AGENDA
NEWMAN CITY COUNCIL
SPECIAL MEETING DECEMBER 9, 2025
CITY HALL CONFERENCE ROOM, 6:30 P.M., 938 FRESNO STREET NOTICE: THIS MEETING WILL BE HELD IN ACCORDANCE WITH THE RALPH M. BROWN ACT (CALIFORNIA GOVERNMENT CODE SECTION 54950, ET SEQ.) AND THE FEDERAL AMERICANS WITH DISABILITIES ACT REMOTE PUBLIC COMMENT WILL BE ENABLED ONLY WHEN AT LEAST ONE COUNCIL MEMBER PARTICIPATES REMOTELY (Gov. Code § 54953.4(c)(2))
1. Call To Order.
2. Roll Call.
3. Items From The Public.
4. Adjourn To Closed Session
a. Conference With Legal Counsel - Initiation Of Litigation Pursuant To California Government Code Section 54956.9(d)(4): (One Case).
b. Conference With Real Property Negotiator – Stanislaus County APN 026-034-011 - G.C. 54956.8. Agency Negotiator: Michael E. Holland. Negotiating Parties: City Of Newman And Newman Crows Landing Unified School District. Under Negotiation: Price And Term Of Payment.
c. Public Employment – Position: Police Chief - G.C. 54957. d. Return To Open Session.
5. Adjournment.
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AGENDA
NEWMAN CITY COUNCIL
REGULAR MEETING DECEMBER 9, 2025
CITY COUNCIL CHAMBERS, 7:00 P.M., 938 FRESNO STREET
NOTICE: THIS MEETING WILL BE HELD IN ACCORDANCE WITH THE RALPH M. BROWN ACT (CALIFORNIA GOVERNMENT CODE SECTION 54950, ET SEQ.) AND THE FEDERAL AMERICANS WITH DISABILITIES ACT REMOTE PUBLIC COMMENT WILL BE ENABLED ONLY WHEN AT LEAST ONE COUNCIL MEMBER PARTICIPATES REMOTELY (Gov. Code § 54953.4(c)(2))
1. Call To Order.
2. Pledge Of Allegiance.
3. Invocation.
4. Roll Call.
5. Declaration Of Conflicts Of Interest.
6. Ceremonial Matters.
7. Items from the Public - Non-Agenda Items.
8. Consent Calendar
a. Waive All Readings Of Ordinances And Resolutions Except By Title. b. Approval Of Warrants. . (View Warrant/Check Register) c. Approval Of Minutes Of The November 12, 2025 And November 18, 2025 Meetings. (View Minutes)
d. Accept Fiscal Year 2025/26 Annual Report for: Community Facilities District No. 2023-1. (View Report)
9. Public Hearings.
10. Regular Business
a. Adopt Resolution No. 2025- , A Resolution Receiving And Accepting The General Purpose Financial Statement And Transportation Development Act Audits For The Fiscal Year Ending June 30, 2025. (View Report)
b. Adopt Resolution No. 2025- , A Resolution Awarding The FHWA On Call Engineering Services Contract To Gouveia Engineering, Inc. Authorizing The City Manager To Enter Into An Agreement With Gouveia Engineering, Inc. (View Report)
11. Items From District Five Stanislaus County Supervisor.
12. Items From The City Manager And Staff.
13. Items From City Council Members.
14. Adjournment.
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Calendar of Events
December 6 – Chamber Of Commerce Tree Lighting Event – 4:00 P.M. - 8:00 P.M.
December 9 – City Council - 7:00 P.M.
December 18 – Planning Commission - Cancelled.
December 23 – City Council – Cancelled.
December 24-31 – Winter Holiday Closure – City Offices Closed.
December 25 – Christmas Day.
January 1 – New Year’s Day – City Offices Closed.
January 2 – Winter Holiday Closure – City Offices Closed January 5 – City Offices Reopen Following Winter Holiday Closure.
January 13 – City Council - 7:00 P.M.
January 15 – Planning Commission – 7:00 P.M.
January 19 – Martin Luther King Jr. Day - City Offices Closed.
January 27 – City Council - 7:00 P.M.
AP Check Register
November 7, 2025 through December 3, 2025
1 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description AAA Workspace 10-22-6300 35.15 $ 127310 12/3/2025 Tape Dispenser AAA Workspace 10-22-6300 12.08 $ 127310 12/3/2025 Phone Mess 5x11AAA Workspace Total 47.23 $ All Traffic Solutions, Inc 10-21-6200 1,500.00 $ 127211 11/19/2025 Mobile User Interface PerPetualLicense, Radar Sign All Traffic Solutions, Inc Total 1,500.00 $ American Pavement Systems, Inc 28-33-7715 482,852.96 $ 127212 11/19/2025 Project No. 545.20American Pavement Systems, Inc Total 482,852.96 $ Animal Damage Management, Inc 69-47-6200 940.00 $ 127311 12/3/2025 Gopher, Ground Squirrel, VoleControl@ Sherman, BarringtonAnimal Damage Management, Inc Total 940.00 $ ARMCO ROOFING 10-07-6200 700.00 $ 127312 12/3/2025 Repairs ARMCO ROOFING 10-21-6200 320.00 $ 127312 12/3/2025 Repairs ARMCO ROOFING Total 1,020.00 $ AT&T 63-56-6420 94.79 $ 127313 12/3/2025 Landlines 10-13-25 to 11-12-25AT&T 10-21-6420 32.94 $ 127313 12/3/2025 Landlines 10-13-25 to 11-12-25AT&T 10-14-6420 93.94 $ 127313 12/3/2025 Landlines 10-13-25 to 11-12-25AT&T 10-21-6420 363.43 $ 127313 12/3/2025 Circuit Line Between Fresno Stto Ceres 10-13-25 to 11-12-25AT&T 63-56-6200 10.78 $ 127313 12/3/2025 Alarm 10-13-2025 to 11-12-2025AT&T 10-07-6420 31.05 $ 127313 12/3/2025 Landlines 10-13-25 to 11-12-25AT&T 10-14-6200 10.79 $ 127313 12/3/2025 Alarm 10-13-2025 to 11-12-2025AT&T 60-50-6200 10.78 $ 127313 12/3/2025 Alarm 10-13-2025 to 11-12-2025AT&T Total 648.50 $ AT&T MOBILITY 60-50-6420 429.28 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-44-6420 88.66 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 22-20-6420 8.98 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 69-47-6420 84.42 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-45-6420 31.43 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 73-70-6420 11.21 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-33-6420 92.81 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-21-6420 642.02 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-22-6420 264.74 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-02-6420 19.31 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 63-56-6420 390.22 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-06-6420 60.51 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-07-6420 23.58 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY 10-03-6420 92.07 $ 127213 11/19/2025 Cell Phone Use 10-03-25 to11-02-25AT&T MOBILITY Total 2,239.24 $ AutoZone MS #1 10-44-6300 8.72 $ 127214 11/19/2025 ScrewsAutoZone MS #1 10-21-6530 38.81 $ 127214 11/19/2025 WipersAutoZone MS #1 60-50-6530 37.08 $ 127214 11/19/2025 Washer Fluid Q~
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AP Check Register
November 7, 2025 through December 3, 2025
2 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description AutoZone MS #1 10-21-6530 53.16 $ 127214 11/19/2025 WipersAutoZone MS #1 63-56-6300 15.10 $ 127214 11/19/2025 WipersAutoZone MS #1 10-21-6530 15.10 $ 127214 11/19/2025 Wipers AutoZone MS #1 60-50-6300 51.24 $ 127214 11/19/2025 WipersAutoZone MS #1 60-50-6300 4.37 $ 127214 11/19/2025 ScrewsAutoZone MS #1 69-47-6300 4.37 $ 127214 11/19/2025 ScrewsAutoZone MS #1 10-21-6530 38.81 $ 127214 11/19/2025 WipersAutoZone MS #1 63-56-6530 37.08 $ 127214 11/19/2025 Washer Fluid AutoZone MS #1 Total 303.84 $ Backflow Distributors, Inc 63-56-6225 750.26 $ 127215 11/19/2025 Repair Kit Backflow Distributors, Inc Total 750.26 $ Badger Meter 63-56-6350 141.22 $ 127314 12/3/2025 Beacons Badger Meter Total 141.22 $ Baker Dorothy June 10-44-6300 63.33 $ 127216 11/19/2025 Chain Baker Dorothy June 10-33-6300 63.33 $ 127216 11/19/2025 Chain Baker Dorothy June 69-47-6300 63.34 $ 127216 11/19/2025 Chain Baker Dorothy June Total 190.00 $ Bell Ashlynn 10-45-6735 226.00 $ 127217 11/19/2025 Newman Youth Soccer RefereeBell Ashlynn Total 226.00 $ Beltran Imelda 10-45-6735 468.00 $ 127218 11/19/2025 Newman Youth Soccer RefereeBeltran Imelda Total 468.00 $ Bertolotti Newman Disposal 69-47-6220 78.00 $ 127219 11/19/2025 Bin RentalBertolotti Newman Disposal 10-33-6220 2,392.39 $ 127219 11/19/2025 26 Yard Trash Bin & StreetSweeping Debris/ October 2025 Bertolotti Newman Disposal 10-33-6220 78.00 $ 127219 11/19/2025 Bin RentalBertolotti Newman Disposal 69-47-6220 2,392.40 $ 127219 11/19/2025 26 Yard Trash Bin & StreetSweeping Debris/ October 2025Bertolotti Newman Disposal Total 4,940.79 $ Bertolotti Newman Disposal, Inc 10-00-5080 (16,104.22) $ 127205 11/12/2025 Monthly Contract GarbageService/ September 2025Bertolotti Newman Disposal, Inc 10-41-6200 86,272.63 $ 127205 11/12/2025 Monthly Contract GarbageService/ September 2025Bertolotti Newman Disposal, Inc 10-00-5733 (5,751.51) $ 127205 11/12/2025 Monthly Contract GarbageService/ September 2025Bertolotti Newman Disposal, Inc 10-00-5080 (16,172.64) $ 127205 11/12/2025 Monthly Contract GarbageService/ October 2025Bertolotti Newman Disposal, Inc 10-00-5730 21,855.73 $ 127205 11/12/2025 Monthly Contract GarbageService/ September 2025Bertolotti Newman Disposal, Inc 10-00-5733 (5,775.94) $ 127205 11/12/2025 Monthly Contract GarbageService/ October 2025Bertolotti Newman Disposal, Inc 10-00-5730 21,948.58 $ 127205 11/12/2025 Monthly Contract GarbageService/ October 2025Bertolotti Newman Disposal, Inc 10-41-6200 86,639.14 $ 127205 11/12/2025 Monthly Contract GarbageService/ October 2025Bertolotti Newman Disposal, Inc 10-41-6200 86,587.21 $ 127309 12/2/2025 Monthly Contract GarbageService/ November 2025Bertolotti Newman Disposal, Inc 10-00-5733 (5,772.48) $ 127309 12/2/2025 Monthly Contract GarbageService/ November 2025Bertolotti Newman Disposal, Inc 10-00-5730 21,935.43 $ 127309 12/2/2025 Monthly Contract GarbageService/ November 2025Bertolotti Newman Disposal, Inc 10-00-5080 (16,162.95) $ 127309 12/2/2025 Monthly Contract GarbageService/ November 2025Bertolotti Newman Disposal, Inc Total 259,498.98 $ BJ's Consumers Choice Pest Control, Inc 63-56-6200 280.00 $ 127315 12/3/2025 1002 T st Q~
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AP Check Register
November 7, 2025 through December 3, 2025
3 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description BJ's Consumers Choice Pest Control, Inc Total 280.00 $ BRADY INDUSTRIES 10-07-6665 64.50 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-46-6300 7.98 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-46-6300 64.50 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-22-6300 64.50 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-21-6300 15.97 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6660 515.99 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6670 31.94 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6300 64.50 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6300 15.96 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6670 258.00 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-21-6300 128.99 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6300 7.99 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6300 129.00 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6660 63.86 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6665 7.98 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-22-6300 7.98 $ 127316 12/3/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6660 374.19 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-46-6300 23.19 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6300 46.39 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6660 57.34 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-21-6300 46.39 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-46-6300 46.77 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-46-6300 7.17 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6660 185.55 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6665 7.17 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6670 92.77 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6670 28.68 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6670 187.10 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-21-6300 14.34 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6300 14.33 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-22-6300 7.16 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6300 46.78 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6665 46.78 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6300 7.17 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-21-6300 93.54 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-22-6300 46.77 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-22-6300 23.19 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-07-6665 23.19 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES 10-44-6300 23.20 $ 127220 11/19/2025 Miscellaneous Cleaning Supplies Q~
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AP Check Register
November 7, 2025 through December 3, 2025
4 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description BRADY INDUSTRIES 10-07-6300 93.55 $ 127220 11/19/2025 Miscellaneous Cleaning SuppliesBRADY INDUSTRIES Total 2,992.35 $ BREWER WYLIE 10-21-6695 95.00 $ 127206 11/13/2025 Basic Traffic Collision Course/Brewer BREWER WYLIE Total 95.00 $ BURTON'S FIRE, INC 10-22-6300 504.64 $ 127221 11/19/2025 Check Foam GelBURTON'S FIRE, INC Total 504.64 $ CALIFORNIA CONSULTING, INC 60-50-6200 1,166.66 $ 127222 11/19/2025 Grant writing/LobbyingCALIFORNIA CONSULTING, INC 63-56-6200 1,166.67 $ 127222 11/19/2025 Grant writing/LobbyingCALIFORNIA CONSULTING, INC 10-02-6200 1,166.67 $ 127222 11/19/2025 Grant writing/LobbyingCALIFORNIA CONSULTING, INC Total 3,500.00 $ Canon Financial Services, Inc. 60-50-6200 115.91 $ 127223 11/19/2025 Contract Charges October 2025/CopyChargesCanon Financial Services, Inc. 63-56-6200 115.91 $ 127223 11/19/2025 Contract Charges October 2025/September CopyChargesCanon Financial Services, Inc. 10-21-6200 279.13 $ 127223 11/19/2025 Contract Charges October 2025/September CopyChargesCanon Financial Services, Inc. 10-14-6200 77.03 $ 127223 11/19/2025 Contract Charges October 2025/CopyChargesCanon Financial Services, Inc. 10-22-6200 244.93 $ 127223 11/19/2025 Contract Charges October 2025/September CopyChargesCanon Financial Services, Inc. 60-50-6200 77.03 $ 127223 11/19/2025 Contract Charges October 2025/CopyChargesCanon Financial Services, Inc. 63-56-6200 77.03 $ 127223 11/19/2025 Contract Charges October 2025/CopyChargesCanon Financial Services, Inc. Total 986.97 $ Cardmember Service 60-50-6635 69.58 $ 127317 12/3/2025 Amazon Order Cardmember Service 63-56-6635 251.00 $ 127317 12/3/2025 CWEA Association MembershipCardmember Service 60-50-6690 140.00 $ 127317 12/3/2025 Ca Dept Pest Cardmember Service 10-22-6300 6.51 $ 127317 12/3/2025 USPSCardmember Service 10-22-6300 6.40 $ 127317 12/3/2025 USPSCardmember Service 10-21-6300 53.94 $ 127317 12/3/2025 Amazon Cardmember Service 10-21-6300 26.70 $ 127317 12/3/2025 Supplies Cardmember Service 10-45-6739 84.65 $ 127317 12/3/2025 Snack Bar Supplies Cardmember Service 63-56-6330 47.19 $ 127317 12/3/2025 Pitney Bowes Cardmember Service 10-45-6300 21.97 $ 127317 12/3/2025 Amazon order Cardmember Service 10-21-6300 52.92 $ 127317 12/3/2025 Tactical Supplies Cardmember Service 10-21-6200 10.00 $ 127317 12/3/2025 Schedule Base Cardmember Service 60-50-6330 47.20 $ 127317 12/3/2025 Pitney Bowes Cardmember Service 10-21-6300 227.71 $ 127317 12/3/2025 Ketch all PoleCardmember Service 60-50-6420 258.90 $ 127317 12/3/2025 Teledyne Services Cardmember Service 10-45-6735 34.00 $ 127317 12/3/2025 Donuts Cardmember Service 10-45-6739 18.36 $ 127317 12/3/2025 Food Center Cardmember Service 10-21-6300 166.95 $ 127317 12/3/2025 Amazon Order Cardmember Service 10-33-6690 2.50 $ 127317 12/3/2025 Parking FeeCardmember Service 10-14-6635 99.00 $ 127317 12/3/2025 Annual Membership Cardmember Service 10-21-6308 23.40 $ 127317 12/3/2025 Shelter Supplies Cardmember Service 10-22-6300 30.66 $ 127317 12/3/2025 USPS Q~
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AP Check Register
November 7, 2025 through December 3, 2025
5 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Cardmember Service 10-21-6420 3.99 $ 127317 12/3/2025 Blue Host Cardmember Service 10-45-6300 342.92 $ 127317 12/3/2025 Table Covers Now Cardmember Service 10-14-6300 47.20 $ 127317 12/3/2025 Pitney Bowes Cardmember Service 10-33-6690 2.50 $ 127317 12/3/2025 Parking Cardmember Service 10-21-6420 1,264.32 $ 127317 12/3/2025 Go To Connect Cardmember Service 10-21-6300 124.51 $ 127317 12/3/2025 Ketch All Pole Cardmember Service 10-21-6300 110.44 $ 127317 12/3/2025 Shelter Supplies Cardmember Service 60-50-6530 52.63 $ 127317 12/3/2025 Oil Change Cardmember Service 10-45-6300 55.88 $ 127317 12/3/2025 Amazon order Cardmember Service 10-01-6620 19.41 $ 127317 12/3/2025 Napkins Cardmember Service 63-56-6530 52.63 $ 127317 12/3/2025 Oil Change Cardmember Service 10-45-6739 12.36 $ 127317 12/3/2025 Snack Bar Supplies Cardmember Service 10-22-6300 8.40 $ 127317 12/3/2025 USPSCardmember Service 10-21-6420 171.25 $ 127317 12/3/2025 Spectrum Cardmember Service 10-45-6739 22.37 $ 127317 12/3/2025 Food Supplies Cardmember Service 63-56-6635 69.58 $ 127317 12/3/2025 Amazon Order Cardmember Service 10-21-6300 107.88 $ 127317 12/3/2025 Amazon Supplies Cardmember Service 10-45-6739 325.69 $ 127317 12/3/2025 Supplies Cardmember Service Total 4,473.50 $ CARRANZA RUBIO CARLOS 10-45-6735 108.00 $ 127224 11/19/2025 Newman Youth Soccer RefereeCARRANZA RUBIO CARLOS Total 108.00 $ CBA (ADMIN FEES) 10-00-2261 312.00 $ 127318 12/3/2025 Dental-Vision Admin Fees December 2025CBA (ADMIN FEES) Total 312.00 $ Cen-Cal Auto & Truck Parts/ NAPA 69-47-6530 14.82 $ 127319 12/3/2025 SuppliesCen-Cal Auto & Truck Parts/ NAPA 69-47-6530 171.35 $ 127319 12/3/2025 SuppliesCen-Cal Auto & Truck Parts/ NAPA 10-44-6300 19.95 $ 127319 12/3/2025 PTT Hex Key Cen-Cal Auto & Truck Parts/ NAPA 60-50-6300 11.84 $ 127319 12/3/2025 SuppliesCen-Cal Auto & Truck Parts/ NAPA 69-47-6530 10.51 $ 127319 12/3/2025 Aerosol Cen-Cal Auto & Truck Parts/ NAPA 69-47-6530 8.89 $ 127319 12/3/2025 ATC-40 Fuse, Oil Cen-Cal Auto & Truck Parts/ NAPA 69-47-6530 8.72 $ 127319 12/3/2025 Accessories Cen-Cal Auto & Truck Parts/ NAPA 10-22-6300 29.10 $ 127319 12/3/2025 Wiper Blades Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 101.86 $ 127319 12/3/2025 Batteries, Core Deposits Cen-Cal Auto & Truck Parts/ NAPA 69-47-6530 101.86 $ 127319 12/3/2025 Batteries, Core Deposits Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 8.89 $ 127319 12/3/2025 ATC-40 Fuse, Oil Cen-Cal Auto & Truck Parts/ NAPA 60-50-6300 18.32 $ 127319 12/3/2025 Rubbing Compound, 2 PkTerry Pads Cen-Cal Auto & Truck Parts/ NAPA 10-33-6300 $ 127319 12/3/2025 ENR MAX AAA 5.39 Cen-Cal Auto & Truck Parts/ NAPA 10-44-6530 $ 127319 12/3/2025 Supplies 14.82 Cen-Cal Auto & Truck Parts/ NAPA 60-50-6300 $ 127319 12/3/2025 Armor All 30.18 Cen-Cal Auto & Truck Parts/ NAPA 10-33-6300 $ 127319 12/3/2025 ENR MAX AAA 5.39 Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 $ 127319 12/3/2025 Supplies 171.36 Q~
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AP Check Register
November 7, 2025 through December 3, 2025
6 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 8.71 $ 127319 12/3/2025 Accessories Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 10.51 $ 127319 12/3/2025 Aerosol Cen-Cal Auto & Truck Parts/ NAPA 10-33-6530 8.45 $ 127319 12/3/2025 ConnectCen-Cal Auto & Truck Parts/ NAPA Total 760.92 $ CERNA BENJAMIN 10-45-6735 233.00 $ 127225 11/19/2025 Newman Youth Soccer RefereeCERNA BENJAMIN Total 233.00 $ Cerna Giovani 10-45-6735 210.00 $ 127226 11/19/2025 Newman Youth Soccer RefereeCerna Giovani Total 210.00 $ City of Ceres 10-21-6615 18,019.00 $ 127227 11/19/2025 Dispatch Service Sept. 09-01-2025 to 09-30-2025City of Ceres 10-21-6615 18,109.00 $ 127227 11/19/2025 Dispatch Service Sept. 10-01-2025 to 10-31-2025City of Ceres Total 36,128.00 $ City of Modesto 10-21-6695 250.00 $ 127207 11/13/2025 Basic Traffic Collision Course Tuition City of Modesto Total 250.00 $ CODE PUBLISHING COMPANY 10-03-6265 830.00 $ 127320 12/3/2025 Annual FeesCODE PUBLISHING COMPANY 10-03-6265 658.00 $ 127320 12/3/2025 Municipal Code Update CODE PUBLISHING COMPANY Total 1,488.00 $ COMCAST CABLE 60-50-6200 78.58 $ 127321 12/3/2025 High speed internet/sewer COMCAST CABLE 63-56-6200 $ 127321 12/3/2025 High speed internet/wate 78.61 rCOMCAST CABLE 10-21-6200 $ 127321 12/3/2025 High speed internet/PD 78.58 COMCAST CABLE Total $ 235.77
CORONA REY 10-45-6735 $ 127228 11/19/2025 Newman Youth Soccer Referee 603.00 CORONA REY Total $ 603.00
CRESCENT SUPPLY CO. #1 10-21-6300 $ 127229 11/19/2025 Uniforms- Kennedy 119.74 CRESCENT SUPPLY CO. #1 10-21-6300 $ 127229 11/19/2025 Uniforms- Kennedy 32.63CRESCENT SUPPLY CO. #1 Total $ 152.37 CSG Consultants, Inc 10-23-6215 $ 127230 11/19/2025 858.00 Building Services September2025 CSG Consultants, Inc 10-23-6215 1,365.00 $ 127230 11/19/2025 Building Services October2025CSG Consultants, Inc 10-23-6215 3,920.50 $ 127230 11/19/2025 Building Services September 2025CSG Consultants, Inc 10-23-6215 7,209.50 $ 127230 11/19/2025 Building Services October2025CSG Consultants, Inc Total 13,353.00 $ De La Cruz Landen 10-45-6735 440.00 $ 127322 12/3/2025 Soccer 2025De La Cruz Landen Total 440.00 $ Del Puerto Health Care District 60-50-6200 15.00 $ 127323 12/3/2025 Insurance Claim Del Puerto Health Care District 63-56-6200 15.00 $ 127323 12/3/2025 Insurance Claim Del Puerto Health Care District Total 30.00 $ DJ Francis Electric 60-50-6225 15,032.30 $ 127231 11/19/2025 Repairs on Tailwater- A Pump #2DJ Francis Electric Total 15,032.30 $ Estrada Reynoso Erik 10-45-6735 581.00 $ 127232 11/19/2025 Newman Youth Soccer RefereeEstrada Reynoso Erik Total 581.00 $ FELBER SAVANNA VARNEY & COREY 63-00-2010 23.53 $ 127233 11/19/2025 Refund Check 014136-000, 1542 P STREET Q~
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AP Check Register
November 7, 2025 through December 3, 2025
7 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description FELBER SAVANNA VARNEY & COREY Total 23.53 $ FGL ENVIRONMENTAL, INC 60-50-6200 472.00 $ 127234 11/19/2025 Samples FGL ENVIRONMENTAL, INC 60-50-6200 6,783.00 $ 127324 12/3/2025 Groundwater Monitoring FGL ENVIRONMENTAL, INC Total 7,255.00 $ Franco Jovany 10-45-6735 663.00 $ 127235 11/19/2025 Newman Youth Soccer RefereeFranco Jovany Total $ 663.00 Gallardo Aaron 10-45-6735 175.00 $ 127236 11/19/2025 Newman Youth Soccer RefereeGallardo Aaron Total 175.00 $ Galvan Regina 10-00-2841 80.00 $ 127237 11/19/2025 Sherman Park Rental- Deposit Galvan Regina Total 80.00 $ GALVAN SAVIR 10-45-6735 228.00 $ 127238 11/19/2025 Newman Youth Soccer RefereeGALVAN SAVIR Total 228.00 $ GARCIA JUAN JOSE 10-00-2840 300.00 $ 127239 11/19/2025 Memorial Bldg Deposit- Garcia GARCIA JUAN JOSE Total 300.00 $ Garcia Armando 10-33-6200 1,530.00 $ 127325 12/3/2025 General Tree ServicesGarcia Armando Total 1,530.00 $ Garcia Bonifacio 60-50-6300 45.96 $ 127326 12/3/2025 RingsGarcia Bonifacio Total 45.96 $ GARTON TRACTOR 60-50-6530 1,713.50 $ 127240 11/19/2025 Tractor Repair GARTON TRACTOR Total 1,713.50 $ GEORGE W. LOWRY, INC 60-50-6500 1,446.83 $ 127327 12/3/2025 400 Gallons Unleaded Delivered@WWTP GEORGE W. LOWRY, INC 60-50-6500 1,245.60 $ 127327 12/3/2025 330 Gallons Dyed DieselDelivered@WWTPGEORGE W. LOWRY, INC Total 2,692.43 $ GONZALEZ CRISELLA 63-00-2010 11.97 $ 127241 11/19/2025 Refund Check 017053-000, 1932 UPPER ROADGONZALEZ CRISELLA Total 11.97 $ Gouveia Engineering, Inc 17-36-7780 5,271.00 $ 127242 11/19/2025 Project 545.04- 3.2 NEWS Construction Implement Gouveia Engineering, Inc 23-33-6220 95.24 $ 127242 11/19/2025 Project 545.19D 2023 Measure L Project Gouveia Engineering, Inc 24-32-7781 78.24 $ 127242 11/19/2025 Project 545.18D CML-5172 (033) Main & Stanislaus Gouveia Engineering, Inc 23-33-6200 951.42 $ 127242 11/19/2025 Project 545.19D 2023 Measure L Project Gouveia Engineering, Inc 10-31-6200 2,784.60 $ 127242 11/19/2025 Project 595.11 STBG Applications Gouveia Engineering, Inc 10-31-6200 4,088.70 $ 127242 11/19/2025 Project 595.05 CMAQ Applications Gouveia Engineering, Inc 18-32-7771 18,224.87 $ 127242 11/19/2025 Project 545.21 City of Newman SS4AGouveia Engineering, Inc 17-33-7745 223.13 $ 127242 11/19/2025 Project 520.03 T Street Specific Plan Gouveia Engineering, Inc 23-33-6210 190.24 $ 127242 11/19/2025 Project 545.19D 2023 Measure L Project Gouveia Engineering, Inc 17-44-7780 340.00 $ 127242 11/19/2025 Project 555.08 Newman Nature Park Gouveia Engineering, Inc 28-33-7715 6,943.65 $ 127242 11/19/2025 Project 545.20 2024 Slurry Seals- SB1Gouveia Engineering, Inc 63-56-6200 133.88 $ 127242 11/19/2025 Project 525.14 Corp Yard Facilities Gouveia Engineering, Inc 18-56-7771 127.05 $ 127242 11/19/2025 Project 525.12C Jensen Road Utilities Gouveia Engineering, Inc 10-31-6200 2,614.50 $ 127242 11/19/2025 project 525.01 Public Works General Gouveia Engineering, Inc 10-31-6200 1,896.83 $ 127242 11/19/2025 Project 545.01 Streets General Q~
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AP Check Register
November 7, 2025 through December 3, 2025
8 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Gouveia Engineering, Inc 60-50-6200 133.87 $ 127242 11/19/2025 Project 525.14 Corp Yard Facilities Gouveia Engineering, Inc Total 44,097.22 $ Government Finance Officers Association 10-14-6635 500.00 $ 127243 11/19/2025 Membership Renewal 12-1-25 to11-30-26/ Humphries Government Finance Officers Association Total 500.00 $ GRAINGER 60-50-6300 59.05 $ 127244 11/19/2025 Supplies GRAINGER Total 59.05 $ Guerrero's Tire and Auto Repair, LLC 60-50-6530 80.00 $ 127245 11/19/2025 Tire Repair Guerrero's Tire and Auto Repair, LLC 10-21-6530 40.00 $ 127245 11/19/2025 Tire Repair Guerrero's Tire and Auto Repair, LLC 63-56-6530 418.00 $ 127245 11/19/2025 Tire Repair Guerrero's Tire and Auto Repair, LLC 10-21-6530 40.00 $ 127245 11/19/2025 Tire Repair Guerrero's Tire and Auto Repair, LLC Total 578.00 $ GUZMAN MANUEL 10-00-2841 80.00 $ 127246 11/19/2025 Sherman Park Rent Deposit GUZMAN MANUEL Total 80.00 $ HERRERA JAVIER 10-45-6735 380.00 $ 127247 11/19/2025 Newman Youth Soccer RefereeHERRERA JAVIER Total 380.00 $ Hill's Pet Nutrition Sales, Inc 10-21-6308 169.99 $ 127248 11/19/2025 Pet Supplies Hill's Pet Nutrition Sales, Inc Total 169.99 $ HOWK SYSTEMS, INC. 60-50-6300 272.73 $ 127328 12/3/2025 Canal School Storm Lift HOWK SYSTEMS, INC. Total 272.73 $ Hydrofocus, Inc 17-44-7757 2,294.70 $ 127249 11/19/2025 Wetland RestoraƟon GrantAgreement Hydrofocus, Inc Total 2,294.70 $ IDEXX LABORATORIES, INC. 63-56-6300 675.34 $ 127329 12/3/2025 Water Testing SuppliesIDEXX LABORATORIES, INC. Total 675.34 $ Industrial Electrical Company 63-56-6200 1,963.66 $ 127307 11/26/2025 Repairs Industrial Electrical Company 63-56-6225 3,150.67 $ 127307 11/26/2025 Repairs Industrial Electrical Company 60-50-6200 1,415.20 $ 127307 11/26/2025 Repairs Industrial Electrical Company 63-56-6200 2,066.25 $ 127307 11/26/2025 Repairs Industrial Electrical Company 10-07-6200 1,350.60 $ 127307 11/26/2025 Repairs Industrial Electrical Company 63-56-6200 1,708.73 $ 127307 11/26/2025 Repairs Industrial Electrical Company 63-56-6200 1,322.09 $ 127307 11/26/2025 Repairs Industrial Electrical Company 63-56-6225 1,320.00 $ 127250 11/19/2025 Generator RepairsIndustrial Electrical Company Total 14,297.20 $ INFOSEND, INC 63-56-6200 307.16 $ 127251 11/19/2025 UƟlity Bill & Late NoƟceMailing October 2025 INFOSEND, INC 60-50-6200 307.16 $ 127251 11/19/2025 UƟlity Bill & Late NoƟceMailing October 2025INFOSEND, INC 60-50-6200 1,213.10 $ 127251 11/19/2025 UƟlity Bill & Late NoƟceMailing October 2025INFOSEND, INC 63-56-6200 1,213.10 $ 127251 11/19/2025 UƟlity Bill & Late NoƟceMailing October 2025INFOSEND, INC Total 3,040.52 $ JOE'S LANDSCAPING & CONCR 69-47-6200 11,107.11 $ 127330 12/3/2025 Maintenance Service JOE'S LANDSCAPING & CONCR Total 11,107.11 $ KENNEDY PETER 10-21-6695 95.00 $ 127208 11/13/2025 Basic Traffic Collision Course/Kennedy Q~
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AP Check Register
November 7, 2025 through December 3, 2025
9 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description KENNEDY PETER Total 95.00 $ Knife River 10-33-6300 85.51 $ 127252 11/19/2025 Concrete Knife River 63-56-6300 85.51 $ 127252 11/19/2025 Concrete Knife River Total 171.02 $ Larry Walker & Associates, Inc 60-50-6200 427.50 $ 127331 12/3/2025 Group Subscription Larry Walker & Associates, Inc Total 427.50 $ Liebert Cassidy Whitmore 10-15-6200 2,595.00 $ 127332 12/3/2025 Professional Services RenderedThrough 10-31/2025 Liebert Cassidy Whitmore 10-15-6200 47.50 $ 127332 12/3/2025 Professional Services RenderedThrough 10-31/2025Liebert Cassidy Whitmore 10-15-6200 234.00 $ 127332 12/3/2025 Professional Services RenderedThrough 10-31/2025Liebert Cassidy Whitmore Total 2,876.50 $ Lightning Flash Electric Company 69-47-6200 1,795.05 $ 127253 11/19/2025 Bucket Rental for Street Lights Lightning Flash Electric Company 10-33-6200 1,795.04 $ 127253 11/19/2025 Bucket Rental for Street Lights Lightning Flash Electric Company Total 3,590.09 $ Lou's Gloves, Inc 10-44-6300 132.00 $ 127333 12/3/2025 Nitrile GlovesLou's Gloves, Inc 69-47-6300 132.00 $ 127333 12/3/2025 Nitrile GlovesLou's Gloves, Inc 10-33-6300 132.00 $ 127333 12/3/2025 Nitrile GlovesLou's Gloves, Inc 63-56-6300 132.00 $ 127333 12/3/2025 Nitrile GlovesLou's Gloves, Inc 60-50-6300 132.00 $ 127333 12/3/2025 Nitrile GlovesLou's Gloves, Inc Total 660.00 $ MARRIOTT JOHN E. 10-21-6695 57.00 $ 127209 11/13/2025 Post FTO Update/MarrioƩ MARRIOTT JOHN E. Total 57.00 $ Martinez Automotive Garage, Inc 60-50-6530 188.48 $ 127334 12/3/2025 Service on Chevy SilveradoMartinez Automotive Garage, Inc Total 188.48 $ McKesson Medical-Surgical 10-22-6300 358.19 $ 127335 12/3/2025 EMS Supplies McKesson Medical-Surgical 10-22-6300 59.21 $ 127335 12/3/2025 EMS Supplies McKesson Medical-Surgical Total 417.40 $ Mechanics Bank 73-70-6120 255.00 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 60-50-6120 3,268.25 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 10-21-6120 5,652.50 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 10-06-6120 297.50 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 10-02-6120 722.50 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 10-14-6120 952.00 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank 63-56-6120 5,002.25 $ 127336 12/3/2025 1st Half HSA Deposit 2026Mechanics Bank Total 16,150.00 $ Mendoza Cristian 10-45-6735 300.00 $ 127254 11/19/2025 Newman Youth Soccer RefereeMendoza Cristian Total 300.00 $ Mendoza Diego 10-45-6735 150.00 $ 127337 12/3/2025 Soccer Referee 2025Mendoza Diego Total 150.00 $ Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127255 11/19/2025 Samples Microbac Laboratories, Inc. 60-50-6200 465.00 $ 127255 11/19/2025 Samples Q~
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AP Check Register
November 7, 2025 through December 3, 2025
10 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127255 11/19/2025 Samples Microbac Laboratories, Inc. 63-56-6200 144.00 $ 127255 11/19/2025 Samples Microbac Laboratories, Inc. 63-56-6200 1,804.00 $ 127255 11/19/2025 Samples Microbac Laboratories, Inc. 63-56-6200 287.00 $ 127255 11/19/2025 Samples Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 60-50-6200 120.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 63-56-6200 35.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 60-50-6200 120.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 60-50-6200 120.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 63-56-6200 192.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. 60-50-6200 120.00 $ 127338 12/3/2025 Samples Microbac Laboratories, Inc. Total 4,367.00 $ MID VALLEY IT, INC 10-44-7105 3,342.55 $ 127339 12/3/2025 Poles Mount, Moose LodgeMID VALLEY IT, INC 10-14-6200 1,871.10 $ 127308 11/26/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 10-21-6200 3,742.21 $ 127308 11/26/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 60-50-6200 1,871.10 $ 127308 11/26/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 63-56-6200 1,871.10 $ 127308 11/26/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 10-44-6200 2,877.28 $ 127308 11/26/2025 Cameras, Sensors MID VALLEY IT, INC 63-56-6200 1,963.66 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 63-56-6200 1,871.10 $ 127256 11/19/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 10-44-6200 2,877.28 $ 127256 11/19/2025 Cameras, Sensors MID VALLEY IT, INC 63-56-6200 1,708.73 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 63-56-6200 2,066.25 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 10-21-6200 3,742.21 $ 127256 11/19/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 10-07-6200 1,350.60 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 63-56-6225 3,150.67 $ 127256 11/19/2025 Gauge ReplacementMID VALLEY IT, INC 63-56-6200 1,322.09 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 60-50-6200 1,415.20 $ 127256 11/19/2025 Repairs MID VALLEY IT, INC 60-50-6200 1,871.10 $ 127256 11/19/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC 10-14-6200 1,871.10 $ 127256 11/19/2025 Microsoft 365, IT Services, Anti- Virus MID VALLEY IT, INC Total 40,785.33 $ National Fleet Auto Group 10-21-7010 56,188.80 $ 127257 11/19/2025 2022 Police Dodge Durango/PD National Fleet Auto Group Total 56,188.80 $ National Hose Testing Specialities, Inc 10-22-6200 2,130.10 $ 127340 12/3/2025 Fire Hose Testing National Hose Testing Specialities, Inc Total 2,130.10 $ NBS 67-49-6200 1,401.09 $ 127258 11/19/2025 Professional Services 10-01-2025 through12-31-2025NBS Total 1,401.09 $ NEWMAN ACE HARDWARE/JACT, 60-50-6300 7.00 $ 127341 12/3/2025 Cords Q~
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AP Check Register
November 7, 2025 through December 3, 2025
11 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description NEWMAN ACE HARDWARE/JACT, 68-68-6620 6.45 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 60-50-6300 17.25 $ 127341 12/3/2025 OilNEWMAN ACE HARDWARE/JACT, 10-22-6300 97.38 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 63-56-6300 5.38 $ 127341 12/3/2025 ScrewdriversNEWMAN ACE HARDWARE/JACT, 68-68-6620 15.08 $ 127341 12/3/2025 Cord Extension NEWMAN ACE HARDWARE/JACT, 10-21-6300 17.25 $ 127341 12/3/2025 Spray Adhesive NEWMAN ACE HARDWARE/JACT, 10-07-6300 26.95 $ 127341 12/3/2025 Clorox Cleaners NEWMAN ACE HARDWARE/JACT, 10-44-6300 14.01 $ 127341 12/3/2025 OilNEWMAN ACE HARDWARE/JACT, 10-07-6300 118.65 $ 127341 12/3/2025 ThermostatNEWMAN ACE HARDWARE/JACT, 10-21-6300 6.43 $ 127341 12/3/2025 CablesNEWMAN ACE HARDWARE/JACT, 60-50-6300 50.82 $ 127341 12/3/2025 Screws. nuts, Fastene NEWMAN ACE HARDWARE/JACT, 10-07-6300 71.77 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 63-56-6300 9.90 $ 127341 12/3/2025 Safe Tape NEWMAN ACE HARDWARE/JACT, 63-56-6300 45.84 $ 127341 12/3/2025 Flashlight NEWMAN ACE HARDWARE/JACT, 10-44-6300 10.78 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 10-22-6300 6.46 $ 127341 12/3/2025 Package TapeNEWMAN ACE HARDWARE/JACT, 60-50-6300 15.09 $ 127341 12/3/2025 Grease Syn 3OZNEWMAN ACE HARDWARE/JACT, 60-50-6300 87.04 $ 127341 12/3/2025 Water, Screws, Nuts NEWMAN ACE HARDWARE/JACT, 10-44-6300 7.54 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 10-07-6300 20.49 $ 127341 12/3/2025 Batteries NEWMAN ACE HARDWARE/JACT, 10-44-6300 17.25 $ 127341 12/3/2025 Fogger 4PKNEWMAN ACE HARDWARE/JACT, 60-50-6300 19.41 $ 127341 12/3/2025 Light ControllerNEWMAN ACE HARDWARE/JACT, 68-68-6620 63.61 $ 127341 12/3/2025 Cableties NEWMAN ACE HARDWARE/JACT, 10-44-6300 19.41 $ 127341 12/3/2025 Cord NEWMAN ACE HARDWARE/JACT, 10-44-6300 17.25 $ 127341 12/3/2025 Paint TapeNEWMAN ACE HARDWARE/JACT, 68-68-6620 7.74 $ 127341 12/3/2025 Supplies NEWMAN ACE HARDWARE/JACT, 63-56-6530 107.86 $ 127341 12/3/2025 KS Transponder Key NEWMAN ACE HARDWARE/JACT, 10-44-6300 $ 127341 12/3/2025 Batteries 11.85NEWMAN ACE HARDWARE/JACT, 68-68-6620 $ 127341 12/3/2025 Cord Extn 23.72NEWMAN ACE HARDWARE/JACT, 60-50-6300 $ 127341 12/3/2025 Flashlight 45.84NEWMAN ACE HARDWARE/JACT, 10-07-6300 $ 127341 12/3/2025 Connectors 6.46NEWMAN ACE HARDWARE/JACT, 63-56-6300 $ 127341 12/3/2025 Cords 7.01NEWMAN ACE HARDWARE/JACT, 10-44-6300 $ 127341 12/3/2025 Supplies 32.25NEWMAN ACE HARDWARE/JACT, 10-44-6300 $ 127341 12/3/2025 Supplies 7.47NEWMAN ACE HARDWARE/JACT, Total $ 1,044.69 Newman Auto Repair 10-22-6530 $ 127259 11/19/2025 Alternator, Wire Connectors 768.68Newman Auto Repair Total $ 768.68 Newman City Tow Service, Inc 10-21-6530 $ 127342 12/3/2025 Towing of Ford Explorer 125.00 Newman City Tow Service, Inc 10-21-6530 $ 127342 12/3/2025 Towing of Ford Explorer 300.00 Newman City Tow Service, Inc Total $ 425.00
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AP Check Register
November 7, 2025 through December 3, 2025
12 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Occu-Med, Ltd 10-22-6235 2,183.25 $ 127260 11/19/2025 OSHA Respirator QuestionnaireOccu-Med, Ltd Total 2,183.25 $ O'Connor & Company 60-50-6205 2,912.50 $ 127261 11/19/2025 Accounting ServicesO'Connor & Company 10-14-6205 2,912.50 $ 127261 11/19/2025 Accounting ServicesO'Connor & Company 63-56-6205 2,912.50 $ 127261 11/19/2025 Accounting ServicesO'Connor & Company Total 8,737.50 $ One Step GPS LLC 63-56-6200 153.45 $ 127262 11/19/2025 GPS FleetTracking SoftwareOne Step GPS LLC 10-22-6200 69.75 $ 127262 11/19/2025 GPS FleetTracking SoftwareOne Step GPS LLC 10-21-6200 223.20 $ 127262 11/19/2025 GPS FleetTracking SoftwareOne Step GPS LLC 60-50-6200 153.45 $ 127262 11/19/2025 GPS FleetTracking SoftwareOne Step GPS LLC Total 599.85 $ Operating Engineers Public & Misc Employees 10-00-2260 1,246.00 $ 127343 12/3/2025 Health Insurance Premium/January 2026/ Caetano Operating Engineers Public & Misc Employees Total 1,246.00 $ OTTMAN FARMS, INC 60-50-6230 1,206.00 $ 127263 11/19/2025 Spraying of Alfalfa @ WWTPOTTMAN FARMS, INC Total 1,206.00 $ P G & E 10-44-6510 413.14 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 63-56-6510 103.29 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 10-33-6510 826.28 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 60-50-6510 103.29 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 10-21-6510 103.29 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 69-47-6510 516.42 $ 127264 11/19/2025 Gas & Electric Charges 10-08-2025 to 11-06-2025P G & E 10-33-6410 6,610.79 $ 127344 12/3/2025 Gas & Electric UseP G & E 69-47-6410 4,155.21 $ 127344 12/3/2025 Gas & Electric UseP G & E 10-44-6410 1,382.12 $ 127344 12/3/2025 Gas & Electric UseP G & E 10-46-6410 365.62 $ 127344 12/3/2025 Gas & Electric UseP G & E 10-07-6410 2,584.28 $ 127344 12/3/2025 Gas & Electric UseP G & E 60-50-6410 7,027.43 $ 127344 12/3/2025 Gas & Electric UseP G & E 63-56-6410 31,815.97 $ 127344 12/3/2025 Gas & Electric UseP G & E 10-22-6410 1,653.63 $ 127344 12/3/2025 Gas & Electric UseP G & E 10-45-6410 174.78 $ 127344 12/3/2025 Gas & Electric UseP G & E Total 57,835.54 $ P&W Paging & Wireless Service Center 10-22-7105 4,936.25 $ 127265 11/19/2025 Monitor BatteryP&W Paging & Wireless Service Center Total 4,936.25 $ Pace Supply Corporation 63-56-6300 1,667.86 $ 127345 12/3/2025 Dual Armor Pace Supply Corporation Total $ 1,667.86 Pacheco Angel 10-45-6735 110.00 $ 127266 11/19/2025 Newman Youth Soccer RefereePacheco Angel Total 110.00 $ Patterson City Tow 10-21-6530 391.00 $ 127267 11/19/2025 TOW Patterson City Tow 10-21-6530 125.00 $ 127267 11/19/2025 TOW Patterson City Tow Total 516.00 $ Q~
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AP Check Register
November 7, 2025 through December 3, 2025
13 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Pernsteiner & Sons Fabrication 69-47-6225 282.50 $ 127268 11/19/2025 Weld Cover Pernsteiner & Sons Fabrication 60-50-6225 75.00 $ 127268 11/19/2025 Punch Holes Pernsteiner & Sons Fabrication Total $ 357.50 PIONEER DRUG 63-56-6300 10.40 $ 127269 11/19/2025 Highlighters, BindersPIONEER DRUG 10-44-6300 32.77 $ 127269 11/19/2025 Sunblock PIONEER DRUG Total 43.17 $ Platt Electric Supply 10-44-6300 2,476.98 $ 127346 12/3/2025 Area Light Platt Electric Supply 10-44-6300 2,201.74 $ 127346 12/3/2025 Poles, Bolts, KitsPlatt Electric Supply 10-44-6300 33.03 $ 127346 12/3/2025 Service Charge Platt Electric Supply Total 4,711.75 $ Public Agency Coalition Enterprise 10-00-2260 28,572.66 $ 127270 11/19/2025 Health Insurance Premium/December 2025 Public Agency Coalition Enterprise 10-00-2260 24,672.04 $ 127271 11/19/2025 Health Insurance Premium/December 2025Public Agency Coalition Enterprise Total 53,244.70 $ RALEY'S IN STORE CHARGE 10-46-6300 19.34 $ 127347 12/3/2025 SuppliesRALEY'S IN STORE CHARGE 10-46-6300 129.61 $ 127347 12/3/2025 SuppliesRALEY'S IN STORE CHARGE Total 148.95 $ REYNOSO TRINIDAD 10-45-6735 568.00 $ 127272 11/19/2025 Newman Youth Soccer RefereeREYNOSO TRINIDAD Total 568.00 $ Rodriguez Castaneda Jose 10-45-6735 509.00 $ 127273 11/19/2025 Newman Youth Soccer RefereeRodriguez Castaneda Jose Total 509.00 $ Rodriguez De La Rosa Jr. Jose 10-45-6735 509.00 $ 127306 11/21/2025 Newman Youth Soccer RefereeRodriguez De La Rosa Jr. Jose Total 509.00 $ Rodriguez De La Rosa Kevin 10-45-6735 527.00 $ 127274 11/19/2025 Newman Youth Soccer RefereeRodriguez De La Rosa Kevin Total 527.00 $ Rolfe Construction, Inc 17-36-7780 144,433.99 $ 127275 11/19/2025 Agreement No. 555.04-2023Rolfe Construction, Inc Total 144,433.99 $ RRM DESIGN GROUP, INC. 17-44-7780 8,560.00 $ 127276 11/19/2025 Project: Newman Nature Park- City Project No. LW-50-013RRM DESIGN GROUP, INC. Total 8,560.00 $ SAFE-T-LITE 10-44-6300 193.82 $ 127348 12/3/2025 PantsSAFE-T-LITE 63-56-6300 106.53 $ 127348 12/3/2025 PantsSAFE-T-LITE Total 300.35 $ Scott's PPE Recon, Inc 10-22-6300 95.32 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FD Scott's PPE Recon, Inc 10-22-6300 33.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 12.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 212.82 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 103.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 63.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 12.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 160.00 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 147.00 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FD Q~
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AP Check Register
November 7, 2025 through December 3, 2025
14 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Scott's PPE Recon, Inc 10-22-6300 9.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FD Scott's PPE Recon, Inc 10-22-6300 9.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc 10-22-6300 9.50 $ 127277 11/19/2025 Fire PrevenƟon Jumpsuit Repair/FDScott's PPE Recon, Inc Total 869.14 $ SIERRA DISPLAY, INC. 68-68-6620 7,500.70 $ 127278 11/19/2025 Lamps SIERRA DISPLAY, INC. Total 7,500.70 $ SIERRA INSTALLATIONS, INC 68-68-6620 5,176.00 $ 127279 11/19/2025 InstallaƟon & Tune Up Services2025 HolidaySIERRA INSTALLATIONS, INC Total 5,176.00 $ Solar Integrated Fund III 60-50-6410 9,870.46 $ 127280 11/19/2025 Solar Production Period 10-01-25 to 10-31-25Solar Integrated Fund III Total 9,870.46 $ STAN COUNTY SHERIFF'S REG 10-21-6695 115.00 $ 127210 11/13/2025 Post Registration FTO STAN COUNTY SHERIFF'S REG Total 115.00 $ Stanislaus County Dept of Environmental Resource 60-50-6675 386.00 $ 127349 12/3/2025 Cers, Cupa, Gen Stanislaus County Dept of Environmental Resources Total $ 386.00 Stanislaus County Tax Collector 10-15-6680 190.64 $ 127281 11/19/2025 Unsecured Property Taxes FY25-26 Stanislaus County Tax Collector Total 190.64 $ Stanislaus Regional Housing Authority 19-14-6200 86.00 $ 127282 11/19/2025 Closure of Account at 1351 Barrington Ave/Consuelo Garcia Stanislaus Regional Housing Authority Total 86.00 $ STANTEC CONSULTING SERVICE, Inc 60-50-6200 8,778.00 $ 127283 11/19/2025 Project: Newman SSMP Update 2025-2026STANTEC CONSULTING SERVICE, Inc 61-55-7550 1,651.70 $ 127283 11/19/2025 Project: Newman SSMP Update 2025-2026STANTEC CONSULTING SERVICE, Inc 60-50-6200 5,959.50 $ 127350 12/3/2025 Groundwater Monitoring Services STANTEC CONSULTING SERVICE, Inc Total 16,389.20 $ STAPLES ADVANTAGE 63-56-6300 50.54 $ 127351 12/3/2025 Binders STAPLES ADVANTAGE 63-56-6300 16.16 $ 127351 12/3/2025 Dividers STAPLES ADVANTAGE 63-56-6300 17.55 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE 63-56-6300 9.82 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE 10-14-6300 17.54 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE 60-50-6300 9.81 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE 10-14-6300 9.81 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE 60-50-6300 17.54 $ 127284 11/19/2025 SuppliesSTAPLES ADVANTAGE Total 148.77 $ State of Calif Dept of Justice 10-21-6200 935.00 $ 127285 11/19/2025 Fingerprint Apps/FBl/Child AbuselndexState of Calif Dept of Justice Total 935.00 $ SUPER TOWING 10-22-6530 1,850.00 $ 127286 11/19/2025 Apparatus repair SUPER TOWING Total 1,850.00 $ SWRCB ACCOUNTING OFFICE 60-50-6675 51,215.00 $ 127352 12/3/2025 Annual Permit Fee WWTPSWRCB Accounting Office 60-50-6675 3,945.00 $ 127353 12/3/2025 Annual Permit Fee SWRCB Accounting Office 60-50-6675 3,540.00 $ 127353 12/3/2025 Annual Permit Fee SWRCB Accounting Office 60-50-6675 563.00 $ 127353 12/3/2025 Annual Permit Fee SWRCB Accounting Office 63-56-6675 10,920.00 $ 127287 11/19/2025 Annual Permit Fee 07/01/25 to 06/30/26 Q~
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AP Check Register
November 7, 2025 through December 3, 2025
15 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description SWRCB ACCOUNTING OFFICE Total 70,183.00 $ Teeples Plumbing & Drilling Inc 60-50-6225 21,067.00 $ 127288 11/19/2025 Emergency Lift Station Repairs Teeples Plumbing & Drilling Inc Total 21,067.00 $ TEL STAR INSTRUMENTS, INC 60-50-6225 2,384.64 $ 127289 11/19/2025 Equipment Repair at WWTPTEL STAR INSTRUMENTS, INC Total 2,384.64 $ TESCO CONTROL, LLC 63-56-6225 1,778.15 $ 127290 11/19/2025 Well 10 UPS Replacement TESCO CONTROL, LLC Total 1,778.15 $ Thomas Darla Ann 17-36-7780 1,050.00 $ 127291 11/19/2025 News Grant Agreement July, August, Sept 2025 Thomas Darla Ann Total 1,050.00 $ Torres-Raya Alex 10-45-6735 307.00 $ 127292 11/19/2025 Newman Youth Soccer RefereeTorres-Raya Alex Total 307.00 $ USA BLUEBOOK 63-56-6300 49.21 $ 127354 12/3/2025 Meter USA BLUEBOOK Total 49.21 $ Valley Smog 60-50-6530 39.75 $ 127293 11/19/2025 2007 Chevrolet 2500Valley Smog 63-56-6530 19.88 $ 127293 11/19/2025 2004 GMC Yukon Valley Smog 60-50-6530 19.88 $ 127293 11/19/2025 2009 Honda Civic Valley Smog 10-44-6300 39.75 $ 127293 11/19/2025 2012 Ford F150Valley Smog 60-50-6530 19.87 $ 127293 11/19/2025 2004 GMC Yukon Valley Smog 63-56-6530 39.75 $ 127293 11/19/2025 2002 Chevrolet 1500 Valley Smog 63-56-6530 19.87 $ 127293 11/19/2025 2009 Honda Civic Valley Smog 60-50-6530 39.75 $ 127293 11/19/2025 2008 Chevrolet 1500 Valley Smog Total 238.50 $ Vazquez Joseph 10-45-6735 489.00 $ 127294 11/19/2025 Newman Youth Soccer RefereeVazquez Joseph Total 489.00 $ Vestis 10-33-6200 342.88 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 60-50-6200 342.88 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 10-44-6200 228.58 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 10-07-6200 304.47 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 10-22-6200 313.69 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 63-56-6200 228.58 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis 10-21-6200 341.60 $ 127295 11/19/2025 Uniform Cleaning/MatRental/Shop Towels/ Sept-Oct2025Vestis Total 2,102.68 $ Wally Falke's Air Conditioning, Inc 60-50-6200 300.00 $ 127355 12/3/2025 Service Call @ WWTPWally Falke's Air Conditioning, Inc Total 300.00 $ West Coast Pet Memorial Services 10-21-6207 52.91 $ 127296 11/19/2025 Disposal Clinic West Coast Pet Memorial Services Total 52.91 $ WEST SIDE PUBLIC SCALE 60-50-6230 135.00 $ 127297 11/19/2025 Weight Tags for October 2025 WWTPWEST SIDE PUBLIC SCALE Total 135.00 $ Westside Water Conditioning 60-50-6300 63.03 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 10-22-6300 101.50 $ 127298 11/19/2025 Bottle Water Delivery Q~
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AP Check Register
November 7, 2025 through December 3, 2025
16 of 16
Vendor Fund-Dept-Acct Amount Check # Check date Description Westside Water Conditioning 60-50-6300 28.85 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 60-50-6300 41.80 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 60-50-6300 36.33 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 63-56-6300 36.32 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 63-56-6300 63.04 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 63-56-6300 41.80 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 10-14-6300 63.03 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 10-21-6200 28.85 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning 10-21-6200 28.85 $ 127298 11/19/2025 Bottle Water DeliveryWestside Water Conditioning Total 533.40 $ White Brenner, LLP 10-15-6200 5,374.89 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPal White Brenner, LLP 10-15-6200 239.85 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPalWhite Brenner, LLP 63-56-6200 958.58 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPalWhite Brenner, LLP 10-15-6200 3,700.84 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPalWhite Brenner, LLP 10-15-6200 11,605.66 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPalWhite Brenner, LLP 10-15-6200 2,499.15 $ 127356 12/3/2025 Through October 2025 GeneralMuniciPalWhite Brenner, LLP Total 24,378.97 $ Grand Total 1,524,498.80 $ Q~
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MINUTES
NEWMAN CITY COUNCIL
SPECIAL MEETING NOVEMBER 12, 2025
CITY HALL CONFERENCE ROOM, 6:30 P.M., 938 FRESNO STREET NOTICE: THIS MEETING WILL BE HELD IN ACCORDANCE WITH THE RALPH M. BROWN ACT (CALIFORNIA GOVERNMENT CODE SECTION 54950, ET SEQ.) AND THE FEDERAL AMERICANS WITH DISABILITIES ACT
1. Call To Order - Mayor Graham 6:30 P.M.
2. Roll Call - PRESENT: Pimentel, Mayor Pro Tem Ball, Tomlinson, Harden, And Mayor Graham.
ABSENT: None.
