Agenda packet — Rancho Cucamonga City Council, June 15, 2022 (part 6 of 8)

Resolution No. 2022-XXX – Page 2 of 2
ATTACHMENT 26
2 5
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PASSED, APPROVED, AND ADOPTED this ___ day of ___ 2022.

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Resolution No. 2021-XXX – Page 1 of 2
ATTACHMENT 27
RESOLUTION NO. 2022-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO

CUCAMONGA, CALIFORNIA, APPROVING THE PRELIMINARY
ANNUAL ENGINEER’S REPORT FOR THE ANNUAL LEVY OF

ASSESSMENTS WITHIN PARK AND RECREATION IMPROVEMENT
DISTRICT NO. PD-85 FOR FISCAL YEAR 2022/23
WHEREAS, the City Council of the City of Rancho Cucamonga, California, pursuant to the provisions of Division 15, Part 2 of the Streets and Highways Code of the State of California (the “1972 Act”), Article XIIID of the Constitution of the State of California (“Article XIIID”) and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following) (the “Implementation Act”) (the 1972 Act, Article XIIID and the Implementation Act are referred to collectively as the “Assessment Law”), did, by previous Resolution, order the preparation of a report for the annual levy of assessments for Fiscal Year 2022/23 (the “Annual Engineer’s Report”) in a certain maintenance assessment district known and designated as Park and Recreation Improvement District No. PD-85 (the “District”); and
WHEREAS, there has now been presented to this City Council the Annual Engineer’s Report for the District as required by the Assessment Law and as previously directed by Resolution; and WHEREAS, this City Council has now examined and reviewed the Annual Engineer’s Report as presented, and is satisfied with each and all of the items and documents as set forth in such report, and is satisfied that the assessments, on a preliminary basis, have been allocated within the District in accordance with the special benefits received from the improvements to be maintained and serviced, as set forth in the Annual Engineer’s Report.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA,

HEREBY RESOLVES,
SECTION 1. Recitals. The above recitals are all true and correct.

SECTION 2. Annual Engineer’s Reports. The Annual Engineer’s Report for the District as presented, consisting of the following:

A. Plans and specifications describing the general nature, location and extent of the improvements to be maintained and serviced and the extent of such maintenance; B. An estimate of the cost of the maintenance of the improvements for the District for Fiscal Year 2022/23;
C. A diagram for the District, showing the area and properties proposed to be assessed; and D. An annual assessment for Fiscal Year 2022/23 of the estimated costs of the maintenance and servicing of those improvements to be maintained and serviced during such Fiscal Year, assessing the net amount upon all assessable lots and/or parcels within such District in proportion to the special benefits received is hereby approved on a preliminary basis and is ordered to be filed in the Office of the City Clerk as a permanent record and to remain open for public inspection.

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Resolution No. 2021-XXX – Page 2 of 2
ATTACHMENT 27
SECTION 3.The City Clerk shall certify to the passage and adoption of this Resolution, and the minutes of this meeting shall so reflect the presentation of the Annual Engineer’s Report.

PASSED, APPROVED, AND ADOPTED this ___ day of ___ 2022.

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Resolution No. 2022-XXX – Page 1 of 3
ATTACHMENT 28
RESOLUTION NO. 2022-XXX

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO

CUCAMONGA, CALIFORNIA, DECLARING ITS INTENTION TO

PROVIDE FOR THE ANNUAL LEVY AND COLLECTION OF
ASSESSMENTS FOR FISCAL YEAR 2022/23 WITHIN PARK AND
RECREATION IMPROVEMENT DISTRICT NO. PD-85 AND SETTING A

TIME AND PLACE FOR A PUBLIC HEARING THEREON
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed that certain maintenance district and authorized the levy of assessments therein pursuant to the terms and provisions of the “Landscaping and Lighting Act of 1972,” being Division 15, Part 2 of the Streets and Highways Code of the State of California (commencing with Section 22500) (the “1972 Act”) in what is known and designated as Park and Recreation Improvement District No. PD-85 (the “District”); and WHEREAS, this City Council has initiated proceedings to provide for the annual levy of assessments for Fiscal Year 2022/23, to finance the costs and expenses necessary for continued maintenance and servicing of improvements within the District; and WHEREAS, at this time, there has been presented and approved by this City Council, a separate report for the District identified by the distinctive designation of such District and entitled “Fiscal Year 2022/23 Annual Engineer’s Report” (the “Annual Engineer’s Report”) as required pursuant to Article 4 of Chapter 1 of the 1972 Act, Article XIIID of the Constitution of the State of California (“Article XIIID”) and the Proposition 218 Omnibus Implementation Act (Government Code Section 53750 and following) (the “Implementation Act”) (the 1972 Act, Article XIIID and the Implementation Act are referred to collectively as the “Assessment Law”), and this City Council desires to conduct the proceedings to authorize the levy of the annual assessments within the District; and
WHEREAS, the annual assessments for Fiscal Year 2022/23 proposed to be levied within the District as set forth in the report do not exceed the annual assessments as previously authorized to be levied within such District and, therefore, the proposed levy of assessments for Fiscal Year 2022/23 within such District are not deemed to be “increased” over the maximum authorized annual assessments.

NOW, THEREFORE, by the City Council of the City of Rancho Cucamonga, as follows:

SECTION 1. Recitals. The above recitals are all true and correct.

SECTION 2. Improvements and Maintenance and Servicing Thereof. The public interest and convenience requires the City Council, and it is the intention of this City Council, to undertake proceedings for the annual levy and collection of assessments within the District for the continued maintenance and servicing of the improvements authorized to be maintained and serviced within such District. "Maintenance" may include the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including: (a) repair, removal, or replacement of all or any part of any improvement; (b) providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; (c) the removal of trimmings, rubbish, debris, and other solid waste; and, (d) the cleaning, sandblasting, and painting of walls and other improvements to remove or cover graffiti. "Service" may include the furnishing of: (a) electric current or energy, gas, or other illuminating agent for the lighting or operation of any improvements; and, (b) water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements.

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Resolution No. 2022-XXX – Page 2 of 3
ATTACHMENT 28
A description of the improvements to be maintained and the maintenance and services to be provided is set forth in Appendix A attached hereto and incorporated herein by this reference.

SECTION 3. Annual Engineer’s Report. The Annual Engineer’s Report regarding the annual levy for the District for Fiscal Year 2022/23, has been preliminarily approved and directed to be filed in the office the City Clerk. Reference is made to such Report for the District for a full and detailed description of the improvements to be maintained and serviced, the boundaries of such District and any zones therein, and the proposed assessments upon assessable lots and parcels of land within such District.

SECTION 4. Assessment. The public interest and convenience requires, and it is the intention of this City Council to order, the annual levy of assessments for the District as set forth and described in the Annual Engineer’s Report, and further it is determined to be in the best public interest and convenience to levy and collect annual assessments to pay the costs and expenses of such maintenance and service as estimated in such Annual Engineer’s Report.

SECTION 5. Boundaries of District. The proposed maintenance and service work as described in the Annual Engineer’s Report for the District is, in the opinion of this City Council, of special benefit to the properties within the boundaries of such District, and this City Council makes the costs and expenses of such maintenance and service chargeable upon such District, which District said City Council hereby declares to be the District specially benefited by such maintenance and service, and to be further assessed pursuant to the Assessment Law to pay the costs and expenses thereof. The District shall include each and every parcel of land within the boundaries thereof; as such District is shown on a map or maps as approved by this City Council and on file in the Office of the City Clerk, and so designated by the name of such District.

SECTION 6. Public Hearing. Notice is hereby given that a public hearing will be held the 20 th day of July, 2022, at the hour of 7:00 p.m. or as soon thereafter as the matter may be heard, in the regular meeting of the City Council, being in the Council Chambers located at 10500 Civic Center Drive, Rancho Cucamonga, California, which is the time and place fixed by this City Council for the hearing of protests or objections in reference to the annual levy of assessments, to the extent of the maintenance, by any interested person and any other matters contained in this resolution. Any persons who wish to object to the proceedings for the annual levy should file a written protest with the City Clerk prior to the time set and scheduled for said public hearing.

SECTION 7. For Information Regarding Proceedings. For any and all information relating to the proceedings, protest procedure, any documentation and/or information of a procedural or technical nature, your attention is directed to the below listed person at the City:

Noah Daniels
Finance Director
City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
(909) 774-2403
SECTION 8. Notice. The City Clerk is hereby authorized and directed to publish, pursuant to Government Code Section 6061, a copy of this Resolution in the Inland Valley Daily Bulletin, a newspaper of general circulation within said City, said publication shall be made one time and not less than ten (10) days before the date set for the Public Hearing.

PASSED, APPROVED, AND ADOPTED this ___ day of ____ 2022.

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Resolution No. 2022-XXX – Page 3 of 3
ATTACHMENT 28
Appendix A
Descriptions of Improvements and Maintenance and Services This Appendix A contains a general description of the improvements to be maintained and serviced and a description of such maintenance and services.

1. The maintenance and operation of Heritage Community Park including, but not limited to, grading, planting, irrigation, onsite roads, sidewalks, parking lots, lighting, restrooms, equestrian facilities, playground equipment, picnic facilities, athletic facilities, and walking, jogging and equestrian trails and sanitary sewer connections.

2. The maintenance and operation of Red Hill Community Park including, but not limited to, grading, planting, irrigation, onsite roads, sidewalks, parking lots, lighting, waterscape, restrooms, senior citizen facilities, playground equipment, picnic facilities, major lighted athletic facilities, jogging trail, sanitary sewer connections and onsite drainage inlets.

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DATE:June 15, 2022
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Noah Daniels, Finance Director
SUBJECT: Consideration of Second Reading and Adoption of the Following:

ORDINANCE NO. 1005

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA,

CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2022-01 (STREET LIGHTING SERVICES) OF THE CITY OF RANCHO

CUCAMONGA, AUTHORIZING THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY

FACILITIES DISTRICT
ORDINANCE NO. 1006

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA,

CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2022-02 (INDUSTRIAL AREA SERVICES) OF THE CITY OF RANCHO

CUCAMONGA, AUTHORIZING THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY

FACILITIES DISTRICT
RECOMMENDATION:

It is recommended the City Council conduct a second reading by title only and adopt Ordinances Nos. 1005 and 1006.

BACKGROUND:

The introduction and first reading of the above-entitled Ordinances was conducted at the Regular Council meeting of June 1, 2022. Votes at first reading: AYES: Kennedy, Hutchison, Scott, Michael.

ANALYSIS:

Please refer to the June 1, 2022, City Council staff report.

FISCAL IMPACT:

Please refer to the June 1, 2022, City Council staff report.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

This item supports the City Council's core values of intentionally embracing and anticipating the future.

ATTACHMENTS:

Attachment 1 - Ordinance No. 1005
Attachment 2 - Ordinance No. 1006

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1 ATTACHMENT 1
ORDINANCE NO. ____

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO

CUCAMONGA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2022-01 (STREET LIGHTING

SERVICES) OF THE CITY OF RANCHO CUCAMONGA, AUTHORIZING

THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY FACILITIES

DISTRICT
WHEREAS, the City Council (the “City Council”) of the City of Rancho Cucamonga (the “City”), has undertaken proceedings to establish and has established a community facilities district and conducted an election therein and received a favorable vote from the qualified electors authorizing the levy of special taxes in such community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the “Act”). This community facilities district is designated as Community Facilities District No. 2022-01 (Street Lighting Services) of the City of Rancho Cucamonga (“CFD No. 2022-01”); and
NOW, THEREFORE, this City Council of the City of Rancho Cucamonga, California, acting as the legislative body of CFD No. 2022-01 does hereby ordain as follows:

Section 1. This City Council does, by the passage of this ordinance, authorize the levy of special taxes on taxable properties located in CFD No. 2022-01 pursuant to the Rates and Method of Apportionment of Special Tax as set forth in Exhibit “A” attached hereto and incorporated herein by this reference (the “Rates and Method”).

Section 2. This City Council, acting as the legislative body of CFD No. 2022-01, is hereby further authorized, by resolution, to annually determine the special tax to be levied within CFD No. 2022-01 for the then current tax year or future tax years; provided, however, the special tax to be levied shall not exceed the maximum special tax authorized to be levied pursuant to the Rates and Method.

Section 3. The special taxes herein authorized to be levied, to the extent possible, shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency as applicable for ad valorem taxes; provided, however, that the City may utilize a direct billing procedure for any special taxes that cannot be collected on the County tax roll or may, by resolution, elect to collect the special taxes at a different time or in a different manner if necessary to meet its financial obligations.

Section 4. The special taxes authorized to be levied shall be secured by the lien imposed pursuant to Section 3114.5 and 3115.5 of the Streets and Highways Code of the State of California, which lien shall be a continuing lien and shall secure each levy of the special tax. The lien of the special tax shall continue in force and effect until the special

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2 ATTACHMENT 1
tax obligation is canceled in accordance with Section 53344 of the Government Code of the State of California or until the special tax ceases to be levied by the City Council in the manner provided in Section 5330.5 of said Government Code.

Section 5. This Ordinance shall be effective thirty (30) days after its adoption.

Within fifteen (15) days after its adoption, the City Clerk shall cause this Ordinance to be published in a newspaper of general circulation pursuant to the provisions of California Government Code Section 36933.

Introduced and the first reading was waived at a regular meeting of the City Council of the City of Rancho Cucamonga, California, on June 1, 2022.

ENACTED by the City Council of the City of Rancho Cucamonga, California, at a Regular Meeting thereof held this 15th day of June, 2022, by the following roll call vote to wit:

AYES:

NOES:

ABSENT:

APPROVED
L. DENNIS MICHAEL, MAYOR
ATTEST
JANICE C. REYNOLDS, CITY CLERK
Attachments: Exhibit A

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ATTACHMENT 1

EXHIBIT A

RATE AND METHOD OF APPORTIONMENT FOR
COMMUNITY FACILITIES DISTRICT NO. 2022-01
(STREET LIGHTING SERVICES) OF THE CITY OF RANCHO CUCAMONGA A Special Tax, as hereinafter defined, shall be levied and collected for Community Facilities District No. 2022-01 (Street Lighting Services) of the City of Rancho Cucamonga (“CFD No. 2022-01”) each Fiscal Year commencing in Fiscal Year 2022/23, in an amount determined by the application of the procedures below. All Taxable Property, as hereinafter defined, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meaning:
“Accessory Dwelling Unit” or “ADU” means a secondary residential unit of limited size, as defined in California Government Code Section 65852.2, as may be amended from time to time, that is accessory to a single-unit dwelling. The ADU may be on the same Assessor’s Parcel as the single-unit dwelling or on a separate Assessor’s Parcel. For purposes of clarification, where an ADU and primary Unit are on the same Assessor’s Parcel, the ADU located on such Assessor’s Parcel is considered a separate Unit from the primary Unit on such Assessor’s Parcel for purposes of the Special Tax. Should an Assessor’s Parcel contain only an ADU, such Assessor’s Parcel will be taxed as an ADU only.
“Acre or Acreage” means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map or in the Assessor’s Data for each Assessor’s Parcel. In the event that the Assessor’s Parcel Map or Assessor’s Data shows no acreage, the Acreage for any Assessor’s Parcel may be determined by the CFD Administrator based upon the applicable condominium plan, final map, parcel map or calculated using available spatial data and GIS.
“Act” means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 of Part 1, Division 2 of Title 5 of the Government Code of the State. “Administrative Expenses” means the actual or reasonably estimated costs directly related to the administration of CFD No. 2022-01 including, but not limited to, the following: the costs of computing the Annual Special Tax Requirement and the annual Special Tax and of preparing the annual Special Tax collection schedules; the costs of collecting the Special Tax, including any charges levied by the County Auditor’s Office, Tax Collector’s Office or Treasurer’s Office; the costs of the City or designee in complying with the disclosure requirements of the California

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Government Code (including the Act), including public inquiries regarding the Special Tax; the costs of the City or designee related to an appeal of the Special Tax; and the costs of commencing and pursuing to completion any action arising from any delinquent Special Tax in CFD No. 2022-01. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2022-01 for any other administrative purposes, including, but not limited to, attorney’s fees. “Annual Services Costs” means the amounts required to fund services authorized to be funded by CFD No. 2022-01.
“Annual Special Tax Requirement” means that amount with respect to CFD No. 2022-01 determined by the City Council or designee as required in any Fiscal Year to pay: (1) the Administrative Expenses, (2) the Annual Services Costs, (3) any amount required to establish or replenish any reserve or replacement fund established in connection with CFD No. 2022-01, and (4) any reasonably anticipated delinquent Special Tax based on the delinquency rate for any Special Tax levied in the previous Fiscal Year.
“Assessor’s Data” means Units, Acreage, or other information contained in the records of the County Assessor for each Assessor’s Parcel. “Assessor’s Parcel” or “Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s Parcel Number.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.
“Assessor’s Parcel Number” means, with respect to an Assessor’s Parcel, that number assigned to such Assessment’s Parcel by the County Assessor for purposes of identification.
“Boundary Map” means that map recorded with the County recorder’s office on May 4, 2022 in Book 90 at Page 22 as Document Number 2022-0167399. “CFD Administrator” means an official of the City, or designee thereof, responsible for determining the Annual Special Tax Requirement and providing for the levy and collection of the Special Taxes.
“CFD No. 2022-01” means Community Facilities District No. 2022-01 (Street Lighting Services) of the City of Rancho Cucamonga.
“City” means the City of Rancho Cucamonga.
“City Council” means the City Council of the City, acting as the legislative body of CFD No. 2022-01.
“County” means the County of San Bernardino, California. “County Assessor” means the County Assessor of the County.

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“Developed Property” means, in any Fiscal Year, all Taxable Property in CFD No. 2022-01 for which a building permit for new construction was issued by the City prior to April 1 of the preceding Fiscal Year.
“Exempt Property” means all Assessors’ Parcels within the boundary of CFD No. 2022-01 which are exempt from the Special Tax pursuant to Section E. “Fiscal Year” means the period starting July 1 and ending on the following June 30. “GIS” means a geographic information system.
“Maximum Special Tax” means the maximum Special Tax authorized for levy in any Fiscal Year that may apply to Taxable Property as described in Section C. “Mixed Use Property” means all Assessor’s Parcels that have been classified by the City to allow multiple uses on each such Assessor’s Parcel. For an Assessor’s Parcel of Mixed Use Property, each property use thereon is subject to taxation pursuant to section C below. The Acreage used to calculate the Special Tax for a portion of an Assessor’s Parcel that is Non-Residential Property shall include only the share of such Assessor’s Parcel that will be used as Non-Residential Property, to include structures, parking and other Parcel area.
“Multi-Family Residential Property” means, in any Fiscal Year, all Assessor’s Parcels of Developed Property with two or more Units that share a single Assessor’s Parcel Number, are offered for rent to the general public, and cannot be purchased by individual homebuyers, according to Assessor’s Data or as otherwise known by the CFD Administrator. Multi-Family Property also means, in any Fiscal Year, all Assessor’s Parcels of Developed Property with one Unit with a single Assessor’s Parcel Number that is a condominium pursuant the definition in Civil Code Section 4125 or a townhome.
“Non-Residential Property” means all Assessor’s Parcels of Developed Property within the boundaries of CFD 2022-01 for which a building permit(s) has been issued for a non-residential structure(s).
“Open Space Property” means property within the boundaries of CFD No. 2022-01 which (i) has been designated with specific boundaries and Acreage on a final subdivision map as open space, (ii) is classified by the County Assessor as open space, (iii) has been irrevocably offered for dedication as open space to the federal government, the State, the County, the City, or any other public agency, or (iv) is encumbered by an easement or other restriction required by the City limiting the use of such property to open space.
“Property Owner’s Association” means any property owner’s association. As used in this definition, a Property Owner’s Association includes any home-owner’s

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association, condominium owner’s association, master or sub-association or non- residential owner’s association.
“Property Owner’s Association Property” means any property within the boundaries of CFD No. 2022-01 which is (a) owned by a Property Owner’s Association or (b) designated with specific boundaries and acreage on a final subdivision map as property owner association property.
“Proportionately” means for Developed Property and Undeveloped Property, that the ratio of the Special Tax levy to the Maximum Annual Special Tax is equal within each respective Tax Zone.
“Public Property” means any property within the boundaries of CFD No. 2022-01 which (i) is owned by a public agency, (ii) has been irrevocably offered for dedication to a public agency, or (iii) is designated with specific boundaries and Acreage on a final subdivision map as property which will be owned by a public agency. For purposes of this definition, a public agency includes the federal government, the State, the County, the City, school districts, or any other public agency. “Rate and Method of Apportionment” means this Rate and Method of Apportionment of Special Tax for CFD No. 2022-01.
“Single Family Residential Property” means all Assessor’s Parcels of Developed Property with a residential structure intended as a single primary Unit. “Special Tax” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Annual Special Tax Requirement. “State” means the State of California.
“Tax Escalation Factor” means on July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax as shown in Section C shall be increased by a minimum of two percent (2%) to a maximum of six percent (6%), determined on an annual basis as needed to satisfy the Special Tax Requirement. “Tax Zone” means an area within which the Special Tax may be levied pursuant to this Rate and Method of Apportionment. All the Taxable Property within CFD No. 2022-01 at the time of its formation is within Tax Zone Nos. 1 and 6. Additional Tax Zones may be created when property is annexed to CFD No. 2022-01, and a separate Maximum Special Tax shall be identified for property within each new Tax Zone at the time of such annexation. The Assessor’s Parcels included within a new Tax Zone when such Parcels are annexed to CFD No. 2022-01 shall be identified by Assessor’s Parcel number in the annexation documents at the time of annexation. “Taxable Property” means all the Assessor’s Parcels within the boundaries of CFD No. 2022-01 that are not exempt from the Special Tax pursuant to law or Section E below.

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“Undeveloped Property” means all the Assessor’s Parcels of Taxable Property within the boundaries of CFD No. 2022-01 that are not Developed Property. “Unit” means an individual residential living space. The number of Units assigned to each Assessor’s Parcel may be determined by (i) referencing Assessor’s Data, (ii) site surveys and physical unit counts, and/or (iii) other research by the CFD Administrator.
“Welfare Exempt Property” means, in any Fiscal Year, all Parcels within the boundaries of CFD No. 2022-01 that have been granted a welfare exemption by the County under subdivision (g) of Section 214 of the Revenue and Taxation Code.

B. DETERMINATION OF TAXABLE PARCELS
On, or about, July 1 of each Fiscal Year, the CFD Administrator shall determine the valid Assessor’s Parcel Numbers for all Taxable Property within CFD No. 2022-01.

If any Assessor’s Parcel Numbers are no longer valid, the CFD Administrator shall determine the new Assessor’s Parcel Number or Numbers in effect for the then- current Fiscal Year. To the extent a Parcel or Parcels of Taxable Property are subdivided, consolidated, or otherwise reconfigured, the Maximum Special Tax shall be assigned to the new Assessor’s Parcels Numbers pursuant to Section C. The CFD Administrator shall also determine: (i) the Tax Zone within which each Parcel is located; (ii) which Parcels are Developed Property and Undeveloped Property; (iii) the number of Units or Acreage each Parcel contains; (iv) the property type, i.e., Single Family Residential Property, Non-Residential Property, etc.; and (v) the Annual Special Tax Requirement for the Fiscal Year.

C. MAXIMUM ANNUAL SPECIAL TAX RATE
The Maximum Special Tax for each Assessor’s Parcel of Taxable Property within Tax Zone Nos. 1-8 shall be assigned according to the tables on the following pages.

In some instances, an Assessor’s Parcel of Developed Property may contain more than one property land use. The Maximum Special Tax assigned to an Assessor’s Parcel of Mixed Use Property shall be the sum of the Maximum Special Tax for all property uses located on that Assessor’s Parcel. Additionally, Accessory Dwelling Units will be levied at 50% of the applicable Maximum Special Tax Rate for the property type of the primary Unit.

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Tax Zone No. 1
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $22.67 per Unit
Multi-Family Residential
Property $22.67 per Unit
Non-Residential Property $45.34 per Acre
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

Tax Zone No. 2
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $75.17 per Unit
Multi-Family Residential
Property $75.17 per Unit
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

Tax Zone No. 3
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $47.15 per Unit
Multi-Family Residential
Property $47.15 per Unit
Non-Residential Property $94.30 per Are
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

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Tax Zone No. 4
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $28.96 per Unit
Multi-Family Residential
Property $28.96 per Unit
Non-Residential Property $57.92 per Acre
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

Tax Zone No. 5
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $63.79 per Unit
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

Tax Zone No. 6
Property Land Use
2022/23 Maximum Special Tax
Rate
Non-Residential Property $51.40 per Acre
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

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Tax Zone No. 7
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $58.64 per Unit
Multi-Family Residential
Property $58.64 per Unit
Non-Residential Property $117.28 per Acre
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

Tax Zone No. 8
Property Land Use
2022/23 Maximum Special Tax
Rate
Single Family Residential
Property $37.79 per Unit
Multi-Family Residential
Property $37.79 per Unit
Non-Residential Property $75.58 per Acre
Undeveloped Property $200.00 per Parcel
*On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be Increased by the Tax Escalation Factor.

On July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax for Tax Zone Nos. 1-8 shall be increased by an amount equal to the Tax Escalation Factor.

A different Maximum Special Tax rate and Tax Escalation Factor may be identified in Tax Zones added to CFD No. 2022-01 as a result of future annexations.

D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
All Taxable Property shall be subject to a Special Tax defined as follows.

The Special Tax shall be levied each Fiscal Year by the CFD Administrator. The Annual Special Tax Requirement shall be apportioned to each Parcel within CFD No. 2022-01 by the method shown below.

First: Determine the Annual Special Tax Requirement.

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Second: Levy the Special Tax on each Parcel of Developed Property and Undeveloped Property, Proportionately, up to the applicable Maximum Special Tax.

Under no circumstances will the Special Tax on any Assessor’s Parcel used for private residential purposes be increased by more than 10% as a consequence of delinquency or default by the owner of any other Assessor’s Parcel within CFD No. 2022-01.

