Morgan Hill City Council
February 21, 2024

Special/Regular Meeting Agenda
City Council
Mark Turner - Mayor
Marilyn Librers - Mayor Pro Tem
Gino Borgioli - Council Member
Rene Spring - Council Member
Yvonne Martínez Beltrán - Council Member
Wednesday, February 21, 2024 5:00 PM
Council Chamber Building
17555 Peak Avenue, Morgan Hill, CA 95037
AMENDED AGENDA - This agenda has been amended to remove remote participation.

Council Member Yvonne Marinez Beltran will be participating remotely as follows:

Residence Inn by Marriott Sacramento Downtown at Capitol Park 1121 15th St
Sacramento, CA 95814
Public comment shall be allowed from this location.
_____________________________________________________________ Morgan Hill City Council meetings are held in person with the option for the public to attend in-person or view by teleconference/video conference. Information on how the public may observe and participate in the meeting is located below.

MEETING PARTICIPATION AND PUBLIC COMMENT
City Council meetings will be live-streamed on Channel 17, the City’s website, and the City’s Facebook page.

Those members of the community that would like to view the meetings remotely may do so by joining virtually at: https://bit.ly/MHCityCouncilMeeting, by calling (669) 900-9128, then enter the webinar id: 873 3200 8380# or on our website at https://www.morganhill.ca.gov/2101/Agendas-Minutes.

February 21, 2024
2 Public comment may only be provided in the following ways:
• In-person at the City Council Meeting;
• In writing
o Via email to [email protected]; or
o Hard copy hand delivered or by mail to the City Clerk at 17575 Peak Avenue, Morgan Hill, CA 95037.

Please email your comments to the City Clerk no later than 3:00 p.m. on Tuesday (the day before the City Council meeting) for your comments to be submitted to the members of the City Council with sufficient time to review the comments. You may continue to provide written comments up to noon on Wednesday (the day of the meeting) although Council Members may not have sufficient time to review them before the meeting. Public comments submitted to the City Clerk after 12:00 p.m. the day of the meeting will be provided to the City Council as time allows.

Written comments WILL NOT be read aloud during the City Council Meeting. Please note that written comments are posted on the City’s website. It is recommended that you do not include any personal information that you do not want to be posted on the web. Please be advised that communications directed to the City Council are public records and are subject to disclosure pursuant to the California Public Records Act and Brown Act unless exempt from disclosure under the applicable law. Communications will NOT be edited for redactions and will be printed/posted as submitted.

AMERICANS WITH DISABILITIES ACT (ADA)
In compliance with the Americans with Disabilities Act, if you are a disabled person and you need a disability related modification or accommodation to participate in this meeting, please contact the City Clerk's Office at (408)779 7259, (408)779 3117 (fax) or by email [email protected]. Requests must be made as early as possible and at least two full business days before the start of the meeting.

SPECIAL/REGULAR MEETING
A special meeting of the City Council is called at 5:00 p.m. for the purpose of conducting a closed session.

SPECIAL MEETING
5:00 p.m. Closed Session

February 21, 2024
3 CALL TO ORDER

ROLL CALL ATTENDANCE

DECLARATION OF POSTING AGENDA

CLOSED SESSION
Conference with Legal Counsel – Anticipated Litigation
Significant exposure to litigation pursuant to § 54956.9(b): (1 Case)

OPPORTUNITY FOR PUBLIC COMMENT

ADJOURN TO CLOSED SESSION

REGULAR MEETING
6:00 p.m.

SILENT INVOCATION

PLEDGE OF ALLEGIANCE

PRESENTATIONS
YAC Presentation
Habitat Plan Amendment

RECOGNITIONS
Recognizing the 2023 STEM winner

PROCLAMATIONS
Proclaiming the month of February as Black History Month Proclaiming February 7, 2024 as National Girls and Women in Sports Day

February 21, 2024
4 CITY COUNCIL REPORTS
Council Member Borgioli

CITY MANAGER'S REPORT

CITY ATTORNEY'S REPORT

OTHER REPORTS

PUBLIC COMMENT
This opportunity for public comment is for items that are not on the agenda. If you would like to make comments on an item that is on the agenda, please wait until we get to that item to offer your comments. Members of the public are entitled to address the City Council concerning any item within the Morgan Hill City Council’s subject matter jurisdiction. Public comments are limited to no more than three minutes. Except for certain specific exceptions, the City Council is prohibited from discussing or taking action on any item not appearing on the posted agenda. Public comment is intended for comments. Questions posed during public comment are not generally answered. If you have questions, please send them to the City Clerk at [email protected] to receive a response. (See additional noticing at the end of this agenda)
Public Comment Supplement

ADOPTION OF AGENDA

CONSENT CALENDAR
Items appearing on the Consent Calendar are considered routine and may be approved by one motion. Pursuant to City Council Policies and Procedures (CP 97-01), any member of the Council or public may request to have an item removed from the Consent Calendar for comment and action.

1. ACCEPTANCE OF 2023 PAVEMENT REHABILITATION PROJECT IN THE AMOUNT OF $4,009,627
Recommendation:

1. Accept as complete the 2023 Pavement Rehabilitation Project;

2. Authorize the City Engineer to sign the Notice of Completion; and

3. Direct the City Clerk to file said Notice of Completion with the County Recorder's Office.

February 21, 2024
5 2. ACCEPTANCE OF JACKSON OAKS WATER MAIN PROJECT IN THE AMOUNT OF $642,338
Recommendation:

1. Accept as complete the Jackson Oaks Water Main Project;

2. Authorize the City Engineer to sign the Notice of Completion; and

3. Direct the City Clerk to file said Notice of Completion with the County Recorder's Office.

3. ACCEPT DONATION OF UP TO $7,000 FOR TREES FOR IMPROVEMENTS

AT COMMUNITY PARK FROM GOOGLE
Recommendation:

Authorize the City Manager to accept a donation of trees valued up to $7,000 for Community Park improvements.

4. ADOPT RESOLUTION APPROVING A FUNDS TRANSFER AGREEMENT (FTA) WITH THE CALIFORNIA DEPARTMENT OF TRANSPORTION FOR

GRADE SEPARATIONS AND DIRECT THE CITY MANAGER TO NEGOTIATE A CONSULTANT AGREEMENT WITH BIGGS CARDOSA ASSOCIATES, INC.

FOR AN AMOUNT NOT TO EXCEED $1 MILLION FOR THE COMPLETION

OF DESIGN AND ENGINEERING WORK FOR GRADE SEPARATIONS FOR

DUNNE AVENUE AND DOWNTOWN CALTRAIN STATION PEDESTRIAN

CROSSING
Recommendation:

1. Adopt resolution approving a Funds Transfer Agreement with California Department of Transportation to fund design and engineering work for grade separations for Dunne Avenue and for the Downtown Caltrain Station pedestrian crossing;

2. Designate the City Manager as the person authorized to execute Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements and/or Fund Transfer Agreements, and any amendments thereto with the California Department of Transportation; and

3. Direct the City Manager to negotiate a consultant agreement with Biggs Cardosa Associates, Inc. for an amount not to exceed $1 million for the completion of design and engineering work for grade separations for Dunne Avenue and for the Downtown Caltrain Station pedestrian crossing.

5. ADOPT RESOLUTION OF INTENT TO HOLD SPECIAL BALLOT

PROCEEDING FOR SPARHAWK SUBAREA OF MORGAN HILL
LANDSCAPE ASSESSMENT DISTRICT NUMBER 1

February 21, 2024
6 Recommendation:

Adopt resolution declaring intent and authorizing special ballot proceeding required to increase the maximum assessment rate for the Sparhawk subarea of the City's Landscape Assessment District Number 1, effective Fiscal Year (FY) 2024-25.

6. ADOPT UPDATES TO THE SUSTAINABLE MORGAN HILL DOCUMENT Recommendation:

Adopt updates to the Sustainable Morgan Hill document.

7. APPROVE CONTRACT AMENDMENTS FOR CITY ON-CALL PLUMBING

CONTRACTORS
Recommendation:

1. Authorize the City Manager to execute a fourth amendment to the agreement with Burr Plumbing extending the term of the contract to June 30, 2025 and increasing the maximum compensation to $307,625; and

2. Authorize the City Manager to execute a fourth amendment to the agreement with Century Commercial Service, Inc. extending the term of the contract to June 30, 2025.

8. APPROVE PACIFIC GAS AND ELECTRIC COMPANY AGREEMENT TO

PROVIDE ELECTRIC SERVICE TO THE BUTTERFIELD FIRE STATION

PROJECT
Recommendation:

1. Ratify approval of the Pacific Gas and Electric Company Agreement to provide electric service to the Butterfield Fire Station Project; and

2. Authorize the City Manager to administer and execute the Pacific Gas and Electric Company Agreement in the amount of $161,921.

9. APPROVE REVISIONS TO CITY COUNCIL POLICY CP 94-04, THE CITY'S

INVESTMENT POLICY
Recommendation:

Approve revisions to City Council Policy CP 94-04, the City's Investment Policy.

10. APPROVE THE JANUARY 17, 2024 CITY COUNCIL MEETING MINUTES Recommendation:

Approve minutes.

11. AWARD THE POLICE DEPARTMENT EXPANSION PROJECT TO JAHN PLUMBING, INC. IN THE AMOUNT OF $229,221 AND THE CONTINGENCY NOT TO EXCEED $22,922

February 21, 2024
7 Recommendation:

1. Award the Police Department Expansion Project to Jahn Plumbing, Inc. in the amount of $229,221; and authorize the expenditure of contingency funds not to exceed $22,922; and

2. Authorize the City Manager to execute and administer that certain construction contract with Jahn Plumbing, Inc.

12. AWARD MADRONE CHANNEL TRAIL IMPROVEMENTS PHASE II PROJECT TO BEALS MARTIN AND ASSOCIATES, INC. IN THE AMOUNT OF $497,327 AND A CONTINGENCY NOT TO EXCEED $49,733, AND ADOPT
RESOLUTION AMENDING THE FISCAL YEAR 2023-24 BUDGET TO
RECOGNIZE $335,000 AS GRANT REVENUE AND APPROPRIATE AN
ADDITIONAL $190,000 IN THE PARK IMPACT FUND (301) , FOR THE

MADRONE CHANNEL TRAIL IMPROVEMENTS PHASE II PROJECT
Recommendation:

1. Adopt resolution amending the Fiscal Year 2023-24 Budget to recognize $335,000 as grant revenue and appropriate an
additional $190,000 in the Park Impact Fund (301), for the Madrone Channel Trail Improvements Phase II Project;

2. Approve the Madrone Channel Trail Improvements Phase II Project Plans and Specifications;

3. Award contract to Beals Martin and Associates, Inc. for the Madrone Channel Trail Improvements Phase II Project in the amount of $497,327;

4. Authorize expenditure of construction contingency funds not to exceed $49,733; and

5. Authorize the City Manager to execute and administer the construction contract with Beals Martin and Associates, Inc.

13. RECEIVE ANNUAL REPORT ON 2023 CITY ENGINEER ACCEPTANCES OF

PUBLIC IMPROVEMENTS COMPLETED BY PRIVATE DEVELOPMENT

PROJECTS
Recommendation:

Accept and file Annual Report on 2023 City Engineer acceptances of public improvements completed by private development projects.

PUBLIC HEARINGS

14. ADOPT RESOLUTION APPROVING COMMENCEMENT OF 2024 WEED

ABATEMENT PROGRAM
Recommendation:

February 21, 2024
8 1. Open/Close public hearing; and

2. Adopt a resolution authorizing Santa Clara County to commence hazardous vegetation abatement activities.

OTHER BUSINESS

15. ADOPT RESOLUTIONS CALLING FOR A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024; PLACING A MEASURE

ON THE BALLOT TO ENACT A TWELVE CONSECUTIVE YEAR LIMIT ON COMBINED MAYORAL AND CITY COUNCIL SERVICE; PLACING A

MEASURE ON THE BALLOT TO AMEND THE CURRENT TWO-YEAR
MAYORAL TERM TO A FOUR-YEAR TERM; AND PROVIDE DIRECTION REGARDING TERM LIMITS FOR CITY BOARDS AND COMMISSIONS.

Recommendation:

1. Adopt Resolution A calling for a General Municipal Election to be held on Tuesday, November 5, 2024, to elect a Mayor, one Council Member from District A, one Council Member from District C, and the City Treasurer;

2. Adopt Resolution B requesting the services of the Board of Supervisors of the County of Santa Clara and the Registrar of Voters Office - and the Consolidation of the Election;

3. Adopt Resolution C placing a measure on the ballot to enact a twelve consecutive year limit on combined Mayoral and City Council service;

4. Adopt Resolution D placing a measure on the ballot to amend the current two-year Mayoral Term to a four-year term; and

5. Provide direction regarding term limits for boards and commissions.

FUTURE COUNCIL INITIATED AGENDA ITEMS
Note: in accordance with Government Code Section 54954.2(a), there shall be no discussion, debate and/or action taken on any request other than providing direction to staff to place the matter of business on a future agenda.

ADJOURNMENT

February 21, 2024
9 NOTICE
Any documents produced by the City and distributed to the majority of the City Council less than 72 hours prior to an open meeting, will be made available for public inspection at the City Clerk’s Counter at City Hall located at 17575 Peak Avenue, Morgan Hill, CA, 95037 and at the Morgan Hill Public Library located at 660 West Main Avenue, Morgan Hill, California, 95037 during normal business hours. (Pursuant to Government Code 54957.5)

PUBLIC COMMENT
Members of the Public are entitled to directly address the City Council concerning any item that is described in the notice of this meeting, before or during consideration of that item. If you wish to address the Council on any issue that is on this agenda, please complete a speaker request card located in the foyer of the Council Chambers and deliver it to the Minutes Clerk prior to discussion of the item. You are not required to give your name on the speaker card in order to speak to the Council, but it is very helpful. When you are called, proceed to the podium and the Mayor will recognize you. If you wish to address the City Council on any other item of interest to the public, you may do so during the public comment portion of the meeting following the same procedure described above. Please limit your comments to three (3) minutes or less.

Please submit written correspondence to the Minutes Clerk, who will distribute correspondence to the City Council.

Persons interested in proposing an item for the City Council agenda should contact a member of the City Council who may request an item on the agenda for a future City Council meeting. Council discussion or action may not be taken until your item appears on an agenda. This procedure is in compliance with the California Public Meeting Law (Brown Act) Government Code §54950.

City Council Policies and Procedures (CP 03-01) outlines the procedure for the conduct of public hearings.

Notice is given, pursuant to Government Code Section 65009, that any challenge of Public Hearing Agenda items in court, may be limited to raising only those issues raised by you or on your behalf at the Public Hearing described in this notice, or in written correspondence delivered to the City Council at, or prior to the Public Hearing on these matters.

The time within which judicial review must be sought of the action by the City Council, which acted upon any matter appearing on this agenda is governed by the provisions of Section 1094.6 of the California Code of Civil Procedure.

For a copy of City Council Policies and Procedures CP 97-01, please contact the City Clerk’s office (408) 779-7259, (408) 779-3117 (fax) or by email [email protected].

February 21, 2024
10

From: Michelle Bigelow
To: Kim Mancera
Cc: Christina Turner
Subject: FW: Term Limits
Date: Tuesday, January 30, 2024 8:28:12 AM
Public comment for 2/21 meeting
Michelle Bigelow, MMC, CPMC
City Clerk/Public Information Officer
she | her | hers (what’s this?)
City of Morgan Hill
City Clerk’s Office
17575 Peak Avenue, Morgan Hill, CA 95037
D: 408.310.4678 O: 408.779.7259
[email protected]
morganhill.ca.gov | facebook | twitter
From: Dan Makinster <[email protected]>
Sent: Tuesday, January 30, 2024 7:14 AM
To: mark.turner@morgan hill.ca.gov; Gino Borgioli <[email protected]>; Yvonne Martinez Beltran <[email protected]>; Rene Spring <[email protected]>; Marilyn Librers <[email protected]>; Christina Turner <[email protected]>; Donald Larkin <[email protected]>; Michelle Bigelow <[email protected]>
Subject: [EXTERNAL] Term Limits
To the esteemed members of Morgan Hill city officials and city council members, I’m a resident of Morgan Hill and I’m asking you to please vote to oppose term limits.” Thank you.

Dan Makinster
Agile Communication Systems
16315 Vineyard Blvd. Suite B
Morgan Hill, CA 95037
408-659-8449
WARNING: This message is from an external user. Confidential information such as social security numbers, credit card numbers, bank routing numbers, gift card numbers, wire transfer information and other personally identifiable information should not be transmitted to this user. For question, please contact the Morgan Hill IT Department by opening a new helpdesk request online or call 408-909-0055.

1 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Yat Cho, Senior Project Manager
APPROVED BY: City Manager
ACCEPTANCE OF 2023 PAVEMENT REHABILITATION PROJECT IN
THE AMOUNT OF $4,009,627

RECOMMENDATION(S)

1. Accept as complete the 2023 Pavement Rehabilitation Project;

2. Authorize the City Engineer to sign the Notice of Completion; and

3. Direct the City Clerk to file said Notice of Completion with the County Recorder's Office.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Enhancing Public Safety
Maintaining and Enhancing Infrastructure
2022-2023 Strategic Priorities
Fiscal Sustainability
Transportation
Guiding Documents
Bikeways, Trails, and Recreation Master Plan
REPORT NARRATIVE:

On June 7, 2023, the 2023 Pavement Rehabilitation Project was awarded to McKim Corporation in the amount of $3,948,023 with a construction contingency of $394,802.

The project included pavement rehabilitation at the following streets (see attachment 1 - vicinity maps):
• La Crosse Drive
• La Rena Court
• La Roda Court
• La Miranda Court
• La Porte Court
• La Prenda Court
• La Escuela Court

1 • Descansa Court
• El Pajaro Court
• La Mesa Court
• La Sierra Court
• La Honda Court
• La Jolla Court
• La Mar Court
• La Bella Court
• East Middle Avenue between Monterey Road to Railroad Tracks • Main Avenue from Monterey Road to Butterfield Boulevard • Llagas Road from Hale Avenue to Old Monterey Road
• Oak View Circle
• Oak View Court
The project's scope of work is described as follows but not limited to: Pavement Milling and Filling, Full Depth Asphalt Concrete Pavement Repairs, Crack Sealing, Replacement of all existing Traffic Delineations and Markings, Utility Adjustments, Traffic Signal Loop Restoration, and all other related work. During construction, additional pavement rehabilitation work was added to the project on Llagas Road from Hale Avenue to Old Monterey Road. The project began on September 5, 2023 and was substantially completed by January 12, 2024. One change order was authorized in the amount of $61,604 (Attachment 2). The final construction contract with McKim Corporation is $4,009,627.

Staff recommends accepting this project as it is complete in accordance with the plans and specifications and directing the City Clerk to file the Notice of Completion (Attachment 3).

COMMUNITY ENGAGEMENT:

Inform
Prior to and during construction, City staff coordinated with all construction activities and roadway closures through citywide emails, social media posts, and the City website.

Additional coordination efforts through emails were made with emergency services, the post office, school district, and trash pickup to ensure minimal disruptions to these essential services. Contractor further provided no parking signage and written notifications to affected residents and businesses in advance of commencement of work.

ALTERNATIVE ACTIONS:

Accepting the project in accordance with the contract documents is a required process and enables the City to release any retained funds owed to the contractor per California Public Contract Code Section 7107.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

1 • On June 7, 2023, the City Council awarded 2023 Pavement Rehabilitation Project to McKim Corporation.
• On April 19, 2023, the City Council received an Update Regarding Pavement Rehabilitation Planning.
• On June 15, 2022, the City Council adopted the FY2022-23 through 2027-28 Capital Improvement Program Project Budget.

FISCAL AND RESOURCE IMPACT:

The final contract amount for the 2023 Pavement Rehabilitation Project is $4,009,627 (Including one change order in the amount of $61,604). The project was awarded to McKim Corporation in the amount of $3,948,023 with an authorized contingency of $394,802 (Total of $4,342,825). This project is funded in the adopted Capital Improvement Program Budget, under Project 519000, Pavement Rehabilitation, funded by the Street CIP Fund (308). The balance of $333,198 will be returned to the Street CIP Fund (308).

CEQA (California Environmental Quality Act):

Categorical Exemption
The activities described in this Staff Report are categorically exempt under CEQA, specifically pursuant to Section 15301 of the CEQA Guidelines (Exisitng Facilities), as the subject work involves the repair, maintenance, or minor alteration of existing City facilities involving negligible or no expansion of use of those facilities.

G:\R-14\Proj\GIS\Agustin\2022 pvmnt.mxd
Engineering and Utilities Department
CIP Engineering Division
2023 PAVEMENT

REHABILITATION PROJECT O
820 0 820 1,640 2,460 410
Feet
Sources: Esri, HERE, Garmin, USGS, Intermap, INCREMENT P, NRCan, Esri Japan, METI, Esri China (Hong Kong), Esri Korea, Esri (Thailand), NGCC, (c) OpenStreetMap contributors, and the GIS User Community
La Crosse Drive
La Roda Ct
La Rena Ct
La Mesa Ct
La Sierra Ct
La Bella Ct
La Mar Ct
La Honda Ct
Descansa Ct
El Pajaro Ct
La Escuela Ct
La Porte Ct
La Jolla Ct
La Prenda Ct
La Miranda Ct
1 of 3

G:\R-14\Proj\GIS\Agustin\2022 pvmnt.mxd
Engineering and Utilities Department
CIP Engineering Division
2023 PAVEMENT

REHABILITATION PROJECT O
820 0 820 1,640 2,460 410
Feet
Sources: Esri, HERE, Garmin, USGS, Intermap, INCREMENT P, NRCan, Esri Japan, METI, Esri China (Hong Kong), Esri Korea, Esri (Thailand), NGCC, (c) OpenStreetMap contributors, and the GIS User Community
East Main Avenue
Sources: Esri, HERE, Garmin, USGS, Intermap, INCREMENT P, NRCan, Esri Japan, METI, Esri China (Hong Kong), Esri Korea, Esri (Thailand), NGCC, (c) OpenStreetMap contributors, and the GIS User Community
East Middle Avenue
2 of 3

Engineering and Utilities Department
CIP Engineering Division
2023 PAVEMENT

REHABILITATION PROJECT O
820 0 820 1,640 2,460 410
Feet
Sources: Esri, HERE, Garmin, USGS, Intermap, INCREMENT P, NRCan, Esri Japan, METI, Esri China (Hong Kong), Esri Korea, Esri (Thailand), NGCC, (c) OpenStreetMap contributors, and the GIS User Community
G:\R-14\Proj\GIS\Agustin\2023 pvmnt.mxd
Llagas Road
(Hale Avenue to Old Monterey Road)

CIP Contract Acceptance
Funding Closeout Statement
Project: 2023 Pavement Rehabilitation Project
Project No: 519000
Date of Project
Award: 7-Jun-23 Project AwardAmount:

Funding Source: F308
Contingency
Authorized:

Date of Project
Acceptance: 21-Feb-24 Total Authorized:

Actual Base
Contract Spent:

Change Orders
Description Date
Council Approval
Reqd? (Y/N)
C.O. #1:

Various T&M and Overage/Underage Contract
Items 22-Jan-24 N
Total C.O.:

Additional Appropriations
Source Amount Date
None
Total Construction
Amount (Base
Contract plus
CO's):

Construction Fund Balance: $333,198.00

$3,948,023
$394,802
$4,342,825
$3,948,023
$61,604.00
$61,604.00
$4,009,627.00

2023 Pavement Rehabilitation Project 2020 Form NOTICE OF COMPLETION 519000
Recording Requested By:

The City of ___________
When Recorded Mail To:
_____________________ <name, title>
_____________________ <street address>
_____________________ <city, state and zip>

EXEMPT FROM RECORDING FEES PER
GOVERNMENT CODE §§ 6103, 27383
SPACE ABOVE THIS LINE IS FOR RECORDER’S USE

NOTICE OF COMPLETION
Civil Code §§ 8182, 8184, 9204, and 9208
NOTICE IS HEREBY GIVEN THAT:

1. The undersigned is the agent of the owner of the Project described below.

2. Owner’s full name is City of Morgan Hill (“City”)

3. City’s address is 17575 Peak Avenue Morgan Hill, CA 95037

4. The nature of City’s interest in the Project is:

XX Fee Ownership __ Lessee __ Other:__________________

5. Construction work on the Project performed on City’s behalf is generally described as follows: Pavement Rehabilitation at various locations within City Limits

6. The name of the original Contractor for the Project is: McKim Corporation

7. The Project was accepted as complete on: February 21, 2024

8. The Project is located at the following location:
• La Crosse Drive
• La Rena Court
• La Roda Court
• La Miranda Court
• La Porte Court
• La Prenda Court
• La Escuela Court
• Descansa Court
• El Pajaro Court
• La Mesa Court
• La Sierra Court
• La Honda Court
• La Jolla Court
• La Mar Court
• La Bella Court
• East Middle Avenue between Monterey Road to Railroad Tracks • Main Avenue between Monterey Road to Butterfield Boulevard • Oak View Circle
• Oak View Court
• Llagas Road from Hale Avenue to Old Monterey Road

2023 Pavement Rehabilitation Project 2020 Form NOTICE OF COMPLETION 519000
Verification: In signing this document, I, the undersigned, declare under penalty of perjury under the laws of the State of California that I have read this notice, and I know and understand the contents of this notice, and that the facts stated in this notice are true and correct.
__________________________ ________________________________ Date and Place Signature
________________________________
Name and Title
EXEMPT FROM NOTARY ACKNOWLEDGMENT REQUIREMENTS PER GOVERNMENT CODE § 27287 AND CIVIL CODE § 920

2 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Yat Cho, Senior Project Manager
APPROVED BY: City Manager

ACCEPTANCE OF JACKSON OAKS WATER MAIN PROJECT IN THE
AMOUNT OF $642,338

RECOMMENDATION(S)

1. Accept as complete the Jackson Oaks Water Main Project;

2. Authorize the City Engineer to sign the Notice of Completion; and

3. Direct the City Clerk to file said Notice of Completion with the County Recorder's Office.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Enhancing Public Safety
Maintaining and Enhancing Infrastructure
2022-2023 Strategic Priorities
Fiscal Sustainability
Guiding Documents
Water System Master Plan
REPORT NARRATIVE:

On June 7, 2023, the Jackson Oaks Water Main Project was awarded to SubTerra Construction, Inc. in the amount of $642,100 with a construction contingency of $96,315. The project involved the replacement of approximately 1500 linear feet of existing water mains in Oak View Circle and Hilltop Court. It also included the installation of new copper water lines/services between the new water mains and the existing water meters of all affected residences (See Attachment 1 for Vicinity Map).

In addition to the work involved with installing the new water mains in Oak View Circle and Hilltop Court, it also included the abandonment of the existing water mains and valving in both roadways. A slurry seal was applied to Hilltop Court following the completion of the water main replacement work while a 2-inch asphalt concrete overlay was placed on Oak View Circle. The project began on August 16, 2023 and was substantially completed by November 30, 2023. One change order was authorized in

2 the amount of $238 (Attachment 2). The final construction contract with SubTerra Construction, Inc. is $642,338.

Staff recommends accepting this project as it is complete in accordance with the plans and specifications and directing the City Clerk to file the Notice of Completion (Attachment 3).

COMMUNITY ENGAGEMENT:

Inform
Staff worked with residents and provided project information to affected residents through meeting at their clubhouse prior to the start of construction. Staff also provided regular updated construction information weekly through Nextdoor and on the City’s website. Additionally, prior to the start of any construction activities, contractor provided door notifications for further outreach to residents.

ALTERNATIVE ACTIONS:

Accepting the project in accordance with the contract documents is a required process and enables the City to release any retained funds owed to the contractor per California Public Contract Code Section 7107.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:
• On June 7, 2023, the City Council awarded Jackson Oaks Water Main Project to Subterra Construction, Inc. in the amount of $642,100
• On August 5, 2020, the City Council approved the agreement with Mott Macdonald for on-call design support for CIP Projects.
• On December 15, 2021, the City Council adopted the Water Systems Master Plan.
• On June 15, 2022, the City Council adopted the FY2022-23 through 2027-28 Capital Improvement Program Budget.

FISCAL AND RESOURCE IMPACT:

The final contract amount for the Jackson Oaks Water Main Project is $642,338 (Including one change order in the amount of $238). The project was awarded to SubTerra Construction, Inc. in the amount of $642,100 with an authorized contingency of $96,315 (Total $738,415). This project is funded in the adopted Capital Improvement Program budget, under Project 610000 - Water Pipeline Repair and Replacement, funded by the Water Capital Project Funds (653). The balance of $96,077 will be returned to the Water Capital Project Funds (653).

CEQA (California Environmental Quality Act):

Categorical Exemption
The activities described in this staff report are categorically exempt under CEQA,

2 specifically pursuant to Section 15301 of the CEQA Guidelines (Exisitng Facilities), as the work for this project involves the repair, maintenance, or minor alteration of existing City facilities involving negligible or no expansion of use of those facilities.

Sanborn Map Company, Santa Clara County, Santa Cruz County, Maxar, Microsoft
±
Engineering and Utilities Department
CIP Engineering Division
Document path: G:\R-14\PROJ\Maribel\GIS
Vicinity Map for Jackson Oaks
Water Main Replacement
0 0.01 0.03 0.06 0.09 0.12
Miles
E. Dunne Ave.

Project Location
Jackson Oaks Dr.

Project Location
Hill Top Ct.

Oak View Cir.

