Redding City Council
February 20, 2024

impacts should be included to avoid any significant impact to the species or its habitat.

Bats
Discussion in the MND includes potential impacts to western red bat ( Lasiurus blossevillii); however, no mitigation measures are written to address bats. CDFW recommends the addition of a mitigation measure to lessen potential significant impacts to bats and bat habitat. The measure may include similar language to the following:

Prior to habitat removal, bat surveys shall be conducted by a qualified bat biologist familiar with the bat species potentially occupying the site and their local ecology, and excluded to prevent reoccupation if that habitat feature will be permanently removed or altered. If bats are found roosting on the bridge, proper exclusion devices shall be installed to prevent roosting during bridge rehabilitation.

Bats shall not be disturbed without specific notice to and consultation with CDFW.

If any special status bat species are found, avoidance or mitigation measures for impacts should be included to avoid any significant effects to the species or its habitat. "

FILING FEES
The Project, as proposed, would have an impact on fish and/ or wildlife, and assessment of filing fees is necessary. Fees are payable upon filing of the Notice of Determination by the Lead Agency and serve to help defray the cost of environmental review by CDFW. Payment of the fee is required in order for the underlying Project approval to be operative, vested, and final ( Cal.

Code Regs, tit. 14, § 753. 5; Fish & G. Code, § 711. 4; Pub. Resources Code, § 21089).

CONCLUSION
CDFW appreciates the opportunity to provide comments during the environmental review process and assisting the City in identifying and mitigating Project impacts on biological resources. Questions regarding this letter or further coordination should be directed to Kate Grossman, Environmental Scientist at ( 530) 225- 2239 or Katherine. grossmanPwildlife. ca.gov.

Sincerely,
Curt Babcock
Habitat Conservation Program Manager
ec: State Clearinghouse
State. clearinghouseP- opr. ca. gov
Kate Grossman, Amy Henderson, Donna L. Cobb, Rachelle Pike California Department of Fish and Wildlife
Katherine. Grossman@wildlife. ca. gov, Amy. Henderson@wildlife. ca. gov, Donna. CobbP-wildlife. ca.gov, Rachelle. Pike@wildlife. ca. gov Packet Pg. 220 Attachment: Previous Staff Report 2016 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) RESPONSE TO COMMENT LETTER # 1
Response # 1
Work windows for the project have been addressed in Mitigation Measure B- 1. The project received concurrence from the National Marine Fisheries Service ( NMFS), the agency with jurisdiction over the federally listed species in the project area. NMFS agreed with and approved the work windows proposed. If different work windows are required in other regulatory agency permits obtained for the project, then the more restrictive windows will be implemented.

Response # 2
Comment Noted. Mitigation Measure B- 2 requires gravel used in -stream to be clean, washed spawning gravel. All gravel will be removed except approx. 6 inches of gravel will be left in the channel to protect original stream channel contours and configuration, and to protect against exposed soils that could contribute to erosion and sediment loss.

Response # 3
The Initial Study identifies under Biological Resources ( b) on Page 11 that there will be 0. 08 acres of Churn Cr (perennial stream) permanently impacted as a result of placing rock slope protection, abutments, and bridge piers, 0. 07 acres of riparian scrub vegetation permanently impacted due to the widened bridge, and 0.03 acres of riparian scrub temporarily impacted by access roads and gravel pads. The riparian scrub habitat primarily consists of young willows and Himalayan blackberry which provides moderate shade for the creek. The specific number of individual trees has not been identified at this stage of project development. Specific design details and impacts will be provided in permit applications. Such specifics will also provide the details for the restoration of the site, e. g. number and type of trees to be planted. Temporary use areas will be restored and revegetated with species growing in the same area. The revegetation effort will provide the same or a higher density of native woody riparian species when compared to pre -project conditions. The City of Redding anticipates submitting a Notification of Lake or Streambed Alteration pursuant to Section 1600 et seq ofthe Fish and Game Code.

Response # 4
As stated in Mitigation Measure B- 3, the Riparian Restoration Plan for the Old Alturas Road Bridge Rehabilitation Project at Churn Creek ( Plan) outlines the plan for restoring temporary use areas at the project site. The Plan states that the site will be monitored for 3 years or until the plantings are self sufficient, and that the same or a higher density of native woody riparian species when compared to pre -project conditions will be achieved.

Response # 5
Comment noted. The Plan is available upon request.

Packet Pg. 221 Attachment: Previous Staff Report 2016 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Response # 6
Comment noted. See Mitigation Measures B- 1 and B- 8.

Response # 7
The City of Redding and Caltrans believes the nesting season windows proposed are appropriate for the area given climate, latitude, seasonality, species behavior patterns, and past project approvals. If nesting birds are found, the nest site shall not be disturbed until after the young have fledged. See Mitigation Measures B- 7 and B- 8.

Response # 8
Potential project effects to the western red bat are discussed under Biological Resources in Section ( a) and ( d) on page 10. Given that there is a low potential for the bat to occur at the project site, the potential effects of the project on the bat are considered less than significant.

Therefore, no mitigation measures are proposed. However, to ensure that bats are not adversely affected, a bat survey will be conducted by a qualified bat biologist prior to construction. If roosting bats are found, measures shall be prescribed by the bat biologist to ensure that bridge demolition and riparian vegetation removal do not result in take of bats. In addition, such conservation measures will be proposed in permit applications, such as the Notification of Lake or Streambed Alteration pursuant to Section 1600 et seq ofthe Fish and Game Code.

Packet Pg. 222 Attachment: Previous Staff Report 2016 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) RESOLUTION NO. 2016- 126

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING

ADOPTING A MITIGATED NEGATIVE DECLARATION AND

MITIGATION MONITORING PROGRAM, AND APPROVING THE OLD

ALTURAS ROAD AND CHURN CREEK BRIDGE REHABILITATION

PROJECT
WHEREAS, the City of Redding, as lead agency for the Old Alturas Road and Churn Creek Bridge Rehabilitation Project ( Project), has conducted the following environmental review for the proposed Project:

1. Environmental studies were conducted and summarized in an Initial Study dated October 18, 2016; and

2. A proposed Mitigated Negative Declaration ( MND) was circulated for review and comment at the State Clearinghouse from October 20 to November 18, 2016, and with the Shasta County Clerk from October 27 to November 28, 2016; and

3. There were no substantive public comments that could not be addressed during the public comment period; and
WHEREAS, the MND identified potential significant environmental impacts which have been reduced to a less than significant level by incorporation of mitigation measures into the Project; and
WHEREAS, a Mitigation Monitoring and Reporting Program has been written as required by the California Environmental Quality Act and is attached to the MND; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Redding, based upon the entire record of environmental review for the Old Alturas Road and Churn Creek Bridge Rehabilitation Project, hereby adopts the Mitigated Negative Declaration and Mitigation and Monitoring Program, and approves the project as described.

I HEREBY CERTIFY that the foregoing resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 6th day of December, 2016, and was duly adopted at said meeting by the following vote:

AYES: COUNCIL MEMBERS: McElvain, Schreder, Sullivan, Winter, & Weaver NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
ATTEST:
s/ Pamela Mize
PAMELA MIZE, City Clerk
s/ Brent Weaver
BRENT WEAVER , Mayor
FORM APPROVAL:
s/ Barry E. De Walt
BARRY E. DeWALT, City Attorney
Packet Pg. 223 Attachment: Previous Staff Report 2016 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the following actions related to the Old Alturas Road Bridge over Churn Creek Project:
1) Approve the Third Amendment ( Amendment) to the Consulting and Professional Services Agreement ( C-5900) with Morrison Structures, Inc. in the amount of 213,305. 43, for a total not to exceed fee of $559, 804.95; and 2) Authorize the Mayor to execute the Amendment.

Fiscal Impact
The Old Alturas Road Bridge over Churn Creek Project is 88.53 percent funded by the Federal Highway Bridge Program ( HBP), and the remaining 11.47 percent is funded by the City of Redding’ s ( City) Transportation Impact Fee ( TIF) fund. The total project cost is estimated at approximately $ 6 million. This amendment will increase the project design costs by $213, 305.43 Alternative Action
The City Council may choose not to authorize the Mayor to execute this contract amendment.

This alternative would further delay or eliminate construction of the rehabilitated bridge and jeopardize federal funding.

Background/ Analysis
The Old Alturas Road Bridge over Churn Creek was constructed in 1964 and, per California Department of Transportation ( Caltrans) bridge inspection reports, is currently designated as functionally obsolete. This designation is largely due to the amount of traffic using the bridge and the lack of shoulders, pedestrian facilities, and turning movement capacity. The project will rehabilitate the existing two-lane bridge with a three- lane, pedestrian accessible bridge.

MEETING DATE: August 18, 2020
ITEM NO. 4.11(b)
FROM:

APPROVED BY***
[email protected] btippin@cityofredding. org
SUBJECT: 4.11(b)--Approve the Third Amendment to Consulting and Professional Services Contract (C-5900) for the Old Alturas Bridge over Churn Creek Project Chuck Aukland, Public
Works Director
Packet Pg. 224 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Report to Redding City Council August 12, 2020
Re: 4.11( b)--Approve Third Amendment to CPSC ( C-5900) Page 2 The total project cost for rehabilitating the Old Alturas Bridge is expected to be approximately 6 million, which includes design, environmental clearance, permitting, right-of-way, construction and contingencies, and construction management.

In January 2013, a consulting and professional services contract was executed with Morrison Structures, Inc. In September 2015, and again in June 2017, administrative amendments were executed to update the end date of the contract.

At this time, staff is requesting approval of the third amendment which would provide additional funding to complete the project. There was a significant increase in professional services over the course of the Advanced Planning Phase and Preliminary Design Development Phase due to the extensive environmental studies and documentation which delayed the project by several years ( project initiation was in March 2013). To complete the project, Morrison will continue to provide engineering support during the environmental documentation and permitting process, in addition to performing the services for Right of Way Acquisition and the Final Design Phase.

Council Priority/ City Manager Goals
This agenda item is a routine operational item.

Attachments
First Amendment ( available online)
Second Amendment (available online)
Third Amendment ( available online)
Agreement (C-5900) (available online)
Packet Pg. 225 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk)

FIRST AMENDMENT TO
CONSULTING AND PROFESSIONAL SERVICES CONTRACT ( C- 5900) Engineering Services for the Old Alturas Road Bridge over Churn Creek Project The Consulting and Professional Services Contract C- 5900 (" Contract") dated March 27, 2013, between the City of Redding, California, (" City") a municipal corporation, and Morrison Structures, Inc., (" Consultant") is hereby amended as follows:

Section 3.A is amended to read in its entirety as follows:

Consultant shall commence work on or about March 20, 2013, and complete said work no later than July 1, 2017. Time is of the essence.

All other terms and conditions of the Contract dated March 27, 2013, shall remain in full force and effect.

The date of this Amendment shall be the date that it is signed by the City.

IN WITNESS WHEREOF, City and Consultant have executed this Amendment on the days and year set forth below:

Dated:
30 .
92015
Att
PAMELA AWZE, C! iry Clerk
CITY OF IjEl7
A MunfciB(al C
By: I BRL4N F. CRANE, Director ofPublic Works
Form Approved:

BARRYE DeWALT
City Atto ey
Bf
JACOB R. BALDWIN
MORRISON STRUCTURES, INC.

Dated: S=,T, o23 , 2015
By:

Taxpayer I.D. No.: 8- o4SSoS'
J1
0 Packet Pg. 226 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk)

SECOND AMENDMENT TO
CONSULTING AND PROFESSIONAL SERVICES CONTRACT ( C- 5900) Engineering Services for the Old Alturas Road Bridge over Churn Creek Project The Consulting and Professional Services Contract C- 5900(" Contract") dated March 27, 2013, and amended September 30, 2015, between the City of Redding, California, (" City") a municipal corporation, and Morrison Structures, Inc., (" Consultant") is hereby amended as follows:

Section 3.A is amended to read in its entirety as follows:

Consultant shall commence work on or about March 20, 2013, and complete said work no later than July 1, 2022. Time is of the essence.

All other terms and conditions of the Contract dated March 27, 2013. and amended September 30, 2015, shall remain in full force and effect.

The date of this Amendment shall be the date that it is signed by the City.

IN WITNESS WHEREOF, City and Consultant have executed this Amendment on the days and year set forth below:

CITY 0 ' DDIN
A M icip. s o 0
Dated: r 3O 2017
B, BRIAN F. CRANE, Director ofPublic Works
Form Approved:

BARRY E. DeWALT
At •st: City Attorney
PAMELA MIZE, Ci,.. Clerk By:

MORRISON STRUCTURES, INC.

Dated: joie_ a 9 2017 274..,A4, 74,
Nord aiarsho mit T'
By:

Taxpayer I.D. No.: fig, oLiss- os8
Packet Pg. 227 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 228 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 229 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 230 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 231 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 232 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 233 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 234 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 235 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 236 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 237 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 238 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 239 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 240 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Packet Pg. 241 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) f,

CITY OF REDDING

CONSULTING AND PROFESSIONAL SERVICES CONTRACT
THIS CONTRACT is made at Redding, California, by and between the City of Redding City"), a municipal corporation, and Morrison Structures, Inc. (" Consultant") for the purpose of Engineering Services for the Old Alturas Road Bridge over Chum Creek Project.

WHEREAS, City does not have sufficient personnel to perform the services required herein thereby necessitating this Contract for personal services.

NOW, THEREFORE, the Parties covenant and agree, for good consideration hereby acknowledged, as follows:

SECTION 1. CONSULTANT SERVICES
Subject to the terms and conditions set forth in this Contract, . Consultant shall provide to City the services described in Exhibit A, attached and incorporated herein. Consultant shall provide the services at the time, place and in the manner specified in Exhibit A.

SECTION 2. COMPENSATION AND REIMBURSEMENT OF COSTS
A. The method of payment for this contract will be based on actual cost- plus- a-fixed fee.

1. The City shall reimburse the Consultant for actual costs ( including labor costs, employee benefits, overhead and other direct costs) incurred by the Consultant in performance of the work. Actual costs shall not exceed the total estimated direct labor, indirect overhead and other costs set forth in the approved Exhibit B, unless additional reimbursement is provided for by contract amendment.

2. In addition to the costs referred to in paragraph 1 of this section, the City shall pay the Consultant a fixed fee of $28, 745. 51. Said fixed fee shall not be altered, unless there is a
significant alteration in the scope, complexity,
or character of the work to be performed which is documented by contract amendment. The fixed fee can be invoiced monthly based on the percentage of actual costs expended compared to actual cost budget.

3. In the event that the City determines that a
change to the work from that
specified in the Exhibit A and contract is required, the contract time and/or actual costs and fixed fee reimbursable by the City shall be adjusted by contract amendment to accommodate the changed work. The total amount payable by the City, including fixed fee, shall not exceed three hundred forty six thousand foUr hundred ninety nine and fifty two cents 346, 499. 52).

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2- S--j3

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FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009] Packet Pg. 242 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) B. Consultant shall submit monthly invoices to City for work completed to the date of the invoice. All invoices shall be itemized to reflect the employees performing the requested tasks, the billing rate for t?ach employee and the hours worked.

C. All correct, complete and undisputed invoices sent by Consultant to City shall be paid within thirty (30) calendar days of receipt.

D. Salary increases of three percent ( 3. 5%) will be reimbursable if approved by the City.

SECTION 3. TERM AND TERMINATION
A. Consultant shall commence work on or about March 20, 2013, and complete said work no later than September 1, 2015. Time is of the essence.

B. This Contract may be terminated for cause by the City if Consultant fails substantially to perform its obligations under this Contract and does not commence correction of such nonperformance within 5 days of written notice and diligently complete the correction thereafter. If termination pursuant to this subdivision is given to Consultant and a court of law later determines that the Consultant was not in default or the default was excusable, then the notice of termination provided for in this termination shall be deemed to have been given without cause pursuant to Subdivision C of this Section.

C. Either Party may terminate this Contract without cause on thirty ( 30) calendar days' written notice. Notwithstanding the preceding, if the term set forth in Section 3. A. of this Contract exceeds ninety ( 90) calendar days in duration, Consultant' s sole right to terminate shall be limited to termination for cause.

D. Consultant hereby acknowledges and agrees that the obligation of City ~o pay under
this Contract is contingent upon the availability of City' s funds which are appropriated or allocated by the City Council. Should the funding for the project and/or work set forth herein not be appropriated or allocated by the City Council, City may terminate this Agreement by furnishing at least thirty (30) calendar days' written notice of its intention to terminate. In the event of a termination pursuant to this subdivision, Consultant shall not be entitled to a remedy of acceleration of
payments due over the term of this Agreement. The Parties acknowledge and agree that the power to terminate described herein is required by Article 16, Section 18,. of the California Constitution, and that constitutional provision supersedes any law, rule, regulation or statute which conflicts with the provisions of this Section.

E. In the event that City gives notice of termination, Consultant shall promptly provide to City any and all finished and unfinished reports, data, studies, photographs, charts or other work product prepared by Consultant pursuant to this Contract. City shall have full ownership, including, but not limited to, intellectual property rights, and control of all such finished and unfinished reports, data, studies, photographs, charts or other work product.

FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 243 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) i
F. . In the event that City terminates the Contract, City shall pay Consultant the reasonable value of services rendered by Consultant pursuant to this Contract; provided, however, that City shall not in any manner be liable for lost profits which might have been made by Consultant had Consultant completed the services required by this Contract. Consultant shall, not later than ten (10) calendar days after termination of this Contract by City, furnish to City such financial information as in the judgment of the City' s
representative is necessary to determine the
reasonable value of the services rendered by Consultant.

G. In no event shall the termination or expiration of this Contract be construed as a waiver of any right to seek remedies in law, equity or otherwise for a Party' s failure to perform each obligation required by this Contra~t.

SECTION 4. MISCELLANEOUS TERMS AND CONDITIONS OF CONTRACT A. City shall make its facilities accessible to Consultant as required for Consultant' s performance of its services under this Contract, and, upon request of Consultant, provide labor and safety equipment as required by Consultant for such access.

B. Pursuant to the City' s business license ordinance, Consultant shall obtain a City business license prior to commencing work.

C. Consultant represents and warrants to City that it has all licenses, permits, qualifications and approvals of any nature whatsoever that are legally required for Consultant to practice its profession. Consultant represents and warrants to City that Consultant shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Contract any licenses, permits and approvals that are legally required for Consultant to practice its profession.

D. Consultant shall, during the entire term of this Contract, be construed to be an independeJ). t contractor and nothing in this Contract is intended, nor shall it be construed, to create an employer/employee relationship, association, joint venture relationship, trust or partnership or to allow City to exercise discretion or control over the professional manner in which Consultant performs under this Contract; provided, however, that the services to be provided by Consultant shall be provided in a manner consistent with the professional standards applicable to such services.

The sole interest of City is to insure that services are rendered and performed in a competent, efficient and satisfactory manner. Consultant shall be fully responsible for payment of all taxes due to state and federal governments which would be withheld from compensation if Consultant were a City employee. City shall not be liable for deductions for any amount for any purpose relating to Consultant' s compensation. Consultant shall not be eligible for coverage under City' s workers' compensation insurance plan, benefits under the Public Employee Retirement System or be eligible for any other City benefit. No party shall be the agent of, or have a
right or power to bind, the other Party without its express written consent.

FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 244 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) E. No provision of this Contract is intended to, or shall be for the benefit of, or construed to create rights in, or grant remedies to, any person or entity not a party
hereto.

F. No portion of the work or services to be performed under this Contract shall be assigned, transferred, conveyed or subcontracted without the prior written approval of City. Consultant may use the services of independent contractors and subcontractors to perform a portion of its obligations under this Contract with the prior written approval of City. Independent contractors and subcontractors shall be provided with a
copy of this Contract and Consultant shall have an affirmative duty to assure that said independent contractors and subcontractors comply with the same and agree to be bound by its terms. Consultant shall be the responsible party with respect to all actions of its independent contractors and subcontractors, and shall obtain such insurance and indemnity provisions from its contractors and subcontractors as City' s Risk Manager shall determine to be necessary.

G. Consultant, at such times and in such form as City may require, shall furnish City with such periodic reports as it may request pertaining to the work or services undertaken pursuant to this Contract, the costs or obligations incurred or to be incurred in connection therewith, and any other matters covered by this Contract.

H. For the purpose of determining compliance with Public Contract Code 10115, et s'eq. And Title 21, California Code of Regulations, Chapter 21, Section 2500 et seq., when applicable and other matters connected with the performance of the contract pursuant to Government Code 8546. 7; the Consultant, subcontractors, and the City shall maintain all books, documents, papers, accounting records, and other evidence pertaining to the performance of the contract, including but not limited to, the costs of administering the contract. All parties shall make such materials available at their respective offices at all reasonable times during the contract period and for three years from the date of final payment under the' contract. The state, the State Auditor, City, FHWA, or any duly authorized representative of the federal government shall have access to any books, records, and documents of the Consultant that are pertinent to the contract for audit, examinations, excerpts, and transactions, and copies thereof shall be furnished ifrequested.

1. Consultant shall perform all services required pursuant to this Contract in the manner and according to the standards observed by a
competent practitioner of
Consultant' s profession:. All products of whatsoever nature which Consultant delivers to City pursuant to this Contract shall be prepared in a professional manner
and conform to the standards of quality normally observed by a person practicing
the profession of Consultant and its agents, employees and subcontractors assigned to perform the services contemplated by this Contract.

J. All completed reports and other data or documents, or computer media including diskettes, and other materials provided or prepared by Consultant in accordance with this Contract are the property of City, and may be used by City. City shall have all intellectual property rights including, but not limited to, copyright and patent Packet Pg. 245 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) lI..
rights, in said documents, computer media, and other materials provided by Consultant. City shall release, defend, indemnify and hold harmless Consultant from all claims, costs, expenses, damage or liability arising out of or resulting from CitY's use or modification of any reports, data, documents, drawings, specifications or other work product prepared by Consultant, except for use by City on those portions of the City' s project for which such items were prepared.

K. Consultant, including its employees, agents, and sub consultants, shall not maintain or acquire any direct or indirect interest that conflicts with the performance of this Contract. Consultant shall comply with all requirements of the Political Reform Act Government Code S 8100 et seq.) and other laws relating to conflicts of interest, including the following: 1) Consultant shall not make or participate in a decision made by City if it is reasonably foreseeable that the decision may have a material effect on Consultant' s economic interest, and 2) ifrequired by the City Attorney, Consultant shall file financial disclosure forms with the City Clerk.

L. The Consultant agrees that the Contract Cost Principles and Procedures, 48 GFR, Federal Acquisition Regulations System, Chapter 1, Part 31 et seq., shall be used to determine the allowability of individual items of cost.

M. The Consultant also agrees to comply with Federal procedures in accordance with 49 CFR, Part 18, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments.

N. City agrees to comply with Federal procedures in accordance with Office of Management and Budget Circular A-I02, Uniform Administration Requirements for Grants- in-Aid to State and Local Governments.

O. Any costs for which payment has been made to the Consultant that are determined by subsequent audit to be unallowable under 48 CFR, Federal Acquisition Regulations System, Chapter 1, Part 31 et seq., or OMB Circular A-I02 Uniform Administration requirements for Grants- in-Aid to State and Local Governments, or 49 CFR, Part 18, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments, are subject to repayment by the Consultant to City.

P. In providing opinion of costs, financial analyses, economic feasibility projections, and schedules for the Project, Consultant has no control over cost or price of labor and materials; unknown or latent conditions of existing equipment or structures that may affect operation or maintenance costs; competitive bidding procedures and market conditions; time or quality of performance by third parties; quality type management, or direction of operating personnel; and other economic and operational factors that may materially affect the ultimate Project cost or schedule.

Therefore, Consultant makes no warranty that City' s actual Project costs, financial aspects, economic feasibility, or schedules will not vary from Consultant' s opinions, analyses, projections, or estimates. When City requires Consultant to prepare quantity and material take- offs and/or opinions of cost from plans and specifications FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 246 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) that are less than 100 percent complete, City will hold Consultant harmless from any and all loss, liability, or claims resulting from the incompleteness.

Q. City will examine Consultant' s studies, reports, sketches, drawings, specifications, proposals, and other documents; obtain advice of any attorney, insurance counselor, accountant, auditor, and other consultants as City deems appropriate; and render in writing decisions required by City in a
timely manner.

R. City will give prompt written notice to Consultant whenever City observes or becomes aware of any development that affects the scope or timing of Consultant' s services, or any defect in the work of Consultant.

S. City may suspend, delay, or interrupt the services of Consultant for the convenience of City. In the event of force majeure or such suspension, delay or interrupt, an equitable adjustment in the project's schedule, commitment, cost of Consultant' s personnel and subcontractors, and Consultant' s
compensation will be made.

T. City may make or approve changes within the general scope of services in this Contract. If such changes affect Consultant' s cost of or time required for performance of the services, an equitable adjustment will be made through an amendment to this Contract.

U. City will provide to Consultant all data in City's
possession relating to Consultant' s
services on the project. Consultant will reasonably rely upon the accuracy, timeliness, and completeness of the information provided by City.

V. In soils, foundation, groundwater, and other subsurface investigations, the actual characteristics may vary significantly between successive test points and sample intervals and at locations other than where observations, exploration, and investigations have been made. Because of the inherent uncertainties in subsurface evaluations, changed or unanticipated underground conditions may occur that could affect total project cost and/or execution. These conditions and cost/execution effects are not the responsibility of Consultant.

W. The presence or duties of Consultant' s personnel at a construction site, whether as onsite representatives or otherwise, do not make Consultant or Consultant' s personnel in any way responsible for those duties that belong to City and/ or the construction contractors or other entities, and do not relieve the construction contractors or any other entity of their obligations, duties, and responsibilities, including, but not limited to, all construction methods, means, techniques, sequences, and procedures necessary for coordinating and completing all portions of the construction work in accordance with the construction Contract Documents and any health or safety precautions required by such construction work. Consultant and Consultant' s personnel have no authority to exercise any control over any construction contractor or other entity or their employees in connection with their work or any health or safety precautions and have no duty for inspecting, noting, observing, correcting, or reporting on health or safety deficiencies of the FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 247 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) construction contractor( s) or other entity or any other persons at the site except Consultant' s own personnel. The presence of Consultant' s personnel at a construction site is for the purpose of providing to City a greater degree of
confidence that the completed construction work will conform generally to th~ construction documents and that the integrity of the design concept as reflected in the construction documents has been implemented and preserved by the construction contractor( s). Consultant neither guarantees the performance of the construction contractor( s) nor assumes responsibility for construction contractor' s failure to perform work in accordance with the construction documents.

X. The Consultant warrants that he/ she has not employed or retained any company or person, other than a bona fide employee working for the consultant; to solicit or secure this agreement; and that he/ she has not paid or agreed to pay any company or person other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift, or any other consideration, contingent upon or resulting from the award, or formation of this agreement. For breach or violation of this warranty, the local agency shall have the right to annul this agreement without liability, or at its discretion; to deduct from the agreement price or consideration, or otherwise recover the full amount of such fee, commission, percentage, brokerage fee, gift, or contingent fee.

Y. Consultant shall execute the certification attached In Exhibit lO- F. Such certification shall be made a
part of this contract.

Z. City shall execute the certification attached in Exh~bit 10- G. Such certification shall be made a
part of this contract.

SECTION 5. INSURANCE
A. Unless modified in writing by City' s Risk Manager, Consultant shall maintain the following noted insurance during the duration of the Contract:

Coverage Required Not Required
Commercial General Liability X
Comprehensive Vehicle Liability X
Workers' Compensation and Employers' Liability X
Professional Liability ( Errors and Omissions) X
Place an " x" in the appropriate box)
B. Coverage shall be at least as broad as:

1. Insurance Services Office form number CG- OOO 1 or equivalent, Commercial General Liability Insurance, in an amount not less than $ 1, 000, 000 per occurrence and $ 2, 000, 000 general aggregate for bodily injury, personal injury and property damage; .

FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 248 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk)

2. Insurance Services Office form nu'inber CA-OOOlor equivalent, Comprehensive Automobile Liability Insurance, which provides for total limits of not less than $ 1, 000, 000 combined single limits per accident applicable to all owned, non- owned and hired vehicles; I

3. Statutory Workers' Compensation required by the Labor Code of the State of California and Employers' Liability Insurance in an amount not less than 1, 000, 000 per occurrence. Both the Workers' Compensation and Employers' Liability policies shall contain the insurer' s waiver of subrogation in favor of City, its elected officials, officers, employees, agents and volunteers;

4. Professional Liability ( Errors and Omissions) Insurance, appropriate to Consultant' s profession, against loss due to error or omission or malpractice in an amount not less than $ 1, 000, 000.

C. Any deductibles or self-insured retentions must be declared to and approved by City. At the option of the City, either: the insurer shall reduce or eliminate such deductibles or self-insured retentions as respects the City, its elected officials, officers, employees, agents and volunteers; or the Consultant shall procure a bond guaranteeing payment of losses and related investigations, claims administration and defense expenses.

D. The General Liability shall contain or be endorsed to contain the following provlSlons:

1. City, its elected officials, officers, employees, and agents are to be covered as additional insured as respects liability arising out of work or operations performed by or on behalf of Consultant; premises owned, leased or used by Consultant; or automobiles owned, leased, hired or borrowed by Consultant.

