CITY OF PITTSBURG
AMENDED AGENDA
JANUARY 16, 2024
CITY HALL COUNCIL CHAMBER
65 CIVIC AVENUE, PITTSBURG, CA
CLOSED SESSION
6:00 P.M.
REGULAR MEETING
7:00 P.M.
CITY COUNCIL
PITTSBURG ARTS AND COMMUNITY FOUNDATION
PITTSBURG POWER COMPANY
SOUTHWEST PITTSBURG GEOLOGIC HAZARD ABATEMENT DISTRICT II
SUCCESSOR AGENCY
PRESIDING
Juan Antonio Banales, Mayor/Chair
Jelani Killings, Vice- Mayor/Chair
Dionne Adams, Council Member/Board Member
Angelica Lopez, Council Member/Board Member
Shanelle Scales-Preston, Council Member/Board Member
FOR HOUSING AUTHORITY:
S.L. Floyd, Housing Authority Member
Annie Hill Herring, Housing Authority Member
-------------------------------------------------------------------------------------------------------------------------- Pittsburg City Council regular meetings are held the first and third Mondays of each month at 7:00 p.m. The Housing Authority meets in conjunction with the City Council on the third Monday of each month. The Pittsburg City Council meets regularly in the Council Chamber at 65 Civic Avenue, unless otherwise noted above. The City Council also sits as the Board of Directors of several other City agencies. The stipends for all agency members conform to state statutes governing compensation amounts.
All other Agencies meet on an as needed basis and will be listed above if applicable. Copies of the open session agenda packets, which are distributed to the City Council, are on file in the office of the City Clerk, 65 Civic Avenue, Pittsburg, California, and are available for public inspection, beginning 72 hours in advance, during normal business hours (8:00 a.m. – 5:00 p.m., Monday through Friday, except from noon to 1:00 p.m. and City holidays). The agenda and reports are also located on the City’s website at www.pittsburgca.gov. Additionally, if any reports or documents, which are public records, are distributed to the City Council less than 72 hours before the meeting, those reports and documents will also be available for public inspection in the City Clerk’s Office and on the day of the meeting in the Council Chamber at the public counter area below the dais. 1 AUDIENCE REMARKS
The Audience Remarks period is for the public to comment on any items scheduled to be heard during the Closed Session portion of the meeting, if applicable.
6:00 P.M. - CONVENE IN CLOSED SESSION
1. CONFERENCE WITH REAL PROPERTY NEGOTIATORS pursuant to Section 54956.8:
Property:4000-4004 Railroad Avenue; City negotiators: Garrett Evans, Maria Aliotti
Negotiating party: Contra Costa County Tax-Defaulted Properties; Under negotiation: Price and terms of payment
2. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION Initiation of litigation pursuant to Section 54956.9(d)(4):
Number of cases: One
7:00 P.M. - CONVENE IN OPEN SESSION FOR REGULAR MEETING
CALL TO ORDER
ROLL CALL
PLEDGE OF ALLEGIANCE
PROCLAMATIONS
3. Martin Luther King Jr. Day
4. Human Trafficking Awareness Month
CITY MANAGER REPORTS/REMARKS
The City Manager may make brief announcements or informal comments at this time and brief the Council on items of interest. (No Action Required)
PUBLIC COMMENTS
Members of the audience who wish to address the City Council or Agency Boards on issues that are not scheduled for the agenda and on any items listed as part of the Consent Calendar should complete a Speaker's Card available at the dais. Please read the card carefully in order to fill out the card properly.
Submit the completed card to the City Clerk before the item is called, preferably before the meeting begins. Individuals will be given three minutes to address the Council unless additional time is allowed as provided for spokespersons. Prior to speaking, each member of the public shall state their name and business and City of residence in a clear and audible tone of voice. (No Action Required)
COMMITTEE REPORTS
Council Members may make a report on their committee assignments at this time. (see attached list of adhoc committees and other public agencies in which Council members particiapte). (No Action Required) 2 PUBLIC HEARING
5. Adoption of a City Council Resolution Authorizing Use of the Bond Opportunities for Land Development (“BOLD”) Program and Authorizing the California Municipal Finance Authority to Accept Applications from Property Owners, Conduct Proceedings and Levy Special Taxes Within the Territory of the City of Pittsburg Pursuant to the Mello-Roos Community Facilities Act of 1982, as Amended; and Authorizing Related Actions
The California Municipal Finance Authority (CMFA) works on behalf of its local agency members to facilitate economic development. City staff has been provided information regarding the Bond Opportunities for Land Development (BOLD) Program offered by CMFA that can be used to finance public infrastructure required for new development within the City.
CONFLICT OF INTEREST STATEMENT
City Council/Agency Members may make any conflict of interest declarations pertaining to Consent Calendar items at this time.
COMBINED CITY COUNCIL, PITTSBURG ARTS AND COMMUNITY FOUNDATION,
PITTSBURG POWER COMPANY, SUCCESSOR AGENCY AND SOUTHWEST
PITTSBURG GHAD II CONSENT CALENDAR
6. Adoption of Two City Council Resolutions to: 1) Accept an OBAG-II Grant; and 2) Accept the Plans and Specifications, Decline to Waive Bid Irregularity, and Award Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation The City applied for, and has been awarded, the One Bay Area Grant II (OBAG II) totaling $2,410,000 for construction of Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation (the “Project”). The City’s matching fund requirement to the Project is $276,427. The Project will rehabilitate the pavement at portions of West Leland Road and Loveridge Road.
7. Adoption of a City Council Resolution Accepting Project 5515 - Basin 3 Dredge as Complete and Authorizing the City Engineer to File a Notice of Completion Project 5515 - Basin 3 Dredge (the “Project”) included dredging of basin 3, the boat launch ramp, and the New York Landing Homeowners Association (NYLHOA) residential channel. This resolution will accept the construction contract as complete and authorize the City Engineer to file a Notice of Completion.
8. Adoption of a City Council Resolution Accepting Project 1802 - Police Department Electric Vehicle Chargers as Complete and Authorizing the City Engineer to File a Notice of Completion
Project 1802 - Police Department Electric Vehicle Chargers (the “Project”) installed six electric vehicle chargers in the Police Department’s secured lot. This resolution will accept the construction contract as complete and authorize the City Engineer to file a Notice of Completion.
3 9. Adoption of a City Council Resolution Allocating Fiscal Year 2022-2023 Measure M Surplus and Measure M Reserve Funds for the Repair and Replacement of Amusement Rides at Small World Park
The Public Works and Recreation Departments are seeking to allocate Fiscal Year 2022-2023 Measure M Surplus and Measure M Reserve funds for the replacement and repair of amusement rides at Small World Park.
10. Adoption of a Successor Agency Minute Order Approving the July 1, 2024 – June 30, 2025 Recognized Obligation Payment Schedule
The Successor Agency for the Redevelopment Agency of the City of Pittsburg (Successor Agency) has prepared its Recognized Obligation Payment Schedule (ROPS) for the period of July 1, 2024 – June 30, 2025 (ROPS 24-25), pursuant to AB 26x1, also referred to as the “Dissolution Act”.
COUNCIL REQUEST FOR FUTURE AGENDA ITEMS
Council Members may request items to be considered for future agendas. An item will only be brought forward with a majority vote and will appear on a future agenda with staff recommendations for further Council consideration.
COUNCIL MEMBER REMARKS
Council Members may make brief announcements or informal comments at this time. (No Action Required) ADJOURNMENT TO FEBRUARY 5, 2024
4 NOTICE TO PUBLIC
GENERAL INFORMATION
Copies of the open session agenda packets, as distributed to the City Council, are on file in the office of the City Clerk, 65 Civic Avenue, Pittsburg, California, and are available for public inspection, beginning 72 hours in advance, during normal business hours (8:00 a.m. – 5:00 p.m., Monday through Friday, except City holidays). Full agenda packets are also located on the City’s website at www.pittsburgca.gov. If any reports or documents, which are public records, are distributed to the City Council less than 72 hours before the meeting, those reports or documents will be available for public inspection in the City Clerk’s Office and on the day of the meeting in the Council Chamber at the public counter area below the dais.
SPEAKER’S CARD
Members of the audience who wish to address the City Council on issues that are not scheduled for the agenda and on any items listed as part of the agenda should complete a Speaker’s Card available at the dais. Please read the card carefully in order to fill out the card properly. Submit the completed card to the City Clerk before the item is called, preferably before the meeting begins. Individuals will be given up to three minutes to address the Council unless additional time is allowed as provided for spokespersons. Speakers are not permitted to yield their time to another speaker. Prior to speaking, each member of the public shall state their name and business and City of residence in a clear and audible tone of voice. Pursuant to the Brown Act, no action may be taken by the City Council on items not already scheduled on the agenda; however, the City Council may refer your comments/concerns to staff or request that the item be placed on a future agenda.
