Rancho Cucamonga City Council
February 19, 2025

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The parties further agree that compensation may be adjusted in accordance with Section 1.2 to reflect subsequent changes to the Scope of Services. City shall compensate Consultant for any authorized extra services as set forth in Exhibit A.

4. Method of Payment.

4.1 Invoices . Consultant shall submit to City monthly invoices for the Services performed pursuant to this Agreement. The invoices shall describe in detail the Services rendered during the period and shall separately describe any authorized extra services. Any invoice claiming compensation for extra services shall include appropriate documentation of prior authorization of such services. All invoices shall be remitted to the City of Rancho Cucamonga, California.

4.2 City shall review such invoices and notify Consultant in writing within ten (10) business days of any disputed amounts.

4.3 City shall pay all undisputed portions of the invoice within thirty (30) calendar days after receipt of the invoice up to the not-to-exceed amounts set forth in Section 3.

4.4 All records, invoices, time cards, cost control sheets and other records maintained by Consultant relating to services hereunder shall be available for review and audit by the City.

5. Representatives.

5.1 City Representative . For the purposes of this Agreement, the contract administrator and City’s representative shall be Shelly Munson, or such other person as designated in writing by the City (“City Representative”). It shall be Consultant’s responsibility to assure that the City Representative is kept informed of the progress of the performance of the services, and Consultant shall refer any decisions that must be made by City to the City Representative. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the City Representative.

5.2 C
onsultant Representative. For the purposes of this Agreement, Tom Walsh is hereby designated as the principal and representative of Consultant authorized to act in its behalf with respect to the services specified herein and make all decisions in connection therewith (“Consultant’s Representative”). It is expressly understood that the experience, knowledge, capability and reputation of the Consultant’s Representative were a substantial inducement for City to enter into this Agreement.

Therefore, the Consultant’s Representative shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. Consultant may not change the Responsible Principal without the prior written approval of City.

6. Consultant’s Personnel.

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6.1 All Services shall be performed by Consultant or under Consultant’s direct supervision, and all personnel shall possess the qualifications, permits, and licenses required by State and local law to perform such Services, including, without limitation, a City business license as required by the City’s Municipal Code.

6.2 Consultant shall be solely responsible for the satisfactory work performance of all personnel engaged in performing the Services and compliance with the standard of care set forth in Section 1.4.

6.3 Consultant shall be responsible for payment of all employees’ and subcontractors’ wages and benefits, and shall comply with all requirements pertaining to employer’s liability, workers’ compensation, unemployment insurance, and Social Security. By its execution of this Agreement,
Consultant certifies that it is aware of the
provisions of Section 3700 of the California Labor Code that require every employer to be insured against liability for Worker's Compensation or to undertake self -insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.

6.4 Consultant shall indemnify, defend and hold harmless City and its elected officials, officers and employees, servants, designated volunteers, and agents serving as independent contractors in the role of city or agency officials, from any and all liability, damages, claims, costs and expenses of any nature to the extent arising from Consultant’s violations of personnel practices and/or any violation of the California Labor Code. City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this Section 6.

7. Ownership of Work Product.

7.1 Ownership. All documents, ideas, concepts, electronic files, drawings, photographs and any and all other writings, including drafts thereof, prepared, created or provided by Consultant in the course of performing the Services, including any and all intellectual and proprietary rights arising from the creation of the same (collectively, “Work Product”), are considered to be “works made for hire” for the benefit of the City. Upon payment being made, and provided Consultant is not in breach of this Agreement, all Work Product shall be and remain the property of City without restriction or limitation upon its use or dissemination by City. Basic survey notes, sketches, charts, computations and similar data prepared or obtained by Consultant under this Agreement shall, upon request, be made available to City. None of the Work Product shall be the subject of any common law or statutory copyright or copyright application by Consultant. In the event of the return of any of the Work Product to Consultant or its representative, Consultant shall be responsible for its safe return to City. Under no circumstances shall Consultant fail to deliver any draft or final designs, plans, drawings, reports or specifications to City upon written demand by City for their delivery, notwithstanding any disputes between Consultant and City concerning payment, performance of the contract, or otherwise. This covenant shall survive the termination of

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this Agreement. City’s reuse of the Work Product for any purpose other than the Project, shall be at City’s sole risk.

7.2. Assignment of Intellectual Property Interests: Upon execution of this Agreement and to the extent not otherwise conveyed to City by Section 7.1, above, the Consultant shall be deemed to grant and assign to City, and shall require all of its subcontractors to assign to City, all ownership rights, and all common law and statutory copyrights, trademarks, and other intellectual and proprietary property rights relating to the Work Product and the Project itself, and Consultant shall disclaim and retain no rights whatsoever as to any of the Work Product, to the maximum extent permitted by law.

City shall be entitled to utilize the Work Product for any and all purposes, including but not limited to constructing, using, maintaining, altering, adding to, restoring, rebuilding and publicizing the Project or any aspect of the Project.

7.3 Title to Intellectual Property . Consultant warrants and represents that it has secured all necessary licenses, consents or approvals to use any instrumentality, thing or component as to which any intellectual property right exists, including computer software, used in the rendering of the Services and the production of the Work Product and/or materials produced under this Agreement, and that City has full legal title to and the right to reproduce any of the Work Product. Consultant shall defend, indemnify and hold City, and its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of city officials, harmless from any loss, claim or liability in any way related to a claim that City’s use is violating federal, state or local laws, or any contractual provisions, relating to trade names, licenses, franchises, patents or other means of protecting intellectual property rights and/or interests in products or inventions.

Consultant shall bear all costs arising from the use of patented, copyrighted, trade secret or trademarked documents, materials, software, equipment, devices or processes used or incorporated in the Services and materials produced under this Agreement. In the event City’s use of any of the Work Product is held to constitute an infringement and any use thereof is enjoined, Consultant, at its expense, shall: (a) secure for City the right to continue using the Work Product by suspension of any injunction or by procuring a license or licenses for City; or (b) modify the Work Product so that it becomes non- infringing. This covenant shall survive the termination of this Agreement.

8. Status as Independent Contractor . Consultant is, and shall at all times remain as to City, a wholly independent contractor. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise act as an agent of City. Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees, except as set forth in this Agreement. Consultant shall not, at any time, or in any manner, represent that it or any of its officers, agents or employees are in any manner employees of City. Consultant shall pay all required taxes on amounts paid to Consultant under this Agreement, and to defend, indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement.

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Consultant shall fully comply with the workers’ compensation law regarding Consultant and Consultant’s employees.

9. Confidentiality. Consultant may have access to financial, accounting, statistical, and personnel data of individuals and City employees. Consultant covenants that all data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are confidential and shall not be disclosed by Consultant without prior written authorization by City. City shall grant such authorization if applicable law requires disclosure. All City data shall be returned to City upon the termination of this Agreement. Consultant’s covenant under this section shall survive the termination of this Agreement. This provision shall not apply to information in whatever form that is in the public domain, nor shall it restrict the Consultant from giving notices required by law or complying with an order to provide information or data when such an order is issued by a court, administrative agency or other legitimate authority, or if disclosure is otherwise permitted by law and reasonably necessary for the Consultant to defend itself from any legal action or claim.

10. Conflict of Interest.

10.1 Consultant covenants that it presently has no interest and shall not acquire any interest, direct or indirect, which may be affected by the Services, or which would conflict in any manner with the performance of the Services. Consultant further covenants that, in performance of this Agreement, no person having any such interest shall be employed by it. Furthermore, Consultant shall avoid the appearance of having any interest, which would conflict in any manner with the performance of the Services.

Consultant shall not accept any employment or representation during the term of this Agreement which is or may likely make Consultant “financially interested” (as provided in California Government Code §§1090 and 87100) in any decision made by City on any matter in connection with which Consultant has been retained.

10.2 Consultant further represents that it has not employed or retained any person or entity, other than a bona fide employee working exclusively for Consultant, to solicit or obtain this Agreement. Consultant has not paid or agreed to pay any person or entity, other than a bona fide employee working exclusively for Consultant, any fee, commission, gift, percentage, or any other consideration contingent upon the execution of this Agreement. Upon any breach or violation of this warranty, City shall have the right, at its sole and absolute discretion, to terminate this Agreement without further liability, or to deduct from any sums payable to Consultant hereunder the full amount or value of any such fee, commission, percentage or gift.

10.3 Consultant has no knowledge that any officer or employee of City has any interest, whether contractual, noncontractual, financial, proprietary, or otherwise, in this transaction or in the business of Consultant, and that if any such interest comes to the knowledge of Consultant at any time during the term of this Agreement, Consultant shall immediately make a complete, written disclosure of such interest to City, even if such interest would not be deemed a prohibited “conflict of interest” under applicable laws as described in subsection 10.1.

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11. Indemnification.

11.1 Professional Services. In connection with its professional services, the Consultant shall defend, hold harmless and indemnify City, and its elected officials, officers, employees, servants, volunteers, and agents serving as independent contractors in the role of city or agency officials, (collectively, “Indemnitees”), with respect to any and all damages, liabilities, losses, reasonable defense costs or expenses (collectively, “Claims”), including but not limited to liability for death or injury to any person and injury to any property, to the extent the same out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the Consultant or any of its officers, employees, subcontractors, consultants, or agents in the performance of its professional services under this Agreement. Consultant shall reimburse all reasonable defense costs and expenses, including actual attorney’s fees and experts’ costs incurred in connection with such defense.

11.2 O
ther Indemnities . In connection with all Claims not covered by Section 11.1, the Consultant shall defend, hold harmless and indemnify the Indemnitees with respect to any and all Claims including but not limited to Claims relating to death or injury to any person and injury to any property, which arise out of, pertain to, or relate to the non-professional acts, omissions, activities or operations of Consultant or any of its officers, employees, subcontractors, consultants, or agents in the performance of this Agreement. Consultant shall defend Indemnitees in any action or actions filed in connection with any such Claims with counsel of City’s choice, and shall pay all costs and expenses, including actual attorney’s fees and experts’ costs incurred in connection with such defense.

11.3 N
onwaiver of Rights. Indemnitees do not, and shall not, waive any rights that they may possess against Consultant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Agreement.

11.4 W
aiver of Right of Subrogation. Except as otherwise expressly provided in this Agreement, Consultant, on behalf of itself and all parties claiming under or through it, hereby waives all rights of subrogation against the Indemnitees, while acting within the scope of their duties, from all claims, losses and liabilities arising out of or incident to activities or operations performed by or on behalf of the Consultant.

11.5 S
urvival . The provisions of this Section 11 shall survive the termination of the Agreement and are in addition to any other rights or remedies which Indemnitees may have under the law. Payment is not required as a condition precedent to an Indemnitee’s right to recover under this indemnity provision, and an entry of judgment against Consultant shall be conclusive in favor of the Indemnitee’s right to recover under this indemnity provision.

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12. Insurance.

12.1 Liability Insurance. Consultant shall procure and maintain in full force and effect for the duration of this Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the services hereunder by Consultant, and/or its agents, representatives, employees and subcontractors.

12.2 M
inimum Scope of Insurance. Unless otherwise approved by City, coverage shall be at least as broad as:
(1) Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001).
(2) Insurance Services Office form number CA 0001 (Ed.
1/87) covering Automobile Liability, code 1 (any auto). (3) Worker’s Compensation insurance as required by the State of California, and Employer’s Liability Insurance.
(4) Technology Professional Liability Errors &
Omissions policy to include Cyber coverage unless Cyber coverage is in the Crime policy.

(5) Professional Liability insurance in a form approved by the City, having an extended reporting period of not less than three (3) years; or Professional Liability insurance shall be maintained for a period of three (3) years after completion of the Services which shall, during the entire three (3) year period, provide protection against claims of professional negligence arising out of Consultant’s performance of the Services and otherwise complying with all applicable
provisions of this Section 13. Either policy shall be endorsed to include contractual liability to the extent insurable.

12.3 Minimum Limits of Insurance. Consultant shall maintain limits no less than:
(1) Commercial General Liability: $2,000,000 per occurrence for bodily injury, personal injury and property damage.

Commercial General Liability Insurance with a general
aggregate limit shall apply separately to this Agreement or the general limit shall be twice the required occurrence limit.

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(2) Automobile Liability: $2,000,000 per accident for bodily injury and property damage.
(3) Employer’s Liability: $1,000,000 per accident and in the aggregate for bodily injury or disease and Workers’
Compensation Insurance in the amount required by law.
(4) Technology Professional Liability Errors &
Omissions policy to include Cyber coverage unless Cyber coverage is in the Crime policy with a limit of no less than $2,000,000 per occurrence.
(5) Professional Liability: $1,000,000 per claim/aggregate.

12.4 Deductibles and Self-Insured Retentions. Any deductibles or self - insured retentions must be declared to and approved by the City.