The coverage shall contain no special limitations on the scope of protection afforded to City, its elected officials, officers, employees, agents and volunteers.

2. The insurance coverage of Consultant shall be primary insurance as respects City, its elected officials, officers, employees, agents and volunteers. Any insurance or self-insurance maintained by City, its elected officials, officers, employees, agents and volunteers, shall be in excess of Consultant' s insurance and shall not contribute with it.

3. Coverage shall state that the insurance of Consultant shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer' s
liability.

4. Each insurance policy required by this Contract shall, be endorsed to state that coverage shall not be canceled except after thirty ( 30) calendar days' prior written notice has been given to City. In addition, Consultant agrees FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 249 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) that it shall not reduce its coverage or limits on any such policy except after thirty ( 30) calendar days' prior written notice has been given to City.

5. Endorsements should be provided on standard ISO forms appropriate to job.

Primary and Additional Insured endorsements must be provided and are separate from the certificate.

E. Insurance is to be placed with insurers with a current A.M.Best's rating of no less
than A-VII.

F. Consultant shall designate the City of Redding as a Certificate Holder of the insurance. Consultant shall furnish City with certificates of insurance and original endorsements affecting the coverage required by this clause. Certificates and endorsements shall be furnished to: Risk Management Department, City of Redding, 777 Cypress Avenue, Redding, CA 96001. The certificates and endorsements for each insurance policy are to be signed by a person authorized by
the insurer to bind coverage on its behalf. All endorsements are to be received and approved by the City' s Risk Manager prior to the commencement of contracted services. City may withhold payments to Consultant if adequate certificates of insurance and endorsements required have not been provided, or not been provided in a
timely manner.

G. The requirements as to the types and limits of insurance coverage to be maintained by Consultant as required by Section 5 of this Contract, and any approval of said insurance by City, are not intended to and will not in any manner limit or qualify the liabilities and obligations otherwise assumed by Consultant pursuant to this Contract, including, without limitation, provisions concerning indemnification.

H. If any policy of insurance required by this Section is a " claims made" policy, pursuant to Code of Civil Procedure S 342 and Government Code S 945. 6, Consultant shall keep said insurance in effect for a period of eighteen ( 18) months after the termination of this Contract.

1. If any damage, including death, personal injury or property damage, occurs in connection with the performance of this Contract, Consultant shall immediately notify City' s Risk Manager by telephone at ( 530) 225- 4068. No later than three ( 3) calendar days after the event, Consultant shall submit a written report to City' s Risk Manager containing the following information, as applicable: 1) name and address of injured or deceased person( s); 2) name and address of witnesses; 3) name and address of Consultant' s insurance company; and 4) a detailed description of the damage and whether any City property was involved.

SECTION 6. INDEMNIFICATION AND HOLD HARMLESS
A. Consistent with California Civil Code S 2782. 8, when the services to be provided under this Contract are design professional services to be performed by a design
professional, as that term is defined under Section 2782. 8, Consultant shall, to the FECERAL LANGUAGE- Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 250 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) fullest extent permitted by law, indemnify protect, defend and hold harmless, City, its elected officials, officers, employees, and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses, penalties and expenses ( including, but not limited to, reasonable attorney' s fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of, or resulting from, directly or indirectly, the negligence, recklessness, or willful misconduct of Consultant, its officers, employees or agents in the performance of professional services under this Contract, except when liability arises due to the sole negligence, active negligence or misconduct of the City. Notwithstanding the foregoing, the parties agree that Consultant' s obligation to defend the City is solely limited to reimbursing City for its cost for defending a claim if the finder of fact determines Consultant' s
negligence gave rise to such
claim.

B. Other than in the performance of professional services by a design professional, which is addressed solely by subdivision ( A) of this Section, and to the fullest extent permitted by law, Consultant shall indemnify protect, defend and hold harmless, City, its elected officials, officers, employees, and agents, and each and every one of them, from and against all actions, damages, costs, liability, claims, losses, penalties and expenses ( including, but not limited to, reasonable attorney' s fees of the City Attorney or legal counsel retained by City, expert fees, litigation costs, and investigation costs) of every type and description to which any or all of them may be subjected by reason of the performance of the services required under this Contract by Consultant its officers, employees or agents in the performance of professional services under this Contract, except when liability arises due to the sole negligence, active negligence or misconduct of the City. Notwithstanding the foregoing, the parties agree that City' s
obligation to defend the Consultant is solely
limited to reimbursing Consultant for its cost for defending a claim if the finder of fact determines City' s negligence gave rise to such claim.

C. In the event of concurrent negligence of Consultant and City, its elected officials, officers, employees, and agents the liability for any and all claims for injuries or damages to persons and/or property shall be apportioned under principles of comparative negligence as presented established in the State of California.

D. The Consultant' s obligation to defend, indemnify and hold harmless shall not be excused because of the Consultant' s
inability to evaluate liability. The Consultant
shall respond within thirty (30) calendar days to the tender of any claim for defense and indemnity by the City, unless this time has been extended in writing by the City. If the Consultant fails to accept or reject a tender of defense and indemnity in writing delivered to City within thirty ( 30) calendar days, in addition to any other remedy authorized by law, the City may withhold such funds the City reasonably considers necessary for its defense and indemnity until disposition has been made of the claim or until the Consultant accepts or rejects the tender of defense in writing delivered to the City, whichever occurs first. This subdivision shall not be Consulting and Professional Services Contract [ Rev. June 200C)]

Packet Pg. 251 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) construed to excuse the prompt and continued performance of the duties required of Consultant herein.

E. The obligation to indemnify, protect, defend, and hold harmless set forth in this Section applies to all claims and liability regardless of whether any insurance policies are applicable. The policy limits of said insurance policies do not act as a limitation upon the amount of indemnification to be provided by Contractor.

F. City shall have the right to approve or disapprove the legal counsel retained by Consultant pursuant to this Section to represent City' s interests. City shall be reimbursed for all costs and attorney' s fees incurred by City in enforcing the obligations set forth in this Section.

SECTION 7. CONTRACT INTERPRETATION. VENUE AND ATTORNEY FEES A. This Contract shall be deemed to have been entered into in Redding, California. All questions regarding the validity, interpretation or performance of any of its terms or of any rights or obligations of the parties to this Contract shall be governed by California law, and any action brought by either party to enforce any of the terms of this Contract shall be filed in the Shasta County Superior Court. If any claim, at law or otherwise, is made by either party to this Contract, the prevailing party shall be entitled to its costs and reasonable attorneys' fees.

B. This document,' including all exhibits, contains the entire agreement between the parties and supersedes whatever oral or written understanding each may have had prior to the execution of this Contract. This Contract shall not be altered, amended or modified except by a writing signed by City and Consultant. No verbal agreement or conversation with any official, officer, agent or employee of City, either before, during or after the execution of this Contract, shall affect or modify any of the terms or conditions contained in this Contract, nor shall any such verbal agreement or conversation entitle Consultant to any additional payment whatsoever under the terms of this Contract.

C. No covenant or condition to be performed by Consultant under this Contract can be waived except by the written consent of City. Forbearance or indulgence by City in any regard whatsoever shall not constitute a waiver of the covenant or condition in question. Until performance by Consultant of said covenant or condition is complete, City shall be entitled to invoke any remedy available to City under this Contract or by law or in equity despite said forbearance or indulgence.

D. If any portion of this Contract or the application thereof to any person or circumstance shall be invalid or unenforceable to any extent, the remainder of this Contract shall not be affected thereby and shall be enforced to the greatest extent permitted by law.

Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 252 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) E. The headings in this Contract are inserted for convenience only and shall not constitute a
part hereof. A waiver of any party of any provision or a breach of this Contract must be provided in writing, and shall not be construed as a waiver of any other provision or any succeeding breach of the same or any other provisions herein.

F. Each Party hereto declares and represents that in entering into this Contract, it has relied and is relying solely upon its own judgment, belief and knowledge of the nature, extent, effect and consequence relating thereto. Each Party further declares and represents that this Contract is made without reliance upon any statement or representation not contained herein of any other Party or any representative, agent or attorney of the other Party. The Parties agree that they are aware that they have the right to be advised by counsel with respect' to the negotiations, terms, and conditions of this Contract and that the decision of whether or not to seek the advice of counsel with respect to this Contract is a decision which is the sole responsibility of each of the Parties. Accordingly, no party shall be deemed to have been the drafter hereof, and the principle of law set forth in Civil Code ~ 1654 that contracts are construed against the drafter shall not apply.

G. In the event of a conflict between the term and conditions of the body of this Contract and those of any exhibit or attachment hereto, the terms and conditions set forth in the body of this Contract proper shall prevail. In the event of a conflict between the terms and conditions of any two or more exhibits or attachments hereto, those prepared by City shall prevail over those prepared by Consultant.

H. Not later than 30 days after completion of all deliverables necessary to complete the plans, specifications and estimate, the Consultant may request review by the City Engineer of unresolved claims or disputes, other than audit. The request for review will be submitted in writing.

I. Neither the pendency of a dispute, nor its consideration by the committee will excuse the Consultant from full and timely performance in accordance with the terms of this contract.

SECTION 8. SURVIVAL
The provisions set forth in Sections 3. E., 3. F., 4.E., 4.H., 4.J., 5, 6, 7.A., 7.B., 7.D., and

7. G. ofthis Contract shall survive termination of the Contract.

SECTION 9. COMPLIANCE WITH LAWS - NONDISCRIMINATION
A. Consultant shall comply with all applicable laws, ordinances and codes of federal, state and local governments.

B. In the performance of this Contract, Consultant shall not discriminate against any employee or applicant for employment because of race, color, ancestry, national Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 253 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) ongm, religious creed, sex, sexual orientation, disability, age, marital status, political affiliation, or membership or nonmembership in any organization.

Consultant shall take affirmative action to ensure applicants are employed and that employees are treated during their employment without regard to their race, color, ancestry, national origin, religious creed, sex, sexual orientation, disability, age, marital status, political affiliation, or membership or nonmembership in any organizl;ltion. Such actions shall include, but not be limit~d to, the following:
employment, upgrading, demotion or transfer, recruitment or recruitment advertising, layoff or termination, rates of payor other forms of compensation and selection for training.

SECTION 10. REPRESENTATIVES
A. City' s
representative for this Contract is Corri Vandiver, telephone number 530) 245- 7120, fax number ( 530) 245- 7024., All of Consultant' s questions pertaining to this Contract shall be referred to the above- named person, or to the representative' s designee.

B. Consultant' s
representative for this Contract is Bob Morrison, telephone number 530) 246- 8628, fax number ( 530) 246- 8625. All of City' s questions pertaining to
this Contract shall be referred to the above- named person.

C. The representatives set forth herein shall have authority to give all notices required herein.

SECTION 11. NOTICES
A. All notices, requests, demands and other communications hereunder shall be deemed given only if in writing signed by an authorized representative of the sender ( may be other than the representatives referred to in Section 10 and delivered by facsimile, with a hard copy mailed first class, postage prepaid; or when sent by a courier or an express service guaranteeing overnight delivery to the receiving party, addressed to the respective parties as follows:

To City:

Ms. Corri Vandiver
City of Redding, Engineering Division
777 Cypress Avenue
Redding, CA 96001
To Consultant:

Mr. Bob Morrison, S.E.

Morrison Structures, Inc.
1890 Park Marina Drive, Suite 104
Redding, CA 96001
B. Either party may change its address for the purposes of this paragraph by giving written notice of such change to the other party in the manner provided in this Section.

Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 254 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) C. Notice shall be deemed effective upon: 1) personal service; 2) two calendar days after mailing or transmission by facsimile, whichever is earlier.

SECTION 12. AUTHORITY TO CONTRACT
A. Each of the undersigned signatories hereby represents and warrants that they are authorized to execute this Contract on behalf of the respective parties to this Contract; that they have full right, power and lawful authority to undertake all obligations as provided in this Contract; and that the execution, performance and delivery of this Contract by said signatories has been fully authorized by all requisite actions on the part of the respective parties to this Contract.

B. When the Mayor is signatory to this Contract, the City Manager and/or the Department Director having direct responsibility for managing the services provided herein shall have authority to execute any. amendment to this Contract which does not increase the amount of compensation allowable to Consultant or otherwise substantially change the nature or scope of the services provided herein.

SECTION 13. DATE OF CONTRACT
The date of this Contract shall be the date it is signed by the City.

Consulting and Professional Services Contract [ Rev. June 200Q]

Packet Pg. 255 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) IN WITNESS WHEREOF, City and Con:mltant have executed this Contract on the days and year set forth below:

Dated: 12-1-, 2013
ATTEST:
t .,l.~"'-
t;
i~<. --:-
Dated: ,
4AIlt..

Jf 20 , 2013
Attachments:

Exhibit A (Scope of Work)
Exhibit B (Payment Terms)
Exhibit lO-F
Exhibit 10- G

CITY OF REDDING,
A Municipal Corporation
ja~ ~"?6--
By: RICK BOSET 1, Mayor
APPROVED AS TO FORM:

RICHARD A. DUVERNAY
City Attorney
By:
w: ~~~
BARRY E. DEWALT, Assistant City Attorney

CONSUL TANT
l2oB&lr L. p10t'Z/ UJ c,J.J:

I
PB . 0455 oS 8
Tax ID No.:

Consulting and Professional Services Contract [ Rev. June 2009]

Packet Pg. 256 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Exhibit A

CITY OF REDDING
Scope of Services for Professional Engineering Services for the Old Alturas Road Bridge over Churn Creek Replacement or Rehabilitation Project.

MORRISON STRUCTURES, INC. shall provide all equipment and labor resources necessary to perform the scope of engineering services described herein for the Old Alturas Road Bridge over Churn Creek Replacement or Rehabilitation Project.

Task 1: Project Management Review and Scheduling:

Morrison Structures will provide all Contract Management and Quality Control Services throughout the duration of the project including:

All meetings, agendas, and summaries,
Coordination and consultation with City staff in support of environmental documentation and permitting for project construction,
Coordination and consultation with utilities for possible relocations and or conflicts Schedules and schedule updates,
Prepare and submit monthly progress report with monthly progress payment. The monthly progress report shall include:
a) An overview of work accomplished during the previous month; b) A description of current key activities and an updated schedule for each task and subtask. The schedule shall be done in Microsoft Project; c) A list of problem areas, and proposed corrective actions; d) A list of tasks for the following month;
e) A bar graph showing total contract budget, monthly invoiced amounts, cumulative amount invoiced and project billings to end of project; f) An earned-value statement that shall clearly describe the relationship between fee to date, percent work complete, and percent time remaining; and g) A Schedule Summary indicating whether the prdject is on schedule and any schedule concerns or critical path items ( a Recovery Plan/ Schedule for any activities that fall more than 2 weeks behind schedule).

Develop a Quality Assurance/ Quality Control Program including a formal project specific Quality Plan (see Task 11).

Correspondence and project file maintenance in accordance with Caltrans files of City of Redding file management.

Morrison Structures' Project Manager will play an active role in the management and coordination of the project to include monthly meetings with City staff to discuss project status, problems, budgeting, and other areas that have an adverse effect on the work. This task should be broken out into the level of effort needed for each phase of work noted above ( Le. pre-design, final design, construction services). .

Task 2: Prepare Highway Bridge Program ( HBP) Scope Definition Form ( Exhibit 6-A) The City prepared and submitted a " minimal" application to Caltrans in April 2011. The application was approved and the project was programmed by the Federal Highway Administration ( FHWA). The City then submitted a Request for Authorization ( RFA) for preliminary engineering funds to complete the project scoping.

Exhibit A
Old Alturas Road Bridge Project
1 of 10 February 27, 2013
Packet Pg. 257 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Morrison Structures will be responsible for completing the following documents:

Exhibit 6-A, HBP Application/ Scope Definition Form
Caltrans Bridge Inspection Reports with SI&A Sheet
Schematic Bridge General Plan and Major Structure Data Sheet Photographs
Exhibit 7- B, Field Review Form
Exhibit 7 -C, Roadway Data Sheet
In addition, Morrison Structures Inc. will attend a Field Review meeting with City staff and Caltrans as required for the Exhibit 6-A Application and prepare a meeting summary to attach to Exhibit 6-A.

Bridge Inspection and Condition Survey and Life Cycle Cost Analysis The most recent Caltrans bridge inspection report indicates that no significant defects were found and the existing concrete slab superstructure and concrete piers and walls are in fair to good condition with some scour at Pier 2. It is necessary to verify with the City' s hydraulic engineer ifthe hydraulic capacity
of the existing bridge is sufficient such that it can be rehabilitated and widened. Following verification of hydraulic capacity, Morrison Structures will perform a visual inspection of the bridge. If our visual assessment indicates cores should be taken to further verify the condition of the concrete or that it is necessary to remove AC overlay in order to verify conditions we will notify the City. For developing this scope of services we have anticipated that no deck cores need to be taken.

Based on our inspection and condition survey, we will develop with the City the appropriate rehabilitation, including geometric ( widening) for the bridge and prepare a rehabilitation study that will compare rehabilitation with bridge replacement. The costs of the alternatives ( including costs associated with right~of-way, utilities, maintenance of traffic, and stage construction) will be compared using a life-cycle cost analysis. Our rehabilitation study report will be submitted to the City for their review that will include sketches of the alternatives and descriptions of the impacts to traffic, utilities, right- of-way, life-cycle costs, and recommendation of the most effective alternative.

Task 3: Support for Environmental Documentation and Permitting and Caltrans Local Assistance
The City will be responsible for preparing and submitting the permit applications and for paying all fees associated with environmental permits for the project. Morrison Structures will be responsible for coordinating with and providing technical support for City staff and or their consultants on all environmental requirements by all federal, state and local agendes and environmental support during each phase of the project; detailed scoping, APS, preliminary engineering, final design, and construction. These responsibilities shall include, but not be limited to:

Support for the appropriate environmental documents and any associated technical studies to clear the project( s) for construction.

Support for services may include but not limited to the following:

Coordination and consultation with utilities for possible relocations and or conflicts Mapping
Figures and Exhibits
Design information and data
Alternatives analysis
Project descriptions including construction
Support for all public meetings including; figures, posters, attendance, comment solicitation and preparation ofresponse to comments.

Morrison Structures Inc. will be responsible for coordinating with and submitting all documentation and forms required by Caltrans Local Assistance for federal aid projects. Morrison Structures Inc. will Exhibit A
Old Alturas Road Bridge Project
2 of 10 February27, 2013
Packet Pg. 258 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) provide service during all phases of the project: preliminary engineering, final design, and authorization for construction.

Task 4: Advanced Planning Study
Morrison Structures will prepare an Advanced Planning Study ( APS), equivalent to 30% submittal, addressing at a minimum:

Conduct Bridge Type Selection Process
Prepare Bridge General Plan
Access to existing business' adjacent to the project
Construction Staging
Hydraulic Study ( City Provided)
Geotechnical Studies
Utility Coordination
PG& E Gas
PG& E Electric
Redding Electric Utility ( REU)
Water
Wastevvater
Storm Drain
Cable
Telephone
Right- of-vvay requirements ( as needed)
Environmental Issues
Task 5: Data Collection and Field Survey
Morrison Structures' with subconsultant Sharrah Dunlap Savvyer will conduct all data collection, field surveys and all other information necessary to establish horizontal and vertical control, utility locations and property boundaries. This vvill include, but not be limited to the follovving:' Topographic and control surveys to establish elements required for plan preparation and construction
Utility information
Building and structure location data for tie in control Record/ as- built drawings
Environmental, Geotechnical or any other pertinent document revievv The basis for bearings will be the City of Redding monumentation, and coordination with the State Plane Coordinate System NAD 83 and NAVD 88 datums. '
Task 6: Geotechnical Investigation
Morrison Structures' subconsultant CGI Technical Services will perform a geotechnical investigation of
the subsurface conditions in the area of the bridge rehabilitation or replacement, and roadvvay. The geotechnical investigations vvill be consistent with typical Caltrans requirements and the data from the investigation will be used in the design of all underground structures, bridge foundation designs, and roadvvays.

A log of all test borings will be made available to the City Project Manager and included in the bridge plans per Caltrans standards. This vvork will include, but is not limited to, the following:

Site investigation
In- situ soil sampling, pavement boring and laboratory tests. The tests shall include, but not be limited to, determination of soil uRn value in nevv pavement areas and determination of existing Exhibit A 3 of 10 February 27, 2013
Old Alturas Road Bridge Project Packet Pg. 259 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) pavement structural section in areas abutting new paving work The City will provide design traffic index values
Determination ofground and slope stability
Log of test borings
Notification to City and Underground Service Alert ( USA) of all sampling work Morrison Structures Inc. and CGI will be responsible for obtaining all City and/ or Caltrans encroachment permits 'necessary for the geotechnical work and will coordinate with the City Project Manager at least 48 hours prior to any work on the site
Provide the City with five ( 5) copies of draft and final geotechnical report including recommendations for foundations and new pavement structural section design for roadways.

Prior to exploring the site, CGI will review existing, available g~otechnical information related to the design and construction of the existing bridge including the as- built drawings and 1963 drill hole logs.

Relevant geological maps of the project region and available plans showing buried utility locations in the development areas will be reviewed.

Proposed exploration locations will be marked and Underground Service Alert (USA) will be contacted.

Marking will consist of white paint marks and wood lathe ( in unpaved areas) at the proposed exploration locations. CGI will contact USA and obtain a Digalert number and will contact the City.

CGI will also obtain encroachment permits from the City for exploration within the Old Alturas Drive right- of-way. Associated with that permit will be the preparation of a traffic control plan for exploration within and near the traveled roadway. It is anticipated that one of the drill holes will require a lane closure, thus, necessitating the plan. It is anticipated that the permit will be issued with no fees because this is a City project.

We propose to explore the subsurface conditions at the site by advancing three exploratory drill holes.

The drill holes will be advanced using rotary- wash/ diamond coring methods. The drill holes will advance through alluvial soils and into the underlying Red Bluff and/ or Tehama Formations to a depth
of approximately 60 feet below ground. Drilling will be performed by Diamond Core Drilling of Redding, California.

Two drill holes will be situated out of the traveled lanes close to the existing abutment locations. The third drill hole will be situated in the approximate center of the existing bridge. A 4-inch diameter core will be used to penetrate the asphaltic concrete ( AC) paving and the 20-inch-thick concrete bridge deck and advance the drill hole through the bridge deck and within the active creek channel. A casing will be
inserted through the core hole and hammered as far as possible into the mudline within the creek.

Drilling will then advance through the casing into the soils below. Upon completion of this drill hole, the drilling fluids will be evacuated from the casing and barreled for disposal. The concrete will be patched using quick- set concrete and the AC patched using AC cold patch materials.

A CGI California certified engineering geologist or licensed geotechnical engineer will log the soils and rocks exposed in the explorations, and will obtain samples ( at 5~foot interval) for visual examination, classification, and laboratory testing. Logging of soils and rock materials will conform with the 2010 Caltrans Soil and Rock Logging Manual. Soil samples will be obtained during exploration using California Modified Split- spoon and Standard Penetration Test (SPT) samplers.

Upon completion, the drill holes will be backfilled using bentonite- cement grout. In areas where AC has been disturbed, cold-patch AC will be used to patch the remainder of the hole to flush with the top of the existing AC surface. The excavated drill hole cuttings will be disposed of on- site within the City right- of-way. We will estimate exploration locations using a compass and tape measure from known
geographic indicators available on site maps.

Traffic control will be needed when exploring within the existing roadway and bridge. Traffic control will be provided by Traffic Solutions under the conditions set forth in the encroachment permit.

Exhibit A
Old Alturas Road Bridge Project
4 of 10 February 27, 2013
Packet Pg. 260 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Soil samples obtained will be delivered to CGI's
laboratory for testing. It is anticipated that the
following laboratory tests will be performed during the course of this study:

ANTICIPATED LABORATORY TESTING SCHEDULE
Standard Test Number
Test
Method of Tests
In-Situ Moisture/ Density ASTM D2937 20 to 30
Grain- Size Distribution ASTM D422 2
Atterberg Limits - ASTM D4318 2
Direct Shear ASTM D 3080 1
Soil Chemistry (for cement typing) AASillO T290/291 2
Maximum Density/ Optimum Moisture ASTM D1557 1
R- Value Ca1301 1
The actual types and number of tests that will be performed cannot be estimated until after the field exploration has been performed.

Upon completion of testing the following evaluations will be made so that geotechnical recommendations can be prepared for the project. Those evaluations will include the following:

Subsurface soil and rock profiles across the site;
Areas of concern regarding groundwater;
Geologic hazards ( liquefaction, landsliding, fault rupture, etc.); Excavatability of the on- site soils and rocks;
Identification of areas that might need overexcavation during grading; Nominal foundation bearing capacity with resistance factors ( LRFD); Axial and lateral pile loading curves;
Anticipated pile tip elevations;
Anticipated total and differential settlement values beneath the bridge foundations; Lateral earth pressures for retaining wall/ abutment design; Slope stability and maximum allowable slope inclinations; Seismic design parameters using Caltrans Seismic Design Criteria ( 2009) and 2007 Caltrans Deterministic PGA Map;
Caltrans Acceleration Response Spectra; and
Soil chemistry evaluation for corrosion and cement type suitability.

Results of the field investigation, laboratory tests, and engineering analyses will be summarized and concluded in a
report that will contain, at a minimum, the following:

A
description of the proposed project including a site plan showing the approximate locations of the explorations advanced for this study;.

A description of the site surface and subsurface conditions encountered at the time of our field investigation;
Recommendations related to geotechnical aspects of:
a) Site preparation, engineered fill, and subgrades;
b) Suitability of on site materials for use as engineered fill; c) Engineered fill placement, including approach fills; d) Slope stability of bridge foundation areas;
Exhibit A
Old Alturas Road Bridge Project
5 of 10 February 27, 2013
Packet Pg. 261 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) e) Seismic design criteria, including ARS curves;
f) Inclinations for temporary cut slope slopes, and permanent cut and fill slopes; g) Shoring, and trench backfill;
h) Foundation design and construction, included recommended pile tip elevations; i) Retaining wall construction;
j) Cement type based on soil chemistry; and
k) Structural pavement sections;
An appendix presenting a
summary of the field investigation including the Logs of Test Borings ( LOTBs) denoting- sampling intervals and laboratory test results.

An appendix presenting our laboratory testing program and results of laboratory testing; and
A map showing the distribution of surficial geological materials across the site.

We will submit a digital copy of the draft geotechnical report for review along with 5 copies. Upon
receipt of comments concerning the draft report, we will edit the document and submit five final report hardcopies along with a
reproducible file in a *. pdf format.

Task 7: Hydraulic Study Report
The City will be responsible for the hydraulic services for design analysis and study report that defines the effects of the approved bridge project and its construction process on Churn Creek In support of this effort, Morrison Structures will coordinate with and assist the City as necessary by providing technical support for the City staff. The hydraulic design services and report will include at a minimum:

An evaluation of existing conditions
Identify changes in the water surface elevations as a result of the project and potential scouring effects
Identification of FEMA concerns.

Task 8: Utility Coordination
Morrison Structures will perform subsurface utility engineering in conformance with ASCE 38- 02 and Caltrans Policy on high and low risk underground facilities to identify possible conflicts. The utilities include but are not limited to: PG& E, REU, Redding Municipal Utilities ( RMU), AT& T, and Charter.

Morrison Structures will be responsible for the coordination with each utility, including the relocation of utilities as needed to eliminate a delay in the design project and will plan for all associated utilities in the design of the project.

Task 9: Right-of-Way
Morrison Structures will coordinate with City staff to identify any right- of-way required for the project.

If it is determined that right- of-way will be required, Morrison Structures with their subconsultant Sharrah Dunlap Sawyer will be tasked to provide additional right- of-way services. These services will be considered additional work and will require an amendment to the contract. These services would include:

Right- of-way research
Right- of-way mapping
Acquisition Status Maps
Plat Maps and Legal Descriptions
Appraisals
Property Acquisition
Exhibit A
Old Alturas Road Bridge Project
6 of 10 February 27, 2013
Packet Pg. 262 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Task 10: Preparation of Contract Documents
Morrison Structures will prepare all contract documents ( roadway and bridge construction plans, specifications, and cost estimates) in accordance with City of Redding and Caltrans standards as detailed in the Capital Improvement and Maintenance Project Submittal Requirements, and as directed.

Design services shall include, but not be limited, to the following: ' Design calculations, plan preparation, technical specification preparation, special provision preparation, engineers cost estimates and all other appropriate engineering necessary to provide complete contract documents, ready for bidding. Morrison Structures will prepare geometric approval drawings ( base plans) for the entire work site. The base plans will show the existing roadway and drainage facilities, the right of way lines, all existing nearby structures, fences, driveways, poles, signs and any trees and shrubs in the general facility of the work site. The base plans will also show utility facilities such as fire hydrants, valves, manholes, and electrical equipment. The location of all utilities shown on the base plans will be verified with the appropriate utilities.

Morrison Structures will submit for approval a
sample plan sheet and legend showing the proposed
symbols, line work and lettering for all existing and proposed improvements.