E. EXEMPTIONS
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Tax shall be levied on Property Owner’s Association Property, Assessor’s Parcels with public or utility easements making impractical their utilization for any use other than the purposes set forth in the easement, or Public Property, except as otherwise provided in Sections 53317.3, 53317.5, and 533401 of the Act.

Welfare Exempt Property shall thereafter be exempt from the Special Tax for as long as the property qualifies as Welfare Exempt Property.

F. APPEAL OF SPECIAL TAX LEVY
Any property owner may file a written appeal of the Special Tax with the CFD Administrator claiming that the amount or application of the Special Tax is not correct. The appeal must be filed not later than one calendar year after having paid the Special Tax that is disputed, and the appellant must be current in all payments of the Special Tax. In addition, during the term of the appeal process, all Special Tax levied must be paid on or before the payment date established when the levy was made.

The appeal must specify the reasons why the appellant claims the Special Tax is in error. The CFD Administrator shall review the appeal, meet with the appellant if the CFD Administrator deems necessary, and advise the appellant of its determination.

If the property owner disagrees with the CFD Administrator’s decision relative to the appeal, the owner may then file a written appeal with the City Council whose subsequent decision shall be final and binding on all interested parties. If the decision of the CFD Administrator or subsequent decision by the City Council requires the Special Tax to be modified or changed in favor of the property owner, the CFD Administrator shall determine if sufficient Special Tax revenue is available to make a cash refund. If a cash refund cannot be made, then an adjustment shall be made to credit future Special Taxes.

This procedure shall be exclusive and its exhaustion by any property owner shall be a condition precedent to filing any legal action by such owner.

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G. INTERPRETATION OF RATE AND METHOD OF APPORTIONMENT
The City Council may, by resolution or ordinance, interpret, clarify and/or revise this Rate and Method of Apportionment to correct any inconsistency, vagueness, or ambiguity as it relates to the Special Taxes, method of apportionment, classification of Assessor’s Parcels, or any definition used herein, as long as such correction does not materially affect the levy and collection of Special Taxes. In addition, the interpretation and application of any section of this document shall be at the City’s discretion.

H. MANNER AND DURATION OF SPECIAL TAX
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided that the City may directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if needed to meet the financial obligations of CFD No. 2022-01, and may collect delinquent Special Taxes through available methods.

A Special Tax shall be levied commencing in Fiscal Year 2022/23 to the extent necessary to satisfy the Annual Special Tax Requirement and shall be levied for as long as required to satisfy the Annual Special Tax Requirement.

I. PREPAYMENT OF SPECIAL TAX
The Special Tax may not be prepaid.

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1 ATTACHMENT 2
ORDINANCE NO.

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO

CUCAMONGA, CALIFORNIA, ACTING AS THE LEGISLATIVE BODY OF COMMUNITY FACILITIES DISTRICT NO. 2022-02 (INDUSTRIAL AREA

SERVICES) OF THE CITY OF RANCHO CUCAMONGA, AUTHORIZING

THE LEVY OF A SPECIAL TAX IN SUCH COMMUNITY FACILITIES

DISTRICT
WHEREAS, the City Council (the “City Council”) of the City of Rancho Cucamonga (the “City”), has undertaken proceedings to establish and has established a community facilities district and conducted an election therein and received a favorable vote from the qualified electors authorizing the levy of special taxes in such community facilities district, all as authorized pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California (the “Act”). This community facilities district is designated as Community Facilities District No. 2022-02 (Industrial Area Services) of the City of Rancho Cucamonga (“CFD No. 2022-02”); and
NOW, THEREFORE, this City Council of the City of Rancho Cucamonga, California, acting as the legislative body of CFD No. 2022-02 does hereby ordain as follows:

Section 1. This City Council does, by the passage of this ordinance, authorize the levy of special taxes on taxable properties located in CFD No. 2022-02 pursuant to the Rates and Method of Apportionment of Special Tax as set forth in Exhibit “A” attached hereto and incorporated herein by this reference (the “Rates and Method”).

Section 2. This City Council, acting as the legislative body of CFD No. 2022-02, is hereby further authorized, by resolution, to annually determine the special tax to be levied within CFD No. 2022-02 for the then current tax year or future tax years; provided, however, the special tax to be levied shall not exceed the maximum special tax authorized to be levied pursuant to the Rates and Method.

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the State of California or until the special tax ceases to be levied by the City Council in the manner provided in Section 5330.5 of said Government Code.

Section 5. This Ordinance shall be effective thirty (30) days after its adoption.

Introduced and the first reading was waived at a regular meeting of the City Council of the City of Rancho Cucamonga, California, on June 1, 2022.

ENACTED by the City Council of the City of Rancho Cucamonga, California, at a Regular Meeting thereof held this 15th day of June, 2022, by the following roll call vote to wit:

AYES:

NOES:

ABSENT:

APPROVED
L. DENNIS MICHAEL, MAYOR
ATTEST
JANICE C. REYNOLDS, CITY CLERK
Attachments: Exhibit A

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ATTACHMENT 2

EXHIBIT A

RATE AND METHOD OF APPORTIONMENT
FOR COMMUNITY FACILITIES DISTRICT NO. 2022-02
(INDUSTRIAL AREA SERVICES) OF THE CITY OF RANCHO CUCAMONGA A Special Tax, as hereinafter defined, shall be levied and collected Community Facilities District No. 2022-02 (Industrial Area Services) of the City of Rancho Cucamonga (“CFD No. 2022-02”) each Fiscal Year commencing in Fiscal Year 2022/23, in an amount determined by the application of the procedures below. All Taxable Property, as hereinafter defined, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.

A. DEFINITIONS
The terms hereinafter set forth have the following meaning:
“Accessory Dwelling Unit” or “ADU” means a secondary residential unit of limited size, as defined in California Government Code Section 65852.2, as may be amended from time to time, that is accessory to a single-unit dwelling. The ADU may be on the same Assessor’s Parcel as the single-unit dwelling or on a separate Assessor’s Parcel. For purposes of clarification, where an ADU and primary Unit are on the same Assessor’s Parcel, the ADU located on such Assessor’s Parcel is considered a separate Unit from the primary Unit on such Assessor’s Parcel for purposes of the Special Tax. Should an Assessor’s Parcel contain only an ADU, such Assessor’s Parcel will be taxed as an ADU only.
“Acre or Acreage” means the land area of an Assessor’s Parcel as shown on an Assessor’s Parcel Map or in the Assessor’s Data for each Assessor’s Parcel. In the event that the Assessor’s Parcel Map or Assessor’s Data shows no acreage, the Acreage for any Assessor’s Parcel may be determined by the CFD Administrator based upon the applicable condominium plan, final map, parcel map or calculated using available spatial data and GIS.
“Act” means the Mello-Roos Community Facilities Act of 1982, as amended, being Chapter 2.5 of Part 1, Division 2 of Title 5 of the Government Code of the State. “Administrative Expenses” means the actual or reasonably estimated costs directly related to the administration of CFD No. 2022-02 including, but not limited to, the following: the costs of computing the Annual Special Tax Requirement and the annual Special Tax and of preparing the annual Special Tax collection schedules; the costs of collecting the Special Tax, including any charges levied by the County Auditor’s Office, Tax Collector’s Office or Treasurer’s Office; the costs of the City or designee in complying with the disclosure requirements of the California Government Code (including the Act), including public inquiries regarding the

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ATTACHMENT 2
Special Tax; the costs of the City or designee related to an appeal of the Special Tax; and the costs of commencing and pursuing to completion any action arising from any delinquent Special Tax in CFD No. 2022-02. Administrative Expenses shall also include amounts estimated or advanced by the City or CFD No. 2022-02 for any other administrative purposes, including, but not limited to, attorney’s fees. “Annual Services Costs” means the amounts required to fund services authorized to be funded by CFD No. 2022-02.
“Annual Special Tax Requirement” means that amount with respect to CFD No. 2022-02 determined by the City Council or designee as required in any Fiscal Year to pay: (1) the Administrative Expenses, (2) the Annual Services Costs, (3) any amount required to establish or replenish any reserve or replacement fund established in connection with CFD No. 2022-02, and (4) any reasonably anticipated delinquent Special Tax based on the delinquency rate for any Special Tax levied in the previous Fiscal Year.
“Assessor’s Data” means Units, Acreage, or other information contained in the records of the County Assessor for each Assessor’s Parcel. “Assessor’s Parcel” or “Parcel” means a lot or parcel shown in an Assessor’s Parcel Map with an assigned Assessor’s Parcel Number.
“Assessor’s Parcel Map” means an official map of the Assessor of the County designating parcels by Assessor’s Parcel Number.
“Assessor’s Parcel Number” means, with respect to an Assessor’s Parcel, that number assigned to such Assessment’s Parcel by the County Assessor for purposes of identification.
“Boundary Map” means that map recorded with the County recorder’s office on May 4, 2022 in Book 90 at Page 21 as Document Number 2022-0167398. “CFD Administrator” means an official of the City, or designee thereof, responsible for determining the Annual Special Tax Requirement and providing for the levy and collection of the Special Taxes.
“CFD No. 2022-02” means Community Facilities District No. 2022-02 (Industrial Area Services) of the City of Rancho Cucamonga.
“City” means the City of Rancho Cucamonga.
“City Council” means the City Council of the City, acting as the legislative body of CFD No. 2022-02.
“County” means the County of San Bernardino, California. “County Assessor” means the County Assessor of the County.

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ATTACHMENT 2
“Developed Property” means, in any Fiscal Year, all Taxable Property in CFD No. 2022-02 for which a building permit for new construction was issued by the City prior to April 1 of the preceding Fiscal Year.
“Exempt Property” means all Assessors’ Parcels within the boundary of CFD No. 2022-02 which are exempt from the Special Tax pursuant to Section E. “Fiscal Year” means the period starting July 1 and ending on the following June 30. “GIS” means a geographic information system.
“Industrial Property” means all Assessor’s Parcels of Developed Property for which a building permit has been issued for an industrial use. “Maximum Special Tax” means the maximum Special Tax authorized for levy in any Fiscal Year that may apply to Taxable Property as described in Section C. “Mixed Use Property” means all Assessor’s Parcels that have been classified by the City to allow multiple uses on each such Assessor’s Parcel. “Open Space Property” means property within the boundaries of CFD No. 2022-02 which (i) has been designated with specific boundaries and Acreage on a final subdivision map as open space, (ii) is classified by the County Assessor as open space, (iii) has been irrevocably offered for dedication as open space to the federal government, the State, the County, the City, or any other public agency, or (iv) is encumbered by an easement or other restriction required by the City limiting the use of such property to open space.
“Property Owner’s Association” means any property owner’s association. As used in this definition, a Property Owner’s Association includes any home-owner’s association, condominium owner’s association, master or sub-association or non- residential owner’s association.
“Property Owner’s Association Property” means any property within the boundaries of CFD No. 2022-02 which is (a) owned by a Property Owner’s Association or (b) designated with specific boundaries and acreage on a final subdivision map as property owner association property.
“Proportionately” means for Developed Property and Undeveloped Property, that the ratio of the Special Tax levy to the Maximum Annual Special Tax is equal within each respective Tax Zone.
“Public Property” means any property within the boundaries of CFD No. 2022-02 which (i) is owned by a public agency, (ii) has been irrevocably offered for dedication to a public agency, or (iii) is designated with specific boundaries and Acreage on a final subdivision map as property which will be owned by a public agency. For

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ATTACHMENT 2
purposes of this definition, a public agency includes the federal government, the State, the County, the City, school districts, or any other public agency. “Rate and Method of Apportionment” means this Rate and Method of Apportionment of Special Tax for CFD No. 2022-02.
“Special Tax” means the annual special tax to be levied in each Fiscal Year on each Assessor’s Parcel of Taxable Property to fund the Annual Special Tax Requirement. “State” means the State of California.
“Tax Escalation Factor” means on July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax as shown in Section C shall be increased by a minimum of two percent (2%) to a maximum of six percent (6%), determined on an annual basis as needed to satisfy the Special Tax Requirement. “Tax Zone” means a mutually exclusive geographic area within which the Special Tax may be levied pursuant to this Rate and Method of Apportionment. All the Taxable Property within CFD No. 2022-02 at the time of its formation is within Tax Zone No. 1. Additional Tax Zones may be created when property is annexed to CFD No. 2022-02, and a separate Maximum Special Tax shall be identified for property within each new Tax Zone at the time of such annexation. The Assessor’s Parcels included within a new Tax Zone when such Parcels are annexed to CFD No. 2022- 02 shall be identified by Assessor’s Parcel number in the annexation documents at the time of annexation.
“Taxable Property” means all the Assessor’s Parcels within the boundaries of CFD No. 2022-02 that are not exempt from the Special Tax pursuant to law or Section E below.
“Undeveloped Property” means all the Assessor’s Parcels of Taxable Property within the boundaries of CFD No. 2022-02 that are not Developed Property. “Welfare Exempt Property” means, in any Fiscal Year, all Parcels within the boundaries of CFD No. 2022-02 that have been granted a welfare exemption by the County under subdivision (g) of Section 214 of the Revenue and Taxation Code.

B. DETERMINATION OF TAXABLE PARCELS
Article I. On, or about, July 1 of each Fiscal Year, the CFD Administrator shall determine the valid Assessor’s Parcel Numbers for all Taxable Property within CFD No. 2022-02. If any Assessor’s Parcel Numbers are no longer valid, the CFD Administrator shall determine the new Assessor’s Parcel Number or Numbers in effect for the then-current Fiscal Year. To the extent a Parcel or Parcels of Taxable Property are subdivided, consolidated, or otherwise reconfigured, the Maximum Special Tax shall be assigned to the new Assessor’s Parcels Numbers pursuant to Section C. The CFD Administrator shall also determine: (i) the Tax Zone within which

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ATTACHMENT 2
each Parcel is located; (ii) which Parcels are Developed Property and Undeveloped Property; (iii) the number of Units or Acreage each Parcel contains; (iv) the property type, i.e., Industrial Property, Mixed-Use Property, etc.; and (v) the Annual Special Tax Requirement for the Fiscal Year.

C. MAXIMUM ANNUAL SPECIAL TAX RATE
The Maximum Special Tax for each Assessor’s Parcel of Taxable Property within Tax Zone No. 1 shall be assigned according to the table on the following page.

Tax Zone No. 1
Property Land Use 2022/23 Maximum Special Tax Rate
Industrial Property $5,852.00 per Acre
Mixed Use Property $12,030.00 per Acre
Accessory Dwelling Units $731.50 per ADU
Undeveloped Property $200.00 per Parcel
* On each July 1, commencing on July 1, 2023, the Maximum Special Tax Rate shall be increased by the Tax Escalation Factor.

On July 1 of each Fiscal Year, commencing on July 1, 2023, the Maximum Special Tax for Tax Zone No. 1 shall be increased by an amount equal to the Tax Escalation Factor.

A different Maximum Special Tax rate and Tax Escalation Factor may be identified in Tax Zones added to CFD No. 2022-02 as a result of future annexations.

D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
All Taxable Property shall be subject to a Special Tax defined as follows.

The Special Tax shall be levied each Fiscal Year by the CFD Administrator. The Annual Special Tax Requirement shall be apportioned to each Parcel within CFD No. 2022-02 by the method shown below.

First: Determine the Annual Special Tax Requirement.

Second: Levy the Special Tax on each Parcel of Developed Property and Undeveloped Property, Proportionately, up to the applicable Maximum Special Tax.

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E. EXEMPTIONS
Notwithstanding any other provision of this Rate and Method of Apportionment of Special Tax, no Special Tax shall be levied on Property Owner’s Association Property, Assessor’s Parcels with public or utility easements making impractical their utilization for any use other than the purposes set forth in the easement, or Public Property, except as otherwise provided in Sections 53317.3, 53317.5, and 53340.1 of the Act.

Welfare Exempt Property shall be exempt from the Special Tax in each Fiscal Year the property qualifies as Welfare Exempt Property.

This procedure shall be exclusive and its exhaustion by any property owner shall be a condition precedent to filing any legal action by such owner.

G. INTERPRETATION OF RATE AND METHOD OF APPORTIONMENT
The City Council may, by resolution or ordinance, interpret, clarify and/or revise this Rate and Method of Apportionment to correct any inconsistency, vagueness, or ambiguity as it relates to the Special Taxes, method of apportionment, classification of Assessor’s Parcels, or any definition used herein, as long as such correction does not materially affect the levy and collection of Special Taxes. In addition, the

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interpretation and application of any section of this document shall be at the City’s discretion.

H. MANNER AND DURATION OF SPECIAL TAX
The Special Tax shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided that the City may directly bill the Special Tax, may collect the Special Tax at a different time or in a different manner if needed to meet the financial obligations of CFD No. 2022-02, and may collect delinquent Special Taxes through available methods.

I. PREPAYMENT OF SPECIAL TAX
The Special Tax may not be prepaid.

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DATE:June 15, 2022
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Community Parks and Landscape Citizens’ Oversight Committee SUBJECT: Consideration to Receive and File a Summary of Review of Results of Annual Independent Audit Concerning the Fiscal Year 2020/21 Expenditures in Landscape Maintenance Districts #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting District #2 Residential, and Park and Recreation Improvement District #85. (CITY)
RECOMMENDATION:

It is recommended that the City Council receive and file this report.

BACKGROUND:

Established by Resolution 19-075, the Community Parks and Landscape Citizens’ Oversight Committee is made up of members of the public that reside and own property within Landscape Maintenance Districts #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting District #2 Residential, and Park and Recreation Improvement District #85 (collectively “the Districts”), and do not serve on any other standing City Commission or Committee. A primary purpose of the Committee is to review the annual audit after it is prepared and report the results of its review to the City Council and the community on an annual basis.

The Committee does not have budgetary, operational decision-making authority, nor the authority to allocate financial resources or direct staff.

ANALYSIS:

At our meeting of April 27, 2022, Noah Daniels, Finance Director, and Kirk Hamblin, Audit Manager of Lance, Soll & Lunghard, LLP, provided an overview of the audit for the Districts for the Fiscal Year 2020/21. The reports generated by the audit include:
Audit Communication Letter
Independent Auditors’ Report on Statement of Revenues, Expenditures, and Changes in Fund Balances
Independent Auditors’ Report on Internal Control Over Financial Reporting By the law, each District accounts for its revenue and expenditures in its funds. The auditor reviewed their work, and a discussion was held regarding the audit process and how the City ensures that funds collected for maintenance and operations are spent to benefit each District.

The auditors and City Finance staff confirmed that the revenues received have been expended

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1 3
1 8
appropriately on maintenance, operations, and capital improvements in each District.

We appreciate the opportunity to serve our community on this Committee. If you have any questions regarding our annual meeting, members of the Committee will be present at the City Council meeting to present this report and discuss those questions with you.

FISCAL IMPACT:

There is no fiscal impact.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

This item addresses the City Council’s core value of actively seeking and respectfully considering all public input.

ATTACHMENTS:

Attachment 1 – Audit Communication Letter
Attachment 2 – Statement of Revenues, Expenditures and Changes in Fund Balances for the Districts for the year ended June 30, 2021
Attachment 3 – Independent Auditors’ Report on Internal Control Over Financial Reporting and on Compliance and Other Matters

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December 10, 2021
To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
We have audited the statement of revenues, expenditures and changes in fund balances of Landscape Maintenance Districts #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting Maintenance District #2 Residential, and Park an d Recreation Improvement District #85 (collectively, the Districts) of the City of Rancho Cucamonga, California (the City), for the year ended June 30, 2021. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards, Government Auditing Standards and the Uniform Guidance, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our letter to the City Council o f the City of Rancho Cucamonga dated July 15, 2021. Professional standards also require that we communicate to you the following information related to our audit.

Significant Audit Findings and Other Issues
Qualitative Aspects of Significant Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the Districts are described in the notes to statement of revenues, expenditures and changes in fund balances. No new accounting policies were adopted and the application of existing policies was not changed during Fiscal Year 2020/21. We noted no transactions entered into by the Districts during the year for which there is a lack of authoritative guidance or consensus. All significant transactions have been recognized in the financial statements in the proper period.

The statement of revenues, expenditures and changes in fund balances disclosures are neutral, consistent, and clear.

Significant Unusual Transactions
Management is responsible for the policies and practices used to account for significant unusual transactions. No significant unusual transactions have occurred during Fiscal Year 2020/21.

Difficulties Encountered in Performing the Audit
We encountered no significant difficulties in dealing with management in performing and completing our audit.

Corrected and Uncorrected Misstatements
Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. No misstatements were found.
203 N. Brea Blvd., Suite 203
Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022 ATTACHMENT 1

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To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
Disagreements with Management
For purposes of this letter, a disagreement with management is a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the statement of revenues, expenditures and changes in fund balances or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit.

Circumstances that Affect the Form and Content of the Auditor’s Report New auditing standards were implemented in Fiscal Year 2020/21 related to Statement of Auditing Standards 134, Auditor Reporting and Amendments, Including Amendments Addressing Disclosures in the Audit of Financial Statements, through Statement of Auditing Standards 140, Supplementary Information in Relation to the Financial Statements as a Whole . These standards updated the form and content of the statement of revenues, expenditures and changes in fund balances auditor’s report. The purpose of the change was to present an easier format for users to understand the results of the audit and management’s responsibilities.

Management Representations
We have requested certain representations from management that are included in the management representation letter dated December 10, 2021.

Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the Districts’ statement of revenues, expenditures and changes in f und balances or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our kn owledge, there were no such consultations with other accountants.

Other Audit Findings or Issues Discussed with Management We generally discuss a variety of matters, including the significant events or transactions that occurred during the year, business conditions affecting the Districts and business plans and strategies that may affect the risks of material misstatements, the application of accounting principles and auditing standards, with management each year prior to retention as the City’s auditors. However, these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention.

Other Matters
The following new Governmental Accounting Standards Board (GASB) pronouncements were effective for Fiscal Year 2020/21 audit:

GASB Statement No. 84, Fiduciary Activities.

GASB Statement No. 90, Majority Equity Interests - an Amendment of GASB Statement Nos. 14 and 61.

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To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
The following GASB pronouncements are effective in the following fiscal year s’ audits and should be reviewed for proper implementation by management:

Fiscal Year 2021/22
GASB Statement No. 87, Leases.

GASB Statement No. 89, Accounting for Interest Cost Incurred before the End of a Construction Period.

GASB Statement No. 97, Certain Component Unit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans.

Fiscal Year 2022/23
GASB Statement No. 91, Conduit Debt Obligations.

GASB Statement No. 94, Public-Private and Public -Public Partnerships and Availability Payment Arrangement.

GASB Statement No. 96, Subscription-Based Information Technology Arrangements.

Restriction on Use
This information is intended solely for the use of Community Parks and Landscape Citizens' Oversight Committee and management of the Districts and is not intended to be, and should not be, used by anyone other than these specified parties.

Very truly yours,
Brea, California

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LANDSCAPE MAINTENANCE DISTRICTS
#1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA,
#6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA

STREET LIGHTING MAINTENANCE DISTRICT
#2 RESIDENTIAL, AND PARK AND RECREATION
IMPROVEMENT DISTRICT #85
CITY

OF RANCHO CUCAMONGA, CALIFORNIA
YEAR ENDED JUNE 30, 2021

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES
ATTACHMENT 2

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LANDSCAPE MAINTENANCE DISTRICTS
#1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA,
#6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA,
STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL,
AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

YEAR ENDED JUNE 30, 2021

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

STATEMENT OF REVENUES, EXPENDITURES

AND CHANGES IN FUND BALANCES

YEAR ENDED JUNE 30, 2021

TABLE OF CONTENTS

Page
Number

INDEPENDENT AUDITORS’ REPORT ............................................................................................... 1

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
IN FUND BALANCES .................................................................................................................... 3

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES ............................................. ....................................................................... 5

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INDEPENDENT AUDITORS’ REPORT
To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
Report on the statement of revenues, expenditures and changes in fund balances Opinions
We have audited the accompanying statement of revenues, expenditures and changes in fund balances of the Landscape Maintenance Districts #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting Maintenance District #2 Residential, and Park and Recreation Improvement District #85 (collectively, the Districts) of the C ity of Rancho Cucamonga (the City) as of and for the year ended June 30, 2021, and the related notes to stat ement of revenues, expenditures and changes in fund balances, as listed in the table of contents.

In our opinion, the statement of revenues, expenditures and cha nges in fund balances referred to above present fairly, in all material respects, the respective financial position of the revenues, expenditures and changes in fund balances of the Districts of the City, as of June 30, 2021, in accordance with accounting principles generally accepted in the United States of America.

Basis for Opinions
We conducted our audit in accordance with auditing standards ge nerally accepted in the United States of America (GAAS) and the standards applicable to f inancial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and the State Controller's Minimum Audit Requirements for California Special Districts. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Statement of Revenues, Expenditures and Changes in Fund Balances section of our report. We are required to be independent of the Districts and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Management’s Responsibility for the Statement of Revenues, Expenditures and Changes in Fund Balances
Management is responsible for the preparation and fair presenta tion of the statement of revenues, expenditures and changes in fund balances in accordance with accounting principles generally accepted in the United States of America; and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the statem ent of revenues, expenditures and changes in fund balances that are free from material misstatement, whether due to fraud or error.

In preparing the statement of revenues, expenditures and change s in fund balances, management is required to evaluate whether there are conditions or events, co nsidered in the aggregate, that raise substantial doubt about the District s’ ability to continue as a going concern for twelve months beyond the date of the statement of revenues, expenditures and changes in fund balances.

203 N. Brea Blvd., Suite 203
Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022

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To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California

Auditor’s Responsibilities for the Audit of the Statement of Revenues, Expenditures and Changes in Fund Balances

Our objectives are to obtain reasonable assurance about whether the statement of revenues, expenditures and changes in fund balances as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opini on. Reasonable assurance is a high level of assurance but is not absolute as surance and therefore is not a guarantee that an audit conducted in accordance with the GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusi on, forgery, intentional omissions, misrepresentations, or the override of internal control. Missta tements are considered material if, there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the statement of revenues, expenditures and changes in fund balances.

