Cities Index.
Agenda Packet

Salinas City Council
April 12, 2022

Document
Agenda Packet
Meeting
April 12, 2022
Body
Salinas City Council
Pages
52
Original file
95.4 MB
Text extracted from the city's file for reading and search. Open the original on salinas.legistar.com. That file is the official record.

Tuesday, April 12, 2022
4:00 PM
City of Salinas
200 Lincoln Ave., Salinas, CA 93901
www.cityofsalinas.org

SALINAS ROTUNDA
City Council
Mayor Kimbley Craig
Councilmembers:

Carla Viviana González, District 1 - Tony Barrera, District 2 Steve McShane, District 3 - Orlando Osornio, District 4 Christie Cromeenes, District 5 - Anthony Rocha, District 6 Steven S. Carrigan, City Manager
Christopher A. Callihan, City Attorney
City Clerk’s Office: (831) 758-7381
Meeting Agenda - Final
City Council Meeting Agenda - Final April 12, 2022

PUBLIC NOTICE
This meeting is being conducted consistent with State of California Executive Order N-29-20 dated March 17, 2020, regarding the COVID-19 pandemic. The public may view the meeting on television and/or online and may participate in-person in the Council Chamber.

PLEDGE OF ALLEGIANCE

ROLL CALL

PROCLAMATION
National Volunteer Month, April 2022
National Public Safety Telecommunications Week, April 10-16, 2022 Distracted Driving Awareness Month, April 2022
Autism Awareness Month, April 2022
Earth Day, April 22, 2022

PUBLIC COMMENT PROCEDURES
If you wish to make a general public comment or comment on a specific agenda item, you are encouraged to attended the City Council meeting in person. Public comment may also be submitted via email at [email protected] and will be entered into the record.

PUBLIC COMMENT TIME RESTRICTIONS
Public comments generally are limited to two minutes per speaker; the Mayor may further limit the time for public comments depending on the agenda schedule.

GENERAL PUBLIC COMMENTS
Receive public communications on items that are not on the agenda and that are in the City of Salinas’ subject matter jurisdiction. Comments on Consent, Consideration, and Closed session items should be held until the items are reached. The public may request that the legislative body consider adding an item for consideration on a future agenda. The public may comment on scheduled agenda items, including closed session items, as they are considered.

PRESENTATION
Councilmember comments on presentations are generally limited to three minutes.

ID#22-181 Salinas: A History of Race and Resiliency in an Agriculture City Dr. Carol Lynn McKibben

PUBLIC HEARINGS
ID#22-137 City Development Impact Fees Annual Adjustment City of Salinas Page 2 Printed on 4/6/2022
City Council Meeting Agenda - Final April 12, 2022
Recommendation: Approve a Resolution increasing City development impact fees by 8% effective July1, 2022.

Fiscal Year 2023 City-wide Schedule of Fees and Service Charges - CONTINUED TO APRIL 26, 2022

CONSIDERATION
ID#22-133 Extraterritorial Wastewater Service and Reimbursement Agreement between City and Salinas 101 LLC and Pre-Annexation Agreement with the County of Monterey related to a potential development within the unincorporated area of Monterey County on Harrison Road
Recommendation: Approve Resolution(s) authorizing the Mayor to execute an Extraterritorial Wastewater Service Agreement (Sewer Agreement) and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner) and execute a Pre-Annexation Agreement with the County of Monterey related to a potential development within the unincorporated area of Monterey County on Harrison Road of Economic Development Element Economic Opportunity Area K (EDE EOA K).

ADMINISTRATIVE REPORTS
ID#22-138 Vendor Program Update
Recommendation: No action required. This report presents information to the City Council regarding the implementation of the Vendor Program following adoption of Ordinance Amendments.

CONSENT AGENDA
All matters listed under Consent Agenda may be enacted by one motion unless a member of the Council or the public requests discussion or a separate vote.

ID#22-191 Minutes
ID#22-190 Financial Claims
Recommendation: Approve financial claims report.

ID#22-139 Surplus Vehicles and Equipment for Disposal
Recommendation: Approve a Resolution declaring vehicles and equipment surplus and authorizing their disposal.

ID#22-140 Purchase of Fire Vehicles and Associated Emergency Equipment Recommendation: Approve a Resolution authorizing the direct purchase of two Fire Department light to medium duty vehicles from Salinas Valley Ford, associated equipment, outside installation services and signage for a total cost not to exceed $170,000.

ID#22-141 Professional Services Agreement with Kimley-Horn and Associates Recommendation: Approve a Resolution approving a Professional Services Agreement between the City of Salinas and Kimley-Horn and Associates, and authorizing the use of up to $173,300 from CIP 5800.50.9326 for an Intersection Control Evaluation Step 2 at US 101 Southbound Ramps at Airport Boulevard / Terven Avenue.

City of Salinas Page 3 Printed on 4/6/2022
City Council Meeting Agenda - Final April 12, 2022
ID#22-153 Direct Purchase of two Toyota Tacomas, one FL24 Flatliner Skid Steer attachment, and one Landa ECOS-7000 Sidewalk Cleaner
Recommendation: Approve a Resolution authorizing the direct purchase of one Toyota Tacoma for Community Development Department at a cost of $38,096.79, one Toyota Tacoma for the Street Maintenance Division at a cost of $29,041.05, one Flatliner FL24 for the Streets Maintenance Division at a cost of $52,550.00 and one Landa ECOS-7000 sidewalk cleaner at a cost of $43,387.00 for a total cost of $163,074.84.

ID#22-156 District 3A Residential Permit Parking Program- San Juan Drive & San Andreas Way Opt Out Request
Recommendation: Approve a Resolution approving the San Juan Drive and San Andreas Way (bounded by San Juan Circle & San Andreas Way) opt out of the District 3A Residential Permit Parking Program.

ID#22-161 Price Change to two F-350 Crew Cab Trucks Approved March 8, 2022 Resolution No. 22311 (N.C.S.)
Recommendation: Approve a Resolution authorizing a price increase of $1,095.50 each or $2,185.00 total from Salinas Valley Ford to purchase two new F-350 Crew Cabs previously approved in Resolution No. 22311 (N.C.S).

ID#22-162 Bardin Safe Routes to School Project, CIP 9218 Recommendation: Approve a Resolution(s) approving Contract Change Order No. 9 to the Don Chapin Company, Inc. for the Bardin Road Safe Routes to School Improvements, Project No. 9218, Federal Project ATPL-5045(031), in the amount of $275,244.00; and approving Contract Change Order No. 10 to the Don Chapin Company, Inc. for the Bardin Road Safe Routes to School Improvements, Project No. 9218, Federal Project ATPL-5045(031), in the amount of $184,478.37; and authorize the City Manager to execute all necessary documents.

ID#22-171 Amendment to Professional Services with Ground Zero Analysis, Inc.

Recommendation: Approve a Resolution approving an amendment to the Professional Services Agreement between the City of Salinas and Ground Zero Analysis, Inc. for the performance of site closure activities and contamination mitigation and 2) authorizing an increase of $78,100 to the General Fund appropriation for account 5800.50.9069-63.6010 and use of General Fund balance to cover the anticipated Ground Zero Analysis fees.

ID#22-173 California Interagency Council on Homelessness Encampment Resolution Fund Program Grant Award Acceptance
Recommendation: Approve a Resolution authorizing the acceptance of a $4,079,416.72 grant award from the California Interagency Council on Homelessness Encampment Resolution Fund Program and authorize the City Manager or designee to execute all required Agreements and related documents necessary to implement the program.

ID#22-174 Direct Purchase of Emergency Equipment for Police Vehicles Recommendation: Approve a Resolution authorizing the direct purchase of emergency equipment to upfit 14 police vehicles for a total cost not to exceed $349,356.61.

ID#22-182 Updated Pension Trust Agreements and Related Documents City of Salinas Page 4 Printed on 4/6/2022
City Council Meeting Agenda - Final April 12, 2022
Recommendation: Approve a Resolution approving the updated Adoption Agreement for the Post-Employment Benefits Trust between the City and PFM Assets Management LLC ("PFM"); and approving the updated Trust Administrative Services Agreement between the City and PFM; and authorizing the City Manager, Director of Finance, and Assistant Finance Director to execute the agreements and other documents required to establish a pension trust and receive trust administration and trust asset investment services on behalf of the City.

ID#22-184 Modification to the Classification - Salary Schedule and Workforce Allocation Adjustment
Recommendation: Approve a Resolution modifying the Classification - Salary Schedule to include the classifications of Inspection Services Manager, Property/Evidence Supervisor, Senior Property/Evidence Technician and Property/Evidence Technician; and approve a workforce adjustment for the Community Development Department to include two additional Community Outreach Assistants (limited term), one position replaces a previously authorized Administrative Aide (limited term).

ID#22-185 Essential Worker Premium Pay
Recommendation: Approve a Resolution to approve a one-time premium payment of two thousand dollars ($2,000) per eligible employee in recognition and appreciation for performing essential work during the COVID-19 pandemic and in the interest of retention.

COUNCILMEMBERS’ REPORTS, APPOINTMENTS AND FUTURE AGENDA ITEMS Receive communication from Councilmembers on reports, appointments and future agenda items. Councilmember comments are generally limited to three minutes.

ADJOURNMENT
_____________________________
Patricia M. Barajas, City Clerk

AGENDA MATERIAL / ADDENDUM
Any addendums will be posted within 72 hours of regular meetings or 24 hours of special meetings and in accordance with Californian Government Code Section 54954.2, unless otherwise allowed under the Brown Act. City Council agenda item reports may be viewed at the Salinas City Clerk’s Office, 200 Lincoln Avenue, Salinas, and are posted on the City’s website at www.cityofsalinas.org via the hyperlinks provided on the agenda. The City Council may take action that is different than the proposed action reflected on the agenda.

Disability-related modification or accommodation, including auxiliary aids or services, may be requested by any person with a disability who requires a modification or accommodation in order to participate in the meeting. Requests should be referred to the City Clerk’s Office At 200 Lincoln Avenue, Salinas, 758-7381, as soon as possible but by no later than 5 p.m. of the last business day prior to the meeting. Hearing impaired or TTY/TDD text telephone users may contact the city by dialing 711 for the California Relay Service (CRS) or by telephoning any other service providers’ CRS telephone number.

PUBLIC NOTIFICATION
City of Salinas Page 5 Printed on 4/6/2022
City Council Meeting Agenda - Final April 12, 2022
This agenda was posted on Wednesday, April 6, 2022 at the City Clerk’s Office, in the Council Rotunda, and the City's website.

Meetings are streamed live at https://salinas.legistar.com/Calendar.aspx and televised live on Channel 25 at 4 p.m. on the date of the regularly scheduled meeting and will be broadcast throughout the day on the Wednesday, Friday, Saturday and Monday following the meeting. For the most up-to-the-minute Broadcast Schedule for The Salinas Channel on Comcast 25, please visit or subscribe to our Google Calendar located at http://tinyurl.com/salinas25. Recent City Council meetings may also be viewed on the Salinas Channel on YouTube at http://www.youtube.com/thesalinaschannel.

City of Salinas Page 6 Printed on 4/6/2022
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#22-181, Version: 1
Salinas: A History of Race and Resiliency in an Agriculture City Dr. Carol Lynn McKibben
City of Salinas Page 1 of 1 Printed on 4/6/2022
powered by Legistar™
Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: APRIL 12, 2022
DEPARTMENT: ADMINISTRATION
FROM: STEVEN S. CARRIGAN, CITY MANAGER

KRISTAN LUNDQUIST, DIRECTOR
TITLE: SALINAS: A HISTORY OF RACE AND RESILIENCY IN AN

AGRICULTURE CITY
RECOMMENDED MOTION:

No action required, receive presentation from Doctor Carol Lynn McKibben, Stanford University lecturer and director of the Salinas History Project.

RECOMMENDATION:

No recommendation.

BACKGROUND:

In October 2018, the City of Salinas entered into an agreement with Dr. Carol Lynn McKibben to produce a comprehensive narrative history of Salinas from World War II to the present in book form over a three-year period. Part of Dr. McKibben’s work included research, community events, academic presentations, production of a peer-reviewed narrative history, working with Stanford University and Hartnell Community College students in research, and final production.

The attached Stanford University Press flyer provides information regarding the author’s book work.

CEQA CONSIDERATION:

Not a Project. The City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).

STRATEGIC PLAN INITIATIVE:

Dr. McKibben’s book supports the Strategic Plan Goal of Economic Development - sustain, encourage, and develop a diverse and thriving economy that benefits all Salinas residents and businesses and that contributes to the community’s economic health.

Page | 2
DEPARTMENTAL COORDINATION:

The Library & Community Services Department worked with the City Manager’s office on the coordination and management of the Salinas History Project.

FISCAL AND SUSTAINABILITY IMPACT:

The total fiscal impact to the General Fund for this project was $150,000 over a period of 3 years.

ATTACHMENTS:

Stanford University Press Flyer
Salinas
A History of Race and Resilience in an
Agricultural City

CAROL LYNN MCKIBBEN
An ambitious history of a California city that
epitomizes the history of race relations in
modern America.

Although much has been written about the
urban–rural divide in America, the city of Salinas,
California, like so many other places in the state and
nation whose economies are based on agriculture,
is at once rural and urban. For generations, Salinas
has been associated with migrant farmworkers
from di erent racial and ethnic groups. This broadranging history of “the Salad Bowl of the World” tells a complex story of community-building in a
multiracial, multiethnic city where diversity has
been both a cornerstone of civic identity and, from
the perspective of primarily white landowners and
pragmatic agricultural industrialists, essential for
maintaining the local workforce.

Carol Lynn McKibben draws on extensive
original research, including oral histories and
never-before-seen archives of local business groups,
tracing Salinas’s ever-changing demographics
and the challenges and triumphs of Chinese,
Japanese, Filipino, and Mexican immigrants, as well
as Depression-era Dust Bowl migrants and white
ethnic Europeans. McKibben takes us from Salinas’s
nineteenth-century beginnings as the economic
engine of California’s Central Coast up through the
disproportionate impact of Covid-19 on communities
of color today, especially farmworkers who already
live on the margins.

Throughout the century-plus of Salinas
history that McKibben explores, she shows how the
political and economic stability of Salinas rested
on the ability of nonwhite minorities to achieve
a measure of middle-class success and inclusion
in the cultural life of the city, without overturning
a system based in white supremacy. This timely
book deepens our understanding of race relations,
economic development, and the impact of changing
demographics on regional politics in urban California
and in the United States as a whole.

Carol Lynn McKibben is a lecturer at Stanford University. She is director of the Salinas History Project and the author of two previous books on the history of Monterey County: Beyond Cannery Row: Sicilian Women, Immigration, and Community in Monterey, 1915-1999 (2006) and Racial Beachhead: Diversity and Democracy in a Military Town (2012).

For discounts on event orders and bulk purchase of 50+ copies, please contact [email protected].

A
modern America.

Although much has been written about the
urban–rural divide in America, the city of Salinas,
California, like so many other places in the state and
nation whose economies are based on agriculture,
is at once rural
has been associated with migrant farmworkers
from di erent racial and ethnic groups. This broadranging history of “the Salad Bowl of the World” tells a complex story of community-building in a
multiracial, multiethnic city where diversity has
been both a cornerstone of civic identity and, from
the perspective of primarily white landowners and
pragmatic agricultural industrialists, essential for
maintaining the local workforce.

Carol Lynn McKibben draws on extensive
original research, including oral histories and
never-before-seen archives of local business groups,
tracing Salinas’s ever-changing demographics
and the challenges and triumphs of Chinese,
Japanese, Filipino, and Mexican immigrants, as well
as Depression-era Dust Bowl migrants and white
ethnic Europeans. McKibben takes us from Salinas’s
Carol Lynn McKibben is a lecturer at Stanford University. She is director of the Salinas History Project and the author of two previous books on the history of Monterey County:
**JANUARY 2022**
$30.00 paperback, 432 pages
Receive 20% o
at www.sup.org with code
MCKIBBEN20
“This important and engaging study of Salinas tells a vital story of racial divides—of how they have at times been exacerbated, but also often crossed, and at times even dissolved. This is a major contribution to California history, the history of race relations, urban history, agricultural history, and oral history. What is more, this book is instructive for the state and the nation.”
—David Wrobel, author of America’s West: A History, 1890-1950

STANFORD UNIVERSITY PRESS
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#22-137, Version: 1
City Development Impact Fees Annual Adjustment
Approve a Resolution increasing City development impact fees by 8% effective July1, 2022.

City of Salinas Page 1 of 1 Printed on 4/6/2022
powered by Legistar™
Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: April 12, 2022
DEPARTMENT: PUBLIC WORKS DEPARTMENT
FROM: DAVID JACOBS, DIRECTOR
BY: ADRIANA ROBLES, CITY ENGINEER

LYNN MAU, PUBLIC WORKS ASSISTANT
TITLE: CITY DEVELOPMENT IMPACT FEE ANNUAL ADJUSTMENT
RECOMMENDED MOTION:

A motion to approve a Resolution increasing City Development Impact Fees by 8% effective July 1, 2022.

RECOMMENDATION:

Hold a public hearing on the proposal to increase City development impact fees and approve a Resolution adjusting the City development impact fees by 8% effective July 1, 2022.

EXECUTIVE SUMMARY:

City Council is requested to approve a Resolution adjusting the City development impact fees by 8% which will become effective July 1, 2022. The increase is based on the Engineering News Record (ENR) construction cost index (CCI) increase over the last year, which is consistent with the fee ordinance (Salinas Municipal Code Chapter 9, Article V).

BACKGROUND:

The City imposes fees on development to fund improvements to capital infrastructure and facilities required to accommodate and service ongoing development (Development Impact Fees).

Appropriately adjusted Development Impact Fees are a benefit to the community and to Developers alike. The public benefits by being able to improve or expand facilities as necessary to accommodate growth. Developers benefit by being able to mitigate certain impacts caused by their project on a fair share basis. No developer is required to solely mitigate a large impact caused by cumulative development. In other words, there is no single developer to construct a major interchange project, build a new fire station, or upgrade a major sewer trunk main. Developers are also able to mitigate many impacts of their project identified through the CEQA, without lengthy and expensive studies. A fee program that is not appropriately adjusted, does not allow for the proper mitigation of impact due to growth.

Page | 2
Article V, Section 9-40 through 9-50 of the Salinas City Code, defines the scope of these fees.

Section 9-42(b) of the Code allows Development Impact Fees to be adjusted annually to account for the fluctuation in construction costs. The industry standard for determining the fluctuations in construction costs is the Engineering News Record (ENR). The “construction cost index” (CCI) as published by the ENR is based on a combination of labor rates and material costs, which are most reflective of construction costs averaged among 20 major metropolitan areas around the United States. Code Section 9-42(b) specifically states “The development impact fee levels may be changed in accordance with the percentage change in the ENR index from January 1 to January 1 of each preceding year, but in no case shall the indexing increase or decrease in development impact fees allowed by this section fee exceed that shown in the ENR index.” Attached to this report is a copy of the ENR Construction Economics summary for January, which provides background of how the index increased 8% between January 1, 2021 to January 1, 2022.

Exhibit A lists the current and proposed development fee schedules for impacts to City infrastructure, including parks, street trees, storm sewers, sanitary sewers, and traffic. Exhibit B lists the current and proposed development fee schedules for impacts to public facilities, such as fire, police, library, and recreation, and impacts to park facilities.

CEQA CONSIDERATION:

Not a Project. City of Salinas has determined that the proposed action is not a project as defined by the California Environmental Quality Act (CEQA) pursuant to Sections 15378 and 15061(b)(3).

STRATEGIC PLAN INITIATIVE:

Updating Development Impact fees to match the fluctuating cost of construction is consistent with the Council Goals of Investment Strategies/Risk Management, Operational Efficiencies, and Public Safety by investing in existing facilities and infrastructure, reducing City expenditures to address impacts due to growth, and by providing adequate funding to additional need for policing and emergency medical services due to growth.

DEPARTMENTAL COORDINATION:

Public Works staff has consulted with other City Departments to develop the recommendation herein, including Administration, Finance, and Legal. Should the City Council approve the recommendation, Public Works will continue to collaborate with these departments, along with Community Development.

Chamber of Commerce
On March 10, 2022, City staff provided the Development Impact Fee Schedule and City-Wide Fee Schedule to the Salinas Valley Chamber of Commerce. As of March 18, 2022, no comments were received.

Page | 3
FISCAL AND SUSTAINABILITY IMPACT:

Increasing fees proportionate with the ENR construction cost index allows revenues to keep pace with construction cost inflation to minimize or eliminate the impact on the General Fund. As a consideration of the possible impacts COVID-19 had on our community, Council did not increase Development Impact Fees for the fiscal year 2019-2020. Fee increases for the past five years (F.Y. 2016-2017 – 2020-2021) have been 3.90%, 3.3%. 3%, 0%, 2.1%, respectively.

An evaluation of the adequacy of the Dev1elopment Impact Fees for public infrastructure and traffic development impact fees will be undertaken concurrently with the General Plan update to ensure the fees are adequately covering the costs. The Public Facilities Impact Fee Nexus Study developed by Wildan Financial Services in 2020 provided an update to public facilities and park fees.

ATTACHMENTS:

Resolution
ENR Construction Economics Summary
Exhibit A – Public Infrastructure Fee Schedule
Exhibit B1 – Public Facilities Fee Schedule
Exhibit B2 – Public Facilities Fee Schedule for Residential Development Exhibit C – Statement of Revenue and Expenditures for Development Impact Fees

Page 1 of 3 ends

RESOLUTION NO.__________________ (N.C.S.)

RESOLUTION INCREASING DEVELOPMENT IMPACT

FEES IN ACCORDANCE WITH THE ENGINEERING NEWS RECORD

CONSTRUCTION COST INDEX
WHEREAS, Section 9-42 (b) of the Salinas City Code regarding development impact fees allows the development fees to be adjusted annually with the percentage change in accordance with the ENR Construction Cost Index from January 1 to January 1 of the preceding year; and WHEREAS, the ENR Construction Cost Index increased 8% during the period from January 1, 2021 to January 1, 2022; and
WHEREAS, a Public Hearing was properly noticed and held on April 12, 2022, pursuant to Government Code 66017 and public comment received;
NOW, THEREFORE, BE IT RESOLVED as follows:
(a) The development fees established in Section 9-41 (a) of Article V, are set as follows:

Public Infrastructure Fee Schedule
Street Tree Fee: $389.00 per tree, one tree per sixty feet of street frontage.

Storm Sewer Trunk Line Fee: $646.00 per bedroom;
$1,307.00 per mobile home space;
$8,211.00 per acre (commercial and industrial);
$6,548.00 per acre (schools)
Sanitary Sewer Trunk Line Fee: $603.00 per bedroom;
$1,186.00 per mobile home space;
commercial, industrial, and schools:
$1,995.00 per enclosed building area (includes the
first 4,000 sq. ft. of building area and 20 fixture units) plus $4.95 per 100 sq. ft. over 4,000 sq. ft.;
plus $21.10 per fixture unit over 20 units.

Traffic Fee: $430.00 per daily trip (citywide);
(Adjusted TFO update, January 19, 2010 $622.00 per daily trip (Future Growth Areas); Resolution No. 19802)
Public Facilities Fee Schedule
Library Fee: $794.00 per unit
(Monte Bella/Williams Ranch)
Fire Protection Services Fee: $305.00 per unit
(Monte Bella/Williams Ranch)

Page 2 of 3 ends

Commercial
Fire Impact Fee: $590.00 per 1,000 square feet of floor area Commercial
Police Impact Fee: $785.00 per 1,000 square feet of floor area Industrial
Fire Impact Fee: $134.00 per 1,000 square feet of floor area Industrial
Police Impact Fee: $524.00 per 1,000 square feet of floor area Park Impact Fee: $11,336.00 per single family unit
(West Area Specific Plan) $ 9,650.00 per multifamily unit Park Impact Fee: $12,554.00 per single family unit
(Central Area Specific Plan) $10,687.00 per multifamily unit Citywide Public Facilities Fee Schedule for Residential Development Dwelling Square
Footage Fire Police Library Recreation Park Park (Quimby) SFD Fee Schedule
4000 sf+
3000 sf - 3999 sf $ 388.00 $ 2,145.00 $ 1,526.00 $ 849.00 $ 7,457.00 $ 8,677.00 2500 sf - 2999 sf $ 374.00 $ 2,063.00 $ 1,468.00 $ 816.00 $ 7,172.00 $ 8,344.00 2000 sf - 2499 sf $ 356.00 $ 1,970.00 $ 1,402.00 $ 780.00 $ 6,852.00 $ 7,970.00 1500 sf - 1999 sf $ 343.00 $ 1,899.00 $ 1,351.00 $ 752.00 $ 6,601.00 $ 7,680.00 1000 sf - 1499 sf $ 316.00 $ 1,750.00 $ 1,245.00 $ 692.00 $ 6,084.00 $ 7,078.00 750 sf - 999 sf $ 257.00 $ 1,421.00 $ 1,011.00 $ 563.00 $ 4,942.00 $ 5,750.00 500 sf - 749 sf $ 211.00 $ 1,164.00 $ 828.00 $ 461.00 $ 4,050.00 $ 4,712.00 < 500 sf $ 183.00 $ 1,011.00 $ 719.00 $ 400.00 $ 3,514.00 $ 4,089.00

Page 3 of 3 ends

Dwelling Square
Footage Fire Police Library Recreation Park Park (Quimby) Senior Unit Fee Schedule
4000 sf+
3000 sf - 3999 sf $ 241.00 $ 1,328.00 $ 945.00 $ 526.00 $ 4,621.00 $ 5,376.00 2500 sf - 2999 sf $ 231.00 $ 1,278.00 $ 909.00 $ 505.00 $ 4,442.00 $ 5,169.00 2000 sf - 2499 sf $ 221.00 $ 1,221.00 $ 868.00 $ 483.00 $ 4,247.00 $ 4,940.00 1500 sf - 1999 sf $ 213.00 $ 1,175.00 $ 836.00 $ 465.00 $ 4,086.00 $ 4,753.00 1000 sf - 1499 sf $ 195.00 $ 1,082.00 $ 770.00 $ 429.00 $ 3,765.00 $ 4,379.00 750 sf - 999 sf $ 160.00 $ 882.00 $ 627.00 $ 349.00 $ 3,068.00 $ 3,570.00 500 sf - 749 sf $ 131.00 $ 724.00 $ 515.00 $ 285.00 $ 2,515.00 $ 2,927.00 < 500 sf $ 113.00 $ 626.00 $ 445.00 $ 247.00 $ 2,176.00 $ 2,533.00 (b) The above subject fees will become effective July 1, 2022.

PASSED AND APPROVED this 12th day, of April 2022 by the following vote:

AYES:

NOES:

ABSENT:

APPROVED:
____________________________
Kimbley Craig, Mayor
ATTEST:

Patricia M. Barajas, City Clerk
+8.0%
CCI
+13.9%
BCI
+1.0%
BCI
+0.6%
CCI

20.0 15.0

10.0 25.0

30.0 35.0 per/thousand

INDEX VALUE

ANNUAL CONSTRUCTION COST INDEX

15.0 10.0

5.0 20.0

25.0 30.0 per/thousand

INDEX VALUE

2.8 1.4

0.0 4.2

5.6 7.0

1.2 % CHANGE

1.1 0

1.3 1.4

1.5 % CHANGE

ANNUAL BUILDING COST INDEX
MONTHLY CONSTRUCTION COST % CHANGE MONTHLY BUILDING COST % CHANGE JAN.’21 MAR. MAY JULY SEPT. NOV. JAN.’22
JAN.’21 MAR. MAY JULY SEPT. NOV. JAN.’22
JAN.’21 MAR. MAY JULY SEPT. NOV. JAN.’22
JAN.’21 MAR. MAY JULY SEPT. NOV. JAN.’22
Inflation’s Pulse Year-to-year and monthly percent changes for ENR’s cost indexes Cost Index Review
SOURCE: ENR

INFLATION

ANNUAL ESCALATION FOR

COMMON LABOR REACHED

1.4% IN JANUARY,

WHILE SKILLED LABOR
EXPERIENCED A 2.6%

ESCALATION IN
THE SAME PERIOD.
+

1.3%
Common
Labor Index

CONSTRUCTION BUILDING SKILLED WAGES COMMON WAGES
2020 Dec. 11625.95 1082.33 6445.14 954.00 10743.67 1053.78 24037.06 1160.17 2021 Jan. 11627.94 1082.51 6459.83 956.17 10775.90 1057.04 24037.06 1160.17 Feb. 11698.80 1089.11 6493.19 961.11 10797.45 1058.78 24157.25 1165.88 Mar. 11749.75 1093.85 6545.22 968.81 10800.69 1059.05 24157.25 1165.88 Apr. 11849.31 1103.12 6612.50 978.77 10805.01 1059.49 24253.88 1170.25 May 11989.91 1116.21 6754.51 999.79 10805.01 1059.49 24253.88 1170.25 June 12112.05 1127.58 6876.96 1017.91 10815.82 1060.41 24256.31 1170.40 July 12237.69 1139.28 7006.95 1037.15 10826.64 1061.48 24256.31 1170.40 Aug. 12463.13 1160.26 7201.88 1066.01 10848.29 1063.55 24353.34 1175.33 Sept. 12464.55 1160.40 7214.29 1067.84 10880.83 1066.67 24355.78 1175.39 Oct. 12464.94 1160.43 7244.90 1072.38 10978.76 1075.78 24355.78 1175.39 Nov. 12467.32 1160.65 7255.67 1073.97 11000.72 1078.06 24355.78 1175.39 Dec. 12481.82 1162.00 7289.50 1078.98 11055.72 1083.53 24355.78 1175.39 2022 Jan. 12555.55 1168.87 7359.09 1089.28 11055.72 1083.53 24365.52 1175.83 BASE YEAR 1913 1967 1913 1967 1913 1967 1913 1967
ENR’s 20-city average cost indexes, wages and material prices. Historical data for ENR’s 20 cities can be found at ENR.com/economics Construction
Cost Index
ANNUAL

INFLATION RATE
1913=100 INDEX VALUE MONTH YEAR
CONSTRUCTION COST 12555.55 +0.6% +8.0%
COMMON LABOR 24365.52 0.0% +1.4%
WAGE $/HR. 46.82 0.0% +1.4%
The Construction Cost Index’s annual escalation rose
8%, while the monthly component rose 0.6%.
+8.0%
JAN. 2022
Building
Cost Index
ANNUAL

INFLATION RATE
1913=100 INDEX VALUE MONTH YEAR
BUILDING COST 7359.09 +1.0% +13.9%
SKILLED LABOR 11055.72 0.0% +2.6%
WAGE $/HR. 60.99 0.0% +2.6%
The Building Cost Index was up 13.9% on an annual
basis, while the monthly component increased 1%.
+

13.9%
JAN. 2022
Materials
Cost Index

MONTHLY

INFLATION RATE
1913=100 INDEX VALUE MONTH YEAR
MATERIALS COST 5073.87 +2.2% +33.7%
CEMENT $/TON 151.44 –0.5% +3.1%
STEEL $/CWT 79.47 +3.8% +41.2%
LUMBER $/MBF 949.70 –0.3% +26.9%
The MCI rose 2.2% since last month, while the
annual escalation rate increased 33.7%.
+

2.2%
JAN. 2022

CONSTRUCTION ECONOMICS

EXHIBIT A
Public Infrastructure Fee Schedule

PROPOSED FEE SCHEDULE CURRENT FEE SCHEDULE
Street Tree Fee: $389.00 per tree, one tree per sixty $360.00 per tree, one tree per feet of street frontage. sixty feet of street frontage.

Storm Sewer
Trunk Line Fee: $646.00 per bedroom or $1,307.00 per $598.00 per bedroom or $1,210.00 mobile home; Commercial and Indus- per mobile home; Commercial trial - $8,211.00 per acre; Schools- and Industrial - $7,603.00 per acre $6,548.00 per acre. Schools - $6,063.00 per acre.

Sanitary Sewer
Trunk Line Fee: $603.00 per bedroom or $1,186.00 per $558.00 per bedroom or $1,098.00 per mobile home; Commercial, Industrial, mobile home; Commercial, Industrial, and Schools -$1,995.00 per unit (includes and Schools -$1,847.00 per unit (includes the first 4,000 sq. ft. and 20 fixture units) the first 4,000 sq. ft. and 20 fixture units) plus $4.95 per 100 sq. ft. over 4,000 and plus $4.58 per 100 sq. ft. over 4,000 and $21.10 per fixture unit over 20 units. $19.55 per fixture unit over 20 units.

Traffic Fee: $430.00 per daily trip $398.00 per daily trip (within existing City Limits) (within existing City Limits) (adjusted TFO update, January 19, 2010
Resolution No. 19802)
$622.00 per daily trip ` $576.00 per daily trip
(Future Growth Areas) (Future Growth Areas)
(adjusted TFO update, January 19, 2010
Resolution No. 19802)
EXHIBIT B1
Public Facilities Fee Schedule

PROPOSED FEE SCHEDULE CURRENT FEE SCHEDULE
Library Fee: $794.00 per residential unit $735.00 per residential unit (Monte Bella/Williams Ranch)
Fire Protection Services Fee: $305.00 per residential unit $282.00 per residential unit (Monte Bella/Williams Ranch)
Commercial Fire Impact Fee: $590.00 per 1,000 square feet of $546.00 per 1,000 square feet of floor area floor area
Commercial Police Impact Fee: $785.00 per 1,000 square feet of $727.00 per 1,000 square feet of floor area floor area
Industrial Fire Impact Fee: $134.00 per 1,000 square feet of $124.00 per 1,000 square feet of floor area floor area
Industrial Police Impact Fee: $524.00 per 1,000 square feet of $485.00 per 1,000 square feet of floor area floor area
Park Impact Fee: $11,336.00 per single family unit $10,496.00 per single family unit (West Area Specific Plan) $ 9,650.00 per multifamily unit $ 8,935.00 per multifamily unit Park Impact Fee: $12,554.00 per single family unit $11,624.00 per single family unit (Central Area Specific Plan) $10,687.00 per multifamily unit $ 9,895.00 per multifamily unit EXHIBIT B2
Public Facilities Impact Fee Schedule
For Residential Development
Proposed Citywide Fee Schedule
Dwelling Square
Footage Fire Police Library Recreation Park Park (Quimby) SFD Fee Schedule
4000 sf+
3000 sf - 3999 sf $ 388.00 $ 2,145.00 $ 1,526.00 $ 849.00 $ 7,457.00 $ 8,677.00 2500 sf - 2999 sf $ 374.00 $ 2,063.00 $ 1,468.00 $ 816.00 $ 7,172.00 $ 8,344.00 2000 sf - 2499 sf $ 356.00 $ 1,970.00 $ 1,402.00 $ 780.00 $ 6,852.00 $ 7,970.00 1500 sf - 1999 sf $ 343.00 $ 1,899.00 $ 1,351.00 $ 752.00 $ 6,601.00 $ 7,680.00 1000 sf - 1499 sf $ 316.00 $ 1,750.00 $ 1,245.00 $ 692.00 $ 6,084.00 $ 7,078.00 750 sf - 999 sf $ 257.00 $ 1,421.00 $ 1,011.00 $ 563.00 $ 4,942.00 $ 5,750.00 500 sf - 749 sf $ 211.00 $ 1,164.00 $ 828.00 $ 461.00 $ 4,050.00 $ 4,712.00 < 500 sf $ 183.00 $ 1,011.00 $ 719.00 $ 400.00 $ 3,514.00 $ 4,089.00 Senior Unit Fee Schedule
4000 sf+
3000 sf - 3999 sf $ 241.00 $ 1,328.00 $ 945.00 $ 526.00 $ 4,621.00 $ 5,376.00 2500 sf - 2999 sf $ 231.00 $ 1,278.00 $ 909.00 $ 505.00 $ 4,442.00 $ 5,169.00 2000 sf - 2499 sf $ 221.00 $ 1,221.00 $ 868.00 $ 483.00 $ 4,247.00 $ 4,940.00 1500 sf - 1999 sf $ 213.00 $ 1,175.00 $ 836.00 $ 465.00 $ 4,086.00 $ 4,753.00 1000 sf - 1499 sf $ 195.00 $ 1,082.00 $ 770.00 $ 429.00 $ 3,765.00 $ 4,379.00 750 sf - 999 sf $ 160.00 $ 882.00 $ 627.00 $ 349.00 $ 3,068.00 $ 3,570.00 500 sf - 749 sf $ 131.00 $ 724.00 $ 515.00 $ 285.00 $ 2,515.00 $ 2,927.00 < 500 sf $ 113.00 $ 626.00 $ 445.00 $ 247.00 $ 2,176.00 $ 2,533.00 CASH BALANCE - Prior Year Report February 28, 2021 $16,700,159.02 Revenues
2301 Sanitary Sewer & Storm Drain $ 157,029.04
2302 Park Playground Fees 46,948.84
2303 Library Impact Fees 41,053.30
2304 Street Tree Fees 7,119.13
2305 Annexation Fees 0.00
2306 Arterial Fees 488,920.32
2307 Fire Protection Fees 75,712.51
2308 Police Fees 139,504.94
2309 Development Fees - WASP Parks 0.00
2310 Development Fees - CASP Parks 0.00
TOTAL REVENUE 956,288.08
TOTAL CASH AVAILABLE $17,656,447.10
Expenditures
2301 Sanitary Sewer & Storm Drain
9008 Sanitary Sewer Master Plan Update $ 372,570.31
9114 Salinas River Outfall Channel Repairs 0.00
9175 Santa Rita Storm Channel 0.00
9302 East Lake Streets Sewer Repairs 630,000.00
9735 Priority 1 Storm Sewer Lines 81.50
9853 Priority 1 Sewer Lines 0.00
2302 Park Playground Fees
9092 Park Nexus Study 0.00
9346 Natividad Creek Community Park 23,349.71
9379 Sherwood Tennis Center Imp 0.00
9403 Monte Bella Park 0.00
9454 Lower Natividad Creek Park 0.00
2303 Liabrary Impact Fees
9166 New El Gabilan Library 0.00
2306 Arterial Fees
9071 Williams Rd U.D./Street/Streetscape 80,578.07
9112 Natividad/Laurel Intersection 0.00
9128 Williams Road Median Island 79.60
9133 Sun/Market Intersection 0.00
9140 Kern/101 Ramps-Mobray 0.00
9170 Boronda & N Main Intersection 0.00
9171 E Bernal Drive Improvements 0.00
9278 N Main St/Boronda Rd Impvts 17,541.95
9510 E Boronda Rd Traffic Congestion Relief 13,618.77
9662 Traffic Fee Ordinance Update 3,176.07
9893 US 101 Imp through Salinas 360.86
2307 Fire Fees
9527 Fire Safety Gear & Equipment 2,930.79
TOTAL EXPENDITURES (1,144,287.63)
FUND BALANCE - February 28, 2022 $16,512,159.47

CITY OF SALINAS

DEVELOPMENT FEES FUND

STATEMENT OF REVENUES AND EXPENDITURES
MARCH 1, 2021 THRU FEBRUARY 28, 2022
City Development Impact Fee
Annual Adjustment
Recommended City Council Motion:

Approve a Resolution increasing City development impact fees by 8.0% effective July 1, 2022
Adriana Robles, City Engineer
Department of Public Works
April 12, 2022
Development Impact Fees Purpose and Benefits
 Purpose
 Pay proportionate cost of improvements to capital infrastructure and facilities required to accommodate and service a new development.
 No single development must finance a capital improvement project or new public facility.
 Benefits Community and Developers
 Community can improve facilities impacted by growth
 Developers can mitigate impacts on a “Fair Share Basis”  Developers don’t have to do extensive studies to identify impacts.

