Agenda packet, regular meeting — Morro Bay City Council, October 13, 2026 (part 1 of 2)

CITY OF MORRO BAY
City Council Regular Meeting Agenda

Tuesday, October 13, 2026, 5:30 p.m.

Veterans Memorial Hall
209 Surf St., Morro Bay, CA
Public Participation
Public participation is offered in the following ways:
• Community members may attend the meeting in person at the Morro Bay Veterans Hall.

Alternatively, members of the public may watch the meeting and speak during general Public Comment or on a specific agenda item by logging into the Zoom webinar using the information provided below. Please use the "raise hand" feature to indicate your desire to provide public comment.
•
• Zoom webinar link: https://us02web.zoom.us/j/82429164990 Or Telephone Attendee: 1 (669) 444-9171 or 1 (669) 900-9128 or 1 (346) 248-7799; Webinar ID: 824 2916 4990. Press *9 to raise hand for public comment. •
• Meetings are also livestreamed on the City's website.

Community Members are encouraged to submit agenda correspondence via email to the City Council at [email protected] prior to the meeting. Agenda correspondence received by 10:00 a.m. on the meeting day will be posted on the City website.
•
Pages

1. ESTABLISH QUORUM AND CALL TO ORDER

2. PLEDGE OF ALLEGIANCE

3. REPORTS

3.a Closed Session Report

3.b Mayor and Councilmembers' Reports, Announcements and Presentations

3.c City Manager Reports, Announcements and Presentations

3.d Subcommittee Reports - Verbal Update of Current Subcommittee Activities

1. Water Reclamation Facility & Morro Bay / Cayucos Sanitary District JPA

2. Morro Bay Power Plant (Vistra)

3. Morro Elementary School

4. RECOGNITION AND PRESENTATIONS
None.

5. PUBLIC COMMENT
Members of the audience wishing to address the Council on City business matters not on the agenda may do so at this time. For those desiring to speak on items on the agenda, but unable to stay for the item, may also address the Council at this time.

Public comment is an opportunity for members of the public to provide input to the governing body. To increase the effectiveness of the Public Comment Period, the City respectfully requests the following guidelines and expectations be followed:
•
Those desiring to speak are asked to complete a speaker slip, which are located at the entrance, and submit it to the City Clerk. However, speaker slips are not required to provide public comment.
•
When recognized by the Mayor, please come forward to the podium to speak.

Though not required, it is helpful if you state your name, city of residence and whether you represent a business or group. Unless otherwise established by the Mayor, comments are to be limited to three minutes. •
All remarks should be addressed to Council, as a whole, and not to any individual member thereof.
•
The Council respectfully requests that you refrain from making slanderous, profane or personal remarks against any elected official, commission and/or staff.
•
Please refrain from public displays or outbursts such as unsolicited applause, comments or cheering.
•
Any disruptive activities that substantially interfere with the ability of the City Council to carry out its meeting will not be permitted and offenders will be requested to leave the meeting.
•
Your participation in City Council meetings is welcome and your courtesy will be appreciated.
•
The Council in turn agrees to abide by its best practices of civility and civil discourse according to Resolution No. 07-19.
•

6. CONSENT AGENDA
Unless an item is pulled for separate action by the City Council, the following actions are approved without discussion. The public will also be provided an opportunity to comment on consent agenda items.

Recommended Action
Approve Consent Agenda Items 6.a through 6.e as submitted.

6.a Approval of Minutes
(City Clerk)
Recommended Action
Approve as submitted.

1. September 22, 2026 - Regular Council Meeting 6

2. September 22, 2026 - Special Closed Session Meeting 12

6.b Approval of Proclamations
(City Clerk)

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1. Domestic Violence Awareness Month 13

6.c Approval of Resolution No. 50-26 Authorizing the City of Morro Bay to Enter Into a Fiscal Year (FY) 2026-27 Boating Safety and Enforcement Equipment Grant (BSEE) Contract
14 (Harbor Department)
Recommended Action
Adopt Resolution No. 50-26, authorizing the Harbor Business Manager to execute and act as the City’s agent for the attached FY 2026-27 BSEE Agreement # C26L0602 with the State of California Department of Parks and Recreation, Division of Boating and Waterways (DBW) in the amount of $170,000 for a vessel re-power.

6.d Direction to Proceed with Due Diligence to Convert Existing Park Space into Four Additional Pickleball Courts in Del Mar Park
65 (City Manager)
Recommended Action
Staff recommends the City Council direct staff to take the following steps on the proposed conversion of the two existing tennis courts at Del Mar Park into four pickleball courts:

Prepare a concept plan and cost estimate for the conversion, including resurfacing.

1. Present the concept to the Recreation and Parks Commission for public input and a recommendation, including the process required for approvals.

2. Return to Council with the RPC's recommendation on this proposal, the cost estimate, and a proposed funding source.

3. 6.e Adoption of Resolution No. 51-26 approving Amendment No. 1 to Commercial Lease between the City of Morro Bay and Morro Dunes Trailer Park & Campgrounds Inc. for 1700 Embarcadero
67 (City Attorney)
Recommended Action
Adopt Resolution No. 51-26 approving lease amendment for Morro Dunes RV Park (Morro Dunes) located at 1700 Embarcadero.

7. PUBLIC HEARING ITEMS
None.

8. BUSINESS ITEMS

8.a Award of Contract to Westrock General Engineering for the 2026 Pavement Rehabilitation Project, Authorize a Professional Services Agreement with Filippin Engineering for
75 Construction Management Services, and receive an update on the Pavement Management Program
(Public Works Department)

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Recommended Action
Staff recommend the City Council:

Authorize the City Manager to execute a contract with Westrock General Engineering for the 2026 Pavement Rehabilitation Project for a total of $3,115,340, subject to final approval as to form by the City Attorney prior to full execution, and approve 10% in contingencies, authorizing the Public Works Director to execute contract change orders not to exceed $311,153. This action would also reject the bid protest filed by Souza Construction.

1. Authorize the City Manager to execute a professional services agreement with Filippin Engineering in an amount not to exceed $430,580 for Construction Management and Inspections Services for the 2026 Pavement Rehabilitation Project, subject to final approval as to form by the City Attorney prior to full execution, and approve 10% in contingencies, authorizing the Public Works Director to execute amendments not to exceed $43,058.

2. 3. Receive an update to the Pavement Management Program.

8.b Discussion Regarding Usage of Motorola Automated License Place Reader (ALPR) Cameras
205
(City Manager / Police Department)
Recommended Action
Receive and file this report regarding the City's Automated License Plate Recognition (ALPR) program; and direct staff to continue operating the City's ALPR program under the existing Motorola Vigilant Solutions Enterprise Service Agreement and Police Department policy.

8.c Approval of Seller Financing with the San Luis Coastal Unified School District for the Morro Elementary School Site Purchase
234
(City Manager / City Attorney)
Recommended Action
Approve the First Amendment to the Agreement for Purchase and Sale of Real Property with the San Luis Coastal Unified School District (District);

1. Approve the Loan Agreement with the District for $4,800,000 in seller-carried financing (Attachment 2); and

2. Authorize the City Manager to sign both documents and any related loan documents and take such other actions and execute documents necessary to complete the acquisition, subject to review and approval by the City Attorney as to form and legal effect.

3. 8.d Council Subcommittee on Morro Elementary Deliverables and Anticipated Timeline
256
(City Manager / City Attorney)
Recommended Action

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1. Receive the subcommittee's proposed work plan.

Discuss whether the areas identified in this report should be added to the subcommittee's analysis over the coming four to six months.

2. Provide direction on staff support, dates for interim progress updates, and a date for the subcommittee's final report to the full Council.

3. 9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS

10. ADJOURNMENT
The next Regular Meeting will be held on October 27, 2026.

This agenda is subject to amendment up to 72 hours prior to the date and time set for the meeting. Please refer to the agenda posted at City Hall, 595 Harbor Street, Morro Bay, CA 93442 for any revisions or call the Clerk's office at (805) 772-6205 for further information.

Materials related to an item on this agenda submitted to the City Council after distribution of the agenda packet are available for public inspection upon request by calling the City Clerk's office at (805) 772-6205.

In compliance with the Americans Disability Act, if you need special assistance to participate in a City meeting, please contact the Clerk's office 24 hours prior to the meeting to insure reasonable arrangements can be made to provide accessibility to the meeting.

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1 MINUTES - MORRO BAY CITY COUNCIL

REGULAR MEETING
September 22, 2026, 5:30 p.m.

Veterans Memorial Hall
209 Surf St., Morro Bay, CA
Members Present: Mayor Carla Wixom
Council Member Jeff Eckles
Council Member Cyndee Edwards
Council Member Zara Landrum
Council Member Bill Luffee
Staff Present: City Manager John Craig
City Attorney Brian Stack
City Clerk Dana Swanson
Finance Director Emily Conrad
Public Works Director David LaCaro
Community Development Director Airlin Singewald
Police Chief Amy Watkins
Fire Chief Dan McCrain
Harbor Director Chris Munson
_____________________________________________________________________

1. ESTABLISH QUORUM AND CALL TO ORDER
Mayor Wixom called the meeting to order at 5:33 p.m. with all members present.

2. PLEDGE OF ALLEGIANCE

3. REPORTS

3.a Closed Session Report
City Attorney Stack announced the Council met in closed session to discuss one item: Public Employee Performance Evaluation of the City Manager. No reportable action was taken under the Brown Act.

3.b Mayor and Councilmembers' Reports, Announcements and Presentations

3.c City Manager Reports, Announcements and Presentations

3.d Subcommittee Reports - Verbal Update of Current Subcommittee Activities None.

1. Water Reclamation Facility & Morro Bay / Cayucos Sanitary District JPA

2. Morro Bay Power Plant (Vistra)

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2 3. Morro Elementary School

4. RECOGNITION AND PRESENTATIONS
None.

5. PUBLIC COMMENT
 Linda Winters, Morro Bay, provided a Lions' Club activity update regarding Monday Night Dinners and volunteer support for the Avocado Margarita Festival.

She also announced the Lions' Club and Morro Bay Police Department are partnering to serve dine-in and home delivery meals for this year's Thanksgiving Dinner on November 25th.
 Kendall Welch, Morro Bay Maritime Museum, announced Maritime Movie Night, Monday, October 12th at 5:30pm at the Bay Theatre. Tickets are available at the Maritime Museum store and morrobaymaritime.org.
 Sydney Ramos, Morro Bay, shared her concerns regarding ALPRs and appreciated the Council adding the discussion item to the October 13th agenda.  Michelle Howard-Leicester, Morro Bay, expressed concern about the City's use of ALPR cameras and requested the City terminate the contract and remove the cameras.
 Barry Branin, Morro Bay, suggested the City review the fee schedule for water and sewer funds to consider whether the surcharge can be removed.  Margaret Carman, Morro Bay, appreciated the Council's recent discussion and decision to not support the alliance model for emergency medical transport and shared conversations she recently had with retired EMT and fire personnel.  Nicole Dorfman, Morro Bay, encouraged those who haven't visited Morro Elementary to attend the September 23rd site tour and appreciated residents who worked to pass Measure A-24.
 Betty Winholtz, Morro Bay, appreciated the Sea Otter and Day of Peace Proclamations, and Council's recent discussion of the proposed alliance model for emergency medical transport.

End of public comment.

Mayor Wixom opened public comment for items on the Consent Agenda:
 Betty Winholtz, Morro Bay, commented on Item 6.c, adding her support for the City of Murietta's resolution and suggested a study session be convened to see how cities can work together to preserve our planning ability.  Nicole Dorfman, Morro Bay, supported the League of California Cities resolution to increase in local control. Regarding Item 6.b, she shared concerns regarding

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3 the Day of Peace Proclamation and suggested striking the final whereas statement.
 Margaret Carman, Morro Bay, offered comments on Item 6.d.  Ruth Ann Angus, Morro Bay resident and Director of Yes We Can Peace Builders, provided historical context and thanked the Council for issuing the Day of Peace Proclamation for a 3rd time.

End of public comment.

Mayor Wixom pulled Item 6.b.2. Council Member Landrum pulled Item 6.c.

Motion by Mayor Wixom
Seconded by Council Member Luffee
Approve Consent Agenda Items 6.a, 6.b.1, and 6.d as submitted.

Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)

6.a Approval of Minutes
Approve as submitted.

1. September 8, 2026 - Regular Council Meeting

2. September 8, 2026 - Special Closed Session Meeting

6.b Approval of Proclamations

1. Sea Otter Awareness Day Proclamation

2. Day of Peace and Peace/Non-Violence Month Proclamation In light of the concerns raised during public comment, Mayor Wixom suggested removing the last whereas statement and moving approval as amended. Council Member Eckles was not supportive of bringing forward proclamations that touch on global politics and shared concerns about the requesting group's activities.

Motion by Mayor Wixom
Seconded by Council Member Luffee
Approve with the last whereas statement removed from the proclamation.

Ayes (3): Mayor Wixom, Council Member Edwards, and Council Member Luffee
Noes (2): Council Member Eckles, and Council Member Landrum CARRIED (3 to 2)

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4 6.c Authorize the City's Voting Delegate and/or Alternate(s) to Vote In Favor of the Resolution being presented at League of California Cities 2026 Annual Conference Business Meeting
Council Member Landrum wished to clarify approval of this item authorizes the City's voting delegate to vote yes on the proposed Resolution being presented at the League of California Cities Annual Business Meeting.

Motion by Council Member Landrum
Seconded by Council Member Luffee
Authorize the City’s Voting Delegate, and/or Alternate(s), to Vote in Favor of the Resolution being presented at League of California Cities 2026 Annual Conference Business Meeting, “A Resolution of the General Assembly of the League of California Cities Calling for a Working Group to Consider a State Constitutional Amendment or Other Form of Initiative to Ensure Final Local Authority Over Housing and Land Use Decisions.”
Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)

6.d Approval of Resolution No. 49-26 Authorizing Execution of a Deed and Lease Restriction and Certificate of Acceptance for Lease Site 49-52/49W52W (Bayside Landing Inc. located at 431, 451 and 495 Embarcadero) to Incorporate California Coastal Commission Permit Conditions Adopt Resolution No. 49-26 conditionally authorizing the City Manager to execute a Deed and Lease Restriction, subject to approval of form by the City Attorney, and Certificate of Acceptance for Lease Site 49-52/49W-52W with Bayside Landing, Inc., located at 431, 451 and 495 Embarcadero Road, in order to incorporate the California Coastal Commission permit conditions for the redevelopment of the site into the property deed and lease.

Authorize staff to perform due diligence to confirm that the deed restriction meets State Lands Commission requirements, does not limit use of the lease site beyond the condition’s intent, and forms are accurate and complete prior to submission to the County Clerk.

7. PUBLIC HEARING ITEMS
None.

8. BUSINESS ITEMS

8.a Discussion regarding Post-Closing Visioning and Entitlement Process for the Morro Elementary School Property (Section I), pending historic nomination (Section II), and provide direction as necessary City Manager Craig and City Attorney Stack presented the report and responded to Council inquiries.

Mayor Wixom opened public comment for Item 8.a.

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5  Jim Gross, Morro Bay, supported the Option 3 committee approach including members with expertise to help us understand how we can finance renovation and use the property in various ways without compromising community character. He urged the Council to find a way to meld this option while allowing the subcommittee to remain involved with appropriate admonitions and instructions to avoid violating the Brown Act.
 D'Arcy Castro, Friends of Morro Elementary, supported Option 1 with Council Members Landrum and Luffee continuing their work on the subcommittee. She urged the City to submit letter of support for the historic nomination and request the District withdraw its letter of opposition before close of escrow.
 Betty Winholtz, Morro Bay, sought clarification on the purpose and anticipated timeline for this next step and hoped the process would consider and balance diverse opinions about how the property should be used.
 Barry Branin, Morro Bay, suggested a non-Brown Act committee approach including experienced builders, financing, banking, parks and recreation who would bring recommendations to the City Manager.  Nicole Dorfman, Morro Bay, spoke in support of Option 1 to keep the initial site planning discussion closest to the elected accountability, and was in favor of the City writing a letter in favor of the historic preservation and requesting School District retract their opposition.  Christi VanCleve, Morro Bay resident and licensed architect, supported Option 1 and was committed to continuing to offer her professional advice and bringing other experts to the City as needed on a pro bono basis.  Margaret Carman, Morro Bay, spoke in favor of an approach that provides transparency and comprehensive public input with local control of housing requirements that work for our community.
 Judy Setting, Morro Bay, encouraged the City to write a letter of support to State Historic Preservation Office and requested the current subcommittee transition to become members of a City Civic Center Restoration and Adaptive Reuse Oversight Committee made of up to 9 members.
 Tunde Banffy-Stapleton, Morro Bay, supported Option 1 with Council Members Landrum and Luffee as subcommittee members, requested the City submit a letter of support to the State Historical Resources Commission and ask the District to kindly withdraw their preliminary letter of opposition.

End of public comment.

The Council took a brief recess at 7:13 p.m. and reconvened at 7:22 p.m. with all members present.

Staff responded to additional Council questions.

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6 There was full Council support to direct staff to prepare and send a support letter for the historic nomination and request the School District withdraw their preliminary letter of objection.

Following discussion, there was Council consensus to have the subcommittee work with staff to develop an outline of the deliverables, proposed schedule, opportunity for public input (in person and online), and regular Council check-ins to the October 13th meeting for discussion and final approval.

Motion by Council Member Landrum
Seconded by Council Member Luffee
Move forward with option 1, with Subcommittee Members Landrum and Luffee leading multiple listening sessions with subject matter experts including input from a financer, special events, recreation and parks.

Ayes (5): Mayor Wixom, Council Member Eckles, Council Member Edwards, Council Member Landrum, and Council Member Luffee
CARRIED (5 to 0)

9. COUNCIL DECLARATION OF FUTURE AGENDA ITEMS
Council Member Landrum requested and received support to direct the Public Works Advisory Board to review the water and sewer fee schedule.

10. ADJOURNMENT
The meeting adjourned at 8:08 p.m.

Respectfully submitted,
/s/ Dana Swanson, City Clerk

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1 MINUTES - MORRO BAY CITY COUNCIL

CLOSED SESSION MEETING
September 22, 2026, 4:00 p.m.

City Hall Conference Room
595 Harbor Street, Morro Bay, CA
Members Present: Mayor Carla Wixom
Council Member Jeff Eckles
Council Member Cyndee Edwards
Council Member Zara Landrum
Council Member Bill Luffee
Staff Present: City Manager John Craig
_____________________________________________________________________

1. ESTABLISH QUORUM AND CALL TO ORDER
Mayor Wixom called the meeting to order at 4:00 p.m. with all members present.

2. CLOSED SESSION PUBLIC COMMENT
Mayor Wixom opened public comment for items on the agenda; seeing none, the public comment period was closed.

3. SUMMARY OF CLOSED SESSION ITEMS

4. THE COUNCIL WILL CONVENE IN CLOSED SESSION

4.a PUBLIC EMPLOYEE PERFORMANCE EVALUATION
Conduct an employee evaluation of the City Manager pursuant to Government Code Section 54957.

5. RECONVENE IN OPEN SESSION
The City Council reconvened in Open Session. The Council did not take any reportable action in accordance with the Brown Act.

6. ADJOURNMENT
The meeting adjourned at 5:18 p.m.

Respectfully submitted,
/s/ Dana Swanson, City Clerk

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A PROCLAMATION OF THE CITY COUNCIL

OF THE CITY OF MORRO BAY, CALIFORNIA
RECOGNIZING OCTOBER 2026 AS NATIONAL

DOMESTIC VIOLENCE AWARENESS MONTH

CITY COUNCIL
City of Morro Bay, California
WHEREAS, Domestic Violence Awareness Month calls attention to the fact sexual assault is widespread and impacts every person in Morro Bay; and WHEREAS, Lumina Alliance provides essential, lifesaving services for survivors of sexual assault and/or intimate partner violence, their children, and families throughout San Luis Obispo County including Morro Bay; and
WHEREAS, domestic violence can result in physical injury, psychological trauma, and even death, with consequences that can cross generations and last a lifetime. National data shows that more than 1 in 3 women and more than 1 in 6 men experience intimate partner violence in their lifetimes, meaning tens of thousands of San Luis Obispo County residents may be impacted by intimate partner violence over the course of their lives; and WHEREAS, there is a need to focus on the individualized needs of domestic violence survivors; and
WHEREAS, the marginalization of certain groups in society, including undocumented individuals, transgender individuals, and those living with disabilities, increases their vulnerability to domestic violence; and
WHEREAS, Lumina Alliance continues to provide no-cost services to those affected by domestic violence with a 24-hour crisis line, advocacy, therapy, transitional and emergency housing, and prevention education, with the help of dedicated volunteers and professionals; and WHEREAS, Lumina Alliance served 1,126 clients and provided 16,307 services this year, while responding to growing community need, including a 27% surge in crisis line calls, from 2,800 to over 3,500 calls. Housing placements increased from 210 to 224 individuals served, with children accounting for nearly half of those housed, including 106 young people finding safe shelter through our programs; and
WHEREAS, Lumina Alliance works to create a safe, thriving and equitable community for all; and
WHEREAS, the City of Morro Bay strongly supports the efforts of Lumina Alliance, how every segment of our society can work together to address domestic violence, and how to help survivors connect with services.

NOW, THEREFORE, BE IT RESOLVED that the Morro Bay City Council, in recognition of the important work done by domestic violence programs, does hereby proclaim the month of October to be National Domestic Violence Awareness Month.

IN WITNESS WHEREOF I have hereunto
set my hand and caused the seal of the City
of Morro Bay to be affixed this 13th day of
October 2026
______________________________
CARLA WIXOM, Mayor
City of Morro Bay, California

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Prepared By: LT Dept Review:

City Manager Review: JC City Attorney Review: BS
Staff Report
TO: Honorable Mayor and City Council DATE: September 29, 2026 FROM: Lori Thompson, Harbor Business Manager
SUBJECT: Approval of Resolution No. 50-26 Authorizing the City of Morro Bay to Enter Into a Fiscal Year (FY) 2026-27 Boating Safety and Enforcement Equipment Grant (BSEE) Contract

RECOMMENDED ACTION
Adopt Resolution No. 50-26, authorizing the Harbor Business Manager to execute and act as the City’s agent for the attached FY 2026-27 BSEE Agreement # C26L0602 with the State of California Department of Parks and Recreation, Division of Boating and Waterways (DBW) in the amount of $170,000 for a vessel re-power.

ALTERNATIVES
The Council could not accept this grant and direct staff accordingly.

FISCAL IMPACT
Approval of this $170,000 grant agreement will supplement the cost to re-power our primary rescue and enforcement patrol boat 3864 to purchase replacement engines and transom assemblies.

BACKGROUND
Over the years, the Harbor Department has successfully obtained hundreds of thousands of dollars in BSEE grants from DBW to support the purchase of patrol vessels, engine repowers, rescue watercraft, trailers, and other equipment needed to support Harbor Patrol operations. Based on the Harbor Department’s ongoing equipment needs and previous success with the BSEE grant program, staff consulted with DBW and were encouraged to submit an application for grant funding for the equipment identified in this request.

DISCUSSION
The Morro Bay Harbor Department has applied for and received a notice of a grant award of $170,000 from the BSEE program to support the re-power and modernization of its primary patrol vessel, a 29- foot Radon twin-engine vessel (CF 5532 XC). This vessel is the Department’s primary enforcement, search and rescue (SAR) and marine firefighting asset, it conducts the highest number of annual patrol hours in the fleet.

The vessel has been in continuous year-round service since 2013 with approximately 8,000 engine hours and minimal maintenance downtime. Due to this level of use, the Department’s mechanic has recommended replacement of the engines, transmissions, transom/gimbal assemblies along with related components, as they have reached the end of their useful life for a public safety asset.

The Department is planning to complete approximately $255,000 in upgrades in addition to this grant, AGENDA NO: 6.c
MEETING DATE: October 13, 2026

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2 which includes structural inspection, fiberglass repair, updated electronics, repainting, and improvements to the firefighting system, returning the vessel to a reliable, like-new condition.

Morro Bay frequently experiences small craft advisories, strong currents, and large surf conditions.

In 2025, the Harbor Department responded to 49 search and rescue cases, many occurring in these high-risk environments. Reliable propulsion is essential to ensure safe and timely response and to reduce risk to both the public and responders.

CONCLUSION
The complete repower and refit of the Harbor Department’s primary rescue and enforcement patrol vessel is estimated to cost approximately $437,652. The BSEE grant represents a portion of the funding needed to complete the project and will help offset the overall cost to the City.

Completion of the repower and refit will extend the useful service of the vessel and help ensure it remains available for boating safety patrols, enforcement activities, boater assistance, search and rescue, and other emergency response operations. Acceptance of the BSEE grant funding will provide the City with an important funding resource toward completing this necessary equipment replacement and support the Harbor Department’s continued commitment to public safety and reliable emergency response services on the waters of Morro Bay.

ATTACHMENTS

1. Resolution No. 50-26

2. DBW Grant Agreement # C26L0602

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RESOLUTION NO. 50-26

RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF MORRO BAY, CALIFORNIA
AUTHORIZING THE CITY OF MORRO BAY TO ENTER INTO A 2026/2027 BOATING

SAFETY AND ENFORCEMENT EQUIPMENT GRANT CONTRACT WITH STATE OF

CALIFORNIA DEPARTMENT OF PARKS AND RECREATION,

DIVISION OF BOATING AND WATERWAYS

T H E C I T Y C O U N C I L
City of Morro Bay, California
WHEREAS, the City of Morro Bay applied for a 2026/2027 Boating Safety and Enforcement Equipment (BSEE) Grant from the State of California Department of Parks and Recreation, Division of Boating and Waterways (DBW) in the amount of $170,000; and WHEREAS, DBW awarded the City of Morro Bay a BSEE grant in the amount of $170,000, which will allow the City the ability to utilize the funds to re-power the Harbor Departments primary rescue and enforcement boat 3864.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro Bay, California, as follows:

1. The City is hereby authorized to enter into the BSEE grant contract agreement # C26L0602 in the amount of $170,000 for the purchase of replacement engines and transom assemblies.

2. Harbor Business Manager Lori Thompson, or designee, is hereby authorized to act as the City’s agent in regard to all aspects of the grant contract agreement, including but not limited to approval and execution of necessary and related documents on behalf of the City.

PASSED AND ADOPTED by the City Council of the City of Morro Bay at a regular meeting thereof held on the 13th day of October 2026 on the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSE:
______________________________
CARLA WIXOM, Mayor
ATTEST:
_____________________________
DANA SWANSON, City Clerk

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State of California – Natural Resources Agency

DEPARTMENT OF PARKS AND RECREATION

DIVISION OF BOATING AND WATERWAYS

GRANT AGREEMENT
GRANTEE: City of Morro Bay Harbor Department
GRANT TITLE: Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 GRANT NUMBER: C26L0602
GRANT AMOUNT: $170,000.00
GRANT AGREEMENT TERM: October 1, 2026 (or the date signed by the Department whichever comes later) through September 30, 2034
GRANT PERFORMANCE PERIOD: October 1, 2026 (or the date signed by the Department whichever comes later) through September 30, 2027.

The Grantee agrees to the terms and conditions of this contract, hereinafter referred to as Agreement, and the State of California, acting through its Director of the Department of Parks and Recreation, and pursuant to the State of California agrees to fund the total state grant amount indicated below. The GRANTEE agrees to complete the SCOPE OF WORK as defined in the Agreement.

The following are attached and made a part of and incorporated into this grant agreement: Exhibit A Grant Terms and Conditions, Exhibit B General Terms and Conditions, Exhibit C Contractor Certification Clauses, Exhibit D Doing Business with California, Exhibit E Darfur Contracting Act, Exhibit F Recycled Content Certification, and Exhibit G Scope of Work/Budget (Application).

This grant award is funded by the U.S. Coast Guard from the Sport Fish Restoration and Boating Trust Fund CFDA 97.012, administered by California Department of Parks and Recreation, Division of Boating and Waterways. The Federal FY 26 award, 70Z02326MO0001006 issued February 10, 2026 to California is $4,962,116. This is not a research and development grant.

Grantee: City of Morro Bay Harbor Department
Address: 1275 Embarcadero,
Morro Bay, CA 93422
Name of
Authorized
Representative:

Title of Authorized
Representative:

Authorized Signature:

Date:

Agency: Department of Parks and Recreation
Division of Boating and Waterways
ATTN: Johanna Naughton
Address: 4940 Lang Ave., Dock H,
Administration, Floor 12
McClellan, CA 95652
Authorized Signature:

Printed Name: Keren Dill
Title: Staff Services Manager II
Date:

Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 1 of 48

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CERTIFICATE OF FUNDING
(FOR STATE USE ONLY)
GRANTEE: City of Morro Bay Harbor Department
GRANT TERM END DATE: September 30, 2034
GRANT TITLE: BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANT PROGRAM GRANT NUMBER: C26L0602
PURCHASE ORDER NUMBER:

NO
C26L0602

AMENDMENT NO SUPPLIER ID
0000038374

PROJECT NO
379065600200
AMOUNT

ENCUMBERED BY

THIS DOCUMENT
$170,000.00

FUND DESCRIPTION
Federal Trust Fund #0890

AGENCY BILLING CODE NO
053706

REPORTING

STRUCTURE
37900706
ITEM
3790-101-0890

CHAPTER
19 STATUTE
26 FISCAL YEAR
2026/27

BUSINESS UNIT
3790

ACCOUNT
5432000

ALT ACCOUNT ACTIVITY CODE
69339
Name of Project Representative:

Phone:

Email:

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STATE OF CALIFORNIA
Department of Parks and Recreation, Division of Boating and Waterways PO Box 942896 Floor 12
Sacramento, CA 94296
_________________________________________________________________________________

BOATING SAFETY AND ENFORCEMENT EQUIPMENT (BSEE)
FISCAL YEAR 2026/27

PROJECT REPRESENTATIVES
State Agency:

Division of Boating and Waterways
Grantee (Agency Name):

City of Morro Bay Harbor Department
Name: Johanna Naughton Grantee Representative*: Lori Thompson Title: Program Administrator Title: Harbor Manager
Address:
4940 Lang Ave., Dock H, Administration, Floor 12
McClellan, CA 95652
Mailing Address:
1275 Embarcadero,
Morro Bay, CA 93422
Remit to Address:

Phone: (916) 902-8795 Phone: (805) 772-6254
Fax: Fax: (805) 772-6258
Email: [email protected] Email: [email protected] * Grantee representative information may only be changed by giving 30 days written notice to DBW.

