Rancho Cucamonga City Council
July 16, 2025

$1,060 $1,060 $1,060
$16,000 $16,000 $16,000
$789,000 $860,501 $780,460
$0 $7,420 $7,420
$6,550 $5,900 $5,900
$81,010 $120,980 $244,840
$1,200 $1,200 $1,200
$3,760 $3,760 $5,510
$324,950 $362,365 $313,720
$0 $7,690 $7,690
$0 $3,266 $0
$265,980 $265,980 $265,980
$5,843,660 $6,007,062 $5,793,750
$1,860 $970 $970
$420 $420 $420
$2,280 $1,390 $1,390
$1,720 $1,720 $1,740
$22,000 $67,372 $67,380
$22,000 $22,000 $22,000
$14,580 $15,730 $15,730
$1,800 $1,800 $1,800
$62,100 $108,622 $108,650
$1,720 $1,720 $1,740
$44,100 $22,000 $22,000
SC1200 - Computer Accessories
and Minor Equipment
SC1303 - Supplies - Office
SC1404 - General Operations
SC1408 - Publications and
Subscriptions
SC1501 - Membership Dues and
Fees
SC1601 - Utility Charges -
Electric
SC1605 - Utility Charges -
Telephone
SC1606 - Utility Charges - Water
SC2106 - Contract Services -
Professional Services
SC2107 - Contract Services -
Software
SC7002 - Capital Outlay -
Equipment and Furnishings
SC1801 - General Overhead
CC601 - LIBRARY

ADMINISTRATION TOTAL
CC603 - Literacy Services
CC605 - Library Board Of
Trustees
SC1001 - Travel and Lodging
SC1501 - Membership Dues and
Fees
CC605 - LIBRARY BOARD OF

TRUSTEES TOTAL
CC606 - Archibald Library
SC1200 - Computer Accessories
and Minor Equipment
SC1201 - Minor Equipment and
Small Tools
SC1603 - Utility Charges -
Internet
SC2106 - Contract Services -
Professional Services
SC2107 - Contract Services -
Software
CC606 - ARCHIBALD LIBRARY
TOTAL
CC607 - Paul A. Biane Library
SC1200 - Computer Accessories
and Minor Equipment
SC1201 - Minor Equipment and
Small Tools
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$32,000 $32,000 $32,000
$53,540 $54,690 $54,690
$1,800 $1,800 $1,800
$133,160 $112,210 $112,230
$6,041,200 $6,229,284 $6,016,020
$19,850 $23,525 $4,850
$150 $300 $150
$740 $740 $0
$20,740 $24,565 $5,000
$20,740 $24,565 $5,000
$0 $15,000 $2,030
$22,500 $7,500 $14,000
$1,700 $1,700 $1,700
$24,200 $24,200 $17,730
$24,200 $24,200 $17,730
$0 $13,452,160 $19,615,280
$12,488,430 $0 $0
$3,270 $3,270 $3,270
$12,491,700 $13,455,430 $19,618,550
$12,491,700 $13,455,430 $19,618,550
SC1603 - Utility Charges -
Internet
SC2106 - Contract Services -
Professional Services
SC2107 - Contract Services -
Software
CC607 - PAUL A. BIANE

LIBRARY TOTAL
CC610 - Second Story and
Beyond
F290 - LIBRARY FUND TOTAL
F291 - California State Library
CC602 - Library Grant
Management
SC1404 - General Operations
SC2106 - Contract Services -
Professional Services
SC1801 - General Overhead
CC602 - LIBRARY GRANT

MANAGEMENT TOTAL
F291 - CALIFORNIA STATE

LIBRARY TOTAL
F292 - Staff Innovation Fund
CC602 - Library Grant
Management
SC1000 - Training and Meetings
SC1001 - Travel and Lodging
SC1801 - General Overhead
CC602 - LIBRARY GRANT

MANAGEMENT TOTAL
F292 - STAFF INNOVATION

FUND TOTAL
F329 - Library Capital Fund
CC601 - Library Administration
SC7000 - Capital Outlay -
Buildings
SC7008 - Capital Projects (GL
Conversion Only)
SC1801 - General Overhead
CC601 - LIBRARY

ADMINISTRATION TOTAL
F329 - LIBRARY CAPITAL FUND
TOTAL
F700 - Sports Complex
CC529 - Fire Facilities
Maintenance
CC401 - Community Services
Administration
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$939,670 $939,670 $939,670
$260,480 $225,480 $225,480
$80,000 $80,000 $80,000
$0 $0 $192,200
$0 $0 $2,000
$0 $0 $9,500
$552,930 $552,930 $552,930
$0 $0 $14,000
$0 $0 $10,000
$0 $2,100 $2,100
$4,800 $8,586 $8,800
$192,310 $66,720 $65,000
$280 $280 $280
$193,820 $193,820 $193,820
$14,250 $14,250 $14,250
$1,230 $1,230 $1,230
$93,590 $93,590 $93,590
$19,360 $0 $0
$1,500 $0 $0
$226,930 $343,530 $343,530
$41,140 $159 $160
$58,620 $41,220 $41,220
$68,250 $0 $0
$20,490 $20,490 $20,490
$14,160 $14,160 $14,160
$128,410 $128,410 $128,410
$0 $0 $130,000
CC405 - RC Sports Center
CC406 - Special Events
CC409 - Park Services
CC312 - Facilities Maintenance
SC0001 - Regular Salaries and
Wages
SC0002 - Part Time Salaries and
Wages
SC0003 - Overtime
SC0105 - CalPERS
SC0106 - Deferred
Compensation 401A
SC0107 - Deferred
Compensation 457
SC0109 - Fringe Benefits
SC0111 - Medicare
SC0112 - PARS ER Contributions
SC1200 - Computer Accessories
and Minor Equipment
SC1403 - Building and
Equipment Rental
SC1404 - General Operations
SC1503 - Permit Fees
SC1601 - Utility Charges -
Electric
SC1602 - Utility Charges - Gas
SC1605 - Utility Charges -
Telephone
SC1606 - Utility Charges - Water
SC1700 - Repairs and
Maintenance - Equipment
SC1705 - Repairs and
Maintenance - Vehicles
SC2101 - Contract Services -
Facilities
SC2103 - Contract Services -
Landscaping and Trees
SC2106 - Contract Services -
Professional Services
SC7002 - Capital Outlay -
Equipment and Furnishings
SC1801 - General Overhead
SC7501 - Interest Expense -
Bonds and Capital Leases
SC7503 - Principal Payment -
Bonds and Capital Leases
SC7505 - Principal Payment
Clearing
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$2,912,220 $2,726,625 $3,082,820
$0 $1,500 $1,500
$0 $1,500 $1,500
$0 $0 $9,900
$0 $0 $32,000
$0 $0 $8,700
$0 $0 $550
$0 $0 $700
$0 $0 $600
$0 $1,500 $1,500
$0 $144,790 $145,000
$0 $6,160 $6,200
$0 $41,140 $41,000
$0 $14,300 $14,300
$0 $68,250 $68,250
$0 $276,140 $328,700
$2,912,220 $3,004,265 $3,413,020
$650,130 $650,130 $650,130
$41,070 $41,070 $41,070
$0 $550 $550
$321,500 $321,500 $321,500
$42,000 $40,200 $40,200
$6,010 $7,310 $7,040
$0 $500 $500
$1,000 $4,300 $4,300
$2,500 $2,500 $2,500
CC312 - FACILITIES

MAINTENANCE TOTAL
CC317 - City Vehicle and
Equipment Maintenance
SC1705 - Repairs and
Maintenance - Vehicles
CC317 - CITY VEHICLE AND

EQUIPMENT MAINTENANCE
TOTAL
CC319 - Park Maintenance
SC0001 - Regular Salaries and
Wages
SC0003 - Overtime
SC0105 - CalPERS
SC0107 - Deferred
Compensation 457
SC0111 - Medicare
SC0112 - PARS ER Contributions
SC1403 - Building and
Equipment Rental
SC1404 - General Operations
SC1700 - Repairs and
Maintenance - Equipment
SC2103 - Contract Services -
Landscaping and Trees
SC2105 - Contract Services -
Parks
SC7002 - Capital Outlay -
Equipment and Furnishings
CC319 - PARK MAINTENANCE
TOTAL
BLANK - Description pending
F700 - SPORTS COMPLEX
TOTAL
F705 - Municipal Utility
CC304 - Municipal Utility
SC0001 - Regular Salaries and
Wages
SC0002 - Part Time Salaries and
Wages
SC0003 - Overtime
SC0109 - Fringe Benefits
SC1000 - Training and Meetings
SC1001 - Travel and Lodging
SC1002 - Mileage
SC1200 - Computer Accessories
and Minor Equipment
SC1303 - Supplies - Office
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$0 $0 $7,500
$0 $0 $40
$200 $200 $200
$17,039,000 $17,023,650 $17,027,500
$1,000 $1,000 $1,000
$23,250 $22,700 $24,660
$170 $170 $170
$151,300 $151,300 $151,300
$540 $540 $540
$5,000 $5,000 $5,000
$50,000 $50,000 $50,000
$1,117,890 $1,416,798 $1,148,100
$14,000 $14,000 $14,000
$215,000 $3,082,874 $2,400,110
$0 $200,000 $0
$3,875,350 $0 $0
$0 $6,147,739 $5,346,200
$332,600 $332,600 $332,600
$2,106,860 $2,106,860 $2,106,860
$25,996,370 $31,623,491 $29,683,570
$0 $0 $100
$0 $0 $790,902
$0 $0 $791,002
$0 $2,390 $2,390
$0 $2,390 $2,390
SC1402 - Bad Debt Expense
SC1404 - General Operations
SC1408 - Publications and
Subscriptions
SC1409 - Purchased Power
SC1410 - Solar Net Metering
SC1501 - Membership Dues and
Fees
SC1503 - Permit Fees
SC1600 - Utility Charges -
Cellular
SC1605 - Utility Charges -
Telephone
SC2000 - Miscellaneous
Contributions to Other Funds
SC2104 - Contract Services -
Legal Services
SC2106 - Contract Services -
Professional Services
SC2107 - Contract Services -
Software
SC7002 - Capital Outlay -
Equipment and Furnishings
SC7004 - Capital Outlay -
Infrastructure
SC7008 - Capital Projects (GL
Conversion Only)
SC7009 - Utility Infrastructure
SC1801 - General Overhead
SC9000 - Transfers Out -
Operating
CC304 - MUNICIPAL UTILITY
TOTAL
CC303 - Engineering
Administration
SC1605 - Utility Charges -
Telephone
SC7002 - Capital Outlay -
Equipment and Furnishings
CC303 - ENGINEERING

ADMINISTRATION TOTAL
CC312 - Facilities Maintenance
SC2106 - Contract Services -
Professional Services
CC312 - FACILITIES

MAINTENANCE TOTAL
CC318 - Street Maintenance
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$0 $550 $550
$0 $22,990 $22,990
$0 $23,540 $23,540
$25,996,370 $31,649,421 $30,500,502
$154,780 $154,780 $154,780
$77,390 $77,390 $77,390
– – $73,550
$200 $200 $200
$161,800 $66,800 $73,550
$1,240 $1,340 $1,340
$25,000 $22,885 $22,885
$27,210 $27,210 $27,210
$447,620 $350,605 $430,905
$447,620 $350,605 $430,905
$0 $858,660 –
$0 $858,660 –
$0 $858,660 –
$78,120 $78,120 $133,541
$442,940 $442,940 $273,990
$173,860 $173,860 $0
$300 $300 $300
$2,500 $2,500 $3,100
$200 $200 $200
$5,000 $5,000 $1,500
SC1501 - Membership Dues and
Fees
SC2106 - Contract Services -
Professional Services
CC318 - STREET MAINTENANCE
TOTAL
F705 - MUNICIPAL UTILITY
TOTAL
F706 - Utility Public Benefit Fund
CC304 - Municipal Utility
SC0001 - Regular Salaries and
Wages
SC0109 - Fringe Benefits
SC1404 - General Operations
SC1408 - Publications and
Subscriptions
SC1409 - Purchased Power
SC1501 - Membership Dues and
Fees
SC2106 - Contract Services -
Professional Services
SC1801 - General Overhead
CC304 - MUNICIPAL UTILITY
TOTAL
F706 - UTILITY PUBLIC BENEFIT

FUND TOTAL
F708 - RCMU Capital
Replacement Fund
CC304 - Municipal Utility
SC7002 - Capital Outlay -
Equipment and Furnishings
CC304 - MUNICIPAL UTILITY
TOTAL
F708 - RCMU CAPITAL

REPLACEMENT FUND TOTAL
F710 - Second Story and Beyond
CC601 - Library Administration
CC610 - Second Story and
Beyond
SC0001 - Regular Salaries and
Wages
SC0002 - Part Time Salaries and
Wages
SC0109 - Fringe Benefits
SC1000 - Training and Meetings
SC1001 - Travel and Lodging
SC1002 - Mileage
SC1303 - Supplies - Office
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$80,850 $80,850 $37,460
$181,730 $181,730 $132,860
$965,500 $965,500 $582,951
$965,500 $965,500 $582,951
$5,000 $5,000 $5,000
$176,200 $176,200 $176,200
$550 $0 $19
$189,120 $168,800 $168,800
$0 $7,258,717 $7,258,717
$223,870 $0 $0
$0 $1,234,180 $1,234,180
$16,130 $16,130 $16,130
$610,870 $8,859,027 $8,859,046
– – $17,330
$0 $0 $17,330
$0 $17,330 $17,330
$0 $17,330 $17,330
$0 $550 $550
$0 $2,990 $22,990
$0 $3,540 $23,540
$610,870 $8,879,897 $8,917,246
$410,760 $0 $410,760
SC1404 - General Operations
SC2106 - Contract Services -
Professional Services
CC610 - SECOND STORY AND

BEYOND TOTAL
F710 - SECOND STORY AND

BEYOND TOTAL
F711 - Fiber Optic Network
CC304 - Municipal Utility
SC1303 - Supplies - Office
SC1404 - General Operations
SC1501 - Membership Dues and
Fees
SC2106 - Contract Services -
Professional Services
SC7004 - Capital Outlay -
Infrastructure
SC7008 - Capital Projects (GL
Conversion Only)
SC7009 - Utility Infrastructure
SC1801 - General Overhead
CC304 - MUNICIPAL UTILITY
TOTAL
CC303 - Engineering
Administration
SC2101 - Contract Services -
Facilities
CC303 - ENGINEERING

ADMINISTRATION TOTAL
CC312 - Facilities Maintenance
SC2106 - Contract Services -
Professional Services
CC312 - FACILITIES

MAINTENANCE TOTAL
CC318 - Street Maintenance
SC1501 - Membership Dues and
Fees
SC2106 - Contract Services -
Professional Services
CC318 - STREET MAINTENANCE
TOTAL
F711 - FIBER OPTIC NETWORK
TOTAL
F712 - Equipment and Vehicle
Replacement
CC001 - Non-Departmental
General
SC1404 - General Operations
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$12,000 $0 $12,000
$591,800 $603,800 $591,800
$870,000 $1,440,054 $870,000
$19,210 $19,210 $19,210
$1,903,770 $2,063,064 $1,903,770
$0 $33,330 $0
– – $12,000
$0 $33,330 $12,000
$0 $362,430 $0
$0 $362,430 $0
$0 $15,000 $0
$0 $15,000 $0
$1,903,770 $2,473,824 $1,915,770
$36,560 $36,560 $36,560
$67,160 $67,160 $67,160
$31,600 $31,600 $31,600
$182,500 $222,500 $182,500
$566,810 $1,177,036 $793,900
$40,000 $40,000 $40,000
$100,000 $100,000 $100,000
$24,980 $24,980 $24,980
$1,049,610 $1,699,836 $1,276,700
– – $6,400
SC2106 - Contract Services -
Professional Services
SC7002 - Capital Outlay -
Equipment and Furnishings
SC7007 - Capital Outlay -
Vehicles
SC1801 - General Overhead
CC001 - NON-DEPARTMENTAL

GENERAL TOTAL
CC312 - Facilities Maintenance
SC1404 - General Operations
SC2106 - Contract Services -
Professional Services
CC312 - FACILITIES

MAINTENANCE TOTAL
CC318 - Street Maintenance
SC1404 - General Operations
CC318 - STREET MAINTENANCE
TOTAL
CC319 - Park Maintenance
SC1404 - General Operations
CC319 - PARK MAINTENANCE
TOTAL
F712 - EQUIPMENT AND

VEHICLE REPLACEMENT TOTAL
F714 - Computer Equipment and
Technology Replacement
CC001 - Non-Departmental
General
SC0001 - Regular Salaries and
Wages
SC0002 - Part Time Salaries and
Wages
SC0109 - Fringe Benefits
SC1200 - Computer Accessories
and Minor Equipment
SC2106 - Contract Services -
Professional Services
SC2107 - Contract Services -
Software
SC7002 - Capital Outlay -
Equipment and Furnishings
SC1801 - General Overhead
CC001 - NON-DEPARTMENTAL

GENERAL TOTAL
CC206 - Finance
SC1000 - Training and Meetings
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

$0 $215,890 $216,295
$0 $215,890 $222,695
$1,049,610 $1,915,727 $1,499,395
$339,838,170 $408,062,237 $390,957,490
SC2107 - Contract Services -
Software
CC206 - FINANCE TOTAL
F714 - COMPUTER EQUIPMENT

AND TECHNOLOGY

REPLACEMENT TOTAL
F000 - Pooled Cash
Administration
CC401 - Community Services
Administration
CC402 - Central Park Operations
CC406 - Special Events
CC407 - Victoria Gardens
Cultural Center
CC409 - Park Services

EXPENDITURE SUMMARY
TOTAL
FY 2024-25 ADOPTED BUDGET FY 2024-25 AMENDED BUDGET FY 2024-25 ESTIMATED ACTUALS FY2025 FY2025 FY2025
City of Rancho Cucam onga | Rancho Cucam onga Fire Protection District Estim ated Actuals - FY 2024/25

2 9
2 9
DATE:

TO:

FROM:

INITIATED BY:

SUBJECT:

July 16, 2025
Mayor and Members of the City Council
John R. Gillison, City Manager
Peter Castro, Deputy City Manager - Administrative Services Jevin Kaye, Finance Director
Ruth Cain, Procurement Manager
Cheryl Combs, Procurement Technician
Consideration to Declare Surplus for Retired Computers, Monitors, Laptops, Printers, TV, Plotter, and iPads, Deemed No Longer Needed, Obsolete or Unusable as Surplus. (CITY)
RECOMMENDATION:

Staff recommends the City Council declare the list of retired computers, monitors, laptops, printers, TV, plotter, and iPads detailed in the Analysis section that have been deemed no longer needed, obsolete or unusable as surplus.

BACKGROUND:

Per the City's Municipal Code Section 3.08.150, the Procurement Manager shall have the authority, granted by the City Council, to request to dispose of City items that have been deemed as obsolete and unsuitable for City use. Methods for disposing of surplus are to exchange for or trade in on new supplies, transfer to another department, or offer for sale on a competitive bid basis. After a reasonable effort, and if no bids have been received, Procurement may dispose of surplus for the highest scrap value. The City may sell surplus property to any other governmental agency at a fair market value without any other bids or donate surplus property to any agency or entity which is exempt from federal income tax, with the approval of City Council.

ANALYSIS:

The items to be considered for surplus at this time were submitted by “DoIT” Department of Innovation & Technology. Proposed surplus items include retired computers, monitors, laptops, printers, TV, plotter, and iPads deemed no longer needed, obsolete, or unusable. Staff recommends that the Council approve the disposal of these items through auction or best method as determined by the Procurement Manager.

F/A No. Description Make/ Model Serial No.

3243 Epson Scanner Expression 100000 EU-88 14310
6477 Lenovo Tower ThinkStation 1S30BYS1BK00MJ076B37
IS00917 HP Printer CE958A CNDF609585
6467 Lenovo Tower ThinkStation 1S30BYS1BK00MJ076B34
6438 HP Printer M402dne PHB5B61615
6457 Lenovo Tower ThinkStation 1S30BYS1BK00MJ076B2V
6603 HP Printer M402n PHBHM41486

2 9
2 9
F/A No. Description Make/ Model Serial No.
6871 Lenovo Tower p520C MJ08TAGP
6460 Tower Tower p520C MJ076B35
6887 Tower Tower p520C MJ08TAGN
7839 Lenovo Tiny M920Q MJ0CKGQR
6768 Lenovo Tiny M920Q MJ08Q5AG
7148 Lenovo Tiny M920Q MJ0A4AYH
6765 Lenovo Tiny M920Q MJ08Q5AJ
7058 Lenovo Tiny M920Q MJ0A4AYE
6743 Lenovo Tiny M920Q MJ08Q5B8
6767 Lenovo Tiny M920Q MJ08Q5BB
7854 Lenovo Tiny M920Q MJ0HMT8A
7071 Lenovo Tiny M920Q MJ0A4AVH
7061 Lenovo Tiny M920Q MJ0A4AWS
7041 Lenovo Tiny M920Q MJ0A4AWY
6894 Lenovo Tiny M920Q MJ0910HW
6766 Lenovo Tiny M920Q MJ08Q5A7
6620 Lenovo Tiny M920Q MJ07YHAE
7195 Lenovo Tiny M920Q MJ0A4AXL
7208 Lenovo Tiny M920Q MJ0A4B08
7304 Lenovo Tiny M920Q MJ0BE8Z2
6575 Lenovo Tiny M920Q MJ07PE02
7196 Lenovo Tiny M920Q MJ0A4AXB
7262 Lenovo Tiny M920Q MJ0BE907
6748 Lenovo Tiny M920Q MJ08Q5AN
6744 Lenovo Tiny M920Q MJ08Q59C
6785 Lenovo Tiny M920Q MJ08Q59L
6666 Lenovo Tiny M920Q MJ08B5EC
7150 Lenovo Tiny M920Q MJ0A4AVC
6924 Lenovo Tiny M920Q MJ0910HP
6792 Lenovo Tiny M920Q MJ08Q59V
7080 Lenovo Tiny M920Q MJ0A4AX2
7200 Lenovo Tiny M920Q MJ0A4AXC
6931 Lenovo Tiny M920Q MJ0910HQ
7265 Lenovo Tiny M920Q MJ0BE909
6980 Lenovo Tiny M920Q MJ0A4AYW
7161 Lenovo Tiny M920Q MJ0A44WB
7102 Lenovo Tiny M920Q MJ0A4ATQ
6962 Lenovo Tiny M920Q MJ0A44W3
6413 Lenovo Tiny M920Q MJ0741W7
7155 Lenovo Tiny M920Q MJ0A4AW5
6896 Lenovo Tiny M920Q MJ0BE8ZN
6896 Lenovo Tiny M920Q MJ0910HY
7042 Lenovo Tiny M920Q MJ0A4AZ3
7456 Lenovo Tiny M920Q MJ0DXPEJ
7066 Lenovo Tiny M920Q MJ0A4AW8
7269 Lenovo Tiny M920Q MJ0BE8ZE

2 9
2 9
F/A No. Description Make/ Model Serial No.
7053 Lenovo Tiny M920Q MJ0A4AX4
6838 Lenovo Tiny M920Q MJ0910H5
7135 Lenovo Tiny M920Q MJ0A4B00
7008 Lenovo Tiny M920Q MJ0A4AXP
7070 Lenovo Tiny M920Q MJ0A4AYR
7099 Lenovo Tiny M920Q MJ0A4ATL
6949 Lenovo Tiny M920Q MJ0A4AZB
7129 Lenovo Tiny M920Q MJ0A4AWH
7264 Lenovo Tiny M920Q MJ0BE8Z1
6836 Lenovo Tiny M920Q MJ0910H1
7257 Lenovo Tiny M920Q MJ0BE8ZH
7287 Lenovo Tiny M920Q MJ0BE900
6828 Lenovo Tiny M920Q MJ096E1S
7268 Lenovo Tiny M920Q MJ0BE8ZG
6990 Lenovo Tiny M920Q MJ0A4AZ4
7199 Lenovo Tiny M920Q MJ0A4AWF
7068 Lenovo Tiny M920Q MJ0A4AWG
7096 Lenovo Tiny M920Q MJ0A4ATZ
6991 Lenovo Tiny M920Q MJ0A44W5
6745 Lenovo Tiny M920Q MJ08Q5B6
6937 Lenovo Tiny M920Q MJ0910HA
7079 Lenovo Tiny M920Q MJ0A4AV4
6953 Lenovo Tiny M920Q MJ0A4AZ1
6932 Lenovo Tiny M920Q MJ0910HF
6618 Lenovo Tiny M920Q MJ07YHAJ
7075 Lenovo Tiny M920Q MJ0A4AVW
7143 Lenovo Tiny M920Q MJ0A4AVJ
7056 Lenovo Tiny M920Q MJ0A4AWA
7087 Lenovo Tiny M920Q MJ0A4AZ0
6661 Lenovo Tiny M920Q MJ08B5E1
6996 Lenovo Tiny M920Q MJ0A4B0P
6994 Lenovo Tiny M920Q MJ0A44W8
7295 Lenovo Tiny M920Q MJ0BE8ZC
7074 Lenovo Tiny M920Q MJ0A4ATV
6948 Lenovo Tiny M920Q MJ0A4AZL
7174 Lenovo Tiny M920Q MJ0A4B0C
7039 Lenovo Tiny M920Q MJ0A4AWE
7039 Lenovo Tiny M920Q MJ0A4AY4
6571 Lenovo Tiny M920Q MJ07PE0B
7020 Lenovo Tiny M920Q MJ0A4AYF
6846 Lenovo Tiny M920Q MJ0910GV
6841 Lenovo Tiny M920Q MJ0910J3
6843 Lenovo Tiny M920Q MJ0910HD
6842 Lenovo Tiny M920Q MJ0910GS
6985 Lenovo Tiny M920Q MJ0A4AYM
6787 Lenovo Tiny M920Q MJ08Q5AF

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F/A No. Description Make/ Model Serial No.
7188 Lenovo Tiny M920Q MJ0A4AV1
6954 Lenovo Tiny M920Q MJ0A4AY9
7271 Lenovo Tiny M920Q MJ0BE8YW
7258 Lenovo Tiny M920Q MJ0BE8ZF
7072 Lenovo Tiny M920Q MJ0A4AXK
7000 Lenovo Tiny M920Q MJ0A4AZ2
7157 Lenovo Tiny M920Q MJ0A4AZW
7130 Lenovo Tiny M920Q MJ0A4AXQ
7261 Lenovo Tiny M920Q MJ0BE8YY
7263 Lenovo Tiny M920Q MJ0BE8YX
7085 Lenovo Tiny M920Q MJ0A4AZP
6794 Lenovo Tiny M920Q MJ08Q5A5
6974 Lenovo Tiny M920Q MJ0A44WE
7186 Lenovo Tiny M920Q MJ0A4ATH
7092 Lenovo Tiny M920Q MJ0A4AZ8
7095 Lenovo Tiny M920Q MJ0A4AXG
7101 Lenovo Tiny M920Q MJ0A4AXN
6956 Lenovo Tiny M920Q MJ0A4AWD
6952 Lenovo Tiny M920Q MJ0A4AXA
7069 Lenovo Tiny M920Q MJ0A4AZK
6988 Lenovo Tiny M920Q MJ0A4ATG
6415 Lenovo Tiny M920Q MJ0741W6
6510 Lenovo Tiny M920Q MJ07A76R
6424 Lenovo Tiny M920Q MJ075NH6
6951 Lenovo Tiny M920Q MJ0A4AZH
6540 Lenovo Tiny M920Q MJ07K7MZ
6895 Lenovo Tiny M920Q MJ0910HV
NONE Dell Monitor U2410F NONE
NONE HP Monitor ZR300W CN432503M4
NONE Dell Monitor U2412MC 2562QL2
NONE Dell Monitor U2412MC JLS7QL2
NONE DELL Monitor E2422HS 2S8GZP3
1634 VIEWSONIC Monitor VX2252MH TVR151762276
NONE DELL Monitor E2417H DK8VWV2
1190 ACER Monitor V226HQL MMLY7AA0043450A6988510
1189 ACER Monitor V226HQL MMLY7AA0043450A6A98510
NONE DELL Monitor SE2419HX BR1X4C3
5448 PANASONIC TOUGHBOOK CF-19 CF-195FYAXLM
RCF00002 PANASONIC TOUGHBOOK CF-19 CF-19ZA517CM
4640 PANASONIC TOUGHBOOK CF-19 CF-191FYAX1M
5451 PANASONIC TOUGHBOOK CF-19 CF-195FYAXLM
5452 PANASONIC TOUGHBOOK CF-19 CF-195FYAXLM
NONE PANASONIC TOUGHBOOK CF-19 CF-19KDRAX6M
NONE PANASONIC TOUGHBOOK CF-19 CF-19KDRAX6M
7250 DELL LAPTOP XPS GXHHN13
7117 DELL LAPTOP 5530 FF950Z2

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F/A No. Description Make/ Model Serial No.
7807 DELL LAPTOP 5520 gkjwv93
5993 DELL LAPTOP INSPIRON gp604c2
7602 DELL LAPTOP 5510 F62L493
1096 ACER Monitor V246HL MMLXMAA00134907FEA4200
1245 DELL Monitor E2316HR HVVC192
NONE DELL Monitor E2416HM 47VRDD2
NONE TATUNG Monitor TM17 S122K02460783
1134 LENOVO Monitor VISION 1S9419HC2VLDM334
NONE DELL Monitor E2416HM 77VRDD2
1187 ACER Monitor V226HQL MMLY7AA0043450A6978510
6205 INTEL PC NUC615SYH F44D30687713
NONE INSIGNIA MONITOR NS39L250A1 22ALC39MF70EH011429
IS00907 ITHACA PRINTER SERIES150 KG005091474
NONE HYPERCOM PRINTER T4210 801680060072
NONE HYPERCOM PRINTER T4210 801680060437
NONE HYPERCOM PRINTER T4210 801680060066
NONE ACER Monitor V226HQL MMLY7AA0043450A6A28510
NONE ACER Monitor V226HQL MMLY7AA0043450D96C8510
NONE ACER Monitor V226HQL MMLY7AA0043450A6BB8510
NONE SAMSUNG TV UN60KU6300F 05HZ3CNHB02483L
NONE XEROX PRINTER PART afn07 D3A607642
NONE HP PLOTTER 3EK10A CN95R1H02D0707
FISCAL IMPACT:

As of June 25, 2025, surplus has accumulated $115,214.56 in sales through the Public Surplus auction site.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

Reusing and recycling items supports the City Council's Core Value of promoting and enhancing a safe and healthy community for all.

