Agenda packet — Paso Robles City Council, September 17, 2024 (part 7 of 8)

Exhibit A
(Ord. 300 N.S. part; October 21, 1968)

7.24.050 - Mobilehome park standards.

The following design and improvement requirements are in addition to the provisions of the Health and Safety Code, and the California Administrative Code, Title 8, applicable to mobilehome parks shall apply to travel trailer parks, recreational trailer parks, temporary trailer parks. Tent camps shall not be permitted within this city.
(a) Design and improvement standards:
(1) Any mobilehome park proposal shall first have an area within the property proposed to be used for this purpose of not less than three acres. (2) There shall be not more than fifteen mobilehome sites per gross acre within the mobilehome park property.
(3) Mobilehome spaces shall have a minimum area of fifteen hundred square feet and be no less than thirty feet in width and fifty feet in depth. (4) Roadways located within a mobilehome park shall have a minimum width of thirty feet from edge of the pavement to edge of pavement if they are proposed to carry two-way traffic. In case of one-way roadways, signs must be posted in prominent places designating the direction of traffic, and the roadway shall have a minimum width of twenty-five feet.
(5) All roadways shall be adequately paved with an asphaltic mix to prevent dust, mud and the accumulation of water and shall be maintained in good condition. If a drainage problem exists, asphaltic curbing may be required according to the city engineer's recommendations.
(6) One or more areas developed for both adult recreation and as a children's play area shall be located on the mobilehome park site. These areas shall be maintained in a safe and usable condition at all times. A total of two hundred square feet per mobilehome space shall be set aside for both uses.
(7) One parking space not less than ten feet by twenty feet in size shall be provided for each five mobilehome spaces, appropriately located to the mobilehome sites for courtesy visitor parking.
(8) A landscaping plan showing the proposed locations and types of landscaping, including hedges, fences and walls, shall be submitted for approval to the city planning commission. All areas not used for access, parking, circulation, building and service areas shall be completely and permanently landscaped and the entire site maintained in good condition.
(9) Setback requirements, building height, and lot coverage shall be as specified under the appropriate zone classification.
(10) Service yards and trash disposal area shall be fenced and obscured from obvious view.
(11) All streets, walkways, and recreation areas shall be adequately lighted in addition to requirements of the state of California.
(12) The minimum yard or setback requirement for any building, structure or mobilehome adjacent to the exterior boundary of a mobilehome park shall be not less than twenty-five feet.

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Exhibit A
(13) A perimeter boundary separation barrier separating a mobilehome park from adjoining property shall be a natural and/or artificial barrier, such as fencing and/or landscaping, as approved by the planning commission.
(14) Fire lines and hydrants, and fire protection systems shall be approved by the fire chief and by the planning commission.
(Ord. 375 N.S. § 1, 1975; Ord. 300 N.S. (part), 1968)

7.24.060 - Parking of mobilehomes.

The parking of any mobilehome on any lot in a "R" district is prohibited, unless it is located in a mobilehome park.
(Ord. 300 N.S. (part), 1968)

7.24.070 - Parking on city streets and public property.

It is unlawful to park mobilehomes on any public right-of-way, street, alley, or other public property.

This provision shall not apply when:
(a) Parking is for the purpose of making emergency repairs with all reasonable speed; (b) Loading and unloading for a period not to exceed forty-eight hours. (Ord. 300 N.S. part; October 21, 1968)

7.24.075 - Parking of emergency equipment and educational trailers.

Any trailer used by public utility or governmental agencies for temporary emergency equipment or supplies or for temporary exhibits or demonstration of equipment or facilities shall be exempt from the provisions of this chapter and such trailers may be used at any location necessary to serve public need or welfare.

Transient education trailers for demonstration purposes only may be parked on city streets in commercial or manufacturing zones for not to exceed seventy-two hours, providing a police permit is first applied for and granted. Such permits will be granted only where it is found that no traffic or police hazard will exist. No commercial solicitation or sales is permitted.
(Ord. 300 N.S. part; October 21, 1968)

7.24.080 - Business license.

Immediately upon construction of a mobilehome park, and prior to operation, the owner or operator shall apply to the city license collector's office for a business license in accordance with provisions of Section

5.04.320 of this code.

An inspection of the mobilehome park will then be made by the designated representative of the city to determine if it is in conformance with the provisions of this chapter or any other requirements specified as a condition of approval, or applicable laws and regulations.

If found in conformity with these requirements, the city clerk shall issue a business license to the owner or operator upon payment of fees so required. The business license shall be posted in a conspicuous place on premises at all times.

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Exhibit A
(Ord. 300 N.S. part; October 21, 1968)

7.24.085 - Business license renewal.

Each business license to operate a mobilehome park shall expire June 30th of each year thereafter. An application for renewal shall be filed with the city clerk and renewal shall be subject to an inspection by the city building inspector to determine if the mobilehome park still conforms to all applicable requirements. (Ord. 300 N.S. part; October 21, 1968)

7.24.090 - Suspension and revocation of business license.

Whenever it is found that a mobilehome park is not being conducted in conformance with the provisions of this chapter or applicable laws and regulations, the business license shall be subject to revocation by the city council. Continued operation after notice of suspension or revocation shall be considered a violation of this chapter.
(Ord. 300 N.S. (part), 1968)

7.24.095 - Transfer of permit or license.

A license to operate a mobilehome park may be transferable upon written application of the new owner or operator to the city clerk. Within thirty days following receipt of the application for transfer, the designated representative of city shall inspect the park and determine if it is in compliance with this chapter. (Ord. 300 N.S. (part), 1968)

7.24.100 - Nonconforming mobilehome parks.

Any mobilehome park legally existing at the time of adoption of the ordinance codified in this chapter or any amendments thereto, and which park is not in full conformity with the regulations of this chapter or the use district in which it is located, shall be deemed nonconforming for the purposes of this chapter. (Ord. 300 N.S. (part), 1968)

7.24.105 - Penalties for violations.

Any person, firm or corporation violating, or contributing in any way to the violation of the provisions of this chapter shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punished by a fine of not exceeding three hundred dollars or by imprisonment in the county jail of the county of San Luis Obispo for a period not exceeding three months, or by both such fine and imprisonment. (Ord. 300 N.S. (part), 1968)

7.24.110 - Continuing violation.

Every violation of any of the provisions of this chapter shall be construed as a separate offense for each day during which such violation continues, and shall be punishable as herein provided. (Ord. 300 N.S. (part), 1968)

7.24.115 - Severability.

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Exhibit A
If any section, subsection, sentence, clause or phrase of this chapter is, for any reason, held to be unconstitutional, such decision shall not affect the validity of the remaining portions of the chapter. The city council hereby declares that it would have passed this chapter and every section, subsection, sentence, clause or phrase thereof irrespective of the fact that any one or more sections, subsections, sentences, clauses or phrases be declared unconstitutional.
(Ord. 300 N.S. (part), 1968)

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Attachment 6
ORDINANCE NO. XXXX N.S.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES ADOPTING AN AMENDMENT TO TITLE 8 ANIMAL CONTROL (RZN 23-02) AND FINDING THE ACTION EXEMPT FROM CEQA UNDER STATE CEQA GUIDELINES SECTIONS 15060(c)(2) AND (c)(3) AND 15061(B)(3)
WHEREAS, the City of El Paso de Robles, California (the “City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, the City is working on a comprehensive update to the Zoning Code (Title 21). Concurrent with that process, several clean-up items have been identified where Title 21 is referenced in other Titles of the Municipal Code; and
WHEREAS, various Titles of the Paso Robles Municipal Code have proposed amendments to facilitate the update to Title 21. Most of the proposed amendments are to correct code references that will be outdated if Title 21 is amended. More substantive changes are proposed in Titles 10 and 19. In Title 10, the review authority for oak tree removal permits would be changed so the Development Review Committee and Planning Commission could approve certain removals. Title 19 would be repealed and replaced with updated standards for billboards that have been consolidated from Title 21; and WHEREAS, on August 13, 2024, the Planning Commission held a public hearing for amendments to Title 21 and amendments to the Zoning Map including removing special conditions overlays D and E as well as removing of Hillside District Overlay, and on six successive votes of 6-0-1 (one Commissioner absent), recommended the City Council approve said amendments; and WHEREAS, on August 27, 2024, the Planning Commission held a public hearing for amendments to Municipal Code Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, and 19, and on five successive votes of 5-0-2 (two Commissioners absent), recommended the City Council approve said amendments; and WHEREAS, the City Council finds that these updates to the Zoning Code, Zoning Map, and updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22 do not qualify as a project under the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines, § 15060, subd. (c)(2)-(3), and are exempt from CEQA under State CEQA Guidelines, § 15061(b)(3); and
WHEREAS, a duly noticed public hearing was conducted by the City Council on September 17, 2024, to consider the facts as presented in the staff report prepared for this Zoning Code update, Zoning Map amendments, and Municipal Code amendments, and to afford the public an opportunity to comment upon such items.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. All of the above recitals are true and correct and are incorporated herein by reference.

Section 2. Findings for Approval. Based on the facts and analysis presented to it, including all written and oral testimony, the City Council hereby finds and determines:

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Attachment 6
a. RZN 23-02 is consistent with the following Goals and Policies of the General Plan:
 Land Use Element Policy LU-2B Action Item 1: By defining and implementing updated zoning standards through the amendments to Title 21 and the associated updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22, the City ensures that zoning regulations are not only up-to-date but also promote the enhancement and conformity of existing structures throughout the City.
 Housing Element Policy H-3.3: By updating the Zoning Code and Zoning Map, and the associated references throughout the Municipal Code, the proposed code updates ensure that the City remains current in recent legislation, particularly as it relates to housing, thereby helping remove and reduce governmental constraints while facilitating compliant and effective housing development throughout the City. b. The proposed Title amendments will not adversely impact the public health, safety, and welfare, because the proposed amendments are designed primarily for organizational purposes and to enhance clarity, consistency, and compliance with state and federal laws, thereby providing a more predictable and efficient regulatory framework for all community stakeholders. By establishing clearer standards and processes, this update to Title 8, in addition to Titles 2, 3, 5, 7, 9, 10, 12, 14, 19, and 22, in relation to proposed amendments to Title 21 helps protect public interests, facilitate responsible growth, and maintain the integrity of communities throughout the City. Moreover, the enhanced provisions relating to housing helps support the provision of adequate housing in the City of El Paso de Robles, which in turn contributes positively to the overall welfare of the City and its residents.

Section 3. The Council hereby adopts the language attached hereto as Exhibit A and incorporated herein by reference.

Section 4. Environmental Determination. The City Council finds that this Title amendment does not quality as a “project” under CEQA because the Title text amendments do not have the potential to result in either a direct or reasonably foreseeable indirect physical change in the environment. (See State CEQA Guidelines, § 15378 [defining “project”], § 15060(c)(2)-(3).) Alternatively, even if the Title text amendments did qualify as a project under CEQA, they are exempt from CEQA because it can be seen with certainty that there is no possibility that the Title text amendments may have a significant effect on the environment. (State CEQA Guidelines, § 15061(b)(3).) Section 5. Severability. If any section, subsection, sentence, clause, phrase, or portion of this ordinance is for any reason held invalid or unconstitutional, such decision shall not affect the validity of the remaining portions of this ordinance.

Section 6. Effective Date. This Ordinance shall be in full force and effect 30 days after its passage and adoption as provided by Government Code section 36397.

Section 7. Publication. The City Clerk shall certify as to the adoption of this Ordinance and shall cause a summary thereof to be published at least five (5) days prior to the meeting at which the proposed Ordinance is to be adopted and shall post a certified copy of the proposed Ordinance in the Office of the City Clerk. Within fifteen (15) days of the adoption of the Ordinance, the City Clerk shall cause a summary of the Ordinance to be published, including the vote for and against the same, in accordance with Government Code Section 36937.

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Attachment 6
INTRODUCED at a regular meeting of the City Council held on September 17, 2024, for first reading by the City Council of the City of El Paso de Robles, and adopted on the ___ day of ______, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

John R. Hamon, Jr., Mayor
ATTEST:

Melissa Boyer, City Clerk
Exhibit A – Text Amendments to Title 8 Animal Control

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Exhibit A
EXHIBIT A – PROPOSED TITLE 8 TEXT AMENDMENTS
Added text is shown as blue underline and deleted text is shown as red strikethrough.

Section 1. Section 8.04.150 shall be amended to read as follows:

8.04.150 - Animal keeping.

The keeping of animals is an allowed accessory use within all residential zoning districts and shall comply with the requirements of this section and Table 8.04.150.

A. Purpose. It is the purpose of these regulations to address the raising and keeping of animals and the areas in which animals are kept on private property. It is the intent of this section to minimize potential adverse effects on adjoining properties and the neighborhood from the improper management of animals.

Such adverse effects include but are not limited to the propagation of flies and other disease vectors, dust, noise, offensive odors, soil erosion and sedimentation.

B. Applicability. This section shall apply to the raising and keeping of animals in all residential zoning districts of the city. (Note: See Section 21.20.100 21.69.050 of this code for regulations of bees, horses, and other large animals).

C. Prohibited Animals. The following animals are prohibited in all residential zones: fowl (excluding chicken hens which are classified as "small animals"), poultry, hogs, and swine.

D. Exceptions. Any person may raise and keep animals in excess of the maximum number allowed per site or raise and keep any prohibited animals subject to conditional use permit approval (see Chapter 21.19). (Ord. 691 N.S. § 2, 3, 1995: Ord. 684 N.S. § 3, 1995: Ord. 355 N.S. § 1, 1973; Ord. 312 N.S. § 1 (Art. I § 15), 1970)
Section 2. Table 8.04.150 shall be moved immediately after Subsection 8.04.150.D and amended to read as follows:

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Exhibit A
Table 8.04.150
Animal Type Minimum Site Area Maximum Number of
Animals per
Household 1
Required Setbacks 2
Dogs and
miniature animals
None 3
3 None
Cats None 6
4 None
Household pets
(kept exclusively
indoors)
None No maximum 5 None
Small animals
(kept primarily
outdoors)
None 6
6 20 feet
Bees, horses,
and other lLarge
animals
See Section

21.20.100 21.69.050
See Section 21.20.100

21.69.050
See Section 21.20.100

21.69.050
Exotic animals,
hogs/swine,
fowl/poultry
CUP 7 CUP 7 CUP 7
NOTES:

1. Young animals born by a permitted animal kept on-site may be kept until such animals are weaned.

2. As measured from adjacent dwellings.

3. Any combination of dogs and miniature animals, not to exceed three animals total.

4. If cats are kept exclusively indoors, they are household pets and are not subject to any limitation.

5. Must be kept in a clean and sanitary manner.

6. Any combination of small animals and household pets, not to exceed six animals total. If setback from adjacent residence is seventy-five feet or greater, a maximum of twenty small animals may be kept.

7. Requires conditional use permit approval (see Chapter 21.19).

Section 3. Section 8.16.050 shall be repealed in its entirety:

8.16.050 - Bees—Keeping of prohibited.

No person, firm, or corporation shall keep bees within the city limits of El Paso de Robles; provided that nothing contained in this section shall be deemed to apply to the keeping of bees, for the purpose of study and observation, in a safe container, which is situated and kept within a school building. (Ord. 386 N.S. § 1, 1975)

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Attachment 7
ORDINANCE NO. XXXX N.S.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES ADOPTING AN AMENDMENT TO TITLE 10 VEGETATION (RZN 23-02) AND FINDING THE ACTION EXEMPT FROM CEQA UNDER STATE CEQA GUIDELINES SECTIONS 15060(c)(2) AND (c)(3) AND 15061(B)(3)
WHEREAS, the City of El Paso de Robles, California (the “City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, the City is working on a comprehensive update to the Zoning Code (Title 21). Concurrent with that process, several clean-up items have been identified where Title 21 is referenced in other Titles of the Municipal Code; and
WHEREAS, various Titles of the Paso Robles Municipal Code have proposed amendments to facilitate the update to Title 21. Most of the proposed amendments are to correct code references that will be outdated if Title 21 is amended. More substantive changes are proposed in Titles 10 and 19. In Title 10, the review authority for oak tree removal permits would be changed so the Development Review Committee and Planning Commission could approve certain removals. Title 19 would be repealed and replaced with updated standards for billboards that have been consolidated from Title 21; and WHEREAS, on August 13, 2024, the Planning Commission held a public hearing for amendments to Title 21 and amendments to the Zoning Map including removing special conditions overlays D and E as well as removing of Hillside District Overlay, and on six successive votes of 6-0-1 (one Commissioner absent), recommended the City Council approve said amendments; and WHEREAS, on August 27, 2024, the Planning Commission held a public hearing for amendments to Municipal Code Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, and 19, and on five successive votes of 5-0-2 (two Commissioners absent), recommended the City Council approve said amendments; and WHEREAS, the City Council finds that these updates to the Zoning Code, Zoning Map, and updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22 do not qualify as a project under the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines, § 15060, subd. (c)(2)-(3), and are exempt from CEQA under State CEQA Guidelines, § 15061(b)(3); and
WHEREAS, a duly noticed public hearing was conducted by the City Council on September 17, 2024, to consider the facts as presented in the staff report prepared for this Zoning Code update, Zoning Map amendments, and Municipal Code amendments, and to afford the public an opportunity to comment upon such items.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. All of the above recitals are true and correct and are incorporated herein by reference.

Section 2. Findings for Approval. Based on the facts and analysis presented to it, including all written and oral testimony, the City Council hereby finds and determines:

Page 673 of 878 ends

Attachment 7
a. RZN 23-02 is consistent with the following Goals and Policies of the General Plan:
 Land Use Element Policy LU-2B Action Item 1: By defining and implementing updated zoning standards through the amendments to Title 21 and the associated updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22, the City ensures that zoning regulations are not only up-to-date but also promote the enhancement and conformity of existing structures throughout the City.
 Housing Element Policy H-3.3: By updating the Zoning Code and Zoning Map, and the associated references throughout the Municipal Code, the proposed code updates ensure that the City remains current in recent legislation, particularly as it relates to housing, thereby helping remove and reduce governmental constraints while facilitating compliant and effective housing development throughout the City. b. The proposed Title amendments will not adversely impact the public health, safety, and welfare, because the proposed amendments are designed primarily for organizational purposes and to enhance clarity, consistency, and compliance with state and federal laws, thereby providing a more predictable and efficient regulatory framework for all community stakeholders. By establishing clearer standards and processes, this update to Title 10, in addition to Titles 2, 3, 5, 7, 8, 9, 12, 14, 19, and 22, in relation to proposed amendments to Title 21 helps protect public interests, facilitate responsible growth, and maintain the integrity of communities throughout the City. Moreover, the enhanced provisions relating to housing helps support the provision of adequate housing in the City of El Paso de Robles, which in turn contributes positively to the overall welfare of the City and its residents.

Section 3. The Council hereby adopts the language attached hereto as Exhibit A and incorporated herein by reference.

Section 6. Effective Date. This Ordinance shall be in full force and effect 30 days after its passage and adoption as provided by Government Code section 36397.

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Attachment 7
INTRODUCED at a regular meeting of the City Council held on September 17, 2024, for first reading by the City Council of the City of El Paso de Robles, and adopted on the ___ day of ______, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

John R. Hamon, Jr., Mayor
ATTEST:

Melissa Boyer, City Clerk
Exhibit A – Text Amendments to Title 10 Vegetation

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Exhibit A
EXHIBIT A – PROPOSED TITLE 10 TEXT AMENDMENTS
Added text is shown as blue underline and deleted text is shown as red strikethrough.

Section 1. Section 10.01.020 shall be amended to read as follows:

10.01.020 - Definitions.

As used in this chapter:

A. "Arborist" means a person who is certified by the Western Chapter of the International Society of Arboriculture and who has specific knowledge regarding trees with the ability to determine whether such tree is diseased, and holds themselves out as able to make recommendations regarding preservation, pruning and cutting of trees, and for which they receive remuneration.

B. "Bond" means a type of financial security; equivalent forms of financial security shall be subject to approval by the City the director.

C. "Caliper" means the diameter of a tree trunk that is taken twelve 12 inches above the ground. Caliper is a basis for measuring oak trees that are less than six 6 inches in diameter at breast standard height.

D. "Construction area" means any area in which movement of earth, alteration in topography, soil compaction, disruption of vegetation, change in soil chemistry, and any other change in the natural character of the land occurs as a result of site preparation, grading, building construction, or any other construction activity.

E. "Critical Root Zone" (CR2Z) means an area of root space that is within a circle circumscribed around the trunk of a tree using a radius of one 1 foot per inch diameter at breast standard height, e.g. for instance a twenty20- inch diameter tree has a critical root zone CRZ with a radius of twenty 20 feet as measured from the center of the tree. For trees that do not have a circular trunk, the critical root zone CRZ shall be calculated by measuring the circumference of the tree and dividing that number by "pi" (3.14).

F. Diameter, "DBH" (Diameter at breast height), and “DSH” (Diameter at standard height) means the diameter of a tree trunk measured in inches at a height of four and one-half 4.5 feet above the ground. If a tree splits into multiple trunks below four and one-half 4.5 feet, then the trunk is measured at its most narrow point beneath the split.

G. "Director" means the director of the community development department or his/her designated representative.

H. "Oak tree" means any species of the genus "Quercus" that is native to the El Paso de Robles area, including but not limited to the blue oak (Quercus douglasii), valley oak (Quercus lobata), and coast live oak (Quercus agrifolia).

I. "Monitor" is a person hired by a certified, licensed arborist. A monitor is required in conjunction with an approval for development of a property that contains one or more oak tree(s) or which is will impacted by the critical root zone CRZ of an oak on an adjacent property. The function of a monitor is to iensure that grading activities are conducted in a manner consistent with the approved development plan relative to oak tree preservation issues.

J. "Permit to prune" means a written authorization by the director of public works that specifically designates the location, number, type, and size of oak trees that a person has permission to remove.

K. "Permit to remove" means a written authorization by the review authority (directorZoning Administrator, Development Review Committee, Planning Commission, or the cCity cCouncil) that specifically designates the location, number, type, and size of oak trees that a person has permission to remove.

L. "Person" means individuals, associations, corporations, public agencies, and their agents and employees.

M. "Pruning" means the removal of any dead parts of a tree, and/or normal seasonal maintenance, shaping, or thinning of a tree necessary to its health, growth, and view maintenance. The intent of pruning is to clean the crown of the tree and enhance the tree's structural strength. Foliage reduction shall not exceed one quarter25 percent of the total tree foliage.

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Exhibit A
N. “Review Authority” means the staff member, body, or entity responsible for making decisions related to oak trees, and includes the Director of Public Works, the Zoning Administrator, the Development Review Committee, the Planning Commission, and the City Council as specified in 10.01.050.D.

Section 2. Section 10.01.030 shall be amended to read as follows:

10.01.030 - Permit required.

A. Permit to Prune. No person shall prune an oak tree growing on private or public property within the city limits of the city of El Paso de Robles if said pruning involves cutting a portion of the tree that is six 6 inches or greater in diameter unless they have first received approval of a permit to prune issued by the city's public works director. The director of public works is authorized to establish standards for pruning of oak trees.

Pruning of tree limbs of less than six 6 inches diameter does not require a permit.

Exception to requirement for permit to prune:

Owners of developed properties (parcels with existing buildings and related improvements) that are not being considered for new construction or other development entitlements may prune oak trees on their property without the need for a permit and without limitation as to limb size as long as the pruning does not endanger the health of the oak tree.

B. Permit to Remove. No person shall remove or otherwise destroy an oak tree of six 6 inches or greater diameter (DBH) growing on private or public property within the city limits of the city of El Paso de Robles unless they have first received approval of a permit to remove as authorized by the appropriate review authority (Section

10.01.050.D). director of community development or the city council. See Section 10.01.050 ("Removal of Oak Tree—Application Process).;" Removal of oak trees of less than six 6 inches DBH does not require a permit from the city of El Paso de Robles.
(Ord. 835 N.S. (part), 2002)
Section 3. Section 10.01.050 shall be amended to read as follows:

10.01.050 - Removal of oak tree—Application process.

A. Any person wishing to remove one or more oak trees with diameter of 6 inches or greater from any parcel in the city shall apply in writing to the community development department for a permit to remove. A deposit in an amount to be established by city council resolution shall be made at the time of application for each oak tree proposed to be removed. The director Zoning Administrator shall have the authority to adjust the deposit amount to reflect the city's expected cost of time and materials to process the specific application(s).

