Attachment 1
RESOLUTION 25-XXX(A)
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES CALLING A SPECIAL ELECTION AND SUBMITTING TO THE QUALIFIED VOTERS OF IMPROVEMENT AREA NO. 2 OF CITY OF PASO ROBLES COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH CHANDLER RANCH –
FACILITIES) THE PROPOSITION OF WHETHER THE RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX FOR IMPROVEMENT AREA NO. 2 OF SAID COMMUNITY FACILITIES DISTRICT SHOULD BE REVISED WHEREAS, on December 3, 2024, the City Council of City of El Paso de Robles (the “City Council”) adopted Resolution No. 24-139, a resolution of consideration pursuant to Section 53334 of the California Government Code commencing proceedings for the consideration of the revision of the Rate and Method of Apportionment (the “Rate and Method of Apportionment”) for Improvement Area No. 2 of the City of Paso Roble Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities) (the “Community Facilities District”); and WHEREAS, Resolution No. 24-139 scheduled a public hearing for 6:30 p.m. on January 15, 2025, on the proposed revision of the Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District; and
WHEREAS, on January 15, 2025, the City Council conducted said public hearing and no written protests were filed; and
WHEREAS, pursuant to Section 53338 of the California Government Code, the City Council is therefore authorized to submit to the qualified electors of Improvement Area No. 2 of the Community Facilities District the proposition regarding the proposed revision of the Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District, as provided in the proposed Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District (the “Amended Rate and Method of Apportionment”).
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. Findings. The City Council finds that:
(i) the foregoing recitals are true and correct;
(ii) the public hearing held by the City Council pursuant to Resolution No. 24-139 has been properly conducted, and notice thereof was duly given, in compliance with all applicable requirements of Article 3 (commencing with Section 53330) of Chapter 2.5 of Part 1 of Division 2 of Title 5 of the California Government Code;
(iii) no written protests were filed with the City Clerk prior to the conclusion of said public hearing and the City Council is therefore authorized, pursuant to Section 53338 of said Code, to submit to the qualified electors of Improvement Area No. 2 of the Community Facilities District the proposition on whether the Rate and Method of Apportionment for Improvement Area No. 2 should be revised; (iv) there are no registered voters within Improvement Area No. 2 of the Community Facilities District and, pursuant to Section 53326 of the California Government Code, the vote in said election will therefore be by the owners of the taxable property within Improvement Area No. 2 of the Community Facilities District whose
Attachment 1
property would be subject to such special taxes if they were levied at the time of said election, with each owner having one vote for each acre or portion of an acre of land that he or she owns within the Improvement Area No. 2 of the Community Facilities District;
(v) Brookfield Holdings (Mirabella) LLC, a Delaware limited liability company, the owner of all of the taxable property within Improvement Area No. 2 of the Community Facilities District, has by written consent:
(a) waived the time limits set forth in Section 53326 of the California Government Code for holding the election called by this resolution;
(b) consented to the holding of the special election on January 15, 2025; (c) waived notice and mailed notice of the time and date of the consolidated special elections; and
(d) waived an impartial analysis of the ballot propositions pursuant to Section 9314 of the California Elections Code and arguments and rebuttals pursuant to Sections 9315 to 9317, inclusive, and Section 9295 of said Code, mailing of a statement pursuant to Section 9401 of that Code, and receipt of a ballot pamphlet as required by Section 3023 of that Code; and (vi) the City Clerk has consented to the holding of the special election on January 15, 2025.
Section 2. Revision of Rate and Method of Apportionment. It is necessary that the Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District be revised in the form of the Amended Rate and Method of Apportionment that is attached as Exhibit “A” to Resolution No. 24-139.
Section 3. Election. The City Council hereby calls and schedules a special election for January 15, 2025, immediately following the adoption of this resolution for Improvement Area No. 2 of the Community Facilities District on the proposition regarding the revision of the Rate and Method of Apportionment for Improvement Area No. 2.
Section 4. Proposition.
The proposition to be submitted to the qualified voters of Improvement Area No. 2 of Community Facilities District at such special election shall be as follows:
PROPOSITION A: Shall the Rate and Method of Apportionment of Special Tax for Improvement Area No. 2 of City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities) be revised at the special tax rates and pursuant to the method of apportioning the special tax, as set forth in the Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 of City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities), which is attached as Exhibit “A” to Resolution No. 24- 139, adopted by the City Council of the City of El Paso de Robles on December 3, 2024? Section 5. Conduct of Election. Except as otherwise provided in Section 6 hereof, the special election shall be conducted by the City Clerk in accordance with the provisions of the California Elections Code governing mail ballot elections of cities, and in particular the provisions of Division 4 (commencing with Section 4000) of that
Attachment 1
Code, insofar as they may be applicable. The ballot for said election shall be in the form attached as Exhibit “A” hereto.
Section 6. Election Procedures. The procedures to be followed in conducting the special election of the Community Facilities District on the proposition with respect to the revision of the Rate and Method of Apportionment for Improvement Area No. 2 (the “Special Election”) shall be as follows:
(a) Pursuant to Section 53326 of the California Government Code, ballots for the Special Election shall be distributed to the qualified electors of Improvement Area No. 2 of the Community Facilities District by the City Clerk by mail or personal service.
(b) Pursuant to applicable sections of the California Elections Code governing the conduct of mail ballot elections of cities, and in particular Division 4 (commencing with Section 4000) of that Code with respect to elections conducted by mail, the City Clerk shall mail or deliver to each qualified elector an official ballot in the form attached hereto as Exhibit “A,” and shall also mail or deliver to all such qualified electors of Improvement Area No. 2 of the Community Facilities District a ballot pamphlet and instructions to voter, including a sample ballot identical in form to the official ballot but identified as a sample ballot, a return identification envelope with prepaid postage thereon addressed to the City Clerk for the return of voted official ballots and a copy of the Resolution No. 24-139 adopted by the City Council on December 3, 2024. (c) The official ballot to be mailed or delivered by the City Clerk to each landowner-voter shall have printed or typed thereon the name of the landowner-voter and the number of votes to be voted by the landownervoter and shall have appended to it a certification to be signed by the person voting the official ballot which shall certify that the person signing the certification is the person who voted the official ballot, and if the landownervoter is other than a natural person, that he or she is an officer of or other person affiliated with the landownervoter entitled to vote such official ballot, that he or she has been authorized to vote such official ballot on behalf of the landowner-voter, that in voting such official ballot it was his or her intent, as well as the intent of the landowner-voter, to vote all votes to which the landowner-voter is entitled based on its land ownership on the propositions set forth in the official ballot as marked thereon in the voting square opposite each such proposition, and further certifying as to the acreage of the landowner-voter’s land ownership within Improvement Area No. 2 of the Community Facilities District.
(d) The return identification envelope to be mailed or delivered by the City Clerk to each landownervoter shall have printed or typed thereon the following: (i) the name of the landowner, (ii) the address of the landowner, (iii) a declaration under penalty of perjury stating that the voter is the landowner or the authorized representative of the landowner entitled to vote the enclosed ballot and is the person whose name appears on the identification envelope, (iv) the printed name and signature of the voter, (v) the address of the voter, (vi) the date of signing and place of execution of the declaration, and (vii) a notice that the envelope contains an official ballot and is to be opened only by the City Clerk.
(e) The instruction to voter form to be mailed or delivered by the City Clerk to the landowner-voters shall inform them that the official ballots shall be returned to the City Clerk properly voted as provided thereon and with the certification appended thereto properly completed and signed in the sealed return identification envelope with the certification thereon completed and signed and all other information to be inserted thereon properly inserted by 6:30 p.m. on the date of the Special Election; provided that if all qualified electors have voted, the elections shall be closed with the concurrence of the City Clerk.
Attachment 1
(f) Upon receipt of the return identification envelope which is returned prior to the voting deadline on the date of the election, the City Clerk shall canvass the votes cast in the Special Election and shall file a statement with the City Council as to the results of such canvass and the election on each proposition set forth in the official ballot.
Section 7. Effective Date. This Resolution shall take effect from and after the date of its passage and adoption.
APPROVED this 15th day of January, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
John R. Hamon, Jr., Mayor
ATTEST:
Melissa Boyer, City Clerk
Exhibit A – Form of Official Ballot
Attachment 1
EXHIBIT “A”
FORM OF OFFICIAL BALLOT
SPECIAL ELECTION FOR
IMPROVEMENT AREA NO. 2 OF
CITY OF PASO ROBLES COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH CHANDLER RANCH – FACILITIES)
COUNTY OF SAN LUIS OBISPO
STATE OF CALIFORNIA
January 15, 2025
This ballot is entitled to ___ votes.
To vote, mark a cross (+ or x) in the voting square after the word “YES” or after the word “NO.” All marks otherwise made are forbidden.
If you wrongly mark, tear, or deface this ballot, return it to the City Clerk and obtain another.
PROPOSITION A: Shall the Rate and Method of Apportionment of Special Tax for Improvement Area No. 2 of City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities) be revised at the special tax rates and pursuant to the method of apportioning the special tax, as set forth in the Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 of City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities), which is attached as Exhibit “A” to Resolution No. 24-139, adopted by the City Council of the City of El Paso de Robles on December 3, 2024?
Yes
No
Attachment 2
RESOLUTION 25-XXX(B)
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DECLARING THE RESULTS OF THE SPECIAL ELECTION WITHIN IMPROVEMENT AREA NO. 2 OF CITY OF PASO ROBLES COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH CHANDLER RANCH –
FACILITIES) ON A PROPOSITION REGARDING REVISING THE RATE AND METHOD APPORTIONMENT OF SPECIAL TAX OF IMPROVEMENT AREA NO. 2 OF SAID COMMUNITY FACILITIES DISTRICT WHEREAS, on January 15, 2025, after conducting a public hearing, the City Council (the “City Council”) of the City of El Paso de Robles (the “City”) adopted a resolution calling a special election (the “Election Resolution”) within and for Improvement Area No. 2 of the City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities) (the “Community Facilities District”) to submit to the qualified electors the proposition of whether the Rate and Method of Apportionment of Improvement Area No. 2 of the Community Facilities District should be revised as provided in the Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 that is attached as Exhibit “A” to Resolution No. 24-139 adopted by the City Council on December 3, 2024; and WHEREAS, the City Council has received statements from the City Clerk of the City (the “City Clerk”) who, pursuant to the Election Resolution, was authorized to conduct the special election within and for the Community Facilities District and act as the election official for such election, with respect to the canvass of the ballots returned and the results of the special election, certifying that more than two-thirds of the votes cast upon the propositions submitted to the voters in the special election in Improvement Area No. 2 of the Community Facilities District were cast in favor of all such propositions.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES DOES HEREBY RESOLVE AS FOLLOWS:
Section 1. Findings. The City Council finds that (i) there were no persons registered to vote within the boundaries of Improvement Area No. 2 of the Community Facilities District at the time of the close of the public hearing on January 15, 2025, and pursuant to Section 53326 of the California Government Code (“Section 53326”) the vote in the special election was, therefore, to be by the landowners owning land within Improvement Area No. 2 of the Community Facilities District, with each landowner having one vote for each acre or portion of an acre of land that he or she owned within Improvement Area No. 2 of the Community Facilities District, which would have been subject to the special tax, if levied at the time of the special election; (ii) pursuant to Section 53326 and the Election Resolution, the City Clerk caused to be delivered the ballots for the special election to Brookfield Holdings (Mirabella) LLC, a Delaware limited liability company (the “Owner”), the owner of all of the taxable property included within the boundaries of Improvement Area No. 2 of the Community Facilities District by mail or personal delivery; (iii) the Owner waived the time limits for holding the special election and the election dates specified in Section 53326, and consented to the calling and holding of the special election on January 15, 2025; (iv) the special election has been properly conducted in accordance with all statutory requirements and the provisions of the Election Resolution; (v) pursuant to Section 53326, the Owner, which owns approximately [__] taxable acres in Improvement Area No. 2 the Community Facilities District, was entitled to a total of [__] votes with respect to Improvement Area No. 2 of the Community Facilities District; (vi) the ballot for the special election within and for the Community Facilities District was returned by the Owner to the City Clerk prior to the hour on the date of the election specified by the City Council for the return of voted ballot; (vii) the
Attachment 2
ballot returned to the City Clerk by the Owner voted all votes to which the Owner was entitled in favor of all propositions set forth therein; (viii) more than two-thirds of the votes cast in the special election on each proposition were cast in favor thereof, and pursuant to Sections 53328, 53329 and 53355 of the California Government Code, all such propositions carried; (ix) the City Council, as the legislative body of the Community Facilities District, is therefore authorized to take the necessary action to annually levy special taxes on taxable property within Improvement Area No. 2 of the Community Facilities District in amounts sufficient to pay the principal of and interest on such bonds of Improvement Area No. 2 of the Community Facilities District that may be issued to finance public facilities for the Community Facilities District, and to pay directly for such public facilities, at the special tax rates and pursuant to the methodology for determining and apportioning such special taxes that are set forth in the Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District attached as Exhibit “A” to Resolution No. 24-139 of the City Council.
Section 2. Declaration of Results. All votes voted in the special election on the proposition were in favor of all propositions with respect to the revision of the Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District.
Section 3. Effect of Election. The effect of the results of the special election within and for the Community Facilities District, as specified in Section 2 hereof, is that the City Council, as the legislative body of the Community Facilities District, is authorized to annually levy special taxes on taxable property within Improvement Area No. 2 of the Community Facilities District in an amount sufficient to pay the principal of and interest on such bonds at the special tax rates, and to pay directly for such public facilities, pursuant to the methodology for determining and apportioning such special taxes that are set forth in the Amended and Restated Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District attached as Exhibit “A” to Resolution No. 24-139 of the City Council.
Section 4. Amendment to Notice of Special Tax Lien. The City Clerk shall record an amendment to notice of special tax lien for Improvement Area No. 2 of the Community Facilities District pursuant to Section 53328.3 of the California Government Code and Section 3114.5 of the California Streets and Highways Code.
Section 5. Entry of the Election Results in the Minutes. The City Clerk is hereby directed, pursuant to the provisions of the Elections Code of the State of California, to enter in the minutes the results of the election as set forth in said Certificate of Election Official, the form of which is attached hereto as Exhibit A.
Section 6. Effective Date. This Resolution shall take effect from and after the date of its passage and adoption.
APPROVED this #
st day of Month, 20YY, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
John R. Hamon, Jr.,
ATTEST:
Melissa Boyer, City Clerk
Exhibit A
EXHIBIT “A”
CERTIFICATE OF ELECTION OFFICIAL
AND STATEMENT OF VOTES CAST
STATE OF CALIFORNIA )
COUNTY OF SAN LUIS OBISPO )
CITY OF EL PASO DE ROBLES )
The undersigned, ELECTION OFFICIAL OF THE CITY OF EL PASO DE ROBLES, COUNTY OF SAN LUIS OBISPO, STATE OF CALIFORNIA, DOES HEREBY CERTIFY that pursuant to the provisions of Section 53326 of the Government Code and Division 12, commencing with Section 17000 of the Elections Code of the State of California, I did canvass the returns of the votes cast at the
CITY OF PASO ROBLES
COMMUNITY FACILITIES DISTRICT NO. 2022-1N
(OLSEN/SOUTH CHANDLER RANCH – FACILITIES)
SPECIAL ELECTION
(CHANGE PROCEEDINGS)
in said City, held on January 15, 2025.
I FURTHER CERTIFY that this Statement of Votes Cast shows the whole number of votes cast in the territory related to Improvement Area No. 2 of the City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities), and the whole number of votes cast for the Measure, and the totals of the respective columns and the totals as shown for the Measure are full, true and correct.
1. VOTES CAST ON PROPOSITION A: YES __ NO __
WITNESS my hand this 15
th day of January, 2025.
CITY CLERK
ELECTION OFFICIAL
CITY OF EL PASO DE ROBLES
STATE OF CALIFORNIA
Attachment 3
ORDINANCE NO. XXXX
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES, ACTING AS THE LEGISLATIVE BODY OF CITY OF PASO ROBLES COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH CHANDLER RANCH – FACILITIES) LEVYING SPECIAL TAXES WHEREAS, the City Council (the “City Council”) of the City of El Paso de Robles (the “City”) has previously formed City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities) (the “Community Facilities District”); and
WHEREAS, the City Council adopted Ordinance No. 1122 on August 16, 2022 (the “Original Ordinance”), levying special taxes in the Community Facilities District pursuant to the Rate and Method of Apportionment for Improvement Area No. 2 of the Community Facilities District attached to the resolution forming the Community Facilities District (the “Original RMA”); and WHEREAS, the City Council has now conducted proceedings within Improvement Area No. 2 of the Community Facilities District pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California (the “Act”) to amend and restate the Original RMA; and
WHEREAS, notice was published as required by the Act relative to the intention of the City Council to amend and restate the Original RMA and to implement, among other things, changes in the rates of special tax to be levied on parcels of taxable property in Improvement Area No. 2 4 of the Community Facilities District, as provided in the Amended and Restated Rate and Method of Apportionment For Improvement Area No. 2 of the Community Facilities District (the “Amended and Restated RMA”); and WHEREAS, the City Council has held a noticed public hearing as required by the Act relative to the determination to proceed with adoption of the Amended and Restated RMA; and WHEREAS, at said hearing all persons desiring to be heard on all matters pertaining to consideration of the Amended and Restated RMA of Improvement Area No. 2 of the Community Facilities District and the levy of said special taxes therein were heard, substantial evidence was presented and considered by the City Council, and a full and fair hearing was held; and WHEREAS, subsequent to said hearing, the City Council adopted a resolution calling for a special election of Improvement Area No. 2 of the Community Facilities District on a proposition regarding the amendment and restatement of the Original RMA; and
WHEREAS, an election was held within Improvement Area No. 2 of the Community Facilities District in which the eligible landowner electors approved all said propositions by more than the two-thirds vote required by the Act; and
WHEREAS, this Ordinance and the Amended and Restated RMA shall govern the levy of special taxes with respect to Improvement Area No. 2 of the Community Facilities District, and the Original Ordinance shall no longer control with respect to the levy of special taxes in Improvement Area No. 2 of the Community Facilities District.
Attachment 3
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES, ACTING AS THE LEGISLATIVE BODY OF CITY OF PASO ROBLES COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH CHANDLER RANCH – FACILITIES), DOES HEREBY ORDAIN AND DETERMINE AS FOLLOWS:
Section 1. By the passage of this Ordinance, the City Council hereby authorizes and levies special taxes within Improvement Area No. 2 of the Community Facilities District pursuant to California Government Code Sections 53328 and 53340, at the respective rates and in accordance with the Amended and Restated RMA, as set forth in Exhibit “A” to Resolution No. 24-139 adopted by the City Council on December 3, 2024 and attached hereto as Exhibit A. The special taxes for Improvement Area No. 2 of the Community Facilities District are hereby levied commencing in Fiscal Year 2025-26, and in each fiscal year thereafter, pursuant to the Amended and Restated RMA until payment in full of any bonds issued by Improvement Area No. 2 of the Community Facilities District (the “Bonds”), payment of all costs of the facilities to be paid with such funds, and payment of all costs of administering the Community Facilities District.
Section 2. The City Council is hereby further authorized and directed each fiscal year to determine the specific special tax rate and amount to be levied for the next ensuing fiscal year for each parcel of real property within Improvement Area No. 2 of the Community Facilities District, in the manner and as provided in the Amended and Restated RMA.
Section 3. Properties or entities of the State, federal or local governments shall be exempt from any levy of the special taxes, to the extent set forth in the Amended and Restated RMA for the Community Facilities District. In no event shall the special taxes to be levied on any parcel within Improvement Area No. 2 of the Community Facilities District be in excess of the maximum tax specified in the Amended and Restated RMA.
Section 4. All of the collections of the special tax for Improvement Area No. 2 of the Community Facilities District shall be used as provided for in the Act, the Amended and Restated RMA, and in the Resolution of Formation of the Community Facilities District adopted on August 2, 2022, including, but not limited to, the payment of principal and interest on the Bonds, the replenishment of the reserve fund for any such Bonds, the payment of the costs of the public facilities for Improvement Area No. 2 of the Community Facilities District, the payment of the costs of City in administering the Community Facilities District and the costs of collecting and administering the special taxes levied in the Community Facilities District.
Section 5. The special taxes shall be collected from time to time as necessary to meet the financial obligations of the Community Facilities District on the secured real property tax roll in the same manner as ordinary ad valorem taxes are collected. The City is hereby authorized and directed to provide all necessary information to the auditor/tax collector of the County of San Luis Obispo and to otherwise take all actions necessary in order to effect proper billing and collection of the special tax, so that the special tax shall be levied and collected in sufficient amounts and at the times necessary to satisfy the financial obligations of the Community Facilities District in each fiscal year as provided in the Amended and Restated RMA for Improvement Area No. 2 of the Community Facilities District.
The special taxes shall have the same lien priority, and be subject to the same penalties and the same procedure and sale in cases of delinquency as provided for ad valorem taxes. In addition, the provision of Section 53356.1 of the Act shall apply to delinquent special tax payments.
Attachment 3
Section 6. If for any reason any portion of this Ordinance is found to be invalid, or if the special tax is found inapplicable to any particular parcel within Improvement Area No. 2 of the Community Facilities District, by a court of competent jurisdiction, the balance of this ordinance and the application of the special tax to the remaining parcels within Improvement Area No. 2 of the Community Facilities District shall not be affected.
Section 7. The Mayor shall sign this ordinance and the City Clerk of the City shall attest thereto and shall, within fifteen days of its adoption, cause this Ordinance, or a summary of this Ordinance, to be published in a newspaper of general circulation in the City.
INTRODUCED at a regular meeting of the City Council held on _______, 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
AMENDED AND RESTATED
RATE AND METHOD OF APPORTIONMENT FOR
IMPROVEMENT AREA NO. 2
[Attached]
Exhibit A
1 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities)
AMENDED AND RESTATED RATE AND METHOD OF
APPORTIONMENT OF SPECIAL TAXES
IMPROVEMENT AREA NO. 2 OF
CITY OF PASO ROBLES
COMMUNITY FACILITIES DISTRICT NO. 2022-1N
(OLSEN/SOUTH CHANDLER RANCH - FACILITIES)
A Special Tax as hereinafter defined shall be levied on all Assessor’s Parcels in Improvement Area No. 2 ("IA No. 2") of City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch - Facilities) ("CFD No. 2022-1N (IA No. 2)") and collected each Fiscal Year commencing in Fiscal Year 2024-2025, in an amount determined by the Council, through the application of this Rate and Method of Apportionment as described below. All of the real property in CFD No. 2022-1N (IA No. 2), unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.
A DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Acre" or "Acreage" means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map, or if the land area is not shown on an Assessor’s Parcel Map, the land area shown on the applicable Final Map, parcel map, condominium plan, or other recorded County parcel map.
"Act" means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5, of Part 1 of Division 2 of Title 5 of the Government Code of the State of California.
"Administrative Expenses" means the following actual or reasonably estimated costs directly related to the administration of CFD No. 2022-1N (IA No. 2): the costs of computing the Special Taxes and preparing the annual Special Tax collection schedules (whether by the City or designee thereof or both); the costs of collecting the Special Taxes (whether by the City or otherwise); the costs of remitting the Special Taxes to the Trustee; the costs of the Trustee (including its legal counsel) in the discharge of the duties required of it under the Indenture; the costs to the City, CFD No. 2022-1N (IA No. 2) or any designee thereof of complying with arbitrage rebate requirements; the costs to the City, CFD No. 2022-1N (IA No. 2) or any designee thereof of complying with City, CFD No. 2022-1N (IA No. 2), major property owner, or obligated persons disclosure requirements associated with applicable federal and state securities laws and of the Act; the costs associated with preparing Special Tax disclosure statements and responding to public inquiries regarding the Special Taxes; the costs of the City, CFD No. 2022-1N (IA No. 2), or any designee thereof related to an appeal of the Special Tax; the costs associated with the release of funds from an escrow account; and the City’s annual administration fees and third party expenses. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2022-1N (IA No. 2) for any other administrative purposes of CFD No. 2022-1N (IA No. 2), including attorney’s fees and other costs related to commencing and pursuing to completion any foreclosure, or otherwise addressing the disposition of delinquent Special Taxes.
Exhibit A
2 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) "Assessor’s Parcel" means any real property to which an Assessor’s Parcel Number is assigned as shown on an Assessor’s Parcel Map.
"Assessor’s Parcel Map" means an official map of the County Assessor of the County designating parcels by Assessor’s Parcel Number.
"Assessor’s Parcel Number" means that number assigned to an Assessor’s Parcel by the County for purposes of identification.
"Assigned Special Tax" means the Special Tax for each Land Use Class of Developed Property, as determined in accordance with Section C below. “Authorized Facilities” means the facilities authorized to be financed by CFD No. 2022-1N.
"Backup Special Tax" means the Special Tax of that name described in Section C below.
"Bonds" means any bonds or other debt as defined in Section 53317(d) of the Act, whether in one or more series, issued by CFD No. 2022-1N for IA No. 2 under the Act. "Boundary Map" means a recorded map which indicates the boundaries of CFD No. 2022-1N (IA No. 2).
"Building Permit" means the first legal document issued by the City giving official permission for the construction of a building on an Assessor’s Parcel. For purposes of this definition and application of the Special Tax, “Building Permit” may or may not include any subsequent building permits issued or changed after the first issuance, as determined by the CFD Administrator.
"Calendar Year" means the period commencing January 1 of any year and ending the following December 31.
"CFD Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes.
"CFD No. 2022-1N" means the City of Paso Robles Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch – Facilities).
“City” means the City of Paso Robles.
"Council" means the City Council.
"County" means the County of San Luis Obispo.
"Developed Property" means, for each Fiscal Year, all Taxable Property located within a Final Map that was recorded as of January 1 of the prior Fiscal Year, for which a Building Permit was issued prior to May 1 of the prior Fiscal Year. “Dwelling Unit” means one residential unit of any configuration, including, but not limited to, a single-family attached or detached dwelling, condominium, mobile home, or otherwise, excluding hotels and motels. A casita or accessory dwelling unit (“ADU”) of any configuration shall not be counted as a separate Dwelling Unit for purposes of this Rate and Method of Apportionment.
“Exempt Welfare Exemption Property” means, for each Fiscal Year, an Assessor’s Parcel that, prior to the issuance of Bonds, received a welfare exemption under subdivision (g) of Section 214 of the California Revenue and Taxation Code (or any Exhibit A
3 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) successor statute), as indicated in the County’s assessor’s roll finalized as of January 1 of the previous Fiscal Year, and is exempt from the Special Tax pursuant to Section 53340(c) of the Act.
"Final Map" means (i) a final map, or portion thereof, approved by the County pursuant to the Subdivision Map Act (California Government Code Section 66410 et seq.) that creates individual lots or parcels for which Building Permits may be issued without further subdivision, or (ii) for condominiums, a final map approved by the County and a condominium plan recorded pursuant to California Civil Code Section 4285 creating such individual lots or parcels.
"Final Mapped Property" means all Assessor’s Parcels of Taxable Property: (i) that are included in a Final Map recorded prior to the January 1st preceding the Fiscal Year in which the Special Tax is being levied; and (ii) for which a Building Permit has not been issued on or before May 1 preceding the Fiscal Year in which the Special Tax is being levied.
"Fiscal Year" means the period starting July 1 and ending on the following June 30. "Improvement Area No. 2" or "IA No. 2" means Improvement Area No. 2 of CFD No. 2022-1N.
"Indenture" means the indenture, fiscal agent agreement, resolution, or other instrument pursuant to which Bonds are issued, as modified, amended and/or supplemented from time to time.
"Land Use Class" means any of the categories listed in Table 1 herein. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section C below, that can be levied in any Fiscal Year on any Assessor’s Parcel within CFD No. 2022-1N (IA No. 2).
“Non-Residential Floor Area” means the total building square footage of the nonresidential building(s) located on an Assessor’s Parcel, measured from outside wall to outside wall, not including space devoted to stairwells, public restrooms, lighted courts, vehicle parking and areas incident thereto, and mechanical equipment incidental to the operation of such building. The determination of Non-Residential Floor Area shall be made by reference to the Building Permit(s) issued for such Assessor’s Parcel and/or to the appropriate records kept by the City, as reasonably determined by the CFD Administrator.
"Non-Residential Property" means all Assessor's Parcels of Taxable Property for which a Building Permit(s) was issued for a non-residential use. The CFD Administrator shall make the determination if an Assessor’s Parcel is Non-Residential Property.
"Outstanding Bonds" means all Bonds which are deemed to be outstanding under the Indenture.