12.5 O ther Insurance Provisions.
(1) The commercial general liability and automobile liability policies are to contain the following provisions on a
separate additionally insured endorsement naming the City, its officers, officials, employees, designated volunteers and agents serving as independent contractors in the role of city or agency officials, are to be covered as additional insureds as respects: liability arising out of activities performed by or on behalf of Consultant; products and completed
operations of Consultant; premises owned, occupied or
used by Consultant; and/or automobiles owned, leased,
hired or borrowed by Consultant. The coverage shall
contain no limitations on the scope of protection afforded to City, its officers, officials, employees, designated volunteers or agents serving as independent contractors in the role of City or agency officials which are not also limitations applicable to the named insured.
(2) For any claims related to this Agreement, Consultant’s insurance coverage shall be primary insurance as respects City, its officers, officials, employees, designated
volunteers and agents serving as independent contractors in the role of city or agency officials. Any insurance or self - insurance maintained by City, their officers, officials, employees, designated volunteers or agents serving as
independent contractors in the role of city or agency
officials shall be excess of Consultant’s insurance and shall not contribute with it.

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(3) Consultant’s insurance shall apply separately to each insured against whom claim is made or suit is brought,
except with respect to the limits of the insurer’s liability. (4) Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled except after 30 days prior written notice by first class mail has been given to City (ten (10) days prior written notice for non-payment of premium). Consultant shall provide thirty (30) days written notice to City prior to implementation of a reduction of limits or material change of insurance
coverage as specified herein.

(5) Each insurance policy, required by this clause shall expressly waive the insurer’s right of subrogation against City and its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of city or agency
officials.
(6) Be issued by an insurance company approved in writing by City, which is admitted and licensed to do business in the State of California and which is rated A:VII or better according t o the most recent A.M. Best Co. Rating
Guide.

(7) Specify that any failure to comply with reporting or other provisions of the required policy, including breaches of warranty, shall not affect the coverage required to be
provided.

(8) Specify that any and all costs of adjusting and/or defending any claim against any insured, including court costs and attorneys' fees, shall be paid in addition to and shall not deplete any policy limits.

(9) Other required insurance, endorsements, or exclusions as required by the City in any request for proposals applicable to this Agreement.

12.6 Evidence of coverage. Prior to commencing performance under this Agreement, the Consultant shall furnish the City with certificates and original endorsements, or copies of each required policy, effecting and evidencing the insurance coverage required by this Agreement. The endorsements shall be signed by a person authorized by the insurer(s) to bind coverage on its behalf. All endorsements or policies shall be received and approved by the City before Consultant commences performance.

If performance of this Agreement shall extend beyond one year, Consultant shall provide

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City with the required policies or endorsements evidencing renewal of the required policies of insurance prior to the expiration of any required policies of insurance.

13. Cooperation. In the event any claim or action is brought against City relating to Consultant’s performance or services rendered under this Agreement, Consultant shall render any reasonable assistance and cooperation that City might require. City shall compensate Consultant for any litigation support services in an amount to be agreed upon by the parties.

14. Termination. City shall have the right to terminate this Agreement at any time for any or no reason on not less than ten (10) days prior written notice to Consultant. In the event City exercises its right to terminate this Agreement, City shall pay Consultant for any services satisfactorily rendered prior to the effective date of the termination, provided Consultant is not then in breach of this Agreement. Consultant shall have no other claim against City by reason of such termination, including any claim for compensation. City may terminate for cause following a default remaining uncured more than five (5) business days after service of a notice to cure on the breaching party.

Consultant may terminate this Agreement for cause upon giving the City ten (10) business days prior written notice for any of the following: (1) uncured breach by the City of any material term of this Agreement, including but not limited to Payment Terms; (2) material changes in the conditions under which this Agreement was entered into, coupled with the failure of the parties to reach accord on the fees and charges for any Additional Services required because of such changes.

15. Notices. Any notices, bills, invoices, or reports authorized or required by this Agreement shall be in writing and shall be deemed received on (a) the day of delivery if delivered by hand or overnight courier service during Consultant’s and City’s regular business hours; or (b) on the third business day following deposit in the United States mail, postage prepaid, to the addresses set forth in this section, or to such other addresses as the parties may, from time to time, designate in writing pursuant to the provisions of this section.

All notices shall be addressed as follows:

If to City:

City of Rancho Cucamonga
Attn: Shelly Munson
10500 Civic Center Dr.

Rancho Cucamonga, CA 91730
If to Consultant:

Media Control Systems, Inc.

Attn: Tom Walsh
1654 Pioneer Way,
El Cajon, CA 92020

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16. Non-Discrimination and Equal Employment Opportunity. In the performance of this Agreement, Consultant shall not discriminate against any employee, subcontractor, or applicant for employment because of race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation. Consultant will take affirmative action to ensure that subcontractors and applicants are employed, and that employees are treated during employment, without regard to their race, color, creed, religion, sex, marital status, national origin, ancestry, age, physical or mental handicap, medical condition, or sexual orientation.

17. Assignment and Subcontracting. Consultant shall not assign or transfer any interest in this Agreement or subcontract the performance of any of Consultant’s obligations hereunder without City’s prior written consent. Except as provided herein, any attempt by Consultant to so assign, transfer, or subcontract any rights, duties, or obligations arising hereunder shall be null, void and of no effect. 18 Compliance with Laws . Consultant shall comply with all applicable federal, state and local laws, ordinances, codes and regulations in force at the time Consultant performs the Services.

19. Non-Waiver of Terms, Rights and Remedies. Waiver by either party of any one or more of the conditions of performance under this Agreement shall not be a waiver of any other condition of performance under this Agreement. In no event shall the making by City of any payment to Consultant constitute or be construed as a waiver by City of any breach of covenant, or any default which may then exist on the part of Consultant, and the making of any such payment by City shall in no way impair or prejudice any right or remedy available to City with regard to such breach or default.

20. Attorney’s Fees . In the event that either party to this Agreement shall commence any legal action or proceeding to enforce or interpret the provisions of this Agreement, the prevailing party in such action or proceeding shall be entitled to recover its costs of suit, including reasonable attorney’s fees and costs of experts.

21. Exhibits; Precedence. All documents referenced as exhibits in this Agreement are hereby incorporated in this Agreement. In the event of any material discrepancy between the express provisions of this Agreement and the provisions of any document incorporated herein by reference, the provisions of this Agreement shall prevail.

22. Applicable Law and Venue . The validity, interpretation, and performance of this Agreement shall be controlled by and construed under the laws of the State of California. Venue for any action relating to this Agreement shall be in the San Bernardino County Superior Court.

23. Construction. In the event of any asserted ambiguity in, or dispute regarding the interpretation of any matter herein, the interpretation of this Agreement shall not be resolved by any rules of interpretation providing for interpretation against the

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party who causes the uncertainty to exist or against the party who drafted the Agreement or who drafted that portion of the Agreement.

24. Entire Agreement. This Agreement consists of this document , and any other documents, attachments and/or exhibits referenced herein and attached hereto, each of which is incorporated herein by such reference, and the same represents the entire and integrated agreement between Consultant and City. This Agreement supersedes all prior oral or written negotiations, representations or agreements. This Agreement may not be amended, nor any provision or breach hereof waived, except in a writing signed by the parties which expressly refers to this Agreement.

IN WITNESS WHEREOF, the parties, through their respective authorized representatives, have executed this Agreement as of the date first written above.

Consultant Name: Media Control Systems, Inc.

By: ______________________________
Name Date

______________________________
Title
City of Rancho Cucamonga

By:________________________________
Name Date

_________________________________
Title

By: ______________________________
Name Date

______________________________
Title

City of Rancho Cucamonga

By:________________________________
Name Date

_________________________________
Title
(two signatures required if corporation)

Approval ____ Buyer II, Purchasing
____ Alternate, Risk Management Coordinator

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EXHIBIT A

SCOPE OF SERVICES

ATTACHMENT 2

DATE: February 19, 2025
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 Marlena Perez, Principal Engineer
Cesar Guevara, Associate Engineer
SUBJECT: Consideration of a Contract with Roadway Engineering & Construction Corp., in the Amount of $386,270 Plus 10% Contingency for the Haven Avenue Sidewalk Improvement Project From Merlot Court to Wilson Avenue (Project). This Project is Exempt From the Requirements of the California Environmental Quality Act (CEQA) per Government Code Section 15301 – Existing Facilities. (CITY)
RECOMMENDATION:

Staff recommends that the City Council:

1. Approve the plans and specifications on file with the City Engineer for the Haven Avenue Sidewalk Improvement Project from Merlot Court to Wilson Avenue (Project);

2. Accept the bids received for the Project;

3. Award and authorize the execution of a contract for the Project in the amount of $386,270 to the lowest responsive bidder, Roadway Engineering & Construction Corp.; and

4. Authorize the City Engineer or his designee to approve the expenditure of a 10% contingency for the Project in the amount of $38,627.

BACKGROUND:

The City’s efforts to promote safe active transportation is an important goal within the adopted 2021 General Plan. Haven Avenue has been identified as a bicycle corridor and modes of travel for pedestrians have been identified as a priority.

In 2021, the City applied for grant funding on a reimbursement basis from the San Bernardino County Transportation Authority (SBCTA) through the Transportation Development Act, Article 3 Bicycle and Pedestrians Facilities Program (TDA Article 3). The City was subsequently awarded a grant totaling $227,192 for the development of the Project which will construct new sidewalk on the east side of Haven Avenue in front of Chaffey College from Merlot Court to Wilson Avenue.

A Vicinity Map is included as Attachment 1.

2 7
1 7
ANALYSIS:

The scope of work to be performed consists of clearing and grubbing, tree trimming, and installation of sidewalk, curb ramps, signing, striping, and pedestrian push buttons. The contract documents call for 30 working days to complete this project.

The Notice Inviting Bids was released to the general contracting community and was published in the Inland Valley Daily Bulletin newspaper on January 14 and January 21, 2025.

The City Clerk’s office facilitated the formal solicitation for bidding the project on January 28, 2025. The City Clerk’s office received four (4) construction bids. The engineer’s estimate for the Project was $588,000. The apparent low bidder, Roadway Engineering & Construction Corp., submitted a bid in the amount of $386,270. A full bid summary is included as Attachment 2.

Engineering staff has reviewed all bids received and found all to be complete and in accordance with the bid requirements with any irregularities to be inconsequential. Staff has completed the required background investigation and finds the lowest responsive bidder Roadway Engineering & Construction Corp. meets the requirements of the bid documents.

Staff has determined that the Project is Categorically Exempt from the requirements of the California Environmental Quality Act (CEQA) per Section 15301 “Existing Facilities” subsection (c), Class 1.

FISCAL IMPACT:

Anticipated construction costs are estimated to be as follows:

Expenditure Category Amount
Construction Contract $386,270
Construction Contract Contingency (10%) $38,627
Construction Inspection Services $32,760
Construction Materials Testing Services $8,440
Bid Noticing Advertisement $1,708
Estimated Construction Costs $467,805
The capital project is currently budgeted for $395,808 in Assembly Bill (AB) 2766 Air Quality Improvement (Fund 105) and for $227,192 in TDA Article 3 (Fund 214), for a total budget of $623,000. Certain preconstruction activities have occurred already, amounting in total to $20,063 including $1,708 for advertisement, resulting in a net appropriation available to spend of $602,937. Funding for this project is identified under the account numbers and in the amounts listed below:

Account No. Funding Source Amount
F214-CC303-SC7004-
PID1864
TDA Article 3 Grant Funds
(Fund 214)
$215,262
F105-CC303-SC7004-
PID1864
AB2766 Air Quality Improvement Funds
(Fund 105)
$250,836
Total Project Funding $466,098

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1 7
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This project meets our City Council core values by promoting and enhancing a safe and healthy community for all, and by providing continuous improvement through the construction of high- quality public improvements.

ATTACHMENTS:

Attachment 1 - Vicinity Map
Attachment 2 - Bid Summary

ATTACHMENT 1

HAVEN AVENUE SIDEWALK IMPROVEMENT PROJECT
From Merlot Court to Wilson Avenue

NOT TO SCALE
Project Site
Project Site

ATTACHMENT 2
BID SUMMARY: BID DATE: January 28, 2025 APPARENT LOW BIDDER 2 3 4

HAVEN AVENUE SIDEWALK IMPROVEMENT PROJECT

FROM MERLOT COURT TO WILSON AVENUE
Roadway Engineering &
Construction Corp.

TVR Construction Engineering
LLCENGINEER'S ESTIMATE Gentry General Engineering, Inc. CT&T Concrete Paving Inc

BASE BID A- BASELINE ROAD PAVEMENT REHABILITATION PROJECT UNIT BID UNIT BID UNIT BID UNIT BID UNIT BID NO QTY UNIT DESCRIPTION COST AMOUNT COST AMOUNT COST AMOUNT 52129 AMOUNT COST AMOUNT 1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 16
17 18
1 1
1 1
1 2
1 LS Mobilization
LS Traffic Control
LS Construction Staking
LS Clearing and Grubbing Including Disposal
LS Tree Trimming and Root Pruning
EA Tree Removal (6" to 24" Diameter)
LS Unclassified Excavation & Backfill
SF 4" P.C.C. Sidewalk
SF 6” PCC Driveway Approach
EA PCC Curb Ramp
EA Furnish and Install #5 Pullbox to Finish Grade
LS Relocate Irrigition sytem (Approx. STA. 19+50 to 31+50) EA Adjust Existing RC Fiber Optic Pull Box to Finish Grade EA Adjust Existing Traffic Pull Box to Finish Grade
LS Sign and Post Relocation, Including Thermoplastic Striping EA Furnish and Install New Pedestrian Push Button Pole Standard Plan ES-7A.

