Rocklin City Council
June 27, 2023

to Reso. No. 2023-

EXHIBIT A
181
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Construction Quality
Assurance Program
City of Rocklin
State of California

ROCKLIN
CALIFO�NIA
July
2023-2028
• ,
182
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TABLE OF CONTENTS
Table of Contents .......................................................................................................................................... 1

1.0 INTRODUCTION ................................................................................................................................. 1

1.1 Purpose and Scope ........................................................................................................................ 1

2.0 APPLICABILITY ................................................................................................................................... 1

3.0 APPROVAL ......................................................................................................................................... 1

4.0 TESTING REQUIRED ........................................................................................................................... 1

4.1 Acceptance Testing ....................................................................................................................... 2

4.2 Timing ............................................................................................................................................ 2

4.3 Test Methods ................................................................................................................................ 2

4.4 Frequency...................................................................................................................................... 2

4.5 Tests to be Performed .................................................................................................................. 2

4.6 Test Result Reporting Guidelines .................................................................................................. 2

4.7 Summary Logs ............................................................................................................................... 2

4.8 Minor Quantities ........................................................................................................................... 3

4.9 Re-testing ...................................................................................................................................... 3

5.0 INDEPENDENT ASSURANCE SAMPLING AND TESTING (IAST) ........................................................... 3

5.1 Applicability ................................................................................................................................... 3

5.2 IAST Testers ................................................................................................................................... 3

5.3 Frequency of IAST ......................................................................................................................... 3

6.0 TESTING OF MANUFACTURED AND ASSEMBLED MATERIALS .......................................................... 4

6.1 Certificate of Compliance .............................................................................................................. 4

6.2 Applicable Materials ..................................................................................................................... 4

6.3 Source Inspection .......................................................................................................................... 4

6.4 Documentation ............................................................................................................................. 4

6.5 Re-Testing ..................................................................................................................................... 4

7.0 COORDINATING SAMPLING AND MATERIAL TESTING ...................................................................... 5

7.1 Construction Documents ................................ .................................................................................... 5

7.2 Sampling and Testing Options ............................................................................................................ 5

7.3 Engineer in Charge .............................................................................................................................. 5

7.4 Contractor Influence ........................................................................................................................... 5 183
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i

7.5 Certification of Laboratory Personnel ................................................................................................. 5

7.6 Laboratory Equipment Calibration...................................................................................................... 5

7.7 Records................................................................................................................................................ 6

7.8 Project Certification ............................................................................................................................ 6 APPENDIX A ................................................................................................................................................... 7 APPENDIX B ................................................................................................................................................. 10 Exhibit 16-T1: Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications .......................................................................................................................................... 11 184
1 CONSTRUCTION QUALITY ASSURANCE PROGRAM

1.0 INTRODUCTION
This document presents the Quality Assurance Program guidelines for the City of Rocklin (City).

1.1 PURPOSE AND SCOPE
This Quality Assurance Program (QAP) is a sampling and testing program that will provide assurance that the materials and workmanship incorporated into the City’s construction projects are in conformance with the contract specifications. This program should be updated every five years or more frequent if there are changes of the testing frequencies or to the tests themselves. The following elements of the QAP are procedures for:
• Acceptance Testing (AT)
• Independent Assurance Sampling and Testing (IAST)
• Testing of Manufactured Materials

2.0 APPLICABILITY
This QAP applies to City projects off the National Highway System (NHS) and off the State Highway System (SHS).

On-NHS Projects
On-NHS projects are governed by Caltrans’ FHWA-a pproved QAP, found in Section 16.11 of the 2023 Local Assistance Procedures Manual (LAPM), Chapter 16.

Off-NHS Projects
Off-NHS Federally funded projects are governed by the procedures of this City of Rocklin QAP. Its use is mandatory for Federal-aid projects and is recommended for other City street and hig hway projects. This local QAP is based upon the requirements for local QAP’s contained in the aforementioned Section 16.11 of the LAPM and the Caltrans QAP Manual.

3.0 APPROVAL
This local QAP has been approved by the City Engineer, who is a registered Civil Engineer. It shall be kept on file and available for review.

4.0 TESTING REQUIRED
General
This local QAP describes procedures for three types of required testing. 185
2 4.1 ACCEPTANCE TESTING
This Section provides procedures for regular testing of materials entering a construction project to verify that the materials, or products, comply with contract specifications or standards.

4.2 TIMING
Sampling should begin as soon as materials are placed on a project. Testing should be performed promptly to enable data evaluation and necessary measures to be taken by the Resident Engineer (RE) and contractor.

4.3 TES T METHODS
Both California and American Society of Testing and Materials (ASTM) test methods are acceptable.

4.4 FREQUENCY
Sampling and testing shall occur in accordance with the attached frequency tables (Appendix A). The tables are intended as a guide: the actual quality of materials tested may justify decreasing or increasing the frequency of subsequent similar samples and tests.

4.5 TESTS TO BE PERFORMED
The tests to be performed shall be in accordance with Caltrans Standard Specifications as modified by the project Special Provisions, except as modified in writing by the City Engineer. As a guideline, the following tests comprise a minimum scope for commonly used materials:
• A
ggregate Base: Sieve Analysis, Sand Equivalent, R-Value, and Durability for each new source. • Aggregate Sub-base: Sieve Analysis, Sand Equivalent, and R-Value • Asphalt Concrete: Maximum Density, In-Place Density (relative compaction) at the site. • Concrete: Compressive Strength, minimum of three cylinders per sample.

4.6 TES T RESULT REPORTING GUIDELINES
Results should be submitted to the RE within five (5) working days of sampling, or as dictated by the construction schedule. Results may be expedited by transmitting via fax, telephone, or email.

4.7 SUMMARY LOGS
Materials Testing Summary Logs shall be maintained by the Resident Engineer (RE) for each material requiring multiple sampling and testing. Log data shall include date, time, station location, test sample depth, approximate quantity of sample material, test result, and tester.
186
3 4.8 MINOR QUANTITIES
Relatively minor quantities of materials from a known reliable source may be accepted with testing if:
• The RE performs visual examination of materials, or
• The manufacturer
or supplier certifies that the material furnished complies with specification requirements.
• The manufacturer or supplier has recently furnished similar materials found to be satisfactory using normal sampling and testing requirements.

Such records of acceptance shall be placed in the RE’s project files with related inspection notes.

Examples of maximum “minor” quantities” include (From LAPM 16.11):
• Bituminous material: 100 gallons per project
• Aggregates used for other than Portland cement concrete: 100 tons per day or 500 tons per project. • Bituminous mixtures: 50 tons per day or 500 tons per project

4.9 RE- TESTING
Failing test results require re-testing to isolate the failed area. The log summary shall cross reference the re-test to the initial failed test.

5.0 INDEPENDENT ASSURANCE SAMPLING AND TESTING (IAST)
Definition
The purpose of these procedures is to verify that Acceptance Testing is being performed correctly and reliably, and to ensure that equipment is properly calibrated.

5.1 APPLICABILITY
IAST procedures are required for federally funded projects on and off the National Highway System (NHS). For on- NHS projects LAPM 16.11 procedures apply. For off-NHS projects, the City will verify that its consultant laboratory’s QAP includes IAST procedures for “testing the testers”. IAST procedures are optional, and may be required at the discretion of the City Engineer, for non-federally funded projects.

5.2 IAST TESTERS
Only persons holding an Independent Assurance Sampler Tester Certificate may perform IAST. These may include individually certified Caltrans or City Resident Engineer (RE) or laboratory personnel of consultant testers. Testers shall be free of conflict of interest if also performing other testing work.

5.3 FREQUENCY OF IAST
The IAST frequency shall be as specified in the consultant laboratory’s QAP for each project where IAST is required. 187
4 6.0 TESTING OF MANUFACTURED AND ASSEMBLED MATERIALS
Definition
This section provides methods for inspecting, accepting and testing materials that are manufactured or prefabricated off the project site.

6.1 CERTIFICATE OF COMPL IANCE
The City may accept manufactured products, materials, or assemblies if accompanied by a Certificate of Compliance (COC), provided they do not involve structural integrity or safety to the public. Such Certificate shall be signed by the manufacturer and shall state that materials and workmanship conform in all respects to the proj ect specifications for the material.

6.2 APPLICABLE MATERIALS
Contract documents shall specify that materials require a Certificate of Compliance (or optional Source Inspection).

Materials Accepted by Certificate of Compliance are listed in Appendix B of this QAP.

6.3 SOURCE INSPECTION
As an alternative to a Certificate of Compliance, the City or its consultant, may perform a Source Inspection in accordance with LAPM 16.11. Caltrans no longer provides source inspection for projects off the State Highway System (SHS).

6.4 DOCUMENTATION
The COC must be furnished before the material is incorporated into the work and must include:
• Project Number
• Certified material lot number matching lot tags affixed or stenciled to the released materials • Manufacturer’s signature
• A statement that the material complies with the specifications of the contract All materials accepted on the basis of a signed COC shall be documented in the inspector’s daily reports. The Resident Engineer shall ensure that COC’s are furnished with material deliveries and are kept in the RE’s project file.

6.5 RE- TESTING
Manufactured products, materials or assemblies used on the basis of a Certificate of compliance may be sampled again at the job site and tested at any time during the life of the contract. Items found not in conformance with contract requirements must be rejected whether in place or not. 188
5 7.0 COORDINATING SAMPLING AND MATERIAL TESTING

7.1 CONSTRUCTION DOCUMEN TS
The City does not provide its own testing and inspection of materials. Pro visions for such services shall be arranged prior to advertising a project and addressed appropriately in the construction documents.

7.2 SAMPLING AND TES TING OPTIONS
The City may select from the following sources to perform sampling and testing:
• Another agency’s laboratory
• Caltrans’ laboratory
• Private consultant laboratory

7.3 ENGINEER IN CHAR GE
All laboratories shall be under the responsible engineering management of a California registered professional engineer who shall verify results of tests performed under their supervision.

7.4 CONTRACTOR INFLU ENCE
The contractor shall not select of exercise any authority over the laboratory utilized.

7.5 CERTIFICATION OF LABORATORY PERSONNEL
The following certification requirements shall apply:
• Current certification is required for the following sampling and testing personnel: construction management/inspection, l ocal agency, consultant laboratory and their sub-consultants. • For off-NHS projects, certification of pe rsonnel for AT and IAST shall be either Caltrans or similar certification acceptable to the City Engineer.
• Certificates for personnel on a project shall be retained in the Resident Engineer’s (RE) project files. • Sampling and testing by an uncertified person is acceptable upon assurance by the RE that t he unc
ertified person is competent to perform the work.

7.6 LABORATORY EQUIP MENT CALIBRATION
The City shall obtain documentation of consultant laboratory’s calibration of its equipment in accordance with LAPM 16.11 and nationally recognized calibration standards. The laboratory is responsible for performing the calibrations and providing such records to the City. Calibration of laboratory equipment (E.g. sand cones, scales, moisture tests, slump cones, air meters) shall occur on regular, appropriate intervals not exceeding one year. 189
6 7.7 RECORDS
City’s QAP and consultant’s QAP material record of samples and tests, material releases, and certificates of compliance for a project shall be incorporated into the RE’s project files. For Federally funded projects, records shall be retained for a period of three (3) years.

7.8 PROJECT CERTIFICATION
Upon project completion, the RE shall complete and sign a “Materials Certificate” (Caltrans LAPM Exhibit 17-G ).

The Certificate shall be retained in the project construction files. All non -conforming materials must be explained and justified on the Certificate.
190
7 APPENDIX A

ACCEPTANCE SAMPLING AND TESTING FREQUENCIES
191

8 Portland Cement Concrete (PCC)
Materials to
be Sampled or
Tested
Sample Size Sampling/Testing Frequency Typical Test
Methods
Description or
Comments
Freshly Mixed
Concrete
(Sampling)
Approx. 150 ob.
(or 1 cu. Ft.) near
mixer discharge
When tests are required, take at least
one sample for each 500 to 1000 cubic
yards (CY) of PCC
ASTM C172,
C685
CTM 539

Freshly Mixed
Concrete
(Testing)
Approx. 150 ob.
(or 1 cu. Ft.) near
mixer discharge
On projects with 500 CY or more test
at least on sample per job.

ASTM C143 Slump Test
Freshly Mixed
Concrete
(Testing)
Approx. 150 ob.
(or 1 cu. Ft.) near
mixer discharge
On projects with 500 CY or more test
at least on sample per job.

ASTM C360 Ball Penetration
Freshly Mixed
Concrete
(Testing)
Approx. 150 ob.
(or 1 cu. Ft.) near
mixer discharge
On projects with 500 CY or more test
at least on sample per job.

ASTM C231
CTM 504
Air content
Freshly Mixed
Concrete
(Testing)
Approx. 150 ob.
(or 1 cu. Ft.) near
mixer discharge
Fabricate at least three (3) concrete
cylinders per sample. Test for
compressive strength at least once for
each 500 to 1000 CY of structural
concrete.

ASTM C39
CTM 521
Fabricate 6”x12”
cylinders. Test at 7
days, and 28 days.

Soils and Aggregates
Materials to
be Sampled or
Tested
Sample Size Sampling/Testing Frequency Typical Test
Methods
Description or
Comments
Aggregate
(Sampling)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM D75
CTM 125
Random sampling
Fine
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM C128
CTM 208
Specific Gravity
Fine
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM C128
CTM 207
Bulk Specific
Gravity and
absorption
Course
Aggregate
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
CTM 206 Cleanness
Course
Aggregate
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM C127
CTM 227
Specific Gravity
and Absorption
Soils and
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM C136
CTM 202
Sieve analysis
Soils and
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM D2419
CTM 217
Sand Equivalent
Soils and
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM D3744
CTM 229
Durability Index
Soils and
Aggregates
(Testing)
One 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM D2844
CTM 301
R – Value
Soils and
Aggregates
(Testing)
One random
location for every
2500 sq. ft.

Take one sample for every 500 to 1000
tons of material
ASTM D2922
CTM 231
Field Density using
a nuclear gage
Soils and One random Take one sample for every 500 to 1000 ASTM D3017 Water content 192

9 Aggregates
(Testing)
location for every
2500 sq. ft.
tons of material CTM 231 using a nuclear
gage
Soils and
Aggregates
(Testing)
One (1) 50 lb.
sample
Take one sample for every 500 to 1000
tons of material
ASTM D1557 Maximum density
and optimum
moisture content
Asphalt Concrete
Materials to
be Sampled or
Tested
Sample Size Sampling/Testing Frequency Typical Test
Methods
Description or
Comments
Asphalt
Concrete
(Sampling)
Obtain one (1)
30-lb. sample
each day of
production
Obtain one sample at the asphalt
concrete plant for each 5000 tons of
asphalt concrete placed
ASTM D75,
D140, D979
CTM 125
---
Asphalt
Concrete
(Testing)
Obtain one (1)
30-lb. sample
each day of
production
At least one sample for each 5000 tons
of asphalt concrete placed
ASTM D1188,
D1560,
D1561,
D5361
CTM 304
Maximum density
and relative
compaction
Asphalt
Concrete
(Testing)
Obtain one (1)
30-lb. sample
each day of
production
At least one sample for each 5000 tons
of asphalt concrete placed
ASTM C117,
D2172
Gradation
Asphalt
Concrete
Sample any test
location
(random)
One test for every 1000 tons of asphalt
concrete placed
ASTM D2950
CTM 375
Field density by
nuclear gage
Asphalt
Concrete
One (1) 10-lb.
sample
One sample per day ASTM D1560,
D1561
CTM 366
Stability

193
10 APPENDIX B
EXHIBIT 16-T1: CONSTRUCTION MATERIALS REQUIRING A

CERTIFICATE OF COMPLIANCE PER CALTRANS STANDARD

SPECIFICATIONS
194

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Exhibit 16-T1: Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
6-1.04 BUY AMERICA
6-1.04B Crumb rubber COC
6-1.04C Steel and iron materials COC + cert. mill test reports 11-2 WELDING QUALITY CONTROL
11-2.03D Welding COC
12-3 TEMP. TRAFFIC CONTROL DEVICES
12-3.03A(3) Plastic traffic drums COC
12-3.20A(3) Type K temporary railing COC
12-3.23A(3) Attenuator COC
12-3.32A(3) Portable CMS COC
13-2 WATER POLLUTION CONTROL PROGRAM
13-9 TEMP. CONCRETE WASHOUTS
13-9.01C Fabric bags for gravel-filled bags COC
Plastic liner COC
13-10 TEMP. LINEAR SEDIMENT BARRIERS
13-10.01C Fiber rolls COC
Silt fence fabrics COC
Sediment filter bags COC
Foam barriers COC
Fabric for gravel-filled bags COC
16-2.03 TEMP. HIGH -VISIBILITY FENCES
16-2.03A(3) High-visibility fabric COC
18 DUST PALLIATIVES
18-1.01C Dust suppressant COC
Dust control binders COC
Fibers COC
20 LANDSCAPE
20-2 IRRIGATION
20-2.08A(3) Polyethylene pipe COC
Plastic pipe supply line COC
* For those materials requiring additional information on or with the COC, see specification. Page 1 of 8 January 2021
195

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
20-3 PLANTING
20-2.08A(3) Sod COC
Soil amendment COC
20-5 LANDSCAPE ELEMENTS
20-5.03A(1)(c) Filter fabric COC + product data
20-5.03D(1)(c) Solidifying emulsion COC + product data & samples 20-5.04A(3) Wood mulch COC + sample & authorization
21-2 EROSION CONTROL WORK
21-2.01C(1) Straw COC
Weed-free straw COC + cert. of quarantine
Fiber COC

RECP COC
Fasteners COC
Hydraulically applied erosion control materials Submit records 21-2.01C(2) Compost Submit reports
21-2.01C(3) Seed Submit reports
21-2.01C(4) Tackifier COC
Bonded fiber matrix COC
24 STABILIZED SOILS
24-1.01C(1) Stabilizing agent COC + sample
24-3 CEMENT STABILIZED SOIL
24-3.01C Cement COC + sample
36-2 BASE BOND BREAKER
36-2.01C Base bond breaker COC
37 BITUMINOUS SEALS
37-1.01C Asphalt binder COC + test results
Asphalt emulsion COC + test results
37-3 SLURRY SEALS AND MICRO-SURFACINGS
37-3.01A(3) Asphaltic emulsion COC + samples & test results Polymer modified asphaltic emulsion COC + samples & test results Micro-surfacing emulsion COC + sample & test results
37-2.04 ASPHALT RUBBER BINDER CHIP SEALS
37-2.04A(3) Asphalt rubber binder ingredients COC + permits & submittals * For those materials requiring additional information on or with the COC, see specification. Page 2 of 8 January 2021
196

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
37-5 PARKING AREA SEALS
37-5.01C Parking area seal material COC + sample & test results 37-6 CRACK TREATMENTS
37-6.01C Crack treatment materials COC or sample & test results 39-2 HOT MIX ASPHALT
39-2.01A(3)(f) Liquid antistrip COC + sample & production data 39-2.03A(3)(c) Crumb rubber modifier COC + test results Asphalt modifier COC + test results
39-2.05A(1)(c) Asphaltic emulsion COC + test results
40 CONCRETE PAVEMENT
40-1.01C(2) Tie bars COC
Splice couplers for threaded bars COC
Dowel bars COC
Tie bar baskets COC
Joint filler COC
Epoxy-powder coating COC
41 EXISTING CONCRETE PAVEMENT
41-5 JOINT SEALS
41-5.01C Liquid joint sealant COC + SDS & instructions
Backer rods COC + SDS & instructions
Compression joint seal COC + SDS & instructions
Lubricant adhesives COC + SDS & instructions
41-10 DRILL AND BOND BARS
41-10.01C Tie bars COC
Dowel bars COC
Dowel bar lubricant COC
Chemical adhesive COC
Epoxy powder coating COC
48-2 FALSEWORK
48-2.01C(1) Structural composite lumber COC + submittals 49-2 DRIVEN PILING
49-2.02A(3)(d) Steel pipe piles COC + tests & mill reports 49-2.03A(3) Structural shape steel piling COC + test reports * For those materials requiring additional information on or with the COC, see specification. Page 3 of 8 January 2021
197

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
51 CONCRETE STRUCTURES
51-1.01C(3) Bonding materials COC or sample & authorization 51-2 JOINTS
51-2.01A(3) Polyethylene material for snowplow deflectors COC 51-2.02B(1)(c) Sealant COC + test reports & samples
51-2.02C(1)(c) Elastomeric joint seal COC + test reports Lubricant-adhesive COC + test reports
51-2.02D(1)(c) Joint seal materials COC + authorization 51-2.02E(1)(c)(iii) Joint seal assembly materials COC
51-2.02F(1)(c)(iv) Material used in the joint seals COC + test reports 51-2.04A(3) Waterstop material COC + a statement
51-3 BEARINGS
51-3.02A(3)(c) Elastomer for bearing pads COC + test reports 51-4 PRECAST CONCRETE MEMBERS
51-4.01C(1) Concrete box culvert COC
52 REINFORCEMENT
52-1.01C(3) Reinforcement (rebar) COC + mill test report 52-2 EPOXY-COATED REINFORCEMENT
52-2.02A(3)(c) Epoxy-coated reinforcement COC + submittals Patching material COC + a statement
52-5.01C(4) Headed bar reinforcement COC + test reports 52-6 SPLICING
52-6.01C(5) Service or butt splice material COC + submittals 54 WATERPROOFING
54-3 PREFORMED MEMBRANE WATERPROOFING
54-3.01C Preformed membrane sheet COC + report
54-5 DECK SEAL
54-5.01C Preformed membrane sheet COC + report
57-2 WOOD STRUCTURES
57-2.01A(3) Timber and lumber COC + report
Glued laminated timbers/decking COC
57-3 PLASTIC LUMBER STRUCTURES
57-3.01C(1) Plastic lumber COC + test report & sample
* For those materials requiring additional information on or with the COC, see specification. Page 4 of 8 January 2021
198

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
58-2 MASONRY BLOCK
58-2.01C(7) CMUs COC
Aggregate for grout COC
Grout COC
59 STRUCTURAL STEEL COATINGS
59-1.01C Blast cleaning material COC + SDS
59-5 THERMAL SPRAY COAT STRUCTURAL STEEL
59-5.01C(1) Wire feedstock COC
60-3.04B POLYESTER CONCRETE OVERLAYS
60-3.04B(1)(c) Methacrylate resins COC + samples & test report Polyester resins COC + samples & test report
Aggregates COC + samples & test report
61-2 CULVERT AND DRAINAGE PIPE JOINTS
61-2.01C Joint systems COC + test results & reports
Couplers COC
64 PLASTIC PIPE
64-1.01C Plastic pipe COC + report
65-2 REINFORCED CONCRETE PIPE
65-2.01C RCP, direct design method COC + report
66 CORRUGATED METAL PIPE
66-1.01C Corrugated steel materials COC
Corrugated aluminum materials COC
67-3 METAL LINE PLATE PIPE
67-3.01C Metal liner plate pipe COC + mill test reports 68 SUBSURFACE DRAINS
68-1.01C Subsurface drain COC
68-2 UNDERDRAINS
68-2.01C Pipe COC
Tubing COC
Fittings COC
68-7 GEOCOMPOSITE DRAIN SYSTEMS
68-7.01C Geocomposite drain COC + flow capability graph * For those materials requiring additional information on or with the COC, see specification. Page 5 of 8 January 2021
199

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
69 OVERSIDE DRAINS
69-1.01C Steel pipe piles COC
Aluminum COC
Plastic COC
70-6 GRATED LINE DRAINS
70-6.01C Grated line drains COC + docu. & inspec. report 71-3.09 MACHINE SPIRAL WOUND PVC PIPELINERS
71-3.09A(1)(c) Reel of PVC strip COC + report
72-16 GABIONS
72-16.01C Gabion basket COC
PVC coating COC + identify
75-3 MISCELLANEOUS BRIDGE METAL
75-3.01C(1) Anchorage devices COC
75-3.01C(2) BRIDGE DECK DRAINAGE SYSTEM
75-3.01C(2) Fiberglass pipe and fittings COC
80-3 CHAIN LINK FENCES
80-3.01C Protective coating system COC
Posts and braces COC + test results
81 MISCELLANEOUS TRAFFIC CONTROL DEVICES
81-2 DELINEATORS
81-2.01C Metal target plates COC
Enamel coating COC
81-3 PAVEMENT MARKERS
81-3.01C Pavement markers COC
82 SIGNS AND MARKERS
82-2 SIGN PANELS
82-2.01C Aluminum sheeting COC
Retroreflective sheeting COC
Screened-process colors COC
Nonreflective, opaque, black film COC
Protective overlay film COC
* For those materials requiring additional information on or with the COC, see specification. Page 6 of 8 January 2021
200

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
82-5 MARKERS
82-5.01C Metal target plates COC
Enamel coating COC
Retroreflective sheeting COC
83-3 CONCRETE BARRIERS
83-3.01C Type 60K portable concrete barrier COC or test reports 84-2 TRAFFIC STRIPES AND PAVEMENT MARKINGS
84-2.01C Thermoplastic COC + autho., SDS & data sheet
Paint COC + autho., SDS & data sheet
Glass beads COC + autho., SDS & data sheet
Thermoplastic primer COC + test results

DIVISION X ELECTRICAL WORK
86-1.01C(6) Signal heads COC + test data
Visors COC + test data
87-2 LIGHTING SYSTEMS
87-2.01C High mast lighting luminaires COC + test data
90 CONCRETE
90-1.01C(3) Cementitious materials COC + app. signature Blended cement COC + app. signature
90-1.01C(4) Admixture COC + authorization
90-1.01C(5) Curing compound COC + test samples
90-2 MINOR CONCRETE
90-2.01C Minor concrete COC + weighmaster cert
90-3 RAPID STRENGTH CONCRETE
90-3.01C(3) Aggregate COC + certified weight
Cementitious materials COC + certified weight
Admixtures COC + certified weight
90-4 PRECAST CONCRETE
90-4.01C(2) and
90-4.01D(2)(a)
Cementitious materials COC + app. signature
Precast members (each) COC + app. signature
Curing compound COC + test samples
94 ASPHALTIC EMULSIONS
94-1.01C Asphaltic emulsion COC + reports
* For those materials requiring additional information on or with the COC, see specification. Page 7 of 8 January 2021
201

Local Assistance Procedures Manual Exhibit 16-T1
Materials Requiring a Certificate of Compliance per Caltrans Standard Specifications Caltrans 2018 Standard
Specifications
Material Additional Info and/or
Attachments Required*
95 EPOXY
95-1.01C Epoxy COC
96 GEOSYNTHETICS
95-1.01C(1) Geosynthetic COC + test samples
* For those materials requiring additional information on or with the COC, see specification. Page 8 of 8 January 2021
202
City Council
Staff Report

Subject:

Notice of Exemption and Agreement for Fire Station No. 24 & Fire Station No. 25 Security
Date:

June 27, 2023
Submitted By:

Justin Nartker, Director of Public Services
Matt McClure, Public Services Manager
Department:

Public Services
Recommendation:

A
.

Adopt a Resolution of the City Council of the City of Rocklin approving a Notice of Exemption for the Fire Station No. 24 & Fire Station No. 25 Security.

B
.

Adopt a Resolution of the City Council of the City of Rocklin Awarding the Contract for the Fire Station No. 24 & Fire Station No. 25 Security to Swierstok Enterprise Inc. DBA Pro Builders and Authorizing the City Manager to Execute an Agreement with Swierstok Enterprise Inc. DBA Pro Builders.

Background:

The Fire Station No. 24 & Fire Station No. 25 Security projects consist of installing approximately 675 linear feet of security fencing and gates to secure the properties surrounding Fire Station No. 24 & Fire Station No. 25. Both projects are included in the adopted 2023-2027 Capital Improvement Plan.

The bid for Fire Station No. 24 & Fire Station No. 25 was advertised on March 23, 2023, and March 30, 2023, with the bid opening Monday, April 17, 2023. Four (4) bids were received from the following (Attachment 4).

Swierstok Enterprise Inc. DBA Pro Builders (Orangevale) - $288,000 PBM Construction Inc. (Rocklin) - $322,417
Pain Construction Inc. (Rio Linda) - $380,000
Pisor Fence Division (Citrus Heights) - $565,755

After the bids were opened, staff received a Bid Advisory from the Foundation For Fair Contracting regarding the bids submitted by Swierstock, PBM, and Paine (Attachment 5). Staff reviewed and verified the bidding process and that these bidders met the compliance requirements. In addition, it was determined that Swierstok Enterprise, Inc. DBA Pro Builders submitted a responsible bid. Staff recommends that the City Council award the contract to Swierstok Enterprise, Inc. DBA Pro Builders. Pursuant to the Rocklin Municipal Code Item Number 2.K

203

3.04.050, the City Manager has change order authority of fifteen (15) percent of the contract amount $43,200. The amount for this project including fifteen (15) percent change order authority brings the total cost to $331,200.

Environmental Analysis:

The City of Rocklin’s Environmental Coordinator has reviewed the Fire Station No. 24 & Fire Station No. 25 Security Project and determined that it is exempt from review under the California Environmental Quality Act (CEQA) pursuant to California Code of Regulations Section 15301 and has prepared a Notice of Exemption.

Fiscal Impact:

The Fiscal Year 2023/24 Annual Budget includes $204,100 for these projects in the General Fund. The additional funding needed for the project will be provided through savings from other projects. A budget amendment will be requested to redirect the identified savings to support the recommendations as part of the quarterly financial report.

ATTACHMENTS:

1. Resolution A - Notice of Exemption

2. Resolution B - Contract Award

3. Project Location Maps

4. Bid Summary

5. Bid Advisory
204
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL

OF THE CITY COUNCIL OF THE CITY OF ROCKLIN

APPROVING A NOTICE OF EXEMPTION
(FIRE STATION NO. 24 & FIRE STATION NO. 25 SECURITY)
WHEREAS, the City of Rocklin’s Environmental Coordinator has reviewed the Fire Station No. 24 & Fire Station No. 25 Security Project (“Project”) and determined that it is exempt from review under the California Environmental Quality Act pursuant to California Code of Regulations Section 15301 – Existing Facilities and 15311 – Accessory Structures; and
WHEREAS, a Notice of Exemption has been prepared for the Project.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Rocklin as follows:

Section 1. Based on the review and determination of the Environmental Coordinator, the City Council of the City of Rocklin finds that the Project is exempt from review under the California Environmental Quality Act.

Section 2. A Notice of Exemption is approved for the Project.

Section 3. Upon approval of the Project by the City Council, the Environmental Coordinator may file the Notice of Exemption with the County Clerk of Placer County and, if the Project requires a discretionary approval from any state agency, with the State Office of Planning and Research, pursuant to the provisions of Section 21152(b) of the Public Resources Code and the State EIR Guidelines adopted pursuant thereto.

PASSED AND ADOPTED this 27th day of June, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
____________________________________
Ken Broadway, Mayor
ATTEST:
______________________________
Hope Ithurburn, City Clerk
205

NOTICE OF EXEMPTION
TO: County Clerk, County of Placer FROM: City of Rocklin 2954 Richardson Blvd. Planning Department
Auburn, CA 95604-5228 3970 Rocklin Road
Rocklin, CA 95677
Project Title: Fire Station No. 24 & Fire Station No. 25 Security Project Location - Specific: The two proposed project locations are 3401 Crest Dr; APN 016-450- 010-000 and 2001 Wildcat Blvd; APN 373-030-057-000
Project Location - City: Rocklin, CA; County: Placer
Description of Nature, Purpose and Beneficiaries of Project: The project is adding security fencing and gates to Fire Station No. 24 & Fire Station No. 25. The project will consist of installing security fencing and gates to secure the property surrounding the Fire Stations. There will be no expansion of the existing buildings or change in the uses.

Name of Public Agency Approving Project: City of Rocklin Name of Person or Agency Carrying Out Project: City of Rocklin, Public Services Department, Attn: Justin Nartker, 4081 Alvis Court, Rocklin, CA, 95677, (916) 625-5277.

Exempt Status (Check one)
_X_ Categorical Exemption (California Code of Regulations Sec. 15300 et seq.): Section 15301 (a)(f) – Existing Facilities and Section 15311 – Accessory Structures.

Reasons why the project is exempt:

The project will consist of of installing security fencing and gates to secure the property surrounding Fire Station No. 24 & Fire Station No. 25. Class 1 exemptions consist of the minor alteration of existing facilities involving negligible or no expansion of existing or former use.

Examples include but are not limited to: (a) Interior or exterior alterations involving such things as interior partitions, plumbing, and electrical conveyances, and (f) addition of safety or health protection devices for use during construction of or in conjunction with existing structures, facilities, or mechanical equipment, or topographical features including navigational devices.

Class 11 exemptions consist of construction, or placement of minor structures accessory to (appurtenant to) existing commercial, industrial, or institutional facilities. The project as proposed is consistent with the exemption class descriptions noted above and is exempt pursuant to Classes 1 and 11 of the CEQA Guidelines.

Contact Person: Justin Nartker, Director of Public Services Date received for Filing:

Signature: Justin Nartker, Director of Public Services
206
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROCKLIN
AWARDING THE CONTRACT FOR FIRE STATION NO. 24 & FIRE STATION NO. 25 SECURITY TO SWIERSTOK ENTERPRISE INC. DBA PRO BUILDERS AND AUTHORIZING THE CITY MANAGER TO EXECUTE AN AGREEMENT WITH SWIERSTOK ENTERPRISE INC. DBA PRO BUILDERS WHEREAS, the Fire Station No. 24 & Fire Station No. 25 project consists of installing security fencing and gates to secure the property surrounding Fire Station No. 24 & Fire Station No. 25 at 3401 Crest Dr and 2001 Wildcat Blvd respectively; and WHEREAS, the invitation for bids was advertised March 23, 2023, and March 30, 2023, with the bid opening Monday, April 17, 2023, the bids were examined and found to be in compliance with all applicable specifications; and
WHEREAS, the lowest responsible bid was determined to be $288,000 submitted by Swierstock Enterprise Inc. DBA Pro Builders; and
WHEREAS, pursuant to the Rocklin Municipal Code, section 3.04.050, a contingency amount of fifteen percent of the contract $43,200, is automatically authorized for all public works project contracts awarded by the City Council or the City Manager, as long as adequate funds have been appropriated, bringing the total authorized Project amount to $331,200; and
WHEREAS, this project is included in the Fiscal Year (FY) 2022/23 budget approved by the City Council of the City of Rocklin, is funded using General Funds (100), and there is no fiscal impact.

NOW, THEREFORE, the City Council of the City of Rocklin does resolve as follows:

Section 1. The City Council awards the contract for the Fire Station No. 24 & Fire Station No. 25 Security to Swierstok Enterprise Inc. DBA Pro Builders.