"Partial Prepayment Amount" means the amount required to prepay a portion of the Special Tax obligation for an Assessor’s Parcel, as described in Section G.2. "Prepayment Amount" means the amount required to prepay the Special Tax obligation in full for an Assessor’s Parcel, as described in Section G.1. “Property Owner’s Association” means, collectively, any property owner association Exhibit A
4 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) or homeowners association, including any master or sub-association, created for CFD No. 2022-1N (IA No. 2).
"Property Owner Association Property" means, for each Fiscal Year, any property within the boundaries of CFD No. 2022-1N (IA No. 2) that was owned by a Property Owner Association, as of January 1 of the prior Fiscal Year. "Proportionately" means, for Developed Property, that the ratio of the actual Special Tax levy to the Assigned Special Tax is equal for all Assessor’s Parcels of Developed Property. For Undeveloped Property, "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is equal for all Assessor’s Parcels of Undeveloped Property. For Taxable Property Owner Association Property, "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is equal for all Assessor’s Parcels of Taxable Property Owner Association Property. For Taxable Public Property, "Proportionately" means that the ratio of the actual Special Tax levy per Acre to the Maximum Special Tax per Acre is equal for all Assessor’s Parcels of Taxable Public Property.
"Public Property" means, for each Fiscal Year, any property within CFD No. 2022-1N (IA No. 2) that is owned by, irrevocably offered for dedication to, or dedicated to the federal government, the State, the City, or any other public agency as of June 30 of the prior Fiscal Year; provided however that any property leased by a public agency to a private entity and subject to taxation under Section 53340.1 of the Act shall be taxed and classified in accordance with its use. To ensure that property is classified as Public Property in the first Fiscal Year after it is acquired by, irrevocably offered for dedication to, or dedicated to a public agency, the property owner shall notify the CFD Administrator in writing of such acquisition, offer, or dedication not later than June 30 of the Fiscal Year in which the acquisition, offer, or dedication occurred. “Rate and Method of Apportionment” means this Amended and Restated Rate and Method of Apportionment of Special Taxes, City of Paso Robles, Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch - Facilities). "Residential Floor Area" means all of the square footage of living area within the perimeter of a Dwelling Unit, not including any carport, walkway, garage, overhang, patio, enclosed patio, or similar area. The CFD Administrator shall determine the Residential Floor Area based upon the Building Permit(s) issued for such Dwelling Unit.
"Residential Property" means Developed Property, for which a Building Permit has been issued for purposes of constructing one or more Dwelling Units. "Special Tax" means a special tax levied in any Fiscal Year to pay the Special Tax Requirement.
“Special Tax Requirement” means that amount required in any Fiscal Year to: (i) pay debt service on all Outstanding Bonds; (ii) pay periodic costs on the Bonds, including but not limited to, credit enhancement and rebate payments on the Bonds; (iii) pay Administrative Expenses; (iv) pay any amounts required to establish or replenish any reserve funds for all Outstanding Bonds to the extent such establishment or replenishment has not been included in a computation of the Special Tax Requirement in a previous Fiscal Year; (v) pay directly for the acquisition or construction of Authorized Facilities to the extent that inclusion of such amount Exhibit A
5 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) does not increase the Special Tax levy on Final Mapped Property or Undeveloped Property; and (vi) pay for reasonably anticipated Special Tax delinquencies based on the historical delinquency rate for CFD No. 2022-1N (IA No. 2) as determined by the CFD Administrator; less (vii) a credit for funds available to reduce the annual Special Tax levy, as determined by the CFD Administrator pursuant to the Indenture. "State" means the State of California.
"Taxable Property" means all of the Assessor’s Parcels within the boundaries of CFD No. 2022-1N (IA No. 2) which are not exempt from the Special Tax pursuant to law or Section E below.
"Taxable Property Owner Association Property" means all Assessor’s Parcels of Property Owner Association Property that are not exempt pursuant to Section E below.
"Taxable Public Property" means all Assessor’s Parcels of Public Property that are not exempt pursuant to Section E below.
“Total Floor Area” means the sum of the Residential Floor Area and the NonResidential Floor Area located on an Assessor’s Parcel. "Trustee" means the trustee or fiscal agent under the Indenture. "Undeveloped Property” means all Assessor’s Parcels of Taxable Property which are not Developed Property, Final Mapped Property, Public Property, or Property Owner’s Association Property.
B ASSIGNMENT TO LAND USE CLASSES
Each Fiscal Year, beginning with Fiscal Year 2024-2025, each Assessor’s Parcel of Taxable Property shall be classified as Developed Property, Final Mapped Property, Undeveloped Property, Public Property and/or Property Owner’s Association Property.
Assessor’s Parcels of Developed Property shall further be classified as Residential Property or Non-Residential Property. Each Assessor’s Parcel of Residential Property shall be further categorized into Land Use Classes based on its Residential Floor Area and assigned the appropriate Assigned Special Tax.
The determination of the Residential Floor Area shall be made by reference to the original Building Permit issued for the Dwelling Unit of an Assessor’s Parcel. The Building Permit may include any subsequent document(s) authorizing new construction on an Assessor’s Parcel that are issued or changed by the City after the original issuance, as determined by the CFD Administrator as necessary to fairly allocate Special Tax to the Assessor’s Parcel, provided that following such determination the Maximum Special Tax that may be levied on all Assessor’s Parcels of Taxable Property in each year will be at least 1.1 times annual debt service on all outstanding Bonds plus the estimated annual Administrative Expenses in each year.
C MAXIMUM SPECIAL TAX RATE
C.1 Developed Property
The Maximum Special Tax for each Assessor’s Parcel classified as Developed Property shall be the greater of (i) the amount derived by application of the Assigned Special Tax or (ii) the amount derived by application of the Backup Special Tax.
Exhibit A
6 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Assigned Special Tax
Each Fiscal Year, each Assessor’s Parcel of Residential Property or Non-Residential Property shall be subject to an Assigned Special Tax. The Assigned Special Tax applicable to an Assessor's Parcel of Developed Property shall be determined pursuant to Table 1 below.
Table 1: Assigned Special Tax for Developed Property
Land Use
Class
Description Assigned Special Tax
1 RESIDENTIAL PROPERTY (>= 2,300 SF) $6,588 PER DWELLING UNIT 2 RESIDENTIAL PROPERTY (2,200 - 2,299 SF) $6,391 PER DWELLING UNIT 3 RESIDENTIAL PROPERTY (2,100 - 2,199 SF) $6,076 PER DWELLING UNIT 4 RESIDENTIAL PROPERTY (2,000 - 2,099 SF) $5,760 PER DWELLING UNIT 5 RESIDENTIAL PROPERTY (1,900 - 1,999 SF) $5,563 PER DWELLING UNIT 6 RESIDENTIAL PROPERTY (< 1,900 SF) $5,248 PER DWELLING UNIT 7 NON-RESIDENTIAL PROPERTY $34,020 PER ACRE
Backup Special Tax
The Backup Special Tax for each Assessor’s Parcel of Residential Property in a Final Map shall be computed by multiplying the Acreage of all Taxable Property (excluding Acreage associated with current or expected Non-Residential Property, Taxable Public Property, or Taxable Property Owner Association Property, if any) in such Final Map by $34,020, and dividing the product by the number of such Assessor’s Parcels (i.e., the number of residential lots) in such Final Map.
Notwithstanding the foregoing, if all or any portion of a Final Map is subsequently changed or modified, then the Backup Special Tax for each Assessor’s Parcel of Residential Property in such Final Map, or the portion thereof that is changed or modified, shall be a rate per Acre calculated as follows:
1. Determine the total Backup Special Taxes anticipated to apply to the changed or modified portion of the Final Map prior to the change or modification.
2. Divide the amount determined pursuant to paragraph 1 above by the total Acreage of Residential Property excluding Non-Residential Property, Taxable Public Property, and Taxable Property Owner Association Property which is ultimately expected to exist in such changed or modified Final Map area, as reasonably determined by the CFD Administrator.
3. The result is the Backup Special Tax per Acre which shall be applicable to all Assessor's Parcels of Residential Property in such changed or modified Final Map.
C.2 Final Mapped Property
The Maximum Special Tax for each Assessor’s Parcel of Final Mapped Property expected to be classified as Residential Property shall be the Backup Special Tax computed pursuant to Section C.1.b above.
C.3 Undeveloped Property, Taxable Property Owner Association Property, Exhibit A
7 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) and/or Taxable Public Property.
The Maximum Special Tax for each Assessor’s Parcel of Undeveloped Property, Taxable Property Owner Association Property, or Taxable Public Property shall be $34,020 per Acre.
C.4 Multiple Land Use Classes
In some instances, an Assessor’s Parcel of Developed Property may contain more than one Land Use Class. The annual Maximum Special Taxes levied on an Assessor’s Parcel shall be the sum of the Maximum Special Taxes for all Land Use Classes located on that Assessor’s Parcel. If an Assessor’s Parcel of Developed Property includes Non-Residential Property, the Acreage to be assigned to such property for purposes of establishing the Special Tax shall be an amount proportional to the Total Floor Area associated with Non-Residential Property, as applicable. Furthermore, for a condominium plan, if only a portion of its Building Permits have been issued, the remaining portion of the condominium plan shall be considered Final Mapped Property. The CFD Administrator’s allocation to each type of property shall be final.
D APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2024-2025 and for each following Fiscal Year, the Council shall determine the Special Tax Requirement and shall levy the Special Tax until the total Special Tax levy equals the Special Tax Requirement. The Special Tax shall be levied each Fiscal Year as follows:
First: The Special Tax shall be levied Proportionately on each Assessor’s Parcel of Developed Property up to 100% of the applicable Assigned Special Tax to satisfy the Special Tax Requirement.
Second: If additional monies are needed to satisfy the Special Tax Requirement after the first step has been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Final Mapped Property at up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.
Third: If additional moneys are needed to satisfy the Special Tax Requirement after the first two steps have been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Undeveloped Property up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.
Fourth: If additional moneys are needed to satisfy the Special Tax Requirement after the first three steps have been completed, the Special Tax on each Assessor's Parcel of Developed Property whose Maximum Special Tax is the Backup Special Tax shall be increased Proportionately from the Assigned Special Tax up to 100% of the Maximum Special Tax as needed to satisfy the Special Tax Requirement.
Fifth: If additional moneys are needed to satisfy the Special Tax Requirement after the first four steps have been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Taxable Property Owner Association Property up to 100% of the Maximum Special Tax applicable to each such Assessor’s Exhibit A
8 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Parcel as needed to satisfy the Special Tax Requirement.
Sixth: If additional moneys are needed to satisfy the Special Tax Requirement after the first five steps have been completed, the Special Tax shall be levied Proportionately on each Assessor’s Parcel of Taxable Public Property up to 100% of the Maximum Special Tax applicable to each such Assessor’s Parcel as needed to satisfy the Special Tax Requirement.
Notwithstanding the above, under no circumstances will the Special Taxes levied in any Fiscal Year against any Assessor’s Parcel of Residential Property as a result of a delinquency in the payment of the Special Tax applicable to any other Assessor’s Parcel be increased by more than 10% above the amount that would have been levied in that Fiscal Year had there never been any such delinquency or default.
E EXEMPTIONS
No Special Tax shall be levied on Property Owner Association Property or Public Property in CFD No. 2022-1N (IA No. 2), provided that an Assessor’s Parcel shall not be exempt and shall be classified as Taxable Property Owner Association Property and Taxable Public Property if exempting such property would reduce the sum of all Taxable Property to less than 30.1 Acres. Tax-exempt status will be assigned by the CFD Administrator in the chronological order in which such Assessor’s Parcels or portions thereof in CFD No. 2022- 1N (IA No. 2) become Public Property or Property Owner Association Property. However, should an Assessor’s Parcel no longer be classified as Public Property or Property Owner Association Property, it will, from that point forward, be subject to the Special Tax.
Property Owner Association Property or Public Property that is not exempt from the Special Tax under this section shall be subject to the levy of the Special Tax and shall be taxed Proportionately as part of the fifth step and sixth step in Section D above, respectively, at up to 100% of the applicable Maximum Special Tax for Taxable Property Owner Association Property or Taxable Public Property.
In addition, no Special Tax shall be levied on any Assessor’s Parcel in any Fiscal Year in which such Assessor’s Parcel is classified as Exempt Welfare Exemption Property.
F APPEALS AND INTERPRETATIONS
Any taxpayer may file a written appeal of the Special Tax on his/her property with the CFD Administrator, provided that the appellant is current in his/her payments of Special Taxes.
During the pendency of an appeal, all Special Taxes previously levied must be paid on or before the payment date established when the levy was made. The appeal must specify the reasons why the appellant claims the Special Tax is in error. The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination. If the CFD Administrator agrees with the appellant, the CFD Administrator shall eliminate or reduce the Special Tax on the appellant’s property.
If the CFD Administrator disagrees with the appellant and the appellant is dissatisfied with the determination, the appellant then has 30 days in which to appeal to the Council by filing a written notice of appeal with the clerk of the Council, provided that the appellant is current in his/her payments of Special Taxes. The second appeal must specify the reasons for the disagreement with the CFD Administrator’s determination.
Interpretations may be made by the Council by ordinance or resolution for purposes of clarifying any vagueness or ambiguity in this Rate and Method of Apportionment.
G PREPAYMENT
Exhibit A
9 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) The following additional definitions apply to this Section G:
“CFD Public Facilities” means $14,400,000 or such lower amount (i) authorized by the Council to provide the public facilities to be funded under CFD No. 2022-1N (IA No. 2), or (ii) determined by the Council concurrently with a covenant that it will not issue any more Bonds to be supported by the Special Tax levied under this Rate and Method of Apportionment.
“Construction Fund” means a fund held by the Trustee to fund CFD Public Facilities. “Future Facilities Cost” means the CFD Public Facilities minus public facility costs previously funded, or that can be funded from funds in the Construction Fund. “Outstanding Bonds” means all previously issued Bonds secured by the levy of the Special Tax which will remain outstanding after the first interest and/or principal payment date following the current Fiscal Year, excluding Bonds to be redeemed at a later date with the proceeds of prior prepayments of the Special Tax.
G.1 Prepayment in Full
The Maximum Special Tax obligation may be prepaid and permanently satisfied for (i) Assessor’s Parcels of Developed Property, (ii) Assessor’s Parcels of Final Mapped Property or Undeveloped Property for which a Building Permit has been issued, (iii) Assessor’s Parcels of Final Mapped Property or Undeveloped Property for which a Building Permit has not been issued; and (iv) Assessor’s Parcels of Public Property or Property Owner’s Association Property that are not exempt pursuant to Section E.
The Maximum Special Tax obligation applicable to an Assessor’s Parcel may be fully prepaid and the obligation to pay the Special Tax for such Assessor’s Parcel permanently satisfied as described herein; provided that a prepayment may be made only if there are no delinquent Special Taxes with respect to such Assessor’s Parcel at the time of prepayment. An owner of an Assessor’s Parcel intending to prepay the Maximum Special Tax obligation for such Assessor’s Parcel shall provide the CFD Administrator with written notice of intent to prepay, and within 5 business days of receipt of such notice, the CFD Administrator shall notify such owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by CFD No. 2022-1N (IA No. 2) in calculating the Prepayment Amount (as defined below) for the Assessor’s Parcel. Within 15 days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the Prepayment Amount for the Assessor’s Parcel. Prepayment must be made not less than 60 days prior to the redemption date for any Bonds to be redeemed with the proceeds of such Prepayment Amount.
The Prepayment Amount shall be calculated as follows (capitalized terms are defined below):
Prepayment Amount
Bond Redemption Amount
plus Redemption Premium
plus Future Facilities Amount
plus Defeasance Amount
plus Administrative Fees and Expenses
Exhibit A
10 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) less Reserve Fund Credit
less Capitalized Interest Credit
Total: equals Special Tax Prepayment Amount
The Prepayment Amount shall be determined as of the proposed prepayment date as follows:
1. Confirm that no Special Tax delinquencies apply to such Assessor’s Parcel.
2. For an Assessor’s Parcel of Developed Property, compute the Maximum Special Tax for the Assessor’s Parcel. For an Assessor’s Parcel of Final Mapped Property or Undeveloped Property for which a Building Permit has been issued, compute the Maximum Special Tax for the Assessor’s Parcel as though it was already designated as Developed Property, based upon the Building Permit which has been issued for the Assessor’s Parcel. For an Assessor’s Parcel of Final Mapped Property or Undeveloped Property for which a Building Permit has not been issued, Public Property or Property Owner’s Association Property to be prepaid, compute the Maximum Special Tax for the Assessor’s Parcel.
3. Divide the Maximum Special Tax derived pursuant to paragraph 2 by the total amount of Special Taxes that could be levied at the Maximum Special Tax at build out of all Assessor’s Parcels of Taxable Property based on the applicable Maximum Special Tax for Assessor’s Parcels of Developed Property not including any Assessor’s Parcels for which the Special Tax obligation has been previously prepaid.
4. Multiply the quotient derived pursuant to paragraph 3 by the principal amount of the Outstanding Bonds to determine the amount of Outstanding Bonds to be redeemed with the Prepayment Amount (the “Bond Redemption Amount”).
5. Multiply the Bond Redemption Amount by the applicable redemption premium, if any, on the Outstanding Bonds to be redeemed (the “Redemption Premium”).
6. Determine the Future Facilities Cost.
7. Multiply the quotient derived pursuant to paragraph 3 by the amount determined pursuant to paragraph 6 to determine the amount of Future Facilities Costs for the Assessor’s Parcel, which amount shall not be less than $0 (the “Future Facilities Amount”).
8. Determine the amount needed to pay interest on the Bond Redemption Amount from the first bond interest payment date following the current Fiscal Year until the earliest redemption date for the Outstanding Bonds on which Bonds can be redeemed from the Prepayment Amount.
9. Determine the Special Tax levied on the Assessor’s Parcel in the current Fiscal Year which has not yet been paid.
10. Determine the amount the CFD Administrator reasonably expects to derive from the investment of the Bond Redemption Amount and the Redemption Premium from the date of prepayment until the redemption date for the Exhibit A
11 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Outstanding Bonds to be redeemed with the Prepayment Amount.
11. Add the amounts derived pursuant to paragraphs 8 and 9 and subtract the amount derived pursuant to paragraph 10 (the “Defeasance Amount”).
12. Verify the administrative fees and expenses of CFD No. 2022-1N (IA No. 2), including the cost of computation of the Prepayment Amount, the cost to invest the Prepayment Amount, the cost of redeeming the Outstanding Bonds, and the cost of recording notices to evidence the prepayment of the Maximum Special Tax obligation for the Assessor’s Parcel and the redemption of Outstanding Bonds (the “Administrative Fees and Expenses”).
13. The reserve fund credit (the “Reserve Fund Credit”) shall equal the lesser of:
(a) the expected reduction in the reserve requirement (as defined in the Indenture), if any, associated with the redemption of Outstanding Bonds as a result of the Prepayment Amount, or (b) the amount derived by subtracting the new reserve requirement (as defined in the Indenture) in effect after the redemption of Outstanding Bonds as a result of the Prepayment Amount from the balance in the reserve fund on the prepayment date, but in no event shall such amount be less than zero.
14. If any capitalized interest for the Outstanding Bonds will not have been expended at the time of the first interest payment following the current Fiscal Year, the capitalized interest credit (the “Capitalized Interest Credit”) shall be calculated by multiplying the quotient derived pursuant to paragraph 3 by the expected balance in the capitalized interest account after such first interest payment.
15. The Prepayment Amount is equal to the sum of the Bond Redemption Amount, the Redemption Premium, the Future Facilities Amount, the Defeasance Amount and the Administrative Fees and Expenses, less the Reserve Fund Credit, less the Capitalized Interest Credit.
16. From the Prepayment Amount, the Bond Redemption Amount, the Redemption Premium, and Defeasance Amount shall be deposited into the appropriate fund as established under the Indenture and be used to redeem Outstanding Bonds or make debt service payments. The Future Facilities Amount shall be deposited into the Construction Fund. The Administrative Fees and Expenses shall be retained by CFD No. 2022-1N (IA No. 2).
The Prepayment Amount may not be sufficient to redeem an aggregate principal amount of Outstanding Bonds which is equally divisible by $5,000. In such event, the increment above $5,000 or an integral multiple thereof will be retained in the appropriate fund established under the Indenture to be used with the next redemption from other Special Tax prepayments of Outstanding Bonds or to make debt service payments.
As a result of the payment of the current Fiscal Year’s Special Tax levy as determined pursuant to paragraph 9 above, the CFD Administrator shall remove the current Fiscal Year’s Special Tax levy for the Assessor’s Parcel from the County tax roll. With respect to any Assessor’s Parcel for which the Maximum Special Tax obligation is prepaid, the Council shall cause a suitable notice to be recorded in compliance with the Act, to indicate the prepayment of Maximum Special Tax obligation and the release of the Special Tax lien for the Assessor’s Parcel, and the obligation to pay the Exhibit A
12 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Special Tax for such Assessor’s Parcel shall cease.
Notwithstanding the foregoing, no Special Tax prepayment shall be allowed unless the amount of Maximum Special Tax that may be levied on all Assessor’s Parcels of Taxable Property after the proposed prepayment will be at least 1.1 times maximum annual debt service on the Bonds that will remain outstanding after the prepayment plus the estimated annual Administrative Expenses.
G.2 Prepayment in Part
The Maximum Special Tax obligation for (i) Assessor’s Parcels of Developed Property, (ii) Assessor’s Parcels of Final Mapped Property or Undeveloped Property for which a Building Permit has been issued, (iii) Assessor’s Parcels of Final Mapped Property or Undeveloped Property for which a Building Permit has not been issued; and (iv) Assessor’s Parcels of Public Property or Property Owner’s Association Property that are not exempt pursuant to Section E, may be partially prepaid. For purposes of determining the partial prepayment amount, the provisions of Section G.1 shall be modified as provided by the following formula:
PP = ((PE –A) x F) +A
These terms have the following meaning:
PP = The partial prepayment;
PE = The Prepayment Amount calculated according to Section G.1; F = The percent by which the owner of the Assessor’s Parcel(s) is partially prepaying the Special Tax obligation; and
A = The Administrative Fees and Expenses determined pursuant to Section G.1.
The owner of an Assessor’s Parcel who desires to partially prepay the Maximum Special Tax obligation for the Assessor’s Parcel shall notify the CFD Administrator of (i) such owner’s intent to partially prepay the Maximum Special Tax obligation, (ii) the percentage of the Maximum Special Tax obligation such owner wishes to prepay, and (iii) the company or agency that will be acting as the escrow agent, if any. Within 5 days of receipt of such notice, the CFD Administrator shall notify such property owner of the amount of the non-refundable deposit determined to cover the cost to be incurred by CFD No. 2022-1N (IA No. 2) in calculating the amount of a partial prepayment. Within 15 business days of receipt of such non-refundable deposit, the CFD Administrator shall notify such owner of the amount of the Partial Prepayment for the Assessor’s Parcel. A Partial Prepayment must be made not less than 60 days prior to the redemption date for the Outstanding Bonds to be redeemed with the proceeds of the Partial Prepayment Amount.
With respect to any Assessor’s Parcel for which the Maximum Special Tax obligation is partially prepaid, the CFD Administrator shall (i) distribute the Partial Prepayment Amount as provided in Paragraph 16 of Section G.1, and (ii) indicate in the records of CFD No. 2022-1N (IA No. 2) that there has been a Partial Prepayment for the Assessor’s Parcel and that a portion of the Special Tax obligation equal to the remaining percentage (1.00 - F) of Special Tax obligation will continue on the Assessor’s Parcel pursuant to Section D.
Exhibit A
13 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities)
H SPECIAL TAX REDUCTION
The following definitions apply to this Section H:
"Base Price" means, with respect to the Dwelling Units in each Plan Type, as of the date of the applicable Price Point Study, the base price of such Dwelling Units, estimated by the Price Point Consultant as of such date, based upon their actual or expected characteristics, such as living area, view, or lot size, but excluding potential appreciation or premiums, options or upgrades.
"Plan Type" means a discrete residential plan type generally consisting of residential Dwelling Units that share a common product type (e.g., detached, attached) and that have nearly identical amounts of living area, that is constructed or expected to be constructed within CFD No. 2022-1N (IA No. 2) as identified in the Price Point Study. "Price Point Consultant" means any consultant or firm of such consultants selected by CFD No. 2022-1N (IA No. 2) that (a) has substantial experience in performing price point studies or otherwise estimating or confirming pricing for Dwelling Units within community facilities districts, (b) is well versed in analyzing economic and real estate data that relates to the pricing of Dwelling Units in community facilities districts, (c) is independent and not under the control of CFD No. 2022-1N (IA No. 2), the City, or the developer, (d) does not have any substantial interest, direct or indirect, with or in CFD No. 2022-1N (IA No. 2), the City, any owner of real property in CFD No. 2022- 1N (IA No. 2), or any real property in CFD No. 2022-1N (IA No. 2), and (e) is not connected with CFD No. 2022-1N (IA No. 2) or the City as an officer or employee thereof, but who may be regularly retained to make reports to CFD No. 2022-1N (IA No. 2) or the County.
"Price Point Study" means a price point study or a letter updating a previous price point study, which (a) has been prepared by the Price Point Consultant, (b) sets forth the Plan Types constructed or expected to be constructed within CFD No. 2022-1N (IA No. 2), (c) sets forth the estimated number of constructed and expected Dwelling Units for each Plan Type, (d) sets forth estimates of the Base Price for each Plan Type and (e) uses a date for establishing such Base Prices that is no earlier than 30 days prior to the date the Price Point Study is delivered to the CFD Administrator pursuant to Section H herein.
"Total Effective Tax Rate" means, for a Plan Type, (a) the Total Tax Burden for such Plan Type divided by (b) the Base Price for such Plan Type, converted to a percentage. "Total Effective Tax Rate Limit" means, 1.90%.
"Total Tax Burden” means, with respect to a Plan Type, for the Fiscal Year for which the calculation is being performed, the sum of the Assigned Special Tax and estimated ad valorem property taxes, special assessments, special taxes for any overlapping community facilities districts, and any other governmental taxes, fees and charges levied or imposed on Dwelling Units of such Plan Type in CFD No. 2022- 1N (IA No. 2) in such Fiscal Year or that would have been levied on all such Dwelling Units had these Dwelling Units been subject to such levies (excluding homeowner’s association dues and Property Assessed Clean Energy (“PACE”) charges imposed pursuant to AB 811 or SB 555, that are levied on individual Assessor’s Parcels, or any other charges applicable to the Assessor’s Parcels initiated by the homeowner after the close of escrow).
Exhibit A
14 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Prior to the issuance of a second series of Bonds (or the first series of Bonds, if such series is the final series of Bonds, as determined by the City), the following steps shall be taken for each Land Use Class of for-sale Residential Property in CFD No. 2022- 1N (IA No. 2) for evaluating the Special Tax:
Step No.:
1. At least 30 days prior to the issuance of Bonds, a Price Point Study shall be completed and delivered to the CFD Administrator.
2. The CFD Administrator shall determine the Total Tax Burden and Total Effective Tax Rate for each Plan Type in CFD No. 2022-1N (IA No. 2).
3. Separately, for each Land Use Class of for-sale Residential Property in CFD No. 2022-1N (IA No. 2), the CFD Administrator shall determine whether or not the Total Effective Tax Rate for all Plan Types in a Land Use Class is less than or equal to the Total Effective Tax Rate Limit.
a. If the Total Effective Tax Rate for all Plan Types in a Land Use Class in CFD No. 2022-1N (IA No. 2) is less than or equal to the Total Effective Tax Rate Limit, then there shall be no reduction in Special Tax for such Land Use Class in CFD No. 2022-1N (IA No. 2).
b. If the Total Effective Tax Rate for any Plan Type in a Land Use Class in CFD No. 2022-1N (IA No. 2) is greater than the Total Effective Tax Rate Limit , the CFD Administrator shall calculate a revised Assigned Special Tax for that Land Use Class in CFD No. 2022-1N (IA No. 2), such that the revised Assigned Special Tax does not cause the Total Effective Tax Rate for any Plan Type in such Land Use Class to exceed the Total Effective Tax Rate Limit.
4. If the Assigned Special Tax for any Land Use Class is revised pursuant to step
3.b. above, the CFD Administrator shall also prepare and execute a Certificate to Amend the Special Tax substantially in the form of Exhibit “A” hereto and shall deliver such Certificate to Amend the Special Tax to CFD No. 2022-1N (IA No. 2). The Certificate to Amend the Special Tax shall be completed for all Land Use Classes and shall set forth, as applicable, either (i) the reduced Assigned Special Tax for a Land Use Class as calculated pursuant to step 3.b., or (ii) the Assigned Special Tax as identified in Table 1 of Section C for a Land Use Class that was not revised as determined pursuant to step 3.a. A reduction to the Assigned Special Tax in one Land Use Class shall not require a reduction in any other Land Use Class.