In performing an audit in accordance with GAAS and Government Auditing Standards, we:

x Exercise professional judgment and maintain professional skept icism throughout the audit. x Identify and assess the risks of material misstatement of the statement of revenues, expenditures and changes in fund balances, whether due to fraud or error, an d design and perform audit procedures responsive to those risks. Such procedures include e xamining, on a test basis, evidence regarding the amounts and disclosures in the statement of revenues, expenditures and changes in fund balances.
x Obtain an understanding of internal control relevant to the au dit in order to design audit procedures that are appropriate to the circumstances, but not for the purp ose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, no such opinion is expressed. x Evaluate the appropriateness of accounting policies used and t he reasonableness of significant accounting estimates made by management, as well as evaluate th e overall presentation of the statement of revenues, expenditures and changes in fund balances. x Conclude whether, in our judgment, there are conditions or eve nts, considered in the aggregate, that raise substantial doubt about the District ’s ability to continue as a going concern for a reasonable period of time.

We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit.

Other Reporting Required by Government Auditing Standards

In accordance with Government Auditing Standards , we have also issued our report dated December 10, 2021, on our consideration of the City’s internal control over financial reporting and on our tests of its compliance with cer tain provisions of laws, regula tions, contracts, and grant agreements and other matters. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance.

Brea, California
December 10, 2021
2

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES YEAR ENDED JUNE 30, 2021

Revenues:

Taxes 1,251,109$ 3,738,622 $ 2,797,950 $ 539,014$ Charges for services 10,326 191 61 - Use of money and property 26,907 (6,799) (7,835) (915) Contributions from General Fund:

General benefit contribution - 288,082 - - General benefit equivalent 33,917 - - 40,532 Contributions from other funds 3,548 8,744 - - Miscellaneous 10,000 - 5,132 - Total Revenues 1,335,807 4,028,840 2,795,308 578,631 Expenditures:

Personnel services 26,954 872,442 946,670 18,886 Operating costs:

Operations and maintenance 57,647 67,607 76,358 5,135 Contract services 499,640 1,316,545 552,170 331,852 Tree maintenance 166,770 261,028 74,320 67,980 Utilities 380,228 865,041 473,423 155,179 Assessment administration 62,850 35,080 20,980 6,680 Interfund allocation - 86,230 - - General overhead allocation 57,340 324,160 257,850 40,790 Capital outlay 91,806 99,450 176,143 - Debt service:

Principal retirement - - - - Interest and fiscal charges - - - - Total Expenditures 1,343,235 3,927,583 2,577,914 626,502 Net Change in Fund Balances (7,428) 101,257 217,394 (47,871) Fund Balances, Beginning of Year,
as originally reported 1,822,334 4,549,583 7,325,300 771,169 Fund Balances, End of Year 1,814,906$ 4,650,840 $ 7,542,694 $ 723,298 $ Landscape
Maintenance
District #1
General City
Landscape
Maintenance
District #4R
Terra Vista
Landscape
Maintenance
District #6R
Caryn
Community
Landscape
Maintenance
District #2
Victoria
See Notes to Statement of Revenues, Expenditures and Changes in Fund Balances 3

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA

STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES YEAR ENDED JUNE 30, 2021
Revenues:

Taxes 950,482$ 376,337 $ 1,163,371$ Charges for services 790 - 14,947 Use of money and property 56,167 (14,367) 128,455 Contributions from General Fund:

General benefit contribution - - - General benefit equivalent - 251,284 49,147 Contributions from other funds 376 1,900 9,234 Miscellaneous - - - Total Revenues 1,007,815 615,154 1,365,154 Expenditures:

Personnel services 207,008 - 144,979 Operating costs:

Operations and maintenance 24,333 62,476 29,762 Contract services 400,822 610 262,036 Tree maintenance 52,851 - 26,102 Utilities 308,700 284,656 258,661 Assessment administration 16,130 38,080 144,590 Interfund allocation - - - General overhead allocation 104,930 1,920 54,780 Capital outlay - - 113,204 Debt service:

Principal retirement - 216,188 - Interest and fiscal charges - 35,988 - Total Expenditures 1,114,774 639,918 1,034,114 Net Change in Fund Balances (106,959) (24,764) 331,040 Fund Balances, Beginning of Year,
as originally reported 1,420,388 1,042,796 2,860,348 Fund Balances, End of Year 1,313,429$ 1,018,032 $ 3,191,388 $ Street Lighting
Maintenance
District #2
Residential
Park and
Recreation
Improvement
District #85
Landscape
Maintenance
District #7
North Etiwanda
See Notes to Statement of Revenues, Expenditures and Changes in Fund Balances 4

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2021

Note 1: Description of the Reporting Entity

The City of Rancho Cucamonga was incorporated on November 30, 1977, under the laws of the State of California and enjoys all the rights and privileges applicable to a General Law City. It is governed by an elected five-member board.

The City of Rancho Cucamonga, California, has formed certain ma intenance districts and authorized the levy of assessments pursuant to the terms and provisions of the "Landscaping and Lighting Act of 1972," being Division 15, Part 2 of the Streets and Highways Code of the State of California (commencing with Section 22500) . The City levies annual assessments to finance the costs and expenses necessary for maintenance and improvements in each assessment district.

The City cannot levy and collect annual assessments within an a ssessment district without complying with the procedures specified in the Landscaping and Lighting Act of 1972. On an annual basis, an Engineer's Report must be prepared for each as sessment district which contains a full and detailed description of the improvements and the proposed assessments upon assessable lots and parcels of land within the district.

The City Council must also adopt a resolution of intention which:

• Declares the intention of the City Council to levy and collect assessments within the assessment district for the fiscal year stated therein.

• Generally, describes the existing and proposed improvements an d any substantial changes proposed to be made in existing improvements.

• Refers to the assessment district by its distinctive designati on and indicates the general location of the district.

• Refers to the Engineer’s Report for a full and detailed description of the improvements, the boundaries of the assessment district and any zones therein , and the proposed assessments upon assessable lots and parcels of land within the district.

• Gives notice of the time and pl ace for public hearing by the City Council on the levy of the proposed assessment.

• States whether the assessment is proposed to increase from the previous year.

The improvements for the districts include, but are not limited to turf, ground cover, planter beds, shrubs, plants and trees, landscape lighting, irrigation system s, electrical energy for irrigation controllers, hardscapes, entry signs, sound walls, and all asso ciated appurtenant facilities. A description of the specific improvements to be maintained and serviced within each assessment district is set forth in the Annual Engineer’s Report. Maintenance may include the furnishing of services and materials for the ordinary and usual maintenance, operation, and servicing of any improvement, including repair, removal, or replacement of all o r any part of any improvement; providing for the life, growth, health, and beauty of landscaping, including cultivation, irrigation, trimming, spraying, fertilizing, or treating for disease or injury; the removal of trimmings, rubbish, debris, and other solid waste; the cleaning, sandblasting, and painting of walls and other 5

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2021

Note 1: Description of the Reporting Entity (Continued)

improvements to remove or cover graffiti. Service may include the furnishing of electric current or energy, gas, or other illuminating agent for the lighting or op eration of any improvements, and water for the irrigation of any landscaping, the operation of any fountains, or the maintenance of any other improvements.

The accompanying statement of revenues, expenditures and changes in fund balances contains information relative only to the Landscape Maintenance District s #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting Maintenance District #2 Residential, and Park and Recreation Improvement Di strict #85 of the City of Rancho Cucamonga, which are an integral part of the City of Rancho Cucamonga.

Landscape Maintenance District No. 1 General City (LMD 1) was formed in 1979 and consists of 8,395 single family homes, 10,282 multi-family units, and 8. 83 acres of vacant land, seven parks, and trails. Landscape improvements provided in LMD 1 may include, but are not limited to:
turf, ground cover, shrubs and trees, sprinkler and irrigation systems, ornamental lighting, drainage systems, masonry walls, entryway monuments, and associated appurtenances. These improvements include all necessary services; operations; admini stration; and maintenance required to keep the abovementioned improvements in healthy, vi gorous, and satisfactory working condition.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 92.21 $ 92.21 $ 0.00% Condominium unit 46.11 46.11 0.00% Multi-family unit 46.11 46.11 0.00% Commercial/industrial parcel per acre 184.42 184.42 0.00%

Victoria Neighborhood Parks and Landscape Maintenance District (LMD 2) was formed in 1982 and consists of 5,890 single family homes, 972 condominiums, 729 multi-family units, 57.97 acres of commercial/industrial, 75.28 acres of public service parcels, and 16.97 acres of vacant land, six parks, and trails. On June 5, 2013, a Proposition 218 ballot proceeding was held, and residents approved a rate increase.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 503.80$ 503.80$ 0.00% Condominium unit 370.98 370.98 0.00% Multi-family unit 352.66 352.66 0.00% Commercial/industrial parcel per acre 2,381.60 2,381.60 0.00% Public service parcel per acre 137.40 137.40 0.00% Undeveloped parcel per acre 100.76 100.76 0.00%

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2021

Note 1: Description of the Re porting Entity (Continued)

Landscape Maintenance District No. 4R Terra Vista (LMD 4R) was formed in 1984 and consists of 2,652 single family homes, 1,249 condominiums, 4,001 multi-family, 35.41 acres of schools, 176.41 acres of commercial/industrial, and 61.08 acres o f v a c a n t l a n d . O n December 2, 2009, a Proposition 218 ballot proceeding was held, and residents approved a rate increase.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 397.15$ 397.15$ 0.00% Condominium unit 317.72 317.72 0.00% Multi-family unit 278.01 278.01 0.00% Commercial/industrial parcel per acre 1,290.74 1,290.74 0.00% Undeveloped parcel per acre 99.29 99.29 0.00% School parcel per acre 99.29 99.29 0.00%

Landscape Maintenance District No. 6R Caryn Community (LMD 6R) was formed in 1986 and consists of 966 single family homes in Zone 1, 310 single f amily homes in Zone 2,

1.34 acres of schools, and 0.00 acres of vacant land. On September 1, 2010, a Proposition 218 ballot proceeding was held, and residents approved a rate increase.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home - Zone 1 451.92 $ 462.07 $ 2.25% Single family home - Zone 2 338.94 346.55 2.25% School parcel per acre 112.98 115.52 2.25% Undeveloped parcel per acre 112.98 115.52 2.25%

Landscape Maintenance District No. 7 North Etiwanda (LMD 7) was formed in 1989 and currently consists of 3,092 single family homes.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 307.05 $ 307.55 $ 0.00%

Street Lighting Maintenance District No. 2 Residential (SLD 2) was formed in August 1983 and consists of 7,320 single fam ily homes, 2,053 multi-family u nits, and 35.16 acres of non-residential land. The SLD 2 assessments pay for energy and maintenance for streetlights within the public right-of-way and dedicated easements within the boundaries of SLD 2.

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2021

Note 1: Description of the Reporting Entity (Continued)

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 39.97$ 39.97$ 0.00% Multi-family unit 39.97 39.97 0.00% Commercial/industrial parcel per acre 79.94 79.94 0.00%

Park and Recreation Improvement District No. 85 Red Hill and He ritage Park District (PD 85) was formed in April 1985. PD 85 is a combination Improvement a nd Maintenance District. This special tax was issued to pay for bonds that wer e sold in 1985 and refinanced in 1993. The bonds that were sold for the construction of the parks have been paid off as of 2005.

However, all parcels in PD 85 will continue to be assessed for the on-going maintenance of both parks. The boundary of PD 85 is citywide except properties within the planned communities.

The assessment rates are as follows:

Fiscal Year Fiscal Year Percentage
2020/21 2021/22 Change
Single family home 31.00 $ 31.00 $ 0.00% Condominium unit 31.00 31.00 0.00% Multi-family unit 31.00 31.00 0.00% Commercial/industrial parcel
<1.50 acres 15.50/Lot 15.50/Lot 0.00%

1.51 - 3.50 acres 46.50/Lot 46.50/Lot 0.00%

3.51 - 7.00 acres 108.50/Lot 108.50/Lot 0.00%

7.01 - 14.00 acres 217.00/Lot 217.00/Lot 0.00%

14.01 - 25.00 acres 434.00/Lot 434.00/Lot 0.00%
>25.01 acres 775.00/Lot 775.00/Lot 0.00%

Note 2: Measurement Focus, Bas is of Accounting and Financial Statement Presentation

The statement of revenues, expenditures and changes in fund bal ances is reported using the current financial resources measurement focus and the modified accrual basis of accounting.

Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures are generally recorded when a liability i s incurred, as under accrual accounting except for sales tax and grant revenue where the government considers revenue to be available if collected within 180 days of the end of the cur rent fiscal year period. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due.

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LANDSCAPE MAINTENANCE DISTRICTS #1 GENERAL CITY, #2 VICTORIA, #4R TERRA VISTA, #6R CARYN COMMUNITY, AND #7 NORTH ETIWANDA, STREET LIGHTING MAINTENANCE DISTRICT #2 RESIDENTIAL, AND PARK AND RECREATION IMPROVEMENT DISTRICT #85

CITY OF RANCHO CUCAMONGA, CALIFORNIA

NOTES TO STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2021

Note 2: Measurement Focus, Basis of Accounting and Financial St atement Presentation (Continued)

Assessment Revenue

Assessment revenue is recognized on the modified accrual basis, that is, in the fiscal year for which the assessments have been levied providing they becom e available. Available means then due, or past due and receivable within the current period and collected within the current period or expected to be collected soon enough thereafter to be used to pay liabilities of the current period. The County of San Bernardino collects th e assessments for the Districts. Assessment liens attach annually as of 12:01 A.M. on the first day in January proceeding the fiscal year for which the assessments are levied. Assessments are levied on real property as it exists on that date. The assessment levy covers the fiscal period July 1 to June 30. One-half of the assessment is due November 1; the second half of the assessment is due February 1. All assessments are delinquent if unpaid on December 10 and April 10, respectively.

Fund Type

The Landscape Maintenance District #1 General City, #2 Victoria, #4R Terra Vista, #6 Caryn Community, and #7 North Etiwanda, Street Lighting Maintenance District #2, and Park and Recreation Improvement District #85 funds included in this report are accounted for in the City’s financial records as special revenue funds. Special revenue funds account for and report the proceeds of specific revenue sources that are restri cted or committed to expenditures for specified purposes. Special revenue funds are designed to help determine and demonstrate resources that must be used for a specified purpose are, in fact, used for that purpose.

Note 3: Contributions from General Fund

A General Benefit Contribution quantifies the dollar value of a general benefit to parcels within a district which is required by law to be funded from sources other than special assessments. This general benefit is contributed from general revenues by the City’s General Fund. In the event a district is operating at a deficit, lacks the resources for nec essary maintenance or maintains insufficient operating reserves, a General Benefit Equivalent m ay be authorized by the City Council through the annual budget process. Per City policy , the amount of the General Benefit Equivalent will not exceed 11% of the adjusted total budget of the district under consideration for the subsidy.

Note 4: Advances from City

On August 16, 2017, the City Council authorized an advance of $ 4,286,054 from the General Fund to the Street Lighting Maintenance District #2 Fun d to provide funding for the purchase and acquisition of Southern California Edison owned streetlights, the installation of LED lighting to streetlights, and other one-time costs necessary to inventory the streetlights. The advance was completed in phases and bears interest at 1.0% on the outstanding balance. The advance is payable in monthly installments and the final payment will occur in August 2037. At June 30, 2021, the outstanding balance amounted to $3,481,246. 9

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INDEPENDENT AUDITORS’ REPORT ON INTERNAL CONTROL

OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE

WITH GOVERNMENT AUDITING STANDARDS
To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the statement of revenues, expenditures and changes in fund balances of Landscape Maintenance Districts #1 General City, #2 Victoria, #4R Terra Vista, #6R Caryn Community, and #7 North Etiwanda, Street Lighting Maintenance District #2 Residential, and Park and Recreation Improvement District #85 (collectively, the Districts), of the City of Rancho Cucamonga, California (the City), for the year ended June 30, 2021 , and the related notes to statement of revenues, expenditures and changes in fund balances, and have issued our report thereon December 10, 2021.

Internal Control over Financial Reporting
In planning and performing our audit of the statement of revenues, expenditures and changes in fund balances, we considered the City’s internal control over financial reporting (internal control) as a basis for designing audit procedures that are appropria te in the circumstances for the purpose of expressing our opinions on the statement of revenues, expenditures and changes in fund balances, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.

A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the Districts’ statement of revenues, expenditures and changes in fund balances will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or, significant deficiencies. Given these limitations , during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
203 N. Brea Blvd., Suite 203
Brea, CA 92821 Lance, Soll & Lunghard, LLP Phone: 714.672.0022 ATTACHMENT 3

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To the Community Parks and Landscape Citizens' Oversight Committee City of Rancho Cucamonga, California
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Districts’ statement of revenues, expenditures and changes in fund balances are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the statement of revenues, expenditures and changes in fund balances. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. Th e results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.

Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.

Brea, California
December 10, 2021

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DATE:June 15, 2022
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Chris Ellis, Assistant Engineer
SUBJECT: Consideration to Receive and File an Update for Estacia Street, et al.

Residential Permit Parking District and Consider a Resolution Amending the Estacia Street, et al. Residential Permit Parking District to extend the Duration of the Parking District by One Year and Add Stafford Street and Malvern Avenue East of Hermosa Avenue Pursuant to Municipal Code Section 10.50. (RESOLUTION NO. 2022-077) (CITY)
RECOMMENDATION:

Staff recommends that the City Council:

1. Adopt the attached resolution to amend the Estacia Street, et al. Residential Permit Parking District to add Stafford Street and Malvern Avenue east of Hermosa Avenue;

2. Waive fees for the first issuance of permits for the proposed amendment to the residential permit parking district; and

3. Extend the parking restrictions for the entirety of the Estacia Steet, et al. residential permit parking district for one year.

BACKGROUND:

In May of 2021, staff was contacted by multiple residents of the neighborhoods generally located north of Foothill Boulevard and east and west of Hermosa Avenue (Tract 5591 and 9153) comprised of Estacia Street, Elmhurst Avenue, Stafford Street, Effen Street, Dorset Court, Malvern Avenue and Cambridge Avenue (see Attachment 1). Residents expressed concerns with overflow on-street parking in their neighborhood from the nearby Arte apartment complex and the neighborhood impacts that had accompanied this overflow parking, including occupation of limited on-street parking, littering and animal waste, and illegal activity including altercations involving those parking in the neighborhood.

Following a neighborhood meeting in June 2021 and additional conversations with staff, the City received a petition requesting the creation of a Residential Permit Parking District consisting of the area west of Arte pursuant to Rancho Cucamonga Municipal Code Section 10.50 that would restrict legal access to on-street parking in the neighborhood to residents and their guests displaying City-issued permits. A petition from the neighborhood east of Hermosa Avenue was not received at the time. The City Council held a public hearing on September 15, 2021, to consider the petition. A second public hearing was held on October 20, 2021. During these hearings, the City Council received testimony from residents of both the affected neighborhood and Arte along with members of the property management team for Arte on the impacts of the overflow parking issue.

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Page 2 ends

1 3
6 5
At the conclusion of the hearing on October 20, 2021, the City Council adopted Resolution No. 2021-119 creating the Estacia Street, et al. Residential Permit Parking District, which included Estacia Street, Elmhurst Avenue, Stafford Street, Effen Street, and Cambridge Avenue, and later amended the resolution to include Dorset Court west of Hermosa Avenue.

In April of this year, staff was contacted by a resident who lives on Stafford Street, in the neighborhood north of the Arte apartment complex and east of Hermosa Avenue, requesting that the district be expanded to include Stafford Street between Hermosa Avenue and Center Avenue along with the four residences on Malvern Avenue. The resident expressed concerns that were similar to the concerns raised by residents of the neighborhood west of Hermosa Avenue prior to the establishment of the parking district.

ANALYSIS:

While the resident living on Stafford Street had provided an initial petition to staff, a wider area of signatures along with additional information was needed to evaluate the request. Given the prior concerns raised by those in this neighborhood, staff sought to contact each residence facing Stafford Street and the short block of Malvern Avenue between Stafford Street and Dorset Street.

On June 6, 2021, staff had obtained a petition signed by 26 of 33 residents (78%) on Stafford Street and Malvern Avenue indicating their desire to be added to the previously created Estacia Street, et al. Residential Permit Parking District. Staff has verified the signatures on the petition and finds that it is supportive of the required findings for the creation of a residential permit parking district. It should be noted that the residences on the northwest and southwest corners of Center Avenue and Stafford Street did not sign the petition. However, since these houses face Center Avenue which allows for on-street parking, staff has not included them in the count to determine the percentage of residences requesting the district.

Chapter 10.50.020 of the Municipal Code requires that the City Council make the following findings prior to the adoption of a resolution creating a residential permit parking district:

A. Vehicles, operated by persons whose destinations are outside the proposed parking district, do or may substantially and regularly interfere with the use of the majority of available parking spaces for use of residents within the proposed permit parking district; Based on prior statements along with residents requesting the addition to the permit parking district, vehicles are regularly parked on Stafford Street and Malvern Avenue by those visiting or living at the Arte apartment complex. This is consistent with staff’s observations and statements made during the prior hearings related to the district.

B. The interference by such vehicles occurs at regular and significant daily or weekly intervals;
The interference of on-street parking is occurring significantly and daily.

C. That such vehicles being driven or parked in the area of the proposed permit parking district cause or are the source of unreasonable noise, traffic hazards, environmental pollution, parking availability for residents, or devaluation of real property in such proposed district;
Vehicles from outside the community have created impacts including a reduction of parking available for residents, litter, and concerns for public safety leading to potential

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devaluation of real property.

D. That 75% of the residents within the proposed district desire, agree, or request permit parking privileges (unless established by City Council action in absence of a petition); The petition requesting the creation of the residential permit parking district is supported by 26 out of 33 residences on Stafford Street and Malvern Avenue seeking to be added into the existing Estacia Street, et al. Residential Permit Parking District (see Attachment 2), which is 78% of the residents within the proposed district addition.

E. That no unreasonable displacement of vehicles will result in surrounding residential areas;
With the inclusion of Stafford Street and Malvern Avenue, the proposed residential permit parking district consists of streets east and west of Hermosa Avenue. There are commercial uses and apartments south of the proposed parking district along Foothill Boulevard whose customers and residents would not be eligible to obtain permits since they would not be part of the district. There is also a single-family neighborhood to the north of the proposed district addition. However, staff has not received a petition requesting a permit parking district from this neighborhood. Should the implementation of the proposed district result in displaced parking that is of concern to residents north of Stafford Street, staff will assist them with processing a request for a similar parking district.

F. That no alternative solution, other than the establishment of the permit parking district, is practical.

Staff worked with members of the community to explore other options for parking restrictions, such as time-specific restrictions of parking, complete restrictions of parking, and different boundaries for the proposed permit parking district among others but these options did not satisfy the needs of the neighborhood. Continued enforcement of the violations occurring on the streets within the proposed permit parking district has also proved to be costly and ineffective in discouraging further violations. It was determined the requested residential permit parking district is the most appropriate and practical solution to address these impacts.

The installation of “permit parking only” signs would allow patrolling officers to cite or tow violators at their discretion depending on circumstances including the extent of violations, persistence of violations, and availability of resources. Residential permit parking districts have been created and proven to be effective in several areas of the City. The expanded permit parking district is anticipated to alleviate the impacts to the neighborhood and protect its quality of life.

District Status Update and Extension Request
At the creation of the Estacia Street, et al. Residential Permit Parking District, the City Council set a 6-month timeline for staff to work with the management and ownership of the Arte apartment complex in an effort to resolve the on-street parking issues through updates to the complex’s parking management plan and to re-evaluate the continued need for the district’s restrictions.

Following the establishment of the district and pursuant to Special Planning Condition of Approval #3 of the Planning Commission’s Resolution No.’s 16-49 and 16-51 approving the Arte’s development, the Planning Director prepared and imposed a revised Parking Management Plan (Revised PMP) for Arte on February 24, 2022. This plan incorporated a number of efforts required

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to document and increase the on-site or remote off-street parking capacity to mitigate the impacts in the surrounding neighborhood. An administrative hearing on the Revised PMP was requested by the property owner and held on March 30, 2022. Based on the information received during the administrative hearing on May 9, 2022, the Planning Director issued a determination upholding his prior decision to issue the Revised PMP. The determination letter did acknowledge Arte’s commitment to preparing an updated parking study and to widen Hermosa Avenue to close any parking gap identified in the updated study.

Staff received the updated parking study on May 15, 2022 from Arte and has performed an initial review. The study indicates that there is a surplus of on-site parking spaces after accounting for on-street parking observed during the study period, however it notes that the assignment of parking spaces through tenant leases on a uniform basis is likely leading to an underutilization of the supply of on-site parking. In order to address this noted underutilization, the study recommends that Arte realign its parking management policies and leases to make assigned but unused parking spaces available for use by other tenants. The study’s findings of a surplus initially seem counterintuitive when compared with observations by staff and residents of the surrounding neighborhood. To verify these findings and determine whether the recommendations provided by the parking consultant will be effective in resolving the off-site parking issue, staff will need to further review the updated study and explore the recommendations with Arte’s ownership alongside the current requirements of the Revised PMP.

In addition to the continued efforts to seek resolution of the off-site parking issues with Arte over the past several months, staff surveyed the neighborhood currently covered by the permit parking district in January 2022, approximately 2 months after the district’s establishment. Based on the survey, staff has found that since the establishment of the district, concerns related to impacts from on-street parking by vehicles outside of the neighborhood have been reduced. Further, it was found that residents within the district were predominantly satisfied with the outcomes.

Approximately, 75% of survey participants stated that they felt the number of cars parked in the neighborhood had decreased and 76% stated they noticed fewer neighborhood impacts (trash, crime, etc.) since the permit parking district has been in effect.

Due to the success of the Estacia Street, et al. Residential Permit Parking District, staff is recommending the district not only be amended to include the additional area outlined in Attachment 2 but also that the City Council extend the district permit parking restrictions for one year. This extension will allow for staff to continue the dialog with Arte’s ownership and to allow additional time for implementation of the Revised PMP to occur and their effectiveness to be evaluated.

Outreach
In order to ensure that status updates and changes related to parking in and around the neighborhoods surrounding the Arte apartment complex are well communicated with those that they affect, staff has distributed a door hanger with a link to the City Council agenda and this staff report to the residences of both the existing and proposed expanded permit parking district.

