Agenda packet — Pismo Beach City Council, June 18, 2024

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AGENDA
Pismo Beach City Council
Pismo Beach Public Financing Agency
Tuesday, June 18, 2024
Time Meeting Type Physical Location Virtual Viewing Option 5:30 p.m. Regular Joint Meeting 1 2 Council Chamber, City Hall https://us02web.zoom.us/j/84823715585 1 Live virtual viewing is offered via Zoom.
2 Broadcast meeting also available for viewing on cable Channel 20 and online at pismobeach.org/agenda.

0.HYBRID MEETING INSTRUCTIONS:

This meeting is being conducted in a hybrid format with both in-person and virtual options. Ways to watch this meeting and submit public comment are provided below.

Watch and participate in person:
•Visit the Council Chamber at City Hall, 760 Mattie Road, Pismo Beach, CA 93449. •To make public comment, please submit an optional blue “speaker slip” to staff; the Mayor will ask you to approach the lectern to speak during the public comment period on your item of interest.

Watch via Zoom:
•Click this link on any computer or mobile device: https://us02web.zoom.us/j/84823715585 . This URL may also be typed into a web browser.

Listen via telephone:
•Call 1-669-900-6833 to join by telephone audio only. Enter Meeting ID 848 2371 5585 when prompted.

Watch online:
•Visit www.pismobeach.org/agenda and scroll to “Upcoming Events.” When the live broadcast begins, an “In Progress” link will appear; click this link to watch the livestream. A recording of the meeting will be available on demand shortly after the meeting ends.

Watch on Channel 20:
•Tune to local cable channel 20 in Pismo Beach; the meeting will be broadcast live. Meetings are also replayed at 9:00 a.m., 6:00 p.m., and 1:00 a.m. each day the following week.

Submit written comment prior to, or during, the meeting:
•In advance of the meeting, written comments may be emailed to [email protected] or mailed or delivered to the City Clerk’s Office, 760 Mattie Road, Pismo Beach, CA 93449. During the Regular Meeting no later than the start of the comment period for your item of interest, written comment may be hand-delivered to staff in the Council Chamber. Emails submitted after the start of the meeting may not be fully considered prior to any action taken on the item.

Submit voicemail comment:
•Call 805-773-7005 and leave a voicemail before the meeting. Voicemails submitted after the start of the meeting may not be fully considered prior to any action taken on the item. This automated voicemail line will not be answered or monitored for other purposes.

Please note:
•In the event a Council Member participates in this meeting by teleconference under the provisions of Government Code Section 54953(f), public comment will be accepted via Zoom, including by telephone audio, as required by law. However, the timing of a request by a Council Member to participate remotely may not allow sufficient time to post an agenda containing information on how the public may participate via Zoom or telephone. In such instances, the City Clerk or another staff member will orally provide such information at the meeting.
•Meetings may begin a few minutes after the scheduled start time. •Meetings will be recorded, except closed sessions; these recordings are public record. •Phone numbers of call-in attendees may be visible to other meeting attendees, or in meeting recordings. •Phone numbers of voicemail commenters may be visible in the public record along with transcripts.

Please contact City Clerk Erica Inderlied at [email protected] with questions.

Council Agenda 6-18-2024

Pismo Beach City Council Agenda June 18, 2024

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Regular Joint Meeting—5:30 p.m.

Council Chamber, City Hall, 760 Mattie Road, Pismo Beach, CA 93449 CALL TO ORDER: Mayor/Chair Waage

1.ROLL CALL:

City Council:

Mayor: Waage
Mayor Pro Tem: Reiss
Council Members: Guthrie, Inman, Newton
Public Financing Agency Board of Directors:

Chair: Waage
Vice-Chair: Reiss
Board Members: Guthrie, Inman, Newton

2.PLEDGE OF ALLEGIANCE

3.ACCEPTANCE OF AGENDA

4.PRESENTATIONS
Item 4.A: Proclamation: Parks Make Life Better! Month 2024 (Jackson)

5.PUBLIC COMMENT PERIOD
At this time, members of the public may comment on any item NOT appearing on the agenda. For items appearing on the agenda, including the Consent Calendar, the public will be invited to make comments during Council consideration of the item. In accordance with state law, matters raised as part of this comment period cannot be discussed or acted upon by the City Council at this time.

However, in response to a matter raised as part of this comment period, the Council may, during Item 13, City Council Comments and Requests, direct staff to assist a speaker, or schedule the matter for consideration on a future agenda.

Please adhere to the following procedures when addressing the Council: •Please limit your comments to 3 minutes or less.•Unduly disruptive behavior will not be permitted.

Documents submitted to the Council become public record unless otherwise exempt from disclosure.

6.CITY MANAGER’S REPORT - No action to be taken

7.CITY ATTORNEY’S REPORT / CLOSED SESSION REPORT - No action to be taken

8.COUNCIL COMMITTEE REPORTS

1.Air Pollution Control District, SLO County (Newton/Reiss)

2.California Joint Powers Insurance Authority (Reiss)

3.CAPSLO (Reiss)

4.Central Coast Blue Regional Recycled Water Authority (Waage)

5. Central Coast Community Energy Policy Board (Mayor)

6.Chapman Estate Foundation (Liaison) (Reiss)

7.Coastal Cities Group, League of CA Cities (Waage)

8.Conference and Visitors Bureau / LBID Board (Liaison) (Inman)

9.Friends of Price House Liaison (Waage)

10. Hazard Mitigation & Fire Safety (Inman/Waage)

11. Homeless Services Oversight Council (Guthrie/Reiss)

12. Integrated Waste Management Authority (Newton/Inman)

13. Mobile Home Rent Stabilization Subcommittee (Inman/Reiss)

14. REACH (Newton)

15. Regional Transit Authority, SLO (Waage/Reiss)

16. Shell Beach Improvement Group Liaison (Inman)

17. SLOCOG (Waage/Reiss)

18. South County Chambers Gov’t Affairs (Guthrie/Inman)

19. Visit SLO CAL Advisory Committee (Inman)

20. Water Resources Advisory Committee, SLO (Guthrie/Inman)

21. Zone 3 Water Advisory Committee, SLO (Guthrie/Inman) (Govt Code Section 53232.3)
Council Agenda 6-18-2024

Pismo Beach City Council Agenda June 18, 2024

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9.CONSENT CALENDAR
All Consent Calendar items will be acted upon by a single action of the City Council unless otherwise requested by an individual Council Member for separate consideration. Public comment on Consent Calendar items will be invited prior to action on the Calendar.

Item 9.A: Adoption of Meeting Minutes (Inderlied)
Recommendation:

1.Adopt Minutes of the June 4, 2024 Regular Meeting;

2.Adopt Minutes of the June 10, 2024 Closed Session.

Item 9.B: Payroll Register and Register of Demands (Feeser) Recommendation:

1.Approve the Summary of Payroll Register for June 2, 2024;

2.Approve the Register of Demands for May 17, 2024 and May 24, 2024.

Item 9.C: San Luis Obispo County Regional Special Weapons and Tactics (SWAT) Team Memorandum of Understanding (Smith)
Recommendation:

Adopt a Resolution authorizing the Chief of Police to enter into an updated Memorandum of Understanding for the City’s participation in the San Luis Obispo County Regional Special Weapons and Tactics Team.

Item 9.D: Adoption (Second Reading) of an Ordinance Extending and Modifying A Sales And Use Tax (Garcia)
Recommendation:

Adopt an Ordinance amending Title 3, Chapter 3.22, of the Pismo Beach Municipal Code extending and modifying a transactions and use tax to be administered by the California Department of Tax and Fee Administration.

Item 9.E: Amendment 1 to the Central Coast Blue Regional Recycled Water Authority Joint Exercise of Powers Agreement (Garcia)
Recommendation:

1.Adopt a Resolution of the City Council authorizing the City Manager to Execute Amendment 1 to the Joint Exercise of Powers Agreement creating the Central Coast Blue Regional Recycled Water Authority and approving related budget adjustments;

2.Adopt a Resolution of the Public Financing Agency Board of Directors approving admittance as a member agency into of the Joint Exercise of Powers Agreement creating the Central Coast Blue Regional Recycled Water Authority.

10.ITEMS PULLED FROM CONSENT CALENDAR
Council Agenda 6-18-2024

Pismo Beach City Council Agenda June 18, 2024

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11.PUBLIC HEARINGS - No earlier than 6:00 p.m.

GENERAL PROCEDURES FOR PUBLIC HEARINGS (Mayor/Presiding Officer reserves discretion to set speaking allowances):

1. City staff will present the staff report and recommendation, and respond to technical/clarifying questions from Council;

2. Mayor will open the public hearing, and invite the project applicant, or representative, to present the project (Limited to 10 mins);

3. In an Appeal Hearing, the Mayor will then invite the appellant, or representative, to present their appeal (Limited to 10 mins);

4. Mayor will then ask other interested persons to testify regarding the project (Limited to 3 mins per speaker);

5. Mayor will invite the project applicant, or representative, to make a rebuttal if desired (Limited to 5 mins);

6. In an Appeal Hearing, the Mayor will then invite the appellant, or representative, to make a rebuttal if desired (Limited to 5 mins);

7. Mayor will close the public hearing, following which the Council will deliberate and act on the matter.

Item 11.A: Protest Hearing for Declaration of Properties as Non-Compliant for Weed and Rubbish Abatement (Lee)
Recommendation:

Conduct a public hearing to hear protests from property owners whose properties have been identified as non-compliant for weed abatement.

12.BUSINESS ITEMS - May be reordered and heard prior to Public Hearings Item 12.A: Clamming Education and Outreach Process (James) Recommendation:

Receive a report on the City’s clamming education and outreach process and provide direction to staff as to which alternative(s) should be implemented.

Item 12.B: 2023 Northern Cities Management Area (NCMA) Annual Report (Fine) Recommendation:

No action recommended; for information only.

13.CITY COUNCIL COMMENTS AND REQUESTS - No action to be taken

14.ADJOURNMENT
To the following meeting(s). Special and Closed Session times may be subject to change, as noticed. Meetings will be held in a hybrid in-person / virtual format unless otherwise noted:

Meeting Time Date Location
Regular Meeting 5:30 p.m. Tuesday, July 16, 2024 Council Chamber, City Hall Regular Council meetings will adjourn by 11:00 p.m. unless four-fifths of the Council votes to continue past that time. If the meeting is adjourned at 11:00 p.m., any remaining agenda items will be continued to the next regular meeting (R-97-04).

AFFIDAVIT OF POSTING
I, Erica Inderlied, City Clerk for the City of Pismo Beach, declare under penalty of perjury that the foregoing agenda for the June 18, 2024 meeting(s) of the Pismo Beach City Council was posted on June 13, 2024, at City Hall, located at 760 Mattie Road, Pismo Beach, CA, as well as on the City’s website.

Erica Inderlied, City Clerk
Meeting Schedule: The City Council of Pismo Beach regularly meets on the first and third Tuesdays of each month at 5:30 p.m., unless otherwise noticed. Closed and Special sessions will be duly noticed as needed.

Council Agenda 6-18-2024

Pismo Beach City Council Agenda June 18, 2024

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Council Agendas: Agendas for Regular Meetings are available for public review on the City’s website at pismobeach.org/agenda and upon request from the City Clerk’s Office, typically by 4:00 p.m. on the Thursday prior to the meeting, but no later than 72 hours prior to the meeting. Agendas for Closed Sessions and other Special meetings are made available at least 72 hours prior to the meeting when possible, but no later than 24 hours prior to the meeting.

Related Materials: All materials submitted to the Council relating to items on this agenda are open for public inspection unless otherwise exempt by law. Staff reports and attachments published as part of this agenda packet, as well as copies of correspondence received relating to these agenda items and materials distributed at the meeting, may be obtained 1) in the consolidated online Agenda Center at pismobeach.org/agenda, 2) in the Access Pismo public records portal at pismobeach.org/accesspismo, 3) by request from the City Clerk at [email protected], or 4) in person at the City Clerk's Office, City Hall, 760 Mattie Road, Pismo Beach, Mon–-Fri 8:00 a.m.–-5:00 p.m. Please call (805) 773-7003 with any questions.

Broadcasting: Regular (televised) City Council meetings are available for viewing 24/7 at pismobeach.org/agenda, broadcast live on Channel 20, and re-broadcast during the week following the meeting on Channel 20 at 9:00 a.m., 6:00 p.m., and 1:00 a.m. each day.

Use of Equipment: Please contact the City Clerk’s Office if requesting to use the chamber equipment during public comment or as part of a scheduled presentation, 24 hours prior to the meeting at (805) 773-7003.

Notice Regarding Americans with Disabilities Act
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting or if you need agenda documents provided in an alternative format, please contact the City Clerk’s Office at 773-7003 as soon as possible prior to the meeting to ensure that reasonable arrangements can be made (28CFR 35.102-

35.104 ADA Title II).

Council Agenda 6-18-2024

A PROCLAMATION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH RECOGNIZING JULY 2024 AS PARKS MAKE LIFE BETTER! MONTH
WHEREAS, Parks and Recreation promotes physical, emotional, and mental health and wellness through organized and self-directed fitness, play, and activity; and WHEREAS, Parks and Recreation supports the economic vitality of communities by partnering with local businesses, promoting community revitalization, increasing tourism, providing jobs, and generating revenues; and
WHEREAS, Parks and Recreation creates memorable experiences through enrichment activities for all ages, free community events, quality youth and senior programming, and opportunities for community involvement; and
WHEREAS, Parks and Recreation fosters social cohesiveness in communities by celebrating diversity, providing spaces to come together peacefully, modeling compassion, promoting social equity, connecting social networks, and ensuring all people have access to its benefits; and WHEREAS, Parks and Recreation supports human development and endless learning opportunities that foster social, intellectual, physical and emotional growth in people of all ages and abilities; and WHEREAS, Parks and Recreation strengthens community identity by providing facilities and services that reflect and celebrate community character, heritage, culture, history, aesthetics, and landscape; and
WHEREAS, Parks and Recreation supports safe, vibrant, attractive, progressive communities that make life better through positive alternatives offered in their recreational opportunities.

NOW, THEREFORE, the City Council of the City of Pismo Beach hereby proclaims the month of July 2024 as Parks Make Life Better! Month and in doing so, recognizes the importance of access to local parks, trails, open space, and facilities for the health, wellness, development, inspiration, and safety of all citizens.

Dated this 18th day of June, 2024
________________________
Ed Waage, Mayor
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.A
Meeting Date: June 18, 2024
TITLE:

Adoption of Meeting Minutes
RECOMMENDATION:

1.Adopt Minutes of the June 4, 2024 Regular Meeting.

2.Adopt Minutes of the June 10, 2024 Closed Session.

DISCUSSION:

Attached for the Council’s consideration are the draft minutes of the subject meetings for review and adoption.

FISCAL IMPACT:

There is no fiscal impact associated with the preparation or adoption of meeting minutes.

ATTACHMENTS:

1.Draft Minutes of the June 4, 2024 Regular Meeting

2.Draft Minutes of the June 10, 2024 Closed Session
Submitted by:

Erica Inderlied, City Clerk
City Manager Approval:

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DRAFT MINUTES
Pismo Beach City Council
Tuesday, June 4, 2024
Regular Meeting—5:30 p.m.

Council Chamber, City Hall, 760 Mattie Road, Pismo Beach, CA 93449 The City Council of the City of Pismo Beach met this date in a regular session with Mayor Waage presiding.

CALL TO ORDER: 5:30 p.m.

1.ROLL CALL:

Present: Absent:

Mayor Ed Waage None
Mayor Pro Tem Mary Ann Reiss
Council Member Marcia Guthrie
Council Member Stacy Inman
Council Member Scott Newton
Staff Present:

Nadia Feeser, Administrative Services Director
Scot Graham, Community Development Director
Benjamin Fine, Public Works Director/City Engineer
David Fleishman, City Attorney
Jorge Garcia, City Manager
Erica Inderlied, City Clerk
Gordon Jackson, Director of Tourism and Events
Mike James, Assistant City Manager
Paul Lee, Battalion Chief
Jeff Smith, Chief of Police
Other staff present as noted below

2.PLEDGE OF ALLEGIANCE
Council Member Newton led the Pledge of Allegiance.

3.ACCEPTANCE OF AGENDA
No requests to reorder the agenda.

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4.PRESENTATIONS
Item 4.A: Proclamation: Recognizing June 19, 2024 as Juneteenth Day (SLO County NAACP)
Presented to Sylvia Henson, NAACP SLO.

Item 4.B: Proclamation: Recognizing June 7, 2024 as Hunger Awareness Day (SLO Food Bank)
Presented to Andrea Keisler, SLO Food Bank.

Item 4.C: Presentation: Introduction of Police K-9 “Kylo” (Smith) Police Chief Smith and Police Officer Matt Downs introduced Police K-9 Officer Kylo.

5.PUBLIC COMMENT PERIOD
Call for public comment:

Richard DeClark commented.

Cynthia Replogle commented.

Don Day commented.

Richard Brotherton commented.

6.CITY MANAGER’S REPORT
City Manager Garcia commented on various topics.

7.CITY ATTORNEY’S REPORT / CLOSED SESSION REPORT
City Attorney Fleishman commented on various topics.

8.COUNCIL COMMITTEE REPORTS
The Council reported on recent and upcoming meetings of various external bodies:

Council Member Newton:

San Luis Obispo County Integrated Waste Management Authority (IWMA) Board.

San Luis Obispo County Air Pollution Control District (APCD) Board.

Mayor Waage:

Central Coast Blue Regional Recycled Water Authority.

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9.CONSENT CALENDAR
Call for public comment: No comment.

Action: Adopt Consent Calendar.

Motion: Newton
Second: Reiss
Vote: The motion passed on the following vote (Items 9.A through 9.K):

Ayes: 5 Newton, Reiss, Guthrie, Inman, Waage
Noes: 0

Absent: 0
Abstain: 0
Recused: 0
Item 9.A: Adoption of Meeting Minutes (Inderlied)
Recommendation:

Adopt Minutes of the May 21, 2024 Regular Joint Meeting.

Item 9.B: Payroll Register and Register of Demands (Feeser) Recommendation:

1.Approve the Summary of Payroll Register for May 19, 2024;

2.Approve the Register of Demands for May 10, 2024.

Item 9.C: Monthly Investment Transaction Report of the City’s Cash and Investments for April 2024 of Fiscal Year 2024 (Feeser) Recommendation:

No action recommended; for information only.

Item 9.D: Fiscal Year 2025 Appropriations Limit (Gann Limit) (Feeser) Recommendation:

Adopt a Resolution accepting the Fiscal Year 2025 Appropriations Limit for the City of Pismo Beach.

Legislative Record: Resolution R-2024-032 adopted.

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Item 9.E: Calling November 5, 2024 General Municipal Election; Request to Board of Supervisors for Consolidation (Inderlied)

Recommendation:

1. Adopt a Resolution calling for the holding of a General Municipal Election to be held on Tuesday, November 5, 2024, for the election of certain officers as required by the laws of the state of California relating to general law cities;

2. Adopt a Resolution requesting the Board of Supervisors of the County of San Luis Obispo to consolidate a General Municipal Election to be held on November 5, 2024 with the statewide general election to be held on the date, pursuant to Elections Code Section 10403.

Legislative Record: Resolution R-2024-033 adopted.

Legislative Record: Resolution R-2024-034 adopted.

Item 9.F: Authorization for Change Order #4 with Jack Handley Construction and Notice of Completion for the Chapman Estate ADA Restroom Remodel and Addition Project (Fine)

Recommendation:

1. Adopt a Resolution authorizing the City Manager to execute Change Order #4 with Jack Handley Construction Services in the amount of $252,033.26 and appropriating related budget
adjustments;

2. Accept the Chapman Estate ADA Restroom Remodel and
Addition Project as complete;

3. Authorize the City Manager to sign, and the City Clerk to record, a Notice of Completion for the project.

Legislative Record: Resolution R-2024-035 adopted.

Item 9.G: Contract Amendment #3 with Brenntag Pacific for Supply of Sodium Bisulfite (Fine)

Recommendation:

Adopt a Resolution authorizing the City Manager to execute Amendment #3 to the existing Professional Services Agreement with Brenntag Pacific, Inc. to supply sodium bisulfite in an amount not to exceed $58,968 for Fiscal Year 2025 and appropriating related budget adjustments.

Legislative Record: Resolution R-2024-036 adopted.

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Item 9.H: Notice of Completion for the City Hall Exterior Improvement Project (Fine)

Recommendation:

1. Accept the City Hall Exterior Improvement Project as complete;

2. Authorize the City Manager to sign, and the City Clerk to record, a Notice of Completion for the project.

Item 9.I: Award of Contract to CBJ Building Maintenance, Inc. for Janitorial Services for City Facilities (Fine)

Recommendation:

Adopt a Resolution authorizing the City Manager to enter into a Professional Services Agreement with CBJ Building Maintenance, Inc. in the amount of $762,125.70 to provide janitorial services for the City of Pismo Beach for Fiscal Years 2025 through 2027 and appropriating related budget adjustments.

Legislative Record: Resolution R-2024-037 adopted.

Item 9.J: Contract Amendment #2 with Olin Corporation for Supply of Sodium Hypochlorite (Fine)

Recommendation:

Adopt a Resolution authorizing the City Manager to execute Amendment #2 to the existing Professional Services Agreement with Olin Corporation, dba Olin Chlor Alkali Products and Vinyls to supply sodium hypochlorite in an amount not to exceed $126,360 for Fiscal Year 2025 and appropriating related budget adjustments.

Legislative Record: Resolution R-2024-038 adopted.

