this Agreement and the transactions and project contemplated hereby. Following a reasonable request for further assurances, instruments and/or documents from one Party to the other, the requested Party shall reasonably respond to the request within three (3) business days and shall not unreasonably withhold compliance with the request.
(d) The obligations of this Section 7 shall survive Closing and delivery of the Grant Deed.
8. Authorization to Record Documents and Disburse Funds. Escrow Holder is hereby authorized to record the documents and disburse the funds and distribute the documents called for hereunder upon the Close of Escrow, provided each of the following conditions has then been fulfilled:
(a) The Title Company can issue in favor of Buyer the Title Policy, with liability equal to the Purchase Price, showing the Property vested in Buyer subject only to the Permitted Title Exceptions. If Seller has not removed all monetary liens, monetary encumbrances, or special assessments, or if a monetary claim is asserted by any third party, in addition to all other remedies Buyer may have at law or equity, Buyer may elect to consummate this transaction on the Close of Escrow and offset dollar for dollar against the Purchase Price an amount equal to any such monetary encumbrances and claims. (b) Escrow Holder shall have received Buyer’s notice of approval or satisfaction or waiver of all of the contingencies to Buyer’s obligations hereunder, as provided for in Section 12;
(c) Escrow Holder shall have received Seller’s notice of approval or satisfaction or waiver of all of the contingencies to Seller’s obligations hereunder, as provided for in Section 13; and
(d) Seller and Buyer shall have deposited in Escrow the documents required pursuant to Section 6, and Buyer shall have deposited into the Escrow Account the Purchase Price as provided in Section 3.
Unless otherwise instructed in writing, Escrow Holder is authorized to record at the Close of Escrow any instrument delivered through this Escrow if necessary or proper for issuance of policies of title insurance.
9. Escrow Charges and Prorations.
(a) Buyer shall pay the costs associated with:
1) The premium and all costs associated with CLTA standard form owner’s policy of title insurance (or for an ALTA title insurance policy if requested by Buyer), plus any special endorsements requested by the Buyer;
2) All costs associated with any reports prepared including but not limited to any studies or investigations done by Buyer; 3) One-half (1/2) of the following:
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a) escrow fee;
b) cost, if any, of drawing the Grant Deed;
c) recording fees, if any;
d) notary fees; and
e) any State, County or City documentary transfer tax, if any.
If the Escrow shall fail to close through no fault of either party, Buyer shall pay one-half of any Escrow cancellation fess.
(b) Seller shall pay:
1) All costs associated with the preparation of the lot line adjustment, or other action permitted by the Subdivision Map Act to enable the Property to be conveyed to Buyer as three legal parcels, including costs associated with meeting such condition; and; 2) Ad valorem taxes and special assessments and installments of bonds, if any, assessed upon the Property for any period of time prior to conveyance of title; and 3) One-half (1/2) of the following:
a. escrow fee;
b. cost, if any, of drawing the Grant Deed;
c. recording fees, if any;
d. notary fees; and
e. any State, County or City documentary transfer tax, if any.
If the Escrow shall fail to close through no fault of either party, Seller shall pay one-half of any Escrow cancellation fees.
(c) Real estate and personal property taxes and any other governmental charges, regular assessments, or impositions against the Property on the basis of the fiscal year or calendar year for which assessed shall be pro-rated as of the Close of Escrow. If the Close of Escrow shall occur before the tax rate is fixed, the apportionment of taxes on the Close of Escrow shall be based on the tax rate for the next preceding year applied to the latest assessed valuation after the tax rate is fixed, which assessed valuation shall be based on the Property’s assessed value prior to the Close of Escrow, and Buyer and Seller shall, when the tax rate is fixed, make any necessary adjustment. All prorations shall be determined on the basis of a 360-day year.
10. Warranties and Representations of Seller. Seller hereby represents and warrants to Buyer the following, with all such references to “Seller’s knowledge” meaning to the actual knowledge of Seller without duty of inquiry or investigation, it being expressly understood and agreed that all such representations and warranties are to be true and correct as of the Close of Escrow, and all of which shall survive the Close of Escrow for twelve (12) months:
(a) Seller is the sole owner of the Property, free and clear of all liens, claims, encumbrances, easements, encroachments on the Property from adjacent properties, encroachments by improvements on the Property onto adjacent property, or rights of way of any 162
nature, other than those that may appear on the Title Report. The Property is free of hazardous materials or environmental contamination, and is suitable for residential development. (b) Seller shall not further transfer or encumber the Property or allow the Property to be further encumbered prior to the Close of Escrow. (c) To Seller’s knowledge, there is no pending litigation or threatened litigation, which does or may adversely affect the Property. (d) Neither this Agreement nor anything provided to be done hereunder including the transfer of title to the Property to Buyer, violates or shall violate, any contract, instrument, partnership agreement, trust agreement, or any other agreement to which Seller is a party, or which affects the Property or any part thereof, and the sale of the Property herein contemplated does not require the consent of any party not a signatory hereto. (e) Seller is not in default of its obligations under any contract, agreement or instrument to which Seller is a party which would adversely affect the value of the Property or Seller’s ability to perform its obligations hereunder.
(f) To Seller’s knowledge, there are no mechanics’, materialmen’s or similar claims or liens presently claimed against the Property for work performed or commenced prior to the date of this Agreement.
(g) There are no written or oral leases or contractual rights or options to lease, purchase, or otherwise enjoy possession, or any other rights or interests of any nature in and to the Property or any part thereof, and no persons have any right of possession to the Property or any part thereof.
(h) As of the Effective Date, (i) Seller has received no written notice from any Authorities that there is Contamination of Hazardous Materials on, in or under the Land in violation of any applicable Environmental Laws relating thereto, (ii) Seller has received no written notice from any Authorities that it has generated, produced, used, reused, sold, stored, transported or disposed of Hazardous Materials on, in or under the Land in violation of any applicable Environmental Laws relating thereto. “Contamination” means the presence of Hazardous Materials at, on, under or about the Property or arising from the Property that may require remediation or cleanup under any applicable law. To the knowledge of Seller, copies of any environmental reports that may have been or that are delivered by Seller to Buyer, are complete copies of the reports obtained by Seller, and Seller has no other environmental reports, tests or audits in its possession or under its control, and Seller has no knowledge of any other environmental reports, tests or audits regarding any portion of the Property existing elsewhere.
As used herein, the term “Hazardous Materials” means any pollutants, contaminants, hazardous or toxic substances, materials or wastes (including without limitation petroleum, petroleum by products, radon, asbestos and asbestos containing materials, polychlorinated biphenyls, PCB containing equipment, radioactive elements, infectious agents, and urea formaldehyde), as such terms are used in or regulated by any Environmental Laws (excluding solvents, cleaning fluids and other lawful substances used in the ordinary operation and maintenance of the Property, to the extent in closed containers); as used herein the term “Environmental Laws” means all Federal, state and local environmental laws, rules, statutes, directives, binding written 163
interpretations, binding written policies, ordinances and regulations issued by any governmental entity or Authority and in effect as of the date of this Agreement with respect to or which otherwise pertain to or affect the Property, or any portion thereof, the use, ownership, occupancy or operation of the Property, or any portion thereof, or any owner of the Property, and as the same have been amended, modified or supplemented from time to time prior to the date of this Agreement, including but not limited to the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (42 U.S.C. § 9601 et seq.), the Hazardous Substances Transportation Act (49 U.S.C. § 1802 et seq.), the Resource Conservation and Recovery Act (42 U.S.C. § 6901 et seq.), the Water Pollution Control Act (33 U.S.C. § 1251 et seq.), the Safe Drinking Water Act (42 U.S.C. § 300f et seq.), the Clean Air Act (42 U.S.C. § 7401 et seq.), the Solid Waste Disposal Act (42 U.S.C. § 6901 et seq.), the Toxic Substances Control Act (15 U.S.C. § 2601 et seq.), the Emergency Planning and Community Right to Know Act of 1986 (42 U.S.C. § 11001 et seq.), the Radon and Indoor Air Quality Research Act (42 U.S.C. § 7401 note, et seq.), the Superfund Amendment Reauthorization Act of 1986 (42 U.S.C. § 9601 et seq.), comparable state and local laws, and any and all rules and regulations which have become effective prior to the date of this Agreement under any and all of the aforementioned laws.
11. Representations and Warranties of Buyer. Buyer hereby represents and warrants to Seller the following, it being expressly understood and agreed that all such representations and warranties are to be true and correct at the date of this Agreement and as of the Close of Escrow:
(a) Buyer is duly created and validly existing under the laws of the State of California, and this Agreement and all documents executed by Buyer which are to be delivered to Seller at the Closing are or at the time of Closing will be duly authorized, executed and delivered by Buyer, and are or at the Closing will be legal, valid and binding obligations of Buyer, and do not and at the time of Closing will not violate any provisions of any judicial order to which Buyer is subject.
(b) Neither this Agreement nor anything provided to be done hereunder including the transfer of title to the Property to Buyer, violates or shall violate any contract, agreement or instrument to which Buyer is a party, or which affects the Property or any part thereof, and the sale of the Property herein contemplated does not require the consent of any party not a signatory hereto.
(c) There is no pending litigation or, to the best of Buyer’s knowledge, threatened litigation, which does or will materially adversely affect Buyer’s ability to consummate this transaction.
12. Buyer’s Conditions. Buyer's obligations under this Agreement are expressly made subject to the following conditions precedent so that for the benefit of Buyer, the Close of Escrow and Buyer’s obligation to consummate the purchase of Property shall be contingent upon and subject to written notice to Escrow Holder by Buyer of the occurrence of all of the following (or Buyer’s written waiver thereof, it being agreed that Buyer can waive any or all such contingencies) on or before the Close of Escrow:
(a) Buyer's obtaining a satisfactory commitment issued by Title Company to issue the Title Policy in favor of Buyer with liability equal to the estimated fair market value of the Property showing Buyer’s fee interest in the Property subject only to the Permitted Title 164
Exceptions, and being otherwise in accordance with the provisions of Paragraph 5 of this Agreement, and expressly insuring against the claims of any persons in possession of all or any part of the Property and the claims of any mechanics or materialmen. (b) Buyer's verifying that no easements, covenants, conditions, deed restrictions, subdivision restrictions or regulations of any lawful governmental authority having jurisdiction over the Property exist which will adversely affect or impair Buyer's intended use and development of the Property.
(c) Buyer's verifying that there are no mechanics' and/or materialmen's liens, or lis pendens actions affecting the Property, and that all taxes, sewer, water, and utility bills have been paid through the Closing Date; Buyer shall be responsible for payment of utility fees for the Property after Closing.
(d) Buyer's performing such due diligence of the Property as it deems appropriate to determine whether to consummate this transaction. (e) That as of the Close of Escrow the representations and warranties of Seller contained in this Agreement are all true and correct.
(f) Seller’s delivery of all documents required to be delivered by Seller pursuant to Section 6 hereof and Buyer’s verifying that such documents have been properly executed by persons authorized to do so.
(g) The Property shall be capable of transfer under the Subdivision Map Act.
If all the foregoing conditions precedent have not been either met to Buyer's sole satisfaction or expressly waived in writing by Buyer, then this Agreement shall, at the option of Buyer, become null and void, in which event neither party shall have any further rights, duties and obligations hereunder. Buyer agrees to use reasonable diligence to satisfy the foregoing conditions within the Due Diligence Period, or, as appropriate, by Closing. At any time during the Due Diligence Period, however, should Buyer determine that it is not reasonable to satisfy the foregoing conditions, Buyer need not continue its efforts to satisfy the foregoing conditions and upon notice thereof to Seller, Buyer may terminate this Agreement in Buyer’s sole and absolute discretion for any reasons, or for no reason whatsoever, by giving written notice to the Seller on any day prior to and including the final day of the Due Diligence Period, in which event this Agreement shall become null and void and neither party shall have any further rights, duties and obligations hereunder. Nothwithstanding anything to the contrary in this Agreement, in the event that any of Seller’s closing conditions have not been satisfied as of the scheduled Closing Date, and in lieu of terminating the Agreement, Buyer shall have the right to extend the Closing Date for a period of time not to exceed sixty (60) days so that Seller’s Closing Conditions may be satisfied.
13. Seller’s Conditions. For the benefit of Seller, the Close of Escrow and Seller’s obligation to consummate the sale of the Property shall be contingent upon and subject to written notice to the Escrow Holder by Seller of the occurrence of all of the following (or Seller’s written waiver thereof, it being agreed that Seller can waive any or all such contingencies) on or before the Close of Escrow:
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(a) The Property shall be capable of transfer under the Subdivision Map Act. (b) Deposit by Buyer of the Purchase Price and all other sums to be deposited by Buyer in Escrow in accordance with the requirements hereof. (c) Buyer’s delivery of all documents required to be delivered by Buyer pursuant to Section 6 hereof.
(d) Seller’s reasonable satisfaction that as of the Close of Escrow the representations and warranties of Buyer contained in this Agreement are all either true and correct or, to the extent that is not the case, have been waived by Seller.
14. Condemnation; Destruction. All risk of loss with respect to the Property shall remain with Seller until after the Close of Escrow and delivery of possession of the Property to Buyer.
If at any time prior to the Close of Escrow, the Property, or any portion thereof, is damaged by fire or other casualty or taken or appropriated through eminent domain or similar proceedings, or is condemned for any public or quasi-public use, Buyer may terminate this Agreement. If Buyer terminates this Agreement, Seller shall be entitled to receive all insurance proceeds payable to Buyer or Seller or all condemnation proceeds actually paid for that portion of the property taken.
If Buyer elects to maintain this Agreement in full force and effect, Buyer shall be entitled to receive all insurance proceeds payable to Seller or all condemnation proceeds actually paid for that portion of the Property taken or, if such proceeds have been paid to Seller, Buyer shall receive a credit against the Purchase Price equal to the amount of proceeds actually paid to Seller.
15. Default.
(a) Buyer Default. LIQUIDATED DAMAGES: BUYER AND SELLER
AGREE THAT IF, AFTER BUYER GIVES ITS NOTICE OF APPROVAL, BUYER
DEFAULTS ON ITS OBLIGATION TO COMPLETE THE CLOSING PURSUANT TO THIS
AGREEMENT, THE DAMAGES TO SELLER WOULD BE DIFFICULT AND IMPRACTICAL TO DETERMINE. ACCORDINGLY, BUYER AND SELLER HAVE
AGREED TO FIX AS LIQUIDATED DAMAGES THE AMOUNT OF THE DEPOSIT, AND
SELLER MAY RETAIN SUCH AMOUNT WITHOUT RESTRICTION AS LIQUIDATED
DAMAGES, AND WHICH SHALL CONSTITUTE SELLER'S SOLE AND EXCLUSIVE REMEDY FOR SUCH DEFAULT. SELLER'S RETENTION OF SUCH AMOUNT AS
LIQUIDATED DAMAGES IS NOT INTENDED AS A FORFEITURE OR PENALTY UNDER CALIFORNIA CIVIL CODE SECTIONS 3275 OR 3369, BUT INSTEAD, IS INTENDED TO CONSTITUTE LIQUIDATED DAMAGES TO SELLER PURSUANT TO SECTIONS 1671, 1676 AND 1677 OF THE CALIFORNIA CIVIL CODE. SELLER AGREES THAT THESE
LIQUIDATED DAMAGES SHALL BE IN LIEU OF ANY OTHER MONETARY RELIEF OR
OTHER REMEDY, INCLUDING WITHOUT LIMITATION SPECIFIC PERFORMANCE, TO
WHICH SELLER OTHERWISE MIGHT BE ENTITLED UNDER THIS AGREEMENT, AT LAW OR IN EQUITY. THE LIMITATIONS CONTAINED IN THIS SECTION SHALL NOT
APPLY TO ANY INDEMNITY OBLIGATIONS CONTAINED IN THIS AGREEMENT, NOR TO ANY CLAIM FOR COSTS OR ATTORNEY'S FEES UNDER SECTION 26. BUYER
AND SELLER SPECIFICALLY ACKNOWLEDGE THEIR AGREEMENT TO THE 166
FOREGOING LIQUIDATED DAMAGES PROVISION BY INITIALING THIS PARAGRAPH IN THE APPROPRIATE SPACES PROVIDED BELOW:
Buyer's Initials _____ Seller's Initials _____
(b) Seller Default. If Seller defaults on its obligations hereunder, Buyer shall be entitled to terminate this Agreement or seek specific performance. In the event Buyer elects to terminate this Agreement on account of Seller default, as Buyer's sole and exclusive remedy, (i) the Deposit shall immediately be paid and returned to Buyer and (ii) Buyer shall be entitled to maintain an action or actions against Seller to recover Buyer's out-of pocket losses, costs and expenses related to or arising out of Seller's default of this Agreement in the maximum amount of Ten Thousand Dollars ($10,000.00).