Development Impact Fees
• Street Tree Fee (often waived) • Park Impact Fee
• Storm Sewer Main Line Fee • Citywide
• Sanitary Sewer Main Line Fee • Central Area (Future Growth Area) • Traffic Fee (TFO) • West Area (Future Growth Area)
• Fire Impact Fee • Library Impact Fee
• Police Impact Fee • Recreation Impact Fee
Per Exhibits A and B
Credit provided for existing use.

No development fees are assessed for additions.

No development fees assessed on ADU.

Commercial/Industrial
Residential
Annual Inflation Adjustment
 Article V, Section 9-42 of City Code:
 9-42 (a) “…fees shall be reviewed on July 1 of each year. …shall be compared to the Engineering News Record (ENR) Construction Cost Index.”  9-42 (b) “…may be changed in accordance with the percentage change in the ENR index”
 ENR index number
 Based on average construction costs among 20 major US metropolitan areas  Factors in average labor rates and material costs
 2021-2022 ENR Construction Cost Index was 8.0%
Fiscal Impact
 Estimate Fund Balance February 28, 2022: $16.5M
Fee Category 2022 Balance Revenues
March 2021 to
Feb. 2022
Expenditures
March 2021 to
Feb. 2022
Sanitary Sewer & Storm Drain $2.6M $157K $1.0M
Parks $1.1M $46K $23K
Library $170K $41K $0
Street Trees $19K $7,119 $0
Traffic $11.3M $488K $115K
Fire $158K $75K $2K
Police $1.0M $139K $0
Total $16.5M $956K $1.1M
Recommendation
 Approve a Resolution to increase City Development Impact Fees by 8.0%, effective July 1, 2022, based on the Engineering News Record construction cost index increase over the last year.
 Not a Project. Project is categorically exempt from CEQA pursuant to Section 15378 and 15061(b)(3).

CEQA
City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#22-133, Version: 1
Extraterritorial Wastewater Service and Reimbursement Agreement between City and Salinas 101 LLC and Pre-Annexation Agreement with the County of Monterey related to a potential development within the unincorporated area of Monterey County on Harrison Road Approve Resolution(s) authorizing the Mayor to execute an Extraterritorial Wastewater Service Agreement (Sewer Agreement) and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner) and execute a Pre-Annexation Agreement with the County of Monterey related to a potential development within the unincorporated area of Monterey County on Harrison Road of Economic Development Element Economic Opportunity Area K (EDE EOA K).

City of Salinas Page 1 of 1 Printed on 4/6/2022
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Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: APRIL 12, 2022
DEPARTMENT: PUBLIC WORKS

COMMUNITY DEVELOPMENT
FROM: DAVID JACOBS, DIRECTOR

MEGAN HUNTER, DIRECTOR
BY: LISA BRINTON, ASSISTANT DIRECTOR
TITLE: EXTRATERRITORIAL WASTEWATER SERVICE AND

REIMBURSEMENT AGREEMENTS BETWEEN CITY AND
SALINAS 101 LLC AND PRE-ANNEXATION AGREEMENT WITH

THE COUNTY OF MONTEREY
RECOMMENDED MOTION:

A motion to approve resolutions authorizing the Mayor to:
1) execute an Extraterritorial Wastewater Service Agreement (Sewer Agreement) and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner), and 2) execute a Pre-Annexation Agreement with the County of Monterey for portions of Economic Development Element Economic Opportunity Area K (EDE EOA K).

RECOMMENDATION:

It is recommended that the City Council approve resolutions authorizing the Mayor to:
1) execute a Sewer Agreement and associated Reimbursement Agreement (Exhibit A and B to the resolution, Agreements) with Salinas 101 LLC (Owner) to establish the terms and conditions under which the City would allow connection to its wastewater collection and disposal system, and
2) execute a Pre-Annexation Agreement with the County of Monterey for portions of EDE EOA K.

Page | 2
EXECUTIVE SUMMARY/BACKGROUND:

On March 22, 2022, the City Council considered approving resolutions authorizing the Mayor to execute the Agreements listed above. The Board of Supervisors approved the execution of the PreAnnexation Agreement earlier that day. At the meeting, the City Council received staff’s presentation, asked questions, provided comments, and passed a motion to refer the item to the Housing and Land Use Committee (HLUC) for consideration of a recommendation to City Council. On March 29, 2022, the HLUC received staff’s presentation, asked questions, provided comments and passed a motion recommending that the City Council approve resolutions authorizing the Mayor to execute the three Agreements. This is a supplemental report to the March 22, 2022 City Council staff report. Both reports should be reviewed together as this report only focuses on the HLUC March 29th meeting and the Committee’s action.

DISCUSSION:

Information presented to the HLUC included an aerial showing the proposed project site in the context of surrounding uses and current County zoning designation (Light Commercial) and explanation that
 City policy requires an annexation application, support of future annexation or the development of farmworker housing as criteria for allowing connection to City’s collection and disposal system,
 the Sala Road proposed project cannot proceed without these Agreements in place,  the high cost of infrastructure is a deterrent to development, especially smaller projects such as farmworker housing,
 construction of a new sewer line from the proposed project to the connection point at Russell Road would remove barriers for future development of EDE Target Area K and a proposed farmworker housing project to the north of the Sala Road project, and  future annexation of Target Area K and the Sala Road project would lead to growth, development, and increased revenues for the city.

Based on the additional information presented and public comment received in support of the proposed Agreements, the HLUC unanimously passed a motion recommending City Council authorize the execution of the three Agreements. HLUC also requested that items, such as this be brought to the Committee prior to Council consideration. The video of the March 22, 2022 HLUC Meeting can be viewed here.

ATTACHMENTS:

1. March 22, 2022 City Council Agenda packet including resolutions, agreements, and staff report attachments

2. Housing and Land Use Committee Presentation (March 29, 2022)

EXTRATERRITORIALWASTEWATER SERVICE AND REIMBURSEMENT

AGREEMENTS
BETWEEN CITY AND SALINAS 101 LLC
AND

PREANNEXATION AGREEMENT FOR PORTION OF EOA K

BETWEEN THE CITY OF SALINAS AND THE COUNTY OF MONTEREY
Lisa Brinton, Assistant Director
Housing and Land Use Committee
March 29, 2022

Sewer Agreement – Terms and Conditions
Owner shall:
• Support future annexation
• obtain all permits and pay all fees to
construct New Sewer Line and private
connection
• pay a one-time development impact fee in
the amount of $64,600
• pay fees for Disposal System service
City shall:
• provide written “will serve” assurance
• ensure that Monterey One Water will accept
the wastewater and provide service
• process future annexation application(s) at
its sole expense
Owner shall:
 complete construction of New Sewer
Line
 provide evidence of Actual Costs
 have right to reimbursement of its
Actual Costs based on a wastewater
flow proration.

City shall:
 collect reimbursement from future users
 promptly pay Owner reimbursement
 provide Owner with annual financial
accounting of reimbursement collected.

Reimbursement Agreement –Terms and Conditions

• acknowledges the foreseeable annexations
• reaffirms coordination of land use entitlement and CEQA compliance as agreed to in the GSA-MOU 2019
Addendum, and
• analyzes the property tax and revenue sharing formulas between the City and the County.

Pre-Annexation Agreement
 Execution of the proposed Agreements is not a project as defined by the California Environmental Quality Act (CEQA). Section 15061 (b) (3) of CEQA Guidelines and does not constitute project approval.
 The Effective Date of the Sewer Agreement is when appropriate County approvals and entitlements and CEQA documents are prepared, approved and a Notice of Determination is filed by the County Housing and Community Development Department.
 Provided the Sala Road Project is constructed, the City intends to apply to LAFCO to annex Target Area K and the Sala Road Project. Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance.

CEQA Consideration
Fiscal Impact
Sala Road Project
 Owner, at no cost to the City, is to construct New Sewer Line  Owner to pay City $64,600 fee for downstream infrastructure impacts  City may incur future capital expenditures and other maintenance costs associated with the New Line and Disposal System upgrades
Pre-annexation Agreement
 City would receive new revenue from generated by future development in the proposed annexation area Recommendation
 Recommend that the City Council approve a resolution authorizing the Mayor to execute a Sewer Agreement and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner) to establish the terms and conditions under which the City would allow connection to its wastewater collection and disposal system.  Recommend that the City Council approve a resolution authorizing the Mayor to execute a Pre-Annexation Agreement with the County of Monterey for portions of Economic Development Element Economic Opportunity Area K (EDE EOA K).

Page | 1

CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: MARCH 22, 2022
DEPARTMENT: PUBLIC WORKS

COMMUNITY DEVELOPMENT
FROM: DAVID JACOBS, DIRECTOR

MEGAN HUNTER, DIRECTOR
BY: LISA BRINTON, ASSISTANT DIRECTOR
TITLE: EXTRATERRITORIAL WASTEWATER SERVICE AND

REIMBURSEMENT AGREEMENTS BETWEEN CITY AND
SALINAS 101 LLC AND PRE-ANNEXATION AGREEMENT WITH

THE COUNTY OF MONTEREY
RECOMMENDED MOTION:

A motion to approve resolutions authorizing the Mayor to:
1) execute an Extraterritorial Wastewater Service Agreement (Sewer Agreement) and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner), and 2) execute a Pre-Annexation Agreement with the County of Monterey for portions of Economic Development Element Economic Opportunity Area K (EDE EOA K) shown on Attachment 3 to this report.

RECOMMENDATION:

It is recommended that the City Council approve resolutions authorizing the Mayor to:
1) execute a Sewer Agreement and associated Reimbursement Agreement (Exhibit A and B to the resolution, Agreements) with Salinas 101 LLC (Owner) to establish the terms and conditions under which the City would allow connection to its wastewater collection and disposal system, and
2) execute a Pre-Annexation Agreement with the County of Monterey for portions of EDE EOA K shown on Attachment 3 to this report.

Page | 2
EXECUTIVE SUMMARY:

Owner submitted an application to the County of Monterey (County) to develop a commercial project on approximately 17.5 acres of commercially designated lands under the County of Monterey’s General Plan that is located within the County’s jurisdiction adjacent to EDE Target Area K and within the EDE Economic Development Reserve Area K near the intersection of Sala and Harrison Roads (Sala Road or Sobel Project) shown on Attachment 2 to this report. Owner has requested a Will Serve Letter from the City to construct a new sewer line (New Sewer Line) to connect to and receive service from its wastewater collection and disposal system (Disposal System). Owner and City staff have negotiated a final draft Sewer Agreement that states the terms and conditions by which the City will grant a Will Serve Letter (Attachment 6) for connection to and service from the City’s Disposal System for the Sala Road Project, which is required for the County to deem the Project’s application complete and to undertake the required environmental review and analysis for California Environmental Quality Act (CEQA) compliance. Current city policy allows for connection to and service from its Disposal System when future annexation into the City is contemplated as part of the project and/or supported by the project developers.

City staff and Owner have also negotiated a Reimbursement Agreement, which outlines the terms, conditions, methodology and process by which the Owner will be reimbursed by users or “Shared Parties” prior to future development in Target Area K and a potential farmworker housing development (Housing Project) connecting to the New Sewer Line.

Provided the Sala Road Project is constructed, the City intends to include the Sala Road Project land area and Target Area K as part of a LAFCO annexation application. The boundary of the intended annexation area (Annexation Area) is shown on Exhibit D of the Pre-Annexation Agreement. Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance.

BACKGROUND:

In 2006, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (GSA-MOU, Attachment 3) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of Monterey as “Greater Salinas Area”, replacing the Amended Boronda Memorandum of Understanding, and in part completing a condition in the settlement of litigation between the City and the County. The GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the identification of future growth areas, and the provision of adequate financing for the services and facilities of benefit to the residents of the City and of the County.

Since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (EDE, 2017) to the 2002 Salinas General Plan and the County has adopted an updated General Plan for the non-coastal areas of unincorporated Monterey County (2010). In Page | 3
the EDE, the City identifies an area outside the City’s current northern Sphere of Influence boundary as a future opportunity area for economic development. The lands which comprise EDE Economic Opportunity Area K (EOA K), or the “North Entrance” as it is referred to in the EDE, are currently within the County’s jurisdiction and are designated as public/quasi-public, open space, farmlands, permanent grazing, and commercial in the County’s General Plan. EOA K, shown and marked on Attachment 1 to this staff report and on Exhibit A of the Sewer Agreement, is comprised of a Target Area, where near to mid-term development is projected by the City, and an Economic Development Reserve Area (Reserve Area K), also identified on Attachment 1 to this staff report and on Exhibit A of the Sewer Agreement, which is to accommodate the City’s longer-term economic development needs.

Recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and desiring to coordinate planning efforts and entitlement of certain contemplated development projects either within the City’s adopted Sphere of Influence, or within those areas identified in the City’s EDE EOA K, the City and County entered into an addendum to the GSAMOU in June 2019 (2019 Addendum, Attachment 4). The 2019 Addendum is limited to two areas; one being the area north of the City’s current boundaries (the “Northern Area”). The Northern Area includes EDE Target Area K and portions of Reserve Area K and is more specifically shown on the attached Exhibit A of the 2019 Addendum. The purpose of the 2019 Addendum is to mark an initial movement of the City and the County toward a more comprehensive update to the GSAMOU. Another is to define the coordinated planning processes by which the City and the County will plan for and consider development in the aforementioned area.

DISCUSSION
Sala and Harrison Road – Proposed Retail Commercial Development The County received an application to develop a commercial project on approximately 17.5 acres of commercially designated lands under the County of Monterey’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the Reserve Area K near the intersection of Sala and Harrison Roads (Sala Road or Sobel Project). As stated in the 2019 Addendum, the County is to act as Lead Agency for purpose of application processing and environmental analysis and documentation (CEQA compliance) for the proposed project.

According to plans submitted to the County by the Owner, as currently proposed, the Sala Road Project consists of approximately 100,000 square feet of commercial uses including a hotel, retail, four quick service restaurants, and a gas station. Table 1 breaks down the proposed uses by square footage. The proposed site plan is attached to this report (Attachment 5).

Table 1
Proposed Use Building Square
Footage
Hotel 41,693
Page | 4
Retail (4) 37,300
Quick Service Restaurants (4) 11,520
Gas Station 5,511
Total 96,024
The County will not deem the Sala Road Project application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the proposed project site, Salinas 101, LLC, the owner of the Sala Road site and developer of the Sala Road Project (Owner), has requested a Will Serve Letter from the City to construct a new sewer line to connect to and receive service from its wastewater collection and disposal system (Disposal System).

Extraterritorial Wastewater Service Agreement
The City owns and operates a Disposal System which collects wastewater originating in its service area and conveys that wastewater through a 10-inch sewer main currently terminating at the intersection of Russell Road and North Main Street (Connection Point). Current city policy allows for connection to and service from its Disposal System when future annexation into the City is contemplated as part of the project and/or supported by the project developers. An exception to this policy is farmworker housing that is developed adjacent to city infrastructure connection points. Extension of wastewater service outside the City’s boundaries to a portion of the unincorporated County also requires agreement by M1W (Monterey One Water), a Joint Powers Authority (JPA), to accept the wastewater. The Sala Road Project site is within the M1W JPA boundaries and is not subject to LAFCO action(s) to receive service.

The Owner and city staff have negotiated a final draft Sewer Agreement that states the terms and conditions by which the City will grant a Will Serve Letter for connection to and service from the Disposal System for the Sala Road Project, which is required for the County to deem the Project’s application complete and to undertake the required environmental review and analysis for CEQA compliance. A draft Will Serve Letter is attached to this staff report as Attachment 6 and is to be provided to the Owner within five (5) business days of mutual execution of the Sewer Agreement.

The Effective Date of the Sewer Agreement is when appropriate County approvals and entitlements and CEQA Notice of Determination is filed by the County Housing and Community Development Department. Key terms and conditions of the Sewer Agreement are summarized below.

Owner shall:
 reasonably support future annexation of Sala Road Project site by the City,  obtain all permits and pay all fees to construct a 10-inch sewer line (New Sewer Line) from Sala Road Project site to the City Connection Point,
 pay a one-time development impact fee to the City in the amount of $64,600 to address downstream impacts and system upgrades resulting from the Project, Page | 5
 maintain the New Sewer Line pre-dedication to the City,  dedicate the New Sewer Line to the City at no charge upon completion of construction,  provide a 1-year warranty for defective work, labor, and materials,  obtain all permits and pay all fees to construct and maintain private line(s) connecting Sala Road Project to the New Sewer Line according to city standards (Laterals),  prohibit any other users from connecting to the New Sewer Line without City approval; and
 pay fees for Disposal System service.

The City shall:
 provide written “will serve” assurance for access to Disposal System to Owner within five (5) days of execution of the Sewer Agreement,
 ensure that Monterey One Water will accept the wastewater and provide service,  process future annexation application(s) at its sole expense,  not unreasonably withhold, condition, or delay respective permits,  have right to maintain, repair or modify the New Line due to Owner’s failure to maintain, and request reimbursement for maintenance costs incurred by City,  be solely responsible for the maintenance, repair, and replacement of the New Sewer Line upon acceptance,
 not allow any connection to the New Sewer Line (other than Owner’s Private Sewer Facilities) prior to dedication; and
 concurrently enter into a reimbursement agreement providing for developers of, and users within, the Target Area K and the proposed farmworker housing project (Housing Project) to reimburse Owner their proportionate share of costs for building the New Sewer Line.

Reimbursement Agreement
The Reimbursement Agreement, provided as Exhibit B to the attached resolution outlines the terms, conditions, methodology and process by which the Owner will be reimbursed by users or “Shared Parties” prior to future development in Target Area K and proposed farmworker housing (Housing Project) connecting to the New Line. The term of the Reimbursement Agreement is thirty (30) years, or until such time as Owner is reimbursed for eligible Actual Costs as defined in Exhibit C of the Reimbursement Agreement. Key terms and conditions of the Reimbursement Agreement are summarized below.

Owner shall:
 complete construction of New Sewer Line,
 provide City invoices or other evidence of eligible costs to determine Actual Costs as defined in Exhibit C, and
 have right to reimbursement of its Actual Costs by future users desiring to connect to the New Sewer Line according to the methodology described in Exhibit E, which is based on a wastewater flow proration.

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City shall:
 collect and pursue reimbursement from future users (Sharing Parties) prior to issuance of a building permit for connecting to the New Sewer Line based on the formula described in Exhibit E,
 promptly pay Owner reimbursement received from Shared Parties, and  provide Owner with annual financial accounting of reimbursement collected.

The City may allow property owners in Reserve Area K to connect to the New Sewer Line provided the City determines the New Sewer Line has sufficient capacity. Owners in Reserve Area K allowed to connect to the New Line would be added to and bound by the user terms and conditions outlined in the Reimbursement Agreement.

EOA K Pre-Annexation Agreement with County of Monterey
Target Area K Specific Plan
A primary property owner of Target Area K has submitted applications for a specific plan (Steinbruner Project). The specific plan area includes potential future development of approximately 123 acres of undeveloped agricultural zoned land located within the County’s jurisdiction but within the City’s Target Area K (Monterey County Assessor’s Parcel Numbers 113-151-002, 113-15-011, and a portion of 113-161-018). Proposed uses are to be consistent with the City’s EDE policies and identified land uses of Business Park and Commercial Retail.

An annexation application was received as part of the Steinbruner Project submittal. Provided the Sala Road Project is constructed the City intends to include the Sala Road Project land area and approximately 30 acres of retail/commercial zoned developed/underdeveloped lands within Target Area K to the west of Harrison Road that are not included within the Steinbruner Project boundary as part of a LAFCO annexation application. The boundary of the intended annexation area (“Annexation Area”) is shown on Attachment 8 of this report.

LAFCO Policies and Procedures
Government Code Section 56425 requires a City-County consultation prior to submittal of the application to LAFCO. Agreement between the Parties should address LAFCO’s mandate to preserve agricultural land, discourage urban sprawl, and encourage the orderly growth in government agencies, and should include a discussion of policies on regional transportation impacts and efficient development patterns. LAFCO further requires a property tax transfer agreement, approved by both the City Council and the County Board of Supervisors, to determine an application for Sphere of Influence/Annexation to be complete.

The GSA-MOU and 2019 Addendum address the topics of preservation of agricultural land, discouraging urban sprawl, encouraging the orderly growth in government agencies, and include a discussion of policies on regional transportation impacts and efficient development patterns. In April 2008, the City and the County entered into a Master Property Tax Transfer Agreement by adoption of Salinas City Council Resolution No. 19423 and Monterey County Board of Page | 7
Supervisors Resolution 80-249 (Master Tax Agreement). The Master Tax Agreement, provided as Exhibit F to the final draft Pre-Annexation Agreement, establishes the uniform property tax formula to be used as the basis for city annexations and remains in effect until January 1, 2023.

Pre-Annexation Agreement
The purpose of this Pre-Agreement is to acknowledge the foreseeable annexations, reaffirm coordination of land use entitlement and CEQA compliance as agreed to in the GSA-MOU 2019 Addendum, and to analyze the property tax and revenue sharing formulas between the City and the County. Key terms negotiated terms include the following.

Duration: This Agreement shall remain in full force and effect for a term of five (5) years from the Effective Date with the ability to extend an additional five (5) years upon mutual agreement.

Amendments: The City and the County may amend this Agreement by written amendment mutually executed by both Parties. Such amendments shall not invalidate this Agreement or relieve or release either party from its obligations under this Agreement unless expressly stated to by such amendment.

Consideration of Annexation:
a) The County supports LAFCO’s annexation policies and application processes that provide opportunity to annex unincorporated areas to ensure the orderly and efficient provision of municipal services to the areas annexed and which encourage cities to consult with affected special districts to ensure that an annexation will not adversely affect the districts’ ability to continue to provide services outside of the proposed annexation area.
b) Subject to compliance with all laws and regulations, including the California Environmental Quality Act, the County agrees to acknowledge the contemplated annexation of land within the Annexation Area to the City. c) The County agrees to cooperate in good faith with the City in the preparation of the annexation application materials to LAFCO for the land within the Annexation Area.

Development Standards Pre- and Post-Annexation:
a) Projects proposed to be developed prior to annexation, will be processed and permitted in accordance with County development standards. Prior to consideration of the proposed projects, the County may seek City input on design related components of the proposed projects.
b) Upon annexation, the Projects may be developed subject to the same policies and development standards that would be applied to other properties in the City under similar circumstances including, but not limited to, the Salinas General Plan and Salinas Zoning Code.

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Property Tax, Sales Tax, and Transient Occupancy Tax Sharing; City Measure Taxes:

Upon annexation, the City and County agree to share the additional property, sales and transient occupancy tax revenues generated from the Annexation Area pursuant to the following formulas:
a) Property Tax. City and County proportional sharing of property taxes as stated in the Master Tax Agreement shall remain effective until revised. The City and County will further discuss and analyze the Master Tax Agreement consistent with LAFCO laws and procedures and as provided in the GSA-MOU 2019 Addendum. b) Transient Occupancy Tax (TOT). Parties agree that County will retain 100% of TOT generated from the Annexation Area prior to annexation into the City. Post-annexation, City shall receive 100% of the TOT generated from the areas annexed. c) City Measure Taxes. Post-annexation the City shall receive 100% of the tax revenues attributable to City tax measures (Measure E, Measure G) generated from the areas annexed.
d) Cannabis Tax Revenue. Parties agree that County will retain 100% of cannabis tax revenue generated from the Annexation Area prior to annexation into the City. Post-annexation, the City shall receive 100% of the cannabis tax revenues generated within the areas annexed.

CEQA CONSIDERATION:

The City of Salinas has determined that the action of authorizing the execution of the proposed Agreements is not a project as defined by the California Environmental Quality Act (CEQA).

Section 15061 (b) (3) of CEQA Guidelines states that when it can be seen with certainty that there is no possibility that the activity in question, in this case the execution of the Agreements, may have a significant effect on the environment, the activity is not subject to CEQA. The execution of the Agreements does not constitute approval of the Sala Road Project or New Sewer Line. Upon execution to the Sewer Agreement, the City may grant a Will Serve Letter for Owner to demonstrate it has a wastewater treatment plan so that the County may proceed to process Owner’s application and required CEQA compliance. The Effective Date of the Sewer Agreement is when appropriate County approvals and entitlements and CEQA documents are prepared, approved and a Notice of Determination identifying any environmental impact and proposed mitigation resulting from the proposed Sala Road Project and New Sewer Line is filed by the County Housing and Community Development Department.

Provided the Sala Road Project is constructed, the City intends to apply to LAFCO to annex Target Area K and the Sala Road Project. Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance.

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STRATEGIC PLAN INITIATIVE:

Future implementation of these Agreements support City Council Strategic Plan initiatives of Investment Strategies and Risk Management and New Revenue. The Sewer Agreement establishes the terms and conditions by which the Owner, at its own expense, an estimated cost of $2 million dollars, shall construct new infrastructure, a New Sewer Line, to connect the Sala Road Project to the City’s Disposal System. In addition, the Agreements outline the terms and conditions under which future development and users in Target Area K, proposed farmworker housing, and potentially future development in Reserve Area K could connect to the New Sewer Line and the City’s Disposal System by paying their proportional share of the cost of the New Sewer Line. This approach is less costly and time-intensive for future developments than having to construct a sewer line for an individual project. Provided the Sala Road Project is constructed, the City intends to apply to LAFCO to annex Target Area K and the Sala Road Project. Upon future annexation, the City would receive new revenue from sales tax, transient occupancy tax and a percentage share of property tax generated by development in the Annexation Area.

DEPARTMENTAL COORDINATION:

Community Development coordinated preparation of the three (3) Agreements and staff report.

City staff from Community Development, Public Works, Administration and the City Attorney’s Office held multiple coordination meetings with the Owner to reach the proposed terms and conditions for the Sewer and Reimbursement Agreements. For nearly two years the City has been in discussions with the County to negotiate a final draft Pre-Annexation Agreement to bring to the City Council and Board of Supervisors for consideration.

FISCAL AND SUSTAINABILITY IMPACT:

There are no direct or indirect fiscal impacts associated with preparation of the three (3) Agreements, this report or the authorization to execute these Agreements. Staff time for coordination, review and implementation of projects and issues is already allocated in the adopted budget.

Under the Sewer Agreement, the Owner, at no cost to the City, is to obtain all permits and to pay all fees to construct a 10-inch sewer line (New Sewer Line) from the Sala Road Project site to connect to the Disposal System. Estimated cost of constructing the New Sewer Line is approximately $2 million dollars. In addition, Owner is to pay the City a one-time, down-stream capacity impact fee of $64,600 to address required system infrastructure improvements to support the increase in wastewater flow from the Sala Road Project, future Target Area K and Housing Project development. At some point in the future, the City may incur capital expenditures and other maintenance costs associated with the New Line and Disposal System upgrades based on future development in Reserve Area K.

These future costs will need to be incorporated into future CIP and General Fund operational budgets.

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As stated above, the City intends to apply to LAFCO to annex Target Area K and the Sala Road Project, provided the Sala Road Project is constructed. Upon future annexation, the City would receive new revenue from sales tax, transient occupancy tax and a percentage share of property tax generated by development in the annexation area. The amount of future revenue would be dependent on future development and the property tax revenue sharing percentage split with the County. The term of the 2008 Master Tax Agreement ends January 1, 2023, therefore the City and County have agreed to further discuss and analyze the Master Tax Agreement consist with LAFCO laws and procedures and as provided in the GSA-MOU 2019 Addendum.

ATTACHMENTS:

1. Resolution authorizing Mayor to execute
a. Exhibit A: draft Extraterritorial Wastewater Service Agreement b. Exhibit B: draft Reimbursement Agreement

2. Resolution authorizing Mayor to execute
a. Exhibit A: draft Pre-Annexation Agreement

3. Northern Economic Opportunity Area K Figure

4. 2006 GSA- MOU

5. 2019 Addendum to GSA-MOU

6. Proposed Sala Road Project Site Plan

7. Draft Will Serve Letter

8. Annexation Area Figure
1 RESOLUTION NO. (N.C.S.)

RESOLUTION BY THE SALINAS CITY COUNCIL AUTHORIZING THE MAYOR TO

EXECUTE AN EXTRATERRITORIAL WASTEWATER SERVICE AGREEMENT AND ASSOCIATED REIMBURSEMENT AGREEMENT WITH SALINAS 101 LLC WHEREAS, in 2006, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI); and
WHEREAS, the GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County; and WHEREAS, since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (EDE, 2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010); and
WHEREAS, in its EDE the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development. Area K, shown and marked on Attachment 1, is comprised of a Target Area K (“Target Area K”), where near to mid-term development is projected by the City, and an Economic Development Reserve area (“Reserve Area K”), also identified on Attachment 1, which is to accommodate the City’s longer-term economic development needs; and
WHEREAS, recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and current planned or contemplated development projects, and desiring to cooperate in the planning of certain development projects either within the current boundaries of the City or its adopted SOI, or within those areas identified in the City’s EDE, the City and County entered into an Addendum to the GSA-MOU in June 2019; and WHEREAS, Salinas 101 LLC (Owner) has submitted an application to the County of Monterey to develop a commercial project on approximately 17.5 acres that is located within the County’s jurisdiction adjacent to Target Area K and within the Reserve Area K near the intersection of Sala and Harrison Roads (Sala Road or Sobel Project), as identified on Attachment 1; and
WHEREAS, the County will not deem Owner’s application complete without a wastewater treatment plan; and
WHEREAS, since neither the County nor any other public agency currently provides wastewater service to the Property, Owner has requested a Will Serve Letter from the City to connect to its wastewater collection and disposal system; and 2 WHEREAS, City currently owns and operates a wastewater collection system which collects wastewater originating in its service area and conveys that wastewater through the City collection and disposal system (Disposal System); and WHEREAS, current city policy allows for connection and service from its Disposal System when future annexation into the City is contemplated as part of the project and/or supported by the project developers; and
WHEREAS, extension of wastewater service outside the City’s boundaries to a portion of the unincorporated County will require agreement by M1W (Monterey One Water), a Joint Powers Authority (JPA), to accept the wastewater. The property is within the M1WJPA boundaries and JPA’s are not subject to LAFCO action(s) to serve their customers; and WHEREAS, Owner and city staff have negotiated a final draft Extraterritorial Wastewater Service Agreement (Sewer Agreement) that states the terms and conditions by which the City will grant a Will Serve Letter for connection (New Sewer Line) to and service from the Disposal System for the Sala Road Project (Exhibit A); and
WHEREAS, Owner and city staff have also negotiated a Reimbursement Agreement to outline the terms, conditions, methodology and process by which the Owner will be reimbursed by users or “Shared Parties” prior to future development in Target Area K and a proposed farm worker housing project connecting to the New Sewer Line (Exhibit B); and WHEREAS, execution of the Extraterritorial Wastewater Service and Reimbursement Agreement does not constitute approval of the Sala Road Project or New Sewer Line. Upon execution to the Sewer Agreement, the City will grant a Will Serve Letter for Owner to demonstrate it has a wastewater treatment plan so that the County may proceed to process Owner’s application and required California Environmental Quality Act (CEQA) compliance; and WHEREAS, the Effective Date of the Sewer Agreement is when appropriate County approvals and entitlements and CEQA documents are prepared, approved and a Notice of Determination identifying any environmental impact and proposed mitigation resulting from the proposed Sala Road Project and New Sewer Line is filed by the County Housing and Community Development Department; and
WHEREAS, provided the Sala Road Project is constructed, the City intends to submit and application to LAFCO to annex the Sala Road Project and Target Area K land area (Annexation Area; and
WHEREAS, City and County have negotiated a pre-annexation agreement to reaffirm coordination of land use entitlement and CEQA compliance as agreed to in the GSA-MOU 2019 Addendum, and to outline the timing and process to establish property tax and revenue sharing formulas between the City and the County to ensure the Parties’ capacity to adequately provide the necessary services to the proposed Annexation Area; and 3 WHEREAS, at the same meeting, the City Council approved a Resolution ________(N.C.S.) authorizing the execution of the Pre-Annexation Agreement for portions of EOA K between the City and County; and
WHEREAS, the City of Salinas has therefore determined that the action of authorizing the execution of the proposed Agreements is not a project as defined by CEQA. Section 15061 (b) (3) of CEQA Guidelines states that when it can be seen with certainty that there is no possibility that the activity in question, in this case the execution of the Agreements, may have a significant effect on the environment, the activity is not subject to CEQA.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council hereby a. affirms the foregoing recitations are true and correct, and are included herein by reference as findings, and
b. authorizes the Mayor to execute an Extraterritorial Wastewater Service Agreement (Exhibit A) and associated Reimbursement Agreement (Exhibit B) with Salinas 101 LLC.

PASSED AND APPROVED this 22nd day of March 2022, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

APPROVED:
________________________
Kimbley Craig, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
Attachment
4 1. Northern Area - Economic Opportunity Area Map
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Recording Requested by and
When Recorded Return to:

NO FEE-Government Code §6103
(Space Above This Line for Recorder's
Office Use Only)
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EXTRATERRITORIAL WASTEWATER SERVICE

AGREEMENT
This Extraterritorial Wastewater Service Agreement ("Agreement") is made and entered into this _ _ _ _ _ day of March 2022 (the "Commencement Date"), by and between the SALINAS 101 LLC, a California limited liability company, and/or ASSIGNEE (“Owner”), and the CITY OF SALINAS, a California charter city and municipal corporation ("City").

RECITALS
A. In 2006, as a replacement to the Amended Boronda Memorandum of Understanding and in part to complete a condition in the settlement of litigation between the City and the County of Monterey (“County”), the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI).

B. The GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County.

C. Since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010).

D. In its Economic Development Element, the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development.

The lands which comprise Area K (the “North Entrance,” as it is referred to in the Economic Development Element) are currently within the County’s jurisdiction and are designated as public/quasi-public, open space, farmlands, permanent grazing, and commercial in the County’s General Plan. Area K, shown and marked on Exhibit A, is comprised of a Target Area K (“Target Area K”), where near to mid-term development is projected by the City, and an Economic Development Reserve area (“Reserve Area K”), also identified on Exhibit A, which is to accommodate the City’s longer-term economic development needs.

E. Recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and current planned or contemplated development projects and desiring to cooperate in the planning of certain development projects either within the current boundaries of the City, or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas, the City and County entered 2 | P a g e
into an Addendum to the GSA-MOU in June 2019.

F. Owner represents it has acquired lawful title to property currently located within the unincorporated area of Monterey County identified by Monterey County Assessor's Parcel Number 113-091-017, of approximately 17.5 acres, as described in Legal Description in Exhibit B located near the intersection of Sala Road and Harrison Road (the "Property"), and generally depicted as Parcel 113-091-017 on the Assessor’s Parcel Map described in Exhibit C. G. Owner proposes to develop a commercial project on commercially designated lands under the County of Monterey’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the City’s Economic Development Reserve Area K and has submitted a project application to the County.

H. As stated in the 2019 Addendum to the GSA-MOU, the County may consider a proposal to develop a commercial project on commercially designated lands under the County’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the Reserve Area K. The City and County agree to coordinate efforts to process land use entitlements for the potential development of Area K. The County is to act as Lead Agency for purpose of application processing and environmental documentation (CEQA Compliance) for the proposed project.

I. The County will not deem Owner’s application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the Property, Owner has requested a Will Serve Letter from the City to connect to its wastewater collection and disposal system.

J. City currently owns and operates a wastewater collection system which collects wastewater originating in its service area and conveys that wastewater through the City disposal system. This wastewater collection and disposal system includes a 10-inch sewer main currently terminating at the intersection of Russell Road and North Main Street (“Connection Point”). The City's wastewater collection and disposal system including wastewater service is referred to herein as the "Disposal System”.

K. Extension of wastewater service outside the City’s boundaries to a portion of the unincorporated County will require agreement by M1W (Monterey One Water), a Joint Powers Authority (JPA), to accept the wastewater. The property is within the M1W JPA boundaries and JPA’s are not subject to LAFCO for actions to serve their customers.

L. City has reviewed studies prepared by the Owner, at Owner’s cost t o c a l c u l a t e the anticipated wastewater generation from the proposed project to be located on the Property, determine the wastewater line size to serve the Property and potential other development along Harrison Road in EDE Target Area K, Reserve Area K and a proposed farmworker housing project located in Reserve Area K, north of the Property (“Housing Project”), 3 | P a g e
(as identified on Exhibit A) and projected impact to the City’s downstream wastewater system capacity.

M. If, and when the City moves forward with the annexation of Area K, the Owner shall reasonably support and cooperate with the City in the annexation of the Owner’s Property into the City at the sole expense of the City.

AGREEMENT
NOW, THEREFORE, City and Owner agree to the following terms by which the City will grant a Will Serve Letter for connection to the City’s Disposal System.

ARTICLE I. RIGHTS AND OBLIGATIONS

1. Recitals Incorporated. The recitals set forth above are true and correct and are hereby incorporated into and made a part of this Agreement.

2. Term, Ownership and Effectiveness of Agreement. This Agreement shall become binding on both parties upon signature execution by both parties hereto and within five (5) business days from its mutual execution the City will provide “will serve” assurance to the Owner for access to the City’s Disposal System in the form of a written letter or other written instrument. Further, this Agreement shall become effective (the Effective Date) when appropriate County Planning approvals and entitlements are noticed by the County Housing and Community Development Department, along with CEQA Documentation (Notice of Determination filed).

The Effective Date shall act as a trigger to implement the Agreement. The Agreement shall continue until such time as the Property is annexed into the corporate boundaries of City, except the parties’ representations, indemnities and warranties herein shall survive such annexation.

At such time, the Owner and/or its tenants shall have such rights, privileges and duties, including fees and rates, as all other City citizens for the then current wastewater disposal classification.

3. Location for Connection to City Disposal System. Owner and City acknowledge the nearest City municipal sanitary sewer lateral to serve the Property will be at the Connection Point. Connection to City's Disposal System by Owner shall be made at this location. The Owner, at Owner’s expense, has prepared and provided to the City a sewer capacity study and analysis from the Connection Point through the City’s downstream Disposal System. The City has reviewed and accepted the study prepared by the Owner. 4. New Sewer Line. Owner shall construct, at Owner's cost, a new ten (10) -inch sewer line (the ''New Sewer Line") within the right of way of Harrison Road from the City Connection Point to a point on Harrison Road adjacent to the Property. The New Sewer Line will then be connected to the Property via a lateral connection on to the Property, to be 4 | P a g e
installed by the Owner to City standards, including all road cuts, patching, permits, and inspections to connect the Property to City's Disposal System. Owner will obtain and pay fees for County and City encroachment permits and building permits to construct the New Sewer Line, which will be proportionally reimbursed by users of the New Sewer Line, as provided in the Reimbursement Agreement described in Section 6 below.

5. Standards and Permits for New Sewer Line. Owner represents, warrants and covenants to the City that Owner shall construct the New Sewer Line after receiving all respective County and City permits and that the New Sewer Line will be constructed in accordance with City standards and all respective laws. Any City permits to build the New Sewer Line will not be unreasonably withheld, conditioned or delayed, including but not limited to, City encroachment and building permits.

6. Reimbursement for Owner’s Costs of New Sewer Line. C i t y a n d O w n e r a re c o n c u r r e n tl y e n t e r i n g i n t o a Reimbursement Agreement that provides for developers of, and users within, the Target Area K, Reserve Area K, the Housing Project and other areas, based on Disposal System capacity, to reimburse Owner their proportionate share of costs for building the New Sewer Line. The term of said agreement shall be a minimum of thirty (30) years but in no instance terminate before Owner is fully reimbursed its proportionate costs, unless Owner and City agree to an earlier termination. Fair share cost for reimbursement will be calculated by a wastewater flow methodology, as more particularly provided in the Reimbursement Agreement.

