Companies CONTACT: Taranjot Khehra, Business Analyst,
[email protected], 209-577-5239
DESCRIPTION:

Consider approving a Second Amendment with Kosmont Companies to expand the scope of services to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project. (Funding Source: American Rescue Plan Act (ARPA) Funds) STRATEGIC PLAN ELEMENT:

This action supports the City’s 2025-2026 Strategic Plan’s Area of Focus by driving a vibrant and economically sustainable business climate within the City of Modesto and advancing a pro-growth economic development strategy that focuses on downtown, sports, and entertainment, building Modesto as a regional destination.

BACKGROUND:

The City of Modesto (“City”) has engaged Kosmont Companies (“Kosmont”) since 2022 to evaluate the feasibility of establishing an Enhanced Infrastructure Financing District (EIFD) to support infrastructure investment and economic development. Through the utilization of the EIFD the City wanted to accelerate economic development in the Downtown and support the implementation of sustainable development principles. On September 29, 2021, the City posted Request for Proposal (RFP) INF-22-02 for an EIFD Feasibility Study to qualified companies with demonstrated experience in providing EIFD consulting services. Nineteen (19) prospective bidders registered to review the RFP. In addition, City staff reached out to five (5) qualified firms to review the RFP.

The RFP yielded one response by the November 12, 2021, deadline from Kosmont Companies.

After a thorough departmental review of the proposal, the City accepted the Kosmont Companies proposal because of their depth and breadth of experience in assessing feasibility of and guiding the formation of EIFDs in California. Under the City Manager’s authority, the City entered into a Professional Services Agreement for an Enhanced Infrastructure Financing District Feasibility Study on February 8, 2022, with Kosmont Companies with a fixed price of $49,734. #7..
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City Council, February 24, 2026
Second Amendment to Agreement with Kosmont

City staff and Kosmont Companies worked closely together, completing the EIFD Feasibility Study Scope of Work Tasks:
 Task 1 – Identify Potential EIFD Boundaries and Initial Screening Criteria  Task 2 – Tax Increment Analysis
 Task 3 – Identify Infrastructure Needs
 Task 4 – Next Steps for Implementation
Since completion of the EIFD Feasibility Study, City staff has presented this item during an Economic Development Committee Meeting in September 2022. As a result of the Committee’s discussion and subsequent discussion with City management, City Council and Stanislaus County, additional questions arose regarding additional EIFD boundary options, tax increment allocation, and potential County participation. To address these issues, on July 11, 2023, by Resolution No. 2023-332, Council approved a First Amendment to the Professional Services Agreement with Kosmont Companies, which expanded the scope of services under the original Agreement and captured an increase and change in the not-to-exceed agreement amount of $200,000. The First Amendment provided for additional EIFD boundary alternatives analysis, evaluation of fiscal impacts to participating taxing entities, additional stakeholder coordination, and EIFD implementation.

Since that time, the City of Modesto has engaged in active discussions and negotiations with professional sports organization regarding the potential development of a sports and multi-use facility, including potential ancillary commercial, hospitality, and residential components (“Project”). Given the potential scale and complexity of this Project, City staff has identified a need for independent fiscal, financial, and public financing advisory services to support informed decision-making evaluation of potential financial options.

Given that Kosmont Companies worked closely with city staff in the performance of the EIFD Feasibility Study and Kosmont’s experience and expertise, and familiarity with the specifics of a potential Modesto EIFD formation, staff recommends amending the existing Professional Services Agreement with Kosmont to include this additional advisory scope for this Project.

DISCUSSION:

The proposed Second Amendment would expand Kosmont’s scope of work to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project.

The expanded scope of services includes the following tasks:

Task 1: Fiscal and Economic Impact Analysis
 Estimate the primary fiscal revenues (e.g., property tax, direct and indirect sales tax, hotel transient occupancy tax), primary fiscal expenditures (e.g., public safety service costs, community services), and resulting net fiscal impact (fiscal revenues net of fiscal expenditures) to be generated from the Project over time.

Task 2: Market and Financial Feasibility Analysis
 Prepare independent analysis of real estate market supply and demand conditions, and current development and operating revenue, expenditure, and profitability assumptions as may be related to Project components.
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City Council, February 24, 2026
Second Amendment to Agreement with Kosmont

Task 3: Public Funding and Financing Advisory
 Identify and evaluate alternative funding sources, financing mechanisms, and transaction structures that could support development of the Project.

Task 4: Discussions with Sports Organization and Related Third Parties  Under this task, Kosmont will be available to assist directly in discussions with sports organization representatives on matters such as site control/ownership, operations, funding, financing, and/or transaction structuring related to distinct Project components.

All advisory services under this Second Amendment are intended to support City staff in advancing evaluation of the Project and facilitating informed discussions that are necessary to move the sports and multi-use development project forward.

Modesto Municipal Code (MMC) 8-3.203 generally requires all purchases, which meet or exceed $100,000 for material, equipment, or contractual services to be formally bid. However, in accordance with MMC 8-3.204 (f), “Where the Purchasing Manager, in his or her discretion, determines that it is appropriate to amend the services or goods provided under an existing agreement to include additional similar goods or services, of limited quantity or scope, in order to increase efficiency and avoid delays or disruptions to City projects or services.” The proposed Second Amendment expands the scope of the existing agreement to include related fiscal, financial, and public financing advisory services that build upon Kosmont’s prior work on the City’s EIFD Feasibility Study and therefore conforms to Modesto Municipal Code Section 8.3.204(f).

FISCAL IMPACT:

The original Professional Services Agreement with Kosmont Companies for the EIFD Feasibility Study in the amount of $49,734 was funded by a Council-approved American Rescue Plan Act (ARPA) grant allocation. The First Amendment to the Agreement was funded by the remaining balance in the Modesto Forward EIFD ARPA grant allocation, Project Number 101406, increasing the total contract amount to $200,000.

As of the date of this report, approximately $93,894 remains available within Project 101406. The proposed Second Amendment to the Professional Services Agreement with Kosmont expands the scope of services to include fiscal, financial, and public financing advisory services related to a proposed sports and multi-use development project. There is sufficient funding in the Agreement to complete the added scope.

Approval of the Second Amendment does not increase the total not-to-exceed amount of the Agreement, which will remain at $200,000, and will not result in an additional fiscal impact to the City.

COMMITTEE RECOMMENDATION:

Due to the urgent nature of the action needed this item was taken directly to Council.

RECOMMENDED COUNCIL ACTION:

Staff Recommendations:

Resolution approving a Second Amendment with Kosmont Companies to expand the scope of services to include fiscal and economic impact analysis, market and financial feasibility review, #7..
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City Council, February 24, 2026
Second Amendment to Agreement with Kosmont

public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project, and authorizing the City Manager, or designee, to execute the Second Amendment.

Approved by:

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

1. Resolution

2. Kosmont Second Amendment

3. First Amendment

4. Original Agreement
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2/24/2026/CED/TKHEHRA/Item # 1 2026-XX

MODESTO CITY COUNCIL
RESOLUTION NO. 2026-XX

RESOLUTION APPROVING A SECOND AMENDMENT WITH KOSMONT

COMPANIES TO EXPAND THE SCOPE OF SERVICES TO INCLUDE FISCAL

AND ECONOMIC IMPACT ANALYSIS, MARKET AND FINANCIAL

FEASIBILITY REVIEW, PUBLIC FUNDING AND FINANCING ADVISORY,

AND NEGOTIATION SUPPORT RELATED TO A PROPOSED SPORTS AND

MULTI-USE DEVELOPMENT PROJECT, AND AUTHORIZING THE CITY

MANAGER, OR DESIGNEE, TO EXECUTE THE SECOND AMENDMENT
WHEREAS, the City of Modesto (“City”) has engaged Kosmont Companies (“Kosmont”) since 2022 to evaluate the feasibility of establishing an Enhanced Infrastructure Financing District (EIFD) to support infrastructure investment and economic development; and
WHEREAS, on September 29, 2021, the City posted (RFP) INF-22-02 for an EIFD Feasibility Study to qualified companies with demonstrated experience in providing EIFD consulting services; and
WHEREAS, under the City Manager’s authority, the City entered into a Professional Services Agreement for an Enhanced Infrastructure Financing District Feasibility Study on February 8, 2022 with Kosmont Companies with a fixed price of $49,734; and
WHEREAS, since completion of the EIFD Feasibility Study, City staff has presented this item during an Economic Development Committee Meeting in September 2022; and
WHEREAS, as a result of the Committee’s discussion and subsequent discussion with City management, City Council, and Stanislaus County, additional questions arose regarding additional EIFD boundary options, tax increment allocation, and potential #7..
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2/24/2026/CED/TKHEHRA/Item # 2 2026-XX
County participation; and
WHEREAS, to address these issues, on July 11, 2023, by Resolution No. 2023- 332, Council approved a First Amendment to the Professional Services Agreement with Kosmont Companies, which expanded the scope of services under the original Agreement and captured an increase and change in the not-to-exceed agreement amount of $200,000; and
WHEREAS, the First Amendment provided for additional EIFD boundary alternatives analysis, evaluation of fiscal impacts to participating taxing entities, additional stakeholder coordination, and EIFD implementation; and WHEREAS, since that time, the City of Modesto has engaged in active discussions and negotiations with professional sports organization regarding the potential development of a sports and multi-use facility, including potential ancillary commercial, hospitality, and residential components (“Project”); and WHEREAS, given the potential scale and complexity of this Project, City staff has identified a need for independent fiscal, financial, and public financing advisory services to support informed decision-making evaluation of potential financial options; and
WHEREAS, given that Kosmont Companies worked closely with city staff in the performance of the EIFD Feasibility Study and Kosmont’s experience and expertise, and familiarity with the specifics of a potential Modesto EIFD formation, staff recommends amending the existing Professional Services Agreement with Kosmont to include this additional advisory scope for this Project; and
WHEREAS, the proposed Second Amendment would expand Kosmont’s scope #7..
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2/24/2026/CED/TKHEHRA/Item # 3 2026-XX
of work to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project; and
WHEREAS, all advisory services under this Second Amendment are intended to support City staff in advancing evaluation of the Project and facilitating informed discussions that are necessary to move the sports and multi-use development project forward; and
WHEREAS, Modesto Municipal Code (MMC) 8-3.203 generally requires all purchases, which meet or exceed $100,000 for material, equipment, or contractual services to be formally bid. However, in accordance with MMC 8-3.204 (f), “Where the Purchasing Manager, in his or her discretion, determines that it is appropriate to amend the services or goods provided under an existing agreement to include additional similar goods or services, of limited quantity or scope, in order to increase efficiency and avoid delays or disruptions to City projects or services.”; and WHEREAS, the proposed Second Amendment expands the scope of the existing agreement to include related fiscal, financial, and public financing advisory services that build upon Kosmont’s prior work on the City’s EIFD Feasibility Study and therefore conforms to Modesto Municipal Code Section 8.3.204(f); and WHEREAS, the original Professional Services Agreement with Kosmont Companies for the EIFD Feasibility Study in the amount of $49,734 was funded by a Council-approved American Rescue Plan Act (ARPA) grant allocation; and WHEREAS, the First Amendment to the Agreement was funded by the remaining balance in the Modesto Forward EIFD ARPA grant allocation, Project Number 101406, #7..
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2/24/2026/CED/TKHEHRA/Item # 4 2026-XX
increasing the total contract amount to $200,000; and
WHEREAS, approximately $93,894 remains available within Project 101406, and the proposed Second Amendment to the Professional Services Agreement with Kosmont expands the scope of services to include fiscal, financial, and public financing advisory services related to a proposed sports and multi-use development project; and WHEREAS, there is sufficient funding in the contract to complete the added scope; and
WHEREAS, approval of the Second Amendment does not increase the total notto-exceed amount of the Agreement, which will remain at $200,000, and will not result in an additional fiscal impact to the City.

NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Modesto that it hereby approves a Second Amendment with Kosmont Companies to expand the scope of services to include fiscal and economic impact analysis, market and financial feasibility review, public funding and financing advisory, and negotiation support related to a proposed sports and multi-use development project.

BE IT FURTHER RESOLVED that the City Manager, or his designee, are hereby authorized to execute the Second Amendment, in a form approved by the City Attorney.

The foregoing resolution was introduced at a regular meeting of the Council of the City of Modesto held on the 24th day of February 2026, 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:
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2/24/2026/CED/TKHEHRA/Item # 5 2026-XX
ABSENT: Councilmembers:

ATTEST:_ ______

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

BY: __________________________________________
JOSE M. SANCHEZ, City Attorney
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SECOND AMENDMENT TO STANDARD AGREEMENT
FOR CONSULTANT SERVICES WITH KOSMONT & ASSOCIATES, INC. DBA KOSMONT

COMPANIES
This SECOND AMENDMENT to the Standard Agreement for Consultant Services (“SECOND AMENDMENT”) is entered into between the CITY OF MODESTO, a municipal corporation of the State of California (hereinafter the “CITY”) and KOSMONT & ASSOCIATES, INC. DBA KOSMONT COMPANIES, a California corporation (hereinafter “CONSULTANT”) as of the day of 2026 .

RECITALS
This SECOND AMENDMENT is made with regard to the following recitals:

The CITY and CONSULTANT previously entered into a Standard Agreement for ENHANCED INFRASTRUCTURE FINANCING DISTRICT (EIFD) FEASIBILITY STUDY SERVICES dated February 8, 2022 (the “ORIGINAL AGREEMENT”).

CITY and CONSULTANT previously entered into a FIRST AMENDMENT to implement the formation of an Enhanced Infrastructure Financing District on the day of 11th day of July 2023.

CITY and CONSULTANT desire to amend the ORIGINAL AGREEMENT by updating the Scope of Work in Exhibit A.

NOW, THEREFORE, in consideration of this SECOND AMENDMENT, and the mutual promises, covenants, and signatures contained in the ORIGINAL AGREEMENT for ENHANCED INFRASTRUCTURE FINANCING DISTRICT (EIFD) FEASIBILITY STUDY SERVICES and this SECOND AMENDMENT, the parties agree as follows:

1. SCOPE OF SERVICES, Section 1, , of the ORIGINAL AGREEMENT shall be amended to update the Scope of Work Tasks to the proposal dated February 10, 2026, attached hereto as Exhibit A.

2. Except as modified and amended by this SECOND AMENDMENT, all other provisions of the Agreement shall remain unchanged and in full force and effect.

IN WITNESS WHEREOF, the CITY OF MODESTO, a municipal corporation, has authorized the execution of this SECOND AMENDMENT to the ORIGINAL AGREEMENT for the FISCAL AND ECONOMIC IMPACT

ANALYSIS, MARKET AND FINANCIAL FEASIBILITY REVIEW, PUBLIC FUNDING AND FINANCING

ADVISORY, AND NEGOTIATION SUPPORT RELATED TO A PROPOSED SPORTS AND MULTI-USE DEVELOPMENT PROJECT by its City Manager and attestation by its City Clerk on the day of , 2026 and KOSMONT & ASSOCIATES, INC. DBA KOSMONT COMPANIES has caused this SECOND AMENDMENT to be duly executed as of the Effective Date. #7..
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Exhibit A
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Kosmont Companies
Mailing Address: 1601 N. Sepulveda Blvd., #382 (424) 297-1070 Physical Address: 2301 Rosecrans Ave, Ste. 4140 Manhattan Beach, CA 90266 www.kosmont.com El Segundo, CA 90245 February 10, 2026
Jessica Hill
Director of Community and Economic Development
City of Modesto
1010 10th Street
Modesto, CA 95354
Re: Proposal for Services
Dear Ms. Hill:

Kosmont & Associates, Inc. doing business as Kosmont Companies (“Consultant” or “Kosmont”) is pleased to present this proposal to the City of Modesto (“City” or “Client”) for sports facility development advisory services. This proposal serves as an Agreement when executed and returned by Client to Kosmont.

I. BACKGROUND AND OBJECTIVE
Kosmont understands that the City is in active discussions and negotiations with a professional sports organization regarding the potential development of a sports and multi-use facility along with potential ancillary (e.g., commercial, hospitality, residential) development (“Project”).

Kosmont has previously assisted the City with evaluation of tax increment financing (TIF) tools such as Enhanced Infrastructure Financing Districts (EIFD), and the City has expressed interest in broadening the scope of Kosmont assistance to include negotiation and potential transaction structuring advisory related to the Project. Kosmont proposes the following Scope of Services accordingly.

II. SCOPE OF SERVICES
Approach to Tasks: The prospective assignment and consulting services that Kosmont will provide will be of a relatively limited scope and duration, and advisory in nature. Kosmont will be making recommendations only, which advise the Client and jurisdictions, including their elected officials, appointed officials, and staff, which they can accept or reject. None of Kosmont's staff will act in a capacity as an elected official, nor appointed official, nor as staff, nor as serving in a "designated" position.

Task 1: Fiscal and Economic Impact Analysis
As a means of demonstrating benefits to relevant public agencies (e.g., City, County of Stanislaus) from development of the Project, Kosmont will estimate the primary fiscal revenues EXHIBIT A #7..
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City of Modesto
Kosmont Proposal for Sports Facility Advisory
February 10, 2026
Kosmont Companies 2 | Page
(424) 297-1070
www.kosmont.com
(e.g., property tax, direct and indirect sales tax, hotel transient occupancy tax), primary fiscal expenditures (e.g., public safety service costs, community services), and resulting net fiscal impact (fiscal revenues net of fiscal expenditures) to be generated from the Project over time.

Consultant will additionally apply an IMPLAN-based analysis to estimate the employment (job creation), labor income (wages), and economic output (value of goods and services produced) benefits to be derived from both construction and ongoing operation of the Project. Direct, indirect, and indirect (multiplier) impacts will be reflected.

Task 2: Market and Financial Feasibility Analysis
As desired by City staff, Kosmont will prepare independent analysis of real estate market supply and demand conditions, and current development and operating revenue, expenditure, and profitability assumptions as may be related to Project components. To the extent that pro forma analysis materials are provided by sports organization representatives, Kosmont will review such materials and inform City on accuracy and reasonableness of assumptions. Kosmont may prepare independent development pro forma analysis to specifically evaluate financial feasibility for the development of planned land uses, and the potential timing, phasing, and absorption of Project components.