Administrative costs of processing the permit will be deducted from the deposit, and remaining funds shall be refunded to the applicant; if the city's costs for processing the applications (including the need for consulting arborist assistance) exceeds the deposit amount, the director Zoning Administrator shall request additional funding and may delay work on the application until the additional funding is received.

1. Exceptions to deposit requirement: A property owner may make a written request for authorization to remove a dead or diseased oak tree without the need to provide a deposit if he or she can provide documentation from an arborist concluding that the tree's death or disease is not their fault. Owners of developed properties that are not being considered for new construction or other development entitlements may apply for a permit to remove oak trees on their property without limitation as to tree size and without the need to post a deposit if the trees are located in a manner that is either inconsistent with

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Exhibit A
or interferes with the growth and health of other oak trees (example: trees under the canopy of larger trees can be requested to be removed). The community development director Zoning Administrator shall bring such requests forward to the review authority listed in Chapter 21.08 (Planning Authorities) for the condition and quantity of trees proposed for removal city council for consideration.

B. A permit to remove application shall contain a plot plan showing the location, type and size of tree(s) proposed to be removed, a brief statement of the reason for removal, an arborist report, and other pertinent information that the director Zoning Administrator may require.

C. The condition (healthy, diseased, dead, etc.) of oak tree(s) proposed to be removed extent to which a tree may be diseased shall be subject to evaluation by an arborist. Based on the recommendation of an arborist the director may authorize removal of a tree that is diseased beyond correction. Except as specifically provided in Section 10.01.050 of this chapter, the director shall not be authorized to approve removal of a healthy oak tree that is six inches or greater DBH. The only oak trees which are six inches or greater DBH whose removal the director is authorized to permit are trees that are in the director's judgment, clearly dead or diseased beyond correction.

D. Review Authority. The review authority for permits to remove oak trees shall be as listed in Chapter 21.08 (Planning Authorities), specifically Section 21.08.020 (City Council), Section 21.08.030 (Planning Commission), Section 21.08.040 (Development Review Committee), and Section 21.08.050 (Zoning Administrator); and as summarized in Table 10.04.050-1 below:

Table 10.04.050-1
Review Authority for Permits to Remove Oak Trees
Condition and Quantity of Oak Trees Removal Permit Review Authority Appeal / Referral Emergencies (Section 10.01.065) Zoning Administrator, Public Works Director, on-duty members of the police
or fire departments
Dead or diseased beyond correction Zoning Administrator Planning Commission 1 without development Development Review Committee Planning Commission 1-9 with development
2-9 without development
Planning Commission City Council
10 or more with or without development City Council
D.E If a request is being made to remove one or more healthy oak trees for which a permit to remove is required, the director Zoning Administrator shall prepare a report to the review authority city council, outlining the proposal and his their recommendation. The review authority shall considering the following factors when determining whether to approve the permit to remove in preparation of his recommendation.:

1. The condition of the oak tree with respect to its general health, status as a public nuisance, danger of falling, proximity to existing or proposed structures, interference with utility services, and its status as host for a plant, pest or disease endangering other species of trees or plants with infection or infestation;

2. The necessity of the requested action to allow construction of improvements or otherwise allow reasonable use of the property for the purpose for which it has been zoned. In this context, it shall be the burden of the person seeking the permit to demonstrate to the satisfaction of the director review authority that there are no reasonable alternatives to the proposed design and use of the property. Every reasonable effort shall he made to avoid impacting oak trees, including but not limited to use of custom building design and incurring extraordinary costs to save oak trees;

3. The topography of land, and the potential effect of the requested tree removal on soil retention, water retention, and diversion or increased flow of surface waters. The director review authority shall consider how either the preservation or removal of the oak tree(s) would relate to grading and drainage. Except

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Exhibit A
as specifically authorized by the review authority planning commission and city council, ravines, stream beds and other natural water-courses that provide a habitat for oak trees shall not be disturbed;

4. The number, species, size and location of existing trees in the area and the effect of the requested action on shade areas, air pollution, historic values, scenic beauty and the general welfare of the city as a whole; and

5. Good forestry practices such as, but not limited to, the number of healthy trees the subject parcel of land will support.

EF. Conditions, including replacement requirements: In conjunction with the intended decision made on an application for a permit, the director Zoning Administrator shall attach or recommend for review authority city council consideration reasonable conditions to ensure compliance with the stated purposes of this chapter, and a condition requiring replacement oaks being equivalent to twenty five 25 percent of the diameter of the removed tree(s). (For example, the replacement requirement for removal of two 2 trees of fifteen 15-inch DBH (thirty 30 total diameter inches), would be seven and one-half 7.5 inches (thirty 30 inches removed multiplied by 0.25 twenty-five hundredths replacement factor). This requirement could be satisfied by planting 5 five, one and one-half 1.5-inch caliper trees, or 3 three, two and one-half 2.5-inch caliper trees, or any other combination totaling seven and one-half 7.5 inches). A minimum of 2two, twenty four 24-inch box, one and one-half 1.5-inch minimum trunk caliper measurement trees shall be required for each oak tree removed.

Replacement trees shall be located on the same property as where the tree is approved for removal or, subject to approval of the director Zoning Administrator, arrangements can be made to locate the replacement trees on public property. Planting standards for replacement trees shall he consistent with City Standard Details and Specification L-43 except that deep root barriers shall not be required if the trees are not adjacent to sidewalk areas. Oak tree preservation and maintenance measures shall be consistent with the provisions of this chapter.

1. Exceptions to replacement requirement: A property owner may make a written request for authorization to remove a dead or diseased oak tree without the need to provide the required replacement trees if he or she can provide documentation from a certified arborist on the city council's approved list concluding that the tree's death or disease is not their fault. Owners of developed properties that are not being considered for new construction or other development entitlements may apply for a permit to remove oak trees on their property without limitation as to tree size and without need for replacements if the trees are located in a manner that is either inconsistent with or interferes with the growth and health of other oak trees. Example: Trees under the canopy of larger trees can be requested to be removed. The community development director Zoning Administrator shall bring such requests forward to city council the review authority for consideration.

FG. In conjunction with the development or use of any property where there is a question in the mind of the director Zoning Administrator as to possible impacts on an existing oak tree that is intended to be protected and for which a "Permit to Remove," would be required, the director Zoning Administrator shall require that a tree preservation security be posted, in an amount based on the valuation of the trees according to the guidelines set forth within the council of tree and landscape appraisers "Guide for Plant Appraisal." The purpose of the security is to ensure the intention to preserve trees not approved for removal. The city council may adopt a standard schedule for the value of replacement trees in lieu of utilizing the "Guide for Plant Appraisal".

GH. This security shall be held for a reasonable period of time following grading or other development activity on the parcel, not to exceed three years; the security is to be released upon the satisfaction of the director Zoning Administrator that the trees to be preserved have not been endangered. In instances where trees not approved for removal have been destroyed, the security shall be applied, for the value of the destroyed tree(s), and be used for the replacement and preservation of city oak trees, as required by the director Zoning Administrator.

HI. Any fees or deposits to be charged pursuant to the provisions of Chapter 10.01 shall be established by city council resolution.
(Ord. 835 N.S. (part), 2002)
Section 4. Section 10.01.055 shall be amended to read as follows:

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Exhibit A

10.01.055 – Review Authority Planning commission role in implementing the oak tree preservation ordinance.

A. The first step in the city's consideration of any development entitlement that could impact existing oak trees that have a DBH of six 6 inches or greater shall be an inventory and map of the location, size and CRZ of any potentially impacted oak trees. The inventory shall be prepared by an arborist, registered civil engineer, or land surveyor. The size or configuration of proposed parcels of land, and the extent of development on such parcels, shall be planned in a manner so as not to encroach into the CRZ of any oak tree with a DBH of six 6 inches or greater size unless the planning commission review authority can make findings of extenuating circumstances that warrant exception to the rule of not encroaching into the CRZ. In addition to the inventory, a photographic record shall be provided to the city illustrating the nature of oak trees on the subject property.

B. The planning commission may act as an advisory committee for the director and city council and may, iIn the course of reviewing development applications before them, the review authority may require that certain trees be retained and/or protected from destruction. Their decision can be appealed to the next highest review authority city council in the same manner as described within this chapter.

C. The planning commission shall not have the authority to approve removal of any oak trees that have a DBH of six inches or greater. The commission may, however, aAs part of a development review process, a lower review authority may recommend to the final review authority city council that the council permit certain oak trees be permitted to be removed (for instance, the planning commission can make recommendations to the city council when the council has the authority to approve a permit to remove). The criteria to be used by the planning commission in making such recommendation shall be as specified in Section 10.01.050 of this chapter.

D. The planning commission review authority may approve the relocation of an existing oak tree based on the recommendation of a city-approved certified arborist. The property owner shall post a security equal to the value of the tree proposed to be relocated and the city shall hold the security for three years to have reasonable assurances that the tree has survived the relocation. (Ord. 835 N.S. (part), 2002)
Section 5. Section 10.01.060 shall be amended to read as follows:

10.01.060 - Appeals of permit decisions.

A. Any person aggrieved or affected by a decision of a review authority either the director of community development or the director of public works may appeal the decision as described in Section 21.25.030.

Decisions of the director of public works shall be treated the same as those of the Zoning Administrator. to the city council by filing a written appeal with the city clerk with fifteen days of the date of the director's notice.

Any such appeal shall be accompanied by an appeal fee in the amount established by resolution of the city council.

B. If no appeal is filed within the allowed such time, the review authority director of community development or the director of public works shall promptly implement his intended decision by denying or issuing the permit, with or without conditions. An appeal shall automatically stay execution of the implementation of the intended decision until the appeal has been considered and decided by the city council.

C. The city clerk shall place all such appeals on the agenda of the next regular council meeting and shall give notice to the applicant and/or appellant. The city council review authority shall consider and decide all issues raised in the appeal and may call for expert witness from a consulting certified arborist, for which the city may require to be reimbursed by the applicant. The decision of the council shall be final. (Ord. 835 N.S. (part), 2002)
Section 6. Section 10.01.070 shall be amended to read as follows:

10.01.070 - Preservation and maintenance of existing oak trees.

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Exhibit A
As a general rule, the existing ground surface within the CRZ of any oak tree shall not be cut, filled, compacted or pared. Excavation adjacent to any oak tree shall not be permitted where, in the judgment of the director Zoning Administrator, damage to the root system will result. Exceptions may be approved by the director Zoning Administrator based on consultation with a certified arborist from the city's list of approved arborists, at the cost of the developer, resulting in reasonable assurance that the tree will not be damaged. Anticipated exceptions include making allowances to construct planned public improvements such as roads and sidewalks when it is not feasible to design the public improvements in a manner that will avoid encroachment into the CRZ. The following criteria are to be used when considering permission to encroach into the CRZ of an oak tree:

A. When proposed developments encroach into the CRZ of any oak tree, whether the tree is located on the property being developed or on an adjacent property, special construction techniques to protect the roots shall be required by the director Zoning Administrator with respect to any application for a building, grading or development permit. During construction, such protection measures may include, but not be limited to, installing a tree protection fence around the CRZ(s) of a tree or trees to be preserved. All development applications, where oak trees may be affected by development, shall include a certification by a registered civil engineer or land surveyor attesting to the accuracy of the tree trunk and CRZ locations.

B. In connection with a proposed subdivision of land into two or more parcels, the subdivider shall design the lots such that development within the CRZ of any remaining oak trees can be entirely avoided. Details showing the footprint of the buildings shall be submitted at the time of tentative map approval to satisfy this requirement, and constructive notice shall be required to be recorded to advise future property owners of the limitation on development of the subject parcel(s).

C. Except unless specifically approved by a certified arborist from the city's list of approved arborists, no trenching whatsoever shall be allowed within the CRZ(s) of oak trees. If it is absolutely necessary to install underground utilities within the CRZ(s) of an oak tree, the trench shall be either bored or drilled unless the certified arborist determines that the trenching can be accomplished without endangering the oak tree.

D. Landscaping beneath oak trees may include non-plant materials such as boulders, cobbles, wood chips, etc.

The only plant species which shall be located within the CRZ(s) of oak trees are plants that are indigenous to the El Paso de Robles area. All landscaping shall be subject to the approval of the city.

E. Paving within the CRZ(s) of oak trees shall be stringently minimized. When it is absolutely necessary, porous material should be used.

F. During grading of any property on which there are oak trees of six 6 inches or greater DBH, the following standards of oversight shall apply:

1. If grading, cutting or filling is approved for areas within the CRZ of oaks or within a five foot distance of the CRZ of an oak to be preserved, the work shall be supervised by a certified arborist from the city's list of approved arborists. The arborist shall be responsible for maintaining protective fencing and insuring the oak trees are not damaged by grading related activities. The arborist shall be paid for by the applicant/developer of the property. The city of El Paso de Robles reserves the right to hire an independent certified arborist if it is deemed necessary by the director Zoning Administrator to provide adequate supervision of grading.

2. Grading, cutting and filling on property that has oak trees but which is planned to occur at least five feet beyond the CRZ of any oak trees of six 6 inches or greater DBH shall not occur unless there is a monitor present to insure that grading occurs in accordance with approved plans and without encroachment into areas within five feet of the CRZ of any oak tree(s) of six inches or greater DBH. The monitor shall be paid for by the applicant/developer of the property and shall be present during all grading related activities.

The city of El Paso de Robles reserves the right to lure an independent monitor if it is deemed necessary by the director Zoning Administrator to provide adequate supervision of grading. (Ord. 835 N.S. (part), 2002)
Section 7. Section 10.01.080 shall be amended to read as follows:

10.01.080 - Building permits.

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Exhibit A
A. When any building permit is applied for pursuant to this code and the proposed structure would require encroachment into the CRZ of an oak tree or the removal of an oak tree, the official responsible for issuing the permit shall take into consideration the provisions of this chapter in the granting or denying of such permit, and the applicant shall be required to obtain a permit in accordance with the provisions of this chapter.

B. In the event a permit to remove an oak tree is issued in order to enable the applicant to carry out a development or improvement of his property, such permit shall be valid and effective only in connection with the actual accomplishment of such project.
(Ord. 835 N.S. (part), 2002)
Section 8. Section 10.01.090 shall be amended to read as follows:

10.01.090 - Safeguarding trees during construction.

A. For the purposes of safeguarding oak trees during construction, the following conditions shall apply:

1. Prior to issuance of a grading or building permit, all oak trees in a construction area shall be inventoried by the owner of such site or by the contractor as to size and location on the site. Such inventory shall be submitted to the director Zoning Administrator, and field checked by city staff to verify the number, size and location of the trees and the adequacy of protective fencing.

2. Damage to any tree during construction shall be immediately reported to the director Zoning Administrator. The property owner shall be responsible for correcting any damage to oak trees on the property in a manner specified by an arborist hired by the city at the applicant's cost.

3. Oil, gasoline, chemicals and other construction materials or equipment which might be harmful to certain oak trees shall not be stored within the CRZ2 of the tree.

4. Drains shall be installed according to the city specifications so as to avoid harm to the oak trees due to excess watering.

5. Wires, signs and other similar items shall not be attached to the oak trees.

6. Cutting and filling within the CRZ of an oak tree shall be done only after consultation with the director Zoning Administrator, and then only to the extent authorized.

7. No paint thinner, paint, plaster or other liquid or solid excess or waste construction materials or waste water shall be dumped on the ground or into any grate between the CRZ and the base of the oak tress, or uphill from any oak tree where such substance might reach the roots through a leaching process.

8. Tree protection fences, of a type and design subject to the approval of the director Zoning Administrator or his/her designated representative shall be installed at the CRZ to prevent compaction and injury to a tree's surface roots.

9. Wherever cuts are made in the ground near the roots of any oak tree, appropriate measures shall be taken to prevent exposed soil from drying out. All cuts within the CRZ of a tree are to be made with hand tools (no backhoes or graters).

10. All root pruning is to be done by hand.

B. If the director Zoning Administrator has reason to believe that construction or development activities may endanger an oak tree, he may seek professional consultation, at the expense of the person seeking to undertake construction or development of the property, to recommend measures necessary to safeguard the tree(s).
(Ord. 835 N.S. (part), 2002)
Section 9. Section 10.01.100 shall be amended to read as follows:

10.01.100 - Safeguarding trees after construction.

Oak trees required to be kept on a building site and oak trees required to be planted as a condition of construction shall be maintained after completion of construction according to City requirements for the purpose of maintaining or furthering the health of such trees. The director Zoning Administrator may require that drought-resistant landscaping be installed as an alternative to irrigated landscaping where appropriate. (Ord. 835 N.S. (part), 2002)

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Exhibit A
Section 10. Section 10.01.120 shall be amended to read as follows:

10.01.120 - Enforcement.

A. The director Zoning Administrator shall be responsible for the enforcement of this chapter in coordination with the director of public works (who is responsible for issuance of Permits to Prune). (Ord. 835 N.S. (part), 2002)
Section 11. Subparagraph 10.01.130.A.1 shall be amended to read as follows:

10.01.130 - Violation—Penalty—Remedies.

In addition to all other remedies set forth in this code or otherwise provided by law, the following remedies shall be available for the city for violation of this chapter:

A. Against property owners and developers.

1. Stop Work—Temporary Moratorium. If a violation occurs during development, the city may issue a stopwork order suspending and prohibiting further activity on the property pursuant to the grading, demolition, and/or building permit(s) (including construction, inspection, and issuance of Certificates of Occupancy) until a mitigation plan has been filed with and approved by the director Zoning Administrator, agreed to in writing by the property owner(s), and either implemented or guaranteed by the posting of adequate security. The mitigation plan shall include measures for the protection of any remaining trees on the property, and shall provide for replacement of each tree removed on the property or at locations approved by the director of community development Zoning Administrator and by the director of public works, if replacement is to occur on public property. Replacement ratio shall be in accordance with the standard set forth in Section 10.01.050, and shall be at a ratio equal to twice that required where the tree removal is permitted pursuant to the provisions of this chapter.

If a violation occurs in the absence of development, or while an application for building permit or discretionary development approval for the lot upon which the tree is located is pending, the director Zoning Administrator may issue a temporary moratorium on the development of the subject property. not to exceed eighteen months from the date the violation occurred. The purpose of this moratorium is to provide the city an opportunity to study and determine the appropriate mitigation measures for the tree removal, and to iensure measures are incorporated into any future development approvals for the property. Mitigation measures as determined by the director Zoning Administrator shall be imposed as a condition of any subsequent permits for the development on the subject property.

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Attachment 8
ORDINANCE NO. XXXX(G) N.S.

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES ADOPTING AN AMENDMENT TO TITLE 19 SIGNS (RZN 23-02) AND FINDING THE ACTION EXEMPT FROM CEQA UNDER STATE CEQA GUIDELINES SECTIONS 15060(c)(2) AND (c)(3) AND 15061(B)(3)
WHEREAS, the City of El Paso de Robles, California (the “City”) is a municipal corporation, duly organized under the constitution and laws of the State of California; and WHEREAS, the City is working on a comprehensive update to the Zoning Code (Title 21). Concurrent with that process, several clean-up items have been identified where Title 21 is referenced in other Titles of the Municipal Code; and
WHEREAS, various Titles of the Paso Robles Municipal Code have proposed amendments to facilitate the update to Title 21. Most of the proposed amendments are to correct code references that will be outdated if Title 21 is amended. More substantive changes are proposed in Titles 10 and 19. In Title 10, the review authority for oak tree removal permits would be changed so the Development Review Committee and Planning Commission could approve certain removals. Title 19 would be repealed and replaced with updated standards for billboards that have been consolidated from Title 21; and WHEREAS, on August 13, 2024, the Planning Commission held a public hearing for amendments to Title 21 and amendments to the Zoning Map including removing special conditions overlays D and E as well as removing of Hillside District Overlay, and on six successive votes of 6-0-1 (one Commissioner absent), recommended the City Council approve said amendments; and WHEREAS, on August 27, 2024, the Planning Commission held a public hearing for amendments to Municipal Code Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, and 19, and on five successive votes of 5-0-2 (two Commissioners absent), recommended the City Council approve said amendments; and WHEREAS, the City Council finds that these updates to the Zoning Code, Zoning Map, and updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22 do not qualify as a project under the California Environmental Quality Act (CEQA) pursuant to State CEQA Guidelines, § 15060, subd. (c)(2)-(3), and are exempt from CEQA under State CEQA Guidelines, § 15061(b)(3); and
WHEREAS, a duly noticed public hearing was conducted by the City Council on September 17, 2024, to consider the facts as presented in the staff report prepared for this Zoning Code update, Zoning Map amendments, and Municipal Code amendments, and to afford the public an opportunity to comment upon such items.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY ORDAIN AS FOLLOWS:

Section 1. All of the above recitals are true and correct and are incorporated herein by reference.

Section 2. Findings for Approval. Based on the facts and analysis presented to it, including all written and oral testimony, the City Council hereby finds and determines:

Page 684 of 878 ends

Attachment 8
a. RZN 23-02 is consistent with the following Goals and Policies of the General Plan:
 Land Use Element Policy LU-2B Action Item 1: By defining and implementing updated zoning standards through the amendments to Title 21 and the associated updates to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, 19, and 22, the City ensures that zoning regulations are not only up-to-date but also promote the enhancement and conformity of existing structures throughout the City.
 Housing Element Policy H-3.3: By updating the Zoning Code and Zoning Map, and the associated references throughout the Municipal Code, the proposed code updates ensure that the City remains current in recent legislation, particularly as it relates to housing, thereby helping remove and reduce governmental constraints while facilitating compliant and effective housing development throughout the City. b. The proposed Title amendments will not adversely impact the public health, safety, and welfare, because the proposed amendments are designed primarily for organizational purposes and to enhance clarity, consistency, and compliance with state and federal laws, thereby providing a more predictable and efficient regulatory framework for all community stakeholders. By establishing clearer standards and processes, this update to Title 19, in addition to Titles 2, 3, 5, 7, 8, 9, 10, 12, 14, and 22, in relation to proposed amendments to Title 21 helps protect public interests, facilitate responsible growth, and maintain the integrity of communities throughout the City. Moreover, the enhanced provisions relating to housing helps support the provision of adequate housing in the City of El Paso de Robles, which in turn contributes positively to the overall welfare of the City and its residents.

Section 3. The Council hereby adopts the language attached hereto as Exhibit A and incorporated herein by reference.

Section 6. Effective Date. This Ordinance shall be in full force and effect 30 days after its passage and adoption as provided by Government Code section 36397.

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Attachment 8
INTRODUCED at a regular meeting of the City Council held on September 17, 2024, for first reading by the City Council of the City of El Paso de Robles, and adopted on the ___ day of ______, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

John R. Hamon, Jr., Mayor
ATTEST:

Melissa Boyer, City Clerk
Exhibit A – Text Amendments to Title 19 Signs

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Exhibit A
EXHIBIT A – PROPOSED TITLE 19 TEXT AMENDMENTS
Added text is shown as blue underline and deleted text is shown as red strikethrough. (Textual changes shown in black is intended to show the existing text from Title 21 that is being included in Title 19)
Section 1. Title 19 shall be repealed and replaced as follows:

Title 19 - SIGNS[1]
Footnotes:
--- (1) ---
Cross reference— Zoning regulations — See Chapter 21.20 of this code.

State Law reference— Statutory provisions — See California Government Code § 38777.

Chapter 19.08 - SIGNS ADJACENT TO FREEWAYS

19.08.010 - Definitions—Adopted by reference.

For the purpose of this chapter the terms, ADVERTISING STRUCTURE, FREEWAY, and LANDSCAPED FREEWAY shall be defined herein as specifically set forth and defined in Division 3, Chapter 2, Article 1 of the Business and Professional Code of the State of California, and the same are adopted herein by reference.
(Ord. 227 N.S. § 1, 1959)

19.08.020 - When prohibited.

No advertising display shall be placed or maintained on property adjacent to a section of freeway which has been or hereafter may be landscaped as defined herein by reference if the advertising display is designed to be viewed primarily by persons traveling on such landscaped section of a freeway. (Ord. 227 N.S. § 2, 1959)

19.08.030 - Removal required.

All advertising structures, all signs, and all advertising displays which are erected or are in the course of being erected on June 1, 1959, or are enacted after such date, shall be removed within six months after June 1, 1959, or within six months from the landscaping of any such freeway in this city whichever date is later.
(Ord. 227 N.S. § 3, 1959)

19.08.040 - Penalties for violations.

