Agenda packet — Monterey City Council, January 21, 2025

Council Chamber
580 Pacific St.

Monterey, California

CITY COUNCIL AGENDA
Council Regular Meeting and
Closed Session
Amended Agenda
Tuesday, January 21, 2025
4:00 PM – 5:30 PM
7:00 PM – 11:00 PM
Mayor
Tyller Williamson
Councilmembers
Kim Barber, District 1
Ed Smith, District 2
Jean Rasch, District 3
Gino Garcia, District 4
City Manager
Hans Uslar
City Attorney
M. Christine Davi
HOW TO PARTICIPATE IN THIS MEETING:
 In-Person: At the meeting location listed above.
 Remotely via ZoomGov webinar:
o On a computer or smartphone: https://monterey-org.zoomgov.com/j/1607729333 Zoom software must be up-to-date. For help, please use our Zoom Meeting Instructions. o By telephone dial 833-568-8864 (Toll Free), 669-254-5252 (CA) or 646-828-7666 (NY). If one number doesn’t work, please try another. Enter Webinar ID: 160 772 9333 # If asked for participant ID, press #. To raise your hand: dial *9. Once called upon, dial *6 to unmute.  This meeting will also stream live for viewing only on youtube.com/cityofmonterey (~10 second delay) and on Comcast Channel 25 (up to 90 second delay).  Written comment: Emailed comments to [email protected] sent no later than ½ hour before the start of the meeting (sooner preferred) are not read aloud but are made available to the Council and public at monterey.gov/submitted-comments.

PUBLIC COMMENT PROCEDURES AND TIME LIMITS:

The total amount of time allocated for public comment on a particular issue and for each individual speaker is generally as follows:

1. Up to three minutes per speaker.

2. For regular City Council meetings, there are two 15-minute public comment periods, one in the afternoon and one in the evening. Speakers may only comment during one session.

3. The total time allocated for public comment:
a. Items pulled from the consent agenda – 15 minutes each item b. Public Appearance items – 30 minutes each item
c. Public Hearing items – 30 minutes each item
d. Closed session items – 15 minutes each item
At the time an item is considered, the Mayor will ask those attending the meeting in person to line up at the podium or raise their hands, and for remote participants to use *9 on the telephone or the “raise hand” function in Zoom, if they wish to address the City Council. The maximum amount of time for each person to speak and the total amount of time allotted for each item will be determined based on the number of people indicating an interest in speaking and the amount of business to be conducted on the agenda. In exceptional circumstances and when necessary to ensure a full opportunity for public input, the Mayor may, with the legislative body’s consent, adjust the amount of time allowed for public input and/or the time allotted for each speaker.

CAMPAIGN CONTRIBUTION DISCLOSURE: Pursuant to the Levine Act (Govt. Code §84308), any party to a permit, license, contract, or other entitlement before the Council is required to disclose on the record any contribution, including aggregated contributions, of more than $500 made by the party or the party's agents within the preceding 12 months to any City official. Participants and agents are requested to make this disclosure as well. The disclosure must include the name of the party, participant, or agent, and any other person making the contribution; the name of the recipient, the amount of the contribution, and the date the contribution was made.

January 21, 2025
2 TELECONFERENCE NOTICE
A “Just Cause” teleconference attendance notification was received from Councilmember Barber and Councilmember Rasch, who will make brief statements at the beginning of the meeting regarding the general description of the circumstances requiring remote participation. ***Afternoon Session Agenda ***
4:00 - 5:30 p.m.

CALL TO ORDER

PRESENTATIONS

1. Adopt a Resolution Mourning the Lives Lost in the Palisades, Eaton, and Southern California Fires of January 2025, Honoring the City of Monterey Firefighters Responding to the Historic Wildfires and Expressing Hope for the Continued Safety of Our Firefighters and Appreciation to their Families; and Receive a Report on the City’s Wildfire Preparedness and Response Capabilities (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)

GENERAL PUBLIC COMMENTS
The public may speak to any item that is not on the agenda and that is in the City of Monterey’s subject matter jurisdiction.

CONSENT AGENDA
All matters listed under Consent Agenda are routine and will be adopted by one motion unless a member of the City Council or the public requests discussion or a separate vote.

Approval of Minutes

2. December 17, 2024 Regular Meeting (Not a Project Under CEQA per Article 20 Section 15378 and Under General Rule Article 5 Section 15061)
Award of Construction Contracts

3. Amend the Construction Contract with Mesa Energy Systems, Inc. for the Monterey Conference Center Cooling Tower Replacement to Increase the Contract Amount from $1,447,771.00 to $1,567,771.00 (Exempt from CEQA, Article 19, Section 15301, Class 1) ***CIP***

4. Award a Construction Contract in the Amount of $474,821.00 to Intech Mechanical Company, Inc. dba Intech Automation to Replace NAE NCE Controllers at Various Buildings at the Presidio of Monterey ***IGSA*** (Categorically Excluded from NEPA 32 CFR, Part 651, Section II(g )(1))
Ordinances
An ordinance is a law adopted by the City Council and codified in the City Code. Through the adoption of an ordinance, the City may make and enforce within its limits all local, police, sanitary, and other laws not in conflict with state or federal law. An ordinance generally becomes effective 30 days after approval at a second reading.

January 21, 2025
3 5. 1st Reading of an Ordinance Extending Elected Officials’ First Ethics Training Deadline by 30 Days, and Requiring Electronic Filing of Campaign Finance Disclosure Statements (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
Resolutions
A resolution is an expression of opinion or evidence of a decision made by the City Council and often relates to administrative business of the City. Resolutions generally become effective immediately upon adoption.

6. Authorize an Appropriation of $96,432.35 to Purchase and Upfit One (1) New Fire Utility/Command Truck (Not a Project Under CEQA per Article 20 Section 15378 and Under General Rule Article 5 Section 15061)
*** End of Consent Agenda ***

PUBLIC APPEARANCE
Public Appearance items are on non-routine issues that might stimulate public interest and comments.

7. Receive Update on the 2025 City Staff Work Program (Not a Project Under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061) *** Adjourn to Closed Session ***
The City Council will take public comments on closed session items before convening to closed session.

CLOSED SESSION
Part or all of a meeting may be closed to the public under special conditions. Council can consider only matters covered in the agenda descriptions.

8. Public Employee Performance Evaluation, Title: City Manager; Public Employee Performance Evaluation pursuant to Government Code section 54957(b)(1), Conference with Labor Negotiator Pursuant to Government Code Section 54957.6 for Labor Negotiations; Agency Negotiator: Shelline Bennett; Unrepresented Employee: City Manager (Not a Project Under CEQA per Article 20 Section 15378 and Under General Rule Article 5 Section 15061)
January 21, 2025
4 9. Conference with Legal Counsel, A. Existing Litigation pursuant to Government Code section 54956.9(d)(1):

1. City of Monterey v. Marianne McNicol (Monterey County Superior Court Case No. 23CV001205)

2. City of Monterey v. Leslie J. Flores, Trustee (Monterey County Superior Court Case No. 24CV000750)

3. City of Monterey v. Paul Soares (Monterey County Superior Court Case No. 24 CV 002533)

4. Paul Soares v. City of Monterey (United States District Court, Northern District of California Case No. 24-CV-05131-EJD)

5. Ashley Ellcessor v. City of Monterey (Monterey County Superior Court Case No. 24CV000649)

6. Bryce Hovannisian v. City of Monterey (Monterey County Superior Court Case No. 24CV003703

7. Francisca Moralez v. City of Monterey et al. (United States District Court Northern District of California Case No. 22-CV-07540)

8. Richard Rosendale v. City of Monterey (Monterey County Superior Court Case No. 23CV000879)

9. Ronald Rogers v. City of Monterey (Monterey County Superior Court Case No. 23CV003206)

10. Pacific Western Bank v. City and Stronghold Engineering, Inc. (San Bernardino Superior Court Case No. CIVSB2212212; Fourth District Court of Appeal Case No.

E082907)

11. Stronghold Engineering, Inc. v. City of Monterey (Santa Clara County Superior Court Case No. 18CV329015; Sixth District Court of Appeal Case No. H050157; Supreme Court of California Case No. S283051)

12. Stronghold Engineering, Inc. v City of Monterey (Riverside County Superior Court Case No. CVR12103427; Fourth District Court of Appeal, Division 2, Case No. E080304; Fourth District Court of Appeal, Division 1, Case No. D082763)

13. Save Tarpy Flats v. City of Monterey (Monterey County Superior Court Case No. 24 CV005125)
B. Anticipated Litigation, Significant Exposure to Litigation Pursuant to Government Code section 54956.9(d)(2), (e)(3): Precision Grade, Inc. Claim dated August 12, 2024
(Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061)
RECESS

RECONVENE
*** Evening Session Agenda ***
7:00 - 11:00 p.m.

No discussion of a new item will be started after 10:30 p.m.

PLEDGE OF ALLEGIANCE

GENERAL PUBLIC COMMENTS CONTINUED
Any person who did not offer a general public comment in the afternoon session may speak to any item that is not on the agenda and that is in the City of Monterey’s subject matter jurisdiction.

January 21, 2025
5 ANNOUNCEMENTS FROM CLOSED SESSION

PUBLIC APPEARANCE (EVENING)
Public Appearance items are on non-routine issues that might stimulate public interest and comments.

10. Receive Rental Inventory Program Annual Report and Consider Recommended Program Changes and Initial Tenant Protections (Not a Project under CEQA per Article 20, Section 15378 and under General Rule Article 5, Section 15061)

11. Receive Rental Assistance Program Update and Recommended Program Changes (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)

COUNCIL COMMENTS
Councilmembers may ask a question for clarification, make a brief announcement, or make a brief report on their activities. In addition, Councilmember or the City Council may provide a referral to staff or other resources for factual information. (Government Code section 54954.2(a)(3).)

CITY MANAGER REPORTS
The City Manager may make a brief report on their activities or a brief announcement. They may also ask for clarification or direction regarding scheduling of Council meetings and study sessions.

ADJOURNMENT
Writings distributed for discussion or consideration on these matters within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, are available at: monterey.gov/submitted-comments and in the City Manager’s Office at 580 Pacific St., Room 1, Monterey, CA 93940 during regular business hours. All comments and materials provided to the Council become part of the public record. Members of the public who comment in any fashion on an agenda item may be subject to the Levine Act which requires disclosure of campaign contributions of more than $500 to an officer of the City within the preceding 12 months.

INTERPRETATION: The Monterey City Council invites and encourages public participation at its meetings.

Requests for language interpretation may be made by contacting the City Clerk at [email protected] or 831-646-3935. The City Clerk will make every effort to accommodate requests for interpreter assistance.

Requests should be made as soon as possible in advance of any meeting of the City Council. The City is committed to addressing language interpretation requests swiftly in order to maximize public participation.

ACCESSIBILITY: The City of Monterey is committed to including disabled people in all of its services, programs and activities. In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact [email protected] or (831) 646-3935.

Notification 30+ hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting [28 CFR 35.102-35.104 ADA Title II]. Later requests will be accommodated to the extent feasible. For communication-related assistance, dial 711 to use the California Relay Service (CRS) to speak to City offices. CRS offers free text-to-speech, speech-to-speech, and Spanish-language services 24 hours a day, 7 days a week. If you require a hearing amplification device to attend a meeting, dial 711 to use CRS to talk to the City Clerk's Office at (831) 646-3935 to coordinate use of a device.

CITY OF MONTEREY 24-HOUR SUGGESTION HOTLINES: (831) 646-3799 or [email protected] Upcoming city meetings are listed at monterey.gov/agendas For more information, call (831) 646-3935 Council
Agenda Report
FROM: Hans Uslar, City Manager
Prepared By: Nat Rojanasathira, Assistant City Manager
SUBJECT: Adopt a Resolution Mourning the Lives Lost in the Palisades, Eaton, and Southern California Fires of January 2025, Honoring the City of Monterey Firefighters Responding to the Historic Wildfires and Expressing Hope for the Continued Safety of Our Firefighters and Appreciation to their Families; and Receive a Report on the City’s Wildfire Preparedness and Response Capabilities (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
RECOMMENDATION:

That the City Council adopt a resolution mourning the lives lost in the Palisades, Eaton, and Southern California fires of January 2025, honoring the City of Monterey firefighters responding to the historic wildfires and expressing hope for the continued safety of our firefighters and appreciation to their families; and receive a report on the City’s wildfire preparedness and response capabilities.

VALUE DRIVERS:

In collaboration with our community partners, work to improve the quality of life of all of our community members by fostering diversity, equity, and inclusion; championing equitable access to affordable housing; and maintaining a safe environment.

Protect and preserve our natural environment by addressing climate change through ecologically responsible and pragmatic solutions.

POLICY IMPLICATIONS:

It is within the City Council’s purview to adopt resolutions supporting and honoring the City’s firefighters and in response to natural disasters; and to receive information on the City’s wildfire preparedness and response capabilities.

CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

There are no direct costs to the City as a result of this action. The City of Monterey has allocated $1 million from Neighborhood and Community Improvement Program (NCIP) and $1 million from a CAL FIRE Cal Fire grant for fuels mitigation in Fiscal Year 2024/25, directly supporting efforts outlined in the City’s Greenbelt Fuel Reduction Plan and the Community Wildfire Protection Plan (CWPP). The City of Monterey will be reimbursed by the California Office of Emergency Services (Cal OES) for the firefighting and resource support efforts provided to support fire suppression efforts in the Los Angeles County wildfires.

Date: 1/21/2025
Item No.: 1.

Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 1, Packet Page 6 №10/24
ENVIRONMENTAL DETERMINATION:

The City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA)(CCR, Title 14, Chapter 3 (“CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or any reasonably foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.

ALTERNATIVES CONSIDERED: None.

DISCUSSION:

Southern California Fires
Historic fires in Los Angeles County started on Tuesday January 7, 2025 amid a powerful windstorm driven by the Santa Ana Winds: the Palisades Fire in Pacific Palisades, Eaton fire in Altadena, and the Hurst Fire in Sylmar. Palisades and Eaton fires are among the five most destructive fires in the State of California since recordkeeping began in 1932, according to the California Department of Forestry and Fire Protection (CAL FIRE). Other fires in Southern California were ignited, including the Little Mountain Fire in San Bernardino and the Auto Fire in Ventura.

So far, these fires burned over 40,000 acres, claimed the lives of at least 25 people, destroyed over 12,300 structures, and greatly impacted the communities of Pacific Palisades and Altadena.

City of Monterey Response to the Fires
The Monterey Fire Department was called out to Los Angeles County on the night of the fire, January 7, 2025 to be part of a countywide strike team. The City sent the Cal OES Type 1 Engine, one Fire Captain, one Engineer, and two Firefighters. Upon arrival in Pacific Palisades, they went straight to the firefighting lines and worked a 48-hour shift.

On January 9, 2025, the Fire Department received a second callout to respond to the fires in Southern California. As part of another countywide strike team, the City sent a Type 3 Wildland Fire Engine, one Fire Captain, one Engineer, and two Firefighters. As of January 16, 2025, both crews and a total of eight City of Monterey fire personnel remain in Southern California as part of the worldwide response to the historic fires.

In addition to firefighting resources, the City has offered other services to the affected communities. The City’s areas of expertise have included setting up resource centers, evacuation center at the Monterey Conference Center (during the Carmel, River, and Dolan Fires of 2020), and managing virtual Emergency Operations Centers (EOCs). Other specialties we can support include forestry, campgrounds, beaches, harbor, and conference center. The City of Monterey is on a list managed by the League of California Cities that identifies cities willing to contribute resources to Southern California.

Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 2, Packet Page 7 №10/24
City of Monterey’s Wildfire Prevention and Response Capabilities As part of its ongoing commitment to public safety, the City of Monterey has been actively advancing a series of
initiatives aimed at reducing the risk of wildfires and enhancing community preparedness. With wildfires as a
year-round concern in California, over the years, the City has stepped up efforts in wildfire fuels mitigation, vegetation management, and community engagement.

The City of Monterey Fire Department completed the
Community Wildfire Prevention Plan in November 2023,
which serves as the cornerstone for fuels mitigation efforts for the cities of Monterey, Pacific Grove, and Carmel-by-theSea. As mentioned earlier, the City of Monterey allocated $1 million from Neighborhood and Community Improvement
Program (NCIP) for this fiscal year and $1 million from a CAL FIRE grant for fuels mitigation, directly supporting efforts outlined in the City’s Greenbelt Fuel Reduction Plan and the Community Wildfire Protection Plan (CWPP). By
strategically managing vegetation in the City’s greenbelt areas, Monterey is working to prevent large-scale wildfires that could endanger residents and property. In 2024, 414 acres of greenbelt fuel reduction in various neighborhoods and greenbelts were completed.

In an effort to provide community awareness, the City will soon be hosting a Wildfire Prevention and Community Fire Safety Town Hall Meeting. The panel will be made up of members from the City’s Fire Department, Police Department, Forestry Division, and experts from local utility companies (California American Water, PG&E). The date and time will be announced soon.

Monterey Fire Chief Andrew Miller will deliver a brief presentation to the City Council at its meeting on January 21, 2025 to discuss the City’s response to the fires in Los Angeles County and the City’s wildfire and response capabilities.

Hope for the Continued Safety of Our Firefighters
The Monterey City Council, staff, and community honors the City of Monterey firefighters responding to the historic wildfires and expresses hope for the continued safety of our firefighters and appreciation to their families.

HU/nr
Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
A City of Monterey firefighter working the
Palisades Fire in Los Angeles County
Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 3, Packet Page 8 RESOLUTION NO. __-___ C.S.

A RESOLUTION OF THE COUNCIL OF THE CITY OF MONTEREY
№011/24

MOURNING THE LIVES LOST IN THE PALISADES, EATON, AND SOUTHERN CALIFORNIA FIRES OF JANUARY 2025, HONORING THE CITY OF MONTEREY

FIREFIGHTERS RESPONDING TO THE HISTORIC WILDFIRES AND

EXPRESSING HOPE FOR THE CONTINUED SAFETY OF OUR FIREFIGHTERS

AND APPRECIATION TO THEIR FAMILIES
WHEREAS, amid a powerful windstorm on January 7, 2025, two historic fires in Los Angeles County started: the Palisades Fire in Pacific Palisades and the Eaton fire in Altadena, as well as the Hurst Fire in Sylmar;
WHEREAS, the Palisades and Eaton fires are among the five most destructive fires in the State of California since recordkeeping began in 1932, according to the California Department of Forestry and Fire Protection (CAL FIRE);
WHEREAS, the fires were exacerbated by the Santa Ana winds that intensified the wildfires and resulted in extreme fire danger;
WHEREAS, as of January 15, 2025, the Palisades Fire burned 23,713 acres, claimed eight civilian lives, destroyed 2,191 structures, threatened 12,250 structures, damaged 397 structures, and was 19% contained;
WHEREAS, as of January 15, 2025, the Eaton Fire burned 14,117 acres, claimed 16 civilian lives, destroyed 4,627 structures, damaged 486 structures, threatened 28,828 structures, and was 45% contained;
WHEREAS, other fires in Southern California included the Little Mountain Fire in San Bernardino, and Auto Fire in Ventura;
WHEREAS, on the evening of January 7, 2025, the City of Monterey Fire Department was called to be part of a strike team, sending a crew of four personnel to respond to the fires in Los Angeles County. Serving on the strike team with the City of Monterey’s California Office of Emergency Services (Cal OES) Type 1 Engine were one Fire Captain, one Engineer, and two Firefighters;
WHEREAS, on January 9, 2025, the City of Monterey Fire Department was called to join a second countywide strike team, sending a crew of four personnel to respond to the fires in Los Angeles County with a City of Monterey wildland fire engine. Serving on the strike team were one Fire Captain, one Engineer, and two Firefighters;
WHEREAS, the Monterey community is not immune to wildfires, and recalls the River, Carmel, and Dolan Fires in Monterey County in summer 2020. During these fires, the City of Monterey activated its Emergency Operations Center, opened the Monterey Conference Center to serve as an Evacuation Center and Community Resource Center, and provided assistance government agency partners and residents in Salinas, Toro Park, Carmel Valley, and Big Sur; Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 4, Packet Page 9 WHEREAS, in addition to the loss of life, the Southern California Fires in January 2025 destroyed homes, grocery stores, places of worship, restaurants, and schools; WHEREAS, the Monterey City Council, staff, and Monterey community hopes and prays that our firefighters return home safely;
WHEREAS, according to University of California, Los Angeles (UCLA) climate scientists with wildfire expertise, “climate change may be linked to roughly a quarter of the extreme fuel moisture deficit when the fires began;”
WHEREAS, the City of Monterey Fire Department completed the Community Wildfire Prevention Plan in November 2023, which serves as the cornerstone for fuels mitigation efforts for the cities of Monterey, Pacific Grove, and Carmel-by-the-Sea; WHEREAS, the City of Monterey has allocated $1 million from the Neighborhood and Community Improvement Program (NCIP) and $1 million from a CAL FIRE grant for fuel mitigation, and has been strategically managing vegetation in the City’s greenbelt areas, working to prevent large-scale wildfires that could endanger residents and property. In 2024, 414 acres of green belt fuel reduction in various neighborhoods and greenbelts were completed; WHEREAS, the City of Monterey is addressing community concerns about wildfire prevention and response and is organizing a community town hall meeting on wildfire prevention in the near future; and
WHEREAS, the City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA)(CCR, Title 14, Chapter 3 (“CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project.

Because the matter does not cause a direct or any reasonably foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY that the above recitals are true and correct and are hereby incorporated and adopted as findings of the City Council as if fully set forth herein.

NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY that it hereby mourns the 25 lives lost in the Palisades and Eaton Fires in Los Angeles County, honors the City of Monterey firefighters responding to the historic wildfires and expresses hope for the continued safety of our firefighters and appreciation to the families of our firefighters deployed to Los Angeles to do this lifesaving work.

Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 5, Packet Page 10 PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF MONTEREY this _____ day of _______, 202_, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

APPROVED:

ATTEST:

Mayor of said City
City Clerk thereof
Council Regular Meeting, 1/21/2025, Item No. 1., Item Page 6, Packet Page 11

MINUTES

CITY COUNCIL REGULAR MEETING

CITY OF MONTEREY
Tuesday, December 17, 2024
4:00 PM 7:00 PM
COUNCIL CHAMBER, 580 PACIFIC ST.

MONTEREY, CALIFORNIA
City Staff

Present:

Councilmember, City Manager, Assistant City Manager, City Attorney, Finance Director, Community Development Director, Police Chief, Fire Chief, Parks and Recreation Director, Human Resources Director, Library & Museums Director, Public Works Director, City Clerk, Planning Manager, Recreation Manager, Administrative Analyst/Public Information Officer, Deputy Public Works Director/City Engineer, Police Lieutenant, Assistant Human Resources Director, Senior Engineer, Police Lieutenant, Administrative Assistant (City Manager's Office), Mark Ackermann Management Analyst (City Manager's Office), Intern (City Manager's Office), Assistant Fire Chief, Senior Administrative Analyst (Fire), Fire Engineers (2), Firefighters (2), Fire Captains (3), Division Chief
***Afternoon Session Agenda ***

CALL TO ORDER

Mayor Williamson called the meeting to order at 4:01 p.m.

ROLL CALL OF THE 2022-2024 CITY COUNCIL
Councilmembers

Present: Garcia (present from 4:01 p.m. to 6:24 p.m.), Haffa, Smith, Williamson

Absent: Barber
City Clerk Klein called the roll with the 2022-2024 Council present as indicated above.

PRESENTATIONS

1. Recognition of Councilmember Alan Haffa (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
Action: Recognized Councilmember Haffa
The Mayor and Council praised Councilmember Haffa's public service, specifically highlighting his skills at governing and finding compromise. City Manager Uslar read remarks that were sent by Dr. Barber to be read in her absence, then made his own comments of appreciation.

Councilmember Haffa expressed his feelings of gratitude for his wife Arlene, his supporters and friends, colleagues on the dais, and City staff. He spoke about his time in office and shared some of his most proud achievements serving the community.

Public comment was received from: Hans Jannasch, on behalf of the Monterey Vista Neighborhood Assocation, who thanked Councilmember Haffa for his leadership and his efforts on campaign finance reform and the City's cellular ordinance; Esther Malkin, who thanked Date: 1/21/2025
Item No.: 2.

Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 1, Packet Page 12 City Council Minutes December 17, 2024
2 Councilmember Haffa for his early support and vision in working to address the housing crisis; Bruce Zanetta, who praised Councilmember Haffa for his handling of the Wharf lease issues and his disciplined decision-making process; and Tom Reeves, who said that he appreciated how Councilmember Haffa listened to people and expressed his rationale for his decisions.

ELECTION CERTIFICATION AND COUNCIL INSTALLATION

2. Adopt a Resolution Reciting the Results of the November 5, 2024 Consolidated General Municipal Election, and Install Newly Elected Officers (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-189 C.S. (4-0-1, Councilmember Barber absent) City Clerk Klein gave a brief staff presentation.

Public comment was received from: Eric Palmer, who congratulated Jean Rasch and discussed his run for office; Esther Malkin, who praised the diversity of the City Council and thanked the City's voters; and Nina Beety, who spoke about challenges that would face the City Council.

City Manager Uslar, who read written remarks from Councilmember Barber about looking forward to working with Jean Rasch and in appreciation of Mayor Williamson and Councilmember Garcia.

On a motion by Councilmember Smith, seconded by Councilmember Garcia, and carried by the following vote, the City Council adopted Resolution No. 24-189 C.S. declaring the results of the consolidated General Municipal Election held on November 5, 2024:

AYES: 4 COUNCILMEMBERS: Garcia, Haffa, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None)
ABSENT: 1 COUNCILMEMBERS: Barber
ABSTAIN: 0 COUNCILMEMBERS: (None)
RECUSED: 0 COUNCILMEMBERS: (None)
Former U.S. Secretary of Defense Leon Panetta gave the ceremonial oath to newly elected Mayor Tyller Williamson. Former Councilmember Haffa gave the ceremonial oath to newly elected Councilmember, District 3, Jean Rasch. Emily Garcia gave the ceremonial oath to newly elected Councilmember, District 4, Gene "Gino" Garcia. Following the oaths each newly elected member made brief remarks thanking their loved ones and supporters and looking forward to their terms of service.

The Council recessed at 5:01 p.m. for a break during which the newly elected members were sworn in officially by the City Clerk in the City Clerk's Office. The Council reconvened at 5:16 p.m.

ROLL CALL OF THE 2024-2026 CITY COUNCIL
Councilmembers

Present: Garcia (present from 4:01 p.m. to 6:24 p.m.), Rasch, Smith, Williamson

Absent: Barber
City Clerk Klein called the roll with the 2024-2026 Council present as indicated above.

Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 2, Packet Page 13 City Council Minutes December 17, 2024
3 GENERAL PUBLIC COMMENTS
Public comment on non-agendized matters was received from Steve Lightfoot, Nina Beety, and Peter Berridge.

CONSENT AGENDA
Public comment on the Consent Items was not received.

On a motion by Councilmember Garcia, seconded by Councilmember Smith, and carried by the following vote, the City Council approved the CONSENT AGENDA:

AYES: 4 COUNCILMEMBERS: Garcia, Rasch, Smith, Williamson NOES: 0 COUNCILMEMBERS: (None)
ABSENT: 1 COUNCILMEMBERS: Barber
ABSTAIN: 0 COUNCILMEMBERS: (None)
RECUSED: 0 COUNCILMEMBERS: (None)
Approval of Minutes

3. December 3, 2024 Regular Meeting, Joint Meeting with Planning Commission, and Special Planning Commission Meeting (Not a project under CEQA per Article 20 Section 15378 and under General Rule Article 5 Section 15061)
Action: Approved (4-0-1, Councilmember Barber absent)
Award of Construction Contracts

4. Award a Construction Contract in the Amount of $821,249.00 to Kraemer Engineering Inc for the Citywide Road Rehabilitation Project, Phase 5 ***CIP*** (Exempt from CEQA, Article 19, Section 15301, Class 1)
Action: Adopted Resolution No. 24-190 C.S. (4-0-1, Councilmember Barber absent)

5. Award a Contract for the El Estero Park Center Playground Equipment Upgrade Project to Ross Recreation Equipment Company, Inc. in the Amount Not-to-Exceed $210,000. (Exempt from CEQA Article 19, Section 15301, Class 1, Existing Facilities) ***NCIP*** Action: Adopted Resolution No. 24-191 C.S. (4-0-1, Councilmember Barber absent) Ordinances

6. 2nd Reading of a Zoning Ordinance to add a Regional Housing Needs Assessment Overlay District (RHNAOV), Amend the Multifamily Overlay District Land Use Regulations and Development Standards, Rezone Properties to be Included in the Multifamily Residential and RHNAOV, Rezone 1200 Aguajito Road, and Amend Architectural Review Procedures (CEQA:

Certified Environmental Impact Report (SCH No. 2023080034), Article 11, Section 15168(c)) Action: Adopted Ordinance No. 3688 C.S. (4-0-1, Councilmember Barber absent)

7. 2nd Reading of an Ordinance Amending Monterey City Code Chapter 38, Section 38-112.5 Density Bonus To Comply With State Housing Law And To Establish Local Density Incentives For Qualifying Housing Projects (CEQA: Certified Environmental Impact Report (SCH No. 2023080034), Article 11, Section 15168(c))
Action: Adopted Ordinance No. 3689 C.S. (4-0-1, Councilmember Barber absent) Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 3, Packet Page 14 City Council Minutes December 17, 2024
4 Resolutions

8. Authorize the Finance Director to Reimburse Funds in the Amount of $220,034.00 from the Neighborhood Improvement Fund to the Street Infrastructure Rehab Fund (Not a project under CEQA per Article 20, Section 15378 and under General Rule Article 5, Section 15061) ***NCIP***
Action: Adopted Resolution No. 24-192 C.S. (4-0-1, Councilmember Barber absent)

9. Approve a Memorandum of Understanding with Monterey One Water for Services Related to Collection of the City’s Sewer Collection Fee on the Monterey County Tax Roll to Include FY 2024-25 for Costs Not-to-Exceed $24,355.32 (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-193 C.S. (4-0-1, Councilmember Barber absent)

10. Award a Contract for the Purchase and Installation of a New Station Alerting System in Fire Stations 11, 12 and 13 in the amount of $358,279.77 (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061) Action: Adopted Resolution No. 24-194 C.S. (4-0-1, Councilmember Barber absent)

11. Appropriate $325,000 from the General Fund Unassigned Fund Balance to 30 Fisherman’s Wharf Deck Repairs (CIP2514) ***CIP*** (Exempt from CEQA per Article 19, Section 15301 Class 1)
Action: Adopted Resolution No. 24-195 C.S. (4-0-1, Councilmember Barber absent)

12. Approve the Amended FY2024/25 Salary Schedule for Regular Full-Time and Regular PartTime Employees Effective January 1, 2025 (Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061)
Action: Adopted Resolution No. 24-196 C.S. (4-0-1, Councilmember Barber absent) Other

13. Appoint Councilmember Garcia as Vice Mayor for 2025 (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061) Action: Appointed Councilmember Garcia as Vice Mayor for 2025 (4-0-1, Councilmember Barber absent)

14. Receive Mayor’s Recommendation and Appoint David Stocker to the Building and Housing Appeals Board (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 19, Section 15061)
Action: Appointed David Stocker as a regular member of the Building and Housing Appeals Board for a term ending June 30, 2029 (4-0-1, Councilmember Barber absent) *** End of Consent Agenda ***
The Council adjourned to the Ocean View Community Services District meeting.