Item 9.K: Amendment #3 to the Professional Services Agreement with SP Maintenance Services, Inc. for Parking Lot and Street Sweeping (Fine)

Recommendation:

Adopt a Resolution authorizing the City Manager to execute Contract Amendment #3 with SP Maintenance Services, Inc. in the amount of $61,892 per year for two years of parking lot and street sweeping for fiscal years 2025 and 2026.

Legislative Record: Resolution R-2024-039 adopted.

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10.ITEMS PULLED FROM CONSENT
None.

11.PUBLIC HEARINGS
None.

12.BUSINESS ITEMS
Item 12.A: Fire Department Semi-Annual Report (Lee)
Recommendation:

Receive Fire Department briefing.

Presenting staff:

Jorge Garcia, City Manager
Paul Lee, Battalion Chief
John Owens, Fire Unit Chief
Supplemental material submitted into the record.

Call for public comment: No comment.

Action: No action.

Item 12.B: Extending and Modifying a Sales And Use Tax (Garcia) Recommendation:

1.Adopt a Resolution ordering the submission to the qualified electors of the City a measure relating to the extension and modification of a local transaction and use tax at the General Election to be held on Tuesday, November 5, 2024, and directing the City Attorney to prepare an impartial analysis thereof.

2.Introduce an Ordinance amending Title 3, Chapter 3.22, of the Pismo Beach Municipal Code extending and modifying a transactions and use tax to be administered by the California Department of Tax and Fee Administration.

3.Adopt a Resolution setting priorities for filing written arguments regarding a City measure submitted at the November 5, 2024, General Municipal Election.

4.Adopt a Resolution providing for the filing of rebuttal arguments for a City measure submitted at the November 5, 2024, General Municipal election.

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Presenting staff:

Nadia Feeser, Administrative Services Director
Jorge Garcia, City Manager

Supplemental material submitted into the record.

Call for public comment:

Donny Martin commented.

Don Day commented.

Action: Majority consensus in support of directing the City Manager to prepare the primary argument in favor of the measure.

Action: Adopt a Resolution ordering the submission to the qualified electors of the City a measure relating to the extension and modification of a local transaction and use tax at the General Election to be held on Tuesday, November 5, 2024, and directing the City Attorney to prepare an impartial analysis thereof.

Motion: Reiss
Second: Guthrie

Vote: The motion passed on the following vote:

Ayes: 4 Reiss, Guthrie, Inman, Waage
Noes: 1 Newton

Absent: 0
Abstain: 0
Recused: 0

Legislative Record: Resolution R-2024-040 adopted.

Action: Introduce an Ordinance amending Title 3, Chapter 3.22, of the Pismo Beach Municipal Code extending and modifying a transactions and use tax to be administered by the California Department of Tax and Fee Administration.

Motion: Reiss
Second: Guthrie

Vote: The motion passed on the following vote:

Ayes: 4 Reiss, Guthrie, Inman, Waage
Noes: 1 Newton

Absent: 0
Abstain: 0
Recused: 0
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Legislative Record: Ordinance O-2024-XXX introduced.

Action: Adopt a Resolution setting priorities for filing written arguments regarding a City measure submitted at the November 5, 2024, General Municipal Election, with the following revision:

1.Authorize all five members of the City Council to sign argument(s) pertaining to the measure.

Motion: Reiss
Second: Guthrie
Vote: The motion passed on the following vote:

Ayes: 4 Reiss, Guthrie, Inman, Waage
Noes: 1 Newton

Absent: 0
Abstain: 0
Recused: 0
Legislative Record: Resolution R-2024-041 adopted.

Action: Adopt a Resolution providing for the filing of rebuttal arguments for a City measure submitted at the November 5, 2024, General Municipal election.

Motion: Reiss
Second: Guthrie
Vote: The motion passed on the following vote:

Ayes: 4 Reiss, Guthrie, Inman, Waage
Noes: 1 Newton

Absent: 0
Abstain: 0
Recused: 0
Legislative Record: Resolution R-2024-042 adopted.

13.CITY COUNCIL COMMENTS AND REQUESTS
Consensus to direct staff to return at the June 18, 2024 meeting with an information item regarding education and enforcement of clamming regulations.

Consensus to direct staff to return with an information item regarding roof deck regulations, including the potential expansion of the applicable Shell Beach Design Guidelines to the rest of the city.

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14.ADJOURNMENT
At 7:25 p.m.

APPROVED: ATTEST:
________________________________ ________________________________ Ed Waage, Mayor Erica Inderlied, City Clerk
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DRAFT MINUTES
Pismo Beach City Council
Monday, June 10, 2024
Special Closed Session—3:00 p.m.

City Hall, 760 Mattie Road, Pismo Beach, CA 93449
The City Council of the City of Pismo Beach met this date in a special closed session with Mayor Waage presiding.

CALL TO ORDER: Mayor Waage called the meeting to order at 3:01 p.m.

1.ROLL CALL:

Present: Absent:

Mayor Ed Waage None
Mayor Pro Tem Mary Ann Reiss (arrived 3:09 p.m.)
Council Member Marcia Guthrie
Council Member Stacy Inman
Council Member Scott Newton
Staff Present:

David Fleishman, City Attorney
Jorge Garcia, City Manager

2.ANNOUNCEMENT OF CLOSED SESSION ITEMS
City Attorney Fleishman announced the Closed Session item listed below.

Item 2.A: Conference with Legal Counsel – Existing Litigation (Paragraph (1) of subdivision (d) of Government Code §54956.9) Name of Case: V. Lopez Jr. & Sons General Engineering Contractors, Inc. vs. City of Pismo Beach
San Luis Obispo Superior Court Case No. 20CV-0652

3.PUBLIC COMMENT PERIOD

Call for public comment: No comment.

4.CLOSED SESSION
The Council retired to Closed Session to consider the above items.

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5.CLOSED SESSION REPORT
City Attorney Fleishman reported that no reportable action was taken on the above item.

6.ADJOURNMENT
At 4:55 p.m.

APPROVED: ATTEST:
________________________________ ________________________________ Ed Waage, Mayor Erica Inderlied, City Clerk
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.B
Meeting Date: June 18, 2024
TITLE:

Payroll Register and Register of Demands
RECOMMENDATION:

1. Approve the Summary of Payroll Register for June 2, 2024;

2. Approve the Register of Demands for May 17, 2024 and May 24, 2024.

DISCUSSION:

Attached are the Summary of Payroll Register(s) and Register(s) of Demands (Check Registers) noted above, provided for Council approval.

FISCAL IMPACT:

As demonstrated in the attached payroll and check registers.

ATTACHMENTS:

1.Payroll Summary

2. Registers of Demands
Submitted by: Nadia Feeser, Administrative Services Director/City Treasurer City Manager Approval:

Council Agenda 6-18-2024 9.B-1
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FOR PERIOD ENDING 06/02/24
CHECKS DATED 06/07/24

PAYROLL CHECKS AND DIRECT DEPOSIT TRANSACTIONS
Checks 557096-557101 6
ACH 140

EARNINGS
REGULAR 395,501.15
HOLIDAY 4,897.53
OVERTIME (Includes Comp Time Payouts)40,104.96
Administration
Building
Conference & Visitors Bureau
Police Department 28,456.19
Parking
Engineering
Fire 2,664.43
Recreation
Public Works 5,798.56
Water 1,579.05
Wastewater 1,606.73
Motor Vehicles
Subtotal-Overtime 40,104.96$
SALARY ADJUSTMENTS 104.99
TRAINING / UNIFORM ALLOWANCE 14,723.08
OTHER EARNINGS 14,936.08
$470,267.79

LESS AUTHORIZED PAYROLL DEDUCTIONS
FEDERAL WITHHOLDING TAX 46,301.77
FICA & MEDICARE 36,502.17
STATE INCOME TAX 18,111.21
STATE DISABILITY INSURANCE 5,047.82
GARNISHMENTS 479.99
HEALTH 4,110.91
SUPPLEMENTAL DISABILITY 1,509.21
SECTION 125 2,176.56
PERS 36,439.69
DEFERRED COMPENSATION 14,716.11
ADDITIONAL LIFE INSURANCE 327.80
UNION DUES 2,300.91
PISMO ATHLETIC CLUB 515.00
OTHER
NET PAYROLL $301,728.64
DIRECT DEPOSIT DEDUCTION 296,895.72
NET PAYROLL AFTER ACH DEPOSIT 4,832.92

SUMMARY PAYROLL REGISTER
Council Agenda 6-18-2024 9.B-2
Attachment 1
Packet Page 15

City of Pismo Beach
Final Disbursement List Check Date 05/17/2024

US BANK
ACH/Vendor Check
Check#Number Payee Amount Description
ACH 11224 Richards, Watson, Gershon Attorneys At Law 220,713.91$ Professional Legal Services - March 2024 & April 2024 ACH 13455 Wex 1,109.28 Fuel for City Vehicles 04/07/24 - 05/06/24 ACH 14107 Wilmington Trust, National Association 185,400.81 Transfer to Trustee for 2017 Pier Bonds & 2017B CREBs - June 2024 129721 14078 5-Cities Community Service Foundation 216.00 Five Cities Men's Club Dues - April 2024 129722 10434 Abalone Coast Analytical Inc 324.00 Water Analysis 129723 12616 Action Rooter 2,500.00 Release Bond for Encroachment Permit - 1030 Longview Ave 129724 12433 Alpha Electrical Service Inc 322.00 Service Call - Pismo Oaks Lift Station Transducer 129725 12485 ASCAP 450.28 Annual Music License 2024
129726 12624 AT&T 9391012187 9,878.51 PSF Internet - 04/10/2024 - 05/09/2024 129727 12623 AT&T 9391012188 5,016.76 Phone Service 04/10/2024 - 05/09/2024 129728 13278 AT&T 9391059148 2,010.32 Phone Service 04/10/2024 - 05/09/2024 129729 14363 AT&T Mobility 287314925891 112.15 iPad Tablet Service - Apr 2024 129730 14832 AT&T Mobility 287339470580 678.37 iPad mini for Lifeguard Division & Internet - Feb & Apr 2024 129731 11589 Austin's Wet Pets and Pond Maintenance, Inc 140.00 Pond Maintenance - Chapman Estate - April 2024 129732 11392 Brenntag Pacific Inc.1,593.85 Sodium Bisulfite 129733 10028 Brisco Mill & Lumber Yard 57.95 Parks Maintenance 129734 12346 Broyhill Manufacturing Company 116.23 Vehicle Maintenance 129735 11492 Bunyon Bros. Tree Care, Inc.3,600.00 Tree Trimming - Vista del Mar/Ocean Blvd 129736 10074 Burdine Printing 2,440.34 Mailers: Town Hall & Safety Facility Groundbreaking 129737 14038 Bureau Veritas North America, Inc.30,972.50 Building Division Support Services - Mar 2024 129738 14476 Burt Industrial Supply, Inc 176.84 WWTP Maintenance 129739 10269 Carquest Auto Parts 151.01 Vehicle Maintenance 129740 11542 CCI Central Inc 63.36 Office Supplies
129741 13951 Central Coast Portables 541.80 Portables Restrooms: Tennis Courts 3/30/24 - 4/27/24 129742 11451 Channel Islands Technology Integrators' Group 51,796.24 PD Dispatch Move Work, Quarterly Phishing Campaign Jan - Mar 2024, NetMotion Project Additional Hours 2/6-2/20/24, Meraki Network Switch 3-year Maintenance Renewal, 2023 Onsite Helpdesk Days, PD Trailer Network Install, & IT Professional Services
129743 13105 Chapman Foundation 465.00 Chapman Docent Tour Fees April 2024 129744 10281 City of Arroyo Grande 390.00 PW Week BBQ
129745 14247 Coastal Tree Experts, Inc.1,500.00 Tree Removal - Spyglass Park 129746 13386 Cuesta Polygraph & Investigations, LLC.1,100.00 Pre-Employment Polygraph 129747 14313 Culligan/Santa Maria 58.55 Drinking Water April 2024 129748 14217 Deltina Coffee Roasters 62.50 Coffee
129749 12307 Department Of Justice 32.00 Pre-Employment Fingerprinting 129750 14325 Engeo Incorporated 3,058.00 Vista Del Mar Stairway - April 2024 129751 13586 Famcon Pipe & Supply Inc.1,290.85 Reservoir & Equipment Maintenance 129752 12123 Farm Supply 460.84 WW Maintenance
129753 10191 Nadia Feeser 153.00 M&IE: CMTA Conference 4/30-5/3/24 129754 14481 HPS West, Inc 2,784.12 4" Octave Meter
129755 11993 Information Technology 1,161.13 Data Lines and External User Access: Jan-Mar 2024 129756 12255 Iron Mountain Information Mgmt, Inc 151.73 Shredding Services 129757 UB*01094 PETER KEITH 263.40 Refund Check 015954-001, 731 PRICE CANYON 129758 12694 Landscape Structures Inc.11,903.26 Replacement Arch Swing Set Frame - Addie St. 129759 13416 Phoenix Resolutions, Inc Mail Plus 42.22 Postage 129760 12279 McMaster Carr 231.95 WW Maintenance
129761 14042 Merjan Enterprises, Inc.15,368.38 Vet Hall Conduit for Cameras 3 & 4 & Police Migration Access Control 129762 12032 Midwest Motor Supply 501.47 Vehicle Maintenance 129763 14739 Mike's Coffee and Tea Co.41.14 Coffee
129764 10097 Miners Hardware 653.84 Maintenance Supplies 129765 14343 ODP Business Solutions, LLC 93.17 Office Supplies 129766 10138 Online Solutions LLC 36,000.00 (20) Citizenserve Annual User Subscriptions 4/1/24 - 3/31/25 129767 12138 Ormonde Truck & Tractor 5,522.50 Relocate Shed and Fire Hose Ramps - PSF 129768 12315 Pacific Gas & Electric Company 5,824.88 Electricity 04/05/24 - 05/07/24 129769 14102 Peak WiFi, LLC 5,498.05 Network Services - Migrate Camera Network to City Hall, Internet Service PD Camera Network, & Internet Service - PD - LPR Internet 129770 14550 Phillco 36.95 Soft Water - Station 64 April 2024 129771 13197 Pioneer Americas, LLC 10728 11,400.99 Sodium Hypochlorite 129772 UB*01095 PISMO COAST PLAZA LLC 102.62 Refund Check 019302-001, 577 FIVE CITIES 129773 14815 Poppy Market LLC 5,000.00 Release Encroachment Permit Bond - 591 Five Cities Dr Center 129774 12335 Procare Janitorial Supply Inc 1,181.87 Janitorial Supplies 129775 12218 R. Baker Inc.9,755.69 Increased Pipe Size for Air Vac - Mattie Road Project 129776 14738 SCA OF CA, LLC 13,662.62 Street Sweeping - April 2024 Council Agenda 6-18-2024 9.B-3
Attachment 2
Packet Page 16

City of Pismo Beach
Final Disbursement List Check Date 05/17/2024

US BANK
ACH/Vendor Check
Check#Number Payee Amount Description
129777 14557 Securitas Technology Corporation 23,864.90 Fire Alarm Installation - 320 Main & 330 Main 129778 14831 Stephanie Short 275.00 Equipment Maintenance 129779 13913 Silvas Oil Co., Inc 6,880.24 Diesel & Unleaded Fuel Deliveries 5/2/24 129780 11412 Jennifer Franco Smith 950.08 Portable Toilets - Safety Center Groundbreaking 129781 12925 Smith's Alarms & Electronics 90.00 Security Monitoring - Price House - June - August 2024 129782 13860 South County Chambers of Commerce 500.00 May Day Sponsor Leadership 129783 14800 SPICE Integration Corp 406.25 Service Call 129784 14311 State Water Resources Control Board 4,806.83 State Water Grant Refund - Unused Portion 129785 11323 Streator Pipe & Supply 51.15 Maintenance Supplies 129786 14361 Sun Ridge Systems, Inc.16,005.00 Sun Ridge CAD/RMS Warranty & Support May 2024 129787 12629 Tetra Tech Inc 4,410.00 Map Checking - March 2024 591 Five Cities & 558 Price 129788 14821 Traffic Management Products Inc 363.94 Street Signs 129789 12622 USA Bluebook Acct: 82507 97.52 WWTP Lab Supplies 129790 10507 V & V Manufacturing 72.29 Badge
129791 12132 White Flag Pest Control Inc 361.00 Pest Control 129792 14833 Yuki Restaurant Corporation 1,120.60 Neighborhood Event Catering - 5/27/24 Total:716,390.03$
Council Agenda 6-18-2024 9.B-4
Attachment 2
Packet Page 17

City of Pismo Beach
Final Disbursement List Check Date 05/24/2024

US BANK
ACH/Vendor Check
Check#Number Payee Amount Description
ACH 10002 Internal Revenue Service 102,487.30$ Federal Income Tax PD 05/24/24 ACH 11208 SEIU Local 620 AFL/CIO 902.70 SEIU Dues PD 05/24/24 ACH 11305 Public Employees Retirement System 75,426.45 PERS Retirement EE & ER PD 05/24/24 ACH 12017 Vantagepoint Transfer Agents 9,580.00 Retiree Health Longevity Premiums - PD 06/01/24 ACH 12211 CA. Public Emp Retirement Sys 118,986.91 Medical Insurance - June 2024 ACH 12260 dba: Mission Square ICMA Retirement Trust - 457 26,944.26 ICMA 457 Deferred Comp EE & ER PD 05/24/24 ACH 12305 Franchise Tax Board 19,006.01 State Income Tax & SDI PD 05/24/24 ACH 12360 CalPERS 457 Plan 416.67 PERS 457 Deferred Comp EE & ER PD 05/24/24 ACH 12708 dba: Mission Square ICMA Retirement Trust-Roth IRA
575.00 ICMA Roth IRA PD 05/24/24
ACH 14257 Igoe Administrative Services 126.00 Medical and/or Dependent Care FS Monthly Participation ACH 14816 S. Carolina Dept. of Employment and Workforce 25.20 2024 Q1 - SC UI Additional Due 129793 10446 Achievement House, Inc.12,504.55 Pismo Beach Litter Removal Services - April 2024 & Shell Beach Litter Removal & Clean-up - April 2024 & Sidewalk Cleaning & Pressure Washer Rental Fee - April
129794 10695 AFLAC 3,108.22 Supplemental Disability Insurance - May 2024 129795 12433 Alpha Electrical Service Inc 524.50 Service Call WWTP 4/24/24 129796 14832 AT&T Mobility 287339470580 40.24 iPad mini Internet - Mar 2024 129797 14036 Big Wakoo Fence, Inc.2,500.00 330 Main - Mammoth Closures 129798 14807 Richard Blessing 349.99 Reimb: American Water College WW Grade II Review 129799 12841 Robert Brenman 43.75 Senior Dance Band Member 5/14/24 129800 10028 Brisco Mill & Lumber Yard 63.91 Maintenance Supplies 129801 13139 Brough Construction 79,692.09 Palisades and Chumash Parks Playground - Apr 2024 129802 14783 Fred Brown 472.95 Parks Equipment Maintenance 129803 14766 C&M Western, Inc 197.85 FY24 Safety Boots
129804 10626 California Highway Adoption Co 1,050.00 Highway 101 On/Off Ramp Trash Mitigation - May 2024 129805 14414 California State Disbursement Unit 461.53 Tax Withholding Order PD 05/24/24 129806 14771 California State Disbursement Unit 18.46 Tax Withholding Order PD 05/24/24 129807 14554 Jeffrey Cardinal 43.75 Senior Dance Band Member 5/14/24 129808 10799 Lindsay Carter Coates 200.00 Instructor: Yoga with Lindsay 4/1-4/29/24 #11444 129809 13531 Central Coast Party Factory LLC 700.00 Inflatables & Generator - Concert 5/12/24 129810 11451 Channel Islands Technology Integrators' Group 30,528.00 Monthly Office 365 & Phone Licenses March & April & Monthly Help Desk May 2024 & Monthly Backup Subscriptions April 2024 129811 10281 City of Arroyo Grande 6,459.76 Summer Guide - Printing & Postage 129812 12156 County Of San Luis Obispo 1,590.30 Chargeable Report Writing & Correspondence Jan/Feb 129813 14838 Brent Dannells 43.75 Senior Dance Band Member 5/14/24 129814 12628 Dell Marketing LP 9,530.47 UltraSharp Monitors, OptiPlex Micro Form Factors, & Accessories 129815 12224 Delta Dental Of California 7,088.29 Dental Premiums - June 2024 129816 12790 Diversified Project Services International 54,037.50 Bello and Wadsworth Water Main Replacement - April & Engineering Design Services - Digester #1 Demolition
129817 13697 Dudek 3,808.75 Prof Svcs GP/LCP Update 2/24/24 - 3/29/24 129818 11469 Eikhof Design Group Inc 9,365.00 Development Review Services - April 2024 & Wadsworth Storm Drain - April 2024 & Addie St. Restroom Engineering Design - April 2024 129819 14383 Ellison Schneider Harris & Donlan LLP 267.00 Water Counsel Services - April 2024 129820 12541 Engel & Gray Inc 7,834.62 Composting Biosolids - April 2024 129821 13980 Garing, Taylor & Associates, Inc.3,600.00 Chapman Estate Maintenance and Development Study 129822 12030 Grainger, Inc.3,273.35 Shelving
129823 12235 Granicus, LLC 4,005.90 Legislative Meeting Web Streaming 04/28/2024-07/27/24 129824 10377 Hdl, Coren & Cone 2,601.18 Property Tax Consulting & Audit Information Apr-Jun 2024 129825 13276 InfoSend, Inc.2,103.77 Weed Abatement Insert & Processing-Printing-Mailing Utility Bills Apr 2024
129826 13025 Stacy Jo L. Inman 18.00 Reimb: Court Parking 5/1/24 & 5/8/24 129827 13385 IPS Group, Inc.2,739.17 IPS Transaction Fees - Apr 2024 129828 14835 Oscar Macias 1,939.50 Catering - Safety Facility Groundbreaking Ceremony 6/5/24 129829 12960 Med-Stops Medical Clinic Inc 400.00 DMV/DOT Physicals 129830 UB*01096 ALEJANDRO FURRER MICHAELA MORGAN (T)140.62 Refund Check 018710-000, 276 ENCANTO 129831 14739 Mike's Coffee and Tea Co.54.00 Coffee
129832 10097 Miners Hardware 2,732.20 Maintenance Supplies 129833 10039 New Times 173.00 Legal Advertising
129834 12199 Noble Saw, Inc 311.91 Parks Equipment
129835 14343 ODP Business Solutions, LLC 127.56 Office Supplies 129836 13781 Bouba Otello Boumaiz 3,000.00 Public Art: Stop Sign Restoration 129837 12315 Pacific Gas & Electric Company 47,107.93 Electricity 04/09 - 05/17/24 Council Agenda 6-18-2024 9.B-5
Attachment 2
Packet Page 18