Task 3: Public Funding and Financing Advisory
Informed by previous Task activities, Consultant will identify and evaluate alternative funding sources, financing mechanisms, and transaction structures that could support development of the Project. Tools may include ground lease structures, lease revenue bond financing, new or expanded special tax or assessment districts (e.g., community facilities district, tourism business improvement district), tax increment financing (TIF), grants, and/or other tools.

Task 4: Discussions with Sports Organization and Related Third Parties To the extent desired by City staff, Kosmont will be available to assist directly in discussions with sports organization representatives on matters such as site control/ownership, operations, funding, financing, and/or transaction structuring related to distinct Project components. As available budget may allow, Kosmont would anticipate assisting the City through negotiation of a Memorandum of Understanding (MOU) towards an ultimate Development Agreement of similar form of agreement.

III. SCHEDULE AND REQUIRED DATA
Consultant is prepared to commence work upon receipt of executed Agreement. Client will provide Consultant with relevant existing project data including the latest development concepts, cost estimates, or related information shared by sports organization representatives.

IV. COMPENSATION
Compensation for Tasks 1 through 4 is outlined below for professional services (hourly) fees at Consultant’s billing rates as shown on Attachment A.
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City of Modesto
Kosmont Proposal for Sports Facility Advisory
February 10, 2026
Kosmont Companies 3 | Page
(424) 297-1070
www.kosmont.com
Tasks Estimated Budget
1) Fiscal and Economic Impact Analysis $15,000 to $20,000 2) Market and Financial Feasibility Analysis $15,000 to $20,000 3) Public Funding and Financing Advisory $15,000 to $20,000 4) Discussions with Sports Organization / Third Parties $15,000 to $20,000 Estimated Professional Services (Hourly) Fees $60,000 to $80,000 Budget may be re-allocated between Tasks as may be needed to provide adequate services to Client. Future increases in budget will require approval by Client in advance. Budget may be increased by Client at any time.

Consultant anticipates a single consolidated round of Client comments and revisions on draft work product before Kosmont provides a final version of work product. If necessary, additional rounds of comments and revisions can be accommodated on an hourly basis.

Services will be invoiced monthly at Consultant’s standard billing rates, as shown on Attachment A. In addition to professional services (hourly) fees, invoices will include reimbursement for outof-pocket expenses such as travel and mileage (provided that there shall be no overnight travel without the Client’s prior approval and that mileage shall be reimbursed at the current IRS mileage reimbursement rate), professional printing, conference calls, and delivery charges for messenger and overnight packages at actual cost. Unless otherwise agreed to in advance, out-of-area travel, if any, requires advance funding of flights and hotel accommodations.

Consultant will also include in each invoice an administrative services fee to cover in-house copy, fax, telephone and postage costs equal to four percent (4.0%) of Consultant’s monthly professional service fees incurred. Any unpaid invoices after 30 days shall accrue interest at the rate of 10% per annum.

For the convenience of Kosmont’s clients, we offer a secure credit card payment service. The credit card payment link is: https://kosmont.paidyet.com and there are two ways to make a secure credit card payment:

1. Fill in the “Make a Payment” form when you go to the link (https://kosmont.paidyet.com), or

2. Call Kosmont Companies’ accounting desk (424) 297-1072 to make a credit card payment Consultant is prepared to commence work upon receipt of executed Agreement.

DISCLOSURE: Compensation for possible future transaction-based services or brokerage services.

The following is being provided solely as an advance disclosure of possible real estate brokerage and finance services and potential compensation for such services. This disclosure is not intended to commit the Client.

When assignments involve real estate/property brokerage services, such transaction-based services are typically provided by Kosmont Real Estate Services, Inc. dba Kosmont Realty (“KR”) #7..
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is licensed by the State of California Department of Real Estate (License# 02058445).

Compensation to KR is typically paid through commissions for property sale transactions, lease transactions and success/broker fees. KR also provides Broker Opinions of Value (“BOV”) services on a fixed fee basis.

When assignments involve public finance services on behalf of a public agency, such municipal advisory services are provided by Kosmont Financial Services (KFS). KFS is an independent Registered Municipal Advisor with the Securities and Exchange Commission and the Municipal Securities Rulemaking Board.

SEC registration does not constitute an endorsement of the firm by the Commission or state securities regulators.

V. OTHER PROVISIONS
A. Termination. Client or Consultant shall have the right to terminate this Agreement at any time upon written notification to the other party. Payment for fees accrued through the date of termination shall be remitted in full.

B. Arbitration. Any controversy or claim arising out of or in relation to this Agreement, or the making, performance, interpretation or breach thereof, shall be settled by arbitration at JAMS in Los Angeles, California. Each of the parties to such arbitration proceeding shall be entitled to take up to five depositions with document requests. The provisions of Section 1283.05 (except subdivision (e) thereof) of the California Code of Civil Procedure are incorporated by reference herein, except to the extent they conflict with this Agreement, in which case this Agreement is controlling. If the matter is heard by only one arbitrator, such arbitrator shall be a member of the State Bar of California or a retired judge. If the matter is heard by an arbitration panel, at least one member of such panel shall be a member of the State Bar of California or a retired judge.

The arbitrator or arbitrators shall decide all questions of law, and all mixed questions of law and fact, in accordance with the substantive law of the State of California to the end that all rights and defenses which either party may have asserted in a court of competent jurisdiction shall be fully available to such party in the arbitration proceeding contemplated hereby. The arbitrator and arbitrators shall set forth and deliver their findings of fact and conclusions of law with the delivery of the arbitration award. Judgment upon the award rendered shall be final and non-appealable and may be entered in any court having jurisdiction.

C. Attorneys' Fees. In the event of any legal action, arbitration, or proceeding arising out of an alleged breach of this Agreement, the party prevailing in such legal action, arbitration, or proceeding shall be entitled to recover reasonable attorneys' fees, expenses and costs, as well as all actual attorneys' fees, expenses and cost incurred in enforcing any judgment entered.

D. Authority. Each of the parties executing this Agreement warrants that persons duly authorized to bind each such party to its terms execute this Agreement.

E. Further Actions. The parties agree to execute such additional documents and take such further actions as may be necessary to carry out the provisions and intent of this Agreement. #7..
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F. Assignment. Neither this Agreement nor any of the rights or obligations hereunder may be assigned by either party without the prior written consent of the other party.

G. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

H. Entire Agreement; Amendments and Waivers. This Agreement contains the final, complete and exclusive agreement between the parties relating to the transactions contemplated hereby and any and all prior discussions, negotiations, commitments and understanding, whether written or oral, related hereto are superseded hereby. No addition or modification of any term or provision of this Agreement shall be effective unless set forth in writing signed by both parties. No waiver of any of the provisions of this Agreement shall be deemed to constitute a waiver of any other provision hereof (whether or not similar), nor shall such waiver constitute a continuing waiver of such provisions unless otherwise expressly provided. Each party to this Agreement has participated in its drafting and, therefore, ambiguities in this Agreement will not be construed against any party to this Agreement.

I. Severability. If any term or provision of this Agreement shall be deemed invalid or unenforceable, the remainder of this Agreement shall not be affected thereby, and each remaining term and provision of this Agreement shall be valid and in force to the fullest extent permitted by law.

J. Notices. All notices, requests, demands and other communications which may be required under this Agreement shall be in writing and shall be deemed to have been received when transmitted; if personally delivered, if transmitted by telecopier, electronic or digital transmission method, upon transmission; if sent by next day delivery to a domestic address by a recognized overnight delivery service (e.g., Federal Express), the day after it is sent; and if sent by certified or registered mail, return receipt requested, upon receipt. In each case, notice shall be sent to the principal place of business of the respective party. Either party may change its address by giving written notice thereof to the other in accordance with the provisions of this paragraph.

K. Titles and Captions. Titles and captions contained in this Agreement are inserted only as a matter of convenience and for reference and in no way define, limit, extend or describe the scope of this Agreement or the intent of any provision herein.

L. Governing Law. The statutory, administrative and judicial law of the State of California (without reference to choice of law provisions of California law) shall govern the execution and performance of this Agreement.

M. Confidentiality. Each of the parties agrees not to disclose this Agreement or any information concerning this Agreement to any persons or entities, other than to their attorneys and accountants, or as otherwise may be required by law.

N. Counterparts. This Agreement may be executed in one or more counterparts, each of which constitutes an original, and all of which together constitute one and the same instrument. The signature of any person on a telecopy of this Agreement, or any notice, action #7..
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or consent taken pursuant to this Agreement shall have the same full force and effect as such person's original signature.

O. Disclaimer. Consultant’s financial analysis activities and work product, which may include but is not limited to pro forma analysis and tax projections, are projections only. Actual results may differ materially from those expressed in the analysis performed by Consultant due to the integrity of data received, market conditions, economic events and conditions, and a variety of factors that could materially affect the data and conclusions. Client’s reliance on Consultant’s analysis must consider the foregoing.

Consultant services outlined and described herein are advisory services only. Any decisions or actions taken or not taken by Client and affiliates, are deemed to be based on Client’s understanding and by execution of this Agreement, acknowledgement that Consultant’s services are advisory only and as such, cannot be relied on as to the results, performance and conclusions of any investment or project that Client may or may not undertake as related to the services provided including any verbal or written communications by and between the Client and Consultant.

Client acknowledges that Consultant's use of work product is limited to the purposes contemplated within this Agreement. Consultant makes no representation of the work product's application to, or suitability for use in, circumstances not contemplated by the scope of work under this Agreement.

P. Limitation of Damages. In the event Consultant is found liable for any violation of duty, whether in tort or in contract, damages shall be limited to the amount Consultant has received from Client.

Q. Force Majeure. Consultant shall not be liable for failure or delay in performance of its obligations under this Agreement arising out of or caused, directly or indirectly, by significant circumstances beyond its reasonable control, including, without limitation: epidemic; acts of God; earthquakes; fires; floods; wars; civil or military disturbances; acts of terrorism; sabotage; strikes; riots; wide-spread power failures and wide-spread internet failure. Contractual performance and deadline(s) shall be extended for a period equal to the time lost by reason of the delay.

R. Expiration of Proposal for Services. If this Agreement is not fully executed by the parties within thirty (30) days from the date of this letter, this proposal shall expire.

S. Not an agreement for Legal Services or Legal Advice. This Agreement does not constitute an agreement for the performance of legal services or the provision of legal advice, or legal opinion. Client should seek independent legal counsel on matters for which Client is seeking legal advice.
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VI. ACCEPTANCE AND AUTHORIZATION
If this Agreement is acceptable to Client, please execute two copies of the Agreement and return both originals to Kosmont Companies. Upon receipt of both signed contracts, we will return one fully executed original for your files. Kosmont will commence work upon receipt of executed Agreement.

Read, understood, and agreed to this
____ Day of _______________ 2026

City of Modesto Kosmont & Associates, Inc.
doing business as “Kosmont Companies”
By: _________________________ By: _________________________ (Signature) (Signature)

Name: Name: Larry J. Kosmont, CRE®
(Print Name)

Its: Its: Chairman & CEO
(Title)
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City of Modesto
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ATTACHMENT A
Kosmont Companies
2026 Public Agency Fee Schedule
Professional Services
Chairman & CEO $540.00/hour
President $435.00/hour
Sr. Vice President/Sr. Advisor/Sr. Managing Director $405.00/hour Vice President/Project Advisor $295.00/hour
Senior Project Analyst $210.00/hour
Project Analyst/Project Research $195.00/hour
Assistant Project Analyst/Assistant Project Manager $170.00/hour Project Promotion/Graphics/GIS Mapping Services $ 95.00/hour Administrative Support $ 90.00/hour
Additional Expenses
In addition to professional services (labor fees):
1) An administrative fee for in-house copy, fax, phone, postage costs, digital/technological support and related administrative expenses will be charged, which will be computed at four percent (4.0 %) of monthly Kosmont Companies professional service fees incurred; plus
2) Out-of-pocket expenditures, such as travel and mileage, professional printing, and delivery charges for messenger and overnight packages will be charged at cost. 3) Project/Market data sources for support of evaluation and analysis e.g., ESRI, Placer.ai, CoStar/STR, IMPLAN, ParcelQuest and other based on quoted project cost. 4) If Kosmont retains Third Party Vendor(s) for Client (with Client’s advance approval), fees and cost will be billed to Client at 1.1X (times) fees and costs. 5) Consultant’s attendance or participation at any public meeting, whether such participation is in person, digital, video and/or telephonic (e.g., City Council, Planning Commission, Public Agency Board, other) requested by Client and are beyond those specifically identified in the Scope of Work will be billed at the professional services (hourly) fees as shown on this Attachment A.
• Charges for Court/Deposition/Expert Witness-Related Appearances Court-related (non-preparation) activities, such as court appearances, depositions, mediation, arbitration, dispute resolution and other expert witness activities, will be charged at a court rate of

1.5 times scheduled rates, with a 4-hour minimum.

Rates Effective until December 31, 2026. For and during the term of the subject Agreement, the above referenced rates in each category will be increased, effective January 1, 2027, and annually thereafter, to reflect the adjustment in the CPI (U.S. Dept. of Labor, Bureau of Labor Statistics) All Cities Average Consumer Price Index for the prior year. As an example, the US City Average Consumer Price Index (CPI-U) for December 2025 was 0.3, representing a change of 2.7 percent over the index of the previous 12 months. #7..
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AGREEMENT TRANSMITTAL SHEET
Subject of Agreement:

Vendor Name: Division:

Contact Person: Extension:

Attorney Reviewer Name:

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

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

PINS Approval Business License
Council Agenda Report 700 Form (for Consultants)
Signed or Unsigned Resolution W-9
Council Meeting Minutes (Only if unsigned
Resolution is provided)
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB

ENHANCED INFRASTRUCTURE FINANCING DISTRICT (EIFD) FEASABILITY STUDY
Economic
Development
Erica Hunt
X
X
X
X
75270
Alex Mog
Kosmont Companies, LLC
Enter Council Date
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CITY OF MODESTO PROFESSIONAL SERVICES AGREEMENT
THIS AGREEMENT, made and entered into in the City of Modesto, State of California, this day of , 2022 (“Effective Date”), by and between the CITY OF MODESTO, a municipal corporation of the State of California, hereinafter referred to as "City", and Kosmont & Associates, Inc., a California corporation, doing business as “Kosmont Companies,” hereinafter referred to as "Consultant."
This Agreement is made with regard to the following recitals:

A. The City has determined that a Feasibility Study should be prepared for the City to assist it in assessing the merit of establishing an Enhanced Infrastructure Financing District (EIFD).

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:

1. SCOPE OF SERVICES.

Consultant shall undertake and complete the preparation of the scope of work as set forth and described in the documents attached hereto and referred to as Exhibit "A" or "project". The Consultant shall perform the services as described in Exhibit "A" in a manner compatible with the standards of its profession, and shall produce a fully complete project that is acceptable to City.

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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB 8th February
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performed by Consultant, unless terminated earlier in accordance with the provisions of the termination clause in this Agreement.

City hereby gives Consultant notice to proceed with the preparation of the project in the manner described in Exhibit "A", as of the Effective Date of this agreement.

Consultant shall diligently proceed with the preparation of the project and agrees to complete said preparation within the time period set forth in Exhibit "A".

3. COMPENSATION.

Consultant agrees to accept a sum not to exceed FORTY-NINE THOUSAND, SEVEN HUNDRED THIRTY-FOUR AND 00/100 DOLLARS ($49,734.00) as full remuneration for performing all services and furnishing all staffing and materials called for in Exhibit "A" and for performance by Consultant of all of its duties and obligations under this Agreement.

The Compensation shall be paid pursuant in the manner and at the times set forth below:

All work to be performed under this Agreement shall be billed at the 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 work completed, and detailed receipts for any out-of-pocket, reimbursable costs paid by Consultant in connection with work performed on this project.

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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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contemplated by this Agreement. Consultant further warrants that it will follow the best 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 JOSEPH DIEGUEZ, SENIOR VICE PRESIDENT, will be the person primarily responsible for the performance of the services referred to in this Agreement. City has entered into this Agreement in reliance on that representation by Consultant. Consultant therefore agrees that fifty percent (50%) or more of the time to be devoted to the project that is the subject of this Agreement will be that of the abovenamed 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, and may be used by City as it may require without any additional cost to 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 completion or termination of services under the contract.

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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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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 City through the City Manager.

8. INTEREST OF CONTRACTOR.

Consultant warrants that it presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of services required to be performed under this Agreement. Consultant warrants that, in performance of this Agreement, Consultant shall not employ any person having any such interest.

9. AMENDMENTS.

Both parties to this Agreement understand that it may become desirable or necessary during the execution of this Agreement, for City or Consultant to modify the scope of services provided for under this Agreement. Any material extension or change in the scope of work shall be discussed with City and the change and cost shall be memorialized in a written amendment to the original contract prior to the performance of the additional work.

Until a change order is so executed, City will not be responsible to pay any charges Consultant may incur in performing such additional services, and Consultant shall not be required to perform any such additional services.

10. INDEPENDENT CONTRACTOR.

All acts of Consultant, its agents, officers, and employees and all others DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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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. Consultant, by virtue of this Agreement, 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. No agent, officer, or employee of the City is to be considered an employee of Consultant. 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 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 has control over the manner and means of performing the services under this Agreement. Consultant is permitted to provide services to others during the same period service is provided to City under this Agreement. If necessary, 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.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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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.

As an independent contractor, Consultant hereby indemnifies and holds City harmless from any and all claims that may be made against City based upon any contention by any third party that an employer-employee relationship exists by reason of this Agreement.

11. ASSIGNMENT.

Neither this Agreement nor any portion thereof shall be subcontracted or assigned 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.

Any and all notices permitted or required to be given hereunder shall be deemed duly given and effective (a) upon actual delivery, if delivery is by hand; or (b) five (5) days after delivery into the United States mail if delivery is by postage paid registered or certified (return receipt requested) mail. Each such notice shall be sent to the parties at the address respectively indicated below or to any other address as the respective parties may designate from time to time.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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FOR Consultant:

Name: Kosmont Companies
Mailing Address: 1601 N. Sepulveda Blvd., #382, Manhattan Beach, CA 90266
Attention: Larry J. Kosmont
Phone: (424) 297-1070
FOR CITY:

Name: City of Modesto, Economic Development Division
Address: 1010 Tenth St., Suite 3300, Modesto CA 95354
Attention: Robert Kimball
Phone: (209) 571-5540

14. INSURANCE REQUIREMENTS.

The Consultant 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. (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 $1,000,000 for property damage or $1,000,000 combined single limit. If commercial general liability insurance or other form with a general DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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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 per-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 consultants and subcontractors; products and completed operations. (c) Automobile Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and $1,000,000 property damage or $1,000,000 combined single limit. This insurance shall cover any automobile for bodily injury and property damage.
(d) Professional Liability (Errors and Omissions) Insurance with limits not less than $1,000,000 per claim, $2,000,000 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 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 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. CONSULTANT shall provide CITY with separate endorsements evidencing proof of the CITY’s additional insured status as to both the DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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general liability and automobile liability insurance policies. 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. In addition, CONSULTANT shall provide CITY with a Workers Compensation subrogation waiver by way of a separate endorsement. 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.