3. Items From The Public – None.
4. Adjourn To Closed Session – 6:31 P.M.
a. Conference With Legal Counsel – Anticipated Litigation Significant Exposure To Litigation - Pursuant To Gov. Code, § 54956.9(d): (One Case).
b. Conference With Legal Counsel - Initiation Of Litigation Pursuant To California Government Code Section 54956.9(d)(4): (One Case).
c. Return To Open Session - 7:01 P.M.
Mayor Graham Reported That Direction Was Given Regarding Items 4.a. And 4.b.
5. Adjournment.
ACTION: On A Motion By Tomlinson, Seconded By Pimentel, The Meeting Was Adjourned At 7:02 P.M. By The Following Vote: AYES: Pimentel, Ball, Tomlinson, Harden, And Mayor Graham; NOES:
None; ABSENT: None; NOT PARTICIPATING: None.
MINUTES
NEWMAN CITY COUNCIL
SPECIAL MEETING NOVEMBER 12, 2025
CITY COUNCIL CHAMBERS, 7:00 P.M., 938 FRESNO STREET
NOTICE: THIS MEETING WILL BE HELD IN ACCORDANCE WITH THE RALPH M. BROWN ACT (CALIFORNIA GOVERNMENT CODE SECTION 54950, ET SEQ.) AND THE FEDERAL AMERICANS WITH DISABILITIES ACT
1. Call To Order - Mayor Graham 7:07 P.M.
2. Pledge Of Allegiance.
3. Invocation – Council Member Pimentel.
4. Roll Call - PRESENT: Pimentel, Mayor Pro Tem Ball, Tomlinson, Harden, And Mayor Graham.
ABSENT: None.
5. Declaration Of Conflicts Of Interest - None.
6. Ceremonial Matters
a. Badge Pinning Of Police Officers Wylie Ethan Brewer And Peter Kennedy.
Chief Richardson Introduced Officers Wylie Ethan Brewer, And Peter Kennedy. Richardson Then Presided Over Their Badge Pinning Ceremony.
The City Council Agreed To Take A Brief Recess At 7:12 P.M.
The City Council Meeting Resumed At 7:19 P.M.
7. Items from the Public - Non-Agenda Items - None.
8. Consent Calendar
a. Waive All Readings Of Ordinances And Resolutions Except By Title. b. Approval Of Warrants.
c. Approval Of Minutes Of The October 28, 2025 Meetings.
ACTION: On A Motion By Tomlinson, Seconded By Harden, The Consent Calendar Was Approved By The Following Vote: AYES: Pimentel, Ball, Tomlinson, Harden, And Mayor Graham; NOES:
None; ABSENT: None; NOT PARTICIPATING: None.
9. Public Hearings – None.
10. Regular Business
a. Adopt Resolution No. 2025-39, A Resolution Accepting The 2024 Slurry Seals Project As Complete, Authorizing The City Clerk To Record A Notice Of Completion With Stanislaus County, And Authorizing The City Manager To Make Final Payment Of Retention Funds In The Amount Of $25,413.31 To American Pavement Systems, Inc. 35 Days After The Notice Of Completion Has Been Recorded.
ACTION: On A Motion By Ball, Seconded By Pimentel, Resolution No. 2025-39, A Resolution Accepting The 2024 Slurry Seals Project As Complete, Authorizing The City Clerk To Record A Notice Of Completion With Stanislaus County, And Authorizing The City Manager To Make Final Payment Of Retention Funds In The Amount Of $25,413.31 To American Pavement Systems, Inc. 35 Days After The Notice Of Completion Has Been Recorded, Was Adopted, By The Following Roll Call Vote:
AYES: Pimentel, Ball, Tomlinson, Harden, And Mayor Graham; NOES: None; ABSENT: None; NOT PARTICIPATING: None.
11. Items From District Five Stanislaus County Supervisor. – None.
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12. Items From The City Manager And Staff.
City Manager Holland Expressed Heartfelt Condolences On Behalf Of The City Following The Passing Of Former Fire Chief Mel Souza; Holland Stated That Chief Souza, “Mel”, Was A Dear Friend, An Important Member Of The Community, And Noted That He Will Be Deeply Missed But Pointed Out That His Lasting Contributions Would Always Be Remembered. He Welcomed Police Officers Brewer And Kennedy To The City’s Police Department. Holland Reported That There Would Be A Planning Commission Meeting On Thursday, November 20th, Regarding The Development Of A Construction Contractor’s Storage Yard In The Business Park. He Explained That City Staff Was Working With City Engineer Gouveia On A Project Bid Proposal For The Construction Of The Planned Veterans Circle.
Council Member Harden Asked If It Would Be Possible To Have The Said Circle Completed By Next Veterans Day.
City Manager Holland Stated That Next Veterans Day Would Likely Be Too Tight Of A Timeline.
Holland Reported That There Would Be A Paver Program For The Community To Purchase Pavers And Have Them Engraved To Be Placed At The Veterans Circle.
Council Member Pimentel Asked Where The Veterans Circle Would Be Located.
City Manager Holland Stated That It Would Be In The Southeast Corner Of The Plaza In The Current Grass Area.
Recreation Director/Community Liaison Mendoza Reported That Kajukenbo Would Be Resuming On The Following Evening, Now That County Elections Were Done Utilizing The Memorial Center For The Election. Mendoza Stated That Adult Basketball Was Open To The Public On Friday And Sunday Evenings From 6:00 P.M. To 9:00 P.M. At Yolo Middle School. She Mentioned That The City’s Annual Christmas Tree Lighting Event Would Take Place On Saturday, December 6th, From 4:00 P.M.
To 8:00 P.M., With The Actual Tree Lighting Scheduled To Take Place At 7:00 P.M.
Chief Richardson Sent His Condolences To The Family Of Mel Souza And Stated That He Would Be Sorely Missed By The Community. Richardson Thanked The City Council For Hiring The New Police Officers, And Noted The Importance Of The Additions As The Community Continues To Grow.
Public Works Director Spankowski Reported That The Public Works Department Was Continuing With The Holiday Decorations In Preparation Of The Holiday Tree Lighting Event. Spankowski Reminded Everyone That The City’s Annual Leaf And Brush Pickup Was From November 1st To March 31st And Encouraged Everyone To Place Their Brush One Foot From The Curb To Allow Water To Drain.
Chief Bowen Stated That The Fire Department Had Heavy Hearts With The Passing Of Fire Chief Mel Souza. Bowen Mentioned That Chief Souza Was A Mentor To Him And Asked Everyone To Keep Mel’s Family In Their Thoughts. He Reminded Everyone To Stay Safe During The Thanksgiving Holiday, To Be Cautious When Cooking, And Encouraged Everybody to Check Their Smoke Alarms.
Bowen Mentioned That He Would Be Attending The Stanislaus Operational Area Council Meeting Later In The Week. He Noted That The Fire Department Would Be Participating In Career Day At One Of The Local Elementary Schools, And That The Department Would Be Holding An Emergency Medical Services (EMS) Assessment Meeting At The End Of The Month.
13. Items From City Council Members.
Council Member Pimentel Expressed Her Condolences To The Family Of Chief Mel Souza And Noted That He Would Be Missed.
Council Member Ball Thanked All The Veterans.
Council Member Tomlinson Wished Everyone A Happy Thanksgiving.
Council Member Harden Mentioned That There Continued To Be Traffic Congestion Near Local Schools And Encouraged Everyone To Slow Down And Be Cautious. Harden Gave His Condolences To The Family Of Chief Mel Souza.
Mayor Graham Stated That He Had Joined The Local Fire Department When He Moved To Newman, And Mel Souza Was The Fire Chief And Noted That He Was A Great Man Who Did A Lot For The Community. Graham Gave His Condolences To Chief Mel Souza’s Family. He Thanked All The Veterans For Their Service.
14. Adjournment.
ACTION: On A Motion By Tomlinson, Seconded By Harden, And Unanimously Carried, The Meeting Was Adjourned At 7:36 P.M.
MINUTES
NEWMAN CITY COUNCIL
SPECIAL MEETING NOVEMBER 18, 2025
CITY HALL CONFERENCE ROOM, 6:30 P.M., 938 FRESNO STREET NOTICE: THIS MEETING WILL BE HELD IN ACCORDANCE WITH THE RALPH M. BROWN ACT (CALIFORNIA GOVERNMENT CODE SECTION 54950, ET SEQ.) AND THE FEDERAL AMERICANS WITH DISABILITIES ACT
1. Call To Order - Mayor Graham 6:30 P.M.
2. Roll Call - PRESENT: Pimentel, Mayor Pro Tem Ball, Tomlinson, And Mayor Graham.
ABSENT: Harden.
3. Items From The Public – None.
4. Adjourn To Closed Session - 6:31 P.M.
a. Conference With Legal Counsel - Initiation Of Litigation Pursuant To California Government Code Section 54956.9(d)(4): (One Case).
b. Return To Open Session - 7:14 P.M.
No Reportable Action Was Taken.
5. Adjournment.
ACTION: On A Motion By Ball, Seconded By Tomlinson, The Meeting Was Adjourned At 7:15 P.M.
By The Following Vote: AYES: Pimentel, Ball, Tomlinson, And Mayor Graham; NOES: None; ABSENT: Harden; NOT PARTICIPATING: None.
City of Newman
Director of Finance Office
Memorandum
Date: December 9, 2025 ~ 1 To: City of Newman City Council c:----~ From: Lewis Humphries, Director of Finance
Agenda Item: 8.d.
Subject: Accept Fiscal Year 2025/26 Annual Report for: Community Facilities District No. 2023-1 The Local Agency Special Tax Bond and Accountability Act (the "Act"), enacted by Senate Bill 165, is codified in California Government Code Sections 50075 through 50077 and 53410 through 53412. The Act requires:
• that any local special tax measure subject to voter approval contain a statement indicating the specific single purpose of the special tax
• that the proceeds of the special tax be applied to that purpose • the creation of an account into which the proceeds shall be deposited • an annual report containing specified information concerning the use of the proceeds.
The requirements of the Act apply to only one fund at this time:
City of Newman Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Attachments:
1. Fiscal Year 2025/26 Annual Report for: Community Facilities District No. 2023-1
CITY OF NEWMAN
Fiscal Year 2025/26 Annual Report for:
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(PUBLIC SAFETY, MAINTENANCE & SERVICES)
November 2025
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TABLE OF CONTENTS
District Summary ................................................................................................................... 1
1. SB 165: Local Agency Special Tax and Bond Accountability Act ........................................ 2
2. Special Tax Analysis ........................................................................................................ 3
2.1 Levy Summary ........................................................................................................... 3
2.2 Development Status .................................................................................................. 4
2.3 Special Tax Rates ....................................................................................................... 4
2.4 Annual Special Tax Rate Increase .............................................................................. 4
2.5 Special Tax Rate Comparison .................................................................................... 5 Appendix A. District Boundary ............................................................................................... A Appendix B. Rate And Method Of Apportionment .................................................................. B Appendix C. Final Billing Detail Report ................................................................................... C
DISTRICT SUMMARY
The City Council of the City of Newman (the "City"), State of California, under the Mello-Roos Community Facilities Act of 1982 (Sections 53311 and following of the, California Government Code; hereafter referred to as the "Act"), established Community Facilities District No. 2023-1 (the "District") to fund all or a portion of the direct and incidental costs of police protection services; fire protection and suppression services; maintenance and lighting of parks, parkways, streets, roads, and open space; flood and storm protections services; and related appurtenances, within or adjacent to the District. The funding may include the following related to the maintenance of the services: obtaining, constructing, reconstructing, furnishing, and operating and maintaining equipment, apparatuses or facilities related to providing the services; equipment, apparatuses, facilities, or fixtures in areas to be maintained; paying the salaries and benefits of personnel necessary or convenient to provide the services; payment of insurance costs and other related expenses; and the provision of reserves for repairs, replacements, and for the future provision of services.
The District may also fund administrative fees of the City related to the District.
All taxable property within the District are currently under Tax Zone No. 1 or Tax Zone No. 2. Additional tax zones may be created when properties are annexed into the District.
The District special tax may be levied in perpetuity to satisfy the annual special tax requirement.
Levy
The following table provides a summary of the Fiscal Year 2025/26 final levy amount.
District
Community Facilities District No. 2023-1
(Public Safety, Maintenance, and Services)
NBS
Parcel
Count
60 FY 2025/26
Levy
Christine Drazil, Administrator
Tiffany Ellis, Project Manager
I
Tim Seufert, Client Success Ambassador
City of Newman
Fiscal Year 2025/26 Annual Report - CFD No. 2023-1 (Public Safety, Maintenance & Services) 1
1. SB 165: LOCAL AGENCY SPECIAL TAX AND BOND
ACCOUNTABILITY ACT
Senate Bill 165, filed with the Secretary of State on September 19, 2000, enacted the Local Agency Special Tax and Bond Accountability Act (the "Act"). This Act requires that any local special tax or local bond measure subject to voter approval contain a statement indicating the specific purposes of the special tax, require that the proceeds of the special tax be applied to those purposes, require the creation of an account into which the proceeds shall be deposited, and require an annual report containing specified information concerning the use of the proceeds. The Act only applies to any local special tax measure or local bond measure adopted on or after January 1, 2001, in accordance with Section 50075.1 of the California Government Code.
Some of the requirements of the Act are handled at the formation of the Special Tax District and others are handled through annual reports. This Section of this report intends to comply with Section 50075.3 of the California Government Code that states:
"The chief fiscal officer of the issuing local agency shall file a report with its governing body no later than January 1, 2002, and at least once a year thereafter. The annual report shall contain both of the following:
1. The amount of funds collected and expended.
2. The status of any project required or authorized to be funded as identified in subdivision (a) of Section 50075.1."
The requirements of the Act apply to the Funds for the following:
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Purpose of Special Tax
The special tax may fund all or a portion of the direct and incidental costs of police protection services; fire protection and suppression services; maintenance and lighting of parks, parkways, streets, roads, and open space; flood and storm protections services; and related appurtenances, within or adjacent to the District.
The project is ongoing on an annual basis.
City of Newman
Fiscal Year 2025/26 Annual Report - CFO No. 2023-1 (Public Safety, Maintenance & Services) 2
2. SPECIAL TAX ANALYSIS
2.1 Levy Summary
A summary of the levy for Fiscal Year 2025/26 is shown in the table and chart below.
Description Amount
Maintenance Services
Administrative Fees/Expenses (ll
Total Special Tax Levy Amount:
Levied Parcel Count
(1) Includes County collection fees and installment rounding for tax roll purposes.
Administrative
Fees/Expenses
15%
City of Newman
FISCAL YEAR 2025/26 BUDGET
Services
85%
$31,930.11
5,692.09
$37,622.20
60 Fiscal Year 2025/26 Annual Report - CFD No. 2023-1 (Public Safety, Maintenance & Services) 3
2.2 Development Status
The planned number of units according to the Rate and Method of Apportionment compared to the units in each zone for Fiscal Year 2025/26 are shown in the table below. ~ -~ -
Number of FY 2025/26
Zone Land Use Category l ___ Planned Units Unit Total Sta!~ 1 2
Residential Property
Residential Property
Totals:
10 107
117
(1) Land Use Category as defined in the District's Rate and Method of Apportionment. 10 Developed
50 In Progress
60 (2) Status is based on Developed Property as defined in the in the District's Rate and Method of Apportionment, where Developed Property means, "in any Fiscal Year, all taxable property in CFO No. 2023-1 for which a building permit for new construction was issued by the City prior to June 30 of the preceding Fiscal Year."
2.3 Special Tax Rates
The Fiscal Year 2025/26 applied rates and special tax levy are shown in the table below. - ----- -~ -
Total FY
FY 2025/26 FY 2025/26 2025/26
Parcel Maximum Applied Special Tax
Zone Land Use Category (ll ~Units Tax Rate Tax Rate 12l Le~ 1 2
Residential Property
Residential Property
Totals:
10 50
60 10
50 60
$582.42
635.96
(1) Land Use Category as defined in the District's Rate and Method of Apportionment. (2) Includes even cent rounding for placement on the County tax roll.
2.4 Annual Special Tax Rate Increase
$582.42
635.96
$5,824.20
31,798.00
$37,622.20
The maximum special tax for future years for Tax Zone No. 1 and Tax Zone No. 2 are authorized to automatically increase by an amount equal to three percent {3%) annually.
City of Newman
Fiscal Year 2025/26 Annual Report - CFD No. 2023-1 (Public Safety, Maintenance & Services) 4
2.5 Special Tax Rate Comparison
The Fiscal Year 2025/26 maximum tax rates and applied tax rates compared to the prior year are shown below.
FY 2024/25 FY 2025/26 % Change
Rate Maximum Applied % of Maximum Applied I % of in Applied Zone Land Use Category (ll Per Tax Rate (
2 l Tax Rate Maximum Tax Rate (
2 l Tax Rate Maximum Tax Rate
1 2
Residential Property
Residential Property
Unit
Unit
$565.44
617.44
$565.44
617.44
(1) Land Use Category as defined in the District's Rate and Method of Apportionment. (2) Maximum Tax Rate increases by an amount equal to three percent (3%) annually.
City of Newman
100%
100%
Fiscal Year 2025/26 Annual Report - CFD No. 2023-1 {Public Safety, Maintenance & Services) $582.42
635.96
$582.42
635.96
100%
100%
3%
3%
5 APPENDIX A. DISTRICT BOUNDARY
The following page shows the District Boundary Map.
City of Newman
Fiscal Year 2025/26 Annual Report- CFD No. 2023-1 (Public Safety, Maintenance & Services) A I
ORESTIMBA RD
026-026-027-000
D Tax Zone No. 1 Boundary
D Tax Zone No. 1 Parcels
i--- Parcels
Q
0::
~ Q
0-.:
~
37.5 75
I I
L ____
Cl
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....
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c;,
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00 N
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I
150 Feet
I
--\
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--\
\
-- I
PROPOSED BOUNDARIES OF
CITY OF NEWMAN
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(PUBLIC SAFETY, MAINTENANCE & SERVICES)
AND FUTURE ANNEXATION AREA
CITY OF NEWMAN
COUNTY OF STANISLAUS
STATE OF CALIFORNIA
fJ I I -- -
026-016-057-000
D Tax Zone No. 2 Boundary
D Parcels
I
0 62.5 I
A -
125 250 Feet
I I
Sheet 1 of 1
FILED IN THE OFFICE OF THE CITY CLERK OF THE CITY OF NEWMAN THIS __ DAY OF __ 202_
CITY CLERK
CITY OF NEWMAN
STANISLAUS COUNTY, CALIFORNIA
I HEREBY CERTIFY THAT THE WITH IN MAP SHOWING THE PROPOSED BOUNDARIES OF THE CITY OF NEWMAN COMMUNITY FACILITIES DISTRICT NO. 2023-1 (PUBLIC SAFETY, MAINTENANCE & SERVICES) AND FUTURE
ANNEXATION AR EA, CITY OF NEWMAN, COUNTY OF STANISLAUS, STATE OF CALIFORNIA, WAS APPROVED BY THE CITY COUNCIL OF THE CITY OF NEWMAN, AT A MEETING THEREOF, HELD ON THE DAY OF , 202 , BY ITS RESOLUTION NO._____ - -- -
CITY CLERK
CITY OF NEWMAN
STANISLAUS COUNTY, CALIFORNIA
FILED THIS __ DAY OF_, 202~ AT THE HOUR OF _ _ O'CLOCK _M, IN BOOK _ _ OF MAPS OF ASSESSMENT AND COMMUNITY FACILITIES DISTRICTS AT PAGE __ IN THE OFFICE OF THE COUNTY RECORDER OF THE COUNTY OF STANISLAUS, STATE OF CALIFORNIA.
COUNTY RECORDER
COUNTY OF STANISLAUS, CALIFORNIA
FOR PARTICULARS OF THE LINES AND DIMENSIONS OF ASSESSOR PARCELS, REFERENCE IS MADE TO THE MAPS
OF THE ASSESSOR, COUNTY OF STANISLAUS, STATE OF CALIFORNIA HOYER
RD
I
\..
HOYERRD __
Source: Stanislaus County GIS
U F ~! E W rA A fJ [E l
,:
" e
;;
d
~ ESTUHRRO
SHERMAN PKWY
Legend
c:::::J City of Newman/Future Annexation Area Boundary
l22Z3 Tax Zone No. 1 Boundary
~ Tax Zone No. 2 Boundary
0.25 0,5
I
1 Miles
I
Geographic Coordinate Reference: GCS North American 1983 Proiection: NAO 1983 StatePlane California Ill FIPS 0403 Feet APPENDIX B. RATE AND METHOD OF APPORTIONMENT
The following pages show the Rate and Method of Apportionment of the Special Tax.
City of Newman
Fiscal Year 2025/26 Annual Report - CFO No. 2023-1 (Public Safety, Maintenance & Services) B
RATE AND METHOD OF APPORTIONMENT
FOR CITY OF NEWMAN
COMMUNITY FACILITIES DISTRICT NO. 2023-1
(PUBLIC SAFETY, MAINTENANCE & SERVICES)
A Special Tax, as hereinafter defined, shall be levied and collected in City of Newman Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) ("CFD No. 2023-1") each Fiscal Year commencing in Fiscal Year 2022/23, in an amount determined by the application of the procedures below.
All Taxable Property, as hereinafter defined, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meaning:
"Accessory Dwelling Unit" or "ADU" means all Assessor's Parcels of Residential Property for which a building permit(s) has been issued for an "Accessory Dwelling Unit" as defined in California Government Code Section 65852.2(j)(1), as may be amended from time to time, which is accessory to a primary Unit. The ADU may be located on the same Assessor's Parcel as the primary Unit that is the primary Unit or on a separate Assessor's Parcel. For purposes of clarification, where an ADU and primary Unit are on the same Assessor's Parcel, the ADU located on such Assessor's Parcel is considered a separate Unit from the primary Unit on such Assessor's Parcel for purposes of the Special Tax. Should an Assessor's Parcel contain only an ADU, such Assessor's Parcel will be taxed as an ADU Unit only.
"Acre or Acreage" means the land area of an Assessor's Parcel as shown on an Assessor's Parcel Map or in the Assessor's Data for each Assessor's Parcel. In the event the Assessor's Parcel Map or Assessor's Data shows no Acreage, the Acreage for any Assessor's Parcel shall be determined by the CFD Administrator based upon the applicable final map, parcel map, condominium plan, or other recorded County parcel map. If the preceding maps are not available, the Acreage of an Assessor's Parcel may be determined utilizing GIS.
"Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Division 2 of Title 5 of the Government Code of the State. "Administrative Expenses" means the actual or reasonably estimated costs directly related to the administration of CFD No. 2023-1 including, but not limited to, the following: the costs of computing the Annual Special Tax Requirement and of preparing the Special Tax collection schedules; the costs of collecting the Special Tax, including any charges levied by the County Auditor's Office, Tax Collector's Office or Treasurer's Office; the costs of the City or designee in complying with the disclosure requirements of the California Government Code (including the Act), including public inquiries regarding the Special Tax; the costs of the City or designee related to an appeal of the Special Tax; and the costs of commencing and pursuing to completion any action arising from any delinquent Special Tax in CFD No. 2023-1. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2023-1 for any other administrative purposes, including, but not limited to, attorney's fees.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 1 "Annual Services Costs" means the respective amounts determined by the CFD Administrator required to fund services authorized to be funded by CFD No. 2023-1 for the applicable yearly period.
"Annual Special Tax Requirement" means that amount with respect to CFD No. 2023-1 determined by the City Council or designee as required in any Fiscal Year to pay: (1) the Administrative Expenses, (2) the Annual Services Costs, (3) any amount required to establish or replenish any reserve or replacement fund established in connection with CFD No. 2023-1, and (4) any reasonably anticipated delinquent Special Tax based on the delinquency rate for any Special Tax levied in the previous Fiscal Year.
"Assessor's Data" means Assessor's Parcel Number, Units, Building Square Feet, Acreage, or other information contained in the records of the County Assessor for each Assessor's Parcel. "Assessor's Parcel" or "Parcel" means a lot or parcel shown in an Assessor's Parcel Map and/or Assessor's Data with an assigned Assessor's Parcel Number. "Assessor's Parcel Map" means an official map of the Assessor of the County designating parcels by Assessor's Parcel Number.
"Assessor's Parcel Number" means, with respect to an Assessor's Parcel, that number assigned to such Assessor's Parcel by the County Assessor for purposes of identification. "Building Square Feet" or "BSF" means all of the square footage within the perimeter of a structure, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The determination of Building Square Feet shall be made by reference to the Assessor's Data.
If the Assessor's Data does not show Building Square Feet, building permit(s) issued for such structure, or other records of the City shall be used, as determined by the CFD Administrator. "CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Annual Special Tax Requirement and providing for the levy and collection of the Special Taxes. "CFD No. 2023-1" means the City of Newman Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services).
"City" means the City of Newman.
"City Council" means the City Council of the City, acting as the legislative body of CFD No. 2023-1. "County" means the County of Stanislaus.
"County Assessor" means the County Assessor of the County. "Developed Property" means, in any Fiscal Year, all Taxable Property in CFD No. 2023-1 for which a building permit for new construction was issued by the City prior to June 30 of the preceding Fiscal Year.
"Exempt Property" means all Assessors' Parcels within the boundary of CFD No. 2023-1 which are exempt from the Special Tax pursuant to Section E.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 2 "Final Map Property" means, in any Fiscal Year, all Taxable Property in CFO No. 2023-1 for which a Final Subdivision Map was approved by City Council prior to June 30 of the preceding Fiscal Year. "Final Subdivision Map" means a subdivision of property created by recordation of a final subdivision map, parcel map or lot line adjustment, approved by the City pursuant to the Subdivision Map Act {California Government Code Section 66410 et seq.) or recordation of a condominium plan pursuant to California Civil Code 4120, that creates individual lots for which residential building permits may be issued without further subdivision of such property. "Fiscal Vear" means the period starting July 1 and ending on the following June 30. "GIS" means a geographic information system.
"Maximum Special Tax" means the maximum Special Tax authorized to fund the Annual Special Tax Requirement in any Fiscal Year that may apply to Taxable Property as described in Section C. "Mixed-Use Property" means all Assessor's Parcels of Developed Property that could be categorized as having more than one land use, allowing for multiple use types on each such Assessor's Parcel. For an Assessor's Parcel of Mixed-Use Property, the Special Tax shall be calculated and levied for each use type present on the Assessor's Parcel. "Non-Residential Property'' means all Assessor's Parcels of Developed Property for which a building permit(s) was issued for a non-residential use.
"Open Space Property" means property within the boundaries of CFO No. 2023-1 which (i) has been designated with specific boundaries and Acreage on a final subdivision map as open space, (ii) is classified by the County Assessor as open space, (iii) has been irrevocably offered for dedication as open space to the federal government, the State, the County, the City, or any other public agency, or (iv) is encumbered by an easement or other restriction required by the City limiting the use of such property to open space.
"Property Owner's Association" means any property owner's association. As used in this definition, a Property Owner's Association includes any home-owner's association, condominium owner's association, master or sub-association or non-residential owner's association. "Property Owner's Association Property'' means any property within the boundaries of CFD No. 2023-1 which is (a) owned by a Property Owner's Association or {b) designated with specific boundaries and acreage on a final subdivision map as property owner association property. "Proportionately'' means for Taxable Property that the ratio of the Special Tax levy to the Maximum Annual Special Tax is equal for all Assessors' Parcels ofTaxable Property levied within each property land use classification within CFD No. 2023-1.
"Public Property'' means any property within the boundaries of CFD No. 2023-1 which (i) is owned by a public agency, (ii) has been irrevocably offered for dedication to a public agency, or (iii) is designated with specific boundaries and Acreage on a final subdivision map as property which will be owned by a public agency. For purposes of this definition, a public agency includes the federal government, the State, the County, the City, school districts, or any other public agency.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 3 "Residential Property" means all Assessor's Parcels of Developed Property for which a building permit has been issued for purposes of constructing one or more residential dwelling units. "Special Tax" means the amount levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Annual Special Tax Requirement.
"State" means the State of California.
"Tax Zone" means a mutually exclusive geographic area within which the Special Tax may be levied pursuant to this Rate and Method of Apportionment. All the Taxable Property within CFD No. 2023- 1 at the time of its formation is within Tax Zone No. 1 or Tax Zone No. 2. Additional Tax Zones may be created when property is annexed to CFD No. 2023-1, and a separate Maximum Special Tax shall be identified for property withiri each new Tax Zone at the time of such annexation. The Assessor's Parcels included within a new Tax Zone when such Parcels are annexed to CFD No. 2023-1 shall be identified by Assessor's Parcel number in the annexation documents at the time of annexation. "Taxable Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2023-1 that are not exempt from the Special Tax pursuant to law or Section E below. "Undeveloped Property" means all of the Assessor's Parcels within the boundaries of CFD No. 2023- 1 that is not classified as Developed Property, Open Space Property, Property Owner's Association Property, or Public Property.
"Unit" means an individual residential dwelling unit. The number of Units assigned to each Assessor's Parcel may be determined by (i) referencing Assessor's Data, (ii) site surveys and physical unit counts, and/or (iii) other research by the CFD Administrator. "Welfare Exempt Property'' means, in any Fiscal Year, all Parcels within the boundaries of CFD No. 2023-1 that (a) have been granted a welfare exemption by the County under subdivision (g) of Section 214 of the Revenue and Taxation Code indicated in the Assessor's Data finalized as of January 1 of the previous Fiscal Year, and (b) are exempt from the Special Tax pursuant to Section 53340(c) of the Act.
B. DETERMINATION OF TAXABLE PARCELS
Each Fiscal Year, the CFD Administrator shall determine the valid Assessor's Parcel Numbers for all Taxable Property within CFD No. 2023-1. If any Assessor's Parcel Numbers are no longer valid, the CFD Administrator shall determine the new Assessor's Parcel Number or Numbers in effect for the then-current Fiscal Year. To the extent a Parcel or Parcels of Taxable Property are subdivided, consolidated, or otherwise reconfigured, the Maximum Special Tax shall be assigned to the new Assessor's Parcels Numbers pursuant to Section C. The CFD Administrator shall also determine: (i) the Tax Zone within which each Parcel is located; (ii) which Parcels are Taxable Property; (iii) the number of Units, Acres, or Building Square Footage each Parcel contains; (iv) the property type, i.e., Residential Property, Non-Residential Property, etc.; and (v) the Annual Special Tax Requirement for the Fiscal Year.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 4 C. MAXIMUM ANNUAL SPECIAL TAX RATES
The Maximum Special Taxes for each Assessor's Parcel of Taxable Property shall be assigned below:
1. Maximum Special Taxes
The Maximum Special Tax for each Assessor's Parcel of Taxable Property within Tax Zone No. 1 shall be assigned according to Table 1 below:
TABLE 1
MAXIMUM SPECIAL TAX RATES
TAX ZONE NO. 1
FISCAL VEAR 2022/23 *
Maximum Special
Land Use Category Tax Rate
Residential Property $533.00
Non-Residential Property 0.00
Mixed-Use Property See below
Accessory Dwelling Unit See below
Per
Unit
BSF
*On July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax rates for Tax Zone No. 1 shall be increased three percent (3%} Different Maximum Special Tax rates and tax escalation factors may be identified in Tax Zones added to CFO No. 2023-1 as a result of future annexations.
The Maximum Special Tax for each Assessor's Parcel of Taxable Property within Tax Zone No. 2 shall be assigned according to Table 2 below:
TABLE 2
MAXIMUM SPECIAL TAX RATES
TAX ZONE NO. 2
FISCAL VEAR 2022/23*
Maximum Special
Land Use Category Tax Rate
Residential Property $582.00
Non-Residential Property 0.00
Mixed-Use Property See below
Accessory Dwelling Unit See below
Per
Unit
BSF
*On July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax rates for Tax Zone No. 2 shall be increased three percent (3%} Different Maximum Special Tax rates and tax escalation factors may be identified in Tax Zones added to CFO No. 2023-1 as a result of future annexations.
2. Mixed-Use Property
In some instances, an Assessor's Parcel of Developed Property may be Mixed-Use Property. The Maximum Special Tax levied on an Assessor's Parcel shall be the sum of the Maximum Special Tax for all residential Units and non-residential Building Square Feet _on that Assessor's Parcel.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 5
3. Accessory Dwelling Units
The Maximum Special Tax for an Accessory Dwelling Unit shall be calculated as a percentage of the Maximum Special Tax for the primary Unit the ADU is accessory to, based on Building Square Footage. For example, if a primary Unit of Residential Property with 2,000 BSF has an ADU of 800 BSF, the Maximum Special Tax for the ADU in Tax Zone No. 1 shall be calculated by the following steps:
1. 800 BSF / 2,000 BSF = 0.40 or 40%
2. $533.00 Maximum Special Tax per Unit x 40% = $213.20 Maximum Special Tax for such ADU
4. Assignment of Assessor's Parcells) to Property Land Use Category When an Assessor's Parcel changes from being classified as Undeveloped Property to another land use category and is considered Developed Property, that assignment shall not change due to future changes in land use.
5. Assignment of Maximum Special Tax to Newly Created Assessor's Parcells) When an Assessor's Parcel changes or subdivides, the Maximum Special Tax shall be assigned to each newly created Assessor's Parcel so that there is no net loss in the Maximum Special Tax revenue to be generated as a result of changes in the planned development.
When an Assessor's Parcel changes or subdivides, and there are changes to the overall planned development for each Tax Zone within CFO No. 2023-1, the process for assigning the Maximum Special Tax to each newly created Assessor's Parcel is as follows:
Step 1: Sum the expected Maximum Special Tax assigned to each Assessor's Parcel that is being changed or subdivided within that Tax Zone.
Step 2: Identify the newly created Assessor's Parcel(s) of Taxable Property created by the change or subdivision and assign the Maximum Special Tax to each newly created Assessor's Parcel of Taxable Property according to the then-current Maximum Special Tax Rates within that Tax Zone for each Land Use Category. Sum the Maximum Special Tax assigned to each newly created Assessor's Parcel of Taxable Property within that Tax Zone.
Step 3: Divide the total expected Maximum Special Tax in Step 1 by the total Maximum Special Tax assigned in Step 2 to arrive at a fraction for that Tax Zone.
Step 4: Apportion the total Maximum Special Tax from Step 1 to each newly created Assessor's Parcel of Taxable Property by multiplying each newly created Assessor's Parcel fraction, determined in Step 3, by the then-current Maximum Special Tax Rates within that Tax Zone for each Land Use Category.
Step 5: The Maximum Special Tax assigned to each newly created Assessor's Parcel of Taxable Property shall be the greater of the Maximum Special Tax assigned in Step 2 or the Maximum Special Tax calculated in Step 4 for the Tax Zone.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 6 When an Assessor's Parcel changes or subdivides, and there are no changes to the planned development for each Tax Zone within CFD No. 2023-1, the Maximum Special Tax shall be assigned according to Table 1 for Tax Zone No. 1, Table 2 for Tax Zone No. 2, or similar table for each successive Tax Zone.
The planned development for Tax Zone No. 1 is provided in the table below:
Planned
Land Use Category Development
Residential Property 10 Units
The planned development for Tax Zone No. 2 is provided in the table below:
Planned
Land Use Category Development
Residential Property 106 Units
Once created, if a newly created Assessor's Parcel(s) of Taxable Property further changes or subdivides, the above steps shall be repeated to determine the Maximum Special Tax for the additional newly created Assessor's Parcel(s) of Taxable Property created from the change or subdivision.
D. METHOD OF APPORTIONMENT OF THE SPECIAL TAXES
All Taxable Property shall be subject to the Special Tax defined as follows. The Special Tax shall be levied each Fiscal Year by the CFD Administrator.
The Annual Special Tax Requirement shall be apportioned to each Parcel within CFD No. 2023-1 by the method shown below.
First: Determine the Annual Special Tax Requirement.
Second: Levy the Special Tax on each Parcel of Developed Property, Proportionately, up to the applicable Maximum Special Tax.
Under no circumstances will the Special Taxes on any Assessor's Parcel of Developed Property be increased by more than 10% as a consequence of delinquency or default by the owner of any other Assessor's Parcel within CFD No. 2023-1.
E. EXEMPTIONS
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Tax shall be levied on Open Space Property, Property Owner's Association Property, Undeveloped Property, Assessor's Parcels with public or utility easements making impractical their utilization for any use other than the purposes set forth in the easement, or Public Property, except as otherwise provided in Sections 53317.3, 53317.5 and 533401 of the Act.
No Special Tax shall be levied on any Assessor's Parcel in any Fiscal Year in which such Assessor's Parcel is classified as Welfare Exempt Property.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 7 F. APPEAL OF SPECIAL TAX LEVY
Any property owner may file a written appeal of the Special Tax with the CFD Administrator claiming that the amount or application of the Special Tax is not correct. The appeal must be filed not later than one calendar year after having paid the Special Tax that is disputed, and the appellant must be current in all payments of the Special Tax. In addition, during the term of the appeal process, all Special Tax levied must be paid on or before the payment date established when the levy was made.
The appeal must specify the reasons why the appellant claims the Special Tax is in error. The CFO Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination.
If the property owner disagrees with the CFO Administrator's decision relative to the appeal, the owner may then file a written appeal with the City Council whose subsequent decision shall be final and binding on all interested parties. If the decision of the CFO Administrator or subsequent decision by the City Council requires the Special Tax to be modified or changed in favor of the property owner, then an adjustment shall be made to credit the Special Tax in future years.
This procedure shall be exclusive and its exhaustion by any property owner shall be a condition precedent to .filing any legal action by such owner.
G. INTERPRETATIONS OF RATE AND METHOD OF APPORTIONMENT
The City reserves the right to make minor administrative and technical changes to this document that do not materially affect the rate and method of apportioning the Special Tax. In addition, the interpretation and application of any section of this document shall be at the City's discretion.
Interpretations may be made by the City Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment of Special Tax.
H. MANNER AND DURATION OF SPECIAL TAX
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided that the City may directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if needed to meet the financial obligations of CFO No. 2023- 1, and may collect delinquent Special Taxes through available methods.
Special Taxes shall continue to be levied and collected within CFD No. 2023-1, as needed to fund the Annual Special Tax Requirement, in perpetuity.
I. PREPAYMENT OF SPECIAL TAX
The Special Tax may not be prepaid.
J. REPEAL OF SPECIAL TAX
If the levy of the Special Tax is repealed by initiative or any other action participated in by the owners of Assessor's Parcels in CFO No. 2023-1, the City shall cease to levy the Special Tax and shall cease to be obligated to provide the authorized services for which the Special Tax was levied. The obligations to provide the authorized services previously funded by the repealed Special Tax shall become the joint obligations of the property owners of Assessor's Parcels within CFD No. 2023-1.
City of Newman
Community Facilities District No. 2023-1 (Public Safety, Maintenance & Services) Page 8 APPENDIX C. FINAL BILLING DETAIL REPORT
The following page shows the Final Billing Detail Report for Fiscal Year 2025/26.
City of Newman
Fiscal Year 2025/26 Annual Report- CFO No. 2023-1 (Public Safety, Maintenance & Services) C Account ID
026-072-001-000
026-072-002-000
026-072-003-000
026-072-004-000
026-072-005-000
026-072-006-000
026-072-007-000
026-072-008-000
026-072-009-000
026-072-010-000
026-073-002-000
026-073-017-000
026-073-018-000
026-073-019-000
026-073-020-000
026-073-021-000
026-073-022-000
026-073-023-000
026-073-024-000
026-073-025-000
026-073-026-000
026-073-027-000
026-073-028-000
026-073-029-000
02 6-073-030-000
02 6-073-031-000
026-073-032-000
026-073-033-000
026-073-034-000
026-073-035-000
026-073-036-000
026-073-037-000
026-073-038-000
026-073-039-000
026-073-040-000
026-073-041-000
026-073-042-000
026-073-043-000
026-073-044-000
026-073-045-000
026-073-046-000
026-073-047-000
City of Newman
CFD No. 2023-1 (Public Safety, Maintenance & Services)
Final Billing Detail Report for Fiscal Year 2025/26
Tax Zone Land Use Category Units
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
1 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
2 Residential 1
Slight variances may occur due to rounding
Copyright© 2013 by NBS Page 1 of 2
Special Tax Levy
$582.42
582.42
582.42
582.42
582.42
582.42
582.42
582.42
582.42
582.42
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635 .96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
08/19/2025 02:10:22PM
City of Newman
CFO No. 2023-1 (Public Safety, Maintenance & Services)
Final Billing Detail Report for Fiscal Year 2025/26
Account ID
026-073-048-000
026-073-049-000
026-073-050-000
026-073-051-000
026-073-052-000
026-073-053-000
026-073-054-000
026-073-055-000
026-073-056-000
026-073-057-000
026-073-058-000
026-073-065-000
026-073-101-000
026-073-102-000
026-073-103-000
026-073-104-000
02 6-073-105-000
026-073-106-000
60 Accounts
Slight variances may occur due to rounding
Copyright© 2013 by NBS
Tax Zone
2 2
2 2
2 2
2 2
2 2
2 2
2 2
2 2
2 2
Land Use Category Units
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
Residential 1
60
Special Tax Levy
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
635.96
$37,622.20
08/19/2025 02:10:22PM
Honorable Mayor and Members
of the Newman City Council
Agenda Item: 10.a.
City Council Meeting
of December 9, 2025
RECEIVING AND ACCEPTING THE GENERAL PURPOSE FINANCIAL STATEMENT AND TRANSPORTATION DEVELOPMENT ACT AUDITS FOR THE FISCAL YEAR ENDING JUNE 30, 2025 RECOMMENDATION:
It is recommended that Council adopt Resolution No. 2025- , receiving and accepting the General Purpose Financial Statement and Transportation Development Act audits for the Fiscal Year ending June 30, 2025.
BACKGROUND:
Each year, the City's financial records are audited by an independent Certified Public Accounting firm. This year, O'Connor & Company performed the audit. Managing Partner Michael O'Connor was the lead on this audit. Using Generally Accepted Accounting Principles (GAAP) and Generally Accepted Auditing Standards, they reviewed our financial records and issued audited financial statements along with their Independent Auditor's Report. These reports are used by the Council, the public, and Bond Rating Agencies to evaluate the fiscal condition of the City.
ANALYSIS:
Prior to the beginning of the fiscal year, staff projected a General Fund budget deficit of$( 648,131). The Financial Statements audit shows the City of Newman General Fund ending balance at $3,911,454. This figure is an increase from the beginning fund balance of $3,894,144 by $17,310; an improvement of $665,441 over our projected deficit from the beginning of the year. The increase is due in part to 'Property Tax', 'Other Tax and Franchise', and 'Service Charges and Miscellaneous' being $522,492 higher than expected. Also, 'General Government' and 'Public Safety' costs were $461,167 under budget. Over the last 5 years, the General Fund has increased from $3.9M to $4.3M and back to $3.9M. Historically, we have saved funds in some years to make purchases in others. This year remained fairly flat, where our spending nearly equaled our revenues.
General Fund revenues originally were budgeted at $7,038,866 (including Transfers In). The City's General Fund revenues at the end of the fiscal year were $7,563,299; which is a $524,433 improvement. The majority of that increase was from revenues from 'Property Tax', and 'Service Charge and Miscellaneous'.
General Fund expenditures were originally budgeted $7,691,997 (including Transfers out). The City's General Fund expenditures at the end of the fiscal year were $7,545,989; which is a $146,008 reduction. A large portion of that reduction came from 'General Government', which was $372,870 below budget. A more detailed analysis is found in the Management's Discussion and Analysis and Notes of the financial statements.
Pages 1 to 3 of the annual financial report include the auditor's report on internal controls, and on compliance and other matters. The auditors did not identify any deficiencies in internal controls that would be considered material weaknesses. They also expressed that the financial statements present fairly the financial position of the City. They also report that their tests disclosed no instances of noncompliance or other matters. The Transportation Development audit, on pages 61 and 62, states that no instances of noncompliance were found.
FISCAL IMPACT:
The cost of the audit was budgeted and came in at the budgeted amount.
CONCLUSION:
The audit is considered an un-modified opinion. An un-modified opinion is the best opinion an independent auditor can give. Michael O'Connor, from O'Connor & Company, will be at the Council meeting to further discuss the audit findings with you. Staff recommends Council approve Resolution No. 2025- receiving and accepting the General Purpose Financial Statement and Transportation Development Act audits for the Fiscal Year ending June 30, 2025.
ATTACHMENTS:
1. Resolution No. 2025-
2. City of Newman Annual Financial Report - June 30, 2025 Respectfully submitted:
I wls ~(&riw Lewis Humphries
Finance Director
REVIEWED/CONCUR:
Michael Holland
City Manager
RESOLUTION NO. 2025-
A RESOLUTION RECEIVING AND ACCEPTING THE GENERAL PURPOSE FINANCIAL
STATEMENT AND TRANSPORTATION DEVELOPMENT ACT AUDITS FOR THE FISCAL YEAR ENDING JUNE 30, 2025
WHEREAS, there has been submitted to the City Council of the City of Newman by O'Connor & Company, Certified Public Accountants, the annual General Purpose Financial Statement and Transportation Development Act Funds Audit for the fiscal year ending June 30, 2025; and WHEREAS, said Annual Financial Reports have been examined and considered by the City Council of the City of Newman.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Newman that the General Purpose Financial Statement and Transportation Development Act Funds Audit of the City of Newman for the fiscal year ended June 30, 2025, submitted by O'Connor & Company, Certified Public Accountants, is hereby received and accepted.
The foregoing resolution was introduced at a regular meeting of the City Council of the City of Newman held on the 9th day of December, 2025, by Council Member _ _ ________ _ who moved its adoption, which motion was duly seconded and adopted by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Mike Maier,
City Clerk of the City of Newman,
County of Stanislaus, State of California
APPROVED:
Casey Graham,
Mayor of the City of Newman,
County of Stanislaus, State of California
CITY OF NEWMAN
NEWMAN, CALIFORNIA
ANNUAL FINANCIAL REPORT
JUNE 30, 2025
"' O'CONNOR & COMPANY
~
TABLE OF CONTENTS
PAGE
Independent Auditors' Report 1-3
Management's Discussion and Analysis- Required Supplementary Information (unaudited) 4-12 Basic Financial Statements:
Government-wide Financial Statements:
Statement of Net Position
Statement of Activities
Fund Financial Statements:
Governmental Funds - Balance Sheet
Reconciliation of the Governmental Funds - Balance Sheet with the Governmental Activities Statement of Net Position Governmental Funds - Statement of Revenues,
Expenditures, and Changes in Fund Balances
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds
to the, Statement of Activities
Proprietary Funds - Statement of Net Position
Proprietary Funds - Statement of Revenues,
Expenditures, and Changes in Net Position
Proprietary Funds - Statement of Cash Flows
Statement of Fiduciary Net Position - Private Purpose Trust Fund Private Purpose Trust Fund - Statement of Changes in Net Position Notes to Basic Financial Statements
Required Supplementary Information:
General Fund - Statement of Revenues, Expenditures,
and Changes in Fund Balances - Budget and Actual
CDBG Special Revenue Fund - Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual
State Grants Special Revenue Fund - Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual
Federal Grants Special Revenue Fund - Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual
Schedule of the Local Government's Proportionate Share of Net Pension Liability - Miscellaneous
13 14
15 16
17 18
19 20
21 22
23 24-45
46 47
48 49
50 TABLE OF CONTENTS (concluded)
Schedule of the Local Government's Proportionate Share of Net Pension Liability - Safety
Schedule of Contributions - Miscellaneous
Schedule of Contributions - Safety
Supplementary Information:
Combining and Individual Fund Statements and Schedules:
Combining Financial Statements Nonmajor Governmental Funds Fund Definitions
Combining Balance Sheets - Nonmajor Governmental Funds
Combining Statements of Revenues, Expenditures,
and Changes in Fund Balance - Nonmajor Governmental Funds Report on Compliance and Other Matters and on Internal
Control over Financial Reporting Based on an Audit of the Financial Statements in Relation to the Local Transportation Purpose Funds Performed in Accordance with Government
Auditing Standards
PAGE
51 52
53 54-55
56-57
58-59
60-61
O'CONNOR
~ & COMPANY
~
INDEPENDENT AUDITORS' REPORT
To the Honorable
Mayor and Members of the City Council
City of Newman
Newman, California
Report on the Financial Statements
Opinions
1701 NOVATO BLVD, SUITE 302
NOVATO, CA 94947
PH. (415) 457-1215
FAX. (415) 457-6735
www.maocpa.com
We have audited the accompanying financial statements of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information, of the City of Newman, California as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise City of Newman's basic financial statements as listed in the table of contents.