Section 2. The City Manager is authorized to execute an Agreement with Swierstok Enterprise Inc. DBA Pro Builders for the Project, in substantially the form attached hereto as Exhibit “A.”
PASSED AND ADOPTED this 13th day of June, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
207

Reso. No. 2023-
____________________________________
Ken Broadway, Mayor
ATTEST:
____________________________
Hope Ithurburn, City Clerk
208

Reso. No. 2023-

CONSTRUCTION AGREEMENT
THIS AGREEMENT, dated for identification as of June 27, 2023, is between the CITY OF ROCKLIN, a municipal corporation, (hereinafter called "City"), and Swierstok Enterprise Inc. DBA Pro Builders, a coporation (hereinafter called "Contractor").

The parties hereto mutually agree to the terms and condition set forth herein.

I. CONTRACT DOCUMENTS
A. The Contract Documents referred to herein are incorporated herein by reference as if set forth in full in this Agreement.

B. Work called for in any one Contract Document and not mentioned in another is to be performed and executed as if mentioned in all Contract Documents. The table of contents, titles and headings contained herein and in said documents are solely to facilitate reference to various provisions of the Contract Documents and in no way affect or limit the interpretations of the provisions to which they refer.

C. The Contract Documents shall include the Notice to Contractors, Addenda, Bid Form, Agreement, Plans, General Provisions, Special Provisions, General Requirements (Division 1), Technical Specifications (Divisions 2 through 16), Permits from other agencies as may be required by law, City of Rocklin Construction Specifications, Improvement Standards and Standard Drawings, Caltrans Standard Plans and Specifications as applicable, Standard Forms, Supplemental Drawings, all required bonds, Exhibits, the Contract Schedule, Storm Water Pollution Prevention Plan (whether prepared by the City or the Contractor) and any and all supplemental agreements amending or extending the Work contemplated and which may be required to complete the Work in an acceptable manner. Supplemental agreements are written agreements covering alterations, amendments or extensions to the Contract Documents and include Change Orders, Construction Change Directives, Field Directives, Field Orders and Supplemental Drawings.

D. The General Provisions shall mean and refer to the current General Provisions of the City of Rocklin, which are incorporated herein by this reference as if set forth herein.

II. DEFINITIONS
Unless otherwise specifically provided herein, all works and phrases defined in the General Provisions shall have the same meaning and intent in this Agreement.

III. AGREEMENT CONTROLS
In the event of a conflict between the terms and conditions as set forth in this Agreement and the terms and conditions set forth in other Contract Documents, the terms and conditions set forth in this Agreement shall prevail.

IV. SCOPE OF CONTRACT
Contractor agrees to furnish all tools, equipment, apparatus, facilities, labor and material and transportation necessary to perform and complete in a good and workman like manner to the satisfaction of City, all the work required for the Contract for the Project entitled: Fire Station No. 24 & Fire Station No. 25 Security
V. CONTRACT AMOUNT AND PAYMENTS
City agrees to pay and Contractor agrees to accept, in full payment for the above work, Two Hundred Eighty-Eight Thousand Dollars ($288,000) as the stipulated sum price which Contractor bid in its Bid Form, subject to additions and deductions by Change Order(s) as provided in the General Conditions.
209

Reso. No. 2023-
IIII. PROGRESS AND FINAL PAYMENTS
Progress and final payments shall be in accordance with the General Provisions.

IVII. RETENTION OF SUMS CHARGED AGAINST CONTRACTOR
When, under the provisions of this contract, City shall charge any sum of money against Contractor, City shall deduct and retain the amount of such charge from the amount of the next succeeding progress estimate, or from any other moneys due or that may become due to the Contractor from City. If, on completion or termination of the Contract, sums due contractor are insufficient to pay City's charges against him, City shall have the right to recover the balance from Contractor or his sureties.

VII. TIME OF COMPLETION
A. The entire Work shall be brought to completion in the manner and within the time period provided for in the Contract Documents, commencing on the date of issuance of the Notice to Proceed.

B. Failure to complete the Work by the completion date and in the manner provided for by the Contract Documents shall subject Contractor to liquidated damages as hereinafter provided in this Agreement. Time is of the essence in these Contract Documents.

IX. INSURANCE
Contractor shall maintain in full force and effect at all times during the term of the Agreement, at its sole expense, policies of insurance in accordance with the General Provisions.

X. NO WAIVER OF REMEDIES
A. Neither the inspection by City or its agents, nor any order or certificate for the payment of money, nor any payment for, nor acceptance of the whole or any part of the Work by City, nor any extensions of time, nor any position taken by City or its agents shall operate as a waiver of any provision of this Agreement or of any power herein reserved to City or any right to damages herein provided, nor shall any waiver of any breach of the Agreement be held to be a waiver of any other or subsequent breach.

B. All remedies provided in this Agreement shall be taken and construed as cumulative; that is, in addition to each and every other remedy herein provided, and City shall have any and all equitable and legal remedies which it would in any case have.

XI. DETERMINATION OF DAMAGES
A. The actual fact of the occurrences of damages and the actual amount of the damages which City would suffer if the Work were not completed within the specified times set forth are dependent upon many circumstances and conditions which could prevail in various combinations, and, from the nature of the case, it is impracticable and extremely difficult to fix the actual damages.

B. Damages which City would suffer in the event of delay include loss of the use of the Project, and, in addition, expenses of prolonged employment of an architectural and engineering staff; costs of administration, inspection, and supervision; and the loss suffered by the public within the City of Rocklin by reasons of the delay in the completion of the Project to serve the public at the earliest possible time.

C. Accordingly, the parties hereto agree, and by execution of this Agreement, Contractor acknowledges that it understands, has ascertained and agrees, that the amounts set forth herein as liquidated damages shall be presumed to be that amount of damages sustained by the failure of Contractor to complete the entire work within the times specified.

XII.LIQUIDATED DAMAGES
A. The amount of the liquidated damages to be paid by Contractor to City for failure to 210

Reso. No. 2023-
complete the entire work in the specified number of Working or Calendar Days (as extended, if applicable) will be Seven Hundred Fifty Dollars ($750.00) for each Calendar day, continuing to the time at which the Work is completed.

B. Such amount is the actual cash value agreed upon as the loss to City resulting from Contractor's delay.

VIIII. TERMINATION AFTER ALLOTTED WORKING OR CALENDAR DAYS A. In addition to any rights it may have, City may terminate this Contract or the Contractor’s right to proceed at any time after the allotted number of Working or Calendar Days as adjusted by any extensions of time for excusable delays that may have been granted.

B. Upon such termination Contractor any compensation shall be in accordance with Section

5.23 of the General Provisions, and it shall be liable to City for liquidated damages for all periods of time beyond such termination date until the Work is completed.

XIV. CONTRACTOR BANKRUPT
A. If Contractor should commence any proceeding under the Bankruptcy Act, or if contractor be adjudged a bankrupt, or if Contractor should make any assignment for the benefit of creditors, or if a receiver should be appointed on account of Contractor's insolvency, then the City Council may, without prejudice to any other right or remedy, terminate the Contract and complete the work by giving notice to Contractor and his surety according to the provisions of Article 5 of the General Provisions.

B. City shall have the right to complete, or cause completion of the work, all as specified in the General Provisions of the General Provisions.

XV.PERFORMANCE AND PAYMENT BONDS
A. The Contractor shall, before beginning said work, file two bonds with the City, each made payable to the City. These bonds shall be issued by a Surety Company authorized to do business in the State of California, and shall be maintained during the entire life of the Contract at the expense of the Contractor.

1. One bond shall be in the amount of one hundred percent (100%) of the Contract and shall guarantee the Faithful Performance of the Contract.

2. The second bond shall be the Payment Bond required by Part 4, Title 15, Chapter 7, Division Three of the Civil Code of the State of California and shall be in the amount of one hundred percent (100%) of the Contract.

B. Any alteration or alterations made in any provision of this Contract shall not operate to release any surety from liability on any bond required hereunder and the consent to make such alterations is hereby given, and any surety on said bonds hereby waives the provisions of Section 2819 of the Civil Code.

C. Bonds shall only be accepted from an “Admitted surety insurer”, which means an insurer to which the Insurance Commissioner has issued a certificate of authority to transact surety insurance in this state. Contractor must submit all of the following with the bonds:
 The original, or a certified copy, of the unrevoked appointment, power of attorney, bylaws or other instrument entitling or authorizing the person who executed the bond to do so.

XVI. SUBSTITUTION OF SECURITIES OF MONEY WITHHELD
A. At any time prior to final payment, Contractor may request substitution of securities for any money withheld by the City to ensure performance of the Contract.

B. At the expense of the Contractor, securities equivalent to the money withheld may be deposited with the City or with an approved financial institution as escrow agent 211

Reso. No. 2023-
according to a separate Security Agreement.

C. Securities eligible for substitution shall include those listed in Section 16430 of the Government Code or bank or savings and loan certificates of deposit. A fee set by the City Council shall be charged for such substitution.

XVII. LABOR CODE COMPLIANCE
A. City affirmatively identifies this project as a “public work” as that term is defined by Labor Code section 1720, and the project is, therefore, subject to prevailing wages under Labor Code section 1771.

B. Contractor and its subcontractors shall fully comply with all the provisions of the California Labor Code governing the performance of public works contracts including, but not limited to, payment of prevailing wages, limitations on time worked, compliance with apprentice requirements, maintenance of payroll records, posting of wages at job site and prohibitions against discrimination.

XVIII. UNFAIR COMPETITION
A. The following provision is included in this agreement pursuant to California Public Contract Code §7103.5.
"In entering into a public works contract or a subcontract to supply goods, services, or materials pursuant to a public works contract, the contractor or subcontractor offers and agrees to assigning to the awarding body all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (15 U.S.C. Sec. 15) or under the Cartwright Act (Chapter 2 (commencing with Section 16700) of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of goods, services, or materials pursuant to the public works contract or the subcontract. This assignment shall be made and become effective at the time the awarding body tenders final payment to the contractor, without further acknowledgment by the parties."
XIX. ASSIGNMENT
Neither this Agreement nor any rights herein of Contractor shall be assigned without the written consent of City first obtained.

XIX. NO THIRD PARTY BENEFICIARIES
This Agreement is entered into solely between the City and Contractor. There are no third party beneficiaries, intended, unintended, or otherwise to this Agreement. /////SIGNATURE PAGE FOLLOWS/////
212

Reso. No. 2023-
IN WITNESS WHEREOF, the parties hereto have signed the Agreement on the date set forth opposite their names.

CONTRACTOR: (California Corporations: must be signed by company’s CEO, President, or Vice President
as well as the Secretary or CFO.)
Date Tax I.D. Number
Signature Signature
Print Name Print Name
Title Title
CITY OF ROCKLIN, A Municipal Corporation:

Aly Zimmermann, City Manager
APPROVED AS TO FORM:

Sheri Chapman, City Attorney
ATTEST:

Hope Ithurburn, City Clerk
213

Reso. No. 2023-
CERTIFICATE OF ACKNOWLEDGMENT pursuant to Civil Code, Section 1189, must be provided for Contractor’s signature.

NOTARY TO ATTACH CURRENT ACKNOWLEDGMENT
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
214
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Rocklin CA 95677
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Rocklin CA 95677
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218
219

VIA EMAIL – [email protected]

May 5, 2023

Andy Noah
City of Rocklin
3970 Rocklin Road
Rocklin, CA 95677

RE: BID ADVISORY
Bidder(s): Swierstok Enterprise Inc.

PBM Construction Inc.

Paine Construction Inc.

Awarding Agency: City of Rocklin
Project: Fire Station No. 24 & Fire Station No. 25 Security FFC Case No.: 1571SAC

Dear Mr. Noah:

The Foundation for Fair Contracting (FFC) is a nonprofit organization which has been serving the public interest since 1985. The objective of the FFC is to monitor compliance with prevailing wage and other public contracting laws pertaining to the public works construction industry. As part of this effort, we focus on informing and educating industry stakeholders when issues are identified. Unbalanced bids raise questions in regard to performance and compliance with the rules and regulations for the payment of prevailing wages, and the safety and well-being of the workforce. It further opens the question of excessive future change orders, the fairness to and rights of other bidders in the bidding process, and the intent of the competitive bidding process in general.

In deference to all bidders and in order for the public interest to best be served, please enter this formal bid advisory against the above-noted contractors as a matter of public record. We respectfully request that Swierstok Enterprise Inc. (Swierstok), PBM Construction Inc. (PBM), Paine Construction Inc. (Paine) bids be rejected for the following reasons:

• FAILURE TO COMPLY WITH BID SPECIFICATIONS/UNFAIR COMPETITIVE

ADVANTAGE
Swierstok, PBM, and Paine all submitted bids significantly below the Engineer’s Estimate and in excess of 49%, 43%, and 32%, lower than all other bidders on this project, respectively. A large bid variance commonly indicates a failure to account for the proper classifications and prevailing wage rates – including travel and subsistence. If awarded the project, these contractors would need to submit change orders to complete the project in accordance with the specifications and/or compromise prevailing wage laws/standards. This gives Swierstok, PBM, and Paine an unfair advantage in their bidding practices against its competitors and puts the City of Rocklin into a precarious legal position.

220

Andy Noah
City of Rocklin
May 5, 2023

• FAILURE TO COMPLY WITH WORKFORCE DEVELOPMENT AND FORMAL

APPRENTICESHIP PROGRAMS
Swierstok, PBM, and Paine have not made a good faith effort to participate and invest in Local Workforce Development, nor have they participated in local hiring of workers in the community through formal and recognized pre-apprenticeship programs and formal apprenticeship programs for specific apprenticeable crafts. They have failed to request, employ, train, and/or pay the proper prevailing wages to apprentices.

Please contact our office with questions, comments, or clarifications.

Sincerely,

Jesse Jimenez
Executive Director

Case: 1571SAC

cc: City of Rocklin – Mayor and Councilmembers
Ken Broadway – Email: [email protected]
Greg Janda – Email: [email protected]
David Bass – Email: [email protected]
Jill Gayaldo – Email: [email protected]
Bill Halldin – Email: [email protected]

221
222
City Council
Staff Report

Subject:

Department of California Highway Patrol Grant Award
Date:

June 27, 2023
Submitted By:

Karen Smith, Administrative Analyst
Department:

Police
Recommendation:

Adopt a Resolution of the City Council of the City of Rocklin Accepting the Department of California Highway Patrol Cannabis Tax Fund Grant and Authorizing the City Manager to Execute a Grant Agreement.

Background:

Like all communities, the City of Rocklin is impacted by driving under the influence (DUI) collisions and arrests, with arrests increasing by nearly 10% year-over-year in past three years. This data reflects that more education is needed to discourage drivers from engaging in the dangers of DUI.

The Rocklin Police Department has been awarded a $336,225 grant for education and enforcement of driving under the influence from the Department of California Highway Patrol (CHP). The grant award notice is included as Attachment 2. The primary focus is to prevent DUI and preserve human life.

The Rocklin Police Department will provide education programs and conduct periodic enforcement operations across the community as it relates to the dangers of impaired driving in our community.

The goal is to educate the public, focusing on adolescents, on the dangers of driving under the influence, or being a passenger in a vehicle with a driver who is under the influence of drugs and/or alcohol. The award will be used to purchase pedal carts and goggles for simulations, public education supplies, and a vehicle/trailer to transport equipment and conduct enforcement activities. Police Officers trained as Drug Recognition Experts (DREs) will utilize DUI education pedal carts and goggles to simulate the effects of various levels of intoxication of alcohol and drugs on the human body. This education would be designed for middle school and high school aged students to deter future abuse of drugs, alcohol and DUI activity. The grant will also fund efforts to enforce
violations of DUI laws by conducting DUI checkpoints
and joint agency DUI saturation patrols.

Item Number 2.L

223
The Department of California Highway Patrol requires the Rocklin City Council obtain an authorizing resolution prior to accepting the grant funding. The Grant Agreement is forthcoming from CHP.

Fiscal Impact:

The total grant award is $336,225 and funds will be spent in accordance to the rules of the grantor agency and program. The grant has no matching requirement. A budget amendment will be necessary to account for and administer the grant award in the Traffic Safety/PD Grants Fund (Fund 244 ) in the Fiscal Year 2023/24 Annual Budget.

ATTACHMENTS:

1. Resolution

2. Letter FY23-24 CTFGP Intent to Award
Rocklin PD

3. 2023 Request for Application - Law Enforcement Small and Mid-Size 224
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROCKLIN

ACCEPTING THE DEPARTMENT OF CALIFORNIA HIGHWAY PATROL

CANNABIS TAX FUND GRANT AND AUTHORIZING THE CITY MANAGER TO EXECUTE A

GRANT AGREEMENT
WHEREAS, the Rocklin Police Department applied for and was awarded a one- year grant in the amount of three hundred thirty-six thousand two hundred twenty-five ($336,225) dollars, starting July 1, 2023 and concluding June 30, 2024; and WHEREAS, the grant will fund partial personnel costs of police officers from the Rocklin Police Department to be assigned for enforcement and education of the dangers of impaired driving in our community, the purchase of a DUI Enforcement Trailer, and as public education equipment and supplies; and
WHEREAS, the Rocklin Police Department will be providing education and conducting periodic driving under the influence (DUI) enforcement across the city, as it relates to the increasing public awareness surrounding the dangers of impaired driving and reducing impaired driving accidents making our roadways a safer place to travel; and
WHEREAS, prior to execution of a grant agreement, the California Highway Patrol Cannabis Tax Fund Grant Program (CTFGP) mandates that the acceptance and receipt of CTFGP funding must be approved by the Rocklin City Council.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Rocklin as follows:

Section 1. The City Council of the City of Rocklin hereby authorizes the City Manager to execute a Grant Agreement with the California Highway Patrol accepting the California Highway Patrol Cannabis Tax Fund Grant.

PASSED AND ADOPTED this 27th day of June, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
____________________________________
Ken Broadway, Mayor
225
ATTEST:
____________________________
Hope Ithurburn, City Clerk
226
State of California -- Transportation Agency GAVIN NEWSOM, Governor

DEPARTMENT OF CALIFORNIA HIGHWAY PATROL
Safety, Service, and Security An Internationally Accredited Agency

601 North 7th Street
Sacramento, CA 95811
(916) 843-3330
(800) 735-2929 (TT/TDD)
(800) 735-2922 (Voice)

June 7, 2023

File No.: 060.15426.14597.066.2023.06004

Officer Alex Flanders
Rocklin Police Department
4080 Rocklin Road
Rocklin, CA 95677

Dear Officer Flanders:

On behalf of the California Highway Patrol (CHP), it is my pleasure to inform you, the Rocklin Police Department, is conditionally approved for Cannabis Tax Fund Grant Program (CTFGP) funding in the amount of $336,225.00. The purpose of this grant funding is to help your agency reduce and mitigate the impacts of impaired driving in your community.

The official Grant Agreement for signature is forthcoming. In order to execute your Grant Agreement, please provide documentation from a local governing body, authorizing your organization to receive this grant funding, to the Cannabis Grants Unit, by email at [email protected], as soon as possible.

Refer to California Code of Regulations Title 13, Division 2, Chapter 13, Section 1890.13(g) for additional information.

The CHP looks forward to partnering with you and your agency on this project in an effort to make California’s roadways a safer place to travel. If you have any questions, please feel free to contact the Cannabis Grants Unit at (916) 843-4360.

Sincerely,

K. M. DAVIS, Chief
Enforcement and Planning Division

227

CANNABIS TAX FUND GRANT PROGRAM

REQUEST FOR APPLICATION

Opportunity
Law Enforcement
Eligible Applicants
Small and Mid-Size Law Enforcement Organizations/Agencies Project Performance Period
July 1, 2023 through June 30, 2024

228

This Request for Application (RFA) provides specific Grant Opportunity information for the Cannabis Tax Fund Grant Program (CTFGP) 2023/2024 Grant Cycle, including important deadlines and details. To ensure all eligibility requirements are met for successful participation in the CTFGP, please review the California Code of Regulations (Title 13, Division 2, Chapter 13) and other Grant Program information posted on the California Highway Patrol’s (CHP) Web site.

Important Dates
Activity Date
Grant Workshop January 5, 2023
Grant Application Submission Period January 6, 2023 – February 23, 2023 Grant Application Submission Deadline February 23, 2023, 5:00pm Pacific Time Grant Application Review February – May 2023
Award Announcements May – June 2023
Start of Project Performance Period July 1, 2023

A Grant Applicant may only submit one Grant Application per Grant Opportunity and shall only request the amount of grant funds necessary to complete the project within the Project Performance Period.

Grant funds shall be used to implement new activities or augment existing funds, which expand current activities. Grant funds shall not replace (supplant) any federal, state and/or local funds that are appropriated or earmarked for the same purpose and are routine and/or existing state and local expenditures. Supplanting is the deliberate reduction in the amount of federal, state, or local funding appropriated to an existing program or activity because grant funds are awarded for the same purpose. It is the responsibility of the Grant Applicant to ensure supplanting does not occur.

This Grant Opportunity does not require matching funds.

Estimated project costs shall support grant-funded project activities that help address impaired driving and are directly related to the scope of work identified in the Grant Application. To be permissible, project costs must be reasonable, necessary, and expended according to the CTFGP policies, procedures, and regulations. Projects are required to have a realistic and prudent budget that avoids unnecessary expenditures unrelated to the project activities. Final determination of eligibility will be made by the Cannabis Grants Unit (CGU) and approved within the Grant Agreement. Please refer to Annex A for ineligible expenses.

Funding Requirements
Activity Date
Grant Workshop January 5, 2023
Application Submission Period January 6, 2023 – February 23, 2023 Application Filing Deadline February 23, 2023, 5:00pm Pacific Time Application Review February – May 2023
Award Announcements May – June 2023
Start of Project Performance Period July 1, 2023
Funding
Match Requirements
Project Costs
229

The information below includes the approximate grant funding amount, project requirements, and project cost guidelines.

One Year (July 1, 2023 through June 30, 2024)
Small and Mid-Size Law Enforcement Organizations/Agencies, with the primary function of enforcing traffic laws, which includes responding to calls, making arrests, and issuing citations, pursuant to the California Penal Code, California Vehicle Code, and California Health and Safety Code
Small-Size Law Enforcement Organizations/Agencies: 100 employees or less Mid-Size Law Enforcement Organizations/Agencies: 500 employees or less Available project funding is approximately $13 million, with a $500,000 cap per Grant Application. Grant Applicant must provide strong justification, measurable goals, and an immediate need for all requested budget items as part of the project.

Requested services, equipment, and supplies shall be in direct support of grant-funded project activities. Law Enforcement projects shall include at least one activity and focus on one or more of the following project activities:
• Increase driving under the influence (DUI)/driving under the influence of drugs (DUID) enforcement efforts (ex: DUI Saturation Patrols, DUI Checkpoints) • Drug Evaluation and Classification (DEC) courses (ex: SFST Training, ARIDE Training, DRE Training), and other approved trainings to help increase the knowledge of law enforcement personnel in detecting and removing impaired drivers from the roadway
• General prevention education and community outreach designed to educate the public about the dangers of impaired driving (ex: presentations to high school and/or college students, with a direct focus on Drive High = DUI, Designate a Sober Driver, or another campaign message against impaired driving) If the project includes limited, education-based activities, in conjunction with other enforcement-related activities/efforts, then Law Enforcement Organizations/Agencies should apply for this Law Enforcement Grant Opportunity.

If the project, in its entirety, solely focuses on an innovative, education-based program for local communities, then Law Enforcement Organizations/Agencies should apply for the Education Grant Opportunity.

Project Performance Period
Eligible Applicants
Project Funding
Project Requirements
230

Personnel: Costs may include compensation for salaries and fringe benefits, such as annual leave and sick leave, for work directly related to the project. Personnel salaries must be consistent with project activities. To be eligible for reimbursement, Personnel Services must occur within the Project Performance Period .

Eligible expenses may include, but are not limited to:
• Hours conducted on project activities above and beyond normal work duties, including DUI Saturation Patrols and DUI Checkpoints
• Attend or instruct approved trainings related to impaired driving • Backfill for staff attending approved trainings

Travel: Costs may include travel associated with approved in-state and out-of-state project-related conferences, seminars, workshops, and trainings. The most economical mode of travel, in terms of direct expenses to the project, must be used.

To be eligible for reimbursement, Travel must occur within the Project Performance Period. Out-of-state travel is only allowed in exceptional situations. For additional information on travel restrictions, please refer to https://oag.ca.gov/ab1887.

Eligible expenses may include, but are not limited to:
• Mileage (based on current State rate) or fuel expenses • Hotel accommodations
• Commercial airline fares
• Parking fees
• Bridge tolls and/or taxi or bus fares

Equipment: Costs may include non-expendable, tangible, personal property having a normal useful life of more than one year, and an acquisition cost of at least $5,000 (ex: four identical assets, which cost $1,250 each, for a total of $5,000, are not considered an equipment purchase). Equipment shall be directly related and necessary to complete grant-funded activities included in the project. Equipment should be purchased at the beginning of the Project Performance Period to ensure it is utilized when completing corresponding project activities. To be eligible for reimbursement, equipment must be purchased and received within the Project Performance Period.

Consultants/Contracts: Costs may include professional services necessary to carry out the project goals and deliverables that are clearly outlined in the Grant Application. A copy of the contract and/or scope of work must be submitted to and approved by the CGU prior to commencement of work. To be eligible for reimbursement, Consultants/Contracts Services must occur within the Project Performance Period.

Eligible Project Cost Categories
231

Other Direct Costs: Costs may include operational costs. Other Direct Costs shall be directly related and necessary to complete grant-funded activities included in the project. Other Direct Costs should be purchased at the beginning of the Project Performance Period to ensure they are utilized when completing corresponding project activities. To be eligible for reimbursement, Other Direct Costs must be purchased and received within the Project Performance Period.

Eligible expenses may include, but are not limited to:
• Equipment with an acquisition cost under $5,000 (ex: Preliminary Alcohol Screening [PAS] devices)
• Registration Fees for approved conferences
• Educational/outreach materials (ex: brochures, pamphlets) • Social media costs

Additional Information
References:
• Revenue and Taxation Code Section 34019
• California Code of Regulations, Title 13, Division 2, Chapter 13

For additional questions, please contact the Cannabis Grants Unit at (916) 843-4360 or via email at [email protected].

232

ANNEX A
Ineligible Expenses for
Law Enforcement Grant Opportunity

Items
All Weapons
Consoles, Cages
Entertainment
Facility Rental
Food During Enforcement Efforts (ex: DUI Checkpoint)
Frozen Positions
Full Salary Positions
Gifts
Highway Construction, Maintenance, Design
Land
Law Enforcement Items (Spike Strips, Sirens, Station-Related Software, License Plate Readers)
Liability Insurance
Lobbying Costs
Office Furniture and Fixtures
Overhead Costs (ex: Microsoft Office Software, Cellular Plans, Vehicle Insurance and Maintenance)
Supplanting
SWAT/Armored Vehicles
Traffic Investigation Equipment
Uniforms
Utilities
**The items listed above are provided as examples and do not constitute all ineligible costs**

233
City Council
Staff Report

Subject:

Objective Design Standards / Zoning Ordinance Amendment, ZOA2023-0001 (Second Reading)
Date:

June 27, 2023
Submitted By:

David Mohlenbrok, Director of Community Development
Bret Finning, Planning Services Manager
Department:

Community Development
Recommendation:

Adopt an Ordinance of the City Council of the City of Rocklin to Amend Section 17.72.020 of the Rocklin Municipal Code to Address Objective Design Standards (Objective Design Standards / ZOA2023-0001).

Background:

On June 13, 2023, the City Council considered the adoption of an amendment to the Rocklin Municipal Code to address Objective Design Standards (ZOA2023-0001) and approval of a design review entitlement to establish city-wide objective design standards and standard conditions of approval for qualifying residential projects (DR2023-0007). There being no public comments and with no discussion or deliberations, the City Council voted 4-0 (one member absent) to introduce, waive the full reading and read by title only, an ordinance of the City
Council of the City of Rocklin amending Section 17.72.020 of the Rocklin Municipal Code to address objective design standards. To confirm its adoption and passage, the City Council would need to approve the second reading (title only) of the ordinance.

For further information regarding project details, see the June 13, 2023 City Council Staff Report for this project (Attachment 2).

Applicant:

The project applicant is the City of Rocklin.

Item Number 2.M

ATTACHMENTS:

1. Ordinance

2. Staff Report - June 13, 2023
234
ORDINANCE NO.

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROCKLIN TO AMEND SECTION 17.72.020 OF

THE ROCKLIN MUNICIPAL CODE TO ADDRESS OBJECTIVE DESIGN STANDARDS (OBJECTIVE DESIGN STANDARDS / ZOA2023-0001)
The City Council of the City of Rocklin does ordain as follows:

Section 1. Purpose. The purpose of this ordinance is to amend the Rocklin Municipal Code (RMC) to address the State requirement for, and allow the City Council via resolution to adopt, Objective Design Standards and standard conditions of approval that would be applicable to qualifying projects.

Section 2. Authority. The City Council enacts this ordinance under the authority granted to cities by Article XI, Section 7 of the California Constitution and Government Code section 37100.

Section 3. Amendment to Code . Section 17.72.020 B of the Rocklin Municipal Code is hereby amended to read as follows:

B. Notwithstanding subsection A, the following shall not be subject to design review unless otherwise specified by the city council:

1. All new single-family residential units on lots greater than six thousand square feet in area that are not located within the University, Quarry, Granite, and College Architectural Districts.

2. All new single-family residential units on lots less than six thousand square feet in area that are located in the R1-5 zone district and are not located within the University, Quarry, Granite, and College Architectural Districts, regardless of lot size.

3. General maintenance of existing structures, parking lots, and landscaping which do not require permits or substantively deviate from a prior design review approval.

4. Repainting where the color of the paint substantially complies with the approved paint color, unless specifically stated in the design review approval.

5. Repair, cleaning, or refurbishing of an existing permanent building, structure, or sign.

6. Temporary signs.

7. Resurfacing and/or re-striping of existing paved parking lot areas. However, property owners are urged to ensure that such activities are completed in a manner that conforms to all applicable accessibility requirements. 235

Ordinance No.

8. Qualified housing projects, as defined in a) below, which elect to utilize adopted Objective Design Standards through a ministerial building permit process in lieu of the City’s discretionary Design Review Permit process are subject only to ministerial review by City staff; said Objective Design Standards and accompanying Standard Conditions of Approval shall be adopted by resolution of the City Council.
a) Qualified housing projects: A qualified affordable housing project is defined as either: i) a residential multi-unit (three or more units) mixed use housing project that provides for a minimum of 20 percent of the units as affordable for low, very-low, or extremely low income households; complies with the City’s Objective Design Standards; and agrees to enter into an Affordable Housing Agreement prior to issuance of building permits; or ii) a residential project consistent with Government Code Section 65913.4, as it now exists or may hereafter be amended.

Section 4. Severability. If any section, sub-section, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional by the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. The City Council hereby declares that it would have adopted this ordinance and each section, sub-section, sentence, clause, phrase or portion thereof, irrespective of the fact that any one or more sections, sub-sections, sentences, clauses, phrases or portions to be declared invalid or unconstitutional.

Section 5. The proposed Objective Design Standards and Standard Conditions of Approval project was analyzed as required by the California Environmental Quality Act (CEQA) in consideration of the Rocklin General Plan Update Environmental Impact Report, approved and certified by City Council Resolution No. 2012-170. Pursuant to Section 15162 of the CEQA Guidelines, no further environmental review of the Objective Design Standards and Standard Conditions of Approval project is required, nor should be conducted, since the project is within the scope of the previously approved and certified Environmental Impact Report, which adequately describes these activities for purposes of CEQA for the following reasons:

A. No substantial changes are proposed in the project which will require major revisions of the previous Environmental Impact Report due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects;
B. No substantial changes occur with respect to the circumstances under which the project will be undertaken which will require major revisions of the previous Environmental Impact Report due to the involvement of new significant environmental effects or a substantial increase in the severity of previously identified significant effects; or 236

Ordinance No.

C. No new information of substantial importance, which was not known and could not have been known with the exercise of reasonable diligence at the time the previous Environmental Impact Report was adopted, shows any of the following:
i) The project will have one or more significant effects not discussed in the previous Environmental Impact Report;
ii) Significant effects previously examined will be substantially more severe than shown in the previous Environmental Impact Report;
iii) Mitigation measures or alternatives previously found not to be feasible would in fact be feasible and would substantially reduce one or more significant effects of the project, but the project proponents decline to adopt the mitigation measure or alternative; or iv) Mitigation measures or alternatives which are considerably different from those analyzed in the previous Environmental Impact Report would substantially reduce one or more significant effects on the environment, but the project proponents declined to adopt the mitigation measure or alternative.

Section 6. Effective Date. This ordinance shall take effect thirty (30) days after the day of its adoption.

Section 7. Publication. Within fifteen days of passage of this ordinance, the City Clerk shall cause the full text of the ordinance, with the names of those City Council members voting for and against the ordinance, to be published in the Placer Herald. In lieu of publishing the full text of the ordinance, the City Clerk, if so directed by the City Attorney and within fifteen days, shall cause a summary of the ordinance, prepared by the City Attorney and with the names of the City Council members voting for and against the ordinance, to be published in the Placer Herald, and shall post in the office of the City Clerk a certified copy of the City Council members voting for and against the ordinance. The publication of a summary of the ordinance in lieu of the full text of the ordinance is authorized only where the requirements of Government Code section 36933(c)(1) are met.

INTRODUCED at a regular meeting of the City Council of the City of Rocklin held on June 13, 2023, by the following vote:

AYES: Councilmembers: Bass, Broadway, Gayaldo, Halldin
NOES: Councilmembers: None
ABSENT: Councilmembers: Janda
ABSTAIN: Councilmembers: None
237

Ordinance No.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Rocklin held on ________________________, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
____________________________________
Ken Broadway, Mayor
ATTEST:
___________________________
Hope Ithurburn, City Clerk
First Reading: 06/13/2023
Second Reading: 06/27/2023
Effective Date: 07/27/2023
238
1 Item Number 5.G

City Council
Staff Report

Subject: Objective Design Standards / Zoning Ordinance Amendment, ZOA2023-0001 and Design Review, DR2023-0007
Date: June 13, 2023

Submitted By: David Mohlenbrok, Director of Community Development Bret Finning, Planning Services Manager

Department: Community Development

Recommendation:

A. Conduct a Public Hearing to Consider Testimony.

B. Introduce, Waive the Full Reading and Read by Title Only an Ordinance of the City Council of the City of Rocklin to Amend Section 17.72.020 of the Rocklin Municipal Code to Address Objective Design Standards (Objective Design Standards / ZOA2023-0001).