CIP Contract Acceptance
Funding Closeout Statement
Project: Jackson Oaks Water Main Replacement Project
Project No: 610000
Date of Project
Award: 7-Jun-23 Project AwardAmount:

Funding Source: F653
Contingency
Authorized:

Date of Project
Acceptance: 21-Feb-24 Total Authorized:

Actual Base
Contract Spent:

Change Orders
Description Date
Council Approval
Reqd? (Y/N)
C.O. #1:

Various T&M and Overage/Underage Contract
Items 11-Dec-23 N
Total C.O.:

Additional Appropriations
Source Amount Date
None
Total Construction
Amount (Base
Contract plus
CO's):

Construction Fund Balance: $96,076.80

$642,100
$96,315
$738,415
$642,100
$238.20
$238.20
$642,338.20

610000 2020 Form NOTICE OF COMPLETION
Jackson Oaks Water Main Project Page 1
Recording Requested By:

The City of ___________
When Recorded Mail To:
_____________________ <name, title>
_____________________ <street address>
_____________________ <city, state and zip>

EXEMPT FROM RECORDING FEES PER
GOVERNMENT CODE §§ 6103, 27383
SPACE ABOVE THIS LINE IS FOR RECORDER’S USE

NOTICE OF COMPLETION
Civil Code §§ 8182, 8184, 9204, and 9208
NOTICE IS HEREBY GIVEN THAT:

1. The undersigned is the agent of the owner of the Project described below.

2. Owner’s full name is City of Morgan Hill (“City”)

3. City’s address is 17575 Peak Avenue Morgan Hill, CA 95037

4. The nature of City’s interest in the Project is:

XX Fee Ownership __ Lessee __ Other:__________________

5. Construction work on the Project performed on City’s behalf is generally described as follows:

Approximately 1500 Linear Feet of 8” Water Main Replacement at Oak View Circle and Hilltop Court

6. The name of the original Contractor for the Project is: SubTerra Construction, Inc.

7. The Project was accepted as complete on: February 21, 2024

8. The Project is located at: Jackson Oaks Drive/Oak View Circle and Hilltop Court, Morgan Hill, CA Verification: In signing this document, I, the undersigned, declare under penalty of perjury under the laws of the State of California that I have read this notice, and I know and understand the contents of this notice, and that the facts stated in this notice are true and correct. __________________________ ________________________________ Date and Place Signature
________________________________
Name and Title

EXEMPT FROM NOTARY ACKNOWLEDGMENT REQUIREMENTS PER
GOVERNMENT CODE § 27287 AND CIVIL CODE § 920

3 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Keri Russell, Maintenance Manager
APPROVED BY: City Manager
ACCEPT DONATION OF UP TO $7,000 FOR TREES FOR

IMPROVEMENTS AT COMMUNITY PARK FROM GOOGLE

RECOMMENDATION(S)
Authorize the City Manager to accept a donation of trees valued up to $7,000 for Community Park improvements.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Maintaining and Enhancing Infrastructure
Supporting our Youth, Seniors, and Entire Community
Enhancing Diversity and Inclusiveness
2022-2023 Strategic Priorities
Fiscal Sustainability
Guiding Documents
Bikeways, Trails, and Recreation Master Plan
Urban Forest Management Plan
REPORT NARRATIVE:

On November 15, 2023, the City Council accepted a donation of up to $20,000 from the Rotary Club of Morgan Hill to make improvements at Community Park. As part of the project, Rotary is adding trees to the newly created picnic area as well as around the perimeter of the park fence as identified in the attachment. As part of the project, both City staff and the Rotary Club of Morgan Hill have worked on getting sycamore trees donated. Google will be donating approximately 30 sycamore trees valued up to $7,000.

Once the trees are donated, City staff and the Rotary Club of Morgan Hill will work to get them planted.

COMMUNITY ENGAGEMENT:

Empower
The project was brought forward by community members from the Rotary Club of Morgan Hill in consultation with City staff and will be implemented by both volunteers and City staff.

3 ALTERNATIVE ACTIONS:

The City Council could choose not to accept the donation and provide staff and the Rotary Club with alternative feedback.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

On November 15, 2023, the City Council accepted a donation of up to $20,000 for Community Park improvements from the Rotary Club of Morgan Hill. The trees were part of this improvement plan.

FISCAL AND RESOURCE IMPACT:

The tree donation is not anticipated to create significant ongoing operational expense.

The largest operational expense will be related to tree trimming that will be required many years down the road. The planting will require support from the Public Services Department, but improvements to a City park facility will be made that otherwise would not.

CEQA (California Environmental Quality Act):

Categorically exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to CEQA Guideline Section 15304 Class 4 “Minor Alterations to Land” for the planting of new trees.

Attachment 1
Tree Locations at Community Park

4 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Christopher Shafer, Economic Development Fellow
APPROVED BY: City Manager

ADOPT RESOLUTION APPROVING A FUNDS TRANSFER

AGREEMENT (FTA) WITH THE CALIFORNIA DEPARTMENT OF

TRANSPORTION FOR GRADE SEPARATIONS AND DIRECT THE CITY

MANAGER TO NEGOTIATE A CONSULTANT AGREEMENT WITH
BIGGS CARDOSA ASSOCIATES, INC. FOR AN AMOUNT NOT TO
EXCEED $1 MILLION FOR THE COMPLETION OF DESIGN AND

ENGINEERING WORK FOR GRADE SEPARATIONS FOR DUNNE

AVENUE AND DOWNTOWN CALTRAIN STATION PEDESTRIAN

CROSSING

RECOMMENDATION(S)

1. Adopt resolution approving a Funds Transfer Agreement with California Department of Transportation to fund design and engineering work for grade separations for Dunne Avenue and for the Downtown Caltrain Station pedestrian crossing;

2. Designate the City Manager as the person authorized to execute Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements and/or Fund Transfer Agreements, and any amendments thereto with the California Department of Transportation; and

3. Direct the City Manager to negotiate a consultant agreement with Biggs Cardosa Associates, Inc. for an amount not to exceed $1 million for the completion of design and engineering work for grade separations for Dunne Avenue and for the Downtown Caltrain Station pedestrian crossing.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Enhancing Public Safety
Maintaining and Enhancing Infrastructure
Advancing Regional Initiatives
2022-2023 Strategic Priorities
Fiscal Sustainability
Transportation

4 Guiding Documents
Morgan Hill 2035 General Plan
Downtown Specific Plan
REPORT NARRATIVE:

The City's 2035 General Plan's Transportation Element aims to create a safe and efficient transportation system in Morgan Hill. To improve emergency vehicle response times and minimize conflicts between railroad trains and on-road vehicles, Policy TR3.18"Grade-Separated Railroad Crossings,"directs staff to plan for the construction of grade-separated crossings of the Union Pacific railroad as part of the goal to create a coordinated and continuous network of streets and roads.

While the City currently has limited CalTrain service with only four trains running in each direction, the CalTrain Business Plan seeks to grow train capacity in the future. Also, the California High Speed Rail (HSR) project, which intends to connect San Francisco to Los Angeles, recently advanced significant project environmental clearance and secured $3.1 billion in State funding to advance the construction of the Central Valley segment. The HSR project through Morgan Hill proposes utilizing the existing Union Pacific Railroad right-of-way with at-grade crossings and no grade separations. The HSR project as envisioned, creates a significant challenge to emergency response times and adequate safety for pedestrians trying to cross the rail line.

Staff has been advocating to all transportation agencies for grade separation planning and funding. To position the City for transportation funding opportunities, the City issued a Request For Proposals (RFP) in 2022 for grade separation design. Only one firm responded to the RFP. In early 2023, staff used the information from the RFP to submit a community project funding request to the State for grade separation design work, along with other funding proposals. The application for design services for grade separations for $1 million was approved and forwarded to the 2024 Priority Legislative Budget Projects list (Earmarks-PLBP). No matching funds are required by the City.

FUNDS TRANSFER AGREEMENT:

The next step in receiving the funds for this grant is to adopt a resolution for a Funds Transfer Agreement with the California Department of Transportation (DOT). Once funds are received from DOT, the City will enter into an agreement to complete the design work. While the City has been identified to receive funding, it is important to note that many of the earmarked transportation funds are being re-evaluated, and funding is not guaranteed.

As mentioned, in 2022, City staff issued a Request for Proposals (RFP) for 30% design of grade separations and received one proposal from a team led by Biggs Cardosa Associates, Inc. with a sub-consultant team that includes: BKF Engineers, Perkins & Will, JMA Civil, Hexagon, PARIKH, and David J. Powers. Some of the consultants in this team have extensive knowledge of the HSR proposal through Morgan Hill as they worked with the City on the review of the HSR EIR. In addition, the team has over 36 years of design experience and completed over 50 grade separation projects in California, some of which received industry awards and were identified as signature

4 pedestrian/bicycle facility projects.

Staff recommends taking the steps necessary to secure the funding earmarked for grade separation analysis. This includes adopting a resolution approving a Funds Transfer Agreement (FTA) with DOT and moving forward with negotiating an agreement with Biggs Cardosa Associates Inc. in an amount not to exceed $1 million. Staff will bring back the negotiated contract for Council's review and approval. The grade separation design and engineering work will allow the City to be prepared for High Speed Rail should that project ever come to fruition and position the City for future funding opportunities.

COMMUNITY ENGAGEMENT:

Inform
This report serves to inform the Community of the proposed Funds Transfer Agreement for the purpose of commencing design of the grade separations as part of the State's HSR project. The City's General Plan has proposed planning for a grade separated rail system as part of the 2035 General Plan. Grade separations for the rail system were also discussed at Council meetings when the Council received updates on the California High Speed Rail environmental review and comment process.

ALTERNATIVE ACTIONS:

The City Council could choose not to adopt this Resolution and not to move forward with this $1 million in grant funds.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

Policy TR-3.18 "Grade-Separated Railroad Crossings" and Action TR-3.M "Funding for Grade Separated Crossings" were publicly noticed and adopted as part of the General Plan Update (2035 General Plan) that was adopted in July 2016. While no specific action has been taken on grade separations, the City has provided comments to the California High-Speed Rail Authority (CHSRA) on the EIR specifically related to the need of a grade separated rail system to address the identified impacts to safety and circulation in Morgan Hill.

FISCAL AND RESOURCE IMPACT:

No matching funds are required from the City for this $1 million grant from DOT. Staff expect to be able to secure an administrative management fee to assist with the costs associated with the management of this grant and consulting contract.

CEQA (California Environmental Quality Act):

Not a Project
The item on tonight's agenda is not a project as defined in Section 15378 of the California Environmental Quality Act (CEQA) for organizational and/or administrative activities of governments that will not result in direct or indirect physical changes in the environment. This resolution will allow for a scope of work to be developed that includes environmental review consistent with CEQA. Grade separations were

4 analyzed in the adopted California High Speed Rail, San Jose to Merced project EIR. It is anticipated that an Addendum or Supplemental EIR will be prepared for this project.

City of Morgan Hill
Resolution No. 24-xxx

RESOLUTION NO. 24-xxx

A RESOLUTION OF THE CITY OF MORGAN HILL

AUTHORIZING EXECUTION OF ADMINISTERING

AGENCY-STATE MASTER AGREEMENTS FOR STATE

AND FEDERAL-AID FUNDED PROJECTS
WHEREAS, the City of Morgan Hill is eligible to receive Federal and/or State funding for certain Transportation Projects through California Department of Transportation; and, WHEREAS, Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements and/or Fund Transfer Agreements must be executed with the California Department of Transportation before such funds can be claimed; and, WHEREAS, the City of Morgan Hill wishes to delegate the authority to execute these agreements and any amendments thereto the City Manager.

NOW, THEREFORE, BE IT RESOLVED that the City of Morgan Hill designates the City Manager as the person authorized to execute all Master Agreements, Program Supplemental Agreements, Fund Exchange Agreements and/or Fund Transfer Agreements, and any amendments thereto with the California Department of Transportation.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MORGAN HILL DOES HEREBY FIND, DETERMINE, RESOLVE AND ORDER AS FOLLOWS:

Section 1. Recitals. The City Council does hereby find, determine and resolve that all the foregoing recitals are true and correct.

Section 2. Approval and Authorization. The City Council does further resolve, order and/or direct as follows:
a. Prepare and submit Funds Transfer Agreement to receive Priority Legislative Budgets Projects funds.
b. Design and Engineering work with related studies/reports for Grade Separations and Environmental Review consistent with CEQA at Dunne Avenue including downtown station pedestrian crossing.
c. Include 10% Administrative Management Fee to City of Morgan Hill. d. Secure other grant funding for implementation.

Section 3. This Resolution shall take effect immediately upon adoption.

City of Morgan Hill
Resolution No. 24-xxx

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Morgan Hill at its meeting held on this 21st day of February 2024 by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

APPROVED: ATTEST:
________________________________ ____________________________________ MARK TURNER, Mayor MICHELLE BIGELOW, City Clerk

CERTIFICATION
I, Michelle Bigelow, City Clerk of the City of Morgan Hill, California, do hereby certify that the foregoing is a true and correct copy of Resolution No. 24-*** adopted by the City Council at the meeting held on the 21st day of February 2024.

WITNESS MY HAND AND THE SEAL OF THE CITY OF MORGAN HILL.

DATE: _________________________ ____________________________________ MICHELLE BIGELOW, City Clerk

Project ID PLBP-5152(023)
Advantage ID 0424000270
Revised December 2023
Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill

1.1 The California Department of Transportation (Caltrans) and the City of Morgan Hill (Morgan Hill) hereby enter into this Funds Transfer Agreement (Agreement) on the terms and conditions set forth below.

1.2 This Agreement is not valid until signed by both parties. This Agreement shall expire on Morgan Hill’s completion of its obligations under this Agreement but may be extended by amending this Agreement.

BACKGROUND

2.1 Section 19.569, subdivision [Section 19.569 (b)(25)] of the Budget Act of 2023 (the Act) appropriated $1,000,000 (the Funds) from the State General Fund to Caltrans, to be allocated to Morgan Hill for the Design and Engineering Work for Railroad Grade Separations, Morgan Hill, CA (CA18).

2.2 Caltrans determined the best method for allocation to ensure the funds are used for the purposes specified in Section 19.569 of the Act is a funds transfer agreement.

2.3 The City of Morgan Hill currently has at-grade railroad crossings along the corridor at Tilton Avenue, Main Avenue, East Dunne Avenue, San Pedro Avenue, and Tennant Avenue. Recent studies show that Tennant Avenue and East Dunne crossings are in the top 5 crossings with the highest trips generated throughout the entire Caltrain corridor from San Francisco to Gilroy. While the City supports future rail services, Morgan Hill is concerned about achieving emergency response times and adequate safety for pedestrians trying to cross the rail line. Grade separating all crossings will support adequate access to achieve emergency vehicle response times for our safety responding teams such as Police Department, Fire Department, and Ambulance services. In addition, it further supports the safety of pedestrians at these crossings.

The City of Morgan Hill is seeking funding for Design and Engineering work for grade separations at Dunne Avenue and the Morgan Hill Station pedestrian crossing (Caltrain Station).

SCOPE OF WORK

3.1 The Funds provided under this Agreement will be used to the design and Engineering work for railroad grade separations, Morgan Hill Grade Separation Project (Project). The project includes Design and Engineering

Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
2 Work for grade separations with related studies/reports and environmental clearance consistent with the California Environmental Quality Act (CEQA) for the East Dunne Avenue crossing and the downtown pedestrian crossing to the Morgan Hill Station (Caltrain Station). The California High Speed Rail project environmentally cleared a pedestrian underpass to a newly designed Caltrain Station platform. Part of the design and engineering work will master plan the new Caltrain Station with platform access. The project scope includes a 10% Administrative Project Management Fee back to the City on time worked on the project.

3.2 Morgan Hill shall only use Funds for the Project specified in the Act.

Morgan Hill’s self- attestation verifying the intended use of funds shall be provided to the Department prior to the release of any funds.

FUNDING, COSTS, COST LIMITATION, & PAYMENT

4.1 The Funds will be encumbered within 2 days of the effective date of this Agreement. Pursuant to Section 19.569 of the Act, funds must be encumbered by June 30, 2025, and expended by June 30, 2027, or the funds will revert to the State’s General Fund by operation of law.

4.2 Payments shall be made as authorized by Sections 19.569(a) of the Act, including, but not limited to the provisions noted below:
a. Notwithstanding any other law, a designated state entity administering an allocation pursuant to this section may provide the allocation as an advance lump sum payment, and the allocation may be used to pay for costs incurred prior to the effective date of the act adding this paragraph.
b. Funding provided in this section shall not be used for a purpose subject to Section 8 of the Article XVI of California Constitution.

4.3 Within 30 days of expending all of the Funds or upon completion or termination of Project, whichever comes first, Morgan Hill shall submit to Caltrans a Project Closeout Report. The Project Closeout Report at a minimum shall include LAPM Exhibit 17-M, photos of the completed project (including before photos if available), a description of completed Project component(s) and a description of project deliverables.

4.4 Any Project costs paid using the Funds that are determined by subsequent audit to be unallowable under 48 CFR, Part 31 or 2 CFR, Part 200, are subject to repayment by Morgan Hill to Caltrans.

4.5 Morgan Hill shall return any unspent Funds to Caltrans at the conclusion, completion, or termination of the Project.

Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
3 4.6 Upon written demand by Caltrans, any overpayment to Morgan Hill of amounts invoiced by Caltrans shall be returned to Caltrans.

4.7 Should Morgan Hill fail to refund any moneys due Caltrans as provided herein or should Morgan Hill breach this AGREEMENT by failing to complete Project without adequate justification and approval by Caltrans, then, within thirty (30) days of demand, or within such other period as may be agreed to in writing between the PARTIES, Caltrans, acting through the State Controller, the State Treasurer, the CTC or any other public entity or agency, may intercept, withhold and demand the transfer of an amount equal to the amounts paid by or owed to Caltrans for each Project, from future apportionments or any other funds due Morgan Hill from the Highway Users Tax Fund or any other sources of funds, and/or may also withhold approval of future state-funded projects proposed by ADMINISTERING AGENCY.

INQUIRIES & NOTICES

5.1 All inquiries during the term of this Agreement will be directed to the representatives listed below:

For Caltrans:

Name: Delaram Tassbihi
Address: 111 Grand Ave #300 Oakland
Phone Number: 510-407-4146
Email: [email protected]
For Morgan Hill:

Name: Tiffany Brown, Senior Planner
Address: 17575 Peak Ave. Morgan Hill
Phone Number: 408-425-5959
Email: [email protected]

5.2 Each party may change their representative listed above upon 10 calendar days’ written or emailed notice to the other party and without the need for amending this Agreement.

OTHER TERMS & CONDITIONS

6.1 Drug-Free Workplace Requirements: Morgan Hill will comply with the requirements of the Drug-Free Workplace Act of 1990 and will provide a drug-free workplace by taking the following actions:
a. Publish a statement notifying employees that unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance is prohibited and specifying actions to be taken against employees for violations.
b. Establish a Drug-Free Awareness Program to inform employees about:
1) the dangers of drug abuse in the workplace;

Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
4 2) the person's or organization's policy of maintaining a drug-free workplace;
3) any available counseling, rehabilitation and employee assistance programs; and,
4) penalties that may be imposed upon employees for drug abuse violations.
c. Every employee who works on the proposed Agreement will:
1) receive a copy of the company's drug-free workplace policy statement; and,
2) agree to abide by the terms of the company's statement as a condition of employment on the Agreement.

Failure to comply with these requirements may result in suspension of payments under the Agreement or termination of the Agreement or both and Morgan Hill may be ineligible for award of any future State agreements if Caltrans or the State Department of General Services determines that any of the following has occurred: Morgan Hill has made false certification, or violated the certification by failing to carry out the requirements as noted above. (Gov. Code §8350 et seq.)

6.2 Conflict of Interest: Morgan Hill needs to be aware of the following provisions regarding current or former state employees. If Morgan Hill has any questions on the status of any person rendering services or involved with the Agreement, Caltrans must be contacted immediately for clarification.

Current State Employees (Pub. Contract Code §10410):
1). No officer or employee shall engage in any employment, activity or enterprise from which the officer or employee receives compensation or has a financial interest, and which is sponsored or funded by any state agency, unless the employment, activity or enterprise is required as a condition of regular state employment. 2). No officer or employee shall contract on his or her own behalf as an independent contractor with any state agency to provide goods or services.

Former State Employees (Pub. Contract Code §10411):
1). For the two-year period from the date he or she left state employment, no former state officer or employee may enter into a contract in which he or she engaged in any of the negotiations, transactions, planning, arrangements or any part of the decisionPage 43 of 309 Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
5 making process relevant to the contract while employed in any capacity by any state agency.
2). For the twelve-month period from the date he or she left state employment, no former state officer or employee may enter into a contract with any state agency if he or she was employed by that state agency in a policy-making position in the same general subject area as the proposed contract within the 12-month period prior to his or her leaving state service.

If Morgan Hill violates any provisions of above paragraphs, such action by Morgan Hill shall render this Agreement void. (Pub.

Contract Code §10420.) If the Agreement is rendered void, Morgan Hill shall return all Funds.

6.3 Labor Code/Workers' Compensation: Morgan Hill needs to be aware of the provisions which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions, and Morgan Hill affirms to comply with such provisions before commencing the performance of the work described in this Agreement. (Labor Code § 3700.)

6.4. Americans With Disabilities Act: Morgan Hill assures the State that it complies with the Americans with Disabilities Act (ADA) of 1990, which prohibits discrimination on the basis of disability, as well as all applicable regulations and guidelines issued pursuant to the ADA. (42 U.S.C. § 12101 et seq.)

6.5. Morgan Hill Name Change: An amendment is required to change Morgan Hill’s name as listed on this Agreement. Upon receipt of legal documentation of the name change the State will process the amendment. Payment of invoices presented with a new name cannot be paid prior to approval of said amendment.

6.6. Resolution: A county, city, district, or other local public body must provide the State with a copy of a resolution, order, motion, or ordinance of the local governing body which by law has authority to enter into an agreement, authorizing execution of the agreement.

6.7. Air or Water Pollution Violation: Under State law, Morgan Hill shall not be:
(1) in violation of any order or resolution not subject to review promulgated by the State Air Resources Board or an air pollution control district; (2) subject to cease and desist order not subject to review issued

Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
6 pursuant to Section 13301 of the Water Code for violation of waste discharge requirements or discharge prohibitions; or (3) finally determined to be in violation of provisions of federal law relating to air or water pollution.

6.8. Audit: Morgan Hill agrees that Caltrans, the California Department of General Services, the California State Auditor’s Office, or other State agency with a legitimate business purpose, or their designated representative(s) shall have the right to review and to copy any records and supporting documentation pertaining to the performance of this Agreement. Morgan Hill agrees to maintain such records for possible audit for a minimum of three (3) years after final payment, unless a longer period of record retention is stipulated.

6.9. Amendments: No amendment or variation of the terms of this Agreement shall be valid unless made in writing and signed by the parties. Any amendment signed by Morgan Hill must be approved by its local governing body as evidenced by a resolution, order, motion, or ordinance of the Morgan Hill and a copy provided to Caltrans. No oral understanding or agreement not incorporated in the Agreement is binding on any of the parties.

6.10. Caltrans and Morgan Hill shall continue with their responsibilities under this Agreement during any dispute.

6.11 This Agreement may be executed in separate counterparts.

6.12 An electronically signed copy of this Agreement shall have the same force and effect as if it were signed manually.

6.13 Should Morgan Hill be declared to be in breach of this AGREEMENT or otherwise in default thereof by Caltrans, and if Morgan Hill is constituted as a joint powers authority, special district, or any other public entity not directly receiving funds through the State Controller, Caltrans is authorized to obtain reimbursement from whatever sources of funding are available, including the withholding or transfer of funds, from those constituent entities comprising a joint powers authority or by bringing of an action against Morgan Hill or its constituent member entities, to recover all funds provided by Caltrans hereunder.

Funds Transfer Agreement Between the California Department of Transportation and the City of Morgan Hill
7 State:

STATE OF CALIFORNIA

DEPARTMENT OF TRANSPORTATION
Printed Name: Ann Fox
Signature:

Acting Deputy Director for Planning & Modal
Programs
Date:

Local Agency:

City of Morgan Hill
Printed Name:

Signature:

Title:

Date:

Accounting Certification

FIRM QUALIFICATIONS
Tustin Ave / Rose Dr Railroad Grade Separation, Placentia / Anaheim, CA 1 1. Firm Qualifications

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans Cover Letter
THE TEAM: Biggs Cardosa brings our Team’s extensive experience as well as the relationships we have established with key stakeholders including CHSR, Caltrain, and UPRR. Biggs Cardosa brings our expertise in leading dozens of complex grade separation projects throughout California. Biggs Cardosa has worked on two segments of High-Speed Rail project in California, and has a deep understanding of HSR’s goals, requirements, and constraints.

Biggs Cardosa will lead this project as the Prime Consultant and will provide project management, structural engineering and QA/QC services. Biggs Cardosa has worked on California High Speed Rail San Francisco to San Jose Segment and CP 2-3 (Fresno to Kern/Tulare Counties Segment). Biggs Cardosa is also a powerhouse grade separation firm. In our 36 years in business, we have delivered over 100 grade separation and rail-related projects throughout California. We have served as the Prime Consultant for numerous grade separation projects, including several in the Bay Area. Several of these projects have received industry awards.

We have included on our team BKF Engineers, Perkins& Will, David J Powers and Hexagon, who have been already working on this project and have provided concept alternatives included in the Draft EIR/EIS Technical/Engineering Review Support. BKF is our “sister” firm and we have worked on hundreds of projects with them. Our team also includes JMA for Railroad Engineering, PARIKH Consultants for Geotechnical Engineering.

The Biggs Cardosa Team is proficient at collaborative conceptual design, seamless project execution, and the timely production and delivery of contract documents. Our project team members have a history of working together on multi-disciplinary projects and have developed excellent working relationships. Our team members have extensive experience in complex grade separation projects in California, hazardous materials and environmental remediation, and have worked with Biggs Cardosa on transportation-related projects.

Exceptions Statement: We have no exceptions to this RFP.

Our team is capable of providing comprehensive, all-inclusive services for this project. We welcome this opportunity and hope that you will select Biggs Cardosa to deliver this critical project for the City of Morgan Hill.

Sincerely,
Biggs Cardosa Associates, Inc.

Mahvash Harms, PE, SE
Principal-in-Charge

PRIMARY PROPOSAL CONTACT
Mahvash Harms, PE, SE
Principal-in-Charge
Biggs Cardosa Associates, Inc.
865 The Alameda
San Jose, CA 95126
408.550.8528 direct
408.839.8878 cell
[email protected]

Wage Theft Prevention Bid Certification
(To be executed by Consultant and submitted with proposal) All Consultants are expected to have read and understand the “Wage Theft Prevention Policy” adopted on July 26, 2017, which can be found at http://www.morganhill.ca.gov/DocumentCenter/View/22921/CP-17-01-Wage-Theft-Prevention The undersigned Consultant hereby certifies that Consultant and its principals have ܆, have not տ been found by a final court judgement or final administrative action of an investigatory agency to have violated federal, State, or local wage and hour laws within the past five years from the date of the submitted bid or proposal. For each disclosed violation, the Consultant shall provide a copy of (i) the court order and judgment and/or final administrative decision; and (ii) documents demonstrating either that the order/judgment has been satisfied, or if the order/judgment has not been fully satisfied, a written and signed description of Consultant’s efforts to date to satisfy the order/judgment. The completed Certification shall be submitted by the Consultant to the City as a part of its bid or proposal. The City, at its sole discretion, may disqualify a Consultant based on one or more disclosed judgments consistent with the criteria set forth in the Policy.

I declare under penalty of perjury under the laws of the State of California that the foregoing is true and
correct, and that this certification is executed on _______________ [date], at __________________________________ [city], _________________ [state]. ________________________________________
Signature
________________________________________
Print Name and Title
________________________________________
Company

FIRM QUALIFICATIONS
1 1
City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans Biggs Cardosa is a California corporation established
in 1986 that specializes in the planning, design,
construction management and inspections of
bridges, transportation structures, and supporting
infrastructure facilities. Biggs Cardosa has focused its engineering practice on leading complex multi-disciplinary transportation projects, for which bridges are a central component and has grown into one of the largest bridgefocused engineering firms in California.

Biggs Cardosa manages all phases of transportation
projects for local agencies and Caltrans. We place special emphasis on grade separations and railroad bridges, and we have delivered more than 100 bridge projects over or under heavy rail lines. We have extensive experience with California High Speed Rail Authority (CAHSRA), Caltrain and Union Pacific Railroad (UPRR) and understand what it takes to get projects approved by the railroads.

Biggs Cardosa’s capabilities are well matched to the needs of the City. We have all the required technical resources, expertise and capabilities to efficiently deliver this project.

Key aspects of our qualifications include:
▪ Design of railroad grade separations (Overpass and
Underpass) throughout the State - from conception
through final design and construciton.
▪ Project Management of multidisciplinary teams on
complex transportation projects.
▪ Coordination with pertinent stakeholders including
High Speed Rail, Caltrain, UPRR, CPUC, and others.
▪ Street and Roadway Improvements, Intersection
Improvements, Bridge Overpasses/Underpasses,
Freeway Interchanges and Roundabouts.
▪ Pedestrian/bicycle access solutions improving access, connectivity and safety for pedestrian and bicyclists at railroad stations including UPRR, Caltrain and BART.
▪ Stations improvements and modificaitons
▪ Schedule-driven projects with significant right of way and utility coordination elements.
▪ Technical visualizations and rendering ability.
▪ Previous successful partnering with the City of
Morgan Hill.

Grade Separation Projects in
California
Heavy Rail
Bridge Projects
Signature Pedestrian/Bicycle
Facilities in California
Grade Separation projects
with industry awards
50+ >100
9 >20
36 years of bridge
design experience
employees in
6 California offices
112
>11k
projects delivered
since 1986
registered Civil and
Structural engineers
58 Bradley Moody Memorial Underpass, Richmond
Biggs Cardosa Qualifications Summary

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 2

GRADE SEPARATION EXPERIENCE
Biggs Cardosa’s experience includes over 50 grade separation projects in Cafifornia, including over 20 with UPRR. Our projects have received multiple ACEC, APWA, CMAA, ASCE and CTF awards. Biggs Cardosa has worked with HSR, UPRR, Metrolink/SCRRA, BNSF, Amtrak, Caltrain, RPRC, PCJPB, and BART. The map below summarizes and illustrates this experience.

BIGGS CARDOSA

GRADE SEPARATION

EXPERIENCE

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 3

EXPERIENCE WITH THE CITY OF MORGAN HILL & OTHER PUBLIC AGENCIES Biggs Cardosa has been working with the City of Morgan hill for over 25 years, and has completed nearly 30 projects for the City. In 2021 we performed structural assessment of Monterey Road (old highway 101) UPRR Underpass upon the request of the City to address a public concern of the visibly deteriorating condition of this bridge. The project consisted of a site structural assessment inspection and a report summarizing the findings of the assessment. Per the last available Caltrans Bridge Inspection Report dated October 3, 2001, the Union Pacific Rail Road (UPRR) is responsible for maintenance and inspection of superstructure of the bridge and the City of Morgan Hill is responsible for maintenance and inspection of the substructure, including abutments, footings, and retaining walls since Monterey Road was no longer part of the State highway system with the realignment of US 101.

During our 36 years in business, Biggs Cardosa has provided professional design, consulting and construction management services to over 100 California Public Agencies including 24 counties, 60 cities and over 20 other agencies (towns, redevelopment agencies, water districts, and transportation agencies). In addition to the City of Morgan Hill, Biggs Cardosa has worked with the City of Gilroy, City of San Jose, City of Sunnyvale, City of Watsonville, Santa Clara Valley Transportation Authority (VTA), Santa Clara County, Monterey County, San Benito County, as well as and Caltrans Districts 1, 3, 4, 5, 6, 7, 8, 10 and 12.