All designs shall comply with any and all appropriate federal, state and local design standards and guidelines including:

City of Redding Construction Standards
AASHTO guidelines
Caltrans Highway Design Manual
Caltrans Bridge Design Specifications
Caltrans Bridge Design Details
Caltrans Bridge Design Aids Manual
Caltrans Bridge Memos to Designers
Caltrans Bridge Design Practice
Caltrans Drafting and Plans Manual
Bridge and other design services shall at a minimum include, but not be limited, to the following:

Prepare Bridge General Plan Estimate
Bridge Design and Plan Preparation
Bridge Design Independent Chefk
Prepare Bridge Specification Special Provisions
Prepare Bridge Quantities
Other Design Services
Roadway
Drainage
Redding Municipal Utilities (Water and Wastewater)
Utilities ( Telephone, Gas, Electrical, Cable)- Coordinatation with all utilities to ensure horizontal and vertical conflicts are identified and resolved through design or relocations.

An independent constructability review for the project will be accomplished at the appropriate design stages.

Final drawings will be prepared on 22" x 34" mylars for original signatures. Submittals for review will be at the appropriate design stages with drawings reduced by 50% and specifications on 81h" x 11" reproducible paper. Ten ( 10) sets will be included at the review stages to allow the City and all other appropriate agencies consulted to provide a
thorough review of the project documents. A
complete and
final set of contract documents, including plans, specifications, and estimates will be submitted on reproducible compact disk that meet all City requirements.

Exhibit A
Old Alturas Road Bridge Project
7 of 10 February 27, 2013
Packet Pg. 263 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Complete bid packages shall be prepared incorporating all City standard general proVIsIOns, instructions and notice to bidders, technical specifications, special provisions, federal provisions, if required and approved plans reduced by 50%
Formal submittals ( plans, specifications and estimates) will occur at the 30 percent (APS), 60 percent, 90 percent, and 100 percent Final Package completion points for City and outside agency review.

Submittal formats shall follow the City guidelines. Morrison Structures will respond to, and incorporate, ifappropriate, any and all comments received from the City or any other regulatory or utility agency.

QUALITY CONTROL PLAN
Morrison Structures will have a Quality Control Plan in effect to assist quality assurance during the entire time work is in effect.

Morrison Structures has total responsibility for the accuracy and completeness of the plans, calculations, related documents, and all other work furnished and shall \ meet that responsibility through the implementation of a Quality Control Plan. Morrison Structures Qu'ality Control Plan shall be in effect throughout the entire Contract and, at a minimum, shall establish the process necessary to ensure the following and all design is done in accordance with good engineering practice and all work meets the standards set forth herein.
a) The Quality Control Plan shall establish a
process whereby all work is independently checked,
corrected and re- checked, in accordance with accepted practice, by a qualified engineer,
registered in the State of California. All job related correspondence and memoranda are routed and received by affected persons and then bound in appropriate job files. All original drawings and calculations shall be maintained for the duration of .the design contract and submitted to the City at the completion of the work
b) Coordination and checks are provided on those drawings that show different work in the same area ( i.e. plans coordinated with specifications), to see that conflicts and misalignment do not occur between plan sheets, and between the plans and specifications. c) Morrison Structures will verify the constructability of the plans in relation to City' s Construction Standards, the " Greenbook" 2009 edition ( if utilized), modified CSI format ( if utilized), Caltrans Standards, independent technical specifications and the project special provisions.
d) Delivery of plans and computations must be accompanied by supporting documentation that demonstrates Morrison Structures is following its Quality Control Plan. The documentation may include copies of appropriate lists of deliverables, tables, plan sheet punch lists, etc., which show columns for checking, revising, back-checking, and quality control reviews. Design review submittals hot accompanied by sufficient verification of quality control procedures will be returned to us. Documentation of quality assurance procedures is considered to be a requisite
element of each review submittal.
e) Prior to the above indicated submittals, Morrison Structures will perform an internal quality control and constructability review with engineers experienced in the;appropriate discipline( s), and identify personnel responsible for this review, prior to the review. Morrison Structures will then provide the review results to City.
30% Design ( General Plan Estimate)
For purposes of planning work hours we have assumed the structure will be rehabilitated ( widened). If the life-cycle cost study determines the structure is to be replaced this will result in an increased level of effort required for bridge and approach design. Prior to proceeding with 30% design, Morrison Structures Inc. will notify the City of any anticipated changes in level of effort and negotiate equitable Exhibit A
Old Alturas Road Bridge Project
8 of 10 February 27, 2013
Packet Pg. 264 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) changes in fee.

Design criteria, preliminary layouts, and alternative alignments for the bridge will be developed in close cooperation with the City. The height and length of the bridge will be determined on the basis of the hydraulic study results by the City and the site topography of the selected alignment. The bridge design will then be developed by considering the required bridge length and height, foundation requirements, and other engineering, environmental, and economic considerations.

A General Plan of the selected bridge alternative for the site will be prepared along with a General Plan Estimate and submitted to the City for approval.
60% Bridge Design ( 60% PS& E)
Upon approval of the General Plan, a 60% preliminary design, plans, special proVIsIOns, and a construction cost marginal estimate for the bridge will be prepared. The 60% plans, special provisions, and marginal estimate will be submitted to the City for review.

The bridge design will be in accordance with the current AASHTO guidelines, Caltrans Highway Design Manual, current AASHTO LRFD Bridge Design Specifications and Caltrans Amendments, Bridge Design Details Manual, Bridge Design Aids Manual, Bridge Memos to Designers, and City standards. Design live loading will be HL 93 with ' Low- Boy' and P- 15. Seismic design will be in accordance with current Caltrans Seismic Design Criteria ( SDC).

The new or rehabilitated structure will be on curvilinear alignment and will likely be about 143- footlong, 65 feet wide, cast-in-place, conventional or post- tensioned concrete slab superstructure on pile supported pier walls and diaphragm abutments.

The road and structure details and specifications will be prepared in accordance with the 2010 edition of Caltrans Standard Plans, Standard Specifications, and Standard Special Provisions.

Morrison Structures will coordinate with the City in laying out the roadway and structure drawings, developing details, and providing consultation to the City during the environmental permit application process.

A set of quantity calculations will be prepared in accordance with the Caltrans Bridge Design Aids manual. These quantities will be used as the basis for the Engineer' s Estimate of construction cost for the road and bridge items. A list of SSP' s, and a
specification issues log for the bridge items will also be developed.
60% PS& E - Unchecked details, consisting of 100 percent designed and detailed plans ready for the independent check, will be submitted to the City for review and comment. Plan review submittals will be half-size sheets ( 11" x17").

Deliverables:
10 sets of llx17 plans.
10 sets of Outline Specifications.
10 set ofEngineer' s Estimate.
90% Design ( 90% PS& E)
Morrison Structures shall perform an independent plan check of the 60% unchecked structure plans.

The check shall include calculations to verify structure layout, geometry and conformance with the bridge design criteria. Discrepancies raised by the checker shall be discussed with the structural designer and shall be resolved. The 90% PS& E shall reflect agreement among the structural designer and independent checker.

Exhibit A
Old Alturas Road Bridge Project
9 of 10 February 27, 2013
Packet Pg. 265 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Deliverables:
10 sets of 11x17 checked and signed plans.
10 sets of Engineer' s Estimate.
10 sets of edited SSP' s.

Final Design ( PS& E)
Following the 90% PS& E review by City, agreed upon revisions shall be made to the PS& E. Morrison Structures shall prepare final road and structure item quantities and Engineer' s Estimate to use in preparing the contract bid documents. The revised and final PS& E shall be submitted to the City for final approval.

Upon the City' s final approval of the PS& E package, an original set of stamped and signed plans, special provisions and engineers' estimate will be provided to the City in hard copy and on compact disk for its use in soliciting bids.

Deliverables:
1 set of 11x17 plans and special provisions signed and sealed. 1 Mylar set of 22 x 34 plans signed and sealed.
1 copy of Engineer' s Estimate.
1 copy ofbid item quantity calculations.
1 set of final structural design calculations.
1 set of final independent check calculations.

Compact disk copy of signed plans, special provisions, and engineers' estimate.

RE Pending File, including related information as found in Section 4- 9 of the Caltrans OSFP Information and Procedures Guide.

Task 11: Assistance During Bidding & Construction
Morrison Structures will provide assistance to the City during the bidding and construction phases of the project to ensure the contractor understands all technical aspects of the design and any design changes. This work will include the following:

Participate in pre- bid meetings for prospective bidders to answer contractor and supplier technical questions,
Review of technical contractor and supplier submittals, Coordinate through the City responses to contractor and supplier technical questions during bidding and prepare any addenda req'uired,
Provide any drawings, modifications and clarifications during the bidding period, Attend all pre- construction conferences,
Provide ongoing consultation and interpretation of contract documents as required, Assist the City with submittal reviews, preparation of change orders, and response to requests for information related to technical design issues encountered, Prepare design clarifications to clarify the design intent, Attend all final inspections,
Prepare as- built drawings following construction from markups by the contractor and resident engineer. As- built markups will be made by hand, on the original mylars in permanent ink. The original designers stamp and signature will be maintained on the as- built drawings. An " AsBuilt" or " Record Drawing" stamp shall be added to the drawings.

Exhibit A
Old Alturas Road Bridge Project
10 of 10 February 27, 2013
Packet Pg. 266 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Exhibit B

CITY OF REDDING

CONSULTING AND PROFESSIONAL SERVICES CONTRACT
Proposed Cost and Fixed Fee for providing engineering design and construction support for the Old Alturas Road Bridge over Churn Creek Replacement or Rehabilitation Project
Summary
Morrison Structures Labor
Misc
Description Hours Cost Expenses Subs Total
Top Task - Design Services
Advanced Planning 342 $ 48, 290.96 $ 363. 50 $ 26,866.00 $ 75, 520.46 Preliminary Design 584 $ 69, 723.00 $ 363. 50 $ 37, 132. 18 $ 107, 218. 68 Final Design 623 $ 80, 261.50 $ 363.50 $ 31, 153. 00 $ 111, 778. 00 Design Services Cost Subtotal 1549 $ 198, 275. 46 $ 1, 090. 50 $ 95, 151.18 $ 294, 517. 14 Top Task - Construction Services
Bidding and Construction 181 $ 22, 843.87 393 0 $ 23, 236. 87 Construction Services Cost Subtotal 181 $ 22, 843. 87 393 0 $ 23, 236. 87 Cost Total 1730 $ 221, 119. 33 $ 1, 483. 50 $ 95, 151.18 $ 317, 754. 01 Expenses & Sub Markup $ 0. 00
Fixed Fee $ 28,745. 51
Grand Total $ 346, 499. 52
Packet Pg. 267 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Contract No.

Consultant:

DIRECT LABOR
Classification
Advance Planning
Structural Engineer ( E6)
Associate Engineer ( E3)
Engineer ( E2)
Technician ( T2)
Preliminary Design Development
Structural Engineer ( E6)
Associate Engineer ( E3)
Engineer ( E2)
Technician ( TI)
Final Design
Structural Engineer ( E6)
Associate Engineer ( E3)
Engineer ( E2)
Technician ( TI)
Services During Bidding and Construction
Structural Engineer ( E6)
Associate Engineer ( E3)
Engineer ( E2)
Technician ( T2)
Old Alturas Road Bridge over Churn Creek Project
Morrison Structures, Inc.

Date: 27- Feb- 13
Name
Morrison, Jr. Bob
Roesner Dean
Maue Ben
Gallino Janet
Morrison, Jr. Bob
Roesner Dean
Maue Ben
Gallino Janet
Morrison, Jr. Bob
Roesner Dean
Maue Ben
Gallino Janet
Morrison, Jr. Bob
Roesner Dean
Maue Ben
Gallino Janet
Initial
Hourly
Hours Rate Total
133 $ 85. 93 $ 11, 428. 69
99 $ 54. 40 $ 5, 385. 60
86 $ 48.52 $ 4, 172. 72
24 $ 34. 77 $ 834.48
342 $ 21, 821.49
117 $ 85. 93 $ 10, 053. 81
190 $ 54.40 $ 10, 336. 00
108 $ 48. 52 $ 5, 240. 16
169 $ 34. 77 $ 5, 876. 13
584 $ 31, 506. 10
163 $ 85. 93 $ 14, 006. 59
174 $ 54. 40 $ 9,465. 60
118 $ 48. 52 $ 5, 725.36
168 $ 34. 77 $ 5, 841.36
623 $ 35, 038. 91
44 $ 85~93 $ 3, 780. 92
40 $ 54.40 $ 2, 176. 00
47 $ 48. 52 $ 2, 280.44
50 $ 34. 77 $ 1, 738. 50
181 $ 9,975. 86
1730 $ 98, 342.36
1, 576. 00
Subtotal Direct Labor
Anticipated Salary Increases
assumes 3. 5% rate increase in 2014) - Applied
to Final Design and Services During
Construction
Total Direct Labor Cost 99, 918. 36
Indirect Overhead Rate @ 121.30% 121, 200. 97
Subtotal Direct Labor and Indirect Overhead Rate
FIXED FEE 13. 00%
221,119. 33
28,745. 51
OTHER COSTS ( refer to attached detail)
Expenses ( mileage, binders, supplies, etc.)
Subconsultants
SDS ( Topo Survey, R/W Easement, Util Surveys)
Advanced Engineering Graphics ( Technician Services)
Curalium Consulting ( DBE, Technical editing and writing) CGl Technical Services ( Geotechnical Engineering Services) R Valentine, Inc. (Independent Check)
1, 483. 50
18, 150. 00
36, 210. 00
4,880. 00
20, 911.18
15, 000. 00
Subtotal Other Costs
Markup Other Costs 0. 00%
96, 634. 68
00 GRAND TOTAL 346, 499. 52
Packet Pg. 268 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Old Alturas Road Bridge over Churn Creek
Replacement
Subcontractor
Chargeable Tasks, All Budgets, without Budget Subtotals, Without Period Subtotals, without Estimating Frequency Subtotals
Task/Subcontractor Description Unit Quantity Rate Amount Top Task - Design Services
Advanced Planning
SDS DOLLARS 16, 107. 00 1.00 16, 107. 00
Advanced Engineering Graphics DOLLARS 8, 075.00 1.00 8, 075. 00 Curalium Consulting DOLLARS 2, 684. 00 1.00 2, 684. 00
cm Technical Services DOLLARS 0. 00 1.00 0. 00
R Valentine, Inc. DOLLARS 0. 00 1.00 0. 00
Preliminary Design Development
SDS DOLLARS 0. 00 1.00 0. 00
Advanced Engineering Graphics DOLLARS 14, 025. 00 1.00 14, 025. 00 Curalium Consulting DOLLARS 2, 196. 00 1.00 2, 196. 00
cm Technical Services DOLLARS 20, 91 U8 1.00 20, 911.18 R Valentine, Inc. DOLLARS 0. 00 1.00 0. 00
Final Design
SDS DOLLARS 2, 043. 00 1.00 2, 043. 00
Advanced Engineering Graphics DOLLARS 14, 110. 00 1.00 14, 110. 00 Curalium Consulting DOLLARS 0. 00 1.00 0. 00
CGI Technical Services DOLLARS 0. 00 1.00 0. 00
R Valentine, Inc. DOLLARS 15, 000. 00 1.00 15, 000. 00
Top Task - Construction Services
Bidding & Construction Support
SDS DOLLARS 0 1.00 0. 00
Advanced Engineering Graphics DOLLARS 0 1.00 0. 00
Curalium Consulting DOLLARS 0 1.00 0. 00
CGI Technical Services DOLLARS 0 1.00 0. 00
R Valentine, Inc. DOLLARS 0 1.00 0. 00
Subtotal for Subconsultants 95, 151. 18
Grand Total 95, 151.18
Packet Pg. 269 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) u
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Expense
Chargeable Tasks, All Budgets, without Budget Subtotals, without Period Subtotals, without Estimating Frequency,Subtotals
Expense Description Unit Quantity Rate Amount
Top Task - Design Services
Advanced Planning DOLLARS 363. 50 1.00 363.50
Preliminary Design DOLLARS 363. 50 1.00 363. 50
Final Design DOLLARS 363. 50 1.00 363. 50
Design Services Cost Subtotal DOLLARS 1090. 50 1.00 1090. 50 Top Task - Construction Services
Bidding and Construction DOLLARS 393.00 1.00 393. 00
Construction Services Cost Subtotal DOLLARS 393.00 1.00 393.00 Subtotal for Misc Expenses 1483. 50
Grand Total 1483. 50
Packet Pg. 271 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Contract No.

Subconsultant:

Old Alturas Road Bridge over Churn Creck Project
Sharrah Dun]ap Sawyer, Inc.

Date: 22- Feb- 13

DIRECT LABOR
Classification
Task I - Topographic Survey
Project Manager '
Party Chief
Chain Man
Project Administrator
Initial
Hourly
Name Hours Rate Total
Josh Martin 33 $ 39. 62 $ 1.307. 46
David Rovt'fa 42 $ 61.69 $ 2. 590. 98
Randy Clifford 41 $ 55. 72 $ 2, 284.52
Melanie Hunter 2 S 31.78 $ 63. 56
6,246. 52
Josh Martin 20 $ 39.62 $ 792.40
792. 40
Subtotal Direct Labor $ 7,038. 92
Anticipated Salary Increases S 352. 05
Task 2 - 4 ea. Right of Way Easements
Project Manager
Total Direct Labor Cost 7,390. 97
Indirect Overhead Rate @ 145.57% 10, 759.03
Subtotal Direct Labor and Indirect Overhead Rate

FIXED FEE
8, 150. 00
00 OTHER COSTS ( refer to attached detail)
Expenses ( mileage, supplies, etc.)
Subconsu] tants
Sub consult A
Sub consult B
Subtotal Other Costs 00
GRAND TOTAL 18, 150. 00
Packet Pg. 272 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Advanced Engingineering Graphics, Inc.

Cost Proposal for Old Alturas Bridge over Churn Creek Project Contract No.

Subconsultant: Advanced Engineering Graphics, Inc.

Date: 21- Feb- 13

DIRECT LABOR
Classification
Task 1 - Advanced Planning
Name Hours
Initial
Hourly
Rate Total
Technician Richard Uhlmann 95 $ 42. 85 $ 4, 070. 75
00 00
00 Task Total $ 4,070. 75
Task 2 - Preliminary Design Development
Technician Richard Uhlmann 165 $ 42. 85 $ 7,070. 25
00 00
00 Task Total $ 7,070. 25
Task 3 - Final Design
Technician Richard Uhlmann 166 $ 42. 85 $ 7, 113. 10
00 00
00 Task Total $ 7,113. 10
Subtotal Direct Labor
Anticipated Salary Increases
Total Direct Labor Cost
18, 254. 10
00 18, 254. 10
Indirect Overhead Rate @ 81. 00% 14, 785. 82
Subtotal Direct Labor and Indirect Overhead Rate

FIXED FEE
33, 039. 92
3, 170. 08
OTHER COSTS ( refer to attached detail)
Expenses ( mileage, supplies, etc.)
Subconsultants
Sub consult A
Sub consult B
Subtotal Other Costs 00
GRAND TOTAL 36, 210. 00
Packet Pg. 273 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Contract No.

Subconsultant:

DIRECT LABOR
Old Alturas Road Bridge over Churn Creek Project
Curalium Consulting
Date:

Initial
Hourly
RateClassificationNameHours
6A Documents, Advanced Planning Study, Life Cycle Cost Study Coral Cavanagh
Environ Documentation NES
22 $ 60. 00
Task Subtotal 22
2/21/2013
Total
1, 320. 00
00 00
00 1, 320. 00
1, 080. 00
00 00
00 1, 080. 00
Subtotal Direct Labor
Anticipated Salary Increases
40 2,400. 00
Subtotal Direct Labor and Indirect Overhead Rate
Coral 00Cavanagh 18 $ 60.

Task Subtotal 18
Total Direct Labor Cost 2,400. 00
FIXED FEE 10. 00%
Subtotal Other Costs

GRAND TOTAL
36IndirectOverheadRate@84. 85% 2, 036.

OTHER COSTS ( refer to attached detail)
Expenses ( mileage, supplies, etc.)
Subconsultants
Sub consult A
Sub consult B
4, 436.36
443. 64
00 4,880. 00
Packet Pg. 274 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Contract No.

Subconsultant:

DIRECT LABOR
Classification
Task 1 - Pre- Exploration
Senior Geologist
Task 2 - Field Exploration
Senior Geologist
Technician
Task 3 - Laboratory Testing
Senior Engineer
Task 4 - Geotechnical Analyses
Senior Engineer
Senior Geologist
Task 5 - Reporting
Senior Engineer
Senior Geologist
Old Alturas Road Bridge over Chum Creek Project Date: 22- Feb-13 CGI Technical Services, Inc.

Initial
Hourly
Name Hours Rate Total
Jim Bianchin 12 $ 58. 00 $ 696. 00
696. 00
Jim Bianchin 24 $ 58. 00 $ 1, 392. 00
Patrick Smith 8 $ 50. 00 $ 400. 00
32 $ 1, 792. 00
Azeddine Bahloul 2 $ 58. 00 $ 116. 00
116. 00
Azeddine Bahloul 24 $ 58. 00 $ 1, 392. 00
Jim Bianchin 6 $ 58. 00 $ 348. 00
30 $ 1, 740. 00
Azeddine Bahloul 12 $ 58. 00 $ 696. 00
Jim Bianchin 6 $ 58. 00 $ 348. 00
18 $ 1, 044. 00
Subtotal Direct Labor 80 $ 5,388. 00
Anticipated Salary Increases
Total Direct Labor Cost 5, 388. 00
Indirect Overhead Rate @ 80. 00% 4,310. 40
Subtotal Direct Labor and Indirect Overhead Rate

FIXED FEE
OTHER COSTS ( refer to attached detail)
Expenses ( mileage, supplies, etc.)
Subconsultants
Diamond Core Drilling
Cooper Testing Laboratory
HDR/Schiff Laboratory

14.00%
9, 698.40
1, 357. 78
1, 200. 00
7,900. 00
630. 00
125. 00
Subtotal Other Costs 9,855. 00
GRAND TOTAL 20,911. 18
Packet Pg. 275 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) i
if
Contract No.

Subconsultant:

Old Alturas Road Bridge over Churn Creek Date:

R N Valentine, Inc.

DIRECT LABOR
Classification
Final Design
Name
Valentine, Bob
Subtotal Direct Labor
Anticipated Salary Increases
Total Direct Labor Cost
Indirect Overhead Rate @
Subtotal Direct Labor and Indirect Overhead Rate

FIXED FEE

OTHER COSTS
Expenses ( mileage, supplies, etc,)
Subtotal Other Costs

GRAND TOTAL
Hours
93, 00%
10, 00%
Initial
Hourly
Rate
73 $ 96, 00
73 73
21- Feb-J3
Total
7,008, 00
7,008, 00
7,008, 00
7,008, 00
7,008, 00
6, 517.44
13, 525, 44
1, 352, 54
120, 00
120, 00
14, 997. 98
Packet Pg. 276 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) r
Local Assistance Procedures Manual EXHIBIT lO- F
Certification of Consultant, Commissions & Fees
EXHIBIT lO-F CERTIFICATION OF CONSVLTANT, COMMISSIONS & FEES I HEREBY CERTIFY that I am the President
Morrison Structures Inc.
and duly authorized
isrepresentativeofthefirmof whose address
1890 Park Marina Drive. Suite 104. Redding. CA 96001
expressly stated, neither I nor the above firm that I
represent have:
and that, except as hereby
a) employed or retained for a commission, percentage, brokerage, contingent fee, or other consideration, any firm or person ( other than a bona fide employee working solely for me or the above consultant) to solicit or secure this agreement; nor
b) agreed, as an express or implied condition for obtaining this contract, to employ or retain the services of any firm or person in connection with carrying out the agreement; nor c) paid, or agreed to pay, to any finn, organization or person ( other than a bona fide employee working solely for me or the above consultant) any fee, contribution, donation, or consideration of any kind, for or in connection with, procuring or carrying out this agreement.

I acknowledge that this Certificate is to be made available to the California Department of Transportation Caltrans) in connection with this agreement involving participation of Federal- aid Highway funds, and is subject to applicable state and federal laws, both criminal and civil.

FebrualY 13. 2013
Date)
Distribution: I) Local Agency Project File ( Original & Contract) 2) DLAE ( with contract copy)
08 12- 03
Page I
June 20, 2012
Packet Pg. 277 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk) Local Assistance Procedures Manual EXHIBIT 10- G
Certification of Local Agency
1 1
I
i
l
I
i
jEXHIBITlO- G CERTIFICATION OF LOCAL AGENCY
I HEREBY CERTIFY that I am the Associate Civil Engineer of the City of Redding , and that the consulting firm of
Morrison Structures, Inc , or its representative has not been required ( except as herein expressly stated), directly or indirectly, as an express or implied condition in connection with obtaining or carrying out this Agreement to:
a) employ, retain, agree to employ or retain, any firm or person, or b) payor agree to pay, to any finn, person or organization, any fee, contribution, donation, or consideration of any kind.

I acknowledge that this Certificate is to be made available to the California Department ofTransportation Caltrans) in connection with this Agreement involving participation of federal-aid highway funds, and is subject to applicable state and federal laws, both criminal and civil.

2../ I ~-i
W 13
I (
Date
f1ui { VJ
Signature)
i
j
i
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i
j'
i
t
l
I
I
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I
I
I
I
1 l
i'
Distribution: 1) Local Agency Project File ( original & Contract) 2) DLAE ( with contract copy)
OB 12.03

June 20, 2012
Packet Pg. 278 Attachment: Previous Staff Report 2020 (4.11(b)--Approve the Fifth Amendment to Contract (C-5900) Old Alturas Rd over Churn Crk)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize and approve the following actions relative to the Summary Vacation of a portion of Twin View Boulevard (A-2022-00426):
(1) Adopt Resolution summarily vacating a portion of Twin View Boulevard adjacent to Parcel Two as shown on the Record of Survey filed in Book 43 of Land Surveys at page 59, Shasta County Records described in Exhibit A and depicted in Exhibit B; (2) Find the action consistent with the General Plan; and (3) Find the action categorically exempt from environmental review under the California Environmental Quality Act Guidelines, pursuant to Section 15035 – Minor Alterations in Land Use Limitations.

Fiscal Impact
Adopting the Resolution will have no fiscal impact to the City of Redding (City). All costs associated with the processing of this project are paid by the applicant.

Alternative Action
The City Council may choose not to adopt the Resolution and leave this portion of Twin View Boulevard in place.

Background/Analysis
The portion of Twin View Boulevard being considered for summary vacation is approximately 45 square feet in area and lies southerly and adjacent to the parcel of land owned by the Applicant. This area of Twin View Boulevard was deemed to be prescriptive roadway by the State of California in 1964 when a realignment of Twin View Boulevard was necessitated by the construction of the Oasis Road interchange at Interstate 5. The applicant intends to develop his parcel of land at a future time and has requested the City to summarily vacate the portion of MEETING DATE: February 20, 2024
ITEM NO. 4.11(c)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(c)--Summary Vacation of a Portion of Twin View Boulevard (A-2022- 00426)
Michael Webb, Public Works
Director
Packet Pg. 279
Report to Redding City Council February 14, 2024
Re: 4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard Page 2 Twin View Boulevard as described in the attached Exhibit A and depicted in Exhibit B. This portion has not been used for any public purpose since the construction of Interstate 5 and contains no public facilities. The request was coordinated by the various City departments and it was determined there is no foreseeable need for public purposes.

This portion of Twin View Boulevard may be determined to be excess and eligible for summary vacation per Streets and Highways Code 8334. The summary vacation is consistent with the General Plan as it will reduce maintenance needs, not preclude uses consistent with current zoning, and will encourage design consistent with the surroundings.

Environmental Review
The summary vacation is consistent with the General Plan and staff have determined that it is exempt from environmental review under the California Environmental Quality Act Guidelines, pursuant to Section 15305 (Minor Alterations in Land Use Limitations). The Class 5 exemption allows for minor alterations to land use limitations, as long as the average slope on site is less than 20 percent and would not result in any changes in land use or density. This action will not result in the creation of any new parcels, nor will it change land use density. The existing General Plan and Zoning land use designations would remain as they currently exist and the average slope does not exceed 20 percent. In addition, the project area does not contain underlying values for wildlife habitat or other environmental resources. The action has no potential to have a significant impact on the environment.

Council Priority/City Manager Goals
• This agenda item is a routine operational item.
c: Pacific Gas and Electric Company, Land Rights Services AT&T California
Charter Communications
Attachments
^Resolution
^Exhibit A
^Exhibit B - Location Map
Notice of Exemption (unfiled)
Packet Pg. 280
Recording Requested by
City of Redding
Please Return to
City Clerk
P.O. Box 496701
Redding, CA 96049-6071
Documentary Transfer Tax: None
City of Redding EXEMPT
Rev. & Tax C.A. §11922

NO FEE-CITY BUSINESS
Gov. Code §6103
A.P.N. 074-415-004
RESOLUTION NO. 2024-____

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING SUMMARILY VACATING THE CITY’S INTEREST IN A PORTION OF TWIN VIEW BOUELVARD ADJACENT TO PARCEL 2 AS SHOWN ON THE
RECORD OF SURVEY FILED IN BOOK 43 OF LAND SURVEYS AT PAGE 59, SHASTA COUNTY RECORDS (ABANDONMENT APPLICATION A-2022-
00426)
WHEREAS:

A. The portion of Twin View Boulevard being considered for summary vacation is considered prescriptive roadway and is described in Exhibit “A” and shown on Exhibit “B” attached and made a part hereof by reference. The owner of the adjacent parcel has asked that the City vacate this portion of Twin View Boulevard.