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information of City of Newman, as of June 30, 2025, and the respective changes in financial position and where applicable, cash flows thereof, for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the City of Newman, and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions.
Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about City of Newman's ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter.
Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with auditing standards generally accepted in the Unites States of America and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Misstatements are considered material if there is a substantial likelihood that, individually or in aggregate, they would influence the judgment made by a reasonable user based on the financial statements. - 1 -
Honorable Mayor and Members of the City Council
City of Newman - Page 2
In performing an audit in accordance with auditing standards generally accepted in the Unites States of America, and Government Auditing Standards we:
• Exercise professional judgment and maintain professional skepticism throughout the audit. • Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. • Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the City of Newman's internal control. Accordingly, no such opinion is expressed. • Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about City of Newman's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management's Discussion and Analysis, and other required supplementary information as listed in the table of contents be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of the financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise City of Newman's basic financial statements. The combining and individual nonmajor fund financial statements are presented for the purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements.
The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining and individual non-major fund financial statements are fairly stated, in all material respects, in relation tothe basic financial statements as a whole. - 2 -
Honorable Mayor and Members of the City Council
City of Newman - Page 3
Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated November 26, 2025, on our consideration of the City of Newman's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of City of Newman's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering City of Newman's internal control over financial reporting and compliance.
Novato, California
November 26, 2025
O'Connor and Company
- 3 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
The following discussion provides readers of the City of Newman's financial statements with a narrative overview and analysis of the financial activities of the City of Newman for the fiscal year ended June 30, 2025. Please read this document in conjunction with the accompanying Basic Financial Statements.
The City of Newman (the City) General Fund revenues increased over the previous year. Property tax revenues are up 5.8% over the prior year. Revenues from Other Tax and Franchise increased by 6.2%.
General Fund Revenues increased in all areas except for 'Sales Tax', and 'License and Permits'. The largest revenue increases came from Other Revenues, Charges for Services and Other Tax and Franchise.
The main reason for the increase in revenues is the increase in home values, increases in investment performance, and increases in the use of City Services.
On February 1, 2012, all Redevelopment Agencies (RDA) statewide were dissolved with the California Supreme Court upholding ABx1 -26. The City accepted to be the Successor Agency charged with the winding down of operations. The Financials for the Successor Agency (former RDA) are no longer published as a separate report. They are included with the Annual Financial Report for the City and listed as fiduciary responsibility. At the time of this report the City has received its 'Finding of Completion' and has filed its 'Long Range Property Management Plan' and has transferred or sold all former RDA properties.
OVERVIEW OF THE ANNUAL FINANCIAL REPORT
This Annual Financial Report is divided into two parts:
1) Management's Discussion and Analysis (MD&A);
2) The Basic Financial Statements, which include the Entity-wide and the Fund Financial Statements, along with the Notes to these financial statements.
The Basic Financial Statements
The Basic Financial Statements comprise the Entity-wide Financial Statements and the Fund Financial Statements; these two sets of financial statements provide two different views of the City's financial activities and financial position.
The Entity-wide Financial Statements provide a longer-term view of the City's activities as a whole and comprise a Statement of Net Position and the Statement of Activities. The Statement of Net Position provides information about the financial position of the City as a whole, including all of its capital assets and long-term liabilities on a full accrual basis, similar to that used by corporations.
The Statement of Activities provides information about all of the City's revenues and all of its expenses, also on a full accrual basis, with the emphasis on measuring revenues net of expenses of each of the City's programs. The Statement of Activities explains in detail the change in Net position for the year.
All the City's activities are grouped into Government Activities and Business-type Activities, as explained below. The amounts in the Statement of Net Position and the Statement of Activities are separated into Governmental Activities and Business-type Activities in order to provide a summary of these two activities for the City as a whole.
The Fund Financial Statements report the City's operations in more detail than the Entity-wide statements and focus primarily on the short-term activities of the City's General Fund and other Major Funds. The Fund Financial Statements measure only current revenues and expenditures and fund balances; they exclude capital assets, long-term debt, and other long-term amounts.
Major Funds account for the major financial activities of the City and are presented individually, while the activities of Non-major Funds are presented in summary, with subordinate schedules (located after the Notes section) presenting the detail for each of these other funds. Major Funds are explained below. -4-
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
The Entity-wide Financial Statements
Entity-wide financial statements are prepared on an accrual basis, which means they measure the flow of all economic resources of the City as a whole.
The Statement of Net Position and the Statement of Activities present information about the following:
• Governmental Activities - All of the City's basic services are governmental activities. These services are supported by general City revenues such as taxes, and by specific program revenues such as user fees and charges.
• Business-type Activities - The City's enterprise activities of water and wastewater are reported in this area. Unlike governmental services, these services are supported by charges paid by users based on the amount of the service they use.
Fund Financial Statements
The Fund Financial Statements provide detailed information about each of the City's most significant funds, called Major Funds. The concept of Major Funds, and the determination of what qualifies as a Major Fund, was established by Governmental Accounting Standards Board (GASB) Statement 34 and replaces the concept of combining like funds and presenting them in total. Instead, each Major Fund is presented individually, with all Non-major Funds summarized and presented only in a single column.
Subordinate schedules present the details of these Non-major Funds. Major Funds present the major activities of the City for the year and may change from year to year as a result of changes in the pattern of the City's activities.
In the City's case, there are four Major Governmental Funds in addition to the General Fund: The CDBG Fund (Funds 15, 19 and 26), the Public Facility Improvement Fund (Fund 40), the State Grants Fund (Fund 17) and the Federal Grants Fund (Fund 18). Both City's Enterprise Funds are reported as Major Proprietary Funds.
Fund Financial Statements include governmental and proprietary funds as discussed below.
Governmental Fund Financial Statements are prepared on a modified accrual basis, which means they measure only current financial resources and uses. Capital assets and other long-lived assets, along with long-term liabilities, are not presented in the Governmental Fund Financial Statements.
Proprietary Funds Financial Statements are prepared on an accrual basis, as in the past, and include all of their assets and liabilities, current and long-term.
Comparisons of Budget and Actual financial information are presented for the General Fund, as well as the CDBG Fund, and State and Federal Grants Funds which are Special Revenue Funds, as required by GASB Statement 34.
FINANCIAL ACTIVITIES OF THE CITY AS A WHOLE
This analysis focuses on the net position and changes in net position of the City as a whole. Tables 1, 2 and 3 focus on the City's Governmental Statement of Net position and Statement of Activities, while Tables 4 and 5 focus on the City's Business-type Statement of Net Position and Statement of Activities. - 5 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
Governmental Activities
Table 1
Governmental Net Position at June 30, 2025
Governmental
Activities 2025
Current and other assets $ 21,145,876
Capital assets 27,437,068
Total assets 48,582,944
Deferred outflows of assets 1,662,116
Long-term debt outstanding 4,984,951
Other liabilities 1,004,121
Total liabilities 5,989,072
Deferred inflows of assets 160,462
Net position:
Investment in capital assets 27,437,068
Restricted 17,908,566
Unrestricted (1,250,108)
Total net position $ 44 095 526
Governmental
Activities 2025
$ 20,735,818
23,817,259
44,553,077
2,174,891
5,191,160
1,300,212
6,491,372
319,834
23,817,259
17,643,957
(1,544,454)
$ 39 916 762
The City's governmental net position amounted to $44,095,526 as of June 30, 2025; an increase of $4,178,764 from 2024. This increase is the Change in Net Position reflected in the Governmental Activities column of the Statement of Activities shown in Table 2. The City's net position as of June 30, 2025, comprised the following:
• Cash and investments comprised $15,816,274 in the city treasury. Substantially all these amounts were held in short-term investments in government securities, as detailed in Note 3-A to the financial statements .
• Receivables comprised $1,219,418 of current receivables, lease receivables of $87,746 and loans receivable for $3,975,935 .
• Prepaid items of $46,503 which is explained in Note 1-0 . • Capital assets of $27,437,068, net of depreciation charges, which includes all the City's capital assets used in governmental activities .
• Current liabilities, including accounts payable, claims and other amounts due currently, total $771,265 . • Accrued compensated absence liabilities payable to employees of $232,856 is explained in Note 1-D and Note 3-G to the financial statements .
• Net pension liability of $4,984,951 is explained in Note 4-C. • Net investment in capital assets of $27,437,068, representing the City's investment in capital assets used in Governmental Activities .
• Restricted net position totaling $17,908,566, which may be used only to construct specified capital projects, for debt service, or for community development projects. The restrictions on these funds were placed there by outside agencies and cannot be changed by the City . • Unrestricted net position, the part of net position that can be used to finance day-to-day operations without constraints established by debt covenants or other legal requirements or restrictions. The City had $(1,250, 108) of unrestricted net position (deficit) as of June 30, 2025 -6-
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
Sources of Revenues
Charges for
Services
15%
Taxes
34%
Use of
money and
property
4%
Grants and
contributions
47%
The Sources of Revenue Chart above shows that during fiscal year 2024-2025 34% ($4,623,548) of the City's governmental activities revenue came from Taxes while 47% ($6,387,601) came from Grants and Contributions, 15% ($1,997,159) came from Charges for Services, and the remaining 4% ($490,760) came from the Use of Money and Property (investments).
Functional Expenses
Culture &
Leisure
5%
Community
Development
2%
Public
Works
38%
Debt Service
0.0% General
Government
10%
Public Safety
40%
The Functional Expenses Chart above includes only the current year's expenses; it does not include capital outlays, which are now added to the City's capital assets. As the Chart shows, General Government is 10% ($913,131) of total government expenses, Community Development is 2% ($164,470), Public Safety is 40% ($4,185,948), Public Works is 38% ($3,590,810), Culture & Leisure is 5% ($465,945). - 7 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
The Statement of Activities presents program revenues and expenses and general revenues in detail. All of these are elements in the Changes in Governmental Net Position summarized below.
Table 2
Changes in Governmental Net Position
Expenses
General government
Public Safety
Public Works
Community Development
Culture and Leisure
Total expenses
Revenues
Program Revenues:
Charges for services
Operating grants and contributions
Total program revenues
General revenues:
Taxes
Investment earnings
Total general revenues
Total revenues
Change in net position
Governmental
Activities
2025
$ 913,131
$
4,185,948
3,590,810
164,470
465,945
9,320,304
1,997,159
6,387,601
8,384,760
4,623,548
490,760
5, 1141308
13,499,068
4 178 764
Governmental
Activities
2024
$ 881,002
3,442,860
3,536,349
172,962
455,170
8,488,343
2,129,531
12,455,919
14,585,450
3,989,910
419,453
4,409,363
18,9941813
$ 10 506 470
As Table 2, Changes in Governmental Net Position above shows, $8,384,760 (62%) of the City's fiscal year 2025 Governmental Revenue, came from Program Revenues and $5,114,308 (38%) came from General Revenues such as taxes, interest, and transfers.
Program revenues were composed of charges for services of $1,997,159, which include permit revenues, fees and charges used to fund expenses incurred in providing services and $6,387,601 of operating and capital grants and contributions which include gas tax revenues and housing and police grants.
General revenues are not allocable to programs. General revenues are used to pay for the net cost of governmental programs.
- 8 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
Table 3 presents the net (expense) or revenue of each of the City's governmental activities, including interest on long-term debt. Net expense is defined as the total program cost less than the revenues generated by those specific activities.
General government
Public Safety
Public Works
Community Development
Culture and Leisure
Totals
Business-type Activities
Table 3
Governmental Activities
Net (Expense)
Revenue
From Services
2025
$ (913,131)
(4,139,583)
2,131,433
601,055
1,384,682
$ (935 544)
Net (Expense)
Revenue
From Services
2024
$ (881,002)
(3,353,879)
8,539,235
364,807
1,427,946
$ 6 097 107
The Statement of Net Position and Statement of Activities present a summary of the City's Business-type Activities that are composed of the City's enterprise funds.
Current and other assets
Capital assets
Total assets
Table 4
Business-Type Net Position
Deferred Outflows of Resources
Long-term debt outstanding
Other liabilities
Total liabilities
Deferred Inflows of Resources
Net position:
Investment in capital assets
Unrestricted
Total net position
Business-Type
2025
$ 10,554,090
29,830,684
40,384,774
721,297
11,142,684
377,621
11,520,305
35,427
20,851,284
8,699,055
$ 29,550,339
The net position of business-type activities increased $1,546,367 in fiscal year 2025.
Water Fund
Sewer Fund
Totals
Table 5
Changes in Business-Type Net Position
- 9 -
Net (Expense)
Revenue
From
Services 2025
$ 376,346
1,170,020
$ 1 546,366
Business-Type
2024
$ 8,752,563
30,252,130
39,004,693
900,878
11,365,968
443,020
11,808,988
92,608
21,036,430
6,967,545
$ 28,003 975
Net (Expense)
Revenue
From
Services 2024
$ 420,292
2,103,803
$ 2 524,095
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
Analyses of Maior Funds
Governmental Funds
General Fund
General Fund revenues increased $507,924 this fiscal year. Increases in Property Taxes, Other Tax & Franchise, Investment Earnings, Intergovernmental, Other Revenues, and Charges for Services outweighed decreases in Sales Tax, License and Permits, and Fines & Forfeitures. Actual revenues exceeded original budgeted amounts by $392,812.
General Fund expenditures were $7,483,877, an increase of $178,839 from the prior year. Expenditures were $118,120 less than the final budget, primarily related to cost reductions associated with General Government, Public Safety, Planning & Community Development, and Recreation & Leisure.
As of June 30, 2025, the General Fund's ending fund balance totaled $3,911,454; an increase of $17,31 O from the prior year. In February of 2009 GASB issued Statement #54 changing the presentation of this fund balance. See the Note 1-D to the Basic Financial Statements for detail on the changes and classifications of fund balance.
CDBG Fund
This fund is used to account for grants received to loan out to low-income citizens for first time home purchases and/or housing rehabilitation projects. Also included in this fund are grant funds for the Valley Manor Housing project. Those funds were loaned out and are now reflected in our books as a long-term loan receivable. Valley Manor Housing represents the largest of these receivables. Their current outstanding balance is $932,564.
Public Facility Improvement Fund
This fund accounts for the improvement of public facilities funded by developer fees. In fiscal year 2025, the fund received $58,452 in developer fees. Developer fee revenue increased $325,986 over the prior year. This increase is due to new homes under construction in 2024. The Northwest Expansion will expand once it gets under way. The fund's fiscal year end fund balance of $5,336,053 represents developer fees that have not yet been expended on public facility projects and improvements.
State Grants Fund
The fees accounted for here are to be used for State of California funded projects and programs. The fund's current balance is ($1,434,434). This fund typically must expend funds prior to being reimbursed by the State's grants. The City has been awarded several large grants for projects that are under way.
Reimbursements will always trail expenditures.
Federal Grant Fund
The fees accounted for here are to be used for Federal Government funded projects and programs. The fund's current balance is $85,814. This fund typically has a negative or zero balance because grants are usually paid after project expenditures have been expended. In this case the City received a large grant fund from the Federal Government under the ARPA program which paid the City first and expenditures are filed later.
Proprietary Funds
Water Fund
Operating Revenues show an increase of $389,931 to a total of $3,295,178 in fiscal year 2025. This increase in revenues was due to an increase in both water rates and the addition of new homes. Operating Expenses increased $388,004 to $3,005,766. There was a resulting operating income of $289,412. The fund's net position increased $376,346.
- 10 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS (UNAUDITED)
For the Fiscal Year Ended June 30, 2025
The fund has an outstanding loan with the State for the construction of Well Site #10. The loan is a 0% interest loan to be paid back over 40 years. No funds are restricted for debt service. The unrestricted fund balance is $1,978,158.
Sewer Fund
Operating Revenues increased by $291 to a total of $3,772,147 in fiscal year 2025 due to there being no increase in sewer rates but only an increase in the number of new homes. Operating Expenses increased $640,154 to $3,110,307. The fund's net position increased to a total of $1,170,020. The Sewer Fund has no outstanding bonds.
CAPITAL-ASSETS
GASB Statement 34 requires the City to record all its capital assets including infrastructure. Infrastructure includes roads, bridges, signals, and similar assets used by the entire population.
In fiscal year 2025, the City reported the cost of all its infrastructure assets and computed the amount of accumulated depreciation for these assets based on their original acquisition dates. At the end of fiscal year 2025 the cost of infrastructure and other capital assets recorded on the City's financial statements was as shown in Table 6 below:
Table 6
Capital Assets at Year-end
Governmental Activities
Land
Streets & Roads and Infrastructure
Buildings & Improvements
Construction in Progress
Equipment
Accumulated depreciation
Governmental activity capital assets, net
Business-type Activities
Land
Construction in Progress
Buildings
Plant and Equipment
Accumulated depreciation
Business-type activity capital assets, net
Balance at
June 30, 2025
$ 4,204,174
8,411,050
16,319,183
7,020,334
4,021,884
(12,539,557)
$ 27 437 068
$ 13,482,780
1,944,621
1,063,798
22,110,629
( 8 z 771 I 144)
$ 29 830,684
Balance at
June 30, 2024
$ 4,204,174
7,369,571
11,416,029
8,673,545
4,083,491
(11,929,551)
$ 23,817 259
$ 13,482,780
1,841,697
1,063,798
22,097,192
(8,233,337)
$ 30,252 130
Details on capital assets, current year additions and construction in progress can be found in Note 3-D.
The City depreciates all its capital assets over their estimated useful lives, as required by GASB Statement
34. The purpose of depreciation is to spread the cost of a capital asset over the years of its useful life so that an allocable portion of the cost of the asset is borne by all users. Additional information on depreciable lives may be found in Note 1-D to the financial statements.
- 11 -
City of Newman
MANAGEMENT'S DISCUSSION AND ANALYSIS {UNAUDITED)
For the Fiscal Year Ended June 30, 2025
DEBT ADMINISTRATION
The City issued no new bonded debt in fiscal year 2025. The City made all scheduled repayments of existing debt. Each of the City's debt issues is discussed in detail in Note 3-F to the financial statements.
As of June 30, 2025, the City's debt comprised:
Business-type Activity Debt:
Other Long-Term Obligations:
Table 7
Outstanding Debt
2018 Water Resources Quality Control Board Installment Loan Total Business-type Activity Debt:
CONTACTING THE CITY'S FINANCIAL MANAGEMENT
June 30, 2025 June 30, 2024
$ 8,979,400
$ 8,979 400
$ 9,215,700
$ 9,215 700
This Annual Financial Report is intended to provide citizens, taxpayers, and creditors with a general overview of the City's finances. Questions about this Report should be directed to the City of Newman, at 938 Fresno Street, Newman, CA 95360.
- 12 -
City of Newman
STATEMENT OF NET POSITION
June 30, 2025
Prima~ Government
Governmental Business-type
Activities Activities
ASSETS
Cash and investments $ 15,816,274 $ 9,779,577 $
Accounts receivable 1,219,418 774,513
Loans receivable 3,975,935
Prepaid items 46,503
Leases receivable 87,746
Nondepreciable capital assets 11,224,508 15,427,401
Depreciable capital assets, net 16,212,560 14,403,283
Total assets 48,582,944 40,384,774
DEFERRED OUTFLOWS OF RESOURCES
Pension deferrals 1,662,116 721,297
LIABILITIES
Accounts payable and other 771 ,265 278,275
Compensated absences 232,856 99,346
Net pension liability 4,984,951 2,163,284
Long-term liabilities:
Due within one year 236,300
Due in more than one year 8,743,100
Total liabilities 5,989,072 11,520,305
DEFERRED INFLOWS OF RESOURCES
Leases 78,824
Pension deferrals 81,638 35,427
Total deferred inflows of resources 160,462 35,427
NET POSITION
Net investment in capital assets 27,437,068 20,851 ,284 Restricted for:
Capital projects 5,336,053
Community development projects 12,572,513
Unrestricted (deficit) {1,250,108) 8,699,055
Total net position $ 44,095,526 $ 29,550,339 $
The accompanying notes are an integral part of these financial statements. - 13 -
Totals
25,595,851
1,993,931
3,975,935
46,503
87,746
26,651,909
30,615,843
88,967,718
2,383,413
1,049,540
332,202
7,148,235
236,300
8,743,100
17,509,377
78,824
117,065
195,889
48,288,352
5,336,053
12,572,513
7,448,947
73,645,865
Functions/Programs
Primary government:
Governmental activities:
General government
Public safety
Public works
Community development
Culture and leisure
Interest on long-term debt
Total governmental activities
Business-type activities
Water services
Sewer services
Total business-type activities
Total primary government
Expenses
$ 913,131
4,185,948
3,590,810
164,470
465,945
9,320,304
3,005,766
3,110,307
6,116,073
$ 15,436,377
City of Newman
STATEMENT OF ACTIVITIES
For the year ended June 30, 2025
Program Revenues
Fines, Fees & Operating
Charges Grants &
For Services Contributions
$ $
46,365
100,167 5,622,076
765,525
1,850,627
1,997,159 6,387,601
3,320,935
3,815,042
7,135,977
$ 9,133,136 $ 6,387,601
General revenues:
Taxes:
Property tax
Sales tax
Motor vehicle tax
Franchise and other taxes
Investment earnings
Transfers
Capital
Grants &
Contributions
$
$
Total general revenues and transfers
Change in net position
Net position - beginning,
Net position - ending
Net (Expense) Revenue and
Changes In Net Assets
Primary Government
Governmental Proprietary
Activities Activities Totals
$ (913,131) $ $ (913,131)
(4,139,583) (4,139,583)
2,131,433 2,131,433
601,055 601,055
1,384,682 1,384,682
(935,544) (935,544)
315,169 315,169
704,735 704,735
1,019,904 1,019,904
(935,544) 1,019,904 84,360
1,387,246 1,387,246
735,894 735,894
1,257,892 1,257,892
1,245,904 1,245,904
490,760 523,075 1,013,835
(3,388) 3,388
5,114,308 526,463 5,640,771
4,178,764 1,546,367 5,725,131
39,916,762 28,003,972 67,920,734
$ 44,095,526 $ 29,550,339 $ 73,645,865
The accompanying notes are an integral part of these financial statements. - 14 -
Assets
Cash and investments
Accounts receivable
Loans receivable
Leases receivable
Due from other funds
Prepaid items
Total assets
Liabilities
Accounts payable
Accrued expenses
Due to other funds
Other liabilities
Total liabilities
Deferred inflows of resources
Leases
Fund balances
Nonspendable
Restricted
Unassigned (deficit)
Total fund balances
Total liabilities, deferred inflows of
resources and fund balances
General
$ 2,461,366 $
481,983
87,746
1,366,571
46,503
$ 4,444,169 $
$ 284,683 $
200
169,008
453,891
78,824
46,503
3,864,951
3,911,454
$ 4,444,169 $
City of Newman
GOVERNMENTAL FUNDS
BALANCE SHEET
June 30, 2025
Public Facility
Improvement
CDBG Fund
1,401,986 $ 5,337,648
3,646,965
5,048,951 $ 5,337,648
$ 1,595
1,595
5,048,951 5,336,053
5,048,951 5,336,053
5,048,951 $ 5,337,648
State Federal
Grants Grants
Fund Fund
$ $ 113,619
5,195
28,970
$ 5,195 $ 142,589
$ 73,058 $ 56,775
1,366,571
1,439,629 56,775
85,814
{1,434,434)
{1,434,434) 85,814
$ 5,195 $ 142,589
The accompanying notes are an integral part of these financial statements. - 15 -
Total
Non-Major Governmental
Funds Funds
$ 6,501,655 $ 15,816,274
732,240 1,219,418
300,000 3,975,935
87,746
71,228 1,437,799
46,503
$ 7,605,123 $ 22,583,675
$ 72,147 $ 488,258
1,375 1,575
71,228 1,437,799
112,413 281,421
257,163 2,209,053
78,824
46,503
7,437,748 17,908,566
{89,788) 2,340,729
7,347,960 20,295,798
$ 7,605,123 $ 22,583,675
City of Newman
RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET
WITH THE GOVERNMENTAL ACTIVITIES
STATEMENT OF NET POSITION
For The Year Ended June 30, 2025
Total fund balances - governmental funds
Total net position reported for governmental activities in the statement of net position is different because:
Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds.
Deferred outflow of resources
Long-term liabilities applicable to the City's governmental activities are due and payable in the current period and accordingly are not reported as fund liabilities. All liabilities, both current and long-term, are reported in the statement of net position.
Compensated absences
Net pension liability
Deferred inflows of resources
Total long-term liabilities
Total net position - governmental activities
232,856
4,984,962
81 ,638
The accompanying notes are an integral part of these financial statements. - 16 -
$ 20,295,798
27,437,068
1,662,116
(5,299,456)
$ 44,095,526
City of Newman
GOVERNMENTAL FUNDS
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES For The Year Ended June 30, 2025
Public Facility State Federal
Improvement Grants Grants
General CDBG Fund Fund Fund
Revenues
Property tax $ 1,387,246 $ $ $ $
Sales tax 735,894
Other tax and franchises 1,693,531
Licenses and permits 100,167
Fines and forfeitures 46,365
Investment earnings 213,071 27,157 102,267 19,239
Intergovernmental 155,771 308,760 3,956,075 60,049
Impact fees 58,452
Other revenue 765,525
Charges for services 1,822,887
Total revenues 6,920,457 27,157 469,479 3,956,075 79,288 Expenditures
General government 904,141 8,990
Public safety 4,009,023
Public works 1,940,298 586 3,399,872 1,089,147
Planning and community development 164,470
Culture and leisure 465,945
Capital outlay 109,179
Total expenditures 7,483,877 118,755 3,399,872 1,089,147 Excess (deficiency) of revenues
over expenditures (563,420) 27,156 350,724 556,203 (1,009,859) Other financing sources (uses)
Transfers in 642,842
Transfers out (62,112) (48,986)
Total other financing sources (uses) 580,730 (48,986)
Net change in fund balances 17,310 27,156 350,724 507,217 (1,009,859) Fund balance - beginning 3,894,144 5,021,795 4,985,329 {1,941,651) 1,095,673 Fund balance- ending $ 3,911,454 $ 5,048,951 $ 5,336,053 $ (1,434,434) $ 85,814 The accompanying notes are an integral part of these financial statements. - 17 -
Total
Non-Major Governmental
Funds Funds
$ $ 1,387,246
735,894
810,265 2,503,796
100,167
46,365
129,026 490,760
1,025,985 5,506,640
56,984 115,436
765,525
27,740 1,850,627
2,050,000 13,502,456
913,131
12,295 4,021,318
659,426 7,089,330
164,470
465,945
109,179
671,721 12,763,373
1,378,279 739,083
642,842
(535,132) (646,230)
(535,132) (3,388)
843,147 735,695
6,504,813 19,560,103
$ 7,347,960 $ 20,295,798
City of Newman
RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES, AND CHANGES IN FUND BALANCES
OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
For The Year Ended June 30, 2025
Net change in fund balances - total governmental funds
The changes in net position reported for governmental activities in the statement of activities is different because:
Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlay ($4,411,035) exceed depreciation ($791,226) in the current period.
The recording of accrued compensated absences does not require the use of current financial resources and, therefore, is not reported as expenditures in governmental funds. The liability is included in the statement of activities.
The net change in pension expense either contributed to pension plan in current fiscal year not included on statement of activities; or expenses reported in statement of activities that do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds.
Changes in net position of governmental activities
The accompanying notes are an integral part of these financial statements. - 18 -
$ 735,695
3,619,809
(12,110)
(164,630)
$ 4,178,764
Assets
Cash and investments
Acco1:1nts receivable
Capital assets, net
Total assets
Deferred outflows of resources
Current pension contributions
Liabilities
Accounts payable
Customer deposits
Compensated absences
Other liabilities
Net pension liability
Loan payable
Total liabilities
Deferred inflows of resources
Deferral of pension expenses
Net position
Net investment in capital assets
Unrestricted
Total net position
City of Newman
PROPRIETARY FUNDS
STATEMENT OF NET POSITION
June 30, 2025
Business-Type Activities
Enter~rise Funds
Sewer Water
Fund Fund
$ 7,093,441 $ 2,686,136 $
442,392 332,121
18,015,564 11,815,120
25,551,397 14,833,377
360,579 360,718
17,001 45,258
108,000
59,370 39,976
108,016
1,081,434 1,081,850
8,979,400
1,157,805 10,362,500
17,710 17,717
18,015,564 2,835,720
6,720,897 1,978,158
$ 24,736,461 $ 4,813,878 $
The accompanying notes are an integral part of these financial statements. - 19 -
Totals
9,779,577
774,513
29,830,684
40,384,774
721,297
62,259
108,000
99,346
108,016
2,163,284
8,979,400
11,520,305
35,427
20,851,284
8,699,055
29,550,339
City of Newman
PROPRIETARY FUNDS
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN NET POSITION
For The Year Ended June 30, 2025
Business-T~ee Activities-Entererise Funds
Sewer Water
Fund Fund Total
Operating revenues
Service charges $ 3,772,147 $ 3,236,803 $ 7,008,950
Miscellaneous revenues 58,375 58,375
Total operating revenues 3,772,147 3,295,178 7,067,325
Operating expenses
Employee services 1,148,162 1,139,770 2,287,932
Supplies and services 1,778,943 1,470,150 3,249,093
Depreciation 183,202 395,846 579,048
Total operating expenses 3,110,307 3,005,766 6,116,073
Total operating income (loss) 661,840 289,412 951,252
Nonoperating revenues (expenses)
Investment earnings 463,005 60,069 523,074
Development fees 42,895 25,757 68,652
Interest expense
Total nonoperating revenues (expenses) 505,900 85,826 591,726 Income (loss) before transfers 1,167,740 375,238 1,542,978 Transfers in 2,280 237,408 239,688
Transfers out {236,300) {236,300)
Total transfers 2,280 1,108 3,388
Change in net position 1,170,020 376,346 1,546,366
Net position - beginning 23,566,441 4,437,532 28,003,973 Net position - ending $ 24,736,461 $ 4,813,878 $ 29,550,339 The accompanying notes are an integral part of these financial statements. - 20 -
City of Newman
PROPRIETARY FUNDS
STATEMENT OF CASH FLOWS
For The Year Ended June 30, 2025
Business-Type Activities-Enterprise Funds
Sewer
Fund
Water
Fund Total
CASH FLOWS FROM OPERATING ACTIVITIES
Receipts from customers and users $ 3,669,851 $ 3,254,946 $ 6,924,797 Payments to suppliers (1,824,579) (1,492,856) (3,317,435) Payments to employees (1,077,864) (1,071,711) (2,149,575) Net cash provided (used) by operating activities 767,408 690,379 1,457,787
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfer ins 2,280 237,408 239,688
Transfer out (236,300) (236,300)
Net cash provided (used) by capital and related financing activities 2,280 1,108 3,388
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Development fees 42,895 25,757 68,652
Acquisition of capital assets (157,591) (157,591)
Principal paid on capital debt (236,300) (236,300)
Net cash provided (used) by capital
and related financing activities (114,696) (210,543) (325,239)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 463,004 60,069 523,073
Net cash provided by investing activities 463,004 60,069 523,073 Net increase in cash and cash equivalents 1,117,996 541,013 1,659,009 Cash and equivalents, July 1 5,975,445 2,145,123 8,120,568 Cash and equivalents, June 30 $ 7,093,441 $ 2,686,136 $ 9,779,577
RECONCILIATION OF OPERATING INCOME TO
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES
Operating income $ 661,840 $ 289,412 $ 951,252
Adjustments to reconcile operating income
To net cash provided (used) by operating activities
Depreciation expense 183,202 395,846 579,048
Changes in assets and liabilities:
(Increase) decrease in deferred outflows of resources 91,321 88,260 179,581 Accounts receivable (102,296) (40,232) (142,528)
Increase (decrease) in accounts payable (45,636) (31,556) (77,192) Customer deposits 8,850 8,850
Compensated absences 4,909 (1,968) 2,941
Deferred inflows of resources (28,744) (28,437) (57,181) Net pension liability 2,812 10,204 13,016
Net cash provided (used) by operating activities $ 767,408 $ 690,379 $ 1,457,787 The accompanying notes are an integral part of these financial statements. - 21 -
City of Newman
STATEMENT OF FIDUCIARY NET POSITION
PRIVATE PURPOSE TRUST FUND
June 30, 2025
Assets
Cash and investments
Accounts receivable
Notes receivable
Total assets
Liabilities
Compensated absences
Due to other government
Long-term debt:
Due within one year
Due more than one year
Total liabilities
Net position (deficit):
Held in trust for private purposes
Private-Purpose
Trust Fund
Successor
Agency
to the RDA
Fund
$ 180,082
211,378
377,790
769,250
4,979
485,822
165,000
360,000
1,015,801
$ (246,551)
The accompanying notes are an integral part of these financial statements. - 22 -
City of Newman
PRIVATE PURPOSE TRUST FUND
STATEMENT OF CHANGES IN NET POSITION
For The Year Ended June 30, 2025
Additions
Property tax
Investment earnings
Total additions
Deductions
Current
Community development
Interest & other charges
Total deductions
Net change in fund balances
Net position - beginning
Net position - ending
Private-Purpose
Trust Fund
$
$
Successor
Agency
to the RDA
Fund
272,988
16,681
289,669
77,759
32,519
110,278
179,391
{425,942)
{246,551)
The accompanying notes are an integral part of these financial statements. - 23 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Financial Reporting Entity
The City of Newman (the City) was incorporated June 8, 1908, under the general laws of the State of California and enjoys all the rights and privileges applicable to a General Law City. The City operates under a Council-Manager form of government and provides the following services as authorized:
Public Safety (police, fire and civil defense), highways and streets, sanitation, health and social services, culture/recreation, education, public improvements, planning and zoning, and general administrative services. The City also provides the Water and Sewer services.
The financial statements of the City of Newman have no component units. The accompanying basic financial statements present the financial activity of the City, which is the primary government.
The basic financial statements of the City of Newman, California have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP). The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles.
The more significant of the City's accounting policies are described below:
The accompanying basic financial statements present the financial activity of the City (primary government) and its component units, entities for which the government is financially accountable.
Blended component units, although legally separate entities, are, in substance, part of the government's operations. Discretely presented component units represent other legally separate organizations for which the primary government is financially accountable or for which the nature and significance of their relationship to the primary government are such that exclusion would cause the City's reporting entity to be misleading or incomplete. The City's component units are blended; there are no discretely presented component units in the Financial Reporting Entity.
The City Council consists of four members elected at large for overlapping four-year terms. The Mayor is elected to the City Council for a two-year term. The City Council appoints a City Manager and City Attorney.
In addition to sitting as the governing board of the City, the City Council also acted as the Board of Directors of one blended component unit: the Redevelopment Agency of the City of Newman through January 31, 2012. On February 1, 2012 all Redevelopment Agencies (RDA) statewide were dissolved.
The City was accepted to be the Successor Agency charged with the winding down of operations. The Successor Agency funds are now reported as a fiduciary fund in the City's financial statements.
B. Government-wide and Fund Financial Statements
The government-wide financial statements (i.e., the statement of net position and the statement of activities) report information on all of the non-fiduciary activities of the primary government and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support.
The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. - 24 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) B. Government-wide and Fund Financial Statements (concluded) Separate financial statements are provided for governmental funds, proprietary funds and fiduciary funds, even though the latter are excluded from the government-wide financial statements. Major individual governmental funds and major individual enterprise funds are reported in separate columns in the fund financial statements.
Fund Financial Statements: The underlying accounting system of the City is organized and operated based on separate funds, each of which is a separate accounting entity. The operations of each fund are accounted for with a separate set of self-balancing accounts that comprise its assets, liabilities, fund equity, revenues and expenditures or expenses, as appropriate. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to be spent and how spending activities are controlled.
Separate financial statements are presented after the government-wide financial statements. These statements display information about major funds individually and non-major funds in the aggregate for governmental and enterprise funds. Fiduciary statements include financial information for fiduciary funds. Fiduciary funds of the City primarily represent assets held by the City in a custodial capacity for other individuals or organizations.
C. Measurement Focus, Basis of Accounting and Basis of Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met.
Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are available when they are collectible within the current period or soon enough thereafter to pay liabilities for the current period. For this purpose, the City considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences, are recorded only when payment is due.
Non-current portions of long-term receivables due to governmental funds are reported on their balance sheets despite their spending measurement focus. Special reporting treatments are used to indicate that they should not be considered "available spendable resources", since they do not represent net current assets. Recognition of governmental fund type revenues represented by non-current receivables are deferred until they become current receivables. Non-current portions of other longterm receivables are reflected in the non-spendable fund balance.
Because of their spending measurement focus, expenditure recognition for governmental fund types excludes amounts represented by non-current liabilities. Since they do not affect net current assets, such long-term amounts are not recognized as governmental fund type expenditures or fund liabilities.
Amounts expended to acquire capital assets are recorded as expenditures in the year that resources were expended, rather than as fund assets. The proceeds of long-term debt are recorded as other financing sources rather than as a fund liability. Amounts paid to reduce long-term indebtedness are reported as fund expenditures.
- 25 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) C. Measurement Focus, Basis of Accounting and Basis of Presentation (continued) Property taxes and taxpayer-assessed tax revenues (e.g., franchise taxes, sales taxes, motor vehicle fees, etc.) net of estimated refunds and uncollectible amounts, and interest associated with the current fiscal period are all considered susceptible to accrual and so have been recognized as revenues of the current fiscal period. All other re.venue items are considered measurable and available only when cash is received by the City. The City reports the following major governmental funds:
General Fund - the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund.
CDBG Fund - to account for federal grants and other monies received and disbursed under the Housing and Community Development Act, to assist low- and moderate-income groups in obtaining loans to purchase their first home and rehabilitate or revitalize their homes.
Public Facility Improvement Fund - to account for development impact fees collected. These fees are used for infrastructure and capital expenditure resulting from new developments.
State Grants Fund - To account for various grants received from the State of California. Funds are used for community development capital projects.
Federal Grants Fund - To account for various grants received from the Federal Government.
Funds are used for community development capital projects.
The City reports on the following major proprietary funds:
Water Fund - accounts for the activities of the City's water service.
Sewer Fund - accounts for the activities of the City's sewer service.
Fiduciary Funds
Trust Funds and Agency Funds are used to account for assets held by the City as an agent or trustee for individuals, private organizations, and other governments.
The Successor Agency Private-purpose Trust Funds account for receipt of incremental property tax and payment of enforceable obligations (debts) assumed by the Successor Agency from the former Redevelopment Agency. The financial activities of these funds are excluded from the Governmentwide financial statements but are presented in separate Fiduciary Fund financial statements.
As a rule, the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the City's water and sewer function and various other functions of government. Elimination of these charges would distort the direct costs and program revenue reported for the various functions concerned.
Amounts reported as program revenues include 1) charges to customers and applicants, for goods, services or privileges provided, 2) operating grants and contributions and 3) capital grants and contributions. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from providing goods and services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the enterprise and internal service funds are charges to customers for sales and services, including water and sewer charges.
- 26 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) C. Measurement Focus, Basis of Accounting and Basis of Presentation (concluded) Operating expenses for enterprise funds include salaries and employee benefits, maintenance and operation of systems and facilities, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. The City's water and sewer enterprise funds recognize as capital contributions the entire portion of tap fees, as they intend to recover the costs of the capital investment in the water and sewer distribution system.
Bond Premiums and Discounts/Issuance Costs for government-wide financial statements and proprietary funds financial statements - issuance costs are recognized during the current period. Any bond premiums and discounts are capitalized and amortized over the life of the bonds. Bond proceeds, premiums and discounts are reported as other financing sources in the governmental fund financial statements.
D. Assets, Liabilities, Net Position or Equity
Cash and Investments
To maximize the flexibility of its investment program and to aid in cash budgeting, the City pools the cash of all funds, except for monies deposited with fiscal agents in accordance with related bond. indentures. The cash and investments balance in each fund represents that fund's equity share of the City's cash and investment pool. As the City places no restrictions on the deposit or withdrawal of a particular fund's equity in the pool, the pool operates like a demand deposit account for the participating funds.
Interest income earned on pooled cash and investments is allocated quarterly. Interest income on restricted cash and investments with fiscal agents is credited directly to the related fund.
In accordance with the State of California Government Code, the City adopts an investment policy annually that, among other things, authorizes types of investments.
Investments Authorized by the California Government Code and the City's Investment Policy Maximum
Maximum Investment
Maximum Percentage in One
Authorized Investment Tl~e Maturitl of Portfolio Issuer Local Agency Investment Fund (State Pool) NIA None $75 million U.S. Treasury Obligations NIA None None
U.S. Government Agency Issues NIA None None
Medium-term Corporate Notes 5 years 30% None
Insured Passbook on Demand Deposits with Banks
and Savings and Loans NIA None $250,000
Certificates of Deposit 2 years None $250,000
F oreignlDomestic 180 days 40% None
Mutual Funds (must be comprised of eligible
securities permitted under this policy) NIA None None
Money Market Funds (must be comprised of eligible
securities permitted under this policy) NIA None None
Investments for the City are reported to be of fair value. The Local Agency Investment Fund (LAIF) operates in accordance with appropriate state laws and regulations. The reported value of the pool is the same as the fair value of the pool shares.
- 27 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) D. Assets, Liabilities, Net Position or Equity (continued) For purposes of the statement of cash flows, the City has defined cash and cash equivalents to be change and petty cash funds, equity in the City's cash and investment pool and restricted, non-pooled investment with initial maturities of three months or less. The City's investment policy does not contain any specific provisions intended to limit the City's exposure to interest rate risk, credit risk, and concentration of credit risk.
Receivables and Payables
Activity between funds that are representative of lending/borrowing outstanding at the end of the fiscal year are referred to as either "interfund receivables/payables" (i.e., the current portion of interfund loans) or "advances to/from other funds" (i.e., the non-current portion of interfund loans). All other outstanding balances between funds are reported as "due to/from other funds". Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as internal balances.
Advances between funds, as reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources.
All trade and tax receivables are shown net of an allowance for uncollectible accounts and estimated refunds due.
Property Taxes
Property taxes are levied on the first day of January by the county assessor and are payable to the county tax collector in two installments. The first installment is due November 1st, and is delinquent on December 10th, the second installment is due February 1st and is delinquent on April 10th. Taxes become a lien on the property on January 1st, and on the date of transfer of title, and the date of new construction.
The minimum property value that is taxed is $2,000; however, tax bills are prepared for properties valued at less than $2,000 if there is a special assessment to be collected. Article 13A of the California Constitution states, "The maximum amount of any ad valorem tax on real property shall not exceed one percent (1 %) of the full cash value of such property. The one percent tax is to be collected by the counties and apportioned according to law to the districts within the counties." The City has elected under state law (TEETER) to receive all the annual property assessments in three installments as follows:
December
April
June
Leases Receivable
55%
40%
5%
100%
The City is a lessor for leases of office and commercial space. The City recognizes leases receivable and deferred inflows of resources in the financial statements. Variable payments based on future performance of the lessee or usage of the underlying asset are not included in the measurement of the lease receivable.
At the commencement of a lease, the City initially measures the lease receivable at the present value of payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by the principal portion of lease payments received. - 28 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) D. Assets, Liabilities, Net Position or Equity ( continued) The deferred inflows of resources are initially measured as the initial amount of the lease receivable, adjusted for lease payments received at or before the lease commencement date. Subsequently, the deferred inflows of resources are recognized as revenue over the life of the lease term in a systematic and rational method.
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the expected lease receipts to present value, (2) lease term, and (3) lease receipts. • The City uses its estimated risk free 52-week treasury bill rate as the discount rate for leases. • The lease term includes the non-cancellable period of the lease. Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the lessee.
The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to significantly affect the amount of the lease receivable.
Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements.
Restricted Assets
Certain proceeds of revenue bonds, as well as certain resources set aside for their repayment, are classified as restricted assets on the balance sheet because their use is limited by applicable bond covenants.
Capital Assets
Capital assets, which include property, plant, and equipment and infrastructure assets (e.g. roads, bridges, sidewalks, traffic lights and signals, streetlights and similar items), are reported in the applicable governmental columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of $5,000 for property, plant and equipment and $25,000 for infrastructure. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at their estimated fair value at the date of donation.
The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend asset lives are not capitalized.
Depreciation is recorded in amounts sufficient to relate the cost of the depreciable assets to operations over their estimated service life using the straight-line method. Assets are depreciated as follows:
Buildings 20-40 years
Improvements 40 years
Machinery and Equipment 3-6 years
Streets and Roads 20 years
Curb, Gutter, Sidewalks, & Median Curbs 20 years
Storm Drains 75 years
Traffic Signals 20 years
Water and Sewer Lines 40 years
Compensated Absences
The City adopted GASB Statement No. 101, Compensated Absences, for the year ended June 30, 2025. The implementation of this accounting standard did not have a material impact on the City's financial statements but did have an impact on the presentation of the financial statements and related disclosures in the notes to the financial statements.
- 29 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) D. Assets. Liabilities. Net Position or Equity ( continued) City employees accumulate earned but unused vacation and sick leave benefits in accordance with applicable City policies. In accordance with GASB Statement No.101, Compensated Absences, leave Is recognized when it is attributable to services already rendered, the leave accumulates and is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means.
Vacation leave is recorded when earned by employees and may not accumulate more than 320 hours after 15 years of service. Sick leave for these employees is accrued when earned and may not accumulate more than 1,472 hours. Compensatory time is accrued when earned and may not accumulate more than 160 hours. Management evaluates sick leave and compensatory time for other City employees to determine the amount that is more likely than not to be used for time off or otherwise paid in cash or settled through noncash means. This analysis includes assessing relevant factors such as historical information about the use, payment or forfeiture of compensated absences, and the City's policies related to compensated absences. The measurement of compensated absences Includes salary-related payments such as the employer portion of social security and Medicare taxes.
Pensions
For purposes of deferred outflows/inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City of Newman's California Public Employees' Retirement System (CalPERS) plans (Plans) and additions to/deductions from the Plans' fiduciary net position have been determined on the same basis as they are reported by CalPERS. For this purpose, benefit payments (including refunds of employee contributions) are recognized when they are due and payable in accordance with the benefit terms. Investments are reported to be of fair value.
Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position will report a separate section for deferred outflows of resources. This separate financial statement element, Deferred Outflows of Resources, represents a consumption of net position that applies to a future period and so will not be recognized as an expense or expenditure until then. The City has one item that meets this criterion - pension deferrals. In addition to liabilities, the statement of financial position will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, Deferred Inflows of Resources, represents an acquisition of net position that applies to a future period and so will not be recognized as revenue until then. The City has two items that meet the criteria for this category - leases, and pensions and deferrals.
Long-Term Obligations
In the government-wide financial statements, long-term debt and other long-term obligations are reported as liabilities in the statement of net position. Bond premiums and discounts are deferred and amortized over the life of the bonds using the straight-line method. Bonds payables are reported net of the applicable bond premium or discount. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period.
The face amount of debt issued is reported as other financing sources.
Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether withheld from the actual debt proceeds received, are reported as debt service expenditures.
Net Position and Fund Equity
In the government-wide financial statements, net position is reported in three categories: net investment in capital assets; restricted net position and unrestricted net position. Net investment in capital assets describes the portion of net position that is represented by the current book value of the City's capital assets, less the outstanding balance of any debt issued to finance these assets. - 30 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (concluded) D. Assets. Liabilities. Net Position or Equity ( concluded) Restricted net position represents net position restricted by parties outside the City (such as creditors, granters, contributors, laws and regulations of other governments) and include unspent proceeds of bonds issued to acquire or construct capital assets. All other net positions are considered unrestricted.
Unrestricted describes the portion of Net Position that is not restricted as to use.
Net Position Flow Assumption
Sometimes the government will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant proceeds) and unrestricted resources. To calculate the amounts to report as restricted - net position and unrestricted - net position in the government-wide financial statements, a flow assumption must be made about the order in which the resources are applied. It is the government's policy to consider restricted - net position to have been depleted before unrestricted - net position is applied.
In the fund financial statements, fund balance is reported in classifications that comprise a hierarchy based on the extent to which the City is bound to honor constraints on the specific purposes for which amounts in those funds can be spent. The classifications of fund balance are Non-spendable, Restricted, Committed, Assigned, and Unassigned. Non-spendable and Restricted fund balances represent the restricted classifications, and Committed, Assigned, and Unassigned represent the unrestricted classifications:
• Non-spendable fund balance includes amounts that cannot be spent because either 1) it is not in a spendable form, such as inventory, leases receivable more than deferred inflows of resources, prepaid items or 2) it is legally or contractually required to be maintained intact. • Restricted fund balance includes amounts that are constrained for specific purposes which are externally (outside the City) imposed by creditors, granters, contributors, laws and regulations of other governments, or laws through constitutional provisions or enabling legislation. • Committed fund balance includes amounts that are constrained for specified purposes that are internally imposed by the government through formal action of the highest level of decisionmaking authority and do not lapse at year-end. • Assigned fund balance represents limitations imposed by management. • Unassigned fund balance represents the residual net resources more than the other classifications. The General Fund is the only fund that can report a positive unassigned fund balance, and any governmental fund can report a negative unassigned fund balance.
Fund Balance Flow Assumption
When both restricted and unrestricted resources are available for specific expenditures, restricted resources are considered spent before unrestricted resources, unless there are legal documents/ contracts that prohibit doing this, such as a grant agreement requiring dollar for dollar spending. Within unrestricted resources, committed and assigned are considered spent (if available) before unassigned amounts.
Restricted Governmental Fund Balances
Of the $17,908,566 restricted for governmental activities, $5,831,041 is restricted for housing and community development, $11,328,251 for facilities and infrastructure, and $749,274 for safety and other purposes.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. - 31 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 2 - STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY
A. Budgetary Information
The City Council is required to adopt an annual budget resolution by July 1 of each fiscal year for the general fund, and special revenue, capital projects, debt service, and enterprise funds. These budgets are adopted and presented for reporting purposes on a basis consistent with generally accepted accounting principles. The appropriate budget is prepared by fund, function, and department. The legal level of budgetary control (i.e., the level at which expenditures may not legally exceed appropriations) is the department level. The Council made several supplemental budgetary appropriations throughout the year.
B. Stewardship and Accountability
For the year ended June 30, 2025, the following funds had a deficit fund balance:
State Grant Fund, Business License Surcharge Fund and County CDBG Consortium Fund, Lighting and Landscape Fund
The County CDBG Consortium Fund will be funded with future economic development funds. The Landscape and Lighting Fund will be funded from future assessments. The State Grant Fund normally has a deficit balance due to the requirement of having to spend funds prior to being reimbursed. The Business License Surcharge Fund will be funded with future revenues or transfers from the General Fund.
C. Elimination of lnterfund Activity
During operations, the City has activity between funds for various purposes. Any residual balances outstanding at year end is reported as due from/to other funds and advances to/from other funds.
While these balances are reported in fund financial statements, certain eliminations are made in the preparation of the government-wide financial statements. Balances between the funds included in governmental activities (i.e., the governmental funds and internal service funds) are eliminated so that only the net amount is included as internal balances in the governmental activities' column. Similarly, balances between the funds included in business-type activities (i.e., the enterprise funds) are eliminated so that only the net amount is included as internal balances in the business-type activities column.
Further, certain activity occurs during the year involving transfers of resources between funds. In fund financial statements these amounts are reported as gross amounts as transfers in/out. While reported in fund financial statements, certain eliminations are made in the preparation of the government-wide financial statements. Transfers between the funds included in governmental activities are eliminated so that only the net amount is included as transfers in the governmental activities' column. Similarly, balances between the funds included in business-type activities are eliminated so that only the net amount is included as internal balances in the business-type activities column.
NOTE 3 - DETAILED NOTES ON ALL FUNDS
A. Cash and Investments
Cash and investments as of June 30, 2025 are classified in the accompanying financial statements as follows:
Statement of net position:
Cash and investments
Successor agency (fiduciary funds)
Total cash and investments
- 32 -
$ 25,595,851
180,082
$ 25,775 933
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
A. Cash and Investments (continued)
Cash and investments as of June 30, 2025 consisted of the following:
Cash on hand
Deposits with financial institutions
Investments in LAIF
Total cash and investments
Cash and Investment Type
US Bank
UBS Financial Services
Central San Joaquin Valley RMA Pool
Local Agency Investment Fund
Total
Cash in banks and on hand
Level 1 Level2
$ $
981,754
$ $ 981 754
$ 1,300
23,870,575
1,904,058
$ 25 775 933
Exempt
$ 205,590
42,299
8,717,095
1,904,058
$ 10 869 042
Total
$ 205,590
1,024,053
8,717,095
1,904,058
11,850,796
13,923,837
$25,774,633
Investment Maturities
Less than 1 to 3
Total 1 Year Years Rating
US Bank $ 207,590 $ 205,590 $ Not rated
UBS Financial Services (Government
Fixed Income Securities) 1,024,053 42,299 981,754 AAA
Central San Joaquin Valley RMA Pool 8,717,095 8,717,095 Not rated Local Agency Investment Fund 1,904,058 1,904,058 Not rated Total $ 11 850 796 $ 10 869 042 $ 981 754
Disclosures Relating to Interest Rate Risk
Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates.