EA Furnish and Install Push Button Assembly Per Standard Plan ES-5C EA Project Advertisement Sign
$ 49,000.00
$ 49,000.00
$ 15,000.00
$ 25,000.00
$49,000.00
$49,000.00
$15,000.00
$25,000.00
$5,000.00
$12,000.00
$40,500.00
$176,960.00
$2,300.00
$144,000.00
$2,000.00
$12,000.00
$3,600.00
$40,000.00
$16,400.00
$2,500.00
$20,000.00
$5,000.00
$1,200.00
$60,000.00
$9.00
$40,000.00
$16,400.00
$2,500.00
$20,000.00
$5,000.00
$2,400.00
$60,000.00
$113,760.00
$1,000.00
$60,000.00
$1,440.00
$10,000.00
$3,450.00
$920.00
$8,700.00
$24,000.00
$28,000.00
$28,000.00
$3,300.00
$2,500.00
$96,000.00
$7.00
$8,700.00 $52,129.00
$24,000.00 $25,256.00
$28,000.00 $28,737.00
$28,000.00 $18,000.00
$52,129.00
$25,256.00
$28,737.00
$18,000.00
$3,542.00
$5,313.00
$89,092.00
$151,680.00
$6,900.00
$108,444.00
$2,420.00
$484.00
$6,171.00
$484.00
$9,075.00
$4,554.00
$42,504.00
$5,600.00
$6,000.00
$35,000.00
$18,000.00
$20,000.00
$20,000.00
$3,500.00
$12,000.00
$15.00
$6,000.00
$35,000.00
$18,000.00
$20,000.00
$20,000.00
$7,000.00
$12,000.00
$189,600.00
$2,000.00
$120,000.00
$1,000.00
$15,000.00
$3,600.00
$1,000.00
$2,000.00
$60,000.00
$80,000.00
$7,000.00
$
$
5,000.00
6,000.00
$3,300.00
$5,000.00
$3,542.00
$2,656.50
$ 40,500.00 $96,000.00 $89,092.00
12,640 $
$

14.00 23.00
$88,480.00
$1,100.00
$103,200.00
$1,500.00
$18,000.00
$3,600.00
$940.00
$12.00
$69.00
$9,037.00
$2,420.00
$484.00
100
12 1
1 3
1 1
2 8
$10.00 $11.00 $20.00
$ 12,000.00
2,000.00
$ 12,000.00
$5,000.00
$1,440.00
$10,000.00
$1,150.00
$920.00
$5,000.00
$2,100.00
$4,800.00
$900.00
$8,600.00
$1,500.00
$18,000.00
$1,200.00
$940.00
$22,000.00
$2,100.00
$4,900.00
$2,250.00
$10,000.00
$1,000.00
$15,000.00
$1,200.00
$1,000.00
$2,000.00
$30,000.00
$10,000.00
$3,500.00
$
$
$
1,200.00
1,200.00
$2,057.00
$484.00$1,200.00
$ 10,000.00 $10,000.00
$10,000.00
$28,000.00
$2,400.00
$5,000.00
$4,200.00
$38,400.00
$1,800.00
$22,000.00
$4,200.00
$39,200.00
$4,500.00
$9,075.00
$2,277.00
$5,313.00
$2,800.00
$
$
$
5,000.00
3,500.00
1,200.002
TOTAL BASE BID A AMOUNT: $587,960.00 $386,270.00 $479,720.00 $560,385.00 $599,200.00 Corrrected

DATE: February 19, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Michael J. Smith, Rancho Cucamonga Chief of Police Cinthia Barboza, Sheriff Service Specialist
SUBJECT: Consideration to Accept Grant Revenue from the Edward Byrne Memorial Justice Assistance Grant Funds (JAG) For Fiscal Grant Year 2024 in the Amount of $38,032 to Purchase PSVN Equipment and to Authorize the Appropriation of Funds for the Purchase of PSVN Equipment. (CITY)
RECOMMENDATION:

Staff recommends the City Council accept grant revenue in the amount of $38,032 from the United States Department of Justice Edward Byrne Memorial Justice Assistance Grant (JAG) for 2024 fiscal year award, and authorize the appropriation of funds for the purchase of PSVN Equipment.

BACKGROUND:

Byrne Justice Assistance (BJA) recently announced the availability of grant funds to State and local units of government through the Byrne JAG Grant. This program allows State and local governments to support a broad range of activities to prevent and control crime and to improve the criminal justice system.

ANALYSIS:

The goal for Fiscal Grant year 2024 is to continue to grow the Public Safety Video Network (PSVN) system. The PSVN cameras throughout the City of Rancho Cucamonga are a great tool for both deterring criminal activity and capturing information that assists law enforcement in solving crimes. These cameras also help protect critical infrastructures within the city.

FISCAL IMPACT:

Staff is requesting the City Council accept the JAG grant funds into account number F361 CC701- RC51004501 GR-000082 (Grant Income) and authorize the appropriation as follows:

Fund to supplement the cost of the proposed equipment as follows FY 2024 Grant Funds $38,032.00
F361 CC701-SC7002 Capital Outlay- Equipment

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COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
•Promoting and enhancing a safe and healthy community for all. •Intentionally embracing and anticipating our future
•Relentless pursuit of improvement.

ATTACHMENTS:

None.

DATE: February 19, 2025
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 Ulises Benavente, Associate Engineer
SUBJECT: Consideration to Approve the Final Map of Tract 20566, an Improvement Agreement, Improvement Securities for Public Improvements, and a Resolution Ordering the Annexation to Landscape Maintenance District No. 9 Related to Case No. SUBTT20566, Located on the Southeast Corner of Etiwanda Avenue and Highland Avenue. Per a California Environmental Quality Act (CEQA) Section 15183 Compliance Memorandum Dated August 2023, the Project was Found to Be Within the Scope of the Project Covered by an Environmental Impact Report Certified by City Council on December 15, 2021 (State Clearinghouse SCH#2021050261) and Does Not Raise or Create New Environmental Impacts. (RESOLUTION NO. 2025-002) (CITY)
RECOMMENDATION:

Staff recommends the City Council:

1. Approve final map of Tract 20566;

2. Approve the Improvement Agreement for the related public improvements and authorize the Mayor and the City Clerk to sign said Agreement;

3. Accept security in the form of bonds for completion of the related public improvements;

4. Approve the plans and specifications for the related public improvements on file with the City Engineer; and

5. Adopt the attached resolution ordering the annexation to Landscape Maintenance District No. 9.

BACKGROUND:

On October 11, 2023, the Planning Commission approved Case No. SUBTT20566 (Project) for the subdivision of 9.14 acres of land into 22 lots for the development of 22 single-family residences located on the southeast corner of Etiwanda Avenue and Highland Avenue.

Case No. SUBTT20566 was approved with a condition that certain public improvements be constructed including street improvements, curb and gutter, ADA curb ramps, streetlights, street trees, and storm drain improvements.

ANALYSIS:

The developer, Manning Homes, has submitted a final map for consideration of approval and an Improvement Agreement and securities to guarantee construction of the off-site public improvements in the following amounts:

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Faithful Performance Bond No. PB00618100157 $836,400
Labor and Material Bond No. PB00618100157 $836,400
Staff has determined that the final map is in substantial conformity with the approved Tentative Map of Case No. SUBTT20566 and conditions.

Approval of these items by the City Council would approve the final map of Tract 20566, allow its recordation, approve the Improvement Agreements, accept the securities for the construction of certain public improvements, and adopt the attached resolution ordering the annexation to Landscape Maintenance District No. 9. Copies of the Improvement Agreement and annexation form are on file in the City Clerk’s office.

ENVIRONMENTAL ANALYSIS:

On December 15, 2021, City Council certified Program Environmental Impact Report (EIR) State Clearinghouse SCH No. 2021050261. According to Section 15168 of the CEQA Guidelines, a Program EIR may be prepared on a series of action that can be characterized as one large project.

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 9.14-acre property is designated by the City’s General Plan (GP) for “Suburban Neighborhood Very Low” land uses. The proposed project is consistent with the site’s GP land use designation of “Low Residential” and would be consistent with all other applicable GP 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 August 2023 was submitted. 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 GP on December 15, 2021. The Project will not have one or more significant effects not discussed in the GP 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.

FISCAL IMPACT:

The proposed annexation would supply additional annual revenue into the landscape maintenance district in the following amount:

Landscape Maintenance District No. 9: $6,862.24
The developer will be installing 40 new street trees that will be maintained by the City.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This item addresses the City Council’s vision to build on our success as a world class community, to create an equitable, sustainable, and vibrant city, rich in opportunity for all to thrive through the construction of high-quality public improvements.

ATTACHMENTS:

Attachment 1 - Vicinity Map
Attachment 2 - Resolution Ordering Annexation LMD No. 9

ATTACHMENT 1

Case No. SUBTT20566

Vicinity Map

NOT TO SCALE

Resolution No. 2025-XXX – Page 1 of 5
ATTACHMENT 2
RESOLUTION NO. 2025-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE

ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE
MAINTENANCE DISTRICT NO. 9 (LOWER ETIWANDA) FOR
SUBTT20566
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed a special maintenance district pursuant to the terms of the “Landscape and Lighting Act of 1972”, being Division 15, Part 2 of the Streets and Highways Code of the State of California (the “Act”, said special maintenance district known and designated as Landscape Maintenance District No. 9 (Lower Etiwanda) (the “District”); and
WHEREAS, the provisions of Article 2 of Chapter 2 of the Act authorize the annexation of additional territory to the District; and
WHEREAS, such provisions also provide that the requirement for the preparation of resolutions, and assessment engineer’s report, notices of public hearing and the right of majority protest may be waived in writing with the written consent of all of the owners of property within the territory to be annexed; and
WHEREAS, notwithstanding that such provisions of the Act related to the annexation of territory to the District, Article XIII D of the Constitution of the State of California (“Article XIII D”) establishes certain procedural requirements for the authorization to levy assessments which apply to the levy of annual assessments for the District on the territory proposed to be annexed to such District; and
WHEREAS, the owners of certain property described in Exhibit A attached hereto, and incorporated herein by this reference, have requested that such property (collectively, the “Territory”) be annexed to the District in order to provide for the levy of annual assessments to finance the maintenance of certain improvements described in Exhibit B hereto (the “Improvements”); and
WHEREAS, all of the owners of the Territory have filed with the City Clerk duly executed forms entitled “Consent And Waiver To Annexation Of Certain Real Property To A Maintenance District And Approval Of The Levy Of Assessments On Such Real Property” (the “Consent and Waiver”); and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have expressly waived any and all of the procedural requirements as prescribed in the Act to the annexation of the Territory to the District and have expressly consented to the annexation of the Territory to the District; and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly waived any and all of the procedural requirements as prescribed in the Act and/or Article XIII D applicable to the authorization to levy the proposed annual assessment against the Territory set forth in Exhibit B attached hereto and incorporated herein by this reference and have declared support for, consent to and approval of the authorization to levy such proposed annual assessment set forth in Exhibit C attached hereto; and

Resolution No. 2025-XXX – Page 2 of 5
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WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly agreed for themselves, their heirs, successors and assigns that:
(1) The proportionate special benefit derived by each parcel in the Territory from the District Improvements has been determined in relationship to the entirety of the maintenance and operation expenses of the Improvements; (2) The proposed annual assessment does not exceed the reasonable cost of the proportional special benefit from the Improvements conferred on each parcel in the Territory. (3) Only the special benefits derived or to be derived by each parcel in the Territory from the Improvements have been included in the proposed annual assessment.

WHEREAS, at this time the City Council desires to order the annexation of the Territory to the District and to authorize the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C hereto.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS:

SECTION 1: That the above recitals are true and correct.

SECTION 2: The City Council hereby finds and determines that:
a. The annual assessments proposed to be levied on each parcel in the Territory do not exceed the reasonable cost of the proportional special benefit conferred on each such parcel from the Improvements. b. The proportional special benefit derived by each parcel in the Territory from the Improvements has been determined in relationship to the entirety of the cost of the maintenance of the Improvement. c. Only special benefits will be assessed on the Territory by the levy of the proposed annual assessments.

SECTION 3: This legislative body hereby orders the annexation the Territory to the District, approves the financing of the maintenance of the Improvements from the proceeds of annual assessments to be levied against the Territory and approves and orders the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C.

SECTION 4: All future proceedings of the District, including the levy of all assessments, shall be applicable of the Territory.

PASSED, APPROVED, AND ADOPTED this _____ day of ______________ 2025.

Resolution No. 2025-XXX – Page 3 of 5
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Exhibit A
Identification of the Owner and Description of the Property to be Annexed The Owner of the Property is:

HIGHLAND 22, LLC
The legal description of the Property is:

LOT 4 OF BLOCK "H", ACCORDING TO PRELIMINARY MAP OF ETIWANDA COLONY

LANDS, IN THE CITY OF RANCHO CUCAMONGA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, AS PER PLAT RECORDED IN BOOK 2, PAGE 24 OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY.