7. Maintenance of New Sewer Line Prior to Acceptance by City. Until the New Sewer Line is dedicated to and accepted by City (at which time City shall maintain, repair and replace the New Sewer Line at the City’s sole cost and expense, subject to the terms of Paragraph

9.c below), Owner shall, at its sole cost and expense, maintain and repair the New Sewer Line.

City's sign off and acceptance of the New Sewer Line shall not be unreasonably withheld, conditioned or delayed. Prior to dedication to the City, Owner's obligation to maintain, repair and replace the New Sewer Line shall include, without limitation, any maintenance, repair or modification of the New Sewer Line that may be reasonably required by City. Should Owner fail to appropriately maintain, repair or modify the New Sewer Line prior to such dedication, then City shall have the right, but not the obligation, to maintain, repair or modify the New Sewer Line. Prior to such dedication, should City elect to maintain, repair or modify the New Sewer Line pursuant to this paragraph, then Owner shall reimburse City for all reasonable fees, costs and expenses incurred by City to maintain, repair or modify the New Sewer Line within sixty (60) days after the date of invoice from City. This provision shall only apply to the New Sewer Line and the Owner shall not be responsible for maintenance or repair of the City’s Disposal System.

The City shall not allow any connections to the New Sewer Line unless and until the New Sewer Line is dedicated to and accepted by the City.

8. Maintenance of Private Sewer Facilities. The sewer lateral installed by Owner within the City or County right of way extending to the New Sewer Line, and all facilities on the 5 | P a g e
Property or within private streets within the Property, shall be private ("Private Sewer Facilities"). It is the sole responsibility of Owner to repair, maintain and replace all Private Sewer Facilities.

9. Dedication of New Sewer Line to City. As soon as the Owner completes construction of the New Sewer Line from the existing Connection Point at Russell Road and North Main Street to the Property (which will allow Owner to begin using the New Sewer Line), the following shall occur (collectively the "Sewer Service Provisions"):
a. Owner shall make an irrevocable offer of dedication, free of charge, of the entire New Sewer Line to City. City agrees to accept said dedication and conveyance within ninety (90) days and shall not be unreasonably withheld, conditioned or delayed. b. All easements necessary for the New Sewer Line shall be conveyed to City and shall be in a form reasonably acceptable to City. c. Owner shall remedy any defective work or labor, or any defective materials relating to the construction and installation of the New Sewer Line and pay for any damage to other work or improvements resulting therefrom which shall occur within a period of one (1) year from the date of City's acceptance of the New Sewer Line. d. Prior to its acceptance by City, City shall not allow any connection to the New Sewer Line (other than Owner’s Private Sewer Facilities), and Owner shall not allow any connection to the New Sewer Line except as authorized by City, and concurrently upon execution of this Agreement the City shall ensure that Monterey One Water will accept the wastewater.
e. Except as provided in subparagraph 9.c. New Sewer Line upon the City’s acceptance of the New Sewer Line, and agrees to hold harmless, defend and indemnify the Owner and its officers directors, managers, members, shareholders, employees, agents, representatives, contractors, successors and assigns from any claims arising from or related to the New Sewer Line after the City’s acceptance of same, including 9.c above.

10. City to Provide Sewer Services. Upon Owner's full and complete performance of all of Owner's obligations and responsibilities under this Agreement, and completion of construction of the New Sewer Line from the existing Connection Point at Russell Road and North Main Street to the Property, City agrees to provide Owner's Property with sewer services from City's Disposal System commensurate with payment of City Sewer service fees by each end user. City's obligation to provide Owner’s Property with wastewater services from City's Disposal System is conditioned upon City and Owner obtaining the consent of all applicable governmental agencies, which both Owner and City shall diligently pursue. As a condition to providing sewer
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service, City shall have the right of access to the New Sewer Line and water meters, including any required irrigation meter(s). Owner relinquishes ownership rights of effluent it discharges into the City's Disposal System.

11. Obligations and Responsibilities of Owner to Pay for Municipal Utility Services Provided by City. Owner and/or Owner’s tenants shall agree to promptly pay to City any and all statutory and/or customary connection and service fees, development impact fees, the downstream improvement contribution described in Section 12 below, permitting fees, plan check fees associated with connection and construction of the New Sewer Line. These fees can be added to the total cost of construction and be included in the Reimbursement Agreement. Owner and/or Owner’s tenants agree to apply to City for a municipal utility sewer account and maintain its sewer municipal utility service account with City in a current status.

12. Upgrading the System. The City has determined, and the Owner has agreed to pay, a fair share one-time contribution of sixty-four thousand six hundred dollars ($64,600.00) for downstream improvements to the City’s Disposal System. This amount shall be adjusted every January 1 in accordance with the Engineering News Record (ENR) construction cost index until the contribution is received by the City. The Owner will make this fair share onetime contribution concurrent with receiving the first grading or building permit, whichever is f irst, for the Property. The City will analyze and be responsible for upgrading the system within the City limits at no additional cost to the Owner and/or Owner’s tenants.

13. Indemnification of the City. Until such time that the New Sewer Line is dedicated to and accepted by the City, to the greatest extent allowed by law, Owner shall indemnify, defend, and hold harmless the City and its officers, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs, and damages incurred by the City, Owner, or any other person, and from any and all claims, demands, liabilities, damages, and actions in law or in equity (including attorney’s fees and litigation expenses incurred by the City or held to be the liability of the City, including plaintiffs’ attorney fees, if awarded), arising or alleged to have arisen directly or indirectly out of the making of this Agreement for the performance of any and all work related to and arising or alleged to have arisen directly or indirectly in any way related to the design, construction, installation, maintenance, and operation of the New Sewer Line including, without limitation, any such claims, causes of action, damages, liabilities, fees, costs, expenses, and attorney’s fees arising from inadequate flow, blockage, backflow, etc. Owner’s obligation under the preceding sentence shall apply regardless of whether Owner or any of its officers, officials, employees, agents, or volunteers are passively negligent, but shall not apply to any loss, liability, fines, penalties, forfeitures, costs or damages caused by the active or sole negligence of the City or any of its officers, officials, employees, agents, or volunteers. This section shall survive termination or expiration of this Agreement; however, Owner’s obligations herein shall terminate and be of no further force or effect upon the City accepting dedication of the New Sewer Line.

14. Covenants Running with the Land. Owner a n d t h e C i t y acknowledge 7 | P a g e
and agrees all of Owner’s a n d C i t y ’ s covenants, agreements, promises, representations and warranties as set forth in this Agreement are covenants running with Owner's Property as defined in the applicable provisions of Sections 1457 et seq. of the California Civil Code, shall be in favor of and for the benefit of City and Owner and shall be enforceable by City and Owner and their successors and assigns. The parties’ covenants, agreements, promises, representations and warranties as contained in this Agreement, shall run with the Property and shall be binding on the parties and their successors, assigns, lessees and all parties and persons claiming under them. Owner consents to this Agreement being recorded as a covenant running with the Property.

15. Successors and Assigns. The covenants and agreements contained in this Agreement shall be binding upon and shall inure to the benefit of the heirs, successors and assigns of the parties hereto. Own er shal l pr omptly n otif y Ci ty of any as signment by Own er of its rights an d obli gatio ns h ereun der. Assignment of this Agreement shall relieve Owner of its obligations and responsibilities under this Agreement and obligate Owner’s assignee to comply with the terms of this Agreement.

16. 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 personally, transmitted by facsimile or email followed by telephone or electronic confirmation of receipt, or sent by United States registered or certified mail, with postage prepaid, return receipt requested, addressed to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given two (2) days after the mailing thereof. All notices regarding any new or increased fee or rate increases affecting the applicable fees and rates in this Agreement shall be provided in the same manner provided to all customers subject to the new or increased fees and charges.

17. Binding. Once this Agreement is signed by all parties, it shall be binding upon, and shall inure to the benefit of, both parties. Although the Agreement is binding on both parties upon signature and provides the Owner with the City’s commitment to provide connection to and service from the City’s Disposal System (“will serve”), it only becomes effective upon receiving appropriate planning entitlements to build a project on the Property.

18. Compliance with the Law. In providing the services required under this Agreement, Owner a n d C i t y shall at all times comply with all applicable laws of the United States, the State of California, the City, the County, and with all applicable regulations promulgated by federal, state, regional, or local administrative and regulatory agencies, now in force and as they may be enacted, issued, or amended during the term of this Agreement.

Owner, not City, is responsible for determining applicability t o O w n e r ’ s p e r f o r m a n c e s h e r e i n of and compliance with all local, state and federal laws including, without limitation, the California Labor Code, Public Contract Code, Public Resources Code, Health & Safety Code, and Government Code; the City Charter; and the County 8 | P a g e
Codes. City makes no representations regarding the applicability of any such laws to this Agreement, the project, or the parties' respective rights or obligations hereunder including, without limitation, payment of prevailing wages, competitive bidding, subcontractor listing, or other matters. City shall not be liable or responsible, in law or equity, to any person for Owner' failure to comply with any such laws, whether City knew or should have known of the need for Owner to comply, or whether City failed to notify Owner of the need to comply.

19. 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 a 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.

20. Public Health, Safety, and Welfare. Nothing contained in this Agreement shall limit City's authority to exercise its police powers, governmental authority or take other appropriate actions to address issues of public health, safety and welfare as deemed appropriate by City in its sole determination and discretion.

21. Governing Law and Venue. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of California, excluding, however, any conflict of laws rule which would apply the law of another jurisdiction. Venue for purposes of the filing of any action regarding the enforcement or interpretation of this Agreement and any rights and duties hereunder shall be Monterey County, California.

22. 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.

23. Severability. The provisions of this Agreement are severable. The invalidity or unenforceability of any one provision in this Agreement shall not affect the other provisions.

24. Interpretation. The parties acknowledge that this Agreement in its final form is the result of the combined efforts of the parties and that, should any provision of this Agreement be found to be ambiguous in any way, such ambiguity shall not be resolved by construing this Agreement in favor of or against either party, but rather by construing the terms in accordance with their generally accepted meaning.

25. Attorney's Fees. If either party is required to commence any proceeding or legal action to enforce or interpret any term, covenant or condition of this Agreement, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable attorney's fees, costs and legal expenses.

26. Exhibits. Each exhibit and attachment referenced in this Agreement is, by the reference, incorporated into and made a part of this Agreement. 9 | P a g e

27. Precedence of Documents. In the event of any conflict between the body of this Agreement and any exhibit or attachment hereto, the terms and conditions of the body of this Agreement shall control and take precedence over the terms and conditions expressed within the exhibit or attachment. Furthermore, any terms or conditions contained within any exhibit or attachment hereto, which purport to modify the allocation of risk between the parties provided for within the body of this Agreement, shall be null and void.

28. Time of Essence. Time is of the essence in the fulfillment by the parties hereto of their obligations under this Agreement.

29. Amendment. No amendment or waiver of any provisions of this Agreement, or consent to any departure from its terms, shall be effective unless the same shall be in writing and signed by the parties hereto.

30. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity, except Owner (i) cannot seek money damages or pursue an action in law; and (ii) is instead limited to bringing a proceeding in the nature of specific performance, injunctive relief or mandamus, or any other action in equity to require good-faith compliance with this Agreement, such as an action to provide Owner's Property with sewer services from City's Disposal System.

31. 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.

32. Extent of 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 City and Owner.

33. Third Party Approvals. The parties acknowledge that there are approvals from third parties that are required to allow the City to provide the Owner's Property with sewer services from the City's Disposal System. The approvals are conditions precedent to performance, and the City and Owner shall cooperatively seek said third-party approvals in good faith. LAFCO approvals are not required to obtain either County entitlement approvals or Monterey One Water acceptance of wastewater from the Property. It is acknowledged that LAFCO approvals are required for future annexation of the Property to the City of Salinas. The Owner 10 | P a g e
agrees it will not protest a future annexation of the property by the City.

34. Execution in Counterparts. This Agreement may be executed in counterparts, including electronically, all of which taken together shall constitute an original hereof.

IN WITNESS WHEREOF, the parties have executed this Agreement at Salinas, California, the day and year first above written.

CITY OF SALINAS, a California charter city and municipal corporation ____________________________________
Kimbley Craig, Mayor
200 Lincoln Avenue
Salinas, CA 93901
APPROVED AS TO FORM:
____________________________________
Christopher A. Callihan, City Attorney
ATTEST:
_____________________________________
Patricia M. Barajas, City Clerk
OWNER
SALINAS 101 LLC, a California
limited liability company, and/or ASSIGNEE
By: The Sobel Company, Inc.

Managing Member
_____________________________________
Bradley A. Sobel, President
The Sobel Company, Inc.
9454 Wilshire Boulevard
Suite 210
Beverly Hills, CA 90212
11 | P a g e
Attn: Bradley Sobel
Phone: 310-277-4697
Email: [email protected]
Exhibits:

A. EDE Economic Opportunity Area K Map
B. Legal Description of Property
C. Assessor’s Parcel Map
EXHIBIT "A"
EDE Economic Opportunity Area K Map
EXHIBIT "B"
Legal Description of Property
The land referred to is situated in the unincorporated area of the County of Monterey, State of California, and is described as follows:

Certain real property situate in the Rancho Bolsa De Las Escarpinas in the County of Monterey, State of California, being a part of Lots 1 and 2 of “Parcel Two” shown on map entitled, “Partition Map Accompanying Report of Referees Showing Subdivisions, Espinosa Portion of the Rancho Bolsa De La Escarpinas”, filed July 10, 1925 in Volume 2 of Surveys at Page 28, Records of said County, and being also a part of that certain 35.16 acre tract of land described in Deed from A.D. Martins to Frank D. Martines et al, dated February 10, 1948, and recorded in Volume 1039 of Official Records at Page 201, records of said County, said part being particularly described as follows:

Beginning at a 1-1/2” diameter iron pipe standing in the Westerly boundary of said 35.16 acre tract of land from which the most Northerly corner thereof bears along said boundary N. 10° 51’ 56” E., 589.87 feet distant and running thence from said place of beginning parallel with the Northeasterly boundary of said 35.16 acre tract of land (1) S. 63° 03’ 27” E., 1,178.39 feet to a 1-1/2” diameter iron pipe standing in the line common to said 35.16 acre tract of land and Harrison Road (a county road 60 feet wide) from which a 6” x 6” granite monument standing at the corner common to said lots 1 and 2 in said Westerly line of Harrison Road bears along said common line N. 4° 05’ 25” W., 157.78 feet distant; thence along said common line
(2) S. 4° 05’ 25” E., 706.17 feet to a 6” x 6” granite monument standing at the most Southerly corner of said Lot 2 and said 35.16 acre tract of land; thence leave said common line and running along the Southwesterly boundary of said Lot 2 and said

35.16 acre tract of land
(3) N. 70° 45’ 55” W., 1,168.21 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of said 35.16 acre tract of land in the Easterly line of California State Highway U.S. 101; thence along the line common to said State Highway and said 35.16 acre tract of land
(4) N. 17° 06’ 14” W., 122.0 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of that certain 1.017 acre tract of land designated as “Parcel 2” in deed from Frank Dutra Martins et al., to Adeline Anderson dated January 19, 1951, and recorded in Volume 1275 of Official Records at Page 46, records of said county; thence leave said common line and running along the Southwesterly boundary of said 1.017 acre tract of land (5) S. 70° 45’ 55” E., 149.02 feet to a 1-1/2” diameter iron pipe standing at the most Easterly corner of said 1.017 acre tract of land; thence along the Northeasterly boundary thereof
(6) N. 17° 06’ 14” W., 415.87 feet to a 1-1/2” diameter iron pipe standing at the most Northerly corner of said 1.017 acre tract of land at the Southeast corner of that certain 0.9837 acre tract of land designated as “Parcel 1” in said deed recorded in Volume 1275 of Official Records at Page 46, records of said county; thence along the Easterly boundary of said 0.9837 acre tract of land (7) N. 28° 51’ W., 49.15 feet to a 1-1/2” diameter iron pipe; thence (8) N. 9° 42’ W., 64.09 feet to a 1-1/2” diameter iron pipe standing in the boundary common to said 0.9837 acre tract of land and said 35.16 acre tract of land; thence along the Westerly boundary of said 35.16 acre tract of land (9) N. 10° 51’ 56” E., 287.43 feet to the place of beginning.

EXCEPTING THEREFROM, the Lands as set forth in the Final Order of Condemnation recorded April 20, 2011 as Document No. 2011022876 of Official Records.

APN: 113-091-017
Page

EXHIBIT “C”
Assessor’s Parcel Map
1 REIMBURSEMENT AGREEMENT
THIS REIMBURSEMENT AGREEMENT (“Agreement”) is made and entered into this _ _ _ _ _ day of _________, 2021 (the “Effective Date"), by and between the CITY OF SALINAS, a California charter city and municipal corporation ("City"), and SALINAS 101 LLC, a California limited liability company, and/or ASSIGNEE (“Owner”).

RECITALS
A. Owner represents it has acquired lawful title to property currently located within the unincorporated area of Monterey County which is located near the intersection of Sala Road and Harrison Road and which is identified by Monterey County Assessor's Parcel Number 113-091- 017-000 consisting of approximately 17.5 acres of land as more specifically described in the Legal Description attached hereto as Exhibit A and shown in the map attached hereto as Exhibit B (the "Property").

B. The Property is adjacent to that area identified in the City’s Economic Development Element as Target Area K (“Target Area K”) and is within that area identified in the City’s Economic Development Element as Economic Development Reserve Area K (“Reserve Area K”), and is south of a proposed farmworker housing project (“Housing Project”), all of which are shown in Exhibit B.

C. Owner is proposing to develop a commercial project under the County of Monterey’s General Plan on the Property (“Project”) and has submitted a project application to the County of Monterey (“County”).

D. The City owns and operates a wastewater collection system which collects wastewater discharge originating within the City’s limits and conveys such wastewater discharge through the City disposal system. This wastewater collection and disposal system includes a ten (10)-inch sewer main currently terminating at the intersection of Russell Road and North Main Street (“Connection Point”). The City's wastewater collection and disposal system is referred to herein as the "Disposal System”.

E. The County has indicated to the City and the Owner that it will not deem Owner’s project application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the Property, Owner has requested a “Will Serve Letter” from the City to connect to its Disposal System. 2 F. The City has reviewed studies prepared by the Owner, at Owner’s cost, t o c a l c u l a t e the anticipated wastewater generation from the proposed Project, and has determined the disposal line size of 10 inches is required to serve the Property and potential other development in Target Area K and the Housing Project, all of which are projected to impact the City’s downstream Disposal System capacity.

G. City and Owner entered into an Extraterritorial Wastewater Service Agreement on ________ __, 2021 in which Owner agreed to construct, at Owner's cost, a new ten (10)-inch wastewater sewer line (the ''New Sewer Line") within the right of way of Harrison Road from the Connection Point to a point on Harrison Road adjacent to the Property.

H. The New Sewer Line will then be connected to the Property via a lateral connection, to be installed by the Owner to City standards, including all road cuts, patching, permits, and inspections to connect the Property to the Disposal System. Owner will obtain and pay fees for County and City encroachment permits and building permits to construct the New Sewer Line and connect to the Disposal System.

I. The City desires that future development and users (collectively referred to as “users” herein) in Target Area K and the Housing Project be allowed to use the New Sewer Line, and requests that the Owner’s New Sewer Line accommodate Owner’s Project as well as such other existing or future potential uses in that area.

J. This Agreement establishes a mechanism for future users to reimburse the Owner for their proportionate share of the costs incurred by Owner installing the New Sewer Line from the Project to the Connection Point. Such proportionate share shall be based on the estimated wastewater generation of future users of lands located within Target Area K and the Housing Project. This Agreement provides for the users in Target Area K, the Housing Project and any other areas to pay to City such users’ proportionate share of Owner’s costs for installing the New Sewer Line, and City to then remit such payments to Owner.

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and understandings hereinafter set forth, the City and the Owner hereby set forth their agreement a follows:

AGREEMENT

1. Recitals. The recitals set forth above are true and correct and are made a part of this Agreement.
3 2. Project. The Project includes the construction of a ten (10)-inch municipal sewer line extension from the Project to the Connection Point as approved by the City Engineer (the New Sewer Line). Owner will design, fund, and construct the New Sewer Line in conformance with City standards.

3. Reimbursement. Owner shall be entitled to proportional reimbursement as described in this section:
a. The Owner must complete construction of the New Sewer Line. Upon completion, the Owner is eligible to be reimbursed for a portion of its “Actual Costs”, which includes but is not limited to, the expenses of design, engineering, construction, installation, inspection, supervision, insurance, encroachment, construction permit fees, and other costs that can be ascertained and agreed to by Owner and City.

Owner shall pay encroachment and construction permit fees to the County and connection, service and impact fees to the City, but shall not be required to pay the same fee to both the City and County. Actual Costs shall not include connection, service and impact fees exclusively associated with Owner’s Project, the $64,600 downstream improvement contribution required by the City, and costs attributable to Owner’s projected pro rata share of use of the New Sewer Line, as specified in Exhibit C, to be attached hereto after installation of the New Sewer Line is complete. b. The Owner shall have a right to reimbursement of its Actual Costs. The City shall provide written notice to Owner of (i) a request from each Sharing Party (defined below) to hook up to the New Sewer Line, and (ii) each Sharing Party connecting to the New Sewer Line. Additionally, at least annually after the Effective Date, the City will provide to Owner an accounting certified by the City as true and correct reflecting all reimbursement fees received by City from Sharing Parties, and all such fees paid by City to Owner. Owner shall have a right to audit, at its expense, the books and records of City concerning Sharing Parties’ payments of fees associated with building permits, sewer connections and other fees related to development within Target Area K and the Housing Project benefiting from the New Sewer Line. Upon fourteen (14) days’ notice, City shall either provide to Owner copies of all such books and records, or make such books and records available for inspection by Owner and/or its advisors.
c. The City will collect reimbursement from users located within Target Area K and the Housing Project that benefit from the New Sewer Line, including upstream users accessing the New Sewer Line indirectly through an upstream connection point, all located in the parcels (or a portion thereof) as shown and listed in Exhibit 4 D (each a “Sharing Party” or collectively “Sharing Parties”). The Sharing Parties will be responsible for their share of the Actual Costs of the New Sewer Line based on the formula described in Exhibit E attached hereto. The fees shall be collected by the City from each Sharing Party prior to the City’s issuance of any building permit for connecting to the New Sewer Line for such Sharing Party. Payment of such fees by the Sharing Parties shall be a condition to their receiving a building permit from the City. The City will not allow any Sharing Parties to hook up to the New Sewer Line without their first paying their share of the Actual Costs. d. The actual amounts to be paid to the Owner shall be based upon the final Actual Costs of the New Sewer Line, which shall be evidenced by invoices or other evidence of such costs provided by the Owner, and as verified by the City’s Public Works Director. The Owner shall provide the City with documentation of the scope of work and the invoices showing the amounts actually paid by the Owner for the Actual Costs of the New Sewer Line. Exhibit C will then be updated to reflect final Actual Costs. As stated above, Owner’s Actual Costs to be reimbursed shall be reduced by costs attributable to Owner’s projected pro rata use of the New Sewer Line.
e. The City shall pursue reimbursement from the Sharing Parties, with the costs of pursuing reimbursement borne solely by the City in the following two instances:

The City shall pay (i) all clerical and administrative costs of notifying and billing users, collecting payments, disbursing payments to Owner, providing the annual accounting described above, working with users and Owner to generally facilitate the reimbursement process described in this Agreement, and otherwise performing normal and customary City functions (including inspections, permit issuance, etc.), and (ii) all costs of pursuing payment from a user that obtains a building permit from the City and/or connects to the New Sewer Line without first paying its proportionate reimbursement amount as described herein. All reimbursements due under this Agreement shall be promptly paid by the City to the Owner as the City obtains the funds from the Sharing Parties after completion of the New Sewer Line, as certified by the Owner’s contractor to the City’s Public Works Director. The City shall notify each user of the reimbursement amount it owes hereunder (“City’s Notice”). Under Government Code Section 66020(d)(1), a user has ninety (90) days from the date of the City’s Notice to indicate that it is paying the fees under protest.

Under Government Code Section 66020(d)(2), if the user pays the fees under protest, the user has one hundred eighty (180) days from the date of the City’s Notice to file a legal action seeking to recover the fees. City shall pay the reimbursement fees to Owner within thirty (30) days after the 90-day or 180-day deadline above, whichever is applicable. If, however, an action has been instituted, 5 the City shall pay such funds to the Owner within thirty (30) days after the action has been completed and the authority of the City to collect such charges is sustained. The parties shall be bound by any statutes amending or succeeding the statutes cited above.
f. Notwithstanding any terms to the contrary contained herein, the City may allow property owners in Reserve Area K to hook up to the New Sewer Line, provided:
(i) the City determines that the New Sewer Line has sufficient capacity, (ii) such owners in Reserve Area K are treated the same as “users” and “Sharing Parties” herein, and (iii) both the City and such owners in Reserve Area K are bound by all the terms of this Agreement, including such owners being required to pay the reimbursement fees at the same rate described herein prior to hooking up to the New Sewer Line. At such point that Owner has been reimbursed one hundred percent (100%) of its Actual Costs (as defined in Section 3.a above), the City may cease paying Owner any further reimbursement fees hereunder.

4. City’s Best Efforts. The City agrees to use its best efforts, and to take all reasonable and necessary actions, to provide to Owner the reimbursement fees from the Sharing Parties as mentioned in this Agreement. Upon Owner’s request, City will assign to Owner the right to collect the reimbursement fees (and any attorney fees and legal costs) from the Sharing Parties.

5. Term. This Agreement shall become effective, and the obligations herein, commencing on the date first set forth above. This Agreement may be terminated at any time upon the mutual written consent of the parties but shall otherwise remain in force and effect until the Owner is fully reimbursed as provided herein.

6. Non-Recourse Reimbursement Agreement. It is agreed and understood that the City shall levy and use commercially reasonable efforts to collect the fees from the Sharing Parties in accordance with this Agreement with all such fees going to the Owner for reimbursement of the Actual Costs, as provided herein. The costs of levying and collecting fees from the Sharing Parties, including, but not limited to, staff time and administrative expenses, shall be at the City’s cost and expense, as provided in Section 3.e above, and the Owner shall have no recourse against the City for failure to pursue collection of such fees if Sharing Parties refuse to pay and City has not issued a building permit to such Sharing Parties or otherwise allowed Sharing Parties to connect to the New Sewer Line without paying the reimbursement, other than to obtain an assignment of the City’s rights of collection against such Sharing Parties. Notwithstanding the foregoing, the City shall be liable to Owner for the reimbursement fees owed by any user the City permits to hook up to the New Sewer Line without paying its reimbursement fees as provided herein. 6 7. Counterparts. This Agreement may be executed in one or more counterparts, including electronically, each of which is deemed to be an original.

8. Successors and Assigns. The covenants and agreements contained in this Agreement shall be binding upon and shall inure to the benefit of the heirs, successors and assigns of the parties hereto. Owner’s successor or assignee may install the New Sewer Line or receive reimbursement fees of the Actual Costs under the terms and conditions herein.

9. Entire Agreement. This Agreement constitutes the entire Agreement between the parties hereto and supersedes any and all prior agreements, whether oral or written, relating to the subject matter thereof. Any modification of the Agreement will be effective only if it is in writing signed by both parties hereto.

10. Validity. If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions will continue in full force without being impaired or invalidated in any way.

11. Laws. Owner agrees that in the performance of this Agreement it will comply with all applicable State, Federal and local laws and regulations. This Agreement shall be governed by and construed in accordance with the laws of the State of California, County of Monterey, and City of Salinas.

12. 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 personally, transmitted by facsimile or email followed by telephone or electronic confirmation of receipt, or sent by United States registered or certified mail, with postage prepaid, return receipt requested, addressed to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given two (2) days after the mailing thereof. All notices regarding any new or increased fee or rate increases affecting the applicable fees and rates in this Agreement shall be provided in the same manner provided to all customers subject to the new or increased fees and charges.

13. Time of Essence. Time is of the essence in the fulfillment by the parties hereto of their obligations under this Agreement.
(signatures are on the following page)
7 IN WITNESS WHEREOF, the undersigned, as authorized representatives of the City and of the Owner have entered into this Agreement as of the Effective Date.

CITY OF SALINAS, a California charter city and municipal corporation ____________________________________
Kimbley Craig, Mayor
200 Lincoln Avenue
Salinas, CA 93901
APPROVED AS TO FORM:
____________________________________
Christopher A. Callihan, City Attorney
ATTEST:
_____________________________________
Patricia M. Barajas, City Clerk
OWNER
SALINAS 101 LLC, a California
limited liability company, and/or ASSIGNEE
By: The Sobel Company, Inc.

Managing Member
_____________________________________
Bradley A. Sobel, President
The Sobel Company, Inc.
9454 Wilshire Boulevard
Suite 210
Beverly Hills, CA 90212
Attn: Bradley Sobel
Phone: 310-277-4697
Email: [email protected]
8 Exhibits
Exhibit A – Legal Description of Property
Exhibit B – Map of Property, Housing Project, Target Area K, Reserve Area K, Salinas City Boundary and Surrounding Area
Exhibit C – Actual Costs (to be attached later)
Exhibit D – Parcels with Sharing Parties
Exhibit E – Reimbursement by Sharing Parties

9 EXHIBIT “A”

LEGAL DESCRIPTION OF THE PROPERTY
The land referred to is situated in the unincorporated area of the County of Monterey, State of California, and is described as follows:

Certain real property situate in the Rancho Bolsa De Las Escarpinas in the County of Monterey, State of California, being a part of Lots 1 and 2 of “Parcel Two” shown on map entitled, “Partition Map Accompanying Report of Referees Showing Subdivisions, Espinosa Portion of the Rancho Bolsa De La Escarpinas”, filed July 10, 1925 in Volume 2 of Surveys at Page 28, Records of said County, and being also a part of that certain 35.16 acre tract of land described in Deed from A.D. Martins to Frank D. Martines et al, dated February 10, 1948, and recorded in Volume 1039 of Official Records at Page 201, records of said County, said part being particularly described as follows:

Beginning at a 1-1/2” diameter iron pipe standing in the Westerly boundary of said 35.16 acre tract of land from which the most Northerly corner thereof bears along said boundary N. 10° 51’ 56” E., 589.87 feet distant and running thence from said place of beginning parallel with the Northeasterly boundary of said 35.16 acre tract of land (1) S. 63° 03’ 27” E., 1,178.39 feet to a 1-1/2” diameter iron pipe standing in the line common to said 35.16 acre tract of land and Harrison Road (a county road 60 feet wide) from which a 6” x 6” granite monument standing at the corner common to said lots 1 and 2 in said Westerly line of Harrison Road bears along said common line N. 4° 05’ 25” W., 157.78 feet distant; thence along said common line (2) S. 4° 05’ 25” E., 706.17 feet to a 6” x 6” granite monument standing at the most Southerly corner of said Lot 2 and said 35.16 acre tract of land; thence leave said common line and running along the Southwesterly boundary of said Lot 2 and said

35.16 acre tract of land
(3) N. 70° 45’ 55” W., 1,168.21 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of said 35.16 acre tract of land in the Easterly line of California State Highway U.S. 101; thence along the line common to said State Highway and said 35.16 acre tract of land
(4) N. 17° 06’ 14” W., 122.0 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of that certain 1.017 acre tract of land designated as “Parcel 2” in deed from Frank Dutra Martins et al., to Adeline Anderson dated January 19, 1951, and recorded in Volume 1275 of Official Records at Page 46, records of said county; thence leave said common line and running along the Southwesterly boundary of said 1.017 acre tract of land
(5) S. 70° 45’ 55” E., 149.02 feet to a 1-1/2” diameter iron pipe standing at the most Easterly corner of said 1.017 acre tract of land; thence along the Northeasterly boundary thereof
10 (6) N. 17° 06’ 14” W., 415.87 feet to a 1-1/2” diameter iron pipe standing at the most Northerly corner of said 1.017 acre tract of land at the Southeast corner of that certain

0.9837 acre tract of land designated as “Parcel 1” in said deed recorded in Volume 1275 of Official Records at Page 46, records of said county; thence along the Easterly boundary of said 0.9837 acre tract of land
(7) N. 28° 51’ W., 49.15 feet to a 1-1/2” diameter iron pipe; thence (8) N. 9° 42’ W., 64.09 feet to a 1-1/2” diameter iron pipe standing in the boundary common to said 0.9837 acre tract of land and said 35.16 acre tract of land; thence along the Westerly boundary of said 35.16 acre tract of land (9) N. 10° 51’ 56” E., 287.43 feet to the place of beginning.

EXCEPTING THEREFROM, the Lands as set forth in the Final Order of Condemnation recorded April 20, 2011 as Document No. 2011022876 of Official Records.

APN: 113-091-017

11 EXHIBIT “B”
MAP OF

PROPERTY, HOUSING PROJECT, TARGET AREA K, RESERVE AREA K,

SALINAS CITY BOUNDARY AND SURROUNDING AREA
12 EXHIBIT “C”

ACTUAL COSTS
(The final version of this Exhibit shall replace this version and be inserted here once construction is completed, per Section 3(a) of this Agreement.

Actual Costs, including but not limited to, the expenses of design, engineering, construction, installation, inspection, supervision, insurance, encroachment & construction permit fees, and other costs associated with the New Sewer Line.

Actual Costs shall not include connection, service and impact fees exclusively associated with Owner’s Project and the $64,600 downstream improvement contribution required by the City.

The Actual Costs are estimated to be $2,000,000. The parties do not know whether the Actual Costs will be higher, lower or substantially different than such non-binding estimated amount.

Once the Actual Costs are determined, based on Section 3(a) of this Agreement, such estimated amount shall be removed from this Exhibit and replaced with the Actual Costs approved by the City and Owner.

13 EXHIBIT “D”

PARCELS WITH SHARING PARTIES

14 EXHIBIT “E”

REIMBURSEMENT BY SHARING PARTIES
Using the projected Peak Wet Weather Flows from our study and as an assumption, the New Sewer Line construction cost of $2,000,000*, the unit cost for PWWF is as follows:

Unit Cost (in $ per gallon/day) = Total Cost (in $) / Total PWWF (in gpd) Unit Cost (in $ per gallon/day) = $2,000,000 / 332,740 gpd Unit Cost = $6.01 per gallon/day (or $6.01/gpd)
For example, a builder intends to develop a portion of the Light Industrial area east of Harrison Road. Their facility is projected to generate a Peak Wet Weather Flow of 50,000 gallons/day. Using the unit cost of $6.01/gpd, the builder’s pro rata share of the Harrison Road sewer system will be $300,500 and that would be the amount reimbursed to the Owner. *The $2,000,000 figure used above for the New Sewer Line Construction Cost is only an assumption and is only being used as an example to explain how the formula for reimbursement works. Only after the construction of the New Sewer Line is completed will the final New Sewer Line Construction Cost be determined and then that final number will be used to calculate reimbursements per Section 3(a) of this Agreement.
1 RESOLUTION NO. (N.C.S.)

RESOLUTION BY THE SALINAS CITY COUNCIL AUTHORIZING THE MAYOR TO

EXECUTE A PRE-ANNEXATION AGREEMENT WITH THE COUNTY OF

MONTEREY FOR PORTIONS OF ECONOMIC DEVELOPMENT ELEMENT

ECONOMIC OPPORTUNITY AREA K
WHEREAS, in 2006, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI); and
WHEREAS, the GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County; and WHEREAS, since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (EDE, 2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010); and
WHEREAS, in its EDE the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development. Area K, shown and marked on Attachment 1, is comprised of a Target Area K (Target Area K), where near to mid-term development is projected by the City, and an Economic Development Reserve area (Reserve Area K), which is to accommodate the City’s longer-term economic development needs; and WHEREAS, recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and current planned or contemplated development projects, and desiring to cooperate in the planning of certain development projects either within the current boundaries of the City or its adopted SOI, or within those areas identified in the City’s EDE, the City and County entered into an Addendum to the GSA-MOU in June 2019; and WHEREAS, Salinas 101 LLC (Owner) has submitted an application to the County of Monterey to develop a commercial project on approximately 17.5 acres that is located within the County’s jurisdiction adjacent to Target Area K and within the Reserve Area K near the intersection of Sala and Harrison Roads (Sala Road or Sobel Project); and WHEREAS, the County will not deem Owner’s application complete without a wastewater treatment plan; and
WHEREAS, Owner and city staff have negotiated a final draft Extraterritorial Wastewater Service Agreement (Sewer Agreement) that states the terms and conditions by which the City will grant a Will Serve Letter for connection (New Sewer Line) to and service from the Disposal System 2 for the Sala Road Project; and
WHEREAS, Owner and city staff have also negotiated a Reimbursement Agreement to outline the terms, conditions, methodology and process by which the Owner will be reimbursed by users or “Shared Parties” prior to future development in Target Area K and the Housing Project connecting to the New Sewer Line; and
WHEREAS, at the same meeting, the City Council approved a Resolution ________(N.C.S.) authorizing the execution of the Sewer and Reimbursement Agreements with Owner; and
WHEREAS, a primary property owner of Target Area K has submitted applications for a specific plan (“Steinbruner Project”) and annexation. Proposed uses are to be consistent with the City’s EDE policies and identified land uses of Business Park and Commercial Retail; and WHEREAS, provided the Sala Road Project is constructed, the City intends to submit an application to LAFCO to annex the Sala Road Project and Target Area K land area (Annexation Area); and
WHEREAS, City and County have negotiated a pre-annexation agreement to reaffirm coordination of land use entitlement and CEQA compliance as agreed to in the GSA-MOU 2019 Addendum, and to outline the timing and process to establish property tax and revenue sharing formulas between the City and the County to ensure the Parties’ capacity to adequately provide the necessary services to the proposed Annexation Area; and WHEREAS, the City of Salinas has therefore determined that the action of authorizing the execution of the proposed Agreement is not a project as defined by the California Environmental Quality Act (CEQA). Section 15061 (b) (3) of CEQA Guidelines states that when it can be seen with certainty that there is no possibility that the activity in question, in this case the execution of the Agreement, may have a significant effect on the environment, the activity is not subject to CEQA. Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance.

NOW, THEREFORE, BE IT RESOLVED that the Salinas City Council hereby a. affirms the foregoing recitations are true and correct, and are included herein by reference as findings, and
b. authorizes the Mayor to execute a Pre-Annexation Agreement with the County of Monterey for portions of EOA L (Exhibit A).

PASSED AND APPROVED this 22nd day of March 2022, by the following vote:

AYES:

NOES:
3 ABSENT:

ABSTAIN:

APPROVED:
________________________
Kimbley Craig, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
Attachment:

1. Northern Area - Economic Opportunity Area Map
1 PRE-ANNEXATION AGREEMENT BETWEEN THE CITY OF SALINAS AND THE

COUNTY OF MONTEREY

FOR TARGET AREA K AND PORTIONS OF ECONOMIC DEVELOPMENT RESERVE AREA K
This Pre-Annexation Agreement (“Agreement”) is entered into this ___ day of March 2022 (the “Effective Date”), by and between the City of Salinas, a California charter city and municipal corporation, hereinafter referred to as “the City,” and the County of Monterey, a political subdivision of the State of California, hereinafter referred to as “the County” (collectively, the “Parties”).

RECITALS
A. In 2006, as a replacement to the Amended Boronda Memorandum of Understanding and in part completing a condition in the settlement of litigation between the City and the County, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI).