Biggs Cardosa has assisted numerous cities across California with designing and constructing Capital Improvement Projects (CIP) and Public Works (PW) projects. Having an accurate picture of anticipated expenditures over the next five years is critical to allocating funds appropriately. Our resource-loaded schedule provides a month-to-month prediction of planned expenditures and, along with helping the City plan for design expenditures, allows us to track and demonstrate adherence to our approved budget. Extensive local experience and experience with pedestrian undercrossings allows us to correctly estimate construction costs at the start of the project. Our in-house Construction Management group can provide input on the construction schedule so that dollars can be allocated to the appropriate fiscal years.

Coupled with design/construction budgets, our knowledge and experience with various city procedures will help streamline the project. We constantly work with City Staff to make presentations to City Council, Commissions, and we have hosted and participated in Study Sessions that drive crucial project decisions. The Design Services Agreement and Construction & Maintenance Agreement will likely require the review/approval of the City Attorney and City Council. Biggs Cardosa has executed these types of agreements with railroads operating in California, and we can help the City expedite the review/ approval process.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 4

CPUC COORDINATION
The California Public Utilities Commission’s Rail Crossing Engineering Section ensures that all rail crossings are designed, constructed, and properly maintained to ensure public safety. Biggs Cardosa has worked on numerous projects that require CPUC coordination and approvals including South Bayfront Pedestrian Bridge over UPRR in Emeryville, Santa Clara Caltrain Station Pedestrian Undercrossing Extension, and numerous grade separation projects throughout the State. 3-D VISUALIZATIONS &

RENDERING CAPABILITIES
Biggs Cardosa has successfully used 3-D visualization
on a variety of projects to communicate the project’s
features to key stakeholders. Our visualizations
are delivered using methods ranging from
photosimulations and technical illustrations. These
graphics have been extremely beneficial for design
coordination meetings, public outreach meetings,
and City Council presentations. Unlike traditional
2-D graphics, 3-D graphics allow the project to be
visualized in a real-world setting, and improve the
public’s comprehension of the project.

Our visualizations are more than just pretty pictures.

We are able to create the 3-D visualizations inhouse and are therefore developed by practicing engineers, instead of artists. The result is a physically accurate 3-D model which can be used for conflict
mitigation (e.g. addressing potential conflicts
between structures and utilities) and constructability
review, among other uses. By using accurate 3-D
models, we are able to detect and address issues
during design, minimizing RFIs and change orders
during construction.

Rendering for BART Warm Springs
Pedestrian Overcrossing, Fremont
Rendering for VTA Montague Expressway
Pedestrian Overcrossing, Milpitas
Rendering for Rosecrans/Marquardt Grade Separation (BNSF), Santa Fe Springs, CA Rendering for McKinley Grade Separation, City of Corona, CA

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 5
Biggs Cardosa has selected a team of highly qualified, experienced and dedicated subconsultants for this project.

SUBCONSULTANT QUALIFICATIONS SUMMARY
Since 1915, BKF Engineers has earned a reputation for its ability to successfully plan, design, survey, and implement complex projects - delivering inspired infrastructure for over 100 years. They draw upon and utilize their experience, diligently guiding projects from the initial due diligence and feasibility stages, progressing project designs and permitting approvals, and concluding with construction and implementation. This proven approach recognizes that developing dynamic projects is informed by focused team collaboration, mitigating physical constraints and potential risks, and balancing design goals with value engineering solutions. BKF provides civil engineering, land surveying, and land planning services for government and transportation agencies, institutions, developers, design professionals, contractors, school districts, and corporations. They offer a number of specialty services, including agency permit expediting, sustainable infrastructure, complete street design, site accessibility consulting, hydrology/hydraulics, traffic signal and traffic handling designs, utility locating services, automated construction surveying monitoring, and 3D laser scanning.

As one of the largest engineering firms in Silicon Valley, BKF has notable resources with extensive depth of expertise and ability to draw upon diverse services and staff. BKF has successfully managed, designed, and processed complex highway, roadway, and rail projects through their strong blend of civil engineers, transportation engineers, traffic engineers, hydrologists, utility designers, right of way engineers and surveyors who have worked on several notable and award winning rail grade separation feasibility and construction projects throughout the San Francisco Bay Area, including the Kato Road, Warren Avenue and Mission Blvd projects in Fremont; the Navy Drive project in Stockton; the Sunnyvale Avenue and Mary Avenue Grade Separations in Sunnyvale, the City Place Parkway and 2nd Street Grade Separations in Santa Clara, and the Marina Bay Parkway Grade Separation in Richmond.

Biggs Cardosa and BKF have worked on hundreds of successful projects together over the last 36 years. This type of longrunning history has proven to be a key element to our success streamlining design efforts and delivering projects onschedule, on-budget and meeting or exceeding project goals and objectives. We clearly understand each other’s roles and expectations and we are often thought of as “sister” companies.

Founded in 1935, Perkins & Will is an architecture firm with 26 studios and over 2,000 staff members. They believe that design has the power to make the world a better, more beautiful place. That’s why clients and communities on nearly every continent partner with them to design healthy, happy places in which to live, learn, work, play, and heal. They are passionate about human-centered design and are committed to creating a positive impact in people’s lives through sustainability, resilience, wellbeing, diversity, inclusion, and research. In fact, Fast Company named them one of the World’s Most Innovative Companies in Architecture.

Their global team of creatives and critical thinkers provides integrated services in architecture, interior design, landscape architecture, and more. Their San Francisco studio uses design to craft the human experience. They believe in a researchbased, interdisciplinary approach that creates sites and buildings focused on the people who inhabit them. Located along San Francisco’s waterfront, they are more than 70 professionals strong with deep Bay Area roots and the resources of a global firm. A community-focused team, they thrive on projects which contribute to the greater good, and help make a lasting, positive change. For the past four years, they were ranked as one of the top three transit architecture firms by Building Design + Construction Giants 300. They have a great deal of experience in landscape architecture, transportation, and urban design.

JMA Civil, Inc. is a Civil Engineering and Rail Design and Consulting Firm that specializes in Railroad and Transit projects, especially mainline track, at-grade crossing and grade separation projects.

Jon Marshall, PE, founded the firm in 2011 to focus on serving public agencies and industrial clients with high quality and innovative design solutions. Previously, he was an Assistant Vice President and project manager for a national transportation AEP firm where he completed over 200 railinvolved projects for freight railroads (primarily Union Pacific Railroad), transit operators, public agencies and rail-served customers. JMA is well-qualified to lead many aspects of rail planning and conceptual and final design, including: shoofly design, separation studies and design, at-grade crossing modifications, grade culvert design and bridge hydraulic analyses,

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 6
Hexagon Transportation Consultants, Inc. was founded in 1998 in San Jose, California with the goal of providing quality, professional transportation consulting services to private and public entities. Hexagon provides services in all major aspects of transportation planning and traffic engineering. They have built their firm around three fundamental principles. First, they deliver the highest quality work with findings that are double-checked and presented clearly and concisely. Second, they deliver work results when promised. Among their top priorities is delivering their services in a way that ensures the overall scheduling needs of their clients are met. Lastly, they are accessible and responsive. They understand their clients are pressed for time and often faced with the challenge of managing complex projects, so anything they can do to keep the transportation aspects of those projects moving along smoothly is a valued service. Hexagon has 29 employees within its three offices. Hexagon’s professional staff has a broad range of transportation expertise and is experienced in all technical aspects of transportation consulting. This gives them the ability to plan and design a transportation project that will operate as intended when construction is complete and the improvements are brought online. Their traffic engineers and transportation planners are experts in the preparation of traffic impact studies for CEQA analysis, traffic operations studies, queueing studies, long-range travel demand forecasting, traffic simulation studies, signal coordination studies, bike and pedestrian studies, parking studies, accident analyses, and much more. Their design staff has extensive experience in the design of intersection geometrics, traffic signal improvements, traffic signing, and pavement delineation. protection and relocation of utility crossings, maintenance, CPUC coordination, rail operations and alternatives analyses, cost estimating, construction phase services, and feasibility studies. JMA has advised and designed rail improvements for many California transit operators, including: the California High-Speed Rail Authority, ACE, Caltrain, VTA, BART, SMART and Valley Link, both directly and as a subconsultant under the prime designer or design-build contractor. JMA is a California S Corporation with offices in Oakland, CA and Boston, MA. JMA currently has a staff of 17 including 7 licensed civil engineers licensed in California. JMA is certified by Cal DGS as an SBE.

PARIKH Consultants, Inc. (PARIKH), established in 1993, is a California Corporation specializing in geotechnical engineering services for public agencies, (self-help measure counties, Caltrans), cities, and local municipalities. PARIKH employs around twenty highly skilled and dedicated engineers, geologists, technicians, and administrative personnel. PARIKH has successfully delivered more than 1,400 projects throughout California, with both local and federal funding sources, including services for transit, transportation, and public works projects.

Typical projects include public works and associated infrastruture elements. PARIKH’s projects have received more than 40 engineering excellence awards from local and state agencies, including American Council of Engineering Companies (ACEC), American Public Works Association (APWA) and California Transportation Foundation (CTF). PARIKH offers a laboratory testing facility in Milpitas, CA to perform tests according to ASTM and CTM guidelines. The lab is accredited under the AASHTO Materials Reference Laboratory (AMRL) program and is certified by Caltrans. PARIKH’s principals are experienced in design build, rail, public works and infrastructure projects, with an excellent reputation for high-quality services and an ability to maintain cost-effective operations. Cross-functional expertise coupled with years of dedication to geotechnical services have made PARIKH’s knowledge unparalleled within the industry. The PARIKH team excels in client services by consistently meeting schedules, budgets, and project requirements.

DJP&A has been preparing environmental documents in California, and particularly, the Bay Area since 1972. DJP&A has extensive experience completing State and Federal environmental review for complex and controversial public sector infrastructure projects that require coordination with numerous regulatory agencies and conformance with CEQA and NEPA requirements. DJP&A’s clients have included local City, County, and State agencies, numerous private developers, and school districts. The firm has offices in San Jose and Oakland. DJP&A is a CUCP-certified woman-owned UDBE and DBE. DJP&A has worked on projects with jurisdictions throughout San Mateo County on both public and private sector clients. Their recent CEQA/NEPA work with local Lead Agencies include projects in Daly City, South San Francisco, San Bruno, Half Moon Bay, Burlingame, San Mateo, Redwood City, and East Palo Alto. Notable infrastructure projects include the Main Street Bridge Rehabilitation in Half Moon Bay, Coastal Trail Crossing at Pilarcitos Creek in Half Moon Bay, Bermuda Drive Bridge Replacement in San Mateo, and Grand Boulevard Improvements Phase 3 in South San Francisco. DJP&A has worked with Biggs Cardosa on over 35 projects.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 7

HIGH SPEED RAIL PROJECT, SAN JOSE TO SAN FRANCISCO

SAN FRANCISCO TO SAN JOSE, CA

PROJECT DESCRIPTION
Biggs Cardosa provided structural engineering design services for one of the nine segments that extends from the new Transbay Terminal in San Francisco to the redeveloped station at Diridon in San Jose. While this segment is the shortest at around 50 miles, it is recognized as one of the most challenging due to the existing infrastructure and developments along the narrow corridor. The new High Speed Rail alignment will follow the existing Caltrain alignment, and as part of the project, all of the existing at-grade crossings will be grade separated and the existing lines will be electrified.

Biggs Cardosa was responsible for the structural design of the replacement and new grade separations for the southern 17 mile portion that extends through Sunnyvale, Santa Clara and San Jose. The alignment and structural design were developed to a 30% level so that the Environmental Impact Report can be completed. Three alternatives of the vertical and horizontal rail alignments were developed to study the relative merits of the new tracks being at-grade, below grade or above grade at various locations. Structures designed by Biggs Cardosa included:

1.Redevelopment of Diridon Station, which will consist of the new High Speed Rail platforms and tracks approximately 60 feet above the existing Caltrain tracks and the historic platforms. There will be a mezzanine level between the two platform levels to provide passenger circulation.

2.Replacing three existing road bridges and two existing pedestrian bridges over the existing rail corridor to provide increased vertical and horizontal clearance.

3.Widening or replacing four existing rail bridges.

4.Replacing two existing road bridges with underpasses below new rail bridges.

5. Designing three new viaducts for two and four new High Speed Rail tracks, at up to 60 feet above grade and extending over 8.5 miles.

Firms Involved:
▪ Biggs Cardosa: structural
engineering design to
30%
Relevance:
▪ Grade Separations
▪ Bay Area Location
▪ Pedestrian Facilities
Cost
Transbay Terminal:
$3,000,000,000
Subsections 8 to 9:
$827 Million
We have also completed evaluations into the preliminary design of a new four track trench within a narrow corridor.

Preliminary construction sequencing was developed that would maintain two of the four tracks active during construction.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 8
HIGH SPEED RAIL PROJECT, CENTRAL VALLEY SEG D/B (CP2-3)

FRESNO, CA TO TULARE/KERN COUNTY, CA

PROJECT DESCRIPTION
The California High Speed Rail project is the largest infrastructure project in the nation and is planned to operate trains at more than 200 miles an hour over 800 miles of new tracks. The project will be the first high speed rail project in the Country, and will transport passengers more efficiently, safely and with less environmental impact than other forms of transportation. Biggs Cardosa has been involved in several segments of the project, including the Central Valley Segment.

For this segment, Biggs Cardosa is the Independent Checking Engineer (ICE)/ Independent Site Engineer (ISE) for Construction Package 2-3 (CP 2-3). This contract stretches over 60 miles through the Central Valley from just south of Fresno to just north of the Tulare/Kern county line.

To address a recurring quality issue on many California D/B projects, which is believed to be caused at least in part by lax quality control and assurance by what is traditionally a Contractor-procured Quality Team (classic conundrum of fox guarding the chicken coup), the Authority deviated from the standard D/B model for this contract, and extricated the independent check function from the Design/Builder and moved it to the PCM’s.

Biggs Cardosa was contracted by the PCM explicitly to fulfill this function on the Project.

Biggs Cardosa’s responsibilities as the Project’s ICE including reviewing and recommending the disposition for all Technical Design Submittals, performing full independent structural design calculations for over 50 high-speed rail and roadway bridge structures along or over/under the alignment, and identifying, checking, and tracking that each structure will be in compliance with the project’s design criteria.

Many of the submittals in this segment also required Caltrans oversight, or approval by BNSF and/or the jurisdictions in which the bridges are located.

Firms Involved:
▪ Biggs Cardosa:

Independent Check,
Independent Site
Engineer
Relevance:
▪ Grade Separations
▪ Bay Area Location
▪ Feasibility/Alternative
Studies
Year Completed
2022 (est.)
Cost
$2,200,000,000

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 9
BRADLEY A. MOODY MEMORIAL UNDERPASS (RPRC/BNSF)

RICHMOND, CA

PROJECT DESCRIPTION
This project consisted of a feasibility study, final design and construction support services to separate railroad traffic from vehicular traffic in the City of Richmond. Due to growing business development and train traffic along this railroad segment, which is used by Richmond Pacific Railroad Corporation (RPRC) and BNSF Railway Company, a grade separation was needed to relieve congestion and delays at the existing railroad crossing.

BKF Engineers (BKF) was appointed by the City of Richmond to provide the Feasibility Report and PS&E for the Marina Bay Parkway Grade Separation Project which included the civil engineering design, right of way engineering and surveying. Biggs Cardosa performed structural feasibility studies on six undercrossing and overcrossing alternatives at various site locations in the area. An undercrossing alternative along Marina Bay Parkway was selected for final design. The project was completed and opened to traffic in 2015.

The grade separation consisted of lowering a 900-foot long by 80-foot wide roadway under a RPRC/BNSF track. The lowered roadway, with excavation depths reaching approximately 30 feet, is supported by retaining walls on both sides. The wall system includes cement deep soil mix (CDSM) walls reinforced with steel soldier piles and tiebacks, and cast-in-place concrete cantilever walls. The wall system also includes underground concrete compression struts between the walls. Rail traffic crosses over the lowered portion of Marina Bay Parkway via a 103-foot long by 34-foot wide, two-span steel beam bridge. The new bridge was designed to accommodate the existing track and a future track. Due to railroad and vehicular traffic operation requirements, the lowered roadway had to be constructed in stages, from the top down. Since the site is located in close proximity to a 9-track railroad switch yard with heavy train volume, maintaining railroad operations to the fullest extent was a key priority. With close coordination with PRPC/BNSF, the railroad bridge including all bridge supports were effectively installed over four weekend closures. Biggs Cardosa provided railroad coordination support and structural engineering services.

This project received an Honorable Mention Award from CMAA in the Category of Transportation for projects with a construction cost greater than $10M.

Firms Involved:
▪ BKF: Prime Consultant,
Civil
▪ Biggs Cardosa:

Structural Engineering
Relevance:
▪ Grade Separations
▪ Bay Area Location
▪ Feasibility/Alternative
Studies
Year Completed
2015
Cost
$35,000,000
Reference
Chadrick Smalley
City of Richmond
440 Civic Center Plaza,
Richmond, CA 94804
510.307.8140
chadrick_smalley@
ci.richmond.ca.us

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 10

KATO ROAD, DIXON LANDING ROAD, WARREN AVENUE
& MISSION BLVD GRADE SEPARATIONS FREMONT AND MILPITAS, CA

PROJECT DESCRIPTION
As a part of the BART extension to San Jose, Biggs Cardosa performed as the Structural Design Lead for the SVBX Northern Area Guideway project. Among other structural tasks, SVBX included four major Grade Separation in the cities of Fremont and Milpitas at Mission Blvd, Warren Ave, Kato Road, and Dixon Landing Road, and the relocation of over six miles of UPRR tracks.

The grade separations and the UPRR track relocation were needed to extend the BART tracks into San Jose along the west side of the UPRR corridor. Each of these four grade separation projects initially consisted of depressing the roadways beneath the UPRR/BART tracks and constructing at least two underpass structures for each of the UPRR and BART tracks.

At Mission Blvd, the existing UPRR Underpass was replaced and the depressed roadway widened with new soil nailed retaining walls. At Warren Ave, Kato Road and Dixon Landing Road, the projects depressed the roadway with Deep Soil Mix (DSM) walls, and also included a third bridge structure for UPRR access vehicles.

All structures required close coordination with UPRR in order to minimize track closures.

Kato Road and Warren Avenue were closed during construction.

Both projects required the tracks to be raised 8”. All four projects also required extensive stage construction.

The bridges at Kato and Warren were supported on DSM
abutments and pier walls, which utilized steel soldier pile deep foundations that enabled top-down construction, reducing shoring costs and impacts to UPRR. All BART bridges and UPRR access bridges consisted of cast-in-place prestressed concrete box girders.

The Mission/Warren/Freight Railroad Relocation Program
received the APWA Silicon Valley project of the year award and the 2016 ASCE (San Francisco Section) Transportation Project of the Year award.

Firms Involved:
▪ Biggs Cardosa: Structural
Engineering
▪ BKF
Relevance:
▪ Grade Separations
▪ Bay Area Location
▪ UPRR/BART
Year Completed
2013
Cost
>$75,000,000 (combined)

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 11

BROADWAY BURLINGAME GRADE SEPARATION

BURLINGAME, CA

PROJECT DESCRIPTION
Biggs Cardosa is providing structural engineering services for the design of the Broadway Burlingame Grade Separation. The existing at-grade crossing at Broadway has documented safety and mobility issues. Since 2015 there have been more than 10 collisions involving trains and vehicles or pedestrians. The crossing also experiences high volumes of vehicles and trains at the crossing resulting in significant down time and congestion. This new grade separation will benefit Caltrain, the City, transit riders and residents.

The project includes raising the Caltrain tracks approximately 18 ½ feet and lowering Broadway approximately 6 feet to accommodate a grade separation. The project will include a new raised station platform with connections from the street level to the center of the platform, a new parking structure on the east side on Carolan Avenue and new gradeseparated pedestrian overcrossing.

To accommodate construction, natural drainage channels will need to be relocated; the existing tracks will need a shoofly with a temporary at-grade crossing at Broadway; right of way will need to be acquired, with retaining walls constructed to minimize impacts; and major utilities in the roadway will need to be lowered or relocated.

Firms Involved:
▪ Biggs Cardosa:

Structural Engineering
Relevance:
▪ Grade Separation
▪ Bay Area Location
▪ Caltrain
▪ Pedestrian design
elements
Year to be Completed
2023 (est.)

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 12

CALTRAIN SANTA CLARA STATION PUC EXTENSION

SANTA CLARA, CA

PROJECT DESCRIPTION
The Santa Clara Valley Transportation Authority (VTA) proposed to construct a pedestrian undercrossing extension at the Santa Clara Caltrain Station. The structure serves as a connection to the new Caltrain station platform and extends the undercrossing that is currently being constructed by Caltrain. The structure extends the Caltrain undercrossing to the east and below the existing Union Pacific Railroad (UPRR) tracks, and provides access to the Santa Clara Caltrain Station from Brokaw Road. Biggs Cardosa Associates was the prime consultant responsible for the project management, structural design and the coordination of a team of subconsultants in providing the VTA with concepts, preliminary design, engineering reports, construction schedule, full PS&E package, construction support services and support services in coordination with UPRR.

The project involved the design and construction of two integral components to be able to provide the desired access: an undercrossing extension and a ramp walkway that connects the undercrossing to Brokaw Road, east of the UPRR tracks.

Numerous concepts were developed to study various alignments and construction types.

They included PUCs, overpasses, DSM walls with precast roof slabs and concrete lining, CIP tunnels and ramps, and precast tunnel segments.

The undercrossing was constructed using precast concrete tunnel segments, and castin-place (CIP) concrete wall lining with architectural finishes to match existing tunnel in addition to topping slab and closure rings at the tunnel ends. The undercrossing extension is approximately 83 feet long with interior dimensions of 16 feet wide and varying vertical clearances. The ramp is approximately 250 feet long with varying width and stem wall heights. The ramp was constructed with CIP concrete and features architectural planters along a reverse-curved alignment.

Firms Involved:
▪ Biggs Cardosa: Prime
Consultant,
▪ PARIKH
Relevance:
▪ Pedestrian
Undercrossing at
Caltrain/UPRR Tracks
▪ Biggs Cardosa - Prime
▪ Rail Coordination
▪ Station Improvements/
Modifications
▪ Utility Coordination
▪ Multi-agency
Coordination
Year Completed
2017
Cost
$13,800,000
Reference
Mohamed Basma
VTA
408.546.7939

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 13
Numerous factors had to be taken into consideration with respect to the construction of both of these structures that includes, but were not limited to, railway operations and limitations, geologic conditions, future proposed
BART station to the northeast of the existing UPRR tracks, the current Caltrain undercrossing project parameters,
constructability aspects, code compliance, client safety concerns, existing and proposed utilities, architectural/ aesthetic issues, and project cost and schedule.

Construction schedule included a four-day shutdown (over Thanksgiving weekend 2016) of all tracks for the installation of precast concrete tunnels segments.

During the 4 day rail shutdown over Thanksgiving 2016, a portion of three rail tracks were removed while a precast concrete underpass was installed in an open trench. The Biggs Cardosa Project Manager was on site for most of the period from the end of the initial excavation until the underpass had been installed and waterproofed and backfilling had commenced. He was able to provide technical input and
assist in resolving issues as they arose to keep critical activities on schedule during the shutdown. One example was the
placement of the first of the fourteen precast concrete segments. Since all tunnel segments would be aligned with the first segment that was set, the alignment of that first segment was critical. Weighing more than 95,000 pounds
and at the extreme reach of the crane, the precise location and alignment of first 5-feet long segment was adjusted numerous times over a six hour period, significantly longer than planned. With knowledge of the project constraints including minimum ramp lengths, our Project Manager was able to review impacts and determine that changes could be made to the ramp layout to accommodate the projected misalignment. The alignment of the first concrete segment was approved without further adjustment allowing construction to proceed and the tracks to be re-installed and restored to service on schedule.

This project has received the following awards:
2019 APWA National: American Public Works
Association Project of the Year for 2019 in the category of Transportation $5 million but less than $25 million
2018 ACEC California Golden State Award
2018 ACEC California Honor Award in the Structural
Systems Category
2018 APWA California Project of the Year Award
2018 CTF Transportation Award in the Pedestrian/
Bicycle Category
Silicon Valley Business Journal: Silicon Valley Structures 2017: Public/Civic Project of the Year
Funding Sources: The $13.8M project cost will draw from Measures A and B, The City of San Jose, State and Federal Sources, Safe Routes to Transit (funded by Bay Area Bridge Tolls), the Transportation Fund for Clean Air (State Fund), and Hunter Properties.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 14

WARM SPRINGS BART PEDESTRIAN ACCESS

BRIDGE & ENTRY PLAZA, FREMONT, CA

PROJECT DESCRIPTION
This new pedestrian and bicycle bridge crosses over the five sets of Union Pacific railroad tracks and connects the Warm Springs BART station to a new public plaza and the growing Fremont Innovation District. In 2013, Biggs Cardosa was the prime consultant responsible for the feasibility study and conceptual design of the Warm Springs BART West Access Bridge and Plaza. Subsequently in 2015, the Biggs Cardosa team was selected by the City of Fremont to provide final design services for the project.

The project consists of an iconic pedestrian bridge spanning the UPRR mainline west of the new Warm Springs BART station, an entry plaza that connects the bridge to planned transitoriented development, a UPRR spur track relocation, utility relocations, and preliminary design studies that will outline infrastructure improvements to the new development area.

The Warm Springs BART pedestrian bridge and plaza are an integral part of the City of Fremont’s vision to enhance the pedestrian environment and create an urban neighborhood.

This signature bridge and plaza project will provide a vital pedestrian/bicycle link which will demonstrate the City of Fremont’s commitment to creating a transit-oriented, connected urban environment, enhancing pedestrian experience and accounting for the new demographic.

Remaining work to open the bridge includes integrating BART station infrastructure related to safety, security, electrical, and mechanical systems. Following which the project coordinator and BART will conduct inspection, testing, and training.

The total project cost is $41 million. Preconstruction, planning, design, and utility relocation work was funded by the City of Fremont ($11 million). The construction cost of $30 million is funded by the Alameda County Transportation Commission.

Firms Involved:
▪ Biggs Cardosa: prime
consultant
▪ BKF
▪ PARIKH
Relevance:
▪ Pedestrian Bridge and
Plaza
▪ Bay Area Project
▪ Facility over BART and
UPRR Tracks
▪ Railroad Coordination
▪ ADA Compliance
▪ Extensive Renderings
during design phase
Year Completed
January 2022
Cost
$41,000,000

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 15

SOUTH BAYFRONT PEDESTRIAN BICYCLE BRIDGE

EMERYVILLE, CA

PROJECT DESCRIPTION
The centerpiece of the South Bayfront Pedestrian Bridge Project is a bicycle and pedestrian bridge over the Union Pacific Railroad tracks in the City of Emeryville. The project includes design of the main bridge structure, access ramps, stairs, and landscaping, as well as community outreach, stakeholder coordination and permitting for all elements of the project.

The bridge and ramps accommodate bicycles and pedestrians, and will be ADA-compliant.

The 230-foot long main bridge is a tied single arch structure that will span across nine UPRR tracks. This bridge is designed for construction over UPRR tracks within a very limited track closure window. Over 1000 feet of ramps will be required for the bridge approaches. The west ramp is a switch-back ramp that connects to the Bay Street shopping center. The west ramp is adjacent to the mall’s parking structure within a 30-foot setback from the UPRR property line. The east ramp will connect to the proposed Horton Landing Park. Both ramp structures are cast-in-place concrete structures. The project also includes access stair structures on each side of the railroad corridor for pedestrian access to the main bridge.

Firms Involved:
▪ Biggs Cardosa: prime
consultant, structural
engineering
▪ PARIKH - Geotechnical
▪ David J. Powers -
Environmental
Relevance:
▪ Pedestrian Bridge and
Plaza
▪ Bay Area Project
▪ Facility over BART and
UPRR Tracks
▪ CPUC Coordination
▪ Railroad Coordination
▪ ADA Compliance
▪ Public Outreach
▪ Extensive Renderings
during design phase
Year Completed
2021
Cost
$31,000,000
Reference
Todd Teachout,
City Engineer
City of Emeryville
510.596.4334
[email protected]
Public Outreach: Biggs Cardosa, along with our lead
architect, led participatory public workshops, or “charrettes”, during all phases of planning and design. During type
selection and preliminary design, Biggs Cardosa’s team
developed comparative exhibits and simulations of a range of signature bridge types including single and double tied arches, trusses, and single and twin-tower cable-stayed spans. These exhibits and simulations were critical elements in the participatory type selection and conceptual design process.

Union Pacific Railroad Coordination and Permits and
Utility Relocation Design/Coordination: Biggs Cardosa
team performed all the services to obtain the required
permit, including UPRR and CPUC. Our team also performed the design coordination effort services for many impacted utilities within and outside the UPRR and City right-of-way.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 16
17TH STREET GRADE SEPARATION (SCRRA)

SANTA ANA, CA

PROJECT DESCRIPTION
The Orange County Transportation Authority (OCTA) and the City of Santa Ana, in coordination with Caltrans District 12, proposes to grade separate the existing at-grade crossing of 17th Street with the Metrolink Southern California Regional Rail Authority (SCRRA) double tracks in the City of Santa Ana. The project proposes to construct a railroad underpass to carry the SCRRA double tracks over 17th Street, lowering the existing grade of the roadway by approximately 20.5 feet and raising the railroad profile by approximately 2 feet.

Biggs Cardosa was responsible for developing the structural concepts and cost estimates for inclusion in the Project Report Equivalent (PRE). Close coordination with the City of Santa Ana and SCRRA was required. Biggs Cardosa’s structural concepts met SCRRA’s requirements, and included aesthetic features to satisfy City requirements. Rolled steel beams with precast concrete fascia panels are specified for the railroad bridge over the lowered portion of 17th Street. The use of steel beams satisfies SCRRA’s requirements, and the precast concrete fascia panels are used to improve the aesthetics of the Underpass structure. A series of secant pile walls and cantilevered cast-in-place walls are used along the lowered portion of 17th Street. Retaining walls will also include aesthetic treatment.

The PRE and associated conceptual plans and cost estimates, along with obtaining environmental clearance, will setup OCTA to prepare final design documents.