City of Pismo Beach
Final Disbursement List Check Date 05/24/2024

US BANK
ACH/Vendor Check
Check#Number Payee Amount Description
129838 14591 Bernadette Pennetta-Simpson 2,842.98 July 4th Celebration Beverages 129839 14825 Placer Labs Inc.13,000.00 Access to Placer.ai Platform 4/30/24 - 4/29/25 129840 14792 Ben Plumb 224.00 M&IE: ACT Conference 5/20-5/23/24 129841 12022 Pismo Beach Police Officer's Association 1,378.96 POA Dues PD 05/24/24 129842 12022 Pismo Beach Police Officer's Association 1,473.34 POA Dues PD 08/18/23 - check reissue 129843 12022 Pismo Beach Police Officer's Association 1,250.75 POA Dues PD 12/23/20 - check reissue 129844 12335 Procare Janitorial Supply Inc 2,663.35 Janitorial Supplies 129845 12446 Pyro Spectaculars Inc 18,500.00 Deposit: July 4th Celebration Fireworks Display 129846 13255 Rib Line 4,868.75 Catering Balance: July 4th BBQ Celebration 129847 13994 SBRK Finance Holdings, Inc.360.00 TCP Import & Testing for E-Timesheets - March 2024 129848 14786 Scangarello Ventures, Inc.42.22 Postage
129849 10913 Siteone Landscape Supply LLC 510.50 Parks Maintenance 129850 11722 SP Maintenance Services Inc 4,688.75 Parking Lot & Street Sweeping Services - April 2024 129851 12806 Donald G. Stever 43.75 Senior Dance Band Member 5/14/24 129852 12321 The Gas Company 1,540.90 Gas Service 4/12 - 5/16/24 129853 13097 The Standard 1,537.57 Life & Additional Life Insurance Premiums - June 2024 129854 13442 Thorn Run Partners 4,500.00 Federal Lobbying Services - May 2024 129855 14639 TimeClock Plus, LLC 421.88 E-Timesheet Project Implementation Services March 2024 129856 12301 TK Elevator 5,470.21 Elevator Servicing - City Hall & City Hall Elevator Load Test 129857 14594 Toucan Terrace Section 1 Homeowners
Association
250.00 Neighborhood Event - Clubhouse Deposit & Reservation 129858 14594 Toucan Terrace Section 1 Homeowners
Association
150.00 Neighborhood Event - Clubhouse Deposit & Reservation 129859 12860 Townsend Public Affairs 4,000.00 State Lobbying Services - May 2024 129860 12982 Ultrex Business Products 1,412.91 Monthly Copier Usage April 2024 129861 10014 United States Postal Service 1,300.00 Postage Summer 2024 Clam Chronicle 129862 13073 VSP- Vision Service Plan (CA)1,684.51 VSP Vision Coverage June 2024 129863 12074 Zoll Medical Corporation 651.93 Medical Supplies Total:736,097.08$
Council Agenda 6-18-2024 9.B-6
Attachment 2
Packet Page 19

PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.C
Meeting Date: June 18, 2024
TITLE:

San Luis Obispo County Regional Special Weapons and Tactics (SWAT) Team Memorandum of Understanding
RECOMMENDATION:

DISCUSSION:

Since 2008, the Cities of Arroyo Grande, Grover Beach, Morro Bay, Paso Robles, Pismo Beach, and San Luis Obispo along with California Polytechnic State University San Luis Obispo and California State Parks have operated a Regional Special Weapons and Tactics (SWAT) Team under a previously signed agreement. The SWAT Team utilizes special tactics and equipment to manage and resolve critical incidents involving armed or barricaded suspects, hostages, and high-risk warrant services or incidents that are high risk and so hazardous, complex, or unusual they may exceed the capabilities of first responders or investigative units in their respective jurisdictions.

In January 2024, the Regional SWAT Team Governing Board, which is made up of the head law enforcement officer of the respective participating agencies, reviewed the previous agreement and prepared a new Memorandum of Understanding (MOU) (Attachment 2) with updated information. The MOU updates included additional language in the categories under Purpose, Term, Agency Responsibilities, Agency Budgeting, and Indemnification. The MOU has been reviewed by each agency’s legal counsel as to form. The term of the MOU will be until June 30, 2029; however, the MOU allows the participating agencies to automatically renew the MOU for three successive five-year increments as long as there are no substantive changes needed.

Conclusion and Recommendation
Staff recommends that the City Council adopt a Resolution (Attachment 1) authorizing the Chief of Police to enter into an updated Memorandum of Understanding to participate in the San Luis Obispo Regional Special Weapons and Tactics Team (regional SWAT Team).

FISCAL IMPACT:

Expenses to support the Police Department SWAT Team members and equipment are included in the annual Police Department budget. There are no additional fiscal impacts associated with the signing of the updated agreement.

Council Agenda 6-18-2024 9.C-1
Packet Page 20

ATTACHMENTS:

1. Resolution

2. Updated San Luis Obispo County Regional Swat Team MOU Submitted by: Jeff Smith, Chief of Police
City Manager Approval:

Council Agenda 6-18-2024 9.C-2
Packet Page 21

RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA AUTHORIZING THE CHIEF OF POLICE TO ENTER INTO A MEMORANDUM OF UNDERSTANDING FOR THE CITY’S PARTICIPATION IN THE

SAN LUIS OBISPO REGIONAL SPECIAL WEAPONS AND TACTICS TEAM WHEREAS, Cities of Arroyo Grande, Grover Beach, Morro Bay, Paso Robles, Pismo Beach, San Luis Obispo, along with the California Polytechnic State University San Luis Obispo (Cal Poly) and California State Parks have operated a Regional SWAT Team under a previously signed written agreement; and
WHEREAS, the participating agencies chief law enforcement officer has reviewed and prepared a new Memorandum of Understanding (MOU) modernizing the language in several sections, including but not limited to, the Purpose, Term, Agency Responsibilities, Agency Budgeting and Indemnification; and
WHEREAS, the MOU has been reviewed by the participating agencies’ legal counsels, who have approved the MOU as to form; and
WHEREAS, the term of the updated MOU will run through 2029, with the option for automatic renewal in five-year increments as long as no substantive changes are needed.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby authorizes the Chief of Police to enter into a Memorandum of Understanding, in substantially the form attached to staff’s report, for the City to participate in the San Luis Obispo Regional Special Weapons and Tactics Team (Regional SWAT Team).

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 18th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
Council Agenda 6-18-2024 9.C-3
Attachment 1
Packet Page 22

IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _______________________. ________________________
Erica Inderlied, City Clerk
Council Agenda 6-18-2024 9.C-4
Attachment 1
Packet Page 23

MEMORANDUM OF UNDERSTANDING

BETWEEN THE ARROYO GRANDE POLICE DEPARTMENT,

THE GROVER BEACH POLICE DEPARTMENT,

THE MORRO BAY POLICE DEPARTMENT,

THE PASO ROBLES POLICE DEPARTMENT,

THE PISMO BEACH POLICE DEPARTMENT,

THE CALIFORNIA POLYTECHNIC STATE UNIVERSITY SAN LUIS OBISPO POLICE

DEPARTMENT, AND

CALIFORNIA STATE PARKS

REGARDING IMPLEMENTATION AND DEPLOYMENT OF A JOINT REGIONAL

LAW ENFORCEMENT SPECIAL WEAPONS & TACTICS TEAM
I.PARTIES
The parties of this Memorandum of Understanding (“MOU”) dated this _____ day of ____________, 20___, are the Arroyo Grande Police Department, Grover Beach Police Department, Morro Bay Police Department, Paso Robles Police Department, Pismo Beach Police Department, San Luis Obispo Police Department, California Polytechnic State University San Luis Obispo Police Department and the State of California, through its Department of Parks and Recreation (“State Parks”) (hereinafter referred to individually as a “Participating Agency” and collectively as “Participating Agencies”).

II.AUTHORITY
This MOU shall be executed on behalf of each Participating Agency by its duly authorized representative and pursuant to an appropriate resolution or ordinance of the governing body of each Participating Agency. This MOU shall be deemed effective upon the last date of execution by the last authorized representative. This MOU may be executed in counterparts and be valid as if each authorized representative had signed the original document.

III.NAME OF JOINT ORGANIZATION
The name of the team shall be the San Luis Obispo County Regional Special Weapons and Tactics Team (“Regional SWAT Team”).

IV.PURPOSE
The Participating Agencies named in this MOU are in close geographic proximity within San Luis Obispo County and share similar needs for police response to high risk and critical incidents.

The Participating Agencies of this MOU will select respective personnel for joint membership in the Regional SWAT Team. The Regional SWAT Team may operate and Council Agenda 6-18-2024 9.C-5
Attachment 2
Packet Page 24

have jurisdiction in each of the Cities or jurisdictions of each Participating Agency in order to provide their respective communities with effective and efficient delivery of key public safety services in response to critical incidents including, but not limited to, hostage situations, barricaded subjects, high-risk warrant services, high-risk apprehension, dignitary protection, terrorist events, and special assignments or other incidents that exceed the routine capability of the Participating Agencies first responders and investigative resources. This MOU shall allow for the combination of personnel onto the Regional SWAT Team to ensure delivery of these key services at the highest level possible for the Participating Agencies.

The Participating Agencies recognize that response to critical incidents can be enhanced and efficiency increased by combining police personnel with such specialized training and expertise into a Regional SWAT Team that is available for response to any of the Participating Agencies and in accordance with the terms and conditions set forth herein.

V. TERM, RENEWAL, AND TERMINATION OF THE AGREEMENT
a. The term of the MOU will be from ___ June, 2024 to June 30, 2029. b. To accommodate the operational needs of the Participating Agencies, upon agreement of all parties, this MOU may be renewed for three (3) successive five (5) year periods. c.Any Participating Agency may withdraw from this MOU at any time, without cause, upon giving all parties written notice thereof.
d.If one (1) or more Participating Agencies terminate their participation in the Regional SWAT Team, but the Regional SWAT Team continues to exist, the Participating Agency(ies) terminating participation shall be deemed to have waived any right or title to any property jointly funded by the Regional SWAT Team or share in the proceeds at the time of disbandment.
e.If the Regional SWAT Team Governing Board (“Governing Board”) determines that a Participating Agency is not in compliance with this MOU or the policies and procedures established for the Regional SWAT Team, the Governing Board, by majority vote of all Participating Agency Police Chiefs, may remove the Participating Agency from the Regional SWAT Team and from the obligation of this MOU. A designee vote, or proxy vote, is not valid for this action. As used herein, the term “Police Chiefs or Chiefs” shall also be deemed to mean a Superintendent of State Parks. f.The Regional SWAT Team may be disbanded by a majority vote of the Governing Board. Any vote for termination shall only occur when the Police Chief of each Participating Agency is present at the meeting in which such a vote is taken. g.Upon termination of this MOU, or the removal of a Participating Agency from this MOU, each Participating Agency shall retain sole ownership of the equipment purchased and provided to its participating SWAT team members.

Council Agenda 6-18-2024 9.C-6
Attachment 2
Packet Page 25

h. Upon disbanding of the Regional SWAT Team, any assets acquired with grant funds from the Department of Homeland Security (DHS) shall be turned over to the San Luis Obispo County Office of Emergency Services, the grant administrator for San Luis Obispo County.
i. Upon disbanding of the Regional SWAT Team, any assets acquired with joint funds of the SWAT team’s Participating Agencies still operating at the time of the disbanding, shall be equally divided among the Participating Agencies at the asset’s fair market value upon termination.
j. If two or more Participating Agencies desire an asset, the final decision shall be made by arbitration as follows:
i.The Participating Agencies interested in the asset shall select one (1) person (Arbitrator) to determine which agency will receive the asset. If the Participating Agencies cannot agree to an Arbitrator, the Chiefs of the Participating Agencies participating in the Regional SWAT Team at the time of disbandment shall meet to determine who the Arbitrator will be. The arbitrator may be any person not employed by the Participating Agencies that desire the asset. ii.During a meeting with the Arbitrator, each Participating Agency interested in the asset shall be permitted to make an oral or written presentation to the Arbitrator in such support of its position.
iii.At the conclusion of the presentation, the Arbitrator shall determine which Participating Agency is to receive the asset. The decision of the Arbitrator shall be final and shall not be subject to appeal or review.

VI. GOVERNANCE
A Regional SWAT Team Governing Board comprised of the Chiefs of the Participating Agencies, shall provide oversight of the Regional SWAT Team, including but not limited to, adoption and modification of policies and operating procedures, selection of command staff, compliance with this MOU and fiscal management. The Governing Board will meet monthly or as needed. The presence of five (5) Governing Board members, or their designee, constitutes a quorum.

A presiding officer, known as the Chair, shall, at all times, be a Police Chief from a Municipal agency within San Luis Obispo County. The Chair shall have at least one year of experience as a Police Chief in San Luis Obispo County and must have previously served as a Vice Chair prior to ascending to the Chair position.

The subsequent presiding officer, known as the Vice Chair, shall take office in January of each year. The Vice Chair will act as the Chair in the absence of the Chair for any meetings. The Vice Chair shall be appointed to their role based on a geographical Council Agenda 6-18-2024 9.C-7
Attachment 2
Packet Page 26

accession plan beginning with the South County agencies and ascending to the North County agencies. The Vice Chair will ascend to the Chair position after the term of the presiding officer has concluded, or in the instance of the presiding officer vacating the Chair. The Vice Chair will complete the term of the vacating Chair and then start their annual term the following January.

Each member of the Governing Board shall have an equal vote and voice on all Board decisions. All Governing Board decisions shall be made by a majority vote of the Governing Board members, or their designees, appearing at the meeting in which the decision is made. A majority of Governing Board members, or their designees, must be present at each meeting for any actions taken to be valid.

VII. NOTICES
Notices and communications between the Participating Agencies shall be sufficiently given if sent by first-class mail, e-mail, personal delivery, or facsimile transmission, to the Chief of Police of the Participating Agencies. The Chair shall provide no less than forty- eight (48) hours’ notice of all meetings to all members of the Governing Board; provided, however, that in emergency situations, the Chair may conduct a telephonic meeting or a poll of individual Governing Board members to resolve any issues related to such emergency.

VIII.SWAT TEAM COMMAND STRUCTURE
a. Personnel and Selection. The Regional SWAT Team shall consist of employees from the Participating Agencies assigned as tactical officers, tactical supervisors and commanders, crisis negotiators, and support personnel. The Regional SWAT Team configuration may be comprised of as many sub-teams or reserve teams as needed for a particular incident. The appointment of the Regional SWAT Commander and Tactical Commander(s) will be made by the Governing Board.
b. Incident Commander. The Participating Agency where an incident occurs shall be in overall command and control of the incident and shall designate an Incident Commander from their command level.
c. SWAT Commander. The Regional SWAT Commander will serve as part of the Incident Command staff in all jurisdictions and will directly oversee the Regional SWAT Team tactical command and the operational control of the Regional SWAT Team. The Regional SWAT Commander and the Tactical Commander are responsible for the actual deployment of the Regional SWAT Team, tactical decision making and tactical resolution of the incident, with approval of the Incident Commander. d. Command and Control of Staff. While engaging in any Regional SWAT Team activity, it is understood that the collaborative effort of the Regional SWAT Team entails respect for the established chain of command within the team. However, it is imperative to maintain the integrity of personnel within the respective city jurisdiction where the SWAT Council Agenda 6-18-2024 9.C-8
Attachment 2
Packet Page 27

activity is happening. Therefore, jurisdictional control over personnel, outside of the Regional SWAT Team, including peace officers, civilian employees, community service officers, or volunteers, shall remain under the authority of the City Incident Commander or their designated representative and in Unified Command with the Regional SWAT Team. This ensures seamless coordination between the Regional SWAT Team and the Incident Commander, facilitating efficient operations.

IX. REQUESTS FOR SWAT TEAM ACTIVATION
To request Regional SWAT Team activation, the Participating Agency command staff shall contact the San Luis Obispo Police Department Dispatch Center and request to speak to the Regional SWAT Team Commander. Should the Regional SWAT Team Commander be unavailable, the request will then be made to the Tactical Commander, or if unavailable, finally to the Assistant Tactical Commander(s). When it is agreed that activation will occur, the San Luis Obispo Police Department Dispatch Center will begin the call-out procedures starting with the Regional SWAT Team leadership. If contact cannot be made with the Regional SWAT Team Commander, Tactical Commander, or Assistant Tactical Commander(s) then there will be no call-out of the Regional SWAT Team.

X. PARTICIPATING AGENCY RESPONSIBILITIES
a.Participating Agency Staffing. The Participating Agencies will assign and maintain personnel for the Regional SWAT Team sufficient to provide appropriate joint coverage for critical incidents in any of the Participating Agencies’ jurisdictions, but no fewer than one sworn peace officer, assigned and trained as a SWAT Team Operator. Each Participating Agency will respond to requests for Regional SWAT Team services in all participating jurisdictions as promptly and fully as practical, based on established response criteria and so long as the Participating Agency is in good standing. Good standing means the Participating Agency has met their financial and personnel obligations to the Regional SWAT Team and that participating team members have attended mandatory training and are properly equipped. Participating Agencies not in good standing may petition the Governing Board for a majority vote for consideration of a temporary financial offset to maintain Regional SWAT Team services in the amount of $12,000 annually or $1000 monthly (prorated) until the Participating Agency is able to meet the minimum personnel contribution. The Chiefs of each Participating Agency may accept or decline the services of the Regional SWAT Team or may withdraw their employees from any Regional SWAT Team response for any legitimate reason. i.Public Information and Media Requests. Any release of public information in response to a public information request will be made in compliance with the California Public Records Act (CPRA). Each agency will be responsible for responding or coordinating a response to CPRA requests they receive. Information in possession of one agency may not necessarily be in the possession of the other agency, making it necessary Council Agenda 6-18-2024 9.C-9
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for each to be responsible for requests received by said agency. The law enforcement agency having primary jurisdiction over the location to which the Regional SWAT Team responds during any specific critical incident or other event will be responsible for overall media relations for the duration of that event, including providing a Public Information Officer / Spokesperson at the scene of the incident if necessary; although that agency may request assistance of personnel from another Participating Agency for the purpose of media relations if needed.
ii.Detective and Investigative Support. The agency of primary jurisdiction in which the SWAT incident is occurring, will provide at least one (1) sworn peace officer assigned to Criminal Investigations or comparable position with like responsibilities to serve as an investigative resource in procuring search and/or arrest warrants, evaluating criminal charges, and when necessary, liaising with command and/or and the District Attorney’s Office on criminal charges.
iii.Personnel Qualifications. The Governing Board shall establish uniform minimum qualifications and appropriate selection processes for Regional SWAT Team members, including the SWAT Commander and Tactical Commander positions. Each Participating Agency may establish additional minimum qualifications for their personnel to be considered for the Regional SWAT Team.
b.Policies, Procedures, Guidelines and Regulations. The Participating Agencies agree that their employees will adhere to the policies, procedures, guidelines, and regulations of the Regional SWAT Team. Personnel assigned to the Regional SWAT Team shall be deemed to be continuing under the employment of their respective agency and shall have the same powers, duties, privileges, responsibilities, and immunities as are conferred upon them as Peace Officers and Support Staff employees in their own jurisdiction. Actions taken by individual personnel from the Participating Agencies shall be subject to the policies and procedures of their respective agency, to include the appropriate Use of Force policies. In the event any personnel from a Participating Agency should be ordered by the agency of jurisdiction's incident commander or SWAT command personnel to engage in an action, or refrain from engaging in an action, that the Participating Agency's personnel believes would result in violation of their agency's policies and procedures, this fact shall immediately be brought to the attention of the incident commander or the SWAT command personnel unless such notification risks immediate loss of life or damage to property. Should the incident commander or the SWAT command personnel order the Participating Agency personnel to engage in such action, or to refrain from engaging in an action, notwithstanding such notification, the agency of jurisdiction shall hold harmless, defend and indemnify the Participating Agency and its officials, employees and agents against any and all claims arising out of such action or failure to act..

Council Agenda 6-18-2024 9.C-10
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c. AB 481 Reporting. In compliance with AB 481, codified in Government Code sections 7070 through 7075, all Participating Agencies shall list the Regional SWAT Team’s potential use of “military equipment” in their jurisdiction during their annual reporting to their respective governing body. Each Participating Agency should also report the use and replacement of the military equipment used by their respective members. d. Administrative Investigations. Any administrative investigation of a Regional SWAT Team member shall be conducted by the Participating Agency employing the Regional SWAT Team member. Any administrative action resulting from such an investigation shall be at the discretion of the Regional SWAT Team member’s employing agency.