5. If the anticipated date of issuance of Bonds is within 180 days of the date of receipt of the Price Point Study by the CFD Administrator, CFD No. 2022-1N (IA No. 2) shall execute the acknowledgement on such Certificate to Amend the Special Tax dated as of the closing date of such Bonds, and upon the closing of such Bonds, the Assigned Special Tax for each Land Use Class shall be as set forth in such Certificate to Amend the Special Tax. If the date of issuance of Bonds is not within 180 days of the date of receipt of the Price Point Study by the CFD Administrator, such Certificate to Amend the Special Tax shall not be acknowledged by CFD No. 2022-1N (IA No. 2) and shall, as of such date, be void and of no further force and effect. In such case, if subsequently Bonds are expected to be issued, at least 30 days prior to that Exhibit A
15 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) expected date, steps 1 through 5 of this section shall be performed based on a new Price Point Study.
6. After the execution by CFD No. 2022-1N (IA No. 2) of the acknowledgement on the Certificate to Amend the Special Tax, CFD No. 2022-1N (IA No. 2) shall cause to be recorded in the records of the County Recorder an Amended Notice of Special Tax Lien for CFD No. 2022-1N (IA No. 2) reflecting the Assigned Special Tax for CFD No. 2022-1N (IA No. 2) set forth in such Certificate to Amend the Special Tax.
7. If the Assigned Special Tax is not required to be changed for any Land Use Class based on the calculations performed under step 3 above, there shall be no reduction in the Assigned Special Tax and no Certificate to Amend the Special Tax shall be required.
I MANNER OF COLLECTION
The Special Tax will be collected in the same manner and at the same time as ordinary ad valorem property taxes; provided, however, that CFD No. 2022-1N (IA No. 2) may directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if necessary to meet its financial obligations, and may covenant to foreclose and may actually foreclose on delinquent Assessor’s Parcels as permitted by the Act.
J TERM OF SPECIAL TAX
The Special Taxes shall be levied until the final series of Bonds have matured, provided that the Special Taxes shall not be levied after Fiscal Year 2073-2074. The Special Taxes will cease to be levied in an earlier Fiscal Year if the CFD Administrator has determined that all required interest and principal payments on the Bonds have been paid, no delinquent Special Taxes remain uncollected, and the City has covenanted that it will not issue any more Bonds (other than refunding Bonds) to be supported by Special Taxes levied under this Rate and Method of Apportionment as described in Section D.
Exhibit A
A-1 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities)
EXHIBIT A
CERTIFICATE TO AMEND THE SPECIAL TAX
IMPROVEMENT AREA NO. 2
OF THE CITY OF PASO ROBLES
COMMUNITY FACILITIES DISTRICT NO. 2022-1N (OLSEN/SOUTH
CHANDLER RANCH - FACILITIES)
TAX REDUCTION CERTIFICATE
1. Pursuant to Section H of the Rate and Method of Apportionment, as attached to the Notice of Special Tax Lien, recorded in the Official Records of the County of San Luis Obispo as Instrument No. XXXXXX on MM/DD/YYYY, the City of Paso Robles (the “City”) hereby reduces the Assigned Special Taxes for Developed Property within CFD No. 2022- 1N (IA No. 2) set forth in Table 1 of the Rate and Method of Apportionment for CFD No. 2022-1N (IA No. 2).
2. The calculations made pursuant to Section H were based upon a Price Point Study that was received by the CFD Administrator on _________________.
3. The information in Table 1, relating to the Assigned Special Tax for Developed Property within CFD No. 2022-1N (IA No. 2) shall be amended and restated in full as follows:
Exhibit A
A-2 Amended and Restated Rate and Method of Apportionment CFD No. 2022-1N (IA No. 2) (Olsen/South Chandler Ranch - Facilities) Table A-1: Assigned Special Tax for Developed Property
Land Use
Class
Residential Floor Area Assigned Special Tax
1 RESIDENTIAL PROPERTY (>= 2,300 SF) [$ ] PER DWELLING UNIT 2 RESIDENTIAL PROPERTY (2,200 - 2,299 SF) [$ ] PER DWELLING UNIT 3 RESIDENTIAL PROPERTY (2,100 - 2,199 SF) [$ ] PER DWELLING UNIT 4 RESIDENTIAL PROPERTY (2,000 - 2,099 SF) [$ ] PER DWELLING UNIT 5 RESIDENTIAL PROPERTY (1,900 - 1,999 SF) [$ ] PER DWELLING UNIT 6 RESIDENTIAL PROPERTY (< 1,900 SF) [$ ] PER DWELLING UNIT 7 NON-RESIDENTIAL PROPERTY $34,020 PER ACRE
4. Upon execution of the certificate by the City and CFD No. 2022-1N (IA No. 2), the City shall cause an amended Notice of Special Tax Lien for CFD No. 2022-1N (IA No. 2) to be recorded reflecting the modifications set forth herein.
Submitted:
CFD ADMINISTRATOR
By: Date:
By execution hereof, the undersigned acknowledges, on behalf of CFD No. 2022-1N (IA No. 2), receipt of this certificate and modification of the Rate and Method of Apportionment as set forth in this certificate.
Improvement Area No. 2 of Community Facilities District No. 2022-1N (Olsen/South Chandler Ranch - Facilities) of the City of Paso Robles.
By: Date as of:
Exhibit A
Council Agenda Report
From: Adam Spaulding, Solid Waste & Recycling Manager
Subject: Public Hearing Concluding the Proposition 218 Process for Solid Waste Collection Rates 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: January 15, 2025
Facts
1. Paso Robles Waste & Recycle (PRWR) provides solid waste collection services for the City. In January 2022, the Exclusive Franchise Agreement (Franchise Agreement) with PRWR was amended to provide services through 2032. The amendment was also necessary for PRWR to remain whole until solid waste rates were adjusted (at that time it was anticipated that rates would be updated in 2023).
2. The City last conducted the Proposition 218 Process for solid waste rates in 2020, approving the current rates for a period of five years. These rates do not incorporate new regulatory requirements contained within Senate Bill (SB) 1383.
3. SB 1383, amongst other things, requires the City and the waste collection services to divert certain materials and organics away from the landfill, including composting and anaerobic digestion.
4. The Exclusive Franchise Agreement enumerates the steps PRWR must undertake to request subsequent rate adjustments.
5. PRWR has submitted documents, as required by the Franchise Agreement, including a rate increase request (Attachment 2), and a Rate Study (Attachment 3).
6. On November 19, 2024, City Council approved the commencement of the Proposition 218 public notice period to include the updated Rate Schedule to the Franchise Agreement (Attachment 4).
Notices were mailed according to Prop 218 guidelines, on or before November 28, 2024, giving respondents at least 45 days to respond to the proposed rate adjustments.
Community Outreach
Proposition 218 requires public notices for hearings as well as a specific mailer to each property owner and customer account detailing the nature of the proposed rate change, the amounts of the proposed rate change, and details as to how the customer can get more information, make their opinion known, or protest against the proposed rate change. The notices must be mailed at least 45-days prior to the public hearing. The notices were mailed and the comment period completed. 17,134 notices were mailed November 29, 2024 or earlier. 439 notices were returned by the Post Office. At the time this staff report was prepared on December 26, 2025, six (6) protest letters were received. The final count of protests received plus any additional verbal protests received at the Public Hearing will be tallied and presented to the City Council following the conclusion of the public hearing. Please note that the City followed the Prop 218 procedures in an abundance of caution and without conceding their applicability to privately provided solid waste service.
Options
1. Take no action;
2. Set the new maximum rates for PRWR for solid waste collection services based on the Rate Schedule outlined in Exhibit A, as provided in the Prop 218 Notices and approve amendments to the Franchise Agreement; or
3. Provide alternative direction to staff.
Analysis and Conclusions
Since 1957, Paso Robles Waste & Recycle (PRWR) has been the city’s exclusive waste hauler, providing solid waste services to residents and businesses alike. The current rate period, which was approved by the City Council in 2019, will end on December 31, 2024, marking the need for a comprehensive review and adjustment of rates for the upcoming five-year period. PRWR seeks to revisit the established rates for solid waste hauling, a process that takes place every five years.
In line with the City’s agreement with PRWR, the company has submitted an updated Solid Waste Services Rate Study for review. This study follows the guidelines established in the Franchise Agreement between the City and PRWR and outlines the factors contributing to the need for a rate adjustment. The proposed adjustments are driven primarily by significant increases in operational costs across several key areas. For example, labor costs have risen by 41%, equipment costs have gone up by 73%, fuel prices have escalated by 74%, and insurance premiums have increased by 82% since the last rate adjustment. Furthermore, disposal costs, particularly for recycling services, have jumped dramatically over the last five years, including a 57% increase in recycling disposal costs. These rising expenses place additional pressure on PRWR's ability to continue providing the same level of service while covering operational costs.
To address these rising costs, the rate study proposes an initial rate increase for both residential and commercial customers of 11.96% in the first year, with a 33.9% increase for Roll-Off services. Residential and Commercial Services, as always, include service for all three waste streams within their proposed rates; Trash (Landfill), Recycle and Organic Waste. Rates are based on the customer’s Trash service level.
For example, if a Commercial customer has a 2-yard Trash bin, they would be able to receive a 2-yard Recycle bin and a 2-yard Organics bin (if needed) at no additional cost. The same is true for Residential service levels as well. The established hauling rate that includes service for all three waste streams at an equal level of service is not mandatory in other service contracts and is not replicated in all neighboring communities
Roll-off services provided within the City of Paso Robles are subject to the City’s Franchise Agreement with PRWR. Roll-off services differ from the other established rates, as they are not required for every customer, and are provided as an on-call service when needed. Typically Roll-off services are required for large projects like construction, demolition, remodeling or building cleanouts. Roll-off containers are typically the large open-top containers seen at construction sites. These open-top containers are serviced by a different type of vehicle than are used for Residential and Commercial collection.
The proposed increases are necessary to ensure that PRWR can maintain its service levels and continue to operate sustainably in the face of increased costs. In addition to the first-year rate hike, the study also suggests implementing annual rate adjustments based on the Consumer Price Index (CPI): Garbage and Trash Collection Services, San Francisco-Oakland-Hayward, from 2026 to 2029, ensuring that rates keep pace with inflation and other cost increases over the next several years.
Before any rate increases can be implemented, the City Council has elected to follow the Proposition 218 process, which requires transparency and public participation. This process includes a public hearing where the City Council considers the proposed rate changes and allows residents and businesses to voice any concerns or objections. Prior to the hearing, all property owners must be notified about the proposed rate changes, and there must be a minimum 45-day period for residents to submit protests against the proposed increases. Only after this period can the City Council formally approve the rate adjustments.
This rate study and the proposed adjustments are part of a broader trend in waste management, where providers across the country are grappling with similar cost increases. The City of Paso Robles has carefully considered these factors and compared PRWR’s proposed rates to those in neighboring communities to ensure that the new rates remain competitive and fair. The City is committed to ensuring that the financial burden on residents is minimized while still supporting the continued delivery of high-quality, efficient, and sustainable solid waste services. Ultimately, the rate adjustments are essential to ensuring that PRWR can continue to meet the growing demands of the community while adapting to the challenges faced by the waste management industry as a whole.
Today’s meeting represents one of the final steps to a rate adjustment. At this time the Council will consider and count all protest votes, if that number is less than 50% or less of properties , Council can elect to approve the requested rate adjustment. If adopted the new rates would go into effect February 1, 2025.
Fiscal Impact
There are two impacts on City finances from this action. First, the franchise agreement provides that the City’s General Fund receive a franchise fee revenue of 11.5% from PRWR revenues; as PRWR revenues increase, so does the City’s General Fund franchise fee revenues. These revenues offset the costs of administering the franchise, impacts to City infrastructure, provide compensation for use of City property, and other allowable uses. However, the City also pays fees for solid waste collection services at City facilities (currently about $100,000 per year) and would also pay any increased rates. Overall, the net effect of these changes would be positive on the General Fund at the end of the five-year rate changes, assuming that the maximum rates are adopted in all five years, and slightly negative on the Water, Wastewater, and Airport enterprise funds(as those funds do not receive offsetting franchise fee revenue).
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.
Recommendation (Option 2)
Approve Resolution 25-XXX, approving the solid waste rates for Paso Robles Waste and Recycle Exclusive Solid Waste Franchise Agreement with the City (as shown in Exhibit A) and authorize the City Manager to execute all relevant documentation.
Attachments
1. Resolution 25-XXX – Solid Waste Collection Rate Adjustment Exhibit A - Rate Schedule
2. PRWR Rate Increase Request Letter
3. PRWR Rate Study (2024)
4. Prop 218 Notice
Attachment 1
RESOLUTION 25-XXX
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES
APPROVING THE PROPOSED SOLID WASTE COLLECTION RATE ADJUSTMENTS TO THE
EXCLUSIVE SOLID WASTE COLLECTION FRANCHISE AGREEMENT BETWEEN THE CITY AND
PASO ROBLES WASTE & RECYCLE
WHEREAS, Paso Robles Waste & Recycle (PRWR) Provides solid waste collection services for the City, with a Franchise Agreement through 2032; and
WHEREAS, The City last conducted the Proposition 218 Process for solid waste rates in 2020, approving the current rates for a period of 5 years; and
WHEREAS, The Exclusive Franchise Agreement for Solid Waste Collection and Hauling enumerates the steps PRWR must undertake to request subsequent rate adjustments; and WHEREAS, PRWR has submitted documents, as required by the Franchise Agreement, including a rate increase request (Attachment 2), and a Rate Study (Attachment 3); and WHEREAS, On November 19, 2024 the City Council approved the commencement of the Proposition 218 public notice period to include the updated “Exhibit D” to the Solid Waste Franchise Agreement (Attachment 4). Notices were mailed according to Prop 218 guidelines, on or before November 28, 2024, giving respondents at least 45 days to respond to the proposed rate adjustments; and WHEREAS, Today’s meeting is the required Public Hearing regarding the proposed rate adjustment.
Council has received and reviewed all protests and comments for consideration. No more than 50% of property owners have submitted protest votes, and Council can elect to approve the proposed rate increase.
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. Based on the information contained in the staff report entitled Public Hearing Concluding the Proposition 218 Process for Solid Waste Collection Rates dated January 15, 2025, testimony presented during the public hearing, and responses thereto, the City Council hereby finds and determines that:
a. The proposed rate adjustments to the “Rate Schedule” as included in the Proposition 218 outreach sent to all City of Paso Robles property owners and presented to Council have not received protest votes in excess of 50%; and
b. The proposed updated rates included in “Exhibit A” represent reasonable compensation to PRWR for providing the service of solid waste collection.
Section 3. The City Council hereby approves the updated Rate Schedule attached hereto as Exhibit D and incorporated herein by reference.
Attachment 1
Section 4. Authorize City Manager to execute any and all additional documents necessary to implement the updated rate adjustments.
Section 5. The new rates will be effective February 1, 2025 APPROVED this 15th day of January, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
John R. Hamon, Jr.
ATTEST:
Melissa Boyer, City Clerk
Exhibit A – Rate Schedule
Attachment 2 – PRWR Rate Increase Request Letter
Attachment 3 – PRWR Rate Study (2024)
Attachment 4 – Proposition 218 Notice (November, 2024)
Exhibit A
Exhibit A
Attachment 02
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE STUDY
OCTOBER 2024
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE STUDY
OCTOBER 2024
CONTENTS
Page
Rate Study Report ....................................................................... 1 Background ................................................................................ 2 Study Objectives and Approach ....................................................... 4 Findings ....................................................................................... 5 Appendices ................................................................................. 16 Attachent 03
www.ghjadvisors.com 700 S. Flower St., Suite 3300
Los Angeles, CA 90017 310.873.1600
RATE STUDY REPORT
Dale Gomer, President
Paso Robles Waste Disposal, Inc.
Introduction
We have concluded our engagement in regard to the rate study for the solid waste services within the City of Paso Robles (the City). This Rate Study Report (Report) presents our comments and findings based on the results of our procedures. The objective of our Report was to assist the Company and the City of Paso Robles in a rate setting process per the terms of the Franchise Agreement between both parties.
Nature of the Information
The information presented is based on discussions with and information provided by the management of Paso Robles Waste Disposal, Inc. (the Company) and Paso Robles Roll-off Inc. (Roll-Off). Although we have audited the Company’s financial records on an annual basis since 2018, we have not independently verified all of the information gathered or contained in this Report. Accordingly, our procedures with regard to this Report do not constitute an audit, examination or review in accordance with standards established by the American Institute of Certified Public Accountants (AICPA). Thus, we do not express a conclusion or provide any other form of assurance on the completeness or accuracy of the information.
Our engagement was directed to those business activities, operational areas, and financial information that you identified as being applicable to the rate study. In performing our services, we performed inquiries and analyses based on the terms of the Franchise Agreement and other information made available to us, and we relied on the sufficiency, accuracy, and reliability of information provided by the Company’s management.
Procedures Performed
We performed the procedures enumerated in this Report. The procedures were limited to those which you determined best met your informational needs and cannot be relied upon to disclose all significant matters or to disclose errors, fraud, or other illegal acts that may exist. Had we performed additional procedures or had we conducted an audit or review of the information provided, other matters might have come to our attention.
Use of the Report
Due to its special nature, our Report may not be suitable for any purpose other than to assist you and the City in your evaluation of the proposed adjustment to customer rates as allowed under the Company’s Franchise Agreement with the City. Consequently, our Report is for your internal use and the use of the stated parties only and should not be used by anyone else.
Green Hasson & Janks LLP
October 31, 2024
Los Angeles, California
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-2-
BACKGROUND
OVERVIEW OF SERVICES
The City of Paso Robles contracts with Paso Robles Waste Disposal, Inc. for the collection and disposal of solid waste within the City for residential, commercial, industrial, government, and roll-off customers. The Company contracts with Roll-Off to service City roll-off customers. The Company and its affiliates (Paso Robles Roll-Off, Inc. and Paso Robles Country Disposal, Inc.) are locally owned family businesses operating in the City and the adjoining areas of San Luis Obispo County since 1957. The Company has been proactive in its use of technology and in its development and implementation of programs and services for the City in an ever-changing landscape of the solid waste and recycling market, government directives and regulations and customer demands. For example, the Company was already providing a number of the programs required by California's Short-Lived Climate Pollutant Regulations, Senate Bill 1383 (SB 1383), long before that legislation was adopted in 2016. The Company is operating efficiently and effectively with a strong safety record. The City, its residents and businesses, are well served by the Company.
SOLID WASTE SERVICE CONTRACT AND RATE INCREASE REQUEST
The Company has been serving the City since 1957 under various agreements; the current agreement expires in 2031 (the Franchise Agreement). In May of 2020, the City approved a rate schedule in accordance with the provisions set out in the Franchise Agreement, including a third-party review. This approved rate schedule was primarily based upon a projection that the Company had provided to the City, as well as anticipated Consumer Price Index (CPI) increases. Based on our rate review, it is clear that there have been a number of factors that have proven those rate adjustments inadequate to cover the Company’s costs of operations, let alone provide a fair and reasonable return. Most notably, these included the following factors:
• Starting in March 2020, the Covid 19 Pandemic had a significant impact on most businesses in the United States, and in particular on the Company. Changes in the waste stream composition and volume, staffing challenges, nationwide inflation, and supply chain issues all drove up the cost of servicing the City. Nonetheless, services were provided by the Company without any changes in the frequency and quality, and without interruption throughout the Pandemic.
• Increases in per ton costs for recycling and green waste processing and solid waste disposal gate fees at facilities not controlled by the Company. • California regulations borne from SB 1383 came into effect in 2022. Procurement and oversight requirements required significant additional costs that could not be anticipated or estimated during the previous rate review as the regulations were not finalized and published until after the last Rate Setting Process had been completed.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-3-
SOLID WASTE SERVICE CONTRACT AND RATE INCREASE REQUEST (continued) Section 9b of the Franchise Agreement (Service Rate Adjustments) entitles the Company to a fair and reasonable return for the services it provides under that agreement. This Section of the Franchise Agreements describes the process to be followed to adjust the service rates to provide the Company this return. Any rate adjustment requests are to be accompanied by a rate review and “satisfactory evidence” that:
1. The method used to allocate revenues and expenses among the Contractor and its Affiliated Companies is commensurate with actual services provided by such entities under the Franchise Agreement;
2. Wages, Retirement Benefits, Deferred Compensation, and other employee benefits are commensurate with such wages and benefits provided within the industry throughout California;
3. Profit sharing contributions and/or bonuses to officers and employees have been excluded from consideration;
4. Depreciation schedules are consistent among the Company and its Affiliated Companies, accurately reflect equipment and other assets that are used to provide services under this Agreement, and are consistent with Generally Accepted Accounting Principles then in effect;
5. Rent and other related party transactions are no greater than then current market conditions; and
6. Discretionary non-essential capital improvements such as non-essential remodeling, non-essential retrofitting of existing equipment or vehicles, non-essential equipment replacement, etc. have been excluded from consideration.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-4-
STUDY OBJECTIVES AND APPROACH
OBJECTIVES
A. Calculate the Company’s overall profitability on its City Franchise Agreement for the year ended December 31, 2023 and analyze any material impacts to the profitability of that contract.
B. Estimate the Company’s revenue requirement to provide a fair and reasonable return to the Company on the services it provides to the City under the Franchise Agreement.
C. Ensure that the Company’s request for a rate adjustment is in compliance with Section 9b of the Franchise Agreement.
APPROACH
1. Met with Company personnel to understand:
i. Current operations and anticipated future cost increases. ii. The methodology used to allocate the Company’s revenues and expenses between its various operations and Affiliates.
iii. Compliance with Section 9b of the Franchise Agreement. iv. Previous rate reviews and resulting rate setting schedules.
2. Reviewed information submitted by the Company and:
i. Reconciled the information to the Company’s audited financial statements where appropriate.
ii. Reviewed the information provided by the Company that supports its rate request for reasonableness and arithmetical accuracy.
iii. Reviewed expenses for items that would not be appropriate for rate setting.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-5-
FINDINGS
Objective A. Calculate and project the Company’s overall profitability on its Franchise Agreement for the year ended December 31, 2023 and analyze any material impacts to the profitability of the contract.
For the fiscal year ending December 31, 2023 operations within the City recorded a small profit summarized as follows:
Residential
and
Commercial Roll-Off Total
Revenues $ 10,345,939 $ 1,543,657 $ 11,889,596
Operating Expenses 8,243,554 1,434,172 9,677,726
General and Administrative Expenses 1,838,217 337,504 2,175,721 Total Expenses 10,081,771 1,771,676 11,853,447
Net Income (Loss) $ 264,168 $ (228,019) $ 36,149
2.6% -14.8% 0.3%
As detailed in Appendix A, the Company’s results related to City operations were reconciled to the audited financial statements. It should be noted these results excluded non-operating costs including advertising, income taxes, promotions and charitable contributions, as well as certain operating costs not related to the City. Based on these results, the Company had a zero return for the period under review, even after calculating a proforma result of a 2.8% rate increase on January 1, 2024. Industry standards often dictate income on operations of at least 10% as a fair return. This was not the result achieved. Furthermore, as noted in Appendix B, during the last 4 fiscal years of the contract from 2020 to 2023 (and projected 2024), only fiscal year 2020 provided a return to the company near industry expectation for its residential and commercial customers, despite rate increases to residential and commercial service rates in each of the years. We also noted the roll-off operations have not returned a profit per Roll-Off’s audited financial statements since 2020 and that the year-to-date 2024 results continued this trend, however roll-off service rates were not analyzed or increased in the 2020 rate setting process and have not been increased for approximately 17 years.
Per discussions with management and a result of our analysis, the following primary items had the largest impact on this deficit.
• Labor and Related Costs experienced significant increases and inflation during this period, far outpacing CPI and the allowed rate increases. • During the period of time, Other Operating Costs including fuel, insurance and equipment costs increased dramatically.
• Increased processing and gate fees for Recycling Waste Streams. • Implementation of SB 1383 programs caused expenses to increase. • Impact of Street Sweeping and Litter Pickup
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-6-
Labor and Related Costs
Labor and related costs include wages, health benefits, retirement benefits and payroll taxes for all employees and officers of the Company. Between 2020 and 2023 these costs increased by 33.5%. The COVID-19 Pandemic had a profound impact on the global and national economies. The federal government implemented sharp increases in fiscal spending, while the Federal Reserve lowered interest rates to near zero and maintained them at that level for nearly two years. These actions, among others, drove inflation rates to the highest level in 40 years. Furthermore, changes in the way people worked, shifting dramatically from offices to remote, created unforeseen dynamics in the labor market. The workforce at large saw significant numbers of qualified drivers retire, and the labor force had greater optionality for jobs, which, coupled with other factors (such as significant increases in housing costs in North San Luis Obispo County) created an extreme shortage of qualified drivers in the solid waste industry. All of these factors forced the Company to increase their wages to attract and retain skilled, qualified drivers. From 2020 through 2024, Labor and Related Costs are projected to increase by 41% ($1,084,842) compared to cumulative rate increases during this period of 34.2%. Annual Labor and Related Costs increases for the company are detailed below:
Projected
2024 2023 2022 2021 2020
Total Labor and Related Costs
Wages and Benefits 3,306,084 3,096,791 2,833,392 2,538,356 2,320,007 Retirement Plan 249,735 251,662 228,243 188,194 195,629 Payroll taxes 153,279 153,646 137,640 120,500 108,620
Total 3,709,098 3,502,099 3,199,275 2,847,050 2,624,256
5.9% 9.5% 12.4% 8.5%
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-7-
Other Operating Costs
As noted above, the economic impact of the COVID-19 Pandemic created the highest inflation in the last 40 years. The average annual average inflation during this period was
6.1%. However, this average masks significant changes in the rate of price change between the beginning of 2021 and the end of 2023; rising from 1.4% in 2020 to over 9% during mid-year 2022. Depending on the timing of the CPI related increase in franchise rates in 2023 and 2024, the Company was unable to capture the volatility of inflation in its rates driving a reduced operating return. As an example, during this period the company’s fuel costs increased a cumulative 74% and insurance costs increased a cumulative 81.7%. This is in contrast to cumulative rate increases during this period of 34.2% This impacted all Company costs during the period. Annual Fuel and Insurance costs increases for the Company are noted below:
Projected
2024 2023 2022 2021 2020
Fuel 869,749 856,737 880,988 625,397 499,100
1.5% -2.8% 40.9% 25.3%
Insurance 285,000 255,461 254,411 196,992 156,889
11.6% 0.4% 29.1% 25.6%
Furthermore, in addition to inflationary impacts between 2020 and 2024, there were significant supply chain issues that drove up the costs of the Company’s equipment (73%) (the average cost of a new waste truck increased from approximately $250,000 to over $400,000), tires (104.8%) and related maintenance (60.8%) even further. Once again, this is in contrast to a cumulative rate increase of 34.2% over this period. Annual increases are highlighted below.
Projected
2024 2023 2022 2021 2020
Depreciation 750,000 782,187 669,401 628,746 431,808
-4.1% 16.8% 6.5% 45.6%
Tires 114,599 124,991 85,807 62,349 55,951
-8.3% 45.7% 37.6% 11.4%
Repairs & Maint. 233,116 229,521 184,105 137,488 145,004
1.6% 24.7% 33.9% -5.2%
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-8-
Recycling Expenses
The Company brings its recycling waste stream to the Buckeye Recycling Facility in North Paso Robles. Due to market conditions, this facility has mandated significant per ton increases over the prior several years as follows:
During this period tonnage has remained relatively consistent, however the costs to the Company have cumulatively increased $241,903 or 57.4%. This is in comparison to cumulative rate increases of 34.2% over the period. Annual increases are detailed as follows:
Projected
2024 2023 2022 2021 2020
Recycling 663,228 622,656 428,390 436,499 421,325
6.5% 45.3% -1.9% 3.6%
Implementation of SB 1383 programs
With the implementation of SB 1383, and the signing of the Second Amendment to the Franchise Agreement, the Company was required to incur additional operating costs to meet the requirements of these regulations. One increase was the AB 939/SB 1383 Reimbursement, which enabled the City to recover sums expended for related staffing costs, technical assistance to Customers, reporting, compliance, capacity planning, or other activities involved in compliance with AB 939 (the California Integrated Waste Management Act) and/or SB 1383. This reimbursement began in May of 2023 and totaled $142,500 for the year. The anticipated full year cost of this reimbursement will be $190,000. Under the Franchise Agreement and in response to SB 1383, the Company is also required to supply certain quantities of recovered organic waste materials. In 2023 that cost was $11,555 with an expected increase of up to $60,000 in 2024 as SB 1383 takes full effect.