PUBLIC HEARINGS
Persons who wish to speak on Public Hearings listed on the agenda will be heard when the Public Hearing is opened, except on Public Hearing items previously heard and closed to public comment. After the public has commented, the item is closed to public comment and brought to the Council/Agency level for discussion and action. Further comment from the audience will not be received unless requested by the Council/Agency.
There is a 90-day limit for the filing of a challenge in the Superior Court to certain City administrative decisions and orders which require a hearing by law, the receipt of evidence, and the exercise of discretion. The 90-day limit begins on the date the decision is final (Code of Civil Procedure Section 1094.6). Further, if you challenge an action taken by the City Council in court, you may be limited, by California law, including but not limited to Government Code Section 65009, to raising only those issues you or someone else raised in the public hearing, or in written correspondence delivered to the City Council prior to or at the public hearing. The City Council may be requested to reconsider a decision if the request is made prior to the next City Council meeting, regardless of whether it is a regular or special meeting.
NOTICE TO THE DISABLED AND VISUALLY OR HEARING IMPAIRED In compliance with the Americans with Disabilities Act, the City of Pittsburg will provide special assistance for disabled residents. Upon request, an agenda for any meeting shall be made available in appropriate alternative formats. The Council Chamber is equipped with sound amplifier units for use by the hearing impaired. The units operate in conjunction with the Chamber’s sound system. You may request the sound amplifier from the City Clerk for personal use during Council meetings. If you need special assistance to participate in this meeting, or are requesting a specially formatted agenda, please contact the City Clerk at (925) 252-4850. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting or provide the requested agenda format. (28 CFR 35.102-35.104 ADA Title II)
DISRUPTIVE CONDUCT
The Council requests that you observe the order and decorum of our Council Chamber by turning off or setting to vibrate all cellular telephones and electronic devices, and that you refrain from making personal, impertinent, or slanderous remarks. Boisterous and disruptive behavior while the Council is in session, and the display of signs in a manner which violates the rights of others or prevents others from watching or fully participating in the Council meeting, is a violation of our Municipal Code and any person who engages in such conduct can be ordered to leave the Council Chamber by the Mayor.
LIVE MEDIA BROADCASTING ADVISEMENT
City Council meetings are webcast live on the City’s website at www.pittsburgca.gov on the Agendas and Live Meetings page. Past meetings and approved minutes are also archived on that webpage. Watch the live meeting via the City’s webcast (www.pittsburgca.gov - Agendas and Live Meetings), on Comcast Channel 24 Delta TV, AT&T U-Verse Channel 99 Delta TV. Contact the City Clerk’s office at (925) 252-4850 for more information 5 City Council Agency/Liaison/Subcommittee Assignments as of January 5, 2024
OUTSIDE AGENCY BOARDS COUNCIL MEMBER(S) TYPE MEETS TIME STAFF ABAG Dionne Adams / Jelani Killings Alternate Standing Annual G. Evans Delta Diablo* Juan Banales / Shanelle Scales-Preston Alternate Standing 2nd Wednesday 4:30 PM J. Samuelson East Co. Co. County Habitat Conservancy Angelica Lopez / Juan Banales Alternate Standing 4th Monday Bi-Monthly 2:00 PM J. Davis East County Water Management Juan Banales / Jelani Killings Alternate Standing Annual J. Samuelson MCE Clean Energy Board Shanelle Scales-Preston / Angelica Lopez Alternate Standing Quarterly 7:00 PM D. Buchanan TRANSPLAN / ECCRFFA Shanelle Scales-Preston / Juan Banales Alternate Standing 2nd Thursday 6:30 PM J. Samuelson Tri-Delta Transit (2 reps)** Shanelle Scales-Preston & Dionne Adams / Jelani Killings Alternate Standing 4th Wednesday 4:00 PM J. Samuelson
LIAISON TO COUNCIL MEMBER(S) TYPE MEETS TIME STAFF
East Bay League of California Cities Shanelle Scales-Preston / Jelani Killings Alternate Standing 3rd Thursday G. Evans Los Medanos Health Advisory Committee Shanelle Scales-Preston & Jelani Killings Ad Hoc As needed M. Aliotti Mayor’s Conference Juan Banales & Jelani Killings Alternate Standing 1st Thursday 6:30 PM G. Evans Pittsburg Police Activities League (PAL) Shanelle Scales-Preston & Angelica Lopez / Dionne Adams Alternate Standing Monthly S. Albanese School Districts Committee (2x2) Jelani Killings & Angelica Lopez / Dionne Adams Alternate Standing Quarterly M. Aliotti
SUBCOMMITTEES COUNCIL MEMBER(S) TYPE MEETS TIME STAFF
Budget Sustainability Juan Banales & Jelani Killings Ad Hoc As needed G. Evans Community and Economic Development Jelani Killings & Dionne Adams / Juan Banales Alternate Standing TBD J. Davis Finance Management Juan Banales & Jelani Killings / Shanelle Scales-Preston Alternate Standing 3rd Friday 4:00 PM P. Rodrigues Government Performance Juan Banales & Jelani Killings Ad Hoc 4th Friday 4:00 PM J. Brizel Infrastructure and Transportation Shanelle Scales-Preston & Dionne Adams / Juan Banales Alternate Standing 3rd Friday 1:30 PM J. Samuelson Life Enrichment Dionne Adams & Angelica Lopez / Shanelle Scales-Preston Alternate Standing 3rd Wednesday 5:30 PM K. Simonton Pittsburg Arts and Community Foundation Shanelle Scales-Preston & Jelani Killings Standing As needed K. Simonton Public Safety Shanelle Scales-Preston & Angelica Lopez / Jelani Killings Alternate Standing 1st Wednesday 5:30 PM S. Albanese Tobacco, Cannabis, Alcohol Policy Review Shanelle Scales-Preston & Jelani Killings Ad Hoc As needed G. Evans *Stipend of $170 per month
** Stipend of $100 per month
6 7
8 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of a City Council Resolution Authorizing Use of the Bond Opportunities for Land Development (“BOLD”) Program and Authorizing the California Municipal Finance Authority to Accept Applications from Property Owners, Conduct Proceedings and Levy Special Taxes Within the Territory of the City of Pittsburg Pursuant to the Mello-Roos Community Facilities Act of 1982, as Amended; and Authorizing Related Actions
MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
The California Municipal Finance Authority (CMFA) works on behalf of its local agency members to facilitate economic development. City staff has been provided information regarding the Bond Opportunities for Land Development (BOLD) Program offered by CMFA that can be used to finance public infrastructure required for new development within the City.
FISCAL IMPACT
There is no fiscal impact related to the authorization for participation in the BOLD program.
Further, there is no future cost to the City related to implementation or administration. All of the costs and expenses related to the formation, issuance of bonds, and ongoing administration for any Community Facilities District (CFD) formed by the BOLD program is the responsibility of CMFA and there is no liability or fiscal impact on the local agency. This action would not establish a CFD or authorize the future establishment of a CFD on existing development.
RECOMMENDATION
Staff recommends the City Council adopt a Resolution authorizing use of the BOLD Program and authorizing related actions.
9 BACKGROUND
The City is a member of CMFA, a State-wide joint powers authority whose members are numerous public entities throughout California. CMFA has the authority to issue bonds to meet its mission of supporting economic development, job creation and social programs throughout the State.
The BOLD Program offers a means to finance new or continuing construction of infrastructure and public facilities through bonds CMFA issues as an alternative to issuance of land-secured bonds directly by a public entity. The BOLD Program is designed to help local government municipalities and land developers throughout the State work together to cost effectively finance public infrastructure projects and development fees.
Under the BOLD Program, bonds are issued by a CFD formed by CMFA under the Mello- Roos Community Facilities Act of 1982 (California Government Code Section 53311 et seq.) (the “Act”). The Act offers great financing flexibility and is commonly used by cities and other local agencies throughout the State to generate funds for the payment of public facilities, including development fees for facilities.
SUBCOMMITTEE FINDINGS
On June 16, 2023, an overview of the BOLD Program was presented to the Finance Subcommittee. On October 20, 2023, the BOLD Program was again presented to the Finance Subcommittee; while the Finance Subcommittee noted that BOLD provided a potentially beneficial way of completing large infrastructure projects compared to normal assessment districts, the Finance Subcommittee requested additional information regarding the impact on residents of the assessments required to repay the amortized cost compared to privately funded installations which may increase home prices.