Investigatory findings which may impact the fitness for duty of a Regional SWAT Team member will be promptly reported to the Governing Board consistent with the Peace Officer’s Procedural Bill of Rights and Penal Code 832.7. The Participating Agency shall always retain the discretion to remove the member from the Regional SWAT Team.

XI. BUDGET, EQUIPMENT, AND TRAINING
a.Participating Agency Budget. Each Participating Agency shall financially contribute annually for consumable Regional SWAT Team supplies, training and equipment used during a Regional SWAT Team training or deployments.
i.The Governing Board may appoint the finance department of a municipal Participating Agency (City) to manage the finances of the Regional SWAT Team. Before appointing the finance department of a particular City, the Governing Board shall consult with the finance department and obtain its approval. The duty of managing the finances for the Regional SWAT Team may be rotated to other municipal Participating Agencies at the discretion of the Governing Board. A budget report should be made available at the request of the Governing Board for annual review. It is recommended that each Participating Agency maintain an independent budget tracking system to track funds expended by its participating Regional SWAT Team members.
ii.As required by this agreement, the Participating Agencies acknowledge and agree that funding under this MOU will be made from funds available to the Participating Agencies. Funding for the participation in, and expenditures paid or incurred for the execution of, this MOU have been made, or will be made in successive years, as provided, and approved through the respective annual budgets approved by the Participating Agencies governing bodies or at the Agency Head’s discretion, as applicable to each respective Participating Agency’s own policies and procedures.
iii.Each Participating Agency shall deposit an annual contribution of five thousand dollars ($5,000.00) to the Regional SWAT Team account, Council Agenda 6-18-2024 9.C-11
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no later than September 1st of each year of the MOU. The City whose finance department has agreed to act as the financial manager for the Regional SWAT Team and appointed to this role by the Governing Board shall receive an annual administrative fee as set by the Governing Board and agreed upon by the financial manager City. When applicable, the financial manager City will collect the administrative fee as of September 1st of each year or after the last city has paid their annual contribution, whichever occurs later. Invoicing will occur no later than August 1st of each year of the MOU, with net 30 days to deposit funds. Financial reporting and expenditures against the Regional SWAT Team account will be in accordance with policies established by the Regional SWAT Team Governing Board.
b. Personnel Costs. Participating Agencies will be responsible for all personnel costs and obligations associated with the staff members they assign to the Regional SWAT Team, including costs associated with salary and benefits, overtime, training, and workers’ compensation. Each Participating Agency will be responsible for their respective personnel costs during each Regional SWAT Team activation, scheduled training, briefings and team meetings.
c. Equipment. Each Participating Agency will be responsible for the costs of all necessary individual tactical equipment and weapon(s) issued to the Regional SWAT Team members from that Participating Agency for use during Regional SWAT Team training and deployment.
d. Joint Capital Expenditures. The Governing Board must approve all joint capital expenditures for the Regional SWAT Team.
e. Participation in Training. Participating Agencies agree that Regional SWAT Team abilities are highly perishable and specialized. For this reason, each Participating Agency will attempt to accommodate the team members in attending the training to the best of that agency’s ability. Routine failure to attend scheduled training may result in a Participating Agency’s team member being removed or suspended from the Regional SWAT Team.

XII.LIABILITY, HOLD HARMLESS, AND INDEMNIFICATION
a.Each Participating Agency is an independent entity, and this MOU does not create a separate legal entity. Each Participating Agency shall, always, remain an independent entity solely responsible for all acts of its employees or agents, including any negligent acts or omissions.
b.Each Participating Agency shall consider any request and deployment of the Regional SWAT Team a request for assistance by the requesting law enforcement agency. It is the intent of the Participating Agencies to provide services of the Regional Council Agenda 6-18-2024 9.C-12
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SWAT Team without the threat of being subject to liability to one another and to fully cooperate in the defense of any claims or lawsuits arising out of or connected with the Regional SWAT Team actions that are brought against the jurisdictions. c.Each Participating Agency that assigns employees to the Regional SWAT Team pursuant to this MOU or deploys personnel with the Regional SWAT Team for limited or special purposes shall retain full financial responsibility for its own employees, for all vehicles and other equipment owned, leased, or used by its own employees, and for any injury or liability claims, including workers’ compensation claims, made by its own employees. Each Participating Agency shall defend, indemnify and hold harmless each and every other Participating Agency and their officers and employees from and against any and all liability, losses, claims or damages whatsoever, resulting from the acts or omissions of the indemnifying Participating Agency or its officers or employees related to participation on the Regional SWAT Team or from any defects in vehicles or other equipment owned or leased by the indemnifying Participating Agency and used by the Regional SWAT Team.
d.In the event of concurrent or shared negligence of a City, its officer and/or employees, and any other party to this MOU, its officers, employees, and/or agents then the liability for any and all claims for injuries or damages to persons and/or property which arise out of any incident or event in which a party has used the Regional SWAT Team under the terms and conditions of this MOU, shall be apportioned by the parties under the California doctrine of comparative negligence as established presently, or may be altered hereafter. If the parties fail to agree on the apportionment, then the apportionment shall be established by an arbitrator mutually selected by the parties to this MOU, or by the Court.
e. Insurance. Each Participating Agency shall always maintain in full force during the performance of this MOU, a policy, or policies of insurance (or self-insurance covering same) and in the minimum limits of liability as stated herein. i. Comprehensive general liability, on an “occurrence” basis, including but not limited to premises, personal injuries, products, advertising injury, and completed operations for combined single limit of not less than $1,000,000 per occurrence. If the general aggregate limit applies, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit.
ii.Comprehensive automobile liability, including but not limited to property damage, bodily injury, and personal injuries for combined single limit of not less than $1,000,000 per occurrence.
iii.Worker’s Compensation as required by law.

Council Agenda 6-18-2024 9.C-13
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XIII. MODIFICATIONS
This MOU may be modified, amended, or altered by agreement of all Participating Agencies and such alteration, amendment, or modification shall be effective when reduced to writing and approved by the Police Chiefs of the Participating Agencies.

XIV. RECORDS RETENTION
Each Participating Agency shall maintain employee training records related to their team members assigned to the Regional SWAT Team. The Regional SWAT Team SWAT Commander will be responsible for ensuring the training records for Regional SWAT Team in accordance with the Regional SWAT Team Policy Manual.

XV.IMPLEMENTATION GUIDELINES
The Chiefs of the Participating Agencies shall jointly promulgate this MOU, as approved by their Participating Agency Attorney as to form.

XVI. SEVERABILITY
If any part, paragraph, section, or provision of this MOU is held to be invalid by any court of competent jurisdiction, such adjudication shall not affect the validity of any remaining section, part, or provision of this MOU.

XVII. WAIVER
Any waiver of any terms and conditions hereof must be in writing and signed by the Participating Agencies hereto. A waiver of any of the terms and conditions hereof shall not be construed as a waiver of any other terms or conditions in this MOU.

IN WITNESS WHEREOF, this MOU is executed by the following agencies:

By signing below, the signor certifies that they have the authority to sign this MOU on behalf of their Participating Agency, and the Participating Agency agrees to the terms of this MOU.
________________________________ _______________________________ Michael Martinez, Date Jim Munro, Date
Chief of Police Chief of Police
City of Arroyo Grande City of Grover Beach
Council Agenda 6-18-2024 9.C-14
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________________________________ _______________________________ Amy Watkins Date Damian Nord Date
Chief of Police Chief of Police
City of Morro Bay City of Paso Robles
________________________________ _______________________________ Jeff Smith Date Rick Scott Date
Chief of Police Chief of Police
City of Pismo Beach City of San Luis Obispo
_______________________________ _______________________________ George Hughes Date Dan Falat Date
Chief of Police Superintendent
California Polytechnic State University State of California Police Department Department of Parks and Recreation
Council Agenda 6-18-2024 9.C-15
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Participating Agencies
San Luis Obispo County Regional Special Weapons and Tactics Team (Regional SWAT)
As of March 1, 2024
City of Arroyo Grande Police Department
City of Grover Beach Police Department
City of Morro Bay Police Department
City of Paso Robles Police Department
City of Pismo Beach Police Department
City of San Luis Obispo Police Department
California Polytechnic State University Police Department California State Parks
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #9.D
Meeting Date: June 18, 2024
TITLE:

Adoption (Second Reading) of an Ordinance Extending And Modifying A Sales And Use Tax
RECOMMENDATION:

DISCUSSION:

On June 4, 2024, the City Council adopted a resolution ordering the placement of a measure on the November 5, 2024 General Election ballot that, if approved by the voters, will extend and modify the City’s “Measure I” transactions and use tax (sales tax), which was approved by the voters in 2014. The 2024 measure will be known as “Measure F.” Because the City will contract with California Department of Tax and Fee Administration for the administration of this tax if the measure passes, the City has agreed to some stipulations from the state, including that the City Council introduce and adopt the ordinance that would ultimately enact the tax, although such action is not required by law.

On June 4, 2024, concurrent with the placement of this measure on the ballot, the City Council introduced the subject ordinance (Attachment 1) without modification, and it is now being returned for adoption.

The staff report for the June 4, 2024 agenda item, which includes background and analysis, is provided as Attachment 2.

Conclusion and Recommendation
Staff recommends that the Council adopt an ordinance (Attachment 1) that will modify and extend the City’s “Measure I” sales tax, if approved by the voters. If the Council acts to adopt the ordinance at this time, whether the ordinance becomes effective will depend on the outcome of the November 5, 2024 election. If “Measure F” is approved by a majority of the electors voting on the issue at the November 5, 2024 general election, pursuant to Elections Code Section 9217, the ordinance will become effective ten days after the City Council accepts the certified results of the election.

FISCAL IMPACT:

As outlined in the staff report for the introduction of this ordinance (Attachment 2).

ATTACHMENTS:

1. Ordinance as introduced

2. June 4, 2024 staff report (with ordinance attachment) Council Agenda 6-18-2024 9.D-1
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Submitted by: Jorge Garcia, City Manager
City Manager Approval:

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MEASURE F-24
ORDINANCE NO. O-2024-XXX

AN ORDINANCE OF THE PEOPLE OF THE CITY OF PISMO BEACH, CALIFORNIA AMENDING TITLE 3, CHAPTER 3.22 OF THE PISMO BEACH MUNICIPAL CODE

EXTENDING AND MODIFYING A TRANSACTIONS AND USE TAX TO BE

ADMINISTERED BY THE CALIFORNIA DEPARTMENT OF TAX AND FEE

ADMINISTRATION
The People of the City of Pismo Beach, California do ordain as follows:

SECTION 1. FINDINGS.

A.One of the primary roles of City government is to provide vital public services such as fixing potholes, keeping streets, sidewalks, infrastructure, parks, and public facilities safe, clean, and well-maintained, providing police/fire protection, 9-1-1 emergency services, addressing homelessness, and many other essential city services.

B.The City's revenue for such vital services comes from property tax, sales tax, hotel tax, and other such revenues.

C.Prior to 2008, budget cuts forced the City to spend less on street and sidewalk maintenance, pothole repair, park maintenance and replacement of 20- to 30-year- old storm drains than was necessary to adequately maintain this infrastructure in fully functional working condition. As a result, many City streets were in poor condition and inefficient storm drainage could have resulted in flooding.

D.In 2008, the voters of Pismo Beach approved a transactions and use tax in the amount of one-half of one percent, the funds from which have been used entirely for the improvement of City infrastructure, with none of the additional funds being used for administrative or other soft costs. In 2014, the voters of Pismo Beach approved the extension of the transactions and use tax. The City has used this money to pave streets, improve drainage and other City infrastructure.

E.The cost to continue to provide these vital services at current levels of service continues to escalate and exceeds the amount of funds and revenues generated from all other sources of income available for such purpose. The extension of the transactions and use tax, originally approved by the voters in 2008 and extended by the voters in 2014, and modification of the tax rate to one percent, is necessary to continue to maintain the public good, welfare, and safety.

Attachment 1
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F.Without the extension of the transactions and use tax, the City will have to either generate additional revenue to continue to maintain existing City infrastructure or begin making cuts to other essential City services.

G.A local finance measure gives Pismo Beach residents local control. More than 63% of taxable purchases in the City are made by visitors to the City. Every penny generated by the measure stays in Pismo Beach to be used for the needs and services of our residents and the City.

H.The extension and modification of such a tax will allow the City to continue to provide a high level of essential services to residents, businesses and visitors throughout the City.

I.All funds from a locally approved transactions and use tax would stay in Pismo Beach to benefit local residents and could not be taken away by the State.

J.A local measure will include a twelve-year sunset clause, after which the tax will cease to be collected unless reauthorized by the voters.

SECTION 2. AMENDMENT OF CODE.

Pismo Beach Municipal Code Title 3 is hereby amended to revise Chapter 3.22 to read in its entirety as follows:

CHAPTER 3.22 TRANSACTIONS AND USE TAX

3.22.010 Title.

This ordinance shall be known as the “Transactions and Use Tax Ordinance of the City of Pismo Beach”. The City of Pismo Beach hereinafter shall be called “City.” This ordinance shall be applicable in the incorporated territory of the City.

3.22.020 Purpose.

This ordinance is adopted to extend and modify the transactions and use tax initially approved by the voters in 2008 and extended by the voters in 2014, to achieve the following, among other purposes, and the provisions hereof shall be interpreted in order to accomplish those purposes:

A.To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

Attachment 1
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B.To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C.To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the State Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D.To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

3.22.030 Operative date.

As to adoption of the transactions and use tax pursuant to Ordinance O-2008-002 approved by the voters in November 2008, “Operative Date” means the first day of the first calendar quarter commencing more than one hundred ten (110) days after the adoption of Ordinance O-2008-002.

As to the extension of the transactions and use tax pursuant to Ordinance O-2014- 008 approved by the voters in November 2014, “Operative Date” means the first day of the first calendar quarter commencing more than one hundred ten (110) days after the adoption of Ordinance O-2014-008.

Otherwise, “Operative Date” means the first day of the first calendar quarter commencing more than one hundred ten (110) days after the adoption of this ordinance, the date of adoption being set forth below.

3.22.040 Contract with state.

Prior to the operative date, the City shall contract with the State Department of Tax and Fee Administration to perform all functions incident to the administration and operation of this transactions and use tax ordinance; provided, that if the City shall not have contracted with the State Department of Tax and Fee Administration prior to the operative date, it shall nevertheless so contract and in such a case the operative date shall be the first day of the first calendar quarter following the execution of such a contract.

Attachment 1
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3.22.050 Transactions tax rate.

Commencing on the Operative Date under Ordinances O-2008-002 and O-2014- 008, for the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one half of one percent (0.5%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in the City on and after the operative date of this ordinance. Commencing on the Operative Date, for the privilege of selling tangible personal property at retail, a tax is hereby imposed upon all retailers in the incorporated territory of the City at the rate of one percent (1%) of the gross receipts of any retailer from the sale of all tangible personal property sold at retail in the City on and after the operative date of this ordinance.

3.22.060 Place of sale.

For the purposes of this ordinance, all retail sales are consummated at the place of business of the retailer unless the tangible personal property sold is delivered by the retailer or his agent to an out-of-state destination or to a common carrier for delivery to an out-of-state destination. The gross receipts from such sales shall include delivery charges, when such charges are subject to the state sales and use tax, regardless of the place to which delivery is made. In the event a retailer has no permanent place of business in the State or has more than one place of business, the place or places at which the retail sales are consummated shall be determined under rules and regulations to be prescribed and adopted by the State Department of Tax and Fee Administration.

3.22.070 Use tax rate.

Commencing on the Operative Date under Ordinances O-2008-002 and O-2014- 008, an excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one half of one percent (0.5%) of the sales price of the property. Commencing on the Operative Date, an excise tax is hereby imposed on the storage, use or other consumption in the City of tangible personal property purchased from any retailer on and after the operative date of this ordinance for storage, use or other consumption in said territory at the rate of one percent (1%) of the sales price of the property. The sales price shall include delivery charges when such charges are subject to state sales or use tax regardless of the place to which delivery is made.

3.22.080 Adoption of provisions of state law.

Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Attachment 1
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Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

3.22.090 Limitations on adoption of state law and collection of use taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A.Wherever the State of California is named or referred to as the taxing agency, the name City of Pismo Beach shall be substituted therefor.

However, the substitution shall not be made when:

1.The word “State” is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Department of Tax and Fee Administration, State Treasury, or the Constitution of the State of California;

2.The result of that substitution would require action to be taken by or against Pismo Beach or any agency, officer, or employee thereof rather than by or against the State Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this ordinance.

3.In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a.Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;
b.Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4.In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B.The word “City” shall be substituted for the word “State” in the phrase “retailer engaged in business in this State” in Section 6203 and in the definition of that phrase in Section 6203.

Attachment 1
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3.22.100 Permit not required.

If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

3.22.110 Exemptions and exclusions.

A.There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley- Burns Uniform Local Sales and Use Tax Law or the amount of any state- administered transactions or use tax.

B.There are exempted from the computation of the amount of transactions tax the gross receipts from:

1.Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2.Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:
a.With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and
b.With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

Attachment 1
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3.The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4.A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5.For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C.There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1.The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2.Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3.If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4.If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5.For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of Attachment 1
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time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6.Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7.“A retailer engaged in business in the City” shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D.Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

3.22.120 Amendments.

All amendments subsequent to the effective date of this ordinance to Part 1 of Division 2 of the Revenue and Taxation Code relating to sales and use taxes and which are not inconsistent with Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, and all amendments to Part 1.6 and Part 1.7 of Division 2 of the Revenue and Taxation Code, shall automatically become a part of this ordinance, provided however, that no such amendment shall operate so as to affect the rate of tax imposed by this ordinance. The City Council may make amendments to this chapter that do not affect the rate or duration of the tax imposed without approval of the voters of the City.

Attachment 1
Council Agenda 6-18-2024 9.D-10
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3.22.130 Enjoining collection forbidden.

No injunction or writ of mandate or other legal or equitable process shall issue in any suit, action or proceeding in any court against the State or the City, or against any officer of the State or the City, to prevent or enjoin the collection under this ordinance, or Part 1.6 of Division 2 of the Revenue and Taxation Code, of any tax or any amount of tax required to be collected.

3.22.140 Semi-annual report to council.

The City Manager shall report to Council not less frequently than semi-annually on the amount of tax collected under this ordinance, and any expenditures made, or proposed to be made with such collections.

SECTION 3. USE OF TAX PROCEEDS.

All proceeds of the tax levied and imposed hereunder shall be accounted for and paid into the City of Pismo Beach General Fund, and may be used for any lawful purpose as designated by the City Council.

SECTION 4. SEVERABILITY.

If any provision of this ordinance or the application thereof to any person or circumstance is held invalid, the remainder of the ordinance and the application of such provision to other persons or circumstances shall not be affected thereby.

SECTION 5. STATUTORY AUTHORITY FOR TAX.

This ordinance is adopted pursuant to Revenue and Taxation Code section 7285.9.

SECTION 6. ELECTION REQUIRED.

This ordinance shall not become operative unless and until a majority of the electors voting on this measure vote to approve the imposition of the tax at the general municipal election to be held on November 5, 2024.

SECTION 7. EFFECTIVE DATE AND TERMINATION DATE.

If this ordinance is approved by a majority of the electors voting on the issue at the November 5, 2024 general municipal election, pursuant to Elections Code Section 9217, the ordinance shall be become effective ten (10) days after the City Council accepts the certified results of the election. Should this ordinance be approved by a majority of electors at the November 5, 2024 election, it shall be repealed without further action of the City Council or voters twelve (12) years after the Operative Date, after which date the tax imposed by this ordinance shall not be collected.

Attachment 1
Council Agenda 6-18-2024 9.D-11
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INTRODUCED at a regular meeting of the City Council held this 4th day of June, 2024, on motion of Mayor Pro Tem Reiss, seconded by Council Member Guthrie, and on the following roll call vote, to wit:

AYES: 4 Reiss, Guthrie, Inman, Waage
NOES: 1 Newton
ABSENT: 0
ABSTAIN: 0
RECUSED: 0
Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
ADOPTED at a regular meeting of the City Council held this th day of , 2024, on motion of Council Member , seconded by Council Member , and on the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
APPROVED AS TO FORM:
______________________________
David M. Fleishman, City Attorney
PASSED AND ADOPTED by the People of the City of Pismo Beach this 5th day of November 2024.

Attest:
________________________
Erica Inderlied, City Clerk
Attachment 1
Council Agenda 6-18-2024 9.D-12
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #12.B
Meeting Date: June 4, 2024
TITLE:

Extending And Modifying A Sales And Use Tax
RECOMMENDATION:
Adopt a Resolution ordering the submission to the qualified electors of the City a measure relating to the extension and modification of a local transaction and use tax at the General Election to be held on Tuesday, November 5, 2024, and directing the City Attorney to prepare an impartial analysis thereof. Introduce an Ordinance amending Title 3, Chapter 3.22, of the Pismo Beach Municipal Code extending and modifying a transactions and use tax to be administered by the California Department of Tax and Fee Administration. Adopt a Resolution setting priorities for filing written arguments regarding a City measure submitted at the November 5, 2024, General Municipal Election Adopt a Resolution providing for the filing of rebuttal arguments for a City measure submitted at the November 5, 2024, General Municipal election.

EXECUTIVE SUMMARY:

At the June 4, 2014, general election, Pismo Beach residents voted to pass Measure I, the continuation of a previously approved half-cent sales and use tax (sales tax) measure that was first approved in 2008. The sales tax was set at 7.75% for a period of twelve (12) years, and was a general tax, with revenue going to the City’s general fund for any governmental purpose. It was approved by the following result:

Yes:No:
2,343 Votes, 71.22% 947 Votes, 28.78%
The sales tax sunsets (expires) on March 31, 2027, and if the City wants to continue to implement its proactive street paving program while simultaneously constructing infrastructure improvement projects, the sales tax must be renewed prior to the expiration date. The sales tax revenues have been invested in meaningful neighborhood and quality of life projects and have been well received. As a result, staff is recommending that the City Council place a measure on the ballot to extend the existing sales tax and setting the rate at one-cent, an increase of an additional half-cent. If the proposed ballot measure is approved by the voters, the new sales tax rate would be set at 8.25% and would expire on March 31, 2027.