B. This portion of Twin View Boulevard has not been used for roadway purposes and is not required for street or highway purposes.

NOW, THEREFORE, THE CITY COUNCIL DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS:

1. The recitals set forth above are true, correct and are hereby adopted as findings of fact.

2. Pursuant to Streets and Highways Code 8334, the City Council determines this portion of Twin View Boulevard to be excess and is unnecessary for present or prospective public street use.

3. The City Council approves the request to summarily vacate this portion of Twin View Boulevard adjacent to Parcel 2 as shown on the Record of Survey recorded in Book 43 of Land Surveys at

“B.”
Packet Pg. 281 Attachment: ^Resolution (4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard)

4. The vacation of this portion of Twin View Boulevard is consistent with the General Plan. This action will: reduce maintenance needs of public streets; will not preclude uses consistent with current zoning; and encourages design compatible with its surroundings.

5. The vacation of this portion of Twin View Boulevard Avenue qualifies as Categorically Exempt from environment review under the California Environmental Quality Act Guidelines Section 15305 – Minor Alterations in Land Use Limitations. No changes in land use or density will occur and areas affected contain an average slope of less than 20%. There is no possibility that this action will have a significant impact on the environment.

6. The City Clerk is directed to cause a certified copy of this Resolution of Vacation, attested by the Clerk under seal, to be recorded in the Office of the Shasta County Assessor/Recorder.

I HEREBY CERTIFY, that the foregoing resolution was introduced and adopted at a regular meeting of the City Council of the City of Redding on the 20th day of February, 2024, by the following vote:

AYES: COUNCIL MEMBERS:

NOES: COUNCIL MEMBERS:

ABSENT: COUNCIL MEMBERS:

ABSTAIN: COUNCIL MEMBERS:

________________________________
TENESSA AUDETTE, Mayor
ATTEST: APPROVED AS TO FORM:
_______________________________ _____________________________________ SHARLENE TIPTON, City Clerk CHRISTIAN M. CURTIS, City Attorney Packet Pg. 282 Attachment: ^Resolution (4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard) Packet Pg. 283
Attachment: ^Exhibit A (4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard) Packet Pg. 284
Attachment: ^Exhibit B - Location Map (4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard) Packet Pg. 285
Attachment: Notice of Exemption (unfiled) (4.11(c)--Adopt Reso for Summary Vacation of a Portion of Twin View Boulevard)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Accept Bid Schedule No. 5258 (Job No. 2488), Hollow Lane Storm Drain Project, awarded to Lakmann Builders, Inc., as satisfactorily complete, with a final cost of $883,071.

Fiscal Impact
This project was funded by Storm Drain Maintenance Funds. The total project cost is $883,071 and includes surveying, design, bidding, construction, field engineering, inspection, and contract administration.

Alternative Action
The City Council (Council) may choose not to accept the project as satisfactorily complete, and advise staff on how to proceed.

Background/Analysis
At its meeting on January 24, 2022, the Council awarded a construction contract to Lakmann Builders, Inc. for $536,526 and approved a $54,000 construction contingency fund. Also authorized was $98,000 for contract administration and construction inspection fees, and $210,000 for project development costs. The City Manager was authorized to approve additional increases in either the construction management or construction contingency amounts up to $15,000, for a total authorized project amount of $913,526. Project development costs include engineering, environmental, and consultant services.

MEETING DATE: February 20, 2024
ITEM NO. 4.11(d)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(d)--Project Acceptance, Bid Schedule No. 5258 Job No. 2488, Hollow Lane Storm Drain Project
Michael Webb, Public Works
Director
Packet Pg. 286
Report to Redding City Council February 14, 2024
Re: 4.11(d)--Project Acceptance BS 5258 Hollow Lane Storm Drain Project Page 2 Lakmann Builders, Inc. has completed all items of work on the Hollow Lane Storm Drain Project as of November 4, 2022, which was within the contract time frame. However, shortly after all items of work had been completed by the contractor, a nearby property used for staging developed flooding and drainage issues, ultimately requiring additional work and repairs by the contractor that could not be commenced until the next spring. The necessary work and repairs were successfully completed in July of 2023.

During construction, there were four change orders and contract item changes in the amount of $34,175 leaving a balance of $19,825 in the contingency fund. The final project cost was $883,071.

Cost Summary
Awarded Amounts Actual Cost
Project Development Costs $210,000 $210,000
Construction Contract +
Contingency $590,526
Construction Contract +
Contract Change Orders $570,701
Contract Administration &
Inspection $98,000 $102,370
City Manager Funds $15,000
Total $913,526 $883,071
The project consisted of replacing deteriorating double 66-inch corrugated metal pipe(s) with a 14-foot by 5-foot reinforced concrete box culvert at the Dry Gulch Creek crossing of Hollow Lane. The project also included replacing 260 linear feet of 8-inch sanitary sewer pipe, earthwork, asphalt concrete paving, curb, gutter, sidewalk, storm drain inlets and other miscellaneous items of work.

Environmental Review
This action is not project as defined by the California Environmental Quality Act (CEQA). On May 5, 2020, after considering public comments and alternative actions, Council adopted the Mitigated Negative Declaration, the Mitigation Monitoring Program, and approved the project, thereby satisfying the requirements of CEQA. No further action is required.

Council Priority/City Manager Goals
This agenda item is a routine operational item.

Attachments
^ Location Map
1-24-22 Previous Staff Report
Packet Pg. 287
Packet Pg. 288 Attachment: ^ Location Map (4.11(d)--Project Acceptance BS 5258 Hollow Lane Storm Drain Project)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the following actions relative to Bid Schedule No. 5258 (Job No. 2488), Hollow Lane Storm Drain Project:
(1) Award to Lakmann Builders, Inc., in the amount of $536,526; (2) Approve an additional $98,000 to cover the cost of administration and inspection fees; (3) Approve $54,000 to provide construction contingency funding; (4) Approve $210,000 for project development including environmental and permits; and (5) Authorize the City Manager to approve additional increases in either the construction management or construction contingency amounts up to a total of $15,000.

Fiscal Impact
Sufficient Storm Drain Maintenance funds have been budgeted for Fiscal Year 2021-22 to pay for this project.

Project cost components are estimates and some shifting of the project development, construction management, and construction contingency funds may be necessary to balance the project within the approved budget.

Alternative Action
MEETING DATE: January 24, 2022
ITEM NO. 4.11(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(a)--Award Bid Schedule No. 5258 (Job No. 2488), Hollow Lane Storm Drain Project
Cost Summary
Item Estimated
Project Development Costs $210,000
Construction Contract + Contingency $590,526
Contract Administration, Inspection, Testing $98,000
Additional City Manager Authority $15,000
Total Project Costs $913,526
Chuck Aukland, Public
Works Director
Packet Pg. 289 Attachment: 1-24-22 Previous Staff Report (4.11(d)--Project Acceptance BS 5258 Hollow Lane Storm Drain Project) Report to Redding City Council January 21, 2022
Re: 4.11(a)--Award Bid Schedule No. 5258 (Job No. 2488), Hollow Lane Storm Drain ProjectPage 2 The City Council (Council) may choose not to award Bid Schedule No. 5358 to Lakmann Builders, Inc., and direct Storm Drain maintenance crews to continue monitoring the adjacent sink hole and backfill as needed. Roadway failure on this single access road would eliminate access to approximately 27 homes.

Background/Analysis
Attached is the tabulation of bids received and opened on January 6, 2022, for the Hollow Lane Storm Drain Project (Project). The low bid in the amount of $536,526 was received from Lakmann Builders, Inc., a local Redding, California company. The engineer’s estimate was $500,000. Total project development costs for this project are estimated to be $210,000. Project development costs include engineering, environmental with permits, right of way acquisition and consultant services.

The project consists of replacing deteriorating double 66-inch corrugated metal pipe(s) with a 14-foot by 5-foot reinforced concrete box culvert at the Dry Gulch Creek crossing of Hollow Lane. The project also includes replacing 260 linear feet of 8-inch sanitary sewer pipe, earthwork, asphalt concrete paving, curb, gutter, sidewalk, storm drainage inlets and other miscellaneous items of work.

On May 5, 2020, after considering public comments and alternate actions, the Council adopted the Mitigated Negative Declaration (MND), the Mitigation Monitoring Program (MMP), and approved the project, thereby satisfying the requirements of the California Environmental Quality Act Guidelines §15074 (CEQA).

Council Priority/City Manager Goals
• This agenda item is a routine operational item.

Attachments
Bid Tabulation
Location Map
Notice of Determination
Packet Pg. 290 Attachment: 1-24-22 Previous Staff Report (4.11(d)--Project Acceptance BS 5258 Hollow Lane Storm Drain Project)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Accept Bid Schedule No. 5222 (Job No. 7336), Redding Aquatic Center 50-Meter Pool Improvements, awarded to Western Water Features, Inc., as satisfactorily complete, with a final cost of $1,255,347.

Fiscal Impact
The Redding Aquatic Center 50-Meter Pool Improvement Project (Project) was funded by the General Fund. The total project cost is $1,255,347 and includes surveying, design, bidding, construction, field engineering, inspection, and contract administration.

Alternative Action
The City Council (Council) may choose not to accept the project as satisfactorily complete, and advise staff on how to proceed.

Background/Analysis
On November 2, 2021, the Council awarded a construction contract for the project to Western Water Features, Inc. for $908,765 and approved a $110,000 construction contingency fund. Also authorized was $118,000 for contract administration and construction inspection fees, and $50,000 for project development costs. The City Manager was authorized to approve additional increases in either the construction management or construction contingency amounts up to $15,000, for a total authorized project amount of $1,201,765. Project development costs include engineering, environmental, and consultant services.

MEETING DATE: February 20, 2024
ITEM NO. 4.11(e)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(e)--Project Acceptance, Bid Schedule No. 5222, Job No. 7336, Redding Aquatic Center 50 Meter Pool Improvements
Michael Webb, Public Works
Director
Packet Pg. 291
Report to Redding City Council February 14, 2024
Re: 4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool Page 2 Western Water Features, Inc., has completed all items of work for the project as of May 26, 2023, which was within the contract time frame. The project warranty period expires one year from the completion date. Subsequently, the Public Works Department filed a notice of completion with Shasta County.

During construction, additional funds were requested or transferred to cover the costs of change orders as detailed in the attached reports. Additional funds included an increase of $20,000 to the construction management budget and $145,000 to the construction contingency budget to fund change orders, for a new total authorized amount of $1,351,765. During construction, there were six change orders in the amount of $239,582 leaving a balance of $15,418 in the contingency fund. The final project cost was $1,255,347.

Cost Summary
Awarded Amounts Adjusted Amounts Actual Cost
Additional New Total
Project Development Costs $50,000 $0 $50,000 $50,000
Construction Contract +
Contingency $1,018,765 $145,000 $1,163,765
Construction Contract +
Contract Change Orders $1,148,347
Contract Administration &
Inspection $118,000 $20,000 $138,000 $57,000
City Manager Funds $15,000 ($15,000) $0 $0
Total $1,201,765 $150,000 $1,351,765 $1,255,347
The project included the removal of existing 50-meter pool plaster and tile, as well as the removal of the activity pool water slide.

Environmental Review
This action is not a project as defined by the California Environmental Quality Act (CEQA). On November 2, 2021, Council determined that the project is categorically exempt from environmental review under CEQA Guidelines, pursuant to Section 15301, and no further action is required.

Council Priority/City Manager Goals
• This agenda item is a routine operational item.

Attachments
^Location Map
11-2-21 Previous Staff Report
02-06-23 Transfer of Project Funds Memorandum
2-21-23 Previous Staff Report
Packet Pg. 292
Packet Pg. 293 Attachment: ^Location Map (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the following actions relative to Bid Schedule No. 5222 (Job No. 7336) Redding Aquatic Center 50 Meter Pool Improvements Project:
(1) Award to Western Water Features, Inc. in the amount of $908,765; (2) Approve an additional $118,000 to cover the cost of administration and inspection fees; and $50,000 for project development costs;
(3) Approve $110,000 to provide construction contingency funding; (4) Authorize the City Manager to approve additional increases in either the construction management or construction contingency amounts up to a total of $15,000; and (5) Find that the Project is categorically exempt from the California Environmental Quality Act per Section 15301(d) - Existing Facilities.

Fiscal Impact
The Redding Aquatic Center 50 Meter Pool Improvement Project (Project) is being funded by the General Fund.

Cost Summary
Item Estimated
Project Development Costs $50,000
Construction Contract + Contingency $1,018,765
Contract Administration, Inspection, Testing $118,000
Additional City Manager Authority $15,000
Total Project Costs $1,201,765
Project Budget $1,800,000
Project cost components are estimates and some shifting of the project development, construction management, and construction contingency funds may be necessary to balance the MEETING DATE: November 2, 2021
ITEM NO. 4.11(g)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(g)--Award Bid Schedule No. 5222 (Job No. 7336) Redding Aquatic Center 50 Meter Pool Improvements
Chuck Aukland, Public
Works Director
Packet Pg. 294 Attachment: 11-2-21 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool) Report to Redding City Council October 25, 2021
Re: 4.11(g)--Award BS No. 5222, Redding Aquatic Center 50 Meter Pool Page 2 project within the approved budget.

Alternative Action
The City Council (Council) could choose not to award the bid for the Redding Aquatic Center 50 Meter Pool Improvement Project and provide staff with alternate direction. If the project is not awarded, the 50-meter pool at the Aquatic Center, as well as the waterslide at the activity pool, will have ongoing maintenance and be in jeopardy of failing.

Background/Analysis
Attached is a tabulation of bids received and opened on October 14, 2021, for the Redding Aquatic Center 50 Meter Pool Improvement Project. The low bid in the amount of $908,765 was received from Western Water Features, Inc., of El Dorado Hills, California. The engineer's estimate was $1,100,000. Total project development costs for this project are estimated to be $50,000. Project development costs include engineering, surveying, right-of-way, environmental, consultant services, and permit fees. There is $1,800,000 budgeted for the total project.

This project includes the removal of the existing 50-meter pool plaster and tile, in addition to the removal of the activity pool water slide. The project will install new plaster, tile, activity pool water slide, and complete water slide refurbishment.

Staff has determined that the project qualifies as Categorically Exempt from environmental review under California Environmental Quality Act Guidelines Section 15301. The project area does not have significant values for wildlife habitat or other environmental resources, and the project has no potential to have a significant effect on the environment.

Council Priority/City Manager Goals
• This agenda item is a routine operational item.

Attachments
Bid Tabulation
Location Map
Notice of Exemption
Packet Pg. 295 Attachment: 11-2-21 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool) Packet Pg. 296
Attachment: 02-06-23 Transfer of Project Funds Memorandum (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool) Packet Pg. 297
Attachment: 02-06-23 Transfer of Project Funds Memorandum (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve increases to the project budget in the amount of $150,000 for the completion of Bid Schedule No. 5222, Redding Aquatic Center 50 Meter Pool Improvement Project as outlined below for additional improvements:
(1) Increase of $20,000 to the construction management budget, bringing the construction management total to $138,000; and
(2) Increase of $130,000 to the construction contingency budget, bringing the construction contingency total to $240,000.

Fiscal Impact
The Redding Aquatic Center 50-meter Pool Improvement Project is being funded by the General Fund. The proposed $150,000 increase in funding is available in the existing allocation for the project in the Parks Division Budget. The total project cost, including the proposed increase, is expected to be $1,950,000.

Alternative Action
The City Council (Council) may choose to reject the request and provide alternative direction to staff.

Background/Analysis
On November 2, 2021, the Council awarded the construction contract for the project to Western Water Features, Inc. The project includes the removal of the existing 50-meter pool plaster and tile, as well as the removal of the activity pool water slide.

MEETING DATE: February 21, 2023
ITEM NO. 4.11(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(a)--Approve Increase to Project Budget for the Redding Aquatic Center 50 Meter Pool Improvement Project
Chuck Aukland, Public
Works Director

APPROVED
Packet Pg. 298 Attachment: 2-21-23 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool) Report to Redding City Council February 15, 2023
Re: 4.11(a)--Approve Increase to Project Budget for Redding Aquatic Center 50 Meter Improvement Project Page 2
During the course of construction, conditions in the field warranted design revisions to meet the original project intent. After the resurfacing of the 50-meter pool was completed, the water-stop in the expansion joint failed. The pool is leaking a significant amount of water and will continue to do so until it is repaired. The consultant design team recommends replacing the expansion joint with a poured-in place repair. The scope of work for this repair includes the following:
providing daily moisture conditioning to the new plaster finish, saw-cutting the old expansion ing and disposing of concrete, placement of
dowel in new rebar, using shotcrete in new concrete section, tiling of new sections to match existing sections, repairing any damaged plaster areas (if needed), and finally filling and balancing the pool. The noted changes will result in the contract bid item exceeding the bid quantity and the additional time needed will increase the construction management services required.

The additional work will cause the project budget to exceed the awarded amounts. An additional $150,000 is requested to cover increases to the construction contingency ($130,000) and construction management ($20,000) project components.

COST SUMMARY
Item Awarded Amount Projected Amount Increase
Contract Administration,
Inspection, Testing
$118,000 $138,000 $20,000
Construction Contingency $110,000 $240,000 $130,000
Revised Totals $228,000 $378,000 $150,000
Environmental Review
This action is not a project as defined by the California Environmental Quality Act (CEQA) Guidelines, and no further action is required. On November 2, 2021, the Council determined that the Redding Aquatic Center 50-Meter Pool Improvement Project is categorically exempt from review under the CEQA Guidelines, per Section 15301(d) Existing Facilities.

Council Priority/City Manager Goals
This agenda item is a routine operational item.

Attachments
Previous Staff Report 11-2-21

APPROVED
Packet Pg. 299 Attachment: 2-21-23 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Authorize the following actions relative to Bid Schedule No. 5222 (Job No. 7336) Redding Aquatic Center 50 Meter Pool Improvements Project:
(1) Award to Western Water Features, Inc. in the amount of $908,765; (2) Approve an additional $118,000 to cover the cost of administration and inspection fees; and $50,000 for project development costs;
(3) Approve $110,000 to provide construction contingency funding; (4) Authorize the City Manager to approve additional increases in either the construction management or construction contingency amounts up to a total of $15,000; and (5) Find that the Project is categorically exempt from the California Environmental Quality Act per Section 15301(d) - Existing Facilities.

Fiscal Impact
The Redding Aquatic Center 50 Meter Pool Improvement Project (Project) is being funded by the General Fund.

Cost Summary
Item Estimated
Project Development Costs $50,000
Construction Contract + Contingency $1,018,765
Contract Administration, Inspection, Testing $118,000
Additional City Manager Authority $15,000
Total Project Costs $1,201,765
Project Budget $1,800,000
Project cost components are estimates and some shifting of the project development, construction management, and construction contingency funds may be necessary to balance the MEETING DATE: November 2, 2021
ITEM NO. 4.11(g)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 4.11(g)--Award Bid Schedule No. 5222 (Job No. 7336) Redding Aquatic Center 50 Meter Pool Improvements
Chuck Aukland, Public
Works Director

APPROVED
Packet Pg. 300 Attachment: 2-21-23 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool) Report to Redding City Council October 25, 2021
Re: 4.11(g)--Award BS No. 5222, Redding Aquatic Center 50 Meter Pool Page 2 project within the approved budget.

Alternative Action
The City Council (Council) could choose not to award the bid for the Redding Aquatic Center 50 Meter Pool Improvement Project and provide staff with alternate direction. If the project is not awarded, the 50-meter pool at the Aquatic Center, as well as the waterslide at the activity pool, will have ongoing maintenance and be in jeopardy of failing.

Background/Analysis
Attached is a tabulation of bids received and opened on October 14, 2021, for the Redding Aquatic Center 50 Meter Pool Improvement Project. The low bid in the amount of $908,765 was received from Western Water Features, Inc., of El Dorado Hills, California. The engineer's estimate was $1,100,000. Total project development costs for this project are estimated to be $50,000. Project development costs include engineering, surveying, right-of-way, environmental, consultant services, and permit fees. There is $1,800,000 budgeted for the total project.

This project includes the removal of the existing 50-meter pool plaster and tile, in addition to the removal of the activity pool water slide. The project will install new plaster, tile, activity pool water slide, and complete water slide refurbishment.

Staff has determined that the project qualifies as Categorically Exempt from environmental review under California Environmental Quality Act Guidelines Section 15301. The project area does not have significant values for wildlife habitat or other environmental resources, and the project has no potential to have a significant effect on the environment.

Council Priority/City Manager Goals
This agenda item is a routine operational item.

Attachments
Bid Tabulation
Location Map
Notice of Exemption

APPROVED
Packet Pg. 301 Attachment: 2-21-23 Previous Staff Report (4.11(e)--Project Acceptance BS 5222 Redding Aquatic Center 50 Meter Pool)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Approve the following actions relative to the Good News Rescue Mission’s acquisition of 3145 Veda Street (Assessor’s Parcel Number (APN) 104-620-052-000) and 3150 South Market Street (APN 104-620-059-000) for the development of a community-served day resource center:
(1) Accept the use of a broker’s opinion of value to justify the $875,000 purchase price for the subject properties;
(2) Authorize the City Manager, or designee, to negotiate and finalize a Development Funding Agreement that includes but is not limited to:
(a) Providing an Encampment Resolution Funding Program grant in an amount not-toexceed $3,000,000 as a secured, forgivable loan with a term that begins with the issuance of a building permit and ends three years after the opening date of the day resource center operating in accordance to a City Council approved operations agreement;
(b) The City Manager establishing escrow specific conditions that include: a 45-day escrow term; disbursement of acquisition funding; Phase I environmental site assessment submittals; a $20,000 contingency fund for applicable escrow extension accommodations, American Land Title Association endorsements, or other due diligence costs; and acknowledges a City of Redding approved use permit will be applied for after the close of escrow;
(c) 18-month term schedule of performance;
(d) Scope and budget for the day resource center rehabilitation project; (e) Operations agreement negotiated within 180 days; and (3) Authorize the Mayor to execute the resulting Development Funding Agreement and the associated documents; and
(4) Find that the aforementioned actions are exempt from review under the California Environmental Quality Act (CEQA) Guidelines, pursuant to Section 15061(b)(3) – Common Sense Exemption. A CEQA review will be completed as part of the use permit process once the details of the day resource center rehabilitation are defined.

MEETING DATE: February 20, 2024
ITEM NO. 9.2(d)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 9.2(d)--Consider actions related to the Good News Rescue Mission's Property Purchase and development of a Day Resource Center.

Steve Bade, Assistant City
Manager
Packet Pg. 302
Report to Redding City Council February 15, 2024
Re: 9.2(d)--Good News Rescue Mission Day Resource Center Page 2 Fiscal Impact
In November 2023, City Council (Council) adopted a resolution appropriating Encampment Resolution Funding Lookback Disbursement (ER Funding) funds in the amount of $8,354,955.

Of this amount, $3 million of ER Funding is budgeted for the acquisition, rehabilitation and operation of a day resource center. The ER Funding does not require matching funds and there is no impact to the General Fund.

Alternative Action
Council could provide alternate direction to staff for the escrow process or the Development Funding Agreement (DFA) terms and conditions.

In regard to the loan underwriting, Good News Rescue Mission (GNRM) obtained a broker’s opinion of value to establish the likely fair market value of 3145 Veda Street and 3150 South Market Street (Property). A broker’s opinion of value does not meet Uniform Standards of Professional Appraisal Practice appraisal standards and is considered cursory in nature. Council Policy 1901 establishes the requirement for an appraisal with regard to the disposition of City of Redding (City)-owned real property. This transaction does not involve City-owned property but rather involves the City providing ER Funding in the form of a loan for the purchase of real property on the behalf of a non-profit. Council may choose not to accept a broker’s opinion of value and instead require a formalized appraisal which is estimated to cost approximately $5,500. Requiring an appraisal may take three months which could delay the escrow closing date, halt the transaction in its entirety, or cause a possible increase in purchase price.

Background/Analysis
On December 19, 2023, Council directed staff to negotiate a DFA with the GNRM to provide a zero-percent-interest loan for the purchase and rehabilitation of the Property. The loan is a forgivable loan with a term that begins upon the issuance of a day resource center building permit and terminates after three years of operating the center in accordance with the expectations that will be fully defined in the pending operations agreement. It is anticipated that the loan term will be for no more than five years.

GNRM is currently in escrow for the purchase of the Property for $875,000. Staff is preparing the DFA - in order to complete the terms and conditions of the DFA, Council direction is needed to underwrite the property purchase value; escrow conditions; loan provisions and terms; use of funds, budget and schedule of performance; performance expectations; termination and clawback language; and regulatory obligations, if any.

A Phase I Environmental Site Assessment (ESA) was completed for 3145 Veda Street. The assessment revealed no evidence of recognized environmental conditions in connection with the subject property. A Phase I ESA for 3150 South Market Street is pending and will be completed prior to the close of escrow.

Pursuant to Council’s direction with these DFA terms/conditions, the City Manager will be able to negotiate the final terms of the DFA, have the DFA approved by the City Attorney and executed by the Mayor. A draft DFA is attached for Council’s review.

Packet Pg. 303
Report to Redding City Council February 15, 2024
Re: 9.2(d)--Good News Rescue Mission Day Resource Center Page 3 Environmental Review
Staff has reviewed the action and determined that execution of the funding agreement is exempt from environmental review under the California Environmental Quality Act (CEQA), pursuant to Section 15061(b)(3) – Common Sense Exemption. CEQA applies only to projects which have the potential for causing a significant effect on the environment. This action will not result in physical alteration of the environment, and it can be seen with certainty that there is no possibility the action may have a significant effect on the environment. A separate environmental review will be completed once the details of the day center rehabilitation project are known.

Council Priority/City Manager Goals
• Government of the 21st Century – “Be relevant and proactive to the opportunities and challenges of today’s residents and workforce. Anticipate the future to make better decisions today.”
• Public Safety – “Work to improve all aspects of public safety to help people feel secure and safe where they live, work, and play in the City of Redding.” Attachments
Draft Development Funding Agreement with GNRM
Packet Pg. 304
DRAFT
=============================================

DEVELOPMENT FUNDING AGREEMENT
(3145 Veda Street & 3150 South Market Street)
=============================================
By and Between

CITY OF REDDING
and

THE GOOD NEWS RESCUE MISSION
Packet Pg. 305 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 2 DEVELOPMENT FUNDING AGREEMENT
This DEVELOPMENT FUNDING AGREEMENT (“DFA”) is made and entered into by and between the CITY OF REDDING, a municipal corporation and general law city (“City”) and THE GOOD NEWS RESCUE MISSION, a California Nonprofit Public Benefit Corporation (“Developer”).

RECITALS
A. The City of Redding (City) is a municipal corporation and general law city.

B. Developer is a nonprofit corporation organized under the laws of the State of California and qualifying for Federal Tax-Exempt Status under Section 501 (c) (3) of the Internal Revenue Code and entry into this DFA has been authorized by its Board of Directors.

C. Developer is presently in escrow on the real property located at 3145 Veda St identified as Assessor’s Parcel Number 104-620-052-000 and an adjacent site located at 3150 South Market St identified as Assessor’s Parcel Number 104-620-059-000, (the “Project Site” or “Site”).

The Site is described in Exhibit 1, “Legal Description” and depicted in Exhibit 2, “Site Map,” both attached hereto and incorporated by reference herein. Please note that the title report legal description depicts parcel number 104-620-059-000 in two “portions”.

D. Developer is interested in providing orand developing additional homeless services that supports the homeless population within the City of Redding.

E. Funding is needed for these additional homeless services F. City applied for and was awarded Encampment Resolution Funds.

G. As specified in the executed Encampment Resolution Fund Standard Agreement, up to $3,000,000 is budgeted for the acquisition and rehabilitation of a day resource center.

H. City desires to provide Encampment Resolution Funds to Developer for the purpose of assisting Developer with the homeless services, including acquisition and rehabilitation costs of the Project Site for the Project.

I. On December 19, 2023, the City Council of the City of Redding (Council) passed a motion to provide a loan to Developer in an amount not to exceed $$23,955000,000 to purchase and rehabilitate the Project Site.

J. City and Developer desire to enter into this Development Funding Agreement (the “DFA”) to provide financing pursuant to this DFA to set forth the mutual obligations of the City and Developer in connection with the Project.

AGREEMENT

1. DEFINITIONS. The following definitions shall apply for the purposes of this DFA:

1.1 “Broker’s Opinion of Value” shall mean the value as established by the broker’s opinion of property value to be completed as part of the purchase process.

1.2 “Certificate of Completion” shall mean the document attached as Exhibit 10.

Packet Pg. 306 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 3 1.3 “City Assistance” or “City Loan” shall mean the financial assistance provided to Developer by the City pursuant to Section 3.1.

1.4 “City Manager” shall mean the City Manager of the City of Redding.

1.5 “Completion Date” shall mean the date stated in the Schedule of Performance for the completion of the Project.