B. The GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County.

C. Since the City’s and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (2017) to its General Plan (2002) and the County adopted the 2010 General Plan.

D. In its Economic Development Element (the “EDE”), the City identified an area outside the City’s current northern Sphere of Influence boundary as a future opportunity area for economic development. The lands which comprise Area K, the “North Entrance” as it is referred to in the EDE, are currently within the County’s jurisdiction and are designated as residential, public/quasi-public, open space, farmlands, permanent grazing, and commercial in the County’s General Plan. Area K, shown and marked on Exhibit A, is comprised of a Target Area, where near to mid-term development (three (3) to five (5) years) is projected by the City, and an Economic Development Reserve Area, also identified on Exhibit A, which is to accommodate the City’s longer-term (ten (10) to twenty (20) years) economic development needs.

E. Recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and current planned or contemplated development projects, and desiring to coordinate planning efforts and entitlement of certain development projects either within the current boundaries of the City or its adopted Sphere of Influence, or within those areas identified 2 in the City’s EDE as Economic Opportunity Areas, the City and County entered into an Addendum to the GSA-MOU in June 2019 (“2019 Addendum”) provided as Exhibit B. The 2019 Addendum is limited to two areas; one being the area north of the City’s current boundaries (the “Northern Area”). The Northern Area includes EDE Target Area K and portions of Economic Development Reserve Area K and is more specifically shown on the attached Exhibit A.

F. The County has received an application to develop a commercial project on approximately 17.5 acres of commercially designated lands under the County of Monterey’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the City’s Economic Development Reserve Area K near the intersection of Sala and Harrison Roads (Monterey County Assessor's Parcel Number 113-091-017;“Sobel Project”). The Sobel Project proposes 100,000 square feet of commercial uses including a hotel, retail space, four quick service restaurants, and a gas station.

G. The County will not deem the Sobel Project application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the proposed project site, the Sobel Project has requested a Will Serve Letter from the City to construct a new line to connect to and allow the conveyance of effluent through its wastewater collection and conveyance system.

H. The City plans to enter into an Extraterritorial Wastewater Service Agreement (the “Service Agreement”), provided as Exhibit C, establishing the terms by which the City will grant a Will Serve Letter for the Sobel Project to construct a new line to connect to and allow the conveyance of effluent through its wastewater collection and conveyance system.

I. A primary property owner of Target Area K has submitted applications for a specific plan (“Steinbruner Project”). The specific plan area includes potential future development of approximately 123 acres of undeveloped agricultural zoned land located within the County’s jurisdiction but within the City’s Target Area K (Monterey County Assessor’s Parcel Numbers 113-151-002, 113-15-011, and a portion of 113-161-018). Proposed uses are to be consistent with the City’s EDE policies and identified land uses of Business Park and Commercial Retail. An annexation application was received as part of the Steinbruner Project submittal.

J. It is recognized that the 2019 Addendum and this Agreement do not commit either the City or County to any specific development project and that numerous further actions must be taken to comply with federal, state, and local laws and regulations, including environmental review pursuant to the California Environmental Quality Act (CEQA), which may affect certain terms and provisions contained herein.

K. Provided the Sobel Project is constructed, the City intends to include the Sobel Project land area and approximately 30 acres of retail/commercial zoned developed/underdeveloped lands within Target Area K to the west of Harrison Road that are not included within the Steinbruner Project boundary as part of a LAFCO annexation application. 3 The boundary of the intended annexation area (“Annexation Area”) is shown on Exhibit D.

Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance. The proposed Annexation Area may be either modified or not pursued by the City at its discretion.

L. Government Code Section 56425 requires a City-County consultation prior to submittal of the application to LAFCO. Agreement between the Parties should address LAFCO’s mandate to preserve agricultural land, discourage urban sprawl, and encourage the orderly growth in government agencies, and should include a discussion of policies on regional transportation impacts and efficient development patterns. Any agreement that is reached would be given greater weight if it is consistent with LAFCO policies.

M. LAFCO further requires a property tax transfer agreement, approved by both the City Council and the County Board of Supervisors, to determine an application for Sphere of Influence/Annexation to be complete.

N. The GSA-MOU and 2019 Addendum address the topics of preservation of agricultural land, discouraging urban sprawl, encouraging the orderly growth in government agencies, and include a discussion of policies on regional transportation impacts and efficient development patterns.

O. Revenue and Taxation Code section 99(d) allows for a city and county to adopt a master property tax transfer agreement to govern the adjustment in allocation of property taxes required to accompany any jurisdictional change pursuant to Revenue and Taxation Code section

99. P. In April 2008, The City and the County entered into such a master property tax transfer agreement by adoption of Salinas City Council Resolution No. 19423 and Monterey County Board of Supervisors Resolution 80-249 (“Master Tax Transfer Agreement”). The Master Tax Agreement, provided as Exhibit F, establishes the uniform property tax formula to be used as the basis for city annexations and remains in effect until January 1, 2023, or until amended based on future study and fiscal and economic impact analysis.

Q. The purpose of this Agreement is to acknowledge the foreseeable annexations, reaffirm coordination of land use entitlement and CEQA compliance as agreed to in the GSAMOU 2019 Addendum, and to analyze the property tax and revenue sharing formulas between the City and the County.

AGREEMENT
NOW, THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, City and County agree as follows:

ARTICLE I. EFFECTIVE DATE AND DURATION.
4 1.1. Effective Date. This Agreement will become effective (“Effective Date”) on the date last signed by one of the Parties.

1.2. Duration of Agreement. This Agreement shall remain in full force and effect for a term of five (5) years from the Effective Date with the ability to extend an additional five (5) years upon mutual agreement.

ARTICLE II. TERMS.

2.1. Incorporation of Recitals. The Parties acknowledge the accuracy of the factual matters set forth in the Recitals and further acknowledge that such facts form the material basis for entry into this Agreement.

2.2. Consideration of Annexation. The County supports LAFCO’s annexation policies and application processes that provide opportunity to annex unincorporated areas to ensure the orderly and efficient provision of municipal services to the areas annexed and which encourage cities to consult with affected special districts to ensure that an annexation will not adversely affect the districts’ ability to continue to provide services outside of the proposed annexation area.

Based on the information available as of the date of this agreement, and subject to compliance with all laws and regulations, including the California Environmental Quality Act, the County acknowledges the contemplated annexation of the land within the Annexation Area to the City.

The County agrees to cooperate in good faith with the City in the preparation of the annexation application materials to LAFCO for the land within the Annexation Area.

2.3. Lead Agency for Planning and Entitlement Application Processing and CEQA Compliance. Both Parties agree to continue to follow Sections 1.1(a) and (c) of the 2019 Addendum to establish the lead agency for processing planning entitlements and CEQA compliance for development of the Projects in the Northern Area.

2.4. Development Standards Pre-Annexation. Projects proposed to be developed prior to annexation, will be processed and permitted in accordance with County development standards. Prior to consideration of the proposed projects, the County may seek City input on design related components of the proposed projects.

2.5. Compliance with City Standards Post-Annexation. Upon annexation, the Projects will be subject to the same rules, regulations, laws, fees, and taxes (except as otherwise specifically set forth herein) that would be applied to other properties and businesses in the City including, but not limited to, the Building Code, Fire Code, zoning regulations, fees, taxes, and other provisions of the Salinas Municipal Code and applicable state and federal law. Upon annexation, the Projects may be developed subject to the same policies and development standards that would be applied to other properties in the City under similar circumstances including, but not limited to, the Salinas General Plan and Salinas Zoning Code. 5 2.6. Urban Services. Upon annexation to the City, the Annexation Area will be entitled to the full range of City service including, but not limited to, sanitary sewer services, police and fire protection, and general governmental services.

2.7. Property Tax, Sales Tax, and Transient Occupancy Tax Sharing; City Measure Taxes. Upon annexation, the City and County agree to share the additional property, sales and transient occupancy tax revenues generated from the Annexation Area pursuant to the following formulas.

2.7.1. Property Tax. As stated in the Master Tax Agreement, provided as Exhibit E, City and County proportional sharing of property taxes in the Annexation Area shall remain effective until revised. The City and County will further discuss and analyze the Master Tax Agreement consistent with LAFCO laws and procedures and as provided in the GSA-MOU 2019 Addendum.

2.7.2. Sales Tax. Parties agree that County will retain 100% of sales tax revenue generated prior to annexation into the City. Post-annexation, City shall receive 100% of sales tax revenues for all future years based upon annual sales tax calculations in the areas annexed.

2.7.3. Transient Occupancy Tax (TOT). Parties agree that County will retain 100% of TOT generated from the Annexation Area prior to annexation into the City. Post-annexation, City shall receive 100% of the TOT generated from the areas annexed.

2.8.4. City Measure Taxes. Post-annexation the City shall receive 100% of the tax revenues attributable to City tax measures (Measure E, Measure G) generated from the areas annexed.

2.8.5. Cannabis Tax Revenue. Parties agree that County will retain 100% of cannabis tax revenue generated from the Annexation Area prior to annexation into the City. Post-annexation, the City shall receive 100% of the cannabis tax revenues generated within the areas annexed.

ARTICLE III. GENERAL PROVISIONS.

3.1. Amendments. The City and the County may amend this Agreement by written amendment mutually executed by both Parties. Such amendments shall not invalidate this Agreement or relieve or release either party from its obligations under this Agreement unless expressly stated to by such amendment.

3.2. Indemnity. Except as may otherwise be expressly set forth in this Agreement, each party shall indemnify, defend, and hold the other party and its officers, employees, and representatives harmless against any and all claims, losses, damages, causes of action, liability, costs, or expenses (including attorneys’ fees) arising from or in connection with, or caused by any act, omission, or negligence of such indemnifying party or its agents, employees, contractors, subcontractors, or invitees in performance of this Agreement. 6 3.3. Counterparts; Integration; Modification. This Agreement may be executed by the Parties in counterparts, all of which together shall constitute a single Agreement. This Agreement constitutes the understanding of the Parties with respect to the matters set forth in this Agreement and supersedes any and all writings and oral discussions concerning the same. This Agreement is not intended to benefit any party other than the City or the County.

3.4. No Waiver. Failure to insist on any one occasion upon strict compliance with any of the terms, covenants, or conditions hereof shall not be deemed a waiver of such term, covenant, or condition, nor shall any waiver or relinquishment of any rights or powers hereunder at any one or more times be deemed a waiver or a relinquishment of such other right or power at any other time or times.

3.5. Jurisdiction and Governing Law. Any legal action or proceeding concerning this Agreement shall be filed and prosecuted in the appropriate court in the County of Monterey, California or in the appropriate federal court with jurisdiction over the matter. This Agreement shall be governed by the laws of the State of California, without regard to conflict of laws principles.

3.6. Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.7. Warranty of Authority. Each party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective party.

3.8. Further Assurances. The Parties to this Agreement shall cooperate with and provide reasonable assistance to the other party to the extent contemplated in the performance of all obligations under this Agreement and the satisfaction of the conditions of this Agreement.

3.9. Notices. All notices required or allowed by this Agreement shall be in writing and addressed as set forth below. Notices shall be deemed received upon (i) the actual receipt by the intended recipient if the method of delivery is personal service, messenger service, or facsimile service, (ii) actual receipt by the intended recipient if the method of delivery is overnight delivery service, or (iii) three business days after deposit in the United States mail, postage prepaid, return receipt requested. Notices shall be addressed as follows:

If to City: City Manager
City of Salinas
200 Lincoln Avenue
Salinas, California 93901
Community Development Director
City of Salinas
7 65 West Alisal Street
Salinas, California 93901
With a Copy to: City Attorney
City of Salinas
200 Lincoln Avenue
Salinas, California 93901
If to County: County Administrative Officer
County of Monterey
168 W. Alisal St., 3rd Floor
Salinas, CA 93901
Housing and Community Development Director
County of Monterey
1441 Schilling Place, 2nd Floor South
Salinas, CA 93901
With a Copy to: Monterey County Counsel
168 W. Alisal St., 3rd Floor
Salinas, CA 93901
IN WITNESS, WHEREOF, the undersigned have entered into this Agreement:

CITY OF SALINAS
__________________________ ____________________________ Kimbley Craig, Mayor Date
ATTEST:
__________________________ ____________________________ Patricia M. Barajas, City Clerk Date
APPROVED AS TO FORM:
___________________________ ____________________________ Christopher A. Callihan, City Attorney Date
8 COUNTY OF MONTEREY
___________________________ _____________________________ Mary Adams, Chair, Board of Supervisors Date
ATTEST:
___________________________ _____________________________ Valerie Ralph, Clerk of the Board Date
APPROVED AS TO FORM:
____________________________ ______________________________ Leslie J. Girard, County Counsel Date
D Salinas Boundary
D Developmen t Areas
- - , Opportuni ·ty Area K
t Reserve �
i - -
/ ECO n Om . Developmen IC
--
Northern Area - Economic Opportunity Area K
Exhibit A
1 RESOLUTION NO. 21638 (N.C.S.)

RESOLUTION APPROVING AN ADDENDUM TO THE GREATER SALINAS AREA

MEMORANDUM OF UNDERSTANDING (GSA-MOU) BETWEEN THE CITY OF

SALINAS AND THE COUNTY OF MONTEREY
WHEREAS, in 2006, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (GSA-MOU) to establish a broad policy framework to govern City-County growth in the “Greater Salinas Area”, replacing the Amended Boronda Memorandum of Understanding and in part completing a condition in the settlement of litigation between the City and the County; and
WHEREAS, in 2010, the County adopted a new General Plan for the non-coastal areas of unincorporated Monterey County; and
WHEREAS, in 2017, the City adopted an Economic Development Element (EDE) amending its 2002 General Plan; and
WHEREAS, City and County staff regularly discuss current land use development plans, current planned or contemplated development projects, protection of certain agricultural lands, and much-needed resources, including low-income and farmworker housing, employment development opportunities, and associated services and facilities; and WHEREAS, in the spirit of the GSA-MOU, City and County desire to work together for orderly growth relative to proposed plans and projects that have been recently contemplated or have submitted applications for development on unincorporated lands north of the City within areas identified for future City growth and in the South Boronda area that is part of the City’s Sphere of Influence (SOI); and
WHEREAS, this Addendum to the GSA-MOU (Addendum) would serve as an interim bridge that outlines parameters and principles for processing certain projects in specific areas to the north and to the west of the city limit until a comprehensive GSA-MOU update is completed; and
WHEREAS, on June 18, 2019, the County of Monterey Board of Supervisors considered and approved the Addendum (Resolution 19-071).

NOW, THEREFORE, BE IT RESOLVED, that the Salinas City Council hereby:
a. Finds that proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines section 15378), and any subsequent discretionary projects resulting from implementation of the Addendum will be assessed for CEQA applicability.
b. Approves an Addendum to the Greater Salinas Area Memorandum of Understanding (GSA-MOU) between the City of Salinas and the County of Monterey to provide the framework for the coordination of certain plans and development projects within the DocuSign Envelope ID: 0CE4A61C-C7F8-4394-9FD4-96A3C14CF3D3 Exhibit B
2 current boundaries of the City or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas until a comprehensive GSA-MOU update is complete. Said Addendum, with associated maps, is attached hereto and incorporate herein by reference.

PASSED AND APPROVED this 18th day of June 2019 by the following vote:

AYES: Councilmembers: Barrera, Davis, De La Rosa, McShane, Villegas and Mayor Gunter NOES: None
ABSENT: Councilmember Cromeenes
ABSTAIN: None
APPROVED:
________________________
Joe Gunter, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
DocuSign Envelope ID: 0CE4A61C-C7F8-4394-9FD4-96A3C14CF3D3 1 ADDENDUM TO GREATER SALINAS AREA MEMORANDUM OF UNDERSTANDING This Addendum to the Greater Salinas Area Memorandum of Understanding (“Addendum”) is entered into this ___ day of June 2019 (the “Effective Date”), by and between the City of Salinas, a California charter city, hereinafter referred to as “the City,” and the County of Monterey, a political subdivision of the State of California, hereinafter referred to as “the County.”

RECITALS
WHEREAS, in 2006, as a replacement to the Amended Boronda Memorandum of Understanding and in part to complete a condition in the settlement of litigation between the City and the County, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI) ; and WHEREAS, the GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County; and WHEREAS, since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010); and
WHEREAS, under the GSA-MOU the City and County agreed that the County would take the lead in processing project and plan entitlements in the undeveloped southern portion of the County’s Boronda Redevelopment Project Area with concurrent City review for compliance with City development standards; and
WHEREAS, between 2004 and 2011, the County Redevelopment Agency worked directly with the City on developing a General Development Plan/Specific Plan for future development of the undeveloped area south of Boronda that included open space, mixed-use, business park, and heavy commercial uses; and
WHEREAS, in February 2012, the State of California dissolved redevelopment agencies, so the General Development Plan/Specific Plan entitlement process was not completed, and WHEREAS, consistent with the GSA-MOU and their respective General Plans and Spheres of Influence, the City and the County have approved various projects in and around the boundaries of the City including the Salinas Ag-Industrial Center (Uni-Kool project-2010), the Salinas Travel Center (Love’s Travel Stops project--2018), and the Butterfly Village project (2008); and
2 WHEREAS, the City and the County agree and acknowledge that the GSA-MOU is in need of an update to reflect current land use development plans and current planned or contemplated development projects, and to provide for the protection of certain agricultural lands and much-needed resources, including low-income and farmworker housing, employment development opportunities, and associated services and facilities; and WHEREAS, until a comprehensive update to the GSA-MOU is complete, the City and the County desire to cooperate in the planning of certain development projects either within the current boundaries of the City or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas, and desire to work cooperatively and expeditiously in order to support each other’s land use planning and development efforts so that their mutual development projects can proceed in a well-planned, coordinated, and orderly manner; and
WHEREAS, one purpose of this Addendum is to mark the initial movement of the City and the County toward a more comprehensive update to the GSA-MOU and is limited to two areas: the area north of the City’s current boundaries (“the Northern Area”) and the south of Boronda area (“the South Boronda Area”) (both areas more specifically shown on the attached Exhibits A and B, respectively); and
WHEREAS, another purpose of this Addendum is to define the coordinated planning processes by which the City and the County will plan for and consider the development of those areas shown on Exhibits A and B; and
WHEREAS, neither the City nor the County have made commitments to proposed development in the Northern Area or South Boronda Area, and all such proposals shall be required to comply with all applicable law including, but not limited to, the California Environmental Quality Act (“CEQA”);

NOW, THEREFORE,
In mutual consideration of the terms and the conditions of this Addendum, the City and the County agree as follows:

TERMS
Article 1. City and County Coordination.

Section 1.1. Northern Area (Exhibit A).
(a) City’s Economic Development Element Opportunity Area K.

In its Economic Development Element, the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development. The lands which comprise Area K (the “North Entrance,” as it is referred to in the Economic Development Element) are currently within the County’s jurisdiction and are zoned as farmlands, permanent 3 grazing, and commercial in the County’s General Plan. Area K, shown and marked on Exhibit A, is comprised of a Target Area, where near to mid-term development is projected by the City, and an Economic Development Reserve Area, also identified on Exhibit A, which is to accommodate the City’s longer-term economic development needs.
(b) City’s Target Area K (Exhibit A).

The County will coordinate with the City regarding the preparation of a Specific Plan for City’s potential future development of undeveloped lands located with the County’s jurisdiction but within the City’s Target Area K, consistent with the City’s Economic Development Element policies and identified land uses. The City and the County agree that the City will take the lead in processing project and plan entitlements within Target Area K if annexation is a part of the entitlement application. The location of the proposed Specific Plan area is shown on Exhibit A. (c) County’s Potential Commercial Development Project.

The County may consider a proposal to develop a commercial project on commercially designated lands under the County’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the City’s Economic Development Reserve Area K. The location of the proposed County Commercial Development Project is shown on Exhibit A.

Section 1.2. South Boronda Area (Exhibit B).
(a) Community Plan Area.

The County will work with the City regarding the potential future development of undeveloped lands located within the County’s jurisdiction but within the City’s Sphere of Influence and Economic Opportunity Area M prior to annexation. The City and the County agree that the City will take the lead in processing project and plan entitlements within the South Boronda Area if annexation is part of the entitlement application. The location of the South Boronda Area is shown on Exhibit B.

Section 1.3. Farmworker Housing Projects.

The County may consider proposals for development of farmworker housing on lands located within the County’s jurisdiction but within close proximity to the City’s boundary, including its Sphere of Influence areas. As part of any entitlement review, the County will consider project proximity to existing infrastructure and services, and coordinate with the City to ensure that infrastructure contemplates current and proposed surrounding projects.

Section 1.4. Mutual Support for Coordination of Development Process in the Northern Area and the South Boronda Area; Roles and Responsibilities. (a) Mutual Support.

The City and the County agree that the City’s consideration of a Specific Plan for Target Area K, and the County’s consideration of a potential Commercial Development Project located in the 4 Northern Area, are consistent with the direction of City growth outlined in the GSA-MOU. The City and the County agree to coordinate efforts to process land use entitlements for the potential development of Area K including the County potential Commercial Development Project, the aforementioned City Specific Plan and potential annexation of Target Area K into the City, as well as future development proposals located in the Northern Area as outlined in subsection (b) below.

The City and the County agree that while not located to the north or the east of the City’s current boundaries, the proposed Community Plan Area located in the South of Boronda Area, and within the City’s Sphere of Influence, it is consistent with the intent and the purpose of the GSA-MOU. The City and County agree to coordinate efforts to process land use entitlements within the aforementioned Community Plan Area, as well as future annexation of this area into the City and development proposals located in the South Boronda Area as outlined in subsection (b) below.
(b) Coordination.

The City and the County agree to coordinate planning efforts and entitlement processes (e.g., specific and general development plans, General Plan amendments, annexations) for the Northern Area and the South Boronda Area. This includes:

1. joint application processing if timing works for all parties, or the provision of timing assurances and opportunity to review and comment on plans and applications if planning in tandem;

2. coordination on or sharing in the preparation of technical studies and analyses required to determine and provide for project infrastructure, services, and public safety needs, (e.g., infrastructure, water, hydrology/stormwater, traffic and transportation);

3. joint determination of appropriate level and process for compliance with California Environmental Quality Act (CEQA) including coordinating on or sharing in project mitigation requirements;

4. selection of a mutually agreed upon consultant to prepare fiscal and economic analysis to provide recommended tax sharing percentages, should they be required, based on data and market demand analysis for proposed commercial uses; and

5. joint review of technical studies, fiscal and economic analysis, and CEQA documents, and potential development of a joint recommendation regarding project entitlement processing for City Council and Board of Supervisors consideration.
5 Section 1.5. Taxes and Fees.
(a) Should a project within the Northern Area or South Boronda Area warrant tax/revenue sharing separate from the annexation process, the City and the County will jointly prepare and in good faith consider entering into a tax/revenue sharing agreement. (b) City and County agree in good faith to consider entering into reimbursement agreements with project developer(s) to pay for technical, environmental, and fiscal economic studies and analysis beyond what is required for their individual project(s). Subsequent project(s) would reimburse the developer(s) based on its pro rata share. (c) City and County agree in good faith to consider entering into reimbursement agreements with project developer(s) that install infrastructure improvements beyond what is required for their individual project(s). Subsequent project(s) would reimburse the developer(s) based on its pro rata share.

Article 2. General Conditions.

Section 2.1. General Compliance.

The City and the County agree to comply with all applicable federal, state, and local laws and regulations governing public agencies. Documentation of such compliance shall be made available for review by the City and the County upon request.

The parties do not intend this Addendum to constitute a project under CEQA as it represents only an agreement to cooperate subject to compliance with all applicable laws relating to further actions, which include the preparation of plans and the consideration of projects.

Section 2.2. Administrative Amendments.

This Addendum may be amended by a written administrative amendment executed by the City Manager on behalf of the City and the County Administrative Officer or Assistant County Administrative Officer on behalf of the County, subject to review and approval by the Salinas City Attorney and Monterey County Counsel, respectively, and also subject to any required state or federal approval, provided that such administrative amendments do not substantially or materially change the terms and conditions, or overall purposes, of this Addendum.

Section 2.3. Term.

The term of this Addendum shall begin as of the Effective Date, which is the date last signed by one of the parties, and shall remain in effect until a successor to this Addendum is approved by the City and the County.

Section 2.4 Litigation.

In consideration of the mutual promises of the parties herein, the City and the County mutually agree that neither will pursue development-related litigation against the other insofar 6 as the subject development is consistent with this Addendum, and further provided that the parties comply with the terms and conditions of this Addendum.

Article 3. Personnel and Participant Conditions.

Section 3.1. Conduct.
(a) Hatch Act.

The City and the County agree that no funds be provided, nor personnel employed under this Addendum, shall be in any way or to any extent engaged in the conduct of political activities in violation of 5 U.S.C. 15.
(b) Conflict of Interest.

The City and the County each agree to abide by the provisions of 24 CFR 570.611 and the requirements of state law with respect to conflicts of interest, and each covenants that it presently has no financial interest and shall not acquire any financial interest, direct or indirect, which would conflict in any manner or degree with the performance of services required under this Addendum. The City and the County each further agrees that in the performance of this Addendum that no person having such a financial interest shall be employed or retained by the City or the County, or, if already employed, be involved in any way with the development, processing, or consideration of the matters set forth herein. These conflict of interest provisions apply to any person who is an employee, agent, consultant, officer, or elected official or appointed official of the City or the County, or of any designated pubic agencies or entities.

Article 4. Other Provisions.

Section 4.1. Entire Agreement.

This Addendum contains all the terms and the conditions agreed upon by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Addendum shall be deemed to exist or to bind any of the parties hereto.

Section 4.2. Notices.

Formal notices, demands, and communications (other than day-to-day routine communications) between the City and the County shall be sufficiently given if, and shall not be deemed given unless (i) dispatched by certified mail, postage prepaid, return receipt requested, (ii) sent by express delivery or overnight counter service with a delivery receipt, (iii) personally delivered with a delivery receipt, or (iv) sent by electronic mail with a copy delivered by one of the previous three methods, to the office of the parties shown as follows, or such other address as the parties may designate in writing from time-to-time:
7 City County
City of Salinas County of Monterey
Attn: Community Development Director Assistant County Administrative Officer 65 West Alisal Street 168 West Alisal Street, 3rd Floor Salinas, California 93901 Salinas, California 93901
Email: [email protected] Email: [email protected] With a copy to:

City Attorney County Counsel
City of Salinas 168 W. Alisal St., 3rd Floor
200 Lincoln Avenue Salinas, CA 93901
Salinas, California 93901 Email: [email protected] Email: [email protected]
Such written notices, demands, and communications shall be effective on the date shown on the delivery receipt as the date delivered or the date on which delivery was refused. The recipients herein may be changed upon written notice to the other party.

Section 6.3. Conformance with Federal and State Law.

Should federal or state regulations affecting this Addendum be adopted, amended, or revised during the terms hereof, this Addendum is subject to modification to assure conformance with such federal or state requirements pursuant to the provision of Section 2.2, above.

Section 6.4. Severability.

If any term of this Addendum is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions shall continue in full force and effect.

Section 6.5. Headings and Captions.

Paragraph titles or captions contained herein are inserted as a matter of convenience and for reference, and in no way define, limit, extend, or otherwise describe the scope of this Addendum or any provision hereof.

Section 6.6. No Third-Party Beneficiaries.

There are no intended third-party beneficiaries to this Addendum. 8 Section 6.7. Amendments.

This Addendum may not be modified, supplemented, or amended unless in writing by the parties. Any modification, supplementation, amendment, or waiver must be signed by both parties.

Section 6.8. Costs and Expenses.

Each party shall be responsible for its own costs and expenses in connection with any activities and negotiations undertaken in connection with this Addendum, and the performance of each party’s obligations under this Addendum, unless specifically agreed to in writing by the parties.

Section 6.9. Governing Law; Venue.

This Addendum shall be governed and construed in accordance with the laws of the State of California without reference to choice-of-law principles, and venue for any action under this Addendum shall be in the Superior Court for the County of Monterey, subject to any motion for transfer of venue.

Section 6.10. Counterparts.

This Addendum may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement.

Section 6.12. Non-Recourse Agreement.

No member, official, employee, agent, or consultant of any party to this Addendum shall be personally liable to any other party, or any successor in interest or person claiming by, through, or under any party, in the event of any default or breach, or for or on account of any amount which may become due, or in any claim, cause, or obligation whatsoever under the terms of this Addendum.

IN WITNESS WHEREOF, the undersigned, as authorized representatives of the City and of the County, have entered into this Addendum as of the date first written above.

Dated: __________, 2019 City of Salinas
________________________________
Ray Corpuz, City Manager
9 APPROVED AS TO FORM:
________________________________
Christopher A. Callihan, City Attorney
Dated: __________, 2019 County of Monterey
_________________________________
Nicholas Chiulos, Assistant CAO
APPROVED AS TO FORM:
__________________________________
Leslie J. Girard, Chief Assistant County Counsel
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Recording Requested by and
When Recorded Return to:

NO FEE-Government Code §6103
(Space Above This Line for Recorder's
Office Use Only)
Exhibit C
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EXTRATERRITORIAL WASTEWATER SERVICE

AGREEMENT
This Extraterritorial Wastewater Service Agreement ("Agreement") is made and entered into this _ _ _ _ _ day of March 2022 (the "Commencement Date"), by and between the SALINAS 101 LLC, a California limited liability company, and/or ASSIGNEE (“Owner”), and the CITY OF SALINAS, a California charter city and municipal corporation ("City").

RECITALS
A. In 2006, as a replacement to the Amended Boronda Memorandum of Understanding and in part to complete a condition in the settlement of litigation between the City and the County of Monterey (“County”), the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI).

B. The GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County.

C. Since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010).

D. In its Economic Development Element, the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development.

The lands which comprise Area K (the “North Entrance,” as it is referred to in the Economic Development Element) are currently within the County’s jurisdiction and are designated as public/quasi-public, open space, farmlands, permanent grazing, and commercial in the County’s General Plan. Area K, shown and marked on Exhibit A, is comprised of a Target Area K (“Target Area K”), where near to mid-term development is projected by the City, and an Economic Development Reserve area (“Reserve Area K”), also identified on Exhibit A, which is to accommodate the City’s longer-term economic development needs.

E. Recognizing that the GSA-MOU needed to be updated to reflect current land use development plans and current planned or contemplated development projects and desiring to cooperate in the planning of certain development projects either within the current boundaries of the City, or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas, the City and County entered 2 | P a g e
into an Addendum to the GSA-MOU in June 2019.

F. Owner represents it has acquired lawful title to property currently located within the unincorporated area of Monterey County identified by Monterey County Assessor's Parcel Number 113-091-017, of approximately 17.5 acres, as described in Legal Description in Exhibit B located near the intersection of Sala Road and Harrison Road (the "Property"), and generally depicted as Parcel 113-091-017 on the Assessor’s Parcel Map described in Exhibit C. G. Owner proposes to develop a commercial project on commercially designated lands under the County of Monterey’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the City’s Economic Development Reserve Area K and has submitted a project application to the County.

H. As stated in the 2019 Addendum to the GSA-MOU, the County may consider a proposal to develop a commercial project on commercially designated lands under the County’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the Reserve Area K. The City and County agree to coordinate efforts to process land use entitlements for the potential development of Area K. The County is to act as Lead Agency for purpose of application processing and environmental documentation (CEQA Compliance) for the proposed project.

I. The County will not deem Owner’s application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the Property, Owner has requested a Will Serve Letter from the City to connect to its wastewater collection and disposal system.

J. City currently owns and operates a wastewater collection system which collects wastewater originating in its service area and conveys that wastewater through the City disposal system. This wastewater collection and disposal system includes a 10-inch sewer main currently terminating at the intersection of Russell Road and North Main Street (“Connection Point”). The City's wastewater collection and disposal system including wastewater service is referred to herein as the "Disposal System”.

K. Extension of wastewater service outside the City’s boundaries to a portion of the unincorporated County will require agreement by M1W (Monterey One Water), a Joint Powers Authority (JPA), to accept the wastewater. The property is within the M1W JPA boundaries and JPA’s are not subject to LAFCO for actions to serve their customers.

L. City has reviewed studies prepared by the Owner, at Owner’s cost t o c a l c u l a t e the anticipated wastewater generation from the proposed project to be located on the Property, determine the wastewater line size to serve the Property and potential other development along Harrison Road in EDE Target Area K, Reserve Area K and a proposed farmworker housing project located in Reserve Area K, north of the Property (“Housing Project”), 3 | P a g e
(as identified on Exhibit A) and projected impact to the City’s downstream wastewater system capacity.

M. If, and when the City moves forward with the annexation of Area K, the Owner shall reasonably support and cooperate with the City in the annexation of the Owner’s Property into the City at the sole expense of the City.

AGREEMENT
NOW, THEREFORE, City and Owner agree to the following terms by which the City will grant a Will Serve Letter for connection to the City’s Disposal System.

ARTICLE I. RIGHTS AND OBLIGATIONS

1. Recitals Incorporated. The recitals set forth above are true and correct and are hereby incorporated into and made a part of this Agreement.

2. Term, Ownership and Effectiveness of Agreement. This Agreement shall become binding on both parties upon signature execution by both parties hereto and within five (5) business days from its mutual execution the City will provide “will serve” assurance to the Owner for access to the City’s Disposal System in the form of a written letter or other written instrument. Further, this Agreement shall become effective (the Effective Date) when appropriate County Planning approvals and entitlements are noticed by the County Housing and Community Development Department, along with CEQA Documentation (Notice of Determination filed).

The Effective Date shall act as a trigger to implement the Agreement. The Agreement shall continue until such time as the Property is annexed into the corporate boundaries of City, except the parties’ representations, indemnities and warranties herein shall survive such annexation.

At such time, the Owner and/or its tenants shall have such rights, privileges and duties, including fees and rates, as all other City citizens for the then current wastewater disposal classification.

3. Location for Connection to City Disposal System. Owner and City acknowledge the nearest City municipal sanitary sewer lateral to serve the Property will be at the Connection Point. Connection to City's Disposal System by Owner shall be made at this location. The Owner, at Owner’s expense, has prepared and provided to the City a sewer capacity study and analysis from the Connection Point through the City’s downstream Disposal System. The City has reviewed and accepted the study prepared by the Owner. 4. New Sewer Line. Owner shall construct, at Owner's cost, a new ten (10) -inch sewer line (the ''New Sewer Line") within the right of way of Harrison Road from the City Connection Point to a point on Harrison Road adjacent to the Property. The New Sewer Line will then be connected to the Property via a lateral connection on to the Property, to be 4 | P a g e
installed by the Owner to City standards, including all road cuts, patching, permits, and inspections to connect the Property to City's Disposal System. Owner will obtain and pay fees for County and City encroachment permits and building permits to construct the New Sewer Line, which will be proportionally reimbursed by users of the New Sewer Line, as provided in the Reimbursement Agreement described in Section 6 below.

5. Standards and Permits for New Sewer Line. Owner represents, warrants and covenants to the City that Owner shall construct the New Sewer Line after receiving all respective County and City permits and that the New Sewer Line will be constructed in accordance with City standards and all respective laws. Any City permits to build the New Sewer Line will not be unreasonably withheld, conditioned or delayed, including but not limited to, City encroachment and building permits.

6. Reimbursement for Owner’s Costs of New Sewer Line. C i t y a n d O w n e r a re c o n c u r r e n tl y e n t e r i n g i n t o a Reimbursement Agreement that provides for developers of, and users within, the Target Area K, Reserve Area K, the Housing Project and other areas, based on Disposal System capacity, to reimburse Owner their proportionate share of costs for building the New Sewer Line. The term of said agreement shall be a minimum of thirty (30) years but in no instance terminate before Owner is fully reimbursed its proportionate costs, unless Owner and City agree to an earlier termination. Fair share cost for reimbursement will be calculated by a wastewater flow methodology, as more particularly provided in the Reimbursement Agreement.

7. Maintenance of New Sewer Line Prior to Acceptance by City. Until the New Sewer Line is dedicated to and accepted by City (at which time City shall maintain, repair and replace the New Sewer Line at the City’s sole cost and expense, subject to the terms of Paragraph

9.c below), Owner shall, at its sole cost and expense, maintain and repair the New Sewer Line.

City's sign off and acceptance of the New Sewer Line shall not be unreasonably withheld, conditioned or delayed. Prior to dedication to the City, Owner's obligation to maintain, repair and replace the New Sewer Line shall include, without limitation, any maintenance, repair or modification of the New Sewer Line that may be reasonably required by City. Should Owner fail to appropriately maintain, repair or modify the New Sewer Line prior to such dedication, then City shall have the right, but not the obligation, to maintain, repair or modify the New Sewer Line. Prior to such dedication, should City elect to maintain, repair or modify the New Sewer Line pursuant to this paragraph, then Owner shall reimburse City for all reasonable fees, costs and expenses incurred by City to maintain, repair or modify the New Sewer Line within sixty (60) days after the date of invoice from City. This provision shall only apply to the New Sewer Line and the Owner shall not be responsible for maintenance or repair of the City’s Disposal System.

The City shall not allow any connections to the New Sewer Line unless and until the New Sewer Line is dedicated to and accepted by the City.

8. Maintenance of Private Sewer Facilities. The sewer lateral installed by Owner within the City or County right of way extending to the New Sewer Line, and all facilities on the 5 | P a g e
Property or within private streets within the Property, shall be private ("Private Sewer Facilities"). It is the sole responsibility of Owner to repair, maintain and replace all Private Sewer Facilities.

9. Dedication of New Sewer Line to City. As soon as the Owner completes construction of the New Sewer Line from the existing Connection Point at Russell Road and North Main Street to the Property (which will allow Owner to begin using the New Sewer Line), the following shall occur (collectively the "Sewer Service Provisions"):
a. Owner shall make an irrevocable offer of dedication, free of charge, of the entire New Sewer Line to City. City agrees to accept said dedication and conveyance within ninety (90) days and shall not be unreasonably withheld, conditioned or delayed. b. All easements necessary for the New Sewer Line shall be conveyed to City and shall be in a form reasonably acceptable to City. c. Owner shall remedy any defective work or labor, or any defective materials relating to the construction and installation of the New Sewer Line and pay for any damage to other work or improvements resulting therefrom which shall occur within a period of one (1) year from the date of City's acceptance of the New Sewer Line. d. Prior to its acceptance by City, City shall not allow any connection to the New Sewer Line (other than Owner’s Private Sewer Facilities), and Owner shall not allow any connection to the New Sewer Line except as authorized by City, and concurrently upon execution of this Agreement the City shall ensure that Monterey One Water will accept the wastewater.
e. Except as provided in subparagraph 9.c above, City shall be solely responsible for the maintenance, repair, and replacement of the New Sewer Line upon the City’s acceptance of the New Sewer Line, and agrees to hold harmless, defend and indemnify the Owner and its officers directors, managers, members, shareholders, employees, agents, representatives, contractors, successors and assigns from any claims arising from or related to the New Sewer Line after the City’s acceptance of same, including claims arising from the City’s active or sole negligence, subject to the terms of subparagraph 9.c above.

10. City to Provide Sewer Services. Upon Owner's full and complete performance of all of Owner's obligations and responsibilities under this Agreement, and completion of construction of the New Sewer Line from the existing Connection Point at Russell Road and North Main Street to the Property, City agrees to provide Owner's Property with sewer services from City's Disposal System commensurate with payment of City Sewer service fees by each end user.