Any person, firm or corporation violating any of the provisions of this chapter shall be deemed guilty of a misdemeanor and upon conviction thereof shall be punishable by a fine of not to exceed five hundred

Page 687 of 878 ends

Exhibit A
dollars or by imprisonment in the city jail or the county jail for not to exceed six months, or by both such fine and imprisonment.
(Ord. 227 N.S. § 5, 1959)
Title 19 – Billboard Signs
Chapter 19.01. PURPOSE AND APPLICABILITY

19.01.010. Purpose. These regulations and standards for billboard signs are established to provide a comprehensive system of reasonable, effective, consistent, content-neutral, and nondiscriminatory billboard sign standards and requirements to:

A. Preserve the natural beauty of areas adjacent to highways; B. Make a positive visual impression at the gateways to the City; C. Protect the general public health, safety, welfare, and aesthetics of the City; D. To assureEnsure the proper maintenance of signs;
E. Ensure freedom of expression for sign uses, including noncommercial speech, by maintaining a content-neutral approach and appropriately regulating the time, place, and manner under which signs may be displayed;
F. Preserve and improve the appearance of the City, protect the City from visual clutter and blight, and promote attractive and harmonious structures and environments by regulating the design, character, location, type, quality of materials, scale, illumination, and maintenance of signs; and
G. Balance the rights of individuals to convey their messages and the right of the public to be protected against the unrestricted proliferation of signs and to provide for fair and equal treatment of sign users.

19.01.020. Applicability. The regulations of this Title apply to all billboards. Other signs are addressed in Chapter 21.52 (Signs) and Chapter 11.30 (Street Furniture).

19.01.030. Severability. If any part, section, subsection, paragraph, subparagraph, sentence, phrase, clause, term, or word in this Title is held to be invalid, unconstitutional, or unenforceable by a court of competent jurisdiction, such decision shall not affect the validity or enforceability of the remaining portions of this Title.

19.01.040. Definitions. The following definitions shall apply to terms used within this Title:

A. Billboard. An off-premises sign, primarily (but not exclusively) used for a commercial purpose and designed for the periodic changing of a printed or painted copy and intended for the view of travelers on a State or US highway.

Page 688 of 878 ends

Exhibit A
B. Conforming Billboard Sign. A billboard sign that is legally installed in accordance with Federal, State, and local permit requirements and laws.

C. Copy. The message or content of a sign, which may include letters, numbers, logos, figures, and/or images.

D. Nonconforming Billboard Sign. A billboard sign that was legally established prior to the effective date of this Title and that does not conform to the provisions of this Title. therein.

Signs that require city approval but have been established without the benefit of city approval are considered illegal signs and are subject to abatement pursuant to this chapter.

E. Off-Premises Sign. A sign that promotes a business, activity, product, or service available on property other than that on which the sign is located, or which directs the public to a business or activity on another property.

F. Sign Area. The cumulative area of all sign faces on a single side of a billboard.

Chapter 19.02. REVIEW PROCESS

19.02.010. A Conditional Use Permit. A Conditional Use Permit pursuant to Chapter 21.19 shall be obtained for the placement of any billboard sign, subject to the restrictions of this Title. the following restrictions, which must be satisfied before a conditional use permit will be issued:

19.02.020. Other Agency Permits. An application for a Conditional Use Permit shall be accompanied by a California Outdoor Advertising Act Permit issued by the California Department of Transportation (Caltrans).

Chapter 19.03 ALLOWED LOCATIONS

19.03.010. Adjacent to Highway. The property on which the billboard shall be placed must be adjacent to the 101 or 46 Corridors. A billboard sign shall only be permitted on a property adjacent to US Highway 101 or State Highway 46. For the purposes of this Title, "adjacent to" includes properties separated by a frontage road but does not include lesser street corridors.

19.03.020. Zoning Districts. A billboard sign shall only be permitted within the C-2, C-3, and M zoning districts. Billboards shall only be located within commercial or industrial zoning designations in accordance with the State's Outdoor Advertising Act (Business & Professions Code § 5200 et seq.) parameters.

19.03.030. Minimum Spacing. In the interest of driver and vehicle safety and the City's interests in aesthetics, the most restrictive requirement of the following two requirements shall apply:

A. No billboard sign shall be located more than one thousand feet within 3,500 feet from any other off-premises billboard sign on the same side of the right-of-way highway, or B. No more than 3 billboard signs shall be allowed within any 1-mile stretch of the highway.

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Exhibit A

19.03.040 Public Property. Nothing in this section Title shall be construed to prohibit the City of Paso Robles City from approving a billboard sign or other off-premises sign designed to provide public information relative to goods and services available from the City when the City owns the property on which the billboard sign shall be placed. No other person, other than the City of Paso Robles, shall be allowed to use any billboard sign on public property for any purpose.

Chapter 19.04 DEVELOPMENT STANDARDS FOR BILLBOARDS

19.04.010 Size. No billboard sign shall be larger than 300 square feet in sign area per face, not to exceed two faces and 600 square feet total. Sign area shall be measured in accordance with Paragraph

21.52.070.B.to include any irregularly shaped feature on the billboard.

19.04.020 Height. No billboard shall exceed 30 feet in height, as measured in accordance with Paragraph

21.52.070.B.from the closest adjacent grade. If any isolated feature of the sign causes it to exceed this height limitation, that feature shall be taken into account when the Conditional Use Permit is considered and may be a basis for denial of the permit. However, if the top of a billboard is higher than the majority of buildings located on the same and/or adjacent lots, the billboard shall be separated from such buildings by 1 foot for every linear foot of the sign height. If this requirement is not satisfied, the billboard shall be prohibited.

19.04.030 Construction Quality. All new Billboardbillboard signs s shall be made of metal construction or otherwise have similar structural integrity, as determined by the City’s Building Official.

19.04.040 Landscaping. Landscaping shall may be required at the base of the billboard as a means of bringing the sign into a less obtrusive scale to its surroundings.

19.04.050 Electronic Copy. Electronic display panels or mechanically changeable messages of any type reader copy is strictly prohibited on all billboard signs, as such copy is distracting to drivers and may impede vehicle safety. Only static printed or painted message graphics may be placed on billboards billboard signs.

19.04.060 Lighting Methods. Any lighting shall be external, indirect, directed downward, and shielded so as no to the light source is not visible off site and does not create off-site glare, especially so as not to create glare for motorists or any nearby residential usesor conflict with City “dark sky” protection policies.

19.04.070 Distance from Highway. Any billboard shall be set back from the state highway rights-of-way at minimum of 1 foot for every linear vertical foot of sign height.

Chapter 19.05 NONCONFORMING BILLBOARDS

19.05.010 Billboards that were not lawfully established do not have a legal right to continue as nonconforming signs unless required by State or Federal law.

19.05.020 Loss of Legal Nonconforming Status.

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Exhibit A
A. The right to continue a nonconforming billboard shall terminate when it is determined to be a public nuisance pursuant to the provisions of Chapter 9.06 (Nuisance Abatement) or order of a court of competent jurisdiction and the nuisance is not abated in the manner and within the time stated in the order of the City Council or the order of the court. In addition to the specific grounds for finding a nuisance as set forth in Section 9.06.030 (Nuisances), a nonconforming use is a public nuisance if:

1. The use interferes with the enjoyment of life or property in the neighborhood; or

2. The use is injurious to the health of persons in the neighborhood.

B. The right to continue the use of a nonconforming structure shall terminate when the structure and/or the parcel on which it is located is determined to be a public nuisance pursuant to the provisions of Title 9 (Public Safety), Chapter 9.06 (Nuisance Abatement), or by judgment or order of a court of competent jurisdiction and the nuisance is not abated in the manner and within the time stated by the City Council or order of the court. If the abatement of the nuisance requires demolition of the structure, the City Council order or judgment or order of the court shall find that in fairness and in justice there is no other way reasonably to correct the nuisances other than by demolition of the structure.

C. Where it cannot be found that demolition of a structure is appropriate, the City Council may permit the structure to remain in existence but may impose one or more conditions to bring the structure into conformity with the requirements of this Title so far as is reasonable, in addition to any other conditions necessary to abate the public nuisance.

19.05.030 Continuation of Legal Nonconforming Billboards.

Legally nonconforming billboards and other billboards that have the right to continue by State or Federal law may continue to be used and maintained subject to the following limitations:

A. Sign copy may be changed.

B. No intensification of the billboard is permitted including, but not limited to:

1. The billboard shall not be increased in sign area, height, or any other dimension.

2. No new lighting, brighter lighting, or less shielded lighting shall be added to the billboard.

C. If the billboard is damaged by fire, earthquake, explosion, or other force majeure to an extent of more than 50 percent of the supporting structure as determined by the Building Official, the billboard shall only be rebuilt to conform to the present billboard development standards (Chapter 19.04) subject to the billboard review process (Chapter 19.02). In addition to the required findings for approval of a Conditional Use Permit, findings shall also be made that restoring the billboard would not have a significant adverse effect on public safety or the existing or planned visual character of the neighborhood, and/or if other factors indicate that the goals and policies of the General Plan would be advanced by such restoration.

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Exhibit A
D. If the billboard is willfully removed by the owner of the property or the owner of the billboard, it shall not be reestablished unless the new structure conforms with all the requirements in this Title.

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Attachment 9

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RECEIVED
8/20/24
City Council
Public Comment
Attachment 10

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Marci Reynoso
From:

Sent:

To:

Subject:

Attachments:

Mindy
Monday, September 2, 2024 1 :56 PM
Planninq
Over-Night Pet Sitting
Bella 2022jfif
Some people who received this message don't often get email fro� Learn why this is important Dear Paso Robles Planning Commission,
This email is in regards to a review of residential businesses in Paso Robles. I have a particular concern regarding over-night pet sitting restrictions in our community ... As a small business owner myself, I rely on this ESSENTIAL service to provide care of my beloved pet and "family member" when I am traveling out of the area. I have specifically sought out an environment that mimics a home-like setting, for this care, to reduce stress for my pet.

LOCATION is very important for several reasons ...
1) It supports local business.
2) Minimizes the driving distance and reduces traffic congestion on our streets. 3) Increases convenience to access for visitors to our community. (TOURISM) 4) With all of the challenges that face small business owners ... WHY would we restrict financial potential?
I OPPOSE any changes that would disallow over-night pet sitting within Paso Robles City limits.

Respectfully submitted,
Melinda Voigt
Paso Robles, CA 93446
1 Attachment 11

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From: Douglas hunter
To: Planning
Subject: Over night pet sitting ordinance
Date: Monday, August 19, 2024 5:31:36 PM
[EXTERNAL EMAIL]
Sent from my iPhon I am a long term resident of Paso Robles I find the ordinance against over night pet sitting very unfair and shortsighted. Many elderly residents depend on these pet sitters as well as many other people in the community. Thank you Douglas Hunter
Attachment 12

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From:

To:

Subject:

Date:

Victor Carrillo; Planning
RE: Prohibited Businesses issue
Monday, August 19, 2024 8:25:50 AM
-----Original Message-----
From: VictorCall'illo �>
Sent: Saturday, August 17, 2024 3:37 PM
To: Planning <[email protected]>
Subject: Prohibited Businesses issue
[EXTERNAL EMAIL]
To whom it may concem:

As a San Luis Obispo County Firefighter, law abiding citizen, tax payer, dog owner, and local resident to the city of Paso Robles. I would like to write to inf01m you I have full suppo1t of allowing small business owners that have a pet service for dog walking, boarding, dog nannying to be allowed to continue their business and continue being able to board pets in their home. Not only is this their full time business and their steady income, it's a help to the community. I moved to the city of Paso Robles in 2014 and lived here ever since. My wife and I have lived on the east side of Paso since 2019. We have utilized the pet sitting businesses to watch ow· pets who we love so much when we leave town. We ttust these businesses and rely on the owner and continue that ttust for ovemight boarding. This option gives us a great piece of mind and safety of our pets. Our pets feel comfortable and build bonds with these pet sitters. This cannot be a prohibited code. Please do not allow this to pass. These business ovmers rely on you as the city of Paso to continue to provide and allow their license to be utilized. This change cannot happen, I can guarantee there are many other citizens of Paso Robles that feel the same way. And I also know out of town folks passing through for vacation utilize these same businesses to help when they have their pets with them. Please reconsider. I appreciate your time.

Best Regards,
Victor Catrillo
Attachment 13

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1 Public Comments
City of Paso Robles Council Meeting—September 17, 2024
Item Q-2; Public Hearing: Rezone 23-02 (P23-0063) Comprehensive Zoning Code Update
From: Jeff Carr—Paso Robles, CA
Recommendations

1. Pull the Home Occupation section from the update and propose a Home Occupation Zoning Code Update Ad Hoc Committee be placed on the December 17, 2023 City Council agenda after the seating of the new city council. As one of my first efforts as the new District 3 City Council member on December 17, 2024--I will propose and offer to lead a Home Occupation Zoning Code Update Ad Hoc Committee.

The Home Occupation section as proposed is not clear and it’s overly complicated. It needs work. It will not be repaired completely and correctly via this City Council meeting item.

2. As a witness of the Comprehensive Zoning Code Update development process, as someone that has attempted to participate, and after reviewing this final draft result---I cannot recommend approval for the following reasons:
a. This was not a public process
b. Public questions and comments were left unanswered and ignored c. It’s not clear the document is written for its intended audiences d. The document is not ‘reader-friendly’.
e. Use and dependence on the Housing Constraints and Opportunities Committee (HCOC)
Yes, there are some improvements, but it has not been handled as an open and public process. It has not proven to be a ‘reader-friendly’ document. The hyperlinks aren’t even active.

My recommendation is to send this document back to staff for improvements.

I elaborate on these recommendations in the following Discussion section. The discussion on Home Occupations is in a section titled Home Occupation Zoning Code Update while the reasons why I would not approve the zoning code update are in the section titled General.

Carr, Jeff
Item Q2. Public Comment

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2 Discussion
Home Occupation Zoning Code Update
The Home Occupation section is not well written and contains a number of contradictions and ambiguities. Instead of encouraging a home occupation, it discourages and in some cases— completely ‘disallows’ them. The city already has, in my opinion, a problem with too many unlicensed businesses. There are a number of reasons why someone might not want to get a city business license or home occupation license—but let’s not build that reason into our zoning code. There is advantage to having a city business or home occupation license.

The city initially ‘disallowed’ pet sitting with overnight stays. The city tells us now, they meant to write “kennels”. So that’s good news for Janice the ‘The Pet Nanny’ and others.

I believe there are other businesses being affected by these rules—that just don’t know it yet.

This example and others here show us that the city staff does not understand the home occupation and those businesses currently operating as home occupations. Let’s get together people that know and work in these businesses to help develop sensible home occupation requirements.

Regarding the city’s explanation of new ‘disallowed’ home occupations--- The following, in italics, is from the staff report, page 7 0f 36. My comments follow labeled as from “JDC:”.

Additional concerns have been raised by the public since the August 13, 2024 Planning Commission meeting, specifically that some of the excluded home occupations will negatively impact small business owners. Therefore, staff has provided additional analysis to justify the exclusion of the following uses:

JDC: In fact, the ‘concerns from the public’ began with my February 16, 2024 email to the Planning Division, repeated numerous times including in Planning Commission public comments on July 9 2024. Those comments are included at the end of this section.

Massage Services: Allowing massage services in residential areas can raise concerns about inappropriate or illegal activities, which can compromise the safety and well-being of the community. By restricting massage services outside of residential areas, the City aims to ensure these services are provided in a safe, controlled environment that protects both practitioners and clients while maintaining the residential character of neighborhoods. A masseuse can obtain a home occupation for a home office and perform massage at locations other than their personal residence.

JDC: One has to ask exactly who is having these “concerns about inappropriate or illegal activities”. Is this coming from 2 or 3 city staff members in the Planning Division? Or is this a real and documented concern that the city can share with us? I do not share these concerns, but I’d like to better understand why someone else does. These concerns do not match my perception and personal experience with home occupation massage therapy services.

Carr, Jeff
Item Q2. Public Comment

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3 JDC: Regarding the ability for a ‘masseuse’ using their home as a home office and performing massage at other locations---What do we call this business? It’s still a ‘massage’ home occupation—or would it be a ‘mobile massage’ home occupation. The zoning document is not clear that one type is allowed, while the other is disallowed.

Wine Tasting: Wine tasting businesses require a State Alcohol Beverage Control license from the California Department of Alcoholic Beverage Control that requires commercial zoning, thereby precluding wine tasting operations as a business eligible for home occupation.

JDC: Then, if a license is not available, it would be the State of California that is ‘disallowing’ the wine tasting business, and not the City of Paso Robles. That is an important distinction, because I’m not so sure that a state license could not be acquired now or in the future for a Short Term Rental or Homeshare in a commercial district—and still be a home occupation. And then, what would you call a Home Occupation that provided ‘wine tasting’ capabilities at commercial venues? Would that be called a ‘mobile wine tasting’ home occupation? The zoning code is not clear and does not discriminate when ‘disallowing’ this business as a home occupation.

Auto Repairs: The exclusion of automotive repair from home occupations is mostly based on concerns related to environmental impact, noise, parking and enforcement challenges. Repairs conducted at a residence can produce significant noise and hazardous waste, which are difficult to regulate in residential settings and detrimental to the surrounding neighborhood.

JDC: First, as I mentioned in my comments to the Planning Division—there is not a definition for “automotive repairs” in the zoning update document. If there was a clear definition, that might help explain the noise and waste the city references. Regardless, I’ll mention that the city has a noise ordinance and there are accepted ways to dispose of hazardous waste in the city. No one is promoting the idea of a full service auto repair facility in a residential neighborhood. But--many automotive repair activities can occur separate from an actual automobile or vehicle, and produce little to no hazardous waste.

Mobile Car Repair: Regarding mobile (tire and oil change) car repair, the exclusion is in place due to potential environmental concerns. Mobile services can lead to issues like improper disposal of hazardous materials and increased noise when performed in residential areas.

These services are better suited to commercial zones where proper facilities and oversight are available.

JDC: I have to wonder if the people that wrote this explanation have ever changed the oil in a car or any other vehicle? It’s not a noisy activity and hazardous waste (i.e., the used oil and filters) can be easily managed, temporarily stored, and then disposed of at a proper dump site. Is there something inherently untrustworthy about a person running a mobile oil change company vs. a oil change company at a fixed location? Of course not; and in fact, they could be the same company.

JDC: In addition, remember that this is a mobile oil change company. That is, the actual work is not taking place at the home occupation location. The ultimate work location could be either a residential address or a commercial address. As it is legal to change one’s own car oil at home, I Carr, Jeff
Item Q2. Public Comment

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4 see no reason why a mobile oil change business couldn’t do business at a residential address unless specifically prohibited by a Home Owners Association (HOA).

JDC: There are currently companies listed on the city’s list of business licenses that are doing automotive repair including, mobile mechanics, windshield repair and replacement, and mobile oil change.

Ultimately, the Home Occupation Permit allows an exception for hardship (Section

21.21.030(B)). If an applicant can demonstrate a unique hardship outside of the scope of these provisions, this Exception for Hardship provision may be appropriate and is subject to review by the Planning Commission and, if approved, would be subject to a conditional use permit and annual review
JDC: What is a “hardship”. I’ve been asking this question as far back as February 2024 and have yet to receive an answer. I do see a definition of “Exceptional Hardship” on page 8-4 with respect to Floodplain Management. Regardless—why must one have to claim a hardship to work in these home occupations? If acceptable under ‘hardship’ conditions, then why not always allowed?
Parking of Commercial Vehicles
There are concerns from one resident business owner regarding the requirements for trucks used by home occupations. I understand the council may have received public comment about this.

When compared to parking restrictions on other business vehicles, Home Occupations appear to be an exception with more restrictive vehicle parking requirements.

Specialized Repairs
The city added this section as 8.e. -- types of businesses considered allowable as home occupations.

Specialized repairs for household items for small mechanical components, including, but not limited to, cell phones, laptops, power tools, kitchen appliances, and small automotive parts that do not produce hazardous waste, provided any item can be mailed/shipped in a box not to exceed 12 inches x 12 inches x 12 inches.

Additionally, all specialized repairs shall not produce noise, dust, odor, light, or vibration detrimental to occupants of adjoining dwellings; Why the requirement of “small”? I don’t see the need for a size restriction.

Specifying the box size isn’t necessary. Some of the ‘small mechanical components’ examples listed in the specification would not fit in a box 12 inches x 12 inches x 12 inches.

Carr, Jeff
Item Q2. Public Comment

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5 General
In this section, I elaborate on why I would not approve the Comprehensive Zoning Code Update document.

This was not a public process. The document includes inputs from anonymous sources and those sources should be made visible to the public. All questions and comments from the public and committee members (i.e., Planning Commission and HCOC) should be made public. That includes the documentation of oral comments. Not all inputs and changes were publicly reviewed at Planning Commission meetings. More time is needed for adequate public review of this final document.

Public questions and comments were left unanswered and ignored. My questions and comments went unanswered and ignored, and I assume that questions and comments from other members of the public may have also been left unanswered and ignored.

It’s not clear the document is written for its intended audiences. The document does not identify its intended audiences—and it should. But during development, it was stated that the document audiences include local architects, builders, homeowners, and the general public.

However, I question whether some sections are written for the average reader.

The document is not ‘reader-friendly’. Aside from the document text, the formatting of the document does not help the reader. I find that sections start abruptly and are not properly introduced to the reader. The overall assembly of sections does not make intuitive sense. And there is no introduction section to explain this assembly and how the reader might best use the document for their needs. Also—there are no hyperlinks assigned or enabled. If not for the PDF search function, one would have a difficult time finding anything.

The use and dependence on the Housing Constraints and Opportunities Committee (HCOC) puts the integrity of the document in question. The HCOC has been operating under questionable conditions including: not formed per city policy and council direction; no committee bylaws; no term periods for members This conflict goes back to at least October 13, 2022 when I stumbled in on them. Read more here: City Council General Public Comments dated October 3, 2023--also included at the end of these comments.

Carr, Jeff
Item Q2. Public Comment

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6 Sent in email to Planning Division on July 9, 2024 ----------------- Public Comments- Planning Commission Agenda, July 9 2024; Item H-1 Comprehensive Zoning Code Update
I've commented numerous times during this zoning code update process regarding problems with the overall construction of this document, specifically with respect to 'ease of use' and readability. I don't notice improvement in these areas--or any explanation that might show how the city believes it is meeting its stated goals (like 'ease of use') in this update.

During the process, I've also submitted comments regarding the handling of public comment. Where are the public comments and how have they been addressed by the city staff? I see no indication that my public comments have been considered. And I'm very eager to see all the comments from others--including those from the public, the planning commission, other city departments, and other interested parties--to see how they have or have-not influenced this update.

In the past, I've also requested a full draft review of up to 90 days or more before a planning commission approval. The time provided now that has overlapped a holiday week is not adequate. Because of this short review, I will continue my review and accumulate my comments for later hearings and the city council. In addition, as I see no indication that my previous comments have been considered--it would seem a waste of time to provide the planning department with more.

Included in my past comments, are specific comments related to Article 2; Chapter 21.21 Home Occupations Permits, submitted to the planning department via email on 02/16/2024. The text of this email is included at the end of these comments. From what I can tell, these past comments have been ignored without explanation as I find no reflective change in Chapter 21.21 and have received no feedback on my comments from 'planning'. Chapter 21.21 is still in need of significant change.

The most disturbing part of the Home Occupations Permits section is the arbitrary and conflicting nature of "allowable" and "not permitted" home applications. Items have been added to this list without explanation and items on this list are not adequately defined. These changes will significantly affect current home occupation businesses, and from what I can tell from some initial polling--the city has not notified these current home occupations of these changes. In addition, these sections generally discourage many appropriate and viable home businesses from ever being started.

Jeff Carr--Paso Robles, CA
*************************************************
Carr, Jeff
Item Q2. Public Comment

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7 Comments Sent to Planning on 02/16/2024:

Hi--I know this is a lot--and might be somewhat jumbled. Many questions too along with comments.

Article 2; Chapter 21.21 Home Occupations Permits

21.21.010 A. Purpose--

3. Are there any 'notification' requirements as part of acquiring a home occupation permit? e.g., I've lived in areas where the applicant had to post a letter size notice in front of the home for so many weeks--as notice to neighbors.

5. "Prevent the use of home occupations from transforming a residential neighborhood into a commercial area." --- This seems vague. Can you be more specific how this might occur? e.g.,
Traffic? I've lived in areas where home occupations were not allowed to receive clients or customers at the home. It appears that you allow this.