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EXHIBIT A

BOATING SAFETY
AND

ENFORCEMENT EQUIPMENT

GRANT AGREEMENT
City of Morro Bay Harbor Department
C26L0602
State of California
Department of Parks and Recreation
Division of Boating and Waterways
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 4 of 48

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INDEX

DESCRIPTION PAGE

EXHIBIT A GRANT TERMS AND CONDITIONS

1. DEFINITIONS ................................................................................................................. 6

2. GENERAL ...................................................................................................................... 6

3. PAYMENT PROVISIONS AND DISBURSEMENT OF GRANT ....................................... 8

4.EQUIPMENT/PATROL BOAT OWNERSHIP ................................................................... 9

5. OPERATION AND MAINTENANCE OF EQUIPMENT/PATROL BOAT .......................... 9

6. TERMINATION OF GRANT AGREEMENT ..................................................................... 9

7. REVERSION OF EQUIPMENT/PATROL BOAT TO DEPARTMENT .............................. 10

8. LIABILITY ..........;.............................................................................................................. 10

9. WAIVER OF RIGHTS ..................................................................................................... 11

10. REMEDIES NOT EXCLUSIVE ........................................................................................ 11

11. OPINIONS AND DETERMINATIONS .............................................................................. 11

12. PROCUREMENT PROCEDURES ................................................................................... 11

13. DISPOSITION OF EQUIPMENT/PATROL BOAT ............................................................ 12

14. DISPOSITION OF PROCEEDS FROM SALE OF EQUIPMENT INSTALLED AND PARTIALLY FUNDED EQUIPMENT ..................................................................... 12 15. FEDERAL TERMS, CONDITIONS AND REGULATIONS ................................................. 12

16. COMPLIANCE WITH LAW, REGULATION AND POLICY ................................................. 12 EXHIBIT B GENERAL TERMS AND CONDITIONS ............................................................ 16 EXHIBIT C CONTRACTOR CERTIFICATION CLAUSES .................................................. 20 EXHIBIT D DOING BUSINESS WITH THE STATE OF CALIFORNIA ................................ 22 EXHIBIT E DARFUR CONTRACTING ACT ........................................................................ 24 EXHIBIT F RECYCLED CONTENT CERTIFICATION ........................................................ 26 EXHIBIT G SCOPE OF WORK/BUDGET (APPLICATION) ................................................ 27 Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 5 of 48

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EXHIBIT A

GRANT TERMS AND CONDITIONS

1. DEFINITIONS
A. "DEPARTMENT": The Department of Parks and Recreation, Division of Boating and Waterways (DBW).

B. "EFFECTIVE DATE": The date the GRANT AGREEMENT face page is signed by the DEPARTMENT’.

C. "EQUIPMENT": Boating–specific equipment or other equipment used to implement or conduct boating safety and boating law enforcement activities.

D. "GRANT": Funds provided by the DEPARTMENT, from the federal Recreational Boating Safety (RBS) Grant, to the GRANTEE to finance all or part of the PURCHASE COSTS for items that assist in meeting the purposes of the Boating Safety Equipment and Enforcement (BSEE) and RBS programs.

E. "GRANT AGREEMENT": The contract to which these grant terms and conditions are attached.

F. "GRANT AGREEMENT TERM": The timeframe for which the GRANTEE must comply with the obligations and responsibilities identified in this GRANT AGREEMENT.

G. "GRANT PERFORMANCE PERIOD": The timeframe specified on the grant agreement face page which includes the agreement start date (effective date) and final date for purchasing and receiving equipment. .

H. "GRANTEE": The person or entity identified as the Grantee on the face page of the Agreement.

I. "GRANTEE FUNDS": Any funds provided by the GRANTEE for the purchase or operation and maintenance of the EQUIPMENT/PATROL BOAT.

J. "PATROL BOAT": A DEPARTMENT approved, registered vessel purchased for use in boating safety and law enforcement activities.

K. "PURCHASE COSTS": Those costs incurred by the GRANTEE in purchasing the EQUIPMENT/PATROL BOAT; such PURCHASE COSTS shall not include any operation or maintenance costs, nor any costs incurred prior to the EFFECTIVE DATE of this GRANT AGREEMENT, nor any indirect or overhead costs claimed by the GRANTEE.

2. GENERAL
A. The funding available in this GRANT shall not exceed the amount specified in this GRANT AGREEMENT and shall be used for the purchase of EQUIPMENT and/or PATROL BOAT for Boating Safety and Enforcement activities in accordance with all Exhibits incorporated and referenced herein.

B. GRANT AGREEMENT TERM shall begin on the GRANT PERFORMANCE PERIOD start date and shall continue for the following lengths of time after granted items are received by the GRANTEE unless terminated in accordance with the terms and conditions of this GRANT AGREEMENT: fifteen [15] years for PATROL BOATS and all registered vessels and seven (7) years for EQUIPMENT.

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C. No amendment of the terms of this GRANT AGREEMENT shall be valid unless made in writing and signed by an authorized representative or designee of the DEPARTMENT and the GRANTEE.

D. No variation of the terms of this GRANT AGREEMENT shall be valid unless made in writing and signed by an authorized representative or designee of the DEPARTMENT.

E. Oral understandings are not binding on any of the parties.

F. EQUIPMENT/PATROL BOAT purchase shall be completed prior to the end of the PERFORMANCE PERIOD.

G. GRANTEE hereby certifies that the obligations created by this GRANT AGREEMENT do not violate the provisions of Sections 1090 to 1096 of the Government Code.

H. This GRANT AGREEMENT is not fully executed until signed by the DEPARTMENT.

Grantee may not make any purchases until GRANT AGREEMENT is fully executed and equipment specifications and cost estimates have been approved in writing by the DEPARTMENT.

I. GRANTEE hereby certifies that during the performance of this GRANT AGREEMENT, GRANTEE and any sub-grantees shall fully comply with State regulations regarding the implementation of Disabled Veteran business participation goals as set forth in Disabled Veteran Business Enterprise Participation Requirements, Recycling Certification and Contractor Certification Clauses.

J. GRANTEE shall continue with the responsibilities of this GRANT AGREEMENT during any dispute.

K. Failure by the GRANTEE to comply with the terms of any Department of Parks and Recreation grant agreement may jeopardize the grantee's ability to be awarded funding in future grant opportunities offered by the Department of Parks and Recreation.

L. Subvention agencies: GRANTEES participating in the DEPARTMENT’S Subvention Financial Aid Program acknowledge and certify that failure to fully spend subvention funding in the prior fiscal year will negatively impact the DEPARTMENT’S consideration of future grant applications from your agency for up to three (3) years.

M. Annual Reports: Grantee shall submit an Annual Report beginning August 31st, 2026 and each and every year by August 31 for the term of this agreement (15 years for registered vessels or 7 years for all other equipment). Reports shall include maintenance records, number of hours BSEE equipment is used, additional equipment or modifications of any equipment or patrol boats, any loss or damage to equipment or patrol boat and a summary of boating accident reports submitted during the reporting year. Failure to submit annual reports by the deadline may jeopardize future funding.

N. GRANTEE is required to participate in at least one (1) outreach event per year, such as Operation Dry Water, to conduct boating under the influence (BUI) checkpoints and educate boaters on the importance of boating sober. Grantee must identify what event it has participated in in its annual report.

O. GRANTEE shall submit accident reports to DBW within 30 days of responding to a boating accident in waterbodies within GRANTEE’S area of responsibility. Failure to do so may jeopardize future DBW and Department funding for up to five (5) years in accordance with HNC 656(d)(2).

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P. GRANTEE, representatives, agents or employees shall not act or represent themselves as officers, employees or agents of the DEPARTMENT in the performance of this GRANT AGREEMENT.

3. PAYMENT PROVISIONS AND DISBURSEMENT OF GRANT
A. Reimbursements must be requested on GRANTEE’S official agency letterhead and include:
• Amount requested for reimbursement
• GRANT AGREEMENT number
• Statement of acceptance of the vessel or equipment and certification of meeting DBW’s approved specifications
• Certification that you complied with all procurement procedures outlined this agreement;
• Name of payee and address where payment is to be sent • Location of performance (where the equipment will be used) • Signature of the person authorized in the resolution or minute order to execute the agreement
• Copies of brand name, description, make, model and serial number • Proof of payment for purchase including invoices showing cost and sales tax • For all motorized vessels: Department of Motor Vehicle (DMV) proof showing the DEPARTMENT as the legal owner and GRANTEE as the registered owner
• Certificate of Origin for all PATROL BOATS and trailers.

B. GRANTEE shall request grant reimbursements no later than 60 days from GRANT PERFORMANCE PERIOD end date by mailing one (1) complete reimbursement request package to:

For FedEX, UPS and other overnight mail:

Division of Boating and Waterways
Attn: BSEE Grant Manager
4940 Lang Avenue Dock H
McClellan, CA 95652
For United States Post Office (USPS) mail:

Division of Boating and Waterways
Attn: BSEE Grant Manager
P.O. Box 942896, Administration, Floor 12
Sacramento, CA 94296
Or by emailing to the DBW assigned grant manager.

C. No funds shall be reimbursed for purchases made prior to the EFFECTIVE DATE of this agreement.

D. The DEPARTMENT shall have no obligation to disburse the GRANT unless and until the GRANTEE obtains the prior written approval by the DEPARTMENT of the type and cost of the EQUIPMENT/PATROL BOAT.

E. The DEPARTMENT will disperse the grant to the GRANTEE in arrears for the approved PURCHASE COST of the EQUIPMENT/PATROL BOAT
F. The DEPARTMENT may withhold any grant disbursement if the GRANTEE fails to comply with any of the provisions of this GRANT AGREEMENT.

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4. EQUIPMENT/PATROL BOAT OWNERSHIP
The DEPARTMENT shall be the legal owner of the EQUIPMENT/PATROL BOAT. The GRANTEE shall be the registered owner of PATROL BOAT or any other registered vessels purchased with GRANT FUNDS. The GRANTEE shall not assign, mortgage, hypothecate or transfer its interest in the EQUIPMENT/PATROL BOAT without the prior written approval of the DEPARTMENT.

5. OPERATION AND MAINTENANCE OF EQUIPMENT/PATROL BOAT
A. The GRANTEE shall use the EQUIPMENT/PATROL BOAT for the purpose of promoting recreational boating safety and boating law enforcement and shall keep the EQUIPMENT/PATROL BOAT available for search and rescue operations and other projects or programs supported by the federal government provided that such use will not interfere with the program for which it was acquired (CFR 200.313.c.2) B. The GRANTEE shall be responsible for the costs of operating and maintaining the PATROL BOAT/EQUIPMENT for the GRANT AGREEMENT TERM; the DEPARTMENT shall not be liable for such costs.

C. The GRANTEE shall maintain the EQUIPMENT/PATROL BOAT in good repair according to all manufacturer recommendations and shall make all repairs necessary to keep EQUIPMENT/PATROL BOAT functioning through the term of the GRANT AGREEMENT.

D. The GRANTEE, at its own expense, shall repair or replace the EQUIPMENT/PATROL BOAT if it is damaged, destroyed or rendered useless prior to the end of the GRANT AGREEMENT TERM.

E. GRANTEE shall submit maintenance records to the DEPARTMENT with each annual report.

F. The GRANTEE shall seek DEPARTMENT approval for the purchase and installation of additional equipment or modifications to any registered vessel purchased with grant funds. Complete and accurate records of all such modifications shall be reported to the DEPARTMENT in the GRANTEE’S annual report and made available to the DEPARTMENT or authorized representative for inspection upon request.

G. Each GRANTEE shall report to the DEPARTMENT loss or damage to any equipment purchased with grant funds within 30 days of occurrence.

H. Each GRANTEE shall ensure that any PATROL BOAT/EQUIPMENT purchased with grant funds is operated solely by qualified Boating Safety and Boating Law Enforcement Officers. Operators must fully comply with GRANTEE’S documented training and certification requirements to be deemed qualified, which shall include, at a minimum, receipt of a California Boater Card.

6. TERMINATION OF GRANT AGREEMENT
A. Either DEPARTMENT or GRANTEE may unilaterally terminate this GRANT AGREEMENT if a material breach of the GRANT AGREEMENT is made by the other; such termination shall become effective NINETY [90] DAYS following the date of receipt by either the DEPARTMENT or the GRANTEE of a written notice of termination from the party initiating the termination.

B. The GRANTEE may terminate this GRANT AGREEMENT if the GRANTEE becomes financially or legally unable to comply with the terms and conditions of this GRANT AGREEMENT; such termination shall become effective NINETY [90] DAYS following receipt by the DEPARTMENT of a written notice of termination from the GRANTEE.

C. The DEPARTMENT may terminate this GRANT AGREEMENT immediately and be Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
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relieved of any payments should the legislative body of the GRANTEE fail to appropriate GRANTEE FUNDS for purchase costs, if required, or if the GRANTEE fails to perform the requirements of this Agreement at the time and in the manner herein provided; such termination to become effective upon receipt by the GRANTEE of a written termination notice from the DEPARTMENT.

D. The DEPARTMENT has the option to void the GRANT AGREEMENT with 30 days’ notice in the event grant funds are not appropriated or amend the GRANT AGREEMENT to reflect any unexpected reduction of grant funds.

7. REVERSION OF EQUIPMENT/PATROL BOAT TO DEPARTMENT
If EQUIPMENT/PATROL BOAT is no longer needed or this GRANT AGREEMENT is terminated prior to the expiration of the term of the GRANT AGREEMENT:

A. The GRANTEE shall deliver, at no cost to the State, the fully functioning EQUIPMENT/PATROL BOAT to the DEPARTMENT for reassignment and shall execute any document(s) necessary to effect appropriate changes in pertinent public records; the reversion of registered title is hereby declared to be in addition to, and not in lieu of, any other remedies for breach of this GRANT AGREEMENT which may be available to the DEPARTMENT.

B. The GRANTEE shall be prohibited from receiving DEPARTMENT BSEE Grants for a period of three (3) years if EQUIPMENT/PATROL BOAT is not fully functional at time of termination.

8. LIABILITY
A. The GRANTEE waives all claims and recourse against the DEPARTMENT, including the right to contribution for any loss or damage arising from, growing out of or in any way connected with or incident to this GRANT AGREEMENT.

B. GRANTEE agrees to indemnify, defend and save harmless the State, its officers, agents and employees from any and all claims and losses accruing or resulting to any and all contractors, subcontractors, suppliers, laborers, and any other person, firm or corporation furnishing or supplying work services, materials, or supplies in connection with the performance of this GRANT AGREEMENT, and from any and all claims and losses accruing or resulting to any person, firm or corporation who may be injured or damaged by GRANTEE in the performance of this Agreement. GRANTEE warrants, represents and agrees that it and its subgrantees, subcontractors, employees and representatives shall at all times comply with all applicable State contracting laws, codes, rules and regulations in the performance of this GRANT AGREEMENT.

C. If the DEPARTMENT is named as a co-defendant, the GRANTEE shall notify the DEPARTMENT and represent it unless the DEPARTMENT elects to represent itself. If the DEPARTMENT undertakes its own defense, it shall bear its own litigation costs, expenses and attorney's fees.

D. Insurance Coverage Requirements
(1) Vessel Insurance: GRANTEE shall maintain the necessary insurance for the full replacement value of vessels and equipment purchased with GRANT including fire, collision or sinking and all costs associated with removal and demolition. (2) Watercraft Liability: GRANTEE shall maintain watercraft liability with limits not less than $1,000,000 combined single limit per accident. Such insurance shall cover liability arising out of the maintenance and use of watercraft.
(3) The policy must include:
"The State of California, its officers, agents, employees and servants as additional insureds, Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
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but only with respect to vessels and equipment purchased with this grant.”

9. WAIVER OF RIGHTS
It is the intention of the parties hereto that from time to time either party may waive certain of its rights under this GRANT AGREEMENT. Any waiver at this time by either party hereto of its rights with respect to a default or any other matter arising in connection with this GRANT AGREEMENT shall not be deemed to be a waiver with respect to any other default or matter.

10. REMEDIES NOT EXCLUSIVE
The use by either the DEPARTMENT or GRANTEE of any remedy specified in this GRANT AGREEMENT for the enforcement of this GRANT AGREEMENT is not exclusive and shall not deprive the party using such remedy of, or limit the application of, any other remedy provided by law.

11. OPINIONS AND DETERMINATIONS
Where the terms of GRANT AGREEMENT provide for action to be based upon the opinion, judgment, approval, review, or determination of either the DEPARTMENT or GRANTEE, such terms are not intended to be and shall never be construed as permitting such opinion, judgment, approval, review, or determination to be arbitrary, capricious, or unreasonable.

12. PROCUREMENT PROCEDURES
A. The GRANTEE must use procurement procedures that reflect applicable State and local public procurement laws and regulations, provided that the procedures conform to applicable Federal law and the standards identified in 2 CFR §200.318.

There shall be no changes, corrections, modifications or exceptions to DEPARTMENT approved specifications without advance written approval by the DEPARTMENT. Procurement procedures used by the GRANTEE must conform to State law and regulations regarding Disabled Veteran Business Enterprise Participation Requirements, Recycling Certification, AND CONTRACTORS CERTIFICATION CLAUSES. The GRANTEE is responsible, in its sole discretion, for the review of all bids for compliance.

B. Procurement for boats and other registered vessels must be conducted using Invitation for Bid and must adhere to the specific procurement standards identified by GRANTEE’S governing board regarding advertising, adequate purchase descriptions, sealed bids, and public openings.

C. EQUIPMENT AND ELECTRONICS PROCUREMENT PROCEDURES:

Grantee must obtain at least three (3) bids or rate quotations from qualified sources for each item that has a unit cost of $10,000 or more. The bids may be obtained over the phone but must be verified with written documentation from the vendor, and must include the make, model, size, name of vendor, date, and cost of item.

D. DEPARTMENT REVIEW
(1) GRANTEE must submit to the DEPARTMENT proposed technical specifications of PATROL BOATS and other registered vessels for review and approval prior to solicitation of bids.
(2) Grantees and sub-grantees must make available on request to the DEPARTMENT procurement documents, such as requests for proposals or invitations for bids, independent cost estimates, etc. and must retain such documents for four years after equipment acquisition for auditing purposes.

13. DISPOSITION OF EQUIPMENT/PATROL BOAT
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
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In accordance with 2 CFR 200.313 e.1 and 2, upon completion of the GRANT AGREEMENT TERM, GRANTEE must continue to use EQUIPMENT/PATROL BOAT as long as needed. If EQUIPMENT/PATROL BOAT is no longer needed, GRANTEE must receive approval from the DEPARTMENT for disposition. Once DEPARTMENT approval is received, GRANTEE will use a DEPARTMENT approved local inspector to survey the boat.

GRANTEE will send the survey to the DEPARTMENT for approval before transporting the boat and trailer to a Department of General Services (DGS) auction. Once the DEPARTMENT has notified GRANTEE that the paperwork for taking the boat and trailer to auction has been completed, GRANTEE will deliver the EQUIPMENT/PATROL BOAT to state auction as instructed by the DEPARTMENT.

14. DISPOSITION OF PROCEEDS FROM SALE OF EQUIPMENT INSTALLED AND

PARTIALLY FUNDED EQUIPMENT
If the GRANTEE has contributed funding in excess of the GRANT to the PURCHASE COSTS of the EQUIPMENT/PATROL BOAT, and in the event of a sale of the EQUIPMENT/PATROL BOAT after the expiration or termination of this GRANT AGREEMENT or the reversion of the EQUIPMENT/PATROL BOAT to the DEPARTMENT, then the proceeds of the EQUIPMENT/PATROL BOAT sale shall be distributed between the DEPARTMENT and the GRANTEE in proportion to their respective contributions of the PURCHASE COSTS, e.g.: if the PURCHASE COSTS totaled $100,000 and the GRANT contribution amounts to $60,000, then the DEPARTMENT would receive 60 percent of the EQUIPMENT/PATROL BOAT sale proceeds and the GRANTEE would receive 40 percent.

15. FEDERAL TERMS, CONDITIONS AND REGULATIONS
This GRANT is funded by the Federal Recreational Boating Safety (RBS) Grant and as such, GRANTEE shall comply with all the governing regulations, namely 2 CFR 200 - the most applicable of which have been included here for reference. For clarity, “Non-federal entity” shall be understood to be “DEPARTMENT” and “Award” shall be understood to be “GRANT”.

GRANTEES are subject and must adhere to the provisions set forth in the 2020 DHS Standard Terms and Conditions which are available online at:
https://www.dhs.gov/sites/default/files/publications/fy20_dhs_standard_terms_and_condition s_v10.1_dated_12-31-2019.pdf and made a part of this agreement by reference.

GRANTEES are subject to and must adhere to the regulations set forth in the 2 CFR 200 available online at: https://www.govinfo.gov/content/pkg/CFR-2014-title2-vol1/pdf/CFR-2014- title2-vol1-part200.pdf and made a part of this agreement by reference.

16. COMPLIANCE WITH LAW, REGULATION AND POLICY
It is understood and agreed that the Grantee shall comply with all applicable laws and regulations of the State of California, U.S. Coast Guard Code of Federal Regulations: 2 CFR identified in section §§ 200.318 General Procurement standards through 200.326 Contract provisions, 50 CFR 80 and 50 CFR 85, Equal Opportunity (41 CFR 60-1.4(b)), Davis-Bacon Act, as amended (40 U.S.C. 3141-3148), Copeland “Anti-Kickback” Act (40 U.S.C. 3145), Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708), “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements” (37 CFR Part 401), Clean Air Act (42 U.S.C. 7401- 7671q.), and the Federal Water Pollution Control Act as amended (33 U. S.C. 1251-1387), Debarment and Suspension (Executive Orders 12549 and 12689), Byrd Anti-Lobbying amendment (31 U.S.C. 1352) and all policies of DBW.

A. MANDATORY DISCLOSURES
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
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The non-Federal entity or applicant for a Federal award must disclose, in a timely manner, in writing to the Federal awarding agency or pass-through entity all violations of Federal criminal law involving fraud, bribery, or gratuity violations potentially affecting the Federal award. Failure to make required disclosures can result in any of the remedies described in §200.338 remedies for noncompliance, including suspension or debarment. (See also 2 CFR part 180 and 31 U.S.C. 3321).

B. ENHANCEMENT OF RECIPIENT AND SUBRECIPIENT EMPLOYEE

WHISTLEBLOWER PROTECTION
This award, related subawards, and related contracts over the simplified acquisition threshold and all employees working on this award, related subawards, and related contracts over the simplified acquisition threshold are subject to the whistleblower rights and remedies established at 41 USC 4712.

Recipients, their subrecipients, and their contractors awarded contracts over the simplified acquisition threshold related to this award, shall inform their employees in writing, in the predominant language of the workforce, of the employee whistleblower rights and protections under 41 USC 4712.

The recipient shall insert this clause, including this paragraph, in all subawards and in contracts over the simplified acquisition threshold related to this award.

C. EQUAL OPPORTUNITY CLAUSE
During the performance of this grant, the grantee agrees to sections i-vii below:
i. The grantee will not discriminate against any employee or applicant for employment because of race, color, religion, sex, sexual orientation, gender identity, or national origin. The grantee will take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, sexual orientation, gender identity, or national origin. Such action shall include, but not be limited to the following: Employment, upgrading, demotion, or transfer, recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The grantee agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the granting officer setting forth the provisions of this nondiscrimination clause. ii. The grantee will, in all solicitations or advertisements for employees placed by or on behalf of the grantee, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, sexual orientation, gender identity, or national origin. iii. The grantee will send to each labor union or representative of workers with which he has a collective bargaining agreement or other contract or understanding, a notice to be provided by the agency granting officer, advising the labor union or workers' representative of the grantee's commitments under section 202 of Executive Order 11246 of September 24, 1965, and shall post copies of the notice in conspicuous places available to employees and applicants for employment.
iv. The grantee will comply with all provisions of Executive Order 11246 of September 24, 1965, and of the rules, regulations, and relevant orders of the Secretary of Labor.

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v. The grantee will furnish all information and reports required by Executive Order 11246 of September 24, 1965, and by the rules, regulations, and orders of the Secretary of Labor, or pursuant thereto, and will permit access to his books, records, and accounts by the granting agency and the Secretary of Labor for purposes of investigation to ascertain compliance with such rules, regulations, and orders.
vi. In the event of the grantee's non-compliance with the nondiscrimination clauses of this grant or with any of such rules, regulations, or orders, this grant may be canceled, terminated or suspended in whole or in part and the grantee may be declared ineligible for further Government grants in accordance with procedures authorized in Executive Order 11246 of September 24, 1965, and such other sanctions may be imposed and remedies invoked as provided in Executive Order 11246 of September 24, 1965, or by rule, regulation, or order of the Secretary of Labor, or as otherwise provided by law.
vii. The grantee will include the provisions of paragraphs (1) through (7) in every subcontract or purchase order unless exempted by rules, regulations, or orders of the Secretary of Labor issued pursuant to section 204 of Executive Order 11246 of September 24, 1965, so that such provisions will be binding upon each subcontractor or vendor. The grantee will take such action with respect to any subcontract or purchase order as may be directed by the Secretary of Labor as a means of enforcing such provisions including sanctions for noncompliance: Provided, however, that in the event the grantee becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of such direction, the grantee may request the United States to enter into such litigation to protect the interests of the United States.

The applicant further agrees that it will be bound by the above equal opportunity clause with respect to its own employment practices when it participates in federally assisted construction work: Provided, That if the applicant so participating is a State or local government, the above equal opportunity clause is not applicable to any agency, instrumentality or subdivision of such government which does not participate in work on or under the grant.

The applicant agrees that it will assist and cooperate actively with the administering agency and the Secretary of Labor in obtaining the compliance of contractors and subcontractors with the equal opportunity clause and the rules, regulations, and relevant orders of the Secretary of Labor, that it will furnish the administering agency and the Secretary of Labor such information as they may require for the supervision of such compliance, and that it will otherwise assist the administering agency in the discharge of the agency's primary responsibility for securing compliance.

The applicant further agrees that it will refrain from entering into any contract or contract modification subject to Executive Order 11246 of September 24, 1965, with a contractor debarred from, or who has not demonstrated eligibility for, Government contracts and federally assisted construction grants or contracts pursuant to the Executive order and will carry out such sanctions and penalties for violation of the equal opportunity clause as may be imposed upon grantees and contractors by the administering agency or the Secretary of Labor pursuant to Part II, Subpart D of the Executive order. In addition, the applicant agrees that if it fails or refuses to comply with these undertakings, the administering agency may take any or all of the following actions: Cancel, terminate, or suspend in whole or in part this grant (contract, loan, Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
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insurance, guarantee); refrain from extending any further assistance to the applicant under the program with respect to which the failure or refund occurred until satisfactory assurance of future compliance has been received from such applicant; and refer the case to the Department of Justice for appropriate legal proceedings.

Subcontracts. Each nonexempt prime contractor or subcontractor shall include the equal opportunity clause in each of its nonexempt subcontracts.

I. Incorporation by reference. The equal opportunity clause may be incorporated by reference in all Government contracts and subcontracts, including Government bills of lading, transportation requests, contracts for deposit of Government funds, and contracts for issuing and paying U.S. savings bonds and notes, and such other contracts and subcontracts as the Deputy Assistant Secretary may designate.

II. Incorporation by operation of the order. By operation of the order, the equal opportunity clause shall be considered to be a part of every contract and subcontract required by the order and the regulations in this part to include such a clause whether or not it is physically incorporated in such contracts and whether or not the contract between the agency and the contractor is written.

Adaptation of language. Such necessary changes in language may be made in the equal opportunity clause as shall be appropriate to identify properly the parties and their undertakings.

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EXHIBIT B
General Terms and Conditions (GTC 04/2017)

1. APPROVAL:

This Agreement is of no force or effect until signed by both parties and approved by the Department of General Services, if required. Contractor /GRANTEE may not commence performance until such approval has been obtained.

2. AMENDMENT:

No amendment or variation of the terms of this Agreement shall be valid unless made in writing, signed by the parties and approved as required. No oral understanding or Agreement not incorporated in the Agreement is binding on any of the parties.

3. ASSIGNMENT:

This Agreement is not assignable by the Contractor/GRANTEE, either in whole or in part, without the consent of the State in the form of a formal written amendment.

4. AUDIT:

Contractor/GRANTEE agrees that the awarding department, the Department of General Services, the Bureau of State Audits, or their designated representative shall have the right to review and to copy any records and supporting documentation pertaining to the performance of this Agreement. Contractor/GRANTEE agrees to maintain such records for possible audit for a minimum of three (3) years after final payment, unless a longer period of records retention is stipulated. Contractor//GRANTEE agrees to allow the auditor(s) access to such records during normal business hours and to allow interviews of any employees who might reasonably have information related to such records. Further, Contractor/GRANTEE agrees to include a similar right of the State to audit records and interview staff in any subcontract related to performance of this Agreement. (Gov. Code §8546.7, Pub. Contract Code §10115 et seq., CCR Title 2, Section 1896).

5. INDEMNIFICATION:

Contractor/GRANTEE agrees to indemnify, defend and save harmless the State, its officers, agents and employees from any and all claims and losses accruing or resulting to any and all GRANTEES, contractors, subcontractors, suppliers, laborers, and any other person, firm or corporation furnishing or supplying work services, materials, or supplies in connection with the performance of this Agreement, and from any and all claims and losses accruing or resulting to any person, firm or corporation who may be injured or damaged by Contractor/GRANTEE in the performance of this Agreement.

6. DISPUTES:

Contractor/GRANTEE shall continue with the responsibilities under this Agreement during any dispute.

7. TERMINATION FOR CAUSE:

The State may terminate this Agreement and be relieved of any payments should the Contractor/GRANTEE fail to perform the requirements of this Agreement at the time and in the manner herein provided. In the event of such termination the State may proceed with the work in any manner deemed proper by the State. All costs to the State shall be deducted from any sum due the Contractor/GRANTEE under this Agreement and the balance, if any, shall be paid to the Contractor/GRANTEE upon demand.

8. INDEPENDENT CONTRACTOR:

Contractor/GRANTEE, and the agents and employees of Contractor/GRANTEE, in the performance of this Agreement, shall act in an independent capacity and not as officers or Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 16 of 48

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employees or agents of the State.

9. RECYCLING CERTIFICATION:

The Contractor/GRANTEE shall certify in writing under penalty of perjury, the minimum, if not exact, percentage of post-consumer material as defined in the Public Contract Code Section 12200, in products, materials, goods, or supplies offered or sold to the State regardless of whether the product meets the requirements of Public Contract Code Section 12209. With respect to printer or duplication cartridges that comply with the requirements of Section 12156(e), the certification required by this subdivision shall specify that the cartridges so comply (Pub. Contract Code §12205).