Disclosures Relating to Credit Risk
Generally, credit risk is the risk that the issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. LAIF does not have a rating provided by a nationally recognized statistical rating organization.
Concentration of Credit Risk
The investment policy of the City contains no limitations on the amount that can be invested in any one issuer beyond that stipulated by the California Government Code.
Custodial Credit Risk
Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for deposits and investments is the risk that, in the event of the failure of the counterparty (e.g., broker-dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party.
The California Government Code requires California banks and savings and loan associations to secure an entity's deposits by pledging government securities with a value of 110% of an entity's deposits. California law also allows financial institutions to secure entity deposits by pledging first trust deed mortgage notes having a value of 150% of an entity's total deposits. - 33 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
A. Cash and Investments (concluded)
The entity's Treasurer may waive the collateral requirement for deposits which are fully insured up to $250,000 by the FDIC. The collateral for deposits in federal and state-chartered banks is held in safekeeping by an authorized agent of depository recognized by the State of California Department of Banking. The collateral for deposits with savings and loan associations is generally held in safekeeping by the Federal Home Loan Bank in San Francisco, California as an agent of depository.
These securities are physically held in an undivided pool for all California public agency depositors.
Investment in State Investment Pool
The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by the California Government Code under the oversight of the Treasurer of the State of California. The fair value of the City's investment in this pool is reported in the accompanying financial statements at amounts based upon the City's pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records maintained by LAIF, which are recorded on an amortized cost basis which approximates fair value. The fund requires notification of redemptions prior to 14 days to avoid penalties.
Central San Joaquin Valley RMA Pool
Central San Joaquin Valley RMA Pool fund is considered an external investment pool as defined by the GASB and as such are recorded at amortized cost which approximate fair value. These funds are not subject to fair value. The fund requires notification of redemptions prior to 14 days to avoid penalties.
The pool is under the oversight of the Central San Joaquin Valley Risk Management Authority (CSJVRMA). The CSJVRMA is governed by a Board of Directors and Executive Committee responsible for administration and operation of the CSJVRMA. The Executive Committee is comprised of elected officers who are elected by each region. The CSJVRMA is a Joint Powers Authority with a set of bylaws.
Fair Value Measurements
GASB Statement No. 72, Fair Value Measurements and Application, establishes a fair value hierarchy consisting of three broad levels: Level 1 inputs consist of quoted prices (unadjusted) for identical assets and liabilities in active markets that a government can access at the measurement date, Level 2 inputs consist of inputs other than quoted prices that are observable for an .asset or liability, either directly or indirectly, that can include quoted prices for similar assets or liabilities in active or inactive markets, or market-corroborated inputs, and Level 3 inputs have the lowest priority and consist of unobservable inputs for an asset or liability. The valuation method used for rental properties is the Leased Fee Market method, which is dependent on the income generated from the rental properties.
The City did not have investments subject to recurring fair value measurements as of June 30, 2025 except as noted previously.
Deferred Compensation Plan
The City offers its employees a deferred compensation plan created in accordance with Internal Revenue Code Section 457. The City deposits deferred compensation plan assets with the California Public Employees Retirement System (PERS). Federal legislation requires that the assets of such plans be held in trust for the exclusive benefit of the plan participants and their beneficiaries. PERS act as the trustee for the plan assets and the City is considered to have limited fiduciary responsibility for the plan assets. As such, the City does not report the deferred compensation plan assets on its financial statements.
- 34 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
B. Accounts Receivable
Receivables at June 30, 2025 for the City's individual major funds and non-major funds in the aggregate, including applicable allowances for uncollectible accounts, are as follows. All receivables are expected to be collected within one year.
Federal and Non-Major
General CDBG State Grants Governmental Total
Governmental Activities:
Accounts receivable $ 265,667 $ $ $ 558,341 $824,008
Taxes receivable 216,316 173,899 390,215
Intergovernmental 5,195 5,195
Loans 3,646,965 28,970 300,000 3,975,935
Leases 87 746 87 746
Total $ 569 729 $3,646 965 $ 34165 $ 1 Q32,24Q $5,283 Q99 Water Sewer Total
Business-Type Activities:
Utility Billing $ 3321121 $ 4421392 $ 7741513
Total $ 332 121 $ 442 392 $ 774 513
The City is the recipient of Community Development Block Grant and Home Program Funds. The Funds are provided for housing and business loans to qualified recipients at various below market interest rates ranging from O to 4%. The terms of the loans range between fifteen and thirty-eight years. All loans are secured by deeds of trust. The amount outstanding as of June 30, 2025 is $3,646,965 and consists of $1,566,51 O leant to 31 individuals for repair of their homes, and loans to three apartment complexes for low to moderate income housing in the amount of $2,080,455. Repayment of the loans to individuals is due upon sale of the property. The apartment complex loans mature between 2039 and 2062. Revenue to pay off the loans to the apartment complexes comes from residual receipts from rental income. The loans are monitored under the CDBG regulations, and the properties are inspected for repairs on an annual basis as well as the residents' incomes verified for compliance with the program.
The loans receivable of $300,000 consist of a single loan to an apartment complex for low to moderate income housing. The apartment complex loan matures 2039. Revenue to pay off the loans to the apartment complex comes from residual receipts from rental income. The loans are monitored under the former Newman Redevelopment Agency regulations and the property is inspected for repairs on an annual basis as well as the residents' income verified for compliance with the program.
The loans receivable of $28,970 consists of a single loan from a local merchant that produces the local newspaper. The loan was made under the American Rescue Plan Act (ARPA) which was partially crafted to assist merchants suffering from the COVID-19 era. The merchant loan matures on December 1, 2025. Revenue to pay off the loan comes from newspaper revenues.
C. Leases Receivable
The City leases commercial office space in the City Hall building to local businesses. In January 2022, the City entered a lease with State Farm Insurance and another with CSG consultants to provide commercial office space. Both leases have a term of 5 years and expire on December 31, 2026. There is no renewal options included in these lease agreements. - 35 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
C. Leases Receivable (concluded)
Under the lease, State Farm pays the City $972 per month for sixty months. Rent is increased every 12 months on January 1st by the change in the consumer price index. Under the second lease CSG pays the City monthly as follows:
$2,581 January 1, 2023, through December 31, 2023
$2,633 January 1, 2024, through December 31, 2024
$2,686 January 1, 2025, through December 31, 2025
$2,740 January 1, 2026, through December 31, 2026
There is a third lease of office space at 1147 R Street that was entered into in August 2024 and started on August 1, 2024. The lease term ends on July 31, 2029. The rent is $500 a month.
The lease receivable is measured as the present value of the future minimum rent payments expected to be received during the lease term at a discount rate of 4%. The rate was determined using the risk free 52-week treasury bill rate.
In fiscal year 2025, the City recognized $61,301 of lease revenue and $2,485 of interest revenue under the leases. The expected future minimum lease payments to be received are as follows:
CSG Consultants State Farm
926 Fresno St. 1404 Main St. 1147 R Street Total Total
June 30, Princi~al Interest Princi~al Interest Princi~al Interest Princi~al Interest 2026 $ 31,965 $ 591 $ 11,190 $ 474 $ 5,192 $ 808 $ 48,347 $ 1,873 2027 16,259 189 5,766 66 5,404- 596 27,429 851
2028 5,624 376 5,624 376
2029 5,852 148 5,852 148
2030 494 1 494 1
Totals $ 48 224 $ 1 359 $ 27 705 $ 1 455 $ 22 566 s 1 929 $ 87 746 $ 3 249 Balance Balance
Lease Deferred Inflows Amortization 7/1/24 Additions Deletions 6/30/25 $ 96 260 $ 27 240 $ 44 676 $ 78 824
- 36 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
D. Capital Assets
Capital asset activity for the year ended June 30, 2025 was as follows:
Governmental-type Activities
Capital assets not being depreciated:
Land
Construction in progress
Total capital assets not being depr.:
Capital assets being depreciated:
Building and improvements
Infrastructure
Equipment and vehicles
Total capital assets being depreciated
Less accumulated depreciation for:
Building and improvements
Infrastructure
Equipment and vehicles
Total accumulated depreciation
Net capital assets being depreciated
Total net capital assetsGovernmental-type activities
Balance
7/1/24 Additions
$ 4,204,174 $
81673,544 2,506,674
12,877,718 2,506,674
11,416,029 4,903,154
7,369,571 1,041,479
4,083,492 119,612
221869,092 610641245
(6,263,771) (368,716)
(2,481 ,406) (178,936)
(3,184,374) (243,574)
(11,929,551) (7911226)
101939,541 51273,019
$ 23 817 259 $ 7 779 693
Deletions
$ - $
(4,159,884)
(4,159,884)
(181,220)
(181,220)
181,220
181,220
Balance
6/30/25
4,204,174
7,020,334
11,224,508
16,319,183
8,411,050
4,0211884
28,7521117
(6,632,487)
(2,660,342)
(3,246,728)
(12,539,557)
16,212,560
$ (4 159 884) $ 27,437 068
Depreciation was charged to functions/programs of the primary government as follows:
Government Activities:
Public Works ~ 791,226
Total Depreciation Expense - Government Activities $ 791 226 Balance Balance
Business-type Activities: 7/1/24 Additions Deletions 6/30/25 Capital assets not being depreciated:
Land $13,482,780 $ $ $13,482,780
Construction in progress 1,841,697 1021924 1,944,624
Total capital assets not being depr.: 15,324,477 1021924 15,427,401 Capital assets being depreciated:
Building and improvements 1,063,798 1,063,798
Infrastructure 20,328,061 20,328,061
Equipment and vehicles 1,769,131 54,667 (41,230) 1,782,568 Total capital assets being depreciatec 231160,990 54,667 (41,230) 23,174,427 Less accumulated depreciation for:
Building and improvements (539,888) (32,504) (572,392)
Infrastructure (6,174,647) (442,116) (6,616,763)
Equipment and vehicles (1,518,791) (104,428) (41,230) (1,581,989) Total accumulated depreciation (81233,326) (579,048) (41,230) ( 8 I 771 , 144) Net capital assets being depreciated 14,927,664 (524,381) 14,403,283 Total net capital assets -
Business-type activities $30252141 $ (421 457) $ $29 830 684 - 37 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (continued)
D. Capital Assets ( concluded)
Depreciation was charged to functions/programs of the primary government as follows:
Business-type Activities:
Water
Sewer
Total Depreciation Expense - Business-type Activities
E. Transfers
$
$
395,846
183202
579 048
lnterfund transfers for the year ended June 30, 2025 consisted of the following amounts:
General Fund
Sewer
Water
State Grants
Gas Tax
Cops Grant
Total
Transfer In
$ 642,842
2,280
237,408
$ 882 530
Transfer Out
$ 62,112
236,300
48,986
353,050
182,082
$ 882 530
Transfers into the General Fund consisted of $642,842 from the Gas Tax Fund to cover streets and roads costs, and $182,082 from the COPS Grant for Police Overtime and Communications costs. The State Grant fund received funds as a grant requirement of matching funds from the General Fund and Sewer Funds.
The composition of Due To/Due From was:
Receivable Pa~able
Local Transportation Fund $ 70,846 $
County CDBG Fund 67,114
General Fund 1,366,571
State Grants Fund 1,366,571
Park Facility Fee 382
COPS Grant Fund
Gas Tax Fund 382
Low Income Housing Fund 3 732
Total $ 1 437 799 $ 1 437 799
These interfund transactions were done to offset negative cash balances.
F. Long-Term Debt
Long-term debt consists of the following:
Business-Type Activities:
The $9,452,000 State Water Resources Control Board construction installment loan of 2018 represents financing for construction of wells for drinking water. The project began in September of 2019 and was completed in December 2023. This is an interest free loan. Annual payments of $236,300 start on June 30, 2024, and go through 2063.
- 38 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 3 - DETAILED NOTES ON ALL FUNDS (concluded)
F. Long-Term Debt (concluded)
The debt amortization schedule is as follows.
Year Ending June 30,
2026
2027
2028
2029-2033
2034-2038
2039-2043
2044-2048
2049-2053
2054-2058
2059-2063
Total
Principal
$ 236,300
236,300
236,300
1,181,500
1,181,500
1,181,500
1,181,500
1,181,500
1,181,500
1,181,500
$ 8 979 400
The following is a summary of changes in the City's long-term debt and other long-term liabilities during the year ended June 30, 2025:
Business-type Activities:
Well 1 O Construction Loan
Total
G. Compensated Absences
Beginning
Balance Additions Deductions
$9,215,700 =-$ ___ - $ 236,300
$9 215 700 $ - $ 236 300
Ending
Balance
$8,979,400
$8 979 400
Due Within
One year
$ 236,300
$ 236 300
It is the City's policy to permit employees to accumulate earned but unused vacation and sick leave benefits. All vacation and sick leave benefits are accrued as earned by employees. All vacation and sick leave pay is accrued when incurred in the government-wide financial statements. A liability for vacation and sick pay is reported in the governmental and proprietary funds. Compensated absences activity shown in the table below for governmental activities is presented on a net increase (decrease) basis as permitted by GASB Statement 101.The changes regarding the compensated absences were as follows:
Beginning balance
Additions
Deletions
Ending balance
NOTE 4 - OTHER INFORMATION
A. Risk Management
Governmental
Activities
$ 220,746
12,110
$ 232 856
Business-type
Activities Total
$ 96,405 $ 317,151
4,909 17,019
(1,968) (1,968)
$ 99 346 $ 332 202
The City of Newman participates with other public entities in a joint exercise of powers agreement, which establishes the Central San Joaquin Valley Risk Management Authority (CSJVRMA). The relationship between the City and CSJVRMA is such that CSJVRMA is not a component unit of the City for financial reporting purposes.
- 39 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (continued)
A Risk Management ( concluded)
The City is covered for the first $1,000,000 of each general liability claim and $250,000 of each workers' compensation claim through the CSJVRMA. The City has the right to receive dividends or the obligation to pay assessments based on a formula which, among other expenses, charges the City's account for liability losses under $10,000 and workers' compensation losses under $10,000.
The CSJVRMA participates in an excess pool which provides general liability coverage from $1,000,000 to $10,000,000. The CSJVRMA participates in an excess pool that provides workers' compensation coverage from $250,000 to $500,000 and purchases excess insurance above the $500,000 to the statutory limit. The CSJVRMA is a consortium of fifty-four (54) cities in San Joaquin Valley, California. It was established under the provisions of California Government Code Section 6500 et seq. The CSJVRMA is governed by a Board of Directors, which meets 3-4 times per year, consisting of one member appointed by each member city. The day-to-day business is handled by a management group employed by the CSJVRMA. There were no significant changes in coverage in fiscal year 2025 as regards to the ·aggregate limits on excess coverage.
Liabilities of the City are reported when it is probable that a loss has occurred, and the amount of the loss can be reasonably estimated. Liabilities include an amount for claims that have been incurred but not reported (IBNRs). The result of the process to estimate the claims liability is not an exact amount as it depends on many complex factors, such as inflation, changes in legal doctrines, and damage awards. Accordingly, claims are evaluated periodically to consider the effects of inflation, recent claim settlement trends (including frequency and amount of pay-outs), and other economic and social factors. There were no material uninsured claim liabilities at June 30, 2025.
At the termination of the joint powers agreement and after all claims have been settled, any excess deficit will be divided among the cities in accordance with its governing documents.
B. Commitments and Contingencies
The City is a party to various lawsuits. Although the outcome of these lawsuits is not presently determinable, it is the opinion of the City's counsel that resolution of these matters will not have a material adverse effect on the financial condition of the City.
C. Employee Retirement Systems and Plans
The City contributes to the California Public Employees' Retirement System (PERS), an agent multiple-employer public employee defined benefit pension plan. All qualified permanent and probationary employees are eligible to participate in the City's separate Safety (police and fire) and Miscellaneous (all other) Employee Pension Plans, cost-sharing multiple employers defined benefit pension plans administered by the California Public Employees' Retirement System (CalPERS).
Benefit provisions under the Plans are established by State statute and Local Government resolution.
Cal PERS issues publicly available reports that include a full description of the pension plans regarding benefit provisions, assumptions and membership information that can be found on the CalPERS website.
Benefits Provided - CalPERS provides service retirement and disability benefits, annual cost of living adjustments and death benefits to plan members, who must be public employees and beneficiaries.
Benefits are based on years of credited service, equal to one year of full-time employment. Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. All members are eligible for non-duty disability benefits after 1 O years of service. The death benefit is one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public Employees' Retirement Law.
-40 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (continued)
C. Employee Retirement Systems and Plans (continued)
The Plans' provisions and benefits in effect at June 30, 2025, are summarized as follows:
City Miscellaneous
Prior to December 1, On or after
December 1, 2010 to prior to January 1,
Hire date 2010 Janua~ 1, 2013 2013
Benefit formula 2.7%@55 2.0%@55 2.0%@60
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Retirement age 50-55 50-63 50-63
Monthly benefits, as a % of eligible compensation 2.00% -2.70% 1.426%-2.418% 1.092%-2.418% Required employee contribution rates 8.00% 7.00% 7.75%
Required employer contribution rates 15.28% 11.92% 7.93% City Safety
Prior to December 1, On or after
December 1, 201 O to prior to January 1,
Hire date 2010 Janua~ 1, 2013 2013
Benefit formula 3.0%@50 3.0%@55 2.7% @57
Benefit vesting schedule 5 years service 5 years service 5 years service Benefit payments monthly for life monthly for life monthly for life Retirement age 50 50-55 50-57
Monthly benefits, as a % of eligible compensation 3.00% 2.40% - 3.00% 2.00% -2.70% Required employee contribution rates 9.00% 9.00% 13.75% Required employer contribution rates 25.95% 23.09% 13.91% Contributions - Section 20814(c) of the California Public Employees' Retirement Law requires that the employer contribution rates for all public employees be determined on an annual basis by the actuary and shall be effective on the July 1 following notice of a change in the rate. Funding contributions for both Plans are determined annually on an actuarial basis as of June 30 by CalPERS. The actuarially determined rate is the estimated amount necessary to finance the costs of benefits earned by employees during that year, with an additional amount to finance any unfunded accrued liability. The City is required to contribute the difference between the actuarially determined rate and the contribution rate of employees.
In December 2010, the City of Newman added a second lower cost tier for future employees. Effective January 1, 2013, the Public Employees' Pension Reform Act (PEPRA) implemented new benefit formulas, final compensation period, and new contribution requirements for new employees hired on or after January 1, 2013, who meet the definition of new member as per PEPRA.
Participants on Tier 1 are required to contribute 8% (9% for public-safety employees); participants on Tier 2 are required to contribute 7% (9% for public-safety employees); and participants in Tier 3 are required to contribute 7. 75% (13. 78% for public safety employees) of their annual covered salary. The City makes no contributions on behalf of the employees portion. The contribution requirements of plan members and the City are established and may be amended by PERS. The City is required to contribute at an actuarially determined rate. The current rates are 15.280% for Tier 1, 11.920% for Tier 2 and 7.930% for PEPRA plan for non-safety employees, and 25.950% for Tier 1, 23.090% for Tier 2 and 13.910% for PEPRA plan of police and fire employees, of annual covered payroll. - 41 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (continued)
C. Employee Retirement Systems and Plans (continued)
For the year ended June 30, 2025, the contribution recognized as part of pension expense for each Plan was as follows:
Contributions - employer
Contributions - employee (paid by employer)
Lump sum contributions
Total
Miscellaneous
$ 264,212
292,399
$ 556 611
Safety
$ 282,704
$ 534 806
Pension Liabilities. Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions - As of June 30, 2025, the City reported net pension liabilities for its proportionate shares of the net pension liability of each Plan as follows:
Miscellaneous
Safety
Total Net Pension Liability
Proportionate
Share of Net
Pension Liability
$ 3,803,707
3,344.528
$ 7148,235
The City's net pension liability for each Plan is measured as the proportionate share of the net pension liability. The net pension liability of each of the Plans is measured as on June 30, 2024, and the total pension liability for each Plan used to calculate the net pension liability was determined by an actuarial valuation as of June 30, 2024 rolled forward to June 30, 2025 using standard update procedures. The City's proportion of the net pension liability was based on a projection of the City's long-term share of contributions to the pension plans relative to the projected contributions of all participating employers, actuarially determined.
The City's proportionate share of the net pension liability for each Plan as of June 30, 2024 and 2025 was as follows:
Proportion - June 30, 2024
Proportion - June 30, 2025
Change - lncrease/(Decrease)
Miscellaneous
0.03159%
0.03136%
-0.00023%
Safety
0.02726%
0.02758%
0.00032%
For the year ended June 30, 2025, the City recognized pension expense of $1,391,463.
Total
0.05885%
0.05894%
0.00009%
At June 30, 2025, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Changes of assumptions $ 180,165 $
Differences between expected and actual experience 601,808 (21,707) Differences between projected and actual investment earnings 380,634 Differences between employer's contributions and
proportionate share of contributions 102,415 (46,909)
Change in employer's proportion 26,974 (48,449)
Pension contributions made subsequent to measurement date 1 091 417 Total $ 2 383,413 $ (117065)
- 42 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (continued)
C. Employee Retirement Systems and Plans (continued)
$1,091,417 reported as deferred outflows of resources in relation to contributions after the measurement date will be recognized as a reduction of the net pension liability in the year ended June 30, 2026. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized as pension expense as follows:
Fiscal year Ending June 30 Miscellaneous Safety Total
2026 $ 115,449 $ 247,862 $ 403,311
2027 488,132 407,795 895,927
2028 (6,762) 12,807 6,045
2029 (75,040) (55,312) (130,352)
Thereafter
$ 561 779 $ 613 152 $ 1 174 931
Actuarial Assumptions - The June 30, 2024, valuation was rolled forward to determine the June 30, 2025, total pension liabilities based on the following actuarial methods and assumptions:
Valuation Date
Measurement Date
Actuarial Cost Method
Actuarial Assumptions:
Discount Rate
Inflation
Salary Increases
Mortality Rate Table
Post Retirement Benefit Increase
June 30, 2023
June 30, 2024
Entry-Age Normal Cost Method
6.9%
2.3%
Varies by Entry Age and Service
Derived using CalPERS membership data for all funds
Contract COLA up to 2.3% until Purchasing Power
Protection Allowance Floor on Purchasing Power applies
The mortality table used was developed based on CalPERS' specific data. The rates incorporate Generational Mortality to capture ongoing mortality improvement using 80% of Scale MP 2020 published by the Society of Actuaries. For more details, please refer to the 2021 experience study report that can be found on the CalPERS website.
Discount Rate - The discount rate used to measure the total pension liability was 6.90%. The projection of cash flows used to determine the discount rate assumed that contributions from plan members will be made at the current member contribution rates and that contributions from employers will be made at statutorily required rates, actuarially determined. Based on those assumptions, the Plan's fiduciary net position was projected to be available to make all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on plan investments was applied to all periods of projected benefit payments to determine the total pension liability.
Long-term Expected Rate of Return - The long-term expected rate of return on pension plan investments was determined using a building-block method in which expected future real rates of return (expected returns, net of pension plan investment expense and inflation) are developed for each major asset class.
In determining the long-term expected rate of return, CalPERS considered both short-term and longterm market return expectations as well as the expected pension fund (PERF) cash flows. Using historical returns of all funds' asset classes, expected compound (geometric) returns were calculated over the short-term (first 10 years) and the long-term (11 + years) using a building-block approach. -43 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (continued)
C. Employee Retirement Systems and Plans ( concluded)
Using the expected nominal returns for both short-term and long-term, the present value of benefits was calculated for each fund. The expected rate of return was set by calculating the rounded single equivalent expected return that arrived at the same present value of benefits of cash flows as the one calculated using both short-term and long-term returns. The expected rate of return was then set equivalent to the single equivalent rate calculated above and adjusted to account for assumed administrative expenses.
The expected real rates of return by asset class are as follows:
Asset Class Assumed Asset Allocation Real Return Years 1-1 O 1 •
2 Global equity - cap-weighted 30.00% 4.45%
Global equity - non-cap-weighted 12.00% 3.84%
Private Equity 13.00% 7.28%
Treasury 5.00% 0.27%
Mortgage-backed Securities 5.00% 0.50%
Investment Grade Corporates 10.00% 1.56%
High Yield 5.00% 2.27%
Emerging Market Debt 5.00% 2.48%
Private Debt 5.00% 3.57%
Real assets 15.00% 3.21%
Leverage -5.00% -0.59%
1. An expected inflation of 2.30% used for this period.
2. Figures are based on the 2021-22 Asset Liability Management study.
Sensitivity of the Proportionate Share of the Net Pension Liability to Changes in the Discount Rate - The following presents the City's proportionate share of the net pension liability for each Plan, calculated using the discount rate for each Plan, as well as what the City's proportionate share of the net pension liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1-percentage point higher than the current rate:
Employer's Net Pension Discount Rate - 1 % Current Rate Discount Rate + 1 % Liability/(Asset) 5.90% 6.90% 7.90%
Miscellaneous Plans $ 5,967,269 $ 3,803,707 $ 2,022,777 Safety Plans 513591771 313441528 116961343
Total $ 11 327,040 $ 7 148 235 $ 3,719 120
The expected average remaining service lifetime (EARSL) is calculated by dividing the total future service years by the total number of plan participants (active, inactive, and retired) in the Public Agency Cost-Sharing Multiple-Employer Plan (PERF C).
The EARSL for PERF C for the measurement period ending June 30, 2023, is 3.8 years, which was obtained by dividing the total service years of 630,177 (the sum of remaining service lifetimes of the active employees) by 166,163 (the total number of participants: active, inactive, and retired) in PERF C. Inactive employees and retirees have remaining service lifetimes equal to 0. Total future service is based on the members' probability of decrementing due to an event other than receiving a cash refund.
Pension Plan Fiduciary Net Position - Detailed information about each pension plan's fiduciary net . position is available in the separately issued CalPERS financial reports. -44 -
City of Newman
NOTES TO BASIC FINANCIAL STATEMENTS
June 30, 2025
NOTE 4 - OTHER INFORMATION (concluded)
D. Redevelopment Dissolution
Effective January 31 , 2012, all Redevelopment Agencies were dissolved. Certain assets of the former Redevelopment Agency Low- and Moderate-Income Housing Fund were distributed to a Housing Successor; and all remaining former Redevelopment Agency assets and !abilities were distributed to the Successor Agency.
ABx1 26 and AB 1484 directed the State Controller to review the activities of all former redevelopment agencies and successor agencies to determine whether an asset transfer between a former redevelopment agency and any public agency occurred on or after January 1, 2011. If an asset transfer did occur and the public agency that received the asset is not contractually committed to a third party for the expenditure or encumbrance of the asset, the legislation purports to require the State Controller to order the asset returned to the redevelopment agency.
The City, acting as the Successor Agency, prepared a Long-Range Property Management Plan (LRPMP) in compliance with AB 1484. On April 18, 2013, the Newman Redevelopment Successor Agency Oversight Board (NRSAOB) approved a LRPMP, which was submitted to the California Department of Finance (DOF). Following the submission of the LRPMP to the DOF the Successor Agency identified additional information, which necessitated revising the LRPMP. On September 20, 2013, the NRSAOB approved a revised LRPMP, which was submitted to the DOF.
On November 25, 2013, the Successor Agency received confirmation from the DOF that it had reviewed and approved the revised LRPMP. As of June 28, 2016, all real properties of the former Redevelopment Agency have been disposed of according to the LRPMP.
E. Long Term Debt
On December 2, 1997, the former Newman Redevelopment Agency (Agency) issued the $3,985,000 1997 Tax Allocation Project and Housing Bonds. The Agency continued to make payments on the bonds up to the time when the Agency was dissolved on February 1, 2012. On that date, the responsibility of making the payments on the bonds fell to the Newman Redevelopment Successor Agency, which has continued to make the payments without fail. The bonds mature on August 1, 2027.
Year Ending June 301 Princi~al Interest Total
2026 $ 165,000 $ 28,219 $ 1R~,?1R
2027 175,000 19,350 194,350
2028 1851000 9 944 194 944
Total $ 525 000 $ 57 513 $ 582 513
- 45 -
REQUIRED SUPPLEMENTAL INFORMATION
City of Newman
GENERAL FUND
STATEMENT OF REVENUES1 EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For The Year Ended June 30, 2025
(Unaudited)
2025
Variance
With Final
Budgeted Amounts Budget
Original Final Actual Over (Under)
REVENUES
Property tax $ 1,187,290 $ 1,187,290 $ 1,387,246 $ 199,956 Sales tax 740,000 740,000 735,894 (4,106)
Other tax and franchise fees 1,577,225 1,577,225 1,693,531 116,306 Licenses and permits 203,900 203,900 100,167 (103,733)
Fines and forfeitures 80,200 80,200 46,365 (33,835)
Investment earnings 224,000 224,000 213,071 {10,929)
Intergovernmental 132,848 132,848 155,771 22,923
Service charges and miscellaneous 2,382,182 2,382,182 2,588,412 206,230 Total revenues 6,527,645 6,527,645 6,920,457 392,812
EXPENDITURES
General government 1,277,011 1,277,011 904,141 372,870
Public safety 4,097,320 4,097,320 4,009,023 88,297
Public works 1,550,275 1,550,275 1,940,298 (390,023)
Planning and community development 200,416 200,416 164,470 35,946 Recreation and leisure 476,975 476,975 465,945 11,030
Total expenditures 7,601,997 7,601,997 7,483,877 118,120 Excess (deficiency) of revenues
over expenditures (1,074,352) (1,074,352) (563,420) 510,932
OTHER FINANCING SOURCES (USES)
Transfers in 511,221 511,221 642,842 131,621
Transfers out (90,000) (90,000) (62,112) 27,888
Total other financing sources and (usP.s) 421,221 421,221 580,730 159,509 Net change in fund balance $ {653,131) $ {653,131) 17,310 $ 670,441 Fund balance - beginning 3,894,144
Fund balance - ending $ 3,911,454
- 46 -
City of Newman
CDBG SPECIAL REVENUE FUND
STATEMENT OF REVENUES. EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For The Year Ended June 30, 2025
(Unaudited)
2025
Budgeted Amounts
Original Final Actual
REVENUES
Interest income $ 2,400 $ 2,400 $ 27,157
Intergovernmental 135,827 135,827
Total revenues 138,227 138,227 27,157
Expenditures
Public works 134,127 134,127 1
Total expenditures 134,127 134,127 1
Excess (deficiency) of revenues
over expenditures 4,100 4,100 27,156
Other financing sources (uses)
Transfers out {2,000) {2,000)
Total other financing sources (uses) {2,000) {2,000)
Net change in fund balances $ 2,100 $ 2,100 27,156
Fund balance - beginning 5,021,795
Fund balance - ending $ 5,048,951
-47 -
Variance
With Final
Budget
Over {Under}
$ 24,757
{135,827)
{111,070)
134,126
134,126
23,056
2,000
2,000
$ 25,056
City of Newman
STATE GRANTS SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For The Year Ended June 30, 2025
REVENUES
Intergovernmental
Total revenues
Expenditures
Public works
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses)
Transfers in
Transfers out
Total other financing sources (uses)
Net change in fund balances
Fund balance - beginning
Fund balance - ending
(Unaudited)
2025
Budgeted Amounts
Original Final Actual
$ 13,228,224 $16,743,408 $ 3,956,075
13,228,224 16,743,408 3,956,075
11,851,350 15,725,015 3,399,872
11,851,350 15,725,015 3,399,872
1,376,874 1,018,393 556,203
35,957 35,957
(48,986)
35,957 35,957 (48,986)
$ 1,412,831 $ 1,054,350 507,217
(1,941,651)
$ {1,434,434)
- 48 -
Variance
With Final
Budget
Over (Under)
$ (12,787,333)
(12,787,333)
12,325,143
12,325,143
(462,190)
(35,957)
(48,986)
(84,943)
$ {547,133)
REVENUES
Interest income
Intergovernmental
Total revenues
Expenditures
Public works
Total expenditures
City of Newman
FEDERAL GRANTS SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUAL
For The Year Ended June 30, 2025
(Unaudited)
2025
Budgeted Amounts
Original Final Actual
$ 11,000 $ 11,000 $ 19,239
3,060,964 3,060,964 60,049
3,071,964 3,071,964 79,288
3,761,212 3,761,212 1,089,147
3,761,212 3,761,212 1,089,147
Excess ( deficiency) of revenues
over expenditures $ (689,248) $ {689,248) (1,009,859)
Fund balance - beginning 1,095,673
Fund balance - ending $ 85,814
- 49 -
Variance
With Final
Budget
Over {Under)
$ 8,239
{3,000,915)
{2,992,676)
2,672,065
2,672,065
$ (320,611)
City of Newman
SCHEDULE OF THE LOCAL GOVERNMENT'S PROPORTIONATE
SHARE OF THE NET PENSION LIABILITY - MISCELLANEOUS
June 30, 2025
(Unaudited)
Measurement Date 2024 2023 2022 2021
P.roportion of the net pension liability 0.07864% 0.07889% 0.07939% 0.10445% Proportionate share of
the net pension liability $3,803,707 $ 3,'340, 719 $ 3,714,975 $1,983,241 Covered - employee payroll $2,105,872 $ 1,,393,581 $1,863,318 $2,765,014 Proportionate share of the
net pension liability as a percentage
of covered-employee payroll 180.62% 208.11% 199.37% 71.73% Plan fiduciary net position as a
percentage of the total pension liability 76.30% 73.50% 73.44% 84.29% Notes to Schedule:
Benefit Changes. In 2016, benefit terms were modified to base pu_blic safety employee pensions on a final three-year average salary instead of a final five-year average salary.
Change in assumptions. In 2016, amounts reported as changes in assumptions resulted primarily from adjustments to expected retirement ages of general empl~ees. - 50 -
Miscellaneous
Plan
2020 2019
0.07885% 0.06005%
$ 2,448,472 $2,404,703
$2,604,838 $2,371,510
94.00% 101.40%
77.71% 77.73%
2018 2017 2016 2015
0.060160% 0.062560% 0.084340% 0.086270%
$2,267,258 $3,115,753 $ 2,778,484 $2,366,853
$2,282,235 $ 2,076,731 $1,938,601 $1 ,122,557
99.34% 150.03% 143.32% 210.84%
77.69% 68.90% 68.70% 69.35%
City of Newman
SCHEDULE OF THE LOCAL GOVERNMENT'S PROPORTIONATE
SHARE OF THE NET PENSION LIABILITY - SAFETY
June 30, 2025
(Unaudited)
Safety
Plan
Measurement Date 2024 2023 2022 2021 2020 2019
Proportion of the net pension liability 0.04587% 0.04550% 0.04406% 0.03721% 0.03990% 0.05454% Proportionate share of
the net pension liability $3,344,528 $3,400,709 $3,027,614 $1,305,761 $3,866,830 $3,404,680 Covered - employee payroll $1,419,970 $ 1,231,744 $1 ,206,736 $1,954,526 $1 ,853,890 $2,153,908 Proportionate share of the
net pension liability as a percentage
of covered-employee payroll 235.54% 276.09% 250.89% 66.81% 208.58% 158.07% Plan fiduciary net position as a
percentage of the total pension liability 77.30% 75.30% 76.11% 88.85% 73.12% 73.37% Notes to Schedule:
Benefit Changes. In 2016, benefit terms were modified to base public safety employee pensions on a final three-year average salary instead of a final five-year average salary.
Change in assumptions. In 2016, amounts reported as changes in assumptions resulted primarily from adjustments to expected retirement ages of general employees. - 51 -
2018 2017 2016 2015
0.03983% 0.038830% 0.059250% 0.042670%
$2,337,046 $2,358,096 $2,103,904 $1,758,390
$1,510,994 $1 ,401,194 $1 ,306,524 $ 755,306
154.67% 168.29% 161.03% 232.80%
73.39% 71.28% 71 .13% 74.63%
Fiscal Year End
Contractually required contribution
(actuarially determined)
Contributions in relation to the
actuarially determined contributions
Contribution deficiency (excess)
Covered-employee payroll
during the fiscal year
Contributions as a percentage of
covered-employee payroll
2025 2024
$ 556,611 $ 484,023
{556,611) ~484,023)
$ $
City of Newman
SCHEDULE OF CONTRIBUTIONS
MISCELLANEOUS
June 30, 2025
(Unaudited)
Miscellaneous
Plan
2023 2022 2021 2020
$ 561,056 $ 528,587 $ 800,802 $ 711,504
{561,056) (528,587) (433,925) (381,246)
$ $ $ 366,877 $ 330,258
2019 2018 2017 2016
$ 491,150 $ 440,368 $ 262,197 $ 228,579
(340,723) (330,219) (316,315) (295,218)
$ 150,427 $ 110,149 $ (54,118) $ (66,639)
$ 2,294,652 $ 2,105,872 $ 1,893,581 $ 2,604,838 $ 2,371,510 $ 2,282,235 $ 2,076,731 $ 1,938,601 $ 1,122,557 $ 1,159,152
24.26% 22.98% 29.63% 20.29% 33.77% 31.18% 23.65% 22.72% 23.36% 19.72% - 52 -
Fiscal Year End
Contractually required contribution
(actuarially determined)
Contributions in relation to the
actuarially determined contributions
Contribution deficiency (excess)
Covered-employee payroll
during the fiscal year
Contributions as a percentage of
covered-employee payroll
2025 2024
$ 534,806 $ 467,883
{534,806) {467,883)
$ $
City of Newman
SCHEDULE OF CONTRIBUTIONS
SAFETY
June 30, 2025
(Unaudited)
Safety
Plan
2023 2022 2021
$ 423,431 $ 399,734 $ 727,323 $
{423,431) {399,734) {414,122)
$ $ $ 313,201 $
2020 2019 2018 2017 2016
471,064 $ 331,384 $ 296,797 $ 277,005 $256,981
{356,546) {322,541) {307,010) {291,806) {305,628)
114,518 $ 8,843 $ {10,213) $ {14,801) $ {48,647)
$1,467,344 $1,419,970 $1,231,744 $1,853,890 $2,153,908 $1,510,994 $1,401,194 $1,306,527 $ 755,306 $798,451
36.45% 32.95% 34.38% 21.56% 33.77% 31.18% 23.65% 22.72% 36.67% 32.18% - 53 -
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
City of Newman
COMBINING FINANCIAL STATEMENTS NON-MAJOR GOVERNMENTAL FUNDS
FUND DEFINITIONS
Special Revenue Funds
Program Miscellaneous Income - To account for miscellaneous income.
Park Facility Fee - to account for developer fees related to parks.
Abandoned Vehicle Fund - To account for money received by the Police Department for the disposal of abandoned vehicles.
Gas Tax - To account for state gas tax revenues collected based on population. The revenues may be expended for street and road repair, maintenance, design, construction and traffic signal design and installation.
Employee Home Loan Fund - To account for funds set aside for City of Newman employees home loan program.
Veterans Memorial Fund - Funds are collected from donations from developers and individuals to fund the construction of a Veterans Memorial on Hey 33 & Fresno (NW Corner).
COPS Grant Fund - To account for grant funds for police services.
Storm Drain Fund - to account for impact fees charged to developers to pay for facilities impacted by the development project.
Asset Forfeiture - To account for money received by the Police Department because of Asset Forfeiture. The funds are used to augment the SLENET Task Force which is currently run by the State Department of Justice.
Local Transportation - To account for Local Transportation Funds received from STANCOG as a pass thru of gas and sales tax funds to be used for improvements to transportation related areas.
County CDBG Fund - To account for various repayments received from the Stanislaus County. Refunds are for various public works and community development projects.
Measure L Fund - Funds are received from Stanislaus County Measure L (1/2 cent sales tax). Funding is to be used on "Streets and Roads", "Traffic Management", and "Bike and Pedestrian" improvements.
RMRA Fund - California State passed SB-1 in 2017 increasing gasoline excise tax, diesel tax, zero emission vehicle registration fees, and adding a transportation improvement fee. These funds are to be used on local streets and road maintenance and rehabilitation as well as traffic signals and drainage improvements.
CASP Certification & Training Fund - California State passed AB 1379 requiring cities to add $4.00 to each city Business License. Funds collected are to be distributed as follows: 10% is sent to the State Division of the State Architect, the remainder is to be spent by the City to train and certify a Certified Access Specialist (CASp).
Community Benefit Fund - Funds are collected from donations from developers and individuals. Funds can be used at the sole discretion of the City Council provided they are not used to subsidizing another residential project.
Business License Surcharge - To account for revenues generated by a portion of the business licenses collected.
Lighting and Landscaping District - To account for the money received from residents in certain districts who pay an assessment based on the benefit they receive. These funds are used to cover the costs of street lighting and landscape maintenance in their specific zones.
- 54 -
City of Newman
COMBINING FINANCIAL STATEMENTS NON-MAJOR GOVERNMENTAL FUNDS
FUND DEFINITIONS
Low Income Housing Fund - To account for low-income housing grants and related revenues.
Community Facilities District Fund - Funds are collected from tax assessments. Funds are used for repair and maintenance of the community facilities.
- 55 -
City of Newman
COMBINING BALANCE SHEETS
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2025
SQecial Revenue
Program Park Community
Income Facility Abandoned Gas Employee Veterans COPS Storm Facilities Asset Misc. Fee Vehicle Tax Home Loan Memorial Grant Drain District Forfeit Fund Fund Program Fund Fund Fund Fund Fund Fund Fund
Assets
Cash and investments $ 1,799 $1,531,066 $ 39,949 $ $ 230,553 $ 31,742 $ $ 399,785 $ 44,169 $ 2 Cash with fiscal agent
Accounts receivable 8,952 29,651 13,100
Loans receivable
Due from other funds 382
Total assets $ 1,799 $1,531,448 $ 48,901 $ 29,651 $ 243,653 $ 31,742 $ $ 399,785 $ 44,169 $ 2 Liabilities & fund balances
Liabilities
Accounts payable $ $ $ 9 $ $ $ $ $ $ $
Accrued expenses 24
Due to other funds 382
Other liabilities 110,546
Total liabilities 110,546 33 382
Fund balances
Restricted 1,799 1,420,902 48,868 29,269 243,653 31,742 399,785 44,169 2 Total fund balances 1,799 1,420,902 48,868 29,269 243,653 31,742 399,785 44,169 2 Total liabilities & fund balances $ 1,799 $1,531,448 $ 48,901 $ 29,651 $ 243,653 $ 31,742 $ $ 399,785 $ 44,169 $ 2 - 56 -
City of Newman
COMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS
June 30, 2025
Seecial Revenue
County CASP Business Lighting Total
Local CDBG Certification Community License Landscape Low Income Non-Major Transportation Consortium Measure L RMRA & Training Benefit Surcharge District Housing Special Fund Fund Fund Fund Fund Fund Fund Fund Fund Revenue Funds Assets
Cash & investments $ 704,511 $ $ 1,938,377 $ 1,257,143 $ 1,294 $ 308,079 $ 405 $ 12,781 $ $ 6,501,655 Cash with fiscal agent
Accounts receivable 132,998 59,419 2,298 485,822 732,240 Loans receivable 300,000 300,000
Due from other funds 70,846 71,228
Total assets $ 775,357 $ $ 2,071,375 $ 1,316,562 $ 1,294 $ 308,079 $ 405 $ 15,079 $ 785,822 $ 7,605,123 Liabilities and fund balances
Liabilities
Accounts payable $ 21 $ 2E-1 $ 32,958 $ 2,973 $ 1,246 $ $ 6,375 $ 28,284 $ $ 72,147 Accrued expenses 1,351 1,375
Due to other funds 67,1 14 3,732 71,228
Other liabilities 1,867 112,413
Total liabilities 21 67,395 32,958 2,973 1,246 8,242 29,635 3,732 257,163 Fund balances
Restricted 775,336 2,038,417 1,313,589 48 308,079 782,090 7,437,748 Unassigned (deficit) {67,395) {7,837) {14,556) {89,788) Total fund balances 775,336 {67,395) 2,038,417 1,313,589 48 308,079 {7,837) {14,556) 782,090 7,347,960 Total liabilities & fund balances $ 775,357 $ $ 2,071,375 $ 1,316,562 $ 1,294 $ 308,079 $ 405 $ 15,079 $ 785,822 $ 7,605,123 - 57 -
City of Newman
COMBINING STATEMENT OF REVENUES1 EXPENDITURES1
AND CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For the year ended June 30, 2025
S~ecial Revenue
Program Park Community
Income Facility Abandoned Gas Employee Veterans COPS Storm Facilities Asset Local Misc. Fee Vehicle Tax Home Loan Memorial Grant Drain District Forfeit Transportation Fund Fund Program Fund Fund Fund Fund Fund Fund Fund Fund Revenues
Investment earnings $ 36 $ 30,297 $ 860 $ 3,452 $ 4,765 $ 638 $ 2,311 $ 7,926 $ 383 $ $ 16,078 Intergovernmental 16,495 179,771 1,969
Property taxes
Other taxes 349,598 45,169
Impact fees 46,198 10,786
Service charges and miscellaneous
Total revenues 36 76,495 17,355 353,050 4,765 638 182,082 18,712 45,552 18,047 Expenditures
General government
Public safety 12,295
Public works 1,383 44,681
Community development
Culture and leisure
Debt service:
Principal
Interest & other charges
Total expenditures 12,295 1,383 44,681
Excess(deficiency) of revenues
over expenditures 36 76,495 5,060 353,050 4,765 638 182,082 18,712 44,169 {26,634) Other financing sources (uses)
Operating transfers in
Operating transfers out {353,050) (182,082)
Total other financing sources (uses) {353,050) (182,082) Net change in fund balances 36 76,495 5,060 4,765 638 18,712 44,169 (26,634) Fund balance - beginning 1,763 1,344,407 43,808 29,269 238,888 31,104 381,073 2 801,970 Fund balance - ending $ 1,799 $ 1,420,902 $ 48,868 $ 29,269 $ 243,653 $ 31,742 $ $ 399,785 $ 44,169 $ 2 $ 775,336 - 58 -
City of Newman
COMBINING STATEMENT OF REVENUES1 EXPENDITURES1
AND CHANGES IN FUND BALANCE
NONMAJOR GOVERNMENTAL FUNDS
For the year ended June 30, 2025
Seecial Revenue
Total
County CASP Business Lighting Non-Major
CDBG Certification Community License Landscape Low Income Special Consortium Measure L RMRA & Training Benefit Surcharge District Housing Revenue Fund Fund Fund Fund Fund Fund Fund Fund Funds
Revenues
Investment earnings $ $ 34,294 $ 21,880 $ 10 $ 6,035 $ $ 61 $ $ 129,026 Intergovernmental 329 490,237 337,184 1,025,985
Property taxes
Other taxes 415,498 810,265
Impact fees 56,984
Service charges and miscellaneous 12,432 15,308 27,740
Total revenues 329 524,531 359,064 10 18,467 15,308 415,559 2,050,000 Expenditures
General government
Public safety 12,295
Public works 53,185 54,344 17,446 1,336 487,051 659,426 Community development
Culture and leisure
Debt service
Principal
Interest & other charges
Total expenditures 53,185 54,344 17,446 1,336 487,051 671,721 Excess(deficiency) of revenues
Over expenditures (52,856) 470,187 341,618 10 18,467 13,972 (71,492) 1,378,279 Other financing sources (uses)
Operating transfers in
Operating transfers out (535,132)
Total other financing sources (uses) (535,132)
Net change in fund balances (52,856) 470,187 341,618 10 18,467 13,972 (71,492) 843,147 Fund balance - beginning (14,539) 1,568,230 971,971 38 289,612 (21,809) 56,936 782,090 6,504,813 Fund balance - ending $ (67,395) $2,038,417 $1,313,589 $ 48 $ 308,079 $ (7,837) $ (14,556) $ 782,090 $7,347,960 - 59 -
r'
O'CONNOR & COMPANY
~
INDEPENDENT AUDITOR'S REPORT ON
INTERNAL CONTROL OVER FINANCIAL
REPORTING AND ON COMPLINACE AND
OTHER MATTERS BASED ON AN AUDIT OF
THE FINANCIAL STATEMENTS PERFORMED
IN ACCORDANCE WITH GOVERNMENT
AUDITING STANDARDS
INDEPENDENT AUDITORS' REPORT
To the Honorable
Mayor and Members of the City Council
City of Newman
Newman, California
1701 NOVATO BLVD, SUITE 302
NOVATO, CA 94947
PH. (415) 457-1215
FAX. (415) 457-6735
www.maocpa.com
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the businesstype activities, each major fund, and the aggregate remaining fund information of the City of Newman, California, as of and for the year ended June 30, 2025, and the related notes to the financial statements, which collectively comprise City of Newman's basic financial statements, and have issued our report thereon dated November 26, 2025.
Report on Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered City of Newman's internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of City of Newman's internal control. Accordingly, we do not express an opinion on the effectiveness of City of Newman1s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of City of Newman's financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses or significant deficiencies may exist that have not been identified.
Report on Compliance and Other Matters
As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, including the requirements of the California Public Utilities Code Sections 6664-6667 regulations as it applies to Local Transportation Purpose Funds, noncompliance, which could have a direct and material effect on the financial statements. However, providing an opinion on compliance with such provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under the Government Auditing Standards, including the requirements of the California Public Utilities Code Sections 6664-6667 regulations as it applies to Local Transportation Purpose Funds. - 60 -
To the Honorable
Mayor and Members of the City Council
City of Newman - Page 2
Purpose of This Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City of Newman's internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering City of Newman's internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Novato, California
November 26, 2025
O'Connor and Company
- 61 -
Honorable Mayor and Members
of the Newman City Council
Agenda Item: 10. b.
City Council Meeting
of December 9, 2025
ADOPT RESOLUTION NO. 2025- , AWARDING THE ON CALL ENGINEERING SERVICES FOR
FEDERALLY FUNDED TRANSPORTATION PROJECTS CONTRACT TO GOUVEIA ENGINEERING,
INC AND AUTHORIZE THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH GOUVEIA ENGINEERING, INC.
RECOMMENDATION:
Adopt Resolution No. 2025- , awarding the On Call Engineering Services contract for Federally Funded Transportation Projects to Gouveia Engineering, Inc. and authorize the City Manager to enter into an agreement.
BACKGROUND:
The City of Newman is responsible for constructing transportation projects that are funded by the Federal Highways Administration (FHW A) and are administered through the California Department of Transportation (Cal trans). The funding is subject to Federal regulations. In order to comply with these regulations, certain services are contracted to qualified firms. FHW A allows for these types of engineering services to be offered on an on-call basis for a maximum term of five (5) years. Local agencies must go through an extensive Caltrans' review process to select a firm and award an on-call contract for Architectural and Engineering (A&E) services. The City must conduct a procurement process for A&E services in strict accordance with the Federal regulations. Firms must be both qualified and certified to participate on FHWA contracts.
ANALYSIS:
Following the required A&E procurement process, the City advertised and received sealed formal proposals for OnCall Engineering Services on October 16, 2025 at 4:00 pm. A total of one proposal was received. One proposal was responsive.
The most qualified firm has been determined to be Gouveia Engineering, Inc. As The City only received one submittal, a form 12-F was required to be submitted to Cal trans for review and approval. The form 12-F was approved.
Gouveia Engineering, Inc. is qualified and certified to provide these A&E services. The proposed term of the agreement would be for five years.
FISCAL IMPACT:
The cost for A&E services are reimbursable expenses funded by the Federal Highway Administration. The contract will not exceed $998,888.24 for the five years and depends fully on the amount of funding the city receives from FHWA for transportation projects.
CONCLUSION:
The City of Newman advertised and received a proposal for On-Call Engineering Services for FHWA projects.
Gouveia Engineering, Inc. has been determined to be the most qualified firm. Therefore, staff recommends City Council adopt Resolution No. 2025- , awarding the FHW A On-Call Engineering Services contract to Gouveia Engineering, Inc.
ATTACHMENTS:
1. Resolution No. 2025-, Awarding the FHWA On Call Engineering Services Contract to Gouveia Engineering, Inc. and Authoring the City Manager to Enter into An Agreement with Gouveia Engineering, Inc. '2. City Engineering Service Agreement with Gouveia Engineering, Inc.
3. Proposal for City Engineering Services dated September 1 7, 2025
4. Cost Proposal Exhibit 10-H2
5. A&E Noncompetitive Exhibit 12-F
R~?;:J;L
Thomas Spankowski
Director of Public Works
REVIEWED/CONCUR
Michael Holland
City Manager
RESOLUTION NO. 2025-
AWARDING THE FHWA ON CALL ENGINEERING SERVICES CONTRACT TO GOUVEIA
ENGINEERING, INC AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT WITH GOUVEIA ENGINEERING, INC.