All endorsements referenced above must include the applicable policy number.

15. TERMINATION OF AGREEMENT.

Termination by City for Default of Consultant
Should Consultant default in the performance of this Agreement or materially breach any of its provisions, at its option, City may terminate this Agreement by giving written notification to Consultant. The termination date shall be the effective date of the notice. For the purposes of this section, material breach of this Agreement shall include, but not be limited to, any of the following: failure to perform required services or duties, willful destruction of City's property by Consultant, dishonesty or theft.

Termination by City for Convenience
TheCitymay also terminate theConsultant's performance underthe Agreement, eitherin whole orin part, at its own discretion, or when conditions encountered duringtheWork make it impossible orimpracticable to proceed, or when theCityis prevented fromproceedingwith the Agreement by act of God, by law, or by official action of a public authority, or upon a determination by the City that DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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such termination is in the best interest and convenience of the City, or whenever the City is prohibited from completing the Work for any reason. TheCityshall provide no lessthan ten (10) calendar days written notice of its intent to terminate the Agreement for convenience, and shall endeavor to provide the Consultant with consultation with the City prior to termination.

Termination by City for Lack of Budgeted Funds
The City may terminate this Agreement effective July 1 of any given year upon the City's determination to not appropriate sufficient funds for this Agreement for the ensuing fiscal year. In such event City shall give Consultant not less than 30 days written notice of termination.

Termination by City for Change of Consultant's Tax Status If City determines that Consultant does not meet the requirements of federal and state tax laws for independent contractor status, City may terminate this Agreement by giving written notice to Consultant. The termination date shall be the effective date of the notice.

Post-Termination Procedures
If this Agreement is terminated pursuant to this Section, 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 materialsin progress to City, in which case the City will have the right at its discretion to settle, or DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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pay any or 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 mayhave 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 Work 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 Work and/or property related to the Work;
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 an amount based on the percentage of satisfactory DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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work completed in accordance with the notice of termination. If the Agreement is terminated pursuant to the subparagraph entitled Termination by City for Default of Consultant, 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. The final 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. CERTIFIED PAYROLL REQUIREMENT.

For consultants performing field work on public works contracts on which prevailing wages are required: The Consultant shall comply with the provisions of Section 1776 of the California Labor Code, regarding payroll records, and shall require its subconsultants and subcontractors to comply with that section as may be required by law.

17. INDEMNITY.

The Consultant shall hold the City, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, including but not limited to injury to person or DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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property or wrongful death, including reasonable costs and expenses of defense of any judicial or administrative action, arising directly or indirectly out of any act or omission of Consultant.

18. ENTIRE AGREEMENT.

This Agreement and its exhibits contain the entire understanding between Consultant and City. Additional or new terms contained in this Agreement which vary from Consultant's proposal are controlling and are deemed accepted by Consultant by shipment of any article or other commencement of performance hereunder. 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. No future waiver of or exception to any of the terms, conditions, and provisions of this Agreement shall be considered valid unless specifically agreed to in writing by all the parties.

19. 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.

20. 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.

21. 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.

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Consultant agrees to retain reports, records, documents, and files related to charges under this Agreement for a period of four (4) years following the date of final payment for Consultant services. City's representative shall have the right to reproduce any of the aforesaid documents.

22. GOVERNING LAW.

This Agreement shall be governed according to the laws of the State of California.

23. HEADINGS NOT CONTROLLING.

Headings used in the Agreement are for reference purposes only and shall not be considered in construing this Agreement.

24. 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.

25. CITY BUSINESS LICENSE.

Consultant shall have a City of Modesto business license.

IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement in duplicate by its City Manager and attestation by its City Clerk on the day of 22, and Kosmont Companies has caused this Agreement to be duly executed in duplicate as of the Effective Date.

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EXHIBIT A: PROJECT REQUIREMENTS AND PROPOSAL
Attached under separate cover:

INF 22-02 EIFD-Feasibility-Study.pdf – Scope of Work
Kosmont EIFD Proposal to Modesto (INF 22-02) – VF.pdf
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EXHIBIT B: BILLING RATES
KOSMONT COMPANIES 2022 FEE SCHEDULE
Professional Services
Chairman & CEO
President
Senior Vice President/Senior Advisor
Vice President
$395.00 / hour
$365.00 / hour
$325.00 / hour
$225.00 / hour
Senior Project Analyst
Project Analyst/Project Research
Assistant Project Analyst/Assistant Project
Manager
Project Promotion/Graphics/GIS Mapping
Services
Clerical Support
$195.00 / hour
$165.00 / hour
$125.00 / hour
$ 95.00 / hour
$ 70.00 / hour
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CITY OF MODESTO,
a municipal corporation
BY: ____________________________
JOSEPH P. LOPEZ, City Manager
ATTEST:
(Seal)
BY: ____________________________
DANA SANCHEZ, Interim City Clerk
________________________________
BY: ____________________________
By _____________________________
Name Title
BY: ____________________________
By _____________________________
Name Title
APPROVED AS TO FORM:

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

BY: ____________________________
CHRISTINA D. ALGER
Director of Human Resources (Risk)
Federal ID # ___________
* Corporations - signature of two (2) officers
required or one (1) officer plus corporate seal.

Partnership - signature of a partner required Sole
Proprietorship - signature of proprietor
required
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB Kosmont Companies, LLC
Larry J. Kosmont CEO
95-4257431
Ken K. Hira President
2/8/2022
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CITY OF MODESTO
REQUEST FOR PROPOSALS INF 22-02
FOR

ENHANCED INFRASTRUCTURE FINANCING DISTRICT (EIFD) FEASIBILITY STUDY PROPOSAL OPENING: Friday, November 12, 2021 at 4:30 P.M.

CITY OF MODESTO CONTACT: Robert Kimball, Marketing Specialist, Economic Development E-MAIL ADDRESS: [email protected]
PHONE: (209) 571-5540
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2 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

TABLE OF CONTENTS
NOTICE TO PROPOSERS ..................................................................................................... 3 Introduction ....................................................................................................................... 4 Project Goals ...................................................................................................................... 5 Scope of Work .................................................................................................................... 5 Task 1 – Identify Potential Boundaries and Initial Screening Criteria. ....................................... 5 Task 2 – Tax Increment Analysis. ......................................................................................... 6 Task 3 – Identify Infrastructure Needs. ................................................................................. 7 Task 4 – Next Steps for Implementation. .............................................................................. 7 Task 5 – Study Results. ....................................................................................................... 8 REQUIRED INFORMATION AND FORMAT OF SUBMITTALS ..................................................... 8 GENERAL INFORMATION ..................................................................................................... 9 ELECTRONIC PAYMENT INFORMATION ............................................................................... 10 INSTRUCTIONS AND QUESTIONS ....................................................................................... 11 PROPOSAL SCHEDULE ....................................................................................................... 11 CONSULTANT AGREEMENT & INSURANCE REQUIREMENTS .................................................. 12 PROPOSAL SUBMISSION CHECKLIST ................................................................................... 13 PROPOSAL ACKNOWLEDGEMENT ........................................................................................ 14 PRICING SCHEDULE ........................................................................................................... 16 EXCEPTIONS, CLARIFICATIONS, AMENDMENTS ................................................................... 17 REFERENCES ..................................................................................................................... 18 FINANCIAL INTEREST DISCLOSURE .................................................................................... 20 COMPANY HISTORY STATEMENT ........................................................................................ 23 ADDENDA ACKNOWLEDGEMENT ......................................................................................... 24 ATTACHMENT 1: OPPORTUNITY AREA/SITE MAP ................................................................. 25 ATTACHMENT 2: CITY OF MODESTO AMENDED 1995 GENERAL PLAN ................................... 26 ATTACHMENT 3: INSURANCE INFORMATION....................................................................... 27 ATTACHMENT 4: SAMPLE PROFESSIONAL SERVICES AGREEMENT ........................................ 29 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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3 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 REQUEST FOR PROPOSALS INF 22-02

PROFESSIONAL SERVICES

CITY OF MODESTO

EIFD FEASIBILITY STUDY

NOTICE TO PROPOSERS
The City of Modesto is inviting qualified firms to submit written proposals for Professional Services to perform an Enhanced Infrastructure Financing District (EIFD) feasibility study to determine how the City may utilize this Tax Increment Financing (TIF) tool to finance downtown and transit-oriented development, affordable housing, and other City economic development goals.

Each proposal shall be submitted to the City of Modesto Economic Development Division no later than 4:30 PM Pacific Time, November 12, 2021.

Proposals shall be submitted electronically via email to Robert Kimball, Economic Development Marketing Specialist at [email protected] and should reference in the subject line, EIFD FEASIBILITY STUDY RFP (INF 22-02). Please follow up with a phone call to Robert at (209) 571-5540 to ensure receipt. Email time stamp will be considered time of receipt.

Proposals shall be received by email prior to the time indicated. Any proposal received at or after said time and/or date, cannot be considered. The City of Modesto assumes no responsibility for delay in the delivery of the proposal.

The City reserves the right to reject any or all proposals or to waive any informalities or minor irregularities in a proposal.

No proposer may withdraw his/her proposal for a period of one-hundred twenty (120) days after the date set for the opening thereof.

Addenda will be posted on the City’s PlanetBids portal along with the RFP. Access the City of Modesto PlanetBids portal from:
https://www.modestogov.com/257/Contracting-Bid-Opportunities Prospective proposers must check the website for addenda or other relevant new information during the response period. The City is not responsible for the failure of any prospective proposer to receive such addenda. All addenda so issued shall become a part of this Request for Proposal. In addition, any questions submitted (due by 4:30 PM, October 15, 2021) shall be posted on the City of Modesto’s PlanetBids portal.

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4 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Introduction
The City of Modesto is a balanced industrial-commercial-residential city with a strong jobs base and affordable quality of life. The City is a regional hub for food and beverage manufacturing, distribution, healthcare, retail and hospitality in the Northern San Joaquin Valley. The City, together with the County of Stanislaus is developing tourism branding and marketing as a regional destination and as an access gateway to Yosemite and the Sierras. The City has an approved Downtown Master Plan and is beginning a major General Plan Update. The City’s Transit Center will be upgraded as Modesto joins the ACE (Altamont Corridor Express) Rail commuter line at the end of 2022, connecting it with Stockton, Sacramento, BART (Bay Area Rapid Transit) and the Bay Area. Modesto has eleven Federal Opportunity Zones including most of the area under consideration for this feasibility study.

The City believes the property in and around its Downtown, the Transit Center and the adjacent Tuolumne River Regional Park area has good potential for revitalization and development supporting a growing population and is interested in accelerating that development by making necessary infrastructure investments. The City is seeking professional guidance on ways to accelerate economic development in the study area while maintaining a balance with quality of life.

The City of Modesto Economic Development Division is seeking proposals from qualified consultant(s) with expertise in identifying potential EIFD projects, financing and potential district boundaries, engaging with the County for potential participation and next steps.

The Consultant shall have a proven ability to assess a City’s current conditions and demonstrate knowledge of current State and County regulations as it applies to the creation of an EIFD.

The City anticipates the feasibility study be completed and ready for Council consideration within six (6) months from execution of the consultant contract. Documents are to be prepared in a format that is clear, concise, and easy to read and be graphically driven, user-friendly documents that will take advantage of current technology to the extent reasonably and practically possible. Project value is estimated to be less than $50,000.

All proposals will be compared on the basis of understanding the scope of work to be performed, methods and procedures to be used, management, personnel and experience, and consultation and coordination with the City of Modesto.

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5 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Project Goals

1. Support the Downtown Master plan
(https://www.modestogov.com/2404/Downtown-Master-Plan), adding housing, commercial and quality of life amenities including open space and a sports stadium, and expanding downtown development to the west across the railway and the 99 freeway, and to and around the Tuolumne River Regional Park.

2. Improve connectivity to the Transit Center to increase transit ridership within Modesto and take advantage of ACE Rail service particularly among long-distance commuters.

3. Support and implement sustainable development principles.

Scope of Work
This project will require careful coordination, frequent communication and collaboration with City staff, and a unified team. It is the desire of the City to complete the entire process within six months. The Project Manager will maintain regular communication with the City’s Economic Development Division to monitor and review project progress ensuring key milestones are being met.

Task 1 – Identify Potential Boundaries and Initial Screening Criteria.

1.1 Determine boundary scenarios. Identify potential boundaries to study for preliminary screening of eligibility for an EIFD. Chosen boundaries should meet wellaccepted, publicly available criteria.

Deliverables: Maps and written descriptions of a variety of boundary scenarios for consideration of an EIFD and concise written explanation for development of boundaries.

1.2 Initial Screening. Using data available from City of Modesto GIS, Stanislaus County GIS, ArcGIS and/or other publicly available data sources, prepare a matrix of primary screening criteria, including, but not limited to:
 Current zoning and density in project area (including consideration of anticipated zoning from land use planning updates underway)  Project location and infrastructure needs
 Potential infrastructure financing solutions (property tax capture rate, eligibility for grant funding, etc.)
 Whether the proposed EIFD boundaries overlap a former California Redevelopment Project Area
 Economic Development potential (planned projects, existing parcel values, etc.)  Technical screening; determine any former RDA project areas, existing ROPs obligations or other bond/financing obligations, EIFD Successor Agency DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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6 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Prerequisites, etc.

Deliverable: Matrix showing screening variables for each boundary scenario.

1.3 Strategic considerations. Identify quantitative and qualitative factors affecting feasibility, which may include:
 Market statistics
 Land ownership (public/private)
 Proposed developments
 Anticipated infrastructure investments (public transit, grant-funded projects, etc.) Use the data to make final recommendations for which boundary scenario(s) should continue into the next phase of analysis as well as determining whether an EIFD district should be studied. If other forms of benefit assessment district are appropriate (Community Facilities District, BID, etc.) identify those.

Deliverable: Market and future investment analysis
Task 2 – Tax Increment Analysis.

This task is focused on determining a range of tax increment or other benefit assessment district funds which could be generated upon formation of a district.

2.1 Revenue Generation. Key assumptions for the revenue generation analysis include:
 Analysis of potential boundary scenarios and potential assessment districts.  Taxing entity proportional shares should be current (redevelopment era shares were pre-ERAF) and come from County Auditor-Controller.  For TIF districts, include one set of revenues projections with both County and City participation and one set with only City participation in tax increment.  Project revenues at the 10, 20, 30 and 45-year timeframe.  Provide some “But/For analysis,” i.e., is it likely that the proposed infrastructure projects would not produce the subsequent growth in development without the EIFD.
 Is the project viable without contributions from other taxing entities? Revenue generation assumptions should also meet any EIFD criteria and policies adopted by the Stanislaus County Board of Supervisors.

2.2 Bonding capacity. For each scenario, determine the bonding capacity of the TIF/assessment revenue assuming that the governing authority bonds against the future proceeds.

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7 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Deliverables: Tax increment revenue and present value analysis Task 3 – Identify Infrastructure Needs.

3.1. Identify infrastructure and community development investments.

Working with the City/County, the consultant shall determine a range of infrastructure and community development projects/programs, consistent with the regulations for any assessment district, which could make up the funding plan for the EIFD district(s).

The projects shall include estimated funding needs whenever available.

While the City has begun the process of updating its General Plan, the 1995 adopted Plan and associated Elements and Amendments should be used as references in the process of identifying projects and boundaries.

Deliverable: Summary of potential infrastructure and community investment projects, with an estimated range of costs.

3.2 Identify other funding sources. In the event that the total desired investment exceeds the net revenues generated by the EIFD/special assessment district, the consultant shall identify other funding sources that could be leveraged by the EIFD district(s), including grants, special district fees, development impact fees, and other public funding sources including incentive programs, funding sources (including regional, State, and Federal infrastructure funding sources), and/or financing structures and other strategies as may be applicable.

Deliverable: Summary memo providing a rough order of magnitude funding plan for the EIFD district(s), inclusive of projects, project costs and potential funding sources.

Task 4 – Next Steps for Implementation.

Consultant shall prepare a summary memo outlining next steps for implementation, a timeline, and a budget for the implementation activities. The memo should include recommendations for the make-up of a Public Financing Authority if districting is recommended and identify other factors such as CEQA considerations and community engagement. The memo should function as a realistic action plan for moving forward.

Deliverable: Next Steps Summary Memo
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8 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Task 5 – Study Results.

Deliverables:
 One (1) electronic copy of all documents (PDF and Word/Excel Versions).  Ten (10) bound hard-copies and one (1) unbound camera-ready copy of Study results.

REQUIRED INFORMATION AND FORMAT OF SUBMITTALS
In order to be considered for selection, the responding individuals or firms shall submit a proposal using the following criteria as a minimum, which shall be evaluated by representatives from the City of Modesto:

1. Letter of Introduction
a. A letter of introduction signed by a Principal or Senior Officer of the organization.
b. The firm(s) shall state why it believes it is qualified to provide the services described in this Request for Proposal (RFP).
c. If submitting as a team, note which team member is the prime consultant or lead joint venture partner (if applicable). The City intends to contract with a single firm, not multiple firms doing business as a joint venture. d. Include the name and resume of the individual leading the team. 2) Firm Information and Qualifications
a) Number of years the firm(s) has been in business.
b) Location of principal office that will be responsible for the implementation of this contract, and the distance from the City of Modesto.
c) List company and individual team members experience in providing similar services. Resumes for each team member shall be provided as well as recent and pertinent references, contact names, telephone numbers and addresses.

2. Scope of Work. (Up to 5 pages)
Provide a statement demonstrating your firm’s or team’s ability to accomplish the scope of services in a thorough manner to meet needs of the City. Specifically, cite recent and relevant experience in completing similar projects. Summarize the approach, activities and timeline that best reflect the firm’s understanding of the scope of work and technical capabilities.