On December 15, 2023, the BOLD program was again presented to the Finance Subcommittee, along with a larger presentation on CFDs and assessment districts. During this presentation, Piper Sandler Companies discussed the benefits of utilizing CFDs for both the developer and for homeowners. While not guaranteed, it is often less costly to the homeowner to pay the assessments via a CFD as opposed to the added purchase price of a home resulting from privately funded infrastructure construction, due mainly to the “cost of capital,” or the cost that a developer incurs in borrowing money from creditors or investors through equity financing.
Following this discussion on December 15, the Subcommittee voiced general support and recommended staff to bring the item before the City Council for consideration.
STAFF ANALYSIS
Future residential development will require the City to provide extensive infrastructure and other additional public facilities to accommodate growth. Currently, staff estimates more than 8,000 potential residential units, along with over 5,000,000 square feet of commercial and industrial space could be constructed over the next 20 years. While developers are generally required to provide funding or construct new improvements, these may be delayed as the City awaits additional development that will contribute to project completion. As mentioned above, staff has identified the BOLD Program as a cost-effective opportunity to support the development of infrastructure required to support new development. By working directly with developers, the BOLD Program facilitates financing for infrastructure and fee 10 obligations of developers, covering a broad range of development cost obligations necessary for new development imposed by municipalities, including both facilities and/or impact fees.
Although the CFD would be formed within the City’s jurisdiction, using the BOLD Program alleviates staff time constraints and allows staff to focus on other aspects of processing land development projects, as the BOLD Program is administered by a team of bond industry professionals with significant experience in CFDs in the State. CMFA and its consultant team will form and approve each CFD. CMFA will issue bonds on behalf of the CFD and will utilize the services of a special tax consultant and administrator to create the special tax formula and administer, levy, and collect the special taxes. In addition, if the City desires to use a municipal advisor of its own choosing to review the BOLD Program application and/or other program documents, it may do so, with all related costs payable from bond proceeds.
Formation of the CFD requires the establishment of the annual special tax rates. The formula for computing special tax rates will be included in the resolutions to be adopted as part of the CFD formation proceedings. Typically, the formula will include a basic, undeveloped land tax with an increase in rate and shifting of the tax to developed lands at building permit stage. The total amount of taxes on developed land generally will not exceed 2% of its market value in its completed state, per industry standards.
The City will need to approve the use of a CFD to acquire public facilities and the financing thereof, and enter into an acquisition or similar agreement to receive the bond proceeds, and to meet the general requirements to maintain the tax exemption of interest on the bonds.
Once bond issuance occurs, the City will receive bond proceeds pursuant to an agreement to be entered into between the City and CMFA to ensure bond proceeds are spent in accordance with the Act and other applicable law. The proceeds are held by a bond trustee and are not directly paid to the developer but are available as directed by the developer and approved by the local agency, to be used to meet obligations to the City according to the structure and timing required for development approvals. The City will determine and agree to its role in inspecting and accepting infrastructure and/or payment of financed impact fees.
The CFD may be formed early in the development process, with issuance of bonds at a later time or in multiple series. The following are the typical criteria for bond issuance. • Minimum 4:1 value-to-debt ratio overlapping (assessed or appraised); • No discretionary approvals required for build-out of the portion of the CFD directly relating to the bond security;
• Entitlements received that are necessary for phase to be bonded; and • Financing plan for backbone infrastructure complete or imminent and/or performance bond in place.
In addition, a grant from a portion of the issuance fee is made to the California Foundation for Stronger Communities to fund charities designated by the member communities. A portion of the annual fees received by CMFA are in turn directed to charitable activities within California communities, particularly those of members and participating local government agencies (approximately 25% of the CMFA issuance fee). 11 ATTACHMENTS: Resolution
Report prepared by: Jordan Davis, Director of Community and Economic Development 12 Resolution No. 24- Page 1 of 3 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Authorizing Use of the Bond Opportunities )
For Land Development (“BOLD”) Program )
And Authorizing the California Municipal )
Finance Authority to Accept Applications )
from Property Owners, Conduct )
Proceedings and Levy Special Taxes ) RESOLUTION NO. 24- Within the Territory of City of Pittsburg )
Pursuant to the Mello-Roos Community )
Facilities Act of 1982, as Amended; and )
Authorizing Related Actions )
WHEREAS, the City seeks to ensure the construction of infrastructure and other public facilities adequate to provide for a growing population; and WHEREAS, future residential development will require the City to provide extensive infrastructure and other additional public facilities to accommodate growth.
Currently, staff estimates more than 8,000 potential residential units, along with over 5,000,000 square feet of commercial and industrial space could be constructed over the next 20 years; and
WHEREAS, while developers are generally required to provide funding or construct new improvements, these may be delayed as the City awaits additional development that will contribute to project completion; and
WHEREAS, the City is a member agency of the California Municipal Finance Authority (CMFA), a State-wide joint powers authority whose members are numerous public entities throughout California; and
WHEREAS, CMFA works on behalf of its local agency members to facilitate economic development; and
WHEREAS, CMFA has the authority to issue bonds to meet its mission of supporting economic development, job creation and social programs throughout the State; and
WHEREAS, the Bond Opportunities for Land Development (BOLD) Program offered by CMFA can be used to finance public infrastructure required for new development within the City. The BOLD Program offers a means to finance new or continuing construction of infrastructure and public facilities through bonds CMFA issues as an alternative to issuance of land-secured bonds directly by a public entity.
The BOLD Program is designed to help local government municipalities and land developers throughout the State work together to cost effectively finance public infrastructure projects and development fees; and
13 Resolution No. 24- Page 2 of 3 January 16, 2024 WHEREAS, under the BOLD Program, bonds are issued by a community facilities district (CFD) formed by CMFA under the Mello-Roos Community Facilities Act of 1982 (California Government Code Section 53311 et seq.) (the “Act”); and WHEREAS, staff has identified the BOLD Program as a cost-effective opportunity to support the development of infrastructure required to support new development. By working directly with developers, the BOLD Program facilitates financing for infrastructure and fee obligations of developers, covering a broad range of development cost obligations necessary for new development imposed by municipalities, including both facilities and/or impact fees; and WHEREAS, authorization of the BOLD Program is exempt from the requirements of the California Environmental Quality Act (CEQA) under the general rule of applicability of the State CEQA Guidelines, section 15061, in that there is no possibility that the activity in question would have a significant negative physical impact on the environment. The BOLD Program is a financing tool that would not authorize any development project; and
WHEREAS, on June 16, 2023, an overview of the BOLD Program was presented to the Finance Subcommittee; and
WHEREAS, on October 20, 2023, the BOLD Program was again presented to the Finance Subcommittee; while the Finance Subcommittee noted that BOLD provided a potentially beneficial way of completing large infrastructure projects compared to normal assessment districts, the Finance Subcommittee requested additional information regarding the impact on residents of the assessments required to repay the amortized cost compared to privately funded installations which may increase home prices; and
WHEREAS, on December 15, 2023, the BOLD program was again presented to the Finance Subcommittee, along with a larger presentation on CFDs and assessment districts. During this presentation, Piper Sandler Companies discussed the benefits of utilizing CFDs for both the developer and for homeowners. While not guaranteed, it is often less costly to the homeowner to pay the assessments via a CFD as opposed to the added purchase price of a home resulting from privately funded infrastructure construction, due mainly to the “cost of capital,” or the cost that a developer incurs in borrowing money from creditors or investors through equity financing; and WHEREAS, following this discussion on December 15, the Subcommittee voiced general support and recommended staff to bring the item before the City Council for consideration; and
WHEREAS, on or prior to January 11, 2024, a “Notice of Public Hearing” for the January 16, 2024, public hearing on this item was published in the East County Times; was posted at City Hall; was delivered for posting at the Pittsburg Library; and was mailed via first class or electronic mail to local service agencies whose services might be affected by this project, and to individuals who had previously filed written request for 14 Resolution No. 24- Page 3 of 3 January 16, 2024 such notice; and
WHEREAS, on January 16, 2024, the City Council held a duly noticed public hearing on this item at which time oral and/or written testimony was considered.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pittsburg hereby authorizes use of the BOLD Program, and authorizes CMFA to accept applications from property owners, conduct proceedings, and levy special taxes within the territory of the City pursuant to the Act, as amended.