Noise? There are noise standards
Toxic or dangerous chemicals? More industrial than strictly commercial--but I believe some of this should be acceptable if limited to what can be safely managed.

Shipping/delivery truck traffic? --- I see more specifics later; i.e., regarding "noise, dust, odor, light, or vibration detrimental to occupants of adjoining dwellings" that might make sense moved up here.

21.21.020 B. Required Standards
Overall--I feel this could be written to be more clear. It seems piecemeal in a way that is confusing. There are many steps and paths to an approval, that could be outlined up top.

That is,--there are:
allowed
allowed if similar
allowed with site plan modification
excluded
exception with hardship.

Whew! --- Perhaps a paragraph and/or diagram at top to explain the possible process of approval.

8. 'Allowable businesses' -- This is confusing as it is not complete, is it? Of course "i.

Similar uses as determined by the Zoning Administrator" opens the door to more allowable uses.

C. Modifications to these standards

1. "Types of businesses not listed as an allowed home occupation. . ." But then--it's not "similar uses" as described above.

21.21.030 Excluded Operations
A. Prohibited Businesses
Carr, Jeff
Item Q2. Public Comment

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8 Some of these items seem arbitrary. And some do not have definitions that I can find.

3. Massage? -- why is massage excluded? It was added new to this code revision. Visitors to home occupations are obviously allowed; e.g., one in the premises at a time. This is where a 'note' would have been helpful to explain why this has been added.

Most times I've had a professional massage--it was in a home occupation setting. --- I request that 'massage' be removed from the list.

4. Pet sitting with overnight stays --- Why has this been added? Again, a 'note' would have helped. I request it be removed.

5. Automotive repair? -- I can't find a definition of 'automotive repair'. There is something in Article 9 listed as 'auto repair' but I can't find an accompanying definition. I assume TBD. (note: italics here indicate a clarification edit made to original email)
This exclusion may be too broad, so I feel a detailed definition is required. The fears of course are that cars will be dismantled during repair and sit immobile at the residence. I assume too there are noise and hazardous waste concerns. However there are aspects of automotive repair where these concerns do not exist or can be managed.

Perhaps some automotive repair being allowable but written in a manner similar to 8d of 'allowable as home occupations'.

At the meeting I brought up the example of 'fuel injector' cleaning and test. Fuel injectors are small items (about the size of a spark plug) that can be removed from the vehicle by the customer and sent into the home occupation for service. Cleaning and testing requirements are simple with the right rig; and these rigs are mostly small and compact in size. Hazardous waste from cleaning and testing is limited and manageable.

Other examples might be specialized repairs such as ABS (anti-lock braking system) control units. These can be removed from the vehicle and sent in for repair. They too result in minimal and manageable hazardous waste. Many other motorcycle or automotive parts can be managed similarly for rebuilding or repair once they are removed from the vehicle. The source vehicle is never present at the work premises. I've mentioned a couple of examples that I've run across because I own an old motorcycle with specialized needs.

The demand for these services is growing as people that restore or own older vehicles and motorcycles use them and have DIY capabilities to remove the parts from the main vehicle. Regular dealers and service centers don't want to work on them. These specialized services are best served with small or home occupations because demand is limited locally and general auto repair houses don't want to bother with them unless it's part of a larger service requirement. Parts can be shipped to the home occupation location--and shipped back when work is completed.

7. Mobile (tire and oil change) car repair. Why was this added? I don't understand it.

Carr, Jeff
Item Q2. Public Comment

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9 These typically don't do the work at the residence of the person with the occupation.

Work occurs at another location. Are these mobile services prohibited in the city? What about surrounding cities? I see mobile car wash services being performed in the city.

11. Wine tasting? -- This exclusion surprises me, so I would like to hear more explanation. Honestly, in this town, I'd expect 'wine tasting' parties to be the modern version of the 1960s Tupperware party home business.

B. Exception for Hardship
OK--another way around requirements. Is this because of a 'hardship'? Because you don't describe what a 'hardship' might be. What are hardships and how does one prove it?
It looks more like 'proving' that the business could be operated in a proper manner so not to disturb the neighborhood. This is something that I assume would be a requirement of 'similar uses' or 'modifications' via Site Plan Modification Process. BTW:
you reference this on pg 61 as 21.70.020. Do you mean 21.17.020? Jeff Carr---Paso Robles, CA
******************************************************** Carr, Jeff
Item Q2. Public Comment

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10 General Public Comments
City of Paso Robles Council Meeting--October 3, 2023
From: Jeff Carr—Paso Robles, CA
Housing Constraints & Opportunities Committee (HCOC)
For a year now, I've been trying to resolve questions with the city related to the Housing Constraints & Opportunities Committee (HCOC).

I've addressed my concerns with the HCOC (public comments October 13, 2022) and in a subsequent meeting with Mayor Martin and Warren Frace on October 24, 2022. This later meeting was simply a restating of the concerns with no answers or resolutions provided. The last words I heard then were, "I'll get back to you". No one has got back to me on these concerns.

The HCOC was originally formed as an ad hoc, but quickly evolved into an advisory committee in 2015. Even in an item on tonight's agenda (Item L3), it is still being referred to as an ad hoc-- though the city website currently has it listed as a committee among 'Boards and Commissions'-- https://www.prcity.com/257/Boards-Commissions. From my investigation, I find it has not been operating per council direction or city policies for committees.

My recent observations of HCOC meetings have me concerned about HCOC operation and its discrepancies from policy. I feel it is the best interest of the city and the public that the HCOC be immediately aligned with city policy for standing committees. I hope the city will finally answer my questions and clarify this matter.

Key concerns:

The HCOC has no established bylaws.

At the October 17, 2015 Council Meeting, the council's direction was to form an "advisory committee" consisting of members of the City Council, Planning Commission, and members of the public. The council also directed staff to prepare bylaws. Council policy requires the council’s adoption of committee bylaws prior to convening a standing committee. In October 2022, the city told me: "There have been no established bylaws for the HCOC". A year later, I've still not seen HCOC bylaws.

Excerpt from: "City of Paso Robles Council Policies & Procedures" (revision no.6),

3.2 COMMITTEE ORGANIZATION & CONDUCT

3.2.1 Standing committees are established by resolution of the City Council and are organized under Council adopted by-laws specific to each.
btw: I find no resolution of the City Council establishing the HCOC.

Carr, Jeff
Item Q2. Public Comment

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11 The HCOC has no term periods defined for its members.

Term periods for the HCOC have been shown on the city website as "TBD" and I know of no effort, past or present, to change this. After 8 years, it's time to set term periods and additionally, reevaluate the HCOCs current membership.

The HCOC includes 2 council members that are acting as voting members.

Excerpt from: "City of Paso Robles Council Policies & Procedures" (revision no.6), Chapter 1 - Council Powers & Responsibilities

1.1.5 No Councilmember may serve as a voting member of any standing City commission, board, or committee composed solely of citizen volunteers, city employees, or a combination of both as commissioned pursuant to Chapter 3 of these policies I ask that the city resolve this confusion with the HCOC and request that staff properly align it as a standing committee according to city policy--including but not limited to establishing bylaws, member term limits, and council members that act only as liaisons and not voting members.

Carr, Jeff
Item Q2. Public Comment

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Robbins, Thomas
Public Comment Item Q2
Dear Paso Robles City Council,
My name is Thomas Robbins, and I own Green Rhino Carpet Cleaning here in Paso Robles, CA. I'm writing to ask for a common-sense modification to the current home occupation permit rules. Right now, the law says if you run a business from home, you can't have any vehicles with business logos parked at or around your house. This rule can be too strict for small businesses like mine, and I believe there's a better way to handle it.

Instead of banning all vehicles, I propose allowing up to two vehicles, as long as they are under a certain size. Many of us who run small businesses from home can't afford to rent a commercial space, especially when we're just starting out. This rule makes it even harder to succeed, and it seems unfair. For example, if I had an office in a commercial area, I'd be able to park my work vehicles at home without a problem. Why should home-based business owners be treated differently?
I run a carpet cleaning business with two vans, and all my work happens at my clients' properties, not at my house. Even though no work is done at my home, the Paso Robles Police Department told me I have to move my vans to another location. Finding a secure spot for them will cost me around $1,000 a month, which is a huge financial burden. I can't risk leaving my vans out in the open because they carry expensive equipment, and there's a real danger of theft or vandalism.

I know many other small business owners are facing the same challenge. That's why I'm asking for a modification to the current rule-something that supports small businesses, not punishes them.

We need to create an environment where businesses can grow, not struggle due to unnecessary financial hardships.

Thank you for your time and consideration.

Sincerely,
Thomas Robbins
Green Rhino Carpet Cleaning
805-369-2468
9-15-24

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Council Agenda Report
From: Mark Scandalis, Airport Manager
Subject: Approval of Short-Term Rental Agreements with Joe’s One-Niner Diner, Soar Paso, and Mercy Air
CEQA Determination: The City finds that this action is not a project under the California Environmental Quality Act pursuant to State Guidelines Section State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.

Date: September 17, 2024
Facts

1. Joe’s One-Niner Diner, Soar Paso, and Mercy Air are tenants of the current Fixed Based Operator (FBO), ACI Jet, and have been operating via sublease agreements in space leased to ACI by the City.

2. At the conclusion of the FBO contract term with ACI, on May 1, 2021, the contract and its subleases became month-to-month.

3. After a lengthy public Request for Proposals process, Loyd’s Aviation was selected by the City for negotiation to become the new FBO operator. The contract with ACI Jet is set to expire September 30 and the proposed FBO lease with Loyd’s is set to start the same day.

4. During the process to identify a new FBO, City Council directed staff to negotiate with ACI’s subtenants to establish lease agreements with Joe’s One-Niner Diner, Soar Paso, and Mercy Air directly with the City.

5. Negotiations with all three tenants have concluded, and all are prepared to enter into new rental agreements in accordance with the City’s adopted Leasing Policy. Each term calls for a one-year agreement that will automatically extend up to a maximum of five years, absent written notice from either party to the contrary. Additionally, rents will increase each year based on the consumer price index, and every 5 years based on a rent study. The remaining main points of the lease agreement are as follows:

Joe’s OneNiner Diner Soar Paso Mercy Air
Location/Site
1720 SF
restaurant
space at
4900 Wing
Way
200 SF
office space
at 4990
Wing Way
3884 SF
office space
at 4990
Wing Way
Monthly Rent $1,800 $400 $6,786
Annual Rent $21,600 $4,800 $81,432
Options

1. Take no action;

2. Approve Resolution 24-XXX authorizing the City Manager or designee to execute the short-term rental agreements with Joe’s One-Niner Diner, Mercy Air, and Soar Paso; or

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3. Provide alternative direction to staff.

Analysis and Conclusions
Joe’s One-Niner Diner, Soar Paso, and Mercy Air are integral parts of the Airport environment and provide needed services to the community at and around the Airport. With the proposed new FBO operator, Loyd’s Aviation, it is important to maintain the productive business relationships with all three businesses.

To this end the City negotiated direct agreements with each business at rental rates comparable to the rates they are paying ACI Jet now. Additionally, these lease agreements will provide necessary revenue to the Airport Fund for the continued operation and maintenance of the Airport.

Fiscal Impact
Total rental income for the three short term rental agreements is expected to be $8,986 per month, or $107,832 per year. Rental rates will tack fair market value over the life of the agreements with yearly cost of living increases and five-year market adjustments based on results of a rent study. Revenues derived from these rental agreements will be deposited in the Airport Enterprise Fund. These funds are required to be utilized for Airport operations, maintenance, and capital improvements only.

CEQA
The City finds that this action is not a project under the California Environmental Quality Act pursuant to State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378 because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment.

Recommendation (Option 2)
Approve Resolution 24-XXX authorizing the City Manager or designee to execute the short-term rental agreements with Joe’s One-Niner Diner, Mercy Air, and Soar Paso subject to any minor, technical, or nonsubstantive changes as approved by the City Manager and City Attorney.

Attachments

1. Short term rental agreement – Joes One-Niner Diner

2. Short term rental agreement – Soar Paso

3. Short term rental agreement – Mercy Air/Air Methods

4. Resolution 24-XXX - Approving Three Airport Short Term Rental Agreements with Joes 19er Diner, Soar Paso and Mercy Air

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Attachment 1
1 CITY OF EL PASO DE ROBLES

SHORT-TERM RENTAL AGREEMENT

FOR AIRPORT PROPERTY
This SHORT-TERM RENTAL AGREEMENT (“Agreement") is made and entered into as of September 30, 2024 at 7:31 PM (the “Effective Date”), by and between the CITY OF EL PASO de ROBLES, a municipal corporation ("Landlord"), and Ontiveros, INC ("Tenant"), who agree as follows:

RECITALS
A. On June 1, 2017 the Tenant entered into that certain Short-Term Sub-Lease Agreement with Aviation Consultants Inc. (ACI) (the "Original Agreement") for the operation of their business located in the restaurant spaces located at the Paso Robles Municipal Airport, 4900 Wing Way, Paso Robles, CA 93446 (the "Original Premises").

B. At that time of the Original Agreement, ACI was the fixed based operator (FBO) at the Paso Robles Municipal Airport and subleased the premises to Ontiveros, INC.

C. Pending expiration on May 1 2021 the ACI FBO through administrative action the ACI FBO contract was set to month to month status.

D. Via a public request for proposals (RFP) process Loyd’s Aviation was selected by the City as the new FBO operator and the ACI contract is set to expire upon execution of a contract with Loyd’s Aviation.

E. Landlord and Tenant now desire to enter into a new short-term rental agreement in accordance with adopted Leasing Policy in order to allow the Tenant to continue operation of its restaurant business at the Paso Robles Municipal Airport .

AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged, City and Tenant agree as follows:

1. Premises. In consideration of the payment of a monthly rental fee, and on the terms and conditions set forth herein, Landlord agrees to rent to Tenant the following described area (herein the “Premises”) 1720 SF of commercial restaurant space located at 4990 Wing Way, Paso Robles, CA 93446 (the "Premises"), all as depicted on Exhibit “A,” attached hereto and incorporated herein by reference.

2. Use of Premises. Landlord hereby rents to Tenant, and Tenant hires from Landlord, the Premises for the purpose operating the Tenant’s restaurant business operations at the airport, and for no other purposes without the prior written consent of Landlord. In addition, any conduct of business on the Premises shall be subject to the current Airport Rules & Regulations, Minimum Standards for Aeronautical Activities and adopted City Ordinances applicable to the conduct of said business within the City.

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Attachment 1
2 3. Rental Rate. The monthly rental rate for the Premises shall be $1,800 payable monthly in advance. The first full payment of rent shall be paid in full on or prior to the Effective Date of this Agreement (September 30, 2024 at 7:31 PM), and each subsequent payment of rent shall be due and payable on the first day of each calendar month thereafter. The monthly rental rate set forth above shall be escalated on July 1st following the first anniversary of the Effective Date and on July 1st of every year thereafter ("Adjustment Date") for the full term of this Lease, including any extensions, the Base Rent shall be increased by the same percentage increase as defined by the Consumer Price Index for the previous 12-month period. The standard to be used shall be the Consumer Price Index for all Urban Consumers San Francisco-Oakland Metropolitan area, Bureau of Labor Statistics, United States Department of Labor, 1982 = 100 ("Index"). The index which is published most immediately before the Adjustment Date shall be used. If the Index shall no longer be published, another Index generally recognized as authoritative for purposes of this paragraph shall be substituted. In addition to annual Consumer Price Index adjustments, in order to keep lease rates in line with fair market values throughout the life of the lease; base rent adjustments, if necessary, can be made every five years with adjustments to be determined by a rent study. The annual increase in monthly rent shall increase no more than Eight percent (8%) in any given year or twenty percent (20%) in any five-year period including any adjustment to Base Rent upon results of the rent study. In no event shall the rent adjustment be less than two percent (2%) per year. In the event that the Base Rent will be adjusted by rent study, the City shall, at its own cost and expense, be responsible for selecting and hiring an appraiser. All rent paid by Tenant to Landlord shall be in lawful money of the United States of America and shall be paid without deduction or offset, prior notice or demand, and at such place or places as may be designated from time to time by Landlord.

If any installment of rent or other payment due from Tenant is not received by Landlord within ten (10) days of the date upon which it is due, Tenant shall pay to Landlord an additional charge of ten percent (10%) of the overdue payment as a late charge.

4. Term; Extensions; Termination. The term of this Agreement shall commence on the Effective Date (September, 30, 2024 at 7:31 PM), and shall continue for a period of one (1) year. Absent written notice from either party to the contrary, this Agreement shall automatically extend for one (1) additional year, and subsequently each year thereafter, up to a maximum five (5) year term under this Agreement. Any such extensions shall be on the same terms and conditions as set forth in this Agreement, including without limitation the annual increase in rent provided for in Section 3.

4.1 Notwithstanding the foregoing, either Party may terminate this Agreement for an Event of Default as more particularly described in Section 4.2 of this Agreement. at any time by giving written notice of such termination to the other party not less than ninety (90) days prior to the date of such termination stated in said notice. Upon or prior to the date of termination of this Agreement, Tenant shall vacate the Premises and return the Premises to its original appearance and condition, as more fully described in Section 9 hereof. Upon failure by Tenant to vacate the Premises by the termination date, Landlord may remove all of Tenant’s personal property and effects, and Tenant shall, within ten (10) days of receipt of notice from Landlord, reimburse to Landlord any costs and expenses incurred by Landlord for such removal of Tenant’s personal property and effects, plus an administrative charge in the amount of ten percent (10%) of the cost thereof.

4.2 Default. Any of the following events or occurrences shall constitute a material breach of this Lease and shall constitute an Event of Default:

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Attachment 1
3 (1) Any failure to pay any rent or other sums as and when due, provided Tenant shall have a period of three (3) days from the date of written notice of such failure from City within which to cure any default in the payment of rent or other sums. City shall not be required to provide such notice regarding Tenant’s failure to make such payments when due more than twice during any calendar year, and any such failure by Tenant after Tenant has received two (2) such notices in any calendar year shall constitute a default by Tenant hereunder without any requirement on the part of the City to give Tenant notice of such failure or an opportunity to cure; or (2) The failure to perform or comply with any condition, term, provision, promise, covenant, agreement, representation, warranty, guaranty, indemnity, duty or obligation made under this Lease, if not cured within fifteen (15) days from the date of written notice from the nonbreaching party shall automatically and without further notice hereunder be an immediate Event of Default, entitling the non-breaching party to any and all remedies available to it hereunder or in law of equity provided, however, that if the breach is not reasonably capable of being cured within the aforesaid fifteen (15) days by the breaching party commenced to cure a within said period, the breaching party shall notify the non-breaching party in writing of the commencement of such a cure, and thereafter diligently pursues the same to conclusion and successfully completes said cure within sixty (60) days of receipt of notice of said breach or violation, it shall not be an Event of Default hereunder; or
(3) Any vacation or abandonment of the Premises for more than fourteen (14) consecutive days; or
(4) The appointment of a receiver to take possession of all or substantially all of the assets of Tenant, or an assignment by Tenant for the benefit of creditors, or any action taken or suffered by Tenant under any insolvency, bankruptcy, reorganization, moratorium or other debtor relief act or statute, whether now existing or hereafter amended or enacted, if any such receiver, assignment or action is not released, discharged, dismissed or vacated within sixty (60) days.

5. Maintenance. Tenant shall, at Tenant’s sole cost and expense, maintain the Premises in a neat and clean condition, and shall be responsible for daily and continuous custodial care of the Premises. Said maintenance shall include routine weed abatement, removal of foreign objects and debris associated with access to and retrieval of equipment, and general cleanliness of the lease area. If Tenant fails to maintain the Premises in good order and repair, after thirty (30) days' prior written notice, Landlord may, at its option, make such repairs, and Tenant shall pay the reasonable cost thereof as additional rent hereunder within ten (10) days after receipt of a written statement therefor. In the event the giving of thirty (30) days' prior notice may result in additional damage to the Premises, Landlord may make such repairs, at Tenant's expense, without thirty days' prior written notice.

6. Improvements, Alterations. Tenant shall not cause or make any physical changes, site improvements or alterations to the Premises without the prior written consent of Landlord.

7. Access. This Agreement does not grant to Tenant any right, authority or access to any part of the airport, including but not limited to aircraft operating areas, for Tenant, its employees, customers or the general public, except the Premises and appropriate access thereto through designated routes to the premises.

8. As-Is Condition. Tenant acknowledges and agrees that it has been in possession of the Leased Premises as designated on Exhibit A under previous Agreements and is fully knowledgeable as to

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Attachment 1
4 the condition of the Premises. Tenant agrees to continue to rent the Premises on an “as-is” basis.

Further, Landlord hereby disclaims, and Tenant accepts the disclaimer of, any warranty, either express or implied, of the condition of the Premises. Tenant assumes full responsibility for the condition of the Premises and agrees to maintain and operate the Premises in a clean and efficient manner, acceptable to Landlord, subject to the continued and ongoing monitoring and inspection by Landlord to determine condition and compliance. Landlord makes no representations regarding the condition, status, compliance with laws or suitability for a particular purpose for Tenant's use.

9. Surrender of Premises. Upon termination of occupancy of the Premises, Tenant agrees to surrender the Premises to Landlord, return all keys to Landlord, and return all elements of the Premises to its former condition, including, if necessary, earthwork and grading of the site.

10. Utilities. Landlord does not agree to provide any utilities, with the exception of water service.

11. Insurance and Indemnity.

11.1 Landlord's Non-liability. Landlord shall not be liable for any loss, damage or injury of any kind to any person or property arising from any use of the Premises, or any part thereof, or caused by any defect in any building, structure or other improvement thereon or in any equipment or other facility therein, or caused by or arising from any act or omission of Tenant or any of its agents, employees, licensees or invitees, or by or from any accident on the Premises or any fire or other casualty thereon, or occasioned by the failure of Tenant to maintain the Premises and all improvements thereto in a safe condition, or arising from any other cause except where caused by the sole negligence of Landlord, its agents or employees.

11.2 Indemnification of Landlord.

A. To the fullest extent permitted by law, Tenant shall, at Tenant's sole expense and with counsel reasonably acceptable to Landlord, defend, indemnify, and hold harmless Landlord and Landlord's officers, officials, employees and agents from and against all claims, (including demands, losses, actions, causes of action, damages, liabilities, expenses, charges, assessments, fines or penalties of any kind, and costs including consultant and expert fees, costs of investigation, court costs and attorney’s fees) from any cause, arising out of or relating (directly or indirectly) to this Agreement, the tenancy created under this Agreement, or the Premises, including without limitation:
i. The use or occupancy, or manner of use or occupancy, of the Premises or buildings by Tenant;
ii. Any act, error or omission, or negligence of Tenant or of any subtenant, invitee, guest, contractor or licensee or Tenant or any subtenant in, on, or about the Premises;
iii. Tenant’s conducting or managing of its business;
iv. Any alterations, activities, work, or things done,
omitted, permitted, allowed, or suffered by Tenant in, at, or about the Premises or buildings, including the violation of or failure to comply with any insurance requirements or any applicable laws, statues, ordinances, standards, rules, regulations, orders, decrees, or judgments in

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Attachment 1
5 existence on the Commencement Date or enacted, promulgated, or issued after the date of this Agreement, and;
v. Any breach or default in performance of any obligation on Tenant’s part to be performed under this Agreement, whether before or during the term of this Agreement or after its expiration or earliest termination.

B. This indemnification extends to and includes, without limitation, claims for:
i. Injury to any persons (including death at any time
resulting from that injury);
ii. Loss of, injury or damage to, or destruction of property (including loss of use at any time resulting from that loss, injury, damage, or destruction); and iii. All economic losses and consequential or resulting damage of any kind.

C. Tenant’s indemnification obligation hereunder shall survive the expiration or earlier termination of this Agreement until all claims against Landlord involving any of the indemnified matters are fully, finally, and absolutely barred by the applicable statutes of limitations.

11.3 Liability Insurance. Tenant shall procure and maintain at all times during the term of this Agreement, at its sole cost and expense, a policy or policies of comprehensive public liability insurance by the terms of which Landlord and Tenant are named as insured and are indemnified against liability for damage or injury to property or person, including death, of any person entering upon or using the Premises or any improvements thereon or any part thereof, with a combined single limit coverage in an amount of not less than Two Million Dollars ($2,000,000.00) and annual aggregate coverage in an amount of not less than Two Million Dollars ($2,000,000.00) applying to injury to or death of any one or more persons arising from the same occurrence and for damage or injury to property. If Landlord's reasonably exercised judgment determines that the liability insurance amounts set forth herein become inadequate, then Landlord may, by written notice, require an increase in coverage commencing with the next policy anniversary date. Such public liability insurance policy or policies shall be stated to be primary and noncontributing with any insurance which may be carried by Landlord and shall contain a provision (provided such provisions are available without increased premium) that the Landlord, although named as an insured shall nevertheless be entitled to recover under that policy for any loss, injury or damage to the Landlord, its agents and employees or the property of such persons by reason of the negligence of Tenant. Worker's compensation insurance shall be in the amounts required by law.