Further, staff has provided the same information to the representative for Arte’s ownership via email.

FISCAL IMPACT:

The fiscal impact of this action would be minor, consisting of the cost of parking passes, installation of signs, and the associated administration of the permit parking program for an additional 33 residences. The City already has several permit parking districts and this district would adopt the same policies and procedures.

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COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

The creation of the proposed permit parking district addresses the City Council’s vision for the City by establishing programs that maintain the high quality of life in local neighborhoods that promote a world class community.

ATTACHMENTS:

Attachment 1 - Vicinity Map
Attachment 2 – Petition Map
Attachment 3 – Resolution

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ATTACHMENT 1

VICINITY MAP

HAVEN AVENUE

FOOTHILL BOULEVARD

CHURCH STREET

HERMOSA AVENUE

PROPOSED PARKING

DISTRICT BOUNDARY

EXISTING PARKING

DISTRICT BOUNDARY

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ATTACHMENT 2
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0 2

PETITION MAP

PROPOSED ADDITION OF STAFFORD STREET AND MALVERN AVENUE

TO THE ESTACIA STREET, ET AL PERMIT PARKING DISTRICT
YES - (26/33) – 78%
DID NOT SIGN - (9/33)
NO - (0/33) – 0%

HOUSE FACING

CENTER AVENUE
(DID NOT SIGN)
KEY:

STAFFORD ST

MALVERN AVE

CENTER AVE

HERMOSA AVE

PROPOSED ADDITION

TO PARKING DISTRICT

BOUNDARY

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Resolution No. 2020-119 -Page 1 of 6
ATTACHMENT 3
RESOLUTION NO. 2022-077

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

RANCHO CUCAMONGA, CALIFORNIA, ADDING STAFFORD

STREET BETWEEN HERMOSA AVENUE AND CENTER

AVENUE AND MALVERN AVENUE BETWEEN STAFFORD
STREET AND DORSET COURT TO THE EXISTING " ESTACIA
STREET, ET AL." PERMIT PARKING DISTRICT AND

EXTENDING THE DURATION OF THE DISTRICT BY ONE YEAR
IN ACCORDANCE WITH THE PROVISIONS OF CHAPTER 10.50

OF THE RANCHO CUCAMONGA MUNICIPAL CODE
A. Recitals

1. California Vehicle Code Section 22507 allows a general law city to establish by resolution a preferential parking program by which there is a designation of certain streets upon which preferential parking privileges are given to residents adjacent to the streets for their use and the use of their guests.

2. Chapter 10.50 of the Rancho Cucamonga Municipal Code permits the establishment of a Permit Parking District in an area in which vehicles operated by persons whose destinations are outside of the proposed Permit Parking District substantially and regularly interfere with the use of the majority of available parking spaces for use by residents.

3. Attached hereto as Exhibit A is a map of an area herein referred to as “Estacia Street, et al.” and also hereinafter referred to as the “Parking District” in which vehicles operated by persons whose destination is outside of the boundaries of the proposed district, substantially and regularly interfering with the use and availability of parking spaces in the Parking District.

4. Substantial evidence has been presented to this Council demonstrating that the persons referred to in Recital 3 above, not only occupy a majority of the parking spaces in the Parking District, but also block access to the Parking District’s residences, disrupt delivery of mail and packages, and deposit trash and litter within the Parking District, and that these activities occur at regular and significant intervals.

5. It is the purpose of this Resolution to amend the Parking District to add Stafford Street between Hermosa Avenue and Center Avenue and Malvern Avenue between Stafford Street and Dorset Court to the existing Estacia Street, et al. Residential Permit Parking District.

6. The Parking District is an area within which parking shall be limited at all times to parking by residents of that Parking District, their guests, and those persons exempt from that limitation pursuant to Rancho Cucamonga Municipal Code Section

10.50.100.

7. Pursuant to Rancho Cucamonga Municipal Code Section 10.50.040, the residents of the proposed Permit Parking District’s petition shall be submitted before the City

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Resolution No. 2022-077 - Page 2 of 6
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Council with the City Engineer’s Recommendation and Report which is attached hereto as Exhibit B and made a part hereof.

8. All legal prerequisites to the adoption of this Resolution have been satisfied.

B. Resolution
NOW, THEREFORE, it is hereby found, determined, and resolved by the City Council of the City of Rancho Cucamonga as follows:

1. This Council hereby finds that all the facts stated in Part A of this Resolution are true and correct.

2. Based on substantial evidence presented to this City Council including the evidence contained in the staff report, the City Council further finds and determines as follows:

A. Vehicles operated by persons whose destinations are outside of the Parking District as defined in Subsection 10.50.020(A) of the Rancho Cucamonga Municipal Code substantially and regularly interfere with the use of the majority of parking spaces for use of residents within the Parking District; B. The interference by the vehicles referred to in Paragraph 2(A) above occurs at regular and significant intervals;
C. The vehicles referred to in Paragraph 2(A) above cause and are the source of unreasonable noise, traffic hazards, and environmental pollution within the Parking District;
D. A petition of the Residents of the proposed Permit Parking District has been received by the City Engineer and said petition was confirmed to have more than 75% of the Residents agree to the establishment of the Permit Parking District.

E. No unreasonable displacement of vehicles operated by persons whose destination is outside of the Parking District will result into surrounding residential areas; and F. No alternative solution, other than the establishment of the Permit Parking District is feasible or practical.

3. Based on the findings set forth in Paragraph 2 above, the duration of the Parking District is hereby extended by one year to and including June 15, 2023 pursuant to the provisions of Chapter 10.50 of the Rancho Cucamonga Municipal Code and parking therein will continue to be restricted to those residents and their guests possessing permits issued by the City Engineer or his designee and those exempt pursuant to Rancho Cucamonga Municipal Code Section 10.50.100.

Notwithstanding the foregoing, the Parking District shall remain in effect until the City Council takes action to formally rescind the Parking District, which may result in the Parking District remaining in effect after June 15, 2023.

4. Based on the findings set forth in Paragraph 2 above, the geographic boundaries of the Parking District are hereby amended to incorporate Stafford Street between

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Resolution No. 2022-077 - Page 3 of 6
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0 3
Hermosa Avenue and Center Avenue and Malvern Avenue between Stafford Street and Dorset Court.

5. The City Engineer’s Recommendation and Report has been submitted and the City Council accepts and approves said Recommendation and Report inclusive of Cost of Parking Permits.

6. The City Engineer is hereby instructed to immediately cause appropriate signs to be placed and posted within the Parking District indicating the parking limitations extended and established by this Resolution and to implement and administer the permit process specified in Rancho Cucamonga Municipal Code Sections 10.50.070 and 10.50.080.

7. The City Clerk shall certify to the adoption of this Resolution.

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Resolution No. 2022-077 - Page 4 of 6
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EXHIBIT A
“Estacia Street et al.” Permit Parking District
The proposed district includes the houses fronting Estacia Street, Elmhurst Avenue, Stafford Street, Effen Street, Dorset Court and Cambridge Avenue between Hermosa Avenue and Ramona Avenue as well as Stafford Street between Hermosa Avenue and Center Avenue and Malvern Avenue between Stafford Street and Dorset Street and shall restrict parking on both sides of these streets to vehicles with valid permits or exemptions as defined by the Rancho Cucamonga Municipal Code.

Estacia Street, et al. Residential Permit Parking District per Resolution 2021-119 Proposed addition to the Estacia Street, et al Residential Permit Parking District

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Residential Parking Permit Program Page 1
Updated: 7/26/2021
Resolution No. 2020-119 -Page 5 of 6

PERMIT PARKING DISTRICTS

PERMIT PARKING DISTRICT PROGRAM
The Parking Permit District Program is governed by Section 10.50, “Permit Parking Districts” of the City of Rancho Cucamonga Municipal Code and allows residents of a Permit Parking District special permits that exempt them and their guests from certain on-street parking restrictions.

REQUESTING A PERMIT PARKING DISTRICT
Requests for creation of a Permit Parking District may be made by submitting a petition signed by at least seventy-five percent (75%) of the residents (one vote per address) within the boundaries of the proposed district (as designated in the petition) to the Engineering Services Department. All requests will be reviewed for conformance with program requirements defined in Section 10.50, “Permit Parking Districts” of the City of Rancho Cucamonga Municipal Code including the following required findings:
Vehicles, operated by persons whose destinations are outside the proposed parking district, do or may substantially and regularly interfere with the use of the majority of available parking spaces for use of residents within the proposed permit parking district;
The interference by commuter vehicles occurs at regular and significant daily or weekly intervals; That such vehicles being driven or parked in the area of the proposed permit parking district cause or are the source of unreasonable noise, traffic hazards, environmental pollution, parking availability for residents, or devaluation of real property in such proposed district; That 75 percent of the residents within the proposed district desire, agree or request permit parking privileges (unless established by city council action in absence of a petition); That no unreasonable displacement of commuter vehicles will result into surrounding residential areas; That no alternative solution, other than the establishment of the permit parking district, is feasible or practical.

Upon completion of this review, City staff will inform applicants of their findings. Requests that meet program requirements will be forwarded to the City Council for consideration. The City Council may establish the requested Permit Parking District by adoption of a resolution.

LIMITATIONS
A parking permit does not exempt a vehicle from Section 10.44.130, "Storage of Vehicles upon Streets", of the City of Rancho Cucamonga Municipal Code. According to Section 10.44.130, a vehicle may not park in the same parking space on a public street for more than seventy-two (72) consecutive hours.

As well, parking permits do not exempt a vehicle from Section 10.64.030 "Parking Restriction", of the City of Rancho Cucamonga Municipal Code. According to Section 10.64.030, it is unlawful for any person to park or store any house car, trailer, camp trailer, trailer coach, camper, or boat upon any public street or highway or alley within the City for longer than one hour between the hours of 2:00 AM and 6:00 AM on any day.

EXHIBIT B
Engineer’s Recommendations

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Residential Parking Permit Program Page 2
Updated: 7/26/2021
Resolution No. 2020-119 -Page 6 of 6

TYPES OF PERMITS AND PROPER DISPLAY
The City currently issues a mirror-hanger style permit which shall be hung from the inside rear view mirror, visible from the front of the vehicle. Temporary guest parking permits are to be placed on the dashboard with the printed side visible from the front of the vehicle.

OBTAINING PARKING PERMITS
Residents living within the boundaries of an established Permit Parking District may apply for parking permits.

Proof of residency less than 30 days old is required upon application for permits. A maximum of five (5) parking permits may be issued to residents of a single dwelling unit. Requests for more than five (5) parking permits per address are subject to review by the City Engineer.

Parking permits may be obtained in person Monday through Thursday, 7:00 AM to 6:00 PM at City Hall, located at 10500 Civic Center Drive, Rancho Cucamonga, CA 91730 or by mailing a copy of your information to the Engineering Services Department at the address listed below.

Residents must provide proof of residency less than 30 days old in one of the following forms (originals will be reviewed for proof of residency and returned to the requestor):
Current utility bill, bank statement, credit card bill, or other bill statement that was sent through the mail on a monthly billing cycle
Rental/lease agreement signed within the last 30 days
Proof of property ownership, tax bill or new escrow papers

EXPIRATION
Parking permits are valid for a period of up to five (5) years. Parking permits currently being issued will expire on July 31, 2025.

COSTS
Parking Permit $10 for the first vehicle plus $2 for each additional vehicle (maximum of 5) when
registered all at the same time.
Replacement of lost, stolen, or damaged permits $10 each Temporary Guest Parking Permit Free
The cost listed for parking permits is based on the cost of materials and staff time to manage the program and for keeping records. Costs are subject to change.

TEMPORARY GUEST PARKING PERMITS
Residents living within the boundaries of an established Permit Parking District may apply for Temporary Guest Parking Permits which are valid for one day. If a resident desire more than fifty (50) Temporary Guest Parking Permits for a special event, the resident may apply for a special event permit that will temporarily suspend the need for visitors to display a parking permit. Staff may require that the resident fulfill special conditions, such as notifying neighbors of the special event, and covering the permit parking district regulation signs.

FINE FOR PARKING VIOLATIONS
Fine per violation $50 (Fines are subject to change)

PROGRAM CONTACT INFORMATION
City of Rancho Cucamonga / Engineering Services Department P. O. Box 807
Rancho Cucamonga, CA 91730
(909) 477-2700

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DATE:June 15, 2022
TO:President and Members of the Board of Directors
FROM:John R. Gillison, City Manager
INITIATED BY: Mike McCliman, Fire Chief
Noah Daniels, Finance Director
Darci Vogel, Fire Business Manager
Kelly Guerra, Special Districts Analyst
SUBJECT: Public Hearing to Consider Adoption of a Resolution Making Determinations Regarding the Proposed Annexation of Territory (Annexation No. 22-2) Located at 8629 Pecan Avenue into an Existing Community Facilities District, Calling a Special Election, and Authorizing Submittal of Levy of Special Taxes to the Qualified Electors. (RESOLUTION NO. FD 2022-014) (FIRE)
RECOMMENDATION:

Staff recommends that the Fire Protection District Board adopt a resolution making determinations and authorizing the submittal of the levy of special taxes to the qualified electors of territory proposed to be annexed (APN: 0229-151-27, Annexation No. 22-2) to existing Community Facilities District No. 85-1 (“CFD No. 85-1”) and calling a special election for such purpose.

BACKGROUND:

Gaytan Land Development LLC, property owner, has submitted a proposal to develop property located at 8629 Pecan Avenue (APN 0229-151-27, the “Annexation Area”) and is conditioned by the City and Fire Protection District to annex such property into the existing Community Facilities District (CFD) No. 85-1 to satisfy fire protection service mitigation impacts.

On May 4, 2022, the Board initiated formal annexation proceedings pursuant to the provisions of the Mello-Roos Community Facilities Act of 1982 (the “Mello-Roos Act”) by adopting Resolution No. FD 2022-008 approving an Annexation Map (Exhibit “A”) of the territory proposed to be annexed and Resolution No. FD 2022-009 approving the Intention to Annex APN 0229-151-27 in the existing CFD 85-1. This Resolution, among other things, declared the intention of the Board of Directors to levy a special tax within the Annexation Area to finance fire protection and suppression services and setting a public hearing regarding the proposed annexation to be held on June 15, 2022.

Through adoption of this resolution before the Board this evening, the Board will accomplish the following:
Make certain determinations as set forth in the Resolution; Call for a special election to be conducted on June 15, 2022; Authorize submittal of the levy of the special tax to qualified electors of the Annexation Area at such Special election.

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ANALYSIS:

The annexation of the Annexation Area into CFD No. 85-1 will satisfy the conditions of development relating to mitigating impacts upon fire protection services. Gaytan Land Development LLC, property owner, is in full support of the annexation of the property being annexed. Pursuant to the Mello-Roos Act, whenever there have been less than 12 persons registered to vote within the Annexation Area for each of the 90 days preceding the public hearing pertaining to such annexation, the vote shall be by the landowners within the Annexation Area. Therefore, in the current circumstances, the election will be a landowner’s vote, the landowner having one vote per acre or portion thereof of land within the Annexation Area.

Gaytan Land Development LLC , owner of the property within the Annexation Area, has executed a “Consent and Waiver” of time frames relating to the election. Exhibit “A” of the Resolution sets forth the rate and method of apportionment of the special tax proposed to be levied within the Annexation Area which is consistent with the special tax levied upon all territory currently within CFD No. 85-1.

At the special election to be held on June 15, 2022, the landowner(s) will be entitled to cast its ballot. The Board Secretary will then canvas the ballot, if received. At the next Fire Board meeting, the Board will consider adopting the resolution declaring the election results and the annexation of the Annexation Area to CFD 85-1. If 2/3 of the votes are cast in favor of the levy of the special tax, the Board may declare the property to be annexed.

The Public Notice regarding the Public Hearing has been advertised in the Inland Valley Daily Bulletin.

FISCAL IMPACT:

The special tax revenues that are collected of the CFD No. 85-1 are used to pay for public facilities and services in the District area. Costs related to the administering of the District are the responsibility of the property owners within the District. Annexation of the property located at 8629 Pecan Avenue will ensure the property owner covers the cost of increased demand for fire services resulting from new development within the Territory.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

This item brings together portions of the Council’s vision and core value by providing a sustainable City and promoting a safe and healthy community for all. Annexation of the property into CFD 85-1 ensures the delivery of vital fire and life safety services to all residents while satisfying fire protection service mitigation impacts.

ATTACHMENTS:

Attachment 1 - Resolution No. FD 2022-014, Call for Special Election Annexation 22-2 Attachment 2 - Annexation No. 22-2 Recorded Map
Attachment 3 - CFD No. 85-1 Boundary Map

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Resolution No. FD 2022-XXX - Page 1 of 11
ATTACHMENT 1
RESOLUTION NO. FD 2022-XXX

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO

CUCAMONGA FIRE PROTECTION DISTRICT, RANCHO CUCAMONGA,

CALIFORNIA, MAKING CERTAIN DETERMINATIONS REGARDING THE PROPOSED ANNEXATION OF TERRITORY (ANNEXATION NO. 22 -2) TO AN EXISTING COMMUNITY FACILITIES DISTRICT (CFD 8 5-1) AND

CALLING A SPECIAL ELECTION AND AUTHORIZING THE SUBMITTAL OF

THE LEVY OF SPECIAL TAXES TO THE QUALIFIED ELECTORS OF SUCH

TERRITORY

WHEREAS, the B oard Of Directors (the “Board of Directors”) of the R ancho Cucamonga Fire Protection District (the “Fire Protection District”), Rancho Cucamonga, California, has previously declared its intention and held and conducted proceedings relating to the annexation of territory to an existing community facilities district pursuant to the terms and provisions of the “Mello-Roos Community Facilities Act of 1982”, being Chapter 2.5, Part 1, Division 2, Title 5 of the Government Code of the State of California, and specifically Article 3.5 thereof (the “Act”). The existing Community Facilities District has been designated as Community Facilities District No. 85-1 (the “District”); and,

WHEREAS, notice of a public hearing relating to the annexation of territory to the District, the extent of the territory to be annexed (the “Annexation Area”), the furnishing of certain public services and all other related matters has been given; and,

WHEREAS, it has now been determined that written protests have not been received by 50% or more of the registered voters residing either within the Annexation Ar ea or the District and/or property owners representing more than one-half (1/2) or more of the area of land within the Annexed Area or within District; and,

WHEREAS, inasmuch as there have been less than twelve (12) persons registered to vote within the Annexation Area for each of the 90 preceding days, this legislative body desires to submit the levy of the required special tax to the landowners of the Annexation Area, said landowners being the qualified electors as authorized by law.

NOW, THEREFORE, the Board of Directors of the Rancho Cucamonga Fire Protection District does hereby resolve as follows:

1. Recitals. The above recitals are all true and correct.

2. Determinations. It is determined by this Board of Directors that:

A. all proceedings prior hereto were valid and taken in conformity with the requirements of law, and specifically the provisions of the Act;

B. less than twelve (12) registered voters have resided within the Annexation Area for each of the ninety (90) days preceding the close of the public hearing and, consequently, the qualified electors shall be the landowners of the Annexation Area and each landowner who is the owner of record as of the close of the public hearing, or the authorized representative thereof, shall have one vote for each acre or portion of an acre of land that she or he owns within the Annexation Area;

C. the time limit specified by the Act for conducting an election to submit the levy of the special taxes to the qualified electors of the Annexation Area and the requirements for impartial

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Resolution No. FD 2022-XXX - Page 2 of 11
ATTACHMENT 1
analysis and ballot arguments have been waived with the unanimous consent of the qualified electors of the Annexation Area;

D. the Secretary, acting as the election official, has consented to conducting any required election on a date which is less than 125 days following the adoption of this resolution; and

E. the public services proposed to be financed from the proceeds of special taxes to be levied within the Annexation Area are necessary to meet increased demands placed upon the Fire Protection District as a result of development and/or rehabilitation occurring in the Annexation Area.

3. Boundaries of Annexed Area. The boundaries and parcels of land in the Annexation Area and on which special taxes are proposed to be levied in order to pay the costs and expenses for the public services described in Section 4 below are generally described as follows:

All that propert y and territory proposed to be annexed to the District, as said property is shown on a map as previously approved by this legislative body, said map entitled “Annexation Map No. 22-2 of Community Facilities District No. 8 5-1 of the Rancho Cucamonga Fire Protection District, County Of San Bernardino, State Of California” reference is made to the attached and incorporated Exhibit “A” (the “Annexation Map”), and a copy of which is on file in the Office of the Secretary and shall remain open for public inspecti on.

4. Services and Facilities Authorized to be Financed by the District. The services that are authorized to be financed by the District from the proceeds of special taxes levied within the existing District are generally described in Exhibit “ B” (the “Services and Facilities”) attached hereto and incorporated herein by this reference and all costs associated the District, administration of the District, the determination of the amount of special taxes to be levied, the costs of collection any special taxes, and costs otherwise incurred in order to carry out the authorized purposes of the District.

If and to the extent feasible the S ervices and Facilities shall be provided in common within the existing District and the Territory.

5. Special Tax. Except where funds are otherwise available and subject to the approval of the qualified electors of the Annexation Area, a special tax sufficient to pay for the services described in Section 4 that are required for the Annexation Area, secured by recordation of a continuing lien against all non -exempt real property in the Annexation Area will be levied annually within the boundaries of the Annexation Area. For particulars as to the rate and method of apportionment of the proposed special tax, reference is made to the attached and incorporated Exhibit “ C” which sets forth in sufficient detail the method of apportionment to allow each landowner or resident within the Annexation Area to clearly estimate the maximum amount of the special tax that such person will have to pay.

The special taxes shall be collected in the same manner as ad valorem property taxes and shall be subject to the same penalties, procedure, sale and lien priority in any case of delinquency, as applicable for ad valorem taxes; however, as applicable, this Board of Directors may, by resolution, establish and adopt an alternate or supplemental procedure as necessary. Any special taxes that may not be collected on the County tax roll shall be collected through a direct billing procedure by the Treasurer of the Rancho Cucamonga Fire Protection District, acting for and on behalf of the District.

6. Special Tax Accountability Measures. Pursuant to and in compliance with the provisions of Government Code Section 50075.1, this Board of Directors hereby establishes the following accountability measures pertaining to the levy by the District of the special taxes within the Annexation Area as described in Section 5 above:

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Resolution No. FD 2022-XXX - Page 3 of 11
ATTACHMENT 1
A. Each such special tax shall be levied for the specific purposes section in Section 5. above.

B. The proceeds of the levy of each such special tax shall be applied only to the specific applicable purposes set forth in Section 5. above.

C. The District shall establish a separate account into which the proceeds of the special taxes levied within the District shall be deposited.

D. The Fire Chief or his or her designee, acting for and on behalf of the District, shall annually file a report with the Board of Directors as required pursuant to Government Code Section 50075.3.

7. Election. The proposition related to the levy of the special tax shall be submitted to the qualified electors of the Annexation Area, said electors being the landowners, with each landowner having one (1) vote for each acre or portion thereof of land which he or she owns within said annexed territory. The special election shall be held on the 15
th of June 2022, and said election shall be a special election to be conducted by the Secretary (hereinafter “Election Official”). If the proposition for the levy of the special tax receives the approval of more than two-thirds (2/3) of the votes cast on the proposition, the special tax may be levied as provided for in this Resolution and the Board of Directors may determine that the Annexation Area is added to and part of the District.

8. Ballot. The ballot proposal to be submitted to the qualified voters at the election shall generally be as follows:

PROPOSITION A

RANCHO CUCAMONGA FIRE PROTECTION DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 85-1,

AUTHORIZATION FOR SPECIAL TAX LEVY

Shall Community Facilities District No. 85-1 of the Rancho Cucamonga Fire Protection District be authorized to levy special taxes within the territory shown on “Annexation Map No. 22-2 of Community Facilities District No. 8 5-1 of the Rancho Cucamonga Fire Protection District, County Of San Bernardino, State Of California” (the “Annexation Map”) pursuant to the rate and method of apportionment of special taxes (the “Special Tax Formula”) set forth in Resolution No. FD 2021-023 to finance fire suppression and protection services and administrative expenses?

9. Vote. The appropriate mark placed in the voting square after the word “YES” shall be counted in favor of the adoption of the proposition, and the appropriate mark placed in the voting square after the word “NO” in the manner as authorized, shall be counted against the adoption of said proposition.

10. Election Procedure. The Election Official is hereby authorized to take any and all steps necessary for the holding of said election. Said Election Official shall perform and render all services and proceedings incidental to and connected with the conduct of said election, and said services shall include, but not be limited to the following:

A. Prepare and furnish to the election officers necessary election supplies for the conduct of the election.

B. Cause to be printed the requisite number of official ballots, tally sheets and other necessary forms.

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Resolution No. FD 2022-XXX - Page 4 of 11
ATTACHMENT 1

C. Furnish and address official ballots for the qualified elector s of the Annexation Area.

D. Cause the official ballots to be mailed and/or delivered, as required by law.

E. Receive the returns of the election.

F. Sort and assemble the election material and supplies in preparation for the canvassing of the returns.

G. Canvass the returns of the election.

H. Furnish a tabulation of the number of votes given in the election.

I. Make all arrangements and take the necessary steps to pay all costs of the election incurred as a result of services performed for the District and pay costs and expenses of all election officials.

J. Conduct and handle all other matters relating to the proceedings and conduct of the election in the manner and form as required by law.

PASSED, APPROVED and ADOPTED this day of , 2022.

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Resolution No. FD 2022-XXX - Page 5 of 11
ATTACHMENT 1
EXHIBIT “A”

COMMUNITY FACILITIES DISTRICT NO. 85-1

ANNEXATION MAP

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Resolution No. FD 2022-XXX - Page 6 of 11
ATTACHMENT 1

COMMUNITY FACILITIES DISTRICT NO. 85-1

BOUNDARY MAP

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Resolution No. FD 2022-XXX - Page 7 of 11
ATTACHMENT 1
EXHIBIT “B”

COMMUNITY FACILITIES DISTRICT NO. 85-1

DESCRIPTION OF THE SERVICES AND FACILITIES

The Services.