BE IT FURTHER RESOLVED that the City Council of the City of Pittsburg hereby authorizes the City Manager to authorize CMFA to take related actions to implement the BOLD Program.
PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
Juan Antonio Banales, Mayor
ATTEST:
Alice E. Evenson, City Clerk
15 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of Two City Council Resolutions to: 1) Accept an OBAG-II Grant; and 2) Accept the Plans and Specifications, Decline to Waive Bid Irregularity, and Award Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation
MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
The City applied for, and has been awarded, the One Bay Area Grant II (OBAG II) totaling $2,410,000 for construction of Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation (the “Project”). The City’s matching fund requirement to the Project is $276,427. The Project will rehabilitate the pavement at portions of West Leland Road and Loveridge Road.
FISCAL IMPACT
The total Project budget estimate is $4,350,000. The estimated budget includes $2,410,000 from the OBAG II grant and $1,940,000 of local Road Maintenance and Rehabilitation Account (RMRA) funds, which exceeds the local match requirement.
The proposal from Ghilotti Construction Company, Inc. is $2,794,872.80 for the base bid and $469,533.50 for add alternate 1 for a combined total bid amount of $3,264,406.30.
City staff have been notified by Caltrans that the OBAG II funds that the City was awarded are currently unavailable. Staff recommends awarding the project and only constructing the improvements on Loveridge Road using the RMRA funds currently available. Once Caltrans has released the OBAGII funds to the City, the West Leland Road improvements will commence.
A project budget summary is attached to this report.
16 RECOMMENDATION
Staff recommends that the City Council adopt the two Resolutions to: 1) accept the $2,410,000 OBAG II grant; and 2) accept the plans and specifications, decline to waive a bid irregularity, and award a contract with Ghilotti Construction Company, Inc. in the amount of $3,264,406.30 for construction of the Project.
Staff also recommends that the City Council allocate a construction contingency of $506,656 for any unanticipated costs and contract change orders. Staff recommends the higher than usual contingency amount to allow for the possibility of constructing as much of the bid alternate 2 scope through change orders.
Staff further recommends that the City Engineer be authorized to approve contract change orders in an amount not to exceed 50% of the construction contingency and the City Manager be authorized to approve change orders in an amount not to exceed the approved project budget.
BACKGROUND
To augment the limited budget available for pavement improvements within the City, Staff seek out grant opportunities to fund necessary projects. Staff applied for the OBAG II grant to acquire funding for the Project. In November of 2015, the Metropolitan Transportation Commission found that the City’s Project met all the necessary criteria and was selected as one of the projects to receive funding as part of the OBAG II Program.
The Project includes a 3-inch mill with 3-inch Hot Mix Asphalt (HMA) and an optional additional 3-inch mill with 3-inch HMA on West Leland Road from Broadway Avenue to Serrano Way and from Crestview Drive to Railroad Avenue. The project also includes a 4- inch mill with 4-inch HMA and an optional additional 4-inch mill with 4-inch HMA on Loveridge Road from California Avenue to Pittsburg-Antioch Highway.
On November 18, 2015, the City was awarded the Metropolitan Transportation Commission OBAG II in the amount of $2,410,000.
On December 21, 2020, the City Council adopted Resolution No. 20-13859 approving an addendum to the 5-year Capital Improvement Program for Fiscal Years 2019/20 through 2023/24, allocating $300,000 of RMRA Funds to the Project.
On June 20, 2021, the City Council adopted Resolution No. 21-13942, approving the Operating Budget for Fiscal Year 2021/22 allocating $40,000 of RMRA Funds to the Project.
On September 21, 2021, the City Council adopted Resolution No. 21-13988, allocating $1,100,000 of RMRA Funds to the Project.
On July 18, 2022, the City Council adopted Resolution No. 22-14125, approving the Five- Year Capital Improvement Program for Fiscal Years 2022/23 through 2026/27 allocating $500,000 of RMRA Funds to the Project.
On October 20, 2023, staff advertised the project for construction bids. 17 On November 29, 2023, twelve bids were received for project construction and staff concluded that Ghilotti Construction Company, Inc. was the lowest responsive, responsible bidder with a bid of $3,264,406.30.
Staff reviewed the bid proposals for arithmetical errors, completeness, and conformance with the bid requirements.
SUBCOMMITTEE FINDINGS
This item was not presented to a subcommittee.
STAFF ANALYSIS
Loveridge Road and West Leland Road are major arterial roads in the city that receive large volumes of traffic. These roads are often traveled by a significant number of heavy vehicles, due to the surrounding businesses and ease of access to the freeway. Over time, the repeated loading of the roads from vehicle travel causes the asphalt to fail. The failure of asphalt causes damage such as cracks, depressions, potholes, pumping, and differential settling, causing harsh road conditions.
The asphalt failures within the Project limits are considered severe and require immediate rehabilitation. This Project will remove and replace the failed asphalt and provide Pittsburg residents with a smoother driving experience.
On November 29, 2023, twelve bids were received for project construction. When the bids were opened, Azul Works Inc. was the apparent low bidder. However, during a review of its bid submittal, mathematical errors were discovered which increased its bid price, making Azul Works Inc. no longer the apparent low bidder. As a result, MCK was determined to be the apparent lowest bidder.
On December 6, 2023, Ghilotti Construction Company, Inc. submitted a bid protest stating MCK did not conform to the bid requirements for supplying a correct bid for Traffic Control.
Specification Section 10-1.05 Traffic Control states, “The bid for Traffic Control shall not exceed 5% of the total bid cost.” MCK submitted a total bid of $3,264,062.66, of which five percent (5%) equals $163,203.13, and submitted a bid item cost for Traffic Control equaling $172,500.00 which exceeds 5%.
Staff reviewed the bid protest and forwarded it to MCK on December 7, 2023 to provide a response. On December 11, 2023, MCK provided a response stating that they believe the overage of the Traffic Control bid should be deemed a minor irregularity, waived, and they should be awarded the project.
Staff reviewed the bid protest, and the response, and determined that MCK's bid proposal is non-responsive based on the bid requirement for Traffic Control as stated in specification Section 10-1.05. Staff recommends that the City Council decline to waive the irregularity and award the contract to Ghilotti Construction Company, Inc., as the apparent lowest responsive, responsible bidder with a bid of $3,264,406.30 Since Caltrans has notified the City that the grant funds are currently unavailable, City staff recommends awarding the Project in full to Ghilotti Construction Company, Inc. but City staff will only provide Ghilotti Construction Company, Inc. with a notice to proceed for the work on Loveridge Road. This portion of the Project has $1,940,000 of local RMRA funds already 18 allocated to the Project which will cover the cost of construction on Loveridge Road. The remaining work on West Leland Road will be authorized once the grant funds become available.
ATTACHMENTS: Resolution
Resolution
Budget Summary
Bid Protest
Response to Bid Protest
Report Prepared By: Gabriel Piña, Associate Engineer
19 Resolution No. 24- Page 1 of 1 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Accept an OBAG II Grant for )
Construction of Project 2231-West )
Leland Road and Loveridge Road Phase) RESOLUTION NO. 24- II Rehabilitation )
WHEREAS, the City applied for, and has been awarded, the One Bay Area Grant II (OBAG II) totaling $2,410,000 for the construction of Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation (the “Project”); and WHEREAS, the Project will rehabilitate the pavement at portions of West Leland Road and Loveridge Road; and
WHEREAS, the City’s matching fund requirement for the Project is $276,427; and WHEREAS, staff recommends that the $2,410,000 OBAG II Grant be accepted and applied to the Project budget.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pittsburg hereby accepts the $2,410,000 OBAG II Grant.
PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
_____________________________
Juan Antonio Banales, Mayor
ATTEST:
_______________________________
Alice E. Evenson, City Clerk
20 Resolution No. 24- Page 1 of 2 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Accept the Plans and Specifications, )
Decline to Waive Bid Irregularity, and ) RESOLUTION NO. 24- Award a Contract for Project 2231- )
West Leland Road and Loveridge Road )
Phase II Rehabilitation )
WHEREAS, Project 2231-West Leland Road and Loveridge Road Phase II Rehabilitation (the “Project”) will rehabilitate sections of Loveridge Road and West Leland Road; and
WHEREAS, on November 18, 2015, the City received notice of award of the Metropolitan Transportation Commission One Bay Area Grant II in the amount of $2,410,000; and
WHEREAS, on December 21, 2020, the City Council adopted Resolution No. 20- 13859 approving an addendum to the 5-year Capital Improvement Program Fiscal Years 2019/20 through 2023/24, allocating $300,000 of RMRA funds to the Project; and WHEREAS, on June 20, 2021, the City Council adopted Resolution No. 21-13942, approving the Operating Budget for Fiscal Year 2021/22 allocating $40,000 of RMRA funds to the Project; and
WHEREAS, on September 21, 2021, the City Council adopted Resolution No. 21- 13988, allocating $1,100,000 of RMRA funds to the Project; and WHEREAS, on July 18, 2022, the City Council adopted Resolution No. 22-14125, approving the Five-Year Capital Improvement Program for Fiscal Years 2022/23 through 2026/27 allocating $500,000 of RMRA funds to the Project; and WHEREAS, on October 20, 2023, staff advertised the Project for bids; and WHEREAS, on November 29, 2023, 12 bids were received; and WHEREAS, Azul Works Inc. was the apparent low bidder. However, on review of the bid, mathematical errors became apparent, increasing the bid above one or more other bidders; and
WHEREAS, MCK became the apparent low bidder; and
WHEREAS, staff became aware of a lack of conformity of MCK’s bid with the bid requirements, and received a bid protest from bidder Ghilotti Construction Company Inc. asserting MCK did not comply with the requirement that the bid for traffic control not exceed five percent of the total bid; and
21 Resolution No. 24- Page 2 of 2 January 16, 2024 WHEREAS, staff forwarded the bid protest to MCK, and MCK provided a response seeking the City to deem the matter a minor irregularity, waive it, and award the contract to MCK; and
WHEREAS, staff determined the MCK is non-responsive on the basis that the traffic control portion of the bid exceeds the maximum percentage allowed by the bid requirements, and recommends that the City Council decline to waive the irregularity and award the contract to Ghilotti Construction Company Inc. as the lowest responsive, responsible bidder with a base bid plus bid alternate one total in the amount of $3,264,406.30; and
WHEREAS, staff recommends that the City Council accept the plans and specifications; and
WHEREAS, staff further recommends establishing a construction contingency in the amount of $506,656 for unanticipated costs and contract change orders; and WHEREAS, staff recommends that the City Engineer or his designee be authorized to approve contract change orders for a total amount not to exceed 50% of the contingency and the City Manager be authorized to approve change orders for a total amount not to exceed the approved project budget.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Pittsburg hereby accepts the plans and specifications, declines to waive the irregularity in the bid from MCK, and awards a construction contract to Ghilotti Construction Company, Inc.
BE IT FURTHER RESOLVED, that the City Council authorizes a construction contingency in the amount of $506,656, authorizes the City Engineer or his designee to approve contract change orders for this Project for a total amount not to exceed 50% of the contingency, and authorizes the City Manager to approve change orders for an amount not to exceed the approved project budget.
PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
_____________________________
Juan Antonio Banales, Mayor
ATTEST:
____________________________
Alice E. Evenson, City Clerk
22 Budget Summary
Project 2231 - West Leland Road and Loveridge Road Phase II Rehabilitation Project Funding
Previously allocated RMRA funds $1,940,000
OBAG II Grant $2,410,000
Funding Total $4,350,000
Project Expenditures:
(Code 2122) Design Consultant $447,460
Subtotal $447,460
Miscellaneous:
(Code 1399) Advertising $1,477
Subtotal $1,477
Construction: Construction $3,264,407
Construction Conitngency $506,656
Material Testing $50,000
Subtotal $3,821,063
Staff Time:
(Code 1101) Staff Costs $40,000
Subtotal $40,000
Admin:
(Code 2372) Overhead Costs $40,000
Subtotal $40,000
Estimated Total Expenditures $4,350,000
23 24
25 26
27 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of a City Council Resolution Accepting Project 5515 - Basin 3 Dredge as Complete and Authorizing the City Engineer to File a Notice of Completion
MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
Project 5515 - Basin 3 Dredge (the “Project”) included dredging of basin 3, the boat launch ramp, and the New York Landing Homeowners Association (NYLHOA) residential channel.
This resolution will accept the construction contract as complete and authorize the City Engineer to file a Notice of Completion.
FISCAL IMPACT
The Project was funded with $105,000 from the Waterfront Operations Fund (Resolution No. 23-14318) and $1,500,000 from the Waterfront Grants Fund (Resolution No. 23-14318).
The City entered a Reimbursement and Indemnification (R&I) Agreement with the NYLHOA (Resolution No. 23-14334) to be reimbursed for 100% of the cost associated with the dredging of the residential channel, for a total project budget of $1,605,000 plus any funds that will be reimbursed by the NYLHOA.
After payment of all expenditures for design, construction, release of retention, and project close out, the total anticipated expenditures for the Project are $2,090,525. The NYLHOA will reimburse the City approximately $856,569 for the work performed on the residential channel, making the total cost to the City approximately $1,233,955.
An estimated Project Budget Summary is attached to this staff report.
RECOMMENDATION
Staff recommends that the City Council adopt the attached resolution accepting the Project as complete and authorizing the City Engineer to execute a Notice of Completion. 28 BACKGROUND
On May 26, 2023, the Project was advertised for construction.
On June 16, 2023, bids for construction of the Project were opened; The Dutra Group was the only contractor to submit a bid.
On June 19, 2023, the City Council adopted Resolution No. 23-14318 approving the Annual Budget and Five-Year Capital Improvement Program for Fiscal Years 2023/24 through 2027/28 allocating $105,000 from the Waterfront Operations Fund (Fund 540) and $1,500,000 from the Waterfront Grants Fund (Fund 541) to the Project.
On June 29, 2023, the City and The Dutra Group were able to reach an agreement on a total bid price of $2,469,650.
On July 17, 2023, the City Council adopted Resolution No. 23-14334 authorizing the City Manager to execute an R&I Agreement with New York Landing Homeowners Association, accept the plans and specifications, and award a construction contract to the Dutra Group in the amount of $2,469,650.
On November 28, 2023, the contractor reached substantial completion of the Project, and the one-year warranty period began. Unspent dollars pertaining to the NYLHOA residential channel will be returned to the NYLHOA, and the $371,044 unspent project funding shall be returned to sources in the following manner: $105,000 to Fund 540 and $266,044 returned to Fund 541.
SUBCOMMITTEE FINDINGS
This item was not reviewed by a subcommittee.
STAFF ANALYSIS
Boat traffic, currents, and wildlife causes sediment to spread along the marina floor. Over time, the sediment will continue to settle and will effectively raise the elevation of the sea floor. This rise in the marina’s floor elevation can cause damage to vessels traveling through these waterways. In addition, when a vessel is too close to the marina floor, the propeller can create a large amount of debris to be dispersed into the water and possibly get caught in another vessel’s impellor. To remedy these potential issues, regular dredging projects are performed to maintain a functional floor elevation. This Project dredged basin 3, the boat launch ramp, and the New York Landing Homeowners Association residential channel to maintain functional travel ways for the boats that utilize these waterways.
During construction, there was a total of one contract change order issued in the amount of -$687,020 for a total construction contract amount of $1,782,630.