11.4 Endorsements. The following endorsements shall be attached to the liability insurance policy:

A. If the insurance policy insures on an "accident" basis, it shall be changed to an "occurrence" basis.

B. The policy must cover personal injury, as well as bodily injury.

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Attachment 1
6 C. The coverage shall be at least as broad as comprehensive liability and broad form comprehensive general liability or "commercial" general liability.

D. The Landlord, its officers, agents, employees, and volunteers shall be named as insured under the coverage afforded with respect to liability arising out of activities performed by or on behalf of Tenant under this contract. The coverage shall contain no special limitations on the scope of protection afforded to Landlord, its officers, agents, employees and volunteers.

E. An endorsement shall be attached which states that the coverage is primary insurance and that any insurance or self-insurance fund maintained by or available to Landlord or any of its officers, agents, employees or volunteers shall be in excess of Tenant's insurance and shall not be called upon to contribute to a loss covered by the policy.

F. The policy must provide that it shall not be canceled or changed or made the "retroactive date" of the policy or any renewal or replacement policy be changed without thirty (30) days' prior written notice to Landlord.

G. A cross-liability endorsement must be included to the effect that each insured is covered as if separate policies had been issued to each insured.

H. The liability coverage may be either on a blanket basis or a policy which specifically identifies this Agreement with a contractual liability endorsement.

I. Any deductibles or self-insured retention must be declared to and approved by Landlord. At the option of Landlord, the insurer shall reduce or eliminate such deductibles or self-insured retention as respects the Landlord, its officers, agents, employees and volunteers or the Tenant shall procure a bond guaranteeing payment of losses and related investigation, claims administration and defense expenses.

J. If the policy or policies are written on a "claims made" basis, the retroactive date of such policies shall be maintained as the date this Agreement was executed or earlier in time notwithstanding any renewals of such policies or changes in insurance carriers. Further, the reporting period for claims made under such policy or policies shall, at a minimum, continue through sixty (60) days after termination of this Agreement.

11.5. Additional Requirements - Claims Made Policies.

A. Statement of Coverage. If the policy or policies are written on a "claims made" basis, the insurer shall provide Landlord with a statement specifically describing (A) the date coverage began under the policy and the retroactive date for claims received, (B) the reporting period(s) applicable to the policy, and (C) the incident, event and claims notice procedures applicable to the policy and the name and address of the person to whom notice of incidents, events and claims may be given.

B. Notice of Events and Claims. If the policy or policies are written on a "claims made" basis, Tenant shall give its insurance carrier and Landlord written notice of each and every event or incident occurring during the term of this Agreement that may ripen into a claim. Notice shall be given no later than ten (10) days after such event or incident.

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Attachment 1
7 11.6. Fire Insurance. Tenant shall at all times during the term of this Agreement and at its sole expense, procure and maintain in full force a policy or policies of standard fire and extended coverage insurance insuring all improvements on the Premises in an amount equal to not less than the full replacement costs. Tenant agrees to reevaluate insurance coverage at three (3)-year intervals and to increase said coverage if it shall be less than the then full replacement cost of the improvements on the Premises. The amount of the full replacement cost shall be determined in writing by the carrier of insurance then in force and shall be binding on the parties for the purpose of this paragraph. The insurance policies insuring against fire or other casualty shall include a "Loss Payee" endorsement issued in favor of Landlord and the interest of the holder of any "mortgage" executed by Tenant in connection with obtaining of any interim or permanent financing with respect to the Premises and said policies shall provide that any loss is payable jointly to Landlord, Tenant and the holder, if any, of a "mortgage" in the Tenant's interest under this Agreement. Proceeds from any insurance policy shall be used in accordance with the provisions of this Agreement dealing with use of insurance funds for repair and restoration.

11.7. Certificates or Policies of Insurance. All policies of insurance procured and maintained by Tenant hereunder shall be issued by companies authorized to do business in California having not less than Best's A rating and shall be issued in the name of the Landlord and Tenant for the mutual and joint benefit and protection of the parties. Executed copies of all insurance policies or a certificate thereof shall be delivered to Landlord on the Commencement Date and shall contain a provision that not less than thirty (30) days' written notice shall be given to Landlord prior to the cancellation, reduction of coverage, expiration or any material change in any such policy.

11.8. Use of Insurance Funds for Repair and Restoration. In the event any buildings, structures or improvements located on the Premises are damaged by fire or other casualty, any such sums as are received from or on account of any policy of insurance covering the same shall, except as provided in Section 10 below, be expended for the restoration, repair or replacement of said buildings, structures or improvements.

11.9. Failure to Provide Insurance. If Tenant fails or refuses to procure or to maintain insurance as required by this Agreement or fails or refuses to furnish Landlord with required proof that the insurance has been procured and is in force and paid for, Landlord shall have the right at Landlord's election, without notice, to procure and maintain such insurance. The premiums paid by Landlord shall be treated as added rent due from Tenant with interest at the Bank of America prime rate, to be paid within thirty (30) days of demand. Landlord shall give prompt notice of the payment of such premiums, stating the amounts paid and the names of the insurer or insurers.

11.10. Waiver of Subrogation. The parties hereby release each other, and their respective representatives, from any claims for damage to any person or to the Premises and the improvements which may be located upon the Premises and to the fixtures, personal property, Tenant's improvements and alterations of Tenant in or on the Premises and the improvements which may be located upon the Premises that are caused by or result from risks insured against under any insurance policies carried by the parties hereto and in force at the time of any such damage. Each party hereto shall cause each insurance policy obtained by it to provide that the insurance company waives all right of recovery by way of subrogation against either party in connection with any damage covered by any policy, provided obtaining such a waiver in each such policy is then available at a reasonable charge.

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Attachment 1
8 If Tenant fails or refuses to procure or to maintain insurance as required by this Agreement or fails or refuses to furnish Landlord with required proof that the insurance has been procured and is in force and paid for, Landlord shall have the right to procure and maintain such insurance at Tenant’s sole cost and expense.

12. Rules and Regulations. Tenant agrees to abide by all rules and regulations, as amended from time to time, of the Federal Aviation Agency, the State of California, and the City of El Paso de Robles, and other duly constituted public authorities having jurisdiction over the Airport.

13. Hazardous Materials. Tenant shall not cause or permit any Hazardous Materials, as defined below, to be brought upon, kept, used, discharged, deposited or leaked in or about the Premises or the Property by Tenant or any of Tenant's agents or by anyone in the Premises (other than Landlord or its agents, employees or contractors), except to the extent such Hazardous Materials are used for cleaning and are kept and used in accordance with all applicable laws. If Tenant breaches the obligations stated in the preceding sentence, or if the presence of any Hazardous Material on the Premises or the Property caused or suffered or permitted by Tenant or any of Tenant's agents or by anyone in the Premises (other than Landlord or its agents, employees or contractors) results in contamination of the Premises or the Property, or if contamination of the Premises or the Property by any Hazardous Material otherwise occurs for which Tenant is legally liable, then Tenant shall indemnify, defend and hold Landlord harmless from any and all claims, damages, costs, liabilities and expenses (including, without limitation, diminution in value or use of the Property, attorneys' fees, consultant fees and expert fees) which arise during or after the Term as a result of such contamination. This indemnification shall include, without limitation, costs incurred in connection with any investigation of site conditions or any clean-up, remedial, removal or restoration work on or under the Premises. "Hazardous Material" means any hazardous or toxic substance, material or waste which is or becomes regulated by any local, state or federal governmental authority or by common law decisions, including without limitation (i) all chlorinated solvents, (ii) petroleum products or by-products, (iii) asbestos and (iv) polychlorinated biphenyls.

14. Premises Inspection. Landlord, its agents or employees, upon prior written reasonable notice, shall have the right to enter upon the Premises at such times as Landlord may deem expedient for the purpose of inspecting said Premises during normal business hours.

15. No Assignment. Tenant shall not assign or sublet all or any portion of the Premises, and shall not assign, encumber or otherwise transfer any of its rights under this Agreement without the prior written consent of Landlord, which may be withheld in Landlord’s sole discretion.

16. No Waiver. Consent, waiver or compromise by Landlord of any of the provisions of this Agreement shall not be construed as a waiver of the Landlord’s right to enforce the remaining terms and conditions of this Agreement.

17. Notices. Tenant agrees to notify Landlord in writing within ten (10) days of change of any personal information furnished to Landlord in connection with this Agreement. All notices required by this Agreement shall be deemed delivered upon personal delivery or deposit in the United States Mail, first class postage prepaid, addressed as follows:

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Attachment 1
9 If to Landlord: City of El Paso de Robles
1000 Spring Street
Paso Robles, CA 93446
If to Tenant: Ontiveros, INC
Joseph P Ontiveros
730 South Main Street
Templeton, CA 93465

18. Attorneys' Fees. If any party commences an action against the other party arising out of or in connection with this Agreement, the prevailing party or parties shall be entitled to recover from the losing party or parties reasonable attorneys' fees and costs of suit.

19. No Brokers. Tenant and Landlord each warrant to the other that it has had no dealings with any real estate broker or agent in connection with the negotiation of this Agreement and that it knows of no real estate broker or agent who is or might be entitled to a commission in connection with this Agreement. Each party to this Agreement shall indemnify, defend and hold harmless the other party from and against any and all claims asserted against such other party by any real estate broker, finder or intermediary relating to any act of the indemnifying party in connection with this Agreement.

20. Governing Law. This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of California. The provisions of this Agreement shall be construed in accordance with the fair meaning of the language used and shall not be strictly construed against either party.

21. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the City of El Paso de Robles, its successors and assigns and Lessee and its permitted successors and assigns.

22. Invalidity of Provisions. If any provision of this Agreement is found to be invalid or unenforceable by any court of competent jurisdiction, the invalidity or unenforceability of any such provision shall not affect the validity and enforceability of the remaining provisions hereof.

23. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original part and all of which together shall constitute a single agreement.

24. Inspection by Certified Access Specialist. Landlord discloses that the Premises have not undergone inspection by a Certified Access Specialist as referenced in California Civil Code Section 1938 subsection (e) which provides: "A Certified Access Specialist (CASp) can inspect the subject premises and determine whether the subject premises comply with all of the applicable construction-related accessibility standards under state law. Although state law does not require a CASp inspection of the subject premises, the commercial property owner or Landlord may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the lessee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises." Pursuant to the foregoing Section 1938(e), Tenant acknowledges and agrees that, if Tenant wishes to have the Premises inspected by a CASp: (i) Tenant must notify Landlord on or before the date when Tenant executes this Agreement pursuant to the

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Attachment 1
10 election below; (ii) the inspection will be at Tenant's sole cost and expense; (iii) the inspection must be scheduled through Landlord and in coordination with the Building’s property manager; (iv) any repairs or modifications necessary to correct any violation of construction-related accessibility standards that is noted in the CASp report shall be Tenant’s responsibility; and (v) Tenant must provide a copy of the CASp report to Landlord on completion. By initialing below, Tenant represents that:

Tenant wishes to have a CASp inspection of the Premises Initials: ______________ Tenant hereby waives its right to have a CASp inspection of the Premises Initials:
____________

25. Revenue & Taxation Code Section 107.6 Possessory Interest Tax. Tenant recognizes and understands that this Agreement may create a possessory interest subject to property taxes and that, if a possessory interest is created, Tenant shall, be responsible for payment of property taxes levied against such possessory interest.

26. Entire Agreement/Amendment. This Agreement contains the entire agreement of the parties and supersedes all prior negotiations, drafts, and other understandings which the parties may have concerning the subject matter hereof. This Agreement may not be modified except by written instrument duly executed by the parties hereto or their successors in interest.

27. Authority/Consents & Approvals. Each of the persons executing this Agreement on behalf of Tenant warrants and represents that Tenant is a duly organized and validly existing entity, that Tenant has full right and authority to enter into this Agreement and that the persons signing on behalf of Tenant are authorized to do so and have the power to bind Tenant to this Agreement. Tenant shall provide Landlord upon request with evidence reasonably satisfactory to Landlord confirming the foregoing representations. The approval of Landlord, wherever required in this Agreement, shall mean the approval of the City Manager.

28. Recordation. Tenant shall not record this Agreement or a short form memorandum hereof without Landlord’s prior written approval.

29. Reserved.

30. Compliance with Federal Requirements

30.1 Tenant, for itself, its heirs, personal representatives, successors in interest, sublessees and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land that in the event facilities are constructed, maintained or otherwise operated on the said property described in this Lease for a purpose for which a Department of Transportation program or activity is extended or for another purpose involving the provision of similar services or benefits, Tenant shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-Assisted Programs of the Department of Transportation- Effectuation of Title VI of the Civil Rights Act of 1964, or as said Regulations may be amended.

30.2 Tenant, for itself, its personal representatives, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running

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Attachment 1
11 with the land: (A) that no person on the grounds of race, color or national origin shall be excluded from participation in, denied the benefits of or be otherwise subjected to discrimination in the use of said facilities; (B) that in the construction of any improvements on, over or under such land and the furnishing of services thereon, no person on the grounds of race, color or national origin shall be excluded from participation in, denied the benefits of or otherwise be subject to discrimination; and (C) that Tenant shall use the Premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally- Assisted Programs of the Department of TransportationEffectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended.

30.3. Tenant agrees that it shall insert Sections 30.1 and 30.2 in any lease agreement by which said Tenant grants a right or privilege to any person, firm or corporation to render accommodations and/or services to the public on the Premises herein leased.

IN WITNESS WHEREOF, this Agreement is executed as of the date first written above.

Landlord: City of El Paso de Robles Tenant: Ontiveros, INC ________________________________ ________________________________ Ty Lewis, City Manager Joseph P. Ontiveros
ATTEST:
______
Melissa Boyer, City Clerk

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Attachment 1
1 Exhibit A

MAP SHOWING PREMISES
Exterior Terrace 550 SF
Dining 660 SF
Kitchen 510 SF
Totaling 1720 SF

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Attachment 2
1 CITY OF EL PASO DE ROBLES

SHORT-TERM RENTAL AGREEMENT

RECITALS
A. On June 5, 2023 the Tenant entered into that certain Short-Term Sub-Lease Agreement with Aviation Consultants Inc. (ACI) (the "Original Agreement") for the operation of their business located in the commercial/office spaces located at the Paso Robles Municipal Airport, 4990 Wing Way, Paso Robles, CA 93446 (the "Original Premises").

B. At that time of the Original Agreement, ACI was the fixed based operator (FBO) at the Paso Robles Municipal Airport and subleased the premises to Air Methods.

C. Pending expiration on May 1 2021 the ACI FBO through administrative action the ACI FBO contract was set to month to month status.

E. Landlord and Tenant now desire to enter into a new short-term rental agreement in accordance with adopted Leasing Policy in order to allow the Tenant to continue operation of its aviation business at the Paso Robles Municipal Airport .

AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged, City and Tenant agree as follows:

1. Premises. In consideration of the payment of a monthly rental fee, and on the terms and conditions set forth herein, Landlord agrees to rent to Tenant the following described area (herein the “Premises”) ~200 SF of unassigned commercial office space on the second floor, two (2) unassigned car parking spaces, and access to the restroom area and shared exterior deck located at 4990 Wing Way, Paso Robles, CA 93446 (the "Premises"), all as depicted on Exhibit “A,” attached hereto and incorporated herein by reference.

2. Use of Premises. Landlord hereby rents to Tenant, and Tenant hires from Landlord, the Premises for the purpose operating the Tenant’s Flight School business operations at the airport, and for no other purposes without the prior written consent of Landlord. In addition, any conduct of business on the Premises shall be subject to the current Airport Rules & Regulations, Minimum Standards for

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Attachment 2
2 Aeronautical Activities and adopted City Ordinances applicable to the conduct of said business within the City.

3. Rental Rate. The monthly rental rate for the Premises shall be $400 payable monthly in advance. The first full payment of rent shall be paid in full on or prior to the Effective Date of this Agreement (September 30, 2024 at 7:31 PM), and each subsequent payment of rent shall be due and payable on the first day of each calendar month thereafter. The monthly rental rate set forth above shall be escalated on July 1st following the first anniversary of the Effective Date and on July 1st of every year thereafter ("Adjustment Date") for the full term of this Lease, including any extensions, the Base Rent shall be increased by the same percentage increase as defined by the Consumer Price Index for the previous 12-month period. The standard to be used shall be the Consumer Price Index for all Urban Consumers San Francisco-Oakland Metropolitan area, Bureau of Labor Statistics, United States Department of Labor, 1982 = 100 ("Index"). The index which is published most immediately before the Adjustment Date shall be used. If the Index shall no longer be published, another Index generally recognized as authoritative for purposes of this paragraph shall be substituted. In addition to annual Consumer Price Index adjustments, in order to keep lease rates in line with fair market values throughout the life of the lease; base rent adjustments, if necessary, can be made every five years with adjustments to be determined by a rent study. The annual increase in monthly rent shall increase no more than Eight percent (8%) in any given year or twenty percent (20%) in any five-year period including any adjustment to Base Rent upon results of the rent study. In no event shall the rent adjustment be less than two percent (2%) per year. In the event that the Base Rent will be adjusted by rent study, the City shall, at its own cost and expense, be responsible for selecting and hiring an appraiser. All rent paid by Tenant to Landlord shall be in lawful money of the United States of America and shall be paid without deduction or offset, prior notice or demand, and at such place or places as may be designated from time to time by Landlord.

4. Term; Extensions; Termination. The term of this Agreement shall commence on the Effective Date (September 30, 2024 at 7:31 PM), and shall continue for a period of one (1) year. Absent written notice from either party to the contrary, this Agreement shall automatically extend for one (1) additional year, and subsequently each year thereafter, up to a maximum five (5) year term under this Agreement. Any such extensions shall be on the same terms and conditions as set forth in this Agreement, including without limitation the annual increase in rent provided for in Section 3.

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Attachment 2
3 4.2 Default. Any of the following events or occurrences shall constitute a material breach of this Lease and shall constitute an Event of Default:
(1) Any failure to pay any rent or other sums as and when due, provided Tenant shall have a period of three (3) days from the date of written notice of such failure from City within which to cure any default in the payment of rent or other sums. City shall not be required to provide such notice regarding Tenant’s failure to make such payments when due more than twice during any calendar year, and any such failure by Tenant after Tenant has received two (2) such notices in any calendar year shall constitute a default by Tenant hereunder without any requirement on the part of the City to give Tenant notice of such failure or an opportunity to cure; or (2) The failure to perform or comply with any condition, term, provision, promise, covenant, agreement, representation, warranty, guaranty, indemnity, duty or obligation made under this Lease, if not cured within fifteen (15) days from the date of written notice from the nonbreaching party shall automatically and without further notice hereunder be an immediate Event of Default, entitling the non-breaching party to any and all remedies available to it hereunder or in law of equity provided, however, that if the breach is not reasonably capable of being cured within the aforesaid fifteen (15) days by the breaching party commenced to cure a within said period, the breaching party shall notify the non-breaching party in writing of the commencement of such a cure, and thereafter diligently pursues the same to conclusion and successfully completes said cure within sixty (60) days of receipt of notice of said breach or violation, it shall not be an Event of Default hereunder; or
(3) Any vacation or abandonment of the Premises for more than fourteen (14) consecutive days; or
(4) The appointment of a receiver to take possession of all or substantially all of the assets of Tenant, or an assignment by Tenant for the benefit of creditors, or any action taken or suffered by Tenant under any insolvency, bankruptcy, reorganization, moratorium or other debtor relief act or statute, whether now existing or hereafter amended or enacted, if any such receiver, assignment or action is not released, discharged, dismissed or vacated within sixty (60) days.

6. Improvements, Alterations. Tenant shall not cause or make any physical changes, site improvements or alterations to the Premises without the prior written consent of Landlord.

7. Access. This Agreement does not grant to Tenant any right, authority or access to any part of the airport, including but not limited to aircraft operating areas, for Tenant, its employees,

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Attachment 2
4 customers or the general public, except the Premises and appropriate access thereto through designated routes to the premises.

8. As-Is Condition. Tenant acknowledges and agrees that it has been in possession of the Leased Premises as designated on Exhibit A under previous Agreements and is fully knowledgeable as to the condition of the Premises. Tenant agrees to continue to rent the Premises on an “as-is” basis.

10. Utilities. Landlord agrees to provide water, sewer, power utilities.

11. Insurance and Indemnity.

11.2 Indemnification of Landlord.

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Attachment 2
5 iv. Any alterations, activities, work, or things done, omitted, permitted, allowed, or suffered by Tenant in, at, or about the Premises or buildings, including the violation of or failure to comply with any insurance requirements or any applicable laws, statues, ordinances, standards, rules, regulations, orders, decrees, or judgments in existence on the Commencement Date or enacted, promulgated, or issued after the date of this Agreement, and;
v. Any breach or default in performance of any obligation on Tenant’s part to be performed under this Agreement, whether before or during the term of this Agreement or after its expiration or earliest termination.

11.4 Endorsements. The following endorsements shall be attached to the liability insurance policy:

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Attachment 2
6 A. If the insurance policy insures on an "accident" basis, it shall be changed to an "occurrence" basis.

B. The policy must cover personal injury, as well as bodily injury.

C. The coverage shall be at least as broad as comprehensive liability and broad form comprehensive general liability or "commercial" general liability.

G. A cross-liability endorsement must be included to the effect that each insured is covered as if separate policies had been issued to each insured.

H. The liability coverage may be either on a blanket basis or a policy which specifically identifies this Agreement with a contractual liability endorsement.

11.5. Additional Requirements - Claims Made Policies.

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Attachment 2
7 B. Notice of Events and Claims. If the policy or policies are written on a "claims made" basis, Tenant shall give its insurance carrier and Landlord written notice of each and every event or incident occurring during the term of this Agreement that may ripen into a claim. Notice shall be given no later than ten (10) days after such event or incident.

11.6. Fire Insurance. Tenant shall at all times during the term of this Agreement and at its sole expense, procure and maintain in full force a policy or policies of standard fire and extended coverage insurance insuring all improvements on the Premises in an amount equal to not less than the full replacement costs. Tenant agrees to reevaluate insurance coverage at three (3)-year intervals and to increase said coverage if it shall be less than the then full replacement cost of the improvements on the Premises. The amount of the full replacement cost shall be determined in writing by the carrier of insurance then in force and shall be binding on the parties for the purpose of this paragraph. The insurance policies insuring against fire or other casualty shall include a "Loss Payee" endorsement issued in favor of Landlord and the interest of the holder of any "mortgage" executed by Tenant in connection with obtaining of any interim or permanent financing with respect to the Premises, and said policies shall provide that any loss is payable jointly to Landlord, Tenant and the holder, if any, of a "mortgage" in the Tenant's interest under this Agreement. Proceeds from any insurance policy shall be used in accordance with the provisions of this Agreement dealing with use of insurance funds for repair and restoration.

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Attachment 2
8 located upon the Premises that are caused by or result from risks insured against under any insurance policies carried by the parties hereto and in force at the time of any such damage. Each party hereto shall cause each insurance policy obtained by it to provide that the insurance company waives all right of recovery by way of subrogation against either party in connection with any damage covered by any policy, provided obtaining such a waiver in each such policy is then available at a reasonable charge.

If Tenant fails or refuses to procure or to maintain insurance as required by this Agreement or fails or refuses to furnish Landlord with required proof that the insurance has been procured and is in force and paid for, Landlord shall have the right to procure and maintain such insurance at Tenant’s sole cost and expense.

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Attachment 2
9 17. Notices. Tenant agrees to notify Landlord in writing within ten (10) days of change of any personal information furnished to Landlord in connection with this Agreement. All notices required by this Agreement shall be deemed delivered upon personal delivery or deposit in the United States Mail, first class postage prepaid, addressed as follows:

If to Landlord: City of El Paso de Robles
1000 Spring Street
Paso Robles, CA 93446
If to Tenant: Soar Paso LLC
Nicholas R. Wilcox
101 N. Main Street, Unit 1446
Templeton, CA 93465

21. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the City of El Paso de Robles, its successors and assigns and Lessee and its permitted successors and assigns.

23. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original part and all of which together shall constitute a single agreement.

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Attachment 2
10 the lessee or tenant, if requested by the lessee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises." Pursuant to the foregoing Section 1938(e), Tenant acknowledges and agrees that, if Tenant wishes to have the Premises inspected by a CASp: (i) Tenant must notify Landlord on or before the date when Tenant executes this Agreement pursuant to the election below; (ii) the inspection will be at Tenant's sole cost and expense; (iii) the inspection must be scheduled through Landlord and in coordination with the Building’s property manager; (iv) any repairs or modifications necessary to correct any violation of construction-related accessibility standards that is noted in the CASp report shall be Tenant’s responsibility; and (v) Tenant must provide a copy of the CASp report to Landlord on completion. By initialing below, Tenant represents that:

Tenant wishes to have a CASp inspection of the Premises Initials: ______________ Tenant hereby waives its right to have a CASp inspection of the Premises Initials:
____________

28. Recordation. Tenant shall not record this Agreement or a short form memorandum hereof without Landlord’s prior written approval.

29. Reserved.

30. Compliance with Federal Requirements

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Attachment 2
11 other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-Assisted Programs of the Department of Transportation- Effectuation of Title VI of the Civil Rights Act of 1964, or as said Regulations may be amended.

30.2 Tenant, for itself, its personal representatives, successors in interest and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land: (A) that no person on the grounds of race, color or national origin shall be excluded from participation in, denied the benefits of or be otherwise subjected to discrimination in the use of said facilities; (B) that in the construction of any improvements on, over or under such land and the furnishing of services thereon, no person on the grounds of race, color or national origin shall be excluded from participation in, denied the benefits of or otherwise be subject to discrimination; and (C) that Tenant shall use the Premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally- Assisted Programs of the Department of TransportationEffectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended.

IN WITNESS WHEREOF, this Agreement is executed as of the date first written above.

Landlord: City of El Paso de Robles Tenant: Soar Paso LLC. ________________________________ ________________________________ Ty Lewis, City Manager Nick Wilcox, Owner
ATTEST:
______
Melissa Boyer, City Clerk

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Attachment 2
1 Exhibit A

MAP SHOWING PREMISES
Two (2) unassigned Car Parking Spaces in the main parking lot for the building excluding the are depicted below in red.
~200 SF of unassigned office space on the second floor of the building at 4990 Wing Way as determined by Airport Manager. Areas not included depicted below with a red “X”

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Attachment 3
1 CITY OF EL PASO DE ROBLES

SHORT-TERM RENTAL AGREEMENT

RECITALS
A. On June 1, 2020 the Tenant entered into that certain Short-Term Sub-Lease Agreement with Aviation Consultants Inc. (ACI) (the "Original Agreement") for the operation of their business located in the commercial/office spaces located at the Paso Robles Municipal Airport, 4990 Wing Way, Paso Robles, CA 93446 (the "Original Premises").

B. At that time of the Original Agreement, ACI was the fixed based operator (FBO) at the Paso Robles Municipal Airport and subleased the premises to Air Methods.

C. Pending expiration on May 1 2021 the ACI FBO through administrative action the ACI FBO contract was set to month to month status.

E. Landlord and Tenant now desire to enter into a new short-term rental agreement in accordance with adopted Leasing Policy in order to allow the Tenant to continue operation of its aviation business at the Paso Robles Municipal Airport .

AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are acknowledged, City and Tenant agree as follows:

1. Premises. In consideration of the payment of a monthly rental fee, and on the terms and conditions set forth herein, Landlord agrees to rent to Tenant the following described area for its exclusive use (herein the “Premises”) 3,884 SF of commercial office space on the first floor, , ten (10) car parking spaces, and approximately 12,000 SF of associated aircraft ramp space located at 4990 Wing Way, Paso Robles, CA 93446 (the "Premises"), all as depicted on Exhibit “A,” attached hereto and incorporated herein by reference.

2. Use of Premises. Landlord hereby rents to Tenant, and Tenant hires from Landlord, the Premises for the purpose operating the Tenant’s Air Ambulance business operations at the airport, including crew sleeping quarters, and for no other purposes without the prior written consent of Landlord. In addition, any conduct of business on the Premises shall be subject to the current Airport

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Attachment 3
2 Rules & Regulations, Minimum Standards for Aeronautical Activities and adopted City Ordinances applicable to the conduct of said business within the City. The Tenant agrees it will not use or permit to be used the premises for permanent living quarters.

3. Rental Rate. The monthly rental rate for the Premises shall be $6,786 payable monthly in advance. The first full payment of rent shall be paid in full on or prior to the Effective Date of this Agreement September 30, 2024 at 7:31 PM, and each subsequent payment of rent shall be due and payable on the first day of each calendar month thereafter. The monthly rental rate set forth above shall be escalated on July 1st following the first anniversary of the Effective Date and on July 1st of every year thereafter ("Adjustment Date") for the full term of this Lease, including any extensions, the Base Rent shall be increased by the same percentage increase as defined by the Consumer Price Index for the previous 12-month period. The standard to be used shall be the Consumer Price Index for all Urban Consumers San Francisco-Oakland Metropolitan area, Bureau of Labor Statistics, United States Department of Labor, 1982 = 100 ("Index"). The index which is published most immediately before the Adjustment Date shall be used. If the Index shall no longer be published, another Index generally recognized as authoritative for purposes of this paragraph shall be substituted. In addition to annual Consumer Price Index adjustments, in order to keep lease rates in line with fair market values throughout the life of the lease; base rent adjustments, if necessary, can be made every five years with adjustments to be determined by an appraisal of real property. The annual increase in monthly rent shall increase less than two percent (2%) and no more than Eight percent (8%) in any given year. In the event that the Base Rent will be adjusted by appraisal, the City shall, at its own cost and expense, be responsible for selecting and hiring an appraiser. All rent paid by Tenant to Landlord shall be in lawful money of the United States of America and shall be paid without deduction or offset, prior notice or demand, and at such place or places as may be designated from time to time by Landlord.

4.1 Notwithstanding the foregoing, either Party may terminate this Agreement for an Event of Default as more particularly described in Section 4.2 of this Agreement. at any time by giving written notice of such termination to the other party not less than ninety (90) days prior to the date of such termination stated in said notice. Upon or prior to the date of termination of this Agreement, Tenant shall vacate the Premises and return the Premises to its original appearance and condition, as more fully described in Section 9 hereof. Upon failure by Tenant to vacate the Premises by the termination date, Landlord may remove all of Tenant’s personal property and effects other than any Tenant aircraft, and Tenant shall, within ten (10) days of receipt of notice from Landlord, reimburse to Landlord any costs and expenses incurred by Landlord for such removal of Tenant’s personal property and effects, plus an administrative charge in the amount of ten percent (10%) of the cost thereof.

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Attachment 3
3 4.2 Default. Any of the following events or occurrences shall constitute a material breach of this Lease and shall constitute an Event of Default:
(1) Any failure to pay any rent or other sums as and when due, provided Tenant shall have a period of three (3) days from the date of written notice of such failure from City within which to cure any default in the payment of rent or other sums. City shall not be required to provide such notice regarding Tenant’s failure to make such payments when due more than twice during any calendar year, and any such failure by Tenant after Tenant has received two (2) such notices in any calendar year shall constitute a default by Tenant hereunder without any requirement on the part of the City to give Tenant notice of such failure or an opportunity to cure; or (2) The failure to perform or comply with any condition, term, provision, promise, covenant, agreement, representation, warranty, guaranty, indemnity, duty or obligation made under this Lease, if not cured within fifteen (15) days from the date of written notice from the nonbreaching party shall automatically and without further notice hereunder be an immediate Event of Default, entitling the non-breaching party to any and all remedies available to it hereunder or in law of equity provided, however, that if the breach is not reasonably capable of being cured within the aforesaid fifteen (15) days by the breaching party commenced to cure a within said period, the breaching party shall notify the non-breaching party in writing of the commencement of such a cure, and thereafter diligently pursues the same to conclusion and successfully completes said cure within sixty (60) days of receipt of notice of said breach or violation, it shall not be an Event of Default hereunder; or
(3) Any vacation or abandonment of the Premises for more than fourteen (14) consecutive days; or
(4) The appointment of a receiver to take possession of all or substantially all of the assets of Tenant, or an assignment by Tenant for the benefit of creditors, or any action taken or suffered by Tenant under any insolvency, bankruptcy, reorganization, moratorium or other debtor relief act or statute, whether now existing or hereafter amended or enacted, if any such receiver, assignment or action is not released, discharged, dismissed or vacated within sixty (60) days.

5. Maintenance. Tenant shall, at Tenant’s sole cost and expense, maintain the Premises in a neat and clean condition, and shall be responsible for daily and continuous custodial care of the Premises. Landlord shall, at its sole cost and expenses, maintain the exterior of the Premises (roof, paint, walls, foundation), the mainline utilities that serve the Premises, and the common areas of the Premises (parking lot). Said maintenance shall include routine weed abatement, removal of foreign objects and debris associated with access to and retrieval of equipment, and general cleanliness of the lease area. If Tenant fails to maintain the Premises in good order and repair, after thirty (30) days' prior written notice, Landlord may, at its option, make such repairs, and Tenant shall pay the reasonable cost thereof as additional rent hereunder within ten (10) days after receipt of a written statement therefor.

In the event the giving of thirty (30) days' prior notice may result in additional damage to the Premises, Landlord may make such repairs, at Tenant's expense, without thirty days' prior written notice.

6. Improvements, Alterations. Tenant shall not cause or make any physical changes, site improvements or alterations to the Premises without the prior written consent of Landlord.

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Attachment 3
4 7. Access. This Agreement does not grant to Tenant any right, authority or access to any part of the airport, including but not limited to aircraft operating areas, for Tenant, its employees, customers or the general public, except the Premises and appropriate access thereto through designated routes to the premises.

10. Utilities. Landlord does not agree to provide any utilities.

11. Insurance and Indemnity.

11.2 Indemnification of Landlord.

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Attachment 3
5 iii. Tenant’s conducting or managing of its business; iv. Any alterations, activities, work, or things done,
omitted, permitted, allowed, or suffered by Tenant in, at, or about the Premises or buildings, including the violation of or failure to comply with any insurance requirements or any applicable laws, statues, ordinances, standards, rules, regulations, orders, decrees, or judgments in existence on the Commencement Date or enacted, promulgated, or issued after the date of this Agreement, and;
v. Any breach or default in performance of any obligation on Tenant’s part to be performed under this Agreement, whether before or during the term of this Agreement or after its expiration or earliest termination.

11.3 Liability Insurance. Tenant shall procure and maintain at all times during the term of this Agreement, at its sole cost and expense, a policy or policies of comprehensive public liability insurance by the terms of which Landlord and Tenant are named as insured and are indemnified against liability for damage or injury to property or person, including death, of any person entering upon or using the Premises or any improvements thereon or any part thereof, with a combined single limit coverage in an amount of not less than Two Million Dollars ($2,000,000.00) and annual aggregate coverage in an amount of not less than Two Million Dollars ($2,000,000.00) applying to injury to or death of any one or more persons arising from the same occurrence and for damage or injury to property. If Landlord's reasonably exercised judgment determines that the liability insurance amounts set forth herein become inadequate, then Landlord may, by one hundred and twenty (120) days’ prior written notice, require an increase in coverage commencing with the next policy anniversary date. Such public liability insurance policy or policies shall be stated to be primary and noncontributing with any insurance which may be carried by Landlord and shall contain a provision (provided such provisions are available without increased premium) that the Landlord, although named as an insured shall nevertheless be entitled to recover under that policy for any loss, injury or damage to the Landlord, its agents and employees or the property of such persons by reason of the negligence of Tenant. Worker's compensation insurance shall be in the amounts required by law.

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Attachment 3
6 11.4 Endorsements. The following endorsements shall be attached to the liability insurance policy:

A. If the insurance policy insures on an "accident" basis, it shall be changed to an "occurrence" basis.

B. The policy must cover personal injury, as well as bodily injury.

C. The coverage shall be at least as broad as comprehensive liability and broad form comprehensive general liability or "commercial" general liability.

F. The policy must provide that it shall not be canceled without thirty (30) days' prior written notice to Landlord.

G. A cross-liability endorsement must be included to the effect that each insured is covered as if separate policies had been issued to each insured.

H. The liability coverage may be either on a blanket basis or a policy which specifically identifies this Agreement with a contractual liability endorsement.

I. Reserved
J. If the policy or policies are written on a "claims made" basis, the retroactive date of such policies shall be maintained as the date this Agreement was executed or earlier in time notwithstanding any renewals of such policies or changes in insurance carriers. Further, the reporting period for claims made under such policy or policies shall, at a minimum, continue through sixty (60) days after termination of this Agreement.

11.5. Additional Requirements - Claims Made Policies.

B. Notice of Events and Claims. If the policy or policies are written on a "claims made" basis, Tenant shall endeavor to give its insurance carrier and Landlord written notice of

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Attachment 3
7 each and every event or incident occurring during the term of this Agreement that may ripen into a claim. Notice shall be given no later than ten (10) days after such event or incident.

11.7. Certificates or Policies of Insurance. All policies of insurance procured and maintained by Tenant hereunder shall be issued by companies authorized to do business in California having not less than Best's A rating and shall be issued in the name of the Landlord and Tenant for the mutual and joint benefit and protection of the parties. Copies of a certificate thereof shall be delivered to Landlord on the Commencement Date and shall contain a provision that not less than thirty (30) days' written notice shall be given to Landlord prior to the cancellation, expiration in any such policy.

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Attachment 3
8 12. Rules and Regulations. Tenant agrees to abide by all rules and regulations, as amended from time to time, of the Federal Aviation Agency, the State of California, and the City of El Paso de Robles, and other duly constituted public authorities having jurisdiction over the Airport.

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Attachment 3
9 If to Landlord: City of El Paso de Robles
1000 Spring Street
Paso Robles, CA 93446
If to Tenant:

Air Methods, LLC
5500 S. Quebec St., Ste. 300
Greenwood Village, CO 80111
Attn: Vice President, PacWest Region
With a copy to:
5500 S. Quebec St., Ste. 300
Greenwood Village, CO 80111
Attn: Legal Department
Email: [email protected]

19. No Brokers. Tenant and Landlord each warrants to the other that it has had no dealings with any real estate broker or agent in connection with the negotiation of this Agreement and that it knows of no real estate broker or agent who is or might be entitled to a commission in connection with this Agreement. Each party to this Agreement shall indemnify, defend and hold harmless the other party from and against any and all claims asserted against such other party by any real estate broker, finder or intermediary relating to any act of the indemnifying party in connection with this Agreement.

21. Binding Effect. This Agreement shall be binding upon and inure to the benefit of the City of El Paso de Robles, its successors and assigns and Lessee and its permitted successors and assigns.

23. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original part and all of which together shall constitute a single agreement.

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Attachment 3
10 subject premises, the commercial property owner or Landlord may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the lessee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction-related accessibility standards within the premises." Pursuant to the foregoing Section 1938(e), Tenant acknowledges and agrees that, if Tenant wishes to have the Premises inspected by a CASp: (i) Tenant must notify Landlord on or before the date when Tenant executes this Agreement pursuant to the election below; (ii) the inspection will be at Tenant's sole cost and expense; (iii) the inspection must be scheduled through Landlord and in coordination with the Building’s property manager; (iv) any repairs or modifications necessary to correct any violation of construction-related accessibility standards that is noted in the CASp report shall be Tenant’s responsibility; and (v) Tenant must provide a copy of the CASp report to Landlord on completion. By initialing below, Tenant represents that:

Tenant wishes to have a CASp inspection of the Premises Initials: ______________ Tenant hereby waives its right to have a CASp inspection of the Premises Initials:
____________

28. Recordation. Tenant shall not record this Agreement or a short form memorandum hereof without Landlord’s prior written approval.

29. Reserved.

30. Compliance with Federal Requirements

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Attachment 3
11 Transportation program or activity is extended or for another purpose involving the provision of similar services or benefits, Tenant shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally-Assisted Programs of the Department of Transportation- Effectuation of Title VI of the Civil Rights Act of 1964, or as said Regulations may be amended.

IN WITNESS WHEREOF, this Agreement is executed as of the date first written above.

Landlord: City of El Paso de Robles Tenant: Air Methods, LLC ________________________________ ________________________________ Ty Lewis, City Manager Leo Morrissette, EVP
ATTEST:
______
Melissa Boyer, City Clerk

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Attachment 3
1 Exhibit A

MAP SHOWING PREMISES
Car Parking: Ten (10) Car Parking Spaces
Aircraft Parking: two (2) unassigned parking spaces in the spaces depicted below

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Attachment 3
2 Office Space: The First floor of the Executive Air Center at 4990 Wing Way, approximately 3884 SF of rentable office space. Not including the break room attached to the adjacent hangar (depicted below in red)

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Attachment 3
3 Page 749 of 878 City Council Agenda Agenda & Addendum September 17, 2024 Attachment 4
RESOLUTION 24-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES

APPROVING THREE AIRPORT SHORT TERM RENTAL AGREEMENTS WITH

JOES ONE-NINER DINER, SOAR PASO, AND MERCY AIR/AIR METHODS WHEREAS, Joe’s One-Niner Diner, Soar Paso, and Mercy Air/Air Methods are tenants of the current Fixed Based Operator (FBO) ACI Jet and have been operating via sublease agreements in space leased to ACI by the City; and
WHEREAS, after a lengthy public Request for Proposals process, Loyd’s Aviation was selected by the City for negotiation to become the new FBO operator and City Council directed staff to negotiate with ACI’s subtenants to establish lease agreements with Joe’s One-Niner Diner, Soar Paso, and Mercy Air/Air Methods directly with the City; and
WHEREAS, negotiations with all three tenants have concluded and all are prepared to enter into new rental agreements in accordance with the City’s adopted lease policy; and WHEREAS, main points of the lease agreements include: one-year agreements that shall automatically extend up to a maximum of 5 years, absent written notice from either party to the contrary and per adopted lease policy, rent will increase annually based on the consumer price index and every 5 years based on a rent study; and
WHEREAS, the City Council finds that this action is not a project under the California Environmental Quality Act pursuant to State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378 because it has no potential to result in either a direct, or reasonably foreseeable indirect, physical change in the environment.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY RESOLVE AS FOLLOWS:

Section 1. All of the above recitals are true and correct and incorporated herein by reference.

Section 2. The City Council hereby approves the short-term rental agreements with Joe’s OneNiner Diner, Soar Paso, and Mercy Air, and authorizes the City Manager or designee to execute the Agreements, subject to any minor, technical, or non-substantive changes as approved by the City Manager and City Attorney.

Section 3. This Resolution shall take effect on the date it is approved by the City Council.

APPROVED this 17
th day of September, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

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Attachment 4
John R. Hamon, Jr., Mayor
ATTEST:

Melissa Boyer, City Clerk

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Council Agenda Report
From: Mark Scandalis, Airport Manager
Subject: Approval of a Full Service Fixed Based Operator Agreement with Loyd’s Aviation CEQA Determination: The City finds that this action is not a project under the California Environmental Quality Act pursuant to State Guidelines Section State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.

Date: September 17, 2024
Facts

1. A fixed based operator is a commercial business granted the right by the Airport sponsor to operate on an airport and provide aeronautical services such as fueling, aircraft storage, tie-down and parking, aircraft rental, aircraft maintenance, flight instruction, and other related services.

2. Municipally owned airports with moderate to high traffic volume, such as the Paso Robles Municipal Airport (KPRB), typically utilize a private FBO company to provide these services to general aviation customers.

3. Since the early 1970s, KPRB has contracted for provision of full service FBO services to the flying public. Since that time, several companies have operated the full service FBO concession at KPRB, including Golden Carriage Air, Oasis, The Executive Air Center, Aero Service, North American Jet Charter Inc., and most recently ACI Jet.

4. Prior to, and in preparation for the expiration of the current FBO contract with ACI Jet, a subcommittee of the Airport Commission was formed to discuss the FBO service contract and the issuance of a request for proposals (RFP). The City subsequently contracted with Aviation Management Consulting Group, Inc. (AMCG) to draft an RFP document to solicit FBO services for the Airport.

5. On April 14, 2023, the City released an RFP for FBO services at the Airport. The City received two proposals for FBO Services: one from Loyd’s Aviation and the other from ACI Jet.

6. Following the RFP submission deadline, an Evaluation Review Committee was formed to independently evaluate the written proposals. The Evaluation Review Committee was composed of nine individuals knowledgeable about the City, the Airport environment, and the requested services detailed in the RFP. The Evaluation Review Committee comprised of two Airport Commissioners, four members of City management, one outside Airport Manager, one Battalion Chief for CALFIRE Air Attack, and one Airport business owner and user. Following the review, Loyd’s Aviation was selected as the preferred proposer by a vote of 5 to 4.

7. Separately, the confidential financial information provided by both proposers was reviewed by City finance staff. Both proposers were determined to have the financial wherewithal to perform the services and either make or obtain sufficient capital investments detailed in their proposals.

8. Following the Evaluation Review Committee process, both responding firms were invited to an inperson interview. The interview panel was composed of seven individuals knowledgeable about the City, the Airport environment, and the requested services detailed in the RFP. The interview panel included two Airport Commissioners, two outside Airport Managers, the Paso Robles Airport

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Manager, one Airport business owner and user, and one local Airport developer. Each respondent was given the opportunity to make a presentation, and the interview panel was given an opportunity to ask clarifying questions. At the conclusion of the interviews, the interview panel made the recommendation to City Council that the City retain the ability to negotiate with both proposers in order to seek the best overall arrangement for the City, while acknowledging a preference for Loyd’s Aviation, by a 4 to 3 voting margin.

9. On December 19, 2023, the City Council and Airport Commission held a joint meeting to discuss the proposals. After several questions about the proposals, the Council decided to create an Ad Hoc Committee of two Council members and two Airport Commissioners to continue to review the proposals and requested additional information be collected by staff. The Ad Hoc committee and staff were tasked with gathering additional information from both proposers, including a review of available financial information so a comparison of the value of the two proposals could be conducted.

The Ad Hoc Committee was tasked to return to the Council with the additional information and a recommendation at a future Council meeting.

10. The Ad Hoc committee, comprised of Councilmembers Steve Gregory and Sharon Roden and Airport Commissioners Eric Cook and Ben Andros, and supported by AMCG Senior Consultant Robert Trimborn, held three open and noticed public meetings to discuss each FBO proposal and gather additional information about each proposal in order to make a recommendation to the Council on which firm with which to begin negotiations. At the May 9, 2024 Ad Hoc Committee meeting, by a 3- 1 vote, the Committee voted to recommend Loyd’s Aviation as the most respondent proposer and recommended the City enter into negotiations with Loyd’s Aviation for the full service FBO contract.

11. At the June 18, 2024 City Council meeting, the Council discussed the proposals and voted by a 3-1 vote to accept the findings of the Ad Hoc Committee and authorized staff to enter into negotiations with Loyd’s Aviation. At that meeting, City Council provided staff with general goals for the negotiation with Loyd’s:
a. Structure the contract as an initial 5-year term with the opportunity to go beyond the initial term provided Loyd’s Aviation meets contractual obligations and development milestones.
b. Focus on the development of the hangar complex detailed in the proposal en masse. c. Until a new Defense Logistics Agency (DLA) Contract is released in 2026, Loyd’s Aviation is to provide contract prices to military and federal government aircraft based on their existing DLA contract rates.
d. Ensure competitive fuel prices by benchmarking fuel prices to similarly situated airports within our region.
e. Ensure the Loyd’s Aviation maintenance shop is started in a timely manner to meet the needs of the Airport and the regional aviation community. f. Design and approval of the proposed terminal expansion is to follow the established development review process, including review by the Airport Commission.