Adjourn to Ocean View Community Services District Meeting: Consent Agenda

15. Receive Ocean View Community Services District Report (Not a Project under CEQA per Article 20, Section 15378 and General Rule Article 5, Section 15061) Action: Received report
City Attorney Davi stated that there was no additional report. Public comment was not received.

Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 4, Packet Page 15 City Council Minutes December 17, 2024
5 The Board of Directors of the Ocean View Community Services District adjourned to the City Council meeting.

Adjourn to City Council Meeting

PUBLIC APPEARANCE

16. Appoint Council Representatives to Outside Agencies and City Boards and Committees for 2025 (Not a Project under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
Action: Reappointed members to the same roles as in 2024, with Councilmember Rasch taking on the appointments of former Councilmember Haffa, but with the following changes: appointing Mayor Williamson as representative to Central Coast Community Energy, Councilmember Garcia as representative to Community Human Services, Councilmember Barber as alternate to Monterey One Water, Councilmember Rasch as representative to the Chamber of Commerce's Council of Monterey Business Associations, and Councilmember Garcia as alternate to TAMC (4-0-1, Councilmember Barber absent)
City Clerk Klein presented the worksheet of possible appointments to the Council. Public comment was not received.

The Council discussed various outside agency and committee roles needing Monterey City Council representation. The majority of the discussion revolved around the interest of more than one Councilmember in serving as the representative to the Transportation Agency for Monterey County (TAMC).

A motion was introduced by Mayor Williamson, and seconded by Councilmember Garcia, to keep the 2024 appointments, with Councilmember Rasch taking on the appointments of former Councilmember Haffa, but with the following changes: Mayor Williamson as representative to Central Coast Community Energy, Councilmember Garcia as representative to Community Human Services, Councilmember Barber as alternate to Monterey One Water, Councilmember Rasch as representative to the Chamber of Commerce's Council of Monterey Business Associations, and Councilmember Garcia as representative to TAMC.

The motion failed by the following vote:

AYES: 2 COUNCILMEMBERS: Garcia, Williamson
NOES: 2 COUNCILMEMBERS: Rasch, Smith
ABSENT: 1 COUNCILMEMBERS: Barber
ABSTAIN: 0 COUNCILMEMBERS: (None)
RECUSED: 0 COUNCILMEMBERS: (None)
A motion was introduced by Councilmember Smith, and seconded by Councilmember Rasch, to keep the 2024 appointments, with Councilmember Rasch taking on the appointments of former Councilmember Haffa, but with the following changes: appointing Mayor Williamson as representative to Central Coast Community Energy, Councilmember Garcia as representative to Community Human Services, Councilmember Barber as alternate to Monterey One Water, Councilmember Rasch as representative to the Chamber of Commerce's Council of Monterey Business Associations, Councilmember Garcia as representative to Monterey-Salinas Transit (MST), and Councilmember Garcia as alternate to TAMC.

Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 5, Packet Page 16 City Council Minutes December 17, 2024
6 A friendly amendment to the motion was introduced by Councilmember Garcia, and approved by the mover and seconder, to keep Councilmember Smith as the MST representative.

The amended motion carried by the following vote:

RECONVENE
The Council reconvened at 7:01 p.m. with Councilmembers Barber and Garcia both absent. *** Evening Session Agenda ***

PLEDGE OF ALLEGIANCE
Councilmember Rasch led the Pledge.

GENERAL PUBLIC COMMENTS CONTINUED
Continued public comment on non-agendized matters was received from Bryan Rosen.

PUBLIC APPEARANCE (EVE)

17. Approve the Americans with Disabilities Act (ADA) Transition Plan 2024 Update (Exempt from CEQA Article 19, 15306, Class 6)
Action: Approved the ADA Transition Plan 2024 Update (3-0-2, Councilmembers Barber and Garcia absent)
Assistant City Manager Rojanasathira gave the staff presentation and answered Councilmembers' questions.

Public comment was received from: Bryan Rosen, who urged the City to prioritize its spending on helping people in need, including providing assistance in navigating the downtown area; Esther Malkin, who said that Community Development Block Grant (CDBG) funds could be used for ADA improvements, and suggested looking at the way City residents' income was calculated for grant qualifications; Lorna Moffat, who expressed concern about hazards faced by pedestrians and particularly disabled people at street crossings; and Nina Beety, who asserted that she had been denied access to City facilities for years because of her sensitivity to the presence of wireless internet connections, which she said the City had not taken seriously. Councilmember Smith had left the Chamber for part of Mr. Rosen's comment, so the Council listened to the recording of Mr. Rosen's comment to enable the voting quorum of the Council to hear it in full.

A motion was introduced by Councilmember Smith, and seconded by Councilmember Rasch, to approve the Americans with Disabilities Act (ADA) Transition Plan 2024 Update.

Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 6, Packet Page 17 City Council Minutes December 17, 2024
7 The Council discussed the public comments received. It was stated that the categorization of Monterey as a high income city was based on the median household income of residents. It was noted that an additional reason for making ADA improvements was to assist veterans who had served the country. Regarding concerns brought up about MST staff helping lift bicycles onto bus racks, it was stated that it had been an issue causing workers compensation claims.

The Council discussed the matter generally. It was stated that to be serious about making ADA improvements the City would need to work hard to figure out how to pay for it. A bond and grant opportunities were mentioned as potential revenue generating measures. It was noted that the hospitality industry could be included in the discussion because if the City were identified as a top rated accessible community it would benefit tourism. Strong interest was expressed in successfully making the ADA improvements and making the City more accessible for everybody.

The motion carried by the following vote:

AYES: 3 COUNCILMEMBERS: Rasch, Smith, Williamson
NOES: 0 COUNCILMEMBERS: (None)
ABSENT: 2 COUNCILMEMBERS: Barber, Garcia
ABSTAIN: 0 COUNCILMEMBERS: (None)
RECUSED: 0 COUNCILMEMBERS: (None)

COUNCIL COMMENTS
Councilmember Smith addressed concerns he had heard from members of the public regarding MST's bus route to Carmel Valley. He said that changes to the route were part of a reduction by the MST board when adopting safer, more economical routes, which he said was a process in place before he joined the MST Board. He explained that the route's ridership had been relatively low and that MST had looked at many factors when determining to eliminate the route.

He explained that he had repeatedly advocated to bring the route back but that it did not seem to have the evidence and data to support a reevaluation of the decision to eliminate the route.

Councilmember Rasch reported that the Monterey Vista Neighborhood Association's executive board had attended the recent sentencing of Les Flores, and expressed appreciation for Police Chief Hober for his presence at the sentencing and for the Monterey Police Department's support of the neighborhood.

Mayor Williamson addressed concerns he had heard about the City's ADA accommodations, and stressed that the City was trying and was one of the few cities in the County that still accepted remote public comments by Zoom. Regarding bus routes he thanked Councilmember Smith for his advocacy and said he hoped the route could return, citing comments from residents who he said had stopped using the bus as a result of the route's elimination and were now driving cars. He welcomed Councilmember Rasch to the dais and congratulated her on her electoral win. He said that he had attended part of the recent meeting on the Local Road Safety Plan and encouraged his colleagues to attend the next meeting and provide feedback so that the City would feel engaged in the eventual plan proposal. He wished all a happy holiday season.

CITY MANAGER REPORTS
City Manager Uslar thanked the Council and City staff for a successful year. He said that First Night Monterey was the last remaining continuously operating First Night program in the nation, Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 7, Packet Page 18 City Council Minutes December 17, 2024
8 spoke to the City's participation in its success, and encouraged all to participate. He shared his wishes for happy holidays and a wonderful New Year celebration.

ADJOURNMENT
The Council adjourned at 8:19 p.m.

Respectfully Submitted, Approved,
Clementine Bonner Klein Tyller Williamson
City Clerk Mayor
Council Regular Meeting, 1/21/2025, Item No. 2., Item Page 8, Packet Page 19 Council
Agenda Report
FROM: Andrea Renny, Public Works Director
Prepared By: Jason Bradley, General Services Field Operations Manager SUBJECT: Amend the Construction Contract with Mesa Energy Systems, Inc. for the Monterey Conference Center Cooling Tower Replacement to Increase the Contract Amount from $1,447,771.00 to $1,567,771.00 (Exempt from CEQA, Article 19, Section 15301, Class 1) ***CIP***
RECOMMENDATION:

That the City Council authorize the City Manager to execute Amendment 1 to the contract with Mesa Energy Systems Monterey Conference Center Cooling Tower Replacement (CIP2318) (“Project”), increasing the contract amount with contingencies from $1,447,771.00 to $1,567,771.00, an increase to the contract of $120,000.00.

VALUE DRIVERS:

Serve as stewards of the City’s financial resources through sound economic vitality efforts, streamlining operations, reasonable revenue enhancements, visionary long-term planning, fiscal transparency, and community partnerships.

POLICY IMPLICATIONS:

This action is consistent with the City Council’s Value Drivers and Strategic Priorities of Active Mobility – “Maintain and repair core street, roadway, and storm drain infrastructure;” Quality of Life – “Respond effectively to neighborhood concerns;” Fiscal Stewardship – “Prioritize funding models and sources for facility rehabilitation, repair, and replacement.” This action is in accordance with Chapter 28-Purchasing of the City Code, which requires Public Works project contract awards exceeding $150,000 to be approved by City Council.

CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

On November 7, 2023, Council awarded a construction contract to Mesa Energy Systems, Inc. in the amount of $1,258,931.00, and authorized staff to expend an additional 15% for unforeseen construction contingencies (Reso 23-130).

Date: 1/21/2025
Item No.: 3.

Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 1, Packet Page 20 №10/24
Total Project Construction Estimate:

Base Contract Amount $1,258,931.00
Authorized Construction Contingency, 15% $188,839.65
Original Total Contract Amount $1,447,770.65
Contract Change Orders to Date $186,231.94
Estimated Construction Cost for the Additional Work: $120,000.00 Total Cost of the Project $1,567,770.65
Available Funding Sources:

Funding Source (CIP2318) $124,663.07
Total Available Funding: $124,663.07
Staff is requesting an additional $120,000.00 to complete the project in a timely manner.

As of January 21, 2025, sufficient funding is available in the CIP account to complete the project.

ENVIRONMENTAL DETERMINATION:

The City of Monterey City Council determined that the original Monterey Conference Center Cooling Tower Replacement was exempt from the California Environmental Quality Act in Resolution 23-130. The statute of limitations to challenge this determination has expired.

While pouring new concrete footers for the Cooling Towers, the contractor discovered gypcrete under the membrane, which tested positive for asbestos. Structural plans are being drawn to secure the new footers over the membrane, but the added cost was not accounted for in the original contract amount.

Further, while reviewing plans for the controls portion of the work, the design consultant noted that additional controls would be needed for the rooftop chiller system. Also, the existing NAE controllers will require an update to JACE in order to update the user interface software and functionality of the system for troubleshooting with the updated cooling towers. These costs were not accounted for in the original contract amount.

The City of Monterey Planning Office determined the new project scope is exempt from the California Environmental Quality Act (CEQA) Guidelines (Article 19, Section 15301, Class 1) because the project will test and abate asbestos and complete any further structural or electrical system work to comply with State law. Furthermore, the project does not qualify for any of the exceptions to the categorical exemptions found at CEQA Guidelines Section 15300.2.

Exception a - Location. Classes 3, 4, 5, 6, and 11 are qualified by consideration of where the project is to be located -a project that is ordinarily insignificant in its impact on the environment may in a particularly sensitive environment be significant. Therefore, these classes are considered to apply in all instances, except where the project may impact on an environmental resource of hazardous or critical concern where designated, precisely mapped, and officially adopted pursuant to law by federal, state, or local agencies.

Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 2, Packet Page 21 №10/24
Exception b - Cumulative Impact. All exemptions for these classes are inapplicable when the cumulative impact of successive projects of the same type in the same place, over time is significant. There would be no cumulative impact because the project will abate asbestos and complete any further structural or electrical system work to comply with State law.

Exception c - Significant Effect. A categorical exemption shall not be used for an activity where there is a reasonable possibility that the activity will have a significant effect on the environment due to unusual circumstances. No unusual circumstances are anticipated because the project will abate asbestos and complete any further structural or electrical system work to comply with State law.

Exception d - Scenic Highways. A categorical exemption shall not be used for a project which may result in damage to scenic resources, including but not limited to, trees, historic buildings, rock outcroppings, or similar resources, within a highway officially designated as a state scenic highway. This does not apply to improvements which are required as mitigation by an adopted negative declaration or certified Environmental Impact Report (EIR). The project would not be visible from a scenic highway.

Exception e - Hazardous Waste Sites. A categorical exemption shall not be used for a project located on a site which is included on any list compiled pursuant to Section 65962.5 of the Government Code. No impact to sites included on any list compiled pursuant to Section 65962.5 of the Government code would occur. Furthermore, the project will abate asbestos and complete any further structural or electrical system work to comply with State law.

Exception f - Historical Resources. A categorical exemption shall not be used for a project which may cause a substantial adverse change in the significance of a historical resource. The Monterey Conference Center is not a historic resource. The project is located in an area of high archeological sensitivity as shown in the General Plan (Figure 8); however, the project will only involve replacement of existing equipment on a roof. Therefore, the project would not have an impact on historic resources.

ALTERNATIVES CONSIDERED:

Council could choose not to amend the construction contract for the Project; however, this is not recommended as this funding is necessary to finalize the Project, which implements necessary upgrades to the aging Conference Center air cooling system.

DISCUSSION:

The Monterey Conference Center continues to serve as an economic driver for the City of Monterey and for the downtown. The Monterey Conference Center welcomes thousands of conference attendees each year, who, on average, spend more time in the City of Monterey and spend, according to SeeMonterey, 158% more at local businesses than the average leisure traveler. This directly results in increased Transient Occupancy Tax (TOT) revenue from hotel stays and sales tax revenue from local spending. A new cooling tower is needed to keep the facility’s air conditioning systems efficient and cost-effective.

On November 7, 2023, Council awarded a construction contract to Mesa Energy Systems, Inc. in the amount of $1,258,931.00 and authorized staff to expend an additional 15% for unforeseen Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 3, Packet Page 22 №10/24
construction contingencies (Reso 23-130) for the Monterey Conference Center Cooling Tower Replacement (CIP2318).

During the course of preparing the roof to receive the new cooling towers, the contractor encountered various unforeseen conflicts with existing equipment and the proposed design that necessitated additional plans and additional costs to the original contract. These changes are required to address concerns with existing structural supports and needed control system updates. The additional tasks required included replacing the chilled water piping insulation in the mechanical room, replacing the variable frequency drive (VFD) for Cooling Tower 2, installing two new disconnects for the new VFDs, replacing the steel structure for the new chiller, and replacing the membrane under the cooling towers after water damage was identified to the subfloor. To date, seven contract change orders have been executed for a total amount of $186,231.94, which amounts to 14.79% of the contingency budget. In addition to these items, while pouring new concrete footers for the Cooling Towers, the contractor discovered asbestoscontaining gypcrete under the membrane, which will need to be abated and/or accounted for structurally.

The estimated cost of the additional work, along with any further structural or electrical system work that results from adding controls to the chiller are expected to exceed the current contingency. Given the change orders to date and the additional estimated costs, staff is requesting an additional $120,000.00 in order to complete the project in a timely manner. With the additional contract approval, staff estimates the project will be completed by March 15, 2025.

JB/ss
Attachments: 1. Resolution
e: Mesa Energy Systems, Inc.

Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 4, Packet Page 23 RESOLUTION NO. __-___ C.S.

A RESOLUTION OF THE COUNCIL OF THE CITY OF MONTEREY
№011/24
AMENDING THE CONSTRUCTION CONTRACT WITH MESA ENERGY SYSTEMS, INC. FOR

THE MONTEREY CONFERENCE CENTER COOLING TOWER REPLACEMENT TO INCREASE THE CONTRACT AMOUNT FROM $1,447,771.00 TO $1,567,771.00 WHEREAS, on the 7th day of November 2023, Council awarded a construction contract to Mesa Energy Systems, Inc. in the amount of $1,258,931.00, and authorized staff to expend an additional 15% for unforeseen construction contingencies (Reso 23-130); WHEREAS, during the course of preparing the roof to receive the new Cooling Towers, the contractor encountered various conflicts with the proposed design that necessitated additional plans and costs to the original contract.

WHEREAS, to date seven contract change orders have been executed for a total amount of $ 186,231.94, which is 14.79% of the contingency budget; WHEREAS, in addition to these items, additional work related to asbestos mitigation and an addition of chiller controls is anticipated and the estimated cost to complete both items is $120,000;
WHEREAS, sufficient funding is available to complete the project in the Monterey Conference Center Project account (cip2318); and
WHEREAS, the City of Monterey City Council determined that the original Monterey Conference Center Cooling Tower Replacement was exempt from the California Environmental Quality Act in Resolution 23-130. The statute of limitations to challenge this determination has expired.

Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 5, Packet Page 24 Exception a - Location. Classes 3, 4, 5, 6, and 11 are qualified by consideration of where the project is to be located -a project that is ordinarily insignificant in its impact on the environment may in a particularly sensitive environment be significant. Therefore, these classes are considered to apply in all instances, except where the project may impact on an environmental resource of hazardous or critical concern where designated, precisely mapped, and officially adopted pursuant to law by federal, state, or local agencies. Exception a - Location - does not apply to projects which are exempt under Class 1.

Exception b - Cumulative Impact. All exemptions for these classes are inapplicable when the cumulative impact of successive projects of the same type in the same place, over time is significant. There would be no cumulative impact because the project will test and abate asbestos and complete any further structural or electrical system work to comply with State law.

Exception c - Significant Effect. A categorical exemption shall not be used for an activity where there is a reasonable possibility that the activity will have a significant effect on the environment due to unusual circumstances. No unusual circumstances are anticipated because the project will test and abate asbestos and complete any further structural or electrical system work to comply with State law.

Exception e - Hazardous Waste Sites. A categorical exemption shall not be used for a project located on a site which is included on any list compiled pursuant to Section 65962.5 of the Government Code. No impact to sites included on any list compiled pursuant to Section 65962.5 of the Government code would occur. Furthermore, the project will test and abate asbestos and complete any further structural or electrical system work to comply with State law.

NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY that it hereby authorizes the City Manager to execute Amendment 1 to the contract with Mesa Energy Systems, Inc. for the Monterey Conference Center Cooling Tower Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 6, Packet Page 25 Replacement Project, increasing the contract amount with contingencies from $1,447,770.65 to $1,567,770.65, an increase to the contract of $120,000.00.

PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF MONTEREY this _____ day of _______, 202_, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

APPROVED:

ATTEST:

Mayor of said City
City Clerk thereof
Council Regular Meeting, 1/21/2025, Item No. 3., Item Page 7, Packet Page 26 Council
Agenda Report
FROM: Andrea Renny, Public Works Director
Prepared By: Richard Llantero, Associate Civil Engineer SUBJECT: Award a Construction Contract in the Amount of $474,821.00 to Intech Mechanical Company, Inc. dba Intech Automation to Replace NAE NCE Controllers at Various Buildings at the Presidio of Monterey ***IGSA*** (Categorically Excluded from NEPA 32 CFR, Part 651, Section II(g)(1))
RECOMMENDATION:

1. Approving the plans and specifications for the POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22-031) (“Project”) which are available in the office of the City Engineer (Room 7), and granting the Public Works Director, or their designee, the authority to approve all amendments and addenda thereto as necessitated by conditions in the field;

2. Accepting all responsive, responsible bids;

3. Awarding a Construction Contract in the Amount of $474,821 to Intech Mechanical Company, Inc. dba Intech Automation for the POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22-031) (“Project”);

4. Authorizing the City Manager, or their designee, to execute the contract upon the receipt of information required by the contract; and

5. Authorizing staff to expend up to an additional 7.5% for unforeseen construction contingencies for timely completion of the Project.

VALUE DRIVERS:

POLICY IMPLICATIONS:

This Project is consistent with the City Council’s Value Drivers and Strategic Priorities of Quality of Life – “Respond effectively to neighborhood concerns” and Fiscal Stewardship – “Support our military installations (U.S. Army Garrison Presidio of Monterey, Naval Support Activity Monterey, and U.S. Coast Guard Station Monterey) as significant economic drivers in the region.

This action is consistent with the City’s policy to provide services to the U.S. Department of the Army through the Intergovernmental Support Agreement (IGSA) between the City of Monterey and the Federal Government.

This action is also consistent with the City’s policy to approve Public Works contracts exceeding $150,000.

Date: 1/21/2025
Item No.: 4.

Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 1, Packet Page 27 №10/24
CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

One (1) bid was received and opened by the Finance Director’s designee on December 17, 2024 as follows:

Bidder Total Bid
Intech Mechanical Company, Inc. dba Intech Automation $474,821 Basis of award for this project is based on the Total Bid.

Engineer’s Estimate: $450,000
Estimated Construction Cost:

Total Bid $474,821
Construction Contingency (7.5%) $35,612
Total Construction Cost (This Authorization) $510,433
Construction Management (City Staff & Indirect Cost) $ 5,000 Total Estimated Cost to Complete the Project $515,433
Available Funding Sources:

POM 22-022 $100,000
POM 22-031 $418,000
This Project has an available funding balance of $518,000 as of October 2024. Therefore, funding is available in the project account for the construction of the Total Bid.

ENVIRONMENTAL DETERMINATION:

The proposed action has been reviewed in accordance with the National Environmental Policy Act (NEPA) and determined to qualify for a Categorical Exclusion (CX). The proposed action is categorically excluded under the provisions set forth in “Part II Department of Defense, Department of the Army, 32 CFR Part 651 Environmental Analysis of Army Actions; (29 March 2002 Edition) Appendix B to Part 651-Categorical Exclusions” as follows:

II(g)(1) Routine repair and maintenance of buildings, airfields, grounds, equipment, and other facilities. Examples include, but are not limited to: Removal and disposal of asbestos-containing material (for example, roof material and floor tile) or lead-based paint in accordance with applicable regulations; removal of dead, diseased, or damaged trees; and repair of roofs, doors, windows, or fixtures (REC required for removal and disposal of ACM and LBP or work on historic structures).

All screening conditions in 32 CFR 651.29 have been met. No circumstances exist that would require an Environmental Assessment or an Environmental Impact Statement under NEPA.

CEQA applies to discretionary projects. (Pub. Resources Code, § 21080, subd. (a).) CEQA does not apply to ministerial projects. (Pub. Resources Code, § 21080, subd. (b)(1).). There is a recognized policy consideration underlying the distinction between ministerial and discretionary Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 2, Packet Page 28 №10/24
projects. The purpose of CEQA is to minimize the adverse effects of new construction on the environment. To trigger CEQA compliance, the discretion must be of a certain kind; it must provide the agency with the ability and authority to mitigate environmental damage to some degree. Unless a public agency can shape the project in a way that would respond to concerns raised in an EIR, or its functional equivalent, environmental review would be a meaningless exercise.

Here, the City does not have the power to deny or condition the permit, or otherwise modify the project in ways which would mitigate environmental problems an environmental impact report might conceivably have identified. The City does not have the authority to dictate changes to the Army’s project’s design or location in response to any impacts that an environmental review might reveal, the City’s authority under CEQA is essentially ministerial and therefore no further environmental review is required by the City.

ALTERNATIVES CONSIDERED:

Council could choose not to award the construction contract for the Project; however, this is not recommended as the Project is sufficiently funded and implements necessary repairs critical to the Army’s Mission Objective.

DISCUSSION:

Overview
Under an Intergovernmental Support Agreement (IGSA), the City of Monterey provides services to the Department of the U.S. Army, which are fully reimbursed by the Federal government. The City coordinates a variety of projects on the Presidio of Monterey (POM), Ord Military Community, and Camp Roberts, including this project to remove and replace the Network Automation Engine (NAE) and Network Control Engine (NCE) controllers located in various buildings throughout the Presidio of Monterey. The NAE monitors and automates building systems such as HVAC, security, and lighting, and fixes issues before they become problems.

The NCE controllers coordinates all systems to ensure that parts of the building’s network work together seamlessly and efficiently.

Project
On August 29, 2022, the United States Army awarded an Individual Job Order (IJO) to the City of Monterey to remove and replace the NAE and NCE controllers with up-to-date models running the latest software, patches, and upgrades. The existing controllers slated for replacement are obsolete and are no longer supported for software updates making them impractical to maintain. Without the necessary updates, the risk of unit failures increases dramatically, causing HVAC systems to cease operations and greatly impacting the Army Garrison’s mission in the affected buildings.

This project will replace 23 legacy network engines to the newest generation of network engines. The work also includes migrating the network databases to the newest software releases, application engineering, programming, startup, testing, and commissioning.

This project initially went out to bid and received two bids on July 3, 2024; however, the lowest bid of $509,391 was over the project funding limit and all bids were rejected. A second bid solicitation was opened on December 17, 2024, and the City received one (1) bid proposal for $474,821, which is within the current funding and close to the Engineer’s Estimate of $450,000.

Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 3, Packet Page 29 №10/24
Intech Mechanical Company, Inc. dba Intech Automation of Roseville, California, and its subcontractor, Total Control of Livermore, California, has performed and successfully completed this kind of work for the Presidio of Monterey (POM) and other municipal agencies in the western United States. Total Control, for its part, maintains most of the building control systems within the POM. City of Monterey staff are comfortable with the ability of the contractor to perform the work successfully.

AR/rl/pl
Attachments: 1. Resolution

2. Evaluation Tabulation
e: Intech Mechanical Company, Inc. dba Intech Automation Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 4, Packet Page 30 RESOLUTION NO. __-___ C.S.

A RESOLUTION OF THE COUNCIL OF THE CITY OF MONTEREY
№011/24
AWARDING A CONSTRUCTION CONTRACT IN THE AMOUNT OF $474,821.00 TO INTECH MECHANICAL COMPANY, INC. DBA INTECH AUTOMATION TO REPLACE NAE NCE CONTROLLERS AT VARIOUS BUILDINGS AT THE PRESIDIO OF MONTEREY ***IGSA*** WHEREAS on the 17th day of December 2024, at 2:00 p.m. the City of Monterey Finance Director’s designee received one (1) electronic bid through the City’s e-Procurement Portal, OpenGov Procurement, for the POM-Var Bldgs Replace NAE NCE Controller (POM 22- 022, POM 22-031) (“Project”);
WHEREAS, Intech Mechanical Company, Inc. dba Intech Automation submitted responsive, responsible bids for the Project;
WHEREAS, the basis of award for the project was the Total Bid; WHEREAS, Intech Mechanical Company, Inc. dba Intech Automation submitted the lowest responsive, responsible bid in the amount of $474,821; WHEREAS, the project is fully funded by the Department of the Army through the Intergovernmental Support Agreement (IGSA) and sufficient funding is available in the project account number POM2022022 and POM2022031; and
WHEREAS, the proposed action has been reviewed in accordance with the National Environmental Policy Act (NEPA) and determined to qualify for a Categorical Exclusion (CX).

The proposed action is categorically excluded under the provisions set forth in “Part II Department of Defense, Department of the Army, 32 CFR Part 651 Environmental Analysis of Army Actions; (29 March 2002 Edition) Appendix B to Part 651-Categorical Exclusions” as follows:

All screening conditions in 32 CFR 651.29 have been met. No circumstances exist that would require an Environmental Assessment or an Environmental Impact Statement under NEPA.

CEQA applies to discretionary projects. (Pub. Resources Code, § 21080, subd. (a).) CEQA does not apply to ministerial projects. (Pub. Resources Code, § 21080, subd. (b)(1).). There is a recognized policy consideration underlying the distinction between ministerial and discretionary projects. The purpose of CEQA is to minimize the adverse effects of new construction on the environment. To trigger CEQA compliance, the discretion must be of a certain kind; it must provide the agency with the ability and authority to mitigate environmental damage to some degree. Unless a public agency can shape the project in a way that would respond to concerns raised in an EIR, or its functional equivalent, environmental review would be a meaningless exercise.

Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 5, Packet Page 31 Here, the City does not have the power to deny or condition the permit, or otherwise modify the project in ways which would mitigate environmental problems an environmental impact report might conceivably have identified. The City does not have the authority to dictate changes to the Army’s project’s design or location in response to any impacts that an environmental review might reveal, the City’s authority under CEQA is essentially ministerial and therefore no further environmental review is required by the City.

NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY that that the above recitals are true and correct and are hereby incorporated and adopted as findings of the City Council as if fully set forth herein.

NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY it hereby:

1. Approves the plans and specifications for the POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22-031) (“Project”) which are available in the office of the City Engineer (Room 7), and granting the Public Works Director, or their designee, the authority to approve all amendments and addenda thereto as necessitated by conditions in the field;

2. Accepts all responsive, responsible bids;

3. Awards a Construction Contract in the Amount of $474,821 to Intech Mechanical Company, Inc. dba Intech Automation for the POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22-031) (“Project”);

4. Authorizes the City Manager, or their designee, to execute the contract upon the receipt of information required by the contract; and

5. Authorizes staff to expend up to an additional 7.5% for unforeseen construction contingencies for timely completion of the Project.

PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF MONTEREY this _____ day of _______, 202_, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

APPROVED:

ATTEST:

Mayor of said City
City Clerk thereof
Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 6, Packet Page 32 City of Monterey
Finance Department
Rafaela King, Finance Director
580 Pacific Street, Monterey, CA 93940

EVALUATION TABULATION
General Solicitation - REBID: POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22-031)

Page 1 ends

EVALUATION TABULATION
GEN No. TBD
REBID: POM-Var Bldgs Replace NAE NCE Controller (POM 22-022, POM 22- 031)
RESPONSE DEADLINE: December 17, 2024 at 2:00 pm
Tuesday, December 17, 2024

SELECTED VENDOR TOTALS
Vendor Total
Intech Automation $474,821.00

BID SCHEDULE
Vendor Total
Intech Automation $474,821.00
ATTACHMENT 2
Council Regular Meeting, 1/21/2025, Item No. 4., Item Page 7, Packet Page 33 Council
Agenda Report
FROM: Hans Uslar, City Manager
Prepared By: Clementine Bonner Klein, City Clerk
SUBJECT: 1
st Reading of an Ordinance Extending Elected Officials’ First Ethics Training Deadline by 30 Days, and Requiring Electronic Filing of Campaign Finance Disclosure Statements (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
RECOMMENDATION:

That the City Council pass to its second reading an ordinance that would update Monterey City Code, Chapter 2, Article 1 (Administration, In General) to extend the deadline for ethics training for newly elected officials by 30 days and to require electronic filing of campaign finance disclosure statements.

VALUE DRIVERS:

Foster a local government that is transparent and collaborative; and solicits, welcomes and appreciates input from all.

POLICY IMPLICATIONS:

California Gov. Code sec. 53235.1 (“AB 1234”) requires that local agency officials that receive compensation or reimbursement for actual and necessary expenses in the performance of official duties shall receive at least two hours of training in general ethics principles and ethics laws within one year from the first day of service with the local agency, and thereafter every two years. Monterey City Code currently requires that City Councilmembers receive their initial training within their first 30 days.

The Online Disclosure Act of 1997, enacted as a chapter of California’s Political Reform Act, provides that local government agencies may adopt an ordinance to require elected officers, candidates, and committees to file most required campaign statements online or electronically. (CA Gov. Code sec. 84615)
CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

There are no fiscal implications related to the suggested action.

The Fair Political Practices Commission offers a cost-free online training program for local officials. The course may be accessed via this link: https://localethics.fppc.ca.gov/login.aspx The City already utilizes electronic filing and administration services relating to Fair Political Practices Commission (“FPPC”) Statements of Economic Interest (Form 700) and campaign statements under contract with NetFile, Inc. at an annual cost of $3,960 for over 250 filers.

Date: 1/21/2025
Item No.: 5.

Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 1, Packet Page 34 №10/24
ENVIRONMENTAL DETERMINATION:

The City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA)(CCR, Title 14, Chapter 3 (CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or any reasonably foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability.

ALTERNATIVES CONSIDERED:

The Council could opt not to extend the assuming office ethics deadline by 30 days for first-time elected members or it could select a different deadline, and/or could opt not to require electronic campaign filing.

DISCUSSION:

Proposed Extension by 30 Days of Elected Officials’ First Ethics Training Deadline State law requires that local agency officials receive at least two hours of training in general ethics principles and laws within one year from the first day of service with the local agency, and thereafter every two years. The Monterey City Code is more restrictive than state law and requires that members of the City Council taking office for the first time complete the ethics training within their first 30 days, instead of within one year. This is beneficial as it helps ensure that each new member receives important information much sooner than is required by the State.

However, the League of California Cities (“Cal Cities”) holds a Mayors and Councilmembers Academy in January following each election. Most new members of the Monterey City Council attend this academy, which includes in-person ethics training conducted by a panel of experts that meets the State requirements and allows for questions and answers. Cal Cities’ academy is typically offered more than 30 days after Monterey’s newly elected members are sworn into office in December. This means that to meet the City’s current training deadline, new members must receive the ethics training, typically in a generic online format, shortly before attending the academy, and then if attending the academy may be immediately in the position of taking the training again at the event as it is a core part of the academy schedule.

Understanding that the Cal Cities academy’s live training format would be beneficial to many learners, City staff proposes extending the deadline for new members to allow them to complete their initial required ethics training within their first 60 days in office, rather than within their first 30 days.

Proposed Requirement to File Committees’ Campaign Statements Electronically In September of 2019, the City Council adopted an ordinance allowing electronic filing of campaign statements pursuant to the regulations of the Online Disclosure Act of 1997. As introduced, the draft ordinance presented electronic filing as “opt-in,” in other words, stating that Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 2, Packet Page 35 №10/24
electronic filing (“e-filing”) was not default but was an option available to a filer. The City Council approved the ordinance but amended it, stating efficiency as a goal, instead making the e-filing “opt-out” to motivate filers to file electronically. Since that time, required FPPC Recipient Committee Campaign Statement (Form 460) statements have been filed electronically in election years as follows: 70% e-filed in 2020, 73% e-filed in 2022, and 81% e-filed in 2024.

The benefits to the City’s committee campaign filers of filing electronically include that the efiling system automatically calculates reportable totals and requires entries in specific fields, thereby reducing user errors; retains all previous filings and data, carrying over totals to the next filing and allowing easy access to records; and provides for compliance with reporting requirements from the home or office for free at any time of day. Also, the searchability of contributions in an electronically filed Form 460 enhances an elected official’s capacity to review and disclose any information required by the Levine Act.

The benefits for City staff of receiving electronic filings include a reduction in the time spent on manual processes for paper filings that are completed by the City Clerk’s office, including scanning, redacting personal information, uploading scanned statements to the public portal, and filing paper originals. In addition, there is a reduction in the time spent administering required form amendments with filers, because user errors are much reduced with electronic filing. All such reduction in manual processes by City staff is also a benefit to the taxpaying public, as it frees staff up to focus on other important services.

The benefit to all with regard to the environment is a reduction in paper use, which is consistent with the City’s sustainability initiatives.

Lastly, the transparency benefit to the public is arguably the strongest reason for the Council to consider requiring electronic campaign filing. The e-filing system includes a public portal that provides access to view redacted statements in real time as soon as submitted electronically by the filer or uploaded manually by staff, and all individual data entered in electronic filings may be searched in the portal’s Advanced Search query. For example, the voting public may search the database of electronically filed disclosures for specific contributors, vendors, occupations, employers, and intermediary transactions, and for transactions within a specific date period and/or between specific dollar amounts. This valuable information is only searchable for those forms that were filed electronically, because paper filings, while available for viewing, are scanned copies comparable to images. The otherwise high value of the searchable campaign contribution and expenditure data is reduced so long as the electronically filed forms do not make up 100% of filings.

Recommendation
It is staff’s view that it would be beneficial to allow newly elected officials the ability to receive their first required ethics training in person with the opportunity to ask questions, while still requiring the training soon after taking the oath.

Staff also believe that requiring contribution and expenditure data to be electronically filed, thereby making it available to the public in a searchable format, is in line with the Council’s embrace of campaign finance reform, transparency, efficiency, and sustainability initiatives.

It is recommended to pass the attached draft ordinance to a second reading.

HU/cbk
Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 3, Packet Page 36 №10/24
Attachments: 1. Draft Ordinance
Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 4, Packet Page 37 ORDINANCE NO. ____ C.S.

AN ORDINANCE OF THE COUNCIL OF THE CITY OF MONTEREY
№09/24
EXTENDING ELECTED OFFICIALS’ FIRST ETHICS TRAINING DEADLINE BY 30 DAYS,

AND REQUIRING ELECTRONIC FILING OF CAMPAIGN FINANCE

DISCLOSURE STATEMENTS
THE COUNCIL OF THE CITY OF MONTEREY DOES ORDAIN, as follows:

SECTION 1:

WHEREAS, California Gov. Code sec. 53235.1 (“AB 1234”) requires that local agency officials receive at least two hours of training in general ethics principles and ethics laws within one year from the first day of service with the local agency, and thereafter every two years, and the Monterey City Code is more restrictive than state law by requiring that members of the City Council receive their initial ethics training within their first 30 days; WHEREAS, while it is beneficial to continue to require newly elected officials to take their first local ethics training sooner than required by State law, it is desirable to allow newly elected officials 30 days longer to do so, in order to maximize the learning options available to the member;
WHEREAS, the California Online Disclosure Act of 1997 provides that local government agencies may require elected officers, candidates, and committees to file most required campaign statements online or electronically (CA Gov. Code sec. 84615); WHEREAS, the Monterey City Code currently encourages electronic filing of committee campaign statements but does not require it;
WHEREAS, the Monterey City Council hereby finds, pursuant to Government Code section 54615(b), that the electronic filing system operates securely and effectively and does not unduly burden filers;
WHEREAS, paper campaign statement filings require the consumption of paper, which is undesirable and can be avoided;
WHEREAS, paper campaign statement filings require manual processes that reduce efficiency, and introduce a delay in online visibility to the public as compared with electronic filings;
WHEREAS, electronic filing of committee campaign statements reduces filing errors and provides immediate and powerfully searchable transparency to the public, but the otherwise high value of searchable campaign contribution and expenditure data is reduced so long as the electronically filed forms do not make up 100% of filings; WHEREAS, requiring all contribution and expenditure data to be electronically filed is in line with the Council’s embrace of campaign finance reform, transparency, efficiency, and sustainability initiatives; and
Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 5, Packet Page 38 WHEREAS, the City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA)(CCR, Title 14, Chapter 3 (CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or any reasonably foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability; NOW THEREFORE, the Monterey City Council declares as follows:

SECTION 2: The above recitals are true and correct and are hereby incorporated and adopted as findings of the City Council as if fully set forth herein.

SECTION 3: Monterey City Code, Chapter 2, Section 2-1.03, is hereby amended to read as follows:
“Members of City Council who are compensated for their service or reimbursed for expenses undertaken in the performance of official duties shall take two hours of training in ethics principles and laws every two years as required by Government Code Sections 53234 through 53235. The training shall occur, and a signed certificate of completion filed with the City Clerk, within 60 calendar days of assuming office, and every two years thereafter.

The City Clerk shall report a member’s noncompliant status within five working days after the compliance deadline to the Finance Department and the City Manager. During a period of noncompliance, all compensation paid pursuant to City Code section 2-1.06 and expense reimbursements shall cease. Salary and expense reimbursement shall resume when compliance is obtained, but the member shall not be paid for any service or expense undertaken during the period of noncompliance.” SECTION 4: Monterey City Code, Chapter 2, Section 2-1.04(a) is amended to delete the definition of “Political Reform Act.”
SECTION 5: Monterey City Code, Chapter 2, Section 2-1.04(b), “Electronic Filing System,” is hereby amended to read as follows:
“1. Each filer required to file campaign finance disclosure statements shall file such statements using the electronic filing system according to procedures established by the City Clerk. These procedures shall ensure that the electronic filing system complies with the requirements set forth in Section 84615 of the Government Code, as may be amended from time to time.

A. Exceptions. Compliance with subsection (b)(1) is optional when:
i. A filer receives contributions totaling less than two thousand dollars ($2,000), and makes expenditures totaling less than two thousand dollars Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 6, Packet Page 39 ($2,000) in a calendar year, in which case a paper format statement may be filed pursuant to subsection (b)(3).
ii. An original statement is required to be filed with the Secretary of State, in which case a paper format copy of the statement may be filed with the City Clerk pursuant to subsection (b)(3).

2. Any filer who has electronically filed a statement with the City Clerk using the electronic filing system is not required to file a duplicate paper copy of the same statement with the City Clerk.

3. In the event that a particular type of statement is not authorized, available, or required by state law or the City Code to be electronically filed, a filer may file that statement in paper format with the City Clerk.”
SECTION 9: All ordinances and parts of ordinances in conflict herewith are hereby repealed.

SECTION 10: This ordinance shall be in full force and effect thirty (30) days from and after its final passage and adoption.

PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF MONTEREY this _____ day of _______, 202_, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

APPROVED:

ATTEST:

Mayor of said City
City Clerk thereof
Council Regular Meeting, 1/21/2025, Item No. 5., Item Page 7, Packet Page 40 Council
Agenda Report
FROM: Andrea Renny, Public Works Director
Prepared By: Rex Van Slyke, Fleet Manager
SUBJECT: Authorize an Appropriation of $96,432.35 to Purchase and Upfit One (1) New Fire Utility/Command Truck (Not a Project Under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
RECOMMENDATION:

That the City Council adopt the attached resolution:

1. Authorizing the Finance Director, or their designee, to appropriate $96,432.35 from the Equipment Replacement Fund’s retained earnings account (705-2721) to the Equipment Replacement Fire Department Account (705-110-1130-2530-4503);

2. Approving the purchase of one (1) new Fire Utility/Command Truck from Winner Chevrolet in the amount of $58,986.06; and

3. Approving the upfitting of one (1) new Fire Utility/Command Truck from Lehr in the amount of $32,946.29.

VALUE DRIVERS:

Provide sufficient resources and support to develop, retain, and recruit a high quality city workforce.

POLICY IMPLICATIONS:

This action is consistent with Council’s strategic priority to carefully manage City revenues and expenditures which support the delivery of City services.

This action is also consistent with policy requiring Council approval of agreements exceeding $75,000.

CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

There are sufficient funds in the Equipment Replacement Fund’s retained earnings account to fund this appropriation. The vehicle will be purchased from Winner Chevrolet of Elk Grove, utilizing a cooperative purchasing agreement (“Piggyback”) through State Contract #1-22-23- 20D. The Finance Department approved this piggyback purchase on July 11, 2024. The Date: 1/21/2025
Item No.: 6.

Council Regular Meeting, 1/21/2025, Item No. 6., Item Page 1, Packet Page 41 №10/24
upfitting will be purchased from and completed by Lehr Auto, utilizing a piggyback, contract No.

SCN106312 approved by the Finance Department August 7, 2023.

ENVIRONMENTAL DETERMINATION:

ALTERNATIVES CONSIDERED:

Council could choose not to authorize this appropriation and purchase; however, this is not recommended. Without approval, Fire personnel will have to utilize the current older vehicles for fire incident deployments throughout the State.

DISCUSSION:

The new utility truck will support daily operations for the Monterey Fire Department (moving personnel and equipment for training, special events, etc.) and provide a better equipped vehicle to support of the California Mutual Aid System, which is reimbursed by the California Office of Emergency Services (Cal OES).

The current utility truck (6491) is fourteen years old and has over 88,000 miles. This 2010 Ford F-350 XL Super Duty utility vehicle has experienced recurring mechanical issues during fire incidents, often requiring repairs on-scene or upon return to Monterey. This has negatively impacted its reliability for emergency response. Additionally, it is the department's only fourwheel drive utility vehicle dedicated for fire operations.

In recent years, the Fire Department incurred expenses by renting vehicles for out-of-county incidents due to the unavailability of a reliable four-wheel drive option. Acquiring a dedicated utility vehicle for these deployments will eliminate rental costs and generate revenue for the department. Based on the FY25 daily rental rate of $265 (with projected annual increases), and assuming five deployments averaging fourteen days each, the new utility vehicle will generate sufficient revenue to offset its acquisition cost in approximately five years. A detailed cost analysis is provided below:

Days Daily Rate Deployments Total Multiplied by 5 Years 14 $265 5 $18,550 $92,750
The new utility truck will be upfitted with equipment, radios, and lighting to provide a safe and secure way to travel with equipment and function at all types of incidents.

AR/rvs/dt
Council Regular Meeting, 1/21/2025, Item No. 6., Item Page 2, Packet Page 42 №10/24
Attachments: 1. Resolution
e: Andrew Miller, Fire Chief
Rafaela King, Finance Director
Wendy Davies, Finance Manager
Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 6., Item Page 3, Packet Page 43 RESOLUTION NO. __-___ C.S.

A RESOLUTION OF THE COUNCIL OF THE CITY OF MONTEREY
№011/24
AUTHORIZING AN APPROPRIATION OF $96,432.35 TO PURCHASE AND UPFIT ONE (1)

NEW FIRE UTILITY/COMMAND TRUCK
WHEREAS, the City wishes to enter into a contract with Winner Chevrolet under California State Bid (DGS) Contract #1-22-23-20D, utilizing the accepted “piggyback” purchasing process (Monterey City Code 28-14) for the purchase of one new Chevrolet 2500 Crew Cab utility truck for the Fire Department;
WHEREAS, the City evaluated the procurement process utilized by California Multiple Award Schedule and determined it to be an acceptable “piggyback” purchasing option allowing the City to utilize multi-agency pricing. The Finance Department approved the “piggyback” request on July 11, 2024 for the vehicle;
WHEREAS, the City wishes to utilize Lehr Auto for the upfitting of the new Chevrolet 2500 Crew Cab utility truck. The Finance Department approved the “piggyback” request on August 7, 2023 for upfitting;
WHEREAS, sufficient funding is available in the Equipment Replacement Fund’s retained earning account (705-2721). An appropriation of funds to the Equipment Replacement Fire Department Account (705-110-1130-2530-4503) is necessary to complete the purchase; and
WHEREAS, the City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CCR, Title 14, Chapter 3 (CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project. Because the matter does not cause a direct or any reasonably foreseeable indirect physical change on or in the environment, this matter is not a project. Any subsequent discretionary projects resulting from this action will be assessed for CEQA applicability;

NOW, THEREFORE, BE IT FURTHER RESOLVED BY THE COUNCIL OF THE CITY OF MONTEREY that it hereby:

1. Authorizes the Finance Director, or their designee, to appropriate $96,432.35 from the Equipment Replacement Fund’s retained earnings account (705-2721) to the Equipment Replacement Fire Department Account (705-110-1130-2530-4503); and Council Regular Meeting, 1/21/2025, Item No. 6., Item Page 4, Packet Page 44

2. Approves the purchase of one (1) new Fire Utility/Command Truck from Winner Chevrolet in the amount of $58,986.06; and

3. Approves the upfitting of one (1) new Fire Utility/Command Truck from Lehr in the amount of $32,946.29.

PASSED AND ADOPTED BY THE COUNCIL OF THE CITY OF MONTEREY this _____ day of _______, 202_, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:

APPROVED:

ATTEST:

Mayor of said City
City Clerk thereof
Council Regular Meeting, 1/21/2025, Item No. 6., Item Page 5, Packet Page 45 Council
Agenda Report
FROM: Nat Rojanasathira, Assistant City Manager
SUBJECT: Receive Update on the 2025 City Staff Work Program (Not a Project under CEQA Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
RECOMMENDATION:

That the City Council receive an update on the 2024 City Staff Work Program.

VALUE DRIVERS:

Foster a local government that is transparent and collaborative; and solicits, welcomes and appreciates input from all.

CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

POLICY IMPLICATIONS:

Receiving an update on the 2025 City Staff Work Program supports the Council’s value driver of “fostering a local government that is transparent and collaborative; and solicits, welcomes, and appreciates input from all.”
FISCAL IMPLICATIONS: None.

ENVIRONMENTAL DETERMINATION:

ALTERNATIVES CONSIDERED:

The City Council could choose not to receive an update on the 2025 City Staff Work Program; however, this is not recommended.

Date: 1/21/2025
Item No.: 7.

Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 1, Packet Page 46 DISCUSSION:

Twice a year, the City’s executive team and staff refine its list of major initiatives and priorities.

The City Staff Work Program is made up of short and long-term policies, programs, and projects that are not part of the City’s routine service delivery. Each work program item falls into one of the City’s Strategic Priorities. These are typically presented to the City Council in January and August.

The City Staff Work Program has been updated for 2025 and will be presented to the City Council at its regular meeting on January 21, 2025.

This discussion is part of a regular effort of the Monterey City Council to review and discuss the City’s priorities for the year, which have taken place since 2020.

The City has established cascading goals, where the:
 Vision is a description of Monterey’s “desired future,”  Mission identifies the role of the City of Monterey in pursuing the City’s Vision;  Value Drivers identifies what is important to the community to support the City’s Mission;  Strategic Priorities describes how the City can advance its goals in support of the Value Drivers; and the
 City Staff Work Program is a set of specific program, policy, or projects that support the City’s Strategic Priorities.

After the City Council’s review of the City Staff Work Program on January 21, 2025, the City Council will have an opportunity to provide its perspectives on the priority work program areas, as well as discuss and adopt its Value Drivers and Strategic Priorities at its Council Workshop on January 29.

Attachment: 1. 2025 City Staff Work Program, Updated January 2025 Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 2, Packet Page 47

CITY OF MONTEREY
Vision, Mission, Value Drivers,
Strategic Priorities, and
2025 City Staff Work Program
Monterey City Council
January 2025
Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 3, Packet Page 48

CITY OF MONTEREY
Vision, Mission, Value Drivers, Strategic Priorities, and 2025 City Staff Work Program Updated January 2025

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Vision Statement
"Monterey: A beautiful, special place to live, work, and visit. Anda!” ______________________________________________
Mission Statement
"In partnership with our entire community, the Monterey City Council provides visionary leadership ensuring a safe, healthy, historic, economically vibrant, and sustainable environment."
Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 4, Packet Page 49

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Value Drivers
The Value Drivers are numbered for reference only, not in order of importance.

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Value Driver #1: In collaboration with our community partners, work to improve the quality of life of all of our community members by fostering diversity, equity, and inclusion; championing equitable access to affordable housing; and maintaining a safe environment.

The Council is committed to ensuring Monterey retains its special character, which derives from its heritage, size, and location. The Council also is committed to ensuring that Monterey is a safe, affordable, and inclusive place to live, work, and visit. Diversity, equity and inclusion, affordable housing, public safety, and community collaboration are cornerstones contributing to Monterey’s quality of life.

Quality of Life Strategic Priorities:

Ensure the health and wellness of the community through emergency operations, clear communication with the public, issuing emergency orders as necessary, adopting eviction protections, hosting blood drives, and providing food security.

Health & Wellness Strategic Priority - Staff Work Program Efforts:
 Support food security by working with community partners to provide meals to individuals and families in Monterey during the holiday season.

The City of Monterey, led by our Monterey Recreation division, distributed over 2,200 meal kits (for 2-4 as well as 6-8 people) plus 800 sandwich meals between the two meal drives in November and December 2024. Staff also coordinated over 100 home deliveries with Monterey Fire and Police as well as Seaside and Marina Fire Departments. Overall, we served over 15,200 individuals at both food drives. This would not have been possible without the support of the City Team (Monterey Fire, Police, Streets, Public Works Engineering, and Parks) and our partnerships with the Food Bank for Monterey County, the Kiwanis Club of Monterey, and the Defense Language Institute. This was the fifth year in a row that the City supported holiday meal distribution efforts.
 Provide important nutritional services for Senior Citizens at Scholze Park Center.

Ongoing programs include Meals on Wheels programs and a weekly Produce Pick Up.

The City distributed 5,531 meals for seniors in 2024. In partnership with the Food Bank for Monterey County, the City served 5,572 people through the walk-up produce distribution program at Scholze Park Center in 2024.
 Support the Meals on Wheels Program.

The City’s Community Development Block Grant Program provided $11,900 in funding to support the Meals on Wheels Program in FY 2024-25, consistent with a typical Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 6, Packet Page 51

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program year.
 Continue to offer monthly blood drives at Hilltop Park Center in partnership with the American Red Cross.

For 2024, the City offered 13 blood drives and helped collect 376 pints of blood in partnership with the American Red Cross.
 Engage the public on a potential ordinance restricting smoking in multi-family housing units.

This has not been established as a City Council priority and is therefore recommended to be removed from the City Staff Work Program.
 Track and manage funds from the City’s share of the nationwide opioid litigation settlement of $26 billion reached with the three largest pharmaceutical distributors and the parent corporation that manufactured and marketed opioids.

The City receives and tracks approximately $35,900 per year, a total of roughly $647,600 over 18 years –which the City can use to combat substance abuse and related issues.

Recognize that public safety is a priority to ensure that our City is safe and welcoming to all, contributing to our economic vitality as a destination City.

Public Safety Strategic Priority - Staff Work Program Efforts:
● Complete the Standards of Coverage and Community Risk Assessment Study and explore opportunities to regionalize and improve fire services effectiveness.

The study was completed and presented to the City Council in May 2022. Future discussions about regional fire services and coverage will continue with the communities on the Monterey Peninsula in 2025. The City of Monterey is discussing with the City of Carmel-by-the-Sea on potentially transitioning ambulance staff from Carmel to the City of Monterey, or exploring a regional joint powers authority model. ● Strengthen the Fire Department’s Paramedic Program by expanding services to contract cities.

The City of Pacific Grove’s City Council approved the costs for a paramedic program in its FY25 budget. In August 2024, the City of Monterey and the City of Pacific Grove agreed to amend the current fire services agreement to add paramedic (Advanced Life Support, or ALS)) level service to the City of Pacific Grove. ● Staff the ladder truck with ALS-level service where possible.

The ladder truck is now staffed at ALS-level service on an as-available basis with the Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 7, Packet Page 52

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goal for the department to become a full ALS department in the future. ● Work with regional public safety partners to ensure fire and emergency service coverage among responsible agencies along the Monterey-Salinas Highway (Highway 68) Corridor.

Effective October 1, 2023, the City of Monterey entered into a new agreement with the Monterey Peninsula Airport District for the City to provide fire services to the Airport. As identified in the Standards of Coverage report, with the relocation of the Airport fire station from the South side to the North side, response times are impacted. The City of Monterey has been in discussions regarding potential fire station development plans near the Highway 68 corridor. Continue working with our regional public safety partners who are jointly responsible for providing service in this corridor (City of Monterey, Monterey County Regional FPD, Cypress FPD, and Monterey Peninsula Airport District) on this collaborative opportunity.
● Build capacity and support in the Fire Department’s Fire Prevention, Operations, and Administration Divisions.

A second Assistant Fire Chief position was added to the Fire Department in June 2024, which supports the Standards of Coverage study recommendations. ● Replace the aging Fire Department fleet.

The City took delivery of two new Type 1 (structure) engines and one Type 3 (wildland) engine in 2021. Two command vehicles were ordered and received in 2023. The City Council approved the purchase of a Pierce 107’ tractor-drawn aerial truck for $1.7 million in October 2022, and it is expected to arrive at the end of 2025. The Urban Search and Rescue (US&R) truck and trailer were received in 2024. The City Council approved the purchase of a Type 1 (structure) engine to replace the first out downtown engine in 2024, and it is expected to arrive in 2027. Two prevention vehicles were approved and arrived in FY25. The State of California replaced the current 2006 Office of Emergency Services (OES) engine with a brand new 2024 type 1 (structure) engine in 2024 for local and statewide responses.
● Implement an Automated License Plate Reader (ALPR) system.

The MPD provided an ALPR informational presentation to the Council in November 2023, held town hall meetings in January and February 2024, and the Council approved the MPD ALPR program on April 2, 2024. The MPD returned to Council on September 17, 2024 for approval of the contract for procurement with Flock Safety. The ALPR cameras started being installed in November 2024 and the system was functional at the end of December 2024. Additional cameras that are to be located on state or private property will be installed in early 2025. The MPD webpage includes a Flock camera transparency portal that includes information about the camera system, a map with the camera locations, the MPD ALPR policy and other pertinent information. The MPD will provide an update to Council in April 2025.

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● The Monterey Police Department will proactively address crime issues.

In 2024 - the MPD responded to over 43,000 calls for service, booked over 1,000 arrests, issued over 1,500 citations, booked over 3,700 items of property, conducted over 4,000 foot patrols, administered NARCAN® for opioid overdoses 12 times, arrested 193 drunk drivers and worked over 8,100 overtime hours to include over 1,100 special event overtime hours. During 2024, MPD Detectives were called out during nonbusiness hours on 10 occasions and were assigned to conduct 272 investigations beyond what patrol officers investigate (death investigations, sexual assault, domestic violence, narcotics, firearm investigations, financial crimes investigations, other serious assault cases, etc.). The MPD is part of the cannabis coordination efforts along with the City Manager’s Office and Planning Office and will assist in regulating the (4) cannabis businesses that will be implemented in 2025.
● Complete the Central Public Safety Facility Study to address the 1959-constructed, aging, and outdated infrastructure at the public safety campus, home to the Fire Administration, Downtown Fire Station 11, Police Headquarters Facility, and the Emergency Operations Center (EOC) Campus.

Staff is expanding the study to explore options in financing and looking for cost-effective solutions. A check-in with the Council will take place in 2025. Gates for the exterior fence around the Public Safety campus have been designed and funded and will be installed in 2025.
● Develop a Local Roadway Safety Plan, a ‘crash data’ driven safety evaluation that develops and prioritizes systemic safety improvements.

The City was awarded grant funding from the Federal Highway Administration in 2023.

In 2024 the City issued an RFP and selected a consultant to develop the Plan. The City is currently conducting community outreach and the plan is in progress and should be completed in 2025.
● Safely manage the multiple special events held in Monterey.

In 2024, the Police Department managed 12 special events spanning 24 days and over 1,100 overtime hours of special event staffing. These events, such as the Monterey Jazz Festival, 4th of July Parade, Monterey County Fair, Car Week, Monterey Bay Half Marathon, and California Roots Festival, are covered by Police Department staff working overtime outside of their normal assignments.
● Conduct an analysis of Fire Service Contracts the City of Monterey provides to other agencies, including the cities of Carmel-by-the-Sea, Pacific Grove, and Sand City, as well as the U.S. Navy at La Mesa Village and the Monterey Peninsula Airport District to review the contract models’ cost recovery and fiscal viability for the City of Monterey.

Began analysis with consulting firm Baker Tilly in late 2022; analysis completed in April 2023. Taking the analysis into consideration, Monterey developed the cost proposal submitted to the Airport in response to their RFP incorporating one of the Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 9, Packet Page 54

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recommendations made in the study. Future cost projections will include the same recommendations.

Prepare for emergencies and support community resiliency Emergency Preparedness Strategic Priority - Staff Work Program Efforts:
 Offer ongoing Community Emergency Response Team (CERT) training and support.

Trained 36 new members in March and April 2023. New member classes are scheduled for October 2023. During the first six months of 2023, CERT teams logged over 750 hours and 184 member responses to 11 activations due to winter storms and missing persons. In 2023, CERT trained 78 new members. In 2023, CERT teams logged over 5,168 hours and 1,050 member responses to training and activations. CERT had a total of 24 activations across geographical areas due to winter storms, power outages, welfare checks, and missing persons. Staff hosted a training in April, May and September 2024 and trained 75 new CERT members. In total, CERT currently has a total of 262 members. The next CERT class is scheduled in May 2025. Since January 1, 2024, CERT has logged about 6,153 hours and 842 member responses for training and activations. There have been 59 total CERT events in 2024 of which 18 were activations for emergency response including 12 searches for missing persons, 4 storm response activations, and 2 structure fire responses. CERT also continues to train monthly on deployment and operations, including winter storm preparedness/response, search and rescue, sandbag operations, traffic control, and firefighter rehabilitation.  Work with the California Department of Conservation to update tsunami signage and education to reflect the newly adopted Tsunami Inundation Maps Tsunami signage provided by the California Governor’s Office of Emergency Services (Cal OES) has been delivered and are expected to be installed at all locations in 2025.  Update the General Plan Safety Element.

At the July 16, 2024 Joint Planning Commission and City Council meeting, the City Council approved and adopted the Monterey 2031 General Plan Update, including an update to the Safety Element. The Safety Element identifies natural and human-made hazards in Monterey as well as measures to promote public safety and effective emergency response and recovery.
 Continue to look for grant funding to upgrade or repair existing infrastructure and maintain resiliency.