10. NON-DISCRIMINATION CLAUSE:

During the performance of this Agreement, Contractor/GRANTEE and its subcontractors shall not deny the contract’s benefits to any person on the basis of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status, nor shall they discriminate unlawfully against any employee or applicant for employment because of race, religious creed, color, national origin, ancestry, physical disability, mental disability, medical condition, genetic information, marital status, sex, gender, gender identity, gender expression, age, sexual orientation, or military and veteran status. Contractor/GRANTEE shall insure that the evaluation and treatment of employees and applicants for employment are free of such discrimination.

Contractor/GRANTEE and subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Gov. Code §12900 et seq.), the regulations promulgated thereunder (Cal. Code Regs., tit. 2, §11000 et seq.), the provisions of Article 9.5, Chapter 1, Part 1, Division 3, Title 2 of the Government Code (Gov. Code §§11135-11139.5), and the regulations or standards adopted by the awarding state agency to implement such article.

Contractor/GRANTEE shall permit access by representatives of the Department of Fair Employment and Housing and the awarding state agency upon reasonable notice at any time during the normal business hours, but in no case less than 24 hours’ notice, to such of its books, records, accounts, and all other sources of information and its facilities as said Department or Agency shall require to ascertain compliance with this clause.

Contractor/GRANTEE and its subcontractors shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other agreement. (See Cal. Code Regs., tit. 2, §11105.)
Contractor/GRANTEE shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under the Agreement.

11. CERTIFICATION CLAUSES:

The CONTRACTOR CERTIFICATION CLAUSES contained in the document CCC 04/2017 are hereby incorporated by reference and made a part of this Agreement by this reference as if attached hereto.

12. TIMELINESS:

Time is of the essence in this Agreement.

13. COMPENSATION:

The consideration to be paid Contractor/GRANTEE, as provided herein, shall be in compensation for all of Contractor's/GRANTEE’S expenses incurred in the performance hereof, including travel, per diem, and taxes, unless otherwise expressly so provided.

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14. GOVERNING LAW:

This contract is governed by and shall be interpreted in accordance with the laws of the State of California.

15. ANTITRUST CLAIMS:

The Contractor/GRANTEE by signing this agreement hereby certifies that if these services or goods are obtained by means of a competitive bid, the Contractor/GRANTEE shall comply with the requirements of the Government Codes Sections set out below. a. The Government Code Chapter on Antitrust claims contains the following definitions:
1) "Public purchase" means a purchase by means of competitive bids of goods, services, or materials by the State or any of its political subdivisions or public agencies on whose behalf the Attorney General may bring an action pursuant to subdivision (c) of Section 16750 of the Business and Professions Code.
2) "Public purchasing body" means the State or the subdivision or agency making a public purchase. Government Code Section 4550. b. In submitting a bid to a public purchasing body, the bidder offers and agrees that if the bid is accepted, it will assign to the purchasing body all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, materials, or services by the bidder for sale to the purchasing body pursuant to the bid.

Such assignment shall be made and become effective at the time the purchasing body tenders final payment to the bidder. Government Code Section 4552. c. If an awarding body or public purchasing body receives, either through judgment or settlement, a monetary recovery for a cause of action assigned under this chapter, the assignor shall be entitled to receive reimbursement for actual legal costs incurred and may, upon demand, recover from the public body any portion of the recovery, including treble damages, attributable to overcharges that were paid by the assignor but were not paid by the public body as part of the bid price, less the expenses incurred in obtaining that portion of the recovery. Government Code Section 4553. d. Upon demand in writing by the assignor, the assignee shall, within one year from such demand, reassign the cause of action assigned under this part if the assignor has been or may have been injured by the violation of law for which the cause of action arose and (a) the assignee has not been injured thereby, or (b) the assignee declines to file a court action for the cause of action. See Government Code Section 4554.

16. CHILD SUPPORT COMPLIANCE ACT:

For any Agreement in excess of $100,000, the contractor/GRANTEE acknowledges in accordance with Public Contract Code 7110, that:
a. The contractor/GRANTEE recognizes the importance of child and family support obligations and shall fully comply with all applicable state and federal laws relating to child and family support enforcement, including, but not limited to, disclosure of information and compliance with earnings assignment orders, as provided in Chapter 8 (commencing with section 5200) of Part 5 of Division 9 of the Family Code; and b. The contractor/GRANTEE, to the best of its knowledge is fully complying with the earnings assignment orders of all employees and is providing the names of all new employees to the New Hire Registry maintained by the California Employment Development Department.

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17. UNENFORCEABLE PROVISION:

In the event that any provision of this Agreement is unenforceable or held to be unenforceable, then the parties agree that all other provisions of this Agreement have force and effect and shall not be affected thereby.

18. PRIORITY HIRING CONSIDERATIONS:

If this Contract includes services in excess of $200,000, the Contractor/GRANTEE shall give priority consideration in filling vacancies in positions funded by the Contract to qualified recipients of aid under Welfare and Institutions Code Section 11200 in accordance with Pub.

Contract Code §10353.

19. SMALL BUSINESS PARTICIPATION AND DVBE PARTICIPATION REPORTING REQUIREMENTS:
a. If for this Contract Contractor/GRANTEE made a commitment to achieve small business participation, then Contractor/GRANTEE must within 60 days of receiving final payment under this Contract (or within such other time period as may be specified elsewhere in this Contract) report to the awarding department the actual percentage of small business participation that was achieved. (Govt. Code § 14841.) b. If for this Contract Contractor/GRANTEE made a commitment to achieve disabled veteran business enterprise (DVBE) participation, then Contractor/GRANTEE must within 60 days of receiving final payment under this Contract (or within such other time period as may be specified elsewhere in this Contract) certify in a report to the awarding department: (1) the total amount the prime Contractor/GRANTEE received under the Contract; (2) the name and address of the DVBE(s) that participated in the performance of the Contract; (3) the amount each DVBE received from the prime Contractor/GRANTEE; (4) that all payments under the Contract have been made to the DVBE; and (5) the actual percentage of DVBE participation that was achieved. A person or entity that knowingly provides false information shall be subject to a civil penalty for each violation. (Mil. & Vets. Code § 999.5(d); Govt. Code § 14841.)

20. LOSS LEADER:

If this contract involves the furnishing of equipment, materials, or supplies then the following statement is incorporated: It is unlawful for any person engaged in business within this state to sell or use any article or product as a “loss leader” as defined in Section 17030 of the Business and Professions Code. (PCC 10344(e).)
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 19 of 48

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EXHIBIT C

CERTIFICATION
I, the official named below, CERTIFY UNDER PENALTY OF PERJURY that I am duly authorized to legally bind the prospective Grantee to the clause(s) listed below. This certification is made under the laws of the State of California.

Grantee Agency Name (Printed)
City of Morro Bay Harbor Department
Federal ID Number
95-2308629
By Authorized Signature:

Printed Name and Title of Person Signing
,
Date Executed Executed in the County of
San Luis Obispo

GRANTEE CERTIFICATION CLAUSES

1. STATEMENT OF COMPLIANCE:

Grantee has, unless exempted, complied with the nondiscrimination program requirements. (Gov. Code §12990 (a-f) and CCR, Title 2, Section 8103) (Not applicable to public entities.)

2. DRUG-FREE WORKPLACE REQUIREMENTS:

18.10 Grantee 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;
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.

3. NATIONAL LABOR RELATIONS BOARD CERTIFICATION:

Grantee certifies that no more than one (1) final unappealable finding of contempt of court by a Federal court has been issued against Grantee within the immediately preceding two-year period because of Grantee's failure to comply with an order of a Federal court, which orders Grantee to comply with an order of the National Labor Relations Board. (Pub. Contract Code §10296) (Not applicable to public entities.)

4. CONTRACTS FOR LEGAL SERVICES $50,000 OR MORE- PRO BONO REQUIREMENT:

Grantee hereby certifies that Grantee will comply with the requirements of Section 6072 of the Business and Professions Code, effective January 1, 2003.

Grantee agrees to make a good faith effort to provide a minimum number of hours of pro bono legal services during each year of the agreement equal to the lessor of 30 multiplied by the Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 20 of 48

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number of full time attorneys in the firm’s offices in the State, with the number of hours prorated on an actual day basis for any contract period of less than a full year or 10% of its agreement with the State.

Failure to make a good faith effort may be cause for non-renewal of a state agreement for legal services, and may be taken into account when determining the award of future contracts/agreements with the State for legal services.

5. EXPATRIATE CORPORATIONS:

18.40 Grantee hereby declares that it is not an expatriate corporation or subsidiary of an expatriate corporation within the meaning of Public Contract Code Section 10286 and 10286.1, and is eligible to contract with the State of California.

6. SWEATFREE CODE OF CONDUCT:
a. All Grantees contracting for the procurement or laundering of apparel, garments or corresponding accessories, or the procurement of equipment, materials, or supplies, other than procurement related to a public works contract, declare under penalty of perjury that no apparel, garments or corresponding accessories, equipment, materials, or supplies furnished to the state pursuant to the contract have been laundered or produced in whole or in part by sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor, or with the benefit of sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor. The Grantee further declares under penalty of perjury that they adhere to the Sweatfree Code of Conduct as set forth on the California Department of Industrial Relations website located at www.dir.ca.gov, and Public Contract Code Section 6108.
b. The Grantee agrees to cooperate fully in providing reasonable access to the Grantee’s records, documents, agents or employees, or premises if reasonably required by authorized officials of the contracting agency, the Department of Industrial Relations, or the Department of Justice to determine the Grantee’s compliance with the requirements under paragraph (a).

7. DOMESTIC PARTNERS:

For contracts over $100,000 executed or amended after January 1, 2007, the Grantee certifies that Grantee is in compliance with Public Contract Code section 10295.3.

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EXHIBIT D

DOING BUSINESS WITH THE STATE OF CALIFORNIA
The following laws apply to persons or entities doing business with the State of California.

1. CONFLICT OF INTEREST:

Grantee needs to be aware of the following provisions regarding current or former state employees. If Grantee has any questions on the status of any person rendering services or involved with the Agreement, the awarding agency must be contacted immediately for clarification.

Current State Employees (PCC 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 decision-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 Grantee violates any provisions of above paragraphs, such action by Grantee shall render this Agreement void. (PCC 10420).

Members of boards and commissions are exempt from this section if they do not receive payment other than payment of each meeting of the board or commission, payment for preparatory time and payment for per diem. (PCC 10430 (e)).

2. LABOR CODE/WORKERS' COMPENSATION:

Grantee 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 Grantee affirms to comply with such provisions before commencing the performance of the work of this Agreement. (Labor Code Section 3700).

3. AMERICANS WITH DISABILITIES ACT:

Grantee 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.)

4. GRANTEE NAME CHANGE:

An amendment is required to change the Grantee'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 Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 22 of 48

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amendment. Any changes of the Grantee’s representative shall be notified to DBW within 30 days written notice on Grantee’s letterhead.

5. CORPORATE QUALIFICATIONS TO DO BUSINESS IN CALIFORNIA:
a. When agreements are to be performed in the state by corporations, the contracting agencies will be verifying that the Grantee is currently qualified to do business in California in order to ensure that all obligations due to the state are fulfilled. b. "Doing business" is defined in R&TC Section 23101 as actively engaging in any transaction for the purpose of financial or pecuniary gain or profit. Although there are some statutory exceptions to taxation, rarely will a corporate Grantee performing within the state not be subject to the franchise tax.
c. Both domestic and foreign corporations (those incorporated outside of California) must be in good standing in order to be qualified to do business in California.

Agencies will determine whether a corporation is in good standing by calling the Office of the Secretary of State.

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.

7. AIR OR WATER POLLUTION VIOLATION:

Under the State laws, the Grantee 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 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.

8. PAYEE DATA RECORD FORM STD. 204:

This form must be completed by all Grantees that are not another state agency or other governmental entity.

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EXHIBIT E – DARFUR CONTRACTING ACT
If your agency hires a contractor to complete work under this grant, the contractor must fill out and sign the Darfur Contracting Act form prior to execution of the contract. A Sample of The Darfur Contracting Act form is provided on the next page; this form (DGS PD 1) can also be downloaded from the California Department of General Services website.

Effective January 1, 2009, all Invitations for Bids (IFB) or Requests for Proposals (RFP) for goods or services must address the requirements of the Darfur Contracting Act of 2008 (Act). (Public Contract Code sections 10475, et seq.; Stats. 2008, Ch. 272). The Act was passed by the California Legislature and signed into law by the Governor to preclude State agencies generally from contracting with “scrutinized” companies that do business in the African nation of Sudan (of which the Darfur region is a part), for the reasons described in Public Contract Code section 10475.

A scrutinized company is a company doing business in Sudan as defined in Public Contract Code section 10476. Scrutinized companies are ineligible to, and cannot, bid on or submit a proposal for a contract with a State agency for goods or services. (Public Contract Code section 10477(a)).

Therefore, Public Contract Code section 10478 (a) requires a company that currently has (or within the previous three years has had) business activities or other operations outside of the United States to certify that it is not a “scrutinized” company when it submits a bid or proposal to a State agency. (See # 1 on the sample Attachment).

The following sample Attachment may be included in an IFB or RFP to satisfy the Act’s certification requirements of bidders and proposers.

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Exhibit E - DARFUR CONTRACTING ACT

SAMPLE FORM
Public Contract Code Sections 10475 -10481 applies to any company that currently or within the previous three years has had business activities or other operations outside of the United States.

For such a company to bid on or submit a proposal for a State of California contract, the company must certify that it is either a) not a scrutinized company; orb) a scrutinized company that has been granted permission by the Department of General Services to submit a proposal.

If your company has not, within the previous three years, had any business activities or other operations outside of the United States, you do not need to complete this form.

OPTION #1 - CERTIFICATION
If your company, within the previous three years, has had business activities or other operations outside of the United States, in order to be eligible to submit a bid or proposal, please insert your company name and Federal ID Number and complete the certification below.

I, the official named below, CERTIFY UNDER PENALTY OF PERJURY that a) the prospective proposer/bidder named below is not a scrutinized company per Public Contract Code 10476; and b) I am duly authorized to legally bind the prospective proposer/bidder named below. This certification is made under the laws of the State of California.

Company/Vendor Name (Printed)
City of Morro Bay Harbor Department
Federal ID Number
95-2308629
By (Authorized Signature) Date
Printed Name and Title of Person Signing
,
OPTION #2 - WRITTEN PERMISSION FROM DGS
Pursuant to Public Contract Code Section 10477(b), the Director of the Department of General Services may permit a scrutinized company, on a case-by-case basis, to bid on or submit a proposal for a contract with a state agency for goods or services, if it is in the best interests of the state. If you are a scrutinized company that has obtained written permission from the DGS to submit a bid or proposal, complete the information below.

We are a scrutinized company as defined in Public Contract Code section 10476, but we have received written permission from the Department of General Services to submit a bid or proposal pursuant to Public Contract Code section 10477(b). A copy of the written permission from DGS is included with our bid or proposal.

Company/Vendor Name (Printed)
City of Morro Bay Harbor Department
Federal ID Number
95-2308629
By (Authorized Signature) Date
Printed Name and Title of Person Signing
,
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 25 of 48

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EXHIBIT F

SUGGESTED LANGUAGE FOR RECYCLING CERTIFICATION
State law requires that state contracts shall have Recycling Certification in writing under penalty of perjury, the minimum, if not exact, percentage of recycled content, both post-consumer waste and secondary waste as defined in the Public Contract Code, Sections 12161 and 12200, in materials, goods, or supplies offered or products used in the performance of this Agreement, regardless of whether the product meets the required recycled product percentage as defined in the Public Contract Code, Sections 12161 and 12200. Contractor may certify that the product contains zero recycled content. (PCC 10233, 10308.5, 10354)

RECYCLED CONTENT CERTIFICATION
I, the official named below, CERTIFY UNDER PENALTY OF PERJURY that I am duly authorized to legally bind the prospective Contractor to the clause(s) listed below. This certification is made under the laws of the State of California.

Name and Title of Person Signing Date Executed
Authorized Signature Executed in the County of
San Luis Obispo
Title Telephone Number
Legal Business Name
City of Morro Bay Harbor Department
Federal ID Number
95-2308629
The Contractor hereby certifies under penalty of perjury, that the percent of the materials, goods, supplies offered, or products used in the performance of this contract meets the or exceeds the minimum percentage of recycled material as defined in Sections 12161 and 12200 of the Public Contract Code. The Contractor may certify that the product contains zero recycled content.

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General
Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ 1 Applicant Information
a. Applicant Name City of Morro Bay Harbor Department
b. Organizational Unit 4000000048-02
c. Address 1275 Embarcadero
d. Address 2
e. City Morro Bay State CA Zip 93442
f. Federal ID Number 95-2308629 Unique Entity Id. KAFQZMM3M RA5
g. Agency Type
City County
State Agency District
Other Public Agency
2 Project Information
a. Project Name Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 b. Is implementing agency same as Applicant Yes No
c. Implementing Agency Name
d. Project Start Date Oct-01-2026 End Date Sep-30-2034
e. Amount of Funds Requested $170,000.00 Project Cost $170,000.00 Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 27 of 48

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3 Contacts
a. Project Administrator
Name Lori Thompson
Title Harbor Manager
Mailing Address 1275 Embarcadero
City Morro Bay State CA Zip 93442
Telephone (805) 772-6254 - 256 Fax (805) 772-6258 -
256
E-mail Address [email protected]
Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 28 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________

1. Minimum Qualifications
This is a federal pass-through ‘Recreational Boating Safety Grant’. Priority for this grant are for the promotion of recreational boating safety and to decrease the number of accidents, injuries, and fatalities on U.S. waters.

Funding priorities for the Boating Safety and Enforcement Equipment Grant are for equipment that assists grantees in the following activities, in this order of priority:

1. Promoting recreational boating safety.

2. Enforcement of recreational boating safety laws

3. Search and rescue activities for recreational boaters.

4. Recovery of evidence for recreational boating accidents, injuries, and fatalities.

NOTE: Patrol and safety activities for swimmers, vehicle recovery, homeland security activities, and recovery of drowned bodies are not funding priorities under this federal grant.

Attach a Letter of Intent as required by Title 14, Section 6594.5. A template letter is in the ‘Show Documents’ area.
49213_0_706_Letter of
Intent BSEE 26.pdf
As a subgrantee for this federal grant award, your agency must be registered in the Federal System of Award Management (https://www.sam.gov/SAM/pages/public/searchRecords/search.jsf) Your agency’s registration must be current in that system at the time you submit your application.

Attach a screenshot showing your registration is active. (A sample screenshot is available in the 'Show Documents' area)
49215_0_825_Active
SAM Status 2025-

26.pdf
The statements below refer
to
City of Morro Bay Harbor Department and confirm the
following:
1 a. Does your agency have an active Boating Safety and/or Boating Law Enforcement Patrol?
Yes No
1 b. What training and/or authorization does your
agency have to perform boating safety and/or
boating law enforcement in your jurisdiction?
(max. 1024 characters)
The City of Morro Bay Harbor Patrol Officers are required to complete all DBW classes available to our agency. Officers also complete PC 832 arrest and control training. Harbor Patrol Officers powers are pursuant to Section 836.5 of the California Penal Code and MBMC 15.44.010.
1 c. If awarded this grant, I hereby certify that the agency identified above will report all boating accident statistics as required in Section 656 of Harbors and Navigation Code for the grant term if awarded this grant? An agency's failure to submit a report may result in ineligibility of future DBW funding opportunities for up to five fiscal years.

Yes No
1 d. By checking the boxes below, I certify that that the agency identified above meets all the following criteria:

Your agency employs at least one boating safety law enforcement officer defined in California Code of Regulations, Title 14, Division 4, Chapter 1, Article 4.5.2 as trained personnel authorized and retained to perform on-the-water boating safety and boating law enforcement activities.

Your agency’s boating safety law enforcement officer(s) conducts sufficient patrol and has the jurisdiction and authority to ensure adequate enforcement, including arrest authority of all applicable state boating safety laws and regulations.

Your agency has the knowledge and means to properly report boating accidents to DBW.

If you cannot certify that your agency meets ALL of the above criteria, certify by checking the box below and filling out the remainder of 1d.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Your agency has a memorandum of understanding (MOU) with a law enforcement agency in your jurisdiction and that agency is not performing on-the-water boating safety enforcement activities in your jurisdiction.

Identify the law enforcement agency:

Attach the MOU
1 e. Has your agency been out of compliance with the terms of any other Department of Parks and Recreation contract or agreement in the past 3 years? Yes No
If you responded 'Yes' to 1 e, please provide
an explanation
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 30 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________

1. California State Senate Districts
Select one or more of the California State Senate Districts where the proposed project activities will occur. Copy and Paste the URL (http://www.legislature.ca.gov/legislators_and_districts/districts/districts.html) in your browser to determine the State Senate district(s).

State Senate 01 State Senate 02 State Senate 03 State Senate 04 State Senate 05 State Senate 06 State Senate 07 State Senate 08 State Senate 09 State Senate 10 State Senate 11 State Senate 12 State Senate 13 State Senate 14 State Senate 15 State Senate 16 State Senate 17 State Senate 18 State Senate 19 State Senate 20 State Senate 21 State Senate 22 State Senate 23 State Senate 24 State Senate 25 State Senate 26 State Senate 27 State Senate 28 State Senate 29 State Senate 30 State Senate 31 State Senate 32 State Senate 33 State Senate 34 State Senate 35 State Senate 36 State Senate 37 State Senate 38 State Senate 39 State Senate 40

2. California State Assembly Districts
Select one or more of the California State Assembly Districts where the proposed project activities will occur.

Copy and Paste the URL (http://www.legislature.ca.gov/legislators_and_districts/districts/districts.html) in your browser to determine the State Assembly district(s).

State Assembly 01 State Assembly 02 State Assembly 03 State Assembly 04 State Assembly 05 State Assembly 06 State Assembly 07 State Assembly 08 State Assembly 09 State Assembly 10 State Assembly 11 State Assembly 12 State Assembly 13 State Assembly 14 State Assembly 15 State Assembly 16 State Assembly 17 State Assembly 18 State Assembly 19 State Assembly 20 State Assembly 21 State Assembly 22 State Assembly 23 State Assembly 24 State Assembly 25 State Assembly 26 State Assembly 27 State Assembly 28 State Assembly 29 State Assembly 30 State Assembly 31 State Assembly 32 State Assembly 33 State Assembly 34 State Assembly 35 State Assembly 36 State Assembly 37 State Assembly 38 State Assembly 39 State Assembly 40 State Assembly 41 State Assembly 42 State Assembly 43 State Assembly 44 State Assembly 45 State Assembly 46 State Assembly 47 State Assembly 48 State Assembly 49 State Assembly 50 State Assembly 51 State Assembly 52 State Assembly 53 State Assembly 54 State Assembly 55 State Assembly 56 State Assembly 57 State Assembly 58 State Assembly 59 State Assembly 60 State Assembly 61 State Assembly 62 State Assembly 63 State Assembly 64 State Assembly 65 State Assembly 66 State Assembly 67 State Assembly 68 State Assembly 69 State Assembly 70 State Assembly 71 State Assembly 72 State Assembly 73 State Assembly 74 State Assembly 75 State Assembly 76 State Assembly 77 State Assembly 78 State Assembly 79 State Assembly 80

3. California Congressional Districts
Select one or more of the California Congressional Districts where the proposed project activities will occur.

Copy and Paste the URL (https://www.govtrack.us/congress/members/CA) in your browser to determine the Congressional district(s).

Congressional District 1 Congressional District 2 Congressional District 3 Congressional District 4 Congressional District 5 Congressional District 6 Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 31 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Congressional District 7 Congressional District 8 Congressional District 9 Congressional District 10 Congressional District 11 Congressional District 12 Congressional District 13 Congressional District 14 Congressional District 15 Congressional District 16 Congressional District 17 Congressional District 18 Congressional District 19 Congressional District 20 Congressional District 21 Congressional District 22 Congressional District 23 Congressional District 24 Congressional District 25 Congressional District 26 Congressional District 27 Congressional District 28 Congressional District 29 Congressional District 30 Congressional District 31 Congressional District 32 Congressional District 33 Congressional District 34 Congressional District 35 Congressional District 36 Congressional District 37 Congressional District 38 Congressional District 39 Congressional District 40 Congressional District 41 Congressional District 42 Congressional District 43 Congressional District 44 Congressional District 45 Congressional District 46 Congressional District 47 Congressional District 48 Congressional District 49 Congressional District 50 Congressional District 51 Congressional District 52 Congressional District 53

4. County
Select one or more of the California Counties where the proposed project activities will occur.

Alameda Alpine Amador Butte Calaveras Colusa
Contra Costa Del Norte El Dorado Fresno Glenn Humboldt
Imperial Inyo Kern Kings Lake Lassen
Los Angeles Madera Marin Mariposa Mendocino Merced
Modoc Mono Monterey Napa Nevada Orange
Placer Plumas Riverside Sacramento San Benito San
Bernardino
San Diego San Francisco San Joaquin San Luis
Obispo
San Mateo Santa Barbara
Santa Clara Santa Cruz Shasta Sierra Siskiyou Solano
Sonoma Stanislaus Sutter Tehama Trinity Tulare
Tuolumne Ventura Yolo Yuba
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 32 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________

2. Citation Authority
2 a. Number of Full-Time Boating Safety and/or Boating Law Enforcement Officers do you have? A Boating Safety Law Enforcement Officer is defined in California Code of Regulations, Title 14, Division 4, Chapter 1, Article 4.5.2 as trained personnel authorized and retained to perform on-the-water boating safety and boating law enforcement activities.
5 2 b. Number of Part-Time Boating Safety and/or Boating Law Enforcement Officers (as defined in 2 a) do you have?
3 How many hours per year do they conduct on-the-water patrol and boating safety activities?
624
Is this work seasonal or continuous? Continuous

3. Does your boating safety and enforcement unit have citation authority? Yes No If YES, Authorizing Code # Section 836.5 of the
California Penal Code
and MBMC 15.44.010
a. How many boating safety related citations did your agency issue last calendar year?
8 b. How many boating accidents did your agency respond to in the last calendar year?
4 c. How many BOATING safety related Search and Rescue missions did your agency perform in the last calendar year?
29 d. How many boating drowning recovery missions did your agency perform last year?
0 4. Does your boating safety and enforcement unit have arrest authority? Yes No If YES, Authorizing Code # Section 836.5 of the
California Penal Code
and MBMC 15.44.010
How many boating related arrests did you conduct last calendar year? 0

5. How many outreach events with the general public did your agency participate in to promote boating safety education last calendar year? Please list the events and describe how boating safety was promoted.
12 5a.

Event Name Date of Event
What BOATING SAFETY information was
provided at this event?
National Safe Boating Day 5/17/25 Boater card education and assistance. Safe boating practices. Lifejacket exchange.

Distributing pollution prevention kits. Information
on carriage requirements. Answers to local
boating questions.

Morro Bay Marine Swap Meet 6/28/25 Harbor Department and Coast Guard booth providing Boater Card information, local safe
boating practices, information on carriage
requirements, distributing spill prevention kits.

Harbor Patrol Junior Guard Days 6/25/25 This event happens four times per year. Harbor Patrol takes local junior guards out on our patrol
vessels and provides lectures on safe boating
practice, the importance of lifejackets, and safety
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 33 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ when in the water near a boat. During this time the
junior guards receive a tour of our response area
and are educated on local boating conditions.

National Night Out 8/5/25 Lifejacket requirement information especially for children as this is a youth-oriented event. Boater
card information. Life ring toss to mimic a man
overboard.

Family Fun Day 10/11/25 This event is in conjunction with the Morro Bay Maritime Museum. Our department has a booth to
answer boating questions, hand out spill
prevention kits, and generate interest in boating for
the next generation.

School group dock talks 10/1/25 Our department provides about a dozen dock talks per year to different school groups. These talks
cover boating safety, lifejacket awareness and best
practices for local boating.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION ________________________________________________________________________________________________________________ 6. Jurisdiction Table List all waterbodies that are in your jurisdiction and fill in the below chart for each Waterbody Size (area)
List all boating activities (e.g.fishing, water skiing, paddling,etc.) conducted on thiswaterbody.

How many
hours/year
is this
waterbody
patrolled by
your agency
Is theresharedjurisdictionon thiswaterbody?
If shared jurisdiction, list otheragency(s)
City of Morro Bay Harbor citylimits

5.2 squaremiles
Recreational and commercialfishing, general boating andsailing, paddle sports, sailingregattas, surfing, swimming, scubadiving, waterfowl hunting,commercial aquaculture. 3,650 Yes United States Coast Guard, California
Department of Fish and Wildlife.

Estero Bay/Pacific Ocean(limited)
66 square miles Recreational and commercial
fishing, general boating andsailing, paddle sports, sailingregattas, surfing, swimming, scubadiving. 3,650 Yes United States Coast Guard, California
State Parks, California Department ofFish and Wildlife, San Luis ObispoCounty Sheriff.

Morro Bay back bay 4 square miles Recreational and commercial fishing, general boating andsailing, paddle sports, sailingregattas, surfing, swimming, scubadiving, waterfowl hunting,commercial aquaculture. 3,650 Yes California State Parks, California Fish
and Wildlife.

Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Page: 35 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________

7. Three RECREATIONAL BOATING safety issues
This is a Federal Pass-Through ‘Recreational Boating Safety Grant’. The purpose of the grant is to promote boating safety and to decrease the number of accidents, injuries, and fatalities on U.S. waters. Clearly identify three BOATING safety issues that affect recreational boaters in your jurisdiction. Your answer to this question will be referenced throughout this grant application.
1) Consistently Hazardous Operating Conditions
Morro Bay Harbor Patrol operates in one of the most hazardous maritime environments in California. The area experiences approximately 150 days per year of small craft advisory conditions and an average of 30 days annually of hazardous harbor entrance conditions, including large breaking surf within the navigational channel.

The Harbor Patrol’s response area extends beyond the bay through mutual aid, covering approximately 65 square miles of ocean and 25 miles of rugged coastline in coordination with partner agencies. Within this environment, approximately 450 vessels are home-ported year-round, and an estimated 2,800 recreational vessels utilized the public launch ramp in 2025.

Additionally, there are no commercial marine towing services within a 100-mile radius, making the Harbor Department a primary provider of assistance for disabled or distressed recreational vessels.

These combined factors significantly increase the risk profile for recreational boaters operating in the jurisdiction.
2) High Volume of Inexperienced Recreational Users
Morro Bay receives approximately 1.3 million annual visitors, compared to a resident population of 10,000. The vast majority of these visitors are here for our unique waterfront and marine recreation opportunities . This high visitation rate results in substantial recreational boating activity, much of it involving inexperienced operators.

Recreational use includes offshore fishing vessels, kayaking, stand-up paddle boarding (SUPs), and rental electric boats. Strong tidal currents and frequently adverse sea conditions can quickly overwhelm inexperienced users, often resulting in emergency incidents.