EXCEPTING ALL THAT PORTION THEREOF CONDEMNED FOR STATE HIGHWAY

PURPOSES, IN FEE SIMPLE ABSOLUTE BY FINAL ORDER OF CONDEMNATION RECORDED MARCH 7, 2000 AS INSTRUMENT NO. 20000077134, OFFICIAL RECORDS Assessor’s Parcels Numbers of the Property:
0227-051-03-0000

Resolution No. 2025-XXX – Page 4 of 5
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Exhibit B
Description of the District Improvements
Fiscal Year 2024/25
Landscape Maintenance District No. 9 (Lower Etiwanda):

Landscape Maintenance District No. 9 (Lower Etiwanda) (the “Maintenance District”) represents landscape sites throughout the Lower Etiwanda Area.

The various sites maintained by the district consist of parkways, median islands and street trees.

Proposed additions to the Improvements for Project SUBTT20566:
40 Street Trees

Resolution No. 2025-XXX – Page 5 of 5
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Exhibit C
Proposed Annual Assessment
Fiscal Year 2024/25
Landscape Maintenance District No. 9 (Lower Etiwanda):

The rate per Equivalent Dwelling Unit (EDU) is $311.92 for the fiscal year 2024/25. The following table summarizes the assessment rate for Landscape Maintenance District No. 9 (Lower Etiwanda) for SUBTT20566:

Land Use Basis
EBU
Factor*
Rate per
EBU*
Single Family Residential Parcel 1.00 $311.92
Multi-Family Residential Unit 1.00 311.92
Non-Residential Acre 2.00 311.92
The proposed annual assessment for the property described in Exhibit A is as follows:
22 Parcels x 1.00 EBU Factor x $311.92 Rate per EBU = $6,862.24 Annual Assessment *Commencing with fiscal year 2001/02, the amount of the assessment for the District is proposed to increase each year, based upon the Consumer Price Index for all Urban Consumers (CPI-U), for the Riverside – San Bernardino – Ontario Consumer Price Index area, as determined by the United State Department of Labor, Bureau of Labor Statistics, or its successor. The Engineer shall compute the percentage difference between the CPI for March of each year and the CPI for the previous March, and shall then adjust the assessment by an amount not to exceed such percentage for the following year.

DATE: February 19, 2025
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 Marlena Perez, Principal Engineer
Romeo M. David, Associate Engineer
SUBJECT: Consideration of a Resolution Dedicating a Portion of City-Owned Property Located North of Foothill Boulevard approximately 725 Feet East of Grove Avenue for Public Use and Consideration to Accept All Street Improvements as Complete, File the Notice of Completion and Authorize Release of Retention and Bonds for the West Foothill Boulevard Street Improvements Project. This Project is Exempt from the requirements of the California Environmental Quality Act (CEQA) per Government Code Section 15301 – Existing Facilities. (RESOLUTION NO. 2025-003) (CITY)
RECOMMENDATION:

Staff recommends that the City Council:

1. Approve the attached Resolution dedicating a portion of the City-Owned property located north of Foothill Boulevard approximately 725 feet east of Grove Avenue (Assessor Parcel No.’s 207-112-05, -23 and -24) for public use as described in the Resolution;

2. Authorize the City Engineer or his designee to execute any documents necessary to effect recording of the Resolution;

3. Accept the West Foothill Boulevard Street Improvements Project, Contract No. 2023-175 (Project), as complete;

4. Approve the final contract amount of $6,971,565;

5. Authorize the release of the Faithful Performance Bond 35 days after recordation of Notice of Completion and accept a Maintenance Guarantee Bond;

6. Authorize the release of the Labor and Materials Bond in the amount of $6,711,090, six (6) months after the recordation of said notice if no claims have been received;

7. Authorize the City Engineer to file a Notice of Completion and release the Project retention, 35 days after recordation of Notice of Completion; and

8. Authorize the City Engineer to approve the release of the Maintenance Bond one (1) year following the filing of the Notice of Completion if the improvements remain free from defects in material and workmanship.

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BACKGROUND:

On January 17, 2024, the City Council awarded a construction contract to Gentry Brother’s, Inc., in the amount of $6,711,090 plus 5% contingency in the amount of $335,555 to address unforeseen construction related incidentals. The Project included the full reconstruction of the street’s pavement section along with construction of curb and gutter, storm drain infrastructure, irrigation and landscaping, traffic signal modifications, and extension of the City’s fiber optic backbone and Advanced Traffic Management System improvements (ATMS) along Foothill Boulevard from Grove Avenue to San Bernardino Road, completing ATMS improvements along Foothill Boulevard across the City. Also included for completion was reconstruction of two (2) vehicle lanes in each direction with a painted median (strategic raised median locations have been included to enhance safety at those locations), construction of a protected two-way cycle track along the south side of the street, sidewalks, streetlights, and other related improvements and amenities. The Project also constructed the realignment of the intersection of Foothill Boulevard and Red Hill Country Club Drive to approximately 400 feet to the east the original location and the construction of a traffic signal to provide for a safer and more efficient intersection operations. A Vicinity Map illustrating the Project location is included as Attachment 1. A copy of the January 17, 2024, City Council staff report is on file with the City Clerk.

Red Hill Country Club Drive was realigned approximately 400 feet to the east and a new traffic signal was installed at this location to improve the safety of the intersection with Foothill Boulevard. The new alignment of Red Hill Country Club Drive uses portions of three City- owned parcels that are north of Foothill Boulevard approximately 725 feet east of Grove Avenue.

Staff has prepared a resolution dedicating the aforementioned lots for Public Use (Attachment 2) which includes a legal descriptions and plats for the Road Dedication.

Upon approval of the resolution and project acceptance, the City Engineer will process approvals of all documents for recordation by the City Clerk.

Environmental Review:

The construction completed under the above-reference contract was determined to be exempt from the California Environmental Quality Act (CEQA) pursuant to Government Code Section 15301(c) “Existing Facilities” subsection (c), Class 1 and a Notice of Exemption was filed with the Clerk of the County Board of Supervisors on October 3, 2023. Further, the proposed roadway dedication considered under this item has been reviewed by staff and found to qualify as a Class 5 Exemption (Minor Alterations in Land Use) from the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations Section 15305(a). Finally, the dedication of right-of-way does not constitute a project under CEQA as the act of dedication does not commit the City to activities that would have the potential to cause a significant effect on the environment.

No development will occur as a result of this action. Therefore, pursuant to California Code of Regulations Section 15061(b)(3), the proposed dedication is exempt from CEQA.

ANALYSIS:

The subject project has been completed in accordance with the approved plans and specifications and to the satisfaction of the City Engineer. The net increase in the total cost of the Project is covered by allotted contingency and is a result of 22 Change Orders, including the final balancing statement, which are summarized below:

Change Order No.1: Change to the traffic signal pole mast arm to accommodate the new road alignment, plans called out a shorter mast arm. The change in the contract cost due to this change order is an increase of $9,326.

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Change Order No.2: The original design service materials included in the Project documents had a long lead time due to demand of the materials, staff requested an alternative service pedestal was provided that was available immediately. This change order covers the price difference between the immediately available alternate service pedestal and the original design service pedestal. The change in the contract cost due to this change order is an increase of $11,333.

Change Order No.3: During the Project bidding, final Southern California Edison (SCE) plans were not available to determine the accurate conduit length. Additional SCE conduit was required from the transformer to the proposed pedestal for the traffic signal, the irrigation meter and the non-meter pedestal for the streetlights. The change in the contract cost due to this change order is an increase of $22,785.

Change Order No.4: Additional bike detection loops, pedestrian push button conductors, pedestrian posts and push buttons, loops stub outs, a bike detector controller card and tech support were required. The change in the contract cost due to this change order is an increase of $26,500.

Change Order No.5: During the construction of the catch basin, the contractor encountered a gas mainline that conflicted with the design of the proposed catch basin so the design was modified to avoid the gas mainline. The change in the contract cost due to this change order is an increase of $5,000.

Change Order No.6: During the installation of the irrigation point of connection for the proposed landscaping irrigation, the existing Cucamonga Valley Water District (CVWD) water main did not have sufficient pressure for the proposed irrigation. The contractor was directed by City Staff to relocate the point of connection to the new 8-inch water main at the frontage of the Lennar development on Foothill Boulevard. The work included installation and extension of new pipe to reach the new location. The change in the contract cost due to this change order is an increase of $14,000.

Change Order No.7: Staff requested to regrade the existing median island along Foothill Boulevard between San Bernardino Road and Baker Avenue. Work performed included removal of weeds and debris, and installation of new decomposed granite and boulders. The change in the contract cost due to this change order is an increase of $56,000.

Change Order No.8: SCE needed to pull additional conductors and install new meters for the traffic signal, irrigation meter and non-meter for streetlights. The change in the contract cost due to this change order is an increase of $12,556.

Change Order No.9: Replacement of the originally ordered streetlight luminaires to the correct City standard luminaire for 19 streetlights. The originally ordered streetlight luminaires were furnished to the Public Works Department for maintenance use. The cost included ordering new luminaires and replacing the ones that were previously installed. The change in the contract cost due to this change order is an increase of $18,001.

Change Order No.10: Installation of an additional Type 1A traffic signal pole at the new Red Hill Country Club Drive intersection. The change in the contract cost due to this change order is an increase of $10,597.

Change Order No.11: During construction, the contractor encountered an existing 8-inch water

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mainline running north/south across Foothill Boulevard. Due to the reprofiling of the of the roadway surface as part of the street reconstruction, this water mainline did not have the minimum ground cover required. City Staff directed the contractor to install a new 8-inch water mainline to accommodate the new road surface elevation and meet the minimum coverage requirements.

The change in the contract cost due to this change order is an increase of $40,000.

Change Order No.12: Staff directed the contractor to provide temporary asphalt driveway access to seven businesses during the removal of the existing road to keep the businesses open during construction. The change in the contract cost due to this change order is an increase of $15,000.

Change Order No.13: During installation of the proposed storm drain, the contractor encountered the old concrete roadway below the existing asphalt which was an unforeseen condition. Staff directed the contractor to break out and remove a portion of the old road to construct the storm drain. The change in the contract cost due to this change order is an increase of $9,800.

Change Order No.14: Due to reprofiling of the roadway surface, Staff directed the contractor to extend the limits of the grind and overlay at the intersection of Grove Avenue and Foothill Boulevard to have a smoother transition to the western City limit. The change in the contract cost due to this change order is an increase of $28,000.

Change Order No.15: Installation of an additional left turn traffic signal head was required at the southwest corner of Grove Avenue and Foothill Boulevard. The change in the contract cost due to this change order is an increase of $5,276.

Change Order No.16: Install of additional truncated domes at the Americans with Disabilities Act (ADA) ramps was required to comply with the ADA regulations. The change in the contract cost due to this change order is an increase of $2,800.

Change Order No.17: Staff requested to extend additional striping, chevrons and K-71 delineators to ensure a physical protection for cyclists was provided all the way to Baker Avenue. The change in the contract cost due to this change order is an increase of $5,019.

Change Order No.18: Additional signal heads were required at Red Hill Country Club and San Bernardino Road to install the Flashing Yellow Arrows. The change in the contract cost due to this change order is an increase of $8,819.

Change Order No.19: Staff directed the contractor to install additional pedestrian poles and push buttons at the Sycamore Inn driveway entrance for enhanced pedestrian safety. The change in the contract cost due to this change order is an increase of $9,018.

Change Order No.20: A new traffic signal controller was required to incorporate the Flashing Yellow Arrow proposed at the San Bernardino Road intersection. The change in the contract cost due to this change order is an increase of $17,737.

Change Order No.21: Sandblasted previously installed thermoplastic striping and re-striped the parallel parking stalls on Foothill Boulevard westbound. The change in the contract cost due to this change order is an increase of $4,500.

Change Order No.22: The balancing statement for the Project. The balancing statement conforms the final contract quantities to the actual quantities placed or constructed during the contract.

The notable change is a decrease in the amount of ($71,587) resulting from a decrease in the

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savings to use alternate materials for the storm drain and a re-engineered structural roadway section to save aggregate base course cost.

At the end of the one-year maintenance period, if the improvements remain free from defects in materials and workmanship, the City Clerk will release the Maintenance Bond upon approval by the City Engineer.

Dedication to Public Use of Red Hill Country Club Drive and Foothill Boulevard The improvements constructed under the above-referenced construction contract occurred primarily within the existing dedicated right-of-way for Foothill Boulevard. However, the realignment of Red Hill Country Club Drive and widening along Foothill Boulevard at the newly constructed intersection of Red Hill Country Club Drive required the use of portions of three City- owned parcels. These parcels were obtained several years ago in anticipation of the realignment.