1.6 “Days” shall mean calendar days unless expressly stated otherwise. If the date or time period for any action under this DFA falls or ends on a Saturday, Sunday or federal, state or legal holiday, then such date or time period shall automatically be extended until 5 p.m. Pacific Time of the next Day which is not a Saturday, Sunday or federal, state or legal holiday.

1.7 “Deed of Trust” shall mean the deed of trust recorded against the Site to secure the City Loan, a representative copy of which is attached hereto as Exhibit 3.

1.8 “Development Funding Agreement” or “DFA” is this agreement which includes this document and the referenced exhibits and attachments to this DFA, which are all incorporated in this DFA as if set forth in full in the body of the DFA. A default of any of the referenced exhibits or attachments shall be deemed a default of this DFA.

1.9 “Developer” is tThe Good News Rescue Mission, a California nonprofit public benefit corporation. The principle office of the Developer is located at 2842 S. Market Street, Redding, CA 96001

1.10 “Effective Date” shall mean the date this DFA is signed by the City or its designee authorized to sign on behalf of the City.

1.11 “Escrow” is the escrow for the execution and recordation of the Security Documents.

1.12 “Escrow Agent” shall mean the title and escrow officer authorized to act within this transaction.

1.13 “Escrow Closing Costs” shall mean the fees, charges and costs identified in Section

4.3 applicable to the City Security Documents.

1.14 “Homeless services” may include services to individuals and families who are homeless including stabilization services, mediation, basic services such as meals, housing navigation support, case management, connection to services, or other eligible activities for homelessness prevention and housing navigation for persons who have become homeless.

1.15 “Improvements" shall mean the improvements existing or to be constructed and/or rehabilitatedontheSiteinaccordancewiththeProjectFinalPlansandthisDFA

1.16 “Predevelopment Costs” shall mean the approved Project predevelopment expenses that include the following;
a) feasibility studies;
b) planning, design and architecturalexpenses;
c) legal and financial expenses;
d) required permit and approvalexpenses;
e) appraisals;
f) consulting expenses;
g) filing fees, legal fees and regulatory fees; and
Packet Pg. 307 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 4 h) other expenses as authorized by the City.

1.17 “Project” is the purchase and rehabilitation of the Project Site located at 3145 Veda St Street, Redding, CA 96001 and 3150 South Market Street, Redding, CA 96001 and its subsequent use to facilitate homeless services and/or shelter services as further described in this DFA.

1.18 “Project Manager” shall mean the City’s designee of a City staff person to review, approve and process invoiced payment requests associated with predevelopments costs, review the Project final plans, and serve as the City’s liaison to participate with construction draw meetings and to ensure the Project is completed and operated as proposed.

1.19 “Project Site” or “Site” shall mean the real properties located in the City of Redding, Shasta County, California, at 3145 Veda St identified as Assessor’s Parcel Number 104-620-052- 000 and 3150 South Market St identified as Assessor’s Parcel Number 104-620-059-000 more specifically described in Exhibit 1 and depicted in Exhibit 2.

1.20 “Promissory Note” or “City Promissory Note” shall mean the promissory note to be executed by Developer which evidences the City Loan, a representative copy of which is attached as Exhibit 4.

1.21 “Scope of Development” is attached as Exhibit 6

1.22 “Schedule of Performance” is attached as Exhibit 7.

1.23 “Security Documents” shall mean the following documents related to the Project: The Deed of Trust; and the Declaration of Restrictive Covenant.

2. THE AGREEMENT.

2.1 Purpose of the DFA. The City represents that the completion of the Project is in the vital and best interests of the City of Redding and the health, safety, morals and welfare of its residents; for the purpose of community improvement and wellbeing; and to improve, preserve, and increase the supply of options of supportive services for homeless individuals in the City. Except for the risks and speculation inherent with respect to real estate development projects, Developer represents and agrees that its development of the Site under the DFA is not intended for speculation in land holding.

2.2 Scope of Project/Work. It is contemplated by the parties that the Developer will improve the Project Site by reconfiguring its interior, exterior and surrounding area to provide homeless clientele with supportive services. The scope of work to be carried out by the Developer under this DFA is more particularly described in Exhibit 6.

2.3 Term. This DFA shall commence as of the Effective Date and proceed as required by this DFA and shall continue for 25 10 years unless extended or terminated as provided herein.

Following the expiration of the term or extension thereof, or if sooner terminated, this DFA shall have no force and effect, subject however, to post-termination obligations of the Developer except for any deed restrictions, covenants running with the land, or other agreements or provisions which by their terms survive the term of the DFA.

2.4 Exhibits. Exhibits to this DFA are as follows:
a) Exhibit 1 - Legal Description of Site
b) Exhibit 2 - Location Map
c) Exhibit 3 - City Deed of Trust
Packet Pg. 308 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 5 d) Exhibit 4 - City Promissory Note
e) Exhibit 5 - Declaration of Restrictive Covenant
f) Exhibit 6 - Scope of Development
g) Exhibit 7 - Schedule of Performance
h) Exhibit 8 - Notice to Proceed
i) Exhibit 9 - Notice of Completion
h) Exhibit 10 - Certificate of Completion

2.5 Parties to the DFA. The parties to this DFA are:
a) The “City” shall mean the City of Redding. The City is a municipal corporation and general law city. City as it is used in this DFA, includes the City Council of the City of Redding and any assignees of or successors to its right, powers, and responsibilities. The principal office of the City is located at 777 Cypress Avenue, Redding, California 96001.
b) The “Developer” shall mean the Good News Rescue Mission (GNRM), a California nonprofit public benefit corporation. The principal office of the Developer is located at 2842 S. Market Street, Redding, CA 96001. The phone number for voice communication with the Developer is 530-242-5920. Developer as it is used in this DFA, shall include any permitted nominee, assignee, or successor in interest as herein provided.

3. PROJECT FINANCING.

3.1 City Loan/Assistance. The City shall provide a loan to Developer in an amount not to exceed TwoThree-million nine-hundred fifty-five thousand and No/100 Dollars ($23,955000,000) pursuant to this DFA (the “City Loan”). The City Loan is provided to Developer for the purpose of assisting Developer in the acquisition and rehabilitation of the Project Site to expand supportive services as indicated above.

3.2 City Loan Terms and Conditions. The City Loan shall be evidenced by a promissory note (Promissory Note) in favor of City for the full amount of the City Loan. The Promissory Note shall bear simple interest at zero percent (0%) per annum as defined in the Promissory Note and this DFA. The Promissory Note shall be secured by a Deed of Trust executed by the Developer and recorded on the Site (“Deed of Trust”).

The Deed of Trust shall be a lien on the Project Site, which shall be in first position.

The Promissory Note shall not be assumable by the successors and assigns of Developer without the prior written consent of the City.

Payments received by the City or its loan servicing agent shall be applied first to the interest and subsequently to reducing the principal as identified in the Promissory Note.

The Developer may pay in full, or any part, of the City Loan prior to the due date without penalty.

If the Developer satisfactorily constructs and operates the Project for five (5) years, from the date of issuance of a Notice to Proceed by the City, the City Loan shall be forgiven in its entirety. Determining satisfactory operation will be at the sole discretion of the City but will include, Packet Pg. 309 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 6 but not limited to, a review of operating hours, number of participants served, adherence to the schedule of performance and adequate reporting.

3.3 Additional Financing Conditions. Subject to the notice and cure rights set forth in Section 13.1, the full amount of the City Assistance, including principal and all accrued interest, shall become immediately due and payable upon the occurrence of any of the following:
a) Developer’s failure to proceed with and complete the Project in accordance with this DFA; or
b) Developer abandons the Project for (3) months after written notice of such abandonment or suspension from the City; orc
) Material breach of the final negotiated operation agreement; or c) Material breach of the final negotiated operation agreement; or d)) Other material breach of this DFA.

4. DISBURSEMENT OF CITY ASSISTANCE; ESCROW; RECORDATION OF SECURITY DOCUMENTS.

4.1 Disbursement of Proceeds from City Loan. Proceeds from the City Loan shall be disbursed as follows:

Upon execution and recordation of all City Security Documents and completion of the escrow, a portion of the proceeds of the City Loan may be utilized for the acquisition and authorized title and escrow costs associated with escrow. Alternatively, the Developer may choose to pay all title and escrow charges utilizing non-City resources. Following the disbursement of these funds, any balance remaining of the City Loan may be utilized by Developer for authorized infrastructure and/or construction costs associated with the Project that are incurred by Developer which will be disbursed through the City's Finance Division.

Following the completion of construction, any remaining funds shall be returned to the City of Redding to reduce the balance of the City Loan. Further instructions will be provided to Escrow via a letter of instruction from City to Escrow Officer.

5. PREPARATION OF PROJECT PLANS AND RELATED DOCUMENTS.

5.1 Project Manager. Subject to the terms of this Agreement, the City shall designate a Project Manager who shall, in addition to other responsibilities under this Agreement, have the right of architectural and site planning review of all plans and drawings, including, but not limited to complete structural and engineering plans, and landscape plans associated with the Project as well as any changes therein.

5.2 Preparation of Project Final Plans. In accordance with the time line set forth in the Schedule of Performance, the Developer shall prepare the Final Plans. The Final Plans shall include all construction plans, drawings, specifications and other documents required to obtain the required building permits for the construction of the Project. The Final Plans shall conform in all material aspects with the Scope of Development, unless otherwise approved by the Project Manager.

The Project Manager and the Developer shall hold regular progress meetings as necessary to coordinate the preparation, submission and review of the Final Plans. The Project Manager and the Developer shall communicate and consult informally to ensure that the formal submittal of all or any part of the Final Plans to the City can receive prompt consideration.

5.3 Review of Project Final Plans. Developer shall provide the Project Manager with a complete set of Final Plans for the Project prior to or concurrently with the initial submittal of the Packet Pg. 310 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 7 Plans to the City’s Building Division. The Final Plans shall be accepted by the Project Manager, if a) the Plans conform in all material respects to the Scope of Development and this Agreement, and b) no Substantial Changes, as hereinafter defined, have been made.

5.4 Review of Substantial Changes to Project Final Plans.

5.4.1 City Review. Notwithstanding the foregoing, any Substantial Change in the Final Plans is subject to City review. If the Developer desires to make a Substantial Change in the Final Plans, the Developer shall submit such proposed change, in writing, to the Project Manager for review.

5.4.2 Substantial Change. A Substantial Change in the Final Plans shall mean any of the following changes, with respect to the Project:
(a) “Change Order” as previously defined in Section 1.5. (b) Changes in size or design resulting in an increase or decrease of greater than ten percent (10%) of square footage of a unit or an increase or decrease in the number of bedroomsrooms.
(c) Changes in use or the mix of Units or Changes in the number of Unitsfor any section of the building or grounds.
(d) Changes in use of exterior finishing or landscape materials substantially affecting architectural appearance or functional use and operation of the Project.
(e) Material changes in size or placement of public service facilities; or material changes in general pedestrian or vehicular circulation in, around or through the Public areas of the Project.
(f) Any changes required by or requiring approval of the City of Redding, the County of Shasta, or any state or federal board, body, or commission.
(g) Any change which would preclude or materially reduce the ability to use the Project as set forth in the Final Plans and this Agreement.

5.5 Purpose of Review. Project Manager’s review of Final Plans and any Substantial Changes is not an assurance of the adequacy or correctness of the Plans. Project Manager has reserved review rights to: a) assure that the Final Plans conform to the Scope of Development and the requirements of this Agreement; and b) assure that City funds which may be obligated under this Agreement are used as intended by the City.

5.5.1 Misrepresentation. If Project Manager’s approval of the Final Plans or the changes to the Final Plans delivered to the City is based upon a willful and material misrepresentation of Developer made in conjunction with the Final Plans or changes to the Final Plans, nothing in this Section shall be construed to preclude or limit the rights or claims of the City with regard to such misrepresentations, including any rights the City may have to rescind such approval.

6. DEVELOPMENT OF THE PROJECT.

6.1 Project Budget. At the times called for in the Schedule of Performance, the Developer shall provide a complete final Project Budget in a form and with specificity reasonably satisfactory to the Project Manager, including all “hard” and “soft” costs for the Project and reflecting, as possible, executed contracts. The final Project Budget will include a final construction Packet Pg. 311 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 8 bid from the Project’s Contractor. All Project costs that are not part of the Contractor’s construction bid shall be listed separately as line items in the final Project Budget. Such final Project Budget shall be substantially in conformance with the Preliminary Project Budget. Reductions in total Project cost that occur as a result of competitive bid solicitation by the Contractor, are encouraged and shall be considered substantially in conformance with the Preliminary Project Budget.

6.2 Disbursement of Remaining Proceeds of City Loan. The parties agree that upon recording of the City Loan Deed of Trust as described in Section 4.1, the remaining proceeds of the City Loan not previously expended will be controlled by the City’s Finance Department. Each and any disbursement of funds from such account shall require a written authorization signed by the Developer, and the City’s Project Manager authorizing the release of the requested disbursement.

The Project Manager shall provide such written approval within ten (10) business days of receipt of a complete disbursement request from Developer.

6.2.1 Disbursement during Construction. Prior to any disbursement for construction, the Project Manager, Developer and Contractor shall develop a mutually agreeable disbursement format. This format shall include certifications from the Project Manager, Developer and Contractor that all materials and construction included in the request for disbursement are consistent with approved final Project Specifications and supplemental specifications and that all materials have been delivered to either the Project Site or installed and inspected as required. All disbursements shall be based on a percentage of completion and all disbursements shall reflect ten percent (10%) retention not including the costs of stored materials. (Retention shall be released following the recording of the Notice of Completion and completion of the 30-Day mechanics lien period.)
The proceeds of the City Loan shall be disbursed in accordance with the mutually agreed upon draw schedule described above. Disbursement shall be based upon satisfaction of the construction component upon which the draw request is based as determined in good faith by the Project Manager. Disbursements shall not exceed aggregate amounts set forth in the accepted and approved construction contract(s) for the Project. Developer and City acknowledge that it shall be the sole responsibility of the Developer to obtain the required written authorization for any request for disbursement.

6.3 Procurement. The Developer shall coordinate the solicitation of bids with the General Contractor based upon the Final Plans. Developer and General Contractor shall endeavor to obtain a minimum of three bids per subcontractor and, to the greatest extent possible, utilize local suppliers and subcontractors from within Shasta County. The General Contractor will comply with the applicable procurement requirements in 24 CFR Part 85. The Project Manager will coordinate with the Developer and provide the required documents to complete the bid procurement process.

The Project Manager will complete a cost analysis and ensure that the bids are cost reasonable and conform to the proposed budget. The Project Manager’s cost analysis includes initial subcontract bids, contract modifications and change orders.

The final construction bid from the Contractor must have all non-construction categories, including, but not limited to, general conditions; profit and overhead; and permits, clearly identified as separate line items.

6.4 Construction. Developer shall construct the Project according to the requirements established in this Agreement, including but not limited to the Scope of Development, Schedule of Performance and the Final Plans. In the event that the cost of construction of the Project, or any part of the Project exceeds the costs projected by Developer, Developer shall, nevertheless, bear the responsibility to complete, at Developer’s cost and without right of contribution from City, the construction of the Project in accordance with this Agreement. The parties agree that such obligations of Developer shall be covenants running with the land and that they shall, in any event, and without regard to technical classification or designation, be to the fullest extent permitted by law Packet Pg. 312 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 9 and equity, binding for the benefit of the City and enforceable by the City against the Developer, its successors and assigns. These covenants shall terminate upon the City issuing a Certificate of Completion for the Project.

California State Prevailing Wage requirements shall apply to the project. All bids will be submitted with wages reflecting the Prevailing Wage requirements. The Contractor, and any subcontractor effected, shall comply with all laws related to the performance of Public Work including, but not limited to, payment of prevailing wages, the employment of apprentices pursuant to §1777.5 of the California Labor Code and the obligation set forth in §1726 of the California Labor Code to provide the City of Redding and/or Department
of Industrial Relations certified payroll documentation when required.

No Contractor or subcontractor may be listed in a bid proposal for a Public Work project unless registered with the Department of Industrial Relations pursuant to Labor Code §1725.5 (with limited exceptions from this requirement for bid purposes only under Labor Code §1771.1(a)). No Contractor or subcontractor may be awarded a contract for a Public Works project unless registered with the Department of Industrial Relations pursuant to Labor Code §1725.5.

6.5 Substantial Changes. Developer covenants and agrees that Developer shall not make or permit to be made any construction of the Project which incorporates a Substantial Change in the Project Final Plans, as described in subsection 5.4.2, without City review of such changes as provided in that section.

6.6 Changes during Construction. Developer shall, prior to their occurrence, notify the Project Manager of all Substantial Changes (as that term is defined in subsection 5.4.2) in the construction as well as changes which result in a material net increase in cost or may extend the period of construction beyond the Completion Date. To the extent feasible, the Developer agrees to submit all proposed Change Orders to the Project Manager for review and approval prior to implementation.

6.7 Payment and Performance Bonds. As part of the construction contract for the Project, Developer shall require the general Contractor to obtain payment and performance bonds in favor of the City for one hundred percent (100%) of the face amount of the construction contract price. All bonds shall be issued by a corporate surety authorized by the State of California. All payment and performance bonds are to be submitted to the Project Manager to complete the City Attorney approval process. City Attorney approval is a condition precedent to the Developer starting construction.

In the event that the City Loan Deed of Trust is recorded prior to the closing of private financing for the development of the Project and Developer intends to utilize City Loan proceeds to construct the infrastructure improvements that are onsite and a part of the Project, this Section 6.7 shall be deemed satisfied if Developer, or the general contractor obtain payment and performance bonds in favor of the City for one hundred (100%) of the face amount of the construction contract price for such infrastructure improvements.

Notwithstanding anything to the contrary contained herein, Developer shall not commence construction on any component of the Project until payment and performance bonds meeting the requirements of the City have been obtained and approved by the City.

Notwithstanding anything to the contrary contained herein, Developer shall not commence construction on any component of the Project until payment and performance bonds meeting the requirements of this Section 6.8 have been obtained for such component.

Packet Pg. 313 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 10 6.8 No Construction over Utility Easements. Developer shall not construct any of the Project on, over, or within the boundary lines of any easement for public utilities on the Project Site, unless such construction is provided for in such easement or has been approved by the beneficiary of the easement.

6.9 Conditions Precedent to Construction. The Developer shall not begin construction until the following conditions precedent have been satisfied or waived by the City:

6.9.1 The City Loan Deed of Trust has recorded pursuant to the terms of this Agreement;

6.9.2 The Developer has submitted payment and performance bonds as required by Section 6.8 of this Agreement to the City and the City Attorney has approved the bonds.

6.9.3 The Developer has obtained all consents, approvals, entitlements, and permits required for construction, including any and all environmental approvals and/or clearances required by any Project Lender;

6.9.4 The City has reviewed the construction bid documents, construction contract and final selection of the Contractor for the Project.

6.9.5 The Developer has obtained the proper building permits from the City;

6.9.6 The Developer has requested a notice to proceed from the City, and the City has notified the Developer in writing that it may proceed with construction; and

6.9.7 The Developer has issued a notice to proceed under the executed construction contract, if any.

6.9.8 The Developer has cured all existing breaches of this Agreement to the satisfaction of the City.

6.10 Commencement and Completion of Construction. Developer shall promptly begin and thereafter diligently pursue to complete the construction of the Project and the development of the Project Site in accordance with the provisions of this Agreement and at the times specified in the Schedule of Performance; and complete construction not later than the date set forth in the Schedule of Performance, unless otherwise approved by the City. Time is of the essence.

6.11 Reports. During the period of construction, the Developer shall submit to the City a written report of the progress of the work when reasonably requested by the City, but not more often than once each month. The report shall be in such form and detail as may reasonably be required by the City and shall include a reasonable number of construction photographs taken since the last report if previously requested by the City.

6.12 Local, State and Federal Laws. The Developer shall carry out the construction of the Project in conformity with all applicable laws, including all applicable federal and state labor standards.

6.13 Anti-Discrimination during Construction. The Developer for itself and its successors and assigns, agrees that the following provisions shall apply to, and be contained in all contracts and subcontracts for the construction of the Project. (For purposes of this Section, 6.14 Developer shall also mean Contractor or Subcontractor.)

6.13.1 Employment. The Developer shall not discriminate against any employee or Packet Pg. 314 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 11 applicant for employment because of race, color, religion, creed, age, disability, sex, sexual orientation, marital status, ancestry or national origin. The Developer shall ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, creed, age, disability, sex, sexual orientation, marital status, ancestry or national origin.

Such action shall include, but not limited to, the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layout or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Developer agrees to post in conspicuous places, available to employees and applicants for employment, notices to be provided by the City setting forth the provisions of this nondiscrimination clause.

6.13.2 Advertising. The Developer will, in all solicitations or advertisements for employees placed by or on behalf of the Developer, state that all qualified applicants will receive consideration for employment without regard to race, color, creed, religion, sex, marital status, or national origin.

6.14 City Access to the Project Site. Developer shall permit City representatives’ access, without charge, to the entire Project Site at any time and for any purpose which City reasonably considers necessary to carry out its obligations and protect its interests under this Agreement.

Purposes for City entry may include, without limitation, inspection of all work being performed in connection with the construction of the Project. Any City personnel entering on the Project Site shall register immediately at Developer’s construction office, shall be escorted by Developer’s designee and shall wear proper clothing and safety equipment. City assumes all liability and responsibility for failure of its representatives to comply with such requirements and for any injury to person or damage to property arising out of or related to the presence of City personnel on the Project Site. At Developer’s request, City shall provide evidence that such representatives are adequately insured.

6.15 Notification of Contractors, Architects and Engineers. Developer shall notify its Project Contractors, architects and engineers in writing of the requirements of this Agreement.

Developer shall include, where applicable, the provisions of this Agreement in contracts and subcontracts for the Project, and Developer shall enforce such provisions.

6.16 Supervision of the Work. Developer shall be solely responsible for monitoring all construction, ensuring that the construction is performed in a workmanlike manner, and enforcing the terms of this Agreement and the construction contracts. City inspections of construction are made solely for assuring Developer’s performance under this Agreement and protecting City’s security interest in the Project Site.

6.17 Certificate of Completion. After the completion certificate has been issued by the City’s Building Division and the Project Manager has determined that the Developer has completed the Project in accordance with Developer’s obligations under this Agreement, the Project Manager will coordinate with the Developer to execute and record a Notice of Completion. Following the Notice of Completion 30-Day lien period, the City will furnish the Developer with a Certificate of Completion certifying such completion. Such certification shall be a conclusive determination of satisfaction and termination of the agreements in the Agreement with respect to the obligations of the Developer to construct the Project and of the dates for the commencement and completion of construction, subject to any qualifications or limitations stated in such certification. Such certification and such determination shall not constitute evidence of compliance with or satisfaction of any governmental requirements other than City or any obligation of the Developer to any holder of a mortgage, or any insurer of a mortgage, securing money loaned to finance all or any part of the Project.

6.17.1 Refusal to Issue. If the City shall refuse or fail to provide a Certificate of Completion, the City shall, within five (5) Days after written request by the Developer, provide the Developer with a written statement, indicating in adequate detail in what respects the Developer has Packet Pg. 315 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 12 failed to complete the Project in accordance with the provisions of the Agreement, or is otherwise in default, and what measure or acts it will be necessary, in the opinion of the City, for the Developer to take or perform in order to obtain such certification. If the City wrongfully refuses to issue a Certificate of Completion, or upon passage of the five (5) business day period, Developer may seek a writ or order compelling City to issue the Certificate.

7. ANNUAL REVIEW. The City shall, at least every twelve (12) months during the term of this DFA., review the extent of good faith substantial compliance by Developer with this DFA.

8. COVENANTS REGARDING USE AND OPERATION OF THE PROJECT AND SITE.

The Developer covenants and agrees for itself, its successors, its assigns and every successorin-interest to all or any part of the Site that the Developer, such successors and such assignees shall act as follows:

8.1 Nondiscrimination. Developer, its successors and assigns, shall not discriminate on the basis of race, color, religion, creed, age, disability, sex (including gender identity and sexual orientation), ,, marital status, ancestry or national origin in the sale, lease or rental or in the use or occupancy of the Site and the Improvements.

8.2 Section 504. Section 504 provides that no qualified individual with a disability shall, only by reason of his or her disability, be excluded from the participation in, be denied the benefits of, or be subject to discrimination under any program or activity receiving Federal financial assistance.

8.3 Payment of Taxes, Assessments, Encumbrances and Liens. The Developer shall pay prior to delinquency all real estate taxes and assessments assessed and levied on the Site, at all times.

The Developer shall not allow to be placed on the Site any mortgage, trust deed, encumbrance or lien other than such deeds of trust as the Developer may grant to secure construction or other financing related to the development of the Site unless expressly authorized by this DFA or the City. The Developer shall promptly remove or satisfy any levy or attachment made on all or any part of the Site. Nothing contained in this DFA shall prohibit the Developer from reasonably contesting the validity or amounts of any tax assessment, encumbrance or lien, nor to limit the remedies available to the Developer in respect to such contest.

8.4 Effect and Duration of Covenants. It is intended and agreed that the agreements and covenants provided in the Declaration of Restrictive Covenant shall be covenants running with the land and equitable servitudes thereon and that they shall, in any event, and without regard to technical classifications or designation, be binding, to the fullest extent permitted by law and equity, for the benefit and in favor of, and enforceable by, the City, the City’s successors and assigns, any other governmental entity acting within its authority and any successor in interest to all or any part of the Site against the Developer, its successors and assigns and every successor in interest to all or any part of the Site, and any party in possession or occupancy of the Site and any subcontracting party or parties or other transferees under this DFA.

8.5 Effect of Violation. The City is deemed the beneficiary of the terms and provisions of this DFA, the Declaration of Restrictive Covenant, and the covenants running with the land, both for its own rights and for the purposes of protecting the interests of the community and other parties, public or private, in whose benefit this DFA and the covenants running with the land have been provided. The DFA, the Declaration of Restrictive Covenant, and the covenants shall run in favor of the City without regard to whether the City has had or does have any interest in the Site.

8.6 Uses. The Developer covenants and agrees for itself, its successors, its assigns and every successor in interest to the Project, that during construction and through the loan repayment Packet Pg. 316 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 13 periodterm of the DFA, its successors and assigns, shall devote, use, operate, and maintain the Project in accordance with this DFA. All uses conducted on the Project Site, including, without limitation, all activities undertaken by the Developer pursuant to this DFA, shall conform to all applicable provisions of the City of Redding Municipal Code, and any restriction of record or any of the recorded documents against the Project Site.

8.7 Public Facility. The Developer affirms the use of the Project Site as a public facility for the Developer’s mission to provide supportive services to homeless individuals and families.

8.8 Management and Maintenance. The Developer shall manage and maintain, or cause to be managed and maintained, the improvements throughout the term of this DFA. The Developer shall keep parking lights, lighting fixtures, trash enclosures, and all areas which can be seen from adjacent streets, free from any accumulation of debris or waste materials by performing regularly scheduled maintenance.

If at any time the Developer fails to maintain such areas in the manner required pursuant to this DFA, and said condition is not corrected upon written notice by the City pursuant to section 14.9 of this DFA, the City may (but shall not be obligated to) perform the necessary maintenance and the Developer shall pay such costs as are reasonably incurred for such maintenance, together with the interest at the maximum lawful rate until full payment is made to the City. The monies expended by the City shall become a lien against the Site which shall be junior and subordinate to deeds of trust for financing or refinancing of the improvements as allowed pursuant o this DFA.

9. INDEMNIFICATION.

Developer hereby agrees to protect, defend, indemnify and hold harmless, City, its officers, elected or appointed officials, employees, agents and volunteers from and against any and all claims, damages, losses, expenses, judgments, demands, penalties, fines, defense costs, and consequential damage or liability of any kind or nature, however caused, arising directly or indirectly out of the obligations or operations herein undertaken by Developer, but only to the extent such damage or liability is caused in whole or in part by any act or omission of the Developer, any contractors or subcontractors of Developer or anyone for whose acts Developer may be liable, including, but not limited to, concurrent active or passive negligence, except where caused by the active negligence, sole negligence or willful misconduct of the City or resulting or arising from allegations that the City failed to administer the program in accordance with applicable law. Developer will conduct all defense at its sole cost and expense and City shall have right to approve or disapprove legal counsel defending the City. City shall be reimbursed for all costs and attorney's fees incurred in enforcing this obligation. This indemnity shall apply to all claims and liability regardless of whether any insurance policies are applicable, but it is the intent of the parties that nothing in this provision is intended to otherwise reduce any insurance coverage on any policy of insurance held by the Developer or its subcontractors to which the City would otherwise be entitled to in the absence of this provision; accordingly the indemnity obligations hereunder shall not apply to this extent this indemnity would reduce or eliminate existing insurance coverage that would inure directly or indirectly to the benefit of the City. The policy limits do not act as a limitation upon the amount of indemnification to be provided by Developer. This Section 10 9 shall survive the termination of this DFA, irrespective of the reason for its termination, until a date that is ten (10) years following the date the City furnishes the Developer a Certificate of Completion; provided however that nothing in this provision is intended to extend the statute of limitations by which any party other than the City can bring their claim.