The presence of five kayak rental companies and two electric boat rental businesses contribute to year-round exposure to novice operators. For example, on June 14, 2025, Harbor Patrol Officers responded to three grounded rental electric boats, assisted two SUPs without personal flotation devices (PFDs) who had fallen into the water, and conducted 10 enforcement contacts related to PFD compliance among paddle craft users.
3) Lack of Knowledge of Boating Safety Laws and Practices A significant safety issue within the jurisdiction is the lack of awareness among recreational boaters regarding state and local boating laws, including PFD carriage requirements and California Boater Card regulations.

The Harbor Department emphasizes education and voluntary compliance through outreach, warnings, and direct engagement. However, enforcement data indicates ongoing deficiencies.

Officers conduct an average of four to six daily enforcement contacts specifically related to PFD compliance.

To address this issue, two PFD loaner stations, supplied through the Division of Boating and Waterways (DBW), have been installed at the most heavily used launch locations, along with informational signage. Despite these efforts, compliance challenges persist, indicating a continued need for education and enforcement.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 37 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION ________________________________________________________________________________________________________________ 8. Inventory List all patrol boats, PWCs and inflatables in your current inventory (Local and State owned). Include boats awarded but not yet received yet.

Year Make CF Number
How many
hours/year is
this used?
What waterbodies is itused on?
Will thisboat besurplused ifawarded anew vessel?
Was thisvesselfunded by aDBW grant?
Is thisvesseloperational?
Is this vessel usedfor anything elsebesides patrolling. Ifso, explain. 2002 Radon 4398 XC 800 Morro Bay Harbor and
Pacific Ocean
No Yes Yes Marine firefighting,
search and rescue,environmentalresponse, training
2004 Pacific 4662 XC 400 Morro Bay Harbor, Pacific
Ocean and Morro Bayback bay
No Yes Yes Search and rescue,
environmentalresponse, training
2013 Radon 5532 XC 800 Morro Bay Harbor and
Pacific Ocean
No Yes Yes Marine firefighting,
search and rescue,environmental responseand training
2018 Kawasaki 5929 XC 100 Morro Bay Harbor and
Pacific Ocean
No Yes Yes Search and rescue,
training
2018 Kawasaki 5930 XC 100 Morro Bay Harbor and
Pacific Ocean
No Yes Yes Search and rescue,
training
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Page: 38 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________

9. Project Type
Are you requesting a new Patrol Boat/PWC or Misc. Equipment.? New Patrol Boat/PWC - see definition below
Equipment / Repairs
NOTE: A “Patrol Boat” is defined as “A Department of Parks and Recreation, Division of Boating and Waterwaysapproved, registered vessel (with or without trailer and/or outboard motor) purchased for use in boating safety and law enforcement activities.” VERIFY THAT YOUR REQUEST IS CORRECTLY CLASSIFIED. Failure to correctly classify may result in disqualification of your grant application. * All items purchased with funding provided by the Division of Boating and Waterways are for the exclusive use of the Boating Safety and Enforcement Unit.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Misc Equipment Instructions

PLEASE READ THE FOLLOWING CAREFULLY
ENTER INFORMATION IN THIS SECTION ONLY IF YOU SELECTED 'MISC. EQUIPMENT' AS A PROPOSAL TYPE
IF YOU DID NOT SELECT 'MISC. EQUIPMENT' AS A PROPOSAL TYPE, CLICK ON THE NEXT TAB TO

NAVIGATE TO THE NEXT SECTION
Misc. Equipment Items

11. Describe what you are requesting. You may request only FIVE ITEMS TOTAL (patrol boat and equipment). You may group "like items”. “Like items” are related items that work together. You need one to work with the other.

Examples of “like items” include a ‘FLIR and delivery’, ‘replacement boat seat and tax’ or ‘GPS and screen’.

DBW may fund up to 50% of the total cost of fire suppression equipment.

NOTE: Supplies and consumables (i.e: rope, water bottles, cleaning supplies, hardware) are not funding priorities.

Item / Group Name Cost
Quantit
y Total Priority
List specific items that
are in the grouped 'like'
items. Include itemized
list with cost and
quantity.

Attach
one
quote
for each
item in
this
section
Vessel Re-Power 170,000.00 1.00 170,000.00 First Engines and related accessories including
transmissions and
transom/gimble assemblies
including labor, tax and
delivery fees. See quote for
pricing breakdown.
49168_0
_23_RePower
Quote.p
df
TOTAL 170,000.00
Misc. Equipment Items Questions (Vessel Re-Power)

11. Item Details
11 a. Is this equipment general all-purpose gear? NOTE: person-specific and fitted items will not be funded.

Yes No
11 b. Describe exactly what is being requested and how this equipment will help mitigate the recreational boating safety issues you identified in Question 7. If the requested quantity is more than one for any item, explain the need for multiple items. (max. 2000 characters)
The Morro Bay Harbor Department is requesting $170,000 to support the re-power and modernization of its primary patrol vessel, a 29-foot Radon twin-engine vessel (CF 5532 XC). This vessel is the Department’s primary enforcement and search and rescue (SAR) asset it conducts the highest number of annual patrol hours in the fleet.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ The Department planning to complete $200k in upgrades in addition to this grant, which includes fiberglass repair, updated electronics, repainting, and improvements to the firefighting system returning the vessel to a reliable, like-new condition.

Morro Bay frequently experiences small craft advisories, strong currents, and large surf conditions.

In 2025, the Department responded to 49 search and rescue cases, many occurring in these highrisk environments. Reliable propulsion is essential to ensure safe and timely response and to reduce risk to both the public and responders.

It also addresses risks associated with high recreational use and inexperienced operators. The jurisdiction experiences heavy use from recreational vessels, kayaks, paddleboards, and rental watercraft, often operated by individuals with limited experience. This significantly increases the likelihood of preventable emergencies requiring rapid response.

Maintaining a fully operational primary patrol vessel is critical to ensuring continuous enforcement, education, and emergency response capability. Without this investment, response reliability and operational safety would be significantly reduced.
11 c. Describe any negative impacts to boating safety and/or boating enforcement if your agency does not receive its requested grant award.

Without the re-power and modernization of the Department’s primary patrol vessel, both enforcement and search and rescue (SAR) operations will be degraded due to the increasing unreliability of aging mechanical systems. As engine hours exceed recommended service life, the risk of breakdowns during critical incidents increases, placing both the public and responding personnel at greater risk.

The Department operates only two twin-engine patrol vessels. As the secondary vessel is already being relied upon more heavily to offset declining reliability of the primary asset, any scheduled maintenance or unexpected failure could create gaps in coverage. During these periods, the Harbor Patrol may be unable to respond to SAR incidents in a timely manner—or at all—particularly in offshore or surf zone environments where rapid response is essential.

This reduced capacity is especially concerning given the high volume of recreational boating activity within the jurisdiction. Annually, Morro Bay experiences approximately 2,800 vessel launches, 450 home-ported vessels, hundreds of transient vessels, and thousands of paddle craft users. Any interruption in continuous patrol, enforcement, and emergency response services directly increases the risk of injury, loss of life, and property damage.

Additionally, the Department has limited access to alternative funding sources. Due to its size, mission scope, and lack of armed, fully sworn peace officers, the Harbor Department is not eligible or competitive for many federal grant programs. As a result, this funding opportunity is critical to maintaining essential boating safety services.

Without this investment, the Department’s ability to ensure compliance with boating safety laws, mitigate hazardous conditions and respond to emergencies, and will be significantly compromised. Furthermore, delaying the re-power will lead to increased costs over time.
11 d. Classify this request
Classify this request by choosing one of the following options and present a strong justification for the request
"Critical" (operations would cease without it)
"Increased efficiency" (if it would save staff time, identify how much time) "Convenience" (it would make life a little easier)
"Protection" of existing equipment (ex: shade tents, hoists to get the vessels out of the water, etc. to extend longevity)
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 41 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Justify your classification of this request. (max. 300 characters) Critical: This vessel is the Department's primary enforcement and SAR asset. Its engines have reached end of life, increasing failure risk. Loss of this vessel would reduce response capacity to one unit, risking gaps in coverage and delayed or unavailable emergency response to the public.

Percentage of time on the water this equipment will be used for:

Activity Percentage
Boating Safety Activities 65
Search and Rescue Activities 25
Other Activities 10
TOTAL 100.00
List any other activities this equipment will be used for: (max 300 characters) The vessel this equipment is requested for is occasionally used for environmental and wildlife assistance as well as junior lifeguard activities. This vessel is also used for A-B tows in our harbor as there are no vessel assist services in Morro Bay.
11 e. If you are not awarded your full request, would your agency be able to supplement the difference?
Yes No
If yes, what percentage can you supplement? 30
11 f. What other capabilities exist in your region for this equipment? Justify why it is not feasible to borrow this equipment from a neighboring agency.

Morro Bay Harbor is isolated along the Central Coast of California with the closest fully protected harbors of refuge being 100 miles to the north or south. While Morro Bay does have an active US Coast Guard station, their mission set deviates from Harbor Patrol's enforcement of California boating law and regular patrol of our jurisdiction. As a Federal agency, Coast Guard is not able to lend any asset to Harbor Patrol.

Morro Bay has a large CA Fish and Wildlife vessel docked in the harbor and occasionally staffed with Wardens.

Their mission set is far different than Harbor Patrol's and while they are willing to assist occasionally, this can not be expected often. Fish and Wildlife is also unable to loan equipment to Harbor Patrol as this has been attempted in the past.

Morro Bay also lacks any form of commercial towing services. This leaves Harbor Patrol to take on this roll, which is critical to assist and aid recreational boaters.
11 g. How and why was this particular model selected? Explain if this is standard equipment or do you need something specialized for your waterbody to meet your agency's needs? List less expensive models considered and explain why they are not being requested. List other funding sources available to your agency that could be used to purchase or partially purchase this equipment.

The Morro Bay Harbor Department selected Yanmar 8LV engines with Konrad transom assemblies and transmissions as a direct OEM replacement for this purpose-built vessel. This configuration has provided reliable year-round performance and full compatibility with the vessel’s design.

Alternative engine packages were evaluated but not selected. The OEM replacement is the most cost-effective option. Other systems would require engine compartment and transom modifications, increasing cost, downtime, and complexity with no operational advantage.

This is not standard off-the-shelf equipment but is identical to the original OEM propulsion system for this vessel.

The Department is also investing $200,000 in local funding for modernization including electronics upgrades, fiberglass repair, paint, and firefighting system improvements.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Misc. Equipment - Informational
11 h. What body(s) of water will this equipment be used on? Pacific Ocean in Harbor Patrol's jurisdictions and neighboring jurisdictions. Morro Bay Harbor city limits and the back bay of Morro Bay.
11 i. How many hours per month on average will this equipment be used for Boating Safety Enforcement? May through September
0-25 hours per month 26-100 hours per month
101-250 hours per month 251+ hour per month
October through April
0-25 hours per month 26-100 hours per month
101-250 hours per month 251+ hour per month
11 j. Will this equipment be used for anything besides Recreational Boating Safety Enforcement (ie. Junior lifeguard, swimming rescues, enforcing commercial events or other activities, etc.)?
Yes No
If YES, complete the table below
List Other Activity (NOT RECREATIONAL

BOATING RELATED ACTIVITY)
Hours per month on
average this
equipment will be
used for other activity
Junior lifeguard 1
Surf rescue 8
Marine events 2
Enviromental missions 8
Percentage of time per year this piece of equipment will be used for the following activities. *Estimate the total time this equipment may be used for boating safety activities in a calendar year based on historical data. DBW may verify this information using accident data. Failure to report time correctly in the following chart may result in disqualification of your grant application.

Activity
Average hours
per year this
equipment will
be used
Percentag
e of time
Boating Patrol 1,360.00 72.15
Search and Rescue Activities 400.00 21.22
Accident Investigation 20.00 1.06
Recovery 5.00 0.27
Other Activities (list below) 100.00 5.30
TOTAL: 1,885.00 100.00
List any other activities this equipment will be used for: (max 300 characters) The vessel this equipment is requested for is occasional used for environmental and wildlife assistance as well as junior lifeguard activities. This vessel is also used for A-B tows in our harbor as there are no vessel assist services in Morro Bay.

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ 11 k. Select the PRIMARY purpose this equipment will be used for:

Search and rescue
Enforcement of state and local measures
Inspection of vessels
Supervising organized water events
11 l. If Search and Rescue is the primary purpose, list the activity and the number of boating-related emergencies this equipment would have been used for last year doing that activity. Do not include NON-BOATING emergencies (i.e: those related to swimmers)

BOATING-RELATED ACTIVITY

NUMBER OF TIMES

NEEDED LAST YEAR
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 44 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ 12 Previous BSEE Grants
FY 24/25 FY 23/24 FY 22/23
Did your agency apply for a BSEE grant ? No No No
Were you awarded a BSEE grant? (leave blank if
No)
Amount awarded: (List amount or leave blank if
No or NA)
Amount spent: (List amount or leave blank if No
or NA)
List the equipment purchased: (List leave
blank if No or NA)
Boating Safety and Enforcement Income

13. Revenue and Expenditures
Boat Tax Revenue 6,637.44
Other Revenue:
a) Other local revenue sources: (Example: launching
facilities, campgrounds, parking, anything that goes
toward marine patrol support)
528,623.15
b) Any State boating funding sources, including DBW
subvention/financial aid:

0.00 TOTAL ANNUAL BOATING INCOME IN YOUR OPERATING
BUDGET
535,260.59

TOTAL EXPENDITURES FOR BOATING SAFETY AND

ENFORCEMENT
1,639,271.23

14. If you participated in the subvention/financial aid program, were all allocated funds expended in the previous closed year?
Yes No NA
If NO, state percentage of remaining funds.

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Budget Detail for Boating Safety and Enforcement Equipment Grant - FY 2026 / 27

Agency: City of Morro Bay Harbor Department

Application: Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Line Item Qty Rate UOM Total Req Amount 1 Patrol Boat2 Equipment
Vessel Re-Power 1.0000 170000.000 170,000.00 170,000.00 3 Adjustment
TOTAL EXPENDITURES 170,000.00 170,000.00
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Page: 46 of 48

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Budget Summary for Boating Safety and Enforcement Equipment Grant - FY 2026 / 27

Agency: City of Morro Bay Harbor Department

Application: Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Category Total Req Amount Narrative 1 Patrol Boat 0.00 0.002 Equipment 170,000.00 170,000.003 Adjustment 0.00 0.00 TOTAL EXPENDITURES 170,000.00 170,000.00
Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27 ________________________________________________________________________________________________________________ Page: 47 of 48

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Exhibit G - BOATING SAFETY AND ENFORCEMENT EQUIPMENT GRANTEE APPLICATION __________________________________________________________________________ Applicant Certification
a. Under penalty of perjury, I certify that I have examined this application and the document(s), proposal(s), and statement(s) submitted in conjunction herewith, and that to the best of my information and belief, the information contained herein is true, accurate, correct, and complete. b. I certify that I am the person authorized to submit this application on behalf of the applicant.

Name: Lori Thompson
Title: Harbor Business Manager
Date Signed: 04/28/202
6 Date: 09/15/2026 Contract # C26L0602, City of Morro Bay Harbor Department, Boating Safety and Enforcement Equipment Grant - FY 2026 / 27
__________________________________________________________________________ Page: 48 of 48

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Prepared By: JC Dept Review: KC
City Manager Review: JC City Attorney Review: BS
Prepared By: JC Dept Review:

City Manager Review: JC City Attorney Review: BS
Staff Report
TO: Honorable Mayor and City Council DATE: October 8, 2026 FROM: John Craig, City Manager
SUBJECT: Direction to Proceed with Due Diligence to Convert Existing Park Space into Four Additional Pickleball Courts in Del Mar Park

RECOMMENDED ACTION
Staff recommends the City Council direct staff to take the following steps on the proposed conversion of the two existing tennis courts at Del Mar Park into four pickleball courts:

1. Prepare a concept plan and cost estimate for the conversion, including resurfacing.

2. Present the concept to the Recreation and Parks Commission for public input and a recommendation, including the process required for approvals.

3. Return to Council with the RPC's recommendation on this proposal, the cost estimate, and a proposed funding source.

ALTERNATIVES

1. Direct staff to evaluate other sites for new pickleball courts instead of converting the existing tennis courts;

2. Take no action and keep the existing four pickleball courts and the two tennis courts as they are.

FISCAL IMPACT
There is no additional cost associated with tonight's direction. If Council follows the recommendation, it would commit staff time to prepare the item and perform due diligence before bringing the item back to Council for a decision to proceed. The cost of the conversion itself is not yet known. Staff will return with an estimate covering resurfacing, striping, nets, fencing and accessibility improvements, along with a proposed funding source. The Morro Bay Pickleball Club has committed to fundraising, and donations from the Club are expected to fund a majority of the construction costs.

BACKGROUND
Del Mar Park is a nine-acre neighborhood park at 3060 Ironwood Avenue. It has four permanent pickleball courts and a soft-surface tennis complex of two courts, along with a playground, basketball court, dog park and picnic areas.

The pickleball courts are open first-come, first-served. The Morro Bay Pickleball Club, sponsored by Morro Bay Senior Citizens Inc., hosts play days Monday through Friday from 9 a.m. to noon and AGENDA NO: 6.d
MEETING DATE: October 13, 2026

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2 Saturday lessons.

A desire for more pickleball courts in Morro Bay is a long-standing issue. The Recreation and Parks Commission has discussed this issue many times over the past decade. The Morro Bay Pickleball Club has asked the City to move forward with additional courts for more than a decade and has committed to raising the necessary funds to complete the project. Under the project concept, the City would undertake the project and use donations from the Pickleball Club to fund the conversion cost.

After completion, the courts will be entirely City owned and operated.

DISCUSSION
Converting the Del Mar tennis courts would double the City's pickleball capacity, from four courts to eight, within an existing court footprint. It adds no new paving to the park and keeps pickleball at the site where players already gather.

Required approvals. Staff does not anticipate the proposal would require an amendment to the Parks and Facilities Master Plan, the Zoning Code, or a coastal development permit. The Community Development Department anticipates the project will be eligible for a categorical exemption under CEQA.

Effect on tennis. The conversion would remove the tennis courts at Del Mar Park and leave the Monte Young Park courts as the City's public tennis facility. Staff has seen limited use for tennis at Del Mar and will seek input from tennis players through the Recreation and Parks Commission meeting.

The concept plan assumes conversion of the Del Mar tennis courts to four new pickleball courts, resurfacing and restriping, which is expected to be the largest cost.

Process. If Council gives direction to proceed, staff will follow these steps:

1. Confirm the required approvals with Community Development.

2. Present the concept to the Recreation and Parks Commission within three months.

3. Return to City Council for approval of the plan and potential costs within four months.

4. Prepare plan amendments and approvals to the Planning Commission, if necessary.

5. Once sufficient funds are available for the project bid and construct the project.

CONCLUSION
Converting the Del Mar tennis courts is the most direct way to meet long-standing demand for pickleball courts without developing new parkland. Staff recommend Council direct staff to prepare the concept and cost estimate, gather public input through the Recreation and Parks Commission, and determine the exact process required for approvals before returning for a final decision.

ATTACHMENTS
None.

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Prepared By: BS Dept Review:

City Manager Review: JC City Attorney Review: BS
Staff Report
TO: Honorable Mayor and City Council
FROM: Brian Stack, City Attorney
SUBJECT: Adoption of Resolution No. 51-26 approving Amendment No. 1 to Commercial Lease between the City of Morro Bay and Morro Dunes Trailer Park & Campgrounds Inc. for 1700 Embarcadero

RECOMMENDED ACTION
Adopt Resolution No. 51-26 approving lease amendment for Morro Dunes RV Park (Morro Dunes) located at 1700 Embarcadero.

ALTERNATIVES
The City Council can elect not to approve the lease amendment.

FISCAL IMPACT
This lease provides the City with consistent rental income and transient occupancy tax revenue.

Extending it for five years would maintain that revenue stream, while increasing the percentage rent agreement from 15% to 16% is expected to have an additional positive fiscal impact. Based on a ten-year history of payments under the current lease, this one-percentage-point increase would have generated approximately $240,000 in additional rental income over ten years. Staff therefore estimate that the increase would generate approximately $120,000 in additional rental income during the five-year extension compared with the current 15% agreement.

BACKGROUND
Morro Dunes has been in operation since 1967, first under a 40-year lease and then a 20-year lease in 2008 (Lease). The Lease is currently set to expire on August 30, 2028. The lease site (Premises) is approximately 12.5 acres – see portion outlined in green in figure below. The Premises includes a portion of the former WWTP site which until recently was jointly owned with the Cayucos Sanitary District (District) – see portion represented by the red lines in below figure. The former WWTP plant is outlined in blue, the City Yard is outlined in orange, and the former concrete plant is outlined in yellow, all totaling approximately 10 acres.

AGENDA NO: 6.e
MEETING DATE: August 11, 2026

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2 Morro Dunes is in good standing under the Lease and has proven to be a successful business and significant revenue generating tenant for the City. While Morro Dunes has indicated a desire for a new long-term lease, there is significant uncertainty regarding the future use of the Premises and the surrounding City owned parcels, including the Waterfront Master Plan update in process and the future demolition of the former WWTP.

In light of that uncertainty, the parties have negotiated a proposed five-year extension of the Lease subject to certain conditions described more fully in the following section. The extension would allow a successful business to continue operating while providing the City with the flexibility needed to allow potential redevelopment plans to move forward in the future (which would include an opportunity for Morro Dunes to submit a proposal). The extension would also not foreclose the City and Morro Dunes from negotiating a new lease in the future for the Premises.

TERMS
Lease Term Extension: Five years (extending from August 30, 2028 to August 31, 2033.) Percentage Rent Increase: Increase from 15% to 16% during extension period (i.e. from August 30, 2028 to August 31, 2033). The amendment also includes clarifying language to confirm the parties understanding and custom that Minimum Rent is deducted from Percentage Rent consistent with standard City lease terms and custom. In practice, Minimum Rent is calculated and billed by staff before the start of the new fiscal year and paid twice yearly in advance (50% in July and 50% in January). This prepaid amount is credited towards the final Percentage Rent amount owed by the tenant calculated after close of the applicable fiscal year and due by July 31.

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3 RFP Trigger: During the extension period, City would be able to terminate the Lease if a Request for Proposal (RFP) or similar solicitation is issued that applies to all or part of the WWTP site and the Premises, and Morro Dunes either does not propose or are not the successful proposer. Morro Dunes would need to vacate within 6 months of not being selected, as may be extended upon mutual agreement of the parties. If the RFP did not include all of the Morro Dunes site, Morro Dunes would have an option to continue operating on the remaining portion for the remainder of the extension term. The purpose of this provision is to provide the City a reasonable amount of flexibility to move forward with potential future redevelopment of the City owned parcels prior to 2033 after completion of the Waterfront Master Plan update and WWTP demolition.

Boundary Modification: During the extension period, the City would also have the ability to modify lease boundaries upon 12 months’ notice for the eastern portion of the Premises up to the extended boundary line between the City Yard and former concrete plant. See orange line below for rough approximation of eastern limit. The purpose of this provision is to provide the City a reasonable amount of flexibility to repurpose the eastern portion of the site, including the ability to implement any future expanded public facilities being considered for this portion of the City under the Waterfront Master Plan update.

Miscellaneous: The amendment includes updated language to reflect that the City has recently acquired the District’s interest in the WWTP site. There is also an express disclaimer that nothing in the Amendment would prevent the parties from negotiating and entering a new long-term lease for the Premises in the future.

CONCLUSION
The Amendment would allow Morro Dunes to remain operating while any long-term redevelopment plans are prepared in the next seven years but still provide the City ability to move forward with any redevelopment plans that may be finalized during the lease extension period. Morro Dunes has accepted the City’s terms after negotiations.

ATTACHMENT(S)

1. Resolution No. 51-26 Approving the Lease Amendment for Harbor Hut

2. Amendment #1 to Commercial Lease for 1700 Embarcadero

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RESOLUTION NO. 51-26

RESOLUTION OF THE CITY COUNCIL

OF THE CITY OF MORRO BAY, CALIFORNIA
APPROVING AMENDMENT #1 TO COMMERCIAL LEASE AGREEMENT FOR 1700 EMBARCADERO WITH
MORRO DUNES TRAILER PARK & CAMPGROUNDS INC.

T H E C I T Y C O U N C I L
City of Morro Bay, California
WHEREAS, the City of Morro Bay is the sole owner and lessor of certain property located in the City of Morro Bay at 1700 Embarcadero; and
WHEREAS, Morro Dunes Trailer Park & Campgrounds Inc. have been the Lessee and operator of said property for nearly sixty years pursuant to lease agreements dated March 28, 1967 and September 1, 2008, and is a tenant in good standing; and WHEREAS, the current lease between the Lessor and Lessee is set to expire on August 30, 2028; and
WHEREAS, the City of Morro Bay desires to continue to lease the property at 1700 Embarcadero Road to Morro Dunes Trailer Park & Campgrounds Inc., pursuant to the terms and conditions set forth in the attached Amendment; and
WHEREAS, the City and Tenant have negotiated Amendment No. 1 to extend the lease term, subject to certain conditions related to the ability of the City to terminate or modify the lease boundaries and an increased percentage rent during the extension term, and to clarify existing language in the lease regarding the deduction of minimum rent from Percentage Rent in accordance with the parties’ established understanding and practice.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Morro Bay, California, as follows:

1. The attached Amendment #1 to Commercial Lease Agreement for 1700 Embarcadero is hereby approved.

2. The Mayor is hereby authorized to execute said Lease Amendment.

PASSED AND ADOPTED by the City Council of the City of Morro Bay at a regular meeting thereof held on the 13
th day of October 2026 on the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSE:
______________________________
CARLA WIXOM, Mayor
ATTEST:
_____________________________
DANA SWANSON, City Clerk

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Prepared By: NLS Dept Review: DLC
City Manager Review: JC City Attorney Review: BS
Staff Report
TO: Honorable Mayor and City Council DATE: October 8, 2026 FROM: Nate Stong, PE, City Engineer
David LaCaro, Public Works Director
SUBJECT: Award of Contract to Westrock General Engineering for the 2026 Pavement Rehabilitation Project, Authorize a Professional Services Agreement with Filippin Engineering for Construction Management Services, and receive an update on the Pavement Management Program

RECOMMENDED ACTION
Staff recommend the City Council:

1. Authorize the City Manager to execute a contract with Westrock General Engineering for the 2026 Pavement Rehabilitation Project for a total of $3,115,340, subject to final approval as to form by the City Attorney prior to full execution, and approve 10% in contingencies, authorizing the Public Works Director to execute contract change orders not to exceed $311,153. This action would also reject the bid protest filed by Souza Construction.

2. Authorize the City Manager to execute a professional services agreement with Filippin Engineering in an amount not to exceed $430,580 for Construction Management and Inspections Services for the 2026 Pavement Rehabilitation Project, subject to final approval as to form by the City Attorney prior to full execution, and approve 10% in contingencies, authorizing the Public Works Director to execute amendments not to exceed $43,058.

3. Receive an update to the Pavement Management Program.

ALTERNATIVE
The City Council may alternatively:

1. Select a combination of additive alternates to the base bid for award; or

2. Reject all bids and provide other direction to staff.

FISCAL IMPACT
The recommended action falls within existing Pavement Management Program (PMP) budget and as such, there is no request for additional project budget at this time. The current unencumbered PMP fund balance is $4,159,247. This amount includes the carryforward of unspent funding allocated in prior year budgets and the current fiscal year funding of $696,214 per the adopted budget.

Recommended Action 1 (Pavement Construction):

Bids were received on September 29, 2026 and were evaluated using the base bid. The lowest responsive responsible base bid for construction submitted by Westrock General Engineering is $2,147,777. The project includes four bid alternates. Due to the current allocated project funding, staff recommends awarding Additive Alternates 1 and 2 (discussed later in this report). The low bidder’s base and bid alternates are outlined in the table below.

AGENDA NO: 8.a
MEETING DATE: October 13, 2026

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2 Bid Amount
Base Bid $ 2,147,777
Additive Alternate 1 $ 484,281
Additive Alternate 2 $ 483,282
Additive Alternate 3 $ 315,090
Additive Alternate 4 $ 294,294
Total Base + Alternates 1 and 2 $ 3,115,340
Staff recommend authorizing 10% for contingencies in the amount of $311,534 for a total construction budget amount of $3,426,874.

Recommended Action 2 (Construction Management):

Proposals for construction management, inspection and materials testing (CMIT) services were received on September 24, 2026. Staff reviewed all proposals and selected Filippin Engineering with the following base bid and additive alternate fees. To align with the proposed pavement construction scope of work and current budget allocation, staff recommends awarding the base bid as well as Additive Alternates 1 and 2 (discussed later in this report).

Item of Work Amount
Base Bid $ 317,916
Additive Alternate 1 $ 57,369
Additive Alternate 2 $ 55,295
Additive Alternate 3 $ 43,080
Additive Alternate 4 $ 43,080
Total Base + Alternates 1 and 2 $ 430,580
The total budget for the 2026 Pavement Rehabilitation Project is as follows:

Budget Category Amount
Construction Management,
Inspections & Testing (CMIT) $ 430,580
CMIT Contingency (10%) $ 43,058
Construction Bid + Alternates $ 3,115,340
Construction Contingency (10%) $ 311,534
Total Recommended Project
Budget $ 3,900,512
Available Funding $ 4,159,247

BACKGROUND
In August of 2023, the City completed its Fiscal Year (FY) 2021-22 Annual Pavement Management Program Project, which included digouts throughout the City including Main Street and South Bay boulevard. A slurry project was slated for the FY 2022-23 Annual Pavement Management Program Project, but due to the delay of the FY 2021-22 Annual Pavement Management Program project, the Slurry project was delayed. Staff consolidated the FY 2022-23, FY 2023-24, and FY 2024-25 allocated budgets to complete the 2024 Pavement Rehabilitation Project, which consisted of Slurry Seal, Cape Seal, and digouts. That project was completed in June 2025.

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3 DISCUSSION
The 2026 Pavement Rehabilitation Project is aimed at maintaining and improving the condition of the City's roadway infrastructure. This project involves the resurfacing and repair of various streets throughout the City, focusing on extending pavement life, enhancing road safety, and improving the overall quality of our transportation network.