Ongoing. Staff is continuously looking for opportunities to leverage Measure S and Measure X funds in order to obtain competitive grants. In addition, staff is exploring Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 10, Packet Page 55

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Rebuilding American Infrastructure with Sustainability and Equity (RAISE), Port Infrastructure Development Program (PIDP), and Promoting Resilient Operations for Transformative, Efficient and Cost-Saving Transportation Program (Protect) grant opportunities for Harbor and Transportation infrastructure. Staff applied for Active Transportation Program grant but was not successful due to the number of points lost in the category of disadvantaged community.
 Continue Fuel Reduction efforts to remove invasive species and flammable understory in greenbelts within and adjacent to City neighborhoods.

Efforts will continue in 2025. In FY2023/24, NCIP funded $750,000 for Forest Management (Fuel Reduction) across the City, including in the Alta Mesa, Fishermen Flats, Monterey Vista, Old Town, and Skyline Neighborhoods. In FY2024/25 NCIP funded $1,000,000 for Fuel Reduction/Forest Management.  Engage and collaborate with various local and federal partners to plan, prepare, and conduct exercises for emergency natural and man-made catastrophic incidents.

The Monterey Police and Fire Departments consistently work with the Monterey County Department of Emergency Management to plan a response to incidents such as Car Week, potential and actual flooding, storms, and weather-related incidents. The Police and Fire Departments participated in active shooter training exercises with the Naval Postgraduate School, FBI, local and state law enforcement partners, the Monterey County Office of Education, the Monterey Peninsula Unified School District, U.S. Coast Guard Station Monterey, and the U.S. Army Garrison Presidio of Monterey. As the 2024 President of the Monterey County Chief Law Enforcement Officer’s Association, the Chief of Police stewarded an overhaul and update to the MOCO County Active Shooter/Active Attacker Protocol, working with all disciplines (law, fire, EMS, OES), private entities and MOCO Office of Education and MPUSD to ensure preparedness. As part of the Urban Search and Rescue Team (US&R), which is a regional resource for disaster response in the Monterey County operational area, the Monterey Fire Department continues to work with North Monterey County Fire, CAL FIRE and Monterey County Regional Fire.
 Collaborate with the U.S. Coast Guard on training exercises.

The City of Monterey continues to participate in a Monterey Bay Search and Rescue (SAR) council through exercises, simulations and other training scenarios with our various partners, such as the U.S. Coast Guard Station Monterey, U.S. Naval Air Station Lemoore, CAL FIRE, Monterey County Drone Team, and other community partners at the Coast Guard Pier. On November 18, 2024, the Monterey Fire Department and the U.S. Coast Guard Air Station San Francisco trained together on Helicopter/Small Boat Crew Familiarization (hoist operations). A second training exercise is scheduled for early 2025. The Monterey Fire Department, along with SAR Council Members, will continue working together in 2025 on updating Monterey County's Coastal Incident Response Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 11, Packet Page 56

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Plan with the County of Monterey’s Department of Emergency Management.  Develop a Community Wildfire Protection Plan.

The City contracted with Dudek to develop the plan. The final report was completed in December 2023 and is posted on the online storymap. The Monterey Fire Department (MFD) presented the plan to the city councils of Monterey, Pacific Grove and City of Carmel-by-the-Sea in summer 2024 . MFD has significantly increased the level and number of defensible space inspections for 2024, and has been working with the City of Monterey Parks Division and Cal Fire on fuels reductions.  Manage efforts to prepare for, respond to, and recover from disasters by managing an effective Emergency Operations Center, including coordination with FEMA, CalOES, Monterey County Department of Emergency Management, City departments, and community stakeholders.

Activated the EOC and responded effectively to the winter rain events in January and March 2023, December 2023/January 2024, and again in January/February 2024.

Received a total of $709,662 in reimbursements from FEMA and CalOES with $243,012 in reimbursements pending from the 2024 storms.

Foster opportunities for the public to stay physically and mentally active through activities and services in our parks, trails, beaches, campgrounds, sports center, and community centers.

Physical and Mental Activity Strategic Priority - Staff Work Program Efforts:
● Implement New (or Reinstating/Reinventing) Programs and Services at Monterey Sports Center.

Use of the Sports Center in FY 2025 is projected to exceed pre-pandemic levels.

Notable new programs or services include:
o Development of a food and beverage services concession at the Sports Cafe. A request for proposals was released in August 2024 and MSC is currently in contract negotiations with a potential vendor. Currently, sales of light snacks, refreshments, and pro shop items such as locks and towels are offered through vending machine services.
o Expanded group fitness programming to over 70 classes offered each week for different ages and abilities, including Yoga, Tai Chi, Bone Builders, Youth Strength Training, Therapeutic Exercise, Aquatic Exercise, and other formats. o Expanded youth, adult, and sports leagues and programs, camps, and youth mentorship training, fitness programming and personal training for all ages and Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 12, Packet Page 57

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abilities, and aquatic programming, including swim lessons and adaptive aquatic programming.
o A cultural event for Dia de los Muertos in conjunction with the extremely popular annual Pumpkin Plunge in October, attracting over 1,000 participants enjoying arts and crafts activities, mariachi music, folk dance performances, food, and more. o Partnering with Montage Health, the Sports Center will offer at least five health and wellness lectures and events in 2025 on topics such as healthy aging, injury prevention, balance development, nutrition, sleep health, and emergency preparedness.
● Organize summer camps and programs that provide opportunities for youth to stay active in City parks and facilities while also providing childcare for working parents.

Total enrollment for all summer camps offered by the Parks & Recreation Department was 2,653 campers, with approximately 332 participants enrolled on waitlists for various camps. Notable programs include:
o Outdoor camp programs for 2024 included Beach Volleyball, Challenger International Soccer, Flag Football, Basketball, Track and Field, Youth Baseball Clinics and Summer Fun Playground Program.
o Offering six weeks of Camp Quien Sabe Youth Overnight Camp program at Toro Park and eight weeks of Whispering Pines Day Camp. Camp Quien Sabe celebrated 71 years this summer. These two camps completed the Summer 2024 season, serving approximately 130 to 140 campers each week. Camp Quien Sabe attendance increased enrollment by 33% compared to Summer 2023. o In 2024, hosted a record summer for the Monterey Sports Center’s Sports Camp and Counselor in Training program with an average attendance of over 100 campers each week for 11 weeks for a total of approximately 1,000 campers. ● Serve individuals and families of all ages at the Sports Center and community (park) centers by offering opportunities for both mental and physical activity.

Offered 513 programs with 41,740 participants in FY 2023/24 through the Recreation Division.
o In 2024, continued restoration and expansion of programs at El Estero, Scholze, and Hilltop Park Centers, and other neighborhoods including Montecito Park, Laguna Grande Park, Casanova Oak Knoll, Villa Del Monte,, programs offered included preschool, ceramics, music instruction, fencing, gymnastics classes and camps, dance classes, Pilates, chess and art classes, as well as specialty camps such as Tiny Tots Summer Camp, Lego, Art and Woodworking Camps. o Offered programs and services at Casanova Oak Knoll Park Center, including the springtime Saturday Pajama Storytime program, the highly popular senior cooking workshop, Spring into Wellness workshop, monthly nature journaling workshops, Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 13, Packet Page 58

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hosted bookmobiles every Tuesday, CERT meetings, and neighborhood meetings, , At Montecito Park, Laguna Grande Park, and Fire Station 13, the City offered STEAM in the Park Program, birdwatching programs, and Donuts with Santa PhotoOp. Staff are planning Family Game Nights at Casanova Oak Knoll Park Center in 2025.
o Offered expanded programs for neighborhoods based on staff capacity and program demand. Activities included STEAM events and story time activities for children in partnership with the Monterey Public Library. Monterey Recreation programs offered for neighborhoods for 2024 included Saturday Pajama Storytimes with the Monterey Public Library and several Guided Birding programs with the Monterey Peninsula Regional Park District. Recreation staff is offered additional programs in partnership with the Monterey Public Library, Monterey Fire Department, MyMuseum, Blue Zones Project Monterey County and the Monterey Peninsula Regional Park District.

The first annual Donuts with Santa event was offered on Saturday, December 7 at Fire Station #13 offering families a photo op with Santa and more family-friendly activities.
o Opportunities for seniors to engage with others socially and physically with activities like Tai Chi, Chi Gong, Watercolor, Drawing and Painting, Bridge, Bingo, Ceramics, Walk the Bay Walking Group, and Line Dancing.
o Spring 2024 included the return of special events and programs for seniors not offered since pre-COVID-19, including the Springtime in Paris Social, Senior Prom, and the play!Monterey Travel Program. The Scholze Park Center will continue to expand activity and program offerings, including luncheons, social events, and trips for seniors based on demand and staff capacity. Programs with Gateway and Hope Services serving adults with special needs returned in 2024. ● Offered special events that foster community.

Events included the Bunny Hop Photo Op +EGGStra Fun, STEAM in Montecito Park, Halloween Movie Night and Trunk and Treat, Pumpkin Plunge and Dia de los Muertos at the Sports Center, Horticulture Fair & Plant Exchange, and Monterey’s Big 4th of July Celebration and Backyard Food Fest. Other events offered for North Monterey for 2024 included a Spring into Wellness event in partnership with Blue Zones Project Monterey County, Kids Eat Right, and the Monterey Sports Center, as well as neighborhood park clean-ups at Laguna Grande. More events for North Monterey were offered in 2024 including a Senior Healthy Cooking Workshop and a new event called Donuts with Santa Photo Op.
● Continue providing support services for seniors.

Continue partnering with the Monterey Salinas Transit Taxi Voucher Program, AARP Smart Driver Course, Aspire Health and Alliance on Aging for Peer Counseling, Tax Prep, Ombudsman, Medicare support, California Connect, and other programs serving seniors 55 and older at the Scholze Park Center. The Alliance on Aging will be Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 14, Packet Page 59

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expanding hours due to a high demand for senior services in Monterey. ● Continue long-term planning and community engagement efforts for the future of the Old Capitol Site.

The Old Capitol Site Park Plan was funded in the 2022/23 NCIP. City Council awarded additional NCIP funding in July 2023. The Park Plan, with the help of BFS Landscape Architects, launched in January 2024 and has included community outreach efforts, significant public input, site surveys, and the development of potential draft concepts.

The Old Capitol Site Park Plan concepts were presented to the Parks and Recreation Commission on July 10, 2024. There are environmentally sensitive areas due to special status species and special conservation areas. The study is scheduled to be presented to Council in 2025.

Provide learning opportunities and foster community connection through the Monterey Public Library
Monterey Public Library Strategic Priority - Staff Work Program Efforts:
 Provide programs for all ages – that inform, inspire, build community engagement, promote reading, celebrate Monterey’s rich past, and support community priorities of economic, mental and physical health, and social justice.

Ongoing. Programs continue in-person as well as Zoom, and partnerships with community agencies continue to support library services and activities inside the library walls and outside in our community.
 Identify funding sources for Library facility renovation in conjunction with the Central Public Safety Facility Study.

Grant funds were received to provide functional and visual updates to the facility.

Updates were completed to the Children’s Area of the Library, including new mobile shelving, a parent-child computer station, themed seating for kids, modifying staff space to create a quiet sensory/lactation space, and new tables and seating in the area.

Community room flooring, ceiling tiles, and lighting has been updated. Two additional privacy study pods have been grant-funded and are bookable by the public for use.  Provide bookmobile services to neighborhoods to library services.

The new bookmobile was funded by California State Library grants and private donors and arrived in January 2024. The Bookmobile regular stops include Casanova Oak Knoll, La Mesa, El Estero Park Center, Hilltop Park, Montecito Park, Park Lane, and Merrill Gardens. The Bookmobile has extended stops to City Preschools at El Estero and Hilltop and pop-up outreach events at community functions. The library provides regular stops to support schools including Bay View Academy’s Upper and Lower Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 15, Packet Page 60

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School campuses, San Carlos School, and Monterey Bay Charter – Foothill Campus.

Ongoing.
 Inspire learning through Arts and Art programming.

The Library has increased Arts programming and began offering MakerSpace activities inside the library. $73,218 raised through MCGives towards Art and Art programs at the Monterey Public Library, with the goal in 2025 to add a mural at the exterior of the library, increase art programs, and create pilot art lending program. Ongoing.  Implement facility enhancements.

Façade improvements partially completed, including landscaping and sidewalk repairs. 2025 goals include exterior improvements, interior upgrades to install new lobby display equipment, upgrades to the Solarium Conference Room, wall paneling for the Community Room, and hanging art system for rotating art in the Community Room. In 2024, sensory room added to the Children’s Area for children and caregivers, updates were completed in the Community Room, and device charging lockers added. Two new ADA compliant privacy booths funded by California State Library added. Continuing through 2025.
 Implement furniture enhancements.

The Library Friends & Foundation have provided funding for new furniture for the Library terrace, public tables and chairs, Children’s sensory space, and small community rooms in the library. Completed. In 2025 the Library will be updating the community room furniture, adding additional charging locations at select tables, and updating furniture in the future MakerSpace.
 Work with local partner agencies or non-profit groups to reopen Etta’s Café.

The library released an RFP for café operations in August 2024 to provide services within the cafe space at the library. The library will be reviewing terms in early 2025.  Restore Six-Days-a-Week Service at the Monterey Public Library.

The Library restored hours on Mondays from 2 p.m. to 6 p.m. to enhance our service to the community in August 2024. The Library is now open six days a week.  Increase Library and Museum programming in the Monterey Public Library and at Colton Hall.

The Library resumed various poetry, music, and art programs in 2023-24. A goal is to increase programs at Museum sites in 2025.
 Expand access to Monterey Public Library through a book vending kiosk.

Add two self-service library book retrieval machines at locations in Monterey. Sites have been identified at Monterey Sports Center and at Montecito Park/Fire Station 13. This will be an outdoor self-contained unit at partner locations, allowing increased access to requested Library materials. The vendor has been identified and is currently in the Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 16, Packet Page 61

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contract stage. Implementation date is mid-2025.
 Increase digital access to California History Room and museum materials.

The Library has received California Revealed grants to digitize historic photographs and will digitize additional collections. The first collection of 1949 Rey Ruppel Monterey Centennial; the second round of Shades of Monterey photos have been made publicly accessible; and other historic photos have been added to our public database. Library has expanded digital access to historic collections through California Revealed, ContentDM, and YouTube. The library has begun digitizing local VHS collections to add to streaming collections and added archive records to the Online Archive of California.

The Monterey Public Library Friends & Foundation have made the California History Room the goal for the 2024 MC Gives project. The Museums collection inventory will move to an online catalog in 2025 to expand awareness of City archival collections Completed and Ongoing.

Respond effectively to neighborhood concerns.

Neighborhood Concerns - Staff Work Program Efforts:
 Work with the Laguna Grande Regional Park Joint Powers Authority to adopt a Laguna Grande Regional Park Trail Maintenance Strategy.

Laguna Grande Regional Park Trail Maintenance Strategy was adopted by the Laguna Grande JPA, City of Monterey, the City of Seaside, and the Monterey Peninsula Regional Park District during the summer of 2023. The Mitigated Negative Declaration and Mitigated Monitoring and Reporting program was also adopted by all four legislative bodies. Agencies filed the Notice of Determination in the summer of 2023. All agencies will continue to develop the scope of permit preparation, permit applications, etc., in 2025. So far, the JPA has engaged with BFS Landscape Architects to shepherd the agencies through the permitting process. Mapping and layout of the wetland delineation has been completed. Coordination with the Army Corps of Engineers and other agencies for permitting applications is currently in progress. Permitting efforts will continue into 2025 and additional funding is likely required. The City of Seaside, City of Monterey, and the Monterey Peninsula Regional Park District also collaborated on programming for the park. In Monterey, the programming schedule includes: Beginning Birding, Bird Walks, How to Use Binoculars for Birding, etc. Classes are extremely popular and most are full with a waiting list.
● Conduct tree mapping and inventory to address the health of Monterey’s forests and greenbelts.

Tree mapping began in 2021 and is ongoing as a part of Forestry operations.

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● Continue the implementation of North Fremont Corridor underground utility projects utilizing Rule 20a funding.

Planning and coordination efforts will continue in FY 25/26 to ensure the City’s Rule 20A work credits received will be fully utilized prior to the December 2033 sunset date of the Rule 20A program.
● Work with Verizon Wireless to discuss mobile phone and emergency calling reliability concerns due to events at the Monterey County Fairgrounds.

Staff is working to address these concerns directly with Verizon Wireless. The company has committed to expanding service on Fairgrounds (State) property to increase service capacity during special events, thereby reducing impacts to surrounding neighborhoods. ● Continue to advocate with Pacific Gas and Electric Company (PG&E) for more reliable electricity service and reductions in power outages.

Staff continues to stay engaged with PG&E staff regarding electricity service reliability.

PG&E has reported that repair work is underway at the Del Monte and Viejo substations in Monterey, which may increase electricity reliability.

Fund projects for the betterment of Monterey’s neighborhoods through the Neighborhood and Community Improvement Program (NCIP).

NCIP - Staff Work Program Efforts:
● Continue funding the NCIP at appropriate levels.

The NCIP is currently funded at 16% of Transient Occupancy Tax (TOT) Revenues.

There are currently 52 prior year active NCIP projects with a budget of approximately $8.3 million with an additional 31 2025 NCIP projects approved and funded by City Council with a budget of approximately $10.7 million. There is also currently $1,581,074 in available funding in the Ending Balance Account and $794,514 in the Contingency Balance Account. In June 2024, the NCIP Committee ranked 80 projects with an estimated cost of $22.4 Million. These ranked projects were presented to City Council for approval and funding on November 19. 2024. The Neighborhood and Community Improvement Program currently consists of 83 projects with a total budget of more than $21 million. City Staff across Public Works, Parks and Recreation, and Forestry completed 16 NCIP projects as of November 1, 2024. These NCIP projects cover a wide spectrum, including traditional public works, streets, sidewalks/paths, parks and recreation facilities, forest management, utilities, historic preservation, storm drainage facilities, and more. Staff seeks to increase the number of contracts available to complete more NCIP projects in a timely manner.
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Value Driver #2: Protect and preserve our natural environment by addressing climate change through ecologically responsible and pragmatic solutions.

The City Council recognizes the necessity of bold, pragmatic, and thoughtful solutions to protect our natural environment for future generations. Community decisions on transportation, land use, sea level rise, coastal protection, forestry, and city government operations can have a positive impact on our environment locally, regionally, and globally.

Protecting Our Environment - Strategic Priorities:

Protect the Monterey Bay National Marine Sanctuary and our environmental assets from pollution.

Monterey Bay National Marine Sanctuary - Staff Work Program Efforts:
● Update the Local Coastal Program (LCP).

The Draft Coastal Land Use Plan is being prepared and is anticipated to be released for public review in July/August 2025. The City submitted a grant to the California Coastal Commission to further evaluate sea level rise and to be included in the LCP. The City was awarded $1.6 million to further study and strategize its options. The study will start in 2025 and is estimated to take two years to complete. ● Require vessel liability insurance for all licensees in Monterey Harbor to reduce Monterey’s liability and better protect the environment in cases involving pollution and salvage incidents related to privately-owned vessels.

Outreach has begun to current vessel owners. An amendment to the City Code is scheduled to take place by June 2025.
● Continue ongoing maintenance of the sanitary sewer system to prevent overflows into the Monterey Bay.

Perform hydraulic cleaning of 104 miles of sanitary sewer twice per year. The Monterey City Council adopted the Sewer Utility Master Plan (SUMP) in June 2024. The sewer collection charges were updated to ensure the effective maintenance of the City’s sanitary sewer system.
● Continue vacuuming debris and refuse from catch basins in commercial areas prior to the storm season to reduce refuse flows into the Monterey Bay.

Completed annually.

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● Implement Stormwater/Water Quality Protection Regulatory Permit activities as well as Sanitary Sewer Collection System/Water Quality Protection Regulatory Permit activities.

Ongoing in 2025.
● Manage the 951 Del Monte Avenue Groundwater Remediation Project, a City property at Window on the Bay Park, with legacy dry cleaning solvent contamination.

The project monitoring is nearly complete and is expected to be finished in 2025. ● Continue ongoing regional and stakeholder partnerships to implement regionallyprioritized stormwater quality capture and treatment project opportunities involving City utility infrastructure, with the goal of better protecting the environment and water quality of local waterways, such as streams, lakes, and the Monterey Bay National Marine Sanctuary.

Ongoing in 2025. Two (2) diversion projects are planned to divert a portion of urban stormwater runoff to the City and regional sewer collection systems for regional treatment and water supply and reuse purposes. The Lake Project will divert a portion of El Estero Lake urban runoff that is otherwise pumped to the Monterey Bay into the sewer system. Similarly, the Olivier Project is planned to divert a portion of the downtown urban runoff, which is otherwise discharged into the harbor and into the sewer system. Both project concepts were identified and prioritized as a part of the regional Stormwater Resource Plan (SRP) within the Monterey Peninsula Integrated Water Resources Management Plan (IRWMP) for implementation as funding became available The City hired Schaff and Wheeler for design services for both projects through an RFP process. The projects are in the environmental planning and preliminary engineering phases. The goal is for both projects to be completed by the end of 2026.

Develop a long-term strategy for Municipal Wharf No. 2 and a sustainable fishing industry.

Sustainable Fishing and Municipal Wharf No. 2 - Staff Work Program Efforts:
● Support sustainable fishing activities
Support local fishers by providing space in the Monterey Fish Processing Facility, threeton crane access, advertising, and space for Fresh Fish Off-the-Boat at the waterfront. area
● Support efforts to remove derelict and abandoned vessels in the Monterey Harbor area.

Applied for and received grant funding from the California Department of Boating and Waterways for the removal of derelict and abandoned vessels. Retrieved a barge that detached from the Monterey Bay Aquarium during winter 2024/25 Storms. Continuing to Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 20, Packet Page 65

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work with the Monterey Bay National Marine Sanctuary (MBNMS) and local stakeholders on developing funding sources for abandoned vessels.
● Continue structural repairs and maintenance efforts for Municipal Wharf No. 2.

Approximately $1.5M in deck and structural repairs were completed in 2024. In 2025, the City will perform structural repairs based on the findings of 2024 Condition Assessment to address the severe and major damage to the wharf. These funded repairs will cost approximately $1.5M.

Continue efforts to reduce greenhouse gas emissions (GHG).

Reduce Greenhouse Gas Emissions - Staff Work Program Efforts:
● Support efforts to expand existing solar energy arrays on City buildings.

Solar array project at the Monterey Conference Center completed in 2018 during the renovation process. There are no solar projects in the pipeline at this time, as California Public Utilities Commission (CPUC) rules changed in 2022 that make these projects less economically viable.
● Continue to implement California’s Short-Lived Climate Pollutants (SB 1383) requirements.

Efforts include outreach, education, monitoring, and enforcement tasks related to organic waste and edible food diversion from the landfill. The City has achieved a 99% compliance rate representing over 1,000 solid waste collection accounts, which include commercial (e.g., restaurants, hotels) and multi-family residential customers. ● Build partnerships and expand capacity in the Sustainability Office to monitor and track Citywide goals to reduce GHG.

GHG monitoring is one of the key elements of a Climate Action Plan (CAP) and updated inventories are completed as part of the process. The City completed these inventories when the 2016 CAP was finalized and has also received updated inventories from AMBAG with the support of 3CE for 2019 and 2020. The CAP that is currently being developed will focus on GHG information for the 2023 calendar year. ● Update the City’s Climate Action Plan (CAP).

The City is working with a consultant to start the update for the CAP in January 2025. An updated CAP is required to comply with the City’s General Plan update adopted in July 2024.

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Expand access to electric vehicle infrastructure and encourage sustainable transportation.

Electric Vehicle Infrastructure - Staff Work Program Efforts:
● Expand opportunities for Electric Vehicle Charging Stations in the Waterfront Lot, parking garages, and parking lots.

The City completed lease negotiations to increase EV charging stations in the Waterfront Lot in 2023. The City began upgrading EV charging stations in City parking garages and lots to the ChargePoint network in fall 2022 for more efficient use of charging stations and cost recovery. The Tesla Destination Charging Stations at the Waterfront Lot has been delayed due to layoffs at Tesla but is now in the design stage after some staff were rehired. Tesla resubmitted plans in December 2024 for consideration. ● Continue to integrate low-emissions and electric vehicles into the City’s fleet.

The City plans to introduce at least six new EVs into the City’s fleet in 2024/25. Limited supply of utility EVs, pricing, reliability, and heavy markups of electric vehicles limits the City’s ability to transition to EV quickly. The City received a Plan Your Fleet grant from Central Coast Community Energy (3CE) to plan for the City’s fleet and infrastructure needs. The City staff has formed an internal Vehicle and Infrastructure Electrification Committee.
● Implement a City-wide Vehicle GPS/Telematics Program.

Development of the program is in its infancy, but necessary to meet new California Air Resources Board (CARB) regulations.

The telematics program is scheduled to be fully implemented by the end of FY25. ● Apply for and collaborate with the Association for Monterey Bay Area Governments (AMBAG) on Federal Grant for EV Charging Infrastructure.

The original collaborative effort with AMBAG to apply for EV charging grants was unsuccessful in 2023. As a result, the City pivoted in 2024 to apply for different grants as an individual city and as part of another regional effort.

In November 2024, the Monterey Bay Air Resources District approved a $200,000 grant request by the City for the installation of eight charging stations (Six Level 2 and 2 Level 3) at the Corp Yard at Ryan Ranch, as well as another $40,000 to assist with the purchase of two new electric vehicles. In January 2025, the City was notified that the Federal Department of Transportation approved a regional grant (Charging Fueling and Infrastructure) for $15 million that will provide assistance in installing EV charging stations in several jurisdictions, including three locations in the City of Monterey, This would include eight charging stations at each location, including the El Estero Park Center, San Carlos Beach Parking Lot, and the Cannery Row Parking garage.

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Value Driver #3: Serve as stewards of the City’s financial resources through sound economic vitality efforts, streamlining operations, reasonable revenue enhancements, visionary long-term planning, fiscal transparency, and community partnerships.

The City Council is committed to balancing economic activity by supporting Monterey’s economic drivers, including but not limited to hospitality, academia, health care, retail, military, and fisheries. The Council also recognizes that continued prudent fiscal discipline helps ensure the high quality of life and services for residents; strategies include appropriate service levels, optimizing City operations, driving innovation that leverages technology and business solutions, ensuring workforce compensation and benefit structures are both competitive and financially sustainable, ensuring appropriate municipal infrastructure needs are addressed, implementing appropriate revenue enhancement opportunities, providing reliable and timely fiscal reporting, and fostering community partnerships.

Fiscal Stewardship - Strategic Priorities:

Carefully manage City revenues and expenditures which support the delivery of City services.

Manage City Revenues and Expenditures - Staff Work Program Efforts:
● Conduct a City-Wide Cost Study Plan to accurately document the true cost of providing services which will incorporate all direct and indirect costs and will be fully compliant with various statutes, including Mitigation Fee Act (GC Sect 66000 et seq.) Proposition 218, the State Controller’s Office Guidelines for Cost Claiming, OMB Circular A-87 Standards, etc.

Solicitation for a Cost Study Plan consultant to begin in January 2025. Consultant work to begin in March 2025 and completion expected by June 2025. ● Review, clarify, update, and simplify the City’s business license processes, including timely collection.

Updates have been completed with revisions to be sent to the City Attorney’s Office for approval and changes to ordinance and city code where necessary. Updating the purchase order process to include a feature that includes the process of business license prior to issuance to be sure that requirement is met timely. Ongoing. ● Review, improve, and implement updated purchasing processes to reflect current best practices, including monitoring outdated encumbrances.

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Expect to be completed in by June 2025.
● Review, and update current finance policies and procedures, to build a Standard Operations Procedures Manual that reflects the most current best practices in the following areas:
o Revenue Collection
o Purchasing Policies
o Capital Improvement Project Accounting
o NCIP Project Accounting
o Short term rental citation collections
o City-wide citation collection
o Grant policies
o Travel polices
o Vehicle and Drivers Policy
o Risk Management policies
o Business License Inspection
Expected to be completed by June 2025.
● Review, improve, and implement updated Purchasing Card processes, including monitoring card limits and adherence to the Purchasing Authorization and Use Policy.

Continuing to refine process. Ongoing.
● Explore existing funding models for lifeguard services at beaches in Monterey.

A new contract with California State Parks was completed effective July 1, 2024.  Develop and Implement a 5-year Capital Improvement Program (CIP) Budget.

On June 5, 2024, City Council reviewed and approved a 5-year CIP plan. This 5-year CIP plan is the community’s vision for short- and long-range development, maintenance, improvement, and building of new infrastructure assets to benefit our residents, businesses, property owners, and visitors. The Plan consists of two parts: the one-year CIP budget, and the capital investment plan (years 2-5). Only the first year of the plan represents a funding commitment for the projects to proceed to the next stage, or to be implemented depending on the level of funding appropriated. The plan is an ongoing effort, and it will continue to get refined with assessments and updated in future budget adjustments and annual budgets.
 Complete a Facilities Condition Assessment
During the summer of 2024, the City contracted with a firm to perform a comprehensive Facilities Condition Assessment. The assessment centered on City buildings, focusing on immediate improvement/repair needs as well as lifecycle replacement requirements.

This assessment will provide a strong roadmap for future prioritization of infrastructure improvements and maintenance. The City is working now on budgetary planning for implementing the recommendations.

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Consider appropriate revenue enhancements to support City services and operations.

Revenue Enhancements - Staff Work Program Efforts:
● Continue the Cannabis Retail Roadmap Implementation.

In late 2023, the City Council adopted the Cannabis Retail Ordinance, and began accepting applications in January 2024. The City successfully issued its first cannabis permit for a temporary special event at the California Roots Festival in May 2024. Four storefront retail cannabis businesses were selected by the City Council, contingent upon the successful obtainment of a zone clearance. Zoning Clearances and Building Permits were issued for two operators located at 724 Lighthouse Avenue and 520-528 Abrego Street in late 2024.
● Implement a Cannabis Business License Tax.

Cannabis Business License Tax was approved by voters in November 2022. The tax could generate between $604,000 to $1.3 million in revenue annually. No updated projections will be available until after the ordinance has passed and the vendors have been selected.
● Implement Modest Fee Increases in Parks and Recreation.