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9 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

3. COST - Professional Services Fees
a. Provide a proposal of the total fees proposed for this work and a listing of other estimated direct costs using Attachment 5: Fee Schedule. b. Provide a listing of hourly rates for service. Provide a matrix describing the allocation of hours assigned for each major work task and the personnel or contractor assigned to accomplish each task.
c. Add 15% as a separate contingency budget for unexpected work requests.

4. References
a. Provide at least three municipal client references for Enhanced Infrastructure Finance District feasibility study engagements, using the form in Attachment 6: References.

GENERAL INFORMATION
Respondents are asked to submit one electronic copy of their proposal by email. The proposal should be in sufficient detail to allow for a thorough evaluation and comparative analysis. The proposal should include, at a minimum, the following information in sectionalized format addressing all phases of the work in the requested scope of work.

Please provide a fee estimate, on a task-by-task basis including extra meeting costs if required. The proposal shall include a spreadsheet identifying personnel, hourly rates, and project responsibilities and estimated amount of time expected for each task, expressed in staff-hours. The proposed budget is to be presented as not-to-exceed, with all overhead/expenses included in the figure. The consultant should outline the terms of payment, based on monthly billings to the City. The costs shall be presented in a format that allows identification of total costs for the completion of an EIFD Feasibility Study.

Proposer will bear all cost of preparing and submitting the proposal.

By submitting a proposal, each consultant represents that it has thoroughly examined and become familiar with the work required under this RFP and that it is capable for performing quality work to achieve the stated objectives of City.

City shall not be liable for any pre-contractual expenses incurred by consultants in the preparation of proposal. Pre-contractual expenses shall not be included in the fee proposal.

The City of Modesto reserves the right to reject any of the proposals, to select more than one consultant, and/or accept that proposal or portion of a proposal which will, in its opinion, best serve the public interest.

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10 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

ELECTRONIC PAYMENT INFORMATION
The City of Modesto provides an Epay Program which involves payment of invoices by a secure Visa account number assigned to the supplier after award of bid or contract.

Notification of payments and required invoice information is issued to the supplier’s designated Accounts Receivable contact by email remittance advice at time of payment.

During the evaluation process preference may be shown to proposers that agree to accept Epay for payment of invoices. Please indicate on the Pricing Schedule whether or not your company will accept the City’s Epay Program.

Invoice to: City of Modesto
Attn: Accounts Payable
P.O. Box 642
Modesto, CA 95353
Email to: [email protected]
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11 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

INSTRUCTIONS AND QUESTIONS
All questions regarding these specifications, terms, and conditions shall be submitted to Robert Kimball, Economic Development Marketing Specialist, via email at [email protected]. Questions must be submitted by 4:30 PM, October 1, 2021.

Questions and responses will be made available to all potential proposers on the City of Modesto PlanetBids portal.

PROPOSAL SCHEDULE
RFP Posting Date .......................................... September 29, 2021 Questions Due .............................................. October 15, 2021, 4:30 PM Response to Questions .................................. October 22, 2021 Proposal Due (Opening) Date ........................ November 12, 2021, 4:30 PM Interviews (if necessary, as deemed by City) . November 19, 2021 Select Consultant .......................................... November 2021 * Council Approval/Award ............................... December 2021 * * Dates are estimates and are subject to change.

NOTE: Upon receipt of proposals, the City may elect to shortlist firms.

Interviews will only be conducted with the shortlisted firms if the City determines that additional information is needed to make a selection. The City reserves the right to select a successful firm without conducting any interviews.

Information must be furnished in compliance with the terms, conditions, provisions and specifications of the RFP. The information requested and the manner of submission is essential to permit prompt evaluation of all proposals on a fair and uniform basis.

Accordingly, the City reserves the right to declare as non-responsive and reject any proposal in which material information requested is not furnished or where indirect or incomplete answers or information are provided.

Faxed or mailed proposals will not be accepted. Late proposals will not be accepted.

Any proposals received subsequent to the date and hour set forth herein, because of delayed delivery or any other reason, will not be considered by the City.

The City reserves the right to reject any or all proposals received, to negotiate with qualified firms, or to cancel the request for proposals in part or in its entirety without DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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12 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 explanation to the proposers.

The City of Modesto reserves the right to revise or amend the request for proposal up to the due date of proposals. Such revisions and amendments, if any, shall be announced by addenda to this solicitation on the City of Modesto PlanetBids portal. It is the prospective bidder’s responsibility to review the portal for updates, addenda, responses to questions and any other relevant information posted by the City. If the changes are substantive, the date set for closing the proposal period and award of contract may be extended.

CONSULTANT AGREEMENT & INSURANCE REQUIREMENTS
The selected firm shall enter into an agreement with the City, which requires insurance to be maintained in force at all times during the performance of the work and/or duration of the contract.

Please refer to Attachment 3: Insurance Information and Attachment 4: Sample Professional Services Agreement.

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13 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 REQUEST FOR PROPOSALS INF 22-02

PROFESSIONAL SERVICES CITY OF MODESTO

EIFD FEASIBILITY STUDY

PROPOSAL SUBMISSION CHECKLIST
The bidder shall provide a complete bid no later than the Proposal Due Date (page 11).

Failure to provide all the required documents may cause the bid to be considered nonresponsive.

COMPLETE BID Reference Page No.

Scope of Work Proposal ............................................................................................ 5 Proposal Acknowledgement (Signature) ................................................................ 14 Pricing Schedule (Signature) ................................................................................ 16 Exceptions, Clarifications, Amendments (if applicable) .............................................. 17 References ............................................................................................................ 18 Financial Interest Disclosure Form (Signature) ...................................................... 20 Company History Statement including Financial Statements ..................................... 23 Addenda Acknowledgement Page (if applicable) ..................................................... 24 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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14 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

PROPOSAL ACKNOWLEDGEMENT
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
The City is soliciting proposals from qualified proposers to furnish its requirements per the specifications, terms and conditions contained in the above referenced proposal number. This Proposal Acknowledgement must be completed, signed by a responsible officer or employee, dated and submitted with the proposal response. Obligations assumed by such signature must be fulfilled.

1. Preparation of Proposals: (a) All prices and notations must be printed in ink or typewritten. No erasures permitted. Errors may be crossed out and corrections printed in ink or typewritten adjacent and must be initialed in ink by person signing the proposal. (b) Quote price as specified in proposal. No alterations or changes of any kind shall be permitted to the Proposal Form. Responses that do not comply shall be subject to rejection in total.

2. Failure to Submit Proposal: If you are not submitting a proposal but want to remain on the mailing list and receive future proposals, complete, sign and return this Proposal Acknowledgement and state the reason you are not pricing.

3. Taxes and Freight Charges: (a) Unless otherwise required and specified in the RFP, the prices quoted herein do not include Sales, Use or other taxes. (b) No charge for delivery, drayage, express, parcel post packing, cartage, insurance, license fees, permits, costs of bonds, or for any other purpose, except taxes legally payable by City, will be paid by the City unless expressly included and itemized in the proposal. (c) Amount paid for transportation of property to the City is exempt from Federal Transportation Tax. An exemption certificate is not required where the shipping paper shows the consignee as one (1) of the Agencies; as such papers may be accepted by the carrier as proof of the exempt character of the shipment. (d) Articles sold to the Agencies are exempt from certain Federal excise taxes. The Agencies will furnish an exemption certificate.

4. Award: (a) Unless otherwise specified by the proposer or the RFP gives notice of an all-or-none award, the City may accept any item or group of items of any proposal. (b) Proposals are subject to acceptance at any time within thirty (30) days of opening, unless otherwise specified in the RFP. (c) A valid, written purchase order mailed, or otherwise furnished, to the successful proposer within the time for acceptance specified results in a binding contract without further action by either party. The contract shall be interpreted, construed and given effect in all respects according to the laws of the State of California.

5. Patent Indemnity: Proposers who do business with the City shall hold the City, its officers, agents and employees, harmless from liability of any nature or kind, including cost and expenses, for infringement or use of any patent, copyright or other proprietary right, secret process, patented or un-patented invention, article or appliance furnished or used in connection with the contract or purchase order.

6. Samples: Samples of items, when required, shall be furnished free of expense to the City and if not destroyed by test may upon request (made when the sample is furnished), be returned at the proposer’s expense.

7. Rights and Remedies of Agencies for Default: (a) In the event any item furnished by the proposer in the performance of the contract or purchase order should fail to conform to the specifications therefore or to the sample submitted by the proposer with its proposal, the City may reject the same, and it shall thereupon become the duty of the proposer to reclaim and remove the same forthwith, without expense to the City, and immediately to replace all such rejected items with others conforming to such specifications or samples; provided that should the proposer fail, neglect or refuse so to do the City shall thereupon have the right to purchase in the open market, in lieu thereof, a corresponding quantity of any such items and to deduct from any moneys due or that may there after come due to vendor the difference between the prices named in the contract or purchase order and the actual cost thereof to the City. In the event that the proposer fails to make prompt delivery as specified for any item, the same conditions as to the rights of the City to purchase in the open market and to reimbursement set forth above shall apply, except when delivery is delayed by fire, strike, freight embargo, or Act of God or the government. (b) Cost of inspection or deliveries or offers for delivery, which do not meet specifications, will be borne by the proposer. (c) The rights and remedies of the Agencies provided above shall not be exclusive and are in addition to any other rights and remedies provided by law or under the contract.

8. Discounts: (a) Terms of less than ten (10) days for cash discount will be considered as net. (b) In connection with any discount offered, time will be computed from date of complete, satisfactory delivery of the supplies, equipment or services specified in the RFP, or from date correct invoices are received by the City at the billing address specified, if the latter date is later than the date of delivery. Payment is deemed to be made, for the purpose of earning the discount, on the date of mailing the City’s check.

9. California Government Code Section 4552: In submitting a proposal to a public purchasing body, the proposer offers and agrees that if the proposal is accepted, it will assign to the purchasing body all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, materials, or services by the proposer for sale to the purchasing body pursuant to the proposal. Such assignment shall be made and become effective at the time the purchasing body tenders final payment to the proposer.

10. No Guarantee or Warranty: The City makes no guarantee or warranty as to the condition, completeness or safety of any material or equipment that may be traded in on this order.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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15 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 THE undersigned acknowledges receipt of the referenced RFP and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the proposer indicated below, in accordance with the specifications, terms and conditions of this RFP and Proposal Acknowledgement, for the pricing indicated on the Pricing Schedule.

Firm:

Address:

City/State/Zip:

Signature/Title/Date:

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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16 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

PRICING SCHEDULE
REQUEST FOR PROPOSAL NO. INF 22-02

EIFD FEASIBILITY STUDY
REQUIRED SERVICES Unit Price
Professional Services Fees for performance and delivery of Tasks 1-5 TOTAL
Additional Services (Please specify)

Will proposer accept the City’s Epay Payment Program? Please check one: Yes ____ No ____ Information regarding the program is provided in GENERAL INFORMATION – ELECTRONIC PAYMENT INFORMATION, PAGE 10.

City Business License No. __________ Expiration Date: __________ THE undersigned acknowledges receipt of the referenced RFP and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the proposer indicated below, in accordance with the specifications, terms and conditions of this RFP and Proposal Acknowledgement, for the pricing indicated on the Fee Schedule.

Company Name (Proposer):

By (Person Submitting Proposal):

Print
By Person Submitting Proposal):
(Signature)
Title of Person Submitting Proposal:

Business Address
(City/State/Zip):

Email Address:

Telephone Number:

Fax Number:

Date:

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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17 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

EXCEPTIONS, CLARIFICATIONS, AMENDMENTS
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
Exceptions, Clarifications, Amendments
List requests for proposal clarifications and exceptions below, if any, sign and submit with your proposal response.

Item No. Reference To: Description
Page No. Paragraph No.

Company Name (Proposer):

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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18 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

REFERENCES
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
All proposers must provide a list of five (5) current or former clients in the area provided below, identifying prior experience with the same type of services requested by the City under Scope of Work.

References shall have similar volume and requirements to those outlined in these specifications, terms and conditions. Proposer’s failing to provide references shall be deemed unacceptable.

The City may contact some or all of the references provided in order to determine the Proposers’ performance record on services similar to that described in this proposal. The City reserves the right to contact references other than those provided in the response and to use the information gained from them in the award process.

Company Name:

Address:

City, State, Zip Code:

Contact Person:

Email Address:

Telephone Number:

Type of Business:

Date of Service:

Annual Contract Value $
Company Name:

Address:

City, State, Zip Code:

Contact Person:

Email Address:

Telephone Number:

Type of Business:

Date of Service:

Annual Contract Value $
Company Name:

Address:

City, State, Zip Code
Contact Person:

Email Address:

Telephone Number:

Type of Business:

Date of Service:

Annual Contract Value $
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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19 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 Company Name:

Address:

City, State, Zip Code
Contact Person:

Email Address:

Telephone Number:

Type of Business:

Date of Service:

Annual Contract Value $
Company Name:

Address:

City, State, Zip Code
Contact Person:

Email Address:

Telephone Number:

Type of Business:

Date of Service:

Annual Contract Value $
Company Name (Proposer):

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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20 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

FINANCIAL INTEREST DISCLOSURE
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY

FINANCIAL INTEREST DISCLOSURE

REQUIRED DISCLOSURE BEGINNING THE COUNCIL MEETING
OF JANUARY 7, 2003
The ordinance requiring financial interest disclosure by all parties having a direct or indirect interest of $2,000 or more (except for certain publicly traded companies) will be effective at the Council meeting of January 7, 2003.

This means that any Council action on a contract, agreement or development right must be accompanied by a FINANCIAL INTEREST DISCLOSURE FORM listing by name all parties that have a material financial interest in the agreement, contract or development right.

PLEASE NOTE, any Council action that requires a FINANCIAL INTEREST DISCLOSURE cannot be considered by the City Council until the required reporting is made. That means that Agenda Items without the DISCLOSURE will be removed from the Council Agenda.

All persons included within the meaning of either of the following tests have a material financial interest in an agreement, or application for development rights, submitted for approval or disapproval by the City Council, and shall be identified by the applicant, by name.

Tests of Materiality:

1. Whether it is foreseeable to a reasonable person that the value of their interest in property available for use by an applicant, or their interest in the applicant itself, may increase or decrease by an amount greater than $2,000.00 as a direct or indirect result of Council action on the applicant’s agreement or application for development rights.

2. Whether it is foreseeable to a reasonable person that the person’s gross income from the applicant may increase or decrease by a sum greater than $2,000.00 as a direct or indirect result of Council action on the agreement or application for development rights.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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21 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 It is the legal obligation of all applicants for approval of an agreement or of an application for development rights to verify in writing, under penalty of perjury, that the identity of each person having a material financial interest in the agreement or application or development rights is true, correct and complete. The applicant understands that this information is provided under penalty of perjury, and that intentionally supplying misinformation or deception may result in either invalidation of the agreement or application, or criminal prosecution for misdemeanor violation of the Modesto Municipal Code, or both. Negligent provision of misinformation shall be grounds for invalidation. In accordance with the Modesto Municipal Code, each applicant has a continuing obligation to maintain the truth, accuracy and completeness of the financial interest disclosure information provided below until after final consideration by the City Council of any matter arising out of or relating to the agreement or application.

By signing this document, I agree to the information contained within.

COMPANY NAME: ____________________________________________________

APPLICANT’S NAME (SIGNATURE): __________________________________

__________________________________
APPLICANT’S NAME/TITLE (PRINT):
__________________________________
Applicable Names: DATE:
(See attached list)
Questions concerning the application of either test to particular facts should be resolved in advance of Council action by agreement with the department head recommending approval of its agreement/application.

DIRECTOR
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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22 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

FINANCIAL INTEREST DISCLOSURE
COMPANY NAME: __________________________________________ NAMES
Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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23 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

COMPANY HISTORY STATEMENT
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
Your company shall have been in business for a minimum of three (3) continuous years (immediately prior to the time of the RFP submittal date) providing the types of services requested in this RFP.

The company history statement shall be prepared on company letterhead and provided with the proposal submittal. State whether your organization is an individual proprietorship, partnership, corporation, or private nonprofit organization, and the date your company or organization was formed or incorporated. Provide a statement as to any judgment, litigations, licensing violations, or other violations, outstanding or resolved, against your company in the past five (5) years.

MINIMUM QUALIFICATIONS
Minimum Qualifications are mandatory for proposal consideration, and at a minimum shall include the following:

Financial Stability (Provided electronically as a separate file or package):

Proposers shall submit a copy of their company’s most recent professionally prepared Financial Statements (Income Statement and Balance Sheet). These statements, if un-audited, shall be accompanied by a cover letter that states the name and title of the preparer, the basis of the financial statement presentation (cash or accrual) and whether these statements have been prepared in accordance with Generally Accepted Accounting Principles for the most recent fiscal year end of the proposer. Audited financial statements shall be submitted in their entirety, including the auditor’s opinion and notes to the financial statements.

A separate document shall be provided and signed under penalty of perjury by the proposer’s financial officer or owner that explains the proposer’s inability to provide statements for a fiscal period that ended at least eight (8) months before the required date of submittal, if such inability exists.

One complete set of Financial Statements shall be submitted electronically, as a separate file or package attachment along with the proposal document. The Financial Statements file or package may be password-protected. If the proposer is selected, the password must be provided.

The file or package should be titled:

FINANCIALS-NAME OF PROPOSER-INF22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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24 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

ADDENDA ACKNOWLEDGEMENT
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
The bidder shall check the RFB listing on the City or PlanetBid website, periodically, and in any event, no later than the day prior to bid opening to obtain any addenda information. The changes identified in the addenda modify this request for bid and specifications. The addenda now become a part of this request for bid and specifications. Signing the Bid on the signature portion thereof, the bidder is acknowledging that the bidder has confirmed that he or she has received all addenda issued for this request for bid and specifications, and has included costs for such in the bid submitted. Failure to list and acknowledge all addenda numbers may cause the bid to be considered nonresponsive. Do not attach any of the addenda to this sheet nor include them with the bid.

This document is only required to be returned should addenda have been issued.