Council Agenda 6-4-2024 12.B-1
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-13
Attachment 2
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BACKGROUND
What is a Sales and Use Tax?
Sales tax is imposed on retail transactions for tangible personal property. The use tax is imposed on consumers of tangible personal property that is used, consumed, or stored.

Sales tax is not applicable to several general categories including:

1. Necessities of life (food products unless heated, health related service, prescription medicine, housing);

2. General public benefit (alternate energy, non-profit, religious, and educational organizations);

3.Industry benefit (motor vehicle fuel, manufactured housing and buildings, entertainment industry, etc.);

4. Exclusions by definition (admission charges, sales price/gross receipts); and

5. Other exemptions, exclusions, or credits (full list of exemptions is available at https://cdtfa.ca.gov/formspubs/pub61.pdf .

A general-purpose tax measure requires approval from the majority of voters (50% plus 1) to implement such a tax. The sales and use tax is a common method used by most cities in California to generate additional revenue for city programs and services.

The City receives about $2 million per year from the current sales tax. Visitors pay approximately 63% of this tax, generating the bulk of the sales tax based off goods purchased or restaurants visited while they are shopping in Pismo Beach. As a result, residents pay only 37% of the total proceeds collected, though residents receive 100% of the benefit through improved neighborhood infrastructure projects; which improves safety, results in cost savings for ongoing maintenance, and enhances quality of life by ensuring streets, parks, and sidewalks look good and are well maintained.

An additional benefit of the sales tax for infrastructure projects is both the lowered burden to the General Fund to support these projects and the ability to expedite repairs and maintain the City’s infrastructure resulting in a higher level of service and faster delivery schedule.

Measure I Accomplishments
Street Paving: To date, approximately 14.5 miles of street paving has been completed, with another one and a half miles scheduled for completion by July 2026. Measure I revenues contributed $8.3 million towards these street paving projects. Funding requirements for street maintenance over the next 10 years is projected to be $14 million.

Shell Beach Streetscape: The Shell Beach Streetscape project transformed the heart of Shell Beach into a vibrant, pedestrian-friendly area, including the enhancement of sidewalks, landscaping, lighting, and public spaces to create a more inviting and accessible environment for residents and visitors alike. Measure I revenues contributed $2.6 million towards the Shell Beach Streetscape project.

Council Agenda 6-4-2024 12.B-2
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-14
Attachment 2
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Other Projects: Other projects completed or scheduled for completion include:

x Storm drain maintenance, repair and improvements, and completion of storm drain studies that will determine where and what type of storm drains need to be constructed in areas where there are drainage issues. Measure I revenues contributed approximately $1 million towards various drainage projects; x Continued bluff protection and improved beach access, that included the Ocean Boulevard Improvements project. Measure I revenues contributed $1.5 million towards the Ocean Boulevard Improvements project;
x Continued maintenance and rehabilitation of the City’s Pier; and x Reconstruction of the Bello Veterans’ Hall Parking Lot.

The resource needs for infrastructure projects continue to be a critical need. Should the sales tax be continued and set at one-cent by the voters, approximately $4 million would be generated annually. These funds would be available for use by the city for any governmental purpose, such as:
x Continuous improvement to our many neighborhood parks; x Construction of new storm drains in areas of the City that have drainage issues; x Preserving essentially emergency services, including 911, police and fire response; and
x Improving City facilities, including two veterans’ halls, and replacing the Addie Street public restrooms.

Neighboring Cities’ Sales Tax Rates

Table 1 below shows the current sales tax rates for nearby cities.

Table 1. Neighboring Cities’ Sales Tax Rates

City Sales Tax
Rate
San Luis Obispo 8.75%
Grover Beach 8.75%
Morro Bay 8.75%
Paso Robles* 8.75%
Santa Maria 8.75%
Atascadero* 8.75%
Arroyo Grande** 7.75%
Pismo Beach 7.75%
*Considering extending their sales tax
**Arroyo Grande is considering a 1% increase to their existing rate

If the proposed ballot measure is approved, the City’s new sales tax rate would be set at

8.25%, which would be the lowest or second-lowest in the County (dependent on the outcome of the Arroyo Grande election). When compared to other similar “destination” Council Agenda 6-4-2024 12.B-3
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-15
Attachment 2
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communities, such as Santa Barbara (8.75%), Carpinteria (9.00%), or Monterey (9.25%), Pismo Beach would continue to be a value and competitive.

Sunset Date
The current sales tax will sunset March 31, 2027. The expiration provision on the existing tax is widely supported by residents. The provision is popular because it encourages the City to work with residents to prioritize and be specific about projects over a set period of time, and it provides voters with additional security that funds will be invested well since they ultimately will get to continue to vote on whether the tax remains or not. To maintain public trust and continue the tax with high levels of support, staff is recommending a expiration that is 12 years from the operative date of the tax.

In addition, although the Elections Code does not mandate that the City Council actually adopt the ordinance extending the transactions and use tax that will be submitted to the voters, the California Department of Tax and Fee Administration has requested that the City Council adopt the ordinance with a first and second reading, in addition to adopting the resolution placing the measure on the ballot. Therefore, if introduced, the ordinance will return to the City Council at its next meeting for second reading and adoption. The ordinance will not be operative unless it is approved by the voters.

Impartial Analysis
The Elections Code (Code) sets forth that, whenever any City measure qualifies to be placed on a ballot or at the direction of the City Council, the City Council may direct the Elections Official to transmit a copy of the measure to the City Attorney for preparation of the impartial analysis.

If the City Council so directs, the City Attorney shall prepare an impartial analysis of the measure showing the effect of the measure on the existing law and the operation of the measure in 500 words or less. This direction is included in the resolution calling for the submission of the measure to the voters.

Arguments For and Against
For a measure that is placed on the ballot by the legislative body, any member or members of the legislative body authorized by that body, or any individual voter who is eligible to vote on the measure, or bona fide association of citizens, or any combination of voters and associations, may file a written argument for or against any City measure.

The Code further sets forth the process for receiving arguments for and against the measure. However, the Code is silent as to how to choose any or all Council Members to write arguments and rebuttals. The City Council can decide to:
1) Delegate one or two Council Members to write and submit the argument on behalf of the entire Council; or
2)Draft the argument at this meeting. Staff recommends this option.

Council Agenda 6-4-2024 12.B-4
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-16
Attachment 2
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Arguments shall not exceed 300 words in length and must be accompanied by the printed name(s) and signature(s) of the author(s) submitting it. In case any argument is signed by more than five authors, the signatures of the first five shall be printed.

If the decision is to delegate one or two Council Members to write the argument on behalf of the entire Council, the deadline to file arguments with the Elections Official for and against a measure would be Tuesday, June 18, 2024, at 5:00 p.m.

Rebuttals
The Elections Official shall give copies of the “Argument in Favor” and the “Argument Against” to the opposing authors as soon as the filing period for the “direct” arguments has closed. The rebuttal arguments shall not exceed 250 words and would be due to the Elections Official no later than Friday, June 28, 2024, at 5:00 p.m. The author, or a majority of the authors of an argument may authorize in writing any other person or persons to prepare, submit, or sign the rebuttal argument.

Conclusion and Recommendation
By placing the measure on the ballot, the City Council is seeking input from the voters of Pismo Beach on the future of the City and the type of service levels they would like to receive moving forward.

Staff recommends that the City Council:
1) Adopt a Resolution (Attachment 1) placing the Pismo Beach Essential Services Measure on the November 2024 ballot,
2) Introduce, by title only, an Ordinance (Attachment 1.A) extending and modifying the sales tax,
3) Adopt a Resolution (Attachment 2) setting the priorities for filing of written arguments and authorizing Council Member(s) to file such arguments, and 4) Adopt a Resolution (Attachment 3) providing for the filing of rebuttal arguments.

FISCAL IMPACT:

The County Clerk-Recorder’s office has estimated that the cost of adding a ballot measure to the City’s consolidated general municipal election would be approximately $4,400. The actual cost of the measure will depend upon the number of registered voters in the city, among other factors. Funds for these actual costs will be included within the City Clerk’s budget, along with the cost for the general municipal election. Staff will come back to the City Council in December 2024 to appropriate additional funds, if needed.

If the Pismo Beach Essential Services Measure is placed on the November 2024 ballot and is approved, the City could receive approximately $4.0 million in transaction sales and use tax measures effective April 1, 2025 for 12 years. If the Measure is placed on the November 2024 ballot but is not approved, the City’s existing Measure I would continue to generate $2.0 million until its expiration on March 31, 2027.

Council Agenda 6-4-2024 12.B-5
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-17
Attachment 2
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ATTACHMENTS:

1. Resolution to place the Pismo Beach Essential Services Measure on the November 2024 ballot

1.A. Exhibit A to Resolution: Ordinance extending and modifying the sales tax

2. Resolution setting priorities for filing of written arguments

3. Resolution providing for the filing of rebuttal arguments Submitted by: Jorge Garcia, City Manager
City Manager Approval:

Council Agenda 6-4-2024 12.B-6
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-18
Attachment 2
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RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA ORDERING THE SUBMISSION TO THE QUALIFIED ELECTORS OF

THE CITY A MEASURE RELATING TO THE EXTENSION AND MODIFICATION OF A

LOCAL TRANSACTION AND USE TAX AT THE GENERAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024, AND DIRECTING THE CITY ATTORNEY TO

PREPARE AN IMPARTIAL ANALYSIS THEREOF
WHEREAS, the City Council of the City of Pismo Beach has by Resolution R-2024-XXX called for a general municipal election to be held on November 5, 2024; and WHEREAS, in 2008 and 2014, the voters of the City of Pismo Beach approved an ordinance adding Chapter 3.22 of the Pismo Beach City Municipal Code, establishing a local transactions and use tax at the rate of 0.5 percent; and WHEREAS, the City Council has the authority under Elections Code Section 9222 to place on the ballot a measure for the voters of the City of Pismo Beach to extend the implementation of Chapter 3.22 of the Pismo Beach City Municipal Code; and WHEREAS, Section 2(b) of Article XIII C of the California Constitution, added by Proposition 218, effective November, 1996, requires that a measure proposing a general tax be submitted to the voters at an election consolidated with a regularly scheduled general election for members of the governing body of the local government except in cases of emergency as declared by the City Council; and WHEREAS, the City Council has by Resolution R-2024-XXX requested that the County of San Luis Obispo consent and agree to the consolidation of the general municipal election with the statewide general election; and
WHEREAS, pursuant to California Constitution Article XIII C, Section 2(b) and Elections Code Section 10201, the City has determined to submit a measure to the voters to enact an ordinance extending and modifying the rate of the transactions and use tax at the City’s next regular consolidated general municipal election.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PISMO BEACH DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

Section 1. Pursuant to Election Code Section 9222, the proposed ballot proposition attached hereto in draft ordinance form as Exhibit A, and titled “The Pismo Beach Essential Services Measure”, is hereby approved for placement on the ballot and submission to voters at the City’s regular election scheduled for November 5, 2024. The question shall be posed as follows:

Council Agenda 6-4-2024 12.B-7
Attachment 1
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-19
Attachment 2
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CITY OF PISMO BEACH
MEASURE _____
The Pismo Beach Essential Services Measure. To maintain the City of Pismo Beach’s long term financial stability and services such as fixing potholes; keeping streets, sidewalks, infrastructure, parks, and public facilities safe, clean, and well-maintained; providing police/fire protection, 9-1-1 emergency services; addressing homelessness; and for general government use, shall the City extend its Measure I sales tax and set the rate at 1¢ per dollar, providing approximately $4,000,000 annually for 12 years; requiring independent audits, with all funds used locally?
YES
NO
Section 2. City staff is directed to take all appropriate and necessary actions to cause the foregoing proposition to be placed on the ballot at the regular election of November 5, 2024.

Section 3. Pursuant to Election Code Section 9280, the City Attorney of the City of Pismo Beach is hereby directed to prepare and submit an impartial analysis explaining the effect of the measure on existing law and the operation of the measure.

Section 4. The City Clerk shall certify to the passage and adoption of this resolution, and immediately transmit a certified copy of this resolution to the San Luis Obispo County Clerk-Recorder for inclusion on the November 5, 2024, ballot.

Section 5. Pursuant to the requirements of Elections Code Section 10403 and in addition to the request previously set forth in Resolution R-2024-XXX, the Board of Supervisors of San Luis Obispo County is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election on Tuesday, November 5, 2024 for the placement of the above-referenced measure on the same ballot and under the same conditions set forth in Resolution R-2024-XXX.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 4th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Council Agenda 6-4-2024 12.B-8
Attachment 1
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-20
Attachment 2
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Approved:Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _______________________. ________________________
Erica Inderlied, City Clerk
Council Agenda 6-4-2024 12.B-9
Attachment 1
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-21
Attachment 2
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ORDINANCE NO. O-2024-XXX

AN ORDINANCE OF THE PEOPLE OF THE CITY OF PISMO BEACH, CALIFORNIA AMENDING TITLE 3, CHAPTER 3.22 OF THE PISMO BEACH MUNICIPAL CODE

EXTENDING AND MODIFYING A TRANSACTIONS AND USE TAX TO BE

ADMINISTERED BY THE CALIFORNIA DEPARTMENT OF TAX AND FEE

ADMINISTRATION
The People of the City of Pismo Beach, California do ordain as follows:

SECTION 1. FINDINGS.

A. One of the primary roles of City government is to provide vital public services such as fixing potholes, keeping streets, sidewalks, infrastructure, parks, and public facilities safe, clean, and well-maintained, providing police/fire protection, 9-1-1 emergency services, addressing homelessness, and many other essential city services.

B. The City's revenue for such vital services comes from property tax, sales tax, hotel tax, and other such revenues.

C. Prior to 2008, budget cuts forced the City to spend less on street and sidewalk maintenance, pothole repair, park maintenance and replacement of 20- to 30-year- old storm drains than was necessary to adequately maintain this infrastructure in fully functional working condition. As a result, many City streets were in poor condition and inefficient storm drainage could have resulted in flooding.

D. In 2008, the voters of Pismo Beach approved a transactions and use tax in the amount of one-half of one percent, the funds from which have been used entirely for the improvement of City infrastructure, with none of the additional funds being used for administrative or other soft costs. In 2014, the voters of Pismo Beach approved the extension of the transactions and use tax. The City has used this money to pave streets, improve drainage and other City infrastructure.

E. The cost to continue to provide these vital services at current levels of service continues to escalate and exceeds the amount of funds and revenues generated from all other sources of income available for such purpose. The extension of the transactions and use tax, originally approved by the voters in 2008 and extended by the voters in 2014, and modification of the tax rate to one percent, is necessary to continue to maintain the public good, welfare, and safety.

F. Without the extension of the transactions and use tax, the City will have to either generate additional revenue to continue to maintain existing City infrastructure or begin making cuts to other essential City services.

Council Agenda 6-4-2024 12.B-10
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-22
Attachment 2
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G. A local finance measure gives Pismo Beach residents local control. More than 63% of taxable purchases in the City are made by visitors to the City. Every penny generated by the measure stays in Pismo Beach to be used for the needs and services of our residents and the City.

H. The extension and modification of such a tax will allow the City to continue to provide a high level of essential services to residents, businesses and visitors throughout the City.

I. All funds from a locally approved transactions and use tax would stay in Pismo Beach to benefit local residents and could not be taken away by the State.

J. A local measure will include a twelve-year sunset clause, after which the tax will cease to be collected unless reauthorized by the voters.

SECTION 2. AMENDMENT OF CODE.

Pismo Beach Municipal Code Title 3 is hereby amended to revise Chapter 3.22 to read in its entirety as follows:

CHAPTER 3.22 TRANSACTIONS AND USE TAX

3.22.010 Title.

3.22.020 Purpose.

A. To impose a retail transactions and use tax in accordance with the provisions of Part 1.6 (commencing with Section 7251) of Division 2 of the Revenue and Taxation Code and Section 7285.9 of Part 1.7 of Division 2 which authorizes the City to adopt this tax ordinance which shall be operative if a majority of the electors voting on the measure vote to approve the imposition of the tax at an election called for that purpose.

B. To adopt a retail transactions and use tax ordinance that incorporates provisions identical to those of the Sales and Use Tax Law of the State of California insofar as those provisions are not inconsistent with the Council Agenda 6-4-2024 12.B-11
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-23
Attachment 2
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requirements and limitations contained in Part 1.6 of Division 2 of the Revenue and Taxation Code.

C. To adopt a retail transactions and use tax ordinance that imposes a tax and provides a measure therefore that can be administered and collected by the State Department of Tax and Fee Administration in a manner that adapts itself as fully as practicable to, and requires the least possible deviation from, the existing statutory and administrative procedures followed by the State Department of Tax and Fee Administration in administering and collecting the California State Sales and Use Taxes.

D. To adopt a retail transactions and use tax ordinance that can be administered in a manner that will be, to the greatest degree possible, consistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, minimize the cost of collecting the transactions and use taxes, and at the same time, minimize the burden of record keeping upon persons subject to taxation under the provisions of this ordinance.

3.22.030 Operative date.

3.22.040 Contract with state.

Council Agenda 6-4-2024 12.B-12
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-24
Attachment 2
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3.22.050 Transactions tax rate.

3.22.060 Place of sale.

3.22.070 Use tax rate.

3.22.080 Adoption of provisions of state law.

Except as otherwise provided in this ordinance and except insofar as they are inconsistent with the provisions of Part 1.6 of Division 2 of the Revenue and Taxation Code, all of the provisions of Part 1 (commencing with Section 6001) of Council Agenda 6-4-2024 12.B-13
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-25
Attachment 2
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Division 2 of the Revenue and Taxation Code are hereby adopted and made a part of this ordinance as though fully set forth herein.

3.22.090 Limitations on adoption of state law and collection of use taxes.

In adopting the provisions of Part 1 of Division 2 of the Revenue and Taxation Code:

A. Wherever the State of California is named or referred to as the taxing agency, the name City of Pismo Beach shall be substituted therefor.

However, the substitution shall not be made when:

1. The word “State” is used as a part of the title of the State Controller, State Treasurer, State Board of Control, State Department of Tax and Fee Administration, State Treasury, or the Constitution of the State of California;

2. The result of that substitution would require action to be taken by or against Pismo Beach or any agency, officer, or employee thereof rather than by or against the State Department of Tax and Fee Administration, in performing the functions incident to the administration or operation of this ordinance.

3. In those sections, including, but not necessarily limited to sections referring to the exterior boundaries of the State of California, where the result of the substitution would be to:
a. Provide an exemption from this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not otherwise be exempt from this tax while such sales, storage, use or other consumption remain subject to tax by the State under the provisions of Part 1 of Division 2 of the Revenue and Taxation Code, or;
b. Impose this tax with respect to certain sales, storage, use or other consumption of tangible personal property which would not be subject to tax by the state under the said provision of that code.

4. In Sections 6701, 6702 (except in the last sentence thereof), 6711, 6715, 6737, 6797 or 6828 of the Revenue and Taxation Code.

B. The word “City” shall be substituted for the word “State” in the phrase “retailer engaged in business in this State” in Section 6203 and in the definition of that phrase in Section 6203.

Council Agenda 6-4-2024 12.B-14
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-26
Attachment 2
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3.22.100 Permit not required.

If a seller's permit has been issued to a retailer under Section 6067 of the Revenue and Taxation Code, an additional transactor's permit shall not be required by this ordinance.

3.22.110 Exemptions and exclusions.

A. There shall be excluded from the measure of the transactions tax and the use tax the amount of any sales tax or use tax imposed by the State of California or by any city, city and county, or county pursuant to the Bradley- Burns Uniform Local Sales and Use Tax Law or the amount of any state- administered transactions or use tax.

B. There are exempted from the computation of the amount of transactions tax the gross receipts from:

1. Sales of tangible personal property, other than fuel or petroleum products, to operators of aircraft to be used or consumed principally outside the county in which the sale is made and directly and exclusively in the use of such aircraft as common carriers of persons or property under the authority of the laws of this State, the United States, or any foreign government.

2. Sales of property to be used outside the City which is shipped to a point outside the City, pursuant to the contract of sale, by delivery to such point by the retailer or his agent, or by delivery by the retailer to a carrier for shipment to a consignee at such point. For the purposes of this paragraph, delivery to a point outside the City shall be satisfied:
a. With respect to vehicles (other than commercial vehicles) subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, and undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code by registration to an out-of-City address and by a declaration under penalty of perjury, signed by the buyer, stating that such address is, in fact, his or her principal place of residence; and
b. With respect to commercial vehicles, by registration to a place of business out-of-City and declaration under penalty of perjury, signed by the buyer, that the vehicle will be operated from that address.

Council Agenda 6-4-2024 12.B-15
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-27
Attachment 2
Packet Page 62

3. The sale of tangible personal property if the seller is obligated to furnish the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. A lease of tangible personal property which is a continuing sale of such property, for any period of time for which the lessor is obligated to lease the property for an amount fixed by the lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, the sale or lease of tangible personal property shall be deemed not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

C. There are exempted from the use tax imposed by this ordinance, the storage, use or other consumption in this City of tangible personal property:

1. The gross receipts from the sale of which have been subject to a transactions tax under any state-administered transactions and use tax ordinance.