WHEREAS, the City of Newman is responsible for constructing transportation projects that receive Federal funding: and
WHEREAS, these Federal funds are provided by the Federal Highways Administration (FHWA) and are administered by the California department of Transportation (Caltrans); and WHEREAS, the Federal funds are subject to Federal regulations and in order to comply, certain services including Engineering are contracted out to qualified firms; and WHEREAS, FHW A allows for these types of Engineering services to be offered on an on-call basis for a maximum tem1 of five (5) years; and
WHEREAS, local agencies must go through an extensive Caltrans' review process for selecting a firm and awarding an on-call contract for Architectural and Engineering (A&E) services; and
WHEREAS, the City must conduct a procurement process for A&E services in strict accordance with Federal regulations; and
WHEREAS, firms must be qualified and certified to paiticipate on FHWA contracts; and WHEREAS, the city is in need of a qualified consultant to conduct FHW A service for ongoing and future transportation projects funded strictly with Federal grants; and WHEREAS, the City advertised and received one sealed formal proposal for FHW A On-Call Engineering Services on October 16, 2025; and
WHEREAS, the proposal was evaluated by city staff, and the qualified firm has been determined to be Gouveia Engineering, Inc.; and
WHEREAS, City staff has followed the A&E procurement process and has received the required Caltrans approvals for awarding a contract to Gouveia Engineering, Inc.; and WHEREAS, the proposed contract would be for five years: and WHEREAS, the City Manager of the City of Newman has recommended that the City Council approve an agreement with Gouveia Engineering, Inc. for FHW A On-Call Engineering Services; and
WHEREAS, the City Council of the City of Newman has determined it would be in the best interest of the City to enter into an agreement with Gouveia Engineering, Inc.:
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Newman hereby approves the agreement with Gouveia Engineering, Inc. and authorizes the City Manager to execute said agreement for FHW A On-Call Engineering Services.
The foregoing resolution was introduced at a regular meeting of the City Council of the City of Newman held on the 9th, day of December, 2025 by Council Member __________ , who moved its adoption, which motion was duly seconded and it was upon roll call carried and the resolution adopted by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Mike Maier,
City Clerk of the City of Newman,
County of Stanislaus, State of California
APPROVED:
Casey Graham,
Mayor of the City of Newman,
County of Stanislaus, State of California
CONSUL TANT SERVICES CONTRACT
for the City of Newman
for On-Call Engineering Services for Federally Funded Transportation Projects
ARTICLE I INTRODUCTION
This AGREEMENT is between the following named, hereinafter referred to as, CONSULTANT and the following named, hereinafter referred to as, LOCAL AGENCY:
The name of the "CONSULT ANT" is as follows:
GOUVEIA ENGINEERING, INC.
Incorporated in the State of CALIFORNIA
The Project Manager for the "CONSULTANT" will be MARIO B. GOUVEIA.
The name of the "LOCAL AGENCY" is as follows:
CITY OF NEWMAN
The Contract Administrator for LOCAL AGENCY will be CITY MANAGER.
B. The work to be performed under this AGREEMENT is described in Article III Statement of Work and the approved CONSULTANT's Cost Proposal dated December 2, 2025. The approved CONSULTANT's Cost Proposal is attached hereto (ATTACHMENT 1) and incorporated by reference. If there is any conflict between the approved Cost Proposal and this AGREEMENT, this AGREEMENT shall take precedence.
C. CONSULTANT agrees to the fullest extent permitted by law, to indemnify, protect, defend, and hold harmless LOCAL AGENCY, its officers, officials, agents, employees and volunteers from and against any and all claims, damages, demands, liability, costs, losses and expenses, including without limitation, court costs and reasonable attorneys' and expert witness fees, arising out of any failure to comply with applicable law, any injury to or death of any person(s), damage to property, loss of use of property, economic loss or otherwise arising out of the performance of the work described herein, to the extent caused by a negligent act or negligent failure to act, errors, omissions, recklessness or willful misconduct incident to the performance of this AGREEMENT on the part of CONSULTANT, except such loss or damage which was caused by the sole negligence, or willful misconduct of LOCAL AGENCY, as determined by a Court of competent jurisdiction. The provisions of this section shall survive termination or suspension of this AGREEMENT.
D. CONSULTANT in the performance of this AGREEMENT, shall act in an independent capacity. It is understood and agreed that CONSULTANT (including CONSULTANT's employees) is an independent contractor and that no relationship of employer-employee exists between the Parties hereto. CONSULT ANT's assigned personnel shall not be entitled to any benefits payable to employees of City.
E. LOCAL AGENCY is not required to make any deductions or withholdings from the compensation payable to CONSULT ANT under the provisions of the AGREEMENT, and is not required to issue W-2 Forms for income and employment tax purposes for any of CONSULTANT's assigned personnel. CONSULTANT, in the performance of its obligation hereunder, is only subject to the control or direction of the LOCAL AGENCY as to the designation of tasks to be performed and the results to be accomplished.
F. Any third party person(s) employed by CONSULTANT shall be entirely and exclusively under the direction, supervision, and control of CONSUL TANT. CONSULT ANT hereby indemnifies and holds LOCAL AGENCY harmless from any and all claims that may be made against City based upon any contention by any third party that an employer-employee relationship exists by reason of this AGREEMENT.
G. Except as expressly authorized herein, CONSULT ANT's obligations under this AGREEMENT are not assignable or transferable, and CONSULT ANT shall not subcontract any work, without the prior written approval of the Local AGENCY. However, claims for money due or which become due to CONSULT ANT from City under this AGREEMENT may be assigned to a financial institution or to a trustee in bankruptcy, without such approval. Notice of any assignment or transfer whether voluntary or involuntary shall be furnished promptly to the LOCAL AGENCY.
H. CONSULT ANT shall be as fully responsible to the LOCAL AGENCY for the negligent acts and omissions of its contractors and subcontractors or subconsultants, and of persons either directly or indirectly employed by them, in the same manner as persons directly employed by CONSULTANT.
I. No alteration or variation of the terms of this AGREEMENT shall be valid, unless made in writing and signed by the parties authorized to bind the parties; and no oral understanding or agreement not incorporated herein, shall be binding on any of the parties hereto.
J. The consideration to be paid to CONSULT ANT as provided herein, shall be in compensation for all of CONSULT ANT' s expenses incurred in the performance hereof, including travel and per diem, unless otherwise expressly so provided.
ARTICLE II CONSULTANT'S REPORTS OR MEETINGS
A. CONSULT ANT shall submit progress reports on each specific project in accordance with the Task Order. These reports shall be submitted at least once a month. The report should be sufficiently detailed for LOCAL AGENCY' s Contract Administrator or Project Coordinator to determine, if CONSULT ANT is performing to expectations, or is on schedule; to provide communication of interim findings, and to sufficiently address any difficulties or special problems encountered, so remedies can be developed.
B. CONSULT ANT' s Project Manager shall meet with LOCAL AGENCY' s Contract Administrator or Project Coordinator, as needed, to discuss progress on the project(s).
ARTICLE III STATEMENT OF WORK
A. CONSULTANT Services
Consultant services shall be those as required and listed on the City of Newman's Request for Qualifications (ATTACHMENT 2) and Gouveia Engineering Statement of Qualifications for On-Call Engineering Services for Federally Funded Transportation Projects (ATTACHMENT 3 ), all attached hereto and incorporated by reference.
B. Right of Way
CONSULT ANT shall provide right of way services pursuant to Article III, Paragraph A.
C. Surveys
CONSULT ANT shall provide surveying services pursuant to Article III, Paragraph A.
D. Subsurface Investigations
Not applicable.
E. Local Agency Obligations
LOCAL AGENCY shall provide CONSULT ANT all available data applicable to the AGREEMENT and that it is necessary to complete the Consultant services.
F. Conferences, Site Visits, Inspection of Work
This AGREEMENT provides for conferences as needed, visits to the site, and inspection of the work by representatives of the LOCAL AGENCY, State, and/or FHW A. Costs incurred by CONSULT ANT for meetings, subsequent to the initial meeting shall be included in the fee.
G. Checking Shop Drawings
CONSULT ANT shall provide services for checking shop drawings pursuant to Article III, Paragraph A.
H. CONSULT ANT Services During Construction
CONSULT ANT shall provide construction services pursuant to Article III, Paragraph A.
I. Documentation and Schedules
AGREEMENTs where appropriate, shall provide that CONSULT ANT document the results of the work to the satisfaction of LOCAL AGENCY, and if applicable, the State and FHW A.
This may include preparation of progress and final reports, plans, specifications and estimates, or similar evidence of attainment of the AGREEMENT objectives.
J. Deliverables and Number of Copies
CONSULT ANT shall provide deliverables pursuant to Article III, Paragraph. Deliverables shall be provided in electronic format and hard copies.
ARTICLE IV PERFORMANCE PERIOD
A. This AGREEMENT shall go into effect on December 10, 2025 contingent upon approval by LOCAL AGENCY, and CONSULT ANT shall commence work after notification to proceed by LOCAL AGENCY'S Contract Administrator. The AGREEMENT shall end on December 10, 2030. The AGREEMENT shall not exceed a total of five (5) years.
B. CONSULT ANT is advised that any recommendation for AGREEMENT award is not binding on LOCAL AGENCY until the AGREEMENT is fully executed and approved by LOCAL AGENCY.
C. The period of performance for each specific project shall be in accordance with the Task Order for that project. If work on a Task Order is in progress on the expiration date of this AGREEMENT, the terms of the AGREEMENT shall be extended by AGREEMENT amendment prior to the expiration of the contract to cover the time needed to complete the task order in progress only. The maximum term shall not exceed five (5) years.
ARTICLE V ALLOWABLE COSTS AND PAYMENTS
A. CONSULT ANT will be reimbursed for hours worked at the hourly rates specified in the CONSULT ANT' s approved Cost Proposal (ATTACHMENT 1 ). The specified hourly rates shall include direct salary costs, employee benefits, prevailing wages, employer payments, overhead, and fee. These rates are subject to an annual adjustment for the performance period set forth in this AGREEMENT. CONSULT ANT will be reimbursed within thirty (30) days upon receipt by LOCAL AGENCY'S Contract Administrator of itemized invoices in duplicate.
B. In addition, CONSULTANT will be reimbursed for incurred (actual) direct costs other than salary costs that are in the approved Cost Proposal and identified in the approved Cost Proposal and in the executed Task Order.
C. Specific projects will be assigned to CONSULT ANT through issuance of Task Orders.
D. After a project to be performed under this AGREEMENT is identified by LOCAL AGENCY, LOCAL AGENCY will prepare a draft Task Order; less the cost estimate. A draft Task Order will identify the scope of services, expected results, project deliverables, period of performance, project schedule and will designate a LOCAL AGENCY Project Coordinator.
The draft Task Order will be delivered to CONSULTANT for review. CONSULTANT shall return the draft Task Order within ten (10) calendar days along with a Cost Estimate, including a written estimate of the number of hours and hourly rates per staff person, any anticipated reimbursable expenses, overhead, fee if any, and total dollar amount. After agreement has been reached on the negotiable items and total cost; the finalized Task Order shall be signed by both LOCAL AGENCY and CONSULTANT.
E. Task Orders will be paid using specific rates of compensation based on the labor and other rates set forth in CONSULT ANT' s approved Cost Proposal.
CONSULT ANT shall be responsible for any future adjustments to prevailing wage rates including, but not limited to, base hourly rates and employer payments as determined by the Department of Industrial Relations. CONSULT ANT is responsible for paying the appropriate rate, including escalations that take place during the term of the AGREEMENT.
F. Reimbursement for transportation and subsistence costs shall not exceed the rates as specified in the approved Cost Proposal. CONSULT ANT will be responsible for transportation and subsistence costs in excess of State rates.
G. When milestone cost estimates are included in the approved Cost Proposal, CONSULT ANT shall obtain prior written approval in the form of an AGREEMENT amendment for a revised milestone cost estimate from the Contract Administrator before exceeding such estimate.
H. Progress payments for each Task Order will be made monthly in arrears based on services provided and actual costs incurred.
I. CONSULT ANT shall not commence performance of work or services until this AGREEMENT has been approved by LOCAL AGENCY and notification to proceed has been issued by LOCAL AGENCY'S Contract Administrator. No payment will be made prior to approval or for any work performed prior to approval of this AGREEMENT.
J. A Task Order is ofno force or effect until returned to LOCAL AGENCY and signed by an authorized representative of LOCAL AGENCY. No expenditures are authorized on a project and work shall not commence until a Task Order for that project has been executed by LOCAL AGENCY.
K. CONSUL TANT will be reimbursed within thirty (30) days upon receipt by LOCAL AGENCY'S Contract Administrator of itemized invoices in duplicate. Separate invoices itemizing all costs are required for all work performed under each Task Order. Invoices shall be submitted no later than thirty (30) calendar days after the performance of work for which CONSUL TANT is billing, or upon completion of the Task Order. Invoices shall detail the work performed on each milestone, on each project as applicable. Invoices shall follow the format stipulated for the approved Cost Proposal and shall reference this AGREEMENT number, project title and Task Order number. Credits due LOCAL AGENCY that include any equipment purchased under the provisions of Article XI Equipment Purchase, must be reimbursed by CONSULTANT prior to the expiration or termination of this AGREEMENT.
Invoices shall be mailed to LOCAL AGENCY's Contract Administrator at the following address:
City of Newman
City Manager, Contract Administrator
P.O. Box 787 - 938 Fresno Street
Newman, CA 95360
L. The period of performance for Task Orders shall be in accordance with dates specified in the Task Order. No Task Order will be written which extends beyond the expiration date of this AGREEMENT.
M. The total amount payable by LOCAL AGENCY for an individual Task Order shall not exceed the amount agreed to in the Task Order, unless authorized by amendment.
N. If CONSULT ANT fails to satisfactorily complete a deliverable according to the schedule set forth in a Task Order, no payment will be made until the deliverable has been satisfactorily completed.
0. Task Orders may not be used to amend the language ( or the terms) of this AGREEMENT nor to exceed the scope of work under this AGREEMENT.
P. The total amount payable by LOCAL AGENCY for all Task Orders resulting from this AGREEMENT shall not exceed$ 990,000. It is understood and agreed that there is no guarantee, either expressed or implied that this dollar amount will be authorized under this AGREEMENT through Task Orders.
ARTICLE VI TERMINATION
A. This AGREEMENT may be terminated by LOCAL AGENCY, provided that LOCAL AGENCY gives not less than thirty (30) calendar days' written notice (delivered by certified mail, return receipt requested) of intent to terminate. Upon termination, LOCAL AGENCY shall be entitled to all work, including but not limited to, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and in accordance with Section 15, Property of LOCAL AGENCY.
B. LOCAL AGENCY may temporarily suspend this AGREEMENT, at no additional cost to LOCAL AGENCY, provided that CONSULTANT is given written notice (delivered by certified mail, return receipt requested) of temporary suspension. If LOCAL AGENCY gives such notice of temporary suspension, CONSULT ANT shall immediately suspend its activities under this AGREEMENT. A temporary suspension may be issued concurrent with the notice of termination provided for in subsection A of this section.
C. Notwithstanding any provisions of this AGREEMENT, CONSULTANT shall not be relieved of liability to LOCAL AGENCY for damages sustained by City by virtue of any breach of this AGREEMENT by CONSULTANT, and City may withhold any payments due to CONSUL TANT until such time as the exact amount of damages, if any, due City from CONSULT ANT is determined.
D. In the event of termination, CONSUL TANT shall be compensated as provided for in this AGREEMENT, except as provided in Section 11 C. Upon termination, LOCAL AGENCY shall be entitled to all work, including but not limited to, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and in accordance with Section 15, Property of LOCAL AGENCY.
ARTICLE VII COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS A. The CONSULT ANT agrees that 48 CFR Part 31, Contract Cost Principles and Procedures, shall be used to determine the allowability of individual terms of cost.
B. The CONSULT ANT also agrees to comply with Federal procedures in accordance with 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal A wards.
C. Any costs for which payment has been made to the CONSULT ANT that are determined by subsequent audit to be unallowable under 48 CFR Part 31 or 2 CFR Part 200 are subject to repayment by the CONSULT ANT to LOCAL AGENCY.
D. When a CONSULT ANT or Subconsultant is a Non-Profit Organization or an Institution of Higher Education, the Cost Principles for Title 2 CFR Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards shall apply.
ARTICLE VIII RETENTION OF RECORDS/AUDIT
For the purpose of determining compliance with Gov. Code § 8546.7, the CONSULTANT, Subconsultants, and LOCAL AGENCY shall maintain all books, documents, papers, accounting records, Independent CPA Audited Indirect Cost Rate workpapers, and other evidence pertaining to the performance of the AGREEMENT including, but not limited to, the costs of administering the AGREEMENT. All parties, including the CONSULTANT's Independent CPA, shall make such workpapers and materials available at their respective offices at all reasonable times during the AGREEMENT period and for three (3) years from the date of final payment under the AGREEMENT. LOCAL AGENCY, Caltrans Auditor, FHW A, or any duly authorized representative of the Federal government having jurisdiction under Federal laws or regulations (including the basis of Federal funding in whole or in part) shall have access to any books, records, and documents of the CONSUTANT, Subconsultants, and the CONSULTANT's Independent CPA, that are pertinent to the AGREEMENT for audits, examinations, workpaper review, excerpts, and transactions, and copies thereof shall be furnished if requested without limitation.
ARTICLE IX AUDIT REVIEW PROCEDURES
A. Any dispute concerning a question of fact arising under an interim or post audit of this AGREEMENT that is not disposed of by AGREEMENT, shall be reviewed by LOCAL AGENCY'S Chief Financial Officer.
B. Not later than thirty (30) calendar days after issuance of the final audit report, CONSULTANT may request a review by LOCAL AGENCY'S Chief Financial Officer of unresolved audit issues. The request for review will be submitted in writing.
C. Neither the pendency of a dispute nor its consideration by LOCAL AGENCY will excuse CONSULT ANT from full and timely performance, in accordance with the terms of this AGREEMENT.
D. CONSUL TANT and subconsultant AGREEMENTs, including cost proposals and Indirect Cost Rates (ICR), may be subject to audits or reviews such as, but not limited to, an AGREEMENT audit, an incurred cost audit, an ICR Audit, or a CPA ICR audit work paper review. If selected for audit or review, the AGREEMENT, cost proposal and ICR and related work papers, if applicable, will be reviewed to verify compliance with 48 CFR Part 31 and other related laws and regulations. In the instances of a CPA ICR audit work paper review it is CONSULTANT's responsibility to ensure federal, LOCAL AGENCY, or local government officials are allowed full access to the CPA' s work papers including making copies as necessary. The AGREEMENT, cost proposal, and ICR shall be adjusted by CONSULTANT and approved by LOCAL AGENCY Contract Administrator to conform to the audit or review recommendations. CONSUL TANT agrees that individual terms of costs identified in the audit report shall be incorporated into the AGREEMENT by this reference if directed by LOCAL AGENCY at its sole discretion. Refusal by CONSULT ANT to incorporate audit or review recommendations, or to ensure that the federal, LOCAL AGENCY or local governments have access to CPA work papers, will be considered a breach of AGREEMENT terms and cause for termination of the AGREEMENT and disallowance of prior reimbursed costs.
E. CONSULT ANT' s Cost Proposal may be subject to a CPA ICR Audit Work Paper Review and/or audit by Caltrans Audits and Investigation (A&I). Caltrans A&I, at its sole discretion, may review and/or audit and approve the CPA ICR documentation. The Cost Proposal shall be adjusted by the CONSULT ANT and approved by the LOCAL AGENCY Contract Administrator to conform to the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report. Refusal by the CONSUL TANT to incorporate the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report will be considered a breach of the AGREEMENT terms and cause for termination of the AGREEMENT and disallowance of prior reimbursed costs.
1. During Caltrans A&I's review of the ICR audit work papers created by the CONSULTANT's independent CPA, Caltrans A&I will work with the CPA and/or CONSUL TANT toward a resolution of issues that arise during the review. Each party agrees to use its best efforts to resolve any audit disputes in a timely manner. If Caltrans A&I identifies significant issues during the review and is unable to issue a cognizant approval letter, LOCAL AGENCY will reimburse the CONSUL TANT at an accepted ICR until a FAR (Federal Acquisition Regulation) compliant ICR { e.g. 48 CFR Part 31; GAGAS (Generally Accepted Auditing Standards); CAS (Cost Accounting Standards), if applicable; in accordance with procedures and guidelines of the American Association of State Highways and Transportation Officials (AASHTO) Audit Guide; and other applicable procedures and guidelines }is received and approved by A&I.
Accepted rates will be as follows:
a. If the proposed rate is less than one hundred fifty percent (150%) - the accepted rate reimbursed will be ninety percent (90%) of the proposed rate. b. If the proposed rate is between one hundred fifty percent (150%) and two hundred percent (200%) - the accepted rate will be eighty-five percent (85%) of the proposed rate. c. If the proposed rate is greater than two hundred percent (200%) - the accepted rate will be seventy-five percent (75%) of the proposed rate.
2. If Caltrans A&I is unable to issue a cognizant letter per paragraph E.1. above, Caltrans A&I may require CONSULT ANT to ~mhmit a revised independent CPA-audited ICR and audit report within three (3) months of the effective date of the management letter. Caltrans A&I will then have up to six ( 6) months to review the CONSULT ANT' s and/ or the independent CPA' s revisions.
3. If the CONSULT ANT fails to comply with the provisions of this paragraph E, or if Caltrans A&I is still unable to issue a cognizant approval letter after the revised independent CPA audited ICR is submitted, overhead cost reimbursement will be limited to the accepted ICR that was established upon initial rejection of the ICR and set forth in paragraph E.1. above for all rendered services. In this event, this accepted ICR will become the actual and final ICR for reimbursement purposes under this AGREEMENT.
4. CONSUL TANT may submit to LOCAL AGENCY final invoice only when all of the following items have occurred: (1) Caltrans A&I accepts or adjusts the original or revised independent CPA audited ICR; (2) all work under this AGREEMENT has been completed to the satisfaction of LOCAL AGENCY; and, (3) Caltrans A&I has issued its final ICR review letter. The CONSULT ANT MUST SUBMIT ITS FINAL INVOICE TO LOCAL AGENCY no later than sixty ( 60) calendar days after occurrence of the last of these items. The accepted ICR will apply to this AGREEMENT and all other agreements executed between LOCAL AGENCY and the CONSULT ANT, either as a prime or subconsultant, with the same fiscal period ICR.
ARTICLE X SUBCONTRACTING
A. Nothing contained in this AGREEMENT or otherwise, shall create any contractual relation between the LOCAL AGENCY and any Subconsultants, and no subagreement shall relieve the CONSUL TANT of its responsibilities and obligations hereunder. The CONSUL TANT agrees to be as fully responsible to the LOCAL AGENCY for the acts and omissions of its Subconsultants and of persons either directly or indirectly employed by any of them as it is for the acts and omissions of persons directly employed by the CONSULT ANT. The CONSULT ANT's obligation to pay its Subconsultants is an independent obligation from the LOCAL AGENCY's obligation to make payments to the CONSULT ANT.
B. The CONSULT ANT shall perform the work contemplated with resources available within its own organization and no portion of the work shall be subcontracted without written authorization by the LOCAL AGENCY Contract Administrator, except that which is expressly identified in the CONSULT ANT' s approved Cost Proposal.
C. Any subagreement entered into as a result of this AGREEMENT, shall contain all the provisions stipulated in this entire AGREEMENT to be applicable to Subconsultants unless otherwise noted.
D. CONSULT ANT shall pay its Subconsultants within Fifteen (15) calendar days from receipt of each payment made to the CONSULT ANT by the LOCAL AGENCY.
E. Any substitution of Subconsultants must be approved in writing by the LOCAL AGENCY Contract Administrator in advance of assigning work to a substitute Subconsultant.
ARTICLE XI EQUIPMENT PURCHASE AND OTHER CAPITAL EXPENDITURES A. Prior authorization in writing by LOCAL AGENCY' s Contract Administrator shall be required before CONSULT ANT enters into any unbudgeted purchase order, or subcontract exceeding five thousand dollars ($5,000) for supplies, equipment, or CONSULT ANT services.
CONSULT ANT shall provide an evaluation of the necessity or desirability of incurring such costs.
B. For purchase of any item, service, or consulting work not covered in CONSUL TANT's approved Cost Proposal and exceeding five thousand dollars ($5,000), with prior authorization by LOCAL AGENCY's Contract Administrator, three competitive quotations.must be submitted with the request, or the absence of bidding must be adequately justified.
C. Any equipment purchased with funds provided under the terms of this AGREEMENT is subject to the following:
1. CONSULT ANT shall maintain an inventory of all nonexpendable property. Nonexpendable property is defined as having a useful life of at least two years and an acquisition cost of five thousand dollars ($5,000) or more. If the purchased equipment needs replacement and is sold or traded in, LOCAL AGENCY shall receive a proper refund or credit at the conclusion of the AGREEMENT, or if the AGREEMENT is terminated, CONSULT ANT may either keep the equipment and credit LOCAL AGENCY in an amount equal to its fair market value, or sell such equipment at the best price obtainable at a public or private sale, in accordance with established LOCAL AGENCY procedures; and credit LOCAL AGENCY in an amount equal to the sales price. If CONSULT ANT elects to keep the equipment, fair market value shall be determined at CONSUL TANT's expense, on the basis of a competent independent appraisal of such equipment. Appraisals shall be obtained from an appraiser mutually agreeable to by LOCAL AGENCY and CONSULT ANT, if it is determined to sell the equipment, the terms and conditions of such sale must be approved in advance by LOCAL AGENCY.
2. Regulation 2 CFR Part 200 requires a credit to Federal funds when participating equipment with a fair market value greater than five thousand dollars ($5,000) is credited to the project.
3. Pursuant to the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal awards 2 CFR Part 200, participation for costs associated with equipment acquisition is subject to a) an approved indirect cost rate plan orb) on a project specific basis through an approved depreciation rate (amortized cost) analysis based on costs that are necessary, reasonable, and allocable to a specific Federal-aid project. Federal-aid funds will participate only in the portion of the amortized cost directly attributable to the time the equipment is used on a specific Federal-aid project. If multiple projects are involved, the amortized costs shall distributed equally to each project
ARTICLE XII STATE PREVAILING WAGE RATES
A. No CONSULT ANT or Subconsultant may be awarded an AGREEMENT containing public work elements unless registered with the Department of Industrial Relations (DIR) pursuant to Labor Code§ 1725.5. Registration with DIR must be maintained throughout the entire term of this AGREEMENT, including any subsequent amendments.
B. The CONSULT ANT shall comply with all of the applicable provisions of the California Labor Code requiring the payment of prevailing wages. The General Prevailing Wage Rate Determinations applicable to work under this AGREEMENT are available and on file with the Department of Transportation's Regional/District Labor Compliance Officer (https://dot.ca.gov/programs/construction/labor-compliance). These wage rates are made a specific part of this AGREEMENT by reference pursuant to Labor Code§ 1773.2 and will be applicable to work performed at a construction project site. Prevailing wages will be applicable to all inspection work performed at LOCAL AGENCY construction sites, at LOCAL AGENCY facilities and at off-site locations that are set up by the construction contractor or one of its subcontractors solely and specifically to serve LOCAL AGENCY projects. Prevailing wage requirements do not apply to inspection work performed at the facilities of vendors and commercial materials suppliers that provide goods and services to the general public.
C. General Prevailing Wage Rate Determinations applicable to this project may also be obtained from the Department of Industrial Relations Internet site at http://www.dir.ca.gov.
D. Payroll Records
1. Each CONSULT ANT and Subconsultant shall keep accurate certified payroll records and supporting documents as mandated by Labor Code § 1776 and as defined in 8 CCR § 16000 showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by the CONSULT ANT or Subconsultant in connection with the public work. Each payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following:
a. The information contained in the payroll record is true and correct. b. The employer has complied with the requirements of Labor Code § 1 771 , § 1811 , and § 1815 for any work performed by his or her employees on the public works project.
2. The payroll records enumerated under paragraph (1) above shall be certified as correct by the CONSULT ANT under penalty of perjury. The payroll records and all supporting documents shall be made available for inspection and copying by LOCAL AGENCY representative's at all reasonable hours at the principal office of the CONSULTANT. The CONSULT ANT shall provide copies of certified payrolls or permit inspection of its records as follows:
a. A certified copy of an employee's payroll record shall be made available for inspection or furnished to the employee or the employee's authorized representative on request. b. A certified copy of all payroll records enumerated in paragraph ( 1) above, shall be made available for inspection or furnished upon request to a representative of LOCAL AGENCY, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards of the Department oflndustrial Relations. Certified payrolls submitted to LOCAL AGENCY, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards shall not be altered or obliterated by the CONSULTANT.
c. The public shall not be given access to certified payroll records by the CONSUL TANT.
The CONSULT ANT is required to forward any requests for certified payrolls to the LOCAL AGENCY Contract Administrator by both email and regular mail on the business day following receipt of the request.
3. Each CONSULTANT shall submit a certified copy of the records enumerated in paragraph (1) above, to the entity that requested the records within ten (10) calendar days after receipt of a written request.
4. Any copy of records made available for inspection as copies and furnished upon request to the public or any public agency by LOCAL AGENCY shall be marked or obliterated in such a manner as to prevent disclosure of each individual's name, address, and social security number. The name and address of the CONSULT ANT or Subconsultant performing the work shall not be marked or obliterated.
5. The CONSULTANT shall inform LOCAL AGENCY of the location of the records enumerated under paragraph (1) above, including the street address, city and county, and shall, within five (5) working days, provide a notice of a change of location and address.
6. The CONSULT ANT or Subconsultant shall have ten (10) calendar days in which to comply subsequent to receipt of written notice requesting the records enumerated in paragraph (1) above. In the event the CONSULT ANT or Subconsultant fails to comply within the ten (10) day period, he or she shall, as a penalty to LOCAL AGENCY, forfeit one hundred dollars ($100) for each calendar day, or portion thereof, for each worker, until strict compliance is effectuated. Such penalties shall be withheld by LOCAL AGENCY from payments then due. CONSULT ANT is not subject to a penalty assessment pursuant to this section due to the failure of a Subconsultant to comply with this section.
E. When prevailing wage rates apply, the CONSULT ANT is responsible for verifying compliance with certified payroll requirements. Invoice payment will not be made until the invoice is approved by the LOCAL AGENCY Contract Administrator.
F. Penalty
1. The CONSULTANT and any of its Subconsultants shall comply with Labor Code §1774 and§ 1775. Pursuant to Labor Code§ 1775, the CONSULTANT and any Subconsultant shall forfeit to the LOCAL AGENCY a penalty of not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of DIR for the work or craft in which the worker is employed for any public work done under the AGREEMENT by the CONSULT ANT or by its Subconsultant in violation of the requirements of the Labor Code and in particular, Labor Code §§ 1770 to 1780, inclusive.
2. The amount of this forfeiture shall be determined by the Labor Commissioner and shall be based on consideration of mistake, inadvertence, or neglect of the CONSULT ANT or Subconsultant in failing to pay the correct rate of prevailing wages, or the previous record of the CONSULTANT or Subconsultant in meeting their respective prevailing wage obligations, or the willful failure by the CONSULT ANT or Subconsultant to pay the correct rates of prevailing wages. A mistake, inadvertence, or neglect in failing to pay the correct rates of prevailing wages is not excusable if the CONSULTANT or Subconsultant had knowledge of the ohligations under the Labor Code. The CONSULTANT is responsible for paying the appropriate rate, including any escalations that take place during the term of the AGREEMENT.
3. In addition to the penalty and pursuant to Labor Code§ 1775, the difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall be paid to each worker by the CONSULT ANT or Subconsultant.
4 . . If a worker employed by a Subconsultant on a public works project is not paid the general prevailing per diem wages by the Subconsultant, the prime CONSUL TANT of the project is not liable for the penalties described above unless the prime CONSULT ANT had knowledge of that failure of the Subconsultant to pay the specified prevailing rate of wages to those workers or unless the prime CONSULT ANT fails to comply with all of the following requirements:
a. The AGREEMENT executed between the CONSULT ANT and the Subconsultant for the performance of work on public works projects shall include a copy of the requirements in Labor Code§§ 1771, 1775, 1776, 1777.5, 1813, and 1815.
b. The CONSULT ANT shall monitor the payment of the specified general prevailing rate of per diem wages by the Subconsultant to the employees by periodic review of the certified payroll records of the Subconsultant.
c. Upon becoming aware of the Subconsultant's failure to pay the specified prevailing rate of wages to the Subconsultant' s workers, the CONSULT ANT shall diligently take corrective action to halt or rectify the failure, including but not limited to, retaining sufficient funds due the Subconsultant for work performed on the public works project. d. Prior to making final payment to the Subconsultant for work performed on the public works project, the CONSUL TANT shall obtain an affidavit signed under penalty of perjury from the Subconsultant that the Subconsultant had paid the specified general prevailing rate of per diem wages to the Subconsultant's employees on the public works project and any amounts due pursuant to Labor Code §1813.
5. Pursuant to Labor Code § 1775, LOCAL AGENCY shall notify the CONSUL TANT on a public works project within fifteen (15) calendar days of receipt of a complaint that a Subconsultant has failed to pay workers the general prevailing rate of per diem wages.
6. If LOCAL AGENCY determines that employees of a Subconsultant were not paid the general prevailing rate of per diem wages and if LOCAL AGENCY did not retain sufficient money under the AGREEMENT to pay those employees the balance of wages owed under the general prevailing rate of per diem wages, the CONSULT ANT shall withhold an amount of moneys due the Subconsultant sufficient to pay those employees the general prevailing rate of per diem wages if requested by LOCAL AGENCY.
G. Hours of Labor
Eight (8) hours labor constitutes a legal day's work. The CONSULT ANT shall forfeit, as a penalty to the LOCAL AGENCY, twenty-five dollars ($25) for each worker employed in the execution of the AGREEMENT by the CONSULTANT or any of its Subconsultants 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 the Labor Code, and in particular §§1810 to 1815 thereof, inclusive, except that work performed by employees in excess of eight (8) hours per day, and forty ( 40) hours during any one week, shall be permitted upon compensation for all hours worked in excess of eight (8) hours per day and forty ( 40) hours in any week, at not less than one and one-half (1.5) times the basic rate of pay, as provided in § 1815.
H. Employment of Apprentices
1. Where either the prime AGREEMENT or the sub-agreement exceeds thirty thousand dollars ($30,000), the CONSULT ANT and any subconsultants under him or her shall comply with all applicable requirements of Labor Code§§ 1777.5, 1777.6 and 1777.7 in the employment of apprentices.
2. CONSULT ANTs and subconsultants are required to comply with all Labor Code requirements regarding the employment of apprentices, including mandatory ratios of journey level to apprentice workers. Prior to commencement of work, CONSULT ANT and subconsultants are advised to contact the DIR Division of Apprenticeship Standards website at https://www.dir.ca.gov/das/, for additional information regarding the employment of apprentices and for the specific journey-to- apprentice ratios for the AGREEMENT work. The CONSULT ANT is responsible for all subconsultants' compliance with these requirements.
Penalties are specified in Labor Code § 1777. 7.
ARTICLE XIII CONFLICT OF INTEREST
A. During the term of this AGREEMENT, the CONSULTANT shall disclose any financial, business, or other relationship with LOCAL AGENCY that may have an impact upon the outcome of this AGREEMENT or any ensuing LOCAL AGENCY construction project. The CONSULT ANT shall also list current clients who may have a financial interest in the outcome of this AGREEMENT or any ensuing LOCAL AGENCY construction project which will follow.
B. CONSUL TANT certifies that it has disclosed to LOCAL AGENCY any actual, apparent, or potential conflicts of interest that may exist relative to the services to be provided pursuant to this AGREEMENT. CONSULTANT agrees to advise LOCAL AGENCY of any actual, apparent or potential conflicts of interest that may develop subsequent to the date of execution of this AGREEMENT. CONSULTANT further agrees to complete any statements of economic interest if required by either LOCAL AGENCY ordinance or State law.
C. The CONSULT ANT hereby certifies that it does not now have nor shall it acquire any financial or business interest that would conflict with the performance of services under this AGREEMENT.
D. The CONSULT ANT hereby certifies that the CONSULT ANT or subconsultant and any firm affiliated with the CONSULT ANT or subconsultant that bids on any construction contract or on any Agreement to provide construction inspection for any construction project resulting from this AGREEMENT, has established necessary controls to ensure a conflict of interest does not exist.
An affiliated firm is one, which is subject to the control of the same persons, through joint ownership or otherwise.
ARTICLE XIV REBATES, KICKBACKS OR OTHER UNLAWFUL CONSIDERATION The CONSULT ANT warrants that this AGREEMENT was not obtained or secured through rebates, kickbacks or other unlawful consideration either promised or paid to any LOCAL AGENCY employee. For breach or violation of this warranty, LOCAL AGENCY shall have the right, in its discretion, to terminate this AGREEMENT without liability, to pay only for the value of the work actually performed, or to deduct from this AGREEMENT price or otherwise recover the full amount of such rebate, kickback or other unlawful consideration.
ARTICLE XV PROHIBITION OF EXPENDING LOCAL AGENCY, STATE, OR FEDERAL
FUNDS FOR LOBBYING
A. The CONSULT ANT certifies, to the best of his or her knowledge and belief, that:
1. No State, Federal, or LOCAL AGENCY appropriated funds have been paid or will be paid, by or on behalf of the CONSULT ANT, to any person for influencing or attempting to influence an officer or employee of any local, State, or Federal agency, a Member of the State Legislature or United States Congress, an officer or employee of the Legislature or Congress, or any employee of a Member of the Legislature or Congress in connection with the awarding or making of this AGREEMENT, or with the extension, continuation, renewal, amendment, or modification of this AGREEMENT.
2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this AGREEMENT, the CONSULTANT shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.
B. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by 31 U.S.C. § 1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than ten thousand dollars ($10,000) and not more than one hundred thousand dollars ($100,000) for each such failure.
C. The CONSULT ANT also agrees by signing this document that he or she shall require that the language of this certification be included in all lower tier subagreements, which exceed one hundred thousand dollars ($100,000), and that all such subrecipients shall certify and disclose accordingly.
ARTICLE XVI NON-DISCRIMINATION AND STATEMENT OF COMPLIANCE A. The CONSULT ANT' s signature affixed herein and dated shall constitute a certification under penalty of perjury under the laws of the State of California that the CONSUL TANT has, unless exempt, complied with the nondiscrimination program requirements of Gov. Code § 12990 and 2 CCR§ 8103.
B. During the performance of this AGREEMENT, CONSULT ANT and its subconsultants shall not deny the AGREEMENT'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 unlawfully discriminate, harass, or allow harassment 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. CONSULT ANT and subconsultants shall insure that the evaluation and treatment of their employees and applicants for employment are free from such discrimination and harassment.
C. CONSULT ANT and subconsultants shall comply with the provisions of the Fair Employment and Housing Act (Gov. Code§ 12990 et seq.), the applicable regulations promulgated there under (2 CCR §11000 et seq.), the provisions of Gov. Code §§11135-11139.5, and the regulations or standards adopted by LOCAL AGENCY to implement such article. The applicable regulations of the Fair Employment and Housing Commission implementing Gov.
Code §12990 (a-t), set forth 2 CCR §§8100-8504, are incorporated into this AGREEMENT by reference and made a part hereof as if set forth in full.
D. CONSUL TANT shall permit access by representatives of the Department of Fair Employment and Housing and the LOCAL AGENCY upon reasonable notice at any time during the normal business hours, but in no case less than twenty-four (24) hours' notice, to such of its books, records, accounts, and all other sources of information and its facilities as said Department or LOCAL AGENCY shall require to ascertain compliance with this clause.
E. CONSUL TANT and its subconsultants shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other Agreement.
F. CONSULTANT shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under this AGREEMENT.
G. The CONSULTANT, with regard to the work performed under this AGREEMENT, shall act in accordance with Title VI of the Civil Rights Act of 1964 (42 U.S.C. §2000d et seq.). Title VI provides that the recipients of federal assistance will implement and maintain a policy of nondiscrimination in which no person in the United States shall, on the basis of race, color, national origin, religion, sex, age, disability, be excluded from participation in, denied the benefits of or subject to discrimination under any program or activity by the recipients of federal assistance or their assignees and successors in interest.
H. The CONSULT ANT shall comply with regulations relative to non-discrimination in federallyassisted programs of the U.S. Department of Transportation (49 CFR Part 21 - Effectuation of Title VI of the Civil Rights Act of 1964 ). Specifically, the CONSUL TANT shall not participate either directly or indirectly in the discrimination prohibited by 49 CFR §21.5, including employment practices and the selection and retention of Subconsultants.
ARTICLE XVII DEBARMENT AND SUSPENSION CERTIFICATION
A. The CONSULT ANT' s signature affixed herein shall constitute a certification under penalty of perjury under the laws of the State of California, that the CONSUL TANT or any person associated therewith in the capacity of owner, partner, director, officer or manager:
1. Is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any federal agency;
2. Has not been suspended, debarred, voluntarily excluded, or determined ineligible by any federal agency within the past three (3) years;
3. Does not have a proposed debarment pending; and
4. Has not been indicted, convicted, or had a civil judgment rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past three (3) years.
B. Any exceptions to this certification must be disclosed to LOCAL AGENCY. Exceptions will not necessarily result in denial of recommendation for award, but will be considered in determining responsibility. Disclosures must indicate the party to whom the exceptions apply, the initiating agency, and the dates of agency action.
C. Exceptions to the Federal Government Excluded Parties List System maintained by the U.S.
General Services Administration are to be determined by FHW A.
ARTICLE XIX INSURANCE
A. Prior to commencement of the work described herein, CONSULT ANT shall furnish LOCAL AGENCY a Certificate of Insurance stating that there is general comprehensive liability insurance presently in effect for CONSULT ANT with a combined single limit (CSL) of not less than one million dollars ($1,000,000) per occurrence.
B. The Certificate of Insurance will provide:
1. That the insurer will not cancel the insured's coverage without thirty (30) calendar days prior written notice to LOCAL AGENCY.
2. That LOCAL AGENCY, its officers, agents, employees, and servants are included as additional insureds, but only insofar as the operations under this AGREEMENT are concerned.
3. That LOCAL AGENCY will not be responsible for any premiums or assessments on the policy.
C. CONSUL TANT agrees that the bodily injury liability insurance herein provided for, shall be in effect at all times during the term of this AGREEMENT. In the event said insurance coverage expires at any time or times during the term of this AGREEMENT, CONSULT ANT agrees to provide at least thirty (30) calendar days prior notice to said expiration date; and a new Certificate of Insurance evidencing insurance coverage as provided for herein, for not less than either the remainder of the term of the AGREEMENT, or for a period of not less than one (1) year. New Certificates of Insurance are subject to the approval of LOCAL AGENCY. In the event CONSULT ANT fails to keep in effect at all times insurance coverage as herein provided, LOCAL AGENCY may, in addition to any other remedies it may have, terminate this AGREEMENT upon occurrence of such event.
ARTICLE XX FUNDING REQUIREMENTS
A. It is mutually understood between the parties that this AGREEMENT may have been written before ascertaining the availability of funds or appropriation of funds, for the mutual benefit of both parties, in order to avoid program and fiscal delays that would occur if the AGREEMENT were executed after that determination was made.
B. This AGREEMENT is valid and enforceable only, if sufficient funds are made available to LOCAL AGENCY for the purpose of this AGREEMENT. In addition, this AGREEMENT is subject to any additional restrictions, limitations, conditions, or any statute enacted by the Congress, State Legislature, or LOCAL AGENCY governing board that may affect the provisions, terms, or funding of this AGREEMENT in any manner.
C. It is mutually agreed that if sufficient funds are not appropriated, this AGREEMENT may be amended to reflect any reduction in funds.
D. LOCAL AGENCY has the option to terminate the AGREEMENT pursuant to Article VI Termination, or by mutual agreement to amend the AGREEMENT to reflect any reduction of funds. ·
ARTICLE XXI CHANGE IN TERMS
A. This AGREEMENT may be amended or modified only by mutual written agreement of the parties.
B. CONSUL TANT shall only commence work covered by an amendment after the amendment is executed and notification to proceed has been provided by LOCAL AGENCY's Contract Administrator.
C. There shall be no change in CONSULT ANT' s Project Manager or members of the project team, as listed in the approved Cost Proposal, which is a part of this AGREEMENT without prior written approval by LOCAL AGENCY's Contract Administrator.
ARTICLE XXII CONTINGENT FEE
CONSULT ANT warrants, by execution of this AGREEMENT that no person or selling agency has been employed, or retained, to solicit or secure this AGREEMENT upon an agreement or understanding, for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees, or bona fide established commercial or selling agencies maintained by CONSULT ANT for the purpose of securing business. For breach or violation of this warranty, LOCAL AGENCY has the right to annul this AGREEMENT without liability; pay only for the value of the work actually performed, or in its discretion to deduct from the AGREEMENT price or consideration, or otherwise recover the full amount of such commission, percentage, brokerage, or contingent fee.
ARTICLE XXIII DISPUTES
Prior to either party commencing any legal action under this AGREEMENT, the parties agree to try in good faith, to settle any dispute amicably between them. If a dispute has not been settled after forty-five (45) days of good-faith negotiations and as may be otherwise provided herein, then either party may commence legal action against the other.
A. Any dispute, other than audit, concerning a question of fact arising under this AGREEMENT that is not disposed of by agreement shall be decided by a committee consisting of LOCAL AGENCY' s Contract Administrator and FINANCE DIRECTOR, who may consider written or verbal information submitted by CONSULTANT.
B. Not later than thirty (30) calendar days after completion of all deliverables necessary to complete the plans, specifications and estimate, CONSULT ANT may request review by LOCAL AGENCY Governing Board of unresolved claims or disputes, other than audit. The request for review will be submitted in writing.
C. Neither the pendency of a dispute, nor its consideration by the committee will excuse CONSULT ANT from full and timely performance in accordance with the terms of this AGREEMENT.
ARTICLE XXIV INSPECTION OF WORK
CONSULT ANT and any subconsultant shall permit LOCAL AGENCY, the State, and the FHW A if federal participating funds are used in this AGREEMENT; to review and inspect the project activities and files at all reasonable times during the performance period of this AGREEMENT.
ARTICLE XXV SAFETY
A. CONSULT ANT shall comply with OSHA regulations applicable to CONSULT ANT regarding necessary safety equipment or procedures. CONSULT ANT shall comply with safety instructions issued by LOCAL AGENCY Safety Officer and other LOCAL AGENCY representatives. CONSULT ANT personnel shall wear hard hats and safety vests at all times while working on the construction project site.
B. Pursuant to the authority contained in Vehicle Code §591, LOCAL AGENCY has determined that such areas are within the limits of the project and are open to public traffic.
CONSULTANT shall comply with all of the requirements set forth in Divisions 11, 12, 13, 14, and 15 of the Vehicle Code. CONSULT ANT shall take all reasonably necessary precautions for safe operation of its vehicles and the protection of the traveling public from injury and damage from such vehicles.
ARTICLE XXVI OWNERSHIP OF DATA
A. It is mutually agreed that all materials prepared by CONSULT ANT under this AGREEMENT shall become the property of City, and CONSULT ANT shall have no property right therein whatsoever. Immediately upon termination, City shall be entitled to, and CONSUL TANT shall deliver to City, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and other such materials as may have been prepared or accumulated to date by CONSULT ANT in performing this AGREEMENT which is not CONSULTANT's privileged information, as defined by law, or CONSULT ANT' s personnel information, along with all other property belonging exclusively to City which is in CONSULT ANT' s possession. Publication of the information derived from work performed or data obtained in connection with services rendered under this AGREEMENT must be approved in writing by City.
B. Additionally, it is agreed that the Parties intend this to be an AGREEMENT for services and each considers the products and results of the services to be rendered by CONSULT ANT hereunder to be work made for hire. CONSULT ANT acknowledges and agrees that the work (and all rights therein, including, without limitation, copyright) belongs to and shall be the sole and exclusive property of City without restriction or limitation upon its use or dissemination by City.
C. Nothing herein shall constitute or be construed to be any representation by CONSULTANT that the work product is suitable in any way for any other project except the one detailed in this Contract. Any reuse by City for another project or project location shall be at City's sole risk.
D. Applicable patent rights provisions regarding rights to inventions shall be included in the contracts as appropriate ( 48 CFR 27 Subpart 27.3 - Patent Rights under Government Contracts for federal-aid contracts).
E. LOCAL AGENCY may permit copyrighting reports or other agreement products. If copyrights are permitted; the AGREEMENT shall provide that the FHWA shall have the royalty-free nonexclusive and irrevocable right to reproduce, publish, or otherwise use; and to authorize others to use, the work for government purposes.
ARTICLE XXVII CLAIMS FILED BY CITY's CONSTRUCTION CONTRACTOR A. If claims are filed by LOCAL AGENCY's construction contractor relating to work performed by CONSULT ANT' s personnel, and additional information or assistance from CONSULT ANT' s personnel is required in order to evaluate or defend against such claims; CONSULT ANT agrees to make its personnel available for consultation with LOCAL AGENCY'S construction contract administration and legal staff and for testimony, if necessary, at depositions and at trial or arbitration proceedings.
B. CONSULT ANT' s personnel that LOCAL AGENCY considers essential to assist in defending against construction contractor claims will be made available on reasonable notice from LOCAL AGENCY. Consultation or testimony will be reimbursed at the same rates, including travel costs that are being paid for CONSULT ANT' s personnel services under this AGREEMENT.
C. Services of CONSULT ANT' s personnel in connection with LOCAL AGENCY' s construction contractor claims will be performed pursuant to a written contract amendment, if necessary, extending the termination date of this AGREEMENT in order to resolve the construction claims.
ARTICLE XXVIII CONFIDENTIALITY OF DATA
A. All financial, statistical, personal, technical, or other data and information relative to LOCAL AGENCY's operations, which are designated confidential by LOCAL AGENCY and made available to CONSULT ANT in order to carry out this AGREEMENT, shall be protected by CONSULT ANT from unauthorized use and disclosure.
B. Permission to disclose information on one occasion, or public hearing held by LOCAL AGENCY relating to the AGREEMENT, shall not authorize CONSULT ANT to further disclose such information, or disseminate the same on any other occasion.
C. CONSULT ANT shall not comment publicly to the press or any other media regarding the AGREEMENT or LOCAL AGENCY's actions on the same, except to LOCAL AGENCY's staff, CONSULTANT's own personnel involved in the performance of this AGREEMENT, at public hearings, or in response to questions from a Legislative committee.
D. CONSUL TANT shall not issue any news release or public relations item of any nature, whatsoever, regarding work performed or to be performed under this AGREEMENT without prior review of the contents thereof by LOCAL AGENCY, and receipt of LOCAL AGENCY'S written permission.
E. All information related to the construction estimate is confidential, and shall not be disclosed by CONSULTANT to any entity, other than LOCAL AGENCY, Caltrans, and/or FHWA. All of the materials prepared or assembled by CONSULT ANT pursuant to performance of this Contract are confidential and CONSUL TANT agrees that they shall not be made available to any individual or organization without the prior written approval of City or except by court order. If CONSULT ANT or any of its officers, employees, or subcontractors does voluntarily provide information in violation of this Contract, City has the right to reimbursement and indemnity from CONSULT ANT for any damages caused by CONSULT ANT releasing the information, including, but not limited to, City's attorney's fees and disbursements, including without limitation experts' fees and disbursements.
ARTICLE XXIX NATIONAL LABOR RELATIONS BOARD CERTIFICATION In accordance with Public Contract Code ~ 10296, CONSULT ANT hereby states under penalty of perjury that no more than one final unappealable finding of contempt of court by a federal court has been issued against CONSULT ANT within the immediately preceding two-year period, because of CONSULT ANT' s failure to comply with an order of a federal court that orders CONSULT ANT to comply with an order of the National Labor Relations Board.
ARTICLE XXX EVALUATION OF CONSUL TANT
CONSULTANT's performance will be evaluated by LOCAL AGENCY. A copy of the evaluation will be sent to CONSULT ANT for comments. The evaluation together with the comments shall be retained as part of the AGREEMENT record.
ARTICLE XXXI RETENTION OF FUNDS
A. No retainage will be withheld by LOCAL AGENCY from progress payments due the CONSULT ANT. Retainage by the CONSULT ANT or subconsultants is prohibited, and no retainage will be held by the CONSULT ANT from progress due subconsultants. Any violation of this provision shall subject the violating CONSULT ANT or subconsultants to the penalties, sanctions, and other remedies specified in Business and Professions Code §7108.5. This requirement shall not be construed to limit or impair any contractual, administrative, or judicial remedies, otherwise available to the CONSULT ANT or subconsultant in the event of a dispute involving late payment or nonpayment by the CONSULT ANT or deficient subconsultant performance, or noncompliance by a subconsultant.
ARTICLE XXXII NOTIFICATION
All notices hereunder and communications regarding interpretation of the terms of this AGREEMENT and changes thereto, shall be effected by the mailing thereof by registered or certified mail, return receipt requested, postage prepaid, and addressed as follows:
CONSULT ANT:
GOUVEIA ENGINEERING, INC.