(c) Notwithstanding anything to the contrary contained in this Agreement, neither Party shall have the right to recover consequential, general or special damages from the other Party. Nothing herein precludes or limits either Party's right to recover costs and attorney's fees pursuant to this Agreement or to enforce any indemnity obligations or any obligations that survive the Closing.
(d) Cure Period. Notwithstanding the provisions of this Section 15, no default by either Party hereto shall result in a termination or limitation of any rights of such Party hereunder unless and until the other Party shall have notified the defaulting Party in writing of said default, and (i) the defaulting Party shall have failed to cure said default within ten (10) days after the receipt of said written notice where the default is capable of being cured within ten (10) days, or (ii) if such party immediately with due diligence, commences to cure, correct or remedy such default and thereafter diligently and continuously pursues such cure, correction or remedy to completion, where such default cannot be cured within ten (10) days. Notwithstanding the foregoing, under no circumstance shall any cure period last longer than thirty (30) days.
16. Notices. All notices and demands shall be given in writing by certified mail, postage prepaid, and return receipt requested, by personal delivery, overnight courier, or fax. Notices shall be considered given upon the earlier of (a) delivery or (b) five (5) business days following deposit in the United States mail, postage prepaid, certified or registered, return receipt requested. A copy of all notices shall be sent to Escrow Holder. Notices shall be addressed as provided below for the respective party; provided that if any party gives notice in writing of a change of name or address, notices to such party shall thereafter be given as demanded in that notice:
Buyer: Yellow Roof Foundation
1500 Willow Pass Court
Concord, CA 94520
Attn: Lori Sanson and Dana C. Tsubota
Phone: (925) 685-0110
Fax: (925) 685-0660
Seller: ***_______________
***_______________
167
***_______________
Phone: ***_______________
Fax: ***_______________
Escrow
Holder: First American Title Company
4750 Willow Road
Pleasanton, CA 94588
Diane Burton, Escrow Officer
Phone: (925) 738-4050
17. Broker’s Commissions. Each party represents and warrants that it/they have used no broker, agent, finder or other person in connection with the transaction contemplated hereby to whom a brokerage or other commission or fee may be payable. Each party indemnifies and agrees to defend and hold the other harmless from any claims resulting from any breach by the indemnifying party of the warranties, representations and covenants in this Section.
18. Standard Instructions. Each party agrees to execute Escrow Holder’s other reasonable standard instructions as may be necessary or proper in order to consummate the transactions contemplated by this Agreement; provided, however, in the event of a conflict between the terms hereof and the terms of such standard instructions, the terms hereof shall control.
19. Time is of the Essence. The parties hereto agree that time is of the essence with respect to each term, condition and covenant hereof.
20. Successors and Assigns. The provisions of this Agreement are expressly binding upon, and shall inure to the benefit of, the parties hereto and their successors in interest and assigns. Buyer shall not assign its rights or obligations under this Agreement without the prior written consent of Seller, which Seller may or may not give in its reasonable discretion.
21. Cooperation in Exchange. In the event that Seller or Buyer intend to enter into a contract with a qualified intermediary for the purpose of effecting a tax deferred exchange in accordance with Section 1031 of the United States Internal Revenue Code of 1986, as most recently amended, each party consents to the assignment of this Agreement to such intermediary.
Furthermore, each party shall cooperate with the other to accomplish such exchange and perform any acts reasonably necessary to assist in such exchange, provided that neither party shall be required to accept title to any property other than the Property, expend any additional amounts of money above those amounts required pursuant to this Agreement, extend the Closing Date, and further provided that each party defend, indemnify and hold the other harmless from and against expenses, costs and damages of any kind (including attorney’s fees) suffered by either party by reason of the performance of, or failure to perform, any acts of cooperation necessitated by this Section. Each party agrees to sign a Notice of Assignment prior to Close of Escrow confirming that such party has received the Notice of Assignment and consents to the assignment contemplated by this Paragraph 22.
168
22. Entire Agreement. This Agreement, together with all exhibits hereto, integrates all of the terms and conditions mentioned herein or incidental hereto, and supersedes all negotiations or previous agreements between the parties or their predecessors in interest with respect to all or any part of the subject matter hereof.
23. Severability. Invalidation of any of the terms, conditions, covenants, or other provisions contained herein by judgment or court order shall in no way affect any of the other terms, conditions, covenants, or provisions hereof, and the same shall remain in full force and effect.
24. Amendments. Any amendments to this Agreement shall be effective only when duly executed by Seller and Buyer and deposited with Escrow Holder.
25. Attorneys’ Fees. In the event that suit is brought for the enforcement of this Agreement or as the result of any alleged breach thereof, the prevailing party or parties in such suit shall be entitled to recover their reasonable attorneys’ fees, costs, and expenses from the losing party or parties, and any judgment or decree rendered in such proceedings shall include an award thereof.
26. No Third Party Beneficiary Rights. This Agreement is entered into for the sole benefit of Seller and Buyer and no other parties are intended to be direct or incidental beneficiaries of this Agreement and no third party shall have any right in, under or to this Agreement.
27. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Venue shall be proper in Contra Costa County, California.
28. Counterparts. This Agreement may be executed simultaneously in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. For purposes of this Agreement, facsimile or e-mail signatures shall be deemed to be original signatures.
29. Confidentiality. During the Agreement negotiations or until the Agreement between Seller and Buyer has been terminated, Buyer and Seller each agrees that it shall treat as confidential any information received relating to this Agreement or the purchase of the Property, and agrees that it will not disclose any information about this transaction to third parties, except to the extent required by law and/or as necessary to perform their respective obligations under the Agreement. Buyer and Seller each further agrees that it shall use all such information solely for the purpose of evaluating the merits of the proposed transaction and shall not disclose or permit the disclosure of, such information to any unrelated third parties without the other party’s express written consent. Buyer and Seller will each immediately upon the written request of the other return to such party all such information (including all copies thereof), or if so directed, destroy such information and furnish a letter stating that such information has been destroyed. .
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first above written.
169
SELLER:
By:
Its:
BUYER:
By:
Its:
170
EXHIBIT A
LEGAL DESCRIPTION AND DEPICTION OF THE PROPERTY
[See Attached]
171
172
173
174
DENOVA HOMES
SECOND FLOOR PLAN FIRST FLOOR PLAN
FIRST FLOOR
SECOND FLOOR ADU
2-CAR GARAGE
1225 SQ. FT.
662 SQ. FT.375 SQ. FT.
175
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178
Resolution No. XX-22 Page 1 of 1
RESOLUTION NO. XX-22
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF OAKLEY AUTHORIZING
THE CITY MANAGER TO EXECUTE A PURCHASE AND SALE AGREEMENT WITH
THE YELLOW ROOF FOUNDATION FOR THE SALE OF PROPERTIES LOCATED AT 4981, 4901 AND 4911 TEAKWOOD DRIVE (APN’S: 035-322-019, 035-322-020, 035-322- 021) WHICH WILL LEAD TO THE CONSTRUCTION OF 6 AFFORDABLE HOUSING UNITS
BE IT RESOLVED by the City Council of the City of Oakley that the City Manager is hereby authorized and directed to sign on behalf of the City that certain Purchase and Sales Agreement between the City and with the Yellow Roof Foundation for the sale of 3 parcels more specifically identified as 4981, 4901 and 4911 Teakwood Drive (APN’s: 035-322-019, 035-322-020, 035-322-021).
PASSED, APPROVED AND ADOPTED this 9th day of August 2022 by the following vote:
AYES:
NOES:
ABSTENTION:
ABSENT:
APPROVED:
________________
Randy Pope, Mayor
ATTEST:
____________________ _____ _____
Libby Vreonis, City Clerk Date
179
STAFF REPORT
DATE: August 9, 2022
TO: Joshua McMurray, City Manager
FROM: Tim Przybyla, Finance Director
SUBJECT: City of Oakley Quarterly Budget Report (4th Quarter FY 2021/22) Background and Analysis
In previous years, the Finance Department has provided reports to the City Council during preparation of the new fiscal year budget, at the Mid-Year Budget Review and after the completion of the annual audit, when the annual comprehensive financial report in presented. During the creation of the City of Oakley Strategic Plan 2022- 2027+, having such financial information provided on a quarterly basis was one recommendation to further-improve awareness and understanding of the City’s financial condition and performance. Rather than wait until the audit has been completed, this staff report attempts to provide unaudited information regarding the City’s budget performance for the fiscal year ended June 30, 2022. The General Fund Budget Update for 4th Quarter (Budget Update), attached, includes actual General Fund revenues and expenditures as of the time the staff report was completed plus estimates of what the final, audited revenues and expenditures might be. As revenues and expenditures that are applicable to Fiscal Year 2021/2022 continue to trickle in after June 30th and be accrued, there will be some adjustments to the actual figures, which include encumbrances. Adjustments are also likely to be made as a result of the audit. However, staff does feel that having this information in a timely manner is of value.
As can be seen in the attached Budget Update, total actual General Fund revenue to date was $27,415 under the total budget of $27.35 million, at the time that this report was being prepared. Staff has taken the liberty of including the estimated $600,000 market loss on investments with interest income in Other Financing Sources. This market loss is due to rising interest rates and is also discussed in the investment reports being presented in this meeting. With actual expenditures totaling approximately $27.43 million, expenditures are exceeding revenues by nearly $82,000. However, staff is aware of a number of revenue sources that are expected to come in, which are included in the 2021-2022 Estimations column and are estimated to cause total revenues to exceed expenditures by approximately $1.1 million. Staff estimates those additional revenues as follows:
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• Sales Taxes to increase by $426,241 to $3 million, based on HdL projections • Franchise Taxes to increase by $320,000 for Garbage and $120,000 for Cable • Transient Occupancy Tax to increase by $40,000
• Successor Agency Administration Fees of $250,000 to be posted • Other revenue increases of $50,000
• Total Revenue Increases = $1,206,241
At this point in time, staff believes that revenues exceeding expenditures by roughly $1 million is a conservative estimate, barring any large unforeseen costs related to Fiscal Year 2021/2022. At the time the Fiscal Year 2022/2023 Budget was approved, we estimated expenditures would exceed revenues by $1.85 million. However, it appears that actual expenditures may come in nearly $2 million under budget (including encumbrances) and revenues are now estimated to be $1.2 million higher, with Developer Fees making up $944,686 of the estimated revenue increases. In summary, the City of Oakley’s budget performance for Fiscal Year 2021/2022 appears to be exceptional at this point in time.
To further improve financial communications, staff has attached the non-confidential portion of reports from HdL regarding sales tax revenues for the first quarter of calendar year 2022, which was recently received by City staff.
Consistency with the Oakley Strategic Plan 27+
This agenda item is consistent with the Strategic Plan 27+ Finance and Fiscal Responsibility objective to communicate on financial updates, including financial health, priorities, and unexpected expenditures.
Fiscal Impact
There is no fiscal impact of accepting this quarterly budget report. However, the purpose of this report is to provide more-timely financial information, to help the City Council be aware of the City’s financial health and budget performance, based on current general ledger figures and estimates for additional Fiscal Year 2021/2022 revenues.
Staff Recommendation
Staff recommends the City Council accept the General Fund Budget Update for the 4th Quarter of Fiscal Year 2021/2022.
Attachments
1. City of Oakley General Fund Budget Update – 4
th Quarter of Fiscal Year
2021/2022.
2. City of Oakley Sales Tax Update – 1Q 2022 (January – March) 181
2021‐2022 2021‐2022 2021‐2022 2021‐2022
Budget Actual w/ Encʹs Balance Estimations
Property Taxes 8,210,000 $ $ 8,271,161 (61,161) 8,271,161 Sales Tax 2,800,000 2,573,759 226,241 3,000,000 Franchise Taxes 2,068,000 1,808,211 259,789 2,248,211 Other Taxes 835,000 919,520 (84,520) 959,520 Subtotal ‐ Taxes 13,913,000 13,572,651 340,349 14,478,892 Interfund Charges for Services 9,016,450 9,151,343 (134,893) 9,151,343 Developer Fees 3,177,500 4,122,474 (944,974) 4,122,474 Intergovernmental Revenues 494,600 144,421 350,179 444,421 Other Revenue 627,298 960,544 (333,246) 960,544 Other Financing Sources 150,000 (600,000) 750,000 (600,000) Total Revenue 27,378,848 27,351,433 27,415 28,557,674 Expenditures:
Animal Control 288,310 288,310 0 288,310
City Council 182,029 177,844 4,185 177,844
City Clerk 381,943 378,692 3,251 378,692
City Attorney 486,533 472,406 14,127 472,406
City Manager 650,604 635,761 14,843 635,761
Community Outreach 213,342 201,544 11,798 201,544
Finance 901,722 819,282 82,440 819,282
Human Resources 770,503 714,933 55,570 714,933
Building Maintenance 271,119 272,343 (1,224) 272,343
Information Technology 340,615 336,842 3,773 336,842
Non Departmental (306,768) (413,420) 106,652 (413,420)
Economic Development 207,142 196,007 11,136 196,007
Building 1,147,121 1,048,120 99,001 1,048,120
Code Enforcement 287,061 235,462 51,599 235,462
Police 11,576,509 10,804,225 772,284 10,804,225
Planning 1,056,219 744,177 312,042 744,177
Engineering 1,910,325 1,766,587 143,738 1,766,587
Public Works 936,906 949,025 (12,119) 949,025
Recreation 852,104 712,108 139,996 712,108
Parks 970,519 837,037 133,482 837,037
Transfers Out 6,260,000 6,256,000 4,000 6,256,000
Total Expenditures 29,383,860 27,433,284 1,950,576 27,433,284 Net Revenue (Expense) (2,005,012) (81,850) (1,923,161) 1,124,391
GENERAL FUND BUDGET UPDATE
4TH QUARTER ‐ FISCAL YEAR 2021/22
182
www.hdlcompanies.com | 888.861.0220
Q1 2021*
Q1 2022*
Legend
$0
$40,000
$80,000
$120,000
$160,000
$200,000
$240,000
SALES TAX BY MAJOR BUSINESS GROUP *Allocation aberrations have been adjusted to reflect sales activity Fuel and
Service
Stations
County
and State
Pools
Restaurants
and
Hotels
Business
and
Industry
Food
and
Drugs
Autos
and
Transportation
General
Consumer
Goods
Building
and
Construction
CITY OF OAKLEY HIGHLIGHTS TOP 25 PRODUCERS
Published by HdL Companies in Summer 2022
SALES TAX UPDATE
CITY OF OAKLEY
1Q 2022 (JANUARY - MARCH)
7 Eleven
Arco
Arco AM PM
AutoZone
Black Bear Diner
Chevron
Dominos Pizza
Core & Main
East County Auto Sales
Grocery Outlet
Jack in the Box
La Costa Taqueria
Les Schwab Tire Center
Lucky
McDonalds
Oakley Ace Hardware
O’Reilly Auto Parts
Purpose Built Trade Co
Rain For Rent
Raley’s
Rite Aid
Shell
Skipolinis
Taco Bell
Valvoline
Oakley’s receipts from January through
March were 45.3% above the first sales
period in 2021. Audit recoveries for
taxes owed in prior quarters inflated cash
comparisons. Excluding this exception
and all other reporting aberrations,
actual sales were up 24.0%.