It is the intention of the Board of Directors to finance certain types of fire services (the “Services”) that are in addition to those currently provided in or required for the Territory and are necessary to meet the increased demand for such fire services resulting from new development within the Territory and will not be replacing services already available to the Territory. A general description of the Services to be financed is as follows:

The performance of functions, opera tions, maintenance, and repair activities in order to provide fire protection and suppression services to the Territory.

The Facilities.

It is the intention of this Board of Directors to finance the purchase, construction, expansion, improvement, or rehabilitation of certain types of fire facilities (the “Facilities”) that are in addition to those currently provided to serve the Territory and are necessary to meet the increased demand for such fire services resulting from new development within the Territory and will not be replacing facilities already available to serve the Territory. A general description of the types of the Facilities to be financed is as follows:

Fire protection and suppression facilities and equipment, rescue equipment, with a useful life of five (5) years or more, including collection and accumulation of funds to pay for anticipated facilities cost shortfalls and reserves for repair and replacement to the extent that such facilities are necessary to meet the increased demand for such facilities resulting from new development within the Territory.

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Resolution No. FD 2022-XXX - Page 8 of 11
ATTACHMENT 1
EXHIBIT “C”

FOOTHILL FIRE PROTECTION DISTRICT
COMMUNITY FACILITIES DISTRICT NO. 85 -1

RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAXES

The rate and method of apportionment, limitations on and adjustments to the Special Tax authorized to be levied within Community Facilities District No. 85-1 (the “CFD No. 85-1 Rate and Method”) as originally established for and as applied to the taxable properties within such community facilities district is as follows:

SPECIAL TAX

COMMUNITY FACILITIES DISTRICT

To pay for fire suppression services and to finance fire suppression facilities, the maximum Special Tax in the Community Facilities District shall be:

Structures Maximum Annual Special Tax

Residential 1 DU $75.00

Multi-Family 2 DU: 1.75 ($75.00)

3 DU: 2.25 ($75.00)

4 DU: 2.65 ($75.00)

5-14 DU: 2.65 ($75.00) + [0.35 (TU-4) ($75.00)]

15-30 DU: 6.15 ($75.00) + [0.30 (TU-14) ($75.00)]

31-80 DU: 10.65 ($75.00) + [0.25 (TU-30) ($75.00)]

81 – up DU: 23.15 ($75.00) + [0.20 (TU-80) ($75.00)]

Commercial ($75.00) per acre + $0.04 per SF

Industrial ($75.00) per acre + $0.05 per SF

Note: DU = Dwelling Units
TU = Total Units
SF = Square Foot

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Resolution No. FD 2022-XXX - Page 9 of 11
ATTACHMENT 1

ANNUAL ADJUSTMENT SPECIAL TAX

The maximum Special Tax shall be annually adjusted for (a) changes in cost of living or (b) changes in cost of living and changes in population as defined in Section 7901 of the Government Code, as amended, whichever is lesser.

REDUCTION IN SPECIAL TAX

Commercial and industrial structures shall be granted a reduction in the Special Tax for the installation of complete sprinkler systems. In addition, multi-floor commercial and industrial structures shall be granted a reduction in Special Tax for each separate floor above or below the main ground floor of the structure.

LIMITATIONS ON TAX LEVY

The Special Tax shall only be levied on developed property; provided that the Special Tax shall not be levied until a “Certification of Occupancy” or “Utility Re lease” has been issued by the appropriate governmental agencies.

Developed property is defined to be property:

• Which is not owned by a public or governmental agency

• Which is not vacant

• Where a certificate of occupancy or utility release from the City of Rancho Cucamonga or the County of San Bernardino has been issued

• Which has an existing building or structure onsite

• Which does not have as its sole use power transmission towers, railroad tracks, and flood control facilities – these properties are exempt. Areas granted as easements to power transmission towers, railroad tracks, and flood control facilities shall be subtracted from the total acreage of the underlying lot and shall be exempt.

The annual levy of the Special Tax shall be based upon an annual determination by the Board of Directors of the Rancho Cucamonga Fire Protection District of the amount of other rev enues available to meet budget requirements. As used in this formula, "available revenue" shall include ad valorem taxes, State of California augmentation, tax increment revenues received from the Redevelopment Agency of the City of Rancho Cucamonga and any other source of revenue except the Special Tax. The Board of Directors shall take all responsible steps to retain maximum Redevelopment Agency funding to which, by agreement, they may lawfully receive. To the extent available revenues are insufficient to meet budget requirements, the Board of Directors may levy the Special Tax.

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Resolution No. FD 2022-XXX - Page 10 of 11
ATTACHMENT 1
* * *
Application of the CFD No. 85-1 Rate and Method to Annexation No. 22 -2

To pay for fire suppression services and to finance fire suppression facilities, the Maximum Special Tax in Community Facilities District No. 85-1, Annexation No. 22-2 for Fiscal Year 2021-22 shall be:

Structures Maximum Annual Special Tax

Residential 1 DU $185.21

Multi-Family 2 DU: 1.75 ($185.21)

3 DU: 2.25 ($185.21)

4 DU: 2.65 ($185.21)

5-14 DU: 2.65 ($185.21) + [0.35 (TU-4) ($185.21)]

15-30 DU: 6.15 ($185.21) + [0.30 (TU-14) ($185.21)]

31-80 DU: 10.65 ($185.21) + [0.25 (TU-30) ($185.21)]

81 – up DU: 23.15 ($185.21) + [0.20 (TU-80) ($185.21)]

Commercial ($185.21) per acre + $0.096 per SF

Industrial ($185.21) per acre + $0.119 per SF

Note: DU = Dwelling Units
TU = Total Units
SF = Square Foot

ANNUAL ADJUSTMENT

The maximum Special Tax shall be annually adjusted commencing on July 1, 2021, and each July 1st thereafter for (a) changes in the cost of living or (b) changes in cost of living and changes in population as defined in Section 7901 of the Government Code, as amended, whichever is lesser.

REDUCTION IN SPECIAL TAX

Commercial and industrial structures shall be granted a .01 cent reduction in the Special Tax for the installation of complete sprinkler systems. In addition, multi-floor commercial and industrial structures shall also be granted a .01 cent reduction (not cumulative) in Special Tax for each separate floor above or below the main ground floor of the structure.

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Resolution No. FD 2022-XXX - Page 11 of 11
ATTACHMENT 1

LIMITATION ON SPECIAL TAX LEVY

The Special Tax shall only be levied on developed property; provided that the Special Tax shall not be levied until a “Certification of Occupancy” or “Utility Release” has been issued by the appropriate governmental agencies.

Developed property is defined to be property:

• Which is not owned by a public or governmental agency

• Which is not vacant

• Where a certificate of occupancy or utility release from the City of Rancho Cucamonga or the County of San Bernardino has been issued

• Which has an existing building or structure onsite

The annual levy of the Special Tax shall be based upon an annual determination by the Board of Directors of the Rancho Cucamonga Fire Protection District of the amount of other revenues available to meet budget requirements. As used in this formula, "available revenue" shall include ad valor em taxes, State of California augmentation, tax increment revenues received from the Redevelopment Agency of the City of Rancho Cucamonga and any other source of revenue except the Special Tax. The Board of Directors shall take all responsible steps to retain maximum Redevelopment Agency funding to which, by agreement, they may lawfully receive. To the extent available revenues are insufficient to meet budget requirements, the Board of Directors may levy the Special Tax.

For further particulars regarding the rate and method of apportionment of the Special Tax, reference is made to the Final Report Mello- Roos Community Facilities District No. 85- 1 for Fire Suppression Facilities/Services – Foothill Fire Protection District, a copy of which is on file in the office of the Fire Chief of the Rancho Cucamonga Fire Protection District.

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ATTACHMENT 2

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ATTACHMENT 3

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DATE:June 15, 2022
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services / City Engineer Fred Lyn, Deputy Director of Engineering Services / Utilities SUBJECT: Public Hearing to Consider a Resolution Amending Electric Rates, Pursuant to the Requirements and Authority of Chapter 3.46 of Title 3 of the Rancho Cucamonga Municipal Code. (RESOLUTION NO. 2022-076) (CITY)
RECOMMENDATION:

Staff recommends that the City Council adopt the attached resolution amending the existing electric rates, pursuant to the requirements and authority of Chapter 3.46 of Title 3 of the Rancho Cucamonga Municipal Code.

BACKGROUND:

The City Council established a Municipal Utility on August 31, 2001 and adopted Chapter 3.46 of Title 3 of the Rancho Cucamonga Municipal Code establishing Electricity Service Rules and Regulations and authorizing that the rates, fees, and charges, may be amended from time to time by resolution.

In the electric utility industry, it is best practice to review the cost of providing electric service at least every three to five years. Rancho Cucamonga Municipal Utility's (RCMU's) last Cost of Service Study and Rate Design was conducted in December 2018. RCMU's electric rate structure is complex and includes 15 different classification tariffs ranging from residential, commercial, industrial and lighting. In February 2022, RCMU hired Utility Financial Solutions (UFS) as its Rate Consultant to begin the Cost of Service and Rate Design Study to ensure that each rate classification provides their share of revenue to support the appropriate costs with providing the maintenance and operations of RCMU’s electric service.

ANALYSIS:

The Cost of Service Study and Rate Design has been completed by UFS. The specific purposes of this study are to:
Align electric rates with cost of service;
Determine RCMU’s revenue requirement;
Identify cross-subsidies that may exist between rate classes; Review cost of existing power contracts and future load forecast; Review cost of operations, maintenance, and replacement of electric infrastructure; Recommend rate adjustments needed to meet targeted revenue requirements and capital reserve requirements;

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4 1
Identify the appropriate fixed monthly customer charge for each class; and Provide recommendations on rate design.

Based on the results of the study, UFS is recommending a 3% increase in overall electric revenues in order for RCMU to meet its targeted revenue requirements.

Historically, RCMU has been successful in keeping electric rates low and competitive throughout the last decade. In fact, the last time RCMU had a rate increase was in February 2013.

Additionally, in January 2019, RCMU actually lowered its electric rates 3.25% the last time it conducted its Cost of Service study.

A key reason why RCMU must increase its rates is because of the increased costs from its wholesale power contracts. From Calendar Year 2021 to 2022, RCMU’s wholesale power costs increased 45%. The Utility’s fund balance was able to absorb this increase for the first six months of 2022 without having to pass this on to the ratepayers immediately. However, without this rate increase, RCMU would not be able to generate the funds required to operate and maintain the electric utility, invest in capital improvements and increasing its renewable energy procurement.

The following tables outlines the rate adjustments being proposed beginning on July 1, 2022.

Further, a second table has been provided that identifies the anticipated differences in average monthly bills for each RCMU customer rate class based on the proposed rate structure.

Table 1

Existing Rate Classes

Customer
Charge
($/month)
% Diff
Energy Charge
(kWh)
% Diff
Facility
Demand
(kW)
% Diff
Time Related
Demand (kW)
% Diff
Residential (Single
Family)
+18% +6%
(only Tier 3)

N/A N/A
Residential (Multi
Family)
+19% +6%
(only Tier 3)

N/A N/A
Small Commercial +7% +2% N/A N/A
Medium Commercial N/C +5% N/C N/C
Medium TOU N/C +4% N/C N/C
Large Commercial N/C +5% N/C N/C
Large Industrial +22%

+8% N/C N/C
Electric Vehicle +5-6% +3% N/C N/A
Street Lighting

N/C +12% N/A N/A
Irrigation System +3% N/C N/A N/A
Wireless Technology N/C +1% N/A N/A
Traffic Control N/C +6% N/A N/A
Outdoor Lighting N/C +6% N/A N/A

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Table 2
Rate Class Average Monthly Bill ($) Average Monthly
Difference
RCMU vs
SCE Rate
Current Proposed $ % %
Residential (SF)
(550 kWh)
$82.31 $84.21 $1.90 2.3% -50%
Residential (MF)
(475 kWh)
$67.88 $69.15 $1.27 1.8% -51%
Small Commercial
(2,170 kWh)
$364.02 $380.06 $16.04 4.2% -34%
Medium Commercial
(60kW; 21,075 kWh)
$2,990.55 $3,069.48 $78.93 2.6% -40%
Medium TOU
(315 kW; 38,500 kWh)
$14,283.12 $14,590.33 $307.21 2.1% -39%
Large Commercial
(605 kW; 273,600 kWh)
$32,375.40 $33,223.40 $848.00 3.0% -35%
Large Industrial
(1,390 kW; 503,460 kWh)
$65,541.13 $68,515.20 $2,974.07 4.3% -33%
Miscellaneous Rate Language Update:

The following rate tariff update is also being recommended:
Medium Commercial: Removal of an outdated RTEM Metering option If approved by the City Council, this amendment in RCMU’s electric service rates will become effective July 1, 2022, and customers will see changes on their August 2022 bills. The amended rates reflect the City's reasonable and prudent costs for operating an electric utility enterprise and does not establish unfair, unreasonable or excessive rates that exceed the City's reasonable costs of doing business. In conclusion, it is important to note that as a municipal utility, RCMU rates are based on the cost to provide the service; there is no profit built in nor are their shareholder dividends to pay as is necessary with Investor-Owned Utilities.

The City has provided the required notification to the public by publishing notice of this hearing on June 2, 2022, and June 7, 2022, in the Inland Valley Daily Bulletin, a local newspaper of general circulation, posting notice in at least two separate locations within the City, as well as a separate mailing to each RCMU customer’s address in May 2022. The proposed revised rates have been available for public review in the City Clerk's Office since the advertisements and resolution were first published on May 31, 2022.

FISCAL IMPACT:

If approved by the City Council, this amendment in RCMU electric rates, fees and charges is expected to increase the Utility Fund revenues by 3% or about $361,000.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

This item addresses the City Council’s vision to build on our success as a world class community by ensuring that the appropriate cost and rate structure for its Municipal Utility is followed to meet the community's needs.

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ATTACHMENTS:

Attachment 1 – Updated Tariff and Rates
Attachment 2 – Resolution No. 2022-076

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Table of Contents
Electric Rates and Tariffs

RESIDENTIAL 1
SMALL COMMERCIAL 4
MEDIUM COMMERCIAL 6
MEDIUM COMMERCIAL (TIME-OF-USE) 9
LARGE COMMERCIAL 12
LARGE INDUSTRIAL 15
STREET LIGHTING 18
TRAFFIC CONTROL 21
OUTDOOR AREA LIGHTING 22
IRRIGATION SYSTEMS 24
WIRELESS TECHNOLOGY 25
NET ENERGY METERING 27
ECONOMIC DEVELOPMENT 30
STANDBY DEMAND CHARGE 33
ELECTRIC VEHICLE CHARGING 36
SERVICE ESTABLISHMENT CHARGE 39
ATTACHMENT 1

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
1 Proposed Effective Date: July 1, 2022

RESIDENTIAL

A. Applicability
Applicable to individual accommodations devoted primarily to domestic purposes where service includes lighting, appliances, heating, cooking and power consuming appliances or combination thereof in a residential accommodation.

B. Territory
Within the entire territory served.

C. Rates
Energy Charge $/kWh/Meter
Summer and Winter
Tier 1 – Baseline Quantities 0.11910
Tier 2 – 101% to 130% of Baseline 0.14000
Tier 3 – Over 131% of Baseline 0.240000.25686
Customer Charge - $/Meter/Day
Single-Family Residence 0.230.28
Multi-Family Residence 0.210.26

D. Special Conditions

1. Summer and Winter Seasons are defined as follows:

The Summer Season shall commence at 12:00 a.m. on June 1st and continue until 12:00 a.m. on October 1st of each year. The Winter Season shall co mmence at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal billing purposes.

2. Customer Charge: For purposes of applying the Customer Char ge, the followi ng definitions shall be used:

Single-Family Residence: A building of single occupancy, which does not share common walls, floors, or ceiling with other residential dwelling units.

Multi-Family Residence: Apartments, mobile homes, condominiu ms, townhouses or a building of multiple occupancy which shares common walls and/or floors and ceilings with other residential dwelling units.

3. Voltage. Service will be supplied at one (1) standard voltage.

4. Baseline Quantities: The residential allo cation sh all be 16.1 kWhs per day in Summer Season and 10.6 kWhs per day in the Winter Season.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
2 Proposed Effective Date: July 1, 2022

5. Customer-Owned Electrical Generating Facilities.

Upon written approval by the Utility, momentary parallel operation may be permitted to allow the Customer to test the aux iliary/emergency generat ing facilities.

6. Medical Support Assistance
Eligible customers under this schedule upon application and certification from a medical doctor shall receive a monthly discount to assist customers with doctor- prescribed life support equipment. To qualify, a customer must submit an application and satisfactory proof that a full -time occupant of the customer’s residence requires a life support device. A qualifying life support device may be any one of the following or su ch other equipm ent as the Utility may d eem eligible: aerosol tents, apnea monitors, compressors or concentrators, electrostatic or ultrasonic nebulizers, electric nerve stimulators, hemodialysis machines, kidney dialysis machines, intermittent positive pre ssure breathing machines, iron lungs, pressure pads, pressure pumps, respirators, or suction machines. Customers must reapply annually to demonstrate eligibility for the discount.

The monthly discount applies to energy charges only. All other charges and taxes are calculated at the standard ra tes. Program qualifications and rules are subject to change and are based on funding availability. In the event the Utility becomes aware of any false or fraudulent statements or information submitted in writing or verbally by the Customer, the Utility r eserves the right to back bill the Customer for services rendered under this program.

7. Low Income Assistance
A low-income assistance program is available under this schedule for income qualified customers. To be c onsidered for t his discount, an applica tion must be filled out with supporting documentation of proof of income. Total combined gross annual household income, both taxable and nontaxable, must meet the current income levels of the San Bernardino County (Ve ry Low) Income Limits Documentation Sys tem. Customers must reapply annually to demonstrate eligibility for the discount.

The monthly discount applies to energy charges only. All other charges and taxes are calculated at the standard rates. Program quali fications and r ules are subject to change and are based on funding availability. In the event the Utility becomes aware of any false or fraudulent statements or information submitted in writing or verbally by the Customer, the Utility reserves the right t o back bill the Customer for services rendered under this program.

8. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh]).

9. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

10. Change of Law Adjustment Factor (CLAF)

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
3 Proposed Effective Date: July 1, 2022
The rates above are subject to an adjustment as provided in Rule 12, Section F.

11. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency programs, rene wable energy resources, rese arch and demonstration projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
4 Proposed Effective Date: July 1, 2022

SMALL COMMERCIAL

A. Applicability
Applicable to single and three -phase general service including lighting and power Customers, except for the Customer whose monthly Maximum Demand, in the opinion of the Utility, is expected to exceed 20 kW or has exceeded 20 kW in any three (3) months during the preceding twelve (12) months is ineligible for service under this Schedule.

Effective with the date of ineligibilit y of any Customer served under this Schedule, the Customer's account shall be transferred to another applicable Rate Schedule.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge $/kWh/Meter/Month
Summer 0.183220.18768
Winter 0.126680.12976
Customer Charge- $/Meter/Day 0.926
Single Phase 1.00
Three Phase 1.15

D. Special Conditions

1. Summer and Winter Seasons are defined as follows:

The Summer Season shall commence at 12:00 a.m. on June 1 st and continue until 12:00 a.m. on October 1 st of each year. The Winter Season shall comme nce at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal billing purposes.

2. Voltage. Service will be supplied at one (1) standard voltage

3. Temporary Discontinuance of Service
Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any Customer, prio r to resuming service within twelve (12) mo nths after such service was discontinued, will be required to pay all charges which would have been billed if service had not been discontinued.

4. Customer-Owned Electrical Generating Facilities
Upon written appr oval by the Utility, momentary parallel ope ration may be permitted to allow the Custo mer to test the auxiliary/emergency generating facilities.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
5 Proposed Effective Date: July 1, 2022

5. Installation of Demand Meters
Where a Customer's usage exceeds an average of 4,500 kWh per month in the preceding 12-month period, the Utility may, at i ts sole option, install a demand Meter on the account at the Utility’s expense.

6. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], etc.).

7. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

8. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

9. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qu alifying energy efficiency programs, rene wable energy resources, research and demonstration projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
6 Proposed Effective Date: July 1, 2022

MEDIUM COMMERCIAL

A. Applicability
Applicable to singl e and th ree-phase service including lighting an d power Customers whose monthly Maximum D emand registers, or in the opinion of the Utility is expected to register, above 20 kW and below 200 kW. The Customer whose monthly Maximum Demand, in the opinion of t he Utility, is expected to reach 200 kW or has reached 200 kW for any three (3) months d uring the preceding twelve (12) months is ineligible for service under this Schedule. Effective with the date of ineligibility, such Customer’s account shall be transf erred to another applicable Rate Schedule . Further, any Customer served under this Sche dule whose monthly Maximum Demand has registered 20 kW or less for twelve (12) consecutive months is eligible for service under another applicable Rate Schedule.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge - $/kWh/Meter/Month
Summer Season 0.079440.08359
Winter Season 0.063910.06725
Customer Charge - $/Meter/Month 145.00
Demand Charge - $/kW of Billing Demand/Meter/Month
Facilities Related 14.00
Time Related (Summer) 16.50

D. Special Conditions

1. Summer and Winter Seasons are defined as follows:

The Summer Season shall commence at 12:00 a.m. on June 1 st and continue until 12:00 a.m. on October 1 st of each year. The Winter S eason shall commence at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal billing purposes.

2. RTEM Metering. Customers may elect a Real Time Energy Me tering (RTEM) meter and shall pay the monthly c harges, as indicated in the Rates section of this Rate Schedule.

3. Voltage
Service will be supplied at one (1) standard voltage.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
7 Proposed Effective Date: July 1, 2022

However, when the Utility determines the Customer's Meter will record little or no energy use for extended periods of time or when the Customer's Meter has not recorded a Maximum Demand in the preceding eleven (11) months, the Facil ities Related Component of the Demand Charge may be established at fifty percent (50%) of the Customer's Connected Load.

5. Maximum Demand
The Maximum Dem and in a ny month shall be the measured maximum average kilowatt input, indicated or recorded by instru ments, during any 15 -minute metered interval in the month, but, where applicable, shall not be less than the diversified resistance welder load computed i n accord ance with the section designated Welder Service in Rule 2. Where the demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used.

6. Temporary Discontinuance of Service
Where the use of energy is seasonal or intermit tent, no adjustments will be made for a tempora ry discontinuance of service. Any Customer resuming se rvice within twelve (12) months after such service was discontinued will be required to pay all charges which would have been billed if service had not be en discontinued.

7. Customer-Owned Electrical Generating Facilities
Upon written approval by the Utili ty, momentary parallel operation may be permitted to allow the Customer to test the auxiliary/emergency generating facilities.

8. Billing Calculation
A Customer’s bill is calculated according to the ra tes and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], etc.).

9. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

10. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

11. State Mandated Public Purpose Programs Charge State law requires all California ele ctric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstration

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
8 Proposed Effective Date: July 1, 2022
projects, and services for low-income electricity customers.

Page 776 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
9 Proposed Effective Date: July 1, 2022

MEDIUM COMMERCIAL (TIME-OF-USE)

A. Applicability
Applicable to single and three -phase service including lighting and power Customers whose monthly Maximum Demand registers, or in the opinion of the Utility is e xpected to register 200 kW through 500 kW. The customer whose monthly Maximum Demand, in the opinion of the Utility, is expected to exceed 500 kW or has exceeded 500 kW for any three (3) months during the preceding twelve (12) months is inelig ible for ser vice under this Schedule and effective with the date of ineligibility, such Customer’s accoun t shall be transferred to Large Commercial. Further, any Customer served under this Schedule whose monthly Maximum Demand has registered below 200 kW for twelve (12) consecutive months is ineligible fo r service under this Rate Schedule and shall be transferred to another applicable Rate Schedule.

B. Territory
Within the entire territory served.

C. Rates
Energy Charge - $/kWh/Meter/Month
Summer Season – On-Peak 0.113640.11668
Mid-Peak 0.080640.08368
Off-Peak 0.053140.05618
Winter Season – Mid-Peak 0.057140.06018
Off-Peak 0.040640.04368
Customer Charge - $/Meter/Month 400.00
Demand Charge - $/kW of Billing Demand/Meter/Month
Facilities Related 14.25
Time Related Summer – On-Peak 13.50 Summer – Mid-Peak 3.50
Power Factor Adjustment - $/KVA 0.27

D. Special Conditions

1. Time periods are defined as follows:

On-Peak: Noon to 6:00 p.m. summer weekdays except holidays.

Mid-Peak: 8:00 a.m. to noon and 6: 00 p.m. to 11:00 p.m. summer weekdays except holidays.
8:00 a.m. to 9:00 p.m. winter weekdays except holidays.

Off-Peak: All other hours.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
10 Proposed Effective Date: July 1, 2022
Holidays are New Year's Day (January 1), Washington's Birthday (t hird Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran’s Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas (December 25).

When any holiday listed above falls on Sunday, the following Monday will b e recognized as an off-peak period. No change will be made for holidays falling on Saturday.

The Summer Season shall commence at 12:00 a.m. on June 1 st and continue until 12:00 a.m. on October 1 st of each year. The Winter Season shall commence at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the followin g year. A pro rata computation will be made for seasonal billing purposes.

2. Voltage
Service will be supplied at one (1) standard voltage.

3. Billing Demand
The Billing Demand shall be the kilowatts of Maximum Demand, determined to the nearest kW. The D emand Charge shall include the following billing components. The Time Related Component shall be for the kilowatts of Maximum D emand recorded during (or established f or) the monthly billing period. The Facilities Related Component shall be for the kilowa tts of Maximum Demand recorded during (or established for) the monthly billing period.

However, when the Utility de termines the Customer's Meter will record little or no energy use for extended periods of time or when the Customer's Meter has not recorded a Maximum Demand in the preceding eleven (11) months, the Facilities Related Component of the Demand Charge may be established at fifty percent (50%) of the Customer's Connected Load.

4. Maximum Demand
Maximum Demand shall be established for the On -Peak, Mid-Peak, and Off-Peak periods. The Maximum Demand in any month shall be the measured maximum average kilowatt inpu t, indicated or recorded by instruments, during any 15- minute metered interval in the month, but, where applicable, shall not be less than the diversified resistance welder load computed in accordance with the section designated Welder Service in Rule 2. Where the demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used.