Firms Involved:
▪ Biggs Cardosa:

Structural Engineering
Relevance:
▪ Grade Separation
▪ PSRE
Year to be Completed
2016
Cost
$55,000,000 (est.)

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 17

ACE FULLERTON ROAD GRADE SEPARATION (UPRR)

CITY OF INDUSTRY, CA

PROJECT DESCRIPTION
Biggs Cardosa is the Prime Consultant on the $204.1 million Fullerton Road Grade Separation Project, the largest and most complex of ACE’s Phase II grade separations. To minimize impacts to adjacent properties, the mainline UPRR will be raised by 8.5 feet using T-Walls, and Fullerton Road will be lowered 16 feet under the existing tracks. The project includes the grade separation of Railroad Street, which runs parallel to the UPRR tracks on the north, from Fullerton Road.

Plans call for constructing a six-lane roadway underpass on Fullerton Road with retaining walls, a new railroad bridge, a new roadway bridge and a new pedestrian bridge, which was an innovative solution to address ADA concerns. This complex project also includes addressing impacts to the adjacent properties and numerous utilities.

Biggs Cardosa’s services included the management of all design components, including structures, railroad and shoofly, staging, civil and roadway, drainage, utility relocations, signal, geotechnical, surveying, pump station, constructability and right-of-way engineering.

The design will reduce right-of-way acquisitions. Biggs Cardosa spearheaded difficult approvals through the rail agency to support the raising of the railroad tracks, and to obtain approval of complex but effective construction staging, that included shooflies and impacts to industry lead tracks.

To address the numerous utilities involved in the project, Biggs Cardosa produced 3D models of all structures and utilities to show where they conflicted. Biggs Cardosa provided successful public outreach support with renderings of each location to show how each property would be affected by the project. These renderings were instrumental in gaining support for the project from many of the impacted properties.

Firms Involved:
▪ Biggs Cardosa: Prime
Consultant, Project
Management, Structural
Engineering
Relevance:
▪ Grade Separation
▪ Biggs Cardosa - Prime
▪ Rail Coordination
▪ Utility Coordination
▪ Multi-agency
Coordination
▪ Extensive Renderings
during design phase
Year to be Completed
2023 (est.)
Cost
$204.1 M

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 18

MORGAN HILL/SAN JOSE - MERCED HSR DRAFT EIR/EIS SUPPORT

CITY OF MORGAN HILL, CA

PROJECT DESCRIPTION
BKF provided civil engineering support services to assist the City of Morgan Hill (City) to evaluate the California High Speed Rail (HSR) alignments proposed in the Draft Environmental Impact Report (EIR) for the San Jose-Merced segment. BKF’s responsibilities included the review of the UPRR rail crossings at E. Dunne Avenue and Tennant Avenue that crosses the proposed HSR alignment in Downtown Morgan Hill. Additionally, BKF assisted Perkins & Will and David J. Powers & Associates with the review of the HSR alternative alignments, especially at the rail crossings at City street intersections, to ensure that refinements suggested for City’s consideration to forward to the HSR Authority would be peer reviewed and thus were based on a solid engineering foundation. BKF prepared grade separation exhibits for the HSR crossings at E. Dunne Avenue and Tennant Avenue as well as performed civil engineering review of the pedestrian undercrossing for the Morgan Hill Caltrain Station.

BKF attended team meetings and contributed to various topics including safety, emergency response time, pedestrian, bicycle and vehicular access, drainage, utilities, and right of way impacts. BKF worked with the City’s team in making recommendations to the HSR Authority on potential refinements that would improve the alignments and provide a safer facility to the community from the City’s perspective.

Hexagon provided review the High-Speed Rail EIR. The EIR includes 4 alternatives for the rail tracks. It was determined that some of the alternatives would create impacts to the transportation system in Morgan Hill. All alternatives would create impacts during construction. Hexagon evaluated AM and PM peak-hour intersection levels of service at key intersections for projected long-range traffic conditions with and without the HSR project Firms Involved:
▪ BKF
▪ Perkins & Will
▪ Hexagon
▪ David J. Powers
Relevance:
▪ CIty of Morgan Hill
Project
▪ Studies & Reports for
this project location
Year Completed
2020
Cost
$10,000 Contract
Reference
Tiffany Brown
City of Morgan Hill
408.310.4655
under all project alternatives. Projected maximum peak-hour vehicle queues for proposed at-grade crossings were also evaluated. Impacts on property access and on bicycle, pedestrian, and transit circulation were evaluated for each of the project alternatives, as well as potential short-term traffic impacts due to the construction of the various alternatives.

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 19

CALTRAIN GRADE SEPARATIONS FEASIBILITY STUDY

CITY OF SUNNYVALE, CA

PROJECT DESCRIPTION
The VTA Measure B program included the funding of 8 grade separation projects along the Caltrain corridor in the cities of Sunnyvale, Mountain View and Palo Alto with the intent to separate the Caltrain tracks from roadways to provide increased safety benefits for drivers, bicyclists and pedestrians; to reduce traffic congestion at the adjacent intersections; and to incorporate Complete Streets design features.

BKF Engineers (BKF) assisted the City of Sunnyvale (City) with developing detailed grade separation alternative designs and an assessment of impacts and requirements for 2 new grade separation locations at major east-west arterials: Sunnyvale Avenue and Mary Avenue.

The new grade separations are vital to the City objectives of increasing the attractiveness of the downtown area for businesses and residents. The current situation with at-grade crossings essentially blocks east-west traffic flow, creates an offensive noise disturbance when passing trains sound horns and crossing gate bells ring, and presents a continual risk of dangerous accidents when vehicles or pedestrians are crossing the tracks.

The grade separation design alternatives were configured as either roadway overpasses or underpasses, permitting safe and efficient flow of multimodal traffic in and out of the downtown area to other key City locations and to US 101. The design of the grade separations additionally took into consideration future track improvements such as the electrification of the Caltrain system and the High Speed Rail running along the Caltrain tracks. The two grade separations locations had site-specific features that affected the design configurations and impacts, such as their relative adjacency to Evelyn Avenue and the Sunnyvale Caltrain Station, maintaining accessibility to local businesses and residences, the relocation of major utilities and the right of way needs. At the conclusion of the design work, assessment of impacts and public outreach, the results were presented to the City Council and a feasibility study drafted identifying the preferred alternatives so that the project can proceed to the environmental and PS&E phases of work.

Firms Involved:
▪ BKF
▪ Biggs Cardosa
Relevance:
▪ Rail Coordination
Year to be Completed
2022
Cost
$432,000,000
Reference
Angela Obeso
Principal Transportation
Engineer
City of Sunnyvale
408.730.7557

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 20

ANALYSIS OF CA HIGH SPEED RAIL ALIGNMENT OPTIONS

CITY OF MORGAN HILL, CA

PROJECT DESCRIPTION
Perkins & Will provided urban design and placemaking expertise in order to support the City of Morgan Hill’s efforts to review and comment upon proposed alignments for California High Speed Rail.

The team assessed all proposed alignments by how well they aligned with the City’s planning vision and goals, evaluated their impacts on the downtown environment and future economic vitality, and identified mitigation measures focusing on the preferred alignment recommended by the California High Speed Rail Authority.

A conceptual design study was conducted on impacted areas near Morgan Hill’s downtown.

This study focused on safe grade-separated crossings and public-realm improvements designed to provide continuous access to pedestrians, cyclists, cars, and emergency vehicles across the High Speed Rail corridor.

Firms Involved:
▪ Perkins & Will
Relevance:
▪ CA High Speed Rail
project
▪ Rail Alignment Options
Study

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 21

ATLANTA BELTLINE CORRIDOR DESIGN AND TRAILS

CITY OF ALTANTA, GA

PROJECT DESCRIPTION
Perkins & Will co-designed the popular Atlanta Beltline Corridor and Trails, transforming an abandoned industrial railway with uncooperative old land with unmarked utilities and buried objects into a thriving hub for pedestrian and bicycle traffic. The Beltline provides a 22 mile path that connects housing units, business units, and train stations.

Perkins & Will guided the Corridor Design, Eastside Trail, and Westside Trail from initial guidelines to real-world execution under extremely tight deadlines.

Today, more than a million people use the Eastside Trail alone. From large civic events like the Lantern Parade that pumps more than 10,000 enthusiastic people through its arteries to informal art strolls by individuals, the BeltLine is host to a true cross section of the city—a society on its way to work, shop, school, and social events—happily enjoying the company of each other. Best of all, no one entity can control it. It belongs to everybody.

Since 2005, more than 50 projects representing more than $2.4 billion in private investment have taken shape around the Atlanta BeltLine, with $638 million in new development along the Eastside Trail alone. Ponce City Market, once an empty hull, stands as a marquee example for reuse, while bordering neighborhood businesses and restaurants have reoriented themselves toward the trail to take advantage of the heavy foot traffic.

The project received numerous awards, including:

Building Healthy Places Award, Urban Land Institute, Atlanta, 2015 Honor Award, Tri-State ASLA, 2014
Award of Excellence, Georgia ASLA, 2014
Overall Excellence in Smart Growth Award, US Environmental Protection Agency, 2014 Firms Involved:
▪ Perkins & Will
Relevance:
▪ Pedestrian/bicycle
corridor

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 22
CA HIGH-SPEED RAIL AUTHORITY CP1 UPRR SHOOFLY

CITY OF FRESNO, CA

PROJECT DESCRIPTION
Construction Package 1, a 32-mile stretch between Madera to Fresno, was the first significant construction contract executed for the high-speed rail program. This package includes 12 grade separations, two viaducts, one tunnel, a major river crossing, and the realignment of State Route 99.

Jon Marshall was the Rail Design Manager for the Tutor/Perini/Zachry/ Parsons joint venture for the design of the three shooflies of the Union Pacific Railroad (UPRR) mainline in Fresno, including at Downtown, Westside Wye and Herndon. These 3 shooflies, totaling over 14,000 feet of new track, enable the construction of four underpasses of UPRR required for establishing the high-speed train alignment adjacent to UPRR through Fresno. The work has involved substantial interface with UPRR design criteria and standards and engagement with UPRR staff and consultants to identify the specific constraints at each crossing and develop effective solutions to these constraints that meet UPRR criteria and construction phasing, staging and methods that minimize impacts to UPRR to the greatest extent possible.

Due to very significant UPRR concerns with the preliminary design for the Westside Wye shoofly presented in the environmental document, Jon led an alternatives analysis including significant engagement with UPRR that resulted in a consensus for a feasible approach for the final design that simplified the construction phasing of the highly spaced constrained site. The JMA team was also engaged by TPZP to prepare other elements of the design related to UPRR, including modifications to 2 temporary at-grade crossings and 1 permanent reconfigured crossing. JMA also designed and coordinated numerous utility relocations and special protections required by the shooflies, for Kinder Morgan and PG&E facilities.

Firms Involved:
▪ JMA Civil
Relevance:
▪ Rail Coordination
Year to be Completed
2022, ongoing
construction
Cost
$50 M
Reference
James Labanowski, PE,
Railroad/Utility Manager
California High-Speed Rail
Authority
James.labanowski@hsr.
ca.gov
916.669.6634

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 23
CA HIGH-SPEED RAIL AUTHORITY CP4 BNSF SHOOFLY

CITY OF WASCO, CA

PROJECT DESCRIPTION
Supporting the design-build contractor, California Rail Builders, JMA has led the design of two adjacent shooflies of BNSF mainline for Construction Package 4 in Wasco. JMA developed the at-grade alternative technical concept during tender phase that avoided the expensive and impactful BNSF viaduct structure through Wasco shown in the environmental and base bid documents. Working closely with BNSF, a single long shoofly was modified to two shorter shooflies, eliminating impacts to the BNSF Wasco yard and adjacent Amtrak station, significantly reducing overall costs, enabling a more flexible construction plan and gaining BNSF’s consensus for the project.

In addition to designing over 23,000 feet of new mainline and shoofly tracks, JMA has coordinated all utility relocation submittals with BNSF (45 applications approved or pending), designed 10 miles of access roads within BNSF ROW, designed a long, deep bore relocation of Level 3/Century Link fiber line through Wasco, and led the CPUC applications for 14 new and modified crossings. JMA additionally performed independent technical review of the HST and associated project drainage for a 3+-mile segment through Wasco. BNSF approved the 100% submittals in early 2019 and substantial construction is underway with completion of the Poso shoofly expected in 2022.

At the 2019 general session of the American Railway Engineering and Maintenance of Way Association (AREMA), Jon Marshall co-presented with Michael Keating of BNSF and Antonio Canete of California Rail Builders the strategy the team developed for addressing the challenging technical considerations associated with the shooflies, and the team’s collaborative approach that achieved BNSF approvals in under 24 months, from alternatives analysis to structure and shoofly 100% approvals.

Firms Involved:
▪ JMA Civil
Relevance:
▪ Railroad Coordination
Year to be Completed
2022, ongoing
construction
Cost
$20 M
Reference
Michael Keating, Manager
of Engineering
BNSF Railway
4006 E. Vine Ave.

Fresno, CA 93725
[email protected]

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

1. Firm Qualifications 24

ADDITIONAL RELEVANT PROJECTS
To better illustrate our team’s depth of experience with grade separation projects, as well as our previous successful experience working together, we have included examples of a few additional recent projects:

Mount Vernon Viaduct at BNSF Intermodal Yard, SBCTA
Firms: Biggs Cardosa | Services: Program and Construction Management (PCM)
The scope of the Biggs Cardosa-led team consists of supporting SBCTA in managing all phases of the D/B contract to replace an aging 1,000-footlong bridge spanning over 22 BNSF and Metrolink tracks across the San Bernardino BNSF Intermodal Yard. The cost of the project is estimated at $140M and it is currently under construction.

G Street / BNSF Underpass, Merced
Firm: Biggs Cardosa | Services: Full Design and CM
Biggs Cardosa led the design team of the G Street Underpass. The project provided the City of Merced with its first grade separation of this heavily used rail corridor, improving safety, reducing noise and travel details, and providing reliable route for the City’s emergency services. This project received the 2012 ACEC California Honor Award in Engineering Excellence in the Transportation category.

Hamilton Station Pedestrian Overcrossing, Campbell
Firm: Biggs Cardosa | Services: Structural Engineering
Part of VTA’s Vasona Light Rail Project, this signature arch structure spans the UPRR line to connect the Hamilton Station Plaza with the elevated station platform. This project received the ACEC 2007 Merit Award for Engineering Excellence.

Tustin Ave / Rose Dr / BNSF Grade Sep., OCTA
Firms: Biggs Cardosa | Services: Full Design
Biggs Cardosa managed and designed one of five grade separation projects for OCTA’s Bridge Program. The project included an overhead structure over BNSF along with multiple concrete, masonry and MSE retaining walls totaling over 4,500 feet in length. This project received the 2017 ACEC California Honor Award in the Transportation Category.

Central Ave Bridge over UPRR/Amtrak/Metrolink, Montclair Firms: Biggs Cardosa Services: Full Design
Biggs Cardosa is the prime consultant leading a multidisciplinary team on this bridge design project. The project includes the replacement of a bridge that spans seven UPRR tracks, a flood control channel, and local streets. This project showcases the team’s recent and relevant experience working together with UPRR.

STAFF QUALIFICATIONS
Bradley Moody Memorial Underpass, Richmond
2 2. Staff Qualifications

STAFF QUALIFICATIONS
25 2
City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans Sarah Moyles PE 1
Structures Engineer
Key Personnel FIRMS

1. Biggs Cardosa: Project Management,
Structural Engineering

2. BKF: Civil, Roadway, Utility Coordination

3. Perkins & Will: Architectural Renderings,
Landscape Concepts, Urban Design

4. JMA: Railroad Coordination, Track Design

5. PARIKH: Geotechnical, Hazardous Waste
6: Hexagon: Traffic (if needed)

7. DJP: Environmental (if needed)
Shaun Sumpter, PE, SE 1
QA/QC Manager
Mahvash Harms, PE, SE1
Principal-in-Charge,
Project Manager
Jon Marshall, PE 4
Rail Manager
John Alciati, PE 1
Structures Engineer
CAHSR, UPRR, Caltrain
CPUC, Utility Companies
Regulatory Agencies
Residents & Businesses
Organization Chart KEY STAKEHOLDERS
Martin Bodemar, PE, SE1
Structures Lead
Natalina Bernardi, PE2
Civil PIC /Technical
Advisor
Jeffrey Elia, PE 6
Traffic Manager
Marcelo Cosentino, PE 2
Roadway Manager
Andrew Michel, PE 2
Utilities Engineer
Yao Lu, AICP, ENV, SP 3
Urban Designer
Mohammed
Abushaban, PE 4
Rail Engineer
David Wang, PhD, PE 5
Geotech Manager
Ashley Sun 3
Landscape Architect Davis Thresh, PLS 2
Survey/Right of Way Manager
Akoni Danielsen 7
Environmental
Manager
As with all our clients, Biggs Cardosa will be committed to the City of Morgan Hill with maximum efficiency and professional integrity.

If selected, our Key Personnel will be committed to the entire duration of the project from start to completion, and will not be replaced without the City’s prior approval. Our team has the depth of staff to deliver this project in an effective and timely manner. The availability of human and financial resources, the depth and breadth of our successful engineering experience for bridge projects, and the leading-edge technical expertise of our personnel give us maximum levels of capability and flexibility to provide the professional services required to complete this project on time and within budget. Our staffing plan assures availability of sufficient qualified staffing resources throughout the duration of the contract.

Anthony Notaro, PE 1
Technical Advisor

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

3. STAFF QUALIFICATIONS 26
Key Personnel

MAHVASH HARMS, PE, SE
Principal-in-Charge, Project Manager
years of experience in project
management and structural
engineering. leading multidisciplinary design teams on multi-million dollar public
transportation and infrastructure
projects. 25 years with Biggs
Cardosa
multi-million dollar pedestrian/
bicycle bridge and tunnel projects
in California, including 6 rail
crossings

SELECT RELEVANT PROJECT EXPERIENCE
Santa Clara Caltrain Station Pedestrian Undercrossing Extension at UPRR/Caltrain/ Amtrack, Santa Clara, CA
Bernardo Pedestrian Undercrossing at Central Expressway and Caltrain ROW, Mountain View, CA
SVBX Montague Expressway Pedestrian Overcrossing, Milpitas, CA Warm Springs BART West Access Ped. Bridge and Plaza, Fremont, CA Campbell Avenue Portals Project at Highway 17, Campbell, CA South Bayfront Pedestrian Bicycle Bridge over UPPR Right-of-Way, Emeryville, CA

REGISTRATION
Professional Engineer
(Civil) CA C31736
Structural Engineer
CA S2639

EDUCATION
B.S. Civil Engineering
San Jose State University
M.S. Civil Engineering
San Jose State University
30+
20+
heavy rail and lightrail projects
including UPRR, Amtrak, Caltrain,
BART and SMART
of projects are for Public Sector
clients including cities, counties and
transportation agencies
award-winning pedestrian/bicycle
projects in the last 5 years
15+
99%
5 REGISTRATION
Professional Engineer
(Civil) CA C57856
Structural Engineer
CA S4869

EDUCATION
B.S. Civil Engineering
Santa Clara University

MARTIN BODEMAR, PE, SE
Structures Lead
years of experience in project
management and structural
engineering, leading multidisciplinary design teams on various public transportation
and infrastructure projects. 25
years with Biggs Cardosa
of projects are for Public Sector
clients
28 99%
multi-million dollar signature
pedestrian/bicycle bridge and
tunnel projects in California,
including a recent award-winning
PUC
heavy rail and lightrail projects
including UPRR, Amtrak, Caltrain,
and BART
10+
15+

SELECT RELEVANT PROJECT EXPERIENCE
Santa Clara Caltrain Station Pedestrian Undercrossing Extension at UPRR/Caltrain/ Amtrack, Santa Clara, CA
California High Speed Rail, Construction Package 2-3, Fresno to Bakersfield, CA Jefferson Avenue Underpass, Redwood City, CA

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

3. STAFF QUALIFICATIONS 27

NATALINA BERNARDI, PE
Civil Principal-in-Charge/Technical Advisor
years of experience in project
management and civil
engineering. leading multidisciplinary design teams on multi-million dollar public
transportation and infrastructure
projects. 34 years with BKF
multi-million dollar grade
separation projects in California
including 12 rail crossings

SELECT RELEVANT PROJECT EXPERIENCE
Sunnyvale Caltrain Grade Separations Study, Sunnyvale, CA Marina Bay Parkway Grade Separation, Richmond, CA
City Place Grade Separations, Santa Clara, CA
Mission Boulevard/Warren Avenue, UPRR Railroad Relocation, Fremont, CA Kato Road Grade Separations, Fremont, CA

REGISTRATION
Professional Engineer
(Civil) CA C45407

EDUCATION
B.S. Civil Engineering
University of California,
Berkeley
37 50+
heavy rail and lightrail projects
including UPRR, Amtrak, Caltrain,
BART and SMART
of projects are for Public Sector
clients including cities, counties and
transportation agencies
award-winning grade separation
projects in the last 5 years
30+
90%
4 MARCELO CONSENTINO, PE
Civil Project Manager
years of experience in project
management and civil
engineering. leading multidisciplinary design teams on multi-million dollar public
transportation and infrastructure
projects. 15 years with BKF.
multi-million dollar grade
separation projects in California
including 12 rail crossings

SELECT RELEVANT PROJECT EXPERIENCE
Morgan Hill High Speed Rail EIR Support, Morgan Hill, CA Eastridge to BART Regional Connector (Capitol Expressway LRT Extension), San Jose, CA
TAMC Salinas Rail Kick-Start, Salinas, CA
Mission Boulevard/Warren Avenue Grade Separations and UPRR Railroad Relocation, Fremont, CA
Kato Road Grade Separation, Fremont, CA

REGISTRATION
Professional Engineer
(Civil) CA C9063

EDUCATION
B.S. Civil Engineering
Santa Clara University
M.B.A. San Jose State
University
24 25+
heavy rail and lightrail projects
including UPRR, Amtrak, Caltrain,
BART and SMART
of projects are for Public Sector
clients including cities, counties and
transportation agencies
award-winning grade separation
projects in the last 5 years
15+
98%
3

City of Morgan Hill Grade Separations | Proposal for 30% Engineered Design Plans

3. STAFF QUALIFICATIONS 28

JON MARSHALL, PE, QSD/QSP
Rail Manager
years of experience in in
railroad facility design,
consulting, and general civil
engineering; 10 years with JMA
20 years of experience
designing projects for and
impacting Union Pacific
Railroad
of Jon’s portfolio is rail related,
public sector projects.

SELECT RELEVANT PROJECT EXPERIENCE
High-Speed Rail CP1 UPRR Shoofly Design, Fresno, CA
CA High-Speed Rail Construction Package 4 (CP4), Wasco, CA Caltrain Underpass Studies, Whipple, South Linden and Scott, Redwood City, CA Laurel Street Grade Separation, Colton, CA
Design Support of City of Brisbane Comments on the CA High-Speed Rail San Francisco to San Jose Segment EIR

REGISTRATION
Professional Engineer
(Civil) CA 63424
Qualified SWPP
Developer/Practioner
(QSD/QSP)

EDUCATION
B.S. Civil Engineering
University of Waterloo
24 20+
75%
railroad projects in his career,
primarily with UPRR and BNSF
Railway. He has led the CPUC
coordination role for several dozen
rail grade separation and at-grade
crossing improvement projects.

AREMA Annual Conference General
Session Presenter where he
discussed the challenging technical
considerations of the UPRR and
BNSF Shooflies from the California
High-Speed Rail projects.
200+
2X

5 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Keri Russell, Maintenance Manager
APPROVED BY: City Manager

ADOPT RESOLUTION OF INTENT TO HOLD SPECIAL BALLOT

PROCEEDING FOR SPARHAWK SUBAREA OF MORGAN HILL
LANDSCAPE ASSESSMENT DISTRICT NUMBER 1

RECOMMENDATION(S)
Adopt resolution declaring intent and authorizing special ballot proceeding required to increase the maximum assessment rate for the Sparhawk subarea of the City's Landscape Assessment District Number 1, effective Fiscal Year (FY) 2024-25.

COUNCIL PRIORITIES, GOALS & STRATEGIES
2022-2023 Strategic Priorities
Fiscal Sustainability
Affordable Housing and Homelessness
Community Outreach, Engagement, and Messaging
Economic Development
Transportation
REPORT NARRATIVE:

The purpose of this report is to provide the Council with an opportunity to consider and adopt a resolution declaring the intent and authorizing the special ballot proceeding needed to increase the maximum level of assessment in the Sparhawk Subarea of Morgan Hill Landscape Assessment District 1.

The City has been administering the various subareas contained in Morgan Hill Landscape Assessment District Number 1 since the 1990’s. Each of these subareas function as a “mini-district” in which the revenues garnered through the annual assessments must only be used to pay the administrative and direct service costs for that subarea. Sparhawk is experiencing funding issues and is projected to have no fund balance in FY 2024-25 due to inflationary factors on the expense side and no increases in assessments.

As a result of Proposition 218, the assessment level cannot be increased above the maximum permitted level without an affirmative vote of the majority of the voting property owners. City staff have been meeting with some of the residents in the Sparhawk Subarea. During the last meeting, the residents in attendance indicated that

5 they would prefer to vote to increase their maximum assessment level in order to maintain their level of service rather than a reduction to services.

Adopting the recommended resolution is the first required step for the City to hold a special ballot proceeding needed to raise the assessment limit. If the Council adopts the resolution, a mail notice will be issued and a public hearing will be held on April 24, 2024. A Supplemental Engineer’s Report is included.

COMMUNITY ENGAGEMENT:

Involve
Staff recently held a meeting with Sparhawk residents to discuss the budget and service level options. City staff also sent letters informing residents of the funding issues and inviting them to participate in the meeting or connect with City staff by phone or email.

Staff proposed an increase in the maximum assessment as the alternative would be a reduction in services. Residents present at the meetings supported the increase.

ALTERNATIVE ACTIONS:

The Council could decline to adopt the resolution which would cause a reduction of service level to Sparhawk Subarea. The City will be required to maintain some minimum level of service for safety and this may ultimately result in an impact to the City’s General Fund.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

The Council has not had prior actions for Sparhawk Subarea. The Council approves the levy of assessments on all subareas within the Landscape Assessment District annually.

FISCAL AND RESOURCE IMPACT:

This item does not have a fiscal impact as the ballot proceeding will only raise the legally permissible maximum assessment limit – it will not actually increase the assessment. The actual annual assessments for the entire District will be set by a separate Council action scheduled for a meeting later in the Spring. Administering the District is included in the work program of the Public Services Department.

CEQA (California Environmental Quality Act):

Not a Project
This actions in this resolution are fiscal activities which do not directly involve a physical impact on the environment.

Supplemental Engineer’s Report
Subarea Sparhawk Zone of City of Morgan
Hill Landscape Assessment District No. 1
February 21, 2024

Introduction and Overview
This Supplemental Engineer’s Report is intended as a supplement to the Engineer’s Report that the City of Morgan Hill will prepare for the entire Landscape Assessment District No. 1 in advance of the 2024/2025 Fiscal Year. The sole subject of this report is the Sparhawk Zone of the District.

In 1991, the City Council created the Fox Hollow/Murphy Springs Landscape Assessment District, under the Act, and in 2010 chose to rename it to the City of Morgan Hill Landscape Assessment District No. 1.

The District was formed in order to provide for the continued maintenance, operation, and administration of various improvements within the boundaries of the District. Following the initial formation, additional territory was annexed to the District as separate Zones. Currently, the District is comprised of 19 Zones or Subareas. The Sparhawk Zone Subarea of Landscape Assessment District No. 1 consists of eighteen parcels located on Sparhawk Zone as depicted below.

Exhibits from the Engineer’s Report at the formation of the District define the boundaries and maintenance areas of each Zone within the District. These exhibits are on file and available for review at the office of the City Engineer and, in conjunction with the County of Santa Clara (the “County”) Assessor's maps of the areas annexed, comprise the assessment diagrams for the respective annexations. The Assessor's maps are on file in the office of the County Assessor and are, by reference, made a part of this Report.

The improvements include the construction, operation, maintenance, and servicing of landscaping and appurtenant facilities; including, but not limited to, personnel, electrical energy, utilities such as water and gas, materials, contracting services, and other items necessary for the satisfactory operation of the following services:
“Landscape improvements provided within the District may include, but are not limited to:
ground cover, shrubs, plants and trees, irrigation and drainage systems, graffiti removal, entry monuments, and associated appurtenant facilities. Services provided include all necessary service, operations, administration, and maintenance required to keep the above-mentioned improvements in a healthy, vigorous, and satisfactory condition.” Estimate of Costs
Definition of Budget Terms
Direct Expenses:

Monthly Maintenance: Includes all regularly scheduled labor, material (i.e. pipe, fertilizer, insecticides, paint, etc.) and equipment required to properly maintain and ensure the satisfactory condition of all landscaping, irrigation and drainage systems, and appurtenant facilities.

Extra Contract Costs: Includes all labor, equipment, and material costs associated with unscheduled repairs and improvements needed to ensure the satisfactory condition of all landscaping, irrigation and drainage systems, and appurtenant facilities.

Water/Sewer: Includes the furnishing of water required for the operation and maintenance of the landscaping facilities.

Electricity Costs: Includes the furnishing of electricity required for irrigation systems for the operation and maintenance of the landscaping facilities.

Other Supplies: Includes costs that are generally unforeseen and not normally included in the yearly maintenance contract costs. This may include repair of damaged amenities due to vandalism, storms, heavy frost, etc. Also included may be planned upgrades that provide a direct benefit to the District. These upgrades could include replacing plant materials and/or renovation of irrigation systems.

Administrative Expenses:

Salaries: Includes the cost to particular departments and staff of the City to provide the coordination of District services, operations, and maintenance of the improvements, response to public concerns and education, and procedures associated with the levy and collection of assessments.

Postage/Advertising: Includes the cost of providing any mailed notice to the property owners and publishing and posting the Resolution of Intention as required by the Act.

Internal Services: Includes overhead costs allocated to the District for various City staff services.

Administrative/Engineering Contract: Includes the costs associated with contracting with professionals to provide services specific to the administration of the levy.

Contingency/Capital Replacement Fund Balance (Reduction)/Reserve:

Positive amounts are collected for various reasons that include, but are not limited to, any or all of the following:
 To maintain reserves which enable the City to pay for costs associated with the District during the first six months of the fiscal year,
 To reduce the current fund balance deficit (if any) that exists as of the beginning of the fiscal year, and
 To plan for the replacement of capital improvements in the future.