C. Adopt a Resolution of the City Council of the City of Rocklin Approving a Design Review to Establish City-Wide Objective Design Standards and Standard Conditions of Approval For Qualifying Residential Projects (Citywide Residential Objective Design Standards and Standard Conditions of Approval (DR2023-0007).

Background:

As the entitlement request includes an Ordinance amendment, a two- meeting process is required. At the first meeting the City Council shall conduct a public hearing, complete deliberation, provide staff with direction (if appropriate) as to any desired modification(s) to the draft entitlement documents and, if approving, introduce the ordinance and continue the item to the next feasible City Council meeting as indicated below:

The Planning Commission and Staff recommend the following:

June 13, 2023 (first reading of the ordinance and final action on all project entitlements)

Move to Introduce, Waive the Full Reading and Read by Title Only an Ordinance of the City Council of the City of Rocklin to Amend Section 17.72.020 of the Rocklin Municipal Code to Address Objective Design Standards (Objective Design Standards / ZOA2023-0001).

Adopt a Resolution of the City Council of the City of Rocklin Approving a Design Review to Establish City -Wide Objective Design Standards and Standard Conditions of Approval For Qualifying Residential Projects (Citywide Residential Objective Design S tandards and Standard Conditions of Approval (DR2023-0007).
239
2 June 27, 2023 (final action on Ordinance)

Move to Adopt an Ordinance of the City Council of the City of Rocklin to Amend Section

17.72.020 of the Rocklin Municipal Code to Address Objective Design Standards (Objective Design Standards / ZOA2023-0001).

Proposal:

This proposal is to modify the Rocklin Municipal Code (RMC) to clearly address and authorize adoption and potential later modification of Objective Design Standards and standard conditions of approval that would be applicable to qualifying residential projects in all areas of the City, and to adopt said standards.

Proponent:

The proposed Zoning Ordinance Amendment, Objective Design Standards, and Standard Conditions of Approval was initiated by the City of Rocklin.

Location:

The proposed Zoning Ordinance Amendment, Objective Design Standards, and Standard Conditions of Approval and would apply Citywide.

Summary of Planning Commission Hearing and Action:

On May 16, 2023, the Planning Commission considered the proposed Zoning Ordinance Amendment, Objective Design Standards, and Standard Conditions of Approval. Following Staff’s presentation, the Planning Commission asked questions to clarify the need for, and intent of the standards. The Planning Commission then opened the hearing for public input, and there being no one in the audience or on line who wished to comment, then closed the public comment period.

The Planning Commission then voted unanimously 4 to 0 (one Commissioner absent) to recommend approval of the project to the City Council.

Background / Analysis:

Several years ago, the State adopted Senate Bill (SB) 35, codified in Government Code section 65913.4, in an attempt to address the state’s housing shortage and high housing costs. The intent of the legislation is to facilitate and expedite the construction of housing.

Specifically, it requires the availability of a streamlined ministerial approval process for residential developments. Qualifying housing projects must be approved administratively subject only to “Objective Design Standards”, defined as standards that involve no personal or subjective judgment by a public official, and are uniformly verifiable by reference to an external and uniform bench mark or criterion available and knowable by both the development applicant or proponent and public official before submittal of an application. With few exceptions, cities and counties may not deny a qualified housing project if it complies with applicable, objective general plan, zoning, and other development standards and criteria, including objective design review standards.

Additionally, Program 18, Development Streamlining, in the City of Rocklin 2021-2029 Housing Element, established an objective for the City to adopt policies and procedures as appropriate, to enact the SB 35 streamlining approval process and standards for eligible projects, as set forth under California Government Code, Section 65913.4. 240
3 Use of the ministerial process is currently elective, meaning that applicants of qualified housing projects may use either the ministerial process or the City’s standard Design Review process. The scope of projects that could qualify for use of these standards started as projects that were affordable, but has been evolving, via new legislation and court actions, to be steadily broader and more inclusive. It is very possible that this requirement could be extended to the approval of all residential projects, regardless of affordability.

Rocklin’s existing standards (Design Guidelines and criteria, and, Architectural Districts) were drafted with largely subjective standards. Additionally, many of the other development standards and requirements relative to grading, drainage, noise, etc. are applied as conditions of approval. However, as noted, under the provisions of SB 35, the City does not have the opportunity for a discretionary approval wherein conditions of approval could be applied to a project. In the event that a qualifying housing project came forward today, the City would have minimal development criteria to hold it to, beyond the basic zoning standards of building height, setback and lot coverage.

To best comply with this legislation, Citywide Objective Design Standards and Standard Conditions of Approval have been drafted that would apply to all qualifying housing projects electing to use the ministerial approval process. The Objective Design Standards were developed by converting, where possible, the City’s existing standards to be objective rather than subjective. Likewise, a standard set of conditions of approval has been developed to accompany the Objective Standards. If approved by the City Council, qualifying housing projects that elected to utilize this approval method would be required to comply with the adopted Objective Design Standards and associated standard conditions of approval to ensure that those projects meet at least the minimum design standards established by the City Council.

The Planning Commission and Staff recommend that the City Council approve an amendment to Rocklin Municipal Code (RMC) Section 17.72.020 Design Review – When Required to add language addressing the use of Objective Design Standards and providing for adoption, by resolution, of Objective Design Standards and standard conditions of approval. Specific proposed language can be found in strike out / underline format in Attachment 1. The advantage of having the Objective Design Standards and standard conditions of approval be adopted by resolution is that it allows for more nimble revisions and updates, if and when they become necessary, as Staff finds what is working and what is not, and also as necessary to respond to evolving State regulations.

Environmental Analysis:

An Environmental Impact Report for the 2012 Rocklin General Plan Update was approved and certified by the Rocklin City Council via Resolution No. 2012- 170, on October 9, 2012. The proposed changes to the RMC, adoption of Objective Design Standards, and adoption o f standard conditions of approval do not result in any uses of land or environmental impacts beyond those that were previously identified and therefore, the changes to the RMC, adoption of Objective Design Standards, and adoption of standard conditions of approval can rely upon the previously approved and certified 2012 Rocklin General Plan Update Environmental Impact Report.
241
4 ATTACHMENTS:

1. RMC Section 17.72.020 Design Review - When Required, with proposed revisions in strike out and underline format

2. Ordinance - Amending RMC Section 17.72.020

3. Resolution - Objective Design & Design Review
242
ATTACHMENT A
Proposed revisions to Rocklin Municipal Code (RMC) Section 17.72.020 B

17.72.020 Design review—When  required.

B.  Notwithstanding  subsection  A,  the  following  shall  not  be  subject  to  design  review  unless otherwise specified by the city council:

1.  All new single‐family residential units on lots greater than six thousand square feet in area that  are  not  located  within  the  University,  Quarry,  Granite,  and  College  Architectural Districts.

2.  All new single‐family residential units on lots less than six thousand square feet in area that are located in the R1‐5 zone district and are not located within the University, Quarry, Granite, and College Architectural Districts, regardless of lot size.

3.  General maintenance of existing structures, parking lots, and landscaping which do not require permits or substantively deviate from a prior design review approval.

4.  Repainting where the color of the paint substantially complies with the approved paint color, unless specifically stated in the design review approval.

5.  Repair, cleaning, or refurbishing of an existing permanent building, structure, or sign.

6.  Temporary signs.

7.  Resurfacing  and/or  re‐striping  of  existing  paved  parking  lot  areas.  However,  property owners are urged to ensure that such activities are completed in a manner that conforms to all applicable accessibility requirements.

8.  Qualified housing projects, as defined in a) below, which elect to utilize adopted Objective Design  Standards  through  a  ministerial  building  permit  process  in  lieu  of  the  City’s discretionary Design Review Permit process are subject only to ministerial review by City staff; said Objective Design Standards and accompanying Standard Conditions of Approval shall be adopted by resolution of the City Council.
a)  Qualified  housing  projects:  A  qualified  affordable  housing  project  is  defined  as either: i) a residential multi‐unit (three or more units) mixed use housing project that provides for a minimum of 20 percent of the units as affordable for low, very‐low, or  extremely  low  income  households;  complies  with  the  City’s  Objective  Design Standards;  and  agrees  to  enter  into  an  Affordable  Housing  Agreement  prior  to issuance of building permits; or ii) a residential project consistent with Government Code Section 65913.4, as it now exists or may hereafter be amended.

243
City Council
Staff Report

Subject:

Grant Agreement with The Gathering Inn for Homelessness Prevention and Rapid Rehousing Services (FY 2023/24)
Date:

June 27, 2023
Submitted By:

David Mohlenbrok, Director of Community Development
Laura Webster, Director of Long Range Planning & Housing Department:

Community Development
Recommendation:

Adopt a Resolution of the City Council of the City of Rocklin Authorizing the City Manager to Execute a Grant Agreement with The Gathering Inn for Homelessness Prevention and Rapid Rehousing Services (FY 2023/24).

Background:

The City of Rocklin has provided annual funding to The Gathering Inn (TGI) over the course of many years. Initial funding for TGI was through the City’s Community Development Block Grant (CDBG) Program. However, since the amount of funding available from that source is extremely limited for services, the City has gradually transitioned TGI to other sources. Typical funding requests in 2018 and 2019 have been for $50,000 per year, which has been budgeted and paid most recently from the City’s Low Moderate Income Housing Asset (LMIHA) Fund.

Due to increased demand for homeless related services, TGI requested funding in the amount of $60,000 for these activities in fiscal years (FYs) 2020/21, 2021/22 and 2022/23.

For FY 2023/24, a total of $65,000 was requested. The funding amount is anticipated to be approved as part of the City’s FY 2023/24 Budget. City Council approval is required for all contracts that exceed $50,000.

The Gathering Inn provides a variety of services and activities for the homeless in Rocklin and throughout Placer County. Expenditure of these funds is required to benefit Rocklin homeless and residents in Rocklin under the threat of homelessness through Homelessness Prevention Rapid Rehousing (HPRR) activities.

The Gathering Inn will use the funds only to provide the services contemplated by Health and Safety Code section 34176.1. As noted in the attached proposed grant agreement, TGI will specifically support direct services program staff including associated taxes and benefits for the Housing Specialist who maintains a list of housing options, manages HPRR funds, coordinates interviews with landlords, and accompanies guests on housing inspections prior to Item Number 2.N

244
move-in. In addition, funds will be used for Rapid Rehousing to support security and utility deposits; application fees; acquiring required documentation; and landlord incentives.

Fiscal Impact:

The total cost associated with this grant agreement is not to exceed $65,000.

Consistent with prior years, the majority of the funds ($48,000) will be made available to TGI upon City Council approval of the contract and execution of the agreement by both parties.

The remaining $17,000 will be issued to TGI following the submittal of required Annual Reports following the end of the 2023/24 fiscal year.

Adequate funds to cover this item are included in the City’s proposed FY 2023/24 Budget in the Low Moderate Income Housing Asset Fund.

ATTACHMENTS:

1. Resolution

2. Resolution Exhibit A - Grant Agreement

3. Resolution Exhibit 1 to Exhibit A - Accomplish Data
245
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROCKLIN AUTHORIZING THE CITY

MANAGER TO EXECUTE A GRANT AGREEMENT WITH THE GATHERING INN FOR HOMELESSNESS PREVENTION AND RAPID REHOUSING SERVICES (FY 2023/24)
WHEREAS, the City, as the housing successor to a redevelopment agency, is authorized to expend funds for homeless prevention and rapid rehousing services for individuals and families who are homeless, or would be homeless but for this assistance, under California Health and Safety Code section 34176.1; and,
WHEREAS, the Grantee is a 501(c)(3) non-profit charity that provides services to the homeless in Rocklin, such as sheltering, employment services, case management, substance abuse recovery programs, and life skills training; and, WHEREAS, the Grantee performs the homeless prevention, assistance and rapid rehousing services contemplated under Health and Safety Code section 34176.1; and, WHEREAS, the City desires to allocate a portion of its authorized Low and Moderate Income Housing Asset Funds to the Grantee for the purposes of providing the services contemplated under the statute.

NOW THEREFORE BE IT RESOLVED BY the City Council of the City of Rocklin as follows:

Section 1. The City Council of the City of Rocklin hereby authorizes the City Manager to execute a Grant Agreement with The Gathering Inn to perform services associated with Homelessness Prevention and Rapid Rehousing as described in the agreement attached to hereto as Exhibit A.
246

of Reso No.

PASSED AND ADOPTED ON June 27, 2023, by the City Council of the City of Rocklin by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
_____________________________________
Ken Broadway, Mayor
ATTEST:
____________________________________
Hope Ithurburn, City Clerk
247

To Reso No.

EXHIBIT A

GRANT AGREEMENT BETWEEN

THE CITY OF ROCKLIN AND

THE GATHERING INN
(LMIHA FUNDS FY 23/24)
248

EXHIBIT A

GRANT AGREEMENT
between

THE CITY OF ROCKLIN AND

THE GATHERING INN
(LMIHA FUNDS FY 23/24)
This Grant Agreement (hereinafter referred to as the "Agreement') is entered into on June 27 , 2023, by and between the City of Rocklin (hereinafter referred to as the "City''), and the Gathering Inn, a501(c)(3) non-profit charity, (EIN: 84-1657746) domiciled in California (hereinafter referred to as the "Grantee"). The City and the Grantee may be referred to individually as "Party" or collectively as the "Parties."

WITNESSETH
WHEREAS, the City, as the housing successor to a redevelopment agency, is authorized to expend funds for homeless prevention and rapid rehousing services for individuals andfamilies who arehomeless, orwould be homeless but for this assistance, under California Health and Safety Code section34176.1; and, WHEREAS, the Grantee is a 501(c)(3) non-profit charity that provides services to the homeless in Rocklin, such as sheltering, employment services, case management, substance abuse recovery programs, and life skills training; and, WHEREAS, the Grantee performs the homeless prevention, assistance and rapid rehousing services contemplated under Health and Safety Code section 34176.1; and,
WHEREAS, the City desires to allocate a portion of its authorized funds to the Grantee for the purposes of providing the services contemplated under the statute.

TERMS
NOW, THEREFORE, in consideration of the mutual promises and terms set forth herein, the City and the Grantee agree as follows:

1. Term. The term of this Agreement (the ''Term") shall begin on the date listed above and continue for one year thereafter.

2. Grant. In consideration for the Services, the City shall convey to the Grantee the total amount of $65,000 (the "Funds") over the course of the 2023/2024 fiscal year. The Funds shall be conveyed to Grantee in two installments: the first installment of $48,000 shall be conveyed to the Grantee following execution of this agreement. The second and last installment of $17,000 shall be conveyed to the Grantee immediately following receipt ofthe 2023/2024 annual reports, as set forth in Section 4 of this agreement, but not sooner than June 30, 2024. Ifannual reports are 249
not received by the City on or before July 31, 2024, Grantee shall not be eligible for and shall not receive the second installment of $17,000.

3. Services. The Grantee will use the Funds only to provide the services to homeless persons or persons who would be homeless but for the services contemplated by Health and Safety Code section 34176.1. Specifically, support direct services program staff including associated taxes and benefits for the Housing Specialist who maintains a list of housing options, manages HPRR funds, coordinates interviews with landlords, and accompanies guests on housing inspections prior to move-in. In addition, funds will be used for Rapid Rehousing to support security and utility deposits; application fees; acquiring required documentation; and landlord incentives.

4. Reporting. The Grantee must complete and submit a report documenting the accomplishments of overall HPRR program activities and outcomes for the time period of July 2023 through June 2024 (the "Report"). The Report shall be in substantial conformance with the sample documents attached hereto as Exhibit 1 to the City. The Report shall be due to the City by July 31, 2024.

5. Termination.
(a) In the event that the City no longer receives funding as a housing successor pursuant to Health and Safety Code section 34176.1, the City may immediately terminate this Agreement in its discretion. (b) If,through any cause, the Grantee fails to fulfill in a timely and proper manner its obligations under this agreement, or if the Grantee violates any of the covenants, requirements or stipulations of this Agreement, including, but not limitedto, the expenditure of the Funds for purposes not specified in Section 3, or the failure to submit the documentation log described in Section 4, the City will thereupon have the right to terminate this Agreement by giving at least five (5) days written notice to the Grantee of such termination, specifying the effective date of such termination. The Grantee will not be relieved of liability to the City for damages sustained by the City or others by virtue of any breach of this Agreement by the Grantee.

6. Independent Entities. The Grantee, and the agents or employees of the Grantee, shall act in an independent capacity and not as officers, employees or agents of the City in performance ofthis Agreement.

7. Indemnification. The Grantee shall indemnify, hold harmless, and defend the City, each of its officers, members, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs and damages (whether in contract, tort or strict liability, including but not limited to personal injury, death at any time and property damage) incurred by the Grantee, the City or any other person, and from any and all claims, demands and actions in law or equity (including attorney's fees and litigation expenses), which shall in any way arise out of or be connected with the Grantee's operation hereunder and pursuant to this Agreement, unless damage, loss, injury, or death is caused by the gross negligence or willful misconduct of the City. 250

8. Insurance. During the term of this Agreement, the Grantee shall maintain in full force and effect the following policies of insurance: Commercial General Liability, Worker's Compensation, and Automobile liability (including endorsements for owned, hired, and non-owned vehicles) as specified in Exhibit INS-A.

9. Notices. Any notice required or intended to be given to either Party under the terms of this Agreement shall be in writing and shall be deemed to be duly given if delivered by Registered, Certified, or Return Receipt Requested mail, with postage prepaid, addressed to the Party to which notice is to be given at the Party's address below. Notice may also be given by personal delivery or by facsimile with proof of transmission.

To City:

David Mohlenbrok, Director
Community Development
3970 Rocklin Road
Rocklin, CA 95677
To Grantee:

The Gathering Inn
Rolande Tellier, Chief Operating
Officer
201 Berkeley Avenue
Roseville, CA 95678
251

10. Venue. Any action arising out of this Agreement shall be brought in Placer County Court in California, regardless of where else venue may lie.

11. Effective Date. This Agreement shall take effect upon the approval of both governing bodies of the Parties hereto.

12. Binding. This Agreement shall be binding upon, and shall inure to the benefit of, the Parties and each Party's respective heirs, successors, assigns, transferees, agents, servants, employees andrepresentatives.

13. Assignment. Grantee may not assign or transfer, by operation of law or otherwise, all or any of its rights or obligationsunder this Agreement without the prior written consent of the City.

14. Waiver. The waiver by either Party of a breach by the other of any provision of this Agreement shall not constitute a continuing waiver or waiver of any subsequent breach of either the same or a different provision of this Agreement. No provisions of this Agreement may be waived unless in writing and signed by all Parties to this Agreement. Waiver of any one provision herein shall not be deemed to be a waiver of any other provision herein.

15. Headings. The section headings in this Agreement are for convenience and reference only and shall not be construed or held in any way to explain, modify or add to the interpretation or meaning of the provisions of this Agreement.

16. Severability. If any provision of this Agreement shall be held invalid or unenforceable by a court of competent jurisdiction, such holding shall not invalidate orrender unenforceable any other provision of this Agreement.

17. No Third Party Beneficiaries. The rights, interests, duties and obligations defined within this Agreement are intended for the specific Parties hereto as identified in the preamble of this Agreement. Notwithstanding anything stated to the contrary in this Agreement, it is not intended that any rights or interests in this Agreement benefit or flow to the interest of any third parties.

18. Entire Agreement. Each Party acknowledges that they have read and fully understand the contents of this Agreement. This Agreement represents the entire and integrated Agreement between the Parties with respect to the subject matter hereof and supersedes all prior negotiations, representations or Agreements, either written or oral. This Agreement may be modified only by written instrument duly authorized and executed by both the City and Grantee.

19. Amendment. This Agreement may only be modified and/or amended upon the written mutual agreement of the Parties hereto.
252

20. Execution in Counterparts; Copies. The Parties may execute this Agreement in any number of counterparts with the same effect as if each Party had signed the same physical document. Each Party may transmit the executed copies in an imaged format to the other Party by facsimile or electronic mail, and the imaged copies shall have the same effect as if each Party had signed the same physical document. All executed counterparts, whether originals or copies sent by facsimile, electronic mail, or a combination, shall be construed together and shall constitute one and the same Agreement.

IN WITNESS WHEREOF, the Parties hereto, by and through their respective duly authorized representatives, have executed this Agreement onthe dates written below.

THE GATHERING INN

Keith Diederich, Chief Executive Officer
Date:

Rolande Tellier, Chief Operating Officer
Date:

CITY OF ROCKLIN
Aly Zimmermann, City Manager
Date:
253
ATTEST
Hope Ithurburn, City Clerk

APPROVED AS TO FORM
Daniel Cucchi, Interim City Attorney
254
INS A
During the term of this Agreement Grantee shall maintain in full force and effect the following policies of insurance:

COVERAGE LIMITS OF LIABILITY
Workers Compensation $1,000,000
Commercial General Liability Bodily Injury:
$2,000,000 each occurrence
$2,000,000 aggregate
Property Damage:
$2,000,000 each occurrence
Personal Injury:
$2,000,000 each occurrence
$2,000,000 aggregate
Automobile liability including Bodily Injury:
endorsements for owned, $1,000,000 each occurrence
hired and non-owned vehicles $1,000,000 aggregate
Property Damage:
$1,000,000 each occurrence
The insurance policies are to contain, or be endorsed to contain, the following provisions:

1. Additional Insured Status. The City, its officers, officials, employees, and volunteers are to be covered as additional insureds on the CGL policy with respect to liability arising out of work or operations performed by or on behalf of the Grantee including materials, parts, or equipment furnished in connection with such work or operations. General liability coverage can be provided in the form of an endorsement to the Grantee’s insurance (at least as broad as ISO Form CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 forms if later revisions used).

2. Primary Coverage. For any claims related to this contract, the Grantee’s insurance coverage shall be primary with coverage at least as broad as ISO CG 20 01 04 13 as 255
respects the City, its officers, officials, employees, or volunteers, and shall be excess of the Contractor’s insurance and shall not contribute to it.

3. Notice of Cancellation . Each insurance policy required above shall not be canceled, except with notice to the City.

4. Waiver of Subrogation. Grantee hereby grants to City a waiver of any right to subrogation which any insurer of said Grantee may acquire against the City by virtue of the payment of any loss under such insurance. Grantee agrees to obtain any endorsement that may be necessary to affect this waiver of subrogation, but this provision applies regardless of whether or not the City has received a waiver of subrogation endorsement from the insurer.

5. Self-Insured Retentions . Self-insured retentions must be declared to and approved by the City. The City may require the Grantee to provide proof of ability to pay losses and related investigations, claim administration, and defense expenses within the retention. The policy language shall provide, or be endorsed to provide, that the self- insured retention may be satisfied by either the named insured or City.

6. Acceptability of Insurers. Insurance is to be placed with insurers authorized to conduct business in the state with a current A.M. Best’s rating of no less than A:VII, unless otherwise acceptable to the City.

7. Claims Made Policies. If any of the required policies provide coverage on a claims made basis:
i. The Retroactive Date must be shown and must be before the date of the contract or the beginning of contract work. ii. Insurance must be maintained and evidence of insurance must be provided for at least five (5) years after completion of the contract of work.
iii. If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a Retroactive Date prior to the contract effective date, the Grantee must purchase “extended reporting” coverage for a minimum of five (5) years after completion of contract work.

8. Verification of Coverage. Grantee shall furnish the City with original Certificate of Insurance including all required amendatory endorsements (or copies of the applicable policy language effecting coverage required by this clause) and a copy of the Declarations and Endorsement Page of the CGL policy listing all policy endorsements to the City before work begins. However, failure to obtain the required documents prior to the work beginning shall not waive the Contractor’s obligation to provide them. The City 256
reserves the right to require complete, certified copies of all required insurance policies, including endorsements required by these specifications, at any time.

9. Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage, or other special circumstances.
257
1723460.3
EXHIBIT 1

TGI HPRR / LMIHA FUNDS
City of Rocklin Accomplishments Data
FY 23/24
258
Demographic Data Number Served
Total Households Assisted OR Total Number of Persons Assisted Total 30% Income Families
Total 50% Income Families
Total 80% Income Families
Total Number Famale Heads of Household
Total Disabled
Total Mental Health Conditions (self-reported)
Total Bednights
Total Veterans
Total Individuals Who Secured Permanent Housing
Total Individuals Who Secured Employment
Total Female
Total Male
Breakdown by Age
<18
19-25
26-35
36-45
46-55
56-65
66+
Total
Breakdown by Ethnicity Hispanic/Latino
Total White
Total African American
Total Asian
Total American Indian or Alaskan Native
Total Native Hawaiian or Other Pacific Islander
Total American Indian/Alaskan Native and White
Total African American and White
Total Asian and White
Total African American and White
Total American Indian/Alaskan Native and African American Other Multiracial
Total
Exhibit 1 - The Gathering Inn HPRR / LMIHA Funds
City of Rocklin Accomplishments Data
July 2023 - June 2024
259
City Council
Staff Report

Subject:

Final Map Time Extensions / Subdivision Ordinance Amendment, ZOA2023-0002 (Second Reading)
Date:

June 27, 2023
Submitted By:

David Mohlenbrok, Director of Community Development
Bret Finning, Planning Services Manager
Dara Dungworth, Senior Planner
Department:

Community Development
Recommendation:

Adopt an Ordinance of the City Council of the City of Rocklin Amending Title 16 of the Rocklin Municipal Code to Repeal and Re-Enact Sections 16.20.060 - Extension of Deadline and

16.24.040 - Failure to File – Extensions (ZOA2023-0002).

Background:

On June 13, the City Council considered the proposed Ordinance Amendment. There being no public comments and with no discussion or deliberations, the City Council voted 4-0 (one member absent) to introduce, waive the full reading and read by title only, an ordinance of the City Council of the City of Rocklin amending Title 16 of the Rocklin Municipal Code to repeal and re-enact Sections 16.20.060 - Extension of Deadline and 16.24.040 - Failure to File – Extensions. To confirm its adoption and passage, the City Council would need to approve the second reading (title only) of the ordinance.

For further information regarding project details, see the June 13, 2023 City Council Staff Report (Attachment 2).

Applicant:

The applicant is the City of Rocklin. The proposed Ordinance Amendment would apply Citywide.

Item Number 2.O

ATTACHMENTS:

1. Ordinance

2. Staff Report - June 13, 2023
260
ORDINANCE NO.

ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ROCKLIN AMENDING TITLE 16 OF THE ROCKLIN MUNICIPAL CODE TO REPEAL AND RE-ENACT SECTIONS 16.20.060 - EXTENSION OF DEADLINE AND 16.24.040 - FAILURE TO FILE—EXTENSIONS
WHEREAS, recent legislative changes to the California Subdivision Map Act, Government Code section 66410, et seq., require revision to the Rocklin Municipal Code.

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF ROCKLIN DOES ORDAIN AS FOLLOWS:

Section 1. Purpose. The purpose of this ordinance is to amend Chapter 16.20 and Chapter 16.24 of the Rocklin Municipal Code to repeal and re-enact section 16.20.060 pertaining to deadline extensions to file a parcel map and section 16.24.040 pertaining to the failure to timely file a final map and extensions.

Section 2. Authority. This ordinance is enacted under the authority granted to cities by Article XI, Section 7 of the California Constitution and Government Code section 37100.

Section 3. Repeal and Re-enact. Section 16.20.060 of Chapter 16.20 – Parcel Maps of the Rocklin Municipal Code is repealed in its entirety, and re-enacted, as follows:

16.20.060 – Extension of deadline.

A. The commission may grant one or more extensions of time up to, but not exceeding, a total of an additional six years beyond the initial thirty-six months allowed for the filing of a parcel map. Applications for time extensions shall be made in writing to the planning department prior to the expiration of the tentative map. The application shall include a justification for approval of the extension, an explanation stating the reason the map was not finalized within the initial map life, and an anticipated project activity timeline. A representative for the project shall also be required to be present at any/all public hearings for the extension. Upon submittal of a complete application to extend the map, the map shall be automatically extended for sixty days or until the application for the extension is approved, conditionally approved or denied, whichever occurs first.

A fee for processing any such extension shall be required in an amount to be determined by resolution of the council.

Section 4. Repeal and Re-enact. Section 16.24.040 of Chapter 16.24 – Final Map of the Rocklin Municipal Code is repealed in its entirety, and re-enacted, as follows:
261

Ord. No.

16.24.040 – Failure to File—Extensions.

A. Failure to file a final map within the time specified in Section 16.24.030 shall terminate all proceedings, unless an extension of time to file has been granted by the council. The council may grant one or more extensions of time up to, but not exceeding, a total of an additional six years beyond the initial thirty-six months allowed for filing a final map.

Applications for time extensions shall be made in writing to the planning department prior to the expiration of the tentative map. The application shall include a justification for approval of the extension, an explanation stating the reason the map was not finalized within the initial map life, and an anticipated project activity timeline. A representative for the project shall also be required to be present at any/all public hearings for the extension. Upon submittal of a complete application to extend the map, the map shall be automatically extended for sixty days or until the application for the extension is approved, conditionally approved or denied, whichever occurs first. A fee for processing any such extension shall be required in an amount to be determined by resolution of the council.

Section 5. Environmental. The City Council hereby finds that this ordinance is not subject to review under the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines sections 15060, subdivision (c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15061, subdivision (b)(3) (there is no possibility the activity in question may have a significant effect on the environment).

Section 6. Severability. If any section, sentence, clause, phrase or portion of this ordinance is for any reason held to be invalid or unconstitutional b the decision of any court of competent jurisdiction, such decision shall not affect the validity of the remaining portions of this ordinance. City Council hereby declares that it would have adopted this ordinance and each section, subsection, sentence, clause, phrase or portion thereof, irrespective of the fact that ay one of more section, subsection, sentence, clauses, phrases or portions to the declared invalid or unconstitutional.

Section 7. Publication. Within fifteen days of passage of this ordinance, the City Clerk shall cause the full text of the ordinance, a summary of the ordinance, or an advertisement of the ordinance to be published in a newspaper of general circulation, with the names of those City Councilmembers voting for and against the ordinance, in accordance with Government Code section 36933.

INTRODUCED at a regular meeting of the City Council of the City of Rocklin held on June 13, 2023, by the following vote:

AYES: Councilmembers: Bass, Broadway, Gayaldo, Halldin
NOES: Councilmembers: None
ABSENT: Councilmembers: Janda
ABSTAIN: Councilmembers: None
262

Ord. No.

PASSED AND ADOPTED at a regular meeting of the City Council of the City of Rocklin held on June 27, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAIN: Councilmembers:
____________________________________
Ken Broadway, Mayor
ATTEST:
___________________________
Hope Ithurburn, City Clerk
First Reading: June 13, 2023
Second Reading:

Effective Date:
263
City Council
Staff Report
_______________________________________________________________________ Subject: Final Map Time Extensions
Subdivision Ordinance Amendment, ZOA2023-0002
Date: June 13, 2023
Submitted By: David Mohlenbrok, Director of Community Development Bret Finning, Planning Services Manager
Dara Dungworth, Senior Planner
Department: Community Development
Recommendation:

As the entitlement request includes an Ordinance amendment, a two-meeting process is required. At the first meeting the City Council shall conduct a public hearing, complete deliberation, provide staff with direction (if appropriate) as to any desired modification(s) to the draft entitlement documents and, if approving, introduce the ordinance and continue the item to the next feasible City Council meeting as indicated below:

Staff and Planning Commission recommend approval of the following:

June 13, 2023 (first reading of the ordinance)
Move to Introduce, Waive the Full Reading and Read by Title Only an Ordinance of the City Council of The City of Rocklin Amending Title 16 of the Rocklin Municipal Code to Repeal and Re-Enact Sections 16.20.060 - Extension of Deadline and 16.24.040 - Failure to File – Extensions (ZOA2023-0002)
August 8, 2023 (final action on Ordinance)
Move to Adopt an Ordinance of the City Council of the City of Rocklin Amending Title 16 of the Rocklin Municipal Code to Repeal and Re-Enact Sections 16.20.060 - Extension of Deadline and 16.24.040 - Failure to File – Extensions (ZOA2023-0002) Attachment 1 of June 27, 2023
City Council Staff Report
264

Proponent:

The proposed Subdivision Ordinance Amendment was initiated by the City of Rocklin.

Location:

The proposed Subdivision Ordinance Amendment would apply Citywide.

Summary of Planning Commission Hearing and Action:

On May 16 , 202 3, the Planning Commission considered the proposed Subdivision Ordinance Amendment. Following Staff’s presentation, the Planning Commission asked questions regarding the ability to deny time extension requests and any potential downsides to granting longer time extensions.

The Commission then opened the hearing for public comment. There being no public comment, the hearing was closed.

The Commissioners had no further discussion or deliberation, and proceeded to vote unanimously 4 to 0 (one Commissioner absent) to recommend approval of the amendment to the City Council.

Background:

In 1958 the City Council adopted an ordinance (No. 149) establishing regulations and standards in the Rocklin Municipal Code (RMC) for the subdivision of land and the filing and approval of subdivision maps consistent with the California Subdivision Map Act, the enabling State legislation. Over the ensuing years this section of the RMC has been amended a number of times to reflect changes in the Subdivision Map Act, most recently in 2018 when, among other things the RMC was amended to: 1) Allow applicants 36 months rather than 24 months, after approval of a tentative subdivision map, in which to file a final map; and 2) Allow the City Council to grant one or more extensions of time up to, but not exceeding, a total of an additional four years beyond the initial thirty-six months allowed for filing a parcel map or a final map; provided that no single extension could be granted for longer than a twenty-four month period.

Recently, the City Council approved a four -year time extension for the Granite Lakes Estates’ tentative subdivision map at the applicant’s request. Although the action was not consistent with the language of the RMC, i t was deemed permissible as the request was consistent with the enabling legislation, the California Subdivision Map Act. The City Attorney recommended that the RMC be amended to codify the longer extension option so as to ensure that all applicants going forward have equal opportunity.

Analysis:

Government Code section 66452.6(e) provides that a tentative map expiration may be extended for a period or periods not exceeding a total of six years. This period of extension is in addition to the period of the original approval. There is no maximum period for any single extension, provided the total extension(s) does not exceed six years.

Because the Subdivision Map Act does not give local jurisdictions discretion as to the maximum number of years that can b e granted, the City must allow applicants the opportunity to request up to a total of six years time extensions. 265

Therefore, as discussed above, to ensure that all applicants going forward have equal opportunity to request time extensions, and consistent w ith Section 66452.6(e) of the Government Code, Staff is proposing the following amendments to Title 16 – Subdivisions in strike/add format:

16.20.060 – Extension of deadline.