The global cost of crude oil rose due
to the Russian invasion of Ukraine;
higher pump prices locally coupled with
increased commuter/leisure travel and
a recently reopened location buoyed
service stations revenues by 44%.
Patrons continued to flock to their
favorite dining out establishments,
despite recent menu prices hikes
brought on by bigger costs of wholesale
food and labor; casual dining venues
recorded a 19% increase in tax filings.
A 3% improvement occurred in autostransportation.
Spending on equipment of various
kinds materialized in business-industry;
service and other sector’s gains pushed
the group upward 23%. Allocations
from the county use tax pool swelled
as ecommerce activity was strong in the
first months of 2022.
Products in the building-construction
trades experienced inflation-based cost
increases passed along to customers;
thus, this group’s remittances declined.
Net of aberrations, taxable sales for all of
Contra Costa County grew 10.5% over
the comparable time period; the Bay
Area was up 17.9%.
TOTAL: $ 693,630
24.0% 10.5% 17.1%
COUNTY STATE
OAKLEY
1Q2022
183
TOP NON-CONFIDENTIAL BUSINESS TYPES
Q1 '22
Oakley
Business Type Change Change Change
County HdL State
Service Stations 212,768 43.6% 51.7% 43.3%
Quick-Service Restaurants 62,877 2.2% 7.0% 7.8%
Casual Dining 37,271 19.0% 45.5% 55.8%
Grocery Stores 31,196 -10.2% 0.7% 3.3%
Automotive Supply Stores 19,658 -7.8% 3.1% 4.6%
Convenience Stores/Liquor 15,459 -8.2% -2.0% 1.8%
Used Automotive Dealers 14,967 15.2% -1.5% 8.0%
Auto Repair Shops 11,888 13.8% 19.4% 22.0%
Cigarette/Cigar Stores 7,474 2.1% -1.6% 8.4%
Contractors 2,557 -50.3% 11.1% 20.0%
*Allocation aberrations have been adjusted to reflect sales activity
REVENUE BY BUSINESS GROUP
Oakley This Quarter*
24%
Pools
15%
Restaurants
7%
Autos/Trans.
10%
Bus./Ind.
8%
Food/Drug
31%
Fuel
5%
Others
*ADJUSTED FOR
ECONOMIC DATA
1Q 2022 CITY OF OAKLEY SALES TAX UPDATE
STATEWIDE RESULTS
California’s local one-cent sales and use tax
for sales occurring January through March
was 17% higher than the same quarter one
year ago, after adjusting for accounting
anomalies and onetime payments from
previous quarters. By all accounts, the
California retail economy continues roaring
along. Even with instability in the stock
market, the crisis in Ukraine pushing up the
global price of crude oil and the U.S. Federal
Reserve Board beginning to tackle inflation
with a series of rate increases, consumer
spending continued at a strong pace.
The invasion of Ukraine by Russian
military forces on February 24 had an
immediate upward impact on the global
price of crude oil due to fears of supply
shortages. Subsequently this has caused a
dramatic jump to California consumer gas
and diesel prices at a time when many in
the workforce were commuting back into
offices, also contributing to an overall
increase in consumption. As expected, fuel
and service station receipts increased 47%
over last year and show no signs of pulling
back with summer travel right around the
corner.
Sales of new and used vehicles continue
to be robust causing the autos and
transportation sector to jump 15% for
the period. Inventory shortages by some
dealers may have caused buyers to
experience a Fear Of Missing Out (FOMO)
and pay elevated prices while interest rates
remained lower. Automotive brands that
have committed to full electric or hybrid
models are attractive with consumers,
especially given the sudden rise in fuel
prices.
Post-holiday retail sales of general
consumer goods remained solid, improving
10%. Prior supply chain concerns have
dissipated, port operations are returning
to normal and headwinds from inflation
and higher cost goods haven’t yet slowed
consumer demand. The stellar returns
were largely driven by discount department
stores, especially those selling gas.
These results mark the fourth full quarter
in a row that restaurant and hotel receipts
have increased. While higher menu
prices have contributed, steady demand
by patrons to dine out is also propelling
the gains. Furthermore, theme parks and
entertainment venues throughout the state
are busy. With the summer tourism and
travel season approaching, the industry
is positioned to maintain post-pandemic
growth and remain positive through 2022.
Use taxes generated by online sales and
purchases from out-of-sate vendors
allocated via the county pools, heartily
surpassed expectations, gaining 13% over
the comparison period. Shoppers bought
a range of merchandise and spending by
businesses on capital equipment remained
sensational.
The first quarter sales period contributed
to an already strong 2021-22 fiscal year for
most municipalities statewide. However,
continued inflationary pressure, soaring
interest rates and record gas prices may
soften growth going into 2022-23.
184
DATE: August 9, 2022
TO: Joshua McMurray, City Manager
FROM: Libby Vreonis, City Clerk
SUBJECT: Adopt a Resolution Establishing a Proclamation Policy ______________________________________________________________________ Background and Analysis
During the City Council meeting held February 8, 2022, the Council discussed a proclamation policy and directed staff to bring back a draft policy for consideration. A proclamation policy will provide guidance for the Council, staff and public for proclamation requests. Staff researched policies of other cities in Contra Costa County and recommends consideration of the attached policy developed with components of these policies.
The proposed policy allows the Mayor to approve proclamations that the Council may adopt here as an attached list to this policy. The attached list includes proclamations that have been previously presented by Mayors. If the list is approved as part of this policy, the Mayor may issue these proclamations on behalf of the City Council without further approval by the City Council.
Proclamations requested that are not included on the attached list may be brought forth to the City Council for consideration and if approved, would automatically be added to the approved list without further City Council action. This policy may be revised at any time at the request of at least two members of the City Council as a future agenda item.
The proposed policy requires for a proclamation request to be submitted in writing, on a standard application, to provide general information regarding the reason for the request, contact information for the requestor and details regarding when and how it is to be presented, i.e., during a City Council meeting, mailed, picked up, etc. The application will provide more efficiency with processing requests for proclamations on the approved list.
The Office of the City Clerk will receive requests and present them to the Mayor for approval if on the approved list or will place on the next available agenda for approval by the City Council if not on the approved list. In either case, approval by the City Manager or his/her designee will be obtained if the proclamation is being requested for a specific date.
STAFF REPORT
Approved and Forwarded to the City Council
185
Fiscal Impact
The adoption of the proposed resolution will not have a direct measurable impact on the General Fund. However, staff anticipates the policy will provide more efficiency for processing proclamation requests for proclamations on the approved list. Additional staff time will be required to prepare proclamation requests for Council approval for proclamations not on the approved list.
Staff Recommendation
Adopt a Resolution Establishing a Proclamation Policy and Approved Proclamation List.
Attachments
1. City of Oakley Proclamation Policy
2. Approved Proclamation List
3. Resolution to Adopt the City of Oakley Proclamation Policy and Approved Proclamation List 186
CITY OF OAKLEY
PROCLAMATION POLICY
PURPOSE
The purpose of this policy is to establish guidelines for the issuance of proclamations.
POLICY
Proclamations are public announcements or recognitions directing attention to local residents, organizations or events. Proclamations are not statements of policy. The Mayor, without formal action of the City Council, may issue proclamations on behalf of the City Council that adhere to these guidelines and are among the proclamations approved on the attached list. Proclamations can be sent to the requestor or presented at a City Council meeting as arranged with the requesting body and at the Mayor’s discretion. Proclamations not included on the attached list may be submitted and brought forth to the City Council for consideration. Proclamations approved by the City Council are authorized to be added to the approved list without further City Council action.
INFORMATION REQUIRED
A brief history of the organization or a description of the purpose, goals, motto or theme of the event is required to complete the proclamation. If funds are to be raised, who will benefit from the event, and what will take place during the time of celebration/recognition, including dates and times, are required to be included.
WRITTEN REQUEST
Requests for proclamations must be submitted in writing by the requestor on the standard application. Requests received will be administered by the Office of the City Clerk and must be approved by the Mayor if among the proclamations on the approved 187
list, or approved by the City Council if not on the approved list. Submission of a request does not guarantee the issuance of a proclamation.
Draft proclamations are encouraged to be submitted with the application to expedite the process.
Only one proclamation will be issued per event.
PRESENTATION OF PROCLAMATION
The person or organization requesting the proclamation must specify whether the proclamation is to be mailed, held for pick-up, or presented during a City Council meeting. Offsite presentations of proclamations are not typical and are at the Mayor’s discretion. Presentation at a specific City Council meeting is not guaranteed and must be approved in advance by the City Manager or his/her designee. 188
Approved Proclamation List
January
Human Trafficking Awareness Month
National Blood Donor Month-Red Cross
School Choice Week
February
Black History Month
Sutter Delta Medical Center Day
March
Arbor Week
Cesar Chavez Day
COVID-19 Memorial Day
Girl Scouts Make the World a Better Place Week
Girl Scout Week
Meals on Wheels-March for Meals
Multiple Sclerosis Awareness Week
Prescription Drug Abuse Awareness Month
Red Cross Month
Rosie the Riveter Day
Women’s History Month
189
April
Alcohol Awareness Month
Child Abuse Prevention Month
Children’s Memorial Day
Days of Remembrance (Holocaust)
Difference Makers International Day
Earth Day
Fair Housing Month
National Autism Awareness Month
National Gardening Month
National Library Week
National Service Recognition Day
National Volunteer Week
Oakley Science Week
Sexual Assault Awareness Month
Week of the Young Child
West Nile Virus and Mosquito & Vector Control Awareness Week May
Building Safety Month
Contra Costa County Fair Week
Emergency Medical Service Week
Global Love Day
Law Day
Loyalty Day
Lupus Awareness Month
Mental Health Month
Mormon Helping Hands Day
190
Motorcycle Awareness Month
Municipal Clerks Week
National Association of Insurance Women Week
National Day of Prayer
National Police Week
National Public Works Week
National Safe Boating Week
National Teachers Day / The Day of the Teacher
Reading Festival Weekend
Silver Star (Banner) Day
Special Districts Week
Wellness City Challenge
June
Affordable Housing Week
CA Safe Digging Month
Elder & Dependent Adult Abuse Awareness Month
Immigrant Heritage Month
National Cancer Survivors Day-Quest for a Cure
Pride Month (LGBTQ+)
Relay for Life on the Delta and Paint the Town Purple Day July
Muscular Dystrophy Day
Parks & Recreation Month
191
August
International Overdose Awareness Day
National Night Out
Never Give Up Day
September
CA Coastal Cleanup Day
Childhood Cancer Awareness Month
Constitution Week
Disabled American Veterans Day
Falls Prevention Awareness Week
Library Card Sign Up Month
Life Insurance Awareness Month
National Preparedness Month
Patriot Day (recognizing 9/11/2001)
Pedestrian Safety Month
School’s Open-Drive Carefully campaign
Suicide Prevention & Action Month
October
Annual East County Hunger Walk
Breast Cancer Awareness Month
CA Farmer / Farmworker Month
Contra Costa Child Care Council Day
Domestic Violence Awareness Month
Family History Month
Fire Prevention Week
Freedom from Workplace Bullies Week
192
Make-a-Wish Day
National Friends of Libraries Week
National Hispanic Heritage Month
Red Ribbon Week (drug prevention)
Shelter-in-Place Education Day
Teen Read Week
November
Bells of Peace-WWI Armistice Remembrance (11/11, 11a.m.) Epilepsy Awareness Month
Law Enforcement Records & Support Personnel Appreciation Day National Family Week
National French Language Week
National Homeless Awareness Month
National Radiologic Technology Week
United Against Hate Week
December
National Pearl Harbor Remembrance Day
Miscellaneous
100th Birthday celebration of Oakley resident
5-1-1 Contra Costa program
Ad-Hoc committee member service
Armed Forces service recognition
Artist of the Year
Autonomous Vehicle Testing as a Public Safety and Economic Development Initiative Businessperson of the Year
193
Cesar Chavez East County Educator Award
Cesar Chavez Spirit Award
Chamber of Commerce 30th Anniversary
Citizenship / Citizen of the Year
Community / Civic / Humanitarian Service recognition
Contra Costa Board of Supervisors service
Contra Costa Commission for Women Hall of Fame inductees Contra Costa County Fair Queen
D.A.R.E. Officer
Delta Community Church of God 55th Year Anniversary
Distinguished Schools
Eagle Scout recognition
Earn It! Keep It! Save It! Programs & Volunteers service recognition East Contra Costa Fire Protection District Board
East Contra Costa Historical Society
East County Reads
Girl Scout Gold Award
Girl Scout of USA anniversary
Gospel Choir Celebration Concert
It’s a Girl Thing-Award of Excellence
Library Anniversary
Loma-Prieta Earthquake 25th Anniversary
LUHSD Athletic Hall of Fame inductees
LUHSD Graduates of Distinction
Mayor for Year of Service
Ministry Service
Mt. Diablo Habitat for Humanity recognition
National Wildlife Federation’s “Mayors’ Monarch Pledge” 194
Oakley Youth Advisory Committee service
Outstanding Academic Achievement
Outstanding Athletic Achievement
Outstanding Athletic Coach / Director
Outgoing City staff (Chief of Police, City Clerk, City Manager) Outgoing Councilmember
Outgoing General Manager-Special District
Patriot Guard Riders service
Planning Commissioner service
Playful City USA
Police Officer recognition for life-saving action
Postmaster of City of Oakley service
PTA 125th Anniversary
Retiring K-9 service dog
Retiring school superintendent
Retiring school board member
Special District Anniversary
Sports Team accomplishments (on and off field success)
Tri-Delta Transit 25th Anniversary
Youth Vote 2000
195
RESOLUTION NO. _________-22
RESOLUTION OF THE OAKLEY CITY COUNCIL ADOPTING THE CITY OF
OAKLEY PROCLAMATION POLICY AND APPROVED PROCLAMATION LIST BE IT RESOLVED by the City Council of the City of Oakley that the attached City of Oakley Proclamation Policy and Approved Proclamation List are hereby approved.
The foregoing resolution was introduced at a regular meeting of the Oakley City Council held on the 9th day of August, 2022, by Councilmember _________________, who moved its adoption, which motion being duly seconded by Councilmember _______________, was upon voice vote carried and the resolution adopted by the following vote:
AYES:
NOES:
ABSTENTION:
ABSENT:
APPROVED:
__________________________
Randy Pope, Mayor
ATTEST:
___________________________
Libby Vreonis, City Clerk Date
196
STAFF REPORT
Approved and Forwarded to the City Council
Date: August 9, 2022
To: Joshua McMurray, City Manager
From: Kenneth W. Strelo, Planning Manager
Subject: Work Session to Discuss Oil and Gas Drilling
Summary
This is a City Council Work Session to discuss Oil and Gas Drilling. During the May 24, 2022 City Council Meeting, Councilmember Higgins made a request under Item 6.2(b) “Request for Future Agendas” for support from the City Council to adopt a resolution written to the Contra Costa County Board of Supervisors to “ban all future oil and gas drilling, and to shut down the current gas and oil extraction operations that the County has.” Councilmember Williams supported the request. Although not often referenced or addressed, the City of Oakley Municipal Code (“OMC”) currently includes Zoning Code section 9.1.1216 “Oil and Gas Drilling.” which regulates oil and gas drilling activities within the City of Oakley. Staff is bringing this topic to the City Council as a work session to receive City Council direction on how to address the applicable section in the OMC and any additional direction on drafting a resolution to the County Board of Supervisors requesting them to ban the use countywide.