With the completion of the realignment, staff is recommending that the City Council formally dedicate those portions of the three City-owned parcels to public use, namely public street, public utility, drainage, and related purposes. To this end, the attached draft Resolution has been prepared for the City Council’s consideration. The extent of the dedication includes 687 square feet to be dedicated as Foothill Boulevard east of the newly constructed intersection and 11,502 square feet to be dedicated as Red Hill Country Club Drive. It should be noted that while this dedication will create a branch in the alignment of Red Hill Country Club Drive as the existing portion west of the realignment will remain public street, no addresses are anticipated to be assigned on the realigned (easterly alignment) portion due to the short distance between Foothill Boulevard and the junction of the branches approximately 265 feet to the north. Staff is currently evaluating options for disposition of the remaining City-owned land within the three City-owned parcels and will provide a recommendation to the City Council under a separate item in the future.

FISCAL IMPACT:

The Street Dedication Resolution creates no fiscal impact on the City as it results solely in the reconfiguration of existing lots owned by the City and dedicates a portion of those lots for public use.

With respect to the construction contract, a total of $4,645,115 was budgeted in the adopted Fiscal Year 2023/24 Budget for this project consisting of funds from the Infrastructure Fund (Fund 198) with an additional $2.4 Million from the Local Partnership Program (LPP) State Grants Fund (Fund 274), and $226,760 from the Transportation Fund (Fund 124). The total funds for this project were identified under Capital Improvement and State Grants Account No.'s in the amounts listed below:

Account No. Funding Source Description Amount
F198 CC303 7000
SC7004; PID1964-198
Infrastructure Fund
(198) / Capital
Projects
West Foothill
Project
$4,645,115
F274 CC303 7000
SC7004; PID1964-274
State Grants Fund
(274) / Capital
Projects
West Foothill
Project
$2,400,000
F124 CC303 7000
SC7004; PID1964-124
Transportation Fund
(124) / Capital
Projects
West Foothill
Project
$226,760
Total Project
Funding
$7,271,875

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The final project cost is $7,218,935 as shown below:

Expenditure Amount
Final Construction Contract $6,971,565
Construction Inspection Services $156,360
Construction Materials Testing $61,010
Construction Support $30,000
Total Project Cost $7,218,935
A total of $52,940, remains in the budget for this project and will be returned to the Infrastructure Fund (Fund 198) fund balance to be used for future capital improvement projects.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This project meets our City Council core values by promoting and enhancing a safe and healthy community for all, and by providing continuous improvement through the construction of high- quality public improvements.

ATTACHMENTS:

Attachment 1 - Vicinity Map
Attachment 2 - Roadway Dedication Resolution

ATTACHMENT 1
PROJECT# 800-2023-13
" WEST FOOTHILL BOULEVARD STREET IMPROVEMENTS”
From Grove Avenue to San Bernardino Road

NOT TO SCALE

Project Site

Project Site

RESOLUTION NO. 2025-XX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

RANCHO CUCAMONGA, CALIFORNIA, DEDICATING FOR

PUBLIC USE THAT PORTION OF RED HILL COUNTRY CLUB

DRIVE FROM FOOTHILL BOULEVARD TO APPROXIMATELY
265 FEET NORTHERLY AND A PORTION OF FOOTHILL
BOULEVARD FROM THE SOUTHEASTERLY LINE OF LOT 7 OF
TRACT 2521 TO APPROXIMATELY 61 FEET EASTERLY IN THE

CITY OF RANCHO CUCAMONGA AS A PUBLIC STREET

THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA DOES HEREBY RESOLVE AS FOLLOWS:

Section 1. Findings. The City Council finds, determines and declares that:

A. The City of Rancho Cucamonga (“City) is the owner in fee simple of a certain parcel of real property located in the City north of Foothill Boulevard approximately 725 feet east of Grove Avenue and described as Lots, 6, 7, and 10 of Tract 2521 in the City of Rancho Cucamonga, County of San Bernardino, State of California as filed in Book 36, pages 37 and 38 Records of San Bernardino, California and as shown on the Record of Survey on file in Book 71, page 74, Records of San Bernardino, California (APNs 207-112-05, -23, and -24) and B. The City now desires to dedicate for public use, namely public street, public utilities, drainage and related purposes, that certain portion of the land described in Section 1(A) described more particularly below.

Section 2. Dedication of Portions of Lots 7 and 10 of said Tract 2521 (APNs 207-112- 23 , and -24) for Public Street Purposes (Red Hill Country Club Drive). The City Council hereby dedicates for public use, namely for public street, public utility, drainage and related purposes, that strip of land 50.00 feet in width from Footh ill Boulevard to approximately 265 feet northerly described as that certain street dedication described and depicted more particularly on EXHIBIT “A” and shown on EXHIBIT “B” for Lots 7 and 10 attached hereto as Exhibit 1 (Red Hill Country Club Drive) and incorporated herein by this reference. Said public street is to be named Red Hill Country Club Drive.

Section 3. Dedication of a Portion of Lot 6 of said Tract 2521 (APN 207-11-05) for Public Street Purposes (Foothill Boulevard). The City Council hereby dedicates for public use, namely for public street, public utility, drainage, and related purposes, that variable width strip of land north of Foothill Boulevard from approximately 7 75 feet east of Grove Avenue to approximately 61 feet easterly described as that certain street dedication described and depicted more particularly on EXHIBIT "A" and as shown on EXHIBIT “B” of Lot 6 of said Tract 2521 attached hereto as Exhibit 2 (Foothill Boulevard) and incorporated herein by this reference. Said public street is to be named Foothill Boulevard.

Section 4. Recording of Resolution. The City Clerk shall cause a certified copy of this Resolution and its exhibits to be recorded in the Official Records of the County of San Bernardino.

Section 5. The City Clerk shall certify to the adoption of this Resolution.

Resolution No. 2025-xxxx – Page 1 of 10

PASSED, APPROVED, and ADOPTED this 19th day of February 2025.

______________________________________
L. Dennis Michael, Mayor

ATTEST:

_________________________________
Kim Sevy, City Clerk

STATE OF CALIFORNIA )

COUNTY OF SAN BERNARDINO ) ss

CITY OF RANCHO CUCAMONGA )

I, Kim Sevy, City Clerk of the City of Rancho Cucamonga, do hereby certify that the foregoing Resolution was duly passed, approved, and adopted by the City Council of the City of Rancho Cucamonga, at a Regular Meeting of said Council held on the 19 th day of February,
2025.

AYES: Hutchison, Kennedy, Michael, Scott, Stickler NOES: None
ABSENT: None
ABSTAINED: None

Executed this 19
th day of February, 2025, at Rancho Cucamonga, California.

______________________________________
Kim Sevy, City Clerk
Resolution No. 2025-xxxx – Page 2 of 10

Exhibit 1 – Red Hill Country Club Drive

Resolution No. 2025-xxxx – Page 3 of 10

EXHIBIT “A”

LEGAL DESCRIPTION

THAT PORTION OF THE NORTHWEST QUARTER OF SECTION 9 TOWNSHIP 1 SOUTH, RANGE 7 WEST, OF THE SAN BERNARDINO MERIDIAN, CITY OF RANCHO

CUCAMONGA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, MORE PARTICULARLY DESCRIBED AS FOLLOWS:

DEDICATION:

LOT 7 AND LOT 10 OF TRACT NO. 2521, ON FILE IN BOOK 36, PAGES 37 THROUGH 38, INCLUSIVE, RECORDS OF SAN BERNARDINO COUNTY , CALIFORNIA,

TOGETHER WITH THOSE PORTIONS OF THE ALLEY ADJACENT TO SAID LOTS, WHICH WAS V ACATED BY THE CITY RESOLUTION NO. 83-130, RECORDED SEPTEMBER 27, 1983, AS INSTRUMENT NO. 83-225182;

EXCEPTING THEREFROM THAT PORTION CONVEYED BY CITY OF RANCHO CUCAMONGA TO REZA AFZALI BY GRANT DEED, RECORDED ON DECEMBER 28, 2021, AS INSTRUMENT NO. 2021-0577806;

ALSO EXCEPTING THEREFROM ANY PORTION LYING EASTERLY OF THE LINE DESCRIBED AS FOLLOWS:

BEGINNING AT THE INTERSECTION OF THE OF THE NORTHEASTERLY PROLONGATION OF THE SOUTHEASTERLY LINE OF SAID LOT 7 AND THE CENTERLINE OF SAID V ACATED ALLEY, 20 FEET WIDE, LYING 10 FEET ON EACH SIDE, AS SHOWN ON SAID TRACT NO. 2521 AND AS SHOWN ON THE RECORD OF SURVEY ON FILE IN BOOK 71, PAGE 74, RECORDS OF SAN BERNARDINO,

CALIFORNIA, ALSO BEING THE BEGINNING OF A NON-TANGET CURVE TO THE LEFT HA VING A RADIUS OF 100.00 FEET AND FROM WHICH A RADIAL LINE BEARS SOUTH 56° 34’ 07” EAST;
THENCE ALONG SAID NON-TANGENT CURVE TO THE LEFT 46.69 FEET THROUGH A CENTRAL ANGLE OF 26° 45’ 01” TO THE BEGINNING OF A REVERSE CURVE TO THE RIGHT HA VING A RADIUS OF 45.00 FEET AND FROM WHICH A RADIAL LINE BEARS NORTH 83° 19’ 48” WEST;
THENCE 40.78 FEET ALONG SAID REVERSE CURVE TO THE RIGHT THROUGH A CENTRAL ANGLE OF 51° 55’ 28” TO A POINT ON THE SOUTHERLY RIGHT-OF-WAY LINE OF RED HILL COUNTRY CLUB DRIVE, BEING 40 FEET WIDE AS SHOWN ON SAID TRACT NO. 2521, AND BEING THE POINT OF TERMINUS.

Resolution No. 2025-xxxx – Page 4 of 10

EXHIBIT “A”

LEGAL DESCRIPTION

CONTAINING 11,502 SQUARE FEET, OR 0.264 ACRES, MORE OR LESS.

ALL AS SHOWN ON EXHIBIT “B” ATTACHED HERETO AND MADE A PART HEREOF.

PREPARED BY ME OR UNDER MY DIRECTION

____________________________________ 01/27/2025 SCOTT T. BENNETT DATE

Resolution No. 2025-xxxx – Page 5 of 10

20'20'40'
EXHIBIT "B"
Land Surveyors Civil Engineers GIS8885 Haven Avenue, Suite 100Rancho Cucamonga, CA 91730Phone: (909) 989-9789 Fax: (909) 989-9660STATE:COUNTY:CITY:FILE NAME:SHEET:OF JOB REF. NO.:DATE:SURVEYED BY:SURVEY DATE:DRAWN BY:CHECKED BY:APPROVED BY:

ROAD DEDICATIONPORTIONS OF LOTS 7 & 10 PER MB 36/37-38RANCHO CUCAMONGASAN BERNARDINOCAN/AN/AM. BONILLAM. GRUGINSKIS. BENNETT2024-6211201/27/20252024-621_V-EXH 01_Lot 7 and 10 Road Dedic LC
P.O.B.

LC FOOTHILL BOULEVARD50'

COUNTRYCLUBDRIVE
SCALE: 1"=40'40'20'0'20'40'
P.O.T.REDHILL
Resolution No. 2025-xxxx – Page 6 of 10

LEGEND:

MAP REFERENCE:

P.O.B.ABBREVIATIONS:

ROAD DEDICATION AREA:

CURVE TABLECURVE #LENGTHRADIUSDELTA
Land Surveyors Civil Engineers GIS8885 Haven Avenue, Suite 100Rancho Cucamonga, CA 91730Phone: (909) 989-9789 Fax: (909) 989-9660STATE:COUNTY:CITY:FILE NAME:SHEET:OF JOB REF. NO.:DATE:SURVEYED BY:SURVEY DATE:DRAWN BY:CHECKED BY:APPROVED BY:

ROAD DEDICATIONPORTIONS OF LOTS 7 & 10 PER MB 36/37-38RANCHO CUCAMONGASAN BERNARDINOCAN/AN/AM. BONILLAM. GRUGINSKIS. BENNETT2024-6212201/27/20252024-621_V-EXH 01_Lot 7 and 10 Road Dedic EXHIBIT "B"
P.O.T.

Resolution No. 2025-xxxx – Page 7 of 10

Exhibit 2 – Foothill Boulevard

Resolution No. 2025-xxxx – Page 8 of 10

EXHIBIT “A”

LEGAL DESCRIPTION

THAT PORTION OF THE NORTHWEST QUARTER OF SECTION 9 TOWNSHIP 1 SOUTH, RANGE 7 WEST, OF THE SAN BERNARDINO MERIDIAN, CITY OF RANCHO

CUCAMONGA, COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA, MORE PARTICULARLY DESCRIBED AS FOLLOWS:

DEDICATION:

LOT 6 OF TRACT NO. 2521, ON FILE IN BOOK 36, PAGES 37 THROUGH 38,

INCLUSIVE, RECORDS OF SAN BERNARDINO COUNTY , CALIFORNIA AND AS SHOWN ON THE RECORD OF SURVEY ON FILE IN BOOK 71, PAGE 74, RECORDS OF SAN BERNARDINO, CALIFORNIA;

EXCEPTING THEREFROM ANY PORTION LYING NORTHEASTERLY OF THE LINE DESCRIBED AS FOLLOWS:

COMMENCING AT THE MOST SOUTHERLY CORNER OF SAID LOT 6;
THENCE NORTH 30° 27’ 20” EAST 10.00 FEET ALONG THE SOUTHEAST BOUNDARY LINE OF SAID LOT 6 TO THE POINT OF BEGINNING OF SAID LINE; THENCE NORTH 59° 04’ 42” WEST 36.50 FEET;
THENCE NORTH 42° 41’ 15” WEST 24.60 FEET TO THE NORTHWESTERLY BOUNDARY LINE OF SAID LOT 6 AND THE POINT OF TERMINUS.