ATTACHMENTS: Resolution
Budget Summary
Report Prepared by: Gabriel Piña, Associate Engineer
29 Resolution No. 24- Page 1 of 2 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Accepting Project 5515—Basin 3 )
Dredge as Complete and Authorizing ) RESOLUTION NO. 24- the City Engineer to File a Notice of )
Completion )
WHEREAS, Project 5515 – Basin 3 Dredge (the “Project”) dredged the boat launch, basin 3, and the New York Landing Homeowners Association’s residential channel; and WHEREAS, on May 26, 2023, the Project was advertised for construction bids; and WHEREAS, on June 16, 2023, bids for construction of the Project were opened, and The Dutra Group was the only contractor to submit a bid; and WHEREAS, on June 19, 2023, the City Council adopted Resolution No. 23-14318 approving the Annual Budget and Five-Year Capital Improvement Program for Fiscal Years 2023/24 through 2027/28 allocating $105,000 from the Waterfront Operations Fund (Fund 540) and $1,500,000 from the Waterfront Grants Fund (Fund 541) to the Project; and
WHEREAS, on June 29, 2023, the City and the Dutra Group were able to reach an agreement on a total bid price of $2,469,650; and
WHEREAS, on July 17, 2023, the City Council adopted Resolution No. 23-14334 authorizing the City Manager to execute a Reimbursement and Indemnification Agreement with New York Landing Homeowners Association, accept the plans and specifications, and award a construction contract to the Dutra Group in the amount of $2,469,650; and WHEREAS, there was one contract change order in the amount of -$687,020 for a total contract amount of $1,782,630; and
WHEREAS, on November 28, 2023, the contractor reached substantial completion and the one-year warranty period began; and
WHEREAS, the total anticipated expenditures for the Project including design, construction, and staff costs are $2,090,525. After the New York Landing Homeowners Association reimburses the City for the cost of the work performed on the residential channel, the estimated total cost to the City for this project is $1,233,955. Unspent dollars pertaining to the NYLHOA residential channel will be returned to the NYLHOA, and the $371,044 unspent project funding shall be returned to sources in the following manner:
$105,000 to Fund 540 and $266,044 returned to Fund 541.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pittsburg hereby accepts the Project as complete and authorizes the City Engineer to execute a Notice of Completion and file said document with the Office of the Recorder of the County of Contra Costa, State of California, within 10 days from the date hereof. 30 Resolution No. 24- Page 2 of 2 January 16, 2024 PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024 by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
Juan Antonio Banales, Mayor
ATTEST BY:
Alice E. Evenson, City Clerk
31 Budget Summary
Project 5515-Basin 3 Dredge
Project Funding:
Waterfront Operations Fund $105,000
Waterfront Grants Fund $1,500,000
NYLHOA Reimbursement $856,569
Funding Total $2,461,569
Project Expenditures:
Design:
(Code 2122) Design $285,350
Subtotal $285,350
Miscellaneous:
(Code 1399) Advertising $600
Subtotal $600
Construction: Biological Training $9,545
(Code 2281) Construction $1,782,630
Subtotal $1,792,175
Staff Time:
(Code 1101) Staff Costs $6,500
Subtotal $6,500
Admin:
(Code 2372) Administrative Overhead Costs $5,900
Subtotal $5,900
Estimated Total Expenditures $2,090,525
32 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of a City Council Resolution Accepting Project 1802 - Police Department Electric Vehicle Chargers as Complete and Authorizing the City Engineer to File a Notice of Completion
MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
Project 1802 - Police Department Electric Vehicle Chargers (the “Project”) installed six electric vehicle chargers in the Police Department’s secured lot. This resolution will accept the construction contract as complete and authorize the City Engineer to file a Notice of Completion.
FISCAL IMPACT
The Project was funded with $90,300 of American Rescue Plan Act (ARPA) Funds (Resolution No. 23-14272) for a total approved budget of $90,300.
After payment of all expenditures for design, construction, release of retention, and project close out, the total anticipated expenditures for the Project are $85,000. Any unspent funds will be returned to the ARPA Funds.
An estimated Project Budget Summary is attached to this staff report.
RECOMMENDATION
Staff recommends that the City Council adopt the attached resolution accepting the Project as complete and authorizing the City Engineer to execute a Notice of Completion.
BACKGROUND
On March 13, 2023, proposals for construction of the Project were received, and Bear Electrical Solutions was the lowest, most qualified bidder with a base bid in the amount of $73,000.
33 On April 17, 2023, the City Council adopted Resolution No. 23-14272 allocating $90,300 of ARPA funds to the Project, accepting the plans and specifications, and awarding a construction contract to Bear Electrical Solutions in the amount of $73,000.
On December 29, 2023, the contractor reached substantial completion and the one-year warranty period began.
SUBCOMMITTEE FINDINGS
This item was not reviewed by a subcommittee.
STAFF ANALYSIS
The Pittsburg Police Department recently purchased six electric vehicles. This Project was vital in providing the infrastructure required for the operation of the upgraded Police Department Fleet.
During construction, there was a total of one contract change order issued in the amount of $1,661.17 for a total contract amount of $74,661.17.
ATTACHMENTS: Resolution
Budget Summary
Report Prepared by: Gabriel Piña, Associate Engineer
34 Resolution No. 24- Page 1 of 1 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Accepting Project 1802 – Police )
Department Electric Vehicle Chargers ) RESOLUTION NO. 24- As Complete and Authorizing the City )
Engineer to File a Notice of Completion )
WHEREAS, Project 1802 – Police Department Electric Vehicle Chargers (the “Project”) installed six electric vehicle chargers in the Police Department’s secured lot; and WHEREAS, on March 13, 2023, proposals for construction of the Project were received, and Bear Electrical Solutions was the lowest most qualified bidder with a base bid in the amount of $73,000; and
WHEREAS, on April 17, 2023, the City Council adopted Resolution No. 23-14272 allocating $90,300 of American Rescue Plan Act (ARPA) funds to the Project, accepting the plans and specifications, and awarding a construction contract to Bear Electrical Solutions in the amount of $73,000; and
WHEREAS, there was one contract change order in the amount of $1,661.17 for a total contract amount of $74,661.17; and
WHEREAS, on December 29, 2023, the contractor reached substantial completion and the one-year warranty period began; and
WHEREAS, the total anticipated expenditures for the Project, including design, construction, and staff costs are $85,000, and the estimated remaining balance will be returned to the ARPA funds for future projects.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pittsburg hereby accepts the Project as complete and authorizes the City Engineer to execute a Notice of Completion and file said document with the Office of the Recorder of the County of Contra Costa, State of California, within 10 days from the date hereof.
PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024 by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
Juan Antonio Banales, Mayor
ATTEST BY:
Alice E. Evenson, City Clerk
35 Budget Summary
Project 1802-Police Department Electric Vehicle Chargers Project Funding:
ARPA Fund $90,300
Funding Total $90,300
Project Expenditures:
Design:
(Code 2122) Design $0
Subtotal $0
Miscellaneous:
(Code 1399) Advertising $0
Subtotal $0
Construction:
(Code 2281) Construction $78,000
Subtotal $78,000
Staff Time:
(Code 1101) Staff Costs $3,500
Subtotal $3,500
Admin:
(Code 2372) Administrative Overhead Costs $3,500
Subtotal $3,500
Estimated Total Expenditures $85,000
36 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Mayor and Council Members
FROM: Garrett Evans, City Manager
SUBJECT: Adoption of a City Council Resolution Allocating Fiscal Year 2022-2023 Measure M Surplus and Measure M Reserve Funds for the Repair and Replacement of Amusement Rides at Small World Park
MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
The Public Works and Recreation Departments are seeking to allocate Fiscal Year 2022- 2023 Measure M Surplus and Measure M Reserve funds for the replacement and repair of amusement rides at Small World Park.
FISCAL IMPACT
The total project budget is estimated at $295,000. Funding for this project is to be provided from Fiscal Year 2022-2023 Measure M Surplus and Measure M Reserves.
RECOMMENDATION
City Council adopt the attached Resolution allocating $200,00 of Measure M Surplus and $95,000 of Measure M Reserve funds to repair and replace amusement rides at Small World Park.
BACKGROUND
Owned and operated by the City of Pittsburg Recreation Department, Small World Park is an 8-acre park that features picnic sites, playground structures, a ferris wheel, carousel, whale ride, children’s zipline, and a gas-powered train. During the 2023 operating season, the condition of the train’s engine, axles and components became beyond repair, and staff determined it to be inoperable for the season. Additionally, the carousel was deemed inoperable due to the need to replace and repair the sweeps and bearings.
SUBCOMMITTEE FINDINGS
This item was presented to the Finance Management Subcommittee on December 15, 2023. The Subcommittee supported staff’s recommendation to utilize $200,000 of Fiscal 37 Year 2022-2023 Measure M Surplus and $95,000 from Measure M Reserves for this youth- serving expenditure.
STAFF ANALYSIS
After assessing the condition of the train and carousel, staff contacted the manufacturers of each ride for recommendations on repair options and companies to provide the services.
Western Train Company performed diagnostics on both rides and provided options for repair and/or replacement.
Staff explored three options for the train: 1) replace with a newer diesel-powered train; 2) replace with a new electric powered train; or 3) replace with a refurbished train. Regardless of which option, the train cars braking system would also need to be upgraded by removing the antiquated hydraulic system and installing a new air brake system. The new braking system is necessary, safer, easier to service, and requires less maintenance than the current system.
Due to the style and frame of the train, it was determined that a retrofit was not an option.
Although a refurbished train option would save some upfront costs, replacement parts are becoming more obsolete and difficult to find. Additionally, having a refurbished train will continue to require consistent on-going maintenance performed by maintenance staff with a specific skillset.
When evaluating the new diesel versus a new electric train, staff considered the differences in cost, maintenance, availability of replacement parts, and contribution to the goal of a zero-emission fleet. The cost of the electric powered train was only $20,000 more than a diesel-powered, requires less maintenance over time with the major replacement part being a simple battery, and meets the goal of zero-emissions.