The Company delivers its organics waste stream to the Buckeye Recycling Facility in North Paso Robles. Organics waste includes yard waste and food waste collected from residential and commercials customers. While organics tonnage has varied in recent years, driven in part by annual precipitation and COVID-19, the costs for processing these materials has seen modest changes as presented below:
Projected
2024 2023 2022 2021 2020
Organics Processing 204,113 194,825 170,636 162,289 182,848
4.8% 14.2% 5.1% -11.2%
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-9-
Street Sweeping and Litter Pickup
Under its Agreement with the City, the Company provides debris collection and removal services throughout the City through a street sweeping program, and solid waste collection services at various City parks and facilities. Street sweeping accounts for approximately 2% of the total rate and litter container service accounts for an additional 1%. The costs of these services are summarized as follows:
Street
Sweeping
Litter
Container
Service
Fiscal Year 2023
Equipment Operations 122,122 33,953
Labor 70,661 72,355
Misc Hauling and Materials 20,095 2,921
Total Costs 212,878 109,229
Projected Fiscal Year 2024
Equipment Operations 113,099 39,215
Labor 82,475 68,455
Misc Hauling and Materials 27,578 3,895
Total Costs 223,152 111,565
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-10-
Objective B. Estimate the Company’s revenue requirement to provide a fair and reasonable return to the Company on the services it provides to the City under the Franchise Agreement
As noted in Objective A, the Company’s revenues were insufficient to provide a fair and reasonable return for the Company in 2023. We also projected financial results for 2024 and determined that without a significant rate increase, the Company would be in a similar position. This calculation can be found in Appendix C. It was prepared with the following assumptions:
1. The 2023 audited financial results of the Company are used as the base year.
2. The impact of the pre-approved rate increase for 2024 (2.8%) is included in the applicable year revenue amounts.
3. Recycling, Organic Waste and Landfill expenses are increasing across the period due to 3rd party fee adjustments. Recycling processing fees increased to $116 per ton, organic waste processing fees are up from $38.20 to $42.00 and landfill tipping fees will increase from the company rate of $51 to $58.
4. City SB 1383 Reimbursement costs that were incurred for only a partial year in 2023 are projected on an annual basis.
5. Franchise fees increase in accordance with the related revenue increases.
6. Labor and related costs have been increased by 4.9% to reflect the impact of raises provided in late 2023 and early 2024.
7. Non City related revenue and expense were removed from the analysis.
Based on these projections, we then calculated the minimum additional rate adjustments that would be required to provide the Company with a 10% return on its operations under the City Contract. The details of this calculation can be found in Appendix C & D and are summarized below:
Total Increase
Residential 11.96%
Commerical 11.96%
Roll Offs * 33.90%
*As mentioned above, roll-off rates were not analyzed in the 2020 Rate Study and have not been increased since approximately 2007.
The rate increases above do not contemplate the impact of Integrated Waste Management Authority (IWMA) fees. These fees are a separately stated component of customer invoices and are imposed by the IWMA. The approved IWMA fee is calculated as 5.4% of revenues, however a temporary reduction effective July 1, 2024 sets the fee to 3.0% of revenues. The The IWMA has stated they do not foresee the need to raise the current adjusted 3.0% rate in the near future.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-11-
Objective C. Compliance with Section 9b Franchise Agreement Requirements Section 9b of the Franchise Agreement (Service Rate Adjustments) details the process for the Company to request a rate adjustment, with any such requests to be accompanied by “satisfactory evidence” that a number of requirements are satisfied. We determined, through our procedures, that the Company provided satisfactory evidence to meet these requirements. Our findings, and management commentary regarding the requirements are listed below:
Provide evidence that the method used to allocate revenues and expenses among the CONTRACTOR and its Affiliated Companies is commensurate with actual services provided by such entities under this Agreement:
The Company and its Affiliates bill customers directly for the services that are provided and separately account for the revenues that are collected for those services. There is no need to “allocate” revenues since they are directly related to, and collected based upon, the services provided.
With regard to expenses, whenever possible, the Company and its affiliates directly pay and account for expenses related to the services provided. However, in some cases, in order to minimize duplicative efforts and provide services efficiently and cost-effectively, some expenses are shared between the Company and its affiliates.
When an expense is shared, a methodology is chosen which allocates the expense among the Company and its affiliates as accurately as possible in a manner that represents the economic substance of the expense.
Several methods are used to allocate shared expenses; methods include allocation based on route-collected data and service data, allocations based on employee time logs, and allocation based on various financial ratios between the Company and its affiliates.
Allocations based on route-collected data use various metrics recorded while providing services to measure utilization of equipment and other expenses. These metrics include distance traveled, GPS location, service time and time between route stops, to provide a few examples. This methodology is state-of-the-art and provides very accurate cost sharing between the Company and its affiliates.
Employee time logs are used to allocate expenses between the Company and its Affiliates when computer data is not available. For example, technicians performing equipment maintenance keep logs to record which company is utilizing their time; these logs are then used to book that expense to the correct company.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-12-
Provide evidence that the method used to allocate revenues and expenses among the CONTRACTOR and its Affiliated Companies is commensurate with actual services provided by such entities under this Agreement: (continued) Another allocation method is based on financial ratios. For example, expenses for office supplies, janitorial services and supplies, internet service, telephone, office equipment, and certain employees that provide service to multiple companies are shared, and these costs are therefore allocated between the Company and its affiliates based on the ratio of revenue between companies. This is the best method for allocating expenses for which usage cannot be practically measured.
We found that the Company consistently applied these methodologies in their financial reporting process.
Provide evidence that wages, retirement benefits, deferred compensation, and other employee benefits are commensurate with such wages and benefits provided within the industry throughout California:
The Company must remain competitive in the current labor market to attract and retain employees that will perform services safely, efficiently, and to community standards. With the current tight labor market, competition for skilled workers, especially in the Company’s operational area with high housing and living expenses, creates a significant challenge for the Company.
Company route drivers earn, on average, a wage of approximately $27.22 per hour before benefits. This pay level compares favorably to the prevailing wage determinations published by the California Department of Industrial Regulations for similar jobs, which is $30.75.
Per Glassdoor, current open positions for garbage truck drivers in California range from $25.00 to $31.45 before benefits.
The compensation that is provided to employees is well within industry standards found throughout California. The Company has been able to effectively hire and maintain qualified employees, confirmed by its good reputation within the community and evidenced by its excellent track record on safety; its Worker’s Compensation Experience Modifier, is currently 91%, very favorable compared to other industry competitors. As measured by this modifier, the Company remains significantly safer than the industry standard, with a 10 year average rating of 83%.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-13-
Provide evidence that profit sharing contributions and/or bonuses to officers and employees have been excluded from consideration:
The Company does not offer profit sharing compensation to officers or employees.
A portion of the compensation that the Company pays to its employees is in the form of a merit payment, which is paid on an annual basis in December. This merit payment program has proven to be effective in encouraging Company employees to operate safely, and the Company’s below-industry Workers Compensation insurance rates have demonstrated the effectiveness of this program.
Management has determined that this compensation program has been very successful in incentivizing employees to provide quality service, and that it encourages these employees to arrive on time and to be prepared to go to work, work efficiently, and avoid overtime, thereby keeping the overall employee costs lower than what the Company would experience without this program.
The total cost to the Company for this program for 2023 was $162,559 across the entire employee base. This amount has not been excluded from rate setting because the amount of this merit-based compensation is included in the calculation of benefits presented above, which are well within the California industry standards.
Payment of a portion of employee compensation through a merit system has proven to be a vital tool in providing safe, reliable and high-quality service.
The Company believes that if it terminated this program and simply paid its employees the salary and benefit package described above as regular wages and benefits, employee compensation would not decrease, but the Company would lose the ability to effectively incentivize its workforce and would have an overall negative impact on the total operating costs for the Company.
Lastly, the Company strongly believes that this program, which emphasizes and rewards worker safely, is directly related to its low number of worker compensation claims and is reflected in lower rates for workers compensation, which ultimately lowers the cost of operating the Company.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-14-
Provide evidence that depreciation schedules are consistent among the Company and its Affiliated Companies, accurately reflect equipment and other assets that are used to provide services under this Agreement, and are consistent with Generally Accepted Accounting Principles then in effect:
The Company’s depreciation method and lives are consistent with those of its affiliates and are in accordance with Generally Accepted Accounting Principles (GAAP). Depreciation has been provided by straight-line methods over the estimated useful lives. As disclosed in the Company’s audited financial statements, which are in accordance with GAAP, the Company’s asset lives are shown below:
Building and Leasehold Improvements 7 - 39 Years
Containers 5 - 10 Years
Machinery and Equipment 5 - 10 Years
Office and Computer Equipment 3 - 10 Years
Vehicles 5 - 7 Years
Provide evidence that rent and other related party transactions are no greater than then-current market conditions:
The Company leases its office, shop and related facilities from related parties Dale, Kathy, and Dennis Gomer. The Company also leases additional yard space at the facility from related party Twin Oaks Legacy LLC. In December 2022, a Market Rent Study was prepared to independently determine appropriate rent levels for the full Wallace Drive Facility. That study concluded that fair market rent was $24,250 per month or $291,000 per year.
In 2023, the Company paid $9,620 per month in rent or $115,440 for the year.
Since that study was completed, real estate values and fair market rental values have trended upward. Accordingly, the Company’s rent has been and remains far below current market conditions.
Additionally, the Company purchases fuel from related party 3 G CNG. 3 G CNG provides time-fill Compressed Natural Gas (CNG) to the Company’s fleet of clean air vehicles. Fuel is sold to the Company at a rate of 93% of the California average diesel fuel price data published by the Energy Information Agency (EIA) for the billing period. The EIA is a Federal agency that tracks and publishes weekly fuel price data by region throughout the United States. The cost of CNG charged to the Company is adjusted on a weekly basis to reflect current market conditions. Using the California average price results in a lower cost to the Company, as San Luis Obispo County always has higher fuel prices than the majority of regions throughout the State. The CNG provided to the Company by 3 G CNG is derived from renewable sources which decreases the Company’s carbon footprint significantly. By utilizing the time-fill system provided by 3 G CNG, the Company is able to efficiently fuel its fleet autonomously, avoiding the employee costs that would be incurred if its vehicles were fueled daily by its route drivers.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
PASO ROBLES ROLL-OFF INC.
CITY OF PASO ROBLES RATE STUDY
OCTOBER 2024
-15-
Provide evidence that discretionary non-essential capital improvements such as non-essential remodeling, non-essential retrofitting of existing equipment or vehicles, non-essential equipment replacement, etc. have been excluded from consideration:
Per management, the Company has not engaged in any non-essential capital improvements, remodeling, non-essential retrofitting of existing equipment or vehicles, or non-essential equipment replacement. GHJ has not found any indication that the Company has expended any sums for non-essential reasons that have been included in the rate calculations described in this Study.
Attachent 03
APPENDICES
Attachent 03
Paso Robles Waste Disposal, Inc.
Residential and Commercial Financial Results
Appendix A
Actual 1-Jan-24 Proforma
Item Description 12/31/2023 CPI Increase 12/31/2023
10,345,939 289,686 10,635,625
-
782,187 782,187
1,146,592 32,105 1,178,697
856,737 856,737
194,825 194,825
95,788 95,788
255,461 255,461
976,276 976,276
64,559 64,559
14,598 14,598
11,550 11,550
142,500 142,500
153,646 153,646
185,864 185,864
6,425 6,425
7,692 7,692
622,656 622,656
229,521 229,521
(33,779) (33,779)
124,991 124,991
43,272 43,272
35,926 35,926
2,326,267 2,326,267
8,243,554 32,105 8,275,659
-
12,205 12,205
124,170 124,170
-
86,164 86,164
41,998 41,998
34,581 34,581
18,359 18,359
116,602 116,602
- -
132,360 132,360
20,617 20,617
11,250 11,250
414,060 414,060
356,464 356,464
150,812 150,812
49,424 49,424
65,798 65,798
100,200 100,200
51,881 51,881
51,272 51,272
1,838,217 - 1,838,217
10,081,771 32,105 10,113,876
264,168 257,582 521,750
210,826
Total Revenue
Operating Expenses
Depreciation
Franchise fee
Fuel expense
Organics processing
Insurance - Workers Comp
Insurance - Liability
Landfill
Licenses and fees
Miscellaneous
SB 1383 Procurement
SB 1383 Reimbursement
Payroll taxes
Retirement plan
Retirement plan administration
Other Recycling Expense
Recycling expense
Repairs and maintenance
Street Sweeping ( non City - excluded)
Tires
Transportation
Uniform
Wage and employee benefits
Total Operating Expenses
General and Admin Expense
Advertising and promotion (excluded)
Bad debt
Bank charges
Charitable Contributions (excluded)
Computer support
Dues and subscriptions
Education
Insurance - Worker Comp
Interest
Income Taxes (excluded)
Legal and accounting
Miscellaneous
Office expense
Office wage and benefits
Officer wages
Outside services
Payroll taxes
Retirement plan
Rent
Tax and license
Telephone and utility
General and Admin Expense
Total Expenses
Net Income
Per Audited Financial Statements
Excluded Non Operating Items 53,342
Operating Ratio [(Total Expenses/90%) -Total Expenses] 1,120,197 1,123,764 Net Income (loss) exclud. O.R. (856,029) 257,582 (602,014) Attachent 03
Paso Robles Waste Disposal, Inc.
Roll Offs Financial Results
Appendix A.1
Actual
Out of City Roll
Off Adjusted
Item Description 12/31/2023 12/31/2023
1,543,657 (374,484) 1,169,173
75,571 (18,333) 57,238
147,396 - 147,396
165,800 (40,222) 125,578
14,751 (3,579) 11,172
18,728 (4,543) 14,185
46,339 (11,242) 35,097
379,892 (92,160) 287,732
8,371 (2,031) 6,340
22,371 (5,427) 16,944
36,340 (8,816) 27,524
36,158 (8,772) 27,386
67,054 (16,267) 50,787
6,741 (1,635) 5,106
4,586 (1,113) 3,473
404,074 (98,026) 306,048
1,434,172 (312,166) 1,122,006
- -
15,437 (3,745) 11,692
25,383 (6,158) 19,225
- -
5,585 (1,355) 4,230
100 (24)
3,590 (871) 2,719
9,666 (2,345) 7,321
26,286 (6,377) 19,909
(17,585) 4,266 (13,319)
4,411 (1,070) 3,341
87,356 (21,192) 66,164
69,703 (16,910) 52,793
2,542 (617) 1,925
9,700 (2,353) 7,347
12,865 (3,121) 9,744
62,721 (15,216) 42,000
9,926 (2,408) 7,518
9,818 (2,382) 7,436
337,504 (81,877) 250,046
Total Revenue
Operating Expenses
Depreciation
Franchise fee
Fuel expense
Organics processing
Insurance - Workers Comp
Insurance - Liability
Landfill
Licenses and fees
Payroll taxes
Retirement plan
Recycling expense
Repairs and maintenance
Tires
Uniform
Wage and employee benefits
Total Operating Expenses
General and Admin Expense
Advertising and promotion (excluded)
Bad debt
Bank charges
Charitable Contributions (excluded)
Education
Insurance - Other
Insurance - Worker Comp
Interest
Legal and accounting
Miscellaneous
Office expense
Office wage and benefits
Officer wages
Licenses & Fees
Payroll taxes
Retirement plan
Rent
Tax and license
Telephone and utility
General and Admin Expense
Total Expenses 1,771,676 (394,043) 1,372,052
Net Income (loss) (228,019) 19,559 (202,879)
Per Audited Financial Statements (244,476)
Excluded Non Operating Items 16,457
Operating Ratio [(Total Expenses/90%) -Total Expenses] 196,853 152,450 Net Income (loss) excluding O.R. (424,872) 19,559 (355,330) Attachent 03
Paso Robles Waste Disposal, Inc.
Historical Result Analysis - Residential and Commerical Appendix B
Projected Actual Actual Actual Actual
Item Description 12/31/2024 12/31/2023 12/31/2022 12/31/2021 12/31/2020 Total Revenue 10,703,476 10,345,939 9,735,727 9,001,697 7,951,526 Operating Expenses
Depreciation 782,187 750,000 669,401 628,746 431,808
Franchise fee 1,146,592 1,178,797 1,090,540 1,013,153 887,106 Fuel expense 856,737 869,749 880,988 625,397 499,100
Organics processing 194,825 204,113 170,636 162,289 182,848 Insurance - Liability 255,461 285,000 254,411 196,992 156,889 Landfill 976,276 963,869 970,825 987,402 926,590
Licenses and fees 64,559 60,800 63,175 45,137 55,361
Miscellaneous 14,598 10,671 19,613 12,172 7,701
SB 1383 Procurement 11,550 55,137 18,450 - -
SB 1383 Reimbursement 142,500 190,000 - - -
Payroll taxes 153,646 153,279 137,640 120,500 108,620
Retirement plan 185,864 187,320 167,173 132,052 137,740 Retirement Plan administration 6,425 6,307 4,131 3,717 4,060 Other Recycling Expense 7,692 23,573 - - -
Recycling expense 622,656 663,228 428,390 436,499 421,325 Repairs and maintenance 229,521 233,116 184,105 137,488 145,004 Street Sweeping ( non City - excluded) (33,779) (130,151) - - - Tires 124,991 114,599 85,807 62,349 55,951
Transportation 43,272 47,507 51,765 37,296 41,720
Uniform 35,926 35,059 26,839 25,857 29,698
Wage and employee benefits 2,326,267 2,537,165 2,110,811 1,848,254 1,679,051 Total Operating Expenses 8,533,331 8,243,554 7,451,853 6,559,587 5,859,073 General and Admin Expense
Advertising and promotion (excluded) - - - - -
Bad debt - 12,205 10,884 35,835 (7)
Bank charges 124,170 124,008 111,049 109,247 83,693
Charitable Contributions (excluded) - - - - -
Computer support 86,164 102,353 89,204 72,531 86,712
Dues and subscriptions 41,998 37,165 19,568 14,028 23,470 Education 34,581 27,512 28,724 19,143 20,791
Insurance - Worker Comp 18,359 11,056 23,520 21,951 9,287 Interest 116,602 213,252 104,604 73,766 68,789
Legal and accounting 132,360 156,592 109,483 61,771 207,968 Miscellaneous 20,617 (4,786) 5 (10,919) 10
Office expense 11,250 10,204 13,517 15,424 13,035
Office wage and benefits 414,060 415,507 413,337 404,952 361,681 Officer wages 356,464 353,412 309,244 285,150 279,275
Outside services 150,812 106,203 99,535 74,172 107,127
Payroll taxes 49,424 46,188 47,210 44,844 41,682
Retirement plan 65,798 62,415 61,070 56,142 57,889
Rent 100,200 118,320 125,778 100,450 117,171
Tax and license 51,881 29,169 14,907 10,873 11,483
Income Taxes (excluded) - - - - -
Telephone and utility 51,272 42,227 54,967 57,895 46,312 General and Admin Expense 1,850,797 1,838,217 1,636,606 1,411,413 1,572,210 Total Expenses 10,384,128 10,081,771 9,088,459 7,971,000 7,431,283 Net Income 319,348 264,168 647,268 1,030,697 520,243
Per Audited Financial Statements N/A 210,826 589,784 1,674,960 491,892 Difference N/A 53,342 57,484 (644,263) 28,351
Excluded Non Operating Items* - (53,342) (57,484) 644,263 (28,351) Operating Ratio [(Total Expenses/90%) -Total Expenses] 1,153,792 1,120,197 1,009,829 885,667 825,698 Net Income (loss) excluding O.R. (834,444) (856,029) (362,561) 145,030 (305,455) Revenue 10,703,476 10,345,939 9,735,727 9,001,697 7,951,526 Additional Required Rate Adjustment 8.81% 9.35% 4.21% -1.82% 4.34% * The difference between Net Income and the Audited Financial Statements is due to the exlcusion of certain non operating ratio expenses and income from the rate setting calculation.
Attachent 03
Paso Robles Waste Disposal, Inc.
Residential and Commercial Required Rate Adjustment
Appendix C
Actual 1-Jan-24 Proforma
Required
Adjustments Pro Forma 1/1/2024 Total
Item Description 12/31/2023 CPI Increase 12/31/2023 12/31/2023 Total Revenue 10,345,939 289,686 10,635,625 - 10,635,625 11,894,625 1,259,000 Operating Expenses
Depreciation 782,187 782,187 - 782,187 782,187
Franchise fee 1,146,592 32,105 1,178,697 - 1,178,697 144,785 1,323,482 Fuel expense 856,737 856,737 - 856,737 856,737
Organics processing 194,825 194,825 6,363 201,188 - 201,188 Insurance - Workers Comp 95,788 95,788 95,788 95,788
Insurance - Liability 255,461 255,461 - 255,461 255,461 Landfill 976,276 976,276 142,428 1,118,704 1,118,704
Licenses and fees 64,559 64,559 - 64,559 64,559
Miscellaneous 14,598 14,598 - 14,598 14,598
SB 1383 Procurement 11,550 11,550 48,450 60,000 60,000
SB 1383 Reimbursement 142,500 142,500 47,500 190,000 190,000 Payroll taxes 153,646 153,646 7,529 161,175 161,175
Retirement Plan plan 185,864 185,864 9,107 194,971 194,971 Retirment Plan administration 6,425 6,425 - 6,425 6,425 Other Recycling Expense 7,692 7,692 7,692 7,692
Recycling expense 622,656 622,656 59,308 681,964 681,964 Repairs and maintenance 229,521 229,521 - 229,521 229,521 Street Sweeping ( non City - excluded) (33,779) (33,779) - (33,779) (33,779) Tires 124,991 124,991 - 124,991 124,991
Transportation 43,272 43,272 - 43,272 43,272
Uniform 35,926 35,926 - 35,926 35,926
Wage and employee benefits 2,326,267 2,326,267 113,987 2,440,254 2,440,254 Total Operating Expenses 8,243,554 32,105 8,275,659 434,672 8,710,331 144,785 8,855,116 General and Admin Expense
Advertising and promotion (excluded) - - - -
Bad debt 12,205 12,205 - 12,205 12,205
Bank charges 124,170 124,170 - 124,170 124,170
Charitable Contributions (exlcuded) - - - -
Computer support 86,164 86,164 - 86,164 86,164
Dues and subscriptions 41,998 41,998 - 41,998 41,998
Education 34,581 34,581 - 34,581 34,581
Insurance - Worker Comp 18,359 18,359 - 18,359 18,359
Interest 116,602 116,602 - 116,602 116,602
Income Taxes (excluded) - - - -
Legal and accounting 132,360 132,360 - 132,360 132,360
Miscellaneous 20,617 20,617 - 20,617 20,617
Office expense 11,250 11,250 - 11,250 11,250
Office wage and benefits 414,060 414,060 20,289 434,349 434,349 Officer wages 356,464 356,464 - 356,464 356,464
Outside services 150,812 150,812 - 150,812 150,812
Payroll taxes 49,424 49,424 2,422 51,846 51,846
Rent 100,200 100,200 100,200 100,200
Retirement plan 65,798 65,798 3,224 69,022 69,022
Tax and license 51,881 51,881 - 51,881 51,881
Telephone and utility 51,272 51,272 - 51,272 51,272
General and Admin Expense 1,838,217 1,838,217 - 25,935 1,864,152 - 1,864,152 Total Expenses 10,081,771 32,105 10,113,876 460,607 10,574,483 144,785 10,719,268 Net Income 264,168 257,582 521,750 (460,607) 1,114,215 61,142 1,175,357 Per Audited Financial Statements 210,826
Excluded Non Operating Items 53,342 -
Operating Ratio [(Total Expenses/90%) -Total Expenses] 1,120,197 1,123,764 51,179 1,174,943 16,087 1,191,030 Net Income (loss) excluding O.R. (856,029) 257,582 (602,014) (1,113,800) 1,098,128 (15,672) 10,345,939 289,686 10,635,625 - 10,635,625 1,259,000 11,894,625 Required Rate Adjustment 9.35% 6.40% 11.83% 0.13%
Total Increase 11.96%
Attachent 03
Paso Robles Waste Disposal, Inc.
Roll Offs Required Rate Adjustment
Appendix D
Actual
Out of City Roll
Off Adjusted
Required
Adjustments Total
Item Description 12/31/2023 12/31/2023 2024
Total Revenue 1,543,657 (374,484) 1,169,173 - 1,169,173 Operating Expenses
Depreciation 75,571 (18,333) 57,238 - 57,238
Franchise fee 147,396 - 147,396 - 147,396
Fuel expense 165,800 (40,222) - 125,578 125,578
Organics processing 14,751 (3,579) 11,172 - 11,172
Insurance - Workers Comp 18,728 (4,543) 14,185 - 14,185 Insurance - Liability 46,339 (11,242) 35,097 - 35,097
Landfill 379,892 (92,160) 11,28 287,732 4 276,448
Licenses and fees 8,371 (2,031) - 6,340 6,340
Payroll taxes 22,371 (5,427) 16,944 830 16,114
Retirment plan 36,340 (8,816) 27,524 1,349 26,175
Recycling expense 36,158 (8,772) 27,386 1,759 25,627
Repairs and maintenance 67,054 (16,267) 50,787 - 50,787 Tires 6,741 (1,635) - 5,106 5,106
Uniform 4,586 (1,113) - 3,473 3,473
Wage and employee benefits 404,074 (98,026) 14,996 306,048 321,04 4 Total Operating Expenses 1,434,172 (312,166) 1,122,006 30,218 1,152,224 General and Admin Expense
Advertising and promotion - - - -
Bad debt 15,437 (3,745) 11,692 - 11,692
Bank charges 25,383 (6,158) 19,225 - 19,225
Charitable Contributions - - - -
Education 5,585 (1,355) - 4,230 4,230
Insurance - General Liability 100 (24) - -
Insurance - Worker Comp 3,590 (871) - 2,719 2,719
Interest 9,666 (2,345) - 7,321 7,321
Legal and accounting 26,286 (6,377) 19,909 - 19,909
Miscellaneous (17,585) 4,266 - (13,319) (13,319)
Office expense 4,411 (1,070) - 3,341 3,341
Office wage and benefits 87,356 (21,192) 66,164 3,242 69,406 Officer wages 69,703 (16,910) 52,793 2,587 55,380
Licenses & Fees 2,542 (617) - 1,925 1,925
Payroll taxes 9,700 (2,353) 360 7,347 7,707
Retirement plan 12,865 (3,121) 477 9,744 10,221
Rent 62,721 (15,216) 42,000 - 42,000
Tax and license 9,926 (2,408) - 7,518 7,518
Telephone and utility 9,818 (2,382) - 7,436 7,436
General and Admin Expense 337,504 (81,877) 250,046 6,666 256,713 Total Expenses 1,771,676 (394,043) 1,372,052 36,884 1,408,936 Net Income (228,019) 19,559 (202,879) (239,763)
Per Audited Financial Statements (244,476)
Excluded Non Operating Items 16,457
Operating Ratio [(Total Expenses/90%) -Total Expenses] 196,853 152,450 4,098 156,548 Net Income (loss) exclud. O.R. (424,872) 19,559 (355,330) (396,312) 1,543,657 1,169,173 - 1,169,173
Required Rate Adjustment 27.52% 30.39% 33.90%
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
2 Purpose
The objective of this Rate Comparison is to present the City with a generalized comparison of the costs of solid waste services in jurisdictions near and similar to the City of Paso Robles in a manner that is easy to understand and fairly accounts for differences in how these services are billed.
The information presented in this rate comparison is based upon a review of data obtained from private and public documents, as well as discussions with various industry and government sources. Company representatives have not independently verified all of the information provided in this document. Moreover, it is extremely difficult to provide a meaningful analysis of solid waste rates based solely upon the numbers provided, as there are many factors that impact these rates, which may or may not be apparent from a review of available information.
These factors include, among other things, the scope of services provided under the franchise agreement, the rates charged at the disposal site (landfill) or processing facilities utilized by the hauler, the franchise fee of the jurisdiction and other fees associated with the services provided by the hauler, the distance between the hauler’s truck depot and the disposal and processing sites, the age of the collection fleet, the manner in which rates are apportioned between various customers (commercial, residential, industrial and government), the physical and social characteristics of the service area (population density; size of downtown area compared to residential areas; is the service area hilly or flat; are there a number of cul-de-sacs or other hard-to-serve locations in the service area) and limitations or requirements found in franchise agreements (operating hours, levels of insurance coverage, personnel uniform requirements, etc.).
Accordingly, the Company respectfully suggests that anyone reviewing this information be cautious in drawing detailed conclusions from a comparison of rates charged in the various jurisdictions listed.
Method
Residential rates in the City and throughout the County of San Luis Obispo and many areas statewide are based on the size of the trash containers. In the City of Paso Robles, recycling and organics services are also included at no extra charge. In the City of Paso Robles, four trash service levels are offered, and all four were included in this comparison.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
3 Commercial solid waste rates are also based on the size of the trash container, but commercial services are provided in an extensive range of container sizes and service frequencies. Accordingly, the three most subscribed services were chosen for comparison. All commercial services in the City of Paso Robles include recycling and organics service at no additional cost unless the volume or frequency of the trash service is exceeded.