ATTACHMENTS:

None.

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Maritza Martinez, Public Works Services Director Daniel Akers, Public Works Services Deputy Director
Lisa O'Brien, Public Works Business Manager
Fily Reyes, Assistant Engineer
Paige Eberle, Management Analyst II
SUBJECT: Consideration to Terminate Contract No. 2024-214 with Marjani Builders, Inc. for Family Resource Center Rehabilitation Project. (CITY) RECOMMENDATION:

Staff recommends the City Council ratifies the termination of the Family Resource Center Rehabilitation Project contract with Marjani Builders, Inc.

BACKGROUND:

On Tuesday, December 3, 2024, the City awarded a contract to Marjani Builders Inc. (Marjani) to construct the Family Resource Center Rehabilitation Project. Construction began on Monday, February 10, 2025. On Monday, May 5, 2025, the City was made aware that Marjani had engaged two subcontractors to do work on the project which had not been listed in Marjani’s bid. Marjani effectively admitted to this when they submitted their request of the addition of two new subcontractors.

The utilization of undisclosed subcontractors was a violation of the Public Contract Code. As outlined in Public Contract Code 4106, if a prime contractor fails to specify a subcontractor at the time of bid, the prime contractor agrees that he or she is fully qualified to perform that portion himself or herself. Pursuant to Public Contract Code 4110 the prime contractor is in violation of the provisions in Chapter 4, giving reason for the awarding authority to exercise the option to cancel the prime contractor’s contract.

ANALYSIS:

Marjani was notified of their contract being terminated by certified mail on June 23 rd, 2025.

Pursuant to Public Contract Code Sec. 4110, Marjani asked for a hearing which was conducted on June 30, 2025. Staff recommends the contract with Marjani Builders, Inc., be terminated.

Staff’s recommendation is supported by the hearing officer’s determination, attached, which affirms Marjani violated the Public Contract Code by having unauthorized subcontractors complete work on the Family Resource Center Rehabilitation Project without the city’s consent.

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FISCAL IMPACT:

Completion of the Project will be tendered to the Project’s performance bond surety that was required at the time of bid for completion of the project.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

Through the City’s relentless pursuit of improvement, we are ensuring the highest standards of the contractors we work with.

ATTACHMENTS:

Attachment 1 – Contract Termination Administrative Hearing

ATTACHMENT 1

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Julie A. Sowles, Deputy City Manager-Community Programs Wess Garcia, Library Director
Cara Vera, Deputy Director of Library Services
SUBJECT: Consideration to Ratify the City Manager’s Execution of a Contract Awarded by the County of San Bernardino to Provide $1,200,000 for Enhanced Development of the Westside Library Expansion Project. (CITY) RECOMMENDATION:

Staff recommends the City Council ratify the City Manager’s execution of a contract with the County of San Bernardino to provide $1,200,000 for enhanced development of the Westside Library Expansion Project.

BACKGROUND:

This Project will create an expanded library facility at the City-owned Lions East and West sites.

California Senate Bill 129, an amendment to the 2021 Budget Act, allocated $439 million for the Building Forward Library Infrastructure Grant program to support library maintenance and capital projects through one-time, equity-focused matching grants. On March 19, 2022, the City applied for first-round funding and received an “intent to fund” award of $6,498,126 on October 18, 2022, requiring a 50% City match of $3,249,063 for the Westside Library Expansion Project.

On June 7, 2023, the City contracted with DLR Group, Inc. for project design services, including exterior and interior modernization, infrastructure upgrades, and bid documentation.

On June 16, 2025, City Council approved ACC Contractors, Inc. to provide construction services in the amount of $11,500,000.

On June 18, 2025, Second District Supervisor Jesse Armendarez helped to secure $1,200,000 in funding through San Bernardino County to the Library Services Department to support expenditures related to the Westside Library Expansion Project.

On June 26, 2025, City Council approved an amendment to the DLR design services contract to include enhanced site improvements.

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ANALYSIS:

The project includes full interior demolition and renovation of the Lions East and West buildings to meet modern library needs. Interior upgrades feature a public lobby, collection areas, service counters, study rooms, event spaces, and staff areas. Exterior work includes new finishes, signage, an architectural canopy, window replacements, and updated landscaping with accessible walkways. The project also delivers new roofing, lighting, HVAC, plumbing, and technology throughout.

As part of the County of San Bernardino’s Priorities Program, Second District Supervisor Jesse Armendarez has recommended a $1.2 million contract with the City to support the Library Services Department’s Westside Library Expansion Project. Through the partnership, the City will continue to provide and expand educational and enrichment opportunities for Rancho Cucamonga residents and neighboring communities via expanded library facilities.

County funding will support site improvements, adding a climate-controlled corridor enhancing the connection between the East and West buildings. This addition will create a unified main entrance, improve accessibility, and increase the interior square footage of the facility. Contract services will commence on June 18, 2025, and conclude by June 17, 2027.

FISCAL IMPACT:

The Westside Library Expansion Project is currently funded through a combination of State and City sources. At this time, there is no fiscal impact to the existing project budget. However, with the addition of San Bernardino County funds and the completion of new design features, additional funding may be required. Staff will seek City Council approval to appropriate funds as necessary to support project completion.

Funds totaling $1,200,000 from San Bernardino County will be deposited into the Library Capital Fund.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This project meets City Council core values by promoting and enhancing a safe and healthy community for all and building and preserving a family-oriented atmosphere.

ATTACHMENTS:

Attachment 1 - County of San Bernardino Contract

ATTACHMENT 1

.

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Elisa Cox, Assistant City Manager
Matt Marquez, Director of Economic Development
Tanya Spiegel, Economic Development Manager
Flavio Nuñez, Management Analyst II
SUBJECT: Consideration of Approval and Execution of a Purchase and Sale Agreement and Leaseback Agreement Between the City of Rancho Cucamonga and John Alvarez for Property Commonly Known as 7368 Archibald Avenue, APN’s 0208-031-55-0000; 0208-031-54-0000; 0208- 031-56-0000; 0208-031-57-0000; 0208-031-17-0000. (CITY) RECOMMENDATION:

Staff recommends the City Council approve the Purchase and Sale Agreement and Leaseback Agreement between the City of Rancho Cucamonga and John Alvarez for property commonly known as 7368 Archibald Avenue, APN’s 0208-031-55-0000; 0208-031-54-0000; 0208-031-56- 0000; 0208-031-57-0000; 0208-031-17-0000, and authorize the City Manager to execute documents related to the purchase and sale and leaseback of the property.

BACKGROUND:

The subject properties are currently home to the City’s Archibald Library and its corresponding parking area. On August 16, 2023, the City Council declared the subject properties surplus property. The Archibald Library facility is scheduled to be replaced via a project known as the West Side Library Expansion Project. The City has therefore evaluated the property for its potential to be used for City work or operations in the future and staff has determined that the property is not suitable for the City’s use.

On September 19, 2024, the State Department of Housing Community Development provided the City written findings regarding the surplus disposition documentation of the property and determined the City met all the requirements under the Surplus Land Act (SLA) for the purposes of disposing of the Property. The City intends to sell and leaseback the property while the West Side Library Expansion Project is under construction and ready to be occupied.

ANALYSIS:

The Archibald Library facility is scheduled to be replaced through a project known as the West Side Library Expansion Project, located at Lions Center East and Lions Center West, 9191 and 9161 Base Line Road. These City community facilities had been closed since the COVID Pandemic in 2020. In early 2022, a City survey revealed the current Archibald Library building no longer met the needs of the community. Residents expressed several concerns, including the placement of the children’s area, limited walkability and access to the library, and a desire for

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more community events and programs. Based on this feedback, the Lions Center East and Lions Center West have been identified as the most suitable location for the new library. Situated on the west side of the city, the site is well-positioned to improve accessibility and service coverage.

Additionally, Lions Center East and West served as the City’s first library location before being converted into community centers, making them both familiar and functional space for public use.

To facilitate the relocation of the Archibald Library, the current Library property will be sold. The new location at Lions Center East and Lions Center West will require renovations, including updates to interior spaces and technology, to meet the needs of a modern library. During the renovation period, the City will lease back the existing Library property for a period of 10-months to ensure library services remain accessible at the current location until the new facility is ready.

FISCAL IMPACT:

The property is being sold for the current appraised market value of $2,850,000. Upon the close of escrow, the City will leaseback the building at a competitive commercial lease rate of $1.25 per square foot, triple net. The lease term will be for 10 months, with the option for two (2) additional six (6) month extensions, if needed. Proceeds from the sale of the property will be used to complete the West Side Library Expansion Project.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This project meets City Council’s core value of relentless pursuit of improvement while building and preserving a family-oriented atmosphere.

ATTACHMENTS:

Attachment 1 – Purchase and Sale Agreement
Attachment 2 – Leaseback Agreement

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PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS This PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (the “Agreement”) is dated as of July 16, 2025 (the “Effective Date”) and is entered into by and between John Alvarez and/or assignee (“Buyer”), and the CITY OF RANCHO CUCAMONGA, a municipal corporation (“Seller”).

RECITALS
A. Seller owns the land described on Exhibit “A” and all improvements thereon (the “Property”), having a street address of 7368 Archibald Avenue, Rancho Cucamonga, California 91730 (APNs: 0208-031-17- 0000, 0208-031-54- 0000, 0208-031-55- 0000, 0208-031-56-0000, and 0208-031-57-0000) in the County of San Bernardino.

B. Buyer desires to acquire the Property from Seller, and Seller desires to convey the Property to Buyer.

C. Seller desires to lease back the property from buyer after purchase, as provided in a separate lease agreement (the “Lease”), a form of which is attached hereto as Exhibit “C”.

NOW, THEREFORE, in consideration of T en Dollars ($10.00), the mutual covenants in this Agreement, and other consideration the sufficiency of which is hereby acknowledged, Buyer and Seller hereby agree as follows:

1. Purchase and Sale. Seller agrees to sell the Property to Buyer, and Buyer agrees to purchase the Property from Seller, subject to and in accordance with the terms and conditions hereinafter set forth. Buyer shall have the right to assign this Agreement to any entity that is owned or controlled solely by Buyer prior to the close of Escrow.

2. O pening and Closing of Escrow. Within five (5) business days after the Effective Date, Buyer and Seller shall deliver a copy of this fully executed Agreement to, and shall open an escrow (the “Escrow”) with, Town & Country Escrow Corp., Attn: Pam Walker, 391 Main Street, Suite 112, Corona, California 92880 (the “Escrow Hold er”) (Phone No. (909) 985-9950). The “Title Company” shall be First American Title Company at 777 South Figueroa Street, Suite 200, Los Angeles, CA 90017. As used herein, the term “Close of Escrow” shall mean that a grant deed for the Property in favor of Buyer in the form attached hereto as Exhibit “B” is recorded in the Official Records of the San Bernardino Recorder’s Office in accordance with and subject to the terms hereof. The Close of Escrow or Closing shall occur within thirty (30) days after the end of the Contingency Period, as defined in Section 6.1 below (the “Closing Date”).

3. P urchase Price. The purchase price for the Property (“ Purchase Price”) is TWO MILLION EIGHT HUNDRED FIFTY THOUSAND DOLLARS ($2,850,000.00).

4. D eposit . Within two (2) business days following the Effective Date, Buyer shall deliver funds, by check, wire transfer or other means, in the amount of TWO HUNDRED THOUSAND DOLLARS ($200,000.00), to the Escrow Holder to be deposited in a n interest- bearing account and held as an earnest money deposit under the Escrow pursuant to the terms and provisions hereof (which earnest money deposit, together with the interest thereon, is herein called City of Rancho Cucamonga

CONTRACT NUMBER
2025-080
Docusign Envelope ID: 2A69B828-5167-4CA7-8260-E9067723BB7D ATTACHMENT 1

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the “Deposit”). The Deposit shall be: (i) applicable to the Purchase Price; (ii) refunded to Buyer if the Close of Escrow does not occur due to a failure of a condition to closing or if the Seller defaults or pursuant to Buyer’s termination rights pursuant to the terms of this Agreement; and (iii) retained by the Seller as liquidated damages in accordance with the following.

If Buyer breaches any obligation hereunder which Buyer is to perform prior to the Close of Escrow, and Buyer fails to cure such breach within five (5) business days after receipt of written notice from Seller, then Seller may terminate this Agreement and the Escrow by giving written notice of such termination to Buyer and Escrow Holder, and the Deposit shall then be retained by Seller as liquidated damages for Buyer’s uncured default, as Seller’s sole and exclusive remedy for Buyer’s uncured default.

IF CLOSING FAILS TO OCCUR SOLELY BECAUSE OF BUYER’S UNCURED

DEFAULT, SELLER WILL BE DAMAGED AND WILL BE ENTITLED TO

COMPENSATION FOR THOSE DAMAGES, BUT SUCH DAMAGES WILL BE EXTREMELY DIFFICULT AND IMPRACTICAL TO ASCERTAIN. BUYER DESIRES

TO LIMIT THE AMOUNT OF DAMAGES FOR WHICH BUYER MIGHT BE LIABLE SHOULD BUYER BREACH THIS AGREEMENT. BOTH BUYER AND SELLER WISH

TO AVOID THE COSTS AND LENGTHY DELAYS THAT WOULD RESULT IF

SELLER FILED A LAWSUIT TO COLLECT ITS DAMAGES FOR A BREACH OF THIS AGREEMENT. IF CLOSING FAILS TO OCCUR BECAUSE OF BUYER’S UNCURED

DEFAULT, THEN THE DEPOSIT SHALL BE DEEMED TO CONSTITUTE A REASONABLE AND FINAL ESTIMATE OF SELLER’S DAMAGES AND SHALL BE RETAINED BY SELLER AS LIQUIDATED DAMAGES AS SELLER’S SOLE AND EXCLUSIVE REMEDY. SELLER AND BUYER ACKNOWLEDGE THAT THEY HAVE

READ AND UNDERSTAND THE PROVISIONS OF THIS SECTION AND BY THEIR INITIALS IMMEDIATELY BELOW AGREE TO BE BOUND BY ITS TERMS.

THE PARTIES ACKNOWLEDGE THAT THE PAYMENT OF SUCH

LIQUIDATED DAMAGES IS NOT INTENDED AS A FORFEITURE OR PENALTY WITHIN THE MEANING OF CALIFORNIA CIVIL CODE SECTIONS 3275 OR 3369,

BUT IS INTENDED TO CONSTITUTE LIQUIDATED DAMAGES TO SELLER PURSUANT TO CALIFORNIA CIVIL CODE SECTIONS 1671, 1676 AND 1677. THIS SECTION SHALL SURVIVE THE TERMINATION OF THIS AGREEMENT.

BUYER’S INITIALS SELLER’S INITIALS

5. T itle .

5.1 Condition of Title; Title Policy. It is a condition to the Close of Escrow that the Title Company be committed to issue to Buyer at Seller’s expense, upon Close of Escrow, a standard owner’s policy of title insurance (“ Title Policy”) in an amount equal to the Purchase Price, showing the Property subject only to the Permitted Exceptions (as defined in Section 5.2).

Buyer may instead elect to obtain an extended coverage owner’s policy of title insurance (“Extended Policy”) provided: (a) Buyer pays for all additional premiums and any other fees and Docusign Envelope ID: 2A69B828-5167-4CA7-8260-E9067723BB7D

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costs attributable thereto, and (b) Buyer shall be solely responsible for the additional requirements for the issuance of the Extended Policy (such as an ALTA survey).

5.2 Permitted Exceptions. The term “Permitted Exceptions” as used herein shall mean the following described conditions and exceptions to title:

5.2.1 Matters affecting the condition of title created by or with the written consent of Buyer.

5.2.2 Liens for property taxes and assessments not yet payable.

5.2.3 Other exceptions to title disclosed by the Title Report (defined below) that have not been disapproved in writing by Buyer prior to the end of the Contingency Period.

5.2.4 The Lease on the form attached hereto as Exhibit “C.”

5.3 Representations.

Buyer hereby represents and warrants to Seller as of the date hereof that:
(i) Buyer has authorized and approved this Agreement; and (ii) This Agreement does not violate any other agreements by which Buyer is bound.

Seller hereby represents and warrants to Buyer that as of the Closing Date:
(i) Seller has the full power and authority to enter into this Agreement and to consummate the transactions contemplated herein. The execution and delivery of this Agreement and the performance of Seller’s obligations hereunder have been duly authorized. (ii) Seller is the lawful owner of the Property and has good and marketable title to the Property, free and clear of all liens, encumbrances, claims, and interests, except for the Permitted Exceptions.
(iii) The execution, delivery, and performance of this Agreement by Seller will not violate any provision of any law, regulation, order, agreement, or instrument to which Seller is a party or by which Seller or the Property is bound. (iv) To Seller’s knowledge, the Property is in compliance with all applicable federal, state, and local laws, ordinances, rules, and regulations, including, but not limited to, zoning and environmental laws.
(v) There is no action, suit, or proceeding pending or, to Seller’s knowledge, threatened against Seller or the Property that could affect Seller’s ability to perform its obligations under this Agreement or that could affect the Property.

Docusign Envelope ID: 2A69B828-5167-4CA7-8260-E9067723BB7D

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(vi) Seller has not entered into any other agreements regarding the sale, lease, or transfer of the Property that would conflict with this Agreement. (vii) To Seller’s knowledge, except as previously disclosed to Buyer, there have been no releases of hazardous materials on or about the Property, and the Property is in compliance with all environmental laws.
(viii) Buyer and Seller’s representations and warranties contained herein shall survive the Close of Escrow for a period of six (6) months, and each party shall be entitled to pursue any remedies available at law or in equity if any of the foregoing representations are untrue or incorrect.

5.4 Title Report, Review and Approval . Following the Effective Date, Buyer shall obtain a preliminary report from the Title Company, together with the underlying documents relating to the Schedule B exceptions set forth in such report (collectively, the “ Title Report”).

Buyer shall have until the end of the Contingency Period (defined in Section 6.1) to review and approve the Title Report and any survey (“Survey”) obtained by Buyer. Buyer shall email a copy of the title report to Seller ( [email protected]) and Seller’s counsel at ([email protected]). Buyer shall notify Seller in writing on or before the Contingency Date (defined in Section 6.1) of any disapproved matters in the Title Report and Survey, and if Seller indicates it will not remove them by Close of Escrow (or if they are not so removed), Buyer may terminate the Agreement by written notice to Seller and the Deposit will be returned to Buyer.

Any matters not so disapproved shall be a part of the Permitted Exceptions; however, Buyer hereby objects to any and all monetary encumbrances that may appear in the Title Report (except for the lien for assessments, if any, not yet due), all of which shall be removed therefrom by Seller at no cost to Buyer, and none of which shall be a Permitted Exception.

6. S
uitability of Documents/ Property; Tenant Estoppel.

6.1 Contingency Period. It is a condition precedent to the Close of Escrow for Buyer’s benefit that Buyer has determined, in Buyer’s sole discretion, on or before the date that is forty-five (45) days after the Effective Date (the “Contingency Period”) that the Property and title to the Property (including all title exceptions) are acceptable to Buyer.

Seller shall deliver copies of all material non -privileged documents in Seller’s possession relating to the Property to Buyer within five (5) business days after the Effective Date.

If Buyer determines that any such documents or the Property is not acceptable, then Buyer may terminate this Agreement by written notice to Seller on or before the end of the Contingency Period.

6.2 Right of Entr y; Inspections, Testing. Prior to the end of the Contingency Period, Buyer may conduct, at Buyer’s sole expense, such inspections and testing of the Property, including the improvements thereon, as Buyer may desire or deem appropriate, in Buyer’s sole and absolute discretion, to determine the suitability of the Property for Buyer’s intended use s.

Buyer shall reasonably repair and restore areas of the Property affected by Buyer’s inspections so that they are in substantially the same condition as before such inspections as soon as reasonably Docusign Envelope ID: 2A69B828-5167-4CA7-8260-E9067723BB7D

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possible; however, Buyer shall have no obligation to repair conditions discovered during inspections or minor surface disturbances from non-invasive testing. Seller hereby grants to Buyer and its authorized employees, representatives, agents and contractors, permission and a license, upon forty- eight (48) hours prior written notice to Seller, to enter upon the Property at all reasonable times prior to the end of the Contingency Period for the purpose of conducting such inspections and testing. Buyer shall indemnify, protect, defend (with legal counsel reasonably acceptable to Seller) and hold Seller harmless from and against any and all claims, liabilities, damages, costs and expenses arising from, related to or caused by, Buyer’s entry upon the Property or the performance of any inspection or test conducted by or at the request of Buyer or its contractors or agents.

7. Seller’s Acts. Seller shall not encumber, sell or transfer, or agree to encumber, sell or transfer, the Property or any portion thereof or interest therein during the period from the Effective Date to the earlier of : (i) the Close of Escrow, or (ii) the date of the termination of this Agreement.

8. D
eposit of Documents and Funds into Escrow . Seller and Buyer shall make the following deliveries to Escrow Holder at least one (1) business day prior to the Close of Escrow:

8.1 Buyer shall deliver the Purchase Price (less the Deposit), and any additional funds required to pay costs payable by Buyer under Section 10 below.

8.2 Seller shall deliver the Grant Deed ( duly executed by Seller and acknowledged), and federal and state tax withholding certificates so that the tax withholding is not required of Escrow Holder or Seller.

8.3 Both Buyer and Seller shall deliver executed counterparts of the Lease between Buyer and Seller for the Property in the form attached hereto as Exhibit C.

9. Authorization to Record Documents and Disburse Funds. Escrow Holder is hereby authorized to record the Grant Deed , disburse funds to pay any liens encumbering the Property, apply funds to costs, deliver any remaining funds to Seller, and provide copies of the federal and state tax withholding certificates to Buyer (showing no withholding is required), provided each of the following conditions has then been fulfilled:

9.1 The Title Company can issue the Title Policy in favor of Buyer, with a liability amount equal to the Purchase Price, showing fee title to the Property vested in Buyer, subject only to the Permitted Exceptions.

9.2 Seller and Buyer shall have deposited in Escrow the documents and funds required pursuant to Section 8 above.

9.3 Escrow Holder shall have delivered the fully executed Lease to Buyer and Seller.

Unless otherwise instructed in writing, Escrow Holder is also authorized to record at the Close of Escrow any instrument delivered through Escrow if necessary or proper for the issuance of the Title Policy.

Docusign Envelope ID: 2A69B828-5167-4CA7-8260-E9067723BB7D

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10. Costs and Prorations.

10.1 Seller shall pay: (i) fifty percent (50%) of the fees and charges of Escrow Holder, and (ii) the cost of the premium for the Title Policy (excluding extended coverage, which shall be paid by Buyer) and (iii) all documentary or other local transfer taxes on the transfer of the Property (if any) . Buyer shall pay for the other fifty percent (50%) of the fees and charges of Escrow Holder, and the cost for extended title insurance coverage (if required by Buyer).

10.2 If the Escrow shall fail to close due to Buyer’s default, then Buyer shall pay all Escrow and title cancellation charges. If the Escrow shall fail to close due to Seller’s default, Seller shall pay all Escrow and title cancellation charges.

10.3 If the Escrow shall fail to close for any reason other than Seller’s or Buyer’s default, Buyer and Seller shall each pay one -half ( ½) of any applicable Escrow cancellation charges.

10.4 Property taxes and assessments shall be apportioned and prorated with respect to the Property as of 12:01 a.m., on the day on which the Close of Escrow occurs, as if Buyer were vested with title to the Property during the entire day upon which the Close of Escrow occurs. To the extent that the actual assessments for the current year differ from the amount apportioned at the Close of Escrow, the parties shall make all necessary adjustments by appropriate payments between themselves following the Close of Escrow. All delinquent taxes and assessments (and any penalties therein) for periods prior to the Close of Escrow, if any, affecting the Property shall be paid by Seller.

10.5 All prorations shall be determined on the basis of a 360-day year.

10.6 The provisions of this Section 10 shall survive the Close of Escrow.

11. Buyer’s Conditions. Buyer’s obligations under this Agreement are expressly made subject to the following conditions precedent solely for the benefit of Buyer. The Close of Escrow and Buyer’s obligation to consummate the purchase of Property shall be contingent upon and subject to written notice to Escrow Holder by Buyer of the occurrence of all of the following (or Buyer’s written waiver thereof, it being agreed that Buyer can waive any or all such contingencies) on or before the Close of Escrow:

11.1 Title Company committing to issue an owner’s title policy in favor of Buyer with a liability amount in the amount of the Purchase Price showing Buyer’s fee interest in the Property subject only to the Permitted Exceptions (the “Title Policy”).

11.2 Seller’s delivery of all document s and funds required to be delivered by Seller under Section 8.2.

If any of the foregoing conditions precedent has not been either met or expressly waived in writing by Buyer on or prior to the last date for the Close of Escrow, then Buyer may terminate this Agreement upon written notice to Seller.

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12. Seller’s Conditions. For the benefit of Seller, the Close of Escrow and Seller’s obligation to consummate the sale of the Property shall be contingent upon and subject to the Buyer delivering all documents and funds required to be delivered by Buyer under Section 8.1 above on or before the Close of Escrow.

13. C
ondemnation; Destruction. All risk of loss with respect to the Property shall remain with Seller until the Close of Escrow. If at any time after the Effective Date but prior to the Close of Escrow, the Property, or any portion thereof, is damaged by fire or other casualty or taken or appropriated through eminent domain or similar proceedings, or is condemned for any public or quasi-public use, and escrow actually closes, then Buyer, at Buyer’s sole option, shall be entitled to terminate this Agreement an d receive a full refund of the Deposit, or Buyer shall be entitled to waive Buyer’s termination rights of this Agreement pursuant to this section and instead receive all insurance proceeds payable to Seller or all condemnation proceeds actually paid for that portion of the Property taken or, if such proceeds have been paid to Seller, Buyer shall receive a credit against the Purchase Price equal to the amount of proceeds actually paid to Seller.

14. N
otices . All notices and demands shall be given in writing by certified mail, postage prepaid, and return receipt requested, or by reputable overnight messenger service.

Notices shall be considered given upon the earlier of (a) one (1) business day following delivery to a reputable overnight messenger service (such as Federal Express for overnight delivery), or (b) two (2) business days following deposit in the United States mail, postage prepaid, certified or registered, return receipt requested (provided the notice is also given by mail) . Notices shall be addressed as provided below for the respective party; provided that if any party gives notice in writing of a change of name or address, notices to such party shall thereafter be given as demanded in that notice:

Buyer: John Alvarez
1711 Chimney Oaks Lane
San Dimas, CA 91773

Seller: City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
Attn: City Manager

15. Broker’s Commissions. Each party represents to the other that it has not engaged any broker, finder or salesperson in connection with this transaction. Each party shall defend, indemnify and hold the other party harmless from and against any and all claims for any other broker’s commissions or similar compensation that may be payable to any other broker, finder or other person or entity based upon such party’s statement or acts . The provisions of this Section shall survive the Close of Escrow.