Background
Existing Ordinance
The Oil and Gas Drilling section of the Zoning Code1(Chapter 9.1 of the OMC) is included under “Article 12 Special Land Uses.” The Objectives and Purpose of the section is quoted below:
It is the intent and purpose of this Chapter to regulate the exploration for, drilling, redrilling and recovery of oil, gas and other hydrocarbons, including injection wells, so that these activities may be conducted in a manner that: i) protects public health, safety and welfare; ii) conforms with established codes and regulations; iii) minimizes the potential impact to property and mineral rights owners; iv) encourages well site consolidation; and v) protects the quality of the environment. This chapter provides local regulations for hydrocarbon development. These operations are also subject to state and federal regulations administered by those agencies.
1 https://www.codepublishing.com/CA/Oakley/#!/Oakley09/Oakley091.html#9.1.1216 197
Work Session to Discuss Oil and Gas Drilling
August 9, 2022
The section also includes parts that cover: Definitions; General [guidelines]; Permits Required; Permit Application, Modification, Transfer, Termination, Revocation and Exemption; Permit Development Regulations; Abandoned and Idle Wells; Filing Subdivision Maps; Development Encroachment in Petroleum Areas; Fees; Penalties and Enforcement; and Suspension.
All oil and gas drilling is subject to approval of a conditional use permit and design review, and each permit falls under one of three classes depending on the location and zoning of the well. Different classes are related to different zoning districts and operations are subject to 150-foot setbacks from different uses, depending on the underlying zoning district. In practice, the operation would require a 150-foot setback from other uses.
Neighboring Jurisdictions’ Related Actions
On January 11, 2022 the City of Antioch City Council unanimously introduced an ordinance amending the Antioch Municipal Code to prohibit oil and gas drilling production, and exploratory operations as permitted uses in the “M-2” (Heavy Industrial) zone and in the designated portion of the Sand Creek Focus Area of the “S” Study District. On January 25, 2022, the Antioch City Council unanimously adopted the ordinance. The City Council agenda item staff reports for both items are included as attachments to this Staff Report. At the time this staff report was drafted, the adopted ordinance was not yet available from the City of Antioch.
On April 12, 2022 the City of Brentwood City Council unanimously adopted an interim urgency ordinance implementing a moratorium on new oil and gas development, pending a study of the effects of such activities and Brentwood’s long-term plan for regulation. That ordinance was effective for an initial 45-days. On May 26, 2022, the Brentwood City Council adopted an urgency ordinance extending the temporary prohibition on new oil and gas development for an additional 10 months and 15 days.
The City Council agenda item packets and adopted ordinances for both items are included as attachments to this Staff Report.
Analysis
Current Operations
According to the California Department of Conservation Well Finder map2, the City of Oakley has no Active Gas; Dry Gas; Liquid Gas and no Active Oil and Gas wells within the City boundaries, Sphere of Influence or Planning Area. There are also no such canceled wells; however, there are approximately 90 such plugged wells, and one idle dry gas well. The nearest canceled well is located within unincorporated Contra Costa County near Jersey Island Road and the Burlington Northern Santa Fe railroad tracks, approximately ½ mile east of Sellers Avenue. The nearest active wells within the 2 https://maps.conservation.ca.gov/doggr/wellfinder/#openModal 198
Work Session to Discuss Oil and Gas Drilling
August 9, 2022
County are located approximately 16 miles to the west of Oakley in the Los Medanos Gas field north of State Route 4 and east of Port Chicago Highway.
Since the City of Oakley currently has an ordinance that conditionally permits establishing oil and gas wells, it is recommended the Council provide direction to Staff on the current ordinance prior to passing any resolutions requesting the County Board of Supervisors.
Consistency with the City of Oakley Strategic Plan 2022-2027+ This work session to discuss the operation of oil and gas wells within the City of Oakley has been spurred by a combination of public and City Council comments related to concerns of incompatibility between oil and gas wells with surrounding land uses, such as residences, parks, schools, etc., and potential health concerns for people living and recreating near the operations. This discussion is consistent with at least two Goals of the City of Oakley Strategic Plan 2022-2027+ (“SP27+”). The first consistency is with the Community and Economic Development Goal which states, “The City of Oakley will inspire and encourage Community and Economic Development through strategic and thoughtful growth, a business-friendly environment, and local opportunities.” The second consistency is with the Community Health and Safety Goal which states “The City of Oakley will protect our public and prioritize safe streets, healthy neighborhoods, and robust community resources to benefit our most valued assets – our people.” Fiscal Impact
There is no fiscal impact to the General Fund in relation to this work session.
Recommendation
Staff recommends the City Council receive the Staff Report and Staff Presentation, hold the Work Session, including receiving public comments, and provide Staff with oral and/or written direction on the topic of regulating all or some of the discussed uses.
Attachments
1. Oakley Municipal Code Section 9.1.1216 “Oil and Gas Drilling”
2. City of Antioch City Council Packets for Ordinance Introduction and Adoption (Adopted Ordinance not yet available from City of Antioch)
3. City of Brentwood City Council Packets for Interim Ordinance and Urgency Ordinance Extension (Includes adopted Ordinances)
199
Oakley Municipal Code Section 9.1.1216 Oil and Gas Drilling
9.1.1216 Oil and Gas Drilling
a. Objectives and Purpose. It is the intent and purpose of this Chapter to regulate the exploration for, drilling, redrilling and recovery of oil, gas and other hydrocarbons, including injection wells, so that these activities may be conducted in a manner that: i) protects public health, safety and welfare; ii) conforms with established codes and regulations; iii) minimizes the potential impact to property and mineral rights owners; iv) encourages well site consolidation; and v) protects the quality of the environment. This chapter provides local regulations for hydrocarbon development. These operations are also subject to state and federal regulations administered by those agencies. b. Definitions. The terms set forth in this chapter shall have the meanings herein unless it is apparent from the context that a different meaning is intended.
1. "Abandonment" means the permanent plugging of a well and removal of all equipment related to the well, including restoration of the well site in accordance with these regulations and the requirements of the Department of Conservation, Division of Oil, Gas and Geothermal Resources of the State of California.
2. "A.N.S.I." means the American National Standards Institute.
3. "A.P.I." means the American Petroleum Institute.
4. "A.S.T.M." means the American Society for Testing Materials.
5. "Blowout" means the uncontrolled flow of gas, liquids or solids (or a mixture thereof) from a well onto the surface.
6. "Cellar" means an excavation in which the wellhead is located.
7. "Completion of drilling" operations on a well site is deemed to occur for the purpose of this code upon: (1) initiation of disassembly or removal of the drilling rig from any one well on the well site; (2) thirty days after setting of a well head on any one well on the well site; or (3) thirty days after drilling equipment has been removed from a well on a well site. Completion has not occurred if drilling, testing, 200
or remedial operations are resumed on all wells before the end of any thirty-day period.
8. "Derrick" means any framework, tower or mast together with all the appurtenances to such structure placed over a well for the purpose of drilling, raising or lowering pipe, casing, tubing or other drilling, completion production or injection tools or equipment out of or into the well bore.
9. "Desertion" means the cessation of operations at a well where suspension of drilling operations and removal of drilling machinery has occurred or where the operator cannot be located or contacted, and no hydrocarbon development activity has taken place for at least six consecutive months, or hydrocarbon development equipment or facilities have been removed and no activity has taken place for at least two consecutive years, unless the D.O.G.G.R has granted an extension of time pursuant to D.O.G.G.R. regulations. This definition does not apply to observation wells.
10. "Division of Oil, Gas and Geothermal Resources" or "D.O.G.G.R" means that division of the Department of Conservation of the state of California.
11. "Drill" or "drilling" means to bore a hole in the earth for the purpose of completing a well, exploration or testing. Drilling includes all operations through the removal of the drilling equipment from the well site.
12. "Dwelling" means any building or portion thereof providing living facilities for one or more persons, including permanent provisions for sleeping, eating, cooking and sanitation, and includes both single-family and multiple-family residential facilities.
13. "Gas" means the gaseous components or vapors contained in or derived from petroleum or natural gas.
14. "Grade" (adjacent ground elevation) means the lowest point of elevation of the finished surface of the ground, paving or sidewalk within the area between the structure and the property line or, when the property line is more than five feet from the structure, between the structure and a line five feet from the structure. Grade does not include the areas within a well cellar or other subgrade vault or chamber when used in reference to restoration of a well site to pre-existing or original grade. 201
15. "Hazardous well" means an oil or gas well that presently poses a danger to life, health, or natural resources as determined by the D.O.G.G.R under the provisions of the public resources code.
16. "Hydrocarbon development" means and includes oil or natural gas exploration, drilling, extraction and development, production, storage, transmission and treatment activities.
17. "Idle well" means a well for which production has been suspended for a minimum of five consecutive years, except any well being held for future programs, including those being retained for use under a secondary or tertiary recovery plan or for disposal, which has been approved by the D.O.G.G.R but has not been abandoned or deserted as defined in this code and by the D.O.G.G.R. This definition does not apply to observation wells.
18. "Lessee" means the party possessing the right(s) to drill and engage in hydrocarbon development of oil, gas or other hydrocarbons from the subsurface of land with said right(s) being specifically conveyed by written oil, gas, mineral or surface leases.
19. "Lessor" means the party owning an interest in and to any oil, gas or other hydrocarbons as may be produced from a tract of land who has conveyed the right(s) to drill, develop and produce said substances to another party (lessee) by a written oil, gas, mineral or surface drilling rights lease. This party may or may not be the surface owner.
20. "Maintenance" or "maintain" means the upgrading, repair, cleaning, upkeep and replacement of parts of a structure and equipment. Maintenance of a structure does not alter or lessen the character, strength, or stability of the structure.
21. "N.F.P.A." means the National Fire Protection Association.
22. "Noise sensitive receptor" means and includes a land use associated with human activities which is particularly sensitive to noise. Examples of noise sensitive receptors include hospitals, libraries, schools, residential uses, and those uses deemed noise sensitive by the City Council or Planning Commission. 202
23. "Observation well" means a well bore for the purpose of observing petroleum reservoir characteristics, including but not limited to, temperature, saturation, pressure, and fluid movement, as recognized by the D.O.G.G.R.
24. "Operator" means a person, including corporations, partnerships and associations, whether proprietor, lessee, contractor, or agent or officer of the same, in charge of or in control of the drilling, maintenance, and operation of a well or wells as shown on the permit application.
25. "Petroleum" means and includes any and all hydrocarbon substances found in a natural state, including but not limited to crude oil, natural gas, natural gasoline, and other related substances.
26. "Petroleum lease" means a property right, with respect to which a lessee enjoys the right to drill, develop, produce and possess petroleum resources for a determinable period. May also be referenced as a subsurface lease or mineral rights lease.
27. "Public assembly" refers to a building, structure or site, or portion thereof, for the gathering together or accommodation of fifty or more persons for such purposes of deliberation, education, worship, entertainment, lodging, medical care, amusement, drinking and dining, or awaiting transportation.
28. "Redrilling" means any drilling operation, including deviation from original well bore, to recomplete the well in the same or different geologic zone, excluding sidetracking.
29. "Remedial" means any work on a well, other than drilling or redrilling.
30. "Reserved site" means the land reserved in accordance with Section 9.1.1216(i)(c) as part of a rezoning, subdivision or other development for future drilling and/or hydrocarbon development operations.
31. "Sidetracking" means drilling that is initiated within a previously existing well bore, which then deviates from that well bore with the objective of recompleting a well in the same or different geologic zone. Sidetracking does not include drilling involving substantial deviation from the original well bore. 203
32. "Sump" means a lined or unlined, covered or uncovered excavation pit which holds petroleum or other liquids incidental thereto, or solids associated with hydrocarbon development.
33. "Tank" means a structure or container, with a minimum volume of sixty gallons, used in conjunction with either the drilling or production of a well used for holding, storing, or treating liquids or solids, or otherwise associated with hydrocarbon development.
34. "Uniform Building Code" or "U.B.C." means the most recent edition of the Uniform Building Code as adopted by the City of Oakley.
35. "Uniform Fire Code" or "U.F.C." means the most recent edition of the Uniform Fire Code as adopted by the City of Oakley.
36. "Well" means any hole drilled into the earth for the purpose of exploring for or producing oil or gas; injecting fluids or gas for stimulating oil or gas recovery; repressuring or pressure maintenance of oil or gas reservoirs; disposing of oil field waste fluids associated with hydrocarbon development; seismic testing associated with hydrocarbon development; or any hole drilled into the earth within or adjacent to an oil or gas pool for the purpose of observation of subsurface conditions.
37. "Well servicing" means and includes remedial or maintenance work or work performed to maintain or improve production from an already producing facility.
38. "Well site" means that surface area used for oil or gas drilling or extraction operations, for injection purposes in enhanced petroleum recovery operations after drilling is completed and oil and gas recovery activities following completion of drilling or redrilling of a well. A well site may include one or more wells. c. General.
1. Hydrocarbon development, and any accessory or ancillary equipment, structure or facilities thereto, is conditionally permitted in the following zoning districts, subject to the identified development requirements. Distance shall be measured from the nearest well:
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Applicable
Zoning
Districts
Development
Requirements Distance Requirements
(R), (M),
(DR), (AL)
(A-4)
Class 1 Permit
(Residential/Open
Space)
Conditionally permitted over 150
feet from a residence.
CUP Not permitted 150 feet or less from
a residence.
Design Review
(C), (RB),
(BP), (CR)
Class 2 Permit
(Commercial)
Conditionally permitted:
CUP (1) Over 150 feet from a dwelling
unit (other than a caretaker or
night security dwelling on the
same parcel);
(2) Over 150 feet from a
commercial structure that provides
goods or services to customers on
site;
(3) Over 150 feet from a place of
public assembly, except a public
park;
Design Review
Not permitted 150 feet or less from
a residence, commercial structure
(as described above) or place of
public assembly, except a park.
(LI), (UE)
(P)
Class 3 Permit
(Industrial)
Conditionally permitted:
CUP (1) Over 150 feet from a dwelling
unit (other than a caretaker or
night security dwelling on the
same parcel);
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Applicable
Zoning
Districts
Development
Requirements Distance Requirements
Design Review (2) Over 150 feet from a place of
public assembly;
Not permitted 150 feet or less from
a residence or place of public
assembly (as described above).
(LI), (UE) Class 3 Permit Conditionally permitted:
CUP (1) Over 150 feet from a dwelling
unit (other than a caretaker or
night security dwelling on the
same parcel); or
Design Review (2) Over 150 feet from a place of
public assembly except a public
park; or
Not permitted 150 feet or less from
a residence or place of public
assembly (as described above).
(P-1) (SP-1) Permit depends on type of use
specified in the preliminary or final
development plan for the district.
** If the preliminary or final
development plan allows for mixed
use development, the MORE
RESTRICTIVE class of permit
shall be required.
2. If the General Plan and Zoning Ordinance conflict as related to the provisions of this Chapter, the General Plan shall control.
d. Permits Required.
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1. No person shall drill or engage in hydrocarbon development without first obtaining the required conditional use permit. Applications for conditional use permits shall be made in writing to the Community Development Director pursuant to Section 9.1.1604 of this Code. Each operator that obtains a conditional use permit under this Section is required to obtain a City of Oakley business license.