A. The commission may grant one or more extensions of time up to, but not exceeding, a total of an additional four six years beyond the initial thirty -six months allowed for the filing of a parcel map. No single extension shall be granted for longer than a twenty -four-month period. Applications for time extensions shall be made in wr iting to the planning department prior to the expiration of the tentative map. The application shall include a justification for approval of the extension, an explanation stating the reason the map was not finalized within the initial map life, and an anti cipated project activity timeline. A representative for the project shall also be required to be present at any/all public hearings for the extension. Upon submittal of a complete application to extend the map, the map shall be automatically extended for sixty days or until the application for the extension is approved, conditionally approved or denied, whichever occurs first. A fee for processing any such extension shall be required in an amount to be determined by resolution of the council.

16.24.040 – Failure to File—Extensions.

A. Failure to file a final map within the time specified in Section 16.24.030 shall terminate all proceed ings, unless an extension of time to file has been granted by the council. The council may grant one or more extensions of time up to, but not exceeding, a total of an additional four six years beyond the initial thirty-six months allowed for filing a final map. No single extension shall be granted for longer than a twenty-four month period. Applications for time extensions shall be made in writing to the planning department prior to the expiration of the tentative map. The application shall include a justi fication for approval of the extension, an explanation stating the reason the map was not finalized within the initial map life, and an anticipated project activity timeline. A representative for the project shall also be required to be present at any/all public hearings for the extension. Upon submittal of a complete application to extend the map, the map shall be automatically extended for sixty days or until the application for the extension is approved, conditionally approved or denied, whichever occurs first. A fee for processing any such extension shall be required in an amount to be determined by resolution of the council.

These revisions would provide the City with the ability to approve one or more time extensions for a tentative parcel map or a te ntative subdivision map for up to six years maximum to be consistent with the Subdivision Map Act requirements. Any approval of an extension of time would be at the discretion of the Planning Commission for parcel maps or the City Council for subdivision m aps. Therefore, an applicant applying for an 266

extension could request their desired extension length, up to a maximum of six years, and provide justification for this request. The Planning Commission or Council would have the option to grant the extension f or the full length of the requested period, grant an extension for a shorter period of time, or deny the extension request subject to making appropriate findings.

Environmental Determination:

The California Environmental Quality Act (Section 21000, et. seq. of the California Public Resources Code, hereafter CEQA) requires analysis of agency approvals of discretionary “projects.” A “project,” under CEQA, is defined as “the whole of an action, which has a potential for resulting in either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment.”

The proposed revision to the Rocklin Municipal Code is not a “project” under CEQA because it does not result in a direct or reasonably foreseeable indirect physical change in the environment, nor does it authorize the construction of any new structures or other physical changes to the environment. Therefore, this action is exempt under sections 15060(c)(2) and (3) and 15061(b)(3) of the State CEQA Guidelines.

Recommendation:

The Planning Commission and Staff recommend that the City Council approve the proposed amendments to Title 16 of the Rocklin Municipal Code.

267
City Council
Staff Report

Subject:

Properties Along Outlook Drive
Date:

June 27, 2023
Submitted By:

David Mohlenbrok, Community Development Director
Department:

Community Development
Recommendation:

Adopt a Resolution of the City Council of the City of Rocklin Directing the City Manager to Negotiate and Execute Purchase and Sale Agreements for Portions of that Certain Real Property Designated as APN 017-350-057 within the Stanford Ranch Phase II Subdivision that are Adjacent to APNs 369-040-013, -14, -015, -016, -017, -018, -019, -020, -021 and -022 and APNs 369-050-001 and -003.

Background:

For a substantial period of time, multiple property owners along Outlook Drive have made use of portions of the real property designated as Assessors Parcel Number (APN) 017-350-057 that are owned by the City (the "Transfer Property"). The general plan and zoning designations of the Transfer Property is Recreation/Conservation and open space, respectively. The real property is not improved with homes; any improvements existing on the real property were previously installed by the adjacent property owners.

On October 25, 2022, the City Council adopted Resolution No. 2022-203, which declared the Transfer Property as “exempt surplus land” and not necessary for the City’s use. On November 22, 2023, the California Department of Housing and Community Development (HCD) responded to the City of Rocklin’s request for determination of the Transfer Property identified as a 10,838 square foot portion of APN 017-350-057 as “exempt surplus land.” HCD reviewed Resolution No. 2022-203 pursuant to Section 400I of the Surplus Land Act Guidelines and found that the property qualifies as “exempt surplus land” under Government Code section 54221, subdivision (f)(1)(B)(i). According to the Resolution and communication between the City and HCD, the Transfer Property is 10,838 square feet in area and not contiguous to land owned by a state or local agency (other than City) that is used for open space. Resolution No. 2022-203 further provides that the City intends to sell the Transfer Property in twelve (12) distinct portions with areas ranging from 90-square feet to 3,091- square feet to the twelve (12) directly contiguous property owners of APNs 369-040-013, – 014, –015, –016, –017, –018, –019, –020, –021, and – 022, and APNs 369-050-001 and –003 due to encroachments into City property. HCD found that the Transfer Property qualifies as “exempt surplus land” under Government Code section 54221, subdivision (f)(1)(B)(i) because Item Number 2.P

268
each portion of land is under 5,000 square feet in area and will be sold to owners of contiguous land. Therefore, HCD concluded that the City is permitted to proceed with the disposition of the Transfer Property as described in Resolution No. 2022-203.

The Draft Purchase and Sale Agreement (PSA) has been provided to the property owners, and sets forth the basic terms of the sale. The PSA is included as Attachment 2. The interested parties will pay to the City of Rocklin, a purchase price of one dollar per square foot or $500, whichever is greater, based on an appraisal conducted on October 31, 2022 (Attachment 3). The Transfer Property acquired will remain open space, with no additional development permitted. It will remain a condition of the PSA that the buyer’s real property and the adjacent area of the Transfer Property be held under common ownership by the buyer and neither the buyer’s real property nor the adjacent area of the Transfer Property may be sold unless both are sold to the same purchaser.

If the City Council approves the staff recommendation, final customized versions of the Purchase and Sale Agreement will be prepared for each interested parties for execution. Once each Purchase and Sale Agreement has been fully executed, the City will open an escrow account and take all necessary steps to complete each transfer.

Environmental Analysis:

Pursuant to § 15060 (c) (3) of the California Environmental Quality Act (the “CEQA”) Guidelines (i.e., California Code of Regulations, Title 14, Division 6, Chapter 3, §§ 15000- 15387) (the “CEQA Guidelines”), approval of this Resolution is exempt from CEQA because the actions described herein will not result in a direct or indirect physical change in the environment and the actions described herein are not a “Project”, as defined within § 15378 of the CEQA Guidelines.

Fiscal Impact:

Per the appraisal, the City will realize revenues from each of the twelve PSAs at a rate of one dollar per square foot or $500, whichever is greater. There will be expenses for various closing costs that are currently unknown, but are not anticipated to exceed $50,000 in total.

ATTACHMENTS:

1. Resolution

2. Purchase and Sale Agreement

3. October 31, 2022 Appraisal
269
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROCKLIN DIRECTING THE CITY MANAGER

TO NEGOTIATE AND EXECUTE PURCHASE AND SALE AGREEMENTS FOR PORTIONS OF THAT CERTAIN REAL PROPERTY DESIGNATED AS APN 017-350-050 WITHIN THE STANFORD RANCH PHASE II SUBDIVISION THAT ARE ADJACENT TO APNS 369-040-013, -014, -015, -016, -017, -018, -019, -020, -021 and -022 and APNs 369-050-001 and -003 WHEREAS on October 25, 2022, the City Council of the City of Rocklin adopted Resolution No. 2022-203 declaring pursuant to California Government Code 564221 that twelve portions of that certain real property designated as APN 017-350-057 within the Stanford Ranch Phase II subdivision that are adjacent to APNs: 369-040-013,014,015,016,017,018,019,020,021, and 022 and APNS 369-050-001 and 003 (the “Transfer Property”) are designated as exempt surplus land and are not necessary for the City’s use and
WHEREAS on November 22, 2023, the City received a letter from HCD concluding that the Transfer Property qualifies as “Exempt Surplus Land” under Government Code 54221; and WHEREAS, a professional appraisal was received on October 31, 2022 that estimated the value of the properties to be one dollar per square foot or $500, whichever is greater; and WHEREAS, the Transfer Property is zoned Open Area and will remain as such; and WHEREAS, the City Council wishes to proceed with the sales of the Transfer Property; NOW THEREFORE, the City Council of the City of Rocklin does resolve as follows:

Section 1. The City Council of the City of Rocklin has reviewed and approved the terms of the Purchase and Sale Agreement and Joint Escrow Instructions; Section 2. The City Council of the City of Rocklin hereby authorizes the City Manager to execute the Purchase and Sale Agreement and Joint Escrow Instructions for the sale of the Transfer Property in substantially the form attached hereto as Exhibit A, and to take all necessary action to carry out the terms of such Agreement.

PASSED AND ADOPTED THIS 27th day of June, 2023, by the following vote:

AYES: Councilmembers
NOES: Councilmembers
ABSENT: Councilmembers
ABSTAIN: Councilmembers
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Robbins & Holdaway PSA with Agreement Affecting Property v1

PURCHASE AND SALE AGREEMENT

AND JOINT ESCROW INSTRUCTIONS
SELLER: City of Rocklin
BUYER: [Name of Owner of Adjacent Area]
DATED: [June 27, 2023]
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Robbins & Holdaway PSA with Agreement Affecting Property v1

BASIC TERMS
Adjacent Area: That certain property known as ____ Outlook Drive, Rocklin; such property has been designated as APN __________________.

Agreement Affecting Property: An instrument substantially in the form of Exhibit “C” hereto which is to be recorded as to the Real Property and the Adjacent Area
Buyer: [Name of Owner of Adjacent Area], an unmarried woman Buyer’s Address: [Name of Owner of Adjacent Area]
____ Outlook Drive
Rocklin, California 95677
City: The City of Rocklin, a municipal corporation
City Manager: The City Manager of the City or his or her designee Closing: The conveyance of the Real Property by Seller to Buyer in accordance with this Agreement.

Closing Date: [XXXXX, 2023]
Contingency Date: Thirty (30) days after the Effective Date.

Deed: A grant deed as to the Real Property from Seller to Buyer as described more particularly in Section 8(a). The Deed shall be substantially in the form of Exhibit “D” hereto.

Effective Date: The date (i) the [Name of Owner of Adjacent Area] or (ii) City of Rocklin approve this Agreement, whichever should later occur.

Escrow Holder: First American Title Company
915 Highland Pointe Drive, Suite 140
Roseville, California 95678
Attention: _______________
Telephone No.: (916) 788-1700
Fax No.: (916) ___-____; efax: (916) ___-____
Official Records: The official land records of the County Recorder of the County of Placer
Purchase Price: [to come: the greater of (i) One Dollar ($1.00) per square foot [per City records as to size of Real Property) or (ii) Five Hundred Dollars ($500.00)].

Real Property: That property described in Exhibit “A” hereto; the subject property is sometimes referred to as APN ___-___-___.
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Robbins & Holdaway PSA with Agreement Affecting Property v1 Seller: City of Rocklin
Seller’s Address: 3970 Rocklin Road, Rocklin, California 95677 Title Company: First American Title Company
915 Highland Pointe Drive, Suite 140
Roseville, California 95678
Attention: ____________
Telephone No.: (916) 788-1700
Fax No.: (916) ___-____
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Robbins & Holdaway PSA with Agreement Affecting Property v1

PURCHASE AND SALE AGREEMENT
AND

JOINT ESCROW INSTRUCTIONS
This PURCHASE AND SALE AGREEMENT AND JOINT ESCROW
INSTRUCTIONS (“Agreement”) is made and entered into as of the Effective Date by and between Seller and Buyer.

RECITALS
A. Seller is the fee owner of that real property which is legally described on Exhibit “A” attached hereto and made a part hereof (the “Real Property”). The Real Property is not improved with a residence; any improvements existing on the Real Property were previously installed by the Buyer.

B. For a substantial period of time prior to the Effective Date, Buyer has made use of the Real Property notwithstanding that title to the Real Property has been held by the City, and the general plan and zoning designations of the Real Property are for open space.

C. In an effort to achieve a practical solution to problems associated with the facts described in Recitals A and B, the Seller has undertaken a process to have the Real Property designated as surplus and has obtained the consent and approval of the State of California to treat the Real Property as surplus property which may be sold so long as the use of the Real Property continues to be consistent with use of the Real Property as open space.

D. Buyer is the owner of land adjacent to the Real Property (which land as already owned by Buyer is referred to herein as the Adjacent Area). It is a condition of this Agreement and the willingness of Seller to sell the Real Property that the Buyer, as owner of the Adjacent Area as well as Buyer of the Real Property, execute a covenant, enforceable by Seller, which requires that:
(i) the Real Property and the Adjacent Area be held under common ownership by Buyer and (ii) neither the Real Property nor the Adjacent Area may be sold unless both are sold to the same purchaser, all subject to the covenant as described above.

E. Owner and Buyer agree and acknowledge that: (i) the existing general plan designation and zoning of the Real Property is for open space use, only; (ii) it is not contemplated that there will be a rezone or change in the general plan designation of the Real Property that would broaden uses beyond use as open space; (iii) the City does not have any duty to consider or approve any change to the general plan and zoning designations for the Real Property as in effect as of the date the Real Property is conveyed to Buyer and any requests for changes to a general plan and zoning designation would be subject to the land use processes of the City, including without limitation public hearings; (iv) the use of the Real Property prior to and as of the date of conveyance of the Real Property, which is depicted on Exhibit “A” attached hereto, to Buyer may constitute a nonconforming land use and consequently the undertaking of any improvements to the Real Property shall be subject to the prior written approval of City based upon whether the proposed improvements would expand a nonconforming use or are otherwise inconsistent with the provisions of the Rocklin Municipal Code as in effect from time to time; (v) the Real Property and the Adjacent Area must be held in common ownership and neither the Real Property nor the Adjacent Area may be conveyed without the other being conveyed at the same time and under the same conveyance; 274
F. Buyer shall be responsible for the following, whether occurring prior to or after the conveyance of the Real Property to Buyer: (i) any property tax liability and/or assessments associated with the Real Property, including without limitation any liability for property tax based upon a possessory interest; (ii) any liability associated with the use of the Real Property; (iii) the condition of the Real Property, including without limitation subsurface conditions. Buyer agrees to hold harmless and indemnify City, as well as City's officials, employees, and agents from any claims, losses, suits, or judgments associated with the use of the Real Property whether such claims, possess, suits, or judgments arise from or involve facts occurring before or after the conveyance of the Real Property to Buyer.

G. Each of Buyer and Owner has had the opportunity to review the contents of this Agreement Affecting Property with legal counsel of its choosing.

H. Seller has offered to sell to Buyer the Real Property described herein for the price and subject to the terms set forth below. Buyer acknowledges that: (i) Buyer is highly familiar with the Real Property and has made use of the Real Property for a substantial period of time; and (ii) the Real Property is being sold without warranty on a where is/as is basis. Buyer has considered the offer by Seller and agrees to buy from Seller the Real Property on the terms and conditions as more particularly set forth below.

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Seller and Buyer agree as follows:

1. Purchase and Sale. Seller hereby agrees to sell the Real Property to Buyer, and Buyer hereby agrees to purchase the Real Property from Seller, on the terms and conditions set forth in this Agreement. The term Real Property is defined collectively as the following:
(a) The fee interest in the Real Property;
(b) All rights, privileges, easements, licenses and interests appurtenant to the Real Property. Such rights shall be deemed to include, without limitation, all royalties, minerals, oil and gas rights and profits, water and water rights (whether or not appurtenant) owned by Seller; and (c) All personal property, equipment, supplies, and fixtures owned by Seller and located at the Real Property;
(d) All of Seller’s interest under any contracts, leases, and other agreements associated with the Real Property.

2. Payment of Consideration. As consideration for the sale of the Real Property from Seller to Buyer, Buyer shall, prior to Closing (as defined below), deposit with Escrow Holder:
(i) immediately available funds in the amount of the Purchase Price, and (ii) the Agreement Affecting Property, duly executed by Buyer as purchaser of the Real Property and as fee owner of the Adjacent Area.

3. Escrow and Deposit .
(a) Opening of Escrow. For the purposes of this Agreement, the escrow (“Escrow”) shall be deemed opened (“Opening of Escrow”) on the date that Escrow Holder receives 275
a copy of this Agreement fully executed by Buyer and Seller. Buyer and Seller shall use their best efforts to cause the Opening of Escrow to occur on or before two (2) business days after the Effective Date. Escrow Holder shall promptly notify Buyer and Seller in writing of the date of the Opening of Escrow. Buyer and Seller agree to execute, deliver and be bound by any reasonable or customary supplemental escrow instructions or other instruments reasonably required by Escrow Holder to consummate the transaction contemplated by this Agreement; provided, however, that no such instruments shall be inconsistent or in conflict with, amend or supersede any portion of this Agreement. If there is any conflict or inconsistency between the terms of such instruments and the terms of this Agreement, then the terms of this Agreement shall control. Without limiting the generality of the foregoing, no such instruments shall extinguish any obligations imposed by this Agreement or any other agreement between Seller and Buyer. (b) Closing. For purposes of this Agreement, the Closing or “Closing Date” shall be the date the Deed is recorded pursuant to applicable law in the county in which the Real Property is located. Unless changed in writing by Buyer and Seller, the Closing shall occur on the Closing Date, [XXX] (the “Closing Date”) or as soon thereafter as the conditions precedent to closing are satisfied pursuant to Sections 6 and 7 of this Agreement. If the Closing has not, for any reason, occurred by the Closing Date, then either Buyer or Seller may terminate this Agreement by delivering written notice to the other at any time after the outside Closing Date; provided, however, that if either party is in default under this Agreement at the time of such termination, then such termination shall not affect the rights and remedies of the non-defaulting party against the defaulting party.

Seller and Buyer agree that Escrow Holder shall have authority to assist in filling out the Special Disclosures and in inserting dates, names, and recording information as necessary and customary.

4. Seller’s Delivery of Real Property and Formation Documents . Within ten (10) days after the Effective Date, Seller shall deliver to Buyer the following items (collectively, the Property Documents”): such proof of Sellers’ authority and authorization to enter into this Agreement and to consummate this transaction as may be reasonably requested by Buyer and the Title Company.

5. Buyer’s Right of Entry. From and after the Opening of Escrow through the earlier to occur of the termination of this Agreement or the Closing, Buyer and Buyer’s employees, agents, consultants and contractors shall have the right to enter upon the Real Property during normal business hours, provided reasonable prior notice has been given to Seller.

6. Buyer’s Conditions Precedent and Termination Right.
(a) Conditions Precedent. The Closing and Buyer’s obligation to consummate the transaction contemplated by this Agreement are subject to the timely satisfaction or written waiver of the following conditions precedent (collectively, “Buyer’s Contingencies”), which are for Buyer’s benefit only.
(i) Title Review. Seller has obtained an preliminary title report as to the Real Property from the Title Company; the preliminary title report is designated as Order No. ___________________, dated as of ___________ __, 2023 (the “Prelim”). Within five (5) calendar days after the Opening of Escrow, Seller shall cause the Title Company to deliver to Buyer a copy of the Prelim, together with copies of the exceptions (the “Exceptions”) set forth in the Prelim; 276
provided that the cost of the Prelim shall be borne by Seller. Buyer has been in possession of the Real Property for a substantial period of time and has made certain improvements to the Real Property; consequently, if the Title Policy is to include any endorsement against mechanics’ liens, the cost of any such endorsement shall be borne by Buyer. On or before the Contingency Date, Buyer shall have approved in writing, in Buyer’s sole discretion, any matters of title disclosed by the following (collectively, the “Title Documents”): (i) the Prelim including the following documents which are not of record as of the date of the Prelim but which will be recorded in connection with the sale of the Property to the Buyer: (a) the Agreement Affecting Property (which shall be recorded as to both the Real Property and the Adjacent Area concurrent with the recording of the Deed) ; and (b) the provisions contained in the Deed; (ii) the legal description of the Real Property, (iii) confirmation that title to the Real Property shall be held in the same manner as title to the Adjacent Area; and (iv) any survey Buyer desires to obtain at Buyer’s sole cost and expense. Buyer shall have the same rights to approve or disapprove any exceptions to title that are not created by Buyer and that come into existence after issuance of the Report but prior to Closing. Seller shall, on or before the Closing, remove all deeds of trust, mortgages and delinquent taxes (but not the lien for any real property taxes or assessments not yet delinquent).
(ii) Buyer’s Title Policy. On or before the Closing, the Title Company shall, upon payment (by Seller) of the Title Company’s premium, have agreed to issue to Buyer, a standard ALTA owner’s policy of title insurance (“Buyer’s Title Policy”) in the amount of the Purchase Price, showing fee title to the Real Property vested solely in Buyer and subject only to the (i) the standard, preprinted exceptions to Buyer’s Title Policy; (ii) liens to secure payment of real estate taxes or assessments not yet delinquent; (iii) matters affecting the Real Property created by or with the written consent of Buyer; (iv) matters disclosed in the Prelim or the Pro Forma, (v) the Agreement Affecting Property (which shall be recorded as to both the Real Property and the Adjacent Area); (vi) the provisions contained in the Deed; and (vii) those additional matters specifically approved in writing by Buyer. Buyer shall have the right, at its sole cost and expense, to obtain coverage beyond that offered by a standard ALTA policy; provided, however, that Buyer’s ability to obtain such extended coverage shall not be a Buyer’s Contingency and Buyer’s obligations hereunder shall in no way be conditioned or contingent upon obtaining such extended coverage. Buyer shall have sole responsibility for obtaining, and bearing the cost of, any endorsements and for any survey or other matters required by the Title Company for such extended coverage. (iii) Physical and Legal Inspections and Studies. On or before the Contingency Date, Buyer may undertake as to the Real Property, at Buyer’s cost, physical and legal inspections, investigations, tests and studies Buyer elects to make or obtain, including, but not limited to, investigations with regard to zoning, building codes and other governmental regulations; engineering tests; soils, seismic and geologic reports; environmental audits, inspections and studies; environmental investigation or other invasive or subsurface testing; and any other physical or legal inspections and/or investigations as Buyer may elect to make or obtain. Buyer shall give prior notice to Seller a reasonable time prior to conducting any such activities and shall seek to conduct any such activities within normal working hours or at other times approved by Seller. (iv) Natural Hazard Report. Seller shall cause the Escrow Holder to provide to Buyer prior to the Contingency Date, at Seller’s cost, the National Hazard Report described at Section 8(a)(iii) of this Agreement.
(v) Delivery of Documents. Seller’s delivery of all documents described in Section 8, below.
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(vi) Representations and Warranties. All representations and warranties of Seller contained in this Agreement shall be materially true and correct as of the date made and as of the Closing.
(vii) No Default. As of the Closing, Seller shall not be in default in the performance of any material covenant or agreement to be performed by Seller under this Agreement. (b) Termination Right. Should any of Buyer’s Contingencies not be met, Buyer may, by written notice to Seller, terminate this Agreement. If this Agreement is so terminated, then (except to the extent expressly allocated to one party hereto by this Agreement) any escrow, title or other cancellation fees shall be paid by Buyer, unless Seller is in default hereunder, in which case Seller shall pay all such fees. If Buyer has neither terminated this Agreement in writing (“Termination Notice”) on or before 5:00 p.m. on the Contingency Date as to the items set forth in Sections 6(a)(i)-(vi) inclusive, nor provided a written satisfaction or waiver notice to Seller of each Buyer’s Contingency to be satisfied as of the Contingency Date, then all such Buyer’s Contingencies shall be deemed to have been satisfied and this Agreement shall continue pursuant to its terms. If Buyer has not delivered a Termination Notice as the items set forth in Sections 6(a)(vii)-(viii) inclusive, prior to the Closing, such Buyer’s Contingencies shall be deemed to have been satisfied. (c) Seller’s Cure Right. Buyer shall notify Seller, in Buyer’s Termination Notice, of Buyer’s disapproval or conditional approval of any Title Documents. Seller shall then have the right, but not the obligation, to (i) remove from title any disapproved or conditionally approved Exception(s) (or cure such other title matters that are the basis of Buyer’s disapproval or conditional approval of the Title Documents) within five (5) business days after Seller’s receipt of Buyer’s Termination Notice, or (ii) provide assurances reasonably satisfactory to Buyer that such Exception(s) will be removed (or other matters cured) on or before the Closing. With respect to any such Exception, it shall be sufficient for purposes hereof for Seller to commit in writing, within the applicable period, to remove such Exception at or before the Closing. Seller’s failure to remove such Exception after committing to do so shall be a default hereunder. An Exception shall be deemed removed or cured if Seller furnishes Buyer with evidence that the Title Company will issue the Buyer’s Title Policy, as defined herein, at the Closing deleting such Exception or providing an endorsement (at Seller’s expense) reasonably satisfactory to Buyer concerning such Exception. If Seller cannot or does not remove or agree to remove any of the disapproved Exception(s) (or cure other matters) within such five (5) business day period, Buyer shall have three (3) business days after the expiration of such five (5) business day period to give Seller written notice that Buyer elects to proceed with the purchase of the Real Property subject to the disapproved Title Document(s), it being understood that Buyer shall have no further recourse against Seller for such disapproved Title Exception(s).

7. Seller’s Condition Precedent. The Closing and Seller’s obligations with respect to the transaction contemplated by this Agreement are subject to the timely satisfaction or written waiver of the following condition precedent (“Seller’s Contingency”), which is for Seller’s benefit only: Buyer’s delivery or counter-signing of the Deed and the Agreement Affecting Property.

8. Seller’s Deliveries to Escrow Holder.
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(a) Seller’s Delivered Documents. At least one (1) business day prior to the Closing Date, Seller shall deposit or cause to be deposited with Escrow Holder the following items, duly executed and, where appropriate, acknowledged (“Seller’s Delivered Items”):
(i) Deed. A grant deed substantially in the form attached hereto as Exhibit “D” (the “Deed”); vesting shall match that for the Adjacent Area. (ii) FIRPTA/Tax Exemption Forms. The Transferor’s Certification of Non-Foreign Status which may be in the form attached hereto as Exhibit “E” or a format provided by the Title Company (the “FIRPTA Certificate”), together with any necessary tax withholding forms, and a duly executed California Form 593-C, as applicable (the “California Exemption Certificate”).
(iii) Agreement Affecting Property. Agreement Affecting Property substantially in the form set froth as Exhibit “C” hereto. The Agreement Affecting Property shall be executed by Buyer as the purchaser of the Real Property and the fee owner of the Adjacent Area; Seller shall also execute the Agreement Affecting Property. (iv) Hazard Disclosure Report. Seller shall cause Escrow Holder to obtain and deliver to Buyer, at Seller’s cost, a National Hazard Report as provided for under Sections 1102 and 1103 of the California Civil Code (the “National Hazard Report”) on or before the Contingency Date.
(v) Possession of Real Property. Rights of possession of the Real Property free of any tenancies or occupancy.
(vi) Authority. Such proof of Seller’s authority and authorization to enter into this Agreement and to consummate this transaction as may be reasonably requested by Buyer and the Title Company.
(vii) Further Documents or Items. Any other documents or items reasonably required to close the transaction contemplated by this Agreement as determined by the Title Company.
(b) Failure to Deliver. Should any of Seller’s Delivered Items not be timely delivered to Escrow, Buyer may, by written notice to Seller, terminate this Agreement; provided, however, that Buyer may (but shall not be obligated to) in such notice provide Seller with five (5) business days to deliver all of Seller’s Delivered Items. If Buyer’s notice provides Seller such five (5) business days to deliver Seller’s Delivered Items, and if Seller’s Delivered Items are not delivered within such period, then this Agreement shall automatically terminate without further action or notice. In the event of any such termination, any cash deposited by Buyer shall immediately be returned to Buyer. Under no circumstances shall Buyer have any responsibility to or duty to pay consultants or real estate brokers retained by Seller, Seller being solely responsible in connection with any such contractual arrangements of Seller.

9. Buyer’s Deliveries to Escrow. At least one (1) business day prior to the Closing Date, Buyer shall deposit or cause to be deposited with Escrow Holder the following, each duly executed and acknowledged, by Buyer as appropriate (“Buyer’s Delivered Items”):
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(a) Money from Buyer. The Down Payment, together with additional funds necessary to pay Buyer’s closing costs set forth in Section 10(b) herein. (b) Change of Ownership Report. One (1) original Preliminary Change of Ownership Report.
(c) Final Escrow Instructions. Buyer’s final written escrow instructions to close escrow in accordance with the terms of this Agreement.
(d) Authority. Such proof of Buyer’s authority and authorization to enter into this Agreement and to consummate the transaction contemplated hereby as may be reasonably requested by Seller or the Title Company.
(e) Agreement Affecting Property. Buyer shall execute, both as purchaser of the Real Property and as fee owner of Adjacent Area, and deliver to the Escrow Holder the Agreement Affecting Property.
(f) Further Documents or Items. Any other documents or items reasonably required to close the transaction contemplated by this Agreement as determined by the Title Company.

10. Costs and Expenses.
(a) Seller’s Costs. -. If the transaction contemplated by this Agreement is consummated, then Seller shall be debited for and bear the following costs: (i) all (100%) of prorations; (ii) the cost of the Natural Hazard Report; (iii) the premium for a standard ALTA owner’s policy of title insurance based upon the Purchase Price (the “Owner’s Policy”); (iv) all (100%) of the Escrow Holder’s fee; (v) documentary transfer taxes, if any; (vii) all (100%) of recording fees and charges other closing costs not otherwise enumerated in this subsection (a); and (viii) costs, if any, allocable to Seller under this Agreement and costs for such services as Seller may additionally request that Escrow perform on its behalf (which foregoing items collectively constitute “Seller’s Costs and Debited Amounts”).
(b) Buyer’s Costs. If the transaction contemplated by this Agreement is consummated, then Buyer shall bear the following costs and expenses: costs, if any, for such services as Buyer may additionally request that Escrow Holder perform on its behalf (collectively, “Buyer’s Costs and Debited Amounts”). (c) Generally. Each party shall bear the costs of its own attorneys, consultants, and real estate brokers in connection with the negotiation and preparation of this Agreement and the consummation of the transaction contemplated hereby. Buyer represents to each Seller and the Authority that Buyer has not engaged the services of any consultants, finders or real estate brokers in connection with the purchase of the Real Property from the Seller. Seller represents to each Buyer and the Authority that Seller has not engaged the services of any consultants, finders or real estate brokers in connection with the sale of the Real Property to the Buyer. 280

11. Prorations; Withholding.
(a) Expenses relating to the Real Property (including, but not limited to, property taxes, utility costs and expenses, water charges and sewer rents and refuse collection charges) shall be the responsibility of Buyer (whether incurred before or after the Effective Date). (b) Seller, as a governmental agency, is exempt from withholding under Section 18662 of the California Revenue and Taxation Code and will submit to Escrow Holder a writing which sets forth such governmental status and exemption; such writing may be substantially in the form of Exhibit “E” hereto.