16. S tandard Escrow Instructions. Each party agrees to execute Escrow Holder’s supplemental reasonable standard instructions as may be necessary or proper in order to consummate the transactions contemplated by this Agreement.

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17. Time is of the Essence. Time is of the essence with respect to each term, condition and covenant hereof in which time is a factor.

18. S uccessors and Assigns. The provisions of this Agreement are expressly binding upon, and shall inure to the benefit of, the parties hereto and their successors in interest and assigns.

19. E ntire Agreement . This Agreement, together with all exhibits hereto, integrates all of the terms and conditions mentioned herein or incidental hereto, and supersedes all negotiations or previous agreements between the parties or their predecessors in interest with respect t o all or any part of the subject matter hereof.

20. S everability . Invalidation of any of the terms, conditions, covenants, or other provisions contained herein by judgment or court order shall in no way affect any of the other terms, conditions, covenants, or provisions hereof, and the same shall remain in full force a nd effect.

21. A
ttorneys’ Fees . In the event that suit is brought for the enforcement of this Agreement or as the result of any alleged breach thereof, the prevailing party or parties in such suit shall be entitled to recover their reasonable attorneys’ fees, costs, and expenses from the losing party or parties, and any judgment or decree rendered in such proceedings shall include an award thereof.

22. G
overning Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California.

23. C ounterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. For purposes of this Agreement, emailed (PDF) signatures shall be deemed to be original signatures, and shall be followed by the prompt overnight delivery of original signature pages. This Agreement may be executed using DocuSign, in which case original signatures need not be provided.

24. A
uthority of City Manager . The City Manager of Seller shall have the authority to give all consents, approvals and notices by the Seller hereunder provided they are in writing.

25. F urther Assurances . Buyer and Seller agree to execute such other and further documents and instruments as may be reasonably necessary or appropriate to carry out the purposes of this Agreement and to effectuate the transfer of the Property to Buyer.

26. N
o Third Party Beneficiaries . There are no third party beneficiaries of this Agreement.

27. R eferences . Except where otherwise stated, all references to days are to calendar days. Whenever under the terms of this Agreement the time for performance of a covenant or condition falls on a Saturday, Sunday, or California state holiday, such time for performance wi ll be extended to the next business day. “Business Day(s)” means days other than Saturday, Sunday, and California state holidays. The headings used in this Agreement are provided for convenience only and this Agreement will be interpreted without reference to any headings.

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28. Cure Rights for Default . Neither Buyer nor Seller shall be in default hereunder unless it fails to cure the alleged default with five (5) business days after written notice of the default is delivered by the party alleging the default to the party who is alleged to be in default.

29. AS OF THE CLOSING, EXCEPT FOR (I) SELLER’S EXPRESS REPRESENTATIONS AND WARRANTIES IN THIS AGREEMENT, (II) SELLER’S FRAUD

OR INTENTIONAL MISREPRESENTATION, THE BUYER, ON BEHALF OF ITSELF AND

ITS SUCCESSORS, HEREBY FULLY AND ENTIRELY RELEASES AND DISCHARGES THE SELLER (INCLUDING, BUT NOT LIMITED TO, THE SELLER’S OFFICERS,

EMPLOYEES, AGENTS, REPRESENTATIVES, SUCCESSORS, ADMINISTRATORS, ASSIGNS, AND ATTORNEYS ( COLLECTIVELY, “ RELEASED PARTIES ”) FROM

CLAIMS ARISING FROM THE PHYSICAL CONDITION OF THE PROPERTY, INCLUDING

THE PRESENCE OF ANY HAZARDOUS MATERIALS IN, ON, UNDER, OR ABOUT THE

PROPERTY OR IN CONNECTION WITH, OR IN ANY WAY RELATED TO THE PROPERTY.

THIS RELEASE CONSTITUTES AN EXPLICIT WAIVER BY THE BUYER, AND ITS

SUCCESSORS AND ASSIGNS, OF EACH AND ALL OF THE PROVISIONS OF CALIFORNIA CIVIL CODE SECTION 1542, WHICH STATES AS FOLLOWS:
“A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE

CREDITOR OR RELEASING PARTY DOES NOT KNOW OR SUSPECT TO

EXIST IN HIS OR HER FAVOR AT THE TIME OF EXECUTING THE

RELEASE, WHICH IF KNOWN BY HIM OR HER MUST HAVE

MATERIALLY AFFECTED HIS OR HER SETTLEMENT WITH THE
DEBTOR OR RELEASED PARTY.”
Buyer’s Initials: ________________

[Remainder of this page intentionally left blank]
[Signatures appear on next page]

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IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date first above written.

BUYER: SELLER:

JOHN ALVAREZ

By:

Print Name: John Alvarez

CITY OF RANCHO CUCAMONGA,
a California municipal corporation
By:

L. Dennis Michael,
Mayor

Attest:

___________________________________
Kim Sevy
City Clerk

APPROVED AS TO FORM:

By: ________________________________
Nicholas Ghirelli, City Attorney

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EXHIBIT “A”

LEGAL DESCRIPTION OF THE LAND

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EXHIBIT “B”

FORM OF GRANT DEED
(Attached.)

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RECORDING REQUESTED BY

AND WHEN RECORDED RETURN TO (AND
MAIL PROPERTY TAX STATEMENT TO):

John Alvarez
7168 Archibald Avenue
Rancho Cucamonga, CA 91730

APNs: 0208-031-17-0000, 0208-031-54-0000, 0208-031-55-0000, 0208-031-56-0000, and 0208- 031-57-0000
______________________________________________________________________________ [SPACE ABOVE FOR RECORDER’S USE ONLY]
THE UNDERSIGNED GRANTOR DECLARES AS FOLLOWS:

DOCUMENTARY TRANSFER TAX $
_____________________
…Computed on the consideration or value of property
conveyed; OR
…Computed on the consideration or value less liens or
encumbrances remaining at time of sale.

SPACE ABOVE THIS LINE FOR RECORDER’S USE

_________________________________________________
Signature of Declarant or Agent determining tax - Firm Name

GRANT DEED
FOR VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, the CITY OF RANCHO CUCAMONGA, a California municipal corporation (“Grantor”) hereby grants to JOHN ALVAREZ (“Grantee”), the land located in the City of Rancho Cucamonga , County of San Bernardino, State of California, more particularly described on Exhibit “A”, and all improvements and fixtures thereon, subject to all matters of record as of the Closing and all matters that would be revealed by an ALTA survey and physical inspection of the property.

IN WITNESS WHEREOF, Grantor has duly executed this Grant Deed.

CITY OF RANCHO CUCAMONGA,
a California municipal corporation
By: _________________________________
Print Name: L. Dennis Michael
Title: Mayor

Attest:

Kim Sevy, City Clerk

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EXHIBIT “A” TO GRANT DEED

LEGAL DESCRIPTION

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EXHIBIT “C”

FORM OF LEASE

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CALIFORNIA ALL PURPOSE ACKNOWLEDGMENT

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.

STATE OF CALIFORNIA
COUNTY OF _________________
On before me, ________________________________________ 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 instr
ument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity(ies) 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.

Place Notary Seal Above
Signature of Notary Public

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BUILDING LEASE

CITY OF RANCHO CUCAMONGA,
as Tenant
and

JOHN ALVAREZ
as Landlord

__________________________
Rancho Cucamonga, California
City of Rancho Cucamonga

CONTRACT NUMBER
2025-081
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TABLE OF CONTENTS
Page
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ARTICLE 1 BASIC LEASE PROVISIONS ............................................................................. 1

1.1 Effective Date ....................................................................................................... 1

1.2 Landlord ................................................................................................................ 1

1.3 Tenant ................................................................................................................... 1

1.4 Premises ................................................................................................................ 1

1.5 Initial Term ........................................................................................................... 1

1.6 Term Commencement Date; Rent Commencement Date ..................................... 1

1.7 Base Rent .............................................................................................................. 1

1.8 Security Deposit .................................................................................................... 1

1.9 Use of Premises..................................................................................................... 1

1.10 Parking .................................................................................................................. 1

1.11 Notices .................................................................................................................. 2

1.12 Broker(s) ............................................................................................................... 2

1.13 Tenant Improvement Allowance ........................................................................... 2 ARTICLE 2 PREMISES ........................................................................................................... 2 ARTICLE 3 TERM ................................................................................................................... 2

3.1 Term ...................................................................................................................... 2

3.2 Option to Extend ................................................................................................... 2 ARTICLE 4 POSSESSION AND INITIAL IMPROVEMENTS ................................................ 2

4.1 Delivery of Possession .......................................................................................... 2

4.2 Tenant’s Initial Improvements .............................................................................. 2

4.3 Condition of Premises ........................................................................................... 2

4.4 Construction-Related Accessibility Standards ...................................................... 3 ARTICLE 5 RENT ....................................................................................................................... 3 Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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5.1 Rent ....................................................................................................................... 3

5.2 Additional Rent ..................................................................................................... 4

5.3 Late Payments ....................................................................................................... 4

5.4 Place of Payment................................................................................................... 4 ARTICLE 6 TAXES ..................................................................................................................... 4

6.1 Possessory Interest Taxes ..................................................................................... 4

6.2 Other Tenant Property Taxes; Cooperation Regarding Library Exemption ............................................................................................................. 4 ARTICLE 7 SECURITY DEPOSIT ............................................................................................. 5

7.1 Intentionally Omitted ............................................................................................ 5 ARTICLE 8 TENANT’S CONDUCT OF BUSINESS ................................................................ 5

8.1 Permitted Use ........................................................................................................ 5

8.2 Tenant’s Signs ....................................................................................................... 5 ARTICLE 9 MAINTENANCE, REPAIRS AND ALTERATIONS ............................................ 5

9.1 Tenant’s Maintenance Obligations ....................................................................... 5

9.2 Landlord’s Right of Entry ..................................................................................... 5

9.3 Additional Tenant’s Maintenance Obligations ..................................................... 6

9.4 Alterations ............................................................................................................. 6 ARTICLE 10 PARKING .............................................................................................................. 7

10.1 Intentionally Omitted ............................................................................................ 7 ARTICLE 11 DAMAGE TO TENANT’S PROPERTY; WAIVER ............................................ 7 ARTICLE 12 INSURANCE ......................................................................................................... 7

12.1 Tenant’s Insurance ................................................................................................ 7

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12.3 Additional Insureds ............................................................................................... 9

12.4 Certificate(s) of Insurance ..................................................................................... 9

12.5 Landlord Cure Right ............................................................................................. 9

12.6 Waiver of Subrogation .......................................................................................... 9

12.7 Indemnity .............................................................................................................. 9 ARTICLE 13 DAMAGE ............................................................................................................ 10

13.1 Insured Casualty.................................................................................................. 10

13.2 Uninsured Casualty ............................................................................................. 10

13.3 Abatement ........................................................................................................... 10

13.4 Waiver of Termination ........................................................................................ 11 ARTICLE 14 EMINENT DOMAIN .......................................................................................... 11

14.1 Taking ................................................................................................................. 11

14.2 Total Taking ........................................................................................................ 11

14.3 Partial Taking ...................................................................................................... 11

14.4 Award .................................................................................................................. 11

14.5 Continuation of Lease ......................................................................................... 11 ARTICLE 15 ASSIGNMENT AND SUBLETTING ................................................................. 12

15.1 Landlord’s Consent Required ............................................................................. 12

15.2 Procedures ........................................................................................................... 12

15.3 Standard for Consent After Tenant Event of Default ......................................... 12

15.4 No Release; Form ............................................................................................... 12 ARTICLE 16 DEFAULTS ......................................................................................................... 12

16.1 Events of Default ................................................................................................ 12

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16.3 Default by Landlord ............................................................................................ 13 ARTICLE 17 SUBORDINATION, ATTORNMENT AND ESTOPPEL
CERTIFICATES ............................................................................................................. 13

17.1 Subordination ...................................................................................................... 13

17.2 Attornment .......................................................................................................... 14

17.3 Estoppel Certificates ........................................................................................... 14

17.4 Subordination of Landlord’s Liens ..................................................................... 14 ARTICLE 18 MATTERS OF RECORD .................................................................................... 14 ARTICLE 19 UTILITIES AND SERVICES ............................................................................. 14 ARTICLE 20 MISCELLANEOUS ............................................................................................ 15

20.1 Hazardous Materials ........................................................................................... 15

20.2 Notices ................................................................................................................ 16

20.3 Force Majeure ..................................................................................................... 16

20.4 Termination ......................................................................................................... 16

20.5 Miscellaneous Provisions.................................................................................... 16

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EXHIBITS
EXHIBIT “A” Diagram of Premises
EXHIBIT “B” Initial Tenant Improvements
EXHIBIT “C” Form of Memorandum of Lease
EXHIBIT “D” Rules and Regulations
[EXHIBIT “E” Notice of Lease Term Dates]
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LEASE
This Lease (“Lease”) is entered into as of the “ Effective Date” (as defined in Section 1.1 below) by and between “Landlord” and “Tenant” (each as defined in Sections 1.2 and 1.3 below).

This agreement is entered into in connection with and contingent upon the closing of that certain Purchase and Sale Agreement dated as of July 16, 2025 (“Purchase Agreement”).

ARTICLE 1

BASIC LEASE PROVISIONS

1.1 Effective Date. July 16, 2025.

1.2 Landlord. John Alvarez and/or assignee.

1.3 Tenant. City of Rancho Cucamonga, a California municipal corporation.

1.4 Premises. The land described on Exhibit “A” attached hereto and all improvements and landscaping thereon.

1.5 Initial Term. The term of this Lease shall end on July 31, 2026, subject to extension as provided in Section 3.2 hereof.

1.6 Term Commencement Date; Rent Commencement Date . The Term Commencement Date shall be October 1 , 2025. The Rent Commencement Date shall be October 20 , 2025. (Sections 3.1 and 5.1)

1.7 Base Rent.

Period (MM/DD/YY) Monthly Rent
October 1, 2025 to
October 1 2026
$25,066.25

Tenant shall pay the first full month’s Base Rent (and the Security Deposit) to Landlord on the date Tenant signs and delivers a counterpart of this Lease to Landlord.

1.8 Security Deposit. Intentionally Omitted. (Article 7)

1.9 Use of Premises. The Premises shall open and be used solely for the operation of a public library.

1.10 Parking. Tenant shall have the right to use the surface parking adjacent to the Building, which is part of the Premises during the Term.

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1.11 Notices. (Article 20.2)
To Landlord: John Alvarez and/or assignee
1711 Chimney Oaks Lane
San Dimas, CA 91773

To Tenant: City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
Attn: City Manager
At the Premises.

1.12 Broker(s). None.

1.13 Tenant Improvement Allowance. None.

ARTICLE 2

PREMISES
Landlord leases to Tenant and Tenant leases from Landlord, for the “Term” (as defined in Section 3) and upon the covenants and conditions set forth in this Lease, the premises described in Section 1.4 (“Premises”).

ARTICLE 3
TERM

3.1 Term. The term of this Lease shall commence upon the Term Commencement Date, and shall end on the date described in Section 1.5. Such term [as extended under Article 3.2 below] is referred to in this Lease as the “Term”.

3.2 Option to Extend. Tenant shall have the option to extend the Term for two periods of six (6) months each (each an “Extension Term”) upon irrevocable written notice to Landlord given at least two (2) months prior to the expiration of the Initial Term or the expiration of the first Extension Term, as applicable. All of the terms, covenants, conditions, provisions and agreements applicable to the Initial Term shall be applicable to each Extension Term.

ARTICLE 4

POSSESSION AND INITIAL IMPROVEMENTS

4.1 Delivery of Possession. Tenant acknowledges being in possession of the Premises prior to the Term Commencement Date, with such possession continuing upon the sale of the Premises to Landlord pursuant to this Lease.

4.2 Tenant’s Initial Improvements. Intentionally Omitted.

4.3 Condition of Premises . Tenant acknowledges that: (i) neither Landlord nor any employee, representative or agent of Landlord has made any representation or warranty (express Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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or implied) with respect to the Premises or any other portion of the Premises, and (ii) Landlord shall have no obligation to improve or alter the Premises or the Premises for the benefit of Tenant.

Tenant acknowledges that Tenant has thoroughly inspected the Premises and Tenant shall accept the Premises in their current “AS -IS” condition, without representation or warranty, express or implied.

4.4 Construction-Related Accessibility Standards . The Premises has undergone an inspection by a Certified Access Specialist (CASp) and it was determined that the Premises did not meet all applicable construction -related accessibility standards pursuant to California Civil Code §55.51 et seq. To the best o f Landlord’s knowledge, there have been no modifications or alterations completed or commenced between the date of the inspection and the date hereof which have impacted the Premises’ compliance with construct ion-related accessibility standards.

Landlord has provided, at least forty-eight (48) hours prior to execution of this extension, a copy of such CASp report to Tenant. Because a disability access inspection certificate, as described in subdivision (e) of Section 55.53 of the California Civil Code, was not, to Landlord’s knowledge, issued for the Premises, Tenant is advised of the following (pursuant to Section 1938 of the California Civil Code):
“A Certified Access Specialist (CASp) can inspect the subject premises and determine whether the subject premises comply with all of the applicable construction-related accessibility standards under state law. Although state law does not require a CASp ins pection of the subject premises, the commercial property owner or lessor may not prohibit the lessee or tenant from obtaining a CASp inspection of the subject premises for the occupancy or potential occupancy of the lessee or tenant, if requested by the le ssee or tenant. The parties shall mutually agree on the arrangements for the time and manner of the CASp inspection, the payment of the fee for the CASp inspection, and the cost of making any repairs necessary to correct violations of construction -related accessibility standards within the premises.”
Accordingly, the parties hereby agree that Tenant shall have the right, but not the obligation, to have a CASp inspect the Premises and determine whether the Premises comply with all of the applicable construction-related accessibility standards under state law. If it is determined that the Premises do not meet all applicable construction -related accessibility standards, then as between Tenant and Landlord, the party responsible under the Lease for each specific repair shall be Tenant. Landlord and Tenant agree to use reasonable efforts to notify each other if either makes alterations to the Project and/or Property that might impact accessibility under Federal, State, and/or local disability access laws.

ARTICLE 5
RENT

5.1 Rent. Tenant shall pay the Base Rent specified in Section 1.7 in monthly installments, in advance, on or before the first (1st) day of each month, without prior demand and without offset, abatement or deduction, commencing on the Rent Commencement Date as defined in Section 1.6 (except that the first full month of Base Rent, together with the Security Deposit, shall be Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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paid/delivered when Tenant signs and delivers this Lease). This Lease is intended to be and shall be a net lease, and the Base Rent shall be paid to Landlord net of taxes, insurance, u tilities, maintenance, and repairs relating to the Premises. Should the Rent Commencement Date be a day other than the first (1st) day of a calendar month, then the monthly installment of Rent for the first partial month shall be prorated based on a 30-day month.

5.2 Additional Rent. Tenant shall pay, as “ Additional Rent”, without offset, abatement or deduction, all sums costs, expenses, taxes (including real estate taxes and assessments), insurance, premiums, utilities charges, maintenance costs, repair expenses, required to be paid by Tenant to Landlord pursuant to the terms of this Lease in addition to Base Rent, and Landlord shall have the same rights and remedies for the nonpayment of Additional Rent as it has with respect to the nonpayment of Rent. Unless oth erwise set forth herein with respect to a certain p ayment (and except for Base Rent), Additional Rent shall be due thirty (30) days after delivery to Tenant of an invoice or written demand therefore.

5.3 Late Payments. If any Monthly Rent, or any other sum due, is not received by Landlord from Tenant within ten (10) business days after the date when due, Tenant shall immediately pay to Landlord a late charge equal to five percent (5%) of such sum due , and Landlord and Tenant agree that this late charge represents a reasonable estimate of the direct and indirect costs, expenses and damages Landlord will incur as a result of Tenant’s late payment (which damages would be impractical and extremely difficu lt to calculate accurately) and is therefore fair compensation to Landlord for its loss suffered by reason of late payment by Tenant.

5.4 Place of Payment . Tenant shall pay Base Rent and Additional Rent to Landlord at the first address for Landlord specified in Section 1 or to such other address and/or person as Landlord may from time to time designate in writing to Tenant.

ARTICLE 6
TAXES

6.1 Possessory Interest Taxes. Intentionally Omitted.

6.2 Other Tenant Property Taxes ; Cooperation Regarding Library Exemption . Tenant shall pay, prior to delinquency, all taxes, assessments, license fees and public charges levied, assessed or imposed upon its business operation, trade fixtures, merchandise and other personal properly in, on or upon the Premises. If any such items of property are assessed with property of Landlord, Tenant shall be responsible for, and shall promptly reimburse Landlord for, the portion of such assessment attributable to Tenant’s property or use, as reasonably determined by Landlord.

If any such taxes on Tenant’s personal property or trade fixtures are levied against Landlord or Landlord’s property or if the assessed value of the Premises is increased by Tenant’s construction of any Alterations, Tenant shall pay the amount thereof as invoiced to Tenant by Landlord within thirty (30) days following Landlord’s delivery of such invoice together with reasonable evidence of such allocation. Landlord and Tenant agree to cooperate to purs ue an exemption from taxes under Revenue & Tax Code Section 202.2 and further agree that Tenant shall receive the benefit of such exemption either directly or from another party with Tenant’s cooperation .

Notwithstanding anything to the contrary herein, Landlord shall have no obligation to pay or contribute toward any taxes, assessments, or other charges arising out of or related to Tenant’s use, Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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alterations, personal property, or business operations accruing during the Tenancy; all such obligations shall be the sole responsibility of Tenant. This clause shall survive the termination of this Lease; provided, that Tenant shall not be responsible for Landlord’s taxes that accrue after the termination of the Lease.

ARTICLE 7

SECURITY DEPOSIT

7.1 Intentionally Omitted.

ARTICLE 8
TENANT’S CONDUCT OF BUSINESS

8.1 Permitted Use. Tenant shall use the Premises solely for the use specified in Section 1.9 and for no other use or purpose. Tenant shall conduct its operations in a manner that shall not disturb other tenants or create a nuisance. Any violation of these use provisions shall constitute a material default under this Lease.

8.2 Tenant’s Signs. Tenant shall not affix upon the exterior (or interior windows or doors) of the Premises any sign, advertising placard, name, insignia, trademark, descriptive material or other like item (collectively, the “ Exterior Signs ”), unless the Exterior Signs: (i) comply with all governmental requirements, and (ii) are approved by Landlord, in its proprietary capacity (and not as a part of governmental approval), in its sole and absolute discretion. All of the Exterior Signs shall be erected by Tenant at its sole cost and expense, shall be professionally prepared, and Tenant shall maintain all of its Exterior Signs in good condition and repair during the Term. Prior to the expiration, or upon earlier termination of this Lease, as applicable, Tenant shall remove all of its Exterior Signs and restore the areas on which the Exterior Signs were located to their condition prior to the installation of the Exterior Signs, all at Tenant’s sole cost and expense.

ARTICLE 9

MAINTENANCE, REPAIRS AND ALTERATIONS

9.1 Tenant’s Maintenance Obligations . Tenant shall maintain the Premises in good condition and repair throughout the Term, including making all necessary repairs or replacements to keep the Premises in good operating condition.

9.2 Landlord’s Right of Entry . Landlord, its agents, contractors, servants and employees may enter the Premises following not less than twenty-four (24) hours prior written notice to Tenant (except in the event of an emergency, in which case no notice shall be required) and Landlord’s good faith efforts to coordinate such entry with Tenant’s on -site management so as to minimize interference with Tenant’s business operations (except in a case of emergency, in which case no notice shall be required): (a) to examine the Premises; (b) to perform any obligation or exercise any right or remedy of Landlord under this Lease; and (c) to cure Tenant’s failure to perform its obligations under this Lease, including work necessary to comply with laws, ordinances, rules or regulations of any public authority.

9.3 Additional Tenant’s Maintenance Obligations. Intentionally Omitted.

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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9.4 Alterations. After initially opening the Premises for business, Tenant shall not make or cause to be made to the Premises any addition, renovation, alteration, or reconstruction (collectively, “Alterations”) (i) costing in excess of Twenty-Five Thousand Dollars ($25,000.00), (ii) affecting the exterior appearance of the Premises, fire sprinkler systems, exterior walls, the floor slab, or roof of the Premises, (iii) requiring or resulting in any penetration of the roof, demising walls or floor slab of the P remises, (iv) involving structural changes or additions , or (v) increasing the level of services or utilities supplied, without first obtaining the written consent of Landlord. Tenant shall give Landlord at least thirty (30) days’ prior written notice describing the Alterations in reasonable detail and including comprehensive plans and specifications for any material alterations or improvements, as applicable. Any request for co nsent to Alterations requiring consent shall be accompanied by three (3) compl ete sets of plans and specifications for the proposed Alterations suitable for submission to Landlord’s architect for evaluation and a statement of the identity of the contractor who will perform such Alterations. If Landlord’s consent is required for any Alterations, Tenant shall pay all reasonable out -of-pocket costs incurred by Landlord in the evaluation, as applicable, of the plans and specifications, including, but not limited to, Landlord’s general contractor’s, architects’ and engineers’ fees. In addition, as a condition to Landlord’s granting of its consent to any Alterations, Landlord shall have the right to approve the architect, contractors, subcontractors designing or performing such Alterations, which approval shall not be unreasonably delayed, withheld or conditioned and shall be granted or denied within fifteen (15) business days (provided that in any event Premises standard subcontractors shall be used for work affecting structural portions, or base building mechanical and fire and life safe ty systems and utility systems so long as such subcontractors are competitively priced and reasonably available). All Alterations to be performed by Tenant in the Premises, including the delivery, storage and removal of materials, shall be reasonably scheduled through Landlord, and shall be performed in accordance with regulations imposed in good faith by Landlord. A ll Alterations (whether or not Landlord’s consent is required therefor) shall be completed in a good and workmanlike manner and in accordance with all applicable Laws. All Alterations requiring Landlord’s consent shall be completed in accordance with the approved plans and specifications therefor. Promptly following the completion of any Alterations where the preparation of “as-built” plans would be customary for the particular Alterations performed, Tenant shall deliver to Landlord both a “hard” copy and a copy on CAD diskette of the “as-built” plans and specifications (including all working drawings) for such Alterations. Promptly following the completion of any Alterations for which any governmental permit, approval or sign -off is required under applicable Laws, Tenant shall deliver to Landlord a copy of signed -off permits, inspection cards or other documentation evidencing governmental approval of completion of the work. Unless identified as by Landlord as having to be removed prior to Lease termination pursuant to Section 20.4, all of Tenant’s Alterations including, but not limited to, light fixtures, floor coverings and partitions, but excluding trade fixtures and signs, shall be deemed to be the property of Landlord upon installation thereof. Within thirty (30) days after the completion of any Alterations, Tenant shall deliver to Landlord a set of “as built” plans depicting the Alterations as actually constructed or installed. If Tenant shall make any permitted Alterations, Tenant shall carry “Builder’s All Risk” insurance in an amount reasonably determined by Landlord covering the construction of such Alterations and such other insurance as Landlord may reasonably require. Any Alterations to the Premises which are required by reason of any future law, ordinance, rule, regulation or order of any governmental authority having jurisdic tion over the Premises , or any future change in any such existing law, ordinance, rule, regulation or order, and which does not pertain to the structural portions of the Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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Premises, shall be at the sole cost of Tenant. Any inspection by Landlord of such Alterations shall in no event constitute Landlord’s approval of the work so performed, nor shall Landlord be responsible for or have any liability with respect to such inspections. If Tenant’s Alterations trigger: (i) required improvements for disabled access , or (ii) any other legally required improvements to the Premises, then such improvements shall be at Tenant’s sole cost.

ARTICLE 10

PARKING

10.1 Intentionally Omitted.

ARTICLE 11
DAMAGE TO TENANT’S PROPERTY; WAIVER
Notwithstanding anything contained in this Lease to the contrary, Landlord or its agents and employees shall not be liable for (a) loss or damage to any property by theft or otherwise, or (b) any injury or damage to person or property resulting from fire, explosion, falling plaster, steam, gas, electricity, water or rain which may leak from any part of the Premises or from pipes, appliances or plumbing work therein or from the roof, street, sub -surface or from any other place or resulting from dampness or any other cause whatsoever, except to the extent (i) resulting from the gross negligence or willful misconduct of Landlord or its contractors, agents, servants or employees or breach of this Lease by Landlord and (ii) not covered by the insurance maintained by Tenant (or which would not have been so covered if Tenant had maintained the insurance required to be maintained by Tenant pursuant to this Lease). Landlord or its agents shall not be liable for interference with light or other similar intangible prop erty interests. Tenant shall give prompt notice to Landlord in case of fir e or accidents in the Premises and of defects therein or in the fixtures or equipment located therein.