2. In P-1 and SP-1 zoning districts, hydrocarbon development operations shall require the class of conditional use permit for the type of use specified in the preliminary or final development plan for the district, whichever has been adopted.
If the preliminary or final development plan allows for mixed use development, the more restrictive class of permit shall be required.
e. Permit Application, Modification, Transfer, Termination, Revocation and Exemption
1. Hydrocarbon development may not commence until a conditional use permit is granted. A conditional use permit may include requirements and limitations in addition to those set forth in this Chapter. Any condition set forth in the development regulations or imposed by this Chapter and conditions of the conditional use permit, may be modified at the request of the permit applicant or holder of the conditional use permit as long as there is no material detriment to the public health, welfare or safety of persons and property located within a reasonable distance of such a well. The permit applicant or holder of the conditional use permit shall present evidence in support of any modification to any development regulation or condition imposed by this Chapter. City may contract with experts and other professionals to review any requested modifications. The applicant or holder shall bear all costs related to the City’s contracting for such review as part of the application.
2. An applicant for a conditional use permit shall, in the required CUP application, provide an estimate of the expected productive life of the well site. An applicant may apply for a CUP up to the total estimated productive life of the well site; the CUP may only be granted for that term. The applicant may thereafter apply for an unlimited number of one-year extensions.
i. The Community Development Director may administratively approve such extensions as long as the applicant has complied with the conditions of the CUP and the provisions of this Chapter.
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ii. The Community Development Director may refer the extension request to the Planning Commission if the Community Development Director has recorded any violations of the CUP or to the provisions of this chapter. The Planning Commission or Community Development Director may grant an extension request if satisfied that the applicant has corrected all recorded violations and agrees in writing to make a good-faith effort to avoid and correct any future violations.
3. In addition to the application requirements for a conditional use permit pursuant to the Zoning Code and this Chapter, an applicant shall also submit the following:
a. A plot plan or site development plan drawn at the scale specified by the Community Development Director which includes the following information:
i. Topography and proposed grading.
ii. Location of all proposed well holes and related accessory equipment, structures, and facilities to be installed and any abandoned wells if such are known to exist.
iii. Location of all existing dwellings and buildings used for other purposes, located within three hundred feet of the proposed well holes, identification of the use of each structure, and distances between well holes and existing buildings.
iv. North arrow.
b. A narrative description of the proposed development, including:
i. Acreage or square footage of the property.
ii. Nature of hydrocarbon development activity.
iii. Description of equipment to be used, including height of derrick and screening.
iv. Distance to all existing buildings.
v. Phasing or development schedule.
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vi. Security and emergency response provisions.
vii. Information regarding emergency service personnel training requirements
viii. Insurance provisions, including performance bond or other surety to ensure the site is returned to its pre-drilling state.
ix. Description of possible odors, noise, or traffic characteristics related to the well site.
c. A copy of the letter, or other official documentation, from D.O.G.G.R. containing the name and address of the operator of record as shown in D.O.G.G.R. records as of thirty days prior to the date the conditional use permit application is submitted to the Community Development Director or a written statement from D.O.G.G.R. that there is no party of record with D.O.G.G.R. relative to the subject site.
d. A local contact with authority to represent the company for the operator of record or mineral rights holder for hydrocarbon development activities, if applicable.
e. Additional information, conditions and restrictions may be required as part of an application for a Conditional Use Permit, as provided by this Chapter, the Community Development Director, the City Engineer and/or the Planning Commission.
4. Notice of the public hearing shall be expanded to include property owners within three hundred feet of the property line on which the well site and/or reserved site that is the subject of the hearing, the operator of record as shown in D.O.G.G.R. records, and the local contact for hydrocarbon development activities (if applicable).
5. If hydrocardon operations are not commenced within one year from the date of issuance of the conditional use permit, or within any extended period thereof, or if the permitted activities are not continuously conducted thereafter, the conditional use permit shall be void, unless extended. No permit shall expire while the permittee is continuously conducting drilling, redrilling, completing or abandoning 209
operations, or related operations, in a well on the lands covered by such permit, where operations were commenced while said permit was otherwise in effect.
Continuous operations are operations suspended not more than thirty consecutive days. If operations are discontinued the permit is void, and the permittee must apply for a new permit, unless the Community Development Director, upon a written request of the permittee, extends the permit for the additional time requested by the permittee for the completion of such drilling program or hydrocarbon development.
6. The owner or operator of any well permitted by this Chapter shall provide the Community Development Director, or designee, a copy of the written notice to the D.O.G.G.R. of the sale, assignment, transfer, conveyance, or exchange by the owner or operator of the well within thirty days after the sale, assignment, transfer, conveyance, or exchange. In addition, the owner or operator shall also acknowledge that they have notified the new owner or operator of all existing terms and conditions of the City’s permit.
7. The Community Development Director, may, in writing, suspend or revoke a permit issued under the provisions of this Chapter whenever the permit is issued in error on the basis of incorrect information supplied by the applicant that results in there being a violation of any ordinance or regulation or any of the provisions of this Chapter.
8. Any City official or employee, for the purpose of reviewing a permit application, transfer of operation/ownership, complaint, compliance or any other investigation pursuant to this Chapter, shall have the right to enter upon the premises for inspection provided they give prior notice of such to the operator.
9. Well sites and hydrocarbon development activities established prior to the effective date of this ordinance may continue to operate pursuant to permits issued for them, and shall be exempt from the new provisions of this Chapter unless the use loses its legal nonconforming status under Chapter 9 of the City’s Zoning Ordinance. In that case, new permits shall be required, as provided for in this Chapter.
10. The City may impose fees to offset the costs associated with permit processing and condition monitoring.
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11. Attainment of permits pursuant to this Chapter does not relieve the applicant of the responsibility in obtaining permits as required by law from other local, State or Federal agencies. All required Federal, State, County, and City rules and regulations shall be complied with at all times including, but not limited to, the rules and regulations of the following agencies:
a. Division of Oil, Gas and Geothermal Resources;
b. East County Fire District;
c. Contra Costa County Health Department;
d. Regional Water Quality Control Board;
e. Bay Area Air Quality Management District.
f. Permit Development Regulations
f. Permit Development Regulations.
1. Class 3 Permits-Development Regulations.
i. Setbacks. All distances to and from any setback shall be measured from the nearest well. No well shall be drilled nor shall any storage tank and other production related structures be located within:
a. Fifty feet of the right-of-way of any dedicated public street, highway, railroad or private street, or adopted specific plan line of any street or highway;
b. One hundred and fifty feet of any occupied building including dwellings, except buildings incidental to the operation of the well; c. Twenty-five feet of a storage tank or boilers, fired heaters, open flame devices or other sources of ignition pursuant to the U.F.C. d. Fifty feet of park area that is open and accessible to the public. ii. Fire Safety. All drilling and hydrocarbon development activities shall be subject to all fire and safety regulations as required by the City Engineer, or 211
designee, pursuant to the U.F.C. Blowouts, fires, explosions and other life threatening or environmental emergencies shall be reported immediately to the City Engineer, or designee, and D.O.G.G.R.
iii. Division of Oil and Gas and Geothermal Resources. All hydrocarbon development shall be subject to D.O.G.G.R. regulations. iv. Production and Operations. For producing well sites, only storage of hydrocarbon production, vapor recovery on storage vessels, dehydration and separation of produced hydrocarbon products and other processes associated with production are permitted unless otherwise required by the D.O.G.G.R. All derricks, boilers, and other drilling equipment employed, pursuant to the provisions of this Chapter, to drill any well hole or to repair, clean out, deepen, or redrill any completed well shall be removed within ninety days after completion of production tests following completion of such drilling or after abandonment of any well, unless such derricks, boilers, and drilling equipment are to be used within a reasonable time, as determined by the City Engineer, or designee, for the drilling of another approved well(s) on the premises. v. Signs. Signs relating to hydrocarbon development shall be limited to directional and warning signs, and signs for identification of wells and facilities as required by the U.F.C. and D.O.G.G.R. to ensure employee and public safety.
vi. Sanitary Facilities. Sanitary toilet and washing facilities shall be installed and maintained at any well site and/or hydrocarbon development operation where personnel are stationed pursuant to the County of Contra Costa Health Department.
vii. Equipment Storage. There shall be no storage at the well site of material, equipment, machinery or vehicles which is not intended for prompt use in connection with hydrocarbon development. Any equipment or machinery not used for a consecutive period of more than sixty days shall be removed from the site unless a longer period is approved by the City Engineer, or designee, or the zoning district in which it is located permits such storage. viii. Derricks. Drilling derricks, if idle for a consecutive period of more than sixty days, shall be lowered and removed from the site unless a longer period 212
is approved by the City Engineer, or designee. Any derrick used for servicing operations shall be of the portable type, unless proof is provided that the well is of such depth or has some other characteristics such that a portable type derrick will not properly service such well. In that instance, the City Engineer, or designee, may approve the use of a standard type of derrick. ix. Grading and Drainage. Unless otherwise required by the State Department of Fish and Game or the U.S. Fish and Wildlife Service for those areas that they deem environmentally sensitive, well sites, including vehicle parking and maneuvering areas, shall be graded in a manner so that ponding will not occur. Normal wetting or other dust control procedures shall be employed throughout the grading period to control dust. Upon completion of grading, the site shall be compacted and all graded surfaces either paved, covered with gravel of aggregate base, treated with a dust binder, or other method approved by the City Engineer. The Regional Water Quality Control Board may have some jurisdiction relative to drainage and water quality. x. Waste. Drainage containing drilling muds, cuttings, wastewater, waste oil, grease and other oilfield wastes found to be hazardous associated with drilling and/or hydrocarbon development including servicing, shall not be discharged into or upon any streets, canals, storm drains or flood control channels. These wastes shall be contained in leak-proof containers, or other method as approved by the State Regional Water Quality Control Board, to prevent contamination of potable groundwater supplies and storm drainage waters.
Waste areas shall be cleaned at intervals as required by the City Engineer with all wastes disposed of at an appropriate authorized disposal site as regulated by the state of California. Facilities for disposal of nonhazardous oilfield liquid waste, production water and USEPA Class II wastes are considered an accessory facility only if the facility complies with the following:
a. The nonhazardous oilfield liquid waste or production water is produced and disposed of within the same designated oilfield; or b. The nonhazardous oilfield liquid waste or production water disposed of outside the designated oilfield of origin is produced by and disposed of solely and only by the same individual, corporation, or entity. 213
xi. Light and Glare. Lighting shall be limited to that necessary for safety and security purposes and shall be directed away from adjacent properties and road rights-of-way. All flares shall be shielded from adjacent properties and road rights-of-way.
xii. Blowouts. Protection against blowouts shall be provided in accordance with the D.O.G.G.R. and U.F.C.
xiii. Storage Tanks. Storage tanks shall be in accordance with the D.O.G.G.R. and U.F.C. Whenever oil or gas is produced into and shipped from tanks located on the premises, such tanks shall be adequately screened as specified in the approval of the conditional use permit and the requirements of D.O.G.G.R.
xiv. Height. The height of all pumping units, excluding derricks, shall not exceed a height of thirty-five feet. All other structures shall be regulated by the zoning district in which they are located. All heights of structures shall comply with Part 77 of the Federal Aviation Regulations of the Federal Aviation Administration, Department of Transportation, or any corresponding rules or regulations of the Federal Aviation Administration, as amended. xv. Site Condition. The well site and all associated structures shall be maintained in a neat and clean condition at all times. Proven technological improvements generally accepted and used in drilling and hydrocarbon development shall be employed as they become available if they are cost effective in reducing nuisances or annoyances. Pumping units and storage tanks shall be painted. Pumping wells shall be operated by electric motors or muffled internal combustion engines. Structures shall be screened as specified in the approval of the conditional use permit. xvi. Air Quality. Flaring, venting and odor control shall be subject to the regulations of the Bay Area Air Quality Management District, D.O.G.G.R. and U.F.C.
xvii. Building Permits. Building permits, as required by the City building official, shall be secured for all permanent structures to be used in connection with the production and processing of hydrocarbon or related substances in conformance with the U.B.C. Electrical permits shall be required for all 214
electrical connections for drilling and/or pumping units if electrical motors are utilized.
xviii. Vibration. Vibration from equipment shall not create a nuisance or hazard to nearby land uses.
xix. Site Restoration. Site restoration shall commence within ninety days upon completion of all hydrocarbon development activities or upon abandonment of the well site.
a. Before final abandonment, all hydrocarbon development equipment shall be removed from the site. Fences shall be dismantled, all signage removed, and the site regraded so as to break up impermeable surfaces and to restore the site as nearly as practicable to a uniform grade. Waste cleanup shall be to the satisfaction of the Contra Costa County Department of Environmental Health and other regulatory agencies of jurisdiction. The site shall be restored to the surrounding condition, or to the satisfaction of the State Department of Fish and Game or U.S. Fish and Wildlife Service for those areas that they deem environmentally sensitive. Site restoration activities shall be completed within ninety days of commencement. Failure of permittee to comply with the site restoration within a period of ninety days following the termination of any oil or gas exploration activity shall be called to the attention of the permittee by a registered letter addressed to permittee at the permittee’s address as shown on the permit application. If, at the end of thirty days after mailing of such letter no steps have been taken to comply with said provisions of this section, the City shall proceed to effect said restoration. Permittee shall be liable for all costs incurred by the City and no additional permit shall be issued to a permittee until payment of all costs has been made.
The City may recover such costs by filing a lien on the property. b. Well abandonment will be conducted in accordance with the regulations of the D.O.G.G.R. To the extent D.O.G.G.R. regulations do not address specific issue or conflict with Section 9.1.1216(f)(xix)(a) of this Code related to site restoration after well abandonment, the requirements of Section 9.1.1216(f)(xix)(a) shall apply. 215
xx. Floodplain Development. The City Engineer, or designee, shall coordinate with the City building official to ensure wells drilled in the primary or secondary floodplain are consistent with the City’s involvement in the National Flood Insurance Program and with the requirements of the State Department of Water Resources and Regional Water Quality Control Board. xxi. Vehicles. All vehicle parking and maneuvering areas shall be treated and maintained with a dust reducing material consistent with regulations of the Bay Area Air Quality Management District and to the satisfaction of the City Engineer.
xxii. Design Guidelines. Screening and landscaping shall be installed as specified in the approval of the conditional use permit and the D.O.G.G.R.
2. Class 2 Permits-Development Regulations.
a. Class 3 Requirements. In addition to the following development regulations, Class 3 permit development regulations set forth in Section 9.1.1216(d)(1) shall apply to all Class 2 permits. b. Frontage Improvements. Hydrocarbon development subject to a Class 2 permit shall comply with the requirements of Chapter 6.3 of the City of Oakley Municipal Code.
c. Noise. Noise levels from any hydrocarbon development activities shall not exceed sixty-five dB(A) CNEL at the property line of a noise sensitive receptor, except in a case of emergency. Exterior noise levels generated by hydrocarbon development shall be monitored as required by the City building official to ensure conformance to the noise level standards. The costs of such monitoring shall be borne by the operator conducting such operation. Records of the results of monitoring shall be maintained and provided to the City building official upon request.
d. Pipelines. Pipelines utilized for all hydrocarbon development operations shall be buried a minimum of three feet below grade.
e. Design Guidelines. Screening and landscaping shall be installed as specified in the approval of the conditional use permit and per the D.O.G.G.R. 216
3. Class 1 Permits-Development Regulations.
a. Class 3 Requirements. In addition to the following development regulations, Class 3 permit development regulations set forth in Section 9.1.1216(d)(1) shall apply to all Class 1 permits. b. Design Guidelines. Screening and landscaping shall be installed as specified in the approval of the conditional use permit and per the D.O.G.G.R. c. Frontage Improvements. Hydrocarbon development operations subject to a Class 1 permit shall comply with the requirements of Chapter 6.3 of the City of Oakley Municipal Code.
d. Vehicle Routes. Vehicles associated with hydrocarbon development in excess of three tons shall be restricted to those public roads specified by the City Engineer. The City Engineer, upon designating such roads, shall consider the property owner and mineral rights owners’ plans and agreements that may already designate which roads shall be used hydrocarbon development operations.
e. Noise. No hydrocarbon development operations shall produce noise at the property line of a noise sensitive receptor in excess of the following standards, with respect to these basic reference levels:
Basic Reference Levels dB(A)
7:30 a.m. to 5 p.m. 55 dB(A)
5 p.m. to 7:30 a.m. 50 dB(A)
i. Noise measurements and acoustical analysis shall be conducted by a qualified acoustical consultant experienced in the fields of environmental noise assessment and architectural acoustics. All costs associated with said measurements and analysis shall be borne by the permittee.