Completed. Reviewed the fee schedule for the Parks and Recreation Department in February 2024 to ensure a balance of providing affordable Recreation programs and services that meet the needs of the community while accounting for the cost of providing the service, enrollment, and surveys of fees for similar services offered in other communities. Fee increases were approved by City Council and went into effect July 1, 2024. Based on FY 24 budget, a 6% to 6.5% increase to total revenue would be approximately $281,331 for FY25.
● Implement Fee Increases in the City’s Marina. Complete an audit and a Marina rate study comparison in FY2024-2025. Make final recommendations to adjust Marina rates to remain competitive in the Central California Market.

Expected date for adjustments is July 2025.
● Contract with a service provider to perform Transient Occupancy Tax (TOT) audits.

Audits for TOT for all city hotels were concluded by July 2024. Finance staff held a general training session with the general managers and accountants of the hotels to bridge the gap of communication after the ordinance is adopted. Finance will continue to hold a general training session annually in the fall. Further the City will go out for a RFP for new auditors to start the audit process again in the Spring of 2025.

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● Develop a comprehensive City-wide process for collection of fines and fees for issued citations.

The City enrolled in the Franchise Tax Board’s intercept program in 2024 and will continue to implement processes to improve the collection rate for fines and fees issued Ongoing
● Develop the Storm Drain Master Plan and conduct a Rate Study.

In late 2024, the City awarded a consultant contract to perform a Proposition 218- compliant Cost of Service Analysis. The Storm Drain Utility Master Plan (SDUMP) will be updated and the rate study refreshed. The City will adopt a five-year schedule of stormwater rates based on revenue requirements developed in the Rate Study.

Restore and establish City reserves at levels that provide fiscal resiliency and the ability to address various economic and natural disasters.

City Reserves - Staff Work Program Efforts:
● Maintain the Fund for Economic Uncertainty at 20% of general fund operating expenses.

The reserve goal is 20% of General Fund operating expenses. The reserve amount as of January 1, 2025 is currently at $20,276,870.
● Conference Center Facilities Reserve Fund.

The goal is a reserve fund of $10 million and a contribution of $750,000 annually.

The balance as of January 1, 2025 is $2,588,739.
● Sports Center Facilities Reserve Fund.

The goal is a contribution of $750,000 per year. The balance as of January 1, 2025 is $2,500,000.
● Pension Reserve Fund to address the unfunded Pension Liability and Other Post Employment Benefit (OPEB) Liability.

Total Pension and OPEB Liability is at $190,774,723 as of the last actuarial date of June 30, 2022. In October 2022, Council adopted a pension reserve fund authorizing annual funding of $1 million to $2.5 million each year. On March 21, 2023, Council approved the establishment of the Section 115 Trust with initial funding of $2 million.

The balance as of January 1, 2025 is $6,000,000.
● Sea Level Rise Contingency Fund (Tidelands).

The goal is a contribution of $250,000 per year.

The balance as of January 1, 2025 is $500,000.

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● City Facilities Reserve Policy.

The goal is a contribution of $250,000 per year. The balance as of January 1, 2025 is $850,000.
● Parking Fund: Parking Garage Facilities Reserve Policy.

The goal is a balance of $500,000. The balance as of January 1, 2025 is $250,000.

Finance is reviewing the retained earnings in the fund to allocate additional funds to the reserve balance.
● Public Safety Facility & Maintenance Reserve Policy.

The goal is a balance of $10 million and a contribution of $250,000 per year.

The balance as of January 1, 2025 is $250,000.
● Library Facility & Maintenance Reserve Policy.

The goal is a balance of $10 million and a contribution of $250,000 per year.

The balance as of January 1, 2025 is $250,000.
 Reserve Maintenance Policy and Follow-Up. The City will contract with a consulting firm to provide additional feedback on all of the City’s reserves to ensure the sustainability and best practices and uses of the funds given the competition for the limit resources. A presentation will be presented to City Council in January/February 2025.  Sewer Line Maintenance Fund and Capital Renewal Fund Reserve Policy.

The Wastewater Rate and Capacity Fee Study established a goal of $1.5 million reserve balance for the Sewer Line Maintenance Fund and a $200,000 reserve balance for the Sewer Main Fund. As of January 6, 2025 the balance is $32,681 for the Sewer Mains Fund for the $223,841 for the Sewer Line Maintenance Fund.

Support business retention and business attraction efforts through partnerships with local business, business associations, and the chamber of commerce.

Business Retention & Attraction - Staff Work Program Efforts:
● Continue collaborative efforts with the business community and business associations.

Continue liaison roles and participation in regular business association meetings between City staff and the City’s business associations: Old Monterey, North Fremont, New Monterey, Cannery Row, and Fisherman’s Wharf.
● Actively participate and engage with business organizations on a regular basis.

Continue participation in meetings with the Old Monterey Business Association, New Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 27, Packet Page 72

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Monterey Business Association, Fisherman’s Wharf Association, North Fremont Business Association, Cannery Row Business Association, and Monterey Peninsula Chamber of Commerce.

Support our military installations (U.S. Army Garrison Presidio of Monterey, Naval Support Activity Monterey, and U.S. Coast Guard Station Monterey) as significant economic drivers in the region.

Support Military Installations - Staff Work Program Efforts:
● Implement a new Preventative Maintenance Plan with our Army partners.

The General Services Division has been successful in hiring most of the new employees the City Council adopted for the FY25 budget. Evaluation of the new Preventative Maintenance Plan will continue through 2025 as a full year of implementation is required to assess the new program’s performance. Currently in negotiations for Option Period Two for the IGSA. As part of the renewed IGSA, the City has been successful at incorporating the Army’s enterprise system (GFEBS) into our processes and continues to work with our military partners in support of their installations. ● Complete the Monterey Bay Military Communities Compatible Use Study in collaboration with the Department of Defense, U.S. Navy, and U.S. Army.

Presented to Council in June 2023 and finalized.
● Continue to support the Monterey Bay Defense Alliance (MBDA).

Sponsored an updated Military Economic Impact Report (MEIR) produced by Matrix Design Group which highlighted $4.9b in economic impact to Monterey County, accounting for 27,475 jobs (10.5% of total employment) and $69m in local tax revenue.

Facilitate an updated SWOT analysis in 2025 to identify areas of focus in light of a renewed BRAC threat from the incoming presidential administration. ● Continue collaboration on State-level advocacy through the California Defense Communities Alliance (CDCA).

Ongoing.
● Continue to support local military families and transitioning servicemembers through participation in the Military Spouse Employment Partnership (MSEP) and the Department of Defense (DoD) Skillbridge Program.

In its first year of participation, the City achieved the level of “highly-engaged” in the Military Spouse Employment Partnership, demonstrating a commitment to military spouses and families in the local area. Through the Skillbridge program, the Housing Office was able to enlist the services of one transitioning servicemember at no cost to the City, providing them with insight into local government operations, and encouraging Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 28, Packet Page 73

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them to get involved in the future. Seek opportunities to expand participation in both programs in 2025.
● Engage with Team Monterey partners to identify collaboration and potential federal funding sources.

Continuing discussions with military partners from the Presidio of Monterey, Coast Guard Station Monterey, Naval Support Activity Monterey, Fort Hunter Liggett, and Fleet Numerical Meteorology and Oceanography Center leaders; and city leaders from Del Rey Oaks, Pacific Grove, and Seaside.

Identify and seek grant funding opportunities for City services and infrastructure, including parks, recreation, library, museums, public safety, fire prevention, and planning.

Grant Funding - Staff Work Program Efforts:
● Seek, solicit, and manage federal, state, local, and nonprofit grants Citywide through a coordinated effort.

In 2024, we received 18 grants totaling $7.83 million. The largest grants were a $2.3 million REAP grant for the MidPen Housing Project behind City Hall, $1.6 million from the Coastal Commission for sea level rise analysis, and $1.3 million from the U.S.

Department of Transportation. Work will continue with our grants consultant in 2024 to help identify, apply for grants, and manage grant efforts across the City organization.

Since December 2022, the City has been awarded eight grants totaling $1,443,471 in funding; currently pending are three grants totaling $1,044,106. The City submitted nine grant applications totaling $2,592,914 that were not awarded. ● Conduct facility repairs at the Monterey Sports Center utilizing California State Parks’ Per Capita (Proposition 68) Grant Funds.

Application submitted in January 2022; Council approved revenue appropriation in December 2022. Projects made progress in January 2023. Studio II windows were replaced; Front doors were replaced with an automatic sliding door; over half of the exterior natatorium doors were replaced. Remaining exterior natatorium doors were installed in fall of 2023. In summer 2024, replacement awnings for the Natatorium doors were completed, and in the Fall of 2024, new awnings for the Sun Deck to better serve birthday parties and special events were installed. Staff is auditing remaining funds and will continue work as funding allows.
● Pursue a grant for renovations at Jack’s Ballpark.

Parks and Recreation has applied for a grant through the Monterey Peninsula Foundation to include: irrigation and natural turf replacement, infield updates, batting case improvements and install dugout sails. If awarded, this grant would be combined Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 29, Packet Page 74

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with NCIP funding to improve park maintenance and safety. ● Pursue California State Library grants.

In 2023-2024, the City received multiple grant from the California State Library to fund library services. Two new Pillar Privacy Booths through the EmPOWERing access grant, backpack lending kits, and California State Parks passes. makerspace equipment facilitated through Pacific Library Partnership. Increased digital collections of California History Room through California Revealed, and Blue Whales education facilitated through the National Science Foundation and STARNET Libraries. ● Pursue State and Federal transportation, infrastructure, and safety grants.

Staff will continue to prepare and submit applications in 2025. The Fire Department was granted a California Office of Traffic Safety grant to purchase extrication equipment for 3 engines in October 2023 valued at $50,257. The Fire Department received a grant for EMS safety equipment from Montage in May 2024 valued at $98,167.23 and a grant for marine safety equipment from the Homeland Security Grant Program in June 2024 valued at $14,901. The Monterey County Urban Search & Rescue Team (US&R) which consists of members from the Monterey Fire Department, Monterey County Regional Fire District and North County Fire Protection District were awarded two grants in September 2024 and 2 grants in October 2024 for equipment and training valued at $164,788. In November 2024, the Monterey Police Department was awarded a competitive grant from the U.S. Department of Justice Office of Community Oriented Policing Services (COPS) Hiring Program (CHP) to add two additional police officer positions, providing $83,333.33 a year for three years. In 2024, the City partnered with the Transportation Agency for Monterey County to apply for an Active Transportation Program Grant for the North Fremont Gap Closure project as part of The Fort Ord Regional Trail & Greenway (FORTAG) project.
● Pursue FEMA Grant funds for Public Safety
Applied for an Assistance to Firefighters Grant (AFG) in February 2022 to replace the emergency alerting system in fire stations. The grant was not awarded. An Assistance to Firefighters Grant (AFG) application was submitted in February 2023 for replacement ladders and thermal imaging cameras. The grant was not awarded. Applied for the AFG grant in March 2024 for funding for employee paramedic training/certification. The grant was not awarded. Applied for Fire Prevention and Safety (FP&S) grant in April 2024 to create a chipper program. The grant was not awarded. Applied for AFG grant in December 2024 for funding for employee paramedic training/certification again. ● Received Local Early Action Planning Grant (LEAP), Regional Early Action Planning Grant (REAP) and Permanent Local Housing Allocation (PLHA) Funds. o REAP and LEAP funds received in 2021 were used to prepare the Housing Element Update and the associated Environmental Impact Report. The Housing Element update was approved by City Council in July 2024.

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o The City issued $110,598 in PLHA funds to MidPen Housing to cover predevelopment costs for the 100% affordable housing project behind City Hall.

Loan paperwork was finalized.
o The City was awarded an additional $2.4M in REAP 2.0 funds in the fall of 2023 to further fund pre-development costs for the 100% affordable housing project behind City Hall.
o PLHA is a 5-year Plan Cycle. The City has applied for additional PLHA funding to assist people experiencing homelessness by funding homeless shelter activities. ● Continue quarterly reporting and reimbursement requests for Wet Utility (Storm & Sewer) Infrastructure Funding opportunities.

Executed agreement with the SWRCB for the $1 million State Budget Appropriation in support of on-going project development efforts with M1W and MPWMD for the El Estero Urban Diversion Project. In January 2024, the City Council approved a grant agreement accepting $500,000 Proposition 1 IRWM Implementation Grant via MPWMD (from CA DWR), as well as $25,000 grant from MPWMD for Local Water Project Development Expenses, in support of ongoing project development of the Olivier Street Stormwater Urban Diversion Project (partners: MPWMD, IRWMP stakeholders, and M1W).
● Apply for the California Department of Boating and Waterways grant funding through the Boat Launching Facilities Program to local public entities for grants to plan, design, renovate, and construct launching ramps and facilities for motorized and non-motorized boats. Monterey Marina operates a public use dock to support launch ramp operations, youth sailing programs, and passenger loading for the general public, K-Dock at the waterfront area. October 2024, COWI Engineering (contractor) produced a summary report to renovate K-Dock and add ADA accessibility for the 260-foot dock.

Estimated costs with contingency is $1,577,000. If approved, the BLF Grant requires matching funds of 25%
● Explore opportunities to receive donations and community support for museums and other community efforts typically provided by nonprofit organizations.

Staff has been in discussions with the Community Foundation for Monterey County to establish ‘Agency Stewardship Funds’ that would receive donated funds for museums, sports center playships, and other programs and facility upgrades.

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Prioritize funding models and sources for facility rehabilitation, repair, and replacement.

Funding Models and Sources for Facility Needs - Staff Work Program Efforts:
● Funded critical projects in the Monterey Sports Center.

Funded key projects. Projects slated for FY25 include dehumidifier replacement, pool replastering, natatorium rehabilitation, etc. The design work for the dehumidifier is complete, and the project was awarded to a contractor. The material won’t be available until March 2025 and construction is expected shortly thereafter. The final specs for the pool re-plastering and natatorium upgrade have gone to bid and scheduled to be awarded in January 2025 with construction to begin in early Spring 2025.. The weight room upgrade was completed in June 2024.The protective coating for the gym and studio floors was completed in fall of 2024.
● Perform a Sanitary Sewer Rate Study.

The Sewer Utility Master Plan (SUMP) project was finalized in 2024. The SUMP identified sanitary sewer infrastructure needs over the next 10 years. This information was used in the Sewer Rate Study which was presented to Council in 2024. New Sewer Rates were approved by City Council in June 2024 following a Proposition 218 process. ● Perform a Storm Drain Utility Master Plan and Rate Study.

The Storm Drain Utility Master Plan (SDUMP) is being updated and the rate study refreshed. The Storm Drain Utility Master Plan will identify storm drain infrastructure needs over the next 10 years and develop cost estimates for the improvements. In late 2024, the City awarded a consultant contract to perform a Proposition 218-compliant Cost of Service Analysis. The City will adopt a five-year schedule of stormwater rates based on revenue requirements developed in the Rate Study. ● Complete the Monterey Conference Center back-up generator install.

Currently in the design phase, bids for a contractor will be sought after in March, who will oversee the install of the generator that will support MCC and the De Anza Ballroom leased to Portola Hotel. Funds are coming from the Capital Improvement Funds that have been set aside for ongoing maintenance and necessary upgrades and repairs.at the Conference Center. Generator expected to be operational for winter 2025 ● Complete the cooling tower replacement at the Monterey Conference Center.

The project was awarded to a contractor and work began in December 2024 with an estimation date of completion in March 2025. Funds for this project are coming from the capital improvement funds that have been set aside for ongoing maintenance and Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 32, Packet Page 77

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necessary upgrades and repairs. Towers expected to be replaced and operational in March 2025.

Track, monitor, and respond to ongoing pension liability costs.

Pension Liability - Staff Work Program Efforts:
● Pension Reserve Policy/Section 115 Trust Update/Actuarial Update. The City will contract with a consulting firm to provide the Council will an update to the City’s Unfunded Accrued Pension Liabilities.

A presentation will be presented to City Council in January/February 2025.

Drive innovation through technology and business solutions that enhance productivity and effectiveness for staff, as well as customer service for the public.

Technology and Business Solutions - Staff Work Program Efforts:
● Complete the cemetery mapping and software enhancements project.

Project began in early 2021, with estimated completion in the second quarter 2025. ● Purchase and implement an online budget software system.

The City purchased an online budget software system from OpenGov. The budget book was posted in September 2024 and the City won an award from GFOA. This project is complete.
● Purchase and implement a new financial software (ERP) system. The system will be able to improve and streamline processes, improve budgeting functions, integrate with human resource functions, and provide more robust reporting.

The City hired SDI Presence to conduct a needs assessment and prepare the RFP for the new financial software ERP system. SDI met with City staff in late May of 2024 and submitted the first draft of the needs assessment in early August 2024. The RFP was released in late 2024. Initial evaluation of submissions will be completed by January 31, 2025. The City anticipates selecting a software system in May 2025. Purchase and implementation should commence in summer 2025. This implementation is projected to continue for three years until a go-live date.
● Implementation of new online permitting portal for Community Development.

The project restarted in January 2024. The Building Division is in the process of Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 33, Packet Page 78

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streamlining the permit workflow with the Information Services Division (ISD) and the vendor. Once complete, ISD and the vendor will begin implementing the capability for citizens to apply for their permits online via the portal, expected to go live by summer 2025.
● Implement City of Monterey mobile application and Customer Relationship Management (CRM) solution to centralize and organize citizen requests and reporting with a City branded solution. Citizens can upload pictures and easily report concerns.

The City has soft launched the City’s online citizen portal, MyMonterey, which allows citizens to submit requests with attachments and search for permits. The City plans to conduct a full launch with a smartphone app by early 2025. ● Purchase and implement a new public computer time management, fee collection, and printing solution at the Library.

A new printing solution has been selected and agreement is being negotiated. The project is scheduled to be completed by March 2025.
● Continue implementation of new parking technology solutions to include expansion of the Automatic License Plate Recognition (ALPR) system and introduce digital permits.

Projects began in 2021 and will continue into early 2025. ● Digitization and online storage of documents and forms in Finance, Human Resources, City Clerk, and Community Development Departments into the City’s enterprise document management system (OnBase) and DocuSign.

Project started in late 2020. Project restarted in December 2024 with the Community Development Department. Estimated completion in Summer 2025. ● Implementation of a new contract management solution in OnBase.

Project restarted in July 2023 with pilot testing taking place in 2024. Additional enhancements added from pilot testing. Anticipated Go live in January 2025. ● Purchase and implement new mobile computers for end-of-life equipment in Fire Department vehicles.

Anticipated completion in first quarter 2025.
● Implement new network infrastructure equipment to replace end-of-life equipment and allow for staff mobility and access to City resources.

Funding allocated in FY23 fiscal budget. The $1.5 million project started in July 2023 and all remote sites have been upgraded as of July 2024. Data Centers will be complete first quarter 2025. by October 2024.
● Evaluate, purchase, and implement a new efficient data storage and backup solution to replace end-of-life hardware.

Funding was allocated in the FY23 fiscal budget and approved by the Council in July Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 34, Packet Page 79

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2022. Project completed April 2023.
● Implement new police telephone call recording system to replace end-of-life equipment.

Funding allocated in FY23 fiscal budget. The City’s upgrade to the new VoIP phone system in summer 2024 supports this effort. Project completed in December 2024, ● Create and implement a strategic plan for the City’s Infor Enterprise Resource Planning (ERP) system for Public Works, Community Development, and Parks & Recreation.

The plan provides for automating services, mobility for field staff, more online services, and collaboration for improved operations. Funding allocated in the FY24 fiscal budget.

Project started in July 2023. Creation of the strategic plan completed in June 2024.

Tasks completed thus far include a data integration with the military system to reduce duplicate entry, clean up of corrupted sewer information, maintenance schedules automated, better reporting, and better ability for customers to report online. Staff currently working on implementation of online payments, City of Seaside military use, and implementation of mobility for field staff. Estimated completion date is Winter 2025. ● Remove the end-of-life technology systems and implement all new technology in the City Council Chambers.

Funding allocated in the FY24 fiscal budget. 95% complete on the design phase of the project. Project is expected to commence in early 2025. ● Remove end-of-life systems and implement new technology in the Emergency Operations Center.

Funding allocated in FY24 fiscal budget. 95% complete on the design phase of the project. Project is expected to commence in early 2025. ● Evaluate existing communications infrastructure to identify opportunities to reduce costs, remove end-of-life hardware, and increase available services to provide robust Citywide Voice Over IP (VOIP) communications.

Funding allocated in the FY24 fiscal budget. The project was completed in December 2024.
● Hire a vendor to conduct cyber security network penetration testing to confirm the City’s network is protected from bad actors.

Ongoing.
● Replace or remove end-of-life multifunction copiers/printers and implement a solution to track printing costs to identify areas to reduce paper use.

A total of 67 devices were replace and 105 end of life printing devices were retired as we reduced printing equipment across the City for a total projected savings of $887,640.

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Project completed in June 2024.
● Evaluate CoPilot, Microsoft Power Apps and Power BI as possible solutions to increase collaboration, provide timely reporting, reduce costs, and increase data transparency.

Funding allocated in FY 2024. Technical staff started training in July 2023 and is ongoing.
● Develop and implement an open GIS data website to provide transparent information to the public on all types of graphical information that is searchable, downloadable, and printable.

The project started in June 2022 and is being worked on as time permits. Ongoing. ● Develop and implement a one-year strategic plan for the City’s Hyland OnBase enterprise content management system with Finance, Human Resources, City Manager, and City Attorney’s departments to identify areas to automate processes, improve services, reduce costs, increase collaboration, increase online services, and digitize work processes to reduce paper consumption.

Funding allocated in the FY24 fiscal budget. The project kicked off in August 2023 and continues through 2025.
● Implement monterey.gov for the City website and email to comply with the State government’s requirement that local governments use a .gov domain by January 2029.

The project started in June 2023. Approval received by the Federal government’s .gov registry in November 2023. The City began promoting monterey.gov in spring 2024 and is expected to complete this project by the end of 2025. ● Implement a Rental Inventory solution.

The City Council adopted the Rental Inventory Ordinance in 2023. Registrations began in January 2024 and continues. To date, 4,200 residential rental units have been registered, and 1,728 units have been exempted, bringing the total compliance rate to

72.9% (based on the estimated 8,130 rental units in the City). ● Purchase and implement new fire station alerting system for Fire Stations 11, 12 and 13.

Solution chosen and approved by Council in December 2024. Agreement negotiations in progress with project start and completion date planned in January 2025. ● Upgrade all City computer systems to Windows 11.

Windows 10 is end of support in October 2025. Laptops have been purchased and are currently being prepared for deployment. Desktop computers coming in spring/summer 2025.

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● Implement 2.9% fee for online payments in City software solutions.

Solution in the process of being integrated with 5 City software systems with anticipated completion date Summer 2025.
● Implement First Arriving Digital Dashboards for the Fire Department.

Solution purchased in Fall 2024 and in the process of being implemented with anticipated completion date in early 2025.
● Implement Artificial Intelligence (AI) Policy and Secure Solutions Draft policy created with all IT staff trained in December 2024. Additional solutions and training for City staff anticipated in early 2025.
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Value Driver #4: Provide sufficient resources and support to develop, retain, and recruit a high-quality city workforce.

The Council knows that the quality of city services correlates directly with the quality of city employees. For that reason, the Council is committed to supporting strategies that ensure Monterey can consistently attract, develop, and retain employees capable of delivering services consistent with their vision for the future of the City, including providing employees with the tools and resources they need to be successful in serving the public.

Develop, Retain, and Recruit a High-Quality Workforce - Strategic Priorities:

Recognize that our workforce is our greatest resource for providing the service that our community deserves by providing city staff with the tools, resources, coaching, and feedback they need to perform well.

Tools, Resources, Coaching, and Feedback for Employees - Staff Work Program Efforts:
 Implement NEOGOV’s HR Performance Management Software to promote employee performance, coaching, and feedback for City employees through a new evaluation process and workflow system.

Implemented September 2024.
 Expand staff development and promotional opportunities for City employees through a new Promotion Pathway – Navigating Workplace Advancement training series.

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New training available on interviewing available July 2025  Provide cost-effective training to employees throughout the City through webinars and in-person training led by legal experts in labor and employment law through consortium membership.

Ongoing
 Digitize all personnel files to enhance efficiency and improve accessibility.

Completed in April 2024 and ongoing
 Provide monthly training and learning opportunities for supervisors, managers, and emerging leaders in the City workforce through the Anda Academy.

Started the Anda Academy in May 2024 as a leadership and supervisor training program exclusively for City employees. Topics have covered the Monterey Way, role of Monterey city government, community development, media relations, conflict at work, human resources, police services, budgeting and finance, risk management, and military partnerships. This program will continue with new sessions every 6-8 weeks in 2025.
 Provide employees with resources on workplace advancement and promotional pathways.

Developed and launched an online training video to help educate City employees on the recruitment process and equip them with contemporary tools and knowledge to be successful in their career aspirations. Topics include learning about promotional opportunities, understanding the job flyer, gaining experience, the application and screening process, testing and exams, oral board interviews, and hiring process.

Implement best practices in Diversity, Equity and Inclusion (DEI) through training, performance, hiring, and recruitment efforts.

Diversity, Equity, and Inclusion - Staff Work Program Efforts:
 Implement recruitment process enhancement to include Bias Awareness Training for Oral Board Raters.

Implemented in April 2024 and Ongoing
 Utilize diverse interview panels to transform our hiring practices and help retain top talent.

Ongoing
 Develop a database of community organizations to advertise recruitments to transform our recruitment outreach and help obtain top talent.

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Ongoing
Foster employee safety and wellness, including the provision of a robust safety program, employee-centric and employee-led Safety Committee, frequent safety tailgate meetings, an efficient vehicle fleet management program, and other efforts.

Employee Safety and Wellness - Staff Work Program Efforts:
 Complete the 12-month employee safety training calendar and finalizing the positionspecific training requirements index.

Estimated completion date is October 31, 2025.
 Continue biennial AB 1825 Harassment Prevention Training required of all employees, volunteers, boards and commission members and City Council.

Ongoing
 Implement the mandated SB 553 Workplace Violence Prevention Plan, administering annual training and maintaining a violent incident log.

Estimated completion of training is March 2025.
 Conduct annual Benefits Fair to educate employees on their options.

Next benefits fair to be held in September 2025
 Organize a biometric screening in collaboration with local healthcare facility to support employee wellness, promote healthy lifestyle awareness, and provide opportunities for early detection of health issues.

Biometric screening to be held in September 2025
 Continue to facilitate wellness initiatives, including the Fitness Activity Program, the Bicycle Commuter Program, and the new provision of enhanced access to our Employee Assistance Program for Safety Employees.

Ongoing
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Provide fair, competitive, and market-rate compensation and benefits to employees through effective labor negotiations.

Labor Negotiations - Staff Work Program Efforts:
 Negotiate 3-year term successor labor agreements with the City’s seven bargaining units that are fair, competitive, and market driven.

New labor agreements negotiated, and are effective through June 30, 2027  Conduct a total compensation study for City positions to ensure competitiveness with comparable agencies.

Completed in 2024 and adjusted salaries accordingly.
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Value Driver #5: Champion regional and local efforts to secure adequate, affordable, and sustainable water sources for the city, now and into the future.

The Council recognizes that access to a dependable supply of fresh water is a significant gating factor that impacts the City’s ability to provide affordable housing and promote economic vitality consistent with the goals described in the City’s General Plan.

Secure Water Sources - Strategic Priorities:

Continue to advocate and lobby on behalf of the City of Monterey’s interests on regional water issues, with an emphasis on securing water for affordable housing projects.

Participate and collaborate in local and regional efforts to identify new water sources and increase local water supply capture opportunities.
 Continue collaborations with the Monterey Peninsula IRWMP and Pure Water Monterey partners to increase capture of urban runoff with a diversion to the regional sanitary sewer collection system for treatment and water supply augmentation that may, in the regional context, assist with future water supply discussions with the State.

Two (2) diversion projects are planned to divert a portion of urban stormwater runoff to Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 40, Packet Page 85

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the City and regional sewer collection systems for regional treatment and water supply and reuse purposes. The Lake Project will divert a portion of El Estero Lake urban runoff, that is otherwise pumped to the Monterey Bay, into the sewer system. Similarly, the Olivier Project is planned to divert a portion of the downtown urban runoff, that is otherwise discharged into the Harbor to the sewer system. Both project concepts were identified and prioritized as a part of the regional Stormwater Resource Plan (SRP) within the Monterey Peninsula Integrated Water Resources Management Plan (IRWMP) for implementation as funding became available The City hired Schaff and Wheeler for design services for both projects through an RFP process. The projects are in the design phase and are at 60%.
 Continue potential collaboration with Marina Coast Water District (MCWD) on additional water supply for the former Fort Ord and other needs in the City of Monterey.

On August 1, 2023, the City Council agreed to have staff continue working with MCWD on potential partnerships to secure additional water for Monterey. Staff are working with MCWD, Monterey Peninsula Water Management District (MPWMD), California American Water, and Monterey One Water to determine options, feasibility, costs, and next steps.

No real progress to report.
 Continue advocacy efforts to secure water for the City of Monterey and the region.

The Mayor and staff participated in a regional meeting hosted by State Senator John Laird, featuring the State Water Resources Control Board staff and regional agencies, to discuss water supply concerns and the existing Cease and Desist Order (CDO).

The City Council also reviewed and supported the Monterey Peninsula Water Management District (MPWMD) proposed allocation of 141-acre feet of water to the City of Monterey as part of the Pure Monterey Expansion Project. MPWMD indicates that this water will be available in 2025. This will be the first major water project for new growth although developers will not be able to set new water meters until the CDO is lifted.

Water & Housing - Staff Work Program Efforts:
 Submit letters to encourage the State Water Resources Control Board to open up water allocations for affordable housing projects.

Letters sent in 2020 and 2021; ongoing. The SWRCB responded in July 2022 that water allocations cannot be given until a replacement water supply is provided.  Collaborate with the California Department of Housing and Community Development (HCD).
 The City Council certified the Monterey 2031 General Plan Update Environmental Impact Report (EIR) and approved the update to the Housing Element (2023- 2031) with revisions on July 16, 2024. The revised Housing Element was made available for public review and subsequently submitted to HCD for Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 41, Packet Page 86

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review/certification on August 5, 2024. HCD certified the City’s Housing Element in October 2024. Additionally, the City Council approved the first required rezones in December 2024. Further implementation of the Housing Element will continue throughout 2025.

Continue to develop and seek funding for City Water Supply-Related Projects and their implementation with regional partners and stakeholders. ______________________________________________
Value Driver #6: Support efforts and policies that provide equitable access to affordable housing in Monterey and the region.

The Council embraces efforts that provide equitable access to affordable housing, including balanced approaches to increase housing supply, rental resources and assistance, and housing rehabilitation grants to homeless, low-income, senior, and disabled individuals.