The Bid is submitted with respect to the changes to the request for bid and specifications included in addenda numbers:

LIST ALL ADDENDA
NUMBERS:_____________________________________________________ Company Name (Bidder):

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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25 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 ATTACHMENT 1: OPPORTUNITY AREA/SITE MAP
To be developed.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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26 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 ATTACHMENT 2: CITY OF MODESTO AMENDED 1995 GENERAL PLAN Due to the size of this set of documents, the City requests that you view and access it through the City of Modesto website: 1995 General Plan
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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27 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 ATTACHMENT 3: INSURANCE INFORMATION
Applies to professionals including but not limited to architects, engineers, consultants, attorneys and accountants.

The CONTRACTOR 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 City Clerk 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 registered mail, return receipt requested, for all of the following stated insurance policies.

A. Workers' 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. The insurance shall indicate on the certificate of insurance the following coverage and indicate the policy aggregate limit applying to: premises and operations; broad form contractual; independent contractors and subcontractors; products and completed operations; and/or professional liability.

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 $2,000,000 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 CONTRACTOR shall promptly obtain a new policy, submit the same to Risk Manager for approval and submit a certificate thereof as hereinabove provided. Upon failure of the CONTRACTOR 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 CONTRACTOR to obtain and/or maintain DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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28 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 any required insurance shall not relieve the CONTRACTOR from any liability under this Agreement, nor shall the insurance requirements be construed to conflict with or otherwise limit the obligations of the CONTRACTOR 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.

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 CONTRACTOR for the CITY.

The CONTRACTOR'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.

For any claims related to this project, the CONTRACTOR’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 Contractor’s insurance and shall not contribute with it.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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29 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 ATTACHMENT 4: SAMPLE PROFESSIONAL SERVICES AGREEMENT

STANDARD AGREEMENT

FOR CONSULTANT SERVICES
THIS AGREEMENT, made and entered into in the City of Modesto, State of California, this day of , 20XX (“Effective Date”), by and between the CITY OF MODESTO, a municipal corporation of the State of California, hereinafter referred to as "City", and ___________________________, a California corporation, hereinafter referred to as "Consultant."
This Agreement is made with regard to the following recitals:

A. The City has determined that an should be
prepared for the City to .

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:

1. SCOPE OF SERVICES.

Consultant shall undertake and complete the preparation of the scope of work as set forth and described in the documents attached hereto and referred to as Exhibit "A" or "project". The Consultant shall perform the services as described in Exhibit "A" in a manner compatible with the standards of its profession, and shall produce a fully complete project that is acceptable to City.

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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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30 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 termination clause in this Agreement.

City hereby gives Consultant notice to proceed with the preparation of the project in the manner described in Exhibit "A", as of the Effective Date of this agreement.

Consultant shall diligently proceed with the preparation of the project and agrees to complete said preparation within the time period set forth in Exhibit "A".

3. COMPENSATION.

Consultant agrees to accept a sum not to exceed $_________ AND XX/100 DOLLARS ($XXX,XXX.XX) as full remuneration for performing all services and furnishing all staffing and materials called for in Exhibit "A" and for performance by Consultant of all of its duties and obligations under this Agreement.

The Compensation shall be paid pursuant in the manner and at the times set forth below:

All work to be performed under this Agreement shall be billed at the 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 work completed, and detailed receipts for any out-of-pocket, reimbursable costs paid by Consultant in connection with work performed on this project.

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 best current, generally accepted and professional practices to make findings, render opinions, prepare factual presentations, and provide professional advice and recommendations regarding this DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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31 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 project.

5. PERFORMANCE BY KEY EMPLOYEE.

Consultant has represented to City that NAME, TITLE, will be the person primarily responsible for the performance of the services referred to in this Agreement. City has entered into this Agreement in reliance on that representation by Consultant. Consultant therefore agrees that ____ percent (__%) 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, and may be used by City as it may require without any additional cost to 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 completion or termination of services under the contract.

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.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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32 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 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 City through the City Manager.

8. INTEREST OF CONTRACTOR.

Consultant warrants that it presently has no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance of services required to be performed under this Agreement. Consultant warrants that, in performance of this Agreement, Consultant shall not employ any person having any such interest.

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.

Both parties to this Agreement understand that it may become desirable or necessary during the execution of this Agreement, for City or Consultant to modify the scope of services provided for under this Agreement. Any material extension or change in the scope of work shall be discussed with City and the change and cost shall be memorialized in a written amendment to the original contract prior to the performance of the additional work.

Until a change order is so executed, City will not be responsible to pay any charges Consultant may incur in performing such additional services, and Consultant shall not be required to perform any such additional services.

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. Consultant, by virtue of this Agreement, has no authority to bind or incur any obligation on behalf of City. Consultant DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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33 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 has no authority or responsibility to exercise any rights or power vested in the City. No agent, officer, or employee of the City is to be considered an employee of Consultant. 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 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 has control over the manner and means of performing the services under this Agreement. Consultant is permitted to provide services to others during the same period service is provided to City under this Agreement. If necessary, 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.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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34 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 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.

As an independent contractor, Consultant hereby indemnifies and holds City harmless from any and all claims that may be made against City based upon any contention by any third party that an employer-employee relationship exists by reason of this Agreement.

11. ASSIGNMENT.

Neither this Agreement nor any portion thereof shall be subcontracted or assigned 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.

Any and all notices permitted or required to be given hereunder shall be deemed duly given and effective (a) upon actual delivery, if delivery is by hand; or (b) five (5) days after delivery into the United States mail if delivery is by postage paid registered or certified (return receipt requested) mail. Each such notice shall be sent to the parties at the address respectively indicated below or to any other address as the respective parties may designate from time to time.

FOR Consultant:

Name:

Address:

Attention:

Phone: ( )
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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35 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 FOR CITY:

Name:

Address:

Attention:

Phone: ( )

14. INSURANCE REQUIREMENTS.

The Consultant 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. (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 $1,000,000 for property damage or $1,000,000 combined single limit. 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 per-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 consultants and subcontractors; products and completed operations. (c) Automobile Liability insurance with a minimum limit of liability per occurrence of $1,000,000 for bodily injury and $1,000,000 property damage or $1,000,000 combined single limit. This insurance shall cover any automobile for bodily injury and property DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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36 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 damage.
(d) Professional Liability (Errors and Omissions) Insurance with limits not less than $1,000,000 per claim, $2,000,000 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 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.

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.

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. In addition, CONSULTANT shall provide CITY with a Workers Compensation subrogation waiver by way of a separate endorsement. 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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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37 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 prior to the time the contract is signed.

All endorsements referenced above must include the applicable policy number.

15. TERMINATION OF AGREEMENT.

Termination by City for Default of Consultant
Should Consultant default in the performance of this Agreement or materially breach any of its provisions, at its option, City may terminate this Agreement by giving written notification to Consultant. The termination date shall be the effective date of the notice.

For the purposes of this section, material breach of this Agreement shall include, but not be limited to, any of the following: failure to perform required services or duties, willful destruction of City's property by Consultant, dishonesty or theft.

Termination by City for Convenience
The City may also terminate the Consultant's performance under the Agreement, either in whole or in part, at its own discretion, or when conditions encountered during the Work make it impossible or impracticable to proceed, or when the City is prevented from proceeding with the Agreement by act of God, by law, or by official action of a public authority, or upon a determination by the City that such termination is in the best interest and convenience of the City, or whenever the City is prohibited from completing the Work for any reason. The City shall provide no less than ten (10) calendar days written notice of its intent to terminate the Agreement for convenience, and shall endeavor to provide the Consultant with consultation with the City prior to termination.

Termination by City for Lack of Budgeted Funds
The City may terminate this Agreement effective July 1 of any given year upon the City's determination to not appropriate sufficient funds for this Agreement for the ensuing fiscal year. In such event City shall give Consultant not less than 30 days written notice of termination.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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38 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

Termination by City for Change of Consultant's Tax Status If City determines that Consultant does not meet the requirements of federal and state tax laws for independent contractor status, City may terminate this Agreement by giving written notice to Consultant. The termination date shall be the effective date of the notice.

Post-Termination Procedures
If this Agreement is terminated pursuant to this Section, 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 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 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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39 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 City;
f. Complete performance of such part of the Work 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 Work and/or property related to the Work;
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 an amount based on the percentage of satisfactory work completed in accordance with the notice of termination. If the Agreement is terminated pursuant to the subparagraph entitled Termination by City for Default of Consultant, 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. The final 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;
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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40 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 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. CERTIFIED PAYROLL REQUIREMENT.

For consultants performing field work on public works contracts on which prevailing wages are required: The Consultant shall comply with the provisions of Section 1776 of the California Labor Code, regarding payroll records, and shall require its subconsultants and subcontractors to comply with that section as may be required by law.

17. INDEMNITY.

The Consultant shall hold the City, its agents, officers, employees, and volunteers, harmless from and save, defend and indemnify them against any and all claims, losses, liabilities, judgments or damages from every cause, 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, arising directly or indirectly out of any act or omission of Consultant whether or not the act or omission arises from the sole negligence or other liability of City, or its agents, officers, and employees or volunteers relating to or during the performance of its obligations under this agreement.

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.

18. ENTIRE AGREEMENT.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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41 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 This Agreement and its exhibits contain the entire understanding between Consultant and City. Additional or new terms contained in this Agreement which vary from Consultant's proposal are controlling and are deemed accepted by Consultant by shipment of any article or other commencement of performance hereunder. 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. No future waiver of or exception to any of the terms, conditions, and provisions of this Agreement shall be considered valid unless specifically agreed to in writing by all the parties.

19. 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.

20. 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.

21. 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 four (4) years following the date of final payment for Consultant services. City's representative shall have the right to reproduce any of the aforesaid documents.

22. GOVERNING LAW.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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42 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 This Agreement shall be governed according to the laws of the State of California.

23. HEADINGS NOT CONTROLLING.

Headings used in the Agreement are for reference purposes only and shall not be considered in construing this Agreement.

24. 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.

25. CITY BUSINESS LICENSE.

Consultant shall have a City of Modesto business license.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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43 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 IN WITNESS WHEREOF, the City of Modesto, a municipal corporation, has authorized the execution of this Agreement in duplicate by its City Manager and attestation by its City Clerk under authority of Resolution No. 2018- , adopted by the Council of the City of Modesto on the day of , 2018, and CONSULTANT, INC. has caused this agreement to be duly executed in duplicate as of the Effective Date.

CITY OF MODESTO, CONSULTANT, INC.
a municipal corporation a California corporation*
By ___________________________ By________________________________ JOSEPH P. LOPEZ, City Manager Name Title

By ________________________________
Name Title
ATTEST: (Seal)
By ___________________________
STEPHANIE LOPEZ, City Clerk
Consultant’s Federal ID #XX-XXXXXXX
APPROVED AS TO FORM:

By ________________________________
JOSE M. SANCHEZ, City Attorney
APPROVED AS TO FORM:

By ________________________________
JILES SMITH, Risk Manager
* Corporations - signature of two (2) officers
required or one (1) officer plus corporate seal
* LLC - signature of two (2) officers required
Partnership - signature of a partner required
Sole Proprietorship - signature of proprietor
required
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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THIS LICENSE SHALL NOT ENTITLE LICENSEE TO OPERATE THIS BUSINESS

WITHOUT COMPLYING WITH ALL REQUIREMENTS OF THE MODESTO MUNICIPAL CODE AND ALL STATE, FEDERAL, LOCAL AND ANY OTHER APPLICABLE LAWS.

IT HAS BEEN ISSUED WITHOUT VERIFICATION THAT THE LICENSEE IS SUBJECT TO OR EXEMPT FROM LICENSING BY THE STATE OF CALIFORNIA.

City of Modesto
P.O Box 3442
Modesto, CA 95353
Business License Certificate

DIRECTOR OF FINANCE
DeAnna Christensen

THIS LICENSE IS EVIDENCE THAT THE FEES REQUIRED UNDER TITLE VI OF

THE MUNICIPAL CODE HAVE BEEN PAID TO THE CITY OF MODESTO FOR THE

CONDUCT AND OPERATION OF THE BUSINESS AT THE PREMISES, AND BY THE PERSON OR FIRM INDICATED BELOW.
* MUST BE DISPLAYED IN PUBLIC VIEW

INFORMATIONAL

NON-TRANSFERABLE - VOID IF ALTERED
Account Number 1305096 Expiration Date 6/30/2022

KOSMONT COMPANIES
1601 N SEPULVEDA BLVD #382
MANHATTAN BEACH, CA 90266-5111
Business Type
Business Location
Owner(s)
* NOT AN ENDORSEMENT BY THE CITY

CONSULTING

KOSMONT & ASSOCIATES INC
* VOID IF TAX PAYMENTS NOT KEPT CURRENT
Starting January 1, 2021, Assembly Bill 1607 requires the prevention of gender-based discrimination of business establishments. A full notice is available in English or other languages by going to: https://www.dca.ca.gov/publications/ DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Form SOC-PG13
Request for Budget Adjustment
(Projects and Grants)
Contact Person: 5/25/2021
Telephone:

Submitting Department:

Robert Kimball Council Action Date:

Resolution Number: 2021-194
Date Submitted by Dept:
(209) 571-5540
CEDD
Project Name: CED - Enhanced Infrastructure Financing District (EIlFIftjml Year being Adjusted:

Project Fund: Econ Development/Strategic Plan (Fund 1800) Cost
Center
Current
Budget
Increase/
(Decrease)
Revised
Budget
FY - Fund Account Project Description of Account
Revenues
FROM
$5,000 :
: $0
l SO
$0
:
: !
$0 | $5,000 $5,000
i
i $0
$0
$0
Current
Budget
Revised
Budget
Increase/
(Decrease)
Expenses
FROM
i $0 :
$0
i ;
so
$0
TO
| $2,000
$3,000 I
MY -
MY -
- Appr UnitC -
- Appr Unit C -
Professional Services
Svcs City Forces - Interfund
$0 $2,000
S3,000
CED.Economic Development
CED.Economic Development
; :
so
so
I $0 i
Justification for Budget Adjustment
A Budget Adjustment is necessary to establish the Multi-Year Non-Capital project and expenditure budget for the Enhanced Infrastructure Financing District (EIFD) project that was approved as part of the ARPA spending plan (Resolution 2021-194). This adjustment will establish a transfer in from the General Fund into the project in the amount of $5,000 as well as the initial expenditure budget of $5,000 for Professional Services and Svcs City Forces - Interfund. This is just tire initial budget for the project to pay for outstanding invoices related to the EIFD and additional adjustments will occur as consultant contracts come to Council for approval.

Authorization Signature Date
Department Director or Authorized Designee
Financial Analyst
Budget Manager
City Manager
To be Completed by Finance Staff
Transfer Number: Completed By:

Ver. 2020
TO
22 - 1800 - 14998
FY - Project - Task
- 60100 - 101350
Expenditure Type
Transfer In from Fund 1800
Project Organization
22 0100 70100 71800 101350 $0 $5,000 Transfer Out from Fund 0100 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Prepared For

CITY OF MODESTO
November 12, 2021

PROPOSAL FOR
Professional Brokerage Services
RFP# CC18-085
Prepared By
Kosmont Companies
1601 N. Sepulveda Blvd. #382
Manhattan Beach, CA 90266
(424) 297-1070

PROPOSAL FOR

ENHANCED INFRASTRUCTURE

FINANCING DISTRICT (EIFD)

FEASIBILITY STUDY
RFP INF 22-02
Photo Credit: www.modestogov.com
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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LETTER OF INTRODUCTION
SECTION 1. FIRM INFORMATION AND QUALIFICATIONS
SECTION 2. SCOPE OF WORK
SECTION 3. COST – PROFESSIONAL SERVICES FEES

INCLUDES PRICING SCHEDULE
SECTION 4. REFERENCES

APPENDIX ADDITIONAL REQUIRED FORMS

PROPOSAL ACKNOWLEDGEMENT

EXCEPTIONS, CLARIFICATIONS, AMENDMENTS

FINANCIAL INTEREST DISCLOSURE

COMPANY HISTORY STATEMENT
PAGE 1 - 2
PAGE 3 - 12
PAGE 13 - 16
PAGE 17 - 19
PAGE 20 - 22
PAGE 23 - 29
PAGE 23 - 24
PAGE 25
PAGE 26 - 28
PAGE 29
ADDENDA ACKNOWLEDGEMENT (NOT INCLUDED; NOT APPLICABLE)

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com

TABLE OF CONTENTS
i
Photo Credit: www.modestogov.com

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Kosmont Companies
Mailing Address: 1601 N. Sepulveda Blvd., #382 (424) 297-1070 Physical Address: 1230 Rosecrans Ave., #630 Manhattan Beach, CA 90266 www.kosmont.com Manhattan Beach, CA 90266 November 12, 2021
Mr. Robert Kimball
Marketing Specialist, Economic Development
City of Modesto
1010 10th Street
Modesto, California 95354
Delivery: Submitted via email to [email protected] Re. Request for Proposal (“RFP”) INF 22-02 - Enhanced Infrastructure Financing District (EIFD) Feasibility Study
Dear Mr. Kimball and City Staff:

Kosmont & Associates, Inc., doing business as Kosmont Companies (“Kosmont” or “Consultant”) is pleased to present this proposal to the City of Modesto (“City” or “Client”) for an Enhanced Infrastructure Financing District (“EIFD”) Feasibility Study (“Study”).

Kosmont, a certified Minority Business Enterprise (“MBE”) and Small Business Enterprise (“SBE”), is celebrating our 35th anniversary as a full-service local government, economics, and real estate advisory firm with an award-winning track record of working with cities, counties, and or public agencies on economic development plans, infrastructure funding strategies, land use market analyses, site development feasibility, business/industry attraction, and real estate projects, as well as real estate asset strategies and public finance transactions exceeding $12 billion. Kosmont is extremely well-suited to complete this assignment.

Kosmont’s public and private sector experience, and in-depth expertise in multiple areas such as economic development, redevelopment dissolution, special district financing, understanding of the EIFD formation and approval process, real estate development, project funding, business costs/incentives and land use/zoning make us the ideal firm to provide the City with the required financial and technical analysis. Kosmont is considered a leading firm on the evaluation and formation of EIFDs and is actively engaged throughout the State educating local government officials, private sector investors, developers and lenders on these mattersthrough industry conferences and webinars.

The evaluation and formation of a tax increment financing (“TIF”) district such as an EIFD is a highly involved and nuanced exercise. Fortunately, Kosmont has led four successful EIFD formations across the State from initial evaluation through full formation, including the only two EIFDs statewide that have successfully achieved successful city and county partnership. Kosmont is additionally underway through 1 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Follow Kosmont: @KosmontTweets 2
the required public hearing phase of 10 additional EIFD formations across the State. Kosmont’s recent EIFD experience includes evaluation, formation, and ongoing EIFD administration in the City of Fresno, City of Sanger, City of Brentwood, City of Pittsburg, unincorporated County of Fresno, unincorporated County of Madera, and unincorporated County of Sacramento, among over 40 other jurisdictions statewide.