ARTICLE 12

INSURANCE

12.1 Tenant’s Insurance. Tenant, at its sole cost and expense, commencing on the date Tenant is given access to the Premises, and continuing during the Term, shall procure, pay for and thereafter keep in full force and effect the following types of insurance, in at least the amounts and in the forms specified below:
(a) Commercial General Liability (CGL) with limits no less than Two Million Dollars ($2,000,000.00) per occurrence basis including products and completed operations, property damage, bodily injury and personal & advertising injury with limits no less than Two Million Dollars ($2,000,000) per occurrence. Tenant shall maintain in force liability insurance, at all times during the term of this Lease and any renewal or extension thereof, which shall insure and indemnify Landlord, the City Council and each member t hereof, and every officer and employee of Landlord against liability or financial loss resulting from any suits, claims or actions brought by any person or persons and from all costs and expense of litigation brought against Landlord, the City Council and every member thereof for any injury to persons and/or damage to property in, on or about the Premises by reason of the use or occupation by Tenant or by any other person or persons of the Premises and the activities of Tenant.

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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(b) A policy or policies of Workers’ Compensation insurance as required by law , with a limit of not less than One Million Dollars ($1,000,000.00). (c) Property Insurance against all risk of loss at full replacement cost with no coinsurance penalty provision at Tenant’s cost and expense, shall be obtained and at all times during the term hereof maintain in effect covering (1) all improvements included in the Premises; (ii) Tenant’s trade fixtures, furnishings, equipment, and inventory of merchandise located in the Premises; and (2) all alterations, additions, and changes made in or to the Premises during the term of this Lease at Tenant’s expense, providing protection to the extent of not less than one hundred percent (100%) of the insurable value of all said items against any peril included under insurance industry practices in the jurisdiction of the Premises within the classification “fire and extended coverage,” together with insurance against vandalism, malicious mischief, and sprinkler leakage or other sprinkler damage, if sprinklers are installed, and including “use and occupancy” and/or “business interruption” coverage. Tenant hereby waives any and all rights of recovery against Landlord for any loss occurring to such items on account of fire or other casualty, and the aforesaid policies of insurance shall contain appropriate provision recognizing this release by Tenant and waiving all right of subrogation by the insurance carrier. The proceeds of such insurance, so long as this Lease remains in effect, shall be used to repair or replace the items so insured in the event of loss on account of fire or other casualty.
(d) Automobile Liability: Covering any auto, or if Tenant has no owned autos, hired, and non-owned autos, with limit no less than $1,000,000.00 per accident for bodily injury and property damage.
(e) Plate Glass Insurance : Plate glass insurance covering all plate glass on the Premises at full replacement value; provided that Tenant shall be permitted to self -insure plate glass insurance.
(f) Insurance covering all of Tenant’s Improvements and Tenant’s Alterations, in an amount not less than their full replacement value from time to time, including replacement cost endorsement, providing protection against any peril included within the classification Fire and Extended Coverage, sprinkler damage, vandalism, maliciou s mischief and such other additional perils as covered in an “all risks” standard insurance policy. Any policy proceeds shall be used for the repair or replacement of the property dam aged or destroyed unless this Lease shall cease and terminate under the provisions of Article 14.
(g) Business Interruption Insurance : Commercially reasonable business interruption insurance.

12.2 Restrictions on Use . Tenant shall not use or permit the Premises to be used, nor do or permit any act to be done, which may increase the existing rates of insurance upon the building in which the Premises are located, or which may cause the cancellation of any insurance poli cy covering the Premises. If any act on the part of Tenant or use of the Premises by Tenant shall cause directly or indirectly any increase of Landlord’s insurance expense, the additional expense shall be paid by Tenant to Landlord upo n demand. Such payment by Tenant shall not limit Landlord in the exercise of any other rights or remedies. Tenant shall not sell or permit to be kept, used or sold in or about the Premises any article which may be prohibited by California Standard Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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Forms of fire insurance policies. Tenant, at Tenant’s sole expense, shall comply with any and all requirements pertaining to the use of the Premises, of any insurance organization or company, which compliance may be necessary for maintenance of reasonable fire, extended coverage, public liability, and other insurance upon the Premises.

12.3 Additional Insureds. Landlord shall be named as an additional insured on Tenant’s liability and property policies. Said policies shall be issued by an insurer rated in Best’s Insurance Guide with a financial rating of A+ VII or better. If commercially available, s aid policies shall provide that the insurance coverage shall not be cancelled or reduced by the insurance carrier without Landlord having been given thirty (30) days’ prior written notice thereof by such carrier.

Tenant shall not cancel or reduce said insurance coverage.

12.4 Certificate(s) of Insurance. At all times during the term of this Lease and prior to taking possession of the Premises, Tenant shall maintain on file with Landlord a certificate of insurance issued by the insurance carrier or carriers and showing that the aforesaid insurance policies are in effect in the amounts above provided and if requested by Landlord, a copy of each insurance policy. Notwithstanding any other provision to the contrary contained in this Lease, Tenant shall not have the right to take possession of the Premises un til such certificate or certificates and insurance policies are filed with the City.

12.5 Landlord Cure Right . If Tenant does not keep the insurance required by this Lease in full force and effect, Landlord may obtain the necessary insurance and pay the premium thereon, and the repayment thereof shall be paid by Tenant as Additional Rent within ten (10) days after written demand by Landlord.

12.6 Waiver of Subrogation . Tenant’s insurance shall be primary to coverage available to Landlord. Tenant hereby waives any rights of subrogation against the Landlord.

12.7 Indemnity. “ Landlord” for the purposes of this Article 12 shall mean and include Landlord, its officers, agents and employees. To the fullest extent permitted by law, Tenant covenants with Landlord that Landlord shall not be liable for any damage or liability of any kind or for any injury to or death of persons or damage to property of Tenant or any other person from any cause whatsoever related to the use, occupancy or enjoyment of the Premises by Tenant or any person thereon or holding under Tenant. Tenant shall pay for, defend (with an attorney reasonably approved by Landlord), indemnify, and save Landlord harmless against and from any real or alleged damage or injury and from all claims, judgments, liabilities, losses, costs and expenses, including reasonable attorneys’ fees and costs, arising out of or connected with Tenant’s use of the Premises and its facilities, or any repairs, Alterations or improvements (including original improvements and fixtures specified as Tenant’s Initial Improvements) which Tenant may make or cause to be made upon the Premises, any b reach of this Lease by Tenant. The obligations to indemnify set forth in this Article shall include all reasonable attorneys’ fees, litigation costs, investigation costs and court costs and all other costs, expenses and liabilities incurred by the indemnified party from the first notice that any claim or demand is to be made or may be made .

All obligations under this Article shall survive the expiration or termination of this Lease.

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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ARTICLE 13
DAMAGE

13.1 Insured Casualty. In the case of damage by fire or other perils covered by insurance, the following provisions shall apply:
(a) Within a period of sixty (60) days after all applicable permits have been obtained (which permits Landlord shall promptly apply for and diligently seek) and delivery of insurance proceeds to Landlord, Landlord shall commence such repair, reconstruction and restoration of the Premises to the extent they have been affected by fire or other casualty, and shall diligently prosecute the same to completion; provided, however, that Tenant, at its cost, shall repair and restore all items of Tenant’s Initial Improvements and Tenant’s Alterations and replace its stock in trade, trade fixtures, furniture, furnishings and equipment. Tenant shall commence this work promptly upon delivery of possession of the Premises to Tenant and shall diligently prosecute same to completion.
(b) Notwithstanding the foregoing, if destruction of the Premises occurs during the last two (2) years of the Term and the estimated time to repair the Pr emise is more than the lesser of 180 days or one half (½) of the remaining Term under the Lease Term (as the same may have been or is so extended by Tenant within 30 days after such a casualty), Landlord and Tenant shall each have the right to terminate this Lease. In each case of a termination under this Article, the termination right shall be exercised by the terminating party giving written notice to the other party within thirty (30) days after the date of destruction, provided that Tenant shall not have the right to terminate unless all insurance proceeds are delivered to Landlord. (c) If, prior to the commencement of any repair or restoration work , it is estimated (which estimate shall be delivered to both Landlord and Tenant in a written notice) by an independent and reputable contractor selected by Landlord that the damage to the Premises cannot reasonably be completed within two hundred seventy (270) days after the date of damage and delivery of insurance proceeds, then each party shall have the right to terminate the Lease within thirty (30) days after receiving such written estimate provided that such party (and its agents, employees and contractors) did not cause the damage.

13.2 Uninsured Casualty. If the Premises or any material portion of the Premises is materially damaged as a result of any casualty not covered by the insurance required under this Lease, then Tenant shall , within ninety (90) days following the date of such damage, commence repair, reconstruction or restoration of the Premises and shall diligently prosecute the same to completion, or Landlord may elect within said ninety (90) days not to so repair, reconstruct or restore the damaged property, in which event, at Landlord’s option, this Lease shall cease and terminate upon the expiration of such ninety (90) day period. In the event Landlord elects to restore the Premises, Tenant shall have the same repair, restoration and replacement obligations as to its improvements and Alterations as it has pursuant to Section 13.1.

13.3 Abatement. The Base Rent and Additional Rent payable hereunder shall be abated (i) to the extent it is not payable by Tenant’s insurance (such as Business Interruption insurance); and then (ii) proportionately with the degree to which Tenant’s use of the Premises is impaired from the time of the occurrence of the casualty until the date on which Tenant again operates its business Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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in the Premises provided however that neither Tenant nor its agents, employees or contractors caused the damage.

13.4 Waiver of Termination . Tenant waives any statutory rights of termination which may arise by reason of any partial or total destruction of the Premises.

ARTICLE 14

EMINENT DOMAIN

14.1 Taking. The term “Taking”, as used in this Article 14, shall mean an appropriation or taking under the power of eminent domain by any public or quasi -public authority or a voluntary sale or conveyance in lieu of condemnation but under threat of condemnation.

14.2 Total Taking. In the event of a Taking of the entire Premises, this Lease shall terminate and expire as of the date possession is delivered to the condemning authority and Landlord and Tenant shall each be released from any liability accruing pursuant to this Lease after the date of such termination.

14.3 Partial Taking. If there is a Taking of a material portion of the Premises and, regardless of the amount taken, the Premises is not, in Tenant’s sole but reasonable business judgment, suitable for the continued operation of Tenant’s business, then Tenant may terminate this Lease, upon giving notice in writing of such election to Landlord within thirty (30) days after receipt by Tenant from Landlord of written notice that a portion of the Premises has been so appropriated or taken. In each case, the termination of this Lease shall be effective as of the date Tenant is required to vacate all or a portion of the Premises.

14.4 Award. The entire award or compensation in any such condemnation proceeding, whether for a total or partial Taking, or for diminution in the value of the leasehold or for the fee, shall belong to and be the property of Landlord. Without derogating the rights of Landlord under the preceding sentence, Tenant shall be entitled to recover from the condemning authority such compensation as may be separately awarded by the condemning authority to Tenant or recoverable from the condemning authority by Tenant in its own right and separately allocated to the taking of trade fixtures and equipment owned by Tenant, the expense of removing and relocating Tenant’s trade fixtures and equipment, interruption or damage to Tenants’ business, the value of Tenant’s leasehold estate, or the unamortized cost of Tenant improvements paid for by Tenant.

14.5 Continuation of Lease . In the event of a Taking, if Landlord and Tenant elect not to terminate this Lease as provided above (or have no right to so terminate), Landlord agrees, at Landlord’s cost and expense as soon as reasonably possible after the Taking, to restore the Premises necessary for Tenant to reasonably operate from the Premises (to the extent of the condemnation proceeds) on the land remaining to a complete unit of like quality and character as existed prior to the Taking and, thereafter, Base Rent and Additional Rent payable by Tenant hereunder shall be reduced on an equitable basis, taking into account the relative value of the portion taken as compared to the portion remaining, and Landlord shall be entitled to receive the total award or compensation in such proceedings.

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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ARTICLE 15

ASSIGNMENT AND SUBLETTING

15.1 Landlord’s Consent Required . Tenant shall not assign, sublet, enter into franchise, license or concession agreements, change ownership or voting control, mortgage, encumber, pledge, hypothecate or otherwise transfer (including any transfer by operation of law, but excluding Permitt ed Transfers) all or any part of this Lease or the Premises (collectively “Transfer”) without first procuring the written co nsent of Landlord in Landlord’s discretion. A sale of fifty percent (50%) or more of the ownership interests in Tenant, whether in one transaction or a related series of transactions, shall constitute an assignment of this Lease. If Tenant requests Landlord’s consent to an assignment of this Lease or subletting of all or part of the Premises, Tenant shall submit to Landlord, in writing, the name of the proposed assignee or subtenant.

15.2 Procedures. Should Tenant desire to enter into a Transfer, Tenant shall request, in writing, Landlord’s consent to the proposed Transfer at least forty -five (45) days before the intended effective date of the proposed Transfer, which request shall include any infor mation reasonably requested by Landlord to evaluate the proposed Transfer. A consent to one (1) Transfer by Landlord shall not be deemed to be a consent to any subsequent Transfer to any other party.

15.3 Standard for Consent After Tenant Event of Default . For purposes of Landlord’s consent after an Event of Default by Tenant and Landlord’s election to keep this Lease in effect, Tenant agrees that Landlord may only refuse its consent to the proposed transfer on reasonable grounds, and (by way of example and without limitation) Tenant agrees that it shall be reasonable for Landlord to withhold its consent if any of the following situations exist or may exist: (a) the proposed transferee’s financial condition, net worth or liquidity is less than the financial condition, net worth or liquidity of Tenant as of the date of the request for transfer or is inadequate to support all of the financial and other obligations of Tenant under this Lease; (b) the business reputation or character of the proposed transferee is not reasonably acceptable to Landlord; or (c) the proposed transferee is not likely to conduct on the Premises a business of a quality commensurate with the neighborhood.

15.4 No Release; Form. No Transfer whether with or without Landlord’s consent, shall relieve Tenant from its covenants and obligations under this Lease. Any Transfer shall be evidenced by an instrument in form and content satisfactory to Landlord and executed by Tenant and t he Transferee.

ARTICLE 16

DEFAULTS

16.1 Events of Default . The occurrence of any one or more of the following events shall constitute an “Event of Default” by Tenant under this Lease:
(i) failure to pay the Base Rent , any Additional Rent, or the Security Deposit within five (5) days after written notice from Landlord to Tenant; (ii) failure to perform any other of the promises, covenants or agreements of Tenant contained in this Lease for more than thirty (30) days after written notice from Landlord (provided, however, if the default cannot be rectified or cured within such thirty (30 ) day period, Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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the default shall be deemed to be rectified or cured if Tenant, within such thirty (30) day period, shall have commenced to rectify or cure the default and shall thereafter diligently and continuously prosecute same to completion);
(iii) an assignment or subletting by Tenant without Landlord’s prior written consent when such consent is required by this Lease; or (iv) failure to maintain the insurance required of Tenant under this Lease.

16.2 Landlord Remedies. Any notice required to be given by Landlord above shall be in lieu of, and not in addition to, any notice required under Section 1161 of the Code of Civil Procedure of California or any similar, superseding statute. Upon the occurrence of an Event of D efault by Tenant, Landlord may elect to terminate this Lease and to re -enter and take possession of the Premises and remove all persons therefrom, and/or exercise all or any of the rights and remedies afforded Landlord by California law in cluding, but not limited to, the remedies provided under California Civil Code Sections 1951.2 or 1951.4. Pursuant to California Civil Code Section 1951.2, the damages Landlord may recover against Tenant include, but are not limited to, the worth at the time of award of the amount by which the unpaid rent for the balance of the term after the time of award, exceeds the amount of such rental loss for the same period that the Tenant proves could be reasonably avoided. Pursuant to California Civil Code Secti on 1951.4, Landlord may continue this Lease in effect after Tenant’s breach of this Lease and abandonment of the Premises and recover rent as it becomes due, if Tenant has the right to sublet the Premises or assign this Lease, subject only to reasonable li mitations. Landlord hereby agrees that in the event Landlord elects the remedy under California Civil Code Section 1951.4, Landlord will not unreasonably withhold its consent to assignment and subletting by Tenant, and Article 15.3 shall apply.

16.3 Default by Landlord. Landlord shall not be in default hereunder unless Landlord fails to perform the obligations required of Landlord within thirty (30) days after written notice by Tenant to Landlord specifying wherein Landlord has failed to perform such obligation; provid ed, however, that if the nature of Landlord’s obligation is such that more than thirty (30) days are required for performance, then Landlord shall not be in default if Landlord commences performance within such thirty (30) day period and thereafter diligently prosecutes the same to completion. Notwithstanding any contrary provision contained in this Lease, Landlord shall not be liable under any circumstances for any indirect or consequential damages or any injury or damage to, or interfe rence with, Tenant’s business, including, but not limited to, loss of profits, loss of rents or other revenues, loss of business opportunity, loss of goodwill or loss of use; provided, that the foregoing is not intended to be a waiver by Tenant of any righ ts it may have to condemnation awards in the event of a condemnation by Landlord of Tenant’s interest under this Lease or Tenant’s business.

ARTICLE 17

SUBORDINATION, ATTORNMENT AND ESTOPPEL CERTIFICATES

17.1 Subordination. So long as the lienholder agrees in writing to be bound by the obligations of the Landlord arising after the lienholder acquires title to the Premises, and provided such lienholder also executes a commercially reasonable non -disturbance agreement in favor of the Tenant, then upon written request of Landlord, Landlord’s mortgagee, or the beneficiary of a deed Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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of trust of Landlord or a lessor of Landlord, Tenant will subordinate its rights pursuant to this Lease in writing to the lien of any mortgage, deed of trust or the interest of any lease in which Landlord is the lessee and to all advances made or hereafter to be made upon the security thereof.

17.2 Attornment. In the event any proceedings are brought for foreclosure, or in the event of the exercise of the power of sale under any mortgage or deed of trust made by Landlord encumbering the Premises, or should a lease in which Landlord is the lessee be terminated, Tenant shall upon the request of the purchaser or lessor attorn to the purchaser or lessor under such lease upon any foreclosure, sale or lease termination and recognize the purchaser or lessor as Landlord under this Lease, provided that the purchaser or lessor shall acquire and accept the Premises subject to this Lease.

17.3 Estoppel Certificates. Upon not less than ten (10) days prior notice from Landlord or Tenant to the other, Landlord or Tenant, as the case maybe shall execute, acknowledge and deliver to the requesting party, a reasonable estoppel certificate certifying that this Lease is unmodified and in full force and effect and that the other party is not in default (or stating how any of the foregoing is not true) and certifying the dates to which rental or other sums due hereunder have been paid in advance (“Estoppel Certificate”).

17.4 Subordination of Landlord’s Liens . Landlord hereby subordinates all statutory and contractual landlord’s liens to any liens or security interests covering Tenant’s inventory, or financed fixtures, furniture or equipment of Tenant in favor of bona -fide third -party lenders providing financing to Tenant (including purchase -money financing). Additionally, Tenant shall be permitted to remove personal property from the Premises without Landlord’s consent (free and clear of any landlord’s liens) whenever Tenant has not previously received from Landlord a written notice of default which remains uncured.

ARTICLE 18

MATTERS OF RECORD
Tenant agrees that it and all persons in possession or holding under it will conform to and will not violate the terms of any covenants, conditions, restrictions, easements and any other matters currently of record. Tenant acknowledges that Tenant has had an opportunity to obtain and review a title report and title exception documents from a title insurance company selected by Tenant.

ARTICLE 19

UTILITIES AND SERVICES
Tenant shall pay directly to the appropriate utility company all charges for utility services supplied to Tenant. If no such (sub)meter exists, then Tenant shall reimburse Landlord within ten (10) days after written demand from time to time for Tenant’s share utility charges allocable to the Premises. In that regard, Tenant is responsible for directly contracting utility service s including, but not limited to those shown in the table below.

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Service Responsible Party for Directly Contracting
Electric Utility Tenant
Water/Sewer Utility Tenant
Gas Utility Tenant
Trash Pickup Services Tenant
Fire and Life Safety Monitoring Tenant

Regardless of the entity which supplies any of the utility services, Landlord shall not be liable for any failure or interruption of any utility or service. Except as otherwise provided herein, no failure or interruption of any utility or service shall entitle Tenant to terminate this Lease or discontinue making payments of Rent payable by Tenant under this Lease; provided, however, that Landlord shall use good faith efforts to restore such service to the extent the restoration of the same is not the obligation of Tenant, the utility company or other third party.

ARTICLE 20

MISCELLANEOUS

20.1 Hazardous Materials. During the Term of this Lease, Tenant, at its sole cost and expense, shall comply with all laws relating to the storage, use, handling and disposal of hazardous, toxic or radioactive matter, including, without limitation, petroleum products, asbestos, and those materials identified in Sections 66680 and 66685 of Title 22 of the California Administrative Code, Division 4, Chapter 30 (“ Title 22 ”), as amended from time to time (collectively, “ Hazardous Materials”); provided, however, that the foregoing shall not apply to Hazardous Materials in, on or surrounding the Pr emises not released by Tenant or its contractors , employees, agents or customers. Tenant shall notify Landlord and provide to Landlord a copy or copies of any environmental entitlements or inquiries related to the Premises. The clean-up and disposal of any Hazardous Materials released onto or about the Premises by Tenant or its agents, contractors or employees shall be performed by Tenant at Tenant’s sole cost and expense and shall be performed in accordance with all applicable laws, rules, regulations and ordinances, pursuant to a site assessment and r emoval/remediation plan prepared by a licensed and qualified geotechnical engineer and submitted to and approved in writing by Landlord prior to the commencement of any work. The foregoing notwithstanding, Landlord in Landlord’s sole and absolute discretion may elect, by written notice to Tenant, to perform the clean -up and disposal of such Hazardous Materials from the Premises. In such event, Tenant shall pay to Landlord the actual cost of same upon receipt from Landlord of Landlord’s written invoice the refor. Notwithstanding any other term or provision of this Lease, Tenant shall permit Landlord or Landlord’s agents or employees to enter the Premises at any time, upon at least one (1) business days’ notice, to inspect, monitor and/or take emergency or long -term remedial action with respect to Hazardous Materials on or affecting the Premises or to discharge Tenant’s obligations hereunder with respect to such Hazardous Materials when Tenant has failed, after demand by Landlord, to do so. All costs and expenses incurred by Landlord in connection with performing Tenant’s obligations hereunder shall be reimbursed by Tenant to Landlord within thirty (30) days of Tenant’s receipt of written request therefor.

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Except as provided herein, Tenant shall defend, indemnify, and hold Landlord harmless from and against any and all claims, liabilities, losses, costs, and expenses (including, without limitation reasonable attorneys’ fees) incurred or suffered by Landlord as a result of Tenant’s or its invitees’, licensees’, contractors’, agents’ or employees’ storage, use, handling, disposal or release of Hazardous Materials in or about the Premises or the Premises; provided, however, that Tenant shall be liable for any release of Hazardous Materials during its occupancy of the Premises, regardless of when such release is discovered . Notwithstanding anything to the contrary herein, Tenant’s indemnification obligations pursuant to this section shall survive termination of this Lease.

20.2 Notices. Every notice, demand or request (collectively “Notice”) required hereunder or by law to be given by either party to the other shall be in writing. Notices shall be given by United States certified mail, postage prepaid, return receipt requested, or by same-day or overnight private courier, addressed to the party to be served at the address indicated in Section 1.11 or such other address as the party to be served may from time to time designate in a Notice to the other party.

The delivery of a Notice shall be deemed made within 3 days after deposit into the U.S. mail with respect to certified mail or within 1 business day after deposit with an overnight private courier for overnight delivery. Copies of any Notice shall be sent to the addresses, i f any, designated for service of copies of Notices in Section 1.11.

20.3 Force Majeure. Any prevention, delay or stoppage due to strikes, lockouts, labor disputes, acts of God, inability to obtain labor or materials or reasonable substitutes therefor, governmental restrictions, governmental regulations, governmental controls, judicial orde rs, enemy or hostile governmental action, civil commotion, fire or other casualty, and other causes (except financial) beyond the reasonable control of the party obligated to perform, shall excuse the performance by that party for a period equ al to the prevention, delay or stoppage; however, this Section shall not be applied to delay the payment by Tenant of payments required of Tenant under this Lease.

20.4 Termination. Upon the expiration or earlier termination of the Term, Tenant shall peaceably and quietly surrender the Premises broom -clean, reasonable wear and tear and any damage to the Premises, which Tenant is not required to repair pursuant to Article 14 or Article 15, excepted.

20.5 Miscellaneous Provisions.
(a) It is understood that there are no oral or written agreements or representations between the parties hereto affecting this Lease and this Lease supersedes and cancels any and all previous negotiations, arrangements, representations, brochures, agreements a nd understandings, if any, between Landlord and Tenant. No provision of this Lease may be amended except by an agreement in writing signed by Landlord and Tenant.
(b) Subject to the terms of this Lease, all rights and obligations of Landlord and Tenant under this Lease shall extend to and bind the respective heirs, executors, administrators and the permitted concessionaires, successors, subtenants and assignees of the parties. (c) Any waiver by either party of a breach by the other party of a covenant of this Lease shall not be construed as a waiver of a subsequent breach of the same covenant.

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(d) Except where another rate of interest is specifically provided for in this Lease, any amount due from either party to the other under this Lease which is not paid when due, shall bear interest at the rate per annum (“Interest Rate”) equal to the prime interest rate published from time to time by the Wall Street Journal plus two (2) percentage points (but in no event to exceed the maximum lawful rate) from the date such amount was originally due to and including the date of payment.
(e) If Tenant or Landlord is a municipal corporation, corporation, partnership or limited liability company, each individual executing this Lease on behalf of the municipal corporation, corporation, partnership or limited liability company (in his/her represen tative capacity only) represents and warrants that he or she is duly authorized to execute and deliver this Lease on behalf of the municipal corporation, corporation, partnership or limited liability company and that this Lease is binding upon the municipa l corporation, corporation, partnership or limited liability company.
(f) This Lease shall be governed by and construed in accordance with the laws of the State of California without giving effect to the choice of law provisions thereof. (g) Tenant waives any and all rights of redemption granted under any present and future laws in the event Landlord obtains the right to possession of the Premises by reason of the violation by Tenant of any of the covenants and conditions of this Lease or otherwise. (h) In the event that, at any time after the Effective Date of this Lease, either Landlord or Tenant shall institute any action or proceeding against the other relating to the provisions of this Lease or any default hereunder, the party not prevailing in such action or proceeding shall reimburse the prevailing party for its actual attorneys’ fees, and all fees, costs and expenses incurred in connection with such action or proceeding, including, without limitation, any post - judgment fees, costs or expenses incurred on any appeal or in collection of any judgment. (i) Tenant shall observe faithfully and comply with, and shall cause its employees and invitees to observe faithfully and comply with, reasonable and nondiscriminatory rules and regulations governing the Premises as may from time to time be promulgated by Landlord. (j) Should Landlord sell, exchange or assign this Lease (other than a conditional assignment as security for a loan), then Landlord, as transferor, shall be relieved of any and all obligations on the part of Landlord accruing under this Lease from and after th e date of such transfer provided that Landlord’s successor in interest shall assume such obligations from and after such date. Written notice of any such transfer shall be given to Tenant. (k) Notwithstanding anything contained in this Lease to the contrary, it is expressly understood and agreed that any judgment against Landlord resulting from any default or other claim under this Lease shall be satisfied only out of the net rents, issues, profits and other income actually received from the operation or sale of the Premises, and Tenant shall have no claim against Landlord or any of Landlord’s personal assets for satisfaction of any judgment with respect to this Lease.
(l) If any part of the Premises is at any time subject to a first mortgage or a first deed of trust, and this Lease or the rentals due from Tenant hereunder are assigned by Landlord to a Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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mortgagee, trustee or beneficiary (“ Assignee” for purposes of this clause (l) only) and Tenant is given written notice of the assignment including the post office address of Assignee, then Tenant shall also give written notice of any default by Landlord to Assignee, specifying the default in reasonable detail and affording Assignee the same amount of time as provided in this Lease for Landlord (starting from the date Assignee receives such notice) to make performance for and on behalf of Landlord. If and when Assignee has made performance on behalf of Landlord, the default shall be deemed cured.
(m) Tenant shall pay all costs for work performed by or on account of it and shall keep the Premises free and clear of mechanics’ liens or any other liens or stop notices. Tenant shall give Landlord immediate notice of any lien or stop notice filed against the Premises as a result of any work of improvement performed by or on behalf of Tenant. Tenant shall immediately cause any lien or stop notice to be discharged or removed of record by either paying the amount thereof or recording a statutory lien release bond in an amount equal to one hundred fifty percent (150%) of the amount of said lien or stop notice, or such other amount as may be adequate to cause the lien or stop notice to be released as an encumbrance against the Premises. (n) Each of Landlord and Tenant shall defend, indemnify and hold the other harmless from any claims, costs, expenses or liabilities for any compensation, commission or charges to other realtors, brokers or agents claiming by, through or on behalf of Landlord or Tenant, as the case may be, with respect to this Lease and/or the negotiation hereof. (o) All of the exhibits referenced in this Lease are incorporated herein by this reference. (p) Notwithstanding anything contained in this Lease to the contrary, Tenant acknowledges that Landlord is acting in its proprietary capacity, is entering into and complying with this Lease, and that nothing contained in this Lease shall require Landlord, in i ts capacity as a governmental entity, to act in any predetermined manner in connection with its actions as a governmental entity, as opposed to its actions as a contracting party pursuant to this Lease. (q) Provided an Event of Default by Tenant does not occur, Tenant shall have the right of quiet enjoyment of the Premises free from interference by Landlord or by any person or entity claiming rights granted by Landlord.
(r) Tenant shall faithfully observe and comply with the Rules and Regulations attached hereto as Exhibit “D” and modifications thereto made by Landlord shall from time to time that are delivered in writing to Tenant.
(s) If any provision of this Lease is held or adjudicated to be invalid or unenforceable for any reason, each such portion or provision shall be severed from the remaining portions or provisions of this Lease and the remaining portions or provisions shall be unaffected and remain in full force and effect.
(t) Concurrently with the execution and delivery of this Lease, Tenant shall also execute, acknowledge and deliver to Landlord a Memorandum of Lease in the form attached hereto as Exhibit “C” for recording. Tenant shall not record this Lease, any notice of other memorandum of this Lease. Upon the expiration or any earlier termination of this Lease, Tenant shall execute, Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

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acknowledge and deliver to Landlord a termination of such recorded Memorandum of Lease and/or quitclaim deed in the form prepared by Landlord and submitted to Tenant. (u) This Lease may be executed by using DocuSign and the email address(es) set forth below.
(v) Except where otherwise stated, all references to days are to calendar days.