CONTAINING 687 SQUARE FEET, OR 0.016 ACRES, MORE OR LESS.

ALL AS SHOWN ON EXHIBIT “B” ATTACHED HERETO AND MADE A PART HEREOF.

PREPARED BY ME OR UNDER MY DIRECTION

01/27/2025
SCOTT T. BENNETT DATE

Resolution No. 2025-xxxx – Page 9 of 10

SCALE: 1"=30'30'15'0'15'30'
50'LC FOOTHILL BOULEVARDP.O.B.P.O.C.S'LY CORNER LOT 6 LEGEND:

MAP REFERENCE:ROAD DEDICATION AREA:

Land Surveyors Civil Engineers GIS8885 Haven Avenue, Suite 100Rancho Cucamonga, CA 91730Phone: (909) 989-9789 Fax: (909) 989-9660STATE:COUNTY:CITY:FILE NAME:SHEET:OF JOB REF. NO.:DATE:SURVEYED BY:SURVEY DATE:DRAWN BY:CHECKED BY:APPROVED BY:

ROAD DEDICATIONPORTION OF LOT 6 PER MB 36/37-38RANCHO CUCAMONGASAN BERNARDINOCAN/AN/AM. BONILLAM. GRUGINSKIS. BENNETT2024-6211101/27/20252024-621_V-EXH 03_Lot 6 Road Dedication.d EXHIBIT "B"
P.O.T.

P.O.B.ABBREVIATIONS:P.O.C.P.O.T.

Resolution No. 2025-xxxx – Page 10 of 10

DATE: February 19, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Matt Burris, AICP, Deputy City Manager/ Community Development Matt Marquez, Director of Economic Development
Zack Neighbors, Director of Building & Safety Services
SUBJECT: Quarterly Development Update - Fourth Quarter 2024. (CITY) RECOMMENDATION:

Staff recommends that the City Council receive a presentation from staff on development-related activities for the fourth quarter of 2024 (October through December).

BACKGROUND:

In 2023 staff began providing Quarterly Development Updates (QDU) to the City Council. The purpose of these reports is to update Council and the community on development related activities on a regular basis. While annual reports, such as those for General Plan, include some information on development activities (such as the number of permits issued and housing units constructed for example), quarterly updates are an effective way to provide information on development activity over a shorter period. They also allow staff to include different information, such as economic development related activities or customer service data, that is not provided in other annual reports.

ANALYSIS:

The QDU to be presented to the City Council will include summaries of Building & Safety, Planning, and Economic Development related activities. This includes, but will not be limited to, information on key development projects, reporting on building permit and plan check activity, and reporting on activity at the public counter. Staff's formal presentation to the City Council will provide additional details on development-related activities, and staff will continue to report this information to Council quarterly.

FISCAL IMPACT:

None.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This item addresses the Council’s following core values:

1. Providing and nurturing a high quality of life for all

2. Relentless pursuit of improvement

3. Building and preserving a family-oriented atmosphere

4. ATTACHMENTS:

None.

DATE: February 19, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: John Gillison
SUBJECT: Review and Approval of the Third Amendment of Ground Lease between the City of Rancho Cucamonga (lessor) and the J. Filippi Vintage Co. (lessee). (CITY)
RECOMMENDATION:

Staff recommends the City Council review, discuss and approve the Third Amendment of Ground Lease between the City of Rancho Cucamonga (lessor) and the J. Filippi Vintage Co. (lessee).

BACKGROUND:

The Regina Winery is located at 12467 Base Line Road, just west of Day Creek Boulevard. This site is within close proximity to the I-210 Freeway to the north, and the I-15 Freeway to the east, and the Victoria Gardens outdoor regional shopping destination to the south. The roughly 14.2 acre Regina Winery property includes several buildings and the surrounding undeveloped parcels.

The historic name of this property was the Ellena Brothers Winery/Regina Grape Product Co. The winery is one of five wineries surviving out of some 60 such operations which once dominated the physical, economic, and cultural livelihood of the Cucamonga Valley. Winery co-founder John B. Ellena focused his efforts after 1949 on producing wine vinegar almost exclusively and the Regina Grape Products Co. (as it was known by 1959) was the nation’s leading producer of wine vinegar. In 1968, the state’s first restaurant on a winery site was opened here. It was later sold to Heublein and later to Del Monte and its successors. The winery continued to produce wine vinegar and other products until 1992.

The property was purchased in 1993 by the City’s Redevelopment Agency. Soon after, the winery was leased to the Filippi family and began operations as the Joseph Filippi Winery and Vineyards. Since that time, the Filippi family worked to revitalize the old vineyards, plant new vines, and operate the winery at the location pursuant to the lease. The Filippi family has grown grapes and made wine in the Cucamonga Valley since 1922. In 1995, the federal government established the Cucamonga Valley as an approved viticulture area. The new law enabled wineries to use of the words “Cucamonga Valley” on their wine labels for wines that use at least 85% Cucamonga grapes. While the winery function existed prior to 1949, its primary significance dates to the period 1949 – 1971, when the facility produced a national brand of wine vinegar under the Regina label and the winery itself became a popular destination point for tourists. The 1949-1971 period of significance does not meet the National Register’s 50-year requirement and the property does not meet the criteria of exceptional importance.

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In 2020, staff was approached by Joseph Filippi regarding his interest in selling the Joseph Filippi Winery business. Mr. Filippi brought a potential buyer and conceptual development proposal to the City for consideration. While agreement was not reached regarding that proposal, the parties did agree to move forward with an RFP process to seek a potential development partner. For many years the site had been under-utilized and contributed little more than historical memories towards the community’s future. Importantly, with approximately 80 years remaining on the existing lease between the City and the J. Filippi Vintage Company, any future adaptive reuse and development ultimately requires the consent and agreement of both the City as property owner and Joseph Filippi on behalf of the Filippi Winery. In early 2021, the City released an RFP to identify a preferred development partner who would work with the City to see the City’s winery property reused as a resort-inspired, winery-centric destination, with a mix of hospitality, dining and drinking, open space, and hospitality-integrated residential uses, serving both the Rancho Cucamonga community and the entire region.

Pursuant to that RFP a subsequent workshop was held to have each of the three proposers present their concepts to the City Council for consideration, along with a review of the community engagement initiative and an opportunity for public comment. The City Council then discussed the proposals and provided feedback including any concerns, questions or additional information from the proposers. A fiscal feasibility and impact analysis was subsequently considered by the City Council. The preliminary feedback from the community was supportive of the Cucamonga Valley Winery Resort (CVWR) proposal which included a video showcasing 3D images of the proposed development of the Regina Winery site. CVWR stated that their proposed Winery Resort would be a landmark destination including: wine tasting tours, wine production on-site accessible to guests, award winning non-chain restaurant and bar, retail spaces, sufficient parking, outdoor patios and membership tasting areas, weddings and private events, full service onsite catering, hidden prohibition bar, corporate & cultural events and conference spaces, 20- room contemporary luxury resort and club house accommodations, a central bell/viewing tower anchoring the center of the vineyard and areas for Farmers and Artisan Craft Markets.

Transfer of the lease for the City requires City Council approval. Subsequent discussions between CVWR and the City ultimately were inconclusive as CVWR was seeking millions of dollars in financial guarantees from the City which the City did not have resources to provide. When those discussions ended, Joseph Filippi ultimately abandoned the sale of the business to CVWR.

ANALYSIS:

In 2024, National Community Renaissance approached Joseph Filippi, seeking to purchase the winery. Traditionally, National Core has been known primarily as a housing developer. Recently, however, National Core has expanded their portfolio to include nonresidential property. Core was an original proposer in 2021 on the Winery RFP and at the time proposed a mixed-use project for the site that included artist lofts, affordable apartments, retail, office space for National Core, Core Academy a multi-disciplinary trade school and a central retail hall with a micro-winery, wine tasting, restaurant and outdoor patio. National Core had partnered with Arteco Partners, a well- known and respected historical preservation entity, and was also proposing to identify, document, preserve, and re-purpose the vintage and historic materials and items from throughout the project site to help maintain the history of the site. The proposal was ranked second to the CVWR proposal.

Core’s vision has continued to evolve since 2021 as they have expanded into nonresidential properties. Their present proposal is to preserve the winery’s rich history, again working with Arteco Partners, but to thoughtfully update things for the modern era. No housing is proposed for

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the site and in fact, Section 3 of the Third Amendment of Ground Lease between the City of Rancho Cucamonga and J. Filippi Vintage Company expressly states, “Lessee acknowledges that the Lease does not permit any residential uses...”. Further, to address the concerns that arose during negotiations with CVWR, the proposed 3 rd Lease Amendment also states that, “Lessor is under no obligation to contribute financially to the operation of the property, except as may be already expressly provided in the Lease, and that Lessor may in its sole and absolute discretion, assist Lessee’s with respect to the property with grants for historic preservation purposes...”.

The City of Rancho Cucamonga and National CORE have also drafted a tentative side letter designed to supplement the Ground Lease. That side letter addresses a number of operational matters appurtenant to the operation as a winery.

Central to the side letter is the expansion of the facility to accommodate additional community requested hospitality amenities. National Core, aware of the community desire, is proposing to:
•Preserve and enhance the historical nature and usage of the winery, ensuring that it continues to enrich the community's cultural landscape. •Maintain and refine the wine-making functions on the property, reaffirming the City’s commitment to the traditional viticulture that defined this region. •Increase community access to the winery and vineyards, transforming these spaces into vibrant recreational, and special events hubs for local residents and visitors alike. •Transform the property into a significant economic asset for both National CORE and the City by enhancing the winery’s capabilities including a hospitality enhancement. •Generate substantial economic benefits through increased tourism, job creation, and local spending, supporting the City’s economic development objectives. •Fulfill National CORE’s mission-based objectives by establishing a permanent venue for their multi-disciplinary vocational programs.

The side letter provides that improvements to the premises require City approval. It provides the City the ability to approve the initial winemaker and sets standards to ensure future winemakers are qualified. Similar provisions are established for the hospitality operations as well. Future approval of the facility for event use (rentals, food and beverage, hours of operation) will require a separate City conditional use permit which will be appropriately conditioned. The City has also included a provision to ensure that wine from the Cucamonga Valley AVA continues to be present in the future for purchase and consumption.

A phased improvement plan will be necessary to transform the property, focusing on enhancing both functionality and aesthetic appeal while preserving its historical nature and usage. This initiative includes significant upgrades to the interior spaces, the building facade, and the landscape to modernize the facility and better reflect its historical significance. It is anticipated that ASM Global (affiliated with GOCAL) will manage the Winery leveraging its extensive experience in venue management to ensure seamless operations. This includes overseeing all administrative tasks, event booking and planning, marketing, financial management, and compliance with local regulations. ASM Global’s expertise ensures that the Winery will operate efficiently and exceed expectations, providing unparalleled experiences for guests and fostering business growth. In concert with the operational oversight provided by ASM Global, GOCAL will play a critical role in maintaining the continuity of skilled winemaking and support staff throughout the renovation process. A skilled and experienced winemaker has tentatively been selected and vetted by the City but final negotiations are ongoing and pending the successful transfer of the

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lease.

The architectural overhaul will be focused on enhancing the building and property to better reflect the rich history of the Cucamonga Valley's wine-making tradition. Using materials like river rock and timber, the redesign will echo the early 1900s architectural style unique to the region. The grounds will be transformed into a park-like setting, improving accessibility and creating an inviting atmosphere with elements like bocce ball and walking paths that invite light recreational and event use. The interiors will be upgraded with historical alcoves and decorative elements like many of the redwood tanks, enhancing the venue’s charm and appeal for events such as weddings and corporate retreats. This revamped Regina Winery of California is set to stand as a cornerstone of cultural and economic vitality in the region, attracting visitors to explore and enjoy the finest expressions of Californian viticulture in a venue that respects its past and embraces its future.