If selected, the Project Manager for the Kosmont Team would be Senior Vice President Mr. Joseph Dieguez.

Mr. Dieguez was and/or currently is the PM on the above mentioned EIFD assignments and leads Kosmont’s Special District Practice Group. He brings over 10 years of experience and primarily provides special district funding and financing strategies, market and economic analyses, and real estate development advisory services. His complete resume along with the other Kosmont team member resumes can be found in Section 1.

Firm Information and Qualifications.

Kosmont’s staff of professionals includes former City Managers, Directors of Economic Development, Community Development, and Financial Services. Kosmont staff assigned to this project have extensive and hands on experience providing the requested services. On this assignment, Mr. Dieguez will have the support of Mr. Larry J. Kosmont, CRE®, Chairman and CEO of Kosmont Companies. Mr. Kosmont has 35+ years of knowledge and expertise and will provide executive oversight for this Study.

We believe this proposal will support the conclusion that Kosmont is exceptionally qualified to deliver the requested EIFD Feasibility Study. No other firm possesses the same level of understanding and strategic thinking necessary to successfully implement these districts and we are enthusiastic, ready, and available to provide the requested services.

We look forward to the opportunity to service the City of Modesto and are available to discuss further at your convenience.

Sincerely,
Ken K. Hira
President
Kosmont Companies
(424) 297-1070
www.kosmont.com

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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SECTION 1.

FIRM INFORMATION AND

QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
KOSMONT AND ASSOCIATES, INC. DBA KOSMONT COMPANIES - www.kosmont.com California Corporation - Established 1986 – 35 years in Business Physical/Main Office: 1230 Rosecrans Ave, # 630, Manhattan Beach, CA 90266 From Kosmont Headquarters it is 320 miles to Modesto City Hall.

Mailing: 1601 N. Sepulveda Blvd. #382, Manhattan Beach, CA 90266 Kosmont provides services to Clients virtually, in-person, from satellite locations, and from the Manhattan Beach headquarters across the Western U.S.

Kosmont Companies, a certified Minority Business Enterprise (“MBE”) and certified Small Business Enterprise (“SBE”), is a real estate and economic development services firm offering a full range of real estate and financial advisory, economic development strategies/plans, retail/business strategies, project finance, transaction structuring, negotiations, market analysis, feasibility studies, special district analysis, community outreach/project implementation services for both the public and private sectors. Kosmont Companies was founded in 1986 and is nationally recognized. With decades of advisory services, Kosmont has assisted hundreds of public agencies in their quest for services and successful public private projects. What sets Kosmont apart is our understanding of how economics relates to future project shaping, as well as our understanding of both the public and private sectors.

Kosmont will integrate our established ability, strengths, seasoned experience, and hands-on approach to deliver the requested consulting services.

Kosmont has been providing cities, counties, and other public agencies with economic development, real estate, and public finance advisory services since 1986. In that time, we have guided the development of more than 1,000 publicprivate projects. Kosmont currently provides advisory services to help numerous city and county clients across California, navigate and implement comprehensive economic development and infrastructure funding strategies.

See the following pages included as Exhibit 1 for a more detailed listing that specifically represents jurisdictions where Kosmont has led or is currently leading special district formations, such as EIFDs, CRIAs, and CFDs.

What sets Kosmont apart is our hands-on experience, practical perspective, and understanding of how current economic development and market trends affect projects and the infrastructure that support them. We are aware of no other firm that possessesthe combination of credentials and experience that Kosmont can deliver.

Kosmont excels in a wide range of services:
• Economic Development Plans/Strategies
• Highest and Best Use Analysis
• Site Feasibility and Pro Forma Analysis
• Public & Private Financing Structures
• Economics & Market Studies for commercial, residential, mixed/blended-use Projects
Kosmont’s Mission Statement is the pursuit of four pillars of strength: Innovation, Integration, Integrity and Intelligence. We are on the cutting edge of products and services, we achieve financial success for our public and private sector clients, we are committed to community prosperity and quality of life, and our professional standards are of the highest caliber.

SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS
• Site Specific Fiscal Revenue and Economic
Impact Analyses
• Real Estate Advisory & Project
Implementation Services
• Community and Business Outreach
• Business & Industry Attraction/Retention
3 CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02

ABOUT US
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Exhibit 1: Districts in Progress Statewide
4 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Exhibit 1 Continued: Sample of Kosmont-Led District Progress by Stage of Implementation (Table and Legend Correspond to Map)
Jurisdiction Purpose
Azusa Housing and transit-supportive infrastructure
Brentwood Housing and transit-supportive infrastructure Buena Park Mall reimagination, housing-supportive infrastructure Carson + L.A. County Remediation, housing infrastructure, recreation El Cajon Housing and transit-supportive infrastructure
El Segundo + L.A. County Various infrastructure, regional connectivity Fairfield Housing and transit-supportive infrastructure Fresno Housing and transit-supportive infrastructure
Fresno County Industrial-supportive infrastructure
Humboldt County Mixed-use & energy supportive infrastructure Indian Wells Housing and tourism-supportive infrastructure Imperial County Housing and greenfield infrastructure
La Verne + L.A. County Housing and transit-supportive infrastructure Long Beach (Multiple Districts) Housing and transit-supportive infrastructure Los Angeles (Downtown) Housing and transit-supportive infrastructure Los Angeles County West Carson Housing / bio-science / tech infrastructure Los Angeles County – Uninc. East L.A. Housing-supportive infrastructure, public amenities Madera County (Two Districts) Greenfield infrastructure (water / sewer) Mount Shasta + Siskoyou County Rural Brownfield site mixed-use infrastructure Napa Housing and transit-supportive infrastructure
Ontario Housing and transit-supportive infrastructure
Palmdale Housing and transit-supportive infrastructure
Pittsburg Housing and transit-supportive infrastructure Placentia + Orange County Housing and transit-supportive infrastructure Rancho Cucamonga Housing and transit-supportive infrastructure Redondo Beach + L.A. County Parks / open space, recreation infrastructure Riverside Housing and transit-supportive infrastructure Riverside County – Uninc. Salton Sea Water and housing-infrastructure Sacramento County Industrial / commercial supportive infrastructure San Jose Housing and transit-supportive infrastructure
Sanger Commercial and mixed-use supportive infrastructure Santa Ana Housing and transit-supportive infrastructure South Gate Housing and transit-supportive infrastructure West Santa Ana Branch Transit Corridor Cities Housing and transit-supportive infrastructure Fully Formed In Formation Process Under Evaluation
5 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Our team includes economic consultants, real estate brokers and public finance professionals along with former real estate developers and city and community development officials that provide an in-depth understanding of the California economy, its local real estate markets and financing optionsto effectively respond to our Clients’ needs.

Kosmont is a full-service firm which also provides various other services through Kosmont Realty (“KR”) and Kosmont Transactions Services (“KTS”). KR is a full service and licensed real estate brokerage firm and KTS is a public finance firm providing financial advisory services, and is registered with the SEC.

In the aggregate, Kosmont Companies, KR, and KTS have extensive experience working with local and State government on real estate transactions between public agencies and private parties and structured project financing involving public and private funding sources. Collectively, Kosmont provides public agencies broad access to real estate consultants and brokers, public sector deal structure experts, and public-private financial advisors. We know of no other integrated set of companies that can provide a full complement of Economic Development Services, Real Estate Brokerage, and Municipal Advisory. Our diverse roles and experience in the real estate and financial industries have made us highly adaptable and skilled for this type of assignment. The chart below represents Kosmont’s wide-array of integrated services.
6 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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MEET THE TEAM
The Kosmont team brings a well-rounded and seasoned professional cohort with the required expertise and exemplary skillsets to provide the requested services. The Kosmont team has extensive experience, a proven track record, and the qualifications to provide the knowledge, guidance, and execution of those services necessary to assist the City with the EIFD feasibility study.

If selected, the Project Manager and Primary Contact for this proposal is Kosmont Senior Vice President, Mr.

Joseph Dieguez. Mr. Dieguez leads Kosmont’s Special District Practice Group and brings over 10 years of experience serving public and private sector clients primarily through special district funding and financing strategies, market and economic analyses, and real estate development advisory. Mr. Dieguez will oversee the project from start to completion. He will be responsible for day-to-day management of the engagement with the City and coordination of the Kosmont team to ensure the project is completed on time and within budget.

Mr. Dieguez will be supported by the following key team members:
• Mr. Larry J. Kosmont, CRE® is Chairman and CEO of Kosmont Companies. His over 35-year career encompasses public/private financial structuring, negotiation, development, and management of real estate and public finance transactions exceeding $12B. He has assisted hundreds of local government agencies in public finance and real estate matters ranging from large-scale economic development programs to site-specific real estate strategies and projects. He has guided over 1,000 private sector projects in obtaining public approvals, structuring deal terms, and securing public/private financing. For this assignment, Mr. Kosmont will provide Executive Oversight. • Mr. Ken K. Hira, President has expertise in real estate and economic development. He brings over 30 years of varied experience in virtually every aspect of acquisition, entitlement, development, financing, asset management, disposition, downtown revitalization, and strategic plans. His strengths include a keen understanding of land use trends, business retention/attraction, negotiating public-private transactions and implementing blended-use projects. Mr. Hira will be the project’s Principal Advisor providing quality control, strategic advisory support and make public presentations as necessary as the Principal Advisor. • Ms. Felicia Williams is a Senior Vice President that brings over 20 years of experience and will provide analysis support and advisory on appropriate special district governance and implementation approach. • Mr. Robert Valenti is a Vice President supporting public and private sector clients with market and economic analyses, strategic planning, and real estate development advisory. Mr. Valenti will provide GIS / mapping and tax increment modeling support.
• Mrs. Stephanie Ontiveros is a Vice President with extensive public agency consulting experience specializing in property tax related analysis. Ms. Ontiveros will provide parcel research and tax rate analysis support. Stephanie primarily works from her home office in Fresno, CA.

Team members will be assigned as appropriate based on their skills and qualifications in order to adequately provide services to the City and stay within budget. Project Analysts (not shown here) will be utilized to provide additional research and project support. The subsequent pages contain complete resumes and qualifications for the above Kosmont key team members with Kosmont Client References found in Section 4. References.

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
7 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 260 -
Project Role:

Executive Oversight
Years with Firm: 35
Years of Experience: 40+
Education:
- Masters Public
Administration, USC
- B.A. Political Science,
State Univ. of New York –
Binghamton

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Larry J. Kosmont, CRE® Chairman and CEO
Mr. Larry J. Kosmont, CRE® is Chairman and CEO of Kosmont Companies, which he founded in 1986. Kosmont Companies is an industry leader in public/private real estate/land use transactions and economic development. In 1990, he founded Kosmont Realty, a real estate brokerage firm. In 2015, he launched Kosmont Transactions Services which sources financing for public/private projects, P3 initiatives, and infrastructure funding. He is a co-principal, California Golden Fund, a USCIS approved EB-5 Regional Center. Larry is a Municipal Advisor Principal having achieved the MSRB Series 50 and Series 54 professional qualifications and is duly registered with the SEC/MSRB.

RELEVANT EXPERIENCE: Throughout his career, Mr. Kosmont has managed hundreds of public and private sector consulting assignments. A few of the more recent projects within the last 10 years are summarized below:
• City of La Verne/County of Los Angeles, CA - Enhanced Infrastructure Financing District Formation • Southern California Associated of Governments (SCAG), CA - Housing and Sustainability District Technical Advisor • City of Placentia/County of Orange, CA - Enhanced Infrastructure Financing District Formation • City of Carson + L.A. County, CA – EIFD Evaluation
• City of Duarte, CA – EIFD Evaluation
• City of El Cajon, CA – EIFD Evaluation
• City of El Segundo + L.A. County, CA – EIFD Evaluation • City of Los Angeles, CA – Downtown – EIFD Evaluation
• County of Madera, CA – EIFD Evaluation and EIFD Annual Report Preparation • City of Napa, CA – EIFD Evaluation
• City of Ontario, CA – EIFD Evaluation
• City of Redondo Beach + L.A. County, CA – EIFD Evaluation • City of Riverside, CA – EIFD and Community Revitalization and Investment Authority (CRIA) Evaluation • Private Sector Client, Sacramento County, CA – EIFD Evaluation and Formation • City of South Gate, CA – EIFD Evaluation
FAMILIARITY WITH FEDERAL, STATE, AND LOCAL JURISDICTIONS IN CALIFORNIA:

Mr. Kosmont’s 4-decade career encompasses public/private and public agency projects which have included pursuit of funding sources, financial structuring, negotiation, development, and management of real estate and public finance transactions exceeding $10B. He has assisted hundreds of local government agencies in public finance and real estate matters ranging from large-scale economic development programs to site-specific real estate strategies and projects. He has guided over 1,000 private sector projects in obtaining public approvals, structuring deal terms, and securing public/private financing. These projects have involved working with hundreds of Federal State regional and local public agencies and jurisdictions on a wide variety of project and funding initiatives. 8 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Project Role:

Principal Advisor
Years with Firm: 13+
Years of Experience: 30+
Education:

Bachelor of Economics
and Business, UCLA

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Ken K. Hira President
Mr. Ken K. Hira serves as President for Kosmont Companies. An expert in real estate and economic development, Mr. Hira brings over 30 years of varied experience in virtually every aspect of acquisition, entitlement, development, financing, asset management, disposition, downtown revitalization, and strategic plans. His strengths include a keen understanding of retail trends, business retention/attraction, negotiating public-private transactions and implementing blended-use projects that revitalize communities and assist in economic development/tax generation programs.

RELEVANT EXPERIENCE:

Throughout his career, Mr. Hira has managed hundreds of public and private sector consulting assignments, the majority of which in the SCAG region and many of which involving state and local housing policies and programs. A few of the more recent projects within the last 10 years are summarized below:
• Confidential Client, San Jose, CA – EIFD Evaluation
• City of Fresno, CA – Downtown / Blackstone Bus Rapid Transit Corridor EIFD Formation • City of El Cajon, CA – EIFD Evaluation
• City of Grand Terrace, CA – EIFD Evaluation
• City of Indian Wells, CA – EIFD Evaluation and County Partnership Negotiations • City of Seaside, CA – EIFD and Community Revitalization and Investment Authority (CRIA) Evaluation • Newport Beach Residential feasibility analysis / developer negotiations • Agoura Village Specific Plan Feasibility Analysis
• Baldwin Hills Crenshaw Mall Revitalization Study
• City of Buellton, CA - Market & Economic Analysis and Economic Development Plan / Specific Plan for Avenue of Flags Downtown District with Development Opportunity Reserve (D.O.R.)® • City of Norwalk, CA - Economic Development Strategic / Opportunities Plan FAMILIARITY WITH FEDERAL, STATE, AND LOCAL JURISDICTIONS IN CALIFORNIA:

Mr. Hira has worked for hundreds of cities and counties throughout California. Mr.

Hira has made numerous presentations to city councils, county boards of supervisors, and other local government committees. In his extensive experience in economic development strategies and public private transactions, he has pursued funding sources at the local, state, and federal level, such as special district financing, CDBG revolving loan programs, and state and federal grants. He has extensive experience in presenting market / economic research to local government industry groups such as CALED, League of California Cities, ICSC, Institute for Local Government, APA, CSAC, CALCOG.
9 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 262 -

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
Project Role:

PRIMARY CONTACT
& PROJECT MANAGER
Years with Firm: 11
Years of Experience: 14+
Education:

Bachelors of Science,
Mechanical Engineering,
Massachusetts Institute
of Technology
RELEVANT EXPERIENCE: Samples within the last 10 years are summarized below:
• City of La Verne/County of Los Angeles, CA – Enhanced Infrastructure Financing District (EIFD) Formation • City of Placentia/County of Orange, CA – EIFD Formation • Southern California Associated of Governments (SCAG) - Housing and Sustainability District Technical Advisor • Private Sector Development Group, San Jose, CA – Infrastructure Funding Advisor • City of Fresno, CA – Downtown / Blackstone Bus Rapid Transit Corridor EIFD Evaluation and Formation • Private Sector Client, San Luis Obispo, CA – Development Agreement Negotiation, Infrastructure Financing Plan Preparation, Community Facilities District Formation
• Private Sector Client, Simi Valley, CA – Market / Highest and Best Use and Financial Feasibility Analysis
• City of Azusa, CA – EIFD Evaluation
• City of Brentwood, CA – EIFD Evaluation
• City of Carson + L.A. County, CA – EIFD Formation
• City of Duarte, CA – EIFD Evaluation
• City of El Cajon, CA – EIFD Evaluation
• City of El Segundo + L.A. County, CA – EIFD Evaluation • City of Grand Terrace, CA – EIFD Evaluation
• City of Indian Wells, CA – EIFD Evaluation
• City of Los Angeles, CA – Downtown – EIFD Evaluation
• County of Madera, CA – EIFD Evaluation and EIFD Annual Report Preparation
Mr. Joseph Dieguez is a Senior Vice President with Kosmont Companies serving public and private sector clients primarily through market and economic analyses, strategic planning, and real estate development advisory. His recent work includes special / tax increment district implementation (including Enhanced Infrastructure Financing Districts and Community Revitalization and Investment Authorities), market supply and demand analysis, fiscal impact and economic benefit studies, financial feasibility and development pro forma evaluation, and property reuse strategies for municipalities, real estate investment and development firms, and multiple Fortune 500 clients. Joe is a Municipal Advisor Representative having achieved the MSRB Series 50 professional qualification and is duly registered with the SEC/MSRB.