12. On August 8, 2024, staff met with Loyd’s Aviation and negotiated the FBO contract in accordance with the goals provided by City Council and the adopted leasing policy. The main points of the proposed lease agreement are:
a. Term: 5-year initial term; 30-year extension upon performance of terminal construction (and contingent on continued performance); and five years at fair market rate at conclusion.
b. Lease Areas: As defined in Attachment 1, FBO and development areas to include 546 SF of improved office space on the first floor of the Airport Terminal building at 4900 Wing Way, approximately 10,000 SF of hangar space and adjoining office and storage areas at 4990 Wing Way, approximately 25,000 SF of dedicated ramp space adjacent to the 10,000

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SF hangar, approximately 3,000 SF of unimproved lease area for the Airport Terminal Expansion, and 139,827 SF of unimproved lease area for hangar development. Additional lease areas include1,000 SF of improved office space on the second floor of the Executive Air Center and associated car parking areas.
c. Rent: Initial rent $15,032.50/month; rent at year five or at issuance of certificate of occupancy on the Airport Terminal Expansion, whichever is sooner, $18,246.22 (plus any rental adjustment, see below).
d. Rent Adjustments: Annual rent to be adjusted based on CPI for the previous 12 months.

Annual rent adjustment shall be no less than 2% per year but no more than 8% per year or 20% over a 5-year period. In addition to annual CPI rent adjustments, the annual rent may be adjusted every 5th year and every 5th year thereafter to market rent based on the findings of a market rate adjustment study.
e. Fees and Charges: If requested to collect fees, Loyd’s Aviation shall remit 85% of all aircraft parking fees, ramp fees, and other fees as adopted by City Council collected from aircraft operators.
f. Improvements:
i. Airport Terminal Expansion: Loyd’s Aviation will diligently and continuously pursue the construction of the Airport terminal expansion and will have 36 months to finalize the design plan and obtain City approvals. Following City approvals of the designs and specifications construction is to be completed within 24 months.
ii. Hangar Construction: Loyd’s Aviation shall diligently and continuously peruse the construction of the hangar development as soon as reasonably possible following the execution of the lease agreement. The construction shall be completed in no more than 4 phases.
 Phase 1 – Loyd’s shall work with City collaboratively to design the hangars to architectural standards mutually agreed to by both parties. Hangar design is to be cohesive and harmonious with the Airport terminal. Phase 1 shall take no longer than 18 months.
 Phase 2 – Infrastructure and Hangar Pads: Earth work, utilities, concrete/asphalt ramp areas, and security fencing for the entire development area are to be completed in this phase. Phase 2 shall take no longer than 36 months following completion of Phase 1.  Phase 3 – Construction of the initial 8 hangars (minimum 4 60x60 box hangars and 4 T-hangars). Phase 3 shall take no longer than 5 years following Phase 1.
 Phase 4 – Construction of the remaining hangars (for a minimum total of 11 60x60 box hangars and 8 T-hangars) may occur based on demand.

Phase 4 can take no longer than 10 years from the completion of Phase

1. If Phase 4 is not completed within the 10 years following the completion of Phase 1 the remaining undeveloped hangar pads revert to the Airport with Loyd’s Aviation retaining the improvements developed in Phase 3.
g. Assurance of Completion: Loyd’s Aviation shall obtain performance and payment bonds to ensure completion of the construction improvements being made to the lease premises.
h. Reversion of Improvements: At the end of the lease term (or any extension thereof) and at the City’s option, the ownership of all improvements shall revert (transfer) to the City

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or Loyd’s Aviation shall remove and/or demolish any and/or all improvements (as designated by the City) and return the lease premises to its original condition. i. Additional terms: Aviation gasoline self-serve pricing per gallon, no higher than 105% of the average respective pricing at Airports located within 150 nautical miles from the Airport; installation of spring retractable hose real at self-serve fuel island; administration of a discounted fuel program for based tenants.
j. Default: Section 12 outlines default and remedies in the event of default.

Nonperformance on the capital improvements detailed in section 7 is an event of default (see Section 12.1.2).

Options

1. Take no action;

2. Approve a Full Service Fixed Base Operator Lease Agreement with Loyd’s Aviation; or

3. Provide alternative direction to staff.

Analysis and Conclusions
The fixed based operator is an essential business at the Airport providing fueling, maintenance, and other aviation related services to the flying public. The negotiated points of the lease agreement along with the required capital improvements contained within, once complete, will help to provide better services to the flying public via better amenities in the expanded Airport Terminal building, more robust aircraft maintenance services through an FBO owned and operated shop, and increased hangar space for both midsize jet and general aviation aircraft. Additionally, this lease agreement will provide necessary revenue to the Airport Fund for the continued operation and maintenance of the Airport.

Fiscal Impact
Rental income for the Loyd’s Aviation FBO lease is expected to be $15,032.50 per month for the first year, and increasing to $18,246.22 per month by 2029, or upon issuance of the certificate of occupancy for the expansion of the Airport Terminal building. Yearly CPI adjustment and 5-year market adjustment by rent study will help to keep the lease agreement at fair market values over the life of the lease agreement. This lease agreement represents an immediate$2,232.50 per month increase over the initial proposal submitted by Loyd’s. .

The Airport currently collects $14,642.01 per month from the FBO lease agreement with ACI Jet. ACI Jet retains sublease income from Joe’s One-Niner Diner, Mercy Air, and Soar Paso. In a separate City Council action are short-term lease agreements, which will allow the City to contract directly with the current tenants at a total rental income of $8,986 per month.

When considering the revenue generated through an agreement with Loyd’s Aviation and from the three short-term lease agreements, the Airport will realize a $9,376.49 per month increase over the current lease revenue received from ACI Jet. The lease revenues will be accounted for within the Airport Enterprise Fund for reinvestment into Airport operations, maintenance, and capital projects.

CEQA
The City finds that this action is not a project under the California Environmental Quality Act pursuant to State Guidelines Section State CEQA Guidelines, §§ 15060, subd. (c)(2)-(3), 15378.

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Recommendation
Approve Resolution 24-XXX, authorizing the City Manager to execute the lease agreement with Loyd’s Aviation for full Fixed Based Operator Services, subject to any minor, technical, or non-substantive changes as approved by the City Manager and City Attorney and subject to any minor insurance changes approved by the Risk Manager.

Attachments

1. Lease with Loyd’s Aviation for Fixed Based Operator Services

2. Resolution 24-XXX – Full Service Fixed Based Operator Agreement with Loyd's Aviation

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City of Paso Robles
1000 Spring Street
Paso Robles, California 93446
805.237.3877
Lease Agreement Between the
City of El Paso De Robles and
Loyd’s Aviation
Paso Robles Municipal Airport
City of El Paso De Robles
Attachment 1

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TABLE OF CONTENTS
Loyd’s Aviation Fixed Base Operator Lease Agreement i
City of El Paso De Robles, Paso Robles Municipal; Airport

1. RECITALS ......................................................................................................................................... 1

2. LEASED PREMISES ........................................................................................................................ 1

3. USE OF LEASED PREMISES ......................................................................................................... 2

4. MINIMUM HOURS OF OPERATION ........................................................................................... 4

5. TERM .................................................................................................................................................. 5

6. RENTS, FEES, AND OTHER CHARGES ...................................................................................... 6

7. IMPROVEMENTS ............................................................................................................................ 7

8. LESSEE’S RIGHTS AND PRIVILEGES ..................................................................................... 10

9. LESSOR’S RIGHTS AND PRIVILEGES ..................................................................................... 11

10. LESSEE’S OBLIGATIONS ............................................................................................................ 12

11. REQUIRED FAA CLAUSES .......................................................................................................... 15

12. DEFAULTS AND REMEDIES ....................................................................................................... 16

13. TERMINATION BY LESSEE ........................................................................................................ 18

14. CONDEMNATION OR EMINENT DOMAIN ............................................................................. 19

15. FORCE MAJEURE ......................................................................................................................... 19

16. WAIVER ........................................................................................................................................... 20

17. HAZARDOUS MATERIALS ......................................................................................................... 20

18. RESERVATION OF AVIGATIONAL EASEMENT ................................................................... 22

19. AMERICANS WITH DISABILITIES ACT ................................................................................. 22

20. INSURANCE .................................................................................................................................... 23

21. DAMAGE, DESTRUCTION, AND TERMINATION ................................................................. 24

22. HOLD HARMLESS AND INDEMNIFICATION ........................................................................ 27

23. NON-LIABILITY OF OFFICIALS AND EMPLOYEES OF LESSOR .................................... 28

24. SUBLEASING .................................................................................................................................. 28

25. SALE, ASSIGNMENT, OR TRANSFER ...................................................................................... 28

26. ENCUMBRANCES .......................................................................................................................... 29

27. RELOCATION ................................................................................................................................ 29

28. BOOKS AND RECORDS ............................................................................................................... 29

29. SURRENDER LEASED PREMISES ............................................................................................. 30

30. REPRESENTATIONS AND WARRANTIES OF LESSEE ........................................................ 30

31. MISCELLANEOUS PROVISIONS ............................................................................................... 31 APPENDIX A - FUEL FARM AND REFUELING OPERATIONS ................................................... 36 APPENDIX B - DEFINITIONS............................................................................................................... 40 APPENDIX C - ACRONYMS ................................................................................................................. 44 EXHIBIT A – LEASED PREMISES ...................................................................................................... 45 EXHIBIT B – INSURANCE REQUIREMENTS .................................................................................. 54 EXHIBIT C – PROPOSALS .................................................................................................................... 58 Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 1
City of El Paso De Robles, Paso Robles Municipal; Airport This Lease Agreement (“Agreement”) is made and entered into as of September 30, 2024 (Commencement Date”) by and between the City of El Paso De Robles (“City” or “Lessor”), a general law city in the State of California (“State”) and Loyd’s Aviation PRB, LLC dba Loyd’s Aviation, a California limited liability company (“Loyd’s Aviation” or “Lessee”). Lessor and Lessee may herein be referred to individually as a “Party” or collectively as the “Parties”.

1. RECITALS
This Agreement is made with respect to the following facts:

1.1. WHEREAS, Loyd’s Aviation is duly organized and validly exists under the laws of the State of California with the power to conduct business under the statutes of the State of California and the City of El Paso De Robles, a general law city;

1.2. WHEREAS, the City is the owner and operator of the Paso Robles Municipal Airport (“Airport”) located in San Luis Obispo County, State of California;

1.3. WHEREAS, the City is the owner of certain real property described herein as the “Leased Premises”;

1.4. WHEREAS, Loyd’s Aviation desires to lease the Leased Premises from the City and use the Leased Premises to engage in authorized Fixed Base Operator (“FBO”) commercial aeronautical activities (“Activities”) at the Airport;

1.5. WHEREAS, the City desires to lease the Leased Premises to Loyd’s Aviation to use the Leased Premises to conduct a full-service FBO business at the Airport;

1.6. WHEREAS, the City has adopted Primary Management Compliance Documents (“PMCDs”) for the Airport; and

1.7. WHEREAS, the terms identified by use of a capital letter in this Agreement are defined in Appendix B – Definitions and Appendix C – Acronyms, attached hereto and by this reference made a part hereof.

NOW, THEREFORE, for and in consideration of the mutual representations, warranties, covenants, obligations, privileges, conditions, and agreements set forth in this Agreement (“terms and conditions of this Agreement”), the Parties, intending to incorporate the foregoing Recitals into this Agreement and to be legally bound, hereby agree as follows:

2. LEASED PREMISES

2.1. General Description. Lessor hereby leases to Lessee, certain real property and facilities or portions of said properties and facilities located at the Airport (“Leased Premises”) and identified as follows:
• FBO and Development Area – Terminal Concourse, Aircraft Storage Hangar, dedicated ramp space, Airport Terminal expansion area.
• Additional Leased Area – Executive Air Center Offices.

The Leased Premises are more particularly shown in Exhibit A – Leased Premises, attached hereto and by this reference made a part hereof.

2.2. Elements and Improvement Descriptions. The Leased Premises consists of the following elements and Improvements:

Elements / Improvements Square Feet Notes
FBO Office 546 SF Improved Office Space
FBO Dedicated Ramp Space 25,000 SF Improved Ramp Area
Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 2
City of El Paso De Robles, Paso Robles Municipal; Airport FBO Aircraft Storage Hangar 10,000 SF Improved Hangar
Terminal Expansion 3,000 SF Unimproved Lease Area
Hangar Development Area 139,827 SF Unimproved Lease Area Executive Air Center Offices 1,000 SF Improved Office Space TOTAL 179,373 SF Gross Leased Premises

2.3. Other Elements or Improvements. At the time this Agreement was executed by the Parties, there were no other elements or Improvements located or situated on the Leased Premises.

2.4. Inspection. Lessee warrants and represents that it has carefully and completely examined and inspected the Leased Premises and fully understands Lessee’s responsibilities and obligations with respect to the Leased Premises and this Agreement. Lessee accepts the Leased Premises in an “as is, where is” condition without representation or warranties from Lessor as to the condition, suitability, or sufficiency of the Leased Premises.

3. USE OF LEASED PREMISES

3.1. Permitted Uses and Activities (General). In addition to Lessor leasing the Leased Premises to Lessee, this Agreement grants Lessee the right and privilege to use the Leased Premises to engage (on a non-exclusive basis) in the operation of a full-service FBO business as more fully described herein. The Leased Premises may not be used for any other purpose or use without the prior written consent of Lessor, which consent may be withheld in the sole and absolute discretion of Lessor.

3.1.1. Lessee may use the Leased Premises to provide additional Commercial Aeronautical Activities not listed in Section 3.2 upon prior written consent of Lessor, which consent shall not be unreasonably withheld.

3.1.2. The Commercial Aeronautical Activities identified in Section 3.2. of this Agreement shall be provided in accordance with the Airport’s Minimum Standards adopted by the City in effect on the Commencement Date of this Agreement.

3.1.3. Lessee’s right and privilege to use the Leased Premises for engaging in Commercial Aeronautical Activities may be suspended or permanently revoked if Lessee does not comply with the terms and conditions of this Agreement, the PMCDs, and Lessee’s Commercial Operator Permit (“Permit”) as required by the City’s Request for Proposals.

3.2. Required Products and Services.

3.2.1. Minimum Services. During the term of this Agreement and any extensions thereof, Loyd’s Aviation will continuously provide services as described in the Minimum Standards for Aeronautical Service for a Full Service FBO in effect on the Commencement Date of this Agreement including but not limited to the following products and services (“Commercial Aeronautical Activities”):
• Retail aircraft fueling services (Aviation gasoline (Avgas) and Jet A) and self-service fueling (Avgas only);
• Operation and maintenance the existing fuel farm including the self-serve fuel island and the installation and maintenance of a new spring retractable hose reel system; • Fuel discount programs for aircraft based at the Airport; • Aircraft ground handling services (including parking guidance, towing, etc.); • Crew and passenger services (including baggage handling, ground transportation arrangements, etc.);
• Monitor the Unicom/CTAF frequencies as appropriate, and share necessary public information (Airport shall remain responsible for issuing Notice to Air Mission’s (NOTAMs)) as necessary;
Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 3
City of El Paso De Robles, Paso Robles Municipal; Airport • Transient Tie-down and apron parking rental management, as necessary; • Crew and passenger amenities and facilities;
• Emergency service to disabled general aviation aircraft (i.e., towing/transporting disabled aircraft), as necessary and as equipment safely allows; • Sale of miscellaneous retail pilot supplies, as necessary; • Aircraft maintenance, piston and turbine;
• Aircraft charter services (may be provided through a subcontractor); and • On-site car rental services through a formalized agreement.

3.2.2. Avgas Self-Service Fuel Pricing. Lessee agrees to sell Avgas self-service fuel at the Airport at a price per gallon that is no higher than 105% of the average respective Avgas self-service fuel price available from authorized commercial operators at Airports located within 150 nautical miles from the Airport.

3.2.3. Government Aircraft Services. Loyd’s Aviation shall provide services to federal government and other military/government operators and its contractors. Until Loyd’s Aviation secures Defense Logistics Agency (DLA) fuel contact at the Airport, Loyd’s Aviation shall offer contract fuel prices no greater than five percent (5%) higher than current DLA contract pricing being offered at the Airport. Loyd’s Aviation shall secure a DLA contract at the Airport no later than March 31, 2026.

3.2.4. Pilots’ Lounge. Lessee shall maintain and service the current pilots’ lounge located on the first floor of the Airport Terminal until such time Lessee constructs a replacement pilots lounge as part of its required Terminal Expansion Improvements. At that time, Lessee shall have no further obligation to maintain this area and Lessor may repurpose the area as it sees fit.

3.2.5. Lessee shall not create, cause, maintain, or permit any nuisance or waste in, on, or about the Leased Premises, or permit or allow the Leased Premises to be used or occupied for any unlawful or immoral purpose.

3.2.6. Lessee shall not do or permit to be done anything in any manner which unreasonably disturbs the users of neighboring properties. Specifically, and without limiting the above, Lessee agrees not to cause any unreasonable odor, noise, vibration, emission, or other item to emanate from the Leased Premises, outside of its normal commercial aviation operations.

3.2.7. Unless otherwise approved in advance by the City or provided herein, materials or articles of any nature shall not be stored outside upon any portion of the Leased Premises.

Exceptions are made for items related to the normal operations of Lessee’s business operations.

3.2.8. Reserved.

3.2.9. Reserved.

3.2.10. Unless otherwise directed by the Lessor, the use of the Leased Premises shall conform with 14 CFR Chapter I [Docket No. Federal Aviation Administration (FAA) 2014–0463] FAA Policy on the Non-Aeronautical Use of Airport Hangars, as maybe amended from time-to-time

3.2.11. Failure to perform or provide any of the required products or services under this Section

3.2 shall be considered a default except in the case of an emergency, pre-planned outage, or with prior approval of the City.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 4
City of El Paso De Robles, Paso Robles Municipal; Airport

3.3. Condition, Use of Leased Premises. Lessor makes no warranty or representation of any kind concerning the condition of the Leased Premises, or the fitness of the Leased Premises for the uses and Activities intended by Lessee and/or permitted by Lessor, and hereby disclaims any personal knowledge with respect thereto, it being expressly understood by the Parties that Lessee has personally inspected the Leased Premises, knows its condition, finds it fit for Lessee’s intended use and Activities, accepts it as is, and has ascertained that it can be used exclusively for the limited purposes specified in Section 3.2. of this Agreement.

3.4. Compliance. Lessee’s use of the Leased Premises and the Airport is subject to the following requirements:

3.4.1. As may be promulgated or amended from time to time, Lessee shall comply with all: (a) Legal Requirements; (b) PMCDs; (c) Airport policies, standards, rules, and directives; and (d) zoning, building, fire, safety, and other codes, ordinances, statues, and other directives of any Agencies having jurisdiction.

3.4.2. If any provision of this Agreement is found to be in conflict with other sections of this Agreement, the provision that establishes the higher or stricter standard shall prevail.

Additionally, Lessor may modify this Agreement to resolve identified conflicts.

3.4.3. In the event of an alleged violation of Section 3.4.1. of this Agreement (or initiation of an investigation relating to same), Lessee shall describe the action(s) being taken to resolve it.

3.4.4. Any violation of (or failure to comply with) Section 3.4.1. of this Agreement shall be construed as a default or breach of this Agreement.

3.4.5. Lessor may deny access, consistent with Legal Requirements, to the Airport or the Leased Premises to Lessee or its representatives, officers, agents, employees, guests, patrons, suppliers, vendors, invitees, contractors, subcontractors, sublessees, or any other entity for any violation of (or failure to comply with) Section 3.4.1. of this Agreement.

3.4.6. Lessee shall pay any penalties, fines, costs, and expenses for any violation of (or failure to comply with) Section 3.4.1. of this Agreement.

3.4.7. If penalties or fines are levied against Lessor or costs or expenses are incurred by Lessor relating to Lessee’s violation of (or failure to comply with) Section 3.4.1. of this Agreement, Lessee shall pay Lessor one hundred twenty-five percent (125%) of the penalty, fine, cost, or expense.

3.4.8. Lessee’s employee vehicles and rental vehicles shall be parked in designated areas depicted in Exhibit A.

3.5. Reserved.

3.6. Spaceport. Lessee understands that Lessor has begun the application process with the FAA for licensing the Paso Robles Spaceport (“Spaceport”), which will be located at the Airport. Lessee agrees to cooperate to the extent necessary with Lessor in Lessor’s efforts to obtain a Spaceport designation.

4. MINIMUM HOURS OF OPERATION
The minimum hours of operation shall be as follows:
• For Fueling, Ground Handling, and Crew/Passenger Services: 10 hours a day, 7 days a week; Holidays and afterhours – on call with one hour response time; and • For Aircraft Maintenance Services: Eight hours a day for five days a week; Lessee shall provide for drop-off of aircraft for maintenance during normal FBO operating hours.; Holidays and afterhours – on call with two-hour response time.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 5
City of El Paso De Robles, Paso Robles Municipal; Airport

5. TERM

5.1. FBO and Development Area. The term for the FBO and Development Area shall be a maximum total term of forty (40) years (an initial five (5) year term (“Initial Term”), followed by a thirty (30) year extension upon the completion of improvements as noted below (“Base Term”), and a final five (5) year option (“Term Extension”) contingent upon compliance with the terms of this Agreement, including but not limited to the development timelines, provision of aircraft maintenance services, and conditions related to the maintenance and state of the Leased Premises.

5.1.1. Initial Term. The Initial Term of this Agreement shall be five (5) years commencing at 7:30 p.m. on September 30, 2024 and shall terminate at 7:29 p.m. on September 30, 2029.

5.1.2. Base Term. Upon completion of the required Airport Terminal Expansion improvements, this Agreement shall automatically extend for an additional thirty (30) year term, unless sooner terminated in accordance with this Agreement. The commencement date of the Base Term shall be the expiration of the Initial Term.

Unless otherwise provided herein, if Lessee fails to receive a Certificate of Occupancy within the Initial Term, or in compliance with the timeline set forth in paragraph 7.2, this Agreement shall be subject to termination by Lessor and, if Lessor so chooses, Lessee shall immediately vacate the Premises in accordance with the terms of this Agreement.

5.1.3. Term Extension. Notwithstanding any provision of this Agreement to the contrary, upon the expiration of the Base Term of this Agreement, Lessee may extend the term for an additional five (5) year term at an improved fair market rent. The improved fair market rent shall apply to the entire Leased Premises including all land, existing improvements, and improvements constructed by lessee, provided that Lessee, in the opinion of Lessor, has been and is Current, has been and is in Good Standing, and the Leased Premises have been maintained in compliance with this Agreement.

5.2. Additional Leased Area. The term for the Additional Leased Area (commonly known as the “Executive Air Center Offices” shall be five (5) years commencing at 12:00 a.m. on October 1, 2024 and terminating at 11:59 p.m. on September 30, 2029, contingent upon compliance with the terms of this Agreement. At the sole and complete discretion of Lessor, the term for the Additional Leased Area may be extended based on mutually agreed upon terms.

5.3. Expiration or Termination of Term. Lessee shall, at the expiration or upon termination of this Agreement, return the Leased Premises in first-class order, repair, and condition and in a safe, clean, orderly, and sanitary condition to the complete satisfaction of Lessor as it is now at the date of this Agreement, ordinary and reasonable wear and tear expected; vacate the Leased Premises; and remove any and all of Lessee’s personal property, including equipment, furniture, furnishings, and fixtures.

5.3.1. Lessee shall allow Lessor to inspect the Leased Premises and complete a walk-through to verify the condition of the Leased Premises upon twenty-four hours’ notice to Lessee.

5.3.2. At the expiration of the term of this Agreement, or upon its earlier termination, if another entity enters into an agreement with Lessor to use and/or occupy the Leased Premises, Lessee shall work with the parties in a cooperative and responsive manner to complete the transition while also ensuring that there is no interruption in the provision of Activities during the transition.

5.3.3. In the event this Agreement terminates prior to its natural expiration, the City has the first right to purchase FBO equipment at fair market value. If fair market value cannot be mutually agreed upon, the parties will agree to binding arbitration through a Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 6
City of El Paso De Robles, Paso Robles Municipal; Airport recognized provider of arbitration services such as the American Arbitration Association or JAMS.

6. RENTS, FEES, AND OTHER CHARGES

6.1. Initial Annual Rent. The annual rent for the use and occupancy of the Leased Premises for year one of the Initial Term shall be one hundred and eighty thousand three hundred and ninety dollars ($180,390). The annual rent is based on the following:

Elements / Improvements Square Feet Rate
Per Month
Initial
Annual Rent
FBO Office* 546 SF $819 $9,828
FBO Dedicate Ramp* 25,000 SF $2,000 $24,000
Aircraft Hangar* 10,000 SF $7,500 $90,000
Terminal Expansion** 3,000 SF $67.50 $810
Hangar Development** 139,827 SF $3,146 $37,752
Executive Air Center offices* 1,000 SF $1,500 $18,000
TOTAL 179,373 SF $15,032.50 $180,390
*Improved Leased Space
**Unimproved lease Area

6.2. Annual Adjustments. Throughout the Initial Term, Base Term, and Term Extension, the annual rent shall be increased by the same percentage increase as defined by the Consumer Price Index for the previous 12-month period with the base month set as April 2025. The standard to be used shall be the Consumer Price Index for all Urban Consumers San Francisco-Oakland Metropolitan area, Bureau of Labor Statistics, United States Department of Labor, 1982 = 100 ("Index"). The index which is published most immediately before the Adjustment Date shall be used. If the Index shall no longer be published, another Index generally recognized as authoritative for the purposes of this paragraph shall be substituted.