Affordable Housing - Strategic Priorities:

Support affordable housing through modern zoning policies/ordinances, ADU policies, housing grants, review of density requirements, and consideration of Cityowned sites for affordable housing.

Affordable Housing - Staff Work Program Efforts:
 Adopt an update to the City’s Housing Element and Housing Action Plan.

The City Council adopted the update to the Housing Element in July of 2024. The Housing Element includes a robust Housing Action Plan that details various programs aimed at creating additional opportunities for affordable housing. These programs include revisions to residential development standards, adoption of local density bonus incentives and reduced parking requirements for qualifying projects.

The State of California Housing and Community Development Department certified the Housing Element in October 2024. The City Council adopted the first set of required rezones in December 2024. Further implementation of the Housing Element is planned for 2025 including Citywide objective design standards, adoption of an SB 9 ordinance and the creation of a congregational zoning overlay.
 Support the development of affordable housing on City-owned Sites.

Pre-development activities are underway for the 100% affordable housing project located behind City Hall including environmental and historic review as well as site and building design. The City also received $2.4M in grant funding to further support this Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 42, Packet Page 87

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project.
 Provide the City Council with the requested update on rental units in the City of Monterey.

The City Council received a staff presentation in September 2021 that included an overview of the City’s current housing program and general information regarding Rent Control and Rent Stabilization measures; In February 2022, City Council received a report on Rent Inventory Programs and directed staff to prepare a draft Ordinance; May 2023 City held a Rental Registry Town Hall. The Rental Inventory Ordinance was adopted on November 4, 2023. The City launched the Rental Inventory Program January 2024 and online registrations are now underway. City staff held workshops in the City library to assist people and explain the registration process. In its inaugural year, 4,200 housing units have been registered and an additional 1,728 housing units filed exemptions. In total, 5,928 units are in compliance with the program.  Create guidelines and launch a Monterey Rental Assistance Program.

City staff held a study session to review draft program guidelines for the rental assistance program on February 28, 2024. Final Guidelines were approved by City Council on March 19, 2024 and the program launched on April 12, 2024. The program opens around the middle of each month to allow applicants the opportunity to apply when they might need assistance. In 2024, the Rental Assistance program provided $229,937 to Monterey renters needing assistance.

Address homelessness through programs and partnerships such as the Multidisciplinary Outreach Team (MDOT) and continued support of homeless service agencies through the City’s Community Development Block Grant program such as but not limited to Gathering for Women and Community Human Services.

Homelessness - Staff Work Program Efforts:
 The MPD’s Multi-Disciplinary Outreach Team (MDOT) will continue to work side-byside with various governmental and non-governmental organizations to offer, provide and find solutions for those who are unhoused.

In 2024, the MPD and MDOT offered information on services in every contact they had with those who were unhoused. Council approved a “Homeless Navigator position” to be added to the MPD MDOT team during the FY23-24 budget and a homeless navigator started with the MPD in December 2023 and worked through most of 2024. The MPD homeless navigator was recruited to the new Montage Ohana Center and the MPD is in the process of hiring a new Homeless Navigator starting in early 2025. The MPD also opened the MPD Outreach Center at the Former French Consulate building adjacent to Lake El Estero in 2023 in a waterfront location to better serve the public and the unhoused. In 2024 – The MPD CAT/MDOT Team - abated over 500 illegal Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 43, Packet Page 88

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encampments, provided services to the unhoused 147 times and had services declined 134 times.
 Research the creation of a warming shelter and navigation center for the unhoused in the City of Monterey.

The City Manager’s Office will coordinate the efforts of various City Departments and non-governmental agencies to explore and offer suggested alternatives to create a navigation center in Monterey potentially.
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Value Driver #7: Expand opportunities for people of all ages and abilities to bike and walk safely through active transportation, accessibility, and safety initiatives.

The Council is committed to developing policies and supporting plans that create an environment where people, bicycles, buses, trolleys, and motor vehicles can move through the community safely and efficiently. The City Council also prioritizes pedestrian and bicyclist safety and mobility over driver convenience and continues to value “Vision Zero” strategies of education, equity, engineering, evaluation, and enforcement.

Active Mobility - Strategic Priorities:

Maintain and repair core street, roadway, and storm drain infrastructure.

Street, Roadway, and Storm Drain Infrastructure - Staff Work Program Efforts:
 Continue implementation of the Traffic Signal Adaptive System in order to have all arterials running on the SCOOT system, which reduces greenhouse gas emissions and enhances quality of life.

The Franklin Corridor, the final arterial corridor, will be added to the traffic signal adaptive system by late 2025. The project was bid and awarded to a contractor and is scheduled to begin once traffic signal material is available.  Continue ongoing immediate roadway repairs and or closures, including pothole repair, placing of roadway plates over failing sections of roadway, and placement of traffic control devices for complete closures.

Ongoing
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 Maintain the City’s roadway infrastructure effectively by implementing preventative maintenance strategies.

The City’s Pavement Condition Index (PCI) is 81, which is ranked as very good.

Measure S, approved by Monterey voters in November 2018, has allowed the City to invest in asphalt overlay or road reconstruction efforts needed to maintain the City’s streets effectively.
 Prior to and during storm events, perform catch basin cleaning, outfall clearing, lake level monitoring, and provide sand and sandbags to the City’s Fire Stations for public use.

Ongoing
 Seek grants to fund safety enhancements for pedestrians, bicyclists, and motorists.

Efforts will continue in 2025. Active Transportation Program, Highway Safety Improvements Program, Safe Streets and Roads for All Implementation Program, and Reconnecting Communities grant opportunities will be considered in 2025. In 2023, the City was awarded Safe Streets for All Grant Funding to develop a Local Road Safety Plan (LRSP), which is anticipated to be completed in summer 2025.  Continue implementation of road rehabilitation and storm drain infrastructure, funded through SB 1, Measure P and S, and Measure X.

In FY 25, City staff estimate approximately $4.4M in funding from gas tax/SB 1, $20.8M in funding from Measure P/S, and $5.6M in funding from Measure X. implemented. In FY 25, the City plans to deliver multiple road rehab projects. Street segments include portions of Cass Street, David Avenue, El Dorado Street, Euclid Avenue, Forest Ridge Road, Garden Road, Monroe Street, Ocean Avenue, Ramona Avenue and Taylor Street.

Provide and deploy effective parking facilities, programs, and enforcement tools that support resident, business, and visitor access to various business districts and neighborhoods.

Parking - Staff Work Program Efforts:
 Utilize technology and modern parking tools to digitize the on-street residential parking program to manage and improve on-street residential permit management.

Ongoing. Upgraded to ALPR Enforcement in 2022.
 Standardize and enhance parking lot signage across all off-street public parking lots to ensure consistency and clarity.

Began updating signage in the Waterfront Lot and continuing to make updates throughout City lots. Completion is slated for mid-2025.

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Continue supporting planning and construction efforts for regional trail networks.

Regional Trail Networks - Staff Work Program Efforts:
● Support the Fort Ord Regional Trail and Greenway (FORTAG).

Staff continues to seek grant opportunities for projects that connect to FORTAG within the City of Monterey, along North Fremont Street and Laguna Grande Regional Park. In 2024, the City partnered with the Transportation Agency for Monterey County (TAMC) on a grant application for a portion of the FORTAG trail including a segment on North Fremont. TAMC is currently constructing Phase 1 of the FORTAG Project. ● Seek grant funding and finalize the design for the North Fremont “Gap” Project that connects the City’s bike and pedestrian network to FORTAG.

Staff partnered with the Transportation Agency of Monterey County (TAMC) on an Active Transportation Program Grant which included Phase 2 of FORTAG and the North Fremont “Gap” Project. The application was not successful and Staff is reviewing alternative grant programs and funding options..

Continue to enhance mobility for people of all ages and abilities.

Mobility for All Ages and Abilities - Staff Work Program Efforts:
● Complete an update to the City’s ADA Transition Plan.

ADA Transition Plan work began in 2022 and included a public engagement process with Town Hall meetings and opportunities for feedback. The Plan was adopted by the City in December 2024.
● Continue the implementation of ADA-compliant curb ramps funded by Measure P/S.

Ongoing. Several ADA Curb Ramp projects are planned in FY 24/25 in Old Town, Downtown and Del Monte Beach neighborhoods. Additionally, new curb ramps are also planned as part of road rehab projects on Van Buren Street, Jackson Street, and Del Monte Avenue.
● Continue to implement APS (Audible Pedestrian Signal) installation at signalized intersections.

Ongoing. ADA signal upgrades are planned in FY 25/26 at the intersections of Franklin Street at Washington Street, Franklin Street at Tyler Street, Fremont Street at Abrego Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 46, Packet Page 91

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Street, Aguajito Road at Glenwood Circle, and Del Monte Avenue at Casa Verde Way. ● Continue to look for opportunities to enhance the transportation network to include pedestrian and bike facilities
Ongoing
● Continue to procure grants in order to provide safety education and encourage programs such as Safe Routes to School to encourage more walking and biking.

Ongoing
● Implement seasonal ADA-accessible beach mats at feasible locations in Monterey.

Utilizing NCIP funding, installed approximately 200 feet of accessible beach mat at Municipal Beach from the Recreation Trail to the High Water Line adjacent to Wharf No. 2 in June 2023. A second beach mat was installed in June 2024 near the Monterey Bay Park.
● Implement a crosswalk policy to prescribe a formal and transparent process for marked crosswalk implementation and design.

The draft policy is in development, and the final policy is planned to be presented to Council in 2025.
● California Assembly Bill 413, the “daylighting” bill, went into full effect January 1, 2025.

This new law prohibits stopping or parking your car within 20 feet of a marked or unmarked crosswalk, to increase the visibility of pedestrians and bicyclists entering the crosswalk. City staff will adjust red zones and parking tees as new resurfacing and pedestrian curb ramp projects are implemented.
______________________________________________
Value Driver #8: Preserve, promote, and maintain our City’s historic and cultural resources through responsible stewardship and historic preservation that highlights the contributions and perspectives of all people who are a part of Monterey’s diverse history.

The City Council is committed to supporting policies and plans that ensure the protection, appropriate development, and use of the City’s historic and cultural assets. The City Council also recognizes the importance of sharing the City’s diverse history through the lens of the Native Americans, Latinx, Euro-Americans, African Americans, and Asian American/Pacific Islander communities who have contributed to the Monterey community.

Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 47, Packet Page 92

CITY OF MONTEREY
Vision, Mission, Value Drivers, Strategic Priorities, and 2025 City Staff Work Program Updated January 2025

Page 46 ends

Historic Preservation & Diversity - Strategic Priorities:

Ensure that the community’s history is interpreted and presented from a social justice lens.

Interpretation of History from Social Justice Lens - Staff Work Program Efforts:
● Develop a social justice and equity framework for the City’s Museums Division in collaboration with the Museums & Cultural Arts Commission.

Draft Social Justice and Equity template has been developed for Museums department program planning, marketing, presentations, and print media through the Expanded Path of History project. The template is a checklist to review accessible options for public programs and documents provided by Museums department. Consider integrating into City-wide Diversity, Equity, and Inclusion framework.
● Seek grant funds to pilot historic walks outlined in the draft Path of History Master Plan that tell our history from the perspective of first peoples and diverse ethnic groups that shaped Monterey’s past and present.

Community Impact grant funds awarded in summer 2022 through Community Foundation for Monterey County to expand the current Path of History. Public Meetings were held in August of 2023; plan was presented at Museums Commission and Historic Preservation Commission meetings; public walks were held; draft Expanded Path of History Plan adopted by Museum & Cultural Arts Commission in 2024. Finalized plan will be added to Monterey Walking Tour mobile app and printed flyers.

Preserve and protect Monterey’s maritime history.

Maritime History - Staff Work Program Efforts:
● Work with the Western Flyer Foundation to able to host short-term the Western Flyer fishing boat chartered by John Steinbeck to Monterey.

The City hosted the Western Flyer homecoming event on November 4, 2024, collaborating with the Harbor and Museums Divisions and Fire Department. City staff are working on completing minor retrofits to support this vessel.

Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 48, Packet Page 93

CITY OF MONTEREY
Vision, Mission, Value Drivers, Strategic Priorities, and 2025 City Staff Work Program Updated January 2025

Page 47 ends

Value Driver #9: Foster a local government that is transparent and collaborative and solicits, welcomes, and appreciates input from all.

The City Council is committed to transparency, collaboration, and engagement with all of our residents, neighborhoods, businesses, and community partners through robust channels of communication, including in-person, technology-based, and media outreach efforts. The City Council is also committed to providing core services to the community and partnering with business, nonprofit, military, and government partners where appropriate.

Transparent and Inclusive Government - Strategic Priorities:

Maintain and expand methods for the public to engage and interact with their city government using a variety of engagement tools, including media outreach, digital communications, and in-person engagement.

Digital, Media, and In-Person Engagement - Staff Work Program Efforts:
● Revise the City’s Conflict of Interest Code.

Biennial update completed in September 2024, with new components added to provide the context and crucial information on conflict-of-interest provisions, both for the public and for public officials. These include a purpose statement, additional clarification about disclosure requirements and why disclosure serves City officials and the public, notation of positions required to complete local ethics education, a brief outline of disclosure requirements for parties to City proceedings, and information on various actions that would lead to personal financial gain from public service and are therefore prohibited. ● Conduct a robust and transparent candidate nomination period, bring four Charter amendments forward to the voters, and complete the transition of the City from at-large elections to district-based elections for City council members in compliance with the California Voting Rights Act (CVRA).

Council seats elected by Districts 3 and 4 were on the ballot for the first time and two candidates per district were nominated and qualified for the November 2024 ballot. The area represented by District 4 now has its first elected Council representation in known Monterey history. Two candidates also were nominated and qualified for the ballot running for the Mayoral seat which continues to be elected on an at-large (Citywide) basis. In addition, four City Charter amendments on the ballot were approved by Monterey’s voters, resulting in various changes including the introduction of term limits for elected officials.

Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 49, Packet Page 94

CITY OF MONTEREY
Vision, Mission, Value Drivers, Strategic Priorities, and 2025 City Staff Work Program Updated January 2025

Page 48 ends

● Continue to use online engagement tools such as Have Your Say Monterey on relevant topics and emerging issues.

Recent engagement project pages include a Rental Inventory Program, a Rental Assistance Program, Local Road Safety Plan, Cannabis, the Old Capitol Site Master Plan Project, the Monterey Public Library Strategic Priorities Survey 2024, 2024 Budget Priorities Community Engagement, and a Monterey 2031 General Plan Update. ● Provide relevant, timely, and accurate information on City affairs, emergency incidents, and policy issues.

Consistent messaging and updates on all social channels and email marketing to reach our community members and encourage engagement on citywide topics. Attended multiple events to engage in person and help build community. Available and approachable by phone as well. Working with community partner agencies, Fire, Police, and City PIO on tabletop exercises that simulate real-life emergency situations. The City Manager’s Office in conjunction with the Fire Department hired a part time intern in November 2024 to develop an Emergency Operations Plan which will culminate in an Emergency Operations Center (EOC) activation training to simulate a real-life emergency event, currently planned for May 2025.
● Continue to improve reach on social media and implement effective social media management tools.

Utilizing social media management tools. Reaching over 11,000 followers on Threads since adding that platform in July 2023. Added Bluesky (alternative to X) in November 2024.

Provide information and access to tools and resources through the City’s website.

City Website - Staff Work Program Efforts:
● Launch new City website and Content Management System (CMS).

Updating the design and functionality of the City website, with a launch expected byMarch2025. Supporting the upgrade of MyMontereyPortal with an outreach campaign after the new app is incorporated.
● Incorporate new ADA WCAG Scan and Remediation implementation to improve digital accessibility. Include new policy and procedures on ADA compliant PDFs, and Word documents available to the public.

Slated for completion by late 2025.

Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 50, Packet Page 95

CITY OF MONTEREY
Vision, Mission, Value Drivers, Strategic Priorities, and 2025 City Staff Work Program Updated January 2025

Page 49 ends

Understand City leaders’ values and priorities by facilitating annual discussions about the City Council’s Value Drivers and Strategic Priorities.

City Council Value Drivers and Strategic Priorities - Staff Work Program Efforts:
● Council to update Value Drivers and Strategic Priorities, and review City Staff Work Plan.

New vision, mission, and value drivers adopted in December 2021; Staff Work Plan updated in January 2022 and Summer 2022; revisited in January 2023, August 2023, January 2024 and August 2024. Council to consider revisions to Value Drivers and Strategic Priorities in late January 2025.

Recognize that the City government’s role is to provide core services to the public, and partnerships with nonprofits, the military, businesses, and other government agencies can be an effective means of supporting the public good.

Community Partnerships - Staff Work Program Efforts:
● Continue ongoing positive working relationships with Montage Health, Middlebury Institute of International Studies, Monterey Peninsula College, Naval Support Activity Monterey, U.S. Army Garrison Presidio of Monterey, Coast Guard Station Monterey, Monterey Bay Aquarium, Monterey Peninsula Unified School District, and other stakeholders.

Ongoing. In the last few months, staffers at City Hall have presented twice on the subject of various municipal careers to local College Living Experience participants, who are neurodivergent young adults on a college or career path. Each quarter, City staff deliver an overview on Monterey city government to international students at the Naval Postgraduate School. The City also continues to host five to seven graduate interns each academic year from Middlebury. The City entered into a partnership with Montage Health to launch the Wellness Initiative at the Monterey Sports Center, which results in cobranded programming, wellness activities, and special events . The Montage Health Foundation also provided a $100,000 grant to the Monterey Sports Center. ● Continue regional partnership efforts such as the Monterey Regional Storm Water Management Program that offer regular public meetings with opportunities for community input and engagement in the stewardship of local waterways, environmental protection, volunteer opportunities, and engagement from other governmental agencies, military, schools (K-12, graduate, and post-graduate), nonprofits, and private entities.

Ongoing.
______________________________________________
Council Regular Meeting, 1/21/2025, Item No. 7., Item Page 51, Packet Page 96 Council
Agenda Report
FROM: Christine Davi, City Attorney
SUBJECT: (B.) Conference with Legal Counsel:

Anticipated Litigation, Significant Exposure to Litigation Pursuant to Government Code section 54956.9(d)(2), (e)(3): Precision Grade, Inc.

Claim dated August 12, 2024
(Not a Project under CEQA Article 20, Section 15378 and under General Rule Article 5, Section 15061)
Attachment: Claim
Date: 1/21/2025
Item No.: 9.

Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 1, Packet Page 97 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 2, Packet Page 98 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 3, Packet Page 99 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 4, Packet Page 100 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 5, Packet Page 101

EXHIBIT A
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 6, Packet Page 102 T00012-CA (v. 2.4 – 3/18/2022)
P U B L I C W O R K S C O N T R A C T (Formal Bid)
Marina Parking Lot Improvement Project (CIP2005)
THIS AGREEMENT, hereinafter referred to as the “Agreement”, made and entered into this date:
______________________________________________________, by and between the CITY OF MONTEREY, a municipal corporation, hereinafter referred to as the "City", and PRECISION GRADE, INC., hereinafter referred to as the "Contractor";
W I T N E S S E T H:

WHEREAS, the Council of the City has awarded a contract to the Contractor for performing the work hereinafter described in accordance with the City’s Plans and Specifications and Contractor’s sealed proposal; NOW, THEREFORE, IT IS AGREED AS FOLLOWS:

1. SCOPE OF WORK. The Contractor shall perform all of the work and furnish all labor, materials, equipment and transportation necessary for the Marina Parking Lot Improvement Project. Work is to be as set out in the Plans and Specifications on file in the Office of the City Engineer and as in the Contractor’s Proposal attached hereto, dated October 11, 2022, in the amount of Three Million Two Hundred Forty Eight Thousand Six Hundred Sixty Six Dollars ($3,248,666) plus a sum of up to 15% for such contingencies as the City Manager, or his designee, deems appropriate.

2. TIME OF PERFORMANCE. The work under this contract shall commence within fourteen (14) calendar days from the effective date of the Notice to Proceed and shall be completed on or before the expiration of one hundred twenty (120) working days from the effective date of the Notice to Proceed.

3. If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions will continue in full force without being impaired or invalidated in any way.

4. Contractor agrees that in the performance of this Agreement, it will comply with all applicable state, federal and local laws, codes and regulations. This Agreement shall be governed by and construed in accordance with the laws of the State of California and the City of Monterey.

5. In accordance with the provisions of Sections 1725.5, 1771.1, 1771.3, and 1771.4 of the Labor Code, this project is subject to compliance monitoring and enforcement by the Department of Industrial Relations. A contractor or subcontractor shall not be qualified to bid on, be listed in a bid proposal, subject to the requirements of Section 4104 of the Public Contract Code, or engage in the performance of any contract for public work, as defined by that chapter of the Labor Code, unless currently registered and qualified to perform public work pursuant to Section 1725.5 of the Labor Code. It is not a violation of this section for an unregistered contractor to submit a bid that is authorized by Section 7029.1 of the Business and Professions Code or by Section 10164 or 20103.5 of the Public Contract Code, provided the contractor is registered to perform public work pursuant to Section 1725.5 at the time the contract is awarded.

6. The Monterey City Council awarded this contract on November 1, 2022 by Resolution 22-142 C.S.

7. This Agreement shall consist of this Public Works Contract document and the following items, all of which are on file in the office of the City Clerk and are incorporated herein and made a part hereof by reference:

A. Plans and Specifications E. Non-Collusion Declaration B. Accepted Proposal F. Debarment and Suspension Certification C. Performance Bond G. Certification(s) of Good Faith Effort to Hire D. Payment Bond (labor and materials) Local Residents
IN WITNESS WHEREOF, said Contractor and said City have hereunto set their hands, all on the day and year first above written.

ATTEST: CITY OF MONTEREY: PRECISION GRADE, INC.:

By: By: By:

City Clerk City Manager, or his designee Carlos Garcia, President Agreement #: Ag-11277 - Page 1 of 311
DocuSign Envelope ID: 7D89AD19-5860-4537-9BCD-7239848F10CF 12/2/2022 | 1:31 PM PST
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 7, Packet Page 103

EXHIBIT B
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 8, Packet Page 104 T00002-CA (v. 2.1 – 1/11/2021)
1 st AMENDMENT TO PUBLIC WORKS CONTRACT FOR THE MARINA PARKING LOT

IMPROVEMENT PROJECT
-
The Public Works Contract for the Marina Parking Lot Improvement Project (“Agreement”) entered into on December 2, 2022, by and between PRECISION GRADE, INC. (hereinafter “CONTRACTOR”), and the CITY OF MONTEREY (hereinafter “City”), is hereby amended as follows:

1. Paragraph 1 is amended to increase the not-to-exceed amount by $450,000, from Three Million Seven Hundred Thirty Five Thousand Nine Hundred Sixty Six Dollars ($3,735,966) to Four Million One Hundred Eighty Five Thousand Nine Hundred Sixty Six Dollars ($4,185,966), as authorized by the Monterey City Council on October 17, 2023 pursuant to Resolution 23-118 C.S.; and

2. All other terms and conditions of the Agreement shall remain unchanged.

This Amendment is entered into on this date: __________________________________ in Monterey, California.

CITY OF MONTEREY PRECISION GRADE, INC.

By:_
__________________________ __________________________
Hans Uslar, City Manager Authorized Signature
__________________________ __________________________
Date Signed Date Signed
__________________________
Print Name
__________________________
Title
Agreement #: Ag-11277 - Page 1 of 1
DocuSign Envelope ID: 019EA253-B44E-4993-8E6E-E775BF12C293 Carlos Garcia
11/30/2023 | 3:06 PM PST
President
11/30/2023 | 3:19 PM PST
November 30, 2023
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 9, Packet Page 105

EXHIBIT C
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 10, Packet Page 106 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 11, Packet Page 107 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 12, Packet Page 108 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 13, Packet Page 109 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 14, Packet Page 110 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 15, Packet Page 111 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 16, Packet Page 112 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 17, Packet Page 113 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 18, Packet Page 114 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 19, Packet Page 115 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 20, Packet Page 116 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 21, Packet Page 117 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 22, Packet Page 118 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 23, Packet Page 119 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 24, Packet Page 120

EXHIBIT D
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 25, Packet Page 121 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 26, Packet Page 122 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 27, Packet Page 123 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 28, Packet Page 124 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 29, Packet Page 125 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 30, Packet Page 126 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 31, Packet Page 127 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 32, Packet Page 128 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 33, Packet Page 129 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 34, Packet Page 130 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 35, Packet Page 131 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 36, Packet Page 132 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 37, Packet Page 133 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 38, Packet Page 134 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 39, Packet Page 135 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 40, Packet Page 136 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 41, Packet Page 137 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 42, Packet Page 138 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 43, Packet Page 139 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 44, Packet Page 140 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 45, Packet Page 141 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 46, Packet Page 142 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 47, Packet Page 143 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 48, Packet Page 144 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 49, Packet Page 145 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 50, Packet Page 146 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 51, Packet Page 147 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 52, Packet Page 148 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 53, Packet Page 149

EXHIBIT E
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 54, Packet Page 150 3/25/24, 6:58 AM Mail - Monica Molina - Outlook
https://outlook.office.com/mail/inbox/id/AAQkADIwYmFlY2Q5LTIyNWItNDZmZS1iODk1LTVjNjA0N2UyMDllMAAQAL6T5p3BzpNAtctTNV0LCOU%3D… 1/3 Fw: Marina Parking lot Improvements - Bid Item 9 & 10
Carlos Garcia <[email protected]>
Sun 3/24/2024 9:14 PM
To:Monica Molina <[email protected]>
2 attachments (458 KB)
Bid Item #9 Sheet.pdf; Bid Item #10 sheet.pdf;
Thank you,
Carlos Garcia
President
Precision Grade Inc
P: 831-800-1602| F: 831-623-1002 | C: 831-269-9397
From: Pablo Cruz Serrato <[email protected]>
Sent: Tuesday, October 24, 2023 1:22 PM
To: Jeff Ray <[email protected]>
Cc: Carlos Garcia <[email protected]>; Andrew Easterling <[email protected]>; Accounting Department <[email protected]>; Max Rieser <[email protected]> Subject: Re: Marina Parking lot Improvements - Bid Item 9 & 10 Jeff,
Bid Item #9- Hot Mix Asphalt 4" Thick
Please see the attached quantity spreadsheet for bid item #9.

Asphalt Conforms: You mentioned in a previous meeting that all asphalt conforms should be included in the item for vertical curb, however in reviewing the Concrete Vertical Curb item description, there is no mention of asphalt conforms being paid under this item. In fact, the material used, description and sections for Hot Mix Asphalt match the material and sections used for the asphalt conforms. Our attached quantities include the asphalt conforms. 1" PVC Sleeves: There is no patch paving included in bid item #24 1" irrigation sleeves. Therefore, the patch paving for 1" irrigation sleeves was included in item #9 quantities (attached), as the patch paving matches the materials and sections for this item.

Bid Item #10 Class ll Aggregate Base
Bid item #10 follows the same logic as bid item #9's overrun. Attached are our quantities.

Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 55, Packet Page 151 3/25/24, 6:58 AM Mail - Monica Molina - Outlook
https://outlook.office.com/mail/inbox/id/AAQkADIwYmFlY2Q5LTIyNWItNDZmZS1iODk1LTVjNjA0N2UyMDllMAAQAL6T5p3BzpNAtctTNV0LCOU%3D… 2/3 Pablo Cruz
Assistant Project Engineer
Precision Grade Inc
P: 831-800-1602| F: 831-623-1002 | C: 831-750-4833
From: Jeff Ray <[email protected]>
Sent: Thursday, October 19, 2023 3:44 PM
To: Pablo Cruz Serrato <[email protected]>
Cc: Carlos Garcia <[email protected]>; Andrew Easterling <[email protected]>; Accounting Department <[email protected]>; Max Rieser <[email protected]> Subject: Marina Parking lot Improvements - Bid Item 9 & 10 Pablo,
please provide information and location(s) (highlighted plan sheet )for your estimated over run quantities on the following bid items.
#9 Hot Mix Asphalt (4” thick, ½” Agg., Type A) Overrun of 9,552 SF. #10 Class 2 – Aggregate Base (6” thick) Overrun 7,322 Sf.

Questions let us Know.

Thank you
Jeff Ray
Senior Public Works Inspector
CITY OF MONTEREY - Public Works - Engineering
601 Wave Street, Suite #100 Monterey, CA. 93940
Office: (831) 646-3997 | Desk: (831) 242-8747 | Cell: (831) 760-2495 | E-mail: [email protected]
City of Monterey Construction This Week
City Standard Details
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 56, Packet Page 152 3/25/24, 6:58 AM Mail - Monica Molina - Outlook
https://outlook.office.com/mail/inbox/id/AAQkADIwYmFlY2Q5LTIyNWItNDZmZS1iODk1LTVjNjA0N2UyMDllMAAQAL6T5p3BzpNAtctTNV0LCOU%3D… 3/3 www.monterey.org
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 57, Packet Page 153

EXHIBIT F
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 58, Packet Page 154 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 59, Packet Page 155 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 60, Packet Page 156 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 61, Packet Page 157 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 62, Packet Page 158 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 63, Packet Page 159 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 64, Packet Page 160 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 65, Packet Page 161 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 66, Packet Page 162 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 67, Packet Page 163 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 68, Packet Page 164 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 69, Packet Page 165 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 70, Packet Page 166 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 71, Packet Page 167 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 72, Packet Page 168 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 73, Packet Page 169 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 74, Packet Page 170 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 75, Packet Page 171 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 76, Packet Page 172 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 77, Packet Page 173 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 78, Packet Page 174 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 79, Packet Page 175 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 80, Packet Page 176 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 81, Packet Page 177 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 82, Packet Page 178 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 83, Packet Page 179

EXHIBIT G
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 84, Packet Page 180 3/18/24, 11:28 AM Mail - Carlos Garcia - Outlook
https://outlook.office.com/mail/id/AAMkADM2OGFkM2Y5LWJiMDEtNDVlYy1hNzk3LWQzNDFlOWNlNGYxYwBGAAAAAABJ4FnPHj9URJTx6PHHy%… 1/2 Re: Marina Parking Lot - RFI # 7 Contaminated Soil
Antonio Hernandez <[email protected]>
Wed 1/25/2023 8:46 AM
To:Carlos Garcia <[email protected]>;Jeff Ray <[email protected]> Cc:John Seagroves <[email protected]>;Pablo Cruz Serrato <[email protected]> CarlosAs discussed yesterday, please proceed and place the material in a stock pile, cover or protect with proper BMP's. We will make arrangements to get the material tested for proper handling and disposal.

Please track the related work on Time and Material Force Account.

Thank you.