City's obligation to provide Owner’s Property with wastewater services from City's Disposal System is conditioned upon City and Owner obtaining the consent of all applicable governmental agencies, which both Owner and City shall diligently pursue. As a condition to providing sewer 6 | P a g e
service, City shall have the right of access to the New Sewer Line and water meters, including any required irrigation meter(s). Owner relinquishes ownership rights of effluent it discharges into the City's Disposal System.

11. Obligations and Responsibilities of Owner to Pay for Municipal Utility Services Provided by City. Owner and/or Owner’s tenants shall agree to promptly pay to City any and all statutory and/or customary connection and service fees, development impact fees, the downstream improvement contribution described in Section 12 below, permitting fees, plan check fees associated with connection and construction of the New Sewer Line. These fees can be added to the total cost of construction and be included in the Reimbursement Agreement. Owner and/or Owner’s tenants agree to apply to City for a municipal utility sewer account and maintain its sewer municipal utility service account with City in a current status.

12. Upgrading the System. The City has determined, and the Owner has agreed to pay, a fair share one-time contribution of sixty-four thousand six hundred dollars ($64,600.00) for downstream improvements to the City’s Disposal System. This amount shall be adjusted every January 1 in accordance with the Engineering News Record (ENR) construction cost index until the contribution is received by the City. The Owner will make this fair share onetime contribution concurrent with receiving the first grading or building permit, whichever is f irst, for the Property. The City will analyze and be responsible for upgrading the system within the City limits at no additional cost to the Owner and/or Owner’s tenants.

13. Indemnification of the City. Until such time that the New Sewer Line is dedicated to and accepted by the City, to the greatest extent allowed by law, Owner shall indemnify, defend, and hold harmless the City and its officers, officials, employees, agents and volunteers from any and all loss, liability, fines, penalties, forfeitures, costs, and damages incurred by the City, Owner, or any other person, and from any and all claims, demands, liabilities, damages, and actions in law or in equity (including attorney’s fees and litigation expenses incurred by the City or held to be the liability of the City, including plaintiffs’ attorney fees, if awarded), arising or alleged to have arisen directly or indirectly out of the making of this Agreement for the performance of any and all work related to and arising or alleged to have arisen directly or indirectly in any way related to the design, construction, installation, maintenance, and operation of the New Sewer Line including, without limitation, any such claims, causes of action, damages, liabilities, fees, costs, expenses, and attorney’s fees arising from inadequate flow, blockage, backflow, etc. Owner’s obligation under the preceding sentence shall apply regardless of whether Owner or any of its officers, officials, employees, agents, or volunteers are passively negligent, but shall not apply to any loss, liability, fines, penalties, forfeitures, costs or damages caused by the active or sole negligence of the City or any of its officers, officials, employees, agents, or volunteers. This section shall survive termination or expiration of this Agreement; however, Owner’s obligations herein shall terminate and be of no further force or effect upon the City accepting dedication of the New Sewer Line.

14. Covenants Running with the Land. Owner a n d t h e C i t y acknowledge 7 | P a g e
and agrees all of Owner’s a n d C i t y ’ s covenants, agreements, promises, representations and warranties as set forth in this Agreement are covenants running with Owner's Property as defined in the applicable provisions of Sections 1457 et seq. of the California Civil Code, shall be in favor of and for the benefit of City and Owner and shall be enforceable by City and Owner and their successors and assigns. The parties’ covenants, agreements, promises, representations and warranties as contained in this Agreement, shall run with the Property and shall be binding on the parties and their successors, assigns, lessees and all parties and persons claiming under them. Owner consents to this Agreement being recorded as a covenant running with the Property.

15. Successors and Assigns. The covenants and agreements contained in this Agreement shall be binding upon and shall inure to the benefit of the heirs, successors and assigns of the parties hereto. Own er shal l pr omptly n otif y Ci ty of any as signment by Own er of its rights an d obli gatio ns h ereun der. Assignment of this Agreement shall relieve Owner of its obligations and responsibilities under this Agreement and obligate Owner’s assignee to comply with the terms of this Agreement.

16. 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 personally, transmitted by facsimile or email followed by telephone or electronic confirmation of receipt, or sent by United States registered or certified mail, with postage prepaid, return receipt requested, addressed to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given two (2) days after the mailing thereof. All notices regarding any new or increased fee or rate increases affecting the applicable fees and rates in this Agreement shall be provided in the same manner provided to all customers subject to the new or increased fees and charges.

17. Binding. Once this Agreement is signed by all parties, it shall be binding upon, and shall inure to the benefit of, both parties. Although the Agreement is binding on both parties upon signature and provides the Owner with the City’s commitment to provide connection to and service from the City’s Disposal System (“will serve”), it only becomes effective upon receiving appropriate planning entitlements to build a project on the Property.

18. Compliance with the Law. In providing the services required under this Agreement, Owner a n d C i t y shall at all times comply with all applicable laws of the United States, the State of California, the City, the County, and with all applicable regulations promulgated by federal, state, regional, or local administrative and regulatory agencies, now in force and as they may be enacted, issued, or amended during the term of this Agreement.

Owner, not City, is responsible for determining applicability t o O w n e r ’ s p e r f o r m a n c e s h e r e i n of and compliance with all local, state and federal laws including, without limitation, the California Labor Code, Public Contract Code, Public Resources Code, Health & Safety Code, and Government Code; the City Charter; and the County 8 | P a g e
Codes. City makes no representations regarding the applicability of any such laws to this Agreement, the project, or the parties' respective rights or obligations hereunder including, without limitation, payment of prevailing wages, competitive bidding, subcontractor listing, or other matters. City shall not be liable or responsible, in law or equity, to any person for Owner' failure to comply with any such laws, whether City knew or should have known of the need for Owner to comply, or whether City failed to notify Owner of the need to comply.

19. 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 a 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.

20. Public Health, Safety, and Welfare. Nothing contained in this Agreement shall limit City's authority to exercise its police powers, governmental authority or take other appropriate actions to address issues of public health, safety and welfare as deemed appropriate by City in its sole determination and discretion.

21. Governing Law and Venue. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of California, excluding, however, any conflict of laws rule which would apply the law of another jurisdiction. Venue for purposes of the filing of any action regarding the enforcement or interpretation of this Agreement and any rights and duties hereunder shall be Monterey County, California.

22. 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.

23. Severability. The provisions of this Agreement are severable. The invalidity or unenforceability of any one provision in this Agreement shall not affect the other provisions.

24. Interpretation. The parties acknowledge that this Agreement in its final form is the result of the combined efforts of the parties and that, should any provision of this Agreement be found to be ambiguous in any way, such ambiguity shall not be resolved by construing this Agreement in favor of or against either party, but rather by construing the terms in accordance with their generally accepted meaning.

25. Attorney's Fees. If either party is required to commence any proceeding or legal action to enforce or interpret any term, covenant or condition of this Agreement, the prevailing party in such proceeding or action shall be entitled to recover from the other party its reasonable attorney's fees, costs and legal expenses.

26. Exhibits. Each exhibit and attachment referenced in this Agreement is, by the reference, incorporated into and made a part of this Agreement. 9 | P a g e

27. Precedence of Documents. In the event of any conflict between the body of this Agreement and any exhibit or attachment hereto, the terms and conditions of the body of this Agreement shall control and take precedence over the terms and conditions expressed within the exhibit or attachment. Furthermore, any terms or conditions contained within any exhibit or attachment hereto, which purport to modify the allocation of risk between the parties provided for within the body of this Agreement, shall be null and void.

28. Time of Essence. Time is of the essence in the fulfillment by the parties hereto of their obligations under this Agreement.

29. Amendment. No amendment or waiver of any provisions of this Agreement, or consent to any departure from its terms, shall be effective unless the same shall be in writing and signed by the parties hereto.

30. Cumulative Remedies. No remedy or election hereunder shall be deemed exclusive but shall, wherever possible, be cumulative with all other remedies at law or in equity, except Owner (i) cannot seek money damages or pursue an action in law; and (ii) is instead limited to bringing a proceeding in the nature of specific performance, injunctive relief or mandamus, or any other action in equity to require good-faith compliance with this Agreement, such as an action to provide Owner's Property with sewer services from City's Disposal System.

31. 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.

32. Extent of 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 City and Owner.

33. Third Party Approvals. The parties acknowledge that there are approvals from third parties that are required to allow the City to provide the Owner's Property with sewer services from the City's Disposal System. The approvals are conditions precedent to performance, and the City and Owner shall cooperatively seek said third-party approvals in good faith. LAFCO approvals are not required to obtain either County entitlement approvals or Monterey One Water acceptance of wastewater from the Property. It is acknowledged that LAFCO approvals are required for future annexation of the Property to the City of Salinas. The Owner 10 | P a g e
agrees it will not protest a future annexation of the property by the City.

34. Execution in Counterparts. This Agreement may be executed in counterparts, including electronically, all of which taken together shall constitute an original hereof.

IN WITNESS WHEREOF, the parties have executed this Agreement at Salinas, California, the day and year first above written.

CITY OF SALINAS, a California charter city and municipal corporation ____________________________________
Kimbley Craig, Mayor
200 Lincoln Avenue
Salinas, CA 93901
APPROVED AS TO FORM:
____________________________________
Christopher A. Callihan, City Attorney
ATTEST:
_____________________________________
Patricia M. Barajas, City Clerk
OWNER
SALINAS 101 LLC, a California
limited liability company, and/or ASSIGNEE
By: The Sobel Company, Inc.

Managing Member
_____________________________________
Bradley A. Sobel, President
The Sobel Company, Inc.
9454 Wilshire Boulevard
Suite 210
Beverly Hills, CA 90212
11 | P a g e
Attn: Bradley Sobel
Phone: 310-277-4697
Email: [email protected]
Exhibits:

A. EDE Economic Opportunity Area K Map
B. Legal Description of Property
C. Assessor’s Parcel Map
EXHIBIT "A"
EDE Economic Opportunity Area K Map
EXHIBIT "B"
Legal Description of Property
The land referred to is situated in the unincorporated area of the County of Monterey, State of California, and is described as follows:

Certain real property situate in the Rancho Bolsa De Las Escarpinas in the County of Monterey, State of California, being a part of Lots 1 and 2 of “Parcel Two” shown on map entitled, “Partition Map Accompanying Report of Referees Showing Subdivisions, Espinosa Portion of the Rancho Bolsa De La Escarpinas”, filed July 10, 1925 in Volume 2 of Surveys at Page 28, Records of said County, and being also a part of that certain 35.16 acre tract of land described in Deed from A.D. Martins to Frank D. Martines et al, dated February 10, 1948, and recorded in Volume 1039 of Official Records at Page 201, records of said County, said part being particularly described as follows:

Beginning at a 1-1/2” diameter iron pipe standing in the Westerly boundary of said 35.16 acre tract of land from which the most Northerly corner thereof bears along said boundary N. 10° 51’ 56” E., 589.87 feet distant and running thence from said place of beginning parallel with the Northeasterly boundary of said 35.16 acre tract of land (1) S. 63° 03’ 27” E., 1,178.39 feet to a 1-1/2” diameter iron pipe standing in the line common to said 35.16 acre tract of land and Harrison Road (a county road 60 feet wide) from which a 6” x 6” granite monument standing at the corner common to said lots 1 and 2 in said Westerly line of Harrison Road bears along said common line N. 4° 05’ 25” W., 157.78 feet distant; thence along said common line
(2) S. 4° 05’ 25” E., 706.17 feet to a 6” x 6” granite monument standing at the most Southerly corner of said Lot 2 and said 35.16 acre tract of land; thence leave said common line and running along the Southwesterly boundary of said Lot 2 and said

35.16 acre tract of land
(3) N. 70° 45’ 55” W., 1,168.21 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of said 35.16 acre tract of land in the Easterly line of California State Highway U.S. 101; thence along the line common to said State Highway and said 35.16 acre tract of land
(4) N. 17° 06’ 14” W., 122.0 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of that certain 1.017 acre tract of land designated as “Parcel 2” in deed from Frank Dutra Martins et al., to Adeline Anderson dated January 19, 1951, and recorded in Volume 1275 of Official Records at Page 46, records of said county; thence leave said common line and running along the Southwesterly boundary of said 1.017 acre tract of land (5) S. 70° 45’ 55” E., 149.02 feet to a 1-1/2” diameter iron pipe standing at the most Easterly corner of said 1.017 acre tract of land; thence along the Northeasterly boundary thereof
(6) N. 17° 06’ 14” W., 415.87 feet to a 1-1/2” diameter iron pipe standing at the most Northerly corner of said 1.017 acre tract of land at the Southeast corner of that certain 0.9837 acre tract of land designated as “Parcel 1” in said deed recorded in Volume 1275 of Official Records at Page 46, records of said county; thence along the Easterly boundary of said 0.9837 acre tract of land (7) N. 28° 51’ W., 49.15 feet to a 1-1/2” diameter iron pipe; thence (8) N. 9° 42’ W., 64.09 feet to a 1-1/2” diameter iron pipe standing in the boundary common to said 0.9837 acre tract of land and said 35.16 acre tract of land; thence along the Westerly boundary of said 35.16 acre tract of land (9) N. 10° 51’ 56” E., 287.43 feet to the place of beginning.

EXCEPTING THEREFROM, the Lands as set forth in the Final Order of Condemnation recorded April 20, 2011 as Document No. 2011022876 of Official Records.

APN: 113-091-017
Page
EXHIBIT “C”
Assessor’s Parcel Map
1 REIMBURSEMENT AGREEMENT
THIS REIMBURSEMENT AGREEMENT (“Agreement”) is made and entered into this _ _ _ _ _ day of _________, 2021 (the “Effective Date"), by and between the CITY OF SALINAS, a California charter city and municipal corporation ("City"), and SALINAS 101 LLC, a California limited liability company, and/or ASSIGNEE (“Owner”).

RECITALS
A. Owner represents it has acquired lawful title to property currently located within the unincorporated area of Monterey County which is located near the intersection of Sala Road and Harrison Road and which is identified by Monterey County Assessor's Parcel Number 113-091- 017-000 consisting of approximately 17.5 acres of land as more specifically described in the Legal Description attached hereto as Exhibit A and shown in the map attached hereto as Exhibit B (the "Property").

B. The Property is adjacent to that area identified in the City’s Economic Development Element as Target Area K (“Target Area K”) and is within that area identified in the City’s Economic Development Element as Economic Development Reserve Area K (“Reserve Area K”), and is south of a proposed farmworker housing project (“Housing Project”), all of which are shown in Exhibit B.

C. Owner is proposing to develop a commercial project under the County of Monterey’s General Plan on the Property (“Project”) and has submitted a project application to the County of Monterey (“County”).

D. The City owns and operates a wastewater collection system which collects wastewater discharge originating within the City’s limits and conveys such wastewater discharge through the City disposal system. This wastewater collection and disposal system includes a ten (10)-inch sewer main currently terminating at the intersection of Russell Road and North Main Street (“Connection Point”). The City's wastewater collection and disposal system is referred to herein as the "Disposal System”.

E. The County has indicated to the City and the Owner that it will not deem Owner’s project application complete without a wastewater treatment plan. Since neither the County nor any other public agency currently provides wastewater service to the Property, Owner has requested a “Will Serve Letter” from the City to connect to its Disposal System.

Exhibit C
2 F. The City has reviewed studies prepared by the Owner, at Owner’s cost, t o c a l c u l a t e the anticipated wastewater generation from the proposed Project, and has determined the disposal line size of 10 inches is required to serve the Property and potential other development in Target Area K and the Housing Project, all of which are projected to impact the City’s downstream Disposal System capacity.

G. City and Owner entered into an Extraterritorial Wastewater Service Agreement on ________ __, 2021 in which Owner agreed to construct, at Owner's cost, a new ten (10)-inch wastewater sewer line (the ''New Sewer Line") within the right of way of Harrison Road from the Connection Point to a point on Harrison Road adjacent to the Property.

H. The New Sewer Line will then be connected to the Property via a lateral connection, to be installed by the Owner to City standards, including all road cuts, patching, permits, and inspections to connect the Property to the Disposal System. Owner will obtain and pay fees for County and City encroachment permits and building permits to construct the New Sewer Line and connect to the Disposal System.

I. The City desires that future development and users (collectively referred to as “users” herein) in Target Area K and the Housing Project be allowed to use the New Sewer Line, and requests that the Owner’s New Sewer Line accommodate Owner’s Project as well as such other existing or future potential uses in that area.

J. This Agreement establishes a mechanism for future users to reimburse the Owner for their proportionate share of the costs incurred by Owner installing the New Sewer Line from the Project to the Connection Point. Such proportionate share shall be based on the estimated wastewater generation of future users of lands located within Target Area K and the Housing Project. This Agreement provides for the users in Target Area K, the Housing Project and any other areas to pay to City such users’ proportionate share of Owner’s costs for installing the New Sewer Line, and City to then remit such payments to Owner.

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and understandings hereinafter set forth, the City and the Owner hereby set forth their agreement a follows:

AGREEMENT

1. Recitals. The recitals set forth above are true and correct and are made a part of this Agreement.
3 2. Project. The Project includes the construction of a ten (10)-inch municipal sewer line extension from the Project to the Connection Point as approved by the City Engineer (the New Sewer Line). Owner will design, fund, and construct the New Sewer Line in conformance with City standards.

3. Reimbursement. Owner shall be entitled to proportional reimbursement as described in this section:
a. The Owner must complete construction of the New Sewer Line. Upon completion, the Owner is eligible to be reimbursed for a portion of its “Actual Costs”, which includes but is not limited to, the expenses of design, engineering, construction, installation, inspection, supervision, insurance, encroachment, construction permit fees, and other costs that can be ascertained and agreed to by Owner and City.

Owner shall pay encroachment and construction permit fees to the County and connection, service and impact fees to the City, but shall not be required to pay the same fee to both the City and County. Actual Costs shall not include connection, service and impact fees exclusively associated with Owner’s Project, the $64,600 downstream improvement contribution required by the City, and costs attributable to Owner’s projected pro rata share of use of the New Sewer Line, as specified in Exhibit C, to be attached hereto after installation of the New Sewer Line is complete. b. The Owner shall have a right to reimbursement of its Actual Costs. The City shall provide written notice to Owner of (i) a request from each Sharing Party (defined below) to hook up to the New Sewer Line, and (ii) each Sharing Party connecting to the New Sewer Line. Additionally, at least annually after the Effective Date, the City will provide to Owner an accounting certified by the City as true and correct reflecting all reimbursement fees received by City from Sharing Parties, and all such fees paid by City to Owner. Owner shall have a right to audit, at its expense, the books and records of City concerning Sharing Parties’ payments of fees associated with building permits, sewer connections and other fees related to development within Target Area K and the Housing Project benefiting from the New Sewer Line. Upon fourteen (14) days’ notice, City shall either provide to Owner copies of all such books and records, or make such books and records available for inspection by Owner and/or its advisors.
c. The City will collect reimbursement from users located within Target Area K and the Housing Project that benefit from the New Sewer Line, including upstream users accessing the New Sewer Line indirectly through an upstream connection point, all located in the parcels (or a portion thereof) as shown and listed in Exhibit 4 D (each a “Sharing Party” or collectively “Sharing Parties”). The Sharing Parties will be responsible for their share of the Actual Costs of the New Sewer Line based on the formula described in Exhibit E attached hereto. The fees shall be collected by the City from each Sharing Party prior to the City’s issuance of any building permit for connecting to the New Sewer Line for such Sharing Party. Payment of such fees by the Sharing Parties shall be a condition to their receiving a building permit from the City. The City will not allow any Sharing Parties to hook up to the New Sewer Line without their first paying their share of the Actual Costs. d. The actual amounts to be paid to the Owner shall be based upon the final Actual Costs of the New Sewer Line, which shall be evidenced by invoices or other evidence of such costs provided by the Owner, and as verified by the City’s Public Works Director. The Owner shall provide the City with documentation of the scope of work and the invoices showing the amounts actually paid by the Owner for the Actual Costs of the New Sewer Line. Exhibit C will then be updated to reflect final Actual Costs. As stated above, Owner’s Actual Costs to be reimbursed shall be reduced by costs attributable to Owner’s projected pro rata use of the New Sewer Line.
e. The City shall pursue reimbursement from the Sharing Parties, with the costs of pursuing reimbursement borne solely by the City in the following two instances:

The City shall pay (i) all clerical and administrative costs of notifying and billing users, collecting payments, disbursing payments to Owner, providing the annual accounting described above, working with users and Owner to generally facilitate the reimbursement process described in this Agreement, and otherwise performing normal and customary City functions (including inspections, permit issuance, etc.), and (ii) all costs of pursuing payment from a user that obtains a building permit from the City and/or connects to the New Sewer Line without first paying its proportionate reimbursement amount as described herein. All reimbursements due under this Agreement shall be promptly paid by the City to the Owner as the City obtains the funds from the Sharing Parties after completion of the New Sewer Line, as certified by the Owner’s contractor to the City’s Public Works Director. The City shall notify each user of the reimbursement amount it owes hereunder (“City’s Notice”). Under Government Code Section 66020(d)(1), a user has ninety (90) days from the date of the City’s Notice to indicate that it is paying the fees under protest.

Under Government Code Section 66020(d)(2), if the user pays the fees under protest, the user has one hundred eighty (180) days from the date of the City’s Notice to file a legal action seeking to recover the fees. City shall pay the reimbursement fees to Owner within thirty (30) days after the 90-day or 180-day deadline above, whichever is applicable. If, however, an action has been instituted, 5 the City shall pay such funds to the Owner within thirty (30) days after the action has been completed and the authority of the City to collect such charges is sustained. The parties shall be bound by any statutes amending or succeeding the statutes cited above.
f. Notwithstanding any terms to the contrary contained herein, the City may allow property owners in Reserve Area K to hook up to the New Sewer Line, provided:
(i) the City determines that the New Sewer Line has sufficient capacity, (ii) such owners in Reserve Area K are treated the same as “users” and “Sharing Parties” herein, and (iii) both the City and such owners in Reserve Area K are bound by all the terms of this Agreement, including such owners being required to pay the reimbursement fees at the same rate described herein prior to hooking up to the New Sewer Line. At such point that Owner has been reimbursed one hundred percent (100%) of its Actual Costs (as defined in Section 3.a above), the City may cease paying Owner any further reimbursement fees hereunder.

4. City’s Best Efforts. The City agrees to use its best efforts, and to take all reasonable and necessary actions, to provide to Owner the reimbursement fees from the Sharing Parties as mentioned in this Agreement. Upon Owner’s request, City will assign to Owner the right to collect the reimbursement fees (and any attorney fees and legal costs) from the Sharing Parties.

5. Term. This Agreement shall become effective, and the obligations herein, commencing on the date first set forth above. This Agreement may be terminated at any time upon the mutual written consent of the parties but shall otherwise remain in force and effect until the Owner is fully reimbursed as provided herein.

6. Non-Recourse Reimbursement Agreement. It is agreed and understood that the City shall levy and use commercially reasonable efforts to collect the fees from the Sharing Parties in accordance with this Agreement with all such fees going to the Owner for reimbursement of the Actual Costs, as provided herein. The costs of levying and collecting fees from the Sharing Parties, including, but not limited to, staff time and administrative expenses, shall be at the City’s cost and expense, as provided in Section 3.e above, and the Owner shall have no recourse against the City for failure to pursue collection of such fees if Sharing Parties refuse to pay and City has not issued a building permit to such Sharing Parties or otherwise allowed Sharing Parties to connect to the New Sewer Line without paying the reimbursement, other than to obtain an assignment of the City’s rights of collection against such Sharing Parties. Notwithstanding the foregoing, the City shall be liable to Owner for the reimbursement fees owed by any user the City permits to hook up to the New Sewer Line without paying its reimbursement fees as provided herein. 6 7. Counterparts. This Agreement may be executed in one or more counterparts, including electronically, each of which is deemed to be an original.

8. Successors and Assigns. The covenants and agreements contained in this Agreement shall be binding upon and shall inure to the benefit of the heirs, successors and assigns of the parties hereto. Owner’s successor or assignee may install the New Sewer Line or receive reimbursement fees of the Actual Costs under the terms and conditions herein.

9. Entire Agreement. This Agreement constitutes the entire Agreement between the parties hereto and supersedes any and all prior agreements, whether oral or written, relating to the subject matter thereof. Any modification of the Agreement will be effective only if it is in writing signed by both parties hereto.

10. Validity. If any provision in this Agreement is held by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions will continue in full force without being impaired or invalidated in any way.

11. Laws. Owner agrees that in the performance of this Agreement it will comply with all applicable State, Federal and local laws and regulations. This Agreement shall be governed by and construed in accordance with the laws of the State of California, County of Monterey, and City of Salinas.

12. 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 personally, transmitted by facsimile or email followed by telephone or electronic confirmation of receipt, or sent by United States registered or certified mail, with postage prepaid, return receipt requested, addressed to the party to which notice is to be given at the party's address set forth on the signature page of this Agreement or at such other address as the parties may from time to time designate by written notice. Notices served by United States mail in the manner above described shall be deemed sufficiently served or given two (2) days after the mailing thereof. All notices regarding any new or increased fee or rate increases affecting the applicable fees and rates in this Agreement shall be provided in the same manner provided to all customers subject to the new or increased fees and charges.

13. Time of Essence. Time is of the essence in the fulfillment by the parties hereto of their obligations under this Agreement.
(signatures are on the following page)
7 IN WITNESS WHEREOF, the undersigned, as authorized representatives of the City and of the Owner have entered into this Agreement as of the Effective Date.

CITY OF SALINAS, a California charter city and municipal corporation ____________________________________
Kimbley Craig, Mayor
200 Lincoln Avenue
Salinas, CA 93901
APPROVED AS TO FORM:
____________________________________
Christopher A. Callihan, City Attorney
ATTEST:
_____________________________________
Patricia M. Barajas, City Clerk
OWNER
SALINAS 101 LLC, a California
limited liability company, and/or ASSIGNEE
By: The Sobel Company, Inc.

Managing Member
_____________________________________
Bradley A. Sobel, President
The Sobel Company, Inc.
9454 Wilshire Boulevard
Suite 210
Beverly Hills, CA 90212
Attn: Bradley Sobel
Phone: 310-277-4697
Email: [email protected]
8 Exhibits
Exhibit A – Legal Description of Property
Exhibit B – Map of Property, Housing Project, Target Area K, Reserve Area K, Salinas City Boundary and Surrounding Area
Exhibit C – Actual Costs (to be attached later)
Exhibit D – Parcels with Sharing Parties
Exhibit E – Reimbursement by Sharing Parties
9 EXHIBIT “A”

LEGAL DESCRIPTION OF THE PROPERTY
The land referred to is situated in the unincorporated area of the County of Monterey, State of California, and is described as follows:

Certain real property situate in the Rancho Bolsa De Las Escarpinas in the County of Monterey, State of California, being a part of Lots 1 and 2 of “Parcel Two” shown on map entitled, “Partition Map Accompanying Report of Referees Showing Subdivisions, Espinosa Portion of the Rancho Bolsa De La Escarpinas”, filed July 10, 1925 in Volume 2 of Surveys at Page 28, Records of said County, and being also a part of that certain 35.16 acre tract of land described in Deed from A.D. Martins to Frank D. Martines et al, dated February 10, 1948, and recorded in Volume 1039 of Official Records at Page 201, records of said County, said part being particularly described as follows:

Beginning at a 1-1/2” diameter iron pipe standing in the Westerly boundary of said 35.16 acre tract of land from which the most Northerly corner thereof bears along said boundary N. 10° 51’ 56” E., 589.87 feet distant and running thence from said place of beginning parallel with the Northeasterly boundary of said 35.16 acre tract of land (1) S. 63° 03’ 27” E., 1,178.39 feet to a 1-1/2” diameter iron pipe standing in the line common to said 35.16 acre tract of land and Harrison Road (a county road 60 feet wide) from which a 6” x 6” granite monument standing at the corner common to said lots 1 and 2 in said Westerly line of Harrison Road bears along said common line N. 4° 05’ 25” W., 157.78 feet distant; thence along said common line (2) S. 4° 05’ 25” E., 706.17 feet to a 6” x 6” granite monument standing at the most Southerly corner of said Lot 2 and said 35.16 acre tract of land; thence leave said common line and running along the Southwesterly boundary of said Lot 2 and said

35.16 acre tract of land
(3) N. 70° 45’ 55” W., 1,168.21 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of said 35.16 acre tract of land in the Easterly line of California State Highway U.S. 101; thence along the line common to said State Highway and said 35.16 acre tract of land
(4) N. 17° 06’ 14” W., 122.0 feet to a 1-1/2” diameter iron pipe standing at the Southwest corner of that certain 1.017 acre tract of land designated as “Parcel 2” in deed from Frank Dutra Martins et al., to Adeline Anderson dated January 19, 1951, and recorded in Volume 1275 of Official Records at Page 46, records of said county; thence leave said common line and running along the Southwesterly boundary of said 1.017 acre tract of land
(5) S. 70° 45’ 55” E., 149.02 feet to a 1-1/2” diameter iron pipe standing at the most Easterly corner of said 1.017 acre tract of land; thence along the Northeasterly boundary thereof
10 (6) N. 17° 06’ 14” W., 415.87 feet to a 1-1/2” diameter iron pipe standing at the most Northerly corner of said 1.017 acre tract of land at the Southeast corner of that certain

0.9837 acre tract of land designated as “Parcel 1” in said deed recorded in Volume 1275 of Official Records at Page 46, records of said county; thence along the Easterly boundary of said 0.9837 acre tract of land
(7) N. 28° 51’ W., 49.15 feet to a 1-1/2” diameter iron pipe; thence (8) N. 9° 42’ W., 64.09 feet to a 1-1/2” diameter iron pipe standing in the boundary common to said 0.9837 acre tract of land and said 35.16 acre tract of land; thence along the Westerly boundary of said 35.16 acre tract of land (9) N. 10° 51’ 56” E., 287.43 feet to the place of beginning.

EXCEPTING THEREFROM, the Lands as set forth in the Final Order of Condemnation recorded April 20, 2011 as Document No. 2011022876 of Official Records.

APN: 113-091-017
11 EXHIBIT “B”
MAP OF

PROPERTY, HOUSING PROJECT, TARGET AREA K, RESERVE AREA K,

SALINAS CITY BOUNDARY AND SURROUNDING AREA
12 EXHIBIT “C”

ACTUAL COSTS
(The final version of this Exhibit shall replace this version and be inserted here once construction is completed, per Section 3(a) of this Agreement.

Actual Costs, including but not limited to, the expenses of design, engineering, construction, installation, inspection, supervision, insurance, encroachment & construction permit fees, and other costs associated with the New Sewer Line.

Actual Costs shall not include connection, service and impact fees exclusively associated with Owner’s Project and the $64,600 downstream improvement contribution required by the City.

The Actual Costs are estimated to be $2,000,000. The parties do not know whether the Actual Costs will be higher, lower or substantially different than such non-binding estimated amount.

Once the Actual Costs are determined, based on Section 3(a) of this Agreement, such estimated amount shall be removed from this Exhibit and replaced with the Actual Costs approved by the City and Owner.
13 EXHIBIT “D”

PARCELS WITH SHARING PARTIES
14 EXHIBIT “E”

REIMBURSEMENT BY SHARING PARTIES
Using the projected Peak Wet Weather Flows from our study and as an assumption, the New Sewer Line construction cost of $2,000,000*, the unit cost for PWWF is as follows:

Unit Cost (in $ per gallon/day) = Total Cost (in $) / Total PWWF (in gpd) Unit Cost (in $ per gallon/day) = $2,000,000 / 332,740 gpd Unit Cost = $6.01 per gallon/day (or $6.01/gpd)
For example, a builder intends to develop a portion of the Light Industrial area east of Harrison Road. Their facility is projected to generate a Peak Wet Weather Flow of 50,000 gallons/day. Using the unit cost of $6.01/gpd, the builder’s pro rata share of the Harrison Road sewer system will be $300,500 and that would be the amount reimbursed to the Owner. *The $2,000,000 figure used above for the New Sewer Line Construction Cost is only an assumption and is only being used as an example to explain how the formula for reimbursement works. Only after the construction of the New Sewer Line is completed will the final New Sewer Line Construction Cost be determined and then that final number will be used to calculate reimbursements per Section 3(a) of this Agreement.

Sobel
Retail
Site
Target Area K
r
0 500 1,000 2,000
Feet
Proposal Area
Proposal Area Parcels
Salinas Boundary
Other parcels
Target Area K & Sobel Retail Site Parcels
City of Salinas
Layer Credits: USDA FSA, GeoEye, Maxar Exhibit D
RESOLUTION NO. 19422 (N.C.S.)

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SALINAS

APPROVING THE AGRICULTURAL LAND PRESERVATION PROGRAM
WHEREAS, the City of Salinas has adopted and implemented various policies and mitigation measures in its 2002 General Plan and General Plan Final Program EIR relating to the conversion of agricultural lands to urban uses;
WHEREAS, these policies and measures include cooperation and agreements with the County of Monterey to confirm the general growth direction of the City to the north and east, as memorialized in the 2006 Greater Salinas Area Memorandum of Understanding (GSA-MOU); WHEREAS, these policies and measures adopted in the 2002 General Plan also include priority to redevelopment and infill projects, as well as City-Centered growth principles; right to farm notices to ensure respect for farming rights; and buffers between agricultural and nonagricultural uses, amongst other General Plan policies and City codes that support and preserve agricultural lands;
WHEREAS, the City in the 2002 General Plan and in the 2006 GSA-MOU expressed its commitment to the development of an agricultural land conservation easement program; NOW THEREFORE, BE IT RESOLVED that the City Council of the City of Salinas wishes to clarify and state the basic elements of the City's Agricultural Land Preservation Program.

NOW THEREFORE, BE IT FURTHER RESOLVED that the Council approves adopts the attached Agricultural Land Preservation Program attached hereto and incorporated by reference.

PASSED AND ADOPTED this 8
th day of April 2008, by the following vote:

AYES: Councilmembers Barnes, Barrera, Sanchez, Villegas, and Mayor Donohue NOES: Councilmember Lutes
ABSENT: Councilmember De La Rosa
ATTEST: � 6L,yv\(\ C ft O •
Ann Camel, City Clerk
Exhibit E

This document was produced on recycled paper.

MITIGATION MONITORING PROGRAM

CITY OF SALINAS ECONOMIC DEVELOPMENT

ELEMENT PROGRAM EIR

PREPARED FOR
City of Salinas
Lisa Brinton, Senior Planner
65 W. Alisal Street
Salinas, CA 93901
Tel  831.758‐7387

PREPARED BY
EMC Planning Group Inc.
301 Lighthouse Avenue, Suite C
Monterey, CA 93940
Tel  831.649.1799
Fax  831.649.8399
Ron Sissem, MRP, Principal
[email protected]
www.emcplanning.com
November 8, 2017
Exhibit E

EMC PLANNING GROUP INC. 1

CITY OF SALINAS ECONOMIC DEVELOPMENT
ELEMENT PROGRAM EIR – MITIGATION

MONITORING AND REPORTING PROGRAM

INTRODUCTION
CEQA Guidelines section 15097 requires public agencies to adopt reporting or monitoring programs when they approve projects subject to an environmental impact report or a negative declaration that includes mitigation measures to avoid significant adverse environmental effects.

The reporting or monitoring program is to be designed to ensure compliance with conditions of project approval during implementation of the project (or projects in the case of a program EIR to which the mitigation measures apply). The purpose is to avoid significant adverse environmental effects.

The law was passed in response to historic non-implementation of mitigation measures presented in environmental documents and subsequently adopted as conditions of project approval. In addition, monitoring ensure that mitigation measures are implemented and thereby provides a mechanism to evaluate the effectiveness of mitigation measures.

A definitive set of project conditions would include enough detailed information and enforcement procedures to ensure the measure’s compliance. This monitoring program is designed to provide a mechanism to ensure that mitigation measures and subsequent conditions of project approval are required for future individual development projects that implement the City of Salinas Economic Development Element.

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MONITORING PROGRAM
The mitigation measures included in the City of Salinas Economic Development Element Final Program EIR are the basis for this monitoring program. The mitigation measures are designed to eliminate or reduce significant adverse environmental effects to less-than-significant levels. The mitigation measures will become conditions of approval for future individual development projects proposed within the Target Areas identified in the program EIR. Acting as the lead agency, the City will conduct a CEQA compliance process for each future individual development project at the time each is proposed. Mitigation measures identified in the City’s 2002 General Plan Final Program EIR and in the City’s 2007 Final Supplement for the General Plan Final Program EIR also apply and are incorporated herein by reference.

The attached monitoring checklist contains all mitigation measures in the City of Salinas Economic Development Element Final Program EIR. In cases where a particular mitigation measure identifies implementation stage timing options or is to be implemented over more than one timing stage, the mitigation measure is placed under each implementation timing stage. The text of the mitigation which applies to that particular stage is highlighted in boldface font.

MONITORING IMPLEMENTATION STAGES
The following implementation timing stages are identified in the monitoring checklist.

Mitigation measures are placed under the respective stage at which they are to be implemented.  During CEQA Process for Future Individual Development Projects within the Target Areas;
 During the Development Review Process for Future Individual Development Projects within the Target Areas;
 Prior to Approval of Future Individual Development Projects within the Target Areas;  Prior to Issuance of a Grading Permit for Future Individual Development Projects within the Target Areas;
 Prior to the Removal of On-Site Trees or Existing Structures for Future Individual Development Projects within the Target Areas;
 Prior to the Issuance of a Building Permit for Future Individual Development Projects within the Target Areas; and
 During Construction of Future Individual Development Projects within the Target Areas.

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MONITORING PROGRAM PROCEDURES
The City of Salinas shall use the attached mitigation monitoring list for the proposed project.

The monitoring program should be implemented as follows:

1. The City of Salinas is responsible for coordinating the monitoring program, including the monitoring list. The City of Salinas is responsible for completing the monitoring list in association with each individual future development project and for distributing the list to the responsible individuals or agencies for their use in monitoring the mitigation measures for such projects.

2. Each responsible individual or agency will then be responsible for determining whether the mitigation measures contained in the monitoring list have been complied with for each future individual development project. Once all mitigation measures have been complied with, the responsible individual or agency should submit a copy of the monitoring list to the City of Salinas to be placed in the project file. If the mitigation measures have not been compiled with, the monitoring list should not be returned to the City of Salinas.

3. The City of Salinas will review the list to ensure that mitigation measures included in the monitoring list have been compiled with at the appropriate time.

4. If a responsible individual or agency determines that a non-compliance event has occurred, a written notice should be delivered by certified mail to the City of Salinas within 10 calendar days, describing the non-compliance and requiring compliance within a specified period of time. If non-compliance still exists at the expiration of the specified period, construction may be halted and fines may be imposed at the discretion of the City of Salinas.

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PROGRAM EIR

MITIGATION MONITORING AND REPORTING PROGRAM
In addition to the mitigation measures listed below, the mitigation measures identified in the City’s 2002 General Plan Final EIR and the Final Supplement to the 2007 General Plan Final Program EIR apply to individual future projects proposed within the Target Areas and are incorporated by reference.
_________________________________________________________________________ During the CEQA Process for Future Individual Development Projects within the Target Areas
BIO-1. To protect Congdon’s tarplant, the presence/absence of Congdon’s tarplant in all annual grassland and ruderal habitats within any Target Area shall be determined during subsequent CEQA processes for individual projects. A qualified biologist shall conduct a focused botanical survey for this species in accordance with current California Department of Fish and Wildlife and California Native Plant Society rare plant survey protocols during its peak blooming period (typically August to September). If the survey concludes that the species is not present, then no further mitigation is required. If this species occurs within any of the Target Areas and would be impacted by development, then appropriate mitigation shall be developed and implemented.