2. Other than fuel or petroleum products purchased by operators of aircraft and used or consumed by such operators directly and exclusively in the use of such aircraft as common carriers of persons or property for hire or compensation under a certificate of public convenience and necessity issued pursuant to the laws of this State, the United States, or any foreign government. This exemption is in addition to the exemptions provided in Sections 6366 and 6366.1 of the Revenue and Taxation Code of the State of California.

3. If the purchaser is obligated to purchase the property for a fixed price pursuant to a contract entered into prior to the operative date of this ordinance.

4. If the possession of, or the exercise of any right or power over, the tangible personal property arises under a lease which is a continuing purchase of such property for any period of time for which the lessee is obligated to lease the property for an amount fixed by a lease prior to the operative date of this ordinance.

5. For the purposes of subparagraphs (3) and (4) of this section, storage, use, or other consumption, or possession of, or exercise of any right or power over, tangible personal property shall be deemed Council Agenda 6-4-2024 12.B-16
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-28
Attachment 2
Packet Page 63

not to be obligated pursuant to a contract or lease for any period of time for which any party to the contract or lease has the unconditional right to terminate the contract or lease upon notice, whether or not such right is exercised.

6. Except as provided in subparagraph (7), a retailer engaged in business in the City shall not be required to collect use tax from the purchaser of tangible personal property, unless the retailer ships or delivers the property into the City or participates within the City in making the sale of the property, including, but not limited to, soliciting or receiving the order, either directly or indirectly, at a place of business of the retailer in the City or through any representative, agent, canvasser, solicitor, subsidiary, or person in the City under the authority of the retailer.

7. “A retailer engaged in business in the City” shall also include any retailer of any of the following: vehicles subject to registration pursuant to Chapter 1 (commencing with Section 4000) of Division 3 of the Vehicle Code, aircraft licensed in compliance with Section 21411 of the Public Utilities Code, or undocumented vessels registered under Division 3.5 (commencing with Section 9840) of the Vehicle Code. That retailer shall be required to collect use tax from any purchaser who registers or licenses the vehicle, vessel, or aircraft at an address in the City.

D. Any person subject to use tax under this ordinance may credit against that tax any transactions tax or reimbursement for transactions tax paid to a district imposing, or retailer liable for a transactions tax pursuant to Part 1.6 of Division 2 of the Revenue and Taxation Code with respect to the sale to the person of the property the storage, use or other consumption of which is subject to the use tax.

3.22.120 Amendments.

Council Agenda 6-4-2024 12.B-17
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-29
Attachment 2
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3.22.130 Enjoining collection forbidden.

3.22.140 Semi-annual report to council.

SECTION 3. USE OF TAX PROCEEDS.

SECTION 4. SEVERABILITY.

SECTION 5. STATUTORY AUTHORITY FOR TAX.

This ordinance is adopted pursuant to Revenue and Taxation Code section 7285.9.

SECTION 6. ELECTION REQUIRED.

SECTION 7. EFFECTIVE DATE AND TERMINATION DATE.

Council Agenda 6-4-2024 12.B-18
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-30
Attachment 2
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INTRODUCED at a regular meeting of the City Council held this 4th day of June, 2024, on motion of Council Member , seconded by Council Member , and on the following roll call vote, to wit:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
ADOPTED at a regular meeting of the City Council held this th day of , 2024, on motion of Council Member , seconded by Council Member , and on the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Attest:
________________________
Erica Inderlied, City Clerk
Council Agenda 6-4-2024 12.B-19
Attachment 1.A
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-31
Attachment 2
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RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA SETTING PRIORITIES FOR FILING WRITTEN ARGUMENTS REGARDING A CITY MEASURE SUBMITTED AT THE NOVEMBER 5, 2024,

GENERAL MUNICIPAL ELECTION
WHEREAS, a General Municipal Election is to be held in the City of Pismo Beach, on November 5, 2024, at which the City Council has ordered the submission of the following measure to the voters:

CITY OF PISMO BEACH
MEASURE _____
The Pismo Beach Essential Services Measure. To maintain the City of Pismo Beach’s long term financial stability and services such as fixing potholes; keeping streets, sidewalks, infrastructure, parks, and public facilities safe, clean, and well-maintained; providing police/fire protection, 9-1-1 emergency services; addressing homelessness; and for general government use, shall the City extend its Measure I sales tax and set the rate at 1¢ per dollar, providing approximately $4,000,000 annually for 12 years; requiring independent audits, with all funds used locally?
YES
NO
WHEREAS, under Elections Code Section 9282, the City Council, or a member or members of the City Council authorized by the City Council, or an individual voter who is eligible to vote on the measure, or bona fide association of citizens, or a combination of voters and associations, may file a written argument for or against the measure set forth above.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PISMO BEACH DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:
[ALTERNATIVE 1]
SECTION 1. That the City Council authorizes the following member(s) of its body _____________________________ ______________________________ Council Member in Favor Council Member Against _____________________________ ______________________________ Council Member in Favor Council Member Against Council Agenda 6-4-2024 12.B-20
Attachment 2
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-32
Attachment 2
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_____________________________ ______________________________ Council Member in Favor Council Member Against _____________________________ ______________________________ Council Member in Favor Council Member Against _____________________________ ______________________________ Council Member in Favor Council Member Against to file (a) written argument(s) not exceeding 300 words regarding the City measure as specified above, accompanied by the printed name(s) and signature(s) of the author(s) submitting it, in accordance with Article 4, Chapter 3, Division 9 of the Elections Code of the State of California, on behalf of the City Council. The arguments may be changed or withdrawn until and including the date fixed by the City Clerk after which no arguments for or against the City measure may be submitted to the City Clerk. [ALTERNATIVE 2]
SECTION 1. That the City Council authorizes all members of the City Council to file (a) written argument(s) In Favor of or Against the City measure(s) not exceeding 300 words, accompanied by the printed name(s) and signature(s) of the author(s) submitting it, in accordance with Article 4, Chapter 3, Division 9 of the Elections Code of the State of California. The arguments may be changed or withdrawn until and including the date fixed by the City Clerk after which no arguments for or against the City measure may be submitted to the City Clerk.

The arguments shall be filed with the City Clerk, signed, with the printed name(s) and signature(s) of the author(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers who is the author of the argument. The arguments shall be accompanied by the Form of Statement To Be Filed By Author(s) of Argument, which shall be furnished by the City Clerk.

SECTION 2. Pursuant to Elections Code Section 9287, in the event more than one argument for or against the City measure described above is submitted to the City Clerk within the time prescribed, the City Clerk shall select one of the arguments in favor and one of the arguments against the proposed measure for printing and distribution to the voters. In selecting the argument, the City Clerk shall give preference and priority, in the order below, to the arguments of the following:
(a) The Mayor and/or members of the City Council authorized by the City Council;
(b) Bona fide associations of citizens; and
(c) Individual voters who are eligible to vote on the measure.

Council Agenda 6-4-2024 12.B-21
Attachment 2
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-33
Attachment 2
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SECTION 3. Pursuant to Elections Code Section 9286(b), the deadline for filing (and changing or withdrawing) arguments for or against the City measure described above with the City Clerk shall be not later than 5:00 p.m. on June 18, 2024.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 4th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved:Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _______________________. ________________________
Erica Inderlied, City Clerk
Council Agenda 6-4-2024 12.B-22
Attachment 2
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-34
Attachment 2
Packet Page 69

RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA PROVIDING FOR THE FILING OF REBUTTAL ARGUMENTS FOR A CITY MEASURE SUBMITTED AT THE NOVEMBER 5, 2024, GENERAL MUNICIPAL

ELECTION
WHEREAS, a General Municipal Election is to be held in the City of Pismo Beach, on November 5, 2024, at which the City Council has ordered the submission of the following measure to the voters:

CITY OF PISMO BEACH
MEASURE _____
The Pismo Beach Essential Services Measure. To maintain the City of Pismo Beach’s long term financial stability and services such as fixing potholes; keeping streets, sidewalks, infrastructure, parks, and public facilities safe, clean, and well-maintained; providing police/fire protection, 9-1-1 emergency services; addressing homelessness; and for general government use, shall the City extend its Measure I sales tax and set the rate at 1¢ per dollar, providing approximately $4,000,000 annually for 12 years; requiring independent audits, with all funds used locally?
YES
NO
WHEREAS, Section 9285 of the Elections Code of the State of California authorizes the City Council, by majority vote, to adopt provisions for the filing of rebuttal arguments for City measures submitted at municipal elections.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PISMO BEACH DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:

SECTION 1. Pursuant to Section 9285 of the Elections Code of the State of California, when the Elections Official has selected the arguments for and against the measure which will be printed and distributed to the voters, the Elections Official shall send a copy of an argument in favor of the proposition to the authors of any argument against the measure and a copy of an argument against the measure to the authors of any argument in favor of the measure immediately upon receiving the arguments.

SECTION 2. The author or a majority of the authors of an argument relating to a City measure may prepare and submit a rebuttal argument not exceeding 250 words or may authorize in writing any other person or persons to prepare, submit, or sign the rebuttal argument. A rebuttal argument may not be signed by more than five authors. The rebuttal arguments shall be filed with the Election Official, signed, with the printed name(s) and signature(s) of the author(s) submitting it, or if submitted on behalf of an organization, the Council Agenda 6-4-2024 12.B-23
Attachment 3
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-35
Attachment 2
Packet Page 70

name of the organization, and the printed name and signature of at least one of its principal officers, not more than 10 days after the final date for filing direct arguments.

The rebuttal arguments shall be accompanied by the Form of Statement To Be Filed By Author(s) of Argument, which shall be furnished by the City Clerk.

SECTION 3. That all previous resolutions providing for the filing of rebuttal arguments for City measures are repealed.

SECTION 4. That the provisions of Section 1 shall apply only to the election to be held on November 5, 2024, and shall then be repealed.

SECTION 5. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 4th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved:Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _______________________. ________________________
Erica Inderlied, City Clerk
Council Agenda 6-4-2024 12.B-24
Attachment 3
June 4, 2024 Staff Report - Introduction of Ordinance
Council Agenda 6-18-2024 9.D-36
Attachment 2
Packet Page 71

PISMO BEACH CITY COUNCIL and

PISMO BEACH PUBLIC FINANCING AGENCY

STAFF REPORT
Agenda Item #9.E
Meeting Date: June 18, 2024
TITLE:

Amendment 1 to the Central Coast Blue Regional Recycled Water Authority Joint Exercise of Powers Agreement
RECOMMENDATION:
1) Adopt a Resolution of the City Council authorizing the City Manager to Execute Amendment 1 to the Joint Exercise of Powers Agreement creating the Central Coast Blue Regional Recycled Water Authority and approving related budget adjustments;
2) Adopt a Resolution of the Public Financing Agency Board of Directors approving admittance as a member agency into of the Joint Exercise of Powers Agreement creating the Central Coast Blue Regional Recycled Water Authority.

DISCUSSION:

The cities of Arroyo Grande, Grover Beach, and Pismo Beach entered into a Joint Exercise of Powers Agreement (JEPA) in October 2022, which created the Central Coast Blue Regional Recycled Water Authority (Authority) and included provisions to govern the development and management of the Central Coast Blue regional recycled water project.

Since that time, the cities of Arroyo Grande and Grover Beach have officially indicated their intent to withdraw from the project and corresponding JEPA and cost-sharing agreement.

On May 21, 2024, the City Council and Pismo Beach Public Financing Agency (Agency) provided direction to staff to request that the Authority Board of Directors consider an amendment of the JEPA to include the Agency as a member, remove Arroyo Grande and Grover Beach as members, and take other actions as necessary to effectuate the amendment.

On June 3, 2024, the Central Coast Blue Authority Board of Directors voted unanimously to recommend to the three member agencies approval of the JEPA Amendment as proposed. At that meeting, the Authority Board acknowledged and accepted the notice of intent to withdraw by Arroyo Grande and Grover Beach and waive the 180-day notice period prescribed by the JEPA, contingent upon approval of the Amendment by the three agencies. Below is a summary of the proposed Amendment 1 (Attachment 1.A):

1. The Agreement will be amended to remove the cities of Arroyo Grande and Grover Beach as Member Agencies, and to add the Pismo Beach Public Financing Agency as a Member Agency;

2. The Agreement will be amended to change the Water Purveyor Contributions to reflect the withdrawal of Arroyo Grande and Grover Beach, and to set the allocation of costs at 100% for Pismo Beach;
Council Agenda 6-18-2024 9.E-1
Packet Page 72

3. The Agreement will be amended to remove the restriction prohibiting the Authority’s attorney from being counsel to one of the Member Agencies;

4. The Agreement will be amended to remove the provision that Arroyo Grande and Grover Beach would participate in the division of remaining assets upon the dissolution of the Authority at some undetermined point in the future, and to authorize the reimbursement of Arroyo Grande and Grover Beach for their respective shares of the purchase price of real property acquired for the Project; and

5. Other conforming changes would be made to the Agreement to reflect the withdrawal of Arroyo Grande and Grover Beach and the addition of the Pismo Beach Public Financing Agency.

Conclusion and Recommendation
In order to continue to effect the City Council’s direction with respect to the Central Coast Blue project, and to allow the City to maintain the project’s Joint Powers Authority as operational until such time that the future path of the project is determined, staff recommends that the City Council adopt a resolution (Attachment 1) authorizing the City Manager to execute Amendment 1 (Attachment 1.A) to the JEPA, and making budget adjustments necessary to support the other member agencies’ exit from the agreement; and that the Public Financing Agency Board of Directors adopt a resolution (Attachment 2) accepting its admittance as a member of the JEPA.

As soon as feasible after June 30, 2024, at which time the City and Agency will be the only members of the JEPA, the Authority Board will hold a meeting to conduct the final legislative steps necessary to complete the corporate transition, including formally appointing City staff to serve as officers of the Authority, appointing Alternate Directors to the Authority Board, and authorizing the Agency’s Executive Director to formally sign on as a member of the JEPA.

FISCAL IMPACT:

The fiscal impact of approving the attached budget Resolution is contingent upon the decisions of the City Councils of Pismo Beach, Arroyo Grande, and Grover Beach. Upon amendment to the JEPA, the two departing member agencies would need to be made whole for the land acquisition cost, consistent with the existing water purveyor percentages for the acquisitions of the land. Assuming these member agencies approve the amendment to the JEPA, the City will be required to pay a total of $1,219,647.05 for the real property as described in the report. Staff recommends that Council appropriate budget amendments and authorization to compensate Arroyo Grande and Grover Beach in the amounts of $499,855.34 and $719,791.71, respectively, by the adoption of the resolution provided as Attachment 1. Out of the total $1,219,647.05, 33%, or $402,483.53, would be funded from the City’s Water Enterprise Fund, while the remaining 67%, or $817,163.52, would be funded from the City’s Wastewater Enterprise Fund.

Council Agenda 6-18-2024 9.E-2
Packet Page 73

ATTACHMENTS:

1.City Council Resolution

1.A. Exhibit A to Resolution: Amendment 1

2.Public Financing Agency Board of Directors Resolution Submitted by: Jorge Garcia, City Manager/Executive Director City Manager/Executive Director Approval:

Council Agenda 6-18-2024 9.E-3
Packet Page 74

RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH, CALIFORNIA AUTHORIZING THE CITY MANAGER TO EXECUTE AMENDMENT 1

TO THE JOINT EXERCISE OF POWERS AGREEMENT CREATING THE CENTRAL

COAST BLUE REGIONAL RECYCLED WATER AUTHORITY AND APPROVING

RELATED BUDGET ADJUSTMENTS
WHEREAS, the City of Pismo Beach, along with Grover Beach and Arroyo Grande, is a “Member Agency” of the Central Coast Blue Regional Recycled Water Authority (“Authority”), created pursuant to the joint exercise of powers agreement (“Agreement”) between the Member Agencies to govern participation in the Central Coast Blue project; and
WHEREAS, the City wishes to amend the Agreement to reflect the requested withdrawal of Arroyo Grande and Grover Beach from the Authority, effective June 30, 2024; and WHEREAS, the City wishes to amend the Agreement to reflect the additional of the Pismo Beach Public Financing Agency as a member agency under the Agreement, effective June 30, 2024; and
WHEREAS, the City wishes to amend the Agreement to make all necessary changes related to the withdrawal of Arroyo Grande and Grover Beach, as agreed upon by the Member Agencies, including, but not limited to, the provisions related to financing the Authority, and reimbursing withdrawing Member Agencies for contributions to the Authority property; and
WHEREAS, the City will be required to pay a total of $1,219,647.05 for the real property to compensate Arroyo Grande and Grover Beach in the amounts of $499,855.34 and $719,791.71, respectively. Out of the total $1,219,647.05, 33%, or $402,483.53, would be funded from the City’s Water Enterprise Fund, while the remaining 67%, or $817,163.52, would be funded from the City’s Wastewater Enterprise Fund; and WHEREAS, Section 8.5 of the Agreement requires that any amendment to the agreement be approved by the governing body of each Member Agency upon recommendation of the Board of Directors of the Authority, which recommendation was given on June 3, 2024;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pismo Beach hereby authorizes the City Manager to execute Amendment #1 (Exhibit A) to the Joint Exercise of Powers Agreement Creating the Central Coast Blue Regional Recycled Water Authority.

BE IT FURTHER RESOLVED that the City Council of the City of Pismo Beach hereby appropriates $402,483.53 from the City’s Water Enterprise Fund Central Coast Blue project account and $817,163.52 from the City’s Wastewater Enterprise Fund Central Council Agenda 6-18-2024 9.E-4
Attachment 1
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Coast Blue project account, supported by net position (available fund balance) in their respective funds.

UPON MOTION OF Council Member , seconded by Council Member , the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 18th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Mayor Erica Inderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _______________________. ________________________
Erica Inderlied, City Clerk
Council Agenda 6-18-2024 9.E-5
Attachment 1
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AMENDMENT NUMBER 1

TO JOINT EXERCISE OF POWERS AGREEMENT

CREATING THE CENTRAL COAST BLUE

REGIONAL RECYCLED WATER AUTHORITY
This Amendment Number 1 to Joint Exercise of Powers Agreement Creating the Central Coast Blue Regional Recycled Water Authority (“First Amendment”) is effective as of June 30, 2024 (the “Effective Date”).

WHEREAS, the Cities of Arroyo Grande, Grover Beach and Pismo Beach (each a “Member Agency” and collectively the “Member Agencies”) entered into a joint exercise of powers agreement (“Agreement”) for the Member Agencies’ participation in the Central Coast Blue Project, which established the Central Coast Blue Regional Recycled Water Authority (“Authority”); and
WHEREAS, the Parties wish to amend the Agreement to reflect the withdrawal of Arroyo Grande and Grover Beach effective June 30, 2024; and
WHEREAS, the Parties wish to amend the Agreement with this First Amendment to reflect the addition of the Pismo Beach Public Financing Agency as a member agency under the Agreement effective June 30, 2024; and
WHEREAS, Section 8.5 of the Agreement requires that any amendment to the Agreement be approved by the governing body of each Member Agency upon recommendation of the Board of Directors of the Authority, which recommendation was given on June 3, 2024.

NOW, THEREFORE, Arroyo Grande, Grover Beach and Pismo Beach hereto agree as follows:

1.Section 1.1.9 is revised to read as follows:
“Construction Costs shall mean the cost incurred as of the effective date of the first construction contract for Phase 1 of the Project through the determination by the Parties that construction of Phase 1 is complete, including the cost of the purchase of the Facility site for the Project. Construction Cost does not include legal expenses attributable to each Party’s City Attorney, retained counsel or their associates.”

2.Section 1.1.13 is revised to read as follows:

Facility Site is defined in Section 1.5.2 herein.

3.Section 1.1.16 is revised to read as follows:
“Member Agency(ies) means Pismo Beach, the Pismo Beach Public Financing Agency, and any other entity added to this Agreement by subsequent amendment.”
Council Agenda 6-18-2024 9.E-6
Attachment 1.A
Packet Page 77

4.The first sentence of Section 1.2 is revised to read as follows:
“This Agreement is made pursuant to the Act by Pismo Beach and the Pismo Beach Public Financing Agency, each of which is authorized to contract with the other pursuant hereto.”

5.Section 1.5.1 is revised to read as follows:

Phase 1 of Project. Pismo Beach will be Lead Agency and act as project developer through final completion of Phase 1 of the Project. As the Lead Agency, Pismo Beach will act as the construction manager for Phase 1 and will provide administration of construction and start-up of Phase 1 on behalf of the Member Agencies. The Parties shall pay their pro rata shares of Pre- Construction costs for any professional service expenses incurred by Pismo Beach in connection with obtaining such Phase 1 approvals, in accordance with Section 6.3.2 below.

6.Section 1.5.2 is revised to read as follows:
“Pismo Beach has previously transferred to the Authority Facility Parcel #1, which is located in Grover Beach and identified as Assessor's Parcel Number 060-543-016. Prior to June 30, 2024, Grover Beach shall complete the transfer to the Authority of Facility Parcel #2, which is located in Grover Beach and identified as Assessor’s Parcel Number 060-543-007 (collectively Facility Parcels #1 and #2 are referred to as the "Facility Site").” The Authority shall own all Facilities located at the Facility Site, including, but not limited to, the real property, buildings, water and treatment facilities, and support infrastructure and assets, injection wells and related transmission lines.”

7.Section 1.5.4 is revised to read as follows:
“To finance Construction Costs, the Authority shall apply for and obtain financing for such costs through the issuance of Bonds, entering into loans or Financing Agreements or any other financing mechanisms not otherwise covered by grant funding awarded to the Project. Any loans entered into and secured for construction of the Project may consist of separate installment sale agreements based on the respective share of each Member Agency, and any prepayment may be paid either directly to the Authority by each Party consistent with the Water Purveyor Contribution percentages identified in Section 6.3.2 hereof or directly to the grant funding agency or bond trustee, depending on the funding mechanism.”