At the present time, the winery is showing its age and has seen better days. Substantial renovations are necessary for the transformation and adaptive re-use of the facility. Initial estimates are that phase 1 capital improvements, which are urgently needed, will constitute approximately $1.5 million to bring the property to a minimum viable standard. Estimates are still under way for the broader renovation work including the landscape improvement plans. Phase one improvements will include:
•Parking Lot Upgrades: The first action will be to enhance the main parking area to ensure accessibility and a high-quality first impression. The parking lot will be slurry-sealed to refresh the surface and extend its lifespan, followed by re-striping to improve the layout and flow of traffic as well as add an ADA-accessible parking space and a van-designated space.
•Temporary Tasting Room: Core will build a temporary tasting room that reflects the future aesthetic direction of the winery. This pop-up will be constructed using materials such as white river rock or stacked stone veneer and redwood paneling, which not only align with the vision for the renovated spaces but also provide a visually appealing preview of what is to come. Positioned adjacent to the parking lot on the northeast segment of the property, this setup ensures that guests continue to enjoy a seamless wine tasting and purchasing experience.
•Street Signage for Winery: As the initial upgrades move forward and a temporary tasting room is established, effective street signage along Base Line Road is essential. These signs will serve to direct visitors smoothly to the temporary location and build anticipation for the upcoming winery and event spaces. Designed to harmonize with the future aesthetic improvements, the signage will feature clear, visually cohesive directional cues and engaging 'Coming Soon' announcements that capture the attention of both locals and visitors, maintaining the winery's visibility and excitement throughout the renovation period.
•Vineyards: Enhancements to the existing vineyards will be made to serve not only as productive elements of the Winery but also the vineyard parcels will serve as a natural border around the outdoor event area that is part of Phase 2. This strategy will enhance the aesthetic appeal of the area and reflect the property's rich history for visitors, aligning with City requirements to preserve the cultural heritage. •Interior and Exterior Enhancements: This phase will focus on the northeast corner of the building, encompassing the remodel of the banquet rooms, old house, tasting room, kitchen, restrooms, cellar, and patio.
•CORE Academy Space: The southeast corner will be dedicated to the CORE Academy vocational programs. This initiative aligns with CORE’s mission to transform lives and communities through education. The integration of these programs into the existing use

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of the property ensures that the Winery continues to serve as a center of community and innovation. The design of this space will blend seamlessly with the overall design of the winery. Additionally, the Residential Service Technician (RST) track will utilize this facility for practical study, which will not only provide hands-on learning opportunities but also help in maintaining the building at reduced costs and keeping it in pristine condition.

Moreover, when not in use for Project Management classes, the classrooms will be available to host classes focused on wine education and local history, further integrating the academy into the community fabric.
•Landscape and Accessibility Improvements: Enhancements will include resurfacing parking surfaces with permeable and semi-permeable materials, improving the landscaping around the park area adjacent to the current baseline road parking lot, and adding recreational features like bocce ball courts next to the park area. •ADA Compliance: In line with National CORE's commitment to inclusivity on all its properties, the layout redesign will meet ADA compliance requirements, ensuring the facility is accessible and welcoming to all guests.

The Third Amendment to Ground Lease also allows the lessee to close the premises for a brief time period of 90 days, which can be extended to 180 days total, while upgrades are under way and the temporary wine tasting facility is being established. This clause will facilitate the ongoing operation of the winery while the improvements noted above are under way.

As noted in the background, in 2021, the public selected CVWR’s proposal as the most desirable because of its focus on wine tasting tours, wine production on-site accessible to guests, inclusion of restaurants, outdoor patios and membership tasting areas, spaces weddings and private events, full service onsite catering, as well as corporate & cultural events and conference spaces. National CORE has taken note of and is proposing to incorporate these same elements into their current proposal for the winery. Their strong partnership includes the most experienced hospitality operator in the region (GOCAL/ASM) as well as one of the premier adaptive re-use consultants (Arteco Partners) and they are fully committed to working with an experienced local winemaker that understands this AVA and will continue the heritage of high-quality Cucamonga Valley AVA wines into the future. No housing is permitted on site and the City’s financial commitment is limited to support for grants. A temporary tasting room will ensure continuity of operations while improvements are under way. Upon its completion, this facility will be the finest public and private event space in the region and a destination for visitors from throughout Southern California.

FISCAL IMPACT:

The proposed 3 rd Lease Amendment states that “Lessor is under no obligation to contribute financially to the operation of the property, except as may be already expressly provided in the Lease, and that Lessor may in its sole and absolute discretion, assist Lessee’s with respect to the property with grants for historic preservation purposes....”.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

The City Council has a mission statement that it seeks to continuously ensure and advance the quality of life for the community through inclusive decision-making. This project advances that goal through the 2021 public input and RFP process which created a clear desire from the community for an operating winery with enhanced hospitality and event space as well as improved restaurant offerings on site. The current proposal carries out that desired transformation of the winery. Further, the Council has adopted values that include relentless pursuit of improvement, and the current proposal would improve and transform the winery into a new destination for the 21st Century.

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ATTACHMENTS:

Attachment 1 - Third Amendment Winery Ground Lease
Attachment 2 - Regina Winery and City Side Letter Agreement Attachment 3 - Winery Images

11231-0001\3066143v2.doc

RECORDING REQUESTED BY, AND
WHEN RECORDED MAIL TO:

City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
Attn: City Clerk
[Space Above Line For Recorder’s Use]

THIRD AMENDMENT OF GROUND LEASE
THIS THIRD AMENDMENT OF GROUND LEASE (this “Amendment”) is dated as of ________________, 2025, and is entered into by and between CITY OF RANCHO CUCAMONGA, a California municipal corporation (“Lessor”), and J. FILIPPI VINTAGE CO., a California corporation (“Lessee”).

R E C I T A L S:

A. Lessor and Lessee executed that certain Ground Lease dated as of November 6, 2002, a memorandum of which was recorded in the Official Records of San Bernardino County, California, on November 25, 2002, as Document No. 2002-0638923, with respect to that certain real property located in the City of Rancho Cucamonga, County of San Bernardino, State of California, more particularly described therein, and then amended such Ground Lease by an Amendment of Ground Lease dated July 21, 2004 recorded as Document No. 2004-0737447 on October 8, 2004, and an Amendment No. 2 to Ground Lease dated November 7, 2007 recorded as Document No. 2007-0661574 on November 11, 2007 (the “Lease”). Unless otherwise defined herein, capitalized terms used herein shall have the same meanings as set forth in the Lease.

B. Lessor and Lessee desire to further amend the Lease.

A G R E E M E N T:

NOW, THEREFORE, in consideration of the foregoing recitals, the covenants and conditions contained herein, and other consideration, the sufficiency of which is hereby acknowledged, Lessor and Lessee agree as follows:

1. Condition Precedent to Effectiveness of Third Amendment. The effectiveness of this Amendment is conditioned upon (a) National Community Renaissance of California, a California nonprofit benefit corporation (“National CORE”), acquiring ownership of one hundred percent (100%) of the issued and outstanding common stock of Lessee and (ii) Lessee providing Lessor with reasonable evidence of such acquisition by National CORE.

2. Amendments to Lease. Section 3.4 (Termination for Failure to Operate; Exceptions) of the Lease is deleted in its entirety and replaced with the following:

ATTACHMENT 1

11231-0001\3066143v2.doc 2
“3.4 Termination for Failure to Operate; Exceptions. If Lessee fails to operate a wine-making or winery related business on and /or permit public access to the Winery Land, or otherwise abandons the Premises for more than fourteen (14) consecutive days (including holidays and weekends) or for more than forty- five (45) days (including holidays and weekends) in a calendar year, then this Lease shall automatically (i.e., without further notice) terminate. In addition, Lessee’s failure to plant rootstock for grape vines on the Vineyard Land within four (4) years from the date hereof and harvest grapes therefrom in any year after the initial harvest therefrom (which initial harvest shall occur not later than the summer of 2011) shall automatically (i.e., without further notice) terminate this Lease. Notwithstanding the foregoing, the time periods provided above in this Section 3.4 shall be extended for: (a) delays due to elements, fire earthquakes or other acts of God, acts of war, riots or insurrections, provided, however, that to the extent a delay is caused by any other reason that Lessee reasonably believes is beyond the control of Lessee, Lessee may request, on a case by case basis, that Lessor excuse such delay and Lessor shall make its determination as to whether to excuse such delay using its reasonable judgment; and (b) one (1) temporary closure of the Premises for a period of up to ninety (90) days upon Lessee giving Lessor reasonable prior notice of such closure subject to Lessee’s right to extend such closure for additional and successive thirty (30) day periods (which extension periods will not exceed ninety (90) days in the aggregate) upon giving Lessor prior notice of such extension(s) for the purposes of (i) developing and constructing critical parking lot upgrades at the Premises and (ii) designing and constructing a temporary wine-tasting facility on the Premises that will allow Lessee to partially reopen the Premises for the purpose of (1) maintaining a wine-tasting experience for the general public, (2) communicating to the general public Lessee’s anticipated renovation of the Fixtures and Improvements at the Premises, and (3) engage in the pre-sale and reservation of special events at the Premises once the renovations of the Fixtures and Improvements at the Premises are sufficiently complete and suitable for such purposes.

Upon the reopening of the temporary wine-tasting facility, Lessee intends to begin renovations of the approximately 80,000 square foot permanent structure, which will remain closed until renovations to its core operational functions as a winery, bottle shop, banquet hall, commercial kitchen, and wine- tasting room are complete. Lessee expects this to take twelve (12) months from the completion of the temporary wine-tasting facility. However, Lessee may extend the renovation timeline by submitting requests at least thirty (30) days in advance of the proposed completion dates, requesting a ninety (90) day extension for closure. Lessee may submit additional requests for extensions until renovations are complete and the Premises are ready for public access.”

3. Certain Lessee Acknowledgements. Lessee acknowledges that the Lease does not permit any residential uses, and Lessor is under no obligation to contribute financially to the operation of the property, except as may be already expressly provided in the Lease, and that Lessor may in its sole and absolute discretion, assist Lessee’s with

11231-0001\3066143v2.doc 3
respect to the property with grants for historic preservation purposes, subject to Lessee’s compliance with prevailing wage laws, if applicable.

4. Notices. Section 25 (Notices) of the Lease is amended to delete facsimile and personal delivery as permitted means of delivery of notices, and to change Lessee’s address for notices to the following:

J. Filippi Vintage Co.
c/o National Community Renaissance of California
Attn: President
9692 Haven Avenue, Suite 100
Rancho Cucamonga, CA 91730
With copy to:

National Community Renaissance of California
Attn: General Counsel
9692 Haven Avenue, Suite 100
Rancho Cucamonga, CA 91730

5. Time of Essence. Time is of the essence of every provision hereof in which time is a factor.

6. Conflict. In the event of a conflict or inconsistency between the terms and conditions of the Lease and the terms and conditions of this Amendment, the terms and conditions of this Amendment shall prevail and control.

7. Continuing Effect. Except as specifically modified hereby, the Lease shall remain unaffected and unchanged by reason of this Amendment. The Lease is hereby ratified and affirmed by Lessee and remains in full force and effect as modified hereby.

8. Counterparts. This Amendment may be executed in any number of counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, taken together, shall be deemed to be one and the same instrument. [signatures of the parties on following page]

11231-0001\3066143v2.doc 4
IN WITNESS WHEREOF, Lessor and Lessee have executed this Amendment of Ground Lease as of the date and year first above written.

LESSOR: CITY OF RANCHO CUCAMONGA,
a California municipal corporation
By: __________________________
L. Dennis Michael, Mayor
ATTEST:
__________________________
Kim Sevy, City Clerk
APPROVED AS TO FORM:
______________________
Nicholas Ghirelli, City Attorney
LESSEE: J. FILIPPI VINTAGE CO.,
a California corporation
By: __________________________
Print Name: __________________________
Title: __________________________

11231-0001\3066143v2.doc
State of California )
County of ______________ )
On _________________________, before me, ,
(insert name and title of the officer)
Notary Public, personally appeared ,
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)
State of California )
County of ______________ )
On _________________________, before me, ,
(insert name and title of the officer)
Notary Public, personally appeared ,
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct.

WITNESS my hand and official seal.

Signature (Seal)
A notary public or other officer
completing this certificate verifies only the
identity of the individual who signed the
document to which this certificate is
attached, and not the truthfulness,
accuracy, or validity of that document.

11231-0001\3066143v2.doc
AS14248.0862694 4936-2781-2369v3

January 29, 2025 [SENT VIA EMAIL]
John R. Gillison
City Manager
City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
RE: SIDE LETTER AGREEMENT REGARDING J. FILIPPI WINERY
Dear John:

As requested, please find below certain provisions we have drafted to address the concerns you had raised on behalf of the City of Rancho Cucamonga (“City”) relating to our proposed usage of the J. Filippi Winery assuming National CORE’s acquisition of the ownership interests of J. Filippi Vintage Co is approved by the City and is successfully consummated by us.

This Side Letter Agreement supplements the provisions of the Proposal for Ground Lease Temporary Waiver and Usage (the “NCRC Proposal”) we first submitted on October 24, 2024 by, among others, providing more detail and specificity on the selection of the winemaker who will oversee the winemaking process, the use of the winery as event space and its hours of operation, and the preservation of historical character of the winery property.