Whenever under the terms of this Agreement the time for performance of a covenant or condition falls on a Saturday, Sunday, or California state holiday, such time for performance will be extended to the next business day. “Business Day (s)” means days other than Saturday, Sunday, a nd California state holidays. The headings used in this Agreement are provided for convenience only and this Agreement will be interpreted without reference to any headings.

[Remainder of this page intentionally left blank]
[Signatures appear on next page]
IN WITNESS WHEREOF, Landlord and Tenant have duly executed this Lease on the day and year first above written.

LANDLORD:

JOHN ALVAREZ
Signature:

Print Name: John Alvarez

TENANT:

City of Rancho Cucamonga,
a California Municipal Corporation
By:

Name: L. Dennis Michael
Title: Mayor
ATTEST:

By:

Kim Sevy, City Clerk
APPROVED AS TO FORM:

_____________________________________
Nicholas Ghirelli, City Attorney

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

Exhibit “A”

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EXHIBIT “A”

LEGAL DESCRIPTION OR DIAGRAM OF LAND
(Attached.)

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Exhibit “B”

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EXHIBIT “B”
Intentionally Omitted
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Exhibit “C”

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EXHIBIT “C”

FORM OF MEMORANDUM OF LEASE

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Exhibit “C”

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RECORDING REQUESTED BY,
AND WHEN RECORDED MAIL TO:

John Alvarez
7368 Archibald Avenue
Rancho Cucamonga, CA 91730

APN(s):

SPACE ABOVE THIS LINE FOR RECORDER'S USE
The undersigned declare that this Memorandum of Lease is exempt from Recording Fees pursuant to California Government Code Section 27383 and exempt from Documentary Transfer Tax pursuant to California Revenue and Taxation Code Section 11922.

MEMORANDUM OF LEASE
THIS MEMORANDUM OF LEASE (this “Memorandum”) is dated as of _______, 202___, and is entered into by and between the City of Rancho Cucamonga, a California municipal corporation (“Tenant”), and JOHN ALVAREZ (“Landlord”).

RECITALS
A. Tenant and Landlord have entered into that certain Building Lease dated _______, 20_______ (the “Lease”), pursuant to which Landlord has agreed to lease and demise to Tenant, and Tenant has agreed to lease and accept from Landlord that certain building commonly known as _______________ (the “Premises”). The Premises are more particularly described in the Lease.

B. Landlord and Tenant now desire to enter into this Memorandum to comply with applicable law requiring that municipal leases be recorded.

AGREEMENT
NOW, THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Tenant and City agree as follows:

1. Lease. Landlord hereby leases and demises the Premises to Tenant, and Tenant hereby leases and accepts the Premises from Landlord for a term of _______ months at the rental rates and upon the other terms and conditions set forth in the Lease, which are incorporated herein by this reference.

2. Purpose. This Memorandum is prepared for the purposes of recordation only and in no way modifies the terms and conditions of the Lease. In the event any provision of this Memorandum is inconsistent with any term or condition of the Lease, the term or condition of the Lease shall prevail.

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

Exhibit “C”

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3. Counterparts. This Memorandum 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.

IN WITNESS WHEREOF, the parties hereto have executed this Memorandum of Lease as of the date first written above.

LANDLORD: TENANT:

JOHN ALVAREZ
By:

Print Name: John Alvarez

City of Rancho Cucamonga,
a California municipal corporation
By: _______________________________
L. Dennis Michael,
Mayor

Attest:

Kim Sevy, City Clerk

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Exhibit “C”

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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
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.

STATE OF CALIFORNIA

COUNTY OF

On before me, ________________________________________ 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 instr ument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity(ies) 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.

Place Notary Seal Above
Signature of Notary Public

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Exhibit “C”

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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
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.

STATE OF CALIFORNIA

COUNTY OF LOS ANGELES

On before me, ________________________________________ 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 instr ument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity, and that by his/her/their signature(s) on the instrument the person(s), or the entity(ies) 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.

Place Notary Seal Above
Signature of Notary Public

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Exhibit “D”

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EXHIBIT “D”

RULES AND REGULATIONS

1. Except as may be specifically provided in the Lease to which these Rules and Regulations are attached, no sign, placard, picture, advertisement, name or notice shall he installed or displayed on any part of the outside of the Premises or which are visible from outside the Premises without the prior written consent of Landlord. Tenant shall not place anything against or near exterior windows or doors which may appear unsightly from outside the Premises or which are visible from the exterior of the Premise s (other than approved window coverings, automobiles or other merchandise or displays consistent with Tenant's permitted uses of the Premises). Landlord shall have the right to remove, at Tenant’s expense and with 24 hours’ prior written or oral notice, an y sign installed or displayed in violation hereof.

2. At Landlord’s request, as a part of the initial Tenant Improvements, Tenant shall install new locks in, and re-key, the Premises, and in such event, Tenant shall deliver a copy of a key to all such locks to Landlord upon installation thereof. In addition, upon the termination of its tenancy, Tenant shall deliver to Landlord the keys to all doors and locks in the Premises.

3. All contractors and technicians rendering any service to Tenant shall be referred to Landlord for approval (which approval shall not be unreasonably withheld, conditioned or delayed) and supervision prior to performing any such service. This applies to all work performed in the Premises, including but not limited to, installation of telephone and telegraph equipment and electrical devices and installations affecting floors, walls, woodwork, windows, ceilings and any other physical portion of the Premises. None of Tenant’s contractors or subcontractors shall be entitled to (1) display identification or other signage at the Premises, or (2) use the passenger elevators at the Premises.

4. Landlord shall have the right to prescribe the weight, size and position of all equipment, materials, furniture or other property brought into the Premises. Heavy objects shall, if considered necessary by Landlord, stand on such platforms as determined by Landlord to be necessary to properly distribute the weight, which platforms shall be provided at Tenant’s expense. The persons employed to move such equip ment in or out of the Premises must be acceptable to Landlord.

Landlord will not be responsible fo r loss of, or damage to, any such equipment or other property from any cause, and all damage done to the Premises by maintaining or moving such equipment or other property shall be repaired at the expense of Tenant.

5. Except as set forth in the Lease, Tenant shall not use or keep in the Premises any kerosene, gasoline or inflammable or combustible fluid or material other than those limited quantities necessary for the operation or maintenance of equipment.

6. Tenant shall not use any method of heating or air conditioning other than that installed by Landlord, except for supplemental air conditioning systems installed in accordance with the provisions of the Lease.

7. Landlord reserves the right, exercisable upon thirty (30) days prior written notice to Tenant, to change the name and/or street address of the Premises.

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Exhibit “D”

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8. Tenant shall close and lock the doors of its Premises before Tenant and its employees leave the Premises. Tenant shall be responsible for any damage or injuries sustained by other tenants or occupants of the Premises or by Landlord for noncompliance with this rule.

9. The toilet rooms, toilets, urinals, wash bowls and other apparatus shall not be used for any purpose other than that for which they were constructed and no foreign substance of any kind whatsoever shall be thrown therein.

10. Tenant shall not install any radio or television antenna, loudspeaker or other devices on the roof(s) or exterior walls of the Premises. Tenant shall not interfere with radio or television broadcasting or reception from or in the Premises or elsewhere.

11. Tenant shall not deface the Premises or any part thereof, except in accordance with the provisions of the Lease pertaining to Alterations. Landlord reserves the right to direct electricians as to where and how telephone and telegraph wires are to be intr oduced to the Premises. Tenant shall not cut or bore holes for wires, except in accordance with the provisions of the Lease pertaining to Alterations. Tenant shall not affix any floor covering to the floor of the Premises in any manner except as approved by Landlord to the extent required by the provisions of the Lease pertaining to Alterations. Tenant shall repair any damage resulting from noncompliance with this rule.

12. Landlord reserves the right to exclude or expel from the Premises any person who, in Landlord’s judgment, is in violation of any of the Rules and Regulations of the Premises.

13. Tenant shall store all its trash and garbage within its Premises or in other facilities provided by Landlord. Tenant shall not place in any trash box or receptacle any material which cannot be disposed of in the ordinary and customary manner of trash and garbage disposal. All garbage and refuse disposal shall be made in accordance with reasonable directions issued from time to time by Landlord.

14. Tenant shall comply with all reasonable safety, fire protection and evacuation procedures and regulations established by Landlord or army governmental agency.

15. Tenant’s requirements will be attended to only upon appropriate application to the Landlord by an authorized individual. Employees of Landlord shall not perform any work or do anything outside of their regular duties unless under special instructions from Landlord, and no employee of Landlord will admit any person (Tenant or otherwise) to any off ice without specific instructions from Landlord.

16. There shall be no smoking within the Premises (except in areas, if any, designated therefor by Landlord).

17. Upon written notice to Tenant, Landlord reserves the right to rescind any of these Rules and Regulations and to make future Rules and Regulations as, in its judgment, may from time to time be needed for safety, comfort and security, for care and cleanlin ess of the Premises and for the preservation of good order therein which Rules and Regulations shall not be unreasonably modified or enforced in a manner which shall materially interfere with the conduct of Tenant’s Permitted Use from the Premises or Te nant’s use of or access to the Premises . Tenant agrees to Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

Exhibit “D”

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abide by all such Rules and Regulations herein above stated and any additional rules and regulations which are adopted and of which Tenant has received written notice.

18. Tenant shall be responsible for the observance of all of the foregoing rules by Tenant’s employees, agents, customers, invitees and guests.

19. Landlord reserves the right to charge as additional Rent to Tenant, any extra costs incurred by Landlord as a result of Tenant’s violation of these Rules and Regulations.

20. ______________________________________________________ Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

Exhibit “E”

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EXHIBIT “E”

NOTICE OF LEASE DATES
To: City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
Attn: City Manager

Re: Building Lease dated July 16, 2025 between the John Alvarez (“Landlord”), and City of Rancho Cucamonga (“Tenant”) for Premises located at 7368 Archibald Ave., Rancho Cucamonga, California.

Ladies and Gentlemen:

In accordance with the above-referenced Retail Lease (the “Lease”), we wish to advise you and/or confirm as follows:

1. Landlord delivered possession of the Premises on _______.

2. The Term Commencement Date is _______.

3. The Rent Commencement Date is _______.

4. The Initial Term shall end on _______.

5. Your rent checks should be made payable to John Alvarez at []:
______________________.

Landlord:

JOHN ALVAREZ
By:

Print Name: John Alvarez
Agreed to and Accepted
as of _______, 2025.

Tenant:

City of Rancho Cucamonga,
a California municipal corporation
By:

Print Name: L. Dennis Michael
Title: Mayor

Docusign Envelope ID: 9945CA5D-7DFB-427D-9036-BA56010C4922

DATE:July 16, 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 James Lo, Assistant Engineer
SUBJECT: Consideration of the 2024 Annual Review of the Development Agreement by and Between NAPA SCC A, LLC a Delaware Limited Liability Company and the City of Rancho Cucamonga, Case No. DRC2021-00175, and the 2024 Annual Review of the Development Agreement by and Between Bridge Point Rancho Cucamonga, LLC and the City of Rancho Cucamonga, Case No. DRC2021-00180. (CITY)
RECOMMENDATION:

Staff recommends that the City Council receive the 2024 Annual Review of the subject Development Agreement (Agreement) submitted by NAPA SCC A, LLC and Bridge Point Rancho Cucamonga, LLC.

BACKGROUND:

On January 19, 2022, the City Council adopted Ordinance 993, approving a Development Agreement (Case No. DRC2021-00175) setting forth additional terms for the development of two (2) new industrial buildings totaling 655,878 square feet on a 35-acre project site located approximately 650 feet east of Etiwanda Avenue and North of Napa Street.

On October 20, 2021, the City Council adopted Ordinance 987, approving a Development Agreement (Case No. DRC2021-00180) setting forth additional terms for the development of two (2) new industrial warehouse buildings totaling approximately 2,175,000 square feet located on the north side of 4th Street, between Santa Anita Avenue and Etiwanda Avenue, and construction of one new north-south street which will connect 4th Street and 6th Street.

Per Section 13 of both subject Agreements: Annual Review, during the term of the Agreements, the City shall annually review the extent of the good faith compliance by Property Owner with the terms of this Agreement. The property owner is required to file an annual report with the City indicating information regarding compliance no later than sixty (60) days prior to the anniversary of the effective date.

ANALYSIS:

The assigned property owners of NAPA SCC A, LLC have submitted a letter dated March 25, 2025, for calendar year 2024 (Attachment 2) and have complied with the following provisions and provided the annual review below:

2 9
0 1
Year 2024
Agreement Section Compliance Section
Section 9 (A) – General Standards and Restrictions
Pertaining to Development of the Site
In the 1st quarter, the construction on the shell
buildings are 100% complete. All final Inspections
were initiated for onsite structures and offsite
infrastructure improvements.

In the 2nd quarter, Certificate of Occupancy were
issued for both the 13120 and 13160 Napa Street
buildings.

In the 3rd quarter, the US Green Building Council
(USGBC) finalized their review of the LEED
application. Commissioning of mechanical,
electrical, lighting, and plumbing systems was
successfully completed during this time and both
buildings were certified as LEED Silver.

At the end of 4th quarter, after all inspections and
commissioning are completed, the solar system
will go live toward the end of April, 2025.

Section 11 (B) (i,v) – Community Benefit Fee Completed and paid in 2023.

Section 11 (C) (ii) – Traffic Improvements Completed and executed in 2023 to satisfy this requirement under the Development
Agreement.

Section 11 (D) – Fair Share Payment in lieu of
Remaining Traffic Improvement
Full payment was completed and paid in 2nd
quarter of 2023.

Section 11 (E) – New Public Street During the 1st quarter, finish work and punch list items (outlined in consultation with City Staff)
were completed to the satisfaction of City
Inspectors and permits were closed.

Section 11 (G) – Solar Panels and Purchase
Agreement
During the 4th quarter, the rooftop solar installation
had been completed by Valta Energy.

Section 11 (K) – Undergrounding In-Lieu Fee Full payment was completed and paid in 2nd quarter of 2023.

Section 11 (H) – RCMU Connection During the 4th quarter, all solar components of the system have now been installed. The transformer
was set by Rancho Cucamonga Municipal Utility
(RCMU) in February, 2025 and will be wired and
connected within the next month.

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The property owners of Bridge Point Rancho Cucamonga, LLC have submitted letters dated January 16, 2025, for calendar year 2024 (Attachment 3) and have complied with the following provisions and provided the annual review below for each year:

Year 2024
Agreement Section Compliance Section
Section 9 – General Standards and Restrictions
Pertaining to Development of the Site
The project’s construction was completed in
December 2023 and the Temporary Certificate of
Occupancies were issued on December 18, 2023
for both buildings. No significant progress from
December 31, 2023 through December 31, 2024.

Section 11 (A) – Material Handling Equipment Complete. Their tenant leases include language that designates the City of Rancho Cucamonga
as the point of sale for the Material Handing
Equipment on the project.

Section 11 (B) – Community Benefit Fee Payments are current. Payment 3a, 3b, 4a and 4b are not yet due.

Section 11 (C) – Traffic Improvements Complete. The Traffic Signal Improvements were substantially complete on December 18, 2023.

Section 11 (D) – Fair Share Payment for Remaining
Improvements
Complete. Fair share of $37,089 contribution was
paid in 2022, prior to the issuance of first
certificate of occupancy.

Section 11 (E) – New Public Street Complete. The construction of Catherine Bridge Place was completed on December 18, 2023.

Section 11 (F) – 6th Street At-Grade Crossing
Contribution
Completed. One million dollars ($1,000,000) was
paid as in-lieu fee to the City and Contribution
toward the 6th Street Crossing.

Section 11 (G) – Financing District Completed. Bridge Point Rancho Cucamonga, LLC voted in favor of the Community Facilities
Districts established by the City.

Section 11 (H) – Solar Panels and Purchase
Agreement
High-speed broadband service began in February,
2024. Valta Energy is actively installing solar
panels on Building 1 and scheduled to be
complete in Q3 of 2025.

Section 11 (I) – RCMU Connection Complete. RCMU completed their permanent power to the project on November 28, 2023.

Section 11(J) – Other City Fees Payments are current by the City. All City fees have been paid as required.

Section 11 (K) – MMRP Compliance Costs Bridge Point Rancho Cucamonga, LLC will continue to reimburse the City as needed for
MMRP compliance costs.

ENVIRONMENTAL ANALYSIS:

Pursuant to the California Environmental Quality Act (CEQA) and City’s local CEQA Guidelines, the City staff prepared Environmental Impact Report (EIR) SCH No. 2020090076 for Case No.

DRC2021-00175 and Environmental Impact Report SCH No. 2020100056 for Case No.

DRC2021-00180 which analyzed the potential environmental impacts of the proposed project and identify mitigation measures and alternatives that may be adopted to reduce or eliminate impacts.

FISCAL IMPACT:

Per the agreement, the Property Owner of NAPA SCC A, LLC has provided the following:

Year 2024: None.

Per the agreement, the Property Owner of Bridge Point Rancho Cucamonga, LLC has provided the following:

Year 2024: None
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This item addresses the City Council’s vision of building a world class community by providing ongoing coordination to ensure construction of high-quality public improvements.

ATTACHMENTS:

Attachment 1 - Vicinity Maps
Attachment 2 – 2024 NAPA SCC A, LLC Annual Review Letter Attachment 3 – 2024 Bridge Point Rancho Cucamonga, LLC Annual Review Letter

ATTACHMENT 1
Vicinity Map
DRC2021-00175

NOT TO SCALE

Vicinity Map
DRC2021-00180

NOT TO SCALE

Via FedEx a11d E-mail Delive,y
John Gillison, City Manager
City of Rancho Cucamonga
I 0500 Civic Center Drive
Rancho Cucamonga, CA 91729
Email: john.gillison(c11cityofrc.us
RE: ANNUAL REVIEW
NAPA sec A, LLC
901 Via Piemontc, Suite J 75
Ontario, CA 91764
March 25, 2025
Development Agreement No. DRC 202 1-00175 Regarding the Speedway Commerce Pro·ect Rancho Cucamonga, California by and between Speedway Commerce Center Develo O:ent' LLC, a Delaware limited liability company ("Original Developer") and th Cty f [ h ' Cu�amonga, a California municipal corporation ("City") dated Febru:
1 16
o
202
a
2 nc o
assigned to NAPA SCC A LLC D l . . . . . ry , , as
J
, , a e aware hm1ted hab1hty company ("Developer") on
anuary 24, 2025.

Dear Mr. Gillison:

Pm:suant to Section 13 of the Development Agreement, Developer hereby provides its annual review of the Project:

In the 1 51 quarter of 2024, with Project construction on the shell buildings I 00% complete, all final inspections were initiated for onsite structures and offsite infrastructure improvements.

Finish work and punch list items (outlined in consultation with City staff) were completed to the satisfaction of City inspectors and permits were closed.

In the 2nd quarter, Certificates of Occupancy were issued for both the 13120 and 13160 Napa Street buildings. Lowe's Pro-Supply (a business unit of Fortune-I 00/Global-500 component Lowe's Companies, Inc.) occupied the l 3120 Napa Street building and commenced operations.

The lease for that facility was formally commenced in August, 2024.

During the 3rd quarter of 2024, the US Green Building Council (USGBC) finalized their review of the LEED application. Commissioning of mechanical, electrical, lighting, and plumbing systems was successfully completed during this time and both buildings were certified as LEED Silver.

At the end of the 4th quarter, the rooftop solar installation had been completed by Yalta Energy.

All components of the system have now been installed. The transfom1er was set by Rancho Cucamonga Municipal Utility (RCMU) in February, 2025 and will be wired and connected within the next month. After all inspections and commissioning are completed, the solar system will go live toward the end of April, 2025.

ATTACHMENT 2

January 16, 2025

VIA EMAIL
Sean McPherson
Senior Planner,
Planning Department
City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA
91730
RE: Bridge Point Rancho Cucamonga Project - 2024 Annual Report for Development Agreement
Dear Mr. McPherson,
Consistent with the terms of the Bridge Point Rancho Cucamonga Development Agreement, this letter documents the good faith efforts of Bridge Point Rancho Cucamonga, LLC (“Bridge”) to comply with the Developer Obligations identified in Section 11 for the period of time beginning December 31, 2023 through December 31, 2024.

The following describes the status of Bridge’s compliance with the Development Agreement’s Section 11 obligations:

A. Material Handling Equipment –Complete. Our tenant leases include language that designates the City of Rancho Cucamonga as the point of sale for the Material Handling Equipment on the project.

B. Community Benefit Fee – Payments are current. Payments for 2a and 2b totaling one million dollars ($1 million) were paid to the City of Rancho Cucamonga on August 2, 2023. Payments 3a, 3b, 4a, and 4b are not yet due.

C. Traffic Improvements – Complete. The Traffic Signal Improvements were substantially complete on December 18, 2023.

D. Fair Share Payment for Remaining Improvements – Complete. Fair share contribution of $37,089 paid in February 2022, prior to the deadline of issuance of the first certificate of occupancy.

E. New Public Street – Complete. The construction of Cath erine Bridge Place was completed on December 18, 2023.

F. 6th Street At -Grade Crossing Contribution – Complete. One million dollars ($1,000,000) was paid as an in -lieu fee to the City and contribution toward the 6th Street Crossing.

ATTACHMENT 3

G. Financing District – Complete. Bridge voted in favor of the Community Facilities Districts established by the City.

H. Solar Panels and Purchase Agreement – Complete. The Power Purchase Agreement was fully executed on October 24, 2023. High-speed broadband service began in February, 2024. Valta is actively installing solar panels on building 1 and are scheduled to be complete in Q3 of 2025.

I. RCMU Connection – Complete. RCMU completed their permanent power to the project on November 28, 2023.

J. Other City Fees – Payments are current. All City fees have been paid as required.

K. MMRP Compliance Costs – Bridge will continue to reimburse the City as needed for MMRP compliance costs.

Bridge appreciates the City’s ongoing partnership with the City.

Sincerely,

Tom Fitzpatrick
Senior Vice President

cc Jason Welday, City of Rancho Cucamonga
Christopher Adkins, Bridge Point Rancho Cucamonga, LLC

11100 Santa Monica Boulevard, Suite 700, Los Angeles, California 90025 bridgeindustrial.com

DATE: July 16, 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 C. Perez, Principal Engineer
SUBJECT: Consideration of a Professional Services Agreement with MNS Engineers in the Amount of $330,190, Plus 10% Contingency for Environmental, Design and Construction Support Services for the Heritage Park Bridges Replacement Project - Phase 2, Authorization of an Appropriation in the Amount of $363,210, and Direct Staff to Prepare a Loan Agreement from the Infrastructure Fund to the PD 85 Redemption Fund. (CITY)
RECOMMENDATION:

Staff recommends the City Council:

1. Enter into a Professional Services Agreement with MNS Engineers in the amount of $330,190, for environmental, design and construction support services for the Heritage Park Bridges Replacement Project – Phase 2 (Project);

2. Authorize the expenditure of a 10% contingency for the contract, in the amount of $33,020;

3. Authorize an appropriation of expenditures in the amount of $363,210 from the PD 85 Redemption Fund (848); and

4. Direct Staff to prepare a loan agreement from the Infrastructure Fund (198) to the PD 85 Redemption Fund (848) to cover the cost of this contract and future construction costs as F848 has insufficient funds.

BACKGROUND:

Heritage Park (Park), located in the northwestern portion of the City of Rancho Cucamonga, is a center of recreational activity and is uniquely divided into two (2) sections by the Demens Creek Channel. The Demens Creek Channel is owned and maintained by the San Bernardino County Flood Control District (SBCFD) and is under US Army Corps of Engineers (USACE) jurisdiction.

Large numbers of people of all ages visit the park annually as it has multiple recreational areas, including a playground, baseball fields, soccer fields, and a dedicated equestrian arena and facility, which is connected to the area’s existing equestrian trail network. A Vicinity Map illustrating the location of the Project is included in Attachment 1.

In 2019, a bridge report and structural evaluation was conducted for the five (5) bridges in the

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Park. Four (4) bridges cross Demens Creek Channel and one (1) bridge crosses the Rancho Wash Channel. The evaluation confirmed that all five (5) bridges needed replacement. Phase 1 of the Heritage Park Bridge Replacement Project included demolishing the three (3) bridges in the northeast corner of the park that serve the Equestrian Center and Emergency Staging Area of the Park and replacing them with a single bridge structure. Construction on Phase 1 is currently underway and is expected to be completed early 2026.

Since the evaluation report, minor repairs have been made to the other two (2) bridges in Heritage Park to keep them in operational condition. In May 2025, further damage was sustained to the southern bridge crossing Demens Creek Channel. The City conducted an Emergency Inspection on the two (2) bridges. The report determined that the southern bridge over Demens Creek Channel should be closed immediately due to the damage sustained. The northern bridge over Rancho Wash Channel could remain open however barriers restricting access to the center of the bridge are required due to damage on the extremity of the bridge deck.

ANALYSIS:

MNS Engineers were previously involved in the Phase 1 Project and conducted the Emergency Inspection work for the Phase 2 Project making them uniquely qualified to deliver the scope of services described herein. The scope of work for the Project will include environmental, design and construction support services for the Project. A Bridge Feasibility Technical Memorandum will be developed to explore and summarize different structure types and costs for the replacements of the two (2) bridges. Once the structure types are selected, MNS Engineers will prepare the construction bid package for the Project including, plans, cost estimates, specifications and structural calculations. Construction support is also included in the scope of services. In addition, MNS Engineers will also coordinate and lead a streamlined permitting process with SBCFD and USACE to obtain environmental clearance for the Project. Staff has determined MNS Engineers is able to meet the needs of the City based on their qualifications, experience, scope and fee schedule.

A copy of the Professional Services Agreement is held on file with the City Clerk’s office.

FISCAL IMPACT:

Anticipated costs for Environmental, Design and Construction Support Services are estimated as follows:

Task Amount
Environmental, Design and Construction Support Services $330,190 Contingency 10% $33,020
Total with Contingency $363,210
Funds were not budgeted in the Fiscal Year 2025/26 Budget for this Project as this emergency work was not anticipated. Staff is recommending that funding be appropriated toward the Project from the PD 85 Redemption Fund (848) for Environmental, Design and Construction Support Services as shown below:

Account No. Funding Source Description Amount
F848 CC307 SC7004
PID2218-848
PD 85 Redemption
Fund
Environmental, Design
and Construction
Support Services
$363,210
Total $363,210

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The bridges within Heritage Park support recreational activity and access within the park, which is maintained and funded through the PD 85 Redemption Fund (848). However, the PD 85 Redemption Fund does not have a sufficient fund balance to cover the amount of this contract and the future amount for construction. Therefore, staff will prepare a loan agreement for Council approval in the coming months requesting a loan from the Infrastructure Fund (198) to cover the cost of this Project.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This item addresses the City Council’s core values by ensuring the construction of high-quality public improvements that promote success as a world class community.