Zone Budget for Fiscal Year 2023/24

DIRECT EXPENSES
Monthly Maintenance $2,262.44
Extra Contract Costs 250.00
Water/Sewer 1875.00
Electricity 0.00
Other Supplies 0.00
Subtotal Direct Expenses $4,387.44

ADMINISTRATIVE EXPENSES
Salaries $620.91
Postage/Advertising 5.01
Internal Services 501.82
Administrative/Engineering Contract 201.77
Subtotal Administrative Expenses $1,329.51
TOTAL SUBAREA COSTS $5,716.95
FUND BALANCE (REDUCTION) RESERVE 295.05
TOTAL BALANCE TO LEVY $6,012.00
NUMBER OF ACCESSABLE UNITS 18.00
ASSESSMENT RATE PER UNIT $334.00
ESTMATED BEGINNING FUND BALANCE JULY 1, 2023 $495.65
FUND BALANCE CHANGE 295.05
ESTIMATED ENDING FUND BALANCE JUNE 30, 2024 $790.70

Assessments
Method of Apportionment
The assessments are levied in accordance with the assessment methodology adopted and approved by the City Council at the time of District formation.

Pursuant to the Act and Article XIII D of the Constitution of the State of California, all parcels that have special benefit conferred upon them as a result of the maintenance and operation of improvements shall be identified and the proportionate special benefit derived by each identified parcel shall be determined in relation to the entire cost of the maintenance and operation of the improvements. Only parcels that receive direct special benefit are assessed, and each parcel is assessed in proportion to the estimated benefit received.

Several Zones have been annexed into the District and it has been determined that by reason of variations in the nature, location, and extent of the improvements, those areas will receive differing degrees of benefit from the improvements.

Within the Zones, each parcel is allocated a number of units, where each such unit is deemed to receive the same proportional special benefit from the maintenance and operation of the improvements within that Zone. The typical parcel, with a single family residential use, will have one unit assigned. If the use or nature of a parcel confers special benefit in a greater or lesser degree than that typical use, that parcel may have greater than or less than one unit assigned Specific Proposed Increase
The assessment rate originally approved at the time of annexing this Zone into the District was $186.82 per unit. There is currently a 3% annual inflator associated with the Sparhawk Zone assessments.

This Supplemental Engineer’s Report is being prepared specifically for consideration as a component of the process for the Sparhawk property owners to consider an increase in the maximum assessment rate per unit. The increase is being considered to prepare for future anticipated maintenance needs that benefit the entire zone.

There are currently 18 parcels within this Zone, and the total Zone costs are spread to each of the 18 units as follows:

Estimated Fiscal Year 2024/25 Costs and Fund Adjustment Total Units 18
Fiscal Year 2024/25 Proposed Assessment Per Unit $500.00 Fiscal Year 2024/25 Proposed Maximum Assessment Per Unit $500.00 Fiscal Year 2023/24 Actual Assessment Per Unit $334.00
Proposed Change in Assessment Rate Per Unit $166.00

Assessment Roll
SubArea APN Rate per
Unit
Units 2024/25
Assessment
Sparhawk 764-31-025 500.00 1.00 500.00
Sparhawk 764-31-026 500.00 1.00 500.00
Sparhawk 764-31-027 500.00 1.00 500.00
Sparhawk 764-31-028 500.00 1.00 500.00
Sparhawk 764-31-029 500.00 1.00 500.00
Sparhawk 764-31-030 500.00 1.00 500.00
Sparhawk 764-31-031 500.00 1.00 500.00
Sparhawk 764-31-032 500.00 1.00 500.00
Sparhawk 764-31-033 500.00 1.00 500.00
Sparhawk 764-31-034 500.00 1.00 500.00
Sparhawk 764-31-035 500.00 1.00 500.00
Sparhawk 764-31-036 500.00 1.00 500.00
Sparhawk 764-31-037 500.00 1.00 500.00
Sparhawk 764-31-038 500.00 1.00 500.00
Sparhawk 764-31-039 500.00 1.00 500.00
Sparhawk 764-31-040 500.00 1.00 500.00
Sparhawk 764-31-041 500.00 1.00 500.00
Sparhawk 764-31-042 500.00 1.00 500.00

RESOLUTION NO. 24-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF MORGAN HILL DECLARING ITS INTENTION AND

CALLING AN ASSESSMENT BALLOT PROCEEDING TO

SUBMIT TO THE QUALIFIED PROPERTY OWNERS THE

QUESTION OF THE PROPOSED INCREASE IN THE

MAXIMUM ASSESSMENT RATE FOR THE SPARHAWK

SUBAREA OF LANDSCAPE MAINTENANCE
ASSESSMENT DISTRICT NUMBER 1 BEGINNING IN
FISCAL YEAR 2024/25
The City Council of the City of Morgan Hill (hereafter referred to as the “City Council”) does resolve as follows:

WHEREAS, the City Council has previously formed Landscape Assessment District No. 1 (District), previously the Fox Hollow/Murphy Springs Landscape Assessment District, to levy and collect assessments pursuant to the provisions of the Landscape and Lighting Act of 1972, Part 2, Division 15 of the California Streets and Highways Code (commencing with Section 22500) (hereafter referred to as the “Act”) that provides for the levy and collection of assessments by the County of Santa Clara for the City of Morgan Hill to pay the maintenance and services of all improvements and facilities related thereto; and
WHEREAS, City representatives have met with residents of the Sparhawk Subarea of Landscape Assessment District No. 1 who have expressed an interest in increasing the level of maintenance in the Sparhawk Subarea in order to continue to provide adequate maintenance service.

NOW, THEREFORE BE IT RESOLVED, DETERMINED, AND ORDERED BY

THE CITY COUNCIL OF THE CITY OF MORGAN HILL, PURSUANT TO CHAPTER 2, SECTION 22587 OF THE ACT, AS FOLLOWS:

Section 1 Intention: The City Council hereby declares its intention to increase assessments in the Sparhawk Subarea of the District over and including the land within the Sparhawk Subarea boundary, and to levy and collect increased assessments on all such land to pay the annual costs of the maintenance described herein. The City Council has determined at this time to call an assessment ballot proceeding therein to authorize the increased assessments to pay the costs and expenses of the maintenance contained specifically and exclusively in the Sparhawk Subarea of the District as further described in Section 5 of this resolution. The City Council finds that the public’s best interest requires such increase, levy and collection.

Section 2 Calling a special ballot proceeding: Pursuant to Proposition 218, now California Constitutional Articles XIIIC and XIIID, (hereafter referred to as the “Proposition 218”) approved by the California voters in November 1996, an assessment ballot proceeding is hereby called on behalf of the Sparhawk Subarea of the District on the proposition of levying the increased assessments and the assessment range formula to allow for reasonable increases within the Sparhawk Subarea of the District.

City of Morgan Hill
Resolution No. 24-XXX

Section 3 The assessment ballot proceeding for the Sparhawk Subarea of the District on the proposition of authorizing the increased assessments and the assessment range formula to allow for reasonable increases, pursuant to Proposition 218 consists of a ballot, included with the mailed notice required by California Government Code Section 53750 et seq., distributed by mail, to the property owners of record within the Sparhawk Subarea as of the county’s last equalized secured property tax assessment roll. Each property owner’s vote is weighted by the amount of their proposed assessment and property owners may return the ballot by mail or in person to the City Clerk not later than the conclusion of the Public Hearing on Wednesday, April 24, 2024. At the Public Hearing, pursuant to Proposition 218 the agency shall tabulate the ballots to determine if a majority protest exists. The ballots shall be weighted according to the proportional financial obligation of the affected property. A majority protest exists if, upon the conclusion of the Public Hearing, ballots submitted in opposition to the assessments exceed the ballots submitted in favor of the assessments.

Section 4 District Boundaries: The boundaries of the Sparhawk Subarea of the District are described as the boundaries previously defined in the formation documents of the original Sparhawk Subarea of the District, within the boundaries of the City of Morgan Hill, within the County of Santa Clara, State of California.

Section 5 Description of Maintenance: The maintenance which shall be provided for the property included in the Sparhawk Subarea of the District by and through the assessments and the proposed increased assessments levied annually thereon shall include, but are not limited to: maintenance of the turf, shrubs, plants and trees, landscaping, irrigation and drainage systems, graffiti removal, and associated appurtenances within the public right-of-ways or specific easements. Services provided include all necessary service, operations, administration and maintenance required to maintain the assessment district at this current condition or better.

Section 6 Notice of Public Hearing: Notice is hereby given that Public Hearing on these matters will be held by the City Council on Wednesday, April 24, 2024 at 6:00 p.m. or as soon thereafter as feasible in the City Council Chambers, located at 17555 Peak Avenue, Morgan Hill.

Section 7 Notice of Hearing and Ballots: The City Clerk of the City Council shall mail notice of the proposed increased assessments and of the time and place of the public hearing, as specified in Section 6 hereof, to the record owner of each assessable parcel of property identified in the Engineer’s Report. Such notice shall specify the total amount of the increased assessments chargeable to all the property within the Sparhawk Subarea of the District, the amount chargeable to each owner’s particular parcel, the duration of the assessments, the reason for the assessments and the basis upon which the amount of the proposed assessments was calculated, together with the date, time and location of the public hearing on the proposed assessments as specified in Section 6 hereof. The notice shall include, in a conspicuous place, thereon, a summary of the procedures applicable to the completion, return and tabulation of the assessment ballots, which will accompany the notice and shall include a statement that the existence of a majority protest will result in the assessments not being levied, and that a majority protest will exist if, upon the conclusion of the hearing, ballots submitted in opposition to the assessments exceed the ballots submitted in favor of the assessments. Each such notice mailed to owners of identified parcels within the Sparhawk Subarea of the District shall contain a ballot which includes the City’s address for receipt of any ballot when completed by any owner receiving such notice whereby each such

City of Morgan Hill
Resolution No. 24-XXX

owner may indicate his or her name, reasonable identification of the parcel and support or position to the proposed assessments.

Section 8 The City Clerk is hereby authorized and directed to give notice of such hearing as provided by law.

Section 9 The Engineer’s report of February 21, 2024 complies with applicable State statutes authorizing the assessment or its increase and with the California Constitution and may, therefore, be approved by the City Council.

PASSED AND ADOPTED by the City Council of Morgan Hill at a Regular Meeting held on the 21st Day of February, 2024 by the following vote.

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

DATE: _____________________ ___________________________________ Mark Turner, MAYOR
 CERTIFICATION 
I, Michelle Bigelow, CITY CLERK OF THE CITY OF MORGAN HILL, CALIFORNIA, do hereby certify that the foregoing is a true and correct copy of Resolution No. , adopted by the City Council at a Regular Meeting held on February 21, 2024.

WITNESS MY HAND AND THE SEAL OF THE CITY OF MORGAN HILL.

DATE: _____________________ ___________________________________ MICHELLE BIGELOW, City Clerk

6 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Christina Turner, City Manager
APPROVED BY: City Manager

ADOPT UPDATES TO THE SUSTAINABLE MORGAN HILL DOCUMENT

RECOMMENDATION(S)
Adopt updates to the Sustainable Morgan Hill document.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Enhancing Public Safety
Protecting the Environment and Preserving Open Space and Agricultural Land Maintaining and Enhancing Infrastructure
Supporting our Youth, Seniors, and Entire Community
Fostering a Positive Organizational Culture
Preserving and Cultivating Public Trust
Preserving our Community History
Enhancing Diversity and Inclusiveness
Advancing Regional Initiatives
2022-2023 Strategic Priorities
Fiscal Sustainability
Affordable Housing and Homelessness
Community Outreach, Engagement, and Messaging
Economic Development
Transportation
REPORT NARRATIVE:

On February 2 and 3, 2024, the City Council held its annual Goal Setting Workshop where they reviewed and discussed:
a. 2023 Accomplishments
b. Sustainable Morgan Hill
c. 2022-2023 Strategic Priorities Work Plan
d. Future Council Initiated Agenda Items
e. Remote Public Comments and Public Videos
f. Financial Update
g. Development Services Fund and Housing Laws
h. Youth Sports and Recreation Tourism

6 i. Economic Development
The City Council reaffirmed the current vision, ongoing priorities, and the strategic priorities with a few amendments as follows:
• Simplified "Community Outreach, Engagement, and Messaging" to "Community Engagement"
• Added a focus on Tourism for Economic Development
• Added a new strategic priority, Healthy Community
Minor edits were made to the definitions of the strategic priorities to better align with the current staff workplan and the new Healthy Community priority was added. Attached is the updated 2024-2025 Sustainable Morgan Hill document.

COMMUNITY ENGAGEMENT:

Involve - the City Council Goal Setting Workshops were open to the public and recorded for later viewing on the City's website.

ALTERNATIVE ACTIONS:

City Council could decide to make additional or no changes to Sustainable Morgan Hill.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

The City Council reviews its goals and priorities at the beginning and middle of each year.

FISCAL AND RESOURCE IMPACT:

Updating Sustainable Morgan Hill does not have an immediate fiscal or resource impact.

CEQA (California Environmental Quality Act):

Not a Project - Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

G Vision C., Choose Morgan Hill
To sustain a safe, inclusive, socially
responsible, environmentally conscious,
and economically sound community.

The City of Morgan Hill is the best
community for people to live, work,
visit, and operate their businesses.
9 City Council Ongoing Priorities
• Enhancing Public Safety and Quality of Life
• Protecting the Environment and Preserving
Open Space and Agricultural Land
• Maintaining and Enhancing Infrastructure
• Supporting our Youth, Seniors, and
Entire Community
• Fostering a Positive Organizational Culture
• Preserving and Cultivating Public Trust
• Preserving our Community History
• Enhancing Diversity and Inclusiveness
• Advocating for Local, Regional, and State
Legislative Initiatives
0 2024-2025 Strategic Priorities
• Economic Development and Tourism
• Transportation
• Healthy Community
• Fiscal Sustainability
• Affordable Housing and Homelessness
• Community Engagement

CITY OF MORGAN HILL

SUSTAINABLE MORGAN HILL Page 1 of 4 morganhill.ca.gov
20242-2023 2025 STRATEGIC PRIORITIES
Fiscal Sustainability
The City will continue to be financial stewards of its resources and assets to ensure long-term fiscal sustainability. Through the budget development process, the City, within the fiscal sustainability path, will prudently carry out the City Council’s priorities, while maintaining adequate fund balance reserves. The City will continue to explore new or expand existing revenue sources to ensure fiscal sustainability.

Affordable Housing and Homelessness
Morgan Hill will continue to improve, preserve, and develop new safe, quality, rental, and ownership housing for residents at all income levels. To the extent possible, the City will respond to and reconcile new housing initiatives and legislative mandates. The City is guided by the vision of its General Plan, a long-term plan for the physical development of the Ccommunity. The vision includes the preservation of agriculture, incentives to foster infill development, and new housing for families of various sizes, ages, and incomes. Like many other cities in the Bay Area, Morgan Hill is experiencing transformative growth and working to meet the housing needs of its current and future residents. The City’s Housing Program project is grounded oin five key pillars:
• Production of New Affordable Housing Units: Morgan Hill will continue to improve, preserve, and develop new safe, quality, rental and ownership housing for residents at all income levels through the implementation of its Inclusionary Housing Ordinance. The City will seek partnerships that create new housing opportunities directly aligned with the City’s “fair share” Regional Housing Needs Allocation (RHNA).
• Preservation of Existing Affordable Housing Inventory: The City has a robust inventory of Below Market Rate housing units. Through the City’s thoughtful planning, affordable housing has been integrated throughout the cCommunity and balanced throughout new developments. The City’s Inclusionary Housing Ordinance further ensures future production of incomerestricted units. The City will coordinate the lease up process of upcoming affordable developments to ensure residents are aware of and accessing upcoming housing opportunities.
• Promotion of Housing Program: The City manages an inventory of Below Market Rate deed-restricted units and collaborates with the County of Santa Clara and local non-profits to connect residents to resources. Staff will focus on communications, engagement, and education of housing services with particular attention to the Spanish-speaking residents. • Prevention of Homelessness: Implement the Countywide Community Plan to End Homelessness by continuing to identify barriers and housing problem solvinge at the local level with the assistance of the Unhoused Specialist, and advance efforts to increase coordination in South County among its service providers. The City will continue to employ a balanced approach, offering resources and referrals to services, partnering with the faith-based community and non-profits to create appropriate local service points, while also utilizing available resources to reduce encampments.

SUSTAINABLE MORGAN HILL Page 2 of 4 morganhill.ca.gov
• Protection of Quality of Life for New and Existing Neighborhoods: The City will continue to seek quality development and balance the needs of existing and new neighborhoods.

Community Outreach, Engagement, and Messaging
The City’s Communications, Outreach, and Engagement Plan defines the messagescommunication, priorities, strategies, and tools the City will use when communicating with the cCommunity. Through the Plan, the City will tell share the Morgan Hill story and work to build trust with the Ccommunity and ensure that we provide effective engagement opportunities. Through effective application of communication strategies, the Plan will ensure that all City Council Members, Commissioners, and teammates have the tools to provide accurate, timely, and relevant information to the Ccommunity. The Plan aligns communication resources with the goals to set clear communications expectations for the cCommunity, ensuring that the City can continue providing excellent services that reflect the strength of the City’s outreach initiatives while supporting the implementation of the City Council’s strategic priorities.
• Encourage cCommunity engagement through audience-appropriate two-way communication, and ensure opportunities for constructive feedback. • Share accurate, non-biased information promptly through a variety of communication channels.
• Maximize opportunities to engage with the Spanish-speaking community by sharinge information and resources in Spanish and holding workshops, town halls, and other meetings in Spanish.
• Build trust in local government by creating a sense of belonging and value with all members of the Community, especially those that are traditionally marginalized.
• Work directly with the Council, staff, and cCommunity partners to ensure communication and outreach efforts, objectives, and outcomes align with the strategic priorities and promote Ccommunity understanding. • Keep City teammates informed and involved in public dialogue to aid in telling the Morgan Hill story.

Economic Development and Tourism
The City’s Economic Development efforts focus on implementing the Economic Blueprint strategies and actions to help build long-term fiscal sustainability and improve quality of life for residents. This will be achieved by attracting jobs and commercial investment which generate revenues to support essential City services and improve critical City infrastructure. The Economic Blueprint is focused on advancing economic prosperity and vitality by attracting investment, development, and jobs in four key industries:
• Healthcare: Grow and foster medical and diagnostic services by advancing and supporting the entitlement process for new medical facilities. Promote and market Morgan Hill as a desired location for medical and diagnostic providers. • Innovation and Advanced Manufacturing: Grow existing companies, attract new industry, and grow high-quality jobs. Support and advance

SUSTAINABLE MORGAN HILL Page 3 of 4 morganhill.ca.gov
the entitlement and permit process of new developments. Promote and market Morgan Hill as a premier location for commercial and industrial investment. • Retail: Grow retail offerings and strengthen commercial nodes. Develop a retail incubator program and a retail concentration strategy. Utilize incentives and available tools to attract new investments that increase both jobs and revenue to the Ccommunity.
• Tourism: Grow leisure, agriculture, wine country, and sports and recreational tourism. Continue to nurture Downtown’s transformation as a Ccommunity gathering place. Support the Downtown Implement Property Based Improvement District and manage parking supply. Support and incentivize additional lodging investments, implement activations with partner organizations, and partner with Visit Morgan Hill to implement activations that support increased tourism and vibrancy.

Transportation
The City has clearly identified traffic and transportation issues facing Morgan Hill as regional in nature. Morgan Hill will continue to partner with the City of Gilroy to advocate for improvements and funding for the South Santa Clara County Transportation Corridor. The City will actively advocate on regional transportation planning issues.

Locally, the City will prioritize funding for Vision Zero safety strategies over congestion management. The City will take actions to implement its goal to create a culture that prioritizes safety, creates livable streets, and seeks to eliminate traffic fatalities. Safety of pedestrians, bicyclists, drivers, and passengers is paramount. • Complete the development of a comprehensive Transportation Master Plan. • Complete construction of Hale Avenue Extension.
• Advocacy will include:
o Working with the Valley Transportation Authority (VTA), Caltrain, the County, the HSRA and the State to enhance service, secure funding for transportation projects and road maintenance, and protect the Ccommunity from negative impacts of regional projects
o Expansion of Highway 101 between Morgan Hill and Gilroy to reduce pass-through traffic and improve commute traffic for South County residents
o Electrification of commuter rail from San Francisco to Gilroy o Funding for priority projects in the South County
• Advocate for grade separations and the design of a Downtown station and emergency response design solutions as it relates to the High-Speed Rail Authority’s (HSRA) project.
• Advocate for the ongoing provision of funding of innovative local transit services that matches the needs of the Morgan Hill Community and supports paratransit needs.

SUSTAINABLE MORGAN HILL Page 4 of 4 morganhill.ca.gov
Healthy Community
The City’s 2035 General Plan’s Healthy Community Element addresses elements of the built environment, programs, and partnerships that contribute to the overall health and well-being of Morgan Hill’s residents. Morgan Hill promotes a healthy community through City policies, projects, and programs. The foundation of a healthy community is to help ensure basic needs (food, water, shelter, income, safety, and employment) are met for all people. With that foundation in place, a person’s health is next a product of their environment. A healthy community is one in which all residents have access to housing, employment, transportation, healthcare services and amenities, such as parks, open spaces, and recreational facilities, that combine to provide a safe and welcoming environment in which people can lead healthy and fulfilling lives.

To achieve this vision, the City of Morgan Hill is committed to:
• Creating, improving, and preserving a wide range of quality housing at all income levels.
• Planning policies that promote a well-planned City that ensures adequate services (roads, streets, water, sewer, police, fire, etc.) while providing plentiful amenities including restaurants, retail stores, and access to healthcare resources.
• Building better and safer streets that prioritize safety, and livability, working to eliminate traffic fatalities as identified in Vision Zero Morgan Hill. • Promoting a healthy environment as identified in the City’s Climate Action Plan by advocating for adoption of electric vehicles in the Community and decarbonizing existing buildings by reducing the use of fossil fuels. • Promoting active lifestyles through its efforts to invest in sports and Community facilities, youth sports and adult recreation programs, parks, and walking and biking trails.
• Providing fresh and healthy food options at City facilities and encouraging local farmers' markets and community gardens in an effort to improve availability of nutritious food.
• Providing services to the unhoused community by building relationships and trust with a trauma-informed approach.
• Connecting people to resources to support mental health, combat the opioid crisis, and treating those struggling with substance abuse and mental health issues with dignity and care.

By implementing these strategies and prioritizing the health and well-being of our residents, Morgan Hill will create a vibrant and thriving community where everyone can lead healthy, active, and fulfilling lives. The City of Morgan Hill seeks to create a welcoming, inclusive, and safe Community for everyone by fostering social connections and a sense of belonging for all.

7 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Chris Ghione, Public Services Director
APPROVED BY: City Manager

APPROVE CONTRACT AMENDMENTS FOR CITY ON-CALL

PLUMBING CONTRACTORS

RECOMMENDATION(S)

1. Authorize the City Manager to execute a fourth amendment to the agreement with Burr Plumbing extending the term of the contract to June 30, 2025 and increasing the maximum compensation to $307,625; and

2. Authorize the City Manager to execute a fourth amendment to the agreement with Century Commercial Service, Inc. extending the term of the contract to June 30, 2025.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Maintaining and Enhancing Infrastructure
REPORT NARRATIVE:

POLICY CONSIDERATIONS:

The City contracts with multiple plumbing contractors to provide plumbing services as needed at City facilities. In June 2019, the City Council approved contracts with Burr Plumbing and Century Commercial Service to provide service. Both companies have provided service to the City for the last several years. City staff is recommending approval of amendments to extend the current agreements to June 30, 2025. The amendment to Century Commercial Service provides for an approximate 3% increase in hourly rates. The Burr Plumbing contract has no increases in rates, but does increase the total contract funds by $50,000. City staff recommends moving forward with these amendments based on the low/no increases in rates and the quality service provided by the companies.

COMMUNITY ENGAGEMENT:

Not Applicable
Since plumbing services are a regular and expected City maintenance service, no specific engagement activities were conducted to inform the community about these proposed contract amendments.

7 ALTERNATIVE ACTIONS:

The City Council could direct staff to issue a request for proposals for these services.

City staff does not recommend this option as it may result in increased costs without increases in service. The City staff currently plans to issue a request for proposals for plumbing services in early 2025.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

In June 26, 2019, the City Council approved on-call plumbing contracts.

FISCAL AND RESOURCE IMPACT:

These contracts are funded via various maintenance budgets for the individual facilities where the work occurs (Fund 010 - General Fund and Fund 740 - Building Maintenance).

CEQA (California Environmental Quality Act):

Categorical Exemption
The activities described in this staff report are categorically exempt under CEQA, specifically pursuant to Section 15301 (c) of the CEQA Guidelines (Existing Facilities), as the subject work involves the repair, maintenance or minor alteration of existing City facilities involving negligible or no expansion of use of those facilities.

1 FOURTH AMENDMENT TO AGREEMENT
CENTURY COMMERCIAL SERVICE, INC.

This FOURTH AMENDMENT TO AGREEMENT is entered into and becomes effective on ______________________ (Effective Date), by THE CITY OF MORGAN HILL, a municipal corporation, ("CITY") and CENTURY COMMERCIAL SERVICE, INC., a California Corporation ("SERVICE PROVIDER"), hereinafter referred to collectively as the “Parties".

RECITALS
The following recitals are a substantive part of this Agreement:

1. This Fourth Amendment to Agreement is entered into pursuant to the action of the Morgan Hill City Council taken on _________, ____, 2024.

2. The CITY and SERVICE PROVIDER entered into that “Maintenance Service Agreement” made as of July 5, 2019, for services for a maximum compensation of One Hundred Thousand Dollars ($100,000.00) (“MAINTENANCE SERVICE AGREEMENT”).

3. The CITY and SERVICE PROVIDER entered into a “First Amendment to Agreement” made as of June 28, 2021, under which the term was extended until June 30, 2022.

4. The CITY and SERVICE PROVIDER entered into a “Second Amendment to Agreement” made as of March 5, 2022, under which the term was extended until June 30, 2023.

5. The CITY and SERVICE PROVIDER entered into a “Third Amendment to Agreement” made as of March 22, 2023, under which the term was extended until June 30, 2024.The MAINTENANCE SERVICE AGREEMENT, and the First, Second and Third Amendments thereto are attached as Exhibit “1” to this Agreement.

AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:

1. Amendments: All terms and conditions of the MAINTENANCE SERVICE AGREEMENT, as amended, as attached as Exhibit "1,” shall remain in full force and effect; except that the following amendments shall be made as set forth below:

A. Paragraph 2 shall be amended and replaced in its entirety by the following:
"2. Term of Agreement. This Agreement shall be effective and cover services rendered from July 1, 2019, until June 30, 2025."
B. Pursuant to the terms set forth in Paragraph 4.1 Amount, Compensation is based on the rate and bases set forth in Exhibit B. Effective July 1, 2024, SERVICE PROVIDER'S billing rates have increased and are set forth in Exhibit "B-2", approved by CITY and attached hereto and incorporated herein by this reference.

2. Electronic Signatures. Unless otherwise prohibited by law or CITY policy, the Parties agree that an electronic copy of a signed contract, or an electronically signed contract, has the same force and legal effect as a contract executed with an original ink signature. The term “electronic copy of a signed contract” refers to a transmission by facsimile, electronic mail, or other electronic means of a copy of an original signed contract in a portable document format. The term “electronically

2 signed contract” means a contract that is executed by applying an electronic signature using technology approved by the CITY.

3. Conflicts. In the event of a conflict between the terms and provisions of this Fourth Amendment to Agreement and the terms and provisions of the MAINTENANCE SERVICE AGREEMENT or any earlier amendment, the terms of this Fourth Amendment to Agreement shall govern and control.

TWO SIGNATURES ARE REQUIRED FOR CORPORATIONS:
(1) CHAIRPERSON OF THE BOARD, PRESIDENT, OR VICE PRESIDENT; AND (2) SECRETARY, ASSISTANT SECRETARY, CHIEF FINANCIAL OFFICER, OR ASSISTANT TREASURER.

ATTEST: CITY OF MORGAN HILL
Michelle Bigelow, City Clerk Christina Turner, City Manager Date: Date:

APPROVED AS TO FORM: CENTURY COMMERCIAL SERVICE, INC.

Donald Larkin, City Attorney By:

Date: Title:

Date:

Print Name and Title of Signer.

If Corporate: Chairman, President,
or Vice President
By:

Title:

Date:

Print Name and Title of Signer.

If Corporate: Secretary, Assistant
Secretary, Chief Financial Officer, or
Assistant Treasurer
Keith Estes, President
2/15/2024
2/15/2024
Brent Estes, Vice President

EXHIBIT B-2

SCHEDULE OF COMPENSATION RATES
Shop Rate for Plumbing Service (Appren�ce): $ n/a
Shope Rate for Plumbing Services (Journeyman): $216 per hour Over�me Rate for Plumbing Service (Appren�ce): $ n/a
Over�me Rate for Plumbing Service (Journeyman): $324 per hour Saturday, Sunday and Holiday Rate (Appren�ce): $ n/a
Saturday, Sunday and Holiday Rate (Journeyman): $324 per hour

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259

THIRD AMENDMENT TO AGREEMENT
CENTURY COMMERCIAL SERVICE, INC.

This THIRD AMENDMENT TO AGREEMENT is entered into and becomes effective on 3/22/2023 (Effective Date), by THE CITY OF MORGAN HILL, a municipal corporation, ("CITY") and CENTURY COMMERCIAL SERVICE, INC., a California Corporation ("SERVICE PROVIDER"), hereinafter referred to collectively as the "Parties".

RECITALS
The following recitals are a substantive part of this Agreement:

1. This Third Amendment to Agreement is entered into pursuant to the action of the Morgan Hill City Council taken on June 26, 2019.

2. The CITY and SERVICE PROVIDER entered into that "Maintenance Service Agreement" made as of July 5, 2019, for services for a maximum compensation of One Hundred Thousand Dollars ($100,000.00) ("MAINTENANCE SERVICE AGREEMENT").

3. The CITY and SERVICE PROVIDER entered into a "First Amendment to Agreement" made as of June 28, 2021, under which the term was extended to June 30, 2022.

4. The CITY and SERVICE PROVIDER entered into a "Second Amendment to Agreement" made as of March 5, 2022, under which the term was extended to June 30, 2023. The MAINTENANCE SERVICE AGREEMENT, and the First, and Second Amendments thereto are attached as Exhibit "1" to this Agreement.

AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:

1. Amendments: All terms and conditions of the MAINTENANCE SERVICE AGREEMENT, as amended, as attached as Exhibit "1," shall remain in full force and effect; except that the following amendments shall be made as set forth below:

Ill
Ill
Ill
Ill
Ill
Ill
Ill
A. Paragraph 2 shall be amended and replaced in its entirety by the following:
"2. Term of Agreement. This Agreement shall be effective and cover services rendered from July 1, 2019, until June 30, 2024."
[Signatures on the Next Page]
1 EXHIBIT 1

DocuSign Envelope ID: E54DC3BC-4718-4641-9408-F5642D579259

2. Electronic Signatures. Unless otherwise prohibited by law or CITY policy, the Parties agree that an electronic copy of a signed contract, or an electronically signed contract, has the same force and legal effect as a contract executed with an original ink signature. The term "electronic copy of a signed contract" refers to a transmission by facsimile, electronic mail, or other electronic means of a copy of an original signed contract in a portable document format. The term ''electronically signed contract" means a contract that is executed by applying an electronic signature using technology approved by the CITY.

3. Conflicts. In the event of a conflict between the terms and provisions of this Third Amendment to Agreement and the terms and provisions of the MAINTENANCE SERVICE AGREEMENT or any earlier amendment, the terms of this Third Amendment to Agreement shall govern and control.

TWO SIGNATURES ARE REQUIRED FOR CORPORATIONS:
(1) CHAIRPERSON OF THE BOARD, PRESIDENT, OR VICE PRESIDENT; AND (2) SECRETARY, ASSISTANT SECRETARY, CHIEF FINANCIAL OFFICER, OR ASSISTANT TREASURER.
� �10=.S;gelew, City Clerk
Date: 3/22/2023
APPROVED AS TO FORM:
alr.i='2arkm4 .. City Attorney
Date: 3/21/2023
2 CITY OF MORGAN HILL
"na:t°WiJiw.r:t1iy Manager
Date: 3/22/2023
CENTURY COMMERCIAL SERVICE, INC.

By:

Title:

Date:

By:

Title:

Date:

Keith Estes, President
Print Name and Title of Signer.

If Corporate: Chairman, President,
or Vice President
3/20/23
Brent Estes, Assistant Treasurer
Print Name and Title of Signer.

If Corporate: Secretary, Assistant
Secretary, Chief Financial Officer, or
Assistant Treasurer
3/20/23

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E 1D52F0E58AB EXHIBIT 1

SECOND AMENDMENT TO AGREEMENT
CENTURY COMMERCIAL SERVICE, INC.

This SECOND AMENDMENT TO AGREEMENT is entered into and becomes effective on 3/5/2022 (Effective Date), by THE CITY OF MORGAN HILL, a municipal corporation, ("CITY") and CENTURY COMMERCIAL SERVICE, INC., a California Corp.oration ("SERVICE PROVIDER").

RECITALS
The following recitals are a substantive part of this Agreement:

1. This Second Amendment to Agreement is entered into pursuant to the action of the Morgan Hill City Council taken on June 26, 2019.

2. The CITY and SERVICE PROVIDER entered into that "Maintenance Service Agreement" made as of July 5, 2019, for services for a maximum compensation of ONE-HUNDRED THOUSAND DOLLARS ($100.000.00) ("MAINTENANCE SERVICE AGREEMENT").

3. The CITY and SERVICE PROVIDER entered into a "First Amendment to Agreement" made as of June 28, 2021, under which the maximum compensation under the MAINTENANCE SERVICE AGREEMENT, as amended, was not increased. The MAINTENANCE SERVICE AGREEMENT and the First Amendment thereto are attached as Exhibit "1" to this Agreement.

AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:

1. Amendments: All terms and conditions of the MAINTENANCE SERVICE AGREEMENT, as amended, as attached as Exhibit "1," shall remain in full force and effect; except that the following amendments shall be made as set forth below:
1/J
Ill
Ill
Ill
A. Paragraph 2 shall be amended and replaced in its entirety by the following:
"2. Term of Agreement. This Agreement shall be effective and cover services rendered from July 5, 2019, until June 30, 2023. The City Manager is authorized to extend the term of this Agreement for up to an additional one-year period. City Manager may exercise this option only if, in City Manager's discretion, SERVICE PROVIDER has demonstrated superior performance in provision of on call plumbing maintenance and repair services to CITY. Any such extension shall be in writing and signed by both parties to this Agreement." Signatures on the Next Page
1

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1052F0E58AB

2. Conflicts. In the event of a conflict between the terms and provIsIons of this Second Amendment to Agreement and the terms and provisions of the MAINTENANCE SERVICE AGREEMENT or any earlier amendment, the terms of this Second Amendment to Agreement shall govern and control.

TWO SIGNATURES ARE REQUIRED FOR CORPORATIONS:
(1) CHAIRPERSON OF THE BOARD, PRESIDENT, OR VICE PRESIDENT; AND (2) SECRETARY, ASSISTANT SECRETARY, CHIEF FINANCIAL OFFICER OR ASSISTANT TREASURER.

ATTEST:

Oo<:uSlgped by;
.AA1;.\..J1t. �1�Jo"'
t(:)i�gejmw, City Clerk
Date: 3/7 ;2022
�cuSign■d
APPROVED AS TO FORM:
by;
!A.b.Ll iiik�fkin, lA!'.iikv
City Attorney
Date: 3/3/2022
2 CITY OF MORGAN HILL
ro;�:_by
1�
OR4=iatjrm1;fo�umer, City Manager
Date: 3/5/2022
By:

Title: Keith Estes, President
Print Name and Title of Signer.

If Corporate: Chairman, President or
Vice President
Date: 310212022
-By: <:::___:) �-rs41.t.-
Title: Brent Estes, Assistant Treasurer
Print Name and Title of Signer.

If Corporate: Secretary, Assistant
Secretary, Chief Financial Officer or
Assistant Treasurer
Date: 310212022

DocuSign Envelope ID: E54DC3BC-4718-4641-9408-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1D52F0E58AB OocuSign Envelope 10: 4691C384-9BBC-4E9C-B823-35Ei4C27FSE2 EXHIBIT 1

FIRST AMENDMENT TO AGREEMENT
CENTURY COMMERCIAL SERVICE, INC.
128-04-19-081
This FIRST AMENDMENT TO AGREEMENT is entered into and becomes effective on 6/28/2021 (Effective Date), by THE CITY OF MORGAN Hill. a municipal corporation, ("CITY'') and CENTURY COMMERCIAL SERVICE, INC., a C�lifornia Corporation ("SERVICE PROVIDER", "CONSULTANT', or "CONTRACTOR").

RECITALS
The following recitals are a substantive part of this Agreement:

1. This First Amendment to Agreement is entered into pursuant to the action of the Morgan HIii City Council taken on June 26, 201 �-

2. The CITY and SERVICE PROVIDER entered into that "Maintenance Service Agreement" made as of July 5, 2019, for services for a maximum compensation of One Hundred Thousand and no/100 dollars ("MAINTENANCE SERVICE AGREEMENT"). The MAINTENANCE SERVICE AGREEMENT is attached as Exhibit "1" to this Agreement.

AGREEMENT
THE PARTIES MUTUALLY AGREE AS FOLLOWS:

1. Amendmen1s: All terms and conditions o1 the MAINTENANCE SERVICE AGREEMENT, as amended, as attached as Exhibit "1," shall remain in full force af"ld effect; except that the following amendrnents shall be made as set forth below:

A. Paragraph 2 shall be amended and replaced in its entirety by the following:
"2. Term of Agreement. This Agreement shall be effective and cover services rendered from July 1, 2019, until June 3Q, 2022 at which time SERVICE PROVIDER'S services shall be completed. The City Manager is authorized to extend the term of this Agreement for up to two additional one-year -periods. City Manager may exercise ,this option only if, in City Mani3ger's discret,on, SERVICE PROVIDER has demonstrated superior performance in provision of oncall plumbing maintenance and repair services to CITY. Any such extension shall be in writing and signed by both parties to this Agreement."
B. Paragraph 5.1 shall be added as follows:
"5.1 Non-appropriations. Notwithstanding anything contained in this Agreement to the contrary, if insuffJCient funds are appropriated, or funds are otherwise unavailable in the budget for CITY for any reason whatsoever in any fiscal year, for r:,ayments due under this Agreement, CITY will immediately notify SERVICE PROVIDER of such occurrence, and this Agreement Shall terminate after the last day during the fisGal year for which appropriations shall have been budgeted for CITY or are otherwise available for payments."
Signatures on the Next Page
1

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 OocuSign Envelope 10: 1444CBEO-9763-4223-9E0C-E1 D52F0E58AB DocuSign Envelope ID: 4691 C384-968C-4E9C-B823-35E84O27F5E2 2- Co·nflicts. In the event of a conflict between the terms and provisions of this First Amendment to Agreement and the terms and provisions of the MAINTENANCE SERVICE AGREEMENT, the terms of this First Amendment to Agreement shall govern and control.

TWO SIGNATURES ARE REQUIRED FOR CORPORATIONS:
(1) CHAIRPERSON OF THE BOARD, PRESIDENT, OR VICE PRESIDENT; ANO (2) SECRETARY, ASSISTANT SECRETARY, CHIEF FINANCIAL OFFICER OR ASSISTANT TREASURER.

M e�'@l!Jf!lew, City Clerk
Date: 6/28/2021
APPROVED AS TO FORM:

D � ttvAi><l�in, City Attorney
Date: 6/2S/2021
2 CITY OF MORGAN HILL
-�"'"""' {)uiY;i!AA IW'W.f'
CENTURY COMME'RCIAL SERVICE, INC.

Title:

By: �-
Keith Estes, 'President
Date:

By:

Title:

Date:
-Print Name and Title of Signer_
If Corporate: Chairman, President or
Vice President
6/25121
Brent Estes, Assistant Treasurer
Print Name and Title of Signer.

If Corporate: Secretary, Assistant
Secretary, Chief Financial Officer or
Assistant Treasurer
6/25/21

DocuSign Envelope ID: E54DC3BC-4718-4641-9408-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1 D52F0E5BAB DocuSign Envelope ID, 4691 C384-968C-4E9C-B823-35E84 C27F5E2 EXHIBIT 1

MAINTENANCE SERVICE AGREEMENT
Century Commercial Service, Inc.

THIS AGREEMENT is entered Into and becomes effective on 1 \ 5" I 161 (Effective Date), by and between the CITY OF MORGAN HILL, a municipal corporation, (''CITY"), and Century Commercial Service, Inc. a Calirornia corporation (''SERVICE PROVIDER") hereina�er referred to eollectively as "Parties." In consideration of the promises and the mutual covenants contained in this A,greement, the Parties agree as foflows:

1. City Authority. This Agreement is enlered into pursuant to the action of the Morgan Hill City Council taken on iJu n e. ., �. 20.Jj_.

2. ·Term of Agreement. This Agreement shall eover st:irvices rendered from July 1, 2019 of this Agreement until June 30, 2021 at which time SERVICE PROVIDER'S services shall be completed. The City Manager is authorized to extend the term of this Agreement for up lo three, one-year periods. City Manager may exercise this option only if, in City Manager's discretion, SERVICE PROVIDER has demonstrclted superior performance in provision of on-call electrical maintenance and repair services to CITY. Any sueh extension shall be In writing and signed by both Parties to this Agreement.

3. Scoge of Service. The services to be periormed by SERVICE PROVIDER shall be on-call plumbing and pumping maintenance and repair services as further described In Exhibit A. 4, 'Compensation. SERVICE PROVIDER shall be compensated as follows:
4 ,1. Amount. $100,000.00. Total cornpensation to CONSULTANT under this Agreement during its initial term ·set forth in Section 2 above shall not exceed One hundr-ed thousand dollars and shall be billed based on the rate and basis set forth In Exhibit B. If the City Manager extends the term of this Agreement for up to one year pursuant to the provisions of Section 2 above, the City Manager shall have the authority to increase tfie maximum compensation allowed to be paid to CONSULTANT during that extended term period, so long as City Council has appropriated sufficient funds therefor, the Parties mutually agree to such amount In a writing signed by botM Parties to this Agreement and provided further that in no event shall such maximum compensation allowed for the extended term exceed 105% of the maximum compensation allowed to be paid to CONSULT ANT for one year of service during the Initial term o fthis Agreement.

4.2. Billing. SERVICE PROVIDER shall provide CITY with an invoice containing the dated, de1ailed, and itemized descriptions of all services performed and expenses lncurre� {ii such expenses are reimbursable pursuant to Exhibit 8) by SERVICE PROVIDER on a monthly basis unless otherwise spec;ified in E.xhibit B. AO invoices shall be sent to the CITY addressed to lhe department head or project manager Identified below in Section 14 Notices. Payment will be made lo SERVICE PROVIDER wittiin thirty (30) days of receipt or invoice by CITY. Any rate charged shall be prorated where services are interrupted or not provided for any rate period (for example, any monthly rate charge should be prorated when services were interrupted or provided for only part of the month). For services billed on an hourly rate, the minimum unit of billed time shall not exceed one tenth of one hour, CITY shall pay for services and e1<penses (if so provided in Exhibit B) up to th.fl limit of compensation set fbrtt, above, that in the CITY's judgment were neeessary and reasonable. Services for work performed and expenses 1ncurred in excess of the total compensation set forth in paragraph 4-.1 above shall be at no cost to CITY.
1 \Jpda\ell: Ju\v 20111

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 OocuSign Envelope 1D: 1444C8ED-9763-4223-9E0C-E1O52F0E58AB DocuSign Envelope tD: 4691C384-968C-4E9C-B823-35E64C27F5E2

5. 'Termination. CITY or SERVICE PROVIDER shall have the right to terminate this Agreement, without cause, by giving sixty (60) days' writtai;i notice or less under urgent circumstances. Upon such termination, SERVICE PROVIDER shall submit to CffY an itemized statement of services performed for- which compensation has not been paid. CITY may require SERVICE PROVIDER to complete certain work product or documents and SERVICE PROVIDER shall deliver to CITY all documents in its ppssession without additional compensation to SERVICE PROVIDER. The City Manager is authorize� to terminate this AGREEMENT, in whole or in part, on behalf of CITY.

6. Performance of Work. SERVICE PROVIDER represents that it is qualified by virtue of experience. training, education, and expertise to accomplish these services. Services shall be performed by SERVICE PROVIDER in accordance with professiona.t practices in a manner consistent with a level of care, competence and skill exercised by quall.fied members of SERVICE PROVIDER'S profession. By delivery of completed work, SERVICE PROVIDER certifies that the work i::onfonns to the requirements of this Agreement and all applicable federal, slate and local laws. SERVICE PROVIDER shall perform all work and services under this Agreement in conformance with the lime schedule set forth on Exhibit C, "Schedule of Performance," attached hereto and incorporated herein by this reference. The City Manag13r is authorized on behalf of CITY to modify the timeframes set forth on -the Schedule of Performance within the term of this Agreement. If SERVICE PROV1DER desires lo leave or store any of SERVICE PROVIDER's equipment al a CITY site while SERVICE PROVIDER is performing work or service pursuant to this Agreement, SERVICE PROVIDER will first obtain lhe consent of the City Manager, or his/her delegate, to do so, and any such storage shall oecur only in the manner and location allowed by such CITY official and entirely al SERVICE PROVIDER's sole risk.

7. Hazarddus Materials. Without limiting any other requirement or obligation of SERVICE PROVIDER under •this Agreement, If SERVICE PROVIDER needs to use any material or chemical considered to be a hazardous material under any federal, state or local law, regulation or ,policy, SERVICE PROVIDER agrees to fully and timely abide by and comply with all laws, regulations and policies pertaining to the use, transport, removal, handling, disposal or other activity related to any ahd all suoh materials or chemicals. Prior to commencement of work or seNices under this Agreement, SERVICE PROVIDER shall provide CITY with a t:omplete list of the hazardous materials SERVICE PROVIDER reasonably anticipates It may need to use to provide the services of SERVICE PROV.I DER under this Agreement, together with the �easonably a11licipated quantities thereof, if requested by CITY.

8. Insurance Requirements. SERVICE PROVIDER shall proct,1re and provide proof or the insurance coverage required by this section in the form of certificates and endorsements. The required insurance must Gover the activities of SERVICE PROVIDER, including Its subcontractors, employees and agents, relating to or arising from the performance of any work or Se""f\lice under this Agr.eement, �nd must remain In full force and effect al all times during the period covered by this Agreement. The coverages may be arranged under a single policy for the full limits required or by a combination of underlying pollci�s with the balance provided by excess or "umbrella" policies, provided each such policy compfies with the requiremenls set forth herein.

SERVICE PROVIDER further understands that CITY reserves the right to modify the insurance requirements set forth herein, with thirty (30) days' notice provided to SERVICE PROVIDER, at any time as deemed necessary to prote�t the interests of CITY.

8.1. Insurance Types and Amounts.

8.1.1. Commer.cial General Liability (CGL). SERVICE PROVIDER shall maintain CGL against claims and liabilities for personal injury, death, or property damage providing pfotection in the minimum amount of; (i) one million dollars ($1,000,,000.00) for bedily injury or death to any one person for any one accidenl or occurrence and al least one million dollars ('$1,000,000.00) for property damage, or (ii) the maximum amount 0f such 2 Updaled July 2018

DocuSign Envelope ID; E54DC3BC-4718-4641-9408-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E 1 D52F0E58AB DocuSign Envelope 10: 4691 C384-96BC-4E9C-8823-35E84C27,F5E2 insurance available to SERVICE PROVIDER under SERVICE PROVIDER's combined insurance policies (including any excess or "umbrella" policies), whichever Is greater.

8. 1 .2. Automobile Liability_ SERVICE PROVIDE'R shall maintain Aut0mobile Llability covering all owned, -non-owned and hired automobiles (i( SERVICE PROVIDER does not own automobiles, then SERVICE PROVIDER shall maintain Hired/Non-owned Automobile Liability) against claims and liabilitles for personal injury, death, or property damage providing protection in the minimum amount of: (I) one million dollars ($1,000,000.00) for bodily injury or death to any one person for any one accident or occurrence and at least one m1lli0n dollars ($1,000,000.00) for property damage, or (ii) the maximum amount of such insurance available to SERVICE PROVIDER under SERVICE PROVIDER's combined insurance policies (including any excess or "umbrella" policies), whichever is greater,

8.1.3. Workers' Compensation Insurance and Employer's Liability. SERVICE PROVIDER shall maintain Workers Compensation coverage, as required by law, in the minimum amount of: (i) one million dollars ($1,000,000.00) for any one accident or occurrence, or (ii)1he maximum amount of such insurance available to SERVICE PROVIDER under SERVICE PROVIDER's combined insur<1nce policies (including any e><cess or "umbrella" policies), whiehever is greater. If SERVICE PROVIDER is self-insured, SERVICE PROVIDER shall provide its Certificate of Permis�ion to Self-Insure, duly authorized by the Department of Industrial Relations.

8.1.4, Pollution (Environmental) liability. If the pelformance of SERVICE PROVIDER's work or service under this Agreement involves hazardous materials, contaminated soil disposal, and/or a risk of accidental release of ruet oil, chemicals or other toxic gases or hazardous materials, SERVICE PROVIDER shall procure and maintain Pollution Liability covering the contractor's liability for bodily injury, property dama_ge and environmental damage resulting from pollution and related cleanup costs arising out of the work or services to be performed under this Agreement. Coverage shalt be provided for both work performed on site, as well as during the transport of hazardous materials.

Such coverage shall be io the minimum amoul'\t of: (.i) one million dollars ($·1 ,000,000,00) for any one accident or occurrence, or (ii) the maximum amount of such insurance available to SERVICE PROVIDER under SE.RVICE PROVIDER's combined insurance policies (Including any exr,;ess or ·umbrella• policies), whichever is greater.

8.1.5. Professional Liability.

B.1.5.1. If the performance of SERVICE PROVIOER's won< or service under this Agreement involves professional and/or lechn,ical services (examples include, bul are not limited ta, .architects, engineers, land surveyors, and appraisers.), SERVICE PROVIDER shall �rocure and maintain either a claims made or occurrence Erfors and Omission liability insurance in the minimum amount of: (i) one million dollars ($1,000,000.00) each claim, or (ij) the maximum amount of such insurance available to SERVICE PROVIDER under SERVICE PROVIDER's combined insurance policies (Including any excess or •umbrella" polieies ), whichever is greater. Further, if SERVICE PROVIDER maintains a claims-mi3de policy, SERVICE PROVIDER shall provide written evidence of such insurance to CITY for at least five (5) years after the completion of work performed under this Agreement.
3 UpdatecJ: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-9408-F5642D579259 DocuSlgn Envelope ID: 1444C8ED-9763-4223-9E0C-E1D52F0E58AB DocuSlgn Envelope 1D: 4691C384-968C-4E9C-BS23-35E84C27f5E2

8.1.5.2. If the performance of SERVICE PROVJDER's work or service under this AgreAmenl relates to Information Technology or related services (examples include, but are not limited lo computer programmers, software designers, hardware engineers, mr ether systems consultants), SERVICE PROVIDER shall procure and maintain a claims made Errors and Omission liability Insurance. including Cyber liability and Data Breach, In the minimum amount of: (i) one mlUion dollars ($1,000,000.00) each claim, or (ii) the maximum amount of such insurance available to SERVICE PROVIDER under SERVICE PROVIOER's combined insurance policies (including any excess or "urnbreUa" piollcies), whichever is greater..

8.1.5.3. If the performance of SERVICE PROVIDER's work or service under this Agreement involves contact with minors, SERVICE PROVIDER shall procure anci maintain Sexual Abuse and Molestation insurance ,n the minimum amounl of: (i) one million dollars ($1,000,000.00) each claim, or (ii) the maximum amount of such insurance available to SERVICE PROVIDER under SERVICE PROVID.ER's combined lnsurance policies (including any excess or "umbrell,:1 " policies), whichever is greater.

8.2. Endorsements. SERVICE PROVIDER shall provide proof of the following endorsements, listed for each pollcy for which endorsements are required, as outlined below:

8.2 .1. General liabillly.

8.2 .1.1. The CiW of Morgan Hill. Its elecled or appointed officials, boilrds, agencies, officers, agents, employees, and volunteers are named as additional insureds;

8.2.1.2. the insurer waives the rig'hl of subrogalion against the City of Morgan Hill and CITY's elected or appointed officials, boards, agencies, officers, agents, employees. and volunteers; and,

8.2.1.3. insurance shall be primary non-contributing.

8.2.2. Workers Compensation.

If the performance of CONSULT ANT'S work or service under ti 1is Agreement )nvolves access lo or activjty on any property or premises owned or occupied by the CITY, includihg, but not limited to, CONSUL TA�T'S presence during site visits and meetings, then insurer waives the right of subrogation against the City of 'Morgan HIii and the CITY's elected or appointed officials, boards, agencies, olficer-s, agents, employees, and volunteers.

8.3. Qualification of Insurers. All insurance required pursuant to this Agreement must be issued 'by a company liOi;!nsed and admitted, or otherwise legally authorized to carry out insurance business in the State of California, and each insurer must have a current A.M. Best's financial strength rating of "A" or better and e financial size rating of ''VII" or better.

8.4. Certificates. SERVICE PROVIDER shall furnish CITY with copies of all policies or certificates as outlined herein, whether ,new or modified, promptty upon receipt. No policy subject to SERVICE PROVIDER's agreement with CITY shall be canceled or materially changed except after thirty (30) days' notice by the insurer to CITY. Certificates, including renewal certificates, may be mailed electronically to [email protected] .gov or delivered to the Certificale Holder address provided t:ierein
4 Upd:.iled: July 2018

DocuSlgn Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E 1 D52F0E58AB DocuSigri Envelope ID: 4681C384-968C-4E9C-B823-35E84C27F5E2 Certificate Holcier address:

City or Morgan Hill
Attn: Risk Management
17575 Peak Avenue
Morgan HIil, CA 95037

9. Non-Liability or Officials and Employees of CITY. No official or employee of CITY shall be personally liable for any default or liability under this Agreement.

10. Compliance with Law.

10. 1. SERVICE PROVIDER .ond its officers, ernployel:!s, agents, and subcontractors shalt comply with all applicable laws, ordinances, administrative regulations, and peJmitting requirements in carrying out their obllgallons under this Agreement. SERVICE PROVIDER and its officers, employees, agents, and subcontractors covenant there shall be no discrirnination based upon race, color, creed, religion, gender. marital status, age, sexual orientation, national or\gin, mental disability, physical disability, medical condition, or ancestry, in any activity pursuant to this Agreement.

10.2. Without limiting the provisions of Section 10.1 above, each worker performing work under this Agreement shall be paid at a .rate not less than the prevaJflng wage as defined in Seclions 1771 and 1774 of the Labor Code. The prevailing wage rates are available onlina al htlp;//www.clir.ca.gov/dlsr. SERVICE PROVIDER shall post a copy ofthe applicable prevailing rates al the Worksite. Pursuant to Labor Code Section 1775, SERVICE PROVIDER and any Subcontractor shall forfeil to CITY as a penalty up to two hundred dollars ($200.00) for each calendar day, or portion thereof, for each worker paid less than the applicable prevailing w,age rate. SERVIGE PROVIDER shall also pay each worker the difference between the applicable prevailing wage rate and tl:le amount actually paid to that worker.

10.3. DIR Registration. CITY will not accept a Bid Proposal from or enter into a contract with a SERVICE PROVIDER, without first receiving proof to the satisfaction of CITY that SERVICE PROVIDER and its subcontractors are registered with the California Departme11t of Industrial Relations to perform public work under Labor Code Se.ction 1725.5, subject to limited legal exceptions. Under Lab0r C0de section 1771 ..4. this Agreement is subject to cornpliance monitoring and enforcement by t.he California Department or Industrial Relations.

10.4. C0mpllance with Wage and Hour Laws: SERVICE PROVIDER, and any subcontractor it employs to, complete work under this Agreement, shall comply with all appti<;:able federal, state and local wage and hour laws. Applicable laws may include, bu1 are not limited to, the Federal Fair Labor Standards. Act and the California Labor Code.

Final Judgments, Decisions, and Orders: For purposes of this Section, a ''final judgment, decision, or order" refers to one for which all appeals have been exhausted or lhe time to al')peal has expired. Relevant investigatory government agencies include: the federal Department of Labor, the California Division of Labor Standards Enforcement, or any other goyernmental entity or division tasked with the invesligatio11 and enforcement of wage and hour laws.

Prior Judgments against SERVICE PROVIDER and/or its Subcontraclors: BY SIGNING THIS

AGREEMENT, SERVICE PROVIDER AFFIRMS THAT IT HAS DISCLOSED ANY FINAL 5 Updated· July 2Q18

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1 D52F0E58AB DocuSign Envelope ID: 4691 C384-968C-4E9C-B823-35E84C2'7F5E2

JUDGMENTS, DECISIONS OR ORDERS FROM A COURT OR INVESTIGATORY GOVERNMENT AGENCY FINDING - IN THE FIVE (5) YEARS PRIOR TO EXECUTING THIS AGREEMENT - THAT SERVICE PROVIDER OR ITS SUBCONTRACTOR($) HAS VIOLATED ANY APPLICABLE WAGE AND HOUR LAWS. SERVICE PROVIDER FURTHER AFFIRMS THAT IT OR ITS SUBCONTRACTOR(S) HAS SATISFIED AND,COMPLlf:D WITH - OR HAS REACHED AGREEMENT WITH THE CITY REGARDING THE MANNER IN WHICH IT WILL SATISFY-ANY SUCH JUDGMENTS, DECISIONS OR ORDERS.

Judgments or Decisions During Term or Contract; If at any time during the term of this Agreement, a cour1 or investigatory governmetit agency issues a final judgment, decision or order finding that SERV[CE PROVIDER or any subcontractor ii.employs to perform work under this Agreement has violated any applicable wage arnd hour law, or SERVICE PROVIDER learns of such a Judgment, decision, or order that was not previously disclosed, SERVICE PROVIDER shall inform the City Attorney, no more thah fifteen (15) days after the judgment, decision or order becomes final or of learning, or the final judgment, decision or order.

SERVICE PROVIDER and ils subcontractors shall promptly satisfy and comply with any such judgment, decision, or order, and shall provide the City Attorney with documentary evidence of compliance w!th the final judgment, decision or order Wil.hin five (5) days of satisfying the nnal judgment, decision or order. CITY reserves the right to require SERVICE PROVIDER to enter into an agreement with CITY regarding the manner in which any such final judgment, deGision, or order will be satisfied.

City's Right to Withhold Payment: Where SERVICE PROVIDER or any subcontractor it employs to perform work under this Agreement has been found in violation of any applicable wage and hour law by a final judgment, decision or order of a court 0r government agency, CITY reserves the right to withhold payment to SERVICE PROVIDER unlil such judgment, decision or order has been satisfied in full.

Ma'terial Breach: Failure to comply with any part of this Section constitutes a material breach of this Agreemenl. Such breach may serve as a l:lasis for immediate termina1ion of this Agreement and/or any other remedies available under this Agreement and/or law.

Notice to City .Related to Wage Theft Prevention: Notice previded to the Cly Attorney as required under 1his Section ·shall . be addressed 10: City Attorney, City or Morgan Hill, 17575 Peak AvenuJ!, Morgan HIii, CA 95037. The Notice provisions of this Section ,are separate rrom any other notice provisions in ·this Agreement and, accordingly, only notice provided to the above address satisfif:ls the notice requirements in this Seeton.

11. Jndeeendent Contractor. SERVICE PROVIDER is an indepe,ndent eontractor and not an agent or employee of CITY.

12. Confldentiallgy. All data, d0cuments, or other information received by SERVICE PROVIDER from CITY or prepared in connection with SERVIGE PROVIDER'S services under this Agreement are deemed conridentlc11 and shall not be aisclosed lo any third party by SERVICE PROVIDER without prior written consent by CITY.

13. Conflict of Interest and Reporting. SERVICE PROVIDER shall at all limes av,oid c0nflict of interest or appearance of conflict or interest in performance of this Agreement. 6 IJpdeled: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8EO•9763-4223-9E0C-E1O52F0E58AB OocuSign Envelope ID: 4691C384-968C-4E9C-8823-35E84C27F5E2

14. Notices. AU notices shall be personally delivered or mailed, Via first class mail to the oelow listed address. These addres!.es shall be used for delivery of service of process. Notices shall be effective five (5) days after dale of mailing, or upon date of personal delivery. 7 Updated: July 201e

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1052F0E58AB DocuSign Envelope ID: t691C384-968C-4E9C-B823-35E84C27F5E2 Address of SERVICE PROVIDER is. as follows:

Cynthia lwanaga
Century Commercial Service, lhc.
12820 Earhart Avenue
Auburn, CA 95602
Address of CITY is as follows:
with a copy to:

City of Morgan Hill
17575 Peak Avenue
Morgan Hill, CA 95037
City Clerk
City of Morgan Hill
17575 Peak Avenue
Morgan Hill. CA 95037

15. Licenses. Permits and Fees. SERVICE PROVIDER shall obtain a City of Morgan Hill Business license, all permits and licenses to the extent required by ordinances, codes and regulations of the federal, slate and lecal government.