12. Closing Procedure. When the Title Company is ready to issue the Buyer’s Title Policy and all required documents and funds have been deposited with Escrow Holder, Escrow Holder shall immediately close Escrow in the manner and order provided below. (a) Recording. Escrow Holder shall cause the Deed and the Agreement Affecting Property to be recorded among the official land records of the County Recorder of the County of Placer (“Official Records”) and obtain conformed copies thereof for distribution to each Buyer, Seller and the Authority.
(b) Disburse Funds. Escrow Holder shall debit or credit (as provided herein) all Buyer’s Costs and Debited Amounts, Seller’s Costs and Debited Amounts and General Expenses, prorate matters and withhold funds as provided herein. Seller agrees that, notwithstanding any other provision of this Agreement to contrary effect, the total moneys to be disbursed to Seller upon Closing in connection with the sale of the Real Property under this Agreement shall be the sum of equal to the Purchase Price (inclusive of any moneys disbursed to Seller as the Down Payment). (c) Documents to Seller. Escrow Holder shall deliver to Seller a conformed copy of the Deed, a conformed copy of the Agreement Affecting Property, and a copy of each other document (or copies thereof) deposited into Escrow by Buyer pursuant hereto. Escrow Holder shall also provide to Authority a copy of each document provided to Seller. Escrow Holder shall also provide for the original Agreement Affecting Property to be delivered to Seller following the recording of the Agreement Affecting Property.
(d) Documents to Buyer. Escrow Holder shall deliver to Buyer the original FIRPTA Certificate, the original California Exemption Certificate (as applicable), a conformed copy of the Deed, the Natural Hazard Report, and each other document (or copies thereof) deposited into Escrow by Seller pursuant hereto, including, without limitation, those documents referenced in Section 8. Escrow Holder shall also provide to Authority a copy of each document provided to Buyer.
(e) Title Company. Escrow Holder shall cause the Title Company to issue the Buyer’s Title Policy to Buyer.
(f) Closing Statement. Escrow Holder shall forward to both Buyer and Seller a separate accounting of all funds received and disbursed for each party with a copy to the Authority. (g) Informational Reports. Escrow Holder shall file any information reports required by Internal Revenue Code Section 6045(e), as amended. 281

13. Representations and Warranties.
(a) Seller’s Representations and Warranties. In consideration of Buyer entering into this Agreement and as an inducement to Buyer to purchase the Real Property, Seller makes the following representations and warranties as of the Effective Date and as of the Closing, each of which is material and is being relied upon by Buyer (and the truth and accuracy of which shall constitute a condition precedent to Buyer’s obligations hereunder), and all of which are material inducements to Buyer to enter into this Agreement (and but for which Buyer would not have entered into this Agreement) and shall survive Closing:
(i) Seller has the legal power, right and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transaction contemplated hereby.
(ii) All requisite action (corporate, trust, partnership or otherwise) has been taken by Seller in connection with entering into this Agreement and the instruments referenced herein; and, by the Closing, all such necessary action will have been taken to authorize the consummation of the transaction contemplated hereby. By the Closing no additional consent of any individual, director, manager, shareholder, partner, member, trustee, trustor, beneficiary, creditor, investor, judicial or administrative body, governmental authority or other party shall be required for Buyer to consummate the transaction contemplated by this Agreement. (iii) The individual executing this Agreement and the instruments referenced herein on behalf of Seller has the legal power, right and actual authority to bind Seller to the terms and conditions hereof and thereof.
(iv) Neither the execution or delivery of this Agreement or the documents or instruments referenced herein, nor incurring the obligations set forth herein, nor the consummation of the transaction contemplated herein, nor compliance with the terms of this Agreement or the documents or instruments referenced herein or therein conflict with or result in the breach of any terms, conditions or provisions of, or constitute a default under, any note, contract, mortgage, deed of trust, loan, lease or other agreement or instrument to which Seller is a party or that affect the Real Property, including, but not limited to, any of the Title Documents or the Property Documents. (v) Seller has made no written or oral commitments to or agreements with any governmental authority or agency materially and adversely affecting the Real Property, or any part hereof, or any interest therein, which will survive the Closing. Seller has entered into no understanding or agreement with any taxing or assessing authority respecting the imposition or deferment of any taxes or assignments respecting the Real Property. For purposes of this Agreement, “best of Seller’s knowledge” means the actual knowledge of the City Manager, no investigation having been made.
(vi) To the best of the Seller’s knowledge, no document supplied to Buyer by Seller contains any untrue statement of a material fact, and no document omits any facts that would be necessary, in the circumstances, to make the document supplied not misleading. (b) Subsequent Changes to Seller’s Representations and Warranties. If, prior to the Closing, Buyer or Seller should learn, discover or become aware of any existing or new item, fact or circumstance which renders a representation or warranty of Seller set forth herein incorrect 282
or untrue in any respect (collectively, the “Seller Representation Matter”), then the party who has learned, discovered or become aware of such Representation Matter shall promptly give written notice thereof to the other party and Seller’s representations and warranties shall be automatically limited to account for the Representation Matter. Buyer shall have the right to approve or disapprove any such change and to terminate this Agreement by written notice to Seller if Buyer reasonably disapproves any such change. If Buyer does not elect to terminate this Agreement, Seller’s representation shall be qualified by such Seller Representation Matter and Seller shall have no obligation to Buyer for such Seller Representation Matter. (c) Buyer’s Representations and Warranties. In consideration of Seller entering into this Agreement and as an inducement to Seller to sell the Real Property, Buyer makes the following representations and warranties as of the date hereof and at and as of the Closing, each of which is material and is being relied upon by Seller (and the truth and accuracy of which shall constitute a condition precedent to Seller’s obligations hereunder), and all of which shall survive Closing:
(i) Buyer has the legal power, right and authority to enter into this Agreement and the instruments referenced herein, and to consummate the transaction contemplated hereby.
(ii) All requisite action has been taken by Buyer in connection with entering into this Agreement and the instruments referenced herein; and, by the Closing, all such necessary action will have been taken to authorize the consummation of the transaction contemplated hereby. By the Closing no additional consent of any individual, judicial or administrative body, governmental authority or other party shall be required for Seller to consummate the transaction contemplated by this Agreement.
(iii) The individuals executing this Agreement and the instruments referenced herein on behalf of Buyer have the legal power, right and actual authority to bind Buyer to the terms and conditions hereof and thereof.
(iv) Buyer agrees, acknowledges, and represents that the use of the Real Property prior to the Effective Date and continuing to the conveyance of the Real Property to Buyer has been a nonconforming use and that any improvements may not be made to the Real Property without the prior written approval of the City of Rocklin, a municipal corporation; this provisions hall survive the close of escrow.
(v) Buyer agrees and acknowledges that as purchaser of the Real Property and as the fee owner of the Adjacent Area, the Real Property and the Adjacent Area shall be held in common ownership and neither the Real Property nor the Adjacent Area may be conveyed without the other being concurrently conveyed.
(vi) Neither the execution and delivery of this Agreement and the documents and instruments referenced herein, nor incurring the obligations set forth herein, nor the consummation of the transaction contemplated herein, nor compliance with the terms of this Agreement and the documents and instruments referenced herein conflict with or result in the material breach of any terms, conditions or provisions of, or constitute a default under, any bond, note or other evidence of indebtedness or any contract, indenture, mortgage, deed of trust, loan, 283
partnership agreement, lease or other agreement or instrument to which Buyer is a party or by which any of Buyer’s properties are bound.
(d) Subsequent Changes to Buyer’s Representations and Warranties. If, prior to the Closing, Seller or Buyer should learn, discover or become aware of any existing or new item, fact or circumstance which renders a representation or warranty of Buyer set forth herein incorrect or untrue in any respect (collectively, the “Buyer’s Representation Matter”), then the party who has learned, discovered or become aware of such Buyer’s Representation Matter shall promptly give written notice thereof to the other party and Buyer’s representations and warranties shall be automatically limited to account for the Buyer’s Representation Matter. Seller shall have the right to approve or disapprove any such change and to terminate this Agreement by written notice to Buyer if Seller reasonably disapproves any such change. If Seller does not elect to terminate this Agreement, Buyer’s representation shall be qualified by such Buyer’s Representation Matter and Buyer shall have no obligation to Seller for such Buyer’s Representation Matter.

14. Provisions that Shall Survive Closing. (a) Buyer (as purchaser of the Real Property and as owner of the Adjacent Area) agrees and acknowledges that: (i) the existing general plan designation and zoning of the Real Property is for open space use, only; (ii) it is not contemplated that there will be a rezone or change in the general plan designation of the Real Property that would broaden uses beyond use as open space; (iii) the City does not have any duty to consider or approve any change to the general plan and zoning designations for the Real Property as in effect as of the date the Real Property is conveyed to Buyer and any requests for changes to a general plan and zoning designation would be subject to the land use processes of the City, including without limitation public hearings; (iv) the use of the Real Property prior to and as of the date of conveyance of the Real Property to Buyer may constitute a nonconforming land use and consequently the undertaking of any improvements to the Real Property shall be subject to the prior written approval of City based upon whether the proposed improvements would expand a nonconforming use or are otherwise inconsistent with the provisions of the Rocklin Municipal Code as in effect from time to time; (v) the Real Property and the Adjacent Area must be held in common ownership and neither the Real Property nor the Adjacent Area may be conveyed without the other being conveyed at the same time and under the same conveyance.
(b) Buyer shall be responsible for the following, whether occurring prior to or after the conveyance of the Real Property to Buyer: (i) any property tax liability and/or assessments associated with the Real Property, including without limitation any liability for property tax based upon a possessory interest; (ii) any liability associated with the use of the Real Property; (iii) the condition of the Real Property, including without limitation subsurface conditions. Buyer agrees to hold harmless and indemnify City, as well as City's officials, employees, and agents from any claims, losses, suits, or judgments associated with the use of the Real Property whether such claims, possess, suits, or judgments arise from or involve facts occurring before or after the conveyance of the Real Property to Buyer.
(c) The provisions of subsection (c) of Section 13 hereof, including without limitation parts (iv) and (v) as well as the provisions of subsection (c) of Section 15 shall survive Closing.

15. General Provisions.
(a) Condemnation. If any material portion of the Real Property shall be taken or appropriated by a public or quasi-public authority exercising the power of eminent domain, Buyer 284
shall have the right, at its option, to (i) terminate this Agreement or (ii) proceed with the purchase of the Real Property and receive all of the award or payment made in connection with such taking. (b) Notices. All notices, demands, requests or other communications required or permitted hereunder (collectively, “Notices”) shall be in writing, shall be addressed to the receiving party as provided in the Basic Term section above, and shall be personally delivered, sent by overnight mail (Federal Express or another carrier that provides receipts for all deliveries), sent by certified mail, postage prepaid, return receipt requested, or sent by facsimile transmission (provided that a successful transmission report is received). All Notices shall be effective upon receipt at the appropriate address. Notice of change of address shall be given by written notice in the manner detailed in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no Notice in accordance with this Section was given shall be deemed to constitute receipt of such Notice. The providing of copies of Notices to the parties’ respective counsels is for information only, is not required for valid Notice and does not alone constitute Notice hereunder.
(c) Brokers. Seller assumes sole responsibility for any consultants or brokers (“Seller’s Agents”) it may have retained in connection with the sale of the Real Property. Seller represents to Buyer that Seller has engaged no finders or real estate brokers in connection with the sale of the Real Property to the Buyer , and there are no brokerage commission, finder’s fee or other compensation of any kind is due or owing to any person or entity in connection with this Agreement.

Seller agrees to and does hereby indemnify and hold Buyer free and harmless from and against any and all costs, liabilities or causes of action or proceedings which may be instituted by any broker, agent or finder, licensed or otherwise, claiming through, under or by reason of the conduct of the Seller in connection with this Agreement.

Buyer assumes sole responsibility for any consultants or brokers (“Buyer’s Agents”) it may have retained in connection with the purchase of the Real Property. Buyer represents to Seller that Buyer has engaged no finders or real estate brokers in connection with the purchase of the Real Property by the Buyer, and there are no brokerage commission, finder’s fee or other compensation of any kind is due or owing to any person or entity in connection with this Agreement. Buyer agrees to and does hereby indemnify and hold Seller free and harmless from and against any and all costs, liabilities or causes of action or proceedings which may be instituted by any broker, agent or finder, licensed or otherwise, claiming through, under or by reason of the conduct of the Buyer in connection with this Agreement.
(d) Waiver, Consent and Remedies. Each provision of this Agreement to be performed by Buyer and Seller shall be deemed both a covenant and a condition and shall be a material consideration for Seller’s and Buyer’s performance hereunder, as appropriate, and any breach thereof by Buyer or Seller shall be deemed a material default hereunder. Either party may specifically and expressly waive in writing any portion of this Agreement or any breach thereof, but no such waiver shall constitute a further or continuing waiver of a preceding or succeeding breach of the same or any other provision. A waiving party may at any time thereafter require further compliance by the other party with any breach or provision so waived. The consent by one party to any act by the other for which such consent was required shall not be deemed to imply consent or waiver of the necessity of obtaining such consent for the same or any similar acts in the future. No waiver or consent shall be implied from silence or any failure of a party to act, except as otherwise specified in this Agreement. All rights, remedies, undertakings, obligations, options, covenants, conditions and agreements contained in this Agreement shall be cumulative and no one of them shall 285
be exclusive of any other. Except as otherwise specified herein, either party hereto may pursue any one or more of its rights, options or remedies hereunder or may seek damages or specific performance in the event of the other party’s breach hereunder, or may pursue any other remedy at law or equity, whether or not stated in this Agreement.
(e) Cooperation. Buyer and Seller agree to execute such instruments and documents and to diligently undertake such actions as may be required in order to consummate the purchase and sale herein contemplated and shall use all reasonable efforts to accomplish the Closing in accordance with the provisions hereof.
(f) Remedies. Without limitation as to the availability of other remedies, this Agreement may be enforced by an action for specific enforcement. (g) Time. Time is of the essence of every provision herein contained. In the computation of any period of time provided for in this Agreement or by law, the day of the act or event from which said period of time runs shall be excluded, and the last day of such period shall be included, unless it is a Saturday, Sunday, or legal holiday, in which case the period shall be deemed to run until 5:00 p.m. of the next day that is not a Saturday, Sunday, or legal holiday. Except as otherwise expressly provided herein, all time periods expiring on a specified date or period herein shall be deemed to expire at 5:00 p.m. on such specified date or period. (h) Counterparts; Facsimile Signatures. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. A facsimile signature shall be deemed an original signature.
(i) Captions; Interpretation. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. This Agreement shall be interpreted as if prepared jointly and equally by both of the Seller and the Buyer.
(j) No Third Party Beneficiaries. The execution and delivery of this Agreement shall not be deemed to confer any rights upon, nor obligate any of the parties to this Agreement to, any person or entity other than the parties hereto.
(k) Amendment to this Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. (l) Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. (m) Applicable Law. This Agreement shall be governed by and construed in accordance with the local law of the State of California. (n) Exhibits and Schedules. The exhibits and schedules attached hereto are incorporated herein by this reference for all purposes. (o) Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between, and 286
the final expression of, Buyer and Seller with respect to the subject matter hereof. The parties hereto expressly agree and confirm that this Agreement is executed without reliance on any oral or written statements, representations or promises of any kind which are not expressly contained in this Agreement. No subsequent agreement, representation or promise made by either party hereto, or by or to an employee, officer, agent or representative of either party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. (p) Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the permitted successors and assigns of the parties hereto. (q) Assignment. This Agreement may not be assigned without the prior written consent of the other party hereto and the prior written consent of the Authority; such consent may be granted, conditionally granted, or refused at the sole discretion of each party. 287
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WITNESS WHEREOF, the parties hereto have executed this Agreement as of the day and year first written above.
“SELLER”

CITY OF ROCKLIN
By:

Mayor, City of Rocklin
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“BUYER”
[NAME OF OWNER OF ADJACENT AREA],
_________________
By:
[Name of Owner of Adjacent Area]
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Acceptance by Escrow Holder:

First American Title Company hereby acknowledges that it has received a fully executed copy of the foregoing Purchase and Sale Agreement and Joint Escrow Instructions by and between City of Rocklin (“Seller”), and the [Name of Owner of Adjacent Area], an unmarried woman, as Buyer, and agrees to act as Escrow Holder thereunder and to be bound by and strictly perform the terms thereof as such terms apply to Escrow Holder.

Dated: _____________, 2023

FIRST AMERICAN TITLE COMPANY
By:

Name:

Its:
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EXHIBIT A

LEGAL DESCRIPTION OF THE REAL PROPERTY
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EXHIBIT B

LEGAL DESCRIPTION OF THE ADJACENT AREA
[to come]
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EXHIBIT C

AGREEMENT AFFECTING REAL PROPERTY
RECORDING REQUESTED BY:

WHEN RECORDED RETURN TO:

City of Rocklin
3970 Rocklin Road
Rocklin, California 95677
Attn: City Manager
(Space above for Recorder’s Use.)
This document is exempt from the payment of a recording fee pursuant to Government Code Section 27383.

AGREEMENT AFFECTING REAL PROPERTY
This Agreement Affecting Property (“Agreement Affecting Real Property”), Conditions and Restrictions, herein sometimes referred to as these “CC&Rs” or “Declaration” or “Regulatory Agreement” are made by the signatories hereto.

R E C I T A L S
A. ______________ (“Owner”) is and for a substantial period of time has been the owner in fee of that certain property (the “Adjacent Area”) as described in Attachment No. 2 hereto. The City of Rocklin, a municipal corporation (“City” and together with Owner, “Declarants”) is conveying to Owner that certain property (the “Real Property”) described in Attachment No. 1 hereto of even date with the recording of this Agreement Affecting Real Property.

Each of Buyer and Owner has had the opportunity to review the contents of this Agreement Affecting Property/Agreement Affecting Property with legal counsel of its choosing. 293
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NOW, THEREFORE, the City and the Owner (the latter as owner of real property interests described hereinabove located within the corporate limits of the City), declare that the Real Property shall be held, transferred, encumbered, used, sold, conveyed, leased and occupied subject to the Agreement Affecting Property hereinafter set forth expressly and exclusively for the use and benefit of said property, and the City. Each and all of the restrictions, limitations, conditions, covenants, liens, reservations and charges herein contained shall run with the land and be recorded on the property title and shall be binding on Declarants, their grantees, successors, heirs, executors, administrators, devisees or assigns, and all subsequent owners of all or any part of the Real Property.

ARTICLE I

DEFINITIONS
The definitions provided herein shall be applicable to this Declaration and also to any amendment or supplemental Declaration (unless the context implicitly or explicitly shall prohibit), recorded against the Real Property pursuant to the provision of this Declaration.

Section 1. “Adjacent Area” means that land described in Attachment No. 2 including without limitation any appurtenances or improvements thereto.

Section 2. “City Code” means and refers to the City of Rocklin Municipal Code as revised from time to time.

Section 3. “Real Property” means that land described in Attachment No. 2 including without limitation any appurtenances or improvements thereto.

Section 4. “Required Period” means the period commencing on the date this Regulatory Agreement is recorded and ending as of July 1, 2071.

ARTICLE II
LAND USE RESTRICTIONS; IMPROVEMENTS
Section 1. Limitations as to Use; Limitation as to Improvements; Covenant to Hold in Common Ownership. Owner and Buyer agree and acknowledge that: (i) the existing general plan designation and zoning of the Real Property is for open space use, only; (ii) it is not contemplated that there will be a rezone or change in the general plan designation of the Real Property that would broaden uses beyond use as open space; (iii) the City does not have any duty to consider or approve any change to the general plan and zoning designations for the Real Property as in effect as of the date the Real Property is conveyed to Buyer and any requests for changes to a general plan and zoning designation would be subject to the land use processes of the City, including without limitation public hearings; (iv) the use of the Real Property prior to and as of the date of conveyance of the Real Property to Buyer may constitute a nonconforming land use and consequently the undertaking of any improvements to the Real Property shall be subject to the prior written approval of City based upon whether the proposed improvements would expand a nonconforming use or are otherwise inconsistent with the provisions of the Rocklin Municipal Code as then in effect; (v) the Real Property and the Adjacent Area must be held in common ownership and neither the Real Property nor the Adjacent Area may be conveyed without the other being conveyed at the same time and under the same conveyance; Section 2. Certain Responsibilities of Buyer. Buyer shall be responsible for the following, whether occurring prior to or after the conveyance of the Real Property to Buyer: (i) any property tax 294
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liability and/or assessments associated with the Real Property, including without limitation any liability for property tax based upon a possessory interest; (ii) any liability associated with the use of the Real Property; (iii) the condition of the Real Property, including without limitation subsurface conditions.

Buyer agrees to hold harmless and indemnify City, as well as City's officials, employees, and agents from any claims, losses, suits, or judgments associated with the use of the Real Property whether such claims, possess, suits, or judgments arise from or involve facts occurring before or after the conveyance of the Real Property to Buyer.

The Real Property shall be used, maintained and operated in accordance with this Regulatory Agreement for the Required Period.

Section 3. Nondiscrimination. The Owner shall refrain from restricting the rental, sale or lease of the Real Property and Adjacent Area, or any portion thereof, on the basis of race, color, creed, religion, sex, marital status, national origin or ancestry of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses:
(1) In deeds: “The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land.”
(2) In leases: “The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions:

That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased. The foregoing covenants shall run with the land.” (3) In contracts: “There shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises subject to this agreement nor shall the lessee himself or herself, or any person claiming under or through him or her, 295
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establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises. The foregoing covenants shall run with the land.” The covenants established in this Declaration (as to both the Real Property and the Adjacent Area) and the deed of conveyance for the Real Property to Owner Area shall, without regard to technical classification and designation, be binding for the benefit and in favor of each of the City and any successor in interest to the Real Property and Adjacent Area, together with any property acquired by the Owner pursuant to this Agreement, or any part thereof. The covenants against discrimination as set forth in this Section 3 of Article II shall remain in effect in perpetuity.

Section 10. Improvements. Nothing shall be done on the Real Property including any improvements thereto without the prior written consent of City. In determining whether to grant such approval(s), the City may consider the general plan and zoning designations applicable to the Real Property, the nonconforming use status of the Real Property and any improvements thereto, and the principle and laws to the effect that nonconforming uses are not to be extended or expanded. This Section 10 shall not be deemed to apply to the Adjacent Area.

Section 11. Compliance with Laws; Limitation on Use of the Real Property. The Owner shall comply with all applicable laws in connection with the use of the Real Property and the Adjacent Area. In addition, use of the Real Property is strictly limited to use as open space benefiting the owner of the Adjacent Area.

ARTICLE III

MAINTENANCE RESPONSIBILITIES
Section 1. Maintenance. The Real Property, any improvements thereto, shall be maintained by Owner in a safe and clean condition and in conformity with all Governmental Requirements (as defined below).

For purposes of this Section, “Governmental Requirements” means all laws, ordinances, statutes, codes, rules, regulations, orders and decrees of the United States, the state, the county, the City, or any other political subdivision in which the Real Property is located, and of any other political subdivision, agency or instrumentality exercising jurisdiction over the Owner or the Real Property.

Section 2. Compliance With Laws. Owner shall maintain the Real Property, including without limitation the use thereof, in conformity with all applicable Governmental Requirements.

Section 2. Damage and Destruction Affecting Project - Owner’s Duty to Rebuild. If all or any portion of the Real Property and the improvements thereon is damaged or destroyed by fire or other casualty, it shall be the duty of the Owner to rebuild, repair or reconstruct said portion of the Real Property and/or the improvements in a timely manner which will restore it to Code compliance condition.
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ARTICLE IV

ENFORCEMENT
Section 1. Remedies. Breach of the covenants contained in the Declaration may be enjoined, abated or remedied by appropriate legal proceeding by the City.

This Declaration does not in any way infringe on the right or duties of the City of Rocklin to enforce any of the provisions of the Rocklin Municipal Code including, but not limited to, the abatement of dangerous buildings.

Section 2. Nuisance. The result of every act or omission whereby any of the covenants contained in this Declaration are violated in whole or in part is hereby declared to be and constitutes a nuisance, and every remedy allowable at law or equity, against a nuisance, either public or private, shall be applicable against every such result and may be exercised by any owner or its successors in interest, without derogation of the City’s rights under law.

Section 3. Right of Entry. In addition to the above general rights of enforcement, the City shall have the right through its agents and employees, to enter upon any part of the Real Property for the purpose of enforcing the ordinances and other regulations of the City. In addition, the City has the right of entry at reasonable hours and upon and after reasonable attempts to contact Owner, on the Real Property to effect emergency repairs or maintenance which the Owner has failed to perform.

Subsequent to sixty (60) days written notice to the Owner specifically outlining the Owner’s noncompliance, the City shall have the right of entry on the Real Property at reasonable hours to enforce compliance with this Declaration which the Owner has failed to perform.

Section 4. Costs of Repair. The costs borne by the City of any such repairs or maintenance emergency and/or non-emergency, shall become a charge for which Owner shall be responsible.

Section 5. Cumulative Remedies. The remedies herein provided for breach of the covenants contained in this Declaration shall be deemed cumulative, and none of such remedies shall be deemed exclusive.

Section 6. Failure to Enforce. The failure to enforce any of the covenants contained in this Declaration shall not constitute a waiver of the right to enforce the same thereafter.

Section 7. Enforcement and Nonliability. The City may from time to time make such efforts, if any, as it shall deem appropriate enforce and/or assist in enforcing this Declaration.

However, the City will not be subject to any liability for failure to affirmatively enforce any provision of this Declaration.

ARTICLE V

GENERAL PROVISIONS
Section 1. Agreement Affecting Property Against Partition. By acceptance of its interest in the Real Property, the Owner shall be deemed to covenant for itself and for its heirs, representatives, successors and assigns, that it will not institute legal proceedings or otherwise seek to effect partition of its right and interest in the interest being conveyed to the Owner, or the burdens running with the land as a result of this Regulatory Agreement.
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Section 2. Severability. Invalidation of any one of these covenants or restrictions by judgment or court order shall in no way affect any other provisions which shall remain in all force and effect.

Section 3. Term. This Declaration shall run with and bind the interest of the Owner in the Real Property, and shall inure to the owner(s) of any property subject to this Declaration, his legal representatives, heirs, successors and assigns, and Article II, Sections 1 and 2, be enforceable by the City, for a term equal to the Required Period; however, that the covenants regarding nondiscrimination set forth in Section 3 of Article II of this Declaration shall remain in effect for perpetuity.

Section 4. Construction. The provisions of this Declaration shall be liberally construed to effectuate its purpose of causing the Real Property and the Adjacent Area to be held as one unit under common ownership.

Section 5. Amendments. This Declaration may be amended only by the written agreement of the Owner and the City.

Section 7. Notices. Any notice permitted or required to be delivered as provided herein to Owner shall be in writing and may be delivered either personally or by certified mail. Notice to the City shall be made by certified mail to the City Manager or his designee at 3970 Rocklin Road, Rocklin, California 95677, and shall be effective upon receipt. Notice to Owner shall be made by certified mail to _____________________, _____________ Outlook Drive, Rocklin, California 95677, and shall be effective upon receipt. Such address may be changed from time to time by notice in writing.

CITY:

CITY OF ROCKLIN,
a municipal corporation
By:

City Manager
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OWNER:

OWNER
________________________
Name:
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ATTACHMENT NO. 1

LEGAL DESCRIPTION OF THE REAL PROPERTY
[to come]
APN: _________________
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ATTACHMENT NO. 2

LEGAL DESCRIPTION OF THE ADJACENT AREA
[to come]
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A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, _______________________________ , Notary Public, (Print Name of Notary Public)
personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
___________________________________________________________ Title(s)
___________________________________________________________ Title Or Type Of Document
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:_____________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Number Of Pages
___________________________________________________________ Date Of Documents
___________________________________________________________ Signer(s) Other Than Named Above
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A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, _______________________________ , Notary Public, (Print Name of Notary Public)
personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
___________________________________________________________ Title(s)
___________________________________________________________ Title Or Type Of Document
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:_____________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Number Of Pages
___________________________________________________________ Date Of Documents
___________________________________________________________ Signer(s) Other Than Named Above
303
PSA with Agreement Affecting Property v1
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, _______________________________ , Notary Public, (Print Name of Notary Public)
personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
___________________________________________________________ Title(s)
___________________________________________________________ Title Or Type Of Document
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:_____________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Number Of Pages
___________________________________________________________ Date Of Documents
___________________________________________________________ Signer(s) Other Than Named Above
304
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PSA with Agreement Affecting Property v1

EXHIBIT D

CITY DEED

RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO:

Documentary Transfer Tax: $____________
Based on Full Value of Real Property Conveyed
This document is exempt from payment of a recording fee pursuant to government Code Section 27383.

GRANT DEED
For valuable consideration, receipt of which is hereby acknowledged, The CITY OF ROCKLIN , a municipal corporation (the “City”), hereby grants to __________________________________, ___________________ (“Grantee”), the real property described in Attachment No. 1 attached hereto and incorporated herein (the “Real Property”), subject to existing easements, restrictions and covenants of record, and the provisions set forth in Sections 1, 2, and 3 hereof.

1. Requirement to Hold in Common Ownership . Grantee has been the owner of that certain property described in Attachment No. 2 hereto (the “Adjacent Area”) and is continuing in such ownership. The Adjacent Area is improved with a single family residence. As an ongoing condition, enforceable by City, the Real Property and the Adjacent Area shall be held in common ownership and neither the Real Property nor the Adjacent Area may be conveyed without the other. Any conveyance of the Real Property shall be made with a concurrent conveyance of the Adjacent Area to the same purchaser. The requirement and limitation of this Section 1 is further set forth in that certain instrument entitled “Agreement Affecting Real Property” (the “Agreement Affecting Property”), to be recorded of even date hereof, duly executed by Grantee as Grantee of the Real Property and as fee owner of the Adjacent Area. An unrecorded copy of the Agreement Affecting Property shall be maintained on file with City as a public record. The Agreement Affecting Property shall be substantially in the form set forth as Exhibit “C” in that certain unrecorded agreement entitled “Purchase and Sale Agreement” by and between City and Grantee dated as of _________________ (the “Purchase and Sale Agreement”), a copy of which shall be maintained on file with City as a public record. 305
D-2-5
PSA with Agreement Affecting Property v1

2. Limitation on Use of the Real Property. Use of the Real Property is limited to only those uses which are consistent with uses permitted by City (acting in its governmental capacity) for land zoned for open space use. Use of the Real Property shall be limited to use by Grantee. Any improvements to the Real Property or operation of other uses shall require the prior written approval of City.

3. Nondiscrimination. The Grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land.

CITY:

CITY OF ROCKLIN, a municipal corporation
__________________________________________
City Manager
306
D-3-5
PSA with Agreement Affecting Property v1

ACKNOWLEDGMENT BY GRANTEE
Grantee acknowledges and concurs in the foregoing, including the provisions of Sections 1, 2 and 3.
________________________
By:

Name:
307
Attachment No. 2 to Exhibit D
PSA with Agreement Affecting Property v1
ATTACHMENT NO. 1

LEGAL DESCRIPTION OF REAL PROPERTY
[to come]
APN: ________________
308
Attachment No. 2 to Exhibit D
PSA with Agreement Affecting Property v1
ATTACHMENT NO. 2

LEGAL DESCRIPTION OF THE ADJACENT AREA
[to come]
309
PSA with Agreement Affecting Property v1
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, _______________________________ , Notary Public, (Print Name of Notary Public)
personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
___________________________________________________________ Title(s)
___________________________________________________________ Title Or Type Of Document
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:_____________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Number Of Pages
___________________________________________________________ Date Of Documents
___________________________________________________________ Signer(s) Other Than Named Above
310
PSA with Agreement Affecting Property v1
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, _______________________________ , Notary Public, (Print Name of Notary Public)
personally appeared
who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

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

WITNESS my hand and official seal.

Signature of Notary Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
___________________________________________________________ Title(s)
___________________________________________________________ Title Or Type Of Document
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:_____________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
___________________________________________________________ ___________________________________________________________ ___________________________________________________________ Number Of Pages
___________________________________________________________ Date Of Documents
___________________________________________________________ Signer(s) Other Than Named Above
311
(PAGE 1 OF 2) Reviewed by __________ Date __________
SELLER’S AFFIDAVIT OF NONFOREIGN STATUS AND/OR CALIFORNIA WITHHOLDING EXEMPTION (AS PAGE 1 OF 2) Agent: Phone: Fax:

E-1
PSA with Agreement Affecting Property v1

EXHIBIT E

FIRPTA CERTIFICATE
SELLER’S AFFIDAVIT OF NONFOREIGN STATUS

AND/OR CALIFORNIA WITHHOLDING EXEMPTION

FOREIGN INVESTMENT IN REAL PROPERTY TAX ACT (FIRPTA)

AND CALIFORNIA WITHHOLDING LAW
(Use a separate form for each Transferor)
Internal Revenue Code (“IRC”) Section 1445 provides that a transferee of a U.S. real property interest must withhold tax if the transferor is a “foreign person.” California Revenue and Taxation Code Section 18662 provides that a transferee of a California real property interest must withhold tax unless an exemption applies.

I understand that this affidavit may be disclosed to the Internal Revenue Service and to the California Franchise Tax Board by the transferee, and that any false statement I have made herein may result in a fine, imprisonment or both.

1. PROPERTY ADDRESS (property being transferred): (“Property”)

2. TRANSFEROR’S INFORMATION:

Full Name (“Transferor”)
Telephone Number
Address
(Use HOME address for individual transferors. Use OFFICE address for an “Entity” i.e.: corporations, partnerships, limited liability companies, trusts and estates.) Social Security No., or Federal Employer Identification No.

For a corporation qualified to do business in California, California Corporation No.

Note: In order to avoid withholding, IRC Section 1445 (b) requires that the Seller (a) provides this affidavit to the Buyer with the Seller’s taxpayer identification number (“TIN”), or (b) provides this affidavit, including Seller’s TIN, to a “qualified substitute” who furnishes a statement to the Buyer under penalty of perjury that the qualified substitute has such affidavit in their possession. A qualified substitute may be (i) an attorney, title company, or escrow company (but not the Seller’s agent) responsible for closing the transaction, or (ii) the Buyer’s agent.

3. AUTHORITY TO SIGN: If this document is signed on behalf of an Entity Transferor, THE UNDERSIGNED INDIVIDUAL DECLARES THAT HE/SHE HAS AUTHORITY TO SIGN THIS DOCUMENT ON BEHALF OF THE TRANSFEROR.

4. FEDERAL LAW: I, the undersigned, declare under penalty of perjury that, for the reason checked below, if any, I am exempt (or if signed on behalf of an Entity Transferor, the Entity is exempt) from the federal withholding law (FIRPTA):
☐ (For individual Transferors) I am not a nonresident alien for purposes of U.S. income taxation. ☐ (For corporation, partnership, limited liability company, trust and estate Transferors) The Transferor is not a foreign corporation, foreign partnership, foreign limited liability company, foreign trust or foreign estate, as those terms are defined in the Internal Revenue Code and Income Tax Regulations.

5. CALIFORNIA LAW: I, the undersigned, declare under penalty of perjury that, for the reason checked below, if any, I am exempt (or if signed on behalf of an Entity Transferor, the Entity is exempt) from the California withholding law.

Certifications which fully exempt the sale from withholding:
☐ The total sales price for the Property is $100,000 or less. ☐ The Property qualifies as my principal residence (or the decedent’s, if being sold by the decedent’s estate) within the meaning of IRC Section 121 (owned and occupied as such for two of the last five years).
☐ The Property was last used as my principal residence (or the decedent’s, if being sold by the decedent’s estate) within the meaning of IRC Section 121 without regard to the two-year time period.
☐ The transaction will result in a loss or zero gain for California income tax purposes. (Complete FTB Form 593-E.) ☐ The Property has been compulsorily or involuntarily converted (within the meaning of IRC Section 1033) and Transferor intends to acquire property similar or related in service or use to be eligible for non-recognition of gain for California income tax purposes under IRC Section 1033. ☐ Transferor is a corporation (or an LLC classified as a corporation) that is either qualified through the California Secretary of State or has a permanent place of business in California.
☐ Transferor is a partnership (or an LLC that is not a disregarded single member LLC, classified as a partnership) and recorded title to the Property is in the name of the partnership or LLC. If so, the partnership or LLC must withhold from nonresident partners or members as required. ☐ Transferor is exempt from tax under California or federal law. ☐ Transferor is an insurance company, qualified pension/profit sharing plan, IRA or charitable remainder trust.

Certifications which may partially or fully exempt the sale from withholding:
☐ The Property is being, or will be, exchanged for property of like kind within the meaning of IRC Section 1031. ☐ Payments for the Property are being made in installments, the transferor is a non-resident seller and withholding will be applied to each principal payment. ☐ As a result of the sale of the Property, Seller’s tax liability, calculated at the maximum tax rate regardless of Seller’s actual rate, will be less than the 3 1/3% withholding otherwise required. Seller will be required to sign a certification, under penalty of perjury, specifying the amount to be withheld. (Not to be used for sales closing prior to January 1, 2007)
By Date _______________
(Transferor’s Signature) (Indicate if you are signing as the grantor of a revocable/grantor trust) Typed or printed name Title (if signed on behalf of Entity Transferor) Buyer’s unauthorized use or disclosure of Seller’s TIN could result in civil or criminal liability.

Buyer Date _______________
(Buyer acknowledges receipt of a Copy of this Seller’s Affidavit) Buyer Date _______________
(Buyer acknowledges receipt of a Copy of this Seller’s Affidavit) 312
(PAGE 2 OF 2) Reviewed by __________ Date __________
SELLER’S AFFIDAVIT OF NONFOREIGN STATUS AND/OR CALIFORNIA WITHHOLDING EXEMPTION (AS PAGE 2 OF 2) Agent: Phone: Fax:

E-2
PSA with Agreement Affecting Property v1
IMPORTANT NOTICE: An Affidavit should be signed by each individual or entity Transferor to whom or to which it applies. Before you sign, any questions relating to the legal sufficiency of this form, or to whether it applies to you or to a particular transaction, or about the definition of any of the terms used, should be referred to an attorney, certified public accountant, or other professional tax advisor, the Internal Revenue Service, or the California Franchise Tax Board. For further information on federal guidelines, see C.A.R. Legal Q & A “Federal Withholding: The Foreign Investment in Real Property Tax Act ,” and/or IRS Publication 515 or 519. For further information on state guidelines, see C.A.R. Legal Q & A “ California Nonresident Withholding,” and/or California FTB Pub. 1016.