8.Section 1.6.2(ii) is revised to read as follows:
“To employ agents, attorneys, consultants and employees or to contract for personnel to fulfill its mission and purpose.”

9.Section 2.1 is revised to read as follows:
“Creation. Until such time as additional member agencies are added to this Agreement through amendment under Section 8.5, the Authority shall be Council Agenda 6-18-2024 9.E-7
Attachment 1.A
Packet Page 78

governed by a board of two (2) members, which is hereby established and which shall be composed of one (1) representative appointed from each Member Agency. The governing board shall be known as the "Board of Directors of the Central Coast Blue Regional Recycled Water Authority." All voting power shall reside in the Board.”

10.Section 2.2.1 is revised to add the following sentence at the end of the existing section:
“Any Member Agency which joins the Authority pursuant to an amendment to this Agreement shall designate and appoint a regular and alternate representative in the manner described in this section upon the effective date of such amendment.”

11.Section 4.3 is revised to read as follows:
“Authority Attorney. The Attorney for the Authority shall be engaged by the Board of Directors and may be the attorney for one of the Member Agencies. The Attorney for the Authority or a designated deputy shall attend or participate in meetings of the Board of Directors; provided, however, that the absence of the Authority Attorney shall not affect the validity of any meeting. The Attorney shall perform such other duties the Board of Directors specifies.”

12.The first sentence of Section 6.2.2 is revised to read as follows:
“Annually, in March of each year, the Board shall adopt a preliminary budget and an allocation of contributions from Member Agencies for presentation to each Member Agencies' governing body.”

13.Section 6.3.2 of is revised to read as follows:
“The Parties shall pay their pro rata share of all Pre-Construction and Construction Costs incurred by Pismo Beach in connection with Phase 1 of the Project.

The Parties agree to the following cost allocation of the total Pre-Construction and Construction costs for Phase 1 for each Party:
i. Pismo Beach shall contribute 100%.

As provided in Section 6.2.2, annual contributions by Member Agencies for ongoing operations shall be consistent with the above percentages.

14. The existing second paragraph of Section 7.3 shall be stricken entirely and revised to read as follows:
“The respective obligation of each Party to make payments herein with respect to the Pre- Construction and Construction Costs of Phase 1 or in furtherance of the objective and purpose of this Agreement, is a special, limited obligation payable solely from net revenues of each party’ s respective Enterprise fund(s), and does not constitute a debt or pledge of the faith and credit of each Party or of the State of California or of any political subdivision thereof within the meaning of any Council Agenda 6-18-2024 9.E-8
Attachment 1.A
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constitutional or statutory debt limitation or restriction. The payments made under this Agreement, if any, are payable from net revenues of each party’s respective Enterprise fund(s) on such a basis as is dictated by each Party’s existing debt instruments. The respective obligation of each Party to make payments hereunder or in furtherance of the objective and purpose of this Agreement is further subject to the Parties establishing sufficient net revenues to fund the obligations of this Agreement, which includes, but is not limited to, approval by the Parties’ governing bodies for an increase in enterprise user fees sufficient to meet the above obligations of this Agreement, the successful implementation of a Proposition 218 protest hearing wherein the Parties are authorized to proceed with approval of a fee increase, and the attainment of Proposition 1 Groundwater Grant Program Grant Funding by the State Water Resources Control Board.”

15. Section 8.3 is revised to read as follows:

“The withdrawal of a Member Agency shall not terminate its responsibility· to contribute its share of any obligation incurred by the Authority, including amounts determined by the Board for (1) liabilities and claims accrued during the time the agency was a Member Agency or (2) budgeted expenses for the Fiscal Year in which notice of intent to withdraw is given.

“Except as the withdrawing Member Agency may agree, in writing, with the Board, the withdrawing Member Agency shall automatically relinquish all rights as a Member Agency under this Agreement, on the effective date of the withdrawal. Upon termination of this Agreement, only those Member Agencies who are parties to this Agreement at the time of termination shall be permitted to participate in disbursement of Authority assets. Notwithstanding the foregoing sentence, Arroyo Grande and Grover Beach shall be entitled to reimbursement for their respective shares of the purchase price of Facility Parcel #1 and Facility Parcel #2 as follows: not later than 30 days following full execution of this First Amendment by the Parties, Pismo Beach shall remit to Arroyo Grande the sum of $499,855.34, and to Grover Beach the sum of $719,791.71.

Notwithstanding anything to the contrary set forth in any other agreements among the Parties approving the amendment revising this Section 8.3, and notwithstanding the withdrawal from this Agreement of any Party, the Parties hereto acknowledge and agree that the recycled water injected into the ground pursuant to this Agreement, as well as all new developed water subsequently extracted, is New Developed Water as defined in the January 25, 2008 Judgment entered by the Santa Clara Superior Court in the Santa Maria Groundwater Adjudication litigation.”

16. Section 9.3 shall be revised to delete the last sentence in its entirety, which currently reads:

“This section shall not be deemed to supersede, extinguish, or modify the indemnification provisions in the Cost Sharing Agreement.”

Council Agenda 6-18-2024 9.E-9
Attachment 1.A
Packet Page 80

17. Section 10.2 is revised to read as follows:

“Notices. Notices required or permitted hereunder shall be sufficiently given if made in writing and delivered either personally or by registered or certified mail, postage prepaid to the respective Parties, as follows:

City of Pismo Beach
Attention: City Manager
760 Mattie Road Pismo Beach, CA 93449

Pismo Beach Public Financing Agency
Attention: Executive Director
760 Mattie Road Pismo Beach, CA 93449”

18. Section 10.3 is revised to read as follows:

“The responsibilities and obligations of each Party to this Agreement shall be, solely as provided in this Agreement, or as may be provided for in other agreements to be executed by the Parties.”

Except as set forth herein, all other terms and conditions of the Agreement, shall remain in full force and effect.

Dated:________________________ City of Arroyo Grande

_________________________________
Caren Ray Russom, Mayor

Dated:________________________
Attest:

Jessica Matson, City Clerk

City of Grover Beach

_________________________________
Karen Bright, Mayor

Attest:

_________________________________
Wendi Sims, City Clerk

Council Agenda 6-18-2024 9.E-10
Attachment 1.A
Packet Page 81

Dated:________________________ City of Pismo Beach
_________________________________
Ed Waage, Mayor
Attest:
_________________________________
Erica Inderlied, City Clerk
Council Agenda 6-18-2024 9.E-11
Attachment 1.A
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RESOLUTION NO. R-2024-XXX

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE PISMO BEACH PUBLIC

FINANCING AGENCY APPROVING ADMITTANCE AS A MEMBER AGENCY OF

THE JOINT EXERCISE OF POWERS AGREEMENT CREATING THE CENTRAL

COAST BLUE REGIONAL RECYCLED WATER AUTHORITY
WHEREAS, the cities of Pismo Beach, Grover Beach and Arroyo Grande, are each a “Member Agency” of the Central Coast Blue Regional Recycled Water Authority (“Authority”), created pursuant to the joint exercise of powers agreement (“Agreement”) between the Member Agencies to govern participation in the Central Coast Blue project; and
WHEREAS, the Member Agencies from Grover Beach and Arroyo Grande have requested withdrawal from the Authority, effective June 30, 2024; and WHEREAS, the Pismo Beach Public Financing Agency (“Agency”) met on May 21, 2024 and requested admittance into the Authority as a new Member Agency under the Agreement, effective June 30, 2024; and
WHEREAS, Section 8.5 of the Agreement requires that any amendment to the agreement be approved by the governing body of each Member Agency upon recommendation of the Board of Directors of the Authority, which recommendation was given on June 3, 2024; and
WHEREAS, consistent with the Board’s direction given on May 21, 2024, upon successful amendment of the Agreement, the Agency Vice-Chair will serve in the capacity as a Board Member for the Authority.

NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Pismo Beach Public Financing Agency hereby approves the admittance of the Agency as a member agency of the Central Coast Blue Regional Recycled Water Authority.

BE IT FURTHER RESOLVED that the Board of Directors of the Pismo Beach Public Financing Agency hereby authorizes the Executive Director to execute documents necessary to join the Joint Exercise of Powers Agreement Creating the Central Coast Blue Regional Recycled Water Authority and take such other action as may be necessary to effectuate the addition of the Agency as a Member Agency of the Authority.

UPON MOTION OF Board Member , seconded by Board Member , the foregoing resolution was adopted by the Pismo Beach Public Financing Agency this 18th day of June 2024, by the following vote:

AYES:

NOES:

ABSENT:

Council Agenda 6-18-2024 9.E-12
Attachment 2
Packet Page 83

ABSTAIN:

RECUSED:

Approved: Attest:
________________________ ________________________
Ed Waage, Chair Erica Inderlied, Secretary
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the Pismo Beach Public Financing Agency, on _______________________. ________________________
Erica Inderlied, Secretary
Council Agenda 6-18-2024 9.E-13
Attachment 2
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PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #11.A
Meeting Date: June 18, 2024
TITLE:

Protest Hearing for Declaration of Properties as Non-Compliant for Weed and Rubbish Abatement
RECOMMENDATION:

Conduct a public hearing to hear protests from property owners whose properties have been identified as non-compliant for weed abatement.

DISCUSSION:

During the last week of April 2024, all private properties within the City of Pismo Beach were inspected for compliance with the City’s weed abatement ordinance (Ord. 96-05; Pismo Beach Municipal Code Chapter 8.32). Those properties deemed not in compliance were identified, sent a “notice” (Attachment 1), and instructed to come into compliance by June 1, 2024. Property owners who requested an extension were given an extension because of the need to mow later due to the late rain. At the April 16, 2024 City Council meeting, these properties were declared a nuisance by Resolution R-2024-022 (Attachment 2). This protest hearing scheduled for the June 18, 2024 Council meeting is to allow affected property owners to protest the “noticing” of their property for non- compliance. If a property owner comes forward and gives a valid reason for removing their name from the list of non-compliant lots, Fire staff will re-inspect the lot in question and remove the name from the non-compliant list if the name was placed in error.

Attachment 3 is a list of properties deemed non-compliant as of April 29, 2024 field inspections. The list is sorted by Assessor’s Parcel Number (APN) and indicates the current owners. Property owners that have abated their nuisances by June 1, 2024 will be removed from the list. The list may be modified if additional lots needing weed abatement are identified. For properties that are not cleared by June 1, a City contractor will complete the work for them and the property will be assessed for the cost.

Conclusion and Recommendation
Staff recommends that the City Council conduct a public hearing to hear protests from property owners whose properties have been identified as non-compliant for weed abatement. If a property owner comes forward and gives a valid reason for removing their name from the list of non-compliant lots, Fire staff will re-inspect the lot in question and remove the name from the non-compliant list if the name was placed in error. The City Council will then conduct a hearing on August 6, 2024 to allow property owners to protest the assessment of their properties for weed abatement charges.

FISCAL IMPACT:

Costs associated with the annual weed abatement program are included in the City's existing Weed Abatement fund.

Council Agenda 6-18-2024 11.A-1
Packet Page 85

ATTACHMENTS:

1. Letter to property owner

2. Resolution R-2024-022

3. List of lots identified
Prepared by:

Michelle Pearson, Administrative Assistant
Submitted by: Paul Lee, Battalion Chief
City Manager Approval:

Council Agenda 6-18-2024 11.A-2
Packet Page 86

John Owens, Unit Chief
May 13, 2024
RE: 2024 Weed Abatement Program
Assessor’s Parcel Number (APN): XXX-XXX-XXX
Property Owner: XXXXXXXXXX

XXXXXXXXXXXXXX

XXXXXXXXXXX, XX XXXXX
CAL FIRE/Pismo Beach has conducted their first inspections for the annual weed abatement program. For those residents who receive water bills, you have already received a reminder to abate your lots of weeds by June 1st. The property associated with APN: XXX-XXX-XXX was identified, during our first inspection on April 29, 2024, as needing weed abatement. Property Owners are responsible to keep their property clear of weeds and trash that could be constituted as a fire hazard or public nuisance as per City of Pismo Beach Municipal Code Section 8.32.

The County of San Luis Obispo Assessor’s Office has indicated you are the current owner of the property. Please notify our office if you are no longer the owner of the property.

The property at XXX XXXXXXX was inspected and the following work must be done to your lot: Please cut and remove weeds and dead vegetation such as coyote bush and/or castor bean plants from empty lot. The Fire Department will conduct a 2nd inspection after June 1st and if your lot has not been cleared, it will be cleared by a city contractor with the cost of this service assessed to your property tax bill. Charges will be based on lot size, difficulty, type and density of vegetation, equipment used and the amount of material that has to be hauled from the property.

In addition, the City will place a 100% administrative charge on the contractor’s fees to cover any City expense incurred. If you need additional time, please let us know.

There will be a Public Hearing to receive any protests concerning the posting of properties in Pismo Beach that are non-compliant with the 2024 Weed Abatement Program on Tuesday, June 18, 2024 no earlier than 6:00 p.m.

Details about ways to participate in this hearing will be provided on the agenda posted for the meeting online at pismobeach.org/agenda, and on the bulletin board at City Hall. The agenda will be posted in the afternoon of June 13, 2024.

If you have cleared your lot prior to receiving this letter, please be aware you are required to maintain the clearance throughout the fire season.

Should you have any questions regarding weed abatement please contact the Fire Department at (805) 773-7031.

Sincerely,
Dell Wells
Fire Captain/Inspector
CAL FIRE/Pismo Beach
Council Agenda 6-18-2024 11.A-3
Attachment 1
Packet Page 87

RESOLUTION NO. R-2024-022

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PISMO BEACH,

CALIFORNIA DECLARING THAT GRASS, WEEDS AND RUBBISH ON CERTAIN

LOTS IN THE CITY OF PISMO BEACH CONSTITUTE PUBLIC NUISANCES AND

ORDERING SAID PUBLIC NUISANCES TO BE ABATED
WHEREAS, Section 8.32.020 of the City of Pismo Beach Municipal Code provides, "The City Council may declare by resolution as a public nuisance, and abate:

A.Weeds growing in any location within the city, whether on public or private land.

B.All rubbish, refuse and dirt upon parkways or sidewalks, and all rubbish and refuse upon private property in the City"; and
WHEREAS, the Fire Chief of the City of Pismo Beach or their representative is surveying all lots and can present evidence to the City Council of the City of Pismo Beach that there are weeds, rubbish, refuse and dirt on or adjacent to said lots, and that said conditions should be abated.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Pismo Beach that the Fire Chief of the City of Pismo Beach or their representative shall identify said lots and send by mail to each known owner of said lots a notice that the City of Pismo Beach intends to abate the public nuisances thereon.

UPON MOTION OF Council Member Newton, seconded by Council Member Guthrie, the foregoing resolution was adopted by the City Council of the City of Pismo Beach this 16th day of April 2024, by the following vote:

AYES: 5
NOES: 0
ABSENT: 0
ABSTAIN: 0
RECUSED: 0
Ed Waage, Mayor
Newton, Guthrie, Inman, Reiss, Waage
Attest: l
✓
DocuS1gned by:
�
Erica lnderlied, City Clerk
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Pismo Beach, California, on _4_/_1_8/_2_0_24 ______ _ I✓
DocuSigned by:
�
Erica lnderlied, City Clerk
Council Agenda 6-18-2024 11.A-4
Attachment 2
April 16, 2024 Resolution
Packet Page 88

2024 Weed Abatement Program First Round Lots Identified

APN ASSESSORS PROPERTY OWNER
005-011-033 LOWE MICHAEL P
005-013-002 MCGINLEY PATRICIA TRUST
005-013-026 TOS LAND COMPANY INC A CA CORP
005-014-007 ZANETTI LORIN E
005-015-019 BELL-EVENSON DONNA
005-017-010 ILLIA FAMILY TRUST (TR 1)
005-022-035 BLACK CARL E
005-023-019 MICKLUS JESSICA M
005-026-003 MAGUIRE REVOCABLE TRUST
005-026-006 TEUNISSEN LYLE
005-031-006 BLUE JEFF & MELISSA FAMILY TRUST
005-031-030 HEARN FAMILY TRUST
005-031-045 HOWARD PAUL G & ALIDA K SAMUELS FAMILY TRUST 005-031-054 LORD WILLIAM J JR
005-032-007

BAKER REVOCABLE FAMILY TRUST-EXEMPTION
TRUST(TR 1)
005-032-021 CLINES SEAN
005-032-048 GAMBLE WILLIAM K
005-032-051 JONES DONALD D & KAREN L REVOCABLE LIVING TRUST 005-032-071 RINGER-BRITZ BERNARD
005-032-079 RAFIAN-NAINI MEHDI
005-032-080 FUNG JUNE 2014 TRUST
005-034-019 DELINE JOYCE
005-035-006 PHILLIPS, LEE
005-036-025 COTTA BARBARA
005-041-021 LUCIA MAR UNIFIED SCHOOL DIST
005-041-025 LUCIA MAR UNIFIED SCHOOL DIST
005-052-002 ARREDONDO VENTURES INC A CA CORP
005-053-001 KIM YONG K & OK N 2005 REVOCABLE TRUST
005-062-003 SHELL 1 LLC
005-062-004 SHELL 1 LLC
005-064-002 SHELL 1 LLC
005-064-003 SHELL 1 LLC
005-064-012 SHELL 1 LLC
005-084-004 SMITH DARREN
005-086-014 YOUNG ROBERT S & ISABELLA M TRUST
005-086-024 JACQUES, GRETCHEN
005-101-026 MACMILLAN FAMILY TRUST
005-101-032 SIMOES-CROOK THERESA A REVOCABLE TRUST (TR 1) 005-111-005 JAUREGUY, DANIEL
005-121-005 280 WADSWORTH LLC
005-121-051 280 WADSWORTH LLC
Council Agenda 6-18-2024 11.A-5
Attachment 3
Packet Page 89

2024 Weed Abatement Program First Round Lots Identified 005-134-023 WILLIAM S EVERETT FAMILY PTP A CA LTD PTP
005-135-018 SANDLIN LEANNE S
005-161-042 JCH FAMILY LIMITED PARTNERSHIP A CA LP
005-163-021 ATSCO LTD A LTD PTNSHP
005-171-033 CORE TIDES LLC A CA LLC
005-211-023 BETHEL HOLDING COMPANY INC
005-213-025 COX FAMILY REVOCABLE LIVING TRUST
005-221-037 SIMKO LEONARD
005-222-025 LEVY FAMILY TRUST (TR 1)
005-223-013 BUCKEY JEFFREY M & ALISSA M FAMILY TRUST
005-224-007 CABRERA DEBRA
005-224-011 BOZZANO LINO R TRUST
005-233-001 KEY CRISTINA
005-235-024 RINGER-BRITZ BERNARD
005-236-019 ROSS D CLAIR
005-242-066 PRIME OUTLETS AT PISMO BEACH LLC A DE LLC
005-271-004 PISMO MEDICAL LLC A LLC
005-271-006 SOUTHERN PACIFIC CO (FKA)
005-271-012 PACIFIC GAS & ELECTRIC CO
005-271-024 PISMO MEDICAL LLC A LLC
005-271-029

KINGFISHER CANYON DEVELOPMENT COMPANY A CA

GEN PTP
005-271-030

KINGFISHER CANYON DEVELOPMENT COMPANY A CA

GEN PTP
005-283-020 BAMBAS JAMES T
005-284-032 QUAN ERIC R
005-284-033 BLENDERMAN MARY
005-284-036 DECKER RICHARD H TRE ETAL
005-285-017 PAL SAIKAT
005-286-001 KOLKAILAH, NOHA F
005-291-017 PARSONS FAMILY TRUST
005-291-018 PARSONS FAMILY TRUST
005-291-022 SALUCCI HOLDINGS LLC A CA LLC
005-381-004 SAKAMOTO TERUKO IRREVOCABLE TR (TR 1)
005-381-029 SCHUH FAMILY TRUST
005-381-088 YODER FAMILY TRUST
005-381-089 PINEIRO, RICHARD
005-386-056

VILLAS AL MARE HOMEOWNERS ASSOC A NON-PRO

MUT BENE
005-386-058

VILLAS AL MARE HOMEOWNERS ASSOC A NON-PRO

MUT BENE
005-391-005 TOUCAN TERRACE SECTION TWO HOMEOWNRS ASSN
005-391-009 TOUCAN TERRANCE SEC 1 HOMEOWNERS ASSN
Council Agenda 6-18-2024 11.A-6
Attachment 3
Packet Page 90

2024 Weed Abatement Program First Round Lots Identified 005-391-060 UNITED STATES POSTAL SERVICE
005-392-014 BILLINGS TR
005-392-036 BRASIL JOAO E
005-395-002 829 OAK PARK ROAD LLC
005-395-003 LAF4LT HOLDINGS LP
005-396-027 RITTER DAVID
005-397-002 CONWAY LEE E
005-397-049

PISMO BEACH SEAVIEW ESTATES HOMEOWNERS

ASSOCIATION
005-398-042 SUSHIL CAPITAL LLC A CA LLC
005-398-043 SURF THRU INC A CA CORP
005-398-047 SURF THRU INC A CA CORP
005-401-007 FOSTER WILLIAM E REVOCABLE TRUST
005-401-027 EISENGART BRUCE & A JOETTE LIVING TRUST (TR 2) 005-403-027

RATTY MICHAEL R & FRANCES P REVOCABLE LIVING
TRUST
010-041-049 SPYGLASS RIDGE LLC A CA LLC
010-043-003 BARCELONA POINT LLC A CA LLC
010-043-004 BARCELONA POINT LLC A CA LLC
010-043-011 BARCELONA POINT LLC A CA LLC
010-043-012 BARCELONA POINT LLC A CA LLC
010-043-013 BARCELONA POINT LLC A CA LLC
010-043-014 BARCELONA POINT LLC A CA LLC
010-043-015