10. INSURANCE REQUIREMENTS AND PUBLIC SAFETY PROTECTIONS.

Developer shall promptly take steps to protect the public from the risk of injury whether from Packet Pg. 317 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 14 the condition of the Site or Developer’s activities in connection with the Site. The Developer shall obtain and maintain, or require the contractor and subcontractors for the Project to purchase and maintain the following insurance for claims which may result from the operations under the DFA of the Developer, any contractor, subcontractor or anyone directly or indirectly employed by any of them, or by anyone for whose acts any of them may be liable:

10.1 Developer Insurance Requirements. Developer shall procure and maintain for the duration of the DFA insurance against claims for injuries to persons or damages to Site which may arise from or in connection with Developer’s activities hereunder. The cost of such insurance shall be borne by Developer. Developer shall maintain the following noted insurance:

Coverage Required Not Required
Commercial General Liability X (Iif cContractor does not carry) Comprehensive Vehicle Liability X
Workers Compensation and Employee Liability X
Builder’s Risk/Course of Construction X
Hazard/All Risks X (After course of construction)

10.2 Contractor Insurance Requirements. During the Course of construction, Developer shall insure that the Contractor and Subcontractors maintain the following noted insurances:

Coverage Required NNot
Required
Commercial General Liability X
Comprehensive Vehicle Liability X
Workers Compensation and Employee Liability X
Builder’s Risk/Course of Construction X X
Hazard/All Risks X

10.3 Minimum Scope and Limits of Insurance. Coverage shall be at least as broad as:
(a) Insurance Services Office form number CG-0001, Commercial General Liability Insurance, in an amount not less than $1,000,000 per occurrence $2,000,000 general aggregate for bodily injury, personal injury and property damage; (b) Insurance Services Office form number CA-0001, Comprehensive Automobile Liability Insurance, which provides for total limits of not less than $1,000,000 combined single limits per accident applicable to all owned/non-owned and hired vehicles; (c) Statutory Workers Compensation required by the Labor Code of the State of California and Employers' Liability Insurance in an amount not less than $1,000,000 per occurrence. Both the Workers Compensation and Employers' Liability policy shall contain the insurer's waiver of subrogation in favor of the City, its elected officials, officers, agents, employees and volunteers;
(d) Deductibles and Self-Insured Retentions: Any deductibles or self-insured retentions, and any modifications thereof, must be declared to and approved by the Risk Manager of the City of Redding.

10.4 Other Insurance Provisions. The general liability policy is to contain, or be endorsed to contain, the following provisions:
(a) The City, its officers, officials, employees, agents, and volunteers are to be covered as insured as respects: liability arising out of activities performed by or on behalf of Packet Pg. 318 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 15 Developer; products and completed operations of the Developer; premises owned, occupied, or used by the Developer. The coverage shall contain no special limitations of the scope of protection afforded to the City, its officers, officials, employees, agents, or volunteers. (b) Developer’s insurance coverage shall be primary insurance as respects the City, its officers, officials, employees, agents, and volunteers. Any insurance or selfinsurance maintained by the City, its officers, officials, employees, agents, or volunteers shall be in excess of Developer’s insurance and shall not contribute with it. (c) Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) Days prior written notice has been given to the entity. (d) All insurance policies and renewals thereof shall be in form acceptable to the City. Developer shall promptly furnish to City copies of all renewal notices and all receipts of paid premiums. In the event of loss, Developer shall give prompt notice to the insurance carrier and City. City may make proof of loss if not made promptly by Developer.

10.5 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M.

Best's rating of no less than A: VII.

10.6 Verification of Coverage. Developer shall furnish the Risk Manager of the City of Redding with certificates of insurance and original endorsements effecting coverage required by this clause. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All endorsements are to be received and approved by the Risk Manager of the City of Redding as a condition precedent to the obligation of the City to disburse funds to Developer.

10.7 Failure to Maintain. If Developer fails to obtain or maintain, or cause to be obtained and maintained, any insurance required by this DFA, the City shall have the right to purchase the insurance and Developer shall reimburse the full costs to City of obtaining such insurance.

11. PROHIBITIONS AGAINST ASSIGNMENT AND TRANSFER.

11.1 Prohibition Against Transfer of Rights or Obligations. City has entered into this DFA in reliance upon the identity and qualifications of the Developer. Developer may not assign or otherwise transfer Developer’s rights or obligations under this DFA without the prior written consent of City.

11.2 Transfer or Assignment of Interests in the Site. Except as required to obtain any other financing approved by the City, Developer shall not, make any total or partial sale, assignment or transfer of any interest in the Site without the prior written approval of the City.

12. FINANCING AND LENDER’S RIGHTS.

12.1 Limitation on Encumbrances. Prior to the completion of the Project, Developer shall not engage in any financing or any other transaction creating any encumbrance or lien on the Site, whether by express agreement or operation of law, except to obtain funds to be used only for actual costs of the Project and other expenditures necessary and appropriate to develop the Site in accordance with this DFA. Developer shall notify the City in advance of any proposed financing to be secured by the Site. In any event, Developer shall promptly notify City of any encumbrance or lien that has been created on or attached to the Site.

12.2 Foreclosure. City shall have the right to bid at any foreclosure sale held by or for any Lender on the Site.

Packet Pg. 319 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 16 12.3 Eminent Domain. Nothing in this DFA shall limit any exercise of City’s power of eminent domain over the Site.

13. DEFAULTS AND REMEDIES.

The provisions of this Section are in addition to any provisions in the City’s Deed of Trust regarding default and remedies. Subject to any extension of time permitted by this DFA, a failure or delay by a party to perform any term or provision of this DFA constitutes a default of this DFA.

13.1 Cure. Except as otherwise provided in the DFA, if either party shall default in, or breach, the DFA, such party shall cure such default or breach within thirty (30) Days after receipt of written notice from the other party of such default or breach. If the defaulting party does not cure or demonstrate to the reasonable satisfaction of the other party that it has acted and continues to act promptly and diligently to cure the default within such time, the aggrieved party may declare an “Event of Default” and institute proceedings to cure and remedy such default or breach, including, but not limited to, proceedings to compel specific performance by the party in default. While neither party is relieved of any obligation under this DFA to give notice, mere failure to notify the other party shall not be deemed a waiver of the defaulting party’s default.

14. GENERAL PROVISIONS.

14.1 Time for Actions. City and Developer shall each do the actions required of them, on or before the times specified in this DFA. Unless otherwise provided, City shall give required approvals or disapprovals within fourteen (14)promptly Days after submission, except matters which must be decided by the City’s Council, Board of Administrative Review or other similar entityBoard of Directors, which shall be decided within forty-five (45) Days.

14.2 Counterparts. This DFA may be executed in two (2) counterpart originals, each of which shall constitute one and the same instrument.

14.3 Priority of Contents of DFA. In the event of a conflict between the terms of this DFA and the Exhibits, this DFA shall be given precedence.

14.4 Inspection of Books and Records. City has the right, at all reasonable times and upon reasonable notice, to inspect the books and records of the Developer pertaining to the Project as necessary to assure compliance with the provisions of this DFA. Developer shall keep such books and records as City may reasonably require to assure Developer’s performance of its obligations under this DFA for the length of 25 10 years.

14.5 Fees, Commissions, Gifts or Interests. Neither party shall be liable for any real estate commissions, brokerage fees or finder’s fees which may arise from this DFA. City and Developer each represent that neither has engaged any broker, agent or finder, and that neither claims such a commission or fee, in connection with this DFA. Developer shall pay no fee or commission, make no gifts and provide no interest in the City Loans to any employee or official of the City.

14.6 Entire Agreement. This DFA, including all of the exhibits and attachments, integrates all of the terms and conditions related or incidental to its subject matter, and supersedes all negotiations or previous agreements between the parties with respect to its subject matter.

14.7 Waivers and Amendments. All waivers of the provisions of this DFA must be in writing and signed by the appropriate authorities of the City or the Developer, and all amendments hereto must be in writing and signed by the appropriate authorities of the City and the Developer.

However, minor amendments which do not result in a substantial or functional change to the original intent of the DFA and do not cause an increase to the maximum amount payable under this DFA may be agreed to in writing between Developer and the Assistant City Manager or designee.

Packet Pg. 320 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 17 14.8 Non-liability of City Officials and Employees. No member, official or employee of the City shall be personally liable to the Developer, or any successor in interest, in the event of any default or breach by the City or for any amount which may become due to the Developer or its successors, or on any obligations under the terms of this DFA.

14.9 Notices and Demands. Any notice, demand or other communication under the DFA by either party to the other shall be deemed to have been full and properly given when made in writing, enclosed in a sealed envelope, and deposited in the United States Post Office, certified mail, postage prepaid, to the addresses for City and Developer stated in Sections 1.9 and 1.20, respectively2.5, or delivered by facsimile to the numbers listed for the City and Developer in Sections 1.9 and 1.20, respectively, and evidenced by a fax receipt.

14.10 Jurisdiction, Venue and Attorneys’ Fees.

14.10.1 Jurisdiction and Venue. Any legal action(s) concerning the DFA or the performance of any party thereunder shall be brought only in the court of appropriate jurisdiction in the County of Shasta. The Developer and the City agree that jurisdiction and venue shall only be in said courts.

14.10.2Attorneys’ Fees. In the event any legal action, including arbitration, is brought by either party to this DFA to enforce this DFA or for breach of this DFA or for a declaration of the rights and duties under this DFA, the prevailing party shall recover costs and reasonable attorney’s fees in addition to any other relief to which that party may be entitled.

14.10.3No Party Deemed Drafter. In the event of a dispute between the parties hereto over the meaning of this DFA, no party shall be deemed to have been the drafter hereof, and the principle of law that contracts are construed against the drafter does not apply.

Section 14.10.4 Other Approvals Required. This DFA shall not be construed as a grant of any land use entitlement nor shall it be construed as a waiver of any right held by the City of Redding to disapprove or condition any approval for the Project pursuant to the Redding Municipal Code and the laws of the State of California.

Section 14.10.5 Ordinance Not Adopted. In the event that an ordinance is not adopted which would facilitate the uses contemplated by this DFA, or that the Project is not approved as an appropriate use of the Project Site or in the event Developer determines that it shall not apply for approval of the Project, Developer shall, not later than one hundred and twenty (120) calendar days after the Council fails to adopt the authorizing ordinance, or approve the use of the Project Site, return all funds granted pursuant to this DFA without payment of interest. In the event that Developer determines it shall not proceed with the Project after having been granted a land use entitlement, it shall make such determination and provide written notice of the same to the City no later than thirty (30) calendar days after a final land use entitlement is granted by the City of Redding. If Developer fails to provide such notice, the one hundred and twenty (120) calendar day time-frame for repayment to the City shall commence on the lapse of the thirtieth (30th) day

THE REMAINDER OF PAGE INTENTIONALLY LEFT BLANK
Packet Pg. 321 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 18 IN WITNESS WHEREOF, the City and the Developer have executed this DFA on the respective dates set forth below:

Date: ____________________
CITY:

City of Redding
_________________________________
Barry Tippin, City Manager
ATTEST:
__________________________
Sharlene Tipton, City Clerk
APPROVED AS TO FORM:

Christian M. Curtis, City Attorney
_____________________________________
By:

Date: ____________________
DEVELOPER:

Good News Rescue Mission, a California
Nonprofit Benefit Corporation
_________________________________
By: Jonathan Anderson
Title: Executive Director
TaxID#_94-
1652602__________________________
Packet Pg. 322 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 19 EXHIBIT 1
Legal Description of Site
Real property in the City of Redding, County of Shasta, State of California, described as follows:

THAT REAL PROPERTY IN SECTIONS 14 AND 15 OF THE P. B. READING GRANT, IN

THE CITY OF REDDING, SHASTA COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS:

PARCEL 1: (APN: 104-620-052-000)

COMMENCING AT THE NORTHWEST CORNER OF PARCEL C AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103, SHASTA COUNTY RECORDS; THENCE ALONG THE NORTH LINE OF PARCELS C AND D OF SAID SURVEY, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.07 FEET; THENCE LEAVING SAID NORTH LINE, SOUTH 2° 55' 34" EAST, A DISTANCE OF 70.60 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 2° 55' 34" EAST, A DISTANCE OF 79.28 FEET, MORE OR LESS TO A POINT ON THE NORTH LINE OF PARCEL B OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE ALONG SAID NORTH LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF

2.42 FEET TO THE NORTHWEST CORNER OF THAT CERTAIN PARCEL DESIGNATED "PARCEL 4" IN DEED RECORDED ON NOVEMBER 5, 1990 IN BOOK 2659 OF OFFICIAL RECORDS AT PAGE 303, SHASTA COUNTY RECORDS THENCE ALONG THE WEST LINE OF SAID "PARCEL 4", SOUTH 2° 38' 00" EAST, A DISTANCE OF 96.59 FEET TO A POINT THAT BEARS NORTH 87° 22' 00" EAST, A DISTANCE OF 14.00 FEET FROM THE SOUTHEAST CORNER OF PARCEL A OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE SOUTH 87° 22' 00" WEST, A DISTANCE OF

14.00 FEET TO THE SOUTHEAST CORNER OF SAID PARCEL A; THENCE ALONG THE SOUTH LINE OF SAID PARCEL A, SOUTH 87° 14' 54" WEST, A DISTANCE OF 130.21 FEET (SOUTH 87° 22' 00" WEST, 130.21 FEET PER 46-L.S.-103), MORE OR LESS, TO THE EAST LINE OF VEDA STREET; THENCE ALONG SAID EAST LINE, NORTH 6° 11' 00" WEST, A DISTANCE OF 188.00 FEET; THENCE LEAVING SAID EAST LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.45 FEET, MORE OR LESS, TO THE POINT OF

BEGINNING AND AS DESCRIBED AS RESULTANT PARCEL A OF PROPERTY LINE ADJUSTMENT PLA-6-06.

PARCEL 2: (APN: 104-620-059-000 PORTION)

BEGINNING AT THE SOUTHEAST CORNER OF PARCEL A, AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, SOUTH 6° 11' EAST, ALONG THE WESTERLY LINE OF LOT 29 OF BLOCK 2 OF THE ALTA SUBDIVISION, (BOOK 5 OF MAPS, PAGE 53) A DISTANCE OF 164.40 FEET TO THE SOUTHWEST CORNER OF SAID LOT 29; THENCE, NORTH 87° 22' WEST ALONG THE SOUTH LINE OF SAID LOT 29, 50.00 FEET, TO THE SOUTHEAST CORNER THEREOF; THENCE NORTH 6°11' WEST ALONG THE LINE COMMON TO LOTS 29 AND 30 OF SAID ALTA SUBDIVISION 67.38 FEET TO THE NORTHWEST CORNER OF SAID LOT 30; THENCE NORTH 87° 22' EAST ALONG THE NORTH LINE OF SAID LOT 30, A DISTANCE OF 30.23 FEET; THENCE NORTH 2° 38' WEST 187.00 FEET TO A POINT ON THE NORTH LINE OF PARCEL B, AS SHOWN ON 46 LAND SURVEYS AT PAGE 103; THENCE, NORTH 88° 24' WEST 72.00 FEET MORE OR LESS, TO A POINT WHICH BEARS NORTH 87° 22' EAST, 14.00 FEET; THENCE, NORTH 2° 38' WEST, 86.00 FEET FROM THE POINT OF BEGINNING; THENCE, SOUTH 2° 38' EAST 86.00 FEET; THENCE, SOUTH 87° 22', WEST 14.00 FEET TO THE POINT OF BEGINNING.

PARCEL 3: (APN: 104-620-059-000 PORTION)
BEGINNING AT A POINT ON THE NORTH LINE OF LOT 30 OF BLOCK 2 OF THE ALTA SUBDIVISION (BOOK 5 OF MAPS, PAGE 53) DISTANT THEREON NORTH 87° 22' EAST Packet Pg. 323 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 20 30.23 FEET FROM THE NORTHWEST CORNER THEREOF; THENCE, NORTH 87° 22' EAST, 64.00 FEET TO THE SOUTHEAST CORNER OF PARCEL B AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, NORTH 2° 38' WEST ALONG THE EAST LINE OF SAID PARCEL B, 183.42 FEET TO THE NORTHWEST CORNER OF SAID PARCEL B; THENCE NORTH 88° 24', WEST ALONG THE NORTH LINE OF SAID PARCEL B, 64.00 FEET; THENCE SOUTH 2° 38' EAST, 187.00 FEET TO THE POINT OF BEGINNING.

EXCEPTING THEREFROM THAT PORTION OF LAND CONVEYED TO THE STATE OF

CALIFORNIA, DEPARTMENT OF TRANSPORTATION, IN GRANT DEED RECORDED JUNE 30, 2020 AS INSTRUMENT NO. 2020-0020302 OF OFFICIAL RECORDS.

APN: 104-620-052-000 and 104-620-059-00
Packet Pg. 324 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 21 EXHIBIT 2
Location Map
Packet Pg. 325 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 22 Packet Pg. 326 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) 23 EXHIBIT 3
City Deed of Trust
RECORDING REQUESTED BY:

City of Redding

CITY BUSINESS - NO FEE
Section 6103 of the Government Code
of the State of California
AND WHEN RECORDED MAIL TO:

City of Redding – Housing Division
P.O. Box 496071
777 Cypress Avenue
Redding, CA 96049-6071

CITY OF REDDING DEED OF TRUST AND ASSIGNMENT OF RENTS
THIS DEED OF TRUST is made this day, ___ 2024, GOOD NEWS RESCUE MISSION, a California Nonprofit Public Benefit Corporation, as to equitable title, herein called “Trustor,” and/or “Borrower” whose address is 2842 South Market Street, Redding, CA 96001; FIRST AMERICAN TITLE COMPANY, herein called “Trustee,” whose address is 1900 Churn Creek Road, Redding, CA 96002; and the CITY OF REDDING, a municipal corporation and general law city, whose address is 777 Cypress Avenue, Redding, California 96001, herein called “Beneficiary” and/or the “Lender”.

WITNESSETH: That Trustor Irrevocably, Grants, Transfers and Assigns, to Trustee, in Trust, with Power of Sale, that property in the City of Redding (“City”), County of Shasta, State of California, described as:

EXHIBIT A - Legal Description
ASSESSOR’S PARCEL NUMBERS: 104-620-052-000 and 104-620-059 TOGETHER WITH: (a) all buildings, improvements and fixtures, now or in the future thereon, it being understood and agreed that all classes of property attached or unattached used in connection herewith shall be deemed fixtures, (b) rents, issues and profits thereof, and (c) all sums of money payable on the purchase price of said property secured by a lien thereon or payable under any agreement for the sale thereof, SUBJECT, HOWEVER, to the right, power and authority hereinafter given to and conferred upon Beneficiary to collect and apply such rents, issues, and profits, and all sums of money payable on the purchase price of said property secured by a lien thereon or payable under any agreement.

BORROWER HEREBY expressly acknowledges and agrees that the subject loan, this Deed of Trust, and the property which serves as security for the Note and Deed of Trust, one that the Borrower is expressly entering into for the benefit of the homeless population and shelter support services and not for profit, and not in any way related to Borrower’s home or residence.

As such, Borrower further acknowledges and agrees that Lender likewise is making this loan on the aforesaid basis, and thus intends to enforce any and all of its rights accordingly.

FOR THE PURPOSE OF SECURING:

Packet Pg. 327 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center)

1. Payment of the sum of Three Million and No/100 Dollars ($3,000,000) without interest thereon according to the terms of a certain Promissory Note of even date herewith, designated as the “Promissory Note” made by Trustor, payable to the order of the Beneficiary and extensions or renewals thereof.

2. Payment of such additional sums with interest thereon as: (a) may be hereafter borrowed from the Beneficiary by the then record owner or owners of said property when evidenced by another Promissory Note or Notes reciting that they are secured hereby, or (b) as may be added to the indebtedness secured hereby in accordance with the provisions of this Deed of Trust.

3. Performance of each and every obligation, covenant, promise, or agreement of Trustor contained herein.

4. Payment, with interest thereon, of any other present or future indebtedness or obligation of the Trustor (or of any successor in interest of the Trustor to said property) to the Beneficiary reciting that they are secured hereby, whether created directly or acquired by assignment, whether absolute or contingent, whether due or not, whether otherwise secured or not, or whether existing at the time of the execution of the Deed of Trust, or arising thereafter.

5. Performance of each agreement of Trustor contained in any Development Funding Agreement (including without limitation the Exhibits thereto) entered into between Trustor and Beneficiary for the development, construction of improvements, adoption of rent restrictions or other affordability covenants, or operation of certain activities on the abovedescribed property.

TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR AGREES:

1. To keep said property in good condition and repair; to allow Beneficiary or its representatives to enter and inspect the premises at all reasonable times and access thereto shall be permitted for that purpose; not to remove or demolish any building thereon; not to make alterations thereto without the consent of the Beneficiary; to suffer or permit no change in the general nature of the occupancy of the premises without Beneficiary's written consent; to complete or restore promptly and in good and workmanlike manner any building which may be constructed, damaged, or destroyed thereon, including, without restricting the generality of the foregoing, damage from termites and dry-rot; to pay when due all claims for labor performed and materials furnished in connection with such property and not to permit any mechanic's lien against such property; to comply with all laws affecting such property or requiring any alterations or improvements to be made thereon; not to initiate or acquiesce in any zoning reclassification without Beneficiary's written consent; not to commit or permit waste thereon; not to commit, suffer, or permit any act upon such property in violation of the law; and to paint, cultivate, irrigate, fertilize, fumigate, prune, and do all other acts that from the character or use of said property may be reasonably necessary; to promptly pay all amounts due others upon agreements of lease or conditional sale of all fixtures, furnishings, and equipment located thereon.

Packet Pg. 328 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) If the loan secured hereby or any part thereof is being obtained or should any additional loan be made hereafter for the purpose of financing rehabilitation improvements or construction of affordable housing on said property, Trustor further agrees, anything in this Deed of Trust to the contrary notwithstanding: (a) to complete the same in accordance with City approved plans and specifications satisfactory to Beneficiary; (b) to allow Beneficiary to inspect such property at all times during rehabilitation; (c) to replace any work or materials unsatisfactory to Beneficiary within fifteen (15) calendar days after written notice from Beneficiary of such fact, which notice may be given to Trustor by registered or certified mail, sent to its last known address, or by personal service of the same; (d) that work shall not cease on the construction of such improvements for any reason whatsoever for a period of fifteen (15) calendar days, whether consecutive or not, without the written permission of the Beneficiary; (e) to pay when due all claims for labor and materials furnished in connection with the said construction and/or rehabilitation and not to permit any claims of lien for said work or material to be filed of record against the said property; and (f) not to permit any stop notice claims to be presented to Beneficiary. If the said property is part of a larger tract upon which improvements will be constructed, Trustor shall make separate contracts and subcontracts for said construction which shall pertain to the said property only and shall keep separate, full, and complete records of all work and materials furnished to the said property. Trustee, upon presentation to it of an affidavit signed by the Beneficiary setting forth facts showing a default by Trustor under this paragraph, is authorized to accept as true and conclusive all facts and statements therein and to act thereon hereunder.

2. To provide and maintain in force at all times with respect to said property, fire and other types of insurance as may be required by Beneficiary. All of such insurance shall have a loss payable endorsement in favor of Beneficiary, shall contain an endorsement that such insurance shall not be canceled or modified without thirty (30) days advance written notice to Beneficiary, shall be for a term and in form, content, amount, and with such companies as may be satisfactory to Beneficiary, and the policies therefor shall be delivered to and remain in possession of Beneficiary as further security for the faithful performance of Trustor hereunder.

At least thirty (30) days prior to the expiration of any insurance policy, a policy or policies renewing or extending such expiring insurance shall be delivered to Beneficiary together with written evidence showing payment of the premium therefor and, in the event any such insurance policy and evidence of the payment of the premium therefor are not so delivered by Trustor to Beneficiary, Trustor, by executing this Deed of Trust, specifically requests Beneficiary to obtain such insurance and Beneficiary, without obligation to do so, without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may obtain such insurance through or from any insurance agency or company acceptable to it, pay the premium thereof, and may add the amount thereof to the indebtedness secured hereby, which amount shall bear a like rate of interest. Beneficiary may furnish to any insurance agency or company, or any other person, any information contained in or extracted from any insurance policy theretofore delivered to Beneficiary pursuant hereto and any information concerning the loan secured hereby. Neither Trustee nor Beneficiary shall be responsible for such insurance or for the collection of any insurance monies, or for any insolvency of any insurer or insurance underwriter. In case of insurance loss, Beneficiary is hereby authorized either (a) upon prior notice to Trustor, to settle and adjust any claim under the insurance policies provided for in this document without the consent of the Trustor, or (b) to allow Trustor to agree with the insurance company or companies on the amount to be paid upon the loss. In either case, the Beneficiary is Packet Pg. 329 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) authorized to collect and make receipt of any such insurance money. If Trustor is obligated to restore or replace the damaged or destroyed buildings or improvements under the terms of any lease or leases which are or may be prior to the lien of this Deed of Trust and such damage or destruction does not result in cancellation or termination of such lease, such proceeds, after deducting therefrom any expenses incurred in the collection thereof, shall be used to reimburse the Trustor for the cost of rebuilding or restoring the buildings or improvements on said premises. In all other cases, such insurance proceeds, at the option of the Beneficiary, shall either be applied in reduction of the indebtedness secured hereby whether due or not, or in such order as Beneficiary may determine, or be held by the Beneficiary and used to reimburse the Trustor for the cost of rebuilding or restoring the building or improvements on said premises. Such buildings and improvements shall be so restored or rebuilt as to be of at least equal value and substantially the same character as prior to the damage or destruction, and shall be in a condition satisfactory to Beneficiary. Such application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice. Any and all unexpired insurance shall inure to the benefit of, and pass to the purchaser of, the property conveyed at any Trustee sale held hereunder.

3. To pay: (a) at least ten (10) days before delinquency, all general and special City and County taxes affecting such property; (b) when due, all special assessments for public improvements, without permitting any improvement bond to issue for any special assessment; (c) when due, all encumbrances, charges and liens, with interest, on said property, or any part thereof, which are or appears to be prior or superior hereto; (d) if the security of this Deed of Trust is a leasehold estate, to make any payment or do any act required of the Lessee or its successor in interest under the terms of the instrument or instruments creating said leasehold; (e) all costs, fees and expenses of this trust; (f) for any statement regarding the obligation secured hereby any amount demanded by Beneficiary not to exceed the maximum allowed by law thereof at the time when such request is made; (g) such other charges for services rendered by Beneficiary and furnished at Trustor's request or that of any successor in interest to Trustor as the Beneficiary may deem reasonable.

If, by the laws of the United States of America, or of any state having jurisdiction over the Trustor, any tax is due or becomes due in respect to the issuance of the Note hereby secured, the Trustor covenants and agrees to pay such tax in the manner required by such law. Should Trustor fail to make any such payment, Beneficiary may elect to make such payment and any amount so paid may be added by Beneficiary to the indebtedness secured hereby and shall bear a like rate of interest.

4. That, should Trustor fail to make any payment or do any act as provided in this Deed of Trust, then Beneficiary or Trustee, but without obligation to do so and without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may (a) make or do the same in such manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter upon said property for such purposes; (b) commence, appear in, or defend any action or proceeding purporting to affect the security hereof or the property covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee; (c) pay, purchase, contest, or compromise any encumbrance, charge or lien, which in the judgment of either is or appears to be prior or superior hereto; and (d) in exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable fees. Trustor agrees to repay any amount so expended on demand of Beneficiary, and any Packet Pg. 330 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) amount so, expended may be added by Beneficiary to the indebtedness secured hereby and shall bear a like rate of interest.

5. To perform each agreement of Trustor contained in any Development Funding Agreement (including without limitation the Exhibits thereto) entered into between Trustor and Beneficiary for the development, construction of improvements, adoption of rent restrictions or other affordability covenants, or operation of certain activities on the above-described property.

6. To appear in and defend any action or proceeding purporting to affect the security hereof or the property which is covered by this Deed of Trust, or the rights or powers of Beneficiary or Trustee, and whether or not Trustor so appears or defends, to pay all costs and expenses, including cost of evidence of title and attorneys' fees in a reasonable sum, in any such action or proceeding in which Beneficiary or Trustee may appear by virtue of being made a party defendant or otherwise irrespective of whether the interest of Beneficiary or Trustee in such property is directly questioned by such action, including any action for the condemnation or partition of said premises, and in any suit brought by Beneficiary to foreclose this Deed of Trust.

7. To pay immediately and without demand, all sums expended under the terms of this Deed of Trust by Beneficiary or Trustee, with interest from the date of expenditure at the rate which the principal obligation secured hereby bears at the time such payment is made, and the repayment of such sums shall be secured hereby.

8. That, should the Trustor or any successor in interest to Trustor in such property drill or extract, or enter into a lease for drilling or extraction of oil, gas, or other hydrocarbon substances or any mineral of any kind or character, or sell, convey, further encumber, or alienate said property, or any part thereof, or any interest therein, or be divested of his title or any interest therein in any manner or way, whether voluntarily or involuntarily, Beneficiary shall have the right, at its option, to declare any indebtedness or obligations secured hereby irrespective of the maturity date specified in any Note evidencing the same, immediately due and payable, and no waiver of this right shall be effective unless in writing.