16. CONSULTANT'S Proposal. If applicable, this Agreement shall include CONSULTANT'S proposal or bid which is incorporated herein. In the event of any inconsistency between the terms of the proposal-and lhis Agreement, this Agreement shall govern.

17. Maintenance of Records.

17.1. Maintenance. SERVICE PROVIDER shall prepare, mai'ntain, and preserve all reports and records that may be required by federal, state, and CITY rules and ordinances rnlated lo services provided under this Agreement. SERVICE PROVIDER shall maintain records for a period of at least 3 year& after receipt of final payment under t,his Agreement. If any litigation, claim, negotiation, audit exception, or other action relating to this Agreement ls pending at �h� erid of the 3-year period, then SERVICE PROVIDER shall retain said records unlit such action is resolved.
17 .2. Access to and Audit of Records. CITY shall have the right lo examine, monitor and audit all records, documents, conditions, and activities of SERVICE PROVIDER and its subeontractors related to services under this Agreement. Pursuant lo Government Code Section 8546. 7, lf this Agreement involves the expenditure of public funds in excess of $10,000, the Parties to this Agreement may be subject, at the request of CITY or as part of any audit of CITY, to the examination and audit of the State Auditor pertaining to matters connecled with the performance of this Agreement for a p1;iriocl of three years after final payment under the Agreement.
17 .3. Ownership of Wmk Product. All documents or other information developed or received by· SERVICE PROVIDER f01" work performed under this Agreement shall be the property of CITY.

SERVICE PROVIDER shall provide CITY with copies of the�e items upon demand or upon termination of this Agreement.

18. Familiarity with Work. By executing this Agreement, SERVICE PROVIDER represents that: ( 1) It has investigated the work to be perfqrn,ed; (2) it has investigated the site of the work and is aware of all conditions there; and (3) it understands the d.ifflcullies al'ld restrictions of the work under this Agreement.

Should SERVICE PROVIDER discover any c0nditions materially differing from lhose inherent In the work or a
Updaled: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSlgn Envelope ID: 1444C8ED-9763-4223-9E0C-E1 D52F0E58AB DocuSign Envelos:>e JD: 469iC384-968C-4E9C-B823-35E84C27F5E2 as represented by CITY, ii shall immediately inform CITY and shall not proceed, exaept at SERVICE PROVIDER'S risk, ulilil written instructions are received from CITY

19. Time of Essence. Time rs of the essence in ll'le performance of th'is Agreement. 20, No Assignment. Neither this Agreement nor any portion shall be assigned by SERVICE PROVIDER, without prior written consent of CITY. Any attempted assignment not first approved by CITY shall be void and, at CITY's option, shall terminate this Agreement effective as of the date of such attempted assignment.

21. Attorney Fees. In any legal action, dispute -or arbitration arising out of or relating to this Agreement, lhe prevailing party shall be entitled to an award of its r.easonable attorney fees, costs and expenses incurred.

22. Defense and Indemnification.

22.1. Defense and Indemnification. SERVICE PROVIDER shall. to the fullest extent permitted by law, indemnify, defenl!l and hold harmless CITY, its elected or appointed officials, boards, agencies, offiaers, agents, timployees, and volun1eers ("INDEMNITEES") from and against any and -alt claims, liabilities, expenses, liens, or damages of any nature, Including liability fot bodily injury, propen.y damage or personal injury, and including reasonable attorneys' fees and expenses, \hat arise out of. pertain lo, or relate to the performance of this Agreement or the failur-e to comply with any obligations contained in this Agreement by SERVICE PROVIDER, and/or Its .agents, officers, employees, subct1mlractors, or independent contractors ("CLAIM''),

22.2. Exceptions. SERVICE PROVIDER Is not reqlilred to Indemnify IND!;MNITEES against liability for bodily injury, property damage or personal injUry, or any other loss, damage or expense arising from the sole negligence or willful misconduct of CITY.

22.3. Not limited by insurance. The indemnity, defense and hold harmless provisions of this Agreement apply to all CLAtMs alleged against an INDEMNITEE, regardless of whether any insurance policies are applicable. Polley limits do nGI a,;,t as a limitation upon lhe amount of Indemnification or defense lo be provided by SERVICE PROVIDER.

22.4. Rldht to Offset. CITY shalt have the right to offset against any compensation due SERVICE PROVIDER under this Agreernen1 any ammmt due CITY from S!;;.RVICE PROVIDER as a result of 'SERVICE PROVIDER's failure to pay CITY promptly any indemnification arising under this Section (22) and any amount due CITY from SERVICE PROVIDER arising from SERVICE PROVIOER's failure either to (i) pay taxes op amounts r.ecelved pursuant lo this Agreement or (ii) comply with applicable workers' compensation laws.

22.5. lnlerpretalion. This Section shall constitute an agreement or contract of indemnity, incorporating the interpretations under California Civil Code Section 2778. It Is expressly understood and agreed that the obligation of SERVICE PROVIDER to indemnify the INDEMNITEE shall be as broad ar:id inclusive as permitted by the laws of the State of California and shall survive termination of this Agreement.

23. Entire Agreement Modification; Conftlcting Provisions. This Agreement constitutes the entire AgreemeRI betwe�n lhe Parties and supersedes .any previous agreements. oral or wrillen. This Agreement may be modified or provisions waived only by a sut>sequent mutual written agreement executed li>y CITY and SERVICE PROVIDER. If the provisions contained in the main body 9f this Agreement conflict with any provision contained in an exhibit to this Agreement, the provisions of the main body of this Agreement shall govern and c;ontrol over any pr-ovision contained in an exhibit to this Agreement. 9 Update�· .July 2016

DocuSign Envelope ID: E54DC3BC-4 718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1 D52F0E58AB OocuSign Envelope ID: ◄691 C384-968C-4E9Q-B823-35ES4C27F5E2 24, Governing Law and Venue. This Agreement shall be construed in accordance with the laws of the State of California. This Agreement was entered into and is lo be performed in the County of Santa Clara.

Any ac,tion or dispule arising out of thls Agreement shall only be brought in Santa Clara County.

25. Interpretation. This Agreemenl is a neQotiated document and shall be deemed to have been drafted jointly by (he Patties, and no rule of C'onstnJclion or interpretation shall apply against any particular Party based on a contention that the Agreement was drafted by one of the Parties including, bul not limited to, California Civil Code§ 1654, the pr.ovisions of which are hereby w,;1!ved. This Agreement shall be construed and interpreted in a neutral manner.

26. Preservation of Agreement. II any term, provision, covenant. or condition of this Agreement is held by a court of competent jurisdiction to be invalld or unenfarceable, the rest of the Agreement shall remain ii'\ full force and effect and shall in no way be affected or Invalidated.

27. Binding Agreement. Notwithstanding the provisions of Section 20 above, this Agr�ement shall bind any and all successo� ih interest, legal representatives �ndlor other permitted assignees or transferees of SERVICE PROVIDER in the same manner as if those successors in interest, legal representatives or other permitted assignees or transferees had entered Into this Agreement originally.

II
II
[Signatures 011 Ne>1I Page]
10 UPdaled: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E 1 D52F0E5BAB DocuSign Envelope ID: 4691C384-968C-4E9C•BB23-35E84C27F5E2

28. Authority to Execute. Those individuals who are signing this Agreement on behalf of entities represen1 and warrant that they are, respectively,. duly authorized to sign on behalf of the entities anc;I to bind the entities fully to eJ3.ch and all of the obliga'Uons set forth in this Agreement.

IN WITNESS THEREOF, these Parties have executed this Agreement on 'the d�y an·d year shown below.

AS SET FORTH IN CA. CORP. CODE § 313, TWO SIGNATURES ARE REQUIRED FOR CALIFORNIA CORPORATIONS:
(1) CHAIR-PERSON OF THE BOARD, PRESIDENT, OR VICE PRESIDENT; 8.tl!Q (2) SECRETARY, ASSISTANT SECRETARY, CHIEF FINANCIAL OFFICER OR ASSISTANT TREASURER, f)!{__ Mlchelle Bigelow
Print Name
Date: 1 (S-(11
APPROVED P:S TO FORM:
-City'l\ltomey' (�·{i//0__, .��
� Donald A. Larkin
Print Name
Date: -➔ • 3-l J
Contractor's License Nurnber(s) (if applicable)
Expira1ion Dale(s) '-/ /z /
,___,jL.../�=-4�----
Seal:

CITY 0F_M��� HILL
( '�))�.-
City Man�r_)
Christina J. Turner
P.ri.nt Name
CENTURY C�L SERVICE, INC.
�.J=
?S¾E.S\QE-AJ"'\
Print Name and Title of Signer.

If Corporate; Chairman, President or
Yice P,residenl
Date, _b_::_6 :tJ:%;. �u· . __)
By: TR�c. \ En �6 'S
SEc�CTf-1\"<..Y
Print Name·and Title of Signer.

If Corperate: Secrelary, Assistant
Secretary, Chief Financial Officer or
Assistar:it Treasurer
Date: l_'.:)- l:,-'J-0\C\
\00000 'd.b5"C)
Contractor's DIR Registration Number(s) (if applicable) E1:1piralion Date(s) C> 6 /9-0 QO
U:lle9a1 Ferms1Consultan1 Agreemerl•\Clly Mainlonance Service Agreem.01,0c,rx 1,
Updated: Ju\y 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444C8ED-9763-4223-9E0C-E1D52F0E58AB DocuSign Envelope ID: 4691C:J84-,968C-4E9C,B823-35E84C27F5E2

EXHIBIT A

SCOPE OF SERVICES
Contractor wm provide full-service, on-call plumbing maintenance and repair services and administer the duties and responsibilities as stated In this contract, ·jn compliance with all appllci:!ble laws, regulations, policies and procedures.

Services to be pelformed include the furnishing of all labor, materials, tools, equipment, supplies, services, tasks and incidental and customary work necessary to competently perform on-call plumbing maintenance and r-epair work at various City facilities (see Attachment A).

The work will include the provision of a total maintenance and repair program consisting of a variety pf tasks including, but not limlted to, laying out, Installing, replacing, piping, and testing plumbing service and plumbing systems and components, ·Systems in�1ude, but are not limited to domestic water, healing, cooling, hot water systems, conditioned water systems, pool water systems, sanitary sewer and storm systems as well as all related components required·for municipal bu,ildings and facilities. Services will Include, but not be limitea to installing and repairing piping, fixtures and maintenance for commodes, urinals, drinking fountains, pools, water spray features, heating and air conditioning systems as well as additional plumbing related Issues as they arise and the services necessary to insure safe, well maintained influent, effluent and closed loop systems for City employees and the public. The scope and number of projects and tasks are unknown at the time of contract execution.

The Col\Jractor shall leave work areas free of all dirt, litter, lubricants, ' or other materials utilized to perform electrical maintenance.
'The Contractor shall erect barricades, warning signs, and any t>ther devices to prevent unauthorized access by the public or unauthorized City staff to w.ork areas.

Jhe Contractor shall respond to all requests for repairs or unscheduled emergency repairs as required, 24 hours per day, 365 days per year, including holidays. All costs for labor and materials for these c·alls shall beJncluded in the pr,oposal. Response time by the Contractor shall be within four (4) hours of all requests.

The Contractor wilJ be responsible for providing labor, supervision, materials, equipment, transportaWon, -service and the shop facilities necessary to perform high quality work. Contl'actor will "'lso be responsible for discarding all us·ed materials. 2-1 SCOPE OF SERVICE The Contractor shall provide full-service on-call plumbing maintenance and repair services to City Facilities. Contractor shall retain professional pe�onnel who have successfully and competently provided municipal facility plumbir:ig mainten�nce and repair services on projects of slmilar scope and complexity. It shall be the Contractor's responsibility to effectively repair and maintain, to the satisfaction of the City representative, all aspects of plumbing systems in City defined facilities with minimal downtime. All maintenance and repairs shall be provided in accordance with the highest standards of the industry, skill, workmanship, applicable trade practices, shall meet warranties and be in conformance to all applicable laws, codes and regulations. The successful Contractor's electrical maintenance and repairs shall, at a minimum, include but not be limited to the specifications outlined herein. 12 Upda1ed: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope ID: 1444CBEO-9763-4223-9E0C-E1 D52F0E58AB DocuSign Envelope ID: 4691C3B4-Q68C-4E9C-B823-35E84C27F5E2 2-2 SERVICES TO BE PROVIDED It is lhe Contractor's responsibility to provide an appropriate level of staffing and provide appropriate tools arid vehlcles necessary to support all facility plumbing maintenance and repair functions during hours of operation and for response after normal working hours. Contractor shall maintain the appropriate license and will comply with all other license, insurance and permit requirements of the City, State and Federal governments, as well as all other requirements of the law.
2-3 TERM OF SERVICE The term of the contract will be from July 1, 2019 through June 30, 2021.

The contract may be canceled or any portion thereof at any time during the term of service and such cancellations shall be effective upon giving sixty (60) days written notice. The City, at its option, may renew this contract for up to three, one year periods, beginning on July 1, 2021. This option will be exercised only if the contractor has demonstrated superior performance In provision of On-Call Plumbing Maintenance and Repair Services to the City.

Pricing apply to the period of July 1, 2019 to June 30, 2021. If the contract is renewed, a 3% cost �scalation will automatically be applied for each subsequent year beginning on July 1, 2021. 2-4 WORK HOURS Scheduled maintenance and repairs shall typically occur during normal busitiess hours. Facility business hours are:

Aquatics Center is open weekdays from 5:00 a.m. to 8:00 p. m.1 Saturdays from 7:00 a.m. to 12:00 p.m. (summer season to 6:30 p.m,), and Sundays 11:30 a.m. to 6;30 p.m. (summer season only).

Centennial Recreation Center·is an active facility on Weekdays from 5:00 a.m. to 10:00 p.m., Saturdays from 6:30 a.m. to 8;00 p,m., and on Sundays from 8:00 a.m .. to 6:00 p.m.

City Hall is open Monday-Friday 8:00 a.m. - 5 p.m.

Chambers Building is open Monday-Friday 8:00 a.m. - 5 p.m.

The Community and Cultural Center is open Monday-Friday B;OO a.m. - 5 p.m.

El Toro Youth Center 1s open Monday-Friday 2:00 p.m. -,6:00 p.m.

The Friendly Inn is open Monday .. Saturday 8:00 a.m. to 10:00 p.m.

The Outdoor Sports Complex - coordinate hours with Project Manager, Dal� Dapp The Police Department is open Monday-Friday 8 a.m. - 5:30 p.m.

The Publlc Works Corporation Yard is open Monday-Thursday 6:30 a.m. - 4:00 p.m. and Fridays from 6:30 a.m. -3:00 p.m,
The Villas are open Monday-Friday 8:00 a.m. - 5 p.m.

Community Park Restrooms are open seven days a·week 6 a.m. to 10 p.m, Ga!van Park Restroom are open seven days a we.ek 6 a,m. to 10 p.m. 2-5 SERVICE AVAlLABILITYThe Contrac;:tor shall have trouble-call service available on a twenty• four hours a day, seven days a week . basis with a response lime not to ·exceed the following:

EMERGENCJES ....................... -.... two hour response time NON-EMERGENCIES············'···--·- four hour response time Time to respond shall start when the City calls the problem into Contractor's designated emergency phone number. Addit-ionally, the Contractor shall provide the ability to respond immediately to sltuations . involving the health and safety of emplc:�yees andlor the public and the comfort and operational capability of any public meeting space. Routine repairs, service requests or other nonurgent tasks shall be completed by Journey level staff within one (1) working day ffom the date of request by City Representative.
13 Upda\edz July 2018

DocuSign Envelope ID: E54OC3BC-4718-4641-940B-F5642O579259 DocuSign Envelope ID: 1444CBED-9763-4223-9E0C-E1O52F0E58AB DocuSign Em1elope 10; 4691C384-968C-4E9C-B823-35E84C27FSE2 2-6 TROl:JBLE-CALUREPAIR SERVICE Should the City request the Contractor to make unschedl.lled, emergency electrical system repairs, the City shall be responsible for labor and travel costs associated therewith. These costs, as listed in the proposal, will be a critical part of the bid evaluation in determining the lowest responsive and responslble contractor. Rates shall be firm for the term of the contract. The City reserves the right to contract With others for trouble calls and repairs.
2-7 BILLABLE WORK The Contractor shall not bill for unnecessary repairs, for repairs that were not completed satisfactorily, for repairs that did not fix an identified problem, or for facility visits that are made by sJaff unqualified to complete needed repairs. 2-8 STAFFING, WORKMANSHIP AND QUALITY LEVEL The Contractor shall provide a staffing level to perform on-call plumbing maintenance and .-epalr services at designated City facilltles In a thorough and pfofessional manner, so that the City is provided with reliable and high quality electrical maintenance at all limes. The Contractor shall possess and maintain a C-36 Plumblng license by the State of Callfornla Contractors Licensing Board through the term of lhe contract. All personnel performing work under this Contract shall possess and maintain a state journeyman certification and be directly emp1oyed and supervised by the Contractor. Any assigned apprentice shall work directly under the supervision of a qualified Journeyman. The Contractor shall provide management and technical supervision through competent supervisors as required. The Contractor shall be responsible for the skills, methods and actions of all employee51 subcontractors and for all work done.
2-9 MAINTENANCE AND REPAIR LOCATIONS See Attachment A
2-1 O TO.OLS AND EQUIPMENT The ContracJor shall furnish and maintain all equipment necessary for properly servicing and maintaining plumbing systems in City buildings. The City of Morgan HIii reserves the right to inspect equipment to be used to perform services under this contract. Any equipment determined to be in poor condition must be replaced lmmediate.ly, at the contractor's e:Kpense. Failure to ,provide suitable equipment for carrying out all requirements of this contract may be grounds for termination.
2-11 PARTS AND MATERIALS The Contractor shall furnish all parts and materials necessary for properly maintaining and repairing plumbing systems in City buildings. Mark-up on parts and materials may not e�ceed 10% of Contractor's cost. Invoices must identify the work performed, cost of labor, parts/materials used, parts/materials cost, and partsfmaterials mark-up cost. 2-12 INSPECTIONS AND REMEDIES So as to ensure consistent quality of the �ork being performed, the City Representative will perform perJodlc inspections of plumbing systems to ensure compliance with the contract specifications. Inspections may be made by the City at any time .to confirm that work performed meets specifications. If corrective work is required, the City will provide a written list of items and the Contractor shall correct deficiencies as directed. If deficie.ncies are not corrected in a timely manner, the City may perform the work using .others and deduct the cost from the Contractor's payment.
2-13 DAMAGES The Contractor will be responsible for all dam�ges to the facility or contents caused by Contractor, their staff or subcontractors during the performance of their· duties. 2-14 SAFETY & SECURITY The Contractor and staff shall follow all established safety procedures and shall take special care not to endanger the public in any way. The Contractor is responsible for the security of all doors at the conclusion of work in each room. All exterior doors .should remain 14 Updated: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 OocuSign Envelope ID: 1444CBED-9763-4223-9E0C-E1D52F0E58AB DocuSign Envelope ID: 4691C384·96BC-4E9C-BB23-35E84C27F5E2 locked at all times. Interior doors that are found open or unlocked shall be left in the same position/condition in which they were found.
2•15 EME�GENCY SITUATIONS For medical or public safety emergeni,ies occurring a·t the Facilities call 9-1-1. For all building maintenance emergencies (water leaks, etc.) contact the Maintenance Manager or designated staff to report the issue Immediately (24-hour�/day) .

ATTACHMENT A

MUNICIPAL FACILITIES LOCATIONS

PLUMBING SYSTEMS TO BE MAINTAINED AT THESE LOCATIONS

BUILDING/FACILITY ADDRESS SQUARE FOOTAGE
Aquatics Center (office area) 16200 Condit Road 5,294
Centennial Recreatlon . Center 171 West Edmundson Avenue 25,135 City Hall 17575 Peak Avenue 13,900
Community and Cultural Center and Playhouse 17000 Monterey Read 20,500; 5,000 Future Community Garden Railroad Avenue
Chambers Building 175,55 Peak Avenue
El TCilro Youth Center 17620 Crest Avenue
Boys and Glrls Club 17666 Crest Avenue
Outdoor Sports Center 1·6500 Condit Road
Police Department 16200 Vineyard Boulevard
Public Works Corporation Yard 100 Edes Co�rt
The Villas 535 Alkire Avenue
Dunne Hill Fire Station 2100 East Dunne Avenue
El Toro Fire Station 18300 Old Monterey Road
All other parks and City-owned properties
12,104
3,800
3,168
2,800
43,286
4,583
4,500
15 updated July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 OocuSign Envelope ID: 1444C8EO-9763--4223-9E0C-E1D52F0E58AB Oocu�lgn Envelope ID: 4691C384--968C-4E9C-B823-35E84C27F5E2

EXHIBITB
SCHEDULE OF COMP�NSATION RATES
Shop Rate for Plumbing Services (Apprentice): $ nla
Shop Rate for Plumbing Services (Journeyman): $210 per hour Overtime Rate for Plumbing Services (Apprentice): $ n/a Overtime Rate for Plumbing Services (Journeyman): '$31 S per hour Saturday, Sundi'ly and Holiday Rate (Apprentice): $ n/a Saturday, Sunday and Holiday Rate (Journeyman): $315 per hour 16 vpaaled: July 2018

DocuSign Envelope ID: E54DC3BC-4718-4641-940B-F5642D579259 DocuSign Envelope 10: 1444C8EO-9763-4223-9E0C-E1052F0E58AB DocuSign Envelope ID: 4691 C384-968C-4E9C-B823-35EB4C27F5E2

EXHIBIT C

SCHEDULE OF PERFORMANCE
Service·s to be scheduled on an on-call basis with City Maintenance Staff 17 Upda!td: July 201 B

8 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Yat Cho, Senior Project Manager
APPROVED BY: City Manager

APPROVE PACIFIC GAS AND ELECTRIC COMPANY AGREEMENT TO

PROVIDE ELECTRIC SERVICE TO THE BUTTERFIELD FIRE STATION

PROJECT

RECOMMENDATION(S)

1. Ratify approval of the Pacific Gas and Electric Company Agreement to provide electric service to the Butterfield Fire Station Project; and

2. Authorize the City Manager to administer and execute the Pacific Gas and Electric Company Agreement in the amount of $161,921.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Enhancing Public Safety
Maintaining and Enhancing Infrastructure
2022-2023 Strategic Priorities
Fiscal Sustainability
Guiding Documents
Fire Services Standards of Coverage
Morgan Hill 2035 General Plan
Public Safety Master Plan
REPORT NARRATIVE:

On June 7, 2023, the City Council awarded a contract to Larry S. Kent, Inc. DBA Kent Construction in the amount of $7,956,553 for the construction of the Butterfield Fire Station. Construction on the project has begun with the site grading complete and the underground utility work in progress.

Given that the new fire station will need electricity to operate, staff have been working with Pacific Gas and Electric Company (PG&E) on an approved electrical design to provide power to the new building. The cost for PG&E to perform this work is $161,921 (see attached agreement). PG&E's scope of work includes the design, installation of conductors/wires, inspections and the connection to PG&E's existing electrical system.

8 The conduits and all necessary vaults and equipment will be installed by Kent Construction and their subcontractor. To avoid construction delays on the project, staff had the agreement with PG&E executed in advance of this staff report.

Staff recommends that the City Council retroactively approve the execution of this agreement with PG&E. With the agreement executed, Kent Construction will be able to schedule PG&E inspections and avoid construction delays.

COMMUNITY ENGAGEMENT:

Inform
City staff will continue to provide regular updates through media, social media, and the City's website as this is part of the Butterfield Fire Station Project.

ALTERNATIVE ACTIONS:

There is no viable alternative to this action, as not approving the agreement with PG&E would halt the construction of the new Fire Station.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:
• February 22, 2017 - City Council received and reviewed Public Safety Master Plan.
• December 4, 2019 - City Council received and reviewed the Hazard Risk Assessment and Standards of Coverage Study.
• December 1, 2021 - City Council authorized the City Manager to execute and administer an agreement with Jeff Katz Architecture for the design of the Butterfield Fire Station Project.
• November 2, 2022 - City Council approved conceptual design for the Butterfield Fire Station Project
• March 15, 2023 - City Council approved acceptance of a grant from Silicon Valley Clean Energy for $500,000 to be used towards the project, specifically as an all electric fire station demonstration site.
• June 7, 2023 - City Council awarded Butterfield Fire Station to Larry S. Kent, Inc.

DBA Kent Construction in the amount of $7,956,553.

FISCAL AND RESOURCE IMPACT:

Adequate funds are available for this work within the adopted FY2022-23 through 2027- 28 Capital Improvement Program Butterfield Fire Station Project (No. 231018) funded through Public Safety Facilities Impact Fund (315).

CEQA (California Environmental Quality Act):

Categorical Exemption
The City engaged Raney Planning & Management to evaluate the proposed Butterfield Boulevard Fire Station Project to determine whether the proposed project is exempt

8 from review under CEQA. This review concluded the project does qualify for a Class 32 exemption for infill development.

124981436
February 13, 2024
Customer Payment
Coupon
References
Notification # 124981436
Contract # 50095727 V2
E15-PM # 35436536
E16-PM # 35436536
Customer # 3761860
City of Morgan Hill
17575 Peak Ave.

MORGAN HILL, CA 95037
Customer Payment Summary
17285 BUTTERFIELD BLVD., MORGAN HILL
Please pay the Total Due based upon the payment option(s) you selected on page two of the enclosed Gas and Electric Extension Agreement.

Payment Options Subtotal Total Due
10-Year Refundable Advance Option Gas and Electric $274,817.20 $272,317.20 Non-Refundable 50 percent Discount Option for Gas and
Electric
$164,421.47 $161,921.47
10-Year Refundable Advance Option for Gas and
Non-Refundable 50 percent Discount Option for Electric
$164,421.47 $161,921.47
Non-Refundable 50 percent Discount Option for Gas and
10-Year Refundable Advance Option for Electric
$274,817.20 $272,317.20
The Total Due for each payment option above includes:

Advance Credit ($2,500.00)
Important Payment Information
To complete your contract ONLINE
Follow the instructions provided with your electronic contract Submit payment at https://www.pge.com/contractpayments
To complete your contract BY MAIL
Please make check payable to: PG&E or Pacific Gas and Electric Complete, sign and return the enclosed agreement(s), the SACAC form and the customer payment coupon with your payment
Remit payment and SACAC form to:

PG&E CFM/PPC Department
PO BOX 997340
Sacramento, CA 95899-7340

IMPORTANT MESSAGE
Please review the enclosed information
and total due. This document needs
to be returned with the enclosed
agreements.

If you complete your contract ONLINE,
a copy will be saved to your Customer
Connections Online (CCO) account at
pge.com/cco.

To learn more about PG&E's gas and
electric safety initiatives and resources
please visit pge.com/safety.

Have Questions?
Please Call 1-800-422-0436

Gas and Electric
Extension Agreement*
* Automated document,
Preliminary Statement, Part A
"PG&E" refers to Pacific Gas and Electric Company, a subsidiary of PG&E Corporation. ©2015 Pacific Gas and Electric Company. All rights reserved.

Form 79-1169
Advice 4768-G/6973-E

124981436
For Internal Use
Notification # 124981436
Contract # 50095727
E-PM # 35436536
G-PM #
E-Prior MLX/PM#
G-Prior MLX/PM#
Customer # 3761860
V2
February 13, 2024
City of Morgan Hill
17575 Peak Ave.

MORGAN HILL, CA, 95037 Re: 17285 BUTTERFIELD BLVD., MORGAN HILL Dear Christina Turner
We are writing to let you know Pacific Gas and Electric Company (PG&E) will extend its facilities to provide the requested gas and electric service to the project address listed above. PG&E's costs have been developed based on the choices and information provided in your application and may change if you make changes. This letter, including PG&E's tariffs, which are incorporated by reference below, will serve as our contract. As required by the California Public Utilities Commission (CPUC), special facilities will be handled in a separate contract. Per Decision 22-09-026, Residential Customers submitting an application for new gas service on or after July 1, 2023, do not qualify for Allowances, Refunds or Discount Option. Applicants who submit a new application for gas Distribution Main Extension(s) on or after July 1, 2023, must pay PG&E its total estimated installed cost upon contract execution, in advance of PG&E commencing its work.

Upon completion of the work and determination of actual costs, PG&E will provide Applicant with a final invoice or refund to account for a true-up to actual costs. An Applicant's failure to pay a final invoice in a timely manner is a violation of PG&E's Gas Rules 15/16 and may result in discontinuance of service. NonResidential Customers submitting an application for new gas service on or after July 1, 2023, may qualify for Allowances, Refunds or Discount Option if approved by the CPUC. Please complete the following four steps to execute this contract. 1 Review the following work responsibilities and cost information.

Work To Be
Done By

GAS MAIN GAS SERVICE ELECTRIC DISTRIBUTION ELECTRIC SERVICE Trench Pipe Trench Pipe Trench Substr. Facilities Trench Substr. Facilities

PG&E X X
Customer X X X X X

GAS ELECTRIC
Total non-refundable project costs $0.00 $57,343.79
Refundable extension costs $0.00 $220,791.47
Allowances (credit) - $0.00 - $0.00
Net refundable amount = $0.00 = $220,791.47
10 YEAR REFUNDABLE OPTION
Net refundable amount $0.00 $220,791.47
Credit for value of design and/or
facilities provided by applicant - $0.00 - $3,318.07
Total non-refundable project costs + $0.00 + $57,343.79 Total (if you select this option) = $0.00 = $274,817.20 NON-REFUNDABLE 50% DISCOUNT OPTION
Net refundable amount $0.00 $220,791.47
Discount: 50% of Net refundable amount - $0.00 - $110,395.73 Credit for value of design and/or
facilities provided by applicant - $0.00 - $3,318.07
Total non-refundable project costs + $0.00 + $57,343.79 Total (if you select this option) = $0.00 = $164,421.46 Potential refund per residential lot/unit $0.00 $0.00
Potential reimbursement per service completion
Pressurized or energized system $0.00 $0.00
Not pressurized or energized system $0.00 $0.00
Reimbursement for other work
performed $0.00 $12,438.40
All amounts include the Income Tax Component of Contribution (ITCC) PG&E is required to charge customers, where applicable.