5. Power Factor Adjustment
The Customer’s bill will be increased each month for power factor by the amount shown in the Rates section above for service me tered and de livered at the applicable voltage level , based on the per kilovar of maximum reactive demand imposed by the Utility.

The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or recorded by metering duri ng any 15-minute interval

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ELECTRIC RATES & TARIFFS
11 Proposed Effective Date: July 1, 2022
in the month. The kilova rs shall be determined to the nearest unit. A device will be installed on each kilovar meter to prevent reverse operation of the meter.

6. Temporary Discontinuance of Service
Where the use of energy is s easonal or intermittent, no adjustments will be mad e for a temporary discontinuance of service. Any Customer resuming service within twelve (12) months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued.

7. Customer-Owned Electrical Generating Facilities
Upon written approval by the Utility, momentary paral lel operation may be permitted to allow the Customer to test the auxiliary/emergency generating facilities.

8. Billing Calculation
A Customer’s bill is calculated acco rding to the rates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], kilovar [kVa], etc.).

9. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

10. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

11. State Mandated Public Purpose Programs Charge
State law require s all California electric utilities to establish a public purpose program charge of 2.85 % of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstrati on projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
12 Proposed Effective Date: July 1, 2022

LARGE COMMERCIAL

A. Applicability
Applicable to general services including lighting and power Customers. This Schedule is applicable to and mandatory for all Customers whose monthly Maximum Demand, in the opinion of the Utility, is expected to exceed 500 kW or has exceeded 500 kW in any three (3) months during the preceding twelve (12) months. Any existing Customer on this Schedule whose monthly Maximum Demand has registered 500 kW or less for twelve (12) consecutive months is i neligible for service under this Schedule and shall be transferred to another applicable Rate Schedule. Service under this Schedule is subject to Meter availability.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge - $/kWh/Meter/Month
Summer Season – On-Peak 0.120950.12736
Mid-Peak 0.076260.08030
Off-Peak 0.048380.05095
Winter Season – Mid-Peak 0.067240.07081
Off-Peak 0.045100.04749
Customer Charge - $/Meter/Month 515.00
Demand Charge - $/kW of Billing Demand/Meter/Month
Facilities Related 15.00
Time Related Summer – On-Peak 17.00 Summer – Mid-Peak 5.00
Power Factor Adjustment - $/KVA 0.27

D. Special Conditions

1. Time periods are defined as follows:

On-Peak: Noon to 6:00 p.m. summer weekdays except holidays.

Mid-Peak: 8:00 a.m. to noon and 6:00 p.m. to 11:00 p.m. summer weekdays except holidays.
8:00 a.m. to 9:00 p.m. winter weekdays except holidays.

Off-Peak: All other hours.

Holidays are New Year's Day (January 1), Washing ton's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first M onday in September), Veteran’s Day (November 11),

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
13 Proposed Effective Date: July 1, 2022
Thanksgiving Day (fourth Thu rsday in Novembe r), and Christmas (December 25).

When a ny holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change will be made for holidays falling on Saturday.

The Summer Season shall commence at 12: 00 a.m. on June 1st and continue until 12:00 a.m. on Oc tober 1 st of each year. The Winter Season shall commence at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal bi lling purposes.

2. Voltage
Service will be supplied at one standard voltage.

3. Maximum Demand
Maximum Demands shall be established for the On -Peak, Mid -Peak, and Off- Peak periods. The Maximum Demand for each period shall be the measured maximum average kilowatt input indicated or recorded by instruments, during any 15-minute metered interval, but, where applicable, not less than the diversified resistance welder load computed in accordance with the section designated Welder Service in Rule 2. Where the d emand is intermittent or subject to vio lent fluctuations, a 5-minute interval may be used.

4. Billing Demand
The Billing Demand shall be the kilowatts of Maximum Demand, determined to the nearest kW. The Demand Charge shall include the fol lowing billing components. The Time Related Component shall be for the kilowatts of Maximum Demand recorded during (or established for) the monthly billing period for each of th e On-Peak, Mid-Peak, and Off -Peak Time Periods. The Facilities Related Compon ent shall be for the kilowatts of Maximum Demand record ed during (or established for) the monthly billing period. However, when the Utility determines the Customer's Meter will record little or no energy use for extended periods of time or when the Custom er's Meter has n ot recorded a Maximum Demand in the preceding eleven (11) months, the Facilities Related Component of the Demand Charge may be established at fifty percent (50%) of the Customer's Connected Load. Separate Demand Charge(s) for the On -Peak, Mid-Peak, and Off-Peak Time Periods shall be establishe d for each monthly billing period. The Demand Charge for each time period shall be based on the Maximum Demand for that time period occurring during the respective monthly billing period.

5. Power Factor Adjustment
The Customer’s bill will be increased ea ch month for power factor by the amount shown in the Rates section above for service metered and delivered at the applicable voltage level, based on the per kilovar of maximum reactive demand imposed by the Utility.

The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or recorded by metering during any 15-minute metered

Page 781 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
14 Proposed Effective Date: July 1, 2022
interval in the month. The kilovars shall be determined to the nearest unit. A device will be installed on each kilovar Meter to prevent rever se operation of the Meter.

6. Temporary Discontinuance of Service
Where the use of energy is seasonal or intermittent, no a djustments will be made for a temporary discontinuance of service. Any Custom er, prior to res uming service within twelve (12) months after such service was discontinued, will be required to pay all charges which would have been billed if service had not b een discontinued.

7. Customer-Owned Electrical Generating Facilities
Upon writ ten approval by the Utility, momentary parallel operati on may be permitted to allow the Customer to test the auxiliary/emergency generating facilities.

8. Contracts
An initial th ree-year facilities contract may be required where Applicant requires new or added serving capacity exceeding 2,000 kVA.

9. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], kilovar [kVa], etc.).

10. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

11. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

12. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research a nd demonstration projects, and services for low-income electricity customers.

Page 782 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
15 Proposed Effective Date: July 1, 2022

LARGE INDUSTRIAL

A. Applicability
Applicable to general services including lighting and power Customers delivered at the utility’s primary distribution voltage level of 12 kV. This Schedule is applicable to and mandatory for all Customers whose monthly Maximum Demand, in the opinion of the Utility, is expected to exceed 500 kW or has exceeded 500 kW in any three (3) mon ths during the preceding twelve (12) months. Any existing Customer on this Schedule whose monthly Maximum Demand has registered 500 kW or less for twelve (12) consecutive months is ineligible for service under this Schedule and shall be transferred to ano ther applicable Rate Schedule. Service under this Schedule is subject to Meter availability.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge - $/kWh/Meter/Month
Summer Season – On-Peak 0.094580.10370
Mid-Peak 0.073860.08099
Off-Peak 0.049410.05418
Winter Season – Mid-Peak 0.068780.07542
Off-Peak 0.045480.04987
Customer Charge - $/Meter/Month 400.00515.00
Demand Charge - $/kW of Billing Demand/Meter/Month
Facilities Related 13.50
Time Related Summer – On-Peak 20.00 Summer – Mid-Peak 5.00
Power Factor Adjustment - $/KVA 0.27

D. Special Conditions

1. Time periods are defined as follows:

On-Peak: Noon to 6:00 p.m. summer weekdays except holidays.

Mid-Peak: 8:00 a.m. to noon and 6 :00 p.m. to 11:00 p. m. summer weekdays except holidays.
8:00 a.m. to 9:00 p.m. winter weekdays except holidays.

Off-Peak: All other hours.

Holidays are New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independen ce Day (July 4), Labor Day (first Monda y in September), Veteran’s Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas (December 25).

Page 783 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
16 Proposed Effective Date: July 1, 2022
When any holiday listed above falls on S unday, the following Monday will b e recognized as an off-peak period. No change will be made for holidays falling on Saturday.

The Summer Season shall commence at 12:00 a.m. on June 1 st and continue until 12:00 a.m. on October 1 st of each year. The Winte r Season shall commence at 12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal billing purposes.

2. Voltage
Service will be supplied at one standard voltage.

3. Maximum Demand
Maximum Dema nds shall be establi shed for the On -Peak, Mid -Peak, and Off - Peak periods. The Maximum Demand for each period shall be the measured maximum average kilowatt input indicated or recorded by instruments, during any 15-minute metered interval, but, where appli cable, not less than the diversified resistance welder load computed in accordance with the section designated Welder Service in Rule 2. Where the demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used.

4. Billing Demand
The Billing Demand shall be the kilowatts of Maximum Dema nd, determined to the nearest kW. The Demand Charge shall include the following billing components. The Time Related Component shall be for the kilowatts of Maximum Demand recorded during (or established for) the monthly billing period for each of the On -Peak, Mid-Peak, and Off -Peak Time Periods. The Facilities Related Component shall be for the kilowatts of Maximum Demand recorded during (or established for) the monthly billing period. However, when the Utility determines the Customer's Meter will reco rd little or no energy use for extended periods of time or when the Customer's Meter has not recorded a Maximum Demand in the preceding eleven (11) months, the Facilities Related Component of the Demand Charge may be established at fifty percent (50%) of t he Customer's Connected Load. Separate Demand Charge(s) for the On -Peak, Mid -Peak, and Off-Peak Time Periods shall be established for each monthly billing period. The Demand Charge for each time period shall be based on the Maximum Demand for that time period occurring during the respective monthly billing period.

5. Power Factor Adjustment
The Customer’s bill will be increased each month for power factor by the a mount shown in the Rates section a bove for service met ered and delivered at the applicable voltage level, based on the per kilovar of maximum reactive demand imposed by the Utility.

The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or record ed by metering durin g any 15-minute metered interval in the month. The kilovars shall be determined to the nearest unit. A

Page 784 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
17 Proposed Effective Date: July 1, 2022
device will be installed on each kilovar Meter to prevent reverse operation of the Meter.

6. Temporary Discontinuance of Service
Where the use of energ y is seasonal or intermittent, no adjus tments will be made for a temporary discontinuance of service. Any Customer, prior to resuming service within twelve (12) months after such service was discontinu ed, will be required to pay all ch arges which would ha ve been billed if service had not been discontinued.

7. Customer-Owned Electrical Generating Facilities
Upon written approval by the Utility, momentary parallel operation may be permitted to allow the C ustomer to test the auxiliary/emer gency generating facilities.

8. Customer Responsibilities
The customer will be responsible for all costs associated with the primary point - of-delivery installation, including the metering and primary voltage physical disconnect necessary to isolate the customer's facilities from the utility's facilities.

The custo mer will be responsible to own, operate and maintain all electrical distribution facilities on the customer side of the primary point -of-delivery (typically established at the primary meter).

9. Contracts
An initial three-year facilities contract may be r equired where Applicant requires new or added serving capacity exceeding 2,000 kVA.

10. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], kilovar [kVa], etc.).

11. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

12. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

13. State Mandated Public Purpose Programs Charge
State law requires all Califor nia electric utilities to esta blish a public purpose program charge of 2.85% of electric reta il revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstration projects, and services for low-income electricity customers

Page 785 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
18 Proposed Effective Date: July 1, 2022

STREET LIGHTING

A. Applicability

Applicable to meter for the lighting of streets, and publicly -owned and publicly-operated automobile parking lots which are opened to the general public where the City owns and maintains the street lighting equipment and associated facilities included under this Schedule.

B. Territory

Within the entire territory served.

C. Rates

Light Emitting Diode (LED) Lamps – All Night Service

Street Lighting
Energy Charge - $/kWh/Lamp 0.059150.06699
Lamp Charge - $/Lamp/Month 2.50

Safety
Energy Charge - $/kWh/Lamp 0.059150.06699

D. Special Conditions

1. The Applicant shall install streetlights that will be served by the Utility. These streetlights must be installed in accordance with the Utility’s specifications and the developer will deed such facilities to the City.

2. Requirements and Restrictions
a. The Applica nt for street light service shall specify the type of service, lamp size, and location of street lights.
b. Service shall not be furnished under this Schedule where location, mounting height, and/ or other considerations are unacceptable to the Utility.
c. The in stallation of street lighting equipment and facilities hereunder is contingent upon the utility obtaining easements, and rights of way, as may be required, satisfactory to the Utility for the r equired poles, lines, equipment, and facilities.
d. Should the Applicant not commence using the street lighting in a bona fide manner within ninety (90) days after date of completion and installation of a street light or street lighting syste m requested by th e Applicant, the Utility will bill, and the Applicant shall pay , the applicable lamp charges(s).

3. Hours of Service

Page 786 ends

CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
19 Proposed Effective Date: July 1, 2022
Under the Utility’s standard all night operating schedule, approximately 4,140 hours of service per year will be furnished.

Kilowatt hours for Lamp Type and Size: The kilowatt hours for lamp types and sizes served under this Schedule used to determine the Energy Charge are shown below:

Light Emitting Diode
(LED) Lamps
Lamp Watts
Including
Driver Loss
Lamp Watts
Including
Driver Loss
Mid-Point
Range
kWh per Lamp per
Month
All Night Service
0-5 2.50 0.9

5.01-10 7.50 2.6

10.01-15 12.50 4.3

15.01-20 17.50 6.0

20.01-25 22.50 7.8

25.01-30 27.50 9.5

30.01-35 32.50 11.2

35.01-40 37.50 12.9

40.01-45 42.50 14.7

45.01-50 47.50 16.4

50.01-55 52.50 18.1

55.01-60 57.50 19.8

60.01-65 62.50 21.6

65.01-70 67.50 23.3

70.01-75 72.50 25.0

75.01-80 77.50 26.7

80.01-85 82.50 28.5

85.01-90 87.50 30.2

90.01-95 92.50 31.9

95.01-100 97.50 33.6
100.01-105 102.50 35.4
105.01-110 107.50 37.1
110.01-115 112.50 38.8
115.01-120 117.50 40.5
120.01-125 122.50 42.3
125.01-130 127.50 44.0
130.01-135 132.50 45.7
135.01-140 137.50 47.4
140.01-145 142.50 49.2
145.01-150 147.50 50.9
150.01-155 152.50 52.6
155.01-160 157.50 54.3
160.01-165 162.50 56.1
165.01-170 167.50 57.8
170.01-175 172.50 59.5

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
20 Proposed Effective Date: July 1, 2022

4. Maintenance
The Utility shall exercise reasonable care and diligence in maintaining its street light facilities or Utility -owned attachments thereto. Where the Utility experiences, or expects to experience, maintenance costs exceed ing its normal maintenance expense resulting from, but not limited to, vandalism, the Utility may require the customer to pay the excess maintenance expense.

5. Liability of the Utility
The Utility shall not, by taking action pursuant to its tariffs, be liabl e for any loss, damage, or injury, established or alleged, which may result, or be claimed to result, therefrom.

6. Removal, Relocation or Modification of Facilities
Where street lighting serv ice and facilities are o rdered removed by a customer, the custo mer shall pay to the Utility a nonrefundable amount equal to the total estimated cost installed less any Customer contribution, plus the estimated cost of removal less the estimated net salvage value of the facilities.

Where street lighting service and f acilities were ordered removed by a Customer and such service and facilities, or their equivalent are ordered reinstalled within thirty-six (36) months from the date of the ord er to remove, the Customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal of the prior facilities and the estimated cost of such reinstallation.

Where street lighting facilities are ordered modifi ed and /or reloca ted by a Customer, the Customer shall pay to the Utility, in ad vance of such modification and/or relocation, a nonrefundable amount equal to the estimated cost of such modification and/or relocation. This includes facilities that now serv e street light load only, but that may ha ve been installed originally to serve o ther than street light load.

Utility-owned facilities removed or installed remain the sole property of the Utility.

7. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions above.

8. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

9. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

10. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency progr ams, renewable energy resources, research and demonstration projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
21 Proposed Effective Date: July 1, 2022

TRAFFIC CONTROL

A. Applicability
Applicable to single and three -phase service for traffic directional signs or traffic signal systems located on st reets, highways and other pu blic thoroughfares and to railway crossing and track signals; for public thoroughfare lighting that is utilized twenty -four (24) hours per day or is not controlled by switching equipment, such as tunnel or underpass lighting; an d, to public authorities for the illumination of bus stop shelters located in the dedicated road right -of-way where such service is combined with other traffic control service as defined above.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge - $/kWh 0.105850.11298
Customer Charge - $/Day 0.60

D. Special Conditions

1. Voltage
Service will be supplied at one (1) standard voltage not in excess of 240 volts or, at the option of the Utility, at 240/480 volts, three wire, single-phase.

2. Billing Calculation
A Customer’s bill is calculated according to the rate and conditions above.

3. Power Cost Adjustment Factor (PCAF)
The rate above is subject to an adjustment as provided in Rule 12, Section E.

4. Change of Law Adjustment Factor (CLAF)
The rate above is subject to an adjustment as provided in Rule 12, Section F.

5. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of elect ric retail revenues to fund qualifyi ng energy efficiency programs, renewabl e energy resources, research and demonstration projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
22 Proposed Effective Date: July 1, 2022

OUTDOOR AREA LIGHTING

A. Applicability
Applicable to single -phase service for metered outdoor area lighting load, controlled for dusk to dawn operation and used for purposes other than street and highway lighting such as, but not limited to parking lots, pedestrian walkways, billboards, building exteriors, security, sports and recreation areas, monuments, decorative areas, and bus shelters.

B. Territory
Within the entire territory served.

C. Rates
Energy Charge - $/kWh/Meter/Month 0.060410.06429
Customer Charge- $/Meter/Month 15.25

D. Special Conditions

1. Voltage
Service will be provided at one (1) standard voltage.

2. Three-Phase Service
Where, in the sole opinion of the Utility, it is impractical to provide single -phase service under this Schedule, three-phase service will be provided.

3. Separate Point of Delivery
When requested by the Applicant or Customer, and agreed upon by the Utility, an additional Point of Delivery may be provided, separate from any other Point of Delivery provided under any other applicable Rate Schedule. Customers so served shall not be permitted to have an electrical interconn ection beyond the Utility’s Point of De livery between the separately metered loads except upon written approval of the Utility.

A change from this Schedule to any other Rate Schedule will be permitted if the additional Point of Delivery is removed. Any su ch removal shall be at the Customer's expense.

Any rearrangement of facilities required to provide the additional Point of Delivery shall be at the expense of the requesting Applicant or Customer.

4. Controlled Operation
Service under this Schedule require s the control of lamps in a manner acce ptable to the Utility so that lamps will not be lighted daily from dawn to dusk. Customer shall install, own, operate, and maintain the control device. The Utility shall have

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the right to periodically inspect the co ntrol device to ensure its correct oper ation and maintenance.

5. Distribution Line Extension
Distribution Line Extensions to reach an outdoor area light or area lighting system shall be in accordance with Rule 15.

6. Services
Services shall be installed and maintained as provided in Rule 16.

7. Incidental Loads
Incidental, non-lighting loads may be served under this Schedule only where such Connected Loads do not exceed fifteen percent (15) of the Customer’s total Connected L oad. Incidental Loads must also be controlled for dusk to dawn operation exclusively.

9. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

10. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

11. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenue s to f und qualifying energy efficiency programs, renewable energy resources , research and demonstration projects, and services for low-income electricity customers.

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IRRIGATION SYSTEMS

A. Applicability
Applicable where the Utility determines that 100% of the customer’s electrical usage is for limited irrigation service except for the Customer whose monthly Maximum Demand, in the opinion of the Utility, is expected to exceed 20 kW or has exceeded 20 kW in any three (3) months during the preceding twelve (12 ) months is ineligible for service u nder this Schedule. Effective with the date of ineligibility of any Customer served under this Schedule, the Customer’s account shall be transferred to another applicable Rate Schedule.

B. Territory
Within the entire territory served.

C. Rates

Energy Charge - $/kWh 0.18459
Customer Charge - $/Day 0.733000.75700

D. Special Condition

1. Voltage
Service will be supplied at one (1) standard voltage not in excess of 240 volts or, at the option of the Utility, at 240/480 volts, three wire, single-phase.

2. Billing Calculation
A Customer’s bill is calculated according to the rate and conditions above.

3. Power Cost Adjustment Factor (PCAF)
The rate above is subject to an adjustment as provided in Rule 12, Section E.

4. Change of Law Adjustment Factor (CLAF)
The rate above is subject to an adjustment as provided in Rule 12, Section F.

5. State Mandated Public Purpose Programs Charge
State law requires all California electric utilities to establish a public purpose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstration projects, and services for low-income electricity customers.

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WIRELESS TECHNOLOGY

A. Applicability
Applicable to single-phase service for wireles s technology industries that require el ectric service to operate radio repeaters or similar devices (wireless communication devices) that are mounted on existing City facilities, or other facilities approved by the U tility and are unmetered. This Schedule excludes Wi-Fi devices on “looped” (se rved by 120/240 volts) streetlight facilities. Customers must execute an application/contract with the Utility for service under this Schedule and must execute an applicable ag reement when devices are attached to Cit y facilities. The monthly kilowatt -hour (kWh) usage of each device shall not exceed 500 kWh. Effective with the date of ineligibility of any Customer served under this Schedule, the Customer's account shall be tran sferred to anoth er applicable Rate Sched ule. If the Customer’s account cannot be transferred to another applicable Rate Schedule, the account will be closed, the Utility’s service will be removed, and the Customer must remove its device and equipment form the applicable City facility.

B. Territory
Within the entire territory served
C. Rates

Fixed Energy Charge - $/Device/Month 60.3061.20
Customer Charge - $/Month 17.29
Inspection Charge - $/Device/Month 12.60
Three-Phase Service - $/Day 0.03
Initialization of Service Charge 6.79

D. Special Conditions

1. Contract
An approved City contract is required for service under this Rate Schedule.

2. Voltage
Service will be supplied at one (1) standard voltage not in excess of 240 volts.

3. Three-Phase Service
Where the Utility provides three-phase service, the billing will be increased by the amount shown in the Rates section above.

4. Maximum Wattage
The maximum watts/connected load/name plate is 746 watts.

5. Installation
The device(s) shall be installed on City facilities or other facilities a pproved by the Utility. When the devic es are installed on City facilities, the installation and

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removal of such device(s) will be performed by the Customer, and at the Customer’s expense. Device installation shall not be performed unde r this Rate Schedule, where location, mounting height, and /or other considerations are not acceptable to the Utility. Unless approved by the Utility, all wireless communication devices must be visible to the Utility.

7. Modification of Facilities
No modifications can be mad e to the Customer -owned wireless commun ications devices unless approved by the Utility. Where the Customer requests a modification of City facilities, and such modifications are acceptable to the City, the City will perform the requested modifications at the Customer’s expense.

8. Maintenance
The Utility shall exercise reasonable care and diligence in maintaining its facilities. Upon installation of the device(s), where the Utility experiences, or expects to experie nce, maintenance cost s exceeding its nor mal maintenance expense resulting from, but not limited to, vandalism, the Utility may require the Customer to pay the excess maintenance expense.

9. Liability of the Utility
The Utility shall not, by taking action p ursuant to its tariffs, be liable for any loss, damage, or injury, established or alleged, which may result, or be claimed to result, there from.

10. Initialization of Service Charge
A one-time charge, as shown in the Rates section of this Rate Schedule, i s applied to each ser vice account provid ed service under this Rate Schedule to recover the costs of a lock and spare fuse which are required with the initialization of service.

11. Power Cost Adjustment Factor (PCAF)
The rates above are subject to an adjustment as provided in Rule 12, Section E.

12. Change of Law Adjustment Factor (CLAF)
The rates above are subject to an adjustment as provided in Rule 12, Section F.

13. State Mandated Public Purpose Programs Charge
State law requires all California e lectric utilities to esta blish a public purp ose program charge of 2.85% of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstration projects, and services for low-income electricity customers.

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NET ENERGY METERING

A. Applicability
Applicable to a customer who operate s a renewable electrical generation facility that is located on the customer’s premises with a capacity of not more than 1 MW that is interconnected and operates in parallel with the City’s electric system, intended primarily to offset part or all of the cu stomer’s own electrical requirements, and meets all the applicable safety and performance standards.

B. Territory
Within the entire territory served.

C. Net Surplus Compensation Rate
For customer accounts establishe d on or after December 1, 2018: The net surplus compensation rate shall be $0.0500 per kWh applied to any net surplus energy remaining at the end of the customer’s twelve (12) monthly billing period (“relevant period”).

Grandfathered Pr ovision: For customer accounts established before December 1, 2018:

The net surplus compensation rate shall be equivalent to the highest hourly rate that was charged for consumption in their OAT during the year prior to the Customer ’s Annual Billing Date. This provision will remain in effect for fifteen (15) years from the Customer’s original year in which the generating facility was interconnected to RCMU’s grid. After that period expires, the Customer will receive the current net s urplus compensation that is being offered at that time.

D. Rates

1. All rates charged under this schedule will be in accordance with the Eligible Customer-Generator’s otherwise applicable tariff (OAT) or rate schedule. An Eligible Customer -Generator s erved under this schedul e is responsible for all charges in its OAT including the m onthly or annual minimum charges (including service, customer, reliability and demand charges, when applicable) regardless of the Customer’s monthly or annual net generation.

Eligible Customers under this schedule are subject to any new or additional charge(s) that may be imposed by the Utility on the other customer in the rate class to which Customer would otherwise be assigned.

2. As determined in each billing period , when a customer consum es more energy than generated at the premises (net consumer), the net consumed energy will be used in the calculation of all applicable energy charges, calculated by multiplying the net amount consumed by the applicable energy rate components of the customer’s OAT.

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3. As deter mined in each billing period, when a cu stomer generates more energy than is consumed by the customer (net generator) , the resulting net produced energy will be calculated by multiplying the net produced kWh by th e applicable energy rate component of the Customer’s OAT (including TOU periods) and be a credit on the bill. Any net kilowatt-hours of production credit that exceeds the net consumed energy, will be carried forward into the next billing period.

If the Cus tomer’s OAT includes “ti me of use” (TOU) rat es, any net energy consumed monthly sha ll be calculated according to the terms of the OAT. When the customer is a net generator during any TOU period, the net kilowatt -hours generated shall be valued at the same price per kilowatt-hour as the Utility would charge during that same TOU period.