BARCELONA VIEW ESTATES INC A CA NONPRF MUT BEN
INC
010-043-016 BARCELONA POINT LLC A CA LLC
010-043-017 CD COMMUNITIES LLC
010-044-036 SPYGLASS RIDGE HOMEOWNERS ASSOC A CA CORP
010-045-003 HUEBNER SHERRY
010-045-063 SMALL KEVIN & TUESDY FAMILY TRUST
010-073-009 PRATT MARIAN REVOCABLE TRUST 2018
010-073-010 HEINZE REVOCABLE FAMILY TRUST
010-073-027

HOLMES THOMAS H & MARIO ROCHA JOINT

REVOCABLE TR
010-082-010 EP HOMEOWNERS ASSOCIATION INC
010-082-011 EP HOMEOWNERS ASSOCIATION INC
010-082-012

SOL HOMEOWNERS ASSOCIATION A CA NONPROFIT
CORP
010-082-014 RICHARD LOUGHEAD INC A CA CORP
010-084-037 LOUGHEAD RICK FAMILY TRUST
010-141-034 FISHER FAMILY TRUST
010-141-038 HENSEL NADIA
010-143-041 HANDLEY KIMBERLY W
010-143-042 BARKER BRENDA
Council Agenda 6-18-2024 11.A-7
Attachment 3
Packet Page 91

2024 Weed Abatement Program First Round Lots Identified 010-144-025 MCNEAL F & S TRUST (TR 6)
010-175-006 SCHOLEFIELD LIVING TRUST 1977
010-212-004 DUFFY JOHN D
010-232-014 PURICELLI ROBIN N
010-232-042 MARQUEZ BRITTANY C
010-233-057 SMARIO, KIMBERLY
010-242-017 MOOSA RYAN D
010-261-009 PARKER BARBARA A
010-272-006 CAROUSEL INVESTMENTS LLC
010-283-008 KIM, ERNEST
010-291-065 CHENG VINCENT FAMILY TRUST (TR 2)
010-292-017 CHAVES STEWART
010-292-023 FORESEE, CYNTHIA
010-311-013 DIXON FAMILY TRUST - BYPASS TRUST
010-312-019 ARICH GERALD A REVOCABLE TRUST
010-312-035 MONTGOMERY JOSEPH & MOLLY 2006 TRUST
010-333-002 AKOPYAN ZARMINE
010-335-008 OLSON FAMILY TRUST
010-335-014 FENTRESS CHAD REVOCABLE TRUST
010-343-003 CARROLL MICHAEL J FAMILY TRUST
010-352-002 ONEAL. SEAN
010-501-009 NIPP, JOHN
010-511-019 SPYGLASS BEACH HOLDINGS LLC A CA LLC
010-521-012 OCEAN RABBIT LLC
010-521-051 SILVEIRA JOSEPH & MARY LIVING TRUST
010-551-017 BLOHM ANNETTE M REVOCABLE TRUST OF
010-561-002

BLUFFS AT SAN LUIS BAY HMOWNRS ASSN A CA NPMB
CORP
010-562-001 NETTO FAMILY LIVING TRUST
010-562-010 THAURE-MCCLOSKEY FAMILY TRUST
010-562-012 8 ESTATES LLC A CA LLC
010-562-015 KAZAK MICHAEL K FAMILY TRUST
010-562-018 HILL HERBERT A
010-562-022 SPARKS GLEN
Council Agenda 6-18-2024 11.A-8
Attachment 3
Packet Page 92

PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #12.A
Meeting Date: June 18, 2024

TITLE:

Clamming Education and Outreach Process

RECOMMENDATION:

Receive a report on the City’s clamming education and outreach process and provide direction to staff as to which alternative(s) should be implemented.

DISCUSSION:

On June 4, 2024, the City Council directed staff to prepare a staff report providing information about clamming in the city. Staff prepared this report that defines what is required to clam legally in the Pismo Beach, what the City has done in the past to educate, outreach and enforce the rules, and what alternatives may be considered moving forward.

Rules for Clamming
The minimum legal size to keep any clam is 4 ½ inches in diameter. It typically takes clams five years to reach legal size. When clamming, it is important to keep in mind the following:

 You must have a valid California ocean sport fishing license.  You must have a (rigid) measuring device/gauge.
 Clams must measure 4 ½ inches in diameter before they can be taken.  If undersized, clams must be immediately reburied, two inches deep, in the area where dug.
 There is a limit of 10 clams per day per person.
 Clamming is permitted year-round – between ½ hour before sunrise and ½ hour after sunset.

Education, Outreach and Enforcement
Clamming in Pismo Beach began in the early 1900s when horse-drawn plows were used to rake the beaches. In the mid-1940s, Pismo Beach was considered the “Clam Capital of the World” and the popularity of clamming resulted in additional regulations on clamming activities to equal what is currently in place today.

City staff, predominantly the Police Department and Fire Department (Lifeguards), provide reactive education and outreach support to the community. Examples of those methods include contacting individuals on the beach when a concern is received, answering questions that are posed to staff about requirements to clam, and posting signage at beach access points that describe what is needed to legally clam. It should be noted that the majority of the contacts made by Public Safety are with tourists and visitors that are not aware of the clamming rules and regulations.

12.A-1Council Agenda 6-18-2024
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In some instances, enforcement is needed to assist with educating people that are clamming in Pismo Beach. While some clamming enforcement activities in the city are provided by California State Parks or the California Department of Fish & Game, Table 1 lists a handful of instances when the Pismo Beach Police Department issued warnings or citations during the last three years.

Table 1. Pismo Beach Police Department Statistics

Date Location Warning /
Citation Fine / Penalty
July 30, 2021 585 Dolliver Street Citation 20 hrs comm svc July 4, 2022 100 block Pomeroy Avenue Citation $6,445
September 4, 2022 100 block Main Street Citation Dismissed September 10, 2022 100 block Hinds Street Warning $0
April 30, 2023 100 block Main Street Warning $0
July 1, 2023 100 block Hind Avenue Warning $0
July 5, 2023 100 block Main Street Citation $2,181
January 20, 2024 Cypress/Dolliver Streets Citation Filed as misdemeanor1

While each contact is treated independently from one another, the following factors are more likely to result in a citation being issued versus a warning: not having a valid sport fishing license, being a repeat offender, aggressive or offensive mannerisms to the officer that prevents educating, or having taken a significantly larger quantity of clams beyond the 10 limit per person.

Alternatives to Consider
Should the City Council desire to increase the education and outreach activities for clamming in the city, various options that are available include those outlined below.

Increase and Improve Signage: Based on staff’s recommendations, there are three locations that will benefit most from updated signage. Those locations are Main Street, Pomeroy Avenue and the Pier. Next steps may include assessing the City’s existing signage and providing additional information as well as a Spanish translation, redesigning the template, manufacturing new signs to replace the existing as well as the new locations with traditional metal signs and portable signage. Lastly, posting signage on the Pier pylons may also increase the City’s educations efforts with tourists and visitors.

Social Media Campaign: Staff can work with the City’s promotional and marketing consultants to create an updated video that can be shared via the City’s social media outlets. Similar to the video that was created approximately two years ago

1 Cited party has not yet appeared in court

12.A-2Council Agenda 6-18-2024
Packet Page 94

(visit https://www.youtube.com/watch?v=tgiyuO6wLec) , the information could focus on what is required to clam legally and safely in Pismo Beach.

Partner with California State Parks for Outreach: Staff can contact the local district office to learn more about what their education, outreach and enforcement program entails and how the City can assist with enhancing the state’s outreach program in the Pismo Beach area.

Face-To-Face Outreach: The City can allocate additional resources during busier times of the week (e.g. weekends) to contact clammers about the importance of following the rules and why it is important to the future of clams in Pismo Beach.

Conclusion and Recommendation
Staff recommends that the City Council receive a report on the City’s clamming education and outreach process and provides direction to staff as to which alternative(s) should be implemented.

FISCAL IMPACT:

This report is for informational purposes only and has no fiscal impact. Any direction that is provided to staff may incur expenditures depending on the amount of additional work is needed or materials purchased.

ATTACHMENTS:

None.

Submitted by:

Mike James, Assistant City Manager
City Manager Approval:

12.A-3Council Agenda 6-18-2024
Packet Page 95

PISMO BEACH CITY COUNCIL STAFF REPORT
Agenda Item #12.B
Meeting Date: June 18, 2024
TITLE:
2023 Northern Cities Management Area (NCMA) Annual Report RECOMMENDATION:

No action recommended; for information only.

BACKGROUND:

Due to a California Superior Court Ruling in 2008, the rights to the Santa Maria Groundwater Basin (SMGB) have been adjudicated to various agencies. Part of that ruling established three management areas, including the Northern Cities Management Area (NCMA), Nipomo Mesa Management Area (NMMA) and the Santa Maria Valley Management Area (SMVMA). Further, the ruling mandated that “a monitoring program be established in each of the three Management Areas to collect and analyze data regarding water supply and demand conditions,” and an annual report be filed with the Court within 120 days after the end of each calendar year.

The NCMA is comprised of four agencies: the Cities of Arroyo Grande, Grover Beach, and Pismo Beach, and the Oceano Community Services District. Through the NCMA Technical Group (TG), comprised of representatives from each agency, the member agencies work together to manage the SMGB and meet the annual reporting requirements of the Court Order.

The 2023 NCMA Annual Report, prepared by GSI Water Solutions, Inc. (GSI), was filed with the Court on April 30, 2024.

Discussion
The NCMA TG is facilitated by Water Systems Consulting, Inc. (WSC).

Together, the TG and WSC hired GSI to compile the data gathered during quarterly groundwater monitoring and to create the 2023 NCMA Annual Report. A copy of the full report is available for download from the Access Pismo1 public records portal or by scanning the QR Code to the right. A copy is also available upon request from the City Clerk’s Office.

The following list is a summary of the report’s highlights and important information:

1. Groundwater Conditions – During 2023, water elevations generally increased in the NCMA portion of the Santa Maria Groundwater Basin (SMGB) in response to above-average rainfall received during the 2022/23 winter season. The rise in water level is not only a direct result of above average precipitation, but is also attributed to ongoing efforts by all NCMA agencies to minimize groundwater 1 Full URL:
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extraction and maximize surface water supply sources while maintaining the water conservation practices and requirements implemented during the recent drought.

2. Ground Water Levels – The greatest threat to the groundwater supply in the area is seawater intrusion. An indicator of whether the NCMA agencies and other stakeholders are successfully averting the threat of seawater intrusion is the groundwater elevation in the NCMA sentry wells near the coastline. The average water elevations of three sentry wells—24B03, 30F03, and 30N02—make up a Deep Well Index. This index was developed by the NCMA in 2007 to gauge the ability of the aquifer to withhold potential landward migration of seawater. A Deep Well Index value above 7.5 feet North American Vertical Datum 1988 (NAVD 88)2 generally indicates that sufficient freshwater flow occurs from the east to the coastline to prevent seawater intrusion. History has shown that a prolonged period in which the Deep Well Index level is below 7.5 feet develops groundwater conditions that pose a risk of seawater intrusion. The following are evaluations of groundwater levels through the seasons in calendar year 2023.

Spring 2023 – In the mostly urbanized areas north of Arroyo Grande Creek, groundwater is extracted from the deep groundwater aquifers of the Paso Robles Formation and the Careaga Sand. The water elevation contours in the deep aquifer system in spring of 2023 generally showed a westerly to southwesterly groundwater flow, as has been seen in past years. These groundwater flow gradients and positive (above 0.0 NAVD 88) groundwater elevations are developed and maintained primarily because the NCMA agencies have managed this portion of the basin through cooperative water management and conservation efforts. The proactive management of the basin and collaborative efforts by the agencies was necessary to respond to lower water levels in the Deep Well Index more than a decade ago. The combined NCMA efforts are to ensure that fresh groundwater flow to the ocean continues to create a barrier to seawater intrusion.

April 2023 groundwater elevations in the deep aquifer system main production zone along the coast ranged from 7.5 to 13.5 feet above 0.0 NAVD 88, compared to 6.7 to 8.6 feet the previous year. In the southernmost portion of the area, the groundwater elevations, flow, and gradient are less well known because there are only a limited number of wells and point sources of water level data. The groundwater gradient and flow in this area are generally inferred on the basis of historical records and trends as well as water level data from the Nipomo Mesa Management Area (NMMA) farther east.

Cienega Valley – the Cienega Valley is in the central area of the NCMA, generally south of Arroyo Grande Creek. All known groundwater pumping in this area is from the relatively shallow (less than 100 feet deep) alluvial aquifer. Agricultural groundwater production typically results in seasonal drawdown of the alluvial aquifer in the valley. Historically, a portion of the recharge to the alluvial aquifer of 2 Note that 0.0 NAVD 88 is 2.72 feet lower than mean sea level (MSL) and is 0.08 feet above the mean lower low water (MLLW) (which can be thought of as the average height of the lowest tides), as recorded at the Port San Luis tide station datum ( https://tidesandcurrents.noaa.gov/datums.html?id=9412110) .

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the Cienega Valley came from the Paso Robles Formation aquifer on the Nipomo Mesa. However, this recharge mechanism appears to be slowing due to declining water levels on the Nipomo Mesa. This reduction of subsurface inflow exacerbates the seasonal drawdown of the alluvial aquifer in the Cienega Valley. Groundwater elevations in the alluvial aquifer in the Cienega Valley were in the range of 5 feet to more than 50 feet above 0.0 NAVD 88 in spring 2023. These data show an overall increase in alluvial groundwater elevations from April 2022 to April 2023.

Fall 2022 – Groundwater elevations in the alluvial aquifer within the Cienega Valley in October 2023 were 2 to 12 feet lower than elevations at the start of the irrigation season in April 2023, which is a typical seasonal response to the irrigation season.

No discernable pumping depression was observed in the Cienega Valley in 2023.

October 2023 groundwater elevations in the deep aquifer system main production zone along the coast ranged from 8.2 to 12.5 feet above 0.0 NAVD 88.

Deep Wells – In 2023, the Deep Well Index started the year above the trigger value with an index value of more than 9 feet in January. The index value continued to climb through early April, peaking at over 12 feet, and then generally declined through early September, reaching a low point just over 10 feet. Since early September, the index value has increased steadily, finishing the year at about 12 feet NAVD 88.

NCMA/NMMA Boundary – The water elevation in the San Luis Obispo County monitoring well (Well 32C03), which was installed to monitor aquifer conditions along the NCMA/NMMA boundary, typically exhibits regular seasonal fluctuations.

In 2023, well 32C03 recovered to levels well above 0.0 NAVD 88, with a seasonal low value of more than 6 feet NAVD 88 in September. This is a turnaround from the below 0.0 NAVD 88 seasonal low levels experienced in 2021 and 2022. The 2023 seasonal high-water level in well 32C03 is the highest seen since early 2017.

3. Change in Groundwater Storage – The change in groundwater in storage in the NCMA portion of the SMGB between April 2022 and April 2023 is estimated by comparing water level contour maps created for these periods and calculating the volume change from April 2022 to April 2023. Separate estimates of change in groundwater in storage were computed for both the deep aquifer system and for the alluvial aquifer and then summed to represent the total NCMA estimated change in groundwater in storage. Comparison of April water levels was chosen to comply with the California Department of Water Resources (DWR) reporting requirements under the Sustainable Groundwater Management Act (SGMA).3

An increase of groundwater in storage reflects a net increase in water levels across the aquifer. During the period of April 2022 to April 2023, the NCMA portion of the SMGB experienced a net increase of groundwater in storage. The net increase in

3 On September 16, 2014, Governor Jerry Brown signed into law a three-bill legislative package, composed of Assembly Bill 1739 (Dickinson), Senate Bill (SB) 1168 (Pavley), and SB 1319 (Pavley), collectively known as the Sustainable Groundwater Management Act (SGMA).

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groundwater levels represented an increase of groundwater in storage from April 2022 to April 2023 of approximately 3,610 acre-feet (AF); that is, there was approximately 3,610 AF more groundwater stored in the NCMA portion of the SMGB in April 2023 than in April 2022. The previous years increase was only 270 AF.

4. Groundwater Quality – Analytical results of key water quality data (chloride, total dissolved solids [TDS], and sodium) in 2023 were generally consistent with historical concentrations and observed ranges of constituent concentrations. In general, no water quality results were observed that are a cause of concern.

5. Water Supply and Production/Deliveries

Urban Water Use – Urban water use in 2023 among the NCMA agencies was 5,240 AF, compared to 5,471 AF in 2022. 2023 was the lowest usage in at least the last 25 years. Urban water use in the past 18 years has ranged from 5,240 AF (2023) to 8,982 AF (2007). There has been an overall decline in urban use since 2007, although there have been slight increases since the low point in 2016. The decline in pumpage since 2013 was in direct response to a statewide order by the governor to reduce the amount of water used in urban areas by 20 percent. That goal was achieved locally by conservation activities implemented by the NCMA agencies, and the relatively low urban water use has been maintained since then.

Agricultural Water Use – Agricultural acreage in the NCMA portion of the SMGB has remained relatively constant for more than 20 years. Thus, the annual applied water requirement for agricultural irrigation has been relatively stable, although it varies with weather conditions. Acknowledging the variability resulting from weather conditions, agricultural applied water is not expected to change significantly given the relative stability of applied irrigation acreage and cropping patterns in the NCMA. Changes in rural domestic pumping have not been significant.

Total Water Use – Total water use in the NCMA in 2023 (including urban use by the NCMA agencies plus agricultural irrigation and private pumping by rural water users) was 7,403 AF, compared to 8,165 AF in 2022. Of this amount, Lopez Lake deliveries were 3,493 AF (2,936 AF in 2022), California State Water Project deliveries totaled 1,213 AF (1,704 AF in 2022), and groundwater pumping from the NCMA portion of the SMGB accounted for approximately 2,697 AF (3,523 AF in 2022). The City of Arroyo Grande produced 0 AF from its Pismo Formation wells, outside the SMGB, in 2023. The breakdown is shown Table 1.

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Table 1. Water Production by Source (AF)
Agency Lopez
Lake
State
Water
Project
SMGB
Groundwater
Other
Supplies Total
Urban Area
Arroyo Grande 1,867 0 69 0 1,936
Grover Beach 793 0 373 0 1,166
Pismo Beach 433 1,037 39 0 1,509
Oceano CSD 400 176 53 0 629
Urban Water Use
Total 3,493 1,213 534 0 5,240
Non-Urban Area
Agricultural Irrigation
Applied Water 0 0 2,045 0 2,045
Rural Water Users 0 0 80 0 80
Non-potable
Irrigation by Arroyo
Grande
0 0 38 0 38
Non-Urban Water
Use Total 0 0 2,163 2,163
Total 3,493 1,213 2,697 0 7,403

6. Threats to Water Supply – Total groundwater pumping (urban, agriculture, and rural domestic) from the SMBG in the NCMA was 2,697 AF in 2023, which is 28 percent of the court accepted4 9,500 acre-feet per year (AFY) long-term safe yield of the NCMA portion of the SMBG.

When pumping is less than the safe yield of an aquifer, groundwater in storage should generally increase and result in rising groundwater levels. As such, groundwater elevations throughout the NCMA portion of the SMGB should rise significantly if several consecutive years of groundwater pumping occurs at 30 to 40 percent of the safe yield, which has been the case in the NCMA for the past decade. However, the data show that the aquifer is still in a tenuous position with respect to the threat of seawater intrusion. According to the DWR Bulletin 63-3 report, both the Paso Robles Formation aquifer and the lower confined portion of the Cienega Valley alluvial aquifer are recharged primarily from subsurface groundwater inflow from the east, where the overlying confining layers are thin to non-existent (DWR, 1970). Any increase in the regional pumping, or any other changes that reduce recharge from the east will leave the NCMA with a serious groundwater deficit that threatens seawater intrusion.

4 The calculated, consensus safe yield value of 9,500 AFY for the NCMA portion of the SMGB was formalized in the 2002 Settlement Agreement through affirmation of the 2002 Groundwater management Agreement among the NCMA agencies, which is described in more detail in the annual report.

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Historically, groundwater flowed from higher elevations inland westward towards the ocean, thereby acting to prevent seawater intrusion. As first recognized in 2008–2009, a well-documented pumping depression5 in the deep aquifer system near Black Lake Canyon within the NMMA appears to have reversed the groundwater gradient. The development of a landward gradient in the southern portion of the NCMA, caused by the pumping depression in the NMMA, likely reduces the historical recharge volume of subsurface inflow into the NCMA from Nipomo Mesa. This reduction of subsurface inflow to the NCMA creates conditions more likely to result in seawater intrusion in the NCMA and NMMA and it exacerbates the seasonal drawdown of the alluvial aquifer in the Cienega Valley.

During 2023, there were no indications of seawater intrusion. This is due in large part to water conservation measures enacted by the NCMA agencies. Urban water use in 2023 was the lowest it has been in at least the last 25 years.

Conclusion and Recommendation
This report is for information only. Staff recommends the City Council receive the NCMA Annual Report, discuss the report and ask any questions it may have.

FISCAL IMPACT:

There is no direct fiscal impact associated with this report.

ATTACHMENTS:

1. 2023 NCMA Annual Report (online attachment only6)
Submitted by: Benjamin A. Fine, P.E., Director of Public Works/City Engineer City Manager Approval:
5 As documented in NMMA annual reports, available at https://ncsd.ca.gov/resources/reports-by-subject . (Accessed March 9, 2021.)
6 Full URL:
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Pismo Beach City CouncilJune 18, 2024

Pismo Beach City Council
June 18, 2024