FEDERAL GUIDELINES
FOREIGN PERSONS DEFINED. The following general information is provided to assist sellers in determining whether they are “foreign persons” for purposes of the Foreign Investment in Real Property Tax Act (FIRPTA), IRC §1445. FIRPTA requires a buyer to withhold and send to the Internal Revenue Service 10% of the gross sales price of a United States (U.S.) real property interest if the seller is a foreign person. No withholding is required for a seller who is a U.S. person (that is, not a foreign person). In order for an individual to be a U.S. person, he/she must be either a U.S. citizen or a U.S. resident alien. The test must be applied separately to each seller in transactions involving more than one seller. Even if the seller is a foreign person, withholding will not be required in every circumstance.

NONRESIDENT ALIEN INDIVIDUAL. An individual whose residence is not within the U.S. and who is not a U.S. citizen is a nonresident alien.

The term includes a nonresident alien fiduciary. An alien actually present in the U.S. who is not just staying temporarily (i.e., not a mere transient or sojourner), is a U.S. resident for income tax purposes. An alien is considered a U.S. resident and not subject to withholding under FIRPTA if the alien meets either the green card test or the substantial presence test for the calendar year.

GREEN CARD TEST. An alien is a U.S. resident if the individual was a lawful permanent resident of the U.S. at any time during the calendar year.

This is known as the “green card test.”
SUBSTANTIAL PRESENCE TEST. An alien is considered a U.S. resident if the individual meets the substantial presence test for the calendar year.

Under this test, the individual must be physically present in the U.S. on at least: (1) 31 days during the current calendar year; and (2) 183 days during the current year and the two preceding years, counting all the days of physical presence in the current year but only 1/3 the number of days present in the first preceding year, and 1/6 the number of days present in the second preceding year.

DAYS OF PRESENCE IN THE U.S. TEST. Generally, a person is treated as physically present in the country at any time during the day. However, if a person regularly commutes to work in the U.S. from a residence in Canada or Mexico, or is in transit between two points outside the U.S. and is physically present in the country for less than 24 hours, he/she is not treated as present in the U.S. on any day during the transit or commute. In addition, the individual is not treated as present in the U.S. on any day during which he/she is unable to leave the U.S. because of a medical condition which arose while in the U.S.

EXEMPT INDIVIDUAL. For the substantial presence test, do not count days for which a person is an exempt individual. An exempt individual is anyone in the following categories:
(1) An individual temporarily present in the U.S. because of (a) full-time diplomatic or consular status, (b) full-time employment with an international organization or (c) an immediate family member of a person described in (a) or (b). (2) A teacher or trainee temporarily present in the U.S. under a “J” visa (other than as a student) who substantially compiles with the requirements of the visa. An individual will not be exempt under this category for a calendar year if he/she was exempt as a teacher or trainee or as a student for any two calendar years during the preceding six calendar years. (3) A student temporarily present in the U.S. under an “F” or “J” visa who substantially complies with the requirements of the visa. Generally, a person will not be exempt as a student for any calendar year after the fifth calendar year for which he/she was exempt as a student, teacher or trainee. However, the individual may continue to be exempt as a student beyond the fifth year if he/she is in compliance with the terms of the student visa and does not intend to permanently reside in the U.S.

CLOSER CONNECTION TO A FOREIGN COUNTRY. Even if an individual would otherwise meet the substantial presence test, that person is not treated as meeting the test for the current calendar year if he/she:
(1) Is present in the U.S. on fewer than 183 days during the current year, and (2) Has a tax home in a foreign country and has a closer connection to that country than to the U.S.

SPECIAL RULES. It is possible to be both a nonresident alien and a resident alien during the same tax year. Usually this occurs for the year a person arrives in or departs from the U.S. Other special provisions apply to individuals who were U.S. residents for at least three years, cease to be U.S. residents, and then become U.S. residents again.

NONRESIDENT ALIEN INDIVIDUALS MARRIED TO U.S. CITIZENS OR RESIDENT ALIENS may choose to be treated as resident aliens for most income tax purposes. However, these individuals are considered nonresidents for purposes of withholding taxes.

A FOREIGN PERSON OR PARTNERSHIP is one that does not fit the definition of a domestic corporation or partnership. A domestic corporation or partnership is one that was created or organized in the U.S., or under the laws of the U.S., or of any U.S. state or territory.

GUAM AND U.S. VIRGIN ISLANDS CORPORATIONS. A corporation created or organized in or under the laws of Guam or the U.S. Virgin Islands is not considered a foreign corporation for the purpose of withholding tax for the tax year if:
(1) at all times during the tax year, less than 25% in value of the corporation’s stock is owned, directly or indirectly, by foreign persons, and (2) at least 20% of the corporation’s gross income is derived from sources within Guam or at least 65% of the corporation’s income is effectively connected with the conduct of a trade or business in the U.S. Virgin Islands or the U.S. for the 3-year period ending with the dose of the preceding tax year of the corporation, or the period the corporation has been in existence if less.

A NONRESIDENT ALIEN TRUSTEE, ADMINISTRATOR OR EXECUTOR of a trust or an estate is treated as a nonresident alien, even though all the beneficiaries of the trust or estate are citizens or residents of the U.S. 313
314
Integra Realty Resources
Sacramento
Appraisal of Real Property
Open Space Encroachments
Outlook Drive
Rocklin, Placer County, California 95677
Prepared For:

City of Rocklin
Effective Date of the Appraisal:

October 31, 2022
Report Format:

Appraisal Report – Standard Format
IRR ‐ Sacramento
File Number: 193‐2022‐0546
315

Open Space Encroachments
Outlook Drive
Rocklin, California

316
Integra Realty Resources  590 Menlo Drive  T 916.435.3883 Sacramento  Suite 1  F 916.435.4774
Rocklin, CA 95765  www.irr.com

November 7, 2022

David Mohlenbrok
Community Development Director
City of Rocklin
3970 Rocklin Road
Rocklin, CA 95677

SUBJECT:  Market Value Appraisal
Open Space Encroachments
Outlook Drive
Rocklin, Placer County, California 95677
IRR ‐ Sacramento File No. 193‐2022‐0546

Dear Mr. Mohlenbrok:

Integra Realty Resources – Sacramento is
pleased to submit the accompanying appraisal of
the referenced property. The purpose of the appraisal is to develop an opinion of the market value of the fee simple interest in the property. The client for the assignment is City of Rocklin, and the intended use is for property disposition purposes.

In recent years homeowners have constructed decks and other home improvements which are encroaching on land owned by the City. As an alternative to requiring that the owners remove the improvements, the City is considering selling the encroachment areas to the homeowners for assemblage with the homeowners’ adjacent individual home lots. The subject comprises twelve encroachment areas ranging in size from 90 to 3,091 square feet.

The encroachment areas represent a portion of a larger parcel of vacant land containing a total area of 23.10 acres. The property is zoned OA (Open Area).

The appraisal is intended to conform with the Uniform Standards of Professional Appraisal Practice (USPAP), the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute, and applicable state appraisal regulations.

To report the assignment results, we use the Appraisal Report option of Standards Rule 2‐ 2(a) of USPAP. As USPAP gives appraisers the flexibility to vary the level of information in an Appraisal Report depending on the intended use and intended users of the appraisal, we 317
David Mohlenbrok
City of Rocklin
November 7, 2022

adhere to the Integra Realty Resources internal standards for an Appraisal Report – Standard Format. This format summarizes the information analyzed, the appraisal methods employed, and the reasoning that supports the analyses, opinions, and conclusions.

Based on the valuation analysis in the accompanying report, and subject to the definitions, assumptions, and limiting conditions expressed in the report, our opinion of value is as follows:

Concluded Value of Enchroachments
Encroachment
No.

Adj a cent
Lot No.

Adj a cent Lot
APN
Adj a cent Lot
Address
Encroachment
Size (SF)
Val ue Conclusion
(Nominal)
1 50 369 ‐040‐013 3259  Outlook  Dr. 592 $500
2 51 369 ‐040‐014 3257  Outlook  Dr. 1,226 $500
3 52 369 ‐040‐015 3255  Outlook  Dr. 1,551 $500
4 53 369 ‐040‐016 3253  Outlook  Dr. 3,091 $500
5 54 369 ‐040‐017 3251  Outlook  Dr. 374 $500
6 55 369 ‐040‐018 3249  Outlook  Dr. 544 $500
7 56 369 ‐040‐019 3247  Outlook  Dr. 1,319 $500
8 57 369 ‐040‐020 3245  Outlook  Dr. 779 $500
9 58 369 ‐040‐021 3243  Outlook  Dr. 666 $500
10 59 369 ‐040‐022 3241  Outlook  Dr. 396 $500
11 65 369 ‐050‐001 3229  Outlook  Dr. 90 $500
12 66 369 ‐050‐003 3225  Outlook  Dr. 210 $500
Extraordinary Assumptions and Hypothetical Conditions

1. None

1. None
The use of any e xtraordinary  assum pt ion or hypothetical  condition  may have affected the assignment  re sult s.

The value  conclusions  are based  on the following  hypothetical  conditions.  A hypothetical  condit ion is  a condit ion, directly  related to a spe cific assignm e nt , whi ch is  contrary  to what is  known by the appraiser  to exi s t on the effective date of the assignm e nt re sult s, but is  used for the purpose  of analysis.

The value  conclusions  are subje ct to the follow ing e xtraordinary  assumptions.  An extraordinary  assum pt ion is  an assignm e nt‐spe cific assum pt ion as  of the effective date regarding  uncertain  inform at ion used in an analysis  whi ch, if found to be false,  could  alte r the appraise r’s opinions  or conclusions.

318
David Mohlenbrok
City of Rocklin
November 7, 2022

If you have any questions or comments, please contact the undersigned. Thank you for the opportunity to be of service.

Respectfully submitted,
INTEGRA REALTY RESOURCES ‐ SACRAMENTO

Noah Kauffman, MAI, R/W‐AC
Certified General Real Estate Appraiser
California Certificate # 3004618
Telephone: 916‐435‐3981
Email: [email protected]
Kevin Ziegenmeyer, MAI
Certified General Real Estate Appraiser
California Certificate # AG013567
Telephone: 916‐435‐3883, ext. 224
Email: [email protected]

319
Table of Contents
Open Space Encroachments
Executive Summary  1
General Information  2
Identification of Subject  2
Sale History  2
Purpose of the Appraisal  3
Definition of Market Value  3
Definition of Property Rights Appraised  3
Intended Use and User  3
Applicable Requirements  3
Report Format  4
Prior Services  4
Scope of Work  4
Economic Analysis  7
Area Analysis – Placer County  7
Surrounding Area Analysis  13
Property Analysis  17
Land Description and Analysis  17
Real Estate Taxes  23
Highest and Best Use  24
Valuation  26
Valuation Methodology  26
Sales Comparison Approach  28
Land Value Conclusion  34
Reconciliation and Conclusion of Value  35
Final Opinion of Value  36
Exposure Time  36
Marketing Time  37
Certification  38
Assumptions and Limiting Conditions  40
Addenda
A. Appraiser Qualifications
B. Definitions
C. Encroachments Exhibit
D. Comparable Data
E. Engagement Letter

320
Executive Summary  1
Open Space Encroachments
Executive Summary
Property Name
Address
Property Type
Owner of Record
Tax ID
Land Area (larger  parcel) 23.10  acres;  1,006,236  SF Zoning  Designation
Highest and Best Us e
Exposure  Ti me; Marketing  Period 12  months ; 12 months Effecti ve Date of the Appra i s a l October  31, 2022
Date of the Report November  7, 2022
Property Intere st Appra i s ed
City of Rocklin
017‐350‐057 (Larger Parcel)
Open Space Encroachments
Outlook  Drive
Rocklin,  Placer  County, California   95677
Land ‐ Open Space
OA, Open Area
Recreational  Land
Fee Simple
Concluded Value of Enchroachments
Encroachment
No.

Adj a cent
Lot No.

Adj a cent Lot
APN
Adj a cent Lot
Addres s
Encroachment
Size (SF)
Val ue Conclusion
(Nominal)
15 0 3 6 9 ‐040 ‐013 3259  Outlook  Dr. 592 $500
25 1 3 6 9 ‐040 ‐014 3257  Outlook  Dr. 1,226 $500
35 2 3 6 9 ‐040 ‐015 3255  Outlook  Dr. 1,551 $500
45 3 3 6 9 ‐040 ‐016 3253  Outlook  Dr. 3,091 $500
55 4 3 6 9 ‐040 ‐017 3251  Outlook  Dr. 374 $500
65 5 3 6 9 ‐040 ‐018 3249  Outlook  Dr. 544 $500
75 6 3 6 9 ‐040 ‐019 3247  Outlook  Dr. 1,319 $500
85 7 3 6 9 ‐040 ‐020 3245  Outlook  Dr. 779 $500
95 8 3 6 9 ‐040 ‐021 3243  Outlook  Dr. 666 $500
10 59 369 ‐040 ‐022 3241  Outlook  Dr. 396 $500
11 65 369 ‐050 ‐001 3229  Outlook  Dr. 90 $500
12 66 369 ‐050 ‐003 3225  Outlook  Dr. 210 $500
Extraordinary Assumptions and Hypothetical Conditions

1. None

1. None
The use of any e xtraordinary  assum pt ion or hypothetical  condition  may have affe cte d the assignm e nt re sult s.

The value  conclusions  are based  on the follow ing hypothetical  conditions.  A hypothetical  condition  is  a condition, directly  related to a spe cific assignm e nt , whi ch is  contrary  to what is  known by the appraiser  to exi s t on the effective date of the assignm e nt re sult s, but is  used for the purpose  of analysis.

The value  conclusions  are subje ct to the follow ing extra ordi nary assum pt ions. An extraordi na ry assum ption is  an assignm e nt‐spe cific assum pt ion as  of the effecti ve date regarding  uncertain  inform at ion used in an analysis  whi ch, if found to be false,  could  alte r the appraise r’s opinions  or conclusions.

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General Information
Identification of Subject
In recent years homeowners have constructed decks and other home improvements which are encroaching on land owned by the City. As an alternative to requiring that the owners remove the improvements, the City is considering selling the encroachment areas to the homeowners for assemblage with the homeowners’ adjacent individual home lots. The subject comprises twelve encroachment areas ranging in size from 90 to 3,091 square feet. The encroachment areas represent a portion of a larger parcel of vacant land containing a total area of 23.10 acres. The property is zoned OA (Open Area). A legal description of the property was not provided.

Property Identification
Property Name Open  Space Encroachments
Address Outlook  Drive
Rocklin,  California   95677
Tax ID 017 ‐350‐057 (Larger Parcel)
Owner of Record City  of Rocklin

Encroachment Areas
The subject encroachment areas and adjacent home lots are summarized in the following table.

Details of the encroachment areas were provided for use in the appraisal.

Lots and Enchroachments
Encroachment  No. Encroachment  Size (SF) Adjacent  Lot No. Adj a cent  Lot APN Adj acent  Lot Addres s 1 592 50 369 ‐040‐013 3259  Outlook  Dr.
2 1,226 51 369 ‐040‐014 3257  Outlook  Dr.
3 1,551 52 369 ‐040‐015 3255  Outlook  Dr.
4 3,091 53 369 ‐040‐016 3253  Outlook  Dr.
5 374 54 369 ‐040‐017 3251  Outlook  Dr.
6 544 55 369 ‐040‐018 3249  Outlook  Dr.
7 1,319 56 369 ‐040‐019 3247  Outlook  Dr.
8 779 57 369 ‐040‐020 3245  Outlook  Dr.
9 666 58 369 ‐040‐021 3243  Outlook  Dr.
10 396 59 369 ‐040‐022 3241  Outlook  Dr.
11 90 65 369 ‐050‐001 3229  Outlook  Dr.
12 210 66 369 ‐050‐003 3225  Outlook  Dr.

Sale History
To the best of our knowledge, no sale or transfer of ownership has taken place within a three‐year period prior to the effective appraisal date and the subject property is not subject to an agreement of sale or an option to buy, nor is it listed for sale, as of the effective appraisal date. 322
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Purpose of the Appraisal
The purpose of the appraisal is to develop an opinion of the market value of the fee simple interest in the encroachment areas as of the effective date of the appraisal, October 31, 2022. The date of the report is November 7, 2022. The appraisal is valid only as of the stated effective date or dates.

Definition of Market Value
Market value is defined as:
“The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:
 Buyer and seller are typically motivated;
 Both parties are well informed or well advised, and acting in what they consider their own best interests;
 A reasonable time is allowed for exposure in the open market;  Payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and
 The price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.” (Source: Code of Federal Regulations, Title 12, Chapter I, Part 34.42[g]; also Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77472) Definition of Property Rights Appraised
Fee simple estate is defined as, “Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.”
Source: Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022)
Intended Use and User
The intended use of the appraisal is for property disposition purposes. The client and intended user is the City of Rocklin. The appraisal is not intended for any other use or user. No party or parties other than the City of Rocklin may use or rely on the information, opinions, and conclusions contained in this report.

Applicable Requirements
This appraisal is intended to conform to the requirements of the following:
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 Uniform Standards of Professional Appraisal Practice (USPAP);  Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute;
 Applicable state appraisal regulations.

Report Format
This report is prepared under the Appraisal Report option of Standards Rule 2‐2(a) of USPAP. As USPAP gives appraisers the flexibility to vary the level of information in an Appraisal Report depending on the intended use and intended users of the appraisal, we adhere to the Integra Realty Resources internal standards for an Appraisal Report – Standard Format. This format summarizes the information analyzed, the appraisal methods employed, and the reasoning that supports the analyses, opinions, and conclusions.

Prior Services
USPAP requires appraisers to disclose to the client any other services they have provided in connection with the subject property in the prior three years, including valuation, consulting, property management, brokerage, or any other services. We have previously appraised the property that is the subject of this report for the current client. We have provided no other services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three‐year period immediately preceding the agreement to perform this assignment.

Scope of Work
To determine the appropriate scope of work for the assignment, we considered the intended use of the appraisal, the needs of the user, the complexity of the property, and other pertinent factors. Our concluded scope of work is described below.

Valuation Methodology
Appraisers usually consider the use of three approaches to value when developing a market value opinion for real property. These are the cost approach, sales comparison approach, and income capitalization approach. Use of the approaches in this assignment is summarized as follows:

Approaches to Value
A pproach A pplicabilit y  to Subject Use  in A ssignm e nt Cost Approa ch Not  Applicable Not  U t ilize d
Sales  Comparison  A pproach A pplicable U t ilize d
Income Capit alizat ion Approach Not  Applicable Not  U t ilize d

The land area to be appraised comprises twelve areas within a larger parcel where homeowners have encroached on City‐owned land. Based on the information provided, the twelve encroachment areas (subject), range in size from 90 to 3,091 square feet. The City is considering selling the encroachment areas to the adjacent homeowners as an alternative to requiring that the owners remove the encroaching improvements. We have been requested to provide a market value for the encroachment 324
General Information  5
Open Space Encroachments
areas. It should be noted from the outset that due to the characteristics of the encroachment areas (size, topography, potential uses) recent sales of highly similar properties in the subject’s area are nearly non‐existent and therefore any valuation undertaken is expected to be challenging.

Due to the lack of sales of highly similar properties, in valuing the encroachment areas, one might begin by considering the question “what is the amount the adjacent owners risk losing if they no longer have access to the encroachment areas?” However, as paraphrased from the previous definition, Market Value, is the most probable price in a “competitive and open market” …  and assumes the price is not affected by “undue stimulus.” In the case of the subject encroachment areas, a threat of the individual adjacent owners bearing the cost of removing the encroaching improvements as well as the threat of potential diminution in property value from a loss of access to these areas would be considered an undue stimulus. Each adjacent owner is considered to be a captive buyer for each encroachment area as the City is under no obligation to sell but could essentially force each owner to purchase each area or face alternative losses. When considering the market value of these land areas, it would not be appropriate to consider either the cost of removing or reproducing improvements within the encroachment areas elsewhere on the adjacent parcels, nor would it be appropriate to consider a potential diminution in value of the adjacent parcels. These indicators would reflect a forced purchase scenario and likely result in figures well above a market value due to the undue stimulus (threat of losses faced by the adjacent property owners).

The definition of Market Value also reflects the most probable price in a “competitive and open market.” The City is considering selling each encroachment area only to a single adjacent property owner, which does not represent a competitive and open market. Although the valuation scenario requested does not represent a typical valuation premise, we have employed market logic in concluding a value for the subject land areas. Based on the larger property’s Open Area zoning, the minimum divisible parcel size is one acre. Considering the larger property’s size and shape, up to 23 one‐acre parcels could ultimately be subdivided and as there are more than 50 adjacent property owners, each one‐acre parcel could be offered in a competitive and open market for use by one of multiple potential adjacent owners. This represents the best corollary for analyzing portions of the subject larger property (subject encroachment areas) for sale to adjacent owners and forms the basis of our valuation analysis.

The subject larger Open Area‐zoned property does not allow for construction of single‐family homes but offers utility for recreational uses. The appraisal utilizes the sales comparison approach, based on sales of land offering recreational uses. This approach is applicable to the subject because there is an active market for similar properties, and sufficient sales data is available for analysis.

The cost approach is not applicable because the value of the subject is premised upon the land value only, and the income approach is not applicable because the subject is not likely to generate rental income commensurate with its value in its current state.

Research and Analysis
The type and extent of our research and analysis is detailed in individual sections of the report.

Although we make an effort to confirm the arms‐length nature of each sale with a party to the transaction, it is sometimes necessary to rely on secondary verification from sources deemed reliable. 325
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Inspection
Noah Kauffman, MAI, R/W‐AC, conducted an on‐site inspection of the larger parcel at the time of our original appraisal (September 7, 2021). Kevin Ziegenmeyer, MAI, has not inspected the subject.

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Economic Analysis
Area Analysis – Placer County
Introduction
Placer County is part of the four‐county Sacramento Metropolitan Area, along with the counties of Sacramento, Yolo and El Dorado. The county is located in the north‐central part of California, approximately 420 miles north of Los Angeles, 250 miles south of Oregon, 100 miles northeast of San Francisco, 80 miles west of Lake Tahoe and 100 miles southwest of Reno. The southernmost part of Placer County consists of a valley commonly referred to as South Placer, while the remainder of the county is divided into the Gold Country, where parts of Auburn and Colfax are located, and the High Country, which encompasses Tahoe City and Kings Beach along Lake Tahoe. Placer’s largest cities are Roseville, Rocklin and Lincoln. Elevations in the county range from 165 feet above sea level in Roseville to 10,000 feet above sea level in the Sierra Nevada Mountains.

Placer County is developed with a mix of urban and rural uses. The larger cities, namely Roseville and Rocklin, are mostly urban, while the smaller communities, such as Loomis, Newcastle and Colfax, have remained rural. Auburn and Lincoln both exhibit a combination of urban and rural settings. However, in recent years the city of Lincoln has experienced dramatic growth and development and has become one of the fastest‐growing cities in California.

Population
Placer County has experienced population growth in recent years, primarily in the southern part of the county. The main origin for in‐migration to the region are the Bay Area, other parts of the Sacramento region and Southern California. The state’s population data indicate a strong pattern of movement by residents from the high‐cost, high‐density Bay Area to inland areas in Northern California.

The following table depicts the population change in Placer County and its component cities over the past five years.

Placer County has experienced an average annual growth rate of 1.3% over the past five years. The cities of Rocklin, Roseville and Lincoln are the fastest growing in the region. Loomis and the Population Trends
City 2017 2018 2019 2020 2021 2022 %/Yr
Auburn                14,162 14,265 14,353 13,781 13,795 13,608 ‐0.8% Colfax               2,113 2,131 2,139 2,001 2,016 2,042 ‐0.7% Lincoln              47,564 48,044 48,430 49,731 50,422 51,252 1.6% Loomis               6,753 6,775 6,796 6,814 6,833 6,739 0.0% Rocklin              64,274 66,476 68,869 71,290 71,644 71,663 2.3% Roseville             135,300 137,824 141,097 147,245 148,794 151,034 2.3% Unincorporated 113,092 113,357 113,661 113,877 114,013 112,687 ‐0.1% Total 383,258 388,872 395,345 404,739 407,517 409,025 1.3% Source: California Department of Finance
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unincorporated areas have had relatively little growth. Over the past decade, Placer County has been the fastest‐growing county within the four‐county Sacramento MSA (which also includes Sacramento, El Dorado and Yolo Counties). It is projected this trend will continue for the near future.

Employment & Economy
The California Employment Development Department has reported the following employment data for Placer County over the past five years.

Most areas within the state and nation, including Placer County, saw declining unemployment rates from 2004 through 2006, increases from 2007 to 2010, declines during 2011‐2019, a significant increase in 2020 due to the pandemic and improvement in 2021.

The California Employment Development Department reported an unemployment rate of 2.8% in Placer County in August 2022, below the rate of 5.0% a year prior. This compares to the average rates of 4.1% for California and 3.8% for the nation.

The following chart indicates the percentage of total employment for each sector within the county based on the 2021 annual average.

Employment Trends
2016 2017 2018 2019 2020 2021
Labor Force 179,600 181,200 185,600 188,900 186,700 188,000 Employment 171,500 174,200 179,600 182,900 172,600 178,700 Annual  Employment  Change 4,100 2,700 5,400 3,300 (10,300) 6,100 Unemployment  Rate 4.5% 3.9% 3.2% 3.2% 7.6% 4.9%
Source: California Employment Development Department
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Area Analysis – Placer County  9
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The area’s largest employment sectors are Trade/Transportation/Utilities, which includes retail and wholesale trade, accounting for 18.3% of total employment; Educational and Health Services (17.4%); and Professional/Business Services (13.6%). Leisure and Hospitality accounts for 12.7% of total employment; this sector was the most significantly impacted by the pandemic and although employment in this industry has since improved substantially, it remains below its pre‐pandemic levels.

Although many residents commute to employment centers in Sacramento, Placer County offers thousands of jobs and attracts workers from the local area as well as “reverse commuters” from Sacramento and residents of outlying areas such as Marysville/Yuba City to the north. The largest employers in the county, according to the Sacramento Business Journal, are highlighted as follows:

Household Income
Median household income represents a broad statistical measure of well‐being or standard of living in a community. The median income level divides households into two equal segments with one half of households earning less than the median and the other half earning more. The median income is considered to be a better indicator than the average household income as it is not dramatically affected by unusually high or low values. According to Claritas Spotlight data reporting service, the median household income for Placer County in 2022 is $104,027, which is higher than the state of California’s median income of $88,967.

Transportation
Interstate 80, State Highway 65 and State Highway 193 are the major routes traversing Placer County.

Major urban arterials in the southern part of the county include Douglas Boulevard, Roseville Parkway, Pleasant Grove Boulevard, Foothills Boulevard, Sunrise Avenue, Auburn‐Folsom Road, Sierra College Boulevard, Sunset Boulevard, Rocklin Road and Stanford Ranch Road.

In addition to roadways within the county limits, South Placer County enjoys proximity to many of the Sacramento region’s freeways that provide access to the San Francisco Bay Area to the west, Central and Southern California to the south, Northern California and Oregon to the north, and Nevada to the Largest Employers
Employer Industry Employees
1 Sutter  Health Healthcare 7,320
2K a i s e r  Permanente Healthcare 6,367
3P a l i s a d e s  Tahoe Leisure/Hospitality 2,600
4P l a c e r  County Government 2,530
5S i e r r a  Joint Community  College District Education 2,100 6 Thunder  Valley Casino  Resort* Leisure/Hospitality 1,712 7 Safeway Grocery  Store 1,288
8C i t y  of Roseville Government 1,260
9 Roseville  City School District Education 1,260
10 Pacific  Gas & Electric Utilities 1,151
Source: Sacramento Business Journal, The List: Placer County Employers, June 8, 2022 329
Area Analysis – Placer County  10
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east. Sacramento International Airport is situated about 10 miles west of the county border. The county is also home to a couple of small private airports. The region has good railroad service, including the transcontinental Union Pacific Railroad and Amtrak. The Capitol Corridor system provides high‐speed commuter rail service from Roseville to San Jose and Placer County Transit provides seven fixed routes servicing areas from Colfax down to Watt Avenue in Sacramento.

Recreation & Community Services
Placer County has ample community services and recreational opportunities. The County, cities and various park districts operate numerous public parks, golf courses, aquatic centers, libraries and community centers. Many private golf courses are located in the region, and several ski resorts are located in the mountains. Within the county lies a portion of the Folsom Lake State Recreation Area, a boating, fishing, and swimming retreat.

In terms of higher education, Placer County is home to Sierra College in Rocklin, a two‐year community college offering a wide range of day and evening classes serving over 25,000 students.

Sierra College also has an extension campus located in the Vernon District in Roseville and two additional campuses – the Nevada County and Tahoe‐Truckee campuses. In 2004, William Jessup University, a private Christian college, moved from San Jose to a new facility in Rocklin. Additional university campuses within the county include Brandman University, National University and University of Phoenix, all located in Roseville.

The region offers good health services, including hospitals and medical office facilities. Two hospitals are located in Roseville – the Sutter Roseville Medical Center and Kaiser Permanente. In addition to the hospital, construction was completed at the end of 2019 for a new state‐of‐the‐art, 194,000 square foot Kaiser Permanente medical campus to replace their existing campus on Riverside Avenue.

The city of Auburn is home to Sutter Auburn Faith Hospital, Sutter Medical Center‐Auburn, UC Davis Medical Center, Foundation Medical Clinic and Heritage Medical Center Complex. The city of Lincoln contains medical offices/clinics operated by Sutter, UC Davis, Kaiser and Catholic Healthcare West. In addition to these institutional health care facilities, the county is home to a large and growing number of private physicians, dentists, clinics and other medical specialists.

The city of Roseville is South Placer’s hub for fine dining and entertainment. Several upscale restaurants are situated along Eureka Road, Roseville Parkway and Galleria Boulevard. Roseville and Rocklin both offer two multi‐screen movie theatres, and Auburn has one theatre. Shopping centers are widespread, the largest of which are the Galleria at Roseville, a regional shopping mall that opened in 2000 and was expanded in 2008‐2009, and the Fountains at Roseville, an outdoor lifestyle center that opened in June 2008.

Conclusion
Placer County encompasses a diverse area, with growing cities, small towns and rural areas, and an abundance of open space. The cities of Roseville, Rocklin and Lincoln have experienced strong growth in population and development over the past several years. Placer County is one of the most affluent in the greater Sacramento region in terms of household income levels. The area has a number of positive attributes, including seismic stability, a well‐educated work force, good transportation 330
Area Analysis – Placer County  11
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systems, relative affordability and availability of housing compared to the Bay Area, and an excellent level of community services.

After a period of strong market and economic conditions, employment conditions declined sharply following the onset of the COVID‐19 pandemic. Market and economic conditions have since improved, especially following the re‐opening of the economy in June 2021. In the near term, macroeconomic factors, particularly high inflation and rising interest rates, are reintroducing uncertainty in the market, however, the long‐term outlook for the region is positive given the historical stability of the local economy.
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Area Analysis – Placer County  12
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Area Map

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Surrounding Area Analysis
Location
The boundaries of a neighborhood identify the physical area that influences the value of the subject property. These boundaries may coincide with observable changes in prevailing land use or occupant characteristics. Physical features such as the type of development, street patterns, terrain, vegetation and parcel size tend to identify neighborhoods. Roadways, waterways and changing elevations can also create neighborhood boundaries.

The subject property is located within the City of Rocklin, Placer County, California. The subject’s neighborhood boundaries can generally be described as State Highway 65 to the west, Interstate 80 to the east, and the Rocklin city limits to the north and south.

Access and Linkages
The subject property is situated north of Outlook Drive, South of Park Drive, and east of Sunset Boulevard.

Sunset Boulevard intersects with Blue Oaks Boulevard and Stanford Ranch Road. Each of these roadways, including Park Drive connect with State Highway 65, west or south of the subject. Highway 65 is a north‐ south route that provides access to Lincoln, Wheatland and Yuba City to the north and Interstate 80 to the south. Interstate 80 is a primary east‐west corridor for the Sacramento Metropolitan Area. To the east, Interstate 80 provides access to the outlying portions of Placer County and continues toward Lake Tahoe and Reno, Nevada. To the west, Interstate 80 connects the subject neighborhood to Sacramento’s Central Business District before continuing on towards Davis and San Francisco.

Public transportation in the neighborhood is available via Placer County Transit (PCT), a regional bus system that serves Roseville, Granite Bay, Loomis, Rocklin, Auburn, and Colfax. Currently, the PCT has a free transfer agreement with all of the Sacramento Regional Transit buses and trains.

Demographics
A demographic profile of the surrounding area, including population, households, and income data, is presented in the following table.
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As shown above, the current population within a 3‐mile radius of the subject is 93,548 and the average household size is 2.8. Population in the area has grown since the 2010 census, and this trend is projected to continue over the next five years. Compared to the City of Rocklin, the population within a 3‐mile radius is projected to grow at a similar rate.

Median household income is $117,079, which is similar to the household income for the city.

Residents within a 3‐mile radius have a similar level of educational attainment as those of the wider city, and median owner occupied home values are also generally similar.

Land Use
Land uses within the subject’s neighborhood include mostly residential development, with supporting commercial and office/flex (light industrial) development. The immediate area of the subject is surrounded by residential development with a park located along the north side of Park drive.

The neighborhood includes supporting retail uses. To the southwest of the subject, the Safeway anchored, Rock Creek Plaza is located at the intersection of Park Drive and Stanford Ranch Road.

Additional tenants include Walgreens, Chase Bank, Wells Fargo Bank, an Arco gas station, and numerous inline retail tenants and restaurants. Strikes Family Entertainment Center is located along the east side of Lonetree Boulevard, just south of Sunset Boulevard. Several retail buildings are located at the intersection of West Oaks and Sunset Boulevards, as well as Sunset and Lonetree Boulevards. At the northeast quadrant of Sunset and West Oaks Boulevards, there is a commercial complex housing restaurant options including Mariachi Taqueria, Villa Roma and Mongolian BBQ as well as additional facilities including dental, spa, and veterinary services. The southeast quadrant of this intersection is home to Starbucks and Chevron.