The carousel requires the replacement of sweeps and bearings to make it operable again.
The repair and replacement of amusement rides are appropriate uses of Measure M Surplus and Measure M Reserve funds.
ATTACHMENTS: Resolution
Report Prepared By: Kolette Simonton, Director of Recreation 38 Resolution No. 24- 1 January 16, 2024
BEFORE THE CITY COUNCIL OF THE CITY OF PITTSBURG
In the Matter of:
Allocating Fiscal Year 2022-2023 Measure )
M Surplus and Measure M Reserve Funds )
For the Repair and Replacement of ) RESOLUTION NO. 24-
Amusement Rides at Small World Park )
WHEREAS, the City is owner and operator of Small World Park, an 8-acre park that features picnic sites, playground structures, a ferris wheel, carousel, whale ride, children’s zipline, and a gas-powered train; and
WHEREAS, during the 2023 operating season, the condition of the train’s engine, axles and components became beyond repair, and staff determined it to be inoperable for the season; and
WHEREAS, in addition to the train, the carousel requires the replacement of sweeps and bearings to make it operable again; and
WHEREAS, the total project budget is estimated at $295,000 and funding for this project is to be provided from Fiscal Year 2022-2023 Measure M Surplus and Measure M Reserves, which are appropriate uses for these youth serving expenditures.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Pittsburg hereby approves the allocation of $200,000 of Measure M Surplus and $95,000 of Measure M Reserve funds for the repair and replacement of amusement rides at Small World Park.
PASSED AND ADOPTED by the City Council of the City of Pittsburg at a regular meeting on the 16th day of January 2024, by the following vote:
AYES:
NOES:
ABSTAINED:
ABSENT:
_____________________________
Juan Antonio Banales, Mayor
ATTEST:
___________________________
Alice E. Evenson, City Clerk
39 OFFICE OF THE CITY MANAGER/EXECUTIVE DIRECTOR
65 Civic Avenue
Pittsburg, CA 94565
TO: Chair and Governing Board Members
FROM: Garrett Evans, Executive Director
SUBJECT: Adoption of a Successor Agency Minute Order Approving the July 1, 2024 – June 30, 2025 Recognized Obligation Payment Schedule MEETING DATE: January 16, 2024
EXECUTIVE SUMMARY
The Successor Agency for the Redevelopment Agency of the City of Pittsburg (Successor Agency) has prepared its Recognized Obligation Payment Schedule (ROPS) for the period of July 1, 2024 – June 30, 2025 (ROPS 24-25), pursuant to AB 26x1, also referred to as the “Dissolution Act”.
FISCAL IMPACT
There is no fiscal impact to adopting ROPS 24-25. Rather, ROPS 24-25 identifies the Successor Agency’s anticipated financial obligations for July 1, 2024 – June 30, 2025.
ROPS 24-25 will be reflected in the Successor Agency’s budget that will be considered along with the City’s budget in June 2024 for Fiscal Year 2024-2025.
RECOMMENDATION
Staff recommends that the Successor Agency Governing Board approve ROPS 24-25.
BACKGROUND
On June 29, 2011, the Governor signed into law the Dissolution Act, which automatically suspended redevelopment activities, and on December 29, 2011, the California State Supreme Court upheld the provisions of the Dissolution Act, thereby dissolving all redevelopment agencies on February 1, 2012.
While redevelopment successor agencies may not initiate any new activities nor incur new indebtedness, they are nevertheless required under legislative statute and court order to continue making those payments necessary for day-to-day operations pursuant to contractual commitments/enforceable obligations, regulatory authorities, and indebtedness entered into prior to the enactment of the Dissolution Act. 40 On June 27, 2012, the Governor signed into law budget trailer bill AB 1484. AB 1484 imposed new requirements on successor agencies with regard to the submittal of the ROPS.
Budget trailer bill SB 107 was approved and signed by the Governor and took immediate effect on September 22, 2015. The primary purpose of SB 107 is to make technical and substantive amendments to the existing Dissolution Act. Health & Safety Code Section 34177, as amended, changed the review of ROPS from semi-annual to annual.
Pursuant to Health and Safety Code Section 34179 (j), on and after July 1, 2018, in each county where more than one oversight board was created, there shall be only one countywide oversight board. As of July 1, 2018, the California Department of Finance (DOF) will only recognize the Contra Costa County Oversight Board (Countywide Oversight Board). The Successor Agency’s ROPS and other actions may not be submitted to the DOF without the Countywide Oversight Board’s approval.
SUBCOMMITTEE FINDINGS
This item was not presented to a subcommittee.
STAFF ANALYSIS
ROPS 24-25 consists of debt service related expenses, administrative expenses, and other eligible enforceable obligations. Staff will submit ROPS 24-25 to the Countywide Oversight Board for its consideration on January 29, 2024. Upon receiving Countywide Oversight Board approval, ROPS 24-25 will be submitted to the DOF, the County Auditor-Controller’s Office, and the California State Controller’s Office on or before February 1, 2024.
ATTACHMENTS: Recognized Obligation Payment Schedule for the period of July 1, 2024 – June 30, 2025
Report Prepared By: Andy Wang, Assistant Finance Director
41 Pittsburg ROPS 2024-25 Annual
SUMMARY
24-25A
Total
24-25B
Total
ROPS
Total
A Obligations Funded as Follows (B+C+D) 11,000 11,000 22,000 B Bond Proceeds - - - C Reserve Balance - - - D Other Funds 11,000 11,000 22,000 E Redevelopment Property Tax Trust Fund (RPTTF) (F+G) 18,221,448 11,069,550 29,290,997 F RPTTF 18,011,448 10,859,550 28,870,997 G Administrative RPTTF 210,000 210,000 420,000 H Current Period Obligations (A+E) 18,232,448 11,080,550 29,312,997 Requested Funding for Obligations
42 Pitts burg ROPS 2024-25 Annual 18,232,448 11,080,550 29,312,997 29,312,997
DET A I L
Item # Obligation Name Obligation
Type
DOF
Category
Agreement
Exec ution
Da t e
Agreement
Ter mination
Da t e
Payee D es cription G L String 24-25 A 24-25 B Total O uts tanding
Ob ligat io n
Tot al
Reques ted
Funding