As previously referenced, each of the listed jurisdictions has its own unique circumstances and requirements for solid waste services and each jurisdiction sets the service rates within its boundaries. As such, the manner in which these services are determined and billed varies. For example, some jurisdictions include IWMA fees in their rates, while in others the fee is additional. Since State Law now requires organics and recycling services for commercial and residential accounts, and since those services are included in the rate for commercial and residential services within the City, it makes sense to include the costs of those mandatory services, and IWMA fees, in the rate when comparing jurisdictions.
Residential and Commercial Comparisons
Table 1 contains a comparison of adjusted solid waste collection rates for the four residential service levels offered within the City and the 3 most highly subscribed commercial services within the City. The estimated monthly rates shown have been compiled to represent the minimum monthly service cost for comprehensive services at the listed service level, estimating the total cost of that service when the minimum level of recycling and organics service is included, as well as IWMA fees.
Table 1 compares current rates in other jurisdictions to proposed (future) Paso Robles rates. It should be noted that rates are steeply increasing in many jurisdictions and the below listed current rates are also subject to increase in 2025.
January 1, 2025
Proposed Rate*
Residential Service City of Paso
Robles
City of Paso
Robles
City of
Atascadero
Templeton
CSD
City of
Morro Bay
San Miguel
CSD
City of San
Luis Obispo
Cambria
CSD
Los Osos
CSD
Weekly 20 gallon $43.99 $38.45 $28.63 $19.84 $15.18 $0.00 $28.57 Weekly 35-40 gallon $49.95 $43.62 $33.26 $38.73 $31.75 $34.85 $24.24 $41.52 $40.63 Weekly 60-65 gallon $66.22 $58.57 $52.15 $54.63 $63.51 $54.93 $48.46 $83.03 $62.39 Weekly 90-95 gallon $73.33 $64.86 $65.54 $60.41 $95.27 $74.42 $72.72 $124.58 $66.91 Commercial Service
Weekly 1.5 yard trash $184.58 $163.26 $182.48 $199.52 $197.61 $111.25 $172.33 $203.72 $195.28 Weekly 3 yard trash $282.50 $249.88 $249.61 $252.71 $306.10 $183.84 $227.71 $288.76 $300.14 2X weekly 3 yard trash $483.44 $427.60 $411.14 $415.33 $555.75 $253.96 $359.99 $523.53 $485.82 Current Solid Waste Collection Rates Rates*
*Consolidated rate estimate includes IWMA fees and the minimum charges for recycling and organics service, if applicable.
Table 1
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
4 Figure 1 provides a visual representation of the residential services compared in Table 1.
Figure 1
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
5 Figure 2 provides a visual comparison of the commercial services compared in Table 1.
Figure 2
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
6 Roll-off Services Comparisons
The information presented in this roll-off rate comparison is limited to those areas where such services are provided by the hauler exclusively, under a franchise agreement.
The same limitations described above for comparing rates for container services also apply to roll-off rates. A review of the information provided in this comparison indicates that roll-off rates in the Templeton Community Services District area are an extreme outlier when compared to all other rates. This may be a function of the unique contract (a 10 Year Evergreen Contract) between the hauler and the Templeton Community Services District.
As set forth above, the Company respectfully suggests that anyone reviewing this information be cautious in drawing detailed conclusions from a comparison of roll-off rates charged in the various jurisdictions listed.
Table 2 provides a comparison of the costs of the components of roll-off services. Roll-off service components include hauling, disposal, and equipment rental.
January 1, 2025
Proposed Rate*
Roll-off Service City of Paso
Robles Proposed
City of Paso
Robles Current
Templeton
CSD
San Miguel
CSD
Monterey County
Regional Wate
Management District
Salinas Valley
Solid Waste
Authority
10 cubic yard $268.77 $200.73 $138.74 $463.44 $454.73
20/25 cubic yard $268.77 $200.73 $154.15 $361.00 $556.11 $545.66 30 cubic yard $295.80 $220.91 $685.87 $672.98
40 cubic yard $325.39 $243.01 $169.56 $361.00 $834.18 $818.48 Compactor $359.66 $268.60 $1,042.75 $1,023.13
Uncompacted tonnage $86.25 $76.29 $77.43 $72.10 $86.42 $79.93 Container rent $10.65 $7.95 $11.44 $7.00 $18.38 $29.87
Table 2
Current Franchised Roll-off Service Rates*
*Consolidated rate estimate includes IWMA fees franchise fees, if applicable.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
7 Figure 3 charts the comparisons of roll-off service components found in Table 2.
Figure 3
Table 3 represents typical “out the door” costs for roll-off service customers, assembling the components of roll-off service with tonnage amounts of 2, 3, and 5 tons for 20/25 yard, 30 yard, and 40 yard boxes, respectively.
January 1, 2025
Proposed Rate*
Roll-off Service City of Paso
Robles Proposed
City of Paso
Robles Current
Templeton
CSD
San Miguel
CSD
Monterey County
Regional Wate
Management District
Salinas Valley
Solid Waste
Authority
10 cubic yard $260.94 $194.88 $138.74 $463.44 $454.73
20/25 cubic yard, 2 tons included $441.27 $353.30 $309.01 $505.20 $728.95 $705.53 30 cubic yard, 3 tons included $554.55 $449.78 $232.30 $216.30 $945.14 $912.78 40 cubic yard, 5 tons included $756.64 $624.45 $556.73 $721.50 $1,266.29 $1,218.15 Table 3
Current Franchised Roll-off Service Rates with Included Tonnage* *Consolidated rate estimate includes listed tonnage and IWMA fees franchise fees, if applicable.
Attachent 03
PASO ROBLES WASTE DISPOSAL, INC.
CITY OF PASO ROBLES
SOLID WASTE SERVICES RATE COMPARISON
OCTOBER 2024
8 Figure 4 graphs the typical estimated total roll-off service costs comparison of Table 3.
Figure 4
Attachent 03
Notice of Public Hearing Regarding
Proposed Increases in Solid Waste Service Rates
The City Council of the City of Paso Robles will conduct a public hearing on the proposed increases to solid waste service rates on January 15, 2025 at 6:00 pm, or as soon as practical thereafter, at the following location: City of Paso Robles Council Chambers, 1000 Spring Street, Paso Robles, California 93446.
This notice is being sent to all property owners receiving solid waste service within the City, including tenants of record responsible for the payment of the solid waste service rates. If adopted, the proposed new solid waste service rates (the “Solid Waste Service Rates”) would take effect on February 1, 2025, with increases annually thereafter for four years effective January 1 of each year.
This notice also describes how to file a protest to this proposed action. All property owners/tenants and other interested parties are invited to attend the public hearing and be heard on the matter. Lastly, please note that the City is voluntarily conducting this majority protest proceeding in an abundance of caution and without conceding the applicability of Proposition 218 to the rate setting process.
REASONS FOR THE PROPOSED SOLID WASTE SERVICE RATE
INCREASES & BASIS UPON WHICH THE PROPOSED SOLID
WASTE RATE INCREASES WERE CALCULATED
The City of Paso Robles has an exclusive franchise agreement (the “Franchise Agreement”) with Paso Robles Waste & Recycle (“PRW&R”) for the collection and handling of solid waste, green waste, organic waste and recycling within the City (collectively, “Solid Waste Services”) to customers throughout the City. Pursuant to the Franchise Agreement, Solid Waste Service Rates are paid by customers within the City who receive Solid Waste Services from PRW&R. PRW&R uses these fees to provide services within the City and to pay the costs that it incurs in providing the Solid Waste Services described in the Franchise Agreement.
The Franchise Agreement establishes a process for revising the amount that PRW&R will charge for the Solid Waste Services it provides within the City. PRW&R’s cost of providing Solid Waste Services to City customers has increased, due to changes in worldwide recycling markets, significant increases in recycling and green waste processing fees and other operating expenses, changes in laws and regulations (such as SB 1383, California’s Short Lived Climate Pollutant Reduction Strategy), increases in employee compensation, increased service levels, and increased tipping fees at the City landfill. Pursuant to the Franchise Agreement, PRW&R is proposing to increase the rates it charges for the services that it provides. PRW&R last requested a rate increase in January of 2020. All supporting documentation for the current proposed rate increase has been provided to the City.
Solid Waste Service Rates as proposed are shown in the tables included in Exhibit “A,” attached hereto and incorporated herein by this reference. Additionally, the San Luis Obispo County Integrated Waste Management Authority’s (IWMA) approved Solid Waste Management Fee of 5.4% is being considered for implementation. It should be noted that the fee, while approved at 5.4%, has been temporarily reduced to 3.0% and the amount charged to customers will be limited to the actual IWMA fee imposed at the time that customers are billed.
Attachment 04
FUTURE AUTOMATIC RATE INCREASES
Pursuant to the terms of the Franchise Agreement, the City anticipates future increases in PRW&R’s cost of providing Solid Waste Services, and increases in the rates that PRW&R will charge. The City is proposing to annually pass through to Solid Waste Service customers any automatic consumer price index adjustments for inflation (“Annual Automatic Adjustments”). Inflationary increases in Solid Waste Service Rates shall be calculated based upon the annual percentage increase, year over year, in the Consumer Price Index for All Urban Consumers: Garbage and Trash Collection Services, San FranciscoOakland-Hayward, as determined by the United States Department of Labor, U.S. Bureau of Labor Statistics (“CPI”), or a comparable index should this index be discontinued or no longer available. These CPI adjustments will impact the Solid Waste Service Rates. If approved, beginning February 1, 2025, and each January 1 thereafter for a five-year period, through and including adjustments effective until December 31, 2029. Any further Service Rate Adjustments beyond 2029 will be subject to the Rate Study Report and Process outlined in the Franchise Agreement.
HOW TO BE HEARD
Any record owner of a parcel upon which the Solid Waste Service Rates are proposed for imposition and any tenant directly liable for the payment of Solid Waste Service Rates (i.e., a customer of record) may submit a written protest to the proposed rate increases to the City’s Solid Waste Service Rates; provided, however, only one written protest will be counted per identified parcel. Any written protest must: (1) state that the identified property owner or tenant is in opposition to the proposed increases to the Solid Waste Service Rates; (2) provide the location of the identified parcel (by street address or assessor’s parcel number (APN)); and (3) include the name and signature of the property owner or tenant submitting the protest. Written protests may be submitted by mail or in person to the City Clerk at 1000 Spring Street, Paso Robles, CA 93446, or at the Public Hearing on January 15, 2025 (date, time, and location noted above), provided they are received prior to the close of the Public Hearing, which will occur when the public testimony on the proposed increases and adjustments is concluded. Any protest submitted via e-mail or other electronic means will not be accepted. Please identify on the front of the envelope for any written protest, whether mailed or submitted in person to the City Clerk, Attn: Public Hearing on Solid Waste Service Rate Increases.
The City Council will hear and consider all written protests and oral comments to the proposed rate increases at the public hearing. Oral comments at the public hearing will not qualify as formal protests unless accompanied by a written protest. Upon the conclusion of the public hearing, the City Council will consider adoption of a resolution authorizing the rate increases to the City’s Solid Waste Service Rates as described in this notice. If written protests against the proposed rate increases and adjustments to the solid waste service rates as outlined above are not presented by a majority of property owners of the identified parcels and tenants upon which the Solid Waste Service Rates are proposed to be imposed, the City Council will be authorized to impose the respective rate increases and adjustments.
For more information or questions about the proposed Solid Waste Service Rate increases, you may contact the Utilities Department at (805) 237-3864 or visit the website for the Paso Robles solid waste rates at www.prcity.com/solidwaste.
Attachment 04
EXHIBIT "A"
MAXIMUM SOLID WASTE SERVICE RATES
Monthly Service Rate in
effect since Jan 1, 2024(a) Effective Effective
January 1, 2026
Effective
January 1, 2027
Effective
January 1, 2028
Effective
January 1, 2029
Residential Service Annual Increase ==> 11.96%
20 gallon automated at curb $38.15 $42.71 $43.99 $45.31 $46.67 $48.07 40 gallon automated at curb $43.32 $48.50 $49.95 $51.45 $52.99 $54.58 60 gallon automated at curb $57.42 $64.29 $66.22 $68.21 $70.25 $72.36 90 gallon automated at curb $63.59 $71.19 $73.33 $75.53 $77.79 $80.13 Commercial Service (c, d, h)
40 gallon can, 1 time per week $52.11 $58.35 $60.10 $61.90 $63.76 $65.67 40 gallon can, 2 times per week $91.86 $102.85 $105.94 $109.11 $112.39 $115.76 60 gallon can, 1 time per week $77.32 $86.57 $89.17 $91.84 $94.60 $97.43 60 gallon can, 2 times per week $148.17 $165.89 $170.87 $176.00 $181.28 $186.72 90 gallon can, 1 time per week $97.13 $108.75 $112.01 $115.37 $118.83 $122.39 90 gallon can, 2 times per week $199.94 $223.86 $230.57 $237.49 $244.61 $251.95 1 Yard 1 bin, 1 time per week $147.00 $164.59 $169.52 $174.61 $179.85 $185.24 1 bin, 2 times per week $241.32 $270.18 $278.29 $286.64 $295.24 $304.09 1 bin, 3 times per week $335.64 $375.78 $387.05 $398.66 $410.62 $422.94 1 bin, 4 times per week $429.95 $481.37 $495.82 $510.69 $526.01 $541.79 1 bin, 5 times per week $524.28 $586.99 $604.60 $622.74 $641.42 $660.66 1 1/2 Yard 1 bin, 1 time per week $160.06 $179.20 $184.58 $190.11 $195.82 $201.69 1 bin, 2 times per week $254.36 $284.78 $293.32 $302.12 $311.18 $320.52 1 bin, 3 times per week $348.66 $390.35 $402.06 $414.13 $426.55 $439.35 1 bin, 4 times per week $442.99 $495.97 $510.85 $526.17 $541.96 $558.22 1 bin, 5 times per week $537.30 $601.57 $619.61 $638.20 $657.35 $677.07 2 Yards 1 bin, 1 time per week $188.36 $210.89 $217.22 $223.74 $230.45 $237.36 1 bin, 2 times per week $310.85 $348.03 $358.47 $369.22 $380.30 $391.71 1 bin, 3 times per week $433.61 $485.47 $500.03 $515.03 $530.48 $546.40 1 bin, 4 times per week $555.93 $622.42 $641.09 $660.32 $680.13 $700.53 1 bin, 5 times per week $678.70 $759.87 $782.67 $806.15 $830.33 $855.24 3 Yards 1 bin, 1 time per week $244.98 $274.28 $282.50 $290.98 $299.71 $308.70 1 bin, 2 times per week $419.22 $469.36 $483.44 $497.94 $512.88 $528.27 1 bin, 3 times per week $593.90 $664.93 $684.88 $705.42 $726.59 $748.39 1 bin, 4 times per week $768.31 $860.20 $886.01 $912.59 $939.96 $968.16 1 bin, 5 times per week $943.01 $1,055.79 $1,087.47 $1,120.09 $1,153.69 $1,188.30 1 bin, 6 times per week $1,117.52 $1,251.18 $1,288.71 $1,327.37 $1,367.19 $1,408.21 4 Yards 1 bin, 1 time per week $358.07 $400.89 $412.92 $425.31 $438.07 $451.21 1 bin, 2 times per week $584.22 $654.09 $673.71 $693.92 $714.74 $736.18 1 bin, 3 times per week $810.84 $907.81 $935.05 $963.10 $991.99 $1,021.75 1 bin, 4 times per week $1,037.31 $1,161.37 $1,196.21 $1,232.10 $1,269.06 $1,307.13 1 bin, 5 times per week $1,263.61 $1,414.74 $1,457.18 $1,500.89 $1,545.92 $1,592.30 1 bin, 6 times per week $1,490.08 $1,668.29 $1,718.34 $1,769.89 $1,822.99 $1,877.68 Roll-Off Service (g) Annual Increase ==> 33.90%
Service fee portion - min dump fees also apply
10 yard box - heavy materials $194.88 $260.94 $268.77 $276.84 $285.14 $293.70 20 yard box $194.98 $261.08 $268.91 $276.98 $285.29 $293.85 30 yard box $214.48 $287.19 $295.80 $304.68 $313.82 $323.23 40 yard box $235.93 $315.91 $325.39 $335.15 $345.20 $355.56 Compactor $260.78 $349.18 $359.66 $370.45 $381.56 $393.01 Exclusive Franchise Agreement for Collection and Handling of Solid Waste Between the City of El Paso de Robles and Paso Robles Waste Disposal, Inc.
Container Size
Maximum Monthly Rates (b)
CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% February 1, 2025
EXHIBIT "A"
MAXIMUM SOLID WASTE SERVICE RATES
Rate in effect since
January 1, 2024(a)
Effective Effective
January 1, 2026
Effective
January 1, 2027
Effective
January 1, 2028
Effective
January 1, 2029
Residential Annual Increase ==> 11.96%
$10.87 $12.17 $12.54 $12.91 $13.30 $13.70
$14.35 $16.07 $16.55 $17.05 $17.56 $18.08
$15.89 $17.79 $18.33 $18.88 $19.44 $20.03
$11.74 $13.14 $13.54 $13.94 $14.36 $14.79
$13.67 $15.31 $15.76 $16.24 $16.72 $17.23
Commercial (c, d, h)
$23.82 $26.67 $27.47 $28.29 $29.14 $30.02
$20.45 $22.89 $23.58 $24.29 $25.01 $25.76
$5.19 $5.81 $5.99 $6.17 $6.35 $6.54
$20.51 $22.96 $23.65 $24.36 $25.09 $25.84
$3.00 $3.09 $3.18 $3.28 $3.38
$3.00 $3.09 $3.18 $3.28 $3.38
$12.63 $14.14 $14.56 $15.00 $15.45 $15.92
All
$119.89 $134.23 $138.25 $142.40 $146.67 $151.07
$109.53 $122.63 $126.30 $130.09 $134.00 $138.02
$143.43 $160.59 $165.40 $170.37 $175.48 $180.74
$131.04 $146.71 $151.11 $155.64 $160.31 $165.12
$5.19 $5.81 $5.99 $6.17 $6.35 $6.54
$5.19 $5.81 $5.99 $6.17 $6.35 $6.54
$5.19 $5.81 $5.99 $6.17 $6.35 $6.54
$20.00 $22.39 $23.06 $23.76 $24.47 $25.20
$25.00 $27.99 $28.83 $29.69 $30.59 $31.50
$10.00 $11.20 $11.53 $11.88 $12.23 $12.60
Company Cost Company Cost Company Cost Company Cost Company Cost Company Cost $6.84 $7.65 $7.88 $8.12 $8.36 $8.61
$150.00 $200.85 $206.88 $213.08 $219.47 $226.06
$62.53 $73.89 $73.89 $73.89 $73.89 $73.89
$74.79 $80.25 $80.25 $80.25 $80.25 $80.25
Contamination fee $50.00 $50.00 $50.00 $50.00 $50.00
$15.94 $16.56 $16.56 $16.56 $16.56 $16.56
$18.39 $19.11 $19.11 $19.11 $19.11 $19.11
$34.33 $35.67 $34.33 $34.33 $34.33 $34.33
$3.98 $5.10 $5.10 $5.10 $5.10 $5.10
$7.66 $8.92 $8.92 $8.92 $8.92 $8.92
Rolloff Annual Increase ==> 33.90%
$7.72 $10.34 $10.65 $10.97 $11.30 $11.63
$125.00 $167.38 $172.40 $177.57 $182.90 $188.38
$250.00 $250.00 $257.50 $265.23 $273.18 $281.38
Notes:
(a) Maximum Service Rates per Council action; Resolution 20-081 dated May 19, 2020.
Failed attempt to removal container up to 3x
Overfull container (f)
(l) Contamination fee assessed when unacceptable or hazardous materials are discarded. 4yd Rent-A-Bin switch out
Go Back
Rent-A-Bin daily rent (i)
Locked bin - per dump
Overweight bin per cubic yard (e)
Additional recycle or organics container
Extra waste per cubic yard
3yd Rent-A-Bin delivery and removal
(c) Additional Commercial Recycle Container: Commercial refuse service includes a single recycle container of customer’s choice up to the volume and frequency of the subscribed refuse service. Customers requesting a recycle container larger than the refuse container, an additional container, or additional pickup frequency beyond the refuse service frequency will be charged 25% of the difference between customer’s current refuse service and the refuse service of the size and frequency requested. (E.g., a customer with 3-yd once per week refuse service may have up to a 3-yd once per week recycle service. If customer wanted a 4-yd recycle once per week, they would be charged 25% of the difference between 3-yard 1X/week service and 4-yard 1X/week service. ) Collections fee
40 gl extra p/u at curb
60 gl extra p/u at curb
90 gl extra p/u at curb
Extra bag
Go Back
3yd Rent-A-Bin switch out
4yd Rent-A-Bin delivery and removal
Removal Fee, stopped service
Unreturned or damaged container
> 90 Days past due charge per month on
delinquent accounts
Compacted Tonnage
Uncompacted Tonnage
Mattress/boxspring/sofa
(d) Additional Commercial Green Waste Container: Commercial refuse service includes a single green waste container of customer’s choice up to the volume and frequency of the subscribed refuse service.
Customers requesting a green waste container larger than the refuse container, an additional container, or additional pickup frequency beyond the refuse service frequency will be charged 50% of the difference between customer’s current refuse service and the refuse service of the size and frequency requested. (E.g., a customer with 3-yd once per week refuse service may have up to a 3-yd once per week green waste service. If customer wanted a 4-yd green waste once per week, they would be charged 50% of the difference between 3-yard 1X/week service and 4-yard 1X/week service. ) (f) Overfull Container Charge: Container lids must be able to fully close. (g) Roll Off Rates: Service fee applies plus minimum dump fees of two, three, and five tons of disposal for 20-yard, 30-yard, and 40-yard boxes, respectively, at the then-current tonnage rate. In the event tonnage exceeds the included amount, extra tonnage will be charged at the current approved rate. (h) Split Bins: Split bins are commercial bins with a center divider that allows on half of the bin to hold refuse, the other half is for recyclables. Split bins allow recycle service for customers with space for only one bin.
Split bins will be charged at 65% the refuse rate for the equivalent sized refuse service. (e) Overweight bin per yard: Applies per yard to bins weighing greater than 300lbs per yard. (i) Daily Rent, Roll-off and Rent-a-bins: Roll-off and Rent-a-bin rates include 7 days of rent beginning the day after delivery or service. After 7 days, the daily rent is applied. (j) Roll-off non-service fee: Roll-off boxes not serviced within a 30 day period will be charged a non-service fee in addition to rent. (k) Delay Charges: Delay charges will be applied to commercial and roll-off customers causing unreasonable delays to the collection vehicle. Examples include requesting the collection truck wait while a car blocking the container is moved, or, requesting the collection truck wait while container is pulled or refilled. Delay Charges also apply to the removal of improperly discdarded materials from containers or from loads; for example, removing unacceptable or hazardous materials such as paint from the hopper of a collection vehicle.
Drive-in over 100' per trip
Truck access greater than 50' per occurrence
Container pull fee per occurrence
Other Fees Per Occurrence (b)
(m) Overweight charge: applies when roll-off boxes are loaded in excess of the 10-ton limit.
Bin rent per day (i)
Non service fee (j)
Overweight charge (m)
Delay charge per hour (k)
Appliance in container
Appliance w/Freon in container
Auto/light truck tire
Commercial truck tire
(b) Monthly rates shown do not include IWMA Solid Waste Management Fee.
CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% CPI Est. 3.00% February 1, 2025
BENINK &
SLAVENS, LLP
8880 Rio San Diego Drive, 8th Floor
San Diego, CA 92108
Tel: 619.369.5252 Fax: 619.369.5253
www.beninkslavens.com
Eric J. Benink, Esq.
[email protected]
Vincent D. Slavens, Esq.
[email protected]
January 14, 2025
Via email at [email protected]
Members of City Council c/o
Melissa Boyer, City Clerk
City of El Paso de Robles
1000 Spring Street
Paso Robles, CA 93446
RE: January 15, 2025 City Council Meeting
Public Hearing Concluding Proposition 218 Process
For Solid Waste Collection Rates, Item Q2
Dear Members of City Council:
This firm represents resident John Borst. As you are aware, Mr. Borst is currently prosecuting a putative class action lawsuit for Paso Robles Waste & Recycle customers in the City titled Borst v. City of El Paso de Robles, San Luis Obispo Superior Court, Case No. 23CVP0156.
On January 15, 2025, City Council will consider a resolution approving increases in solid waste rates. These rates do not address the legal deficiencies alleged in the lawsuit. Specifically, the rates embed a component to recover a franchise fee paid to the City. The franchise fee is a tax as defined by Proposition 26 (Cal. Const., art. XIII C, § 1, subd. (e).) It has not been voter approved and thus, is unconstitutional. (See Cal. Const., art. XIII C, § 2, subds. (b) & (d).) There is nothing in the materials before Council (or available to the public) that reflect that the City can establish an exception to the definition of tax.
If the City passes the resolution on January 15, 2025, Mr. Borst hereby notifies you that the franchise fee component of each of his payments paid under these new rates are made under protest. He further notifies you that the franchise fee component of each of the putative class’s Benink, Eric J.
Q2 - Public Comment
Members of the City Council
City of El Paso de Robles
January 14, 2025
payments paid under these new rates are made under protest. Therefore, the City has been put on notice that franchise fee payments paid from PRWR to the City are subject to refund in the future; it should plan accordingly.
Please include this correspondence in the record of proceedings on January 15, 2025.
Thank you for your consideration of these matters.
Sincerely,
Eric J. Benink
cc: Dean Atyia, Esq. (email only)
Benink, Eric J.
Q2 - Public Comment
Council Agenda Report
From: Freda Berman, Public Works Director
Subject: 2025 Fourth of July Community Fireworks Celebration at Barney Schwartz Park 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: January 15, 2025
Facts
1. In 2022, City Council reinstated the Fourth of July Community Fireworks Celebration at Barney Schwartz Park (the “event” or “community event”) after a 10-year hiatus. The event was a success, with residents and visitors enjoying a day filled with family-friendly activities, food trucks and a spectacular fireworks show.
2. The 2023 event was also very successful, with the addition of two free concerts prior to the fireworks show.
3. In 2024, the event was more challenging with very high temperatures throughout the day and crowds arriving late. However, at 8 p.m., for the first time, all parking lots were full, with crowds rivaling the heyday of the event in 2012, at which City staff estimates there were most likely about 10,000 attendees.
4. Funding for the 2024 event also proved challenging requiring additional sponsors to offset a reduction in anticipated revenues. As a result, all available budget savings from the two prior events were completely expended on the 2024 event.
5. Since 2022, the City has expended approximately $434,500: about $145,000 per year on this community event (exclusive of sponsorship contributions). These expenses were covered by an annual Council-approved allocation of $65,000 and budget savings from previous Fourth of July events. The estimated cost of the 2025 event is approximately $170,000.
6. For 2025, Travel Paso has committed $35,000 to the Fourth of July community event and they have also committed to assisting with sponsor solicitation for the event.
7. The sustained reduction in sponsor contributions and available City resources has made a significant impact on plans for the Fourth of July community event at Barney Schwartz Park moving forward, and City staff seeks Council’s direction for the 2025 event.
Options
1. Cancel the 2025 Fourth of July Community Fireworks Celebration at Barney Schwartz Park;
2. Continue the 2025 Fourth of July Community Fireworks Celebration at Barney Schwartz Park with all expenses exceeding available revenue appropriated from General Fund Reserves (estimated by City staff at roughly $70,000, if the costs mirror the 2024 event);
3. Significantly reduce the scope of the event by reducing the event hours and only including recreational activities and fireworks; or
4. Provide alternative direction to staff.
Analysis and Conclusions
Events have a viable life span. What was financially feasible originally, depending on a variety of circumstances, could be infeasible after a certain period of time. Sponsors may or may not want to continue contributing. City priorities change. Community interests may be elsewhere. Unless events are evaluated and adjusted each year, they can lose their appeal.
Most significantly, the cost of the Fourth of July event at Barney Schwartz Park has steadily increased for all categories since 2022 – logistics, entertainment, professional services, pyrotechnics, and staffing. Large crowds dictate most of these costs, which will not be significantly reduced unless the scope and hours of the event are reduced. It is not expected that costs will go down in 2025.
Fiscal Impact
Expenses for the 2024 event totaled approximately $161,500, of which approximately $128,900 were for event operations and professional services; and $32,600 were associated with City staffing costs.