The following recitals will provide some context for the supplemental provisions set out in this Side Letter Agreement:

RECITALS:
●The City, as Lessor, and J. Filippi Vintage Co, a California corporation, as Lessee (“Lessee”), are parties to that certain Ground Lease, dated November 6, 2002 (the “Original Ground Lease”), a memorandum of which was recorded in the Official Records of San Bernardino County, California (“Official Records”) on November 25, 2002, as Document 2002-0638923, covering certain land and improvements located in the City of Rancho Cucamonga, County of San Bernardino, and otherwise commonly known as 12467 Base Line Road, Rancho Cucamonga, California (the “Premises”). ●The Original Ground Lease was amended by that certain Amendment of Ground Lease, dated July 21, 2004 (the “Amendment No. 1”), which was recorded in Official Records on October 8, 2004, as Document No. 2004-0737447, and was further amended by that certain Amendment No. 2 to Ground Lease, dated November 7, 2007 (the “Amendment No. 2”), which was recorded in Official Records on November 21, 2007, as Document No. 2007- 0661574.

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●The Original Ground Lease, the Amendment No. 1 and the Amendment No. 2 are collectively referred to herein as the “Lease.” All capitalized terms used herein but not specifically defined herein shall have the same meanings as defined in the Lease. ●The Lease provides that Lessee shall only have the right to use (a) the Winery Land, the Additional Land, the Fixtures and the Improvements as a winery and for winery-related purposes and (b) the Vineyard Land for winegrowing (i.e., as a vineyard) and open space, and for no other purpose, without the prior consent of the City, which may be granted or withheld in the City’s sole and absolute discretion; provided, however, that in no event shall the Premises, the Additional Land, the Fixtures or the Improvements be used for any use or purpose (nor shall any activity be carried-on upon the Premises) that causes, creates or results in waste, nuisance or a violation of a Permitted Exception or otherwise is not permitted by applicable laws, statutes, ordinances or other governmental rules and regulations including the City of Rancho Cucamonga Conditional Use Permit No. 94-5 or any development agreement entered into by the City and Lessee with respect to the Premises; provided further, however, that beer and wine purchased within the Improvements may be consumed outside the Improvements in areas identified in Exhibit K to Amendment No. 1, so long as (i) “No Alcohol Consumption Beyond This Point” signs are posted at key locations and (ii) such outside consumption does not create negative impacts to the surrounding area (collectively, the “Use Restrictions”). ●The Lease, in addition, provides that Lessee shall not construct or otherwise make new improvements on or to the Premises, demolish, remove, replace, alter or reconstruct the Improvements, or change the contour or grade, or both, of the Premises, without the City’s prior consent, which consent may be granted or withheld in the City’s sole and absolute discretion, and if any work is permitted by the City, Lessee covenants to observe and perform such work, among other things, (i) in a character that the value of the Improvements upon completion thereof shall be equal to or greater that the value of the Improvements before commencement of such work and (ii) in a good and workmanlike manner and in compliance with all laws, ordinances, orders, rules, regulations and requirements (collectively, the “Alterations Restrictions”). ●Concurrently herewith, the Lease will be amended by a Third Amendment of Ground Lease (the “Third Amendment”) to entitle Lessee to a temporary closure of the Premises for the purposes of, among others, (i) developing and constructing critical parking lot upgrades at the Premises and (ii) designing and constructing a temporary wine-tasting facility on the Premises to maintain a wine-tasting experience for the general public in accordance (among other uses) while Lessee renovates the Premises and prepares plans and applicable governmental approvals for the future of the Premises as outlined herein.

AGREEMENT:

In consideration of the mutual covenants contained herein and for other good and valuable consideration, the receipt and adequacy of which is hereby acknowledged by the parties, and as a supplement to the NCRC Proposal, the City and National CORE hereby outline the terms of the proposed future use of the Premises as follows:

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SECTION 1: WINEMAKER RECRUITMENT AND OVERSIGHT
•National CORE understands and appreciates the importance of having an experienced winemaker to oversee the winemaking process and ensure the continuity of the winery’s legacy at the Premises. The City shall have the right to approve National CORE’s retention of the initial winemaker (and the City will not unreasonably withhold approval).

Thereafter, Lessee will have the right from to time to replace the initial or any successor winemaker with a qualified winemaker in which case Lessee will give the City written notice of any such change in the winemaker and will endeavor to give this notification within a reasonable time prior to the effective date thereof for transparency and alignment with the City’s concerns but any such change will not require the City’s prior approval unless Lessee fails to retain a qualified successor winemaker within ninety (90) days following the termination of any winemaker; provided, however, a successor winemaker shall be deemed “qualified” generally through one or more tangible criteria, such as holding an associate or advanced degree in enology or viticulture (e.g., programs at Sonoma State University, UC Davis, or Cornell University), completing formal apprenticeships or on-the-job training in notable wineries (e.g., Schramsberg Vineyards or Gallo Family Vineyards), possessing demonstrable extensive industry experience and technical expertise (e.g., managing production at a major wine producer), earning recognized industry achievements (e.g., awards from the San Francisco International Wine Competition or Wine Enthusiast’s Winemaker of the Year), crafting a portfolio of wines that achieve high ratings in leading publications (e.g., multiple wines scoring 90+ points in Wine Enthusiast or Wine Spectator), or demonstrating a commitment to innovative and sustainable winemaking practices (e.g., achieving Napa Green or SIP Certified credentials. •While National CORE has not yet finalized the selection of an individual who will lead winemaking operations, we are actively interviewing potential candidates including but not limited to Ryan Pedvin with LePoidevin Cellars. National CORE will use the critical repair and renovation period - identified in the Partner Engineering & Science, Inc. assessment and outlined in the preliminary site plan outlined in the NCRC Proposal provided to the City - to strategically recruit and hire the most qualified candidate. •National CORE believes a key reason for selecting GOCAL/ASM as the winery’s hospitality operator is their extensive relationships with established wineries and hospitality venues, their knowledge of the local area and their proven ability to identify and secure top talent across multiple industries. This includes outreach to notable winemakers such as Mikey and Gina Giugni of Scar of the Sea, Ryan Pedvin from LePoidevin Cellars, and Paul Biane of Biane Winery.
•National CORE is fully committed to causing GOCAL/ASM during the repair and renovation period to recruit an experienced and capable winemaker who aligns with the operational goals and vision of the winery and ensuring the highest standards of craftsmanship and quality.

SECTION 2: HISTORICAL PRESERVATION AND ADAPTIVE REUSE

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•In thoughtful consideration of the October 1997 Historical Assessment and Artifacts Inventory of the Ellena Brothers Winery/Regina Grape Products Co. (Regina Winery), National CORE is actively engaging with adaptive re-use consultants, among which has included Arteco Partners, to develop an adaptive reuse plan that will guide us through an architectural redesign stage of the Premises. National CORE anticipates this redesign plan will seek to honor the historical character of the winery while ensuring its functionality and safety.
•While the winery’s original farmhouse has been stripped to its structural studs, National CORE will explore and consider innovative ways to incorporate it into the redesign of the winery facility while preserving its legacy.
•National CORE is committed to retaining and revitalizing the key historical components of the winery facility, including, for example, preserving the remaining utilitarian elements such as the heavy timber roof trusses. Additionally, National CORE expects to conserve many of the redwood storage tanks and the concrete storage tanks, operational machinery, and other artifacts at the winery facility.
•To further celebrate the winery’s history at the Premises and create a vibrant and engaging space that honors the winery as a Historic Landmark in the City of Rancho Cucamonga, National CORE plans to combine structural preservation with displays and curated exhibits detailing the following:
oThe history of winemaking in the Cucamonga Valley.
oThe legacy of the Ellena Brothers Winery/Regina Grape Products Co. oThe architectural significance of the winery complex.
●Unique aspects of its operation, including the restaurant, Lilliputian horses, and wine vinegar production.

SECTION 3: HOSPITALITY PARTNER REQUIREMENT
•National CORE understands and appreciates the City's concerns regarding the continuity and quality of the winery facility operations through a dedicated hospitality partner and is committed to maintaining the highest operational standards, community accessibility, and service excellence for the winery facility.
•National CORE is committed to addressing the City’s concerns by ensuring deliberate planning and sustained operational quality of the winery facility without necessarily being subject to a requirement to retain a dedicated external hospitality partner. •In the event National CORE does not continue with GOCAL/ASM for management and operation of the winery facility, National CORE will either identify and engage a comparable operating company or develop the necessary in-house management capabilities to sustain the quality of the facility operations. •The City hereby approves of the retention/engagement of GOCAL/ASM by National CORE as the initial third-party operator of the winery facility. Hereafter, National CORE

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will give the City written notice of any material transitions in the management of the winery facility, whether to a new third-party operator or an internal operations model, and will endeavor to give this notification within a reasonable time prior to the effective date thereof for transparency and alignment with the City’s concerns but any such transition will not require the City’s prior approval.

SECTION 4: MINIMUM EVENT SPACE GUARANTEE
•National CORE understands and appreciates the City’s desire to maintain sufficient event space capacity to accommodate the anticipated community and public needs, and National CORE’s initial plan is to have a contiguous outdoor space at the winery facility that could adequately host at least 500 people at a single event.
•National CORE is committed to ensuring the winery facility can adequately host events for up to 500 people using a combination of banquet rooms, the courtyard, and outdoor areas once National CORE’s contemplated renovations are completed without necessarily being subject to a requirement for a single, contiguous event space for at least 500 people. •This approach will allow the winery the flexibility to adapt to market demands, ensuring the financial viability of the Premises while satisfying community and event-hosting needs. •By retaining the autonomy to design and manage event spaces based on practical and economic considerations, National CORE can better position the winery to serve both public and private interests in a viable and sustainable manner.

SECTION 5: OPERATIONAL CONTINUITY OF WINERY AND ACADEMY •National CORE will cause Lessee to sublease a portion of the Premises to an affiliate to serve as the home for CORE Academy (vocational programming), that will be operationally separate from the winemaking activities required to be operated at the Premises in accordance with the Lease (except for any City-approved closures). •The winery will exercise its commercially reasonable best efforts to source a portion of juice and bulk wine for winemaking, as well as some of its wholesale bottled wine for retail sales and its food and beverage program, from Cucamonga Valley AVA producers, provided, if the winery cannot source on commercially reasonable terms at least ten percent (10%) of such juice and bulk wine for winemaking from Cucamonga Valley AVA producers in any calendar year, then winery may source such ten percent (10%) of its juice and bulk wine for winemaking from producers located in greater Southern California and, provided further, if winery cannot then source such ten percent (10%) of its juice and bulk wine for winemaking from producers located in greater Southern California, Lessee shall give City written notice of such an event along with an explanation of the circumstances, and the notification shall be within a reasonable time after the grapes have been harvested for that calendar year.
•Due to potential supply limitations and customer taste preferences, the winery would not be able to guarantee consistent sourcing or a consistent amount solely from Cucamonga

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Valley AVA producers, but the winery will exercise its commercially reasonable best efforts to adequately represent the Cucamonga Valley AVA when supply of juice and bulk wine is available, in-demand, and competitively priced. •During the renovation period of the main winery facility, National CORE is committed to further supporting the Cucamonga Valley AVA by ensuring that the temporary tasting room, as outlined in our original proposal (and as required by the Third Amendment if Lessee elects the temporary closure of the Premises), features a guest label showcase, highlighting and promoting the work of local AVA winemakers. •National CORE contemplates changing the name of the winery from Joseph Fillipi Winery to Regina Winery of California, however, Lessee must give the City written notice of such change, and the notification shall be within a reasonable time prior to the effective change.

Lessee acknowledges that City reserves the right to review and approve any application or request for a new use permit for the winery subject to such conditions relating to operational hours, the conduct of live entertainment and other restrictions as City may reasonably impose.

Finally, it is contemplated that the general terms set forth herein are intended to express the parties’ present intent and may be incorporated into an agreement, Lease amendment, and/or permit, as applicable, and will be subject to formal approval by each party, in their sole and absolute discretion, but only after compliance with the California Environmental Quality Act (“CEQA”) to the extent applicable and any other applicable laws.

Sincerely,
Michael Ruane
President
National Community Renaissance of California
Acknowledged and agreed to:

FOR THE CITY OF RANCHO CUCAMONGA,
a California municipal corporation
By:

John Gillison
City Manager
Date: February __, 2025

January 29, 2025
John R. Gillison
RE: SIDE LETTER AGREEMENT REGARDING J. FILIPPI WINERY
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AS14248.0862694 4912-2912-9233v4

Temporary Tasting Room
ATTACHMENT 3

2025/02/19 – REGULAR CITY COUNCIL MEETING - ITEM H2 –CORRESPONDENCE RECEIVED 2/19/2025

-----Original Message-----
From: Victoria Haselwander <[email protected]> Sent: Wednesday, February 19, 2025 11:19 AM
To: City Clerk <[email protected]>
Cc: Oriel, Jasmin <[email protected]>
Subject: J. Fillipi Vintage Co. item #H2

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To the city council of Rancho Cucamonga
This correspondence is in regards to the proposal for the property known as J. Filippi Vintage Co. I would ask the council to be vigilant in the overseeing of this project. The plans seem to be encompassing all the requirements for historical preservation and new use.

Please use caution if or when changes need to be made. Sometimes in the zeal to complete a project there can be an overlooking of the long term effects to the community. This has happened on previous projects especially in regards to parking spaces etc.

Please keep your commitment that there will not be any residential space.Also, it will be a challenge to have this area designated for 500 seating capacity with limited parking.

Sincerely,
Victoria Haselwander
Landowner in Victoria Windrows