9. That any award, settlement, or damages for injury or damages to such property, or in connection with the transaction financed by such loan, and any award of damages in connection with any condemnation for public use of or injury to said property, or any part thereof, is hereby assigned and shall be paid to Beneficiary, who may apply or release such monies received by it in such manner and with the same effect as above provided for the disposition of proceeds of fire or other insurance.

10. That, by accepting payment of any sum secured hereby after its due date, or by making any payment, or performing any act on behalf of Trustor, that Trustor was obligated hereunder, but failed, to make, or perform, or by adding any payment so made by Beneficiary to the indebtedness secured hereby, Beneficiary does not waive its right either to require prompt payment when due of all sums so secured or to declare a default for failure so to pay.

11. That at any time, or from time to time, without liability of the Beneficiary or Trustee thereof, and without notice, upon written request of Beneficiary and presentation of this Deed of Trust and any Note secured hereby for endorsement, and without affecting the personal liability of any person for payment of the indebtedness secured hereby, or the lien of the Deed of Packet Pg. 331 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Trust upon the remainder of said property for the full amount of the indebtedness then or thereafter secured hereby, or the rights or powers of Beneficiary or the Trustee with respect to the remainder of said property, Trustee may: (a) reconvey any part of said property; (b) consent to the making of any map or plat thereof; (c) join in granting any easement thereon; (d) join in any agreement subordinating the lien or charge hereof.

12. That the lien hereof shall remain in full force and effect during any postponement or extension of time of payment of the indebtedness secured hereby, or any part thereof.

13. That upon written request of Beneficiary stating that all sums secured hereby have been paid, and upon surrender of this Deed of Trust and said Note or Notes to Trustee for cancellation and retention, and upon payment of its fees, Trustee shall reconvey, without warranty, the property then held hereunder. The recitals in such reconveyance of any matters of fact shall be conclusive evidence of the truthfulness thereof. The grantee in such reconveyance may be described as "the person or persons legally entitled thereto." Such request and reconveyance shall operate as a re-assignment of the rents, issues, royalties and profits hereinafter assigned to Beneficiary. Five (5) years after issuance of such full reconveyance, Trustee may destroy said Note and this Deed of Trust (unless directed in such request to retain them).

14. That as additional security, Trustor irrevocably assigns to Beneficiary the rents, issues, and profits of the property affected by this Deed of Trust for the purposes and upon the terms and conditions set forth below. This assignment shall not impose upon Beneficiary any duty to produce rents from the property affected by this Deed of Trust, or cause Beneficiary to be (a) "mortgagee in possession" for any purpose; (b) responsible for performing any of the obligations of the lessor under any lease; or (c) responsible for any waste committed by lessees or any other parties, for any dangerous or defective condition of the property affected by this Deed of Trust, or for any negligence in the management, upkeep, repair, or control of such property. This is an absolute assignment, not an assignment for security only, and Beneficiary's right to rents, issues, and profits is not contingent upon, and may be exercised without possession of, the property affected by this Deed of Trust.

Beneficiary confers upon Trustor a license (“License”) to collect and retain the rents, issues, and profits of the property affected by this Deed of Trust as they become due and payable, until the occurrence of a default hereunder. Upon such default, the License shall be automatically revoked and Beneficiary may collect and retain the rents, issues, and profits without notice and without taking possession of the property affected by this Deed of Trust. This right to collect rents, issues and profits shall not grant to Beneficiary or Trustee the right to possession, except as otherwise provided herein; and neither said right, nor termination of the License, shall impose upon City or Trustee the duty to produce rents, issues, or profits or maintain all or any part of the property affected by this Deed of Trust. If Trustor shall default as aforesaid, Trustor's right to collect any such money shall cease and Beneficiary shall have the right, with or without taking possession of the property affected hereby, to collect all rents, issues, royalties, and profits and shall be authorized, and may, without notice and irrespective of whether declaration of default has been delivered to Trustee and without regard to the adequacy of the security for the indebtedness secured hereby, either personally or by attorney or agent without bringing any action or proceeding, or by receiver to be appointed by the Court, enter into possession and hold, occupy, possess and enjoy the said property, make, cancel, enforce, and Packet Pg. 332 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) modify leases, obtain and eject tenants, and set and modify rents and terms of rents, and to sue, and to take, receive and collect all or any part of the said rents, issues, and profits of the property affected hereby, and after paying such costs of maintenance, operation of said property, and of collection including reasonable attorneys' fees, as in its judgment it may deem proper, to apply the balance upon any indebtedness then secured hereby, the rents, issues, royalties, and profits of said property being hereby assigned to Beneficiary for said purposes. The acceptance of such rents, issues, royalties, and profits shall not constitute a waiver of any other right which Trustee or Beneficiary may enjoy under this Deed of Trust or under the laws of California. Failure of or discontinuance by Beneficiary at any time, or from time to time, to collect any such rents, issues, royalties, or profits shall not in any manner affect the subsequent enforcement by Beneficiary of the right, power and authority to collect the same. The receipt and application by said Beneficiary of all such rents, issues, royalties, and profits pursuant hereto, after execution and delivery of declaration of default and demand for sale as hereinafter provided, or during the pendency of Trustee's sale proceedings hereunder, shall not cure such breach or default nor affect said sale proceedings, or any sale made pursuant thereto, but such rents, issues, royalties, and profits, less all costs of operation, maintenance, collection, and reasonable attorneys' fees, when received by Beneficiary, shall be applied in reduction of the indebtedness secured hereby, from time to time, in such order as Beneficiary may determine. Nothing contained herein, nor the exercise of the right by Beneficiary to collect, shall be, or be construed to be, an affirmation by Beneficiary of any tenancy, lease or option, nor an assumption of liability under, nor a subordination of the lien or charge of this Deed of Trust to, any such tenancy, lease or option.

15. That if the security of this Deed of Trust is a leasehold estate, the Trustor agrees that: (a) the term “Lease” as used herein shall mean the lease creating the “leasehold estate”; (b) Trustor shall not amend, change, or modify his leasehold interest, or the Lease, or agree to do so, without the written consent of the Beneficiary; (c) Trustor will promptly advise Beneficiary regarding any notice, request, or demand received by him from the lessor under the Lease and promptly furnish Beneficiary with a copy of any such notice, request or demand; (d) as long as any of the indebtedness secured hereby shall remain unpaid, unless the Beneficiary shall otherwise consent thereto in writing, the leasehold estate shall not merge with the fee title but shall always be kept separate and distinct, notwithstanding the union of said estates in any party; (e) Trustor agrees that it will promptly, strictly, and faithfully perform, fulfill, and comply with all covenants, agreements, terms, conditions, and provisions under any lease affecting the premises and to neither do anything, nor to permit anything to be done which may cause modification or termination of any such lease or of the obligations of any lessee or person claiming through such lease or the rents provided for therein or the interest of the lessor or the Beneficiary therein or thereunder. Trustor further agrees he will not execute a Deed of Trust or mortgage which may be or become superior to any leasehold estate that is security for this Deed of Trust. In the event of a violation of any of the covenants set forth in this paragraph, Beneficiary shall have the right, at its option, to declare all sums secured hereby immediately due and payable. Consent to or waiver of one of said violations shall not be deemed to be a consent to or waiver of any other violation. If the security for this Deed of Trust is a leasehold estate, the term "said property" as used in this Deed of Trust shall be deemed to mean the leasehold estate whenever the context so requires for the protection of the Beneficiary.

16. That any default by Trustor in payment of any indebtedness secured hereby or performance of any covenant or condition set forth in a Development Funding Agreement between Trustor and Beneficiary shall constitute a default under this Deed of Trust, and upon default by Trustor under the terms of any encumbrance, charge, or lien which is or appears to be prior or superior hereto, Beneficiary may declare all sums secured hereby immediately due and Packet Pg. 333 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) payable by delivery to Trustee of written declaration of default and demand for sale of written notice of default and of election to cause to be sold said property, which notice Trustee shall cause to be filed for record. Beneficiary shall also deposit with Trustee this Deed of Trust and any Notes and all documents evidencing expenditures secured hereby. After the lapse of such time as then may be required by law following recordation of such notice of default, and notice of sale having been given as then required by law, Trustee, without demand on Trustor, shall sell said property at the time and place fixed by it in such notice of sale, whether as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder in lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of said property by public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at the time fixed by the preceding postponement. Trustee shall deliver to such purchaser its Deed conveying the property so sold, but without any covenant or warranty, express or implied. The recital in such Deed of any matters of fact shall be conclusive evidence of the truthfulness thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale.

Trustee may also sell at any such sale and as part thereof any shares of corporate stock securing the obligations secured hereby, and Trustor waives demand and notice of such sale. (Beneficiary at its option may also foreclose on such shares by independent pledge sale, and Trustor waives demand and notice of such sale.) After deducting all costs, fees and expenses of Trustee, and of this Trust, including cost of evidence of title in connection with this sale, Trustee shall apply the proceeds of sale to payment, first, of all sums expended under the terms hereof, not then repaid, with accrued interest at the rate then payable under the Note or Notes secured hereby, and then of all other sums secured hereby, and, if there are any proceeds remaining, shall distribute them to the person or persons legally entitled thereto.

17. To waive, to the fullest extent permissible by law, the right to plead any statute of limitations as a defense to any demand secured hereby.

18. That Beneficiary may, from time to time, by instrument in writing, substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed and acknowledged by Beneficiary and recorded in the office of the recorder of the county or counties where such property is situated, shall be conclusive proof of property substitution of such successor Trustee or Trustees, who shall, without conveyances from the Trustee predecessor, succeed to all its title, estate, rights, powers, and duties, including but not limited to the power to reconvey the whole or any part of the property covered by this Deed of Trust. Such instrument must contain the name of the original Trustor, Trustee, and Beneficiary hereunder, and the book and page where this Deed of Trust is recorded. If notice of default shall have been recorded, this power of substitution cannot be exercised until after the costs, fees, and expenses of the then acting Trustee shall have been paid to such Trustee, who shall endorse receipt thereof upon such instrument. The procedures herein provided for substitution of Trustee shall not be exclusive of other provisions for substitution provided by law.

19. That this Deed of Trust applies to, inures to the benefit of, and binds all parties hereto, their heirs, legatees, devisees, administrators, executors, transferees, successors, and assigns. The term Beneficiary” shall mean the owner and holder, including pledgee, of the Note secured hereby, whether or not named as Beneficiary herein. In this Deed of Trust, whenever the context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural.

Packet Pg. 334 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center)

20. Trustor agrees to file with Beneficiary annually during July of each calendar year a written operational report which concerns the fiscal year ending on the immediately preceding June 30th and conforms to the standards set forth by the Participating Jurisdiction and 24 CFR Part 92 (with respect to the real property first described in this Deed of Trust) necessary or convenient for Beneficiary to make the annual reports.

21. That in the event of a demand for, and the preparation and delivery of a written statement regarding the obligations secured by this Deed of Trust pursuant to Sections 2943 and 2954 of the Civil Code of California (or successor statutes), Beneficiary shall be entitled to make a reasonable charge, not exceeding the maximum amount which is permitted by law at the time the statement is furnished. Beneficiary may also charge Trustor a reasonable fee for any other services rendered to Trustor or rendered in Trustor's behalf in connection with said property of this Deed of Trust, including changing Beneficiary's records pertaining to this Deed of Trust and the loan secured hereby in connection with the transfer of said property, or releasing an existing policy of fire insurance or other casualty insurance held by Beneficiary and replacing the same with another such policy.

22. That Trustee accepts this Trust when this Deed of Trust, duly executed and acknowledged, is made a public record as provided by law. Trustee is not obligated to notify any party hereto of pending sale under any other Deed of Trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee shall be a party unless brought by Trustee.

23. That should this Deed of Trust or any Note secured hereby provide any fee for prepayment of any indebtedness secured hereby, Trustor agrees to pay said fee, if any, if said indebtedness shall be paid prior to the due date thereof stated in said Note or this Deed of Trust even if and notwithstanding that Trustor shall have defaulted in payment thereof, or in performance of any agreement hereunder, and Beneficiary, by reason thereof, shall have declared all sums secured hereby immediately due and payable.

24. That Trustor has made certain representations and disclosures in order to induce Beneficiary to make the loan evidenced by the Promissory Note or Notes which this Deed of Trust secures, and in the event that Trustor has made any material misrepresentation or failed to disclose any material fact, Beneficiary at its option and without notice, shall have the right to declare the indebtedness secured hereby, irrespective of the maturity date specified in such Note or Notes, immediately due and payable, and on failure to so pay Beneficiary may make a written declaration of default and demand for sale as in paragraph No. 15 herein set forth. Trustee, upon presentation to it of an affidavit signed by Beneficiary setting forth facts showing a default by Trustor under this paragraph, is authorized to accept as true and conclusive all facts and statements therein, and to act thereon hereunder.

Any notice which any party hereto may desire or be required to give to the other party shall be in writing. The mailing thereof must be certified mail addressed to the Trustor at his address herein above set forth or to the Beneficiary at his office or at such other place as such parties hereto may designate in writing.

THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK
Packet Pg. 335 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) THE UNDERSIGNED TRUSTOR REQUESTS that a copy of any notice of default and of any notice of sale hereunder be mailed to him at his address hereinbefore set forth.

Dated: _________, 2024
Signature of Trustor(s):

GOOD NEWS RESCUE MISSION, a
California Nonprofit Public Benefit
Corporation
By: ________________________
Jonathan Anderson
Executive Director
TaxID# 94-1652602
This document must be Notarized.

Packet Pg. 336 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 33 of 48

EXHIBIT A

LEGAL DESCRIPTION
3145 Veda St.

Redding, CA 96001
Accessor’s Parcel Number: 104-620-052-000
THAT REAL PROPERTY IN SECTIONS 14 AND 15 OF THE P. B. READING GRANT, IN

THE CITY OF REDDING, SHASTA COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS:

PARCEL 1: (APN: 104-620-052-000)

COMMENCING AT THE NORTHWEST CORNER OF PARCEL C AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103, SHASTA COUNTY RECORDS; THENCE ALONG THE NORTH LINE OF PARCELS C AND D OF SAID SURVEY, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.07 FEET; THENCE LEAVING SAID NORTH LINE, SOUTH 2° 55' 34" EAST, A DISTANCE OF 70.60 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 2° 55' 34" EAST, A DISTANCE OF 79.28 FEET, MORE OR LESS TO A POINT ON THE NORTH LINE OF PARCEL B OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE ALONG SAID NORTH LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF

2.42 FEET TO THE NORTHWEST CORNER OF THAT CERTAIN PARCEL DESIGNATED "PARCEL 4" IN DEED RECORDED ON NOVEMBER 5, 1990 IN BOOK 2659 OF OFFICIAL RECORDS AT PAGE 303, SHASTA COUNTY RECORDS THENCE ALONG THE WEST LINE OF SAID "PARCEL 4", SOUTH 2° 38' 00" EAST, A DISTANCE OF 96.59 FEET TO A POINT THAT BEARS NORTH 87° 22' 00" EAST, A DISTANCE OF 14.00 FEET FROM THE SOUTHEAST CORNER OF PARCEL A OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE SOUTH 87° 22' 00" WEST, A DISTANCE OF

14.00 FEET TO THE SOUTHEAST CORNER OF SAID PARCEL A; THENCE ALONG THE SOUTH LINE OF SAID PARCEL A, SOUTH 87° 14' 54" WEST, A DISTANCE OF 130.21 FEET (SOUTH 87° 22' 00" WEST, 130.21 FEET PER 46-L.S.-103), MORE OR LESS, TO THE EAST LINE OF VEDA STREET; THENCE ALONG SAID EAST LINE, NORTH 6° 11' 00" WEST, A DISTANCE OF 188.00 FEET; THENCE LEAVING SAID EAST LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.45 FEET, MORE OR LESS, TO THE POINT OF

BEGINNING AND AS DESCRIBED AS RESULTANT PARCEL A OF PROPERTY LINE ADJUSTMENT PLA-6-06.

PARCEL 2: (APN: 104-620-059-000 PORTION)

BEGINNING AT THE SOUTHEAST CORNER OF PARCEL A, AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, SOUTH 6° 11' EAST, ALONG THE WESTERLY LINE OF LOT 29 OF BLOCK 2 OF THE ALTA SUBDIVISION, (BOOK 5 OF MAPS, PAGE 53) A DISTANCE OF 164.40 FEET TO THE SOUTHWEST CORNER OF SAID LOT 29; THENCE, NORTH 87° 22' WEST ALONG THE SOUTH LINE OF SAID LOT 29, 50.00 FEET, TO THE SOUTHEAST CORNER THEREOF; THENCE NORTH 6°11' WEST ALONG THE LINE COMMON TO LOTS 29 AND 30 OF SAID ALTA SUBDIVISION 67.38 FEET TO THE NORTHWEST CORNER OF SAID LOT 30; THENCE NORTH 87° 22' EAST ALONG THE NORTH LINE OF SAID LOT 30, A DISTANCE OF 30.23 FEET; THENCE NORTH 2° 38' WEST 187.00 FEET TO A POINT ON THE NORTH LINE OF PARCEL B, AS SHOWN ON 46 LAND SURVEYS AT PAGE 103; THENCE, NORTH 88° 24' WEST 72.00 FEET MORE OR LESS, TO A POINT Packet Pg. 337 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 34 of 48 WHICH BEARS NORTH 87° 22' EAST, 14.00 FEET; THENCE, NORTH 2° 38' WEST, 86.00 FEET FROM THE POINT OF BEGINNING; THENCE, SOUTH 2° 38' EAST 86.00 FEET; THENCE, SOUTH 87° 22', WEST 14.00 FEET TO THE POINT OF BEGINNING.

PARCEL 3: (APN: 104-620-059-000 PORTION)
BEGINNING AT A POINT ON THE NORTH LINE OF LOT 30 OF BLOCK 2 OF THE ALTA SUBDIVISION (BOOK 5 OF MAPS, PAGE 53) DISTANT THEREON NORTH 87° 22' EAST

30.23 FEET FROM THE NORTHWEST CORNER THEREOF; THENCE, NORTH 87° 22' EAST, 64.00 FEET TO THE SOUTHEAST CORNER OF PARCEL B AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, NORTH 2° 38' WEST ALONG THE EAST LINE OF SAID PARCEL B, 183.42 FEET TO THE NORTHWEST CORNER OF SAID PARCEL B; THENCE NORTH 88° 24', WEST ALONG THE NORTH LINE OF SAID PARCEL B, 64.00 FEET; THENCE SOUTH 2° 38' EAST, 187.00 FEET TO THE POINT OF BEGINNING.

EXCEPTING THEREFROM THAT PORTION OF LAND CONVEYED TO THE STATE OF

CALIFORNIA, DEPARTMENT OF TRANSPORTATION, IN GRANT DEED RECORDED JUNE 30, 2020 AS INSTRUMENT NO. 2020-0020302 OF OFFICIAL RECORDS.

APN: 104-620-052-000 and 104-620-059-00
Packet Pg. 338 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 35 of 48 EXHIBIT 4

NOTE SECURED BY DEED OF TRUST
Forgivable Note
DO NOT DESTROY THIS NOTE: When paid, this Note along with the Deed of Trust securing same, must be surrendered to Trustee for cancellation before reconveyance will be made.
$3,000,000 ____________, 2024
FOR VALUE RECEIVED, I/We, GOOD NEWS RESCUE MISSION, a California Nonprofit Benefit Corporation, the undersigned (“Borrower/s”) promise to pay to the CITY REDDING, a municipal corporation (“Lender”), whose address is 777 Cypress Avenue, Redding, California, 96001, or order, the principal sum of Three Million and No/100 Dollars ($3,000,000), at the rate of Zero percent (0%) simple interest per annum. Provided that the Borrower/s continue to meet the requirements set forth in the Development Funding Agreement (DFA) executed by Borrower and Lender on , 2024 for a five (5) year period from the date of recordation of the Notice of Completionissuance of a Notice to Proceed, as incorporated as Exhibit 89 in aforementioned DFA, all principal and interest will be forgiven.

Borrower/s may choose to repay any or all of the principal and interest described in this Note at any time before the end of five (5) years without penalty.

Should default be made, by either failure to comply with any of the terms and conditions of this Note, the Deed of Trust securing this Note, the DFA, or the Declaration of Restrictive Covenants, or in the performance of any of the obligations of Borrower/s contained therein, the entire sum of principal and interest shall become immediately due and payable at Lender’s option. Failure by Lender to exercise this option upon one or more events of default by Borrower/s shall not constitute a waiver of the right to exercise it in the event of any subsequent default.

Whether or not suit is filed, Borrower/s agree to pay all reasonable attorney’s fees, costs of collection, costs and expenses incurred by Lender in connection with the enforcement or collection of the Note.

This Note is secured by a Deed of Trust of even date herewith, executed by Borrower/s in favor of Lender.

Borrower

GOOD NEWS RESCUE MISSION,
A California Nonprofit Public Benefit Corporation
By: ______________________________________
Jonathan Anderson, Executive Director
Packet Pg. 339 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 36 of 48 EXHIBIT 5

RECORDED AT REQUEST OF
AND RETURN TO:

City of Redding Housing Division
777 Cypress Avenue
Redding, CA 96001
Attention: Housing Manager
______________________________________________________________________________ (Space above this line for Recorder’s use only.)

DECLARATION OF

RESTRICTIVE COVENANT
(Homeless Services)
This Declaration of Restrictive Covenants (“Covenant”) is made as of this ________ day of ____________, 2024, between the CITY OF REDDING, a municipal corporation and general law city (“City”) and the GOOD NEWS RESCUE MISSION, a California Nonprofit Public Benefit Corporation (“Developer”). with reference to the following facts:

RECITALS
A. The City of Redding (City) is a municipal corporation and general law city.

B. Developer is a nonprofit corporation organized under the laws of the State of California and qualifying for Federal Tax-Exempt Status under Section 501(c)(3) of the Internal Revenue Code.

C. Developer is presently in escrow or the owner of the Property located at 3145 Veda Street, Redding, Shasta City, California, Assessor’s Parcel Number 104-620-052-000 and 3150 S Market Street Assessor’s Parcel Number 104-620-059-000, (the “Project Site” or “Site”). The Site is described in Exhibit A, “Legal Description” attached hereto and incorporated by reference herein.

D. Developer is interested in providing or developing additional homeless services that supports the homeless population within the City of Redding.

E. City desires to provide Encampment funds to Developer for the sole purpose of assisting Developer with the acquisition and rehabilitation costs of the Property Site for the Project.

F. On January 29, 2021, the City Council of the City of Redding approved a loan in an amount not to exceed $3,000,000 to the GNRM to purchase and rehabilitate the Property as a day resource center for homeless individuals.

G. City and Developer desire to enter into this Covenant set forth the mutual obligations of the City and Developer in connection with the Project Site.

Packet Pg. 340 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 37 of 48 NOW, THEREFORE, the City and Owner hereby declare that the following express covenants are to be taken and construed as running with the Property and, except as set forth below, shall pass to and be binding upon Owner and its successors, assigns, heirs, grantees or lessees to the Property or any part thereof from the date of recordation of this Covenant and shall continue for 10 years from the execution of the Funding Agreement. Each and every contract, deed, lease or other instrument covering or conveying the Property or any portion thereof shall be held conclusively to have been executed, delivered and accepted subject to covenants and restrictions regardless of whether such covenants and restrictions are set forth in such contract, deed, lease or other instruments.

1. Purpose and Effect of Covenant.

The purpose of this Covenant is to restrict the use of the Property as set forth in Paragraph 2 below.

2. Restrictions Affecting the Property.

The Owner hereby agrees to the below restrictions for 10 years from the execution of the Funding Agreement.

The Property shall be used solely and exclusively for, homeless services for the homeless citizens of the City on the Project Site as allowed by local law. “Homeless services” may include, but are not limited to, prevention and rapid rehousing services to individuals and families who are homeless including stabilization services including housing search, mediation, outreach to property owners, credit repair, security or utility deposits, utility payments, rental assistance for a final month at a location, moving cost assistance, and case management, or other appropriate activities for homelessness prevention and rapid rehousing of persons who have become homeless. Other “Homeless services” may include a warming/cooling area, laundry facilities, shower facility, personal storage area, charging stations and internet access.

3. Restrictions Run with the Property.

Owner intends that the provisions set forth in Paragraph 2 above are covenants which shall run with the land and be binding upon Owner, its heirs, successors and assigns, including lessees or other users of the Property (collectively, “Users”). Should it be determined that the restrictions contained in Paragraph 2 are not covenants which run with the land, Owner intends that these provisions are equitable servitudes which run with the land and are binding upon all Users. Owner also intends that the provisions set forth in Paragraph 2 may be enforced by Owner against Users even if Owner does not own property which is benefited by these provisions. Should any portion of Paragraph 2 be held to be unenforceable, all of the other portions shall remain binding and enforceable. Should any portion of Paragraph 2 be held to not run with the land, all of the other portions shall continue to run with the land.

4. Irrevocability of Covenant.

This Covenant may not be revoked, or materially modified or amended, by Owner during the term hereof without the prior written consent of City.

Packet Pg. 341 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 38 of 48

5. Maintenance; Compliance with Law.

Owner agrees to maintain all improvements, including landscaping, of the Property in good condition, repair and sanitary condition (and, as to landscaping, in a healthy condition) and in accordance with any requirements (including without limitation any landscaping and signage), as the same may be amended from time to time, and all other applicable laws, rules, ordinances, orders, and regulations of all federal, state, City, municipal, and other governmental agencies and bodies having or claiming jurisdiction and all their respective departments, bureaus, and officials. Owner acknowledges the great emphasis the City places on quality and to provide quality services to eligible participants to ensure compliance with this Development Funding Agreement. In addition, Owner shall keep the Property free from all graffiti and any accumulation of debris or waste material. Owner shall promptly make all repairs and replacements necessary to keep the Property in good condition and repair and shall promptly eliminate all graffiti and replace dead and diseased plants and landscaping with comparable approved materials.

6. Owner’s Rights.

Except for the express restrictions on use of the Property as set forth herein, Owner shall have all other rights of ownership appurtenant to the Property and the right to exercise same.

7. Term of the Covenant.

This Covenant shall automatically terminate on the date which is 10 years from the date of the execution of the Funding Agreement, if not earlier terminated by mutual consent of Owner and City (“Term of the Covenant”).

8. Defaults:

Among others, each of the following shall constitute an “Event of Default” by Owner under this Covenant:
i Failure to operate and maintain the Property pursuant to requirements of the Covenant, Development Funding Agreement, and other applicable state and federal laws and regulations;
ii Owner’s unauthorized sale or transfer of the Property in violation of this Covenant, or Funding Agreement;
iii Failure to operate and maintain the Property as a location for personal property storage facilities, homeless services and daily life necessities for the homeless citizens of the City as allowed by local law for the Term of the Covenant. iv Any fraudulent act or omission by the Owner pertaining to or made in connection with the use of the Funds, Development Funding Agreement or operation and maintenance of the Property as indicated above.

9. Remedies:

The occurrence of any Event of Default, or any other violation of Owner under this Covenant or the Development Funding Agreement shall give the City the right to proceed with any and all remedies available to the City including but not limited to:

Packet Pg. 342 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 39 of 48 (a) Specific Performance: The City shall have the right to mandamus or other suit, action or proceeding at law or in equity to require Owner to perform its obligations and covenants under this Covenant or Development Funding Agreement or to enjoin acts on things, which may be unlawful, or in violation of the provisions of this Covenant or Development Funding Agreement.
(b) Remedies Cumulative. No right, power, or remedy given to the City by the terms of this Covenant or Development Funding Agreement is intended to be exclusive of any other right, power, or remedy; and each and every such right, power, or remedy shall be cumulative and in addition to every other right, power, or remedy given to the City by the terms of any such instrument, or by any statute or otherwise against Owner and any other person. Neither the failure nor any delay on the part of the City to exercise any such rights and remedies shall operate as a waiver thereof, nor shall any single or partial exercise by the City of any such right or remedy preclude any other or further exercise of such right or remedy, or any other right or remedy.