Revenues totaled $153,500:
City of Paso Robles $65,000
Travel Paso $25,000
2023 Carryover Funds $29,500
Eberle Winery $10,000
Visit SLO CAL $5,000
Firestone Walker Brewing $4,500
Howard Products $3,000
Kings Oil Tools $2,500
Wallace Group $2,500
BBK $2,000
PR Chamber of Commerce $1,500
PR Wine Country Alliance $1,500
California Mid State Fair $1,000
Remax $1,000
Several other businesses and organizations provided critical in-kind support including Access Publishing, All About Events, C&N Tractors, 805 Golf Carts, Firestone Walker Brewing, Ravine Waterpark, Paso Robles Waste, REC Foundation, Superior Crane, The Blueprinter & Graphics, and Wineries of the 46 East that are not included in the total cost of the event.
If the scope of the 2025 Fourth of July event remains similar to 2024, the total cost of the event is estimated to be around $170,000. If the City commitment remains at $65,000 and with $35,000 committed by Travel Paso, it is estimated that more than $70,000 in additional funding will need to be identified and secured.
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.
Recommendation
Authorize staff to continue the 2025 Fourth of July Community Fireworks Celebration at Barney Schwartz Park with all expenses exceeding available revenue covered by General Fund reserves (estimated by City staff at roughly $70,000, if the costs mirror the 2024 event).
Council Agenda Report
From: Tod Rehner, Police Commander
Subject: Introduce for First Reading by Title Only an Ordinance of the City of El Paso de Robles Municipal Code Updating Existing Animal Control Regulations of Title 8 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: January 15, 2025
Facts
1. The County of San Luis Obispo Division of Animal Services (“Division”) was established to provide animal care and control functions relating to the care, keeping, and management of animals within the County.
2. The City contracts with the Division for animal control services within the City and works in conjunction with the City’s Police Department and other City personnel to administer such services.
3. To assist the Division in uniform administration of animal control services, the City previously amended its Municipal Code to substantially conform to the animal control regulations set forth in the County Code.
4. Earlier this year, the County updated its Code to enhance animal control regulations, including those relating to licensing, public safety, and enforcement measures.
5. Title 8 of the City’s Municipal Code provides animal control regulations within City limits.
6. The purpose of this report is to amend Title 8 of the Municipal Code to incorporate Title 9 of the San Luis Obispo County Code to ensure alignment with regional animal control standards and maintain the Division’s jurisdiction for services within the City while tailoring certain provisions to address the specific needs of the City.
Options
1. Take no action;
2. Introduce for first reading by title only Ordinance No. XXXX, Amending Title 8 of the El Paso de Robles Municipal Code Regarding Updates to Existing Animal Control Regulations;
3. Provide alternative directions to staff.
Analysis and Conclusions
Background
The City’s animal control regulations, set forth in Title 8 of the El Paso de Robles Municipal Code, guide the administration of animal control services within the City. These services are provided through a partnership with the Division of Animal Services for the County, which maintains a countywide framework for animal care, control, and enforcement. Such services are further detailed in the Contract for Animal Care and Control Services between the City and County effective July 1, 2022, and set to expire on June 30, 2025 (the “Contract”).
Historically, the City has worked with the County to maintain regulatory alignment with Title 9 of the County Code, which governs animal control across the County. This alignment has ensured uniformity in administering animal control services and streamlined cooperation between the County’s Animal Services Division and the City’s Police Department.
Earlier this year, the County amended Title 9 of its Code to strengthen provisions related to licensing, public safety, and enforcement. To ensure alignment with regional animal control standards and maintain the Division’s jurisdiction so that it can continue providing animal control services for the City in accordance with the Contract, the City is now proposing to amend Title 8 of the El Paso de Robles Municipal Code to reflect the changes made in the County’s Title 9 along with other amendments to Title 8, as further detailed below. While these amendments will align the City’s animal control regulations with the County’s standards, the City will also take this opportunity to address specific local needs while continuing to ensure substantial conformance with the provisions of Title 9. This approach ensures that the City’s animal control services are both consistent with the best regional practices and responsive to the unique needs of the City.
Proposed Amendments to Title 8 of El Paso de Robles’ Municipal Code The following section provides a high-level summary of the key amendments being proposed to Title 8 of the City’s Municipal Code. As noted above, the majority of the existing provisions in the City’s Municipal Code are being updated with minor changes to ensure uniformity and consistency with the County’s recent updates to Title 9 of the San Luis Obispo County Code. These changes are designed to assist both the City and Division in achieving more streamlined and consistent enforcement and administration of animal control services within the City. Additionally, the amendments include several clean-up and reorganized provisions, including capitalization of key terms, to clarify language and improve the overall structure of the regulations for better functionality and compliance for all key stakeholders involved.
Administrative and Enforcement Enhancements
A substantial number of amendments are intended to explicitly define the roles and responsibilities between the Division and City to ensure clarity in enforcement. These designations are based on the existing Contract between the City and County for animal control services.
Authority for the issuance of citations has been further clarified to streamline appropriate enforcement between the City and Division. The proposed amendments also authorize the City’s Chief of Police or their designee to establish supplementary rules that align with the intent and terms of Title 8 of the City’s Municipal Code to provide greater administrative flexibility in managing animal control policies of the City in the future while maintaining the County’s jurisdiction over animal control services within the City.
Animal Welfare and Public Peace
The regulation of noise disturbances caused by animals has been strengthened by implementing a more objective standard. This ensures that the peace and comfort of neighborhoods are preserved while balancing animal ownership rights. In addition, the amendments explicitly prohibit the possession of wild animals that, due to size or disposition, may pose a threat to human life or property to reflect safety concerns.
The amendments further introduce a requirement for dogs and cats over four months of age to be microchipped unless they qualify for specific exceptions to improve the ability to track and return lost animals within the City. The leash laws for dogs have been revised to expressly clarify that individuals are generally prohibited from permitting dogs to roam in public areas without being securely restrained by a
leash or unless the dog is at a "heel" beside a person and obedient to that person's command. Exceptions to this rule include dogs within the boundaries of areas authorized for off-leash recreation, such as designated dog parks.
Licensing and Regulatory Updates
The amendments clarify animal licensing and registration requirements to establish clear delineation of responsibilities between the City and the County since the County assumes such obligations for the City under the above-referenced Contract between the City and County. The Ordinance also amends the existing framework regarding the operation of animal kennels and pet shops by clarifying that such businesses must obtain all necessary approvals and licenses from the City before establishing operations within the City.
Rabies Control and Impoundment Procedures
The existing provisions of the City Municipal Code address rabies vaccination requirements but could be enhanced to provide clearer guidelines on exemptions, reporting procedures, and protocols for handling animals exposed to rabies. Now, the proposed Ordinance adds a new Chapter 8.14 to establish clearer guidelines for rabies vaccination requirements, reporting animal bites, and managing animals exposed to rabies in compliance with state law and based on the contractual arrangement with the Division.
The Ordinance also clarifies procedures concerning the collection and holding of animals found running at large, including more detailed steps for the redemption of impounded animals from the County. Other notable additions include setting procedures relating to the impounding of live livestock found at large.
Additionally, the provisions related to impound fees have been updated to reflect the Division’s authority over such matters while also granting the City Council the authority to set these fees at the local level if ever deemed necessary in the future.
Fee and Penalty Provisions
Title 8 has been amended to expressly authorize the City Council, by resolution or ordinance, to set any fees necessary to administer the provisions of this Title. The existing provisions of the Municipal Code classify any violation of this Title 8 as an infraction punishable by a fine not exceeding $50 for a first violation, $100 for a second violation of the same ordinance within the same year, and $250 for each additional violation within a one-year period. The proposed amendments increase these fines to $100, $500, and $1,000, respectively.
Similar changes were proposed to the amounts charged for misdemeanors. Whereas the current provisions impose a fine up to $500, imprisonment, or both fine and imprisonment for any violation of this Title classified as a misdemeanor, the proposed Ordinance increases this amount up to $1,000, imprisonment, or both. The proposed Ordinance also clarifies that the City Council has the authority to update these amounts by ordinance or resolution as deemed necessary.
Fiscal Impact
No fiscal impact above the current contract with The Division of Animal Services for the County of San Luis Obispo.
CEQA
Staff recommends that the City Council find that this Ordinance is not subject to the California Environmental Quality Act (“Public Resources Code section 21000 et seq.) (“CEQA”) because it does not qualify as a “project” under CEQA. The State CEQA Guidelines provide that “[a]n activity is not subject to
CEQA if the activity is not a project as defined in Section 15378.” (State CEQA Guidelines, § 15060(c).) The Ordinance does not qualify as a “project” as defined in State CEQA Guidelines section 15378 for at least two different reasons: First, Section 15378 defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (State CEQA Guidelines, § 15378(a).) Here, the Ordinance merely updates existing animal control regulations to enhance clarity, enforcement, and administration of animal control services within the City. Such actions will not result in a direct or reasonably foreseeable indirect physical change in the environment. Accordingly, the Ordinance is not a “project” subject to CEQA. (State CEQA Guidelines, § 15060(c)(2).) Second, Section 15378 explicitly excludes from its definition of “project” the following:
“organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.” (State CEQA Guidelines, §§ 15378(b)(5); 15060(c)(3).) Here, the Ordinance constitutes an organizational or administrative activity that will not result in a physical change in the environment for the same reasons above, and it therefore is not subject to CEQA.
Recommendation
Introduce for First Reading by Title Only Ordinance No. XXXX, Amending Title 8 of the El Paso de Robles Municipal Code Regarding Updates to Existing Animal Control Regulations.
Attachments
1. Ordinance No. XXXX to Amend Title 8 of the El Paso de Robles Municipal Code a. Exhibit A – Line Text Amendments to Title 8
Attachment 1
ORDINANCE NO. XXXX
AN ORDINANCE OF THE CITY OF EL PASO DE ROBLES, CALIFORNIA, AMENDING TITLE 8 (ANIMAL CONTROL) OF THE EL PASO DE ROBLES MUNICIPAL CODE TO UPDATE EXISTING
ANIMAL CONTROL REGULATIONS AND FINDING THE ACTION NOT SUBJECT TO CEQA WHEREAS, the City of El Paso de Robles, California (“City”) is a municipal corporation, duly organized under the California Constitution and laws of the State of California; WHEREAS, Title 8 of the El Paso de Robles Municipal Code currently sets forth the animal control regulations applicable within the City;
WHEREAS, the Division of Animal Services (“Division”) for the County of San Luis Obispo (“County”) was established to provide animal care and control functions relating to the care, keeping, and management of animals within the County;
WHEREAS, the City contracts with the Division for the provision of animal control services within the City and the Division works in conjunction with the City’s Police Department and other City personnel to administer such services within the City’s boundaries;
WHEREAS, in order to assist the Division in the uniform administration of animal control services, the City previously amended its Municipal Code to substantially conform to the animal control regulations set forth in Title 9 of the San Luis Obispo County Code;
WHEREAS, in 2024, the County updated Title 9 of its Municipal Code to enhance animal control regulations, including amendments to licensing requirements, public safety standards, and enforcement measures;
WHEREAS, the City has reviewed these updates and now seeks to amend Title 8 of the El Paso de Robles Municipal Code to substantially incorporate Title 9 of the San Luis Obispo County Code to ensure alignment with regional animal control standards and maintain the Division’s jurisdiction for services within the City while tailoring certain provisions to address the specific needs of the City, as set forth in the proposed Ordinance attached hereto as Exhibit “A”;
WHEREAS, the City Council conducted a duly noticed public hearing on January 15, 2025, at which members of the public were afforded an opportunity to comment on this Ordinance, the recommendations of staff, and other public testimony; and WHEREAS, any and all other legal prerequisites relating to the adoption of this Ordinance have occurred.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF EL PASO DE ROBLES ORDAINS AS FOLLOWS:
SECTION 1. Recitals. The City Council hereby finds that the foregoing recitals are true and correct and are incorporated herein as substantive findings of this Ordinance.
SECTION 2. Municipal Code Amendments. The City Council desires to adopt the proposed Ordinance, attached hereto as Exhibit “A” and incorporated herein by this reference, amending Title 8 (Animal Control) of the El Paso de Robles Municipal Code in its entirety.
Attachment 1
SECTION 3. CEQA. The City Council finds that this Ordinance is not subject to the California Environmental Quality Act (“Public Resources Code section 21000 et seq.) (“CEQA”) because it does not qualify as a “project” under CEQA. The State CEQA Guidelines provide that “[a]n activity is not subject to CEQA if … the activity is not a project as defined in Section 15378.” (State CEQA Guidelines, § 15060(c).) The Ordinance does not qualify as a “project” as defined in State CEQA Guidelines section 15378 for at least two different reasons: First, Section 15378 defines a project as an activity that “has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.” (State CEQA Guidelines, § 15378(a).) Here, the Ordinance merely updates existing animal control regulations to enhance clarity, enforcement, and administration of animal control services within the City. Such actions will not result in a direct or reasonably foreseeable indirect physical change in the environment.
Accordingly, the Ordinance is not a “project” subject to CEQA. (State CEQA Guidelines, § 15060(c)(2).) Second, Section 15378 explicitly excludes from its definition of “project” the following: “organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment.” (State CEQA Guidelines, §§ 15378(b)(5); 15060(c)(3).) Here, the Ordinance constitutes an organizational or administrative activity that will not result in a physical change in the environment for the same reasons above, and it therefore is not subject to CEQA.
SECTION 4. Severability. If any provision of this Ordinance is declared to be invalid by a court of competent jurisdiction, it shall not affect any remaining provision hereof. The City Council of the City of El Paso de Robles hereby declares that it would have adopted this Ordinance despite any partial invalidity of its provisions.
SECTION 5. Effective Date. This Ordinance shall take effect thirty (30) days after its final passage and adoption.
SECTION 6. Record of Proceedings. The documents and materials associated with this Ordinance that constitute the record of proceedings on which these findings are based are located at 1000 Spring Street, Paso Robles, California 93446. The City Clerk is the custodian of the record of proceedings.
SECTION 7. Certification. 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.INTRODUCED at a regular meeting of the City Council held on January 15, 2025, for first reading by the City Council of the City of El Paso de Robles, and adopted on _____________________, 2025, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
John R. Hamon, Jr. , Mayor
ATTEST:
Melissa Boyer, City Clerk
Exhibit A
EXHIBIT “A”
SECTION 1. Chapter 8.04 (General) of Title 8 (Animal Control) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.04 – GENERAL
8.04.010 - Establishment of public pound.
A public pound is authorized and established and the same, and any branches thereof, shall be located and established at such place in the city of El Paso de Robles as shall be fixed from time to time by the city council. A public pound and any branches thereof are authorized and established at such place(s) in the City of El Paso de Robles as shall be fixed from time to time by the City. Such public pound, or any authorized branches thereof, shall provide suitable buildings and enclosures to adequately keep and safely hold all such dogs, cats, animals, poultry, or household pets subject to be impounded by the provisions of this Title.
8.04.020 - Animal control officer—Duties Authority.
(a) There shall be in the city a Chief Animal Control Officer chief animal control officer responsible for the administration of the Department animal regulation control department.
(b) The Chief Animal Control Officer is hereby authorized to promulgate and enforce such rules or regulations consistent with the purposes, intent, and express terms of this Title as they deem necessary to implement such purposes, intent, and express terms. (c) Except where otherwise specified, It it shall be the duty of the Chief Animal Control Officer and Department and his duly authorized deputies and employees to:
(1) carry Carry out the provisions of this title and all applicable statutes of the state of California and to be in charge of the public pound authorized and established in this title.
(2) In conjunction with the Division, as applicable, enforce the provisions of this Title, any other sections of this Municipal Code pertaining to the care and keeping of animals, and all applicable statutes and regulations of the state. (3) Designate and employ those individuals who shall perform the duties as an Animal Control Officer.
(4) Have charge of and supervise the animal shelter(s) under their jurisdiction. (5) Keep records of all animals impounded in said shelter(s).
Exhibit A
(6) Keep accounts of all moneys collected and received in the administration of this Title.
(d) Where specified, the County shall be responsible for the administration and enforcement of this Title to the extent authorized by law. The duties of the County shall also include the provision of any other animal control services as may be required by law or agreement between the City and County.
(e) Nothing in this section is intended to create a mandatory duty to perform the duties above for purposes of imposing liability under Government Code section 815.6.
8.04.030 - Citation authority—Authority to carry weapons. (a) The chief animal control officer Chief Animal Control Officer, and his their duly authorized deputies Animal Control Officers, and other authorized City personnel and agents shall have the power to issue citations pursuant to Section 8.20.010. Nothing herein shall preclude the Division from enforcing and administering the provisions of the San Luis Obispo County Municipal Code or this Chapter to the extent applicable and allowed by law.
(b) Animal Control Officers when acting in the course and scope of their employment are authorized to carry on their person or in their vehicles loaded firearms or weapons of the type approved by the Chief Animal Control Officer for the limited purpose of use with respect to rabid or injured animals. Each officer shall qualify under California Penal Code Section 832 in the use of firearms before carrying such firearms or weapons.
8.04.040 - Badges.
The chief animal control officer and his duly authorized and appointed deputies, while engaged in the execution of their duties, shall each wear in plain view a badge having, in the case of the chief animal control officer, the words "Chief Animal Control Officer" and, in the case of the deputy animal control officers, the words "Deputy Animal Control Officer," engraved thereon.
Any person who has not been appointed as provided in this chapter, or whose appointment has been revoked, who shall represent himself to be or shall attempt to act as an animal control officer shall be guilty of a misdemeanor.
8.04.050 - Record of Division poundmaster.
The Division shall keep a record of the number, description and disposition of all animals impounded, showing in detail in the case of each, the date of receipt, the date and manner of disposal, the name of the person reclaiming, redeeming or receiving such dogs, cats, or household pets, the reason for destruction and such additional records as the Board of Supervisors may from time to time direct.
The poundmaster shall keep a record of the number, description and disposition of all dogs, cats, animals, poultry and household pets impounded, showing in detail, in the case of each, the date of receipt, the date and manner of disposal, the name of the person reclaiming, redeeming or
Exhibit A
receiving such dogs, cats, animals, poultry and household pets, the reason for destruction, and such additional records as the city council may from time to time feel necessary.
8.04.060 - Poundmaster—Reports.
The poundmaster shall make a monthly report to the city council, or as often as may be required by the city, of the actions, transactions and operations of the public pound.
8.04.070 - Unnecessary noise.
(a) It is unlawful for any person to keep, harbor or maintain upon any lot, or in any residence, building, or structure owned, occupied, or controlled by them any animal which, by any frequent or prolonged noise, causes annoyance or discomfort to a reasonable person of normal sensitivities.
(b) Prima facie evidence of a violation of this section shall be established if the noise from any such animal disturbs two or more individuals residing in separate dwellings close proximity to the property whereat the animal is kept.
(c) Frequent and repetitive violations of this section may be deemed a public nuisance which may be abated by the City through any means provided by law, including, but not limited to Chapter 9.06 of this Code.
(1) For purposes of this section, “frequent and repetitive” means two or more violations of this section occurring within one year of the date of the initial violation.
(d) This section shall not apply to sounds made by livestock kept upon property which is zoned to allow the keeping of agricultural animals, provided that such noise is consistent with normal and expected levels for that type of animal keeping.
It is unlawful for any person to keep, maintain or permit on any lot or parcel of land, any dogs, cats, animals, poultry or household pets, which by any sound or cry disturb the peace and comfort of the neighborhood.
8.04.080 - Abatement of noise or nuisance.
(a) Should the City determine through investigation that any animal habitually causes or creates a public nuisance, the City may issue to the owner of the animal an order to abate the nuisance forthwith.
Exhibit A
(1) The City may initiate such an investigation independently upon reasonable suspicion or other good cause that a public nuisance exists; or (2) The City shall initiate such an investigation upon the written affirmation from three individuals alleging that any animal is causing or creating a public nuisance, provided that those individuals reside in, or occupy, separate dwellings or businesses in close proximity to the alleged nuisance.
(b) Upon issuance of an order to abate a nuisance, a fine may be levied by the City against the owner of the animal.
(c) If a public nuisance is not abated upon the order of the City, the City Manager or their designee(s) may present the results of such investigation to the City Attorney for prosecution.
Whenever it is affirmed in writing by three or more persons living in separate dwelling units in the neighborhood that any dog, cat, animal, poultry or household pet is an habitual nuisance by reason of howling, barking, or other noise, or is in any other manner causing undue annoyance that constitutes a public nuisance, the poundmaster, if he finds such public nuisance to exist, shall serve notice upon the owner or custodian that such public nuisance shall be abated or the animal shall be impounded in a legal manner.
If such nuisance and annoyance cannot be successfully abated and the poundmaster determines it necessary to impound such dog, cat, animal, poultry or household pet, he shall not permit the reclaiming or redemption of such to the owner or custodian unless adequate arrangements have been made by the owner or custodian to ensure abatement of the annoyance or public nuisance.
8.04.090 - Owner's responsibility to dispose of dead animals. (a) The owner of any animal, dog, cat, poultry, or household pet which has died shall dispose of the carcass in a sanitary manner within twenty-four (24) hours of becoming aware of its death.
(b) It is unlawful for any person to place the carcass of an animal, or any portion thereof, in or upon any roadway, park, public place, or upon the private property of another without the express consent of the property owner or possessor.
It is unlawful for any owner or person, having had the possession or control of any animal, dog, cat, poultry or household pet while alive, to place the body of such animal, dog, cat, poultry, or household pet, after its death, or cause to permit it to be placed or to knowingly allow or permit the same to remain, in or upon any public road, highway, street, alley, square, park, schoolground or other public place or in or upon any lot, premises, or property of another.
Exhibit A
8.04.100 - Disposition of dead animals upon request.
It shall be the duty of the poundmaster Division, upon the request of any owner of any dead animal, dog, cat, poultry, or household pet which was kept or maintained in the city immediately prior to its death, or upon the request of any person or persons discovering a dead animal, dog, cat, poultry or household pet upon his premises or upon any public road, highway, street, alley, square, park, schoolground or other public place, or in or upon any lot or premises, to forthwith bury or dispose of the same in such manner as may be prescribed by law the health officer.
The poundmaster Division may charge and collect fees, which may be set by resolution of the Board of Supervisors, for the transportation and disposal of such animal, dog, cat, poultry or household pet from the owner or person having had the possession or control of such if same can be ascertained.
8.04.110 - Definitions.
This section provides definitions of terms and phrases used in this Title that are technical or specialized, or that may not reflect common usage. If any of the definitions in this section conflict with definitions in other provisions of this Code, these definitions shall control for the purposes of this Title. If a word is not defined in this section, or in other provisions of this code, the Chief Animal Control Officer or their designee shall determine the correct definition. The Chief Animal Control Officer or their designee shall have the authority to render interpretation and discretion regarding the applicability of any definition set forth in this section. (a) “Aggressive” means the demonstration of behavior indicating that an animal is likely or prone to unprovoked attack against a person or another animal. (b) "Altered” means having been spayed or neutered.
(c) "Animal" means any member of the taxonomic kingdom Animalia other than a human being.
(d) “Animal Control Officer” means any person or agency designated by the City as a law enforcement officer or any personnel other than a law enforcement officer, such as a code enforcement officer, of the City who is authorized to implement the provisions of this Title.
(e) "At Large" means being upon any private property while unrestrained by a leash and without permission of the person who owns or has a right to possess or use the property; or, being upon public property or private property which is open to the public while unrestrained by a leash.
(f) "Board of Supervisors" means the San Luis Obispo County Board of Supervisors. (g) “Business Day" means any day that the Department or Division’s, as applicable, animal shelter is open to the public.
Exhibit A
(h) "Cat" means a Felis catus of either sex, altered or unaltered; or any animal which is a hybrid of a Felis catus.
(i) "Chief Animal Control Officer” means the Chief of Police for the City of El Paso de Robles or their designee.
(j) “Chief Animal Control Officer of the County” means the Animal Services Manager of the County of San Luis Obispo or their designee.
(k) “City” means the City of El Paso de Robles.
(l) “Code” or “Municipal Code” means the Municipal Code for the City of El Paso de Robles.
(m) “Commercial” means any transaction, relationship, business, or endeavor which involves the exchange of money, or traded goods or services, in exchange for any material consideration or service.
(n) “Companion Animal” means any animal of a species normally kept by people for the purposes of companionship, recreation, or sport. For the purposes of this Title, this definition includes horses, donkeys, mules, and any other domesticated equine. (o) "County" means the County of San Luis Obispo and encompasses the Animal Services Division for the County.
(p) “Department” encompasses the El Paso de Robles Police Department, the Chief Animal Control Officer, code enforcement personnel for the City, and their duly authorized representatives.
(q) “Dog Kennel” means four or more dogs, four months of age or older, kept on a site. (r) "Division" means the Animal Services Division for the County, the Chief Animal Control Officer of the County, or their duly authorized representative(s). (s) "Dog" means a Canis familiaris of either sex, altered or unaltered; or any animal which is a hybrid of a Canis familiaris.
(t) “Dog Kennel” means four or more dogs kept on a site. (u) “Domestic Animal” means any animal of a vertebrate species which:
(1) Has been selectively bred to live in a tame condition for the purposes of being a household pet, food or fiber source, or work animal; and (2) Is generally dependent upon people for its survival; and (3) Is notably distinct in conformation and/or behavior from its wild ancestors.
Exhibit A
(v) “Exotic Animals” means an animal of a non-domestic order or family, regardless of whether the animal was bred in the wild or in captivity, or any hybrid of an exotic animal.
Examples include, but are not limited to, monkeys, foxes, raccoons, and other similar animals which may be wild or vicious by nature.
(w) “Fowl and Poultry” means any animal such as a chicken, duck, turkey, goose, peacock, or other similar animals, excluding hens.
(x) “Heel” means for a dog to walk with its head or body remaining parallel and directly adjacent to the legs of its handler in a manner where the dog is positioned and fully controlled by its handler.
(y) “Hogs and Swine” means any animal member of the swine family, including but not limited to pigs, hogs, and boar.
(z) "Household Pets" means any domestic animal normally kept for purposes of companionship or amusement, including, but is not limited to, cats, dogs, canaries, parrots, fish, rodents, rabbits, turtles, lizards, and snakes. Household Pets shall not include any animal prohibited under this Code or applicable laws. (aa) “Identification” means any visible or readily discoverable tag, tattoo, microchip, or other information bearing mark or device attached to, or implanted in, an animal giving indication that the animal is owned and providing, at a minimum, a current phone number or address at which the owner can be contacted.
(bb) “Impound” means to have been received into the custody of the Department or Division, as applicable, any of their authorized officers or agents, or any public agency. (cc) “Irremediable” means any injury or illness causing significant malaise, discomfort, or suffering to an animal and which is without treatment or which would not normally be treated by the average animal owner in the community.
(dd) “Large Animals” means any equine, bovine or other animal similar in size, weight or appearance, including but not limited to a horse, pony, mule, donkey, cow, llama, goat, sheep, and ostrich.
(ee) "Livestock" means all domestic animals other than household pets including, but not limited to horses, ponies, mules, donkeys, cattle, sheep, and goats. (ff) “Menacing” means the demonstration of behavior indicating an intent to inflict harm or which otherwise places a person in reasonable fear for their safety, the safety of others, or the safety of animals kept by them.
(gg) “Miniature Animal” means any animal that does not exceed twenty-four inches in height at full maturity.
Exhibit A
(hh) “Non-Profit Humane Organization” means any animal operation conducted by a bona fide charity in good standing under the provisions of Section 501(c)(3) of the Internal Revenue Code and in compliance with all state and local codes pertaining thereto. (ii) “Neuter” means to be rendered incapable of reproduction as a result of surgical removal of the testes.
(jj) "Owner" means any person who exercises legal possession or custodianship of an animal, or who legally claims the right to possession or custodianship of an animal. (kk) “Person” means any individual, firm, partnership, corporation, company, society, or association and every officer, agent, or employee thereof. (ll) “Pet shop” means an establishment involved in selling or exchanging (but excluding boarding, breeding, or raising) any birds, dogs, cats, or other household pets. (mm) “Quarantine” means the strict confinement of an animal in a location which prevents its interaction with other animals and limits interaction with people during the period in which it is under observation for signs indicative of an infectious disease. (nn) “Severe Bodily Injury” means any physical injury which results in deep lacerations with separation of subcutaneous tissues, muscle tears, lacerations, fractures or joint dislocations, or permanent impairment of locomotion or special senses. (oo) “Spay” means to be rendered incapable of reproduction as a result of the surgical removal of the ovaries.
(pp) “Stable” means any lot, building, enclosure, or premises maintained for the purpose of lodging, feeding, boarding, or rental of horses or other livestock. (qq) “Stray” means any animal subject to leash law or other confinement restrictions which is found roaming at large and without an owner or custodian in the immediate vicinity. (rr) “Unaltered” means not having been spayed or neutered. (ss) “Veterinarian” means a professional licensed by the State of California to practice the science and art of disease and injury diagnosis, prevention, treatment, and cure in animals.