The work includes rehabilitation of specified roads utilizing a combination of treatments such as slurry seal, localized dig-outs, and full rehabilitation techniques according to the prepared plans and specifications on file with the City Engineer. Utility access covers and survey monuments will be protected in place or reset/reconstructed as needed. The work will also include traffic control, signage, public notifications, stormwater control, formwork, any necessary tree trimming and all other work necessary to render the infrastructure/facility complete and operational, as shown on the project plans and specifications (Bid Documents). The Bid Documents contain four Additive Alternates in addition to the Base Bid work. Alternates 1 and 2 are slurry seal projects, with Alternates 3 and 4 being rehabilitation work. A map of the streets in the base bid and additive alternates is provided in Attachment 1.

Advertisement and Bid Opening
Engineering plans and specifications were prepared and a notice to bidders advertised on September 1, 2026, with a public bid opening conducted on Tuesday, September 29, 2026, at City Hall. A summary of the five bids received can be found in Attachment 2. Westrock General Engineering is the selected contractor, having submitted the lowest responsive and responsible bid in accordance with the City’s Invitation to Bid. Westrock is a well-regarded contractor with demonstrated experience successfully completing similar paving construction projects.

Project Data
Low Bid: $ 2,177,777
High Bid: $ 2,550,181
No. Bids Received: 5
Engineer’s Estimate: $ 2,894,736
Bid Opening: 2:00 p.m. on 9/29/2026
Contract Time Allowed (Base Bid): 80 WORKING DAYS
Contract Time Allowed (Alts 1 and 2) 30 WORKING DAYS
Total Contract Time Allowed 110 WORKING DAYS
Bid Protest
The City received a bid protest on October 1, 2026, from Souza Construction (see Attachment 3). In general, the protest claimed that Westrock’s bid did not properly 1) demonstrate adequate qualifications/prior work and 2) document subcontractor participation pursuant to the City’s required bid instructions and should be disqualified. Staff provided the protest to Westrock for an opportunity to provide a response, which they submitted and is included as Attachment 4.

Staff has reviewed the protest and response and has determined the bid protest lacks merit. On the first protest ground, Westrock did provide required qualification materials in their bid submittal – this information was inadvertently not included by staff when responding to Souza’s request for a copy of Westrock’s bid. For the second protest ground, staff has determined Westrock adequately identified (nor is it unusual for bids to identify) the portions of work to be subcontracted by referencing the bid items and total percent of contract per subcontractor. In fact, staff believes the argument regarding alleged uncertainty in the specific portion of work to be performed by the identified subcontractors would also apply to the bid submitted by the protesting party because they used a similar structure of grouping multiple bid items under one percent of contract amount per subcontractor. Based on the foregoing, Staff has determined that Westrock General Engineering’s bid is responsive and does not provide Westrock with a competitive advantage or otherwise affect the fairness or integrity of the competitive bidding process. The alleged irregularities do not provide a basis for Westrock to withdraw

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4 or seek relief from its bid, nor do they permit Westrock to modify its subcontractor commitments following bid opening. Based on these findings, and in consultation with the City Attorney, staff recommends rejecting the protest and awarding the project to Westrock General Engineering as the lowest responsive and responsible bidder.

Additive Alternates
Staff reviewed the base bid and various additive alternate combinations against available budget summarized in Table 1 below and recommend awarding Alternatives 1 and 2 in addition to the base bid, highlighted in green. The primary objective of the recommended strategy is to preserve the City’s pavement assets by addressing roadways before they deteriorate to the point where more costly rehabilitation is required. This approach maximizes the number of centerline miles that can be treated within the available budget while achieving the lowest practical cost per mile.

The Council may consider other scenarios, including those exceeding the available budget utilizing funds from other sources and award additional additive alternates. In such cases, Staff recommends scenarios which retain alternates 1 and 2 and add either alternate 3 or 4, or add both 3 and 4. The total cost of each scenario is presented in the table above with the additional funding needed in those cases where the remaining fund balance is shown as negative. For example, awarding the base bid plus all alternates would require a budget increase of $506,363.37.

The proposed construction contract with Westrock General Engineering provided as Attachment 5 reflects the base bid plus Additive Alternates 1 and 2.

Construction Management
Given the scale and complexity of the project, the most efficient and effective means of implementation strategy for project construction is to hire a firm with the expertise and capacity to manage construction, as we have in the past with paving projects. Pavement rehabilitation projects of this nature are fastpaced, requiring quick decision-making, immediate response to issues as they arise, and meticulous coordination of resources and activities. This environment necessitates full-time, on-site construction management and inspection to ensure that work is carried out in compliance with project specifications, within budget, and on schedule.

To secure these services, the City released a Request for Proposals (RFP) on September 1, 2026, inviting qualified firms to submit proposals for construction management and inspection services for the project. A total of five firms responded to the RFP. The selection process was based on qualifications, with evaluations focused on each firm's experience, technical qualifications, and cost-effectiveness.

Scenario
Total Cost Incl
Contingency
Remaining Fund
Balance
Centerline
Miles Cost per Mile
Base Bid $ 2,712,262.30 $ 1,446,984.59 5.26 $ 515,639.22 Base + Alt 1 $ 3,308,077.09 $ 851,169.80 6.81 $ 485,767.56 Base + Alt 2 $ 3,304,697.07 $ 854,549.82 6.75 $ 460,185.08 Base + Alt 3 $ 3,106,249.30 $ 1,052,997.59 5.56 $ 558,677.93 Base + Alt 4 $ 3,083,373.70 $ 1,075,873.19 5.51 $ 559,595.95 Base + Alts 1+2 $ 3,900,511.86 $ 258,735.03 8.30 $ 469,941.19 Base + Alts 2+3 $ 3,698,684.07 $ 460,562.82 7.05 $ 524,636.04 Base + Alts 1+2+3 $ 4,294,498.86 $ (135,251.97) 8.60 $ 499,360.33 Base + Alts 2+3+4 $ 4,069,795.47 $ 89,451.42 7.30 $ 588,287.51 Base + Alts 1+2+4 $ 4,271,623.26 $ (112,376.37) 8.55 $ 499,605.06 Base + Alts 1 - 4 $ 4,665,610.26 $ (506,363.37) 8.85 $ 527,187.60

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5 Filippin Engineering was identified as the top candidate through this selection process. The firm's extensive experience in managing similar infrastructure projects, coupled with their technical expertise and ability to provide dedicated full-time staff, made them the most qualified for the job. Their proposal demonstrated a deep understanding of the complexities involved in pavement rehabilitation and a commitment to delivering the project efficiently and effectively. In addition, Filippin Engineering successfully provided these services on the most recent paving project under budget and on time.

The consultant construction management firm will provide the necessary oversight to maintain highquality standards throughout the construction process, ensuring maximization of the City's investment in its roadway infrastructure. The proposed professional services agreement with Filippin Engineering is provided in Attachment 6.

Pavement Management Plan
The City’s Pavement Management Program (PMP) was last fully updated in 2024, with a presentation made to the City Council at its August 27, 2024 regular meeting. The 2024 report is provided as Attachment 7. Staff has worked with Pavement Engineering Incorporated (PEI), who originally authored the report, to update the cost estimates to reflect recent inflation and the current construction bidding and professional services environment.

To maintain the City’s existing Pavement Condition Index (PCI) score of 58, an estimated annual investment of $4.5 million is recommended. Historically, the funding level required to maintain pavement conditions have increased over time as pavement and construction costs have increased.

Staff consulted with PEI to evaluate current pavement treatment costs and determined the funding level necessary to maintain the existing PCI. Based on current treatment costs, the recommended annual funding level for 2026 remains approximately $4.5 million, consistent with the 2024 recommendation.

Report Year Recommended Annual
Funding to Maintain PCI1
2020 $ 2,000,000
2022 $ 2,800,000
2024 $ 4,500,000
2026 (updated
costs only) $ 4,500,000
1 recommended annual funding levels are fully burdened
and include soft costs for design, construction
management, and updates to the PMP.

The City’s pavement management program generally operates on a two-year cycle, with one year dedicated to evaluating pavement conditions, developing treatment strategies, and completing design, followed by construction in the subsequent year.

Staff plans to perform a comprehensive update of the Pavement Management Program (PMP) in Fiscal Year 2027/28 and, moving forward, conduct full updates every four years, aligning with two paving cycles. A full update will include a citywide evaluation of each street’s Pavement Condition Index (PCI), updated data entry into the City’s StreetSaver software system, and preparation of a revised PMP report. Partial updates will be completed at least every two years to update construction costs, recalculate treatment scenarios, and evaluate recommended funding levels.

The upcoming PMP update will provide an opportunity to more clearly evaluate the relationship between funding levels and pavement condition. Staff intends to present City Council with multiple funding scenarios that illustrate the level of investment necessary to maintain or improve a targeted PCI and the consequences of continued investment at lower levels. This analysis will help establish a long-term pavement management strategy that prioritizes cost-effective preventive treatments, maximizes the value of available funding, and reduces the need for more expensive rehabilitation in the future.

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6 IMPACT TO THE COMMUNITY
Motorists, cyclists, and pedestrians may experience inconveniences during the project’s construction due to temporary closures of streets, traffic lanes, the presence of the construction equipment, and traffic control efforts. Project rollout will include public notification and temporary parking restrictions. These efforts are intended to allow residents to prepare for the project impacts by adjusting their routes of travel and/or schedules during construction work. The community should note that the work may require road closures for a whole day during working hours. Staff will proactively communicate upcoming closures, impacts, and available alternate routes through press releases, social media, the City’s website, and other appropriate communication channels to help minimize inconvenience and disruption to the traveling public.

ATTACHMENTS

1. Map of Project Streets

2. Bid Summary

3. Bid Protest from Souza Construction

4. Westrock Response to Bid Protest

5. Construction Contract with Westrock General Engineering

6. Agreement for Professional Services with Filippin Engineering

7. 2024 Pavement Management Program - Link

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QUINTANA ROAD

MORRO CREEK ROAD

PARK VIEW ROAD

MAIN ST

ELENA ST

SOUTH BAY

BOULEVARD

VICINITY MAP
NTS

CITY OF MORRO BAY
2026 PAVING REHABILITATION PROJECT
PROJECT NO. 2742

SLURRY SEAL STREETS

QUINTANA ROAD
(SHEET 28)

BRADLEY AVENUE
(SHEET 16)

CABRILLO PLACE
(SHEET 17) DANA WAY
(SHEET 17)

SIERRA COURT, ALTA COURT,

AND CENTER COURT
(SHEET2)

RIDGEWAY STREET
(SHEET 13)

MORRO AVENUE &

SOUTH STREET
(SHEET 1)

PANORAMA DRIVE
(SHEET 3)

AVALON STREET
(SHEET 7)

DOWNING STREET
(SHEET 5)

IRONWOOD AVENUE
(SHEET 6,7,11)

SUNSET AVENUE
(SHEET 5)

TAHITI STREET
(SHEET 8)

ARCADIA AVENUE
(SHEET 9)

HILLCREST DRIVE
(SHEET 10)

CARMEL STREET
(SHEET 12)

COLEMAN DRIVE
(SHEET 14 & 15)

ARBUTUS AVENUE
(SHEET 12)

ESTERO AVENUE
(SHEET 18)

SCOTT STREET
(SHEET 19)

ALDER AVENUE
(SHEET 21)

LAS TUNAS STREET
(SHEET 22)

SAN JOAQUIN STREET
(SHEET 23) BERWICK DRIVE
(SHEET 24)

SAN JACINTO STREET
(SHEET 25)

CASITAS STREET
(SHEET 26) DOGWOOD AVENUE
(SHEET 26)

WHIDBEY STREET
(SHEET 30)

BELLA VISTA DRIVE
(SHEET 27)

FRESNO AVENUE
(SHEET 29)

MORRO AVENUE
(SHEET 19 & 20)

ZANZIBAR STREET
(SHEET 30)

SOUTH STREET
(SHEET 4)
Base -
Alt 1-
Alt 2-
Alt 3-
Alt 4-
Rehab: Blanca St
Rehab: Sicily St
Rehab: Nevis & Nassau & Panorama & Tide Rehab: Andros
Rehab: Cedar St
Rehab: Fir Ave Rehab: Pacific St Rehab: Acacia & Shasta Rehab: Driftwood Ave

AND REHAB STREETS
EVERYTHING Page 81 of 259

QUINTANA ROAD

MORRO CREEK ROAD

PARK VIEW ROAD

MAIN ST

ELENA ST

SOUTH BAY

BOULEVARD

VICINITY MAP
NTS

CITY OF MORRO BAY
2026 PAVING REHABILITATION PROJECT
PROJECT NO. 2742

SLURRY SEAL STREETS

QUINTANA ROAD
(SHEET 28)

BRADLEY AVENUE
(SHEET 16)

CABRILLO PLACE
(SHEET 17) DANA WAY
(SHEET 17)

SIERRA COURT, ALTA COURT,

AND CENTER COURT
(SHEET2)

RIDGEWAY STREET
(SHEET 13)

MORRO AVENUE &

SOUTH STREET
(SHEET 1)

PANORAMA DRIVE
(SHEET 3)

AVALON STREET
(SHEET 7)

DOWNING STREET
(SHEET 5)

IRONWOOD AVENUE
(SHEET 6,7,11)

SUNSET AVENUE
(SHEET 5)

TAHITI STREET
(SHEET 8)

ARCADIA AVENUE
(SHEET 9)

HILLCREST DRIVE
(SHEET 10)

CARMEL STREET
(SHEET 12)

COLEMAN DRIVE
(SHEET 14 & 15)

ARBUTUS AVENUE
(SHEET 12)

ESTERO AVENUE
(SHEET 18)

SCOTT STREET
(SHEET 19)

ALDER AVENUE
(SHEET 21)

LAS TUNAS STREET
(SHEET 22)

SAN JOAQUIN STREET
(SHEET 23) BERWICK DRIVE
(SHEET 24)

SAN JACINTO STREET
(SHEET 25)

CASITAS STREET
(SHEET 26) DOGWOOD AVENUE
(SHEET 26)

WHIDBEY STREET
(SHEET 30)

BELLA VISTA DRIVE
(SHEET 27)

FRESNO AVENUE
(SHEET 29)

MORRO AVENUE
(SHEET 19 & 20)

ZANZIBAR STREET
(SHEET 30)

AND REHAB STREETS
Base + Alt 2 + Alt 4 Page 82 of 259

QUINTANA ROAD

MORRO CREEK ROAD

PARK VIEW ROAD

MAIN ST

ELENA ST

SOUTH BAY

BOULEVARD

VICINITY MAP
NTS

CITY OF MORRO BAY
2026 PAVING REHABILITATION PROJECT
PROJECT NO. 2742

SLURRY SEAL STREETS

QUINTANA ROAD
(SHEET 28)

BRADLEY AVENUE
(SHEET 16)

CABRILLO PLACE
(SHEET 17) DANA WAY
(SHEET 17)

SIERRA COURT, ALTA COURT,

AND CENTER COURT
(SHEET2)

RIDGEWAY STREET
(SHEET 13)

MORRO AVENUE &

SOUTH STREET
(SHEET 1)

PANORAMA DRIVE
(SHEET 3)

AVALON STREET
(SHEET 7)

DOWNING STREET
(SHEET 5)

IRONWOOD AVENUE
(SHEET 6,7,11)

SUNSET AVENUE
(SHEET 5)

TAHITI STREET
(SHEET 8)

ARCADIA AVENUE
(SHEET 9)

HILLCREST DRIVE
(SHEET 10)

CARMEL STREET
(SHEET 12)

COLEMAN DRIVE
(SHEET 14 & 15)

ARBUTUS AVENUE
(SHEET 12)

ESTERO AVENUE
(SHEET 18)

SCOTT STREET
(SHEET 19)

ALDER AVENUE
(SHEET 21)

LAS TUNAS STREET
(SHEET 22)

SAN JOAQUIN STREET
(SHEET 23) BERWICK DRIVE
(SHEET 24)

SAN JACINTO STREET
(SHEET 25)

CASITAS STREET
(SHEET 26) DOGWOOD AVENUE
(SHEET 26)

WHIDBEY STREET
(SHEET 30)

BELLA VISTA DRIVE
(SHEET 27)

FRESNO AVENUE
(SHEET 29)

MORRO AVENUE
(SHEET 19 & 20)

ZANZIBAR STREET
(SHEET 30)

AND REHAB STREETS
Base + Alt 1 + Alt 4 Page 83 of 259

QUINTANA ROAD

MORRO CREEK ROAD

PARK VIEW ROAD

MAIN ST

ELENA ST

SOUTH BAY

BOULEVARD

VICINITY MAP
NTS

CITY OF MORRO BAY
2026 PAVING REHABILITATION PROJECT
PROJECT NO. 2742

SLURRY SEAL STREETS

QUINTANA ROAD
(SHEET 28)

BRADLEY AVENUE
(SHEET 16)

CABRILLO PLACE
(SHEET 17) DANA WAY
(SHEET 17)

SIERRA COURT, ALTA COURT,

AND CENTER COURT
(SHEET2)

RIDGEWAY STREET
(SHEET 13)

MORRO AVENUE &

SOUTH STREET
(SHEET 1)

PANORAMA DRIVE
(SHEET 3)

AVALON STREET
(SHEET 7)

DOWNING STREET
(SHEET 5)

IRONWOOD AVENUE
(SHEET 6,7,11)

SUNSET AVENUE
(SHEET 5)

TAHITI STREET
(SHEET 8)

ARCADIA AVENUE
(SHEET 9)

HILLCREST DRIVE
(SHEET 10)

CARMEL STREET
(SHEET 12)

COLEMAN DRIVE
(SHEET 14 & 15)

ARBUTUS AVENUE
(SHEET 12)

ESTERO AVENUE
(SHEET 18)

SCOTT STREET
(SHEET 19)

ALDER AVENUE
(SHEET 21)

LAS TUNAS STREET
(SHEET 22)

SAN JOAQUIN STREET
(SHEET 23) BERWICK DRIVE
(SHEET 24)

SAN JACINTO STREET
(SHEET 25)

CASITAS STREET
(SHEET 26) DOGWOOD AVENUE
(SHEET 26)

WHIDBEY STREET
(SHEET 30)

BELLA VISTA DRIVE
(SHEET 27)

FRESNO AVENUE
(SHEET 29)

MORRO AVENUE
(SHEET 19 & 20)

ZANZIBAR STREET
(SHEET 30)

AND REHAB STREETS
Base + Alt 2 + Alt 3 Page 84 of 259

QUINTANA ROAD

MORRO CREEK ROAD

PARK VIEW ROAD

MAIN ST

ELENA ST

SOUTH BAY

BOULEVARD

VICINITY MAP
NTS

CITY OF MORRO BAY
2026 PAVING REHABILITATION PROJECT
PROJECT NO. 2742

SLURRY SEAL STREETS

QUINTANA ROAD
(SHEET 28)

BRADLEY AVENUE
(SHEET 16)

CABRILLO PLACE
(SHEET 17) DANA WAY
(SHEET 17)

SIERRA COURT, ALTA COURT,

AND CENTER COURT
(SHEET2)

RIDGEWAY STREET
(SHEET 13)

MORRO AVENUE &

SOUTH STREET
(SHEET 1)

PANORAMA DRIVE
(SHEET 3)

AVALON STREET
(SHEET 7)

DOWNING STREET
(SHEET 5)

IRONWOOD AVENUE
(SHEET 6,7,11)

SUNSET AVENUE
(SHEET 5)

TAHITI STREET
(SHEET 8)

ARCADIA AVENUE
(SHEET 9)

HILLCREST DRIVE
(SHEET 10)

CARMEL STREET
(SHEET 12)

COLEMAN DRIVE
(SHEET 14 & 15)

ARBUTUS AVENUE
(SHEET 12)

ESTERO AVENUE
(SHEET 18)

SCOTT STREET
(SHEET 19)

ALDER AVENUE
(SHEET 21)

LAS TUNAS STREET
(SHEET 22)

SAN JOAQUIN STREET
(SHEET 23) BERWICK DRIVE
(SHEET 24)

SAN JACINTO STREET
(SHEET 25)

CASITAS STREET
(SHEET 26) DOGWOOD AVENUE
(SHEET 26)

WHIDBEY STREET
(SHEET 30)

BELLA VISTA DRIVE
(SHEET 27)

FRESNO AVENUE
(SHEET 29)

MORRO AVENUE
(SHEET 19 & 20)

ZANZIBAR STREET
(SHEET 30)

AND REHAB STREETS
Base + Alt 1 + Alt 3 Page 85 of 259
$ 2,147,777.00 $ 2,189,429.40 $ 2,357,428.15 $ 2,532,735.00 $ 2,550,181.00 ITEM# BASE BID ITEMS QUANTITY UNIT
1 Mobilization, Bonds & Insurance 1 LS 213,709.04$ 213,709.04$ 173,000.00$ 173,000.00$ 54,153.00$ 54,153.00$ 140,000.00$ 140,000.00$ 250,000.00$ 250,000.00$ 290,810.50$ 290,810.50$ 2 Notification of Residents, Businesses & Agencies 1 LS 9,664.50$ 9,664.50$ 1,600.00$ 1,600.00$ 6,885.00$ 6,885.00$ 22,500.00$ 22,500.00$ 5,000.00$ 5,000.00 $ 5,000.00$ 5,000.00$ 3 Trim Vegetation in Work Zone 1 LS 12,000.00$ 12,000.00$ 5,500.00$ 5,500.00$ 2,883.00$ 2,883.00$ 9,500.00$ 9,500.00$ 7,500.00$ 7,500.00 $ 25,000.00$ 25,000.00$ 4 Pre-Construction Video / Photo Documentation 1 LS 5,000.00$ 5,000.00$ 1,600.00$ 1,600.00$ 2,200.00$ 2,200.00$ 3,700.00$ 3,700.00$ 2,000.00$ 2,000.00$ 1,850.00$ 1,850.00$ 5 Traffic Control 1 LS 183,625.45$ 183,625.45$ 93,627.25$ 93,627.25$ 99,308.00$ 99,308.00$ 178,000.00$ 178,000.00$ 234,597.50$ 234,597.50$ 230,000.00$ 230,000.00$ 6 Storm Water Pollution Control Program 1 LS 36,337.99$ 36,337.99$ 6,500.00$ 6,500.00$ 22,755.00$ 22,755.00$ 43,000.00$ 43,000.00$ 5,000.00$ 5,000.00$ 15,000.00$ 15,000.00$ 7 Construction ADA Accessibility Plan 1 LS 5,000.00$ 5,000.00$ 500.00$ 500.00$ 1,677.00$ 1,677.00$ 8,600.00$ 8,600.00$ 3,000.00$ 3,000.00$ 1,750.00$ 1,750.00$ 8 Crack Seal & Slurry Seal (Type II) 830 TN 550.00$ 456,500.00$ 400.00$ 332,000.00$ 388.60$ 322,538.00$ 346.70$ 287,761.00$ 350.00$ 290,500.00$ 295.00$ 244,850.00$ 9 Sweeping on the 3rd, 7th, 14th, 21st, & 30th Days after Placing Slurry Seal 1 LS 40,000.00$ 40,000.00$ 15,000.00$ 15,000.00$ 38,443.00$ 38,443.00$ 39,600.00$ 39,600.00$ 15,000.00$ 15,000.00$ 14,000.00$ 14,000.00$ 10 3/8" HMA-SP-50 Type A (PG 64-10) 580 TN 200.00$ 116,000.00$ 180.00$ 104,400.00$ 271.50$ 157,470.00$ 212.00$ 122,960.00$ 168.00$ 97,440.00$ 250.00$ 145,000.00$ 11 1/2" HMA-SP-50 Type A (PG 64-10) 2,853 TN 190.00$ 542,070.00$ 168.00$ 479,304.00$ 177.75$ 507,120.75$ 164.00$ 467,892.00$ 162.00$ 462,186.00$ 175.00$ 499,275.00$ 12 Cold Plane & Remove 4" 36,160 SF 0.80$ 28,928.00$ 0.60$ 21,696.00$ 1.05$ 37,968.00 $ 0.80$ 28,928.00$ 1.00$ 36,160.00$ 0.90$ 32,544.00 $ 13 Cold Plane & Remove 16" 6,070 SF 3.20$ 19,424.00$ 2.50$ 15,175.00$ 3.65$ 22,155.50 $ 3.50$ 21,245.00$ 5.00$ 30,350.00$ 4.00$ 24,280.00 $ 14 Keycut A1 (See Plan and Detail) 10,298 LF 6.00$ 61,788.00$ 1.50$ 15,447.00$ 3.60$ 37,072.80 $ 4.00$ 41,192.00$ 4.00$ 41,192.00$ 6.00$ 61,788.00 $ 15 Keycut B1 (See Plan and Detail) 699 LF 20.00$ 13,980.00$ 3.00$ 2,097.00$ 20.50$ 14,329.50$ 19.00$ 13,281.00$ 8.00$ 5,592.00$ 20.00$ 13,980.00$ 16 Potholing 1 EA 20,000.00$ 20,000.00$ 24,200.00$ 24,200.00$ 9,113.00$ 9,113.00$ 5,800.00$ 5,800.00$ 30,000.00$ 30,000.00$ 4,250.00$ 4,250.00$ 17 Remove & Replace 4" HMA 105,371 SF 7.00$ 737,597.00$ 5.50$ 579,540.50$ 5.25$ 553,197.75$ 5.75$ 605,883.25$ 6.50$ 684,911.50$ 6.50$ 684,911.50$ 18 6" Deep Lift Stabilization (Allowance) 4,812 SF 8.00$ 38,496.00$ 6.00$ 28,872.00$ 6.75$ 32,481.00 $ 7.00$ 33,684.00$ 5.00$ 24,060.00$ 7.50$ 36,090.00 $ 19 Remove & Replace / Install HMA Dike, Type A 201 LF 40.00$ 8,040.00$ 20.00$ 4,020.00$ 12.50$ 2,512.50 $ 36.00$ 7,236.00$ 38.00$ 7,638.00$ 18.00$ 3,618.00 $ 20 Remove & Replace / Install HMA Dike, Type D 48 LF 40.00$ 1,920.00$ 20.00$ 960.00$ 17.50$ 840.00$ 73.00$ 3,504.00$ 38.00$ 1,824.00$ 18.00$ 864.00$ 21 Remove & Replace / Install HMA Dike, Type E 379 LF 40.00$ 15,160.00$ 20.00$ 7,580.00$ 12.30$ 4,661.70$ 14.00$ 5,306.00$ 38.00$ 14,402.00$ 18.00$ 6,822.00$ 22 Install 12" of Class II Aggregate Base 6,070 SF 12.00$ 72,840.00$ 7.00$ 42,490.00$ 3.60$ 21,852.00$ 4.50$ 27,315.00$ 4.50$ 27,315.00$ 5.00$ 30,350.00$ 23 Install Geotextile Fabric 6,070 SF 2.50$ 15,175.00$ 0.50$ 3,035.00$ 1.60$ 9,712.00$ 2.00$ 12,140.00$ 1.00$ 6,070.00$ 1.50$ 9,105.00$ 24 Install Shoulder Backing 299 LF 25.00$ 7,475.00$ 14.00$ 4,186.00$ 3.30$ 986.70$ 30.00$ 8,970.00$ 40.00$ 11,960.00$ 27.00$ 8,073.00$ 25 Prune & Remove Tree Roots Under HMA Repairs 2,163 SF 16.50$ 35,689.50$ 4.25$ 9,192.75$ 6.70$ 14,492.10 $ 2.30$ 4,974.90$ 2.00$ 4,326.00$ 1.00$ 2,163.00$ 26 Remove & Replace PCC Curb Ramp 599 SF 35.00$ 20,965.00$ 38.00$ 22,762.00$ 42.00$ 25,158.00$ 28.00$ 16,772.00$ 25.00$ 14,975.00$ 20.00$ 11,980.00$ 27 Remove & Replace PCC Sidewalk 132 SF 35.00$ 4,620.00$ 31.00$ 4,092.00$ 29.80$ 3,933.60 $ 30.00$ 3,960.00$ 25.00$ 3,300.00$ 18.00$ 2,376.00 $ 28 Remove & Replace PCC Curb & Gutter 113 LF 120.00$ 13,560.00$ 96.50$ 10,904.50$ 147.00$ 16,611.00$ 64.00$ 7,232.00$ 110.00$ 12,430.00$ 75.00$ 8,475.00$ 29 Construct PCC Spandrel 200 SF 45.00$ 9,000.00$ 36.50$ 7,300.00$ 56.00$ 11,200.00$ 32.00$ 6,400.00$ 45.00$ 9,000.00$ 11.00$ 2,200.00$ 30 Construct PCC Valley Gutter 120 SF 50.00$ 6,000.00$ 41.75$ 5,010.00$ 75.40$ 9,048.00 $ 64.00$ 7,680.00$ 45.00$ 5,400.00$ 11.00$ 1,320.00 $ 31 Construct PCC Retaining Curb 77 LF 50.00$ 3,850.00$ 45.00$ 3,465.00$ 16.70$ 1,285.90 $ 98.00$ 7,546.00$ 100.00$ 7,700.00$ 50.00$ 3,850.00$ 32 Install Detectable Warning Surface 30 SF 25.00$ 750.00$ 70.50$ 2,115.00$ 51.70$ 1,551.00$ 52.00$ 1,560.00$ 30.00$ 900.00$ 75.00$ 2,250.00$ 33 Lower and Adjust Water Valve Cover to Finish Grade 30 EA 1,100.00$ 33,000.00$ 1,200.00$ 36,000.00$ 1,359.00$ 40,770.00$ 1,200.00$ 36,000.00$ 2,000.00$ 60,000.00$ 1,250.00$ 37,500.00$ 34 Lower and Adjust Water Meter Box Cover to Finish Grade 2 EA 1,150.00$ 2,300.00$ 1,200.00$ 2,400.00$ 1,647.00$ 3,294.00$ 1,200.00$ 2,400.00$ 2,000.00$ 4,000.00$ 1,250.00$ 2,500.00$ 35 Lower and Adjust Manhole Cover to Finish Grade 17 EA 1,400.00$ 23,800.00$ 1,200.00$ 20,400.00$ 1,682.00$ 28,594.00$ 1,850.00$ 31,450.00$ 2,200.00$ 37,400.00$ 1,250.00$ 21,250.00$ 36 Lower and Adjust Sewer Cleanout Cover to Finish Grade 1 EA 1,400.00$ 1,400.00$ 1,200.00$ 1,200.00$ 1,628.00$ 1,628.00$ 1,500.00$ 1,500.00$ 2,000.00$ 2,000.00$ 1,250.00$ 1,250.00$ 37 Lower and Adjust Survey Monument to Finish Grade 10 EA 1,500.00$ 15,000.00$ 1,200.00$ 12,000.00$ 1,543.00$ 15,430.00$ 2,300.00$ 23,000.00$ 2,000.00$ 20,000.00$ 1,250.00$ 12,500.00$ 38 New Survey Monument per City Standard Detail M-1 8 EA 1,300.00$ 10,400.00$ 900.00$ 7,200.00$ 1,075.00$ 8,600.00$ 3,400.00$ 27,200.00$ 2,000.00$ 16,000.00$ 1,250.00$ 10,000.00$ 39 Relocate Sign Post 1 EA 800.00$ 800.00$ 300.00$ 300.00$ 302.00$ 302.00$ 650.00$ 650.00$ 500.00$ 500.00$ 250.00$ 250.00$ 40 12" White Crosswalk / Limit Line (Thermoplastic) 1,136 LF 10.00$ 11,360.00$ 4.50$ 5,112.00$ 4.95$ 5,623.20$ 4.50$ 5,112.00$ 4.50$ 5,112.00$ 4.50$ 5,112.00$ 41 Install "25" Legend (Thermoplastic) 2 EA 227.50$ 455.00$ 200.00$ 400.00$ 220.00$ 440.00$ 200.00$ 400.00$ 200.00$ 400.00$ 200.00$ 400.00$ 42 Install "AHEAD" Legend (Thermoplastic) 1 EA 403.00$ 403.00$ 300.00$ 300.00$ 330.00$ 330.00$ 300.00$ 300.00$ 300.00$ 300.00$ 300.00$ 300.00$ 43 Install "STOP" Legend (Thermoplastic) 36 EA 286.00$ 10,296.00$ 200.00$ 7,200.00$ 220.00$ 7,920.00$ 200.00$ 7,200.00$ 200.00$ 7,200.00$ 200.00$ 7,200.00$ 44 Install "YIELD" Legend (Thermoplastic) 4 EA 312.00$ 1,248.00$ 200.00$ 800.00$ 220.00$ 880.00$ 200.00$ 800.00$ 200.00$ 800.00$ 200.00$ 800.00$ 45 Striping Detail #2 (Thermoplastic & Markers) 491 LF 2.00$ 982.00$ 2.00$ 982.00$ 2.20$ 1,080.20$ 2.00$ 982.00$ 2.00$ 982.00$ 2.00$ 982.00$ 46 Striping Detail #21 (Thermoplastic & Markers) 3,302 LF 3.00$ 9,906.00$ 4.00$ 13,208.00$ 4.40$ 14,528.80$ 4.00$ 13,208.00$ 4.00$ 13,208.00$ 4.00$ 13,208.00$47 Striping Detail #22 (Thermoplastic & Markers) 507 LF 3.00$ 1,521.00$ 4.00$ 2,028.00$ 4.40$ 2,230.80$ 4.00$ 2,028.00$ 4.00$ 2,028.00$ 4.00$ 2,028.00$ 48 Striping Detail #27B (Thermoplastic & Markers) 2,717 LF 3.00$ 8,151.00$ 2.00$ 5,434.00$ 2.20$ 5,977.40$ 2.00$ 5,434.00$ 2.00$ 5,434.00$ 2.00$ 5,434.00$ 49 Striping Detail #39 (Thermoplastic & Markers) 1,622 LF 3.00$ 4,866.00$ 2.00$ 3,244.00$ 2.20$ 3,568.40$ 2.00$ 3,244.00$ 2.00$ 3,244.00$ 2.00$ 3,244.00$ 50 Install Blue RPM @ Hydrant 73 EA 20.00$ 1,460.00$ 10.00$ 730.00$ 11.00$ 803.00$ 10.00$ 730.00$ 10.00$ 730.00$ 10.00$ 730.00$ 51 Repaint Red Curb Paint 512 LF 4.00$ 2,048.00$ 3.00$ 1,536.00$ 3.30$ 1,689.60$ 3.00$ 1,536.00$ 3.00$ 1,536.00$ 3.00$ 1,536.00$ 52 Repaint Blue Curb Paint 44 LF 4.00$ 176.00$ 3.00$ 132.00$ 3.30$ 145.20$ 3.00$ 132.00$ 3.00$ 132.00$ 3.00$ 132.00$ 2,894,736.48$ 2,147,777.00$ 2,189,429.40$ 2,357,428.15$ 2,532,735.00$ 2,550,181.00$ ALTERNATE 1 BID ITEMS QUANTITY UNIT
1 Mobilization, Bonds & Insurance 1 LS 40,240.16$ 40,240.16$ 59,750.00$ 59,750.00$ 13,297.00$ 13,297.00$ 48,800.00$ 48,800.00$ 50,000.00$ 50,000.00$ 65,000.00$ 65,000.00$ 2 Notification of Residents, Businesses & Agencies 1 LS 2,515.01$ 2,515.01$ 1,600.00$ 1,600.00$ 2,754.00$ 2,754.00$ 4,500.00$ 4,500.00$ 5,000.00$ 5,000.00 $ 3,500.00$ 3,500.00$ 3 Trim Vegetation in Work Zone 1 LS 10,000.00$ 10,000.00$ 5,500.00$ 5,500.00$ 436.00$ 436.00$ 6,000.00$ 6,000.00$ 7,500.00$ 7,500.00$ 12,500.00$ 12,500.00$ 4 Traffic Control 1 LS 47,785.19$ 47,785.19$ 30,000.00$ 30,000.00$ 32,433.00$ 32,433.00$ 42,000.00$ 42,000.00$ 75,000.00$ 75,000.00$ 121,050.00$ 121,050.00$ 5 Storm Water Pollution Control Program 1 LS 10,060.04$ 10,060.04$ 6,500.00$ 6,500.00$ 5,283.00$ 5,283.00$ 7,400.00$ 7,400.00$ 2,500.00$ 2,500.00$ 5,000.00$ 5,000.00$ 6 Crack Seal & Slurry Seal (Type II) 276 TN 550.00$ 151,800.00$ 400.00$ 110,400.00$ 390.00$ 107,640.00$ 346.70$ 95,689.20$ 350.00$ 96,600.00 $ 325.00$ 89,700.00$ 7 Sweeping on the 3rd, 7th, 14th, 21st, & 30th Days after Placing Slurry Seal 1 LS 25,000.00$ 25,000.00$ 15,000.00$ 15,000.00$ 27,230.00$ 27,230.00$ 14,000.00$ 14,000.00$ 15,000.00$ 15,000.00$ 15,000.00$ 15,000.00$ 8 Remove & Replace 4" HMA 39,618 SF 7.00$ 277,326.00$ 5.50$ 217,899.00$ 7.35$ 291,192.30$ 5.75$ 227,803.50$ 6.50$ 257,517.00$ 7.50$ 297,135.00$ 9 6" Deep Lift Stabilization (Allowance) 2,400 SF 8.00$ 19,200.00$ 6.00$ 14,400.00$ 7.10$ 17,040.00$ 7.00$ 16,800.00$ 5.00$ 12,000.00$ 8.50$ 20,400.00$ 10 Prune & Remove Tree Roots Under HMA Repairs 336 SF 16.50$ 5,544.00$ 5.25$ 1,764.00$ 7.00$ 2,352.00$ 2.30$ 772.80$ 5.00$ 1,680.00$ 3.50$ 1,176.00$ 11 Lower and Adjust Water Valve Cover to Finish Grade 7 EA 1,100.00$ 7,700.00$ 1,200.00$ 8,400.00$ 1,361.00$ 9,527.00$ 1,200.00$ 8,400.00$ 2,600.00$ 18,200.00$ 1,300.00$ 9,100.00$ Granite Contruction Company
Address
UNIT