Surrounding Area Demographics
2022  Esti mates 1 ‐Mile  Radius 3 ‐Mile  Radius 5 ‐Mile  Radius Rocklin Placer  County Sacramento  MSA Population  2010 16,283 75,058 167,671 56,974 348,432 2,149,127 Population  2022 19,616 93,519 201,644 71,749 408,490 2,404,350 Population  2027 20,680 98,548 211,234 75,429 424,962 2,479,334 Compound % Change 2010 ‐2022 1.6% 1.8% 1.5% 1.9% 1.3% 0.9% Compound % Change 2022 ‐2027 1.1% 1.1% 0.9% 1.0% 0.8% 0.6% Households  2010 6,295 27,090 63,693 20,761 132,627 787,667 Households  2022 7,561 33,504 76,323 26,098 157,118 873,750 Households  2027 7,967 35,279 79,952 27,460 163,995 899,826 Compound % Change 2010 ‐2022 1.5% 1.8% 1.5% 1.9% 1.4% 0.9% Compound % Change 2022 ‐2027 1.1% 1.0% 0.9% 1.0% 0.9% 0.6% Median  Household  Income 2022 $111,323 $117,079 $106,814 $114,767 $104,027 $84,628 Average Household  Size 2.6 2.8 2.6 2.7 2.6 2.7
Colle ge Graduate  % 48% 48% 44% 47% 41% 34%
Median  Age  40 39 42 40 43 38
Owner Occupied  % 52% 67% 69% 68% 71% 61%
Renter Occupied  % 48% 33% 31% 32% 29% 39%
Median  Owner Occupied  Housing  Value $621,879 $636,145 $626,306 $644,555 $643,036 $518,212 Median  Year Structure Built 1999 2002 2000 2000 1994 1984 Average Travel  Ti me to Work in Minutes 30 30 29 30 30 30 Source:  Claritas
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The Blue Oaks Town Center, located along Highway 65 at the northeast corner of Blue Oaks and Lonetree Boulevards, is comprised of a mix of retail shops, restaurants, and neighborhood services including Chevy’s, Starbucks, Carl’s Jr., RC Wiley, Petco, Dollar Tree, Blue Oaks Cinema and Crunch Fitness. Also in this area, at the southwest quadrant of Blue Oaks and Lone Tree Boulevards, is Chili’s Bar & Grill, Spring Hill Suites by Marriot and Chevron.

Development of retail projects in the Roseville/Rocklin area has intensified as new homes have been built and since the opening of the Galleria at Roseville, the first regional mall built in the Sacramento
area in the last 25 years. This 1.1 million square foot regional shopping mall opened for business in August 2000 and is located at Galleria Boulevard and State Highway 65. The mall completed a major expansion project, which added approximately 100 new tenants and approximately a half‐million square feet of retail space.

The neighborhood also includes office and light industrial uses. At the northwest corner of Sunset and Lonetree Boulevards is an office campus occupied by Oracle Corporation. On Sunset Boulevard, just south of Lonetree Boulevard, is an industrial facility occupied by United Natural Foods, Inc. UNFI purchased this former Ace Hardware distribution center in 2005 and employs about 500 people at the Rocklin facility. Continuing west, several other office buildings have been constructed on Lonetree Boulevard, including four two‐story buildings in the Lonetree Professional Center, and four two‐story buildings containing 28 condo units in the Venture Commerce Center. The Rocklin Corporate Center is a multi‐building office project being developed on 125 acres along West Oaks Boulevard. Further south, the Rocklin 65 Corporate Center has been developed over the past few years along the west side of Lonetree Boulevard, just east of Highway 65 and south of West Oaks Boulevard. The Rocklin 65 development includes 29 office and retail buildings.

Market Conditions
Between approximately November 2021 and October 2022, mortgage interest rates for 30‐year loans have increased from approximately 3.1% to 7.0% and mortgage interest rates are expected to continue to increase in the near term. Portions of both the residential and commercial real estate market are anticipated to experience reduced demand due to rising interest rates through the balance of this year as well as 2023. Recreational use properties typically sell for cash or seller financing and conventional loans are less typical, thereby insulating this sector of the real estate market somewhat from direct impacts of changes in mortgage interest rates. According to market participants, recreational properties often require a lengthy marketing period as the pool of buyers is relatively small compared to other property types and purchasers tend to look for particular characteristics such as water features.

Outlook and Conclusions
In summary, the subject’s immediate area is developed primarily with residential uses along with supporting commercial and office/flex (light industrial) properties. The subject property benefits from good transportation characteristics.
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Surrounding Area Map

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Property Analysis
Land Description and Analysis
Land Description
Land Area (Larger Parcel) 23.10  acres;  1,006,236  SF
Source of La nd A re a Public  Records
Primary  Street Frontage Outlook  Drive
Shape Irregular
Corner No
Topography Gently  Sloping
Drainage No  problems  reported or observed
Envi ronmental Hazards None  reported or observed
Ground St abilit y N o  problems  reported or observed
Flood  Area Panel  Number 06061C0942H
Date November  2, 2018
Zone X
Description Outside  of 500‐year floodplain
Insurance  Required? No
Zoning; Other  Regulations
Zoning  Juri s di cti on Ci ty  of Rocklin
Zoning  Designation OA
Description Open  Area
L e gally Conforming? Appears  to be le gally conforming Zoning  Change Li kel y? No
Permi tted Uses Parks ,  playgrounds,  golf course s, sw im m ing pools,  country clubs, m use um s, etc. (with a conditional  use permit)
Minimum  Lot Area 1  Acre
Utilities (at roadway)
Service Provider
Water City  of Rocklin
Sewer City  of Rocklin
E le ct ricit y Pacific  Gas  & El ectri c (PG&E)
Natural  Gas Pacific  Gas  & El ectri c (PG&E)
Local  Phone Various

We are not experts in the interpretation of zoning ordinances. An appropriately qualified land use attorney should be engaged if a determination of compliance is required.

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Encroachment Areas
The subject encroachment areas and adjacent home lots are summarized in the following table.

Lots and Enchroachments
Encroachment  No. Encroachment  Size (SF) Adjacent  Lot No. Adj a cent  Lot APN Adj acent  Lot Addres s 1 592 50 369 ‐040‐013 3259  Outlook  Dr.
2 1,226 51 369 ‐040‐014 3257  Outlook  Dr.
3 1,551 52 369 ‐040‐015 3255  Outlook  Dr.
4 3,091 53 369 ‐040‐016 3253  Outlook  Dr.
5 374 54 369 ‐040‐017 3251  Outlook  Dr.
6 544 55 369 ‐040‐018 3249  Outlook  Dr.
7 1,319 56 369 ‐040‐019 3247  Outlook  Dr.
8 779 57 369 ‐040‐020 3245  Outlook  Dr.
9 666 58 369 ‐040‐021 3243  Outlook  Dr.
10 396 59 369 ‐040‐022 3241  Outlook  Dr.
11 90 65 369 ‐050‐001 3229  Outlook  Dr.
12 210 66 369 ‐050‐003 3225  Outlook  Dr.

Environmental Hazards
An environmental assessment report was not provided for review, and during our inspection, we did not observe any obvious signs of contamination on or near the subject. However, environmental issues are beyond our scope of expertise. It is assumed that the property is not adversely affected by environmental hazards.

Seismic Hazards
According to the Seismic Safety Commission, the subject property is located within Zone 3, which is considered to be the lowest risk zone in California. There are only two zones in California: Zone 4, which is assigned to areas near major faults; and Zone 3, which is assigned to all other areas of more moderate seismic activity. In addition, the subject is not located in a Fault‐Rupture Hazard Zone (formerly referred to as an Alquist‐Priolo Special Study Zone), as defined by Special Publication 42 (revised January 1994) of the California Department of Conservation, Division of Mines and Geology.

Easements, Encroachments and Restrictions
We were not provided a current title report to review. We are not aware of any easements or restrictions that would adversely affect value. Our valuation assumes no adverse impacts from easements or restrictions, and further assumes that the subject has clear and marketable title.

Conclusion of Site Analysis
Overall, the physical characteristics of the site result in functional utility suitable for uses including permitted by zoning. Uses permitted by zoning are primarily recreational in nature and include parks, playgrounds, golf courses, swimming pools, country clubs, museums, etc. (with a conditional use permit).
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Parcel Map

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Subject
Larger Parcel
Subject Subject Encroaching Lots
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Subject larger parcel  Subject larger parcel
Subject larger parcel  Subject larger parcel
Subject larger parcel  Subject larger parcel
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View from subject encroachment areas (approximately)  View from subject encroachment areas (approximately) Homes at lots adjacent to subject encroachment areas  Homes at lots adjacent to subject encroachment areas Homes at lots adjacent to subject encroachment areas  Homes at lots adjacent to subject encroachment areas 342
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Real Estate Taxes
The property tax system in California was amended in 1978 by Article XIII to the State Constitution, commonly referred to as Proposition 13. It provides for a limitation on property taxes and for a procedure to establish the current taxable value of real property by reference to a base year value, which is then modified annually to reflect inflation (if any). Annual increases cannot exceed 2% per year.

The base year was set at 1975‐76 or any year thereafter in which the property is substantially improved or changes ownership. When either of these two conditions occurs, the property is to be re‐ appraised at market value, which becomes the new base year assessed value. Proposition 13 also limits the maximum tax rate to 1% of the value of the property, exclusive of bonds and direct charges.

Bonded indebtedness approved prior to 1978, and any bonds subsequently approved by a two‐thirds vote of the district in which the property is located, can be added to the 1% tax rate.

Ad Valorem Taxes
The subject property is owned by a public entity and is not currently assessed for property taxes.

Note: Tax information is provided for compliance purposes to meet regulatory requirements for appraisals. It is not germane to this valuation analysis.

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Highest and Best Use
Process
Before a property can be valued, an opinion of highest and best use must be developed for the subject site, both as if vacant, and as improved or proposed. By definition, the highest and best use must be:
 Legally permissible under the zoning regulations and other restrictions that apply to the site.  Physically possible.
 Financially feasible.
 Maximally productive, i.e., capable of producing the highest value from among the permissible, possible, and financially feasible uses.

Highest and Best Use As If Vacant
Legally Permissible
The site is zoned OA, Open Area. Permitted uses include parks, playgrounds, golf courses, swimming pools, country clubs, museums, etc. (with a conditional use permit). To our knowledge, there are no legal restrictions such as easements or deed restrictions that would effectively limit the use of the property. According to the municipal code, the minimum parcel size within the OA zone is one acre, though we understand the City is considering selling only the smaller encroachment areas ranging from 90 to 3,091 square feet.

Physically Possible
Considering the larger property’s size and shape, up to 23 one‐acre parcels could ultimately be subdivided and as there are more than 50 adjacent property owners, each one‐acre parcel could be offered in a competitive and open market for use by one of multiple potential adjacent owners. The twelve encroachment areas (subject) do not have direct access from a roadway but are accessible from adjacent home lots and could be assembled with adjacent home lots. Overall, the physical characteristics of the sites result in suitability only for assemblage with adjacent home lots for use as recreational land.

Financially Feasible
According to market participants, recreational properties often require a lengthy marketing period as the pool of buyers is relatively small compared to other property types and purchasers tend to look for particular characteristics such as water features. Based on our analysis of the market, there is currently adequate demand for recreational land within the region and recreational use is considered to be financially feasible.

Maximally Productive
Assembling portions of the larger property with adjacent home lots, allowing for recreational uses adjacent to existing homes, is concluded to be the maximally productive use. 344
Highest and Best Use  25
Open Space Encroachments
Conclusion
Assembly via lot line adjustment of portions of the subject larger parcel with adjacent home lots for recreational use is the only use that meets the four tests of highest and best use. Therefore, it is concluded to be the highest and best use of the property as if vacant.

As Improved
As noted, homeowners have constructed decks and other home improvements within the subject encroachment areas (City owned land). Assemblage of the encroachment areas with adjacent home lots for continuation of the existing use is concluded to be the highest and best use as improved.

Most Probable Buyer
Taking into account the characteristics of the property, the probable buyers of portions of the subject larger parcel are adjacent owners.

345
Valuation Methodology  26
Open Space Encroachments
Valuation
Valuation Methodology
Appraisers usually consider three approaches to estimating the market value of real property. These are the cost approach, sales comparison approach and the income capitalization approach.

The cost approach assumes that the informed purchaser would pay no more than the cost of producing a substitute property with the same utility. This approach is particularly applicable when the improvements being appraised are relatively new and represent the highest and best use of the land or when the property has unique or specialized improvements for which there is little or no sales data from comparable properties.

The sales comparison approach assumes that an informed purchaser would pay no more for a property than the cost of acquiring another existing property with the same utility. This approach is especially appropriate when an active market provides sufficient reliable data. The sales comparison approach is less reliable in an inactive market or when estimating the value of properties for which no directly comparable sales data is available. The sales comparison approach is often relied upon for owner‐user properties.

The income capitalization approach reflects the market’s perception of a relationship between a property’s potential income and its market value. This approach converts the anticipated net income from ownership of a property into a value indication through capitalization. The primary methods are direct capitalization and discounted cash flow analysis, with one or both methods applied, as appropriate. This approach is widely used in appraising income‐producing properties.

Additional analyses often undertaken in the valuation of subdivisions include extraction, land residual analysis, and the subdivision development method.

Reconciliation of the various indications into a conclusion of value is based on an evaluation of the quantity and quality of available data in each approach and the applicability of each approach to the property type.

The methodology employed in this assignment is summarized as follows:

Approaches to Value
A pproach A pplicabilit y  to Subject Use  in A ssignm e nt Cost Approa ch Not  Applicable Not  U t ilize d
Sales  Comparison  A pproach A pplicable U t ilize d
Income Capit alizat ion Approach Not  Applicable Not  U t ilize d

The definition of Market Value reflects the most probable price in a “competitive and open market.” The City is considering selling each encroachment area only to a single adjacent property owner, which does not represent a competitive and open market. Although the valuation scenario requested 346
Valuation Methodology  27
Open Space Encroachments
does not represent a typical valuation premise, we have employed market logic in concluding a value for the subject land areas. Based on the larger property’s Open Area zoning, the minimum divisible parcel size is one acre. Considering the larger property’s size and shape, up to 23 one‐acre parcels could ultimately be subdivided and as there are more than 50 adjacent property owners, each one‐ acre parcel could be offered in a competitive and open market for use by one of multiple potential adjacent owners. This represents the best corollary for analyzing portions of the subject larger property (subject encroachment areas) for sale to adjacent owners and forms the basis of our valuation analysis.

347
Sales Comparison Approach  28
Open Space Encroachments
Sales Comparison Approach
To develop an opinion of the subject’s land value we utilize the sales comparison approach. This approach develops an indication of value by researching, verifying, and analyzing sales of similar properties.

Our sales research focused on transactions within the following parameters:
 Location: Northern California (Sacramento surrounding region)  Use: Recreational Land
 Transaction Date: Within the last three years
Due to a limited number of recent transactions, we expanded our search to include older transactions.

The subject encroachments represent portions of a larger parcel. For purposes of analysis we have considered a one‐acre parcel size (consistent with the minimum parcel size for the subject’s OA zoning area). We attempted to identify sales of properties sized similar to the subject and ultimately had to consider significantly larger properties.

For this analysis, we use price per square foot as the appropriate unit of comparison. We considered using total sale price but the calculated coefficient of variation for the price per square foot of the sales was lower than the coefficient of variation for the total sales price, supporting that it is the appropriate unit of comparison for the analysis. The sales most relevant to analyzing the subject’s land value are summarized in table on the following page.
348
Sales Comparison Approach  29
Open Space Encroachments
Summary of Comparable Land Sales
No. Name/Addres s
Sale
Date;
Status Sale  Price
SF;
Acres Zoni ng
$/SF
La nd
1W / S  Li ncol n Way Jul ‐22 $80,000 894,287 $0.09
Galt Closed 20.53
Sacramento  County
Tax ID: 150‐0700 ‐001
Grantor: Tej eda Fam ily Trust
Gra ntee: Charles  Sun Hong Trus tee of the Truth Church  Of SDA 2W / S  Hwy 37 at White Slough Aug ‐21 $103,000 1,001,880 $0.10 Vallejo Closed 23.00
Solano  County
Tax ID: 0067 ‐220‐010 & ‐012
Grantor: Ars a l a n & L aila Darmal
Gra ntee: Ukyo Duong
3E / O
County Road 104, S/O Maxwell  Ln. Jun ‐20 $140,000 1,742,400 $0.08 Davis Closed 40.00
Yol o County
Tax ID: 033‐150‐003
Grantor: William  Beal TTE
Gra ntee: H. David  Moehring TTE
4 Ponderosa  Parcel  031 Feb ‐20 $15,000 108,900 $0.14
S/S Sunset Rd.  Closed 2.50
Brow nsville
Yuba County
Tax ID: 056‐290‐031
Grantor: Sundown LLC
Gra ntee: V ilayvone Noras i ng
5 16699  Jackson  Slough  Rd. Nov ‐19 $75,000 304,920 $0.25 Isle t on Close d 7. 00
Sacramento  County
Tax ID: 157‐0100 ‐033
Grantor:

Man Pham
Gra ntee: Rakesh  Cidda  & Karen Maxwell
6 Ponderosa  Way Oct ‐18 $14,500 217,800 $0.07
Fore st hill Close d 5. 00
Placer  County
Tax ID: 073‐261‐023
Grantor: Pat rit ia Stinton
Gra ntee: Riggs  Lonni e
Subject 43,560
Rocklin,  C
A 1.00
Comments: This Open Space zoned parcel is located within the City of Galt. The parcel is crossed by a creek and the entirety of the parcel is located within a flood zone (AE designation). The open space designation does not allow for use as a residential home site.

Comments: This is the sale of two parcels totaling 23 acres of marshland. Although  the zoning allows for construction of a single‐ family residence, the property's location within a flood zone may ultimately limit use of the property to recreational uses.

Comments: This 40‐acre parcel has previously been used for camping and duck hunting. According to the listing broker the property is a designated wetlands and includes six duck blinds. Water for the property is accessible from Reclamation District 2068  from March through November.

Comments: This is the 2020  sale of a 2.5‐acre rural parcel.

Comments: This is the sale of seven acres in Isleton. The property has a narrow shape, partially following a railroad bed, which offers limited utility overall. According to one of the brokers involved in the sale, the buyers planned  to use the property for a hobby  farm.

Agri cul tural
Open Area
Open Space
Comments: This is the sale of Open Space‐zoned land within Placer County.

Agri cul tural
Inte nsive
Agri cul tural /
Rural
Residential
Marsh
Pres ervati on
Open Space

349
Sales Comparison Approach  30
Open Space Encroachments
Comparable Land Sales Map

350
Sales Comparison Approach  31
Open Space Encroachments
Adjustment Factors
The sales are compared to the subject and adjusted to account for material differences that affect value. Adjustments are considered for the following factors, in the sequence shown below.

Adjustment Factor  Accounts For  Comments
Real Property Rights  Fee simple, leased fee, leasehold, partial interest, etc.

No adjustments required.

Financing Terms  Seller financing, or assumption of
existing financing, at non‐market
terms.

No adjustments are required.

Conditions of Sale  Extraordinary motivation of buyer
or seller, assemblage, forced sale.

The sales represent market
transactions and no adjustments are
required for conditions of sale.

Market Conditions  Changes in the economic
environment over time that affect
the appreciation and depreciation
of real estate.

The sales transferred between
October 2018 and July 2022. The
date of value is October 31, 2022.

An upward adjustment is applied to
Comparables 3 through 6 due to
changes in market conditions since
the date of these sales. No
additional adjustments for market
conditions are warranted.

Location  Market or submarket area
influences on sale price;
surrounding land use influences.

Comparables 1, 4, 5, and 6 are
adjusted upward for inferior
locational characteristics.

Comparables 2 and 3 do not require
adjustment for this characteristic as
positive and negative location
factors are concluded to be roughly
in balance compared to the subject
property.

Accessibility  Convenience to transportation
facilities; ease of site access;
visibility; traffic counts.

Comparables 4 and 6 are offer
inferior accessibility and are
adjusted slightly downward. The
remaining comparables have
generally similar accessibility
compared to the subject and no
additional adjustments for this
characteristic are necessary.

Size  Relationship that typically exists
between parcel size and sales price.

The subject’s minimum parcel size is
one acre, though we understand the
City is considering selling smaller
351
Sales Comparison Approach  32
Open Space Encroachments
Adjustment Factor  Accounts For  Comments
portions of the larger parcel to
adjacent property owners. For
purposes of analysis we have
considered a one‐acre parcel size.

Each of the comparables is larger
than the minimum parcel size and
each is adjusted upward for size.

Site Utility  Shape, topography, and other
characteristics may enhance or
detract from a property’s utility and
desirability.

Comparable 5 was reportedly
purchased for use as a hobby farm
and offers slightly superior site
utility compared to the subject. The
comparable is adjusted downward
for superior site utility.

Zoning  A property’s allowed uses or
limitations on uses can directly
impact its desirability and value.

Comparables 3, 4, and 5 allow for
construction of improvements such
as a residence and are adjusted
downward for superior zoning.

The table on the following page summarizes the adjustments applied to the comparable sales. 352
Sales Comparison Approach  33
Open Space Encroachments
Land Sales Adjustment  Grid
Subject Comparable  1 Comparable  2 Comparable  3 Comparable  4 Comparable  5C o m p a r a b l e  6 Address Outlook  Drive  W/S Li ncol n Way  W/S Hwy 37 at White Slough
E/O County Road 104,
S/O Maxwell  Ln.

S/S Sunset Rd.  16699  Jackson
Slough  Rd.

Ponderosa  Way
Cit y Rocklin Galt V alle jo Davis Brow nsville Isle t on Fore st hill Sale Date Jul ‐22 Aug ‐21 Jun ‐20 Feb ‐20 Nov ‐19 Oct ‐18 Sale Status Closed Closed Closed Closed Closed Closed
Sale Price $80,000 $103,000 $140,000 $15,000 $75,000 $14,500 Square Feet 43,560 894,287 1,001,880 1,742,400 108,900 304,920 217,800 Acres 1.00 20.53 23.00 40.00 2.50 7.00 5.00
$0.09 $0.10 $0.08 $0.14 $0.25 $0.07
Fee Simple Fee  Simple Fee  Simple Fee  Simple Fee  Simple Fee  Simple Cash  to se lle r Cash  to se lle r Cash  to se lle r Cash  to se lle r Cash  to se lle r Cash  to se lle r Market Ma rket Market Market Ma rket Market
Market Conditions 10/31/2022 Jul ‐22 Aug ‐21 Jun ‐20 Feb ‐20 Nov ‐19 Oct ‐18 Adj us tment + + + +
++ + +
++
++ + + + +
‐
‐‐ ‐‐ ‐‐
Overall Adjustment + + + + +/ ‐ +
Indicated Value $0.25
Loca ti on
Site U t ilit y
Accessibility
Size
Price per Square Foot
Property Rights
Financing  Terms
Conditions  of Sale
Adj us tment
Adj us tment
Adj us tment
Zoning
353
Sales Comparison Approach  34
Open Space Encroachments
Land Value Conclusion
The market data set consists of land sales that are considered to be reasonable indicators of market value. Adjustments were required to the sales for differing characteristics. The comparable sales reflect a price range of $0.07 ‐ $0.25. The comparables are deemed reliable and applicable to produce a credible estimate of the land value for the property. The following table arrays the indicators from the Sales Comparison Approach along with the subject.

In general, a market value estimate for the subject’s land is concluded to be close to the indicator provided by Comparable 5 and greater than the balance of the data set.

As previously discussed, the definition of Market Value reflects the most probable price in a “competitive and open market.” The City is considering selling each encroachment area only to a single adjacent property owner, which does not represent a competitive and open market. Although the valuation scenario requested does not represent a typical valuation premise, we have employed market logic in concluding a value for the subject land areas. Based on the larger property’s Open Area zoning, subdivision of portions one‐acre or larger could be offered in a competitive and open market for use by one of multiple potential adjacent owners. This represents the best corollary for analyzing portions of the subject larger property (subject encroachment areas) for sale to adjacent owners.

The indicated value for each encroachment area based upon the concluded value per square foot ($0.25) is displayed in the following table.

Indicated Value
Encroachment
No.

Encroachment
Size (SF)
Concluded
$/SF Indicated  Va l ue
1 592 $0.25 $148.00
2 1,226 $0.25 $306.50
3 1,551 $0.25 $387.75
4 3,091 $0.25 $772.75
5 374 $0.25 $93.50
6 544 $0.25 $136.00
7 1,319 $0.25 $329.75
8 779 $0.25 $194.75
9 666 $0.25 $166.50
10 396 $0.25 $99.00
11 90 $0.25 $22.50
12 210 $0.25 $52.50

Sales Ranking Summary
Property Sale  Date Price  (Unadjusted) Net  Adj us tment Comparable  5N o v ‐19 $0. 25 Sim ilar
Subject Property $0.25
Comparable  4F e b ‐20 $0.14 Inferior
Comparable  2A u g ‐21 $0.10 Inferior
Comparable  1J u l ‐22 $0.09 Inferior
Comparable  3J u n ‐20 $0.08 Inferior
354
Reconciliation and Conclusion of Value  35
Open Space Encroachments
Reconciliation and Conclusion of Value
The appraised property comprises twelve areas within a larger parcel where homeowners have encroached on City‐owned land. Based on the information provided, the twelve encroachment areas (subject), range in size from 90 to 3,091 square feet. The City is considering selling the encroachment areas to the adjacent homeowners as an alternative to requiring that the owners remove the encroaching improvements. We have been requested to provide a market value for the encroachment areas. As previously noted, due to the characteristics of the encroachment areas (size, topography, potential uses) recent sales of highly similar properties in the subject’s area are nearly non‐existent and therefore any valuation undertaken would be challenging.

As previously discussed, we have employed market logic in concluding a value for the subject land areas. Portions of the larger parcel comprising one‐acre or larger represents the best corollary for analyzing portions of the subject property (subject encroachment areas) for sale to adjacent owners.

There is a reasonably active market for comparable properties offering recreational uses, and this approach most closely reflects buyer behavior.

Due to their relatively small size, the encroachment areas are concluded to contribute nominally to the value of the larger parcel. In instances where a conclusion of value is calculated to be nominal, the tendency is toward a minimum price. As an example, in discussing appraisal value conclusions, the Caltrans Right of Way Manual Section 7.02.14.00 (July 2021) notes “…  if the amount of all property rights or interests is $2,500 or less, the value of the required property is considered to be nominal.” In addition, a minimum compensation amount of $500 is noted. Although the purpose of the valuations discussed in the Caltrans Manual are different than the subject, the notion that a minimum value amount would be applicable for the subject is still reasonable. Therefore, instead of the previously indicated values, as each is considered to be nominal overall, the market value for each encroachment area is concluded to be $500.

The following table displays the conclusion of value for each encroachment area.

Concluded Value of Enchroachments
Encroachment
No.

Adj a cent
Lot No.

Adj a cent Lot
APN
Adj a cent Lot
Addres s
Encroachment
Size (SF)
Val ue Conclusion
(Nominal)
15 0 3 6 9 ‐040 ‐013 3259  Outlook  Dr. 592 $500
25 1 3 6 9 ‐040 ‐014 3257  Outlook  Dr. 1,226 $500
35 2 3 6 9 ‐040 ‐015 3255  Outlook  Dr. 1,551 $500
45 3 3 6 9 ‐040 ‐016 3253  Outlook  Dr. 3,091 $500
55 4 3 6 9 ‐040 ‐017 3251  Outlook  Dr. 374 $500
65 5 3 6 9 ‐040 ‐018 3249  Outlook  Dr. 544 $500
75 6 3 6 9 ‐040 ‐019 3247  Outlook  Dr. 1,319 $500
85 7 3 6 9 ‐040 ‐020 3245  Outlook  Dr. 779 $500
95 8 3 6 9 ‐040 ‐021 3243  Outlook  Dr. 666 $500
10 59 369 ‐040 ‐022 3241  Outlook  Dr. 396 $500
11 65 369 ‐050 ‐001 3229  Outlook  Dr. 90 $500
12 66 369 ‐050 ‐003 3225  Outlook  Dr. 210 $500
355
Reconciliation and Conclusion of Value  36
Open Space Encroachments
The subject encroachment areas are adjacent to individual home lots and therefore the most likely buyer of each encroachment area is the adjacent homeowner. We considered whether a discount was warranted as the seller (the City) is effectively a captured seller in this instance (i.e. there are likely no other buyers for the subject encroachment areas apart from each individual owner). Transactions involving a captive seller often reflect discounting due to the limited buyer pool. In the case of the subject encroachment areas, we concluded that discounting for this factor is not warranted as the seller is under no particular motivation to sell the encroachment areas.

Final Opinion of Value
Based on the preceding valuation analysis and subject to the definitions, assumptions, and limiting conditions expressed in the report, our opinion of market value of the subject encroachment areas as of the effective date of October 31, 2022, is as follows:

Concluded Value of Enchroachments
Encroachment
No.

Adj a cent
Lot No.

Adj a cent Lot
APN
Adj a cent Lot
Addres s
Encroachment
Size (SF)
Val ue Conclusion
(Nominal)
15 0 3 6 9 ‐040 ‐013 3259  Outlook  Dr. 592 $500
25 1 3 6 9 ‐040 ‐014 3257  Outlook  Dr. 1,226 $500
35 2 3 6 9 ‐040 ‐015 3255  Outlook  Dr. 1,551 $500
45 3 3 6 9 ‐040 ‐016 3253  Outlook  Dr. 3,091 $500
55 4 3 6 9 ‐040 ‐017 3251  Outlook  Dr. 374 $500
65 5 3 6 9 ‐040 ‐018 3249  Outlook  Dr. 544 $500
75 6 3 6 9 ‐040 ‐019 3247  Outlook  Dr. 1,319 $500
85 7 3 6 9 ‐040 ‐020 3245  Outlook  Dr. 779 $500
95 8 3 6 9 ‐040 ‐021 3243  Outlook  Dr. 666 $500
10 59 369 ‐040 ‐022 3241  Outlook  Dr. 396 $500
11 65 369 ‐050 ‐001 3229  Outlook  Dr. 90 $500
12 66 369 ‐050 ‐003 3225  Outlook  Dr. 210 $500
Extraordinary Assumptions and Hypothetical Conditions

1. None

1. None
The use of any e xtraordinary  assum pt ion or hypothetical  condition  may have affe cte d the assignm e nt re sult s.

The value  conclusions  are based  on the following  hypothetical  conditions.  A hypothetical  condition  is  a condition, directly  related to a spe cific assignm e nt , whi ch is  contrary  to what is  known by the appraiser  to exi s t on the effecti ve date of the assignm e nt re sult s, but is  used for the purpose  of analysis.

The value  conclusions  are subject  to the following  extra ordi nary assum ptions.  An e xtraordinary  assum pt ion is  an assignm e nt‐spe cific assum pt ion as  of the effecti ve date regarding  uncertain  inform at ion used in an analysis  whi ch, if found to be false,  could  alte r the appraise r’s opinions  or conclusions.

Exposure Time
Exposure time is the length of time the subject property would have been exposed for sale in the market had it sold on the effective valuation date at the concluded market value. Exposure time is always presumed to precede the effective date of the appraisal. Based on our review of recent sales 356
Reconciliation and Conclusion of Value  37
Open Space Encroachments
transactions for similar properties and our analysis of supply and demand in the local land market, it is our opinion that the probable exposure time for the subject portions at the concluded market value stated previously is 12 months.

Marketing Time
Marketing time is an estimate of the amount of time it might take to sell a property at the concluded market value immediately following the effective date of value. As we foresee no significant changes in market conditions in the near term, it is our opinion that a reasonable marketing period for the subject portions is likely to be the same as the exposure time. Accordingly, we estimate the subject’s marketing period at 12 months.

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Certification
We certify that, to the best of our knowledge and belief:

1. The statements of fact contained in this report are true and correct.

2. The reported analyses, opinions, and conclusions are limited only by the reported assumptions and limiting conditions, and are our personal, impartial, and unbiased professional analyses, opinions, and conclusions.

3. We have no present or prospective interest in the property that is the subject of this report and no personal interest with respect to the parties involved.

4. We have previously appraised the property that is the subject of this report for the current client. We have provided no other services, as an appraiser or in any other capacity, regarding the property that is the subject of this report within the three‐year period immediately preceding the agreement to perform this assignment.

5. We have no bias with respect to the property that is the subject of this report or to the parties involved with this assignment.

6. Our engagement in this assignment was not contingent upon developing or reporting predetermined results.

7. Our compensation for completing this assignment is not contingent upon the development or reporting of a predetermined value or direction in value that favors the cause of the client, the amount of the value opinion, the attainment of a stipulated result, or the occurrence of a subsequent event directly related to the intended use of this appraisal.

8. Our analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Uniform Standards of Professional Appraisal Practice as well as applicable state appraisal regulations.

9. The reported analyses, opinions, and conclusions were developed, and this report has been prepared, in conformity with the Code of Professional Ethics and Standards of Professional Appraisal Practice of the Appraisal Institute.

10. The use of this report is subject to the requirements of the Appraisal Institute relating to review by its duly authorized representatives.

11. Noah Kauffman, MAI, R/W‐AC, made a personal inspection of the property that is the subject of this report. Kevin Ziegenmeyer, MAI, has not personally inspected the subject.

12. No one provided significant real property appraisal assistance to the person(s) signing this certification.

13. We have experience in appraising properties similar to the subject and are in compliance with the Competency Rule of USPAP.

14. As of the date of this report, Kevin Ziegenmeyer, MAI, has completed the continuing education program for Designated Members of the Appraisal Institute.

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Certification  39
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15. As of the date of this report, Noah Kauffman, MAI, R/W‐AC, has completed the Standards and Ethics Education Requirements for Candidates of the Appraisal Institute.

Noah Kauffman, MAI, R/W‐AC
Certified General Real Estate Appraiser
California Certificate # 3004618
Kevin Ziegenmeyer, MAI
Certified General Real Estate Appraiser
California Certificate # AG013567

359
Assumptions and Limiting Conditions  40
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Assumptions and Limiting Conditions
This appraisal and any other work product related to this engagement are limited by the following standard assumptions, except as otherwise noted in the report:

1. The title is marketable and free and clear of all liens, encumbrances, encroachments, easements and restrictions. The property is under responsible ownership and competent management and is available for its highest and best use.

2. There are no existing judgments or pending or threatened litigation that could affect the value of the property.

3. There are no hidden or undisclosed conditions of the land or of the improvements that would render the property more or less valuable. Furthermore, there is no asbestos in the property.

4. The revenue stamps placed on any deed referenced herein to indicate the sale price are in correct relation to the actual dollar amount of the transaction.

5. The property is in compliance with all applicable building, environmental, zoning, and other federal, state and local laws, regulations and codes.

6. The information furnished by others is believed to be reliable, but no warranty is given for its accuracy.

This appraisal and any other work product related to this engagement are subject to the following limiting conditions, except as otherwise noted in the report:

1. An appraisal is inherently subjective and represents our opinion as to the value of the property appraised.

2. The conclusions stated in our appraisal apply only as of the effective date of the appraisal, and no representation is made as to the effect of subsequent events.