TH
Tony Hernandez
Construction Project Manager
CITY OF MONTEREY - Public Works ~ Engineering
Address: 601 Wave Street, Suite 100, Monterey CA 93940
Cell: 831.682.3606 Desk: 831.646.3923 Email: [email protected] monterey.org/construction
“Wear Masks. Save Lives. Meet the Moment for Monterey.” From: Carlos Garcia <[email protected]>
Sent: Tuesday, January 24, 2023 4:16 PM
To: Jeff Ray <[email protected]>
Cc: Antonio Hernandez <[email protected]>; John Seagroves <[email protected]>; Pablo Cruz Serrato <[email protected]>
Subject: Marina Parking Lot - RFI # 7 Contaminated Soil Jeff,
While excavating today for the extra electrical run for the future rrfb / lighting at Washington we encountered material that we believe may be contaminated. Can you please tell us how we should move forward with this material? We have isolated this material, covered it with plastic and placed a wattle around it. Please contact me with any questions.

Thank you,
Carlos Garcia
President
Precision Grade Inc
P: 831-800-1602| F: 831-623-1002 | C: 831-269-9397
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 85, Packet Page 181 3/18/24, 11:28 AM Mail - Carlos Garcia - Outlook
https://outlook.office.com/mail/id/AAMkADM2OGFkM2Y5LWJiMDEtNDVlYy1hNzk3LWQzNDFlOWNlNGYxYwBGAAAAAABJ4FnPHj9URJTx6PHHy%… 2/2 [NOTICE: This message originated outside of the City of Monterey mail system -- DO NOT CLICK on links or open attachments unless you are sure the content is safe.] www.monterey.org
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 86, Packet Page 182 3/18/24, 11:22 AM Mail - Carlos Garcia - Outlook
https://outlook.office.com/mail/id/AAMkADM2OGFkM2Y5LWJiMDEtNDVlYy1hNzk3LWQzNDFlOWNlNGYxYwBGAAAAAABJ4FnPHj9URJTx6PHHy%… 1/1 Marina Parking Lot Improvements - PGI 22-13 RFI # 23 Contaminated Soil Carlos Garcia <[email protected]>
Fri 2/10/2023 3:27 PM
To:Jeff Ray <[email protected]>
Cc:Antonio Hernandez <[email protected]>;John Seagroves <[email protected]>;Pablo Cruz Serrato <[email protected]>;Accounting Department <[email protected]> 2 attachments (141 KB)
Marina Landfill Contaminated rate.png; Marina Landfill Rate.png; Jeff,
This afternoon we received the test results for the soil that we will begin to off haul on Monday 2/13, and they came back slightly contaminated. During bid time we bid the project to off haul clean soil to the Marina Landfill for $1.00 per ton. After providing the test results to the Marina Landfill, they responded that the soil contains diesel and motor oil and that they would charge extra for this soil, please see attached correspondence. Therefor there will be a delta that will be passed on to the City of Monterey. Please contact me with any questions regarding this matter.

Thank you,
Carlos Garcia
President
Precision Grade Inc
P: 831-800-1602| F: 831-623-1002 | C: 831-269-9397
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 87, Packet Page 183 3/18/24, 11:18 AM Mail - Carlos Garcia - Outlook
https://outlook.office.com/mail/id/AAMkADM2OGFkM2Y5LWJiMDEtNDVlYy1hNzk3LWQzNDFlOWNlNGYxYwBGAAAAAABJ4FnPHj9URJTx6PHHy%… 1/1 Contaminated Soil Results- Marina Parking Lot Improvemnets Pablo Cruz Serrato <[email protected]>
Wed 2/15/2023 1:15 PM
To:Antonio Hernandez <[email protected]>
Cc:Carlos Garcia <[email protected]>;John Seagroves <[email protected]>;[email protected] <[email protected]>
1 attachments (5 MB)
230124_07_Precision Grade_Soil_QCreport.pdf;
Tony,
Please find the attached results as requested.

Thank You,
Pablo Cruz
Assistant Project Engineer
Precision Grade Inc
P: 831-800-1602| F: 831-623-1002 | C: 831-750-4833
Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 88, Packet Page 184 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 89, Packet Page 185 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 90, Packet Page 186 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 91, Packet Page 187 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 92, Packet Page 188 Council Regular Meeting, 1/21/2025, Item No. 9., Item Page 93, Packet Page 189 Council
Agenda Report
FROM: Kimberly Cole, AICP, Community Development Director Prepared by: Anastacia Wyatt, Housing Manager
SUBJECT: Receive Rental Inventory Program Annual Report and Consider Recommended Program Changes and Initial Tenant Protections (Not a Project under CEQA per Article 20, Section 15378 and under General Rule Article 5, Section 15061) RECOMMENDATION:

That the City Council receive a report on the Rental Inventory Program for 2024 and consider staff recommendations for program changes and initial tenant protections.

VALUE DRIVERS:

Support efforts and policies that provide equitable access to affordable housing in Monterey and the region.

POLICY IMPLICATIONS:

Maintaining and increasing access to affordable housing supports the City’s ongoing housing efforts, including those intended to serve extremely low, very low, and low-income residents.

This report may provide insight that leads to future policy options impacting the rental housing market in the city.

CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

In April 2023, staff estimated that the Rental Inventory Program would cost approximately $400,000 annually. Costs included hiring new staff members, management, administration, and maintenance of the program. Based on this cost estimate and an estimated 8,130 residential rental units in the City of Monterey, the first-year fee was set at $50 per unit for registration for a target cost recovery amount of 100%.

To date, the program has recovered $195,169 in fees. The addition of the registration exemption for property owners with three (3) or fewer residential rental units resulted in approximately $86,400 in missed revenue (based on 1,728 units filed for exemption). There are an additional 2,224 units currently estimated to be non-compliant, accounting for an additional source of missing revenue.

Date: 1/21/2025
Item No.: 10.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 1, Packet Page 190 №10/24
The estimated program expenditures for the first year of the rental inventory program totaled $243,354, which equates to a cost recovery of 80.2%. This includes staff costs of $197,036, $35,000 in software costs, and $11,318 in materials such as mailers and newspaper ads.

Software costs in year two would decrease to a maximum of $30,900. Additional staff time will be needed in the upcoming year to find and resolve compliance issues with unregistered units.

ENVIRONMENTAL DETERMINATION:

The Rental Inventory Program does not result in any construction or change in the physical environment. The City of Monterey determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CCR, Title 14, Chapter 3 (“CEQA Guidelines), Article 20, Section 15378). In addition, CEQA Guidelines Section 15061 includes the general rule that CEQA applies only to activities which have the potential for causing a significant effect on the environment. Where it can be seen with certainty that there is no possibility that the activity in question may have a significant effect on the environment, the activity is not subject to CEQA. Because the proposed action and this matter have no potential to cause any effect on the environment, or because it falls within a category of activities excluded as projects pursuant to CEQA Guidelines section 15378, this matter is not a project.

ALTERNATIVES CONSIDERED:

The City Council could decline to receive this annual report and staff’s recommended changes to the Rental Inventory Program and recommended tenant protections.

DISCUSSION:

Background
The City Council adopted an ordinance on November 7, 2023, adding Article 2 “Rental Inventory” to Chapter 8 of the Monterey City Code. The intent of this Rental Inventory Program was to provide the City Council with enough data about the City’s rental market to help guide future policymaking. The program officially launched on January 2, 2024. To date, 4,200 residential rental units have been registered, and 1,728 units have been exempted, bringing the total compliance rate to 72.9%.1 This compliance rate is based on an estimated 8,130 residential rental units in the City according to the most recent U.S. Census Bureau data.

In comparison to other California cities with rental registries, this level of compliance is exceptional in the program’s first year. This was achieved through the support and participation of local property owners and managers, direct mail and media campaigns, pop-up events hosted by Housing Office staff, and assistance from software firm Tolemi (which provides the Slate and Building Blocks software applications) to identify potential rental properties and the contact information for their owners.
1 City Code Section 8-2.02.D specifies that exempt properties include any owner who owns and manages three (3) or fewer rental units within the boundaries of the City.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 2, Packet Page 191 №10/24
Significant Data
Rental Properties and Units: There are a total of 2,135 compliant rental properties in the City meaning that the property owner has filed either a registration or exemption pursuant to the City Ordinance. As depicted in Table 1 below, 737 properties have been registered and the remaining properties (1,398) include units that have approved exemptions.

Table 1: Rental Properties and Units
Properties (1) Rental Units (2)
Registrations 737 4,200
Exemptions 1,398 1,728
Total 2,135 5,928
Notes:

1. Properties refer to a real property containing one or more units.

2. Rental Unit (Unit) means a habitable structure offered for rent and used as a place of permanent or customary and usual abode of a tenant. Rental unit includes a room in a dwelling unit that is shared with the landlord, a single-family residence, an accessory dwelling unit, a junior accessory dwelling unit, a condominium or other unit in a common interest development, a mobile home or manufactured home, a building, a group of buildings or portion of a building used and/or designed as dwellings.

Rental Rates:

Most rental units in the City have either one (1) or two (2) bedrooms, with a nearly even number of each unit type (see Table 2). The weighted average monthly rent across the units in the rental registry is $2,125. As expected, rents in the City increases as the number of bedrooms increases, apart from the two 8-bedroom rentals. However, smaller units are more expensive on a per-square foot basis. Most units are charged additional fees in addition to the monthly rent amounting to approximately 1 percent to 1.5 percent of monthly rent.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 3, Packet Page 192 №10/24
Table 2: Registered Units Average Rent, Additional Fees, and Costs Per Square Foot Another metric to consider is price per square foot. Based on the data collected, rents for studios (0 bedrooms) make up 7.5% of the total units and have the third highest average costs per square foot ($3.66). One-bedroom units have the fourth highest cost per square foot at $3.04. The average cost per square foot then reduces with the increase in the number of bedrooms, with 4-bedroom units representing less than 0.1% of the units at $2.03/square foot.

The exception would be 7- and 8-bedroom units that have the highest cost point per square foot.

Based on this data, the smallest units have the highest price point per square foot. Larger units, which there are few of, also have the highest price tags. There are few units available for rent for larger families as most of the units would comfortably house 2-3 person households. Larger families will have a harder time finding a larger unit and paying more for that unit. Larger families may also find it difficult to rent a unit that is 2-bedroom as landlords may set their own occupancy restrictions to prevent overcrowding (e.g., some use a 2+1 occupancy standard, which allows two people per bedroom, plus one additional occupant.) Laws prohibit the use of occupancy restrictions to discriminate against families with children.

By Neighborhood
As shown in Table 3, average rents vary significantly by neighborhood, ranging from $1,596 in Downtown up to $3,162 in Del Monte Beach. The 2024 median income of all renters $98,400 is significantly higher than the 2022 figure reported by the U.S. Census Bureau’s American Community Survey (ACS) for renters of $85,000 and is similar to the median income that the ACS reports for all residents of the City of $98,000 as of 2022.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 4, Packet Page 193 №10/24
Table 3: Rental Market by NCIP Neighborhood
Renter Socioeconomics by Neighborhood
Neighborhood median renter household income correlates strongly and positively with the share of White renters (correlation coefficient = 0.58), while it correlates negatively with the shares of Hispanic/Latino (-0.42) and Black/African American renters (-0.68). This means that proportionately the neighborhoods in Monterey with a higher percentage of residents that identify as White tend to have higher-income renters. The same neighborhood trends extend to correlations with race and monthly rents. The only ethnic/racial group whose rent and income trends differ is with those identifying as Asian alone (and no other race). There is no clear correlation between the share of residents that identify as Asian in Monterey neighborhoods and median income, but there is a strong negative correlation with monthly rent, suggesting that Monterey’s Asian residents tend to live in areas with lower monthly rents despite not appearing to have lower incomes. See Table 4.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 5, Packet Page 194 №10/24
Table 4: Median Renter Household Income and Race/Ethnicity NCIP Neighborhood Property Owner Characteristics: Small landlords (1-9 units) own the majority of units registered in the City’s rental registry (see Table 5). Local landlords own 59 percent of the registered rental housing stock. It is likely that local landlords are more aware of the rental registry requirements, so the data may be skewed in their direction.

There does not appear to be a significant difference between rents charged by local and out-oftown landlords as a whole, as seen in Table 6. In addition, newer units do not appear to demand higher rents than older units.

Table 5: Share of Units Owned by Landlord Category and Period Built Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 6, Packet Page 195 №10/24
Table 6: Average Rent by Landlord Category and Period Built Rental Inventory vs. Zillow
The Rental Inventory Program, powered by Tolemi’s Slate and Building Blocks software applications, is capable of providing data that the City is unable to obtain from Zillow or any single online, publicly available aggregator. This includes neighborhood-specific data, additional owner information, building and code enforcement alerts, building permits, and assessments in addition to the specific information required by ordinance that is not readily available on Zillow such as additional fees, square footage, ADU/JADU information, and the year the property was built. The Rental Inventory software also enables staff to see if a specific unit has been listed on Zillow to ensure the information the owner has listed matches in both locations.

Zillow and other platforms have the advantage of being able to produce trend data due to gathering information for a long period of time. This is an area where the Rental Inventory will become more useful the longer it exists, and the more data staff are able to collect. With the Rental Inventory being mandatory and if it applied to all residential rental units, it should also provide a more accurate picture when compared to sites that only use data provided by individuals who opt in.

Missing Data
The exemption for property owners who have three or fewer residential rental units has resulted in a gap in the rental inventory data as those property owners are not required to provide any details about their units. Currently, 1,725 units have been exempted, leaving staff without the ability to provide information for 29.2% of the total units in compliance. This is in addition to the

27.4% of units that are still non-compliant. It is difficult to determine which units would be exempt of that remaining 27.4%, but if we take the approach that the 1,725 exempted units are the only ones that would qualify for the exemption, that still leaves a 21.2% piece of the entire rental market that staff has no access to data for. It is likely that the number of exempted units across the market is in fact much higher.

Staff will also begin requiring additional information important to the success of this program in the next cycle to include security deposit amounts and any costs related to the Ratio Utility Billing System (RUBS). RUBS is where onsite services are split between multiple tenants (i.e. general site electrical costs, laundry room costs, etc. are charged to all the tenants even though they may not use the onsite facility). Tenants facing the threat of eviction who applied for the City’s Rental Assistance Program indicated that RUBS accounted for a significant additional Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 7, Packet Page 196 №10/24
cost that prevented them from paying rent. It is important to understand how often this charge is occurring and to determine how it is being applied.

Recommended Program Changes
Removing the exemption for property owners who own three or fewer properties is integral to the overall success of the program. Removal of this exemption will provide data that is needed to best illustrate the City’s rental market landscape. There is no data-based reason to retain this exemption. The removal of this exemption will also ensure the least possible increase in per unit cost to individual owners across the board and provide the best opportunity for cost recovery.

The current fee passthrough rate of 50% is also an undue burden to renters in the City.

Currently, landlords are able to levy this fee with little prior warning in a lump sum payment requirement to their tenants. The City Council should consider eliminating this passthrough entirely to alleviate the burden on tenants as this program seeks to achieve.

Tenant Protections
Goldfarb & Lipman, LLP provided an overview of tenant protection policies to the City Council in April 2023. The presentation discussed the legal framework for tenant protections and outlined local policy responses. The first policy option was to create a rental registry which was accomplished last year.

The next step would be to consider creating a right to lease requirement and strengthening just cause protections. Two options, among many, that staff believe it can accomplish include:

1. AB 1482 is not applicable until a tenant has resided in a premises for 12 months. The City could adopt a one-year lease ordinance which requires landlords to offer tenants a 12-month lease at the outset of tenancy and upon expiration of the prior lease agreement. The failure to offer a 12-month lease could constitute a defense to unlawful detainer. This approach ensures that a tenant cannot be evicted before just cause protections become effective.

2. AB 1482 specifies the parameters for a just cause eviction such as the property owner needing to complete substantial renovations. The City could tighten the regulations regarding “substantial renovations” by requiring landlords to obtain permits and/or show need to comply with code enforcement order before undertaking the eviction.

Additionally, the City could strengthen the “owner move-in” clause by providing tenants with remedies if landlord (or qualified family members) do not move in within and/or do not continue to reside in unit for certain amount of time.

Next Steps with Rental Inventory Program
The current registration expires on June 30, 2025. All units must be registered. City staff will work with current registrants to ensure existing registrations will be maintained and property owners will be able to easily update new registrations or delete registrations that no longer are rented. Staff will begin a campaign to provide technical assistance, public notification of the requirements, and meet with property managers and owners to ensure compliance with Ordinance No. 3671 C.S.

Additionally, staff will research methods to increase the number of properties that will be registered. Staff recently realized that a number of properties had not been registered and contacted the property owner and provided assistance to register these properties successfully.

Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 8, Packet Page 197 №10/24
Summary
The creation of the Rental Inventory Program has proven to be necessary. The City’s collected data has provided insights that cannot be found in existing online aggregators and rent trackers.

The 72.9% compliance rate is a testament to the hard work of City staff, and the cooperation of property owners and tenants alike.

The program can still be improved. 29.1% of the overall compliance consists of units that were exempted for belonging to a property owner with 3 or fewer units. This is a significant piece of missing data and staff recommends eliminating this exemption entirely. There is no datasupported reason for its existence and it will continue to limit the reliability of the overall data.

This exemption has also resulted in missed revenue in the amount of $86,400. With that in mind and with the need to dedicate more staff time to code enforcement in 2025, staff recommends raising the per-unit cost of the program to $75 to get closer to 100% cost recovery.

The 50% fee passthrough to tenants has proven an undue burden as property owners and managers have been able to charge this in a lump sum on an unplanned date. Staff believe property owners should be responsible for this cost burden for their units and this fee passthrough should be lowered to 0%. If the Council prefers to retain this 50% passthrough, it should consider bringing this in-line with most other cities that allow it by requiring it to be paid in 12 equal payments over the course of the lease. In the case of 2025’s fees, this would result in a $3.13 monthly payment for tenants as opposed to a $37.50 payment.

Staff requests that the City Council provide general direction on whether to pursue a Code amendment to eliminate the exemption and passthrough fee. Also, the Council should indicate if they support a first step towards tenant protections as outlined in this report. If so, staff will return with a proposed ordinance for the City Council’s consideration.

KC/aw
Attachments: 1. City of Monterey Rental Analysis, January 2025 e: All neighborhood associations
All business associations
Rental Inventory Interested Parties List
Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 9, Packet Page 198 Final Report
City of Monterey
Rental Inventory Analysis
Prepared for:

City of Monterey
Prepared by:

Economic & Planning Systems, Inc. (EPS)
January 2025
EPS #242137
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 10, Packet Page 199 Table of Contents
Introduction and Summary of Findings .............................................. 3 Introduction ....................................................................................... 3 Study Overview .................................................................................. 3 BuildingBlocks .................................................................................... 3 Key Findings ...................................................................................... 4 Appendix A: ACS Rental Residential Analysis
List of Tables
Table 1. Rental Market Overview: City of Monterey ................................. 6 Table 2. Rental Market by NCIP Neighborhood: City of Monterey ............... 7 Table 3. Median Renter Household Income and
Race/Ethnicity NCIP Neighborhood: City of Monterey .................. 9 Table 4. Share of Units Owned by Landlord Category and
Period Built: City of Monterey ................................................ 11 Table 5. Average Rent by Landlord Category and Period Built:

City of Monterey .................................................................. 12 Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 11, Packet Page 200 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 3
Introduction and Summary of Findings
I n t ro d u c t i o n
At the request of the City of Monterey (City), Economic & Planning Systems, Inc. (EPS) was retained to use the City’s residential rental inventory to examine the socioeconomics of the City’s renters (Study).

S t ud y O v e r v i ew
This Study provides an overview of the City’s Rental Inventory platform:

BuildingBlocks, administered by Tolemi. Additionally, the technical analysis component comprises the following key analytic elements using the BuildingBlocks platform and the U.S. Census American Community Survey (ACS):
 Residential Market Overview. Examines the housing inventory and residential market trends in the City and property owner characteristics.  Renter Socioeconomic Profile. Identifies trends in household income compared to rents, cost burden, household age, and race & ethnicity The purpose of this evaluation is to develop an understanding of the dynamics of socioeconomic and rental residential market trends from BuildingBlocks and ACS to provide guidance in terms of potential future policy. Supporting data tables underlying the findings and figures presented herein are included in appendices at the end of this Study.

B u i l d i ng B l o c k s
In 2024, the City established a rental inventory, BuildingBlocks, to track rental inventory, administer rental assistance, and “increase certainty, stability and fairness within the rental market.” All rental property owners must register their rental unit(s), and landlords who own 4 or more units must pay a $50-per-unit fee. Any owner who owns and manages three (3) or fewer rental units and who has filed a claim for exemption is exempt from the registration and fee.

Ordinance No. 3671 requires the following information for registrations:
 The landlord’s name, address, and phone numbers, as well as those of any on-site or off-site property manager or property management company.  The street numbers and/or Assessor’s Parcel Number (APN) of each rental unit.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 12, Packet Page 201 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 4
 The year the property was built and the number of rental units on the property.
 The number of bedrooms and bathrooms, including square footage.  The occupancy status of each Rental Unit (e.g., vacant or occupied) and reason for vacancy, if applicable.
 For each occupied rental unit, the current amount and date of the monthly rent received for each Rental Unit, identifying whether the monthly rent includes Utility Charges and Housing Service Charges.
 For a Rental Unit in a condominium or other common interest development, the amount of the homeowners’ association fees, regular and/or special assessments, or other similar charges paid to an association.  Whether or not the Tenant receives a housing voucher or other rental subsidy.  Any other information deemed necessary by the Community Development Director to implement the provisions of this Article.

K e y F i nd i ng s
BuildingBlocks provides a strong platform for local data analysis that can be used to better understand the local market than was possible before. As the database continues to grow, BuildingBlocks can contribute more detailed insight into the City’s rental inventory by providing data that larger data aggregators like Zillow, RedFin, and the ACS cannot. Examples include:
 Providing an aggregated database of information on individual properties, allowing for more specificity in analysis than summary data (ACS) can provide at a lower time cost than aggregating individual properties from Zillow/Redfin.  Reporting precise rent amounts for all properties rather than relying on estimates based on available data on similar units.
 Understanding data about the management and ownership of rental properties within the City,including the location and number of properties owned.  Understanding information about geographic neighborhood boundaries that may be more locally relevant than census blocks/tracts and reporting geographic zones not available in larger data sources (Coastal Zones, Council Districts, and Fire Hazard Zones).
 Reporting other property-level data points like code enforcement inspections/violations, permit reports, and affordable housing status.  Reporting rental listings.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 13, Packet Page 202 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 5
When property owners register their units, the Building Blocks software does not allow the user to submit their data until all of the required data fields are completed. A City of Monterey staff member is then assigned to review the information prior to approval.

BuildingBlocks is best used in conjunction with larger data sources like the ACS, as the necessarily broader reach of the census can supplement self-reported BuildingBlocks data when considering the market at large. Throughout this report, data from both BuildingBlocks, the ACS, and other subscription-based sources such as CoStar are presented to show areas of strength for each data source and how they can be used together to understand the market.

Note that total units and average rents may not exactly match across tables created using the Tolemi data, but the trends observable in the data suggest similar values.

Rental Market Inventory
Most rental units in the City have either 1 or 2 bedrooms, with a nearly even number of each unit type (see Table 1). The weighted average monthly rent across the units in the rental registry is $2,125. As expected, rents in the City increase as the number of bedrooms increases, apart from the 2 8-bedroom rentals. However, smaller units are more expensive on a per-square foot basis.

Most units are charged additional fees in addition to the monthly rent amounting to approximately 1 percent to 1.5 percent of monthly rent.

Data from CoStar indicates that rents in multifamily units may be higher than the average shown above, which includes both multifamily and single-family rentals (see Appendix Table A-7).

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 14, Packet Page 203 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 6
Table 1. Rental Market Overview: City of Monterey
By Neighborhood
As shown in Table 2, average rents vary significantly by neighborhood, ranging from $1,596 in Downtown up to $3,162 in Del Monte Beach. The median income of all renters according to Tolemi data as of 2024 of $98,400 is significantly higher than the 2022 figure reported by the ACS for renters of $85,000; see Appendix Table A-9 and is similar to the median income that the ACS reports for all residents of the City of $98,000 as of 2022.

Registered Rental Units
Item Total % of Total
Rental Unit Bedrooms
0 173 7.5% $1,566 $22.14 428 $3.66
1 996 43.2% $1,801 $21.67 592 $3.04
2 1,005 43.5% $2,362 $34.69 882 $2.68
3 113 4.9% $3,204 $32.05 1,355 $2.36
4 13 0.6% $3,623 $4.00 1,782 $2.03
5 2 0.1% $6,409 $0.00 2,947 $2.17
6 3 <0.1% $6,493 $0.00 2,658 $2.44
7 1 <0.1% $9,850 $0.00 2,631 $3.74
8 2 <0.1% $6,865 $0.00 1,442 $4.76
Total/Weighted Average 2,308 100.0% $2,125 $27.71 756 $2.89 Source: City of Monterey; Tolemi Building Blocks City of Monterey Rental Inventory; EPS.

Number of Units
Average
Cost per
Sq. Ft.

Average
Sq. Ft.

Average
Additional
Fees
Average
Rent
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 15, Packet Page 204 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 7
Table 2. Rental Market by NCIP Neighborhood: City of Monterey (2024)
Item
Registered
Rental Units
Average
Rent
[1]
Median
Renter
Household
Income [1]
Neighborhood
Aguajito Oaks 31 $2,129 $74,444
Alta Mesa 4 $2,768 $143,021
Casanova Oak Knoll 375 $2,370 $70,875
Deer Flats 39 $2,768 $143,021
Del Monte Beach 144 $3,162 $158,363
Del Monte Grove Laguna Grande 127 $1,640 $133,884
Downtown 154 $1,596 $52,404
Fishermans Flats 25 $2,768 $143,021
Glenwood 475 $2,170 $76,139
Monterey Vista 513 $2,159 $142,210
New Monterey 1,409 $2,168 $72,017
Oak Grove 639 $1,852 $95,131
Old Town 888 $1,888 $97,277
Skyline 114 $2,242 $101,332
Villa Del Monte 631 $2,342 $105,963
Citywide Total/Average 5,568 $2,157 $98,436
Source: Tolemi; EPS.
[1] Average of the property medians reported by neighborhood.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 16, Packet Page 205 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 8
Renter Socioeconomics by Neighborhood
Neighborhood median renter household income correlates strongly and positively with the share of White renters (correlation coefficient = 0.58), while it correlates negatively with the shares of Hispanic/Latino (-0.42) and Black/African American renters (-0.68). This means that proportionately the neighborhoods in Monterey with a higher percentage of residents that identify as White tend to have higherincome renters. The same neighborhood trends extend to correlations with race and monthly rents. The only ethnic/racial group whose rent and income trends differ is with those identifying as Asian alone (and no other race). There is no clear correlation between the share of residents that identify as Asian in Monterey neighborhoods and median income, but there is a strong negative correlation with monthly rent, suggesting that Monterey’s Asian residents tend to live in areas with lower monthly rents despite not appearing to have lower incomes. See Table 3.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 17, Packet Page 206 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 9
Table 3. Median Renter Household Income and Race/Ethnicity NCIP Neighborhood: City of Monterey (2024$) Item
Registered
Rental Units
Average
Rent [1]
Median
Renter
Household
Income [1]
White NonHispanic
Hispanic
or Latino
Black or
African
American
Asian
Alone
American
Indian and
Alaska
Native
Native
Hawaiian
and Other
Pacific
Islander
Some
Other
Race
Neighborhood
Aguajito Oaks 31 $2,129 $74,444 69.4% 13.4% 4.5% 8.1% 0.0% 0.9% 5.6% Alta Mesa 4 $2,768 $143,021 85.0% 8.0% 2.0% 5.0% 0.0% 0.0% 1.0% Casanova Oak Knoll 375 $2,370 $70,875 63.0% 15.0% 4.0% 3.0% 0.0% 0.0% 2.0% Deer Flats 39 $2,768 $143,021 85.0% 8.0% 2.0% 5.0% 0.0% 0.0% 1.0% Del Monte Beach 144 $3,162 $158,363 79.0% 11.0% 2.0% 5.0% 0.0% 0.0% 0.0% Del Monte Grove Laguna Grande 127 $1,640 $133,884 56.9% 19.9% 1.4% 20.1% 2.1% 0.0% 0.0% Downtown 154 $1,596 $52,404 61.0% 18.0% 11.0% 9.0% 0.0% 0.0% 0.0% Fishermans Flats 25 $2,768 $143,021 85.0% 8.0% 2.0% 5.0% 0.0% 0.0% 1.0% Glenwood 475 $2,170 $76,139 70.0% 13.0% 4.0% 8.0% 0.0% 1.0% 6.0% Monterey Vista 513 $2,159 $142,210 82.6% 7.4% 0.6% 4.6% 0.0% 0.0% 6.7% New Monterey 1,409 $2,168 $72,017 65.2% 21.7% 4.3% 4.4% 0.0% 0.0% 2.1% Oak Grove 639 $1,852 $95,131 49.5% 28.4% 1.0% 16.9% 0.5% 3.2% 2.9% Old Town 888 $1,888 $97,277 73.5% 16.0% 1.6% 3.8% 1.4% 0.0% 1.3% Skyline 114 $2,242 $101,332 79.0% 9.8% 1.1% 3.9% 0.0% 0.0% 2.9% Villa Del Monte 631 $2,342 $105,963 54.7% 32.0% 3.1% 6.2% 3.2% 0.0% 0.0% Total Rental units 5,568 $2,157 $98,436 68.2% 17.6% 2.7% 6.6% 0.6% 0.4% 2.7% Source: Tolemi; EPS.
[1] Average of the property medians reported by neighborhood.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 18, Packet Page 207 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 10
Property Owner Characteristics
According to BuildingBlocks, small landlords1 own 75 percent of units registered in the City’s rental registry (see Table 4). Local landlords own 59 percent of the registered rental housing stock. It is likely that local landlords are more aware of the rental registry requirements, so the data may be skewed in their direction.