2 TAB 1999 Bonds Is s ued RPTTF 11/ 03/ 99 09/ 01/ 30 Bank of N ew debt s ervice (Interes t & principal) 822-41272-2303|2304 (TAB 1999) 822-41272-2303|2304 - 8, 755,000 8,755,000 8,755,000 3 TAB 1999 Fees Other Fund 11/ 03/ 99 09/ 01/ 30 Bank of N ew debt s ervice fis cal agent fees 822-41272-2318 (TAB 1999) 822-41272-2318 1,250 1,250 2,500 2,500 71 1999 RD A Bonds Fees Other Fund 11/ 03/ 99 09/ 01/ 30 BLX G roup LL BLX Payments adminis trative fees -Fund 822 822-41272-2318 - - - - 1,250 8, 756,250 8,757,500 8,757,500 10 H SG TAB 06A Bonds Is s ued RPTTF 12/ 14/ 06 09/ 01/ 37 Bank of N ew debt s ervice (Interes t & Principal) 844-41284-2303|2304 (H SG 2006A) 844-41284-2303|2304 170,483 160,392 330,875 330,875 11 H SG TAB 06A Fees Other Fund 12/ 14/ 06 09/ 01/ 37 Bank of N ew debt s ervice fis cal agents / PFM Inves t 844-41284-2318 (H SG 2006A) 844-41284-2318 1,750 1,750 3,500 3,500 131 H s g TAB 2006A Fees Other Fund 12/ 14/ 06 09/ 01/ 37 BLX G roup LL Payment for D is clos re and Arbitrage calculation s ervices 844-41284-2318 844-41284-2318 - - - - 172,233 162,142 334,375 334,375 27 Prefund Augus t de Bonds Is s ued RPTTF 11/ 03/ 99 09/ 01/ 30 Bank of N ew Prefund s enior & hous ing bonds debt s ervice to fis cal agent (1999, & 2014 TAB 834-41281-2303|2304 15,464,500 - 15,464,500 15,464,500 15,464,500 - 15,464,500 15,464,500 105 2014 RD A Refunde Refunding Bon RPTTF 07/ 01/ 14 12/ 01/ 29 Bank of N ew debt s ervice (Interes t & Principal) 833-41285-2303/ 04 (TAB 2014) 833-41286-2303|2304 324,875 260,500 585,375 585,375 107 2014 RD A Refunde Fees O ther Fund 06/ 25/ 14 12/ 01/ 29 Bank of N ew debt s ervice fis cal agent fees / PFM Inves tment 833-41280-2318 (TAB 2014) 833-41286-2318 3,250 3,250 6,500 6,500 109 2014 RD A Refunde Fees O ther Fund 06/ 25/ 14 12/ 01/ 29 BLX G roup LL Payment for D is clos re and Arbitrage calculation s ervices 844-41284-2318 - - - - 328,125 263,750 591,875 591,875 111 Adminis tration Admin Cos ts Admin RPTTF 07/ 01/ 18 06/ 30/ 19 City of Pitts bu Adminis tration 801-41202-xxxx V ar ious A dm inist r at ive Cost s 801-41202-Various 210,000 210,000 420,000 420,000 210,000 210,000 420,000 420,000 118 H SG TAB 2016A R Refunding Bon RPTTF 02/ 10/ 16 12/ 31/ 30 Bank of N ew debt s ervice (Interes t & Principal) 845-41278-2303/ 2304 (H SG 2016A Refundin 845-41278-2303|2304 127,340 106,657 233,997 233,997 126 H SG TAB 2016A R Fees Other Fund 02/ 10/ 16 12/ 31/ 30 Bank of N ew D ebt Service Fis cal Agent Fees 845-41278-2318 845-41278-2318 1,750 1,750 3,500 3,500 122 H SG TAB 2016A R Fees Other Fund 02/ 10/ 16 12/ 31/ 30 BLX G roup LL Payment for D is clos re and Arbitrage calculation s ervices 845-41278-2318 844-41284-2318 - - - - 129,090 108,407 237,497 237,497 119 2016A RD A Refund Refunding Bon RPTTF 02/ 10/ 16 12/ 31/ 30 Bank of N ew debt s ervice (Interes t & Principal) 834-41281-2303/ 2304 (2016A Refunding Bon 834-41281-2303|2304 1,924,250 1,577,000 3,501,250 3,501,250 127 2016A RD A Refund Fees Other Fund 02/ 10/ 16 12/ 31/ 30 Bank of N ew D ebt Service Fis cal Agent Fees 834-41281-2318 834-41281-2318 3,000 3,000 6,000 6,000 123 2016A RD A Refund Fees Other Fund 02/ 10/ 16 12/ 31/ 30 BLX G roup LL Payment for D is clos re and Arbitrage calculation s ervices 834-41281-2318 844-41284-2318 - - - - 1,927,250 1,580,000 3,507,250 3,507,250
Exc luding
Fiscal A gent
Fees
Name 24-25 A 24-25 B Total I & P Total Fees Fees @ 50%
TAB 1999 - 8, 755,000 8,755,000 2,500 1,250 H SG TAB 06A 170,483 160,392 330,875 3,500 1,750 Prefund Augus t debt s e 15,464,500 - 15,464,500 - - 2014 RD A Refunded Bon 324,875 260,500 585,375 6,500 3,250 H SG TAB 2016A Refund 127,340 106,657 233,997 3,500 1,750 2016A RD A Refunding B 1,924,250 1,577,000 3,501,250 6,000 3,000 Subtotal 18,011,448 10,859,550 28,870,997 22,000 11,000 Combined Subtotal 28,892,997
Adminis tration 420,000 210,000
TOTAL 29,312,997
-
43 Pittsburg ROPS 2024-25 Annual
CASH BALANCE
AB C D E F G
Bond Proceeds Bond Proceeds Reserve
Balance
Other Funds RPTTF
ROPS 21-22 Cash Balances (07/01/21 - 06/30/22) Bonds issued on or before
12/31/10
Bonds issued on
or after
01/01/11
Prior ROPS
RPTTF and
Reserve
Balances
retained for
future period(s)
Rent, Grants,
Interest, etc.
Non-Admin and
Admin
1 Beginning Available Cash Balance (Actual 07/01/21)
RPTTF amount should exclude A" period distribution amount" 1,509,824 12,738,913 - 64,882 168,326 2 Revenue/Income (Actual 06/30/22)
RPTTF amount should tie to the ROPS 21-22 total distribution from the County Auditor-Controller 28,430 25,003 - - 33,231,050 3 Expenditures for ROPS 21-22 Enforceable Obligations (Actual 06/30/22) - - - 64,882 33, 399,376 4 Retention of Available Cash Balance (Actual 06/30/22) RPTTF amount retained should only include the amounts distributed as reserve for future period(s) 1,538,253 12,763,916 - - - 5 ROPS 21-22 RPTTF Prior Period Adjustment RPTTF amount should tie to the Agency's ROPS 21-22 PPA form submitted to the CAC -
6 Ending Actual Available Cash Balance (06/30/22)
C to F = (1 + 2 - 3 - 4)
G = (1 + 2 - 3 - 4 - 5)
-$ - $ - $ - $ - $ Fund Sources
No entry required
44 Pittsburg ROPS 2024-25 Annual
ROPS CYCLE
Total
Obligations
ROPS Cycle ROPS Period
Ending
1999 Tax
Allocation Bond
2014 Tax
Allocation
Refunding Bond
2006 Housing
Set Aside Tax
Allocation Bond
2016 Housing
Set Aside Tax
Allocation
Refunding Bond
2016A Tax
Exempt
Refunding Bond
2016B Taxable
Refunding Bond
2016C Tax
Exempt
Refunding Bond
(Forward)
Total Debt
Service by ROPS
Period
1RPTTF Debt
Service
Requirement
ITEM #2 #105 #10 #118 #119 ? #121
FUND 822 833 844 845 834 835 836
20/21A 12/31/20 5,150,000 6,865,125 508,892 1,112,736 3,002,125 - 12, 335,125 28,974,003 15,337,250 20/21A 20/21B 06/30/21 679,125 206,200 194,754 3,002,125 - 158,125 4,240,329 18,045,407 20/21B 21/22A 12/31/21 5,150,000 7,014,125 516,200 1,124,754 9,177,125 - 6, 483,125 29,465,329 15,660,250 21/22A 21/22B 06/30/22 520,750 197,968 180,251 2,847,750 - - 3, 746,718 17,730,686 21/22B 22/23A 12/31/22 8,755,000 3,565,750 527,968 1,135,251 14,012,750 - - 27, 996,718 14,012,750 22/23A 22/23B 06/30/23 444,625 189,204 164,073 2,568,625 - - 3, 366,527 16,589,430 22/23B 23/24A 12/31/23 8,750,000 2,784,625 534,204 1,154,073 15,133,625 - - 28, 356,527 15,133,625 15,133,625 23/24A 23/24A 06/30/24 386,125 180,043 146,312 2,254,500 - - 2, 966,980 16,274,460 16,274,460 23/24B 24/25A 12/31/24 8,755,000 2,836,125 540,043 1,176,312 15,464,500 - - 28, 771,980 15,464,500 15,464,500 24/25A 24/25B 06/30/25 324,875 170,483 127,340 1,924,250 - - 2, 546,948 15,944,646 15,944,646 24/25B 25/26A 12/31/25 8,755,000 2,899,875 550,483 1,192,340 15,814,250 - - 29, 211,948 15,814,250 25/26B 06/30/26 260,500 160,392 106,657 1,577,000 - - 2, 104,550 15,597,099 26/27A 12/31/26 8,750,000 2,965,500 560,392 1,216,657 16,187,000 - - 29, 679,550 16,187,000 26/27B 06/30/27 192,875 149,770 84,546 1,211,750 - - 1, 638,941 15,231,133 27/28A 12/31/27 9,145,000 2,637,875 574,770 1,234,546 16,566,750 - - 30, 158,941 16,566,750 27/28B 06/30/28 131,750 138,484 57,613 827,875 - - 1, 155,723 14,848,570 28/29A 12/31/28 9,145,000 2,701,750 588,484 1,257,613 16,967,875 - - 30, 660,722 16,967,875 28/29B 06/30/29 67,500 126,535 29,509 424,375 - - 647,919 14,446,463 29/30A 12/31/29 9,145,000 2,767,500 596,535 1,289,509 17,399,375 - - 31, 197,919 17,399,375 29/30B 06/30/30 - 114,054 - - - - 114,054 9,868,107 30/31A 12/31/30 9,145,000 - 609,054 - - - - 9, 754,054 - 30/31B 06/30/31 - 100,909 - - - - 100,909 100,909 Senior Bonds Subordinate Bonds
45