3. No changes in any federal, state or local laws, regulations or codes (including, without limitation, the Internal Revenue Code) are anticipated.

4. No environmental impact studies were either requested or made in conjunction with this appraisal, and we reserve the right to revise or rescind any of the value opinions based upon any subsequent environmental impact studies. If any environmental impact statement is required by law, the appraisal assumes that such statement will be favorable and will be approved by the appropriate regulatory bodies.

5. Unless otherwise agreed to in writing, we are not required to give testimony, respond to any subpoena or attend any court, governmental or other hearing with reference to the property without compensation relative to such additional employment.

6. We have made no survey of the property and assume no responsibility in connection with such matters. Any sketch or survey of the property included in this report is for illustrative purposes only and should not be considered to be scaled accurately for size. The appraisal

360
Assumptions and Limiting Conditions  41
Open Space Encroachments
covers the property as described in this report, and the areas and dimensions set forth are assumed to be correct.

7. No opinion is expressed as to the value of subsurface oil, gas or mineral rights, if any, and we have assumed that the property is not subject to surface entry for the exploration or removal of such materials, unless otherwise noted in our appraisal.

8. We accept no responsibility for considerations requiring expertise in other fields. Such considerations include, but are not limited to, legal descriptions and other legal matters such as legal title, geologic considerations such as soils and seismic stability; and civil, mechanical, electrical, structural and other engineering and environmental matters. Such considerations may also include determinations of compliance with zoning and other federal, state, and local laws, regulations and codes.

9. The distribution of the total valuation in the report between land and improvements applies only under the reported highest and best use of the property. The allocations of value for land and improvements must not be used in conjunction with any other appraisal and are invalid if so used. The appraisal report shall be considered only in its entirety. No part of the appraisal report shall be utilized separately or out of context.

10. Neither all nor any part of the contents of this report (especially any conclusions as to value, the identity of the appraisers, or any reference to the Appraisal Institute) shall be disseminated through advertising media, public relations media, news media or any other means of communication (including without limitation prospectuses, private offering memoranda and other offering material provided to prospective investors) without the prior written consent of the persons signing the report.

11. Information, estimates and opinions contained in the report and obtained from third‐party sources are assumed to be reliable and have not been independently verified.

12. Any income and expense estimates contained in the appraisal report are used only for the purpose of estimating value and do not constitute predictions of future operating results.

13. If the property is subject to one or more leases, any estimate of residual value contained in the appraisal may be particularly affected by significant changes in the condition of the economy, of the real estate industry, or of the appraised property at the time these leases expire or otherwise terminate.

14. Unless otherwise stated in the report, no consideration has been given to personal property located on the premises or to the cost of moving or relocating such personal property; only the real property has been considered.

15. The current purchasing power of the dollar is the basis for the values stated in the appraisal; we have assumed that no extreme fluctuations in economic cycles will occur.

16. The values found herein are subject to these and to any other assumptions or conditions set forth in the body of this report but which may have been omitted from this list of Assumptions and Limiting Conditions.

17. The analyses contained in the report necessarily incorporate numerous estimates and assumptions regarding property performance, general and local business and economic 361
Assumptions and Limiting Conditions  42
Open Space Encroachments
conditions, the absence of material changes in the competitive environment and other matters. Some estimates or assumptions, however, inevitably will not materialize, and unanticipated events and circumstances may occur; therefore, actual results achieved during the period covered by our analysis will vary from our estimates, and the variations may be material.

18. The Americans with Disabilities Act (ADA) became effective January 26, 1992. We have not made a specific survey or analysis of the property to determine whether the physical aspects of the improvements meet the ADA accessibility guidelines. We claim no expertise in ADA issues, and render no opinion regarding compliance of the subject with ADA regulations.

Inasmuch as compliance matches each owner’s financial ability with the cost to cure the non‐ conforming physical characteristics of a property, a specific study of both the owner’s financial ability and the cost to cure any deficiencies would be needed for the Department of Justice to determine compliance.

19. The appraisal report is prepared for the exclusive benefit of the Client, its subsidiaries and/or affiliates. It may not be used or relied upon by any other party. All parties who use or rely upon any information in the report without our written consent do so at their own risk.

20. No studies have been provided to us indicating the presence or absence of hazardous materials on the subject property or in the improvements, and our valuation is predicated upon the assumption that the subject property is free and clear of any environment hazards including, without limitation, hazardous wastes, toxic substances and mold. No representations or warranties are made regarding the environmental condition of the subject property. Integra Realty Resources – Sacramento, Integra Realty Resources, Inc., Integra Strategic Ventures, Inc. and/or any of their respective officers, owners, managers, directors, agents, subcontractors or employees (the “Integra Parties”), shall not be responsible for any such environmental conditions that do exist or for any engineering or testing that might be required to discover whether such conditions exist. Because we are not experts in the field of environmental conditions, the appraisal report cannot be considered as an environmental assessment of the subject property.

21. The persons signing the report may have reviewed available flood maps and may have noted in the appraisal report whether the subject property is located in an identified Special Flood Hazard Area. We are not qualified to detect such areas and therefore do not guarantee such determinations. The presence of flood plain areas and/or wetlands may affect the value of the property, and the value conclusion is predicated on the assumption that wetlands are non‐ existent or minimal.

22. Integra Realty Resources – Sacramento is not a building or environmental inspector. Integra Sacramento does not guarantee that the subject property is free of defects or environmental problems. Mold may be present in the subject property and a professional inspection is recommended.

23. The appraisal report and value conclusions for an appraisal assume the satisfactory completion of construction, repairs or alterations in a workmanlike manner.

24. It is expressly acknowledged that in any action which may be brought against any of the Integra Parties, arising out of, relating to, or in any way pertaining to this engagement, the 362
Assumptions and Limiting Conditions  43
Open Space Encroachments
appraisal reports, and/or any other related work product, the Integra Parties shall not be responsible or liable for any incidental or consequential damages or losses, unless the appraisal was fraudulent or prepared with intentional misconduct. It is further acknowledged that the collective liability of the Integra Parties in any such action shall not exceed the fees paid for the preparation of the appraisal report unless the appraisal was fraudulent or prepared with intentional misconduct. Finally, it is acknowledged that the fees charged herein are in reliance upon the foregoing limitations of liability.

25. Integra Realty Resources – Sacramento, an independently owned and operated company, has prepared the appraisal for the specific intended use stated elsewhere in the report. The use of the appraisal report by anyone other than the Client is prohibited except as otherwise provided. Accordingly, the appraisal report is addressed to and shall be solely for the Client’s use and benefit unless we provide our prior written consent. We expressly reserve the unrestricted right to withhold our consent to your disclosure of the appraisal report or any other work product related to the engagement (or any part thereof including, without limitation, conclusions of value and our identity), to any third parties. Stated again for clarification, unless our prior written consent is obtained, no third party may rely on the appraisal report (even if their reliance was foreseeable).

26. The conclusions of this report are estimates based on known current trends and reasonably foreseeable future occurrences. These estimates are based partly on property information, data obtained in public records, interviews, existing trends, buyer‐seller decision criteria in the current market, and research conducted by third parties, and such data are not always completely reliable. The Integra Parties are not responsible for these and other future occurrences that could not have reasonably been foreseen on the effective date of this assignment. Furthermore, it is inevitable that some assumptions will not materialize and that unanticipated events may occur that will likely affect actual performance. While we are of the opinion that our findings are reasonable based on current market conditions, we do not represent that these estimates will actually be achieved, as they are subject to considerable risk and uncertainty. Moreover, we assume competent and effective management and marketing for the duration of the projected holding period of this property.

27. All prospective value opinions presented in this report are estimates and forecasts which are prospective in nature and are subject to considerable risk and uncertainty. In addition to the contingencies noted in the preceding paragraph, several events may occur that could substantially alter the outcome of our estimates such as, but not limited to changes in the economy, interest rates, and capitalization rates, behavior of consumers, investors and lenders, fire and other physical destruction, changes in title or conveyances of easements and deed restrictions, etc. It is assumed that conditions reasonably foreseeable at the present time are consistent or similar with the future.

28. The appraisal is also subject to the following:
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Extraordinary Assumptions and Hypothetical Conditions

1. None

1. None
The use of any e xtraordinary  assum pt ion or hypothetical  condition  may have affe cte d the assignm e nt re sult s.

The value  conclusions  are based  on the following  hypothetical  conditions.  A hypothetical  condition  is  a condition, directly  related to a spe cific assignm e nt , whi ch is  contrary  to what is  known by the appraiser  to exi s t on the effecti ve date of the assignm e nt re sult s, but is  used for the purpose  of analysis.

The value  conclusions  are subject  to the following  extra ordi nary assum ptions.  An e xtraordinary  assum pt ion is  an assignm e nt‐spe cific assum pt ion as  of the effecti ve date regarding  uncertain  inform at ion used in an analysis  whi ch, if found to be false,  could  alte r the appraise r’s opinions  or conclusions.

364
Addenda
Open Space Encroachments
Addendum A
Appraiser Qualifications
365
Noah Kauffman, MAI, R/W-AC Integra Realty Resources -
Sacramento
irr.com
T 916.435.3883
F 916.435.4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Experience
Mr. Kauffman is a Certified General real estate appraiser with Integra Realty Resources, a real estate appraisal firm that engages in a wide variety of real estate valuation and consultation assignments. After completing his bachelor's degree at the University of California, Davis, he began his career in real estate appraisal with House Agricultural Consultants on agricultural and rural property appraisals. He subsequently joined the firm in 2014 and has been writing narrative appraisal reports for a variety of commercial and agricultural properties. He is now involved in appraisal assignments covering right of way, land, multifamily residential, industrial, office, retail and mixed use properties.

Mr. Kauffman has developed the experience and background necessary to deal with complex assignments covering an array of property types. Noah Kauffman holds the Appraisal Institute's MAI designation and the Right of Way – Appraisal Certification (R/W-AC) from the International Right of Way Association.

Licenses
California, Certified General Real Estate Appraiser, 3004618, Expires June 2023 Education
Academic:

Bachelor of Science in Agricultural Management and Rangeland Resources, University of California, Davis
Appraisal and Real Estate Courses:

Advanced Income Capitalization
Advanced Market Analysis & Highest and Best Use
Advanced Concepts & Case Studies
Quantitative Analysis
The Valuation of Partial Acquisitions
Farm and Rural Resources Appraisal
Laws and Regulations for California Appraisers
Uniform Standards of Professional Appraisal Practice
General Appraiser Sales Comparables Approach
General Appraiser Site Valuation and Cost Approach
General Appraiser Market Analysis and Highest and Best Use General Appraiser Report Writing and Case Studies
General Appraiser Income Capitalization Approach Part I & II Residential Sales Comparables and Income Approach
Residential Site Valuation and Cost Approach
Residential Market Analysis and Highest and Best Use
Residential Report Writing and Case Studies
Basic Appraisal Principles
Basic Appraisal Procedures
Problems in the Valuation of Partial Acquisitions
[email protected] - 916.435.3981
366
367
Kevin Ziegenmeyer, MAI Integra Realty Resources -
Sacramento
irr.com
T 916-435-3883
F 916-435-4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Experience
Mr. Ziegenmeyer is a Certified General real estate appraiser and holds the Appraisal Institute's MAI designation. In 1989, Mr. Ziegenmeyer began his career in real estate as a controller for a commercial and residential real estate development corporation. In 1991 he began appraising and continued to be involved in appraisal assignments covering a wide variety of properties, including office, retail, industrial, residential income and subdivisions throughout the state of California, and Northern Nevada. Mr. Ziegenmeyer handles many of the firm’s master-planned property appraisals and over the past two decades has developed expertise in the valuation of Community Facilities Districts and Assessment Districts.In fact, Mr. Ziegenmeyer was one of five appraisers to collaborate with other professionals in developing the appraisal guidelines for the California Debt and Investment Advisory Commission (Recommended Practices in the Appraisal of Real Estate for Land-Secured Financing - 2004). He has developed the experience and background necessary to deal with complex assignments covering an array of property types, with a particular focus on urban redevelopment in the cities and counties of San Francisco, Dublin, Monterey, Newport Beach, Alameda, Napa and San Mateo. In early 2015, Mr. Ziegenmeyer obtained the Appraisal Institute's MAI designation. Kevin is currently Senior Managing Director of the Integra-San Francisco office and Managing Director of the Integra-Sacramento office.

Licenses
California, Certified General Real Estate Appraiser, AG013567, Expires June 2023 Education
Academic:

Bachelor of Science in Accounting, Azusa Pacific University, California

Appraisal and Real Estate Courses:

Standards of Professional Practice, Parts A, B & C
Basic Valuation Procedures
Real Estate Appraisal Principles
Capitalization Theory and Techniques, Part A
Advanced Income Capitalization
Report Writing and Valuation Analysis
Advanced Applications
IRS Valuation Summit I & II
2008, 2009, 2010 & 2011 Economic Forecast
Business Practices and Ethics
Contemporary Appraisal Issues with Small Business Administration Financing General Demonstration Appraisal Report Writing Seminar
7-Hour National USPAP Update Course
Valuation of Easements and Other Partial Interests
2009 Summer Conference
Uniform Appraisal Standards for Federal Land Acquisitions 2008 Economic Update
Valuation of Conservation Easements
Subdivision Valuation
2005 Annual Fall Conference
[email protected] - 916-435-3883 x224
368
Kevin Ziegenmeyer, MAI Integra Realty Resources -
Sacramento
irr.com
T 916-435-3883
F 916-435-4774
590 Menlo Drive
Suite 1
Rocklin, CA 95765
Education (Cont'd)
General Comprehensive Exam Module I, II, III & IV
Advanced Income Capitalization
Advanced Sales Comparison & Cost Approaches
2004 Central CA Market Update
Computer-Enhanced Cash Flow Modeling
Forecast 2000, 2001, 2002, 2003 & 2004
Land Valuation Assignments
Land Valuation Adjustment Procedures
Highest & Best Use and Market Analysis
Entitlements, Land Subdivision & Valuation
Real Estate Value Cycles
El Dorado Hills Housing Symposium
Federal Land Exchanges
M & S Computer Cost-Estimating, Nonresidential
[email protected] - 916-435-3883 x224
369
370

About IRR
Integra Realty Resources, Inc. (IRR) provides world‐class commercial real estate valuation, counseling, and advisory services. Routinely ranked among leading property valuation and consulting firms, we are now the largest independent firm in our industry in the United States, with local offices coast to coast and in the Caribbean.

IRR offices are led by MAI‐designated Senior Managing Directors, industry leaders who have over 25 years, on average, of commercial real estate experience in their local markets. This experience, coupled with our understanding of how national trends affect the local markets, empowers our clients with the unique knowledge, access, and historical perspective they need to make the most informed decisions.

Many of  the  nation's top financial institutions, developers, corporations, law firms, and government agencies rely on our professional real estate opinions to best understand the value, use, and feasibility of real estate in their market.

Local Expertise...Nationally!
irr.com

371
Addenda
Open Space Encroachments
Addendum B
Definitions
372
Addenda
Open Space Encroachments
Definitions
The source of the following definitions is the Appraisal Institute, The Dictionary of Real Estate Appraisal, 7th ed. (Chicago: Appraisal Institute, 2022), unless otherwise noted.

As Is Market Value
The estimate of the market value of real property in its current physical condition, use, and zoning as of the appraisal date.

Disposition Value
The most probable price that a specified interest in property should bring under the following conditions:

1. Consummation of a sale within a specified time, which is shorter than the typical exposure time for such a property in that market.

2. The property is subjected to market conditions prevailing as of the date of valuation.

3. Both the buyer and seller are acting prudently and knowledgeably.

4. The seller is under compulsion to sell.

5. The buyer is typically motivated.

6. Both parties are acting in what they consider to be their best interests.

7. An adequate marketing effort will be made during the exposure time.

8. Payment will be made in cash in U.S. dollars (or the local currency) or in terms of financial arrangements comparable thereto.

9. The price represents the normal consideration for the property sold, unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

This definition can also be modified to provide for valuation with specified financing terms.

Effective Date

1. The date on which the appraisal or review opinion applies.

2. In a lease document, the date upon which the lease goes into effect.

Entitlement
In the context of ownership, use, or development of real estate, governmental approval for annexation, zoning, utility extensions, number of lots, total floor area, construction permits, and occupancy or use permits.

Entrepreneurial Incentive
The amount an entrepreneur expects to receive for his or her contribution to a project.

Entrepreneurial incentive may be distinguished from entrepreneurial profit (often called developer’s

373
Addenda
Open Space Encroachments
profit) in that it is the expectation of future profit as opposed to the profit actually earned on a development or improvement. The amount of entrepreneurial incentive required for a project represents the economic reward sufficient to motivate an entrepreneur to accept the risk of the project and to invest the time and money necessary in seeing the project through to completion.

Entrepreneurial Profit

1. A market‐derived figure that represents the amount an entrepreneur receives for his or her contribution to a project and risk; the difference between the total cost of a property (cost of development) and its market value (property value after completion), which represents the entrepreneur’s compensation for the risk and expertise associated with development. An entrepreneur is motivated by the prospect of future value enhancement (i.e., the entrepreneurial incentive). An entrepreneur who successfully creates value through new development, expansion, renovation, or an innovative change of use is rewarded by entrepreneurial profit. Entrepreneurs may also fail and suffer losses.

2. In economics, the actual return on successful management practices, often identified with coordination, the fourth factor of production following land, labor, and capital; also called entrepreneurial return or entrepreneurial reward.

Exposure Time

1. The time a property remains on the market.

2. The estimated length of time that the property interest being appraised would have been offered on the market prior to the hypothetical consummation of a sale at market value on the effective date of the appraisal; a retrospective opinion based on an analysis of past events assuming a competitive and open market.

Fee Simple Estate
Absolute ownership unencumbered by any other interest or estate, subject only to the limitations imposed by the governmental powers of taxation, eminent domain, police power, and escheat.

Floor Area Ratio (FAR)
The relationship between the above‐ground floor area of a building, as described by the zoning or building code, and the area of the plot on which it stands; in planning and zoning, often expressed as a decimal, e.g., a ratio of 2.0 indicates that the permissible floor area of a building is twice the total land area.

Highest and Best Use

1. The reasonably probable use of property that results in the highest value. The four criteria that the highest and best use must meet are legal permissibility, physical possibility, financial feasibility, and maximum productivity.

2. The use of an asset that maximizes its potential and that is possible, legally permissible, and financially feasible. The highest and best use may be for continuation of an asset’s existing use or for some alternative use. This is determined by the use that a market participant would have in mind for the asset when formulating the price that it would be willing to bid. (ISV)

374
Addenda
Open Space Encroachments

3. [The] highest and most profitable use for which the property is adaptable and needed or likely to be needed in the reasonably near future. (Uniform Appraisal Standards for Federal Land Acquisitions)
Investment Value

1. The value of a property to a particular investor or class of investors based on the investor’s specific requirements. Investment value may be different from market value because it depends on a set of investment criteria that are not necessarily typical of the market.

2. The value of an asset to the owner or a prospective owner for individual investment or operational objectives.

Lease
A contract in which rights to use and occupy land, space, or structures are transferred by the owner to another for a specified period of time in return for a specified rent.

Leased Fee Interest
The ownership interest held by the lessor, which includes the right to receive the contract rent specified in the lease plus the reversionary right when the lease expires.

Leasehold Interest
The right held by the lessee to use and occupy real estate for a stated term and under the conditions specified in the lease.

Liquidation Value
The most probable price that a specified interest in real property should bring under the following conditions:

1. Consummation of a sale within a short time period.

2. The property is subjected to market conditions prevailing as of the date of valuation.

3. Both the buyer and seller are acting prudently and knowledgeably.

4. The seller is under extreme compulsion to sell.

5. The buyer is typically motivated.

6. Both parties are acting in what they consider to be their best interests.

7. A normal marketing effort is not possible due to the brief exposure time.

8. Payment will be made in cash in U.S. dollars (or the local currency) or in terms of financial arrangements comparable thereto.

9. The price represents the normal consideration for the property sold, unaffected by special or creative financing or sales concessions granted by anyone associated with the sale.

This definition can also be modified to provide for valuation with specified financing terms.

375
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Open Space Encroachments
Marketing Time
An opinion of the amount of time it might take to sell a real or personal property interest at the concluded market value level during the period immediately after the effective date of an appraisal.

Marketing time differs from exposure time, which is always presumed to precede the effective date of an appraisal.

Market Value
The most probable price which a property should bring in a competitive and open market under all conditions requisite to a fair sale, the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus. Implicit in this definition is the consummation of a sale as of a specified date and the passing of title from seller to buyer under conditions whereby:
 buyer and seller are typically motivated;
 both parties are well informed or well advised, and acting in what they consider their own best interests;
 a reasonable time is allowed for exposure in the open market;  payment is made in terms of cash in U.S. dollars or in terms of financial arrangements comparable thereto; and
 the price represents the normal consideration for the property sold unaffected by special or creative financing or sales concessions granted by anyone associated with the sale. (Source: Code of Federal Regulations, Title 12, Chapter I, Part 34.42[h]; also Interagency Appraisal and Evaluation Guidelines, Federal Register, 75 FR 77449, December 10, 2010, page 77472) Prospective Opinion of Value
A value opinion effective as of a specified future date. The term does not define a type of value.

Instead, it identifies a value opinion as being effective at some specific future date. An opinion of value as of a prospective date is frequently sought in connection with projects that are proposed, under construction, or under conversion to a new use, or those that have not yet achieved sellout or a stabilized level of long‐term occupancy.

376
Addenda
Open Space Encroachments
Addendum C
Encroachments Exhibit
377

BLACK ROCKROAD

OUTLOOK DRIVE

OUTLOOK DRIVE
Civil Engineering & Land Surveying4230 Rocklin Rd., Suite 200 Rocklin, CA 95677Phone: 916-773-4006 Fax: 916-773-4498CenterPoint Engineering, Inc.

OPEN SPACE TO BE DEEDEDOutlook DriveCity of Rocklin, Placer CountyState of California 11 OUTLOOK DRIVELEA COURT
378
Addenda
Open Space Encroachments
Addendum D
Comparable Data
379
Land Sale Profile Sale No. 1
Location & Property Identification
W/S Lincoln Way Property Name:

Sub-Property Type: Specialty, Park/Open Space
W/S Lincoln Way Address:

Galt, CA 95632 City/State/Zip:

Sacramento County:

Suburban Market Orientation:

IRR Event ID: 2919231
Sale Information
$80,000 Sale Price:
$80,000 Effective Sale Price:
07/25/2022 Sale Date:

Sale Status: Closed
$/Acre(Gross): $3,897
$/Land SF(Gross): $0.09
Grantor/Seller: Tejeda Family Trust
Grantee/Buyer: Charles Sun Hong Trustee of
the Truth Church Of SDA
Property Rights: Fee Simple
Financing: Cash to seller
Recording No.: 20220725.283
Verification Type: Secondary Verification
Improvement and Site Data
MSA: Sacramento--Roseville--Arden-
Arcade, CA
150-0700-001 Legal/Tax/Parcel ID:

20.53 Acres(Gross):
894,286 Land-SF(Gross):

Zoning Code: OS
Zoning Desc.: Open Space
Flood Plain: Yes
Flood Zone Designation: AE
Source of Land Info.: Public Records
Comments
This Open Space zoned parcel is located within the City of Galt. The parcel is crossed by a creek and the entirety of the parcel is located within a flood zone (AE designation). The open space designation does not allow for use as a residential home site.

W/S Lincoln Way
380
Land Sale Profile Sale No. 2
Location & Property Identification
W/S Hwy 37 at White Slough Property Name:

Sub-Property Type: Specialty, Wetland/Marshland
W/S Hwy 37 at White Slough Address:

Vallejo, CA 94589 City/State/Zip:

Solano County:

Coastal-Waterfront Market Orientation:

IRR Event ID: 2919381
Sale Information
$103,000 Sale Price:
$103,000 Effective Sale Price:
08/10/2021 Sale Date:

Listing Price: $125,000
Sale Status: Closed
$/Acre(Gross): $4,478
$/Land SF(Gross): $0.10
Grantor/Seller: Arsalan & Laila Darmal
Grantee/Buyer: Ukyo Duong
Property Rights: Fee Simple
Exposure Time: 16 (months)
Financing: Cash to seller
Recording No.: 2021.84593
Verified By: Noah Kauffman, MAI, R/W-AC
Verification Date: 09/20/2022
Verification Type: Confirmed-Seller Broker
Improvement and Site Data
0067-220-010 & -012 Legal/Tax/Parcel ID:

23.00 Acres(Gross):
1,001,880 Land-SF(Gross):

Zoning Code: MP
Zoning Desc.: Marsh Preservation
Flood Plain: Yes
Flood Zone Designation: AE
Source of Land Info.: Public Records
Comments
This is the sale of two parcels totaling 23 acres of marshland.

Although the zoning allows for construction of a single-family residence, the property's location within a flood zone may ultimately limit use of the property to recreational uses.

W/S Hwy 37 at White Slough
381
Land Sale Profile Sale No. 3
Location & Property Identification
E/O County Road 104, S/O
Maxwell Ln.

Property Name:

Sub-Property Type: Other
E/O County Road 104, S/O
Maxwell Ln.

Address:

Davis, CA 95618 City/State/Zip:

Yolo County:

Rural Market Orientation:

IRR Event ID: 2667391
Sale Information
$140,000 Sale Price:
$140,000 Effective Sale Price:
06/05/2020 Sale Date:

Sale Status: Closed
$/Acre(Gross): $3,500
$/Land SF(Gross): $0.08
Grantor/Seller: William Beal TTE
Grantee/Buyer: H. David Moehring TTE
Property Rights: Fee Simple
Financing: Cash to seller
Recording No.: 2020-0016415
Verified By: Noah Kauffman, MAI, R/W-AC
Verification Date: 06/15/2021
Verification Type: Confirmed-Seller Broker
Improvement and Site Data
033-150-003 Legal/Tax/Parcel ID:

40.00 Acres(Gross):
1,742,400 Land-SF(Gross):

Zoning Code: A-N
Zoning Desc.: Agricultural Intensive
Flood Plain: Yes
Flood Zone: AE
Source of Land Info.: Broker
Comments
This 40-acre parcel has previously been used for camping and duck hunting. According to the listing broker the property is a designated wetlands and includes six duck blinds. Water for the property is accessible from Reclamation District 2068 from March through November.

E/O County Road 104, S/O Maxwell Ln.
382
Land Sale Profile Sale No. 4
Location & Property Identification
Ponderosa Parcel 031 Property Name:

Sub-Property Type: Residential
S/S Sunset Rd. Address:

Brownsville, CA 95919 City/State/Zip:

Yuba County:

Rural Market Orientation:

IRR Event ID: 2938606
Sale Information
$15,000 Sale Price:
$15,000 Effective Sale Price:
02/04/2020 Sale Date:

Recording Date: 03/11/2020
Listing Price: $19,900
Sale Status: Closed
$/Acre(Gross): $6,000
$/Land SF(Gross): $0.14
Grantor/Seller: Sundown LLC
Grantee/Buyer: Vilayvone Norasing
Property Rights: Fee Simple
Exposure Time: 1 (months)
Financing: Cash to seller
Recording No.: 2020.3920
Verification Type: Secondary Verification
Improvement and Site Data
MSA: Yuba City, CA
056-290-031 Legal/Tax/Parcel ID:

2.50 Acres(Gross):
108,900 Land-SF(Gross):

Zoning Code: A/RR
Zoning Desc.: Agricultural/Rural Residential
Source of Land Info.: Public Records
Comments
This is the 2020 sale of a 2.5-acre rural parcel.

Ponderosa Parcel 031
383
Land Sale Profile Sale No. 5
Location & Property Identification
16699 Jackson Slough Rd. Property Name:

Sub-Property Type: Other
16699 Jackson Slough Rd. Address:

Isleton, CA 95641 City/State/Zip:

Sacramento County:

Small Town - Non Metro Market Orientation:

IRR Event ID: 2314100
Sale Information
$75,000 Sale Price:
$75,000 Effective Sale Price:
11/06/2019 Sale Date:

Sale Status: Closed
$/Acre(Gross): $10,714
$/Land SF(Gross): $0.25
Grantor/Seller: Man Pham
Grantee/Buyer: Rakesh Cidda & Karen
Maxwell
Property Rights: Fee Simple
Financing: Cash to seller
Recording No.: 1911070549
Verified By: Noah Kauffman, MAI, R/W-AC
Verification Date: 01/19/2020
Verification Type: Confirmed-Seller Broker
Improvement and Site Data
157-0100-033 Legal/Tax/Parcel ID:

7.00 Acres(Gross):
304,920 Land-SF(Gross):

Zoning Code: AG-80
Zoning Desc.: Agricultural
Flood Plain: Yes
Source of Land Info.: Broker
Comments
This is the sale of seven acres in Isleton. The property has a narrow shape, partially following a railroad bed, which offers limited utility overall. According to one of the brokers involved in the sale, the buyers planned to use the property for a hobby farm.
16699 Jackson Slough Rd.
384
Land Sale Profile Sale No. 6
Location & Property Identification
Ponderosa Way Property Name:

Sub-Property Type: Other
Ponderosa Way Address:

Foresthill, CA 95631 City/State/Zip:

Placer County:

Rural Market Orientation:

IRR Event ID: 2938607
Sale Information
$14,500 Sale Price:
$14,500 Effective Sale Price:
10/12/2018 Sale Date:

Listing Price: $30,000
Sale Status: Closed
$/Acre(Gross): $2,900
$/Land SF(Gross): $0.07
Grantor/Seller: Patritia Stinton
Grantee/Buyer: Riggs Lonnie
Property Rights: Fee Simple
Exposure Time: 5 (months)
Financing: Cash to seller
Recording No.: 2018.73951
Verification Type: Secondary Verification
Improvement and Site Data
MSA: Sacramento--Roseville--Arden-
Arcade, CA
073-261-023 Legal/Tax/Parcel ID:

5.00 Acres(Gross):
217,800 Land-SF(Gross):

Zoning Code: O
Zoning Desc.: Open Space
Source of Land Info.: Public Records
Comments
This is the sale of Open Space-zoned land within Placer County.

Ponderosa Way
385
Addenda
Open Space Encroachments
Addendum E
Engagement Letter
386
387
388
389
390
391
392
393
394
395
396
City Council
Staff Report

Subject:

Special Assessments for Delinquent Weed Abatement Charges Date:

June 27, 2023
Submitted By:

Angela Doyle, Senior Accountant
Department:

Administrative Services - Finance
Recommendation:

A
.

Adopt a Resolution of the City Council of the City of Rocklin Imposing Special Assessments Against Certain Parcels for Delinquent Weed Abatement Charges.

B
.

Adopt a Resolution of the City Council of the City of Rocklin Requesting the Collection of Specials Assessments on the 2023/24 Tax Roll (Weed Abatement Charges).

Background:

Each year, the City notifies land owners of vacant properties that they must maintain their properties to minimize fire risk. If the properties are not properly abated by the land owners, the City has the right, under California Government Code Section 39501, California Government Code section 39560 et seq., and Rocklin Municipal Code section 8.12.010 to abate the properties and seek reimbursements for these costs.

On April 12, 2022, the City Council adopted Resolution No. 2022-67, which identified parcels requiring abatement, ordered that such abatement be completed by June 1, 2022, and set a public hearing for April 26, 2022, to hear any protests. This Resolution also indicated the City may perform abatement on properties that were not properly abated by the owners and indicated that the City would bill the responsible land owner for any costs incurred by the City.

Land owners of affected parcels were notified by mail of the public hearing and abatement requirements.

On April 26, 2022, the City Council held a public hearing and ordered the nuisance be abated.

During the summer of 2022, Northern State Contractors Inc, performed abatement on properties that had not been abated by the owners and billed the City for its costs. The City then billed the property owners for fees associated with abating their land on September 2, 2022, and the City sent second notices in December 2022 to those property owners with unpaid
invoices.

On May 9, 2023, the City Council adopted Resolution No. 2023-171 accepting a report on the costs of abatement attributed to each delinquent parcel and set a public hearing on June 13, 2023, so that the City Council could consider placing special assessments for reimbursement Item Number 4.A

397
of delinquent weed abatement charges on the 2023/24 tax roll. Notice of the public meeting was sent to all owners of record, was posted on the City’s web page, posted near the Council Chambers at least three (3) days prior to the hearing, and was published in the Placer Herald on May 25, 2023. Public Hearing was held June 13, 2023 and continued to June 27, 2023.

The first resolution (Attachment 1) authorizes the imposition of special assessments on properties that have delinquent weed abatement fees, and requests the County collect such assessments. The second resolution (Attachment 2) is required by Placer County for all direct charges the County collected on the City’s behalf. It serves to indemnify the County for any errors in those tax rolls submitted by the City.

Fiscal Impact:

Placement of special assessments on the tax rolls would result in the City being reimbursed $7,212.50 of weed abatement expenses and collecting $1,081.92 of administrative fees.

ATTACHMENTS:

1. Resolution A - Assessment for Delinquent Weed Abatement

2. Resolution B - Requesting Collection of Delinquent Weed Abatement 398
RESOLUTION NO. 2023-

RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROCKLIN

IMPOSING SPECIAL ASSESSMENTS AGAINST CERTAIN PARCELS FOR

DELINQUENT WEED ABATEMENT CHARGES
WHEREAS, pursuant to the provisions of California Government Code sections 39501 and 39560 et seq., and Rocklin Municipal Code section 8.12.010, on April 12, 2022, Council adopted Resolution 2022-67, which identified parcels in the City of Rocklin that required weed abatement, ordered such abatement to be completed by June 1, 2022, and set a public hearing for any protests on April 26, 2022; WHEREAS, on April 26, 2022, Council held a public hearing and thereafter ordered the nuisance abated (Reso. No. 2022-80), and during the summer of 2022, a City contractor performed the weed abatement of properties that had not been abated, and billed the City for the weed abatement costs; and
WHEREAS, on May 9, 2023, Council accepted a report on the costs of weed abatement and set June 13, 2023, as the date for a public hearing to consider the imposition of special assessments to be placed on the tax roll (Reso. 2023-171); and WHEREAS, notice of the public hearing on June 13, 2023 was duly sent to all owners of record of affected properties as required by law, and was posted as required by law; and
WHEREAS, on June 13, 2023 and June 27, 2023 public hearings were held and any objections to the imposition of special assessments on the parcels were heard and considered.

NOW THEREFORE, BE IT RESOLVED BY the City Council for the City of Rocklin as follows:

Section 1. The recitals set forth above are true and correct.

Section 2. The charges in the report on the cost of abatement set forth in Exhibit “A,” attached hereto and incorporated herein by reference, are those charges expended for abatement of nuisance plus City and County special assessment processing fees, and are confirmed.
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