PRICE TOTAL COST
UNIT

PRICE TOTAL COST
Lic. # 89 - A
UNIT

PRICE TOTAL COST
ENGINEER'S ESTIMATE Lic. # 1096953 - A
TOTAL BASE BID:

DETAILED BID RESULTS
PROJECT: 2026 Pavement Rehabilitation Project
BID NO.: MB2025_ST02
BID OPENING DATE: 9/29/2026 Address
Calportland Construction
Address
Griffith Company
Address
Souza Engineering Contracting, Inc
UNIT

PRICE TOTAL COST
Lic. # 479476 - A Lic. # 523019 - A Lic. # 88 - A,B,C-8, C12, C22, C27, C31, HAZ Westrock General Engineering
Address

DESCRIPTION

UNIT PRICE

ESTIMATED
TOTAL

ESTIMATED

QUANTITY
ATTACHMENT 2: BID SUMMARY

Page 86 of 259 ends

12 Lower and Adjust Manhole Cover to Finish Grade 5 EA 1,400.00$ 7,000.00$ 1,200.00$ 6,000.00$ 1,644.00$ 8,220.00$ 1,600.00$ 8,000.00$ 2,600.00$ 13,000.00$ 1,300.00$ 6,500.00$ 13 Lower and Adjust Survey Monument to Finish Grade 2 EA 1,500.00$ 3,000.00$ 1,200.00$ 2,400.00$ 1,304.00$ 2,608.00$ 2,800.00$ 5,600.00$ 2,600.00$ 5,200.00 $ 1,300.00$ 2,600.00$ 14 12" White Crosswalk / Limit Line (Thermoplastic) 158 LF 10.00$ 1,580.00$ 4.00$ 632.00$ 4.40$ 695.20$ 4.00$ 632.00$ 4.00$ 632.00$ 4.00$ 632.00$ 15 Install "25" Legend (Thermoplastic) 2 EA 227.50$ 455.00$ 200.00$ 400.00$ 220.00$ 440.00$ 200.00$ 400.00$ 200.00$ 400.00$ 200.00$ 400.00$ 16 Install "STOP" Legend (Thermoplastic) 11 EA 286.00$ 3,146.00$ 200.00$ 2,200.00$ 220.00$ 2,420.00$ 200.00$ 2,200.00$ 200.00$ 2,200.00$ 200.00$ 2,200.00$ 17 Striping Detail #21 (Thermoplastic & Markers) 201 LF 3.00$ 603.00$ 4.00$ 804.00$ 4.40$ 884.40$ 4.00$ 804.00$ 4.00$ 804.00$ 4.00$ 804.00$ 18 Striping Detail #39A (Thermoplastic & Markers) 48 LF 3.00$ 144.00$ 5.00$ 240.00$ 5.50$ 264.00$ 5.00 $ 240.00$ 5.00$ 240.00$ 5.00$ 240.00$ 19 Install Blue RPM @ Hydrant 20 EA 20.00$ 400.00$ 10.00$ 200.00$ 11.00$ 220.00$ 10.00$ 200.00$ 10.00$ 200.00$ 10.00$ 200.00$ 20 Repaint Red Curb Paint 64 LF 4.00$ 256.00$ 3.00$ 192.00$ 3.30$ 211.20$ 3.00 $ 192.00$ 3.00$ 192.00$ 3.00$ 192.00$ 613,754.40$ 484,281.00$ 525,147.10$ 490,433.50$ 563,865.00$ 653,329.00$ ALTERNATE 2 BID ITEMS QUANTITY UNIT
1 Mobilization, Bonds & Insurance 1 LS 41,625.88$ 41,625.88$ 53,500.00$ 53,500.00$ 12,795.00$ 12,795.00$ 43,000.00$ 43,000.00$ 50,000.00$ 50,000.00$ 60,000.00$ 60,000.00$ 2 Notification of Residents, Businesses & Agencies 1 LS 2,601.62$ 2,601.62$ 1,600.00$ 1,600.00$ 689.00$ 689.00$ 4,600.00$ 4,600.00$ 5,000.00$ 5,000.00$ 3,500.00$ 3,500.00$ 3 Trim Vegetation in Work Zone 1 LS 10,000.00$ 10,000.00$ 5,500.00$ 5,500.00$ 436.00$ 436.00$ 6,300.00$ 6,300.00$ 7,500.00$ 7,500.00$ 15,000.00$ 15,000.00$ 4 Traffic Control 1 LS 49,430.73$ 49,430.73$ 29,075.50$ 29,075.50$ 38,614.00$ 38,614.00$ 46,000.00$ 46,000.00$ 75,000.00$ 75,000.00$ 109,542.00$ 109,542.00$ 5 Storm Water Pollution Control Program 1 LS 10,406.47$ 10,406.47$ 5,000.00$ 5,000.00$ 5,936.00$ 5,936.00$ 7,500.00$ 7,500.00$ 2,500.00$ 2,500.00$ 5,000.00$ 5,000.00$ 6 Crack Seal & Slurry Seal (Type II) 264 TN 550.00$ 145,200.00$ 400.00$ 105,600.00$ 390.50$ 103,092.00$ 346.70$ 91,528.80$ 350.00$ 92,400.00 $ 325.00$ 85,800.00$ 7 Sweeping on the 3rd, 7th, 14th, 21st, & 30th Days after Placing Slurry Seal 1 LS 20,000.00$ 20,000.00$ 15,000.00$ 15,000.00$ 16,018.00$ 16,018.00$ 14,000.00$ 14,000.00$ 15,000.00$ 15,000.00$ 15,000.00$ 15,000.00$ 8 Remove & Replace 4" HMA 37,444 SF 7.00$ 262,108.00$ 5.50$ 205,942.00$ 7.00$ 262,108.00$ 5.75$ 215,303.00$ 6.50$ 243,386.00$ 6.50$ 243,386.00$ 9 6" Deep Lift Stabilization (Allowance) 250 SF 8.00$ 2,000.00$ 6.00$ 1,500.00$ 10.50$ 2,625.00$ 7.00$ 1,750.00$ 10.00$ 2,500.00$ 8.00$ 2,000.00 $ 10 Prune & Remove Tree Roots Under HMA Repairs 1,246 SF 16.50$ 20,559.00$ 4.75$ 5,918.50$ 6.00$ 7,476.00$ 2.30$ 2,865.80$ 2.00$ 2,492.00$ 1.50$ 1,869.00$ 11 Remove & Replace PCC Curb & Gutter 45 LF 120.00$ 5,400.00$ 90.00$ 4,050.00$ 159.00$ 7,155.00$ 90.00$ 4,050.00$ 280.00$ 12,600.00$ 75.00$ 3,375.00$ 12 Remove & Replace PCC Driveway Curb & Gutter 15 LF 120.00$ 1,800.00$ 90.00$ 1,350.00$ 363.00$ 5,445.00$ 42.00$ 630.00$ 325.00$ 4,875.00$ 70.00$ 1,050.00$ 13 Lower and Adjust Water Valve Cover to Finish Grade 1 EA 1,100.00$ 1,100.00$ 1,350.00$ 1,350.00$ 1,304.00$ 1,304.00$ 1,300.00$ 1,300.00$ 2,600.00$ 2,600.00 $ 1,300.00$ 1,300.00$ 14 Lower and Adjust Manhole Cover to Finish Grade 4 EA 1,400.00$ 5,600.00$ 1,350.00$ 5,400.00$ 1,632.00$ 6,528.00$ 2,200.00$ 8,800.00$ 2,600.00$ 10,400.00$ 1,300.00$ 5,200.00$ 15 Lower and Adjust Sewer Cleanout Cover to Finish Grade 1 EA 1,400.00$ 1,400.00$ 1,350.00$ 1,350.00$ 1,628.00$ 1,628.00$ 1,400.00$ 1,400.00$ 2,600.00$ 2,600.00 $ 1,300.00$ 1,300.00$ 16 Lower and Adjust Survey Monument to Finish Grade 2 EA 1,500.00$ 3,000.00$ 1,350.00$ 2,700.00$ 1,703.00$ 3,406.00$ 3,500.00$ 7,000.00$ 2,600.00$ 5,200.00 $ 1,300.00$ 2,600.00$ 17 Install Yellow Continental Crosswalk 2 EA 3,000.00$ 6,000.00$ 1,000.00$ 2,000.00$ 1,100.00$ 2,200.00$ 1,000.00$ 2,000.00$ 1,000.00$ 2,000.00 $ 1,000.00$ 2,000.00$ 18 12" White Crosswalk / Limit Line (Thermoplastic) 364 LF 10.00$ 3,640.00$ 4.00$ 1,456.00$ 4.40$ 1,601.60$ 4.00$ 1,456.00$ 4.00$ 1,456.00$ 4.00$ 1,456.00$19 12" Yellow Crosswalk / Limit Line (Thermoplastic) 17 LF 10.00$ 170.00$ 4.00$ 68.00$ 4.40$ 74.80$ 4.00$ 68.00$ 4.00$ 68.00$ 4.00$ 68.00$ 20 Install Bike Legend Symbol With Arrow (Thermoplastic) 2 EA 300.00$ 600.00$ 250.00$ 500.00$ 275.00$ 550.00$ 250.00$ 500.00$ 250.00$ 500.00$ 250.00$ 500.00$ 21 Install "25" Legend (Thermoplastic) 3 EA 227.50$ 682.50$ 200.00$ 600.00$ 220.00$ 660.00$ 200.00$ 600.00$ 200.00$ 600.00$ 200.00$ 600.00$ 22 Install "STOP" Legend (Thermoplastic) 6 EA 286.00$ 1,716.00$ 200.00$ 1,200.00$ 220.00$ 1,320.00$ 200.00$ 1,200.00$ 200.00$ 1,200.00$ 200.00$ 1,200.00$ 23 Install "SLOW" Legend (Thermoplastic) 4 EA 299.00$ 1,196.00$ 200.00$ 800.00$ 220.00$ 880.00$ 200.00$ 800.00$ 200.00$ 800.00$ 200.00$ 800.00$ 24 Install "SCHOOL" Legend (Thermoplastic) 4 EA 455.00$ 1,820.00$ 350.00$ 1,400.00$ 385.00$ 1,540.00$ 350.00$ 1,400.00$ 350.00$ 1,400.00$ 350.00$ 1,400.00$ 25 Install "YIELD" Legend (Thermoplastic) 2 EA 312.00$ 624.00$ 200.00$ 400.00$ 220.00$ 440.00$ 200.00$ 400.00$ 200.00$ 400.00$ 200.00$ 400.00$ 26 Install "XING" Legend (Thermoplastic) 4 EA 273.00$ 1,092.00$ 200.00$ 800.00$ 220.00$ 880.00$ 200.00$ 800.00$ 200.00$ 800.00$ 200.00$ 800.00$ 27 Install Yield Shark Teeth Legend (Thermoplastic) 3 EA 50.00$ 150.00$ 35.00$ 105.00$ 38.50$ 115.50$ 35.00$ 105.00$ 35.00$ 105.00$ 35.00$ 105.00$ 28 Striping Detail #1 (Thermoplastic & Markers) 220 LF 3.00$ 660.00$ 2.00$ 440.00$ 2.20$ 484.00$ 2.00$ 440.00$ 2.00$ 440.00$ 2.00$ 440.00$ 29 Striping Detail #21 (Thermoplastic & Markers) 526 LF 3.00$ 1,578.00$ 4.00$ 2,104.00$ 4.40$ 2,314.40$ 4.00$ 2,104.00$ 4.00$ 2,104.00$ 4.00$ 2,104.00$ 30 Striping Detail #22 (Thermoplastic & Markers) 2,117 LF 3.00$ 6,351.00$ 4.00$ 8,468.00$ 4.40$ 9,314.80$ 4.00$ 8,468.00$ 4.00$ 8,468.00$ 4.00$ 8,468.00 $ 31 Striping Detail #38A (Thermoplastic & Markers) 16 LF 3.00$ 48.00$ 5.00$ 80.00$ 5.50$ 88.00$ 5.00$ 80.00$ 5.00$ 80.00$ 5.00$ 80.00$ 32 Striping Detail #39 (Thermoplastic & Markers) 2,792 LF 3.00$ 8,376.00$ 2.00$ 5,584.00$ 2.20$ 6,142.40$ 2.00$ 5,584.00$ 2.00$ 5,584.00$ 2.00$ 5,584.00 $ 33 Striping Detail #39A (Thermoplastic & Markers) 127 LF 3.00$ 381.00$ 2.00$ 254.00$ 2.20$ 279.40$ 2.00$ 254.00$ 2.00$ 254.00$ 2.00$ 254.00$ 34 Green Methyl Methacrylate Bike Lane Markings 1,112 SF 14.00$ 15,568.00$ 10.00$ 11,120.00$ 11.00$ 12,232.00$ 10.00$ 11,120.00$ 10.00$ 11,120.00$ 10.00$ 11,120.00$ 35 Install Blue RPM @ Hydrant 17 EA 20.00$ 340.00$ 10.00$ 170.00$ 11.00$ 187.00$ 10.00$ 170.00$ 10.00$ 170.00$ 10.00$ 170.00$ 36 Repaint Red Curb Paint 299 LF 4.00$ 1,196.00$ 3.00$ 897.00$ 3.30$ 986.70$ 3.00$ 897.00$ 3.00$ 897.00$ 3.00$ 897.00$ 634,420.20$ 483,282.00$ 517,545.60$ 494,473.60$ 572,499.00$ 594,368.00$ ALTERNATE 3 BID ITEMS QUANTITY UNIT
1 Mobilization, Bonds & Insurance 1 LS 26,441.12$ 26,441.12$ 40,750.00$ 40,750.00$ 2,810.38$ 2,810.38$ 24,500.00$ 24,500.00$ 35,000.00$ 35,000.00$ 55,000.00$ 55,000.00$ 2 Notification of Residents, Businesses & Agencies 1 LS 1,558.57$ 1,558.57$ 1,600.00$ 1,600.00$ 689.00$ 689.00$ 6,000.00$ 6,000.00$ 3,000.00$ 3,000.00$ 3,500.00$ 3,500.00$ 3 Trim Vegetation in Work Zone 1 LS 8,000.00$ 8,000.00$ 5,500.00$ 5,500.00$ 436.00$ 436.00$ 6,500.00$ 6,500.00$ 8,000.00$ 8,000.00$ 10,000.00$ 10,000.00$ 4 Traffic Control 1 LS 24,576.88$ 24,576.88$ 13,500.50$ 13,500.50$ 8,545.00$ 8,545.00$ 38,500.00$ 38,500.00$ 50,000.00$ 50,000.00$ 104,467.00$ 104,467.00$ 5 Storm Water Pollution Control Program 1 LS 5,174.08$ 5,174.08$ 5,000.00$ 5,000.00$ 3,013.00$ 3,013.00$ 6,500.00$ 6,500.00$ 2,500.00$ 2,500.00 $ 5,000.00$ 5,000.00$ 6 3/8" HMA-SP-50 Type A (PG 64-10) 94 TN 200.00$ 18,800.00$ 240.00$ 22,560.00$ 281.50$ 26,461.00$ 230.00$ 21,620.00$ 200.00$ 18,800.00$ 265.00$ 24,910.00$ 7 1/2" HMA-SP-50 Type A (PG 64-10) 279 TN 190.00$ 53,010.00$ 195.00$ 54,405.00$ 192.00$ 53,568.00$ 165.00$ 46,035.00$ 195.00$ 54,405.00$ 175.00$ 48,825.00$ 8 Keycut A1 (See Plan and Detail) 1,949 LF 6.00$ 11,694.00$ 2.00$ 3,898.00$ 4.40$ 8,575.60$ 4.75$ 9,257.75$ 5.00$ 9,745.00$ 8.00$ 15,592.00$ 9 Keycut B1 (See Plan and Detail) 112 LF 20.00$ 2,240.00$ 4.00$ 448.00$ 28.00$ 3,136.00$ 20.00$ 2,240.00$ 8.00$ 896.00$ 35.00$ 3,920.00$ 10 Remove & Replace 4" HMA 5,714 SF 7.00$ 39,998.00$ 6.75$ 38,569.50$ 8.70$ 49,711.80$ 5.75$ 32,855.50$ 6.50$ 37,141.00$ 8.00$ 45,712.00$ 11 Remove & Replace 5" HMA 11,398 SF 9.00$ 102,582.00$ 7.00$ 79,786.00$ 7.50$ 85,485.00$ 6.90$ 78,646.20$ 8.00$ 91,184.00$ 9.00$ 102,582.00$ 12 6" Deep Lift Stabilization (Allowance) 340 SF 8.00$ 2,720.00$ 7.25$ 2,465.00$ 9.35$ 3,179.00$ 7.00$ 2,380.00$ 10.00$ 3,400.00$ 10.00$ 3,400.00 $ 13 Remove & Replace / Install HMA Dike, Type D 604 LF 35.00$ 21,140.00$ 21.00$ 12,684.00$ 16.50$ 9,966.00$ 13.00$ 7,852.00$ 40.00$ 24,160.00$ 35.00$ 21,140.00$ 14 Install Shoulder Backing 2,262 LF 25.00$ 56,550.00$ 7.00$ 15,834.00$ 3.50$ 7,917.00$ 12.00$ 27,144.00$ 10.00$ 22,620.00$ 30.00$ 67,860.00$ 15 Prune & Remove Tree Roots Under HMA Repairs 200 SF 16.50$ 3,300.00$ 4.75$ 950.00$ 10.00$ 2,000.00$ 2.30$ 460.00$ 10.00$ 2,000.00$ 6.00$ 1,200.00$ 16 Lower and Adjust Water Valve Cover to Finish Grade 5 EA 1,100.00$ 5,500.00$ 1,250.00$ 6,250.00$ 1,384.00$ 6,920.00$ 1,300.00$ 6,500.00$ 2,600.00$ 13,000.00$ 1,300.00$ 6,500.00$ 17 Lower and Adjust Manhole Cover to Finish Grade 3 EA 1,400.00$ 4,200.00$ 1,250.00$ 3,750.00$ 1,612.00$ 4,836.00$ 2,500.00$ 7,500.00$ 2,600.00$ 7,800.00 $ 1,300.00$ 3,900.00$ 18 Lower and Adjust Sewer Cleanout Cover to Finish Grade 4 EA 1,400.00$ 5,600.00$ 1,250.00$ 5,000.00$ 1,627.00$ 6,508.00$ 3,200.00$ 12,800.00$ 2,600.00$ 10,400.00$ 1,300.00$ 5,200.00$ 19 New Survey Monument per City Standard Detail M-1 2 EA 1,300.00$ 2,600.00$ 900.00$ 1,800.00$ 1,074.00$ 2,148.00$ 2,000.00$ 4,000.00$ 2,600.00$ 5,200.00$ 1,300.00$ 2,600.00$ 20 12" White Crosswalk / Limit Line (Thermoplastic) 15 LF 10.00$ 150.00$ 4.00$ 60.00$ 4.40$ 66.00$ 4.00$ 60.00$ 4.00$ 60.00$ 4.00$ 60.00$ 21 Install "STOP" Legend (Thermoplastic) 1 EA 286.00$ 286.00$ 200.00$ 200.00$ 220.00$ 220.00$ 200.00$ 200.00$ 200.00$ 200.00$ 200.00$ 200.00$ 22 Install Blue RPM @ Hydrant 2 EA 20.00$ 40.00$ 10.00$ 20.00$ 11.00$ 22.00$ 10.00 $ 20.00$ 10.00$ 20.00$ 10.00$ 20.00$ TOTAL ALTERNATE 1 BID:TOTAL ALTERNATE 2 BID:

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23 Repaint Red Curb Paint 11 LF 4.00$ 44.00$ 3.00$ 33.00$ 3.30$ 36.30$ 3.00$ 33.00$ 3.00$ 33.00$ 3.00$ 33.00$ 24 Repaint Blue Curb Paint 9 LF 4.00$ 36.00$ 3.00$ 27.00$ 3.30$ 29.70$ 3.00$ 27.00$ 3.00$ 27.00$ 3.00$ 27.00$ 396,240.65$ 315,090.00$ 286,278.78$ 341,630.45$ 399,591.00$ 531,648.00$ ALTERNATE 4 BID ITEMS QUANTITY UNIT
1 Mobilization, Bonds & Insurance 1 LS 31,786.31$ 31,786.31$ 35,000.00$ 35,000.00$ 2,460.90$ 2,460.90$ 27,000.00$ 27,000.00$ 40,000.00$ 40,000.00$ 45,000.00$ 45,000.00$ 2 Notification of Residents, Businesses & Agencies 1 LS 1,569.80$ 1,569.80$ 1,600.00$ 1,600.00$ 688.00$ 688.00$ 4,800.00$ 4,800.00$ 5,000.00$ 5,000.00$ 3,500.00$ 3,500.00$ 3 Trim Vegetation in Work Zone 1 LS 2,000.00$ 2,000.00$ 5,500.00$ 5,500.00$ 326.00$ 326.00$ 4,500.00$ 4,500.00$ 7,500.00$ 7,500.00$ 10,000.00$ 10,000.00$ 4 Pre-Construction Video / Photo Documentation 1 LS 1,000.00$ 1,000.00$ 1,600.00$ 1,600.00$ 2,200.00$ 2,200.00$ 1,400.00$ 1,400.00$ 2,000.00$ 2,000.00 $ 2,500.00$ 2,500.00$ 5 Traffic Control 1 LS 29,826.15$ 29,826.15$ 11,692.00$ 11,692.00$ 9,718.00$ 9,718.00$ 29,000.00$ 29,000.00$ 25,000.00$ 25,000.00$ 97,819.00$ 97,819.00$ 6 Storm Water Pollution Control Program 1 LS 5,543.19$ 5,543.19$ 5,000.00$ 5,000.00$ 2,686.00$ 2,686.00$ 8,000.00$ 8,000.00$ 2,500.00$ 2,500.00 $ 5,000.00$ 5,000.00$ 7 Construction ADA Accessibility Plan 1 LS 5,000.00$ 5,000.00$ 500.00$ 500.00$ 2,236.00$ 2,236.00$ 6,000.00$ 6,000.00$ 3,000.00$ 3,000.00$ 2,000.00$ 2,000.00$ 8 Sweeping on the 3rd, 7th, 14th, 21st, & 30th Days after Placing Slurry Seal 1 LS $ - $ - $ - $ - $ - $ - 8 3/8" HMA-SP-50 Type A (PG 64-10) 184 TN 200.00$ 36,800.00$ 128.00$ 23,552.00$ 248.00$ 45,632.00$ 222.00$ 40,848.00$ 200.00$ 36,800.00$ 265.00$ 48,760.00$ 9 1/2" HMA-SP-50 Type A (PG 64-10) 574 TN 190.00$ 109,060.00$ 144.00$ 82,656.00$ 185.00 $ 106,190.00$ 165.00$ 94,710.00$ 195.00$ 111,930.00 $ 175.00$ 100,450.00$ 10 Keycut A1 (See Plan and Detail) 2,416 LF 6.00$ 14,496.00$ 1.50$ 3,624.00$ 4.80$ 11,596.80$ 4.00$ 9,664.00$ 5.00$ 12,080.00$ 4.00$ 9,664.00$ 11 Keycut B1 (See Plan and Detail) 457 LF 20.00$ 9,140.00$ 3.00$ 1,371.00$ 27.50$ 12,567.50$ 20.00$ 9,140.00$ 10.00$ 4,570.00$ 40.00$ 18,280.00$ 12 Remove & Replace 4" HMA 5,278 SF 7.00$ 36,946.00$ 7.25$ 38,265.50$ 8.00$ 42,224.00$ 5.75$ 30,348.50$ 8.00$ 42,224.00$ 7.00$ 36,946.00$ 13 6" Deep Lift Stabilization (Allowance) 320 SF 8.00$ 2,560.00$ 7.50$ 2,400.00$ 54.20$ 17,344.00$ 7.00$ 2,240.00$ 10.00$ 3,200.00$ 8.50$ 2,720.00$ 14 Prune & Remove Tree Roots Under HMA Repairs 303 SF 16.50$ 4,999.50$ 4.75$ 1,439.25$ 9.00$ 2,727.00$ 2.30$ 696.90$ 10.00$ 3,030.00$ 1.00$ 303.00$ 15 Remove & Replace PCC Curb Ramp 858 SF 35.00$ 30,030.00$ 34.00$ 29,172.00$ 48.60$ 41,698.80$ 40.00$ 34,320.00$ 25.00$ 21,450.00$ 18.00$ 15,444.00$ 16 Remove & Replace PCC Sidewalk 579 SF 35.00$ 20,265.00$ 20.00$ 11,580.00$ 29.90$ 17,312.10$ 32.00$ 18,528.00$ 25.00$ 14,475.00$ 18.00$ 10,422.00$ 17 Remove & Replace PCC Curb & Gutter 176 LF 120.00$ 21,120.00$ 74.25$ 13,068.00$ 150.00$ 26,400.00$ 68.00$ 11,968.00$ 110.00$ 19,360.00$ 75.00$ 13,200.00$ 18 Remove & Replace PCC Spandrel 253 SF 45.00$ 11,385.00$ 40.25$ 10,183.25$ 53.60$ 13,560.80$ 38.00$ 9,614.00$ 55.00$ 13,915.00$ 30.00$ 7,590.00$ 19 Construct PCC Retaining Curb 93 LF 50.00$ 4,650.00$ 37.00$ 3,441.00$ 21.40$ 1,990.20$ 70.00$ 6,510.00$ 100.00$ 9,300.00$ 45.00$ 4,185.00$ 20 Install Detectable Warning Surface 60 SF 25.00$ 1,500.00$ 64.00$ 3,840.00$ 44.00$ 2,640.00$ 65.00$ 3,900.00$ 30.00$ 1,800.00$ 75.00$ 4,500.00$ 21 Lower and Adjust Water Valve Cover to Finish Grade 3 EA 1,100.00$ 3,300.00$ 1,250.00$ 3,750.00$ 1,437.00$ 4,311.00$ 1,400.00$ 4,200.00$ 3,600.00$ 10,800.00$ 1,300.00$ 3,900.00$ 22 Lower and Adjust Survey Monument to Finish Grade 2 EA 1,500.00$ 3,000.00$ 1,250.00$ 2,500.00$ 1,304.00$ 2,608.00$ 4,200.00$ 8,400.00$ 3,600.00$ 7,200.00 $ 1,300.00$ 2,600.00$ 23 Relocate Sign Post 1 EA 800.00$ 800.00$ 300.00$ 300.00$ 302.00$ 302.00$ 1,020.00$ 1,020.00$ 500.00$ 500.00$ 250.00$ 250.00 $ 24 12" White Crosswalk / Limit Line (Thermoplastic) 150 LF 10.00$ 1,500.00$ 4.00$ 600.00$ 4.40$ 660.00$ 4.00$ 600.00$ 4.00$ 600.00$ 4.00$ 600.00$ 25 Install "STOP" Legend (Thermoplastic) 8 EA 286.00$ 2,288.00$ 200.00$ 1,600.00$ 220.00$ 1,760.00$ 200.00$ 1,600.00$ 200.00$ 1,600.00$ 200.00$ 1,600.00$ 26 Install Blue RPM @ Hydrant 4 EA 20.00$ 80.00$ 3.00$ 12.00$ 11.00$ 44.00$ 10.00$ 40.00$ 10.00$ 40.00$ 10.00$ 40.00$ 27 Repaint Red Curb Paint 16 LF 4.00$ 64.00$ 3.00$ 48.00$ 3.30$ 52.80$ 3.00$ 48.00$ 3.00$ 48.00$ 3.00$ 48.00$ 390,708.95$ 294,294.00$ 371,935.90$ 369,095.40$ 399,922.00$ 447,321.00$ Subcontractor Name (Bid Item # and Desc)
Acknowledge Addendum 1 Yes YesAcknowledge Addendum 2 Yes Yes 10% Bid Bond Yes Yes
A Licensed Contractor Yes Yes
Substitutions None None
TOTAL ALTERNATE 3 BID:TOTAL ALTERNATE 4 BID:

APPARENT LOW BIDDER'S LISTED SUBCONTRACTORS (Work Performed/Bid Items) Chrisp Company; 2.82% of Contract
Items 5p, 40-52,1-4p,1-14,1-20,2-4p,2-17 - 2-36
3-4p, 3-20 - 3-24,4-5p4-24 - 4-27
American Asphalt South; 15.08% of Contract
Items 1p,5p,8,1-1p,1-4p,1-6,2-1p,2-4p,2-6
Chrisp Company; 3.7% of Contract
5p,40-52,1-4p,1-14 - 1-20,2-4p,2-17 - 2-36, 3-
4p, 3-20 - 3-24, 4-5p,4-25 - 4-29

15.75% of Contract;
Items 1, 5, 8; 1-1, 1-4, 1-6; 2-1; 2-4; 2-6
American Asphalt South
Cen-Cal Construction; 4.75% of Contract
Items 12-15, 17, 26-31, 1-8,2-8,2-11,2-12,3-8,3-
9,3-10.3-11.4-10.4-11,4-12,4-15,4-16,4-17,4-
18,4-19

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7005 DowningAve. WESTROCK�
BENEAAL ENBINEEAINB ...

Bakersfield, CA 93308
661-218-9566
www.westrockgeneralengineering.com
Conclusion
Westrock General Engineering submitted a responsive and enforceable bid that satisfies the material requirements of the bidding documents and applicable California Public Contract Code provisions. The issues raised in the protest concern, at most, minor informalities or matters subject to clarification and do not constitute material defects requiring rejection of the bid.

Accordingly, Westrock respectfully requests that the City:

1. Deny the protest submitted by Souza Construction;

2. Determine that Westrock General Engineering is the lowest responsive and responsible bidder.

3. Proceed with award of the contract to Westrock General Engineering.

Thank you for your consideration.

Respectfully submitted,

WESTROCK GENERAL ENGINEERING
By: --------------
Joe Archuleta, Construction Manager
Supporting Documents
• Exhibit A - American Asphalt South, Inc. quotation dated September 29, 2026. • Exhibit B - Chrisp Company quotation dated September 29, 2026. • Exhibit C - Cen-Cal Construction quotation dated September 29, 2026. • Exhibit D - Westrock bidder-qualification page submitted with bid (Instructions to Bidders, page 13)

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Project No. MB2025-ST02 Page 2 October 13, 2026
2026 PAVEMENT REHABILITATION PROJECT
Base Bid: TWO MILLION, ONE HUNDRED FORTY-SEVEN THOUSAND, SEVEN HUNDRED SEVENTY-SEVEN DOLLARS ($2,147,777.00).

Bid Alternate 1: FOUR HUNDRED EIGHTY-FOUR THOUSAND, TWO HUNDRED EIGHTY-ONE DOLLARS ($484,281.00).

Bid Alternate 2: FOUR HUNDRED EIGHTY-THREE THOUSAND, TWO HUNDRED EIGHTY-TWO DOLLARS ($483,282.00).

The City reserves the right to award any number or combination of the Bid Alternates or none of the Bid Alternates. Award of Bid Alternates to be made in writing by the City.

Any increase in Contract Price of up-to the amount of contingency approved by the City Council at the time the Project is awarded to Contractor, if any, taken either separately or in the aggregate, or any increase in the time to perform of up to one hundred eighty (180) days and which are not detrimental to the Work or either of their designees. Any greater increases, taken either separately or in the aggregate, must be approved by the City Council.

ARTICLE 4 PAYMENT PROCEDURES:

A. Contractor shall submit Applications for Payment in accordance with Section 9 of the Standard Specifications.

B. The acceptance by Contractor of final payment shall be and shall operate as a full and unconditional release to the City of all claims and all liability to Contractor for all things done or furnished in connection with the WORK and for every act and neglect of City and others relating to or arising out of the WORK. No payment, however, final or otherwise, shall operate to release Contractor or sureties from any obligations under this Contract or the Performance and Payment Bond.

C. The amount of retention on the project shall be five percent (5%) of the WORK completed to date including stored materials, if any.

ARTICLE 5 :

In order to induce City to enter into this Agreement the Contractor makes the following representations:

A. Contractor has examined and carefully studied the Contract Documents and the other related data identified in the Bidding Documents.

B. Contractor has visited the Site and become familiar with and is satisfied as to the general, local, and Site conditions that may affect cost, progress, and performance of the WORK.

C. Contractor is familiar with and is satisfied as to all federal, state, and local Laws and Regulations that may affect cost, progress, and performance of the WORK.

D. Contractor has carefully studied all: (1) reports of explorations and tests of subsurface conditions at or contiguous to the Site and all drawings of physical conditions relating to existing surface or subsurface structures at the Site (except Underground Facilities), if any, that have been identified in the Contract Documents.

E. Contractor has considered the information known to Contractor; information commonly known to Contractors doing business in the locality of the Site; information and observations obtained from visits to the Site; the Contract Documents; and the Site-related reports and drawings identified in the Contract Documents, with respect to the effect of such information, observations, and documents on (1) the cost, progress, and performance of the WORK; (2) the means, methods,

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Project No. MB2025-ST02 Page 3 October 13, 2026
2026 PAVEMENT REHABILITATION PROJECT
techniques, sequences, and procedures of construction to be employed by Contractor, including any specific means, methods, techniques, sequences, and procedures of construction expressly required utions and programs.

F. Based on the information and observations referred to in Paragraph E above, Contractor does not consider that further examinations, investigations, explorations, tests, studies, or data are necessary for the performance of the WORK at the Contract Price, within the Contract Times, and in accordance with the other terms and conditions of the Contract Documents.

G. Contractor is aware of the general nature of work to be performed by Owner and others at the Site that relates to the WORK as indicated in the Contract Documents.

H. Contractor has given Engineer written notice of all conflicts, errors, ambiguities, or discrepancies that Contractor has discovered in the Contract Documents, and the written resolution thereof by Engineer is acceptable to Contractor.

I. The Contract Documents are generally sufficient to indicate and convey understanding of all terms and conditions for performance and furnishing of the WORK.

ARTICLE 6 CONTRACT DOCUMENTS:

This Contract shall consist of the following identified documents herein referred to as the Contract Documents: Invitation to Bidders, Instructions for Bidders, Bid Form, Supplements to Bid Form, Agreement, Bond Requirements and Bond Forms, Substitution of Securities, Guarantees, Insurance and Indemnification Requirements, Specifications, City Standard Specifications, and attached supplemental information, Drawings, and any Addenda, for the project, as those documents exist on the date of the first signature to this Contract. There are no other Contract Documents except those listed above. This Contract shall include all labor, materials, equipment, transportation, and services necessary for the proper execution of the WORK.

ARTICLE 7 LAW AND VENUE:

This Agreement has been executed and delivered in the County of San Luis Obispo, State of California and the validity, enforceability and interpretation of any of the clauses of this Agreement shall be determined and governed by the laws of the State of California. The duties and obligations of the parties created hereunder are performable in the City of Morro Bay and as such the County shall be the venue for any action of proceeding that may be brought or arise out of, in connection with or by reason of this Agreement.

ARTICLE 8 - CONFLICTS OF INTERESTS:

No official of City who is authorized on behalf of City to negotiate, make, accept, or approve, or to take part in negotiating, making, accepting, or approving any architectural, engineering, inspection, construction, or material supply contract or any subcontract in connection with the construction of the project, shall become directly or indirectly interested personally in this Contract or in any part thereof. No officer, employee, architect, attorney, engineer, or inspector of or for City who is authorized on behalf of City to exercise any executive, supervisory or other similar function in connection with the construction of the project shall become directly or indirectly interested personally in this Contract or in any part thereof.

ARTICLE 9 ASSIGNMENT:

No assignment by a party hereto of any rights under or interests in this Contract will be binding on another party hereto without the written consent of the party sought to be bound; and, specifically but without limitation, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under the Contract Documents.

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ARTICLE 10 SUCCESSORS:

City and Contractor each binds itself, its partners, successors, assigns, and legal representatives to the other party hereto, its partners, successors, assigns, and legal representatives in respect to all covenants, agreements, and obligations contained in the Contract Documents.

ARTICLE 11 SEVERABILITY:

Any provision or part of the Contract Documents held to be void or unenforceable under any Law or Regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon City and Contractor, who agree that the Contract Documents shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision.

ARTICLE 12 CONFLICTS:

In the event of a conflict between the Bid Documents and this Agreement, the terms and conditions of this Agreement shall control.

ARTICLE 13 BONDS:

A. PERFORMANCE BOND: Pursuant to Section 20129 of the California Public Contract Code, the successful Bidder shall, within ten (10) working days after award of this Contract simultaneously with the execution and delivery of this Agreement, execute a Faithful Performance Bond in an amount equal to one hundred percent (100%) of the Contract price, secured from a surety company admitted in the State of California and satisfactory to City. The Bond shall be issued on the Performance Bond form contained in these Contract Documents.

B. PAYMENT BOND: Pursuant to Sections 9550 through 9560, inclusive, of the California Civil Code, the successful bidder shall, within eight (8) working days after award of this Contract exceeding $25,000, simultaneously with the execution and delivery of the Agreement, execute a Payment Bond in the amount equal to 100% of the Contract price, secured from a surety company admitted in the State of California and satisfactory to City. The Bond shall be issued on the Payment Bond form contained in these Contract Documents.

ARTICLE 14 - SUBSTITUTIONS OF SECURITIES FOR RETENTION AMOUNTS:

Substitution of certain securities for retention amounts are allowed under the Public Contract Code at the option of the Contractor. The Contractor is required to formally request the substitution and to conform to the specific provisions of Public Contract Code section 22300.

A. Acceptable Securities: Whenever retention of monies is authorized to insure performance of Contract conditions, the Contractor shall be permitted to substitute securities for the amount withheld in accordance with Public Contract Code section 22300. Securities eligible for deposit under this procedure shall consist of bank or savings and loan certificates of deposit, interest bearing demand deposit accounts, standby letters of credit, securities listed in Government Code Section 16430, or any other security mutually agreed to by the Contractor and the public agency.

The Contractor shall be the beneficiary of the City of any securities substituted for monies withheld and shall receive any interest thereon.

B. Value of Securities: The value of securities being deposited shall be based upon market value as of the date of deposit and not necessarily on face value of the securities. Market value shall be determined by the City Public Works Director. If deposit is made into an escrow, escrow instructions must clearly state, in addition to the items mentioned in, that the escrow agent must convert the securities to cash in whole or in part upon a unilateral written demand for such conversion by the City Manager; and further, that any amount demanded by City shall be paid to

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2026 PAVEMENT REHABILITATION PROJECT
City upon unilateral written demand for payment. Escrow instructions used must be substantially similar to the form set forth in Public Contract Code section 22300. City will only make such demand for conversion in payment when the conditions of the Contract would have warranted an expenditure by City of a cash retention expenditure without any securities substitution. All escrow expenses shall be paid by Contractor.

C. Release of Securities: Securities deposited hereunder shall be released back to Contractor when the City Manager has certified in writing to the escrow holder that the project has been satisfactorily completed. The recording of Notice of Completion does not constitute such certification. All retention times called for in these Contract Documents must have passed, including the time after recording of Notice of Completion, before City will certify to satisfactory completion of the Contract.

ARTICLE 15 GUARANTEES AND WARRANTIES:

A. GUARANTEE FOR TOTAL WORK: Prior to acceptance of the WORK by City, the Contractor follows:
2026 PAVEMENT REHABILITATION PROJECT (MB2025-ST02):

This WORK has been constructed in accordance with the Contract Documents, and the WORK as installed will fulfill the requirements of this warranty, and any other warranty therefor, included in the Contract Documents. We agree to repair or replace any and all of our WORK together with any other adjacent WORK which may be displaced by so doing, that prove to be defective in its workmanship or material for the period of one (1) year (except when otherwise required in this Contract to be for a longer period) from date of acceptance of the above mentioned structure by City, ordinary wear and tear and unusual abuse or neglect excepted. Said date of acceptance shall be the date of acceptance and filing of the Notice of Completion by the City Council.

In the event of our failure to comply with the above-mentioned conditions within seven (7) days after being notified in writing, we collectively or separately, do hereby authorize City to proceed to have said defects repaired and made good at our expense and we will honor and pay the cost and charges therefor on demand.

Signed: ______________________________ _____________ Contractor License Number B. ADDITIONAL GUARANTEES: Additional Guarantees shall be provided as required in the technical sections of the Contract Documents.

ARTICLE 16 INSURANCE:

The parties expressly agree the indemnification and insurance clauses in this Contract are an integral part of the performance exchanged in this Contract. The compensation stated in this Contract includes compensation for the risks transferred to Contractor by the indemnification and insurance clauses.

Attention is invited to the provisions of the Insurance Code of the State of California with reference to the writing of insurance policies and bonds covering risks located in this state, and the premiums and commissions thereon. Contractor shall obtain, and maintain, at his own expense, all the insurance required by this section. The insurance requirements must be met within the time period allowed for Contract execution as defined herein.

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The Notice to Proceed with the WORK under this Contract will not be issued, and Contractor shall not commence WORK, until such insurance has been approved by City. Contractor shall not allow any subcontractor to commence WORK on his subcontract until all similar insurance required for the subcontractor has been obtained. Such insurance shall be maintained in full force and effect at all times during the prosecution of the WORK and until the final completion and acceptance thereof.

A. General Requirements: The following requirements apply to all insurance to be provided by Contractor:

1. A Certificate of Insurance and all required insurance endorsements and documents shall be furnished to City along with contract documents within three (3) days of the receipt of the Notice of Award.

2. Certificates and policies shall state the policies not be canceled or reduced in coverage or changed in any other material aspect without thirty (30) days prior written notice to City, except if cancelation is for non-payment and then notice shall be ten (10) days.

3. Approval of the insurance by City shall not relieve or decrease the extent to which the services or operations pursuant to this Contract.

B. Commercial General Liability (CGL):

1. Contractor shall maintain in full force and effect, for the period covered by this Contract, a. Personal Injury and Bodily Injury, including death resulting therefrom. b. Property Damage.

2. The amount of insurance shall not be less than the following: single limit coverage applying to bodily and personal injury, including death resulting therefrom and property damage coverage in in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO . 3. The following endorsements must be provided in the policy:
a.
b. The policy must cover personal injury as well as bodily injury. c. Blanket contractual liability must be afforded and the policy must be afforded and the policy must contain a cross liability or severability of interest endorsement.

4. The City of Morro Bay, its officials, officers, employees and agents shall be named as additional insurer under the policy using standard ISO endorsement No. CG 2010. Contractor also agrees to require all subcontracting to do likewise. The policy shall provide that the insurance will operate as primary insurance. No other insurance effected by the City, whether commercial or self-insurance will be called upon to contribute to a loss hereunder. Nothing City in contravention of Insurance Code 11580.04.

C. : In accordance with the provisions of
Section 3700 of the California Labor Code, the Contractor will be required to secure the payment of compensation to his employees. The Contractor shall sign and file with City the following certification:

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Project No. MB2025-ST02 Page 7 October 13, 2026
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-insurance in accordance
with the provisions of that code, and I will comply with such provisions before commencing the Notwithstanding the foregoing provision, before the Contract is executed on behalf of City, a bidder to whom a Contract has been awarded shall furnish certificate of insurance or certificate of permission to self-insure. Said certificates shall provide tha change shall be afforded City.

Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against Agency, its elected or appointed officers, agents, officials, employees, and volunteers or shall specifically allow Vendor or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Vendor hereby waives its own right of recovery against Agency and shall require similar written express waivers and insurance clauses from each of its subconsultants.

D. Business Auto Coverage on ISO Business Auto Coverage from CA 00 01 including symbol 1 (Any Auto) or an acceptable equivalent. Limits are subject to review, but in no event to be less than $1,000,000 per accident. If Contractor owns no vehicles, then this requirement may be satisfied by a non-owned auto endorsement to the general liability policy described in B., above. If Contractor then Contractor shall provide evidence of personal auto liability coverage for each such person.

E. Duration of coverage. Contractor shall procure and maintain for the contract period, and any additional length of time required thereafter, insurance against claims for injuries to persons or damages to property, or financial loss which may arise from or in connection with the performance of the Work hereunder by Contractor, their agents, representatives, employees, or subconsultants.

Contractor must maintain general liability and umbrella or excess liability insurance for as long as there is a statutory exposure to completed operations claims. Agency and its officers, officials, employees, and agents shall continue as additional insureds under such policies.

F. Products/completed operations coverage. Products/completed operations coverage shall extend a minimum of three (3) years after project completion. Coverage shall be included on behalf of the insured for covered claims arising out of the actions of independent contractors. If the insured is using subcontractors, the Policy must include work perfo indemnify for claims or suits expressly excluded from coverage. Policy shall specifically provide for a duty to defend on the part of the insurer. The Agency, its officials, officers, agents, and employees, shall be included as additional insureds under the Products and Completed Operations coverage.

ARTICLE 17 INDEMNIFICATION:

A. Except as otherwise provided in subparagraphs B. and C. below, Contractor shall defend, indemnify claims demands, damages, costs expenses, judgments, attorney fees or liability relating to any act or omission by the Contractor, or its agents, employees, or certain independent Contractors (described below) which relates in any way to this Contract; regardless of whether said act or omission is willful, negligent or non-negligent. The preceding sentence applies to any theory of recovery relating to said act or omission, including but not limited to the following:

1. Violation of statute, ordinance, or regulation.

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Project No. MB2025-ST02 Page 8 October 13, 2026
2026 PAVEMENT REHABILITATION PROJECT

2. Professional malpractice.

3. Willful, intentional or other wrongful acts, or failures to act.

4. Negligence or recklessness.

5. Furnishing of defective or dangerous products.

6. Completed operations.

7. Premises liability.

8. Strict liability.

9. Inverse condemnation.

10. Violation of civil rights.

11. Violation of any federal or state statute, regulation, or ruling resulting in a determination by the Internal Revenue Service, California Franchise Tax Board or any other California public entity responsible for collecting payroll taxes, when Contractor is not an independent contractors which are either hired by Contractor, directly responsible to Contractor, or under the direction or control of Contractor.

B. Nothing contained in the foregoing indemnity provision shall be construed to require indemnification for liability arising from proven willful misconduct of City.

C. Nothing contained in the foregoing indemnity provision shall be construed to require indemnification for that portion of any liability attributable to the active negligence of City provided, however, this exception for active negligence shall not apply to (1) liability arising from the passive negligence of City, or (2) that portion of any liability attributable to any act or omission, whether willful misconduct or active or passive negligence on the part of the Contractor.

D. Contractor shall have the burden of proving the exception described in paragraphs B and C above.

E. It is the intent of the parties to provide City
be in contravention of applicable law, then said word(s) shall be severed from this Contract and the remaining language shall be given full force and effect.

ARTICLE 18 COMPLIANCE WITH LAWS:

Federal and State Laws and Regulations: The project shall be constructed under the complete jurisdiction of all applicable laws of the United States and State of California governing construction including, without limitation, the following:

A. The California Health and Safety Code and all applicable administrative code regulations pursuant thereto.

B. All laws governing the employment of labor, qualifications for employment of aliens, payment of employees, convict-made materials, domestic and foreign materials and accident prevention.

Marshall, SubD. General Industrial Safety Orders: Each and every Contractor shall observe and conform to the provisions of Title 8, California Administrative Code bearing upon safe and proper use, construction, disposal, etc., of materials, machinery, and building appurtenances as therein set forth.

E. Code Rules and Safety Orders: All work and materials shall be in full accordance with the latest - substantive rules and regulations of the State Fire Marshall, the safety orders of the Division of Industrial Safety, Department of Industrial Relations; the Uniform Building Code, National Electric

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Project No. MB2025-ST02 Page 9 October 13, 2026
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Code, Uniform Mechanical Code, Uniform Plumbing Code, and other applicable State Laws or Regulations. Nothing in these plans and specifications is to be construed to permit WORK not conforming to these codes.

Note: The procedural aspects of the Uniform Codes referred to above may not apply to the WORK of this Contract, but the substantive provisions do apply. All of the above laws and regulations though referred to herein, are as much a part of the Contract as if they were incorporated in their entirety in this Agreement.

F. Prevailing Wage Law:
a.) Public Work. The Parties acknowledge that the work to be performed under this Agreement is to the requirements of Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code relating to public works contracts and the rules and regulations established DIR
performed under this Agreement is subject to compliance monitoring and enforcement by the DIR.

Contractor shall post job site notices, as prescribed by regulation. b.) Registration with DIR. Pursuant to Labor Code section 1771.1, Contractor and all subcontractors must be registered with, and pay an annual fee to, the DIR prior to and during the performance of any work under this Agreement.
c.) Prevailing Wages. Contractor shall pay prevailing wages to the extent required by Labor Code Section 1771. Pursuant to Labor Code Section 1773.2, copies of the prevailing rate of per diem wages are on file at City Hall and will be made available to any interested party on request. By initiating any work under this Agreement, Contractor acknowledges receipt of a copy of the DIR determination of the prevailing rate of per diem wages, and Contractor shall post a copy of the same at each job site where work is performed under this Agreement. Contractor assumes responsibility for the payment of prevailing wages and shall indemnify City and hold City harmless from any and all claims made by the State of California, the DIR, any subcontractor, any worker, or any other third party with respect thereto.
d.) Penalty for Failure to Pay Prevailing Wages. Contractor shall comply with and be bound by the provisions of Labor Code Sections 1774 and 1775 concerning the payment of prevailing rates of wages to workers and the penalties for failure to pay prevailing wages. The Contractor shall, as a penalty to the City, forfeit two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the DIR for the work or craft in which the worker is employed for any public work done pursuant to this Agreement by Contractor or by any subcontractor.
e.) Payroll Records. Contractor shall comply with and be bound by the provisions of Labor Code Section 1776, which requires Contractor and each subcontractor to: keep accurate payroll records and verify such records in writing under penalty of perjury, as specified in Section 1776; certify and make such payroll records available for inspection as provided by Section 1776; and inform the City of the location of the records.
f.) Apprentices. Contractor shall comply with and be bound by the provisions of Labor Code Sections 1777.5, 1777.6, and 1777.7 and California Code of Regulations Title 8, Section 200 et seq. concerning the employment of apprentices on public works projects. Contractor shall be responsible for compliance with these aforementioned Sections for all apprenticeable occupations.

Prior to commencing work under this Agreement, Contractor shall provide City with a copy of the information submitted to any applicable apprenticeship program. Within sixty (60) days after concluding work pursuant to this Agreement, Contractor and each of its subcontractors shall submit

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Project No. MB2025-ST02 Page 10 October 13, 2026
2026 PAVEMENT REHABILITATION PROJECT
to the City a verified statement of the journeyman and apprentice hours performed under this Agreement.
g.) Eight-Hour Work Day. Contractor acknowledges that eight (8) hours labor constitutes a legal h.) Penalties for Excess Hours. Contractor shall comply with and be bound by the provisions of Labor Code Section 1813 concerning penalties for workers who work excess hours. The Contractor shall, as a penalty to the City, forfeit twenty-five dollars ($25) for each worker employed in the performance of this Agreement by the Contractor or by any subcontractor for each calendar day during which such worker is required or permitted to work more than eight (8) hours in any one calendar day and forty (40) hours in any one calendar week in violation of the provisions of Division 2, Part 7, Chapter 1, Article 3 of the Labor Code. Pursuant to Labor Code section 1815, work performed by employees of Contractor in excess of eight (8) hours per day, and forty (40) hours during any one week shall be permitted upon public work upon compensation for all hours worked in excess of 8 hours per day at not less than one and one-half (1½) times the basic rate of pay.
i.) . California Labor Code Sections 1860 and 3700 provide that every employer will be required to secure the payment of compensation to its employees if it has employees. In accordance with the provisions of California Labor Code Section 1861, Contractor every employer to be insured against lia -
insurance in accordance with the provisions of that code, and I will comply with such provisions j.) . For every subcontractor who will perform work
Division 2, Part 7, Chapter 1 (commencing with Section 1720) of the California Labor Code, and shall make such compliance a requirement in any contract with any subcontractor for work under this Agreement. Contractor shall be required to take all actions necessary to enforce such on,
conducting a review of the certified payroll records of the subcontractor on a periodic basis or upon becoming aware of the failure of the subcontractor to pay his or her workers the specified prevailing rate of wages. Contractor shall diligently take corrective action to halt or rectify any such failure by any subcontractor.
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Project No. MB2025-ST02 Page 11 October 13, 2026
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IN WITNESS, WHEREOF, the parties to these presents have hereunto set their hands the year and date first above written.

CITY OF MORRO BAY ATTEST:
_____________________________________ JOHN CRAIG, CITY MANAGER DANA SWANSON, City Clerk CONTRACTOR: APPROVED AS TO FORM: _________________________________ ____________________________________ By: Garrett Jason Brown BRIAN STACK, City Attorney Its: Chief Executive Officer
Licensed in accordance with an act providing for the registration of Contractors.

License No. ________________; Classification ______ ; Expires ____/____/20____

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1 AGREEMENT FOR SERVICES

BETWEEN CITY OF MORRO BAY AND
FILIPPIN ENGINEERING, INC.

THIS AGREEMENT FOR SERVICES (“Agreement”) is made and entered into this 13th day of October, 2026 by and between CITY OF MORRO BAY, a California municipal corporation (“City”) and Filippin Engineering, a California Corporation (“Consultant”). City and Consultant may be referred to individually as “Party” or collectively as “Parties.” In consideration of the mutual promises and covenants made by the Parties and contained herein and other consideration, the value and adequacy of which are hereby acknowledged, the Parties agree as follows:

ARTICLE 1. SERVICES OF CONSULTANT

1.1 Scope of Services. In compliance with all terms and conditions of this Agreement, Consultant shall provide those services specified in the “Scope of Services” attached hereto as Exhibit A and incorporated herein by this reference, which may be referred to herein as the “services” or “work” hereunder. As a material inducement to City entering into this Agreement, Consultant represents and warrants: a) all services set forth in the Scope of Services will be performed in a competent and satisfactory manner; b) all materials used for services will be both of good quality as well as fit for the purpose intended; and, c) Consultant shall follow the highest professional standards and practices in performing the services required hereunder.