ATTACHMENTS:

Attachment 1 – Vicinity Map

ATTACHMENT 1

Heritage Park Bridges Replacement Project – Phase 2

NOT TO SCALE

Project Location
Project Location

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Shelly Munson, Director of Innovation and Technology Lilyan Villarreal, Deputy Director of Innovation and Technology Ruth Cain, Procurement Manager
Tanya Trieu-Bui, Management Analyst I
SUBJECT: Consideration of a Professional Services Agreement with PKI Solutions for Monitoring, Alerting, and On-Demand Support of Digital Identity Verifications and Communications in the Amount of $125,000. (CITY) RECOMMENDATION:

Staff recommends that the City Council approves a one (1) year agreement with PKI Solutions for the monitoring, alerting, and on-demand support of identification and authentication of digital communications in the total amount of $125,000.

BACKGROUND:

The City has implemented a Public Key Infrastructure (PKI) solution to securely identify users through digital certificates. PKI is a system that uses pairs of keys, one for public and one for private, to encrypt and decrypt data, which ensures that only authorized users can access sensitive information. It can be viewed like a digital lock and key system where each user has a unique key that unlocks their specific data.

Utilizing a PKI certificate server is a critical component of securing the City’s modern digital infrastructure. Implementing and maintaining this PKI system requires highly specialized expertise to ensure it remains secure, reliable, and compliant with best practices. The benefits of PKI include enhanced security, improved data integrity, and the ability to authenticate users and devices effectively.

ANALYSIS:

In the cybersecurity field, PKI Solutions is a well-established organization that specializes exclusively in certificate-based identity management. Their focused expertise makes them a strong partner for ensuring the City’s security systems are properly supported and maintained.

The services include proactive system monitoring, technical support, and training for City staff.

These services are essential to ensure the reliability and security of the City’s digital infrastructure, preventing the increased risk of cybersecurity incidents, potential data breaches, and extended service disruptions that could impact public access to City services.

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Staff recommends awarding a single-source agreement to PKI Solutions based on it being a proprietary system and the sensitivity of access. Staff recommends a one (1) year agreement in the total amount of $125,000.

FISCAL IMPACT:

Sufficient funds are available for the current FY 2025-26 budget in General Fund account F001|CC209|SC2106 (Contract Services). No additional budget allocation is required.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

Entering into this agreement supports Council’s core value of intentionally embracing and anticipating our future.

ATTACHMENTS:

Attachment 1 – PKI Solutions Quote
Attachment 2 – PKI Single Source Justification Form and Memo

PKI Solutions LLC
5331 S Macadam Ave, #330
Portland, OR 97239
+19712315523
[email protected]
www.pkisolutions.com

INVOICE

BILL TO
City of Rancho Cucamonga
10500 Civic Center Dr,
Rancho Cucamonga CA 91730

SHIP TO
City of Rancho Cucamonga
10500 Civic Center Dr
Rancho Cucamonga, CA 91730
INVOICE 11528
DATE 05/31/2025
TERMS Net 30
DUE DATE 06/30/2025

SALES REP
Brad Beutlich

SKU ITEM QTY RATE AMOUNT
PKISL-E-001 PKI Spotlight - Enterprise Edition
PKI Monitoring and Alerting subscription. Includes:
1 Public Key Infrastructure
5 Monitoring Agents
Free Software Support & Updates
1 year: 7/1/25 to 6/30/26
1 65,000.00 65,000.00
PKISL-CoM-
001
PKI Spotlight - Co-Management
PKI CoManagement. Includes:

PKI Solutions expert monitoring, response, remediation, and support on-demand on an unlimited basis.

Price for 1 year: 7/1/25 to 6/30/26
1 60,000.00 60,000.00
07/01/2025 to 06/30/2026
Payment accepted using Check, Credit Card, or Wire Transfer.

Wire Details
Beneficiary Bank: Northwest Bank
1750 W Front St, Suite 150
Boise, Idaho 83702
SWIFT: 123206956
ABA: 123206956
Beneficiary Name: PKI Solutions LLC
Beneficiary Account: 100086350

BALANCE DUE
USD 125,000.00
Pay invoice
ATTACHMENT 1

ATTACHMENT 2

DATE: July 1, 2025
TO: Ruth Cain, Procurement Manager
FROM: Shelly Munson, Director of Innovation and Technology BY: Isaiah Aguilera, Chief Information Security Officer SUBJECT: Sole Source Justification for PKI Solutions

The Department of Innovation and Technology (DolT) is tasked with securing our infrastructure and network. This includes the implementation and maintenance of Public Key Infrastructure (PKI) technology, which is critical for ensuring secure communications and data integrity. Our organization has made a significant investment in PKI Solutions' PKI Spotlight software, which is integral to our current infrastructure’s maintenance and operation. The software has been optimized to meet our specific needs, and PKI Solutions has demonstrated unique expertise in this highly specialized field.

PKI Solutions is contracted to help our staff manage our entire PKI infrastructure and assist with any PKI- related issues or projects. Their unique expertise in PKI management and compliance is invaluable.

Engaging PKI Solutions ensures continuity in the management of our PKI systems, minimizing the risk of disruptions. Their familiarity with our infrastructure allows for efficient and effective maintenance and support. PKI Solutions possess a unique combination of proprietary software and PKI expertise.

Introducing support from an alternative provider would require costly migration to another PKI Management software and extensive retraining of our staff to adapt to a new system. The specialized nature of PKI management further limits the availability of competent partners. Given the critical nature of PKI management and the sensitivity of access required, DoIT is proposing to use PKI Solutions as a sole source vendor to provide PKI management and maintenance services.

MEMORANDUM

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Jennifer Nakamura, CNU-A, Planning Director Aracely Estrada, Management Analyst I
SUBJECT: Consideration to Approve Professional Services Agreements with Six Consultants for On-Call Urban Design Services for Three Years with Option to Renew in One-Year Increments for a Total of Five Years. (CITY)
RECOMMENDATION:

Staff recommends the City Council approve and execute master agreements with six (6) selected consultant firms to conduct “on-call” urban design services for three (3) years with option to renew in one-year increments for a total of 5 years.

BACKGROUND:

From time to time, there is a need to seek an urban design professional to assist staff in reviewing new development being proposed. These consultants provide guidance to staff on potential enhancements to projects that may better fit the vision of the City. Urban design professionals have also been contacted to provide opportunities for training and staff development, and to provide conceptual drawings showing how certain developments may fit into a particular location.

To reduce contract redundancies and streamline the procurement process, a Statement of Qualifications (SOQ) was prepared to create an “on-call” consultant list for urban design services.

The approved and executed master agreements can be utilized by any City department.

ANALYSIS:

The current on-call Urban Design Services list includes four approved consultants. Their contracts are set to expire in August 2025. Rather than extending the contracts for an additional year as allowed by the terms of the contract, the Planning Department opted to allow the contracts to sunset and began the process of obtaining a new on-call list. Obtaining a new and expanded list will offer the City a wider variety of options when a design professional is needed.

The Planning Department provided a detailed scope of services to the Procurement Division for the purposes of creating a qualified vendor list for “on-call” urban design services. A formal request for Statement of Qualifications (SOQ) #24/25-502 was posted and advertised in the City’s electronic bidding system. There were 1,838 notified consultants, 94 prospective consultants, and nine responses received. An evaluation panel was formed, and the proposal responses were evaluated and rated in accordance with the criteria identified in the SOQ. There were seven consultants initially selected as part of this process, however, during contract negotiations, City staff could not come to terms with the contract agreement for one of the consultants, and as a

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result, they were not included in the final selection. The six consultants selected were: GHD Inc., Kritzinger & Rao Design Inc., Perkins Eastman Architects DPC, Placeworks, RDC-S111 Inc. (dba Studio One Eleven), and Sargent Town Planning Inc.

Once the “on-call” contracts are executed, the consultants will be utilized for projects based on need and availability. The consultants work under each individual contract will have to be authorized by the City and is subject to funding availability. Consultants selected are not guaranteed work but are available if/as needed for work up to the contract amount over the course of the contract term.

FISCAL IMPACT:

Urban design services for private development projects are expected to be funded by the project applicant through a reimbursable account. For public projects, funding for urban design services would be appropriated as part of an approved project budget.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

The execution of these contracts supports the Council’s mission to continuously ensure and advance the quality of life for the community through inclusive decision-making.

ATTACHMENTS:

None.

DATE:July 16, 2025
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Julie A. Sowles, Deputy City Manager-Community Programs Jennifer Gracia, Director, Community Services
Nathan Hunt, Deputy Director, Community Services
Crystal Zuniga, Superintendent, Community Services
Celeste Medrano, Supervisor, Community Services
Jonathan Hilton, Management Analyst I, Community Services SUBJECT: Consideration to Approve the Heritage Park Equestrian Center Lease and Operators Agreement Between the City of Rancho Cucamonga and the Alta Loma Riding Club for the Continued Operation and Programming of the Equestrian Facility Located at 5546 Beryl Street. (CITY) RECOMMENDATION:

Staff recommends the City Council:
Approve the Heritage Park Equestrian Center Lease and Operators Agreement between the City of Rancho Cucamonga and the Alta Loma Riding Club to support equestrian operations and community programming at the facility located at 5546 Beryl Street. Authorize the City Manager, or designee, to execute the Agreement and any related ancillary documents.

BACKGROUND:

To preserve continued public use and support for equestrian services at the Heritage Park Equestrian Center, the City of Rancho Cucamonga has entered into an agreement with the Alta Loma Riding Club, a local nonprofit organization, for the community-based operation of the facility since October 2014.

The most recent lease agreement, inclusive of all amendments, expired this previous fiscal year and City staff have negotiated a new Lease and Operators Agreement with the Alta Loma Riding Club. This new agreement reflects updated operational expectations, contractual terms, and covenants between the City and the Alta Loma Riding Club.

ANALYSIS:

The Heritage Park Lease and Operators Agreement outlines the continued operation of the Heritage Park Equestrian Center by the Alta Loma Riding Club, with the following key terms:
Lease Term and Use: One-year initial term with automatic one-year renewals for up to five years. The Tenant is authorized to conduct equestrian activities, fundraising, and

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approved community events.
Operations and Maintenance: The Tenant will manage daily operations, scheduling, janitorial services, and routine maintenance. The City will retain responsibility for core infrastructure, including utilities and parking areas.
Financial Terms: Rent is set at one dollar ($1.00) per year. The City will continue to cover utilities and may impose a utility surcharge if necessary. The Tenant will assume all other operational costs.
Oversight and Reporting: The Tenant will submit biannual reports and calendars and engage in coordination of meetings with City staff to ensure compliance and alignment with community programming goals.

This agreement reflects the City’s commitment to preserving equestrian use at Heritage Park while advancing efficient, community-based facility stewardship and programming.

FISCAL IMPACT:

There is no direct fiscal impact associated with the adoption of the Lease and Operators Agreement beyond existing budgeted operational costs for utilities and oversight. The City will continue to cover the cost of water, electricity, and refuse service, with the ability to implement a utility surcharge if necessary. The Alta Loma Riding Club will assume cost responsibility for facility-level maintenance, operations, and certain event-specific expenses.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

This action supports the City Council’s Core Values of providing and nurturing an excellent quality of life for all, intentionally embracing and anticipating our future, and creating an equitable opportunity to prosper.

ATTACHMENTS:

Attachment 1 – CO # 2025-057 - Heritage Park Equestrian Center Lease and Operators Agreement

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 1 H

ERITAGE PARK EQUESTRIAN CENTER LEASE AND OPERATORS

AGREEMENT
THIS HERITAGE PARK EQUESTRIAN CENTER LEASE (this “ Lease”) is dated as of , 2025 (the “Effective Date”) and is entered into by and between the CITY OF RANCHO CUCAMONGA, a California municipal corporation (“ Landlord” or “ City”), and the ALTA LOMA RIDING CLUB, a California 501 c4 nonprofit public benefit corporation (“Tenant”).

RECITALS:

A. Landlord is the owner of the real property commonly known as 5546 Beryl Street, in the C
ity of Rancho Cucamonga, County of San Bernardino, State of California, more particularly described on Exhibit A attached hereto and depicted on Exhibit B attached hereto (the “Land”), together with the improvements located thereon commonly known as Heritage Park (the “Property”).

B. City constructed the Arena, adjacent building and parking lot (collectively, the “Premises”) for the purpose of providing park and open space for equine use, for the benefit of present and future residents of the City of Rancho Cucamonga.

C. Tenant shares the City's goal of preserving the Property for the present and future citizens of
Rancho Cucamonga.

AGREEMENT:

NOW, THEREFORE, in consideration of the mutual covenants contained herein, Landlord and Tenant agree as follows:

1. AGREEMENT OF LEASE; USE OF PREMISES.

1.1 Upon the “Commencement Date” (as defined below), the former Agreement between Landlord and Tenant executed on 14 October, 2014, to include all subsequent amendments therein, is terminated and Landlord leases the Premises to Tenant and Tenant rents the Premises f
rom Landlord on the terms in this Lease.

1.2 Tenant shall comply with all applicable laws in connection with its use of the Premises.

1.3 Tenant may use the Premises for purposes incidental to equestrian use such as fu nd r
aising, charity and special events (e.g., competitions, shows and other private functions or commercial enterprises); however, Tenant must first provide facility event schedule to Landlord bi
annually (in January and July) and such events shall be included. Tenant may propose an unscheduled event, on condition that Tenant provide Landlord fourteen (14) days advance, notice of such function or enterprise, describing the event in terms of size, purpose, and general conditions. Notice should be filed by email to [email protected]. If Landlord has any objection
or concern, it shall so notify Tenant at least seven (7) days before the event. Tenant shall then modify the event or enterprise to fully alleviate the Landlord’s objections and concerns or the event will not occur.

1.4. Tenant will schedule and determine user fees of all reservations.

ATTACHMENT 1

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 2 1.5. It is the Tenant’s responsibility to coordinate with all Heritage Park user groups utilizing the shared parking lot to the Landlord’s satisfaction. This includes allowance of parking lot use for City sponsored functions and user groups such as youth sports organizations. Landlord retains the authority to approve the parking lot use by all user groups coordinated by Tenant, to include scheduled access to the shared parking lot. Tenant is responsible for complying with the terms of use dictated by the Landlord.

1.6. Landlord retains the right to determine the signage utilized by Tenant located on the Premises, to include the addition or removal of signage with regard to location, quantity, and content. Tenant will be responsible for posting signage indicating current contact information regarding the operation, maintenance, and events held in the equestrian area with approval from Landlord.

1.7. Tenant will have no naming rights. If an offer is put forward by an Alta Loma Riding Club partner, it can be brought to the City for discussion. The City Council shall have sole and absolute discretion to approve any proposed name change to the Premises.

1.8. Tenant may establish a marketing program that can assist in advertising and outreach to equestrian publications and user groups about the facility and the rental potential.

1.9 Oversight and Monitoring Responsibilities. Tenant shall be solely responsible for the daily oversight and monitoring of all activities and conditions on the Premises relating to general health and safety. Tenant shall implement appropriate measures to identify, address, and mitigate risks or hazards that may arise during the course of operations.

1.9.1 Incident Reporting Requirements. Tenant shall maintain and follow a standardized incident reporting protocol for all health and safety-related events, including but not limited to accidents, injuries, near-misses, hazardous conditions, and any violation of applicable health and safety laws, ordinances, or regulations.

1.9.2 C ritical Incident Notification. Tenant shall immediately notify the City in writing of any critical incident, defined as any occurrence involving serious injury, property damage, or a significant threat to public safety, within twenty- four (24) hours of discovery.

1.10. Tenant will be responsible for establishing and enforcing operational rules for the Premises, subject to the City’s approval in its sole and absolute discretion.

1.11. Tenant has thoroughly inspected the condition of the Premises and accepts them in their present condition, without representation or warranty, express or implied.

2. TERM AND COMMENCEMENT DATE.

2.1 The term of this Lease shall commence on , 2025
(the “Commencement Date”), and shall expire on , 2026; provided, however, that said initial one year term shall be extended in one (1) year increments (each an “Extended Term”) unless either Landlord or Tenant has given notice to the other, not less than sixty (60) days prior to the expiration of the then- current term ( i.e., the initial one year term or any subsequent Extension Term) that such party has decided to terminate the Lease upon the expiration of the

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 3 then-current term, in which case this Lease shall terminate upon the expiration of the then-current term.

Notwithstanding the foregoing, in no event shall the term of this Lease, as so extended, exceed five (5) years.

3. RENT.

3.1 The base rent for the Premises shall be One Dollar ($1.00) per annum (the “Base Rent”), which Tenant shall pay in full, in advance, without notice, demand, deduction, or offset, on or before the Commencement Date and, if applicable, on or before the commencement of each Extended Term.

3.1.1 In addition to the Base Rent, Tenant shall be responsible for the payment of any and all additional costs and expenses as may be set forth in this Lease, including but not limited to the cost of any construction, alteration, repair, or improvement work undertaken by Tenant on the Premises.

3.1.2 Tenant acknowledges that, pursuant to California Labor Code Sections 1720 et seq., certain projects are subject to prevailing wage requirements when performed on property owned or leased by a public agency. Accordingly, Tenant shall ensure that, for any work undertaken on the Premises that is required by law to assess prevailing wages, prevailing wages shall be paid as required by law. Tenant shall be solely responsible for determining the applicability of prevailing wage laws to any such work and for full compliance therewith, including but not limited to the payment of applicable prevailing wage rates, the maintenance and submission of certified payroll records, and the registration of contractors and subcontractors with the California Department of Industrial Relations.

3.1.3 Tenant shall indemnify, defend, and hold harmless the City of Rancho Cucamonga, its officers, officials, employees, and agents, from and against any and all claims, demands, liabilities, costs, penalties, or expenses (including attorneys’ fees) arising out of or related to Tenant’s failure to comply with applicable prevailing wage laws.

4. SERVICES AND UTILITIES.

4.1 Landlord will continue to pay the domestic water, electricity, and natural gas bills but reserves the right to establish a utilities surcharge provided notice is issued to Tenant at least ninety (90) days in advance in writing. A utilities surcharge can be for Tenant activities and/or outside rentals secured by the Tenant. The Tenant will be responsible to pay, charge, and/or collect established utility surcharge on the Landlord’s behalf for activities and/or rentals. Landlord will continue to pay for the existing phone line for purposes of keeping the alarm system on. Tenant is responsible for any additional phone lines installed.

4.2 Landlord shall be responsible for failures in these systems as a result of ordinary wear and tear and which are not due to damage by Tenant or its guests, contractors or agents, or failure by

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 4 Tenant to properly maintain the Premises (including such systems).

Unless caused by the gross negligence or intentional misconduct of Landlord, Landlord shall not be liable or responsible for any loss, damage or expense sustained or incurred by Tenants as a result of any change, failure, interference, disruption or defect in the supply or character of any utility or service furnished to the Premises.

5. TENANT’S RESPONSIBILITIES FOR MAINTENANCE AND OPERATIONS.

5.1 Tenant shall be responsible, except where noted in this Lease, for all operations and maintenance of the Premises’ including but not limited to:

5.1.1 All volunteers working for the Alta Loma Riding Club that oversee operations, maintenance, and facility management, which will be inclusive of volunteers that utilize City equipment and/or have access to unlocking and locking of the facility, will be required to go through the City volunteer process of Volgistics.

5.1.2 Securing maintenance volunteers that must be trained by City staff in order to operate City equipment.

5.1.3 Designating a volunteer maintenance lead person that will be trained by the City. Tenant must maintain at least one trained volunteer maintenance lead person during the entire term of Lease. The Tenant’s designated volunteer maintenance lead person must be on site to supervise all maintenance work and meet with Landlord’s Public Works staff as needed to meet Landlord’s satisfaction.

5.1.4 Arena and Round Pens harrowing/dragging on as needed basis for equestrian events.

5.1.5 Mowing and trimming of grass adjacent to the Equestrian building.

Tenant may physically change these areas deemed necessary for cost savings or other operational reasons with prior City approval at Tenant’s sole cost.

5.1.6 General building maintenance, including graffiti removal, and janitorial services including restrooms. City acknowledges that Tenant may limit hours and days restrooms will be available and the restroom availability must be posted on signage to notify public.

5.1.7 Provide manure waste stations and signage encouraging trailer users to pick up and dispose of waste as required by environmental policies and City ordinances.

5.1.8 Provide for weekly manure cleanup in parking and equestrian center areas.

5.1.9 Chalking/painting of parking lot for equestrian events.

5.1.10 Monitoring of parking lot during equestrian special events.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 5 5.1.11 The Premises shall be maintained at the level received at the time of the commencement of the term of this Lease.

5.1.12 Emptying trash receptacles adjacent to the facility weekly.

5.1.13 Maintaining the PA system.

5.1.14 Tenant must obtain necessary permits and/or approvals as needed.

5.1.15 A non-monitored video surveillance system may be installed; however, tenant is responsible for all required signage for the video surveillance and all cost and expenses incurred. Tenant shall use best practices for all operations and will consult with the Public Works Department as needed.

6. LANDLORD’S MAINTENANCE RESPONSIBITIES.

6.1 Landlord shall be responsible for the maintenance of the parking lot, including trees, at a level of maintenance to be determined by Landlord and for the following:

6.1.1 Back bone infrastructure for all items within the Premises, excluding items within the adjacent building, but including water for the arena, landscape irrigation and domestic, sewer, drainage, and phone with security line.

6.1.2 City retains responsibility for Arena Light Standards. City will determine the appropriate level of maintenance and does not guarantee any maintenance or repair of light standards. City also reserves the right to establish a fee schedule for any light usage and to implement improvements to the pay for use machines for the lighting.

6.1.3 Continue weekly contracted trash disposal of trash dumpsters in the parking lot.

6.1.4 In any event of emergency maintenance and/or repairs that Landlord deems necessary to make the Premises and adjacent areas safe that may impact the Premises and access herein, Landlord reserves the right to close Premises, surrounding parking lots, and all adjacent areas to perform such emergency maintenance and/or repairs without being subject to a claim of breach of this Agreement. Landlord will timely notify Tenant of any closures and access limitations as they are known.

7. ALTERATIONS AND PERSONAL PROPERTY.

7.1 Tenant shall not make any additions, improvements, or alterations to the premises without the prior written consent of Landlord in its sole and absolute discretion. Any such additions, improvements, or alterations to the Premises shall be made at the sole cost and expense of Tenant and in accordance with all applicable laws, ordinances, and regulations, including laws related to accessibility for persons with disabilities.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 6 7.2 Any mechanic’s lien or related instrument filed against the Premises for work done or materials or equipment furnished to or contracted for by Tenant shall be discharged or bonded by Tenant, at Tenant’s sole cost and expense, within fifteen (15) days after the date it is filed.

Landlord shall have the right to post notices of non-responsibility on the Building.

7.3 All articles of personal property and all business and trade fixtures, private telephone systems and lines, furniture and movable partitions owned, leased or installed in the Premises by Tenant at its sole cost and expense, shall be and remain the property of Tenant and may be removed from the Premises by Tenant at any time, provided Tenant repairs any damage caused by that removal. Upon the expiration or early termination of this Lease, Tenant shall remove all of its personal property from the Premises and shall repair any damage caused by the removal. This section 7.3 shall survive expiration or earlier termination of this Lease. If Tenant fails to remove its personal property, then Landlord may do so and may retain or dispose of such property in any manner, without obligation or liability to Tenant. Tenant waives all statutes and laws to the contrary.

8. DAMAGE TO TENANT’S PROPERTY.

8.1 Neither Landlord nor its officers, agents, or employees shall be liable to Tenant for any loss of, or damage to, the personal property of Tenant located at the Premises resulting from fire, explosion, steam, gas, electricity, water or moisture in or from any part of the Premises, including its roof, walls, ceilings and floors, or from the pipes, appliances or mechanical and electrical systems in the Premises, or from any other place or from any other cause, whether or not similar to the foregoing.

8.2 Tenant shall provide prompt verbal notice to Landlord, to be followed by written notice, in the event of any material damage to the Premises or the personal property of Tenant located at the Premises resulting from any fire, accident, casualty or condition in, on or about the Premises.

9. COMPLIANCE WITH LAWS AND INSURANCE POLICIES.

9.1 In connection with its occupancy and use of the Premises, Tenant shall, at its sole cost and expense, promptly comply with all applicable present and future federal, state and local laws, ordinances and regulations and with all orders and rules of governmental authorities having jurisdiction, and cooperate with any law, ordinance or regulation that requires alterations by Landlord or Tenant to the Premises. Tenant shall refrain from restricting the use of the Premises on the basis of sex, age, handicap, marital status, race, color, religion, creed, ancestry or national origin of any person. All contracts entered into by Tenant in connection therewith shall contain or be subject to substantially the following nondiscrimination or non-segregation clauses:
"There shall be no discrimination against or segregation of any person or group of persons on account of sex, marital status, race, age, handicap, color, religion, creed, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee himself or any person claiming under or through him, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy, of tenants, lessees, subtenants, sub- lessees or vendees of the land."
Tenant shall not do, omit to do or permit to be done any act or thing in, on or about the Premises that will invalidate, or be in conflict with, any requirement, covenant or condition of any casualty insurance policy covering the Premises or the personal property therein, or that will subject

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 7 Landlord to any uninsured liability to any person for personal injury, death or property damage.

10. INDEMNITY.

10.1 Tenant shall indemnify, defend, and hold harmless Landlord, its officers, agents, employees, and volunteers from and against any and all loss, cost, damage, expense, claim, suit, demand, or liability of any kind or character, including, but not limited to, reasonable attorneys’ fees, arising out of or related to any negligent or wrongful act or omission of Tenant, its officers, agents, employees, or contractors, which occurs in connection with or as a result of the performance of this Agreement. Such indemnification shall apply only in proportion to and to the extent that such loss, cost, damage, expense, claim, suit, demand, or liability is caused by or results from the negligent or wrongful act or omission of Tenant, its officers, agents, employees, or contractors.

10.2 Nonwaiver of Rights. Indemnities do not, and shall not, waive any rights that they may possess against Tenant because of the acceptance by City, or the deposit with City, of any insurance policy or certificate required pursuant to this Lease.

10.3 Wai
ver of Right of Subrogation. Tenant, on behalf of itself and all parties claiming under or through it, hereby waives all rights of subrogation against the Indemnities, 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 Tenant.

10.4 S urvival. The provisions of this Section 10 shall survive the termination of the Lease and are in addition to any other rights or remedies which Indemnities may have under the law.

Payment is not required as a condition precedent to an Indemnities’ right to recover under this indemnity provision, and an entry of judgment against Tenant shall be conclusive in favor of the Indemnities’ right to recover under this indemnity provision.

11. INSURANCE

11.1 Liability Insurance for Special Events. Tenant shall procure and maintain in full force and effect for each Special Event and any on-going programs or uses held during the duration of this lease, 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 Tenant, and/or its agents, representatives,
employees or subcontractors. In addition, program participants must sign a City approved Release, Hold Harmless and Agreement Not to Sue waiver.

11.2 Minimum Scope of Insurance . Unless otherwise approved by City coverage shall be at least as broad as:

11.2.1 Insurance Services Office Commercial General Liability Coverage (occurrence form CG 0001).

11.2.2 Insurance Services Office form number CA 0001 (Ed. 1/87) Covering Automobile Liability, code 1 (any auto) if applicable.

11.2.3 Worker’s Compensation insurance as required by the State of California, and Employer’s Liability Insurance. OR a letter signed under penalty of perjury, stating that the Tenant has no employees.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 8 11.2.4 Property Insurance

11.3 Minimum Limits of Insurance as it relates to section 11.1 Liability Insurance.

11.3.1 Commercial General Liability: $1,000,000 minimum per occurrence for bodily injury, personal injury and property damage. Prior to Commercial General Liability Insurance or other form with a general aggregate limit shall apply separately to this Lease or the general limit is twice the required occurrence limit amount. The City reserves the right of changing the coverage limits dependent on the scope of activity.

11.3.2 Automobile Liability: $1,000,000 per accident for bodily injury and property damage.

11.3.3 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.

11.3.4 Property Liability: At Tenants sole cost and expense, maintain property insurance covering all personal property, equipment, inventory, and tenant improvements within the leased premises, against risks of loss, including but not limited to , fire, theft, vandalism and other perils usually covered under an “all -risk” policy. Coverage shall be maintained in an amount sufficient to replace all such property in the event of a total loss.