Joseph Dieguez Sr. Vice President & Primary Contact
FAMILIARITY WITH FEDERAL, STATE, AND LOCAL JURISDICTIONS IN IN CALIFORNIA:

Mr. Dieguez has worked on assignments directly for over 80 cities and counties in California. He has additionally completed assignments for state agencies such as the California High Speed Rail Authority. Mr. Dieguez has made presentations directly to city councils, planning commissions, county boards of supervisors, joint powers authorities, and other state and local task forces and committees. Much of his work involves evaluating and pursuing funding sources and financing mechanisms at the local, state, and federal level, such as special district financing, public agency loan programs, and state and federal grants, with an emphasis on affordable housing and infrastructure funding. Apart from client work, Joseph has made public presentations at conferences and in webinar format for agencies such as SCAG, American Planning Association, Municipal Management Association of Southern California, League of California Cities, and the California Association for Local Economic Development. • City of Napa, CA – EIFD Evaluation and Formation
• City of Ontario, CA – EIFD Evaluation
• City of Pittsburg, CA – EIFD Evaluation
• City of Redondo Beach + L.A. County, CA – EIFD
Evaluation
• City of Richmond, CA – EIFD Evaluation
• City of Riverside, CA – EIFD and Community
Revitalization and Investment Authority (CRIA)
Evaluation
• Private Sector Client, Sacramento County, CA –
EIFD Evaluation and Formation
• City of Santa Fe Springs, CA – EIFD Evaluation
• City of Seaside, CA – EIFD and CRIA Evaluation
• City of South Gate, CA EIFD Evaluation
10 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 263 -

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
• County of Los Angeles, Chief Executive Office – Opportunity Zone Policy • City of Redondo Beach - Enhanced Infrastructure Financing District for AES power plant regional park, including Prop 68 State Parks grant
• County of Los Angeles Second District / Southern California Association of Governments – West Carson Enhanced Infrastructure Financing District
• County of Los Angeles First District / Southern California Association of Governments – LA County / USC Medical Center Tax Increment Financing Feasibility Analysis
• Friends of the Hollywood Central Park – Revenue and Feasibility Analysis RELEVANT EXPERIENCE:

Throughout her career, Ms. Williams has managed hundreds of public and private sector consulting and banking assignments. A few samples within the last 10 years are summarized below:
• City of Azusa – EIFD Evaluation
• City of Brentwood – EIFD Evaluation
• City of Carson + L.A. County – EIFD Evaluation
• City of Duarte – EIFD Evaluation
• City of El Segundo + L.A. County – EIFD Evaluation
• City of Los Angeles – Downtown – EIFD Evaluation
• City of Pittsburg – EIFD Evaluation
• City of La Verne/County of Los Angeles - EIFD Formation • Southern California Associated of Governments (SCAG) - Housing and Sustainability District Technical Advisor
Project Role:

Financing Analysis,
Stakeholder Outreach
Years with Firm: 7
Years of Experience: 25
Education:
- M.B.A., Finance,
University of Michigan
Ross School of Business
- M.A., Urban Planning,
UCLA
- B.A., Public Policy,
Stanford University
Association:

Ms. Williams was elected
as a Councilmember to
the City of Pasadena in
2020 and represents
District 2.

Ms. Felicia Williams is a Senior Vice President at Kosmont Companies and assists municipal clients with a comprehensive approach to economic development and climate action, in addition to identifying funding sources for key projects. She has a background in public finance, economic development, and sustainability. Specifically for Kosmont clients, Ms. Williams provides financial feasibility analysis for various types of infrastructure and tax increment financing districts, fiscal impact analysis, Specific / General Plan land use analysis, and Climate Action Plan implementation and project financing. Felicia is a Municipal Advisor Representative having achieved the MSRB Series 50 professional qualification and is duly registered with the SEC/MSRB.

Felicia Williams Senior Vice President
FAMILIARITY WITH FEDERAL, STATE, AND LOCAL JURISDICTIONS IN CALIFORNIA:

Ms. Williams has worked with local and State governments for 15 years in municipal finance. Additionally, Ms. Williams has worked with State of California agencies on environmental financing programs and has served on policy advisory committees for State Senators and Assemblymembers. With broad experience in finance, public policy, and environment, she understands the policy underlying the financing programs to provide comprehensive solutionsto our local agency clients. 11 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 264 -
RELEVANT EXPERIENCE:

A few of his more recent projects are summarized below:
• City of Fresno – Downtown / Blackstone Bus Rapid Transit Corridor EIFD Formation • Pine Mountain Development (Highest & Best Use Analysis & Real Estate Advisory) • City of El Cajon – Opportunity Zone Strategy
• City of Santa Ana – Opportunity Zone Strategy
• City of Indian Wells – EIFD Evaluation
• City of El Segundo + L.A. County – EIFD Evaluation
LICENSES/AFFILIATIONS: Ms. Ontiveros is a Municipal Advisor Representative having achieved the MSRB Series 50 professional qualification.

RELEVANT EXPERIENCE: A few of her more recent projects are summarized below:
• City of Fairfield EIFD Evaluation
• City of Fresno EIFD Evaluation and Formation
• County of Fresno EIFD Evaluation
• County of Madera EIFD Administration
• City of Mount Shasta EIFD Evaluation
• City of Napa EIFD Evaluation and Formation
• City of Rancho Cucamonga EIFD Evaluation
• City of Sanger EIFD Formation
Project Role:

Project Research and
Support
Years with Firm: 2
Years of Experience: 5
Education:
- Master of Public Policy,
Brown University
- Bachelor of Arts in
political science, College
of the Holy Cross in
Worcester, MA
Mr. Robert Valenti is a Vice President with Kosmont Companies, supporting public and private sector clients with market and economic analyses, strategic planning, and real estate development advisory. His recent work includes market supply and demand analysis, prioritization of strategic opportunity sites for retail and future development, analysis of potential development uses, and geospatial analysis of boundaries / funding & financing analysis for feasibility studies of new infrastructure financing districts.

Robert Valenti Vice President
FAMILIARITY WITH FEDERAL, STATE, AND LOCAL JURISDICTIONS IN CALIFORNIA:

Mr. Valenti has worked on assignments directly for many cities throughout the state and has assisted with presentations directly to city councils, county boards of supervisors, City / County staff, and other state and local task forces and committees.

His work focuses on local market / economic evaluations and pursuing funding sources and financing mechanisms at the local, state, and federal level, such as special district financing, zoning / entitlement strategies, public agency loan programs, and state and federal grants.
12 SECTION 1.

FIRM INFORMATION
& QUALIFICATIONS

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
Ms. Stephanie Ontiveros is a Vice President with Kosmont Companies and has extensive public agency consulting experience in economic development, redevelopment and finance. Prior to joining Kosmont, Ms. Ontiveros served as a financial consultant to over 90 cities, agencies and special districts throughout California, specializing in Property Tax and Tax Increment analysis, revenue evaluation, forecasting and budgeting. Ms. Ontiveros has conducted numerous special analysis projects for various city specific needs.

Project Role:

Project Support
(located in Fresno)
Years with Firm: 1
Years of Experience: 26
Education:
- Bachelor of Science,
Business Administration
– Finance, California
State University, Fresno
Stephanie Ontiveros Vice President
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 265 -
SECTION 2.

SCOPE OF WORK

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 266 -

SCOPE OF WORK
Kosmont understands that the City of Modesto is seeking to utilize EIFD as a means to:
• Accelerate economic development in the study area
• Support the Downtown Master plan, add housing, commercial and quality of life amenities including open space and a sports stadium
• Expand downtown development to the west across the railway and the 99 freeway, and to and around the Tuolumne River Regional Park
• Improve connectivity to the Transit Center to increase transit ridership within Modesto and take advantage of ACE Rail service particularly among long-distance commuters • Support and implementsustainable development principles.

Throughout the following proposed Scope of Work, Kosmont will maintain regular (e.g., biweekly, certainly no less frequently than monthly) communication with the City’s Economic Development Division staff to monitor and review project progress ensuring key milestones are being met.

TASK 1 – IDENTIFY POTENTIAL BOUNDARIES AND INITIAL SCREENING CRITERIA

1.1 Determine Boundary Scenarios
Identify potential boundaries to study for preliminary screening of eligibility for an EIFD. Chosen boundaries will meet well-accepted, publicly available criteria. Kosmont will leverage its experience not only in the formation of EIFDs throughout the State, but also in developing screening tools such as the Southern California Association of Government (SCAG) EIFD/CRIA Screening Assistance Tool.

Task 1.1 Deliverables: Maps and written descriptions of a variety of boundary scenarios for consideration of an EIFD and concise written explanation for development of boundaries.

1.2 Initial Screening
Using data available from City of Modesto GIS, Stanislaus County GIS, ArcGIS and/or other publicly available data sources, prepare a matrix of primary screening criteria, including, but not limited to:
• Current zoning and density in project area (including consideration of anticipated zoning from land use planning updates underway), such as the Modesto Downtown Master Plan • Project location and infrastructure needs, such as connectivity to the Transit Center, open space and recreational improvements, connectivity to Tuolumne River Regional Park • Potential infrastructure financing solutions (property tax capture rate, eligibility for grant funding, etc.) • Overlap with Disadvantaged Community (DAC) Census Tracts • Overlap with Federal Opportunity Zone (OZ) Census Tracts • Whether the proposed EIFD boundaries overlaps former California Redevelopment Project Area • Economic Development potential (planned projects, existing parcel values, etc.) • Public agency or consolidated private sector land ownership • Overlapping / benefitting taxing entities (e.g., County of Stanislaus) • Overlap with existing Downtown Improvement District (DID), Community Facilities District (CFD), assessment district, or other special district boundaries
• Technical screening; determine any former RDA project areas, existing ROPs obligations or other bond/financing obligations, EIFD Successor Agency Prerequisites, etc.

Task 1.2 Deliverable: Matrix showing screening variables for each boundary scenario.

SECTION 2.

SCOPE OF WORK
13 CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 267 -

1.3 Strategic Considerations
In addition to screening criteria evaluated in Task 1.2, Kosmont will identify other quantitative and qualitative factors potentially affecting EIFD feasibility, which may include, but not be limited to:
• Market statistics(e.g., lease rates, vacancy rates, inventory, absorption by land use type) • Land ownership (public/private)
• Proposed developments and potential timing of said developments • Anticipated infrastructure investments(e.g., ACE Rail public transit, grant-funded projects, etc.) Based on Task 1.2 screening criteria and Task 1.3 additional strategic considerations, Kosmont will identify final preferred boundary scenario(s) for continuation into the next phase of analysis, as well as determining whether EIFD, CFD, BID, and/or other districts or a combination of districts should be further studied.

Task 1.3 deliverables: Market and future investment analysis, summary of strategic considerations.

TASK 2 – TAX INCREMENT ANALYSIS
This task is focused on determining a range of tax increment or other benefit assessment district funds which could be generated upon formation of a district.

2.1 Revenue Generation
Based on Task 1 initial screening, Kosmont will prepare a funding and financing analysis, including preliminary tax increment analysis (for EIFD) and/or special tax capacity analysis (for CFD or similar tool) reflecting potential future development and potential public and private sector partners. Kosmont will evaluate up to three (3) different boundary scenarios and potential district types. Kosmont will utilize current and appropriate, post-ERAF property tax distribution shares (AB8 rates) as obtained from the County of Stanislaus Auditor-Controller’s office.

For EIFD analysis, Kosmont will include one set of revenues projections with different combinations of City and County (and potentially other taxing entity) participation (i.e., contribution of tax increment), in addition to different variations of City-only scenarios.

Kosmont’s analysis will include:
• Types and timing of development projectsthat are planned within the boundaries of the potential district • Analysis of potential boundary scenarios and potential assessment districts • Taxing entity proportional shares will be current, post-EFAF, and come from County Auditor-Controller. • For TIF districts, include one set of revenues projections with both County and City participation and one set with only City participation in tax increment (Kosmont will also consider CVWD participation) • Property tax increment and/or special tax funding capacity at select annual benchmarks (e.g., year 5, 10, 15, 20, 30, 45) and cumulatively over the estimated district lifetime(s) • Provide some “But/For analysis,” i.e., is it likely that the proposed infrastructure projects would not produce the subsequent growth in development without the EIFD
• Whether the project viable without contributionsfrom other taxing entities • As related to potential overlap of proposed district boundaries with former redevelopment agency project areas, analysis of corresponding relevant outstanding enforceable obligations and available revenue implications.

Revenue generation assumptions will also meet any EIFD criteria and policies adopted by the Stanislaus County Board of Supervisors.

SECTION 2.

SCOPE OF WORK
14 CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 268 -

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
SECTION 2.

SCOPE OF WORK

2.2 Bonding Capacity
For each scenario evaluated, Kosmont Transactions Services, Inc. (Series 50/54 registered Municipal Advisor) will estimate bonding capacity of the special district(s) at select annual benchmarks (e.g., year 5, 10, 15, 20) against future revenues.

Task 2 deliverables: Tax increment revenue and present value analysis TASK 3 – IDENTIFY INFRASTRUCTURE NEEDS

3.1 Identify infrastructure and community development investments Working with the City/County, Kosmont will determine a range of infrastructure and community development projects/programs, consistent with the regulations for any assessment district, which could make up the funding plan for the EIFD district(s). The projects will include estimated funding needs where available.

While the City has begun the process of updating its General Plan, the 1995 adopted Plan and associated Elements and Amendments will be used as references in the process of identifying projects and boundaries.

Task 3.1 Deliverable: Summary of potential infrastructure and community investment projects, with an estimated range of costs.

3.2 Identify other funding sources
Kosmont will compare potential revenue generation estimated in Task 2 to the cost of infrastructure / programs estimated in Task 3.1. It may be the case that the total desired investment will exceed the net revenues generated by the special district(s) evaluated.

In the event that the total desired investment exceeds the net revenues generated by the EIFD/special assessment district(s), or even in the case that it does not, Kosmont will identify other complementary economic development tools and funding sources that could be leveraged by the district, such as grants (e.g., IIG, AHSC, Prop 68, ATP, HSIP), special district fees, development impact fees, I-Bank financing, federal Opportunity Zone tax incentives, and/or other public and private funding sources (including regional, State, and Federal infrastructure sources), and/or financing structures and strategies (e.g. Development Opportunity Reserve (D.O.R.)™), as may be applicable.

Task 3.2 Deliverable: Summary memo providing a rough order of magnitude funding plan for the EIFD district(s), inclusive of projects, project costs and potential funding sources.

TASK 4 – NEXT STEPS FOR IMPLEMENTATION
Based on the findings from Tasks 1-3, Kosmont will prepare a summary memo outlining next steps for implementation, a timeline, and a budget for the implementation activities. The memo will include recommendations for the composition of the appropriate governing board for the district (e.g., Public Financing Authority), whether districting is recommended, voting / approval procedures, formation milestones, community engagement, CEQA considerations, and other factors as may be appropriate based on district recommendations. The memo will function as a realistic action plan and “roadmap” for moving forward.

Task 4 Deliverable: Next Steps Summary Memo
15 CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
- 269 -

KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
SECTION 2.

SCOPE OF WORK
TASK 5 – STUDY RESULTS
Kosmont will organize and compile one (1) electronic copy of all documents from previous Tasks, as well as ten (10) bound hard-copies and one (1) unbound camera-ready copy of Study Results.

Kosmont anticipates a presentation of analysis findings to City staff and/or Council in a meeting / workshop format, either virtually or in person, whichever is deemed appropriate by the City and Kosmont.

Task 5 Deliverables:
• One (1) electronic copy of all documents (PDF and Word/Excel Versions). • Ten (10) bound hard-copies and one (1) unbound camera-ready copy of Study results. • Preparation and participation at City staff / Council meeting / workshop, virtually or in person.

Approach to Tasks: The prospective assignment and consulting services that Kosmont will provide will be of a relatively limited scope and duration, and advisory in nature. Kosmont will be making recommendations only, which advise the Client and jurisdictions, including their elected officials, appointed officials, and staff, which they can accept or reject. None of Kosmont's staff will act in a capacity as an elected official, nor appointed official, nor as staff, nor as serving in a "designated" position.

TIMING
The Consultant team is prepared to commence work immediately upon receipt of executed Agreement and notice to proceed. The estimated timeline for completion is outlined below, based on Kosmont’s extensive experience in fully forming four EIFDs (mainly including both City and County participation), being substantially far along with the formation public hearings in 11 additional jurisdictions, and preparing over 30 other EIFD feasibility analyses in other stages of formation and implementation statewide, including experience in the Central Valley (e.g., City of Fresno, City of Sanger, County of Fresno, County of Madera), East Bay region (e.g., City of Brentwood, City of Pittsburg), and unincorporated County of Sacramento.

Kosmont believes that the City’s expectation of feasibility study completion and preparedness for Council consideration within six (6) monthsis viable.
16 CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
TASK Estimated Timing for Completion
(Assuming initiation in January 2022)
Task 1: Identify Boundaries and Initial Screening Criteria January – February 2022 Task 2: Tax Increment Analysis February – March 2022
Task 3: Identify Infrastructure Needs (and Complementary Funding Sources) March – April 2022
Task 4: Next Steps for Implementation April – May 2022
Task 5: Study Results (Including Presentation / Workshop) May – June 2022 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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SECTION 3.

COST – PROFESSIONAL

SERVICES FEES

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
17 BUDGET
Compensation for Tasks 1 through 5 is estimated below for professional services, including the 15% contingency requested in the RFP, and is not to exceed $49,734.

Task budgets may be re-allocated between tasks and personnel as deemed appropriate by Consultant in order to adequately provide services to Client and to remain on schedule and within overall budget.

Kosmont accepts the City’s Epay Program and services will be invoiced monthly at Consultant’s standard billing rates, as shown above and on the hourly rate sheet included herein. Any unpaid invoices after 30 days shall accrue interest at the rate of 10% per annum.

SECTION 3.

COST – PROFESSIONAL

SERVICES FEES

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
Estimated
Cost
Estimated
Hours
CEO /
President SVP VP Analyst
TASKS $395 /
$365 $325 $225 $165
1 Identify Boundaries and Initial
Screening Criteria $10,320 38 3 18 8 9
2 Tax Increment Analysis $10,715 39 4 18 8 9
3 Identify Infrastructure Needs
(and Complementary Funding
Sources)
$10,100 36 4 18 6 8
4 Next Steps for Implementation $6,250 22 2 12 4 4
5 Study Results (Including
Presentation / Workshop) $5,220 20 12 8
Professional Services Total $42,605 155 13 78 26 38
15% Contingency per RFP $6,391
Reimbursable Expenses $738
Total Not-to-Exceed Budget $49,734
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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18 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

PRICING SCHEDULE
REQUEST FOR PROPOSAL NO. INF 22-02

EIFD FEASIBILITY STUDY
REQUIRED SERVICES Unit Price
Professional Services Fees for performance and delivery of Tasks 1-5 $49,734 TOTAL $49,734
Additional Services (Please specify) N/A
Will proposer accept the City’s Epay Payment Program? Please check one: Yes __X__ No ____ Information regarding the program is provided in GENERAL INFORMATION – ELECTRONIC PAYMENT INFORMATION, PAGE 10.