1.2 Consultant’s Proposal. The Scope of Services shall include the scope of services or work included in Consultant’s proposal or bid, which shall be incorporated herein by this reference as though fully set forth herein. In the event of any inconsistency between the terms of such proposal or bid, and this Agreement, the terms of this Agreement shall govern. No other terms and conditions from Consultant’s proposal or bid, other than description of scope of services or work, shall apply to this Agreement, unless specifically agreed to by City in writing.

1.3 Compliance with Law. All services rendered hereunder shall be provided in accordance with all ordinances, resolutions, statutes, rules and regulations of City and any federal, State or local governmental agency having jurisdiction in effect at the time services are rendered.

City, and its officers, employees and agents, shall not be liable at law or in equity for failure of Consultant to comply with this Section.

1.4 Licenses, Permits, Fees and Assessments. Consultant shall obtain at its sole cost and expense such licenses, permits and approvals as may be required by law for the performance of the services required by this Agreement. Consultant shall have the sole obligation to pay for any fees, assessments and taxes, plus applicable penalties and interest, which may be imposed by law and arise from or are necessary for Consultant’s performance of the services required by this Agreement, and shall indemnify, defend and hold harmless City against any such fees, assessments, taxes, penalties or interest levied, assessed or imposed against City hereunder.

1.5 Additional Services and Compensation. City shall have the right at any time during the performance of the services, without invalidating this Agreement, to order extra work beyond that specified in the Scope of Services or make changes to the work by altering, adding to or deducting from said work. No such extra work may be undertaken unless a written order,

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2 consistent with both Section 9.4 as well as Morro Bay Municipal Code (“MBMC”) section

3.08.060 (and as amended), is first given by City to Consultant, incorporating therein any adjustment in the Contract Sum for the actual costs of the extra work and/or the time to perform this Agreement, which said adjustments are subject to the written approval of Consultant. It is expressly understood by Consultant that the provisions of this Section shall not apply to services specifically set forth in the Scope of Services or reasonably contemplated therein. Consultant hereby acknowledges that it accepts the risk that the services to be provided pursuant to the Scope of Services may be more costly or time consuming than Consultant anticipates and that Consultant shall not be entitled to additional compensation therefor. City may in its sole and absolute discretion have similar work done by other consultants.

1.6 Familiarity with Work. By executing this Agreement, Consultant represents and warrants Consultant: a) has thoroughly investigated and considered services to be performed, b) has carefully considered how services should be performed, and c) fully understands the facilities, difficulties and restrictions attending performance of services under this Agreement.

1.7 Software and Computer Services. If the Scope of Services includes the provision and/or installation of any software, computer system, or other computer technology, Consultant represents and warrants that it is familiar with and/or has inspected City’s current infrastructure, equipment, computer system and software and that the software, computer system, or other computer technology provided and/or installed by Consultant under this Agreement is compatible, and shall be fully functional, with such infrastructure, equipment, computer system and software of City. Consultant acknowledges that City is relying on this representation by Consultant as a material consideration in entering into this Agreement.

1.8 Prevailing Wages. If services include any “public work” or “maintenance work,” as those terms are defined in California Labor Code section 1720 et seq. and California Code of Regulations, Title 8, section 16000 et seq., and if the total compensation is $1,000 or more, Consultant shall pay prevailing wages for such work and comply with the requirements in California Labor Code section 1770 et seq. and 1810 et seq., and all other applicable laws.

1.9 Special Requirements. Additional terms and conditions of this Agreement, if any, which are made a part hereof are set forth in the “Special Requirements” attached hereto as Exhibit B and incorporated herein by this reference. In the event of a conflict between the provisions of Exhibit B and any other provisions of this Agreement, the provisions of Exhibit B shall govern.

ARTICLE 2. COMPENSATION AND METHOD OF PAYMENT

2.1 Contract Sum. Subject to any limitations set forth in this Agreement, City agrees to pay Consultant the amounts specified in the “Schedule of Compensation” attached hereto as Exhibit C and incorporated herein by this reference. The total compensation, including reimbursement for actual expenses, shall not exceed Four Hundred Thirty Thousand Five Hundred Eighty Dollars ($430,580.00) (“Contract Sum”), unless additional compensation is approved pursuant to Section 1.5. Compensation may include reimbursement, for actual and necessary expenditures, if both specified in the Schedule of Compensation, as well as approved by City in advance. The Contract Sum shall include the attendance of Consultant at all project meetings reasonably deemed necessary by City. Consultant agrees that if Consultant becomes aware of any

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3 facts, circumstances, techniques, or events that may or will materially increase or decrease the cost of the work or services, Consultant shall promptly notify the Contract Officer of said fact, circumstance, technique or event and the estimated increased or decreased cost related thereto.

2.2 Invoices. Unless some other method of payment is specified in Exhibit C, Schedule of Compensation, in any month in which Consultant wishes to receive payment, no later than the first business day of such month, Consultant shall submit to City, in a form approved by City’s Finance Director, an invoice for services rendered prior to the date of the invoice. By submitting an invoice for payment under this Agreement, Consultant is certifying compliance with all provisions of this Agreement. Except as provided in Sections 7.3, 7.4 and 7.5, City shall pay Consultant for all expenses stated thereon which are approved by City pursuant to this Agreement generally within thirty (30) days, and City will use its best efforts to make payment no later than forty-five (45) days, from the submission of an invoice in an approved form. In the event any charges or expenses are disputed by City, the original invoice shall be returned by City to Consultant for correction and resubmission. Review and payment by City for any invoice provided by Consultant shall not constitute a waiver of any rights or remedies provided herein or any applicable law. Each invoice is to include (unless otherwise specified by City): 1) line items for all personnel describing the work performed, the number of hours worked, and the hourly rate; 2) line items for all materials and equipment properly charged to the Services; 3) line items for all other approved reimbursable expenses claimed, with supporting documentation; and 4) line items for all approved subcontractor labor, supplies, equipment, materials, and travel properly charged to the Services.

ARTICLE 3. PERFORMANCE SCHEDULE

3.1 Time of Essence. Time is of the essence in the performance of this Agreement. 3.2 Term. Unless earlier terminated in accordance with Article 7 of this Agreement, this Agreement shall continue in full force and effect until completion of the services, which shall be no later than December 31, 2027.

3.3 Schedule of Performance. Consultant shall commence the services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all services within the time period(s) established in the “Schedule of Performance” attached hereto as Exhibit D and incorporated herein by this reference.

3.4 Force Majeure. The time period(s) specified in the Schedule of Performance for performance of the services rendered pursuant to this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Consultant, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, earthquakes, floods, epidemics, quarantine restrictions, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including City, if Consultant shall within ten (10) days of the commencement of such delay notify City in writing of the causes of the delay. City shall ascertain the facts and the extent of delay, and extend the time for performing the services for the period of the enforced delay when and if in the judgment of City such delay is justified. City’s determination shall be final and conclusive upon the Parties to this Agreement. In no event shall Consultant be entitled to recover damages against City for any delay

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4 in the performance of this Agreement, however caused, Consultant’s sole remedy being extension of this Agreement pursuant to this Section.

ARTICLE 4. COORDINATION OF WORK

4.1 Representative of Consultant. The representative of Consultant is Gino Filippin, CEA/CFO, who is authorized to act on Consultant’s behalf with respect to the work or services specified herein and to make all decisions in connection therewith. It is expressly understood that the experience, knowledge, capability and reputation of the representative was a substantial inducement for City to enter into this Agreement. Therefore, the representative shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. For purposes of this Agreement, the representative may not be replaced nor may their responsibilities be substantially reduced by Consultant without the express written approval of City.

4.2 Contract Officer for City. The Contract Officer for City is Nate Stong P.E, City Engineer (or such person as may be designated by the City Manager). The Contract Officer shall be the primary person on behalf of City responsible for the administration of the Agreement. It shall be Consultant’s responsibility to assure that the Contract Officer is kept informed of both the progress of the performance of the services as well as any decisions which must be made by City.

4.3 Approvals from City. City approvals or actions, pursuant to the authority of this Agreement, are to be made (unless otherwise specified) either by the City Manager or by their delegate as provided for in writing.

4.4 Independent Contractor. Neither City, nor any of its officers, employees or agents, shall have any control over the manner or means by which Consultant, or its officers, employees, agents or subcontractors, perform the services required herein, except as otherwise set forth herein. Consultant shall perform all services required herein as an independent contractor of City and shall remain under only such obligations as are consistent with that role. Consultant shall not at any time or in any manner represent that it, or any of its officers, employees, agents or subcontractors, are officers, employees or agents of City. City shall not in any way or for any purpose become or be deemed to be a partner of Consultant in its business or otherwise or a joint venturer or a member of any joint enterprise with Consultant. Consultant shall not incur or have the power to incur any debt, obligation or liability whatever against City, or bind City in any manner. Consultant represents and warrants that the personnel used to provide services to City pursuant to this Agreement shall at all times be under Consultant’s exclusive control and direction.

No City employee benefits shall be available to Consultant, its officers, employees, agents or subcontractors, in connection with the performance of this Agreement. City shall not be liable for compensation or indemnification to Consultant, its officers, employees, agents or subcontractors, for injury or sickness arising out of performing services hereunder. In the event that Consultant or any officer, employee, agent, or subcontractor of Consultant providing services under this Agreement claims or is determined by a federal or state agency, a court of competent jurisdiction, or the California Public Employees’ Retirement System, to be classified as other than an independent contractor for City, then Consultant shall indemnify, defend, and hold harmless City for the payment of any and all assessed fines, penalties, judgments, employee and/or employer contributions, and any other damages and costs assessed to City as a consequence of, or in any

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5 way attributable to, the assertion that Consultant, or any officer, employee, agent, or subcontractor Consultant used to provide services under this Agreement, is/are employees of City.

4.5 Subcontracting or Assignment. The experience, knowledge, capability and reputation of Consultant, its principals and employees were a substantial inducement for City to enter into this Agreement. Therefore, without express written approval of City, Consultant shall not contract with any other entity to perform in whole or in part services required hereunder without express written approval of City, and neither this Agreement nor any interest herein may be transferred or assigned. No approved transfer shall release Consultant, or any surety or insured of Consultant, of any liability hereunder without express written consent of City.

ARTICLE 5. INSURANCE AND INDEMNIFICATION

5.1 Insurance Coverages. Prior to commencement of any services under this Agreement, and without limiting Consultant’s indemnification obligation to City, Consultant shall procure and maintain, at its sole cost and expense, in a form and content satisfactory to City, for the duration of the Agreement, primary policies of insurance of the type and amounts below, issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by City, which shall cover all elected and appointed officers, employees and agents of City. City reserves the right at any time during the term of the Agreement to change the amounts and types of insurance required by giving Consultant ninety (90) days advance written notice of such change.

If such change results in substantial additional cost to Consultant, City and Consultant may renegotiate Consultant’s compensation.
(a) Commercial General Liability Insurance. A policy of commercial general liability insurance, with coverage at least as broad as Insurance Services Office (“ISO”) form CG 00 01, written on a per occurrence basis for bodily injury, personal injury and property damage. Defense costs must be paid in addition to limits. Coverage for an additional insured shall not be limited to its vicarious liability. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted. Limits shall be no less than $1,000,000 per occurrence for all covered losses and no less than $2,000,000 general aggregate.
(b) Worker’s Compensation Insurance. A policy of worker’s compensation insurance in such amount as will fully comply with the laws of the State of California and which shall indemnify, insure and provide legal defense for Consultant against any loss, claim or damage arising from any injuries or occupational diseases occurring to any worker employed by or any persons retained by Consultant in the course of carrying out the work or services contemplated in this Agreement.
(c) Automobile Liability. A policy of comprehensive automobile liability insurance, at least as broad as ISO form CA 00 01, written on a per occurrence basis covering bodily injury and property damage in an amount not less than $1,000,000 combined single limit for each accident. Said policy shall include coverage for owned, non-owned, leased, hired cars and

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6 any automobile.
(d) Professional Liability. Professional liability insurance appropriate to Consultant’s profession. This coverage may be written on a “claims made” basis and must include coverage for contractual liability. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement. The professional liability insurance required by this Agreement must be endorsed to be applicable to claims based upon, arising out of, or related to services performed under this Agreement. The insurance must be maintained for at least five (5) consecutive years following the completion of Consultant’s services or the termination of this Agreement. During this additional 5-year period, Consultant shall annually and upon request of City submit written evidence of this continuous coverage. Limits shall be no less than $1,000,000 per claim and no less than $1,000,000 general aggregate. (e) Cyber Liability. Cyber liability insurance appropriate to Consultant’s profession and the services hereunder, written on a per occurrence basis, with limits not less than $1,000,000 per occurrence/loss, and $2,000,000 in the aggregate. Coverage shall be sufficiently broad to respond to the duties and obligations undertaken by Consultant pursuant to this Agreement and shall include, but not be limited to, claims involving: infringement of intellectual property; copyright; trademark; invasion of privacy violations; data breach; electronic information theft, loss, damage, destruction, alteration or misuse; release of private information; extortion; and, network security. The policy shall provide coverage for breach response costs, regulatory fines and penalties, and credit monitoring expenses, with limits sufficient to respond to these obligations.
(f) Excess Liability Insurance. Excess liability insurance may be used to satisfy the obligations herein. If excess liability insurance is used then the policy shall meet all the requirements herein and be at least as broad as the primary coverages set forth herein. Such policy shall: 1) include a drop down feature requiring the policy to respond if primary insurance that would otherwise have applied proves to be uncollectible in whole or in part for any reason; 2) be payable on behalf of wording as opposed to reimbursement; 3) have concurrency of effective dates with primary policies; 4) “follow form” to the underlying primary policies; and, 5) provide insureds, under primary policies required herein, shall be insureds under the excess liability policy. (g) Subcontractors. In the event Consultant subcontracts any portion of the work in compliance with Section 4.5 of this Agreement, Consultant shall either: 1) include each subcontractor as insureds under its policies of insurance required herein; or, 2) Consultant shall furnish to City all documentation, required in Article 5 for Consultant, for each subcontractor. All coverages for subcontractors shall include all of the requirements stated herein.

5.2 General Insurance Requirements.
(a) Proof of Insurance, Enforcement and Notice. No work or services under this Agreement shall commence until both Consultant has provided City with insurance certificates, endorsement forms and appropriate insurance binders evidencing the above insurance coverages, as well as said documentation is approved by City. City reserves the right to inspect complete, certified copies of, and endorsements to, all required insurance policies, at any time.

Any failure to comply with the reporting or other provisions of the policies including breaches or

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7 warranties shall not affect coverage provided to City. In the event any insurance policy required under this Agreement is cancelled or amended (and the insurance policy is not replaced pursuant to subsection (b) below), or does not comply with Article 5, then: 1) City has the right but not the duty to obtain insurance required herein and any premium paid by City will be promptly reimbursed by Consultant or City will withhold amounts sufficient to pay premium from Consultant payments; or, 2) City, notwithstanding any other provisions of this Agreement, may immediately terminate this Agreement. Consultant shall give City prompt and timely notice of claims made or suits instituted that arise out of or result from Consultant’s performance under this Agreement, and that involve or may involve coverage under any of the required insurance policies. (b) Cancellation/Amendment. All of herein required policies of insurance shall provide the insurance may not be amended or cancelled by insurer or any Party hereto without providing thirty (30) calendar days prior written notice (with exception of ten (10) calendar days prior written notice for nonpayment) to City. In the event any of said policies of insurance are amended or cancelled, Consultant shall, five (5) business days prior to the cancellation date, submit new evidence of insurance in conformance with this Agreement to City. (c) Additional Insureds. The commercial general liability policy provided for in Section 5.1(a) and the automobile liability policy provided for in Section 5.1(c) both shall name City and its elected and appointed officers, employees and agents (“City Parties”) as additional insureds and such coverage shall contain no special limitations on the scope of protection afforded to City and City Parties. A severability of interests provision must apply for all additional insureds ensuring that Consultant’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer’s liability, and policies of insurance shall not contain any cross-liability exclusions. (d) Primary, Subrogation, Contribution and Coverage. All of the above policies of insurance shall be primary insurance. The insurers for above policies, Consultant and any subcontractors are all deemed hereof to waive all rights of subrogation and contribution they may have against City or City Parties, and their respective insurers, and all insurance policies required herein shall be endorsed to waive such rights. Any insurance maintained by City or City Parties will apply in excess of, and not contribute with, Consultant’s insurance. If Consultant maintains broader coverage and/or higher limits than the minimum amounts provided herein, City requires and shall be entitled to the broader coverage and/or higher limits maintained by Consultant. Any available insurance proceeds in excess of the specified minimum limits of insurance and coverage shall be available to City and City Parties. None of the coverages required herein will be in compliance with this Agreement if they include any limiting endorsement of any kind that has not been first submitted to City and approved of in writing. Requirements of specific coverage features or limits contained herein are not intended as a limitation on coverage, limits or other requirements, or a waiver of any coverage normally provided by any insurance. Specific reference to a given coverage feature is for purposes of clarification only as it pertains to a given issue and is not intended by any Party or insured to be all inclusive, or to the exclusion of other coverage, or a waiver of any type.
(e) Limitations, Self- Insured Retention and Deductibles. Consultant agrees that requirements of Article 5 shall not be construed as limiting in any way the extent to which Consultant may be held responsible for the payment of damages to any persons or property

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8 resulting from Consultant’s activities or the activities of any person or persons for which Consultant is otherwise responsible nor shall it limit Consultant’s indemnification liabilities as provided in Section 5.3. All insurance policies must specify that where the primary insured does not satisfy any self-insured retention, any additional insured may satisfy the self-insured retention.

Any deductibles or self-insured retentions must be declared to and approved by City. At City’s option, either the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects City and City Parties, or Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration, attorney’s fees, defense expenses and claims. 5.3 Indemnification. (a) General Obligations. Consultant agrees, to the full extent permitted by law, to indemnify, defend and hold harmless City and its elected and appointed officers, employees and agents (each an “Indemnitee” and collectively, “Indemnitees”) against, and will hold and save them and each of them harmless from, whether actual or threatened, any and all actions, either judicial, administrative, arbitration or regulatory claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions or liabilities (herein “Claims or Liabilities”) that may be asserted or claimed by any person, firm or entity arising out of or in connection with the negligent performance of the work, operations or activities provided herein of Consultant, its officers, employees, agents, subcontractors, or invitees, or any individual or entity for which Consultant is legally liable (each an “Indemnitor” and collectively, “Indemnitors”), or arising from Indemnitors’ reckless or willful misconduct, or arising from Indemnitors’ negligent performance of or failure to perform any term, provision, covenant or condition of this Agreement, and in connection therewith: 1) Consultant will defend any action or actions filed or threatened in connection with any such Claims or Liabilities, or at option of Indemnitee(s) will reimburse and pay for all costs and expenses, including legal costs and attorneys’ fees, incurred by Indemnitee(s) in connection therewith; and, 2) Consultant will promptly pay any judgment rendered against Indemnitee(s) for any such Claims or Liabilities, and will save and hold Indemnitee(s) harmless therefrom.
(b) Further Provisions. The indemnity obligation herein shall be binding on successors, assigns and heirs of Consultant and shall survive termination of this Agreement.

Consultant shall incorporate similar indemnity agreements as provided herein with its subcontractors, and if Consultant fails to do so Consultant shall be fully responsible to indemnify City hereunder therefor. Failure of City and/or City Parties (collectively “City” for solely this Section 5.3(b)) to monitor compliance with any of the indemnification provisions herein shall not be a waiver hereof. The indemnification provisions herein do not apply to claims or liabilities occurring as a result of City’s sole negligence or willful misconduct, but, to the fullest extent permitted by law, shall apply to claims and liabilities resulting in part from City’s negligence, except that design professionals’ indemnity hereunder shall be limited to claims and liabilities arising out of the negligence, recklessness or willful misconduct of the design professional. The indemnification provided herein includes Claims or Liabilities arising from any negligent or wrongful act, error or omission, or reckless or willful misconduct of Indemnitors in the performance of professional services hereunder. Payment of invoices by City is not a condition precedent to enforcement of the indemnity obligation herein. In the event of any dispute between Consultant and City, as to whether liability arises from the sole negligence or willful misconduct of City, Consultant will be obligated to pay for City’s defense until such time as a final judgment

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9 has been entered adjudicating City as solely negligent or responsible for willful misconduct.

Consultant will not be entitled in the absence of such a determination to any reimbursement of defense costs including but not limited to attorney’s fees, expert fees and costs of litigation. (c) Professional Liability. When the law establishes a professional standard of care for Consultant’s services, to the fullest extent permitted by law, Consultant shall indemnify, defend and hold harmless Indemnitees against, and will hold and save them and each of them harmless from, whether actual or threatened, any and all Claims and Liabilities, consistent with all obligations provided for in this Section 5.3, to the extent same are caused in whole or in part by any negligent or wrongful act, error or omission, or reckless or willful misconduct of Indemnitors in the performance of professional services under this Agreement.

ARTICLE 6. RECORDS, REPORTS AND RELEASE OF INFORMATION

6.1 Records. Consultant shall keep, and require subcontractors to keep, such ledgers, books of accounts, invoices, vouchers, canceled checks, reports, studies or other documents relating to the disbursements charged to City and services performed hereunder (“books and records”) as shall be necessary to perform the services required by this Agreement and enable City to evaluate the performance of such services. Any and all such books and records shall be maintained in accordance with generally accepted accounting principles, shall be complete and detailed, and shall be readily accessible. City shall have full and free access to such books and records at all times during normal business hours of City, including the right to inspect, copy, audit and make records and transcripts. Such books and records shall be maintained for a period of three (3) years following completion of the services hereunder. City shall have access to such books and records in the event any audit is required. Consultant shall fully cooperate with City in providing access to any and all Consultant records and documents if a public records request is made and disclosure is required by law including but not limited to the California Public Records Act.

6.2 Ownership of Documents. All drawings, specifications, maps, designs, photographs, studies, surveys, data, notes, computer files, reports, records, documents and other materials (“documents and materials”) prepared by Consultant, its officers, employees, agents and subcontractors in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of City and/or upon the termination of this Agreement, and Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights of ownership, use, reuse, or assignment of the documents and materials hereunder. Consultant may retain copies of such documents and materials for its own use. Consultant shall have the right to use the concepts embodied therein. All subcontractors shall provide for assignment to City of any documents and materials prepared by them, and in the event Consultant fails to secure such assignment, Consultant shall indemnify City for all damages resulting therefrom. Moreover, with respect to any Consultant documents and materials that may qualify as “works made for hire” as defined in 17 U.S.C. § 101, such documents and materials are hereby deemed “works made for hire” for City.

6.3 Confidentiality and Release of Information. All information gained or work product produced by Consultant in its performance of this Agreement shall be considered confidential, unless such information is in the public domain or already known to Consultant.

Consultant shall not release or disclose any such information or work product to persons or entities

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10 other than City without prior written authorization from City. Consultant, its officers, employees, agents or subcontractors, shall not, without prior written authorization from City or unless requested by the City Attorney, voluntarily provide documents, declarations, letters of support, testimony at depositions, response to interrogatories or other information concerning the work performed under this Agreement. Response to a subpoena or court order shall not be considered “voluntary” provided Consultant immediately gives City notice of such court order or subpoena.

If Consultant, or any officer, employee, agent or subcontractor of Consultant, provides any information or work product in violation of this Agreement, then City shall have the right to reimbursement and indemnity from Consultant for any damages, costs and fees, including attorney’s fees, caused by or incurred as a result of Consultant’s conduct. As concerning, regarding or related to, in any way, this Agreement and the work performed thereunder: a) Consultant shall immediately notify City should Consultant, its officers, employees, agents or subcontractors be served with any summons, complaint, subpoena, notice of deposition, request for documents, interrogatories, request for admissions or other discovery request, court order or subpoena from any party; b) City retains the right, but has no obligation, to represent Consultant or be present at any deposition, hearing or similar proceeding; and, c) Consultant agrees to cooperate fully with City and to provide City with the opportunity to review any response to discovery requests provided by Consultant, however, this right to review any such response does not imply or mean the right by City to control, direct, or rewrite said response.

ARTICLE 7. ENFORCEMENT OF AGREEMENT AND TERMINATION

7.1 California Law. This Agreement shall be interpreted, construed and governed both as to validity and to performance of the Parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of San Luis Obispo, State of California, or any other appropriate court in such county, and Consultant agrees to submit to the personal jurisdiction of such court in the event of such action. In the event of litigation in a U.S.

District Court, venue shall lie exclusively in the Central District of California, in the County of San Luis Obispo, State of California.

7.2 Suspension, or Termination, Prior to Expiration of Term. This Section shall govern any termination of this Agreement except as specifically provided in Section 7.4 for termination for cause. City reserves the right to terminate or suspend this Agreement, or any portion hereof, at any time, for any reason, with or without cause, upon ten (10) days’ notice to Consultant, except that where termination or suspension is due to the fault of Consultant, the period of notice may be such shorter time as determined by City. Upon receipt of any notice of termination or suspension, Consultant shall immediately cease all services hereunder, unless the notice provides otherwise, or except such as specifically approved by City. Upon submittal of an invoice consistent with Section 2.2, Consultant shall be entitled to compensation for all services rendered prior to the effective date of the notice of termination or suspension and for any services authorized by City thereafter in accordance with the Schedule of Compensation, or such as may be approved by City, except as provided in Section 7.5. In event of termination, or suspension, without cause pursuant to this Section, there is no need to provide opportunity to cure pursuant to Section 7.3.

7.3 Default of Consultant and Opportunity to Cure. In the event that Consultant is in default under the terms of this Agreement, City shall not have any obligation or duty to continue

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11 compensating Consultant for any work performed after the date of default. Instead, City may give notice to Consultant of the default and the reasons for the default. The notice shall include the timeframe in which Consultant may cure the default. This timeframe is presumptively ten (10) days, but may be extended, or reduced, if circumstances warrant, as determined by City. During the period of time that Consultant is in default, City shall hold all invoices and shall, when the default is cured, proceed with payment on the invoices, without liability for interest. In the alternative, City may, in its sole discretion, elect to pay some or all of the outstanding invoices during the period of default. If Consultant does not cure the default by conclusion of noticed timeframe, City may immediately both terminate this Agreement with notice to Consultant as well as pursue the remedy in Section 7.4, without prejudice to any other remedy to which City may be entitled at law, in equity or under this Agreement. Any failure on the part of City to give notice of Consultant’s default shall not be deemed to result in a waiver of City’s legal rights or any rights arising out of any provision of this Agreement.

7.4 Termination for Default of Consultant. If termination is due to the failure of Consultant to fulfill its obligations under this Agreement, City may, after compliance with the provisions of Section 7.3, take over the work and prosecute the same to completion by contract or otherwise, and Consultant shall be liable to the extent that the total cost for completion of the services required hereunder exceeds the compensation herein stipulated (provided that City shall use reasonable efforts to mitigate such damages), and City may withhold any payments to Consultant for the purpose of set-off or partial payment of the amounts owed City therefor.

7.5 Retention of Funds. Consultant hereby authorizes City to deduct from any amount payable to Consultant (whether or not arising out of this Agreement) (i) any amounts the payment of which may be in dispute hereunder or which are necessary to compensate City for any losses, costs, liabilities, or damages suffered by City, and (ii) all amounts for which City may be liable to third parties, by reason of Consultant’s acts or omissions in performing or failing to perform Consultant’s obligation under this Agreement. In the event that any claim is made by a third party, the amount or validity of which is disputed by Consultant, or any indebtedness shall exist which shall appear to be the basis for a claim of lien, City may withhold from any payment due, without liability for interest because of such withholding, an amount sufficient to cover such claim. The failure of City to exercise such right to deduct or to withhold shall not, however, affect the obligations of Consultant to insure, indemnify, and protect City as elsewhere provided herein.

7.6 Waiver. Waiver by any Party to this Agreement of any term, condition, or covenant of this Agreement shall not constitute a waiver of any other term, condition, or covenant. Waiver by any Party of any breach of the provisions of this Agreement shall not constitute a waiver of any other provision or a waiver of any subsequent breach or violation of any provision of this Agreement. Acceptance by City of any work or services by Consultant shall not constitute a waiver of any of the provisions of this Agreement. No delay or omission in the exercise of any right or remedy by a non-defaulting Party on any default shall impair such right or remedy or be construed as a waiver. Any waiver by either Party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. Consultant acknowledges and agrees that any actual or alleged failure on the part of City to inform Consultant of non-compliance with any requirement of this Agreement imposes no additional obligations on

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12 City nor does it waive any rights hereunder. Payment to Consultant for work performed pursuant to this Agreement shall not be deemed to waive any defects in work performed by Consultant.

7.7 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the Parties are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

7.8 Legal Action. In addition to any other rights or remedies, either Party may take legal action, in law or in equity, to cure, correct or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain declaratory or injunctive relief, or to obtain any other remedy consistent with the purposes of this Agreement.

Notwithstanding any contrary provision herein, Consultant shall file a statutory claim pursuant to Government Code sections 905 et seq. and 910 et seq., in order to pursue a legal action under this Agreement.

7.9 Attorneys’ Fees. If either Party to this Agreement is required to initiate or defend or made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys’ fees. Attorneys’ fees shall include attorneys’ fees on any appeal, and a Party entitled to attorneys’ fees shall be entitled to all other reasonable costs for investigating such action, consultants’ fees, taking depositions and discovery and all other necessary costs the court allows which are incurred in such litigation. Such fees and costs shall be enforceable whether or not such action is prosecuted to judgment.

ARTICLE 8. INDIVIDUAL LIABILITY, CONFLICTS AND NON-DISCRIMINATION

8.1 Non-liability of City Officers and Employees. No officer or employee of City shall be personally liable to Consultant, or any successor in interest, in the event of any default or breach by City or for any amount which may become due to Consultant or to its successor, or for breach of any obligation of the terms of this Agreement.

8.2 Conflict of Interest. Consultant covenants that neither it, nor any officer or principal of its firm, has or shall acquire any interest, directly or indirectly, which would conflict in any manner with the interests of City or which would in any way hinder Consultant’s performance of services under this Agreement. Consultant further covenants that in the performance of this Agreement, no person having any such interest shall be employed by it as an officer, employee, agent or subcontractor without the express written consent of City. Consultant agrees to at all times avoid conflicts of interest or the appearance of any conflicts of interest with the interests of City in the performance of this Agreement. City, in its sole discretion, shall determine the existence of a conflict of interest and may terminate this Agreement in the event such a conflict of interest exists upon sending Consultant written notice describing the conflict.

No officer or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to this Agreement which affects their financial interest or the financial interest of any corporation, partnership or association in which they are, directly or indirectly, interested, in violation of any

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Morro Bay City CouncilOctober 13, 2026

Morro Bay City Council
October 13, 2026