MARIO B. GOUVEIA ------------, Project Manager
456 SIXTH STREET
GUSTINE, CA 95322
LOCAL AGENCY:
CITY OF NEWMAN
, Contract Administrator ------------ CITY MANAGER
P.O. BOX 787 - 938 FRESNO STREET
NEWMAN, CALIFORNIA 95360
ARTICLE XXXIII CONTRACT
The two parties to this AGREEMENT, who are the before named CONSULTANT and the before named LOCAL AGENCY, hereby agree that this AGREEMENT constitutes the entire AGREEMENT which is made and concluded in duplicate between the two parties. Both of these parties for and in consideration of the payments to be made, conditions mentioned, and work to be performed; each agree to diligently perform in accordance with the terms and conditions of this AGREEMENT as evidenced by the signatures below.
ATICLE XXXIV SIGNATURES
CITY OF NEWMAN: GOUVEIA ENGINEERING, INC.:
MICHAEL E. HOLLAND, CITY MANAGER MARIO B. GOUVEIA, PRESIDENT
CITY OF NEWMAN
REQUEST FOR QUALIFICATIONS
FOR
ON-CALL ENGINEERING SERVICES FOR FEDERALLY AND STATE
FUNDED TRANSPORTATION PROJECTS
Date Released: Septem her 17, 2025
City of Newman
938 Fresno Street
P.O. Box 787
Newman, CA 95360
PROPOSALS ARE DUE PRIOR TO 4:00 P.M., October 16, 2025
Table of Contents
REQUEST FOR QUALIFICATIONS.............................................................................................................. 1 PROJECT DESCRIPTION AND BACKGROUND......................................................................................... 3 SCOPE OF SERVICES ..................................................................................................................................... 3 PURPOSE OF WORK........................................................................................................................ 3 TASK ORDERS.................................................................................................................................. 5 GENERAL PERSONNEL REQUIREMENTS................................................................................... 5 DELIVERABLES ...... ................................. ..... ........................................... ........................................ 6 SCHEDULE ........................................................................................................................................ 7 METHOD OF PAYMENT........................................................................................................... ...... 7 MATERIALS TO BE PROVIDED BY CONSUL TANT........................ ........................................... 7 APPENDIX A- SUBMITTAL REQUIREMENTS .......................................................................................... A-1
1. INTRODUCTORY LETTER ...................................................................................................... A-1
2. CONSUL TANT INFORMATION, QUALIFICATIONS & EXPERIENCE.............................. A-1
3. ORGANIZATION AND APPROACH ........................................................................................ A-1
4. PAST EXPERIENCE ON MUNICIPAL PROJECTS ................................................................. A-2
5. CONFLICT OF INTEREST STATEMENT ................................................................................ A-2
6. CONTRACT AGREEMENT....................................................................................................... A-2
7. FEDERAL-AID PROVISIONS................................................................................................... A-2
8. COST PROPOSAL...................................................................................................................... A-3 APPENDIX B - PROPOSAL EVALUATION................................................................................................. B-1 EVALUATION PROCESS............................................................................................................................... B-1 EVALUATION CRITERIA .............................................................................................................................. B-1
1. COMPLETENESS OF RESPONSE.............................. .............................................................. B-2
2. QUALIFICATIONS .................................................................................................................... B-2
3. ORGANIZATION & APPROACH............................................................................................. B-2
4. PAST EXPERIENCE ON MUNICIPAL PROJECTS ................................................................. B-3
5. AVAILABLE RESOURCES/STAFFING................................................ ................................... B-3
6. CONFLICT OF INTEREST STATEMENT................................................................................ B-3
7. FAMILIARITY WITH STATE & FEDERAL PROCEDURES ................................................. B-3
8. REFERENCES................................................... .......................................................................... B-4
9. PRESENTATION BY TEAM ........ ·............................................................................................. B-4
10. Q & A RESPONSE TO PANEL QUESTIONS ........................................................................... B-4 APPENDIX C - SAMPLE AGREEMENT....................................................................................................... C-1 ARTICLE I INTRODUCTION ........................................................................................................... C-1 ARTICLE II CONSULTANT'S REPORTS OR MEETINGS .................... . . .... ..... ... C:-2 ARTICLE III STATEMENT OF WORK........................................................................................... C-2 ARTICLE IV PERFORMANCE PERIOD......................................................................................... C-3 AR TI CLE V ALLOW ABLE COSTS AND PAYMENTS ........ .. .. .. ................... .. . . .... .... ... ............... .. C-3 ARTICLE VI TERMINATION.......................................................................................................... C-5 ARTICLE VII COST PRINCIPLES & ADMINISTRATION REQUIREMENTS............................ C-5 ARTICLE VIII RETENTION OF RECORD/AUDITS ...................................................................... C-5 ARTICLE IX AUDIT REVIEW PROCEDURES .............................................................................. C-5 ARTICLE X SUBCONTRACTING ................................................................................................... C-7 ARTICLE XI EQUIPMENT PURCHASE & OTHER CAPITAL EXPENDITURES ...................... C-8 ARTICLE XII STATE PREVAILING WAGE RATES ..................................................................... C-8 ARTICLE XIII CONFLICT OF INTEREST...................................................................................... C-11 ARTICLE XIV REBATES, KICKBACKS OR OTHER UNLAWFUL CONSIDERATION ........... C-11
ARTICLE XV PROHIBITION OF EXPENDING LOCAL AGENCY, STATE, OR FEDERAL FUNDS FOR LOBBYING ................................................................................................................. C-12 ARTICLE XVI NON-DISCRIMINATION CLAUSE & STATEMENT OF COMPLIANCE.......... C-12 ARTICLE XVII DEBARMENT AND SUSPENSION CERTIFICATION .............. .. ....................... C-13 ARTICLE XVIII DISADVANTAGED BUSrNESS ENTER..0 RISES (DBE) PARflCIPATION . .. . . C 13 TABLE OF CONTENTS 1
ARTICLE XIX INSURANCE..................................................................................................... ....... C-19 ARTICLE XX FUNDING REQUIREMENTS ................................................................................... C-20 ARTICLE XXI CHANGE IN TERMS.... .............................. ........................................................... .. C-20 ARTICLE XXII CONTINGENT FEE................................................................................................ C-20 ARTICLE XXIII DISPUTES........................................................ ...................................................... C-20 ARTICLE XXIV INSPECTION OF WORK...................................................................................... C-21 ARTICLE XXV SAFETY.................................................................................................................. C-21 ARTICLE XXVI OWNERSHIP OF DATA ....................................................................................... C-21 ARTICLE XXVII CLAIMS FILED BY LOCAL AGENCY'S CONSTRUCTION CONTRACTOR C-21 ARTICLE XXVIII CONFIDENTIALITY OF DATA ........................................................................ C-22 ARTICLE XXIX NATIONAL LABOR RELATIONS BOARD CERTIFICATION........................ C-22 ARTICLE XXX EVALUATION OF CONSULTANT ...................................................................... C-22 ARTICLE XXXI PROMPT PAYMENT............................................................................................ C-22 ARTICLE XXXII TITLE VI ASSURANCES .................................................................................... C-23 ARTICLE XXXIII NOTIFICATION................................................................................................. C-26 ARTICLE XXXIV CONTRACT ........................................................................................................ C-27 ARTICLE XXXV SIGNATURES ...................................................................................................... C-27
APPENDIX D - REQUIRED LOCAL ASSISTANCE EXHIBITS
SAMPLE COST PROPOSAL............................................................................................................. D-1 CERTIFICATION OF INDIRECT COST AND FINANCIAL MANAGEMENT SYSTEM............ D-5 EXHIBIT 10 I NOTICE OF PR-OPOSERS DBE INFORMATIO1'L. ................................................ D 7 EXHIBIT 10 01 CONSULTANT DBE COMMITMENT................................................................. D 9 EXHIBIT 10 02 CONSULTANT CONTRACT DBE COMMITMENT .......... ........ ... ......... ............ D 10 EXHIBIT I 0-Q DISCLOSURE OF LOBBYING ACTIVITIES... ....................... .............................. D-11 EXHIBIT 15 H DBE INFOR..l\4ATIO1'l GOOD FAITH EFFORTS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . . . . . . D 12 TABLE OF CONTENTS 2
REQUEST FOR QUALIFICATIONS
ON-CALL ENGINEERING SERVICES FOR FEDERALLY FUNDED
TRANSPORTATION PROJECTS
The City of Newman (CITY) is seeking qualified consulting firms to provide on-call engineering services for State and Federally Funded Transportation Projects. The response to this solicitation will be in the form of a Statement of Qualifications.
The CITY intends to award a single contract for the requested services. Total amount payable to the Consultant shall not exceed $998,888.24 for a contract performance period not to exceed 5 years including any amendments.
All qualified firms interested in providing these services are invited to submit their Statement of Qualifications (SOQs). Interested firms shall submit a Letter of Interest to the CITY, attn: Thomas Spankowski, Director of Public Works, requesting a copy of the RFQ. An electronic copy of the RFQ will be provided to the email address listed in the Letter of Interest.
The Consultant's SOQs will be evaluated and ranked according to the criteria provided in Appendix B, "Proposal Evaluation," of this RFQ.
Addenda to this RFQ, if issued, will be sent to all prospective Consultants the CITY has specifically emailed a copy of the RFQ to and will be posted on the CITY website at:
http://cityofnewman.gov/
It shall be the Consultant's responsibility to contact the CITY to obtain any addenda that may be issued.
The Consultant's attention is directed to Appendix A, "Submittal Requirements." Submit three (3) hard copies and one (1) electronic copy in PDF format on a CD/DVD of the Consultant's SOQs. The hard copies and CD/DVD shall be received by the CITY prior to 4:00 P.M., October 16, 2025.
SOQs shall be submitted in a sealed package clearly marked "ON-CALL ENGINEERING SERVICES FOR FEDERALLY AND STATE FUNDED TRANSPORTATION PROJECTS" and addressed as follows:
Thomas Spankowski
Director of Public Works
City of Newman
938 Fresno Street
P.O. Box 787
Newman, CA 95360
Submittals received after the time and date specified above will be considered nonresponsive and will be returned to the Consultant.
Any proposals received prior to the time and date specified above may be withdrawn or modified by written request of the Consultant. To be considered, however, the modified submittal must be received prior to 4:00P.M., October 16, 2025.
Unsigned submittals or submittals signed by an individual not authorized to bind the prospective Consultant will be considered nonresponsive and rejected.
Upon review of submitted proposals, the Selection Committee will determine whether interviews are necessary to determine a Consultant selection. Interviews will be held with the top three ranked consultants.
On-Call Engineering Services for Federally Funded Transportation Projects Page 1 The CITY reserves the right to hold interviews or make a Consultant selection based solely on the Statement of Qualifications received.
This RFQ does not commit the CITY to award a contract, to pay any costs incurred in the preparation of a proposal for this request, or to procure or contract for services. The CITY reserves the right to accept or reject any or all SOQs received as a result of this request, to negotiate with any qualified Consultant, or to modify or cancel in part or in its entirety the RFQ if it is in the best interests of the CITY to do so. The CITY also reserves the right and intends to award only one contract resulting from this RFQ. Furthermore, a contract award may not be made based solely on price.
The prospective Consultant is advised that should this RFQ result in recommendation for award of a contract, the contract will not be in force until it is approved and fully executed by the CITY.
All products used or developed in the execution of any contract resulting from this RFQ will remain in the public domain at the completion of the contract.
The anticipated Consultant selection schedule is as follows:
SOQ review and evaluation: 10/20/25 - 10/24/25
Oral interviews: 10/27 /25 - 10/28/25
Consultant Ranking: 10/29/25 - 10/30/25
Cost Negotiation: 10/31/25 - 11/03/25
Contract Award: November 12, 2025
Any questions related to this RFQ shall be submitted in writing to the attention of Mr. Thomas Spankowski via email at [email protected]. Questions shall be submitted before 5:00 PM on October 9, 2025.
On-Call Engineering Services for Federally Funded Transportation Projects Page2
PROJECT DESCRIPTION AND BACKGROUND
The CITY will select a single prime consulting firm (Consultant) to provide on-call engineering services related to federal and state funded projects. The Consultant shall provide engineering design, land surveying, environmental services, construction management/ administration services and follow the CITY Standards along with all pertinent State, Federal and CITY rules and regulations.
The solicitation is not for specific projects, but for specific services. The services are to be rendered for the duration of the contract term. Task Orders will be issued for specific projects. The CITY does not guarantee a specific dollar amount or number of projects to be awarded under this contract.
SCOPE OF SERVICES
PURPOSE OF WORK
The CITY constructs several roadway and other transportation related projects every year that are state and federally funded. In order to comply with state and federal regulations and due to limited staffing and expertise, certain services are contracted out. The selected Consultant shall perform site investigations, cost estimating, preliminary engineering, civil engineering design, land surveying, construction management and other services as deemed necessary by the CITY for which the Consultant is qualified related to federal and state funded transportation projects. The Consultant shall only perform work that is assigned in an authorized Task Order. This Contract does not guarantee that a Task Order shall be issued. The Consultant may provide services to the CITY including, but not limited to, the following:
Specifically, the Consultant selected will be required to complete the following tasks:
1. Project Management - The Consultant shall be responsible for project management activities throughout the life of the contract and the scope of activities including but not limited to, coordinating and being responsible for scheduling meetings, managing the project schedule, preparing and distributing minutes, filed review, tracking action items for the CITY and Consultant sub-contractors, and preparing all submissions for the CITY to submit to Caltrans Local Assistance.
2. Preliminary Engineering Studies - Develop general project locations and design concepts and related activities neeJeJ to establish the parameters for final design such as Geometrics, Hydraulics, Geotechnical, Bridge, Landscape Architecture, Traffic Operations, Electrical, ITS Elements, etc.
3. Survey and Mapping- The Consultant shall be responsible for data collection, mapping and surveying necessary for preliminary engineering, design, cost estimates, right-of-way impacts, and the level of environmental clearance. The scope of comprehensive base mapping and surveying includes but is not limited to Control Surveys, Aerial Photogrammetry, Limited Design Level Topographic Surveys, Right-of-Way Retracement, and a Record of Survey.
4. Preliminary Environmental Studies - Complete the environmental review; including submitting the Cal trans Preliminary Environmental Study to complete the NEPA document. Consultant will assist the CITY in preparing the CEQA document as requested.
On-Call Engineering Services for Federally Funded Transportation Projects Page3
5. Utility Coordination- Submit improvement plans to utility companies in accordance with their requirements. Coordinate utility relocations, including relocation of the utility poles, as needed.
6. Right of Way Phase & Determination - Consultant shall prepare Request for Authorization to advance project to Right of Way Phase using procedures outlined in the Caltrans Local Assistance Procedures Manual. When authorized, Consultant shall review right-of-way records and establish additional right-of-way along the entire alignment, if necessary.
7. Design - Design the improvements and prepare the plans, specifications, and estimates in accordance with CITY and Caltrans Standards and AASHTO Geometric Design guidelines to achieve project objectives. Consultant shall examine and present project alternatives, as necessary, which complete project goals within construction budget. PS&E shall be submitted to the CITY at 60%, 90%, and final contract documents.
8. Coordination with Adjacent Properties - Coordinate with adjacent property to establish driveway locations and other modifications required in front of their property such as fence relocations, mailbox relocation, or tree removal.
9. Construction Phase Authorization - Consultant shall prepare Request for Authorization to advance project to Construction using procedures outlined in the Caltrans Local Assistance Procedures Manual.
10. Bid Process - Provide an electronic copy of the final approved plans and specifications, a copy of the final approved plans, and a hard copy of the final approved specifications. The electronic copy of the plans and specifications shall be provided as PDF files. Consultant will be responsible for making copies of contract documents and will distribute to plan rooms and contractors. Consultant shall respond to questions that arise during the bid phase and prepare addend urns which will be distributed by the Consultant as necessary.
11. Construction Management - Consultant shall provide construction management and construction observation services during construction. Construction management scope of activities including but not limited to, convene a pre-construction meeting with CITY, contractors, utility company representatives, etc., perform construction staking, construction observation during construction, daily field reports, prepare and maintain detailed documentation including photographs and/or video if warranted, convene construction progress meetings as required, review contractor pay requests, review proposed change orders, review and recommend final acceptance of project by CITY.
12. Grant Administration - Consultant shall prepare and submit Requests for Authorization (RF A) to Caltrans Local Assistance for the various phases of work including:
• Preliminary Engineering (PE)
• Right of Way (R/W)
• Utility Relocation (R W /UTIL)
• Construction (CON)
Consultant shall prepare and submit A ward Package and Final Report of Expenditures to Caltrans and shall assist the City on the preparation of Federal and State invoices.
On-Call Engineering Services for Federally Funded Transportation Projects Page4 These services shall be in accordance with Caltrans Standards, FHW A Standards, and the City's Standards.
TASK ORDERS
All work performed under this contract will require approval by the CITY Contract Administrator and issued through a Task Order. A task order shall be requested from the consultant to identify and refine the scope of services prior to the CITY issuing the task order. The task order shall identify and refine the scope of services for any specific project. The task order shall detail the tasks required for particular projects, schedule, DBE Commitment, and projected costs. The costs will be based on the specified rates of compensation in the contract. The Contract Administrator shall confer with the consultant to establish the maximum fee, including expenses, for the specific project and the completion date.
Pursuant to an authorized Task Order, the Consultant shall provide engineering services and all necessary personnel, material, transportation, lodging, instrumentation, and the specialized facilities and equipment necessary to satisfy all appropriate agencies and required to ensure compliance with all applicable Federal, State, and Local statutes, laws, codes, regulations, policies, procedures, ordinances, standards, specifications, performance standards, and guidelines, applicable to the Consultant's services and work product. The Consultant is responsible for supplying and providing all necessary equipment and protective clothing in accordance with CITY standards.
The potential projects may vary in scope and size, and may encompass any type of improvement for the transportation system including, but not limited to, roadway rehabilitation, widening and/or realignment of existing facilities, relocation of existing facilities, and construction of new facilities. The project location, project limits, purpose, expected results, project deliverables, period of performance, project schedule, and scope of work to be performed shall be described in each Task Order.
The Consultant shall only perform work that is assigned in an authorized Task Order and an award of a contract does not guarantee any Task Orders will be issued. Work shall not begin until the Task Order has been approved by the Contract Administrator.
The Consultant shall maintain a set of project files that shall be provided to the CITY upon request.
The Consultant shall have the ability to respond in a timely and cost-efficient manner to CITY requests.
GENERAL PERSONNEL REQUIREMENTS
The Consultant's personnel shr1II he capahle, competent, and experienced in performing the types of work in this Contract with minimal instruction. Personnel skill level should match the specific job classifications, as set forth herein or in the Consultant's Cost Proposal and task complexity. The Consultant's personnel shall be . knowledgeable about, and comply with, all applicable Federal, State, and Local laws and regulations.
The Consultant responsible person, shall be a qualified professional civil engineer experienced with design and administration of federal and state funded transportation projects and shall be currently employed by the Consultant or its Subconsultants at the time the deliverables are submitted to the CITY for consideration under the review and acceptance process.
The Consultant is required to submit a written request and obtain the CITY's Contract Administrator's prior written approval for any substitutions, additions, alterations, or modifications to the Consultant's originally proposed personnel and project organization, as depicted on the proposed Consultant's Organization Chart or the Consultant's cost proposals. The substitute personnel shall have the same job classification as set forth herein or in the Consultant's Cost Proposal not exceed the billing rate, and meet or exceed the qualifications and experience level of the previously assigned personnel, at no additional cost to the CITY.
The substitute personnel shall have significant experience in the work involving a similar transportation On-Call Engineering Services for Federally Funded Transportation Projects Page5 facility for at a minimum two (2) previous projects, unless otherwise approved by the CITY's Contract Administrator.
The Consultant Contract Manager shall be a Registered Professional Engineer licensed in the State of California in good standing with the California State Board for Professional Engineers, Land Surveyors, and Geologists at all times during the Contract period, to perform the tasks described in this Contract and in the Task Orders and shall have a documented minimum ten (10) years of demonstrated experience acceptable to CITY in management and delivery of federally funded transportation projects for local agencies.
In addition to other specified responsibilities, the Consultant Project Manager shall be responsible for all matters related to the Consultant's personnel, subconsultants, and Consultant's and Sub-Consultants' operations including, but not limited to, the following:
a.
b.
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d.
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1. J.
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0. DELIVERABLES
Ensuring that deliverables are clearly defined and that criteria are specific, measurable, attainable, realistic and time-bound.
Supervising, reviewing, monitoring, training, and directing the Consultant's and Sub-Consultants' personnel.
Assigning qualified personnel to complete the required Task Order work m coordination with the CITY Contract Administrator.
Administering personnel actions for Consultant personnel and ensurmg appropriate actions taken for Subconsultant personnel.
Maintaining and submitting organized project files for record tracking and auditing.
Developing, orgamzmg, facilitating, and attending scheduled coordination meetings, and preparation and distribution of meeting minutes.
Implementing and maintaining quality control procedures to manage conflicts, ensure product accuracy, and identify critical reviews and milestones.
Assuring that all applicable safety measures are in place.
Providing invoices in a timely manner and providing monthly Contract expenditures.
Reviewing invoices for accuracy and completion before billing to CITY.
Managing Subconsultants.
Managing overall budget for Contract and provide report to the CITY Contract Administrator.
Monitoring and maintaining required DBE involvement.
Ensuring compliance with the provisions in this Contract and all specific Task Order requirements.
Knowledge, experience, and familiarity with prevailing wage issues and requirements in State of California.
As agreed upon by the CITY and Consultant in a Task Order for each project.
On-Call Engineering Services for Federally Funded Transportation Projects Page6
SCHEDULE
As agreed upon by the CITY and Consultant in a Task Order for each project.
METHOD OF PAYMENT
Consultant shall be paid based on the Specific Rates of Compensation for this contract and for the amount as agreed upon by the CITY and Consultant in a Task Order for each project. Consultant shall submit requests for monthly progress payments.
MATERIALS TO BE PROVIDED BY THE CONSULTANT
Unless otherwise specified, the Consultant shall provide all materials to complete the required work in accordance with the delivery schedule and cost estimate outlined in each Task Order.
On-Call Engineering Services for Federally Funded Transportation Projects Page 7
APPENDIX A - SUBMITTAL REQUIREMENTS
These guidelines are provided for standardizing the preparation and submission of Statement of Qualifications (SOQ's) by all Consultants. The intent of these guidelines is to assist Consultants in preparation of their qualifications, to simplify the review process, and to help assure consistency in format and content.
SOQ's shall contain the following information in the order listed:
1. Introductory Letter
The introductory ( or transmittal) letter shall be addressed to:
Thomas Spankowski, Director of Public Works
City of Newman
938 Fresno Street
P.O. Box 787
Newman, CA 95360
The letter shall be on Consultant letterhead and include the Consultant's contact name, mailing address, telephone number, facsimile number, and email address. The letter will address the Consultant's understanding of the services being requested and any other pertinent information the Consultant believes should be included.
All addendums received must be acknowledged in the transmittal letter.
The letter shall be wet-signed in blue ink by the individual authorized to bind the Consultant to the proposal.
2. Consultant Information, Qualifications & Experience
The CITY will only consider submittals from Consultants that demonstrate they have successfully completed comparable contracts with different agencies for on-call engineering services. These contracts must illustrate the quality, type, and past performance of the project team. Submittals shall include a detailed description of a minimum of three (3) contracts which include the following information:
1. Contracting agency
2. Contracting agency Project Manager/Contact Person including name, address and phone
3. Contracting agency contact information
4. Contract amount
5. Funding source
6. Date of contract
7. Date of completion
8. Consultant Project Manager and contact information
Describe and list demonstrated experience on projects administered by Caltrans Local Assistance and funded by State and/or Federal funds
* Please Note: Firm must have previous experience administering State and Federal funding programs including but not limited to RSTP, CMAQ, HSIP, ATP, etc. Experience must relate to Caltrans Local Assistance projects occurring within the past three (3) years.
3. Organization and Approach
1. Describe the roles and organization of your proposed team for this on-call engineering services contract. Indicate the composition of subcontractors and number of project staff, facilities available and experience of your team as it relates to this contract. Provide an organizational chart.
2. Describe your project and management approach.
3. Describe the roles of key individuals on the team. Provide resumes and references for all key team members. Resumes shall show relevant experience, for projects under this contract, as well as the On-Call Engineering Services for Federally Funded Transportation Projects A-1 length of employment with the proposing Consultant. Key members, especially the Project Manager, shall have significant demonstrated experience with this type of contract, and should be committed to stay for the duration of the contract.
4. Demonstrate that the Consultant has adequate resources, including staff availability, to promptly respond to CITY requests throughout the contract duration and for the timely delivery of the CITY's Federal and State Funded transportation projects.
4. Past Experience on Municipal Projects
Include a description of past Municipal projects (minimum of five) in which your firm has been involved for comparable cities, including the following:
1. Project Description
2. Year of Completion
3. Relevant tasks and funding sources for this contract
4. Construction Cost ( or Consultant cost if not an infrastructure project)
5. City Contact
5. Conflict of Interest Statement
Throughout the term of the awarded contract, any person, firm or subsidiary thereof who may provide, has provided or is currently providing design engineering services and/or construction engineering services under a contractual relationship with a construction contractor(s) on any CITY project related to this solicitation.
Similar to the disclosures regarding contractors, all firms are also required to disclose throughout the term of the awarded contract, any design engineering services including claim services, lead project management services and construction engineering services provided to all other clients on any CITY project related to this solicitation.
In addition to the disclosures, the Consultant shall also provide possible mitigation efforts, if any, to eliminate or avoid any actual or perceived conflicts of interest.
The Consultant shall ensure that there is no conflict before providing services to any construction contractor on any of the CITY's projects related to this solicitation. The submitted documentation will be used for determining potential conflicts of interest. The CITY will use this documentation to determine whether the firm may provide the specified services under this contract.
If a Consultant discovers a conflict during the execution of an assigned task order, the Consultant must immediately notify the CITY Contract Administrator regarding the conflicts of interest. The CITY Contract Administrator may terminate the Task Order involving the contlict of interest and the CITY may obtain the conflicted services in any way allowed by law. Failure by the Consultant to notify the CITY Contract Administrator may be grounds for termination of the contract.
6. Contract Agreement
Indicate if the proposing Consultant has any issues or needed changes to the proposed contract agreement included as Appendix C.
The Consultant shall provide a brief statement affirming that the proposal terms shall remain in effect for ninety (90) days following the date SOQ submittals are due.
A contract WILL NOT be awarded to a consultant without an adequate financial management and accounting system as required by 49 CFR Part 18, 48 CFR Part 31 , and 2 CFR Part 200.
7. Federal-Aid Provisions
The proposing Consultant's services are federally funded, which necessitate compliance with Federal requirements. 8peeial atleAtioA is direeted to AppeAdh( D Loeal AssistaAee ProeedHres MaAHal fa(hibit (LAPM) 10 I, Notiee to Proposers DBE lAformatioA. The proposing Consultant shall complete and submit the On-Call Engineering Services for Federally Funded Transportation Projects A-2 following forms-with the proposal to be considered responsive. This +hese forms and instructions-is provided for the proposer in Appendix D.
• Loeal A.geRey Proposer DBE CommitmeRt (CoRsultaRt CoRtraets): (LA.PM 10 01). The CITY has established a DBE geal ef 14 % :fer this Ceetraet. • The CoHsultant shall provide Good Faith Efforts (fachibit 15 .H) if the DBE goal is Rot met or e~ceeeded. The LAPM 10 01 aRd 15 H are required for CoRsultaRt ORiy. • Disclosure of Lobbying Activities (LAPM 10-Q) - Required for Consultant only.
Upon award and through completion of the contract, the successful proposing Consultant will be required to follow applicable federal-aid requirements and shall complete and submit with the agreement the following forms at the time of award:
• Loeal A.geRey Proposer DBE lflformation (CoRsultant Contracts) (LAPM 10 02) Required for CoRsultaRt oRly.
• Certification of Indirect Costs and Financial Management System (INSPECTOR GENERAL FORM)- Required for Consultant and all subconsultants.
• Any other relevant forms required during the project.
Title VI of the Civil Rights Act of 1964: The Consultant agrees to comply with all the requirements imposed by Title VI of the Civil Rights Act of 1964 ( 49 USC 2000D) and the regulations of the U.S. Department of Transportation issued thereunder in 49 CFR Part 21 .
Equal Employment Opportunity: In connection with the performance of the contract, the Consultant shall not discriminate against any employee or applicant for employment because of race, color, age, creed, sex, 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.
Cost Principles, Financial Management and Accounting System Requirements: Contract Cost Principles and Procedures, 48 CFR, Federal Acquisitions Regulation Systems (FAR), Chapter 1, Part 31.000 et seq., shall be used to determine the cost allow ability of individual items. The overhead rate shall be established by an audit by a cognizant government agency or independent CPA firm.
All firms submitting SOQs (prime consultants, joint ventures and subconsultants) must have internal control systems in place that meet Federal requirements for accounting. These systems must comply with requirements of 48 CFR 31 , "Federal Acquisition Regulations, Contract Cost Principles and Procedures," 23 CFR 172, "Administration of Negotiated Contracts", and 49 CFR, Part 18, "Un[form Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments".
Consultant shall demonstrate familiarity of providing services for federally and state funded projects and has clear understanding of requirements/needs to facilitate the project through the City, Caltrans Local Assistance, and Local Assistance Procedures Manual.
8. Cost Proposal
In order to assure that the CITY is able to acquire professional services based on the criteria set forth in the Brooks Act and Government Code 4526, the SOQ shall include the Consultant's Specific Rates of Compensation for this contract. The Specific Rates of Compensation shall be provided on the attached Cost Proposal Form (Appendix D) and submitted in a separate sealed envelope from the SOQ. The Consultant's Specific Rates of Compensation are confidential and shall remain sealed. Upon completion of the Consultant selection process, only the cost proposal from the selected Consultant shall be opened. All other (unopened) cost proposals shall be returned in accordance with Appendix B.
The cost proposal envelop shall be clearly marked "COST PROPOSAL FOR CITY OF NEWMAN ON-CALL ENGINEERING SERVICES FOR FEDERALLY FUNDED TRANSPORTATION PROJECTS".
On-Call Engineering Services for Federally Funded Transportation Projects A-3 The Consultant shall state on the Introductory Letter that the Cost Proposal is being provided on the Cost Proposal Forms (see Appendix D).
On-Call Engineering Services for Federally Funded Transportation Projects A-4
APPENDIX B - PROPOSAL EVALUATION
Evaluation Process
All submittals will be evaluated by the CITY Selection Committee. The Committee may be composed of CITY staff and other parties that may have expertise or experience in the services described herein. The Committee will review the submittals and will rank the proposers. The evaluation of the proposals shall be within the sole judgment and discretion of the Committee. All contacts during the evaluation phase shall be through the CITY Contract Administrator/Project Manager only. Proposers shall neither contact nor lobby evaluators during the evaluation process. Attempts by Proposer to contact members of the Committee may jeopardize the integrity of the evaluation and selection process and risk possible disqualification of Proposer.
The Committee will evaluate each submittal meeting the qualification requirements set forth in this RFQ.
Proposers should bear in mind that any submittal that is unrealistic in terms of the technical or schedule commitments may be deemed reflective of an inherent lack of technical competence or indicative of a failure to comprehend the complexity and risk of the CITY's requirements as set forth in this RFQ.
The selection process may include oral interviews. The consultant will be notified of the time and place of oral interviews and if any additional information that may be required to be submitted. Interviews would be held with the top three ranked candidates.
Upon completion of the evaluation and selection process, only the cost proposal from the most qualified consultant will be opened to determine eligibility for contract award and subsequent cost negotiations. All unopened cost proposals will be returned at the conclusion of the procurement process. Upon acceptance of a cost proposal and successful contract negotiations, staff will recommend a contract be awarded.
Evaluation Criteria
Proposals will be evaluated according to each Evaluation Criteria, and scored on a zero to five-point rating.
The scores for all Evaluation Criteria will then be multiplied according to their assigned weight to arrive at a weighted score for each proposal. A submittal with a high weighted total will be deemed of higher quality than a proposal with a lesser-weighted total. The final maximum score for the written Evaluation Criteria for any proposal is five hundred (500) points.
Rating Scale
0 Not Non-responsive, fails to meet RFQ specifications. The approach has no probability of Acceptable success. For mandatory requirement, this score will result in disqualification of submittal.
I Poor Below average, falls short of expectations, is substandard to that which is the average or expected norm, has a low probability of success in achieving project objectives per RFQ. 2 Fair Has a reasonable probability of success, however, some objectives may not be met.
Acceptable, achieves all objectives in a reasonable fashion per RFQ specification. This 3 Average will be the baseline score for each item with adjustments based on interpretation of submittal by Evaluation Committee members.
4 Above Very good probability of success, better than that which is average or expected as the Average/Good norm. Achieves all objectives per RFQ requirements and expectations.
Excellent/ Exceeds expectations, very innovative, clearly superior to that which is average or 5 Exceptional expected as the norm. Excellent probability of success and in achieving all objectives and meeting RFQ specification.
On-Call Engineering Services for Federally Funded Transportation Projects B-1 The evaluation Criteria Summary and their respective weights are as follows:
No. Written Evaluation Criteria Weight
1 Completeness of Response Pass/Fail
2 Qualifications & Experience 25
3 Organization & Approach 15
4 Past Experience on Municipal Projects 25
5 Available Resources/Staffing 10
6 Conflict of Interest Statement Pass/Fail
7 Familiarity with State & Federal Procedures 10
8 References 15
Subtotal: 100
Interview Evaluation Criteria
No.
(if necessary) Weight
9 Presentation by team 10
10 Qualifications & Experience 15
Subtotal: 25
Total: 125
(if interviews are necessary)
1. Completeness of Response (Pass/Fail)
a. Responses to this RFQ must be complete. Responses that do not include the proposal content requirements identitied within this RFQ and subseq uenl aJJt:uJa and do not address each of the items listed below will be considered incomplete, be rated a Fail in the Evaluation Criteria and will receive no further consideration. Responses that are rated a Fail and are not considered may be picked up at the delivery location within 14 calendar days of contract award and/or the completion of the competitive process.
2. Qualifications & Experience (25 points)
a. Relevant experience, specific qualifications, and technical expertise of the firm and subconsultants to conduct on-call engineering services on both federal and non-federal-aid projects.
3. Organization & Approach (15 points)
a. Describes familiarity of project and demonstrates understanding of work completed to date and project objectives moving forward
On-Call Engineering Services for Federally Funded Transportation Projects B-2 b. Roles and Organization of Proposed Team
1. Proposes adequate and appropriate disciplines of project team.
11. Some or all of team members have previously worked together on similar project(s).
111. Overall organization of the team is relevant to CITY needs. c. Project and Management Approach
1. Team is managed by an individual with appropriate experience in similar projects.
This person's time is appropriately committed to the project.
11. Team successfully addresses Site Planning and Programming efforts. 111. Project team and management approach responds to project issues. Team structure provides adequate capability to perform both volume and quality of needed work within project schedule milestones.
d. Roles of Key Individuals on the Team
1. Proposed team members, as demonstrated by enclosed resumes, have relevant experience for their role in the project.
11. Key positions required to execute the project team's responsibilities are appropriately staffed.
e. Working Relationship with CITY
1. Team and its leaders have experience working in the public sector and knowledge of public sector procurement process.
11. Team leadership understands the nature of public sector work and its decisionmaking process. 111. Proposal responds to need to assist CITY during the project.
4. Past Experience on Municipal Projects (25 points)
a. Consultant demonstrates experience with performance of services within comparable cities for projects similar in nature to those related to this solicitation. b. Consultant demonstrates successful completion of said projects. c. Consultant is familiar with city standards and procedures.
5. Available Resources/Staffing (10 points)
a. Consultant demonstrates that it has the adequate resources, including staff availability, to promptly respond to CITY requests throughout the contract duration and for the timely delivery of the CITY' s projects.
6. Conflict of Interest Statement (Pass/Fail)
a. Discloses any financial, business or other relationship with the CITY that may have an impact upon the outcome of the contract or the construction project. b. Lists current clients who may have a financial interest in the outcome of this contract or the construction project that will follow.
c. Discloses any financial interest or relationship with any construction company that might submit a bid on the construction project.
7. Familiarity with State and Federal Procedures (10 points) a. Demonstrates past experience administering State and Federal funding programs including but not limited to RSTP, CMAQ, HSIP, ATP, etc.
b. Demonstrates familiarity with the Federal Aid Program and Caltrans Local Assistance.
On-Call Engineering Services for Federally Funded Transportation Projects B-3
8. References (15 points)
a. Provide as reference the name of at least three (3) agencies you currently or have previously consulted for comparable contract for on-call engineering services.
9. Presentation by Team (if necessary) (10 points)
a. Team presentation conveying project understanding, communication skills, innovative ideas, critical issues and solutions.
10. Q & A Response to Panel Questions (if necessary) (15 points) a. Proposer provides responses to various interview panel questions.
On-Call Engineering Services for Federally Funded Transportation Projects B-4
APPENDIX C - SAMPLE AGREEMENT
CONSULTANT SERVICES CONTRACT
(For Local Assistance Federal-Aid Projects)
ARTICLE I INTRODUCTION
A. This AGREEMENT is between the following named, hereinafter referred to as, CONSUL TANT and the following named, hereinafter referred to as, LOCAL AGENCY:
The name of the "CONSULTANT" is as follows:
(NAME OF CONSULTANT}
Incorporated in the State of (NAME OF STATE)
The Project Manager for the "CONSUL TANT" will be (NAME) The name of the "LOCAL AGENCY" is as follows:
(NAME)
The Contract Administrator for LOCAL AGENCY will be (NAME) B. The work to be performed under this AGREEMENT is described in Article III Statement of Work and the approved CONS ULT ANT' s Cost Proposal dated (DA TE). The approved CONSULT ANT' s Cost Proposal is attached hereto (Attachment#) and incorporated by reference. If there is any conflict between the approved Cost Proposal and this AGREEMENT, this AGREEMENT shall take precedence.
C. CONSULT ANT agrees to the fullest extent permitted by law, to indemnify, protect, defend, and hold harmless LOCAL AGENCY, its officers, officials, agents, employees and volunteers from and against any and all claims, damages, demands, liability, costs, losses and expenses, including without limitation, court costs and reasonable attorneys' and expert witness fees, arising out of any failure to comply with applicable law, any injury to or death of any person(s), damage to property, loss of use of property, economic loss or otherwise arising out of the performance of the work described herein, to the extent caused by a negligent act or negligent failure to act, errors, omissions, recklessness or willful misconduct incident to the performance of this AGREEMENT on the part of CONSULTANT, except such loss or damage which was caused by the sole negligence, or willful misconduct of LOCAL AGENCY, as determined by a Court of competent jurisdiction. The provisions of this section shall survive termination or suspension of this AGREEMENT.
D. CONSUL TANT in the performance of this AGREEMENT, shall act in an independent capacity. It is understood and agreed that CONSULTANT (including CONSULTANT's employees) is an independent contractor and that no relationship of employer-employee exists between the Parties hereto.
CONSUL TANT's assigned personnel shall not be entitled to any benefits payable to employees of City.
E. LOCAL AGENCY is not required to make any deductions or withholdings from the compensation payable to CONSULTANT under the provisions of the AGREEMENT, and is not required to issue W-2 Forms for income and employment tax purposes for any of CONSULT ANT's assigned personnel. CONSUL TANT, in the performance of its obligation hereunder, is only subject to the control or direction of the LOCAL AGENCY as to the designation of tasks to be performed and the results to be accomplished.
F. Any third-party person(s) employed by CONSULTANT shall be entirely and exclusively under the direction, supervision, and control of CONSULT ANT. CONSULT ANT hereby indemnifies and holds LOCAL AGENCY harmless from any and all claims that may be made against City based upon any contention by any third party that an employer-employee relationship exists by reason of this AGREEMENT.
G. Except as expressly authorized herein, CONSUL TANT's obligations under this AGREEMENT are not assignable or transferable, and CONSULT ANT shall not subcontract any work, without the prior written On-Call Engineering Services for Federally Funded Transportation Projects C-1 approval of the LOCAL AGENCY. However, claims for money due or which become due to CONSUL TANT from City under this AGREEMENT may be assigned to a financial institution or to a trustee in bankruptcy, without such approval. Notice of any assignment or transfer whether voluntary or involuntary shall be furnished promptly to the LOCAL AGENCY.
H. CONSULT ANT shall be as fully responsible to the LOCAL AGENCY for the negligent acts and omissions of its contractors and subcontractors or subconsultants, and of persons either directly or indirectly employed by them, in the same manner as persons directly employed by CONSUL TANT.
I. No alteration or variation of the terms of this AGREEMENT shall be valid, unless made in writing and signed by the parties authorized to bind the parties; and no oral understanding or agreement not incorporated herein, shall be binding on any of the parties hereto.
J. The consideration to be paid to CONSULT ANT as provided herein, shall be in compensation for all of CONSULTANT's expenses incurred in the performance hereof, including travel and per diem, unless otherwise expressly so provided.
ARTICLE II CONSULTANT'S REPORTS OR MEETINGS
A. CONSULTANT shall submit progress reports on each specific project in accordance with the Task Order.
These reports shall be submitted at least once a month. The report should be sufficiently detailed for LOCAL AGENCY's Contract Administrator or Project Coordinator to determine, if CONSULTANT is performing to expectations, or is on schedule; to provide communication of interim findings, and to sufficiently address any difficulties or special problems encountered, so remedies can be developed.
B. CONSULTANT's Project Manager shall meet with LOCAL AGENCY's Contract Administrator or Project Coordinator, as needed, to discuss progress on the project(s).
ARTICLE III STATEMENT OF WORK
[ Insert Appropriate Statement of work including a Description of the Deliverables in the following sections. If a section does not apply to the AGREEMENT, state "Not Applicable to this AGREEMENT "] A. CONSULT ANT Services
[ Detail based on the services to be furnished should be provided by CONSULTANT Nature and extent should be verified in the negotiations to make precise statements to eliminate subsequent uncertainties and misunderstandings. Reference to the appropriate standards for design or other standards for work performance stipulated in CONSULTANT AGREEMENT should be included. Describe acceptance criteria, and if the responsible CONSULTANT/engineer shall sign all Plans, Specifications and Estimate (PS&E) and engineering data furnished under the AGREEMENT including registration number.
Environmental documents are not considered complete until a Ca/trans District Senior Environmental Planner signs the Categorical Exclusion, a Ca/trans Deputy District Director signs the Finding of No Signiflrnnl Impact, or the Ca/trans District Director signs the Record of Decision (see LAP M Chapf P.r n:
Environmental Procedures. and the Standard Environmental Reference).] B. Right of Way
[State whether Right of Way requirements are to be determined and shown by CONSULTANT, whether land surveys and computations with metes and bounds descriptions are to be made, and whether Right of Way parcel maps are to be furnished.]
C. Surveys
[ State whether or not the CONSULTANT has the responsibility for performing preliminary or construction surveys.]
D. Subsurface Investigations
[State specifically whether or not CONSULTANT has responsibility for making subsurface investigations. If borings or other specialized services are to be made by others under the supervision of CONSULTANT, appropriate provisions are to be incorporated. Archaeological testing and data recovery guidance can be found in the Standard Environmental Reference.]
On-Call Engineering Services for Federally Funded Transportation Projects C-2 E. Local Agency Obligations
All data applicable to the project and in possession of LOCAL AGENCY, another agency, or government agency that are to be made available to CONSULT ANT are referred to in the AGREEMENT. Any other assistance or services to be furnished to CONSUL TANT are to be stated clearly.
F. Conferences, Site Visits, Inspection of Work
This AGREEMENT provides for conferences as needed, visits to the site, and inspection of the work by representatives of the LOCAL AGENCY, State, and/or FHWA. Costs incurred by CONSULTANT for meetings, subsequent to the initial meeting shall be included in the fee.
G. Checking Shop Drawings
[For AGREEMENTs requiring the preparation of construction drawings, make provision for checking shop drawings. Payment for checking shop drawings by CONSULTANT may be included in the AGREEMENT fee, or provision may be made for separate payment.]
H. CONSULT ANT Services During Construction
The extent, if any of CONSULT ANT' s services during the course of construction as material testing, construction surveys. etc., are specified in the AGREEMENT together with the method of payment for such services.
I. Documentation and Schedules
AGREEMENTs where appropriate, shall provide that CONSULT ANT document the results of the work to the satisfaction of LOCAL AGENCY, and if applicable, the State and FHW A. This may include preparation of progress and final reports, plans, specifications and estimates, or similar evidence of attainment of the AGREEMENT objectives.
J. Deliverables and Number of Copies
The number of copies or documents to be furnished, such as reports, brochures, sets of plans, specifications, or Right of Way parcel maps shall be specified. Provision may be made for payment for additional copies.
ARTICLE IV PERFORMANCE PERIOD
A. This AGREEMENT shall go into effect on (DATE), contingent upon approval by LOCAL AGENCY, and CONSULT ANT shall commence work after notification to proceed by LOCAL AGENCY'S Contract Administrator. The AGREEMENT shall end on (DA TE), unless extended by AGREEMENT amendment.
B. CONSULTANT is advised that any recommendation for AGREEMENT award is not binding on LOCAL AGENCY until the AGREEMENT is fully executed and approved by LOCAL AGENCY.
C. The period of performance for each specific project shall be in accordance with the Task Order for that project. If work on a Task Order is in progress on the expiration date of this AGREEMENT, the terms of the AGREEMENT shall be extended by AGREEMENT amendment prior to the expiration of the contract to cover the time needed to complete the task order in progress only. The maximum term shall not exceed five (5) years.
ARTICLE VALLOW ABLE COSTS AND PAYMENTS
A. CONSULTANT will be reimbursed for hours worked at the hourly rates specified in the CONSULTANT's approved Cost Proposal. The specified hourly rates shall include direct salary costs, employee benefits, prevailing wages, employer payments, overhead, and fee. These rates are not adjustable for the performance period set forth in this AGREEMENT. CONSUL TANT will be reimbursed within thirty (30) days upon receipt by LOCAL AGENCY'S Contract Administrator of itemized invoices in duplicate.
B. In addition, CONSULTANT will be reimbursed for incurred (actual) direct costs other than salary costs that are in the approved Cost Proposal and identified in the approved Cost Proposal and in the executed Task Order.
C. Specific projects will be assigned to CONSUL TANT through issuance of Task Orders.
D. After a project to be performed under this AGREEMENT is identified by LOCAL AGENCY, LOCAL On-Call Engineering Services for Federally Funded Transportation Projects C-3 AGENCY will prepare a draft Task Order; less the cost estimate. A draft Task Order will identify the scope of services, expected results, project deliverables, period of performance, project schedule and will designate a LOCAL AGENCY Project Coordinator. The draft Task Order will be delivered to CONSUL TANT for review.
CONSULT ANT shall return the draft Task Order within ten ( 10) calendar days along with a Cost Estimate, including a written estimate of the number of hours and hourly rates per staff person, any anticipated reimbursable expenses, overhead, fee if any, and total dollar amount. After agreement has been reached on the negotiable items and total cost; the finalized Task Order shall be signed by both LOCAL AGENCY and CONSULT ANT.
E. Task Orders may be negotiated for a lump sum (Firm Fixed Price) or for specific rates of compensation, both of which must be based on the labor and other rates set forth in CONSULT ANT' s approved Cost Proposal.
CONSULT ANT shall be responsible for any future adjustments to prevailing wage rates including, but not limited to, base hourly rates and employer payments as determined by the Department of Industrial Relations.
CONSUL TANT is responsible for paying the appropriate rate, including escalations that take place during the term of the AGREEMENT.
F. Reimbursement for transportation and subsistence costs shall not exceed the rates as specified in the approved Cost Proposal. CONSUL TANT will be responsible for transportation and subsistence costs in excess of State rates.
G. When milestone cost estimates are included in the approved Cost Proposal, CONSULTANT shall obtain prior written approval in the form of an AGREEMENT amendment for a revised milestone cost estimate from the Contract Administrator before exceeding such estimate.
H. Progress payments for each Task Order will be made monthly in arrears based on services provided and actual costs incurred.
I. CONSUL TANT shall not commence performance of work or services until this AGREEMENT has been approved by LOCAL AGENCY and notification to proceed has been issued by LOCAL AGENCY'S Contract Administrator. No payment will be made prior to approval or for any work performed prior to approval of this AGREEMENT.
J. A Task Order is of no force or effect until returned to LOCAL AGENCY and signed by an authorized representative of LOCAL AGENCY. No expenditures are authorized on a project and work shall not commence until a Task Order for that project has been executed by LOCAL AGENCY.
K. CONSULTANT will be reimbursed within thirty (30) days upon receipt by LOCAL AGENCY'S Contract Administrator of itemized invoices in duplicate. Separate invoices itemizing all costs are required for all work performed under each Task Order. Invoices shall be submitted no later than thirty (30) calendar days after the performance of work for which CONSULT ANT is billing, or upon completion of the Task Order.
Invoices shall detail the work performed on each milestone, on each project as applicable. Invoices shall follow the format stipulated for the approved Cost Proposal and shall reference this AGREEMENT number, project title and Task Order number. Credits due LOCAL AGENCY that include any equipment purchased under the provisions of Article XI Equipment Purchase, must be reimbursed by CONSULT ANT prior to the expiration or termination of this AGREEMENT. Invoices shall be mailed to LOCAL AGENCY's Contract Administrator at the following address:
(NAME OF LOCAL AGENCY/ NAME OF CONTRACT ADMINISTRATOR) (ADDRESS) L. The period of performance for Task Orders shall be in accordance with dates specified in the Task Order. No Task Order will be written which extends beyond the expiration date of this AGREEMENT.
M. The total amount payable by LOCAL AGENCY for an individual Task Order shall not exceed the amount agreed to in the Task Order, unless authorized by amendment.
N. If CONSULT ANT fails to satisfactorily complete a deliverable according to the schedule set forth in a Task Order, no payment will be made until the deliverable has been satisfactorily completed. 0 . Task Orders may not be used to amend the language ( or the terms) of this AGREEMENT not to exceed the scope of work under this AGREEMENT.
On-Call Engineering Services for Federally Funded Transportation Projects C-4 P. The total amount payable by LOCAL AGENCY for all Task Orders resulting from this AGREEMENT shall not exceed$ (Amount). It is understood and agreed that there is no guarantee, either expressed or implied that this dollar amount will be authorized under this AGREEMENT through Task Orders.
ARTICLE VI TERMINATION
A. This AGREEMENT may be terminated by LOCAL AGENCY, provided that LOCAL AGENCY gives not less than thirty (30) calendar days' written notice (delivered by certified mail, return receipt requested) of intent to terminate. Upon termination, LOCAL AGENCY shall be entitled to all work, including but not limited to, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not.
B. LOCAL AGENCY may temporarily suspend this AGREEMENT, at no additional cost to LOCAL AGENCY, provided that CONSULT ANT is given written notice ( delivered by certified mail, return receipt requested) of temporary suspension. If LOCAL AGENCY gives such notice of temporary suspension, CONSUL TANT shall immediately suspend its activities under this AGREEMENT. A temporary suspension may be issued concurrent with the notice of termination.
C. Notwithstanding any provisions of this AGREEMENT, CONSUL TANT shall not be relieved ofliability to LOCAL AGENCY for damages sustained by City by virtue of any breach of this AGREEMENT by CONSULTANT, and City may withhold any payments due to CONSUL TANT until such time as the exact amount of damages, if any, due City from CONSULT ANT is determined.
D. In the event of termination, CONSULTANT shall be compensated as provided for in this AGREEMENT.
Upon termination, LOCAL AGENCY shall be entitled to all work, including but not limited to, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not.
ARTICLE VII COST PRINCIPLES AND ADMINISTRATIVE REQUIREMENTS A. The CONSULT ANT agrees that 48 CFR 31, Contract Cost Principles and Procedures, shall be used to determine the allowability of individual terms of cost.
B. The CONSULTANT also agrees to comply with Federal procedures in accordance with 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards.
C. Any costs for which payment has been made to the CONSUL TANT that are determined by subsequent audit to be unallowable under 48 CFR 3 I or 2 CFR 200 are subject to repayment by the CONSULT ANT to LOCAL AGENCY.
D. When a CONSULTANT or Subconsultant is a Non-Profit Organization or an Institution of Higher Education, the Cost Principles for Title 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards shall apply.
ARTICLE VIII RETENTION OF RECORD/AUDITS
For the purpose of determining compliance with Gov. Code§ 8546.7, the CONSULTANT, Subconsultants, and LOCAL AGENCY shall maintain all books, documents, papers, accounting records, Independent CPA Audited Indirect Cost Rate workpapers, and other evidence pertaining to the performance of the AGREEMENT including, but not limited to, the costs of administering the AGREEMENT. All parties, including the CONSULT ANT's Independent CPA, shall make such workpapers and materials available at their respective offices at all reasonable times during the AGREEMENT period and for three (3) years from the date of final payment under the AGREEMENT and records for real property and equipment acquired with federal funds must be retained for three (3) years after final disposition. LOCAL AGENCY, Caltrans Auditor, FHWA, or any duly authorized representative of the Federal government having jurisdiction under Federal laws or regulations (including the basis of Federal funding in whole or in part) shall have access to any books, records, and documents of the CONSULT ANT, Subconsultants, and the CONSUL TANT' s Independent CPA, that are pertinent to the AGREEMENT for audits, examinations, workpaper review, excerpts, and transactions, and copies thereof shall be furnished if requested without limitation.