City Business License No. __________ Expiration Date: __________ THE undersigned acknowledges receipt of the referenced RFP and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the proposer indicated below, in accordance with the specifications, terms and conditions of this RFP and Proposal Acknowledgement, for the pricing indicated on the Fee Schedule.

Company Name (Proposer):

Kosmont & Associates, Inc., Dba Kosmont Companies
By (Person Submitting Proposal):

Print Ken K Hira
By Person Submitting Proposal):
(Signature)
Title of Person Submitting Proposal: President
President
Business Address
(City/State/Zip): Manhattan Beach, CA 90266
Email Address: [email protected]
Telephone Number: 424-297-1070
Fax Number: 424-286-4632
Date: 11/11/2021
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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KOSMONT COMPANIES
1601 N. Sepulveda Blvd., #382 I Manhattan Beach, CA 90266 I 424.297.1070 www.kosmont.com
KOSMONT COMPANIES 2022 FEE SCHEDULE
Professional Services
Chairman & CEO $395.00 / hour
President $365.00 / hour
Senior Vice President/Senior Advisor $325.00 / hour
Vice President $225.00 / hour
Senior Project Analyst $195.00 / hour
Project Analyst/Project Research $165.00 / hour
Assistant Project Analyst/Assistant Project Manager $125.00 / hour Project Promotion/Graphics/GIS Mapping Services $ 95.00 / hour Clerical Support $ 70.00 / hour
• Additional Expenses
In addition to professional services (labor fees):
1) An administrative fee for in-house copy, fax, phone, postage costs, digital/technological support and related administrative expenses will be charged, which will be computed at four percent (4.0 %) of monthly Kosmont Companies professional service fees incurred; plus
2) Out-of-pocket expenditures, such as travel and mileage, professional printing, and delivery charges for messenger and overnight packages will be charged at cost. 3) If Kosmont retains Third Party Vendor(s) for Client (with Client’s advance approval), fees and cost will be billed to Client at 1.1X (times) fees and costs.
4) Consultant’s attendance or participation at any public meeting, whether such participation is in person, digital, video and/or telephonic (e.g., City Council, Planning Commission, Public Agency Board, other) requested by Client and are beyond those specifically identified in the Scope of Work will be billed at the professional services (hourly) fees as shown on this on this rate sheet.
• Charges for Court/Deposition/Expert Witness-Related Appearances Court-related (non-preparation) activities, such as court appearances, depositions, mediation, arbitration, dispute resolution and other expert witness activities, will be charged at a court rate of 1.5 times scheduled rates, with a 4-hour minimum.

Rates shall remain in effect until December 31, 2022.
19 SECTION 3.

COST – PROFESSIONAL

SERVICES FEES

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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SECTION 4.

REFERENCES

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Company Name: CITY OF FRESNO (See Letter of Recommendation to follow) Address: 2600 Fresno Street
City, State, Zip Code: Fresno, CA 93721
Contact Person: Nelson Esparza, Council Vice President District 7 Email Address: [email protected]
Telephone Number: (559) 621-8000
Type of Business: City of Fresno Downtown and Blackstone BRT Corridor EIFD Formation Date of Service: 2019 – present
Annual Contract Value $105,000
Company Name: CITY OF LA VERNE
Address: 3660 "D" Street
City, State, Zip Code: La Verne, CA 91750
Contact Person: Bob Russi, City Manager
Email Address: [email protected]
Telephone Number: (909) 596-8726
Type of Business: Enhanced Infrastructure Financing District (EIFD) Feasibility Analysis, Formation, and Debt Issuance Underwriting
Date of Service: 2/2016 to present
Annual Contract Value $100,000

REFERENCES
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
All proposers must provide a list of five (5) current or former clients in the area provided below, identifying prior experience with the same type of services requested by the City under Scope of Work. References shall have similar volume and requirements to those outlined in these specifications, terms and conditions. Proposer’s failing to provide references shall be deemed unacceptable.

The City may contact some or all of the references provided in order to determine the Proposers’ performance record on services similar to that described in this proposal. The City reserves the right to contact references other than those provided in the response and to use the information gained from them in the award process.

Company Name: CITY OF PLACENTIA
Address: 401 East Chapman Avenue
City, State, Zip Code: Placentia, CA 92870
Contact Person: Damien Arrula, City Administrator
Email Address: [email protected]
Telephone Number: (714) 745-5615
Type of Business: City of Placentia / County of Orange EIFD Formation, Debt Issuance Structure Date of Service: 2017 – present
Annual Contract Value $100,000 20
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Company Name: SOUTHERN CALIFORNIA ASSOC. OF GOVERNMENTS (SCAG) Address: 900 Wilshire Blvd., Ste. 1700
City, State, Zip Code: Los Angeles, CA 90017
Contact Person: Kome Ajise, Executive Director
Email Address: [email protected]
Telephone Number: (213) 236-1836
Type of Business: Value Capture District Advisory
Date of Service: 2015 to present
Annual Contract Value $307,000
Company Name: CITY OF AZUSA
Address: 213 E Foothill Blvd.

City, State, Zip Code: Azusa, CA 91702
Contact Person: Sergio Gonzalez
Email Address: [email protected]
Telephone Number: 626-812-5239
Type of Business: TIF / EIFD Feasibility Study
Date of Service: 2020 – 2021
Annual Contract Value $136,000
Company Name (Proposer): Kosmont & Associates, Inc., Dba Kosmont Companies 21 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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LETTER OF RECOMMENDATION
22 SECTION 4.

REFERENCES

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD)
Feasibility Study - RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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APPENDIX

CITY OF MODESTO
Enhanced Infrastructure Financing District (EIFD) Feasibility Study RFP INF 22-02
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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23 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

PROPOSAL ACKNOWLEDGEMENT
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
The City is soliciting proposals from qualified proposers to furnish its requirements per the specifications, terms and conditions contained in the above referenced proposal number. This Proposal Acknowledgement must be completed, signed by a responsible officer or employee, dated and submitted with the proposal response. Obligations assumed by such signature must be fulfilled.

1. Preparation of Proposals: (a) All prices and notations must be printed in ink or typewritten. No erasures permitted. Errors may be crossed out and corrections printed in ink or typewritten adjacent and must be initialed in ink by person signing the proposal. (b) Quote price as specified in proposal. No alterations or changes of any kind shall be permitted to the Proposal Form. Responses that do not comply shall be subject to rejection in total.

2. Failure to Submit Proposal: If you are not submitting a proposal but want to remain on the mailing list and receive future proposals, complete, sign and return this Proposal Acknowledgement and state the reason you are not pricing.

3. Taxes and Freight Charges: (a) Unless otherwise required and specified in the RFP, the prices quoted herein do not include Sales, Use or other taxes. (b) No charge for delivery, drayage, express, parcel post packing, cartage, insurance, license fees, permits, costs of bonds, or for any other purpose, except taxes legally payable by City, will be paid by the City unless expressly included and itemized in the proposal. (c) Amount paid for transportation of property to the City is exempt from Federal Transportation Tax. An exemption certificate is not required where the shipping paper shows the consignee as one (1) of the Agencies; as such papers may be accepted by the carrier as proof of the exempt character of the shipment. (d) Articles sold to the Agencies are exempt from certain Federal excise taxes. The Agencies will furnish an exemption certificate.

4. Award: (a) Unless otherwise specified by the proposer or the RFP gives notice of an all-or-none award, the City may accept any item or group of items of any proposal. (b) Proposals are subject to acceptance at any time within thirty (30) days of opening, unless otherwise specified in the RFP. (c) A valid, written purchase order mailed, or otherwise furnished, to the successful proposer within the time for acceptance specified results in a binding contract without further action by either party. The contract shall be interpreted, construed and given effect in all respects according to the laws of the State of California.

5. Patent Indemnity: Proposers who do business with the City shall hold the City, its officers, agents and employees, harmless from liability of any nature or kind, including cost and expenses, for infringement or use of any patent, copyright or other proprietary right, secret process, patented or un-patented invention, article or appliance furnished or used in connection with the contract or purchase order.

6. Samples: Samples of items, when required, shall be furnished free of expense to the City and if not destroyed by test may upon request (made when the sample is furnished), be returned at the proposer’s expense.

7. Rights and Remedies of Agencies for Default: (a) In the event any item furnished by the proposer in the performance of the contract or purchase order should fail to conform to the specifications therefore or to the sample submitted by the proposer with its proposal, the City may reject the same, and it shall thereupon become the duty of the proposer to reclaim and remove the same forthwith, without expense to the City, and immediately to replace all such rejected items with others conforming to such specifications or samples; provided that should the proposer fail, neglect or refuse so to do the City shall thereupon have the right to purchase in the open market, in lieu thereof, a corresponding quantity of any such items and to deduct from any moneys due or that may there after come due to vendor the difference between the prices named in the contract or purchase order and the actual cost thereof to the City. In the event that the proposer fails to make prompt delivery as specified for any item, the same conditions as to the rights of the City to purchase in the open market and to reimbursement set forth above shall apply, except when delivery is delayed by fire, strike, freight embargo, or Act of God or the government. (b) Cost of inspection or deliveries or offers for delivery, which do not meet specifications, will be borne by the proposer. (c) The rights and remedies of the Agencies provided above shall not be exclusive and are in addition to any other rights and remedies provided by law or under the contract.

8. Discounts: (a) Terms of less than ten (10) days for cash discount will be considered as net. (b) In connection with any discount offered, time will be computed from date of complete, satisfactory delivery of the supplies, equipment or services specified in the RFP, or from date correct invoices are received by the City at the billing address specified, if the latter date is later than the date of delivery. Payment is deemed to be made, for the purpose of earning the discount, on the date of mailing the City’s check.

9. California Government Code Section 4552: In submitting a proposal to a public purchasing body, the proposer offers and agrees that if the proposal is accepted, it will assign to the purchasing body all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, materials, or services by the proposer for sale to the purchasing body pursuant to the proposal. Such assignment shall be made and become effective at the time the purchasing body tenders final payment to the proposer.

10. No Guarantee or Warranty: The City makes no guarantee or warranty as to the condition, completeness or safety of any material or equipment that may be traded in on this order.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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24 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 THE undersigned acknowledges receipt of the referenced RFP and/or Addenda and offers and agrees to furnish the articles and/or services specified on behalf of the proposer indicated below, in accordance with the specifications, terms and conditions of this RFP and Proposal Acknowledgement, for the pricing indicated on the Pricing Schedule.

Firm:

Kosmont & Associates, Inc., Dba Kosmont Companies
Address:
1601 N Sepulveda Blvd. #382
City/State/Zip:

Manhattan Beach, CA 90266
Signature/Title/Date:

President 11/11/2021
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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25 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

EXCEPTIONS, CLARIFICATIONS, AMENDMENTS
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY
Exceptions, Clarifications, Amendments
List requests for proposal clarifications and exceptions below, if any, sign and submit with your proposal response.

Item No. Reference To: Description
Page No. Paragraph No.
1 2
3 4
29 33
41 41
1 2
2 3
Our liability shall not exceed the limits of our insurance.

Kosmont interprets Form 700 to be applicable to elected officials and public employees. The prospective assignment and consulting services that Kosmont will provide will be of a relatively limited scope and duration, and advisory in nature. Kosmont will be making recommendations only, which advise the City, including its elected officials, appointed officials and staff, and such advice can be accepted or rejected. None of Kosmont's staff will act in a capacity as an elected official, nor appointed official, nor as staff, nor as serving in a "designated" position. Therefore, if awarded the contract we believe our privately held California Corporation should not be required to submit Form 700.

Please strike “whether or not the act or omission arises from the sole negligence of the City”
Please strike “Consultant’s obligation to defend, indemnify and hold the City and its agents harmless is not limited to or restricted by any requirements in the Agreement for consultant to procure and maintain a policy of insurance”
Company Name (Proposer): Kosmont & Associates, Inc., Dba Kosmont Companies DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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26 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

FINANCIAL INTEREST DISCLOSURE
REQUEST FOR PROPOSAL AND SPECIFICATIONS NO. INF 22-02

EIFD FEASIBILITY STUDY

FINANCIAL INTEREST DISCLOSURE

REQUIRED DISCLOSURE BEGINNING THE COUNCIL MEETING
OF JANUARY 7, 2003
The ordinance requiring financial interest disclosure by all parties having a direct or indirect interest of $2,000 or more (except for certain publicly traded companies) will be effective at the Council meeting of January 7, 2003.

This means that any Council action on a contract, agreement or development right must be accompanied by a FINANCIAL INTEREST DISCLOSURE FORM listing by name all parties that have a material financial interest in the agreement, contract or development right.

PLEASE NOTE, any Council action that requires a FINANCIAL INTEREST DISCLOSURE cannot be considered by the City Council until the required reporting is made. That means that Agenda Items without the DISCLOSURE will be removed from the Council Agenda.

All persons included within the meaning of either of the following tests have a material financial interest in an agreement, or application for development rights, submitted for approval or disapproval by the City Council, and shall be identified by the applicant, by name.

Tests of Materiality:

1. Whether it is foreseeable to a reasonable person that the value of their interest in property available for use by an applicant, or their interest in the applicant itself, may increase or decrease by an amount greater than $2,000.00 as a direct or indirect result of Council action on the applicant’s agreement or application for development rights.

2. Whether it is foreseeable to a reasonable person that the person’s gross income from the applicant may increase or decrease by a sum greater than $2,000.00 as a direct or indirect result of Council action on the agreement or application for development rights.

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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27 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02 It is the legal obligation of all applicants for approval of an agreement or of an application for development rights to verify in writing, under penalty of perjury, that the identity of each person having a material financial interest in the agreement or application or development rights is true, correct and complete. The applicant understands that this information is provided under penalty of perjury, and that intentionally supplying misinformation or deception may result in either invalidation of the agreement or application, or criminal prosecution for misdemeanor violation of the Modesto Municipal Code, or both. Negligent provision of misinformation shall be grounds for invalidation. In accordance with the Modesto Municipal Code, each applicant has a continuing obligation to maintain the truth, accuracy and completeness of the financial interest disclosure information provided below until after final consideration by the City Council of any matter arising out of or relating to the agreement or application.

By signing this document, I agree to the information contained within.

COMPANY NAME: Kosmont & Associates, Inc., Dba Kosmont Companies APPLICANT’S NAME (SIGNATURE):

Ken K Hira / President
APPLICANT’S NAME/TITLE (PRINT):

Applicable Names: DATE: 11/11/2021
(See attached list)
Questions concerning the application of either test to particular facts should be resolved in advance of Council action by agreement with the department head recommending approval of its agreement/application.

DIRECTOR
DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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28 CITY OF MODESTO EIFD FEASIBILITY STUDY REQUEST FOR PROPOSALS INF 22-02

FINANCIAL INTEREST DISCLOSURE
COMPANY NAME: Kosmont & Associates, Inc., Dba Kosmont Companies NAMES
Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

Signature / Print:

DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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Kosmont Companies
Mailing Address: 1601 N. Sepulveda Blvd., #382 (424) 297-1070 Physical Address: 1230 Rosecrans Ave., #630 Manhattan Beach, CA 90266 www.kosmont.com Manhattan Beach, CA 90266

COMPANY HISTORY STATEMENT
November 12, 2021
Mr. Robert Kimball
Marketing Specialist, Economic Development
City of Modesto
1010 10th Street
Modesto, California 95354
Dear Mr. Kimball and City Staff:

As requested in the City of Modesto’s EIFD Feasibility Study RFP (INF 22-02), please find Kosmont’s history statements below:
• Kosmont Companies was established in 1986 and has been providing services for 35+ years. • Kosmont & Associates, Inc., Dba Kosmont Companies is a California Corporation incorporated in 1990.
• The company has no judgements, litigation, license violations or other violations outstanding or resolved in the past five years.
• CONFIDENTIAL: Financial Stability Statements are provided separately in a password protected PDF sent directly to Mr. Kimball.

Sincerely,
Ken K. Hira
President
29 DocuSign Envelope ID: 29637C7A-32C3-4FB2-9D44-56B7AE2203FB #7..
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CITY OF MODESTO

COUNCIL AGENDA REPORT
DATE OF MEETING:

February 24, 2026
Date: February 10, 2026
TO: Mayor and City Council
THROUGH: Joseph P. Lopez, City Manager
FROM: Toby Wells, Director of Engineering Services/City Engineer SUBJECT: Grant of Non-Exclusive Easements to Modesto Irrigation District at César E.

Chávez Park (APN 103-018-001)
CONTACT: Nathan Houx, Parks Planning and Development Manager, [email protected], 209-571-5526
DESCRIPTION:

Consider granting two (2) non-exclusive easements to Modesto Irrigation District for electrical utility access on a portion of César E. Chávez Park (APN 103-018-001). (Funding Source: Not Applicable)
STRATEGIC PLAN ELEMENT:

This item is consistent with the following 2025-2026 Strategic Plan Area of Focus: Quality of Life.

BACKGROUND:

On July 9, 2019, per Resolution No. 2019-333, Council authorized staff to move forward with the submission of a grant application for the renovation of César E. Chávez Park and authorized the City Manager to accept the grant award on behalf of the City. On February 20, 2020, staff received notification from the California State Department of Parks and Recreation that the César E. Chavez Park Renovation Project was selected for funding and on March 26, 2020, the City Manager signed the grant agreement on behalf of the City awarding the City of Modesto $8.5 million dollars for the renovation of César E. Chavez Park.

On November 10, 2020, per Council Resolution 2020-474, Council approved a Design Agreement with O’Dell Engineering for the preparation of the construction documentation for this project, for an amount not to exceed $795,669. Since 2021, staff have worked with the Consultant and stakeholders to design a project that would meet the needs and wants of the community, Prop 68 grant requirements, and is fiscally responsible and viable.

On September 10, 2024, per Council Resolution 2024-328, City Council awarded a construction contract for the César E. Chávez Park Renovation Project to Harris Builders, Inc. of Hilmar, CA, for a total payment amount not to exceed $14,978,853. Construction began in November 2025. #8..
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City Council, February 24, 2026
Grant of Non-Exclusive Easements to Modesto Irrigation District at César E. Chávez Park (APN 103-018-001)