DEFINITIONS AND EXPLANATION OF TERMS
(For more detail see rules 15 and 16):

Total non-refundable project costs include costs for
work such as electric trench and excavation, conduits,
inspections, streetlights, conversion from overhead to
underground and contract processing.

Refundable extension costs include costs for facilities such as electric conductor, transformers and poles; gas pipe, gas share of distribution trench and regulators;
and meters.

Allowances are a credit against refundable extension
costs. They are based upon the number of residential
units expected to be connected within the first six
months and the expected annual non-residential net
(distribution) revenue from your project.

Allowances granted under either option are subject to
deficiency billing if the number of residential units
connected or the annual non-residential net revenue
falls below the forecast used to calculate the
allowances.

Net refundable amount is the portion of overall costs
eligible for refund to you based upon additional
residential meters being set or upon increases in nonresidential annual net (distribution) revenue. A cost-ofownership charge is assessed against the Net refundable amount (except for individual residential
applicants) per Rule 15.

Potential refund per residential lot/unit is for those
lots/units for which you did not already receive an
allowance (i.e., units not expected to be connected in
the first six months). Any refunds may be decreased or
eliminated by cost-of-ownership charges assessed
under the provisions of Rule 15.

Potential reimbursement per service completion is
the amount to which a customer may be entitled for
performing certain service connection work PG&E
would otherwise perform when installing service
extensions and are not to be confused with refunds.

Reimbursement for other work performed is
the amount to which a customer may be entitled
for performing certain work (other than service
completions) that normally is PG&E's responsibility.

Gas and Electric
Extension Agreement*
* Automated document,
Preliminary Statement, Part A
"PG&E" refers to Pacific Gas and Electric Company, a subsidiary of PG&E Corporation. ©2015 Pacific Gas and Electric Company. All rights reserved.

Form 79-1169
Advice 4768-G/6973-E

124981436
2 Select one of the following payment options.
#opt1#
10-Year Refundable Option for Gas and Electric
#opt2#
Non-Refundable 50 Percent Discount Option for Gas
and Electric
#opt3#
10-Year Refundable Option for Gas and NonRefundable 50 Percent Discount Option for Electric #opt4#
Non-Refundable 50 Percent Discount Option for
Gas and 10-Year Refundable Option for Electric
Gas
$0.00
$0.00
$0.00
$0.00
+
+
+
+
Electric
$274,817.20
$164,421.47
$164,421.47
$274,817.20
-
-
-
-
Advance

SEE PMT CPN

SEE PMT CPN

SEE PMT CPN

SEE PMT CPN
=
=
=
=
Total Due
$274,817.20
$164,421.47
$164,421.47
$274,817.20
3 Review these important terms and conditions.

This Gas and Electric Extension Agreement is controlled by, and incorporates by reference, PG&E's tariffs, including Gas and Electric rules 2, 15, and 16; the Distribution and Service Extension Agreement-Provisions (Form 62-0982) and the General Terms & Conditions for Gas and Electric Extension & Service Construction by Applicant (Form 79-716), all as approved and authorized by the CPUC. This agreement at all times shall be subject to such modifications as the CPUC may direct from time to time in the exercise of its jurisdiction.

You can view PG&E's tariffs online at pge.com/tariffs or contact the PG&E representative listed below. Additional details underlying the amounts shown in this agreement, as well as the calculation of allowances, refunds or deficiency bills can also be provided by your local PG&E representative. 4 After completing steps 1, 2 and 3 and having checked one, but only one, of the four payment options above, please complete and return the following items to PG&E.

Sign and return this contract as indicated below.

Submit the Payment Coupon with Total Due based on your option selected.

Sign and return the enclosed Statement of Applicant's Contract Anticipated Costs (SACAC) [Form 79-1003] (explanation in box to the right).

Please provide your payment and required forms within 90 days from February 13, 2024. PG&E is not bound by the costs set forth above if payment and the signed forms are not received by PG&E within 90 days.

If you have any questions, please contact Erin Huan
at 877-743-7782 or by email at [email protected].

ADDITIONAL INFORMATION
What is the SACAC form
Under PG&E's rules 15 and 16 you have a choice:you can
perform the work yourself, hire a qualified contractor to perform the work or hire PG&E to do the work. We are
required by the CPUC to provide you with PG&E's costs.

This form identifies our cost for the refundable service that is PG&E's responsibility to install. PG&E's costs were
developed based on your choices within the application and may change if you change that choice.

How do I fill out the SACAC?
If you want to do this work yourself or have a qualified contractor do this work, please enter your estimated costs in the section of the SACAC form entitled "Applicant Costs" or check the box in the section entitled "Applicant's Election Not To Provide Costs," sign and return to PG&E. PG&E will send you a revised agreement by return mail only if you choose to provide your estimated costs.

If you want PG&E to do this work, please check the section "Applicant's Election Not to Provide Costs," sign and return the SACAC form along with a check for the Total Due
based on the option you selected above.

You must return the completed SACAC form to PG&E
regardless of who you choose to do the work.

Please follow payment instructions
found on your Payment Coupon.

Pacific Gas and Electric Company
This contract has been reviewed and approved by:

Michele Williams
Service Planning Supervisor
Customer
Agreed and accepted by:

City of Morgan Hill, A GOVERNMENT AGENCY
Authorized Signatory Christina Turner
Title Other
Signature #sigMLX#
Date #sigDateMLX#
#titleMLX#
#Form 79-1169#
2/14/2024 | 7:09:55 AM PST
X

124981436

STATEMENT OF APPLICANT'S CONTRACT
ANTICIPATED COSTS.*
Project Name: Butterfield Fire Station
Project Location: 17285 BUTTERFIELD BLVD., MORGAN HILL
Notification Number: 124981436
PM Number(s): (Gas) (Electric) 35436536

APPLICANT COSTS

The following statement must only include the contracted anticipated installed costs of facilities installed by the Applicant that are refundable and that are PG&E's responsibility under its tariffs.

The costs provided by the Applicant must be taken from the Applicant's contract with its contractor. If the Applicant will be performing the work itself, the Applicant must also complete and sign this form.

The Applicant's statement of costs will be compared with PG&E's estimated installed costs of the same facilities, the lower of which will be used to determine the amount subject to allowances and refunds in accordance with the provisions of PG&E's Gas and Electric Rules 15 and 16.

If the Applicant chooses not to provide its costs, it must complete the last section of this form. Until the Applicant either provides the refundable cost from its contract with its contractor (or its own cost, if applicable), or returns this form indicating that it will not do so, PG&E will not proceed with any work on the Applicant's project.

Applicant's statement of costs include: overhead or underground service conductors, poles, service transformers, connection fittings, service pipe, valves, service connections, and other PG&E-owned service equipment, as detailed in Gas and Electric Rule 16.

Applicant's statement of costs DOES NOT include: inspection fees, nonresidential service costs, regulators, or PG&E-owned metering equipment.

Form 79-1003
Tariffs and Compliance
Advice 2458-G-C/2379-E
Decision 03-03-032
* Automated document, Preliminary Statement, Part A Effective: July 1, 2004

GAS ELECTRIC
Residential Service Facilities: Residential Service Facilities:

Applicant: $ #applicantCostGas# Applicant: $ #applicantCostElec# PG&E: $0.00 PG&E: $0.00
Number of gas service: 0 Stubs:0 Number of Electric service: 0 #Form 79-1003#
February 13, 2024

124981436

GAS ELECTRIC
Gas Distribution Facilities
and Non-Residential Service Services:

Electric Distribution Facilities
and Non-Residential Service Services:

Applicant: $ #gasDistFacilities# Applicant: $ #elecDistFacilities# PG&E: $0.00 PG&E: $55,665.27

GAS DISTRIBUTION TRENCH
Applicant: $ #gasDistTrench#
PG&E: $0.00
Applicant's statement of costs include: cables, switches, transformers, distribution main, valves, regulators, nonresidential service costs, and other distribution facilities required to complete the distribution line extension, as detailed in Gas and Electric Rule 15 as PG&E's responsibility.

Applicant's statement of costs DOES NOT include: inspection fees, tie-in of system by PG&E, distribution substructures, electric trench, conduits, feeder conduits, or protective structures, as detailed in Gas and Electric Rule 15.

I declare under penalty of perjury that the foregoing is true and correct.

APPLICANT'S ELECTION NOT TO PROVIDE COSTS: (if this option selected, box must be checked) I choose not to provide to the utility my refundable costs for this project as taken from my contract with my contractor, or as performed by myself, and acknowledge that PG&E will use its estimate of the refundable costs for this project in the contract between it and me.

Executed on #signDateSACAC# at
(Date) (City)
By:

Print Applicant Name: City of Morgan Hill, A GOVERNMENT AGENCY #sigSACAC# Signed:

Title: Other
#titleSACAC#
Form 79-1003
Tariffs and Compliance
Advice 2458-G-C/2379-E
Decision 03-03-032
* Automated document, Preliminary Statement, Part A Effective: July 1, 2004

#applicantSACAC#
Christina Turner
X
2/14/2024 | 7:09:55 AM PST

Cost Breakdown
Total number of combined meters: 1
Total number of non-residential lots/units for this project: 1 Total number of residential lots/units for this project: 0 Cost of Services:

Engineering & Administrative Costs $0.00
Inspection Fees (+) $0.00
Others (N/A) (+) $0.00
Electric Metering (+) $0.00
Service Tie-In Cost (Energized) by PG&E (+) $0.00
Including Applicant Design Value of $0.00
Service Cost - Applicant installed # Services 0 (+) $0.00 Service Cost - PG&E installed # Services 0 (+) $0.00
Total Estimated Cost of Service Subject to Allowance (=) $0.00 Cost of Service Within Allowance:
less Total Residential Service Allowance
(not to exceed Total Estimated Cost of Service Subject to Allowance) Excess Service Cost
Estimated Service Cost Within Allowance (Total less Excess) Average Cost per Lot or Unit Within Allowance
Excess Service Allowance Applied to Distribution Line Extension Refundable Amount per Lot or Unit:

Applicant: Christina Turner
Project Location/Name 17285 BUTTERFIELD BLVD., MORGAN HILL $0.00 X 0 (-) $0.00 =
$0.00 / 0 = $0.00
(=) $0.00
(=) $0.00
$0.00
Allowance
- $0.00
Ave. Cost / Unit
= $0.00
Service Tie-in Cost by Applicant (+) $0.00
**
Including Net Joint Pole Credit Value of $0.00

February 13, 2024
Pacific Gas and Electric Company
Detailed Cost Sheet - Electric Distribution
and Service Extension Costs
References
Notification # 124981436
Contract # 50095727 V2
E15-PM # 35436536
E16-PM # 35436536
Customer # 3761860

Allowances
Residential:

Amount Subject to Refund
Engineering & Administrative Costs $89,666.02
Including Applicant Design Value of $0.00
Tie-In of Distribution by PG&E (+) $27,346.53
Electric Metering (Non-Residential Projects) (+) $2,848.22 Other Taxable charges ( N/A )
PG&E installed - Cost of Distribution Line and Non-Res Svcs.

Applicant installed - Cost of Distribution Line and Non-Res Svcs. (+) $786.47 (=) $178,057.64
Inspection Fees (+) $0.00

SUB TOTAL
Total Refundable Amount (+) $220,791.47
(+) $0.00
(+) $54,878.80
plus ITCC @ 24% (+) $42,733.83
Less Total Allowances (not to exceed Total Refundable Amount) (-) $0.00 Balance: Net Refundable Amount $220,791.47
10 Year Refundable Advance Option
Balance: Net Refundable Amount $220,791.47
Less Credit for Value of Applicant Design Work $0.00
Less Cost of Dist. Line Ext. and Non-Res Svcs. installed by Applicant Less Distribution Substructures by Applicant
Net 10 Year Refundable Advance Option Amount
Non-Refundable Discount Option
Balance: Net Refundable Amount
Less Credit for Value of Applicant Design Work
Less Cost of Dist. Line Ext. and Non-Res Svcs. installed by Applicant Less Distribution Substructures by Applicant
Net Non-Refundable Discount Option Amount
$786.47
$2,531.60
$0.00
$220,791.47
$217,473.40
$786.47
$2,531.60
$107,077.66
$0.00
Allowance
X 0
Lots / Units
= $0.00
plus ITCC @ 24% Residential Allowances (+) $0.00
SUB TOTAL Residential Allowances (=) $0.00
Non-Residential: $0.00
Net Annual Revenue
/ 0.1476
Cost-of-Service-Factor
= $0.00
plus ITCC @24% Non-Residential Allowances (+) $0.00
SUB TOTAL Non-Residential Allowances (=) $0.00
less Residential Service Allowance:
( 0
Lots/Units
X $0.00
Ave. Cost / Unit
) + 24%
ITCC
= $0.00
Total Distribution Line Extension Allowance (=) $0.00
less Discount $220,791.47
Balance
X 0.50
Discount Rate
= (-) $110,395.73
Value of Distribution Substructures (+) $2,531.60
Including Net Joint Pole Credit Value of $0.00

Non-Refundable Payments
Rule 16 Non-Refundable Payments

(+) $0.00
$0.00
Service Costs Beyond Preferred Service Location
Excess Service Costs
Service Riser (+) $0.00
Value of Service Trench, Conduits & Substructures in the Franchise Area or on 3rd Party Property
(+) $180,133.32
Value of Rule 16 Land Rights Costs (+) $0.00
(+) $1,525.92
Cost of Additional Rule 16 Applicant Design Plan Checks (+) $0.00 Other Taxable Charges: N/A
(+) $250.00
(+) $2,265.47
Rule 16 Trench Permits Obtained by PG&E
Inspection Fees
(+) $0.00 Plus Service Trench, Conduits, & Substructures installed by PG&E on Private Property
Inspection Fees (not subject to ITCC) (+) $0.00
Non-Residential Per Meter Charge 1 unit(s) (+) $275.00
Residential Per Meter Charge = 0 unit(s) (+) $0.00
Other Non-taxable Charges: (+) $0.00
Plus ITCC @ 24% (+) $44,201.93
Total Rule 16 Non-Refundable Amount (=) $48,518.32
Less Service Trench in the Franchise Area or
on & 3rd Party Property installed by Applicant
Less Rule 16 Applicant Design Work Associated with Excess (-) $0.00 Rule 15 Non-Refundable Payments
SUB TOTAL (=) $184,174.71
Inspection Fees $453.09
Re-estimating/Composite Preparation (+) $0.00
Cost of Additional Applicant Design Plan Checks (+) $0.00 Value of Distribution Conduits (+) $2,121.67
Distribution Risers Installed by PG&E (+) $0.00
Value of Distribution Trench (+) $6,465.29
PG&E Land Rights Costs (+) $4,286.24
Rule 15 Trench Permits Obtained by PG&E (+) $716.00
Other (+) $0.00
SUB TOTAL (=) $14,042.29
Plus ITCC @ 24% (+) $3,370.15
Other Non-taxable Charges (+) $0.00
SUB TOTAL (=) $17,412.44
Less Distribution Conduits Installed by Applicant (-) $2,121.67 Less Distribution Trench Provided by Applicant (-) $6,465.29 Total Non-Refundable Electric Rule 15 Amount (=) $8,825.48 (-) $180,133.32
Less Service Costs Beyond Preferred Location by Applicant (-) $0.00 Less Excess Service Facilities Installed by Applicant (-) $0.00 SUB TOTAL (=) $228,651.64

Relocation/Rearrangement Inspection Fees
Relocation/Rearrangement Trench Permits Obtained by PG&E Value of Relocation Applicant Design Work
Tie-in/Meter of Relocation/Rearrangement by PG&E
Relocation/Rearrangement Land Rights

Less Relocation/Rearrangement Facilities Installed by Applicant Plus Relocation/Rearrangement - Non Taxable

SUB TOTAL

SUB TOTAL
Relocation / Rearrangement of PG&E Facilities
(+) $0.00
(+) $0.00
(+) $0.00
(+) $0.00
(-) $0.00
(+) $0.00
(=) $0.00
Plus ITCC @ 0% (+) $0.00
(=) $0.00
(+) $0.00
Re-engineering/Comp Prep/Add'l AD Plan Checks (+) $0.00 Value of Relocation/Rearrangement Facilities $0.00
Value of Relocation/Rearrangement Conduits & Substructures (+) $0.00 Value of Relocation/Rearrangement Trench & Excavation (+) $0.00 Engineering & Administrative Costs (+) $0.00
Note: This supplemental detailed cost sheet is for reference only and is not intended for use in place of the actual contract for the project listed. (1) Total Service Allowance not to exceed the Cost of Service (2) 10 Year Refundable and Discount Option credit amounts will be paid upon acceptance of facilities. Credit amounts are subject to future deficiency billing in accordance with the tariff. (3) 10 Year Refundable and Discount Option credit amounts do not offset Other Non-Refundable or Relocation Fees. See Reimbursement Summary for a total of Reimbursements and Credits to be paid upon acceptance of facilities. (4) Inspection Fees (Only Refundable if Applicant's Actual Cost is Used. Applicant's Actual Cost + Inspection Cannot Exceed PG&E's Estimate)
(5) The lower of PG&E's estimated costs or the Applicant's Contract Anticipated Costs (as documented on Form 79-1003 "Statement of Contract Anticipated Costs") will be used to establish the cost of Service and Distribution Line Extension subject to Allowance Total Relocation / Rearrangement of PG&E Facilities Amount (=) $0.00 Less Relocation/Rearrangement Salvage (-) $0.00
Including Net Joint Pole Credit Value of $0.00
Less Value of Relocation Applicant Design Work (-) $0.00 Less Trench & Excavation Provided by Applicant (-) $0.00 Less Conduits & Substructures Installed by Applicant (-) $0.00 D.0405055 Line Extension Costs - Residential $0.00
D.0405055 Line Extension Costs - Non-Residential $0.00

February 13, 2024
Cost Breakdown
Pacific Gas and Electric Company
Detailed Cost Sheet – Reimbursement Costs
References
Notification # 124981436
Contract # 50095727 V2
E15-PM # 35436536
E16-PM # 35436536
Customer # 3761860
Applicant: Christina Turner
Project Location/Name:17285 BUTTERFIELD BLVD., MORGAN HILL Electric Rule 15
10 Year Refundable Advance Credit Amount $0.00 (1)
- or -
Non-Refundable Discount Option Credit Amount $0.00 (1)
Joint Pole Credits (+) $0.00
SUB TOTAL: w/ 10 Year Refundable Advance Credit Amount (=) $0.00 - or -
w/ Non-Refundable Discount Credit Amount (=) $0.00
Electric Rule 16
Joint Pole Credits $0.00
Applicant Design Work within the Allowance (+) $0.00
SUB TOTAL: (=) $0.00
Reimbursements per Service Completion - Electric
Applicant Service/PG&E Connection (Energized) $0.00 /service (2) Applicant Service/Applicant Connection (Non-Energized) $0.00 /service (2) Electric PG&E Betterment $12,438.40
Electric Relocation
Joint Pole Credits $0.00
Relocation Payment Credit (+) $0.00
SUB TOTAL: (=) $0.00
Electric Rule 20B
Joint Pole Credits $0.00
Rule 20B Payment Credit (+) $0.00
SUB TOTAL: (=) $0.00

Electric Rule 20C
Joint Pole Credits $0.00
Rule 20C Payment Credit (+) $0.00
SUB TOTAL: (=) $0.00
Streetlights
Standard Luminaires $0.00
Standard Arms (+) $0.00
Poles/Posts (+) $0.00
Connections (+) $0.00
SUB TOTAL: (=) $0.00
Gas Rule 15
10 Year Refundable Advance Credit Amount $0.00 (1)
- or -
Non-Refundable Discount Option Credit Amount $0.00 (1)
SUB TOTAL: w/ 10 Year Refundable Advance Credit Amount (=) $0.00 - or -
w/ Non-Refundable Discount Credit Amount (=) $0.00
Gas Rule 16
Stub Services $0.00
Applicant Design Work within the Allowance (+) $0.00
SUB TOTAL: (=) $0.00
Reimbursements per Service Completion - Gas
Applicant Service/PG&E Connection (Pressurized) $0.00 /service (2) Applicant Service/Applicant Connection (Non-Pressurized) $0.00 /service (2) Gas PG&E Betterment $0.00
Gas Relocation
Relocation Payment Credit $0.00
SUB TOTAL: (=) $0.00
(1) 10 Year Refundable and Discount Option credit amounts will be paid upon acceptance of facilities. Credit amounts are subject to future deficiency billing in accordance with the tariff. (2) This Reimbursement will be paid on a per service basis as each service is completed. (3) Excludes service completion reimbursements made under Rule 16. Service completion reimbursements will be made as each service is connected, on a per service basis.

Note: This supplemental detailed cost sheet is for reference only and is not intended for use in place of the actual contract for the project listed.

9 CITY COUNCIL STAFF REPORT
MEETING DATE: February 21, 2024
PREPARED BY:

Dat Nguyen, Finance Director
APPROVED BY: City Manager
APPROVE REVISIONS TO CITY COUNCIL POLICY CP 94-04, THE

CITY'S INVESTMENT POLICY

RECOMMENDATION(S)
Approve revisions to City Council Policy CP 94-04, the City's Investment Policy.

COUNCIL PRIORITIES, GOALS & STRATEGIES
City Council Ongoing Priorities
Preserving and Cultivating Public Trust
2022-2023 Strategic Priorities
Fiscal Sustainability
REPORT NARRATIVE:

Best practices in municipal finance recommend investment policies be reviewed annually or at a minimum, the internal treasury staff should conduct a review annually.

An update in the investment policy is warranted if staff’s review results in a material change in policy due to either a change in statute or a change in the City’s investment objectives. Finance continues to monitor changes to the California Government Code regarding investment parameters and allowable investments that may impact the City’s investment policy. The redlined version of the City’s investment policy is attached for review and approval.

The proposed changes to the investment policy would increase the allowable investments in California Cooperative Liquid Assets Securities System (CLASS) from a maximum of 10% of the portfolio to 20% and update the City’s approved list of primary broker-dealers as designated by the Federal Reserve as of to date. California CLASS is a pooled investment option that was created via a joint exercise of powers agreement by and among California public agencies with total investments having grown to about $1.0 billion with 140 California public agencies participating. The City is a member of the California Class and Christina Turner, the City's City Manager, serves as chairperson on its board of trustees. Increasing the allowable investment amount in the California CLASS would allow the City to optimize interest earnings while maximizing safety and liquidity. Updating the approved list of primary dealer-brokers as designated by the Federal Reserve would allow the City more options as we look for competitive offerings

9 for the City's portfolio. The proposed revisions to the City's investment policy have been reviewed and approved by the City's Treasurer.

COMMUNITY ENGAGEMENT:

Inform.

Finance periodically renders to City Council for review and approval any changes to the investment policy at a public meeting. In addition, the City’s investment policy is available on the City’s website.

ALTERNATIVE ACTIONS:

City Council could decide not to update the policy.

PRIOR CITY COUNCIL AND COMMISSION ACTIONS:

The City Council approved the last revision to its investment policy in June 2023.

FISCAL AND RESOURCE IMPACT:

Updating and maintaining the City’s investment policy is a part of the Finance Department’s ongoing workplan. There is no additional cost associated with the approval of the Investment Policy.

CEQA (California Environmental Quality Act):

Not a Project.

Organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.

1 CITY OF MORGAN HILL

CITY COUNCIL POLICIES AND PROCEDURES
POLICY NUMBER: CP-94-04
TITLE: INVESTMENT POLICY
EFFECTIVE DATE: June 8, 1988
REVISED DATE: February 21, 2024; June 7, 2023; August 17, 2022; May 6, 2020; July 20, 2016; July 15, 2015; January 26, 2011; September 26, 2007; June 15, 1994

TABLE OF CONTENTS
Page
Scope............... ...............................................................................................................................2 Investment Objectives
A. Safety of Principal ...................................................................................................................2 B. Liquidity.... ...............................................................................................................................3 C. Yield .......... ...............................................................................................................................3 Delegation of Authority................................................................................................................3 Ethics and Conflicts of Interest...................................................................................................4 Evaluation of Investments ...........................................................................................................4 Selection of Broker/Dealers .........................................................................................................4 Authorized Investments ...............................................................................................................5 Investment Pools...........................................................................................................................6 Safekeeping of Securities .............................................................................................................6 Diversification...............................................................................................................................7 Maximum Maturities ...................................................................................................................7 Performance Benchmarks………………………………………………………………………7
Bond Proceeds...............................................................................................................................7 Competitive Transactions……………………………………………………………………….8
Reporting Requirements..............................................................................................................8 Investment Policy Review ............................................................................................................8 Policy Statement on Collateralized Time Deposits ....................................................Schedule I Policy Criteria for Selecting Broker/Dealers............................................................Schedule II Firms Authorized to Conduct Investment Transactions .......................................Schedule III Chart of Authorized Investments .............................................................................Schedule IV Glossary ......... .............................................................................................................................18

2 CITY OF MORGAN HILL
Statement of Investment Policy
SCOPE
The City of Morgan Hill’s (the City’s) Investment Policy (the Policy) applies to all funds under the control of the City and includes the general revenues of the City, Successor Agency to the former Morgan Hill Redevelopment Agency (Agency), enterprise fund revenues, and proceeds of bond sales, debt service revenues, and trust funds in the custody of the City.

For simplicity, this Policy shall refer to “City” even when it applies to the Agency, except that the City and Agency shall be distinguished whenever the role of the City Council or Agency Board is described, whenever the role of the City Manager or Executive Director is described, or whenever the role of the City Treasurer or Director of Finance is described.

INVESTMENT OBJECTIVES
The City’s funds shall be invested in accordance with all applicable City policies and codes, State statutes, Federal regulations, and bond covenants, and in a manner designed to accomplish the following objectives, which are listed in priority order:

A. Safety of Principal
Safety of principal is the City’s foremost objective of the investment program. Investments shall be undertaken in a manner that seeks to minimize capital losses by avoiding credit risk and market risk, as defined below:

1. Credit risk, defined as the risk of loss due to failure of the issuer of a security, shall be mitigated by investing in only the highest quality securities (see authorized investments) and by diversifying the investment portfolio so that the failure of any one issuer would not unduly harm the City’s cash flows.

2. Market risk, defined as the risk of market value fluctuations due to overall changes in the general level of interest rates, shall be mitigated by structuring the portfolio so that securities mature at the same time that major cash outflows occur, thus eliminating the need to sell securities prior to maturity. It is explicitly recognized, however, that in a diversified portfolio, occasional measured losses may occur, and must be considered within the context of the overall investment return.

B. Liquidity
Liquidity is the second most important objective of the investment program. The investment portfolio shall remain sufficiently liquid to enable the City to meet all reasonably anticipated operating requirements.

3 C. Yield
The City portfolio shall be invested to attain a market average rate of return through economic cycles, as long as it does not diminish the superior objectives of safety and liquidity. The market rate of return is defined as the average return on the 1-year U.S.

Treasury Bill. Whenever possible, and after the objectives of safety of principal and liquidity have been met, a yield higher than the market rate of return shall be sought.

DELEGATION OF AUTHORITY FOR CITY FUNDS
The City Council has appointed the City Treasurer responsible for undertaking investment transactions on behalf of the City. Unless specifically designated by the City Council, the only officials authorized to undertake investment transactions on behalf of the City are the City Treasurer, Finance Director, and City Manager. The City Manager or designee, as applicable, shall review all investment purchases before they occur. The City Treasurer and the Finance Director will observe, review, and react to the changing conditions that affect the investment portfolio. They will meet on a regular basis to discuss current market conditions, future trends and how each of these affects the investment portfolio and the City.

The City Treasurer, Finance Director and City Manager shall develop and maintain administrative procedures and internal controls, consistent with this Policy, for the operation of the City's investment program. Such procedures shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation by third parties, or imprudent actions by employees of the City.

DELEGATION OF AUTHORITY FOR AGENCY FUNDS
The Agency Board has appointed the Director of Finance responsible for undertaking investment transactions on behalf of the Agency. Unless specifically designated by the Agency Board, the only officials authorized to undertake investment transactions on behalf of the Agency are the Director of Finance and Agency Executive Director. The Executive Director or designee, as applicable, shall review all investment purchases before they occur. The Director of Finance and Executive Director will observe, review, and react to the changing conditions that affect the investment portfolio. They will meet on a regular basis to discuss current market conditions, future trends and how each of these affects the investment portfolio and the Agency.

The Director of Finance and Executive Director shall develop and maintain administrative procedures and internal controls, consistent with this Policy, for the operation of the Agency's investment program. Such procedures shall be designed to prevent losses of public funds arising from fraud, employee error, misrepresentation by third parties, or imprudent actions by employees of the Agency.

4 ETHICS AND CONFLICTS OF INTEREST
Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program, or which could impair their ability to make impartial investment decisions. Employees and investment officers shall disclose any material financial interests in financial institutions that conduct business within this jurisdiction, and they shall further disclose any larger personal financial/investment positions that could be related to the performance of the City's portfolio. Employees and officers shall subordinate their personal investment transactions to those of the City, particularly with regard to the timing of purchases and sales, and shall avoid transactions that might impair public confidence in the City's ability to govern effectively.

EVALUATION OF INVESTMENTS
The standard of prudence to be used for managing the City's investment program is California Government Code Section 53600.3, the prudent investor standard which states, “When investing, reinvesting, purchasing, acquiring, exchanging, selling, or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the agency.”
City investment officers acting in accordance with this Policy and the "prudent person" standard and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided that substantial deviations from expectations are reported by the City Treasurer or by the Director of Finance (for the Agency) to the City Manager or Executive Director, as applicable, within three days of discovery. Mutually agreeable remedial action will be taken by the City Treasurer and City Manager (for the City) or by the Director of Finance and Executive Director (for the Agency) and reported to the City Council or Agency Board, as applicable, at their next regularly scheduled meeting.

SELECTION OF BROKER/DEALERS
The City Treasurer (for the City) and Director of Finance (for the Agency) shall jointly maintain a list of broker/dealers approved for investment purposes, and it shall be the policy jointly of the City and the Agency to purchase securities only from those brokers and the firms they represent.

Each approved broker/dealer must possess an authorizing certificate from the California Commissioner of Corporations as required by Section 25210 of the California Corporations Code.

To be eligible, a firm must meet at least one of the following criteria:

1. be recognized as Primary Dealers by the Federal Reserve Bank of New York or have a primary dealer within their holding company structure, or

2. report voluntarily to the Federal Reserve Bank of New York, or

3. qualify under Securities and Exchange Commission (SEC) Rule 15c3-1 (Uniform Net Capital Rule).