ARTICLE IX AUDIT REVIEW PROCEDURES
A. Any dispute concerning a question of fact arising under an interim or post audit of this AGREEMENT that On-Call Engineering Services for Federally Funded Transportation Projects C-5 is not disposed ofby AGREEMENT, shall be reviewed by LOCAL AGENCY'S Chief Financial Officer.
B. Not later than thirty (30) calendar days after issuance of the final audit report, CONSULTANT may request a review by LOCAL AGENCY'S Chief Financial Officer of unresolved audit issues. The request for review will be submitted in writing.
C. Neither the pendency of a dispute nor its consideration by LOCAL AGENCY will excuse CONSULT ANT from full and timely performance, in accordance with the terms of this AGREEMENT.
D. CONSULT ANT and subconsultant AGREEMENTs, including cost proposals and Indirect Cost Rates (ICR), may be subject to audits or reviews such as, but not limited to, an AGREEMENT audit, an incurred cost audit, an ICR Audit, or a CPA ICR audit work paper review. If selected for audit or review, the AGREEMENT, cost proposal and ICR and related work papers, if applicable, will be reviewed to verify compliance with 48 CFR 31 and other related laws and regulations. In the instances of a CPA ICR audit work paper review it is CONSUL TANT's responsibility to ensure federal, LOCAL AGENCY, or local government officials are allowed full access to the CPA's work papers including making copies as necessary. The AGREEMENT, cost proposal, and ICR shall be adjusted by CONSULTANT and approved by LOCAL AGENCY Contract Administrator to conform to the audit or review recommendations. CONSULT ANT agrees that individual terms of costs identified in the audit report shall be incorporated into the AGREEMENT by this reference if directed by LOCAL AGENCY at its sole discretion. Refusal by CONSUL TANT to incorporate audit or review recommendations, or to ensure that the federal, LOCAL AGENCY or local governments have access to CPA work papers, will be considered a breach of AGREEMENT terms and cause for termination of the AGREEMENT and disallowance of prior reimbursed costs.
E. CONSULTANT's Cost Proposal may be subject to a CPA ICR Audit Work Paper Review and/or audit by the Independent Office of Audits and Investigations (IOAI). IOAI, at its sole discretion, may review and/or audit and approve the CPA ICR documentation. The Cost Proposal shall be adjusted by the CONSULT ANT and approved by the LOCAL AGENCY Contract Administrator to conform to the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report.
Refusal by the CONSULTANT to incorporate the Work Paper Review recommendations included in the management letter or audit recommendations included in the audit report will be considered a breach of the AGREEMENT terms and cause for termination of the AGREEMENT and disallowance of prior reimbursed costs.
1. During IOAI' s review of the ICR audit work papers created by the CONSULT ANT' s independent CPA, IOAI will work with the CPA and/or CONSUL TANT toward a resolution of issues that arise during the review. Each party agrees to use its best efforts to resolve any audit disputes in a timely manner. If IOAI identifies significant issues during the review and is unable to issue a cognizant approval letter, LOCAL AGENCY will reimburse the CONSULTANT at an accepted TCR until a FAR (Federal Acquisition Regulation) compliant ICR (e.g. 48 CFR Part 31; GAGAS (Generally Accepted Auditing Standards); CAS (Cost Accounting Standards), if applicable; in accor<lanee wilh prul.:cuures and guidelines of the American Association of State Highways and Transportation Officials (AASHTO) Audit Guide; and other applicable procedures and guidelines) is received and approved by IOAI.
Accepted rates will be as follows:
a. If the proposed rate is less than one hundred fifty percent ( 150%) - the accepted rate reimbursed will be ninety percent (90%) of the proposed rate. b. If the proposed rate is between one hundred fifty percent (150%) and two hundred percent (200%) - the accepted rate will be eighty-five percent (85%) of the proposed rate. c. If the proposed rate is greater than two hundred percent (200%) - the accepted rate will be seventy-five percent (75%) of the proposed rate.
2. If IOAI is unable to issue a cognizant letter per paragraph E. l. above, IOAI may require CONSUL TANT to submit a revised independent CPA-audited ICR and audit report within three (3) months of the effective date of the management letter. IOAI will then have up to six ( 6) months to review the CONSULTANT's and/or the independent CPA's revisions.
On-Call Engineering Services for Federally Funded Transportation Projects C-6
3. If the CONSULTANT fails to comply with the provisions of this paragraph E, or ifIOAI is still unable to issue a cognizant approval letter after the revised independent CPA audited ICR is submitted, overhead cost reimbursement will be limited to the accepted ICR that was established upon initial rejection of the ICR and set forth in paragraph E. l. above for all rendered services. In this event, this accepted ICR will become the actual and final ICR for reimbursement purposes under this AGREEMENT.
4. CONSULTANT may submit to LOCAL AGENCY final invoice only when all of the following items have occurred: (1) IOAI accepts or adjusts the original or revised independent CPA audited ICR; (2) all work under this AGREEMENT has been completed to the satisfaction of LOCAL AGENCY; and, (3) IOAI has issued its final ICR review letter. The CONSUL TANT MUST SUBMIT ITS FINAL INVOICE TO LOCAL AGENCY no later than sixty (60) calendar days after occurrence of the last of these items.
The accepted ICR will apply to this AGREEMENT and all other agreements executed between LOCAL AGENCY and the CONSUL TANT, either as a prime or subconsultant, with the same fiscal period ICR.
ARTICLE X SUBCONTRACTING
A. Nothing contained in this AGREEMENT or otherwise, shall create any contractual relation between the LOCAL AGENCY and any Subconsultants, and no subagreement shall relieve the CONSULT ANT of its responsibilities and obligations hereunder. The CONSULTANT agrees to be as fully responsible to the LOCAL AGENCY for the acts and omissions of its Subconsultants and of persons either directly or indirectly employed by any of them as it is for the acts and omissions of persons directly employed by the CONSUL TANT. The CONSUL TANT's obligation to pay its Subconsultants is an independent obligation from the LOCAL AGENCY's obligation to make payments to the CONSULTANT.
B. The CONSUL TANT shall perform the work contemplated with resources available within its own organization and no portion of the work shall be subcontracted without written authorization by the LOCAL AGENCY Contract Administrator, except that which is expressly identified in the CONSULTANT's approved Cost Proposal.
C. Any subagreement entered into as a result of this AGREEMENT, shall contain all the provisions stipulated in this entire AGREEMENT to be applicable to Subconsultants unless otherwise noted.
D. CONSUL TANT shall pay its Subconsultants within Fifteen (15) calendar days from receipt of each payment made to the CONSULTANT by the LOCAL AGENCY.
E. Any substitution of Subconsultants must be approved in writing by the LOCAL AGENCY Contract Administrator in advance of assigning work to a substitute Subconsultant.
F. Prompt Progress Payment
CONS ULT ANT or subconsultant shall pay to any subconsultant, not later than fifteen ( 15) days after receipt of each progress payment, unless otherwise agreed to in writing, the respective amounts allowed CONSUL TANT on account of the work performed by the subconsultants, to the extent of each subconsultant's interest therein. In the event that there is a good faith dispute over all or any portion of the amount due on a progress payment from CONSUL TANT or subconsultant to a subconsultant, CONSULTANT or subconsultant may withhold no more than 150 percent of the disputed amount. Any violation of this requirement shall constitute a cause for disciplinary action and shall subject the licensee to a penalty, payable to the subconsultant, of 2 percent of the amount due per month for every month that payment is not made.
In any action for the collection of funds wrongfully withheld, the prevailing party shall be entitled to his or her attorney's fees and costs. The sanctions authorized under this requirement shall be separate from, and in addition to, all other remedies, either civil, administrative, or criminal. This elause applies to both DBE and non DBE subeonsultants.
G. Prompt Payment of Withheld Funds to Subconsultants
The LOCAL AGENCY may hold retainage from CONSULTANT and shall make prompt and regular incremental acceptances of portions, as determined by the LOCAL AGENCY, of the contract work, and pay retainage to CONSULTANT based on these acceptances. The LOCAL AGENCY shall designate one of the On-Call Engineering Services for Federally Funded Transportation Projects C-7 methods below in the contract to ensure prompt and full payment of any retainage kept by CONSUL TANT or subconsultant to a subconsultant.
Method 1: No retainage will be held by the LOCAL AGENCY from progress payments due to CONSULTANT. CONSULTANTS and subconsultants are prohibited from holding retainage from subconsultants. Any delay or postponement of payment may take place only for good cause and with the LOCAL AGENCY' s prior written approval. Any violation of these provisions shall subject the violating CONSUL TANT or subconsultant to the penalties, sanctions, and other remedies specified in Section 3321 of the California Civil Code. This requirement shall not be construed to limit or impair any contractual, administrative or judicial remedies, otherwise available to CONSULT ANT or subconsultant in the event of a dispute involving late payment or nonpayment by CONSULT ANT, deficient subconsultant performance and/or noncompliance by a subconsultant. This elause applies to both DBE and non DBE subeonsultants.
ARTICLE XI EQUIPMENT PURCHASE AND OTHER CAPITAL EXPENDITURES A. Prior authorization in writing by LOCAL AGENCY's Contract Administrator shall be required before CONSULT ANT enters into any unbudgeted purchase order, or subcontract exceeding five thousand dollars ($5,000) for supplies, equipment, or CONSULTANT services. CONSUL TANT shall provide an evaluation of the necessity or desirability of incurring such costs.
B. For purchase of any item, service, or consulting work not covered in CONSULT ANT' s approved Cost Proposal and exceeding five thousand dollars ($5,000), with prior authorization by LOCAL AGENCY's Contract Administrator, three competitive quotations must be submitted with the request, or the absence of proposal must be adequately justified.
C. Any equipment purchased with funds provided under the terms of this AGREEMENT is subject to the following:
1. CONSULTANT shall maintain an inventory of all nonexpendable property. Nonexpendable property is defined as having a useful life of at least two years and an acquisition cost of five thousand dollars ($5,000) or more. If the purchased equipment needs replacement and is sold or traded in, LOCAL AGENCY shall receive a proper refund or credit at the conclusion of the AGREEMENT, or if the AGREEMENT is terminated, CONSUL TANT may either keep the equipment and credit LOCAL AGENCY in an amount equal to its fair market value, or sell such equipment at the best price obtainable at a public or private sale, in accordance with established LOCAL AGENCY procedures; and credit LOCAL AGENCY in an amount equal to the sales price .. If CONSUL TANT elects to keep the equipment, fair market value shall be determined at CONSUL TANT's expense, on the basis of a competent independent appraisal of such equipment. Appraisals shall be obtained from an appraiser mutually agreeable to by LOCAL AGENCY and CONSUL TANT, if it is determined to sell the equipment, the terms and conditions of such sale must be approved in advance by LOCAL AGENCY.
2. Regulation 2 CFR 200 requires a credit to Federal funds when participating equipment with a fair market value greater than five thousand dollars ($5,000) is t:reuileu Lu Lhe pruject. .
ARTICLE XII STATE PREVAILING WAGE RA TES
A. No CONSULT ANT or Subconsultant may be awarded an AGREEMENT containing public work elements unless registered with the Department of Industrial Relations (DIR) pursuant to Labor Code § 1725.5. Registration with DIR must be maintained throughout the entire term of this AGREEMENT, including any subsequent amendments.
B. The CONSULTANT shall comply with all of the applicable provisions of the California Labor Code requiring the payment of prevailing wages. The General Prevailing Wage Rate Determinations applicable to work under this AGREEMENT are available and on file with the Department of Transportation's Regional/District Labor Compliance Officer (https://dot.ca.gov/programs/construction/labor-compliance).
These wage rates are made a specific part of this AGREEMENT by reference pursuant to Labor Code § 1773 .2 and will be applicable to work performed at a construction project site. Prevailing wages will be applicable to all inspection work performed at LOCAL AGENCY construction sites, at LOCAL AGENCY facilities and at off-site locations that are set up by the construction contractor or one of its subcontractors solely and specifically to serve LOCAL AGENCY projects. Prevailing wage requirements do not apply to On-Call Engineering Services for Federally Funded Transportation Projects C-8 inspection work performed at the facilities of vendors and commercial materials suppliers that provide goods and services to the general public.
C. General Prevailing Wage Rate Determinations applicable to this project may also be obtained from the Department of Industrial Relations website at http://www.dir.ca.gov.
D. Payroll Records
1. Each CONSUL TANT and Subconsultant shall keep accurate certified payroll records and supporting documents as mandated by Labor Code § 177 6 and as defined in 8 CCR § 16000 showing the name, address, social security number, work classification, straight time and overtime hours worked each day and week, and the actual per diem wages paid to each journeyman, apprentice, worker, or other employee employed by the CONSUL TANT or Subconsultant in connection with the public work.
Each payroll record shall contain or be verified by a written declaration that it is made under penalty of perjury, stating both of the following:
a. The information contained in the payroll record is true and correct. b. The employer has complied with the requirements of Labor Code§ 1771, § 1811, and § 1815 for any work performed by his or her employees on the public works project.
2. The payroll records enumerated under paragraph (1) above shall be certified as correct by the CONSULT ANT under penalty of perjury. The payroll records and all supporting documents shall be made available for inspection and copying by LOCAL AGENCY representatives at all reasonable hours at the principal office of the CONSULT ANT. The CONSULT ANT shall provide copies of certified payrolls or permit inspection of its records as follows:
a. A certified copy of an employee's payroll record shall be made available for inspection or furnished to the employee or the employee's authorized representative on request. b. A certified copy of all payroll records enumerated in paragraph ( 1) above, shall be made available for inspection or furnished upon request to a representative of LOCAL AGENCY, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards of the Department oflndustrial Relations. Certified payrolls submitted to LOCAL AGENCY, the Division of Labor Standards Enforcement and the Division of Apprenticeship Standards shall not be altered or obliterated by the CONSULT ANT.
c. The public shall not be given access to certified payroll records by the CONSUL TANT. The CONSUL TANT is required to forward any requests for certified payrolls to the LOCAL AGENCY Contract Administrator by both email and regular mail on the business day following receipt of the request.
3. Each CONSULTANT shall submit a certified copy of the records enumerated in paragraph (1) above, to the entity that requested the records within ten (10) calendar days after receipt of a written request.
4. Any copy of records made available for inspection as copies and furnished upon request to the public or any public agency by LOCAL AGENCY shall be marked or obliterated in such a manner as to prevent disclosure of each individual's name, address, and social security number. The name and address of the CONSUL TANT or Subconsultant performing the work shall not be marked or obliterated.
5. The CONSULT ANT shall inform LOCAL AGENCY of the location of the records enumerated under paragraph (1) above, including the street address, city and county, and shall, within five (5) working days, provide a notice of a change of location and address.
6. The CONSULT ANT or Subconsultant shall have ten (10) calendar days in which to comply subsequent to receipt of written notice requesting the records enumerated in paragraph ( 1) above. In the event the CONSUL TANT or Subconsultant fails to comply within the ten (10) day period, he or she shall, as a penalty to LOCAL AGENCY, forfeit one hundred dollars ($100) for each calendar day, or portion thereof, for each worker, until strict compliance is effectuated. Such penalties shall be withheld by LOCAL AGENCY from payments then due. CONSULTANT is not subject to a penalty assessment pursuant to this section due to the failure of a Subconsultant to comply with this section.
On-Call Engineering Services for Federally Funded Transportation Projects C-9 E. When prevailing wage rates apply, the CONSULTANT is responsible for verifying compliance with certified payroll requirements. Invoice payment will not be made until the invoice is approved by the LOCAL AGENCY Contract Administrator.
F. Penalty
1. The CONSUL TANT and any of its Subconsultants shall comply with Labor Code § 1774 and§ 1775.
Pursuant to Labor Code§ 1775, the CONSULTANT and any Subconsultant shall forfeit to the LOCAL AGENCY a penalty of not more than two hundred dollars ($200) for each calendar day, or portion thereof, for each worker paid less than the prevailing rates as determined by the Director of DIR for the work or craft in which the worker is employed for any public work done under the AGREEMENT by the CONSULTANT or by its Subconsultant in violation of the requirements of the Labor Code and in particular, Labor Code§§ 1770 to 1780, inclusive.
2. The amount of this forfeiture shall be determined by the Labor Commissioner and shall be based on consideration of mistake, inadvertence, or neglect of the CONSULTANT or Subconsultant in failing to pay the correct rate of prevailing wages, or the previous record of the CONSULTANT or Subconsultant in meeting their respective prevailing wage obligations, or the willful failure by the CONSULT ANT or Subconsultant to pay the correct rates of prevailing wages. A mistake, inadvertence, or neglect in failing to pay the correct rates of prevailing wages is not excusable if the CONSULTANT or Subconsultant had knowledge of the obligations under the Labor Code. The CONSULT ANT is responsible for paying the appropriate rate, including any escalations that take place during the term of the AGREEMENT.
3. In addition to the penalty and pursuant to Labor Code § 1775, the difference between the prevailing wage rates and the amount paid to each worker for each calendar day or portion thereof for which each worker was paid less than the prevailing wage rate shall be paid to each worker by the CONSULT ANT or S ubconsultant.
4. If a worker employed by a Subconsultant on a public works project is not paid the general prevailing per diem wages by the Subconsultant, the CONSULTANT of the project is not liable for the penalties described above unless the CONSULTANT had knowledge of that failure of the Subconsultant to pay the specified prevailing rate of wages to those workers or unless the CONSULT ANT fails to comply with all of the following requirements:
a. The AGREEMENT executed between the CONSULT ANT and the Subconsultant for the performance of work on public works projects shall include a copy of the requirements in Labor Code§§ 1771, 1775, 1776, 1777.5, 1813, and 1815.
b. The CONSULTANT shall monitor the payment of the specified general prevailing rate of per diem wages by the Subconsultant to the employees by periodic review of the certified payroll records of the Subconsult~nt.
c. Upon becoming aware of the Subconsultant's failure to pay the specified prevailing rate of wages to the S ubconsultant' s workers, the CONSULT ANT shall diligently take corrective action to halt or rectify the failure, including but not limited to, retaining sufficient funds due the Subconsultant for work performed on the public works project. d. Prior to making final payment to the Subconsultant for work performed on the public works project, the CONSULT ANT shall obtain an affidavit signed under penalty of perjury from the Subconsultant that the Subconsultant had paid the specifie~ general prevailing rate of per diem wages to the Subconsultant's employees on the public works project and any amounts due pursuant to Labor Code § 1813.
5. Pursuant to Labor Code§ 1775, LOCAL AGENCY shall notify the CONSULTANT on a public works project within fifteen (15) calendar days of receipt of a complaint that a Subconsultant has failed to pay workers the general prevailing rate of per diem wages.
6. If LOCAL AGENCY determines that employees of a Subconsultant were not paid the general prevailing rate of per diem wages and if LOCAL AGENCY did not retain sufficient money under the AGREEMENT to pay those employees the balance of wages owed under the general prevailing rate of per diem wages, the CONSULT ANT shall withhold an amount of moneys due the Subconsultant On-Call Engineering Services for Federally Funded Transportation Projects C-10 sufficient to pay those employees the general prevailing rate of per diem wages if requested by LOCAL AGENCY.
G. Hours of Labor
Eight (8) hours labor constitutes a legal day's work. The CONSULT ANT shall forfeit, as a penalty to the LOCAL AGENCY, twenty-five dollars ($25) for each worker employed in the execution of the AGREEMENT by the CONSULT ANT or any of its Subconsultants 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 the Labor Code, and in particular§§ 1810 to 1815 thereof, inclusive, except that work performed by employees in excess of eight (8) hours per day, and forty ( 40) hours during any one week, shall be permitted upon compensation for all hours worked in excess of eight (8) hours per day and forty ( 40) hours in any week, at not less than one and one-half (1.5) times the basic rate of pay, as provided in §1815.
H. Employment of Apprentices
l. Where either the prime AGREEMENT or the subagreement exceeds thirty thousand dollars ($30,000), the CONSUL TANT and any subconsultants under him or her shall comply with all applicable requirements of Labor Code§§ 1777.5, 1777.6 and 1777.7 in the employment of apprentices.
2. CONSULT ANTs and subconsultants are required to comply with all Labor Code requirements regarding the employment of apprentices, including mandatory ratios of journey level to apprentice workers. Prior to commencement of work, CONSULT ANT and subconsultants are advised to contact the DIR Division of Apprenticeship Standards website at https://www.dir.ca.gov/das/, for additional information regarding the employment of apprentices and for the specific journey-to- apprentice ratios for the AGREEMENT work. The CONSULTANT is responsible for all subconsultants' compliance with these requirements. Penalties are specified in Labor Code § 1 777. 7.
ARTICLE XIII CONFLICT OF INTEREST
A. During the term of this AGREEMENT, the CONSULTANT shall disclose any financial, business, or other relationship with LOCAL AGENCY that may have an impact upon the outcome of this AGREEMENT or any ensuing LOCAL AGENCY construction project. The CONSUL TANT shall also list current clients who may have a financial interest in the outcome of this AGREEMENT or any ensuing LOCAL AGENCY construction project which will follow.
B. CONSULTANT certifies that it has disclosed to LOCAL AGENCY any actual, apparent, or potential conflicts of interest that may exist relative to the services to be provided pursuant to this AGREEMENT.
CONSULT ANT agrees to advise LOCAL AGENCY of any actual, apparent or potential conflicts of interest that may develop subsequent to the date of execution of this AGREEMENT. CONSULTANT further agrees to complete any statements of economic interest if required by either LOCAL AGENCY ordinance or State law.
C. The CONSULT ANT hereby certifies that it does not now have, nor shall it acquire any financial or business interest that would conflict with the performance of services under this AGREEMENT.
D. The CONSULT ANT hereby certifies that the CONSUL TANT or subconsultant and any firm affiliated with the CONSULT ANT or subconsultant that bids on any construction contract or on any Agreement to provide construction inspection for any construction project resulting from this AGREEMENT, has established necessary controls to ensure a conflict of interest does not exist. An affiliated firm is one, which is subject to the control of the same persons, through joint ownership or otherwise.
ARTICLE XIV REBATES, KICKBACKS OR OTHER UNLAWFUL CONSIDERATION The CONSUL TANT warrants that this AGREEMENT was not obtained or secured through rebates, kickbacks or other unlawful consideration either promised or paid to any LOCAL AGENCY employee. For breach or violation of this warranty, LOCAL AGENCY shall have the right, in its discretion, to terminate this AGREEMENT without liability, to pay only for the value of the work actually performed, or to deduct from this AGREEMENT price or otherwise recover the full amount of such rebate, kickback or other unlawful consideration.
On-Call Engineering Services for Federally Funded Transportation Projects C-11
ARTICLE XV PROHIBITION OF EXPENDING LOCAL AGENCY, STATE, OR FEDERAL FUNDS
FOR LOBBYING
A. The CONSULTANT certifies, to the best of his or her knowledge and belief, that:
1. No State, Federal, or LOCAL AGENCY appropriated funds have been paid or will be paid, by or on behalf of the CONSULT ANT, to any person for influencing or attempting to influence an officer or employee of any local, State, or Federal agency, a Member of the State Legislature or United States Congress, an officer or employee of the Legislature or Congress, or any employee of a Member of the Legislature or Congress in connection with the awarding or making of this AGREEMENT, or with the extension, continuation, renewal, amendment, or modification of this AGREEMENT.
2. If any funds other than Federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a member of Congress in connection with this AGREEMENT, the CONSUL TANT shall complete and submit Standard Form-LLL, "Disclosure Form to Report Lobbying," in accordance with its instructions.
B. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by 31 U.S.C. § 1352. Any person who fails to file the required certification shall be subject to a civil penalty of not less than ten thousand dollars ($10,000) and not more than one hundred thousand dollars ($100,000) for each such failure.
C. The CONSULTANT also agrees by signing this document that he or she shall require that the language of this certification be included in all lower tier subagreements, which exceed one hundred thousand dollars ($100,000), and that all such subrecipients shall certify and disclose accordingly.
ARTICLE XVI NON-DISCRIMINATION CLAUSE AND STATEMENT OF COMPLIANCE A. The CONSULTANT's signature affixed herein and dated shall constitute a certification under penalty of perjury under the laws of the State of California that the CONSULTANT has, unless exempt, complied with the nondiscrimination program requirements of Gov. Code § 12990 and 2 CCR § 8103.
B. During the performance of this AGREEMENT, CONSUL TANT and its subconsultants shall not deny the AGREEMENT'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 unlawfully discriminate, harass, or allow harassment 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 an<l Vt;kran status. CONSULTANT and subconsultants shall insure that the evahwtion and treatment of their employees and applicants for employment are free from such discrimination and harassment.
C. CONSULTANT and subconsultants shall comply with the provisions of the Fair Employment and Housing Act (Gov. Code§ 12990 et seq.), the applicable regulations promulgated there under (2CCR§11000 et seq.), the provisions of Gov. Code§§ 11135-11139.5, and the regulations or standards adopted by LOCAL AGENCY to implement such article. The applicable regulations of the Fair Employment and Housing Commission implementing Gov. Code §12990 (a-f), set forth 2 CCR §§8100-8504, are incorporated into this AGREEMENT by reference and made a part hereof as if set forth in full.
D. CONSULTANT shall permit access by representatives of the Department of Fair Employment and Housing and the LOCAL AGENCY upon reasonable notice at any time during the normal business hours, but in no case less than twenty-four (24) hours' notice, to such of its books, records, accounts, and all other sources of information and its facilities as said Department or LOCAL AGENCY shall require to ascertain compliance with this clause.
E. CONSUL TANT and its subconsultants shall give written notice of their obligations under this clause to labor organizations with which they have a collective bargaining or other Agreement.
On-Call Engineering Services for Federally Funded Transportation Projects C-12 F. CONSULTANT shall include the nondiscrimination and compliance provisions of this clause in all subcontracts to perform work under this AGREEMENT.
G. The CONSUL TANT, with regard to the work performed under this AGREEMENT, shall act in accordance with Title VI of the Civil Rights Act of 1964 ( 42 U.S.C. §2000d et seq.). Title VI provides that the recipients of federal assistance will implement and maintain a policy of nondiscrimination in which no person in the United States shall, on the basis of race, color, national origin, religion, sex, age, disability, be excluded from participation in, denied the benefits of or subject to discrimination under any program or activity by the recipients of federal assistance or their assignees and successors in interest.
H. The CONSUL TANT shall comply with regulations relative to non-discrimination in federally-assisted programs of the U.S. Department of Transportation (49 CFR 21 - Effectuation of Title VI of the Civil Rights Act of 1964). Specifically, the CONSULTANT shall not participate either directly or indirectly in the discrimination prohibited by 49 CFR §21.5, including employment practices and the selection and retention of Subconsultants.
I. CONSULTANT, s1:1breeipieHt or s1:1beoHs1:1ltaHt v,rill He\1er exel1:1de aHy persoH from partieipatioH iH, deHy aHy persoH the beHefits of, or otherv,rise diserimiHate agaiHst aHyoHe iH eoHHeetioH with the av,rard aHd performaHee of aHy eoHtraet eoYered by 49 CFR 26 OH the basis ofraee, eolor, sm(, or HatioHal origiH. IR administeriHg the LOCAL AGENCY eompoHeHts of the DBe Program PlaH, CONSULTA}-.ff, s1:1breeipient or s1:1beoHs1:1ltaHt 1+Yill Hot, direetly, or thro1:1gh e0Htraet1:1al or other arraHgements, 1:1se eriteria or methods of admiHistratioH that haYe the effeet of defeatiHg or s1:1bstantially impairiHg aeeomplishment of the objeetives of the DBE Program PlaH with respeet to iHdivid1:1als of a partie1:1lar raee, eolor, se>(, or HatioHal origiH.
ARTICLE XVII DEBARMENT AND SUSPENSION CERTIFICATION
A. The CONSULTANT's signature affixed herein shall constitute a certification under penalty of perjury under the laws of the State of California, that the CONSUL TANT or any person associated therewith in the capacity of owner, partner, director, officer or manager:
1. Is not currently under suspension, debarment, voluntary exclusion, or determination of ineligibility by any federal agency;
2. Has not been suspended, debarred, voluntarily excluded, or determined ineligible by any federal agency within the past three (3) years;
3. Does not have a proposed debarment pending; and
4. Has not been indicted, convicted, or had a civil judgment rendered against it by a court of competent jurisdiction in any matter involving fraud or official misconduct within the past three (3) years.
B. Any exceptions to this certification must be disclosed to LOCAL AGENCY. Exceptions will not necessarily result in denial of recommendation for award, but will be considered in determining responsibility. Disclosures must indicate the party to whom the exceptions apply, the initiating agency, and the dates of agency action.
C. Exceptions to the Federal Government excluded parties (https://sam.gov/content/home) maintained by the U.S. General Services Administration are to be determined by FHWA.
ARTICLE XVIII DISADVl,. ... l\JTA.CED BUSINESS ENTERPRISES (DBE) PARTICIPATION A. CONSULTANT, s1:1breeipient (LOCAL AGE}-.1CY), or s1:1beoHs1:1ltaHt shall take Heeessary aHd reasoHable steps to ens1:1re that DBEs have opportHHities to partieipate iH the eontraet (49 CFR 26). To eHs1:1re eq1:1al partieipation of DBEs provided iH 49 CFR 26.5, the LOCAL i\GE}-.1CY shovt1s a eoHtraet goal for DBEs.
CO}-.lSULTANT shall make v,'ork available to DBEs aHd seleet v,'ork parts eoHsisteHt v,'ith available DBE s1:1beoHs1:1ltaHts aHd s1:1ppliers.
CONSULTANT shall meet the DBE goal sho1+YH else1n'here in these speeial provisioHs or demoHstrate that they made adeq1:1ate Good Faith Efforts (GFE) to meet this goal. It is CO}-.lSULTANT's respoHsibility to verify at date of proposal opening that the DBE firm is eertified as a DBE b)' 1:1siHg the California UHified CertifieatioH Program (CUCP) database aHd possesses the most speeifie available },forth AmerieaH Ind1:1stry ClassifieatioH System (NAICS) eodes and work eode applieable to the type of v,cork the firm will perform OH On-Call Engineering Services for Federally Funded Transportation Projects C-13 the eoHtraet. AdditioHally, the CONSULTANT is respoHsible to doet:imeHt the YerifieatioH reeord by priHtiHg ot:it the CUCP data for eaeh DBE firm. A list of DBEs eertified by the CUCP ean be fot:iHd at https:/idot.ea.gov/programskivil rights/dbe seareh.
A.II DBE partieipatio0 will eoHHt to11rarcl the Califomia DepartFHeHt of TraHsportatioH's federally FHaHdated statewide overall DBE goal. Credi-t for FHaterials or st:ipplies CO~J:SULL6J,ff pt:irehases froFH DBEs eoHHts towards the goal iH the follo·+YiHg manHer:
• 100 pereeHt eoHHts if the materials or st:ipplies are obtaiHecl from a DBE mant:ifaetHrer. • 00 pereeHt eoHHts if the materials or st:ipplies are pt:irehased from a DBE regt:ilar dealer. • 0Hly fees, eommissioHs, aHd eharges for assistaHee iH the proet:iremeHt aHd delivery of materials or st:ipplies eoHHt if obtained froFH a DBE that is Heither a FHanHfaett:irer Hor regHlar dealer. 4 9 CFR
20.55 defiHes "maHHfaett:irer" and "regt:ilar dealer."
This AGREEMfilff is st:ibjeet to 49 CFR 20 eHtitled "PartieipatioH by Disadva0taged Bt:isiHess EHterprises iH DepartFHeHt of TransportatioH FiHaneial Assistanee Programs". CONSUTuTA1'-ffs 'n'ho eHter iHto a federally foHded agreement v,·ill assist the LOCAL AGE1'-JCY iH a good faith effort to aehie\'e California's statewide overall DBE goal.
B. The goal for DBE partieipatioH for this AGREEMENT is _ ____ %. PartieipatioH by DBE CONSULTANT or sHbeoHsHltaHts shall be iH aeeordanee with iHformatioH eoHtained iH Emibit 10 fil;_ CoHsHltaHt CoHtraet DBE CommitffleHt attaehed hereto aHd iHeorporated as part of the AGREEMENT. If a DBE sHbeoHsHltaHt is HHable to perform, CONSULLt\.NT FHHst make a good faith effort to replaee hiFH/her with another DBE sHbeoHsHltaHt, if the goal is Hot othen1t'ise met.
C. C01'-JSULTANT eaH meet the DBE partieipation goal by either doeHFHeHtiHg eomFHitmeHts to DBEs to meet the AGREEMENT goal, or by doeHmeHtiHg adeqt:iate good faith efforts to FHeet the AGREE1\4ENT goal. AH adeqHate good faith effort meaHs that the CONSULTANT mHst show that it took all Heeessary aHd reasoHable steps to aehieYe a DBE goal that, by their seope, iHteHsity, aHd appropriateHess to the objeetive, eot:ild reasoHably be e~(peeted to meet the DBE goal. If CONSULTA}ff has Hot met the DBE goal, eomplete aHd st:ibmit farnibit 15 H: Proposer/CoHtmetor Good Faith Efforts to doeHmeHt efforts to meet the goal. Refer to 49 CFR 20 for gHidaHee regardiHg O\'alHatioH of good faith efforts to meet the DBE goal.
D. CoHtmet AssHraHee
Under 49 CFR26.l3(b):
C01'-JSULTANT, sHbreeipieHt or sHbeoHsHltaHt shall Hot diserimiHate OH the basis of raee, eolor, HatioHal origiH, or seK iH the perfoffflaHee of this eoHtraet. CONSlJTL.JTANT shall earry OHt applieable reqHiremeHts of 49 CFR 20 iH the a\vard aHd adFHiHistratioH of federal aid eoHtraets.
FailHre by the CO}JSULTANT to earry oHt these reqHireFHeHts is a material breaeh of this eoHtraet, whieh may resHlt iH the tefffliHatioH of this eoHtraet or sueh other remedy as lht.-, Fl"'cipienl t.leems ttpprnpfittltl, wltiuh may iHelHde, bHt is Hot liFHited to:
( 1) \VithholdiHg monthly progress p8)'ffleHts;
(2) AssessiHg saHetioHs;
(3) Liqt:iidated damages; aHdlor
(4) Disqt:ialifyiHg C01'-JSULTANT from fotHre proposiHg as HOH respoHsible E. TermiHatioH aHd ReplaeemeHt of DBE SHbeoHsHltaHts
C01'-JSULTANT shall Htili2:e the speeifie DBEs listed to perform the work aHd sHppl)' the materials for v,rhieh eaeh is listed HHless CONSULTA1'-ff or DBE sHbeoAsHltant obtaiHs the LOCAL AGfilJCY's writteH eo0seHt.
C01'-JSULTANT shall Hot termiHate or replaee a listed DBE for eoHvenieHee aHd perfofffl the work '+Yith their owH forees or obtaiH materials from other sot:irees ',NithoHt aHthori2:atioH from the LOCAL AGENCY. UHless the LOCAL AGfilJCY's eoHseHt is provided, the CONSULTANT shall Hot be eHtitled to aHy paymeHt for work or material HHless it is perfofffl:ed or st:ipplied by the listed DBE OH the Emibit 10 02: CoHsHltaHt CoHtraet DBE CommitmeHt fofffl.
On-Call Engineering Services for Federally Funded Transportation Projects C-14 Termination of DBE Subconsultants
After e>c.ecution of the AGREEMENT, termination of a DBE may be allo·wed for the foll01.ving, but not limited to, justifiable reasons with prior Vt'ritten authorization from the LOCAL AGENCY:
1. Listed DBE fails or refoses to execute a written contract based on plans and specifications for the praject.
2. The LOCAL AGENCY stipulated that a bond is a condition of executing the subcontract and the listed DBE fails to meet the LOCAL AGENCY's bond requiren1ents.
3. Work requires a consultant's license and listed DBE does not have a valid license under Contractors License La.vl.
4. Listed DBE fails or refoses to perform the ·.vork or furnish the listed materials (failing or refosing to perform is not an a.110'.va.ble reason to remove a DBE if the failure or refusal is a result of bad faith or discrimination).
5. Listed DBE's work is unsatisfactory and not in compliance v,1ith the contract.
6. Listed DBE is ineligible to 'n'ork on the praject because of suspension or debarment.
7. Listed DBE becomes bankrupt or insolvent or e>c.hibits credit unworthiness.
8. Listed DBE voluntarily Vlithdra·•\'S with v,critten notice from the Contra.ct.
9. Listed DBE is ineligible to receive credit for the type of v,'ork required.
10. Listed DBE owner dies or becomes disabled resulting in the inability to perform the work on the Contract.
11. The LOCAL A.GENG¥ determines other documented good ca.use.
C01'J:SULTANT must use the following procedures to request the termination ofa DBE or portion of a DBE's work:
1. Send a \vritte1111otice to the DBE of the CONSULTANT's i11te11t to use other forces or material sources and include one or more justifiable reasons listed above. Simultaneously send a copy of this written notice to the LOCAL A.GENG¥. The written notice to the DBE must request the~' provide any response within fo,e (5) busiRess days to both the C01'lSULTANT and the LOCAL AGENCY by either ackno:vt1ledging their agreement or documenting their reasoning as to why the use of other forces or sources of materials should not occur.
2. If the DBE does not respond 'tVithin five (5) business days, C01'lSULTANT may move forward ·.vith the request as if the DBE had agreed to CONSULTANT' s ·.vritteR notice.
3. Submit C01'lSULTANT' s DBE termiRatioR request by written letter to the LOCAL A.GENG¥ and include:
• One or more a.boye listed justifiable reasons along vlith supporting documentatioR. • C01'lSULTA1'ff' s written notice to the DBE regarding the request, including proof of tra11smission a11d tracking documentatioR of CONSULT/\NT's written notice. • The DBE's response to CONSULTANT' s written notice, if received. If a written response was not provided, provide a statement to that effect.
The LOCAL AGE1'lCY shall respond in v,,ritiRg to CONSULTANT's DBE termiRation request vt1ithin five (5) business days.
Replacement of DBE Subconsultants
After receiving the LOCAL AGENCY' s written authorization of DBE term inatioR request, CONSULTANT must obtain the LOCAL AGENCY's '+Witten agreemeRt for DBE replacement. C01'lSULTANT must find or demonstrate GFEs to find qualified DBE replacement firms to perform the v,'ork to the e>ctent needed to meet the DBE commitment.
On-Call Engineering Services for Federally Funded Transportation Projects C-15 The following proeedures shall be followed to request authorization to replaee a DBE firm:
1 . Submit a request to replaee a DBE ·.vith other forees or material sourees in ·.vriting to the LOCAL AGENCY whieh must inelude:
a. Deseription of remaining uneommitted \York item made available for replaeement DBE solieitation and partieipation.
b. The proposed DBE replaeement firm's business information, the 1t\'ork they have agreed to perform, and the follmYing:
• Deseription of seope of v,rork and eost proposal
• Proposed subeontraet agreement and written eonfirmation of agreement to perform on the Contraet
• ReYised EJ,hibit 10 02: Consultant Contraet DBE Commitment
2. IfCO}tSULTANT has not identified a DBE replaeement firm, submits doeumentation of CO}JSULTANT' s GFEs to use DBE replaeement firms within seven (7) days of LOCAL AGENCY's authorization to terminate the DBE. CO}JSULTANT may request the LOCAL AGE}JCY's approval to eJctend this submittal period to a total of 14 days. Submit doeumentation of aetions taken to find a DBE replaeement firm, sueh as:
• Seareh results of eertified DB Es available to perform the original DBE 'n'Ork identified and or other work CO}JSULTi\.NT had intended to self perform, to the extent needed to meet DBE eommitment
• Solieitations of DB Es for performanee of work identified • Correspondenee with interested DBEs that may haYe ineluded eontraet details and requirements
• Negotiation efforts with DBEs that refleet vt'hy an agreement was not reaehed • If a DB E's quote was re:jeeted, pro:Yide reasoning for the re:jeetion, sueh as wh)' the DBE was unqualified for the Vt'ork, or why the priee quote was unreasonable or eJrnessive • Copies of eaeh DBE's and non DBE's priee quotes for work identified, as the LOCAL AGENCY may eontaet the firms to verify solieitation efforts and determine if the DBE quotes are substantially higher
• Additional doeumentation that supports CONSULTANT' s GFE The LOCAL AGE}JCY shall respottd iH writiHg to crn,.JSULTANT' s rnm replaeement request 1 .Yithin five (5)
business days.
F. Commitment and Utilization
The LOCAL AGill'JCY' s DBE program must inelude a monitoring and enforeement meehanism to ensure that DBE eommitments reeoneile to DBE utili:z1;ation.
The LOCAL AGENCY shall request CO}JSULTA}ff to:
1. }fotify the LOCAL AGENCY' s eontraet administrator or designated representative of any ehanges to its antieipated DBE partieipation
2. Provide this notifieation before starting the affoeted ·fvork
3. Maintain reeords ineluding:
• Name and business address of eaeh 1st- tier subeonsultant • Name and business address of eaeh DBE subeonsultant, DBE Yendor, and DBE trueking eompany, regardless of tier
• Date of payment and total amount paid to eaeh business (see EJ,hibit 9 F: Monthly On-Call Engineering Services for Federally Funded Transportation Projects C-16 Disadvantaged Business Enterprise Payment)
If CONSULTANT is a DBE CONSULTANT, they shall include the date ofv,'ork performed b)' their own forces and the corresponding value of the work.
If a DBE is decertified before completing its work, the DBE must notify CONSULTANT in writing ofthe decertification date. If a business becomes a certified DBE; before completing its work, the business must notify CONSULTANT in v,criting of the certification date. CONSULTANT shall submit the notifications to the LOCAL AGE}tCY. On '+York completion, CONSULTANT shall complete E~rnibit 17 0: Disadvantaged Business Enterprises (DBE) Certification Status Change and submit the form to the LOCAL AGENCY 1 Nithin 30 days of contract acceptance.
Upon work completion, CONSULTANT shall complete fornibit 17 F: Final Report Utili2:ation of Disadvantaged Business Enterprises (DBE), First Tier Subcontractors and submit it to the LOCAL AGE}JCY within 90 days of contract acceptance. The LOCAL AGENCY Vt'ill withhold $10,000 until the form is submitted. The LOCAL AGENCY will release the withhold upon submission of the completed form.
In the LOCAL AGE}JCY' s reports of DBE participation to Caltrans, the LOCAL AGENCY must display both commitments and attainments.
G. Commercially Useful Function
DBEs must perform a commercially useful function (CUF) under 49 CFR 26.55 1 +1t'hen performing 'n'ork or
supplying materials listed on the DBE Commitment form. The DBE value of work will only count toward the DBE commitment if the DBE performs a CUF. A DBE performs a CUF 1 +1.'hen it is responsible for
e~e:ecution of the work of the AGREEMENT and is carrying out its responsibilities by actually performing, managing, and supervising the 'Nork involved. To perform a CUF, the DBE must also be responsible, 1 +Yith
respect to materials and supplies used on the AGREEMENT, for negotiating price, determining quality and qua-ntit)', ordering the material and installing (v,'here applicable), and paying for the material itself.
CONSULTANT must perform CUF evaluation for each DBE working on a federal aid contract, with or without a DBE goal. Perform a CUF evaluation at the beginning of the DBE' s '+''erk and continue to monitor the performance of CUF for the duration of the project.
CO}[SULTANT must provide written notification to the LOCAL AGE}[CY at least 15 days in advance of each DBE's initial performance of 1+York or supplying materials for the Contract. The notification must include the DBE's name, Vf'ork the DBE 1
+Yill perform on the contract, and the location, date, and time _of where their 1.vork 1+Yill take place.
\l/ithin 10 days of a DBE initially performing work or supplying materials on the Contract, CONSULTANT shall submit to the LPA the initial e·,,aluation and validation of DBE performance ofa CUF using the LAPM 9 J: Disadvantaged Business Enterprise Commercially Useful Function Evaluation. Include the fol101+Ying information 1tYith the submittal:
• Subcontract agreement 1
+Yith the DBE
• Purchase orders
• Bills of lading
• Invoices
• Proof of pa)ment
CO}JSULTANT must monitor all DBE' s performance of CUF by conducting quarterly evaluations and validations throughout their duration of work on the Contract using the LA.PM 9 J: DBE Commercially Useful Function Evaluation. CONSULTANT must submit to the LOCAL AGE}JCY these quarterly evaluations and validations by the 5th of the month for the pre1 t1ious three months of work.
CONSULTANT must notify the LOCAL AGENCY immediately if they believe the DBE may not be performing a CUF.
The LOCAL AGE}lCY ,vill verii)' DBEs performance of CUF b)' reviev,ring the initial and quarterly submissions of LA.PM 9 J: DBE Commercially Useful Function Evaluation, submitted supporting On-Call Engineering Services for Federally Funded Transportation Projects C-1 7 information, field oaservatioRs, aRd through B:Ry additional LOCAL AGE}J:CY e\'aluatioRs. The LOCAL AGENCY must evaluate DB Es aRd their CUF performaRee throughout the duratioR of a CoRtraet. The LOCAL A.GENG¥ 1
.vill provide ·.vritten notiee to the CONSULTA.NT and the DBE at least hvo (2) ausiness days prior to any evaluation. The CO}J:SULTANT aRd the DBE must partieipate in the evaluatioR. UpoR eompleting the evaluation, the LOCA,L AGENCY must share the evaluation results ,-..,ith the CO}J:SULTANT and the DBE. An e1
laluation eould inelude items that must ae remedied upon reeeipt. If the LOCAL AGE}J:CY determines the DBE is Rot performing a CUF, the CO}tSULTA}ff must suspend performanee of the noneompliB:Rt work.
CO}tSULTA}ff and DBEs must suamit any additional CUF related reeords and doeumeRts within five (5) 01:1siness days of LOCAL AGENCY' s req1:1est s1:1eh as:
• Proof of ovmership or lease and rental agreements for equipment • Tax reeords
• Employee rosters
• Certified payroll reeords
• Inventory rosters
FailHre to suamit required DBE Commereially Useful FHnetion EYalHation forms or requested reeords and doeuments ean result in i.Yithholding of payment for the value of ·.vork eompleted ay the DBE.
If CONSULTA.}ff B:Rd/or the LOCAL i\GE}tCY determine that a listed DBE is not performing a CUF in performaRee of their DBE eommitted work, CONSULTA.NT mHst immediately suspend performance of the noncompliant portion of the Vt'Ork. LOCAL AGENCY may deny payment for the Roneompliant portion of the v,cork. LOCAL AGENCY will ask the CO}tSULTANT to suamit a corrective aetion plan (CAP) to the LOCAL AGEt-J:GY within five (5) days of the Roncompliant CUF determination. The CAP must identify how the CONSULTANT ,vill correet the Roncompliance findings for the remaining portion of the DBE's work.
LOCAL AGENCY has five (5) days to revievl the CAP in eoRjl:lRetion with the CONSULTA}ff's review.
The CONSULTA.NT must implement the CAP 1
.vithin frve (5) days of the LOCAL AGENCY's approval. The LOCAL A.GE}J:CY will then aHthori2e the prior noneompliant portion ofv,'ork for the DBE's eommitted werkIf eorreetive aetions caRnot ae aecomplished to ensure the DBE performs a commereially useful fuRction on the Contract, CO}J:SULTANT may have good eause to request termiRatioR of the DBE.
H. i\ DBE does Rot perform a CUF if its role is limited to that of an extra participant in a traRsaetioR, AGREEMENT, or praject throHgh whieh fuRds are passed in order to oataiR the appearaRee of DBE partieipatioR. In determining whether a DBE is sHeh an e)ctra participant, 0)(amiRe similar traRsactions, partieularly those in which DBEs do not participate.
l. lf a D-l:Hi does not perform or e)rnre1se responsil3itity for at least thirty percent (30%) of the total cost of its AGREEMENT with its own work force, or the DBE sHaeontracts a greater portion of the work of the AGREEMENT than would ae 0)(pected on the aasis of Rormal industf)' praetiee for the type of work involved, it will ae presumed that it is not performing a CUF.
J. CO}J:SULTANT shall maintain reeords of materials purehased or supplied from all suacontracts entered iRto 1,vith certified DBEs. The reeords shall show the Rame and ausiRess address of eaeh DBE or vendor and the total dollar amount actually paid each DBE or vendor, regardless oftier. The records shall sho1 n1
the date of payment and the total dollar figure paid to all firms. DBE CONSULTANT's shall also shov, the date ohvork performed ay their own forces along with the correspoRdiRg dollar value of the work.
K. If a DBE suaconsultant is deeertified during the life of the AGREEMENT, the decertified suaconsultant shall notify CONSULTANT iR writing with the date of decertifieatioR. If a suaconsultaRt aecomes a certified DBE during the life of the A.GREEMENT, the suaeoRsultant shall notify CONSULTANT iR writing with the date of eertifieation. An)' ehanges should ae reported to LOCAL AGE}J:CY's Contraet Administrator within thirty (3 0) ealendar days.
L. for prajects m,Yarded on or after Mareh 1, 2020, aut aefore Septemaer 1, 2023: after suamitting an iRvoice On-Call Engineering Services for Federally Funded Transportation Projects C-18 for reimbursement that ineludes a payment to a DBE, but no later than the 10th of the follovling month, the prime eontraetor/eonsultant must eomplete and email E*hibit 9 F: Disadvantaged Business Enterprise Running Tally of Payments to [email protected] vt'ith a eopy to loeal administering agene1es.
For prajeets a,Yarded on or after September 1, 2023: fachibit 9 F is no longer required. Instead, by the 15th of the month following the month of any payment(s), the CO1'+SULTANT must nov,' submit EJchibit 9 P to the LOCAL AGENCY administering the eontraet. If the CO1'+SULTANT does not make any payments to subeonsultants, supplier(s), and/or manufaeturers they must report "no payments ·.vere H1ade to subs this month" and v,rrite this visibly and legibly on EJchibit 9 P.
M. Any subeontraet entered into as a result of this AGREEMENT shall eontain all of the provisions of this section.
ARTICLE XIX INSURANCE
A. Prior to commencement of the work described herein, CONSULT ANT shall obtain, provide and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and, in a form, satisfactory to the LOCAL AGENCY.
B. GENERAL LIABILITY INSURANCE. Consultant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 0I, in an amount not less than $1,000,000 per occurrence, $2,000,000 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 "insured contract" language will not be accepted.
C. AUTOMOBILE LIABILITY INSURANCE. Consultant shall maintain automobile insurance at least as broad as Insurance Services Office form CA 00 0I covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with Services to be performed under this Agreement, including coverage for any owned, hired, non-owned or rented vehicles, in an amount not less than $1,000,000 combined single limit for each accident.
D. PROFESSIONAL LIABILITY INSURANCE (errors & omissions). Consultant shall maintain professional liability insurance that covers the Services to be performed in connection with this Agreement, in the minimum amount of $1,000,000 per claim and in the aggregate. Any policy inception date, continuity date, or retroactive date must be before the effective date of this Agreement and Consultant agrees to maintain continuous coverage through a period no less than three (3) years after completion of the services required by this Agreement.
E. WORKERS' COMPENSATION INSURANCE. Consultant shall maintain Workers' Compensation Insurance (Statutory Limits) and Employer's Liability Insurance (with limits of at least $1,000,000).
F. CONSUL TANT shall provide certificates of insurance to the LOCAL AGENCY as evidence of the insurance coverage required herein. Current certification of insurance shall be kept on file with the LOCAL AGENCY at all times during the term of this AGREEMENT.
G. The Certificate oflnsurance will provide:
1. That the insurer will not cancel the insured's coverage without thirty (30) calendar days prior written notice to LOCAL AGENCY.
2. That LOCAL AGENCY, its officers, agents, employees, and servants are included as additional insureds, but only insofar as the operations under this AGREEMENT are concerned.
3. That LOCAL AGENCY will not be responsible for any premiums or assessments on the policy.
H. CONSULT ANT agrees that insurance herein provided for, shall be in effect at all times during the term of this AGREEMENT. In the event said insurance coverage expires at any time or times during the term of this On-Call Engineering Services for Federally Funded Transportation Projects C-19 AGREEMENT, CONSUL TANT agrees to provide at least thirty (30) calendar days prior notice to said expiration date; and a new Certificate of Insurance evidencing insurance coverage as provided for herein, for not less than either the remainder of the term of the AGREEMENT. New Certificates of Insurance are subject to the approval of LOCAL AGENCY. In the event CONSULTANT fails to keep in effect at all times insurance coverage as herein provided, LOCAL AGENCY may, in addition to any other remedies it may have, terminate this AGREEMENT upon occurrence of such event.
ARTICLE XX FUNDING REQUIREMENTS
A. It is mutually understood between the parties that this AGREEMENT may have been written before ascertaining the availability of funds or appropriation of funds, for the mutual benefit of both parties, in order to avoid program and fiscal delays that would occur if the AGREEMENT were executed after that determination was made.
B. This AGREEMENT is valid and enforceable only if sufficient funds are made available to LOCAL AGENCY for the purpose of this AGREEMENT. In addition, this AGREEMENT is subject to any additional restrictions, limitations, conditions, or any statute enacted by the Congress, State Legislature, or LOCAL AGENCY governing board that may affect the provisions, terms, or funding of this AGREEMENT in any manner.