Mitigation shall include, but not be limited to, project developers contracting with a qualified biologist or native plant specialist to collect seed from the annual Congdon’s tarplant individuals within the impact area prior to initiation of ground disturbance activities. Project developers and the City Community Development Department shall oversee selection of an appropriate mitigation area, preferably within the boundary of the individual project site, or in the vicinity, that would not be disturbed in the future.

Collected seed shall be installed at the mitigation area at the optimal time. Topsoil from the occurrence location shall be salvaged (where practical) for use in the mitigation area. A qualified biologist shall develop a project-specific Habitat Management Plan which details methods for Congdon’s tarplant seed collection from the impact area, preparation of the mitigation area, and seed installation at the mitigation area. In accordance with the General Plan, the Habitat Management Plan shall include basic maintenance measures and defined performance standards to manage the rare plant occurrence for its long-term protection and persistence at the mitigation area.

Individual developers of projects within the Target Areas will be responsible for implementation of this mitigation measure with oversight by the City Community

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Development Department as needed. Compliance with this measure shall be documented and submitted to the City as part of the CEQA process for individual projects.

Implementation of mitigation measure BIO-1 will ensure that potential impacts to specialstatus Congdon’s tarplant are mitigated to a less-than-significant level by requiring a determination of whether the species is present and if so, requiring implementation of measures and defined performance standards to collect seed and replant in a mitigation site. With implementation of this mitigation measure, the proposed project would not have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Wildlife or U.S. Fish and Wildlife Service. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
________________________________________________________________________________ BIO-2. To avoid possible impacts to California red-legged frog and California tiger salamander, the drainages within Target Area V and the agricultural areas within Target Areas F, K, or V shall be evaluated during the subsequent CEQA process to determine if suitable aquatic breeding and/or upland aestivation habitat is present.

If no aquatic breeding or upland aestivation habitat is present, but development within the Target Areas or proposed within areas that could be traversed by wandering frogs or salamanders, initial site clearing and grading shall be conducted and completed only during the dry season, which typically extends from April 15 to November 15. Site clearing and grading shall halt if significant rainfall, defined as greater than 0.5-inch per 24 hours within a local watershed, is either forecasted or observed to avoid environmental conditions when California red-legged frog or California tiger salamander would have the potential to be active.

A biologist qualified to assess and monitor California red-legged frog and/or California tiger salamander shall be approved by the City prior to the start of construction activities.

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The biologist shall conduct preconstruction surveys, training sessions, and construction monitoring and reporting, if needed.

Before construction activities begin, the qualified biologist shall conduct a training session for all construction personnel. At a minimum, the training shall include a description of California red-legged frog and California tiger salamander and their habitats, the measures that are being implemented to conserve California red-legged frog and California tiger salamander as they relate to the project (contained herein), and the boundaries within which the project occurs. Informational handouts with photographs clearly illustrating the species’ appearances shall be used in the training session. All new construction personnel shall undergo this mandatory environmental awareness training.

The contractor shall avoid the use of monofilament netting including in temporary and permanent erosion control materials (fiber rolls and blankets).

If proposed construction activities may result in the “take” (harass, harm, pursue, wound, kill, trap, or capture) of California red-legged frog or California tiger salamander, the project proponent shall obtain state and federal Incidental Take Permits, and comply with all stipulated conditions to protect special-status amphibians (including, but not limited to those identified above) and compensate for the permanent loss of California tiger salamander and/or California red-legged frog breeding or upland habitat. To compensate for the permanent loss of habitat, the applicant would be required to preserve or purchase in-kind habitat that is known to provide breeding and/or upland habitat for California tiger salamander and/or California red-legged frog. Compensatory mitigation may be accomplished through one of the following options:
 Establishing a conservation easement on site or off site in a suitable Monterey County location and providing a non-wasting endowment for management and monitoring of the property in perpetuity. Lands placed in a conservation easement must be documented to support California tiger salamander and/or California redlegged frog;  Depositing funds into an USFWS and CDFW approved in-lieu fee program; or  Purchasing credits in a USFWS and CDFW approved conservation bank that includes the project site in its service area.

The applicants for projects within the subject Target Areas will be responsible for implementing this mitigation measure, with oversight by the Community Development Director. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance.

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Implementation of mitigation measure BIO-2 will ensure that potential impacts to federally and/or state-listed amphibian species are reduced by determining whether they are likely to occur within areas proposed for construction, by requiring exclusionary fencing, environmental awareness training, and biological construction monitoring if impacts can be avoided, or obtaining regulatory permits from the U.S. Fish and Wildlife Service and the California Department of Fish and Wildlife via the incidental take permitting process, if impacts cannot be avoided. With implementation of this mitigation measure, the proposed project would not substantially reduce the number or restrict the range of an endangered, rare or threatened species. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
________________________________________________________________________________ CR-2. During the CEQA review process for individual future projects within the Target Areas, archaeological surveys shall be conducted to determine whether any unique archaeological resources or subsurface historic resources are present. Intensive pedestrian surveys should be conducted, and if possible, during a time of the year when ground visibility is optimal (e.g. after plowing of agricultural fields).

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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During the Development Review Process for Future Individual Development Projects within the Target Areas
AG-4. As part of the development review process for future individual projects proposed within Target Areas where such development is located adjacent to actively cultivated agricultural land, the City will determine whether agricultural buffers are required to reduce potential conflicts between proposed urban development and active agricultural operations. Where buffers are required, individual development projects shall be designed to incorporate buffers. Buffers shall be designed on a site-by-site basis to consider potential externalities from adjacent agricultural uses and to minimize potential health and safety effects of these externalities on users of the development proposed adjacent to the agricultural uses.

Buffers shall be placed within the boundary of the urban use unless otherwise agreed to by the developer and owner of the adjacent agricultural use. Buffers may consist of open space, landscaped berms, roads, landscape features, or other features. Buffer locations shall be identified in development plans and include accompanying descriptions that demonstrate how potential conflicts between developed uses and adjacent agricultural uses will be minimized. In cases where adjacent agricultural land is subsequently approved for urban development, buffers may be eliminated/converted to urban use once the potential for urban/agricultural land use conflicts is eliminated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ Prior to Approval of Future Individual Development Projects within the Target Areas
AG-2. To avoid conflicts between future urban development within Target Area B and Target Area V and the Williamson Act contracted use of land within each Target Area, one of the following mitigation options will be implemented by the City:
a. Development defined as incompatible with a Williamson Act contract pursuant to Government Code Section 51201(e) will be prohibited within the portions of Target Areas B and V that are under Williamson Act contract until the applicable Williamson Act contracts are terminated through cancellation or non-renewal; or

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b. The boundaries of Target Areas B and V will be modified to exclude the acreage within a Williamson Act contract.

Prior to approval of future individual projects within Target Areas B or V that conflict with Williamson Act contracts, one or more of the mitigation options shall be implemented through project design, conditions of approval, and/or project-specific CEQA mitigation requirements.

Party Responsible for Implementation: City of Salinas
Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ AG-3. To avoid potential conflicts with a permanent agricultural conservation easement resulting from future development within Target Area B, one of the following mitigation options will be implemented by the City:
a. Development will be prohibited within parcels under permanent agricultural conservation easement; or
b. Coordinate with the Ag Land Trust to exchange the existing agricultural conservation easement with which development of Target Area B could be in conflict with one or more new conservation easements placed on agricultural land in an alternative location such that conflicts are eliminated.

Prior to approval of development within Target Area B which could conflict with the agricultural conservation easement, either or a combination of both of the mitigation options shall be implemented through project design, conditions of approval, and/or project-specific CEQA mitigation requirements.

Party Responsible for Implementation: City of Salinas
Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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GHG-1. Until such time as the City adopts a greenhouse gas reduction plan pursuant to CEQA Guidelines section 15183(5)(b), Plans for the Reduction of Greenhouse Gas Emissions, developers of future individual projects within the Target Areas shall prepare a Greenhouse Gas Reduction Plan (GGRP). The GGRP shall serve as a project specific plan for the reduction of GHGs associated with individual projects. The GGRP shall include the following:
1) A GHG threshold of significance adopted by the City, if any, which is applicable on the date the project application is deemed complete by the City. If none has been adopted by the City, the GGRP shall include a GHG threshold of significance recommended by an appropriate agency such as the air district, or other regional or state agency which is acceptable to the City and applicable on the date the project application is deemed complete by the City. The threshold shall be based on substantial evidence that it is applicable to the proposed project. 2) Calculation of an unmitigated annual project GHG emissions projection using an acceptable modeling tool such as CalEEMod.
3) Calculation of GHG emissions reductions that accrue from applicable building standards and other adopted regulatory requirements in place on the date the project application is deemed complete by the City. These include regulatory requirements such as CALGreen, Pavley standards, Low Carbon Fuel Standard, Advanced Clean Cars, and other future applicable standards or regulatory requirements that may be adopted by the state to implement AB 32 (2020), SB 32 (2030), other state regulations, or future state adopted legislation for reducing GHG emissions, including legislation and implementing regulations designed to achieve post-2030 emissions reduction targets, if any.
4) Calculation of net project GHG emissions volume after reductions are taken for applicable building standards and other adopted regulatory requirements.

Determination whether the net emissions volume exceeds or is below the threshold of significance.
5) If the net emissions volume is above the applicable threshold of significance, the GGRP shall include feasible GHG reduction measures to be implemented to reduce total emissions to below the threshold of significance, if feasible. GHG reduction measures that are site-specific and under control of the applicant shall be prioritized.

These could include, but may not be limited to, building and site energy reduction measures, measures to reduce project-generated vehicle miles traveled, or other measures. Off-site measures such as participation in a community-wide GHG reduction program(s), if any are adopted, or payment of GHG reduction fees (carbon

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offsets) into a qualified existing local program, if one is in place, may be considered after all feasible on-site reduction measures are considered. The effectiveness of the GHG reduction measures included in the GGRP must be verifiable based on evidence presented in the GGRP. Representative GHG reduction measures which may be considered may include, but are not limited to:
• Measures identified by the California Air Pollution Control Officers’ Association in Quantifying Greenhouse Gas Mitigation Measures: A Resource for Local Government to Assess Emission Reductions from Greenhouse Gas Mitigation Measures or updates to this document as may occur from time to time. • Measures identified in guidance from the air district, if any, and/or in guidance provided by other regional air districts such as the Bay Area Air Quality Management District, Sacramento Metropolitan Air Quality Management District, San Luis Obispo County Air Pollution Control District, or other agencies with adopted GHG reduction guidance that is applicable on the date the project application is deemed complete by the City.
• Measures that support implementation of adopted state building guidelines and regulations in place on the date a project application is deemed complete by the City.

These could include, but are not limited to: Tier 1 and Tier 2 building energy reduction measures included in CALGreen, provision of on-site vehicle charging stations or related infrastructure that supports state goals for transportation system electrification enumerated in SB 350, etc.

If sufficient feasible GHG reduction measures are unavailable to reduce GHG emissions to below the threshold of significance, the applicant shall include evidence in the GGRP to this effect. The GGRP shall be subject to review and approval of the Community Development Department prior to approval of the project specific entitlements.

Implementation of mitigation measure GHG-1 shall not be required if the City has a qualified GHG reduction plan in place on the date a future individual project application is deemed complete, the qualified GHG reduction plan reflects the most recent legislatively-adopted GHG reduction targets (e.g., the 2030 target set by SB 32), includes an inventory of projected GHG emissions from development within the Target Areas, and includes GHG reduction measures applicable to development within the Target Areas whose implementation is required as a condition of approval of such projects.

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While mitigation measure GHG-1 would result in reduced GHGs, it is possible that individual projects may not achieve GHG reductions needed for their individual impacts to be less than significant such that the cumulative emissions from all such development would not meet the trajectory of reducing cumulative emissions to below the 2045 emissions reduction target. Therefore, the impact is considered to be significant and potentially unavoidable.

Party Responsible for Implementation: City of Salinas
Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-5. The City will add the required improvements to the segment of E. Harris Road west of Abbott Street that is controlled by the City to the City’s TFO. The improvements include widening the road from two to four lanes. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS D. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-6. The City will add the required improvements to the segment of Natividad Road between East Bernal Drive and East Laurel Drive to the City’s TFO. The improvements

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include widening the road from four to six lanes. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS D. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-7. The City will add the required improvements to the segment of West Laurel Drive between U.S. Highway 101 and Adams Street to the City’s TFO. The improvements include widening the road from four to six lanes in total. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS C. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Payment of the TFO fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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Prior to Issuance of a Grading Permit for Future Individual Development Projects within the Target Areas
AG-1. Developers of future projects within each Target Area shall provide mitigation for conversion of important farmland (Prime Farmland, Farmland of Statewide Importance, and Unique Farmland) to non-agricultural use resulting from development within the Target Areas. At a minimum, mitigation shall include payment of an agricultural land conservation in-lieu fee in effect at the time individual projects are proposed within the Target Areas or dedication of a permanent conservation easement to a qualified thirdparty farmland conservation entity on off-site agricultural land of equal or better quality at a ratio of 1:1. Equal or better quality is land with a California Department of Conservation Farmland Mapping and Monitoring Program farmland classification that is equal to or better than the classification of farmland being converted. The conservation easement shall be placed on land in proximity of the City. If payment of an in-lieu fee is proposed by individual project applicants, the fee amount shall be based on the fair market value of agricultural land at the time individual project applications are submitted. This amount may be updated, if necessary, at the time of project approval.

The fair market value shall be identified through a nexus study or other mechanism approved by the City Attorney. The specific mitigation option to be implemented shall be identified in the CEQA documentation for future individual projects. Individual developers shall demonstrate compliance with the selected performance standard to the Community Development Director prior to issuance of a grading permit by the City.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ AQ-1. Prior to issuance of grading permits, project proponents shall prepare a grading plan subject to review and approval by the City. In the event ground disturbance exceeds 2.2 acres per day for initial site preparation activities that involve extensive earth moving activities (grubbing, excavation, rough grading), and 8.1 acres per day for activities that involve minimal earth moving (e.g. finish grading), the required grading plans shall include the following measures to be implemented as needed to prevent visible dust emissions:
a. Water all active construction sites to prevent visible dust emissions. Frequency should be based on the type of operation, soil, and wind exposure;

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b. Prohibit all grading activities during periods of high wind (over 15 mph); c. Apply chemical soil stabilizers on inactive construction areas (disturbed lands within construction projects that are unused for at least four consecutive days); d. Apply non-toxic binders (e.g., latex acrylic copolymer) to exposed areas after cut and fill operations and hydroseed area;
e. Maintain at least 1’-0” of freeboard in haul trucks; f. Plant tree windbreaks or construct windbreaks on the windward perimeter of construction projects adjacent to open land;
g. Cover inactive storage piles;
h. Sweep streets if visible soil material is carried out from the construction site; and/or i. Post a publicly-visible sign written in English and Spanish with the telephone number and person to contact regarding dust complaints. This person shall respond and take corrective action within 48 hours. The phone number of the air district shall also be visible to ensure compliance with rule 402 (nuisance).

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ BIO-2. To avoid possible impacts to California red-legged frog and California tiger salamander, the drainages within Target Area V and the agricultural areas within Target Areas F, K, or V shall be evaluated during the subsequent CEQA process to determine if suitable aquatic breeding and/or upland aestivation habitat is present.

If no aquatic breeding or upland aestivation habitat is present, but development within the Target Areas or proposed within areas that could be traversed by wandering frogs or salamanders, initial site clearing and grading shall be conducted and completed only during the dry season, which typically extends from April 15 to November 15. Site clearing and grading shall halt if significant rainfall, defined as greater than 0.5-inch per 24 hours within a local watershed, is either forecasted or observed to avoid environmental

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conditions when California red-legged frog or California tiger salamander would have the potential to be active.

A biologist qualified to assess and monitor California red-legged frog and/or California tiger salamander shall be approved by the City prior to the start of construction activities.

The biologist shall conduct preconstruction surveys, training sessions, and construction monitoring and reporting, if needed.

Before construction activities begin, the qualified biologist shall conduct a training session for all construction personnel. At a minimum, the training shall include a description of California red-legged frog and California tiger salamander and their habitats, the measures that are being implemented to conserve California red-legged frog and California tiger salamander as they relate to the project (contained herein), and the boundaries within which the project occurs. Informational handouts with photographs clearly illustrating the species’ appearances shall be used in the training session. All new construction personnel shall undergo this mandatory environmental awareness training.

The contractor shall avoid the use of monofilament netting including in temporary and permanent erosion control materials (fiber rolls and blankets).

If proposed construction activities may result in the “take” (harass, harm, pursue, wound, kill, trap, or capture) of California red-legged frog or California tiger salamander, the project proponent shall obtain state and federal Incidental Take Permits, and comply with all stipulated conditions to protect special-status amphibians (including, but not limited to those identified above) and compensate for the permanent loss of California tiger salamander and/or California red-legged frog breeding or upland habitat. To compensate for the permanent loss of habitat, the applicant would be required to preserve or purchase in-kind habitat that is known to provide breeding and/or upland habitat for California tiger salamander and/or California red-legged frog. Compensatory mitigation may be accomplished through one of the following options:
 Establishing a conservation easement on site or off site in a suitable Monterey County location and providing a non-wasting endowment for management and monitoring of the property in perpetuity. Lands placed in a conservation easement must be documented to support California tiger salamander and/or California redlegged frog;  Depositing funds into an USFWS and CDFW approved in-lieu fee program; or  Purchasing credits in a USFWS and CDFW approved conservation bank that includes the project site in its service area.

The applicants for projects within the subject Target Areas will be responsible for implementing this mitigation measure, with oversight by the Community Development

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Director. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance.

Implementation of mitigation measure BIO-2 will ensure that potential impacts to federally and/or state-listed amphibian species are reduced by determining whether they are likely to occur within areas proposed for construction, by requiring exclusionary fencing, environmental awareness training, and biological construction monitoring if impacts can be avoided, or obtaining regulatory permits from the U.S. Fish and Wildlife Service and the California Department of Fish and Wildlife via the incidental take permitting process, if impacts cannot be avoided. With implementation of this mitigation measure, the proposed project would not substantially reduce the number or restrict the range of an endangered, rare or threatened species. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ BIO-3. To avoid possible impacts to nesting birds occurring within any of the Target Areas, construction activities should be scheduled to take place outside of the bird nesting season (September 16 through January 31). If construction occurs during the bird nesting season (February 1 through September 15), then a qualified biologist shall conduct a preconstruction survey for nesting birds to ensure that no nests would be disturbed during project construction. This survey shall be conducted no more than seven days prior to the initiation of disturbance activities.

If no active nests are present within 250 feet of the locations of planned construction activities, then activities can proceed as scheduled. However, if an active nest is detected during the survey within 250 feet of such activities, a protective construction-free buffer zone from each active nest (typically 250 feet for raptors and 50-100 feet for other species, to be determined by the qualified biologist) will be clearly delineated or fenced until the juvenile bird(s) have fledged (left the nest), unless the biologist determines that construction would not impact active nests.

The applicants for projects within the Target Areas will be responsible for implementation of this mitigation measure, with oversight by the City Community Development

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Department as needed. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance.

Implementation of mitigation measure BIO-3 will ensure that potential impacts to nesting birds are reduced by requiring pre-construction surveys and requiring avoidance measures to ensure development activities will not take or destroy any nesting bird or bird of prey or disrupt the nesting activities of such birds. With implementation of this mitigation measure, the proposed project would not have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Wildlife or U.S. Fish and Wildlife Service. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ BIO-4. To avoid/minimize potential impacts to burrowing owls occurring within any of the Target Areas individual project developers will retain a qualified biologist to conduct a two-visit (i.e. morning and evening) presence/absence survey at areas of suitable habitat on and adjacent to the project site no less than 14 days prior to the start of construction.

Surveys shall be conducted according to methods described in the Staff Report on Burrowing Owl Mitigation (CDFW 2012). If these pre-construction “take avoidance” surveys performed during the breeding season (February through August) or the non-breeding season (September through January) locate occupied burrows in or near construction areas, consultation with the California Department of Fish and Wildlife would be required to interpret survey results and develop a project-specific plan for avoidance, minimization, and compensation.

Where there is insufficient habitat on, adjacent to, or near project sites where burrowing owls will be impacted, acquisition of off-site mitigation lands with occupied burrowing owl habitat may be required in consultation with California Department of Fish and Wildlife.

Compensation may take the form of (a) acquiring and dedicating lands into conservation easements; (b) purchasing mitigation credits at compensation ratios that have been

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approved by the California Department of Fish and Wildlife; or (c) preserving area contiguous or near the acreage lost.

The applicants for projects within the Target Areas will be responsible for implementation of this mitigation measure, with oversight by the City Community Development Department as needed. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance.

Implementation of mitigation measure BIO-4 will ensure that potential impacts to specialstatus burrowing owls are reduced by requiring avoidance measures and/or preconstruction surveys to ensure development activities will not disrupt nesting activities.

With implementation of this mitigation measure, the proposed project would not have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Wildlife or U.S. Fish and Wildlife Service. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ BIO-7. Prior to commencement of construction activities for individual projects within Target Area V, a preliminary jurisdictional wetland assessment will be conducted by a qualified biologist to document the extent of features potentially regulated by the U.S. Army Corps of Engineers, California Department of Fish and Wildlife, and/or the Regional Water Quality Control Board.

If impacts to a federal jurisdictional feature may occur, a Clean Water Act Section 404 Nationwide Permit may be needed. If the proposed activity would not otherwise qualify for a Nationwide Permit, the applicant will proceed with obtaining an Individual Permit from the USACE. For either permit, a wetland delineation report shall first be submitted to the USACE for a jurisdictional determination.

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If impacts to a wetland not subject to federal jurisdiction but subject to state jurisdiction may occur, fill authorization shall be sought from the Central Coast Regional Water Quality Control Board.

For any wetland impacted by individual projects within Target Area V, the project proponent shall take steps necessary to comply with City General Plan Policy COS-18, including the minimum ratios set forth therein for impacts to wetlands and other waters.

Mitigation shall be sufficient to ensure no net loss of wetland area, function, or value, either through wetland creation, restoration, or the purchase of wetland credits through an approved wetland mitigation bank.

A Water Quality Certification (Section 401 of the Clean Water Act) from the Central Coast Regional Water Quality Control Board and Lake or Streambed Alteration Agreement from the California Department of Fish and Wildlife will also be obtained if determined necessary through the wetland assessment and subsequent regulatory agency consultation.

Applicants for projects within Target Area V will be responsible for implementing this mitigation measure with oversight by the City Community Development Department as needed. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance.

Implementation of mitigation measure BIO-7 will ensure that impacts to potentially jurisdictional wetlands and waterways are mitigated by requiring a wetland assessment/jurisdictional determination and associated permitting. With implementation of this mitigation measure, the proposed project would not have a substantial adverse effect on federally or state-protected wetlands (including, but not limited to, marsh, vernal pool, coastal, etc.) through direct removal, filling, hydrological interruption, or other means. Therefore, this impact is less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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CR-1. Developers of individual projects within Target Areas shall retain a qualified historic resources consultant to conduct an historic resources inventory and may be required to perform site specific surveys, based on the probability and likelihood of the existence of historical remains, to determine if significant historical resources are present within proposed individual project sites. Guidelines established by the California State Office of Historic Preservation shall be used to record resources. If significant historic resources are present, the project developer shall preserve the significant historic resource or implement mitigation measures identified by the historic resources consultant. Mitigations shall be reviewed and approved by the Community Development Director and mitigations shall be implemented and completed prior to approval of a grading permit, unless otherwise directed by the Community Development Director.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ CR-3. The following language shall be included in any permit associated with earth moving activities for development projects proposed within Target Areas:

In the event that unique archaeological resources or historical resources are uncovered during excavation and/or grading, all work shall stop in the area of the subject property until an appropriate data recovery program can be developed and implemented by a qualified archaeologist. The Community Development Director shall ensure that the permit language has been included and shall ensure that the appropriate data recovery program is implemented should unique archaeological resources or historical resources be uncovered.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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CR-4. The following language shall be included in any permit associated with earth moving activities for development projects proposed within Target Areas:

In the event that paleontological resources are uncovered during excavation and/or grading, all work shall stop in the area of the subject property until a qualified paleontologist can assess the scientific significance of the paleontological resources and, if they are significant, until an appropriate data recovery program can be developed and implemented. The Community Development Director shall ensure that the permit language has been included and shall ensure that the appropriate data recovery program is implemented if significant paleontological resources are uncovered.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ HAZ-1. Prior to the issuance of grading permits for development within Target Areas developers of individual projects shall prepare Phase I Environmental Site Assessments to determine whether agricultural chemical residues are present and could pose a public health or workers. The results of the assessments shall be included in the CEQA documentation for such projects. If hazardous materials conditions are identified that require preparation of Phase II Environmental Site Assessments, future individual project developers shall be responsible for conducting the assessments and for implementing all recommendations and requirements for remediation of hazardous materials conditions identified therein.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ HAZ-2. Project proponents within portions of Target Areas located adjacent to U.S. Highway 101 shall retain a qualified expert to provide evidence about the potential presence of aerially deposited lead in Target Areas soils. If evidence suggests the presence of aerially deposited lead, project proponents shall retain a qualified expert to conduct soil testing for

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aerially deposited lead in locations where project grading and excavations may have potential to result in release of this material. The testing scope should include preparation of a site-specific work plan specifying surface sample or soil boring locations, sample collection, laboratory analysis, and preparation of findings, and recommendations. The testing report must determine the concentrations of lead in such locations and whether project grading and excavations have potential to cause worker and public health and safety risks. If risks are possible, a remediation plan shall be prepared and implemented.

The remediation plan shall define performance standards for the handling and disposal of contaminated soil to ensure that risks to public health and safety from transport and disposal are minimized. The testing program and remediation plans (as needed) will be completed prior to initiation of ground disturbance activities in locations where the expert has deemed that testing for aerially deposited lead is warranted. If remediation is needed in specific locations, the remediation process will also be completed prior to initiation of project related ground disturbance activities in those locations.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ HAZ-3. If the aerially deposited lead testing program identified in mitigation measure HAZ-2 identifies the presence of hazardous concentrations of lead in soils to be excavated or graded, project proponents shall prepare and implement a worker health and safety plan and training program. To avoid health effects on construction personnel, all personnel who may come in contact with contaminated soil will be trained in accordance with applicable Occupational Safety and Health Administration standards. A site-specific worker health and safety plan defining potential contaminants and, where appropriate, proper personnel protective equipment will be employed. Worker training will be completed prior to initiation of ground disturbance activities in the area(s) defined in the lead testing program to contain lead concentrations deemed to be potentially hazardous to worker and public safety.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas

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 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ Prior to the Removal of On-Site Trees or Existing Structures for Future Individual Development Projects within the Target Areas BIO-6. Prior to tree removal or structure disturbance activities, individual project developers shall retain a qualified biologist to conduct a focused survey for bats and potential roosting sites in trees to be removed, in trees within 250 feet of the development footprint, and within and surrounding any structures that may be disturbed by the project. These surveys shall be conducted no more than 15 days prior to the start of construction. The surveys can be conducted by visual identification and assumptions can be made on what species is present due to observed visual characteristics along with habitat use, or the bats can be identified to the species level with the use of a bat echolocation detector such as an “Anabat” unit.

If no roosting sites or bats are found, a letter report confirming absence shall be submitted to the City of Salinas and no further mitigation is required.

If bats or roosting sites are found, a letter report and supplemental documents shall be provided to the City of Salinas prior to grading permit issuance and the following monitoring, exclusion, and habitat replacement measures shall be implemented:
a. If bats are found roosting outside of the nursery season (May 1 through October 1), they shall be evicted as described under (b) below. If bats are found roosting during the nursery season, they shall be monitored to determine if the roost site is a maternal roost. This could occur by either visual inspection of the roost bat pups, if possible, or by monitoring the roost after the adults leave for the night to listen for bat pups. If the roost is determined to not be a maternal roost, then the bats shall be evicted as described under (b) below. Because bat pups cannot leave the roost until they are mature enough, eviction of a maternal roost cannot occur during the nursery season. Therefore, if a maternal roost is present, a 250-foot buffer zone (or different size if determined in consultation with the CDFW) shall be established around the roosting site within which no construction activities including tree removal or structure disturbance shall occur until after the nursery season. b. If a non-breeding bat hibernaculum is found in a tree or snag scheduled for removal or on any structures scheduled to be disturbed by project activities, the individuals

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will be safely evicted, under the direction of a qualified bat biologist and in consultation with the CDFW. Methods could include: carefully opening the roosting area in a tree or snag by hand to expose the cavity and opening doors/windows on structures, or creating openings in walls to allow light into the structures. Removal of any trees or snags and disturbance of any structures shall be conducted no earlier than the following day (i.e., at least one night will be provided between initial roost eviction disturbance and tree removal/structure disturbance). This action will allow bats to leave during dark hours, which increases their chance of finding new roosts with a minimum of potential predation.

The applicants for projects within the Target Areas will be responsible for implementing this mitigation measure with oversight by the City Community Development Department as needed. Compliance with this measure shall be documented and submitted to the City prior to ground disturbance or the removal of trees or buildings.

With implementation of mitigation measure BIO-6, the proposed project would not have a substantial adverse effect, either directly or through habitat modifications, on any species identified as a candidate, sensitive, or special status species in local or regional plans, policies, or regulations, or by the California Department of Fish and Wildlife or U.S. Fish and Wildlife Service. Therefore, potential impacts to special-status bat species are less than significant with mitigation incorporated.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ N-2. Where the construction process for individual projects within the Target Areas include pile driving or other high vibration activities and those activities are planned within 200 feet of existing structures or below ground infrastructure, a qualified engineer shall be retained to prepare a site-specific vibration study. The study shall identify areas of potential vibration impact and measures to be implemented to reduce vibration impacts. Vibration impacts would be considered less than significant where vibration peak particle velocity is below the following standards: 1) 0.5 inches/second for structurally sound buildings designed to modern engineering standards; 2) 0.3 inches/second for buildings that are found to be

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structurally sound but where structural damage is a major concern; and 3) a conservative limit of 0.08 inches/second for ancient buildings or buildings that are documented to be structurally weakened. The vibration study shall include the following components:
 Planned locations and description/characterization of vibration compaction activities such as pile driving, assessment of the sensitivity of nearby structures to groundborne vibration, and vibration limits for all vibration-sensitive structures located within 200 feet of the vibration source;
 A vibration monitoring and construction contingency plan to identify structures where monitoring would be conducted, a vibration monitoring schedule, and a process to conduct photo, elevation, and crack surveys to document before and after construction conditions;
 Measures to ensure that when vibration levels approach limits, construction will be suspended and contingencies implemented to either lower vibration levels or secure the affected structures;
 A plan for making appropriate repairs or providing compensation where damage has occurred as a result of construction activities; and
 Where buildings within 200 feet of the vibration sources are inhabited, a public information program to notify affected neighbors of scheduled construction activities and their type and duration, and a construction schedule that assures that activities with the highest potential to produce perceptible vibration are conducted during hours with least potential to adversely affect nearby businesses and residents.

The vibration study shall be subject to review and approval by the Public Works Director prior to issuance of a demolition or building permit, whichever comes first.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ N-3. The City shall review applications for each future individual project within the Target Areas to determine whether the construction period will exceed one year. For all projects

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with a construction period exceeding one year, each project applicant shall prepare a construction noise assessment. The construction noise assessment shall identify: 1) the types and noise intensities of construction equipment to be utilized; 2) the locations of noise-sensitive uses (e.g. residential, schools, etc.) and non-sensitive uses (e.g. commercial and industrial uses) that would be exposed to construction noise, the projected construction noise levels at these uses, and whether construction noise levels may exceed both 60 dBA Leq and ambient noise levels by at least 5 dBA Leq at noise-sensitive uses, or 70 dBA Leq and ambient noise levels by at least 5 dBA Leq at non-sensitive uses. Where either condition occurs, project applicants shall identify and implement construction noise reduction measures that ensure construction noise does not exceed these noise levels. The construction noise reduction measures shall include the measures listed below unless the construction noise assessment includes data which demonstrates to the City that allowable construction noise levels can be met with fewer and/or substitute noise reduction measures. However, for all projects, the limits on construction hours and days as listed below shall apply.
• Restrict noise-generating activities at construction sites or in areas adjacent to construction sites to the hours between 7:00 a.m. and 7:00 p.m., Monday through Friday. Construction shall be prohibited on Saturdays, Sundays and holidays unless prior written approval is granted by the Public Works Director; • Construct temporary noise barriers, where feasible, to screen stationary noisegenerating equipment to provide a minimum of 5 dBA noise reduction; • Equip all internal combustion engine-driven equipment with intake and exhaust mufflers that are in good condition and appropriate for the equipment; • Prohibit unnecessary idling of internal combustion engines; • Locate stationary noise-generating equipment such as air compressors or portable power generators, as far as possible from sensitive receptors as feasible. If they must be located near receptors, install adequate muffling/enclosures; • Utilize "quiet" air compressors and other stationary noise sources where possible; • Locate construction staging areas, material stockpiles, and maintenance/equipment and parking areas as far as feasible from residential receptors; • Route all construction traffic via designated truck routes where possible. Prohibit construction related heavy truck traffic in residential areas where feasible; and • Designate a "disturbance coordinator" responsible for responding to complaints about construction noise and for defining reasonable measures to correct complaint

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issues. Conspicuously post a telephone number for the disturbance coordinator at the construction site and include in it a notice to be sent to adjacent property owners.

The construction noise assessment and construction noise reduction measures shall be subject to review and approval of the Public Works Director prior to issuance of a demolition or building permit, whichever comes first.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ Prior to the Issuance of a Building Permit for Future Individual Development Projects within the Target Areas
N-1. Developers of future individual projects within portions of Target Areas where traffic related noise exposure exceeds 65 dBA for commercial and business park uses and 70 dBA for industrial uses as identified in the City of Salinas General Plan Economic Development Element Draft Noise and Vibration Assessment Salinas, California shall prepare a noise study.

Each noise study shall identify traffic noise exposure levels within each individual project site; specify locations within each site where noise levels exceed thresholds; and define site design, building orientation, setbacks, noise barriers, or other measures needed to ensure noise exposure does not exceed standards at outdoor use areas. Each noise study shall be subject to review and approval of the Community Development Director and project design features needed to reduce outdoor noise exposure to acceptable levels shall be reflected in project development plans prior to approval of a building permit.

Where an individual project is proposed within any portion of a Target Area that is not exposed to noise levels that exceed acceptable levels for the proposed land use type as identified in the City of Salinas General Plan Economic Development Element Draft Noise and Vibration Assessment Salinas, California, a noise study is not required.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete

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Monitoring Notes and Status:
_________________________________________________________________________________ N-2. Where the construction process for individual projects within the Target Areas include pile driving or other high vibration activities and those activities are planned within 200 feet of existing structures or below ground infrastructure, a qualified engineer shall be retained to prepare a site-specific vibration study. The study shall identify areas of potential vibration impact and measures to be implemented to reduce vibration impacts. Vibration impacts would be considered less than significant where vibration peak particle velocity is below the following standards: 1) 0.5 inches/second for structurally sound buildings designed to modern engineering standards; 2) 0.3 inches/second for buildings that are found to be structurally sound but where structural damage is a major concern; and 3) a conservative limit of 0.08 inches/second for ancient buildings or buildings that are documented to be structurally weakened. The vibration study shall include the following components:
 Planned locations and description/characterization of vibration compaction activities such as pile driving, assessment of the sensitivity of nearby structures to groundborne vibration, and vibration limits for all vibration-sensitive structures located within 200 feet of the vibration source;
 A vibration monitoring and construction contingency plan to identify structures where monitoring would be conducted, a vibration monitoring schedule, and a process to conduct photo, elevation, and crack surveys to document before and after construction conditions;
 Measures to ensure that when vibration levels approach limits, construction will be suspended and contingencies implemented to either lower vibration levels or secure the affected structures;
 A plan for making appropriate repairs or providing compensation where damage has occurred as a result of construction activities; and
 Where buildings within 200 feet of the vibration sources are inhabited, a public information program to notify affected neighbors of scheduled construction activities and their type and duration, and a construction schedule that assures that activities with the highest potential to produce perceptible vibration are conducted during hours with least potential to adversely affect nearby businesses and residents.

The vibration study shall be subject to review and approval by the Public Works Director prior to issuance of a demolition or building permit, whichever comes first.

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Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ N-3. The City shall review applications for each future individual project within the Target Areas to determine whether the construction period will exceed one year. For all projects with a construction period exceeding one year, each project applicant shall prepare a construction noise assessment. The construction noise assessment shall identify: 1) the types and noise intensities of construction equipment to be utilized; 2) the locations of noise-sensitive uses (e.g. residential, schools, etc.) and non-sensitive uses (e.g. commercial and industrial uses) that would be exposed to construction noise, the projected construction noise levels at these uses, and whether construction noise levels may exceed both 60 dBA Leq and ambient noise levels by at least 5 dBA Leq at noise-sensitive uses, or 70 dBA Leq and ambient noise levels by at least 5 dBA Leq at non-sensitive uses. Where either condition occurs, project applicants shall identify and implement construction noise reduction measures that ensure construction noise does not exceed these noise levels. The construction noise reduction measures shall include the measures listed below unless the construction noise assessment includes data which demonstrates to the City that allowable construction noise levels can be met with fewer and/or substitute noise reduction measures. However, for all projects, the limits on construction hours and days as listed below shall apply.
• Restrict noise-generating activities at construction sites or in areas adjacent to construction sites to the hours between 7:00 a.m. and 7:00 p.m., Monday through Friday. Construction shall be prohibited on Saturdays, Sundays and holidays unless prior written approval is granted by the Public Works Director; • Construct temporary noise barriers, where feasible, to screen stationary noisegenerating equipment to provide a minimum of 5 dBA noise reduction; • Equip all internal combustion engine-driven equipment with intake and exhaust mufflers that are in good condition and appropriate for the equipment; • Prohibit unnecessary idling of internal combustion engines;

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• Locate stationary noise-generating equipment such as air compressors or portable power generators, as far as possible from sensitive receptors as feasible. If they must be located near receptors, install adequate muffling/enclosures; • Utilize "quiet" air compressors and other stationary noise sources where possible; • Locate construction staging areas, material stockpiles, and maintenance/equipment and parking areas as far as feasible from residential receptors; • Route all construction traffic via designated truck routes where possible. Prohibit construction related heavy truck traffic in residential areas where feasible; and • Designate a "disturbance coordinator" responsible for responding to complaints about construction noise and for defining reasonable measures to correct complaint issues. Conspicuously post a telephone number for the disturbance coordinator at the construction site and include in it a notice to be sent to adjacent property owners.