10. Notice: Notices or other communications which may be required or provided under the terms of this Covenant shall be given as follows:

Owner City
The Good News Rescue Mission City of Redding, Housing Division Attn: Executive Director Attn: Housing Manager
2842 S. Market Street 777 Cypress Avenue
Redding, CA 96001 Redding, CA 96001

THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK
Packet Pg. 343 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 40 of 48 IN WITNESS WHEREOF, the City and the Developer have executed this FA on the respective dates set forth below:

Date: ____________________
CITY:

City of Redding
_________________________________
Barry Tippin, City Manager
APPROVED AS TO FORM:

Barry E. DeWalt, GENERAL COUNSEL
_____________________________________
By:

Date: ____________________
DEVELOPER:

Good News Rescue Mission, a California
Nonprofit Benefit Corporation
_________________________________
By: Jonathan Anderson
Title: Executive Director
TaxID# 94-1652602
Packet Pg. 344 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 41 of 48 Exhibit A
PARCEL 1: (APN: 104-620-052-000)

COMMENCING AT THE NORTHWEST CORNER OF PARCEL C AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103, SHASTA COUNTY RECORDS; THENCE ALONG THE NORTH LINE OF PARCELS C AND D OF SAID SURVEY, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.07 FEET; THENCE LEAVING SAID NORTH LINE, SOUTH 2° 55' 34" EAST, A DISTANCE OF 70.60 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 2° 55' 34" EAST, A DISTANCE OF 79.28 FEET, MORE OR LESS TO A POINT ON THE NORTH LINE OF PARCEL B OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE ALONG SAID NORTH LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF

2.42 FEET TO THE NORTHWEST CORNER OF THAT CERTAIN PARCEL DESIGNATED "PARCEL 4" IN DEED RECORDED ON NOVEMBER 5, 1990 IN BOOK 2659 OF OFFICIAL RECORDS AT PAGE 303, SHASTA COUNTY RECORDS THENCE ALONG THE WEST LINE OF SAID "PARCEL 4", SOUTH 2° 38' 00" EAST, A DISTANCE OF 96.59 FEET TO A POINT THAT BEARS NORTH 87° 22' 00" EAST, A DISTANCE OF 14.00 FEET FROM THE SOUTHEAST CORNER OF PARCEL A OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE SOUTH 87° 22' 00" WEST, A DISTANCE OF

14.00 FEET TO THE SOUTHEAST CORNER OF SAID PARCEL A; THENCE ALONG THE SOUTH LINE OF SAID PARCEL A, SOUTH 87° 14' 54" WEST, A DISTANCE OF 130.21 FEET (SOUTH 87° 22' 00" WEST, 130.21 FEET PER 46-L.S.-103), MORE OR LESS, TO THE EAST LINE OF VEDA STREET; THENCE ALONG SAID EAST LINE, NORTH 6° 11' 00" WEST, A DISTANCE OF 188.00 FEET; THENCE LEAVING SAID EAST LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.45 FEET, MORE OR LESS, TO THE POINT OF

BEGINNING AND AS DESCRIBED AS RESULTANT PARCEL A OF PROPERTY LINE ADJUSTMENT PLA-6-06.

Packet Pg. 345 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 42 of 48 EXHIBIT 6

SCOPE OF

DEVELOPMENT
I. GENERAL
The Project Site is specifically delineated on the Legal Description (Exhibit 1) and the Site Map (Exhibit 2) pursuant to this Development Funding Agreement. The Developer agrees that the Project Site shall be rehabilitated in accordance with the provisions of this Agreement, referenced in Section 2.2 of the Agreement, and all drawings and related documents approved by the City of Redding pursuant hereto.

II. DEVELOPMENT
The Developer shall improve or cause to be improved, on the Project Site, all pursuant to the Agreement, this Exhibit, the Final Project Plans and Specifications, and all conditions set forth in any City permit issued for the Project. The Project will be completed to the satisfaction of the City of Redding Housing Division and the Project Manager.

The Developer shall commence and complete the Project by the respective times established therefore in the Schedule of Performance.

III. DEVELOPMENT STANDARDS
The Project shall conform to all applicable state laws and regulations and to local zoning, applicable provisions of the Municipal Code of the City of Redding and all applicable City development standards.

The Developer shall apply for and obtain any permits required for the development including those permits and approvals required by the City of Redding Development Services Department or Transportation and Engineering Department.

Packet Pg. 346 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 43 of 48 EXHIBIT 7
Schedule of Performance
Action Time Frame

1. City and Developer approve DFA. February 20, 2024

2. Developer provides acceptable insurance to the City Risk Management. Prior to City execution of DFA

3. Execution of DFA and all security documents Within 7 days of approval of insurance

4. DFA and security documents are delivered to Escrow Agent. Within 10 days of execution of DFA

5. Escrow Agent to notifyprovide City and Developer with closing statement.

Within 10 days prior to Close
of Escrow

6. Close of Escrow, recordation of security documents and release of acquisition and eligible escrow fees.

Within 30 days of execution of
DFA

7. Escrow Agent to issue and deliver Title Insurance to the City. At close of escrow

8. Developer submits application for Use Permit. Within 10 days of close of escrow

9. Developer submits Final Project Plans and Budget to Project Manager.

Within 45 days of close of
escrow

10. Project Manager approves or rejects Final Project Plans. Within 14 days of receipt of Final Project Plans

11. Developer submits plans and building permit application. Within 14 days of Project Manager approval

11. Developer and/or General Contractor obtains use and building permits.

Within 60 days of submittal to
the Building Department

12. Project Manager issues a Notice to Proceed Within 10 days of issuance of use and
building permits

13. Developer and/or General Contractor commences improvements Within 15 days of issuance of the Notice to Proceed

14. Improvements completed. Within 12 months
following issuance of
building permits

15. Recordation of Notice of Completion. Within 14 days of the completion certificate
issued by the Building
Department

16. City will issue a Certificate of Completion. Within 35 days following recordation of the Notice
of Completion

17. Developer begins the operation of the public facility. Within 30 days following issuance of Certificate of
Completion.

Packet Pg. 347 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 44 of 48 EXHBIIT 8
Notice to Proceed
Packet Pg. 348 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 45 of 48 EXHIBIT 9

RECORDING REQUESTED BY

CITY OF REDDING
WHEN RECORDED, MAIL TO:

CITY OF REDDING
P.O. Box 496071
Redding, CA 96049-6071
Loan No.:

THIS SPACE FOR RECORDER'S USE ONLY

NOTICE OF COMPLETION
Notice pursuant to Civil Code Section 3093 must be filed within 10 days after completion.

NOTICE IS HEREBY GIVEN THAT:

1. The undersigned is the owner or authorized agent of the owner of the interest or estate stated below in the property hereinafter described.

2. The full name of the owner is: The Good News Rescue Mission.

3. The full address of the owner is: 2842 S. Market Street, Redding, CA 96001

4. The nature of the interest or estate of the undersigned is: In Fee

5. The full names and full addresses of all persons, if any, who hold title with the undersigned as joint tenants or as tenants in common are: None

6. Work or improvement on the property hereinafter described was construction and was completed on _____._

7. Said work or improvement was undertaken on said property pursuant to a contract dated _______________, 2024 with General Contractor.

The street address of the property on which said work or improvement was completed is 3145 Veda Street, Redding, CA 96001, County of Shasta, State of California, APN: 104-620-052-000 I, the undersigned, state that I am the declarant of the foregoing Notice of Completion; that I have read said Notice of Completion and, to the best of my knowledge, I declare under penalty of perjury that the foregoing is true and correct.

Date: ____________________
DEVELOPER:

Good News Rescue Mission, a California
Nonprofit Benefit Corporation
_________________________________
By: Jonathan Anderson
Title: Executive Director
Packet Pg. 349 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 46 of 48 EXHIBIT 10

CERTIFICATE OF COMPLETION
THIS CERTIFICATE OF COMPLETION (the "Certificate") is made by the CITY OF REDDING a municipal corporation and general law city (the "CITY"), in favor of GOOD NEWS RESCUE MISSION a California Nonprofit Public Benefit Corporation (the "OWNER"), as of the date set forth below.

RECITALS
A. The CITY and the OWNER have entered into that certain Development Funding Agreement (DFA) dated February ____, 2024 concerning the development of certain real property situated in Redding, California, including Assessor Parcel Number(s) 104-620-052-000 and 104-620-059-000 as more fully described in Exhibit A attached hereto and made a part hereof (the Property).

B. The DFA sets forth the obligations of OWNER, referred to as Developer, under the DFA.

C. The CITY has conclusively determined that the Developer has satisfactorily completed the obligations of the DEVELOPER relative to development of the Property required by the DFA and now desires to furnish DEVELOPER or its successors with a Certificate of Completion. This Certificate is in such form as to permit conclusive determination of satisfactory completion of all of the obligations of the DEVELOPER required by the DFA regarding development of the property.

NOW, THEREFORE, the CITY hereby certifies as follows:

1. The obligations of the DEVELOPER regarding development of the Site as stated in the DFA have been fully and satisfactorily completed in conformance with the DFA except as to those breaches of contract or defects in construction that could not have reasonably been discovered by CITY at the time of issuance of the Certificate of Completion.

2. Nothing contained in this instrument shall modify in any way any other provisions of the DFA.

IN WITNESS WHEREOF, the CITY has executed this Certificate this ____ day of , 202 .

CITY OF REDDING, a municipal
corporation
____________________________________
BARRY TIPPIN, City Manager
Packet Pg. 350 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 47 of 48 Exhibit A
Real property in the City of Redding, County of Shasta, State of California, described as follows:

THAT REAL PROPERTY IN SECTIONS 14 AND 15 OF THE P. B. READING GRANT, IN

THE CITY OF REDDING, SHASTA COUNTY, CALIFORNIA, DESCRIBED AS FOLLOWS:

PARCEL 1: (APN: 104-620-052-000)

COMMENCING AT THE NORTHWEST CORNER OF PARCEL C AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103, SHASTA COUNTY RECORDS; THENCE ALONG THE NORTH LINE OF PARCELS C AND D OF SAID SURVEY, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.07 FEET; THENCE LEAVING SAID NORTH LINE, SOUTH 2° 55' 34" EAST, A DISTANCE OF 70.60 FEET TO THE POINT OF BEGINNING; THENCE CONTINUING SOUTH 2° 55' 34" EAST, A DISTANCE OF 79.28 FEET, MORE OR LESS TO A POINT ON THE NORTH LINE OF PARCEL B OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE ALONG SAID NORTH LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF

2.42 FEET TO THE NORTHWEST CORNER OF THAT CERTAIN PARCEL DESIGNATED "PARCEL 4" IN DEED RECORDED ON NOVEMBER 5, 1990 IN BOOK 2659 OF OFFICIAL RECORDS AT PAGE 303, SHASTA COUNTY RECORDS THENCE ALONG THE WEST LINE OF SAID "PARCEL 4", SOUTH 2° 38' 00" EAST, A DISTANCE OF 96.59 FEET TO A POINT THAT BEARS NORTH 87° 22' 00" EAST, A DISTANCE OF 14.00 FEET FROM THE SOUTHEAST CORNER OF PARCEL A OF SAID SURVEY RECORDED IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE SOUTH 87° 22' 00" WEST, A DISTANCE OF

14.00 FEET TO THE SOUTHEAST CORNER OF SAID PARCEL A; THENCE ALONG THE SOUTH LINE OF SAID PARCEL A, SOUTH 87° 14' 54" WEST, A DISTANCE OF 130.21 FEET (SOUTH 87° 22' 00" WEST, 130.21 FEET PER 46-L.S.-103), MORE OR LESS, TO THE EAST LINE OF VEDA STREET; THENCE ALONG SAID EAST LINE, NORTH 6° 11' 00" WEST, A DISTANCE OF 188.00 FEET; THENCE LEAVING SAID EAST LINE, SOUTH 88° 24' 00" EAST, A DISTANCE OF 153.45 FEET, MORE OR LESS, TO THE POINT OF

BEGINNING AND AS DESCRIBED AS RESULTANT PARCEL A OF PROPERTY LINE ADJUSTMENT PLA-6-06.

PARCEL 2: (APN: 104-620-059-000 PORTION)

BEGINNING AT THE SOUTHEAST CORNER OF PARCEL A, AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, SOUTH 6° 11' EAST, ALONG THE WESTERLY LINE OF LOT 29 OF BLOCK 2 OF THE ALTA SUBDIVISION, (BOOK 5 OF MAPS, PAGE 53) A DISTANCE OF 164.40 FEET TO THE SOUTHWEST CORNER OF SAID LOT 29; THENCE, NORTH 87° 22' WEST ALONG THE SOUTH LINE OF SAID LOT 29, 50.00 FEET, TO THE SOUTHEAST CORNER THEREOF; THENCE NORTH 6°11' WEST ALONG THE LINE COMMON TO LOTS 29 AND 30 OF SAID ALTA SUBDIVISION 67.38 FEET TO THE NORTHWEST CORNER OF SAID LOT 30; THENCE NORTH 87° 22' EAST ALONG THE NORTH LINE OF SAID LOT 30, A DISTANCE OF 30.23 FEET; THENCE NORTH 2° 38' WEST 187.00 FEET TO A POINT ON THE NORTH LINE OF PARCEL B, AS SHOWN ON 46 LAND SURVEYS AT PAGE 103; THENCE, NORTH 88° 24' WEST 72.00 FEET MORE OR LESS, TO A POINT WHICH BEARS NORTH 87° 22' EAST, 14.00 FEET; THENCE, NORTH 2° 38' WEST, 86.00 Packet Pg. 351 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center) Development Funding Agreement Between the GNRM and the City of Redding Page 48 of 48 FEET FROM THE POINT OF BEGINNING; THENCE, SOUTH 2° 38' EAST 86.00 FEET; THENCE, SOUTH 87° 22', WEST 14.00 FEET TO THE POINT OF BEGINNING.

PARCEL 3: (APN: 104-620-059-000 PORTION)
BEGINNING AT A POINT ON THE NORTH LINE OF LOT 30 OF BLOCK 2 OF THE ALTA SUBDIVISION (BOOK 5 OF MAPS, PAGE 53) DISTANT THEREON NORTH 87° 22' EAST

30.23 FEET FROM THE NORTHWEST CORNER THEREOF; THENCE, NORTH 87° 22' EAST, 64.00 FEET TO THE SOUTHEAST CORNER OF PARCEL B AS SHOWN ON A SURVEY FILED MARCH 27, 1984 IN BOOK 46 OF LAND SURVEYS AT PAGE 103; THENCE, NORTH 2° 38' WEST ALONG THE EAST LINE OF SAID PARCEL B, 183.42 FEET TO THE NORTHWEST CORNER OF SAID PARCEL B; THENCE NORTH 88° 24', WEST ALONG THE NORTH LINE OF SAID PARCEL B, 64.00 FEET; THENCE SOUTH 2° 38' EAST, 187.00 FEET TO THE POINT OF BEGINNING.

EXCEPTING THEREFROM THAT PORTION OF LAND CONVEYED TO THE STATE OF

CALIFORNIA, DEPARTMENT OF TRANSPORTATION, IN GRANT DEED RECORDED JUNE 30, 2020 AS INSTRUMENT NO. 2020-0020302 OF OFFICIAL RECORDS.

APN: 104-620-052-000 and 104-620-059-00
X:\Redev\Staff Reports\2024 Staff Reports\Attachments\GNRM DA DRC.doc Packet Pg. 352 Attachment: Draft Development Funding Agreement with GNRM (9.2(d)--Good News Rescue Mission Day Resource Center)

CITY OF REDDING

REPORT TO THE CITY COUNCIL
Recommendation
Accept the City of Redding’s Fiscal Year 2023-24 Mid-Year Budget Report; and adopt Resolution approving and adopting the 34th Amendment to City Budget Resolution No. 2023- 060 increasing appropriations by $1,420,600 for Fiscal Year 2023-24 and increasing appropriations by $163,800 for Fiscal Year 2024-25.

Fiscal Impact
The recommended changes to the General Fund will meet the City Council (Council) directive to maintain a ten percent reserve in the General Fund. The other recommended changes will not reduce reserve levels below those required in the respective funds.

Alternative Action
The Council could choose to reject the report and request additional information.

Background/Analysis
The City of Redding (City) has expended $63,738,430 from the General Fund through December 31, 2023. This level of expenditure represents 47.9 percent of total appropriations, and is $856,216 or 1.3 percent below staff’s cash flow estimate of $64,594,646 through December 31, 2023. Below is a breakdown by department of Expense compared to budget:

MEETING DATE: February 20, 2024
ITEM NO. 9.10(a)
FROM:
***APPROVED BY***
[email protected] [email protected]
SUBJECT: 9.10(a)--Consider City of Redding Mid-Year Budget Review and Associated Resolution
Greg Robinett, Director of
Finance/City Treasurer
Packet Pg. 353
Report to Redding City Council February 14, 2024
Re: 9.10(a)--City of Redding Mid-Year Budget Review Page 2 Actual Budget Variance Variance %
General Government 4,428,599 4,866,103 437,504 8.99%
Non Dept, Mid town, Debt Service & Animal Reg 1,750,303 3,062,619 1,312,316 42.85% Development Services 3,187,105 3,304,461 117,356 3.55%
PW 9,037,269 10,784,283 1,747,014 16.20%
Police 24,845,412 23,707,827 (1,137,585) -4.80%
Fire 15,740,523 13,861,574 (1,878,949) -13.56%
Parks 4,749,220 5,007,779 258,559 5.16%
Total 63,738,430 64,594,646 856,216 1.33%
General Fund revenue as of December 31, 2023, totals $36,291,276 which is $623,129 or 1.7 percent below staff’s cash flow projection of $36,914,405. Staff is not recommending any changes to projected revenues at this time.

Actual Budget Variance Variance %
Operating Revenues $ 24 $ - $ 24 100.00%
Tax Revenues $22,506,441 $24,384,943 $(1,878,502) -7.70% Licenses & Permits $ 1,060,489 $ 1,195,674 $ (135,185) -11.31% Fines & Penalties $ 1,762,013 $ 405,676 $ 1,356,337 334.34% PILOT & Transfers $ 6,074,030 $ 6,074,030 $ 0 0.00%
Revenue from Other Government Agencies $ 1,634,186 $ 1,540,234 $ 93,952 6.10% Total Other Revenues $ 1,366,456 $ 1,162,692 $ 203,764 17.53% Charges for Current Services $ 1,414,785 $ 1,717,782 $ (302,997) -17.64% Property Rental & Investment Income $ 472,853 $ 433,374 $ 39,479 9.11% Total $36,291,276 $36,914,405 $ (623,129) -1.69%
Below is a breakdown of the tax revenues through December 31, 2023. Tax revenues are the primary revenue source which fund General Fund operations.

Actual Budget Variance Variance %
Property Taxes 1,112,351 1,091,025 21,326 1.95%
Sales Tax 15,653,001 16,390,464 (737,463) -4.50%
TOT 4,116,675 4,550,954 (434,279) -9.54%
Cannabis 561,233 1,047,500 (486,267) -46.42%
Other Taxes 1,063,182 1,305,000 (241,818) -18.53%
Total 22,506,441 24,384,943 (1,878,502) -7.70%
Property Taxes are primarily received in January and May. Below is a breakdown of the tax revenues through January 31, 2024.

Actual Budget Variance Variance %
Property Taxes 16,050,496 14,172,489 1,878,007 13.25%
Sales Tax 17,807,441 19,030,698 (1,223,257) -6.43%
TOT 4,561,335 5,051,531 (490,196) -9.70%
Cannabis 753,878 1,571,250 (817,372) -52.02%
Other Taxes 1,221,593 1,522,500 (300,907) -19.76%
Total 40,394,743 41,348,468 (953,725) -2.31%
Packet Pg. 354
Report to Redding City Council February 14, 2024
Re: 9.10(a)--City of Redding Mid-Year Budget Review Page 3 General Fund Reserves
After completion of the annual audit, staff is recommending a change to the cash balance as of July 1, 2023. Staff is recommending a decrease of $1.5 million for a total of $21.0 million for the beginning cash for Fiscal Year (FY) 2023-24. Cash is impacted by revenues, expenses, and changes to certain balance sheet activity which require cash. As a result of the final audit results we are recommending this change to account for adjusted cash net of encumbrances and carryovers and any other adjustment items for FY 23-24. Total Cash was $29.7 million at the end of FY 22-23.

Ten-Year Plan
The Ten-Year plan attached reflects the changes approved by Council since the adoption of the budget and the recommended adjustments in this staff report. Additionally, the Ten-Year plan has been updated to reflect the most recent actuarial valuations received this year from CalPERS.

As a result of these changes and the effects of having an adopted budget with a structural deficit the year in which the General Fund Ten-Year Plan falls below the ten percent reserve has moved to FY 25-26. As a result of this staff is working on addressing the impacts of this structural issue and will bring a plan that solves the financial issue back to council no later than the Mid-Cycle Budget update.

General Fund Overtime
The City’s General Fund overtime expense totals $3,476,439 through December 31, 2023. This is $1,575,629 above staff’s cash flow estimate of $1,900,810. The expenditures year-to-date compared to the year-to-date budget are listed below, of which, the four largest overtime budgets are Fire, Police, Parks, and Streets:
• The Fire Department had overtime expenses through December 31, 2023, of $2,512,582 compared to a total overtime budget of $1,114,310; • The Police Department had overtime expenses through December 31, 2023, of $837,125 compared to a total overtime budget of $744,500; • The Community Services Department had overtime expenses through December 31, 2023, of $65,072 compared to a total overtime budget of $0. • The Public Works Department had overtime expenses through December 31, 2023, of $43,466 compared to a total overtime budget of $35,000; and • All other General Fund Departments had overtime expenses through December 31, 2021, of $18,193 compared to an overtime budget of $7,000.

Although some of the aforementioned expenses are either over budget or nearly over budget, there are no additional budget requests at this time. Each department has adequate savings in areas such as personnel charges and/or additional cross charges to other City departments, to offset the excess costs.

Budget Requests
Citywide there have been modifications to salaries as part of various negotiations that were not part of the adopted budget. Staff is recommending to not modify budgets at this time but advising there will be recommended adjustments as part of the year end process. This is due to the fact that the amounts required will be easier to define with certainty at year end for both FY 23-24 & FY 24-25.

Packet Pg. 355
Report to Redding City Council February 14, 2024
Re: 9.10(a)--City of Redding Mid-Year Budget Review Page 4 Additionally, there are cost increases relative to budget for insurance costs that staff will bring as one item with year end as FY 24-25 will be easier to define at that time.

Department FY 2023-24 FY 2024-25
City Attorney 28,000.00 -
Community Services 40,000.00 40,000.00
Total 68,000.00 40,000.00
General Fund
There are two requests at this time for the General Fund budget modifications. The first is a result of the recruitment costs of the new City Attorney. The second is for the Martin Luther King Center Camp King for $40,000 per year as there is no longer available grant funding from Shasta County to help offset the costs and the increased costs resulting from changes to the minimum wage.

Department FY 2023-24 FY 2024-25
Electric 745,000.00 47,000.00
Solid Waste 112,000.00 -
Total 857,000.00 47,000.00
Enterprise Funds
Redding Electric Utility is requesting budget modifications for $745,000 in FY 23-24 and $47,000 in FY 24-25. In FY 23-24 this includes $175,000 related to recruiting costs, $250,000 for professional services & consulting for Safety Program Consulting ($150,000) and FAC-008 Methodology review ($100,000), $110,000 for a Supervisory Control and Data Acquisition (SCADA) network system implementation, $110,000 for ESRI Advantage Program consulting for development and assistance with comprehensive GIS Utility Network Upgrade, and $100,000 to build out two offices at the Corp Yard and installation of two additional bathroom stalls. In FY 24-25 there is $47,000 requested for the SCADA network system’s annual licensing fee.

Solid Waste is requesting $75,000 for recycling services due to a large stockpile of material onsite due to the inflow of recyclables exceeding the pace of processing; $15,000 is for replacing a gas analyzer for the landfill gas collection system at the Benton Landfill; and $22,000 for the cost of water testing for constituent of concern.

Department FY 2023-24 FY 2024-25
Information Technologies 430,400.00 45,000.00
Communications - Radios 61,800.00 31,800.00
Records Management 3,400.00
Total 495,600.00 76,800.00
Internal Service Funds
Information Technologies is requesting $430,400 in FY 23-24 and $45,000 in FY 24-25 for the following: $406,400 for the change order to the HCM portion of the Oracle implementation project, $15,000 per year for Cal Net Charges that will be paid and allocated differently as a result of the implementation of the new Oracle system, and $9,000 per year for Barracuda Spam filters which were expected to be replaced with the implementation of Microsoft 365 which was pushed into future years.

Packet Pg. 356
Report to Redding City Council February 14, 2024
Re: 9.10(a)--City of Redding Mid-Year Budget Review Page 5 Communications - Radios is requesting $61,800 in FY 23-24 and $31,800 in FY 24-25 for the following: $30,000 for the cost of back paid tower rents from previous years due to a contract issue that was encountered and solved in the current year, and $31,800 per year in costs which need to paid and allocated in the new Oracle system.

Records Management is requesting $3,400 for a one-time service fee for the new public records request software JustFOIA.

Changes to Mid-Year Report
Due to the launch of the new Enterprise Resource Planning System (ERP) and financial reporting the format of this Mid-Year update has changed a bit. Staff is continuing to refine the best way to leverage the new system to create and potentially improve this report. Expect continued updates and improvements as staff learns the reporting from the new system.

Environmental Review
This is not a project defined under the California Environmental Quality Act, and no further action is required.

Council Priority/City Manager Goals
• Budget and Financial Management – “Achieve balanced and stable Ten-Year Financial Plans for all funds.”
• Communication and Transparency – “Improve the quality of communication with the public and City employees to enhance knowledge and increase transparency to improve public trust.”
Attachments
^Resolution
^Ten Year Plan 23-24 & 24-25 Updated December 2023
Packet Pg. 357
Resolution No. 2024 - ____

BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF REDDING THAT Budget Resolution No. 2023-60 be and is hereby amended as follows:

Fiscal Year Ended 2024
Fund Department Description Increase Decrease
101 1031 City Attorney 28,000 -
101 1721 Recreation Programs 40,000 -
151 1691 Construction Tax Capital Projects - -
211 8035 REU - Line 58,000 -
211 8045 REU - Service Planning 33,000 -
211 8055 REU - Asset Managemnet 292,000 -
211 8061 REU - Operations Engineering 152,000 -
211 8065 REU - GIS 110,000 -
211 8091 REU - Capital 100,000 -
221 6191 Water - Capital Outlay - -
251 6505 Resource Recovery 75,000 -
251 6581 Benton Landfill Monitoring 37,000 -
311 3101 Information Technologies 430,400 -
317 3121 Communications - Radios 61,800 -
341 3401 Records Management 3,400 -
Fiscal Year Ended 2025
Fund Division Description Increase Decrease
101 1721 Recreation Programs 40,000 $ - $
211 8061 REU - Operations Engineering 47,000 -
311 3101 Information Technologies 45,000 -
317 3121 Communications - Radios 31,800 -
- -
A RESOLUTION OF THE CITY OF REDDING APPROVING AND ADOPTING THE 34th AMENDMENT TO CITY BUDGET RESOLUTION NO. 2023-060 INCREASING APPROPRIATIONS BY $1,420,600 FOR FISCAL YEAR 2023-24 AND INCREASING APPROPRIATIONS BY $163,800 FOR FISCAL YEAR 2024-25.
34th AMENDMENT TO CITY BUDGET RESOLUTION NO. 2023-060

Packet Pg. 358 Attachment: ^Resolution (9.10(a)--City of Redding Mid-Year Budget Review) Resolution No. 2024 - ____
THAT account titles and numbers requiring adjustments by this Resolution are as follows:

Fiscal Year Ended 2024
Decrease (Increase) Fund Balance Use of Funds Source of Funds 101 0000 2910000 00000 Beginning Balance 68,000
151 0000 2910000 00000 Beginning Balance -
211 0000 2910000 00000 Beginning Balance 745,000
221 0000 2910000 00000 Beginning Balance -
251 0000 2910000 00000 Beginning Balance 112,000
311 0000 2910000 00000 Beginning Balance 430,400
317 0000 2910000 00000 Beginning Balance 61,800
341 0000 2910000 00000 Beginning Balance 3,400
Expenditures Use of Funds Source of Funds
101 1031 5037519 00000 Testing & Recruiting 28,000
101 1721 5125001 MLK01 Operating Materials & Supplies 40,000 151 1691 7700004 00000 TIF Streets (630,000)
151 1691 7700004 00000 TIF Streets 630,000
211 8035 8930901 00000 Admin. & General - Recruiting 58,000 211 8045 8930901 00000 Admin. & General - Recruiting 33,000 211 8055 8923871 00000 Professional Services/Consulting 250,000 211 8055 8930901 00000 Admin. & General - Recruiting 42,000 211 8061 8930901 00000 Admin. & General - Recruiting 42,000 211 8061 8921301 00000 PC Equipment & Software 110,000
211 8065 8923871 00000 Professional Services/Consulting 110,000 211 8091 7300004 00000 Building Improvements 100,000
221 6191 7800032 00000 Trans & Distribution Mains (1,100,000) 221 6191 7800032 00000 Trans & Distribution Mains 1,100,000 221 6191 7800032 00000 Trans & Distribution Mains (265,000) 221 6191 7800032 00000 Trans & Distribution Mains 265,000 221 6191 7800032 00000 Trans & Distribution Mains (200,000) 221 6191 7800032 00000 Trans & Distribution Mains 200,000 221 6191 7800032 00000 Trans & Distribution Mains (315,000) 221 6191 7800032 00000 Trans & Distribution Mains 315,000 251 6505 5040034 00000 Recycling Services 75,000
251 6581 5125001 00000 Operating Materials & Supplies 15,000 251 6581 5040001 00000 Spec. Services - Tech 22,000
311 3101 7930010 00000 Right-To-Use Subscription Based IT Agreement (SBITA) 87,250 311 3101 7930010 00000 Right-To-Use Subscription Based IT Agreement (SBITA) 319,150 311 3101 5110022 00000 General Telephone Systems 15,000 311 3101 5092501 00000 Office Equipment Maintenance & Repairs 9,000 317 3121 5110001 00000 Communication Expense 25,000
317 3121 5110018 00000 Misc. Payphone 4,520
317 3121 5110006 00000 Phones- Communications 2,280
317 3121 5040001 00000 Specialized Services and Technical 30,000 341 3401 5132501 00000 Software 3,400
1,420,600 1,420,600
34th AMENDMENT TO CITY BUDGET RESOLUTION NO. 2023-060