C. It is mutually agreed that if sufficient funds are not appropriated, this AGREEMENT may be amended to reflect any reduction in funds.
D. LOCAL AGENCY has the option to terminate the AGREEMENT pursuant to Article VI Termination, or by mutual agreement to amend the AGREEMENT to reflect any reduction of funds.
ARTICLE XXI CHANGE IN TERMS
A. This AGREEMENT may be amended or modified only by mutual written agreement of the parties.
B. CONSULT ANT shall only commence work covered by an amendment after the amendment is executed and notification to proceed has been provided by LOCAL AGENCY's Contract Administrator.
C. There shall be no change in CONSULTANT's Project Manager or members of the project team, as listed in the approved Cost Proposal, which is a part of this AGREEMENT without prior written approval by LOCAL AGENCY's Contract Administrator.
ARTICLE XXII CONTINGENT FEE
CONSULT ANT warrants, by execution of this AGREEMENT that no person or selling agency has been employed, or retained, to solicit or secure this AGREEMENT upon an agreement or understanding, for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees, or bona fide established commercial or selling agencies maintained by CONSULT ANT for the purpose of securing business. For breach or violation of this warranty, LOCAL AGENCY has the right to annul this AGREEMENT without liability; pay only for the value of the work actually performed, or in its discretion to deduct from the AGREEMENT price or consideration, or otherwise recover the full amount of such commission, percentage, brokerage, or contingent fee.
ARTICLE XXIII DISPUTES
Prior to either party commencing any legal action under this AGREEMENT, the parties agree to try in good faith, to settle any dispute amicably between them. If a dispute has not been settled after forty-five ( 45) days of good-faith negotiations and as may be otherwise provided herein, then either party may commence legal action against the other.
A. Any dispute, other than audit, concerning a question of fact arising under this AGREEMENT that is not disposed of by agreement shall be decided by a committee consisting of LOCAL AGENCY's Contract Administrator and (Insert Department Head or Official), who may consider written or verbal information submitted by CONSULTANT.
B. Not later than thirty (30) calendar days after completion of all deliverables necessary to complete the plans, specifications and estimate, CONSULT ANT may request review by LOCAL AGENCY Governing Board of On-Call Engineering Services for Federally Funded Transportation Projects C-20 unresolved claims or disputes, other than audit. The request for review will be submitted in writing.
C. Neither the pendency of a dispute, nor its consideration by the committee will excuse CONSUL TANT from full and timely performance in accordance with the terms of this AGREEMENT.
ARTICLE XXIV INSPECTION OF WORK
CONSUL TANT and any subconsultant shall permit LOCAL AGENCY, the State, and the FHW A if federal participating funds are used in this AGREEMENT; to review and inspect the project activities and files at all reasonable times during the performance period of this AGREEMENT.
ARTICLE XXV SAFETY
A. CONSUL TANT shall comply with OSHA regulations applicable to CONSUL TANT regarding necessary safety equipment or procedures. CONSUL TANT shall comply with safety instructions issued by LOCAL AGENCY Safety Officer and other LOCAL AGENCY representatives. CONSULTANT personnel shall wear hard hats and safety vests at all times while working on the construction project site.
B. Pursuant to the authority contained in Vehicle Code §591, LOCAL AGENCY has determined that such areas are within the limits of the project and are open to public traffic. CONSULTANT shall comply with all of the requirements set forth in Divisions 11, 12, 13, 14, and 15 of the Vehicle Code. CONSULTANT shall take all reasonably necessary precautions for safe operation of its vehicles and the protection of the traveling public from injury and damage from such vehicles.
C. Any subcontract entered into as a result of this contract, shall contain all of the provisions of this Article.
ARTICLE XXVI OWNERSHIP OF DATA
A. It is mutually agreed that all materials prepared by CONSUL TANT under this AGREEMENT shall become the property of City, and CONSUL TANT shall have no property right therein whatsoever. Immediately upon termination, City shall be entitled to, and CONSULT ANT shall deliver to City, reports, investigations, appraisals, inventories, studies, analyses, drawings and data estimates performed to that date, whether completed or not, and other such materials as may have been prepared or accumulated to date by CONSULTANT in performing this AGREEMENT which is not CONSULTANT's privileged information, as defined by law, or CONSULT ANT' s personnel information, along with all other property belonging exclusively to City which is in CONSUL TANT's possession. Publication of the information derived from work performed or data obtained in connection with services rendered under this AGREEMENT must be approved in writing by City.
B. Additionally, it is agreed that the Parties intend this to be an AGREEMENT for services and each considers the products and results of the services to be rendered by CONSULTANT hereunder to be work made for hire. CONSUL TANT acknowledges and agrees that the work (and all rights therein, including, without limitation, copyright) belongs to and shall be the sole and exclusive -property of City without restriction or limitation upon its use or dissemination by City.
C. Nothing herein shall constitute or be construed to be any representation by CONSULTANT that the work product is suitable in any way for any other project except the one detailed in this Contract. Any reuse by City for another project or project location shall be at City's sole risk.
D. Applicable patent rights provisions regarding rights to inventions shall be included in the contracts as appropriate (48 CFR 27 Subpart 27.3 - Patent Rights under Government Contracts for federal-aid contracts).
E. LOCAL AGENCY may permit copyrighting reports or other agreement products. If copyrights are permitted; the AGREEMENT shall provide that the FHW A shall have the royalty-free nonexclusive and irrevocable right to reproduce, publish, or otherwise use; and to authorize others to use, the work for government purposes.
ARTICLE XXVII CLAIMS FILED BY LOCAL AGENCY's CONSTRUCTION CONTRACTOR A. If claims are filed by LOCAL AGENCY's construction contractor relating to work performed by CONSULT ANT' s personnel, and additional information or assistance from CONSULT ANT' s personnel is required in order to evaluate or defend against such claims; CONSULT ANT agrees to make its personnel available for consultation with LOCAL AGENCY'S construction contract administration and legal staff and On-Call Engineering Services for Federally Funded Transportation Projects C-21 for testimony, if necessary, at depositions and at trial or arbitration proceedings.
B. CONSULTANT's personnel that LOCAL AGENCY considers essential to assist in defending against construction contractor claims will be made available on reasonable notice from LOCAL AGENCY.
Consultation or testimony will be reimbursed at the same rates, including travel costs that are being paid for CONSULT ANT' s personnel services under this AGREEMENT.
C. Services of CONSULTANT's personnel in connection with LOCAL AGENCY's construction contractor claims will be performed pursuant to a written contract amendment, if necessary, extending the termination date of this AGREEMENT in order to resolve the construction claims.
ARTICLE XXVIII CONFIDENTIALITY OF DATA
A. All financial, statistical, personal, technical, or other data and information relative to LOCAL AGENCY's operations, which are designated confidential by LOCAL AGENCY and made available to CONSUL TANT in order to carry out this AGREEMENT, shall be protected by CONSULTANT from unauthorized use and disclosure.
B. Permission to disclose information on one occasion, or public hearing held by LOCAL AGENCY relating to the AGREEMENT, shall not authorize CONSULT ANT to further disclose such information, or disseminate the same on any other occasion.
C. CONSULT ANT shall not comment publicly to the press or any other media regarding the AGREEMENT or LOCAL AGENCY' s actions on the same, except to LOCAL AGENCY' s staff, CONSULTANT's own personnel involved in the performance of this AGREEMENT, at public hearings, or in response to questions from a Legislative committee.
D. CONSULTANT shall not issue any news release or public relations item of any nature, whatsoever, regarding work performed or to be performed under this AGREEMENT without prior review of the contents thereof by LOCAL AGENCY, and receipt of LOCAL AGENCY'S written permission.
E. Any subcontract entered into as a result of this contract shall contain all of the provisions of this Article.
F. All information related to the construction estimate is confidential, and shall not be disclosed by CONSUL TANT to any entity, other than LOCAL AGENCY, Caltrans, and/or FHW A. All of the materials prepared or assembled by CONSULTANT pursuant to performance of this Contract are confidential and CONSUL TANT agrees that they shall not be made available to any individual or organization without the prior written approval of City or except by court order. If CONSULT ANT or any of its officers, employees, or subcontractors does voluntarily provide information in violation of this Contract, City has the right to reimbursement and indemnity from CONSULTANT for any damages caused by CONSULTANT releasing the information, including, but not limited to, City's attorney's fees and disbursements, including without limitation experls' fees and disbursements.
ARTICLE XXIX NATIONAL LABOR RELATIONS BOARD CF,RTTFTCA TION In accordance with Public Contract Code § 10296, CONSULT ANT hereby states under penalty of perjury that no more than one final unappealable finding of contempt of court by a federal court has been issued against CONSULTANT within the immediately preceding two-year period, because ofCONSULTANT's failure to comply with an order of a federal court that orders CONSULT ANT to comply with an order of the National Labor Relations Board.
ARTICLE XXX EVALUATION OF CONSULTANT
CONSULTANT's performance will be evaluated by LOCAL AGENCY. A copy of the evaluation will be sent to CONSULT ANT for comments. The evaluation together with the comments shall be retained as part of the AGREEMENT record.
ARTICLE XXXI PROMPT PAYMENT
A. PROMPT PAYMENT FROM LOCAL AGENCY TO CONSULT ANT
The LOCAL AGENCY shall make all project progress payment within 30 days after receipt of an undisputed and properly submitted payment request from CONSULTANT on a professional service contract. If the LOCAL AGENCY fails to pay promptly, the LOCAL AGENCY shall pay interest to the CONSULT ANT, On-Call Engineering Services for Federally Funded Transportation Projects C-22 which accrues at the rate of 10 percent per annum on the principal amount of a money judgment remaining unsatisfied and pro-rated as necessary. Upon receipt of the payment request, the LOCAL AGENCY shall act in accordance with both of the following:
(1) The LOCAL AGENCY shall review each payment request as soon as feasible after receipt to verify it is a proper payment request.
(2) The LOCAL AGENCY must return any payment request deemed improper by the LOCAL AGENCY to the CONSUL TANT as soon as feasible, but not later than seven (7) days, after receipt. A request returned pursuant to this paragraph shall include documentation setting forth in writing the reasons why it is an improper payment request.
B. PROMPTPAYMENTCERTIFICATION
For projects awarded on or after September 1, 2023: the CONSULTANT must now submit Exhibit 9-P to the LOCAL AGENCY administering the contract by the 15th of the month following the month of any payment(s).
If the CONSUL TANT does not make any payments to subconsultants, supplier(s), and/or manufacturers they must report "no payments were made to subs this month" and write this visibly and legibly on Exhibit 9-P.
The LOCAL AGENCY must verify all Exhibit 9-P information, monitor compliance with prompt payment requirements for DBE and non DBE firms, and address any shortfalls to the DBE eommitment and prompt payment issues until the end of the project. The LOCAL AGENCY m1:1st email a eopy of fo(hibit 9 P to [email protected] before the end of the month after reeeiving the EKhibit 9 P from the CONSULTANT.
ARTICLE XXXII TITLE VI ASSURANCES
APPENDICES A - E of the TITLE VI ASSURANCES
APPENDIX A
During the performance of this Agreement, the contractor, for itself, its assignees and successors in interest (hereinafter collectively referred to as CONSULT ANT) agrees as follows:
a. Compliance with Regulations: CONSULTANT shall comply with the regulations relative to nondiscrimination in federally assisted programs of the Department of Transportation, Title 49, Code of Federal Regulations, Part 21, as they may be amended from time to time, (hereinafter referred to as the REGULA TIO NS), which are herein incorporated by reference and made a part of this agreement. b. Nondiscrimination: CONSUL TANT, with regard to the work performed by it during the AGREEMENT, shall not discriminate on the grounds of race, color, sex, national origin, religion, age, or disability in the selection and retention of sub-applicants, including procurements of materials and leases of equipment.
CONSULT ANT shall not participate either directly or indirectly in the discrimination prohibited by Section 21.5 of the Regulations, including employment practices when the agreement covers a program set forth in Appendix B of the Regulations.
c. Solicitations for Sub-agreements, Including Procurements of Materials and Equipment: In all solicitations either by competitive bidding or negotiation made by CONSUL TANT for work to be performed under a Sub- agreement, including procurements of materials or leases of equipment, each potential sub-applicant or supplier shall be notified by CONSULTANT of the CONSULTANT'S obligations under this Agreement and the Regulations relative to nondiscrimination on the grounds of race, color, or national origin.
d. Information and Reports: CONSULT ANT shall provide all information and reports required by the Regulations, or directives issued pursuant thereto, and shall permit access to its books, records, accounts, other sources of information, and its facilities as may be determined by the recipient or FHWA to be pertinent to ascertain compliance with such Regulations or directives. Where any information required of CONSULTANT is in the exclusive possession of another who fails or refuses to furnish this information, CONSULT ANT shall so certify to the recipient or FHW A as appropriate, and shall set forth what efforts CONSULT ANT has made to obtain the information.
e. Sanctions for Noncompliance: In the event of CONSULTANT's noncompliance with the nondiscrimination provisions of this agreement, the recipient shall impose such agreement sanctions as it On-Call Engineering Services for Federally Funded Transportation Projects C-23 or the FHWA may determine to be appropriate, including, but not limited to:
1. withholding of payments to CONSULT ANT under the Agreement within a reasonable period of time, not to exceed 90 days; and/or
11. cancellation, termination or suspension of the Agreement, in whole or in part. f. Incorporation of Provisions: CONSULT ANT shall include the provisions of paragraphs ( 1) through ( 6) in every sub-agreement, including procurements of materials and leases of equipment, unless exempt by the Regulations, or directives issued pursuant thereto.
CONSULT ANT shall take such action with respect to any sub-agreement or procurement as the recipient or FHW A may direct as a means of enforcing such provisions including sanctions for noncompliance, provided, however, that, in the event CONSUL TANT becomes involved in, or is threatened with, litigation with a subapplicant or supplier as a result of such direction, CONSULT ANT may request the recipient enter into such litigation to protect the interests of the State, and, in addition, CONSULTANT may request the United States to enter into such litigation to protect the interests of the United States.
APPENDIXB
CLAUSES FOR DEEDS TRANSFERRING UNITED STATES PROPERTY
The following clauses will be included in deeds effecting or recording the transfer of real property, structures, or improvements thereon, or granting interest therein from the United States pursuant to the provisions of Assurance 4:
NOW THEREFORE, the U.S. Department of Transportation as authorized by law and upon the condition that the recipient will accept title to the lands and maintain the project constructed thereon in accordance with Title 23 U.S.C., the regulations for the administration of the preceding statute, and the policies and procedures prescribed by the FHWA of the U.S. Department of Transportation in accordance and in compliance with all requirements imposed by Title 49, Code of Federal Regulations, U.S. Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Non-discrimination in Federally-assisted programs of the U.S. Department of Transportation pertaining to and effectuating the provisions of Title VI of the Civil Rights Act of 1964 (78 Stat. 252; 42 U.S.C. § 2000d to 2000d-4 ), does hereby remise, release, quitclaim and convey unto the recipient all the right, title and interest of the U.S. Department of Transportation in and to said lands described in Exhibit A attached hereto and made a part hereof.
(HABENDUM CLAUSE)
TO HA VE AND TO HOLD said lands and interests therein unto the recipient and its successors forever, subject, however, to the covenants, conditions, restrictions and reservations herein contained as follows, which will remain in effect for the period during which the real property or structures are used for a purpose for which Federal financial assistance is extended or for another purpose involving the provision of similar services or benefils and will be binding on the recipitml, ils SUl:l:essors aml assigns. The rt:l:ipienl, in wnsi<leraliun uf the conveyance of said lands and interest in lands, does hereby covenant and agree as a covenant running with the land for itself, its successors and assigns, that ( 1) no person will on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be otherwise subjected to discrimination with regard to any facility located wholly or in part on, over, or under such lands hereby conveyed [,] [and]* (2) that the recipient will use the lands and interests in lands and interest in lands so conveyed, in compliance with all requirements imposed by or pursuant to Title 49, Code of Federal Regulations, U.S. Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Non-discrimination in Federally-assisted programs of the U.S. Department of Transportation, Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations and Acts may be amended[, and (3) that in the event of breach of any of the above- mentioned nondiscrimination conditions, the Department will have a right to enter or re-enter said lands and facilities on said lands, and that above described land and facilities will thereon revert to and vest in and become the absolute property of the U.S. Department of Transportation and its assigns as such interest existed prior to this instruction].*
(*Reverter clause and related language to be used only when it is determined that such a clause is necessary in order to make clear the purpose of Title VI.)
On-Call Engineering Services for Federally Funded Transportation Projects C-24
APPENDIXC
CLAUSES FOR TRANSFER OF REAL PROPERTY ACQUIRED OR IMPROVED UNDER THE
ACTIVITY, FACILITY, OR PROGRAM
The following clauses will be included in deeds, licenses, leases, permits, or similar instruments entered into by the recipient pursuant to the provisions of Assurance 7(a):
A. The (grantee, lessee, permittee, etc. as appropriate) for himself/herself, his/her heirs, personal representatives, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant and agree [in the case of deeds and leases add "as a covenant running with the land"] that:
1. In the event facilities are constructed, maintained, or otherwise operated on the property described in this (deed, license, lease, permit, etc.) for a purpose for which a U.S. Department of Transportation activity, facility, or program is extended or for another purpose involving the provision of similar services or benefits, the (grantee, licensee, lessee, permittee, etc.) will maintain and operate such facilities and services in compliance with all requirements imposed by the Acts and Regulations(as may be amended) such that no person on the grounds of race, color, or national origin, will be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities.
B. With respect to licenses, leases, permits, etc., in the event of breach of any of the above Nondiscrimination covenants, the recipient will have the right to terminate the (lease, license, permit, etc.) and to enter, re-enter, and repossess said lands and facilities thereon, and hold the same as if the (lease, license, permit, etc.) had never been made or issued.*
C. With respect to a deed, in the event of breach of any of the above Non-discrimination covenants, the recipient will have the right to enter or re-enter the lands and facilities thereon, and the above described lands and facilities will there upon revert to and vest in and become the absolute property of the recipient and its assigns.*
(*Reverter clause and related language to be used only when it is determined that such a clause is necessary to make clear the purpose of Title VI.)
APPENDIXD
CLAUSES FOR CONSTRUCTION/USE/ACCESS TO REAL PROPERTY ACQUIRED UNDER THE
ACTIVITY, FACILITY OR PROGRAM
The following clauses will be included in deeds, licenses, permits, or similar instruments/agreements entered into by the recipient pursuant to the provisions of Assurance 7(b ):
A. The (grantee, licensee, permittee, etc., as appropriate) for himself/herself, his/her heirs, personal representatives, successors in interest ,and assigns, as a part of the consideration hereof, does hereby covenant and agree (in the case of deeds and leases add, "as a covenant running with the land") that (1) no person on the ground of race, color, or national origin, will be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities, (2) that in the construction of any improvements on, over, or under such land, and the furnishings of services thereon, no person on the ground of race, color, or national origin, will be excluded from participation in, denied the benefits or, or otherwise be subjected to discrimination, (3) that the (grantee, licensee, lessee, permittee, etc.) will use the premises in compliance with all other requirements imposed by or pursuant to the Acts and Regulations, as amended, set forth in this Assurance.
B. With respect to (licenses, leases, permits, etc.) in the event of breach of any of the above of the above Non-discrimination covenants, the recipient will have the right to terminate the (license, permits, etc., as appropriate) and to enter or re-enter and repossess said land and the facilities thereon, and hold the same as if said (license, permit, etc., as appropriate) had never been made or issued.* C. With respect to deeds, in the event of breach of any of the above Non-discrimination covenants, the recipient will there upon revert to and vest in and become the absolute property of the recipient and its assigns.
On-Call Engineering Services for Federally Funded Transportation Projects C-25
APPENDIXE
During the performance of this contract, the CONSULTANT, for itself, its assignees, and successors in interest (hereinafter referred to as the "CONSULTANT") agrees to comply with the following non- discrimination statutes and authorities, including, but not limited to:
Pertinent Non-Discrimination Authorities:
• Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d et seq., 78 stat. 252), prohibits discrimination on the basis of race, color, national origin); and 49 CFR Part 21. • The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. § 4601 ), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects);
• Federal-Aid Highway Act of 1973, (23 U.S.C. § 324 et seq.), prohibits discrimination on the basis of sex;
• Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. § 794 et seq.), as amended, (prohibits discrimination on the basis of disability); and 49 CR Part 27; • The Age Discrimination Act of 1975, as amended, (42 U.S.C. § 6101 et seq.), prohibits discrimination on the basis of age);
• Airport and Airway Improvement Act of 1982, (49 U.S.C. § 471, Section 47123), as amended, (prohibits discrimination based on race, creed, color, national origin, or sex); • The Civil Rights Restoration Act of 1987, (PL 100-209), (Broadened the scope, coverage and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975 and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms "programs or activities" to include all of the programs or activities of the Federal-aid recipients, sub-recipients and contractors, whether such programs or activities are Federally funded or not); • Titles II and III of the Americans with Disabilities Act, which prohibit discrimination of the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing entities (42 U.S.C. §§ 12131 - 12189) as implemented by Department of Transportation regulations 49 C.F.R. parts 37 and 38; • The Federal Aviation Administration's Non-discrimination statute (49 U.S.C. § 47123) (prohibits discrimination on the basis of race, color, national origin, and sex); • Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations, which ensures discrimination against minority populations by discouraging programs, policies, and activities with disproportionately high and adverse human health or ~11v iru11111~utal effects on mi1101 ity and low-im;um~ µopulations; • Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency, and resulting agency guidance, national origin discrimination includes discrimination because of Limited English Proficiency (LEP). To ensure compliance with Title VI, you must take reasonable steps to ensure that LEP persons have meaningful access to your programs (70 Fed. Reg. at 74087 to 74100); • Title IX of the Education Amendments of 1972, as amended, which prohibits you from discriminating because of sex in education programs or activities (20 U.S.C.1681 et seq).
ARTICLE XXXIII NOTIFICATION
All notices hereunder and communications regarding interpretation of the terms of this AGREEMENT and changes thereto, shall be affected by the mailing thereof by registered or certified mail, return receipt requested, postage prepaid, and addressed as follows:
On-Call Engineering Services for Federally Funded Transportation Projects C-26 CONSULTANT:
(CONSUL TANT)
__ (_N_A_ M_E ___ )~-----------"-' Project Manager
(ADDRESS)
LOCAL AGENCY:
(LOCAL AGENCY)
__ ( __ N_A_M_E__.)~ __________ _,_, Contract Administrator (ADDRESS)
ARTICLE XXXIV CONTRACT
The two parties to this AGREEMENT, who are the before named CONSULT ANT and the before named LOCAL AGENCY, hereby agree that this AGREEMENT constitutes the entire AGREEMENT which is made and concluded in duplicate between the two parties. Both of these parties for and in consideration of the payments to be made, conditions mentioned, and work to be performed; each agree to diligently perform in accordance with the terms and conditions of this AGREEMENT as evidenced by the signatures below.
ARTICLE XXXV SIGNATURES
Date:
(Name of LOCAL AGENCY)
(Signature)
(Name of Signer)
------ Date:
(Name of CONSUL TANT)
(Signature)
(Name of Signer)
-------
On-Call Engineering Services for Federally Funded Transportation Projects C-2 7
APPENDIX D - REQUIRED LOCAL ASSISTANCE EXHIBITS
SAMPLE COST PROPOSAL . . .. . . .. . .. . . .. . . . . .. . . ... . . . .. . . .. . . .. . . . . . . .. . .. . ... . . . . . . .. .. .... .. . . ... .. ... .. . . .. . . . .. .. . . . ... . . . . .. . . D-1 CERTIFICATION OF INDIRECT COST AND FINANCIAL MANAGEMENT SYSTEM.......... D-5 (INSPECTOR GENERAL FORM)
EXHIBIT 10 I
EXHIBIT 10 01
EXHIBIT 10 02
EXHIBIT 10-Q
EXHIBIT 15 H
NOTICE OF PR-OPOSERS DBE I}ffQRMATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . D 7 CO}tSULTA}ff DBE COl\1MITMENT ... .. ... . ..... ... ...... ...... .. ..... .. ... ...... ..... D 9 CO}+SULTANT CONTRACT DBE COMMITMENT.............................. D 10 DISCLOSURE OF LOBBYING ACTIVITIES......................................... D-11 DBE I}ffQRMATION GOOD FAITH EFFORTS ... ....... ... ... . .. .. .. .. ........ D 12 On-Call Engineering Services for Federally Funded Transportation Projects APPENDIXD Note: Mark-ups are Not Allowed
Consultant
COST PROPOSAL 2
SPECIFIC RA TE OF COMPENSATION (USE FOR ON-CALL OR AS-NEEDED CONTRACTS) (CONSTRUCTION ENGINEERING AND INSPECTION CONTRACTS)
0 Prime Consultant 0 Subconsultant --------------- ---- Contract Amount $
COST PROPOSAL
0 211d Tier Subconsultant
Project No. _________ _ Contract No. _______ _ Date --------- ------- For Combined Rate
Fringe Benefit% + General &Administrative% =
OR
For Home Office Rate
Fringe Benefit% + General &Administrative% =
For Field Office Rate
Fringe Benefit% + General &Administrative% =
Fee
BILLING INFORMATION CALCULATION INFORMATION
Name/Job Title/Classification 1 Hourly Billing Rates2 Effective Date of Hourly Rate Actual or Avg. %or$ John Doe - Project Manager*
Civil Engineer II
Sue Jones - Construction
Engineer/Inspector
Engineer I
Buddy Black - Claims Engineer
Engineer III
Land Surveyor * *
Technician
(Add pages as necessary)
NOTES:
Straight3 OT(l .5x)
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
$0.00 $0.00
OT(2x) From To Hourly Rate4 Increase
$0.00 01/01/2016 12/31/2016 $0.00
$0.00 01/01/2017 12/31/2017 $0.00 0.0%
$0.00 01/01/2018 12/31/2018 $0.00 0.0%
$0.00 01/01/2016 12/31/2016 $0.00
$0.00 01/01/2017 12/31/2017 $0.00 0.0%
$0.00 01/01/2018 12/31/2018 $0.00 0.0%
$0.00 0l/01/2016 12/31/2016 $0.00
$0.00 01/01/2017 12/31/2017 $0.00 0.0%
$0.00 01101/2018 12/31/2018 $0.00 0.0%
$0.00 01/01/2016 12/31/2016 $0.00
$0.00 01/01/2017 12/31/2017 $0.00 0.0%
$0.00 01/01/2018 12/31/2018 $0.00 0.0%
$0.00 01/01/2016 12/31/2016 $0.00
$0.00 01/01/2017 12/31/2017 $0.00 0.0%
$0.00 0l/01/2018 12/31/2018 $0.00 0.0%
Combined ICR%
Home Office ICR%
Field Office ICR%
%
Hourly Range -
for Classifications Only
Not Applicable
Not Applicable
Not Applicable
$00 - $00
$00 - $00
$00 - $00
$00 - $00
$00 - $00
$00 - $00
D-1
COST PROPOSAL
1. Key personnel must be marked with an asterisk(*) and employees that are subject to prevailing wage requirements must be marked with two asterisks (**).All costs must comply with the Federal cost principles. Subconsultants will p::-ovide their own cost proposals.
2. The cost proposal format shall not be amended.
3. Billing rate= actual hourly rate* (l+ ICR) * (1+ Fee) Indirect cost rates shall be updated on an annual basis in accordance with the consultant's annual accounting period and established by a cognizant agency or accepted by Caltrans. All costs must comply with the Federal cost principles for reimbursement.
4. For named employees and key personnel enter the actual hourly rate. For classifications only, enter the Average Hourly Rate for that classification.
COST PROPOSAL 2
SPECIFIC RA TE OF COMPENSATION (USE FOR ON-CALL OR AS-NEEDED CONTRACTS) (CONSTRUCTION ENGINEERING AND INSPECTION CONTRACTS)
Consultant D Prime Consultant D Subconsultant ---------------------- Project No. _________ _ Contract No. ----------- Date
SCHEDULE OF OTHER DIRECT COST ITEMS (Add additional pages as necessary) Description of Item Quantity Unit Unit Cost
Mileage Costs $ $
Equipment Rental and Supplies $ $
Permit Fees $ $
Plan Sheets $ $
Test $ $
Vehicle $ $
Subconsultant 1: $
Subconsultant 2: $
Subconsultant 3: $
Subconsultant 4: $
Subconsultant 5: $
Note: Add additional pages if necessary.
NOTES :
Total
I.
2. 3.
4. 5.
6. 7.
List other direct cost items with estimated costs. Th.ese costs should be competitive in their respective industries and supported with appropriate documentation.
Proposed ODC items should be consistently billed regardless of client and contract type.
Items when incurred for the same purpose, in like ~ircumstance, should not be included in any indirect cost pool or in the overhead rate.
Items such as special tooling, will be reimbursed at actual cost with supporting documentation (invoice).
Items listed above that would be considered "tools of the trade" are not reimbursable as other direct cost.
Travel related costs should be pre-approved by the contracting agency and shall not exceed current State Department of Personnel Administration rules.
If mileage is claimed, the rate should be properly supported by the consultant's calculation of their actual costs for company vehicles. In addition, the miles claimed should be supported by mileage logs.
D-2
COST PROPOSAL
8. If a consultant proposes rental costs for a vehicle, the company must demonstrate that this is its standard procedure for all of their contracts and that they do not own any vehicles that could be used for the same purpose.
9. The cost proposal format shall not be amended. All costs must comply with the Federal cost principles.
10. Add additional pages if necessary .
11 . Subconsultants must provide their own cost proposals.
D-3
COST PROPOSAL
COST PROPOSAL 2
Certification of Direct Costs:
I, the undersigned, certify to the best of my knowledge and belief that all direct costs identified on the cost proposal(s) in this contract are actual, reasonable, allowable, and allocable to the contract in accordance with the contract terms and the following requirements:
I. Generally Accepted Accounting Principles (GAAP)
2. Terms and conditions of the contract
3. Title 23 United States Code Section 112 - Letting of Contracts
4. 48 Code of Federal Regulations Part 31 - Contract Cost Principles and Procedures
5. 23 Code of Federal Regulations Part 172 - Procurement, Management, and Administration of Engineering and Design Related Service
6. 48 Code of Federal Regulations Part 9904 - Cost Accounting Standards Board (when applicable) All costs must be applied consistently and fairly to all contracts. All documentation of compliance must be retained in the project files and be in compliance with applicable federal and state requirements. Costs that are noncompliant with the federal and state requirements are not eligible for reimbursement.
Prime Consultant or Subconsultant Certifying:
Name: ________________ _ Title*: ________________ _
Signature : _______________ _ Date of Certification (mm/dd/yyyy): _____ _ Email: ________________ _ Phone Number: _____________ _ Address: ----------------------------------
* An individual executive or financial officer of the consultant's or subconsultant's organization at a level no lower than a Vice President or a Chief Financial Officer, or equivalent, who has authority to represent the financial information utilized to establish the cost proposal for the contract.
List services the consultant is providing under the proposed contract:
D-4
Inspector General
California Department of Transportation
Certification of Indirect Costs and Financial Management System (Note: If a Safe Harbor Indirect Cost Rate is approved, this form is not required) Consultant's Full Legal Name: _______________________ _ Important: Consultant means the individual or consultant providing engineering and design related services as a party of a contract with a recipient or sub-recipient of Federal assistance. Therefore, the Indirect Cost Rate(s) shall not be combined with its parent company or subsidiaries.
Indirect Cost Rate (ICR):
Combined Rate: ________ _ Or
Home Office Rate: ________ _ and Field Office Rate (if applicable): ________ _ Facilities Capital Cost of Money (if applicable): _________________ _ Fiscal Period:* __________ _
* Fiscal period is annual one year applicable accounting period that the ICR was developed (not the contract period). The ICR is based on the consultant's one-year applicable accounting period for which financial statements are regularly prepared by the consultant.
I have reviewed the proposal to establish an ICR(s) for the fiscal period as specified above and have determined to the best of my knowledge and belief that:
• All costs included in the cost proposal to establish the ICR(s) are allowable in accordance with the cost principles of the Federal Acquisition Regulation (FAR) 48, Code of Federal Regulations (CFR), Chapter 1, Part 31 (48 CFR Part 31 ).
• The cost proposal does not include any costs which are expressly unallowable under the cost principles of 48 CFR Part 31.
• The accounting treatment and billing of prevailing wage delta costs are consistent with our prevailing wage policy as either direct labor, indirect costs, or other direct costs on all federally-funded A&E Consultant Contracts.
• All known material transactions or events that have occurred subsequent to year-end affecting the consultant's ownership, organization, and indirect cost rates have been disclosed as of the date of this certification.
I am providing the required and applicable documents as instructed on the Financial Document Review Request form.
Financial Management System:
Our labor charging, job costing, and accounting systems meet the standards for financial reporting, accounting records, and internal control adequate to demonstrate that costs claimed have been incurred, appropriately accounted for, are allocable to the contract, and comply with the federal requirements as set forth in Title 23 United States Code (U .S.C.) Section 112(b)(2)· 48 CFR Part 31 .201-2(d)· 23 CFR. Chapter 1, Part 172.11(a)(2)· and all applicable state and federal rules and regulations.
Our financial management system has the following attributes:
• Account numbers identifying allowable direct, indirect, and unallowable cost accounts; • Ability to accumulate and segregate allowable direct, indirect, and unallowable costs into separate cost accounts;
Certification of Indirect Costs and Financial Management System - Independent Office of Audits and Investigations - Revised 9/2022 0-5 • Ability to accumulate and segregate allowable direct costs by project, contract and type of cost; • Internal controls to maintain integrity of financial management system; • Ability to account and record costs consistently and to ensure costs billed are in compliance with FAR; • Ability to ensure and demonstrate costs billed reconcile to general ledgers and job costing system; and • Ability to ensure costs are in compliance with contract terms and federal and state requirements.
Cost Reimbursements on Contracts:
I also understand that failure to comply with 48 CFR Part 16.301-3 or knowingly charge unallowable costs to Federal-Aid Highway Program (FAHP) contracts may result in possible penalties and sanctions as provided by the following:
• Sanctions and Penalties - 23 CFR Part 172.11 (c)(4)
• False Claims Act - Title 31 U.S.C. Sections 3729-3733 • Statements or entries generally - Title 18 U.S.C. Section 1001 • Major Fraud Act - Title 18 U.S.C. Section 1031
All A&E Contract Information:
• Total participation amount _________ on all State and FAHP contracts for Architectural & Engineering services that the consultant received in the last three fiscal periods. • The number of states in which the consultant does business is • Years of consultant's experience with 48 CFR Part 31 is • Identify the type of audits listed below that the consultant has had performed (if applicable):
Cognizant ICR Audit □
CPA ICR Audit □
Local Govt ICR Audit □
Federal Govt ICR Audit □
Caltrans ICR Audit □
I, the undersigned, certify all of the above to the best of my knowledge and belief and that I have reviewed the ICR Schedule to determine that any costs which are expressly unallowable under the Federal cost principles have been removed and comply with Title 23 U.S.C. Section 112(b)(2). 48 CFR Part 31 23 CFR Part 172 and all applicable state and federal rules and regulations. I also certify that I understand that all documentation of compliance must be retained by the consultant. I hereby acknowledge that costs that are noncompliant with the federal and state requirements are not eligible for reimbursement and must be returned to Caltrans.
Name:** ----------~--- - Title**:
Signature: ______________ _ Date:
Phone**: _______ _ Email**: _________________ _
**An individual executive or financial officer of the consultant's or subconsultant's organization at a level no lower than a Vice President, a Chief Financial Officer, or equivalent, who has authority to represent the financial information used to establish the indirect cost rate.
Note: Both prime and subconsultants as parties of a contract must complete their own forms. Caltrans will not process local agency's invoices until a complete form is accepted and approved by the Independent Office of Audits and Investigations.
Certification of Indirect Costs and Financial Management System - Independent Office of Audits and Investigations - Revised 9i2022 D-6 Local Assistance Procedures Manual Exhibit 10-1
Notice to Proposers DBE Information
Exhibit 10-1: Notice to Proposers DBE Information
(federally funded projects only)
The Local Public Agency (LPA) has established a DBE goal for this Contract of __ 14_-_o_o __ ¾
1. TERMS AS USED IN THIS DOCUMENT
• The term "Disadvantaged Business Enterprise" or "DBE" means a for-profit small business concern owned and controlled by a socially and economically disadvantaged person(s) as defined in Title 49, Code of Federal Regulations (CFR), Part 26.5.
• The term "Agreement" also means "Contract."
• LPA also means the local entity entering into this contract with the Contractor or Consultant. • The term "Small Business" or "SB" is as defined in 49 CFR 26.65.
2. AUTHORITY AND RESPONSIBILITY
A. DBEs and other small businesses are strongly encouraged to participate in the performance of Contracts financed in whole or in part with federal funds (see 49 CFR 26: Participation by Disadvantaged Business Enterprises in Department of Transportation Financial Assistance Programs).
The Consultant must ensure that DBEs and others I businesses have the opportunity to participate in the performanc ubject oft olicitation ould take all necessary and reasonable step st not dis on the basis of race, color, national origin,
B. Proposers are e
DBEs.
3. SUBMISSION OF D
If there is a DBE goal
wned and controlled by
included in the Propo onsive, the proposer
must make good faith rts to meet the ~,., ... I es contract. If the go ot met, the proposer must document adequate good faith efforts. All DBE participation will be counted towards meeting the contract goal; therefore, all DBE participation must be collected and reported.
Exhibit 10-02: Consultant Contract DBE Information must be included in best qualified consultant's executed consultant contract. Even if no DBE participation will be reported, the successful proposer must execute and return the form.
4. DBE PARTICIPATION GENERAL INFORMATION
It is the proposer's responsibility to be fully informed regarding the requirements of 49 CFR 26, and the Department's DBE program developed pursuant to the regulations. Particular attention is directed to the following:
A. A DBE must be a small business firm defined pursuant to 13 CFR 121 and be certified through the California Unified Certification Program (CUCP).
B. A certified DBE may participate as a prime consultant, subconsultant, joint venture partner, as a vendor of material or supplies, or as a trucking company.
C. A DBE proposer not proposing as a joint venture with a non-DBE, will be required to document one or a combination of the following:
1. The proposer is a DBE and will meet the goal by performing work with its own forces.
Page D-7
January 2025
Local Assistance Procedures Manual Exhibit 10-1
Notice to Proposers DBE Information
2. The proposer will meet the goal through work performed by DBE subconsultants, suppliers or trucking companies.
3. The proposer, prior to proposing, made adequate good faith efforts to meet the goal.
D. A DBE joint venture partner must be responsible for specific contract items of work or clearly defined portions thereof. Responsibility means actually performing, managing, and supervising the work with its own forces. The DBE joint venture partner must share in the capital contribution, control, management, risks and profits of the joint venture commensurate with its ownership interest.
E. A DBE must perform a commercially useful function pursuant to 49 CFR 26.55, that is, a DBE firm must be responsible for the execution of a distinct element of the work and must carry out its responsibility by actually performing, managing and supervising the work.
F. The proposer must list only one subconsultant for each portion of work as defined in their proposal and all DBE subconsultants should be listed in the bid/cost proposal list of subconsultants.
G. A prime consultant who is a certified DBE is eligible to claim all of the work in the Contract toward the DBE participation except that portion of the work to be performed by non-DBE subconsultants.
5. COUNTING DBE PARTICIPATION
Materials or supplies purchased from DBEs count towards the DBE goal under the following conditions:
A. If the materials or supplies are obtained from a DBE manufacturer, count 100 percent of the cost of the materials or sup A DBE manuf rer is a fir t operates intains a factory, or establishment th ises the rials, sup ·c1es, or equipment required under the Contr ribed by t tions.
B. If the materials
materials or sup aintains a store,
warehouse, or o equipment of the general
character descri ought, kept in stock, and
regularly sold or E regular dealer, the
firm must be an ess and under its own
name, in the pu product uestion. A perso be a DBE regular dealer in such bulk items as petroleum pro s, steel, cement, gravel, stone or asphalt without owning, operating or maintaining a place of business provided in this section.
C. If the person both owns and operates rlistribution equipment for the products, any supplementing of regular dealers' own distribution equipment must be, by a long-term lease agreement and not an ad hoc or Agreement-by-Agreemenl l>c:1~i::;. Pc:1ckagers, brokers, manufacturers' representatives, or other persons who arrange or expedite transactions are not DBE regular dealers within the meaning of this section.
D. Materials or supplies purchased from a DBE, which is neither a manufacturer nor a regular dealer, will be limited to the entire amount of fees or commissions charged for assistance in the procurement of the materials and supplies, or fees or transportation charges for the delivery of materials or supplies required on the job site, provided the fees are reasonable and not excessive as compared with fees charged for similar services
6. RESOURCES
A. The CUCP database includes the certified DBEs from all certifying agencies participating in the CUCP. If you believe a firm is certified that cannot be located on the database, please email [email protected] for assistance.
B. Access the CUCP database from the Department of Transportation, Office of Civil Rights website. For guidance on how to search for certified firms using the CUCP database, please visit: DBE Goal Setting I Caltrans
Page D-8
January 2025
Local Assistance Procedures Manual Exhibit 10-01
Consultant Proposal DBE Commitment
EXHIBIT 10-01 CONSULT ANT PROPOSAL DBE COMMITMENT
1 . Local Agency:
3. Project Description:
4. Project Location:
5. Consultant's Name:
7. Description of Work, Service, or Materials
Supplied
Local Agency
17. Local Agency Contract Num
18. Federal-Aid Project Number:
8. DBE
Certification
Number
19. Proposed Contract Execution Date: 02/27/2024
20. Consultant's Ranking after Evaluation
Local Agency certifies that all DBE certifications are valid and information on this form is complete and accurate.
21 . Local Agency Representative's Signature
Ben Gallegos
23. Local Agency Representative's Name
City Manager
25. Local Agency Representative's Title
02/27/2024
22. Date
(559) 659-2043
24. Phone
DISTRIBUTION: Original - Included with consultant's proposal to local agency.
2. Contract DBE Goal:
6. Prime Certified DBE: □
9. DBE Contact Information 10. DBE%
TICIPATION
IMPORTANT: Identify all DBE firms being claimed for credit, regardless of tier. Written confirmation of each listed DBE is required .
12. Preparer's Signature
Mario B Gouveia, PE
14. Preparer's Name
President/ Principal Engineer
16. Preparer's Title
01/17/2024
13. Date
(209) 854-3300
15. Phone
%
ADA Notice: For individuals with sensory disabilities, this document is available in alternate formats. For information call (916) 654-641 0 or TDD (916) 654- 3880 or write Records and Forms Management, 1120 N Street, MS-89, Sacramento, CA 95814.
LPP 18-01 D-9
January 2019
Local Assistance Procedures Manual Exhibit 10-02
Consultant Contract DBE Commitment
EXHIBIT 10-02 CONSULTANT CONTRACT DBE COMMITMENT
1 . Local Agency: 2. Contract DBE Goal:
3. Project Description:
4. Project Location:
5. Consultant's Name: 6. Prime Certified DBE: □ 7. Total Contract Award Amount: ------------- 8. Total Dollar Amount for ALL Subconsultants:
10. Description of Work, Service, or Materials
Supplied
Local Agenc
20. Local Agency Contract 1\11,mhcr·
21. Federal-Aid Project Number:
22. Contract Execution n:::it,:,·
11. DBE
Certification
Number
9. Total Number of ALL Subconsultants:
12. DBE Contact Information
14. TOTAL CLAIMED DBE PARTICIPATION
$
13. DBE
Dollar
Amount
Local Agency certifies that all DBE certifications are valid and information on this form is complete and accurate.
IMPORTANT: Identify all DBE firms being claimed for credit, regardless of tier. Written confirmation of each listed DBE is required .
23. Local Agency Representative's Signature 24. Date 15. Preparer's Signature 16. Date
25. Local Agency Representative's Name 26. Phone 17. Preparer's Name 18. Phone
27. Local Agency Representative's Title 19. Preparer's Title DISTRIBUTION: 1. Original - Local Agency
2. Copy - Caltrans District Local Assistance Engineer (DLAE). Failure to submit to DLAE within 30 days of contract execution may result in de-obligation of federal funds on contract.
ADA Notice: For individuals with sensory disabilities, this document is available in alternate formats. For information call (916) 654-641 0 or TDD (916) 654- 3880 or write Records and Forms Management, 1120 N Street, MS-89, Sacramento, CA 95814. %
D-10
July 23, 2015
Local Assistance Procedures Manual EXHBIT 10-Q
Disclosure of Lobbying Activities
EXHIBIT 10-Q DISCLOSURE OF LOBBYING ACTIVITIES
COMPLETE THIS FORM TO DlSCLOSE LOBBYING ACTIVITIES PURSUANT TO 31 U.S.C. 1352
1. Type of Federal Action: 2. Status of Federal Action: 3. Report Type:
□ a. contract
Db. grant
□ a. bid/offer/application
D b. initial award
D a. initial
D b. material change
D c. cooperative agreement
D d. loan
D c. post-award
4. 6.
8. 10.
□ e. loan guarantee
D f. loan insurance
Name and Address of Reporting Entity
D Prime D Subawardee
Tier ___ , if known
Congressional District, if known
Federal Department/Agency:
Federal Action Number, if known:
Name and Address of Lobby Entity
(If individual, last name, first name, MI)
For Material Change Only:
year __ quarter ___ _
date of last report ____ _
5. If Reporting Entity in No. 4 is Subawardee,
Enter Name and Address of Prime:
Congressional District, if known
7. Federal Program Name/Description:
CFDA Number, if applicable ________ _
9. Award Amount, if known:
11. Individuals Performing Services
(including address if different from No. 10)
(last name, first name, MI)
(attach Continuation Sheet(s) if necessary)
12. Amount of Payment (check all that apply)
13. $ ______ D actual □ planned
Form of Payment (check all that apply):
□ a. cash
Db. in-kind; specify: nature _____ _
Value ------
14. Type of Payment (check all that apply)
D a. retainer
Db. one-time fee
□ c. commission
D d. contingent fee
□ e. deferred
Df. other, specify _________ _
15. Brief Description of Services Performed or to be performed and Date(s) of Service, including officer(s), employee(s), or member(s) contacted, for Payment Indicated in Item 12:
(attach Continuation Sheet(s) if necessary)
16. Continuation Sheet(s) attached: D Yes
17. Information requested through this form is authorized by Title 31 U.S.C. Section 1352. This disclosure of lobbying reliance was placed by the tier above when his transaction was made or entered into. This disclosure is required pursuant to 31 U.S.C. 1352. This information will be reported to Congress
semiannually and will be available for public inspection. Any person who fails to file the required disclosure shall be subject to a civil penalty of not less than $10,000 and not more than $ I 00,000 for each such failure.
Federal Use Only:
No
Signature: _________________ _
Print Name: ------------------
Title: - - --- ---------------
Telephone No.: _________ Date: ____ _
Authorized for Local Reproduction
Standard Form - LLL
Standard Form LLL Rev. 04-28-06
Distribution: Orig- Local Agency Project Files
LPP 13-01
D-11
May 8, 2013
Local Assistance Procedures Manual Exhibit 15-H
Proposer/Contractor Good Faith Effort
EXHIBIT 15-H: PROPOSER/CONTRACTOR GOOD FAITH EFFORTS
Cost Proposal Due Date _________ PE/CE
Federal-aid Project No(s). _________ Bid Opening Date CON The (Agency Name) established a Disadvantaged Business Enterprise (DBE) goal of __ % for this contract. The information provided herein shows the required good faith efforts to meet or exceed the DBE contract goal.
Proposers or bidders submit the following information to document their good faith efforts within five (5) calendar days from cost proposal due date or bid opening. Proposers and bidders are recommended to submit the following information even if the Exhibit 10-01: Consultant Proposal DBE Commitments or Exhibit 15-G: Construction Contract DBE Commitment indicate that the proposer or bidder has met the DBE goal. This form protects the proposer's or bidder's eligibility for award of the contract if the administering agency determines that the bidder failed to meet the goal for various reasons, e.g., a DBE firm was not certified at bid opening, or the bidder made a mathematical error.
The following items are
Provisions, please att
A. The names and
project was pla
publication):
Publications
Commitment" of the Special
participation for this
nts or proofs of
of Advertisement
B. The names and dates of written notices sent to certified DBEs soliciting bids for this project and the dates and methods used for following up initial solicitations to determine with certainty whether the DBEs were interested (please attach copies of solicitations, telephone records, fax confirmations, etc.):
Names of DBEs Solicited Date of Initial Solicitation Follow Up Methods and Dates 012
May 2020
Local Assistance Procedures Manual Exhibit 15-H
Proposer/Contractor Good Faith Effort
C. The items of work made available to DBE firms including those unbundled contract work items into economically feasible units to facilitate DBE participation. It is the bidder's responsibility to demonstrate that sufficient work to facilitate DBE participation in order to meet or exceed the DBE contract goal.
Items of
Work
Proposer or Bidder
Normally Performs Item
(Y/N)
Breakdown of
Items
0.00%
Amount
($)
Percentage
Of
Contract
0.00%
0.00%
0.00%
D. The names, addresses and phone numbers of rejected DBE firms, the reasons for the bidder's rejection of the DBEs, the firms selected for that work (please attach copies of quotes from the firms involved), he price diff ce for eac BE if the ed firm is not a DBE:
Names, addres
rejection of the
Names, addresses and phone numbers of firms selected for the work above:
E. Efforts (e.g. in advertisements and solicitations) made to assist interested DBEs in obtaining information related to the plans, specifications and requirements for the work which was provided to DBEs:
013
May 2020
Local Assistance Procedures Manual Exhibit 15-H
Proposer/Contractor Good Faith Effort
F. Efforts (e.g. in advertisements and solicitations) made to assist interested DBEs in obtaining bonding, lines of credit or insurance, necessary equipment, supplies, materials, or related assistance or services, excluding supplies and equipment the DBE subcontractor purchases or leases from the prime contractor or its affiliate:
G. The names of agencies, organizations or groups contacted to provide assistance in contacting, recruiting and using DBE firms (please attach copies of requests to agencies and any responses received, i.e., lists, Internet page download, etc.):
Name of Agency/Organization Method/Date of Contact
H. Any additional
Results
D14
May 2020
Note: Mark-ups are Not Allowed
Consultant Gouveia Engineering Inc.
COST PROPOSAL 2
SPECIFIC RATE OF COMPENSATION (USE FOR ON-CALL OR AS-NEEDED CONTRACTS) (CONSTRUCTION ENGINEERING AND INSPECTION CONTRACTS)
IZl Prime Consultant 0 Subconsultant
COST PROPOSAL
0 2nd Tier Subconsultant
Project No. _________ _ Contract No. ________ Participation Amount $_99_8~,_88_8_.2_4~=~~ Date 12/02/2025 For Combined Rate
Fringe Benefit 16.81 % + General &Administrative 112.64% = 129.45% Combined OR
For Home Office Rate
Fringe Benefit% + General &Administrative% = Home Office ICR¾ For Field Office Rate
Fringe Benefit % + General &Administrative% = Field Office ICR¾ Fee 14%
BILLING INFORMATION CALCULATION INFORMATION
Name/Job Title/Classification 1 Hourly Billing Rates2 Effective Date of Hourly Rate Actual or Avg. Hourly Hourly Range - Straight3 OT(l.5x) OT(2x) From To Hourly Rate4 Rate% or for Classifications Only $ Increase
Mario Gouveia - President/Principal $211.27 $316.91 $422.55 01/01/2025 12/31/2025 $80.77 Engineer* $221.84 $332.75 $443.67 01/0 l/2026 12/31/2026 $84.81 5.0% $232.93 $349.39 $465.86 01/01/2027 12/31/2027 $89.05 5.0% Not Applicable $244.57 $366.86 $489.15 01/01/2028 12/31/2028 $93.50 5.0% $256.80 $385.20 $513.61 01/01/2029 12/31/2029 $98.18 5.0% Noe Martinez Principal Engineer $205 .62 $308.43 $411.25 01/01/2025 12/31/2025 $78.61 $215.90 $323.86 $431.81 01 /01/2026 12/31/2026 $82.54 5.0% $226.70 $340.05 $453.40 01/01/2027 12/31/2027 $86.67 5.0% Not Applicable $238.03 $357.05 $476.07 0 l/0 l/2028 12/31/2028 $91.00 5.0% $249.94 $374.90 $499.87 01/01/2029 12/31/2029 $95.55 5.0% Nicholas Fontaine - Senior Engineer $176.06 $264.10 $352.13 01/01 /2025 12/31/2025 $67.31 $184.87 $277.30 $369.74 01 /01 /2026 12/31/2026 $70.68 5.0% $194.11 $291.17 $388.22 01/01/2027 12/31/2027 $74.21 5.0% Not Applicable $203.82 $305.73 $407.63 01/01/2028 12/31/2028 $77.92 5.0% $214.01 $321.01 $428.02 01/01/2029 12/31/2029 $81.82 5.0% Noel Bucu - Senior Engineer $130.79 $196.18 $261.57 01/01/2025 12/31/2025 $50.00 $137.33 $205.99 $274.65 01/01/2026 12/31/2026 $52.50 5.0%