Frequency of monitoring shall be determined by the Planning Commission.
ii. All parts of a derrick above the derrick floor including the elevated portion thereof used as a hoist shall be enclosed with fire-resistive 217
soundproofing material. Such soundproofing shall comply with accepted A.P.I. standards and shall be subject to fire district regulations. All doors and similar openings shall be kept closed during drilling operations, except for ingress and egress and necessary logging, testing and well completion operations. Alternative materials or methods of soundproofing may be used, provided that such alternatives have been approved by the Planning Commission. The Planning Commission may approve any such alternative if they find that the proposed material and method have equal sound proofing properties and fire resistive qualities to the aforesaid specifications. The Planning Commission may require the submission of evidence to substantiate any claims that may be made regarding the use of such alternatives.
f. Pipelines. Pipelines utilized for all hydrocarbon development operations shall be buried a minimum of three (3) feet below grade. g. Abandoned and Idle Wells.
1. Abandoned Wells. The surface area of a well site shall be returned to its natural condition including but not limited to cleaning all oil, oil residues, drilling fluids, muds and other substances; leveling, grading or filling of sumps, ditches, and cellars including removal of all lining materials to the satisfaction of the D.O.G.G.R. The permittee shall also be responsible for repairing any streets, sidewalks or other public property that may have been damaged in connection with any operation on the site, except for ordinary wear and tear of said improvements, to substantially the same or better condition as existed before operations commenced as determined by the City Engineer.
2. Idle Wells. Whenever a well becomes idle as defined in this Chapter, the City Engineer, or designee, shall send notice thereof by registered mail, to the surface owner, mineral rights owner and lessee of land as shown on the latest equalized assessment roll of the county, and permittee, that a request to abandon the well will be sent to the D.O.G.G.R. unless operations are resumed or that the operator provides verification that the well is under the D.O.G.G.R.’s idle well program. If there is no response to said notice within ninety days of the receipt of the notice, or the extension of time expires, the City Engineer, or designee, shall request the D.O.G.G.R. to commence abandonment proceedings.
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3. Deserted Wells. As defined in this chapter, the City Engineer, or designee, may request that the D.O.G.G.R. commence abandonment proceedings. h. Filing Subdivision Maps.
Every person submitting a tentative or parcel map shall also submit two (2) sets of postage prepaid unsealed envelopes addressed to all mineral owners and lessees of record appearing on the title report, as shown in the D.O.G.G.R. records as operator of, who have not waived their right of surface entry underlying the subdivision. The applicant shall submit a copy of the letter from D.O.G.G.R. identifying the operator of record, if any, with the subdivision application. The letter from D.O.G.G.R. shall be dated no more than 30 days prior to the subdivision application submitted and shall list said name of operator of record and their addresses as shown in D.O.G.G.R.’s records or a written statement from D.O.G.G.R. that there is no party of record with D.O.G.G.R. relative to the site. The City may use all materials and information submitted with the tentative or parcel map application to notify any and all owners and lessees of existing mineral rights, and/or all oil/gas drilling, and/or production activities within the area proposed to be subdivided, of the tentative or parcel map application. i. Development encroachment in petroleum areas.
1. On-Site Petroleum Facilities. If a developer proposes to subdivide, rezone or otherwise develop property that contains existing hydrocarbon development operations including disposal wells, the developer shall provide a plan showing how all existing hydrocarbon development related facilities will be protected and integrated into the proposed development. The developer shall provide a written response from the existing operator of record as shown in D.O.G.G.R. records or local contact with authority to represent the company for the operator of record or mineral rights holder for hydrocarbon development regarding the submittal of the application. If an existing operator of record as shown in D.O.G.G.R. records or local contact with authority to represent the company for the operator of record or mineral rights holder for hydrocarbon development fails to provide a written response within 90 days from the date of a certified notice requesting the same, the developer may provide its good faith efforts to obtain a written response. The proposed subdivision map, rezoning application, development plan, and/or other application materials shall show an existing or a reserved site. The City may approve a subdivision that encroaches into setbacks provided for in 219
Section 9.1.1216(f) or distance requirements provided for in Section 9.1.1216(c) if the subdivision includes a phasing plan to coordinate the occupancy of units with the cessation of hydrocarbon development operations and abandonment of the wells. Any buildable lot containing an area which may not be built upon because of development standard compliance of the hydrocarbon development facilities shall be encumbered by the developer with a deed restriction specifying the area so encumbered and identifying the name and location of the well causing the encumbrance. If a final map is required, the subdivider shall record a covenant affecting all real property within the subdivision of the petroleum facilities. Said covenant shall disclose the existence and location of the hydrocarbon development facilities. The encumbrance or covenant shall be approved by the City Attorney prior to recordation. The covenant shall be recorded concurrently with the final map.
2. Abandoned Wells. Tentative maps, planned development and other development plans submitted to the City shall show the location of all wells drilled on the property. Prior to development of an area, any well shown as abandoned shall be accompanied by written verification from the D.O.G.G.R. that the well was properly abandoned pursuant to their regulations. Any well thereafter abandoned shall also be accompanied by written verification from the D.O.G.G.R.
Development shall be designed such that the City building official is satisfied that no structure will be built within ten feet of any well that has been properly abandoned pursuant to D.O.G.G.R. requirements. Any lot or parcel containing an abandoned well shall be encumbered with a deed restriction specifying the exact location of such well and any restrictions or limitations related to future construction on said lot or parcel. Said encumbrance shall run with the land and be approved by the City Attorney prior to recordation. If a final map is required, said encumbrance shall be recorded concurrent with the final map. The D.O.G.G.R., at their discretion, may also require that any abandoned well be uncovered, tested for leakage, require remedial work on leaking wells, and accurately located on the final map before said map is recorded.
3. Reserved Site. Lands may be reserved as part of a rezoning, subdivision or other development for future hydrocarbon development operations as reserved sites. Such sites shall be no less than two net acres in size and have a minimum lot frontage and width of three hundred feet and configured so that the proposed 220
development and hydrocarbon development activities can be adequately buffered from one another. Development plans shall provide for adequate ingress and egress and shall be accompanied with a plan of the ultimate use of the site after abandonment or decision not to pursue hydrocarbon development operations. If a final map is required, the subdivider shall record a covenant disclosing the existence and location of the drilling site. Said covenant shall be recorded to affect all real property within the subdivision. Said covenant shall be approved by the City Attorney and recorded concurrent with the final map. Future hydrocarbon development operations shall be required to acquire necessary permits as well as satisfy all well site development standards pursuant to this chapter. j. Fees; Terms. All applications for permits under the provisions of this Chapter shall be accompanied by an application fee. No application fee paid under this Chapter shall be refunded. All original permits and renewals granted under this Chapter shall also require a fee. All permits issued under the provisions of this chapter shall be valid for one year, unless the applicant specifies the expected period of use, to which the applicant shall apply for a permit for up to that term. The Planning Commission may grant a CUP for that term. The applicant may thereafter apply for an unlimited number of one-year extensions. The Community Development Director, in consultation with the City Engineer, may administratively approve such extensions as long as the applicant has complied with the conditions of the CUP and the provisions of this chapter. If the Community Development Director or City Engineer has recorded any violations of the CUP of the provisions of this Chapter, the Community Development Director may refer the extension request to the Planning Commission. The Planning Commission or Community Development Director may grant an extension request if satisfied that the applicant has corrected all recorded violations and will make a good-faith effort to avoid and correct any future violations.
k. Penalties and Enforcement.
1. It shall be the duty of the City Engineer and Building Official to enforce the provisions of this chapter.
2. Any structure erected or maintained or any use of property contrary to the provisions of this chapter shall be, and the same is, unlawful and a public nuisance, and the City Engineer, or Building Official, in conjunction with the City Attorney shall immediately commence actions and proceedings for the abatement, 221
removal and enjoinment thereof in the manner provided by law. Violators will be liable for all enforcement costs incurred by the City.
3. This chapter may also be enforced by injunction issued out of Superior Court upon suit of the City, or the owner or occupant of any real property affected by such violation.
4. Every person who engages in hydrocarbon development in violation of any of the provisions of this Chapter shall be guilty of a misdemeanor or punishable by a fine of not to exceed five hundred dollars ($500.00) or by imprisonment in the county jail for a period of not more than six (6) months, or by both such fine and imprisonment. Each day of violation of any of the provisions of this chapter shall be considered to be a separate offense.
5. Permits issued in conflict with the provisions of this chapter shall be null and void.
6. Penalties specified in this section are not exclusive. l. Suspension. Whenever it is shown that any person to whom a permit has been issued has violated any of the provisions of this article, the Community Development Director shall immediately suspend the permit and give the permit holder a written notice in person or by mail of the suspension. The notice must contain a statement of the facts upon which the Community Development Director has acted in suspending the permit. The notice must contain a statement of the appeal procedure contained in the City of Oakley Zoning Code.
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9 Agenda Item #
STAFF REPORT TO THE CITY COUNCIL
DATE: Regular Meeting of January 11, 2022
TO: Honorable Mayor and Members of the City Council
SUBMITTED BY: Thomas Lloyd Smith, City Attorney TLS
SUBJECT: Introduction of Ordinance Amending the Antioch Municipal Code Sections 9-5.3803 and 9-5.3834 to Prohibit Oil and Gas Drilling, Production, and Exploratory Operations as Permitted Uses in the M-2 and S Zones
RECOMMENDED ACTION
It is recommended that that the City Council waive the first reading and introduce by title only an ordinance amending the Antioch Municipal Code Sections 9-5.3803 and 9-5.3834 to remove oil and gas drilling, production, and exploratory operations as permitted uses in the “heavy industrial” (M-2) zone and in the designated portion of the Sand Creek Focus Area of the “S” Study District.
FISCAL IMPACT
There is no anticipated direct fiscal impact as a result of this item because there are no presently authorized oil and gas operations in the zones affected by the proposed ordinance, nor are there any pending applications for land use entitlements that will be affected. There may be an indirect fiscal impact in the future, to the extent the City will no longer permit operation of oil and gas drilling or production facilities that may otherwise have increased employment opportunities or revenue to the City in the form of taxes.
However, there are no present or pending land use entitlements for oil and gas drilling or production purposes, and other industrial uses that bring employment and revenue opportunities to the City will continue to be permitted in the M-2 zone.
DISCUSSION
The Antioch Municipal Code presently authorizes oil and gas drilling, production, and exploratory operations in the M-2 zone, which is an industrial district, after obtaining a use permit, and as a temporary use within a portion of the Sand Creek Focus Area of the “S” Study District. There are presently no active oil and gas operations in the M-2 zone. Nor are there any pending land use entitlement applications to undertake oil and gas operations in that zone. Within the City as a whole, there is a deemed complete application at the Creekside Vineyards at Sand Creek project location for a zoning text amendment and use permit to allow oil and gas exploration. The applicant requested to 223
Antioch City Council Report
January 11, 2022 Agenda Item #9 2
put the application on hold in May 2020 and no further action has occurred. In March 2021, the City Council approved the Creekside Vineyards at Sand Creek residential project. The proposed oil and gas exploration plans show that the potential exploration would occur in an area outside of the approved residential development envelope of the site.
The “S” Study District refers to the property now owned and entitled as part of “The Ranch” development in the Sand Creek Focus Area. The Ranch includes exclusively residential and commercial uses in its project entitlements and Development Agreement.
The entitlements and Development Agreement function as a binding limitation on land uses for the project, so unless the project proponent/landowner requested modification of the entitlements and Development Agreement to allow oil and gas uses upon City approval – which would effectively abandon the current entitlements – no oil and gas uses are feasible on the property. Further, approximately 2/3 of The Ranch project is within 1,500 feet of existing homes, which would separately restrict the ability to use the site for oil and gas drilling and production purposes.
Oil and gas drilling and production can have significant environmental and health effects on the community. For example, oil and gas production can substantially increase air pollution in the areas where permitted, and fossil fuel extraction contributes to emissions that create long-term climate change effects.
Antioch prides itself on its recreational opportunities, affordability, and the wellbeing of its residents; precluding oil and gas operations within City limits will protect the ability of Antioch’s residents to enjoy clean air and water, and live and work in a healthy and commercially thriving community.
There is no immediate or anticipated effect to existing or proposed oil and gas uses within the City limits and restricting such uses would most likely have positive health and environmental effects for the entire community.
ATTACHMENTS
A. Proposed Ordinance
224
ATTACHMENT A
ORDINANCE NO. ______
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ANTIOCH AMENDING SECTIONS 9-5.3803 AND 9-5.3834 OF ARTICLE 38 OF CHAPTER 5 OF THE ANTIOCH MUNICIPAL CODE RELATING TO
ZONING RESTRICTIONS FOR OIL AND GAS DRILLING
WHEREAS, the City of Antioch ("City") presently authorizes oil and gas drilling and production in the “heavy industrial” (M-2) zone, with a Use Permit issued by the Planning Commission;
WHEREAS, the City presently regulates oil and gas drilling and recovery in the Sand Creek Focus Area of the “S” Study District as a temporary use; WHEREAS, the City now desires to remove oil and gas drilling, production, and recovery as authorized uses in the M-2 zone and authorized temporary uses in the “S” Study District; and
WHEREAS, there are presently no active oil and gas drilling or production operations within the City’s M-2 or “S” Study District, and no approved requests for land use entitlements to construct or operate such oil and gas drilling or production facilities.
The City Council of the City of Antioch, California, does hereby ordain as follows:
SECTION 1. Recitals. The above recitals are incorporated as though set forth in this section.
SECTION 2.Amendment. Section 9-5.3803 of the Antioch Municipal Code, “Table of Land Use Regulations”, is hereby amended so that “oil & gas drilling” and “oil and gas production” are no longer permitted in the M-2 zone. A copy of the amended Table of Land Use Regulations is attached hereto and incorporated by reference herein.
SECTION 3.Amendment. Subsection (B) is hereby deleted from Section 9-5.3834 of the Antioch Municipal Code, and previous subsections (A)(1) and (A)(2) will now be renumbered as subsections (A) and (B), so that Section 9-5.3834 shall now read as follows:
Ҥ 9-5.3834 STUDY DISTRICT (S).
Within the "S" Study District, all properties are entitled to and restricted by the requirements of the previous county zoning designations that applied to the property prior to the date of annexation by the city.
(A) All land uses existing on the date of annexation by the city shall be allowed to continue and expand as would otherwise have been allowed under the previous county zoning designations, including the keeping of animals and other uses of land permitted under county ordinances prior to the date of annexation by the city. 225
page 2 / 4
(B) No individual application for approval of a development project, other than what would have been allowed under the previous county zoning designations, may be approved in advance of approval by the city of a specific plan, or an alternative planning process as determined by the City Council.”