Animals. Any mammal, bird, reptile, fish, amphibian or other vertebrate creatures other than human beings.
Animals, exotic. Any animal such as but not limited to a monkey, fox, raccoon or other similar animals which may be wild or vicious.
Animals, large. Any equine, bovine or other animal similar in size, weight or appearance, including but not limited to a horse, pony, mule, donkey, cow, llama, goat, sheep and ostrich.
Exhibit A
Animals, miniature. Any animal such as a pot-belly pig, pygmy goat (female or neutered male only), miniature horse or other similar animals that do not exceed twenty-four inches in height.
Animals, small. Any animal such as a rabbit, bird, chicken (hens only) or other small animal including all household pets that are kept primarily outside the residence.
Cat. A domesticated cat over four months in age.
Dog. A domesticated dog over four months in age.
Dog kennel. A dog kennel is defined as four or more dogs, four months of age or older, kept on a site.
Fowl and poultry. Any animal such as a chicken (excluding hens: see small animals), duck, turkey, goose, peacock or other similar animals.
Hogs and swine. Any animal member of the swine family, including but not limited to pigs, hogs and boar.
Household pets. Any animal such as birds, fish, hamsters, lizards or other small animals that are kept exclusively inside the residence.
Poundmaster. This refers to the chief animal control officer of San Luis Obispo County.
8.04.120 - Dog kennels and pet shops—Regulations.
It is unlawful for any person, firm, corporation or association to erect, establish or maintain any dog kennel or pet shop, as defined in Section 8.04.110, without first obtaining a permit from the license collector, as that term is defined in Chapter 3.28 (Business License Tax), and complying with this section.
The granting of such permit shall be in the discretion of the health officer City who which shall take into consideration the type of construction to be employed as it relates to sanitation and manner in which the animals, birds, or fowl are to be housed, as well as the character of the person, firm, corporation, or association making application and such zoning regulations as may now be in effect or adopted from time to time. Upon approval of the City health officer, the license collector, upon the payment of the annual business license fee required by the city's license ordinance the provisions of Chapter 3.28 of the Municipal Code, for the privilege of maintaining such dog kennels or pet shops, shall issue to the applicant a license in such form as he may prescribe. Such annual license shall be for the fiscal year or any part thereof during which said dog kennel or pet shop shall be maintained, and shall be due and payable in advance on the first day of July of each year, and shall expire on the thirtieth day of June of such year, provided the abovementioned permit has not been revoked. Every person, firm or corporation maintaining a dog kennel or pet shop shall post notice in a conspicuous place where it may be seen outside the locked premises, a notice listing names, addresses and telephone numbers of persons who may be contacted in the event of an emergency. All necessary approvals, licenses,
Exhibit A
or permits required to operate a dog kennel or pet shop under this Municipal Code must first be obtained before commencing operations. Nothing herein shall supersede, negate, or otherwise eliminate the requirement to comply with all other local, state, or federal regulations, ordinances, and other laws related to the operation of dog kennels or pet shops.
8.04.130 - Dog kennels and pet shops—Permit revocation.
The permit for the maintenance and operation of a dog kennel or pet shop may be revoked at any time for cause when, in the opinion of the City or Division, if designated by the City, health officer, such dog kennel or pet shop is not being properly maintained or operated.
8.04.140 - Interference with performance of duties.
It is unlawful for any person to resist, hinder, or obstruct the Chief Animal Control Officer or any of his deputies or Department or City employees in the exercise of their duties under this Title. Any person who violates this section shall be guilty of a misdemeanor.
8.04.150 - Animal keeping.
(a) Except as provided in this Title or Title 21 of this Code:
(1) No person may keep, harbor, or maintain more than any combination of more three (3) dogs and miniature animals over the age of four months, nor more than six (6) cats over the age of four months on any single lot premises, dwelling, or living accommodation located within the City;
(2) Nor may any person allow to be kept, harbored, or maintained more than any combination of more three (3) dogs and miniature animals over the age of four months, nor more than six (6) cats over the age of four months on any single lot, premises, dwelling, or living accommodation controlled by them and located within the City.
(3) Young animals born by a permitted animal kept on-site may be kept until such animals are weaned.
(b) The keeping of animals is an allowed accessory use within all residential zoning districts and shall comply with the requirements of this section and Title 21 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
Exhibit A
but are not limited to the propagation of flies and other disease vectors, dust, noise, offensive odors, soil erosion and sedimentation.
(B c) 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). (Cc) Prohibited Animals. The following animals are prohibited in all residential zones: fowl (excluding chicken hens only which are classified as "small animals"), poultry, hogs and swine.
(Dd) Exceptions.
(1) 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 Chapters 21.32 and 21.69).
(2) Upon the issuance of a conditional use permit, a person may raise and keep exotic animals, hogs and swine, or poultry, provided that such activities strictly comply with all terms, conditions, and limitations set forth in the governing permit.
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, houses, and
other large animals
See Section
21.69.050
See Section
21.69.050
See Section
21.69.050
Exhibit A
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).
8.04.160 - Violation.
(a) Except as otherwise provided in this Title, any person who, after written notice, violates, or who upon the demand of the Department, or Division if applicable, refuses or neglects to conform to any lawful rule, written order, or regulation promulgated by the Department is guilty of violation of the provisions of this title is an infraction. (b) Each day upon which a violation occurs or continues to occur shall constitute a separate offense. Nothing in this section shall preclude the use or application of any other remedies, penalties, or procedures established by law.
8.04.170 Impersonation of Animal Control Officer – Prohibited.
It is unlawful for any person who has not been designated to the position of an Animal Control Officer to represent themselves to be, or to attempt to act as an Animal Control Officer. Any person who violates this section is guilty of a misdemeanor.
Exhibit A
8.04.180 Fees
(a) Whenever fees are to be charged by the City under the provisions of this Title, these fees shall be set by ordinance or resolution of the City Council. (b) A fee, including a penalty fee, may be waived if, in the discretion of the Chief Animal Control Officer, it is contrary to interests of justice, would adversely impact animal welfare, or would impose an undue financial hardship upon the payee.
8.04.190 Microchipping Required.
(a) All dogs and cats over the age of four months must be implanted with an identifying microchip.
(b) This provision shall not apply to:
(1) Dogs or cats for which a veterinarian licensed to practice within the state of California has issued a certificate indicating that such procedure would pose a serious risk to the health or life of the animal. Such certificate shall be issued in a form as prescribed by the Division.
(2) Dogs or cats over eight years of age.
(c) Any dog or cat without a microchip impounded by the Division shall be microchipped prior to redemption or adoption at the owner’s sole expense.
SECTION 2. Chapter 8.06 (Menacing and Aggressive Animals) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.06 - MENACING AND AGGRESSIVE ANIMALS
8.06.10 Animal owner and property owner responsibility. (a) It is unlawful for any person to keep, harbor, or maintain any aggressive or menacing animal which threatens, harasses, or intimidates a person who is peaceably and lawfully upon public or private property, unless it is contained in an enclosure of a construction adequate to keep it securely confined and prevent its escape. (b) Upon notification of a violation of subsection A (a) of this section, the animal owner(s) must immediately confine the animal to an enclosure or location which mitigates the aggressive and menacing behavior.
Exhibit A
(c) It is unlawful for any person to permit any animal owned, harbored, or controlled by him or her to attack and cause severe bodily injury or death to another domestic or captive animal while off the property of its owner or keeper.
(c) It is a misdemeanor for any person to permit any animal owned, harbored, or controlled by them, to inflict upon any human being a bite that penetrates the skin while the person bitten is on any public place, or lawfully upon any private property. (d) The Division is authorized to carry out all duties and responsibilities necessary to enforce the provisions of this Chapter, including but not limited to investigation, issuance of notices or citations, and coordination with other enforcement agencies or legal authorities.
8.06.20 - Definitions.
Aggressive animal. Any animal whose past and/or current observable behavior causes a person observing that behavior reasonably to believe that the animal may attack a person or another animal without provocation.
Menacing animal. Means any animal which, through its past and/or current behavior, causes a person observing or subject to that behavior to be in reasonable fear for his or her safety, or the safety of animals kept by him or her. Police or military service canines being utilized in an official capacity are excluded from this definition.
Severe bodily injury. Means any physical injury which results in deep lacerations with separation of subcutaneous tissues, muscle tears or lacerations, fractures or joint dislocations, or permanent impairment of locomotion or special senses.
8.06.30 - Penalties.
(a) Violations of this Chapter shall be punishable as an infraction in accordance with Chapter
8.20 of this Title.
(b) D. For the purposes of this section, a first violation of subsection A this Chapter will be deemed to have occurred if the menacing or aggressive animal is not confined as required by this Chapter subsection C within twenty-four hours of notification; a separate violation of subsection A section 8.06.10 shall be deemed to exist for each twenty-four-hour period following notification in which an animal's menacing or aggressive behavior continues unmitigated.
(c) Nothing in this section shall preclude the use or application of any other remedies, penalties, or procedures established by law, including those available to the Division as applicable.
A. One hundred dollars for the first violation.
Exhibit A
B. Two hundred dollars for the second violation of subsection A or B within one-year.
C. Five hundred dollars for each additional violation of subsection A or B within oneyear.
8.06.40 - Liability of property owners.
Owners of properties upon which a tenant keeps, harbors, or maintains any aggressive or menacing animal may, along with the animal owner(s), may be jointly and severally liable for penalties related to violations of subsection A Section 8.06.10, provided that they have received at least fourteen days prior written notice of the existence of such violation and the violation has not been abated by the property owner.
No penalty shall be imposed upon the property owner if the property owner can demonstrate, within fourteen days following notification that a violation has occurred, that the property owner has initiated action to abate the illegal activity on the property.
8.06.50 Possession of Unsafe and Wild Animals Prohibited. (a) It is unlawful for any person to own, keep, maintain, or possess any animal which is wild by nature and which, because of its size, disposition, or other characteristics could constitute a danger to human life or property. Such animals shall include, but are not necessarily limited to, the following:
(1) Mammals:
(i) Any canine other than a member of the species Canis familiaris (domestic dog), including wolves, coyotes, foxes, jackal, or any hybrid thereof. (ii) Any feline other than a member of the species Felis catus (domestic cat), including mountain lions, bobcats, tiger, or any hybrid thereof. (iii) Hyenas, bears, elephants, and primates.
(2) Reptiles.
(i) Any species of front fanged venomous snake, or hybrid thereof. (ii) Any venomous species of Heloderma.
(iii) Reticulated pythons, rock pythons, Burmese pythons, anacondas, or any other snake which commonly exceeds 10 feet in length at adulthood.
Exhibit A
(3) Any other terrestrial animal species, except for honey-producing bees, which is venomous to human beings, whether its venom is transmitted by bite, sting, touch, or other means.
(b) This prohibition shall not apply to:
(1) Livestock;
(2) Any member of the following taxonomic groups:
(i) Aves (birds)
(ii) Equidae (horses, asses, and zebras)
(iii) Camelidae (camels, llamas, alpacas)
(iv) Ruminatia (oxen, bison, deer, antelope, chevron)
(3) Any wild and dangerous animal being transported through the City provided that the possessor is in compliance with all state and federal laws related to the keeping, possession, and transport of such animals, and provided that the animal does not remain within the City for more than 24 hours; (4) Any zoo, circus, museum, educational, or academic research institution, veterinary hospital, wildlife rehabilitation, or breeding organization, animal rescue, or commercial film or video production company provided that the animals are kept and confined in a manner which precludes their escape and which fully protects the public from harm.
(5) An exotic animal permitted in accordance with section 8.04.150 of this Code.
SECTION 3. Chapter 8.08 (Dogs) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.08 – DOGS & OTHER ANIMALS
8.08.010 - Stray dog defined.
A "stray dog" is any dog licensed or unlicensed, which is in or on any public road, highway, street, alley, square, park, schoolground or other public place, or in or upon any lot, premises or property of another when not accompanied in the near vicinity by the person owning, having interest in, harboring, or having charge, care, control, custody or possession of such dog. Any stray dog shall be immediately seized and impounded by the poundmaster.
8.08.020 - Leash law.
Exhibit A
(a) No person shall permit any dog owned, harbored, or controlled by him to be in or upon any public roadway, walkway, park or other public area unless securely restrained by a leash and under the direct control of a person competent to exercise full care, custody, and charge over such dog, or unless the dog is at a "heel" beside a person and obedient to that person's command.
(b) No person shall permit any dog owned, harbored, or controlled by him to trespass or be upon the private property of another without the express prior consent of the property owner or possessor.
(c) The provisions of this section shall not be applicable:
(1) To any dog actively engaged in the herding of livestock or hunting provided it is obedient to the commands of the person controlling them during these activities; (2) Within the boundaries of any park or other public area specifically designated and authorized by the City or controlling agency as an off-leash recreational area for dogs, such as a dog park; or
(3) Any registered service dogs or dogs associated with search and rescue or law enforcement.
It is unlawful for any person to suffer or permit any dog owned, harbored, or controlled by him to be on any public street, alley, lane, park or place of whatever nature open to and used by the public in the incorporated area of the city unless such dog is securely leashed and the leash is held continuously in the hand of a responsible person capable of controlling such dog, or unless the dog is securely confined in a vehicle, or unless the dog is at "heel" beside a competent person and obedient to that person's command. Any violation of this section is an infraction punishable as provided in this title.
8.08.030 - Poundmaster to patrol and enforce Patrol and Enforcement of regulations Regulations.
It shall be the duty of the poundmaster Department, and Division as applicable, to patrol the incorporated area of the City from time to time and without notice to the public for the purpose of enforcing the provisions of this Title.
8.08.040 - Poundmaster Department and Division to seize and impound stray dogs Roaming At Large.
It shall be the duty of the poundmaster Department and Division to seize and impound, in a lawful manner and subject to the provisions of this title, any dog found running at large all stray and all unlicensed dogs found within the incorporated area of the City city of El Paso de Robles.
Exhibit A
8.08.050 - Dog running at large.
The owner or possessor of any private property may take up and deliver to the Department or Division, or detain for the Department or Division to pick up, any dog found running at large upon that property.
Any dog found trespassing on any private property in the city of El Paso de Robles may be taken up by the owner or possessor of the property and delivered to the poundmaster or detained on the property until picked up by the poundmaster.
8.08.055 - Reserved.
8.08.055 - Dogs in public places.
Pursuant to the provisions of the Vehicle Code Section 21113 with respect to animals that may be found in a public park whether or not they are in the company of their owners, it is unlawful for any person to permit any dog or any other animal, owned, harbored or controlled by him to be on the grounds of any public park unless the individual has been granted a city permit by the parks and recreation department for the specific purpose of conducting an organized program or activity involving but not limited to canines. Properly licensed seeing-eye dogs are automatically exempted from this section.
It shall be the duty of the poundmaster to seize and impound all dogs found on the grounds of any public park within the city limits or cite the owner or persons in control of the animal for violation of this section. Any person violating this section shall be subject to a fine of twenty dollars for each occurrence.
8.08.060 - Delivery to poundmaster by private persons.
Any person finding a lost, stray or stolen animal shall notify the Department or Division by any means available within twenty-four (24) hours of the event and provide their name, address, phone number, a description of the animal, and the time and location at which it was found.
Every person taking up any dog under the provisions of this title and every person finding any lost, strayed or stolen dog shall, within twenty-four hours thereafter, give notice thereof to the poundmaster and every such person in whose custody such dog may, in the meantime be placed, shall surrender such animal to the poundmaster without fee or charge and the poundmaster shall thereupon hold and dispose of such dog in the same manner as though such dog had been found running at large and impounded by him.
Exhibit A
8.08.070 - Notice of impounding dog animals and holding period. (a) Upon impounding any animal with identification, the Department or Division, as applicable, shall make reasonable efforts to notify the owner or custodian of the impoundment within twenty-four (24) hours, excluding Sundays and holidays. The owner or custodian shall also be notified that the animal must be redeemed within three (3) business days and, that unless so redeemed, the animal may be disposed of in a manner as provided by this Title.
(1) Notification may be made by direct oral communication, telephone message, or posting of written notice at the address listed upon the animal's identification. (b) The Division shall maintain a listing which includes the description, date of impound, and location taken up for all animals impounded by the Division or reported as found by a private person. This information shall be made available to the public by means of a recorded phone message, website or any other reasonable means deemed appropriate by the Chief Animal Control Officer of the County.
As soon as possible, but not later than twenty- four hours after impounding any dog properly registered under the provisions of this title, the poundmaster shall notify the registered owner or person having control of the dog by telephone, mail or orally that such dog is impounded and that it can be redeemed within three days from the date of such impounding and unless redeemed the dog will be disposed of in any manner as provided by this title.
8.08.080 - Redemption of impounded dogs.
The poundmaster shall securely keep any dog impounded for a period of three days unless the dog is sooner reclaimed or redeemed by the owner or person having control thereof. The owner or person entitled to the custody of the dog so impounded may, at any time before the sale or other disposition thereof, during the office hours of the pound, reclaim or redeem the dog by exhibiting to the poundmaster the license certificate or license tag showing that the license for the dog for the then current year has been paid and by paying the poundmaster any charges provided for. No fees whatsoever shall be charged or collected for or on account of any dog which has been unlawfully taken up or impounded, and any such dog shall be immediately delivered upon demand therefor to the owner or person entitled to the custody thereof.
8.08.090 - Redemption fees
The owner or person entitled to the custody of a dog impounded shall pay the following fees, effective July 1, 1971, to the poundmaster before such dog is released: (1) Registration of license fee for the current year unless such fee has previously been paid and evidence of paid fee adequately exhibited;(2)Impound fee of ten dollars for the first occasion of any dog impounded
Exhibit A
within the calendar year;(3)Impound fee of twenty-five dollars for the second occasion of any dog impounded within a calendar year;(4)Impound fee of fifty dollars for the third and each subsequent occasion of any dog impounded within a calendar year.
8.08.100 - Sale, gift or destruction of dog.
At any time after the expiration of said period of three days, the poundmaster may, without further notice, and without advertising in any manner, sell, give away or dispose of in a humane way any dog not reclaimed or redeemed as aforesaid; provided, however, the poundmaster may not sell, give away or transfer title to any dog or any other animal to any institution engaged in the diagnosis or treatment of human or animal disease, or in research for the advancement of veterinary, dental, medical, or biologic sciences, or in the testing or diagnosis, improvement or standardization of laboratory specimens, biologic products, pharmaceuticals, or drugs.
8.08.110 - Injured and diseased dogs.
Every dog taken into custody by the poundmaster which by reason of injury, disease or other good causes as determined by a licensed veterinarian as dangerous or inhumane to keep impounded, shall be forthwith destroyed by the poundmaster in a humane manner unless the owner or person entitled to the custody of the dog can be notified by the poundmaster within a reasonable period of time to arrange and provide for medical care. The poundmaster shall release such dog to its owner or person having control thereof upon payment of the redemption fees and other charges as provided in this title. However, if the licensed veterinarian determines that such dog is diseased and by reason of such disease is dangerous to persons or to other animals, or to the general health and welfare of the city, the poundmaster shall destroy the dog.
8.08.120 - Care of dog while impounded.
The poundmaster Department and Division, as applicable, shall provide all dogs in his its custody with proper food and water, and shall give them all necessary care and attention. The poundmaster City Council or Board of Supervisors, as applicable, may, by resolution or ordinance, establish fees not to exceed one dollar per day to reflect the costs incurred for the care of such dogs and may charge fees at the time an impounded dog is redeemed by its owner or person having custody or may charge these fees at such time an unclaimed dog is sold.
8.08.130 - Vicious and dangerous dogs.
If it is suspected that a dog is vicious or dangerous and any such dog is reported to have bitten more than two persons, or attested affidavits are submitted by residents of the community as to the ferocity of the animal in question, the health officer shall notify the owner or person having
Exhibit A
control of such dog to keep the dog in such manner as the health officer shall direct. If it is determined by the health officer that such dog cannot be properly controlled by the owner or person having custody and no further arrangements can be made to ensure public safety, then the health officer shall direct the poundmaster to destroy such dog in a humane manner. It shall be the duty of the owner or person having control of such dog to surrender such dog to the poundmaster.
8.08.140 - Impounding of biting dog.
Upon written notice by the health officer, the owner or person having the control of any dog which has, within the preceding ten days, bitten any person or animal shall, upon demand, and in the discretion of the health officer, follow one of the following procedures. He shall either:
(1)Confine such dog to his own premises; or(2)Surrender such dog to the poundmaster who shall impound and keep such dog at the public pound in a separate kennel for a period of not less than ten days; or(3)Surrender such dog to a licensed veterinarian as designated by the health officer; or(4)Surrender the dog to the poundmaster for quarantine at any other location of facility designated and approved by the health officer. If the dog is quarantined on the premises of the owner, the poundmaster may post a quarantine sign on such premises, and it is unlawful for any person to remove the sign during the term of such quarantine without the consent of the health officer. Any quarantine provided in this section shall be for a term of not less than ten days unless otherwise specified by the health officer. During said period it shall be the duty of the health officer, upon being notified by the poundmaster that such dog has been impounded, to determine whether or not such dog is suffering from any disease. If a duly licensed veterinarian designated by the health officer determines that such dog is diseased and by reason of such disease is dangerous to persons or to other animals, he shall so notify the poundmaster in writing, to destroy such dog. A copy of the notice may also be served upon the owner or person having control of such dog. If the veterinarian determines that such dog is not so diseased, the poundmaster shall notify the person owning or having control of such dog at the address from which the dog was surrendered to the poundmaster and shall, upon demand, release such dog to the owner or person lawfully entitled thereto, upon payment of any charges provided therefor, including expenses of quarantine and veterinary care; provided, however, that if no person lawfully entitled to such dog shall within three days after the date of giving the last mentioned notice, appear at the public pound and request the release of such dog, and pay said charges, such dog may be sold or destroyed by the poundmaster in the same manner hereinbefore provided.
8.08.150 - Symptoms of rabies.
Whenever the owner or person having the custody or possession of an animal observes or learns that such animal shows symptoms of rabies, or acts in a manner which would lead to a reasonable suspicion that it may have rabies, such owner or person having the custody or possession of such animal shall immediately notify the health officer. The health officer shall make or cause an inspection or examination of such animal to be made by a licensed veterinarian
Exhibit A
until the existence or nonexistence of rabies in such animal is established by such veterinarian.
Such animal shall be kept isolated in a pound, veterinary hospital, or other adequate facility in a manner approved by the health officer and shall not be killed or released for at least ten days after the onset of symptoms suggestive of rabies, after which time such animal may be released by the health officer, provided the health officer has first determined that the animal does not have rabies. If the health officer determines that the animal does have rabies, the poundmaster shall destroy the animal at the direction of the health officer.
The health officer, or his duly authorized representative, is authorized and empowered to enter in a manner authorized by law upon private property where any dog or other animal is kept, or believed by him to be kept, for the purpose of ascertaining whether such dog or other animal is afflicted or infected with rabies or other contagious disease.
8.08.160 - Dog registration and licenses.
(a) Except as provided in Section 8.08.250, all dogs, including dog hybrids, over the age of four months and being kept or maintained in the City for more than thirty (30) days in any one year period shall be licensed through the Division. (b) It shall be the responsibility of the Division, with the assistance of the Department, to administer those processes related to the issuance of such license, including but not limited to the:
(1) Receipt and processing of applications for licensure; (2) Distribution of license tags; and
(3) Maintenance of all records related thereto.
Except as provided in Section 8.08.250, it is unlawful to own, keep or control any dog unless and except when a license has been procured therefor as herein provided. This section shall have no application to dogs under the age of four months fastened securely by a rope, chain, or leash, or confined within the private property of the owner or person having control of the dog. Any violation of this section is an infraction, punishable as provided in this title.
8.08.170 - Dogs—Vaccination Required.
It is unlawful for any person owning, harboring, or having the care, custody, or possession of any dog to keep or maintain such dog in any place in the city limits of the city of El Paso de Robles unless such dog has been vaccinated as provided under this Title herein or unless otherwise excepted under this Title as provided in Section 8.08.180. This section shall have no application to dogs under the age of four months, who are fastened securely by a rope, chain or leash, or confined within the private property of the owner or person having control of the dog.
Exhibit A
8.08.180 - No licensing without vaccination.
A license shall not be issued for any dog which has not been vaccinated against rabies infection with a vaccine approved by the California Department of Public Health for use in dogs or which has not been issued an exemption to the requirement for rabies vaccination as provided for in section 8.14.030 of this Code.
The county department of animal regulation shall not license any dog until it has been vaccinated with canine rabies vaccine by injection or other method approved by the health officer during the time prescribed by state law or the rules and regulations of the State Department of Public Health, unless the owner or person in possession of the same submits a certificate from a licensed veterinarian issued within the preceding sixty days, stating that, in his opinion, the rabies vaccination would be likely to seriously injure the dog. Any dog so excepted from rabies vaccination shall be restricted to the enclosed yard of the owner or person in possession of the same except when held upon a rope, chain or leash. Any violation thereof by the owner or person in possession of such dog is unlawful.
8.08.185 Rabies Deposit Fee Required
Any person procuring a dog license without a valid rabies vaccination for reason of redeeming an impounded animal or clearing a citation will pay a rabies deposit fee which shall be established by resolution or ordinance by the County Board of Supervisors. This deposit is refundable upon proof of current vaccination through normal County refund procedures. Proof of rabies vaccination shall be made to the Division within thirty (30) days or the license will be void and the deposit forfeited.
8.08.190 - Vaccination performance.
The vaccination shall be performed by a duly qualified and licensed veterinarian. The veterinarian vaccinating the dog shall issue to the owner or person in possession of the dog a rabies vaccination tag and a certificate of vaccination, which certificate shall include:
(a)The type of vaccine used;(b)The date of vaccination;(c)Description of dog, including age, breed and color;(d)Serial number of rabies vaccination tag issued to dog;(e)Name and address of owner of dog;(f)Statement that the dog is male, neutered male, female or spayed female.
A copy of this certificate shall be sent to the county department of animal regulation.
8.08.200 - Registration record.
Exhibit A
The county department of animal regulation shall maintain a record in which it shall, upon the application of any person owning or having the custody of any dog in the city of El Paso de Robles, and the payment to it of the license fee hereby prescribed, register the dog by entering in the record its name (if any), its sex and general description, whether it has been spayed or neutered, the name of its owner or custodian, the number of the tag issued therefor, the date of expiration of the rabies vaccine, the date of issuance and the amount received for the license fee.
8.08.210 - Dog tags.
Upon exhibition of the proper evidence of vaccination and payment of the license fee, the Division shall deliver to the person making such payment a metal tag with a unique identification number and the words "San Luis Obispo County, CA" stamped thereon. This tag shall be worn at all times by the dog for which it was issued. If the dog is exempted from vaccination as established by section 8.14.030, the dog tag shall have a distinguishing mark as evidence of such fact.
Upon exhibition of the proper evidence of vaccination and payment of the license fee, there shall be delivered to the person making such payment a metal tag with the number and year stamped or cut thereon, and the words "DOG TAG — County of San Luis Obispo," stamped thereon, which dog tag shall be securely fastened to a collar or harness which must be worn at all times by the dog for which the tag was issued. If the dog is exempted from vaccination, the dog tag shall have a distinguishing mark as evidence of such fact. This tag, while attached to a dog's collar or harness, shall be prima facie evidence that the dog for which the tag was issued has been licensed during the calendar year for which the tag was issued, and has been vaccinated.
8.08.220 - Annual registration of dogs.
Each dog license shall be valid for a period of up to three years from the date of issuance, provided that the term of validity may not extend beyond the expiration date of the animal’s rabies vaccination. In the event that a dog has been exempted from rabies vaccination as provided for in section 8.14.030, the term of the license shall be for one year.
On January 1st of each year, all prior licensing made under the provisions of this chapter shall be cancelled and all tags theretofore issued shall become null and void and of no effect and all dogs kept or permitted to remain in the city must be again licensed. The new license fee shall become due and payable on January 1st of each year.
8.08.230 - License fees.
(a) The Division shall assess a fee for each license issued. Such fee shall be established by resolution or ordinance by the County Board of Supervisors.
Exhibit A
(b) A late penalty may be assessed in addition to the standard licensing fee for any license renewal which is more than thirty days delinquent or for any new license application which is submitted more than thirty days after the requirements established in
8.08.160(a). Such fee shall be established by resolution or ordinance by the County Board of Supervisors.
The following fees shall be charged:
(a)For licensing each altered dog, male or female, the county department of animal regulation shall collect and receive a fee of five dollars, and for licensing each unaltered dog, male or female, it shall collect and receive a fee of ten dollars, unless the owner or custodian of the dog chooses to place a deposit for the spaying or neutering of said dog, with the county department of animal regulation. This deposit shall be forfeited to the county department of animal regulation if the operation is not performed by the expiration date of the license issued. (b)The license fee shall be paid by March 8th of each year. After this date a late penalty shall take effect and the late license fee shall be twice the pre-penalty fee. (c)Puppies must be licensed upon reaching the age of four months. A spay-neuter deposit may be placed with the county department of animal regulation, at which time the lesser fee of five dollars shall be charged.