11.3.5 The Insurance obligations under this lease shall be the greater of (i) the Insurance coverage’s and limits carried by the Tenant; or (ii) The minimum Insurance coverage’s and limits shown in this Lease. Any insurance proceeds in excess of the specified limits and coverage required which are applicable to a given loss, shall be available to the City. No representation is made that the minimum Insurance requirements of this Lease are sufficient to cover the obligations of the Tenant under this lease.

11.4 Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City and shall not reduce the limits of coverage. City reserves the right to obtain a full certified copy of any required insurance policy and endorsements.

11.5 Other Insurance Provisions.

11.5.1 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 officials, as additional insured’s as respects: liability arising out of activities performed by or on behalf of Tenant; products and completed operations of Tenant; premises owned, occupied or used by Tenant; and/or automobiles owned, leased, hired or borrowed by

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 9 Tenant. 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 officials which are not also limitations applicable to the named insured.

For any claims related to this Lease, Tenant’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 officials. Any insurance or self - insurance maintained by City, its officers, officials, employees, designated volunteers or agents serving as independent contractors in the role of City officials shall be in excess of Tenant’s insurance and shall not contribute with it.

11.5.2 Tenant’s insurance shall apply separately to each insured against whom a claim is made or suit is brought, except with respect to the limits of the insurer’s liability.

11.5.3 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). Tenant 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.

11.5.4 Each insurance policy required by this clause shall expressly waive the insurer’s right of subrogation against City, its elected officials, officers, employees, servants, attorneys, designated volunteers, and agents serving as independent contractors in the role of City officials.

11.5.5 Each policy shall 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 to the most recent A.M. Best Co. Rating Guide. The City will consider non- admitted carriers on a case by case basis at the request of the Tenant.

11.5.6 Each policy shall 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.

11.5.7 Each policy shall 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.

11.5.8 Tenant shall provide any and all other insurance, endorsements, or exclusions as required by the City in any request for proposals applicable to this Lease.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 10 11.6 Evidence of coverage. Prior to commencing operations under this Lease, the Tenant shall furnish the City with certificates and original endorsements, or copies of each required policy, effecting and evidencing the insurance coverage required for activities under section 11.1 Liability Insurance for Special Events including (1) Additional Insured Endorsement(s), (2) Worker’s Compensation waiver of subrogation endorsement, and (3) General liability declarations or endorsement page listing all policy endorsements. 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 Tenant commences performance. If performance of this Lease shall extend beyond one year, Tenant shall provide 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.

Tenant agrees to include in all contracts with all subcontractors performing work pursuant to this Lease, the same requirements and provisions of this Lease including the indemnity and insurance requirements to the extent they apply to the scope of any such subcontractor’s work. Tenant shall require its subcontractors to be bound to Tenant and City in the same manner and to the same extent as Tenant is bound to City pursuant to this Lease, and to require each of its subcontractors to include these same provisions in its contract with any sub-subcontractor.

12. ADDITIONAL COVENANTS OF TENANT.

12.1 Tenant shall maintain a reasonable method of accounting, open to inspection by Landlord, which shall, to the reasonable satisfaction of Landlord, correctly and accurately reflect the gross receipts and disbursements of Tenant in connection with the Premises. Tenant will be required to provide Landlord with a complete report of activities and rentals. Tenant and Landlord will meet two (2) times per year to review activities calendar and financial reports, preferably in the months of January and June.

12.2 Tenant shall permit an annual physical inspection of the Premises by Landlord that shall, to the reasonable satisfaction of Landlord, allow for Landlord inspection team to correctly and accurately report on the condition of the Premises. Landlord inspection team may consist of representatives of the Planning Department, Public Works Services and/or Building and Safety Department. Following inspection, Landlord will document the condition of the Premises, provide notice to Tenant of any issues requiring repair and/or maintenance, and establish a time period for Tenant to complete any repair and/or maintenance. Failure to complete repair and/or maintenance in a timely manner will be deemed to be failure to maintain, for which the Landlord may terminate this Lease. Landlord shall conduct the annual physical inspection within thirty (30) days of the initiation of the initial term and any subsequent Extended Term as identified in Section 2.

12.3 T
enant shall provide Landlord with a copy of any annual budget adopted by its Board of Directors.

12.4 Tenant shall provide Landlord with a copy of any written description of annual activities and accomplishments of the Tenant during the preceding year as approved by Tenant's Board of Directors. The annual report may include the following: (a) a description of events held at the Premises,
(b) a description of fund raising opportunities, (c) information on member contributions to the Premises, and (d) information on corporate sponsorships, outreach goals, and membership drives.

12.5 Landlord and its employees, agents and representatives shall have the right to enter upon the Premises after reasonable notice to Tenant.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 11 12.6 Tenant shall not assign, transfer, hypothecate or encumber this Lease, or sublet the Premises, or suffer or permit the Premises to be occupied or used by any other person or entity without the prior written consent of Landlord, which consent may be withheld or granted in Landlord’s sole and absolute discretion.

13. DEFAULT AND REMEDIES.

13.1 The occurrence of any one of the following shall constitute a default by Tenant under this Lease:

13.1.1 Tenant shall fail to pay Rent within five (5) business days after Tenant receives notice thereof from Landlord (provided, however, that the notice requirement contained in this Section 13.1.1 is not in addition to any legal requirement that notice be given and may be satisfied by sending the notice required by any applicable law or statute including California Code of Civil Procedure Section 1161); or

13.1.2 Tenant shall fail to perform or comply with any of the other covenants or conditions of this Lease, and such failure is not cured within thirty (30) days after Tenant receives notice thereof from Landlord; provided, however, that if the failure to perform or comply cannot reasonably be cured within thirty (30) days, Tenant shall not be in default if Tenant commences to cure the failure to perform or comply within the thirty (30) day period and diligently and in good faith continues to cure the same thereafter.

13.2 If Tenant commits an Event of Default, Landlord shall in addition to any and all other rights and remedies which Landlord may have under this Lease or by law or in equity, the remedies under California Civil Code Section 1951.2 (i.e., terminate this Lease and sue for damages) or the remedy under California Civil Code Section 1951.4 (i.e., keep this Lease in effect and sue for rent as it comes due). Any financial recovery by the City will be against the Alta Loma Riding Club, a public benefit, non- profit, California Corporation and shall not extend to any of its Officers, Directors or Members individually.

13.3 Except as expressly provided herein, the various rights, options, elections, powers and remedies of Landlord contained in this Section 13 shall not be deemed to be exclusive; they are cumulative and in addition to any other remedies, rights or priorities contained elsewhere in this Lease or now or later allowed by law or in equity.

14. NO WAIVER.

14.1 The failure of Landlord or Tenant to seek redress for violation of, or to insist upon the strict performance of, any covenant or condition of this Lease shall not be deemed a waiver by Landlord or Tenant of its right to such redress for a prior, concurrent or subsequent violation of the same or to subsequently insist upon strict performance of any other covenant or condition of this Lease. The receipt and acceptance by Landlord of rent with knowledge of any preceding breach by Tenant of any covenant, term or condition of this Lease shall not be deemed a waiver of such breach. No provision of this Lease and no default by Landlord or Tenant hereunder shall be deemed to have been waived by the other party unless such waiver is in writing and signed by the waiving party.

14.2 No payment by Tenant or receipt and acceptance by Landlord of a lesser amount than the

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 12 rent herein stipulated shall be deemed to be other than on account of the rent, nor shall any endorsement or statement on any check or any letter accompanying any check or payment of the rent be deemed an accord and satisfaction, and Landlord may accept such check or payment without prejudice to Landlord’s right to recover the balance of such rent or pursue any other right or remedy provided herein or at law or in equity.

15. SUBORDINATION.

15.1 This Lease is and shall be subordinate to any encumbrance now of record or recorded after the date of this Lease affecting Landlord and the Premises. Such subordination is effective without any further act of Tenant. Tenant shall, from time to time upon request from Landlord, execute and deliver any documents or instruments that may be required by a lender to effectuate any such subordination. If Tenant fails to execute and deliver any such documents or instruments, Tenant irrevocably constitutes and appoints Landlord as Tenant’s special attorney in-fact to execute and deliver any such documents or instruments on its behalf.

16. Each party, within ten (10) days after notice from the other party, shall execute and deliver to the other party, in recordable form, a certificate stating that this Lease is unmodified and in full force and effect, or in full force and effect as modified, and stating the modifications. The certificate also shall state the amount of Rent, the dates to which the Rent has been paid in advance, and the amount of any security deposit or prepaid Rent.

Failure to deliver the certificate within the ten (10) days shall be conclusive upon the party failing to deliver the certificate for the benefit of the party requesting the certificate and any successor to the party requesting the certificate, that this Lease is in full force and effect and has not been modified except as may be represented by the party requesting the certificate. DAMAGE AND DESTRUCTION.

16.1 Tenant agrees to promptly notify Landlord of any damage to the Premises resulting from fire, earthquake or any other event beyond the control of Tenant (a “Casualty”). If a Casualty unreasonably disrupts Tenant’s access to the Premises, or Casualty results affects the structural elements of the Premises making the Premises unsafe to occupy and use, or a material Casualty occurs in the last ninety
(90) days of this Lease, then either Landlord or Tenant may terminate this Lease by notice to the other. The Landlord will not be obligated in any manner whatsoever to repair any damage to the Premises caused by a Casualty.

16.2 The provisions of this Section 16 constitute an express agreement between Landlord and Tenant that applies in the event of any Casualty. Tenant and Landlord, therefore, fully waive the provisions of any statute or regulation, including California Civil Code Sections 1932(2) and 1933(4), for any rights or obligations concerning a Casualty.

17. EMINENT DOMAIN.

17.1 If the whole of the Premises shall be taken by eminent domain or disposed of under threat of an impending taking by eminent domain, by, or to, any public authority, this Lease shall cease and terminate one (1) day prior to the date legal title to the Premises shall vest in such authority.

17.2 If only a portion of the Premises is so taken or disposed of, Landlord or Tenant may, at its option, terminate this Lease by giving notice thereof to the other. Landlord and Tenant each hereby waive the provisions of California Code of Civil Procedure Section 1265.130, which

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 13 allows either party to a lease to petition the Superior Court to terminate the Lease in the event of a partial taking of the Premises.

17.3 In any of the foregoing cases, Landlord shall be entitled to all compensation and awards arising out of or in connection with such taking or disposition, including any portion thereof attributable to the value of the leasehold estate, except that nothing herein contained shall be deemed to prevent Tenant from recovering from the taking or acquiring authority compensation for the taking of any personal property or fixtures belonging to it or for interruption or damage to its business or for moving or other expenses, to the extent any of the same are compensable by law.

18. NOTICES.

18.1 Any notice, request, direction, instruction, demand, consent, authorization, waiver, approval or other communication required or permitted to be given hereunder shall not be effective unless it is given in writing and shall be delivered (a) by certified mail, postage prepaid, return receipt requested, or (c) by email, and addressed to the parties at the addresses stated below, or at such other address as either party may hereafter notify the other in writing as aforementioned:

Landlord: City of Rancho Cucamonga
10500 Civic Center Drive Post Office Box 807
Rancho Cucamonga, California 91730
Attention: John Gillison, City Manager

Tenant: Heather McGee Decauwer, President Alta Loma Riding Club P.O. Box 8116
Alta Loma, CA 91701

Service of any such notice or other communications so made shall be deemed effective on the day of actual delivery (whether accepted or refused), as shown by the addressee’s return receipt if by certified mail, and as confirmed by the courier service if by courier; provided, however, that if such actual delivery occurs after 5:00 p.m. (local time where received) or on a non- business day, then such notice or demand so made shall be deemed effective on the first business day immediately following the day of actual delivery. No communications via electronic mail or facsimile shall be effective to give any notice, request, direction, demand, consent, waiver, approval or other communications hereunder.

18.2 Tenant shall notify Landlord in writing within thirty (30) calendar days of any change in the composition of its Board of Directors, including appointments, resignations, or removals.

Tenant shall also notify Landlord within the same timeframe of any changes to the Tenant’s official mailing address, phone number, or designated contact person. All such notifications shall be submitted in writing to the address set forth in Section 18.1 or as otherwise directed by the City in writing.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 14 19. MISCELLANEOUS.

19.1 Words of any gender used herein shall include any other gender, and singular words include the plural, and vice versa, and “person” includes persons, firms and corporations and all other types of entities and organizations, unless in each case the sense otherwise requires. The term “Landlord” shall mean the owner of the Premises at the relevant time.

19.2 Tenant, at any time and from time to time, at the request of Landlord, shall promptly execute, acknowledge and deliver to Landlord a certificate certifying (a) that this Lease is unmodified and in full force and effect (or, if there have been modifications, that the same is in full force and effect as modified and stating the modifications); and (b) that there are not then existing any offsets or defenses against the enforcement of any provision of this Lease except as therein specified.

19.3 Time is of the essence of the notice requirements and the obligations of the parties under this Lease.

19.4 If there are any covenants yet to be performed by Tenant as of the date of expiration or termination of the term hereof, including, without limitation, the payment of Taxes, Operating Costs and Rent under this Lease as of such date, such covenants shall survive the expiration or termination of the term hereof whether or not they are then known or determined.

19.5 This Lease contains the entire agreement between the parties hereto with respect to the subject matter hereof, and any purported agreement hereafter made shall be ineffective to change, modify, discharge or effect an abandonment of it in whole or in part unless such purported agreement is in writing and signed by the party against whom enforcement is sought.

19.6 This Lease shall be governed and interpreted in accordance with the laws of the state of California.

19.7 The unenforceability, invalidity or illegality of any provision of this Lease shall not render the other provisions unenforceable, invalid or illegal.

19.8 The section headings are inserted only as a matter of convenience and reference and in no way define, limit or describe the scope of any section of this Lease nor the intent of any of its provisions.

19.9 Each party represents to the other that it has not engaged or used the services of any broker, finder or salesperson in connection with this Lease.

19.10 This Lease may be executed in multiple counterparts each of which shall be deemed an original for all purposes.

19.11 Upon the expiration or earlier termination of this Lease for any reason, Tenant shall within three (3) business days following written request by Landlord, deliver to Landlord an executed, acknowledged and recordable quitclaim deed conveying to Landlord any and all interest Tenant may have under this Lease.

19.12 Nothing contained herein shall be deemed to limit, restrict, amend or modify, or to constitute a waiver or release of any ordinances, notices, orders, rules, regulations or requirements (now or hereafter enacted or adopted and/or as amended from time to time) of the City of Rancho

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 15 Cucamonga. For purposes of this Lease, and notwithstanding anything in this Lease which may be construed to the contrary, Landlord is acting in its capacity as an owner of property and not as a governmental agency.

19.13 Tenant shall pay all taxes and assessments, including any possessory interest tax, if any, levied by any governmental authority against, or that become a lien upon, its interest in this Lease or the Premises, prior to delinquency. Tenant acknowledges that this Lease may create an interest in the Premises that is subject to property taxes or assessments being levied thereon.

19.14 Recordation: Concurrently with its execution hereof, Tenant shall execute and deliver to Landlord, duly acknowledged, a counterpart of a Memorandum of Lease in the form attached hereto as Exhibit “C”.

20. ENVIRONMENTAL MATTERS.

20.1 The term “Hazardous Substance” shall mean any pollutant, contaminant, toxic or hazardous waste, dangerous substance, potentially dangerous substance, noxious substance, toxic substance, flammable, explosive, radioactive material, urea formaldehyde foam insulation, asbestos, PCB’s, or any other substances the removal of which is required, or the manufacture, production, generation, use, maintenance, disposal, treatment, storage, transfer, handling or ownership of which is restricted, prohibited, regulated or penalized by any federal, state, county, or municipal statutes or laws now or at any time hereafter in effect, including but not limited to, the Comprehensive Environmental Response, Compensation, and Liability Act (U.S.C. Sections 9601, et seq.), the Hazardous Materials Transportation Act (49 U.S.C. Sections 1801, et seq.), the Resource Conservation and Recovery Act (42 U.S.C. Sections 6901, et seq.), the Federal Water Pollution Control Act (33 U.S.C. Sections 1251, et seq.), the Clean Air Act (42 U.S.C.

Sections 7401, et seq.), the Toxic Substances Control Act, as amended (15 U.S.C. Sections 2601, et seq.), and the Occupational Safety and Health Act (29 U.S.C. Sections 651, et seq.), as these laws have been amended or supplemented.

20.2 Tenant shall not use, or permit others to use, the Premises for the production, generation, manufacture, treatment, transportation, storage or disposal of any Hazardous Substance, whether or not in compliance with any and all applicable federal, state and local environmental laws, ordinances and regulations. Provided however, Tenant, without Landlord’s prior consent, shall be allowed (in strict compliance with all laws), to utilize ordinary quantities of Hazardous Substances customarily used in general office use and in compliance with the use of the Premises allowed herein (i.e., cleaning supplies, copier toner and similar items). Tenant shall immediately notify Landlord of (a) any release or discharge by Tenant or any other occupant of the Premises (or alleged release or discharge) of a Hazardous Substance, or (b) of any notice of violation or alleged violation of any law regarding any Hazardous Substance received by Tenant or any other occupant of the Premises.

20.3 Without limiting Tenant’s other obligations and liabilities hereunder, Tenant shall indemnify, defend and hold Landlord its officers, tenants and employees harmless, from and against any and all claims, damages, expenses, penalties, liabilities and costs resulting or arising from a breach of the covenant contained in Section 20.2.

20.4 The provisions of this Section 20 shall survive the expiration or termination of this Lease.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 16 IN WITNESS WHEREOF, and intending to be legally bound hereby, Landlord has caused this Lease to be executed on its behalf by a duly authorized officer, and Tenant has caused this Lease to be executed on its behalf by a duly authorized officer of Tenant, as of the day and year first written above.

LANDLORD:

CITY OF RANCHO CUCAMONGA,
A California municipal corporation
By:

John Gillison, City Manager

APPROVED AS TO FORM:

By:

Nick Ghirelli, City Attorney
ATTEST:

By:

TENANT:

ALTA LOMA RIDING CLUB
A California 501 c4 nonprofit public benefit
corporation
By:

Heather McGee Decauwer, President

By:

Joe Cowan, City Liaison

Kim Sevy, City Clerk

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 17 5546 Beryl Street

EXHIBIT A

DESCRIPTION OF PREMISES
Parcel Number: 106164107-0000
The Equestrian Center (Premise) is a portion of Heritage Park (Property) defined as:

CUCAMONGA HOMESTEAD ASSN THAT PTN LOTS 7 AND 8 BLK 14 LYING SELY

OF THAT PTN DEEDED TO FLOOD CONTROL AS PARCEL A IN DOCUMENT RECORDED 8-31-81 BO 192190 EX THAT PTN.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 18 EXHIBIT B MAP OF PREMISES
(NOT A BOUNDARY OF PREMISES)
5 1
4 6
3 7
8 15
13 12
1 14
9 16
2 10
LEGEND

HERITAGE COMMUNITY PARK

1. 2.

3. 4.

5. 6.

7. 8.

9. 10.

North Arena
South Arena
Shared Parking Lot
Hitch Area #1
Lunge Pen #1
Water Trough
Hitch Area #2
North Grandstands
South Grandstands
Lunge Pen #2

11. Hitch Area #3

12. 13.

14. 15.

16. Water Trough
Show Office
Storage
Rest Rooms
Kitchen

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 19 EXHIBIT C MEMORANDUM OF LEASE

(The Rest of This Page
Left Blank Intentionally)

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 20 RECORDING REQUESTED BY,
AND WHEN RECORDED MAIL TO:

City of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucamonga, CA 91730
Attn: City Manager

SPACE ABOVE THIS LINE FOR RECORDER'S USE

The undersigned Lessor declares that this Memorandum of Lease is exempt from Recording Fees pursuant to California Government Code Section 27383.

Documentary Transfer Tax is $0.00, payable by Tenant.

MEMORANDUM OF LEASE
THIS MEMORANDUM OF LEASE (this “Memorandum”) is dated as of , 2025 and is entered into by and between the CITY OF RANCHO CUCAMONGA, a municipal corporation (“Landlord’) and ALTA LOMA RIDING CLUB, a California 501 c4 nonprofit public benefit corporation (“Tenant”).

RECITALS
A. Landlord and Tenant executed that certain Lease dated substantially concurrently herewith (the “Lease”) affecting the land described in the Lease (“Leased Premise”) in the City of Rancho Cucamonga.

B. Landlord and Tenant now desire to record this Memorandum in order to, among other things, comply with law requiring that municipal leases be recorded, give constructive notice of the existence of the Lease, and permit the Tenant to obtain title insurance for its leasehold estate if so desired.

AGREEMENT
NOW, THEREFORE, in consideration of the foregoing recitals, and the covenants and conditions contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Landlord and Tenant hereby agree as follows:

1. Ground Lease. Landlord has leased the Leased Premises to Tenant, and Tenant has leased the Leased Premises from Landlord, upon and subject to the terms and conditions set forth in the Lease. The Lease is hereby incorporated herein by this reference.

IN WITNESS WHEREOF, Landlord and Tenant have executed this Memorandum as of the date and year first above written.

Docusign Envelope ID: B5DD775C-9752-4E7E-81CF-776848F39504 21 LANDLORD: CITY OF RANCHO CUCAMONGA,
a municipal corporation

By:

Print Name:

Title:

TENANT:

Alta Loma Riding Club,
a nonprofit corporation

By:

Print Name:

Title:

DATE: July 16, 2025
TO: Mayor and Members of the City Council
FROM: John R. Gillison, City Manager
INITIATED BY: Shelly Munson, Director of Innovation and Technology Lilyan Villarreal, Deputy Director of Innovation and Technology Tanya Trieu-Bui, Management Analyst I
SUBJECT: Consideration to Approve the Use of a Cooperative Agreement with OMNIA Partners for the Annual Maintenance of Public Safety Video Network (PSVN) Cameras from Convergint in the Amount of $110,000. (CITY)
RECOMMENDATION:

Staff recommends that the City Council approve the use of the OMNIA Partners, Region 4 ESC- TX R220702 Cooperative Agreement to award a one-year maintenance contract to Convergint for annual maintenance and cleaning services of PSVN cameras, not to exceed the total amount of $110,000.

BACKGROUND:

There are currently 200+ cameras throughout the city, strategically placed at intersections, city facilities, and critical infrastructure. These cameras are key assets used in partnership with the Police Department in the interest of Public Safety. The cameras assist with the collection of evidence if an incident has occurred within its line of sight. The cameras can result in crime deterrence and prevention as the presence of cameras can discourage criminal activity.

Additionally, the presence of cameras can enhance the sense of security among residents as it shows that our police department is actively monitoring and protecting the community.

ANALYSIS:

To ensure optimal performance, PSVN cameras should be cleaned regularly, with a minimum frequency of once per year. This routine maintenance is essential for maintaining clear footage and preventing any issues caused by dirt or debris buildup. Staff recommends that the City Council award a one-year maintenance contract with Convergint as their services also include preventive maintenance and comprehensive labor coverage. The preventative maintenance will include a visual inspection and functional test of system components that will address areas that can adversely affect system performance. This will allow the DoIT team members to proactively address PSVN concerns before a camera goes down. The comprehensive labor coverage will cover costs associated with cameras that require corrective maintenance. This includes service calls, system troubleshooting and diagnostics, and component repair labor.

OMNIA Partners provides public sector participants access to purchasing contracts with leading national suppliers, delivering volume discounts, and streamlined procurement process for technology products and services. Staff reviewed the Master Agreement with the City's

2 9
1 2
Procurement Division and has determined that the terms and process of the contract meet the City's procurement standards.

Based on an analysis of our current investment in PSVN, staff recommends that the City Council approve the use of the OMNIA Partners, Region 4 ESC-TX R220702 Cooperative Agreement to award a one-year maintenance contract to Convergint for annual preventive maintenance and comprehensive labor coverage services of PSVN cameras, not to exceed the total amount of $110,000.

FISCAL IMPACT:

The cost for current Fiscal Year 2025/26 is $109,260. Sufficient funding is available for the current Fiscal Year 2025/26 in General Fund account F001ICC209ISC2107 (Contract Services-Software) $65,000 and in Computer Equipment/Technology Replacement Fund account F714|CC001|SC1200 (Operations & Maintenance) $45,000.

COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:

The PSVN camera maintenance agreement supports Council's Core Values of promoting and enhancing a safe and healthy community for all and intentionally embracing and anticipating our future.

ATTACHMENTS:

Attachment 1 – Convergint Quote
Attachment 2 – OMNIA Convergint Cooperative Agreement

City of Rancho Cucamonga
Customer Support Program
4/30/2025
Jake Bargas
Business Development Manager
ATTACHMENT 1

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CUSTOMER INFORMATION

Date: 4/30/2025 Quotation #: JB29806709CSP

To: City of Rancho Cucamonga Attn: Don Smartt II
10510 Civic Center Dr 909.774.2540
Rancho Cucamonga, California 91730 [email protected]

We are pleased to provide this proposal for your consideration. This quotation is valid for THIRTY (30) days.

BUSINESS OBJECTIVES

Following discussions and meetings with City of Rancho Cucamonga , the Convergint team understands that the City is seeking a service solution that fulfills the following Business Objectives:

Business Objectives Stakeholders

• Transform from run -to-failure to a proactive preventive maintenance approach, reducing the risk of unexpected
equipment failures and unplanned downtime, leading to smoother operations and improved productivity.
• Improve system uptime and compliance
• Reduce risk to security system(s) and overall system network • Utilize third party resources for highly specialized and difficult to hire tasks
• Contract-out redundant system maintenance tasks in order to free up key team members for higher & better use of resources • Drive down the system(s) Total Cost of Ownership

City of Rancho Cucamonga

CUSTOMER SUPPORT PROGRAM OVERVIEW

The intent of this Customer Support Program (CSP) is to partner with you in maintaining your system(s), reducing malfunctions and associated downtime. Convergint is committed to providing long-term customer satisfaction and support throughout the service partnership.

A properly planned Customer Support Program can help improve the performance and integrity of your systems and help extend the life of the systems.

As you walk through this proposal, you will see that the recommended services have been tailored to your unique needs and above business objectives.

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PROPOSED SERVICES

Software Support Agreement (SSA): ☐ Included ☒ Excluded

The Software Support Agreement provides access to product manufacturer firmware and software updates, which helps keep systems operating with the latest software and secured with the latest patches. It also provides access to the product manufacturer technical support team if technical support is required for system troubleshooting. Labor associated with applying firmware and software updates is not included, and requires the PPM option, below. This option does not include any computer operating system updates or any software or system upgrades.

Password and Patch Management (PPM): ☐ Convergint ☒ Customer

Password Management:

Default, weak, and reused passwords pose a significant vulnerability to your security systems.

Convergint offers unique password management solutions to protect your systems from compromise. By setting unique passwords on each system and site, we not only protect your security systems, but we also protect access to connected networks. Convergint utilizes an industry-leading password management system with 256-bit AES encryption to help ensure that each system has unique, highly complex passwords that restri ct access according to the principles of least privilege. Additionally, there is no integration or direct connection between the database of passwords and on-premises systems.

Software and Firmware Maintenance:

Convergint periodically provides software updates and patches to help maintain your systems in accordance with manufacturers' recommendations and operating with the latest features, fixes, and vulnerability patches. Firmware, which controls the operation of network-connected devices, is also maintained in accordance with manufacturers' recommenda tions. Our specialists will install any compatible software and firmware patch releases to the system at the time of password change to help ensure system functionality and security. Systems and frequencies are identified in the Scope of Work section of this proposal.

Limitations:

Please note that this offering does not include “user” passwords or settings and only covers specific security system devices. If the customer is self -performing PPM, please review the Cybersecurity Services Coverage page in this proposal.

Preventive Maintenance ☒ Included ☐ Excluded

On a scheduled basis, Convergint will provide systems preventive services for components listed within the equipment list contained herein. All preventive maintenance testing will be performed in accordance with manufacturer’s recommendations and will addr ess areas that can adversely affect system performance. Preventive maintenance will include a visual inspection and functional test of system components.

iCare Executive ☐ Included ☒ Excluded

This valuable online service tool includes all the features of iCare Manager plus: real-time status, metric and custom report, access to “My Document Library” (i.e., document sharing platform), administrative privileges, and customized email notification.

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Comprehensive Labor Coverage ☒ Included ☐ Excluded

For these customers seeking to manage their financial risk associated with service and repair labor, this option provides system labor coverage on (1) Service Calls (2) System Troubleshooting & Diagnostics , and (3) Component Repair Labor . A one-time billable Pre- contract System Test is required to ensure that the system components are in good working condition prior to Convergint assuming responsibility fo r system labor coverage . Any components found to be deficient will either need to be replaced or excluded from the comprehensive equipment list.