According to data collected by Tolemi, there does not appear to be a significant difference between rents charged by local and out-of-town landlords as a whole, as seen in Table 5. In addition, newer units do not appear to demand higher rents than older units.
1 Small landlords are landlords who own between 1 and 9 properties, Medium landlords own between 10 and 19 properties, and Large landlords own 20 or more properties. Local Landlords have a mailing address within the metropolitan statistical area (MSA), and out-of-town landlords have a mailing address outside the MSA.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 19, Packet Page 208 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 11
Table 4. Share of Units Owned by Landlord Category and Period Built: City of Monterey Registered % of
Item Rental Units Total pre 1960 1960-1979 1980-1999 2000-2024 Owner
Small local landlord 1 to 9 1,703 86.4% 139.8% 75.6% 148.1% 13.8% Medium local landlord 10 to 19 282 14.3% 20.4% 10.9% 26.5% 66.0% Large local landlord 187 9.5% 22.1% 6.7% 9.2% 0.0%
Small out-of-town landlord 1 to 9 1,068 54.2% 46.8% 63.1% 64.3% 5.3% Medium out-of-town landlord 10 to 19 37 1.9% 0.7% 1.8% 0.0% 18.1% Large out-of-town landlord 391 19.8% 10.0% 17.4% 0.0% 4.3% Homeowner N/A 6 0.3% 0.0% 0.0% 0.0% 6.4%
Total Rental Units 1,971 100% 100.0% 100.0% 100.0% 100.0% Source: Tolemi; EPS.

Range of Share of Units Owned by Period Built
Units Owned
20+
20+
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 20, Packet Page 209 City of Monterey Rental Market Analysis
January 2025
Economic & Planning Systems, Inc. (EPS) 12
Table 5. Average Rent by Landlord Category and Period Built:

City of Monterey
Average
Item Gross Rent Before 1960 1960-1979 1980-1999 2000-2024 Owner
Small local landlord $1,958 $1,935 $1,973 $1,994 $1,719 Medium local landlord $1,939 $1,896 $1,850 $1,944 $2,121 Large local landlord $2,008 $2,102 $1,963 $1,708 - Small out-of-town landlord $1,923 $1,883 $1,948 $1,967 $1,770 Medium out-of-town landlord $1,800 $2,003 $1,675 - $1,770 Large out-of-town landlord $2,132 $1,975 $2,146 - $1,746 Homeowner $1,770 - - - $1,770
Total Rental Units $1,982 $1,940 $2,022 $1,968 $1,974
Source: Tolemi; EPS.
[1] Average of the median reported rents in each building within owner/year categories.

Average Rent by Period Built [1]
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 21, Packet Page 210 APPENDIX A:

ACS Rental Residential Analysis
Table A-1 Housing Supply: City of Monterey .....................A-2 Table A-2 Tenure by Age of Structure: City of Monterey .....A-3 Table A-3 Tenure by Units in Structure: City of Monterey ...A-5 Table A-4 Vacant Housing Units by Usage Category:

City of Monterey and Monterey County ..............A-6
Table A-5 Rental Housing Proportion of Total Housing
Inventory: City of Monterey .............................A-7 Table A-6 Total Residential Vacancy Rate:

City of Monterey and Monterey County ..............A-8
Table A-7 Multifamily Market Summary:

City of Monterey ............................................A-9 Table A-8 Household Income by Range:

City of Monterey and Monterey County ............ A-11
Table A-9 Household Income, Size, and Per Capita
Income by Tenure: City of Monterey ............... A-12 Figure A-1 Year-Over-Year Percentage Change in
Median Renter-Occupied Household
Income versus Average Multifamily Rent:

City of Monterey: 2012–2022/2024 ................ A-13
Table A-10 Overall Rent Burden: City of Monterey ............ A-14 Table A-11 Year Householder Moved into Unit:

City of Monterey .......................................... A-15 Table A-12 Householder Race by Tenure:

City of Monterey .......................................... A-16 Table A-13 Householder Age: City of Monterey ................. A-17 Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 22, Packet Page 211 Appendix A
Economic & Planning Systems, Inc. (EPS) A-1
ACS Rental Residential Analysis
R e n t a l Ma rk e t O v e r v i ew
Per ACS, the City’s rental inventory is largely made up of units built between 1950 and 1990. About 61 percent of the City’s housing units are for rent. The City’s rental housing supply has not expanded much in recent years, with only 5 percent of the rental units on the market being built since 2000.

Inflation-adjusted rents have been stable since 2010; however, the nominal growth has outpaced that of renter incomes, indicating that rents have become less affordable. Over half of the City’s renter-households are considered rentburdened, spending over 30 percent of their income on housing costs, and a quarter of renters face a severe rent burden (over 50 percent of income spent on rent). Multifamily units (over 90 percent of which are renter-occupied) see significantly lower vacancy with 3 percent vacancy compared to the rest of the City’s housing vacancy of 10 percent. The largest contributor of residential vacancy is seasonal/recreational/occasional use units comprising 59 percent of all vacant units.

Most of the City’s landlords are local property owners, owning 59 percent of units.

According to BuildingBlocks there is not an observable difference in rents charged by local landlords compared to out-of-town landlords. Small landlords own three quarters of the City’s registered rental units, with small local landlords owning the largest share—just under half of all registered units.

H o u s i ng S u pp l y a n d O c c u p a n c y T r e nd s Housing Inventory
The City has just under 14,000 residential units. Of those 14,000, about half are single-family homes (attached and detached), as shown in Table A-1. About onefifth of units are in 2- to 4-unit structures, and the remainder (just under onethird of the total) are in larger, 5+-unit multifamily buildings.

Attachment 1
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Table A-1. Housing Supply: City of Monterey (2022)
Housing Tenure by Structure Age
The City’s housing supply is relatively old. Almost 90 percent of all units were built before 1995. Renter-occupied units tend to be built more recently, as renters occupy the majority of units built since 1970. The majority of units built before 1970 are owner-occupied. Approximately 38 percent of the City’s housing units were built before 1960. Just over a third were built between 1960 and 1980, 21 percent between 1980 and 2000, and the remaining 7 percent were constructed since 2000. See Table A-2.

Attachment 1
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Table A-2. Tenure by Age of Structure: City of Monterey (2022) Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 25, Packet Page 214 Appendix A
Economic & Planning Systems, Inc. (EPS) A-4
Tenure by Units in Structure
As shown in Table A-3, similar tenures by unit type are observed in 2012 and 2022. As is typically found, homeowner occupancy is highest in detached singlefamily homes, and progressively decreases as the number of units in a structure increases. The only exception to this trend is the small step down in the renter occupancy rate in 3- to 4-unit buildings to 5+-unit buildings in 2022, but that change is within the ACS’s margin of error.2
2 ACS estimates are typically made within a 90 percent confidence interval. For instance, an estimate of 100 units with a margin of error of 10 units indicates 90 percent confidence that the true number of units is between 90 and 100.

Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 26, Packet Page 215 Appendix A
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Table A-3. Tenure by Units in Structure: City of Monterey (2012 and 2022) Item
OwnerOccupiedRenter
Occupied
Share Renter
Occupied
% of Unit
Type
OwnerOccupiedRenter
Occupied
Share Renter
Occupied
% of Unit
Type Total % Total %
Unit Type
Detached Single-Family 3,504 2,046 36.9% 44.3% 3,684 1,858 33.5% 44.0% 180 5.1% (188) (9.2%) Attached Single-Family 265 461 63.5% 5.8% 263 614 70.0% 7.0% (2) (0.8%) 153 33.2% Duplex 63 709 91.8% 6.2% 103 692 87.0% 6.3% 40 63.5% (17) (2.4%) 3 to 4 unit building 115 1,417 92.5% 12.2% 60 1,686 96.6% 13.9% (55) (47.8%) 269 19.0% 5 + unit building 263 3,655 93.3% 31.2% 371 3,255 89.8% 28.8% 108 41.1% (400) (10.9%) Other 41 0 0.0% 0.3% 0 0 0.0% 0.0% (41) (100.0%) - 0.0% Total 4,251 8,288 66.1% 100.0% 4,481 8,105 64.4% 100.0% 230 5.4% (183) (2.2%) Source: American Community Survey 2018-2012 and 2018-2022 5-Year Estimates, Table B25032; EPS.

Owner-Occupied
2012-2022 Change
2012 2022 Renter Occupied
City of Monterey
Attachment 1
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Occupancy
Of Monterey’s 14,000 housing units, 90 percent were occupied in 2022 (12,590 occupied units). More than half of the City’s occupied units were renteroccupied (58 percent), 14 percentage points higher than the State overall (44 percent). Of the City’s total vacancy of 10 percent (1,400 vacant units) as of 2022, about 30 percent of the total were rental units (about 425 units), 59 percent (821 units) were characterized as Seasonal, Recreational, or Occasional Use, and 11 percent (157 units) are characterized as ‘Other’.

See Table A-4 and Table A-5. In Monterey County (County) as a whole, rental vacancies seem to make up a smaller portion of the total vacancies (15 percent), but the larger ‘Other’ category may contain rental units not captured by surveys.

Table A-4. Vacant Housing Units by Usage Category:

City of Monterey and Monterey County (2022)
Item Units % of Total Units % of Total
Vacant Housing Units
For Rent 326 23.3% 1,589 12.4%
Unoccupied Rentals 98 7.0% 302 2.4%
For-Sale - - 565 4.4%
Unoccupied Sold Units - - 501 3.9%
Seasonal, Recreational, or Occasional Use 821 58.6% 6,290 49.3% For Migrant Workers - - 95 0.7% Other 157 11.2% 3,428 26.8% Total Vacant 1,402 100.0% 12,770 100.0%
Source: American Community Survey 5-Year Estimates Tables B25004; EPS.

Monterey County
2022 VACANT HOUSING UNITS
City of Monterey
Attachment 1
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Table A-5. Rental Housing Proportion of Total Housing Inventory:

City of Monterey (2022)
Item Total
Residential Units [1]
Total Units 13,988 100.0% 61.0%
Total Rental Inventory 8,529 61.0% 100.0%
Total Renter-Occupied 8,105 57.9% 95.0%
Source: American Community Survey 5-Year Estimates; CoStar; EPS. [1] See Table A-6.

City of Monterey
% of Total
Housing
Inventory
% that is
Rental
Housing
Inventory
Attachment 1
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In both the City and the County, vacancy rates have been relatively steady over the last 15 years. The City has consistently registered about 1.5 percentage points higher vacancy than the County, averaging 10.8 percent and 9.4 percent, respectively. See Table A-6.

Table A-6. Total Residential Vacancy Rate:

City of Monterey and Monterey County (2010–2024)
Attachment 1
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Economic & Planning Systems, Inc. (EPS) A-9
Rental Rates
From 2000 to 2024, average inflation-adjusted multifamily rents have not changed much, hovering around $2,450. When considering unadjusted prices, rents have increased about 2.5 percent per year (up 79 percent overall), and changes in asking rent have mirrored changes in effective rents almost exactly.

The multifamily vacancy rate averaged 3.2 percent over this span, as displayed in Table A-7.

Table A-7. Multifamily Market Summary: City of Monterey (2000– 2024)
Item
Year
2000 $1,356 - - $2,582 - 2.0%
2001 $1,461 7.7% 7.7% $2,684 3.9% 2.5%
2002 $1,435 (1.8%) (1.7%) $2,586 (3.6%) 3.5%
2003 $1,417 (1.3%) (1.2%) $2,501 (3.3%) 3.6%
2004 $1,429 0.8% 0.8% $2,464 (1.5%) 3.9%
2005 $1,477 3.4% 3.4% $2,472 0.3% 3.2%
2006 $1,548 4.8% 4.7% $2,505 1.3% 2.4%
2007 $1,608 3.9% 3.8% $2,522 0.7% 2.3%
2008 $1,682 4.6% 4.7% $2,549 1.1% 3.2%
2009 $1,532 (8.9%) (8.8%) $2,330 (8.6%) 4.0%
2010 $1,554 1.4% 1.5% $2,338 0.3% 3.8%
2011 $1,564 0.6% 0.7% $2,288 (2.1%) 4.0%
2012 $1,589 1.6% 1.6% $2,276 (0.5%) 4.1%
2013 $1,618 1.8% 1.8% $2,284 0.3% 3.8%
2014 $1,664 2.8% 3.0% $2,306 1.0% 3.5%
2015 $1,773 6.6% 6.3% $2,428 5.3% 3.4%
2016 $1,824 2.9% 3.0% $2,451 0.9% 3.9%
2017 $1,905 4.4% 4.4% $2,489 1.6% 3.0%
2018 $1,986 4.3% 4.2% $2,511 0.9% 3.4%
2019 $2,091 5.3% 5.2% $2,574 2.5% 2.8%
2020 $2,163 3.4% 3.5% $2,617 1.7% 2.9%
2021 $2,221 2.7% 2.6% $2,571 (1.8%) 2.3%
2022 $2,331 5.0% 4.9% $2,499 (2.8%) 2.7%
2023 $2,386 2.4% 2.5% $2,452 (1.9%) 3.4%
2024 $2,424 1.6% 1.7% $2,424 (1.2%) 3.1%
Average/
Total Change $1,762 2.5% 2.5% $2,468 -0.2% 3.2%
Source: CoStar; Bureau of Labor Statistics; EPS.

City of Monterey Multifamily Housing
Monthly Effective
Rent
% Change, Rent
Asked
Vacancy
Rate
Monthly
Effective Rent
(2024$)
% Change,
Effective Rent
% Change,
Effective Rent
(2024$)
Attachment 1
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Economic & Planning Systems, Inc. (EPS) A-10
R e n t e r S o c i o e c o n om i c s
Household Income versus Rent
Although the City has experienced a 23 percent increase in median household income over the past decade, the growth has come from households with annual incomes above $100,000, especially those earning over $150,000; the City experienced a net decrease in households in every income category below $100,000 (see Table A-8).

Attachment 1
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Table A-8. Household Income by Range: City of Monterey and Monterey County (2012 and 2022) Item 2012 [1] % 2022 % % Change 2012 [1] % 2022 % % Change Income Range
<$15,000 1,213 9.7% 610 4.8% (49.8%) 10,761 8.6% 6,915 5.3% (35.7%) $15,000 - $24,999 1,115 8.9% 607 4.8% (45.5%) 12,012 9.6% 6,667 5.1% (44.5%) $25,000 - $34,999 1,089 8.7% 682 5.4% (37.4%) 12,012 9.6% 8,369 6.4% (30.3%) $35,000 - $49,999 1,278 10.2% 1,022 8.1% (20.0%) 16,766 13.4% 12,560 9.6% (25.1%) $50,000 - $74,999 2,795 22.3% 1,626 12.9% (41.8%) 24,524 19.6% 19,240 14.7% (21.5%) $75,000 - $99,999 1,917 15.3% 1,866 14.8% (2.7%) 15,891 12.7% 18,454 14.1% 16.1% $100,000 - $149,999 1,992 15.9% 2,482 19.7% 24.6% 19,394 15.5% 25,658 19.6% 32.3% $150,000 - $199,999 575 4.6% 1,702 13.5% 195.8% 6,882 5.5% 13,739 10.5% 99.6% $200,000+ 563 4.5% 1,991 15.8% 253.8% 6,882 5.5% 19,371 14.8% 181.5% Total 12,539 100.0% 12,586 100.0% 0.4% 125,123 100.0% 130,973 100.0% 4.7% Median Household Income in 2022$ $68,364 $84,250 23.2% $81,279 $91,043 12.0% Source: U.S. Census Bureau ACS 2012 & 2022, Table S1901; Bureau of Labor Statistics; EPS. [1] The median household incomes reported by ACS are inflation-adjusted to constant dollars.

City of Monterey Monterey County
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 33, Packet Page 222 Appendix A
Economic & Planning Systems, Inc. (EPS) A-12
As shown in Table A-9, renter-occupied households in the City have significantly lower household incomes, about 34 percent less than households who own their homes despite larger household sizes.

Table A-9. Household Income, Size, and Per Capita Income by Tenure:

City of Monterey (2022)
Item
Household Tenure
Owner-occupied $130,281 2.03 $64,178
Renter-occupied $85,477 2.19 $39,031
Total Households $98,003 2.13 $46,011
Source: ACS 2022 5-Year estimate Table B25010 and Table B25119; EPS.

Median
Household
Income
Average
Household Size
Income per
Capita
City of Monterey
Attachment 1
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Economic & Planning Systems, Inc. (EPS) A-13
Average rents for multifamily units have continually increased at a higher rate than median income for renter-occupied households, as shown in Figure A-1, except for in 2014 and 2021, when income gains slightly outpaced rent increases, however, both followed years with very large percentage increase gaps between rents and income.

Figure A-1. Year-Over-Year Percentage Change in Median
Renter-Occupied Household Income versus Average Multifamily Rent:

City of Monterey: 2012-2022/2024
Source: CoStar; American Community Survey 5-Year Estimates, Table 25119; Bureau of Labor Statistics; EPS.

1.6% 1.8%

2.8%

6.6%

2.9%

4.4% 4.3% 5.3%

3.4% 2.7%

5.0%

2.4% 1.6%

0.7%
(8.8%)

3.7%
(0.2%)

2.2%

0.3% 0.6%

2.7% 3.1% 2.9% 4.4%
(10.0%)
(5.0%)

0.0%

5.0%

10.0%

15.0%

20.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Average MFR Rent Median Renter HH Income
[1] See Appendix A Table A-8 and Table A-9.

Attachment 1
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Housing Cost Burden
With rents growing faster than incomes, just over half of the City’s renteroccupied households are considered rent-burdened, paying 30 percent or more of their household income on housing costs, as shown in Table A-10. A quarter of renter-occupied households face a severe rent burden, paying over half their income on housing costs. Rent-burdened households have less money to spend on other essentials like food, transportation, healthcare, and childcare.

Table A-10. Overall Rent Burden: City of Monterey (2012 and 2022) Item
Total Renter
Households
% of Total Renter
Households
Total Renter
Households
% of Total Renter
Households
Rent as a Percentage of Household
Income [1]
Not Computed 421 5.1% 179 2.2%
Less than 30% of Income 3,994 48.2% 3,651 45.0%
Rent Burdened
30% to 50% of Income 2,173 26.2% 2,277 28.1%
More than 50% of Income 1,700 20.5% 1,998 24.7%
Sutotal Rent Burdened Households 3,873 46.7% 4,275 52.7% Total Renter Households 8,288 100.0% 8,105 100.0%
[1] The US Department of Housing and Urban Development defines a household spending more than 30% of their income on housing as "rent burdened." Households spending more than 50% of their income on housing are considered "severely rent burdened." Approximately 421 households were not computed. 2012
City of Monterey
2022
Source: American Community Survey 5-Year Estimates, Table B25070; EPS.

Attachment 1
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Tenancy Length
Table A-11 reflects the time that householders have spent in their current unit as of 2022. Approximately 77 percent of renters moved into their current unit between 2010 and 2020, 12 percent moved in between 2020 and 2022, and the remainder (11 percent) have occupied their current unit for 22 years or more.

Renters have a weighted average tenancy of 6.8 years, while homeowners, on average, have occupied their unit about 3 times longer, at 18+ years.

Table A-11. Year Householder Moved into Unit: City of Monterey (2022)
Item Min Max Avg. Total % Total %
Year Householder Moved Into Unit
Moved in 2021 or later 0 - 1 0.5 964 11.9% 86 1.9%
Moved in 2018 to 2020 2 - 4 3 3,112 38.4% 438 9.8%
Moved in 2010 to 2017 5 - 12 8.5 3,130 38.6% 1,342 29.9% Moved in 2000 to 2009 13 - 22 17.5 641 7.9% 934 20.8%
Moved in 1990 to 1999 23 - 32 27.5 211 2.6% 514 11.5%
Moved in 1989 or earlier 33 + 33 47 0.6% 1,167 26.0%
Total 8,105 100.0% 4,481 100.0%
Weighted Average Years Lived
in Unit 6.8 18.2
Source: ACS 2022 5-Year estimates Table B25038; EPS.

Renter-Occupied
City of Monterey Households
Owner-Occupied
Years Lived
in Unit
Attachment 1
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Economic & Planning Systems, Inc. (EPS) A-16
Tenure and Race
Communities of color are over-represented in the renter population. As shown in Table A-12, although the majority of City residents identify as White, far more people of color rent than own their home. Latinx people make up the largest share of non-White renters in Monterey.

Table A-12. Householder Race by Tenure: City of Monterey (2022) Item
RenterOccupiedOwnerOccupied Citywide
Householder Race
White 68.5% 84.8% 74.3%
Latinx (Hispanic or Latino) 20.3% 9.1% 16.3%
Asian 6.6% 7.3% 6.8%
Some Other Race 11.4% 2.5% 8.3%
Two or More Races 8.5% 3.3% 6.6%
Black 3.6% 2.0% 3.1%
Indigenous (Native American and Alaksa Native) 0.4% 0.0% 0.3% Source: American Community Survey 5-Year Estimates Table S2502; EPS.

City of Monterey Housing Units
Attachment 1
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Economic & Planning Systems, Inc. (EPS) A-17
Rent and Age
Monterey’s renter population also skews younger than the City’s population overall. As indicated in Table A-13, residents under 35 account for almost 40 percent of the renter population, while residents above the age of 65 account for only 15 percent of the City’s renters.

Table A-13. Householder Age: City of Monterey (2022)
Item Total % Total % Total %
Householder Age
Under 35 years 3,087 38.1% 173 3.9% 3,260 25.9%
35 to 44 years 1,675 20.7% 353 7.9% 2,028 16.1%
45 to 54 years 1,183 14.6% 408 9.1% 1,591 12.6%
55 to 64 years 942 11.6% 1,191 26.6% 2,133 16.9%
Over 65 years 1,218 15.0% 2,356 52.6% 3,574 28.4%
Total 8,105 100.0% 4,481 100.0% 12,586 100.0%
Source: American Community Survey 5-Year Estimates Table S2502; EPS.

City of Monterey Housing Units
Renter-Occupied Owner-Occupied Citywide
Attachment 1
Council Regular Meeting, 1/21/2025, Item No. 10., Item Page 39, Packet Page 228 Council
Agenda Report
FROM: Kimberly Cole, AICP, Community Development Director Prepared By: Anastacia Wyatt, Housing Manager
SUBJECT: Receive Rental Assistance Program Update and Recommended Program Changes (Not a Project Under CEQA per Article 20, Section 15378 and Under General Rule Article 5, Section 15061)
RECOMMENDATION:

That the City Council receive an update about the Monterey Rental Assistance Program (RAP).

VALUE DRIVERS:

Support efforts and policies that provide equitable access to affordable housing in Monterey and the region.

POLICY IMPLICATIONS:

The City Council could direct staff to make changes to the City’s Rental Assistance Program (RAP). This program provides rental assistance resources to members of the community in need through an application to the Housing Division. This program would be consistent with the City Council’s vision and strategic initiative of “Working to improve the quality of life of our residents.”
CAMPAIGN DISCLOSURE REQUIREMENT (LEVINE ACT) APPLIES: No.

FISCAL IMPLICATIONS:

City Council allocated $250,000 of City General Funds in Fiscal Year 2023-24 toward rental assistance and an additional $250,000 in funds in FY 2024-2025.

ENVIRONMENTAL DETERMINATION:

Date: 1/21/2025
Item No.: 11.

Council Regular Meeting, 1/21/2025, Item No. 11., Item Page 1, Packet Page 229 №10/24
ALTERNATIVES CONSIDERED:

The City Council can modify the RAP Guidelines or provide other guidance.

DISCUSSION:

City of Monterey Rental Assistance Programs
Previous City Rental Assistance programs have provided financial relief for members of the Monterey community. As the first program of its kind and the only one in Monterey County, the City of Monterey launched an Emergency Rental Assistance Program (ERAP) in April 2020, spending almost $1 million (assisting 162 households) in the City’s housing program income funds in response to financial hardships resulting from the COVID-19 pandemic. In 2021, the City of Monterey administered the ERAP funds totaling approximately $1.25 million on behalf of the United Way of Monterey County, benefiting 128 households. Combined, the two programs benefited 290 households.

The previous programs were bound to federal and state regulations, such as income requirements. This proposed program utilizes City general funds and can provide more flexible assistance and program requirements.

As federal COVID assistance ceased, the City Council expressed interest in early 2024 in establishing a local Rental Assistance Program funded by the City of Monterey for its residents.

Current Program
The City of Monterey initiated a new Rental Assistance Program on April 17, 2024. This program was launched in response to ongoing housing challenges in the community. Pandemic aid had ended, and people still face housing challenges. The 2024 Monterey Rental Assistance Program provided rental assistance to eligible households faced with housing instability issues.

This pilot program was funded with General Fund dollars, which allows the Program to not be prescribed by federal or state pass-through regulations. This approach allowed the City Council to customize the program to best fit the needs of renters in Monterey.

Since April 17, 2024, the City received a total of 686 applications and assisted 67 individuals and families and provided approximately $218,336.62 in rental assistance. Of the 67 assisted, 10 were served either with eviction notices from their landlord or a shut-off notice from their utility company. Seven (7) of the 10 were served with a three-day eviction notice and three were issued a shut-off notice from their utility company.

Of the applications reviewed, 11 were denied assistance due to ineligibility, and five applicants submitted fraudulent information in their application, such as false pay stubs, false landlord information, and other false information.

The maximum amount of rental assistance allowed in the program guidelines is $5,000 per applicant with an additional amount of $3,000 allowed for utilities, financial counseling, or onetime legal assistance. The City has provided an average of $3,751.65 per applicant.

Out of the total number of applicants, 55% were comprised of a one-person household and 45% were from a household of more than one person.

Council Regular Meeting, 1/21/2025, Item No. 11., Item Page 2, Packet Page 230 №10/24
The following are the income levels of the 67 applicants who received funding:
 16% Acutely Low (11 applicants)
 19% Extremely Low (13 applicants)
 22% Very Low (15 applicants)
 17% Low (17 applicants)
 16% Moderate (11 applicants)
Table 1
HCD Income Limits (2024)
The program is effective and assists applicants in need. The first come, first served program guideline is working and the funding amounts are meeting the needs of people needing assistance.

The program guidelines assist up to ten (10) qualified applicants per month on a first-come, firstserve basis. City staff accept no more than twenty (20) applications per month, review eligibility of those applicants, and provide funds to as many as possible in the top twenty (20).

Recommended Changes to Program
Staff is recommending changes to the program guidelines to better serve lower income residents in need and ensure funds are available for those at risk of eviction.

Proposed Changes to the program are detailed below.

Council Regular Meeting, 1/21/2025, Item No. 11., Item Page 3, Packet Page 231 №10/24
Table 2
Recommended Program Changes
Income Limit
Decrease Income Limit to people earning less than 80% of Area Median Income (AMI) based on annual State of California Housing and Community Development (HCD) Income Limits for Monterey County
Demonstrating
Need
Applicants must provide a notice that they are at or near eviction due to being unable to pay rent, such as a job loss, medical emergency, illness, 3- day notice, loss of income due to a major life event, injury etc.

Assets
Applicants cannot receive assistance if they have more than $5,000 in accessible/liquid assets (bank accounts, checking accounts, real property, etc.).

Excessive Debt
If applicants have excess car payment, credit card payments, parking or speeding tickets, medical bills, or other excessive bills, one month of assistance will be provided and applicants may reapply. Additional assistance will be based on the applicants making improvements to their financial situation.

If the rental cost burden is greater than 50% for more than six months, one month of assistance will be provided and the applicant may reapply.

Additional assistance will be based on the applicant making improvements to their financial situation. Applicant Rent
Burden If the rent cost burden of the applicant is greater than 50% of their income, one month of assistance will be provided. The applicant may reapply for assistance and will only be provided additional assistance if the applicant can demonstrate they will be able to afford their rent at a 50% cost burden or less long-term.

Lease Applicants must provide an industry standard lease.

Maximum
Assistance
Allow applicants to apply up to three times/year in a calendar year with a maximum of $5,000 in rental assistance. Applicants in a household are only eligible for maximum of $5,000 of assistance in a calendar year once every three years.

If the applicant is in a unit that is too large or expensive and if they demonstrate they are extremely cost burdened due to their rent being over 50% of their gross income, the City will assist with covering one month of rent and they may reapply if they have moved to a less expensive unit.

Applicants living in a unit that has more bedrooms than the number of people living in the unit, the City will not provide rental assistance. Unit Eligibility All applicants over 18 years old in a household are only eligible to receive up to $5,000 in rental assistance within a three-year period. Also, if a family member moves out of the primary household, they are not eligible for rental assistance at the new location unless there is a special circumstance as determined by the City Manager designee (i.e. divorce, domestic violence, etc.)
Timelines Applicants must meet internal deadlines and provide information about rental assistance or they are not eligible for that month.

Flexibility for
Urgent Cases
City Manager or designee has discretion to provide up to two urgent cases with assistance. These urgent cases must demonstrate an imminent risk of homelessness or eviction if the City does not step in and provide assistance.

Council Regular Meeting, 1/21/2025, Item No. 11., Item Page 4, Packet Page 232 №10/24
Applicants must sign under penalty of perjury that they are not lying on their application. If they have lied, misrepresented information, or omitted information required by the program, they are deemed ineligible to apply for the program for five years.

Security and
Repayment
Provisions If an applicant provided false information and was provided funding through the program, the applicant must repay the City all funding received.

Deposit
Assistance
If the City provides deposit assistance (only allowed within City limits), a signed industry standard lease or intent to sign an industry standard lease is required. If the tenant does not move into the unit, the landlord must repay the deposit to the City.

Part-Time
Employment
If applicant works part time and cannot afford their rent, due to a part-time job loss, that is not considered a valid job loss (i.e. working during the school year and not working over the summer).

Conclusion
City staff understands this has been a pilot program and can return to Council to modify the program if continued in future fiscal years. It is also important to note that staff expects many lessons to be learned as the program continues. The City is gaining valuable information on the needs of renters and how rental assistance can provide support.

There are limited funds and programs available to the public. When the program launched, staff received hundreds of calls from people in need all over Monterey County. Many callers were Spanish-only speakers and live in Salinas and South County. The City also received calls from other Peninsula cities including, Seaside, Pacific Grove, and Marina. Of the 378 calls staff have documented, more 72 have been from Salinas, 62 have been from the City of Monterey, 12 have been from Marina, eight from Soledad, four from Gonzales, three from King City, three from Greenfield, seven from Seaside, and five from Pacific Grove.

Many people need rental assistance and there are few resources and programs. The City of Monterey has stepped up to offer a safety net to its citizens through the rental assistance program. The Rental Assistance Program provides cost-burdened tenants a safety net and is a best practice to prevent homelessness. The continued number of calls staff receives from people throughout the County attests to the continued need as people’s financial needs change.

Staff recommends that the program continues with the recommended program modifications and hopes that other cities and the County join the City of Monterey and create programs to help people in their jurisdictions.

KC/aw
e: Housing List
Writings distributed for discussion or consideration on this matter within 72 hours prior to the meeting, pursuant to Government Code § 54957.5, will be made available at the following link:
https://monterey.gov/Submitted-Comments
Council Regular Meeting, 1/21/2025, Item No. 11., Item Page 5, Packet Page 233

Monterey City CouncilJanuary 21, 2025

Monterey City Council
January 21, 2025