4. Customers who are Net Surplus Electricity producers at the Customer’s Annual True-Up Date, may elect to either carry over annual Net Surplus Energy production (in kilowat t hours) as a credit tha t will be applied to kilowatt hours consumed by the Customer or Customer may elect to receive payment to cash out the remaining Net Surplus Energy.

D. Special Condition

1. An executed Net Energy Metering and Generating Facility Interconnection Agreement is required prior to receiving service under this Schedule.

2. Metering Requirements: If the customer’s existing meter is not capable of measuring the flow of energy in two directions, an appropriate meter shall be provided at the expense of the customer . The City may elec t to install an additional meter or met ers, at the City’s expense to provide the information necessary to accurately bill or credit the customer.

3. To be eligible for service under this Schedule, the customer’ s generating facilities must be sized to off set part or all of the customer’s own e lectrical requirements and cannot be oversized. This means that the estimated output of the generating facility, using the CEC -AC nameplate rating for inverter -based generat ing facilities must not exceed the customer’s previous annual usage in kWh.

4. A new customer of record who owns, leases, or rents a premise that includes an existing generating facility with a capacity under 30 kW that was approved by RCMU for operation prior to the new custome r moving in and/or t aking electric service with RCMU will take service under this Tariff as long as the requirements of this Tariff are met and will not have to sign a new Interconnection Agreement .

This provision also applies to premises where the developer/contractor establishes the interconnection.

A new cust omer of record who owns, leases, or rents a premise that includes an existing generating facility with a capacity over 30 kW that was approved by RCMU for operation prior to the new customer moving in and/or taking el ectric service with RCMU will take service under this Tariff and will need to sign a new Interconnection Agreement.

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5. RCMU shall retain any net surplus energy generated by the NEM Customer including any associat ed environmental attribu tes or renewable ene rgy credits (RECs).

6. Net Meter ing Agg regation (NMA): Customers served under this Tariff with a Generating Facility on a property owned by the Customer, may elect to aggregate electric services to additional properties that are solely owned by the Custome r and are located on parcels adjacent o r contiguous to the Generating Facility.

Generation not used where the Generating Facility is located, is transferred to adjacent properties and equally distributed to the other properties by a pe rcentage determined upon entering into the Interconnection Agreement. NMA does not allow for Net Surplus Compensation for excess generation.

E. Billing

1. City shall provide all customer s served under this Schedule with net energy consumption information and/or net energy export information with each monthly bill.

2. Customers served under this Schedule shall pay both energy and non -energy charges on a monthly basis , in accordance with the customer’s OAT except as otherwise allowed by State law. The value of net energy production will be used to offset only energy related charges in subsequent billing periods.

F. Definitions

1. Net energy metering measures the difference between the electricity supplied through the electric grid and the electricity generated on the customer’s premises and fed back to the electric grid over a Twelve-Month Period.

2. Otherwise Applicable Tariff (OAT) is the customer’s regularly filed rate schedule under which service is rendered.

3. Net Surplus Electricity is the electricity generated by an elig ible customer - generator measured in kilowatt hours over a 12 -month period that exceeds the amount of electricity consumed by that eligible customer-generator.

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ECONOMIC DEVELOPMENT

A. Applicability
Commercial or industrial end -use Customers that would otherwise receive service under the La rge Commercial or Large Industrial Electric Rate Schedule and meet certain criteria as established and adopted by resolution of the City Council of the City of Rancho Cucamonga may take advantage o f the Economic Devel opment (ED) rate as a New Customer or E xpanded Load Customer. This ED rate is applicable to all or part of the services provided to New Customers and Expanded Load Customers, as such terms are defined herein.

1. A New Customer shall be a Customer seeking to locate a new business or relocate an ex isting business (not currently located within the territory served by the Rancho Cucamonga Municipal Utility (RCMU)) within RCMU’s service territory.
a. A New Customer shall me et both of the following criteria in order t o qualify for Schedule ED:
i. Projected minimum monthly electric demand of at least 200 kW. ii. Job Creation

1. Tier 1 Discount Rate 100 – 249 jobs

2. Tier 2 Discount Rate 250 – 500 jobs

3. Tier 3 Discount Rate greater than 500 jobs

2. An Expanded Loa d Customer shall be an existing RCMU Large Commercial or Large Industrial customer that is adding new load to RCMU by a minimum monthly electric demand of 200 kW based upon the Customer’s past electrical demand as determined by RCMU . The expanded load can be at the customer’s current site, or at a new site within the RCMU service territory. The Tier 1 ED rate will only be applied to the expanded load as determined in Section 6 below.

B. Territory
Within the entire territory served.

C. Character of Service

The service provide d hereunder shall be alternating curren t with regulated frequency of 60 hertz, three-phase, or a combination single and three -phase served through one meter, at a standard voltage specified by RCMU. To be eligible to participate all customers must have a demand meter.

D. Rates

Except as provided herein, or in the Economic Development Rate Agreement, all charges and provisions of the Customer’s otherwise applicable rate schedule shall apply. The applicable Energy Charge and Demand Charg e under the Customer ’s otherwise applicable rate schedule will be reduced as follows:

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Tier 1 Tier 2 Tier 3
Years 1 - 2 20% 20% 20%
Years 3 - 4 15% 17% 20%
Year 5 10% 12% 15%

E. Special Conditions

1. Term: Economic Development Rate Agreements entered into under this Schedule shall be for a single five-year term.

2. Approval: Application of this Rate Schedule shall be subject to the approval of the City Manager or his/her designee, based on meeting the eligibility criteria outlined herein.

3. Agreement: T he Customer must sig n a standard Rancho Cucamonga Economic Development Rate Agreement in order for the rates under this Schedule to be applicable. In addition to the other terms of this Schedule, the Economic Development Rate Agreem ent shall require the Cu stomer to reimburse Rancho Cucamonga for all rate reduction s received under this Schedule, if the Customer fails to maintain the required minimum load during the five -year term of the Agreement.

4. Minimum Load: Customers qualifying u nder this Schedule as a New Customer with a projected minimum monthly electric dema nd of at least 200 kW or as an Expanded Load Customer under Applicability Sections 1 and 2 above, respectively, must agree to maintain a minimum level of load for five years from the date service is first rendered under this Schedule and to document compli ance with all applicable requirements, as set forth in the Economic Development Rate Agreement.

5. Job Creation / Retention : Customers qualifying under this Schedule as a New Customer with a projected minimum monthly e lectric demand of at least 200 kW under Applicability Section 1a (ii), respectively, must agree to create and retain a minimum level of full -time equivalent jobs for five years from the date service is first rendered under this Schedule and to document compliance with all applicable requirements, as set forth in the Economic Development Rate Agreement.

6. Base Period Usage : Base Period Usage shall be established and agreed to in the Economic Development Rate Agreem ent for Expanded Load Cu stomers. Base Period Usage shall be the average monthly ene rgy use and demand for the Customer during the last three years of service to the Customer, from the date ending the last payment period before the date of the Agreement . Expanded Load qualifying f or the rate under th is Schedule shall be measured as the di fference between the new monthly, metered documented energy use and demand, and the Base Period Usage.

7. State Mandated Public Purpose Program Charge: All bills rendered under this Schedule shall be subject to the Public Purpose Program Charge as established by the City Council.

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8. Miscellaneous Fees and Charges: Rates charged pursuant to this Schedule shall be subject to any Energy Users Taxes, Utility Users Taxes, and any other governmental taxes, dut ies, or fees which a re applicable to Electric Service provided to Customer by the City of Rancho Cucamonga. Rates are also subject to adjustment, as established by the City of Rancho Cucamonga’s City Council, in its sole discretion, in response to federal or state climate cha nge laws, renewable portfolio standard or other mandated legislation. These adjustments may include but are not limited to charges to mitigate the impacts of greenhouse gas emissions or “green power” premiums.

9. Expanded Load : Expanded Lo ad customers applyin g for this rate must demonstrate to the satisfaction of the Utility that the expanded load is new to the Rancho Cucamonga Municipal Utility.

10. Effective Date: The effective date of the Economic Development Rate Ag reement shall commence w ithin 12 months from the date of the City’s approval, or th e Agreement becomes null and void. The Agreement becomes effective upon execution by the parties, and the Economic Development Rate commences upon written notice by Customer and coincides with the Customer’s normal bi lling cycle.

11. Reapplication: Customers who have received service under the Economic Development Rate are eligible to reapply for the ra te as an Expanded Load Customer, if they meet the criteria therefore.

12. Restrictions: Residential cust omers and federal, s tate or local government agencies are not eligible to apply for service under this Schedule.

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STANDBY DEMAND CAPACITY RESERVATION CHARGE
(SELF GENERATION)

A. Applicability
Applicable to Large Commercial and Lar ge Industrial customers who operates a non -net metered, non-utility generating faci lity rated at 1000 kW or less, interconnected on the Customer’s premises and operates in parallel with the City’s electric system. The generating facility is intended primar ily to offset part or al l of the customer’s own electrical requirements and meets all the applicable safety and performance standards.

Standby service customers have unique electric demands, due to their on -site generation assets, that are often quite d ifferent from those of f ull requirement cust omers. These customers pay standby rate s so that they may, in the event of a planned or unplanned outage of their non -utility generating system, take service from the City electric system.

The City bears an “obli gation to serve” and mus t configure their sy stem to allow every customer reliable access to the grid. The standby charge is designed to recover the costs of transmission and distribution facilities, as well as substation and transformers dedicated to the c ustomer’s use that do no t vary with usage in maintaining sufficient capacity (through operating reserves) in order to serve an unplanned outage, even if such an outage never occurs. The standby charge also includes appropriate service voltage level distinctions: secondary and primary.

B. Territory
The entire territory served.

C. Rates

1. Rates for this service shall be the same as for the schedule under which the customer’s otherwise applicable rate schedule shall apply.

2. Standby Demand Capacity Reservation Char ge (CRC): A CRC shall be a flat $/kW amount applied to the Standby Demand in kW, wh ich represents the entire reserved capacity needed for the City to serve the self-generation customer’s load, which would have been regularly served by the customer’s genera ting facility when such facility experiences a partial or complete outage. The leve l of Standby Demand shall be provided by the customer and shall not exceed the nameplate capacity of the customer’s generating facility.

Standby Charge – Secondary ($/kW) Standby Charge – Primary ($/kW) $8.61 $7.61

3. Demand Charge: As determined in each billing period, a Standby Service customer’s billing demand shall be the kilowatts of Maximum Demand indicated or recorded by instruments, determined to the nearest kW of the absolute net power that the customer received from the City’s electric system . The Demand

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Charge for each time period shall be based on the Maximum Demand for that time period occurring during the respective monthly billing period.

4. Energy Charge: As de termined in each billing period, when a Stan dby Service customer consumes more energy than generated at the premises, the net consumed energy will be used in the calculation of all applicable energy charges. All Energy shall be billed in accordance with the customer’s Otherwise Applicable Tariff rate schedule which would otherwise apply if the customer had no generating equipment.

5. Other charges: All other specific rate components, including the Power Factor Adjustment Charge, Customer Charge and the State Electric SurTax will not vary based on registered usage or demand of the customer’s generating facility.

D. Special Conditions

1. Contract Required - Customer shall sign an Interconnection Agreement contract for this service, which shall state the number of kW of standby capacity r equired. "Standby ca pacity" shall not exceed the nameplate rating of the customer’s generating equipment.

2. Metering Requirements - If the customer’s existing meter is not capable of measuring the flow of energy in two directions, an appropriate meter shall be provided at the expense of the customer. The City may elect to install an additional meter or meters, at the customer’s expense to provide the information necessary to accurately bill or credit the customer.

3. The CRC tariff is only applicable to Stan dby Service customers who require electric capacity and energy supplied by the City on a regular basis to supplement the Customer’s power requirement in addition to that ordinarily supplied by the on-site non -utility generation faci lities. If a customer ha s a planned generato r outage with prior notification given to RCMU for an entire billing period the standby charge will not be applicable.

4. Customers exempted from the CRC tariff:

(a) Customers with backup on -site generation that is us ed exclusively when serv ice from the utility is not available in the event of an interruption in utility service and which are not used to offset Customer electricity purchases. (b) The applicability of these exemptions shall be determined at the discretion of the Utilities Manager.

5. Standby Demand i n kW represents the entire reserved cap acity needed for the City to serve the customer’s load, regularly served by the customer’s generating facility when such facility experiences a partial or complete outage. T he level of Standby Dema nd, which shall not exceed the nameplate capacity of the customer’s generating facility, is initially designated by the customer and is set forth in the generation interconnection agreement. Once a customer’s designated

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Standby Demand has been set, it shall remain at such lev el for a minimum of 12 months unless, i n the City’s determination, the Standby Demand needs to be adjusted to more accurately represent the customer’s actual reserve capacity needs. Upon the City’s determination that the customer’s desi gnated Standby Demand does not reflect the actual level of needed reserve capacity, over any 15- minute period or through on -site verification, the City shall adjust the Standby Demand to reflect the actual needed reserve capacity. W hen the Standby Demand is adjusted by the Ci ty as provided above, a qualified change in the Standby Demand shall not be made for 12 months from the last adjustment. The customer is responsible for notifying the City of permanent or material changes in thei r generation facilities (size, type and operations) for future adjustments to the Standby Demand.

6. Diversity Factor - a statistical assumption that a certain percentage of standby load will be utilizing substation and distribution service between each class’ peak demand and the s ystem peak demand . This factor was determined using the diversity factors calculated in the utility’s most recent cost of service study and is embedded in the current CRC tariff. A percentage difference was identified as the diversity factor and the distr ibution and substati on portion of the standby rates were re duced accordingly reflecting a reduction in those infrastructure requirements.

E. Billing Calculation
A Customer’s bill is calculated according to the rates and conditions abo ve. The charges are calc ulated by applying t he Rate Charges on the customer’s applicable nameplate generation capacity for the generating unit at the customer’s facility. All other usage provided by RCMU will be based on the applicable rate tariff, includi ng any riders or additional charges.

Customers served under this Schedule shall pay both energy and non-energy charges on a monthly basis, in accordance with the customer’s Otherwise Applicable Tariff except as otherwise allowed by State law.

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ELECTRIC VEHICLE CHARGING

A. Applicability
Applicable solely for the charging of ele ctric vehicles, on a premises or public right of way where a separate RCMU meter to serve electric vehicle (EV) charging facilities is requested.

B. Territory
Within the entire territory served.

C. Rates
Energy Charge - $/kWh/Meter/Month
Summer Season – On-Peak 0.229070.23654
Mid-Peak 0.100670.10395
Off-Peak 0.041380.04273
Winter Season – On-Peak 0.085090.08786
Mid-Peak 0.076820.07932
Off-Peak 0.048260.04983
Customer Charge - $/Meter/Month Under 20 kW 28.1630.00 Over 20 kW 174.90185.00
Demand Charge - $/kW of Billing Demand/Meter/Month
Facilities Related 12.00
Power Factor Adjustment - $/KVA 0.30

D. Special Conditions

1. Time periods are defined as follows:

On-Peak: Noon to 6:00 p.m. weekdays except holidays
Mid-Peak: 8:00 a. m. to noon and 6:00 p.m. to 11:00 p.m. weekdays except holidays.

Off-Peak: All other hours.

Holidays are New Year’s Day (January 1), Washington’s Birthday (third Monday in February), Memorial Day (last Monday in May) , Independence Day (July 4), Labor Day (first Monday in September), Veteran’s Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas (December 25).

When any holiday listed above falls o n Sunday, the following Monday will be recognized as an off-peak period. No change will be made for holidays falling on Saturday.

The Summer Season shall commence at 12:00 a.m. on June 1 st and continue until 12:00 a.m. on October 1 st of each year. The W inter Season shall commence at

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12:00 a.m. on October 1st of each year and continue until 12:00 a.m. on June 1st of the following year. A pro rata computation will be made for seasonal billing purposes.

2. Voltage Service will be supplied at one (1) standard voltage.

3. Metering
Only EV charging facilities and related equipment shall be separately metered and served under this Schedule. Where RCMU determines that the operation of the EV charging facilities may interfere with service to that customer or ot her customers, RCMU will install a load management device at customer’s expense to control when EV charging will occur. For purposes of monitoring customer load, RCMU may install at its expense, load research metering. The customer shall provide, at no e xpense to RCMU, a suitable location for mete rs and associated equipment.

4. Billing Demand
The Billing Demand shall be the kilowatts (kW) of Maximum Demand, determined to the nearest kW. The Demand Charge may include the following billing components. The Time Related Component shall be for the kil owatts of Maximum Demand recorded during (or established for) the monthly billing period. The Facilities Related Component shall be for the kilowatts of Maximum Demand recorded during (or established for) the mo nthly billing period.

However, when the Uti lity determines the Customer's Me ter will record little or no energy use for extended periods of time or when the Customer's Meter has not recorded a Maximum Demand in the preceding eleven (11) months, the Facili ties Related Component of the Demand Charge may be established at fifty perce nt (50%) of the Customer's Connected Load.

5. Maximum Demand
The Maximum Demand in any month shall be the measured maximum kilowatt input, indicated or recorded by instruments, du ring any 15 -minute metered interval in the month.

6. Power Factor Adjustment
The Customer’s bill will be increased each month for power factor by the amount shown in the Rates section above for service metered and delivered at the applicable voltage level, based on the per kilovar of maximum reactiv e demand imposed by the Utility.

The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or recorded by metering during any 15-minute interval in the month. The kilovar s shall be determined to the nearest unit. A device will be installed on each kilovar meter to prevent reverse operation of the meter.

7. Interconnection
Customers taking service under this Schedule shall have no electrical interconnection beyond the RCM U’s Point of Delivery between electrical loa ds eligible for service under this Schedule and any other electrical loads.

8. Temporary Discontinuance of Service.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
38 Proposed Effective Date: July 1, 2022
Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any Customer re suming service within twelve (12) months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued.

9. Customer-Owned Electrical Generating Facilities.

Upon written approval by the Utility, momentary parallel operation may be permitted to allow the Customer to test the auxiliary/emergency generating facilities.

10. Billing Calculation.

A Customer’s bill is calculated according to the r ates and conditions above. The charges are calculated by applying the Rate Charges when applicable to the actual billing determinants (kilowatt hours [kWh], demand [kW], kilovar [kVa], etc.).

11. Power Cost Adjustment Factor (PCAF).

The rates above are subject to an adjustment as provided in Rule 12, Section E.

12. Change of Law Adjustment Factor (CLAF).

The rates above are subject to an adjustment as provided in Rule 12, Section F.

12. State Mandated Public Purpose Programs Charge.

State law requires all California electric utilities to establish a public purpose program charge of 2. 85% of electric retail revenues to fund qualifying energy efficiency programs, renewable energy resources, research and demonstration projects, and services for low-income electricity customers.

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CITY OF RANCHO CUCAMONGA MUNICIPAL UTILITY

ELECTRIC RATES & TARIFFS
39 Proposed Effective Date: July 1, 2022

SERVICE ESTABLISHMENT CHARGE

A. Applicability
Applicable to General Service and Domestic Service customers.

B. Territory
Within the entire territory served.

C. Rates
For each establishment of electric service…………… $15.00
D. Special Conditions

1. The service establishment charge pr ovided for herein is in addition to the charges calculated in accordance with the applicable schedule and may be made each time an account is established. As used herein, establishment means each time an account is opened, including a turn on of electric service or a change of name which requires a meter reading.

2. In case the customer requests that electric service be established on the day of his request or outside of regular hours, an additional charge of $11.00 may be made.

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RESOLUTION NO. 22-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO

CUCAMONGA, CALIFORNIA, AMENDING ELECTRIC RATES AND

CHARGES, PURSUANT TO THE REQUIREMENTS AND AUTHORITY OF
CHAPTER 3.46 OF TITLE 3 OF THE RANCHO CUCAMONGA
MUNICIPAL CODE.

A. Recitals

1. The City Council of the City of Rancho Cucamonga has previously adopted Chapter 3.46 of Title 3 of the Rancho Cucamonga Municipal Code establishing Electricity Service Rules and Regulations and authorizing that the rates, fees and charges arising, directly or indirectly, under said legislation be adopted pursuant to resolution, and thereafter, be amended from time to time by resolution.

2. City staff has prepared a comprehensive schedule of the rates, fees and charges that reflect the reasonable and prudent costs relating to the acquisition and distribution of electric power to retail customers and are recommending that the City Council adopt the recommended rates and fees. These rates do not present the City an opportunity to achieve profits or to impose charges in excess of the costs reasonably related to the development, maintenance and expansion of a municipal electric distribution system. The City Council has directed City staff to regularly review the operations of the City’s electric utility to ensure that the rates are sufficient to cover all prudent business costs, reserves and capital equipment acquisition but not exceeding the amount necessary for the same. The rates, fees and charges reflect the reasonable costs to the City system only and do not reflect any excess rates, fees, or charges that are in excess of the reasonable costs of providing the electrical services as set forth hereinafter.

3. The City Council has reviewed the adoption of this Resolution pursuant to the requirements of the California Environmental Quality Act of 1970, as amended, and has determined that the adoption of the Electric Rules and Regulations has no foreseeable potential to a result in a significant impact upon the environment and is exempt from CEQA review pursuant to State CEQA Guidelines Section 15061(b)(3). Further, the City Council has determined that the adoption of the fees is exempt from substantive environmental review under Section 15273 of the State CEQA Guidelines as no capital projects for system expansion are included in the proposed action.

4. All legal prerequisites to the adoption of this Resolution have occurred.

B. Resolution

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, HEREBY

RESOLVES,
Section 1.: The facts set forth in the Recitals, Part A of this Resolution, are true and correct.

Section 2.: The rates, fees and charges assessed under Chapter 3.46 of Title 3 shall be as set forth on Attachment 1 hereto and incorporated by reference as if fully set forth herein on July 1, 2022.

Section 3.: The City Clerk shall certify to the adoption of this Resolution.

ATTACHMENT 2

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PASSED, APPROVED, AND ADOPTED this 15th day of June 2022.

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DATE:June 15, 2022
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Matthew R. Burris, AICP, LEED AP, Deputy City Manager – Community Development/Interim Planning Director
Vincent Acuna, Associate Planner
SUBJECT: Public Hearing for Consideration of an Appeal of the Planning Commission's Decision to Approve Design Review DRC2021-00120 and Tentative Tract Map 20120 – WDCC Milliken West Residential, LLC, Applicant. The Project is a Site Plan/Architectural Review and Lot Subdivision Related to a Mixed-Use Development Comprising of 671 Apartments and 20,841 Square-Feet of Commercial Space within the Corridor 2 (CO2) Zone on the Northwest Corner of Milliken Avenue and Foothill Boulevard, APNs: 1077-422-51, -55, -98, -99, 1090-121-38, and -39. A CEQA Section 15183(c) Compliance Memorandum was Prepared for this Project. (RESOLUTION NO. 2022-075) (CITY)
RECOMMENDATION:

Staff recommends that the City Council deny the appeal and uphold the Planning Commission decision to approve Design Review DRC2021-00120 and Tentative Tract Map 202120.

BACKGROUND:

On April 27, 2022, Design Review DRC2021-00120 and Tentative Tract Map 20120, which is a site plan/architectural review and lot subdivision related to the construction of a mixed-use development comprising of 671 apartments and 20,841 square-feet of commercial space went before the Planning Commission for consideration (Attachment 1). On the date of the meeting, correspondence was received from Lozeau Drury, LLP on behalf of the Supporters Alliance for Environmental Responsibility (“SAFER”) raising concerns related to the adequacy of the CEQA Section 15183 compliance memorandum prepared for the project. The Planning Commission reviewed the correspondence from Lozeau Drury, LLP, and determined that the project falls within CEQA Section 15183, and that the compliance memorandum was adequate. The Planning Commission approved Design Review DRC2021-00120 and Tentative Tract Map 20120 and recommended that the City Council approve the associated Master Plan application, DRC2022- 00074 (Attachment 2). Subsequently, Master Plan DRC2022-00074 was approved by the City Council on May 18, 2022.

On May 6, 2022, an appeal of the Planning Commission approval was received from Lozeau Drury, LLP, within the 10-day appeal period. The appeal letter contains the same information as the comment letter received from Lozeau Drury, LLP on the date of the Planning Commission meeting on April 27, 2022.

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The project is located on a vacant 17.2-acre site on the northwest corner of Foothill Boulevard and Milliken Avenue. The project has a density of 39 dwelling units per acre, meeting the density range of 36 to 60 dwelling units per acre required by underlying City Corridor High General Plan Designation.

The project is split into four blocks. The northwest and northeast blocks comprise of 3-story walk- up apartments, while the southwest block contains a clubhouse and pool area. The southeast block contains a four-story “wrap” building, where residential and commercial units wrap around an above-ground parking structure. All commercial and restaurant space proposed for the project is contained within the Foothill Boulevard ground frontage of the wrap building. The wrap building “anchors” the project site with a significant architectural presence along Foothill Boulevard and Milliken Avenue.

All buildings within the project site are designed in the modern interpretation of the classic American farmhouse. All front facades and building entrances are oriented towards streets/sidewalks, helping create a safe and active streetscape. The building placement, appropriate landscape features, and the overall site design creates the feel of an urban, walkable environment as envisioned in the General Plan.

ANALYSIS:

The City of Rancho Cucamonga adopted a comprehensive update to the City’s General Plan (GPU) and certified a Program Environmental Impact Report (EIR) (SCH No. 2021050261) on December 15, 2021. As part of the GPU, the project site was designated for “City Corridor – High” land uses, which allows for residential development at densities ranging from 36 to 60 dwelling units per acre (du/ac) and non-residential development at a Floor Area Ratio (FAR) ranging from

0.6 to 1.5. According to Section 15168 of the CEQA Guidelines, a Program EIR may be prepared on a series of actions that can be characterized as one large project. Use of a Program EIR gives the Lead Agency an opportunity to consider broad policy alternatives and program-wide mitigation measures, as well as greater flexibility to address project-specific and cumulative environmental impacts on a comprehensive scale.