Comprehensive Equipment Coverage ☐ Included ☒ Excluded

Comprehensive equipment coverage includes the replacement of failed system components noted in the bill of material at no additional cost. This allows customers to mitigate potential financial risk that can be associated with unexpected repairs and/ or failed components.

Please note that failed or damaged equipment is based on the conditions noted in the terms and conditions of this proposal and excludes such items as natural causes or intentional damage. A one-time billable Pre -contract System Test is required to ensure that the system components are in good working condition prior to Convergint assuming responsibility for system equipment coverage. Any components found to be deficient will either need to be replaced or excluded from the comprehensive equipment list.

Note: Components will be replaced with same or similar technology available at the time of such replacement. Technology upgrades or system enhancements are not included as part of this coverage option. Preventive Maintenance must also be included to qualify for equipment coverage.

Remote Online Diagnostics ☒ Included ☐ Excluded

Utilization of industry standard authentication technology to remotely access your system and resolve technical issues in real time resulting in a savings of both time and system downtime. A Convergint Support Specialist, with the support of a screen shari ng session, will work directly with your personnel for initial call support and troubleshooting. If the issue cannot be resolved online, a more refined service response will result including the dispatching of a service representative.

Embedded Specialist ☐ Included ☒ Excluded

The Embedded System Specialist will report directly to Convergint, with day -to-day accountability to our customer. Specific goals will be established and progress against these goals will be measured quarterly during a formal goal review meeting. The Embed ded System Specialist shall manage and administer standard, operational procedures, and assist personnel in day-to-day system operation s. This option provides a dedicated resource ensuring system integrity, standardization, and continuity

Software Upgrade ☐ Included ☒ Excluded

To keep up with changes in infrastructure and environment, software upgrades may help keep systems running at an optimal level. Our expertise covers various aspects of upgrades, including server migration, integration support, resource allocation, scheduled downtime management, and risk mitigation.

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System Administration ☐ Included ☒ Excluded

Convergint will supplement your internal system administration support by providing valued front-end database management services. Services may include:

1. System programming changes

2. Standard & custom report set- up and report generation

3. General front-end system diagnostics

Battery Testing ☐ Included ☒ Excluded

Over time, the batteries lose their ability to provide standby power required by the system in the event of primary power failure. Batteries should be replaced at specified intervals from date of manufacture or in accordance with manufacturer requirements. The only way to be assured the batteries will work is through proper load testing, which will be performed as required during a scheduled Test and Inspection or P reventive Maintenance visit. Battery replacement is not included and will be billable.

Online Asset and Inspection Reporting ☐ Included ☒ Excluded

Customer asset reporting includes the process of applying registered barcodes to system devices and loading their relevant information into a web-based database. Convergint’s web- based reporting system provides immediate documentation that the system and devices are being tested according to manufacturer’s and/or code requirements.

Storage Analysis ☐ Included ☒ Excluded

Systems are installed based on calculations provided during the design of the original project.

Over time, variables can impact the storage of your system records (e.g., scene complexity, amount of motion, light levels). This option includes an analysis of the recording to verify you receive the storage you require. If the storage is lower than desired, Convergint will discuss the available options. Upgrade of the system storage may require additional pricing.

Priority Emergency Service Response ☐ Included ☒ Excluded

We realize that many customers require a more immediate response to service calls deemed to be priority one. By selecting this Priority On- Site Response option, Convergint will commit to responding to these service calls in (4) hours instead of the standard (8) , subject to the exclusions set forth below.

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COVERED EQUIPMENT

Bill of Materials (The Equipment)
The following bill of materials is intended to establish the baseline for this proposal. Equipment not listed is excluded from scope.

Line Qty Annual
Freq
Description
1 216 1 Exterior Camera (mounted between 12 ft/3.6 m - 18 ft/5.5 m) 2 12 1 Exterior Camera (mounted higher than 18 ft/5.5 m)

Software Support Agreement (SSA/SUSP)
The following bill of material s is intended to establish the baseline for this proposal. Software not listed is excluded from scope. This bill of material s is not intended to be a comprehensive list of all system parts

CONVERGINT: UNIQUELY QUALIFIED

Our people, culture, technologies, and service differentiate us from our competitors. Convergint is committed to being our customers’ best service provider with a culture of integrity, accountability, and excellence.

Our People | At Convergint, our greatest strength is our people. We hire and develop the industry’s most dedicated and qualified service colleagues and provide an aggressive certification plan in the latest technology innovations, industry trends, and regulations.

Our Technologies | Convergint maintains strong relationships with the world’s leading technology partners . Instead of being limited to one manufacturer, we support a variety of systems, thus enabling you to avoid sole source dependency while ensuring long-term system and service flexibility and cost -effectiveness. We have service technicians certified across a wide range of systems, giving you the ultimate in peace of mind.

Our Services | Convergint designs service programs to meet each customer’s specific business goals by leveraging dedicated, certified colleagues to ensure system integrity and uptime. Convergint’s customer portal, iCare ®, gives you real -time access to your service work orders, status, metrics reporting , and service spend by site. iCare is a fully integrated tool connected to all aspects of the Convergint enterprise, from customers to schedulers to technicians in the field. Our iCare portal promotes transparency, visibility, and accountability to you, our customer.

Our Programs | Our Customer Support Programs are customized to you based on industry best practices, and your individual site and business objectives. Through this program, you will be given priority on emergency service calls along with preferred service discounts on labor rates in accordance with Convergint’s published Standard Rates.

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Our Commitment | Our commitment to service excellence starts with supporting you where you are and meeting your internal compliance needs. Telephone diagnostic support is available for all C ustomer Support Program customers. Our on -call technicians will provide diagnostic and troubleshooting support to help reduce your costs by trying to resolve issues prior to our arrival.

Our Reach | Convergint delivers services across cities, countries, and continents - but focuses on serving you where you are. When you call us, you reach the local market office - not a centralized call center. When delivering complex services or projects for our customers, we excel at connecting partners and subcontracting partners to serve you the way you want to be served.

Our Culture | Convergint operates on a set of core Values and Beliefs that express our responsibility to our customers, colleagues, and communities. Our V’s & B’s are not just words on a page but are the very fabric of Convergint culture. Our daily commitment to these ideas is one key reason why our customers choose to do business with Convergint.

TOTAL INVESTMENT

Hourly Service Rates
Business Hours
(8:00am to 5:00pm)
After Hours
(Monday - Saturday)
Sunday & Holiday
Standard Rates $246 $369 $492
CSP Rates 10% off Current
Standard Rate
10% off Current Standard
Rate
10% off Current
Standard Rate

All Service Calls:
• Subject to a two-hour minimum
• Priority 1 (P1) emergency service calls during normal business hours will be billed at After Hours Rates
• Billed based on technician travel time from portal to portal, including time on site • Include a trip charge
• May include battery disposal fees

Clarifications:
• Service Rates above are subject to change over the course of this agreement and any change will be applied at the time of service.

Agreement Details
Agreement Start Date TBD
Agreement Duration 1 Year
Year 1 Year 2 Year 3 Year 4 Year 5
Total Investment $ 109,260.00
Sales Tax Price excludes applicable sales tax

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Payment Schedule The agreement will be invoiced annually in the first month of the agreement period (Net 30 days) unless mutually agreed otherwise.

Proposal Attachments:
• Clarifications, Qualifications, and Exclusions
• Convergint Technologies Terms and Conditions (Customer Support Program)

By signing below or accepting the services described in this proposal, Customer accepts and agrees to this proposal, including the enclosed Terms and Conditions, along with any addendums or exhibits that may be attached or referenced therein. Any additional or contrary terms, including on a Customer PO, are expressly rejected. By signing, you represent and warrant that you have authority to accept this proposal on behalf of Customer.

Customer Name

Date

Authorized Signature

Printed Name and Title

CLARIFICATIONS, QUALIFICATIONS, & EXCLUSIONS

Software Support Agreement (SSA) and Password & Patch Management (PPM):

Customer has been advised of the SSA and PPM services described above. These services may vary depending on the specific devices involved, but typically include periodically updating device passwords to meet complexity and password rotation requirements; securely managing those passwords on behalf of Customer; and periodically updating device firmware to incorporate vulnerability patches, enhancements, and bug fixes made available by the device manufacturer. Please ask your Convergint point of contact for m ore details on the specific PPM services available for your devices. These services reduce the risk of cyber vulnerabilities.

Convergint cannot guarantee the security of the devices it installs or of Customer’s IT environment, no networked system can be completely secure , and Customer remains ultimately responsible for its IT environment. However, these services reduce the risk of cyber vulnerabilities for the devices being installed .

IF CUSTOMER DECLINES THESE SERVICES, CUSTOMER (AND NOT CONVERGINT) IS RESPONSIBLE FOR PERFORMING THESE SERVICES.

Pricing Assumptions

1. The Equipment listed are approximate quantities that were estimated during the site walk. Customer must provide the final Equipment list to be included in this Agreement, which may result in adjustment of the fees.

2. For comprehensive coverage on systems not installed by Convergint, parts and/or labor coverage will not take effect until the system has been fully inspected by Convergint and all deficiencies have been corrected by Customer.

3. Unless specifically included in this Agreement or Customer has separately contracted with Convergint for the work, all other work related to the Equipment will be billed separately at Convergint’s then current billing rates and material prices.

4. Customer agrees to provide any necessary equipment to reach inaccessible or limited access equipment. Waivers may be required prior to operating customer’s lift or heavy equipment. If equipment is not provided, additional charges may apply.

Customer Responsibilities

1. Customer agrees to maintain at its expense, any software licensing agreements and installed software media required for the operation and or diagnostics of the Equipment.

2. Customer agrees that when service must be provided where cash, negotiable securities, and other valuables are readily accessible, Convergint employees and representatives shall always be accompanied by Customer’s employee or representative.

3. Customer agrees to obtain and pay for all permits and licenses, and to discharge any fines, imposed by any governmental body or agency relating to the Equipment, its operation or malfunction.

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4. If any Equipment is modified or serviced by a third party during the term of this Agreement, then Convergint has the right to inspect the Equipment, and Customer agrees to pay Convergint at its then current billing rates and material prices for the costs o f inspection plus parts and/or labor required to align the Equipment with this Agreement. If Customer refuses such inspection or additional services, then Convergint has the option to delete such Equipment from this Agreement.

Exclusions
The following are excluded from the scope of services:

1. Convergint has no obligation to perform service, repair or replacement in the event of a Equipment failure or malfunction due to: burglary, storm, power surge or fluctuation, power failure, abnormal environmental conditions (such as extreme temperatures), fire, flood, war, riot, civil commotion, other acts of God, rodent/insect issues, settling of walls or foundat ion, abuse, usage of Equipment for purposes other than designed and/or intended, or the negligence or acts or omissions of Customer or any third party. Service, repairs or replacement necessitated by these conditions are billable to the Customer at Conver gint’s then current billing rates and material prices.

2. Any work required by new or retroactive code changes, or violations or deficiencies identified prior to the effective date of this Agreement.

3. Testing, if applicable, of the system does not include troubleshooting of pre-existing system conditions (ground faults, etc.).

4. For coverage on systems not installed by Convergint, parts and/or labor coverage will not take effect until the systems have been fully inspected and all deficiencies corrected.

NOTE: REVIEW IMPORTANT PRODUCT SAFETY AND SERVICE INFORMATION PRIOR TO USING A CONVERGINT-INSTALLED SYSTEM: See “IMPORTANT PRODUCT SAFETY AND SERVICE INFORMATION” documentation, available at convergint.com/terms.

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IMPORTANT NOTICE

You requested that Convergint provide you with certain security and safety products and services. By using these products and services, you acknowledge that:
• Under no circumstances should Convergint-provided products and services be your sole method of security or safety. Effective security and safety require a multi-layered approach involving people, processes, and technologies. Convergint-provided products and services do not guarantee security or safety, will not detect or prevent all threats or risks all the time (including threats they are designed to detect), and will not ensure overall safety and security. You are ultimately responsible for your people, premises, and property, including for maintaining an effective response plan and promptly implementing your response plan in response to alarms or threats. • All security products and services have limitations. No product or service can guarantee safety or security. It is your responsibility to ensure you are informed about product or service limitations and that you regularly test and validate the products and safety plans. Reach out to your Convergint account executive to learn how our support services can help. And if you have a service plan, you are responsible for promptly notifying Convergint in the event of any defect, malfunction, or performance issue with the products and services.
• Various factors can impact product performance. Selecting products and settings may involve tradeoffs between the level of security and safety on the one hand and speed, convenience, and cost on the other hand. Convergint can give you guidance, but you are ultimately responsible for selecting products and settings based on your organization’s risk profile and tolerance. • The products are made by third-party manufacturers, not Convergint. You are bound by and must use, test, and maintain the products in accordance with the manufacturer’s terms and instructions. Convergint does not independently validate the accuracy of claims or statements made by manufacturers, and makes no assurances regarding their accuracy. You are responsible for using the products and services in compliance with laws and regulations applicable to you or as permitted in your jurisdiction.
• All products and services are governed exclusively by a final agreement. No advertisement, literature, brochure, website, or statements made during the sale process or otherwise (whether orally or in writing) should be interpreted as a promise, warranty, or other assurance. • You have reviewed the “IMPORTANT PRODUCT SAFETY AND SERVICE INFORMATION” documentation, available at convergint.com/terms.

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City of Rancho Cucamonga – Customer Support Program

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City of Rancho Cucamonga – Customer Support Program

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City of Rancho Cucamonga – Customer Support Program

ATTACHMENT 2

Tab 1 – Master Agreement
General Terms and Conditions
¨ Customer Support
Ø The vendor shall provide timely and accurate technical advice and sales support. The vendor shall respond to such requests within one (1) working day after receipt of the request.

¨ Disclosures
Ø Respondent affirms that he/she has not given, offered to give, nor intends to give at any time hereafter any economic opportunity, future employment, gift, loan, gratuity, special discount, trip, favor or service to a public servant in connection with this contract.

Ø The respondent affirms that, to the best of his/her knowledge, the offer has been arrived at independently, and is submitted without collusion with anyone to obtain information or gain any favoritism that would in any way limit competition or give an unfair advantage over other vendors in the award of this contract.

¨ Renewal of Contract
Ø Unless otherwise stated, all contracts are for a period of one (1) year with an option to renew for up to four (4) additional one-year terms or any combination of time equally not more than 4 years if agreed to by Region 14 ESC and the vendor.

¨ Funding Out Clause
Ø Any/all contracts exceeding one (1) year shall include a standard “funding out” clause. A contract for the acquisition, including lease, of real or personal property is a commitment of the entity’s current revenue only, provided the contract contains either or both of the following provisions:

Ø Retains to the entity the continuing right to terminate the contract at the expiration of each budget period during the term of the contract and is conditioned on a best efforts attempt by the entity to obtain appropriate funds for payment of the contract.

¨ Shipments (if applicable)
Ø The awarded vendor shall ship ordered products within the written estimate of delivery time by the vendor to the entity after the receipt of the order unless modified. If a product cannot be shipped within that time, the awarded vendor shall notify the entity placing the order as to why the product has not shipped and shall provide an estimated shipping date.

At this point the participating entity may cancel the order if estimated shipping time is not acceptable. All deliveries shall be freight prepaid, F.O.B. destination.

¨ Tax Exempt Status
Ø Since this is a national contract, knowing the tax laws in each state is the sole responsibility of the vendor.

¨ Payments
Ø The entity using the contract will make payments directly to the awarded vendor or their affiliates as long as written request and approval by NCPA is provided to the awarded vendor.
¨ Adding authorized distributors/dealers
Ø Awarded vendors may submit a list of distributors/partners/resellers to sell under their contract throughout the life of the contract. Vendor must receive written approval from NCPA before such distributors/partners/resellers considered authorized.

Ø Purchase orders and payment can only be made to awarded vendor or distributors/business partners/resellers previously approved by NCPA.

Ø Pricing provided to members by added distributors or dealers must also be less than or equal to the pricing offered by the awarded contract holder.

Ø All distributors/partners/resellers are required to abide by the Terms and Conditions of the vendor's agreement with NCPA.

¨ Pricing
Ø All pricing submitted to shall include, as a cost of sale to the awarded vendor, the administrative fee to be remitted to NCPA by the awarded vendor. It is the awarded vendor’s responsibility to keep all pricing up to date and on file with NCPA. For those pricing requiring annual or periodic pricing updates, awarded vendors are expected to provide these changes as submitted.

Ø All deliveries shall be freight prepaid, F.O.B. destination and shall be included in all pricing offered unless otherwise clearly stated in writing

¨ Warranty
Ø Proposals should address each of the following:
§ Applicable warranty and/or guarantees of equipment and installations including any conditions and response time for repair and/or replacement of any components during the warranty period.
§ Availability of replacement parts
§ Life expectancy of equipment under normal use
§ Detailed information as to proposed return policy on all equipment Ø All supplies, equipment and services shall include manufacturer's minimum standard warranty and one (1) year labor warranty unless otherwise agreed to in writing.

¨ Audit rights
Ø Vendor shall, at Vendor’s sole expense, maintain appropriate due diligence of all purchases made by any entity that utilizes this Agreement. NCPA and Region 14 ESC each reserve the right to audit the accounting for a period of three (3) years from the time such purchases are made. This audit right shall survive termination of this Agreement for a period of one (1) year from the effective date of termination. In the State of New Jersey, this audit right shall survive termination of this Agreement for a period of five (5) years from the date of

final payment. Such records shall be made available to the New Jersey Office of the State Comptroller upon request.

Ø Region 14 ESC shall have the authority to conduct random audits of Vendor’s pricing that is offered to eligible entities at Region 14 ESC's sole cost and expense. Notwithstanding the foregoing, in the event that Region 14 ESC is made aware of any pricing being offered to eligible agencies that is materially inconsistent with the pricing under this agreement, Region 4 ESC shall have the ability to conduct an extensive audit of Vendor’s pricing at Vendor’s sole cost and expense. Region 14 ESC may conduct the audit internally or may engage a third-party auditing firm. In the event of an audit, the requested materials shall be provided in the format and at the location designated by Region 14 ESC or NCPA.

¨ Indemnity
Ø The awarded vendor shall protect, indemnify, and hold harmless Region 14 ESC and its participants, administrators, employees and agents against all claims, damages, losses and expenses arising out of or resulting from the actions of the vendor, vendor employees or vendor subcontractors in the preparation of the solicitation and the later execution of the contract.
¨ Licenses and Duty to keep current licenses

Ø Vendor shall maintain in current status all federal, state and local licenses, bonds and permits required for the operation of the business conducted by vendor. Vendor shall remain fully informed of and in compliance with all ordinances and regulations pertaining to the lawful provision of services under the contract. Region 14 ESC reserves the right to stop work and/or cancel the contract of any vendor whose license(s) expire, lapse, are suspended or terminated. Vendor is expected to provide all required license(s) with this RFP response.

¨ Franchise Tax
Ø The respondent hereby certifies that he/she is not currently delinquent in the payment of any franchise taxes.

¨ Supplemental Agreements
Ø The entity participating in this contract and awarded vendor may enter into a separate supplemental agreement to further define the level of service requirements over and above the minimum defined in this contract i.e. invoice requirements, ordering requirements, specialized delivery, etc. Any supplemental agreement developed as a result of this contract is exclusively between the participating entity and awarded vendor.

¨ Certificates of Insurance
Ø Certificates of insurance shall be delivered to the Public Agency prior to commencement of work. The insurance company shall be licensed in the applicable state in which work is being conducted. The awarded vendor shall give the participating entity a minimum of ten (10) days notice prior to any modifications or cancellation of policies. The awarded vendor shall require all subcontractors performing any work to maintain coverage as specified.

¨ Legal Obligations
Ø It is the Respondent’s responsibility to be aware of and comply with all local, state, and federal laws governing the sale of products/services identified in this RFP and any awarded contract and shall comply with all while fulfilling the RFP. Applicable laws and regulation must be followed even if not specifically identified herein. ¨ Protest
Ø A protest of an award or proposed award must be filed in writing within ten (10) days from the date of the official award notification and must be received by 5:00 pm CST. No protest shall lie for a claim that the selected Vendor is not a responsible Bidder. Protests shall be filed with Region 14 ESC and shall include the following:
§ Name, address and telephone number of protester
§ Original signature of protester or its representative § Identification of the solicitation by RFP number
§ Detailed statement of legal and factual grounds including copies of relevant documents and the form of relief requested
Ø Any protest review and action shall be considered final with no further formalities being considered.

¨ Force Majeure
Ø If by reason of Force Majeure, either party hereto shall be rendered unable wholly or in part to carry out its obligations under this Agreement then such party shall give notice and full particulars of Force Majeure in writing to the other party within a reasonable time after occurrence of the event or cause relied upon, and the obligation of the party giving such notice, so far as it is affected by such Force Majeure, shall be suspended during the continuance of the inability then claimed, except as hereinafter provided, but for no longer period, and such party shall endeavor to remove or overcome such inability with all reasonable dispatch.

Ø The term Force Majeure as employed herein, shall mean acts of God, strikes, lockouts, or other industrial disturbances, act of public enemy, orders of any kind of government of the United States or any civil or military authority; insurrections; riots; epidemics; landslides; lighting; earthquake; fires; hurricanes; storms; floods; washouts; droughts; arrests; restraint of government and people; civil disturbances; explosions, breakage or accidents to machinery, pipelines or canals, or other causes not reasonably within the control of the party claiming such inability. It is understood and agreed that the settlement of strikes and lockouts shall be entirely within the discretion of the party having the difficulty, and that the above requirement that any Force Majeure shall be remedied with all reasonable dispatch shall not require the settlement of strikes and lockouts by acceding to the demands of the opposing party or parties when such settlement is unfavorable in the judgment of the party having the difficulty.

¨ Prevailing Wage
Ø It shall be the responsibility of the Vendor to comply, when applicable, with the prevailing wage legislation in effect in the jurisdiction of the purchaser. It shall further be the responsibility of the Vendor to monitor the prevailing wage rates as established by the appropriate department of labor for any increase in rates during the term of this contract and adjust wage rates accordingly.
¨ Miscellaneous
Ø Either party may cancel this contract in whole or in part by providing written notice. The cancellation will take effect 30 business days after the other party receives the notice of cancellation. After the 30th business day all work will cease following completion of final purchase order.
¨ Cancellation for Non-Performance or Contractor Deficiency

Ø Region 14 ESC may terminate any contract if awarded vendor has not used the contract, or if purchase volume is determined to be low volume in any 12-month period.

Ø Region 14 ESC reserves the right to cancel the whole or any part of this contract due to failure by contractor to carry out any obligation, term or condition of the contract.

Ø Region 14 ESC may issue a written deficiency notice to contractor for acting or failing to act in any of the following:

¨ Providing material that does not meet the specifications of the contract; ¨ Providing work and/or material that was not awarded under the contract; ¨ Failing to adequately perform the services set forth in the scope of work and specifications;
¨ Failing to complete required work or furnish required materials within a reasonable amount of time;
¨ Failing to make progress in performance of the contract and/or giving Region 14 ESC reason to believe that contractor will not or cannot perform the requirements of the contract;

Ø Upon receipt of a written deficiency notice, contractor shall have ten (10) days to provide a satisfactory response to Region 14 ESC. Failure to adequately address all issues of concern may result in contract cancellation. Upon cancellation under this paragraph, all goods, materials, work, documents, data and reports prepared by contractor under the contract shall become the property of Region 14 ESC on demand.
¨ Open Records Policy
Ø Because Region 14 ESC is a governmental entity responses submitted are subject to release as public information after contracts are executed. If a vendor believes that its response, or parts of its response, may be exempted from disclosure, the vendor must specify page-by- page and line-by-line the parts of the response, which it believes, are exempt. In addition, the respondent must specify which exception(s) are applicable and provide detailed reasons to substantiate the exception(s).

Ø The determination of whether information is confidential and not subject to disclosure is the duty of the Office of Attorney General (OAG). Region 14 ESC must provide the OAG sufficient information to render an opinion and therefore, vague and general claims to confidentiality by the respondent are not acceptable. Region 14 ESC must comply with the opinions of the OAG. Region14 ESC assumes no responsibility for asserting legal arguments on behalf of any vendor. Respondent are advised to consult with their legal

counsel concerning disclosure issues resulting from this procurement process and to take precautions to safeguard trade secrets and other proprietary information.

If awarded vendor is going to do business in the State of Arizona, the following terms and conditions shall apply

¨ Cancellation for Conflict of Interest

Ø Per A.R.S. 38-511 a School District/public entity may cancel this Contract within three (3) years after Contract execution without penalty or further obligation if any person significantly involved in i nitiating, negotiating, securing, drafting, or creating the Contract on behalf of the School District/public entity is, or becomes at any time while the Contract or an extension the Contract is in effect, an employee of or a consultant to any other party to this Contract with respect to the subject matter of the Contract. The cancellation shall be effective when the awarded vendor receives written notice of the cancellation unless the notice specifies a later time.

¨ Registered Sex Offender Restriction

Ø Pursuant to this order, the awarded vendor agrees by acceptance of this order that no employee of the awarded vendor or a subcontractor of the awarded vendor, who has been adjudicated to be a registered sex offender, will perform work on any School District’s premises or equipment at any time when District students are, or are reasonably expected to be, present. The awarded vendor further agrees by acceptance of this order that a violation of this condition shall be considered a material breach and may res ult in a cancellation of the order at the District's discretion.

¨ Contract’s Employment Eligibility

Ø By entering the contract, awarded vendor warrants compliance with A.R.S. 41-4401, A.R.S. 23-214, the Federal Immigration and Nationality Act (FINA), and all other federal immigration laws and regulations. A School District/public entity may request verification of compliance from any contractor or subcontractor performing work under this contract.

A School District/public entity reserves the right to confirm compliance in accordance with applicable laws. Should the School District/public entity suspect or find that the awarded vendor or any of its subcontractors are not in compliance, the School District/public entity may pursue any and all remedies allowed by law, including, but not limited to: suspension of work, termination of the contract for default, and suspension and/or debarment of the awarded vendor. All costs necessary to verify compliance are the responsibility of the award vendor.

¨ Terrorism Country Divestments

Ø Per A.R.S. 35-392, a School District/public entity is prohibited from purchasing from a company that is in violation of the Export Administration Act.

¨ Fingerprint Checks

Ø If required to provide services on School District/public entity’s property, awarded vendor shall comply with A.R.S. 15-511(h).

¨ Indemnification

Ø Notwithstanding all other provisions of this agreement, School District/public entity does not agree to accept responsibility, waive liability, or indemnify the awarded vendor, in whole or in part, for the errors, negligence, hazards, liabilities, contract breach and/or omissions of the awarded vendor, its employees and/or agents.

Process
Region 14 ESC will evaluate proposals in accordance with, and subject to, the relevant statutes, ordinances, rules, and regulations that govern its procurement practices. NCPA will assist Region 14 ESC in evaluating proposals. Award(s) will be made to the prospective vendor(s) whose response is determined to be the most advantageous to Region 14 ESC, NCPA, and its participating agencies. To qualify for evaluation, response must have been submitted on time, and satisfy all mandatory requirements identified in this document.

¨ Contract Administration
Ø The contract will be administered by Region 14 ESC. The National Program will be administered by NCPA on behalf of Region 14 ESC.
¨ Contract Term
Ø The contract term will be for one (1) year starting from the date of the award. The contract may be renewed for up to four (4) additional one-year terms or any combination of time equally not more than 4 years.

Ø It should be noted that maintenance/service agreements may be issued for up to (5) years under this contract even if the contract only lasts for the initial term of the contract. NCPA will monitor any maintenance agreements for the term of the agreement provided they are signed prior to the termination or expiration of this contract. ¨ Contract Waiver
Ø Any waiver of any provision of this contract shall be in writing and shall be signed by the duly authorized agent of Region 14 ESC. The waiver by either party of any term or condition of this contract shall not be deemed to constitute waiver thereof nor a waiver of any further or additional right that such party may hold under this contract. ¨ Products and Services additions
Ø Products and Services may be added to the resulting contract during the term of the contract by written amendment, to the extent that those products and services are within the scope of this RFP and has written approval of NCPA and Region 14 ESC. ¨ Competitive Range
Ø It may be necessary for Region 14 ESC to establish a competitive range. Responses not in the competitive range are unacceptable and do not receive further award consideration. ¨ Deviations and Exceptions
Ø Deviations or exceptions stipulated in response may result in disqualification. It is the intent of Region 14 ESC to award a vendor’s complete line of products and/or services, when possible.
¨ Estimated Quantities
Ø The estimated dollar volume of Products and Services purchased under the proposed Master Agreement is $10 million dollars annually. This estimate is based on the anticipated volume of Region 14 ESC and current sales within the NCPA program. There is no guarantee or commitment of any kind regarding usage of any contracts resulting from this solicitation