SECTION 4. CEQA. The adoption of this Ordinance is exempt from the provisions of the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3), which provides that CEQA only applies to projects which have the potential for causing a significant effect on the environment. Where it can be determined that the proposed project will not have a significant adverse effect on the environment, the project is not subject to CEQA. This Ordinance changes City zoning regulation of oil and gas drilling and exploration operations, and does not propose nor authorize any action or specific project that would have the potential to cause a significant adverse effect on the environment.
SECTION 5. Severability. Should any provision of this Ordinance, or its application to any person or circumstance, be determined by a court of competent jurisdiction to be unlawful, unenforceable, or otherwise void, that determination shall have no effect on any other provision of this Ordinance or the application of this Ordinance to any other person or circumstance and, to that end, the provisions hereof are severable.
SECTION 6. Publication; Effective Date. This Ordinance shall take effect and be enforced within thirty (30) days from and after the date of its adoption by the City Council at a second reading and shall be posted and published in accordance with the California Government Code.
* * * * * * *
I HEREBY CERTIFY that the forgoing ordinance was introduced and adopted at a regular meeting of the City Council of the City of Antioch, held on the ____ of January, 2022, and passed and adopted at a regular meeting thereof, held on the ____ day of January, 2022 by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
_____________________________________
Lamar Thorpe, Mayor of the City of Antioch
ATTEST:
________________________________________________
Elizabeth Householder, City Clerk of the City of Antioch 226
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230
CITY COUNCIL AGENDA ITEM NO. 1
Meeting Date: April 12, 2022
Subject/Title: An Interim Urgency Ordinance Implementing a Moratorium on New Oil and Gas Development in the City of Brentwood, Pending a Study of the Effects of Such Activities and the City’s Long-Term Plan for Regulation Prepared by: Damien Brower, City Attorney
Alexis Morris, Director of Community Development
Submitted by: Tim Ogden, City Manager
PURPOSE AND RECOMMENDATION
The City of Brentwood (“City”) presently regulates oil and gas development within the City via Brentwood Municipal Code (“BMC”) Chapter 17.680. The City has directed staff to examine the feasibility of a stronger set of regulations, including but not limited to considering an increased buffer zone for sensitive receptor areas and a total ban on new oil and gas development within City limits.
In order to adequately study and analyze the potential land use, environmental, economic, health, safety, transportation, and community effects of long-term oil and gas developments and changes to the City’s regulations, staff recommends the City Council adopt this Interim Urgency Ordinance implementing a moratorium on new oil and gas developments in the City of Brentwood so that staff may continue to study the matter and develop a long-term regulatory proposal.
CITY COUNCIL STRATEGIC INITIATIVES
Not applicable.
PREVIOUS ACTIONS
At the March 22, 2022 City Council meeting, the Council unanimously voted to direct staff to return with an interim moratorium on oil and gas drilling in the City, while continuing to research and prepare an ordinance that will target all such uses within 3,200 feet of sensitive receptor areas, and permanently ban oil and gas drilling within City limits.
BACKGROUND
Pursuant to Chapter 17.680, the BMC presently authorizes oil and gas drilling, production, and exploratory operations in certain areas of Brentwood, subject to permitting obligations and imposition of site conditions. For instance, under the current regulations, an applicant for an oil and gas permit or land use entitlement must comply with all development standards applicable to drilling or production operations, including a minimum production site size, fencing, screening and landscaping restrictions, setbacks, soundproofing, signs, storage tanks and equipment size and locations, and safety restrictions, among other things. There are currently no pending applications for oil and gas operation permits or associated land use entitlements in the City.
The City’s zoning and land use standards and regulations on oil and gas drilling have not been updated in several years, including since various changes in both oil and gas production techniques and state statutory and regulatory responses, making the City’s regulations ripe for review to determine whether Municipal Code and General Plan amendments and/or a 231
permanent ban on oil and gas production are necessary to reflect the state of today’s industry and its impacts on land use, transportation, public health, public safety, community, economies, the environment, and natural resources.
Despite the City’s current regulations governing oil and gas development and operations, there are nonetheless significant environmental and health effects to the community that can only adequately be addressed by suspending approvals of new oil and gas development within City limits in order to provide staff time to analyze additional regulatory measures for a long-term solution, such as (but not limited to) increased buffer distances in sensitive areas, and potentially instituting a permanent ban on oil and gas production altogether in City limits.
At the request of the City Council, and in order to properly study, analyze, and make recommendations concerning such permanent regulatory measures and a ban on new oil and gas development within City limits, staff is recommending adoption of this Interim Urgency Ordinance to place a moratorium on the issuance of any permits, entitlements, or other approvals of development of oil and gas wells within the City during the time the moratorium is in effect. This will allow staff to undertake the requisite study and analysis work to develop a long-term regulatory solution, while protecting the safety and health of residents, businesses, visitors, and the community as a whole in the interim.
Oil and gas production can have significant and prolonged environmental and health effects; for example, oil and gas production can substantially increase air pollution in the areas where permitted, and fossil fuel extraction contributes to emissions that create long-term climate change effects. Brentwood prides itself on caring for the health and well-being of its residents, workers, and visitors; precluding new development of oil and gas operations within the City will protect the continued ability of the Brentwood community to enjoy clean air and water, and live and work in a healthy and thriving city.
This Interim Urgency Ordinance is consistent with concerns raised by Council Members and community members at recent City Council meetings, and will provide staff the opportunity to study and assess potential long-term solutions, such as banning oil and gas development within City limits and establishing an enhanced buffer distance in sensitive receptor areas.
There are no active/pending permit or entitlement applications or uses relating to proposed oil and gas development projects within the City, so this moratorium on new development projects will not have any immediate or anticipated effect on private property or development rights.
Thus, while the language of the moratorium would technically allow currently permitted and existing wells to remain in operation, there are no such uses presently in existence.
The proposed Interim Urgency Ordinance is not an action subject to the California Environmental Quality Act (CEQA), as the action has no potential for resulting in physical change to the environment. (14 Cal. Code. Regs. § 15358.) Further, adoption of the Ordinance is exempt under CEQA because it will not cause a change in any of the physical conditions within the area affected by the Ordinance. (14 Cal. Code Regs. § 15061(b)(3).) Finally, State law requires a four-fifths vote of the City Council for the Interim Urgency Ordinance to be effective, and it shall expire on May 27, 2022, unless extended by another fourfifths vote. The ordinance may be extended, first for ten months and fifteen days, and then for an additional year if necessary, upon notice and a public hearing. If the above-described work cannot be completed in 45 days, it is anticipated that an extension will be requested at your meeting of May 24, 2022. At least ten days prior to the expiration of the interim urgency 232
ordinance or any extension, a written report must be issued that describes “the measures taken to alleviate the condition which led to the adoption of the ordinance”.
FISCAL IMPACT
There is no anticipated direct fiscal impact as a result of this proposed moratorium, because there are no pending applications for permits or other land use entitlements for new oil and gas operations that will be affected by its adoption. There may be an indirect fiscal impact in the future, to the extent the City moves forward with permanent bans and/or other regulatory measures targeting oil and gas production in the City, but those impacts (if any) will be separately analyzed and addressed as appropriate at a later date.
Attachments:
Ordinance
233
ORDINANCE NO. 1036
AN INTERIM URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY
OF BRENTWOOD IMPLEMENTING A MORATORIUM ON NEW OIL AND GAS
DEVELOPMENT IN THE CITY OF BRENTWOOD PENDING A STUDY OF THE
LAND USE, ENVIRONMENTAL, ECONOMIC, HEALTH, SAFETY,
TRANSPORTATION, AND COMMUNITY EFFECTS OF SUCH ACTIVITIES,
AND THE CITY' S LONG- TERM PLAN FOR REGULATION
WHEREAS, the City of Brentwood (" City") presently regulates oil and gas development within the City via Brentwood Municipal Code (" BMC") Chapter 17. 680 entitled " Oil and Gas Production", but the City now wishes to examine the desirability and feasibility of a more robust set of regulations and/ or prohibitions concerning the drilling of new oil and gas wells within the City; and
WHEREAS, if the City had any currently permitted and existing wells, it would want them to remain in operation, while also enacting this interim urgency moratorium on new oil and gas development activities, in order to balance existing property rights against its consideration of the potential impacts that new oil and gas development activities may have on the public health, safety, and welfare, and evaluation of what City regulations and restrictions, if any, should be imposed on such activities; and
WHEREAS, this interim urgency moratorium on new oil and gas development in the City will give the City sufficient time to study, analyze, and report on the benefits and detriments of enacting a permanent ban on new oil and gas development, and to address any necessary modifications to the City' s current oil and gas regulations in the BMC as appropriate; and WHEREAS, California Government Code section 65858 authorizes the City Council to adopt, by a four -fifths vote, and without following the procedures otherwise required for the adoption of a zoning ordinance, an interim urgency ordinance prohibiting any uses that may be in conflict with a contemplated general plan, specific plan, or zoning proposal that the City Council, Planning Commission, or Planning Division is considering, or studying, or intending to study within a reasonable time; and
WHEREAS, California Government Code section 36937 further authorizes the City Council to adopt, by a four -fifths vote, an ordinance that will take effect immediately if it is an ordinance for the immediate preservation of the public peace, health, or safety, containing a declaration of the facts constituting the urgency; and
WHEREAS, adoption of the ordinance is exempt from the California Environmental Quality Act (" CEQA") pursuant to Section 15358 of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Further, the City Council finds that this ordinance is exempt under CEQA pursuant to Section 15061( b)( 3) of the CEQA Guidelines because this ordinance will not cause a change in any of the physical conditions within the area affected by the ordinance.
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NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BRENTWOOD does ordain as follows:
Section 1. Recitals.
The recitals set forth above are adopted as the findings of the City Council in connection with the adoption of this ordinance. In support of the recitals stated above, the City Council hereby finds and determines that it is necessary to adopt an interim urgency ordinance to prohibit new oil and gas wells while City staff takes a reasonable time to consider and study further regulation and zoning procedures relating to oil and gas activities within the City.
Section 2. Urgency Findings.
In addition to the recitals adopted pursuant to Section 1 of this ordinance, the City Council also finds and determines that the absence of adequate regulation of the operation of oil and gas wells within the City constitutes an immediate threat to the public health, safety, and welfare. Specifically, the City Council finds as follows:
A. Local neighborhoods in the City have been negatively impacted by certain oil and gas development activities occurring near or within the City, including some that are operated consistently with the laws of the State. For example, although an oil and gas developer may operate within the bounds of existing environmental laws, it may not be possible to fully avoid or adequately mitigate negative health impacts to surrounding City residents.
B. Oil and gas exploration and production methodology is rapidly developing and evolving in the State of California, including the East Bay region, based on advances in technology, including the development of shale oil extraction using well stimulation techniques, including hydraulic fracturing.
C. On October 12, 2019, Governor Newsom signed Assembly Bill No. 1057 (" AB 1057") into law, emphasizing the State' s renewed focus on public health, safety, and environmental quality, and imposing a moratorium on the high- pressure cyclic steaming process of oil and gas production. AB 1057 also requires permits to conduct hydraulic fracturing, with a built-in " independent audit" framework for the permitting program to create a third -party scientific review of the health and safety impacts of granting such permits.
D. All oil and gas operations, whether conducted using conventional methods or well stimulation techniques, have the potential for significant and immediate impacts on the health, safety, and welfare of the citizens of Brentwood through increased noise, odor, dust, traffic, and other disturbances, as well as the potential to significantly impact the City' s air, water, soil, biological quality, geology, water, stormwater and wastewater infrastructure, transportation, emergency response plans, and other aesthetic values and community resources.
E. The State Planning and Zoning Law ( Cal. Gov. Code Sections 65000, et seq.) broadly empowers the City to plan for and regulate the use of land in order to provide for orderly development, the public health, safety, and welfare, and a balancing of property rights and the desires of the community to improve their City.
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F. The City's zoning and land use standards and regulations on oil and gas drilling have not been updated in several years, including since various changes in both oil and gas production techniques and state statutory and regulatory responses, making the City' s regulations ripe for review to determine whether Municipal Code amendments and/or a permanent ban on oil and gas production are necessary to reflect the state of today' s industry and its impacts on land use, transportation, public health, and other environmental and natural resources, as well as to analyze the City' s approach in light of AB 1057.
G. City staff have begun analyzing whether the City' s existing zoning and land use regulations pertaining to oil and gas activities are sufficiently protective of the public health, safety, and welfare.
H. The City is also aware of the potential effects to existing or future stakeholders interested in pursuing drilling, re -drilling, and deepening of wells associated with oil and/ or gas drilling and extraction operations in the City, and will remain cognizant of those property interests as it contemplates its long- term solution.
I. Certain provisions of the City's current ordinances and procedures concerning oil and gas activities, and associated land use plans, require review, study, and revision in order to protect the health, safety, and welfare of the citizens of Brentwood. Among other things, these revisions will likely result in the City amending, repealing, and/ or adding certain language to the City' s Municipal Code and General Plan.
J. Without the imposition of a temporary moratorium on new oil and gas development within the City, the City may be required to process applications for such development despite the fact that its existing regulations are in need of updating based on study and analysis that results in recommendations of new standards and best practices for oil and gas operations.
K. There is a current and immediate threat to the public health, safety, and welfare of the City and its residents, thereby necessitating the immediate enactment of this urgency moratorium, in that the approval of any permits for new oil and gas development in the City would be required to be processed under the City' s existing rules and procedures, which are in need of additional study and revisions to comport with changes in state law and industry practices.
L. The adoption of this urgency moratorium is therefore necessary to protect the City and its residents, businesses, and visitors from the potential health and safety impacts of oil and gas operations under current City regulations, including concerns with air quality, noise, spills, and other impacts, and to preserve the quality of life, health, safety, and welfare of the community. Imposition of the moratorium will allow the City sufficient time to conclude the preparation of a comprehensive ordinance for the regulation of oil and gas activities moving forward. The absence of this urgency measure would create a serious threat to the orderly and effective implementation of any amendments to the Municipal Code which may be adopted by the City Council as a result of studying this issue, in that new oil and gas activities under the existing City rules and procedures may be in conflict with or frustrate the contemplated updates and revisions to the Municipal Code and General Plan.
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Section 3. Moratorium.
The City of Brentwood shall not issue or approve any building permit, occupancy permit, conditional use permit, variance, or other land use entitlement or permit or regulatory license required to comply with the provisions of the City of Brentwood Municipal Code to allow any new or additional development of oil or gas wells within the City during the time that this urgency ordinance is in effect, and continuing for the time set forth in any action taken to extend this moratorium.
Section 4. Adoption.
The City Council hereby enacts this interim urgency ordinance, by not less than a four - fifths vote and in light of the findings set forth in Sections 1 and 2, under the authority granted to it by Article XI, Section 7 of the California Constitution and Sections 65858 and 36937 of the California Government Code, which allow the City to adopt an interim urgency ordinance ( a) prohibiting land uses in certain zones which may be in conflict with a zoning proposal that the City Council, Planning Commission, or Planning Division is considering, or studying, or intends to study within a reasonable time, and/ or (b) for the immediate preservation of the public peace, health, or safety, containing a declaration of the facts constituting the urgency. The City Council hereby directs the City Manager and the City Attorney to consider and study the potential effects of oil and gas developments ( including those on land use, environmental, economies, health, safety, transportation, and community) and the possible means of regulating new oil and gas development within the City, including zoning - based regulations and other regulations as appropriate. By operation of law, this moratorium shall be effective immediately upon adoption by a four -fifths vote of the City Council, and shall expire and be of no further force and effect on May 27, 2022, unless extended by a four -fifths vote of the City Council.