The construction noise assessment and construction noise reduction measures shall be subject to review and approval of the Public Works Director prior to issuance of a demolition or building permit, whichever comes first.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-1. Required improvements to the segment of Bernal Drive between N. Main Street and Sherwood Drive/Natividad Road are included in the City’s TFO (Project 33B). The improvements would assure that operations of the road segment are improved to LOS D or better. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas

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 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-2. Required improvements to the segment of Russell Road between Van Buren Avenue and San Juan Grade Road are included in the City’s TFO (Project 12). The improvements identified in the TFO would assure that operations of the road segment are improved to LOS D or better. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-3. Required improvements to the segment of Old Stage Road between Natividad Road and the Russell Road Extension are included in the City’s TFO (Project 8). The improvements identified in the TFO would assure that operations of the road segment are improved to LOS D or better. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fairshare contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete

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Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-4. Required improvements to the segment of San Juan Grade Road between Boronda Road and Van Buren Avenue are included in the City’s TFO (Project 13). The improvements identified in the TFO would assure that operations of the road segment are improved to LOS D or better. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fairshare contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-5. The City will add the required improvements to the segment of E. Harris Road west of Abbott Street that is controlled by the City to the City’s TFO. The improvements include widening the road from two to four 4 lanes. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS D. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete

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Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-6. The City will add the required improvements to the segment of Natividad Road between East Bernal Drive and East Laurel Drive to the City’s TFO. The improvements include widening the road from four to six lanes. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS D. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ TRANS-7. The City will add the required improvements to the segment of West Laurel Drive between U.S. Highway 101 and Adams Street to the City’s TFO. The improvements include widening the road from four to six lanes in total. Right-of-way must be acquired for this purpose. The improvements would improve operations to LOS C. The TFO will be updated to include this improvement project prior to approval of any individual development proposed within any of the Target Areas. Payment of the TFO fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment. Prior to issuance of building permits for individual projects within the Target Areas, individual project developers shall pay the City’s TFO fee in effect at the time that building permits are issued. Payment of the fee represents the fair-share contribution of the projects to mitigating their respective impacts on this road segment.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas

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 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________ During Construction of Future Individual Development Projects within the Target Areas
CR-5. If human remains are found during construction within the Target Areas, there shall be no further excavation or disturbance of the construction site or any nearby area reasonably suspected to overlie adjacent human remains until an archeological monitor and the coroner of Monterey County are contacted. If it is determined that the remains are Native American, the coroner shall contact the Native American Heritage Commission within 24 hours. The Native American Heritage Commission shall identify the person or persons it believes to be the most likely descendent (MLD) from the deceased Native American. The MLD may then make recommendations to the landowner or the person responsible for the excavation work, for means of treating or disposing of, with appropriate dignity, the human remains and associated grave goods as provided in Public Resources Code section 5097.98. The landowner or his authorized representative shall rebury the Native American human remains and associated grave goods with appropriate dignity on the property in a location not subject to further disturbance if: a) the Native American Heritage Commission is unable to identify a MLD or the MLD failed to make a recommendation within 24 hours after being notified by the commission; b) the descendent identified fails to make a recommendation; or c) the landowner or his authorized representative rejects the recommendation of the descendent, and the mediation by the Native American Heritage Commission fails to provide measures acceptable to the landowner.

Party Responsible for Implementation: Individual Developers Party Responsible for Monitoring: City of Salinas
 Implementation Complete
Monitoring Notes and Status:
_________________________________________________________________________________

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Exhibit F

D Salinas Boundary
D Developmen t Areas
- - , Opportuni ·ty Area K
t Reserve �
i - -
/ ECO n Om . Developmen IC
--
Attachment 3
Northern Area - Economic Opportunity Area K

1 RESOLUTION NO. 21638 (N.C.S.)

RESOLUTION APPROVING AN ADDENDUM TO THE GREATER SALINAS AREA

MEMORANDUM OF UNDERSTANDING (GSA-MOU) BETWEEN THE CITY OF

SALINAS AND THE COUNTY OF MONTEREY
WHEREAS, in 2006, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (GSA-MOU) to establish a broad policy framework to govern City-County growth in the “Greater Salinas Area”, replacing the Amended Boronda Memorandum of Understanding and in part completing a condition in the settlement of litigation between the City and the County; and
WHEREAS, in 2010, the County adopted a new General Plan for the non-coastal areas of unincorporated Monterey County; and
WHEREAS, in 2017, the City adopted an Economic Development Element (EDE) amending its 2002 General Plan; and
WHEREAS, City and County staff regularly discuss current land use development plans, current planned or contemplated development projects, protection of certain agricultural lands, and much-needed resources, including low-income and farmworker housing, employment development opportunities, and associated services and facilities; and WHEREAS, in the spirit of the GSA-MOU, City and County desire to work together for orderly growth relative to proposed plans and projects that have been recently contemplated or have submitted applications for development on unincorporated lands north of the City within areas identified for future City growth and in the South Boronda area that is part of the City’s Sphere of Influence (SOI); and
WHEREAS, this Addendum to the GSA-MOU (Addendum) would serve as an interim bridge that outlines parameters and principles for processing certain projects in specific areas to the north and to the west of the city limit until a comprehensive GSA-MOU update is completed; and
WHEREAS, on June 18, 2019, the County of Monterey Board of Supervisors considered and approved the Addendum (Resolution 19-071).

NOW, THEREFORE, BE IT RESOLVED, that the Salinas City Council hereby:
a. Finds that proposed action is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines section 15378), and any subsequent discretionary projects resulting from implementation of the Addendum will be assessed for CEQA applicability.
b. Approves an Addendum to the Greater Salinas Area Memorandum of Understanding (GSA-MOU) between the City of Salinas and the County of Monterey to provide the framework for the coordination of certain plans and development projects within the DocuSign Envelope ID: 0CE4A61C-C7F8-4394-9FD4-96A3C14CF3D3 2 current boundaries of the City or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas until a comprehensive GSA-MOU update is complete. Said Addendum, with associated maps, is attached hereto and incorporate herein by reference.

PASSED AND APPROVED this 18th day of June 2019 by the following vote:

AYES: Councilmembers: Barrera, Davis, De La Rosa, McShane, Villegas and Mayor Gunter NOES: None
ABSENT: Councilmember Cromeenes
ABSTAIN: None
APPROVED:
________________________
Joe Gunter, Mayor
ATTEST:
_________________________
Patricia M. Barajas, City Clerk
DocuSign Envelope ID: 0CE4A61C-C7F8-4394-9FD4-96A3C14CF3D3 1 ADDENDUM TO GREATER SALINAS AREA MEMORANDUM OF UNDERSTANDING This Addendum to the Greater Salinas Area Memorandum of Understanding (“Addendum”) is entered into this ___ day of June 2019 (the “Effective Date”), by and between the City of Salinas, a California charter city, hereinafter referred to as “the City,” and the County of Monterey, a political subdivision of the State of California, hereinafter referred to as “the County.”

RECITALS
WHEREAS, in 2006, as a replacement to the Amended Boronda Memorandum of Understanding and in part to complete a condition in the settlement of litigation between the City and the County, the City and the County entered into the Greater Salinas Area Memorandum of Understanding (the “GSA-MOU”) to establish a broad policy framework to govern and to facilitate land use decisions in the area designated in the then-existing General Plan of the County as the “Greater Salinas Area” and in or adjacent to the City and its Sphere of Influence (SOI) ; and WHEREAS, the GSA-MOU identified specific objectives to be achieved through the implementation of land use and associated policies for the preservation of certain agricultural land, the provision of future growth areas, and the provision of adequate financing for the services and the facilities of benefit to the residents of the City and of the County; and WHEREAS, since the City and the County’s approval of the GSA-MOU, the City has adopted an Economic Development Element (2017) to its General Plan (2002) and the County has adopted an updated General Plan (2010); and
WHEREAS, under the GSA-MOU the City and County agreed that the County would take the lead in processing project and plan entitlements in the undeveloped southern portion of the County’s Boronda Redevelopment Project Area with concurrent City review for compliance with City development standards; and
WHEREAS, between 2004 and 2011, the County Redevelopment Agency worked directly with the City on developing a General Development Plan/Specific Plan for future development of the undeveloped area south of Boronda that included open space, mixed-use, business park, and heavy commercial uses; and
WHEREAS, in February 2012, the State of California dissolved redevelopment agencies, so the General Development Plan/Specific Plan entitlement process was not completed, and WHEREAS, consistent with the GSA-MOU and their respective General Plans and Spheres of Influence, the City and the County have approved various projects in and around the boundaries of the City including the Salinas Ag-Industrial Center (Uni-Kool project-2010), the Salinas Travel Center (Love’s Travel Stops project--2018), and the Butterfly Village project (2008); and
2 WHEREAS, the City and the County agree and acknowledge that the GSA-MOU is in need of an update to reflect current land use development plans and current planned or contemplated development projects, and to provide for the protection of certain agricultural lands and much-needed resources, including low-income and farmworker housing, employment development opportunities, and associated services and facilities; and WHEREAS, until a comprehensive update to the GSA-MOU is complete, the City and the County desire to cooperate in the planning of certain development projects either within the current boundaries of the City or its adopted Sphere of Influence, or within those areas identified in the City’s Economic Development Element as Economic Opportunity Areas, and desire to work cooperatively and expeditiously in order to support each other’s land use planning and development efforts so that their mutual development projects can proceed in a well-planned, coordinated, and orderly manner; and
WHEREAS, one purpose of this Addendum is to mark the initial movement of the City and the County toward a more comprehensive update to the GSA-MOU and is limited to two areas: the area north of the City’s current boundaries (“the Northern Area”) and the south of Boronda area (“the South Boronda Area”) (both areas more specifically shown on the attached Exhibits A and B, respectively); and
WHEREAS, another purpose of this Addendum is to define the coordinated planning processes by which the City and the County will plan for and consider the development of those areas shown on Exhibits A and B; and
WHEREAS, neither the City nor the County have made commitments to proposed development in the Northern Area or South Boronda Area, and all such proposals shall be required to comply with all applicable law including, but not limited to, the California Environmental Quality Act (“CEQA”);

NOW, THEREFORE,
In mutual consideration of the terms and the conditions of this Addendum, the City and the County agree as follows:

TERMS
Article 1. City and County Coordination.

Section 1.1. Northern Area (Exhibit A).
(a) City’s Economic Development Element Opportunity Area K.

In its Economic Development Element, the City identified an area outside the City’s current northern boundary as a future opportunity area for economic development. The lands which comprise Area K (the “North Entrance,” as it is referred to in the Economic Development Element) are currently within the County’s jurisdiction and are zoned as farmlands, permanent 3 grazing, and commercial in the County’s General Plan. Area K, shown and marked on Exhibit A, is comprised of a Target Area, where near to mid-term development is projected by the City, and an Economic Development Reserve Area, also identified on Exhibit A, which is to accommodate the City’s longer-term economic development needs.
(b) City’s Target Area K (Exhibit A).

The County will coordinate with the City regarding the preparation of a Specific Plan for City’s potential future development of undeveloped lands located with the County’s jurisdiction but within the City’s Target Area K, consistent with the City’s Economic Development Element policies and identified land uses. The City and the County agree that the City will take the lead in processing project and plan entitlements within Target Area K if annexation is a part of the entitlement application. The location of the proposed Specific Plan area is shown on Exhibit A. (c) County’s Potential Commercial Development Project.

The County may consider a proposal to develop a commercial project on commercially designated lands under the County’s General Plan that is located within the County’s jurisdiction adjacent to Target Area K and within the City’s Economic Development Reserve Area K. The location of the proposed County Commercial Development Project is shown on Exhibit A.

Section 1.2. South Boronda Area (Exhibit B).
(a) Community Plan Area.

The County will work with the City regarding the potential future development of undeveloped lands located within the County’s jurisdiction but within the City’s Sphere of Influence and Economic Opportunity Area M prior to annexation. The City and the County agree that the City will take the lead in processing project and plan entitlements within the South Boronda Area if annexation is part of the entitlement application. The location of the South Boronda Area is shown on Exhibit B.

Section 1.3. Farmworker Housing Projects.

The County may consider proposals for development of farmworker housing on lands located within the County’s jurisdiction but within close proximity to the City’s boundary, including its Sphere of Influence areas. As part of any entitlement review, the County will consider project proximity to existing infrastructure and services, and coordinate with the City to ensure that infrastructure contemplates current and proposed surrounding projects.

Section 1.4. Mutual Support for Coordination of Development Process in the Northern Area and the South Boronda Area; Roles and Responsibilities. (a) Mutual Support.

The City and the County agree that the City’s consideration of a Specific Plan for Target Area K, and the County’s consideration of a potential Commercial Development Project located in the 4 Northern Area, are consistent with the direction of City growth outlined in the GSA-MOU. The City and the County agree to coordinate efforts to process land use entitlements for the potential development of Area K including the County potential Commercial Development Project, the aforementioned City Specific Plan and potential annexation of Target Area K into the City, as well as future development proposals located in the Northern Area as outlined in subsection (b) below.

The City and the County agree that while not located to the north or the east of the City’s current boundaries, the proposed Community Plan Area located in the South of Boronda Area, and within the City’s Sphere of Influence, it is consistent with the intent and the purpose of the GSA-MOU. The City and County agree to coordinate efforts to process land use entitlements within the aforementioned Community Plan Area, as well as future annexation of this area into the City and development proposals located in the South Boronda Area as outlined in subsection (b) below.
(b) Coordination.

The City and the County agree to coordinate planning efforts and entitlement processes (e.g., specific and general development plans, General Plan amendments, annexations) for the Northern Area and the South Boronda Area. This includes:

1. joint application processing if timing works for all parties, or the provision of timing assurances and opportunity to review and comment on plans and applications if planning in tandem;

2. coordination on or sharing in the preparation of technical studies and analyses required to determine and provide for project infrastructure, services, and public safety needs, (e.g., infrastructure, water, hydrology/stormwater, traffic and transportation);

3. joint determination of appropriate level and process for compliance with California Environmental Quality Act (CEQA) including coordinating on or sharing in project mitigation requirements;

4. selection of a mutually agreed upon consultant to prepare fiscal and economic analysis to provide recommended tax sharing percentages, should they be required, based on data and market demand analysis for proposed commercial uses; and

5. joint review of technical studies, fiscal and economic analysis, and CEQA documents, and potential development of a joint recommendation regarding project entitlement processing for City Council and Board of Supervisors consideration.
5 Section 1.5. Taxes and Fees.
(a) Should a project within the Northern Area or South Boronda Area warrant tax/revenue sharing separate from the annexation process, the City and the County will jointly prepare and in good faith consider entering into a tax/revenue sharing agreement. (b) City and County agree in good faith to consider entering into reimbursement agreements with project developer(s) to pay for technical, environmental, and fiscal economic studies and analysis beyond what is required for their individual project(s). Subsequent project(s) would reimburse the developer(s) based on its pro rata share. (c) City and County agree in good faith to consider entering into reimbursement agreements with project developer(s) that install infrastructure improvements beyond what is required for their individual project(s). Subsequent project(s) would reimburse the developer(s) based on its pro rata share.

Article 2. General Conditions.

Section 2.1. General Compliance.

The City and the County agree to comply with all applicable federal, state, and local laws and regulations governing public agencies. Documentation of such compliance shall be made available for review by the City and the County upon request.

The parties do not intend this Addendum to constitute a project under CEQA as it represents only an agreement to cooperate subject to compliance with all applicable laws relating to further actions, which include the preparation of plans and the consideration of projects.

Section 2.2. Administrative Amendments.

This Addendum may be amended by a written administrative amendment executed by the City Manager on behalf of the City and the County Administrative Officer or Assistant County Administrative Officer on behalf of the County, subject to review and approval by the Salinas City Attorney and Monterey County Counsel, respectively, and also subject to any required state or federal approval, provided that such administrative amendments do not substantially or materially change the terms and conditions, or overall purposes, of this Addendum.

Section 2.3. Term.

The term of this Addendum shall begin as of the Effective Date, which is the date last signed by one of the parties, and shall remain in effect until a successor to this Addendum is approved by the City and the County.

Section 2.4 Litigation.

In consideration of the mutual promises of the parties herein, the City and the County mutually agree that neither will pursue development-related litigation against the other insofar 6 as the subject development is consistent with this Addendum, and further provided that the parties comply with the terms and conditions of this Addendum.

Article 3. Personnel and Participant Conditions.

Section 3.1. Conduct.
(a) Hatch Act.

The City and the County agree that no funds be provided, nor personnel employed under this Addendum, shall be in any way or to any extent engaged in the conduct of political activities in violation of 5 U.S.C. 15.
(b) Conflict of Interest.

The City and the County each agree to abide by the provisions of 24 CFR 570.611 and the requirements of state law with respect to conflicts of interest, and each covenants that it presently has no financial interest and shall not acquire any financial interest, direct or indirect, which would conflict in any manner or degree with the performance of services required under this Addendum. The City and the County each further agrees that in the performance of this Addendum that no person having such a financial interest shall be employed or retained by the City or the County, or, if already employed, be involved in any way with the development, processing, or consideration of the matters set forth herein. These conflict of interest provisions apply to any person who is an employee, agent, consultant, officer, or elected official or appointed official of the City or the County, or of any designated pubic agencies or entities.

Article 4. Other Provisions.

Section 4.1. Entire Agreement.

This Addendum contains all the terms and the conditions agreed upon by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Addendum shall be deemed to exist or to bind any of the parties hereto.

Section 4.2. Notices.

Formal notices, demands, and communications (other than day-to-day routine communications) between the City and the County shall be sufficiently given if, and shall not be deemed given unless (i) dispatched by certified mail, postage prepaid, return receipt requested, (ii) sent by express delivery or overnight counter service with a delivery receipt, (iii) personally delivered with a delivery receipt, or (iv) sent by electronic mail with a copy delivered by one of the previous three methods, to the office of the parties shown as follows, or such other address as the parties may designate in writing from time-to-time:
7 City County
City of Salinas County of Monterey
Attn: Community Development Director Assistant County Administrative Officer 65 West Alisal Street 168 West Alisal Street, 3rd Floor Salinas, California 93901 Salinas, California 93901
Email: [email protected] Email: [email protected] With a copy to:

City Attorney County Counsel
City of Salinas 168 W. Alisal St., 3rd Floor
200 Lincoln Avenue Salinas, CA 93901
Salinas, California 93901 Email: [email protected] Email: [email protected]
Such written notices, demands, and communications shall be effective on the date shown on the delivery receipt as the date delivered or the date on which delivery was refused. The recipients herein may be changed upon written notice to the other party.

Section 6.3. Conformance with Federal and State Law.

Should federal or state regulations affecting this Addendum be adopted, amended, or revised during the terms hereof, this Addendum is subject to modification to assure conformance with such federal or state requirements pursuant to the provision of Section 2.2, above.

Section 6.4. Severability.

If any term of this Addendum is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remainder of the provisions shall continue in full force and effect.

Section 6.5. Headings and Captions.

Paragraph titles or captions contained herein are inserted as a matter of convenience and for reference, and in no way define, limit, extend, or otherwise describe the scope of this Addendum or any provision hereof.

Section 6.6. No Third-Party Beneficiaries.

There are no intended third-party beneficiaries to this Addendum. 8 Section 6.7. Amendments.

This Addendum may not be modified, supplemented, or amended unless in writing by the parties. Any modification, supplementation, amendment, or waiver must be signed by both parties.

Section 6.8. Costs and Expenses.

Each party shall be responsible for its own costs and expenses in connection with any activities and negotiations undertaken in connection with this Addendum, and the performance of each party’s obligations under this Addendum, unless specifically agreed to in writing by the parties.

Section 6.9. Governing Law; Venue.

This Addendum shall be governed and construed in accordance with the laws of the State of California without reference to choice-of-law principles, and venue for any action under this Addendum shall be in the Superior Court for the County of Monterey, subject to any motion for transfer of venue.

Section 6.10. Counterparts.

This Addendum may be executed in counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same agreement.

Section 6.12. Non-Recourse Agreement.

No member, official, employee, agent, or consultant of any party to this Addendum shall be personally liable to any other party, or any successor in interest or person claiming by, through, or under any party, in the event of any default or breach, or for or on account of any amount which may become due, or in any claim, cause, or obligation whatsoever under the terms of this Addendum.

IN WITNESS WHEREOF, the undersigned, as authorized representatives of the City and of the County, have entered into this Addendum as of the date first written above.

Dated: __________, 2019 City of Salinas
________________________________
Ray Corpuz, City Manager
9 APPROVED AS TO FORM:
________________________________
Christopher A. Callihan, City Attorney
Dated: __________, 2019 County of Monterey
_________________________________
Nicholas Chiulos, Assistant CAO
APPROVED AS TO FORM:
__________________________________
Leslie J. Girard, Chief Assistant County Counsel

March XX, 2022
Bradley A. Sobel, President
The Sobel Company, Inc.
9454 Wilshire Boulevard
Suite 210
Beverly Hills, CA 90212
Re: Sanitary Sewer Can and Will Serve for APN 113-091-017-000 Dear Mr. Sobel:

The City of Salinas can and will provide sanitary sewer service for the proposed commercial project to be located on Harrison Road at Sala Road (APN 113-091-017-000). You will be responsible for installing sewer lines within the project and in Harrison Road up to and including connections to the sanitary sewer line at the intersection of Harrison Road and Russel Road in accordance with the Extraterritorial Wastewater Service Agreement dated March XX, 2022. All applicable development fees and "special sewer fees" will be assessed at the time building permits are issued in accordance with the City's fee schedule in effect at that time.

If you have any questions or comments, please call Adriana Robles, City Engineer at (831) 758-7194 or Javier Hernandez, Senior Engineer (831) 758-7474.

Sincerely,,
David Jacobs, PE, LS
Public Works Director
Sobel
Retail
Site
Target Area K
r
0 500 1,000 2,000
Feet
Proposal Area
Proposal Area Parcels
Salinas Boundary
Other parcels
Target Area K & Sobel Retail Site Parcels
City of Salinas
Layer Credits: USDA FSA, GeoEye, Maxar

EXTRATERRITORIALWASTEWATER SERVICE AND REIMBURSEMENT

AGREEMENTS
BETWEEN CITY AND SALINAS 101 LLC
AND

PREANNEXATION AGREEMENT FOR PORTION OF EOA K

BETWEEN THE CITY OF SALINAS AND THE COUNTY OF MONTEREY
Proposed Project
Location
Proposed Sala Road Project
• County will not deem application
complete without a wastewater
treatment plan
• Owner has requested a Will Serve
assurance
• Owner and city staff negotiated a final
draft Sewer Agreement that states the
terms and conditions by which the City
will grant a connection to its Disposal
System
Sewer Agreement – Terms and Conditions
Owner shall:
• Support future annexation
• obtain all permits and pay all fees to
construct New Sewer Line and private
connection
• pay a one-time development impact fee in
the amount of $64,600
• pay fees for Disposal System service
City shall:
• provide written “will serve” assurance
• ensure that Monterey One Water will accept
the wastewater and provide service
• process future annexation application(s) at
its sole expense
• not allow connection prior to pre-annexation
agreement with County in place
Owner shall:
 complete construction of New Sewer
Line
 provide evidence of Actual Costs
 have right to reimbursement of its
Actual Costs based on a wastewater
flow proration.

City shall:
 collect reimbursement from future users
 promptly pay Owner reimbursement
 provide Owner with annual financial
accounting of reimbursement collected.

Reimbursement Agreement –Terms and Conditions
Proposed Annexation Area -
Portion of EDE EOA K
Purpose:
• acknowledge the foreseeable annexations
• reaffirm coordination of land use entitlement and CEQA compliance as agreed to in the GSA-MOU 2019 Addendum, and
• analyze the property tax and revenue sharing formulas between the City and the County.

Duration: Five (5) years from the Effective Date with the ability to extend an additional five (5) years upon mutual agreement.

Amendments: The City and the County may amend this Agreement by written amendment mutually executed by both Parties.

Pre-Annexation Agreement
Consideration of Annexation
 Subject to compliance with all laws and regulations, including the California Environmental Quality Act, the County acknowledges the contemplated annexation of land within the Annexation Area to the City.  The County agrees to cooperate in good faith with the City in the preparation of the annexation application materials to LAFCO for the land within the Annexation Area.

Development Standards
 Pre-annexation, proposed project to be processed and permitted according to County standards  Post-annexation, proposed projects to be processed and permitted according to City standards Revenue Sharing Formulas
 Sales, Transient Occupancy, Cannabis Tax Revenue – 100% to City post-annexation  Property Tax Revenue - Master Tax Agreement shall remain effective until revised. City and County will further discuss and analyze the Master Tax Agreement consistent with LAFCO laws and procedures and as provided in the GSA-MOU 2019 Addendum.

Pre-Annexation Agreement - Terms
 Execution of the proposed Agreements is not a project as defined by the California Environmental Quality Act (CEQA). Section 15061 (b) (3) of CEQA Guidelines and does not constitute project approval.
 The Effective Date of the Sewer Agreement is when appropriate County approvals and entitlements and CEQA documents are prepared, approved and a Notice of Determination is filed by the County Housing and Community Development Department.
 Provided the Sala Road Project is constructed, the City intends to apply to LAFCO to annex Target Area K and the Sala Road Project. Should the City proceed with an annexation application, it will be the lead agency for the application and associated CEQA compliance.

CEQA Consideration
Fiscal Impact
Sala Road Project
 Owner, at no cost to the City, is to construct New Sewer Line  Owner to pay City $64,600 fee for downstream infrastructure impacts  City may incur future capital expenditures and other maintenance costs associated with the New Line and Disposal System upgrades
Pre-annexation Agreement
 City would receive new revenue from generated by future development in the proposed annexation area Recommendation
 Approve a resolution authorizing the Mayor to execute a Sewer Agreement and associated Reimbursement Agreement (Agreements) with Salinas 101 LLC (Owner) to establish the terms and conditions under which the City would allow connection to its wastewater collection and disposal system.
 Approve a resolution authorizing the Mayor to execute a Pre-Annexation Agreement with the County of Monterey for portions of Economic Development Element Economic Opportunity Area K (EDE EOA K).

City of Salinas
Legislation Text
200 Lincoln Ave., Salinas,
CA 93901
www.cityofsalinas.org
File #: ID#22-138, Version: 1
Vendor Program Update
No action required. This report presents information to the City Council regarding the implementation of the Vendor Program following adoption of Ordinance Amendments.

City of Salinas Page 1 of 1 Printed on 4/6/2022
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CITY OF SALINAS

COUNCIL STAFF REPORT
DATE: APRIL 12, 2022
DEPARTMENT: PUBLIC WORKS & COMMUNITY DEVELOPMENT
FROM: DAVID JACOBS, PUBLIC WORKS DIRECTOR

MEGAN HUNTER, COMMUNITY DEVELOPMENT DIRECTOR
BY: ADRIANA ROBLES, CITY ENGINEER

FERNANDO RIZO-GONZALEZ, ASSISTANT ENGINEER

OSCAR RESENDIZ, ASSOCIATE PLANNER

CRYSTAL CASILLAS, BUSINESS NAVIGATOR

LORENZO SANCHEZ, CODE ENFORECEMENT MANAGER

ALEXIS MEJIA, ADMINISTRATIVE AIDE
TITLE: VENDOR PROGRAM UPDATE
RECOMMENDED MOTION:

A motion to receive and accept the Administrative Report on Vendor Program implementation.

No further action is required.

RECOMMENDATION:

Staff recommends the City Council receive and accept the Administrative Report, which provides an update on Vendor Program implementation.

EXECUTIVE SUMMARY:

On September 21, 2021, City Council adopted an ordinance amendment to Article XVI of Chapter 20 (Vendor Ordinance) and an ordinance amending Chapter 37 of the Salinas Municipal Code.

The ordinance amendment removed the cap of thirty-two (32) food truck permits, expanded the types of vendors, expanded vending operations options for food truck vendors (designated locations, roaming or private property), and revised regulations to ensure community health and safety. Since adoption of the ordinance amendments, staff from Public Works and Community Development have been meeting weekly to coordinate implementation and enhance community outreach. Shortly after the adoption of the ordinances, a series of informational workshops were held with current and perspective vendors to inform them of amendments, regulation changes and the permitting process. To date, a total of 58 food truck vendor permits have been issued, exceeding the number of designated locations, but falling short of the expectation based on the 300+ waiting list.

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Implementation of Vendor Ordinance changes did not come without some heartache from those impacted. To gauge the impacts and general sentiment that the Ordinance amendment may have caused, staff conducted a number of surveys, including a pre- and post- ordinance amendment implementation survey of the general public, of food truck vendors, and conversations with SUBA.

BACKGROUND:

On June 22, 2021, City Council was presented with an ordinance amendment to Article XVI of Chapter 20 and an ordinance amending Chapter 37 to update the code governing street vendors.

Due to a possible conflict of interest, Councilmember Osornio excused himself from the hearing, requiring a second reading of the proposed ordinance amendments. On September 21, 2021, City Council adopted an ordinance amendment to Article XVI of Chapter 20 and an ordinance amending Chapter 37 of the Salinas Municipal Code. The two ordinances became effective on October 21, 2021.

Following adoption, staff from Development Engineering (Public Works), Advanced Planning and Plan Implementation (Community Development) and Code Enforcement (Community Development) worked together to develop bilingual informational bulletins, update the Vendor Program website and held a series of community meetings to inform current and new vendors of the adopted ordinances. Meetings were held in the evening to accommodate vendors as much as possible and were primarily held in Spanish as meeting participants were mostly Spanish speaking.

Meetings were held in person with the final meeting being held on Zoom.

Staff worked with current vendors that would be affected by the change in regulations, primarily those affected by the removal of vendor parking from the High Collision Corridors, at times meeting with them in the field to review possible new locations. Following assignment of all current vendors affected by the updated regulations and that had responded to staff requests to update their location, staff held a raffle on November 19, 2021, to assign the remaining designated locations. At the raffle, the attending vendors took turns in selecting the vendor (by vendor permit number) and the designated location. A map showing the final locations can be found on the city’s website: FOOD TRUCKS - Google Maps.

The final gathering with the food truck vendors came on December 10, 2021 at the PAL building.

During this gathering, staff reviewed the food truck vendor agreement with the participants and typical enforcement issues related to food trucks. Five stations were set up with staff issuing permits, IDs and QR codes to applicants. This allowed 32 of the 42 remaining permits to be issued within a span of an hour and greatly reduced staff time to set up individual meetings to issue permits which typically take approximately a half hour per permit.

DISCUSSION:

Change does not come without challenges. This was true of the changes implemented as part of the Vendor Ordinance Amendment. The following discussion outline the impacts of the Vendor Ordinance Amendment on vendors, business owners, and City staff.

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Food Truck Vendors
Food truck vendors have been in constant communication with Development Engineering staff since the implementation of the Vendor Ordinance Amendment. Vendors have presented staff with challenges concerning both roaming and designated locations. Challenges include the negative impact on sales and limited exposure to clientele due to the relocation of food truck vendors previously established at main corridors such as E Alisal St, Williams Rd and E Market St, now designated as High Collision Corridors. Additionally, new food truck vendors have identified the prohibition of vending on High Collision Corridors as a challenge since these are generally considered heavily frequented areas and prime locations. Other challenges identified include limited street parking for clients, poor lighting at vending locations and limited vending hours for food trucks designated at parks or as roaming.

Private Property
Since the approval of the ZCA Ordinance Amendment, the Business Navigator (APPI) has received several calls and emails from existing and new food truck vendors interested in the Conditional Use Permit process to establish the Food Truck use at a private property, see table below:

Table 1: Private Property Vendor Status
Vendor
(New/Existing)
Private
Property
Potential Challenge Status
New Vendor 607 E Market St  Site has no landscaping
 Insufficient space for
required parking
 Existing code violation(s)
Met with applicant,
provided information.

No application
submitted.

New Vendor 495 E Market St  Site has no landscaping
 Insufficient space for
required parking
 Existing code violation(s)
Met with applicant,
provided information.

No application
submitted.

New Vendor
(Property
Owner)
60/62 N Sanborn
Rd
 Site has no landscaping
 Insufficient space for
required parking
 Existing code violation(s)
 Multiple lots under a
parking agreement
Spoke with applicant,
provided information.

No application
submitted.

New Vendor 950/960/970 N
Sanborn Rd
 Site has no landscaping
 Insufficient space for
required parking
 Three lots (lot consolidation)
Met with applicant’s
architect, provided
information.

Architect provided
conceptual site plan.

Staff provided
feedback.

New Vendor 333 Main St  Application submitted and
under review as part of a
CUP to establish BINGO
use
Email and phone call
– informed customer
to see if food truck
Page | 4
could be added to

BINGO CUP
New Vendor 1050 S Main St  Site has limited
landscaping
 Insufficient space for
required parking
In person conversation
at the October
8 th vendor update
information meeting
New (property
owner) Vendor
No Address
provided. Caller indicated he owned
a gas station in the city
Spoke with applicant,
provided information.

No application
submitted.

Existing vendor 548 E Alisal St  Lease agreement with
property owner
Spoke with applicant,
provided information.

No application
submitted.

While the ZCA Ordinance Amendment opened an additional permitting avenue for food truck vendors on private property through a conditional use permit, it also came with some challenges for both food truck vendors and property owners. Some of the subject sites are “legal noncompliant”, since annexed from the County. Many of those sites would require investment in landscaping and parking enhancements to be in compliance with the Zoning Code requirements.

Other sites are too small to comply with parking and landscape requirements.

Additional Vendor Challenges
Other challenges that have been reported to both the Business Navigator and Code Enforcement officer are the decrease in “sales” for existing vendors that have been relocated, the restrictive hours of operating at parks until sunset, complaints from nearby businesses and nearby residential units, and food truck customers not having adequate parking in the public right-of-way.

Brick and Mortar
Since the Ordinance Amendment, one restaurant/night club (500/504 E Alisal St) reported conflicts with the designated food truck location adjacent to their parking lot. It was reported that the food truck was in direct competition to their restaurant business due to the sale of food and then additionally reported that food truck customers were parking in the established business’s parking stalls and leaving trash.

Enforcement
Code Enforcement internally filled the Vendor Enforcement Officer position with Code Enforcement Officer (CEO) Perez. CEO Perez has prior knowledge and experience with the Vendor Ordinance and has recently worked closely with Engineering on the implementation of the Ordinance changes. Since the Vendor Ordinance update, Code Enforcement staff conducted over ten (10) outreach meetings with potential and current vendors to discuss the changes and enforcement actions that will take place for noncompliance. CEO Perez has been working with vendors, property owners, business owners, and internal staff on addressing violations.

Administrative Aide Mejia created vendor Frequently Asked Questions (FAQs) flyers that have Page | 5
been distributed with pertinent information on the requirements to be a vendor in the City. To assist with monitoring compliance, Code Enforcement staff also implemented a QR code sticker that is to be placed on all vendor carts/vehicles. These stickers allow both the public and staff to identify the vendor, permit information, and permitted hours of operation. A Vendor Enforcement Hotline was created to better assist residents in submitting vendor complaints. The line is monitored daily by the CEO and has received over 90 complaints. Due to lack of compliance and after numerous attempts to gain compliance, a total of $3,300 in citations have been issued.

Common Challenges Frequently Identified by Code Enforcement Code Officer Safety Concerns
Vendors have become aggressive and confrontational with staff and have denied providing permits or identification. In such cases, it is impossible to identify the person without Police assistance to conduct a background check on the individual. Situations such as this, have the potential of putting the Vendor Enforcement Officer at risk. Based upon the last six-month enforcement interactions, Code Enforcement believes it would be beneficial to have at least two CEOs assigned to this program. In addition, the second officer will be able to work a split shift to meet the demands of day and evening enforcement. A Senior Code Enforcement Officer is being requested as part of the Divisions’ fiscal year (FY) 22-23 budget. Should it be approved, this new position could oversee and support vending enforcement.

High Vending Locations with Common Trends of Incompliance Two “specific” areas, the Foods Co and Cardenas shopping centers, are identified as having an influx of unpermitted flower and pushcart vendors. Unpermitted flower vendors have posed a safety challenge by vending within 200-feet of High Collision Intersections and vending on street medians. The observation is that the unpermitted vendors selling in this area are either from outside the city or unfamiliar with the Ordinance regulations. Vendors have been known to be dropped off at locations without identification or permits.

Limited Parking for Vendor Customers
Property owners have contacted the CEO and have been concerned with parking issues. Due to insufficient on street parking options for vendor customers in the public right of way, many have parked in spaces owned by nearby businesses, in front of fire hydrants, at red zones, and within driveway clearances.

Safety Concerns at Vending Locations
Conversations with food truck owners operating at parks identify that there is a safety concerns at park locations. It was reported on multiple occasions that vendors have been approached and threatened by transgressors and asked to sell drugs from their food truck. Another concern disclosed is the poor lighting of some of the designated locations which make them susceptible to the environment and surroundings.

Table 2: Common Challenges Faced Based Upon Vendor Type Vendor Challenges faced
Flower  Badges/permit information not on hand
Page | 6
 Aggressive towards staff
 Unwilling to obtain permits
 Working in unsafe place - the median
 Setback requirements not met
 Items not being placed on cart
Pushcart  Badges/permit information not on hand
 Aggressive towards staff
 Unwilling to obtain permits
 Setback requirements not met
 Selling on private property
 Identification not available
Designated  Badges/permit information not on hand
 Vending at unassigned location
 Operating past time limit at parks
 Operational requirements not met
Roaming  Badges/permit information not on hand
 Operating past 8pm
 Staying past 4-hour time limit
Staff Challenges
Staff also experienced challenges. Development Engineering is the permitting branch of Public Works. As such, they are tasked with review and issuance of encroachment permits, grading and stormwater quality permits, addressing, building permits (review only), development permits (review only), and vendor permits. As part of the Vendor Ordinance update, Development Engineering staff coordinated the striping and signage of the designated locations with maintenance staff, verified cat tracking and met with vendors to assign locations. At its peak, Development Engineering staff met with vendors at the Permit Center counter fifteen (15) times in a single day with a total of ninety-eight (98) visits in November 2021. At the same time, from October 21, 2021, to December 10, 2021, while staff was conducting meetings with vendors and establishing designed locations, a total of 381 permits were routed for review. The time staff dedicated to educating and assisting vendors resulted in a delay in the review of permits, with 65% of permits reviewed late, not within 10-day review timeframe, as opposed to 32% of permits reviewed late the months prior. These statistics affirmed the need for a designated staff person for vendor permits and assistance. Prior to the Ordinance Amendment, staff had relied primarily on a temporary staff member to provide support. During the timeframe above, two additional temporary employees provided support to issue vendor permits and provide support.

Gauging Sentiments
In order to understand the immediate impacts that the Vendor Ordinance changes may have caused, staff conducted a series of surveys and conversations with vendors, businesses and the general public.

Page | 7
General Public Survey
General public surveys were conducted pre- and post-Vendor Ordinance Amendment implementation, October 18, 2021 to November 18, 2021 and February 4, 2022 to March 11, 2022, respectively. At the time of the pre-ordinance amendment implementation survey there were twenty-nine (29) permitted food truck vendors operating (27 designated and two (2) roaming) compared to fifty-eight (58) permitted food truck vendors (fifty-two (52) designated and six (6) roaming) during the post-vendor ordinance amendment implementation survey timeframe.

Methodology
The survey was advertised and promoted through both the City of Salinas official Facebook and Instagram accounts.

Table 3: Participant’s Residence
ZIP Code of Residence No. of Persons Surveyed
Pre-Ordinance Amendment Post-Ordinance Amendment
93901 21 8
93905 13 9
93906 24 6
93907 3 2
N/A 2 1
TOTAL 78 26
Table 4: Major Findings of Public Surveys
Inquiry Pre-Ordinance
Amendment
Post-Ordinance
Amendment
Reside in Salinas 81% 92%
Own a business in Salinas 4% 35%
Have eaten at a food truck in Salinas 75% 100%
Ate at a food truck for the first time since
November 2021 - 31%
Food truck patrons who also purchased from
nearby businesses on days they visit food
trucks
74% 65%
Believe food trucks have no impact or are a
positive impact on nearby businesses 69% 73%
Business owners who believe food trucks
have no impact or are a positive impact on
nearby businesses
- 44%
How did you find out about the current food
truck locations? -
46% Walking by
19% Vendor’s social
media
19% Friend/referral
Page | 8
3% City website
Believe food trucks would bring in
visitors/tourists to Salinas 55% 46%
Believe food trucks are economically
beneficial to Salinas 78% 73%
Food Truck Vendor Survey
City staff created a survey to assess the new locations for existing food truck vendors after a month of usage. The survey launched on February 4, 2022 and remained open through March 11, 2022.