The annual increase in monthly rent shall increase no more than eight percent (8%) in any given year or twenty percent (20%) in any five-year period. In no event shall the rent adjustment be less than two percent (2%) per year. The first CPI Adjustment shall occur on July 1st immediately following the first anniversary of the commencement date and continue annually thereafter. In no event shall rent be adjusted less than the rent paid during the immediately preceding year.

6.3. Base Term Rent Adjustment. At the commencement of the Base Term, or the issuance of a Certificate of Occupancy (whichever is sooner), the annual rent for the use and occupancy of the Terminal Expansion and the Hangar Development shall double from the rate at the start of the Initial Term such that the rates for the following elements/improvements shall be as follows:

Elements / Improvements Square Feet Rate
Per Month
Initial
Annual Rent
Terminal Expansion** 3,000 SF $135.00 $1,620.00
Hangar Development** 139,827 SF $6,292.22 $75,506.64

6.4. Rent Study Adjustments. Commencing at the start of the Base Term, the annual rent shall be adjusted every fifth (5th) year and every five (5) years thereafter to Market Rent. Adjustments shall be made based on the findings of a Rent Study. The Market Rent shall be determined based upon the analysis of aeronautical rents charged for similar facilities at competitive airports within 100 (one hundred) miles of the Airport at 10 (ten) mutually agreed upon comparable airports located within the continental United States. The Rent Study shall be conducted by a mutually agreeable firm with aeronautical real estate expertise.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 7
City of El Paso De Robles, Paso Robles Municipal; Airport

6.5. Fees and Other Charges. If Lessor requires Lessee to collect fees on its behalf, Lessee shall pay the fees and other charges identified in the Airport’s adopted Fees Schedule to Lessor when due and owing, which are subject to change from time. Lessee shall remit 85% of all aircraft parking fees, ramp fees, and other fees collected from aircraft operators.

6.6. Payments. Payment of rents, fees, and other charges shall be made promptly without notice or demand, in legal tender of the United States of America.

6.6.1. Payment of rent shall be made by Lessee to Lessor monthly (in installments equal to 1/12 of the annual rent) in advance on or before the 1st day of each month. The rent for any partial month shall be prorated.

6.6.2. Payment of fees and other charges shall be made by Lessee to Lessor monthly on or before the 10th day of each month for the previous month.

6.6.3. Payments of rents, fees, and other charges shall be made by check or money order, payable to Lessor. Payments shall be delivered or mailed to City of Paso Robles Airport, 1000 Spring Street, Paso Robles, California, 93446 or to such other location as may be directed in writing by Lessor. Payments shall be made without any abatement, deductions, reductions, offsets, or counterclaims of any kind.

6.7. Late Charges. A late charge of 10% shall be automatically added to any rents, fees, or other charges not received by Lessor by the close of business five (5) calendar days after due and owing.

Additional late charges shall be imposed for each thirty (30) calendar day period payment remains due and owing. Late charges shall become part of the rents, fees, and other charges due and owing to Lessor.

6.7.1. In addition to late charges, Lessor shall be entitled to interest at the State judgment rate plus all costs and expenses incurred by Lessor to collect (or attempt to collect) amounts past due, including without limitation, attorney and court fees, costs, and expenses

7. IMPROVEMENTS

7.1. Required Improvements. Immediately upon the execution of this Agreement, Lessee shall commence the development of plans and specifications (including detailed architectural renderings) for the Airport Terminal Expansion improvements to be constructed on the Leased Premises consistent with Lessee’s proposal submitted to the City on June 29, 2023 and supplemental information submitted on January 17, 2024. The design of all improvements shall be subject to approval by the City. The proposal along with supplemental information are attached hereto and incorporated herein as Exhibit C – Proposals.

7.2. Airport Terminal Expansion. Lessee shall diligently and continuously pursue the construction of Airport Terminal Expansion Improvements upon the execution of this Agreement. Lessee shall have 36 months to finalize plans and specifications and obtain City approvals for the Airport Terminal Expansion improvements. City shall review plans expeditiously upon submission of a completed application. Following City approvals of plans and specifications, construction is to be completed and Certificate of Occupancy obtained within 24 months. Failure to meet this development timeline is considered a default of the Agreement.

7.3. Hangar Development Improvements. Lessee shall diligently and continuously pursue the development and construction of hangar improvements as soon as reasonably possible following the execution of the lease agreement. In any event, improvements shall be completed in no more than four (4) phases as detailed herein.
• Phase 1 – Design and Facility Site Plan: Lessee shall work collaboratively with the City on the site plan and the design of the hangars to ensure the architectural standards are mutually agreed upon by both parties. Lessee shall ensure site plan and structural design is Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 8
City of El Paso De Robles, Paso Robles Municipal; Airport compatible and cohesive with the rest of the Airport, particularly the terminal building, and ensure the design is attractive from both the airside and landside of the Airport. Phase 1 shall take no longer than 18 months unless delayed by mutual agreement of the parties due to the possibility of relocation in connection with changes to the Airport Master Plan. • Phase 2 – Infrastructure, Hangar Pads: Lessee shall complete all site preparation, earth work, grading, utilities, asphalt paving, lighting, concrete hangar pads, ramps, and security fencing for the entire site during this phase. Lessee shall also reconfigure gate access at Taxiway Delta to eliminate existing gates and provide one entrance gate to that area of the Airport. Phase 2 shall take no longer than 36 months to complete following completion of Phase 1.
• Phase 3 – Construction of Initial Hangars: Lessee shall immediately commence the construction of no less than four (4) 60’ X 60’ box hangars and four (4) nested T-hangars.

Phase 3 shall take no longer than 5 years to complete following the completion of Phase 1. • Phase 4 – Construction of Remaining Hangars: Lessee shall endeavor to complete the hangar development improvements during this phase of the project. No fewer than eleven (11) 60’ X 60” box hangars and eight (8) T-hangars shall be constructed based on market demand for hangars. Lessee shall complete Phase 4 within ten (10) years following the completion of Phase 1 unless Lessee is unable to due to lack of market demand for hangars.

In such case, the remaining undeveloped hangar pads and related infrastructure shall revert at no cost to the City at the conclusion of the 10-year period and the Leased Premises shall be adjusted accordingly. Lessee shall retain the rights to the hangars developed prior to the expiration of Phase 4.

Lessee shall be in default of this Agreement if it fails to complete the construction of hangar development improvements to the Leased Premises within the specified time periods detailed above.

7.4. Application to Make Improvements. Prior to making any Improvements (including any alterations to existing Improvements, removal of existing Improvements, or construction of new Improvements) to the Leased Premises, Lessee shall submit to Lessor for its review and approval detailed plans, designs, and specifications, which shall be prepared by a registered architect and approved by a registered engineer, both licensed in the State of California. Said plans shall include cost estimates, a project schedule, and a list of the contractors selected by Lessee. If applicable, Lessee shall also complete and include FAA Form 7460-1 Notice of Proposed Construction Alterations.

7.5. Written Consent. Lessee shall not make any Improvements to the Leased Premises without the prior written consent of Lessor.

7.5.1. Lessor may require Lessee to remove any unpermitted Improvements made to the Leased Premises and return the Leased Premises to its original condition at Lessee’s sole cost and expense, or Lessor may, at its sole discretion, require Lessee to modify the unpermitted Improvements to Lessor’s satisfaction. If Lessee fails to comply with such notice within thirty (30) calendar days, Lessor may affect the removal or modification of said Improvements and Lessee shall pay 125% of the costs and expenses thereof within thirty (30) calendar days upon receipt of an invoice from Lessor.

7.6. Compatibility and Compliance. Any Improvements made to the Leased Premises shall be: (1) compatible with the Airport and associated airspace; (2) consistent with the Airport’s Master Plan, Airport Layout Plan, and the Land Use Plan; (3) in compliance with 14 CFR Part 77 Safe, Efficient Use, and Preservation of the Navigable Airspace; and (4) in compliance with Section 3.4.1 of this Agreement.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 9
City of El Paso De Robles, Paso Robles Municipal; Airport

7.7. Permits. Lessee shall procure all required building, fire, safety, and other permits from federal, State, and local Agencies having jurisdiction.

7.8. Insurance. No Improvements shall be made to the Leased Premises until evidence of required insurance satisfactory to Lessor has been provided. Lessee shall be fully liable for any damages related to making any Improvements.

7.9. Liens. Lessee shall pay all claims lawfully made against it by its contractors, subcontractors, material men, and workmen, and all claims lawfully made against Lessee by other third persons resulting from, caused by, arising out of, or associated with the Improvements being made to the Leased Premises, and shall cause its contractors, subcontractors, material men, and workmen to pay all such claims lawfully made against them. Lessee shall also pay all liens held by contractors, subcontractors, material men, and workmen and provide proof of payment to Lessor.

7.9.1. Notwithstanding circumstances beyond Lessee’s control, all Improvements made to the Leased Premises shall be free and clear of liens, claims, or liability for labor or material.

7.9.2. Nothing in this Agreement shall be construed, in any way, to constitute consent to the creation of any lien or claim against the Leased Premises or Lessor.

7.10. Indemnity for Claims. Lessee shall defend and indemnify Lessor against all claims, liabilities, and losses of any type arising out of making Improvements on the Leased Premises by Lessee, together with reasonable attorneys' fees and all costs and expenses reasonably incurred by Lessor in negotiating, settling, defending, or otherwise protecting against such claims.

7.11. Assurance of Completion. Prior to commencement of any alteration or construction expected to cost more than twenty-five thousand dollars ($25,000), (including the Airport Terminal Expansion and Hangars) Lessee shall furnish Lessor the following bonds in the amount of one-hundred and ten percent (110%) of the total estimated cost of Improvements:
• a Performance Bond in a form provided or approved by the City; and • a Payment Bond in a form provided or approved by the City.

Should, in City’s sole opinion, any bond become insufficient or any surety be found to be unsatisfactory, Lessee shall renew or replace the affected bond within 10 days of receiving notice from City. In the event the surety or Lessee intends to reduce or cancel any required bond, at least thirty (30) days prior written notice shall be given to the City, and Lessee shall post acceptable replacement bonds at least ten (10) days prior to expiration of the original bonds. To the extent, if any, that the total cost of Improvements is increased in accordance with the Agreement, the Lessee shall, upon request of the City, cause the amount of the bonds to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the City.

Only bonds executed by an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120, shall be accepted. The surety must be a California-admitted surety with a current A.M.

Best’s rating no less than A:VIII and satisfactory to the City. If a California-admitted surety insurer issuing bonds does not meet these requirements, the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City.

7.12. Certificate of Inspection. Upon completion of the Improvements being made to the Leased Premises, Lessee shall submit to Lessor a Certificate of Inspection, verifying that the Improvements were completed in conformance with Title 24 of the California Code of Regulations for nonresidential construction.

7.13. As-Built Plans. Upon completion of the Improvements being made to the Leased Premises, Lessee shall provide to Lessor a complete set of reproducible as-built plans and specifications in digital (CAD) format reflecting actual alterations or construction within or upon the leased Premises.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 10
City of El Paso De Robles, Paso Robles Municipal; Airport

7.14. Reversion of Improvements. Subject to the terms of this Agreement, Lessee retains the ownership of all Improvements made to the Leased Premises, including, but not limited to, those stated in paragraphs 7.2 and 7.3. Furthermore, Lessee retains all rights and privileges pertaining to the owned Improvements. Unless otherwise stated in this Agreement, upon expiration or earlier termination of this Agreement, at Lessor’s option, the ownership of Improvements made to the Leased Premises shall revert (transfer) to Lessor or Lessee shall remove and/or demolish any and/or all Improvements (as designated by Lessor) and return the Leased Premises to its original condition and character, ordinary and reasonable wear and tear excepted. If Improvements revert to Lessor by any means other than expiration of this Agreement or termination of this Agreement pursuant to Section 12 (Defaults and Remedies), Lessor shall compensate Lessee for the Improvements at fair market value.

8. LESSEE’S RIGHTS AND PRIVILEGES

8.1. Use of the Airport. Lessee is allowed to use the Airport and its appurtenances together with all Public Areas and facilities, in common with Lessor and others, on a non-exclusive basis and subject to the terms and conditions of this Agreement, except such land and Improvements specifically leased herein and as may be leased by Lessor to others.

8.1.1. Lessee shall be liable and shall reimburse Lessor for all costs and expenses incurred by Lessor for the repair of any damage caused by Lessee to the Airport and its appurtenances and/or Public Areas or facilities at the Airport, excluding ordinary and reasonable wear and tear.

8.2. Ingress and Egress. Lessee, its representatives, officers, agents, employees, guests, patrons, suppliers, vendors, invitees, contractors, subcontractors, and Sublessees, shall have the right of ingress and egress to and from the Leased Premises. However, if the privileges granted by this provision adversely affect or conflict with others, Lessor shall have the right to restrict and/or limit the manner in which such ingress and/or egress may be exercised.

8.3. Quiet Enjoyment. Subject to the terms and conditions of this Agreement, Lessee shall peacefully and quietly have, hold, and enjoy the Leased Premises free from hindrance or interruption by Lessor. Lessee agrees temporary inconveniences such as noise, disturbances, traffic detours, and the like resulting from, caused by, arising out of, or associated with Lessor’s construction, maintenance, and/or repair of Airport improvements or special events shall not constitute a breach of this section.

8.4. New Locks. Lessee may install new locks on all exterior doors. Lessee shall advise Lessor of such action and shall provide Lessor with keys to said locks. Lessee shall also deliver to Lessor the old locks with keys. Upon termination, all locks shall become the property of Lessor.

8.5. Fixtures and Equipment. Lessee may install equipment, furniture, furnishings, and fixtures on the Leased Premises and use equipment, tools, machinery, or other items of personal property in connection with the permitted uses of the Leased Premises authorized in this Agreement.

8.5.1. Title to all equipment, furniture, furnishings, and trade fixtures placed by Lessee upon the Leased Premises shall remain in Lessee, and replacements, substitutions, and modifications thereof may be made by Lessee throughout the term of this Agreement.

However, In the event this Agreement is terminated prior to its natural expiration, the City retains the first right to purchase Lessee’s equipment of its choosing at fair market value. If fair market value cannot be mutually agreed upon, the parties will agree to binding arbitration.

8.5.2. Lessor shall have no liability or responsibility for any theft, misappropriation, or damage to any equipment, furniture, furnishings, and trade fixtures placed by Lessee upon the Leased Premises or personal property belonging to Lessee or others.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 11
City of El Paso De Robles, Paso Robles Municipal; Airport

8.5.3. Lessee may remove such equipment, furniture, furnishings, and trade fixtures upon termination of this Agreement if Lessee is not then in default or breach under this Agreement, provided that Lessee shall repair to the satisfaction of Lessor any damage to the Leased Premises and Improvements caused by such removal and provided that usual and customary lighting, plumbing, and heating fixtures shall remain upon the Leased Premises upon termination of this Agreement.

8.6. Other.

8.6.1. Unless otherwise stated in this Agreement, Lessee’s rights and privileges are limited strictly to the Leased Premises, no other rights or privileges are being granted by Lessor to Lessee for any other premises at the Airport or any other properties owned or leased by Lessee.

8.6.2. Unless otherwise stated, this Agreement does not: (a) modify any other agreements between the Parties or (b) extend any rights or privileges to Lessee in any other agreements between the Parties.

9. LESSOR’S RIGHTS AND PRIVILEGES

9.1. Lessor’s Rights. Lessor reserves the following rights:

9.1.1. Nothing contained in this Agreement shall be construed, in any way, to limit the use of the Airport by Lessor, its Police Department, Fire Department, FAA, or other Agencies performing official duties at the Airport, or others, including the Airport’s use as a Spaceport.

9.1.2. With the exception of the areas designated within the Agreement for Lessee’s purposes, Lessor reserves the right to designate specific areas of the Airport to be used for specific purposes and/or engage in specific activities, including for example as a Spaceport.

9.1.3. Lessor reserves the right to develop and make any improvements, repairs, restoration, or replacement on, at, or to the Airport it deems necessary. Lessor will provide advance notice of the date and time of such projects. Lessor shall not be obligated or required to reimburse or compensate Lessee, Sublessee, or any other entities for any cost and/or expense incurred, for any revenue lost, or for any inconvenience that may result from, arise out of, or be associated in any way with such projects.

9.1.4. Lessor (and its representatives, officers, officials, employees, agents, and volunteers) shall not be responsible for loss, injury, or damage to persons or property at the Airport resulting from, caused by, arising out of, or associated in any way with any acts of nature, natural disasters, or illegal activity.

9.1.5. During time of war or national emergency, Lessor shall have the right to enter into an agreement with the United States Government for military use of part or all of the Airport and its facilities. If any such agreement is executed, this Agreement or any other agreement between the Parties, insofar as the agreements may be inconsistent with the agreement between Lessor and the United States Government, shall be suspended, without any liability to Lessor.

9.1.6. Lessor will not relinquish the right to take any action Lessor considers necessary to protect the aerial approaches of the Airport against obstruction or to prevent any person from erecting or permitting to be erected any facility or structure which might limit the usefulness of the Airport or constitute a hazard to Aircraft.

9.1.7. Lessor will not waive any sovereign, governmental, or other immunity to which Lessor may be entitled nor shall any provision of this Agreement or any other agreement between the Parties be so construed.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 12
City of El Paso De Robles, Paso Robles Municipal; Airport

9.1.8. Lessor will not submit to the laws of any state other than those of the State of California.

9.1.9. Lessor is under no obligation to obtain or provide financing or funding, make any improvements to the Airport, and/or facilitate any development proposed by Lessee or others.

9.1.10. Lessor reserves the right to take such actions as it may deem necessary to protect the safety and security of the public and the integrity of the PMCDs.

9.1.11. Lessor shall have no responsibility or liability to furnish any services to Lessee, however Lessee may request the provision of services and if agreed upon, shall pay Lessor the amount of compensation agreed upon by the Parties.

9.1.12. Nothing contained in this Agreement shall be construed, in any way, as restricting or limiting the powers of Lessor to fully exercise its governmental functions and/or authority or fulfill its obligations under the Airport Sponsor Assurances (or any bond covenants) or comply with applicable Legal Requirements or perform any duties associated with Spaceport licensing or operation.

9.2. Lessor’s Privileges. Lessor shall have the following privileges:

9.2.1. Normal Access to the Leased Premises. Lessor shall have the right to enter in, upon, or under the Leased Premises at reasonable times, upon not less than twenty-four (24) hours prior notice to Lessee, for reasonable purposes (e.g., to ensure Lessee’s compliance with the terms and conditions of this Agreement including, but not limited to, Section 3 of this Agreement).

9.2.2. Emergency Access to the Leased Premises. Lessor shall have the right to enter the Leased Premises at any time in the event of an apparent or actual emergency (e.g., fire, flood, or failure of an Improvement or utility, etc.).

9.2.3. Security Measures. Lessor shall have the right to require a reasonable security system, device, operation, or plan be installed and implemented to protect the Leased Premises, Improvements, and the Airport. Should Lessor, in its sole discretion, require Lessee to install such a security system, Lessee agrees to bear the sole cost and expense of any security system, device, operation, or plan and the installation and implementation thereof. Lessee shall obtain Lessor’s prior written consent before installing, implementing, or changing any Lessor approved security system, device, operation, or plan.

9.2.4. Performance of Acts. All acts performable under this Agreement by Lessor may, at the option of Lessor and without right of objection by Lessee, be performed by a representative of Lessor.

9.2.5. Exercising Rights. No exercise of any rights reserved by Lessor shall be deemed or construed, in any way, as grounds for any abatement of rents, fees, or other charges nor serve as the basis for any claim or demand for damages of any nature whatsoever.

10. LESSEE’S OBLIGATIONS

10.1. Conduct. Lessee shall be responsible for the conduct, demeanor, and appearance of its representatives, officers, agents, employees, guests, patrons, suppliers, vendors, invitees, contractors, subcontractors, sublessees, or any other entity on the Leased Premises. Lessee’s personnel shall: (a) be neat, clean, and courteous, (b) not conduct operations in an objectionable manner, and (c) shall wear suitable attire. Upon receipt of a complaint, Lessee shall act to immediately resolve the complaint. Lessee’s personnel shall cooperate with Lessor, its representative’s or Agencies in dealing with emergencies on the Leased Premises and at the Airport.

Attachment 1

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FIXED BASE OPERATOR LEASE AGREEMENT
Loyd’s Aviation Fixed Base Operator Lease Agreement 13
City of El Paso De Robles, Paso Robles Municipal; Airport

10.2. Disturbance. Lessee shall conduct its authorized uses and Activities in an orderly and proper manner so as to not annoy, disturb, or interfere with others. Lessee agrees that it will not in any manner interfere with Aircraft operations or create a hazard to Aircraft, other lessees, or the public.

Except for those customary for its operation in the normal course of business, Lessee shall prevent escape of hazardous fumes, odors, smoke, gas, or other hazardous substances from the Leased Premises (or cause or permit to be caused any act that would adversely affect the environment).

10.3. Taxes, Assessments, Levies, Fees, and Other Charges. Lessee shall pay and discharge all taxes, assessments, levies, and other fees, without offset or abatement, whether general or special, ordinary or extraordinary, charged by any government or quasi-governmental entity during the term of this Agreement.

10.3.1. Real Property Taxes Defined. The term “real property taxes” as used herein shall mean all taxes, assessments, levies, fees, and other charges, general and special, foreseen and unforeseen, now or hereafter imposed by any governmental or quasi-governmental authority or special district having the direct or indirect power to tax or levy assessments, which are levied or assessed against or with respect to: (a) value, occupancy, use, or possession of the Leased Premises and/or the Improvements; (b) any improvements, furniture, fixtures, equipment, and other real or personal property of Lessee that are an integral part of the Leased Premises; or (c) use of and Activities on the Leased Premises, Improvements, public utilities, or energy within the Leased Premises. The term “real property taxes” shall also mean all taxes, assessments, levies, fees, or other charges imposed by reason of environmental regulation or other governmental control of the Leased Premises and/or the Improvements, new or altered excise, transaction, sales, privilege, assessment, or other taxes or charges now or hereafter imposed upon Lessor as a result of this Agreement, and all costs and fees (including attorneys’ fees) incurred by Lessor in contesting any real property taxes and in negotiating with public authorities as to any real property taxes affecting the Leased Premises. If any real property taxes are based upon property or rents unrelated to the Leased Premises and/or the Improvements, then only that part of such tax that is fairly allocable to the Leased Premises and/or the Improvements, as determined by Lessor, on the basis of the assessor’s worksheets or other available information, shall be included within the meaning of the term “real property taxes.”

10.3.2. Payment of Real Property Taxes. Lessee shall pay Lessee’s share of all real property taxes (as defined in Section 10.3.1. of this Agreement) which become due and payable to Lessor on or before the later of ten (10) business days prior to the delinquency thereof or fifteen (15) business days after the date on which Lessee receives a copy of the tax bill and notice of Lessor’s determination hereunder. Lessee’s liability to pay real property taxes shall be prorated on the basis of a three hundred sixty-five (365) calendar day year to account for any fraction or portion of a tax year included in the Agreement term at the commencement or expiration of this Agreement.

10.3.3. Revenue and Taxation Code. Lessee specifically acknowledges it is familiar with section 107.6 of the California Revenue and Taxation Code. Lessee realizes that a possessory interest subject to property taxes may be created, agrees to pay any such tax, and hereby waives any rights Lessee may have under said California Revenue and Taxation Code section 107.6.

10.3.4. Personal Property Taxes. Lessee shall pay, before delinquent, or if requested by Lessor, reimburse Lessor for, any and all taxes, assessments, levies, fees, and other charges associated with the personal property contained in the Leased Premises. Lessee recognizes and understands in accepting this Agreement that its interest therein may be subject to a possible possessory interest tax that Lessor may impose on such interest and Attachment 1

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Paso Robles City CouncilSeptember 17, 2024

Paso Robles City Council
September 17, 2024