(d)Any dog brought within the city after March 15th of each year shall be registered within thirty days or these penalties shall accrue from date of entry into the city provided that any dog which has a valid license from any other county or city within the state of California shall be so registered upon a fee of one half of the established fee.
8.08.240 - Lost tag.
If the tag issued for any duly registered dog be lost or accidentally destroyed during the year it is issued, the owner or custodian of such dog, upon making proof to the satisfaction of the county department of animal regulation of its loss or destruction, shall, upon payment of a fee of two dollars receive for such dog another tag; whereupon the county department of animal regulation shall enter the number of the tag so issued on the register and cancel the tag previously issued for such dog.
8.08.250 - License exceptions.
The provisions of this Title requiring the licensing of dogs shall not apply to:
(a) Dogs on sale in a duly licensed and permitted pet shop or commercial animal operation. (b) Every dog that is exempt from licensing requirements shall still be vaccinated against rabies infection with a vaccine approved by the California Department of Public Health
Exhibit A
for use in dogs, unless such animal would otherwise be exempt from the vaccination requirement as provided in section 8.14.030.
The provisions of this title requiring the licensing of dogs shall not apply to:
(a)Dogs under the age of four months if fastened securely by a rope, chain or leash, or confined within the private property of the owner or person having control of the dog;(b)Dogs owned by or in custody of or under the control of persons who are nonresidents of the city of El Paso de Robles travelling through the city or temporarily sojourning therein for a period not exceeding thirty days;(c)Dogs brought into the city exclusively for the purpose of entering the same in any dog show or exhibition, and which are actually entered in and kept at such show or exhibition;(d)Dogs on sale in duly licensed pet shops or dog kennels:(e)Dogs under the ownership, custody and control of the owner of a dog kennel duly licensed under the provisions of this title, or his duly authorized employee or agent when such dogs are removed from such kennel in the bona fide operation thereof for the purpose of exercise or training, provided that any such dog bear an identification tag attached to its collar, which tag shall set forth the name of the licensed kennel. A dog bearing such identification tag shall be treated in all respects as any other dog in the event of its escape and subsequent impoundment.
8.08.255 Assistance Animals Tags.
Any assistance animal identification tag issued by the Division in compliance with California Food and Agriculture Code Section 30850 shall also serve as the license tag for the dog to which it was issued.
8.08.260 - License fee exemptions.
The licensing fee shall be waived for:
(a) Dogs which have been issued an assistance animal identification tag as established by California Food and Agriculture Code Section 30850; and (b) Dogs owned, appropriately trained and utilized by a public agency for the purpose of assisting in law enforcement, search and rescue, or military activities; dogs being trained for such purpose; dogs kept as breeding stock for such purpose; or dogs previously utilized and retired from such purpose.
(a) All Seeing Eye dogs and all dogs which have served with the armed forces of the United States of America during any period of actual hostilities must be licensed and vaccinated under the provisions of this title but their owners shall be exempt from the license fee as herein imposed, providing adequate evidence can be furnished at such time the license is issued.(b)Dogs used by any governmental agency for the purpose of law enforcement must be licensed and vaccinated under the provisions of this title, but their owners shall be exempt from the license fee as herein imposed, providing adequate evidence can be furnished at such time the
Exhibit A
license is issued.(c)All dogs being raised and trained specifically for the purpose to perform as a Seeing Eye dog must be licensed and vaccinated under the provisions of this title, but their owners shall be exempt from the license fee as herein imposed, providing adequate evidence can be furnished at such time the license is issued.
8.08.270 - Failure to pay license fee or provide information.
It is unlawful for any person owning or having the care, custody, or control of any dog in the city of El Paso de Robles, to refuse, fail, or neglect to pay the license fee at the time and in the manner provided in this chapter or to refuse, fail or neglect to furnish to the department of animal regulation, the health officer, or any of their duly qualified and authorized deputies or employees, the information necessary to properly license the dog.
8.08.280 - Counterfeiting.
It is a misdemeanor for any person to counterfeit a license tag, to remove a valid tag from a dog with the intent of affixing that tag to another dog or transferring that tag to another person, or to knowingly possess or place on a dog any such tag.
No person shall imitate or counterfeit such registration tags or rabies vaccination tags. It is unlawful for any person to remove any tag from any dog not owned by him or not lawfully in his possession or under his control or to place on any dog any such license tag not issued as provided for above for that particular dog for the then current year or to make or to have in his possession or to place on a dog any counterfeit or imitation of any license tag or vaccination tag provided for.
SECTION 4. Chapter 8.12 (Cats) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.12 – CATS
8.12.010 - Impounding and disposition of stray or abandoned cats.
It shall be the duty of the poundmaster Department and Division, to receive and impound all cats desired to be abandoned by their owners, or receive and impound all cats believed to have been abandoned by their owners. The poundmaster Department or Division, as applicable, shall provide proper care and attention, food, and water for all cats received in its possession. and impounded and shall keep such cats for a period of three days unless the cats are sooner reclaimed or redeemed by the owner or person having control thereof. Such redemption may be made by paying the poundmaster charges as may be set by the city council by resolution from time to time for the care of the cats as imposed thereon. No fees whatsoever shall be charged or collected for or on account of any cat which has been unlawfully taken up or impounded, and
Exhibit A
any such cat shall be immediately delivered upon demand therefor to the owner or person entitled to the custody thereof. At any time after the expiration of the period of three days, the poundmaster may, without notice and without advertising in any manner, sell, give away, or dispose of the cats; provided, however, the poundmaster may not sell, give away, or transfer title to any cats for any purposes as set forth in Section 8.08.100; provided further, however, the poundmaster may not sell or give away any female cat that has not been spayed, or any male cat that has not been neutered, unless the cost of spaying or neutering such cat, as determined and promulgated by the department of animal regulation, has been deposited with the pound.
8.12.020 Cats at Large
(a) No person shall permit any unaltered cat owned, harbored, or controlled by said person to roam at large.
(b) Any person finding a cat roaming at large may, at their own expense, have that animal spayed or neutered by a veterinarian.
SECTION 5. Chapter 8.14 (Rabies Control) of the El Paso de Robles Municipal Code is added to read as follows:
CHAPTER 8.14 – RABIES CONTROL
8.14.010 Rabies Vaccination required – Dogs.
(a) The owner or custodian of any dog or dog hybrid over the age of four months shall procure its vaccination against rabies virus infection. (b) Every dog so vaccinated shall be revaccinated at an interval consistent with the labeling directions for the specific vaccine and as approved by the California Department of Public Health.
8.14.020 Rabies Vaccination Required – Cats.
(a) The owner or custodian of any cat or cat hybrid over the age of four months which is allowed to roam at large, as provided in this Title, shall procure its vaccination against rabies virus.
(b) Every cat so vaccinated shall be revaccinated at an interval consistent with the labeling directions for the specific vaccine and as approved by the California Department of Public Health for so long as it is allowed to roam at large.
Exhibit A
8.14.030 Exemptions from Rabies Vaccination Requirements. (a) The requirement for rabies vaccination for any dog or cat may, upon the approval of the Chief Animal Control Officer of the County, be waived for a period of up to one year following the submission of a certification by a veterinarian listing a specific medical diagnosis or condition affecting the animal and stating that due to such condition the administration of a rabies vaccination poses a grave or life-threatening risk to the animal.
The form of such certification is to be specified by the Chief Animal Control Officer of the County.
(b) Advanced age alone does not constitute a basis for the waiver of rabies vaccination requirements.
(c) Any animal so exempted from rabies vaccination shall be restricted to the enclosed yard or premises of the owner or keeper unless it is securely constrained by a leash no more than six feet in length.
8.14.040 Rabies Vaccination – Administration, Certificates, and Reporting. (a) Vaccination against rabies infections shall be performed by a duly qualified and licensed veterinarian using a vaccine of a type approved for use in that species of animal by the California Department of Public Health.
(b) The veterinarian performing the vaccination shall issue to the owner or custodian of the animal a certificate of vaccination which shall include:
(1) The manufacturer and type of vaccine used;
(2) The date of the vaccination;
(3) The duration of vaccination;
(4) A true description of the animal to which the vaccination was administered, including species, age, breed, sex and color; and
(5) The name and address of the owner or custodian of the animal. (c) A copy of the vaccination certificate shall be sent by the veterinarian to the Division within thirty days of said vaccination.
8.14.050 Reporting of Bites.
Any person bitten by a dog, cat, raccoon, skunk, bat, fox, coyote, bobcat, or other animal of a species subject to rabies infection, any parent or guardian of a minor child so bitten, any physician or healthcare provider treating a person so bitten, and any other person having
Exhibit A
knowledge of a person so bitten shall, within twenty-four (24) hours, notify the Department and report, if known:
(a) The name, address, and phone number of the person bitten; (b) The type of animal inflicting the bite;
(c) The name, address, and phone number of the owner of the animal; and (d) The time, date, and circumstances under which the bite occurred.
8.14.060 Isolation of Biting and Rabies Exposed Animals. (a) Any domestic animal of a species subject to infection by the rabies virus and which has bitten a person shall be quarantined for a period of time as established by Title 17 of the California Code of Regulations Section 2606. The location and manner of the quarantine shall be at the discretion of the Chief Animal Control Officer of the County. In the event that no time period for the quarantine is established by the California Code of Regulations, the duration of quarantine shall be set by the Chief Animal Control Officer of the County in their reasonable discretion.
(b) Any domestic animal of a species subject to infection by the rabies virus and which has been exposed to a known or suspected rabid animal shall be quarantined for a period of time as established by Title 17 of the California Code of Regulations Section 2606. The location and manner of quarantine shall be at the discretion of the Chief Animal Control Officer of the County. In the event that no time period for the quarantine is established by the California Code of Regulations, the duration of quarantine shall be set by the Chief Animal Control Officer of the County in their reasonable discretion. (c) Any hybrid animal which has been vaccinated against rabies infection shall, for the purposes of administration of this section, be considered unvaccinated unless such vaccine was specifically labeled and approved by the California Department of Public Health for administration to hybrid animals.
(d) Upon the request and consent of the owner or custodian, an animal subject to quarantine under the provisions of this section may be euthanized prior to the conclusion of the quarantine period provided that the animal’s remains are submitted for diagnostic testing in a manner consistent with established medical practice for the assessment of rabies infection.
(e) The Chief Animal Control Officer and Chief Animal Control Officer of the County and their duly authorized agents are hereby empowered to enter upon any private property, including the home or residence where an animal is kept or has strayed, to inspect, and if necessary to seize and impound any animal for the purpose of enforcing this section.
Exhibit A
(f) Any person who fails to produce and relinquish upon demand of any animal subject to isolation under the terms of this section, disobeys any isolation order issued by the Division, or removes from its place of confinement any animal under quarantine without the consent of the Division is guilty of a misdemeanor.
8.14.070 Suspicion of Rabies.
(a) Any person having ownership or custody of an animal demonstrating symptoms indicative and suggestive of rabies infection, or any veterinarian treating such an animal, shall immediately notify the Division.
(b) Upon certification by a veterinarian that an animal is demonstrating signs indicative and suggestive of rabies infection, the Division may cause the animal to be humanely euthanized and the remains submitted for diagnostic testing in a manner consistent with established medical practice for the assessment of rabies infection.
SECTION 6. Chapter 8.16 (Animals, Poultry, and Household Pets) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.16 ANIMALS, POULTRY, AND HOUSEHOLD PETS GENERALLY
8.16.010 - Animals and poultry at large.
No person shall allow or permit animals or poultry to run at large upon any public street or place, or to trespass upon the property of another. This provision shall not be construed as permitting the running at large of any household pets who are otherwise restricted by the provisions of this Title, any other ordinances of this city, or by any law applicable thereto.
8.16.020 - Unsanitary conditions.
(a) It is unlawful for any person to do any of the following:
(1) Keep an animal, poultry, or household pet confined upon any premises or in any enclosure which is befouled by animal waste, trash or debris, or any other foul, noxious, or unsanitary condition.
(2) Allow the accumulation or deposit of animal wastes upon their property in such a quantity as to disturb the owners, occupants, or users of adjacent properties by way of offensive odor or the attraction of flies, insects, or other vermin.
Exhibit A
(3) Allow the accumulation or deposit of animal wastes in a location and quantity so as to befoul or pollute waters entering surface or storm drainage systems.
No person shall keep, upon any premises, any animal, poultry or household pets in a foul, offensive, obnoxious, filthy or unsanitary condition.
(b) All manure and other wastes shall be removed at least once in seven days. The manner of disposal shall be acceptable to the health officer Chief Animal Control Officer. (c) Any violation of this section is an infraction, punishable as provided in this Title.
8.16.025 Animal Waste – Duty to Remove.
Every person having custody or control of a dog or cat shall promptly remove and dispose of, in a sanitary manner, all feces and other solid waste left by such animal in any public area or on any private property other than that of the animal’s owner or keeper.
8.16.030 - Impounding of animals and poultry.
(a) The Department or Division may take into custody:
(1) Any animal found running at large contrary to the provisions of this Title or other applicable statute.
(2) Any animal delivered to the Department or Division by a peace officer as defined by the California Penal Code.
(3) Sick, injured, or abandoned animals for which the owner or custodian cannot be located or is unable or unwilling to provide appropriate care. (4) Any animal which presents an active or immediate health or safety risk to the public or other animals.
(5) Any animal whose owner or custodian has failed to provide it with necessary sustenance, drink, shelter, and veterinary care.
(6) Any animal which is confined inhumanely or subject to needless suffering, torment, or otherwise cruel and unnecessary treatment.
(7) Any animal which by law the Department or Division is authorized to impound. (b) Any owner or custodian of an animal who believes that the animal has been unlawfully impounded may request a hearing before the Chief Animal Control Officer of the County to determine the issue of whether it was lawfully seized and impounded.
Exhibit A
(1) The Chief Animal Control Officer of the County or their designee shall conduct such hearing within seven (7) calendar days of the request. (2) In the event the animal is determined to have been unlawfully impounded, the Division shall refund to the owner or custodian any and all fees associated with the impound other than those associated with the licensure of the animal as required by this Title or those due to any veterinary or special care fees necessary for the health and safety of the animal.
All animals and poultry if found running at large upon any public road, highway, street, alley, square, park, schoolground or other public place, or in or upon any lot, premises, or property of another shall be impounded by the poundmaster and provided with proper care and attention, food and water.
In all cases, the provisions of Division 3 of the California Agricultural Code concerning estray bovine animals, horses, mules or burros shall be complied with.
The poundmaster shall keep all animals and poultry for a period of three days unless the same are sooner reclaimed or redeemed by the owner or person having control thereof. Such redemption by the owner or person having control thereof shall be made by signing an affidavit, under penalty of perjury, declaring ownership, or by exhibiting proof of ownership to the satisfaction of the poundmaster, and by paying to the poundmaster any charges imposed thereon.
Upon such redemption being made, the poundmaster shall release such animals and poultry; provided, however, that in all cases any actual costs incurred by the poundmaster for keeping such animals or the sum of one dollar per day for the care of poultry must first be paid.
8.16.035 Holding Period – Household Pets
(a) Unless otherwise specified within this Title or by State law, any household pet impounded under the provisions of this Title shall be held by the Division and kept available for owner redemption for a period of no less than three (3) business days, not including the day of impoundment.
(b) Calculation of the holding period for household pets shall commence upon notification to the owner or custodian of the impoundment. If such notification is not made, the holding period for such animals shall be no less than seven (7) calendar days. (c) Any animal surrendered to the Division by its lawful owner may, at the Division’s discretion, be made immediately available for adoption.
8.16.040 - Disposition of impounded animals and poultry.
At any time after the expiration of the period of three days, the poundmaster may, without further notice, and without advertising in any manner, sell, give away, or dispose of, in a humane
Exhibit A
manner, any animals or poultry not reclaimed or redeemed as aforesaid; provided, however, the poundmaster may not sell, give away, or transfer title to any animals or poultry for any of the purposes as set forth in Section 8.08.100.
8.16.045 Holding Period – Livestock.
(a) The Department or Division shall immediately notify the office of the California State Secretary of Agriculture and provide a description of any impounded bovine, horse, mule, or burrow having been found at large.
(b) Any livestock animal found at large shall be held by the Division and kept available for owner redemption for a period of no less than ten (10) business days, not including the day of impoundment.
(c) The Division may authorize an individual finding any livestock animal other than a bovine roaming at large to maintain custody of the animal pending identification of the owner, provided they keep it adequately confined and provided with appropriate care. If the owner is not identified after thirty (30) days, the finder may establish ownership of the animal as provided in section 8.16.100. The individual finding the animal roaming at large may at any time turn such animal over to the Division.
8.16.060 Redemption of Impounded Animals
(a) The owner or custodian of any animal taken up and impounded under the provisions of this Title may, at any time before the adoption or disposal thereof, redeem such animal by paying to the Department or Division, as applicable, the fees and charges prescribed under this Title, by City Council or County Board of Supervisor resolution, as applicable, and any other applicable statutes which have accrued up to the time of such redemption. (b) Any person seeking to redeem an animal impounded under the terms of this section shall demonstrate to the satisfaction of the Department or Division, as applicable, that they are the owner or duly authorized custodian of the animal.
(c) Any person who is denied the redemption of an animal by the Department or Division shall be provided written notification of the basis of the denial and afforded the opportunity to make the corrections necessary to secure the redemption of the animal during which time the animal shall remain in the Division’s custody. (d) Any person who is denied the redemption of an animal by the Department may request a hearing before the Chief Animal Control Officer of the County into the validity of the denial. The Chief Animal Control Officer of the County or their designee shall conduct such hearing within two (2) business days of the request.
Exhibit A
(e) Failure of a person denied the redemption of an animal to implement the necessary corrections or to request a hearing into the denial within seven (7) days shall be deemed abandonment of the animal which may then be disposed of by the Division in a manner provided in accordance with this Title.
8.16.070 Impound Fees.
(a) Before an impounded animal is released to the owner or custodian, the owner or custodian shall pay fees to the Department or Division, as applicable, for the following:
(1) Any applicable license fee and late penalty to the Division for the animal; (2) An impound fee which shall be set to increase sequentially for the second, third, and subsequent impounds of the same animal within a one-year period. The first impound fee shall be waived for any dog wearing a current license tag at the time of impound.
(3) A boarding fee for each day, or portion thereof, that the animal remains in the Division’s custody beginning the day following the date of impound; (4) Any veterinary or special care fees assessed to, or incurred by the Department or Division as a result of the impound of the animal. Payment of these fees does not constitute a guarantee against any future billing of the owner or custodian by a veterinarian or animal care provider for fees not yet assessed to the Department or Division or for the value of any discounted service provided to the Department or Division.
(5) Any other fee established within the provisions of this Title, the San Luis Obispo County Municipal Code, or by California law.
(b) The above fees shall be set by the City Council or Board of Supervisors, as applicable by ordinance or resolution and may be amended from time to time. (c) Any owner or custodian who refuses or fails to redeem an animal upon notification of its impoundment shall remain liable for all costs associated with its impoundment and incurred through the duration of its holding period.
8.16.080 Unauthorized Feeding or Attraction of Animals Prohibited.
It is unlawful for any person to place, deposit, or maintain food, water, shelter, or other similar attractant for an animal in any public park, plaza, woodland, other public place, or upon the private property of another person without the express consent and authorization of the property owner or tenant.
Exhibit A
8.16.090 Vaccination and Medical Treatment of Impounded Animals Authorized.
The Division is hereby authorized to administer to any impounded animal such vaccinations, preventative medical treatment, or parasite controls as may be deemed necessary to promote the health and welfare of the animal or of other impounded animals. The cost for the administration of such medications or treatment may be included in the calculation and assessment of impound fees.
8.16.100 Adoption of Unredeemed Animals
At any time after the expiration of the applicable holding period established under this Title, the Division may, without further notice and without advertising in any manner, adopt out any animal not reclaimed or redeemed provided that:
(a) No animal be adopted, given, or otherwise transferred to any individual, organization, or business for the purpose of being utilized in biomedical, pharmaceutical, or other laboratory testing or research.
(b) No dog or cat shall be adopted, given, or otherwise transferred to any person, organization, or business, other than a non-profit humane organization, unless it has been previously spayed or neutered, or unless a veterinarian licensed to practice in the state of California certifies that it is too sick to undergo such a procedure, in which case the adopter shall pay to the Division a deposit established by the County. (1) The deposit shall be returned to the adopter upon provision of proof of alteration to the Division.
(2) Failure to provide proof of alteration or a renewed veterinarian’s certification that the animal remains too ill to undergo surgery to the Division within sixty (60) days of the date of the deposit shall result in forfeiture of the deposit.
8.16.110 Disposition of Impounded Animals and Poultry.
(a) Any impounded animal which, upon the conclusion of its holding period, has not been redeemed by its owner or which has not been adopted may be humanely euthanized by the Division in its discretion.
(b) Any owner surrendered animal which has not been reclaimed by its owner within a period of time equivalent to the holding period for impounded stray animals as set forth in section 8.16.035 of this Title may be humanely euthanized by the Division in its discretion.
Exhibit A
(c) Any impounded or owner surrendered animal, regardless of its holding period, may be euthanized by the Division upon diagnosis or recognition of an illness or injury causing irremediable suffering.
(d) The Division may provide for the humane euthanasia of animals upon request and certification by the owner that the animal:
(1) Has an illness or injury causing substantial suffering, discomfort, or malaise; or (2) Demonstrates unprovoked aggression towards people or domestic animals; or (3) Demonstrates undesirable behavior which is unmanageable and incompatible with the keeping of the animal as a domestic pet.
SECTION 7. Chapter 8.20 (Penalties) of the El Paso de Robles Municipal Code is hereby amended to read as follows (additions in underline, deletions in strikethrough):
CHAPTER 8.20 – PENALTIES
8.20.010 - Penalty for violation.
(a) No person shall violate any provisions, or fail to comply with any of the mandatory requirements of this title. Any person violating any of the provisions or failing to comply with any of the mandatory requirements of this title shall be deemed guilty of a misdemeanor infraction, unless by ordinance it is made a misdemeanor an infraction . (b) Any person convicted of a misdemeanor under the provisions of this Title shall be punishable by a fine of not more than five hundred one thousand dollars or by imprisonment in the county jail for a period of not exceeding six months, or by both such fine and imprisonment.
(c) Every violation of this Title determined to be an infraction is punishable by the following:
(1) A fine of not exceeding fifty one hundred dollars for a first violation; (2) A fine not exceeding one five hundred dollars for a second violation of the same ordinance within one rolling year measured from the date of the first violation; (3) A fine not exceeding two hundred fifty one thousand dollars for each additional violation of the same ordinance within one rolling year measured from the date of the first violation.
(d) The City Council is authorized to update these amounts by ordinance or resolution.
Exhibit A
(e) When enforcement is carried out by the County under an agreement with the City, the fines and penalties for violations may be cited and imposed in accordance with the County’s fine schedule when applicable.
.
From: Jeff Carr
To: City Clerk
Subject: City Council Public Comments--Discussion Item 2 Animal Control Regulation Updates Date: Wednesday, January 15, 2025 9:21:32 AM
[EXTERNAL EMAIL]
City Council Meeting Public Comments--Discussion Item 2: Introduce for First Reading by Title Only an Ordinance of the City of El Paso de Robles Municipal Code Updating Existing Animal Control Regulations of Title 8 -- January 15, 2025 SUMMARY:
One requirement has been removed that I believe is important and needed. That is,
8.04.060 - Poundmaster—Reports.
The poundmaster shall make a monthly report to the city council, or as often as may be required
by the city, of the actions, transactions and operations of the public pound This section has been completely removed and I have yet to find any comparable reporting requirement in the updates.
I request that this requirement be kept, possibly in this form:
8.04.060 - Reports.
The Chief Animal Control Officer shall make regular reports to the city council, at least every 3 months or as often as may be required
by the city, of the actions, transactions and operations of the Department and the Division with respect to city animal control services.
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I'm happy to see some updates to this section. Back during the discussions over the building and cost of the new SLO County animal shelter, the public was promised more attention to this matter. We were told that the city and county would be better partners and we would be presented with new ordinances to help 'streamline' the system and reduce costs. That hasn't happened that I can tell. Perhaps these current changes will address that.
For years, I have inquired about the city's "Animal Control Officer" and was told we didn't have one. With the county handling most animal control services, the city staff seemed happy to completely delegate the responsibility to them. But I knew that wasn't true. The county is our contractor in this situation, but the municipal code did not remove the requirements for a city "Animal Control Officer". And the city is obviously handling some animal control responsibilities locally.
It appears these changes help clarify that interface between the city responsibilities and the county with the change to "Chief Animal Control Officer".
Carr, Jeff
R2 - Public Comment
I will be reviewing these changes in more detail between now and the 2nd reading.
But one requirement has been removed that I believe is important and needed. That is,
8.04.060 - Poundmaster—Reports.
The poundmaster shall make a monthly report to the city council, or as often as may be required
by the city, of the actions, transactions and operations of the public pound This section has been completely removed and I have yet to find anything comparable in the updates. For years, I requested that this item in the municipal code be fulfilled.
But like so many public questions and requests, it was ignored by the city and the council. Ultimately, many months ago (years?) a report was finally presented by the County upon the city's request. That was good, but it was always my intention for the city "poundmaster" or "Chief Animal Control Officer" to make that report.
In my view, the police department is maybe the least transparent department in the city. And that's saying something when one compares them to one or two of the other departments. The handling of animal control has been just one factor in that assessment. The public needs better and more reports from the police department.
Look at the Fire Department and Emergency Services Department for a good example and standard for public transparency and communication.
Animal control services for the city is a significant cost and also a concern to much of the public. The public needs better communication from the city of the requirements and costs of these animal control responsibilities and possibly how the public can mitigate them.
I request that this reporting requirement be kept, possibly in this form:
8.04.060 - Reports.
The Chief Animal Control Officer for the city shall make regular reports to the city council, at least every 3 months or as often as may be required by the city, of the actions, transactions and operations of the Division and the public pound.
Jeff Carr--Paso Robles, CA
Carr, Jeff
R2 - Public Comment
Council Agenda Report
From: David LaCaro, Public Works Operations Manager
Subject: Establishing the City’s Intent to Sell Real Property Located at 417 Cool Valley Drive, Finding that the Subject Property is Exempt from the Surplus Land Act, and Setting a Hearing Date for Consideration of Protests
CEQA Determination: 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).
Date: January 15, 2025
Facts
1. On August 31, 2021, the City received a letter from Mr. David Anderson, the current owner of 925 Oriole Way, indicating his interest in obtaining the adjacent City owned parcel located at 417 Cool Valley Drive.
2. 417 Cool Valley Drive consists of a 6,925 square foot open space parcel located at the northwest corner of Cool Valley Drive and Oriole Way (refer to Exhibit A of Resolution 25-XXX for further detail).
The property was dedicated as an open space easement for the benefit of the general public.
3. In 2007, when the surrounding tract (Tract 2609) was developed, a concrete wall was constructed around the lot and became connected to 925 Oriole Way. The subject lot is bisected by a seasonal creek which comprises approximately half the parcel.
4. On September 19, 2006, the City Council adopted a resolution annexing Tract 2609 into Landscape and Lighting Maintenance District No. 1, Sub-Area 112. On January 2, 2007, the City Council adopted a resolution accepting an offer of dedication for the open space easement located at 417 Cool Valley Drive for the benefit of the general public. However, the concrete wall prohibits public access and its use.
5. On September 18, 2023, the City’s Attorney, Best Best and Kreiger LLP (BBK), on behalf of the City, sent a letter to Mr. Anderson informing him that no private structure may be constructed so as to block or otherwise interfere within any part of the open space pursuant to California Government Code Section 51058. Further, the City has legal authority to seek a mandatory injunction to require the removal of the wall that obstructs the use of the dedicated open space.
6. BBK sent a follow-up letter on November 27, 2023, identifying two options moving forward: 1) removal of the wall within a specified timeframe; or 2) purchase the open space at fair market value.
7. City staff determined that the parcel does not have a public use and desires to dispose of the property to better maximize its value in furtherance of the City’s land use and policy goals. As such, Mr.
Anderson and the City both agreed to pursue the option to allow the sale and purchase of the 417 Cool Valley Drive property, provided that both parties came to a mutually agreeable property value.
8. The City hired Hamner, Jewell, and Associates (HJA) to provide a land appraisal report to determine the fair market value of the subject property with the intent to sell 417 Cool Valley. Over the subsequent months, HJA and Mr. Anderson negotiated a final value of $10,000.00 for the parcel based on recent comparable land sale prices, improvements to the subject parcel at the owner’s expense, as well as other factors.