Section 5. Written Report.
At least 10 days before this interim urgency ordinance or any extension thereto expires, the City Council shall issue a written report describing the measures taken to alleviate the condition that led to the adoption of this interim urgency ordinance, in accordance with Government Code section 65858.
Section 6. CEQA.
The City Council finds that this ordinance is not subject to CEQA pursuant to Section 15358 ( the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Further, the City Council finds that this ordinance is exempt under CEQA pursuant to Section 15061( b)( 3) ( there exists no possibility that the activity will have a significant adverse effect on the environment) of the CEQA Guidelines because this ordinance will not cause a change in any of the physical conditions within the area affected by the ordinance.
Section 7. Certification.
The City Clerk is requested to certify to the adoption of this ordinance and to post or publish this ordinance as required by law.
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Section 8. Severability.
If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance, or the application thereof to any person or place, is for any reason held to be unconstitutional or invalid by the decision of a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or its application to other persons or places.
THIS FOREGOING ORDINANCE was adopted at a regular meeting of the Brentwood City Council on the 12th of April, 2022 by the following vote:
AYES:
NOES:
ABSENT:
RECUSE:
Council Members Mendoza, Meyer, Rarey, Rodriguez, and Mayor Bryant None
None
None 0 O2
ATTEST:
Margaret Wimberly, MC
City Clerk
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CITY COUNCIL AGENDA ITEM NO. 2
Meeting Date: May 26, 2022
Subject/Title: An Urgency Ordinance Extending, for an Additional Period of 10 Months and 15 Days, a Moratorium on New Oil and Gas Development in the City of Brentwood
Prepared by: Damien Brower, City Attorney
Alexis Morris, Director of Community Development
Submitted by: Tim Ogden, City Manager
PURPOSE AND RECOMMENDATION
The City of Brentwood (“City”) presently regulates oil and gas development within the City via Brentwood Municipal Code (“BMC”) Chapter 17.680. The City Council previously directed staff to examine the feasibility of a stronger set of regulations, including but not limited to considering an increased buffer zone for sensitive receptor areas and a total ban on new oil and gas development within City limits.
On April 12, 2022, the City Council adopted an Interim Urgency Ordinance imposing a temporary moratorium on new oil and gas development within the City, to allow City staff to study and analyze the subject and prepare a comprehensive update to the BMC to regulate oil and gas activities moving forward.
In order to continue to adequately analyze the potential economic, health, safety, and community effects of changes to the City’s regulation of oil and gas developments and develop a long-term regulatory proposal, staff recommends the City Council adopt this Urgency Ordinance, which is proposed in accordance with Government Code section 65858, to extend the moratorium on new oil and gas developments in the City of Brentwood for an additional period of 10 months and 15 days. This extension has been noticed in accordance with all applicable laws.
CITY COUNCIL STRATEGIC INITIATIVES
Not applicable.
PREVIOUS ACTIONS
At the April 12, 2022, City Council meeting, the Council unanimously voted to adopt an interim moratorium on oil and gas drilling in the City, so that staff could continue to research and prepare a long-term, forward-looking ordinance that will target 3,200 feet of sensitive receptor areas, and permanently ban oil and gas drilling within City limits if appropriate.
On May 24, 2022, the City Council adjourned the meeting to a special meeting on May 26, 2022, due to a large-scale blackout in the City of Brentwood. Prior to adjournment, the City Council expressly continued their consideration of the proposed extension of the Urgency Ordinance to May 26, 2022.
BACKGROUND
Pursuant to Chapter 17.680, the BMC presently authorizes oil and gas drilling, production, and exploratory operations in certain areas of Brentwood, subject to permitting obligations and 239
imposition of site conditions. For instance, under the current regulations, an applicant for an oil and gas permit or land use entitlement must comply with all development standards applicable to drilling or production operations, including a minimum production site size, fencing, screening and landscaping restrictions, setbacks, soundproofing, signs, storage tanks and equipment size and locations, and safety restrictions, among other things. There are not currently any pending applications for oil and gas operation permits or associated land use entitlements in the City.
Despite the strong regulations currently in place in the BMC governing oil and gas development and operations, there are nonetheless significant environmental and health effects to the community that can only adequately be addressed by suspending approvals of new oil and gas development within City limits in order to provide staff time to study and analyze additional regulatory measures for a long-term solution, such as (but not limited to) increased buffer distances in sensitive areas, and potentially instituting a permanent ban on oil and gas production altogether in City limits.
Staff is therefore recommending adoption of this Urgency Ordinance to extend the present moratorium on issuance of any permits, entitlements, or other approvals of development of oil and gas wells within the City during the time the moratorium is in effect. This will allow staff to continue conducting the requisite analysis work to develop a long-term regulatory solution, while protecting the safety and health of residents, businesses, visitors, and the community as a whole in the interim. As noted at the April 12th meeting, a substantial body of literature on this topic is available to staff and these existing materials will be used to avoid duplicating research efforts and expending unnecessary funds.
Oil and gas production can have significant and prolonged environmental and health effects.
For example, oil and gas production can substantially increase air pollution in the areas where permitted, and fossil fuel extraction contributes to emissions that create long-term climate change effects. Brentwood prides itself on caring for the health and wellbeing of its residents, workers, and visitors; precluding new development of oil and gas operations within the City will protect the continued ability of the Brentwood community to enjoy clean air and water, and live and work in a healthy and thriving city. This Urgency Ordinance is consistent with concerns raised by Council Members and community members at recent Council meetings, and will provide staff the opportunity to assess potential long-term solutions, such as banning oil and gas development within City limits and establishing an enhanced buffer distance in sensitive receptor areas.
There are no pending permit or entitlement applications relating to proposed new oil and gas development projects within the city, so extending this moratorium on new development projects will not have any immediate or anticipated effect on private property or development rights.
While there are no active wells within the city limits, staff is aware of at least one inactive facility, which was originally approved by the County in January 1997 and subsequently annexed into Brentwood’s municipal boundaries, located in the undeveloped area between Heidorn Ranch Road and State Route 4.
ENVIRONMENTAL REVIEW
An Urgency Ordinance extending a temporary prohibition on new oil and gas development within the City is not an action subject to CEQA, as the action has no potential for resulting in physical change to the environment. (14 Cal. Code. Regs. § 15358.) Further, adoption of the Urgency Ordinance is exempt under CEQA because it will not cause a change in any of the physical conditions within the area affected by the Urgency Ordinance. (14 Cal. Code Regs. § 15061(b)(3).)
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FISCAL IMPACT
There is no anticipated direct fiscal impact as a result of the extension of this moratorium, because there are no pending applications for permits or other land use entitlements for new oil and gas operations that will be affected by its adoption. There may be an indirect fiscal impact in the future, to the extent the City moves forward with permanent bans and/or other regulatory measures targeting oil and gas production in the City, but those impacts (if any) will be separately analyzed and addressed as appropriate at a later date.
Attachments:
Urgency Ordinance Extending Oil and Gas Development Moratorium 241
ORDINANCE NO. 1039
AN URGENCY ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BRENTWOOD EXTENDING, FOR AN ADDITIONAL PERIOD OF 10 MONTHS AND 15 DAYS, A MORATORIUM ON NEW OIL AND GAS DEVELOPMENT IN
THE CITY OF BRENTWOOD PENDING A STUDY OF THE HEALTH AND SA . ETY EFFECTS OF SUCH ACTIVITIES AND THE CITY' S LONG- TERM
PLAN FOR REGULATION
WHEREAS, the City of Brentwood (" City") presently regulates oil and gas development within the City via Brentwood Municipal Code (" BMC") Chapter 17. 680, entitled " Oil and Gas Production," but the City now wishes to examine the desirability and feasibility of a more robust set of regulations and/ or prohibitions concerning the drilling of new oil and gas wells within the City; and
WHEREAS, on April 12, 2022 the City Council adopted Interim Urgency Ordinance No. 1036, pursuant to California Government Code section 65858, which authorized a temporary moratorium on new oil and gas development in the City of Brentwood, so that City staff could study and analyze the subject and prepare a comprehensive update to the BMC to regulate oil and gas activities moving forward; and
WHEREAS, Government Code section 65858( a) provides that ordinances adopted pursuant to its provisions shall expire and be of no further force and effect 45 days after the date of adoption; and
WHEREAS, Government Code section 65858( a) further provides that, prior to the expiration of such urgency ordinances, the City may extend the moratorium for an additional 10 months and 15 days after giving notice of such action pursuant to Government Code section 65090 and conducting a public hearing; and
WHEREAS, extending this interim urgency moratorium on new oil and gas development in the City will give the City sufficient time to study, analyze, and report on the benefits and detriments of enacting a permanent ban on new oil and gas development, and to address any necessary modifications to the City' s current oil and gas regulations in the BMC as appropriate; and
WHEREAS, on May 24, 2022, the City Council adjourned the meeting to a special meeting on May 26, 2022, due to a large- scale blackout in the City of Brentwood. Prior to adjournment, the City Council expressly continued their consideration of the proposed extension of the Urgency Ordinance to May 26, 2022.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BRENTWOOD does ordain as follows:
SECTION 1. The recitals set forth above are hereby adopted as the findings of the City Council in connection with the adoption of this ordinance. In support of the recitals stated above, the City Council hereby finds and determines that it is necessary to adopt and extend an interim urgency ordinance to prohibit new oil and gas wells while City staff takes a reasonable time to consider and study further regulation and zoning procedures relating to oil and gas activities within the City.
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SECTION 2. This Urgency Ordinance was noticed pursuant to Government Code section 65090 and the City Council conducted a public hearing pursuant to Government Code Section 65858, subdivision ( a).
SECTION 3. The interim ordinance adopted by Urgency Ordinance No. 1036 on April 12, 2022, is extended by this Urgency Ordinance for a period of 10 months and 15 days, or until April 11, 2023.
SECTION 4. The City Council hereby finds that there is a current and immediate threat to the public health, safety, and/ or welfare, and a need for immediate preservation of the public peace, health, or safety that warrants the extension of this Urgency Ordinance, given that:
A. Local neighborhoods in the City have been negatively impacted by certain oil and gas development activities occurring near or within the City, including some that are operated consistently with the laws of the State. For example, although an oil and gas developer may operate within the bounds of existing environmental laws, it may not be possible to fully avoid or adequately mitigate negative health impacts to surrounding City residents.
B. Oil and gas exploration and production methodology is rapidly developing and evolving in the State of California, including the East Bay region, based on advances in technology, including the development of shale oil extraction using well stimulation techniques, including hydraulic fracturing.
C. On October 12, 2019, Governor Newsom signed Assembly Bill No. 1057 (" AB 1057") into law, emphasizing the State' s renewed focus on public health, safety, and environmental quality, and imposing a moratorium on the high- pressure cyclic steaming process of oil and gas production. AB 1057 also requires permits to conduct hydraulic fracturing, with a built-in " independent audit" framework for the permitting program to create a third -party scientific review of the health and safety impacts of granting such permits.
D. All oil and gas operations, whether conducted using conventional methods or well stimulation techniques, have the potential for significant and immediate impacts on the health, safety, and welfare of the citizens of Brentwood through increased noise, odor, dust, traffic, and other disturbances, as well as the potential to significantly impact the City' s air, water, soil, biological quality, geology, water, stormwater and wastewater infrastructure, transportation, emergency response plans, and other aesthetic values and community resources.
E. The State Planning and Zoning Law ( Cal. Gov. Code Sections 65000, et seq.) broadly empowers the City to plan for and regulate the use of land in order to provide for orderly development, the public health, safety, and welfare, and a balancing of property rights and the desires of the community to improve their City.
F. The City' s zoning and land use standards and regulations on oil and gas drilling have not been updated in many years, including since various changes in both oil and gas production techniques and state statutory and regulatory responses, making the City' s regulations ripe for review to determine whether Municipal Code amendments and/ or a permanent ban on oil and gas production are necessary to reflect the state of today's industry and its impacts on land use, transportation, public health, and other environmental and natural resources, as well as to analyze the City' s approach in light of AB 1057.
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G. City staff have begun analyzing whether the City's existing zoning and land use regulations pertaining to oil and gas activities are sufficiently protective of the public health, safety, and welfare.
H. The City is also aware of the potential effects to any existing or future stakeholders interested in pursuing drilling, re -drilling, and deepening of wells associated with oil and/ or gas drilling and extraction operations in the City, and will remain cognizant of those property interests as it contemplates its long- term solution.
I. Certain provisions of the City' s current ordinances and procedures concerning oil and gas activities, and associated land use plans, require review, study, and revision in order to protect the health, safety, and welfare of the citizens of Brentwood. Among other things, these revisions will likely result in the City amending, repealing, and/ or adding certain language to the City' s Municipal Code and General Plan.
J. Without the continuation of the present temporary moratorium on new oil and gas development within the City, the City may be required to process applications for such development despite the fact that its existing regulations are in need of updating based on study and analysis that results in recommendations of new standards and best practices for oil and gas operations.
K. There is a current and immediate threat to the public health, safety, and welfare of the City and its residents, thereby necessitating the continuation of this urgency moratorium, in that the approval of any permits for new oil and gas development in the City would be required to be processed under the City' s existing rules and procedures, which are in need of additional study and revisions to comport with changes in state law and industry practices.
L. The continuation of this urgency moratorium is therefore necessary to protect the City and its residents, businesses, and visitors from the potential health and safety impacts of oil and gas operations undercurrent City regulations, including concerns with air quality, noise, spills, and other impacts, and to preserve the quality of life, health, safety, and welfare of the community.
Continuation of the moratorium will allow the City sufficient time to conclude the preparation of a comprehensive ordinance for the regulation of oil and gas activities moving forward.
M. The absence of this urgency measure would create a serious threat to the orderly and effective implementation of any amendments to the Municipal Code which may be adopted by the City Council as a result of studying this issue, in that new oil and gas activities under the existing City rules and procedures may be in conflict with or frustrate the contemplated updates and revisions to the Municipal Code and General Plan.
SECTION 5. This Urgency Ordinance will be published pursuant to the Government Code by either posting or publishing the Urgency Ordinance in accordance with that law.
SECTION 6. This Urgency Ordinance is adopted by a four -fifths vote of the Brentwood City Council. It shall take effect immediately upon its adoption and remain in effect for 10 months and 15 days as provided by Government Code section 65858(a), unless extended. Any extension of this Urgency Ordinance will require a four -fifths vote of the City Council.
SECTION 7. Ten days prior to the expiration of this Urgency Ordinance or any extension thereto, the City Council will issue a written report describing the measures taken to alleviate the 244
condition which led to the adoption of this Urgency Ordinance, as required by Government Code section 65858, subdivision ( d).
SECTION 8. The City Council finds that this Ordinance is not subject to CEQA pursuant to Section 15358 ( the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly. Further, the City Council finds that this Ordinance is exempt under CEQA pursuant to Section 15061( b)( 3) ( there exists no possibility that the activity will have a significant adverse effect on the environment) of the CEQA Guidelines because this Ordinance will not cause a change in any of the physical conditions within the area affected by the Ordinance.
SECTION 9. If any section, subsection, subdivision, sentence, clause, phrase, or portion of this Ordinance, or the application thereof to any person or place, is for any reason held to be unconstitutional or invalid by the decision of a court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this Ordinance or its application to other persons or places.
THIS FOREGOING URGENCY ORDINANCE EXTENSION was adopted at a adjourned regular meeting of the Brentwood City Council on the 26th of May, 2022 by the following vote:
AYES: Council Members Mendoza,
NOES: None
ABSENT: None
RECUSE: None
AT
Margaret Wirloerly, MMC
City Clerk
Meyer, Rarey, Rodriguez, and Mayor Bryant
APPROVED:
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