The survey was posted on the City’s Facebook page, shared via email. In addition, City staff reached out directly to the designated food truck locations via telephone to increase input.

Food Truck Vendor Survey Major Findings
City staff received fifteen (15) survey submittals making up twenty-eight (28) food trucks of the fifty-eight (58) permitted. This includes food truck owners that may own more than one food truck.

Table 5: Major Findings of Food Truck Vendor Survey
Questions Results
Are you finding your food truck location to be
profitable? More than you expected/less than
you expected before you began?
67% Less profitable than expected
33% About Expected
0% More Profitable than expected
What is the estimated number of customers at
the Designated Location/Roaming Location
that you receive during the hours of
operation?
73% ~ 1-30 customers
20% ~ 31-60 customers
7% ~ 61-90 customers
Does your site feel safe during hours of
operation?
87% Owners Feel Safe
13% Owners Do Not Feel Safe
How clear is the permit application process? 93% Clear
7% Confusing
Was adequate education on rules and
regulations provided prior to permit issuance?
93% Yes
7% No
Would you like any additional resources or
workshops about the application process?
No responses provided
For full survey results see attachment Microsoft Forms
Salinas United Business Association (SUBA)
Alejandro Chavez, SUBA Executive Director, met with the Vendor Ordinance Task Force to voice some of the concerns and challenges that both food truck vendors and brick and mortar SUBA members have had since the Ordinance was adopted.

Table 6: SUBA Members Concerns
Food Trucks Brick and Mortar
 Safety concerns (designated location)  Inequity of Food Trucks Page | 9
near parks and residential areas
 Tensions with restaurants due to new
designated locations
o Parking conflicts, trash
 Original 32 vendors think that their
location should have been in a lottery for a
location and then a 2nd lottery for the new
20 vendors**
 Pop-up markets with food vendors
(puestos) that are popping up at various
locations
**Note: Staff gave the original 32 vendors the option to select their location, then the remaining 20 spots went into a lottery, some of the original vendors entered the lottery because they added an additional food truck – opportunity to expand)
Next Steps
What Worked?

1. Outreach. Staff did not rely solely on informational bulletins and website updates to inform vendors of the changes. A series of in person and online meetings were held at times that were convenient for vendors.

2. Although a number of complaints have been made by vendors based on the location’s, lighting, safety and patronage, staff concluded, and were informed by a number of vendors, that the process for distributing designated locations was open and fair. Vendors were active participants in the assignment of the designated locations.

3. The issuance of permits is a time-consuming task that includes collecting and reviewing all required documentation and then by reviewing the vendor agreement and issuing the permit. By bringing most vendors together into a single event and with assistance of additional staff, the multiday task of issuing permits was completed in approximately an hour and a consistent message was provided to all vendors.

Moving forward staff plans to continue implementing the outreach strategies and processes developed during this implementation.

Collaboration and Coordination
As part of continued improvement, staff will be looking at ways to further streamline the vendor permitting process. There is still a delay in the current process due to vendor IDs being processed up to a week or more after the vendor applies for a permit.

An important lesson that staff has learned is that we can work well together when we keep open lines of communication and work towards a common goal, whether that is supporting staff issuing permits or supporting code enforcement with following up on possible violations. Staff from various divisions have coordinated, provided support and successfully collaborated to guide vendors and respond to sometimes-contentious issues and concerns.

Business Development Assistance for Vendors
Currently, the City’s Business Navigator, Crystal Casillas, provides information on the different vending options for those interested in starting a food truck business. The Business Navigator also Page | 10
connects new and current food truck owners to community organizations that provide technical assistance and access to working capital. Community organizations were informed about the updates to the ordinance so that they could be prepared to provide the most current information to those interested in starting a food business.

Summer Check-in
A common theme with most vendor grievances was loss of sales. Staff speculates that this may simply be an effect of the season and that in general winter sales may be far less than summer sales, particularly for those less seasoned or new vendors. As a result, staff will conduct another survey during the summer to determine if food truck vendors, business owners and the public’s sentiments have changed regarding the food truck Vendor Program.

Staffing
As part of the fiscal year 22/23 annual operating budget adjustments, Public Works has requested that a full-time Permit Technician be added to the Development Engineering staff. This position would allow technical staff to concentrate on review of building, grading, stormwater and encroachment permits while providing the required attention and consistency to vendors and the issuance of vending permits.

CEQA CONSIDERATION:

The acceptance of this Administrative Report is not a project as defined by the California Environmental Quality Act (CEQA) (CEQA Guidelines Section 15378).

STRATEGIC PLAN INITIATIVE:

This report supports the City Council’s goal of Economic Development and Public Safety. The Vendor Program provides an alternative business model while monitoring and regulating vendors for the public’s safety.

DEPARTMENTAL COORDINATION:

Implementation of the Vendor Program continues to be a team effort between the Public Works Department (Development Engineering), the Community Development Department (Advanced Planning and Project Implementation Division and Code Enforcement) with support from the Police Department.

FISCAL AND SUSTAINABILITY IMPACT:

This is a program update and does not implement any changes not addressed through other fiscal reports. As stated above, Public Works and Code Enforcement have included new staff positions that would support the Vendor Program as part of their FY 22-23 budget requests. Public Works has requested that a full-time Permit Technician be added to the Development Engineering staff to focus on vendor permitting and a Senior Code Enforcement Officer is being requested as part of the Divisions’ fiscal year (FY) 22-23 budget.

Page | 11
ATTACHMENTS:

1. Pre Food Truck Survey Results (raw data)

2. Post Food Truck Survey Results (raw data)

3. Presentation to Food Truck Vendors

4. Food Truck Vendor Agreement

5. Flowchart – English

6. FAQ – Designated Location – Street

7. FAQ – Private Property
Pre VO Implementation
Food Truck Survey
ID Start time Completion time Email Name Language
Are you a Salinas
resident or business
owner?
2 10/22/21 9:44:12 10/22/21 9:44:49 anonymous English (United States)‎ Resident Only 3 10/22/21 9:49:17 10/22/21 9:50:35 anonymous English (United States)‎ Resident Only 4 10/22/21 9:55:09 10/22/21 9:55:47 anonymous English (United States)‎ Resident Only 5 10/22/21 10:00:44 10/22/21 10:01:36 anonymous English (United States)‎ Resident Only 6 10/22/21 10:10:16 10/22/21 10:10:43 anonymous English (United States)‎ Resident Only 7 10/22/21 10:51:46 10/22/21 10:52:23 anonymous English (United States)‎ Resident Only 8 10/22/21 11:31:16 10/22/21 11:33:19 anonymous English (United States)‎ Both 9 10/22/21 11:32:50 10/22/21 11:33:44 anonymous English (United States)‎ Resident Only 10 10/22/21 11:51:29 10/22/21 11:52:18 anonymous English (United States)‎ Resident Only 11 10/22/21 13:08:58 10/22/21 13:11:10 anonymous English (United States)‎ Resident Only 12 10/22/21 13:14:33 10/22/21 13:17:23 anonymous English (United States)‎ Neither 13 10/22/21 13:30:14 10/22/21 13:30:52 anonymous English (United States)‎ Resident Only 14 10/22/21 13:22:02 10/22/21 13:33:45 anonymous English (United States)‎ Resident Only 15 10/22/21 14:04:23 10/22/21 14:04:45 anonymous English (United States)‎ Resident Only 16 10/22/21 14:51:10 10/22/21 14:52:26 anonymous English (United States)‎ Resident Only 17 10/22/21 14:56:43 10/22/21 14:57:36 anonymous English (United States)‎ Resident Only 18 10/22/21 17:04:41 10/22/21 17:05:31 anonymous English (United States)‎ Resident Only 19 10/22/21 18:08:29 10/22/21 18:09:02 anonymous English (United States)‎ Resident Only 20 10/22/21 18:26:22 10/22/21 18:26:53 anonymous English (United States)‎ Resident Only 21 10/22/21 19:16:05 10/22/21 19:20:11 anonymous English (United States)‎ Resident Only 22 10/22/21 19:49:19 10/22/21 19:50:43 anonymous English (United States)‎ Both 23 10/22/21 21:04:32 10/22/21 21:06:29 anonymous English (United States)‎ Resident Only 24 10/22/21 22:39:02 10/22/21 22:39:34 anonymous English (United States)‎ Resident Only 25 10/22/21 23:49:32 10/22/21 23:50:18 anonymous English (United States)‎ Resident Only 26 10/23/21 7:29:31 10/23/21 7:30:21 anonymous English (United States)‎ Resident Only 27 10/23/21 11:41:48 10/23/21 11:44:16 anonymous English (United States)‎ Resident Only 28 10/23/21 11:55:33 10/23/21 11:57:23 anonymous Español (México)‎ Resident Only 29 10/23/21 12:03:33 10/23/21 12:04:42 anonymous English (United States)‎ Resident Only 30 10/23/21 12:28:28 10/23/21 12:35:19 anonymous English (United States)‎ Resident Only 31 10/23/21 14:20:00 10/23/21 14:23:04 anonymous Español (México)‎ Neither 1 of 9
Pre VO Implementation
Food Truck Survey
ID Start time Completion time Email Name Language
Are you a Salinas
resident or business
owner?
32 10/23/21 17:28:52 10/23/21 17:30:03 anonymous English (United States)‎ Resident Only 33 10/23/21 19:07:41 10/23/21 19:09:06 anonymous English (United States)‎ Resident Only 34 10/23/21 19:55:11 10/23/21 19:55:48 anonymous English (United States)‎ Resident Only 35 10/23/21 23:43:42 10/23/21 23:44:09 anonymous English (United States)‎ Resident Only 36 10/26/21 8:56:11 10/26/21 8:57:06 anonymous English (United States)‎ Resident Only 37 10/26/21 8:56:50 10/26/21 8:58:30 anonymous English (United States)‎ Neither 38 10/26/21 9:03:12 10/26/21 9:03:58 anonymous English (United States)‎ Neither 39 10/26/21 9:04:04 10/26/21 9:04:33 anonymous English (United States)‎ Resident Only 40 10/26/21 9:03:54 10/26/21 9:05:32 anonymous English (United States)‎ Resident Only 41 10/26/21 9:04:52 10/26/21 9:05:35 anonymous English (United States)‎ Resident Only 42 10/26/21 9:07:00 10/26/21 9:07:43 anonymous English (United States)‎ Resident Only 43 10/26/21 9:09:39 10/26/21 9:10:55 anonymous English (United States)‎ Both 44 10/26/21 9:11:07 10/26/21 9:11:53 anonymous English (United States)‎ Neither 45 10/26/21 9:15:13 10/26/21 9:16:23 anonymous English (United States)‎ Resident Only 46 10/26/21 9:16:17 10/26/21 9:16:47 anonymous English (United States)‎ Neither 47 10/26/21 9:29:06 10/26/21 9:29:33 anonymous English (United States)‎ Resident Only 48 10/26/21 9:37:53 10/26/21 9:39:04 anonymous English (United States)‎ Resident Only 49 10/26/21 9:58:44 10/26/21 9:59:53 anonymous English (United States)‎ Resident Only 50 10/26/21 10:11:28 10/26/21 10:13:23 anonymous English (United States)‎ Resident Only 51 10/26/21 10:19:30 10/26/21 10:21:43 anonymous English (United States)‎ Neither 52 10/26/21 10:25:10 10/26/21 10:26:15 anonymous English (United States)‎ Resident Only 53 10/26/21 10:31:37 10/26/21 10:32:19 anonymous English (United States)‎ Resident Only 54 10/26/21 10:32:02 10/26/21 10:32:40 anonymous English (United States)‎ Neither 55 10/26/21 10:40:43 10/26/21 10:41:27 anonymous English (United States)‎ Resident Only 56 10/26/21 10:45:41 10/26/21 10:46:30 anonymous English (United States)‎ Resident Only 57 10/26/21 11:02:15 10/26/21 11:03:37 anonymous English (United States)‎ Neither 58 10/26/21 11:13:31 10/26/21 11:13:53 anonymous English (United States)‎ Resident Only 59 10/26/21 11:14:10 10/26/21 11:14:38 anonymous English (United States)‎ Resident Only 60 10/26/21 11:17:48 10/26/21 11:19:24 anonymous English (United States)‎ Neither 61 10/26/21 11:26:56 10/26/21 11:27:20 anonymous English (United States)‎ Resident Only 2 of 9
Pre VO Implementation
Food Truck Survey
ID Start time Completion time Email Name Language
Are you a Salinas
resident or business
owner?
62 10/26/21 11:32:01 10/26/21 11:33:02 anonymous English (United States)‎ Neither 63 10/26/21 11:27:06 10/26/21 11:35:36 anonymous English (United States)‎ Resident Only 64 10/26/21 12:26:07 10/26/21 12:26:39 anonymous English (United States)‎ Neither 65 10/26/21 12:37:03 10/26/21 12:38:09 anonymous English (United States)‎ Resident Only 66 10/26/21 13:26:11 10/26/21 13:32:04 anonymous English (United States)‎ Resident Only 67 10/26/21 13:38:29 10/26/21 13:39:03 anonymous English (United States)‎ Neither 68 10/27/21 8:20:35 10/27/21 8:21:39 anonymous English (United States)‎ Resident Only 69 10/27/21 8:24:38 10/27/21 8:27:02 anonymous English (United States)‎ Resident Only 70 10/27/21 8:25:11 10/27/21 8:27:05 anonymous English (United States)‎ Resident Only 71 10/27/21 8:32:58 10/27/21 8:34:08 anonymous English (United States)‎ Resident Only 72 10/27/21 8:35:04 10/27/21 8:35:31 anonymous English (United States)‎ Neither 73 10/27/21 9:45:06 10/27/21 9:45:23 anonymous English (United States)‎ Resident Only 74 10/27/21 9:50:41 10/27/21 9:51:44 anonymous English (United States)‎ Resident Only 75 10/28/21 9:22:55 10/28/21 9:25:19 anonymous English (United States)‎ Resident Only 76 10/29/21 22:07:38 10/29/21 22:08:48 anonymous Español (México)‎ Neither 77 11/1/21 8:09:39 11/1/21 8:10:23 anonymous English (United States)‎ Resident Only 78 11/12/21 21:19:25 11/12/21 21:20:01 anonymous English (United States)‎ Resident Only 79 11/16/21 12:45:38 11/16/21 12:46:32 anonymous English (United States)‎ Resident Only 3 of 9
Pre VO Implementation
Food Truck Survey
ID
2 3
4 5
6 7
8 9
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
What ZIP code is your
business located in?
What type of business
do you own/run?
Do any food trucks
currently operate near
your business?
What ZIP code do you
live in? Do you visit food trucks?
Do you think food truck
patrons would make
purchases at nearby
93901 Yes Yes
93905 Yes Yes
93901 Yes Yes
93906 Yes Yes
93901 Yes Yes
93907 Yes Yes
93905 Autorepair Yes 93905 Yes No
93906 Yes Yes
93905 Yes Yes
93901 Yes Yes
Yes Yes
93906 Yes Yes
93906 No Yes
93906 Yes Yes
93905 Yes Yes
93901 Yes Yes
93905 No No
93906 Yes Yes
93901 Yes Yes
93906 Yes Yes
93901 Event rentals No 93901 Yes Yes
93905 Yes Yes
N/A Yes Yes
93906 Yes Yes
93906 Yes Yes
93905 Yes Yes
93905 Yes Yes
93906 Yes Yes
93905 Yes Yes
Yes Yes
4 of 9
Pre VO Implementation
Food Truck Survey
ID
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 55
56 57
58 59
60 61
What ZIP code is your
business located in?
What type of business
do you own/run?
Do any food trucks
currently operate near
your business?
What ZIP code do you
live in? Do you visit food trucks?
Do you think food truck
patrons would make
purchases at nearby
93901 Yes Yes
93905 Yes Yes
Other Yes Yes
93905 Yes Yes
93907 Yes Yes
No No
Yes Yes
93901 Yes Yes
93906 No No
93907 No No
93906 Yes Yes
93901 Dance Venue No 93901 No No
No No
93901 No Yes
Yes Yes
93905 Yes Yes
93901 Yes Yes
93901 Yes No
93906 No No
Yes Yes
93906 Yes Yes
93901 No No
Yes Yes
93906 No No
93906 No No
Yes No
93901 Yes Yes
93906 Yes No
No Yes
93906 Yes Yes
5 of 9
Pre VO Implementation
Food Truck Survey
ID
62 63
64 65
66 67
68 69
70 71
72 73
74 75
76 77
78 79
What ZIP code is your
business located in?
What type of business
do you own/run?
Do any food trucks
currently operate near
your business?
What ZIP code do you
live in? Do you visit food trucks?
Do you think food truck
patrons would make
purchases at nearby
Yes Yes
93901 Yes No
No Yes
93905 No No
93906 No No
Yes Yes
93906 Yes Yes
93906 Yes Yes
93906 Yes Yes
93906 No Yes
Yes No
93901 Yes Yes
93901 Yes Yes
93901 No No
No Yes
93901 Yes No
93901 Yes Yes
93906 Yes Yes
6 of 9
Pre VO Implementation
Food Truck Survey
ID
2 3
4 5
6 7
8 9
10 11
12 13
14 15
16 17
18 19
20 21
22 23
24 25
26 27
28 29
30 31
Do you feel having food
trucks is good, bad or
neither for Salinas?
Do you think nearby
businesses are
positively, negatively, or
Do you think food trucks
bring in visitors/tourists
to Salinas?
Do you think food trucks
are economically
beneficial to the City of
Good No Impact Yes Yes
Good Negative Yes Yes
Good Positive Yes Yes
Good Positive No Yes
Good Positive Yes Yes
Good Positive Yes Yes
Bad Negative No No
Good No Impact No Yes
Good Negative Yes Yes
Good Positive Yes Yes
Bad No Impact No No
Neither Positive No No
Bad Negative No No
Good No Impact Yes Yes
Good Positive Yes Yes
Good No Impact Yes Yes
Neither No Impact No Yes
Good No Impact No Yes
Good Positive Yes Yes
Good Negative Yes Yes
Good Positive Yes Yes
Good Positive Yes Yes
Good Positive Yes Yes
Neither No Impact Yes Yes
Good Positive Yes Yes
Good Negative Yes Yes
Good Positive No Yes
Good No Impact Yes Yes
Good No Impact Yes Yes
Good Positive Yes Yes
7 of 9
Pre VO Implementation
Food Truck Survey
ID
32 33
34 35
36 37
38 39
40 41
42 43
44 45
46 47
48 49
50 51
52 53
54 55
56 57
58 59
60 61
Do you feel having food
trucks is good, bad or
neither for Salinas?
Do you think nearby
businesses are
positively, negatively, or
Do you think food trucks
bring in visitors/tourists
to Salinas?
Do you think food trucks
are economically
beneficial to the City of
Good Negative Yes Yes
Good Positive Yes Yes
Good Positive No Yes
Good Positive Yes Yes
Good Positive Yes Yes
Neither Negative No Yes
Good Positive No Yes
Good Positive Yes Yes
Bad No Impact No Yes
Neither Negative No No
Good Positive Yes Yes
Neither Negative No No
Bad Negative No No
Good Positive No Yes
Good Positive Yes Yes
Good Negative No Yes
Good Positive Yes Yes
Good Positive No Yes
Neither No Impact No Yes
Good Positive Yes Yes
Good Positive No Yes
Bad Negative No No
Good Positive No Yes
Neither Negative No No
Bad Negative No No
Bad Negative No No
Good Positive Yes Yes
Bad Negative No No
Neither Negative Yes Yes
Good Positive Yes Yes
8 of 9
Pre VO Implementation
Food Truck Survey
ID
62 63
64 65
66 67
68 69
70 71
72 73
74 75
76 77
78 79
Do you feel having food
trucks is good, bad or
neither for Salinas?
Do you think nearby
businesses are
positively, negatively, or
Do you think food trucks
bring in visitors/tourists
to Salinas?
Do you think food trucks
are economically
beneficial to the City of
Good Positive Yes Yes
Neither Positive No Yes
Good Positive Yes Yes
Neither Negative No No
Neither Negative No No
Good Positive Yes Yes
Good Positive Yes Yes
Good No Impact Yes Yes
Good No Impact No Yes
Good Negative No No
Good Negative Yes Yes
Good Positive Yes Yes
Good Positive Yes Yes
Neither Negative No No
Good Positive Yes Yes
Good Negative No No
Good Positive Yes Yes
Good Positive No Yes
9 of 9
Post VO Implementation
Food Truck Survey
ID Start time Completion time Email Name Language
Are you a Salinas
resident or business
owner?
1 2/9/22 16:56:00 2/9/22 16:57:03 anonymous English (United States)‎ Resident Only 2 2/9/22 17:01:37 2/9/22 17:03:48 anonymous English (United States)‎ Store-Front Business
Owner Only
3 2/9/22 17:02:32 2/9/22 17:04:52 anonymous English (United States)‎ Both 4 2/9/22 17:10:21 2/9/22 17:12:10 anonymous English (United States)‎ Resident Only 5 2/9/22 17:11:18 2/9/22 17:12:28 anonymous English (United States)‎ Both 6 2/9/22 17:33:15 2/9/22 17:35:46 anonymous English (United States)‎ Resident Only 7 2/9/22 19:00:43 2/9/22 19:01:49 anonymous English (United States)‎ Resident Only 8 2/9/22 19:41:36 2/9/22 19:46:21 anonymous English (United States)‎ Both 9 2/9/22 19:46:27 2/9/22 19:48:05 anonymous English (United States)‎ Resident Only 10 2/9/22 19:51:03 2/9/22 19:53:10 anonymous English (United States)‎ Store-Front Business
Owner Only
11 2/9/22 19:53:46 2/9/22 20:24:47 anonymous English (United States)‎ Both 12 2/9/22 22:08:03 2/9/22 22:09:17 anonymous English (United States)‎ Resident Only 13 2/10/22 9:10:26 2/10/22 9:12:10 anonymous English (United States)‎ Resident Only 14 2/10/22 10:38:46 2/10/22 10:41:09 anonymous English (United States)‎ Both 15 2/10/22 16:21:43 2/10/22 16:24:37 anonymous English (United States)‎ Resident Only 1 of 8
Post VO Implementation
Food Truck Survey
ID Start time Completion time Email Name Language
Are you a Salinas
resident or business
owner?
16 2/10/22 23:18:02 2/10/22 23:19:38 anonymous English (United States)‎ Resident Only 17 2/11/22 0:03:11 2/11/22 0:07:27 anonymous English (United States)‎ Resident Only 18 2/11/22 0:44:52 2/11/22 0:47:34 anonymous English (United States)‎ Resident Only 19 2/11/22 9:42:47 2/11/22 9:45:34 anonymous English (United States)‎ Resident Only 20 2/11/22 22:07:03 2/11/22 22:08:25 anonymous English (United States)‎ Resident Only 21 2/13/22 6:50:35 2/13/22 7:01:04 anonymous English (United States)‎ Both 22 2/13/22 19:20:00 2/13/22 19:21:36 anonymous English (United States)‎ Resident Only 23 2/18/22 9:28:28 2/18/22 9:30:34 anonymous English (United States)‎ Resident Only 24 2/18/22 20:49:12 2/18/22 20:51:24 anonymous English (United States)‎ Resident Only 25 2/23/22 13:42:34 2/23/22 13:44:28 anonymous English (United States)‎ Resident Only 26 3/11/22 11:40:44 3/11/22 11:53:14 anonymous English (United States)‎ Both 2 of 8
Post VO Implementation
Food Truck Survey
ID
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 What ZIP code is your
business located in?
What type of business
do you own/run?
Do any food trucks
currently operate near
your business?
What ZIP code do you
live in?
How often have you
visited food trucks in
Salinas since November
How did you find out
about the current
locations of food trucks?
93901 4-5 times
City of Salinas
Engineering Website
93905 Office Yes 93901 5 times or more Walking By
93901 Cleaning No 93901 First Time Walking By
93901 5 times or more Friend/Referral
93907 Janitorial No 93907 2-3 Times Walking By
93901 5 times or more Walking By
93906 2-3 Times

Instagram or other
Social Media
93905 Auto dealer Yes 93905 First Time Other
93905 First Time Other
93905 Retail (Clothing) Yes 93905 First Time Walking By 93905 Convenience Store Yes 93905 First Time Walking By 93906 2-3 Times

Instagram or other
Social Media
93901 4-5 times Walking By
Other Convenience Store No Other Weekly (Or every other) Friend/Referral 93906 4-5 times Walking By
3 of 8
Post VO Implementation
Food Truck Survey
ID
16 17
18 19
20 21
22 23
24 25
26 What ZIP code is your
business located in?
What type of business
do you own/run?
Do any food trucks
currently operate near
your business?
What ZIP code do you
live in?
How often have you
visited food trucks in
Salinas since November
How did you find out
about the current
locations of food trucks?
93905 Weekly (Or every other)

Instagram or other
Social Media
93906 First Time

Instagram or other
Social Media
93905 2-3 Times Walking By
93906 5 times or more Friend/Referral
93906 2-3 Times Friend/Referral
93905
WIC on E. Alisal and
Pearl St Yes 93905 First Time Walking By
93901 2-3 Times

Instagram or other
Social Media
93907 5 times or more Walking By
93905 Weekly (Or every other) Friend/Referral
93901 Weekly (Or every other) Walking By
93906 Restaurant Yes 93905 First Time Other
4 of 8
Post VO Implementation
Food Truck Survey
ID
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 Do you visit other
stores in the area on
the day/s you visit the
Would visiting food
trucks make you more
likely to visit other
Do you perceive having
food trucks in Salinas is
having a positive,
Do you think nearby
businesses are
positively, negatively,
Do you think food
trucks bring in
visitors/tourists to
Do you think food
trucks are economically
beneficial to the City of
Yes Yes Positive Impact Positive No Yes
Yes Yes Positive Impact No Impact No Yes
Yes No No Impact No Impact Yes Yes
Yes Yes Positive Impact Positive Yes Yes
Yes Yes Positive Impact Positive Yes Yes
Yes Yes Positive Impact Positive Yes Yes
Yes No Positive Impact Positive Yes Yes
Yes No Negative Impact Negative No No
Yes No Negative Impact Negative No No
Yes No Negative Impact Negative No No
No No Negative Impact Negative No No
Yes Yes Positive Impact Positive Yes Yes
Yes Yes Positive Impact Positive No Yes
No Yes Positive Impact Positive No Yes
Yes Yes Positive Impact No Impact Yes Yes
5 of 8
Post VO Implementation
Food Truck Survey
ID
16 17
18 19
20 21
22 23
24 25
26 Do you visit other
stores in the area on
the day/s you visit the
Would visiting food
trucks make you more
likely to visit other
Do you perceive having
food trucks in Salinas is
having a positive,
Do you think nearby
businesses are
positively, negatively,
Do you think food
trucks bring in
visitors/tourists to
Do you think food
trucks are economically
beneficial to the City of
No No Positive Impact No Impact Yes Yes
No No Negative Impact Negative No No
No No Positive Impact Positive No Yes
Yes Yes Positive Impact No Impact Yes Yes
Yes Yes Positive Impact No Impact Yes Yes
No No Negative Impact Negative No No
No No No Impact No Impact No No
Yes Yes No Impact Positive No Yes
No Yes Positive Impact Positive Yes Yes
Yes Yes Positive Impact Positive Yes Yes
No No Negative Impact Negative No Yes
6 of 8
Post VO Implementation
Food Truck Survey
ID
1 2
3 4
5 6
7 8
9 10
11 12
13 14
15 What additional comments do you have about Food Trucks Vendors? No
Ningun
They offer additional food options
Let the in!
We need food trucks in salinas as part of of culture, in addition, that's how we know about other businesses around the area.

Great to see everywhere
We have enough food trucks in salinas and we need help to restaurants instead food trucks because the have to pay property taxes and other expenses No more food trucks in the streets
More help to local restaurants and no more foods trucks Loosen jobs for restaurants employees
Great food
Make it easier for business, reduce fees.

They’re awesome
some have raised their prices on food, not sure if they are covered under small business grants and the price regulations, and some should offer doable options pick up, mobile ordering to make process easier
7 of 8
Post VO Implementation
Food Truck Survey
ID
16 17
18 19
20 21
22 23
24 25
26 What additional comments do you have about Food Trucks Vendors? Creating a food truck park would be great
I don’t think food trucks should be allowed to be parked on the side of city streets selling food. They cause extra traffic, parking issues and trash in the neighborhoods.

Being at the rodeo grounds is enjoyable, safe and still local.

Me gustaría saber cómo puedo tener una propio food truck. Mi correo es e***********@gmail.com We should have a food court or park like in Modesto,Ca
I support small businesses
learn about nutrition and to have a truck selling unhealthy foods outside of our door is counterproductive. Additionally the truck now occupies parking that was previously used by our moms coming in to the office for breastfeeding consultations.

They shouldn't be allowed to take up two spots and stay there permanently I think having them closer to parks where people could sit and eat rather than get their food and leave would be a better thing They keep the community fed day in and out, that is not processed food. For a good price as well.

Great opportunity for small business
I have two food trucks near my brick and mortar business. The customers from the food trucks have been using our parking space. The food trucks have been parked for more than 4 hours which is their time limit. A food truck parking in front of my business has their brick and mortar down the street and I feel it is unfair. 8 of 8

VENDOR PERMIT ORDINANCE UPDATE
ARTICLE XVI OF CHAPTER 20

FOOD TRUCKS

ACUTALICACION DE LA ORDENANZA DE PERMISO DE

VENDEDORES AMBULANTES
ARTICULO XVI DE CAPITULO 20

CAMIONES DE COMIDA

VENDOR CLASSIFICATIONS/

CLASIFICACION DE VENDEDORES

VENDORS/

VENDEDORES

FOOD TRUCKS/

CAMIONES DE
COMIDA

RIGHT-OF-WAY/VIA PUBLICA

ICE CREAM TRUCKS/

CAMION DE PALETAS

PUSHCARTS/

CARRETONES
(RIGHT-OF-WAY/

VIA PUBLICA)

PRIVATE PROPERTY (WITH CUP)

PROPIEDAD PRIVADA
(CON PERMISO DE USO DE TERRRENO)

DESIGNATED LOCATIONS/

LUGARES DESIGNADOES

MOBILE/
MOVIL
STREETS (40)/
CALLES (40)
PARKS (12)/
PARQUES (12)

FOOD TRUCK OPERATING OPTIONS

AND HOURS OF OPERATION/

OPCIONES OPERATIVAS Y HORARIOS DE OPERACION

DE CAMIONES DE COMIDA

DESIGNATED

LOCATION/
LUGAR

DESGINADO

ROAMING/

AMBULANTE

PRIVATE

PROPERTY/

PROPIEDAD

PRIVADA

FRUIT &

VEGETABLE/

FRUTAS Y

VERDURAS
10am – 3am
Daily (R/W)/Diario (via publica)
Sunrise – Sunset/
Amanecer-Atardecer
Daily (Parks)/ Diario (Parques)
9am – 10pm
Sunday – Thursday/
domingo-jueves
9am – Midnight/media noche
Friday, Saturday, Holidays/
viernes, sabado, dias festivos
8am – 8pm
Daily/Diario
Sunrise – Sunset
Amanecer-Atardecer
Daily/Diario

NEW RESTRICTIONS/

NUEVAS RESTRICCIONES

VISION ZERO ACTION PLAN/

PLAN DE ACCIONVISION ZERO

NEW RESTRICTIONS/

NUEVAS RESTRICCIONES

VISION ZERO ACTION PLAN/

PLAN DE ACCIONVISION ZERO

NEW REGULATIONS

SETBACKS AND PARKING RESTRICTIONS

IN THE R/W
• 200-ft setback from schools
• 200-ft setback from another food truck
• 40-ft setback from a street intersection (200-ft at HCI) • Cannot operate in residential zones
• Cannot operate from a specially marked curb
• Must operate adjacent to paved sidewalk or path
• Cannot impede the flow of vehicular or pedestrian traffic.

NUEVAS RESTRICCIONES

DISTANCIAS Y ESTACIONAMIENTO

RESTRINGIDO EL LA VIA PUBLICA
• 200-pies de escuelas
• 200-pies de other camión de comida
• 40-pies de una bocacalle (200-pies en intersección de colisión alta)
• No puede operar en zonas residenciales
• No puede operar desde un bordello marcado
• Debe operar junto a la acera o camino pavimentado
• No puede impeder el flujo de tráfico de vehículos o
peatones.

NEW RESTRICTIONS

OPERATIONS IN THE R/W
• May only sell food
• Cannot sell alcohol or controlled substances
• Cannot use furniture or other fixtures
• Cannot obstruct street sweeping
• Cannot operate from a defective, unsafe or unsanitary vehicle • May not be left unattended for more than 30 min.
• Generators may not exceed 55 db near parks
• Generators may not exceed 70 db in the right of way
• New conditions and appearance requirements

NUEVAS RESTRICCIONES

OPERACCIONES EN LA VIA PUBLIC
• Venta solo de comida
• No puede vender alcohol o sustancias controladas
• No puede usar muebles u otros accesorios
• No puede obstruir el barrido de calles
• No puede operar desde un vehículo defectuoso, inseguro o insalubre • No puede dejar desatendido durante más de 30 min.
• Los generadores no pueden exceeder los 55 db cerca de parques • Los generadores no pueden exceeder los 70 db cerca en la via publica • Nuevascondiciones y requisites de apariencia

NEW RESTRICTIONS

OPERATING ON PRIVATE PROPERTY

CONDITIONAL USE PERMIT REQUIRED
• Developed site
• Location of food truck
• Only sell food and beverages
• Maintenance of food truck (visual)
• Solid waste and recycle containers
• No generators allowed
• Portable restrooms prohibited
• Amplified sound prohibited

NUEVAS RESTRICCIONES

OPERANDO EN PROPIEDAD PRIVADA

SE REQUIERE PERMISO DE USO CONDICIONAL
• Sitio desarrollado
• Ubicación del camión de comida
• Solo venta de alimentos y bebidas
• Mantenimiento del vehículo (visual)
• Contenedores de residuos sólidos y reciclaje
• No se permiten generadores
• Baños portátiles prohibidos
• Sonido amplificado prohibido

ENFORCEMENT/CUMPLIMIENTO

EDUCATION/EDUCACION
• Townhall meetings/Juntas comunitarios
• Information bulletins/Folletosinfomativos

CITATIONS/MULTAS
• $250 first violation/primera violación
• $500 second violation (within 1-yr)/
segunda violación (dentro de un año)
• $1000 additional violations (within 1-yr)/
violaciones adicionales(dentro de un año)

INELIGIBILE FOR A PERMIT/

INELEGIBLE PARA UN PERMISO
• 3 years/años(revoked rermit/permiso revocado)
• 5 years/años(operating without a permit/
operando sin permiso de vendedor)

GET A PERMIT/OBTEN UN PERMISO

PERMITS & LICENSES/PERMISOS Y LICENCIAS
• Monterey County Health Permit/
Permiso de salubridad del Condado de Monterey
• City Business License/Licencia de negocios de la
ciudad
• State Seller’s Permit/Permiso de Vendedor del Estado
• State Driver’s License/Licencia de Conducir del Estado

INSPECTIONS/INSPECCIONES
• Fire Department/Departamentos de Bomberos

FEES/TARIFAS
• $68.75 Application/Aplicación
• $690.00 Food Truck Permit/Permiso de Camión de
Comida
• $161.00 Fire Inspection/Inspección de bomberos
• $16.50 per person ID/Identificación por persona
• 5% technology fee/tarifa de tecnología

IMPLEMENTATION SCHEDULE/CALENDARIO DE EJECUCION
September 21
21 septiembre

COUNCIL APPROVAL

APROVACION DEL CONCILIO
October 4-21
4-21 octubre

PUBLIC OUTREACH AND

DATA COLLECTION

DIVULGACION PUBLICA Y

RECOPILACION DE DATOS
October 22
22 octubre

ORDINANCE EFFECTIVE

ORDENANZA EFECTIVA
November 19
19 noviembre

ALLOCATION OF DESIGNATED

LOCATIONS

ASIGNACION DE LOGARES

DESIGNADOS
November - February
noviembre - febrero

DATA COLLECTION AND

ANALYTICS

RECOPILACION Y ANALYSIS

DE DATOS

QUESTIONS/PREGUNTAS

1. How will the Designated Locations be allocated?

1. ¿Cómo se asignarán los lugares designados?

2. What if I don’t get a Designated Location?

2. ¿Qué pasa si no obtengo un lugar designado?

3. Can I operate both on private property and the right of way on different days?

3. ¿Puedo operar tanto en propiedad privada como en la via publica en diferentes dias?

4. Is there a limit to the number of permits that will be issued?

4. ¿Existe un límite en la cantidad de permisos que se emitirán?

5. Who can apply for a Conditional Use Permit (CUP)?

5. ¿Quién puede solicitor un permiso de uso condicional? NEED MORE INFORMATION?
¿NECESITA MAS INFORMACION?
Vendor Permits/Permisos de Vendedor
[email protected]
831.758.7251 option/opcion 2
Business Assistance/Asistence de Negocios
[email protected]
Code Enforcement/Cumplimiento del Codigo
[email protected]
831.758.7251
City of Salinas
DEVELOPMENT ENGINEERING (PW) • 65 West Alisal Street • Salinas, California Phone: (831) 758-7251 • www.cityofsalinas.org

FOOD TRUCK VENDOR AGREEMENT

GENERAL CONDITIONS
_____ A Vendor Permit issued by the City of Salinas is required to operate as a vendor within the City of Salinas limits.
_____ A Vendor Permit is issued either as roaming, private property or designated (to operate at a preapproved location) as designated in the permit. _____ Vendor Permit ID shall be made available by all vendors and employees while operating as a vendor. _____ Vendor shall display issued QR code on food truck. QRcode must be kept clean and free of markings and tears.
_____ Vendor permits expire annually and must be renewed each year, or the permit becomes null and void. _____ Vendors are subject to inspections by City officials at all times, while operating as a vendor. _____ Vendor shall comply with all applicable City and state parking and traffic regulations. _____ Vendor shall at no time may a hauling vehicle park or drive on or over a sidewalk or parkway.

OPERATING RESTRICTIONS – SETBACKS & OPERATING LOCATIONS _____ Operating hours are 8:00 A.M. to 8:00 P.M. for ROAMING; Sunrise to Sunset for PRODUCE TRUCKS and ICE CREAM TRUCKS. Operating hours for food trucks at designated locations shall be based on operating location.
_____ Roaming vendors may park up to 4 hours at a single location, if allowed. _____ Roaming vendors must relocate to another location no closer than 500-feet from the same address or the same street.
_____ Vending along High Collision Corridors is prohibited. _____ Vendors shall maintain a 200-foot setback from High Collision Intersections. _____ Vendors may not park units on the street overnight. _____ Vendors may not leave units unattended for more than 30 minutes. _____ Vendor shall maintain a 200-foot setback from any K-12 school. _____ Vendor shall maintain a 500-foot setback from other food trucks on arterial streets with at least four traffic lanes and/or a posted speed limit of 35 MPH or greater. _____ Vendor shall maintain a 200-foot setback from other food trucks on non-arterial streets. _____ Vendor shall not operate on streets with residential zoning designation. _____ Vendor shall maintain a 40-foot setback from street corners. _____ Vendor shall maintain a 20-foot setback from driveways. _____ Vendor is prohibited from parking on white, yellow, blue, green, red, or other specially marked curb zones.

Food Truck Vendor Agreement

Page 2 of 2 ends
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