Pursuant to Section 15183(c) of the State CEQA Guidelines, “if an impact is not peculiar to the parcel or to the project and has been addressed as a significant effect in the prior EIR or can be substantially mitigated by the imposition of uniformly applied development policies or standards…then an additional EIR need not be prepared for the project solely on the basis of that impact.” The 17.2-acre property is designated by the City’s General Plan for “City Corridor – High” land uses. The GPU EIR assumed the project site would be developed with 722 multi-family residential dwelling units and 337,154 square feet of commercial retail land uses. The proposed project is fully consistent with the site’s GPU land use designation of “City Corridor – High” and would be consistent with all applicable GPU policies. Therefore, no subsequent or supplemental EIR was required for the proposed project.

The appellant’s appeal letter (Attachment 3) asserts that the project does not meet the requirements of CEQA Section 15183. The appellant claims that the project has potential impacts to air quality, biological resources, energy, and greenhouse gas emissions that necessitate further environmental review. The applicant has provided a response letter (Attachment 4) to address

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the comments discussed in the appeal. The appellant’s comments and the applicant’s responses are summarized below.

A. The City Incorrectly Applied CEQA’s Section 15183 Categorical Exemption to the Project and Thus a Full CEQA Analysis is Required.

Response:

The purpose of CEQA Guidelines Section 15183 is to reduce the need to prepare repetitive environmental studies. For projects that meet the requirements of Section 15183, the Lead Agency is required to limit its examination of environmental effects to those effects which the Lead Agency determines, in an initial study or other analysis.

The proposed project is within the residential density range and commercial square footage contemplated by the General Plan EIR for the site. The compliance memorandum submitted by the applicant and peer reviewed by the City offered no substantial evidence that the project will have any project-specific impacts that will require further CEQA analysis.

B. The City Must Prepare a CEQA Document or Adopt a Statement of Overriding Considerations With Regard to This Project.

Response:

The letter claims that second tier EIR is required for the project because the General Plan EIR found some impacts to be significant and unavoidable, and also contemplated that some projects would require further review. The applicant cited two cases, but neither of those cases addressed CEQA Guidelines Section 15183 in any way. The fact that the GPU EIR found some impacts to be significant and unavoidable and said some additional CEQA review would occur for some individual projects does not necessitate this project to be reviewed in a second tier EIR.

C. The Project Will Have Project-Specific Significant Effects Which Were Not Addressed in the GPU EIR (Air Quality, Biological Resources, Energy, and Greenhouse Gas Emissions).

Response:

Air Quality
Since the project will have a density of 39 dwelling units per acre which is less than the 60 dwelling units per acre maximum contemplated by the GPU EIR, the project would result in a net reduction of 8,390 vehicular trips per day as compared to what was evaluated for the project site in the GPU EIR. This directly lowers the air quality impact of the project from what was evaluated in the GPU EIR as a majority of the project’s air quality emissions would result from vehicular traffic. Construction activities associated with the project would adhere to emissions control strategies established by the South Coast Air Quality Management District and assumed in the Air Quality Management Plan, as well as the emission control strategies included in the GPU and the City’s Climate Action Plan.

The project would not involve any construction activities peculiar to the project site nor require additional project-specific analysis. Further, the GPU EIR addressed construction near sensitive receptors and determined that the temporary exposure to diesel Particulate Matter would be less than significant.

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Biological Resources
The potential for the project site to support sensitive plant species was addressed in the February 2018 Habitat Assessment, and again in the February 2022 Habitat Assessment.

Each of the Habitat Assessments determined that the project site does not provide suitable habitat for any of the special-status plant species known to occur in the area. The project site has been subject to a variety of disturbances including on-going disking/weed abatement activities, stockpiling of soils, and activities associated with the surrounding developments.

The southeast corner of the project site is used as a seasonal pumpkin patch and Christmas tree farm that has covered portions of this area in loose gravel. The determination that the project site does not have the potential to support special-status plant species is a valid conclusion.

Energy
Consistent with the GPU EIR conclusions, project construction and operations would not result in the inefficient, wasteful, or unnecessary consumption of energy. Further, the energy demands of the project can be accommodated within the context of available resources and energy delivery systems. The project would therefore not cause or result in the need for additional energy producing or transmission facilities. The project would not engage in wasteful or inefficient uses of energy and aims to achieve energy conservation goals within the State of California. The project would be less intense than the land uses assumed by the GPU EIR for the project site, indicating the project’s overall energy demand would be less than what was evaluated and disclosed by the GPU EIR. Further, the project has been designed to exceed Title 24 energy efficiency standards.

The project applicant has committed to Zero Net electricity through the purchase of electricity that is generated from 100% renewable energy from RCMU, as available. There are also no unusual project characteristics or construction processes that would require the use of equipment that would be more energy intensive than what is used for comparable activities, or equipment that would not conform to current emissions standards. Therefore, construction- related energy demand would not exceed what was anticipated in the GPU EIR.

There are no impacts that are peculiar to the project site; there are no direct or cumulatively considerable impacts of the proposed project that were not already evaluated by the GPU EIR; and there are no new or more severe impacts to the environment beyond what was previously evaluated and disclosed by the GPU EIR.

Greenhouse Gas (GHG) Emissions
The City’s Climate Action Plan (CAP) was prepared consistent with the standards of CEQA Guidelines Section 15183.5 and is a qualified GHG emissions reduction plan. Projects that comply with the CAP, as determined through completion of the CAP Consistent Review Checklist, may rely on the CAP for the analysis of cumulative GHG emissions impacts as part of the CEQA process. The project has been reviewed for consistency with CAP through completion of the CAP Consistency Review Checklist. Therefore, the project’s GHG emissions would not be cumulatively considerable.

In addition, the Compliance Memo prepared for the project analyzes the project’s consistency with the 2017 Scoping Plan Update, which reflects the State 2030 reduction target. The project would not conflict with any of the provisions of the Scoping Plan Update and would be subject to any regulations adopted. The project would be consistent with the CARB 2017 Scoping Plan Update, and therefore also would be considered consistent with the GHG reduction mandates specified by SB 32.

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The failure of the GPU to meet the State’s long-term GHG emissions reduction goals in 2050 is the basis for the significant and unavoidable impact conclusion presented in the GPU EIR and associated statement of overriding considerations. With respect to the project, no further analysis is necessary or required by CEQA as it pertains to future year GHG reduction targets because the project’s horizon (buildout) year is anticipated to occur in 2024. Because the project’s opening year would be 2024, the project’s GHG emissions are instead evaluated against the 2030 reduction requirements set forth by Executive Order S-3-05 and SB 32, which the City’s General Plan and CAP achieves.

Staff has reviewed the appellant’s comments and the applicant’s responses and determined that the CEQA Section Compliance Memorandum dated March 22, 2022, adequately addresses all CEQA requirements. No further environmental review for the project is necessary. Staff recommends that the City Council deny the appeal and uphold the Planning Commission decision to approve Design Review DRC2021-00120 and Tentative Tract Map 20120.

FISCAL IMPACT:

The applicant has submitted a Fiscal Impact Analysis prepared by the Development Planning & Financing Group (DPFG), dated March 29, 2022. The Fiscal Impact Analysis concluded that the project would produce an annual recurring surplus to the General Fund in the amount of $246,000.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

The proposed mixed-use development will help achieve the City Council Core Values of providing and nurturing a high-quality life for all, promoting and enhancing a safe and healthy community for all, and a continuous pursuit of improvement. It is the City Council’s vision to make Foothill Boulevard the City’s mixed-use corridor, featuring a variety of urban developments that will enable a vibrant, walkable neighborhood that residents, workers, and visitors can enjoy. The proposed mixed-use project fits in this vision.

ATTACHMENTS:

Attachment 1 – Planning Commission Staff Report with Exhibits Attachment 2 – Planning Commission Resolutions 22-10, 22-11 and 22-12 Attachment 3 – Lozeau Drury, LLP Appeal Letter dated May 6, 2022 Attachment 4 – Applicant Response Letter dated April 27, 2022 Attachment 5 – City Council Resolution 2022-075

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DAT
E: April 27, 2022
TO: Chairman and Members of the Planning Commission
FROM: Matthew R. Burris, AICP, Deputy City Manager – Community and Economic Development/Interim Planning Director
INITIATED BY: Vincent Acuna, Associate Planner
SUBJECT: LOCATED AT THE NORTHWEST CORNER OF FOOTHILL BOULEVARD AND MILLIKEN AVENUE - WDCC MILLIKEN WEST RESIDENTIAL, LLC - A request to establish a Master Plan and construct a mixed-use development comprising of 671 apartments and 20,841 square feet of commercial space within the Mixed-Use Urban Corridor (MU-UCR) District, APNs: 1077-422-51, -55, -98, -99, 1090-121- 38, and -39. (Design Review DRC2021- 00120, Tentative Tract Map 20120 (SUBTT00024), and Master Plan DRC2022-00074)
RECO
MMENDATION:

Staff recommends the Planning Commission take the following action:
x Approve Design Review DRC2021-00120 and Tentative Tract Map 20120 (SUBTT00024) through the adoption of the attached Resolution of Approval with Conditions. x Recommend to City Council the approval of Master Plan DRC2022-00074 through the adoption of the attached Resolution of Approval with Conditions.

EXECUTIVE SUMMARY:

A request to establish a Master Plan and construct a mixed-use development with 671 apartment units and 20,841 square feet of commercial space on a 17.2-acre site.

BACKGROUND:

The 17.2-acre project site is located at the northwest corner of Foothill Boulevard and Milliken Avenue and is zoned Mixed-Use Urban Corridor (MU-UCR) District. The project site covers approximately three-fourths of the city block bordered by Elm Avenue to the west, Milliken Avenue to the east, Church Street to the north, and Foothill Boulevard to the south (Exhibit A - Aerial). The project site is “L” shaped with frontages along Elm Avenue, Church Street, Milliken Avenue, and Foothill Boulevard, interrupted only by an existing shopping center located at the northeast corner of Elm Avenue and Foothill Boulevard. The site slopes from north to south and is covered by low vegetation.

The existing Land Use, General Plan and Zoning Designations for the project site and adjacent properties are as follows:

Land Use General Plan Zoning
Site Vacant City Corridor High Mixed Use - Urban Corridor (MU-UCR) District North Multifamily Residential Suburban
Neighborhood Moderate Medium High (MH) Residential District 1 South Commercial/Retail Pad
Buildin
gs/Uses City Corridor High Financial, Restaurants, Residential (MFC) District
1,2
Attachment 1

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f 7
PRO
JECT ANALYSIS:

A. Overview and Site Layout: The project has a propos ed density of 39 dwelling units per acre, meeting the density range of 36 to 60 dwelling units per acre required by the City Corridor High General Plan Designation.

Two interior streets running north to south and east to west split the project into four areas, creating a block network within the site (Exhibit B – Detailed Site and Landscape Plan). A description of what is proposed for each block/
quadrant as well as the project’s interior streets are outlined below:
i.) Interior Streets
Two interior streets running north to south and east to west are proposed within the project site. The north-south interior street runs from Church Street and connects to an existing driveway leading to Foothill Boulevard. The east-west interior street runs from Milliken Avenue and connects to an existing driveway leading to Elm Avenue. These interior streets are designed with the look, feel, and function of neighborhood streets to help create an urban environment that is envisioned by the General Plan. The urban environment is enhanced further with proper building placement along the streets, “on-street” angled parking, and appropriate landscape features. The interior streets intersect toward the center of the project, creating a balanced circulation pattern throughout the site. ii.) Northwest and Northeast
These two blocks are primarily comprised of 3-story walk-up apartments with entrances oriented either toward the project boundaries abutting public streets or the interior streets within the site. Stand-alone garages, surface parking areas, and trash enclosures are plotted within the interior of these two blocks, screening these facilities from public view.
iii.) Southwest
A clubhouse, pool, and dog park occupy this block. The clubhouse contains the leasing office, fitness center, and multi-purpose room. The clubhouse building is oriented towards the project’s two interior streets. The southern portion of block abuts a parking area for an existing shopping center. iv.) Southeast
This block contains a four-story “wrap” building, where residential and commercial units wrap around an above-ground parking structure. All 20,841 square feet of commercial and restaurant space proposed for the project is contained within the Foothill Boulevard ground frontage of the wrap building. As such, a small surface parking lot is proposed west of the wrap building, primarily servicing the commercial spaces.

Building entrances are proposed along all four sides of the building for pedestrians, while vehicle entrances to the parking structure are available al ong the west and north elevation. The wrap building “anchors” the project site with great building placement along Foothill Boulevard and Milliken Avenue.

The wrap building’s setback ranges from 0 feet to 20 feet from the property line along Foothill Boulevard, creating a significant architectural presence at a primary intersection in the city. The setback range also allows opportunity for enhanced sidewalk widths and outdoor dining/gathering space to support the ground-floor commercial and encourage a walkable environment.

B. Architecture: All buildings within the project site are designed in the modern interpretation of th e classic
American farmhouse. Design elements that reinforce the farmhouse architecture include batten board siding, cor
rugated metal awnings, wood railings, sloped roofs, and a primarily white and gray color scheme .

Shopping Center Industrial Park (IP) District3
East Hospital (part) City Corridor High Hospital and Related Facilities, Office (MHO) District
1 Vacant (part)
West Shopping Center Cit y Corridor High Community Commercial (CC) District 1 1 – Terra Vista Planned Community; 2 – north of Foothill Boulevard; 3 – south of Foothill Boulevard

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Contemporary architectural elements such as horizontal wood siding, stucco, flat roofs, large windows, and horizontal metal beams are also incorporated into the buildings, giving the farmhouse design a modern appearance. All building materials are carried to all elevations. Horizontal articulation along the building planes as well as vertical articulation on rooflines breaks down the building massing and creates architectural interest (Exhibit C – Elevations, Unit Plans, and Renderings).

The ground floor commercial frontages on the south side of the wrap building (facing Foothill Boulevard) are treated with a variety of architectural elements that blend the farmhouse and modern styles together (Exhibit D – Partial Foothill Elevation). Elements such as corrugated metal awnings and eyebrow canopies placed at different heights and distances from the curb, further enhance the overall architecture by creating visual interest and variation at the storefronts. Additionally, the commercial space is designed with a ceiling height of roughly 16 feet to accommodate a range of commercial uses, as required by the General Plan.

C. Unit Composition and Floor Plans: All residential units will be housed in either 3-story walk-ups on the northeast and northwest portions of the site, or within the 4-story wrap building at the site’s southeast corner.

A total of 323 and 348 units will be located within the 3-story walk-ups and the 4-story wrap building, respectively, with the project providing a grand total of 671 apartments. Studios range in size from 488 to 659 square feet, while 1-bedroom units range from 634 to 1,004 square feet. 2-bedroom units range from 933 to 1,261 square feet. Additionally, 20,841 square feet of ground floor commercial space is located along the 4-story wrap building’s Foothill Boulevard frontage. The table below summarizes the unit composition for both the 3-story walk-ups and the 4-story wrap building.

UNIT SUMMARY
Residential
Unit Type 3-Story Walk-Up 4-Story Wrap Total
-Studio 84 units 33 units 117 units
-1 Bedroom 153 units 194 units 347 units
-2 Bedroom 86 units 121 units 207 units
TOTAL 323 units 348 units 671 units
Commercial
-Commercial (SF) N/A 20,841 20,841

D. Recreation Amenities: The project provides 10 active residential amenities. Resident amenities include two pool/spa areas, an indoor gym, a community multi-purpose room with kitchen, an enclosed dog park with separate areas for small and large dogs, an observation deck, outdoor exercise area, outdoor gaming area, eight BBQ grill areas, and an enclosed children’s play area (Exhibit E – Overall Landscape Plan and Amenity Details).

E. Fencing and Access: Most of the project site is ungat ed and is therefore publicly accessible by foot or by car. Vehicular entrances and sidewalks to the project’ s two interior streets from Church Street, Foothill Boulevard, Elm Avenue, and Milliken Avenue are ungated. There are three pedestrian gates/fences that control access to the two clubhouse/pool areas and the fitness courtyard within the wrap building. The only vehicular gate on the property is utilized to separate the upper levels of the wrap building parking structure that is designated for residents from the first story of the parking structure that is primarily dedicated to commercial uses (Exhibit F – Wall and Fence Plan).

F. Master Plan and Proposed Development Standards: One of the objectives of a Master Plan is to allow for the coordinated comprehensive planning of a subarea of t he city in order to allow the development of an exceptional project design that cannot be built under an existing zoning district or due to constraints of existing development standards. The project includes a Master Plan application (Master Plan 2022-00074)

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which proposes a site-specific set of development standards (Exhibit G – Harvest at Terra Vista Master Plan).

These standards are meant to accommodate a well-balanced, functional, and highly walkable public realm within and around the project. The master plan is also intended to enable the development of two primary building types (3-story walk-ups and the 4-story wr ap building). The table below lists the development standards proposed with Master Plan Master Plan 2022-00074.

PROPOSED SITE-SPECIFIC DEVELOPMENT STANDARDS
Development Standard Proposed
Density (dwelling units/acre) 36 DU/AC
Front Setback1 - Foothill Boulevard 0’ to 23’
Front Setback1 – Milliken Avenue 12’ to 20’
Front Setback1 – Church Street 15’ to 23’
Front Setback1 – Elm Avenue 10’ to 15’
Front Setback1 - Interior Streets
(Applicable to all building frontages facing interior streets) 5’ to 7’ Interior Setback
(West property line facing adjacent shopping center) 124’ Interior Setback
(South property line facing adjacent shopping center) 56’ Distance Between Buildings Per Building Code
Building Height – Walk-Ups 3 Stories
Building Height – Wrap Building 4 Stories
Landscape Area
(Overall net area) Min. 10%
Open Space Min. 150 SF/unit (100,650 SF)
Parking RCMC Chapter 17.64 (see below)
1 – Measured from Property Line. For interior streets, property line is generally at the inside edge of the adjacent sidewalk (public right-of-way)

G. Walkability: The project provides a complete pedestrian network, with sidewalks provided on both sides of all interior streets and along the project perimeter. Sidewalks along the interior streets are proposed to be 5 feet in width, while sidewalks along the project perimeter adjacent to public streets are 8 to 10 feet wide, allowing adequate space for pedestrian activity (Exhibit H – Walkway Circulation Plan). The proposed pedestrian routes are dotted with linear parks, seating areas, and landscaping, and uninterrupted by blank expanses or parking lots, resulting in an attractive walking environment. All front facades and building entrances are oriented towards streets/sidewalks, helping create a safe and active streetscape.

H. Parking: The project’s master plan is designed to mirror the City’s current parking requirements as described in Section 17.64 of the Development Code. Based on all proposed uses on site, the project is required to provide 1,468 parking stalls, 671 of which are required to be in a garage or carport. Required parking includes tenant and visitor parking for the residential portion of the project, as well as parking for all commercial spaces. The project provides 1,468 parking stalls, 942 of which are covered, meeting the parking requirement (Exhibit I – Parking Plan). In order to ensure that on-site parking is properly managed, the applicant has provided a Parking Management Plan (Exhibit J – Parking Management Plan). This Parking Management Plan outlines how residential, guest, and commercial parking spaces are assigned, and details enforcement actions that apartment management can take in response to any potential parking violations. The following parking analysis table provides a breakdown of the required and provided parking spaces on-site.

PARKING ANALYSIS
Number
of Units
Square
Footage Parking Ratio Required
Parking

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Multi-Family unit
(studio) 117 N/A 1.3 per unit
(1 in garage or carport) 152
Multi-family unit
(One bedroom) 347 N/A 1.5 per unit
(1 in garage or carport) 521
Multi-family unit
(Two bedrooms) 207 N/A 2 per unit
(1 in garage or carport) 414
Visitor parking 671 N/A 1 per 3 units 224
Commercial (Retail) N/A 8,590 4 per 1000 square feet 34 Commercial
(Restaurant) N/A 12,251 10 per 1000 square feet 123
Total Parking Spaces Required 1,468
Total Parking Spaces Provided 1,468
Total Covered Parking Spaces Required/Provided 671/942

I. Tentative Map: The project includes the subdivision of the project site into four (4) numbered lots for condominium purposes, for the development of 671 apartments and 20,841 square feet of commercial space (Exhibit K – Tentative Map 20120). Each lot will help facilitate construction, circulation, and other components of the project.

J. Public Art: This project is required to provide pub lic art as outlined in Chapter 17.124 of the Development Code. Based on the number of residential units and commercial square footage for this project, the total art value required per Section 17.124.020.C. is $524,091. A condition has been included pursuant to the Development Code that requires the public art requirement to be met prior to occupancy.

K. Design Review Committee: The project was review ed by the Design Review Committee (Williams, Morales) on March 15, 2022. The Committee recommended approval of the project to the full Planning Commission.

This is reflected in the in the Design Review Committee Comments (Exhibit L – DRC Minutes dated March 15, 2022).

L. General Plan Consistency: The General Plan designations are centered around four primary components:

Land Use and Development Intensity, Built Form and Character, Access and Connectivity, and Parks and Open Space. The project is located in the Corridor High designation of the General Plan, which is intended to provide for medium to high intensity developments along Foothill Boulevard that include a range of amenities, conveniences, housing options, and more at the edges of many existing and future neighborhoods.

The project has been well-designed to align with the Corridor High designation. The project proposes a density of 39 units per acre, which falls within the expected range of the Corridor High designation of 36-60 units per acre. The proposed site plan includes proper building placement near the sidewalks with proper orientation to exterior or interior streets to accommodate active frontages and ground floor uses. The strategic placement of the buildings forms strong circulati on patterns and streetscapes, helping create the desired urban character of the Corridor. The project site also has the benefit of street frontage on four sides and has taken advantage of those frontages to provide easy access and strong connectivity. The site is divided into quadrants, using privately owned streets to create walkable blocks in and throughout the project site. While the streets are privately owned, they will be public accessible and designed to look, feel, and function like public streets, as envisioned by the General Plan.

CEQA DETERMINATION:

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GPU, the Project site was designated for “City Corri dor – High” land uses, whic h allows for residential development at densities ranging from 36 to 60 dwelling units per acre (du/ac) and non-residential development at a Floor Area Ratio (FAR) ranging from 0.6 to 1.5. According to Section 15168 of the CEQA Guidelines, a Program EIR may be prepared on a series of actions that can be characterized as one large project. Use of a Program EIR gives the Lead Agency an opportunity to co nsider broad policy alternatives and program-wide mitigation measures, as well as greater flexibility to address project-specific and cumulative environmental impacts on a comprehensive scale.

Pursuant to Section 15183(c) of the State CEQA Guidelines, “if an impact is not peculiar to the parcel or to the project, has been addressed as a significant effect in the prior EIR, or can be substantially mitigated by the imposition of uniformly applied development policies or standards…then an additional EIR need not be prepared for the project solely on the basis of that impact.” The 17.2-acre property is designated by the City’s General Plan for “City Corridor – High” land uses. The GPU EIR assumed the Project site would be developed with 722 multi-family residential dwelling units and 337,154 square feet of commercial retail land uses. The proposed Project is fully consistent with the site’s GPU land us e designation of “City Corridor – High” and would be consistent with all applicable GPU policies. Therefore, no subsequent or supplemental EIR is required for the proposed project.

To demonstrate that no subsequent EIR or environmental review is required, a CEQA Section 15183 Compliance Memorandum dated March 22, 2022, was prepared by T & B Planning (Exhibit M – CEQA Section 15183 Compliance Memorandum). Staff evaluated this memorandum and concluded that the project is within the scope of the EIR adopted and certified as part of the City’s GPU on December 15, 2021. The project will not have one or more significant effects not discussed in the GPU EIR, nor have more severe effects than previously analyzed, and that additional or different mitigation measures are not required to reduce the impacts of the project to a level of less than significant.

CORRESPONDENCE:

This item was advertised as a public hearing with a regular legal advertisement in the Inland Valley Daily Bulletin newspaper, the property was posted, and notices were mailed to all property owners within a 660-foot radius of the project site. To date, no written correspondence, phone calls, or in person inquiries have been received regarding the project notifications.

COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:

It is the City Council’s vision to make Foothill Boulevard the City’s mixed-use corridor, featuring a variety of urban developments that will enable a vibrant, walkable neighborhood that residents, workers, and visitors can enjoy.

The proposed mixed-use development fits in this vision by developing a block of this mixed-use corridor.

EXHIBITS:

Exhibit A - Aerial
Exhibit B - Detailed Site and Landscape Plan
Exhibit C - Elevations, Unit Plans, and Renderings
Exhibit D - Partial Foothill Elevation
Exhibit E - Overall Landscape Plan and Amenity Details
Exhibit F - Wall and Fence Plan
Exhibit G - Harvest at Terra Vista Master Plan
Exhibit H - Walkway Circulation Plan
Exhibit I - Parking Plan
Exhibit J - Parking Management Plan
Exhibit K - Tentative Map 20120
Exhibit L - Draft DRC Minutes dated March 15, 2022
Exhibit M - CEQA Section 15183 Compliance Memorandum

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Exhibit N - Draft Resolutions of Approval 22-12 TTM Harvest Exhibit O - Draft Resolutions of Approval 22-11 DR Harvest Exhibit P - Draft Resolutions of Approval 22-10 MP Harvest Exhibit Q - Conditions of Approval
Exhibit R - Statement of Agreement

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FOOTHILL BOULEVARD

ELM STREET

MILLIKEN
AVENUE
600'
600'
600'
600'
600'
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MADOLE & ASSOCIATES, INC.

CONSULTING CIVIL ENGINEERS,

PLANNERS AND SURVEYORS
9302 PITTSBURGH AVENUE, SUITE 230
RANCHO CUCAMONGA, CA 91730
CONTACT: MARK BERTONE
(909) 481-6322 ext. 120
Email: [email protected]

AO ARCHITECTS
144 NORTH ORANGE ST
ORANGE, CA 92866
CONTACT: IOANNA MAGIATI
(714) 639-9860
Email:[email protected]
1156 N. MOUNTAIN AVE
UPLAND, CA. 91786
CONTACT: BRIAN JACOBSON
(909) 579-1214 OFFICE
Email: [email protected]
SITESCAPES, INC.
3190 B-2 AIRPORT LOOP DRIVE
COSTA MESA, CA. 92626
CONTACT: RICK POLHAMUS
(949) 644-9370
Email: [email protected]

WDCC MILLIKEN WEST RESIDENTIAL, LLC
NTS

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Rancho Cucamonga City CouncilJune 15, 2022

Rancho Cucamonga City Council
June 15, 2022